HomeMy WebLinkAboutAgenda CC 03.13.2018 WorkshopNotice of M eeting of the
Governing B ody of the
City of Georgetown, Texas
M arch 13 , 2 0 1 8
The Ge orgetown City Council will meet on March 1 3, 2018 at 4:00 PM at Council Chambers - 101 East
7th Street
The City o f Georgetown is committed to co mpliance with the Americans with Disabilities Act (ADA). If
you re quire assistance in participating at a public meeting due to a disability, as defined under the ADA,
reasonable assistance, adaptations, or ac c ommo datio ns will be provided upo n request. P lease contact
the City Se c retary's Office, at least three (3 ) days prio r to the scheduled meeting date, at (512) 930-
3652 o r City Hall at 113 East 8th Street fo r additional information; TTY use rs ro ute through Relay
Texas at 7 11.
REVISE D
Policy De ve lopme nt/Re vie w Workshop -
A Prese ntation and discussion of the City’s annual year-end external audit and Comprehensive
Annual Financial Report (CAFR) for the fiscal year ended September 3 0, 2 01 7 -- Elaine S.
Wilso n, Co ntroller
B Prese ntation and discussion regarding amendments to the Unified De velopment Code (UDC)
relating to Mobile Food Vendors -- So fia Nelson, Planning Directo r
C Prese ntation and discussion regarding the Downtown West Constructio n and naming process --
Eric Jo hnso n, CIP Manager
D Prese ntation and discussion on the Ho spice Feasibility Study -- Steve Fo ught, Councilmember
District 4
Exe cutive Se ssion
In compliance with the Open Meetings Ac t, Chapter 551, Government Co de , Verno n's Texas Codes,
Annotate d, the items listed below will be discussed in closed session and are subject to action in the
regular se ssio n.
E Se c . 55 1.0 71 : Consul tati on wi th Atto rney
Advic e from attorney about pending o r contemplated litigation and othe r matters on which the
attorney has a duty to advise the City Co uncil, including agenda items
- Foreclosure matter Duvall Estate
Se c . 55 1:0 74 : Personnel Matte r s
City Manager, City Attorney, City Se c retary and Municipal Judge: Consideration of the
appointment, employment, evaluatio n, reassignment, duties, discipline, o r dismissal
- City Secretary Evaluation
Adjournme nt
Ce rtificate of Posting
Page 1 of 297
I, Shelley No wling, City S ecretary for the C ity of Geo rgeto wn, Texas , do hereby c ertify that
this Notic e o f Meeting was posted at City Hall, 113 E. 8th Street, a p lac e read ily acc es s ib le to
the general pub lic at all times , o n the _____ day of _________________, 2018, at
__________, and remained so p o s ted for at leas t 72 c o ntinuo us ho urs p receding the
s cheduled time of s aid meeting.
__________________________________
Shelley No wling, City S ecretary
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City of Georgetown, Texas
City Council Workshop
March 13, 2018
SUBJECT:
P resentation and discussio n of the City’s annual ye ar-end external audit and Compre he nsive Annual Financial Report
(CAFR) for the fiscal year ended September 30, 20 17 -- Elaine S. Wilson, Controlle r
ITEM SUMMARY:
P resentation of the final Comprehensive Annual Financial Re port fo r the Fiscal Year Ended September 30 , 2017. The
City’s exte rnal auditor, Adam McCane, CPA, with the firm o f Weaver and Tidwell, LLP will also discuss the results of the
auditors’ independent audit, compliance with auditing standards, testing over internal c ontrols and fraud risk assessme nt.
COMMENTS:
Acceptance of this report is included on the c onsent Co uncil agenda. The full CAFR document is attached to the conse nt
item.
FINANCIAL IMPACT:
None
SUBMITTED BY:
Elaine S. Wilso n, Co ntro ller
ATTACHMENT S:
Description
CAFR COG P res entation
CAFR Auditor Pres entatio n
CAFR FY Ended Septemb er 30, 2017
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Page 4 of 297
FY2017 Comprehensive Annual Financial Report
Background & Terms
•CAFR -Comprehensive Annual Financial
Report
•GAAP -Generally Accepted Accounting
Principals
Rules and standards by which all financial reporting is
presented and prepared
Not the same as budgetary accounting
•GASB -Governmental Accounting Standards
Board
The oversight body for accounting standards for
governmental entities
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FY2017 Comprehensive Annual Financial Report
REPORTING REQUIREMENT AND
AUDIENCE
•Required by state law, City Charter and bond covenants
Prepare statements and supplemental information
Conduct annual audit
•Demonstrates fiduciary accountability to citizens,
bondholders and granting agencies
•Primary audience is technical, not “average person”
Governmental accounting professionals, bond rating analysts, etc.
Used to evaluate credit worthiness, economic stability, financial
standing
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FY2017 Comprehensive Annual Financial Report
Independent Audit
•Performed by outside independent audit firm
•Selected by Council
•Conducted in compliance with Government Auditing
Standards
•Provides assurance of accurate reporting and financial
integrity
•Compliance with policies
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FY2017 Comprehensive Annual Financial Report
CONTENTS
Page 8 of 297
FY2017 Comprehensive Annual Financial Report
Summary Statement of Net Position
(in thousands)
2017 2016
Current and other assets $217,715 $192,229
Capital assets 863,034 803,414
Total assets $1,080,749 $995,643
Deferred outflows of resources 13,873 $15,585
Total assets and deferred outflows $1,094,622 $1,011,228
Long-term liabilities 326,365 $270,572
Other liabilities 22,714 46,033
Total liabilities $349,079 $316,605
Net position:
Net Investment in capital assets $640,757 $631,529
Restricted 6,424 4,958
Unrestricted 98,361 58,135
Total net position $745,542 $694,622
Total Primary Government
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FY2017 Comprehensive Annual Financial Report
Summary Statement of Activities
(in thousands)
2017 2016
Revenues:
Governmental $84,582 $83,252
Business-Type 152,292 143,963
Total Revenues $236,874 $227,215
Expenses:
Governmental 72,604 70,171
Business-Type 113,350 102,828
Total Expenses $185,954 $172,999
Change in net position 50,920 54,216
Net Position - Beginning 694,622 640,406
Net Position - Ending $745,542 $694,622
Total Primary Govt
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FY2017 Comprehensive Annual Financial Report
Modified Approach to Street Assets
•Modified Approach adopted in 2005 for streets infrastructure
•Option for reporting the condition of the infrastructure instead of depreciating the infrastructure
Provide accountability to maintain streets
•Council adopted a pavement condition index (PCI) of “85” to maintain the streets in “good” condition
Reviewed every 3 years
Reviewed in 2014 -current condition rated at 87.5
Updated Review in Progress
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FY2017 Comprehensive Annual Financial Report
Comments from External Auditor
Adam McCane, CPA
Weaver and Tidwell, LLP
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FY2017 Comprehensive Annual Financial Report
Audit Summary
•Unmodified opinion on the financial statements
•Unmodified opinion on internal control and federal awards
•New accounting standard implementation
•Results of internal control procedures
•Required communications
•Other items
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FY2017 Comprehensive Annual Financial Report
Comprehensive Annual Financial
Report
For the year ended September 30, 2017
Final document will be available at:
City Hall
https://finance.georgetown.org/financial-transparency/
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City of Georgetown
Committee Meeting
February 28, 2018
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Audit Results
Page 16 of 297
3
Audit Process
Audit Standards —Performed the audit in accordance with
Generally Accepted Auditing Standards (GAAS) and Generally
Accepted Government Auditing Standards (GAGAS)
Single Audit —Performed the single audit of federal awards in
accordance with the Uniform Administrative Requirements, Cost
Principles, and Audit Requirements for Federal Awards (Uniform
Guidance)
Compliance —Performed tests of the City’s compliance with
certain provisions of laws, regulations, contracts and grant
agreements, including items such as compliance with PFIA.
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4
Audit Process
Risk-based approach focused on specific risks, such as:
•Capital expenditures and capital projects
•General expenditures, payroll expenditures, and accruals
•Utility revenue
•Various tax revenues
•Federal grant revenues and expenditures
Walkthroughs of accounting controls over significant transaction
cycles
•Federal receipts
•Cash disbursements
•Payroll
•Utility revenue
•Tax revenue
•Capital projects
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5
Audit Process
Identification of major federal financial assistance programs
•Major programs-Airport Runway Project
Tested internal controls over financial reporting and compliance
Tested compliance with major program requirements
Testing of financial statement balances using a combination of
analytics, vouching of material transactions, and sampling
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Audit Results
•We will issue the Independent Auditor’s Report on the financial
statements
Unmodified opinion
•We will issue the Independent Auditor’s Report on Internal Control
over Financial Reporting and on Compliance and Other Matters
Based on an Audit of Financial Statements Performed in
Accordance with Government Auditing Standards
No findings noted
•We issued the Independent Auditor’s Report on Compliance for
Each Major Program and on Internal Control Over Compliance
Required by Uniform Guidance and Uniform Grant Management
Standards
Unmodified opinion
One finding noted
| 6Page 20 of 297
Auditor Communications
for the year ended September 30, 2017
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Required Communications to Those in
Charge of Governance
Communication Results
Auditor’s responsibility under
generally accepted auditing
standards (GAAS)
The financial statements are the responsibility
of the City. Our audit was designed in
accordance with GAAS in the U.S. and
provides for reasonable rather than absolute
assurance that the financial statements are
free of material misstatement. Our
responsibility is to express an opinion about
whether the financial statements prepared
by management with your oversight are fairly
presented, in all material respects, in
conformity with U.S. generally accepted
accounting principles. Our audit of the
financial statements does not relieve you or
management of your responsibilities.
The audit of the fiscal year 2017 financial
statements has been completed and we
issued a unmodified “clean” opinion.
| 8Page 22 of 297
Required Communications to Those in
Charge of Governance
Communication Results
Auditor’s Responsibility under
Government Auditing
Standards
In addition to the GAAS responsibilities, we
are required to issue a written report on our
consideration of internal controls and
identified significant deficiencies, including
material weaknesses, if any. Our reports do
not provide assurance on internal controls.
We design our audit to provide reasonable
assurance of detecting material
misstatements resulting from noncompliance
with provisions of contracts or grant
agreements that have a direct or material
effect on the financial statements. We issued
a written report on the results of these
procedures; however, our report does not
express an opinion on compliance.
No findings to note.
| 9Page 23 of 297
Required Communications to Those in
Charge of Governance
Communication Results
Auditor Responsibility under
Uniform Guidance
Our testing includes all major federal financial
assistance programs. We report on such
testing, and disclose significant deficiencies in
internal control over compliance, including
material weaknesses we identify. Our report
does not provide assurance on internal
control over compliance. We performed
procedures for the purpose of expressing an
opinion on whether major federal financial
assistance programs have been administered
in compliance with applicable laws and
regulations.
The audit of the fiscal year 2017 major federal
and state financial assistance programs has
been completed and we issued an
unmodified opinion. We reported one
material weakness in internal control over
compliance (2017-001).
| 10Page 24 of 297
Required Communications to Those in
Charge of Governance
Communication Results
Unusual transactions and the
adoption of new accounting
principles
The significant accounting policies used by
the City are described in the financial
statements.
There were no new GASB’s that had a
significant impact on the City’s financial
statements during the year.
We noted no transactions entered into by the
City during the year for which there is a lack
of authoritative guidance or consensus.
| 11Page 25 of 297
Required Communications to Those in
Charge of Governance
Communication Results
Fraud and illegal acts No material errors, irregularities, or illegal acts
were noted.
Material weakness in internal control No material weaknesses noted.
Other information contained in
documents containing audited
financial statements
We provided an “in relation to opinion” on
supplementary information accompanying
the financial statements. We performed
limited procedures on the MD&A and did not
provide any assurance on this information.
Supplementary schedules were compared
and reconciled to underlying accounting
and other records used to prepare the basic
financial statements.
Management judgments and
accounting estimates
Management’s estimates were evaluated
and determined to be reasonable in relation
to the financial statements as a whole.
| 12Page 26 of 297
Required Communications to Those in
Charge of Governance
Communication Results
Difficulties encountered No difficulties or disagreements arose during
the course of our audit.
Management representations We requested certain representations from
management that were included in the
management representation letter.
Management consultations We are not aware of management
consultations with other accountants for a
second opinion.
Auditor independence No independence issues noted.
Audit adjustments Professional standards require us to
accumulate all known and likely
misstatements identified during the audit,
other than those that are trivial, and
communicate them to the appropriate level
of management. We have communicated
all such entries to management.
| 13Page 27 of 297
Required Communications to Those in
Charge of Governance
Communication Results
Other material written
communications between Weaver
and Tidwell, L.L.P., and the City
Nothing to note
| 14Page 28 of 297
Questions
Page 29 of 297
Contact Us
Adam McCane
Engagement Partner
Adam.McCane@Weaver.com
512-609-1968
Visit our website
www.weaver.com
Page 30 of 297
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Page 31 of 297
Page 32 of 297
City of Georgetown, Texas
Comprehensive Annual Financial Report
For the Fiscal Year Ended September 30, 2017
Prepared by:
Division of Finance and Administration
Elaine S. Wilson, Controller
Christi Rawls, Asst. Controller
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City of Georgetown, Texas
Comprehensive Annual Financial Report
For the Fiscal Year Ended September 30, 2017
Table of Contents
i
Introductory Section (Unaudited)
Letter of Transmittal .................................................................................................................................................... vi
GFOA Certificate of Achievement ......................................................................................................................... xii
Organizational Chart ................................................................................................................................................ xiv
Elected Officials and Administrative Officers ....................................................................................................... xv
City of Georgetown Map ........................................................................................................................................ xvi
Financial Section
Independent Auditor’s Report .................................................................................................................................. 3
Management’s Discussion and Analysis of Financial Condition
and Results of Operations ........................................................................................................................................ 7
Basic Financial Statements
Government-Wide Financial Statements
Statement of Net Position ........................................................................................................................................ 22
Statement of Activities ............................................................................................................................................. 23
Fund Financial Statements
Balance Sheet – Governmental Funds .................................................................................................................. 26
Reconciliation of the Governmental Funds Balance Sheet
to the Statement of Net Position ........................................................................................................................... 27
Statement of Revenues, Expenditures, and Changes in
Fund Balance – Governmental Funds ................................................................................................................... 28
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures
and Changes in Fund Balance to the Statement of Activities ........................................................................ 29
Statement of Revenues, Expenditures, and Changes in Fund
Balance – Budget and Actual – General Fund .................................................................................................. 30
Statement of Net Position – Proprietary Funds ...................................................................................................... 31
Statement of Revenues, Expenses, and Changes in Fund Net Position – Proprietary Funds ........................ 33
Statement of Cash Flows – Proprietary Funds ....................................................................................................... 34
Statement of Fiduciary Net Position – Agency Funds .......................................................................................... 35
Notes to Financial Statements ................................................................................................................................ 39
Required Supplementary Information
Texas Municipal Retirement System Schedules and Ratios ................................................................................ 82
Other Post-Employment Benefits Schedules and Ratios ..................................................................................... 84
Modified Approach for Streets Infrastructure Capital Assets ............................................................................. 85
Page 35 of 297
City of Georgetown, Texas
Comprehensive Annual Financial Report
For the Fiscal Year Ended September 30, 2017
Table of Contents – Continued
ii
Combining and Individual Fund Financial Statements and Schedules
Combining Financial Statements – Nonmajor Governmental Funds
Combining Balance Sheet ...................................................................................................................................... 92
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance ..................................... 94
Schedules of Revenues and Expenditures (Budget Basis) – Budget and
Actual (Non-GAAP) – Reconciled to GAAP Basis
Council Discretionary ......................................................................................................................................... 96
Conservation ...................................................................................................................................................... 97
Court Fees ............................................................................................................................................................ 98
Development ...................................................................................................................................................... 99
Fire ....................................................................................................................................................................... 100
Library Restricted .............................................................................................................................................. 101
Parks .................................................................................................................................................................... 102
PEG Fees ............................................................................................................................................................ 103
Police .................................................................................................................................................................. 104
Public Improvement Districts ........................................................................................................................... 105
Street Sales Tax .................................................................................................................................................. 106
Tax Increment Reinvestment Zones ............................................................................................................... 107
Transportation ................................................................................................................................................... 108
Tourism ................................................................................................................................................................ 109
Supplementary Individual Fund Financial Statements and Schedules – Major Governmental Funds
General Fund
Schedule of Revenues and Expenditures (Budget Basis) – Budget and Actual
(Non-GAAP) – Reconciled to GAAP Basis ......................................................................................................... 112
Georgetown Transportation Enhancement Corporation (GTEC)
Schedule of Revenues and Expenditures (Budget Basis) – Budget and Actual
(Non-GAAP) – Reconciled to GAAP Basis ......................................................................................................... 118
Debt Service Fund
Schedule of Revenues and Expenditures (Budget Basis) – Budget and Actual
(Non-GAAP) – Reconciled to GAAP Basis ......................................................................................................... 119
General Capital Projects Fund
Schedule of Revenues and Expenditures (Budget Basis) – Budget and Actual
(Non-GAAP) – Reconciled to GAAP Basis ......................................................................................................... 120
Combining Financial Statements - Nonmajor Proprietary Funds
Enterprise Funds
Combining Statement of Net Position ................................................................................................................. 123
Combining Statement of Revenues, Expenses, and Changes in Fund Net Position .................................... 124
Combining Statement of Cash Flows .................................................................................................................. 125
Internal Service Funds
Combining Statement of Net Position ................................................................................................................. 126
Combining Statement of Revenues, Expenses, and Changes in Fund Net Position .................................... 127
Combining Statement of Cash Flows .................................................................................................................. 128
Supplementary Individual Fund Financial Statements
Agency Funds
Statement of Changes in Assets and Liabilities .................................................................................................. 130
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City of Georgetown, Texas
Comprehensive Annual Financial Report
For the Fiscal Year Ended September 30, 2017
Table of Contents – Continued
iii
Statistical Section (Unaudited)
Net Position by Component .................................................................................................................................. 134
Changes in Net Position ......................................................................................................................................... 136
Fund Balances of Governmental Funds .............................................................................................................. 140
Changes in Fund Balances of Governmental Funds ......................................................................................... 142
Property Tax Rates, Levies and Collections ......................................................................................................... 144
Assessed and Estimated Actual Value of Taxable Property ............................................................................ 146
Property Tax Rates - Direct and Overlapping Governments ........................................................................... 148
Principal Property Taxpayers ................................................................................................................................. 149
Taxable Sales by Category ................................................................................................................................... 150
Direct and Overlapping Sales Tax Rates ............................................................................................................. 152
Sales Tax Revenue Payers by Industry .................................................................................................................. 153
Ratios of Outstanding Debt by Type .................................................................................................................... 154
Ratios of Net General Obligation Bonded Debt to Assessed Value and
Net General Obligation Bonded Debt per Capita ........................................................................................... 156
Computation of Direct and Estimated Overlapping Bonded Debt ............................................................... 158
Computation of Legal Debt Margin .................................................................................................................... 160
Revenue Bond Coverage - Utility Funds .............................................................................................................. 162
Utility System Condensed Statement of Operations ......................................................................................... 164
Utility System Condensed Statement of Operations ......................................................................................... 166
Demographic and Economic Statistics ............................................................................................................... 168
Principal Employers ................................................................................................................................................. 169
Full Time Equivalent City Government Employees by Function ....................................................................... 170
Operating Indicators by Functions ....................................................................................................................... 172
Capital Assets by Functions ................................................................................................................................... 174
Water Usage (Gallons) ........................................................................................................................................... 176
Ten Largest Water Customers ................................................................................................................................ 177
Daily Flow (Wastewater Treatment) ..................................................................................................................... 178
Ten Largest Wastewater Customers ..................................................................................................................... 179
Valuation, Exemptions and Ad Valorem Tax Debt ............................................................................................ 180
Taxable Assessed Valuations by Category ......................................................................................................... 182
Authorized but Unissued General Obligation Bonds ......................................................................................... 184
General Fund Revenues and Expenditure History ............................................................................................. 186
Municipal Sales Tax History .................................................................................................................................... 188
Monthly & Volumetric Water Rates ...................................................................................................................... 189
Monthly Wastewater Rates .................................................................................................................................... 190
Monthly Electric Rates ............................................................................................................................................ 191
Compliance Section
Independent Auditor’s Report on Internal Control over Financial Reporting and on
Compliance and Other Matters based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards ............................................................... 195
Independent Auditor’s Report on Compliance for Each Major Federal Program and on
Internal Control over Compliance in Accordance with the Uniform Guidance ........................................ 197
Schedule of Findings and Questioned Costs ...................................................................................................... 199
Schedule of Expenditures of Federal Awards ..................................................................................................... 203
Notes to the Schedule of Expenditures of Federal Awards .............................................................................. 205
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iv
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v
Introductory Section
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vi
February 28, 2018
Honorable Mayor and City Council,
City Manager and Citizens of Georgetown, Texas:
The comprehensive annual financial report of the City of Georgetown, Texas (the City) for the year ended
September 30, 2017, is hereby submitted. The financial statements are presented in conformity with
accounting principles generally accepted in the United States of America as set forth by the
Governmental Accounting Standards Board (GASB) and have been audited by independent auditors in
accordance with generally accepted auditing standards.
Management Responsibility for Financial Information. The City’s Finance Division has prepared the
report and is responsible for both the accuracy of the data and the completeness and fairness of the
presentation, including all disclosures. To the best of our knowledge and belief, the enclosed data is
complete and reliable in all material respects. All disclosures necessary to enable the reader to gain an
understanding of the City's financial activities have been included.
The Reporting Entity. This report includes all the funds of the City, as well as, the City’s discretely
presented component unit, the Georgetown Economic Development Corporation (GEDCO), its Texas 4A
economic development corporation. The City provides a full range of services, which include police and
fire protection; construction and maintenance of streets and other infrastructure; recreational activities
and cultural events. In addition to general government activities, the City also provides electric,
wastewater, water, stormwater drainage and airport services which are included in the reporting entity.
The City is also financially accountable for Georgetown Transportation Enhancement Corporation
(GTEC), a Texas 4B economic development corporation, which funds transportation projects that
enhance economic development within the City. GTEC is presented as a blended component unit within
the reporting entity.
Management Discussion and Analysis. Generally accepted accounting principles (GAAP) require
management to provide a narrative introduction, overview and analysis to accompany the basic financial
statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is
designed to complement the MD&A and should be read in conjunction with it. The City’s MD&A can be
found immediately following the independent auditors’ report located at the front of the financial section of
this report.
DESCRIPTION OF THE CITY
Georgetown is a Home Rule Charter City and operates under a Council - Manager form of government. A
mayor, elected at large, and seven council members, elected from single member districts, serve
staggered, three-year terms. Georgetown is located on Interstate 35, the major corridor between Dallas
and San Antonio, at the intersection of State Highway 130. Georgetown was founded in 1848 with a
strong agricultural base, in the heart of Williamson County, 26 miles north of Austin. Today, Georgetown
has an estimated population of 60,642 within the city limits, with an estimated population of 88,047
inclusive of the extra-territorial jurisdiction (ETJ) and serves as the county seat of Williamson County.
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vii
Georgetown’s economic development initiatives to diversify tax base, expand retail and create jobs have
been balanced with a focus of maintaining the community’s unique character and quality of life. The
downtown commercial district, with The Most Beautiful Square in Texas, continues to expand its arts,
culture, dining and entertainment venues. Award-winning parks, extensive river trail systems along the
North and South San Gabriel Rivers and Lake Georgetown have been leveraged with the low crime rate
to make the City an attractive place to live and work.
Georgetown is also home to Southwestern University, which continues to receive national recognition.
The University has been named to Kiplinger’s list of the 100 best values in liberal arts colleges and has
been noted as one of ‘America’s Best Value Colleges’ by the Princeton Review. With an average
enrollment of 1500 students and 450 employees, the University provides substantial economic and
cultural contributions to Georgetown.
GEORGETOWN'S ECONOMIC OUTLOOK AND FINANCIAL CONDITIONS
Economic Outlook
Georgetown’s economy continued to grow during 2017,
mirroring the strong development in the Austin metro
region. Property values, sales tax revenue, and
population increased in 2017. New single-family housing
starts of 813 for the year continued to show the
desirability for homes in the area. The City’s total
assessed property total value has grown to over $7
billion, representing an increase of over 17.8% from last
year. The average home value increased 6% to $253,320
in 2017. The assessed valuation has growth 68.9% over the past five years, which includes increases in
existing values, as well as new property. The US Census named Georgetown in the top five fastest
growing cities in America with a population over 50,000 for each of the last three years.
‐
0.10
0.20
0.30
0.40
0.50
‐
1,000,000,000
2,000,000,000
3,000,000,000
4,000,000,000
5,000,000,000
6,000,000,000
7,000,000,000
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Assessed Value and Tax Rate
Assessed Valuations Tax Rates
Page 41 of 297
viii
18.65 20.46 20.98
23.44 25.1
0
5
10
15
20
25
30
FY 13 FY 14 FY 15 FY 16 FY 17
Mi
l
l
i
o
n
s
Georgetown Sales TaxThe Austin area unemployment rate was
2.5% for December 2017, compared to
4.1% nationally. The Central Texas
region continued to see strong growth in
new jobs and in retail sales. The City’s
commercial and job base continued to
grow with the expansion of several small
commercial and retail centers, as well as
growth in the school district, county and
city governments.
Sales tax revenues increased 11.68%
over the prior year, demonstrating solid
growth in the local economy for the sixth
consecutive year. The first quarter of the
2018 fiscal year continued this trend with sales tax receipts coming in 3.49% higher over the prior year.
Two new major retail developments are in the planning stages, which will provide continued growth in this
revenue stream.
Holt Caterpillar broke ground in January 2018 on a 60,000 square foot regional Caterpillar equipment
sales and repair facility. This $20 million investment is expected to create 129 new jobs and will have a
$16 million impact to the City over the next 10 years.
Sun City, Wolf Ranch Hillwood and the
Summit at Rivery Park continue to expand
single and multi-family living options, as well
as increased restaurants and shops to
support the residential demands.
The City completed a Retail Strategy and
Recruitment Plan in 2017 to identify ways to
enhance the City’s tax base by increasing
opportunities for retail businesses, and create
a more diversified retail environment in
Georgetown. In addition, the City’s Economic
Development Department will use this plan to
recruit and retain retail businesses to
Georgetown. A workforce study was also
completed, with the City’s targeted industries of professional services, life sciences and advanced
manufacturing. These studies culminated into a complete economic development strategic plan centered
around four goals: 1) Support of existing businesses and industries; 2) Enhance targeted recruitment of
identified industries; 3) Diversify workforce development and recruitment initiatives; and 4) Encourage
speculative development.
INITIATIVES
Mobility Improvements: Georgetown, like many growing cities, is investing in infrastructure to ensure
mobility needs are met for the future. The Southwest Bypass, which at $20 million represents the City’s
largest transportation project in history, is expected to open in early Summer 2018. The project was
approved as part of a $105 million referendum that received 75% approval by voters in May 2015. This
project partners with Williamson County to construct a north – south corridor designed to address mobility
concerns and ensure connectivity.
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ix
The Farm to Market 1460 project is set for completion in 2018 and expands two lanes to four lanes for a
3.5-mile segment to increase the capacity of the road. This project is a partnership with the Texas
Department of Transportation to create an alternate parallel to IH35, as well as increase safety.
Another major project for FY2017 was the completion
of the extension of Mays Street, a partnership with the
City of Round Rock to increase economic potential in
the area, as well as improve mobility. This project was
funded through the Georgetown Transportation
Enhancement Corporation and through the creation of
the South Georgetown Tax Increment Reinvestment
Zone, initiated to provide infrastructure to drive
economic expansion.
Design and right of way acquisition was completed in
2017 for the extension of Rivery Boulevard from
Williams Drive to Northwest Boulevard, with construction
planned in 2018 as funding for the Northwest Boulevard
bridge project becomes available through the Texas
Department of Transportation. The improvements in this
area will significantly alleviate traffic congestion on
Williams Drive.
In August 2017, the City launched a new fixed route bus
system. Four routes provide service from 7am to 7pm
Monday through Friday, and from 8am to 6pm on
Saturdays, with the transit hub being at the Georgetown
Public Library. Paratransit services are also offered. This
program was made possible through strong partnerships
with Capitol Area Rural Transportation System, CapMetro and the Georgetown Health Foundation.
Utility Services: Growth in the residential and commercial sectors of Georgetown is sustainable due to
innovative long range planning in the utility areas. In September of 2015, the City Spinning Spur 3 wind
farm came online, with 97 turbines generating power. Located 50 miles west of Amarillo, Spinning Spur 3
is contracted to generate 144MW for the City for 20 years. The City also contracted with NRG Energy
solar energy from a 154-megawatt photovoltaic (pv) solar project near Fort Stockton that will supply
renewable energy to Georgetown through a 25-year purchased-power agreement that starts in July 2018.
With these purchased power contracts in place, the City of Georgetown is poised to be only the second
municipally owned utility to be 100% renewable by 2018. The investments in these purchased power
contracts ensure the City can provide sustainable, renewable, and cost effective energy for decades to
come. These new long-term contracts provide a hedge against carbon legislation costs. While short-term
costs are forecasted to fluctuate, the long-term cost savings from fossil fuels are expected to provide cost
savings to the growing community.
The City completed the acquisition of the Chisholm Trail Special Utility District (CTSUD) in 2015 through
the approval of the Public Utility Commission of Texas for the transfer of service areas. This consolidation
provides for stronger regional water planning and resource management to support the continued future
growth expected within the region, especially in the city’s northwestern growth corridors.
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x
Garey Park groundbreaking
Significant capital improvements, such as wastewater interceptors and water and wastewater plant
expansions, are underway to continue to meet service demands for residential and commercial
expansion. In addition, three elevated storage tanks are being constructed to help meet service demands:
Sun City, Cedar Breaks and Braun.
The City evaluated its contracted water and
wastewater plant operations and developed a
plan to move those services in house beginning
October 1, 2016. This strategy is expected to
generate a cost savings of over $5 million over
the next five years.
Georgetown takes an active role in water and
wastewater planning with the Brazos River
Authority (BRA) to find regional solutions to the
ever-increasing demand for services, while
protecting the natural environment within the area. Growth within the utilities continues to have strong
positive impacts to the financial and economic conditions of Georgetown.
Quality of Life.
The City Council confirmed a new vision statement for the City: “Georgetown: A caring community
honoring our past and innovating for the future”. The Council and staff strive to continue to exceed create
places and conditions that make the community a special place to live with a high quality of life, as well as
a great place to visit.
Public Safety – Georgetown was ranked the third safest city in Texas with a population of over 50,000 by
Safe Home. The Council continued its investments in quality of life for Georgetown residents through
increasing resources towards Emergency Medical Service (EMS) program to ensure quality care and
strong response times are met. The City is also planning for the future by designing its sixth fire station,
which is funded by Emergency Services District #8, to ensure response in the western growth area. Land
acquisition for fire station 7 began in 2017, with design to commence in 2018. These partnerships and
investments ensure that growth demands do not negatively impact high quality emergency response.
Award Winning Parks and Trail System - The San Gabriel Park is designated a Lone Star Legacy Park
by the Texas Recreation and Parks Society due to its historic prominence within the community and the
state. 200-year-old oak trees grace the park along the river, which runs through the heart of downtown.
A master plan to renovate the park was developed in 2016, with the first phase of construction to be
completed in 2018. The second phase is currently under design and is expected to begin this year, and
will include a half-mile trail expansion. Future phases to expand the park uses will be developed as
leases with non-profits utilizing parkland expire or are renegotiated.
The largest donation in the City’s history was
completed in 2004 when Jack and Cammy Garey
announced they would donate their 525 acre
ranch to the City for a future park, as well as
$5 million towards the $15 million development
cost. Construction broke ground in March 2017 to
build trails, equestrian areas, day use areas and
a dog park. The former Garey home is being
renovated as a remarkable event destination.
Garey Park is expected to open in early Summer
2018.
‐
20,000
40,000
2013 2014 2015 2016 2017
Utility Customers
Water Electric Wastewater Garbage
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xi
Most Beautiful Town Square in Texas - The City sidewalk improvements at Founders Park on Church
Street were completed this year, as well as a sidewalk from the parking lot at Martin Luther King Street
and 8th Street to Rock Street. Founders Park renovations were completed, as well as renovations to the
Grace Heritage Center, which will activate the downtown public space for community events. New
development continues in the downtown area with the opening of small shops and cafes that further
enhance the City’s historic old-town district. Blue Corn Harvest and Je Suis new businesses for 2017 and
there are several major redevelopments underway that are expected to drive future economic impacts,
including construction of the Watkins building, the Lofts on Rock and renovations to the historic
Stromberg building.
Long Range Planning. Planning for Georgetown’s
future is a major priority, as the City formally
adopted a new comprehensive plan in 2008 called
the Georgetown 2030 Plan. This Plan provides
vision for the future and is designed to address
growth issues facing the community over the next
20+ years. This project required citizens throughout
the community to provide the foundation for policies
needed to ensure that the Georgetown of 2030 has
the unique quality of life and economic vitality that it
does today. An update of the Georgetown 2030 plan
will be initiated in 2018 to provide opportunities for
citizens weigh in on the city’s future development.
FINANCIAL INFORMATION
The City is responsible for establishing and maintaining internal controls designed to ensure that the
assets of the City are protected from loss, theft or misuse and that adequate accounting data is compiled
to allow for the preparation of financial statements in conformity with generally accepted accounting
principles. Internal controls are designed to provide reasonable, but not absolute, assurance that these
objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should
not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates
and judgments by management.
The City’s Finance Director, Controller, and other key staff in the Finance Division design and maintain
the internal control structure. These controls are under continual review by management, and under
annual review by the independent auditors. During the year, the Finance Division performs internal audits
on selected procedures and operations throughout the City organization. The selection of priorities and
timing of audits are determined by the Finance Director, along with the City Manager.
Single Audit. As a recipient of federal and state financial assistance, the City is responsible for ensuring
that adequate internal controls are in place to ensure compliance with applicable laws and regulations
related to those programs. Internal controls are subject to periodic evaluation by management. The tests
relating to the receipt of such funds are known as Single Audit testing. These tests are made to determine
the adequacy of internal controls, including that portion related to federal financial assistance programs,
as well as to determine that the City has complied with applicable laws and regulations. The compliance
section is included in the final section of this document.
Budgetary Controls. The City maintains budgetary controls to ensure compliance with legal provisions
embodied in the annual appropriated budget approved by the City Council. Activities of all funds are
included in the annual appropriated budget. The level of budgetary control (that is, the level at which
expenditures cannot legally exceed the appropriated amount) is established by division and department
within an individual fund. The City also maintains an encumbrance accounting system as one technique
of accomplishing budgetary control. Encumbered amounts are reserved at year-end and carried forward
into the following year.
Grace Heritage and Founders Park grand reopening
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xii
As demonstrated by the statements and schedules included in the financial section of this report, the City
continues to meet its responsibility for sound financial management.
OTHER INFORMATION
Independent Audit. The City Charter requires an annual audit by independent certified public
accountants. The accounting firm of Weaver and Tidwell, LLP was selected by the City Council. The goal
of the independent audit is to provide reasonable assurance that the financial statements of the City for
the fiscal year ended September 30, 2017, are free of material misstatement. The independent auditor
concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion
and that the City’s financial statements for the fiscal year ended September 30, 2017, are fairly presented
in conformity with GAAP. The independent auditor’s report on the basic financial statements and
schedules are included in the financial section of this report.
Awards. The Government Finance Officers Association of the United States and Canada (GFOA)
awarded a Certificate of Achievement for Excellence in Financial Reporting to the City for its
Comprehensive Annual Financial Report for the fiscal year ended September 30, 2016. The Certificate of
Achievement is the highest form of recognition for excellence in state and local government financial
reporting. In order to be awarded a Certificate of Achievement, a government unit must publish an easily
readable and efficiently organized Comprehensive Annual Financial Report, whose contents conform to
program standards. Such Comprehensive Annual Financial Reports must satisfy both generally accepted
accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period
of one year. The City has received a Certificate of Achievement for thirty (30) consecutive years. We
believe our current report continues to conform to the Certificate of Achievement program requirements,
and we are submitting it to the GFOA.
We are also proud to report that the GFOA has presented the Distinguished Budget Presentation Award
to the City of Georgetown for each of the past twenty-eight (28) years.
Acknowledgments. The presentation of this report on a timely basis could not be accomplished without
the efficient and dedicated services of the entire staff of the Finance Division. We would like to express
our appreciation to all members of the division who assisted and contributed to its presentation. Special
acknowledgment goes to the accounting and budget staff, for their dedication in preparing this report.
We would also like to thank the Mayor and City Council. The preparation of this report would not be
possible without their leadership and support.
Sincerely,
David Morgan Laurie Brewer, CGFO
City Manager Assistant City Manager
Leigh Wallace Elaine Wilson
Finance Director Controller
Page 46 of 297
Page 47 of 297
CITY MANAGER
Administrative Services
Public Communications
CITY ATTORNEY CITY SECRETARY
BOARDS & COMMISSIONS
MUNICIPAL COURT JUDGE
HOME RULE CITY
Citizens of Georgetown
CITY COUNCIL
Mayor and Councilmembers
LIBRARY
Library Services Director
PLANNING
Planning Director
Convention & Visitor’s Bureau
POLICE SERVICES
Police Chief
Administrative Services Bureau
Animal Services
Operations Bureau
Code Enforcement
FINANCE AND ADMINISTRATION
Finance Director
Accounting
Finance Administration
Municipal Court
Fleet Services
Purchasing
ECONOMIC DEVELOPMENT
Economic Development Director
UTILITY OPERATIONS
Utility Operations Director
Control Center
Energy Services
Safety & Training
Technical Services
Water Services
FIRE SERVICES
Fire Chief
Emergency Services
Support Services
INFORMATION TECHNOLOGY
Information Technology Director
IT Capital Replacement & Projects
IT Operations
GEORGETOWN UTILITY SYSTEMS
General Manager of Utilities
DEVELOPMENT & PLANNING
Assistant City Manager
COMMUNITY SERVICES & FINANCE
Assistant City Manager
ENGINEERING
Systems Engineering Director
Electrical Engineering
Transportation Engineering
Water/Wastewater Engineering
GUS Administration
PUBLIC WORKS
Public Works Director
Airport
Solid Waste & Recycling Services
Stormwater Drainage
Streets
Public Works Administration
CUSTOMER CARE
Customer Care Director
Customer Operations
Customer Service
Marketing and Conservation
Housing & CDBG Grants
Inspection Services
PARKS & RECREATION
Parks & Recreation Director
Facilities Maintenance
Parks
Recreation
Tennis Center
ORGANIZATIONAL CHART
This page visually represents the Divisions and Departments of the City of Georgetown.
HUMAN RESOURCES
Human Resources Director
Arts & Culture
EMS
Resource Management Garey Park
Library
Page 48 of 297
City Of Georgetown, Texas
Elected Officials and Administrative Officers
September 30, 2017
xv
Elected Officials
Mayor Dale Ross
City Council Member, District 1, Mayor Pro Tem Anna Eby
City Council Member, District 2 Valerie Nicholson
City Council Member, District 3 John Hesser
City Council Member, District 4, Steve Fought
City Council Member, District 5 Ty Gipson
City Council Member, District 6 Rachael Jonrowe
City Council Member, District 7 Tommy Gonzalez
Appointed Officials
City Manager David Morgan
City Attorney Charlie McNabb
City Secretary Shelley Nowling
Municipal Court Judge Randy Stump
Other City Officials
General Manager for Utilities Jim Briggs
Assistant City Manager Laurie Brewer
Assistant City Manager Wayne Reed
Finance Director Leigh Wallace
Fire Chief John Sullivan
Police Chief Wayne Nero
Page 49 of 297
xvi
Austin
Dallas/Fort Worth
San Antonio
Lubbock
El Paso
Amarillo
Houston
Georgetown
Location
Georgetown is the northern most “gateway” to the gently rolling hills of Central Texas. While
Georgetown offers the amenities and charm of a small community rooted in values of days gone by, it
is strategically and centrally located in the middle of the four major metropolitan areas of Texas.
Austin is 26 miles south, Dallas is three hours north, Houston is three hours southeast and San Antonio is
just one-and-a-half hours south, placing Georgetown in a very advantageous position for cultural and
economic development. Traveling to and from Georgetown is easy, as it is at the crossroads of
IH-35 going north/south and State Highway 29 going east/west. Access to Georgetown via the
Austin-Bergstrom International Airport was made much easier with the opening of State Highway 130,
the toll road from Georgetown to San Antonio that parallels IH-35.
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1
Financial Section
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2
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AN INDEPENDENT MEMBER OF
BAKER TILLY INTERNATIONAL
WEAVER AND TIDWELL, L.L.P.
CERTIFIED PUBLIC ACCOUNTANTS AND ADVISORS
1601 SOUTH MOPAC EXPRESSWAY, SUITE D250, AUSTIN, TX 78746
P: 512.609.1900 F: 512.609.1911
3
Independent Auditor’s Report
The Honorable Mayor
Members of the City Council
City of Georgetown, Texas
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, the discretely presented component unit, each major fund, and the aggregate
remaining fund information of the City of Georgetown, Texas (the City), as of and for the year ended
September 30, 2017, and the related notes to the financial statements, which collectively comprise the
City’s basic financial statements as listed in the table of contents.
Management’s Responsibility 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.
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. In making those risk assessments, the auditor considers internal control relevant to the entity’s
preparation and fair presentation of the 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 internal 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.
Page 53 of 297
City of Georgetown, Texas
4
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, the discretely
presented component unit, each major fund, and the aggregate remaining fund information of the
City, as of September 30, 2017, and the respective changes in financial position and, where applicable,
cash flows thereof, and the respective budgetary comparison for the general fund 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, Texas Municipal Retirement System pension schedules, Other
Post-employment Benefits schedules, and Modified Approach for Street Infrastructure Capital Assets on
pages 7 - 19 and 82 - 85 be presented to supplement the basic financial statements. Such information,
although not a part of the basic financial statements, is required by the Governmental Accounting
Standards Board who considers it to 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 generallys 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 sufficient evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City’s basic financial statements. The introductory section, combining and
individual major and nonmajor fund financial statements and schedules and statistical section are
presented for purposes of additional analysis and are not a required part of the basic financial
statements. The schedule of expenditures of federal awards is presented for the purposes of additional
analysis as required by the audit requirements of Title 2 U.S. Code of Federal Regulations (CFR) Part 200,
Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
(Uniform Guidance), and is also not a required part of the basic financial statements.
The combining and individual major and nonmajor fund financial statements and schedules and the
schedule of the expenditures of federal awards are the responsibility of management and were derived
from and relate directly to the underlying accounting and other records used to prepare the basic
financial statements. Such information has been subjected to the auditing procedures applied in the
audit of the basic financial statements and certain additional procedures, including comparing and
reconciling such information directly to the underlying accounting and other records used to prepare
the basic financial statements or to the basic financial statements themselves, and other additional
procedures in accordance with auditing standards generally accepted in the United States of America.
In our opinion, the combining and individual major and nonmajor fund financial statements and
schedules and the schedule of expenditures of federal awards are fairly stated, in all material respects,
in relation to the basic financial statements as a whole.
Page 54 of 297
City of Georgetown, Texas
5
The introductory and statistical sections listed in the table of contents 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 Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
February 28, 2018 on our consideration of the City’s internal control over financial reporting and on our
tests of its compliance with certain provisions of laws, regulations, contracts, 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
internal control over financial reporting or on compliance. That report is an integral part of an audit
performed in accordance with Government Auditing Standards in considering the City’s internal control
over financial reporting and compliance.
WEAVER AND TIDWELL, L.L.P.
Austin,Texas
February 28, 2018
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City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations
7
The following discussion and analysis of the City of Georgetown financial performance provides an
overview of the City’s financial activities for the fiscal year ended September 30, 2017. Please read it in
conjunction with the transmittal letter at the front of this report and the City’s financial statements,
which follow this section.
Financial Highlights
General Fund
At the end of the current fiscal year, the fund balance of the General Fund was $13,325,625 or 6.2%
higher than FY 2016 fund balance. The fund had $9.3 million of committed fund balance, $0.9 million of
assigned fund balance and $2.9 million of unassigned fund balance. Revenues were $1,715,464 more
than the original budget estimates.
General Fund revenues increased $3.3 million, an increase of 7.1% over FY 2016. This increase is due to
greater revenues from growth in sales tax, other charges for services, and increased ad valorem taxes.
General Fund expenditures increased by $2.8 million, an increase of 5.1% over FY 2016. This increase was
due to citywide salary increases for merit and market adjustments that went into effect February 2017,
increased IT costs, and public safety personnel.
Governmental Activities
On a government-wide basis for governmental activities, the City had expenses net of program
revenue of $44.7 million. General revenues and transfers totaled $65.8 million, resulting in an increase in
net position of $21.2 million.
As of September 30, 2017, the City's governmental activities reported combined ending net position
balances of $308 million. The largest element of this balance is the value of the City’s investment in
capital assets, which totaled $266.5 million. Capital assets include the value of streets, parks and
facilities, net of related debt.
During fiscal year ended September 30, 2017, the City issued approximately $23 million in General
Obligation and Certificates of Obligation bonds for entity-wide purposes. The debt issue included
$2 million for equipment, $5.7 million for facilities, $5.7 million for roads, $6.5 million for parks, and $2.5 for
sidewalk projects. The City's general obligation debt is rated AA+ by Standard & Poor's and AA2 by
Moody's.
Business-Type Activities
The net position of the City's business-type activities had a current year increase of $29.8 million. The
current year increase is due to the continued growth of the customer base of the utility systems. The City
also received $12.3 million of infrastructure assets contributed by developers for commercial projects
and residential subdivisions.
The City’s total debt issue included $27.9 million of utility system revenue bonds. Projects included
electric transformers and system improvements, and water and wastewater system improvements, as
well as a refunding of outstanding debt issued at higher rates, which resulted in a net savings of $.355
million. The City’s Standard & Poor's rating is AA and the Moody's rating is AA2 on the utility system
revenue debt.
Page 57 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations – Continued
8
Management’s Discussion and Analysis
Financial Statements
Required Supplementary
Information
Governmental Activities (Full Accrual) Business - Type Activities (Full Accrual)
Notes to the Financial Statements
Fund
Governmental (Modified Accrual) Proprietary (Full Accrual) Fiduciary (Full Accrual)
Government-Wide
Entity-Wide
The City's total net position on a government-wide basis was $745.5 million at September 30, 2017, an
increase of 6.8% over September 30, 2016. Most of this balance is invested in capital assets or restricted
for specific purposes.
The City received $38.2 million of operating and capital grants and other contributions in FY 2017.
Using the Financial Section of this Comprehensive Annual Financial Report
This Comprehensive Annual Financial Report consists of three sections: introductory, financial and
statistical. As illustrated in the following chart, the financial section of this report has three components:
management’s discussion and analysis (this section), the basic financial statements, and required
supplementary information.
Page 58 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations – Continued
9
Components of the Financial Section
Basic Financial Statements
Government-Wide Financial Statements
The government-wide financial statements report information about the City as a whole, using
accounting methods similar to those used by private-sector companies. The statement of net position
includes all of the government’s assets and liabilities, reported using the full accrual basis of accounting.
The statement of activities accounts for all of the current year’s revenues and expenses, regardless of
when cash is received or paid.
The two government-wide statements report the City’s net position and how it has changed. Net
position, which is the difference between the City’s assets and deferred outflows and liabilities and
deferred inflows, are one way to measure the financial health of the City. Over time, increases or
decreases in the City’s net position is an indicator of whether its financial health is improving or
deteriorating. To assess the overall health of the City, one needs to consider other non-financial factors
such as changes in the City’s property tax base and condition of the City’s infrastructure.
The government-wide financial statements of the City are divided into two categories:
Governmental Activities – Most of the City’s basic services are included here, such as police, fire and
other public safety services, parks and recreation, public library, street maintenance, environmental
services, and general administration. Property and sales taxes, return on investment from the City’s utility
services, and charges for services finance most of these activities.
Business-Type Activities – The City’s Water Services Fund, which includes water, wastewater and irrigation
services, as well as its Electric utility, are reported here. Stormwater Drainage and the City’s Airport are
also reported in these activities. Fees charged to customers fund the costs of providing these services.
Fund Financial Statements
The fund financial statements provide more detailed information about the City’s most significant funds
and will be more familiar to traditional users of government financial statements. The focus is on major
funds rather than fund types.
Page 59 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations – Continued
10
The City has three types of funds:
Governmental Funds – General Fund, Special Revenue Funds, Capital Projects Funds and the Debt
Service Fund are governmental funds, which focus on:
(1) How cash and other financial assets can readily be converted to cash flow (in and out), and
(2) Year-end balances readily available for spending.
Consequently, the governmental funds statements provide a short-term view that helps determine
whether there are greater or fewer financial resources that can be spent in the near future to finance
the City’s programs. Because this information does not encompass the additional long-term focus of the
government-wide statements, additional information is provided with the governmental fund financial
statements that explain the reconciliation between the fund statements and the government-wide
statements.
Proprietary Funds – Services for which the City collects fees and rates intended to fully recover the cost
of providing the service are reported in proprietary funds. Two types of proprietary funds are allowed in
governmental accounting: enterprise funds and internal service funds. These funds, similar to
government-wide statements, provide both long-term and short-term financial information.
The City’s enterprise funds are substantially the same as its business-type activities, but the fund financial
statements provide more detail and additional information, such as cash flows. The City uses enterprise
funds to account for its electric, water services, airport, and stormwater drainage activities. The City uses
internal service funds to report activities that provide supplies and services for the City’s other programs,
activities and funds. The City’s internal service funds are used in providing facility maintenance, fleet
services, joint services (providing administrative functions to the other funds), as well as information
technology services and self-funded health insurance.
Fiduciary Funds – The City is trustee, or fiduciary, for certain amounts held on behalf of others, and for
certain pass-through arrangements. The City is responsible for ensuring that the assets reported in these
funds are used for their intended purposes. The City’s fiduciary activities are reported in a separate
statement of fiduciary net assets. Assets for assessment collections for the City's public improvement
districts and pass-through lease agreements for Texas Capital Fund projects are held in fiduciary funds.
These fiduciary activities are excluded from the City’s government-wide financial statements because
the City cannot use these assets to finance its operations.
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City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations – Continued
11
Financial Analysis of the City as a Whole
Statement of Net Position
The following table reflects the condensed Statement of Net Position:
2017 2016 2017 2016 2017 2016
Current and other assets 104,151$ 106,391$ 113,564$ 85,838$ 217,715$ 192,229$
Capital assets 415,793 376,576 447,241 426,838 863,034 803,414
Total assets 519,944 482,967 560,805 512,676 1,080,749 995,643
Deferred outflows 10,175 11,844 3,698 3,741 13,873 15,585
Total assets and deferred outflows 530,119 494,811 564,503 516,417 1,094,622 1,011,228
Long-term liabilities 208,994 181,504 117,371 89,068 326,365 270,572
Other liabilities 13,113 26,460 9,601 19,573 22,714 46,033
Total liabilities 222,107 207,964 126,972 108,641 349,079 316,605
Net investment in capital assets 266,519 251,494 374,238 380,035 640,757 631,529
Restricted 6,424 4,958 - - 6,424 4,958
Unrestricted 35,069 30,394 63,292 27,741 98,361 58,135
Total net position 308,012$ 286,846$ 437,530$ 407,776$ 745,542$ 694,622$
Governmental Activities Business-Type Activities Total Primary Government
50%
8%
36%
1%5%
Primary Government Net Position - 9/30/2017
Bus Type ‐ Net Inv Assets Bus Type ‐ Unrestricted Govt ‐ Net Inv Assets
Govt ‐ Restricted Govt ‐ Unrestricted
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City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
12
2017 2016 2017 2016 2017 2016
Revenues
Program revenues
Charges for services 21,859$ 17,917$ 119,568$ 118,585$ 141,427$ 136,502$
Operating grants and contributions 471 398 - - 471 398
Capital grants and contributions 5,612 12,784 32,180 25,105 37,792 37,889
General revenues
Property taxes 24,735 22,815 - - 24,735 22,815
Sales taxes 23,009 21,556 - - 23,009 21,556
Other taxes 3,027 2,460 - - 3,027 2,460
Franchise taxes 4,973 4,926 - - 4,973 4,926
Interest 731 399 544 271 1,275 670
Other 165 - - - 165 -
Total revenues 84,582 83,255 152,292 143,961 236,874 227,216
Expenses
Culture/recreation 11,904 12,128 - - 11,904 12,128
Development 2,562 2,664 - - 2,562 2,664
Fire 16,114 15,090 - - 16,114 15,090
General government 5,959 6,490 - - 5,959 6,490
Interest on long-term debt 5,826 4,455 - - 5,826 4,455
Police 16,537 15,938 - - 16,537 15,938
Streets 7,376 7,441 - - 7,376 7,441
Environmental services 6,326 5,965 - - 6,326 5,965
Electric - - 66,384 59,649 66,384 59,649
Water services - - 39,960 36,680 39,960 36,680
Airport - - 3,123 2,655 3,123 2,655
Stormwater - - 3,883 3,844 3,883 3,844
Total expenses 72,604 70,171 113,350 102,828 185,954 172,999
Change in net position before transfers 11,978 13,084 38,942 41,133 50,920 54,217
Transfers 9,188 10,371 (9,188) (10,371) - -
Change in net position 21,166 23,455 29,754 30,762 50,920 54,217
Net position - beginning 286,846 263,392 407,776 377,014 694,622 640,406
Net position - ending 308,012$ 286,847$ 437,530$ 407,776$ 745,542$ 694,623$
Governmental
Activities Business-Type Activities
Total Primary
Government
The City's combined net position increased by $50.9 million to $745.5 million from $694.6 million in FY
2016.
Net position of Governmental Activities was $308 million. Most of these assets are invested in capital
assets or restricted for particular purposes, such as debt service or capital projects.
The City's unrestricted net position for governmental activities, which can be used to finance day-to-day
operations, totaled $35 million. Of that total, $2.86 million was unassigned fund balance available for
future appropriations.
Included in unrestricted net position are fund balances that are earmarked for particular purposes, such
as parks improvements, street maintenance, development, and tourism. The balance of these funds at
September 30, 2017 was $5 million.
Net position invested in capital assets net of related debt for governmental activities increased
$12.2 million, primarily due to developer contributed capital and additions to capital assets.
Page 62 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
13
Current year net position for business-type activities increased by $29.8 million, due to the growth in the
customer base, developer contributed capital, and capital assets.
During 2017, the City invested $25 million towards improving and expansion of utility infrastructure,
compared to $20 million in 2016.
Revenues
Program revenues are derived from the program itself and reduce the cost of the function to the City.
Total program revenues for both governmental and business-type activities are described below.
Governmental activities program revenue for the fiscal year ended September 30, 2017 was
$27.9 million. The Charges for Services category represents receipts primarily from environmental
services, development and building inspection fees, parks fees, fire billing for services and court fines.
Charges for services totaled $21.9 million in FY 2017, or 18% over prior year revenues. Other
governmental program revenues included operating and capital grants and contributions for parks, fire
and police programs, and streets. Capital grants and contributions totaled $6 million compared to
$13.1 million last fiscal year.
Business-type activities program revenue totaled $151.7 million, a 5.6% increase over prior year. Capital
grants and contributions were $7 million higher than the prior year due primarily to continued growth in
developer contributions. Charges for Services, which represent receipts from utility customers for
electric, water, and wastewater, increased $1 million. Electric charges for service increased 4.7% due to
customer growth and increases in rates. Other program revenues include airport fuel sales, hangar
rentals and stormwater drainage fees.
General revenues are revenues from taxes levied on behalf of the general government and other
revenues used for general government activities not specific to a program or service. These revenues
and notable changes are described below.
60%
16%
10%
10%
4%
Primary Government Revenues
Charges for Services Grants and Contributions Property taxes Sales taxes Other
Page 63 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
14
Property taxes totaled $24.7 million. Included in these taxes are real and personal property levies which
are assessed October 1, and payable before the following January 31.
Certified assessed valuations in FY 2017 increased 17.8%. The total growth in assessed valuations is
$1,264.1 million compared to FY 2016 certified assessed valuations.
The ad valorem tax rate for fiscal year 2017 was $0.424 per $100 of assessed valuation. This is a decrease
over the prior year’s rate of $0.434. The adopted tax rate is a 2.99% above the 2017 effective rate.
Sales taxes, the City’s second largest source of general revenue, totaled $23 million for fiscal year 2017,
which was an increase of 6.3% compared to the prior year. This increase is primarily driven by the
continued economic growth in retail, food, and information sectors. Sales tax revenues represented 41%
of the general government revenue total in 2017, excluding the return-on-investment transfers from the
utility funds.
Hotel/motel taxes totaled $1,216,063 compared to $844,316 in FY 2016 and are included in other taxes.
No new properties opened in FY 2017, however, revenues reflect a full year of collections for the
Sheraton Hotel and Conference Center opened in July 2016.
Expenses
Expenses for governmental activities totaled $72.6 million, versus $70 million in FY 2016. Total expenses
increased by $2.6 million compared to the prior year. Major expenses include the Environmental
Services (sanitation) contract, the initiation of the GoGeo bus system, as well as for parks and streets
maintenance. Salary increases implemented during the fiscal year included step increases for public
safety as well as merit and market increases for non-public safety employees effective February 2017.
Other explanations for the changes are noted below.
Public Safety increased 4.97% due to additional positions added in the Fire, EMS and Police
departments.
36%
21%4%
6%
18%
8%
4%3%
Primary Government Expenses
Electric Water
Other Enterprise Culture/recreation
Public Safety Other Govermental
Page 64 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
15
Environmental services increased 5.7% due to increased costs in solid waste collection and
recycling services.
Overall IT service allocations increased across departments due to new software applications and
new user accounts being implemented.
Expenses for business-type activities totaled $113.4 million, a 9.3% increase over the prior year, which
provided electric, water, and wastewater services for customers, as well as airport and stormwater
drainage programs. Salary increases implemented during the fiscal year included merit and market
increases for employees effective February 2017. Notable explanations for the changes are explained
below.
Electric increased 10.1%. The increase in expenses for electric can be associated with growth and
increased utility contract costs.
Water services increased 8.2%. The increase can be attributed to growth and increased utility
contract costs.
The 15% increase at the Airport is related to the fluctuations in the price of fuel compared to FY
2016.
Overall IT service allocations increased across departments due to new software applications and
new user accounts being implemented.
Financial Analysis of the City’s Funds
Governmental Funds: The City’s fund balance is the accumulated difference between assets and
liabilities within governmental funds, and it allows the City to meet its contractual obligations, fund
disaster or emergency costs, provide cash flow for timing purposes and fund non-recurring expenses
appropriated by City Council.
For the fiscal year ended September 30, 2017, the City's governmental funds reflect a combined fund
balance of $76.5 million.
The General Fund had a fund balance of $13.3 million for FY 2017, an increase of approximately
$829,000 over FY 2016. According to the Fiscal and Budgetary Policy of the City, the use of excess fund
balance is limited to non-recurring one time only expenses. Excess funds are transferred to the Council
Special Revenue fund for future designation.
General Capital Project Fund had a fund balance of $31.5 million for FY 2017 compared to $41.4 million
for FY 2016. This decrease is due to large project expenditures for Garey Park, San Gabriel
Improvements, Southwest Bypass, Southeast Inner Loop and Sheraton Garage which included some
expenditures encumbered in prior years.
Non-major governmental funds include an increase in fund balance of approximately $3.4 million due
to the funding and timing of street improvement projects in the Sales Tax Maintenance Fund, increased
revenues in EMS Fund, and increased Hotel Tax revenues in the Tourism Fund due to a full year of the
Sheraton Hotel and Convention Center being open.
General Debt Service Fund reflects an increase of $71,736 in fund balance in FY 2017. Activity increased
due to higher ad valorem taxes collected for interest and sinking.
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City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
16
Georgetown Transportation Enhancement Corporation (GTEC), the City’s blended component unit,
had a 0.9% increase in fund balance due to the timing of capital improvement projects. GTEC
contributed $11.5 million in transportation improvements to facilitate economic development in 2017,
which included some expenditures encumbered in prior years.
Business-Type Activities: The City’s proprietary fund statements provide the same type of information
found in government-wide financial statements, but in more detail.
Total unrestricted net position as of September 30, 2017 totaled $63.3 million, which included $3.3 million
for Electric, $57.5 million for Water and $2.5 million for all other Non-Major funds. The change in net
position for FY 2017 was $29.7 million resulting primarily from continued growth in the City’s utility systems
and development funded capital improvements.
General Fund Budgetary Highlights
The original and final budget of the General Fund changed due to a budget amendment for increased
sales tax collections and transfers in from the Council Discretionary fund. The budget amendment also
included funding for a new position in Planning and transfers out to Joint Services to fund new positions
in Finance. The variance between the actual ending fund balance (budgetary basis) at September 30,
2017 of $12.1 million and the final budgeted fund balance of $10.4 million is attributed to higher than
expected franchise revenues and lower expenditures. Expenditures were less than budgeted primarily
due to timing of projects and vacant positions.
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City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
17
Capital Assets
The City's governmental activities (including the internal service funds) had invested $415.8 million in a
variety of capital assets and infrastructure. The City has $447.2 million invested in its business-type
activities capital assets. The detail is reflected in the following schedule:
Balance
9/30/2016 Additions
Deletions and
Transfers
Balance
9/30/2017
Governmental activities
Non-depreciable assets
Land 28,612$ -$ 2,470$ 31,082
Construction in progress 49,929 39,162 (14,589) 74,502
Streets 181,655 2,635 - 184,290
Other capital assets
Equipment 47,056 2,630 62 49,748
Buildings 78,285 157 7,060 85,502
Improvements 51,682 500 4,045 56,227
Less accumulated depreciation (60,643) (5,867) 952 (65,558)
Governmental activities total 376,576 39,217 - 415,793
Business-Type activities
Non-depreciable assets
Land 3,666 11 3,677
Construction in progress 13,972 20,076 (18,908) 15,140
Other capital assets
Equipment 5,653 844 (1,117) 5,380
Buildings 7,608 7 (19) 7,596
Improvements 533,988 12,559 20,044 566,591
Less accumulated depreciation (138,049) (13,094) - (151,143)
Business-Type activities total 426,838 20,403 - 447,241
City-Wide totals 803,414$ 59,620$ -$ 863,034$
The City prepared a complete inventory of street infrastructure assets in 2003 and 2004 and assigned a
value to the inventory based upon the age of the street and construction indexes. This established a
base line for inventory reporting under the modified approach for GASB 34 reporting.
The Council adopted a financial policy that establishes an average condition level of 85 to maintain
the streets in “good” condition. The Pavement Condition Index (PCI) is a measurement scale for
pavement condition, ranging from zero (poor) to 100 for pavement in perfect condition. The PCI for
fiscal years 2005-2007 was 91, 2008-2010 was 93, 87.7 in 2011-2013, and 2014-2017 was 87.3. This
decrease can be attributed to recently annexed areas with streets needing improvements. This
assessment is conducted every three years and will be started in October 2017 with a final report in
Spring 2018.
The City budgets approximately $1.2 million annually of General Fund revenues for on-going street
maintenance projects, along with the staff and maintenance costs of the street department. In
addition, the City also budgets $3.1 million of funds received in dedicated quarter-cent sales tax for
street maintenance. The maintenance funds are allocated among various projects identified by the
analysis to ensure funds are spent where needed to maintain the PCI adopted by Council.
Page 67 of 297
City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
18
Utility infrastructure maintenance is budgeted within the utility funds. For fiscal year 2017, funding for
electric and water services infrastructure maintenance was approximately $2.0 million.
Major capital assets added in FY 2017 are noted below:
General Capital Projects:
o Construction in Process Projects: $ 39,151,910
• Mays Street
• Garey Park
• Rivery Extension
• Southwest ByPass
• EOC Siren System
o Rivery Sheraton Garage $ 8,112,566
o VFW Park $ 1,901,229
o Southwest Inner Loop $ 2,469,875
Utility Infrastructure and Capital Projects:
o Electric distribution system expansion (including developers) $ 5,640,200
o Water and Wastewater $ 12,985,700
For more detailed notes about the City’s capital assets, please see Note 5 to the financial statements.
Outstanding Debt
2017 2016 2017 2016 2017 2016
General obligation bonds 170,195$ 157,168$ 13,865$ 15,286$ 184,060$ 172,454$
Premiums 6,020 4,597 5,152 2,944 11,172 7,541
Sales tax revenue bonds 6,685 7,225 - - 6,685 7,225
Revenue bonds - - 92,730 72,545 92,730 72,545
Compensated absences payable 5,392 5,472 1,001 932 6,393 6,404
Net pension liability 19,554 18,603 4,623 4,398 24,177 23,001
Other post-employment benefits 1,148 973 - - 1,148 973
Total long-term liabilities 208,994$ 194,038$ 117,371$ 96,105$ 326,365$ 290,143$
Governmental
Activities Business-type Activities
Total Primary
Government
As of September 30, 2017, the City had a total of $184 million in general obligation debt outstanding.
This represents a 6.7% increase over prior year. This increase reflects $8.5 million of 2017 General
Obligation bonds and $14.4 million of 2017 Certificates of Obligation issued in May 2017.
The state limits the legal amount of tax levy available for general obligation debt service to $1.50 per
$100 valuation. The City's 2017 debt levy equaled $0.22734 per $100 assessed valuation, or 15.16% of the
maximum allowed.
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City of Georgetown, Texas
Management’s Discussion and Analysis of Financial Condition
and Results of Operations (Unaudited) – Continued
19
Other long-term debts included are compensated absence payable, net pension obligation, and other
post-employment benefits. These experienced an increase over FY 2016 of $1.3 million due to current
year changes in accordance with GASB statement No. 68. A detailed analysis of the City’s other long-
term debt liabilities are located in Note 6.A., Note 7 and Note 8.
In May 2017, the City issued $22.9 million in Combination Tax and Revenue Certificates of Obligation
and General Obligation bonds for public safety equipment, Downtown West facilities, Garey Park,
various sidewalk projects, and Airport Road. The City also issued $27 million in Utility System Revenue
Bonds for electric system expansion, the CIS billing system, water and wastewater plant improvements
and line expansions.
A detailed analysis of the City’s long-term debt is located in Note 6 to the financial statements.
Economic Factors
During FY 2017, the City continued to see strong improvements in the local and regional economy. Total
sales tax receipts grew to $23 million, or by 6.3% over 2016. The growth in residential and commercial
development continued in FY 2017, while unemployment decreased slightly from 4.0% in 2016 to 2.9% in
2017. The residential growth in the City’s utility service area, which includes both the city limits and the
City’s extra territorial jurisdiction (ETJ), continued it a steady 5% growth rate.
The adopted FY 2018 budget assumes continued modest growth in new property of approximately
$197 million and an adopted tax rate of $0.420 per $100 valuation. Sales tax revenues have seen a
slowing of growth year over year, which trends with the state of Texas as a whole. The 2018 budget
projects sales tax growth of 4%. This modest growth trend is also anticipated in the City’s utility funds.
Discretely Presented Component Unit
The Georgetown Economic Development Corporation (GEDCO) has been included in the reporting
entity as a discretely presented component unit since it provides benefits to other entities aside from the
City. Separate audited financial statements are not issued for GEDCO.
Contacting the City’s Financial Management
This report is designed to provide City Council, citizens, customers, bond rating agencies, investors and
creditors with a general overview of the City’s finances. If you have questions about this report or need
additional financial information, contact:
Finance Division
City of Georgetown
113 East 8th Street
Georgetown, Texas 78626
(512) 930-7679
www.georgetown.org
finance@georgetown.org
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21
Basic Financial Statements
Page 71 of 297
City of Georgetown, Texas
Statement of Net Position
September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
22
Component
Unit
Georgetown
Economic
Governmental Business-type Development
Activities Activities Total Corporation
Cash and cash equivalents 67,116,1 25$ 47,915,698$ 115,031,823$ 5,768,347$
Cash and cash equivalents - restricted - 19,233,438 19,233,438 -
Investments 21,978,456 - 21,978,456 45
Investments - restricted - 20,320,1 90 20,320,1 90 -
Prepaid items 439,695 4,951,363 5,391,058 -
Accounts receivable
Services (net of allowance for uncollectibles)- 15,817,894 15,817,894 -
Other 11,027,087 673,570 11,700,657 256,975
Internal balances (157,627) 157,631 4 -
Inventories 672,653 3,7 32,1 98 4,404,851 -
Long-term note receivable 3,074,818 761,957 3,836,775 -
Capital assets
Land 31,081,513 3,677,188 34,758,7 01 171,382
Streets 184,290,635 - 184,290,635 -
Building and improvements 141,730,544 7,595,870 149,326,414 296,874
Machinery, furniture and equipment 49,748,467 5,380,444 55,128,911 -
Distribution system - 566,590,667 566,590,667 -
Construction in progress 74,500,957 15,140,157 89,641,114 -
Accumulated depreciation (65,558,911) (151,143,668) (216,702,579) (30,182)
Total assets 519,944,412 560,804,5 97 1,080,7 49,009 6,463,441
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflow related to pension 8,006,009 2,398,685 10,404,694 -
Deferred charge on refunding 2,1 68,690 1,298,960 3,467,650 -
Total deferred outflows of resources 10,174,699 3,697,645 13,872,344 -
TOTAL ASSETS AND DEFERRED OUTFLOWS OF RESOURCES 530,119,111$ 564,5 02,242$ 1,094,621,353$ 6,463,441$
LIABILITIES
Current liabilities
Accounts payable 9,158,755$ 7,287,547$ 16,446,302$ -$
Accrued employee benefits 1,702,724 432,261 2,134,985 -
Unearned revenue 2,846,911 107,242 2,954,153 4,000
Unapplied credits 351,728 - 351,728 -
Current portion of noncurrent liabilities 11,576,372 6,955,116 18,531,488 224,219
Accrued interest 755,583 508,590 1,264,173 -
Liabilities from restricted assets
Construction contracts and retainages
payable from restricted assets - 305,323 305,323 -
Customer deposits payable from restricted assets - 1,392,306 1,392,306 -
Noncurrent liabilities
Accrued employee benefits 4,837,523 568,323 5,405,846 -
Net pension liability 19,553,749 4,622,797 24,176,546 -
Long-term debt 171,323,339 104,792,598 276,115,937 3,547,637
Total liabilities 222,106,684 126,972,103 349,078,787 3,775,856
NET POSITION
Net investment in capital assets 266,518,836 374,238,275 640,757,111 438,074
Restricted for
Debt service 1,385,695 - 1,385,695 -
Specific programs 5,037,998 - 5,037,998 -
Unrestricted 35,069,898 63,291,864 98,361,762 2,249,511
Total net position 308,012,427 437,530,139 745,542,566 2,687,585
TOTAL LIABILITIES AND NET POSITION 530,119,111$ 564,502,242$ 1,094,621,353$ 6,463,441$
Primary Government
ASSETS
LIABILITIES AND NET POSITION
Page 72 of 297
City of Georgetown, Texas
Statement of Activities
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
23
Component Unit
Georgetown
Economic
Charges for Operating Grants Capital Grants Governmental Business-type Development
Expenses Services & Contributions & Contributions Activities Activities Total Corporation
Primary government
Governmental activities
Culture / recreation 11,904,1 66$ 2,534,735$ 174,7 65$ 1,112,841$ (8,081,825)$ -$ (8,081,825)$
Development 2,5 61,792 2,653,201 - 451,659 543,068 - 543,068
Fire 16,113,850 4,11 6,783 24,434 - (11,972,633) - (11,972,633)
General government 5,959,340 356,455 130,835 215,789 (5,256,261) - (5,256,261)
Police 16,5 37,297 743,304 42,7 30 - (15,751,263) - (15,751,263)
Streets 7,376,116 4,124,813 97,840 3,831,736 678,273 - 678,273
Environmental services 6,325,688 7,329,850 - - 1,004,162 - 1,004,162
Interest on long-term debt 5,826,012 - - - (5,826,012) - (5,826,012)
Total governmental activities 72,604,261 21,859,141 470,604 5,612,025 (44,662,491) - (44,662,491)
Business-type activities
Electric 66,383,559 70,109,269 - 1,218,390 - 4,944,1 00 4,944,100
Water 39,960,1 02 42,729,980 - 22,946,677 - 25,716,555 25,716,555
Airport 3,1 23,008 3,318,983 - 5,975,389 - 6,171,364 6,171,364
Stormwater 3,882,824 3,409,626 - 2,039,815 - 1,566,617 1,566,617
Total business-type activities 113,349,493 119,567,858 - 32,180,271 - 38,398,636 38,398,636
Total primary government 185,953,754$ 141,426,999$ 470,604$ 37,792,296$ (44,662,491) 38,398,636 (6,263,855)
Component unit
Georgetown Economic
Development Corporation 653,644$ -$ -$ -$ (653,644)$
General revenues
Property tax 24,7 34,830 - 24,7 34,830 -
Sales tax 23,008,606 - 23,008,606 1,568,934
Taxes - other 3,027,357 - 3,027,357 -
Franchise taxes 4,973,295 - 4,973,295 -
Investment income 731,135 544,050 1,275,185 45,016
Other 164,835 - 164,835 108,302
Transfers 9,1 88,144 (9,188,1 44) - -
Total general revenues and transfers 65,828,202 (8,644,094) 57,184,108 1,722,252
Change in net position 21,165,711 29,75 4,5 42 50,920,253 1,068,608
Net position, beginning of the year 286,846,71 6 407,775,597 694,622,313 1,618,977
Net position, end of the year 308,012,427$ 437,530,139$ 745,542,566$ 2,687,585$
Net (Expense) Revenue and
Program Revenues Changes in Net Position
Primary Government
Functions/Programs
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25
Fund Financial Statements
Page 75 of 297
City of Georgetown, Texas
Balance Sheet – Governmental Funds
September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
26
Georgetown
Transportation General Nonmajor Total
Enhancement Debt Capital Governmental Governmental
General Corporation Service Projects Funds Funds
ASSETS
Cash and cash equivalents 8,061,406$ 13,273,503$ 1,946,935$ 26,374,777$ 7,605,963$ 57,262,584$
Investments 2,545,707 4,191,633 - 8,328,877 3,800,594 18,866,811
Accounts receivable, net
Property taxes 238,800 - 202,452 - - 441,252
Sales tax 2,274,975 1,011,100 - - 623,368 3,909,443
Grants - 1,521,845 - - 752,288 2,274,133
Note receivable 197,633 - - - - 197,633
Other 1,656,598 - - 148,557 2,217,639 4,022,794
Due from other funds 1,606,620 476,842 - 433,217 476,674 2,993,353
Prepaid items 41,069 - - - - 41,069
Inventories 7,946 - - - - 7,946
TOTAL ASSETS 16,630,754$ 20,474,923$ 2,149,387$ 35,285,428$ 15,476,526$ 90,017,018$
LIABILITIES
Accounts payable and
accrued liabilities 2,250,644$ 559,594$ 8,009$ 2,545,220$ 1,965,002$ 7,328,469$
Due to other funds 476,674 433,217 - - 2,005,770 2,915,661
Unearned revenue 339,011 - - 1,283,556 1,224,344 2,846,911
Total liabilities 3,066,329 992,811 8,009 3,828,776 5,195,116 13,091,041
DEFERRED INFLOWS OF RESOURCES
Deferred property taxes 238,800 - 202,452 - - 441,252
Total deferred inflows of
resources 238,800 - 202,452 - - 441,252
FUND BALANCE
Nonspendable 246,648 - - - - 246,648
Restricted - - 1,938,926 17,258,365 5,037,998 24,235,289
Committed 9,297,000 11,556,682 - - 5,405,555 26,259,237
Assigned 919,906 7,925,430 - 14,198,287 333,207 23,376,830
Unassigned 2,862,071 - - - (495,350) 2,366,721
Total fund balance 13,325,625 19,482,112 1,938,926 31,456,652 10,281,410 76,484,725
TOTAL LIABILITIES, DEFERRED
INFLOWS AND FUND BALANCE 16,630,754$ 20,474,923$ 2,149,387$ 35,285,428$ 15,476,526$ 90,017,018$
Page 76 of 297
City of Georgetown, Texas
Reconciliation of the Governmental Funds Balance Sheet
to the Statement of Net Position
September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
27
Total fund balance - total governmental funds 76,484,725$
The City uses internal service funds to charge the costs of certain activities, such as capital
assets, administrative services and information technology to the City's other funds. The assets
and liabilities of the internal service funds are included in governmental functions in the 402,356,992
statement of net position.
Capital assets, net of accumulated depreciation, used in governmental activities are not
current financial resources and therefore are not reported in the governmental funds
balance sheet.25,279,047
Long-term debt is not due and payable using available resources and is not recorded in
the governmental funds balance sheet. The impact of recognizing long-term debt, and related
items is as follows:
Bonds payable (176,879,599)
Premiums on bond issuance (6,020,112)
Deferred charge on refunding bonds 2,168,690
Accrued interest (755,583)
Other long-term liabilities, and related amounts, are not due and payable using available
resources and are not recorded in the governmental funds balance sheet. The impact of
recognizing these items is as follows:
Compensated absences (5,244,537)
Other post-employment benefits (1,147,893)
Net pension liability (19,553,749)
Deferred outflow related to pension 8,006,009
Revenues from property taxes are deferred in the governmental fund balance sheet until they
are considered available to fund current expenditures, but such revenues are recognized in the
government-wide statements.441,252
Long-term receivables are not recognized in the governmental fund balance sheet until the
funds are considered available to fund current expenditures. 2,877,185
Net position of governmental activities 308,012,427$
Amounts reported for governmental activities in the statement of net position are different because:
Page 77 of 297
City of Georgetown, Texas
Statement of Revenues, Expenditures, and
Changes in Fund Balance – Governmental Funds
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
28
Georgetown
Transportation General Nonmajor Total
General Enhancement Debt Capital Governmental Governmental
Fund Corporation Service Projects Funds Funds
REVENUES
Property taxes 12,604,850$ -$ 11,975,432$ -$ -$ 24,580,282$
Penalties and interest 81,401 - - - - 81,401
Property assessment - - - - 1,447,839 1,447,839
Sales tax 13,595,005 6,275,734 - - 3,137,867 23,008,606
Franchise taxes 4,973,295 - - - - 4,973,295
Other taxes 363,455 - - - 1,216,063 1,579,518
Licenses and permits 2,652,279 - - - - 2,652,279
Charges for service 11,838,632 - - - 2,435,034 14,273,666
Fines and forfeitures 453,675 - - - 46,902 500,577
Donations and grants 251,974 2,553,529 - 312,300 1,940,665 5,058,468
Investment income 75,836 164,952 59,063 317,416 54,803 672,070
Other revenue 497,196 7,539 - 109,550 1,434,148 2,048,433
Total revenues 47,387,598 9,001,754 12,034,495 739,266 11,713,321 80,876,434
EXPENDITURES
Current
Culture / recreation 9,552,133 - - - 1,810,148 11,362,281
Development 2,389,998 - - - 127,987 2,517,985
Fire services 12,500,721 - - - 2,347,749 14,848,470
General government 4,436,866 329,601 - - 25,000 4,791,467
Highways and streets 4,120,784 - - - 2,871,275 6,992,059
Police 14,471,049 - - - 266,022 14,737,071
Environmental services 6,189,991 - - - 138,869 6,328,860
Capital outlay - 11,598,850 - 27,383,102 238,037 39,219,989
Debt service
Principal retirement - 540,000 9,832,836 - - 10,372,836
Interest and fiscal char ges - 419,185 5,048,765 340,975 - 5,808,925
Total expenditures 53,661,542 12,887,636 14,881,601 27,724,077 7,825,087 116,979,943
Excess (deficiency) of revenues
over (under ) expenditures (6,273,944) (3,885,882) (2,847,106) (26,984,811) 3,888,234 (36,103,509)
OTHER FINANCING SOURCES (USES)
Transfers in 9,592,342 521,611 2,918,842 548,463 2,382,640 15,963,898
Transfers out (2,489,735) (2,577,502) - (2,190,632) (2,788,864) (10,046,733)
Premiums on issuance of bonds - 369,010 - 1,430,276 - 1,799,286
Issuance of bonds - - - 17,210,000 - 17,210,000
Payment to refunding
escrow agent - - - - - -
Refunding bonds issued - 5,750,000 - - - 5,750,000
Total other financing
sources (uses ) 7,102,607 4,063,119 2,918,842 16,998,107 (406,224) 30,676,451
Net change in fund balances 828,663 177,237 71,736 (9,986,704) 3,482,010 (5,427,058)
FUND BALANCES, beginning of year 12,496,962 19,304,875 1,867,190 41,443,356 6,799,400 81,911,783
FUND BALANCES, end of year 13,325,625$ 19,482,112$ 1,938,926$ 31,456,652$ 10,281,410$ 76,484,725$
Page 78 of 297
City of Georgetown, Texas
Reconciliation of the Governmental Funds Statement of Revenues, Expenditures, and
Changes in Fund Balance
to the Statement of Activities – Governmental Funds
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
29
(5,427,058)
The City uses internal service funds to charge the costs of certain activities, such as fleet
management and information technology to appropriate functions in other funds. The change
in net position of internal service funds is recognized in governmental actvities in the statement
of activities.4,107,422
Current year capital outlays are expenditures in the fund statements, but are shown as
increases in capital assets in the government-wide financial statements. The effect of
removing the current year capital outlays is to increase net position. Depreciation is not
recognized as an expenditure in governmental funds since it does not require the use of
current financial resources.
Capital outlay 39,219,989
Depreciation (3,210,695)
Capital assets contributed or donated to the City are not recognized in governmental funds
since they do not provide current financial resources, but are recognized in the statement
of activities as program revenues 3,222,539
Proceeds from issuance of long-term debt are recognized as other financing sources in
the governmental funds, but are treated as an increase in liabilities in the governmental
activities. Principal payments on long-term debt are recognized as expenditures in the
governmental funds, but are treated as reductions of liabilities in the governmental activities.
Deferred charges on refunding bonds are recognized in the governmental activities, and
amortized with the related long-term debt. Premiums on long-term debt issuances are
recognized as other financing sources in the governmental funds, but are presented as
a component of long-term debt and amortized in the governmental activities.
Bond payments 10,473,924
Issuance of bonds (22,960,000)
Amortization of bond premiums 375,830
Premium on issuance of bonds (1,799,285)
Amortization of deferred charge on refunding (296,078)
Interest is accrued on outstanding debt in the governmental activities statement of net
position, but in the governmental fund financial statements the expenditure is reported
when due.(97,928)
Compensated absences, other post-employment benefit obligations, pension liability, and
related deferred inflows and outflows of resources are not recognized in the governmental
funds as they will not be settled with current financial resources; however these obligations
are recognized in the governmental activities statement of net position. The change in these
amounts for the current year is:
Net pension liability (950,871)
Deferred outflow related to pension (1,372,976)
Compensated absences 82,767
Other post-employment benefit obligations (175,016)
Changes to revenue deferred in the governmental funds but recognized in the governmental
activities and to long-term note receivables not recorded in the governmental funds for the
current year are:
Deferred revenue 73,147
Note receivable (100,000)
Change in net position of governmental activities 21,165,711$
Net change in fund balances - governmental funds
Amounts reported for governmental activities in the statement of activities are different because:
Page 79 of 297
City of Georgetown, Texas
Statement of Revenues, Expenditures, and Changes in Fund Balance
Budget and Actual – General Fund
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
30
Actual Variance to
Budgetary Final
Original Final Basis Budget
REVENUES
Property taxes 12,475,000$ 12,604,850$ 12,604,850$ -$
Penalties and interest 80,000 81,401 81,401 -
Sales tax 12,818,683 13,595,005 13,595,005 -
Franchise taxes 5,142,035 4,648,758 4,973,295 324,537
Licenses and permits 2,276,510 2,652,478 2,652,479 1
Charges for services 11,499,824 11,838,431 11,838,431 -
Fines and forfeitures 566,830 453,675 453,675 -
Other taxes 352,800 363,455 363,455 -
Investment income 25,500 75,387 75,837 450
Miscellaneous 434,951 720,855 749,169 28,314
Total revenues 45,672,133 47,034,295 47,387,597 353,302
EXPENDITURES
Current
Culture / recreation 9,584,613 9,584,613 9,434,240 150,373
Development 2,757,848 2,924,944 2,447,208 477,736
Environmental services 5,879,717 6,202,801 6,192,028 10,773
Fire services 12,465,079 12,435,998 12,484,997 (48,999)
General government 4,221,081 4,239,960 4,541,802 (301,842)
Highways and streets 4,508,246 4,758,246 3,757,464 1,000,782
Police services 14,751,924 14,744,642 14,499,399 245,243
Total expenditures 54,168,508 54,891,204 53,357,138 1,534,066
Excess (Deficiencies) of revenues
over expenditures (8,496,375) (7,856,909) (5,969,541) 1,887,368
OTHER FINANCING SOURCES (USES)
Transfers in 8,505,241 9,592,342 9,592,342 -
Transfers out (1,444,716) (1,512,955) (2,489,735) (976,780)
Total other financing sources (uses) 7,060,525 8,079,387 7,102,607 (976,780)
EXCESS (DEFICIENCY) OF REVENUES AND
OTHER FINANCING SOURCES OVER
EXPENDITURES AND OTHER
FINANCING SOURCES (USES)(1,435,850) 222,478 1,133,066 910,588
FUND BALANCES, beginning of period 10,168,638 10,168,638 10,996,406 827,768
FUND BALANCES, end of period 8,732,788$ 10,391,116$ 12,129,472 1,738,356$
ADJUSTMENTS TO GAAP
Net changes in unrealized gains/(losses) on investments (1,629)
Reserve for encumbrances 919,906
Reverse voided purchase orders 250,569
Reverse prior year adjustments 27,307
FUND BALANCE - GAAP BASIS, end of period 13,325,625$
Budgeted Amounts
Page 80 of 297
City of Georgetown, Texas
Statement of Net Position
Proprietary Funds
September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
31
Governmental
Activities
ASSETS
CURRENT ASSETS
Cash and cash equivalents -$ 47,820,553$ 95,145$ 47,915,698$ 9,853,541$
Cash and cash equivalents - restricted 2,794,576 14,912,081 1,526,781 19,233,438 -
Investments - - - - 3,111,645
Investments - restricted - 19,808,003 512,187 20,320,190 -
Prepaid expenses 1,722,562 3,100,458 128,343 4,951,363 398,626
Accounts receivable
Services, net 9,597,423 5,711,380 509,091 15,817,894 379,465
Other 481,335 165,112 27,123 673,570 -
Due from other funds 77,690 3,948,601 - 4,026,291 -
Inventories 3,682,515 - 49,683 3,732,198 664,707
Total current assets 18,356,101 95,466,188 2,848,353 116,670,642 14,407,984
NONCURRENT ASSETS
Long-term note receivables - 761,957 - 761,957 -
Capital assets
Land and land rights 1,590,704 1,104,984 981,500 3,677,188 214,066
Distribution and water systems 167,809,105 347,708,553 51,073,009 566,590,667 -
Buildings and improvements 73,707 3,676,432 3,845,731 7,595,870 2,013,566
Machinery, furniture and equipment 1,452,031 1,466,456 2,461,957 5,380,444 36,857,323
Construction in progress - 7,358,762 7,781,395 15,140,157 63,894
Less accumulated depreciation (45,548,031) (87,720,940) (17,874,697) (151,143,668) (25,712,636)
Total capital assets (net of
accumulated depreciation)125,377,516 273,594,247 48,268,895 447,240,658 13,436,213
Total noncurrent assets 125,377,516 274,356,204 48,268,895 448,002,615 13,436,213
TOTAL ASSETS 143,733,617 369,822,392 51,117,248 564,673,257 27,844,197
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflow related to pension 1,312,696 910,944 175,045 2,398,685 -
Deferred charge on refunding 729,330 500,447 69,183 1,298,960 -
TOTAL DEFERRED OUTFLOWS
OF RESOURCES 2,042,026 1,411,391 244,228 3,697,645 -
TOTAL ASSETS AND
DEFERRED OUTFLOWS OF RESOURCES 145,775,643$ 371,233,783$ 51,361,476$ 568,370,902$ 27,844,197$
Internal
Service
Funds
Water
Services
Fund
Electric
Fund Total
Nonmajor
Enterprise Funds
Page 81 of 297
City of Georgetown, Texas
Statement of Net Position – Continued
Proprietary Funds
September 30, 2017
32
Governmental
Activities
LIABILITIES AND NET POSITION
CURRENT LIABILITIES
Accounts payable 5,095,513$ 2,090,974$ 101,060$ 7,287,547$ 1,830,286$
Accrued employee benefits 217,054 181,365 33,842 432,261 64,235
Due to other funds 3,868,660 - - 3,868,660 235,319
Unearned revenue 20,321 76,434 10,487 107,242 351,728
Current portion of long-term debt 2,885,083 3,561,560 508,473 6,955,116 -
Accrued interest 163,163 322,272 23,155 508,590 -
Construction contracts and
retainages payable 4,863 300,460 - 305,323 -
Customer deposits 1,392,306 - - 1,392,306 -
Total current liabilities 13,646,963 6,533,065 677,017 20,857,045 2,481,568
NONCURRENT LIABILITIES
Accrued employee benefits 284,978 238,643 44,702 568,323 83,582
Net pension liability 2,529,857 1,755,589 337,351 4,622,797 -
Long-term debt 32,526,258 67,188,873 5,077,467 104,792,598 -
Total noncurrent liabilities 35,341,093 69,183,105 5,459,520 109,983,718 83,582
TOTAL LIABILITIES 48,988,056 75,716,170 6,136,537 130,840,763 2,565,150
NET POSITION
Net investment in capital assets 93,490,055 237,996,082 42,752,138 374,238,275 13,436,213
Unrestricted 3,297,532 57,521,531 2,472,801 63,291,864 11,842,834
Total net position 96,787,587 295,517,613 45,224,939 437,530,139 25,279,047
TOTAL LIABILITIES AND NET POSITION 145,775,643$ 371,233,783$ 51,361,476$ 568,370,902$ 27,844,197$
Electric
Fund
Water
Services
Fund
Nonmajor
Enterprise Funds Total
Internal
Service
Funds
Page 82 of 297
City of Georgetown, Texas
Statement of Revenues, Expenses, and Changes in Fund Net Position
Proprietary Funds
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
33
Governmental
Activities
OPERATING REVENUES
Service charges
Electric 65,001,374$ -$ -$ 65,001,374$ -$
Water - 27,158,332 - 27,158,332 -
Wastewater - 10,617,839 - 10,617,839 -
Other 1,023,326 4,637,946 6,728,609 12,389,881 34,191,385
Total operating revenues 66,024,700 42,414,117 6,728,609 115,167,426 34,191,385
OPERATING EXPENSES
Electric 16,712,384 - - 16,712,384 -
Water - 21,485,743 - 21,485,743 -
Depreciation 2,852,290 8,793,410 1,462,193 13,107,893 2,656,470
Utility contracts 45,860,499 5,758,868 - 51,619,367 -
Plant management - 1,948,524 - 1,948,524 -
Other - - 5,340,382 5,340,382 31,108,179
Total operating expenses 65,425,173 37,986,545 6,802,575 110,214,293 33,764,649
NET OPERATING INCOME (LOSS)599,527 4,427,572 (73,966) 4,953,133 426,736
NONOPERATING REVENUES (EXPENSES)
Investment income 54,713 474,833 14,504 544,050 59,065
Donations and grants 6,235 5,919 5,929,866 5,942,020 -
Interest and fiscal charges (958,386) (1,973,557) (203,257) (3,135,200) -
Gain on disposed assets - - - - 164,839
Other 4,084,569 14,182,257 49,107 18,315,933 108,896
Total nonoperating revenues
(expenses) 3,187,131 12,689,452 5,790,220 21,666,803 332,800
INCOME BEFORE CONTRIBUTIONS
AND TRANSFERS 3,786,658 17,117,024 5,716,254 26,619,936 759,536
CONTRIBUTIONS AND TRANSFERS
Capital contributions 1,212,155 9,074,364 2,036,231 12,322,750 76,907
Transfers in - - 5,249 5,249 3,295,979
Transfers out (5,262,925) (3,316,531) (613,937) (9,193,393) (25,000)
Total contributions and transfers (4,050,770) 5,757,833 1,427,543 3,134,606 3,347,886
Change in net position (264,112) 22,874,857 7,143,797 29,754,542 4,107,422
NET POSITION, beginning of period 97,051,699 272,642,756 38,081,142 407,775,597 21,171,625
TOTAL NET POSITION, end of period 96,787,587$ 295,517,613$ 45,224,939$ 437,530,139$ 25,279,047$
Electric
Fund Total
Internal
Service Funds
Nonmajor
Enterprise Funds
Water
Services Fund
Page 83 of 297
City of Georgetown, Texas
Statement of Cash Flows
Proprietary Funds
For the Fiscal Year Ended September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
34
Governmental
Water Nonmajor Activities
Electric Services Enterprise Internal
Fund Fund Funds Total Service Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers 71,866,594$ 56,103,385$ 6,722,828$ 134,692,807$ 34,026,546$
Payments to suppliers (59,999,774) (23,098,409) (3,808,789) (86,906,972) (19,293,209)
Payments to employees for services (6,240,441) (3,945,578) (901,643) (11,087,662) (11,792,073)
Net cash provided by operating activities 5,626,379 29,059,398 2,012,396 36,698,173 2,941,264
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers in - - 5,249 5,249 3,295,979
Transfers out (5,262,925) (3,316,531) (613,937) (9,193,393) (25,000) Net cash provided by (used in)
noncapital financing activities (5,262,925) (3,316,531) (608,688) (9,188,144) 3,270,979
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Acquisition of capital assets (5,696,843) (8,840,550) (917,655) (15,455,048) (2,546,857)
Donations and grants 6,235 5,919 99,107 111,261 -
Security deposit - - - - -
Proceeds from issuance of long-term debt 7,154,960 20,410,350 - 27,565,310 -
Principal paid on revenue and certificates of obligation bonds (2,512,166) (3,546,953) (524,609) (6,583,728) -
Interest paid on revenue and certificates of obligation bonds (901,470) (1,857,543) (202,721) (2,961,734) -
Net cash used in
capital and related financing activities (1,949,284) 6,171,223 (1,545,878) 2,676,061 (2,546,857)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 54,713 474,833 14,504 544,050 59,065
Change in temporary investments - 3,527,185 (88,927) 3,438,258 1,711,749
Net cash provided by investing activities 54,713 4,002,018 (74,423) 3,982,308 1,770,814
Net change in cash and cash equivalents (1,531,117) 35,916,108 (216,593) 34,168,398 5,436,200
CASH AND CASH EQUIVALENTS, beginning of year 4,325,693 26,816,526 1,838,519 32,980,738 4,417,341
CASH AND CASH EQUIVALENTS, end of year 2,794,576$ 62,732,634$ 1,621,926$ 67,149,136$ 9,853,541$
CLASSIFIED AS
Current assets -$ -$ -$ -$ 9,853,541$
Restricted assets 2,794,576 62,732,634 1,621,926 67,149,136 -
Total 2,794,576$ 62,732,634$ 1,621,926$ 67,149,136$ 9,853,541$
NON-CASH DISCLOSURE
Capital contributions 1,212,155$ 9,074,364$ 2,036,231$ 12,322,750$ 76,907$
OPERATING INCOME (LOSS)599,527$ 4,427,572$ (73,966)$ 4,953,133$ 426,736$
Adjustments to reconcile operating income (loss) to
cash provided by operating activities
Depreciation 2,852,290 8,793,410 1,462,193 13,107,893 2,656,470
Gain on disposal of asset - - - - 164,839
Other income 4,084,569 14,182,257 - 18,266,826 108,896
Decrease (increase) in other assets - - - - -
Decrease (increase) in prepaid expenses 27,326 (187,617) 652,828 492,537 (48,000)
Decrease (increase) in inventories 446,721 - (7,913) 438,808 47,209
Decrease (increase) in accounts receivable 1,549,347 (502,877) (5,781) 1,040,689 (343,247)
Decrease (increase) in customer deposits 207,978 - - 207,978 -
Increase (decrease) in due to/from other funds (1,670,455) 2,702,431 - 1,031,976 -
Increase (decrease) in accounts payable (2,618,719) (495,697) (27,193) (3,141,609) 20,639
Increase (decrease) in unearned revenue - 9,888 - 9,888 (95,327)
Increase (decrease) in net pension liability 123,025 85,373 12,886 221,284 -
Increase (decrease) in accrued employee benefits 24,770 44,658 (658) 68,770 3,049
Net cash provided by operating activities 5,626,379$ 29,059,398$ 2,012,396$ 36,698,173$ 2,941,264$
Page 84 of 297
City of Georgetown, Texas
Statement of Fiduciary Net Position
Agency Funds
September 30, 2017
The Notes to Financial Statements are an integral part of this statement.
35
ASSETS
Cash and cash equivalents 29,862$
Accounts receivable 18,454
TOTAL ASSETS 48,316$
LIABILITIES
Accounts payable 29,862$
Due to other governments 18,454
TOTAL LIABILITIES 48,316$
Page 85 of 297
36
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Page 86 of 297
37
Notes Section
Page 87 of 297
38
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Page 88 of 297
City of Georgetown, Texas
Notes to Financial Statements
39
Note 1. Summary of Significant Accounting Policies
The accounting and reporting policies of the City of Georgetown, Texas, (the City), included in the
accompanying basic financial statements conform to the generally accepted accounting principles
(GAAP) applicable to state and local governments. The Governmental Accounting Standards Board
(GASB) is the accepted standard-setting body for establishing governmental accounting and financial
reporting principles. The following notes to the financial statements are an integral part of the City's
Comprehensive Annual Financial Report.
A. Reporting Entity
The City of Georgetown was incorporated under the laws of the State of Texas in 1848 and operates
under a Council-Manager form of government. The City’s financial statements include the accounts of
all City operations. Generally accepted accounting principles require all funds that are controlled by or
are dependent on the City Council to be included in the City’s financial statements. The reporting entity
is the primary government, or the City, and those component units for which the primary government is
financially accountable. Financial accountability is defined as the appointment of a voting majority of
the potential component unit‘s board and either the ability to impose its will by the primary government
or the possibility that the component unit will provide a financial benefit or impose a financial burden on
the primary government. Blended component units, although legally separate entities are, in substance,
part of the government’s operations and so data from these units are combined with the data of the
primary government. Based upon these considerations, the City’s financial statements include the
Georgetown Transportation Enhancement Corporation (GTEC) as a blended component unit.
Discretely presented component units, on the other hand, are reported in a separate column in the
government-wide financial statements to emphasize they are legally separate from the primary
government, and whose exclusion would cause the reporting entity’s financial statements to be
misleading or incomplete. Based upon these considerations, the City’s financial statements include the
Georgetown Economic Development Corporation (GEDCO) as a discretely presented component unit.
Blended Component Unit
GTEC, the City’s 4B economic development corporation, is a legally separate entity from the City that
was created in May 2001 by voters approving an additional sales tax. GTEC is governed by a
seven-member board appointed by City Council, of which two are Council members. The City Council
maintains budgetary control over the corporation. The City Manager serves as the General Manager of
the corporation and the City’s Finance Director acts as the Financial Manager. For financial reporting
purposes, GTEC is presented as a blended component unit within City operations because its sole
purpose is to utilize sales tax revenues for the improvement of the City’s transportation system. The
revenues and expenditures for GTEC are accounted for in a general capital projects fund. The City
issues debt on behalf of GTEC in exchange for pledged sales tax revenue that is transferred to the City
to reimburse for debt service related to the bonds. GTEC’s debt is shown in the Governmental Activities
in the Statement of Net Position.
Discretely Presented Component Unit
GEDCO has been included in the reporting entity as a discretely presented component unit. GEDCO
cannot be considered a blended component unit because the revenues are not only for the benefit of
the City. GEDCO was created by the City in May 2005, under the Texas Development Act of 1979 for the
purpose of promoting, assisting, and enhancing economic and development activities on behalf of the
City. It is funded through voter authorized sales tax. The seven member Board, which includes two City
Council members, is appointed by and serves at the discretion of the City Council. City Council
approval is required for annual budgets and bonded debt issuance, therefore the City can impose its
will on GEDCO. In the event of dissolution, net assets of GEDCO shall be converted to the City.
Accordingly, the City accounts for GEDCO as a discretely presented component unit on the
government-wide financial statements.
Page 89 of 297
City of Georgetown, Texas
Notes to Financial Statements
40
GEDCO is audited as part of the City of Georgetown; however, separately issued unaudited financial
statements are available through the City of Georgetown’s Finance Department.
Related Organizations
The Mayor and City Council are responsible for appointing a voting majority of the members of some
local boards and commissions, but the City's accountability for these organizations does not extend
beyond making the appointments. These entities are the Georgetown Industrial Development
Corporation, Georgetown Hospital Authority, Georgetown Housing Authority, and Georgetown Higher
Education Finance Corporation.
B. Basis of Presentation
Basic Financial Statements
The basic financial statements include both government-wide financial statements (based on the City
as a whole) and fund financial statements. Both sets of financial statements classify activities as either
governmental, which are supported by taxes and intergovernmental revenues, or business-type
activities, which rely on fees and charges for support.
Government-wide Financial Statements
The government-wide Statement of Activities demonstrates the degree to which the direct expenses of
a given program or function is offset by the program’s revenues. Direct expenses are those that are
clearly identifiable with a specific program. Program revenues include 1) charges to customers or
applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given
program and 2) grants and contributions that are restricted to meeting the operational or capital
requirements of a particular program. Taxes and other items not properly included among program
revenues are reported instead as general revenues. The effect of interfund activity within the
governmental and business-type activities columns has been removed from these statements.
Fund Financial Statements
The City segregates transactions related to certain functions or activities in separate funds in order to
aid financial management and to demonstrate legal compliance. Each fund is considered a separate
accounting entity and the operations of each fund are accounted for using a separate set of
self-balancing accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or
expenses, as appropriate. Governmental resources are allocated to and accounted for in individual
funds based upon the purposes for which they are to be spent and the means by which spending
activities are controlled. Separate statements are presented for governmental funds, proprietary funds,
and fiduciary funds, even though the latter are excluded from the government-wide financial
statements. These statements present each major fund as a separate column on the fund financial
statements; all non-major funds are aggregated and presented in a single column.
The government-wide focus is on the sustainability of the City as an entity and the change in net
financial position resulting from the activities of the fiscal period. The focus of the fund financial
statements is on the major individual funds of the governmental and business-type categories. Each
presentation provides a different focus, which allows the reader to compare and analyze the
information to enhance the usefulness of the statements.
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Governmental Fund Types
Governmental Funds are those funds through which most governmental functions typically are
financed. The measurement focus of governmental funds (in the fund financial statements) is on the
sources, uses, and balance of current financial resources and include the General Fund, Special
Revenue Funds, Debt Service Fund and Capital Projects Fund. The individual funds are described as
follows:
Major Governmental Funds
General Fund - The General Fund is the general operating fund of the City. It is used to account for all
financial resources except those required to be accounted for in another fund.
Georgetown Transportation Enhancement Corporation – This capital projects fund is used to account
for the City’s 4B Corporation activities, created to administer the voter approved half-cent sales tax for
transportation improvements that aid in economic development efforts.
Debt Service Fund - The Debt Service Fund is used to account for the accumulation of resources for,
and the payment of, general long-term debt principal, interest, and related costs.
General Capital Projects Fund – This capital projects fund is used to account for financial resources to
be used for the acquisition or construction of parks, buildings, and other facilities. Such resources are
derived from proceeds of general obligation bonds or other sources of revenue specifically set aside for
capital projects.
Non-major Governmental Funds
Special Revenue Funds - The Special Revenue Funds are used to account for the proceeds of specific
revenue sources (other than expendable trusts or major capital projects) that are restricted to
expenditures for specified purposes.
Proprietary Fund Types
The Proprietary Fund Types are used to account for the City's organization and activities which are
similar to those often found in the private sector. These funds are financed and operated in a manner
similar to private business enterprises – where the intent of the City is that the costs (expenses, including
depreciation) of providing goods or services to the general public on a continuing basis be financed or
recovered mainly through user charges; or 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 the proprietary funds principal on-going operations. Operating expenses for the
proprietary funds include the cost of personnel and contractual services, supplies and depreciation on
capital assets. All revenues and expenses not meeting this definition are reported as non-operating
revenues and expenses.
Major Proprietary Funds
Electric Fund – This fund accounts for the City’s electric utility, including operations, maintenance of the
infrastructure and expansion of the system within the City’s service territory.
Water Services Fund – This fund accounts for the City’s water, sewer and water reuse systems, including
operations, contracted maintenance, internal maintenance, expansion of the system within the City’s
service territory and the costs of environmental mandates that arise.
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Non-Major Proprietary Funds
Enterprise Funds - The funds that are operated as enterprise funds within the City but are not considered
major funds are the Stormwater Drainage and Airport Funds.
Internal Service Funds - The Internal Service Funds, which provide services primarily to other funds of the
government, are presented in the summary form as part of the proprietary fund financial statements.
The financial statements of the internal service funds are allocated in the governmental column when
presented at the government-wide level. Various operations are accounted for as internal service
funds, such as operational costs associated with automobile and heavy equipment owned by the City
and made available to various departments, costs related to maintaining and repairing City owned
facilities, operational costs associated with the City's computer equipment within various departments,
as well as jointly shared administrative departments.
Fiduciary Fund Type – Agency Funds
The City’s fiduciary fund is presented in the fund financial statements by type. Since by definition, these
assets are being held for the benefit of a third party and cannot be used to address activities or
obligations of the government, these funds are not incorporated in the government-wide statements.
The City’s fiduciary fund accounts for the operations of Cimarron Hills Public Improvement District in
which taxes are received from the taxable value in Cimarron Hills and subsequently disbursed to the
developer. It also accounts for the Texas Capital Fund Program whereby lease payments on certain
property are received by the City and subsequently disbursed to the State of Texas.
C. Measurement Focus/Basis of Accounting
The accounting and financial reporting treatment applied to a fund is determined by its measurement
focus. Measurement focus refers to what is being measured and basis of accounting refers to timing of
revenue and expenditure recognition in the financial statements.
The government-wide statements and fund financial statements for proprietary funds are reported using
the economic resources measurement focus and the accrual basis of accounting. The agency fund
also uses the accrual basis of accounting. The economic resources measurement focus means all assets
and liabilities (whether current or non-current) are included on the statement of net position and the
operating statements present increases (revenues) and decreases (expenses) in net total position.
Under the accrual basis of accounting, revenues are recognized when earned, including unbilled utility
services which are accrued. Expenses are recognized at the time the liability is incurred.
Governmental fund financial statements are reported using the current financial resources
measurement focus and are accounted for using the modified accrual basis of accounting. With this
measurement focus, only current assets and current liabilities generally are included on the balance
sheet. Operating statements of these funds present increases (i.e., revenues and other financing
sources) and decreases (i.e., expenditures and other financing uses) in net current assets.
Under the modified accrual basis of accounting, revenues are recorded when susceptible to accrual,
i.e., both measurable and available. Available means collectible within the current period or soon
enough thereafter to be used to pay liabilities of the current period. The City considers all revenues
available if they are collected within sixty (60) days after year-end. Expenditures are recognized when
the related fund liability is incurred, if measurable, except for principal and interest on general long-term
debt, which are recorded when due, and compensated absences, which are recorded when payable
from current available financial resources.
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Ad valorem, sales, hotel, and franchise tax revenues recorded in the Governmental Fund Types are
recognized under the susceptible to accrual concept. Licenses and permits, charges for services, fines
and forfeitures, and miscellaneous revenues (except earnings on investments) are recorded as
revenues when received in cash because they are generally not measurable until actually received.
Investment earnings are recorded as earned since they are measurable and available.
D. Budgets
At least 30 days prior to the end of each fiscal year, the City Manager submits a proposed budget
presenting a complete financial plan for the ensuing fiscal year to the City Council (the Council). Public
hearings are conducted, at which time all interested persons' comments concerning the budget are
heard. The budget must be legally adopted by the Council through passage of an ordinance no later
than the 27th day of the last month of the fiscal year.
Formal budgetary integration is employed as a management control device during the year for all
Governmental and Proprietary Fund Types. Budgets for all funds were legally adopted for the period.
Budgetary control is exercised at the division level. All budgets are prepared on the budgetary basis,
recognizing encumbrances outstanding at year-end as expenditures against that year’s appropriation.
These encumbrances are reconciled to generally accepted accounting principles where appropriate.
The Council may transfer any unencumbered appropriation balance or portion thereof from one
division, office, department, or agency to another at any time. The City Manager has authority, without
Council approval, to transfer appropriation balances from one expenditure account to another within a
single division, office, department, or agency of the City; however, unbudgeted transfers between
funds are prohibited.
The Council may authorize by a majority plus one vote, an emergency expenditure as an amendment
to the original budget, but only in a case of grave public necessity, to meet an unusual and unforeseen
condition that could not have been included in the original budget through the use of reasonable,
diligent thought and attention. The governing body may make changes to the budget for other
municipal purposes.
Budget amounts are as originally adopted, or as transferred pursuant to authorization of the City
Manager or amended by the City Council. Individual amendments were not material in relation to the
original appropriations, with the exception of amendments related to capital projects and grant
expenditures, whose actual costs were unknown when the budget was adopted. Unencumbered
appropriations lapse each year at September 30.
The Statement of Revenues, Expenditures, and Changes in Fund Balances – Budget and Actual –
General Fund presents a comparison of budgetary data to actual results. The General Fund utilizes the
same basis of accounting for both budgetary purposes and actual results, except for the effect of
encumbrances and unrealized investment gains and losses, which are reconciled to the actual results
for this comparison.
E. Encumbrances
Encumbrance accounting is employed as an extension of formal budgetary control in all governmental
and proprietary funds. Encumbrance accounting is a process whereby purchase orders, contracts and
other commitments for the expending of monies are recorded in order to reserve that portion of the
applicable appropriation. Outstanding year-end encumbrances are classified as restricted, committed,
or assigned components of fund balance, as applicable, and do not constitute expenditures or liabilities
because the commitments are carried forward into the subsequent fiscal year.
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F. Cash and Investments
For cash flow purposes, cash and cash equivalents consist of demand deposits, certificates of deposits
and deposits in authorized investment pools.
The operating cash balances from all funds are consolidated in pooled cash and investment accounts.
Excess pooled balances are invested in U.S. Treasury securities, U.S. Government agency securities, fully
collateralized money market funds and local government investment pools. Maturities on all investments
are consistent with the City’s cash flow requirements. Investments, except for the investment pools, for
the City are reported at fair value. The investment pools operate in accordance with appropriate state
laws and regulations and are reported at amortized cost. Interest earnings are then allocated to each
fund based on average monthly pooled equity balances. Separate cash and investment accounts are
maintained for restricted cash such as debt service and bond proceeds reserved for future
construction.
G. Restricted Assets
Certain cash and investments are restricted by various legal and contractual obligations. Included in
the restricted assets are capital recovery fees (impact fees) restricted by law for future capital
improvements, customer deposits, and specific bond proceeds restricted for use.
H. Inventories and Prepaid Items
Inventories consist of electric materials, jet fuel, office and other supplies valued at the weighted
average cost method and are recognized as expenditures or expenses when used. The prepaid items
consist of required payments made to a vendor for a contract in the following fiscal year. These items
are accounted for using the consumption method.
I. Interfund Receivables and Payables
Short-term advances between funds are accounted for in the appropriate interfund receivable and
payable accounts. Negative balances incurred in pooled cash at year-end are treated as interfund
receivables of the Water Services Fund and interfund payables of the deficit fund.
J. Note Receivable
Long-term note receivable, which consists of the principal amount of the loan, is reported in the
governmental fund statements with an offset to nonspendable fund balance as resources are not
available for expenditure. Long-term note receivable reported in the governmental activities on the
government-wide statement of net position is not offset by unavailable revenue as it is recorded on an
accrual basis at its net realizable value.
K. Interfund Transactions
All legally authorized transfers have been appropriately presented as interfund transfers and are
included in the fund financial statements of both Governmental and Proprietary Fund types. As a
general rule, the effect of interfund activity has been eliminated from the government-wide financial
statements.
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L. Intergovernmental Revenues
Intergovernmental revenues represent entitlements and shared revenues which are accounted for
within the fund financed. Such revenues, received for purposes normally financed through the general
government, are accounted for within the Special Revenue Funds.
M. Accrued Employee Benefits
All employees, with the exception of firefighters, may accumulate a maximum of two times their annual
vacation, up to a cap of 240 hours, or 30 days paid upon separation. Firefighters may accrue up to a
maximum cap of 360 hours that can be paid out upon separation. Upon termination, non-Civil Service
employees will not receive payment of sick leave, unless they have a balance that originated prior to
October 1, 2004. These employees were grandfathered under the old policy of receiving payment for
one-half of their balance of sick leave up to 60 days at the rate of pay when the hours were banked.
Upon termination, Civil Service employees are paid for the balance of their Civil Service sick leave
earned after July 30, 2003 or October 31, 2005 (the effective date of the regulations in the City for fire
civil service and police civil service employees, respectively), up to a maximum of 720 hours or 1,080
hours for those Firefighters on a 56 hour a week schedule on an annual basis. Civil Service employees
hired prior to the effective date of the adoption of Civil Service regulations are also eligible under city
policy to receive payment for one-half of their sick leave up to 60 days at the rate of pay when the
hours were banked.
Accumulated vacation and sick leave, which is expected to be liquidated with expendable available
financial resources, is reported as expenditure and a fund liability of the governmental fund that will pay
it. Amounts of accumulated vacation leave within governmental funds that are not expected to be
liquidated with expendable available financial resources are reported as a long-term liability on the
statement of net position. No expenditure is reported for these amounts in the fund financial statements
unless the benefits have matured, i.e. unused reimbursable leave still outstanding following an
employee’s resignation or retirement. Accumulated vacation and sick leave of proprietary fund types
are recorded as an expense and liability of those funds as the benefits accrue to employees.
N. Capital Assets
Capital Assets other than Streets and Drainage
Capital assets, which include property, plant, equipment, and infrastructure assets, are reported in the
applicable governmental or business-type activities column in the government-wide financial
statements and in the fund financial statements for proprietary funds. All capital assets are valued at
their historical cost or estimated historical cost if actual historical cost is not available. Donated assets
are valued at their acquisition value on the date donated. Repairs and maintenance are recorded as
expenses. Renewals and betterments are capitalized.
Assets capitalized, not including infrastructure assets, have an original cost of $5,000 or more and an
expected useful life of over one year.
Interest incurred during the construction phase of capital assets of business-type activities is capitalized.
Interest of $557,554 was capitalized in enterprise funds during the 2017 fiscal year.
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Depreciation for assets not following the modified approach is computed using the straight-line method
on the composite assets based upon the estimated useful lives as follows:
Distribution systems 25 to 50 years
Buildings and improvements 10 to 20 years
Furniture, fixtures, and equipment 3 to 10 years
The City records capital contributions to proprietary funds as revenue. Total capital contributions to the
enterprise funds in fiscal year 2017 were $12,322,750 and $76,907 in the internal service funds.
Contributed capital is not recorded for governmental type funds, but is recognized on the government-
wide statements and totaled $3,234,114 for the year ended September 30, 2017.
Capital Assets – Streets and Drainage
Governmental Accounting Standards Board Statement No. 34 provides for an alternative approach to
depreciation for measuring the value of infrastructure assets and the related costs incurred to maintain
their service life at a locally established minimum standard. In order to adopt this alternative method,
the City must use an asset management system, and must determine if the minimum standards are
being maintained. This measurement occurs every three years at a minimum. The City has elected to
use this alternative method for reporting its street infrastructure assets. The City contracted with the
engineering firm of Kasberg, Patrick and Associates to complete pavement condition surveys for the
City’s street network during 2014.
The City uses the CarteGraph PavementView Pavement Management Information System to track the
condition levels of each of the street sections. The entire streets inventory is captured in the system and
the condition of the pavement is based on the following factors:
Type of Distress
Amount of Distress
Severity of Distress
Deduct Values (function of the first three)
The Pavement Condition Index (PCI) is a measurement scale based upon a condition index ranging
from zero for a failed pavement to 100 for pavement with perfect condition. The condition index is used
to classify pavement in the following conditions:
PCI Rating
100-85 Good
84-45 Fair
44-0 Poor
The PCI for fiscal year 2017 is 87. The previous score for 2010-2013 was 88. This will be re-evaluated
beginning in October of 2017. The City’s administrative policy is to maintain an average PCI level of 85.
An 85 PCI is considered maintaining the streets in a “good” condition.
Staff prepares a street maintenance budget that meets this target for Council’s consideration during
the budget process.
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O. Long-term Obligations
The portion of long-term general obligation debt used to finance proprietary fund operations and
payable from the revenues of the Enterprise Funds is recorded in such funds. General obligation bonds
and other forms of long-term debt supported by general revenues are obligations of the City as a whole
and not its individual funds. Accordingly, such unmatured obligations of the City are accounted for on
the statement of net position and payments of principal and interest relating to the general obligation
bonds are recorded as expenditures when they are paid in the fund statements. Self-supporting general
obligation debt, which will be repaid from non-general revenue sources, is recorded in the appropriate
proprietary fund.
P. Pensions
For purposes of measuring the net pension liability, pension related deferred outflows and inflows of
resources, and pension expense, City specific information about its Fiduciary Net Position in the Texas
Municipal Retirement System (TMRS) and additions to/deductions from the City’s Fiduciary Net Position
have been determined on the same basis as they are reported by TMRS. For this purpose, plan
contributions are recognized in the period that compensation is reported for the employee, which is when
contributions are legally due. Benefit payments and refunds are recognized when due and payable in
accordance with the benefit terms. Investments are reported at fair value. Information regarding the
City’s Total Pension Liability is obtained from TMRS through a report prepared for the City by TMRS
consulting actuary, Gabriel Roeder Smith & Company, in compliance with Governmental Accounting
Standards Board (GASB) Statement No. 68, Accounting and Financial Reporting for Pensions.
Q. Estimates
The preparation of financial statements in conformity with U.S. generally accepted accounting
principles requires management to make estimates and assumptions that affect certain reported
amounts and disclosures. Specifically, the actuarial calculations used to determine the annual required
contributions and related liabilities of the City’s retirement plan and post-employment obligations are
based on assumptions about the possibility of events far into the future. Accordingly, actual results could
differ from those estimates.
R. Risk Financing Activity
The City of Georgetown is exposed to various risks of loss related to torts; theft of, damage to, and
destruction of assets; errors and omission; injuries to employees; and natural disasters. During fiscal year
2017, the City purchased general liability and property insurance from Texas Municipal League
Intergovernmental Risk Pool (TML-IRP). The City pays an annual premium to TML-IRP for such coverage.
TML-IRP purchases reinsurance and the City does not retain risks of loss exceeding deductibles. Settled
claims have not exceeded insurance coverage in the past three years.
The workers compensation plan is administered and paid through the Texas Municipal League-
Intergovernmental Risk Pool (TML-IRP). Under this plan, the City does not retain risks of loss exceeding the
deductibles. TML-IRP also brokers the City’s Aviation and Underground Storage Tank Pollution liability
insurance, as well as, the canine and surgical vet coverage. The City does not retain the risks of loss
exceeding the deductibles.
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S. Credit Risk
Financial investments which potentially subject the City to concentrations of credit risk consist principally
of cash, investments and accounts receivable. At September 30, 2017, there was not a significant risk
arising from cash, investments, or accounts receivable.
T. Nature and Purpose of Reservations and Designation of Fund Equity
The City’s Fund Balance is the accumulated difference between assets and liabilities within
governmental funds, and it allows the City to meet its contractual obligations, fund disaster, or
emergency costs, provide cash flow for timing purposes and fund non-recurring expenses appropriated
by City Council. The City Council has adopted a financial standard to maintain a General Fund
minimum balance of 90 days of budgeted on-going expenditures and 75 days citywide. This policy
establishes limitations on the purposes for which Fund Balances can be used in accordance with
Governmental Accounting Standards Board (GASB) Statement Number 54.
Five Components of Fund Balance
Non-spendable Fund Balance – includes inherently non-spendable assets that will never convert to
cash, as well as, assets that will not convert to cash soon enough to affect the current financial period.
Assets included in this category are prepaid items, inventory, and non-financial assets held for resale.
Restricted Fund Balance – represents the portion of fund balance that is restricted to specific purposes
that are externally imposed by creditors, grantors, contributors, laws or regulations of other
governments, such as hotel/motel tax and bond proceeds.
Committed Fund Balance – describes the portion of fund balance that can only be used for specific
purposes with constraints imposed by the formal action of the City Council’s adoption of an ordinance,
and remains binding unless the City Council removes the limitation.
Assigned Fund Balance – is that portion of fund balance that reflects the City’s intended use for a
specific purpose but is neither restricted nor committed. Assigned fund balances are determined by
City management based on Council direction, in accordance with our financial policies adopted by
resolution.
Unassigned Fund Balance – represents funds that have not been assigned to any other fund and
cannot be properly classified in one of the other four categories within the general fund.
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Below is the residual classification for the general fund:
General
Georgetown
Transportation
Enhancement
Corporation Debt Service
General
Capital
Projects
Nonmajor
Governmental
Funds
Total
Governmental
Funds
Nonspendable
Inventory/prepaids 49,015$ -$ -$ -$ -$ 49,015$
Note receivable 197,633 - - - - 197,633
Spendable
Restricted for
Debt service - - 1,938,926 - - 1,938,926
Bond funds - - - 17,258,365 - 17,258,365
Hotel/motel tax - - - - 853,337 853,337
Street maintenance tax - - - - 3,422,465 3,422,465
Other purposes - - - - 762,196 762,196
Committed for
Contingency 7,925,000 - - - - 7,925,000
Economic stability 1,150,000 1,150,000
Benefit payout 222,000 222,000
Other capital projects - 11,556,682 - - - 11,556,682
Nonmajor funds - - - - 5,405,555 5,405,555
Assigned to
Encumbrances 919,906 7,925,430 - 14,198,287 333,207 23,376,830
Unassigned 2,862,071 - - - (495,350) 2,366,721
Total fund balance 13,325,625$ 19,482,112$ 1,938,926$ 31,456,652$ 10,281,410$ 76,484,725$
When both restricted and unrestricted fund balance amounts are available for use, it is the City’s policy
to use restricted fund balance first, then unrestricted fund balance. Furthermore, committed fund
balances are reduced first, followed by assigned amounts and then unassigned amounts when
expenditures are incurred for which amounts in any of those unrestricted fund balance classifications
are available.
U. Deferred Outflows/Inflows of Resources
In addition to assets, the statement of financial position and/or balance sheet will sometimes report a
separate section for deferred outflows of resources. This separate financial statement element, deferred
outflows of resources, represents a consumption of net position that applies to a future period(s) and so
will not be recognized as an outflow of resources (expense/expenditure) until then. The City has the
following items that qualify for reporting in this category.
Deferred charges on refundings
Pension items:
o Differences between expected and actual economic experience
o Changes in actuarial assumptions
o Difference between projected and actual investment earnings
o Contributions to pension plan subsequent to the measurement date
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In addition to liabilities, the statement of financial position and/or balance sheet will sometimes report a
separate section for deferred inflows of resources. This separate financial statement element, deferred
inflows of resources, represents an acquisition of net position that applies to a future period(s) and so will
not be recognized as an inflow of resources (revenue) until that time. The City has only one type of item
that qualifies for reporting in this category. Property taxes levied, but not expected to be available to fund
obligations in the current period, are recorded as deferred inflows of resources on the balance sheet.
V. Net Position
Net position represents the difference between assets, liabilities and respective deferred outflow or
inflows of resources. A portion of net position represents net investments in capital assets which is the
total balance of the City’s investment in capital assets less accumulated depreciation and the
outstanding balances of any borrowing spent for that acquisition, construction or improvements of
those assets. Net position is reported as restricted when there are limitations imposed on their use either
through (1) the enabling legislation adopted by the City, (2) through external restrictions imposed by
grantors, or (3) laws or regulations of other governments.
Note 2. Cash and Investments
For cash flow purposes, cash and temporary investments consist of demand deposits, certificates of
deposits, and authorized investment pools. The operating cash balance from all funds is consolidated in
pooled cash and investment accounts. Excess pooled balances are invested in U.S. Treasury securities,
U.S. Government agency securities, fully collateralized money market funds and local government
investment pools. Maturities on all investments are consistent with the City’s cash flow requirements.
Investments are recorded at cost. Interest earnings are allocated to each fund based on average
monthly pooled equity balances. Separate cash and investment accounts are maintained for restricted
cash such as debt service, utility debt reserves, and bond proceeds reserved for future construction.
The investment policies of the City are governed by State statutes and a City Council adopted
Investment Policy. Major provisions of the City’s investment policy include: responsibility for investments,
authorized investments, security dealer selection and qualifying procedures, safekeeping and custodial
procedures, statement of investment objectives, and investment reporting requirements.
Deposits
Texas Statutes require that all bank deposits be insured or fully collateralized by the U.S. government
obligations or obligations of the State of Texas and its agencies. Market value of the collateral pledged
must equal at least 102% of the bank deposits not covered by federal deposit insurance.
At year-end, the carrying amount of the City’s bank deposits was $58,825,165 and the bank balances
were $53,907,106, all of which were entirely covered by Federal depository insurance or by collateral
held by the City’s agent bank in the City’s name.
In order to maximize interest earnings, the City utilizes a controlled disbursement account, which allows
the City to deposit only as much money as needed to fund checks presented each day.
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Investments
The City is authorized to invest in certificates of deposit, direct obligations of the U.S. government, U.S.
government agency securities, fully collateralized direct repurchase agreements, no-load money
market funds whose portfolios meet the City’s investment requirements, and in qualified local
government investment pools as approved by the City Council. Non-participating interest earning
contracts, including certificates of deposit, and money market accounts are reported at cost.
Investments in external investment pools are reported at amortized cost.
Interest rate risk is the potential for a decline in market value due to rising interest rates. In compliance
with the City’s Investment Policy, as of September 30, 2017, the City minimized the interest rate risk in the
portfolio by limiting the weighted average maturity of security types to no longer than two years;
structuring the investment portfolio so that securities matured to meet cash requirements for ongoing
operations and capital improvement projects; monitoring credit ratings of portfolio positions to assure
compliance with rating requirements imposed by the Public Funds Investment Act; and investing
operating funds primarily in shorter-term securities and similar government investment pools.
The City evaluated all of its cash and investment positions, and determined that it had none subject to
recurring fair value recognition or disclosures. The City’s investment balances and weighted average
maturity of such investments as of September 30, 2017 are:
September 30,
2017
Weighted
Average Maturity
Investment Pools (at amortized cost)
Texas local government
investment pool (TexPool) 8,977,662$ 1
Texas short-term asset
reserve program (TexSTAR) 61,538,666 1
Investments (at cost)
Money market accounts 52,322,314 1
Certificates of deposit 39,884,635 277
Total investments 162,723,277
Portfolio weighted average maturity 69
Carrying amount - demand deposits 13,840,530
Total cash and investments 176,563,807$
Primary Government
Credit Risk
Credit risk is the possibility that the issuer of a security will fail to make timely payments of interest or
principal. In general, the lower the credit quality of a security, the higher the yield, with all other factors
being equal. In compliance with the City’s Investment Policy, as of September 30, 2017, the City
minimized credit risk losses due to default of security issuer or backer by limiting investments to the safest
types of securities; pre-qualifying the financial institutions, broker/dealers, intermediaries, and advisors
with which the City will do business; and diversifying the investment portfolio so that potential losses on
individual securities were minimized.
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For short-term liquidity requirements, the City primarily utilizes the Texas Short-Term Asset Reserve Program
(TexSTAR). JPMorgan Fleming Asset Management, Inc. and First Southwest Asset Management, Inc.
serve as co-administrators under an agreement with the TexSTAR board of directors to provide
investment and participant services for this pool. JPMorgan Chase Bank or its subsidiary J.P. Morgan
Investor Services Co. provides the custodial, transfer agency, fund accounting, and depository services
for this pool.
The City also maintains an account with the Texas Local Government Investment Pool (TexPool). Under
the TexPool Participation Agreement, administrative and investment services to TexPool are provided by
Federated Investors, Inc. through an agreement with the State of Texas Comptroller of Public Accounts.
The State of Texas Comptroller of Public Accounts is the sole officer, director, and shareholder of the
Texas Treasury Safekeeping Trust Company authorized to operate TexPool.
At year end, balances in TexSTAR and TexPool were rated AAAm by Standard & Poor’s. All pools
operate on a $1 net asset value basis. In order to maintain a stable $1 price of the fund, the pools will
sell portfolio holdings if the ratio of the fair value of the portfolio divided by the book value of the
portfolio is less than 0.995 or greater than 1.005. The pools are stated at their measured amortized cost,
which is assumed to approximate fair value.
Note 3. Taxes
Property Taxes
Property is appraised and a lien on such property becomes enforceable as of January 1 of each year.
Taxes are levied on and payable the following October 1. Taxes become delinquent February 1 of the
following year and are subject to interest and penalty charges. Under an agreement which began
August 1, 2000, Williamson County Tax Office collects the City's taxes. In the fund financial statements,
City property tax revenues are recognized when levied to the extent that they are collected in the
current year. Taxes collected prior to the levy date to which they apply are recorded as unearned
revenues and recognized as revenue of the period to which they apply.
All collections from prior year levies are considered delinquent tax revenue for reporting purposes in the
year collected. The allowance for uncollectible taxes at September 30, 2017 was $11,314.
The City is permitted by the State of Texas to levy taxes up to $2.50 per $100 of assessed valuation for
general government services and for the payment of principal and interest on general long-term debt.
The combined current tax rate to finance general government services, including debt service for the
fiscal year ended September 30, 2017, was $0.4240 per $100 of assessed valuation.
The Williamson Central Appraisal District (Appraisal District) is responsible for the recording and appraisal
of property for all taxing units in Williamson County. The Appraisal District is required to assess property at
100% of its appraised value. Real property must be reappraised at least every four years. The City may,
at its own expense, require annual reviews by the Appraisal District through various appeals and, if
necessary, legal action. Under this system, if the rate, excluding tax rates for bonds and other
contractual obligations adjusted for new improvements, exceeds the rate for the previous year by more
than 8%, qualified voters of the City may petition for an election to determine whether to limit the tax
rate to an increase of no more than 8%.
In September 2004, voters approved an initiative to freeze property taxes for homeowners over the age
of 65 or disabled. This measure mirrors the State of Texas Constitutional Amendment Proposition 13,
which passed overwhelmingly statewide in 2003. Prop 13 gives local governments the option of
“freezing” taxes for the elderly and disabled.
Page 102 of 297
City of Georgetown, Texas
Notes to Financial Statements
53
Sales Taxes
The City has adopted the provisions of Article 1066C, Vernon's Texas Civil Statutes, as amended, which
grant the City the power to impose and levy a 1% Local Sales and Use Tax within the City. Proceeds of
the tax are credited to the General Fund except for sales taxes generated at the airport which are
credited to the Airport (Enterprise) Fund. Collections and enforcements are effected through the offices
of the Comptroller of Public Accounts, State of Texas, who remits to the City monthly the proceeds of
the tax, after deduction of a 2% service fee.
On October 1, 2001, the City began collecting an additional half-cent sales tax for its component unit,
GTEC, to fund transportation improvements that promote economic development. These funds are
reported in the GTEC General Capital Projects Fund, a blended component unit of the City.
On April 1, 2003, the City began collecting an additional quarter-cent sales tax in accordance with
Texas House Bill 445 to fund maintenance on streets that were in existence at the time the sales tax was
adopted by the voters. In November 2010 and again in November 2014, the citizens readopted this
quarter-cent sales tax option. The sunset provision will expire in March 2019. These funds are reported in
the Streets Special Revenue Fund.
On October 1, 2005, the City began collecting an additional eighth-cent sales tax in accordance with
the Texas Development Corporation Act of 1979, Article 5190.6, Section 4A Texas Revised Civil Statues
for the promotion and development of new and expanded business enterprises. This sales tax is
administered through GEDCO.
On October 1, 2005, the City began collecting an additional eighth-cent sales tax to be used toward
the reduction of ad valorem property taxes. Proceeds are credited to the City’s General Fund.
Page 103 of 297
City of Georgetown, Texas
Notes to Financial Statements
54
Note 4. Transfers
General
Fund
Debt
Service GTEC
General
Capital
Projects
Special
Revenue
Internal
Services
Nonmajor
Enterprise
Funds
Governmental funds
Major funds
General fund -$ -$ -$ -$ 2,120,008$ 369,727$ -$ 2,489,735$
GTEC - 2,577,502 - - - - - 2,577,502
General capital projects - - - - 202,632 1,988,000 - 2,190,632
Nonmajor funds
Special revenue funds 1,197,201 341,340 521,611 548,463 - 175,000 5,249 2,788,864
Internal service funds - - - - - 25,000 - 25,000
Enterprise funds
Major funds
Electric 5,131,425 - - - 60,000 71,500 - 5,262,925
Water services 3,025,779 - - - - 290,752 - 3,316,531
Nonmajor funds
Nonmajor enterprise funds 237,937 - - - - 376,000 - 613,937
9,592,342$ 2,918,842$ 521,611$ 548,463$ 2,382,640$ 3,295,979$ 5,249$ 19,265,126
Transfers eliminated in government-wide statements 10,076,982
Net transfers - statement of activities 9,188,144$
Total
Transfers
Out
Transfers In
Major Funds
Governmental
Funds
Nonmajor Funds
Enterprise
Funds
The net transfers between the governmental types and business types total $9,188,144. Per the City’s
fiscal and budgetary policy, utility operations transfer seven percent of gross billings for utility services to
the General fund as a payment of the profits of the fund or a return on investment. Other types of
transfers include grant matching, fire hydrant testing, equipment purchases, and capital project
funding.
Page 104 of 297
City of Georgetown, Texas
Notes to Financial Statements
55
Note 5. Capital Assets
Capital asset activity for the year ended September 30, 2017 was as follows:
Balance Deletions Balance
9/30/2016 Additions and Transfers 9/30/2017
Governmental activities
Capital assets not being depreciated
Land 28,611,637$ -$ 2,469,876$ 31,081,513$
Streets 181,655,391 2,635,244 - 184,290,635
Construction in progress 49,928,216 39,161,566 (14,588,825) 74,500,957
Total capital assets not being depreciated 260,195,244 41,796,810 (12,118,949) 289,873,105
Capital assets being depreciated
Equipment 47,056,676 2,630,091 61,700 49,748,467
Buildings 78,284,894 156,967 7,060,218 85,502,079
Improvements 51,682,935 500,349 4,045,181 56,228,465
Total capital assets being depreciated 177,024,505 3,287,407 11,167,099 191,479,011
Less accumulated depreciation for
Equipment (30,844,491) (3,277,902) 951,850 (33,170,543)
Buildings (14,455,222) (1,188,798) - (15,644,020)
Improvements (15,343,883) (1,400,465) - (16,744,348)
Total accumulated depreciation (60,643,596) (5,867,165) 951,850 (65,558,911)
Total capital assets being depreciated, net 116,380,909 (2,579,758) 12,118,949 125,920,100
Governmental activities capital assets, net 376,576,153$ 39,217,052$ -$ 415,793,205$
Electric activities
Capital assets not being depreciated
Land and land rights 1,579,511$ 11,193$ -$ 1,590,704$
Construction in progress 223,465 5,156,780 (5,380,245) -
Total capital assets not being depreciated 1,802,976 5,167,973 (5,380,245) 1,590,704
Capital assets being depreciated
Equipment 2,275,067 293,989 (1,117,025) 1,452,031
Buildings and improvements 73,707 - - 73,707
Distribution system 159,863,312 1,448,523 6,497,270 167,809,105
Total capital assets being depreciated 162,212,086 1,742,512 5,380,245 169,334,843
Less accumulated depreciation for
Equipment (1,030,914) (59,066) - (1,089,980)
Buildings (39,408) (4,110) - (43,518)
Distribution system (41,625,420) (2,789,113) - (44,414,533)
Total accumulated depreciation (42,695,742) (2,852,289) - (45,548,031)
Total capital assets being depreciated, net 119,516,344 (1,109,777) 5,380,245 123,786,812
Electric activities capital assets, net 121,319,320$ 4,058,196$ -$ 125,377,516$
Page 105 of 297
City of Georgetown, Texas
Notes to Financial Statements
56
Capital asset activity for the year ended September 30, 2017 was as follows:
Balance Deletions Balance
9/30/2016 Additions and Transfers 9/30/2017
Water services activities
Capital assets not being depreciated
Land and land rights 1,104,984$ -$ -$ 1,104,984$
Construction in progress 12,535,685 8,123,714 (13,300,637) 7,358,762
Total capital assets not being depreciated 13,640,669 8,123,714 (13,300,637) 8,463,746
Capital assets being depreciated
Equipment 923,353 543,103 - 1,466,456
Buildings and improvements 3,669,971 6,461 - 3,676,432
Distribution and water system 325,333,552 9,074,364 13,300,637 347,708,553
Total capital assets being depreciated 329,926,876 9,623,928 13,300,637 352,851,441
Less accumulated depreciation for
Equipment (535,214) (70,676) - (605,890)
Buildings and improvements (2,159,689) (126,241) - (2,285,930)
Distribution and water system (76,246,319) (8,582,801) - (84,829,120)
Total accumulated depreciation (78,941,222) (8,779,718) - (87,720,940)
Total capital assets being depreciated, net 250,985,654 844,210 13,300,637 265,130,501
Water services activities capital assets, net 264,626,323$ 8,967,924$ -$ 273,594,247$
Other nonmajor business-type activities
Capital assets not being depreciated
Land 981,500$ -$ -$ 981,500$
Construction in progress 1,212,441 6,795,736 (226,782) 7,781,395
Total capital assets not being depreciated 2,193,941 6,795,736 (226,782) 8,762,895
Capital assets being depreciated
Equipment 2,455,037 6,920 - 2,461,957
Buildings and improvements 3,864,907 - (19,176) 3,845,731
Distribution systems 48,790,820 2,036,231 245,958 51,073,009
Total capital assets being depreciated 55,110,764 2,043,151 226,782 57,380,697
Less accumulated depreciation for
Equipment (173,737) (11,963) - (185,700)
Buildings and improvements (2,143,202) (49,232) - (2,192,434)
Distribution systems (14,095,565) (1,400,998) - (15,496,563)
Total accumulated depreciation (16,412,504) (1,462,193) - (17,874,697)
Total capital assets being depreciated, net 38,698,260 580,958 226,782 39,506,000
Other nonmajor business-type activities
capital assets, net 40,892,201$ 7,376,694$ -$ 48,268,895$
Page 106 of 297
City of Georgetown, Texas
Notes to Financial Statements
57
Capital asset activity for the year ended September 30, 2017 was as follows:
Balance Deletions Balance
9/30/2016 Additions and Transfers 9/30/2017
Total business-type activities
Capital assets not being depreciated
Land and land rights 3,665,995$ 11,193$ -$ 3,677,188$
Construction in progress 13,971,591 20,076,230 (18,907,664) 15,140,157
Total capital assets not being depreciated 17,637,586 20,087,423 (18,907,664) 18,817,345
Capital assets being depreciated
Equipment 5,653,457 844,012 (1,117,025) 5,380,444
Buildings and improvements 7,608,585 6,461 (19,176) 7,595,870
Distribution systems 533,987,684 12,559,118 20,043,865 566,590,667
Total capital assets being depreciated 547,249,726 13,409,591 18,907,664 579,566,981
Less accumulated depreciation for
Equipment (1,739,865) (141,705) - (1,881,570)
Buildings (4,342,299) (179,583) - (4,521,882)
Improvements (131,967,304) (12,772,912) - (144,740,216)
Total accumulated depreciation (138,049,468) (13,094,200) - (151,143,668)
Total capital assets being depreciated, net 409,200,258 315,391 18,907,664 428,423,313
Total business-type activities capital assets, net 426,837,844$ 20,402,814$ -$ 447,240,658$
Depreciation expense was charged to function/programs of the primary government as follows:
Governmental activities
Culture / recreation 496,796$
Fire 139,821
General government 1,309,461
Highways and streets 361,671
Police 902,946
Internal service funds 2,656,470
Total depreciation expense governmental activities 5,867,165$
Business-type activities
Electric 2,852,289$
Water services 8,779,718
Nonmajor 1,462,193
Total depreciation expense business-type activities 13,094,200$
Page 107 of 297
City of Georgetown, Texas
Notes to Financial Statements
58
Governmental
Activities
Business-type
Activities Total
Net investment in capital assets
Total capital assets
(net of accumulated depreciation)415,793,205$ 447,240,658$ 863,033,863$
Less long-term debt and related charges (180,731,021) (110,448,754) (291,179,775)
Add unspent bond proceeds 31,456,652 37,446,371 68,903,023
Net long-term debt (149,274,369) (73,002,383) (222,276,752)
Net investment in capital assets (net of related debt)266,518,836$ 374,238,275$ 640,757,111$
Note 6. Long-Term Liabilities
A. Overview
The following is a summary of long-term debt transactions of the City for the fiscal year ended
September 30, 2017:
Balance
9/30/16 Additions Retirements
Balance
9/30/17
Due Within
One Year
Governmental activities
General obligation bonds
(payable from tax pledge) $ 157,168,523 $ 22,955,000 $ (9,928,924) $ 170,194,599 $ 10,550,578
Premiums 4,596,657 1,799,285 (375,830) 6,020,112 465,794
Sales tax revenue bonds 7,225,000 - (540,000) 6,685,000 560,000
Compensated absences 5,472,072 1,604,406 (1,684,124) 5,392,354 1,702,724
Net pension liability 18,602,878 950,871 - 19,553,749 -
Other post employment benefits 972,877 175,016 - 1,147,893 -
Total governmental activities 194,038,007 27,484,578 (12,528,878) 208,993,707 13,279,096
Business-type activities
Revenue bonds 72,545,000 27,915,000 (7,730,000) 92,730,000 5,905,000
Premiums 2,943,619 2,479,037 (270,251) 5,152,405 389,307
Compensated absences 931,814 469,542 (400,772) 1,000,584 432,261
Net pension liability 4,397,993 224,804 - 4,622,797 -
General obligation bonds
(payable from airport, storm-
water and electric revenues) 15,286,384 - (1,421,075) 13,865,309 660,809
Total business-type activities 96,104,810 31,088,383 (9,822,098) 117,371,095 7,387,377
Total long-term debt $ 290,142,817 $ 58,572,961 $ (22,350,976) $ 326,364,802 $ 20,666,473
Liabilities for compensated absences, net pension obligation, and other post-employment benefits that
are included in governmental activities are expended primarily in the General Fund as benefits are used
by the employees.
Page 108 of 297
City of Georgetown, Texas
Notes to Financial Statements
59
At September 30, 2017, there was $123,930,000 of authorized but unissued general obligation bonds.
There are no authorized but unissued revenue bonds. The City is in compliance with all bond
ordinances.
Fiscal Year
Ending
September 30, Principal Interest Principal Interest Principal Interest
2018 11,110,578$ 6,044,666$ 6,565,809$ 4,068,442$ 17,676,387$ 10,113,108$
2019 11,217,070 5,533,001 7,162,930 3,562,755 18,380,000 9,095,756
2020 11,054,526 5,213,037 6,975,474 3,311,113 18,030,000 8,524,150
2021 11,305,801 4,887,620 6,879,199 3,059,168 18,185,000 7,946,788
2022 11,137,875 4,547,279 7,047,125 2,799,369 18,185,000 7,346,648
2023-2027 53,776,397 16,731,380 33,558,603 10,105,395 87,335,000 26,836,775
2028-2032 38,770,493 8,438,492 23,314,507 4,748,498 62,085,000 13,186,990
2033-2037 28,506,859 2,499,218 15,091,662 1,273,610 43,598,521 3,772,828
176,879,599$ 53,894,693$ 106,595,309$ 32,928,350$ 283,474,908$ 86,823,043$
Governmental Business-type Total
General Obligation Debt
A summary of tax-supported general obligation debt outstanding at September 30, 2017:
$4,395,000, 2008 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2028; interest at 3.5% to 4.625%
(portion included below) $ 273,354
$5,400,000, 2009 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2029; interest at 3% to 5%
(portion included below) 3,735,000
$2,433,565, 2009 General obligation and Refunding bonds due in annual
installments through August 15, 2029; interest at 2% to 4.5%
(portion included below) 967,090
$2,487,351, 2010 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2029; interest at 1.75% to 4.15%
(portion included below) 1,840,000
$1,370,000, 2010 General obligation bonds due in annual installments
through August 15, 2029; interest at 3% to 4.5% 1,010,000
$11,930,000, 2010A General obligation bonds due in annual installments
through August 15, 2030; interest at 2% to 3.5% 9,230,000
$9,720,000, 2011 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2031; interest at 2% to 4% 6,910,000
$12,500,000, 2012 General obligation bonds due in annual installments
through August 15, 2037; interest at 1.5% to 3.625% 11,040,000
Page 109 of 297
City of Georgetown, Texas
Notes to Financial Statements
60
$1,650,000, 2012 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2032; interest at 1.5% to 3.375%
(portion included below) $ 957,500
$1,016,532, 2012 General obligation and Refunding bonds due in
annual installments through August 15, 2029; interest at 0.2% to 3.25%
(portion included below) 673,460
$12,500,000, 2012A General obligation bonds due in annual installments
through August 15, 2037; interest at 2.0% to 3.25% (portion included below) 11,080,000
$9,500,000, 2013 General obligation bonds due in annual installments through
August 15, 2037; interest at 2.0% to 3.375% (portion included below) 8,005,000
$9,646,983, 2013 General obligation and Refunding bonds due in
annual installments through August 15, 2025; interest at 2.0% to 4.0%
(portion included below) 6,758,580
$4,800,000, 2014 General obligation bonds due in annual
installments through August 15, 2034; interest at 2.0% to 3.60% 4,360,000
$1,841,000, 2014 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2034; interest at 3.00% to 3.625%s
(portion included below) 1,672,916
$12,112,970, 2014 General obligation and Refunding bonds due in annual
installments through August 15, 2027; interest at 2.00% to 4.00%
(portion included below) 9,258,655
$4,345,000, 2015 General obligation bonds due in annual installments through
August 15, 2035; interest at 3.00% to 4.00% 4,060,000
$3,175,000, 2015 Combination tax & revenue certificates of obligation due in annual
installments through August 15, 2035; interest at 2.00% to 3.50%
(portion included below) 2,725,000
$4,042,295, 2015 General obligation and Refunding bonds due in annual
installments through August 15, 2028; interest at 2.000% to 3.125%
(portion included below) 3,003,135
$11,875,000, 2015A General obligation bonds due in annual installments
through August 14, 2035; interest at 2.000% to 3.300% 11,095,000
$12,585,000, 2016 General obligation bonds due in annual installments
through August 15, 2036; interest at 2.000% to 4.000% 12,190,000
$6,085,000, 2016 Combination tax and revenue certificates of obligation due in
annual installments through August 15, 2036; interest at 2.000% to 4.000%
(portion included below) 5,800,000
$4,014,840, 2016 General obligation and Refunding bonds due in annual installments
through August 15, 2027; interest at 2.000% to 3.000% (portion included below) 3,031,176
$8,555,000, 2017 General obligation bonds due in annual installments
through August 15, 2037; interest at 3.125% to 5.000% 8,555,000
$8,655,000, 2017 Combination tax and revenue certificates of obligation due in
annual installments through August 15, 2037; interest at 3.000% to 5.000%
(portion included below) 8,655,000
Total $ 136,885,866
Page 110 of 297
City of Georgetown, Texas
Notes to Financial Statements
61
A summary of self-supporting general obligation debt outstanding at September 30, 2017:
$750,000, 2008 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2028; interest at 3.5% to 4.625%; to be
paid through monthly Stormwater Drainage fees charged to utility
customers within City limits. 46,271$
$1,076,435, 2009 General obligation and Refunding bonds due in annual
installments through August 15, 2029; interest at 2% to 4.5%; portion dedicated
for Airport Improvements, $58,375, to be paid with Airport fees. Portion
dedicated for Stormwater Drainage Improvements, $1,018,060 to be paid
through monthly fees charged to utility customers within the City limits. 142,910
$1,010,000, 2010 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2029; interest at 1.75% to 4.15%; to be
paid through monthly Stormwater Drainage fees charged to utility
customers within City limits. 730,000
$3,035,000, 2010 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2019; interest at 1.75% to 3.1%; paid
through Electric utility revenues.785,000
$1,650,000, 2012 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2032; interest at 1.5% to 3.375%;
designated for GTEC capital improvements to be paid through revenues from
the ½ cent GTEC sales tax. 957,500
$2,165,180, 2012 General obligation and Refunding bonds due in annual
installments through August 15, 2029; interest at 0.2% to 3.25%; designated for
GTEC capital improvements to be paid through revenues from the ½ cent
GTEC sales tax.1,434,448
$5,233,289, 2012 General obligation and Refunding bonds due in annual
installments through August 15, 2029; interest at 0.2% to 3.25%; paid through
Electric utility revenues. 3,467,093
$4,065,000, 2013 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2033; interest at 2.0% to 3.25%; to be
paid through Electric and Water utility revenues. 3,470,000
$442,408, 2013 General obligation and Refunding bonds due in annual
installments through August 15, 2025; interest at 2.0% to 4.0%; portion dedicated
for Airport Improvements, $254,219, to be paid with Airport fees. Portion
dedicated for Stormwater Drainage Improvements, $188,189 to be paid
through monthly fees charged to utility customers within the City limits.309,948
$915,616, 2013 General obligation and Refunding bonds due in annual
installments through August 15, 2025; interest at 2.0% to 4.0%; designated for
GTEC capital improvements to be paid through revenues from the ½ cent
GTEC sales tax. 641,472
$459,000, 2014 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2034; interest at 3.00% to 3.625% to be
paid through monthly Stormwater Drainage fees charged to utility. 417,087
Page 111 of 297
City of Georgetown, Texas
Notes to Financial Statements
62
$162,030, 2014 General obligation and Refunding bonds due in annual
installments through August 15, 2027; interest at 2.00% to 4.00% portion
dedicated for Airport Improvements, $8,593, to be paid with Airport fees.
Portion dedicated for Stormwater Drainage Improvements, $153,438, to be
paid through monthly fees char ged to utility customers within City limit.154,507$
$12,112,970, 2014 General obligation and Refunding bonds due in annual
installments through August 15, 2027; interest at 2.00% to 4.00% designated for
GTEC capital improvements to be paid through revenues from the ½ cent
GTEC sales tax. 2,291,839
$6,470,000, 2015 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2035; interest at 2.00% to 3.60%;
to be paid through annual ad valorem tax levied on all taxable property
within the City.6,470,000
$675,297, 2015 General obligation and Refunding bonds due in annual
installments through August 15, 2028; interest at 2.0% to 3.125%; portion
dedicated for Airport Improvements, $188,168, to be paid with Airport fees.
Portion dedicated for Stormwater Drainage Improvements, $487,129 to be
paid through monthly fees char ged to utility customers within the City limits.501,660
$1,642,408, 2015 General obligation and Refunding bonds due in annual
installments through August 15, 2028; interest at 2.0% to 3.125%; designated for
GTEC capital improvements to be paid through revenues from the ½ cent
GTEC sales tax.1,220,185
$3,070,000, 2015 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2035; interest at 2.00% to 3.50%; portion
dedicated for Airport Improvements, $865,000, to be paid with Airport fees.
Portion dedicated for Stormwater Drainage Improvements, $2,205,000 to be
paid through monthly fees char ged to utility customers within the City limits.2,855,000
$745,000, 2015 Combination tax & revenue certificates of obligation due in
annual installments through August 15, 2035; interest at 2.00% to 3.50%; paid
through water utility revenues.690,000
$10,720,000, 2016 Combination tax and revenue certificates of obligation due
in annual installments through August 15, 2036; interest at 2.000% to 3.000%;
desi gnated for GTEC capital improvements to be paid through revenues from
the 1/2 cent GTEC sales tax. 10,380,000
$1,645,000, 2016 Combination tax and revenue certificates of obligation due in
annual installments through August 15, 2036; interest at 2.000% to 3.000%; to be
paid through annual ad valorem tax levied on all taxable property
within the TIRZ.1,590,000
$240,000, 2016 Combination tax and revenue certificates of obligation due in
annual installments through August 15, 2036; interest at 2.000% to 3.000%; to be
paid through monthly Stormwater Drainage fees charged to utility customers
within City Limits.230,000
$3,410,291, 2016 General obligation and refunding bonds due in annual
installments through August 15, 2027; interest at 2.000% to 2.500%; designated
for GTEC capital improvements to be paid through revenues from 1/2 cent
GTEC sales tax.2,574,750
Page 112 of 297
City of Georgetown, Texas
Notes to Financial Statements
63
$84,863, 2016 General obligation and refunding bonds due in annual
installments through August 15, 2027; interest at 2.000% to 3.000%; portion
dedicated for Airport Improvements, $4,506, to be paid with Airport fees.
Portion dedicated for Stormwater Drainage Improvements $80,367 to be paid
through monthly fees char ged to utility customers withiun City limits.64,372
$5,750,000, 2017 Combination tax and revenue certificates of obligation due in
installments through August 15, 2037; interest at 3.000% to 5.000%; designated
for GTEC capital improvements to be paid through revenues from 1/2 cent
GTEC sales tax.5,750,000$
Subtotal self-supported general obligat ion debt 47,174,042
Total outstanding general obligation debt as of September 30, 2017 184,059,908$
This amount is reported in the government-wide statements of activities as:
Governmental activities 170,194,599$
Business-type activities 13,865,309
184,059,908$
B. Sales Tax Revenue Debt – Georgetown Transportation Enhancement Corporation
A summary of sales tax revenue debt outstanding at September 30, 2017 follows:
$7,755,000, 2015 Senior lien sales tax revenue bonds due in annual installlments
through August 15, 2027; interest at 2.00% to 4.00%; repaid with 1/2 cent sales
tax revenue 6,685,000$
Total outstanding sales tax revenue debt as of September 30, 2017 $ 6,685,000
C. Discretely Presented Component Unit
Georgetown Economic Development Corporation (GEDCO) participated in the City’s issuance of
$18,690,000 Combination Tax and Revenue Certificates of Obligation, Series 2016 and is obligated to
pay the City its portion of the principal and interest for the certificates, through 2036. Additionally,
GEDCO has received a loan from the Water Services Fund as part of a tri-party agreement for
economic development.
Repayment of GEDCO’s outstanding long-term liabilities is as follows at September 30, 2017:
Fiscal Year
Ending Principal Interest
2018 215,485$ 113,697$
2019 200,568 108,226
2020 511,948 165,164
2021 323,956 95,537
2022 125,000 77,769
2023-2027 705,000 306,844
2028-2032 810,000 196,581
2033-2037 750,000 57,000
3,641,957$ 1,120,818$
GEDCO
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D. Revenue Debt
A summary of revenue bonds outstanding at September 30, 2017:
$10,120,000, 2010 Utility System Revenue bonds due in annual installments
through August 15, 2029; interest at 3% to 4%7,525,000$
$7,715,000, 2012 Utility System Revenue & Refunding bonds due in annual
installments through August 15, 2023; interest at 2% to 4% 4,675,000
$11,855,000, 2014 Utility System Revenue & Refunding bonds due in annual
installments through August 15, 2027; interest at 2% to 4% 10,120,000
$13,000,000, 2014 Utility System Revenue bonds due in annual installments
through August 15, 2034; interest at 2% to 4% 11,830,000
$5,350,000, 2014 Utility System Revenue bonds due in annual installments
through August 15, 2031; interest at 1% to 4% 4,610,000
$10,920,000, 2015 Utility System Revenue & Refunding bonds due in annual
installments through August 15, 2035; interest at 3.00% to 3.75% 10,205,000
$9,620,000, 2016 Utility System Revenue bonds due in annual installments
through August 15, 2036; interest at 2.000% to 4.000%. 9,330,000
$6,925,000, 2016 Utility System Revenue bonds due in annual installments
through August 15, 2028; interest at 3.000% to 4.000% 6,520,000
$27,915,000, 2017 Utility System Revenue bonds due in annual installments
through August 15, 2037; interest at 3.000% to 4.000% 27,915,000
Total outstanding revenue debt as of September 30, 2017 $ 92,730,000
All net revenues of the electric and water services system are pledged for the payment of debt service
for the revenue bonds. Net revenues, as defined by the various bond ordinances, include income and
revenues derived from the operation of the system, after deduction of the amount necessary to pay all
operating, maintenance, replacement, and betterment charges of the system.
These bond ordinances require that the net revenues, as defined, equal at least 1.25 times the average
annual debt service on all revenue bonds. The City complied with this requirement at September 30,
2017.
Note 7. Defined Benefit Pension Plan
A. Plan Description
The City participates as one of 866 plans in the nontraditional, joint contributory, hybrid defined benefit
pension plan administered by the Texas Municipal Retirement System (TMRS). TMRS is an agency created
by the State of Texas and administered in accordance with the TMRS Act, Subtitle G, Title 8, Texas
Government Code (the TMRS Act) as an agent multiple-employer retirement system for municipal
employees in the State of Texas. The TMRS Act places the general administration and management of the
System with a six-member Board of Trustees. Although the Governor, with the advice and consent of the
Senate, appoints the Board, TMRS is not fiscally dependent on the State of Texas. TMRS’s defined benefit
pension plan is a tax-qualified plan under Section 401 (a) of the Internal Revenue Code. TMRS issues a
publicly available comprehensive annual financial report (CAFR) that can be obtained at www.tmrs.com.
All eligible employees of the city are required to participate in TMRS.
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B. Benefits Provided
TMRS provides retirement, disability, and death benefits. Benefit provisions are adopted by the governing
body of the City, within the options available in the state statutes governing TMRS.
At retirement, the benefit is calculated as if the sum of the employee’s contributions, with interest, and the
city-financed monetary credits with interest were used to purchase an annuity. Members may choose to
receive their retirement benefit in one of seven actuarially equivalent payments options. Members may
also choose to receive a portion of their benefit as a Partial Lump Sum Distribution in an amount equal to
12, 24, or 36 monthly payments, which cannot exceed 75% of the member’s deposits and interest.
A summary of plan provisions for the City are as follows:
Employee deposit rate 7%
Matching ratio (City to employee) 2 to 1
Years required for vesting 5
Service retirement eligibility 20 years at any age, 5 years
at age 60 and above
Updated Service Credit 75% Repeating
Annuity Increase to retirees 50% of CPU Repeating
Employees Covered by Benefit Terms
At the December 31, 2015 valuation and measurement date, the following employees were covered by
the benefit terms:
Retirees or beneficiaries currently receiving benefits 161
Inactive employees entitled to but not yet receiving benefits 208
Active employees 630
999
C. Contributions
The contribution rates for employees in TMRS are either 5%, 6%, or 7% of employee gross earnings, and the
city matching percentages are either 100%, 150%, or 200%, both as adopted by the governing body of
the city. Under the state law governing TMRS, the contribution rate for each city is determined annually by
the consulting actuary, using the Entry Age Normal (EAN) actuarial cost method. The actuarially
determined rate is the estimated amount necessary to finance the cost of benefits earned by employees
during the year, with an additional amount to finance any unfunded accrued liability.
Employees for the City of Georgetown were required to contribute 7% of their annual gross earnings
during the fiscal year. The contribution rates for the City of Georgetown were 11.47% and 12.43% in
calendar years 2016 and 2017, respectively. The City’s contributions to TMRS for the year ended
September 30, 2017 were $5,172,343 and were equal to the required contributions.
D. Net Pension Liability
The City’s Net Pension Liability (NPL) was measured as of December 31, 2016, and the Total Pension
Liability (TPL) used to calculate the Net Pension Liability was determined by an actuarial valuation as of
that date.
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Actuarial Assumptions
The Total Pension Liability in the December 31, 2016 actuarial valuation was determined using the
following actuarial assumptions:
Inflation 2.5% per year
Overall payroll growth 3.0% per year
Investment rate of return 6.75%, net pension plan investment
expense, including inflation
Salary increases were based on a service-related table. Mortality rates for active members, retirees, and
beneficiaries were based on the gender-distinct RP2000 Combined Healthy Mortality Tables with Blue
Collar Adjustment, with male rates multiplied by 109% and female rates multiplied by 103%. The rates are
projected on a fully generational basis by scale BB to account for future mortality improvements. For
disabled annuitants, the gender-distinct RP2000 Combined Healthy Mortality Tables with Blue Collar
Adjustment are used with males rates multiplied by 109% and female rates multiplied by 103% with a three
year set-forward for both males and females. In addition, a 3% minimum mortality rate is applied to reflect
the impairment for younger members who become disabled. The rates are projected on a fully
generational basis by scale BB to account for future mortality improvements subject to the 3% floor.
Actuarial assumptions used in the December 31, 2016 valuation were based on the results of actuarial
experience studies. This experience study in TMRS was for the period December 31, 2010 through
December 31, 2014. Healthy post-retirement mortality rates and annuity purchase rates were updated
based on a Mortality Experience Investigation Study covering 2009 through 2011, and dated
December 31, 2013. These assumptions were first used in the December 31, 2013 valuation, along with a
change to the Entry Age Normal (EAN) actuarial cost method. Assumptions are reviewed annually. No
additional changes were made for the 2016 valuation. After the Asset Allocation Study analysis and
experience investigation study, the Board amended the long-term expected rate of return on pension
plan investments from 7% to 6.75% in 2015. Plan assets are managed on a total return basis with an
emphasis on both capital appreciation as well as the production of income, in order to satisfy the short-
term and long-term funding needs of TMRS.
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The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best estimate ranges of expected future real rates of return (expected returns, net of
pension plan investment expense and inflation) are developed for each major asset class. These ranges
are combined to produce the long-term expected rate of return by weighting the expected future real
rates of return by the target asset allocation percentage and by adding expected inflation. The target
allocation and best estimates of real rates of return for each major asset class in fiscal year 2017 are
summarized in the following table.
Asset Class
Domestic equity 17.5% 4.55%
International equity 17.5% 6.35%
Core fixed income 10.0% 1.00%
Non-core fixed income 20.0% 4.15%
Real return 10.0% 4.15%
Real estate 10.0% 4.75%
Absolute return 10.0% 4.00%
Private equity 5.0% 7.75%
Total 100.0%
Target Allocation
Long-term
Expected Real
Rate of Return
(Arithmetic)
Discount Rate
The discount rate used to measure the Total Pension Liability was 6.75%. The projection of cash flows used
to determine the discount rate assumed that employee and employer contributions will be made at the
rates specified in statute. Based on that assumption, the pension plan’s Fiduciary Net Position was
projected to be available to make all projected future benefit payments of current active and inactive
employees. Therefore, the long-term expected rate of return on pension plan investments was applied to
all periods of projected benefit payments to determine the Total Pension Liability.
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Changes in Net Pension Liability
Total Pension
Liability
Plan Fiduciary
Net Position
Net Pension
Liability
(a)(b)(a) - (b)
Balance at December 31, 2015 117,620,067$ 94,619,197$ 23,000,870$
Changes for the year
Service cost 6,387,917 - 6,387,917
Interest 8,051,567 - 8,051,567
Change of benefit terms - - -
Difference between expected
and actual experience 486,906 - 486,906
Changes of assumptions - - -
Contributions - employer - 4,630,015 (4,630,015)
Contributions - employee - 2,798,414 (2,798,414)
Net investment income - 6,398,399 (6,398,399)
Benefit payments, including refund
of employee contributions (3,063,089) (3,063,089) -
Administrative expense - (72,218) 72,218
Other changes - (3,891) 3,891
Net changes 11,863,301 10,687,630 1,175,671
Balance at December 31, 2016 129,483,368$ 105,306,827$ 24,176,541$
Increase (Decrease)
Sensitivity of the Net Pension Liability to Changes in the Discount Rate
The following presents the net pension liability of the City, calculated using the discount rate of 6.75%, as
well as what the City’s net pension liability would be if it were calculated using a discount rate that is one-
percentage-point lower (5.75%) or one-percentage-point higher (7.75%) than the current rate:
1% Decrease in
Discount Rate
(5.75%)
Discount Rate
(6.75%)
1% Increase in
Discount Rate
(7.75%)
City's net pension liability 44,865,350$ 24,176,541$ 7,333,368$
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s Fiduciary Net Position is available in a separately-issued
TMRS financial report. That report may be obtained on the Internet at www.tmrs.com.
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E. Pension Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to
Pensions
For the year ended September 30, 2017, the City recognized pension expense of $5,356,114.
At September 30, 2017, the City reported deferred outflows of resources and deferred inflows of
resources related to pensions from the following sources:
Deferred
(Inflows) Outflows
of Resources
Differences between expected and
actual economic experience 1,082,032$
Changes in actuarial assumptions 1,375,020
Difference in projected and actual
investment earnings 4,114,598
Contributions subsequent to the measurement date 3,833,044
Total 10,404,694$
Deferred outflows of resources related to pensions resulting from contributions subsequent to the
measurement date of $3,833,044 will be recognized as a reduction of the net pension liability for the
measurement year ending December 31, 2017 (i.e. recognized in the city’s financial statements
September 30, 2018). Other amounts reported as deferred outflows and inflows of resources related to
pensions will be recognized in pension expense as follows:
Measurement
Year Ended
December 31,
2017 1,965,321$
2018 1,965,319
2019 1,755,566
2020 517,884
2021 309,648
Thereafter 57,912
6,571,650$
Note 8. Other Post-Employment Benefits (OPEB)
In addition to the contributions made to TMRS, the City provides certain other post-employment benefits
(OPEB) to its retirees and dependents through its health insurance provider, an agent multiple-employer
system. Full time employees of the City of Georgetown are eligible to receive continued health benefits
and dental and vision coverage for the person and the person’s dependents unless anyone is eligible
for coverage through another employer. Retirees of the City are eligible to continue with coverage at
the same level they had during employment. Retirees are eligible at age 60 with 5 years of services or at
any age with 20 years of service. Other post-employment benefit levels for retirees are the same as
coverage provided to active City of Georgetown employees in accordance with the terms and
conditions of the current City of Georgetown Health Plan.
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Other post-employment benefits are funded on a pay-as-you-go basis. The City recognizes the cost of
providing these benefits as an expense on the government wide statements. The estimated obligation
of providing these benefits was $1,148,194 in 2017, according to a report on the results of the actuarial
valuation of assets and benefits values associated with OPEB requirements. This is an increase of
$175,618 over last year’s obligation of $972,576.
The Projected Unit Credit actuarial cost method is used to calculate the GASB ARC for the City’s retiree
health care plan. Using the plan benefits, the present health premiums and a set of actuarial
assumptions, the anticipated future payments are projected. The projected unit credit method then
provides for a systematic recognition of the cost of these anticipated payments.
The yearly ARC is computed to cover the cost of benefits being earned by covered members as well as
to amortize a portion of the unfunded accrued liability.
A copy of the Actuarial Valuation Report for the Employee Retirement Benefit Program may be
obtained by contacting Gabriel, Roeder, Smith & Company at 5605 N. MacArthur Blvd., Suite 870, Irving,
Texas 75038-2631.
Annual Other Post-employment Benefits Cost and Net OPEB (Obligation) Asset
The City’s annual OPEB cost is calculated based on the annual required contribution (ARC) of the
employer, an amount actuarially determined in accordance within the parameters of GASB Statement
No, 45, Accounting and Financial Reporting by Employers for Benefits Other than Pensions (GASB 45).
The ARC represents a level of accrual that is projected to recognize the normal cost each year and to
amortize any unfunded actuarial liabilities (or funding excess) over a period not to exceed 30 years.
The annual OPEB cost for the City’s retiree benefits for the fiscal year ended September 30, 2017 and
previous three years, is as follows:
2017 2016 2015
Annual required contribution 222,794$ 216,305$ 199,669$
Interest in OPEB obligation 38,602 31,468 28,216
Adjustment to ARC (37,597) (30,354) (26,142)
Annual OPEB cost (expense) end of year 223,799 217,419 201,743
Contributions made (pay as you go)(48,482) (31,242) (42,073)
Increase in net OPEB obligation 175,317 186,177 159,670
Net OPEB obligation, beginning of year 972,576 786,700 627,030
Net OPEB obligation, end of year 1,147,893$ 972,877$ 786,700$
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Assumptions
OPEB
Actuarial valuation date December 31, 2015
Actuarial cost method Projected unit credit cost method
Amortization method Level as percent of payroll
Remaining amortization period 30 years, open amortization
Assumed rate of
return on investments 4.0% net of expenses
Health care cost trend rate Initial rate of 7.5% declining to an
ultimate rate of 4.25% after 14 years
Payroll growth 3.0% per annum
Inflation rate 2.5% per annum
The projected unit credit actuarial cost method is used to calculate the GASB 45 ARC for the City’s
OPEB. Using the plan benefits, the present health premiums and a set of actuarial assumptions, the
anticipated future benefits are projected. The project unit credit method then provides for a systemic
recognition of the cost of these anticipated payments. The yearly ARC is computed to cover the cost of
benefits being earned by covered members as well as to amortize a portion of the unfunded accrued
liability. Projections of health benefits are based on the plan as understood by the City and include the
types of benefits in force at the valuation date and the pattern of shared benefit costs between the
City and its employees to that point. Actuarial calculations reflect a long-term perspective and employ
methods and assumptions that are designed to reduce short-term volatility in actuarial accrued
liabilities and the actuarial value of assets. Significant methods and assumptions used are described in
the table above.
Actuarial valuations for OPEB plans involve estimates of the value of reported amounts and assumptions
about the probability of events in the future. Amounts determined regarding the funded status and the
ARC of the City’s retiree health care plan are subject to continual revision as actual results are
compared to past expectations and new estimates are made about the future. The required schedule
of funding progress presented as required supplementary information provides multiyear trend
information that shows whether the actuarial value of plan assets is increasing or decreasing over time
relative to the actuarial accrued liability for benefits. The City’s annual OPEB cost, the percentage of
annual OPEB cost contributed to the plan, and the net OPEB obligation for 2017 and the two preceding
years are as follows:
Percentage
Net OPEB of Annual
Year Ended Annual OPEB Employer Obligation OPEB Cost
September 30, Cost Contributions End of Year Contributed
2015 201,743$ 42,073$ 786,700$ 20.9%
2016 217,419 31,242 972,877 14.4%
2017 223,799 48,482 1,147,893 21.7%
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Funded Status
The funded status of the City’s OPEB plan under GASB 45 for the past three years is as follows:
Unfunded
Actuarial Actuarial Percentage
Valuation Actuarial Actuarial Accrued Annual of UAAL
as of Value of Accrued Liability Funded Covered for Covered
December 31, Assets Liability (UAAL) Ratio Payroll Payroll
2014 -$ 1,615,808$ 1,615,808$ 0% 32,235,133$ 5%
2015 - 1,565,706 1,565,706 0% 34,616,326 5%
2016 - 1,565,706 1,565,706 0% 36,878,731 4%
Under GASB 45, the City’s retiree health care plan is 0.0% funded with an estimated actuarial accrued
liability exceeding actuarial assets $1,565,706 at December 31, 2016. As of that date, the ratio of the
unfunded actuarial accrued liability to annual covered payroll is 5.0%.
Note 9. Risk Management
Health Benefits – On January 1, 2014, the City began a self-funded insurance program for provision of
employee health insurance. In fiscal year 2017, the City made contributions to cover 85% of the
employees’ costs for medical plan premiums. The employees authorized payroll withholdings to pay the
remainder contributions for themselves, and their family members, if elected.
In accordance with state statute, the City maintains a catastrophic loss insurance policy (stop-loss
policy), which reimburses the City for annual claims totaling over $150,000 per covered individual. For
the fiscal year ended 2017, the City received insurance settlements totaling approximately $571,046.
The City made no significant reductions in insurance coverage and no settlements have exceeded
insurance coverage for the 2017 fiscal year. The City’s contributions for the self-insurance during the
year totaled $6,395,033. Estimates of claims payable and of claims incurred but not reported at
September 30, 2017 are reflected as accrued expenses of the fund. The liabilities include an amount for
claims that have been incurred but were not reported until after September 30, 2017. Because actual
claims liabilities depend on such complex factors such as inflation, changes in legal requirements, and
damage awards, the process used in computing claims liability is an estimate that could materially
change when the claims are ultimately finalized. Analysis of claims liability for the fiscal year 2017 is as
follows:
Unpaid claims, beginning of year 196,035$
Incurred claims 5,272,579
Claim payments (5,081,725)
Unpaid claims, end of year 386,889$
Note 10. Deferred Compensation Plan
The City offers its employees a deferred compensation plan in accordance with Internal Revenue Code
Section 457. The plan, available to all City employees, permits them to defer a portion of their salary until
future years. Participation in the plan is optional. The deferred compensation is not available to
employees until termination, retirement, death or an unforeseeable emergency.
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Note 11. Commitments and Contingencies
The City is the defendant in a number of lawsuits arising principally in the normal course of operations.
In the opinion of management, the outcome of these lawsuits are only reasonably possible to have a
material adverse effect on the accompanying combined financial statements, and, as no
reasonable estimate can be made no provision for losses has been recorded.
The City has the following long-term agreements, which represent significant commitments:
A. Wholesale Power Agreements
On May 21, 2014, the City settled its lawsuit with the Lower Colorado River Authority (LCRA) that was
originally filed in September 2012 regarding its wholesale power agreement (WPA). At that time,
Georgetown Utility System (GUS) began to actively manage its energy supply. This settlement ended all
future appeals and trials, and cleared the way for the City to secure future power from other sources.
Prior to terminating the WPA with LCRA, GUS received almost 90% of its power needs from LCRA, but
also had existing contracts with several other suppliers. Beginning on September 13, 2012 GUS began
receiving energy from its other suppliers to replace the energy LCRA had planned to serve. GUS also
extended its active management of its daily energy supply to cover the larger market exposures,
congestion issues, and real time settlements that LCRA previously handled. The City is currently using its
long term wind power arrangements with American Electric Power (AEP), until 2028, and Électricité de
France Renewable Energy (EDF-RE), until 2035, as well as balancing energy and settlements with
Mecuria Energy America (MEA) and Garland Power & Light (GP&L).
The City has secured a long term solar power based contract with NRG, and expects to begin receiving
that power on July 1, 2018, through 2043. The City expects to be able to maintain low energy rates over
the next two decades with these contracts in place. The City began retiring Renewable Energy Credits
(RECs) produced by the wind farms against 100% of the Utility’s consumption to officially make all of its
customers 100% renewable as of April 2017.
B. Brazos River Authority (BRA) Water Contracts
Effective September 1, 2001, the City revised its previous water availability agreements with the BRA
to further plan for future water needs and to standardize the pricing to a system-wide rate. The
effective system-wide rate for BRA’s fiscal year beginning September 1, 2017 is $74 per acre-foot and
the City paid a total of $3,194,701 for water during the fiscal year. The City has two separate
agreements with the BRA as follows:
(1) Lake Georgetown Water – This agreement, effective September 1, 2001 and expiring August 31,
2050, requires BRA to make available to the City 6,720 acre-feet of water per year at BRA’s system
wide rate. The City paid $464,800 for water under this agreement in fiscal year 2017.
(2) Lake Stillhouse Hollow Water – This agreement, effective September 1, 2001 and expiring August 31,
2040, requires BRA to make available to the City 38,987 acre-feet of water per year at BRA’s
system wide rate. The City paid $2,729,901 for water under this agreement in fiscal year 2017.
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C. Brazos River Authority – Williamson County Regional Raw Water Line Agreement
The City is a party to an agreement dated June 30, 1986, with the Brazos River Authority (BRA), City of
Round Rock, Jonah Water Special Utility District, and Chisholm Trail Special Utility District (CTSUD). The
Brazos River Authority designed, constructed, owns, and operates a pipeline to transport water from
Lake Stillhouse Hollow to Lake Georgetown to benefit the parties in the agreement. Total project
construction cost for the raw water line was approximately $40,000,000. In 2007, BRA refunded a
portion of the original $89,000,000 in debt, leaving approximately $69,000,000 outstanding debt,
including principal and interest. Each participant agreed to pay for the annual cost of debt and
operations of the line. The City’s obligation is $50,500,000, including principal and interest, to be repaid
annually through 2032. The amount for fiscal year 2017 was $1,835,374.
The following schedule reflects the principal portion of the City's obligation:
Year Ending
September 30,
2018 1,834,234$
2019 1,818,222
2020 2,371,890
2021 2,277,352
2022-2032 21,900,323
30,202,021$
As part of the CTSUD acquisition that occurred on September 12, 2014, the City assumed the
ownership interest and related obligations of CTSUD’s portion of this project.
D. Chisholm Trail Special Utility District Service Area Operations and Management Agreement
In November 2013, the City began managing the Chisholm Trail Special Utility District awaiting
regulatory approval of the merger of CTSUD with the City. On September 12, 2014, the City and
CTSUD entered into an Asset Transfer and Utility System Consolidation Agreement in which the City
began providing water utility services on behalf of CTSUD. Upon the close of this agreement, all
CTSUD’s assets (less $500,000 that was to remain with CTSUD), and all liabilities were transferred to the
City, and CTSUD’s outstanding debt was defeased. The Certificate of Convenience Necessity (CCN)
for the area served by CTSUD was not transferred to the City as part of this transaction.
Therefore, in conjunction with this transfer, the City and CTSUD entered into a Service Area Operations
and Management Agreement in which the City began providing water utility services on behalf of
CTSUD to all customers within the CTSUD CCN. Under this agreement, CTSUD formally adopted the
service policies, rates, and fees of the City. The City then bills, collects, and retains water service
revenue from CTSUD customers, except for a portion that is remitted to CTSUD Board to offset on-
going operational costs. The transfer of the CTSUD CCN from CTSUD to the City of Georgetown
received regulatory approval in January 2016. While there has been some legal challenge of the
transfer, the City is now the owner and operator of the CCN formerly owned by CTSUD.
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E. Georgetown Village Public Improvement District
In 1999, the City of Georgetown created the Georgetown Village Public Improvement District
No. 1, pursuant to Chapter 372 of the Texas Local Government Code. The City is required to
construct and provide operation, repair, and maintenance of parks, recreational facilities,
alleyways, lighting, landscaping and related improvements to the district that are above the standards
that are met elsewhere in the City. Property owners are assessed an annual maintenance
assessment of $0.20 per $100 valuation. Assessment revenue of $334,925 was recognized for 2017.
As of September 30, 2017, all costs associated with the Georgetown Village Public Improvement
District have been reimbursed.
F. Cimarron Hills Public Improvement District
In May 2000, the City and Paloma Cimarron Hills, L.P. entered into a development agreement for
a 606 home, 813 acre subdivision within the City’s Extraterritorial Jurisdiction (ETJ). As part of this
agreement, the City created the Cimarron Hills PID to reimburse the developer for costs of
certain infrastructure improvements. Each lot within the development is assessed an annual fee
based on its type of usage. The City also collects a per unit transportation fee which will be used to
fund necessary roadway improvements and bridge crossings in the area. As of September 30, 2017,
316 lots had been sold and 225 homes had been completed for this development. PID assessment
collection began in 2002. In 2017, PID assessments were $417,185. The developer was reimbursed
$415,179 from current year collections and available fund balance. The assessments and related
disbursements are recorded in the Agency Funds.
G. Wolf Ranch Towne Center
In July 2003, the City approved a development agreement with Simon Properties for the 750,000 sq. ft.
Wolf Ranch Towne Center. The project includes Target and 70 other retailers and restaurants. The
City’s development agreement with Simon includes a sales tax rebate allowable under Chapter 380
of the Texas Local Government Code. Fifty-three percent of the 1% general operating sales tax
revenue generated at the development is rebated to Simon as an economic development incentive.
This arrangement continues for 20 years or up to $15,000,000, which funds the public on-site
improvements paid by Simon.
As part of the agreement, the City provided utility improvements to the site, as well as, funded
$10,500,000 of highway improvements for the project. The $10,500,000 was funded with debt to be
repaid by Georgetown Transportation Enhancement Corporation (GTEC). Improvements to SH 29, as
well as, provide the frontage road for IH-35 were constructed as part of this project. As of September
30, 2017, $6,685,000 of GTEC debt was outstanding for this project. GTEC collects ½ of 1% sales
tax, therefore, per the agreement, all related debt service for the GTEC issued bonds, were to be
funded with 53% of GTEC (½%) of sales tax generated within the project.
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City of Georgetown, Texas
Notes to Financial Statements
76
H. Wolf Ranch Public Improvement District (PID)
In June 2004, the City created Wolf Ranch Public Improvement District (PID) that included all
property owned by Simon within the Wolf Ranch development at that time. The purpose of the PID
was to provide a backstop for the City. In the event that revenues from the project were insufficient
to fund any outstanding debt related to the project, an assessment would be levied against the
property in the PID to protect the City from potential revenue shortfalls. Should revenues meet or
exceed expectations, no assessment is made. If revenues did not meet expectations, an assessment
was made. Any accrued assessment was charged 10% interest until paid. Since inception, the
development has not generated enough in GTEC revenues to fund the GTEC debt service
requirements under the Agreement. Therefore, an assessment was levied and related interest
charges accrued. As a practical matter, the sales tax rebate due to Simon under the 380
agreement is netted against the PID assessment payable. As of September 30, 2017, the balance due
from Simon to the PID is $1,056,147, of which $301,626 is interest. In addition, the PID has a $587,298
obligation to the General Fund for the first year assessment, when the General Fund transferred cash
to GTEC to fund the Wolf Ranch debt service.
I. Gateway Tax Increment Reinvestment Zone (TIRZ)
This was established in November 2006 to fund improvements needed for redevelopment of the
Williams Drive gateway area. A master plan for the area was developed in 2006, with
implementation planned for future years. For the year ending September 30, 2017, total revenues
were $40,449 with no expenditures.
J. Downtown Tax Increment Reinvestment Zone (TIRZ)
This was established in 2004 to fund improvements in the downtown overlay district to assist in funding
the downtown master plan. For the year ending September 30, 2017, total revenues were $222,762
with total expenditures of $48,181.
K. Rivery Park Tax Increment Reinvestment Zone (TIRZ)
This was established in 2008 to fund a convention center/hotel complex, as well as, an expansion to
Rivery Park. In January 2014, the City entered into agreements for a 220-room Sheraton hotel and
conference center at the 32-acre Rivery site for the development of the Summit at Rivery Park
(Rivery) project. This project includes a 16,000 square-foot conference center that can
accommodate up to 4,500 people and a public parking garage. Plans for the project include future
phases with retail stores, restaurant sites, single-family homes, and multifamily residences for a total
project investment of $150,000,000 including $65,000,000 for the hotel, conference center, and parking
garage. Private investors will fund most of the project costs.
A total of $16,800,000 in future City and County property taxes generated at the site will be used
to reimburse the City and the developer for the cost of the hotel and conference center, parking
garage, and other public improvements. This includes $12,500,000 of investments by the City and its
related entities including GEDCO and GTEC.
In December 2014, the city council extended the construction and completion dates for the various
development agreements for the project. Ground breaking occurred in February 2015, while the
grand opening occurred on July 28, 2016.
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City of Georgetown, Texas
Notes to Financial Statements
77
The City and Williamson County agreed to reimburse up to $25,000,000 for the project. The City will
contribute 100% and Williamson County will contribute 80% of their respective incremental ad
valorem tax valuation generated at the 32-acre site to fund the project. The City will remit half of
the 1% City sales tax generated at the site to Williamson County as part of the agreement. For the
year ending September 30, 2017, total revenues were $472,793 with total expenditures of $341,340.
L. South Georgetown Tax Increment Reinvestment Zone (TIRZ)
The TIRZ is expected to fund up to $50,000,000 of public improvements through December 2044, with
an estimated future assessed valuation within the TIRZ in excess of $573,000,000. The City is currently
in negotiations with landowners and developers in the area to facilitate and leverage the TIRZ
improvements to ensure the success of the project. For the year ending September 30, 2017, total
revenues were $127,574 with expenditures of $25,000.
M. Chapter 552 Infrastructure Financing Reimbursement Agreement
In August 2014, the City entered into a Chapter 552 Infrastructure Financing/Reimbursement
Agreement for the Hillwood Wolf Ranch Development Project. This agreement is one of several
associated with this project which included the City’s consent to the creation of an In-City Municipal
Utility District (MUD) to finance the costs of various improvements. This Chapter 552 agreement,
allowable under Chapter 552 of the Local Government Code, facilitates the reimbursement of up
to $25,000,000 to the MUD for construction of specified public improvements within the Hillwood
Wolf Ranch development. The annual repayment amount is funded from City ad valorem tax
revenues received by the City for property within the MUD at a rate of $0.15/per $100 assessed
valuation. The terms of this Chapter 552 Agreement continue until dissolution of the MUD or the date
on which the City pays the maximum reimbursement amount of $25,000,000, whichever occurs first.
Total reimbursement accrued in FY2017 is $7,717.
N. Garey Park Trust
In June 2014, the City entered into a memorandum of understanding (MOU) whereby Alan Jack Garey
donated his 525-acre ranch and home, on the conditions that the property shall be used exclusively as
a public park and recreational facility for the benefit of all residents of the City of Georgetown and
surrounding areas. The Garey’s deeded 321.45 acres of land to the Texas Parks and Recreation
Foundation, in trust for the benefit of the City. The City has an approved lease and agreement with
Texas Parks and Recreation Foundation concerning these 321.45 acres. The final 206.57 acres of land,
and the house, was deeded to the City. In January 2016, the City entered into the final amendment to
the MOU. Construction began on the park in April 2017 and is scheduled to open late Spring – early
Summer of 2018.
O. Grants
Amounts received or receivable from grantor agencies, principally the federal government, are
subject to audit and adjustment by the agencies. Any disallowed claims, including amounts
already collected, may constitute a liability of the applicable funds. The amount, if any, of
expenditures which may be disallowed by the grantor cannot be determined at this time, although
the City expects such amounts, if any, to be immaterial.
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City of Georgetown, Texas
Notes to Financial Statements
78
P. Litigation
The City is involved in various legal actions in which claims of varying amounts are being asserted
against the City. The City follows the practice of providing for these claims only when they become
probable and reasonably determinable in amount. In the opinion of City management, these
actions will not result in a significant change in the City's financial position.
Q. Construction Contracts
Encumbrances on construction projects in progress as of September 30, 2017 are approximately
$17,816,058 for Governmental Funds and approximately $18,908,293 for Enterprise Funds.
Note 12. Financial Hedging
In an effort to mitigate the financial and market risk associated with the purchase of natural gas,
energy, and congestion price volatility, the City has established a Risk Management Policy. This policy
was authorized by the City Council to enter into forward contracts for natural gas, swaps, and
congestion rights for the purpose of reducing exposure to natural gas, energy, and congestion price risk.
Use of these types of instruments for the purpose of reducing exposure to price risk is performed as a
hedging activity.
At September 30, 2017, the City had multiple outstanding contracts, with wholesale customers to
provide power supply and/or qualified scheduling entity services. For the power supply customers, the
City charges an energy charge which is based on the quantity of power supplied multiplied by a fixed
price, or multiplied by a fixed heat rate and a fuel index price. In order to hedge the City’s risk, the City
has entered into corresponding power supply agreements with counterparties to hedge against energy
price or heat rate fluctuation in the market. These contracts meet the definition of a derivative
instrument as defined by GASB Statement No. 53, Accounting and Reporting for Derivative Instruments
(GASB 53). However, these contracts meet the normal purchases and sales exemption of GASB 53 as
the City intends to use the physical commodity in its normal utility operations to supply energy to its
customers. Accordingly, these contracts are not within the scope of GASB 53 and are not recorded on
the City’s Statement of Net Position.
At September 30, 2017, the City maintains a $1,000,000 Letter of Credit at the Electric Reliability Council
of Texas (ERCOT) in lieu of maintaining an unsecured deposit with that agency to comply with fiscal
surety requirements.
Risks
Credit Risk. The City’s over-the-counter agreements for natural gas and energy expose the City to credit
risk. In the event of default, the City’s operations will not be materially affected. However, the City does
not expect the counterparties to fail to meet their obligations. The City maintains contracts with
contractual provisions under the EEI (Edison Electric Institute) and EPC (Energy Procurement Contract)
agreements.
Termination Risk. Termination risk is the risk that a derivative will terminate prior to its scheduled maturity
date due to a contractual event. Contractual events include illegality, tax and credit events upon
merger and other events. The City’s exposure to termination risk for over-the counter agreements is
minimal due to the high credit rating of the counterparties, and the contractual provisions under the EEI
and EPC agreements applied to these contracts. Termination risk is associated with all of the City’s
derivatives up to their fair value of the instrument.
Page 128 of 297
City of Georgetown, Texas
Notes to Financial Statements
79
Netting Arrangements. The City enters into netting arrangements whenever it has entered into more
than one derivative transaction with counterparty. Under the terms of these arrangements, should one
party become insolvent or otherwise default on its obligations, close-out netting provisions permit the
non-defaulting party to accelerate and terminate all outstanding transactions and net the transaction’s
fair values so that a single sum will be owed by or owed to the non-defaulting party.
Note 13. Tax Abatements
As of September 30, 2017 the City provides tax abatement to one entity. In November 2006, the City
and Williamson County adopted a resolution stating they wanted to participate in a property tax
abatement and entered into a 10-year tax abatement agreement with Citigroup, NA, Inc., (CNAI) who
constructed a $475,000,000 data center within the City, to abate ad valorem taxes under Chapter 312
of the Texas Tax Code. Section 312.002(a) provides for tax abatement agreements for both new
facilities and structures and for the expansion or modernization of existing facilities and structures. The
abatement began in tax year 2009 (fiscal year 2008/2009) and the abatement provides for a reduction
of assessed values on the real property and the tangible personal property based on a percentage of
adjusted value based on tax abatement schedule. A provisions still exists for recapturing abated taxes
and includes the following: (1) if CNAI does not meet the minimum employment commitment in any
year, the property will be considered taxable for the corresponding year and taxes must be reimbursed.
To receive the abatement, CNAI committed to the construction of a new facility with a minimum
capital investment of $450,000,000, minimum employment commitment per tax abatement schedule,
compliance with performance agreement with Georgetown Economic Development Corp (GEDCO)
and minimum ad valorem tax payment of $150,000 on any non-abated taxes due. The Georgetown
Economic Development Corporation (GEDCO) also entered into an agreement with Citicorp, NA to
fund $1,300,000 of offsite wastewater improvements as an incentive for the creation of 50 jobs. The
amount of the abatement for tax year 2016 (fiscal year 2016/2017) is $102,600,000 of appraised market
value. As a result of this tax abatement, total tax revenues were decreased by $434,975 for the year
ended September 30, 2017.
Note 14. Subsequent Events
In December 2017, the City issued a general obligation refunding bond, Series 2017 in the amount of
$12,940,000.
Note 15. Future Financial Reporting Requirements
The GASB has issued the following statements which will become effective in future years.
Statement No. 75, Accounting and Financial Reporting for Postemployment Benefits Other Than
Pensions – This statement changes the focus of accounting of postemployment benefits other than
pensions from whether they are responsibility funding the benefits over time to a point-in-time liability
that is reflected on the employer’s financial statements for any actuarially unfunded portion of benefits
earned to date. This statement will become effective for the City in fiscal year 2018.
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Required Supplementary Information
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City of Georgetown, Texas
Required Supplementary Information
For the Fiscal Year Ended September 30, 2017
82
Texas Municipal Retirement System – Schedule of Changes in Net Pension Liability and Related Ratios
Measurement Measurement Measurement
2016 2015 2014
Total pension liability
Service cost 6,387,917$ 5,660,967$ 4,549,949$
Interest 8,051,567 7,402,393 6,747,717
Changes of benefit terms - - -
Difference between expected and actual
experience 486,906 903,470 71,207
Changes of assumptions - 1,980,757 -
Benefit payments (3,063,089) (2,491,010) (2,652,717)
Net change in total pension liability 11,863,301 13,456,577 8,716,156
Total pension liability - beginning 117,620,067 104,163,491 95,447,335
Total pension liability - ending (a)129,483,368$ 117,620,068$ 104,163,491$
Plan fiduciary net position
Contributions - employer 4,630,015$ 4,371,324$ 3,800,520$
Contributions - employee 2,798,414 2,592,095 2,256,459
Net investment income 6,398,399 132,967 4,694,918
Benefit payments (3,063,089) (2,491,010) (2,652,717)
Administrative expense (72,218) (80,978) (49,007)
Other (3,891) (4,000) (4,029)
Net change in plan fiduciary net position 10,687,630 4,520,398 8,046,144
Plan fiduciary net position - beginning 94,619,197 90,098,799 82,052,655
Plan fiduciary net position - ending (b)105,306,827 94,619,197 90,098,799
Net pension liability - ending (a) - (b)24,176,541$ 23,000,871$ 14,064,692$
Plan fiduciary net position as a
percentage of total pension liability 81.33% 80.44% 86.50%
Covered employee payroll 39,775,322$ 37,121,089$ 32,235,133$
Net pension liability as a percentage
of covered employee payroll 60.78%61.96%43.63%
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City of Georgetown, Texas
Required Supplementary Information – Continued
For the Fiscal Year Ended September 30, 2017
83
Texas Municipal Retirement System – Schedule of Contributions
September 30, September 30, September 30,
2017 2016 2015
Actuarially determined contribution 5,172,343$ 4,519,980$ 4,165,570$
Contributions in relation to the actuarially
determined contribution 5,172,343 4,519,980 4,165,570
Contribution deficiency (excess)-$ -$ -$
Covered employee payroll 39,775,322$ 37,121,089$ 32,235,133$
Contributions as a percentage of
covered employee payroll 13.00% 12.18% 12.92%
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City of Georgetown, Texas
Required Supplementary Information - Continued
For the Fiscal Year Ended September 30, 2017
84
Notes to TMRS Schedules
TMRS schedules are intended to show information for 10 years, and future years’ information will be
displayed as it becomes available.
Valuation Date:
Actuarial determined contribution rates are calculated as of December 31 and become effective in
January, 13 months later.
Methods and Assumptions Used to Determine Contribution Rates:
Actuarial Cost Method Entry Age Normal
Amortization Method Level Percentage of Payroll, Closed
Remaining Amortization
Period
29 years
Asset Valuation Method 10 year smoothed market, 15.00% soft corridor
Inflation 2.50%
Salary Increases 3.50% to 10.50%, including inflation
Investment Rate of Return 6.75%
Retirement Age Experience-based table of rates that are specific to
the City's plan of benefits. Last updated for the 2015
valuation pursuant to an experience study of the
period 2010 – 2014.
Mortality RP2000 Combined Mortality Table with Blue Collar
Adjustment with male rates multiplied by 109% and
female rates multiplied by 103% and projected on a
fully generational basis with scale BB.
There were no benefit changes during the year.
Other Post-Employment Benefits
Unfunded
Actuarial Actuarial Percentage
Valuation Actuarial Actuarial Accrued Annual of UAAL
as of Value of Accrued Liability Funded Covered for Covered
December 31, Assets Liability (UAAL) Ratio Payroll Payroll
2014 -$ 1,615,808$ 1,615,808$ 0% 32,235,133$ 5%
2015 - 1,565,706 1,565,706 0% 34,616,326 5%
2016 - 1,565,706 1,565,706 0% 36,878,731 4%
Source: Gabriel Roeder Smith & Company, Actuarial Valuation Report
Notes to Other Post-Employment Benefit Schedule
Actuarial accrued liabilities for years ended 2013 and 2014 are based on a December 31, 2013 study.
Actuarial accrued liabilities for years ended 2015 and 2016 are based on a December 31, 2015 study.
Page 134 of 297
City of Georgetown, Texas
Required Supplementary Information – Continued
For the Fiscal Year Ended September 30, 2017
85
Modified Approach for Streets Infrastructure Capital Assets
GASB Statement 34 allows the City to use the Modified Approach with respect to infrastructure assets
instead of depreciating these assets. The City Council adopted an average PCI level of 85, which is
considered “good” condition for a street. The City’s system for reporting assets is fully discussed in Note
1(m) of the notes. The following is additional information for the City’s streets infrastructure for fiscal year
2017. This information is updated every three years and comparative data is included.
Condition Rating Segments
% of
Segments
Center Line
Miles
% of
Segments
Very Good 90-100 2,020 55.5% 154.1 51.6%
Good 80-90 849 23.3%76.5 25.6%
Fair 45-80 689 18.9%60.7 20.3%
Poor < 45 84 2.3%7.3 2.4%
3,642 100.0% 298.6 100.0%
Notes:
Center line miles will vary from the total number of center lines due to street
segments that were omitted from the survey. Street segments that were either
scheduled or currently receiving maintenance were omitted from the street survey.
2005-2007 2008-2010 2011-2013 2014-2017
Arterial 91.91 93.00 89.70 90.00
Collector 88.38 93.75 86.30 86.10
Local 91.00 92.70 87.50 86.50
Overall network 90.87 93.00 87.70 87.30
Fiscal Year Ending
September 30,2017 2016 2015 2014 2013 2012
Estimated maintenance cost 4,202,259$ 3,625,000$ 3,570,000$ 2,163,000$ 2,768,631$ 3,448,359$
Budgeted maintenance cost 4,813,259 4,520,000 4,811,850 4,886,030 3,484,079 3,484,079
Actual maintenance cost 4,126,042 4,550,667 4,106,996 4,434,244 3,170,741 3,170,741
Condition Rating Summary
PCI Rating by Functional Class
Costs to Maintain System at Designated Level
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Combining and Individual Fund Financial
Statements and Schedules
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City of Georgetown, Texas
Combining and Individual Fund Financial Statements and Schedules –
Nonmajor Governmental Funds
88
Special Revenue Funds
Special Revenue Funds (SRFs) are used to account for proceeds of specific revenue sources that are
legally restricted to expenditures for specified purposes. The City of Georgetown utilizes multiple SRFs
to provide an extra level of transparency and accountability to the taxpayers.
Council Discretionary – This SRF was created in July 2015 and includes the projected year-end General
Fund balance not allocated in the budget. These funds will be expended at the direction of the City
Council for specific one-time purposes.
Conservation – is dedicated to energy efficiency programs and projects, and is supported solely by
the $1.00 Conservation Fee charged monthly to all City of Georgetown electric customers on their
utility bills. This fee is used to maintain compliance with House Bill 3693, which calls for enhancement of
existing energy efficiency programs and strengthening of statutory requirements, as well as, to promote
more electric demand management by customers. Specific programs supported by the Conservations
SRF include Home Energy Audits, Weatherization Programs, and the LED Light Bulb Exchange Program.
Court Fees – includes the following SRFs:
Court Funds
Juvenile Fund
The Court Security Fund is used to account for the receipt and expenditure of court costs related to
security personnel. The Court Technology Fund is used to finance the purchase or maintenance of
technological enhancements for the Municipal Court. Child Safety funds are used to fund school
crossing guard programs or other safety activities. All funds are governed by State statute.
The Juvenile Case Manager Fund is used for the receipt and expenditure of a court fee that is
collected for a juvenile case manager. The fund is to finance the salary, benefits, training, travel
expenses, office supplies, and other necessary expenses of the juvenile case manager, as outlined by
statute.
Development includes the following SRFs:
Permitting Fund
Community Development Block Grant (CDBG) Fund
Main Street Façade Fund
The Permitting Fund’s source is technology fees charged to builders and property owners. These fees
support the MyPermitNow system which is a comprehensive electronic permit, inspection, and
tracking system for all types of construction projects. This system allows for efficient and improved
customer service for both the internal and external customers by providing real time online permit
information to customers.
The CDBG Fund is financed through the US Department of Housing and Urban Affairs Division. CDBG
funds are administered through Williamson County and fund infrastructure improvements, such as
sidewalks and wastewater lines in eligible geographic areas.
The Main Street Façade Fund accounts for grants distributed by the Main Street Board for the
improvement of commercial facades in the Downtown Overlay District. Revenue sources include
General Fund contributions and fund raising efforts by the Main Street Board.
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City of Georgetown, Texas
Combining and Individual Fund Financial Statements and Schedules –
Nonmajor Governmental Funds – Continued
89
Fire – includes the following SRFs:
Fire Billing Fund
EMS Paramedic Fund
The Fire Billing Fund’s revenue is derived from inspections and billing insurance carriers for fire protection
services. These funds are used to purchase fire equipment and special needs. Revenues are also used to
help fund fire prevention needs and public education.
The EMS Paramedic Fund’s revenue is derived from billing insurance carriers for calls for service. The fund
tracks costs associated with the City’s operation of the EMS program.
Library – accounts for the receipt and expenditure of restricted donations such as memorials and gifts
for a designated library purchase or program.
Parks – includes the following funds:
Tree Fund
Parks Restricted Fund
Parkland Dedication
Cemetery Fund
The Tree Fund is financed by fees assessed when development projects remove trees. These funds are
used to plant, prune, irrigate, maintain, and fund other associated tree activities in City parks, or other
City-owned property.
The Parks Restricted Fund is used to account for transfers in, donations, and grants. Funds are used for
equipment replacement for parks.
The Parkland Dedication Fund was established through the Parkland Dedication Ordinance. When new
residential developments are built, the developer is required to dedicate land or pay a fee in lieu of
dedication. When a fee is paid, the money is set aside to be used in a restricted zone near the
development. The funds must be used for parks and recreation improvements such as new playgrounds,
new parks, new trails, or to buy parkland.
The Cemetery Fund pays for the ongoing maintenance of the City’s cemeteries. Revenues are
generated from plot sales and maintenance fees. In addition, the City Council committed to transfer
money in from the General Fund to plan for long-term maintenance.
PEG Fee – The Public, Education, and Government (PEG) Fund is used to account for the receipt and
expenditure of PEG fees collected through cable providers that are legally restricted for capital
expenditures related to the City's cable access channel.
Police – includes the following funds:
Police Seizures Fund
Police Grants Fund
Abandoned Vehicle Fund
Animal Services Fund
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City of Georgetown, Texas
Combining and Individual Fund Financial Statements and Schedules –
Nonmajor Governmental Funds – Continued
90
The Police Seizures Fund is used to account for properties and revenues seized by the Georgetown
Police Department. Federal and Texas State Law requires the funds only be used for a defined set of law
enforcement purposes such as law enforcement training, crime prevention awareness programs, asset
accounting and tracking, and witness-related costs. Purchases of police equipment and facilities
equipment are also permitted under state law.
The Police Grants Fund is used to account for any related Police grants that may be authorized and
expended during the fiscal year. Currently a Texas Department of Transportation grant for a Selective
Traffic Enforcement Project (STEP) is passed through at zero balance.
The Abandoned Vehicle Fund is used to track costs and related revenues for vehicles that have been
impounded and are later auctioned.
The Animal Services Fund accounts for donations received from various sources and is used for items
and projects that are related to the capital and service needs of the animal shelter.
Public Improvement Districts (PIDs) – includes the following funds:
Village PID Fund
Wolf Ranch PID Fund
The Village PID Fund accounts for taxes collected from property assessments in the Georgetown Village
PID Tax District. The revenue is used for basic maintenance of parks and open spaces of less than one
acre. Basic maintenance of parks one acre and larger are maintained by the City of Georgetown and
is not paid for by the PID. Revenue is also used for landscape, nature trails and pedestrian walkways,
park benches, trash containers, and entry signs and other similar signs.
The Wolf Ranch PID Fund was created to account for the collection of debt service incurred by the
issuance of $10,500,000 in sales tax revenue bonds which were used to complete the IH 35 frontage in
front of the Wolf Ranch development site.
Streets Sales Tax – accounts for the receipt and expenditure of revenues collected from the
quarter-cent sales tax approved by the citizens in November 2001 under Texas House Bill 445. The
funds are required to be spent on maintenance of streets that were in existence at the time of
adoption of the tax. This tax was reauthorized by voters in November of 2006, 2010, and 2014.
Tax Increment Reinvestment Zones (TIRZ) – accounts for public improvements within an area that will
generate private-sector development. The tax base is frozen at a predevelopment level and the
increases in taxes derived from increases in assessed valuations are used to retire bonds originally
issued for the development or to leverage future growth in the assigned areas. TIRZ includes the
following funds:
Downtown TIRZ
Rivery TIRZ
Gateway TIRZ
South Georgetown TIRZ
The Downtown TIRZ was created by Ordinance No. 2004-77 and covers approximately 66 (+/-) acres,
located entirely in Williamson County and within the corporate limits of the City. This fund is used to
account for the development and redevelopment of downtown Georgetown into a mixed use,
pedestrian-oriented environment, consistent with the goals of the City’s Downtown Master Plan.
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City of Georgetown, Texas
Combining and Individual Fund Financial Statements and Schedules –
Nonmajor Governmental Funds – Continued
91
The Rivery TIRZ was created by Ordinance No. 2011-91, and the duration is through December 31, 2041.
This fund is to help provide a financing vehicle necessary to facilitate a program of public improvements
to allow and encourage the development of a hotel and conference center, enhance the overall park
experience, the establishment of single and multifamily residential development, and commercial/retail
space.
The Gateway TIRZ was created by Ordinance No. 2006-204, and the duration is through December 31,
2031. This fund is to help finance a program of public improvements to allow and encourage the
development and redevelopment of the Williams Drive Gateway area into a mixed use, pedestrian
oriented environment, consistent with the goals of the City’s Williams Drive Gateway Redevelopment
Plan.
The South Georgetown TIRZ was created by Ordinance No. 2014-31 and the duration is through
December 31, 2044. The fund will be used to account for public infrastructure necessary to encourage
high quality commercial/retail development at the intersection of IH-35 and Westinghouse Road, which is
seen as the next major node as growth continues to move north from Round Rock, Texas.
Transportation Pass-Through – to account for receipt of expenses and reimbursements for the partnership
with Williamson County on the Southwest Bypass project.
Tourism – accounts for the receipt and expenditure of funds received by the City from the assessment of
the 7% Hotel Occupancy Tax for hotel stays within the City. Eligible expenses are defined by state law
and include operating a visitor center, promotion of local cultural sites, and historic preservation.
Page 141 of 297
City of Georgetown, Texas
Combining Balance Sheet
Nonmajor Governmental Funds
September 30, 2017
92
Council
Discretionary Development Fire
ASSETS
Cash and cash equivalents 169,917$ 382,333$ 63,530$ 254,165$ 50,745$ 44,689$
Investments 115,891 260,768 25,449 81,446 34,610 14,113
Accounts receivable, net
Sales Tax - - - - - -
Grants - - - 16,470 - -
Other - - - - 1,303,885 -
Due from other funds - - 271 - - -
TOTAL ASSETS 285,808$ 643,101$ 89,250$ 352,081$ 1,389,240$ 58,802$
LIABILITIES AND FUND BALANCE
Accounts payable -$ 1,892$ 4,023$ 7,025$ 35,596$ 2,606$
Due to other funds - - - - 937,005 -
Unearned revenue - - - - 968,550 -
Total liabilities - 1,892 4,023 7,025 1,941,151 2,606
FUND BALANCE
Restricted - - 85,227 - - -
Committed - 641,209 - 345,056 - 56,196
Assigned - - - - 34,727 -
Unassigned 285,808 - - - (586,638) -
Total fund balance 285,808 641,209 85,227 345,056 (551,911) 56,196
TOTAL LIABILITIES
AND FUND BALANCE 285,808$ 643,101$ 89,250$ 352,081$ 1,389,240$ 58,802$
Conservation Court Fees
Library
Restricted
Page 142 of 297
93
Street
Sales
Parks PEG Fees Police Tax Transportation Tourism Total
1,970,437$ 200,488$ 303,550$ 477,768$ 2,537,154$ 705,360$ 738$ 445,089$ 7,605,963$
622,243 63,312 - 325,556 1,730,455 222,746 503 303,502 3,800,594
- - - 118 505,550 - - 117,700 623,368
- - 126,624 - - - 609,194 - 752,288
70,780 - - 842,974 - - - - 2,217,639
- - - 476,403 - - - - 476,674
2,663,460$ 263,800$ 430,174$ 2,122,819$ 4,773,159$ 928,106$ 610,435$ 866,291$ 15,476,526$
15,656$ -$ 12,382$ 4,251$ 1,350,692$ 11,450$ 506,475$ 12,954$ 1,965,002$
- - 4,625 1,064,140 - - - - 2,005,770
- - - 255,794 - - - - 1,224,344
15,656 - 17,007 1,324,185 1,350,692 11,450 506,475 12,954 5,195,116
- 263,800 413,167 - 3,422,467 - - 853,337 5,037,998
2,647,804 - - 798,634 - 916,656 - - 5,405,555
- - - - - - 298,480 - 333,207
- - - - - - (194,520) - (495,350)
2,647,804 263,800 413,167 798,634 3,422,467 916,656 103,960 853,337 10,281,410
2,663,460$ 263,800$ 430,174$ 2,122,819$ 4,773,159$ 928,106$ 610,435$ 866,291$ 15,476,526$
Tax
Increment
Reinvestment
Zones
Public
Improvement
Districts
Page 143 of 297
City of Georgetown, Texas
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balance –
Nonmajor Governmental Funds
For the Fiscal Year Ended September 30, 2017
94
Council
Discretionary Conservation
Court
Fees Development Fire
Library
Restricted
REVENUES
Hotel/Motel tax -$ -$ -$ -$ -$ -$
Property assessments - - - - - -
Sales tax - - - - - -
Fines and forfeitures - - 46,902 - - -
Investment income 2,584 3,106 510 1,501 515 335
Donations and grants - - - 83,700 1,135 91,065
Char ges for services - - - - 2,435,034 -
Other revenue - 292,625 - 166,487 122,840 -
Total revenues 2,584 295,731 47,412 251,688 2,559,524 91,400
EXPENDITURES
Culture / recreation - - - - - 87,990
Development - - - 127,987 - -
Environmental services - 138,869 - - - -
Fire services - - - - 2,347,749 -
General government - - - - - -
Hi ghways and streets - - - - - -
Police - - 63,170 - - -
Capital outlay - - - 80,285 - -
Total expenditures - 138,869 63,170 208,272 2,347,749 87,990
EXCESS (DEFICIENCY) OF
REVENUES OVER EXPENDITURES 2,584 156,862 (15,758) 43,416 211,775 3,410
OTHER FINANCING SOURCES (USES)
Transfers in 1,734,779 - 45,381 75,000 49,848 -
Transfers out (1,637,249) - - - - -
Total other financing sources (uses ) 97,530 - 45,381 75,000 49,848 -
NET CHANGE IN FUND BALANCE 100,114 156,862 29,623 118,416 261,623 3,410
FUND BALANCES, beginning of period 185,694 484,347 55,604 226,640 (813,534) 52,786
FUND BALANCES, end of period 285,808$ 641,209$ 85,227$ 345,056$ (551,911)$ 56,196$
Page 144 of 297
95
Parks PEG Fees Police
Public
Improvement
Districts
Street
Sales Tax
Tax Increment
Reinvestment
Zones Transportation Tourism Total
-$ -$ -$ -$ -$ -$ -$ 1,216,063$ 1,216,063$
- - - 811,328 - 636,511 - - 1,447,839
- - - - 3,137,867 - - - 3,137,867
- - - - - - - - 46,902
12,684 1,114 2,845 5,110 18,592 2,725 - 3,182 54,803
1,112,841 - 42,730 - - - 609,194 - 1,940,665
- - - - - - - - 2,435,034
265,742 122,466 109,569 - - 224,344 - 130,075 1,434,148
1,391,267 123,580 155,144 816,438 3,156,459 863,580 609,194 1,349,320 11,713,321
345,279 36,135 - 355,730 - - - 985,014 1,810,148
- - - - - - - - 127,987
- - - - - - - - 138,869
- - - - - - - - 2,347,749
- - - - - 25,000 - - 25,000
- - - - 1,843,908 - 1,027,367 - 2,871,275
- - 202,852 - - - - - 266,022
109,571 - - - - 48,181 - - 238,037
454,850 36,135 202,852 355,730 1,843,908 73,181 1,027,367 985,014 7,825,087
936,417 87,445 (47,708) 460,708 1,312,551 790,399 (418,173) 364,306 3,888,234
275,000 - - - - 202,632 - - 2,382,640
- - - (476,842) (278,463) (386,110) - (10,200) (2,788,864)
275,000 - - (476,842) (278,463) (183,478) - (10,200) (406,224)
1,211,417 87,445 (47,708) (16,134) 1,034,088 606,921 (418,173) 354,106 3,482,010
1,436,387 176,355 460,875 814,768 2,388,379 309,735 522,133 499,231 6,799,400
2,647,804$ 263,800$ 413,167$ 798,634$ 3,422,467$ 916,656$ 103,960$ 853,337$ 10,281,410$
Page 145 of 297
City of Georgetown, Texas
Council Discretionary Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
96
REVENUES
Investment earnings -$ -$ 2,584$ 2,584$
Other revenue - - - -
Other - - - -
Total revenues - - 2,584 2,584
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES - - 2,584 2,584
OTHER FINANCING SOURCES (USES)
Transfer in 750,000 1,734,779 1,734,779 -
Transfers out - (1,637,249) (1,637,249) -
Total other financing sources (uses) 750,000 97,530 97,530 -
EXCESS OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES (USES) - BUDGETARY BASIS 750,000 97,530 100,114 2,584
FUND BALANCE, beginning of period 515,714 185,045 185,694 649
FUND BALANCE - BUDGETARY BASIS, end of period 1,265,714$ 282,575$ 285,808 3,233$
ADJUSTMENTS TO GAAP -
FUND BALANCE - GAAP BASIS, end of period 285,808$
Original
Budget
Variance to
Budget
Final
Budget
Actual
Budgetary
Basis
Page 146 of 297
City of Georgetown, Texas
Conservation Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
97
Original and Final
Budget
Actual Budgetary
Basis
Variance
to Budget
REVENUES
Investment earnings 2,000$ 3,106$ 1,106$
Conservation revenue 290,000 292,625 2,625
Total revenues 292,000 295,731 3,731
EXPENDITURES
Operations 304,647 140,988 163,659
Capital outlay - - -
Total expenditures 304,647 140,988 163,659
EXCESS OF REVENUES
OVER EXPENDITURES (12,647) 154,743 167,390
OTHER FINANCING (USES)
Transfers out - - -
Total other financing (uses) - - -
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING (USES) - BUDGETARY BASIS (12,647) 154,743 167,390
FUND BALANCE, beginning of period 583,908 484,347 (99,561)
FUND BALANCE - BUDGETARY BASIS, end of period 571,261$ 639,090 67,829$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 2,119
FUND BALANCE - GAAP BASIS, end of period 641,209$
Page 147 of 297
City of Georgetown, Texas
Court Fees Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
98
Original and Final
Budget
Actual Budgetary
Basis
Variance
to Budget
REVENUES
Court fees 56,828$ 46,902$ (9,926)$
Investment earnings 150 510 360
Total revenues 56,978 47,412 (9,566)
EXPENDITURES
Personnel 64,185 61,836 2,349
Operations 1,800 1,513 287
Total expenditures 65,985 63,349 2,636
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (9,007) (15,937) (6,930)
OTHER FINANCING SOURCES
Operating transfers in 60,363 45,381 (14,982)
Total other financing sources 60,363 45,381 (14,982)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES (USES) - BUDGETARY BASIS 51,356 29,444 (21,912)
FUND BALANCE, beginning of period 18,200 55,554 37,354
FUND BALANCE - BUDGETARY BASIS, end of period 69,556$ 84,998 15,442$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 179
Reverse voided purchase orders 50
FUND BALANCE - GAAP BASIS, end of period 85,227$
Page 148 of 297
City of Georgetown, Texas
Development Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
99
REVENUES
Grants and entitlements 135,500$ 135,500$ 83,700$ (51,800)$
Investment earnings 260 260 1,501 1,241
Technology fee - - - -
Other 183,000 183,000 166,487 (16,513)
Total revenues 318,760 318,760 251,688 (67,072)
EXPENDITURES
Operations 338,000 338,000 172,885 165,115
Capital outlay 135,500 135,500 28,437 107,063
Total expenditures 473,500 473,500 201,322 272,178
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (154,740) (154,740) 50,366 205,106
OTHER FINANCING SOURCES (USES)
Transfers in 75,000 75,000 75,000 -
Total other financing sources (uses) 75,000 75,000 75,000 -
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES (USES) -
BUDGETARY BASIS (79,740) (79,740) 125,366 205,106
FUND BALANCE, beginning of period 88,207 88,207 142,617 54,410
FUND BALANCE - BUDGETARY BASIS,
end of period 8,467$ 8,467$ 267,983 259,516$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 74,054
Reverse voided purchase orders 3,019
FUND BALANCE - GAAP BASIS, end of period 345,056$
Original
Budget
Final
Budget
Actual
Budgetary Basis
Variance to
Budget
Page 149 of 297
City of Georgetown, Texas
Fire Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
100
REVENUES
Fire administration -$ -$ -$ -$
Paramedic revenue 2,268,250 2,368,250 2,552,209 183,959
Interest and other 100 100 7,316 7,216
Total revenues 2,268,350 2,368,350 2,559,525 191,175
EXPENDITURES
Administrative expenses 40,000 70,000 28,780 41,220
Paramedic program 2,180,168 2,250,168 2,295,095 (44,927)
Total expenditures 2,220,168 2,320,168 2,323,875 (3,707)
EXCESS OF REVENUES
OVER EXPENDITURES 48,182 48,182 235,650 187,468
OTHER FINANCING SOURCES
Transfers in 49,846 49,846 49,848 2
Total other financing sources 49,846 49,846 49,848 2
EXCESS OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES - BUDGETARY BASIS 98,028 98,028 285,498 187,470
FUND BALANCE, beginning of period 285,820 285,820 (872,581) (1,158,401)
FUND BALANCE - BUDGETARY BASIS,
end of period 383,848$ 383,848$ (587,083) (970,931)$
ADJUSTMENTS TO GAAP
GAAP adjustment (18,407)
Reserve for encumbrances 34,727
Reverse voided purchase orders 18,852
FUND BALANCE - GAAP BASIS, end of period (551,911)$
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance to
Budget
Page 150 of 297
City of Georgetown, Texas
Library Restricted Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
101
REVENUES
Investment earnings 200$ 200$ 335$ 135$
Donations 90,000 90,000 91,065 1,065
Total revenues 90,200 90,200 91,400 1,200
EXPENDITURES
Personnel - - - -
Operations 170,000 170,000 88,062 81,938
Capital - - - -
Total expenditures 170,000 170,000 88,062 81,938
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (79,800) (79,800) 3,338 83,138
FUND BALANCE, beginning of period 52,755 52,755 52,755 -
FUND BALANCE - BUDGETARY BASIS,
end of period (27,045)$ (27,045)$ 56,093 83,138$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 72
Reverse voided purchase orders 31
FUND BALANCE - GAAP BASIS, end of period 56,196$
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance to
Budget
Page 151 of 297
City of Georgetown, Texas
Parks Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
102
REVENUES
Investment earnings 4,500$ 4,500$ 12,684$ 8,184$
Donations 115,000 115,000 1,112,841 997,841
Other 139,500 139,500 265,742 126,242
Total revenues 259,000 259,000 1,391,267 1,132,267
EXPENDITURES
Operations 577,000 577,000 328,749 248,251
Capital outlay 446,739 490,630 172,869 317,761
Total expenditures 1,023,739 1,067,630 501,618 566,012
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (764,739) (808,630) 889,649 1,698,279
OTHER FINANCING SOURCES
Transfers in 275,000 275,000 275,000
Total other financing sources 275,000 275,000 275,000 -
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES - BUDGETARY BASIS (489,739) (533,630) 1,164,649 1,698,279
FUND BALANCE, beginning of period 1,395,036 1,395,036 1,399,036 4,000
FUND BALANCE - BUDGETARY BASIS,
end of period 905,297$ 861,406$ 2,563,685 1,702,279$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 79,640
Reverse voided purchase orders 3,677
Reverse prior year adjustments 802
FUND BALANCE - GAAP BASIS, end of period 2,647,804$
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance to
Budget
Page 152 of 297
City of Georgetown, Texas
PEG Fees Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
103
Original and
Final Budget
Actual
Budgetary Basis
Variance to
Budget
REVENUES
Investment earnings -$ 1,114$ 1,114$
Other 140,000 122,466 (17,534)
Total revenues 140,000 123,580 (16,420)
EXPENDITURES
Capital outlay 315,589 36,417 279,172
Total expenditures 315,589 36,417 279,172
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (175,589) 87,163 262,752
FUND BALANCE, beginning of period - 176,091 176,091
FUND BALANCE - BUDGETARY BASIS, end of period (175,589)$ 263,254 438,843$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 282
Reverse voided purchase orders 264
FUND BALANCE - GAAP BASIS, end of period 263,800$
Page 153 of 297
City of Georgetown, Texas
Police Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
104
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance
to Budget
REVENUES
Investment earnings -$ 1,453$ 2,845$ 1,392$
Donations 15,000 15,000 42,730 27,730
Other - 91,908 109,569 17,661
Total revenues 15,000 108,361 155,144 46,783
EXPENDITURES
Operations 135,248 144,850 105,996 38,854
Total expenditures 135,248 144,850 105,996 38,854
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (120,248) (36,489) 49,148 85,637
FUND BALANCE, beginning of period (219,820) (219,820) 327,010 546,830
FUND BALANCE - BUDGETARY BASIS, end of period (340,068)$ (256,309)$ 376,158 632,467$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 31,900
Reverse voided purchase orders 1,040
Reverse prior year adjustments 4,069
FUND BALANCE - GAAP BASIS, end of period 413,167$
Page 154 of 297
City of Georgetown, Texas
Public Improvement Districts Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
105
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance
to Budget
REVENUES
Property assessments 834,713$ 834,713$ 811,328$ (23,385)$
Investment earnings 1,500 1,500 5,110 3,610
Total revenues 836,213 836,213 816,438 (19,775)
EXPENDITURES
Operations 984,436 1,014,436 781,517 232,919
Total expenditures 984,436 1,014,436 781,517 232,919
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (148,223) (178,223) 34,921 213,144
FUND BALANCE, beginning of period 615,271 615,271 678,853 63,582
FUND BALANCE - BUDGETARY BASIS,
end of period 467,048$ 437,048$ 713,774 276,726$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 71,187
Reverse voided purchase orders 8,750
Reverse prior year adjustments 4,923
FUND BALANCE - GAAP BASIS, end of period 798,634$
Page 155 of 297
City of Georgetown, Texas
Street Sales Tax Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
106
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance
to Budget
REVENUES
Sales tax 2,937,500$ 2,937,500$ 3,137,867$ 200,367$
Investment earnings 10,000 10,000 16,818 6,818
Total revenues 2,947,500 2,947,500 3,154,685 207,185
EXPENDITURES
Capital outlay 3,325,000 3,579,259 2,046,350 1,532,909
Total expenditures 3,325,000 3,579,259 2,046,350 1,532,909
EXCESS OF REVENUES
OVER EXPENDITURES (377,500) (631,759) 1,108,335 1,740,094
OTHER FINANCING (USES)
Transfers out - (278,463) (278,463) -
Total other financing (uses)- (278,463) (278,463) -
EXCESS OF REVENUES
OVER EXPENDITURES AND OTHER FINANCING
SOURCES (USES) - BUDGETARY BASIS (377,500) (910,222) 829,872 1,740,094
FUND BALANCE, beginning of period 2,091,899 2,091,899 2,091,899 -
FUND BALANCE - BUDGETARY BASIS,
end of period 1,714,399$ 1,181,677$ 2,921,771 1,740,094$
ADJUSTMENTS TO GAAP
Net changes in unrealized gains/(losses) on investments 1,774
Prior year purchase order that was not expensed in current year (101)
Reserve for encumbrances 498,109
GAAP adjustment 600
Reverse voided purchase orders 314
FUND BALANCE - GAAP BASIS, end of period 3,422,467$
Page 156 of 297
City of Georgetown, Texas
Tax Increment Reinvestment Zones Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
107
REVENUES
Property assessments 633,124$ 633,124$ 636,511$ 3,387$
Investment earnings - - 2,725 2,725
Other 226,698 226,698 224,344 (2,354)
Total revenues 859,822 859,822 863,580 3,758
EXPENDITURES
Capital 224,500 402,632 98,681 303,951
Operations - 25,000 25,000 -
Total expenditures 224,500 427,632 123,681 303,951
EXCESS OF REVENUES
OVER EXPENDITURES 635,322 432,190 739,899 307,709
OTHER FINANCING SOURCES (USES)
Transfers in - 202,632 202,632 -
Transfers out (394,475) (394,475) (386,110) 8,365
Total other financing sources (uses)(394,475) (191,843) (183,478) 8,365
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER FINANCING
SOURCES (USES) - BUDGETARY BASIS 240,847 240,347 556,421 316,074
FUND BALANCE, beginning of period 135,443 135,443 309,735 174,292
FUND BALANCE - BUDGETARY BASIS,
end of period 376,290$ 375,790$ 866,156 490,366$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 50,500
FUND BALANCE - GAAP BASIS, end of period 916,656$
Actual
Budgetary
Basis
Final
Budget
Original
Budget
Variance to
Budget
Page 157 of 297
City of Georgetown, Texas
Transportation Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
108
REVENUES
Other -$ 505,180$ 609,194$ 104,014$
Total revenues - 505,180 609,194 104,014
EXPENDITURES
Operations - 609,194 609,194 -
Total expenditures - 609,194 609,194 -
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES - (104,014) - 104,014
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER FINANCING
SOURCES - BUDGETARY BASIS - (104,014) - 104,014
FUND BALANCE, beginning of period (194,520) (194,520) (194,520) -
FUND BALANCE - BUDGETARY BASIS,
end of period (194,520)$ (298,534)$ (194,520) 104,014$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 298,480
FUND BALANCE - GAAP BASIS, end of period 103,960$
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance to
Budget
Page 158 of 297
City of Georgetown, Texas
Tourism Special Revenue Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
For the Fiscal Year Ended September 30, 2017
109
REVENUES
Hotel/motel tax 1,260,000$ 1,260,000$ 1,216,063$ (43,937)$
Investment earnings 1,500 1,500 3,182 1,682
Other 133,000 158,000 130,075 (27,925)
Total revenues 1,394,500 1,419,500 1,349,320 (70,180)
EXPENDITURES
Personnel 359,570 359,570 346,994 12,576
Operations 701,832 726,832 638,258 88,574
Total expenditures 1,061,402 1,086,402 985,252 101,150
EXCESS OF REVENUES
OVER EXPENDITURES 333,098 333,098 364,068 30,970
OTHER FINANCING SOURCES (USES)
Transfers out (10,200) (10,200) (10,200) -
Total other financing sources (uses ) (10,200) (10,200) (10,200) -
EXCESS OF REVENUES
OVER EXPENDITURES AND OTHER FINANCING
SOURCES - BUDGETARY BASIS 322,898 322,898 353,868 30,970
FUND BALANCE, beginning of period 446,553 430,268 483,705 53,437
FUND BALANCE - BUDGETARY BASIS,
end of period 769,451$ 753,166$ 837,573 84,407$
ADJUSTMENTS TO GAAP
Reserve for encumbrances 13,793
Reverse voided purchase orders 2,035
Reverse prior year adjustments (64)
FUND BALANCE - GAAP BASIS, end of period 853,337$
Actual
Budgetary
Basis
Variance to
Budget
Original
Budget
Final
Budget
Page 159 of 297
110
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Page 160 of 297
111
Supplementary Individual Fund
Financial Statements and Schedules –
Major Governmental Funds
Page 161 of 297
City of Georgetown, Texas
General Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
Fiscal Year Ended September 30, 2017
112
Actual
Original Final Budgetary Variance
Budget Budget Basis to Budget
REVENUES
Taxes
Current
Property tax 12,475,000$ 12,604,850$ 12,604,850$ -$
Penalties and interest 80,000 81,401 81,401 -
Total property tax 12,555,000 12,686,251 12,686,251 -
Sales tax 12,818,683 13,595,005 13,595,005 -
Franchise taxes 5,142,035 4,648,758 4,973,295 324,537
Other 352,800 363,455 363,455 -
Total taxes 30,868,518 31,293,469 31,618,006 324,537
LICENSES AND PERMITS
Permits and inspection fees 2,256,110 2,619,253 2,619,254 1
Licenses 20,400 33,225 33,225 -
Total licenses and permits 2,276,510 2,652,478 2,652,479 1
CHARGES FOR SERVICES
Library 93,452 87,075 87,075 -
Animal services 32,040 64,342 64,342 -
Parks and recreation 2,190,746 2,357,892 2,357,892 -
Environmental services 7,207,193 7,286,448 7,286,448 -
Fire protection 1,680,122 1,679,707 1,679,707 -
Police support 296,271 362,967 362,967 -
Total charges for services 11,499,824 11,838,431 11,838,431 -
FINES AND FORFEITURES 566,830 453,675 453,675 -
INTEREST AND OTHER
Investment income 25,500 75,387 75,837 450
Rent 155,500 376,629 376,629 -
Miscellaneous 279,451 344,226 372,540 28,314
Total interest and other 460,451 796,242 825,006 28,764
TOTAL REVENUES 45,672,133 47,034,295 47,387,597 353,302
(continued)
Page 162 of 297
City of Georgetown, Texas
General Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis – Continued
Fiscal Year Ended September 30, 2017
113
Actual
Original Final Budgetary Variance
Budget Budget Basis to Budget
EXPENDITURES
Culture recreation
Downtown & community
service admin
Personnel 237,653$ 237,653$ 240,981$ (3,328)$
Operations 246,939 246,939 246,156 (783)
Total downtown & community
service admin 484,592 484,592 487,137 (2,545)
Parks
Personnel 1,273,853 1,273,853 1,197,821 76,032
Operations 1,038,506 1,038,506 1,064,373 (25,867)
Total parks 2,312,359 2,312,359 2,262,194 50,165
Recreation
Personnel 1,325,982 1,325,982 1,316,480 9,502
Operations 1,096,505 1,096,505 1,071,361 25,144
Total recreation 2,422,487 2,422,487 2,387,841 34,646
Recreation programs
Personnel 1,011,708 1,011,708 909,197 102,511
Operations 859,253 859,253 885,588 (26,335)
Total recreation programs 1,870,961 1,870,961 1,794,785 76,176
Arts & culture
Operations 74,385 74,385 74,029 356
Total arts and culture 74,385 74,385 74,029 356
Library
Personnel 1,525,538 1,525,538 1,524,621 917
Operations 737,998 737,998 737,992 6
Capital outlay 156,293 156,293 165,641 (9,348)
Total library 2,419,829 2,419,829 2,428,254 (8,425)
Total culture recreation 9,584,613 9,584,613 9,434,240 150,373
(continued)
Page 163 of 297
City of Georgetown, Texas
General Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis – Continued
Fiscal Year Ended September 30, 2017
114
Actual
Original Final Budgetary Variance
Budget Budget Basis to Budget
Development
Planning
Personnel 894,340$ 932,936$ 833,146$ 99,790$
Operations 288,396 416,896 217,176 199,720
Total planning 1,182,736 1,349,832 1,050,322 299,510
Inspection services
Personnel 1,061,860 1,061,860 938,118 123,742
Operations 105,479 105,479 109,105 (3,626)
Total inspection services 1,167,339 1,167,339 1,047,223 120,116
Code enforcement
Personnel 331,433 331,433 277,950 53,483
Operations 76,340 76,340 71,713 4,627
Total code enforcement 407,773 407,773 349,663 58,110
Total development 2,757,848 2,924,944 2,447,208 477,736
Environmental services
Operations 5,879,717 6,202,801 6,192,028 10,773
Total environmental services 5,879,717 6,202,801 6,192,028 10,773
(continued)
Page 164 of 297
City of Georgetown, Texas
General Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis – Continued
Fiscal Year Ended September 30, 2017
115
Actual
Original Final Budgetary Variance
Budget Budget Basis to Budget
Fire services
Support Services
Personnel 1,593,550$ 1,593,550$ 1,687,075$ (93,525)$
Operations 825,434 825,434 867,376 (41,942)
Total support services 2,418,984 2,418,984 2,554,451 (135,467)
Emergency Services
Personnel 8,566,727 8,545,427 8,680,821 (135,394)
Operations 1,479,368 1,471,587 1,249,725 221,862
Total emergency services 10,046,095 10,017,014 9,930,546 86,468
Total fire services 12,465,079 12,435,998 12,484,997 (48,999)
General government
Operations 1,467,532 1,467,532 1,948,905 (481,373)
Total operations 1,467,532 1,467,532 1,948,905 (481,373)
City council
Personnel 86,873 106,473 107,974 (1,501)
Operations 69,171 31,171 28,808 2,363
Total city council 156,044 137,644 136,782 862
City manager's office
Personnel 1,321,786 1,324,495 1,240,182 84,313
Operations 230,534 260,534 197,528 63,006
Total city manager's office 1,552,320 1,585,029 1,437,710 147,319
City's secretary
Personnel 356,452 361,022 375,575 (14,553)
Operations 301,400 301,400 260,390 41,010
Total city secretary 657,852 662,422 635,965 26,457
Communication office
Personnel 269,696 269,696 265,323 4,373
Operations 119,637 119,637 117,100 2,537
Capital outlay (2,000) (2,000) 17 (2,017)
Total communication office 387,333 387,333 382,440 4,893
Total general government 4,221,081 4,239,960 4,541,802 (301,842)
(continued)
Page 165 of 297
City of Georgetown, Texas
General Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis – Continued
Fiscal Year Ended September 30, 2017
116
Actual
Original Final Budgetary Variance
Budget Budget Basis to Budget
Highways and streets
Transportation admin
Personnel 434,778$ 434,778$ 407,824$ 26,954$
Operations 219,587 219,587 219,238 349
Capital outlay 47,383 47,383 72,528 (25,145)
Total transportation admin 701,748 701,748 699,590 2,158
Streets
Personnel 1,327,359 1,327,359 1,172,362 154,997
Operations 1,245,139 1,495,139 1,130,134 365,005
Capital outlay 1,234,000 1,234,000 755,378 478,622
Total streets 3,806,498 4,056,498 3,057,874 998,624
Total highways and streets 4,508,246 4,758,246 3,757,464 1,000,782
Police services
Organization and administration
Personnel 491,038 491,038 500,130 (9,092)
Operations 1,614,018 1,594,099 1,582,057 12,042
Total organization and
administration 2,105,056 2,085,137 2,082,187 2,950
Field operations bureau
Personnel 9,889,006 9,889,006 9,758,946 130,060
Operations 1,287,285 1,287,285 1,286,717 568
Capital outlay - - - -
Total field operations bureau 11,176,291 11,176,291 11,045,663 130,628
Animal services
Personnel 659,006 659,006 583,391 75,615
Operations 246,951 259,588 238,362 21,226
Total animal services 905,957 918,594 821,753 96,841
Municipal court
Personnel 458,585 458,585 451,194 7,391
Operations 106,035 106,035 98,602 7,433
Total municipal court 564,620 564,620 549,796 14,824
Total police services 14,751,924 14,744,642 14,499,399 245,243
TOTAL EXPENDITURES 54,168,508 54,891,204 53,357,138 1,534,066
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (8,496,375) (7,856,909) (5,969,541) 1,887,368
(continued)
Page 166 of 297
City of Georgetown, Texas
General Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis – Continued
Fiscal Year Ended September 30, 2017
117
Actual
Original Final Budgetary Variance
Budget Budget Basis to Budget
OTHER FINANCING SOURCES (USES)
Transfers in 8,505,241$ 9,592,342$ 9,592,342$ -$
Transfers out (1,444,716) (1,512,955) (2,489,735)(976,780)
Total other financing sources (uses)7,060,525 8,079,387 7,102,607 (976,780)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES (USES) -
BUDGETARY BASIS (1,435,850) 222,478 1,133,066 910,588
FUND BALANCE - BUDGETARY BASIS,
beginning of period 10,168,638 10,168,638 10,996,406 827,768
FUND BALANCE - BUDGETARY BASIS,
end of period 8,732,788$ 10,391,116$ 12,129,472 1,738,356$
ADJUSTMENTS TO GAAP
Net changes in unrealized gains/(losses) on investments (1,629)
Reserve for encumbrances 919,906
Reverse voided purchase orders 250,569
Reverse prior year adjustments 27,307
FUND BALANCE - GAAP BASIS, end of period 13,325,625$
Page 167 of 297
City of Georgetown, Texas
Georgetown Transportation Enhancement Corporation (GTEC)
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
Fiscal Year Ended September 30, 2017
118
Original
Budget
Final
Budget
Actual
Budgetary Basis
Variance to
Budget
REVENUES
Sales tax 5,875,000$ 5,875,000$ 6,275,734$ 400,734$
Grants 3,355,356 3,355,356 2,553,529 (801,827)
Investment earnings 50,000 50,000 164,952 114,952
Other - - 7,539 7,539
Total revenues 9,280,356 9,280,356 9,001,754 (278,602)
EXPENDITURES
Operations 330,895 330,895 329,601 1,294
Principal, interest and fiscal charges 839,150 839,150 961,210 (122,060)
Capital outlay 18,155,731 18,155,731 5,017,584 13,138,147
Total expenditures 19,325,776 19,325,776 6,308,395 13,017,381
EXCESS (DEFICIENCY) OF
REVENUES OVER EXPENDITURES (10,045,420) (10,045,420) 2,693,359 7,352,061
OTHER FINANCING SOURCES (USES)
Issuance of bonds 6,000,000 6,000,000 5,750,000 (250,000)
Premium on issuance of bonds - - 369,010 369,010
Transfers in 553,201 553,201 521,611 (31,590)
Transfers out (2,575,604) (2,575,604) (2,577,502) (1,898)
Total other financing sources (uses) 3,977,597 3,977,597 4,063,119 85,522
EXCESS (DEFICIENCY) OF REVENUES OVER
EXPENDITURES AND OTHER FINANCING
SOURCES (USES) - BUDGETARY BASIS (6,067,823) (6,067,823) 6,756,478 12,824,301
FUND BALANCE, beginning of period 11,022,875 11,022,875 11,017,018 (5,857)
FUND BALANCE - BUDGETARY BASIS,
end of period 4,955,052$ 4,955,052$ 17,773,496 12,818,444$
ADJUSTMENTS TO GAAP
Reverse bond interest 2,025
Net changes in unrealized gains/(losses) on investments (3,530)
GAAP adjustment (433,217)
Reduce restricted fund balance 540,000
Reserve for encumbrances 1,240,430
Reverse voided purchase orders 356,286
Reverse prior year adjustments 6,622
FUND BALANCE - GAAP BASIS, end of period 19,482,112$
Page 168 of 297
City of Georgetown, Texas
Debt Service Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
Fiscal Year Ended September 30, 2017
119
Original Budget
Final
Budget
Actual
Budgetary
Basis
Variance to
Budget
REVENUES
Ad valorem taxes 12,000,000$ 12,000,000$ 11,975,432$ (24,568)$
Investment earnings 2,000 2,000 60,186 58,186
Total revenues 12,002,000 12,002,000 12,035,618 33,618
EXPENDITURES AND OTHER
FINANCING SOURCES (USES)
Principal, interest and fiscal charges (14,804,714) (14,804,714) (14,881,601) (76,887)
OTHER FINANCING SOURCES (USES)
Transfers in 2,916,878 2,916,878 2,918,842 1,964
Total other financing sources (uses) 2,916,878 2,916,878 2,918,842 1,964
EXCESS (DEFICIENCY) OF REVENUES OVER
EXPENDITURES AND OTHER FINANCING
SOURCES (USES) - BUDGETARY BASIS 114,164 114,164 72,859 (41,305)
FUND BALANCE, beginning of period 1,543,287 1,543,287 1,866,091 322,804
FUND BALANCE - BUDGETARY BASIS,
end of period 1,657,451$ 1,657,451$ 1,938,950 281,499$
ADJUSTMENTS TO GAAP
Net changes in unrealized gains/(losses) on investments (24)
FUND BALANCE - GAAP BASIS, end of period 1,938,926$
Page 169 of 297
City of Georgetown, Texas
General Capital Projects Fund
Schedule of Revenues and Expenditures (Budget Basis) –
Budget and Actual (Non-GAAP) – Reconciled to GAAP Basis
Fiscal Year Ended September 30, 2017
120
Original
Budget
Final
Budget
Actual
Budgetary
Basis
Variance to
Budget
REVENUES
Investment earnings 75,000$ 75,000$ 317,415$ 242,415$
Grants and donations 5,000,000 5,020,546 312,300 (4,708,246)
Other 300,000 370,000 109,550 (260,450)
Total revenues 5,375,000 5,465,546 739,265 (4,726,281)
EXPENDITURES
Capital outlay 25,065,883 40,257,315 23,372,002 16,885,313
Bond issuance cost - - 340,973 (340,973)
Total expenditures 25,065,883 40,257,315 23,712,975 16,544,340
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES (19,690,883) (34,791,769) (22,973,710) 11,818,059
OTHER FINANCING SOURCES (USES)
Issuance of bonds 12,060,000 18,290,000 18,640,276 350,276
Sale of property 3,475,000 3,475,000 - (3,475,000)
Transfers in - 548,463 548,463 -
Transfers out (1,988,000) (2,190,632) (2,190,632) -
Total other financing sources (uses)13,547,000 20,122,831 16,998,107 (3,124,724)
EXCESS (DEFICIENCY) OF REVENUES
OVER EXPENDITURES AND OTHER
FINANCING SOURCES (USES) -
BUDGETARY BASIS (6,143,883) (14,668,938) (5,975,603) 8,693,335
FUND BALANCES, beginning of period 6,143,883 14,668,938 23,551,319 8,882,381
FUND BALANCES - BUDGETARY BASIS,
end of period -$ -$ 17,575,716 17,575,716$
ADJUSTMENTS TO GAAP
Net changes in unrealized gains/(losses) on investments (9,534)
Reserve for encumbrances 14,198,287
Reverse voided purchase orders 44,042
GAAP adjustments (581,774)
Reverse prior year adjustments 229,915
FUND BALANCES - GAAP BASIS, end of period 31,456,652$
Page 170 of 297
121
Combining Financial Statements –
Nonmajor Proprietary Funds
Page 171 of 297
City of Georgetown, Texas
Combining Financial Statements
Nonmajor Proprietary Funds
122
Enterprise Funds – The City's utilities are accounted for and operated in a manner similar to private
business enterprises. Each utility accounted for as an independent entity, is an enterprise fund.
Enterprise fund accounting is used where the intent of the City Council is to finance or recover the costs
of providing goods or services to the general public on a continuing basis primarily through user charges
or when the City Council has decided that periodic determination of net income is appropriate for
accountability purposes.
Airport Fund – used to account for revenues and expenses related to the operation and
maintenance of the City's airport.
Stormwater Drainage Fund – used to account for revenues and expenses related to the operations,
capital projects, and debt service of the stormwater drainage facilities.
Internal Service Funds – This fund is used to account for services performed by one government
organization or department for others.
Fleet Services Fund – The City uses this fund to purchase and account for all major equipment and
vehicles. Each item is assigned an annual lease value which the leasing department pays to the
Internal Service Fund. The annual lease value is determined by the projected replacement cost
divided by the years of useful life of the item. The payments made by the departments enable the
Internal Service Fund to replace equipment and vehicles on a pre-planned schedule to minimize
maintenance costs and reduce safety risks due to worn out equipment and vehicles. The fund also
provides maintenance for all vehicles through the Vehicle Service Center.
Joint Services Fund – The Joint Services Fund is composed of departments which provide services to
more than one city fund. Charges for services provided are determined by allocating each specific
department's cost to the using fund.
Facilities Maintenance Fund – The City uses this fund to account for janitorial service, light
maintenance, painting, landscape maintenance and roofing and air conditioning repairs for all City
buildings. Each building is assigned an annual maintenance cost, which is paid to the Internal
Service Fund by the occupying departments, based on square footage occupied. The payments
made by the departments enable the Internal Service Fund to provide major and minor facility
repairs on a preplanned schedule to minimize maintenance costs and provide preventative care to
reduce long-term maintenance and replacement costs.
Information Technology Fund – The City uses this fund to account for purchases and maintenance of
the City's computer systems. Each department pays an annual predetermined lease payment,
based upon the equipment the department has. These payments enable the fund to replace older
equipment and upgrade the City's computer resources and provide assistance in maintenance of
equipment. This fund also provides for the management of the City's computer systems through
personnel in the Information Services department.
Self-Insurance Fund – The City uses this account for its self-insurance program providing health
insurance to employees and their family members.
Page 172 of 297
City of Georgetown, Texas
Combining Statement of Net Position
Nonmajor Enterprise Funds
September 30, 2017
123
Stormwater Total Nonmajor
Airport Drainage Enterprise
Fund Fund Funds
ASSETS
Current assets
Cash and cash equivalents -$ 95,145$ 95,145$
Cash and cash equivalents - restricted 461,378 1,065,403 1,526,781
Investments - restricted 145,698 366,489 512,187
Accounts receivable
Services (net of allowance for uncollectibles)73,585 435,506 509,091
Other - 27,123 27,123
Prepaid expenses 128,343 - 128,343
Inventories 49,683 - 49,683
Total current assets 858,687 1,989,666 2,848,353
Capital assets
Land and land rights 981,500 - 981,500
Distribution system 5,989,819 45,083,190 51,073,009
Buildings and improvements 3,845,731 - 3,845,731
Machinery, furniture and equipment 2,403,921 58,036 2,461,957
Streets
Construction in progress 7,741,190 40,205 7,781,395
Less accumulated depreciation (7,454,632) (10,420,065) (17,874,697)
Total capital assets
(net of accumulated depreciation)13,507,529 34,761,366 48,268,895
Total noncurrent assets 13,507,529 34,761,366 48,268,895
TOTAL ASSETS 14,366,216 36,751,032 51,117,248
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflow related to pension 37,556 137,489 175,045
Deferred charge on refunding 22,878 46,305 69,183
TOTAL DEFERRED OUTFLOWS OF RESOURCES 60,434 183,794 244,228
TOTAL ASSETS AND DEFERRED OUTFLOWS OF RESOURCES 14,426,650$ 36,934,826$ 51,361,476$
LIABILITIES AND NET POSITION
Current liabilities
Ac co u nts payable 38,273$ 62,787$ 101,060$
Accrued employee benefits 5,219 28,623 33,842
Unearned revenue - 10,487 10,487
Current portion of long-term debt 84,215 424,258 508,473
Accrued interest 4,818 18,337 23,155
Total current liabilities 132,525 544,492 677,017
Noncurrent liabilities
Accrued employee benefits 7,898 36,804 44,702
Net pension liability 72,380 264,971 337,351
Long-term debt payable 1,094,797 3,982,670 5,077,467
Total noncurrent liabilities 1,175,075 4,284,445 5,459,520
Total liabilities 1,307,600 4,828,937 6,136,537
Net position
Net investment in capital assets 12,351,395 30,400,743 42,752,138
Unrestricted 767,655 1,705,146 2,472,801
Total net position 13,119,050 32,105,889 45,224,939
TOTAL LIABILITIES AND NET POSITION 14,426,650$ 36,934,826$ 51,361,476$
Page 173 of 297
City of Georgetown, Texas
Combining Statement of Revenues, Expenses
and Changes In Fund Net Position
Nonmajor Enterprise Funds
Fiscal Year Ended September 30, 2017
124
Total
Stormwater Nonmajor
Airport DrainageEnterprise
Fund Fund Funds
OPERATING REVENUES
Other 3,318,983$ 3,409,626$ 6,728,609$
Total operating revenues 3,318,983 3,409,626 6,728,609
OPERATING EXPENSES
Depreciation 200,630 1,261,563 1,462,193
Other 2,880,715 2,459,667 5,340,382
Total operating expenses 3,081,345 3,721,230 6,802,575
NET OPERATING INCOME (LOSS)237,638 (311,604) (73,966)
NONOPERATING REVENUES (EXPENSES)
Investment income 2,709 11,795 14,504
Donations and grants 5,926,282 3,584 5,929,866
Interest and fiscal charges (41,663) (161,594) (203,257)
Other 49,107 - 49,107
Total nonoperating revenues (expenses)5,936,435 (146,215) 5,790,220
INCOME (LOSS) BEFORE CONTRIBUTIONS
AND TRANSFERS 6,174,073 (457,819) 5,716,254
CONTRIBUTIONS AND TRANSFERS
Capital contributions - 2,036,231 2,036,231
Transfer in 5,249 - 5,249
Transfers out (25,000) (588,937) (613,937)
Total contributions and transfers (19,751) 1,447,294 1,427,543
CHANGE IN NET POSITION 6,154,322 989,475 7,143,797
TOTAL NET POSITION, beginning of period 6,964,728 31,116,414 38,081,142
TOTAL NET POSITION, end of period 13,119,050$ 32,105,889$ 45,224,939$
Page 174 of 297
City of Georgetown, Texas
Combining Statement of Cash Flows
Nonmajor Enterprise Funds
Fiscal Year Ended September 30, 2017
125
Stormwater Total
Airport Drainage Nonmajor
Fund Fund Enterprise Funds
CASH FLOWS FROM OPERATING ACTIVITIES
Cash received from customers 3,312,960$ 3,409,868$ 6,722,828$
Payments to suppliers (1,934,018) (1,874,771) (3,808,789)
Payments to employees for services (340,894) (560,749) (901,643)
Net cash provided by operating activities 1,038,048 974,348 2,012,396
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES
Transfers in 5,249 - 5,249
Transfers out (25,000) (588,937) (613,937)
Net cash provided by (used for) noncapital
financing activities (19,751) (588,937) (608,688)
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES
Acquisition of capital assets (647,424) (270,231) (917,655)
Donations, grants, and other 99,107 - 99,107
Principal paid on revenue and certificates of obligation bonds (103,696) (420,913) (524,609)
Interest paid on revenue and certificates of obligation bonds (41,932) (160,789) (202,721)
Net cash used in capital and related
financing activities (693,945) (851,933) (1,545,878)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 2,709 11,795 14,504
Change in temporary investments (15,098) (73,829) (88,927)
Net cash used in investing activities (12,389) (62,034) (74,423)
Net change in cash and cash equivalents 311,963 (528,556) (216,593)
CASH AND CASH EQUIVALENTS, beginning of year 149,415 1,689,104 1,838,519
CASH AND CASH EQUIVALENTS, end of year 461,378$ 1,160,548$ 1,621,926$
NON-CASH DISCLOSURE OF CAPITAL ACTIVITY
Developer contributions -$ 2,036,231$ 2,036,231$
Noncash grants received 5,876,282$ -$ 5,876,282$
OPERATING INCOME (LOSS)237,638$ (311,604)$ (73,966)$
Adjustments to reconcile operating income (loss) to
cash provided by (used in) operating activities
Depreciation 200,630 1,261,563 1,462,193
Decrease (increase) in inventories (7,913) - (7,913)
Decrease (increase) in accounts receivable (6,023) 242 (5,781)
Decrease (increase) in prepaid expenses 652,828 - 652,828
Increase (decrease) in accounts payable (39,084) 11,891 (27,193)
Increase (decrease) in net pension liability - 12,886 12,886
Increase (decrease) in accrued employee benefits (28) (630) (658)
Net cash provided by (used in) operating activities 1,038,048$ 974,348$ 2,012,396$
Page 175 of 297
City of Georgetown, Texas
Combining Statement of Net Position
Internal Service Funds
September 30, 2017
126
Fleet Joint Facilities Information Self
Services Services Maintenance Technology Insurance
Fund Fund Fund Fund Fund Total
ASSETS
Current
Cash and cash equivalents 3,577,996$ 1,040,836$ 1,263,983$ 1,217,813$ 2,752,913$ 9,853,541$
Investments 1,129,893 328,685 399,153 384,573 869,341 3,111,645
Prepaid expense - 30,557 - - 368,069 398,626
Accounts receivable 143 376,950 2,193 179 - 379,465
Inventories - 664,707 - - - 664,707
Total current assets 4,708,032 2,441,735 1,665,329 1,602,565 3,990,323 14,407,984
Property and equipment
Land and land rights - 214,066 - - - 214,066
Buildings and improvements 26,181 813,681 1,173,704 - - 2,013,566
Machinery, furniture
and equipment 27,282,746 1,217,644 1,452,486 6,904,447 - 36,857,323
Units in progress - - - 63,894 - 63,894
Total property and
equipment cost 27,308,927 2,245,391 2,626,190 6,968,341 - 39,148,849
Less accumulated depreciation (15,737,007) (2,003,737) (1,980,639) (5,991,253) - (25,712,636)
Net property and equipment 11,571,920 241,654 645,551 977,088 - 13,436,213
TOTAL ASSETS 16,279,952$ 2,683,389$ 2,310,880$ 2,579,653$ 3,990,323$ 27,844,197$
LIABILITIES AND NET POSITION
Liabilities
Current liabilities
Accounts payable 36,481$ 1,108,346$ 156,624$ 126,831$ 402,004$ 1,830,286$
Accrued employee benefits 16,724 - 11,361 36,150 - 64,235
Unearned revenue - 351,728 - - 351,728
Due to other funds 2,250 - - - 233,069 235,319
Total current liabilities 55,455 1,460,074 167,985 162,981 635,073 2,481,568
Noncurrent liabilities
Accrued employee benefits 22,473 - 13,880 47,229 - 83,582
Total liabilities 77,928 1,460,074 181,865 210,210 635,073 2,565,150
Net position
Net investment in capital assets 11,571,920 241,654 645,551 977,088 - 13,436,213
Unrestricted 4,630,104 981,661 1,483,464 1,392,355 3,355,250 11,842,834
Total net position 16,202,024 1,223,315 2,129,015 2,369,443 3,355,250 25,279,047
TOTAL LIABILITIES AND NET POSITION 16,279,952$ 2,683,389$ 2,310,880$ 2,579,653$ 3,990,323$ 27,844,197$
Page 176 of 297
City of Georgetown, Texas
Combining Statement of Revenues, Expenses and
Changes in Fund Net Position
Internal Service Funds
Fiscal Year Ended September 30, 2017
127
Fleet Joint Facilities Information Self
Services Services Maintenance Technology Insurance
Fund Fund Fund Fund Fund Total
OPERATING REVENUES
Charges for services 3,061,908$ 14,710,446$ 3,307,199$ 5,164,113$ 7,947,719$ 34,191,385$
OPERATING EXPENSES
Administration - 1,388,472 - - - 1,388,472
Accounting - 793,429 - - - 793,429
City wide HR services - 367,603 - - - 367,603
Conservation - 596,709 - - - 596,709
Customer care - 3,381,873 - - - 3,381,873
Economic development administration - 412,507 - - - 412,507
Engineering support - 933,194 - - - 933,194
Facilities maintenance contracts - - 1,952,757 - - 1,952,757
Facilities maintenance services - - 786,135 - - 786,135
Finance and administration - 849,646 - - - 849,646
Fleet services operations 529,420 - - - - 529,420
Human resources - 793,295 - - - 793,295
Information technology - - - 2,058,149 - 2,058,149
Information technology capital
replacement & contracts - - - 2,724,138 - 2,724,138
Joint services contracts - 1,877,097 - - - 1,877,097
Legal services - 954,053 - - - 954,053
Main street - 115,808 - - - 115,808
Medical insurance - - - - 6,814,234 6,814,234
Purchasing - 714,600 - - - 714,600
Service center 1,351,461 - - - - 1,351,461
Systems engineering - 1,713,599 - - - 1,713,599
Depreciation 2,046,407 13,230 136,535 460,298 - 2,656,470
Total operating expenses 3,927,288 14,905,115 2,875,427 5,242,585 6,814,234 33,764,649
NET OPERATING INCOME (LOSS)(865,380) (194,669) 431,772 (78,472) 1,133,485 426,736
NONOPERATING REVENUES (EXPENSES)
Investment income 23,603 7,069 8,177 6,704 13,512 59,065
Gain on disposal of assets 164,839 - - - - 164,839
Other 40,058 65,476 917 179 2,266 108,896
Total nonoperating
revenues (expenses)228,500 72,545 9,094 6,883 15,778 332,800
INCOME (LOSS) BEFORE
CONTRIBUTIONS AND TRANSFERS (636,880) (122,124) 440,866 (71,589) 1,149,263 759,536
CONTRIBUTIONS AND TRANSFERS
Capital contributions 63,712 - 7,400 5,795 - 76,907
Transfers in 2,685,501 582,139 25,000 3,339 - 3,295,979
Transfers out - (25,000) - - - (25,000)
Total contributions and transfers 2,749,213 557,139 32,400 9,134 - 3,347,886
CHANGE IN NET POSITION 2,112,333 435,015 473,266 (62,455) 1,149,263 4,107,422
NET POSITION, beginning of period 14,089,691 788,300 1,655,749 2,431,898 2,205,987 21,171,625
NET POSITION, end of period 16,202,024$ 1,223,315$ 2,129,015$ 2,369,443$ 3,355,250$ 25,279,047$
Page 177 of 297
City of Georgetown, Texas
Combining Statement of Cash Flows
Internal Service Funds
Fiscal Year Ended September 30, 2017
128
Fleet Joint Facilities Information Self
Services Services Maintenance Technology Insurance
Fund Fund Fund Fund Fund Total
CASH FLOWS FROM OPERATING ACTIVITIES
Department contributions 3,266,662$ 14,338,795$ 3,306,991$ 5,164,113$ 7,949,985$ 34,026,546$
Payments to suppliers (1,502,739) (5,712,358) (2,260,624) (3,152,272) (6,665,216) (19,293,209)
Payments to employees for services (661,289) (8,721,226) (522,705) (1,886,853) - (11,792,073)
Net cash provided by (used in)
operating activities 1,102,634 (94,789) 523,662 124,988 1,284,769 2,941,264
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Transfers in 2,685,501 582,139 25,000 3,339 - 3,295,979
Transfers out - (25,000) - - - (25,000)
Net cash provided by noncapital
financing activities 2,685,501 557,139 25,000 3,339 - 3,270,979
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES
Acquisition of capital assets (2,234,380) (9,853) (170,773) (131,851) - (2,546,857)
Net cash (used) for capital and related
financing activities (2,234,380) (9,853) (170,773) (131,851) - (2,546,857)
CASH FLOWS FROM INVESTING ACTIVITIES
Interest received 23,603 7,069 8,177 6,704 13,512 59,065
Change in temporary investments 504,790 144,590 267,700 450,491 344,178 1,711,749
Net cash provided by (used in)
investing activities 528,393 151,659 275,877 457,195 357,690 1,770,814
Net increase (decrease) in cash 2,082,148 604,156 653,766 453,671 1,642,459 5,436,200
CASH AND CASH EQUIVALENTS, beginning of year 1,495,848 436,680 610,217 764,142 1,110,454 4,417,341
CASH AND CASH EQUIVALENTS, end of year 3,577,996$ 1,040,836$ 1,263,983$ 1,217,813$ 2,75 2,913$ 9,853,541$
NON-CASH DISCLOSURE
Developer contributions received 63,712$ -$ 7,400$ 5,795$ -$ 76,907$
OPERATING INCOME (LOSS)(865,380)$ (194,669)$ 431,772$ (78,472)$ 1,133,485$ 426,736$
Adjustments to reconcile operating income (loss) to
cash provided by (used in) operating activities:
Depreciation 2,046,407 13,230 136,535 460,298 - 2,656,470
Gain on disposal of asset 164,839 - - - - 164,839
Other income 40,058 65,476 917 179 2,266 108,896
Decrease (increase) in prepaid expenses - - - - (48,000) (48,000)
Decrease (increase) in inventories - 47,209 - - - 47,209
Decrease (increase) in accounts receivable (143) (341,800) (1,125) (179) - (343,247)
Increase (decrease) in accounts payable (283,109) 411,092 (42,741) (261,621) 197,018 20,639
Increase (decrease) in unearned revenue - (95,327) - - - (95,327)
Increase (decrease) in accrued
employee benefits (38) - (1,696) 4,783 - 3,049
Net cash provided by (used in)
operating activities 1,102,634$ (94,7 89)$ 523,662$ 124,988$ 1,284,769$ 2,941,264$
Page 178 of 297
129
Supplementary Individual Fund
Financial Statements
Page 179 of 297
City of Georgetown, Texas
Agency Funds
Statement of Changes in Assets and Liabilities
Fiscal Year Ended September 30, 2017
130
Balance Balance
October 1,September 30,
2016 Additions Deductions 2017
Public improvement districts
Assets
Cash and cash equivalents 18,686$ 471,007$ 459,831$ 29,862$
Total assets 18,686$ 471,007 459,831 29,862
Liabilities
Accounts payable 18,686$ 471,007$ 459,831$ 29,862$
Total liabilities 18,686$ 471,007$ 459,831$ 29,862$
Texas capital fund repayments
Assets
Accounts receivable 68,454$ -$ 50,000$ 18,454$
Total assets 68,454$ -$ 50,000$ 18,454$
Liabilities
Due to other governments 68,454$ -$ 50,000$ 18,454$
Total liabilities 68,454$ -$ 50,000$ 18,454$
Total agency funds
Assets
Cash and cash equivalents 18,686$ 471,007$ 459,831$ 29,862$
Accounts receivable 68,454 - 50,000 18,454
Total assets 87,140$ 471,007$ 509,831$ 48,316$
Liabilities
Accounts payable 18,686$ 471,007$ 459,831$ 29,862$
Due to other governments 68,454 - 50,000 18,454
Total liabilities 87,140$ 471,007$ 509,831$ 48,316$
Page 180 of 297
131
Statistical Section
(Unaudited)
Page 181 of 297
132
This page intentionally left blank.
Page 182 of 297
City of Georgetown, Texas
Statistical Section (Unaudited)
133
This part of the City of Georgetown'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 government's overall financial
health.
Contents:
Financial Trend ......................................................................................................................................................... 134
These schedules contain trend information to help the reader understand how the government's
financial performance and well-being have changed over time.
Revenue Capacity ................................................................................................................................................. 144
These schedules contain information to help the reader assess the government's most significant local
revenue source, the property tax.
Debt Capacity ......................................................................................................................................................... 154
These schedules present information to help the reader assess the affordability of the government's
current levels of outstanding debt and the government's ability to issue additional debt in the future.
Demographic and Economic Information ......................................................................................................... 168
These schedules offer demographic and economic indicators to help the reader understand the
environment within which the government's financial activities take place.
Operating Information ........................................................................................................................................... 172
These schedules contain service and infrastructure data to help the reader understand how the
information in the government's financial report related to the services the government provides and
the activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for
the relevant year.
Page 183 of 297
City of Georgetown, Texas
Net Position by Component
Last Ten Fiscal Years
(Accrual Basis of Accounting)
134
2017 2016 2015 2014
Governmental activities
Net investment in capital assets 266,518,836$ 254,289,833$ 239,377,879$ 211,305,899$
Restricted 6,423,693 4,958,105 3,958,088 824,704
Unrestricted 35,069,898 27,598,778 20,056,114 33,401,250
Total governmental activities net assets 308,012,427$ 286,846,716$ 263,392,081$ 245,531,853$
Business-type activities
Net investment in capital assets 374,238,275$ 380,034,944$ 328,886,853$ 287,569,126$
Unrestricted 63,291,864 27,740,653 48,127,105 57,575,322
Total business-type activities net assets 437,530,139$ 407,775,597$ 377,013,958$ 345,144,448$
Primary government
Net investment in capital assets 640,757,111$ 634,324,777$ 568,264,732$ 498,875,025$
Restricted 6,423,693 4,958,105 3,958,088 824,704
Unrestricted 98,361,762 55,339,431 68,183,219 90,976,572
Total primary government net assets 745,542,566$ 694,622,313$ 640,406,039$ 590,676,301$
Page 184 of 297
135
2013 2012 2011 2010 2009 2008
174,798,105$ 144,196,394$ 138,536,744$ 144,725,810$ 138,048,388$ 129,354,365$
1,109,220 26,064,001 30,407,806 23,615,403 26,858,729 25,011,217
40,995,207 28,542,479 21,859,346 15,909,956 14,563,686 16,470,172
216,902,532$ 198,802,874$ 190,803,896$ 184,251,169$ 179,470,803$ 170,835,754$
230,939,554$ 220,809,992$ 210,252,907$ 197,910,197$ 187,953,410$ 167,724,995$
36,040,786 37,049,395 30,771,961 35,786,263 33,507,546 29,144,912
266,980,340$ 257,859,387$ 241,024,868$ 233,696,460$ 221,460,956$ 196,869,907$
405,737,659$ 365,006,386$ 348,789,651$ 342,636,007$ 326,001,798$ 297,079,360$
1,109,220 26,064,001 30,407,806 23,615,403 26,858,729 25,011,217
77,035,993 65,591,874 52,631,307 51,696,219 48,071,232 45,615,084
483,882,872$ 456,662,261$ 431,828,764$ 417,947,629$ 400,931,759$ 367,705,661$
Page 185 of 297
City of Georgetown, Texas
Changes in Net Position
Last Ten Fiscal Years
(Accrual Basis of Accounting)
136
2017 2016 2015 2014
EXPENSES
Governmental activities
Culture-recreation 11,904,166$ 12,128,222$ 11,003,525$ 10,438,052$
Development 2,561,792 2,805,625 2,317,907 2,037,449
Fire 16,113,850 15,089,501 11,731,142 10,378,471
General government 5,959,340 6,348,544 5,435,195 5,239,050
Police 16,537,297 15,938,090 13,284,900 12,862,736
Streets 7,376,116 8,270,333 6,463,416 9,486,497
Environmental services 6,325,688 5,964,867 5,700,681 5,097,618
Interest on long-term debt 5,826,012 4,455,057 5,061,021 5,738,394
Total governmental activities expenses 72,604,261 71,000,239 60,997,787 61,278,267
Business-type activities
Airport 3,123,008 2,655,035 2,838,401 3,289,827
Electric 66,383,559 59,649,218 59,043,948 60,073,430
Environmental services - - - -
Stormwater 3,882,824 3,844,129 2,983,286 2,638,430
Water 39,960,102 36,679,504 33,360,468 24,158,727
Total business-type activities expenses 113,349,493 102,827,886 98,226,103 90,160,414
Total primary government expenses 185,953,754$ 173,828,125$ 159,223,890$ 151,438,681$
PROGRAM REVENUES
Governmental activities
Char ges for services
Culture-recreation 2,534,735$ 2,781,283$ 2,506,592$ 3,146,318$
Development 2,653,201 2,666,369 2,510,092 1,942,914
Fire 4,116,783 3,718,280 1,740,719 1,200,894
General government 356,455 1,155,218 1,321,261 1,474,961
Police 743,304 200,276 831,461 805,728
Streets 4,124,813 843,386 625 1,021
Environmental services 7,329,850 7,380,876 6,811,773 5,266,815
Operating grants and contributions 470,604 397,920 642,448 286,431
Capital grants and contributions 5,612,025 12,784,076 17,701,672 23,901,801
Total governmental activities
program revenues 27,941,770 31,927,684 34,066,643 38,026,883
Business-type activities
Char ges for services
Airport 3,318,983 2,905,729 2,631,211 3,254,368
Electric 70,109,269 66,916,207 63,197,781 60,319,235
Environmental services - - - -
Stormwater 3,409,626 3,277,508 2,638,945 2,487,548
Water 42,729,980 45,485,151 43,488,320 33,659,956
Operating grants and contributions - - 25,056 25,056
Capital grants and contributions 32,180,271 25,104,637 9,405,360 76,095,951
Total business-type activities
program revenues 151,748,129 143,689,232 121,386,673 175,842,114
Total primary government program revenues 179,689,899$ 175,616,916$ 155,453,316$ 213,868,997$
Net (expense)/revenue
Governmental activities (44,662,491)$ (39,072,555)$ (26,931,144)$ (23,251,384)$
Business-type activities 38,398,636 40,861,346 23,160,570 85,681,700
Total primary government net expense (6,263,855)$ 1,788,791$ (3,770,574)$ 62,430,316$
Page 186 of 297
137
2013 2012 2011 2010 2009 2008
9,775,209$ 9,328,048$ 9,393,530$ 9,076,669$ 8,696,162$ 6,978,982$
1,650,530 2,284,858 2,374,321 2,345,178 2,381,380 2,457,868
9,144,092 8,634,002 8,110,294 7,196,359 6,835,927 5,553,135
6,447,308 4,851,250 5,293,370 5,201,299 5,107,748 3,604,501
12,042,349 11,522,334 11,029,444 10,787,024 11,026,676 9,595,062
5,459,183 5,564,690 6,522,933 5,730,682 4,372,708 3,147,899
4,855,404 4,830,921 4,339,101 4,206,166 4,287,029 -
3,806,106 4,375,653 3,656,673 3,624,733 3,650,386 4,181,243
53,180,181 51,391,756 50,719,666 48,168,110 46,358,016 35,518,690
3,171,550 3,012,745 3,751,193 2,811,206 2,441,533 3,459,377
46,543,022 56,407,348 54,289,631 50,756,369 48,444,272 48,183,299
- - - - - 4,315,729
2,204,172 1,905,019 1,970,307 1,799,680 1,807,147 1,689,013
22,844,363 21,597,278 22,224,364 20,124,249 20,011,184 18,980,021
74,763,107 82,922,390 82,235,495 75,491,504 72,704,136 76,627,439
127,943,288$ 134,314,146$ 132,955,161$ 123,659,614$ 119,062,152$ 112,146,129$
2,425,587$ 2,285,209$ 2,252,608$ 2,150,107$ 1,481,954$ 1,391,416$
1,659,670 1,668,635 905,118 1,125,058 827,387 1,232,533
1,433,679 1,137,982 1,032,663 1,195,871 1,409,208 1,044,870
1,261,561 1,206,994 435,926 487,264 5,121 1,418,786
959,027 895,703 1,009,004 1,265,589 1,154,135 1,344,259
1,125 - - - - -
6,059,904 5,491,495 5,116,570 4,809,271 4,582,794 -
256,593 956,438 962,183 405,023 1,268,957 492,632
5,999,666 2,431,374 4,422,720 2,747,483 1,600,980 909,209
20,056,812 16,073,830 16,136,792 14,185,666 12,330,536 7,833,705
2,906,267 2,881,144 3,388,816 2,435,613 2,234,637 3,308,889
54,743,979 59,344,615 58,535,067 60,136,705 57,164,312 52,846,962
- - - - - 4,398,047
2,206,108 2,132,810 2,036,047 1,959,007 1,913,546 1,832,165
27,244,363 26,596,509 27,142,648 22,022,414 23,541,415 23,313,864
25,589 147,601 127,051 - - -
4,558,296 3,917,721 2,062,382 4,842,643 17,378,138 11,071,907
91,684,602 95,020,400 93,292,011 91,396,382 102,232,048 96,771,834
111,741,414$ 111,094,230$ 109,428,803$ 105,582,048$ 114,562,584$ 104,605,539$
(33,123,369)$ (35,317,926)$ (34,582,874)$ (33,982,444)$ (34,027,480 )$ (27,684,985)$
16,921,495 12,098,010 11,056,516 15,904,878 29,527,912 20,144,395
(16,201,874)$ (23,219,916)$ (23,526,358)$ (18,077,566)$ (4,499,568)$ (7,540,590)$
Page 187 of 297
City of Georgetown, Texas
Changes In Net Position
Last Ten Fiscal Years – Continued
(Accrual Basis Of Accounting)
138
2017 2016 2015 2014
GENERAL REVENUES AND OTHER
CHANGES IN NET POSITION
Governmental activities
Property tax 24,734,830$ 22,815,206$ 20,650,114$ 18,984,850$
Sales tax 23,008,606 21,556,336 19,165,963 18,655,801
Taxes - other 3,027,357 2,459,912 2,118,567 1,939,217
Franchise taxes 4,973,295 4,926,315 4,925,043 4,478,899
Investment income 731,135 398,206 201,492 169,477
Other 164,835 - 82,963 36,854
Transfers 9,188,144 10,371,215 4,904,089 7,615,607
Total governmental activities 65,828,202$ 62,527,190$ 52,048,231$ 51,880,705$
Business-type activities
Investment income 544,050$ 271,508$ 167,866$ 98,015$
Gain on sale of capital assets - - - -
Extraordinary item
Other - - - -
Transfers (9,188,144) (10,371,215) (4,904,089) (7,615,607)
Total business-type activities (8,644,094) (10,099,707) (4,736,223) (7,517,592)
Total primary government 57,184,108$ 52,427,483$ 47,312,008$ 44,363,113$
CHANGES IN NET POSITION
Governmental activities 21,165,711$ 23,454,635$ 25,117,087$ 28,629,321$
Business-type activities 29,754,542 30,761,639 18,424,347 78,164,108
Total primary government 50,920,253$ 54,216,274$ 43,541,434$ 106,793,429$
Page 188 of 297
139
2013 2012 2011 2010 2009 2008
17,037,036$ 15,751,826$ 14,362,895$ 14,360,142$ 14,934,694$ 12,610,638$
17,002,757 15,045,592 14,148,242 13,482,999 12,543,071 13,236,686
1,331,281 1,143,217 1,100,490 1,000,571 278,982 1,134,493
4,471,487 3,924,052 3,874,815 2,603,222 2,801,666 2,739,567
241,449 230,788 187,314 140,384 504,145 2,222,952
1,129,389 710,403 590,398 537,528 3,415,713 803,334
11,719,799 6,511,026 6,871,447 6,637,964 8,184,258 7,129,529
52,933,198$ 43,316,904$ 41,135,601$ 38,762,810$ 42,662,529$ 39,877,199$
126,322$ 156,329$ 171,947$ 133,132$ 667,389$ 1,018,860$
- - - - - -
4,919,258 4,003,968 2,971,392 2,835,458 2,580,006 2,295,472
(11,719,799) (6,511,026) (6,871,447) (6,637,964) (8,184,258) (7,129,529)
(6,674,219) (2,350,729) (3,728,108) (3,669,374) (4,936,863) (3,815,197)
46,258,979$ 40,966,175$ 37,407,493$ 35,093,436$ 37,725,666$ 36,062,002$
19,809,829$ 7,998,978$ 6,552,727$ 4,780,366$ 8,635,049$ 12,192,214$
10,247,276 9,747,281 7,328,408 12,235,504 24,591,049 16,329,198
30,057,105$ 17,746,259$ 13,881,135$ 17,015,870$ 33,226,098$ 28,521,412$
Page 189 of 297
City of Georgetown, Texas
Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
140
2017 2016 2015 2014 2013 2012 2011
General fund
Nonspendable 246,648$ 507,929$ 66,702$ 22,810$ 18,697$ 2,110$ 9,061$
Committed
Contingency 7,925,000 7,925,000 7,695,000 7,500,000 7,400,000 7,000,000 6,847,000
Economic stability 1,150,000 - - - - - -
Benefit payout 222,000 - - - - - -
Assigned
Encumbrances 919,906 1,502,188 1,835,134 1,755,953 1,631,482 1,210,247 1,403,968
Unassigned 2,862,071 2,561,845 2,407,019 2,893,916 3,999,924 2,419,053 1,894,618
Total general fund 13,325,625$ 12,496,962$ 12,003,855$ 12,172,679$ 13,050,103$ 10,631,410$ 10,154,647$
Other governmental funds
Restricted
Debt service 1,938,926$ 1,867,190$ 1,489,314$ 1,268,186$ 1,109,220$ 1,749,324$ 1,976,586$
Bond funds 17,258,365 23,602,097 15,336,646 14,840,447 15,438,897 18,112,419 17,748,555
Hotel/motel tax 853,337 499,231 544,252 579,118 515,525 526,488 460,582
Street maintenance tax 3,422,465 2,388,379 2,534,655 2,773,940 5,029,263 4,205,153 3,215,322
Other purposes 762,196 692,834 344,436 352,032 188,072 244,969 306,926
Commit t ed
Other capital projects 11,556,682 10,985,484 8,489,829 12,386,987 12,292,845 8,770,010 10,682,665
Nonmajor funds 5,405,555 3,324,663 4,202,843 4,009,871 2,174,368 2,293,194 1,899,631
Assigned
Encumbrances 22,456,924 26,160,650 7,606,841 13,385,685 25,444,232 8,891,080 6,105,133
Unassigned (495,350) (105,707) (663,535) - - - -
Total all other
governmental funds 63,159,100$ 69,414,821$ 39,885,281$ 49,596,266$ 62,192,422$ 44,792,637$ 42,395,400$
Note: City of Georgetown first applied GASB Statement No. 54 in fiscal year 2011;
therefore, the new fund balance distinctions for years prior to fiscal year 2011 are not available.
Page 190 of 297
141
2010 2009 2008
General fund
Reserved 1,160,195$ 1,001,111$ 955,743$
Unreserved 8,601,923 9,506,572 10,986,752
Total general fund 9,762,118$ 10,507,683$ 11,942,495$
Other governmental funds
Reserved 30,050,627$ 29,932,873$ 10,889,998$
Unreserved, reported in
Special revenue funds - - -
Capital projects funds - - 18,173,048
Total all other
governmental funds 30,050,627$ 29,932,873$ 29,063,046$
Page 191 of 297
City of Georgetown, Texas
Changes In Fund Balances of Governmental Funds
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
142
2017 2016 2015 2014
REVENUES
Property taxes 24,661,683$ 24,052,103$ 21,638,850$ 19,921,148$
Property assessment 1,447,839 1,224,108 1,082,465 1,017,316
Sales tax and other taxes 24,588,124 21,556,336 19,165,963 18,655,801
Franchise taxes 4,973,295 4,926,315 4,925,043 4,478,899
Licenses and permits 2,652,279 2,113,126 2,002,380 1,932,563
Charges for service 14,273,666 12,512,232 10,671,299 9,762,561
Fine and forfeitures 500,577 525,510 586,853 668,566
Donations and grants 5,231,886 6,852,346 1,435,279 8,236,215
Investment income 672,070 356,761 172,952 152,252
Other revenue 1,875,015 3,207,387 2,106,152 1,474,961
Total revenues 80,876,434 77,326,224 63,787,236 66,300,282
EXPENDITURES
Culture / recreation 11,362,281 11,144,256 10,448,536 9,613,918
Development 2,517,985 5,565,942 2,322,321 2,299,379
Fire services 14,848,470 13,823,467 11,513,926 9,748,456
General government 4,791,467 3,361,740 4,115,280 3,412,293
Highways and streets 6,992,059 7,794,109 6,075,407 8,810,437
Police 14,737,071 13,876,795 13,010,497 11,875,081
Environmental services 6,328,860 5,951,829 5,703,227 5,092,327
Capital outlay 39,219,989 23,482,464 24,006,253 32,164,540
Debt service
Principal retirement 10,372,836 8,860,415 7,868,518 7,765,414
Interest and fiscal charges 5,808,925 4,931,447 4,595,331 4,449,327
Total expenditures 116,979,943 98,792,464 89,659,296 95,231,172
Excess (deficiency) of revenues
over expenditures (36,103,509) (21,466,240) (25,872,060) (28,930,890)
OTHER FINANCING SOURCES (USES)
Transfers in 15,963,898 14,712,268 10,972,315 12,570,645
Transfers out (10,046,733) (7,421,944) (9,313,269) (7,506,242)
Premiums on issuance of bonds 1,799,286 1,831,554 1,001,947 -
Sale of property - - - 3,550,000
Payment to refunding escrow agent - (7,877,733) (14,098,445) (11,911,063)
Bonds issued 22,960,000 50,244,742 27,429,703 18,753,970
Total other financing sources (uses)30,676,451 51,488,887 15,992,251 15,457,310
NET CHANGE IN FUND BALANCES (5,427,058)$ 30,022,647$ (9,879,809)$ (13,473,580)$
Debt service as a percentage of noncapital
expenditures 20.8%18.3%19.0%19.4%
Page 192 of 297
143
2013 2012 2011 2010 2009 2008
17,197,460$ 15,883,636$ 14,591,564$ 14,572,432$ 14,169,419$ 12,703,509$
387,290 353,269 313,093 262,060 278,982 210,659
17,790,450 15,698,207 14,724,741 13,987,624 13,289,438 14,000,228
4,471,487 3,924,052 3,874,815 2,603,222 2,801,666 2,739,567
1,536,660 1,236,478 890,948 841,392 791,882 1,158,433
9,479,669 8,493,243 8,199,073 8,157,465 7,687,489 2,289,493
739,556 682,760 810,950 1,060,361 981,228 1,110,815
3,979,292 1,687,184 4,121,625 3,078,392 2,058,301 298,803
212,629 230,788 187,313 140,384 737,755 2,222,952
2,960,559 2,870,008 1,735,082 1,585,584 1,897,179 2,823,254
58,755,052 51,059,625 49,449,204 46,288,916 44,693,339 39,557,713
9,262,282 8,377,084 8,229,049 7,773,346 7,535,763 6,325,780
1,626,315 2,155,243 2,195,537 2,088,809 2,213,899 2,454,810
8,804,938 8,253,567 7,725,794 6,909,597 6,597,024 5,380,247
3,144,173 3,178,251 3,595,481 3,288,185 3,324,758 3,038,876
3,422,340 5,061,214 6,044,755 5,171,678 3,840,312 2,768,367
11,677,968 10,577,384 10,221,220 10,026,352 10,137,983 9,222,704
4,857,396 4,823,170 4,321,888 4,199,433 4,285,345 -
16,760,621 15,938,457 12,604,835 8,930,286 12,444,569 21,622,846
6,452,644 5,533,987 4,998,369 4,791,550 4,478,467 3,495,684
3,771,791 4,094,247 3,686,318 3,642,426 3,608,738 4,480,504
69,780,468 67,992,604 63,623,246 56,821,662 58,466,858 58,789,818
(11,025,416) (16,932,979) (14,174,042) (10,532,746) (13,773,519) (19,232,105)
13,969,841 9,734,354 7,915,723 8,895,212 10,055,272 10,196,752
(4,331,850) (5,492,299) (2,654,379) (2,847,628) (3,367,769) (4,658,144)
- - - - - -
- - - - - 47,029
(11,356,689) (3,416,787) - - - -
32,562,592 18,981,711 21,650,000 3,857,351 6,575,000 4,395,000
30,843,894 19,806,979 26,911,344 9,904,935 13,262,503 9,980,637
19,818,478$ 2,874,000$ 12,737,302$ (627,811)$ (511,016)$ (9,251,468)$
19.3%18.5%17.0%17.6%17.6%21.5%
Page 193 of 297
City of Georgetown, Texas
Property Tax Rates, Levies and Collections
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
144
Interest
and Current Percent
Fiscal Tax General Sinking Total Tax of Levy
Year Rate Fund Fund
Tax Levy Collections
Collected
2008 0.3566 0.2032 0.1534 13,156,096$ 12,744,960$ 96.87%
2009 0.3562 0.2005 0.1557 14,828,927 14,349,606 96.77%
2010 0.3562 0.2114 0.1448 15,142,165 14,653,346 96.77%
2011 0.3562 0.2199 0.1363 15,098,808 14,635,299 96.93%
2012 0.3875 0.2229 0.1646 16,444,180 16,050,914 97.61%
2013 0.4100 0.2364 0.1736 17,806,346 17,384,594 97.63%
2014 0.4395 0.2160 0.2235 19,697,573 19,270,107 97.83%
2015 0.4340 0.2074 0.2266 21,383,874 20,968,385 98.06%
2016 0.4340 0.2072 0.2268 23,803,581 23,354,913 98.12%
2017 0.4240 0.2180 0.2273 25,551,262 25,470,885 99.69%
Source: City of Georgetown Tax Assessor.
Page 194 of 297
145
Total Outstanding
Collections Delinquent
Delinquent as a Percent Outstanding Taxes as a
Tax Total Tax of Current Delinquent Percent of
Collections Collections Levy Taxes Current Levy
91,036$ 12,835,996$ 97.57% 320,807$ 2.44%
139,828 14,489,434 97.71% 339,493 2.29%
127,176 14,780,522 97.61% 361,643 2.39%
120,092 14,755,391 97.73% 343,417 2.27%
44,797 16,095,711 97.88% 349,082 2.12%
76,902 17,461,496 98.06% 344,851 1.94%
81,450 19,351,557 98.24% 346,016 1.76%
36,825 21,005,210 98.23% 378,664 1.77%
71,125 23,426,038 98.41% 377,543 1.59%
(6,876) 25,464,009 99.66% 452,566 1.77%
Page 195 of 297
City of Georgetown, Texas
Assessed and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
146
Personal Property
Estimated Estimated
Fiscal Assessed Actual Assessed Actual
Year Value (1)Value Value (1)Value
2008 3,330,727,230$ 3,330,727,230$ 238,557,091$ 238,557,091$
2009 3,769,863,117 3,769,863,117 244,892,514 244,892,514
2010 3,780,404,329 3,780,404,329 246,488,943 246,488,943
2011 3,786,177,221 3,786,177,221 269,771,730 269,771,730
2012 3,885,150,718 3,885,150,718 311,033,417 311,033,417
2013 4,033,324,389 4,033,324,389 382,683,621 382,683,621
2014 4,227,513,729 4,227,513,729 370,699,347 370,699,347
2015 4,801,066,109 4,801,066,109 326,852,517 326,852,517
2016 5,430,926,110 5,430,926,110 395,688,580 395,688,580
2017 6,547,754,115 6,547,754,115 542,912,696 542,912,696
Source: Williamson County Appraisal District Tax Assessor/Collector.
(1) Net of exemptions.
Real Property
Page 196 of 297
147
Total Total Ratio of Total
Estimated Direct Assessed Value
Assessed Actual Tax to Total Estimated
Value (1)Value Rate Actual Value
3,569,284,321$ 3,569,284,321$ 0.3566 100.00%
4,014,755,631 4,014,755,631 0.3562 100.00%
4,026,893,272 4,026,893,272 0.3562 100.00%
4,055,948,951 4,055,948,951 0.3562 100.00%
4,196,184,135 4,196,184,135 0.3875 100.00%
4,416,008,010 4,416,008,010 0.4100 100.00%
4,598,213,076 4,598,213,076 0.4395 100.00%
5,127,918,626 5,127,918,626 0.4340 100.00%
5,826,614,690 5,826,614,690 0.4340 100.00%
7,090,666,811 7,090,666,811 0.4240 100.00%
Page 197 of 297
City of Georgetown, Texas
Property Tax Rates – Direct and Overlapping Governments
(Per $100 of Assessed Value)
Last Ten Fiscal Years
148
Debt Georgetown
Fiscal General Service Total Independent Williamson
Year Fund Fund City School District County Total
2008 0.20 0.15 0.35 1.29 0.47 2.11
2009 0.20 0.15 0.35 1.29 0.49 2.13
2010 0.21 0.14 0.35 1.29 0.49 2.13
2011 0.21 0.14 0.35 1.36 0.49 2.20
2012 0.22 0.16 0.38 1.40 0.49 2.27
2013 0.24 0.17 0.41 1.40 0.49 2.30
2014 0.22 0.22 0.44 1.40 0.49 2.33
2015 0.21 0.23 0.44 1.40 0.49 2.33
2016 0.21 0.23 0.44 1.40 0.48 2.32
2017 0.21 0.22 0.42 1.41 0.48 2.31
Source: Information furnished by respective tax assessors.
City of Georgetown
Page 198 of 297
City of Georgetown, Texas
Principal Property Taxpayers
Current Year and Nine Years Ago
149
Percentage Percentage
of Total of Total
Type of Assessed Assessed Assessed Assessed
Taxpayer Business Value Rank Value (1)Value Rank Value (1)
Citicorp North America Development 116,019,544$ 11.64%-$ 0.00%
Citigroup Technology Inc Development 87,000,000 21.23%- 0.00%
WPG Wolf Ranch LP Development 75,941,409 31.07%62,498,544 11.75%
Georgetown Rail and Equipment Transportation 42,818,693 40.60%- 0.00%
The Bassham Trust Development 37,769,282 50.53%- 0.00%
St. David's Healthcare Partners Hospital
36,055,613 60.51%37,634,524 21.05%
Westinghouse Pointe Apts Apartments 31,673,048 70.45%- 0.00%
Vantage At Georgetown LLC Apartments
31,154,590 80.44%- 0.00%
Summary at Rivery Park LTD Development 27,223,036 90.38%- 0.00%
Two Rivers GT Ltd Development 26,666,527 10 0.38%- 0.00%
Del Webb Texas Ltd Development - 0.00%31,459,133 30.88%
Stonehill Waters Edge Ltd Apartments - 0.00%24,942,050 40.70%
Wal-Mart Real Estate Retail - 0.00%16,500,311 50.46%
Hewlett Holdings, Ltd Automobile Dealer - 0.00%13,759,757 60.39%
HE Butt Grocery Company Retail - 0.00%13,200,000 70.37%
Republic Square K/C Ltd Development - 0.00%12,177,143 80.34%
Inland Western Georgetown Rivery Development
- 0.00%11,771,240 90.33%
Target Corporation Retailer - 0.00%11,648,560 10 0.33%
Total 512,321,742$ 7.23%235,591,262$ 6.60%
Source: City Tax Assessor/Collector.
(1) The total assessed valuation for the fiscal year ended September 30, 2017 was certified at $7,090,666,811.
* Per certified roll. Does not include some major property owners whose property is under protest as of date of certification.
2017 2008
Page 199 of 297
City of Georgetown, Texas
Taxable Sales by Category
Last Ten Fiscal Years
150
NAICS Sectors 2017*2016 2015 2014
Agriculture/Forestry/Fishing/Hunting -$ -$ -$ 448$
Mining, quarrying, oil & gas extraction - - - -
Utilities 24,653,363 24,509,458 23,612,396 21,368,744
Construction 24,798,897 18,369,915 33,485,247 33,585,485
Manufacturing 82,046,181 7,590,482 5,902,324 5,486,476
Wholesale trade 24,816,039 21,912,478 16,065,173 14,122,397
Retail trade 525,453,413 552,269,512 514,459,509 468,668,683
Transportation, warehousing 3,219,999 2,159,562 1,202,760 1,316,100
Information 47,709,743 51,059,437 43,345,486 40,292,168
Finance, insurance 3,557,444 3,357,319 1,009,355 578,893
Real estate, rental, leasing 3,387,155 3,393,642 2,719,424 3,000,201
Professional, scientific, technical svcs 8,624,509 8,189,352 7,915,851 7,237,174
Management of companies, enterprises - 315,805 - -
Admin, support, waste mgmt, remediation svcs 8,787,903 8,131,282 7,493,100 4,548,385
Educational svcs 479,225 538,758 349,784 344,038
Healthcare, social assistance 607,795 439,596 504,981 279,142
Arts, entertainment, recreation 13,139,889 12,251,028 12,529,599 11,347,603
Accommodation, food services 134,051,840 127,069,718 116,778,321 104,451,832
Other svcs (except public administration)27,870,439 26,724,994 28,398,634 28,483,626
Public administration 31,743 18,245 32,673 31,222
Other 2,613 - - -
Total 933,238,189$ 868,300,583$ 815,804,617$ 745,142,617$
City direct sales tax rate 2.00%2.00%2.00%2.00%
Source: Window on State Government - Glenn Hegar, Texas Comptroller of Public Accounts website.
Amounts subject to sales tax have been restated by the state since the 2012 CAFR release.
Notes: All reporting is by North American Industry Classification System (NAICS) sector. Standard Industrial
Classification (SIC) Codes are no longer being assigned to taxpayers.
*2017 is projected as 4th Quarter actuals were not in at time of update.
Page 200 of 297
151
2013 2012 2011 2010 2009 2008
-$ 4,825$ -$ -$ -$ -$
- - - - 445,156 416,435
19,031,408 19,253,904 18,628,820 20,319,600 18,647,965 16,475,883
5,384,717 4,967,279 4,002,432 3,625,542 4,250,912 4,361,179
8,554,720 4,585,577 5,873,390 6,061,597 5,748,311 9,390,419
16,091,304 16,186,257 14,174,184 10,063,489 13,253,476 16,269,671
446,244,500 405,055,103 378,427,824 380,552,640 367,257,156 383,981,936
1,218,175 1,242,589 1,061,271 767,634 1,178,847 1,558,622
33,781,552 30,485,692 29,916,065 27,915,345 26,448,683 26,845,497
563,947 482,899 424,931 459,699 380,069 357,522
2,370,540 2,165,251 3,781,875 2,716,214 2,389,616 2,862,995
8,234,560 7,522,451 5,292,086 5,294,148 4,586,618 6,435,627
- - - - - -
4,190,713 3,601,364 3,359,965 3,464,947 3,141,955 3,658,966
359,795 372,185 154,882 28,427 46,588 40,108
213,183 308,645 444,834 389,729 283,517 221,776
11,787,222 11,914,044 11,362,973 10,983,705 10,424,729 9,975,461
97,227,191 86,308,956 81,339,685 76,959,382 75,006,166 74,477,233
24,097,238 18,603,403 16,990,190 15,102,925 14,421,211 14,341,106
53,482 20,023 31,428 34,518 33,271 24,072
- - 1,198 547 - 6,797
679,404,247$ 613,080,447$ 575,268,033$ 564,740,088$ 547,944,246$ 571,701,305$
2.00%2.00%2.00%2.00%2.00%2.00%
Page 201 of 297
City of Georgetown, Texas
Direct and Overlapping Sales Tax Rates
Last Ten Fiscal Years
152
City
Fiscal Direct State of
Year Rate Texas
2008 2%6.25%
2009 2%6.25%
2010 2%6.25%
2011 2%6.25%
2012 2%6.25%
2013 2%6.25%
2014 2%6.25%
2015 2%6.25%
2016 2%6.25%
2017 2%6.25%
Source: Information furnished by City of Georgetown.
Page 202 of 297
City of Georgetown, Texas
Sales Tax Revenue Payers by Industry
Fiscal Years 2017 and 2008
153
Number Percent Tax Percent
NAICS Sectors of Filers of Total Liability of Total
Agriculture/Forestry/Fishing/Hunting 30.18% -$ -$ 0.00%
Mining, quarrying, oil & gas extraction 20.12% - - 0.00%
Utilities 7 0.43%24,653,363 493,067 2.64%
Construction 125 7.70%24,798,897 495,978 2.66%
Manufacturing 104 6.40%82,046,181 1,640,924 8.79%
Wholesale trade 60 3.69%24,816,039 496,321 2.66%
Retail trade 538 33.13% 525,453,413 10,509,068 56.30%
Transportation, warehousing 14 0.86%3,219,999 64,400 0.35%
Information 35 2.16%47,709,743 954,195 5.11%
Finance, insurance 11 0.68%3,557,444 71,149 0.38%
Real estate, rental, leasing 32 1.97%3,387,155 67,743 0.36%
Professional, scientific, technical svcs 154 9.48%8,624,509 172,490 0.92%
Management of companies, enterprises 0.00%- - 0.00%
Admin, support, waste mgmt, remediation svcs 94 5.79%8,787,903 175,758 0.94%
Educational svcs 14 0.86%479,225 9,585 0.05%
Healthcare, social assistance 30 1.85%607,795 12,156 0.07%
Arts, entertainment, recreation 51 3.14%13,139,889 262,798 1.41%
Accommodation, food services 189 11.64% 134,051,840 2,681,037 14.36%
Other svcs (except public administration)145 8.93%27,870,439 557,409 2.99%
Public administration 4 0.25%31,743 635 0.00%
Other 12 0.74%2,613 52 0.00%
Totals 1,624 100.00% 933,238,190$ 18,664,764$ 100.00%
Number Percent Tax Percent
NAICS Sectors of Filers of Total Liability of Total
Agriculture/Forestry/Fishing/Hunting - 0.00% -$ -$ 0.00%
Mining, quarrying, oil & gas extraction 5 0.39% 416,435 8,329 0.07%
Utilities 7 0.54% 16,475,883 329,518 2.69%
Construction 89 6.90%4,394,991 87,900 0.72%
Manufacturing 80 6.21%9,397,281 187,946 1.53%
Wholesale trade 58 4.50%16,269,671 325,393 2.66%
Retail trade 457 35.45% 383,981,936 7,679,639 62.67%
Transportation, warehousing 27 2.09%1,558,622 31,172 0.25%
Information 30 2.33%26,845,497 536,910 4.38%
Finance, insurance 8 0.62%347,522 6,950 0.06%
Real estate, rental, leasing 24 1.86%2,862,995 57,260 0.47%
Professional, scientific, technical svcs 104 8.07%6,435,627 128,713 1.05%
Management of companies, enterprises 0.00%- - 0.00%
Admin, support, waste mgmt, remediation svcs 92 7.14%3,625,154 72,503 0.59%
Educational svcs 6 0.47%40,108 802 0.01%
Healthcare, social assistance 15 1.16%221,776 4,436 0.04%
Arts, entertainment, recreation 28 2.17%9,975,461 199,509 1.63%
Accommodation, food services 136 10.55%74,470,272 1,489,405 12.15%
Other svcs (except public administration)111 8.61%55,341,106 1,106,822 9.03%
Public administration 5 0.39%15,072 301 0.00%
Other 7 0.54%6,797 136 0.00%
Totals 1,289 100.00% 612,682,206$ 12,253,644$ 100.00%
Source: Window on State Government.
Notes: The City direct sales tax rate for both 2017 and 2008 is 2%. Due to confidentiality issues, the names of the
ten largest revenue payers are not available. The categories presented are intended to provide alternative information
regarding the sources of the City's revenue. All reporting is now by North American Industry Classification System (NAICS)
sectors. Standard Industrial Classification (SIC) Codes are no longer being assigned to taxpayers, and data on
SIC filers is no longer available.
*2017 is projected as 4th quarter actuals were not available at the time of update.
2017 *
2008
Page 203 of 297
City of Georgetown, Texas
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
154
General Sales Tax General
Fiscal Obligation Revenue Capital Revenue Obligation
Year Bonds Bonds Leases Bonds Bonds
2008 69,970,050$ 11,115,000$ 12,831$ 57,280,000$ 4,984,950$
2009 73,008,888 10,715,000 - 53,640,000 10,096,112
2010 72,532,310 10,300,000 - 59,825,000 13,777,690
2011 89,613,941 9,870,000 - 55,945,000 12,981,059
2012 100,356,664 9,420,000 - 51,425,000 11,618,336
2013 116,738,088 8,955,000 - 48,090,268 14,551,893
2014 116,200,602 8,470,000 - 61,885,000 13,884,399
2015 122,965,751 7,755,000 - 67,910,000 16,414,254
2016 154,191,338 7,225,000 - 72,545,000 15,286,384
2017 170,194,599 6,685,000 - 92,730,000 13,865,309
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
Governmental Activities Business-Type Activities
Page 204 of 297
155
Total Percentage
Primary of Personal Per
Government Income Capita
143,362,831$ 11.97%3,136$
147,460,000 11.61% 3,152
156,435,000 11.56% 3,268
168,410,000 11.63% 3,444
172,820,000 11.97% 3,469
188,335,249 11.84% 3,728
200,440,001 11.15% 3,839
215,045,005 10.28% 3,786
249,247,722 10.25% 4,244
283,474,908 9.56% 4,675
Page 205 of 297
City of Georgetown, Texas
Ratios of Net General Obligation Bonded Debt to Assessed
Value and Net General Obligation Bonded Debt Per Capita
Last Ten Fiscal Years
156
Taxable
Assessed Gross Less Debt
Fiscal Assessed Valuation Bonded Service Funds
Year Population Value (1)Per Capital Debt (2)Available
2008 45,710 3,569,284,321$ 78,085$ 74,955,000$ 1,224,087$
2009 46,787 4,014,755,631 85,809 83,105,000 2,530,149
2010 47,865 4,026,893,772 84,130 86,310,000 2,274,235
2011 48,902 4,055,948,951 82,940 102,595,000 1,976,586
2012 49,543 4,196,184,135 84,698 111,975,000 1,749,324
2013 50,513 4,416,008,010 87,423 131,190,000 1,109,220
2014 52,214 4,598,213,076 88,065 130,085,001 1,268,186
2015 56,798 5,127,918,626 90,283 139,380,005 1,489,313
2016 58,723 5,838,074,672 99,417 169,477,722 1,867,190
2017 60,642 7,090,666,811 116,927 184,059,908 1,946,870
Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
(1) Net of exemptions.
(2) Includes all long-term general obligation debt.
(3) Less debt service funds available.
Sources: WCAD
Page 206 of 297
157
Ratio of Net Ratio of Gross
Net Bonded Debt Bonded Debt Net Bonded Total Bonded
Bonded to Assessed to Assessed Debt Per Debt Per
Debt Value (3)Value (3)Capita (3)Capita (3)
52,564,440$ 1.47%2.07%1,150$ 1,613$
54,882,326 1.37 %2.01%1,173 1,722
55,291,719 1.37%2.09%1,155 1,756
73,396,051 1.81%2.48%1,501 2,058
83,698,631 1.99%2.63%1,689 2,225
101,604,245 2.30%2.95%2,011 2,575
128,816,815 2.80%2.80%2,467 2,467
137,890,692 2.69%2.69%2,428 2,428
167,610,532 2.87%2.87%2,854 2,854
182,113,038 2.57%2.57%3,003 3,003
Page 207 of 297
City of Georgetown, Texas
Computation of Direct and Estimated Overlapping Bonded Debt
Last Ten Fiscal Years
158
Per
Taxing Body Amount As of Percent Amount
Capita (1)
ESTIMATED OVERLAPPING DEBT
Georgetown I.S.D.349,840,000$ 06/30/2017 96.26% 336,745,989$ 5,553$
Williamson County 1,123,462,067 09/30/2017 10.36% 116,380,628 1,919
Total estimated overlapping debt 1,473,302,067 30.76% 453,126,616 7,471
DIRECT DEBT - City of Georgetown 184,059,908 09/30/2017 100.00% 184,059,908 3,035
DIRECT AND ESTIMATED OVERLAPPING DEBT 1,657,361,975$ 637,186,524$ 10,506$
RATIO OF DIRECT AND OVERLAPPING TAX SUPPORTED
DEBT TO TAXABLE ASSESSED VALUATION
Source: Jurisdiction listed.
(1) GISD population - 63,000 (estimate)
Williamson County population - 585,398
City of Georgetown population - 60,642
(2) Information represents the share of the respective debt which are obligations of the citizens
of the City of Georgetown
Debt City's Share (2)
Page 208 of 297
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Page 209 of 297
City of Georgetown, Texas
Computation of Legal Debt Margin
Last Ten Fiscal Years
160
2017 2016 2015 2014 2013
DEBT LIMIT 79,770,002$ 65,678,340$ 57,689,085$ 51,729,897$ 49,680,090$
Total net debt applicable to limit (1)10,354,174 9,082,545 6,652,866 6,521,597 8,570,145
LEGAL DEBT MARGIN 69,415,828$ 56,595,795$ 51,036,219$ 45,208,300$ 41,109,945$
Total net debt applicable to limit
as a percentage of debt limit 12.98% 13.83% 11.53% 12.61%17.25%
ASSESSED VALUATION 2017 7,090,666,811$
Allowable tax levy for annual debt service purpose:
$1.25 per $100 of assessed valuation, assuming 90% collection rate 79,770,002$
2017 annual debt service requirements
for general obligation debt:
Principal 10,354,174
Interest and fiscal charges 5,233,180 15,587,354
Legal margin for annual debt service requirements 64,182,648$
NOTE: All taxable property within the City is subject to the assessment levy and collection by the City of a continuing,
direct annual ad valorem tax sufficient to provide for the payment of principal and interest on the Bonds within the
limits prescribed by law. Article XI, Section 5, of the Texas Constitution is applicable to the City, and limits the
maximum ad valorem tax rate to $2.50 per $100 assessed valuation (for all City purposes). The Charter of the City
adopts the provisions of the constitution without further limitation. Under rules promulgated by the Office of the
Attorney General of Texas, such office will not approve tax bonds of the City unless the City can demonstrate its
ability to pay debt service requirements on all outstanding City tax bonds, including the issue to be approved, from
a tax levy of $1.25 per $100 of valuation, based on 90% collection of tax.
(1) The legal margin computation includes the general obligation debt that will be repaid by self-supporting sources
such as the Airport, Stormwater Drainage and Georgetown Transportation Enhancement Corporation (GTEC) funds.
Page 210 of 297
161
2012 2011 2010 2009 2008
47,207,072$ 45,629,426$ 45,302,549$ 45,166,001$ 40,154,449$
7,350,236 8,640,634 8,043,904 7,664,261 7,614,171
39,856,836$ 36,988,792$ 37,258,645$ 37,501,740$ 32,540,278$
15.57% 18.94% 17.76% 16.97% 18.96%
Page 211 of 297
City of Georgetown, Texas
Revenue Bond Coverage
Utility Funds (1)
Last Ten Fiscal Years
162
Operating
Expenses Net Revenue
Fiscal Eligible Interest (Excluding Available for
Year Revenues Earnings Depreciation) Debt Service
2008 78,404,586$ 955,680$ 57,922,907$ 21,437,359$
2009 83,485,213 392,080 58,695,917 25,181,376
2010 84,948,916 116,458 59,828,974 25,236,400
2011 88,605,410 159,888 65,271,517 23,493,781
2012 89,907,801 144,460 66,531,990 23,520,271
2013 86,876,459 118,277 58,803,394 28,191,342
2014 93,979,191 93,850 72,927,251 21,145,790
2015 106,686,101 164,921 78,010,309 28,840,713
2016 112,401,358 263,279 82,451,857 30,212,780
2017 126,705,643 529,545 91,766,018 35,469,170
Source: Finance and Administration Division.
Notes: (1) Electric, Water, and Wastewater only.
Page 212 of 297
163
Debt Service Requirements
Interest and Times
Principal Fiscal Charges Total Coverage
3,200,000$ 2,631,311$ 5,831,311$ 3.68
3,640,000 2,338,048 5,978,048 4.21
3,935,000 2,065,384 6,000,384 4.21
3,880,000 1,859,107 5,739,107 4.09
4,255,000 1,742,974 5,997,974 3.92
3,970,000 1,963,653 5,933,653 4.75
4,716,977 2,231,375 6,948,352 3.04
5,421,104 2,100,147 7,521,251 3.83
5,227,329 2,738,792 7,966,121 3.79
5,845,826 2,931,943 8,777,769 4.04
Page 213 of 297
City of Georgetown, Texas
Utility System Condensed Statement of Operations (1)
For the Last Ten Fiscal Years
164
2017 2016 2015 2014 2013
REVENUES
Water System 37,776,171$ 34,861,125$ 26,358,532$ 24,953,208$ 24,930,408$
Electric System 65,001,374 61,570,922 60,870,094 58,017,664 53,780,319
Miscellaneous 5,661,272 5,107,307 14,746,510 4,997,415 4,888,117
Interest Earnings 529,545 263,279 164,921 93,850 118,277
Total revenues 108,968,362 101,802,633 102,140,057 88,062,137 83,717,121
EXPENSES (1)
Water System 21,485,743 13,520,486 11,885,339 8,561,671 7,737,541
Electric System 16,712,384 14,623,945 8,259,062 7,056,224 7,265,433
Utility Contracts 53,567,891 51,999,930 55,419,233 55,147,284 43,800,420
Total expenses 91,766,018 80,144,361 75,563,634 70,765,179 58,803,394
NET AVAILABLE FOR
DEBT SERVICE 17,202,344$ 21,658,272$ 26,576,423$ 17,296,958$ 24,913,727$
Notes:
(1) Excluding depreciation costs & plant management cost
(2) Electric, Water & Wastewater only
Information prov ided to comply with continuing disclosure requirements of SEC Rule 15c2-12.
Average Annual Principal and Interest Requirements, 2018-2037 6,258,706$
Coverage of Average Requirements by Fiscal Year 2017 Net Income 2.75
Maximum Principal and Interest Requirements, 2018 9,700,297$
Coverage of Maximum Requirements by Fiscal Year 2017 Net Income 1.77
Page 214 of 297
165
2011 2010 2009 2008
25,896,644$ 20,632,604$ 22,200,768$ 21,424,897$
57,694,311 59,058,745 56,154,879 51,833,477
2,927,695 2,789,797 2,779,486 5,146,212
159,888 116,458 392,080 955,680
86,678,538 82,597,604 81,527,213 79,360,266
7,708,924 6,677,890 6,875,473 6,249,197
5,554,896 4,821,255 5,270,740 1,230,199
52,007,697 48,329,829 46,549,704 50,443,511
65,271,517 59,828,974 58,695,917 57,922,907
21,407,021$ 22,768,630$ 22,831,296$ 21,437,359$
Page 215 of 297
City of Georgetown, Texas
Utility System Condensed Statement of Operations (2)
For the Last Ten Fiscal Years
166
2017 2016 2015 2014 2013
Utility system (1)525,643,929$ 494,823,457$ 457,712,841$ 424,822,231$ 338,199,636$
Less: accumulated
depreciation (133,268,971) (121,636,964) (110,006,443) (99,974,691) (91,339,365)
Net value of system 392,374,958 373,186,493 347,706,398 324,847,540 246,860,271
Plus: Construction fund 7,358,762 12,759,150 5,468,908 4,910,605 12,193,462
Net plant 399,733,720 385,945,643 353,175,306 329,758,145 259,053,733
Plus: Working capital 93,642,260 62,636,620 65,108,279 51,655,164 35,992,864
Total 493,375,980 448,582,263 418,283,585 381,413,309 295,046,597
Revenue bond debt (2)99,715,131 84,655,583 79,967,207 74,051,097 59,028,078
CITY'S EQUITY IN SYSTEM 393,660,849$ 363,926,680$ 338,316,378$ 307,362,212$ 236,018,519$
PERCENTAGE CITY'S
EQUITY IN SYSTEM 79.79%81.13%80.88%80.59%79.99%
Notes:
(1) Electric, Water and Wastewater funds only
(2) Changes in bond ordinances no longer require reservation of interest and sinking or reserve funds for utility revenue debt.
Information provided to comply with continuing disclosure requirements of SEC Rule 15c2-12.
Page 216 of 297
167
2012 2011 2010 2009 2008
313,923,709$ 306,424,774$ 286,216,930$ 273,482,065$ 251,560,756$
(82,719,027) (76,797,760) (67,645,584) (58,659,325) (53,420,721)
231,204,682 229,627,014 218,571,346 214,822,740 198,140,035
22,866,932 11,692,027 14,038,615 10,101,805 5,280,337
254,071,614 241,319,041 232,609,961 224,924,545 203,420,372
33,419,764 35,700,091 40,784,075 27,713,059 29,899,639
287,491,378 277,019,132 273,394,036 252,637,604 233,320,011
59,050,004 64,540,000 68,809,999 59,589,999 57,280,000
228,441,374$ 212,479,132$ 204,584,037$ 193,047,605$ 176,040,011$
79.46%76.70%74.83%76.41%75.45%
Page 217 of 297
City of Georgetown, Texas
Demographic and Economic Statistics
Last Ten Fiscal Years
168
Per
Capita
Fiscal Personal Personal School Unemployment
Year Population Income Income Enrollment Rate
2008 45,710 1,715,907,690$ 37,539$ 10,000 4.10%
2009 46,787 1,711,983,117 36,591 10,000 4.10%
2010 47,865 1,808,004,645 37,773 10,300 5.84%
2011 48,902 1,959,356,434 40,067 10,470 7.08%
2012 49,543 2,090,070,541 42,187 10,396 7.08%
2013 50,513 2,097,602,838 41,526 10,396 5.70%
2014 52,214 2,234,028,204 42,786 10,582 5.30%
2015 56,798 2,211,600,524 38,938 10,924 3.70%
2016 59,134 2,572,210,732 43,498 11,452 4.00%
2017 60,642 2,709,423,918 44,679 11,444 2.90%
Sources:
Population: City of Georgetown Planning and Development Division.
Per Capita Personal Income: U.S. Dept. of Commerce / Bureau of Economic Analysis
School Enrollment: Georgetown Independent School District.
Unemployment Rate: Texas Workforce Commission, Labor Market and Career Information TRACER.
Notes:
Per capita personal income is for Williamson County and reflects estimates available as of Nov 17, 2017.
Population for 2017 reflects city's population estimate for month ending Sep 30, 2017.
Personal income calculated using city's population estimate and per capita income data.
Unemployment rate reflects estimate for month ending Sep 30, 2017.
Page 218 of 297
City of Georgetown, Texas
Principal Employers
Current Year and Nine Years Ago
169
Percentage Percentage
of Total City of Total City
Employer Employees Rank Employment Employees Rank Employment
Williamson County Govt 1,603 1 2.74% 1,550 2 3.41%
Georgetown ISD 1,543 2 2.63% 1,575 1 3.47%
City of Georgetown 757 3 1.29%528 4 1.16%
Airborn, Inc 500 4 0.85%300 6 0.66%
St. David's Hospital 485 5 0.83%600 3 1.32%
Southwestern University 450 6 0.77%450 5 0.99%
Wesleyan Homes 355 7 0.61%233 9 0.51%
Caring Home Health 269 8 0.46%- 0.00%
Lone Star Circle of Care 201 9 0.34%- 0.00%
Sun City (Del Webb)170 10 0.29%260 7 0.57%
Walmart - 0.00%240 8 0.53%
Texas Crushed Stone - 0.00%225 10 0.50%
Totals 6,333 10.81% 5,961 12.63%
Source: Economic Development Department
2017 2008
Page 219 of 297
City of Georgetown, Texas
Full Time Equivalent City Government Employees by Function
Last Ten Fiscal Years
170
2017 2016 2015 2014 2013 2012 2011 2010 2009 2008
Function
General Government
Culture & Recreation
Administration 2 - 5 4 4 3 - - - -
CVB 5 - - - - - - - - -
Parks 20 21 22 21 21 23 23 23 23 23
Recreation 23 27 42 39 39 39 39 37 37 28
Rec. Programs 6 6 4 4 4 3 3 3 3 4
Library 24 23 22 22 22 23 22 22 22 22
Development
Administration - - - - - - 2 2 2 -
Planning 11 10 9 8 8 11 11 11 14 13
Current Planning - - - - - - - - - -
Long Range Planning - - - - - - - - - -
Inspection Svcs.14 13 10 10 10 12 13 13 13 13
Code Enforcement 5 5 5 4 4 4 6 6 6 6
Environmental
Environmental Svcs.1 1 1 1 1 1 1 1 1 -
Fire Services
Fire Based Paramedic Program 19 15 15 - - - - - - -
Support Svcs.14 14 13 7 6 7 6 6 6 6
Emergency Svcs.88 84 81 86 84 84 81 81 72 66
General Government
General Government 3 2 3 2 2 2 2 - - -
City Secretary 5 5 5 4 - - - - - -
City Council - - - - 3 3 2 2 2 2
City Manager's Office 10 10 4 5 6 4 6 6 8 8
Highways / Streets
Transportation Admin.4 2 3 3 2 2 1 3 3 3
Streets 19 19 19 19 19 19 19 19 19 16
Police Services
Administration 4 4 4 4 4 5 5 9 10 8
Support Svcs.- - - - - - - - 34 36
Field Operations 106 103 102 98 98 99 99 95 60 60
Animal Svcs.11 11 11 11 9 9 9 8 8 8
Municipal Court 7 7 7 7 6 7 7 7 7 7
Fleet Services 9 9 8 8 8 7 6 6 6 6
Facilities Maintenance 7 7 7 7 6 7 7 7 7 7
Information Technology 22 18 18 16 13 13 13 13 11 11
Joint Svcs.104 101 92 87 82 78 76 74 69 62
Water 58 51 37 19 19 19 20 18 15 13
Sewer 7 7 14 14 14 14 14 12 12 12
Electric 67 73 60 57 54 49 44 47 48 42
Other Enterprises 15 14 13 13 11 11 11 11 11 12
Total 690 658 632 575 555 553 544 540 527 492
Source: City Finance & Administration Division.
Notes: A full-time employee is scheduled to work 2,080 hours per year (including vacation and sick leave).
Full-time equivalent employment is calculated by dividing total labor hours by 2,080.
Page 220 of 297
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Page 221 of 297
City of Georgetown, Texas
Operating Indicators by Functions
Last Ten Fiscal Years
172
Function 2017 2016 2015 2014 2013
Culture and recreation
Recreation Center memberships 12,433 12,944 11,604 9,901 10,678
CVB number of visitor inquiries 75,302 69,108 55,156 54,188 50,617
Library
Circulation 533,602 513,725 527,987 559,209 550,683
Number of patrons added 3,529 3,818 3,428 2,161 2,446
Economic Development
Number of proposals generated 62 51 56 44 48
Community Development
Inspections/Code Enforcement
Number of inspections 41,834 40,500 31,828 29,818 30,282
New residential permits issued 728 703 718 701 777
New commercial permits issued/TFO/Industrial 85 66 92 92 61
Number of code enforcement violations 8,702 13,784 14,052 16,213 15,225
Planning and Development Services
Development applications filed 408 385 373 370 313
Annexations (in acres)649 246 2,022 152 161
Fire Services
Number of calls for service 9,362 8,510 7,084 6,250 6,153
General Govt
Bond rating - S&P AA+ AA+ AA+ AA+ AA+
City Manager's Office
Number of public information requests processed 1,589 1,290 1,129 871 678
Police Services
Number of calls for service 25,803 24,704 24,744 23,044 22,747
Number of traffic accidents 2,145 2,156 2,091 1,940 1,888
Animal Services
Number of pets impounded 1,533 1,891 1,889 1,860 1,664
Number of adoptions 1,028 872 983 904 690
Municipal Court
Number of court cases 4,797 4,905 5,641 7,658 7,833
Number of warrants served 225 278 374 349 398
Utility Office
Number of utility customers 43,281 40,372 38,450 28,400 27,559
Water
Number of new connects 2,351 1,532 1,909 1,455 909
Average daily water treated (million gallons)19 13 16 16 16
Average daily consumption (million gallons)16 16 16 13 13
Sewer
Number of new connects 2,006 1,221 1,154 1,295 955
Average daily wastewater treated (million gallons)4 5 5 4 4
Electric
kWhs consumed 621,464,114 605,019,836 590,029,360 565,518,133 544,339,879
Number of new connects 581 315 1,230 598 484
AMR
Total number of work orders completed 3,677 3,223 1,489 1,554 1,113
Total reads by AMR 18,282 694,802 568,896 542,058 616,296
Other Enterprises
Stormwater & Drainage
Number of detention ponds cleaned 552 456 454 422 404
Number of work orders 233 242 489 530 710
Airport
Gallons of fuel sold 866,833 778,328 636,128 648,065 565,851
Sources: Various City departments and City-Monthly Activity Indicators Report.
Page 222 of 297
173
2012 2011 2010 2009 2008
13,769 16,044 16,778 18,497 5,487
42,901 35,749 27,086 38,669 45,044
552,032 527,746 524,610 496,603 431,294
2,526 2,184 2,293 2,338 2,514
38 36 31 40 35
21,270 18,383 20,192 21,248 33,198
664 509 550 523 768
89 97 115 127 77
11,535 11,090 12,295 13,179 10,570
290 284 158 246 344
61 703 276 1,005 369
5,706 5,674 5,649 5,475 5,321
AA+AA+AA+AA+AA
759 835 997 887 801
23,018 22,161 31,908 34,192 51,033
1,679 1,525 1,743 1,750 1,837
1,670 1,560 1,477 1,256 1,500
822 686 601 560 614
7,347 8,902 13,778 13,333 13,275
313 587 693 774 748
26,345 25,563 24,995 24,271 23,678
705 530 447 469 880
15 17 12 14 16
13 14 11 13 13
939 523 451 444 846
4 4 4 3 3
537,985,801 547,475,852 518,590,777 490,449,481 501,552,786
226 477 543 550 999
826 2,419 2,495 2,903 5,141
- - - - -
372 372 382 300 228
552 196 418 376 617
581,450 765,839 636,773 647,736 723,669
Page 223 of 297
City of Georgetown, Texas
Capital Assets by Functions
Last Ten Fiscal Years
174
Function 2017 2016 2015 2014 2013
Culture and recreation
Parks (developed acres)494 480 480 473 473
Recreation Centers 1 1 1 1 1
Senior Centers 1 1 1 1 1
Libraries 1 1 1 1 1
Fire Services
Fire stations 5 5 5 5 5
Fire vehicles 36 36 34 29 25
Highways and streets
Center line miles 326 324 312 310 310
Police Services
Police stations 1 1 1 1 1
Police vehicles 91 88 84 84 87
Police motorcycle units 6 6 6 6 4
Electric
Meters 25,607 24,881 24,147 22,918 22,660
Sources: Various City departments and City budget document.
Page 224 of 297
175
2012 2011 2010 2009 2008
473 473 473 473 410
1 1 1 1 1
1 1 1 1 -
1 1 1 1 1
5 4 4 4 3
22 18 17 17 17
305 295 307 284 269
1 1 1 1 1
87 93 95 95 95
4 4 4 4 4
22,504 22,090 21,711 21,338 20,965
Page 225 of 297
City of Georgetown, Texas
Water Usage (Gallons)
Last Ten Fiscal Years
176
Fiscal Average
Year Day Peak Day Total
Ended Usage Production Usage
September 30,(000s) (000s) (000s)
2008 14,490 28,390 5,419,616
2009 11,290 25,870 5,011,889
2010 12,925 24,617 4,732,462
2011 14,024 26,778 5,955,541
2012 16,152 30,058 5,748,912
2013 15,976 28,818 5,121,278
2014 15,987 28,687 4,750,902
2015 15,875 35,394 5,794,201
2016 15,603 34,712 5,695,453
2017 15,815 38,003 5,772,395
Source: City of Georgetown
Page 226 of 297
City of Georgetown, Texas
Ten Largest Water Customers(1)
Fiscal Year Ended 2017
177
Water Usage% of Total
Customer (1,000 Gallons) Water Usage
CITY OF GEORGETOWN 55,926 0.97%
SOUTHWESTERN UNIVERSITY 54,316 0.94%
CITICORP OF N AMERICA, INC 45,242 0.78%
WILLIAMSON COUNTY 36,607 0.63%
GEORGETOWN ISD 36,223 0.63%
SOUTHWEST MATERIALS 29,268 0.51%
ST DAVID'S HOSPITAL 26,579 0.46%
SUN CITY TX COMM ASSOC 23,639 0.41%
WPG WOLF RANCH, LLC 23,383 0.41%
CYPRESS CREEK @ RIVER BEND 21,750 0.38%
TOTAL 352,933 6.11%
Source: City of Georgetown Customer Care fiscal year 2017 figures.
(1) Fiscal year 2017 figures. Based on total consumption of 5,772,395 kgals.
Page 227 of 297
City of Georgetown, Texas
Daily Flow (Wastewater Treatment)
Last Ten Fiscal Years
178
Fiscal
Year Gallons
2008 3,370,000
2009 3,580,000
2010 4,188,000
2011 3,327,000
2012 3,594,000
2013 3,641,000
2014 4,260,000
2015 4,607,964
2016 4,871,523
2017 4,068,219
Source: City of Georgetown
Average Daily Wastewater Flow
Page 228 of 297
City of Georgetown, Texas
Ten Largest Wastewater Customers(1)
September 30, 2017
179
Volume
Customer (1,000 Gallons) % of Total
CITICORP OF N AMERICA, IN 43,403 2.86%
SOUTHWESTERN UNIVERSITY 40,518 2.67%
WILLIAMSON COUNTY 28,963 1.91%
GEORGETOWN ISD 25,572 1.68%
ST DAVID'S HOSPITAL 22,583 1.49%
CYPRESS CREEK APTS 19,487 1.28%
GEORGETOWN PLACE APTS 15,305 1.01%
INDIAN CREEK APTS 14,029 0.92%
CITY OF GEORGETOWN 13,734 0.90%
THE OAKS @ GTWN APTS 10,882 0.72%
234,476 15.43%
Source: City of Georgetown
(1) Fiscal 2017 figures. Based on total consumption of 1,519,830 kgals.
Page 229 of 297
City of Georgetown, Texas
Valuation, Exemptions and Ad Valorem Tax Debt
September 30, 2017
180
2016/17 Market Valuation Established by Williamson Central Appraisal District
(excluding totally exempt property)7,434,602,232$
Less Exemptions/Reductions at 100% Market Value:343,935,421
2016/17 Taxable Assessed Valuation 7,090,666,811
City Funded Debt Payable from Ad Valorem Taxes (1)161,099,908$
The Bonds 8,555,000
The Certificates 14,405,000
Total Debt Payable from Ad Valorem Taxes (1)184,059,908
Interest and Sinking Fund (1,946,870)
Net Debt Payable from Ad Valorem Taxes 182,113,038
Ratio of Net Tax Supported Debt to Taxable Assessed Valuation (1)2.94%
2017 Estimated Population - 60,642
Per Capita Taxable Assessed Valuation - $116,927
Per Capita Net Ad Valorem Tax Debt Payable from Ad Valorem Taxes - $3,003
NOTES:
(1) Includes $5,451,755 of self-supporting debt, which is paid from storm water and airport revenues, and $25,250,194 of
self-supporting debt, which is paid from the City's sales tax levied for economic development pursuant to an interlocal
agreement with the City's Type B Corporation (GTEC). $8,413,554 of self-supporting debt is paid from electric revenues
and water revenues and $1,590,000 of self-supporting debt is paid from advalorem tax revenues within the Rivery TIRZ.
Page 230 of 297
181
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Page 231 of 297
City of Georgetown, Texas
Taxable Assessed Valuations by Category
Last Seven Fiscal Years
182
Category Amount % of Total Amount % of Total
Real, Residential, Single-Family 5,269,955,833$ 67.22% 4,461,872,364$ 66.73%
Real, Residential, Multi-Family 321,729,040 4.10% 244,374,369 3.65%
Real, Vacant Lots/Tracts 113,986,653 1.45% 109,578,980 1.64%
Real, Acreage (Land Only)413,248,527 5.27% 400,074,586 5.98%
Real, Farm and Ranch Improvements 12,051,614 0.15% 10,959,024 0.16%
Real, Commercial/industrial 1,090,806,455 13.91% 1,018,036,078 15.22%
Real and Tangible, Personal, Utilities, Other 55,642,985 0.71% 39,895,007 0.60%
Tangible Personal, Commercial 441,440,286 5.63% 294,660,363 4.41%
Tangible Personal, Industrial 1,990,498 0.03%- 0.00%
Tangible Personal, Other, Inventory 118,681,945 1.51% 107,456,924 1.61%
Total Appraisal Value Before Exemptions 7,839,533,836$ 100.00% 6,686,907,695$ 100.00%
Less: Total Exemptions/Reductions 992,751,144 848,833,023
Taxable Assessed Value 6,846,782,692$ 5,838,074,672$
Category Amount % of Total Amount % of Total
Real, Residential, Single-Family 3,051,782,791$ 62.49% 2,951,917,721$ 62.66%
Real, Residential, Multi-Family 134,630,205 2.76% 136,781,699 2.90%
Real, Vacant Lots/Tracts 112,194,608 2.30% 117,503,406 2.49%
Real, Acreage (Land Only)277,760,619 5.69% 280,860,043 5.96%
Real, Farm and Ranch Improvements 7,749,074 0.16% 7,748,104 0.16%
Real, Commercial/industrial 873,539,170 17.89% 827,031,630 17.55%
Real and Tangible, Personal, Utilities, Other 47,029,662 0.96% 45,209,184 0.96%
Tangible Personal, Commercial 315,920,307 6.47% 278,224,342 5.91%
Tangible Personal, Industrial 2,281,333 0.05% 2,234,106 0.05%
Tangible Personal, Other, Inventory 60,766,941 1.24% 63,594,310 1.35%
Total Appraisal Value Before Exemptions 4,883,654,710 100.00% 4,711,104,545 99.99%
Less: Total Exemptions/Reductions 687,470,575 655,155,594
Taxable Assessed Value 4,196,184,135$ 4,055,948,951$
Source: https://www.wcad.org/entity-portal/
"Certified Packet"
Tangible Personal, Other, Inventory = M: "Tangible, Other"+O: "Real Inventory"+S: "Special Inventory"
2012 2011
2017 2016
Page 232 of 297
183
Amount % of Total Amount % of Total Amount % of Total
3,919,149,977$ 66.57% 3,383,707,151$ 65.32% 3,212,802,019$ 64.13%
180,615,033 3.07% 141,539,008 2.73% 136,323,871 2.72%
107,717,396 1.83% 105,728,114 2.04% 110,691,837 2.21%
329,513,434 5.60% 274,265,523 5.29% 287,098,365 5.73%
10,841,218 0.18% 9,762,143 0.19% 9,458,303 0.19%
959,342,874 16.29% 852,941,178 16.46% 838,635,946 16.74%
51,686,900 0.88% 41,161,229 0.79% 45,546,793 0.91%
234,873,665 3.99% 294,627,224 5.69% 302,428,949 6.04%
- 0.00% - 0.00%- 0.00%
93,708,389 1.59% 76,722,581 1.48% 67,225,632 1.34%
5,887,448,886$ 100.00% 5,180,454,151$ 100.00% 5,010,211,715$ 100.00%
759,530,260 582,241,075 594,203,705
5,127,918,626$ 4,598,213,076$ 4,416,008,010$
2014 20132015
Page 233 of 297
City of Georgetown, Texas
Authorized but Unissued General Obligation Bonds
September 30, 2017
184
Authorization
Date Amount Amount Being Unissued
Purpose Authorized Authorized Issued Used Balance
Roads 11/04/2008 46,000,000$ 21,150,000$ -$ 24,850,000$
Parks & recreation 11/04/2008 35,500,000 18,710,000 - 16,790,000
Roads 05/09/2015 105,000,000 22,710,000 - 82,290,000
Total 186,500,000$ 62,570,000$ -$ 123,930,000$
Page 234 of 297
185
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Page 235 of 297
City of Georgetown, Texas
General Fund Revenues and Expenditure History
Last Ten Fiscal Years
186
2017 2016 2015 2014 2013
Revenues:
Taxes 31,618,006$ 29,675,061$ 27,331,498$ 25,293,544$ 24,522,441$
Licenses and Permits 2,652,279 2,113,126 2,002,380 1,932,563 1,536,660
Charges for Services 11,838,632 10,676,249 10,556,447 9,682,702 9,302,816
Fines and Forfeitures 453,675 476,138 529,920 598,717 670,582
Miscellaneous and Interest 825,006 1,074,393 722,772 682,447 1,460,008
Total Revenues 47,387,598 44,014,967 41,143,017 38,189,973 37,492,507
Expenditures:
General Government 4,436,866 3,237,092 3,762,714 3,013,544 2,908,971
Development Services 2,389,998 2,297,979 2,148,991 2,003,688 1,579,575
Parks and Recreation 9,552,133 9,447,132 9,156,876 8,401,551 7,945,906
Fire Services 12,500,721 11,806,803 10,595,388 9,455,714 8,638,166
Police Services 14,471,049 13,778,073 12,899,092 11,687,498 11,471,418
Georgetown Utility Systems / Streets 10,310,775 10,333,422 9,281,051 9,435,835 8,236,375
Total Expenditures 53,661,542 50,900,501 47,844,112 43,997,830 40,780,411
Excess (Deficiency) of
Revenues Over Expenditures (6,273,944) (6,885,534) (6,701,095) (5,807,857) (3,287,904)
Budgeted Transfers In 9,592,342 8,909,975 7,720,944 6,964,508 6,655,673
Budgeted Transfers Out (2,489,735) (1,531,334) (1,188,673) (2,034,075) (949,076)
Net Increase (Decrease)828,663 493,107 (168,824) (877,424) 2,418,693
Fund Equity at Beginning of Year 12,496,962 12,003,855 12,172,679 13,050,103 10,631,410
Fund Equity at End of Year 13,325,625$ 12,496,962$ 12,003,855$ 12,172,679$ 13,050,103$
Source: City's Audited Financial Statements.
Fiscal Year Ending September 30,
Page 236 of 297
187
2012 2011 2010 2009 2008
22,013,241$ 21,335,893$ 19,336,126$ 18,508,353$ 18,214,532$
1,236,478 890,948 841,392 791,882 1,158,433
8,268,169 8,082,889 7,882,093 7,682,367 2,193,590
616,815 762,923 958,792 889,367 1,013,699
579,060 614,138 515,814 930,774 1,872,238
32,713,763 31,686,791 29,534,217 28,802,743 24,452,492
2,992,852 3,384,950 3,087,317 3,129,127 2,738,903
1,890,481 2,195,537 2,088,809 2,213,899 2,411,971
7,183,369 7,289,676 6,902,305 6,677,760 5,564,579
7,590,667 7,011,366 6,694,350 6,597,024 5,271,624
10,498,193 10,060,311 9,897,919 9,873,237 8,915,180
8,247,315 7,347,201 6,623,628 6,524,677 2,768,367
38,402,877 37,289,041 35,294,328 35,015,724 27,670,624
(5,689,114) (5,602,250) (5,760,111) (6,212,981) (3,218,132)
6,200,518 6,079,801 6,356,907 6,515,884 6,687,060
(34,641) (85,022) (1,342,361) (1,737,715) (2,091,633)
476,763 392,529 (745,565) (1,434,812) 1,377,295
10,154,647 9,762,118 10,507,683 11,942,495 10,565,200
10,631,410$ 10,154,647$ 9,762,118$ 10,507,683$ 11,942,495$
Fiscal Year Ending September 30,
Page 237 of 297
City of Georgetown, Texas
Municipal Sales Tax History
Last Ten Fiscal Years
188
Fiscal
Year % of Equivalent of
Ended Total Ad Valorem Ad Valorem Per Tax
September 30, Collected Tax Levy Tax Rate Capita Levy Rate
2008 7,310,027$ 55.40%0.1975 160 13,195,606$ 0.3566
2009 6,943,036 46.67%0.1662 148 14,877,893 0.3562
2010 7,454,806 50.14%0.1786 156 14,867,340 0.3562
2011 7,803,863 52.41%0.1867 160 14,889,961 0.3562
2012 8,277,502 49.10%0.1903 167 16,856,914 0.3875
2013 9,326,554 50.78%0.2082 185 18,367,332 0.4100
2014 10,984,723 53.24%0.2340 210 20,632,709 0.4395
2015 11,296,645 49.55%0.2150 199 22,799,091 0.4340
2016 12,679,188 54.22%0.2353 216 23,384,947 0.4340
2017 13,595,005 53.21%0.2256 232 25,551,262 0.4240
Page 238 of 297
City of Georgetown, Texas
Monthly and Volumetric Water Rates
September 30, 2017
189
Customer Meter Size Inside City Outside City
5/8 inch $15.50 $18.50
3/4 inch 23.00 27.50
1 inch 38.50 46.00
1 1/2 inch 76.50 91.50
2 inch 122.50 146.50
3 inch 245.50 293.50
4 inch 383.50 458.50
6 inch 766.50 916.50
8 inch 1,226.50 1,466.50
Residential Water Rates
1,000
Gallons
Volumetric
Rate
0 - 10 $1.75
11 - 20 2.40
21 - 40 4.00
41 - 60 6.50
61 and over 8.50
Nonresidential Water Rates
Cost per thousand gallons $2.40
Irrigation Meter, cost per
thousand gallons 4.00
Source: City of Georgetown
Note: Rates effective January 1, 2014
Customer Charge per Month
Page 239 of 297
City of Georgetown, Texas
Monthly Wastewater Rates
September 30, 2017
190
Net Monthly Rate:
Flat Rate Inside City Limits:$30.65 per month*
Flat Rate Outside City Limits:$35.20 per month*
* Low income residential discount: 20% below current
flat rate for qualifying households
Net Monthly Rate:
a. Inside City Limits
1. Customer Charge $46.35 per month*
2. Volumetric Charge*$2.35 per 1,000 gallons
b. Outside City Limits
1. Customer Charge $53.30 per month
2. Volumetric Charge*$2.70 per 1,000 gallons
Net Monthly Rate:
a. Inside City Limits
1. Customer Charge $82.30 per month
2. Volumetric Charge*$2.35 per 1,000 gallons
b. Outside City Limits
1. Customer Charge $94.65 per month
2. Volumetric Charge*$2.70 per 1,000 gallons
Net Monthly Rate:
a. Inside City Limits
1. Customer Charge $46.35 per month
2. Volumetric Charge*$3.70 per 1,000 gallons
b. Outside City Limits
1. Customer Charge $53.30 per month
2. Volumetric Charge*$4.30 per 1,000 gallons
Net Monthly Rate:
a. Inside City Limits
1. Customer Charge $110.10 per month
2. Volumetric Charge*$2.35 per 1,000 gallons
b. Outside City Limits
1. Customer Charge $126.60 per month
2. Volumetric Charge*$2.70 per 1,000 gallons
*The volumetric charges are calculated using the
actual water consumption billed per month.
Source: City of Georgetown
Notes: Rates effective October 1, 2016
Commercial
Large Commercial
High Strength Commercial
Multifamily
Residential and Small Commercial
Page 240 of 297
City of Georgetown, Texas
Monthly Electric Rates
September 30, 2017
191
All Customers
Purchased Power Cost Adjustment: $0.0040 per kWh
Transmission Cost of Service: $0.0019 per kWh
Residential Sales Tax: 2.00% of total electric charges; outside City limits: None
Commercial Sales Tax: 8.25% of total electric charges; outside City limits: 6.25%
Residential Service
Customer Charge: $20.00 per month
Energy Charge: $0.0939 per kWh
Small General Service
Customer Charge: $45.00 per month
Energy Charge: $0.0883 per kWh
School Charge
Customer Charge: $175.00 per month
Energy Charge: $0.1131 per kWh
Water & Wastewater Pumping Service
Customer Charge: $165.00 per month
Energy Charge: $0.0516 per kWh
Large General Service
Customer Charge:$20.00 per month
Demand Charge:$8.45 per kWh (50 kW minimum)
Energy Charge:$0.0713 per kWh
Minimum Bill:$442.50
Industrial
Customer Charge:$250.00 per month
Demand Charge:$10.00 per kWh (500 kW minimum)
Energy Charge:$0.0644 per kWh
Minimum Bill:$5,250.00
Large Industrial Service
Customer Charge:$350.00 per month
Demand Charge:$7.50 per kWh (2000 kW minimum)
Energy Charge:$0.0661 per kWh
Minimum Bill:$15,350.00
Municipal Service
Customer Charge:$125.00 per month
Energy Charge:$0.0606 per kWh
Minimum Bill:$125.00
Lighting Service
High Pressure
Sodium
Municipal
Street
Retail
Street
100 Watt per light (35 kWh)$8.50 per month $5.09 per month $5.26 per month
200 Watt per light (71 kWh)$14.50 per month $9.29 per month $9.75 per month
250 Watt per light (86 kWh)$16.70 per month $11.13 per month $11.64 per month
400 Watt per light (137 kWh)$23.50 per month $17.33 per month $18.17 per month
Source: City of Georgetown
Effective June 1, 2017
Page 241 of 297
192
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Page 242 of 297
193
Compliance Section
Page 243 of 297
194
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Page 244 of 297
AN INDEPENDENT MEMBER OF
BAKER TILLY INTERNATIONAL
WEAVER AND TIDWELL, L.L.P.
CERTIFIED PUBLIC ACCOUNTANTS AND ADVISORS
1601 SOUTH MOPAC EXPRESSWAY, SUITE D250, AUSTIN, TX 78746
P: 512.609.1900 F: 512.609.1911
195
Independent Auditor’s Report on Internal Control over
Financial Reporting and on Compliance and Other Matters
Based on an Audit of Financial Statements Performed
in Accordance with Government Auditing Standards
To the Honorable Mayor and
Members of the City Council
City of Georgetown, Texas
We have audited, in accordance with the 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, the financial statements of the
governmental activities, the business-type activities, the discretely presented component unit, each
major fund, and the aggregate remaining fund information of the City of Georgetown, Texas (the City),
as of and for the year ended September 30, 2017, and the related notes to the financial statements,
which collectively comprise the City’s basic financial statements and have issued our report thereon
dated February 28, 2018.
Internal Control over Financial Reporting
In planning and performing our audit of the financial statements, we considered the City’s internal
control over financial reporting (internal control) to determine the audit procedures that are
appropriate in the circumstances for the purpose of expressing our opinions on the financial statements,
but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control.
Accordingly, we do not express an opinion on the effectiveness of the City’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow
management or employees, in the normal course of performing their assigned functions, to prevent, or
detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a
combination of deficiencies, in internal control, such that there is a reasonable possibility that a material
misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a
timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control
that is less severe than a material weakness, yet important enough to merit attention by those charged
with governance.
Our consideration of internal control over financial reporting was for the limited purpose described in
the first paragraph of this section and was not designed to identify all deficiencies in internal control
over financial reporting that might be material weaknesses or significant deficiencies. Given these
limitations, during our audit we did not identify any deficiencies in internal control over financial
reporting that we consider to be material weaknesses. However, material weaknesses may exist that
have not been identified.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the City’s financial statements are free from
material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,
contracts, and grant agreements, noncompliance with which could have a direct and material effect
on the determination of financial statement amounts. However, providing an opinion on compliance
with those provisions was not an objective of our audit and, accordingly, we do not express such an
opinion. The results of our tests disclosed no instances of noncompliance or other matters that are
required to be reported under Government Auditing Standards.
Page 245 of 297
City of Georgetown, Texas
196
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and
compliance and the results of that testing, and not to provide an opinion on the effectiveness of the
City’s internal control or on compliance. This report is an integral part of an audit performed in
accordance with Government Auditing Standards in considering the entity’s internal control and
compliance. Accordingly, this communication is not suitable for any other purpose.
WEAVER AND TIDWELL, L.L.P.
Austin, Texas
February 28, 2018
Page 246 of 297
AN INDEPENDENT MEMBER OF
BAKER TILLY INTERNATIONAL
WEAVER AND TIDWELL, L.L.P.
CERTIFIED PUBLIC ACCOUNTANTS AND ADVISORS
1601 SOUTH MOPAC EXPRESSWAY, SUITE D250, AUSTIN, TX 78746
P: 512.609.1900 F: 512.609.1911
197
Independent Auditor’s Report on Compliance for Each
Major Federal Program and Report on Internal Control over Compliance
in Accordance with the Uniform Guidance
To the Honorable Mayor and
Members of the City Council
City of Georgetown, Texas
Report on Compliance for Each Major Federal Program
We have audited the City of Georgetown, Texas’ (the City’s) compliance with the types of compliance
requirements described in the OMB Compliance Supplement that could have a direct and material
effect on each of the City’s major federal programs for the year ended September 30, 2017. The City’s
major federal programs are identified in the summary of auditor’s results section of the accompanying
schedule of findings and questioned costs.
Management’s Responsibility
Management is responsible for compliance with the federal statutes, regulations, and terms and
conditions of its federal awards applicable to its federal programs.
Auditor’s Responsibility
Our responsibility is to express an opinion on compliance for each of the City’s major federal programs
based on our audit of the types of compliance requirements referred to above. We conducted our
audit of compliance in accordance with auditing standards generally accepted in the United States of
America; the standards applicable to financial audits contained in Government Auditing Standards,
issued by the Comptroller General of the United States; and the audit requirements of Title 2 U.S. Code
of Federal Regulations (CFR) Part 200, Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal Awards (Uniform Guidance). Those standards and the Uniform Guidance
require that we plan and perform the audit to obtain reasonable assurance about whether
noncompliance with the types of compliance requirements referred to above that could have a direct
and material effect on a major federal program occurred. An audit includes examining, on a test basis,
evidence about the City’s compliance with those requirements and performing such other procedures,
as we considered necessary in the circumstances.
We believe that our audit provides a reasonable basis for our opinion on compliance for each major
federal program. However, our audit does not provide a legal determination of the City’s compliance.
Opinion on Each Major Federal Program
In our opinion, the City complied, in all material respects, with the types of compliance requirements
referred to above that could have a direct and material effect on each of its major federal programs
for the year ended September 30, 2017.
Page 247 of 297
City of Georgetown, Texas
198
Report on Internal Control over Compliance
Management of the City is responsible for establishing and maintaining effective internal control over
compliance with the types of compliance requirements referred to above. In planning and performing
our audit of compliance, we considered the City’s internal control over compliance with the types of
requirements that could have a direct and material effect on each major federal program to
determine the auditing procedures that are appropriate in the circumstances for the purpose of
expressing an opinion on compliance for each major federal program and to test and report on internal
control over compliance in accordance with the Uniform Guidance, but not for the purpose of
expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not
express an opinion on the effectiveness of the City’s internal control over compliance.
A deficiency in internal control over compliance exists when the design or operation of a control over
compliance does not allow management or employees, in the normal course of performing their
assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance
requirement of a federal program on a timely basis. A material weakness in internal control over
compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such
that there is a reasonable possibility that material noncompliance with a type of compliance
requirement of a federal program will not be prevented, or detected and corrected, on a timely basis.
A significant deficiency in internal control over compliance is a deficiency, or a combination of
deficiencies, in internal control over compliance with a type of compliance requirement of a federal
program that is less severe than a material weakness in internal control over compliance, yet important
enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the first
paragraph of this section and was not designed to identify all deficiencies in internal control over
compliance that might be material weaknesses or significant deficiencies and therefore, material
weaknesses or significant deficiencies may exist that have not been identified. We identified certain
deficiencies in internal control over compliance, as described in the accompanying schedule of
findings and questioned costs as item 2017-001, that we consider to be a material weaknesses.
The City’s responses to the internal control over compliance findings identified in our audit are
described in the accompanying corrective action plan. The City’s response was not subjected to the
auditing procedures applied in the audit of compliance and, accordingly, we express no opinion on
the response.
The purpose of this report on internal control over compliance is solely to describe the scope of our
testing of internal control over compliance and the results of that testing based on the requirements of
the Uniform Guidance. Accordingly, this report is not suitable for any other purpose.
WEAVER AND TIDWELL, L.L.P.
Austin, Texas
February 28, 2018
Page 248 of 297
City of Georgetown, Texas
Schedule of Findings and Questioned Costs
Year Ended September 30, 2017
199
Section 1. Summary of Auditor’s Results
Financial Statements
An unmodified opinion was issued on the financial statements.
Internal control over financial reporting:
Material weakness(es) identified? Yes X No
Significant deficiencies identified that are not
considered to be material weakness(es)? _ Yes X None reported
Noncompliance material to financial statements noted? _Yes X No
Federal Awards
Internal control over major programs:
Material weakness(es) identified? X Yes No
Significant deficiencies identified that are not
considered to be material weakness(es)? _ Yes X None reported
An unmodified opinion was issued on compliance for major programs.
Any audit findings disclosed that are required to be
reported in accordance with Section 2 CFR 200.516(a)? _Yes X No
Identification of major programs:
20.106 Airport Project Participation Agreement
Dollar threshold used to distinguish between type A and type B
programs? $750,000
Auditee qualified as low-risk auditee? _Yes X No
Section 2. Financial Statement Findings
None
Page 249 of 297
City of Georgetown, Texas
Schedule of Findings and Questioned Costs - Continued
Year Ended September 30, 2017
200
Section 3. Federal Award Finding
Finding 2017-001
Federal Program Information: Airport Participation Agreement (CFDA 20.106). This is a repeat finding of
2014-01.
Type of Finding: Material Weakness in Internal Control Over Compliance
Criteria: In accordance with the Uniform Guidance, the auditee shall prepare a Schedule of
Expenditures of Federal Awards (SEFA) to include all federal award amounts expended, properly
identifying the Catalog of Federal Domestic Assistance (CFDA) numbers, and properly identify awards
as belonging to clusters, as applicable.
Condition: During the course of the audit, we identified awards not properly reported on the SEFA as to
the amount expended during the current year.
Context: The auditors noted this condition during the review of the SEFA and through confirmation
procedures with pass-through agencies.
Effect or Potential Effect: Federal expenditures were not properly recorded on the initial SEFA received.
In order to properly select those programs which will be tested as major federal programs in
accordance with the Uniform Guidance, the auditors require complete and accurate information to be
reported on the SEFA. If not completed properly, this could lead to non-compliance for federal awards
and possible financial statement misstatement.
Cause: As a result of the expenditures incurred as part of the Airport Project Participation Agreement
grant being incurred on behalf of the City by a state agency, the City did not properly identify all of the
expenditures incurred for this grant.
Recommendation: Annually, as a part of completing the SEFA, the City should communicate with all
granting agencies to ensure that all federal awards have been properly included in the SEFA.
Corrective Action Plan: See Section 5.
Page 250 of 297
City of Georgetown, Texas
Schedule of Findings and Questioned Costs – Continued
Year Ended September 30, 2017
201
Section 4. Schedule of Prior Audit Findings
None
Page 251 of 297
City of Georgetown, Texas
Schedule of Findings and Questioned Costs – Continued
Year Ended September 30, 2017
202
Section 5. Corrective Action Plan
Finding 2017-001
Planned Corrective Action: The City agrees with the finding. In response, City finance staff has updated
their procedures to verify and report all expenditures on a quarterly basis to be reviewed by the
Controller. Finance staff will also provide compliance and reporting training both to internal staff and to
all departments that currently have or are applying for grants.
Planned Implementation Date: March 31, 2018
Name of Contact Person: Elaine S. Wilson, Controller
Page 252 of 297
City of Georgetown, Texas
Schedule of Expenditures of Federal Awards
For the Fiscal Year Ended September 30, 2017
203
Federal Grantor/Federal Pass-Through Federal
Pass-Through Grantor/CFDA Entity Identifying Program
Program Title Number Number Expenditures
Federal Awards
Bureau of Justice Assistance
Direct Program:
Bulletproof Vest Program 16.607 2,867$
Total Bureau of Justice Assistance 2,867
Department of Transportation /
Federal Highway Administration (FHWA)
Passed through Texas Department
of Transportation:
Highway Planning and Construction 20.205 CSJ-2211-01-019 389,895
Total Department of Transportation /
Federal Highway Administration (FHWA)389,895
Federal Aviation Administration
Passed through Texas Department of
Transportation-Aviation Division:
Airport Project Participation Agreement 20.106 16MPGRGTN 139,622
Airport Project Participation Agreement 20.106 1514GRGTN 5,735,829
Total Federal Aviation Administration 5,875,451
U.S. Department of Homeland Security
Passed through Federal Emergency
Management Agency:
Prehazard Mitigation 97.039 LPDM-PJ-06-TX-2008-011 254,712
Passed through Texas Department of Public Safety:
Emergency Management Performance Grant 97.042 17TX - EMPG-1421 30,724
Total U.S. Department of Homeland Security 285,436
U.S. Department of Housing and Urban Development
Passed through Williamson County:
Community Development Block Grant 14.218 065P Georgetown 80,285
Total U.S. Department of Housing and
Urban Development 80,285
Institute of Museum and Library Services
Passed through from Texas State
Library and Archives Commission:
State Library Program 45.310 LS-00-16-0044-16 61,899
State Library Program 45.310 LS-00-16-0044-17 5,217
Total Institute of Museum and Library Services 67,116
Total Expenditures of Federal Awards 6,701,050$
Page 253 of 297
204
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Page 254 of 297
City of Georgetown, Texas
Notes to the Schedule of Expenditures of Federal Awards
For the Fiscal Year Ended September 30, 2017
205
Note 1. General
The accompanying schedule of expenditures of federal awards presents the activity of all applicable
federal awards of the City of Georgetown, Texas (the City). The City’s reporting entity is defined in
Note 1 to the City’s financial statements. Federal awards received directly from federal agencies as well
as federal awards passed through other government agencies are included in the respective schedule.
The City has not elected to use the 10% de minimis indirect cost rate.
Note 2. Basis of Accounting
The accompanying schedule of expenditures of federal awards is presented using the modified accrual
basis of accounting, which is described in Note 1 to the City’s financial statements.
Note 3. Relationship to Federal Financial Reports
Grant expenditures reports as of September 30, 2017, which have been submitted to grantor agencies
will, in some cases, differ slightly from amounts disclosed herein. The reports prepared for grantor
agencies are typically prepared at a later date and often reflect refined estimates of year-end
accruals. The reports will agree at termination of the grant, as the discrepancies noted are timing
differences.
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206
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City of Georgetown, Texas
City Council Workshop
March 13, 2018
SUBJECT:
P resentation and discussion regarding ame ndments to the Unified Development Co de (UDC) relating to Mobile Fo od
Vendors -- Sofia Ne lson, Planning Director
ITEM SUMMARY:
B ackground:
Mobile food ve nding is a land use that is increasing in popularity across Georgetown and across the country. As we see
interest in mobile foo d vendors increase so to do we see a diversity in the types o f mo bile foo d vendors, site
requirements based o n the type, and the length of stay in one spot based on the business needs of the mobile food ve ndor
or a possible pe rmanent business it is associated with. Fo r the purpose of this presentatio n mo bile vendors may include
food trucks, trailers, and carts. This workshop is a fo llow up to the July 25, 2017 and Se ptember 26, 2017 City Counc il
workshop discussions. Staff is providing an update o n the UDC advisory committe e re c ommendation, stakeholder
outreach process, and is seeking direction on how to bring co nsistency and predictability to the development and
permitting process.
Current Requi rements:
Mobile or Outdoor Fo od Vendor are de fined by the UDC as a vehicle-mounted foo d service establishment that is
designed to be readily movable, including push carts, mo bile kitchens, hot dog carts, pretzel wagons, etc. Foods are
limited to prepackaged or commissary prepare d fo od unless the unit is e quipped and approved by the County He alth
District (WCCHD) to handle foo d preparatio n. Any unit that requires direct hand contact with the food shall have a hand
washing sink.
Devel opment Standard Requi rement
Type of P ermi t Temporary Use Permit
Zoni ng Regul ati on C3, BP, IN, PF, MUDT and MU zoning districts
Durati on Established by the Building Official at the time o f
approval of the Tempo rary Use P ermit. In the e vent
no time limit is established, the duration shall be a
period not to exceed 9 0 days
Stakehol der F eedback:
Concerns were expressed abo ut e nforcement of the times the truc ks wo uld be on-site and how inspectio ns wo uld
occur.
The representatives of the properties using food trucks aske d for a 7 2 hour windows of time before requiring a
temporary use permit.
UDC Advi sory Commi ttee Recommendati on
A full recommendation is included within the attac he d pre sentatio n. Below is a summary o f the UDC advisory committee
recommendatio n.
Transient Use- mobile foo d vendors are recomme nded to be permitted Thursday through Sunday
witho ut a temporary use pe rmit.
Accessory Use- mobile food vendors are recommended to be permitted for 1 year with a
temporary use permit. Lo nge r time periods will require a spe c ial use permit.
P rimary Use- mobile fo od ve ndors are recommend to be permitted with a special use permit.
Mo bile food vendors without a fixed site are recommended to be permitted without a tempo rary
use permit.
Mo bile food vendors seeking to utilize city parks and right o f way shall be permitted with a
Page 257 of 297
special event permit.
FINANCIAL IMPACT:
n/a
SUBMITTED BY:
Sofia Nelson, CNU-A, P lanning Director
ATTACHMENT S:
Description
P res entation
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Mobile Food Vendors
City Council Workshop
March 13, 2018
Page 259 of 297
Purpose of the Presentation
•To gain feedback on the direction to take
with the permitting process for mobile food
vendors
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Presentation Outline
•Part 1-Recap of past presentations
•Part 2-Summary of work with UDC
Advisory Committee
•Part 3-Request Direction from City
Council.
Page 261 of 297
Part 1
How did we get here?
•Recap of Current Requirements
•Recap of previous workshop
Page 262 of 297
Project Timeline
July 25,
2017
City
Council
Workshop
Sept. 26,
2017
City
Council
Workshop
Oct. 11,
2017
UDC
Advisory
Committee
Meeting
Dec.13,
2017
UDC
Advisory
Committee
Meeting
Jan. 10,
2018
UDC
Advisory
Committee
Meeting
Page 263 of 297
Part 1-Recap of Current Regulations
Definition.
Mobile or Outdoor Food Vendor.
A vehicle-mounted food service
establishment that is designed to
be readily movable, including
push carts, mobile kitchens, hot
dog carts, pretzel wagons, etc.
Foods are limited to prepackaged
or commissary prepared food
unless the unit is equipped and
approved by the County Health
District (WCCHD) to handle food
preparation. Any unit that
requires direct hand contact with
the food shall have a hand
washing sink.
Development
Standard
Requirement
Type of Permit Temporary Use Permit
Zoning
Regulation
C3, BP, IN, PF, MUDT and
MU zoning districts
Duration Established by the Building
Official at the time of
approval of the Temporary
Use Permit.In the event no
time limit is established, the
duration shall be a period
not to exceed 90 days
Parking Subject to compliance with
UDC for restaurants
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Part 1-Recap of Previous
Workshop
Vendor without
Fixed Site
Only applies to vendors
that sell at construction
sites, neighborhoods
and special events.
No permit required.
The use of city parks
or ROW would require
a special event permit.
Accessory Use
A mobile food vendor
that supplements a
primary brick and mortar
development.
24 hrs. would not
require a permit
24hrs +Temporary
Use Permit Required
(90 days)
Primary Use
A mobile food vendor
that is the primary use,
and does not need a
brick and mortar
development.
Special Use Permit
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Part 2-
Summary of work with UDC
Advisory Committee
•Outreach
•Recommendation
Page 266 of 297
Part 2-Outreach
•Three meetings held:
-October 11th
-December 13th
–January 10th
•Feedback Received:
–Concerns were expressed about enforcement of the
times the trucks would be on-site and how inspections
would occur
–The representatives of the properties using the food
trucks asked for 72 hour windows of time before
forcing a temporary use permit.
Page 267 of 297
Part 2-Recommendation
Transient
Use
Accessory
Use
Primary Use
Page 268 of 297
Transient Use
May include food trucks that
come to a site for events.
Local Examples: Mesquite
Creek and Rentsch Brewery
Page 269 of 297
Transient Use
Primary Use Required
Connection to Utilities Not Allowed
Time-Trucks permitted Thursday through
Sunday. May not operate when primary use
is closed.
Maximum Number of Food Trucks-2
Permitting-No Permit Required except
when seeking to have a truck outside
of permitted days.
Amenities-Not Permitted
Zoning Districts:
Commercial districts,
Multi-family districts,
Public Facilities,
Industrial, Business
Park, Mixed Use
districts
Site Requirements:
Shall meet location
and parking
requirements
Enforcement:
Complaint based Page 270 of 297
Accessory Use
•Mobile food vendor that supplements a primary
brick and mortar development.
Local Example: Je Suis Coffee on 9th Street
Page 271 of 297
Accessory Use
Primary Use Required
Connection to electric service
permitted
Time-1 year temporary permit. May not
operate when primary use is closed. SUP
required for longer than 1 year.
Maximum Number of Food Trucks-3
Permitting-Temporary Use Permit
Amenities-Tables, Chairs, Restrooms,
Etc.
Zoning Districts:
C-1 and C3 districts,
Industrial, Business
Park, Mixed Use
districts
Site Requirements:
Shall meet UDC
parking
requirements. Site
plan not required.
Enforcement:
Review of
Temporary Use
Permit. Page 272 of 297
Primary Use
•Mobile food vendor(s) that utilize a site that as
the primary use. This may include one mobile
food vendor or developed as food truck park.
Local Examples: Black Box, Morrow Street
food park
Page 273 of 297
Primary Use
Primary Use Not Required
Connection to electric, water and
wastewater required
Time-Permanent
Maximum Number of Food Trucks-
based on site requirements
Permitting-Special Use Permit
Amenities-Temporary and Permanent
Required.
Zoning Districts:
C-1 and C3 districts,
Industrial, Business
Park, Mixed Use
districts
Site Requirements:
Site plan required.
Enforcement:
Review of special
use permit.
Designated park
manager required. Page 274 of 297
Summary of Recommendations
•Transient Use
–Trucks permitted Thursday through Sunday.
May not operate when primary use is closed.
No permit required.
•Accessory Use
–Permitted for 1 year with a temporary use
permit. Longer time periods will require a
special use permit.
•Primary Use
–Permitted with a special use permit.
•Vendor without a fixed site
–No temporary permit required.
•City Parks and ROW
–Special event permit.Page 275 of 297
Part 3
Direction from City Council
Page 276 of 297
Direction
•Does the City Council concur with UDC
Advisory Committee recommendation for
the following:
–Transient Use
–Accessory Use
–Primary Use
Page 277 of 297
City of Georgetown, Texas
City Council Workshop
March 13, 2018
SUBJECT:
P resentation and discussio n regarding the Downto wn West Co nstruction and naming process -- Eric Johnson, CIP
Manager
ITEM SUMMARY:
This is an update re garding the Downto wn West Civic Center proje c t. Specifically, Co uncil will be given an update on the
progress of Co nstruction fo r the renovation of the 19 87 Library and the Georgetown Communication and Technology
(GCAT) buildings.
In addition, staff wo uld like to begin the naming pro cess of the area co mprised of four munic ipal buildings that inc lude
the Downtown We st P roject, Light & Waterworks Building and Library.
FINANCIAL IMPACT:
The contract with the architect, The Lawrence Group was approve on June 9, 2015. The contract with the construc tion
manager, Balfour Beatty, was approved o n April 12, 2016. The Guaranteed Maximum Price was appro ved November 1 4,
2017.
SUBMITTED BY:
Eric Johnson, CIP Manager
ATTACHMENT S:
Description
Do wntown Wes t Up d ate Presentatio n
Page 278 of 297
March 13, 2018
Downtown West
Construction Update/
Naming Process
Page 279 of 297
Background
• November 17, 2017 – Demo Permit Issued
• November 28, 2017 - Ground Breaking
• December 14, 2017 – Notice to Proceed
• January 10, 2018 – Building Permits Issued
City of Georgetown
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City of Georgetown
City
Hall
Page 281 of 297
City of Georgetown
City
Council
Chambers
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City of Georgetown
Time
Lapse
City Hall Time Lapse
Council Chambers Time Lapse
Page 283 of 297
City of Georgetown
Red
Poppy
Plaza
Page 284 of 297
Naming Process
• Downtown West
– Project name, not a location
• Four City Buildings
– City Hall/Council Chambers/Light & Waterworks/Library
• Return to Council in the next several months with
update
City of Georgetown
Page 285 of 297
Next Steps
• Continue Construction
– Foundation for both Buildings – In a few weeks
– Structural Steel – Mid April
• Additional Contracts to Council – Mid-Late Summer
– Audio Visual/Furniture/Data Cabling
• Complete Construction
– December 2018
• Grand Opening
– Early 2019
City of Georgetown
Page 286 of 297
City of Georgetown, Texas
City Council Workshop
March 13, 2018
SUBJECT:
P resentation and discussio n on the Hospice Feasibility Study -- Steve Fought, Councilmember District 4
ITEM SUMMARY:
In 20 17 the City joined with others to dete rmine if, given the demographics of region, there was sufficient demand to
support an in-patient, residential setting, Hospice Facility in the Geo rge to wn Area. The study was c onducted by the
Corridor Group under co ntract to the Georgetown Health Foundation. The study was divided into two phases: Phase -1
was fo cused o n determining if the demand existed; then, if the demand existe d, Phase-2 would fo cus o n implementation.
P hase-1 of the study did no t co nfirm the need for such a facility in the Georgetown are a and therefore Phase-2 was
cancelled. The prese ntation in this session will summarize the results of Phase-1.
BACKGROUND: The City Co uncil contribute d $10,000 toward a 2-phase study of the feasibility of having an in-patie nt,
residential setting, hospice facility in the Georgetown area. Other co ntributo rs/participants in the study included the
Georgetown Health Foundation (through the St David’s Foundatio n), Baylor Scott and White Hospital and Austin Hospice
(Christopher House ).
FINANCIAL IMPACT:
The portion of the mo nies not expended on Phase -1 will be returned to the contributors.
SUBMITTED BY:
Robyn Densmo re on behalf o f Steve Fought, Councilmember District 4
ATTACHMENT S:
Description
Ho s p ice Pres entation
Page 287 of 297
HOSPICE FEASIBILITY STUDY
FINANCIAL PARTICIPANTS
•GEORGETOWN HEALTH FOUNDATION (ST DAVID’S
FOUNDATION)
•CITY OF GEORGETOWN
•BAYLOR SCOTT AND WHITE
•AUSTIN HOSPICE (CHRISTOPHER HOUSE)
Page 288 of 297
HOSPICE FEASIBILITY STUDY
ALSO INTERVIEWED
•WESLEYAN (HOSPICE)•AUTUMN LEAVES•THE DELANEY•ST DAVID’S HOSPITAL•SEATON HOSPITAL*•KINDRED HOSPICE*
*HHQ Declined
Page 289 of 297
HOSPICE FEASIBILITY STUDYTWO PHASES
•DEMAND ASSESSMENT
•IMPLEMENTATION
EXPECTATIONS
•THERE IS A STRONG, UNMET DEMAND
•GEORGETOWN IS A REASONABLE CENTER FOR OPERATIONS
Page 290 of 297
HOSPICE FEASIBILITY STUDY
Well, as it turns out…..
The results of the study indicate that the demand for a Hospice
Care Center (HCCC) in the central location (IH-35 and South
University) would be approximately 1.4 to 2.1 beds at the
General Inpatient (GIP) level of care with the potential for 2.2
to 2.5 additional beds at the Respite or Routine levels of care.
Page 291 of 297
HOSPICE FEASIBILITY STUDY
RECOMMENDATIONS
•Do not proceed with a free‐standing option unless there is an ability to
raise a reserve fund large enough to support losses through interest
income.
•Consider a location within an existing health care facility:•Sufficient space to include family and hospice staff areas•Compliant with Medicare Conditions of Participation licensing and
Life Safety requirements•Maximizes senior population access and minimizes travel time to
area hospitals
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HOSPICE FEASIBILITY STUDYNEXT STEPS
•CLOSE THE BOOKS •PRESENT SUMMARY FINDINGS, ETC.,
TO INTERESTED PARTIES•FACILITATE FURTHER DISCUSSIONS
Page 293 of 297
QUESTIONS/COMME
NTS
Page 294 of 297
City of Georgetown, Texas
City Council Workshop
March 13, 2018
SUBJECT:
Sec. 551.071: Consul tati on w i th Attorney
Advice from attorney abo ut pending or co ntemplated litigation and o ther matters on which the attorney has a duty to
advise the City Council, including agenda items
- Foreclosure matte r Duvall Estate
Sec. 551:074: Personnel Matters
City Manager, City Attorney, City Secretary and Municipal Judge: Consideration of the appointment, employme nt,
evaluation, reassignment, duties, discipline, or dismissal
- City Secretary Evaluatio n
ITEM SUMMARY:
FINANCIAL IMPACT:
NA
SUBMITTED BY:
Shelley Nowling, City Secretary
ATTACHMENT S:
Description
Current Volume & Rate S heet
2014 Permit Volume & Rates
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Page 296 of 297
Page 297 of 297