CAFR_FY Ending_09/30/19991
' Comprehensive Annual Financial Report
Village of Tequesta, Florida
Fiscal Year Ended September 30,1999
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COMPREHENSIVE ANNUAL FINANCIAL REPORT
VILLAGE OF TEQUESTA, FLORIDA
September 30, 1999
Prepared by the Finance Department
VILLAGE OF TEQUESTA, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
September 30, 1999
TABLE OF CONTENTS
Introductory Section
Letter of Transmittal
Certificate of Achievement for Excellence in
Financial Reporting
Village of Tequesta Organization Chart
List of Principal Officials
Financial Section
Independent Auditor's Report
General Purpose Financial Statements
Combined Balance Sheet -All Fund Types and
Account Groups
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances -All Governmental
Fund Types and Expendable Trust Fund
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances -Budget and Actual -
Govemmental Fund Types
Combined Statement of Revenues, Expenses and Changes in
Retained Earnings -Proprietary Fund Type
Combined Statement of Changes in Plan Net Asset -
Pension Trust Funds
Combined Statement of Cash Flows -Proprietary Fund Type
Notes to Financial Statements
Required Supplemental Information
Required Supplemental Information -
Pension Trust Funds
Page
Number
1- 9
10
11
12
13 - 14
15 - 20
21 - 22
23 - 25
26
27
28 - 29
30-71
72 - 74
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VII.LAGE OF TEQUESTA, FLORIDA
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COMPREHENSIVE ANNUAL FINANCIAL REPORT
September 30, 1999
TABLE OF CONTENTS (Continued)
Page
Number
Financial Section (continued)
Supplemental Information
General Fund
Schedule of Revenues -Budget and Actual 75 - 77
Schedule of Departmental Expenditures -
Budget and Actual 78 - 86
Special Revenue Fund
Schedule of Revenues -Budget and Actual 87
Capital Projects Funds
Combining Balance Sheet 88
Combining Statement of Revenues, Expenditures and
Changes in Fund Balance 89
Combining Statement of Revenues, Expenditures and
Changes in Fund Balance -Budget and Actual 90 - 92
Proprietary Funds (Enterprise Funds)
Combining Balance Sheet 93 - 94
.Combining Statement of Revenues, Expenses and Changes
in Retained Earnings 95 - 96
Combining Statement of Revenues, Expenses and
Changes in Retained Earnings -Budget and Actual 97-100
Combining Statement of Cash Flows 101-104
Schedule of Restricted Accounts Under Revenue Bond Ordinance 105
Fiduciary Funds
Combining Balance Sheet 106
Combining Statement of Plan Net Assets 107
Combining Statement of Changes in Plan Net Assets 108
General Fixed Assets
Schedule of General Fixed Assets by Source 109
Schedule of General Fixed Assets by Function 110
Schedule of Changes in General Fixed Assets
By Function 111
Other Supplemental Information
Schedule of Insurance 112
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VILLAGE OF TEQUESTA, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
September 30, 1999
TABLE OF CONTENTS (Continued)
Page
Number
Statistical Section
General Revenues by Source 113-114
General Government Expenditures by Function 115-116
Property Tax Levies and Collections 117
Taxable Value and Just Value of Taxable Property 118-119
Property Tax Rates -All Direct and Overlapping
Governments 120-121
Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt Per Capita 122-123
Computation of Legal Debt Margin 124
Computation of Direct and Overlapping Debt 125
Ratio of Annual Debt Service Expenditures for General
Bonded Debt to Total General Expenditures 126
Revenue Bond Coverage -Water Bonds 127-128
Property Value, Construction and Bank Deposits 129
Principal Taxpayers 130
Miscellaneous Statistics 131
Demographic Statistics 132
Other Reports
Report on Compliance and on Internal Control over
Financial Reporting Based on an Audit of
Financial Statements Performed in Accordance
with Government Auditing Standards 133-134
Management Letter 135-138
Response to Management Letter 139-140
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VII,LAGE OF TEQUESTA, FLORIDA
FINANCIAL STATEMENTS WITH.
INDEPENDENT AUDITOR'S REPORT THEREON
SEPTEMBER 30, 1999
VILLAGE OF TEQUESTA
Post Office Box 3273 • 250 Tequesta Drive • Suite 300
Tequesta, Florida 33469-0273 (561) 575-6200
Fax: (561) 575-6203
March 14, 2000
To the Citizens of the
Village of Tequesta, Florida
The Comprehensive Annual Financial Report ,for the Village of Tequesta, Florida
(Tequesta) for the fiscal year ended September 30, 1999, is hereby submitted. Responsibility for
both the accuracy of the data, and the completeness and fairness of the presentation, including all
disclosures, rests with Tequesta. To the best of our knowledge and belief, the enclosed data is
accurate in all material respects and is reported in a manner designed to present fairly the
financial position and results of operations of the various funds and account groups of Tequesta.
All disclosures necessary to enable the reader to gain an understanding of Tequesta's financial
activities have been included.
The Comprehensive Annual Financial Report is presented in four sections: introductory,
financial, statistical and other reports. The introductory section includes this transmittal letter,
Tequesta's organizational chart and a list of principal officials. The financial section includes the
general purpose financial statements and schedules, as well as the auditor's report on the general
purpose financial statements. The statistical section includes selected financial and demographic
information, generally presented on a multi-year basis. The other reports section includes the
auditor's reports on internal control, compliance and the management letter.
This report includes all funds and account groups of Tequesta. Tequesta provides a full
range of services. These services include police protection; fire and emergency. medical services;
the construction and maintenance of streets, bridges and infrastructure; recreational activities and
cultural events; and the operation of a municipal water supply system, in addition to general
government activities. Tequesta has a contract with a privately owned sanitation company for
refuse and recycling collection service.
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Recycled Paper
ECONOMIC CONDITION AND OUTLOOK
The Village is located at the extreme northeastern quadrant of Palm Beach County.
Tequesta is a relatively affluent residential community with adequate commercial facilities
' necessary to provide goods and services to its residents. Northern Palm Beach County ranks as
one of the top growth areas in the country. Although Tequesta's growth potential is restricted by
the natural boundaries of the Atlantic Ocean to the east, the Loxahatchee River to the west, the
' Town of Jupiter to the south and Martin County to the north, Tequesta's growth potential for the
foreseeable future continues to be favorable.
Property value assessments for fiscal year 1998/99 increased approximately 6.0%. The
Village will continue to monitor property values to ensure that any negative developments will
be immediately addressed with a fiscal policy necessary to maintain the financial integrity of the
' Village's financial position, while keeping in mind the level of services provided and the
associated tax burden of our citizens.
' MAJOR INITIATIVES
The Village continued its strategies to facilitate appreciation of property values through
enforcement and compliance with existing building and zoning codes of the municipality. Policy
makers have previously determined that efforts should be taken to help stimulate appreciation of
' property values and promote quality growth within the Village while addressing program
enhancements in a planned and coordinated manner in keeping with the anticipated growth of the
' tax base. The Village Management addressed such concerns by the following actions:
• Enforced compliance measures for retroactive landscape requirements for
' commercial and multi-family residential properties to enhance appearance of
properties and increase property values pursuant to a fully amortized Ordinance
requiring the same.
' Addressed facility needs with preliminary designs of police and fire-rescue
facilities.
' Continued with construction of reverse osmosis water treatment facility, the
contract for which was issued in March 1998, to ensure an adequate supply of
t potable water for projected increased demand in the Tequesta water service area.
• Completed storm water drainage enhancements for Seabrook Road and Tequesta
' Drive drainage basins.
Successfully defended Tequesta's rights under the Bulk Service Agreement with
the Town of Jupiter for the provision of bulk water to augment that produced from
Tequesta sources. The Town of Jupiter had sought to raise rates 98% outside the
scope of the Agreement. Judge James Carlisle, Palm Beach County 15th Judicial
Circuit, ruled. in Tequesta's favor in August of 1997. The Town of Jupiter
appealed. The Fourth District Court of Appeals reaffirmed the lower Court's
decision on July 29, 1998. The Town of Jupiter filed for a re-hearing on August
12, 1998, which was denied in Fall 1998.
INFRASTRUCTURE MAINTENANCE AND EXPANSION
Maintenance and expansion of the community's general infrastructure (such as roads,
bridges, sidewalks and storm water drainage systems), streetscape beautification projects,
expansion of potable water treatment facilities and development/redevelopment of the Tequesta
Village Center is a priority of Tequesta. To address this concern, the government has developed
a five-year capital projects plan that provides a framework for the development and maintenance
of infrastructure to meet current and future needs.
This plan is revised each budget year in keeping with the priorities and needs of Tequesta.
Also, changes affecting budget projections may require changes to the capital projects plan that
will enable Tequesta to maintain adequate cash reserves and required fund balances.
The 1999 Capital Improvement Fund expenditures for capital outlay totaled $157,056 for
the following improvements:
Transportation and Drainage Improvements
Swale Construction $60,684
Country Club Drive Landscaping 64,061
Seabrook Road Improvements 24.653
Total Transportation and Drainage Improvements
Culture and Recreation Improvements
Recreation Center Sign 7.658
Total Culture and Recreation Improvements
Total Capital Improvement Fund Improvements
$149,398
7.658
157 056
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The 1999 Capital Projects Fund expenditures for capital outlay totaled $1,489,147 for the
following improvements:
General Government Improvements
Central Business District Redevelopment $1,489,147
Total General Government Improvements
$1,489.147
The 1999 Storm Water Utility Enterprise Fund expenses for capital additions totaled
$129,286 for the following additions:-
' Tequesta Diversion Project $120,553
Fairview Drive Drainage 8,733
' Total Storm Water Utility Fund Additions 129 286
' The 1999 Water Enterprise Fund expenses for capital additions totaled $5,280,374 for the
following additions:
' GIS System $ 12,499
R/O Plant 4,032,950
' R/O Wells
R/O Effluent Disposal 521,629
490,073
Capitalized Interest 223.223
' Total Water Enterprise Fund Additions $5,280,374
' FINANCIAL INFORMATION
' The management of the government is responsible for establishing and maintaining an
internal control structure designed to ensure that the assets of the government are protected from
loss, theft or misuse and to ensure that adequate accounting data are compiled to allow for the
' preparation of the financial statements in conformity with generally accepted accounting
principles. The internal control structure is designed to provide reasonable, but not absolute,
assurance that these .objectives are met. The concept of reasonable assurance recognizes that:
' (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation
of costs and benefits requires estimates and judgments by management.
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Budgetary Controls
In addition to conforming to generally accepted accounting principles, Tequesta
maintains budgetary controls. The objective of these budgetary controls is to ensure compliance
with legal provisions embodied in the annual appropriated budget approved by the Village
Council. Activities of the General Fund, Special Revenue Fund, Capital Project Funds and
Enterprise 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 at the individual fund level. The government also maintains an encumbrance
accounting system as one technique of accomplishing budgetary control. Encumbered amounts
lapse at year-end. However, encumbrances are generally re-appropriated as part of the following
year's budget. As demonstrated by the statements and schedules included in the financial section
of this report, Tequesta continues to meet its responsibility for sound financial management.
General Government Functions
Revenues
The following schedule presents a summary of General Fund, Special Revenue Fund,
Capital Project Funds, and the Expendable Trust Fund revenues for the fiscal year ended
September 30, 1999, and the amount and percentage of increases and decreases in relation to
prior year revenues.
Increase Percentage
Percent (Decrease) of Increase
Source Amount of Total From 1998 ecrease
Taxes $3,784,810 72.41 $241,927 6.82%
Licenses and Permits 104,428 1.99 15,225 17.06
Intergovernmental 532,558 10.16 46,910 9.65
Charges for Services 300,073 5.75 26,294 9.60
Fines and Forfeits 71,780 1.37 (2,861) (3.83)
Interest Income 132,972 2.53 41,187 44.87
Miscellaneous 13,795 .03 5,229 61.04
Impact Fees 95,288 1.81 93,763 6,148.39
Intergovernmental Services 207,487 3.95 16.837 8.83
Total Revenues $5,243.191 100.00% 484 511 10.18%
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Taxes accounted for the major source of revenues in actual resources received for 1999.
Tax revenues consist of three district revenue sources: ad valorem (property taxes), franchise
fees and utility service taxes. The ad valorem property tax rate for 1999 was 6.7305 mills, an
increase of 1.4% over the previous year millage rate of 6.6310 mills. Property values also
' increased 6.0% over the previous year valuation.
Expenditures
1 The following schedule presents a summary of General Fund, Special Revenue Fund,
Capital Projects Funds, and the Expendable Trust Fund expenditures for the fiscal year ended
' September 30, 1999, and the amount and percentage of increases and decreases in relation to
prior year amounts:
t Increase Percent of
Percent (Decrease) Increase
Purpose Amount of Total From 1998 ecrease
'
General Government $ 839,914 13.39% $ (124,709) (12.93)%
Public Safety 2,671,668 42.66 99,284 3.85
' Transportation 296,321 4.72 (117,180) (28.33)
Human Services 2,984 .O1 1,729 137.76
Culture/Recreation 239,017 3.81 (4,751) (1.94)
Capital Outlay 1,811,211 28.88 1,443,315 392.31
Debt Service 409,917 6.53 157,688 62.51
Total Expenditures $ 6,271,032 100.00% $1,455,376 30.22%
Our analysis of the expenditure data presented indicates continued efforts must be taken
by Tequesta to constrain the rising costs of providing governmental services without reducing the
level of services currently being provided. Alternative revenue sources must be explored such
as: expanding the property tax base by growth and developm ent in the community and possibly
' implementing user fees for appropriate government services.
' General Fund Balance
' The undesignated balance of the General Fund was $1,341,257 as of September 30, 1999,
which is adequate to provide the capital- resources necessary for government operations. It is
unlikely that Tequesta will enter the short-term debt market to pay for current operating
' expenditures.
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Proprietary Operations
Water Operations
Tequesta's water utility operations are reported in the Water Enterprise Fund. Tequesta's
potable water system consists of a 2.73 million gallon per day water treatment plant and a
distribution system of approximately 50 miles of water mains and water storage facilities with a
capacity of 1.75 million gallons. Tequesta also purchases 1.5 million gallons of water per day,
the contracted minimum, at a bulk rate from the Town of Jupiter, Florida. The current agreement
extends through July 15, 2007.
Revenues and Increase Percent of
Water Consumption 1999 1998 (Decrease) Increase
1.000 Gallons Amount Amount From 1998 Decrease
Water Sales $3,630,160 $3,205,550 $424,610 13.25%
Total Water Consumption 941,455 886,950 54,505 6.14%
Average and Daily Consumption 2.670 mil 2.430 mil .24 9.87%
Fiduciary Operations
Tequesta's fiduciary operations consist of an Expendable Trust Fund which was
established to account for forfeitures received by the Police Department.
In 1996, Tequesta established a Pension Trust Fund to account for the Village Employees'
Pension Trust Fund.
Debt Administration
The Debt Service Fund was closed on September 30, 1994. Future debt service payments
will be reported in the Special Revenue Fund, for retirement of the Improvement Revenue
Refunding Bonds Series 1994, in the amount of $1,365,000, dated June 24, 1994.
Tequesta has a legal debt limit established by Section 6.02 of the Village Charter. The
aggregate indebtedness regardless of type (general obligation bonds, revenue bonds or special
assessment bonds) cannot exceed 10% of the assessed taxable value of real property located
within Tequesta. As of September 30, 1999, taxable real property within Tequesta was assessed
at $391,373,771.
As of September 30, 1999, Tequesta's net bonded debt was $964,126, the ratio of net
bonded debt to taxable value was .24%, and the net bonded debt per capita was $188.23.
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Cash Management
Tequesta maintains two pooled cash accounts known as the general corporation
investment account and the water enterprise investment account. The Finance Director monitors
cash requirements and the Village Manager upon recommendation from the Finance Director
approves temporary idle cash for investment. The investment policy of Tequesta is to maximize
its investments in high quality risk-free securities authorized by State statutes, while maintaining
a competitive yield on its portfolio.
Tequesta's investments for the current year consisted of deposits with the State Board of
Administration -Local Government Surplus Funds Trust Fund Investment Pool, obligations of
the U.S. government, amounts held by an outside custodian on behalf of the .Pension Trust
Funds. Investments with the State Board of Administration consist of obligations of the U.S.
Treasury and its agencies, money market securities of highest quality such as commercial paper,
banker's acceptance, corporate notes and repurchase agreements. Because of the short maturities
and high quality, securities in this fund are considered practically risk free.
On September 30, 1999,- investments held by Tequesta totaled $11,984,949, which is
detailed in Note 2, (Notes to Financial Statements). The average yield on short-term surplus
operating funds investments maturing during the year was 5.11 %.
t Risk Management
' During 1999, Tequesta continued using third-party insurance coverage for its Risk Management
Program. A detailed list of insurance in effect is contained in the Schedule of Insurance on
page 112 of this report.
OTHER INFORMATION
Independent Audit
Florida state statutes require an annual audit by independent certified public accountants.
The accounting firm of Nowlen, Holt & Miner, P.A., CPA's, was selected to conduct Tequesta's
audit. The auditor's report on the general purpose financial statements is included in the financial
' section of this report.
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Awards
The Government Finance Officers Association (GFOA) awarded a Certificate of
Achievement for Excellence in Financial Reporting to Tequesta for its comprehensive annual
financial report for the fiscal year ended September 30, 1998. This was the sixteenth consecutive
year that Tequesta has received this prestigious award. In order to be awarded a Certificate of
Achievement, Tequesta had to publish an easily readable and efficiently organized
comprehensive annual financial report. This report satisfied both generally accepted accounting
principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year. We believe that our current
comprehensive annual financial report continues to meet the Certificate of Achievement
Program's requirements and we are submitting it to the GFOA to determine its eligibility for
another certificate.
Acknowledgements
The preparation of the Comprehensive Annual Financial Report on a timely basis was
made possible by the dedicated service of the entire staff of the Finance Department. Each
member of the department has our sincere appreciation for the contributions made in the
preparation of this report.
In closing, without the leadership and support of the Village Council of the Village of
Tequesta, preparation of this report would not have been possible.
Sincerely,
a~
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Thomas G. Bradford Connie Holloman
Village Manager Finance Director
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Certificate of
Achievement
for Excellence
in Financial
F~eporting
Presented to
Village of Tequesta,
Florida
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30, 1998
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
aZ ~ ~~ b~.~~j/
C~~ President
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Executive Director
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VILLAGE OF TEQUESTA, FLORIDA
Council -Manager Form of Government
VILLAGE COUNCIL -1998-1999
Ron T. Mackail Mayor
Elizabeth A. Schauer Vice-Mayor
Carl L. Hansen Councilmember
Joseph N. Capretta Councilmember
Basil E. Dalack Councilmember
Thomas G. Bradford
John C. Randolph
(Jones, Foster, Johnston &
Stubbs, P.A.)
Joann Manganiello
Connie Holloman
James M. Weinand
Stephen J. Allison
Scott D. Ladd
Gary Preston
Matthew Morrison
VILLAGE OFFICIALS
Village Manager
Village Attorney
Assistant Village Manager/
Village Clerk
Director of Finance
Fire Chief
Police Chief
Director of Community Development
Director of Public Works
& Recreation
Utilities Director
INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
Nowlen, Holt & Miner, P.A.
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Al H
&M
EVERETT B. NOWLEN (i saa-isea), CPA
EDWARD T HOLT, CPA
WILLIAM B. MINER, CPA
ROBERT W. HENDRIX, JR., CPA
JANET R. BARICEVICH, CPA
MARK B. ELHILOW, PFS, CPA
KATHLEEN A. MINER, CPA
R. GREGORY SMITH, CPA
ROBERT W HELMREICH, CPA
TERRY L. MORTON, JR., CPA
N. RONALD BENNETT, CPA
J. MICHAEL STEVENS, CPA
DANIELA' E. RUSSELL, CPA
RICHARD M. SOTHEN, CPA
DANIEL A. KIRCHMAN, CPA
BELLE GLADE OFFICE
333 S. E. 2nd STREET
POST OFFICE BOX 338
BELLE GLADE, FLORIDA 33430-0338
TELEPHONE (561) 996-5612
FAX (561) 996-6248
NOwLEN, HOLT & MINER, P.A.
CERTIFIED PUBLIC ACCOUNTANTS
WEST PALM BEACH OFFICE
215 FIFTH STREET, SUITE 200
POST OFFICE BOX 347
WEST PALM BEACH, FLORIDA 33402-0347
TELEPHONE (561) 659-3060
FAX (561) 835-0628
INDEPENDENT AUDITOR'S REPORT
The Honorable Mayor and Village Council
t Village of Tequesta
Village of Tequesta, Florida
We have audited the accompanying general purpose financial statements of the Village of Tequesta,
Florida, as of and for the year ended September 30, 1999, as listed in the table of contents. These
general purpose financial statements are the responsibility of the Village's management. Our
responsibility is to express an opinion on these general purpose financial statements based on our
audit.
We conducted our audit in accordance with generally accepted auditing standards 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 of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable basis for our opinion.
In our opinion, the general purpose financial statements referred to above present fairly, in all
material respects, the financial position of the Village of Tequesta, Florida as of September 30,
1999, and the results of its operations and the cash flows of its proprietary fund type for the year
then ended in conformity with generally accepted accounting principles.
In accordance with Government Auditing Standards, we have also issued a report dated January 25,
2000, on our consideration of the Village's internal control over financial reporting and our tests of
its compliance with certain provisions of laws, regulations, contracts and grants.
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' AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS • FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS • ACCOUNTING FIRMS ASSOCIATED INC.
Our audit was conducted for the purpose of forming an opinion on the general purpose financial '
statements taken as a whole. The supplemental information listed in the table of contents are
presented for purposes of additional analysis and are not a required part of the general purpose '
financial statements of the Village of Tequesta, Florida. Such information has been subjected to the
auditing procedures applied in the audit of the general purpose financial statements and, in our
opinion, is fairly presented in all material respects in relation to the general purpose financial t
statements taken as a whole.
We did not examine the statistical data as set forth in the table of contents and, therefore, express no '
opinion thereon.
7~z.-. ueE+~ e d. 1
January 25, 2000
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GENERAL PURPOSE FINANCIAL STATEMENTS
VILLAGE OF TEQUESTA, FLORIDA
Combined Balance Sheet -
All Fund Types and Account Groups
September 30,1999
Assets and other debits
Cash and cash equivalents
Investments
Accounts receivable
(Net of allowance for uncollectibles)
Due from other funds
Due from other governments
Prepaids
Inventories of supplies
Restricted assets
Cash and cash equivalents
Investments
Other assets
Fixed assets
Amount to be provided for retirement of
general long-term debt
Total assets and other debits
Governmental Fund Types
General
Special Capital
Revenue Projects
$ 24,968 $ 7,393
1,923,326 109,040
143,723 2,772
11,000
3,277
12,296
$ 353
353,886
$ 2,118,590 $ 119,205 $ 354,239
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Proprietary Fiduciary
Fund Type Fund Type Account Groups
General General
Fixed Long-Term (Memorandum
Enterprise Trusts Assets Debt Only)
$ 1,037,226
3,578,150
326,621
4,088
95,000
3,027
27,025
453,718
3,749,715
108,797
13,376,435
$ 13,568
1,270,902
14,392
5,115,049
1,083,508
7,235,304
487,508
15,088
95,000
6,304
39,321
453,718
3,749,715
108,797
18,491,484 _
3,294,650 3,294,650
$ 22,759,802 $ 1,298,862 $ 5,115,049 $ 3,294,650 $ 35,060,397
See notes to financial statements.
(Continued)
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VILLAGE OF TEQUESTA, FLO1tIDA
Combined Balance Sheet -
All Fund Types and Account Groups
September 30,1999
(Continued)
Governmental Fund Types
Special Capital
General Revenue Projects
Liabilities, equity and other credits
Liabilities
Accounts payable
Accrued liabilities
Payable from restricted assets
Deposits
Due to other funds
Due to other governments
Deferred revenue
Current portion of:
Notes payable
Water revenue bonds payable
Credit line
Compensated absences
Obligations under capitalized leases
Notes payable
Improvement revenue bonds payable
Water revenue bonds payable
Total liabilities
$ 53,754 $ $ 981
118,860
4,088
12,157
43,331
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188,859 43,331
981
Proprietary Fiduciary
Fund Type Fund Type
Enterprise Trust
Account Groups
General General
Fixed Long-Term (Memorandum
Assets Debt Only)
$ 246,216 $ 436 $ $ $ 301,387
58,310 177,170
263,090 263,090
11,000 15,088
18,092 30,249
784 44,115
4,168 4,168
135,000 135,000
1,520,137 1,520,137 ~
100,269 335,284 435,553 ~
390,781 390,781 /~
104,393 8,448 112,841 /
1,040,000 1,040,000 ~'`
7,611,040 7,611,040 „r'
8,541,362 11,436 3,294,650 12,080,619
See notes to financial statements.
(Continued)
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VILLAGE OF TEQUESTA, FLORIDA
Combined Balance Sheet -
All Fund Types and Account Groups
September 30,1999
(Continued)
Equity and other credits
Investments in general fixed assets
Contributed capital
Retained earnings
Reserved for:
Capital improvements
Renewal and replacement
Debt service
Unreserved
Fund balances
Reserved for:
Inventory & prepaids
Law enforcement and fire rescue
Employees' pension benefits
Recreation and parks
Encumbrances
Unreserved designated for:
Compensated absences
Disaster emergency relief
Road project
Central business district redevelopment
Undesignated
Total equity and other credits
Total liabilities, equity and other credits
Governmental Fund Types
General
15,573
60,214 ~~
86,766
38,993
67,057
50,000 ~-°'
29,120 --
240,751
1,341,257 ~°
Special Capital
Revenue Projects
122,627
155,370
75,261
1,929,731 75,874 353,258
$ 2,118,590 $ 119,205 $ 354,239
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Proprietary Fiduciary
Fund Type Fund Type Account Groups
General General
Fixed Long-Term (Memorandum
Enterprise Trust Assets Debt Only)
$ $
5,036,993
3,722,296
163,069
54,978
5,241,104
18,755
1,268,671
$ 5,115,049 $
5,115,049
5,036,993
3,722,296
163,069
54,978
5,241,104
15,573
78,969
1,268,671
86,766
161,620
67,057
50,000
184,490
240,751
1,492,392
14,218,440
$ 22,759,802
1,287,426 5,115,049 22,979,778
$ 1,298,862 $ 5,115,049 $ 3,294,650 $ 35,060,397
See notes to financial statements.
20
VII~LAGE OF TEQUESTA, FLORIDA
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances -
All Governmental Fund Types and Expendable Trust Fund
For the Fiscal Year Ended September 30,1999
Governmental Fund Types
Special Capital
General Revenue Projects
Revenues
Taxes $3,432,903 $351,907 $
Licenses and permits 11,611 92,817
Intergovernmental 532,558
Charges for services 300,073
Fines and forfeitures 58,936
Interest 105,606 10,339 16,676
Miscellaneous 10,985 2,810
Impact fees 95,288
Intragovernmental 207,487
Total revenues 4,755,447 455,063 19,486
Expenditures
Current
General government 839,914
Public safety 2,671,668
Transportation ~ 296,321
Human services 2,984
Culture/Recreation 239,017
Capital outlay 164,023 1,646,203
Debt service
Principal retirement 74,542 75,000 96,783
Interest 27,315 68,370 67,907
Total expenditures 4,315,784 143,370 1,810,893
Excess of revenues over (under) expenditures 439,663 311,693 (1,791,407)
Other financing sources (uses)
Debt proceeds/notes payable 18,007 1,565,571
Operating transfers in 425,890 60,300 291,119
Operating transfers out (240,619) 344,990
Total other financing sources (uses) 203,278 284,690 1,856,690
Excess of revenues and other sources over
expenditures and other uses 642,941 27,003 65,283
Fund Balances, October 1, 1998 1,286,790 48,871 287,975
Fund Balances, September 30, 1999 $1,929,731 $ 75,874 $ 353,258
21
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Fiduciary
Fund Tye Totals
Expendable (Memorandum
Trust Fund Only)
$ $ 3,784,810
104,428
532;558
300,073
12,844 71,780
351 132,972
13,795
95,288
207,487
13,195 5,243,191
839,914
2,671,668
296,321
2,984
239,017
985 1,811,211
246,325
163,592
985 6,271,032
12,210 (1,027,841)
1,583,578
777,309
(585,609)
1,775,278
12,210 747,437
6,545 1,630,181
$ 18,755 $ 2,377,618
See notes to financial statements.
22
VILLAGE OF TEQUESTA, FLORIDA
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances -Budget and Actual
Governmental Fund Types
For the Fiscal Year Ended September 30,1999
Revenues
Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Interest
Miscellaneous
Impact fees
Intragovernmental
Total revenues
Expenditures
Current
General government
Public safety
Transportation
Human services
Culture/Recreation
Capital outlay
Debt service
Principal retirement
Interest
Total expenditures
Excess of revenues over (under) expenditures
Other financing sources (uses)
Debt proceeds/notes payable
Operating transfers in
Operating transfers out
Total other financing sources (uses)
Excess of revenues and other sources over
(under) expenditures and other uses
Fund Balances, October 1, 1998
Fund Balances, September 30, 1999
General Fund
Variance
Favorable
Budget Actual (Unfavorable)
$ 3,329,030 $ 3,432,903 $ 103,873
12,000 11,611 (389)
517,514 532,558 15,044
283,735 300,073 16,338
66,000 58,936 (7,064)
80,000 105,606 25,606
5,000 10,985 5,985
41,340 95,288 53,948
202,960 207,487_ 4,527
4,537,579 4,755,447 217,868
951,249 839,914 111,335
2,766,672 2,671,668 95,004
409,810 296,321 113,489
4,850 2,984 1,866
252,660 239,017 13,643
199,466 164,023 35,443
74,886 74,542 344
27,562 27,315 247
4,687,155 4,315,784 371,371
(149,576) 439,663 589,239
18,007 18,007
425,890 425,890
(364,523) (240,619) 123,904
61,367 203,278 141,911
$ (88,209) 642,941 $ 731,150
1,286,790
$1;929,731
23
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Special Revenue Fund Capital Project Funds
Variance Variance
Favorable Favorable
Budget Actual (Unfavorable) Budget Actual (Unfavorable)
$ 338,705 $ 351,907 $ 13,202 $ $ $
78,000 92,817 14,817
10,339 10,339 4,000 16,676 12,676
2,810 2,810
416,705 455,063 38,358 4,000 19,486 15,486
2,133,450 1,646,203 487,247
75,000 75,000 97,001 96,783 218
68,575 68,370 205 73,400 67,907 5,493
143,575 143,370 205 2,303,851 1,810,893 492,958
273,130 311,693 38,563 (2,299,851) (1,791,407) 508,444
1,915,501 1,565,571 (349,930)
60,300 60,300 415,023 291,119 (123,904)
(344,990) (344,990)
(284,690) 284,690 2,330,524 1,856,690 (473,834)
$ (11,560) 27,003 $ 38,563 $ 30,673 65,283 $ 34,610
48,871 287,975
$ 75,874 $ 353,258
See notes to financial statements.
(Continued)
24
VILLAGE OF TEQUESTA, FLORIDA
Combined Statement of Revenues, Expenditures and
Changes in Fund Balances -Budget and Actual
Governmental Fund Types
For the Fiscal Year Ended September 30,1999
(Continued}
Revenues
Taxes
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Interest
Miscellaneous
Impact fees
Inteagovemmental
Total revenues
Expenditures
Current
General government
Public safety
Transportation
Human services
Culture/Recreation
Capital outlay
Debt service
Principal retirement
Interest
Total expenditures
Excess of revenues over (under) expenditures
Other financing sources (uses)
Debt proceeds/notes payable
Operating transfers in
Operating transfers out
Total other financing sources (uses)
Excess of revenues and other sources over
(under) expenditures and other uses
Fund Balances, October 1, 1998
Fund Balances, September 30, 1999
Totals (Memorandum Only)
Variance
Favorable
Budget Actual (Unfavorable)
$ 3,667,735 $ 3,784,810 $ 117,075
90,000 104,428 14,428
517,514 532,558 15,044
283,735 300,073 16,338
66,000 58,936 (7,064)
84,000 132,621 48,621
5,000 13,795 8,795
41,340 95,288 53,948
202,960 207,487 4,527
4,958,284 5,229,996 271,712
951,249 839,914 111,335
2,766,672 2,671,668 95,004
409,810 296,321 113,489
4,850 2,984 1,866
252,660 239,017 13,643
2,332,916 1,810,226 522,690
246,887 246,325 562
169,537 163,592 5,945
7,134,581 6,270,047 864,534
(2,176,297) (1,040,051) 1,136,246
1,915,501 1,583,578 (331,923)
901,213 777,309 (123,904)
(709,513) (585,609) 123,904
2,107,201 1,775,278 (331,923)
$ (69,096) 735,227 $ 804,323
1,623,636
$ 2,358,863
1
See notes to financial statements.
25 '
VILLAGE OF TEQUESTA, FLORIDA
Combined Statement of Revenues, Expenses and
Changes in Retained Earnings -Proprietary Fund Type
' For the Fiscal Year Ended September 30,1999
Proprietary
Fund Type
' Enterprise
Operating revenues
Charges for services $ 4,246,016
' Licenses and permits 746,757
Total operating revenues 4,992,773
' Operating expenses
Purchased services 977,366
Personal services 864,442
Professional services 379,585
Contractual services 125,448
Travel and per diem 8,717
Management services 194,235
' Office supplies 35,046
Operating supplies 81,417
' Repairs and maintenance
Utilities 148,063
108,020
Insurance 34,560
Other 24,583
' Depreciation 396,122
Total operating expenses 3,377,604
Operating income (loss) 1,615,169
' Nonoperating revenues (expenses)
Interest income 572,072
' Net decrease in fair value of investments
Interest expense and fiscal charges (86,811)
(289,505)
Community aid donation (6,000)
Gain on sale of land 16,937
Total nonoperating revenues (expenses) 206,693
Income before operating transfers 1,821,862
Operating transfers
Operating transfers in 83,600
Operating transfers out (275,300)
Total operating transfers in (out) (191,700)
Net income 1,630,162
r Retained earnings, October 1, 1998 7,551,285
Retained earnings, September 30, 1999 $ 9,181,447
See notes to financial statements.
26
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VILLAGE OF TEQUESTA, FLORIDA
Combined Statement of Changes in Plan Net Assets
Pension Trust Funds
Fiscal Year Ended September 30,1999
Additions
Contributions
Employer
Plan members
Other
Total contributions
Investment income
Net appreciation in fair value of investments
Interest and dividends
Net investment income
Total additions
Deductions
Refunds of contributions
Investment expense
Administrative expense
Total deductions
Net Increase
Fund balance reserved for employees' pension benefits,
October 1, 1998
Fund balance reserved for employees' pension benefits,
September 30, 1999
See notes to financial statements.
27
$ 145,636
56,407
64,913
266,956
94,904
35,623
130,527
397,483
44,542
12,046
6,883
63,471
334,012
934,659
$1,268,671
VILLAGE OF TEQUESTA, FLORIDA
Combined Statement of Cash Flows -Proprietary Fund Type
For the Fiscal Year Ended
September 30,1999
Proprietary
Fund Type
Enterprise
Cash flows from operating activities
Net operating income $ 1,615,169
Adjustments to reconcile operating income to
net cash provided by operating activities
Depreciation 396,122
Changes in assets and liabilities
(Increase) decrease in:
Accounts receivable 10,164
Due from other funds 22,696
Prepaids (3,027)
Inventories (9,965)
Increase (decrease) in:
Accounts payable 72,343
Accrued liabilties (9,089)
Deposits 14,350
Deferred revenue (1,685,960)
Compensated absences (15,174)
Due to other funds (9,475)
Due to other governments 615
Net cash provided by operating activities 398,769
Cash flows from noncapital financing activities
Operating transfers from other funds 83,600
Operating transfers to other funds (275,300)
Grant revenue 135,826
Contribution (6,000)
Net cash (used) for noncapital financing activities (61,874)
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Cash flows from capital and related financing activities
Capital contributions
Acquisition and construction of fixed assets
Proceeds from land sale
Revenue bonds proceeds
Principal paid on notes payable
Interest paid on notes payable
Interest paid on revenue bonds
Fiscal charges paid on revenue bonds
Payment on construction contracts
Net cash (used) for capital and related
financing activities
Cash flows from investing activities
Purchases of investments
Interest received on investments
Net cash provided by investing activities
Net increase in cash and cash equivalents
Cash and cash equivalents, October 1, 1998
Cash and cash equivalents, September 30, 1999
Noncash Lnvesting,~nital and Financing Activities
Capital grant receivable
Noncash capital contribution from developers
Net decrease in fair value of investments
See notes to financial statements.
29
Proprietary
Fund Type
Enterprise
$ 493,242
(5,290,941)
16,937
108,000
(11,968)
(99,588)
(389,740)
(3,830)
(86,689)
(5,264,577)
4,560,059
568,435
5,128,494
200,812
1,290,132
$ 1,490,944
$ 95,000
$ 16,500
$ (86,811)
NOTES TO FINANCIAL STATEMENTS '
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' VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
' September 30,1999
' NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
' The Reporting Entity
The Village of Tequesta, Flonda is a municipal corporation organized in 1957 pursuant to Special
' Act 57-1915, Laws of Florida. The Village has aCouncil-Manager form of government. The
Village's major operations include public safety (police, fire rescue/EMS), streets and roads,
culture and recreation, public improvements, planning and zoning, water service and general and
administrative.
In accordance with Statement 14 of the Government Accounting Standards Board, the underlying
concept of the governmental financial reporting entity is that governmental organizations are
responsible to elected governing officials; therefore, financial reporting should report the elected
officials' accountability for those organizations. Furthermore, the financial. statements of the
' reporting entity should allow users to distinguish between the primary governments and its
component units (if any) by communicating information about the component units and their
relationships with the primary government. A component unit is a legally separate organization for
' which the elected officials of the primary government are financially accountable. Determining
factors of financial accountability include appointment of a voting majority, imposition of will,
financial benefit or burden on a primary government or fiscal dependency. In addition, component
' units can be other organizations for which the nature and significance of their relationship with a
primary government are such that exclusion would cause the reporting entity's financial statements
to be misleading or incomplete.
' Based upon application of these criteria, the Village of Tequesta has determined that except for the
Village Employees' Retirement System, there are no additional governmental departments,
' agencies, institutions, commissions, public authorities or other governmental organizations
operating within the jurisdiction of the Village that would be required to be included in the general
purpose financial statements of the Village.
' The Village Employees' Retirement S stem
1, The Village's full-time firefighters and any new hire employees on or after
January 1, 1996, are eligible to participate in the Village Employees' Retirement
System (the "Plan"). The Plan functions for the benefit of these employees and is
' governed by a seven member board, of which the Village Council appoints three
members. The Village and Plan members are obligated to fund all Plan costs based
upon actuarial valuations. The Village funds the difference between member and
other contributions -and the actuarial cost. Considering these factors, it has been
30
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
The Reporting Entity (Continued)
The Village Employees' Retirement S stem (Continued)
determined that the Plan is fiscally dependent on the Village of Tequesta, which
makes the Plan a component unit of the Village. Since the Plan provides services
exclusively for the benefit of the Village, the Plan is reported as a blended
component unit, specifically as the Village Employees' Retirement System. This
component unit does not issue a stand alone financial report.
Basis of Presentation -Fund Accounting
The government uses funds and account groups to report on its financial position and the results of
its operations. Fund accounting is designed to demonstrate legal compliance and to aid financial
management by segregating transactions related to certain government functions or activities.
A fund is a separate accounting entity with aself-balancing set of accounts. An account group, on
the other hand, is a financial reporting device designed to provide accountability for certain assets
and liabilities that are not recorded in the fixnds because they do not directly affect net expendable
available financial resources.
Funds are classified into three categories: governmental, proprietary and fiduciary. Each category,
in turn, is divided into separate "fund types".
The following are the fund categories, funds and account groups used by the Village:
Governmental Fund Types
Governmental funds are used to account for all or most of a government's general
activities, including the collection and disbursement of earmarked monies (special
revenue funds) and the acquisition or construction of general fixed assets (capital
projects funds). The general fund is used to account for all activities of the general
government not accounted for in some other fund.
The Special Revenue Fund accumulates certain revenues as required by the
Improvement Revenue Refunding Bonds, Series 1994. These revenues include
franchise fees and occupational licenses.
31
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VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Governmental Fund Types (Continued)
The Capital Projects Funds are used to account for financial resources to be used
for the acquisition or construction of major capital facilities (other than those to be
financed by the Enterprise Funds).
The Village has established the following three capital projects funds:
Bond Construction Fund
' Capital Improvement Fund
Capital Projects Fund
All capital projects funds were established to be used for capital expenditures
required by continued growth of the Village.
Proprietary Fund Types
Enterprise Funds
Enterprise Funds are used to account for operations (a) that are financed and
operated in a manner similar to private business enterprises -where the intent of the
governing body is that the costs (expenses, including depreciation) of providing
goods or service to the general public on a continuing basis be financed or recovered
primarily through user charges; or (b) where the governing body has decided that
periodic determination of revenues earned, expenses incurred, and/or net income is
appropriate for capital maintenance, public policy, management control,
accountability or other purposes.
The Village has established four Enterprise Funds as follows:
Community Development Fund
Storm Water Utility Fund
Refuse and Recycling Fund
Water Fund
32
VILLAGE OF TEQUESTA, FLORIDA '
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) ,
Basis Presentation -Fund Accounting (Continued)
Fiduciary Fund Types '
Pension Trusts and Expendable Trust '
Fiduciary Funds account for assets held by the government in a trustee capacity or
as an agent on behalf of others. Trust funds account for assets held by the '
government under the terms of a formal trust agreement.
The Pension Trust Funds are accounted for in essentially the same manner as the t
proprietary funds, using the same measurement focus and basis of accounting.
The Village has three pension trust funds as follows:
Firefighters' Pension Trust Fund
Police Officers' Pension Trust Fund '
General Employees' Pension Trust Fund
The Expendable Trust Fund is accounted for in essentially the same manner as the '
governmental fund types, using the same measurement focus and basis of
accounting. Expendable trust funds account for assets where both the principal and
interest maybe spent.
The Village has one Expendable Trust Fund, the Special Law Enforcement Trust '
Fund, to account for forfeitures received by the Police Department to be expended
for certain law enforcement purposes as prescnbed by Flonda Statute Chapter
932.704. '
33 '
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VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Basis ofPresentation -Fund Accounting (Continued)
Account Groups
General Fixed Assets Account Group
The accounting and reporting treatment applied to the fixed assets associated with a
fund are determined by its measurement focus. All governmental funds are
accounted for on a spending or "financial flow" measurement focus. This means
that only current assets and current liabilities are generally included on their balance
sheets. Their reported fund balances (net current asset's) are considered a measure
of "available spendable resources". Governmental fund operating statements
present increases (revenues and other financing sources) and decreases
(expenditures and other financing uses) in net current assets. Accordingly, they are
said to present a summary of sources and uses of "available spendable resources"
during a period.
Fixed assets used in governmental fund type operations (general fixed assets) are
t accounted for in the General Fixed Assets Account Group, rather than in govern-
mental funds.
' Public domain ("infrastructure") general fixed assets consisting of certain
improvements other than buildings, including roads, bridges, curbs and gutters,
streets and sidewalks, drainage systems and light systems are not capitalized. The
' Village capitalizes assets that cost $750 or more and have expected lives greater
than one year. No depreciation has been provided on general fixed assets. All
fixed assets are valued at historical cost or estimated historical cost if actual
' historical .cost is not available. Donated fixed assets are valued at their estimated
fair market value on the date donated.
' General Long-Term Debt Account Group
Long-term liabilities
' accounted for in the
governmental funds.
expected to be financed from governmental funds are
General Long-Term Debt Account Group, not in the
34
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1 -SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Account Groups (Continued)
General Long-Term Debt Account Group (Continued)
Because of their spending measurement focus, expenditure recognition for
governmental fund types is limited to exclude amounts represented by noncurrent
liabilities. Since they do not affect net current assets, such long-term debt amounts
are not recognized as governmental fund type expenditures or fund liabilities. They
are instead reported as liabilities in the General Long-Term Debt Account Group.
The two account groups are not "funds". They are concerned only with the measurement of
financial position. They are not involved with measurement of results of operations.
Basis ofAccounting
The accounting and financial reporting treatment applied to a fund is determined by its
measurement focus. All governmental funds and expendable trust funds are accounted for using a
current financial resources measurement focus. 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.
All proprietary funds and pension trust funds are accounted for on a flow of economic resources
measurement focus. With this measurement focus, all assets and all liabilities associated with the
operation of these funds are included on the balance sheet. Fund equity (i.e., net total assets) is
segregated into contributed capital and retained earnings components. Proprietary fund type
operating statements present increases (e.g., revenues) and decreases (e.g., expenses) in net total
assets.
The modified accrual basis of accounting is used by all' governmental fund types, expendable trust
funds and agency funds. Under the modified accrual basis of accounting, revenues are recognized
when susceptible to accrual (i.e., when they become both measurable and available). "Measurable"
means the amount of the transaction can be determined and "available" means collectible within
the current period or soon enough thereafter to be used to pay liabilities of the current period. The
Village does not accrue property tax revenues since the collection of these taxes coincides with the
fiscal year in which levied, and since the Village consistently has no material uncollected property
taxes at year end. A 90 day availability period is used for revenue recognition for all other
governmental fund revenues. Expenditures are recorded when the related fund liability is incurred.
35
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VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Basis o Accounting (Continued)
Principal and interest on general long-term debt are recorded as fund liabilities when due or when
amounts have been accumulated in the debt service fund for payments to be made early in the
following year.
' Those revenues susceptible to accrual are franchise fees, taxes, special assessments, licenses,
interest revenue, intergovernmental revenues, and charges for services. Sales taxes collected and
held by the state at year end on behalf of the Village are also recognized as revenue. ,Fines and
' permit revenues are not susceptible to accrual because generally they are not measurable until
received in cash.
The government reports deferred revenue on its combined balance sheet. Deferred revenues arise
when a potential revenue does not meet both the "measurable" and "available" criteria for
recognition in the current period. Deferred revenues also arise when resources are received by the
government before it has a legal claim to them, as when grant monies are received prior to the
incurrence of qualifying expenditures. In subsequent periods, when both revenue recognition
criteria are met, or when the government has a legal claim to the resources, the liability for deferred
revenue is removed from the combined balance sheet and revenue is recognized.
The accrual basis of accounting is followed for the proprietary funds and pension trust funds.
Under this method of accounting, revenues are recognized during the accounting period in which
they are earned and become measurable and expenses are recognized in the accounting period in
which they are incurred, if measurable. ~ Governmental Accounting Standards Board (GASB)
Statement #20, Accounting and Financial Reporting for Proprietary Funds and Other
Governmental Entities that Use Proprietary Funds, provides proprietary activities with a choice of
authoritative guidance issued after November 30, 1989. The Village of Tequesta has elected to
follow GASB pronouncements exclusively after that date.
Budgets and Budgetary Accounting
Formal budgetary integration is employed as a management control device during the year for the
General Fund, Special Revenue Fund, Capital Projects Funds and the Enterprise Funds. All
budgets are legally enacted through passage of an ordinance.
36
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Budgets and Budgetary Accounting (Continued)
Budgets for the General, Special Revenue and Capital Project Funds are adopted on a basis
consistent with generally accepted accounting principles. The annual appropriated budgets for the
enterprise funds are adopted on a basis consistent with generally accepted accounting principles.
For budgeting purposes, current year encumbrances are not treated as expenditures.
The Village follows these procedures in establishing the budgetary data reflected in the financial
statements:
1. Prior to September 1, the Village Manager submits to the Village Council a
proposed operating budget for the fiscal year commencing the following October 1.
The operating budget includes proposed expenditures and the means of financing
them.
2. Public hearings aze conducted to obtain taxpayer comments.
3. Prior to October 1, the budget is legally enacted through passage of an ordinance.
Changes or amendments to the total budgeted fund expenditures must be approved by the Village
Council. Management may make unlimited interfiinctional transfers within a fund without seeking
Council approval. However, in order to make the most effective use of the budgetary process, it is
the policy of the Village to make as few budget adjustments as possible. Appropriations aze
legally controlled at the fund level and expenditures may not legally exceed budgeted
appropriations at that level.
During the year, two supplemental appropriations were made.
The Village has complied with the Florida requirement of adopting balanced budgets. The General
Fund, Special Revenue and Capital Projects Funds budgets reflected in the accompanying financial
statements are not balanced because they do not include amounts budgeted from the beginning
fund balance.
Appropriations lapse at the end of the fiscal year.
37
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VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Budgets and Budgetary Accounting (Continued)
Encumbrances
Encumbrance accounting is used for purposes of budgetary control. Encumbrances outstanding at
year end are reported as reservations of fund balances until expended or accrued as a liability of the
fund.
Cash and Cash Equivalents
Cash and cash equivalents include cash on hand, demand deposits, and short-term investments with
maturities of three months or less when purchased.
Investments
U.S. Government Securities
U.S. government securities are stated at fair value.
Corporate Bonds and Stock
Corporate bonds and stock are stated at fair value.
Accounts Receivable
Accounts receivable of the Water Fund and Refuse and Recycling Fund consists of billed and
unbilled receivables.
38
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Inventories
Inventories are valued at cost, which approximates fair value, on a first-in, first-out (FIFO) method.
Inventories in the General Fund consist of expendable supplies held for consumption. The cost is
recorded as an expenditure at the time individual inventory items are purchased. Reported invento-
ries are equally offset by a fund balance reserve which indicates that they do not constitute
"available spendable resources" even though they are a component of net current assets.
Pr~erty and Equipment and General Fixed Assets
Fixed assets used in governmental fund type operations (general fixed assets) are accounted for in
the General Fixed Assets Account Group, rather than in governmental funds. Public domain
("infrastructure") general fixed assets consisting of certain improvements other than buildings,
including roads, bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting
systems are not capitalized.
Property and equipment acquired or constructed for general governmental operations are recorded
as expenditures in the fund making the expenditure and capitalized at cost in the General Fixed
Assets Account Group.
Property and equipment acquired by proprietary funds is capitalized in the respective fund.
All fixed assets are valued at historical costs or estimated historical cost if actual historical cost is
not available. Donated fixed assets are valued at estimated fair value on the date donated.
Depreciation of all exhaustible fixed assets used by proprietary funds is charged as an expense
against operations. Accumulated depreciation is reported on proprietary fund balance sheets.
Depreciation has been provided over the estimated useful lives using the straight-line method. The
estimated useful lives are as follows:
Buildings 20-40 years '
Improvements 20-30 years
Equipment 3-10 years
39
u
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Amortization
The issue costs and debt discount on long-term debt are amortized over the life of the bonds using
the straight-line method.
Ad Valorem Taxes
Ad valorem taxes are assessed and liened as of January 1 and billed the following October. They
are due and payable on November 1 of each year or as soon thereafter as the assessment roll is
certified and delivered to the Tax Collector. These taxes are collected by the County and remitted
to the Village. Revenue is recognized at the time monies are received from the County. All unpaid
taxes become delinquent on April 1 following the year in which they are assessed.
Discounts are allowed for early payment at the rate of 4% in the month of November, 3% in the
month of December, 2% in the month of January and 1 % in the month of February. The taxes paid
in March are without discount. At September 30, unpaid delinquent taxes, if any, are reflected as a
receivable on the balance sheet and as deferred revenue.
Interfund Transactions
Following is a description of the basic types of interfiuid transactions made during the year and the
related accounting policy:
Transactions for services rendered or facilities provided. These transactions are
' recorded as revenue in the receiving fund and expenditures in the disbursing fund.
Transactions to transfer revenue or contributions from the fund budgeted to receive
them to the fund budgeted to expend them. These transactions are recorded as
operating transfers in and out.
1
1
Transactions to loan money from the fund budgeted to loan it to the fund budgeted
to receive it. These transactions are recorded as advances to and from.
40
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Fund Equity
The Village has established reservation and designations of fund balances and retained earnings.
The reserved fund balances for governmental funds represent those portions of the fund balance
not considered as available for future appropriation or legally segregated for a specific use.
Reserved retained earnings for proprietary funds represent the net assets that have been legally
identified for specific purposes. Designated fund balances represent tentative plans for future use
of financial resources.
Compensated Absences
Compensated absences are absences for which employees will be paid, such as vacation and sick
leave. A liability for compensated absences that are attributable to services already rendered and
that are not contingent on a specific event, that is outside the control of the government and its
employees, is accrued as employees earn the rights to the benefits. Compensated absences that
relate to future services or that are contingent on a specific event that is outside the control of the
government and its employees are accounted for in the period in which such services are rendered
or such events take place.
In the governmental funds, compensated absences that are expected to be liquidated with
expendable available financial resources are reported as an expenditure and fund liability in the
fund that will pay ,for them. The remainder of the compensated absences liability is reported in the
General Long-Term Debt Account Group.
In the proprietary funds and similar trust funds, compensated absences are recorded as an expense
and liability of the fund that will pay for them.
Interest Capitalization
The Financial Accounting Standards Board issued Statements of Financial Accounting Standards
(FAS) No. 34, requiring capitalization of interest costs for all assets that are constructed for an
enterprise's use. The amount of interest to be capitalized is that portion of the interest incurred
during the asset's acquisition period which theoretically could have been avoided if expenditures
for the asset had not been made.
41
1
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 1-SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Total Columns on Combined Statements
Total columns on the combined statements are captioned "Memorandum Only" to indicate that
they are presented only to facilitate financial analysis. Data in these columns do not present
financial position, results of operations, or changes in financial position in conformity with
generally accepted accounting principles. Neither is such data comparable to a consolidation.
Interfund eliminations have not been made in the aggregation of this data.
Statement of Cash Flows
For purposes of the statement of cash flows, the proprietary fund types consider all highly liquid
investments (including restricted assets) with a maturity of three months or less when purchased to
be cash equivalents, except for those investments which management intends to be long-term
investments.
NOTE 2 -CASH AND INVESTMENTS
Cash and Cash Equivalents
At year end, the carrying amount of the Village's deposits was $537,296 and the bank balances
were $640,042. Cash consists of unrestricted and restricted funds entirely covered by federal
depository insurance or by a multiple financial institution collateral pool that .insures public
deposits. The collateral-pool exists pursuant to the Florida Security for Deposits Act, Chapter 280,
which consists of assets pledged to the State Treasurer by financial institutions that comply with
the requirements of Florida Statutes and have been thereby designated as a qualified public
depository. These deposits are deemed to be insured for risk categorization purposes.
Investments
Florida statutes authorize the Village to invest surplus funds in the Local Government Surplus
Funds Trust Fund, administered by the State Treasurer; negotiable direct obligations of or
obligations unconditionally guaranteed by the U.S. Government; interest-bearing time deposits in
' financial institutions located in Florida and organized under Federal or Florida laws; obligations of
the Federal Farm Credit Banks, the Federal Home Loan Mortgage Corporation, the Federal Home
Loan Bank or its district banks, or obligations guaranteed by the Government National Mortgage
Association and obligations of the Federal National Mortgage Association.
42
VILLAGE OF TEQUESTA, FLORIDA ,
Notes to Financial Statements
September 30,1999
NOTE 2 -CASH AND INVESTMENTS (Continued) ,
Investments (Continued]
Investments (including restricted investments) consist of funds held with the state investment pool, '
obligations of the United States government and funds held by an outside custodian on behalf of
the Pension Trust Funds. '
The Village currently has two investment groups of United States obligations, one of which
consists of bond proceeds from the Series 1998 Bond issuances. The proceeds are invested in U.S. ,
Obligations until construction draw downs are necessary. Additionally, the Village has continued
to hold U.S. Treasury obligations which were previously required to be purchased by the 1985
Water Refunding Revenue Bonds. '
The Village's investments are categorized below to give an indication of the level of custodial
credit risk assumed by the Village at year end. ,
Category 1 - Insured or registered, or securities held by the Village or its agent in the Village's
name. '
Category 2 - Uninsured and unregistered, with securities held by the counterparty's trust
department or agent in the Village's name. ,
Category 3 - Uninsured and unregistered, with securities held by counterparty, or by its trust ,
department or agent but not in the Village's name.
43 '
1
ii
1
ii
ii
1
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 2 -CASH AND INVESTMENTS (Continued)
Investments (Continued)
Category Carrying Fair
3 Amount Value
Obligations of United States
Government $ 3,341,183 $ 3,341,183 $ 3,341,183
Investment in:
Corporate bonds 168,105 168,105 168,105
Government backed securities 195,912 195,912 195,912
Corporate stock 676,215 676,215 676,215
Subtotal $ 4,381,415 4,381,415 4,381,415
Mutual funds 149,146 149,146
Mutual funds (money market) 999,930 999,930
State investment pool 6,454,458 6,454,458
$ 11,984,949 $ 11,984,949
The state investment pool, administered by the State Board of Administration of Florida, contained
certain floating rate notes during the 1999 fiscal year and as of September 30, 1999, which were
indexed based on the prime rate and/or one and three month LIBOR rates. These investments,
representing approximately 10.30% of the state investment pool portfolio at September 30, 1999,
were purchased to add relative value to the portfolio.
44
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 2 -CASH AND INVESTMENTS (Continued)
Investments (Continued)
The following is a reconciliation of cash and cash equivalents and investments per the balance
sheet and deposits and investments for risk categorization purposes.
Cash and Cash
Equivalents/
Deposits Investments
Cash and cash equivalents $1,083,508 $
Investments 7,235,304
Restricted assets
Cash and cash equivalents 453,718
Investments 3,749,715
Balance sheet totals 1,537,226 10,985,019
Adjustments
Mutual funds (money market) 999 930 999.930
Risk categorization totals 537 296 $ 11,984,949
NOTE 3 -RESTRICTED ASSETS
Restricted assets as of September 30, 1999, consist of the following accounts:
Cash Investments Total
Meter Deposit Accounts $ 263,090 $ $ 263,090
Capital Improvement
Accounts 742,631 742,631
Debt Service Account 54,978 54,978
Construction Account 135,650 2,248,635 2,384,285.
Renewal and Replacement Account 163,069 163,069
Impact Fee Account ~ 595,380 595,380
453 718 $ 3,749,715 $ 4,203.433
45
1
1
1
1
1
1
1
1
1
1
1
1
1
1
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 4 -ACCOUNTS RECEIVABLE -ENTERPRISE FUNDS
Enterprise Funds accounts receivable consists of the following:
Community Storm Water Refuse and
Development Utility Recycling Water
Fund Fund Fund Fund Total
Billed services $702 $200 $208 $291,980 $293,090
Unbilled services 38,031 38,031
Total accounts receivable 702 200 208 330,011 331,121
Less allowance for
uncollectibles 4 500) (4.500)
Net accounts receivable 702 200 208 325 511 326 621
NOTE 5 -COMPONENTS OF FIXED ASSETS
A summary of changes in general fixed assets follows:
Balance Balance
October 1, September 30,
1998 Additions Deletions Transfers 1999
Land $ 397,653 $ $ $ $ 397,653
Buildings 1,106,259 7,660 1,113,919
Improvements other
than buildings, 258,777 258,777
Equipment 1,728,558 151,870 99,225 12,947 1,794,150
Construction in progress 61.403 1.489.147 1,550,550
$3.552,650 $1,648,677 99 225 12 947 5 115 049
46
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 5 -COMPONENTS OF FIXED ASSETS (Continued)
The components of fixed assets at September 30, 1999, are summarized as follows:
Land
Buildings
Improvements other than
buildings
Equipment
Construction in progress
Accumulated depreciation
Total
Enterprise
Funds
$ 83,336
985,188
9,653,220
436,199
6,894,563
18,052,506
X4.676,0711
$13.376,435
47
General
Fixed Assets
Account Group
$ 397,653
1,113,919
258,777
1,794,150
1.550.550
5,115,049
$5.115,049
Total
$ 480,989
2,099,107
9,911,997
2,230,349
8,445,113
23,167,555
(4 676.0711
$18.491.484
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 5 -COMPONENTS OF FIXED ASSETS (Continued)
Significant construction commitments as of September 30, 1999, are as follows:
Estimated Estimated
Cost Cost to Completion
Description to Date Complete Date
Enterprise Funds
Water Fund:
G.I.S. System
Reverse Osmosis Treatment
-Plant - engineering, design
and permitting
Reverse Osmosis Wells -
Phase I - engineering and
design
Reverse Osmosis Project -
disposal transmission main
Storm Water Utility Fund:
Fairview Drive Drainage
Project
Governmental Funds
Bond Construction Fund:
Public Safety Facility
Central Business District
Redevelopment
$ 12,499 $ 87,501 May 2001
5,364,616 6,045,000 March 2000
908,590 110,000 March 2000
600,085 688,000 March 2000
8,773 774,000 October 2000
61,403 2,182,082 October 2001
1,489,147 235,000 November 2001
48
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
. September 30,1999
NOTE 6 -CAPITALIZED INTEREST/INTEREST EXPENSE
For the year ended September 30, 1999, the Village capitalized $223,223 of interest cost in the
Water Fund. The total interest expense incurred for the Water Fund prior to capitalization for the
year ended September 30, 1999, was $512,728.
NOTE 7 -FLORIDA RETIREMENT SYSTEM
Plan Description
All full-time employees hired before January 1, 1996, are eligible to participate in the Florida
Retirement System (FRS), a cost sharing, multiple-employer, public retirement system controlled by
the State Legislature and administered by the State of Florida Department of Administration,
Division of Retirement. The FRS provides retirement and disability benefits, annual cost-of-living
adjustments and death benefits to plan members and beneficiaries. Apost-employment health
insurance subsidy is also provided to eligible employees.
Benefits are established by Chapter 121, Florida Statutes, and Chapter 22B, Florida Administrative
Code. Amendments to the law can only be made by an act of the Florida Legislature.
The State of Florida issues a publicly available financial report that includes financial statements
and required supplementary information for the FRS. The latest available report was for the fiscal
year ended June 30, 1997. That report may be obtained by writing to the State of Florida Division
of Retirement, Department of Management Services, 2639-C North Monroe Street, Tallahassee, FL
32399-1560.
Funding Policx
Participating employers are required to make contributions based upon statewide contribution rates.
The contribution rates by job class for the Village's employees at September 30, 1999, were as
follows: regular employees - 10.15%, special risk employees - 21.16%, and senior management -
23.10%. These rates include .94% for the employer Health Insurance Subsidy contribution, which
is the same for all risk classes.
The Village's contributions to the FRS for the fiscal years ending September 30, 1996 through 1999
were $399,558, $378,070, $385,219, and $302,071, respectively, which were equal to the required
contributions for each fiscal year.
49
1
1
t VILLAGE OF TEQUESTA, FLORIDA
' Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM
' The Village maintains asingle-employer, defined benefit pension retirement system. The
retirement system provides benefits to all full-time firefighters, as well as any full-time police
officers or general employees hired January 1, 1996 or thereafter. The retirement system was
established by the Village and is administered by a separate Board of Trustees. The retirement
system receives contributions that may not be used to pay the benefits of all employee classes. Due
to this restriction, for financial statement purposes, three separate plans are shown as pension trust
' funds. The Village Employees' Retirement System administers the following plans: The
Firefighters' Pension Trust Fund (FPTF), The Police Officers' Pension Trust Fund (PPTF) and the
General Employees' Pension Trust Fund (GPTF). The three pension trust funds do not issue stand
' alone financial statements and have been included in the financial statements- of the Village as
pension trust funds.
' SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Pension Trust Funds
Basis o Accounting. The pension trust funds are reported on the accrual basis of accounting. Plan
member and state contributions are recognized as revenues in the period that the contributions are
' due. Employer contributions to each plan are recognized when due and the employer has made a
formal commitment to provide the contributions.: Benefits and refunds are recognized when due
and payable in accordance with the terms of each plan.
' Method Used to Yalue Investments. Investments are reported at fair value. Short-term investments
are reported at cost which approximates fair value. Securities traded on a national or international
' exchange are valued at the last reported sales price at current exchange rates.
Concentration o~Investments. The Plan did not have any investments of 5°fo or more in any one
organization.
' PLAN DESCRIPTION AND CONTRIBUTION INFORMATION
The following descriptions of the Pension Trust Funds are provided for general information
' purposes only. Plan members should refer to the appropriate source documents for more complete
information on the plans.
1
50
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
PLAN DESCRIPTION AND CONTRIBUTION INFORMATION (Continued)
Membership of each plan consisted of the following at October 1, 1998, the date of the- latest
actuarial valuation:
FPTF PPTF GPTF
Retirees and beneficiaries currently receiving
benefits and terminated employees entitled to
benefits but not yet receiving them
Active employees
Vested
Non-vested 16 2 7
Total 16 2 7
Benefit provisions and contribution requirements of plan members and the Village are established,
and maybe amended, by the Village Council.
Fire~i,ghters' Pension Trust Fund
Plan Descriptions -Any firefighter who completes ten or more years of credited service and attains
age 55, or completes 25 years of credited service and attains age 52, is eligible for normal retirement
benefits. The monthly amount of normal retirement income for a firefighter is equal to the number
of years of credited service multiplied by 3% of his average highest compensation. Early retirement
may be taken after a firefighter has attained the age of 50 and has ten years of credited service. In
the event of early retirement, benefits are actuarially reduced to take into account the firefighter's
younger age and earlier commencement of retirement benefits. Such reduction shall not exceed 4%
per year. Disability benefits can be received for total and permanent disabilities as deterniined by
the Board of Trustees. If the pension is granted, the benefit amount shall be as follows:
If the injury or disease is service connected, the firefighter shall be entitled to the greater of (a) or
ro>~
(a) A monthly pension equal to 42% of his average compensation, or
51
1
I~
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
Firefighters' Pension Trust Fund (Continued)
(b) An amount equal to the number of years of his credited service
multiplied by 3% of his average monthly salary based upon his
highest five years of service.
If the injury or disease is not service connected, the firefighter shall be entitled to the greater of (a)
or (b):
' (a) A monthly pension equal to 25% of his average compensation, or
(b) An amount equal to the number of years of his credited service
' multiplied by 3% of his average monthly salary based upon his
highest five years of service.
' If the firefighter dies prior to retirement from the Village his beneficiary shall receive the following
benefit:
' (a) Line-of-Duty-Death-Benefit - a pension to the spouse (or children)
of 50% of Average Compensation for life.
' (b) Non-Line-of-Duty-Death, the spouse of a member with ten years of
credited service will receive the actuarial equivalent of the accrued
early or normal retirement benefit.
If the firefighter dies or terminates employment with less than ten years of credited service, he is
entitled to a refund of the money he contributed.
Funding Policy -Firefighters are required to contribute 5% of their compensation to the plan. The
State of Florida contributes the net proceeds of the excise tax imposed upon casualty and property
insurers. The Village is required to contribute the remaining amount to fund the plan using the
aggregate actuarial cost method as approved by the plan's Board of Trustees; however, contribution
requirements ofplan-members and the Village are established and may be amended by the Village
Council.
52
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
Police Officers' Pension Trust Fund
Plan Descriptions -Any police officer who completes ten or more years of credited service and
attains age 55, or completes 25 years of credited service and attains age 52, is eligible for normal
retirement benefits. The monthly amount of normal retirement income for a police officer is equal
to the number of years of credited service multiplied by 3% of his average highest compensation.
Early retirement may be taken after a police officer has attained the age of 50 and has ten years of
credited service. In the event of early retirement, benefits are actuarially reduced to take into
account the police officer's younger age and earlier commencement of retirement benefits. Such
reduction shall not exceed 3% per year. Disability benefits can be received for total and permanent
disabilities as determined by the Board of Trustees. If the pension is granted, the benefit amount
shall be as follows:
If the injury or disease is service connected, the police officer shall be entitled to the greater of (a) or
~)~
(a) A monthly pension equal to 42% of his average compensation, or
(b) An amount equal to the number of years of his credited service
multiplied by 3% of his average monthly salary based upon his
highest five years of service.
If the injury or disease is not service connected, the police officer shall be entitled to the greater of
(a) or (b):
(a) A monthly pension equal to 25% of his average compensation, or
(b) An amount equal to the number of years of his credited service
multiplied by 3% of his average monthly salary based upon his
highest five years of service.
53
1
1
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
Police Officers' Pension Trust Fund (Continued)
If the police officer dies prior to retirement from the Village his beneficiary shall receive the
following benefit:
(a) Line-of-Duty-Death-Benefit - a pension to the spouse (or children)
of 50% of Average Compensation for life.
(b) Non-Line-of-Duty-Death, the spouse of a member with ten years of
t credited service will receive the actuarial equivalent of the accrued
early or normal retirement benefit.
' If the police officer dies or terminates employment with less than ten years of credited service, he is
entitled to a refund of the money he contributed.
' Fundin,~~Policy -Police officers are required to contribute 5% of their compensation to the plan.
The State of Florida contributes the net proceeds of the excise tax imposed upon casualty and
property insurers. The Village is required to contribute the remaining amount to fund the plan using
' the aggregate actuarial cost method as approved by the plan's Board of Trustees; however,
contribution requirements of plan members and the Village are established and may be amended by
the Village Council.
' General Emplovees' Pension Trust Fund
Plan Descriptions -Any general employee who completes ten or more years of credited service and
attains age 62, or completes 30 years of credited service regardless of age is eligible for normal
retirement benefits. The monthly amount of normal retirement income for a general employee is
equal to the number of years of credited service multiplied by 2% of his average highest
compensation. Early retirement may be taken after a general employee has attained the age of 50
and has ten years of credited service. In the event of early retirement, benefits are actuarially
reduced to take into account the general employee's younger age and earlier commencement of
retirement benefits. Such reduction shall not exceed 5% per year. Disability benefits can be
received for total and permanent disabilities as determined by the Board of Trustees. If the pension
is granted, the benefit amount shall be as follows:
54
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
General Employees' Pension Trust Fund (Continued)
If the injury or disease is service connected, the general employee shall be entitled to the greater of
(a) or (b):
(a) A monthly pension equal to 42% of his average compensation based
upon his highest five years of service, or
(b) An amount equal to the number of yeazs of his credited service
multiplied by 2% of his average monthly salary based upon his
highest five yeazs of service.
If the injury or disease is not service connected, the general employee shall be entitled to the greater
of (a) or (b):
(a) A monthly pension equal to 25% of his average compensation based
upon his final five yeazs of service, or
(b) An amount equal to the number of yeazs of his credited service
multiplied by 2% of his average monthly salary based upon his final
five years of service.
If the general employee dies prior to retirement from the Village, his beneficiary shall receive an
amount equal to the vested pension benefit. A survivor benefit is payable to the beneficiary starting
when the member would have reached retirement age.
If the general employee dies or terminates employment with less than ten years of credited service,
he is entitled to a refund of the money he contributed.
Funding Policy -General employees aze required to contribute 5% of their compensation to the
plan. The Village is required to contribute the remaining amount to fund the plan using the
aggregate actuarial cost method as approved by the plan's Boazd of Trustees; however, contribution
requirements of plan members and the Village are established, and maybe amended, by the Village
Council.
55
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
Annual Pension Cost
The Village's 1999. annual pension cost and actual contributions for each plan are shown below.
The required contributions were determined as part of the October 1, 1998, actuarial valuation for
each plan.
Annual Village State
Pension Actual Actual
Cost Contribution Contribution
Firefighters' Pension Trust Fund $ 82,881 $107,914 $35,118
Police Officers' Pension Trust Fund 6,384 20,266 29,795
General Employees' Pension Trust Fund- 17,456 17,456 N/A
Components of Annual Pension Cost and Net Pension Obligation
The following schedule was determined as part of the October 1, 1998 actuarial valuation for the
Firefighters' and Police Officers' Pension Plans. The General Employees' Pension did not have a
net pension.
Firefi tern' Police Officers'
Annual required contribution (ARC) $ 82,881 $ 6,384
Interest on net pension obligation (NRO) (4,776) (1,979)
Adjustment to ARC 5.712 2.289
Annual pension cost 83,817 6,694
Actual contributions 143.032 50.061
Increase in NPO (59,215) (43,367)
NPO at beginning of year 59 695 24 741
NPO at end of year 118 910 68 108
56
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 - VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
Three Year Trend Information
Annual Percentage Net
Pension of APC Pension
Cost (APCI Contributed Obli ag tion
Firefiehters' Retirement Svstem
1997
1998
1999
Police Officers' Retirement S sv tem
1997
1998
1999
General Emplovees' Retirement Svstem
1997
1998
1999
$107,078 106.38% $ (36,549)
115,319 120.48 (59,695)
82,881 172.58 (118,910)
$ 20,140 100.00% $ (18,858)
25,134 131.83 (24,741)
6,384 784.16 (68,108)
$ 11,399 100.00% $ -0-
13,440 100.00 -0-
17,456 100.00 -0-
57
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 8 -VILLAGE EMPLOYEES' RETIREMENT SYSTEM (Continued)
The following are the actuarial methods and significant assumptions:
Police
Firefighters' Officers'
Pension Fund Pension Fund
General
Employees'
Pension Fund
Valuation date 10/1/98 10/1/98 10/1/98
Actuarial Cost Method Aggregate Aggregate Aggregate
Amortized Method (1) (1) (1)
Remaining Amortization Period (1) (1) (1)
Asset Valuation Method Fair value ~ Fair value Fair value
at valuation at valuation at valuation
Administrative Costs Included in Included in. Included in
calculation of calculation of calculation of
normal cost normal cost normal cost
Actuarial Assumption:
Investment rate of return* 8% 8% 8%
Projected salary increase* 6% 6% 6%
*Includes inflation at 4% 4% 4%
Cost of living adjustments 0% 0% 0%
(1) When the aggregate actual cost method is used, unfunded actuarial liabiliti es are not
identified or separately amortized.
58
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 9 -DEFERRED COMPENSATION PLAN
The Village offers its employees a deferred compensation plan created in accordance with Internal
Revenue Code Section 457. The plan, available to all full time Village employees, permits them to
defer a portion of their salary until future years. The deferred compensation is not available to plan
participants or their beneficiaries until termination, retirement, death or unforeseeable emergency.
The Village's Deferred Compensation Plan has funds held by the ICMA Retirement Corporation.
In January 1998, the ICMA Deferred Compensation Plan was amended to conform with the
changes in the Internal Revenue Code brought about by the Small Business Job Protection Act of
1996 (the "Act"). The Act requires that eligible deferred compensation plans established and
maintained by governmental employees be amended to provide that all assets of the Plan be held in
trust, or under one or more appropriate annuity contracts or custodial accounts, for the exclusive
benefit of plan participants and their beneficiaries. As a result of this change, plan assets will no
longer be subject to the claims of the Village's general creditors.
Because the Village has little administrative involvement and does not perform the investing
function for funds in the ICMA Plan, the Village's activities do not meet the criteria for inclusion in
the fiduciary funds of a government. Consequently, the Plan was removed from the Village's
general purpose financial statements.
NOTE 10 -COMPENSATED ANNUAL LEAVE AND SICK PAY
As of September 30, 1999, the total liability for compensated absences was $435,553. The
noncurrent portion of compensated absence liability of the General Fund is recorded in the General
Long-Term Debt Group. For the fiscal year ended September 30, 1999, the long-term amount was
$335,284. The liabilities recorded by the Enterprise Funds were $100,269
NOTE 11- RISK MANAGEMENT
The Village is exposed to various risks of loss related to torts; theft of, damage to, and destruction of
assets; errors and omissions; injuries to employees; and natural disasters. The Village continues to
purchase commercial insurance to cover the various risks. Retention of risks is limited to those
risks that are uninsurable and deductibles ranging from $250 to $10,000 per occurrence.
59
f
ii
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 11- RISK MANAGEMENT (Continued)
Major uninsurable risks include damages to infrastructure assets. Since the amount of loss cannot
be reasonably estimated and the likelihood of occurrence is not determinable, no provision for
losses is reflected in the financial statements. There were no settled claims which exceeded
insurance coverage during the past three fiscal years. .
The Village is insured under a retrospectively rated policy for workers' compensation coverage. The
plan is a trust fund comprised of local governmental entities. The premiums are based on the risk
class and remuneration of covered employees adjusted by an experience modification based on-the
claims history of the Village. At the end of the premium year the Village can either receive a
discount or pay an additional premium based on its claims experience. The policy for the current
fiscal year has been finalized with no additional premium due. Should a deficit develop in the trust
fund after excess insurance recoveries, the Village shall thereafter be responsible for its individual
costs.
NOTE 12 -CAPITAL LEASE COMMITMENTS
During the fiscal year, the Village had the following capital lease agreements:
General Fund
Fire Truck
Annual Payment: $56,658
10 year term
Expires October, 2003
Principal amount outstanding at 9/30/99 - $239,916
Capitalized cost - $466,140
(General Fixed Asset Account Group)
911 system
Annual payment: $5,093
5 year term
Expires December 1999
Principal amount outstanding at 9/30/99 - $4,573
Capitalized cost - $20,452
(General Fixed Asset Account Group)
60
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 12 -CAPITAL LEASE COMMITMENTS (Continued)
General Fund (Continued)
Ambulances
Annual payment: $32,094
l0 year term
Expires October 15, 2003
Principal amount outstanding at 9/30/99 - $135,288
Capitalized cost - $180,662
(General Fixed Asset Account Group)
1999 Ford Taurus
Annual payment: $6,002
3 year term
Expires March 2, 2001
Principal amount outstanding at 9/30/99 - $11,004
Capitalized cost - $18,007
(General Fixed Asset Account Group)
The following is a schedule of the future minimum lease payments under these capital lease
arrangements and the present value of the net minimum lease payments at September 30, 1999:
Fiscal Year General
Ending Long-Term
September 30, Debt
1999 $ 99,847
2000 94,754
2001 88,752
2002 88,752
2003 88,752
Total minimum lease payments 460,857
Less: amount representing interest 70,076
Present value of future
minimum lease payments 390 781
61
ii
1
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 13 -LONGTERM AGREEMENT TO PURCHASE WATER
On July 15, 1976, the Village entered into an agreement with Tri-Southern Utilities Company, Inc.
(the agreement was subsequently assumed by the Town of Jupiter) to purchase water for the
Village's water system for a period of 30 years. Rates for water service are based on wholesale
rates. The Village is billed monthly based upon a 1,500,000 gallons per day contracted minimum:
NOTE 14 -LONG-TERM LEASE AGREEMENTS
On December 20, 1994, the Village entered into an interlocal agreement with Palm Beach County.
Per the agreement Palm Beach County provided for partial funding, land acquisition and design and
construction of a branch library within Tequesta. Upon completion of the project, the library was
leased to Palm Beach County for 50 years for an annual rent of one dollar. In the event the lease is
terminated by the Village before the end of 50 years, the Village must reimburse Palm Beach
County a depreciated value using a useful life of 25 years based on an initial value of $405,000
calculated on a straight-line basis.
On December 6, 1996, the Village entered into a three year lease agreement to rent commercial
office space for the administrative, finance and water services staff. The base annual rent is $47,132
adjusted annually for the Consumer Price Index. At the end of the three year lease the Village has
the option to renew for three additional one year terms. On December 1, 1999, the Village renewed
the lease for an additional year with no change in base rent.
NOTE 15 -CONTRACTED SERVICES -REFUSE AND RECYCLING COLLECTION
Effective October 1, 1989, the Village entered into a five year franchise agreement with Nichols
Sanitation, Inc. for curbside solid waste and recycling collection services. On October 14, 1993, the
Village amended the franchise agreement. The amendment extended the agreement for an
additional five years commencing October 1, 1994. For consideration of the extension the
collection rates were reduced. In addition, the Village assessed a 6% franchise fee for each
residential customer, effective October 1, 1994. Nichols Sanitation may also adjust the curbside and
recycling rates beginning October 1, 1995, and each October 1, thereafter based upon the change in
the Consumer Price Index (CPI).
62
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 16 -CONTRACTED SERVICES -FIRE PROTECTION/EMERGENCY
MEDICAL SERVICE
Effective October 1, 1993, the Village entered into an interlocal agreement with Jupiter Inlet Colony
for the Village to provide fire protection/emergency medical services for a fee. For the year ended
September 30, 1999, fire protection fees received from Jupiter Inlet Colony were $152,524.
NOTE 17 -LONGTERM DEBT
General Loner-Term Debt
Changes in general long-term debt of the Village for the year ended September 30, 1999, are
summarized as follows:
General long-term debt
at October 1, 1998
Additions:
Capital lease
Line of credit
Increase in accrual
for compensated
absences
Deletions:
Repayments of debt
General long-term debt
at September 30, 1999
Revenue Bonds -1994
Capital Improvement Line
Compensated Lease Note Revenue of
Absences Obligations Payable Bonds Credit Total
$335,009 $446,913. $12,221 $1,115,000 $ 50,001 $1,959,144
17,003 17,003
1,520,137 1,520,137
275 275
73,135 3.773 75,000 50,001 201.909
335 284 390 781 $ 8,448 1 040 000 $1.520,137 3 294 650
This debt consists of Improvement Revenue Refunding Bonds Series 1994 in the amount of
$1,365,000 with an interest rate of 6.15%, dated June 24, 1994. Pursuant to the Bond Resolution,
16-93/94, the Village is obligated to use Franchise Fees and Occupational License Fees to pay the
principal and interest on the Bond. At September 30, 1999, $1,040,000 of this issue was
outstanding. Remaining revenues after principal and interest may be used for any lawful purpose.
63
it
1
n
1
' VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 17 -LONG-TERM DEBT (Continued)
Revenue Bonds -1994 (Continued)
Annual requirements to amortize this debt are as follows:
' Coupon
October 1. Rate Principal Interest Payments
' 2000 6.15% $ 80,000 $ 63,960 $ 143,960
2001 6.15% 80,000 59,040 139,040
2002 6.15% 90,000 54,120 144,120
' 2003 6.15% 95,000 48,585 143,585
2004 6.15% 100,000 42,743 142,743
' Thereafter 595.000 114,390 709.390
Totals $1.040,000 382 838 1 422 838
Line o Credit
' On June 12, 1997, the Village Council authorized management to enter into a line of credit for
$1,000,000 with NationsBank. The line of credit .bears an interest rate of 60% of NationsBank's
prime lending rate, adjusted day of change. Interest is payable monthly with principal due at
maturity, which is 12 months from the date of closing. The proceeds from the loan are to be used to
fund capital projects within the Village. The Village subsequently increased the line of credit to
$5,000,000. The line of credit was renewed October 1, 1999 for another year. As of September 30,
' 1999, the balance on the line was $1,520,137.
Note pavable. On August 12, 1997, the Village entered into an installment purchase agreement to
' purchase a copy machine. The Village financed $15,721 over a term of 48 months at an interest rate
of 7.5%. As of September 30, 1999, the balance of note was $8,448.
1
64
1
VILLAGE OF TEQUESTA, FLORIDA '
Notes to Financial Statements
September 30,1999
NOTE 17 -LONGTERM DEBT (Continued) '
Water Fund
~
h
t '
ase agreement to
allment purc
Note pavable. On August 12, 1997, the Village entered into an ins
purchase a copy machine for the Water Department. The Village financed $16,118 over a term of
48 months at an interest rate of 7.51 %. As of September 30, 1999, the balance of note was $4,168. '
Note pavable. On April 9, 1999, the Village entered into a note payable agreement to finance the
cost of a new utility billing system. The Village financed $108,000 over a term of 60 months at an
interest rate of 4.25%. As of September 30, 1999, the balance of the note was $99,900.
Water Revenue Bonds -1998
This debt consists of Water Revenue Bonds Series 1998 in the amount of $7,915,000 with a varying
interest rate of 3.8% to 5.125%, dated March 1, 1998. Pursuant to the Bond Resolution, 7-97/98, '
the Village is obligated to establish and maintain required reserves as noted in Note 18 -Required
Reserves.
'
ze this debt are as follows:
Annual requirements to amorh
'
rest Pa ents
September 30, Pruicipal Irate ym
2000 $ 135,000 $ 387,175 $ 522,175 '
2001 140,000 381,810 521,810
2002 145,000 376,038 521,038
2003 150,000 369,916 519,916 '
2004 160,000 363,325 523,325
Thereafter 7,185,000 5,403,002 12,588,002
Less unamortized discount (~ 68,960) (168,960) ,
Total $7,746,040 $7,281,266 $ 15,027,306 '
65 t
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 17 -LONG-TERM DEBT (Continued)
Total Long-Term Debt
The annual requirements to amortize all outstanding debt including interest payments of $7,745,715
as of September 30, 1999, are as follows:
Fiscal
Year Ending
September 30
General
Long-Term Enterprise
Debt Funds
Total
2000 $ 248,369 $ 550,866 $ 799,235
2001 238,356 550,501 788,857
2002 1,753,009 545,052 2,298,061
2003 232,337 543,930 776,267
2004 231,495 537,333 768,828
Thereafter 709,390 12,419,042 13,128,432
Compensated
absences 335,284 335,284
$3,748,240 $15,146,724 $18,894,964
Annual maturities of long-term compensated absences cannot be reasonably determined.
66
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 18 - REQUIRED RESERVES '
The Bond Resolution of the Water Revenue Bonds Series 1998 requires the establishment of the
following accounts: '
Account Purpose
Construction Account To accumulate funds for payment of construction costs. '
Revenue Account To collect the entire gross revenues derived from the ,
water system except investment earnings.
Debt Service Account To accumulate sufficient funds to meet the annual debt '
service requirements through transfers from the Revenue
Account.
'
eration and Maintenance Account
~P To a all o eratin ex erases of the system.
P Y p g p
Rebate Account To accumulate funds to meet any possible arbitrage ,
rebate expenses, if required.
Renewal and Replacement To accumulate funds for the purpose of paying for the '
cost of extensions, additions to, or the replacement of
capital assets of the system.
'
Reserve Account f rinci al and
To accumulate funds for payment o p p
interest only if funds in the Debt Service Funds are
. insufficient. '
Rate Stabilization Account To accumulate funds to be used for any lawful purpose
including to make deposits into the Revenue Account.
Impact Fee Account To accumulate impact fee revenue received each fiscal
year. To be used in the event that funds in the Revenue
Account are insufficient to fund the Debt Service
Account.
The reserves for revenue bond retirement and renewal and replacement represent the total of
restricted assets less amounts payable from restricted assets as reported in the Water Fund.
67
' VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 19 - DEFEASANCE OF PRIOR DEBT
In prior years, the Village defeased the 1978 Series, $3,915,000 Water Revenue Refunding Bonds
' by placing the proceeds of new bonds in an irrevocable trust to provide for all future debt service
payments on the old bonds. Accordingly, the trust account assets and the liability for the defeased
' bonds are not included in the Village's financial statements. At September 30, 1999, $2,975,000 of
bonds outstanding are considered defeased.
' NOTE 20 - INTERFUND RECEIVABLES AND PAYABLES
' Individual fund interfund receivables and payables at September 30, 1999, are as follows:
Interfund Interfund
' Fund Receivables Pavables
General Fund $11,000 $ 4,088
' Water Enterprise Fund 4,088
Fire Employees' Pension Trust Fund 8,000.
Police Employees' Pension Trust Fund 2,000
' General Employees' Pension Trust Fund 1,000
15 088 15 088
NOTE 21 - INTERFUND ADMINISTRATIVE FEE
' During the year ended September 30, 1999, the Enterprise Funds remitted $194,235 to the General
Fund for administrative management fees. This amount is reflected as intragovernmental services
' revenue in the General Fund and as management fees, an operating expense, in the Enterprise
Funds.
1
68
VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 22 -CONTRIBUTED CAPITAL -ENTERPRISE FUNDS
The changes in contributed capital consist of the following:
Water Fund
Capital
Developer Improvement
Contributions Charges Total
Contributed capital
at October 1, 1998 $1,267,254 $3,024,696 $4,291,950
Plus: contributions 16,500 493,242 509.742
Contributed capital at
September 30, 1999 $1,283,754 $3,517,938 $4,801,692
Community Storm Water
Development Fund Utilit~Fund
Contributed
from General Capital Grant
Fund Contribution
Contributed capital at
October 1, 1998 $ 4,476 $181,031
Plus: contributions 49.794
Contributed capital at
September 30, 1999 4 476 230 825
69
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
1
' VILLAGE OF TEQUESTA, FLORIDA
Notes to Financial Statements
September 30,1999
NOTE 23 -SEGMENT INFORMATION FOR ENTERPRISE FUNDS
The Village maintains four separate enterprise funds which provide community development, storm
' water utility, refuse. and recycling and water services. Segment information for the year ended
September 30, 1999, was as follows:
' Community Storm Refuse and
Development Water Rec c~ ling- Water Total
' Operating revenues $796,904 $243,373 $311,428 $3,641,068. $4,992,773
Depreciation and
' amortization 2,039 4,978 389,105 396,122
Operating income (loss) 499,509 149,581 (4,268) 970,347 1,615,169
Nonoperating revenues 40,575 15,313 11,087 522,034 589,009
' Operating transfers in 59,100 24,500 83,600
Operating transfers out 60,300 215,000 275,300
Net income (loss) 599,184 129,094 6,819 895,065 1,630,162
' Current capital contributions 49,794 509,742 559,536
Properly and equipment
Additions 7,370 79,930 5,001,316 5,088,616
Net working capital 956,756 206,356 54,407 3,391,048 4,608,567
Total assets 986,940 619,964 79,550 21,073,348 22,759,802
Total equity 945,814 605,792 54,407 12,612,427 14,218,440
NOTE 24 -JOINT VENTURE
' The Village, in conjunction with six other municipalities, organized a consortium to provide mutual
fire and emergency aid. The consortium is known as The Northern Area Mutual Aid Consortium
' (NAMAC). During 1999, the consortium purchased equipment and supplies as well as collected
contributions. The consortium does not issue separate financial statements. The Village did not
make any obligations to contribute any funds in the fiscal year 1998 or 1999.
' 70
VILLAGE OF TEQUESTA, FLORIDA '
Notes to Financial Statements
September 30,1999
NOTE 25 -CONTINGENT LIABILITY '
The Village's workers' compensation insurance company has notified the Village. that it has
projected a financial deficit such that the insurance company has insufficient assets to meet its '
ultimate claims liabilities. Therefore, it must look to each member to fund its own individual costs,
which would include claims administration and payments of indemnity and medical expenses of
injured employees for any claims prior to July 1, 1998. Each member will be billed for actual costs. '
As of January 25, 2000, the Village has incurred; but not paid expenses of $5,657. The Village has
two open claims for which there could be substantial settlements. However, as of January 25, 2000,
the settlement amounts could not be determined. The Village has contacted their attorney to pursue '
avenues of possible reimbursement from the insurance company.
71 '
REQUIRED SUPPLEMENTAL INFORMATION
VILLAGE OF TEQUESTA, FLORIDA
Required Supplemental Information
September 30,1999
~chedul_e of Funding Progress
Actuarial
Accrued UAAL as a
Actuarial Liability Unfunded Percentage
Actuarial Value of (AAL)- AAL Funded Covered of Covered
Valuation Assets Entry Age (UAAL) Ratio Payroll Payroll
Date ~~ ~_ ~ -a) ~_ (c) (~-a)/c)
General Em ployes' Pension FLnd (11
10/1/98 37,142 10,453 (26,689) 3.55 230,135 (11.60%)
Police Officers' Pension Fund (11
10/1/98 62,850 13,167 (49,683) 4.77 68,007 (73.06%)
Fir hters' Pension Fund (11
10!1/98 834,667 508,819 (325,848) 1.64 669,711 (48.66%)
(1) When the aggregate actuarial cost method is used, unfunded actuarial liabilities are
not identified or separately amortized. Starting with the October 1, 1998, actuarial
valuation, the Village is providing this optional disclosure utilizing the entry age actuarial
cost method to calculate the unfunded actuarial accrued liability.
72
VILLAGE OF TEQUESTA, FLORIDA
Required Supplemental Information
September 30,1999
Schedule of Contributions from the
F~loyer and Other Contributing Entities
Fiscal Year Annual
Ended Required Village State Percentage
September 30 Contribution Contribution Contribution Contributed
Fire ghters' Pension Fund
1994 $ 55,503 $ 46,950 $ 8,801 100.45%
1995 71,957 76,161 14,959 126.63%
1996 92,343 83,035 17,083 108.42%
1997 103,571 80,933 32,975 109.98%
1998 115,024 101,403 37,535 120.79%
1999 82,881 107,914 35,118 172.58%
Police Officers' Pension Fund
1996 $ $ $
1997 1,282 20,140 1570.98%
1998 8,393 8,000 25,134 394.78%
1999 6,384 20,266 29,795 784.16%
General Employees' Pension Fund
1996 $ $ N/A
1997 11,399 11,400 N/A 100.00%
1998 13,440 13,440 N/A 100.00%
1999 17,456 17,456 N/A 100.00%
73
VILLAGE OF TEQUESTA, FLORIDA
Notes to the Required Supplemental Information
September 30,1999
Police General
Firefighters' Officers' Employees'
Pension Pension Pension
Fund Fund Fund
Valuation date 10/1/98 10/1/98 10/1/98
Actuarial Cost Method Aggregate Aggregate Aggregate
Amortized Method (1) (1) (1)
Remaining Amortization
Period (1) (1) (1)
Asset Valuation Method fair value at fair value at fair value at
valuation valuation valuation
Administrative Costs Included in Included in Included in
calculation of calculation of calculation of
normal cost normal cost normal cost
Actuarial Assumption:
Investment rate of return* 8% 8% 8%
Projected salary increase* 6% 6% 6%
*Includes inflation at 4% 4% 4%
Cost of living adjustments 0% 0% 0%
(1) When the aggregate actuarial cost method is used, unfunded actuarial liabilities are
not identified or separately amortized.
74
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Revenues -Budget and Actual
For the Fiscal Year Ended September 30,1999
Taxes
Ad valorem taxes
Current ad valorem taxes
Delinquent ad valorem tames
Total ad valorem taxes
Public service taxes
Electric
Telephone
Gas
Water
Total public service taxes
Local option gas tax
Total taxes
Licenses and permits
Other licenses and permits
Total licenses and permits
Variance
Favorable
Budget Actual (Unfavorable)
$2,625,275 $2,642,313 $ 17,038
5,500 4,230 (1,270)
2,630,775 2,646,543 15,768
352,000 386,207 34,207
85,055 104,401 19,346
18,700 17,079 (1,621)
85,000 113,001 28,001
540,755 620,688 79,933
157,500 165,672 8,172
3,329,030 3,432,903 103,873
12,000 11,611 (389)
12,000 11,611 (389)
(Continued)
75
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Revenues -Budget and Actual
For the Fiscal Year Ended September 30,1999
Intergovernmental
Cigarette tax
State revenue sharing
Alcoholic beverage licenses
One-half cent sales tax
911 maintenance reimbursement
Grants
Other
Total intergovernmental
Charges for services
Certification, copying, record search
Fire rescue service
Fire inspections
Fire plan review services
EMS transport service
Other fire rescue/EMS services
Extra duty -contracted services
Total charges for services
Fines and forfeitures
Court fines
Parking tickets
Code enforcement
Total fines and forfeitures
Variance
Favorable
Budget Actual (iJnfavorable)
$ 12,360 $ 11,459 $ (901)
129,200 129,223 23
5,750 4,588 (1,162)
305,000 316,951 11,951
11,600 10,225 (1,375)
37,894 38,803 909
15,710 21,309 5,599
517,514 532,558 15,044
2,000 2,994 994
152,130 152,524 394
14,000 7,225 (6,775)
11,440 16,570 5,130
99,665 119,358 19,693
2,000 638 (1,362)
2,500 764 (1,736)
283,735 300,073 16,338
60,000 53,521 (6,479)
5,000 4,270 (730)
1,000 1,145 145
66,000 58,936 (7,064)
76
(Continued)
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Revenues -Budget and Actual
For the Fiscal Year Ended September 30,1999
Interest
Tax collector
Investments
Total interest
Miscellaneous
Other
Total miscellaneous
Impact fees
Law enforcement
Fire rescue
Parks and recreation
Total impact fees
Variance
Favorable
Budget Actual (Unfavorable)
$ 5,000 $ 5,678 $ 678
75,000 99,928 24,928
80,000 105,606 25,606
5,000 10,985 5,985
5,000 10,985 5,985
3,300 13,206 9,906
10,540 14,038 3,498
27,500 68,044 40,544
41,340 95,288 53,948
Intragovernmental services
Administrative management -
enterprise funds 190,780 194,235 3,455
Rent and utilities -enterprise funds 12,180 13.,252 1,072
Total intragovernmental services 202,960 207,487 4,527
Total revenues $4,537,579 $4,755,447 $ 217,868
77
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
General government
Legislative
Travel and per diem
Books, publications and dues
Other charges
Total legislative
Variance
Favorable
Budget Actual (Unfavorable)
$ 17,690 $ 17,685 $ 5
5,725 5,639 86
1,000 148 852
24,415 23,472 943
Executive
Salaries
F.I.C.A.
Retirement
Life and health insurance
Workers' compensation insurance
Deferred compensation insurance
Professional fees
Contractual services
Travel and per diem
Office machines maintenance
Office supplies
Books, publications, dues
Other charges
Total executive
161,505 164,137 (2,632)
12,355 12,201 154
27,350 26,494 856
.23,733 15,378 8,355
980 952 28
4,742 4,742
17,190 10,483 6,707
28,066 22,822 5,244
11,425 6,579 4,846
2,785 850 1,935
1,600 1,590 10
2,645 1,637 1,008
3,255 862 2,393
297,631 268,727 28,904
(Continued)
78
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30, 1999
Budget
General government (continued)
Personnel
Actual
,Variance
Favorable
(Unfavorable)
Salaries $ 37,741 $ 37,741 $
F.I.C.A. 2,885 2,854 31
Retirement 6,205 5,590 615
Life and health insurance 5,869 4,717 1,152
Workers' compensation insurance 215 215
Travel and per diem 1,225 155 1,070
Office machines maintenance 1,380 1,380
Office supplies 835 333 .502
Books, publications, dues 670 577 93
Other charges 750 589 161
Total personnel 57,775 52,771 5,004
Finance
Salaries 140,585 132,247 8,338
F.I.C.A. 10,755 9,982 773
Retirement 7,790 7,008 782
Life and health insurance 14,400 12,251 2,149
Workers' compensation insurance 790 790
Accounting and auditing 19,750 19,490 260
Contractual services 5,859 5,121 738
Travel and per diem 2,000 973 1,027
Repairs and maintenance 3,750 644 3,106
79
(Continued)
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
Variance
Favorable
Budget Actual (Unfavorable)
General government (continued)
Finance
Office machines maintenance $ 7,500 $ 7,441 $ 59
Office supplies 5,000 4,365 .635
Books, publications, dues 750 691 59
Other charges 1,825 1,431 394
Total finance 220,754 202,434 18,320
Legal counsel
Legal services 140,000 114,475 25,525
Total legal counsel 140,000 114,475 25,525
(Continued)
80
1
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1
1
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30, 1999
General government (continued)
Other general government
Salaries
F.I.C.A.
Other personal services
Contractual services
Communication services
Transportation/postage
Utility services
Rentals and leases
Fire hydrant rental fees
Insurance/claims and judgments
Village hall maintenance
Promotional activities
Printing and binding
Office supplies
Books, publications, dues
Other charges
Total other general government
Total general government
Budget
Actual
Variance
Favorable
(iJnfavorable)
$ 39,949 $ 34,169 $ 5,780
2,846 2,846
21,100 12,724 8,376
10,120 7,980 2,140
9,750 8,882 868
8,165 6,778 1,387
17,000 16,513 487
28,240 27,728 512
17,490 17,490
13,895 8,087 5,808
14,9.50 14,473 477
12,750 9,246 3,504
422 420 2
5,050 4,589 461
1,000 564 436
7,947 5,546 2,401
210,674 178,035 32,639
951,249 839,914 111,335
(Continued)
81
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
Budget
Public safety
Police department
Salaries
Overtime
F.I.C.A.
Retirement
Life and health insurance
Workers' compensation insurance
Professional fees
Travel and per diem
Communication services
Rentals and leases
Insurance
Repairs and maintenance
Printing and binding
Personnel training
Operating supplies
Office supplies
Books, publications, dues
Other charges
Total police department
Actual
Variance
Favorable
(Unfavorable)
$ 899,357 $ 889,842 $ 9,515
56,770 54,685 2,085
72,287 72,134 153
203,400 196,475 6,925
102,124 79,781 22,343
42,445 42,444 1
5,282 4,251 1,031
6,200 4,777 1,423
10,855 9,632 1,223
3,670 3,643 27
35,915 35,915
42,520 36,578 5,942
2,150 1,646 504
12,024 9,659 2,365
43,694 35,278 8,416
3,460 2,793 667
2,895 2,364 531
12,053 6,866 5,187
1,557,101 1,488,763 68,338
L~
(Continued)
82
n
1
0
1
1
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
Variance
Favorable
Budget Actual (Unfavorable)
Public safety (continued)
Emergency and disaster relief
Civil preparedness $ 7,720 $ 1,432 $ 6,288
Total emergency and disaster relief 7,720 1,432 6,288
Fire rescue/EMS services
Salaries
F.I.C.A.
Retirement
Life and health insurance
Workers' compensation insurance
Volunteer fire rescuelEMS
Accounting and auditing
Contractual services
Travel and per diem
Communication services
Utility services
Rentals and leases
Repairs and maintenance
Insurance
Printing and binding
Operating supplies
Office supplies
Books, publications, dues
Other charges
Total fire rescue/EMS services
Total public safety
762,875 759,378 3,497
62,590 57,792 4,798
111,000 110,595 405
61,665 61,863 (198)
38,465 37,713 752
8,470 8,438 32
3,650 3,640 10
6,947 (6,947).
1,355 1,166 189
7,016 6,940 76
2,260 1,861 399
1,635 1,628 7
32,130 27,467 4,663
18,960 18,949 11
450 338 112
31,705 30,549 1,156
3,000 2,695 305
5,545 5,225 320
49,080 38,289 10,791
1,201,851 1,181,473 20,378
2,766,672 2,671,668 95,004
(Continued)
83
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
Budget
Transportation
Road and street facilities
Salaries
F.LC.A.
Retirement
Life and health insurance
Workers' compensation insurance
Professional fees
Contractual services
Travel and per diem
Communication services
Utility services
Rentals and leases
Repairs and maintenance
Insurance
Operating supplies
Road materials and supplies
Books, publications, dues
Other charges
Total transportation
Actual
Variance
Favorable
(Unfavorable)
$ 110,050 $ 48,049 $ 62,001
8,250 3,786 4,464
14,930 9,932 4,998
12,950 12,932 18
4,880 4,774 106
29,500 25,736 3,764
96,800 80,706 16,094
2,900 2,114 786
5,400 5,179 221
64,500 57,906 6,594
1,450 1,409 41
.29,700 23,045 6,655
13,500 11,961 1,539
5,300 2,514 2,786
8,400 5,883 2,517
300 225 75
1,000 170 830
409,810 296,321 113,489
(Continued)
84
1
1
1
1
1
1
1
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1
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1
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1
1
1
1
1
1
1
1
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
Human services
Health -mosquito control
Salaries
Repairs and maintenance
Operating supplies
Personnel training
Total human services
Variance
Favorable
Budget Actual (Unfavorable)
$ 800 $ 90 $ 710
200 200
2,850 2,485 365
1,000 409 591
4,850 2,984 1,866
Culture/Recreation
Parks and recreation
Salaries
F.I.C.A.
Retirement
Life and health insurance
Workers' compensation insurance
Contractual services
Travel and per diem
Communication services
Utility services
Repairs and maintenance
Insurance
67,060 66,988 72
5,240 5,192 48
10,920 9,890 1,030
6,060 5,078 982
2,900 2,900
61,480 55,506 5,974
1,700 1,683 17
1,700 1,646 54
23,500 23,421 79
35,600 35,388 212
3,500 3,337 163
(Continued)
85
VILLAGE OF TEQUESTA, FLORIDA
General Fund
Schedule of Departmental Expenditures -Budget and Actual
For the Fiscal Year Ended September 30,1999
Culture/Recreation (continued)
Parks and- recreation (continued)
Operating supplies
Office supplies
Books, publications, dues
Aid to community organizations
Aid to government organizations
Other charges
Total culture/recreation
Capital outlay
General government -executive
General government -other
Police
Fire rescue/EMS services.
Transportation
Culture/Recreation
Total capital outlay
Debt service
Principal retirement
Interest
Total debt service
Total expenditures
Budget
Actual
Variance
Favorable
(Unfavorable)
$ 4,000 $ 2,226 $ 1,774
200 115 85
300 240 60
25,500 23,000 2,500
2,000 1,755 245
1,000 652 348
252,660 239,017 13,643
2,900 2,058 842
4,818 1,000 3,818
96,623 101,130 (4,507)
25,041 13,493 11,548
56,250 41,752 14,498
13,834 4,590 9,244
199,466 164,023 35,443
74,886 74,542 344
27,562 27,315 247
102,448 101,857 591
$ 4,687,155 $ 4,315,784 $ 371,371
86
1
1
1
1
VILLAGE OF TEQUESTA, FLORIDA
Special Revenue Fund
Schedule of Revenues -Budget and Actual
For the Fiscal Year Ended September 30,1999
Variance
Favorable
Budget Actual (iJnfavorable)
Taxes
Franchise fees $338,705 $351,907 $ 13,202
Total taxes 338,705 351,907 13,202
Licenses and permits
Professional and occupational licenses 78,000 92,817 14,817
Total licenses and permits 78,000 92,817 14,817
Interest 10,339 10,339
Total revenues $416,705 $455,063 $ 38,358
e
87
1
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1
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1
VILLAGE OF TEQUESTA, FLORIDA
Capital Project Funds
Combining Balance Sheet
September 30,1999
Assets
Cash and cash equivalents
Investments
Total assets
Liabilities and equity
Liabilities
Accounts payable
Equity
Reserved for:
Encumbrances
Unreserved
Designated for:.
Road projects
Undesignated
Total equity
Total liabilities and equity
Capital Bond
Improvement Construction
Fund Fund
Capital
Projects
Fund Total
$ $ $ 353 $ 353
353,886 353,886
$ 353,886 $ $ 353 $354,239
$ 981 $ $ $ 981
9,030 113,597 122,627
155,370 155,370
188,505 113,244) 75,261
352,905 353 353,258
$ 353,886 $ $ 353 $354,239
88
VILLAGE OF TEQUESTA, FLORIDA
Capital Project Funds
Combining Statement of Revenues,
Expenditures and Changes in Fund Balance
For the Fiscal Year Ended
September 30,1999
Revenues
Interest
Miscellaneous
Total revenues
Expenditures
Capital outlay
Debt service -principal retirement
Debt service -interest
Total expenditures
Excess of revenues over (under)
expenditures
Other financing sources
Debt proceeds
Transfers in.
Total other financing sources
Excess of revenues and other
financing sources over expenditures
Capital Bond Capital
Improvement Construction Projects
Fund Fund Fund Total
$ 16,676 $ $ $ 16,676
2,810 2,810
16,676 2,810 19,486
157,056 1,489,147 1,646,203
96,783 96,783
67,907 67,907
157,056. 1,653,837 1,810,893
140,380 2,810 (1,653,837) 1,791,407)
1,565,571 1,565,571
202,500 88,619 291,119
202,500 1,654,190 1,856,690
62,120 2,810 353 65,283
Fund balances, October 1, 1998 290,785 (2,810 287,975
Fund balances, September 30, 1999 $ 352,905_ $ $ 353 $ 353,258
89
VILLAGE OF TEQUESTA, FLORIDA
Capital Project Funds
Combining Statement of Revenues, Expenditures and
Changes in Fund Balance -Budget and Actual
For the Fiscal Year Ended
September 30,1999
Revenues
Interest
Miscellaneous
Total revenues
Expenditures
Capital outlay
Debt service -principal retirement
Debt service -interest
Total expenditures
Excess of revenues over (under)
expenditures
Other financing sources
Debt proceeds
Transfers in
Total other financing sources
Excess of revenues and other financing
sources over (under) expenditures
Fund balances, October 1, 1998
Fund balances, September 30, 1999
Capital Improvement Fund
Budget Actual Variance
$ 4,000 $ 16,676 $ 12,676
4,000 16,676 12,676
340,350 157,056 183,294
340,350 157,056 183,294
(336,350) 140,380 195,970
202,500 202,500
202,500 202,500
$ 133,850 62,120 $195,970
290,785
$352,905
90
Bond Construction Fund Capital Projects Fund
Budget Actual Variance Budget Actual Variance
$ $ $ $ $ $
2,810 2,810
2,810 2,810
275,000 275,000 1,518,100 1,489,147 28,953
97,001 96,783 218
10,000 10,000 63,400 67,907 4,507
285,000 285,000 1,678,501 1,653,837 24,664
285,000) 2,810 287,810 (1,678,501) (1,653,837) 24,664
285,000 (285,000) 1,630,501 1,565,571 64,930
212,523 88,619 123,904
285,000 (285,000) 1,843,024 1,654,190 188,834
2,810 $ 2,810 $ 164,523
353 $ 164,170
2,810)
$ 353
(Continued)
91
VILLAGE OF TEQUESTA, FLORIDA
Capital Project Funds.
Combining Statement of Revenues, Expenditures and
Changes in Fund Balance -Budget and Actual
For the Fiscal Year Ended
September 30,1999
Totals
Revenues
Interest
Miscellaneous
Total revenues
Expenditures
Capital outlay
Debt service -principal retirement
Debt service -interest
Total expenditures
Excess of revenues over (under)
expenditures
Budget Actual Variance
$ 4,000 $ 16,676 $ 12,676
2,810 2,810
4,000 19,486 15,486
2,133,450 1,646,203 487,247
97,001 96,783 218
73,400 67,907 5,493
2,303,851 1,810,893 492,958
2,299,851) 1,791,407 508,444
Other financing sources
Debt proceeds
Transfers in
Total other financing sources
Excess of revenues and other financing
sources over (under) expenditures
Fund balances, October 1, 1998
Fund balances, September 30, 1999
1,915,501 1,565,571 (349,930)
415,023 291,119 123,904)
2,330,524 1,856,690 473,834
$ 30,673 65,283 $ 34,610
287,975
$ 353,258
92
PROPRIETARY FUNDS
(ENTERPRISE FUNDS)
VILLAGE OF TEQUESTA, FLORIDA
Combining Balance Sheet -Enterprise Funds
September 30,1999
Assets
Cash and equivalents
Investments
Accounts receivable
Due from other funds
Due from other governments
Prepaids
Inventories
Restricted assets
Cash and equivalents
Investments
Other assets
Fixed assets
Total assets
Liabilities and equities
Accounts payable
Accrued liabilities
Payable from restricted assets
Deposits
Due to other governments
Deferred revenue
Current portion of:
Notes payable
Bonds payable
Compensated absences
Notes payble
Bonds payable
Total liabilities
Equity
Contributed capital
Retained earnings
Reserve for:
Capital improvements
Renewal and replacement
Debt service
Unreserved
Total equity
Total liabilities and equity
Community Storm Water Refuse and
Development Utility Recycling
Fund Fund Fund
$ 14,043 $ 4,273 $ 1,204
960,921 120,837 78,138
702 200 208
95,000
11,274 399,654
$ 986,940 $ 619,964 $ 79,550
$ 11,547 $ 13,124 $ 25,143
6,579 830
784
22,216 218
41,126 14,172 25,143
4,476 230,825
941,338 374,967 54,407
945,814 605,792 54,407
$ 986,940 $ 619,964 $ 79,550
93
Water
$ 1,017,706 $ 1,037,226
2,418,254 3,578,150
325,511 326,621
4,088 4,088
95,000
3,027 3,027
27,025 27,025
453,718 453,718
3,749,715 3,749,715
108,797 108,797
12,965,507 13,376,435
$21,073,348 $22,759,802
$ 196,402 $ 246,216
50,901 58,310
263,090 263,090
18,092 18,092_
784
4,168 4,168
135,000 135,000
77,835 100,269
104,393 104,393
7,611,040 7,611,040
8,460,921 8,541,362
4,801,692 5,036,993
3,722,296 3,722,296
163,069 163,069
54,978 54,978
3,870,392 5,241,104
12, 612,427 14,218,440
$21,073,348 $22,759,802
94
VII~LAGE OF TEQUESTA, FLORIDA
Combining Statement of Revenues, Expenses and Changes in
Retained Earnings -Enterprise Funds
For the Fiscal Year Ended September 30, 1999
Operating revenues
Charges for services
Licenses and permits
Total operating revenues
Operating expenses
Purchased services
Personal services
Professional services
Contractual services
Travel and per diem
Management services
Office supplies
Operating supplies
Repairs and maintenance
Utilities
Insurance
Other
Depreciation
Total operating expenses
Operating income (loss)
Nonoperating revenues (expenses)
Interest income
Net decrease in fair value of investments
Interest expense and fiscal charges
Community aid donation
Gain on sale of land
Total nonoperating revenues (expenses)
Income before operating transfers
Operating transfers
Operating transfers in
Operating transfers out
Total operating transfers in (out)
Net income
Retained earnings, October 1, 1998
Retained earnings, September 30, 1999
Community Storm Water Refuse and
Development Utility , Recycling
Fund Fund Fund
$ 50,147 $ 243,373 $ 311,428
746,757
796,904 243,373 311,428
309,416
184,433 19,786
28,956 33,112
44,206 11,410
4,442 680
10,136 6,019 6,280
4,625 532
8,871 11,666
1,772
3,141 2,473
4,774 3,136
2,039 4,978
297,395 93,792 315,696
499,509 149,581 (4,268)
40,575 15,313 11,087
YV,.J/.) 1J,J1J ll,vV/
540,084 164,894 6,819
59,100 24,500
(60,300)
59,100 (35,800)
599,184 129,094 6,819
342,154 245,873 47,588
$ 941,338 $ 374,967 $ 54,407
95
1
1
Water
$3,641,068 $4,246,016
746,757
3,641,068 4,992,773
667,950 977,366
660,223 864,442
317,517 379,585
69,832 125,448
3,595 8,717
171,800 194,235
29,889 35,046
81,417 81,417
127,526 148,063
106,248 108,020
28,946 _ 34,560
16,673 24,583
389,105 396,122
2,670,721 3,377,604
970,347 1,615,169
505,097 572,072
(86,811) (86,811)
(289,505) (289,505)
(6,000) (6,000)
16,937 16,937
139,718 206,693
1,110,065 1,821,862
83,600
(215,000) (275,300)
(215,000) (191,700)
895,065 1,630,162
6,915,670 7,551,285
$7,810,735 $9,181,447
96
VILLAGE OF TEQUESTA, FLORIDA
Enterprise Funds
Combining Statement of Revenues, Expenses and
Changes in Retained Earnings -Budget and Actual
September 30,1999
Community Development Fund
Operating revenues
Charges for services
Licenses and permits
Total operating revenues
Operating expenses
Purchased services
Personal services
Professional services
Contractual services
Travel and per diem
Management services
Office supplies
Operating supplies
Repairs and maintenance
Utilities
Insurance
Other
Depreciation
Total operating expenses
Operating income (loss)
Nonoperating revenues (expenses)
Interest income
Net decrease in fair value of investments
Interest expense and fiscal charges
Community aid donation
Gain on sale of land
Grant revenue
Total nonoperating revenues (expenses)
Income before operating transfers
Operating transfers
Operating transfers in
Operating transfers out
Total operating transfers in (out)
Net income
Retained earnings, October 1, 1998
Retained earnings, September 30, 1999
Budget Actual Variance
$ 29,000. $ 50,147 $ 21,147
367,300 746,757 379,457
396,300 796,904 400,604
189,697 184,433 5,264
34,000 28,956 5,044
60,406 44,206 16,200
4,900 4,442 458
10,760 10,136 624
7,100 4,625 2,475
6,035 8,871 (2,836)
1,933 1,772 161
3,145 3,141 4
1,443 4,774 (3,331)
2,039 2,039
321,458 297,395 24,063
74,842 499,509 424,667
8,000 40,575 32,575
(3,115) 3,115
10,000 (10,000)
14,885 40,575 25,690
on -,~-, cnn non ncn ~c~
59,100 59,100
59,100 59,100
97
~yy,ia~+
']A1 1GA.
$ 941,338
$ 450,357
ii
1
1
1
1
1
Storm Water Utility Fund Refuse and Recycling Fund
Budget Actual Variance Budget Actual Variance
$ 250,000 $ 243,373 $ (6,627) $ 328,500 $ 311,428 $ (17,072)
250,000 243,373 (6,627) 328,500 311,428 (17,072)
344,805 309,416 35,389
26,995 19,786 7,209
42,670 33,112 9,558
11,609 11,410 199
680 680
6,220 6,019 201 7,015 6,280 735
775 532 243
21,950 11,666 10,284
2,475 2,473 2
3,120 3,136 (16)
7,100 4,978 2,122
123,594 93,792 29,802. 351,820 315,696 36,124
126,406 149,581 23,175 (23,320) (4,268) 19,052
4,000
15,313 11,313
23,320 11,087 (12,233)
3,840
(3,840)
7,840 15,313 7,473 23,320 11,087 (12,233)
134,246 164,894 30,648 6,819 6,819
24,500 24,500
(60,300) (60,300)
(35,800) (35,800)
$ 98,446 129,094 $ 30,648 $ 6,819 $ 6,819
245,873 47,588
$ 374,967 $ 54,407
(Continued)
98
VILLAGE OF TEQUESTA, FLORIDA
Enterprise Funds
Combining Statement of Revenues, Expenses and
Changes in Retained Earnings -Budget and Actual
September 30,1999
(Continued)
Operating revenues
Charges for services
Licenses and permits
Total operating revenues
Operating expenses
Purchased services
Personal services
Professional services
Contractual services
Travel and per diem
Management services
Office supplies
Operating supplies
Repairs and maintenance
Utilities
Insurance
Other
Depreciation
Total operating expenses
Operating income (loss)
Nonoperating revenues (expenses)
Interest income
Net decrease in fair value of investments
Interest expense and fiscal charges
Community aid donation
Gain on sale of land
Grant revenue
Total nonoperating revenues (expenses)
Income before operating transfers
Operating transfers
Operating transfers in
Operating transfers out
Total operating transfers in (out)
Net income
Retained earnings, October 1, 1998
Retained earnings, September 30, 1999
Water Fund
Budget Actual Variance
$ 3,061,500 $ 3,641,068 $ 579,568
3,061,500 3,641,068 579,568
667,950 667,950
718,803 660,223 58,580
326,109 317,517 8,592
74,432 69,832 4,600
3,596 3,595 1
171,800 171,800
29,896 29,889 7
78,618 81,417 (2,799)
255,754 127,526 128,228
112,906 106,248 6,658
28,955 28,946 9
13,788 16,673 (2,885)
389,105 (389,105)
2,482,607 2,670,721 (188,114)
578,893 970,347 391,454
111,000 505,097 394,097
(86,811) (86,811)
(496,396) (289,505) 206,891
(10,000) (6,000) 4,000
16,937 16,937
(395,396) 139,718 535,114
183,497 1,110,065 926,568
(215,000) (21 s,ooo)
(215,000) (215,000)
$ (31,503) 895,065 $ 926,568
6,915,670
$ 7,810,735
99
~~
Total
Budget Actual Variance
$ 3,669,000 $ 4,246,016 $ 577,016
367,300 746,757 379,457
4,036,300 4,992,773 956,473
1,012,755 977,366 35,389
935,495 864,442 71,053
402,779 379,585 23,194
146,447 125,448 20,999
9,176 8,717 459
195,795 194,235 1,560
37,771 35,046 2,725
78,618 81,417 (2,799)
283,739 148,063 135,676
114,839 108,020 6,819
34,575 34,560 15
18,351 24,583 (6,232)
9,139 396,122 (386,983)
3,279,479 3,377,604 (98,125)
756,821 1,615,169 858,348
146,320 572,072 425,752
(86,811) (86,811)
(499,511) (289,505) 210,006
(10,000) (6,000) 4,000
3,840 16,937 13,097
10,000 (10,000)
(349,351) 206,693 556,044
407,470 1,821,862 1,414,392
83,600 83,600
(275,300) (275,300)
(191,700) (191,700)
$ 215,770 1,630,162 $ 1,414,392
7,551,285
$ 9,181,447
100
VILLAGE OF TEQUESTA, FLORIDA
Combining Statement of Cash Flows-
Enterprise Funds
For the Fiscal Year Ended September 30,1999
Community Storm Water
Development Utility
Fund Fund
Cash flows from operating activities
Net operating income (loss) $ 499,509 $ 149,581
Adjustments to reconcile net operating income (loss)
to net cash provided by (used in) operating activities
Depreciation 2,039 4,978
Changes in assets and liabilities
(Increase) decrease in:
Accounts receivable (180) 293
Due from other funds 5,147 1,715
Prepaids
Inventories
Increase (decrease) in:
Accounts payable (4,544) 7,715
Accrued liabilties 2 (1,132)
Deposits
Deferred revenue (5,389)
Compensated absences (120) (484)
Due to other funds (9,475)
Due to other governments
Net cash provided by (used in) operating activities 486,989 162,666
Cash flows from noncapital financing activities
Operating transfers from other funds 59,100 24,500
Operating transfers to other funds (60,300)
Grant revenue 135,826
Contribution
Net cash provided by (used) for noncapital
financing activities 59,100 100,026
101
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Refuse and
Recycling Water
Fund Fund Total
$ (4,268) $ 970,347 $1,615,169
389,105 396,122
2,361 7,690 10,164
15,834 22,696
(3,027) (3,027)
(9,965) (9,965)
569 68,603 72,343
(7,959) (9,089)
14,350. 14,350
(1,680,571) (1,685,960)
(14,570) (15,174)
(9,475)
615 615
(1,338) (249,548) 398,769
83,600
(215,000) (275,300)
135,826
(6,000) (6,000)
(221,000) (61,874)
(Continued)
.102
VILLAGE OF TEQUESTA, FLORIDA
Combining Statement of Cash Flows-
Enterprise Funds
For the Fiscal Year Ended September 30,1999
(Continued)
Community
Development
Fnnrl
Storm Water
Utility
Fund
Cash flows from capital and related
financing activities
Capital contributions
Acquisition and construction of fixed assets
Proceeds from land sale
Proceeds from notes payable
Principal paid on notes payable
Interest paid on notes payable
Interest paid on revenue bonds
Fiscal charges paid on revenue bonds
Payment on construction contracts
(9,408)
Net cash used for capital and
related financing activities
Cash flows from investing activities
Purchases and sales of investments
Interest received on investments
Net cash provided by (used) for investing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents, October 1, 1998
Cash and cash equivalents, September 30, 1999
Noncash Lnvestine, Capital -and Financing Activities
Capital grant receivable
Noncash capital contribution from developers
Net decrease in fair value of investments
(129,286)
(86,689)
(9,408) (215,975) '
(581,532)
40,575
(540,957)
(4,276)
18,319
$ 14,043
(63,993)
15,313
(48,680)
(1,963)
6,236
$ 4,273
$ 95,000
1
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Refuse and
Recycling Water
Fund Fund
(12,901)
11,089
(1,812)
(3,150)
4,354
$ 1,204
$ 493,242
(5,152,247)
16,937
108,000
(11,968)
(99,588)
(389,740)
(3,830)
(5,039,194)
5,218,485
501,458
5,719,943
210,201
1,261,223
$ 1,471,424
$ 16,500
$ (86,811)
104
Total
$ 493,242
(5,290,941)
16,937
108,000
(11,968)
(99,588)
(389,740)
(3,830)
(86,689)
(5,264,577)
4,560,059
568,435
5,128,494
200,812
1,290,132
$1,490,944
$ 95,000
$ 16,500
$ (86,811)
VILLAGE OF TEQUESTA, FLORIDA
Water Fund
Schedule of Restricted Accounts Under Revenue Bond Ordinance
For the Fiscal Year Ended September 30,1999
Cash and investments, October 1, 1998
Increases
Impact fees
Transfers from unrestricted accounts
Total
Decreases
Renewal and
Debt Service Construction Replacement Impact Fee
Account Account Account Account
$ 32,478 $ 7,115,017 $ 137,145 $ 114,638
493,242
22,500 25,924
$ 22,500 $ $ 25,924 $ 493,242
Capital outlay 4,730,732 12,500
Total $ 4,730,732 $ 12,500
Cash and investments, September 30, 1999 $ 54,978 $ 2,384,285 $ 163,069 $ 595,380
105
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VILLAGE OF TEQUESTA, FLORIDA
Trust Funds
Combining Balance Sheet
September 30,1999
Assets
Cash and cash equivalents
Investments at fair value
Receivables
Total assets
Liabilities and fund balances
Accounts payable
Due to other funds
Total liabilities
Fund balances
Reserved for:
Law enforcement
Employees' pension benefits
Total liabilities and fund balances
Expendable
Trust Fund
Special
Law Enforcement
Trust Fund
$ 11,804
6,951
$ 18,755
$ 18,755
$ 18,755
106
Pension
Trust
Funds
All
Pension
Funds
$ 1,764
1,263,951
14,392
$ 1,280,107
$ 436
11,000
11,436
1,268,671
$ 1,280,107
Total
$ 13,568
1,270,902
14,392
$ 1,298,862
$ 436
11,000
11,436
$ 18,755
1,268,671
$ 1,298,862
VILLAGE OF TEQUESTA, FLORIDA
Pension Trust Funds
Combining Statement of Plan Net Assets
September 30,1999
Assets
Cash and cash equivalents
Investments at fair value
Receivables
Total assets
Liabilities and Fund Balances
Liabilities
Accounts payable
Due to other funds
Total liabilities
Police General
Firefighters' Officers' Employees'
Total
$ 827 $ 810 $ 127 $ 1,764
1,069,093 131,271 63,587 1,263,951
8,517 2,310 3,565 14,392
$1,078,437 $134,391 $ 67,279 $ 1,280,107
$ 144 $ 148 $ 144 $ 436
8,000 2,000 1,000 11,000
8,144 2,148 1,144 11,436
Fund balances
Reserved for employees'
pension benefits (1} $1,070,293 $132,243 $ 66,135 $ 1,268,671
Total liabilities and fund balances $1,078,437 $134,391 $ 67,279 $ 1,280,107
(1) A schedule of funding progress for each plan is presented on page 72.
107
VILLAGE OF TEQUESTA, FLORIDA
Combining Statement of Changes in Plan Net Assets
Pension Trust Funds
Fiscal Year Ended September 30,1999
Additions
Contributions
Employer
Plan members
Other
Total contributions
Investment income
Net appreciation in fair
value of investments
Interest and dividends
Net investment income
Total additions
Deductions
Refunds of contributions
Investment expense
Administrative expense
Total deductions
Net increase
Police General
Firefighters' Officers' Employees' Total
$ 107,914 $ 20,266 $ 17,456 $ 145,636
35,493 6,742 14,172 56,407
35,118 29,795 64,913
178,525 56,803 31,628 266,956
78,297 11,329 5,278 94,904
31,539 2,669 1,415 35,623
109,836 13,998 6,693 130,527
288,361 70,801 3 8,321 397,483
35,914 8,628 44,542
10,572 946 528 12,046
6,249 462 172 6,883
52,735 1,408 9,328 63,471
235,626 69,393 28,993 334,012
Fund balance reserved for employees'
pension benefits
October 1, 1998 834,667 62,850 37,142 934,659
September 30, 1999 $1,070,293 $ 132,243 $ 66,135 $1,268,671
108
VILLAGE OF TEQUESTA, FLORIDA
Schedule of General Fixed Assets by Source
September 30,1999
General fixed assets
Land
Buildings
Improvements other than buildings
Equipment
Construction in progress
Total general fixed assets
Investment in general fixed assets
General Fund revenue
Total investment in general fixed assets
$ 397,653
1,113,919
258,777
1,794,150
1,550,550
$ 5,115,049
$ 5,115,049
$ 5,115,049
109
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VILLAGE OF TEQUESTA, FLORIDA
Schedule of General Fized Assets by Function
September 30,1999
Buildings Construction
and in
Total Land Improvements Equipment Progress
General government $2,808,271 $347,925 $ 910,568 $ 60,631 $ 1,489,147
Public safety 1,685,101 120,989 1,502,709 61,403
Transportation 180,524 7,713 172,811
Human services 5,520- 5,520
Culture/Recreation 320,989 49,728 218,782 52,479
Total general fined assets 5,000,405 397,653 1,258,052 1,794,150 1,550,550
Prior year data which
cannot be allocated 114,644 114,644
Total general fixed assets $5,115,049 $397,653 $ 1,372,696 $1,794,150 $ 1,550,550
110
VILLAGE OF TEQUESTA, FLORIDA
Schedule of Changes in General Fixed Assets
By Function
For the Year Ended September 30,1999
General General
Fixed Assets Fixed Assets
October 1, September 30,
1998 Additions Deletions Transfers 1999
General government $ 1,325,966
Public safety 1,608,046
Transportation 187,793
Human services 5,520
Culture/Recreation 310,681
3,438,006
$1,492,205 $ 7,843 $ (2,057) $ 2,808,271
111,893 49,842 15,004 1,685,101
32,331 39,600 180,524
5,520
12,248 1,940 320,989
1,648,677 99,225 12,947 5,000,405
Prior to allocation by
function 114,644 114,644
Total general fixed
assets $ 3,552,650 $1,648,677 $ 99,225 $ 12,947 $ 5,115,049
111
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OTHER SUPPLEMENTAL INFORMATION
1
VILLAGE OF TEQUESTA, FLORIDA
Schedule of Insurance
September 30,1999
Employees Statutory Life
Group Life Insurance
Group Hospitalization
Comprehensive Automobile
Liability
Public Employees Blanket Bond
Public Official Bond
Workmen's Compensation
Multi-peril
Public Official's Liability
Police Professional Liability
EMT Professional Liability
Boiler and Machinery Liability
Unlawful and Intentional Death
(Police Department Personnel,
death resulting from an
intentional and illegal act)
Policy Number Coverage
651006854 $20,000
Canada Life 85597 1.5 times annual
salary
FMIT 223 Various
651006854 $1,000,000
CCP001750002 $100,000
30158137 $100,000
PGIT39099 $1,000,000
651006854 $2,000,000
POD000160-3 $1,000,000
651006854 $2,000,000
EMS0000210 $1,000,000
FBPAT9442007-08 $2,000,000
ETB l OZ089 $75,000
112
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VILLAGE OF TEQUESTA, FLORIDA
General Revenues by Source (iJnaudited) (1)
Last Ten Fiscal Years
Licenses
Fiscal Year Ended and
September 30 Taxes Permits (3)
1990 $2,485,814 $190,743
1991 2,545,957 153,314
1992 2,645,035 222,465
1993 2,666,148 188,477
1994 2,833,720 198,000
1995 2,985,573 292,272
1996 3,184,007 246,450
1997 3,279,491 91,570
1998 3,542,883 89,203
1999 3,784,810 104,428
(1) Includes General, Special Revenue, Capital Projects, and Expendable Trust Funds.
(2) Includes intragovernmental services, impact fees and interest income.
(3) Beginning 1997, Building Permits reported in Community Development Enterprise Fund,
Occupational Licenses reported herein only.
Source: Village of Tequesta financial records.
113
Charges
for Fines and
Intergovernmental Services Forfeits Miscellaneous(21 Total
$872,494 $ 14,146 $ 37,903 $304,227 $3,905,327
513,839 17,442 38,035 241,371 3,509,958
528,276 27,174 31,647 215,887 3,670,484
531,696 21,304 .46,037 202,040 3,655,702
423,606 189,691 48,885 223,494 3,917,396
898,701 241,848 43,555 308,037 4,769,986
950,477 213,283 78,578 279,658 4,952,453
471,023 291,711 63,343 298,757 4,495,895
485,648 273,779 74,641 292,526 4,758,680
532,558 300,073 71,780 449,542 5,243,191
114
VILLAGE OF TEQUESTA, FLORIDA
General Government Expenditures by Function (iJnaudited) (1)
Last Ten Fiscal Years
Fiscal Year Ended General Public
September 30 Government Safetv (2) Transportation
1990 $ 671,631 $1,725,165 $1,206,458 '
1991 616,142 1,938,477 557,001
1992 743,343 2,056,825 651,665 ;
1993
939,549
2,552,513 '
592,751
1994 678,217 2,662,075 859,763
1995 828,386 2,546,227 586,534 '
1996 891,574 2,662,616 1,045,018
1997 760,326 2,756,090 923,626
1998 980,086 2,652,367 582,041 '
1999 2,333,102 2,786,291 487,471
(1) Includes General; Special Revenue, Debt Service, Capital Projects and Expendable Trust Funds. '
(2) Includes Fire/Emergency Contract with Palm Beach County beginning year 1985 through year 1993.
Tequesta began its own department beginning in year 1994. '
(3) Refuse/Recycling Service reported in Enterprise Fund beginning year 1991.
Source: Village of Tequesta financial records.
115 '
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Culture
Physical Human and Debt
Environment(3) Services Recreation Service Total
$437,236 $ 930 $ 110,989 $ 90,082 $4,242,491
5,550 2,879 158,740 87,707 3,366,496
5,224 4,143 127,550 91,009 3,679,759
4,594 591 160,210 88,565 4,338,773
624 123,332 304,476 4,628,487
.4,179 472 1,262,093 201,415 5,429,306
1,033 803,188 206,861 5,610,290
1,033 208,619 207,771 4,857,465
1,255 347,678 252,229 4,815,656
2,984 251,267 409,917 6,271,032
116
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VILLAGE OF TEQUESTA, FLORIDA
Property Tax Levies and Collections (Unaudited) (1)
Last Ten Fiscal Years
Fiscal Year Total Current Tax Percent Outstanding Delinquent
Ended Tax Levy Collections of Levy Delinquent Taxes to
September 30 ~1) (1L Collected Taxes Tax Lew
1990 $1,821,025 $1,813,915 99.6% $ 7,110 .4%
1991 1,864,093 1,850,505 99.3 13,588 .7
1992 1,969,500 1,960,892 99.6 8,608 .4
1993 1,973,375 1,958,191 99.2 15,184 .8
1994 1,968,572 1,950,778 99.1 1.7,794 .9
1995 2,048,066 2,028,987 99.1 19,079 :9
1996 2,166,385 2,158,420 99.6 7,965 .4
1997 2,270,529 2,263,146 99.7 7,383 .3
1998 2,457,085 2,450,091 99.7 6,994 .3
1999 2,653,474 2,642,313 99.5 11,161 .5
(1) Includes discounts taken by property taxpayers.
Source: Palm Beach County Tax Collector's office.
117
VILLAGE OF TEQUESTA, FLORIDA
Taxable Value and Just Value of
Taxable Property (Unaudited)
Last Ten Fiscal Years
Real Prop erty
Taxable
September 30 Value Just Value
1990 $337,942,463 $414,814,947
1991 346,506,060 424,334,994
1992 341,068,104 418,897,038
1993 329,131,590 406,420,054
1994 326,699,785 406,281,260
1995 328,167,741 409,679,164
1996 337,376,976 424,956,672
1997 346,611,843 436,504,082
1998 366,649,040 454,995,565
1999 391,373,771 487,378,779
Source: Palm Beach County Property Appraiser's office.
118
Personal Fropert,~ Total Ratio
Taxable Just Taxable- Just Taxable Value
Value Value Value Value To Just Value
$16,463,806 $21,797,356 $354,406,269 $436,612,303 81%
15,726,846 20,588,283 362,232,906 444,923,277 81%
15,846,444 20,706,881 356,914,548 439,603,919 81%
15,683,045 16,779,738 344,814,635 423,199,792 81%
16,461,659 17,709,182 343,161,444 423,990,442 81%
16,070,906 18,042,404 344,238,467 427,721,568 80%
16,264,236 18,268,307 353,641,212 443,224,979 80%
16,332,495 18,374,057 362,944,338 454,878,139 80%
17,405,293 19,996,199 384,054,333 474,991,764 81%
16,920,043 20,210,854 408,293,814 507,589,633 80%
119
VILLAGE OF TEQUESTA, FLORIDA
Property Tax Rates -All Direct and Overlapping Governments (iTnaudited)
(Per $1,000 of Assessed Value)
Last Ten Fiscal Years
South
Florida
Fiscal Year County Water
Ending General School County Management
September 30 Fund Coun Board Library District
1990 6.1828 4.8904 9.1990 .3910 :5470
1991 5.4085 4.8314 9.2930 .3790 .5470
1992 5.7515 4.6440 9.7850 .3939 .5470
1993 5.9000 4.6221 9.6030 .3885 .5470
1994 5.9140 4.5499 10.0630 .3915 .5970
1995 6.1280 4.5193 10.1850 .4437 .5970
1996 6.3425 4.5191 9.7970 .4838 .5470
1997 6.4693 4.866 9.5570 .4997. .6970
1998 6.6310 4.8666 9.5570 .4977 .6970
1999 6.7305 4.8580 9.6820 .5246 .6970
120
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Florida
Naviga-
Jupiter tional Children's County
Inlet Inland Services Health Care
District District Council District Total
.1772 .0370 .1929 1.2500 22.8673
.1434 .0550 .2238 1.2500 22.1311
.1325 .0530 .2215 1.4750 23.0034
.1257 .0520 .3039 1.4750 23.0172
.1257 .0510 .3297 1.4750- 23.4968
.1257 .0490 .3522 1.4500 23.8499
.1240 .0400 .3730 1.4250 23.6514
.1203 .0500 .4530 1.1600 23.8723
.1203 .0500 .4530 1.1600 .24.0326
.1180 .0470 .4403 1.0500 24.1474
121
VILLAGE OF TEQUESTA, FLORIDA
Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt Per Capita (Unaudited)
Last Ten Fiscal Years
Fiscal Year
Ended Taxable
September 30 Po~ulation* Value
1990 4,499 $354,406,269
1991 4,508 362,567,496
1992 4,533 356,914,548
1993 4,551 344,814,635
1994 4,609 343,161,444
1995 4,623 344,238,467
1996 4,637 353,641,212
1997 4,686 362,944,338
1998 5,036 384,054,333
1999 5,122 408,293,784
* Source: Palm Beach County Planning Board, University of Florida Estimates,
Federal Census, and Village Building Department Records.
122
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Debt Ratio of Net
Gross Service Net Bonded Debt Net Bonded
Bonded Monies Bonded to Assessed Debt
Debt Available Debt Value Per Capita
$ 680,000 $127,917 $ 552,083 .16% $122.71
650,000 128,978 521,022 .14 115.58
615,000 123,720- 491,280 .14 108.38
580,000 120,530 459,470 .13 100.96
1,365,000 98,453 1,266,547 .37 274.80
1,310,000 85,751 1,224,249 .36 264.82
1,250,000 35,977 1,214,023 .34 261.81
1,185,000 39,562 1,145,438 .32 244.44
1,115,000 48,871 1,066,129 .28 211.70
1,040,000 75,874 964,126 .24 188.23
123
VILLAGE OF TEQUESTA, FLORIDA
Computation of Legal Debt Margin
September 30,1999
Total assessed value
Legal debt margin:
Debt limitation - 10% of total
assessed value
Total debt outstanding
Less: amount available in
debt service fund
Total debt applicable to limitation
Legal debt margin
$1,040,000
75,874
124
$391,373.771
$39,137,377
964.126
$38,173.251
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VILLAGE OF TEQUESTA, FLORIDA
Computation of Direct and Overlapping Debt (Unaudited)
September 30,1999
Percentage Amount
Applicable Applicable
Net Debt to to
Taxing Authority Outstanding Tequesta Tequesta
Direct
Village of Tequesta $ 964,126 100.00% 964126
Overlapping
Palm Beach County 119,835,000 .64% 766,944
Palm Beach County
School Board 189.685.000 .64% 1,213.984
Total overlapping 309,520,000 1.980.928
Total $310,484,126 $2,945.054
Source: Above Government Entities
125
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VILLAGE OF TEQUESTA, FLORIDA
Ratio of Annual Debt Service Expenditures for
General Bonded Debt to Total General Expenditures (Unaudited)
Last Ten Fiscal Years
Ratio of Debt
Total Service to
Fiscal Year Total General Total
Ended Debt Expenditures General
September 30 Principal Interest Service (1) Expenditures
1990 $ 30,000 $ 60,082 $ 90,082 $4,242,491 2.1%
1991 30,000 57,707 87,707 3,366,496 2.6
1992 35,000 56,009 91,009 3,679,759 2.5
1993 35,000 53,565 88,565 4,338,773 2.0
1994 221,383 83,093 304,476 4,628,487 6.6
1995 90,354 111,061 201,415 5,429,306 3.7
1996 100,556 106,305 206,861 5,610,290 3.7
1997 104,059 103,712 207,771 4,857,465 4.3
1998 138,071 114,158 252,229 4,815,656 5.2
1999 246,325 163,592 409,917 6,271,032 6.5
(1) Includes General, Special Revenue, Capital Projects and Expendable Trust Funds.
126
VILLAGE OF TEQUESTA, FLORIDA
Revenue Bond Coverage
Water Bonds (Unaudited)
Last Ten Fiscal Years
Fiscal Year Net Revenue
Ended Gross Operating Available for
September 30 Revenues Expenses Debt Service
1990 $2,207,447 $1,604,403 $ 603,044
1991 2,240,220 1,629,337 610,883
1992 2,349,546 1,832,374 517,172
1993 2,566,614 2,051,891 514,723
1994 2,690,107 2,110,928 579,179
1995 2,948,260 2,414,540 533,720
1996 3,283,922 2,451,485 832,437
1997 (2)
1998 3,527,292 2,141,071 1,386,221
1999 3,910,167 2,179,525 1,730,642
(1) Represents net debt service costs per a securities contract requiring the Village
to purchase an aggregate of $980,000 par amount of U.S. Treasury Bonds due
February 15, 2007, bearing interest at 7-5/8%, at an aggregate purchase price of
$928,324. The purchase price of the Treasury Bonds is added to the gross debt
service and the income from the Treasury Bonds is subtracted from gross debt
service to compute Bond Service Requirements.
(2) The Village did not have any outstanding Revenue Bonds this fiscal year.
127
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Debt Service Requirements
Principal Interest
$ 85,000 $100,855
90,000 107,566
100,000 102,415
110,000 78,737
265,000 66,405
290,000 43,280
270,000 17,355
198,789
389,740
Amortization
Account (11
$ 71,301
58,455
55,842
65,254
(15,653)
(97,158)
(75,325)
128
Debt
Service
Total Coverage
$257,156 2.35
256,021 2.39
258,257 2.00
253,991 2.03
315,752 1.83
236,122 2.26
212,030 3.92
198,789 6.97
389,740 4.44
VILLAGE OF TEQUESTA, FLORIDA
Property Value, Construction and Bank Deposits (Unaudited)
Last Ten Fiscal Years
Commercial Residential
Construction (11 Construction (11 Property Value (31
Number Number
Fiscal of of (4) -Real Personal
Year Units Value Units Value Deposits (21 Property Property
1990 1 $ 197,126 20 $3,206,343 $313,199,861 $414,814,947 $21,797,356
1991 1 1,882,888 4 962,089 257,956,427 424,334,994 20,588,283
1992 0 0 11 .2,395,128 308,119,520 418,897,038 20,706,881
1993 1 101,700 8 2,083,944 278,165,130 406,420,054 16,779,738
1994 0 0 25 3,134,633 293,551,944 406,281,260 17,709,182
1995 0 0 10 1,658,043 326,394,550 409,679,164 18,042,404
1996 3 2,248,278 6 1,127,624 319,213,870 424,956,672 18,268,307
1997 2 320,400 169 14,896,648 314,744,875 436,504,082 18,374,057
1998 2 2,852,090 12 3,080,959 454,995,565 19,996,199
1999 5 11,374,822 11 2,722,156 487,378,779 20,210,854
Source:
(1) Village of Tequesta Building Department.
(2) Tequesta Commercial Banks and Savings and Loan Associations.
(3) Palm Beach County Property Appraiser's office.
(4) Information presented where available.
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VILLAGE OF TEQUESTA, FLORIDA
Principal Taxpayers (Unaudited)
September 30,1999
Percentage
1999 of
Assessed Assessed
Taxpayers Tvne of Business Valuation Valuation
County Line Plaza (K-Mart)
(TAMWEST) Shopping Center $11,695,777 2.99%
Tequesta Shoppes (Publix)
(RRC FL Three, Inc.) Shopping Center 8,094,320 2.07
Tequesta Shoppes, Ltd. (Waterway Village)
(c/o Capital Management Lot A
Assoc., Inc.) 3,962,779 1.01
Dorner Properties
(Bank of Palm Beach Undeveloped
& Trust Company) Real Estate 3,465,595 .89
Tequesta Country Club Golf/Social Club 2,865,532 .73
NationsBank Banking 2,164,539 .55
Meditrust of Florida Assisted Living Facility 1,824,997 .47
Tequesta Fashion Mall Shopping Center 1,700,000 .43
202 Building Professional Office
(SI-IW Ltd.) Building 1,653,423 .42
Peercira, Robert W. N/A 1.540.000 .39
$38,966,962 9.95%
Source: Palm Beach County Property Appraiser's Office
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VII.,LAGE OF TEQUESTA, FLORIDA
Miscellaneous Statistics (Unaudited)
September 30,1999
Date of Incorporation: 1957
Forms of Government: Council-Manager, 3 Councihnembers elected
even years, 2 Councihnembers elected odd years
Municipal Elections: Non-Partisan
Area: Approximately 2 square miles
Miles of Streets: Approximately 44 lane miles
Fire Protection: Number ofstations - 1
Number of certified firefighters - 17
Fire Rating - 6
Police Protection: Number ofstations - 1
Number of certified officers - 17
Number ofdispatchers - 4
Municipal Water Department: Number ofcustomers - 5,001
Average daily consumption - 2.67 million gallons
Miles of water mains -approximately 50 miles
Sanitary Sewase: Service provided by Loxahatchee River Environmental
Control District (ENCON)
Storm Sewers: Adequate coverage
GarbaggCollection: Service franchised to Nichol's Sanitation
Frequency of service is bi-weekly
Electric Service: Florida Power & Light Company
Telephone Service: Southern Bell Telephone & Telegraph Company
Building Permits Issued: 1,100
Recreation and Culture: Number ofparks - 4, approximately 52 acres
Number oflibraries - 1, branch of Palm Beach County System
Number ofvolumes - 20,000 - 22,000
Municipal Employees: Full-time - 63
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VII,LAGE OF TEQUESTA, FLORIDA
Demographic Statistics (iJnaudited)
Last Ten Fiscal Years
Education
Level in
Years of
Fiscal Population -Per Capita Median Formal Unemployment
Year ~1L Income 2 A e 2 Schooling (21 Rate (31
1990 4,499 $20,362 7.9%
1991 4,508 9.7
1992 4,533 8.8
1993 4,551 9.2
1994 4,609 8.4
1995 4,623 7.0
1996 4,637 7.5
1997 4,686 3.6
1998 5,036 4.7
1999 5,122 5.7
Sources:
(1) Palm Beach County Planning Board, University of Florida Estimates and Federal Census.
(2) U.S. Department of Commerce, Bureau of the Census. Information only available for
years provided.
(3) Job Service of Florida.
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NH
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NOWLEN, HOLT & MINER, P.A.
CERTIFIED PUBLIC ACCOUNTANTS
WEST PALM BEACH OFFICE
215 FIFTH STREET, SUITE 200
POST OFFICE BOX 347
WEST PALM BEACH, FLORIDA 33402-0347
TELEPHONE (561) 659-3060
FAX (561)835-0628
REPORT ON COMPLIANCE AND ON INTERNAL CONTROL
OVER FINANCIAL REPORTING BASED ON AN AUDIT OF
FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE
WITH GOVERNMENTAUDITING STANDARDS
EVERETT B. NOWLEN (ieao-iaea), CPA
EDWARD T. HOLT, CPA
WILLIAM B. MINER, CPA
ROBERT W. HENDRIX, JR., CPA
JANET R. BARICEVICH, CPA
MARK B. ELHILOW, PFS, CPA
KATHLEEN A. MINER, CPA
R. GREGORY SMITH, CPA
ROBERT W. HELMREICH, CPA
TERRY L. MORTON, JR., CPA
N. RONALD BENNETT, CPA
J. MICHAEL STEVENS, CPA
DANIELA' E. RUSSELL, CPA
RICHARD M. SOTHEN, CPA
DANIEL A. KIRCHMAN, CPA
BELLE GLADE OFFICE
333 S. E. 2nd STREET
POST OFFICE BOX 338
BELLE GLADE, FLORIDA 33430-0338
TELEPHONE (561) 996-5612
FAX (561)996-6248
The Honorable Mayor and Village Council
Village of Tequesta, Florida
We have audited the general purpose financial statement of the Village of Tequesta, Florida, as of
and for the year ended September 30, 1999, and have issued our report thereon dated January 25,
2000. We conducted our audit in accordance with generally accepted auditing standards and the
standards applicable to financial audits contained in Government Auditing Standards issued by the
Comptroller General of the United States.
Compliance
As part of obtaining reasonable assurance about whether the Village of Tequesta, Florida's general
purpose financial statements are free of material misstatement, we performed tests of its compliance
with certain provisions of laws, regulations, contracts and grants, 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 that are required to be reported under Government Auditing Standards. However,
we noted certain immaterial instances of noncompliance that we have reported to management of
the Village of Tequesta, Florida in a separate letter dated January 25, 2000.
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AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS • FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS • ACCOUNTING FIRMS ASSOCIATED INC.
n
' Internal Control Over Financial Reporting
' In planning and performing our audit, we considered the Village of Tequesta's internal control over
financial reporting in order to determine our auditing procedures for the purpose of expressing an
opinion on the general purpose financial statements and not to provide assurance on the internal
' control over financial reporting. However, we noted certain matters involving the internal control
over financial reporting and its operation that we consider to be reportable conditions. Reportable
conditions involve matters coming to our attention relating to significant deficiencies in the design
' or operation of the internal control over financial reporting that, in our judgment, could adversely
affect the Village of Tequesta's ability to record, process, summarize and report financial data
consistent with the assertions of management in the general. purpose financial. statements.
' Reportable conditions are described below.
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' January 25, 2000
Segregation of Duties
There is inadequate separation of duties in some of the control cycles. The basic
premise is that no one employee should have access to both physical assets and the
related accounting records or to all phases of a transaction.
A material weakness is a condition in which the design or operation of one or more of the internal
control components does not reduce to a relatively low level the risk that misstatements in amounts
that would be material in relation to the general purpose financial statements being audited may
occur and not be detected within a timely period by employees in the normal course of performing
their assigned functions. Our consideration of the, internal control over financial reporting would
not necessarily disclose all matters in the internal control that might be reportable conditions that
are also considered to be material weaknesses. However, we believe none of the reportable
conditions described above is a material weakness. We also noted other matters involving the
internal control over financial reporting that we have reported to management of the Village of
Tequesta, Florida in a separate letter dated January 25, 2000.
This report is intended solely for the information and use of the audit committee, Village Council,
management, federal awarding agencies, and pass-through entities and is not intended to be and
should not be used by anyone other than those specified parties.
134
NH
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NOWLEN, HOLT & MINER, P.A.
CERTIFIED PUBLIC ACCOUNTANTS EVERETT B. NOWLEN (isso-i eea), CPA
EDWARD T HOLT, CPA
WILLIAM B. MINER, CPA
WEST PALM BEACH OFFICE ROBERT W. HENDRIx, JR., CPA
215 FIFTH STREET, SUITE 200 JANET R. BARICEVICH, CPA
POST OFFICE BOX 347 MARK B. ELHILOw, PFS, CPA
WEST PALM BEACH, FLORIDA 33402-0347
TELEPHONE (561) 659-3060 KATHLEEN A. MINER, CPA
FAX (561) 835-0628 R. GREGORY SMITH, CPA
ROBERT W. HELMREICH, CPA
. TERRY L. MORTON, JR., CPA
N. RONALD BENNETT, CPA
J. MICHAEL STEVENS, CPA
DANIELA' E. RUSSELL, CPA
RICHARD M. SOTHEN, CPA
DANIEL A. KIRCHMAN, CPA
MANAGEMENT LETTER B 33 s E ~~d S BEET
POST OFFICE BOX 338
BELLE GLADE, FLORIDA 33430-0338
TELEPHONE (561) 996-5612
FAX (561) 996-6248
The Honorable Mayor and Village Council
Village of Tequesta, Florida
We have audited the general purpose financial statements of the Village of Tequesta, Florida as of
for the year ended September 30, -1999, and have issued our report thereon dated January 25, 2000.
In planning and performing our audit of the general purpose financial statements of the Village of
Tequesta, Florida for the year ended September 30, 1999, we considered its internal control
structure in order to determine our auditing procedures for the purpose of expressing our opinion on
the general purpose financial statements and not to provide assurance on the internal control
structure.
However, during our audit we noted certain matters involving the internal control structure and
other operational matters that are presented for your consideration. This letter does not affect our
report dated January 25, 2000, on the financial statements of the Village of Tequesta, Florida. The
status of these comments will be reviewed during the next audit engagement. Our comments and
recommendations are intended to improve the internal control structure or result in other operating
efficiencies. Our comments are based upon work done during our audit, and we do not want to
imply that they cover every possible weakness. We have already discussed these comments with
management, and we will be pleased to discuss them in further detail at your convenience, to
perform any additional study of these matters, or to assist you in implementing the
recommendations. Our comments are summarized as follows:
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AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS • FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS • ACCOUNTING FIRMS ASSOCIATED INC. '
PRIOR YEAR COMMENTS WHICH CONTINUE TO APPLY
' Segregation ofDuties
' There is inadequate separation of duties in some of the control cycles. The basic
premise is that no one employee should have access to both physical assets and the
related accounting records or to all phases of a transaction.
While some duties have been segregated since the prior year report, below are
weaknesses that still exist.
Bank reconciliations are prepared by persons who participate in the
receipt and disbursement of cash.
° Recordkeeping functions for investments and their income are
performed by the same individual who initiates investment
transactions and has access to cash.
While a lack of segregation in these areas is due to the small staff
available, consideration should be given to separation of these duties
in the future as more staff becomes available. In the interim, a
responsible official independent of the above listed functions should
' periodically perform tests to determine if the accounting procedures
in place are being followed.
' Automating Collection Procedures
Presently the Community Development Department manually records transactions
' of collections for all permits and licenses. The Department then remits the funds to
the Finance Department for deposit. This system is time consuming. We recognize
that the Community Development Department has changed some of .its
' recordkeeping procedures to eliminate. duplication. We also understand that a
computerized system is available to install; however, time did not permit this
' installation prior to September 30, 1999. We recommend that all efforts be made to
get the computer system up and running as soon as possible.
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Responsibilitx,for Grant Compliance
We noted that a variety of departments and staff have responsibility for certain
aspects of managing grants and monitoring compliance with grant requirements. We
recognize that the Village has assigned this responsibility to an individual.
However, there still appears to be lack of oversight.
We recommend that the Village revisit designating an individual to have oversight
responsibility for grants.
CURRENT YEAR COMMENTS
Overfunding Pension Plans
We noted that the. Village has overfunded the Fire pension plan for the past few
years. The required contribution amount for the Fire pension fund is established in
the actuarial study prepared periodically.
We recommend that the Village review its pension contribution payment
procedures.
COMPLIANCE WITH FLORIDA STATE STATUTES
Compliance with Florida Statute 218. S03
Management of the Village has determined that the Village is not in a state of
financial emergency as defined under Section 218.503. In connection with our audit
of the general purpose financial statements of the Village, the results of our tests did
not indicate that the Village is in a state of financial emergency as a consequence of
the conditions described in Section 218.503(1). However, our audit does not
provide a legal determination on the Village's compliance with this requirement.
Compliance with Florida Statute 218.32
The financial report for the Village of Tequesta, Florida to be filed with the
Department of Banking and Finance pursuant to Section 218.32(1)(b), Florida
Statutes is in substantial agreement with the accompanying financial audit report.
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Oversight Unit and Component Units
The Village of Tequesta, Florida is a municipal corporation organized pursuant to
Special Act 57-1915, Laws of Florida, 1957. Based upon the application of criteria
defined in publications cited in Chapter 10.553, Rules of the Auditor General, the
Village has determined that the only component unit operating within the
jurisdiction of the Village that would be required to be included in the general
purpose financial statements of the Village, is the Village Employees' Retirement
System which is included as a pension trust fund.
Other Current Year Comments
Our audit did not disclose any further items that would be required to be reported
under Chapter 10.554(1)(f), Rules of the Auditor General.
This report is intended solely. for the information and use of the audit committee, Village Council,
management, federal awarding agencies, and pass-through entities and is not intended to be and
should not be used by anyone other than those specified parties.
Janu 25, 2000
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VII.LAGE OF TEQUESTA
Post Office Box 3273 • 250 Tequesta Drive • Suite 300
Tequesta, Florida 33469-0273 (561) 575-6200
Fax: (561) 575-6203
March 15, 2000
Honorable Mayor and Village Council Members
Village of Tequesta, Florida
In their Independent Auditor's Report dated January 25, 2000, the auditors from Nowlen, Holt &
Miner, P.A. state that the fmancial statements present fairly, in all material respects, the financial
position of the Village. They have issued an unqualified opinion.
In response to the independent auditor's comments and recommendations for improving the
financial procedures and controls contained in the section titled, "Other Reports" on pages
133-138 of the CAFR, the following comments indicate a plan of action to alleviate conditions
cited or improve upon the areas specified.
PRIOR YEAR COMMENTS THAT CONTINUE TO APPLY
Segregation of Duties
If additional staffing is requested and authorized, efforts will be made to segregate
duties whenever possible. In the meantime, we will try to establish procedures to
allow periodic testing to assure the accounting procedures in place are being
followed.
AutomatingLCollection Procedures
Software to automate collections has been purchased. The Community
Development Department is continuing to work on ,the software conversion as
time permits. Completion of this process should automate the collection
procedures cited.
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Responsibility for Grant Compliance
The Village is working on establishing procedures to assure that the Village Planner, in
conjunction with a grant consultant, is involved in grant applications and grants
administration..
CURRENT YEAR COMMENTS
Overfunding Pension Plans
The Village is in the process of reviewing their pension contribution procedures.
Respectfully submitted.
~.
Connie Holloman
Director of Finance
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