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Ord. 0587 05-14-90
ORDINANCE NO. 587 AN ORDINANCE AUTHORIZING THE EXECUTION OF A CONTRACT, A FACSIMILE OF SAME BEING ANNEXED HERETO, INCORPORATED HEREIN FOR ALL PURPOSES DESIGNATED EXHIBIT "A" BY AND BETWEEN EARL LAIRSON AND COMPANY, CERTIFIED PUBLIC ACCOUNTANTS, AND THE CITY OF PEARLAND, TEXAS. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: SECTION 1. That the facsimile of contract, annexed hereto, incorporated herein for all purposes, designated Exhibit "A", by and between Earl Lairson and Company, Certified Public Accountants, and the City of Pearland, Texas, for the purpose of examining the financial statement of the various funds of the City of Pearland, Texas, for the year ending September 30, 1990, is hereby authorized and approved. SECTION 2. The City Council finds that such contract is reasonable and necessary and that there are sufficient city funds for the availability of payment. SECTION 3. The Mayor and the City Secretary of the City of Pearland, Texas, are hereby authorized and directed to execute for and on behalf of the City the annexed contract documents, and counterparts thereof. PASSED and APPROVED on first reading this , A. D., 1990. ATTEST: City Se etary Mayor 43 day of 1 ftJ PASSED day of ATTEST: City Secrtary APPRO and APPROVED D AS TO FORM: �1 City Attorney on second and final , A. D., 1990. reading this / moz-47-r--1/47P-7 2 EXHIBIT "A" BIRL Lp9/RSON 6 CO. P. O. BOX 500017 HOUSTON, TEXAS 77250.0017 April 18, 1990 A PROFESSIONAL CORPORATION CERTIFIED PUBLIC ACCOUNTANTS 713-581.8500 The Honorable Mayor and Members of City Council City of Pearland Pearland, Texas 1718 MANGUM, SUITE 300 HOUSTON, TEXAS 77092 We propose to audit the financial statements of the various funds and account groups of the City of Pearland, Texas for the year ending September 30, 1990 in accordance with terms of our proposal dated March 15, 1990. Our audit will be made in accordance with generally accepted auditing standards and, accordingly, will include such tests of the accounting records and such other auditing procedures as we consider necessary in the circumstances. In addition to our regular audit report, we will also set forth in a separate letter any recommendations and suggestions for the improvement of internal control and accounting procedures which we feel appropriate based on our review of policies and procedures in connection with our work. Our fee for this service will not exceed $13,000 plus cash expenses. Our fee is based on our regular per diem rates and is based on your personnel preparing certain year-end closing schedules. We will keep you informed on the progress of our work and will inform you immediately if any situation arises that would require a re-evaluation of our work or time schedule. We do not anticipate any such problems. In addition to our regular audit, we will assist in the preparation and print- ing of a Comprehensive Annual Financial Report conforming to standards recom- mended by the Government Finance Officers Association. Our fee for this ser- vice will be $4,000. We appreciate the opportunity to serve you. We assure you that these services will receive our most careful and prompt attention. Please call us if we may answer any questions on this or related matters. Very truly yours Earl C. Lair on President ECL/ct Accepted: Signature Date IV 6 1d '-' CO Mp REH ENS�vE Ct - REPORT F�NAN NNVAL - f A C� C11 ciaq ofp ©(III©(fl%âQ ....„,.... , •, ... 54s, ... _ .. , ,. Ifr.:.,. ., v-v,...,_ -„,.,,:.: .-Arr.,,...4.. , :`L, ... ... ...,,,, ..„..''..1-'.'"- ...14,.,,r.:::., ,,,,r., „--voit„.„A,,,,-.:u.,...:,-.. .q . :ei':` �� .. ' —Atr;.:itli irri;'0.i, J "ems s ■.���Wilailliiiiiii...wt.•+muwwwt �♦eiP �Fl� a r 7 �F*3�iy�. 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(This page intentionally left blank. ) -2- CONTENTS Page INTRODUCTORY SECTION Certificate of Achievement for Excellence in Financial Reporting 8 Statement of Continued Compliance with Certificate of Achievement for Excellence in Financial Reporting Requirements 9 Letter of Transmittal 11 Organization Chart 18 Principal Officials 19 FINANCIAL SECTION —� Independent Auditors' Report 23 General Purpose Financial Statements Combined Balance Sheet - All Fund Types and Account Groups 26 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types 30 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - General and Debt Service Fund Types 32 Combined Statement of Revenues, Expenses and Changes in Retained Earnings - All Proprietary Fund Types (Enterprise Funds) 34 Combined Statement of Cash Flows - All Proprietary Fund Types (Enterprise Funds) 36 Notes to Financial Statements 38 -3- CONTENTS - 2 Page FINANCIAL SECTION (continued) MP Combining Individual Fund and Account Group Statements and Schedules General Fund Comparative Balance Sheets 60 Statement of Revenues - Budget and Actual 61 Statement of Expenditures - Budget and Actual - — By Function 62 Schedule of Expenditures - Budget and Actual - By Object 63 Schedule of Delinquent Taxes Receivable 69 Debt Service Fund Comparative Balance Sheets 72 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances 73 Capital Projects Fund Comparative Balance Sheets 76 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances 77 W M N W MEW -4- goi CONTENTS - 3 Page FINANCIAL SECTION (continued) Enterprise Funds Combining Balance Sheet 80 Combining Statement of Revenue, Expenses and Changes in Retained Earnings 82 Combining Statement of Cash Flows 84 Water and Sewer Fund Statement of Revenues and Expenses - Budget and Actual 86 Schedule of Long-Term Debt (Revenue Bonds) 88 Sanitation Fund Statement of Revenues and Expenses - Budget and Actual 89 General Fixed Assets Account Group Comparative Schedules of General Fixed Assets - By Sources 92 Schedule of General Fixed Assets - By Function and Activity 93 Schedule of Changes in General Fixed Assets - By Department 94 General Long-Term Debt Account Group Statement of Changes in General Long-Term Debt 96 Combined Schedule of General Long-Term Debt 98 General Long-Term Debt - By Maturity Date 102 Combined Schedule of Investments - All Funds 106 -5- CONTENTS - 4 a Page STATISTICAL SECTION General Governmental Expenditures - By Function 112 General Governmental Revenues - By Source 114 Tax Revenues - By Source 117 Property Tax Levies and Collections 118 Assessed and Estimated Actual Value of Taxable Property 120 Property Tax Rates and Tax Levies - Direct and Overlapping Governments 122 Tax Rate Distribution 126 a Principal Taxpayers 127 Ratio of Net Long-Term Debt to Assessed Value and Net Long-Term Debt Per Capita 128 Computation of Net Direct and Estimated Overlapping Debt 131 i Ratio of Annual Debt Service Expenditures for General Long-Term Debt to Total General Expenditures 132 Revenue Bond Coverage - Water and Sewer Bond 134 Supplementary Information - Statewide TMRS, Analysis of Funding Progress 135 Schedule of Insurance In Force 136 Property Value, Construction and Bank Deposits 142 Miscellaneous Statistical Data 143 Demographic Statistics 147 ME, City Officials and Department Heads 148 min moo moo -6- Certificate of Achievement for Excellence in Financial Reporting Presented to City of Pearland, Texas For its Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 1989 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 (CAFR's) achieve the highest standards in government accounting and financial reporting. %E OFFt: )5 R-. W UM ►TES H UcAATzA President d COMMONSEAL o'v nnc � w`�4 uo C Executive Director -8- -6- 2I3 insv 2uZ u.LIO Nrngisy3 •s ,LaNvc ), •aaaot;taaao aagaous ao3 ICatltgt2tla sat autmaaaap oa y030 oa at 2uTaatmgns aas at pus sauamaatnbaa msa2oad auamanaTgoy 3o aasoT3taaa0 oa mao3uoo oa sanutauco 066I `0£ aagmaadas papua asaii aga ao3 aaodaa auaaano ano anatlaq am •,Cluo asa auo uo potaad a ao3 ptlan st auamanatgoy 3o aasot3t;aa0 y •sauamaainbaa ls2al algaotldda pus saldtoutad 2uTaun000s paadaoos kZlsaauag gaoq IC3stass asnm saaodaa Lions • spaspusas maa2oad oa mao;uoo sauaauoo asogm `aaodaa IaTouaut3 - Isnuus antsuagaadmoo pazTua2ao /Clauatot33a pus algspaaa kItsaa us gstlgnd asnm ;tun laauamuaano2 s 'auamanatgoy 3o aasoT3Taaa0 a papaume aq oa aapao uI .686I `0£ aagmaadag papua aaaiC Tsost3 aqa ao3 aaodag IaTouaut3 lanuuy antsuagaadmo0 sat ao3 puslaaad 30 iCaTO aqa oa 2utaaodag IstousuT3 uT aouallaox3 ao3 auamanatgoy 3o aaaot3Taaa0 a papasme (y030) apaua0 pua saaaag paatun aqa 3o uotaatoossy saaot330 aouauT3 auamuaano0 a4Z ` s 066I `9I aagmanoN SVXaI 'arniquvaa 30 AIID SZNawaainbau -ITIONVNId NI 3ON3'I'I30X3 110,1 IN3W3A3IHOV 30 3Ly0IdI,mo HIIM 30NVI'IdWOO Q3nNI,LN00 dO IN3W3,LYIS l lb3-S8b • 9903-99SLL soxal 'puolioad • 9903 x09 '0 'd cdX3. OIuol p t(10©ii © d I \ 4,3d 00 00 00 00 i r lonall9 left blank.) This Page intent -10- moo, ,EAR Cflyj Oo • eo 00� CClrr il� � E X A P. O. Box 2068 • Peor►ond, Texas 77588-2068 • 485-2411 To the Citizens of the City of Pearland Pearland, Texas The comprehensive annual financial report of the City of Pearland, Texas for the fiscal year ended September 30, 1990, is hereby submitted. Responsibility for both the accuracy of the data, and the completeness and fairness of the presentation, including all disclosures, rests with the City. To the best of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a manner designed to present fairly the financial position and results of operations of the various funds and account groups of the City. All disclosures necessary to enable the reader to gain an understanding of the City's financial activities have been included. The comprehensive annual financial report is presented in three sections: Introductory, Financial and Statistical Section. The Introductory Section includes this transmittal letter, the City's organizational chart and a list of principal officials. The Financial Section includes the general purpose financial statements and the combining and individual fund and account group financial statements and schedules, as well as the auditor's report on the financial statements and schedules. The Statistical Section includes selected financial and demographic information, generally presented on a multiyear basis . This report includes all funds and account groups of the City. The City provides the full range of municipal services contemplated by statute or charter. This includes police and fire protection, health and social services , public improvements, planning and zoning, and general administrative services. In addition to general government activities, the City provides water, sewer and sanitation services. Pearland Volunteer Fire Department, Pearland Area Emergency Medical Service, Pearland Independent School District, Brazoria County, Harris County Hospital District, Harris County, Harris County Flood Control, and Port of Houston Authority have not met the established criteria for inclusion in the reporting entity, and accordingly are excluded from this report. -11- ECONOMIC CONDITION AND OUTLOOK The City of Pearland lies fifteen miles southeast of downtown Houston in the northeast corner of Brazoria County. Pearland is accessible by way of four major highways and is six miles from the World's 27th busiest airport (Hobby Airport) . Because of its location, Pearland has seen continued growth in residential, commercial and light industrial development over the last decade. While its location has spurred economic growth and development, it also has been a factor in the economic decline that the City has experienced over the past few years. The major factors that contributed to the economic decline began to turn .. around during the past year. Oil prices stabilized and Pearland and the surrounding cities are making an effort to diversify the local economy. The improved economic condition can best be illustrated by looking at the sales tax revenue. Over the year the City experienced a 20.4% increase in sales tax revenue. Other indicating factors are the construction of a new high school, expansion of the elementary schools and an increase in the fund equities in the general and enterprise funds. The general economy has a large effect on the financial operations of the City. With the stabilization of the economy, the City will be able to strengthen its '— financial position and meet the challenges today and in the future. MAJOR INITIATIVES ... For the Year. Pearland is a City that endeavors to keep abreast of the needs of its citizens and provide services which will maintain or enhance their quality of life. During the year, the City made a number of capital purchases and started or completed various capital improvement projects. Among the capital improvement projects was the development of Pastennalk Park, the widening of F.M. 518 and construction was begun on three new bridges. Capital purchases included new software for municipal court, a new garbage truck and new vehicles for various departments. For the Future. The bright economic outlook will enable the City to improve its operations during the coming year. Capital expenditures projected for next year include the purchase of a number of vehicles to be used by various departments, a boring machine for the distribution and collection department and a tractor for the street and drainage department. Pearland plans two major additions to its facilities during the coming year. The first major addition will be the development of McLeon Park. The park will be located on the west side of Pearland, will be 46 acres in size, and will feature a swimming pool, four tennis courts, two softball fields, a pavilion and a multi-use building. The park will have a paved main road and paved parking. The second major addition is the expansion of the Melvin Knapp Building for senior citizens. The building will be expanded from 4,662 square feet to 7,002 square feet in size. The addition will include a kitchen, restrooms, office and a large meeting room. Also a new parking lot will be added to this facility. -- -12- qMP Department Focus. This year the City wishes to give recognition to the Street and Drainage Department. The Street and Drainage Department has done an excellent job in maintaining or improving the streets and drainage of the City. The maintenance of the streets was accomplished with the use of 244 tons of cold mix asphalt and 1,263 tons of limestone for patching, 12,360 tons of asphalt in resurfacing 15.16 miles of road and 4,023 square feet of concrete was replaced. The drainage of the City was improved with the installation of 1,290 feet of culverts and 23,800 feet of drainage ditches were cleaned. FINANCIAL INFORMATION Management of the City is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the City are protected from loss, theft or misuse and to ensure that adequate accounting data are compiled to allow for the preparation of 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 controls should not exceed the benefits expected to be derived and (2) the evaluation of costs and benefits requires estimates and judgements by management. Accounting Controls. We believe that the City's accounting controls provide reasonable assurance that errors or irregularities that could be material to the financial statements are prevented or would be detected within a timely period by employees in the normal course of performing their assigned function. Budgeting Controls. In addition, the City maintains budgetary controls. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the City's governing body. Activities of the General, Debt Service and Enterprise Funds are included in the annual appropriated budget. The level of budgetary control(the level at which expenditures cannot legally exceed the appropriated amount) is the total approved budget for each department. As demonstrated by the statements and schedules included in the financial section of this report, the City continues to meet its responsibility for sound financial management. -13- General Government Functions. The revenue from the general fund and debt service fund and the amount and percentage of increases and decreases in relation to prior year revenue is summarized in the following schedule: Percent Increase of Percent (Decrease) Increase -! Revenue Sources Amount of Total Over 1988-89 (Decrease) Property taxes and penalties $4,759,710 60.0 % $ 36,642 .8 % Sales taxes 1,460,341 18.4 247,886 20.4 Franchise and gross receipts taxes 693,302 8.7 51,122 8.0 Licenses and permits 267,962 3.4 128,544 92.2 Fines and forfeitures 212,538 2.7 (52,524) (19.8) ` Interest 340,797 4.3 40,600 13.5 Other 194,803 2.5 19,027 10.8 TOTAL $7,929,453 100.0 % $471,297 6.3 % The most significant percentage increase in revenue was derived from licenses and permits. The increase was due to the increase in construction during 1989- 90. Sales tax revenue was up 20.4% and franchise tax revenue increased 8.0%. Both of these factors indicate that the Pearland economy is growing. Interest also increased $40,600 or 13.5% over last year. The increase was due to an increase in cash balances available for investment. - Allocations of property tax levy by purpose for 1989-90 fiscal year and the preceding two fiscal years are as follows (amount per $100/assessed value) : - Purpose 1989-90 1988-89 1987-88 General Fund $.340 $.310 $.275 General Obligation Debt .485 .515 .460 $.825 $.825 $.735 _ TOTAL TAX RATE ----- The expenditures for the general fund and debt service fund and the amount and percentage of increases and decreases in relation to the prior year expenditures .. are summarized in the following schedule. Percent Increase of - Percent (Decrease) Increase Function Amount of Total Over 1988-89 (Decrease) r General government $1,104,528 15.4 % $ 100,152 10.0 % Public safety 1,779,144 24.8 65,768 3.8 Public works 1,176,751 16.4 207,068 21.35 Community services 413,879 5.8 63,403 18.1 "' Debt service 2,709,351 37.6 (100,247) (3.6) TOTAL $7,183,653 100.0 % $ 336,144 4.9 % - -14- The general government expenditures for fiscal year 1989-90 were higher than for fiscal year 1988-89. The most significant increase was in public works which was the result of additional funds spent in upgrading and maintenance of various City streets, additonal personnel and improvements in facilities and equipment. Community services were also up which was due to various park improvements. Debt service expenditures decreased 3.6% as a result of the various obligations being paid. General Fund Balance. The fund balance of the general fund increased by 90.3 percent in 1990. The $959,046 increase provides the government with a fund balance that is the equivalent of approximately 120 working days of expenditures. This increase should significantly reduce the likelihood of the government entering the short-term debt market for current operating expenditures. Enterprise Operations. The government's enterprise operations are comprised of two separate activities: (1) the Water and Sewer System and (2) the Sanitation Services. (1) Water and Sewer System. During the year ended September 30, 1990, the _ City's Water and Sewer System reported an increase of $173,045 in operating revenues or 6.8% from the prior year. This increase, offset with an increase in operating expenses (before depreciation) of $8,960 resulted in an increase in operating income (before depreciation) of $164,085 from the prior year. The increase in operating revenue is the result of a 9% increase in water and sewer rates and increased sale of water due to a dry summer. Operating expenses increased during fiscal year 1989-90 because of a general increase in the cost of supplies and an increase in maintenance costs. Comparative data for the past two fiscal years are presented in the following schedule. 1989-90 1988-89 Operating revenue $2,713,097 $2,540,052 .. Operating expenses (before depreciation) 1.860,314 1.851.354 Operating income (before depreciation) $ 852,783 $ 688,698 Number of customers (water) 5,998 5,576 Average monthly water and sewer bill $ 48 $ 44 -15- (2) Sanitation Service. During the fiscal year 1988-1989 the City established a separate fund for it's sanitation services. Operating revenues were substantially greater than expenses which will provide the fund a sound base for the future. Operating data for the past two fiscal years are presented in the '-' following schedule. 1989-90 1988-89 — Operating revenue $ 934,292 $ 987,704 Operating expenses (before depreciation) 806,399 676,130 — Operating income (before depreciation) $ 127,893 $ 311,574 Number of Customers 5,750 5,490 -- During the year, the billing process changed from monthly billing to cycle billing. Even with the decrease in revenue the fund improved its fund balance and has a sound base for future operations. Debt Administration. The ratio of net debt to assessed valuation and the amount of bonded debt per capita are useful indicators of the City's debt position to municipal management, citizens, and investors. These data for the City of Pearland at September 30, 1990 were as follows: Ratio of Debt to Assessed Value Debt (100 Percent of Per _ Description Amount Present Market) Capita Net direct debt $17,332,059 3.01 $ 825 Overlapping debt 20,808,237 3.61 991 — TOTAL DIRECT AND OVERLAPPING DEPT $38,140,296 6.62 $1,816 --------- ___ ----- — Total outstanding tax supported debt (general obligation bonds, certificates of obligation and notes payable) at September 30, 1990 totaled $18,225,937. Debt service funds in the amount of $893,878 were available at September 30, 1990. — The City's assigned bond ratings on its most recent issue were as follows: Moody's Standard & Poors Revenue Bonds Baa-1 A _ Tax Bonds Baa-1 A Cash Management. Cash temporarily idle during the year was invested in certificates of deposit ranging from 60 to 365 days to maturity. Yields on — certificates of deposit ranged from 7.34% to 8.66% during the year. Certificate of deposit and cash amounts which exceed FDIC coverage are collateralized by securities owned by the City's depository. All collateral on deposits was held — by the financial institution's trust department in the City's name. All investments held by the City during the year and at September 30, 1990, are classified in the category of lowest credit risk as defined by the Governmental _ Accounting Standards Board. -16- r OTHER INFORMATION Independent Audit. The City Charter requires an annual audit of the books of account, financial records and transactions of all administrative departments of the City by an independent certified public accountant. The accounting firm of Earl Lairson & Co. , P.C. , CPAs was selected by the City Council. This requirement has been complied with, and the auditor's opinion has been included in this report. Awards. The Government Finance Officers Association of the United States and Canada (GFOA) has awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Pearland, Texas for its comprehensive annual financial report for the fiscal year ended September 30, 1989. In order to be awarded a Certificate of Achievement, a governmental unit must publish an easily readable and efficiently organized comprehensive annual financial report, whose contents conform to program standards. Such reports must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe our current report continues to conform to Certificate of Achievement Program requirements and we are submitting it to GFOA to determine its eligibility for another certificate. In addition, the City of Pearland also received the GFOA's Award for Distinguished Budget Presentation for its annual appropriated budget dated September 30, 1990. In order to qualify for the Distinguished Budget Presentation Award, the City's budget document was judged to be proficient in several categories including policy documentation, financial planning and organization. Acknowledgments. The preparation of this report on a timely basis was accomplished with the efficient and dedicated services of the entire staff of the Finance Department. I express my appreciation to all members of the Department who assisted and contributed to its preparation. I also thank the Mayor, members of the City Council and City Manager for their interest and support in planning and conducting the financial operations of the City in a responsible and progressive manner. Respectfully Submitted, 4'tA-ta- 4). Janet S. Eastburn City Treasurer City of Pearland November 16, 1990 -17- CITIZENS I OTY ATTORNEY MUNIcPAL CAuRT JJDCE3 MAYOR AND COUNCIL I CITY MANAGER FlRE CHIEF /MARSHAL CHIEF OF POLICE I MUNIQPAL COURT CITY SECRETARY PUBLIC WORKS EIJONEERMC & ^{` SUPERINTENDENT PLANNING 1 WARRANT Oif10ER / FINANCE DIRECTOR iANITA710H WSPECTION 1 PEARLAND VOLUNTEER cAPTIW COURT BAUFF p - FIRE DEPARTMENT I TAX COLLECTOR STREETS i DRAINAGE PARKS &RECREAMON . PEARLAND EM.S PATROL URITENANT Ca1YUNG11ON3 UTIWTY BIWNC WATER R SEMER CU3TOAAL SUPACES LS1RIBUTION x COLLECTION CAPTAIN --] CRY GARAGE WATER k SEWER HUMAN RESOURCES PRODUCMON & TREATMENT ANIMAL CONTROL 1 WATER & SEWER COMMUNITY G R1ACE3 cONSTRUcnoN 1 I I I I I 1 1 1 I I I I 1 1 I 1 1 1 PRINCIPAL OFFICIALS CITY OF PEARLAND, TEXAS September 30, 1990 MAYOR C. V. (Vic) Coppinger Mayor Pro Tem Councilman Position No. 4 David. L. Smith, Jr. Councilman Councilman Position No. 1 Position No. 3 D. A. Miller, Jr. Randy Weber Councilman Councilman Position No. 2 Position No. Richard F. Tetens William E. Wolff City Manager James 0. DeShazer City Secretary City Treasurer Tax Collector Kay Krouse Janet S. Eastburn Barbara Lenamon -19- i a .. MN MI MO MN WO NM MO soft (This page intentionally left blank. ) -20- r r 1 r r t r r r r r r c r r r (This page intentionally left blank. ) -22- E1RL LdIRSON 8 CO. mei A PROFESSIONAL CORPORATION CERTIFIED PUBLIC ACCOUNTANTS TEL.713.681-8500 • PAX 713-681.9043 P.O. BOX 500017 1716 MANGUM, SUITE 300 HOUSTON,TEXAS 772 5 0-0017lia HOUSTON, TEXAS 77092 i INDEPENDENT AUDITORS' REPORT Honorable Mayor and Members of City Council City of Pearland, Texas We have audited the accompanying general purpose financial statements of the City of Pearland, Texas and the combining, individual fund and account group financial statements of the City as of and for the year ended September 30, 1990, as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. 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 City of Pearland, Texas at September 30, 1990 and the results of its operations and the cash flows of its proprietary fund types for the year then ended, in conformity with generally accepted accounting principals. Also, in our opinion, the combining, individual fund and account group financial statements referred to above present fairly, in all material respects, the financial position of each of the combining, individual funds and account groups of the City of Pearland, Texas at September 30, 1990, and the results of operations of such funds and the cash flows of individual proprietary and similar trust funds for the year then ended, in conformity with generally accepted accounting principles. -23- m, Honorable Mayor and Members of City Council City of Pearland, Texas Page Two Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole and on the combining, individual fund and account group financial statements . The accompanying financial information listed as schedules in the table of contents is presented for purposes of additional analysis and is not a required part of the financial statements of the City of Pearland, Texas. The information in these schedules has been subjected to the auditing procedures applied in the audit of the general purpose, individual fund and account group financial statements and, in our opinion, is fairly stated in all material respects in relation to the financial statements of each of the respective individual funds and account groups, taken as a whole. Houston, Texas November 16, 1990 NNW MWr -24- GENERAL PURPOSE FINANCIAL STATEMENTS -25- COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS - 1 of 2 CITY OF PEARLAND, TEXAS .� September 30, 1990 GOVERNMENTAL FUND TYPES DEBT CAPITAL GENERAL SERVICE PROJECTS ASSETS AND OTHER DEBITS ASSETS Cash - (including certificates of deposit 1990 - $5,779,400; 1989 - $4,758,154) $2,258,439 $884,102 $1,456,713 Receivables - less allowances for uncollectibles Taxes 283,909 Accounts Accrued interest 44,244 9,776 50,144 Assessments 43,249 Due from other funds Prepaid expenditures 15,505 Restricted assets Cash - (including certificates of deposit 1990 - $464,948; 1989 - $420,563) 73,292 General fixed assets - at cost Property, plant and equipment Cost Less allowance for depreciation OTHER DEBITS Amount available in debt service fund _ Amount to be provided for retirement of general long-term debt TOTAL ASSETS AND OTHER DEBITS $2,675,389 $893,878 $1,550,106 -26- PROPRIETARY TOTALS FUND TYPES ACCOUNT GROUPS (MEMORANDUM ONLY) GENERAL FIXED GENERAL LONG- ENTERPRISE ASSETS TERM DEBT 1990 1989 $ 1,694,067 $ 6,293,321 $ 4,948,084 283,909 245,832 358,871 358,871 540,489 45,554 149,718 82,283 .. 43,249 45,705 12,992 12,992 28,795 15,505 12,008 596,145 669,437 585,003 $17,142,479 17,142,479 17,124,606 17,004,594 17,004,594 16,550,793 3,782,701 3,782,701 3,343,112 13,221,893 13,221,893 13,207 ,681 $ 893,878 893,878 764,512 17,332,059 17,332,059 18,648,045 $15,929,522 $17,142,479 $18,225,937 $56,417,311 $56,233,043 See notes to financial statements. • -27- COMBINED BALANCE SHEET - ALL FUND TYPES AND ACCOUNT GROUPS - 2 of 2 GOVERNMENTAL FUND TYPES — DEBT CAPITAL GENERAL SERVICE PROJECTS LIABILITIES, EQUITY AND OTHER CREDITS — LIABILITIES Accounts payable $ 17,347 — Notes payable Capital lease Accrued salaries — Accrued compensated absences 266,751 Due to other funds 12,992 Payable from restricted assets 73,292 Deferred revenues 283,909 $ 43,249 Certificates of obligation Revenue bonds - less current portion General obligation bonds TOTAL LIABILITIES 654,291 43,249 EQUITY AND OTHER CREDITS Contributed capital Investment in general fixed assets Retained earnings — Reserved For revenue bond retirement For capital expenditures _ Unreserved Fund balances Reserved For prepaid expenditures 15,505 For debt service $893,878 Unreserved — Designated For capital expenditures 216,798 1,506,857 Undesignated 1,788,795 TOTAL EQUITY AND OTHER CREDITS 2,021,098 893,878 1,506,857 — TOTAL LIABILITIES, EQUITY AND OTHER CREDITS $2,675,389 $893,878 $1,550,106 -28- a a PROPRIETARY TOTALS FUND TYPES ACCOUNT GROUPS (MEMORANDUM ONLY) GENERAL FIXED GENERAL LONG- ENTERPRISE ASSETS TERM DEBT 1990 1989 $ 39,601 $ 56,948 $ 58,399 26,557 $ 120,937 120,937 90,247 73,046 339,797 410,094 12,992 28,795 323,439 396,731 339,441 327,158 291,537 450,000 450,000 601,000 1,765,000 1,765,000 1,875,000 17,655,000 17,655,000 18,785,000 2,201,086 18,225,937 21,124,563 22,506,070 a 12,604,920 12,604,920 12,278,206 $17,142,479 17,142,479 17,124,606 a 382,707 382,707 345,562 a - 10,000 740,809 740.809 551,970 1,123,516 1,123,516 907,532 a 15,505 12,008 893,878 764,512 a 1,723,655 1,690,065 1,788,795 950,044 a 13,728,436 17,142,479 35,292,748 33,726.973 a $15,929,522 $17,142,479 $18,225,937 $56,417,311 $56,233,043 See notes to financial statements. -29- COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES CITY OF PEARLAND, TEXAS Year ended September 30, 1990 GOVERNMENTAL FUND TYPES DEBT CAPITAL GENERAL SERVICE PROJECTS_ REVENUES Taxes - (including penalties and interest) $4,201,774 $2,711,579 Licenses and permits 267,962 �. Interest on investments 213,659 127,138 $ 105,362 Fines and forfeitures 212,538 Street assessments 2,456 Capital recovery fee 6,584 Other 194,803 TOTAL REVENUES 5,090,736 2,838,717 114,402 EXPENDITURES Current General government 1,088,822 Public safety 1,673,204 Public works 1,158,037 Community services 357,681 Capital outlay 317,495 197,610 Debt service Principal retirement 1,307,557 Interest and fiscal charges 1,401,794 TOTAL EXPENDITURES 4,595,239 2,709,351 197,610 REVENUES OVER (UNDER) EXPENDITURES 495,497 129,366 (83,208) OTHER FINANCING SOURCES Proceeds from capital lease 120,937 Operating transfers in 342,612 REVENUES AND OTHER SOURCES OVER (UNDER) EXPENDITURES 959,046 129,366 (83,208) Fund balances at beginning of year 1,062,052 764,512 1,590,065 FUND BALANCES AT END OF YEAR $2,021,098 $ 893,878 $1,506,857 -30- ! TOTALS (MEMORANDUM ONLY) 1990 1989 $ 6,913,353 $ 6,577,703 267,962 139,418 446,159 454,342 212,538 265,062 2,456 9,002 6,584 27,090 194.803 175,776 8,043,855 7,648,393 1,088,822 1,004,376 1,673,204 1,590,502 1,158,037 969,683 357,681 345,586 515,105 1,113,969 1,307,557 1,271,462 1,401,794 1,538,136 7.502,200 7,833,714 541,655 (185,321) 120,937 - 342,612 322,402 1,005,204 137,081 3.416.629 3,279,548 $ 4,421,833 $ 3,416,629 See notes to financial statements. -31- COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL - GENERAL AND DEBT SERVICE FUND TYPES CITY OF PEARLAND, TEXAS Year ended September 30, 1990 GENERAL FUND ., VARIANCE- FAVORABLE BUDGET ACTUAL (UNFAVORABLE) REVENUES Taxes - (including penalties and interest) $3,890,753 $4,201,774 $311,021 Licenses and permits 133,835 267,962 134,127 Interest on investments 66,050 213,659 147,609 Fines and forfeitures 271,650 212,538 (59,112) _ Other 175,800 194,803 19,003 TOTAL REVENUES 4,538,088 5,090,736 552,648 EXPENDITURES Current General government 1,207,851 1,104,528 103,323 Public safety 1,997,922 1,779,144 218,778 Public works 1,242,746 1,297,688 (54,942) Community services 432,181 413,879 18,302 Debt service Principal retirement Interest and fiscal charges TOTAL EXPENDITURES 4,880,700 4,595,239 285,461 REVENUES UNDER EXPENDITURES (342,612) 495,497 838,109 OTHER FINANCING SOURCES Proceeds from capital lease -0- 120,937 120,937 Operating transfers in 342,612 342,612 -0- REVENUES AND OTHER SOURCES OVER EXPENDITURES $ -0- 959,046 $959,046 Fund balances at October 1, 1989 1,062,052 FUND BALANCES AT SEPTEMBER 30, 1990 $2,021,098 _ -32- DEBT SERVICE FUND VARIANCE - FAVORABLE BUDGET ACTUAL (UNFAVORABLE) $2,711,579 $2,711,579 $ -0- -0- 127,138 127,138 2,711,579 2,838,717 127,138 1,307,557 1,307,557 -0- 1,404,022 1,401.794 2,228 2,711,579 2,709,351 2,228 -0- 129,366 129,366 $ -0- 129,366 $129,366 764.512 $ 893,878 See notes to financial statements. -33- COMBINED STATEMENTS OF REVENUES, EXPENSES AND CHANGED IN RETAINED EARNINGS - ALL PROPRIETARY FUND TYPES (ENTERPRISE FUNDS) - 1 of 2 CITY OF PEARLAND, TEXAS Years ended September 30, 1990 and 1989 1990 1989 Operating revenues Water sales and services $1,553,976 $1,444,960 Sewer charges and services 1,159,121 1,095,092 Sanitation charges and services 934,292 987,704 3,647,389 3,527,756 Operating expenses Water and sewer treatment Personal services 279,359 282,868 Supplies and other 89,507 97,234 Other charges and services 101,448 93,909 Contractual services 441,480 397,469 911,794 871,480 Water and sewer public works Personal services 56,355 115,538 Contractual services - 1,800 s 56,355 117,338 Distribution and collection Personal services 146,101 212,045 Supplies and other 38,009 56,661 Other charges and services 146,951 66,597 Contractual services 457 210 331,518 335,513 Water and sewer accounting Personal services 197,871 183,432 Supplies and other 6,152 5,326 Other charges and services 4,862 3,494 Contractual services 20,138 19,084 229,023 211,336 Water and sewer construction Personal services 113,115 88,162 Supplies and other 8,800 7,996 Other charges and services 26,416 27,255 Contractual services 6,040 132 154,371 123,545 Sanitation _ Personal services 270,649 260,582 Supplies and other 179,893 171,687 Other charges and services 81,484 51,826 Contractual services 170,192 139,671 702,218 623,766 -34- COMBINED STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS - ALL PROPRIETARY FUND TYPES (ENTERPRISE FUNDS) - 2 of 2 CITY OF PEARLAND, TEXAS 1990 1989 Other expenses 281,434 243,968 2,666.713 2,526,946 OPERATING INCOME BEFORE DEPRECIATION 980,676 1,000,810 Depreciation 462,777 498,582 OPERATING INCOME 517,899 502,228 Non-operating revenues (expenses) • Miscellaneous revenue 15,024 9,961 Interest revenue 141,981 103,942 Interest expense (116 ,308) (122,262) 40,697 (8,359) INCOME BEFORE OPERATING TRANSFER 558,596 493,869 Operating transfer out (342,612) (322,402) NET INCOME 215,984 171,467 Retained earnings at beginning of year 907,532 736,065 RETAINED EARNINGS AT END OF YEAR $1,123,516 $ 907,532 a i See notes to financial statements. -35- COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND TYPES (ENTERPRISE FUNDS) - 1 of 2 r CITY OF PEARLAND, TEXAS Year ended September 30, 1990 and 1989 1990 1989 — Cash flows from operating activities Cash received from customers and users $ 3,828,671 $ 3,466,088 Cash paid to suppliers and employees (2.658,275) (2.485,320) Net cash provided by operating activities 1,170,396 980,768 Cash flows from noncapital financing activities Operating transfers out (342,612) (322,402) Cash flows from capital and related financing activities Purchase of fixed assets (150,275) (117,999) Principal payments - bonds (100,000) (100,000) • Interest paid (116,308) (122,262) Net cash used for capital and related financing activities (366,583) (340,261) _ Cash flows from investing activities Interest received 122,651 88,390 Other 15,024 9,961 — Net cash provided from investing activities 137,675 98,351 Noncash transactions affecting financial position Contributions of fixed assets from government 425,136 1,128,184 Acquisition of fixed assets through government capital contributions (425,136) (1,128,184) Net effect of noncash transactions -0- -0- Net increase in cash 598,876 416,456 Cash balance at beginning of year 1,691,336 1,274,880 CASH BALANCE AT END OF YEAR $ 2,290,212 $ 1,691,336 -36- COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND TYPES (ENTERPRISE FUNDS) - 2 of 2 CITY OF PEARLAND, TEXAS Year ended September 30, 1990 and 1989 1990 1989 Operating income $ 517,899 $502,228 Adjustments to reconcile net income to net cash provided by operating activities Depreciation expense 462,777 498,582 (Increase) decrease in accounts receivable 181,282 (61,668) (Increase) decrease in due from other funds 15,803 (28,795) Increase in customer deposits 26,477 14,934 Increase (decrease) in accounts payable (6,222) 31,390 Increase (decrease) in compensated absences payable (42,620) 43,405 (Decrease) in due to other funds - (39,308) Increase in accrued compensated absences from restricted accounts 15,000 20,000 Total adjustments 652,497 478,540 NET CASH PROVIDED OPERATING ACTIVITIES $1,170,396 $980,768 i S See notes to financial statements. -37- NOTES TO FINANCIAL STATEMENTS CITY OF PEARLAND, TEXAS September 30, 1990 i ORGANIZATION The City of Pearland, Texas was incorporated in December, 1959 and adopted a "Home Rule Charter" on February 6, 1971, which provides for a "Council- Manager" form of city government. 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. REPORTING ENTITY IN• In defining the reporting entity the City has considered the following criteria: (1) oversight responsibility which includes (a) financial interdependency, (b) selection of governing authority, (c) designation of management, (d) ability to significantly influence operations, and (e) accountability for financial matters, (2) scope of public service and (3) special financing relationships. The reporting entity is composed of the operational units (General, Debt Service, Capital Projects, and Enterprise Funds) of the City. The ... governmental units listed below were considered but excluded, because they did not materially meet the criteria listed above: Pearland Independent School District Harris County Hospital District Brazoria County Harris County - Port of Houston Authority Harris County Flood Control Of the additional component units considered for inclusion in the reporting entity, only two had a positive response to the first criteria presented above. The Pearland Volunteer Fire Department and the Pearland Area Emergency Service are dependent on the City for financial support — which falls under oversight responsibility in the criteria listed above. The City includes as a part of the reporting unit the financial support it provides the department but does not report its operations because — the City does not select its governing authority or management and does not significantly influence operations. Further, the entities are not accountable to the City for financial matters and the entities' scope - of public service is greater than the City of Pearland. Therefore, in the opinion of the City's management, these two entities are not includable in the reporting entity. -38- NOTES TO FINANCIAL STATEMENTS - 2 CITY OF PEARLAND, TEXAS 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) B. FUND ACCOUNTING The City of Pearland 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 a self-balancing set of accounts. An account group is designed to provide accountability for certain assets and liabilities that are not recorded in the funds because they do not directly affect net expendable available financial resources. Funds are classified into two categories: (1) governmental and (2) proprietary. Each category is divided into separate "fund types. " The following is a description of the fund types and the account groups used by the City in the accompanying financial statements: GOVERNMENTAL FUND TYPES General Fund The General Fund is used to account for all financial transactions which are not accounted for in another fund. The principal sources of revenue of the General Fund are property taxes, sales and use taxes, franchises, and fines and forfeitures. Expenditures are for general government, public safety, public works and other community services. Debt Service Fund The Debt Service Fund is used to account for resources for and the payment of interest and principal on all general obligation debts of the City. The primary source of revenue for debt service is general property taxes. Capital Projects Fund The Capital Projects Fund is used to account for the receipt and expenditure of resources for acquisition and construction of major capital facilities. The principal resources of the Capital Projects Fund are capital grants, certificates of obligation and proceeds from the sale of bonds. -39- NOTES TO FINANCIAL STATEMENTS - 3 CITY OF PEARLAND, TEXAS 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) B. FUND ACCOUNTING (continued) PROPRIETARY FUND TYPES Enterprise Fund (Water and Sewer) The Water and Sewer Fund is used to account for operations of the Water and Sewer Department. The fund is intended to be self-supporting through user charges. Enterprise Fund (Sanitation) The Sanitation Fund is used to account for operations which are intended to be self-supporting through user charges. The fund provides sanitation services to the citizens of Pearland. ACCOUNT GROUPS General Fixed Assets This account group is established to account for the fixed assets owned by the City exclusive of those relating to Proprietary Fund operations. _ Expenditure transactions to acquire general fixed assets occur in the General Fund and Capital Projects Fund. General Long-Term Debt This account group is used to account for the City's liability for general obligation bonds, certificates of obligation, notes payable, and time warrants due at varying dates through the year 2003. C. BASIS OF ACCOUNTING The accounting and financial reporting treatment applied to a fund is determined by its measurement focus. All governmental 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 assets. All proprietary 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 -40- NOTES TO FINANCIAL STATEMENTS - 4 CITY OF PEARLAND, TEXAS 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) C. BASIS OF ACCOUNTING (continued) in the balance sheet. Fund equity (i.e. , net total assets) is segregated in to 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 City employs the modified accrual basis of accounting in all funds except the Proprietary Funds. The modified accrual basis recognizes revenues that are 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. Expenditures are recorded when the related fund liability is incurred. Principal and interest on general long-term debt are recorded as liabilities when due or when amounts have been accumulated in the debt service fund for payments to be made early in the following year. The Proprietary Funds use the accrual basis of accounting recognizing revenues when earned and expenses when incurred. The City reports deferred revenue on its combined balance sheet. Deferred revenues arise when potential revenue does not meet both the "measurable" and "available" criteria for recognition in the current period. In subsequent periods, when both revenue recognition criteria are met, the liability for deferred revenue is removed from the combined balance sheet and revenue is recognized. The accounting procedures and policies relating to specific items are described as follows: 1. Unbilled revenues for water, sewer and sanitation services are accrued when earned. 2. General property taxes are recorded when they become available. Property taxes receivable have been recorded as deferred revenues at September 30, 1990. Property taxes collected within sixty days subsequent to September 30, 1990 have not been recorded as revenue as the amount was not considered material. The general property tax rate is required to be levied by September 15 each year. Taxes become due on October 1 and uncollected taxes are delinquent on February 1 following the tax year. The City's tax lien exists from January 1 (the assessment date) each year until the taxes are paid. The procedure for collection of delinquent taxes is to send two delinquent notices and a letter and then refer the delinquent accounts to the Tax Attorney • -41- NOTES TO FINANCIAL STATEMENTS - 5 CITY OF PEARLAND, TEXAS 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) C. BASIS OF ACCOUNTING (continued) for legal action. The Home Rule Charter requires foreclosure proceedings no later than two years after taxes first become delinquent. A penalty of 7% is added to delinquent taxes on February 1 and increases 2% each month through September. An additional penalty of 15% is added in July for attorney costs. There are no discounts .. allowed on taxes. 3. Sales and use taxes and franchise revenue are recorded when received since normally they are not measurable until received. 4. Long-term debt is recognized as a liability of a governmental fund when due, or when resources have been accumulated in the debt service fund for payment early in the following year. 5. Capital recovery fees earned are charges for capital improvements required by new growth and construction. The fees are recognized in the accounting period in which they become both measurable and available to finance expenditures of the fiscal period. D. BUDGETS Budgets are adopted on a basis consistent with generally accepted accounting principles. Annual appropriated budgets are adopted for the general and debt service funds. All annual appropriations lapse at fiscal year end. Formal budgetary integration is not employed for the Capital Projects Fund because effective budgetary control is alternatively achieved through general obligation bond indenture provisions and Council authorization for individual capital projects. Encumbrances represent commitments related to unperformed contracts for goods or services. Encumbrance accounting - under which purchase orders, contracts and other commitments for the expenditure of resources are •- recorded to reserve that portion of the applicable appropriation - is utilized in the governmental funds. Encumbrances outstanding at year end are reported as reservations of fund balances and do not constitute expenditures or liabilities because the commitments will be honored during the subsequent year. There were no encumbrances at September 30, 1990. -42- • • NOTES TO FINANCIAL STATEMENTS - 6 CITY OF PEARLAND, TEXAS • • 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) E. CASH AND INVESTMENTS Cash includes amounts in demand deposits as well as certificates of deposit. Statutes authorize the City to invest in direct obligations of the U.S. Government and fully collateralized certificates of deposit and other time deposits. • Investments are stated at cost. F. PREPAID EXPENDITURES Payments made to vendors for services that will benefit periods beyond September 30, 1990, are recorded as prepaid items. G. RESTRICTED ASSETS Certain proceeds of Enterprise Fund revenue bonds, as well as certain resources set aside for their repayment, are classified as restricted assets on the combined balance sheet because their use is limited by applicable bond covenants. H. FIXED ASSETS Fixed assets are recorded at historical cost or at market value at the date donated. Costs incurred for the purchase or construction of general fixed assets are recorded as expenditures in the General and Capital Projects Funds. All such costs are capitalized in the General Fixed Assets Account Group. Public domain infrastructure, such as bridges, roads, drainage systems, sidewalks, lighting systems, etc. , is capitalized. Amounts expended for property, plant and equipment in the Enterprise Funds are capitalized in the fixed asset accounts within that fund. Assets in the general fixed assets account group are not depreciated. Allowance for depreciation has been provided for plant and equipment of the Enterprise Funds using the straight-line method over the following estimated useful lives of the assets: Estimated Asset Useful Life Vehicles 3 years Office equipment 5 to 10 years Machinery and equipment 5 to 10 years Water and sewer system 3 to 50 years -43- M NOTES TO FINANCIAL STATEMENTS - 7 CITY OF PEARLAND, TEXAS 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) - I. COMPENSATED ABSENCES - Vested or accumulated vacation leave that is expected to be liquidated with expendable available financial resources is reported as an expenditure and a fund liability of the governmental fund that will pay - it. Amounts of vested or accumulated vacation leave that are not expected to be liquidated with expendable available financial resources are reported in the general long-term debt account group. No expenditure is reported for these amounts until paid. Vested or accumulated vacation leave of proprietary funds is recorded as an expense and liability of those funds as the benefits accrue to employees. In accordance with the provisions of Statement of Financial Accounting Standards No. 43, Accounting for Compensated Absences, no liability is recorded for nonvesting accumulating rights to receive sick pay benefits. J. LONG-TERM OBLIGATIONS Long-term debt is recognized as a liability of a governmental fund when due, or when resources have been accumulated in the debt service fund for payment early in the following year. For other long-term obligations, only that portion expected to be financed from expendable available financial resources is reported as a fund liability of a governmental fund. The remaining portion of such obligations is reported in the general long-term debt account group. Long-term liabilities expected to be financed from proprietary fund operations are accounted for in those funds. - K. FUND EQUITY - Contributed capital is recorded in proprietary funds that have received capital grants or contributions from developers, customers or other funds. Reserves represent those portions of fund equity not appropriable for expenditure or legally segregated for a specific future use. Designated fund balances represent tentative plans for future use of financial resources. -44- . NOTES TO FINANCIAL STATEMENTS - 8 CITY OF PEARLAND, TEXAS 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) L. INTERFUND TRANSACTIONS Transactions that constitute reimbursements to a fund for expenditures/ expenses initially made from it that are properly applicable to another fund, are recorded as expenditures/expenses in the reimbursing fund and as reductions of expenditures/expenses in the fund that is reimbursed. All other interfund transactions, except quasi-external transactions and . reimbursements, are reported as transfers. Nonrecurring or nonroutine permanent transfers of equity are reported as residual equity transfers. All other interfund transfers are reported as operating transfers. M. "MEMORANDUM ONLY" CAPTIONS The "Memorandum Only" captions on the columns of the combined statements - mean totals are presented for overview informational purposes only, and they do not fairly present financial position or results of operations for the City as a whole in conformity with generally accepted accounting principles. 2. LEGAL COMPLIANCE - BUDGETS The City follows procedures in establishing the budgetary data reflected in the financial statements as follows: 4 A. The City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the following October 1 which must be adopted before the preceding September 15. The operating budget includes proposed expenditures and the means of financing them. B. Public hearings are conducted to obtain taxpayer comments. C. The budget is legally enacted by passage of an ordinance. D. The City Manager is authorized to transfer budgeted amounts between . object classes within departments within any fund. However any changes in the total approved budget for each department (i.e. , the legal level of budgetary control) must be approved by the City Council. E. Budgeted amounts as shown in this report are as originally adopted or as amended during the year by the City Council and City Manager. - F. Appropriations lapse at year-end. C. Several supplemental budgetary appropriations were necessary during the year ended September 30, 1990. -45- NOTES TO FINANCIAL STATEMENTS - 9 CITY OF PEARLAND, TEXAS 3. DEPOSITS AND INVESTMENTS At September 30, 1990, the amount of the City's deposits was $6,962,758 and the bank balance was $7,178,568. Of the bank balance, $100,000 was covered by federal depository insurance. The remainder was covered by collateral held by the City's agent in the City's name in the trust department of banks (other than the City's depository bank) . The securities pledged as collateral were obligations of the U.S. Treasury, federal agencies and local governments. The City had no other investments. 4. RECEIVABLES Debt Capital General Service Projects Enterprise Total Receivables Taxes $283,909 $283,909 Accounts $363,871 363,871 Interest 44,244 $9,776 $50,144 45,554 149,718 Assessments 43,249 43,249 Gross receivables 328,153 9,776 93,393 409,425 840,747 Less allowance for uncollectibles - - - 5,000 5,000 Net receivables $328,153 $9,776 $93,393 $404,425 $835,747 .. The taxes receivable account represents delinquent taxes. No allowance for uncollectible has been recorded for taxes receivable since a tax lien is attached to property when the taxes levied are not paid. Due From/To Other Funds Receivable Fund Payable Fund Amount Enterprise General $ 12,992 -46- NOTES TO FINANCIAL STATEMENTS - 10 CITY OF PEARLAND, TEXAS • 5. RESTRICTED ASSETS As of September 30, 1990, the City held restricted assets for the following purposes: Description Amount General Fund Accrued compensated absences $ 60,000 Municipal court escrow 3,954 Police drug enforcement program 9,338 TOTAL GENERAL FUND $ 73,292 Enterprise Fund Meter deposits $163,438 Revenue bond interest, sinking • and reserve fund 382,707 Accrued compensated absences 50.000 TOTAL ENTERPRISE FUND $596,145 6. CHANGES IN FIXED ASSETS The changes in general fixed assets during the year ended September 30, 1990 are summarized as follows: a Balance at Balance at Oct. 1, 1989 Additions Retirements Sept. 30, 1990 Land $ 1,045,612 $ 1,045,612 Buildings 6,275,924 6,275,924 Improvements 7,092,409 7,092,409 Equipment 2,297,381 $ 312,479 $ 23,960 2,585,900 Construction in progress 413,280 197,610 468,256 142,634 TOTAL $17,124,606 $ 510,089 $ 492,216 $17,142,479 At September 30, 1990, there were three projects in progress. The projects were (1) a drainage study on various drainage problems in the City (2) expansion of the Melvin Knapp building for senior citizens (3) development of McLean Park. • -47- NOTES TO FINANCIAL STATEMENTS - 11 CITY OF PEARLAND, TEXAS 6. CHANGES IN FIXED ASSETS (continued) The changes in Enterprise Fund fixed assets during the year ended September 30, 1990 are summarized as follows: Balance at Balance at Oct. 1. 1989 Additions Retirements Sept. 30, 1990 Land $ 246,307 $ 246,307 Equipment 919,533 $150,275 $121,610 948,198 Buildings, improvements and equipment 15,384,953 425,136 15,810,089 16,550,793 575,411 121,610 17,004,594 Less allowance for depreciation 3,343,112 462,777 23,188 3,782,701 TOTAL $13,207,681 $112,634 $ 98,422 $13,221,893 Sources of Enterprise Fund fixed assets included contributions from the following (recorded as additions to contributed capital) : Source Amount Contributed capital at October 1, 1989 $12,278,206 Municipality - purchased with proceeds of GO bonds 326,714 CONTRIBUTED CAPITAL AT SEPTEMBER 30, 1990 $12,604,920 7. ACCRUED COMPENSATED ABSENCES As of September 30, 1990, accrued vacation pay and sick pay were as follows: General Enterprise Description Fund Fund Total Vacation pay $ 42,222 $ 14,682 $ 56,904 Sick pay 284,529 108,364 392,893 Less amounts payable - from restricted assets (60,000) (50,000) (110,000) BALANCE SEPTEMBER 30, 1990 $266,751 $ 73,046 $339,797 -48- NOTES TO FINANCIAL STATEMENTS - 12 CITY OF PEARLAND, TEXAS 8. DEFERRED REVENUES Deferred revenue has been recorded as of September 30, 1990 as follows: Fund Description Amount General Delinquent taxes $283,909 Capital Projects Street assessments 43,249 TOTAL $327,158 9. LONG-TERM DEBT The following is a summary of changes in long-term debt during the year ended September 30, 1990: Balance at Balance at Oct. 1, 1989 Additions Reductions Sept. 30. 1990 General Long-Term Debt Capital lease $120,937 $ 120,937 Notes payable $ 26,557 $ 26,557 Certificates of Obligation 601,000 151,000 450,000 General Obligation Bonds 18,785,000 1,130,000 17,655.000 TOTAL GENERAL LONG-TERM DEBT 19,412,557 120,937 1,307,557 18,225,937 Revenue Bonds 1,975,000 100,000 1,875,000 TOTAL LONG-TERM DEBT $21,387,557 $120,937 $1,407,557 $20,100,937 -49- NOTES TO FINANCIAL STATEMENTS - 13 CITY OF PEARLAND, TEXAS 9. LONG-TERM DEBT (continued) Long-term debt at September 30, 1990 was comprised of the following issues: Principal Balance Description Sept. 30, 1990 General Obligation Bonds 1964 Waterworks and Sanitary Sewer System Improvement Bonds due in annual installments of $35,000 to $55,000 through June 1, 1994, with interest rates ranging from 3.80 to 3.90%. $ 215,000 1966 General Obligation Bonds due in annual installments of $15,000 to $100,000 through June 1, 1995, with interest rates ranging from 4.30 to 4.40%. 245,000 1968 General Obligation Bonds due in annual installments of $25,000 to $50,000 through February 1, 1995, with — interest rates ranging from 5.00 to 5.25%. 230,000 1975 General Obligation Bonds due in annual install- _ ments of $30,000 to $65,000 through February 1, 1993, with interest rates ranging from 5.90 to 6.5%. 190,000 1978 Permanent Improvement Bonds due in annual install- '.. ments of $30,000 to $250,000 through March 1, 1997, with interest rates ranging from 4.90 to 5.50%. 1,275,000 $12,060,000 Refunding Bonds, Series 1985 due in annual installments of $205,000 to $1,280,000, with interest rates ranging from 5.50 to 8.80%. 9,350,000 1986 Public Improvement Bonds due in annual installments of $50,000 to $500,000 through March 1, 2003, with interest rates ranging from 6.50 to 8.50%. 4,250,000 — 1988 Public Improvement Bonds due in annual installments of $50,000 to $250,000, with interest rates ranging from 6.80 to 8.80%. 1,900,000 17,655,000 -50- NOTES TO FINANCIAL STATEMENTS - 14 CITY OF PEARLAND, TEXAS ■ 9. LONG-TERM DEBT (continued) Principal Balance Description Sept. 30, 1990 Certificates of Obligation 1981 Water Works System Certificates of Obligation due in annual installments of $100,000, with interest rates ranging from 9.25 to 9.75%. 300,000 ■ 1988 Landfill Certificates of obligation due in annual installments of $50,000 with an interest rate of 6.4%. 150,000 450,000 Capital Lease ■ Capital lease payable to Citicorp North America for the purchase of a gradall due in quarterly installments of . $11,215.70, with interest at 7.50%. 120,937 TOTAL GENERAL LONG-TERM DEBT 18,225,937 Revenue Bonds 1978 Water and Sewer Bonds due in annual installments ■ of $90,000 to $200,000, with interest rates ranging from 5.40 to 6.40%. 1,875,000 TOTAL LONG-TERM DEBT $20,100,937 The annual requirements to amortize general obligation bonds and certificates of obligation outstanding at September 30, 1990, including interest payments of $8,725,652, are as follows: Year Ending General Long- Revenue Sept. 30 Term Debt Bonds Total 1991 $ 2,726,810 $ 221,510 $ 2,948,320 1992 2,720,150 225,570 2,945,720 1993 2,703,823 224,090 2,927,913 1994 2,610,137 222,090 2,832,227 • 1995 2,607,770 224,680 2,832,450 1996-1999 8,348,843 910,120 9,258,963 2000-2003 4,417,216 663,780 5,080,996 . $ 26,134,749 $2,691,840 $28,826,589 • -51- MI NOTES TO FINANCIAL STATEMENTS - 15 CITY OF PEARLAND, TEXAS — 9. LONG-TERM DEBT (continued) The amount of $893,878 is available in the Debt Service Fund to service the general obligation bonds. The amount of $382,707 in the Enterprise Fund is restricted to service revenue bonds. Debt service requirements of revenue bonds is provided from net revenue to the Enterprise Fund. — There are a number of limitations and restrictions contained in the various bond indentures. The City is in compliance with all significant limitations and restrictions. 10. PRIOR-YEAR DEFEASANCE OF DEBT The City defeased certain general obligation and other 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 City's financial statements. At September 30, 1990, bonds outstanding of $8,875,000 are considered defeased. 11. EMPLOYEE RETIREMENT SYSTEM — The City of Pearland provides pension benefits for all of its full-time employees through a nontraditional, joint contributory, defined — contribution plan in the state-wide Texas Municipal Retirement System (TMRS) , one of over 500 administered by TMRS, an agent multiple-employer public employee retirement system. Statewide Texas Municipal Retirement System Plan Description and Provisions — All of the City's full-time employees participate in the Texas Municipal Retirement System, a nontraditional, joint contributory, defined contribution plan. Benefits depend upon the sum of the employee's contributions to the plan, with interest, and the City-financed monetary credits, with interest. At the date the plan began, the City granted monetary credits for service rendered before the plan began of a theoretical amount equal to two times what would have been contributed by the employee, with interest, prior to establishment of the plan. Monetary credits for service since the plan began are a percent (100%, 150%, or 200%) of the employee's accumulated contributions. In addition, the City can grant another type of monetary — credit referred to as an updated service credit which is a theoretical amount which, when added to the employee's accumulated contributions and the monetary credits for service since the plan began, would be the total monetary credits and employee contributions accumulated with interest if the current employee contribution rate and City matching percent had always -52- NOTES TO FINANCIAL STATEMENTS - 16 CITY OF PEARLAND, TEXAS 11. EMPLOYEE RETIREMENT SYSTEM (continued) been in existence and if the employee's salary had always been the average of his salary in the last three years. At retirement, the benefit is calculated as if the sum of the employee's accumulated contributions and the employer-financed monetary credits with interest were used to purchase an annuity. Members can retire at ages 60 and above with 10 or more years of service or with 25 or more years of service regardless of age. The plan also provides death and disability benefits. A member is vested after 10 years, but he must leave his accumulated contributions in the plan. If a member withdraws his own money, he is not entitled to the employer-financed monetary credits, even if he was vested. The plan provisions are adopted by the governing body of the City, within the options available in the state statutes governing TMRS and within the actuarial constraints also in the statutes. Description of Funding Policy The contribution rate for the employees is 5%, and the City matching percent is currently 7.17 percent, both as adopted by the governing body of the City. Under the state law governing TMRS, the City contribution rate is annually determined by the actuary. Part of the City contribution rate (the normal cost) is to fund the currently accruing monetary credits, with the other part (the prior service contribution rate) calculated as the level percent of payroll needed to amortize the unfunded actuarial liability over the remainder of the plan's 25-year amortization period. When the City periodically adopts updated service credits and increases in annuities in effect, the increased unfunded actuarial liability is to be amortized over a new 25-year period. Currently, the unfunded actuarial liability is being amortized over the 25-year period which began January, 1990. The unit credit actuarial cost method is used for determining the City contribution rate. Contributions are made monthly by both the employees and the City. Since the City needs to know its contribution rate in advance to budget for it, there is a one-year lag between the actuarial valuation that is the basis for the rate and the calendar year when the rate goes into effect. The City's total payroll in fiscal year 1990 was $3,012,574, and the City's contributions were based on a payroll of $2,871,853. Both the City and the covered employees made the required contributions, amounting to $194,938 (5.56% of covered payroll for the months in calendar year 1989 and 7.17% for the months in calendar year 1990) for the City and $145,070 (5%) for the employees. The City's contributions consisted of $147 ,097 for normal cost and $47,841 for amortization of the unfunded actuarial accrued liability. The normal cost contribution rates for 1989 and 1990 were 4.19% and 5.39% and the rates to amortize the unfunded actuarial -53- NOTES TO FINANCIAL STATEMENTS - 17 CITY OF PEARLAND, TEXAS 11. EMPLOYEE RETIREMENT SYSTEM (continued) accrued liability for 1989 and 1990 were 1.37% and 1.78%. The City adopted changes in the plan since the previous actuarial valuation, which had the effect of increasing the City's contribution rate for 1990 by .03% of payroll. Funding Status and Progress Even though the substance of the City's plan is not to provide a defined benefit in some form, some additional voluntary disclosure is appropriate Mar due to the nontraditional nature of the defined contribution plan which had an initial unfunded pension benefit obligation due to the monetary credits granted by the City for services rendered before the plan began — and which can have additions to the unfunded pension benefit obligation through the periodic adoption of increases in benefit credits and benefits. Statement No. 5 of the Governmental Accounting Standards Board (GASBS No. 5) defines pension benefit obligation as a standardized disclosure — measure of the actuarial present value of pension benefits, adjusted for the effects of projected salary increases, estimated to be payable in the future as a result of employee service to date. The measure is intended to help users assess the funding status of public employee pension plans, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among public employee pension plans. The pension benefit obligation shown below is similar in nature to the standardized disclosure measure required by GASBS No. 5 for defined benefit plans except that there is no need to project salary increases since the benefit credits earned for service to date are not dependent upon future salaries. The calculations were made as part of the annual actuarial valuation as of December 31, 1989. Because of the money-purchase nature of the plan, the interest rate assumption, currently 8.5% per year, does not have as much impact on the results as it does for a defined benefit plan. Market value of assets is not determined for each City's plan, but the market value of assets for TMRS as a whole was 108.7% of book value as of December 31, 1989. Pension Benefit Obligation — Annuitants currently receiving benefits $ 579,798 Terminated employees 296,906 Current employees Accumulated employee contributions including allocated invested earnings 1,030,456 Employer-financed vested 993,251 — Employer-financed nonvested 544,869 Total 3,445,280 Net Assets Available for Benefits, at Book Value 2,568,286 — Unfunded Pension Benefit Obligation $ 876,994 -54- i NOTES TO FINANCIAL STATEMENTS - 18 CITY OF PEARLAND, TEXAS 11. EMPLOYEE RETIREMENT SYSTEM (continued) The book value of assets is amortized cost for bonds and original cost for .. short-term securities and stocks. The actuarial assumptions used to compute the actuarially determined City contribution rate are the same as those used to compute the pension benefit obligation. The numbers above reflect changes in actuarial assumptions since the previous actuarial valuation, which had the effect of increasing the pension benefit obligation by $39,846. Because of the one-year lag between the actuarial valuation date and the calendar year when the newly calculated rate goes into effect, the new actuarial assumptions will first affect the 1991 contribution rate for the City. The numbers above also reflect the adoption of changes in the plan since the previous actuarial valuation, _ which had the effect of increasing the pension benefit obligation by $45,029 Trend Information Trend information for the three years ended December 31, 1987, 1988 and 1989, respectively, is as follows: available assets were sufficient to fund 69.08%, 74.58 percent and 74.55% of the pension benefit obligation. The unfunded pension benefit obligation represented 33.09%, 29.02% and 30.54% of the annual payroll for employees covered by TMRS for 1987, 1988 and 1989, respectively. Presenting the unfunded pension benefit obligation as a percentage of annual covered payroll approximately adjust for the effects of inflation for analysis purposes. In addition, for the three years ended December 31, 1987, 1988 and 1989 the City's contributions to the system were 4.94%, 5.56% and 5.91%, respectively, of annual covered payroll. Seven-year historical trend information is presented in the statistical section of this Comprehensive Annual Financial Report. 12. LITIGATION_ As of September 30, 1990, the City was either a defendant or co-defendant in several lawsuits. It is the opinion of City Management and legal counsel that any ultimate liability to the City from these lawsuits will not be material. 13. SUBSEQUENT EVENTS In October, 1990, the City issued Refunding Bonds, Series 1990. These bonds were issued in two characteristic bond types, Current Interest and Capital Appreciation Bonds. The proceeds of these bonds will be applied to advance refund a portion of the City's $12,060,000 Refunding Bonds, Series 1985. Annual installments on the Current Interest Bonds begin in 1991, with interest only payments at rates ranging from 7.10% to 7.35%. -55- a NOTES TO FINANCIAL STATEMENTS - 19 CITY OF PEARLAND, TEXAS 13. SUBSEQUENT EVENTS (continued) Principal payments begin September 1, 2002, in amounts ranging from $315,000 to $1,760,000. Annual installments on the Capital Appreciation Bonds are set for September 1, 2008, in the amount of $1,820,000 and on September 1, 2009, in the amount of $1,765,000 in principal and accrued and compounded interest. -56- E p p 1r I 1 1 F COMBINING INDIVIDUAL FUND AND ACCOUNT GROUP STATEMENTS AND SCHEDULES 1 a I I r -5 7- IMP IMP Mir IMP OBI gmr Imo (This page intentionally left blank. ) -58- .011 .111 00 GENERAL FUND The General Fund accounts for the resources used to finance the basic operations of the City. It is the basic fund of the City and covers all activities for which a separate fund has not been established. -59- GENERAL FUND COMPARATIVE BALANCE SHEETS CITY OF PEARLAND, TEXAS September 30, 1990 and 1989 1990 1989 ASSETS Cash - including certificates of deposit $2,258,439 $1,455,301 Receivables - less allowances for uncollectibles Taxes 283,909 245,832 Accounts - 336 _ Accrued interest 44,244 20,453 Prepaid expenditures 15,505 12,008 Restricted assets - cash 73,292 67,479 TOTAL ASSETS $2,675,389 $1,801,409 LIABILITIES AND FUND BALANCES LIABILITIES Accounts payable $ 17,347 $12,576 Accrued salaries - 90,247 Accrued compensated absences 266,751 294,428 — Due to other funds 12,992 28,795 Payable from restricted assets Accrued compensated absences 60,000 40,000 Police drug enforcement program 9,338 9,719 Municipal court escrow 3,954 17,760 Deferred revenue 283,909 245,832 TOTAL LIABILITIES 654,291 739,357 FUND BALANCES Reserved For prepaid expenditures 15,505 12,008 Unreserved Designated for future years expenditures 216,798 100,000 Undesignated 1,788,795 950,044 TOTAL FUND BALANCES 2,021,098 1.062,052 TOTAL LIABILITIES AND FUND BALANCES $2,675,389 $1,801,409 -60- GENERAL FUND STATEMENT OF REVENUES - BUDGET AND ACTUAL CITY OF PEARLAND, TEXAS Year ended September 30, 1990 1990 VARIANCE - FAVORABLE 1989 " BUDGET ACTUAL (UNFAVORABLE) ACTUAL Revenues Taxes $3,833,753 $4,143,879 $310,126 $3,693,215 Penalties and interest 57,000 57,895 895 71,420 Licenses and permits 133,835 267,962 134,127 139,418 Interest on investments 66,050 213,659 147,609 161,323 Fines and forfeitures 271,650 212,538 (59,112) 265,062 Other 175,800 194,803 19,003 175,776 TOTAL REVENUES $4,538,088 $5,090,736 $552,648 $4,506,214 . . . . -61- GENERAL FUND STATEMENT OF EXPENDITURES - BUDGET AND ACTUAL - BY FUNCTION CITY OF PEARLAND, TEXAS Year ended September 30, 1990 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL General government City council $ 89,795 $ 78,414 $ 11,381 $ 32,117 City manager 62,335 66,793 (4,458) 69,798 City secretary 65,288 63,509 1,779 59,908 Finance 57,917 54,900 3,017 57,915 Tax 134,704 128,072 6,632 139,080 Legal 60,500 55,527 4,973 44,212 Municipal court 140,460 130,853 9,607 110,387 City hall 156,997 139,303 17,694 112,761 Other 439,855 387,157 52,698 378,198 TOTAL GENERAL GOVERNMENT 1,207,851 1,104,528 103,323 1,004,376 Public safety Police 1,577,077 1,385,354 191,723 1,296,526 Fire 132,327 112,677 19,650 108,912 Animal shelter 61,166 50,153 11,013 35,341 _ Communication 42,677 41,832 845 37,260 Emergency medical services 184,675 189,128 (4,453) 217,739 Civil service - - - 17,598 TOTAL PUBLIC SAFETY 1,997,922 1,779,144 218,778 1,713,376 - Public works Administration 12,926 11,628 1,298 41,950 Custodial services 76,347 72,370 3,977 54,792 Engineering 35,048 31,814 3,234 32,412 Inspection 165,684 162,270 3,414 135,532 Community services 44,834 24,134 20,700 25,390 City garage 67,066 65,044 2,022 39,038 Service center 55,800 57,897 (2,097) 54,736 Street and drainage 785,041 751,594 33.447 585,833 - TOTAL PUBLIC 1,242,746 1,176,751 65,995 969,683 Community services - Library 13,300 13,427 (127) 11,697 Parks, recreation and cemetery 418,881 400,452 18,429 338.779 TOTAL COMMUNITY SERVICES 432,181 413.879 18,302 350,476 - TOTAL EXPENDITURES $4,880,700 $4,474,302 $406,398 $4,037,911 -62- GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL - BY OBJECT - 1 of 6 CITY OF PEARLAND, TEXAS Year ended September 30, 1990 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL City Council Personal services $ 51,600 $ 39,777 $ 11,823 18,600 Supplies 2,000 2,364 (364) 815 Contractual services 26,695 26,296 399 3,000 _ Memberships and subscriptions 3,500 2,546 954 2,530 Travel and training 6,000 7,431 (1,431) 7,172 89,795 78,414 11,381 32,117 City Manager Personal services 53,968 60,142 (6,174) 62,542 Supplies 950 1,032 (82) 662 Other services and charges 500 326 174 230 Contractual services 367 406 (39) 122 Memberships and subscriptions 1,050 519 531 1,204 Travel and training 5,500 4,368 1,132 5,038 62,335 66,793 (4,458) 69,798 City Secretary - Personal services 55,618 55,834 (216) 53,260 Supplies 1,000 973 27 562 Other services and charges 500 378 122 75 Contractual services 7,000 5,774 1,226 5,270 - Memberships and subscriptions 370 191 179 209 Travel and training 1,900 359 441 532 65,288 63,509 1,779 59,908 Finance Personal services 43,817 42,495 1,322 45,076 Supplies 2,000 1,741 259 1,685 Other services and charges 1,000 915 85 838 Contractual services 8,900 8,025 875 8,370 _ Memberships and subscriptions 300 417 (117) 212 Travel and training 1,900 1,307 593 1,734 57,917 54,900 3,017 57,915 -63- w GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL - BY OBJECT - 2 of 6 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL Tax Personal services 52,659 49,913 2,746 50,030 Supplies 200 134 66 141 Other services and charges 200 150 50 150 Contractual services 79,975 76,148 3,827 87,384 Memberships and subscriptions 470 484 (14) 475 Travel and training 1,200 1,243 (43) 900 134,704 128,072 6,632 139,080 Legal Supplies 200 - 200 - Contractual services 56,000 51,357 4,643 40,875 - Memberships and subscriptions 3,500 4,170 (670) 3,337 Travel and training 800 - 800 - 60,500 55,527 4,973 44,212 - Municipal Court Personal services 103,843 99,157 4,686 94,480 Supplies 3,750 3,214 536 1,602 Other services and charges 5,400 4,452 948 3,523 Contractual services 14,367 7,713 6,654 9,933 Memberships and subscriptions 400 341 59 211 - Travel and training 2,200 270 1,930 638 Capital outlay 10,500 15,706 (5,206) - 140,460 130,853 9,607 110,387 City Hall Personal services 40,447 36,083 4,364 17,234 - Supplies 12,650 9,748 2,902 10,277 Other services and charges 19,600 15,620 3,980 12,823 Contractual services 76,550 73,592 2,958 71,100 Memberships and subscriptions 750 1,362 (612) - Travel and training 7.000 2,898 4,102 1.327 156,997 139,303 17,694 112,761 - Other Requirements 439,855 387.157 52,698 378,198 TOTAL GENERAL GOVERNMENT 1,207,851 1,104,528 103,323 1,004,376 -64- a GENERAL FUND a SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL - BY OBJECT - 3 of 6 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL Police Service Personal services 1,307,297 1,133,596 173,701 1,075,063 Supplies 60,630 51,802 8,828 45,609 Other services and charges 58,800 60,431 (1,631) 41,011 Contractual services 59,550 53,491 6,059 71,209 .. Memberships and subscriptions 2,500 2,377 123 2,330 Travel and training 12,000 9,462 2,538 7,386 Capital outlay 76,300 74,195 2,105 53,918 1,577,077 1,385,354 191,723 1,296,526 Fire Service Personal services 25,177 25,449 (272) 7,050 a Supplies 17,150 14,081 3,069 12,726 Other services and charges 29,000 25,228 3,772 31,722 Contractual services 39,700 34,140 5,560 35,551 a Memberships and subscriptions 1,500 1,287 213 1,044 Travel and training 10,300 8,204 2,096 8,718 Capital outlay 9,500 4,288 5,212 12,101 132,327 112,677 19,650 108,912 _ Animal Shelter Personal services 33,666 28,959 4,707 22,996 a Supplies 6,250 3,415 2,835 4,000 Other services and charges 3,450 1,020 2,430 744 Contractual services 9,200 8,224 976 7,319 Memberships and subscriptions 100 50 50 20 Travel and training 500 485 15 262 Capital outlay 8,000 8,000 - - 61,166 50,153 11,013 35,341 Communication Personal services 30,172 31,052 (880) 29,004 a Supplies 300 605 (305) 365 Other services and charges 7,200 6,763 437 5,101 Contractual services 1,575 1,560 15 1,983 _ Memberships and subscriptions 200 30 170 6 Travel and training 1,500 - 1,500 801 Capital outlay 1,730 1,822 (92) - 42,677 41,832 845 37,260 a a -65- GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL - BY OBJECT - 4 of 6 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL - Emergency Medical Services Personal services 17,142 18,176 (1,034) 23,124 - Supplies 24,500 26,453 (1,953) 21,248 Other services and charges 19,000 19,455 (455) 14,542 Contractual services 102,300 107,409 (5,109) 101,970 Travel and training 500 - 500 - Capital outlay 21.233 17.635 3.598 56.855 184,675 189,128 (4,453) 217,739 - Civil Service Personal services - - - 6,021 Supplies - - - 105 - Contractual services - - - 9,702 Memberships and subscriptions - - - 181 Travel and training - - - 1,589 - - 17.598 TOTAL PUBLIC SAFETY 1,997,922 1,779,144 218,778 1,713,376 Public Works Administration Personal services 10,176 9,731 445 38,722 Supplies 350 130 220 168 - Other services and charges 500 915 (415) 150 Contractual services 350 708 (358) 244 Memberships and subscriptions 850 111 739 836 - Travel and training 700 33 667 1,830 12,926 11,628 1,298 41,950 Custodial Services Personal services 67,597 62,603 4,994 47,705 Supplies 7,750 9,590 (1,840) 7,087 Other services and charges 1,000 177 823 - 76,347 72,370 3,977 54,792 Engineering Personal services 29,823 29,678 145 27,984 Supplies 1,950 914 1,036 630 Other services and charges 1,550 601 949 733 Contractual services 850 68 782 2,242 - Memberships and subscriptions 225 123 102 294 Travel and training 650 430 220 529 35,048 31,814 3,234 32,412 -66- GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL - BY OBJECT - 5 of 6 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL Inspection Personal services 144,859 140,794 4,065 128,392 . Supplies 3,450 2,511 939 3,087 Other services and charges 1,650 2,618 (968) 1,122 Contractual services 1,725 2,342 (617) 1,504 Memberships and subscriptions 1,200 1,782 (582) 858 Travel and training 800 223 577 569 Capital outlay 12,000 12,000 - - 165,684 162,270 3,414 135,532 Community Services Personal services 18,584 19,412 (828) 19,089 Supplies 3,550 3,178 372 2,000 Other services and charges 100 90 10 100 Contractual services 1,600 357 1,243 3,198 Memberships and subscriptions 250 101 149 253 Travel and training 750 996 (246) 750 Capital outlay 20,000 - 20,000 - _ 44,834 24,134 20, 700 25,390 City Garage Personal services 38,091 48,954 (10,863) 28,804 Supplies 6,425 5,389 1,036 6,972 Other services and charges 4,800 3,030 1,770 3,050 Contractual services 200 201 (1) 190 _ Memberships and subscriptions 250 87 163 4 Travel and training 500 669 (169) 18 Capital outlay 16,800 6,714 10,086 - 67,066 65,044 2,022 39,038 Service Center Supplies 16,600 17,460 (860) 18,319 Other services and charges 11,200 14,371 (3,171) 10,881 Contractual services 28,000 26,066 1,934 25,536 55,800 57,897 (2,097) 54,736 i -67- GENERAL FUND SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL - BY OBJECT - 6 of 6 1990 -R VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL Street and Drainage Personal services 230,341 193,087 37,254 234,005 Supplies 104,400 57,874 46,526 107,951 Other services and charges 332,650 372,201 (39,551) 125,893 Contractual services 117,500 128,432 (10,932) 117,940 Memberships and subscriptions 50 - 50 - Travel and training 100 - 100 44 785,041 751,594 33,447 585,833 TOTAL PUBLIC WORKS 1,242,746 1,176,751 65,995 969,683 Library Supplies 1,000 1,060 (60) 818 Other services and charges 300 197 103 164 Contractual services 12,000 12,170 (170) 10,715 13,300 13,427 (127) 11,697 - Parks, recreation and beautification - Personal services 171,306 156,959 14,347 138,693 Supplies 56,900 57,418 (518) 56,510 Other services and charges 57,600 52,049 5,551 62,386 Contractual services 68,525 76,947 (8,422) 75,534 - Memberships and subscriptions 250 306 (56) 195 Travel and training 1,000 575 425 571 Capital outlay 63,300 56,198 7,102 4,890 418,881 400,452 18,429 338,779 TOTAL COMMUNITY SERVICES 432,181 413,879 18,302 350,476 - TOTAL EXPENDITURES $4,880,700 $4,474,302 $406,398 $4,037,911 -68- GENERAL FUND SCHEDULE OF DELINQUENT TAXES RECEIVABLE CITY OF PEARLAND, TEXAS September 30, 1990 TAX DELINQUENT YEAR TAXES 1989 $112,877 1988 64,748 1987 46,006 1986 25,806 1985 12,629 1984 6,952 1983 10,930 1982 1,402 1981 768 1980 564 Prior 1,227 TOTAL $283,909 y s= a a -69- WM a A MO MEN OM MN MP WM M. (This page intentionally left blank. ) -70- DEBT SERVICE FUND i This fund is used to account for the accumulation of resources for and the payment of principal and interest on general long-term debt of the City. i i 1 -71- DEBT SERVICE FUND COMPARATIVE BALANCE SHEETS CITY OF PEARLAND, TEXAS September 30, 1990 and 1989 1990 1989 ASSETS Cash - including certificate of deposit $884,102 $762,331 Accrued interest receivable 9,776 2,181 �. TOTAL ASSETS $893,878 $764,512 FUND BALANCES FUND BALANCES Reserved for debt service $893,878 $764,512 -72- DEBT SERVICE FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES CITY OF PEARLAND, TEXAS Years ended September 30, 1990 and 1989 1990 1989 REVENUES Taxes $2,711,579 $2,813,068 Interest 127 ,138 138,874 TOTAL REVENUES 2,838,717 2,951,942 EXPENDITURES Debt service Principal 1,307,557 1,271,462 Interest and fiscal charges 1,401,794 1,538,136 TOTAL EXPENDITURES 2,709,351 2,809,598 REVENUES OVER EXPENDITURES 129,366 142,344 Fund balances at beginning of year 764,512 622,168 FUND BALANCES AT END OF YEAR $ 893,878 $ 764,512 -73- Y i r ID M. (This page intentionally left blank. ) i -74- MIR CAPITAL PROJECTS FUND This fund is used to account for financial resources to be used for the acquisition and construction of major capital facilities that are principally financed by grants, certificates of obligation, and the sale of bonds. -75- w CAPITAL PROJECTS FUND COMPARATIVE BALANCE SHEETS w CITY OF PEARLAND, TEXAS September 30, 1990 and 1989 1990 1989 ASSETS Cash - including certificates of deposit $1,456,713 $1,556,640 Assessments receivable 43,249 45,705 Accrued interest receivable 50.144 33,425 TOTAL ASSETS $1,550,106 $1,635,770 LIABILITIES AND FUND BALANCES 1 LIABILITIES Deferred assessments $ 43,249 $ 45,705 1 FUND BALANCES Designated for capital 11 expenditures 1.506,85Z 1.590.065 TOTAL LIABILITIES AND FUND BALANCES $1,550,106 $1,635,770 I 71 -76- CAPITAL PROJECTS FUND COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES CITY OF PEARLAND, TEXAS Years Ended September 30, 1990 and 1989 1990 1989 REVENUES Interest $ 105,362 $ 154,145 Capital recovery fee 6,584 27,090 Street assessments 2,456 9,002 TOTAL REVENUES 114,402 190,237 EXPENDITURES Capital outlay 197,610 986,205 REVENUES UNDER EXPENDITURES (83,208) (795,968) Fund balances at beginning of year 1,590,065 2,386,033 FUND BALANCES AT END OF YEAR $1,506,857 $1,590,065 UM 7 -77- ENI MN MO UV NO M. NM MP ION NM OM SIM Milo MN (This page intentionally left blank. ) -78- ENTERPRISE FUNDS The Enterprise Fund is established to account for operations which are intended to be self-supporting through user charges. The City of Pearland operates the (1) Water and Sewer fund and (2) Sanitation fund on this basis. ! -79- ENTERPRISE FUNDS COMBINING BALANCE SHEET CITY OF PEARLAND, TEXAS September 30, 1990 (with comparative totals for 1989) .. WATER AND TOTALS SEWER SANITATION 1990 1989 r ASSETS CURRENT ASSETS Cash - including certificates mi of deposit $ 1,562,120 $ 131,947 $ 1,694,067 $ 1,173,812 Accounts receivable - less allowance for uncollectibles 321,934 36,937 358,871 540,153 1 Accrued interest 44,749 805 45,554 26,224 Due from other funds 12,992 - 12,992 28.795 1,941,795 169,689 2,111,484 1,768,984 1 m, RESTRICTED ASSETS - cash and certificates of deposit 586,145 10,000 596,145 517,524 I PROPERTY, PLANT, AND EQUIPMENT - at cost Land 189,071 57,236 246,307 246,307 Buildings, improvements, and equipment 15,776.875 981,412 16.758,287 16.304.486 1 15,965,946 1,034,648 17,004,594 16,550,793 Less allowance for depreciation 3.712.796 69.905 3.782.701 3,343.112 12,253,150 968,743 13,221,893 13,207,681 TOTAL ASSETS $14,781,090 $1,148,432 $15,020,522 $15,494,189 -80- ma WATER AND TOTALS SEWER SANITATION 1990 1989 LIABILITIES AND FUND EQUITY LIABILITIES Current liabilities (payable from current assets) 4.1 Accounts payable and accrued expenses $ 21,760 $ 17,841 $ 39,601 $ 45,823 Accrued compensated absences 52,129 20,917 73,046 115,666 gm73,885 38,758 112,647 161,489 Current liabilities (payable from restricted assets) Accrued compensated absences 40,000 10,000 50,000 35,000 Current portion of revenue bonds 110,000 - 110,000 100,000 Deposits 163,439 - 163,439 136,962 313,439 10,000 323,439 271,962 Long-term liabilities (net of current portion) Revenue bonds 1,765.000 - 1.765,000 1,875,000 TOTAL LIABILITIES 2,152,328 48,758 2,201,086 2,308,451 FUND EQUITY Contributed capital Municipality 11,261,643 881,019 12,142,662 11,815,948 Federal government 416,616 - 416,616 416,616 Customers and developers 45,642 - 45,642 45,642 11,723,901 881,019 12,604,920 12,278,206 Retained earnings Reserved for revenue bond retirement 382,707 - 382,707 345,562 For capital expenditures 10,000 mai Unreserved 522,154 218,655 740,809 551,970 904.861 218,655 1,123,516 907,532 TOTAL FUND EQUITY 12,628,762 1,099 .674 13,728,436 13,185,738 TOTAL LIABILITIES AND FUND EQUITY $14,781,090 $1,148,432 $15,929,522 $15,494,189 -81- ENTERPRISE FUNDS COMBINING STATEMENT OF REVENUE, EXPENSES AND CHANGES IN RETAINED EARNINGS - 1 of 2 CITY OF PEARLAND, TEXAS Year ended September 30, 1990 WATER AND SEWER SANITATION TOTAL Operating revenues Water sales and service $1,553,976 $1,553,976 Sewer charges and services 1,159,121 1,159,121 Sanitation charges and services $934.292 934,292 2,713,097 934,292 3,647,389 Operating expenses Water and sewer treatment Personal services 279,359 279,359 Supplies and other 89,507 89,507 Other services and charges 441,480 441,480 Contractual services 101.448 101.448 911,794 - 911,794 04 Water and sewer public works Personal services 56,355 - 56,355 Distribution and collection Personal services 146,101 146,101 Supplies and other 38,009 38,009 Other services and charges 457 457 Contractual services 146.951 146,951 331,518 - 331,518 Water and sewer accounting Personal services 197,871 197,871 Supplies and other 6,152 6,152 Other services and charges 20,138 20,138 Contractual services 4.862 4,862 q 229,023 - 229,023 Water and sewer construction Personal services 113,115 113,115 Supplies and other 8,800 8,800 Other services and charges 6,040 6,040 Contractual services 26,416 26,416 154,371 - 154,371 Sanitation Personal services 270,649 270,649 Supplies and other 179,893 179,893 Other services and charges 170,192 170,192 Contractual services 81,484 81,484 702,218 702,218 m -82- ink in ENTERPRISE FUNDS COMBINING STATEMENT OF REVENUE, EXPENSES AND CHANGES IN RETAINED EARNINGS - 2 of 2 CITY OF PEARLAND, TEXAS mil WATER AND SEWER SANITATION TOTAL Other expenses 177.253 104.181 281,434 TOTAL OPERATING EXPENSES 1.860.314 806.399 2.666,713 OPERATING INCOME BEFORE DEPRECIATION 852,783 127,893 980,676 w, Depreciation 425,640 37.137 462.777 OPERATING INCOME 427,143 90,756 517,899 Non-operating revenues (expenses) Miscellaneous revenue 15,024 15,024 Interest revenue 139,088 2,893 141,981 Interest expense (116,308) (116.308) NET NON-OPERATING REVENUES (EXPENSES) 37.804 2.893 40.697 NET INCOME BEFORE OPERATING TRANSFERS 464,947 93,649 558,596 Operating transfer out (281.312) (61.300) (342,612) NET INCOME 183,635 32,349 215,984 - Retained earnings at beginning of year 721,226 186.306 907,532 RETAINED EARNINGS AT END OF YEAR $ 904,861 $218,655 $1,123,516 wil 14. um um -83- ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS - 1 of 2 CITY OF PEARLAND, TEXAS Year ended September 30, 1990 .� WATER AND SEWER SANITATION TOTAL Cash flows from operating activities Cash received from customers and users $ 2,890,700 $ 937,971 $ 3,828,671 Cash paid to suppliers and employee (1,887.093) (771.182) (2.658.275) ., Net cash provided by operating activities 1,003,607 166,789 1,170,396 Cash flows from noncapital financing activities Operating transfers out (281,312) (61,300) (342,612) Cash flows from capital and related financing Purchase of fixed assets (62,905) (87,370) (150,275) Principal payments - bonds (100,000) - (100,000) Interest paid (116,308) - (116.308) Net cash used for financing activities (279,213) (87,370) (366,583) Cash flows from investing activities Interest received 119,389 3,262 122,651 Other 15.024 - 15.024 Net cash provided from investing activities 134,413 137,675 Noncash transactions affecting financial position Contributions of fixed assets from • government 425,136 - 425,136 Acquisition of fixed assets through government capital contributions (425,136) - (425,136) ., Net effect of noncash transactions -0- -0- -0- Net increase in cash 577,495 21,381 598,876 Cash balance at October 1, 1989 1,570.770 120.566 1.691.336 CASH BALANCE AT SEPTEMBER 30, 1990 $2,148,265 $ 141,947 $2,290,212 -84- w ENTERPRISE FUNDS w COMBINING STATEMENT OF CASH FLOWS - 2 of 2 CITY OF PEARLAND, TEXAS Year ended September 30, 1990 WATER AND SEWER SANITATION TOTAL Operating Income $ 427,143 $ 90,756 $ 517,899 Adjustments to reconcile net income to net cash provided (used) by operating activities w Depreciation expense 425,640 37,137 462,777 (Increase) decrease in accounts receivable 177,603 3,679 181,282 (Increase) decrease in due from other funds (12,992) 28,795 15,803 Increase in customer deposits 26,477 - 26,477 Increase (decrease) in accounts payable (9,303) 3,081 (6,222) Decrease in compensated absences payable (40,961) (1,659) (42,620) Increase in accrued interest payable from restricted accounts 10,000 5.000 15,000 Total adjustments 576.464 76.033 652,497 NET CASH PROVIDED BY OPERATING ACTIVITIES $1,003,607 $ 166,789 $1,170,396 En s -85- ENTERPRISE FUND (WATER AND SEWER) SCHEDULE OF REVENUES AND EXPENSES - BUDGET AND ACTUAL - 1 of 2 •1 CITY OF PEARLAND, TEXAS Year ended September 30, 1990 ,, ow 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL Operating revenues Water sales $1,350,000 $1,430,344 $ 80,344 $1,326,583 .4 Water taps and connections 25,000 50,969 25,969 41,909 Sewer service charge 1,013,400 1,118,680 105,280 1,086,874 Sewer taps and connections 8,500 40,441 31,941 8,218 Service charges 77.366 72.663 (4.703) 76.468 TOTAL OPERATING REVENUES 2,474,266 2,713,097 238,831 2,540,052 Operating expenses Water and sewer treatment Personal services 300,726 279,359 21,367 282,868 Supplies and other 89,150 89,507 (357) 97,234 1 Other services and charges 108,500 101,448 7,052 93,909 Contractual services 391,375 441.480 (50,105) 397.469 889,751 911,794 (22,043) 871,480 Water and sewer public works '4 Personal services 73,357 56,355 17,002 115,538 Contractual services - - - 1.800 73,357 56,355 17,002 117,338 1 Distribution and collection Personal services 167,104 146,101 21,003 212,045 Supplies and other 60,900 38,009 22,891 56,661 Other services and charges 157,000 146,951 10,049 66,597 Contractual services 3,775 457 3,318 210 388,779 331,518 57,261 335,513 Water and sewer accounting 1 Personal services 190,613 197,871 (7,258) 183,432 Supplies and other 6,700 6,152 548 5,326 Other services and charges 6,200 4,862 1,338 3,494 No Contractual services 21.600 20,138 1,462 19.084 225,113 229,023 (3,910) 211,336 Water and sewer construction Personal services 113,616 113,115 501 88,162 Supplies and other 9,950 8,800 1,150 7,996 Other services and charges 36,300 26,416 9,884 27,255 Contractual services 6.925 6,040 885 132 '1 166,791 154,371 12,420 123,545 me mu -86- ENTERPRISE FUND (WATER AND SEWER) SCHEDULE OF REVENUES AND EXPENSES - BUDGET AND ACTUAL - 2 of 2 1990 VARIANCE - FAVORABLE 1989 us BUDGET ACTUAL (UNFAVORABLE) ACTUAL Other expenses 237,453 177.253 60,200 192,142 TOTAL OPERATING EXPENSES BEFORE DEPRECIATION 1,981,244 1,860.314 120.930 1.851,354 OPERATING INCOME BEFORE DEPRECIATION 493,022 852,783 359,761 688,698 Depreciation 425.000 425.640 (640) 465.814 OPERATING INCOME 68,022 427,143 359,121 222,884 Non-operating revenues (expenses) Miscellaneous revenue 15,000 15,024 24 9,961 gap Interest revenue 25,000 139,088 114,088 101,642 Interest expense (117,210) (116,308) 902 (122.262) TOTAL NON-OPERATING REVENUES (EXPENSES) (77.210) 37,804 115,014 (10,659) NET INCOME (LOSS) BEFORE OPERATING TRANSFERS (9,188) 464,947 474,135 212,225 Operating transfer out 281,312 281,312 - 227.064 go NET (INCOME) LOSS $ (290,500) $ 183,635 $ 474,135 $ (14,839) w -87- ENTERPRISE FUND (WATER AND SEWER) SCHEDULE OF LONG-TERM DEBT (REVENUE BONDS) CITY OF PEARLAND, TEXAS September 30, 1990 INTEREST DATE OF OUTSTANDING AT DESCRIPTION RATE MATURITY SEPT. 30. 1990 Waterworks and Sanitary sewer Series 1978 5.40% 9-1-91 $ 110,000 5.40 9-1-92 120,000 5.60 9-1-93 125,000 5.70 9-1-94 130,000 5.80 9-1-95 140,000 5.90 9-1-96 150,000 6.00 9-1-97 160,000 6.10 9-1-98 170,000 6.20 9-1-02 770.000 TOTAL 1,875,000 Less current portion 110.000 LONG-TERM PORTION $1,765,000 -88- m ENTERPRISE FUND (SANITATION) SCHEDULE OF REVENUES AND EXPENSES - BUDGET AND ACTUAL CITY OF PEARLAND, TEXAS '! Year ended September 30, 1990 m 1990 VARIANCE - FAVORABLE 1989 BUDGET ACTUAL (UNFAVORABLE) ACTUAL Operating revenues Solid waste collection $ 989,438 $927,980 $ (61,458) $ 981,764 Trash bags 2.500 6.312 3.812 5.940 TOTAL OPERATING REVENUES 991,938 934,292 (57,646) 987,704 r Operating expenses Personal services 273,673 270,649 3,024 260,582 'S Supplies and other 185,003 179,893 5,110 171,687 Other services and charges 85,000 81,484 3,516 51,826 Contractual services 184.242 170.192 14.050 139.671 727,918 702,218 25,700 623,766 Other expenses 115.350 104,181 11.169 51,826 TOTAL OPERATING EXPENSES BEFORE DEPRECIATION 843,268 806.399 36.869 675.592 m OPERATING INCOME BEFORE DEPRECIATION 148,670 127,893 (20,777) 312,112 m Depreciation 35,000 37.137 (2.137) 32,768 OPERATING INCOME (LOSS) 113,670 90,756 (22,914) 279,344 m Non-operating revenues (expenses) Interest revenue - 2.893 2.893 2,300 MI NET INCOME (LOSS) BEFORE OPERATING TRANSFERS 113,670 93,649 (20,021) 281,644 # Operating transfer out 61,300 61,300 - 95.338 NET INCOME (LOSS) $ 52,370 $ 32,349 $(20,021) $ 186,306 m -89- mg as MR oft a. r r ore a. a (This page intentionally left blank. ) a -90- MS ea eel r a GENERAL FIXED ASSETS ACCOUNT GROUP This account group is established to account for the fixed assets owned by the City exclusive of those relating to Proprietary Fund operations. Expenditure transactions to acquire general fixed assets occur in the General Fund and Capital Projects Fund. -91- GENERAL FIXED ASSETS COMPARATIVE SCHEDULES OF GENERAL FIXED ASSETS - BY SOURCES CITY OF PEARLAND, TEXAS September 30, 1990 and 1989 General Fixed Assets 1990 1989 Land $ 1,045,612 $ 1,045,612 Buildings 6,275,924 6,275,924 Improvements 7,092,409 7,092,409 Equipment 2,585,900 2,297,381 — Construction in progress 142,634 413,280 TOTAL $17,142,479 17,124,606 Investment in General Fixed Assets financed by Capital Projects Funds General Obligation bonds $11,053,209 $11,053,209 — Time warrants and certificates of obligation 1,058,436 1,058,436 Federal grants 377,956 377,956 General Fund Revenues 2,028,416 2,010,543 Special Revenue Fund Revenues 2,114,176 2,114,176 Special Assessments 510,286 510,286 TOTAL $17,142,479 $17,124,606 -92- MIll 111111 GENERAL FIXED ASSETS illSCHEDULE OF GENERAL FIXED ASSETS - BY FUNCTION AND ACTIVITY CITY OF PEARLAND, TEXAS m September 30, 1990 FUNCTION AND ACTIVITY LAND BUILDINGS IMPROVEMENTS EQUIPMENT TOTAL m General Government City Council $ 2,700 $ 2,700 City Manager 18,042 18,042 City Secretary 12,017 12,017 m Finance 19,009 19,009 Tax 8,571 8,571 Legal 21,601 21,601 m Municipal Court 34,305 34,305 City Hall $ 60,014 $2,261,827 94,961 2,416,802 60,014 2,261,827 211,206 2,533,047 Public Safety Police 1,933,779 730,893 2,664,672 Fire 48,031 457,878 505,909 Animal Shelter 4,320 7,511 19,242 31,073 m Inspection 55, 797 55,797 Civil service 1,684 1,684 Communications 74,634 74,634 m Emergency Medical Services 117,739 241,425 359,164 4,320 2,107,060 1,581,553 3,692,933 Public works Public Works Director 10,243 10,243 Service Center 232,837 51,336 284,173 Engineering 45,001 45,001 m Street 203,195 $6,305,179 380,147 6,888,521 203,195 232,837 6,305,179 486,727 7,227,938 Community Services Library 5,000 957,516 51,696 1,014,212 Parks, recreation and beautification 773,083 716,684 787,230 254,718 2,531,715 778,083 1,674,200 787,230 306,414 3,545,927 $1,045,612 $6,275,924 $7,092,409 $2,585,900 16,999,845 ----=s== -----____ ====Y==== Construction in progress 142,634 m TOTAL $17,142,479 m -93- GENERAL FIXED ASSETS SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS - BY DEPARTMENT CITY OF PEARLAND, TEXAS Year ended September 30, 1990 mi' RETIREMENTS BALANCE AT AND BALANCE AT OCT. 1, 1989 ADDITIONS RECLASSIFICATIONS SEPT. 30. 1990 General Government City Council $ 2,700 $ 2,700 City Manager 18,042 18,042 ma City Secretary 12,017 12,017 Finance 19,009 19,009 Tax 8,572 8,572 _ Legal 21,601 21,601 Municipal Court 19,623 $ 14,682 34,305 City Hall 2.407.963 8.839 2.416.802 2,509,527 23,521 2,533,048 "' Public Safety Police 2,586,558 88,787 $ 10,673 2,664,672 Fire 501,586 4,324 505,910 Animal Shelter 26,221 10,852 6,000 31,073 Inspection 43,797 12,000 55,797 Civil service 1,684 1,684 Communications 72,812 1,822 74,634 Emergency Medical Services 356,130 3,034 359.164 3,588,788 120,819 16,673 3,692,934 Public Works Public Works Director 10,243 10,243 Service Center 279,181 4,992 284,173 Engineering 45,001 45,001 Street 6.770,561 117.960 6,888.521 7,104,986 122,952 7,227,938 Community Services Library 1,014,212 1,014,212 - Parks, recreation and beautification 2.493,813 45.187 7,287 2.531.713 3,508,025 45,187 7,287 3,545,925 -� Construction in Progress 413,280 197.610 468,256 142,634 TOTAL $17,124,606 $ 510,089 $ 492,216 $17,142,479 -94- ini MI MI MI MI IIIIII NM UV lin GENERAL LONG-TERM DEBT ACCOUNT GROUP The purpose of this account group is to account for sei general obligation indebtedness to be retired primarily from future assessment of ad valorem taxes. 1.1 MI In O N ww ✓ MI NMI -95- GENERAL LONG-TERM DEBT STATEMENT OF CHANGES IN GENERAL LONG-TERM DEBT log CITY OF PEARLAND, TEXAS Year ended September 30, 1990 .• BALANCE AT OCT. 1, OBLIGATIONS 1989 ISSUED Amount available in Debt Service Fund $ 764,512 Amount to be provided for retirement of general long-term debt 18,648.045 $120.937 TOTAL AVAILABLE AND TO BE PROVIDED $19,412,557 $120,937 Classification of debt mai Capital lease $120,937 Certificates of obligation $ 601,000 Notes payable 26,557 General Obligation bonds 18,785.000 TOTAL GENERAL LONG-TERM DEBT $19,412,557 $120,937 1011 -96- moo DEBT SERVICE BALANCE AT OBLIGATIONS FUND SEPT. 30, RETIRED OPERATIONS 1990 $ 129,366 $ 893,878 $1,307,557 (129,366) 17,332.059 got $1,307,557 $ -0- $18,225,937 $ 120,937 $ 151,000 450,000 26,557 1,130,000 17,655,000 $1,307,557 $18,225,937 us am -97- GENERAL LONG-TERM DEBT COMBINED SCHEDULE OF GENERAL LONG-TERM DEBT - 1 of 4 CITY OF PEARLAND, TEXAS September 30, 1990 DATE OF OUTSTANDING AT INTEREST DATE AMOUNT FINAL SEPT. 30, DESCRIPTION RATE OF ISSUE OF ISSUE MATURITY 1990 Waterworks and Sani- tary Sewer Systems Improvement Bonds, Series 1964 3.80 % 12-1-64 $ 230,000 6-1-91 $ 50,000 3.90 12-1-64 165,000 6-1-94 165,000 215,000 General Obligation Bonds, Series 1966 4.35 6-1-66 95,000 6-1-91 35,000 4.40 6-1-66 210,000 6-1-95 210.000 245,000 General Obligation Bonds, Series 1968 5.10 8-1-68 80,000 2-1-91 40,000 5.25 8-1-68 190,000 2-1-95 190.000 230,000 General Obligation Bonds, Series 1975 6.25 6-1-75 60,000 2-1-91 60,000 6.40 6-1-75 65,000 2-1-92 65,000 -� 6.50 6-1-75 65,000 2-1-93 65,000 190,000 -98- wei GENERAL LONG-TERM DEBT 4,1 COMBINED SCHEDULE OF GENERAL LONG-TERM DEBT - 2 of 4 CITY OF PEARLAND, TEXAS " September 30, 1990 Mk DATE OF OUTSTANDING AT INTEREST DATE AMOUNT FINAL SEPT. 30, DESCRIPTION RATE OF ISSUE OF ISSUE MATURITY 1990 4. Permanent Improvement Bonds, Series 1978 5.10 9-1-79 125,000 3-1-91 125,000 5.20 9-1-79 125,000 3-1-92 125,000 5.25 9-1-79 125,000 3-1-93 125,000 5.30 9-1-79 200,000 3-1-94 200,000 5.40 9-1-79 200,000 3-1-95 200,000 5.50 9-1-79 500,000 3-1-97 500,000 1,275,000 en Refunding Bonds, Series 1985 7.25 8-15-85 770,000 3-1-91 770,000 7.50 8-15-85 830,000 3-1-92 830,000 IND 7.75 8-15-85 915,000 3-1-93 915,000 8.00 8-15-85 1,095,000 3-1-94 1,095,000 8.10 8-15-85 1,190,000 3-1-95 1,190,000 8.25 8-15-85 1,285,000 3-1-96 1,285,000 8.40 8-15-85 1,280,000 3-1-97 1,280,000 8.50 8-15-85 510,000 3-1-98 510,000 8.60 8-15-85 500,000 3-1-99 500,000 vis 8.70 8-15-85 490,000 3-1-2000 490,000 8.80 8-15-85 485,000 3-1-2001 485,000 9,350,000 me s -99- 1 GENERAL LONG-TERM DEBT , COMBINED SCHEDULE OF GENERAL LONG-TERM DEBT - 3 of 4 MI CITY OF PEARLAND, TEXAS September 30, 1990 mil DATE OF OUTSTANDING AT INTEREST DATE AMOUNT FINAL SEPT. 30, DESCRIPTION RATE OF ISSUE OF ISSUE MATURITY 1990 nig Public Improvement Bonds, 1986 8.50 4-1-86 100,000 3-1-91 100,000 8.50 4-1-86 125,000 3-1-92 125,000 8.50 4-1-86 125,000 3-1-93 125,000 8.50 4-1-86 150,000 3-1-94 150,000 8.50 4-1-86 175,000 3-1-95 175,000 8.50 4-1-86 300,000 3-1-96 300,000 ins 6.50 4-1-86 425,000 3-1-97 425,000 6.60 4-1-86 450,000 3-1-98 450,000 6.60 4-1-86 450,000 3-1-99 450,000 ■+ 6.70 4-1-86 475,000 3-1-2000 475,000 6.75 4-1-86 475,000 3-1-2001 475,000 6.80 4-1-86 500,000 3-1-2002 500,000 .r 6.50 4-1-86 500,000 3-1-2003 500,000 4,250,000 Public Improvement Bonds, 1988 8.80 5-1-88 50,000 3-1-91 50,000 8.80 5-1-88 50,000 3-1-92 50,000 8.80 5-1-88 50,000 3-1-93 50,000 8.80 5-1-88 50,000 3-1-94 50,000 8.80 5-1-88 50,000 3-1-95 50,000 ,1. 8.80 5-1-88 50,000 3-1-96 50,000 8.00 5-1-88 100,000 3-1-97 100,000 6.80 5-1-88 250,000 3-1-98 250,000 6.90 5-1-88 250,000 3-1-99 250,000 '' 7.00 5-1-88 250,000 3-1-2000 250,000 7.10 5-1-88 250,000 3-1-2001 250,000 7.25 5-1-88 250,000 3-1-2002 250,000 7.25 5-1-88 250,000 3-1-2003 250.000 1,900,000 TOTAL GENERAL OBLIGATION BONDS PAYABLE 17,655,000 .r -100- GENERAL LONG-TERM DEBT COMBINED SCHEDULE OF GENERAL LONG-TERM DEBT - 4 of 4 CITY OF PEARLAND, TEXAS September 30, 1990 DATE OF OUTSTANDING AT INTEREST DATE AMOUNT FINAL SEPT. 30, DESCRIPTION RATE OF ISSUE OF ISSUE MATURITY 1990 Water Works System Certificates of opi Obligation, Series 1981 9.40 7-23-81 100,000 3-1-91 100,000 9.75 7-23-81 100,000 3-1-92 100,000 ., 9.75 7-23-81 100,000 3-1-93 100,000 300,000 Landfill Certificates of Obligation, Series 1988 6.40 4-1-88 50,000 3-1-91 50,000 6.40 4-1-88 50,000 3-1-92 50,000 6.40 4-1-88 50,000 3-1-93 50,000 150.000 r TOTAL CERTIFICATES OF OBLIGATION 450,000 Capital lease Gradall 7.50 120,937 TOTAL GENERAL LONG-TERM DEBT $18,225,937 A r -101- mei GENERAL LONG-TERM DEBT GENERAL LONG-TERM DEBT - BY MATURITY DATE - 1 of 2 CITY OF PEARLAND, TEXAS September 30, 1990 .. FISCAL GENERAL OBLIGATION GENERAL OBLIGATION GENERAL OBLIGATION YEAR TOTAL BOND SERIES 1966 BOND SERIES 1968 BOND SERIES 1975 ENDING PRINCIPAL INTEREST PRINCIPAL INTEREST PRINCIPAL INTEREST PRINCIPAL INTEREST 1991 $ 1,418,374 $1,308,436 $ 35,000 $ 10,762 $ 40,000 $ 10,995 $ 60,000 $ 10,260 1992 1,514,739 1,205,411 35,000 9,240 40,000 8,925 65,000 6,305 1993 1,612,824 1,090,999 35,000 7,700 50,000 6,563 65,000 2,112 1994 1,640,000 970,137 40,000 6,160 50,000 3,938 1995 1,765,000 842,700 100,000 4,400 50,000 1,312 1996 1,885,000 698,923 1997 2,055,000 545,645 1998 1,210,000 422,173 1999 1,200,000 332,172 2000 1,215,000 241,220 A. 2001 1,210,000 148,996 2002 750,000 76,687 2003 750.000 25.313 ,r $18,225,937 $7,908,812 $245,000 $ 38,262 $230,000 $ 31,733 $190,000 $ 18,677 ime mu am -102- WATERWORKS & SANITARY SEWER SYSTEM IMP. BONDS PERMANENT IMPROVEMENT SERIES 1964 BOND SERIES 1978 PRINCIPAL INTEREST PRINCIPAL INTEREST $ 50,000 $ 8,334 $ 125,000 $ 65,150 55,000 6,434 125,000 58,713 55,000 4,290 125,000 52,181 55,000 2,144 200,000 43,600 200,000 32,900 250,000 20,625 250,000 6,875 $215,000 $21,202 $1,275,000 $280,044 am um um -103- GENERAL LONG-TERM DEBT GENERAL LONG-TERM DEBT - BY MATURITY DATE - 2 of 2 CITY OF PEARLAND, TEXAS September 30, 1990 FISCAL REFUNDING BONDS PUBLIC IMPROVEMENT BOND PUBLIC IMPROVEMENT BOND YEAR SERIES 1985 SERIES 1986 SERIES 1988 ENDING PRINCIPAL INTEREST PRINCIPAL INTEREST PRINCIPAL INTEREST r 1991 $ 770,000 $ 730,258 $ 100,000 $ 296,038 $ 50,000 $ 137,950 1992 830,000 671,220 125,000 286,475 50,000 133,550 1993 915,000 604,639 125,000 275,850 50,000 129,150 •. 1994 1,095,000 525,383 150,000 264,162 50,000 124,750 1995 1,190,000 433,388 175,000 250,350 50,000 120,350 1996 1,285,000 332,186 300,000 230,162 50,000 115,950 1997 1,280,000 225,420 425,000 203,600 100,000 109,750 1998 510,000 149,985 450,000 174,938 250,000 97,250 1999 500,000 106,810 450,000 145,237 250,000 80,125 2000 490,000 63,995 475,000 114,475 250,000 62,750 N. 2001 485,000 21,340 475,000 82,531 250,000 45,125 2002 500,000 49,500 250,000 27,187 2003 500,000 16,250 250,000 9,063 . $9,350,000 $3,864,624 $4,250,000 $2,389,568 $1,900,000 $1,192,950 MA mg -104- go 44. CERTIFICATES OF CAPITAL LEASE - OBLIGATION GRADALL PRINCIPAL INTEREST PRINCIPAL INTEREST $150,000 $ 32,200 $ 38,374 $ 6,489 $150,000 $ 19,425 39,739 5,124 qui 150,000 6,475 42,824 2,039 $450,000 $ 58,100 $ 120,937 $ 13,652 r AM -105- COMBINED SCHEDULE OF INVESTMENTS - ALL FUNDS - 1 of 2 CITY OF PEARLAND, TEXAS September 30, 1990 CERTIFICATE INTEREST DESCRIPTION NUMBER RATE General Fund Certificates of Deposit - Pearland State Bank, Pearland, Texas 7104 8.22 % 7618 7.83 7867 7.90 7675 7.69 7102 8.22 7676 7.69 7653 7.63 8112 8.12 7322 8.00 7225 8.10 8078 6.09 7103 8.22 6898 8.12 6918 8.45 7854 7.54 6911 8.28 Enterprise Fund Certificates of Deposit - Pearland State Bank, Pearland, Texas 7677 7.69 8618 8.18 6909 8.28 6921 8.28 7055 8.45 8620 8.18 7446 8.04 7196 8.08 7678 7.69 7849 7.83 6908 8.17 8619 8.18 .. 7453 7.99 7670 7.66 7978 7.34 6898 8.12 6401 7.60 6916 8.45 6879 8.09 6920 8.45 7979 7.34 -106- MATURITY ,. DATE AMOUNT 11-23-90 $ 100,000 1-24-91 200,000 2-14-91 100,000 2-14-91 400,000 11-23-90 300,000 2-14-91 500,000 1-31-91 475,000 11-23-90 175,000 11-23-90 18,561 11-23-90 722 10-01-90 2,000 11-23-90 30,000 11-23-90 10,000 •. 4-11-91 20,000 10-01-90 4,871 10-25-90 9,912 TOTAL GENERAL FUND 2,346,066 2-14-91 150,000 "" 10-11-90 125,000 10-25-90 100,000 10-25-90 100,000 .. 11-01-90 75,000 10-11-90 75,000 11-23-90 50,000 11-23-90 200,000 2-14-91 75,000 2-14-91 100,000 10-15-90 75,000 10-11-90 100,000 11-23-90 100,000 2-14-91 100,000 r 10-01-90 125,000 11-23-90 15,000 10-25-90 15,000 4-11-91 10,000 11-23-90 5,000 4-11-91 5,000 10-01-90 75,000 TOTAL ENTERPRISE FUND 1,675,000 -107- COMBINED SCHEDULE OF INVESTMENTS - ALL FUNDS - 2 of 2 CITY OF PEARLAND, TEXAS .. September 30, 1990 CERTIFICATE INTEREST DESCRIPTION NUMBER RATE .. Debt Service Fund Certificates of Deposit - Pearland State Bank, Pearland, Texas 7388 8.05% 7389 8.05 7861 7.54 7858 7.54 7860 7.54 7862 7.54 7047 8.45 7855 7.54 7566 7.86 Capital Projects Fund Certificates of Deposit - Pearland State Bank, Pearland, Texas 8394 8.39 7101 8.22 •. 7195 8.08 6914 8.28 8395 8.39 MR 8397 8.39 7447 8.04 7682 7.69 7194 8.08 6910 8.28 8345 8.23 7192 8.08 7652 7.63 6912 8.28 8396 8.39 -108- MATURITY DATE AMOUNT 11-23-90 25,000 11-23-90 40,000 10-01-90 100,000 10-01-90 111,579 10-01-90 100,000 10-01-90 100,000 11-01-90 70,000 10-01-90 150,000 1-17-91 150.000 TOTAL DEBT SERVICE FUND 846,579 11-23-90 90,000 • 11-23-90 110,000 11-23-90 6,703 10-25-90 95,000 11-23-90 55,000 11-23-90 15,000 11-23-90 50,000 2-14-91 20,000 11-23-90 10,000 10-25-90 450,000 11-23-90 175,000 11-23-90 160,000 1-31-90 50,000 10-25-90 40,000 11-23-90 50.000 TOTAL CAPITAL PROJECTS FUND 1.376.703 TOTAL ALL FUNDS $6,244,348 -• UNRESTRICTED $5,779,400 RESTRICTED 464.948 TOTAL $6,244,348 -109- IMM Imo IMO MAP IMP (This page intentionally left blank. ) -110- STATISTICAL SECTION The City does not have a legal debt margin as the law does not mandate any debt limit on the City. i i -111- GENERAL GOVERNMENTAL EXPENDITURES - BY FUNCTION CITY OF PEARLAND, TEXAS Last ten fiscal years FISCAL GENERAL PUBLIC PUBLIC COMMUNITY YEAR GOVERNMENT SAFETY WORKS SERVICES 1980-81 $ 916,368 $ 995,589 $1,110,788 $183,855 1981-82 1,076,708 1,310,149 1,382,662 236,632 1982-83 1,186,131 1,501,816 1,157,708 269,520 1983-84 1,306,283 1,291,788 1,244,566 351,420 1984-85 1,559,567 1,620,315 1,339,340 813,511 1985-86 1,546,669 1,636,541 1,481,274 508, 331 1986-87 1,163,619 1,765,881 1,819,807 419,405 1987-88 1,055,090 1,775,205 1,831,884 394,294 1988-89 1,004,376 1,713,376 969,683 350,476 1989-90 1,104,528 1,779,144 1,176,751 413,879 -112- a a a DEBT REVENUE a SERVICE SHARING TOTAL $ 515,541 $153,205 $3,875,346 593,712 112,996 4,712,859 1,392,950 114,776 5,622,901 1,367,765 161,018 5,722,840 1,051,734 156,702 6,541,169 1,873,171 121,019 7,167,005 2,449,116 80,331 7,698,159 2,505,270 14,281 7,576,024 2,809,598 - 6,847,509 2,709,351 - 7,183,653 a This schedule includes expenditures of the General, Debt Service and Special Revenue Funds (where applicable) . a a a a -113- GENERAL GOVERNMENTAL REVENUES - BY SOURCE CITY OF PEARLAND, TEXAS Last ten fiscal years LICENSES FISCAL AND INTER- CHARGES YEAR TAXES * PERMITS GOVERNMENTAL FOR SERVICES 1980-81 $3,261,841 $ 64,775 $106,683 $397 ,446 1981-82 3,653,942 57,410 129,750 477 ,928 1982-83 4,065,251 137,319 152,232 510,278 1983-84 4,457,930 146,350 162,935 640,693 1984-85 4,857,178 98,730 378,260 731,123 — 1985-86 5,202,227 112,553 138,237 860,379 1986-87 5,494,385 138,998 17,898 838,298 1987-88 5,864,828 143,198 12,500 858,071 1988-89 6,577,703 139,418 - - 1989-90 6,913,353 267,962 - - - S -114- a FINES AND FORFEITURES OTHER TOTAL $ 161,277 $262,985 $4,255,007 166,304 411,653 4,896,987 204,796 639,928 5,709,804 213,241 495,813 6,116,962 228,806 512,425 6,806,522 225,674 327,398 6,866,468 231,117 343,850 7,064,546 234,687 353,320 7,466,604 265,062 471,638 7,458,156 212,538 535,600 7,929,453 a i This schedule includes revenues of the General and Debt Service Funds. *Includes penalties and interest. i w a w -115- a a a r a a a a a (This page intentionally left blank. ) a -116- TAX REVENUES - BY SOURCE CITY OF PEARLAND, TEXAS a Last ten fiscal years FISCAL GENERAL GENERAL YEAR PROPERTY - A SALES FRANCHISE TOTAL 1980-81 $1,876,369 $1,075,582 $291,449 $3,243,400 1981-82 2,097,120 1,133,869 411,122 3,642,111 1982-83 2,716,737 820,623 478,944 4,016,304 1983-84 2,815,660 1,107,194 502,029 4,424,883 1984-85 3,120,117 1,133,396 564,905 4,818,418 .. 1985-86 3,508,315 991,896 629,038 5,129,249 1986-87 3,900,865 943,940 581,617 5,426,422 1987-88 4,030,602 1,150,291 623,632 5,804,525 1988-89 4,651,648 1,212,455 642,180 6,506,283 1989-90 4,701,815 1,460,341 693,302 6,855,458 Note A - Excludes penalty and interest. a a .. -117- PROPERTY TAX LEVIES AND COLLECTIONS CITY OF PEARLAND, TEXAS - Last ten fiscal years PERCENT FISCAL TAX TAX TOTAL CURRENT TAX OF LEVY YEAR YEAR RATE TAX LEVY COLLECTIONS COLLECTED 1980-81 1980 $1.065 $1,879,362 $1,805,202 96. 1% 1981-82 1981 .620 2,042,409 2,002,177 98.0 1982-83 1982 .680 2,729,115 2,675,793 98.0 1983-84 1983 .680 2,842,011 2,770,243 97.5 1984-85 1984 .730 3,145,445 3,073,142 97.7 1985-86 1985 .600 3,544,618 3,435,574 96.9 1986-87 1986 .700 3,902,598 3,785,163 97.0 1987-88 1987 .735 4,103,794 3,979,253 97 .0 1988-89 1988 .825 4,640,320 4,549,576 98.0 1989-90 1990 .825 4,756,012 4,634,653 97.4 TAX RATE - The City of Pearland is a Home Rule Charter city with a maximum tax rate for all purposes of $2.50 per $100 assessed valuation. This maximum tax rate is imposed both by the constitution of the State of Texas and the City Charter. Within this $2.50 maximum, there is no legal limit upon the amount of taxes which can be levied for debt service. Note - The percent of assessed to actual value changed from 60% to 100% for the 1981 tax roll. — Source - Tax department records of the City. w -118- im TOTAL OUTSTANDING COLLECTION DELINQUENT AS A PER- TAXES AS A DELINQUENT TOTAL CENT OF OUTSTANDING PERCENT OF TAX TAX CURRENT DELINQUENT CURRENT COLLECTIONS COLLECTIONS LEVY TAXES LEVY $ 47,201 $1,852,403 98.6% $110,065 5.86% 74,108 2,076,285 101.7 76,189 3.73 40,944 2,716,737 99.5 89,685 3.29 39,730 2,809,973 98.9 129,716 4.56 42,027 3,115,169 99.0 166,389 5.29 65,986 3,501,560 98.8 192,446 5.43 80,980 3,866,143 99.1 235,090 6.02 86,051 4,065,304 99.1 253,055 6. 17 102,072 4,651,648 100.2 245,832 5.30 67,162 4,701,815 98.9 283,909 5.97 -119- ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY CITY OF PEARLAND, TEXAS Last ten fiscal years REAL PROPERTY PERSONAL PROPERTY ESTIMATED ESTIMATED FISCAL TAX ASSESSED ACTUAL ASSESSED ACTUAL YEAR YEAR VALUE VALUE VALUE VALUE 1980-81 1980 $148,799,753 $247,999,589 $ 34,015,796 $ 56,692,993 1981-82 1981 260,252,180 260,252,180 79,750,769 79,750,769 1982-83 1982 294,041,370 294,041,370 106,562,690 106,562,690 — 1983-84 1983 309,192,300 309,192,300 107,332,030 107,332,030 1984-85 1984 334,529,340 334,529,340 97,007,310 97 ,007,310 1985-86 1985 505,251,465 505,251,465 85,518,227 85,518,227 1986-87 1986 481,680,507 481,680,507 75,833,470 75,833,470 1987-88 1987 490,803,955 490,803,955 66,690,530 66,690,530 1988-89 1988 488,160,852 488,160,852 74,300,650 74, 300,650 1989-90 1989 497,860,870 497,860,870 78,625,420 78,625,420 " Note - Assessment date is January 1st of the tax year. The percent of assessed to actual value increased from 60% to 100% for the 1981 tax roll. — Source - Tax department records of the City. a -120- a - TOTAL ESTIMATED RATIO OF ASSESSED ASSESSED ACTUAL VALUE TO ESTIMATED VALUE VALUE ACTUAL VALUE $182,815,549 $304,692,582 60% 340,002,949 340,002,949 100 400,604,060 400,604,060 100 416,524,330 416,524,330 100 431,536,650 431,536,650 100 .. 590,769,692 590,769,692 100 557,513,977 557,513,977 100 557,494,485 557,494,485 100 562,461,502 562,461,502 100 576,486,290 576,486,290 100 a -121- PROPERTY TAX RATES AND TAX LEVIES - DIRECT AND OVERLAPPING GOVERNMENTS - 1 of 2 r CITY OF PEARLAND, TEXAS Last ten fiscal years PEARLAND — INDEPENDENT FISCAL CITY OF SCHOOL BRAZORIA HARRIS YEAR PEARLAND DISTRICT COUNTY COUNTY r TAX RATE 1980-81 $1.065 $1.10 $.970 $1.130 — 1981-82 .620 1.10 .385 .376 1982-83 .680 1.10 .380 .360 1983-84 .680 1.25 .427 .377 1984-85 .730 1.00 .300 .280 1985-86 .600 1.10 .395 .268 1986-87 .700 1.18 .395 .268 1987-88 .735 1.22 .395 .293 1988-89 .825 1.37 .445 . 343 1989-90 .825 1.46 .454 .319 TAX LEVIES 1980-81 $1,879,362 $ 5,782,220 $11,056,176 $175,846,769 1981-82 2,042,409 5,741,265 15,002,232 218,001,248 1982-83 2,729,115 6,305,009 22,168,956 238,964,304 1983-84 2,842,011 6,925,984 22,516,039 270,971,084 1984-85 3,145,445 7,930,348 23,685,899 324,910,285 �' 1985-86 3,544,618 8,459,522 39,433,799 295,079,310 1986-87 3,902,598 8,412,625 40,219, 332 312,668,116 1987-88 4,103,794 10,057,694 22,867,551 317,168,382 1988-89 4,640,320 11,581,755 26,774,344 310,287,652 1989-90 4,756,012 12,472,401 27,162,326 310,287,652 Note - The basis for property tax rates is per $100 of the assessed valuation. Source - Tax department records of the various governments. -122- HARRIS HARRIS PORT OF COUNTY COUNTY HOUSTON FLOOD HOSPITAL AUTHORITY CONTROL DISTRICT $.060 $.240 $.550 .020 .062 .185 .020 .077 .190 .013 .079 .202 .009 .055 .134 .008 .064 .135 .008 .064 .135 .007 .037 .137 .011 .038 .146 .013 .062 .166 $ 6,744,401 $28,571,249 $ 72,708,259 8,991,021 37,050,333 85,262,344 11,642,531 36,062,079 107,474,637 12,606,319 50,017,423 123,812,426 9,005,427 56,430,869 144,832,854 10,899,213 63,456,864 155,479,182 8,786,390 70,125,656 148,971,673 9,333,377 74,667,013 157,500,730 11,714,922 51,539,087 156,997,245 13,075,899 60,945,254 163,778,567 -123- PROPERTY TAX RATES AND TAX LEVIES - DIRECT AND OVERLAPPING GOVERNMENTS - 2 of 2 CITY OF PEARLAND, TEXAS Last ten fiscal years PEARLAND .. INDEPENDENT CITY OF SCHOOL BRAZORIA HARRIS PEARLAND DISTRICT COUNTY COUNTY Tax Rate Limits 1) Amount $2.50 $1.50 $1.25 Unlimited 2) Source Statutory Statutory Statutory Statutory Due date Current Taxes October 1 October 1 October 1 October 1 Date taxes become delinquent February 1 February 1 February 1 February 1 Penalties for delin- The statutory penalties for delinquency in the state of Texas .. are 6% on February 1 plus 1% for each month thereafter up to maximum penalty of 12%. Note - The basis for the property tax rate is per $100 of the assessed valuation. Source - Tax department records of the various governments. -124- r r r r HARRIS HARRIS r PORT OF COUNTY COUNTY STATE OF HOUSTON FLOOD HOSPITAL TEXAS AUTHORITY CONTROL DISTRICT 1r $.10 Unlimited $.30 $.75 Statutory Statutory Statutory Statutory October 1 October 1 October 1 October 1 rFebruary 1 February 1 February 1 February 1 r r r r r r r r r r -125- TAX RATE DISTRIBUTION CITY OF PEARLAND, TEXAS Last ten fiscal years DEBT TOTAL GENERAL SERVICE TAX — TAX YEAR FUND FUND RATE 1980 $ .773 $ .292 $1.065 — 1981 .443 .177 .620 1982 .395 .285 .680 1983 .377 .303 .680 1984 .399 .331 .730 1985 .269 . 331 .600 1986 .246 .454 .700 1987 .275 .460 .735 1988 .310 .515 .825 1989 .340 .485 .825 Note - The maximum tax rate for the City of Pearland is $2.50 per $100 assessed valuation. Within this $2.50 maximum there is no legal limit upon the amount of taxes which may be levied for debt service. — The percent of assessed to actual value increased from 60% to 100% for the 1981 tax roll. -126- PRINCIPAL TAXPAYERS CITY OF PEARLAND, TEXAS September 30, 1990 PERCENT OF 1989 TOTAL ASSESSED ASSESSED TAXPAYER NAMES BUSINESS VALUE VALUE 1. W. R. Grace Company Oilfield Equipment $ 11,191,290 1.94% 2. Hausman & Banfield Property Apartments & Developers 8,880,350 1.54 3. Southwestern Bell Utility Company 7,972,470 1. 38 4. Ron Carter Chevrolet Car Dealership 5,161,960 .90 5. Wal-Mart Department Store 5,069,980 .88 6. Whispering Winds Ltd. Apartments & Townhomes 4,949, 550 .86 7. Houston Lighting & Power Utility Company 4,858,500 .84 8. Windmill Apartments #1 & #2 Apartments 4,492,560 .78 9. Energy Coatings Pipe Coating & Storage 4,305,190 .75 10. K-Mart Corporation Department Store 3,787 ,190 .66 60,669,040 10. 53 Others 515,817 ,250 89.47 TOTAL $576,486,290 100.00% Source - Tax department records of the City. -127- RATIO OF NET LONG-TERM DEBT TO ASSESSED VALUE AND NET LONG-TERM DEBT PER CAPITA CITY OF PEARLAND, TEXAS Last ten fiscal years w TOTAL LESS DEBT FISCAL ESTIMATED ASSESSED LONG-TERM SERVICE YEAR POPULATION VALUE DEBT-A FUNDS 1980-81 13,248 $182,815,549 $ 5,433,000 $190,733 1981-82 15,260 340,002,949 11,266,000 305,540 1982-83 17,702 400,604,060 10,986,000 391,966 1983-84 18,085 416,524,330 10,591,000 474,185 — 1984-85 19,000 431,536,650 16,341,000 192,994 1985-86 19,000 590,769,692 20,306,000 444,267 1986-87 21,000 557,513,977 19,535,352 535,571 r, 1987-88 21,000 557,494,485 20,684,019 622,168 1988-89 22,000 562,461,502 19,412,557 764,512 1989-90 21,000 576,486,290 18,225,937 893,878 i Note - The percentage of assessed to actual value increased from — 60% to 100% for the 1981 tax roll. A - Includes certificates of obligation, notes payable and general _ obligation bonds. -128- RATIO OF NET NET LONG-TERM DEBT NET LONG-TERM LONG-TERM TO ASSESSED DEBT PER DEBT VALUE CAPITA $ 5,242,267 2.87% $ 396 10,960,460 3.22 718 10,594,034 2.64 598 10,116,815 2.43 559 16,148,006 3.74 850 19,861,733 3.36 1,045 18,999,781 3.41 905 20,061,851 3.60 955 18,648,045 3.32 848 17,332,059 3.01 825 .14 -129- IRV AIM .W S MID ONO NV ti� IOW MN MI (This page intentionally left blank. ) r -130- COMPUTATION OF NET DIRECT AND ESTIMATED OVERLAPPING DEBT CITY OF PEARLAND, TEXAS September 30, 1990 PERCENTAGE CITY OF NET DEBT APPLICABLE PEARLAND'S NAME OF GOVERNMENTAL UNIT OUTSTANDING TO CITY OF PEARLAND SHARE OF DEBT Brazoria County $ 1,279,064 5.41% $ 69,197 Harris County 932,812,412 .05 466,406 Pearland Independent School District 32,502,388 61.77 20,076,725 Port of Houston Authority 108,180,000 .05 54,090 Harris County Flood Control 283,638,056 .05 141,819 Total Estimated Overlapping Debt 20,808,237 City of Pearland 100.00 17 ,332 ,059 TOTAL NET DIRECT AND ESTIMATED OVERLAPPING DEBT $ 38 ,140,296 TOTAL NET DIRECT AND ESTIMATED OVERLAPPING DEBT PER CAPITA $ 1,816 Source - Tax department records of the various governments. S -131- a RATIO OF ANNUAL DEBT SERVICE EXPENDITURES FOR GENERAL LONG-TERM DEBT TO TOTAL GENERAL EXPENDITURES CITY OF PEARLAND, TEXAS Last ten fiscal years INTEREST AND TOTAL FISCAL DEBT FISCAL YEAR PRINCIPAL CHARGES SERVICE 1980-81 $ 260,000 $ 255,541 $ 515,541 1981-82 267,000 326,712 593,712 1982-83 280,000 1,112,950 1,392,950 1983-84 395,000 972,765 1,367,765 1984-85 310,000 741,734 1,051,734 1985-86 544,101 1,329,070 1,873,171 1986-87 992,710 1,456,406 2,449,116 1987-88 1,101,334 1,403,936 2,505,270 1988-89 1,271,462 1,538,136 2,809, 598 1989-90 1,307,557 1,401,794 2,709,351 This schedule reflects retirement of General Bonded Debt as recorded in the General Long-Term Debt Account Group. -132- a TOTAL RATIO OF GENERAL DEBT SERVICE TO . EXPENDITURES GENERAL EXPENDITURES $3,875,346 13.3% 4,712,859 12.6 5,622,901 24.8 5,722,840 23.9 6,541,169 16.1 . 7,167,005 26.1 7 ,698,159 31.8 7,576,024 33.1 6,847,509 41.0 7,183,653 37.7 -133- REVENUE BOND COVERAGE - WATER AND SEWER BONDS CITY OF PEARLAND, TEXAS Last ten fiscal years NET REVENUE AVAILABLE RATIO FISCAL GROSS FOR DEBT DEBT SERVICE REQUIREMENTS OF YEAR REVENUES(A) EXPENSES(B) SERVICE PRINCIPAL INTEREST TOTAL COVERAGE 1981 $1,109,716 $ 685,340 $ 424,376 $ 50,000 $159,800 $209,800 2.02 1982 1,218,626 822,827 395,799 60,000 156,110 216,110 1.83 1983 1,376,175 888,058 488,117 70,000 152,270 222,270 2.20 1984 1,491,219 1,144,233 346,986 70,000 152,749 222,749 1.56 w 1985 1,591,300 1,448,033 143,267 75,000 147,088 222,088 .65 1986 2,278,960 1,474,980 803,980 80,000 141,134 221,134 3.64 1987 2,246,983 1,581,930 665,053 80,000 144, 301 224,301 2 .97 1988 2,391,635 1,624,640 766,995 90,000 128,009 218,009 3. 52 1989 2,651,656 1,851,354 800,302 100,000 122,262 222,262 3.60 1990 2,867,209 1,860,314 1,003,895 100,000 116,308 216,308 4.64 Note - (A) Includes non-operating revenue available for debt service. (B) Excludes depreciation. -134- SUPPLEMENTARY INFORMATION, - STATEWIDE TMRS* - ANALYSIS OF FUNDING PROGRESS CITY OF PEARLAND, TEXAS Last seven fiscal years - Note A UNFUNDED UNFUNDED PENSION NET ASSETS PENSION PENSION ANNUAL BENEFIT OBLIGATION FISCAL AVAILABLE BENEFIT PERCENTAGE BENEFIT COVERED AS A PERCENTAGE YEAR FOR BENEFITS OBLIGATION FUNDED OBLIGATION PAYROLL OF COVERED PAYROLL 1982-83 $1,000,411 $1,504,662 66.48% $504,251 $2,326,851 21.67 % 1983-84 1,261,441 1,860,696 67.79 599,255 2,449,317 24.46 1984-85 1,569,614 2,211,086 70.99 641,472 2,578,228 24.88 1985-86 1,719,378 2,572,328 66.84 852,950 2,713,924 31.46 1986-87 2,100,361 3,040,489 69.08 940,128 2,841,130 33.09 1987-88 2,440,324 3,272,289 74.58 831,965 2,866,658 29.02 1988-89 2,568,286 3,445,280 74.55 876,994 2,871,853 30.54 * - Texas Municipal Retirement System A - Only seven fiscal years data was available -135- SCHEDULE OF INSURANCE IN FORCE - 1 of 3 CITY OF PEARLAND, TEXAS September 30, 1990 COMPANY POLICY NO. COVERAGE FIRE Transportation Insurance Co. FTE 300566213 Fire, EC, JEC VMM New City Hall Sprinkler system leakage damage Transportation Insurance Co. FTE 803107117 Fire, EC & VMM Fire Station - EMS Bldg. , City Barn Building & Contents American Casualty Company FTE 803101351 Fire, EC & VMM Contents Community building on Grand Blvd. , Activity building National Fire Insurance Co. FTE 9013106945 Fire, EC & VMM Com- munity Center & Contents Transportation Insurance Co. FTE 003148868 Fire, EC & VMM Police Station & Contents FIDELITY Merchants Bonding Company TX 457154 Blanket Bond - All �. Employees Merchants Bonding Company TX 143282 Library Treasurer's Merchants Bonding Company TX 432039 Tax Collector City Treasurer's Bond Merchants Bonding Company N/A Notary Bond - Various Employees -136- a a AMOUNT CO-INSURANCE BEGINS TERM PREMIUM a $2,077,000 80% 06-01-90 1 yr. $6,501 a .. 708,000 80% 09-01-90 1 yr. 2,530 103,000 80% 02-28-90 1 yr. 218 a, 1,200,000/ 80% 11-28-89 1 yr. 2,264 200,000 a 1,400,000/ 80% 06-06-90 1 yr. 2,834 110,000 a 5,000 - 01-28-90 3 yr. 1,772 10,000 - 06-29-90 1 yr. 50 a 20,000 - 06-13-90 1 yr. 100 a 2,500/per Notary - 12-22-88 3 yr. 1,278 a a a a -137- SCHEDULE OF INSURANCE IN FORCE - 2 of 3 COMPANY POLICY NO. COVERAGE LIABILITY T.M.L. Self Insurance Plan C00128 Fleet Auto Coverage 1. Comprehensive General Liability 2. Fleet Auto Liability - includes Fire Vehicles 3. Personal & Profes- sional Liability 4. Errors & Omissions 5. Public Officials Liability - (paid monthly) PHYSICAL DAMAGE Transcontinental Insurance Co. IMB 402387058 Equipment Floater & EMS Tower AMBULANCE CIGNA VFP 8544 4453 Accident and Sickness -138- AMOUNT CO-INSURANCE BEGINS TERM PREMIUM $1,000,000 - 10-01-89 1 yr. G.F. $197,724 Combined W&S Single $1,000 deductible $5,000 deductible 500,000 $1,500 deductible 482,847 - 01-06-90 1 yr. 4,529 $115,400 12-22-89 1 yr. 4,403 41* U -139- — SCHEDULE OF INSURANCE IN FORCE - 3 of 3 COMPANY POLICY NO. COVERAGE ACCIDENT Hartford Accident and 61VP120514 Accidental Death and Indemnity Co. Dismemberment - Medical Hartford Accident and Indemnity Co. VFP84444563 Accidental Death & Dismemberment Weekly Income Medical expense — WORKER'S COMPENSATION Johnson & Higgins - TML A 0128 Statutory Workman's Compensation (paid monthly) GROUP HOSPITALIZATION American General Blue Cross 33950 Health, Dental, Term Life (paid monthly) w A -140- AMOUNT CO-INSURANCE BEGINS TERM PREMIUM 10,000 - 12-16-89 1 yr. 2,575 30,200 10-01-89 1 yr. 2.103 10-01-89 1 yr. 171,388 01-01-90 235,538.45 a a -141- PROPERTY VALUE, CONSTRUCTION AND BANK DEPOSITS CITY OF PEARLAND, TEXAS Last ten fiscal years FISCAL BANK PROPERTY YEAR CONSTRUCTION-B DEPOSITS-A VALUE-C 1981 $15,815,678 $ 60,734,683 $304,692,582 1982 15,410,993 69,019,958 340,002,949 1983 34,379,493 81,967,878 400,604,060 1984 37,421,404 100,328,552 416,524,330 1985 17,249,993 111,481,683 431,536,650 1986 19,155,357 116,496,589 590,769,692 1987 13,961,123 124,768,047 557,513,977 1988 14,052,500 131,441,215 557,494,485 1989 37,270,734 154,685,142 562,461,502 1990 42,041,618 158,866,370 576,486,290 Note A - Bank deposits are as reported by Texas Bankers Association at the preceding December 31. Note B - Inspection department records of the City. Note C - Tax department records of the City. -142- MISCELLANEOUS STATISTICAL DATA - 1 of 3 CITY OF PEARLAND, TEXAS September 30, 1990 Date of Incorporation December, 1959 Date of Present Charger Adopted Home Rule Charter February 6, 1971 Form of Government Council - Manager Area 22 Square miles Miles of streets and alleys Streets - paved 98.8 miles Streets - unpaved 10 miles Alleys 9 miles Sidewalks 35 miles Fire Protection a Number of stations 3 Number of volunteers 37 Police Protection Number of stations 1 Number of employees 44 Number of patrol units 21 Recreation Number of parks 7 Size of parks 50 acres, 46 acres, . 75 acres,4.8 acres , 6 acres, 1 acre, 1.5 acres Number of swimming pools 1 Number of tennis courts 5 Number of softball fields 1 Number of pavilions 3 (1 large and 2 small) Community Center 1 a i -143- MISCELLANEOUS STATISTICAL DATA - 2 of 3 Sanitation Number of garbage bags provided 552,240 per year Number of garbage trucks 8 Cubic yards of solid waste collected 4,752 cubic yards per month Storm Sewers Miles of storm sewer 24.6 miles Education Pearland Independent School District — Number of teachers 394 Number of students 6,460 City employees Monthly salary employees 21 Hourly rate employees 129 Total 150 Election — Number of votes cast Last general election 3,736 Last City election 1,774 Water Number of wells 6 Average daily consumption 2,853,100 gallons Maximum daily consumption 4,213,800 gallons Water mains 94.6 miles Number of connections 5,964 Sewer Number of plants 2 Liftstations 35 Average daily capacity 2,350,000 gallons Maximum daily capacity 4,950,000 gallons Sanitary sewer mains 86.6 miles Number of connections 5,734 -144- MISCELLANEOUS STATISTICAL DATA - 3 of 3 .8. Emergency Medical Service Number of volunteers 35 Number of paid paramedics 10 Number of stations 1 Number of vehicles 4 Library a Number of buildings 1 Number of cardholders 14,572 Number of books in library 35,478 a -145- SIP Inen r a r f (This page intentionally left blank. ) -146- a DEMOGRAPHIC STATISTICS CITY OF PEARLAND, TEXAS Last ten fiscal years FISCAL ESTIMATED PER CAPITA MEDIAN SCHOOL UNEMPLOYMENT YEAR POPULATION INCOME (1) AGE (2) ENROLLMENT (3) RATE (4) 1980-81 13,248 $10,079 29 5,095 4.5% . 1981-82 15,260 * * 5,005 4.8 1982-83 17,702 * * 5,174 6.8 1983-84 18,085 * * 5,257 5.9 1984-85 19,000 * * 5,418 8.6 1985-86 19,000 * * 5,831 10.6 1986-87 21,000 * * 5,813 9.9 _ 1987-88 21,000 * * 6,224 7.4 1988-89 22,000 * * 6,450 8.1 1989-90 21,000 * * 6,460 5.5 Source: (1) Federal Revenue Sharing Office. (2) 1980 United States Census. (3) Pearland Independent School District. (4) State Unemployment Commission. (The unemployment rate is the average annual unemployment rate for Brazoria County of which the City of Pearland is a part) . * Information not available. -147- a CITY OFFICIALS AND DEPARTMENT HEADS CITY OF PEARLAND, TEXAS September 30, 1990 CITY OFFICIALS ADDRESSES ELECTIVE POSITION C. V. (Vic) Coppinger 2111 N. Galveston Mayor D. A. Miller, Jr. 2707 Pinecone Lane Councilmember Position No. 1 Richard F. Tetens 2105 W. Mary's Creek Councilmember Position No. 2 Randy Weber 3221 Wheatridge Councilmember Position No. 3 David L. Smith 2714 Green Tee Councilmember Position No. 4 William E. Wolff 2703 Shakespeare Councilmember Position No. 5 DEPARTMENT HEADS APPOINTIVE POSITION James 0. DeShazer 2203 Cedar City Manager E.J. Chapman P. O. Box 1541 Acting Chief of Police Larry Steed 3305 Longherridge Fire Chief/Fire Marshal Glenn Chaney Box 36 Municipal Court Judge Dick Qualtrough 1816 Winding Creek City Engineer Joe Barnett 5212 Cunningham Warrant Officer/City Marshal Dr. David Armbruster 3301 Windsor Health Officer .. Janet S. Eastburn 5922 Marsha Treasurer/Director of Finance Kay Krouse 1001 Union Valley City Secretary Barry R. Lastik 11322 Sage Valley Director of Parks & Recreation _ Houston, Texas Barbara Lenamon P. 0. Box 519 Tax Assessor/Collector Robert Tobin 3510 E. Broadway, #709 Water Operations Supervisor Ernesto Buenrostro 201 South 6th Deputy Building Official Alvin, Texas Paulette Mire 401 McDermott Supervisor of Water and Sewer Deer Park, Texas Billing and Collection — Renee Monceaux P. 0. Box 723 Animal Control Officer Carrol Frank 2212 Willow Blvd. Municipal Court Supervisor John R. Kubasik 639 East Country Grove Circle Health Officer Joe Almaraz 2214 Bunkerhill Sanitation Supervisor Mike Joyce 2403 Parkview Chief Mechanic/Fleet Manager Ronnie McWarders 1109 Union Valley Public Works Superintendent — Mark Hickling 5003 Rockland Human Resource Coordinator/ Civil Service Director Harris Maulden 2902 Whispering Winds Computer/Electronics Technician -148- a a TERM AMOUNT OF EXPIRES SURETY BOND 1993 $ 5,000 1992 5,000 1991 5,000 1993 5,000 1991 5,000 .. 1992 5,000 a 5,000 5,000 NONE NONE 5,000 5,000 NONE 10,000 5,000 5,000 a 10,000 5,000 a 5,000 5,000 a 5,000 5,000 a 5,000 NONE a 5,000 5,000 _ NONE NONE NONE -149-