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Fiscal Year Ending September 30, 2007

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Fiscal Year Ending September 30, 2007 RESIDENTS ANNUAL FINANCIAL REPORT City oƒ 2007 MIAMI GARDENS CITY COUNCIL Honorable Shirley Gibson, Mayor Barbara Watson, Vice Mayor Aaron Campbell Jr., Seat 1 Barbara Watson, Seat 2 André Williams, Seat 3 Melvin L. Bratton, Seat 4 Oscar Braynon II, At Large Sharon Pritchett, At Large CITY MANAGER Dr. Danny O. Crew CITY ATTORNEY Sonja K. Dickens, Esq. CITY CLERK Ronetta Taylor, CMC EXECUTIVE STAFF Horace McHugh, Assistant City Manager General Services Christopher Steers, Assistant City Manager for Business Services Renee C. Farmer, Assistant City Manager for Public Services William Alonso, C.P.A., Finance Director INDEPENDENT AUDITORS Rachlin, Cohen & Holtz, LLP One Southeast Third Avenue, Tenth Floor, Miami, Florida 33131 ABOUT THIS FINANCIAL REPORT he City of Miami Gardens is proud Comprehensive Annual Financial T of its financial accomplishments Report (CAFR). The CAFR was and is also proud to present prepared in conformance with Gen- its citizens with the City’s first erally Accepted Accounting Princi- Residents Annual Financial Report ples (GAAP) and includes financial (RAFR) for the fiscal year ended statements independently audited September 30, 2007. by Rachlin Cohen & Holtz, LLC. This report is a summary of your Unlike the CAFR, the RAFR is un- City’s financial activities during audited and presented on a non- the past year. As stewards of your GAAP basis. The GAAP basis pre- money, we believe that it is impor- sentation in the CAFR includes the tant to share this information with presentation of individual funds, as you so that you will have confi- well as full disclosure of all material dence that your elected officials events, financial and non-financial, and City staff are doing their best in notes to the financial state- to make Miami Gardens a great ments. Copies of the CAFR, RAFR, place to live and work. and the Financial Trends Reports are available for public viewing The RAFR is a summary of the at City Hall and online at www. financial activities of the City’s gov- miamigardens-fl.gov. ernmental funds and was drawn from information found in the 2007 CITY OF MIA M I G A R D E N S 2007 RESIDENTS ANNUAL FINANCIAL REPORT 1 HIGHLIGHTS FOR FISCAL YEAR 2007 Fiscal year 2007 was a significant year in the City’s short history; tremendous strides were made in all areas that will provide future and immediate benefits to our residents. Although accomplishments were numerous, we have attempted to capture below those accomplishments with the most impact on City operations and levels of service to our residents: • The City’s Finance Department • Completed a $1.37 million street • Received the following grant was bought in-house during re-surfacing project that began funds: $698,000 from Homeland FY2007. This change led to the in 2005, using Quality Neighbor- Security, $1.4 Million Block Grant City’s audited annual financial hood Improvement Plan (QNIP) from the U.S. Department of report being reported to Council funds from Miami-Dade County. Housing and Urban Development in January 2008 or less than four (HUD), $300,000 from the Florida months after fiscal year end. This • Expanded Bunche Park through Department of Transportation for allows the City’s policy makers the acquisition of additional park the proposed NW 183rd Street to receive timely financial infor- property; completed the five year Beautification Project, $600,000 mation in order to make informed recreation plan; launched the from the State Housing Initia- decisions. Additionally, in Octo- teen and sports development tives Program (SHIP), $5.1 Million ber 2007, the Finance Depart- programs; expanded the seniors County Impact Fee Grant for the ment began issuing monthly program; completed the concep- NW 7th Avenue reconstruction, budget reports to Council. tual master plan for parks and $365,000 Hurricane Housing recreation; and completed the AJ Assistance Grant, and $250,000 • Completed the $2 million land- King Recreation Center. National Football League Parks scaping project on NW 27th Av- Improvement Grant. enues between NW 151st Street • Assumed responsibility of the and NW 215th Street. Stormwater Utility System from Miami-Dade County. CITY OF MIA M I G A R D E N S 2 2007 RESIDENTS ANNUAL FINANCIAL REPORT • Completed the significant phases • Implemented a “community ori- • Completed the installation and necessary to ensure the deploy- ented method” of Code Enforce- implementation of the City’s first ment of the City’s own police ment focused on gaining volun- in-house computer system that department in December 2007 tary compliance with the City will integrate all functions of the including recruiting and staffing codes-“door knocking”; warning City. Completed the installation over 156 police officer positions, notices; partnering with com- of the new police department purchase and renovation of a new munity leaders; property owners, computer network infrastructure police building; and the purchase business owners, and other City and communications systems. of other operational equipment. Departments. • Established the City’s Depart- • Revitalized and re-structured • Comprehensive Development ment of Community Develop- all aspects of the building de- Master Plan declared compliant ment through a $1.4 million partment customer service area with State Laws effective Febru- federal grant and began working including enhancing the office ary, 2007. to preserve housing stock for space, developing a call center, several low-income homeowners implementing online inspec- • Drafted major outline and several in Miami Gardens. In the first six tion results, re-organizing plans key elements of the new Land months, rehabilitated 12 homes routing, and increasing access Development Regulations/Zoning by providing deferred, forgivable to departmental personnel. The Code; Completed the State Road loans in an amount up to $35,000 implementation of strategic rec- 7 Livability Study to implement to owner-occupied homes that ommendations allowed for a 55% the plan as part of the upcoming meet the income qualifications. increase in customer satisfaction. FDOT Resurfacing Project. • Received a $70,000 grant from the Miami-Dade County Metro- politan Planning Organization to perform a Miami Gardens Transit Circulator Feasibility Study, and a $25,000 Technical assistance grant from the Florida Depart- ment of Community Affairs. CITY OF MIA M I G A R D E N S 2007 RESIDENTS ANNUAL FINANCIAL REPORT 3 FINANCIAL HIGHLIGHTS The financial summaries presented on Tables #1 and #2 are based upon a condensed view of the City’s assets and liabilities for all funds as Construction in progress of September 30, 2007, the end of the City’s fiscal year. Governmental Improvements other than buildings activities of the City include general government, public safety, culture Infrastructure Machinery & Equipment and recreation, public works, and economic and physical environment. Land Buildings Table #1 NET ASSETS As of September 30, 2007 and 2006 (net of depreciation) Governmental Activities $ Increase % Increase 2007 2006 (Decrease) (Decrease) Current Assets $ 32,310,232 $ 16,749,843 $ 15,560,389 92.90% Capital Assets 335,456,585 322,632,743 12,823,842 3.97% Total Assets 367,766,817 339,382,586 28,384,231 8.36% Long Term Liabilities Outstanding 49,045,013 18,918,063 30,126,950 159.25% Other Liabilities 4,980,797 2,213,089 2,767,708 125.06% Total Liabilities 54,025,810 21,131,152 32,894,658 155.67% Net Assets $ 313,741,007 $ 318,251,434 $ (4,510,427) -1.42% Current Assets are highly liquid and include cash, by the City from Miami-Dade County as part of the investments and receivables. Capital Assets are the stormwater system turnover from the County. City’s long term investments in land, buildings, equip- ment and machinery, infrastructure, and construction Net assets represent assets less liabilities. The largest in progress. Capital assets are shown at their original portion of the City’s net assets reflects its investment cost less accumulated depreciation. The City uses in capital assets net of related debt ($288.9 million). these capital assets to provide services to the resi- Although the City’s investment in its capital assets are dents, consequently these assets are not available for reported net of related debt, it should be noted that the future spending. Capital assets increased from $322.6 resources needed to repay this debt must be provided million in FY2006 to $335.5 million in FY2007, primar- from other resources, since capital assets themselves ily as a result of vehicles, building and equipment for cannot be used to liquidate these liabilities. Of the the new police department and the major beautifica- City’s total net assets, $24.9 million is unrestricted and tion project of NW 27th Avenue. Additionally, the City therefore may be used to meet the City’s ongoing obli- purchased property for parks expansion. gations to citizens and creditors. Long term liabilities represent debt obligations of Total revenues on table #2 increased by $7.6 mil- the City from long term financing. The proceeds of lion during FY2007, this is mainly attributable to the these debt issues are used to finance capital improve- increase in ad valorem revenues and capital grants. ments. Long term liabilities increased by approxi- The decrease in operating grants was due to the sig- mately $30 million during FY2007 due to the issuance nificant amount of FEMA hurricane reimbursements of a $14.4 million revenue bond for various land and received in FY2006. building acquisitions, a master lease agreement for $5.6 million to fund purchases of police and City ve- Total expenses on table #2 increased by $15.95 mil- hicles and equipment, and $8.9 million debt assumed lion mainly due to the following: CITY OF MIA M I G A R D E N S 4 2007 RESIDENTS ANNUAL FINANCIAL REPORT The graph below depicts the allocation of the City’s capital assets.
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