Comprehensive Annual Financial Report
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City of Everett, Washington 20COMPREHENSIVE18 ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31, 2018 CITY OF EVERETT, WASHINGTON COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31, 2018 FINANCE DIRECTOR-TREASURER SUSY HAUGEN PREPARED BY DEPARTMENT OF FINANCE FINANCE DIRECTOR-TREASURER Susannah J. Haugen, MSF BUDGET MANAGER Rae Ann Weighter, CPA ACCOUNTING MANAGER Young M. Lee, CPA SENIOR FINANCIAL ANALYST MARY LAMB, CPA SENIOR FINANCIAL ANALYST WAI POON FINANCIAL ANALYST Tatiana Sarmiento FINANCIAL ACCOUNTANT Edward Eugenio ACCOUNTING TECHNICIAN Jeffrey Coomber Jim Souder For comments or questions, contact: City of Everett, Accounting Division 425.257.8604 CITY OF EVERETT INTRODUCTORY SECTION TABLE OF CONTENTS INTRODUCTORY SECTION PAGE Table of Contents ...................................................................................................................................................... i Letter of Transmittal ................................................................................................................................................. 1 Principal Officials ...................................................................................................................................................... 6 Organization Chart ................................................................................................................................................... 7 Certificate of Achievement for Excellence in Financial Reporting ............................................................................ 8 FINANCIAL SECTION Independent Auditor's Report ................................................................................................................................... 9 Management’s Discussion and Analysis ................................................................................................................ 12 Basic Financial Statements Government Wide Financial Statements: Statement of Net Position ..................................................................................................................... 25 Statement of Activities .......................................................................................................................... 26 Fund Financial Statements: Balance Sheet - Governmental Funds .................................................................................................. 28 Reconciliation of the Balance Sheet – Governmental Funds to the Statement of Net Position ............................................................................................................. 29 Statement of Revenues, Expenditures, and Changes in Fund Balances – Governmental Funds ........ 30 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities ...................................................................... 31 Statement of Net Position – Proprietary Funds ..................................................................................... 32 Statement of Revenues, Expenses, and Changes in Fund Net Position – Proprietary Funds .............. 33 Statement of Cash Flows – Proprietary Funds ...................................................................................... 34 Statement of Fiduciary Net Position – Fiduciary Funds ........................................................................ 36 Statement of Changes in Fiduciary Net Position – Fiduciary Funds ..................................................... 37 Notes to the Financial Statements ................................................................................................................. 38 Required Supplementary Information Schedule of Revenues, Expenditures and Changes in Fund Balances – Budget and Actual General Fund ......................................................................................................................................... 84 Note A – Explanation of Difference between Budgetary Revenues and Expenditures and GAAP Revenues and Expenditures ...................................................................................................... 85 Pension Funds ............................................................................................................................................... 86 Other Post Employment Benefit Funds ......................................................................................................... 93 Combining and Individual Fund Statements and Schedules Governmental Funds: Combining Balance Sheet – Nonmajor Governmental Funds ............................................................... 95 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances – Nonmajor Governmental Funds ....................................................................................................... 96 Combining Balance Sheet – Nonmajor Special Revenue Funds .......................................................... 97 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances – Nonmajor Special Revenue Funds ................................................................................................ 101 Combining Balance Sheet – Nonmajor Debt Service Funds ............................................................... 105 2018 COMPREHENSIVE ANNUAL FINANCIAL REPORT PAGE I CITY OF EVERETT INTRODUCTORY SECTION FINANCIAL SECTION (continued) PAGE Combining Statement of Revenues, Expenditures, and Changes in Fund Balances – Nonmajor Debt Service Funds ....................................................................................................... 106 Combining Balance Sheet – Nonmajor Capital Project Funds ............................................................ 107 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances – Nonmajor Capital Project Funds .................................................................................................... 109 Schedule of Revenues, Expenditures, and Changes in Fund Balances - Budget and Actual Parks & Recreation Fund ............................................................................................................... 111 Library Fund ................................................................................................................................... 112 Municipal Arts Fund ....................................................................................................................... 113 Conference Center Fund................................................................................................................ 114 General Government Special Projects Fund .................................................................................. 115 Street Improvement Fund .............................................................................................................. 116 Streets Fund .................................................................................................................................. 117 Motor Vehicle Equipment Replacement Fund ................................................................................ 118 Hotel/Motel Tax Fund ..................................................................................................................... 119 Cumulative Reserve Real Property Acquisition Fund .................................................................... 120 Property Management Fund .......................................................................................................... 121 Cumulative Reserve Parks Fund ................................................................................................... 122 Senior Center Reserve Fund ......................................................................................................... 123 Animals Fund ................................................................................................................................. 124 Cumulative Reserve Library Fund .................................................................................................. 125 Emergency Medical Services Fund ................................................................................................ 126 Criminal Justice Fund..................................................................................................................... 127 Traffic Mitigation Fund.................................................................................................................... 128 Transportation Benefit District Fund ............................................................................................... 129 Contingency Reserve Fund ............................................................................................................ 130 Everett CDE LLC Fund .................................................................................................................. 131 CHIP Loan Program Fund .............................................................................................................. 132 Community Development Block Grants Fund ................................................................................ 133 Bond Redemption Fund ................................................................................................................. 134 LID Guaranty Fund .......................................................................................................................