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Audit Report 09.30.1974 ~ '"'" McALPIN, CURTIS & O'HAIRE CERTIFIED PUBLIC ACCOUNTANTS P. O. BOX 3346 FORT PIERCE, FLORIDA 33480 IRA M. MCALPIN. JR.. C. P. A. LYMAN B. CURTIS. C. P. A. THOMAS F. O'HAIRE. C. P. A. 5. THOMAS HAMILTON. JR.. C. P. A. SAMUEL R. PETERKIN. JR.. C. P. A. January 21, 1975 Honorable Mayor and City Council Okeechobee, Florida We have completed our examination of the financial statements of the City of Okeechobee for the year ended September 30, 1974 and submitted our report as of January 17, 1975. During the course of our examination, we observed the accounting procedures and system of internal control and offer the following recommenda- tions for your consideration: (1) There should be a consolidation of the bank accounts in the General Fund with appropriate consideration given to the requirements of the 1972 Water and Sewer Revenue Bond Ordinance. (2) It was observed that in all funds there were substantial amounts of funds on deposit which could have been invested in interest bearing securities. Procedures should be in- stituted to assure that the maximum amount of funds are invested at the best interest rate. (3) At September 30, 1974, the securities pledged as collateral, by the depository bank, were not sufficient to secure the City's bank deposits and certificates of deposits. Records of collateral should be maintained to insure that the City funds are adequately protected at all times. (4) The Irving Trust Company, as paying agent for the 1942 Refunding Bonds, has in deposit $2,012.00 to pay bonds and coupons which have not and may not be presented. The possibility should be investigated of the City holding these funds to pay the bonds if presented. :'tI (5) Periodic reports of revenues and expenditures compared with budget estimates should be prepared and submitted to the City Council. If we can be of further assistance to you with regard to these recommendations, please let us know. .~ # Inf:,~~, ~~t!)'fi&JA.'- McAlpin, Curtis & O'Haire [ r ~: l: ". ~: ~ I r I CITY OF OKEECHOBEE. FLORIDA AUDIT REPORT September 30, 1974 r- l I f- i I I ~- "- , Mayor Council - President Council Vice President Councilman Councilman Councilman City Clerk City Attorney Municipal Judge CITY OF OKEECHOBEE. FLORIDA AUDIT REPORT September 30, 1974 l:.. . MAYOR - COUNCIL ADMINISTRATIVE Superintendent - Water and Sewer Department Chief of Police Chief of Fire Department Building Inspector Aud1ey Dunham Donald L. Burk E. H. Hunt Russell V. Domer Edward W. Douglas Clifford L. Betts, Jr. Sandra Bennett J. Edward Curren Audley Dunham L. C. Fortner, Jr. Dewitt H. Staats Olen Godwin Richard B. Spray r · r - ~ . i ~- - ~ . CITY OF OKEECHOEEE. FLORIDA AUDIT REPORT September 30, 1974 TABLE OF CONTENTS l:'. . L Accountants' Report r. I General Fund Balance Sheet Statement of Revenues, Expenditures and Change in Fund Balance Federal Revenue Sharing Trust Fund Balance Sheet Statement of Revenues, Expenditures and Change in Fund Balance Debt Service Fund Balance Sheet Statement of Revenues, Expenditures and Change in Fund Balance Statement of General Long-Term Debt Statement of General Fixed Assets Water and Sewer Fund Balance Sheet Statement of Changes in Retained Earnings Statement of Changes in Reserve Accounts Statement of Revenues and Expenses Statement of Changes in Financial Position Notes to Financial Statements Statement to Bondholders Report on Supplemental Data Other Financial Information Schedule of General Fund Expenditures Compared with Budget SChedule of General Bonded Debt and Interest to Maturity Schedule of 1958 Water and Sewer Revenue Bonds and Interest to Maturity SChedule of 1972 Water and Sewer Revenue Bonds and Interest to Maturity SChedule of Inter-Fund Accounts Schedule of Insurance Coverage Statistical Tables Page 1 PAGE 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 18 19 20 22 23 24 25 26 27 ,11111111 ."F."'-I'i'!;. ~ -.--- "" .,-- Page 2 McALPIN, CURTIS & O'HAIRE CERTIFIED PUBLIC ACCOUNTANTS P. O. BOX 3346 P'ORT PIERCE. FLORIDA 33450 IRA M. MCALPIN, JR.. C. P. A. LYMAN B. CURTIS, C. P. A. THOMAS F. O'HAIRE. C. P. A. S. THOMAS HAMILTON, JR.. C. P. A. SAMUEL R. PETERKIN, JR., C. P. A. January 17, 1975 l:.. _ Honorable Mayor and City Council City of Okeechobee, Florida We have examined the financial statements of the various funds and account groups of the City of Okeechobee, Florida for the year ended September 30, 1974 listed in the foregoing Table of Contents. Our examination was made in accordance with generally accepted auditing standards and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. The City does not maintain detailed records of the Water and Sewer Property or General Fixed Assets nor is adequate control maintained over capital additions and retirements, particularly as with regard to items constructed by the City. We do not know, and it is impractical to ascertain, if the recorded cost of property and equipment in the Water and Sewer fund and in the Statement of General Fixed Assets is a fair presentation of the cost of the City investment in Fixed Assets. In our opinion, except for the effect of the preceding para- graph on net income and property and equipment in the Water and Sewer Fund and on property and equipment in the Statement of General Fixed Assets, the aforementioned financial statements present fairly the financial position of the various funds of City of Okeechobee, Florida, at September 30, 1974 and the results of their operation for the year then ended in conformity with generally accepted accounting principles applied on a basis consist~nt with that of the preceding period. n,c.~~ ~orO'#~ McAlpin, Curlis & O'Haire Certified Public Accountants .........<-.;."-.,.:;-,:....,,:;;.,~ CITY OF OKEECHOBEE. FLORIDA Cash Certificates of Deposit (cost) Due from Water and Sewer Fund Inventory - gasoline Taxes receivable Less estimated uncollectible taxes Delinquent street and sewer liens Less estimated uncollectible liens GENERAL FUND BALANCE SHEET September 30, 1974 l:.. _ "AsSETS TOTAL ASSETS LIABILITIES AND FUND BALANCE Liabilities Accounts payable Contracts payable Employee payroll deductions Due to Debt Service Fund Total Liabilities Fund Balance TOTAL LIABILITIES AND FUND BALANCE $36,644.95 36.644.95 $ 2,768.34 2,768.34 $ 8,969.66 3,003.60 1,776.92 134.96 The accompanying notes are part of the Financial Statements Page 3 $154,642.13 367,245.09 64,956.92 775.07 - 0 - - 0 - $587,6l9.2l $ l3,885.l4 573,734.07 $587,6l9.2l r CITY OF OKEECHOBEE. FLORIDA GENERAL FUND Page 4 STATEMENT OF REVENUES AND EXPENDITURES AND CHANGE IN FUND BALANCE Year Ended September 30, 1974 Actual ~. Revenues Property taxes State revenue sharing funds Occupational licenses Utility taxes Fines and forfeitures Franchise fee Fire Department payment - Okeechobee County Building permits Competency cards Mobile home license taxes Humane Department fees Interest and miscellaneous Total Revenues $l08,288.55 2l0,969.97 20,106.85 69,560.l6 52,964.07 37,330.73 13,750.00 6,654.78 4,039.40 2,212.05 5l8.50 22,835.8l $549,230.87 Expenditures General government Public safety Public works Health and welfare Miscellaneous Total Expenditures $ 43,587.40 214,094.36 98,568.36 8,586.82 40,893.24 $405,730.l8 $143,500.69 Excess of Revenues Over Expenditures Fund Balance - October l, 1973 430,233.38 Fund Balance _ September 30, 1974 $573,734.07 The accompanying notes are part of the Financial Statements Budget $ 10l,927.99 225,000.00 lO,OOO.OO 58,000.00 45,000.00 30,000.00 l3,750.00 7,500.00 l,500.00 l,200.00 400.00 19,500.00 $ 5l3,777.99 $ 62,426.36 230,303.00 l25,938.l2 9,200.00 33l,620.85 $ 759,488.33 $(245,710.34) McALPIN. CURTIS 8c O'HAIRE. CERTIFIED ~UBLIC ACCOUNTANTS r - . _.~~ Page 5 CITY OF OKEECHOBEE. FLORIDA FEDERAL REVENUE SHARING TRUST FUND BALANCE SHEET September 30, 1974 "!"-, ',-~ ASSETS Cash Certificate of Deposit (cost) Total Assets $24,364.91 ll,900.00 $36,264.91 LIABILITIES AND FUND BALANCE Fund Balance $36,264.9~ The accompanying notes are part of the Financial Statements McAL.PIN. CURTIS 8c O'HAIRE. CERTIFIED ~UBLIC ACCOUNTANTS r I I I ! ,,",III" ." ~ ,,'Y~W. CITY OF OKEECHOBEE. FLORIDA FEDERAL REVENUE SHARING TRUST FUND STATEMENT OF REVENUES. EXPENDITURES AND CHANGE IN FUND BALANCE Year Ended September 30, 1974 ~, Revenues Federal Revenue Sharing Interest on investments Total Revenues Expenditures Excess of Revenues OVer Expenditures Fund Balance - October l, 1973 Fund Balance - September 30, 1974 The accompanying notes are part of the Financial Statements - Page 6 $3l,l58.00 490.87 $3l,648.87 - 0 - $3l,648.87 4,616.04 $36,264.9l McALPIN. CURTIS & O'HAIRE, CERTIFIED ~UBLIC ACCOUNTANTS I I I ! I :. -,_.. Page 7 CITY OF OKEECHOBEE. FLORIDA DEBT SERVICE FUND BALANCE SHEET September 30, 1974 ~, -ASSETS $18,768.63 2,Ol2.00 66,294.55 134.96 $87,2l0.l4 Cash Cash with fiscal agents Certificates of deposit (cost) Due from General Fund TOTAL ASSETS LIABILITIES AND FUND BALANCE Liabilities Matured bonds and coupons outstanding TOTAL LIABILITIES AND FUND BALANCE $ 2,012.00 85,198.14 $87,2l0.14 Fund Balance The accompanying notes are part of the Financial Statements McALPIN. CURTIS 8c O'HAIRE. CERTIFIED P'U8LIC ACCOUNTANTS r I I I ~ ~ CITY OF OKEECHOBEE. FLORIDA DEBT SERVICE Fillil) STATEMENT OF REVENUES. E.X.PENDITURES AND CHANGE IN FUND BALANCE Revenues Taxes collected Interest on investments Total Revenues Expenditures Bonds retired Interest on bonds Fiscal agents fee Total Expendi tures Year Ended September. 30, 1974 ,. Excess of Revenues Over Expenditures Fund Balance - October l, 1973 Fund Balance - September 30, 1974 The accompanying notes are part of the Financial Statements $45,760.98 2,873.78 $10,000.00 32,775.00 300.00 .-- Page 8 $48,634.76 43,075.00 $ 5,559.76 79.638.38 $85,198.l4 MCALPIN. CURTIS 6 O'HAIRE, CERTIFIED ItUBLIC ACCOUNTANTS ",. _. Page 9 CITY OF OKEECHOBEE. FLORIDA STATEMENT OF GENERAL LONG-TERM DEBT r i t r i September 30, 1974 Amounts Available And To Be Provided For The Payment of General Bonded De~t.", Refunding Bonds of 1971: Amount available in Debt Service Fund Amount to be provided Total Available And To Be Provided $ 85,l98.14 809,489.36 $894,687.50 General Bonded Debt Refunding Bonds of 1971: Principal amount Interest to maturity Total General Bonded Debt $460,000.00 434,687.50 $894,687.50 The accompanying notes are part of the Financial Statements ~_"I 81... "'.IB~.II!!!!. ... .......L.I..IBr ____._.__ _.._.._ ..___....._....__ Page lO CITY OF OKEECHOBEE. FLORIDA STATEMENT OF GENERAL FIXED ASSETS September 30, 1974 Balance October l, 1973 Additions Balance September 30, 1974 Land and Improvements Real estate - lot adjoining City Hall Lot - Elevated Tank Improvements - well and sprinkler system City Hall Parks and Sanitary System Dog Pound City Streets, sidewalks, roads and culverts ----. . -$ -, 6,000.00 2,000.00 $ 6,000.00 2,000.00 3,84l.30 23,877.09 2,080.74 3,841. 30 23,877.09 2,080.74 74,138.l4 $lll,937.27 74,138.l4 $111,937.27 Buildings and Improvements Bandstand $ 1,046.75 $ 1,046.75 Utility garage 20,548.65 20,548.65 City Hall 44,164.88 44,164.88 Fire Station 23,407.80 23,407.80 $ 89,l68.08 $ 89,l68.08 Furnishings and Equipment City Clerk's office $ 9,795.73 $ 225.00 $ 10,020.73 Parks Department 1,677.18 l,677.l8 Police Department 3,262.21 1,050.00 4,3l2.2l Mobile and base radio units l4,893.92 14,893.92 Traffic Lights 9,614.00 9,6l4.00 Fire Department 13,342.09 l,l83.00 14,525.09 Street Department 1,065.89 l,065.89 Mayor's office 517 . 76 517.76 Director of Public Works office 72l.68 721. 68 $ 54,890.46 $ 2,458.00 $ 57,348.46 Rolling Stock Fire Trucks $ 8,620.31 $39,554.00 $ 48,l74.3l Police Cars 14,765.00 2,353.00 17,118.00 Dog Warden 750.00 750.00 Parks, Streets and Sanitary Department 51,332.86 51.332.86 $ 75,468.17 $4l,907.00 $117 ,375.l7 Total General Fixed Assets $33l,463.98 $44,365.00 $375,828.98 The accompanying notes are part of the Financial Statements McALPIN. CURTIS 81 O'HAIRE. CERTIFIED ~UIILIC ACCOUNTANTS CITY OF OKEECHOBEE. FLORIDA WATER AND SEWER FUND BALANCE SHEET September 30, 1974 ~. . ASSETS Current Assets Cash Certificates of Deposit (cost) Accounts receivable Less provision for doubtful accounts Accrued interest receivable Due from revenue bond reserve and retirement fund Total Current Assets $32,984.24 6,339.77 Restricted Assets Revenue Bond Reserve and Retire- ment Fund (Note B) Cash Certificate of Deposit (Cost) $25,908.50 25,000.00 Revenue Bond Depreciation Fund (Note C) Investments (cost) Construction Fund Cash Total Restricted Assets Utility Plant Plant, property, and equipment (Note D) Less accumulated depreciation (Note E) Net Utility Plant TOTAL ASSETS The accompanying notes are part of the Financial Statements - $ 94,373.85 145,000.00 26,644.47 l,097.92 l25.03 $ 50,908:50 63,767.95 63,970.60 $1,90l,898.90 401,923.81 $ 267,241.27 178,647.05 1,499,975.09 $l,945,863.4l ~ ~ ~ i ~ ~. [ [ -'~"'-"""""~-'" ' ... LIABILITIES Current Liabilities Accounts payable Accrued payroll deductions Accrued interest on contracts Due to General Fund Current portion of contracts payable Water deposits Current Liabilities (Payable from Restricted Assets) Current contracts payable Matured interest coupons Due to General Fund Due to Revenue Fund Total Current Liabilities Long-Term Debt (Note F) Revenue Bonds - Series 1958 Revenue Bonds - Series 1972 Contracts payable Less current portion Total Other Liabilities Total Liabilities Reserves Revenue Bond Reserve and Retirement Fund (Note B) Depreciation Fund (Note C Required maximum balance Excess of maximum balance Total Reserves Retained Earnings TOTAL LIABILITIES $68,401.59 17,613.41 $25,000.00 38,767.95 -. ~.~...,,~. ~'." $ 10,529.72 l,004.58 703.33 59,970.6l l7,613.41 52,001. 27 $ 39,363.72 225.00 4,986.3l l25.03 $245,000.00 400,000.00 50,788.18 $ 50,558.47 63,767.95 Page 11 $ l4l,822.92 44,700.06 $ 186,522.98 695,788.18 $ 882,3l1.16 114,326.42 949,225.83 $l,945,863.41 CITY OF OKEECHOBEE. FLORIDA WATER AND SEWER FUND STATEMENT OF CHANGES IN RETAINED EARNINGS Year Ended September 30, 1974 '.. Balance - October l, 1973 I Additions (Deductions) Net income Contributions in aid of construction Increase in debt service requirements Interest earned and retained in Depreciation Fund Balance - September 30, 1974 The accompanying notes are part of the Financial Statements ,. ~~- Page 12 $904,l89.99 39,061. 70 13,467.00 (5,760.00) (l,732.86) $949,225.83 CITY OF OKEECHOBEE. FLORIDA WATER AND SEWER FUND STATEMENT OF CHANGES IN RESERVE ACCOUNTS Year Ended September. 30, 1974 '... - Total Balance - October l, 1973 $ 93,l62.59 I I I Additions From Operating Funds: Bond principal requirements $ 15,250.00 Bond interest requirements 25,280.97 Reserve requirements 3,5l0.00 Interest earned on investments 5,335.99 Total Additions $ 49,376.96 I I I I I I I I I I I i 1 I Deductions Payments for Bond principal Bond interest Interest transferred to Revenue Fund Total Deductions $ 13,000.00 11,610.00 3,603.l3 $ 28,213.l3 $114,326.42 Balance - September 30, 1974 Bond Reserve Retirement Fund (Note B) Curren t Maximtml Maturities Reserve $ 6,l52.50 $24,975.00 Page 13 Depreciation Fund (Note C) $62,035.09 $15,250.00 25,280.97 $ 3,5l0.00 l,343.75 $ 3,992.24 $4l,874.72 $ 3,510.00 $ 3,992.24 $l3,000.00 ll,6l0.00 1,343.75 $25,953.75 $22,073.47 $28,485.00 The accompanying notes are part of the Financial Statements $ 2,259.38 $ 2,259.38 $63,767.95 $ 92,525.45 5,797.33 l,l82.73 37,277 .l4 l8,5l6.l6 3,085.57 33,681. 22 3,029.45 5,432.76 1,860.00 574.88 l,879.77 204.842.46 $l2l,124.68 $ 47,547.47 25,280.97 6,4l0.96 2,823.58 82,062.98 $ 39,061. 70 A< ",'." _._"'_.... __._.~_ CITY OF OKEECHOBEE. FLORIDA WATER AND SEWER FUND STATEMENT OF REVENUES AND EXPENSES Year Ended September 30, 1974 ~>. Revenues Water sales Sewer charges Hydrant rental Penalties and delinquent fees Interest on investments Miscellaneous Total Revenue Operating Expenses Salaries and wages Payroll taxes Group insurance Chemicals Materials and supplies Truck expense Electricity General insurance Office expense Professional fees Provision for doubtful accounts Miscellaneous Total Operating Expenses Net Operating Income Other Deductions Depreciation (Note E) Interest - Revenue Bonds Interest - Bank Loan Interest - Contracts Total Other Deductions Net Income The accompanying notes are part of the Financial Statements ~",____,_"~~4.__.."_ $244,293.4l 35, l81.05 25,000.00 6,430.76 12,073.39 2,988.53 _.~ Page It;. $325,967.14 r"~ I I I I , I CITY OF OKEECHOBEE. FLORIDA WATER AND SEHER FUND .. ~.,._ ,_. .""..._ 0' _~ ~..A ~. _'__~'" Page 15 STATEMENT OF CHANGES IN FINANCIAL POSITION Year Ended September 30, 1974 Sources of Working Capital Net income Add expenses not requiring outlay of working capital Depreciation Interest accrued on 1972 Revenue Bonds Contributions in aid of construction Decrease in restricted assets Total Sources of Working Capital tI. Uses of Working Capital Addition to Utility Plant Decrease in liabilities payable from restricted assets Payment on long term debt Increase Depreciation Fund Decrease accrued interest on 1958 Revenue Bonds Total Uses of Working Capital Decrease in Working Capital Increase (Decrease) in Working Capital Increase (Decrease) in Current Assets Cash Accounts receivable Accrued interest receivable Due from other funds Total Increase (Decrease) in Current Liabilities Accounts payable Accrued payroll deductions Accrued interest on contracts Due to other funds Water deposits Total Decrease in Working Capital The accompanying notes are part of the Financial Statements $ 39,061.70 $ 47,547.47 13,817.22 6l,364.69 13,467.00 4,587.85 $118,48l.24 $ 92,l06.64 38,l09.58 29,911. 77 l,732.86 l46.25 l62,007.1O $(43,525.86) $ 34,891.21 433.86 (31.25) (10,810.47) $ 24,483.35 $ 2,014.32 367.36 (35l.67) 59,970.6l 6,008.59 68,009.21 $(43,525.86) r- Page 16 CITY OF OKEECHOBEE, FLORIDA NOTES TO F1NA~CIAL STATEMENTS September 30, 1974 Note A - Basis of Accounting ", The City's accounting records' for general governmental operations, except the Debt Service Fund, are on a modified accrual basis. The more important revenues are recorded when earned and expenditures recorded as incurred. The Debt Service Fund records are maintained on a cash basis. The accounting records for the Water and Sewer Fund are maintained on an accrual basis. Note B - Revenue Bond Reserve and Retirement Funds The 1958 Revenue Bond Ordinance requires, among other things, monthly deposits equal to one-sixth of the next interest requirement and one-twelfth of the next bond principal requirement. In addition, a reserve equal to the largest annual bond principal and interest payment is to be maintained. At September 30, 1974 the amount required and the amount on deposit in the 1958 Revenue Bond Sinking Fund is as follows: I I I I I I I I I I I I I I I I I I 50% of interest due January 1, 1975 25% of bond principal due July l, 1975 Maximum reserve (Bond principal and interest due 1981) Reserve Balance Matured interest coupons not presented Due to Revenue Fund Cash Balance $ 2,756.25 3,250.00 24,975.00 $30,981.25 225.00 125.03 $3l,331.28 The 1972 Revenue Bond Ordinance requires, among other things, monthly deposits equal to one-twelfth of the next annual bond principal and interest payment. In addition $390.00 is to be deposited monthly in the reserve account in the Sinking Fund until a maximum of $23,400.00 is on deposit. At September 30, 1974 the amount required and the amount on deposit in the 1972 Revenue Bond Sinking Fund is as follows: 75% of bond principal and interest due January 1, 1975 Maximum Reserve Reserve and Cash Balance $16,067.22 3,510.00 $19,577.22 Note C - Depreciation Fund The 1958 Revenue Bond Ordinance requires that a Depreciation Fund of $25,000.00 be maintained. The Fund may be used, with approval of the City Council, to pay for capital additions or unforseen emergencies. At September 30, 1974 the Fund was $38,767.95 in excess of requirements. , ..~.- ~~.,.,~-_._- .". >p> ,.." -,--_. -. ~-~. ~._<.~'.---, ----,--,~ - Page 17 CITY OF OKEECHOBEE. FLORIDA NOTES TO FINANCIAL STATEMENTS (CONTINUED) September 30, 1974 Note D - Utility plant '>, In 1972, the City started an improvement and expansion Water System. The estimated cost of the project is $630,500.00. to September 30, 1974 totaled $6l2,382.67. program in the Costs incurred Note E - Depreciation Depreciation is recorded at a composite rate of 2 1/2% and amounted to $47,547.47 for the year. Note F - Long-Term Debt Details concerning the 1958 Revenue Bonds and the 1972 Revenue Bonds are shown on pages 23 and 24 respectively of this report. The balance due on the Farmers Home Administration contract for the Okeechobee Beach extension was $18,755.93. The balance is payable in two installments of $9,397.69 with interest at 5%. The contract with the Okeechobee County Board of Education is being paid by applying fifty percent of the water charges to the indebtedness. The balance of the contract was $23,704.05 at September 30, 1974 and payments during the year totaled $1,066.96. The balance due on the Ernest Evans contract for the Wilcox Shores and Okeedhobee Estates extension was $25,94l.6l at September 30, 1974. The balance is payable in monthly installments of $686.3l Which includes interest at 6%. __ .__._ ... _.1..1& I~~ ___........eo_ ..'.1.'" .......,......II...T.&.NTC Page 18 McALPIN, CURTIS & O'HAIRE CERTIFIED PUBLIC ACCOUNTANTS P. O. BOX 3348 "ORT PIE:RCE, FLORIDA 334150 IRA M. McALPIN, JR.. C. P. A. LYMAN B. CURTIS, C. P. A. THOMAS F. O'HAIRE, C. P. A. S. THOMAS HAMILTON, JR.. C. P. A. SAMUEL R. PETERKIN, JR.. C. P. A. January 17, 1975 '., Honorable Mayor and City Council City of Qkeechobee, Florida We have examined the financial statements of the City of Okeechobee, Florida for the year ended September 30, 1974 and have issued our report thereon under date of January l7, 1975. The ordinance authorizing the issuance of the 1958 Water and Sewer Revenue Bonds requires that the audit contain an analysis regarding the adequacy of the acts of the City and its officers in carrying out the requirements of the resolution. Among the requirements of the ordinance are the following: r (1) Money in the Sinking Fund in excess of the amount of interest and principal coming due in the ensuing twelve months may be invested in direct obligations or guaranteed securities of the United States of America. (2) Allor any part of the Depreciation Fund may be invested in direct obligations or guaranteed securities of the United States of America. The investments made from the Sinking Fund and Depreciation Fund during the year were in certificates of deposit in the Okeechobee County Bank. We obtained no knowledge that any other requirements of the 1958 Water and Sewer Revenue Bond ordinance were not complied with. ,~ lrJc~~ ~~t;)'If~ McAlpin, Cur~is & O'Haire Certified Public Accountants Page 19 r t REPORT ON SUPPLEMENTAL DATA ~, - Honorable Mayor and City Cormcil City of Okeechobee, Florida Our examination was made primarily for the purpose of formula- ting an opinion on the preceding basic financial statements taken as a whole. The other data presented hereinafter, although not considered necessary for a fair presentation of financial position, results of operations, and changes in financial position in conformity with generally accepted accounting principles are presented for supple- mentary analysis purposes. This data has been subjected to the audit procedures applied in our examination of the basic financial state- ments and are, in our opinion, fairly stated in all material respects in relation to the basic financial statements taken as a whole. :n,,,~.:....~ ~ollf~ McAlpin, rti's & 0 'Haire . Certified Public Accountants Fort Pierce, Florida January 17, 1975 r I r I I r CITY OF OKEECHOBEE. FLORIDA GENERAL FUND SCHEDULE OF EXPENDITURES COMPARED WITH BUDGET Year Ended September 30, 1974 '0". General Government City Council salaries City Council expense Mayor's salary Mayor's expense Mayor's office expense Audit fee Board of Adjustment fees City Attorney salary City Attorney expense Attorney special fees City Clerk's salary Deputy City Clerk's salary City Clerk's office expense City Clerk's office equipment City Hall operation and maintenance City Hall repairs Telephone and telegram Public Safety Police Department salaries Police Incentive pay Police Department expense Communication expense Police Department equipment and vehicles Fire Department salaries Fire Department expense Fire hydrant charge Fire Department equipment Building official salary Building official expense allowance Building official office expense Civil Defense Public Works Director of Public Works salary Director of Public Works secretary salary Director of Public Works office expense and equipment Street Department salaries Street Department expense Street Department equipment Refuse collection Street Lighting Expenditures $ 5,400.00 3,600.00 l,200.00 1,200.00 65.l8 1,860.00 1,500.00 9,000.00 2,000.00 8,370.00 2,379.50 842.32 225.00 2,6l5.6l 3,329.79 $ 43,587.40 $ 82,343.71 1,134.66 19,4l6.28 847.58 4,950.00 18,200.00 10,729.28 25,000.00 40,737.00 8,942.06 1,690.00 l03.79 $214,094.36 $ 3,898.12 2,885.73 538.25 37,013.94 26,859.03 9,466.48 17,906.81 $ 98,568.36 Page 20 Budget $ 5,400.00 3,600.00 l,200.00 l,200.00 lOO.OO l,500.00 l,500.00 9,000.00 300.00 2,000.00 lO,426.36 7,200.00 2,000.00 2,500.00 2,000.00 lO,OOO.OO 2.500.00 $ 62,426.36 $ 83,868.00 l,225.00 27,000.00 3,800.00 3,500.00 24,700.00 lO,OOO.OO 25,000.00 40,000.00 8,640.00 1,820.00 250.00 500.00 $230,303.00 $ 3,898.l2 3,000.00 1,000.00 50,240.00 23,000.00 19,000.00 8,800.00 17,000.00 $l25,938.l2 r I I I I CITY OF OKEECHOBEE. FLORIDA GENERAL FUND Page 21 SCHEDULE OF EXPENDITURES COMPARED WITH BUDGET Year Ended September 30, 1974 Health and Welfare Humane Officer salary Animal Pound expense Miscellaneous Donations Utilities - City Building Utilities - County Swimming Pool Group insurance General insurance payro 11 taxes Retirement - City Clerk Pension plan payments Overtime Condemnation Proceedings Contingencies Transfer to Water and Sewer Fund Total (Ca.n~,inued) Expenditures Budget $ 7,269.22 $ 7,000.00 l,3l7.60 2,200.00 $ 8,586.82 $ 9,200.00 $ 2,500.00 $ 2,500.00 1,968.62 l,320.00 l,620.00 2,194.24 2,800.00 13,181.33 l2,lOO.00 lO,2l7.62 11,900,00 4,739.25 4,739.25 219.54 64l.60 3,631.88 4,500.00 l,500.00 2,240.76 l5,000.00 273,000.00 $ 40,893.24 $33l,620.85 $405,730.18 $759,488.33 r ! I Page 22 CITY OF OKEECHOBEE. FLORIDA SCHEDULE OF GENERAL BONDED DEBT AND INTEREST TO MATURITY September 30, 1974 Bonds maturing 1982-l996 are redeemable at the option of the City on any interest date by payment of a premium of 3% between 1982-86; 2% between 1986-9l and 1% after July l, 1991. Interest is payable at 7.5% on bonds maturing through 1982; at 6.75% for bonds maturing 1983 through 1990; at 6.875% for bonds maturing 1991 through 1995, and at 6.75% for bonds maturing in 1996. Page 23 CITY OF OKEECHOBEE. FLORIDA SCHEDULE OF 1958 WATER AND SEWER REVENUE BONDS AND INTEREST TO MATURITY September 30, 1974 l:-. _ Principal Interest Total Principal and Interest Payments Due For Year Ended September 30 1975 $ 13,000.00 $11,025.00 $ 24,025.00 1976 l4,000.00 lO,440.00 24,440.00 1977 l5,000.00 9,8l0.00 24,8l0.00 1978 15,000.00 9,135.00 24,135.00 1979 l6,000.00 8,460.00 24,460.00 1980 17,000.00 7,740.00 24,740.00 1981 l8,000.00 6,975.00 24,975.00 1982 18,000.00 6,l65.00 24,l65.00 1983 19,000.00 5,355.00 24,355.00 1984 20,000.00 4,500.00 24,500.00 1985 2l,000.00 3,600.00 24,600.00 1986 22,000.00 2,655.00 24,655.00 1987 23,000.00 l,665.00 24,665.00 1988 14,000.00 630.00 l4,630.00 Total $245,000.00 $88,155.00 $333,155.00 The bonds bear interest at the rate of 4 l/2% and are secured by the net revenues of the Water and Sewer System and the utility taxes. Redeemable in whole or in part in inverse order of maturity on any interest date at par and accrued interest plus a redemption premium of 4 l/2%. r I I I ! - -.--_. ,--,- ....,---...->' Page 24 CITY OF OKEECHOBEE. FLORIDA SCHEDULE OF 1972 WATER AND SEWER REVENUE BONDS AND INTEREST TO MATURITY September 30, 1974 ", Principal Interest Total Principal and Interest Payments Due For Year Ended September 30 1975 $ 3,000.00 $ l8,817.23 $ 2l,8l7.23 1976 3,000.00 19,850.00 22,850.00 1977 4,000.00 19,700.00 23,700.00 1978 4,000.00 19,500.00 23,500.00 1979 5,000.00 19,300.00 24,300.00 1980 5,000.00 19,050.00 24,050.00 1981 5,000.00 18,800.00 23,800.00 1982 5,000.00 l8,550.00 23,550.00 1983 6,000.00 l8,300.00 24,300.00 1984 6,000.00 l8,000.00 24,000.00 1985 6,000.00 l7,700.00 23,700.00 1986 6,000.00 l7,400.00 23,400.00 1987 7,000.00 l7,lOO.00 24,lOO.00 1988 7,000.00 l6,750.00 23,750.00 1989 7,000.00 l6,400.00 23,400.00 1990 8,000.00 l6,050.00 24,050.00 1991 8,000.00 l5,650.00 23,650.00 1992 9,000.00 15,250.00 24,250.00 1993 9,000.00 l4,800.00 23,800.00 1994 10,000.00 l4,350.00 24,350.00 1995 10,000.00 13,850.00 23,850.00 1996 11,000.00 13,350.00 24,350.00 1997 11,000.00 l2,800.00 23,800.00 1998 12,000.00 l2,250.00 24,250.00 1999 12,000.00 11,650.00 23,650.00 2000 13,000.00 11,050.00 24,050.00 200l 13,000.00 lO,400.00 23,400.00 2002 14,000.00 9,750.00 23,750.00 2003 14,000.00 9,050.00 23,050.00 2004 15,000.00 8,350.00 23,350.00 2005 l5,000.00 7,600.00 22,600.00 2006 16,000.00 6,850.00 22,850.00 2007 17,000.00 6,050.00 23,050.00 2008 18,000.00 5,200.00 23,200.00 2009 19,000.00 4,300.00 23,300.00 2010 21,000.00 3,350.00 24,350.00 2011 22,000.00 2,300.00 24,300.00 2012 24,000.00 l,200.00 25,200.00 Total $400,000.00 $500,667.23 $900,667.23 The bonds bear interest at the rate of 5% and are secured by a pledge of the net revenues of the Water and Sewer System and cigarette ta."Ces. The bonds are sub- ordinate to the outstanding 1958 Water and Sewer Revenue Bonds. The bonds are redeemable in whole or in part in inverse order on any interest payment date at par and accrued interest. U_&. ...0.1 1'"" DT'C;: At O'HAIRE. CERTIFIED I"U8LIC ACCOUNTANTS r I I I Page 25 CITY OF OKEECHOBEE. FLORIDA SCHEDULE OF INTER-FUND ACCOUNTS September 30, 1974 '., Due From Due To General Fund Water and Sewer Fund $64,956.92 Debt Service Fund $ 134.96 Debt Service Fund General Fund 134.96 I Water and Sewer Fund General Fund 64,956.92 Revenue Bond Reserve and Retirement Fund ~ Revenue Fund 125.03 l25.03 Total $65,2l6.9l $65,2l6.9l r I ! i , Page 26 CITY OF OKEECHOBEE. FLORIDA SCHEDULE OF INSURANCE COVERAGE September 30, 1974 l:~. _ Description Coverage Fire and extended coverage City Hall (80% Co-Insurance) $ 100,000 Comprehensive General Liability Bodily Injury Property Damage 25/50,000 50,000 Workmen's Compensation and Employer's Liability Statutory rates Vehicular Equipment Bodily Injury Property Damage Collision ($50 deductible) Comprehensive 50/100,000 25,000 ACV ACV Public Offi~ials Bonds City Clerk Other Employees 15,000 15,000 Police Department - Personal Injury Liability False arrest, libel, etc. 100/300,000 Police and Fulltime Firemen Accidental Death 20,000 Volunteer Firemen Accidental Death Medical payments Weekly indemnity lO,OOO 2,500 50 Page 27 CITY OF OKEECHOBEE. FLORIDA STATISTICAL TABLES ASSESSED VALUE OF ALL TAXABLE PROPERTY Tax Rolls For Years 1965 Through 1974 ,-. Real Personal Homestead Year Property Property Total Exemption - 1974 $22,237,112 $4,668,340 $26,905,452 $4,336,100 1973 2l,760,494 3,153,530 24,914,024 3,680,710 1972 l2,295,670 3,03l,848 15,327,5l8 3,223,765 1971 11,119,065 2,299,576 l3,4l8,64l 3,030,375 1970 lO,612,610 2,279,27l l2,89l,881 2,868,200 1969 10,276,593 2,l20,593 12,396,608 2,680,735 1968 9,564,l55 2,5l0,45l l2,074,606 2,633,660 1967 9,455,220 2,488,438 11,943,658 2,659,495 1966 2,761,370 506,5l0 3,267,880 2,003,900 1965 2,621,020 495,225 3,116,245 l,913,550 Tax Levy and Applicable Rates Levies Rates Debt General Debt General Service Government Service Government Mills Mills Year 1974 1973 1972 1971 1970 1969 1968 1967 1966 1965 $51,542.00 47,l8l.00 55,653.85 49,347.04 3l,520.16 29,868.70 29,416.54 29,206.30 31,630.68 30,178.77 $123,475.00 ll2,113.00 l07,292.63 80,511.84 77,351.29 6l,268.l0 60,144.93 59,718.30 45,750.32 43,627.43 1.65 1.65 3 3 2 2 2 2 6 6 4.59 4.50 7 6 6 5 5 5 14 14 CITY OF OKEECHOBEE. FLORIDA STATISTICAL TABLES OTHER GENERAL FUND AND WATER -SEWER REVENUES FISCAL YEARS 1965-l974 Revenues - Other Than Property Taxes - General Fund (Note 1) !" ",,-: State Year Revenue Occupational Utility Fines and Franchise (Note-2) Sharing Licenses Taxes Forfeitures Fee 1974 $210,969.97 $20,l06.85 $69,560.l6 $52,964.07 $37,330.73 1973 l88,309.30 4,758.82 32,953.74 1972 211,865.86 24,944.43 23,529.30 29,189.51 1971 l59,956.76 10,220.06 33,3l5.35 23,663.52 1970 l37,369.11 8,446.76 27,346.53 2l,Ol2.l9 1969 116,597.l8 7,605.38 3l,670.20 19,167.08 1968 103,969.03 8,082.27 9,317.39 16,566.53 1967 85,110.05 7,3l7.27 16,093.19 l5,880.2l 1966 8l,495.71 6,999.31 19,Ol4.85 l5,069.39 1965 71,638.59 6,549.08 l5,540.45 14,686.39 Water and Sewer System Revenues Sewer Service Water Delinquent Charges Billings Charges Miscellaneous 1974 $35,l81.05 $244,293.4l $6,430.76 $2,988.53 1973 24,658.51 168,080.50 3,412.90 l,139.43 1972 30,922.35 l85,747.67 3,820.90 2,585.82 1971 23,659.43 133,019.45 367.00 1,762.75 1970 2l,868.l0 115,438.63 l64.00 690.40 1969 22,l52.00 105,889.68 l77 .00 lOl.OO 1968 21,131.11 98,672.14 333.00 lO.20 1967 21,346.11 95,399.58 90.00 829.l9 1966 19,960.89 83, 191. 9l .202.00 682.30 1965 20,484.46 79,754.00 116.00 l23.83 Water Water Water Total Meters in Meters Meters Non- Water Unmetered Sewer Operation Cut Off Operative Meters Customers Connections 1974 2,228 267 1 2,496 392 1973 2,219 l77 2,396 376 1972 l,854 l59 2,013 370 1971 l,669 l60 l,829 9 352 1970 l,5l3 l07 1,620 2l 313 1969 1,440 85 8 l,533 24 309 1968 l,374 l70 4 l,548 25 305 1967 1,297 l68 11 l,476 23 30l 1966 1,l90 l45 76 l,411 37 298 1965 1,180 139 35 l,354 49 289 r I , ! Page 28 ~, Fire Department I Pennits Interest Payment Miscellaneous $lO,694.l8 $20,9l2.42 $13,750.00 $4,653.94 I 6,l85.85 9,691.59 12,500.00 4,908.98 I 6,496.55 13,331.04 11,000.00 2,355.59 6,240.ll 8,330.99 1,945.63 I 3,Ol9.50 8,331.00 1,757.24 l,285.00 4,581.00 l,9l6.l6 I l,9l6.50 4,546.37 1,007.87 ! l,7l6.80 3,357.66 l,l43.5l ! 1,288.50 l,320.90 1,472.09 l,386.54 l,248.52 2,005.85 I I i I Connection I Charges I ! Interest on (In Aid of Hydrant Utility Investments Construction) Rental Taxes I I $12,073.39 $l3,467.00 $25,000.00 i I 7,975.93 l2,685.00 $44,878.07 l2,639.30 19, 135.00 52,415.52 7,639.25 7,535.00 45,976.04 7,639.22 4,Ol5.00 42,733.23 4,l39.22 2,050.00 38,610.54 2,588.47 3,2l5.00 33,802.29 3,544.5l 2,755.00 30,832.2l 3,394.93 2,490.00 29,927.54 3,054.89 2,390.00 28,542.l4 Note 1 Amounts for years prior to 1974 have been reclassified to correspond with 1974. Note 2 Years 1972 and prior ended on December 3l. Years 1973 and 1974 ended September 30. Amounts for period ended September 30, 1973 are for a nine month period.