HomeMy WebLinkAbout05-11-1987 Regular Meeting840
STATE OF ALABAMA
COUNTY OF BALDWIN
The City Council, City of Fairhope, met in regular session
at 5:30 pm; Fairhope Municipal Complex Council Chamber,
161 North Section Street; Fairhope, Alabama 36532; on
Monday, 11 May 1987.
Present were Mayor James P. Nix; Councilmembers Roy C.
White, Jeanette Puckett, David E. Bishop, Michael A. Ford,
and Barney L. Shull; City Attorney James Reid and City
Clerk Evelyn Phillips. No one was absent.
There being a quorum present, Mayor Nix called the meeting
to order. Minutes of the April 27th regular session and the
May 4th special session were duly approved.
A public hearing was held as advertised for any property
owners interested in a public improvements assessments pro-
ject. Paul $ Pierce Frederick asked to include Volanta Pines
subdivision at an estimated cost of $154,200, and Julio Corte,Jr.,
asked to include Corte Office Park at an estimated cost of
$404,000. There were two letters from two property owners
interested in sewer installation in Colonial Acres but this
response is not enough to be included. Councilman Shull moved
to begin the legal procedure for a project with the first
public hearing scheduled for June 22nd. Seconded by Council-
man Ford, motion passed unanimously. During discussion,
Engineer Ack Moore asked, since only two property owners are
involved, if a legal waiver of the public hearings could be
devised that would shorten the time. Attorney Reid is to
study this and advise.
Councilman Ford moved to approve the issuance of a Lounge
Liquor License to Robert A. Hallowell, Jr., dba THE WINE
MERCHANT, to be located in the Plantation Pointe Shopping
Center. There was proof of publications. There was police
approval. No one present was opposed. Motion was seconded
by Councilwoman Puckett and passed unanimously.
Councilman White moved to approve the issuance of a Beer
Off -Premises License and a Wine Off -Premises License to
Ronald Bruno, Jr., president of Bruno's, Inc., dba FOOD WORLD,
at 49 North Greeno Road. There was police approval. No one
present was opposed to the licenses. Seconded by Councilman
Bishop, motion passed unanimously.
Councilman Shull moved to request of our local legislative
representatives a local act to annex City property at the
Municipal Golf Course and at the Municipal Airport. This pro-
perty is not contiguous to the city limits. Seconded by
Councilman Ford, motion passed unanimously.
11 May 1987 841
Council reviewed the following bids opened by the Pur-
chasing Agent and the Electric Department Superintendent:
FOR EIGHT 100KVA TRANSFORMERS:
VENDOR
TOTAL COST
EVALUATED COST
DELIVERY
Brasfield Co., B'ham
$13,592
$29,662.40
10
weeks
Mack Electric, Dothan
129776
$293,768.00
18
weeks
Irby Co., Pensacola
13,800
$30,576.00
21
weeks
Dowzer Co., Illinois
139144
$321,051.20
12
weeks
All -Phase Co., Mobile
No Bid
Hatfield & Co.,Mobile
14,1.20
$32,033.60
8
weeks
It alt
13,912
$28,628.80
18
weeks
it it
14,224
$29,704.00
12
weeks
"if1351136
$28,932.00
16
weeks
�':'
13,664
$31,390.40
20
weeks
Recommend accept Brasfield Company, because of low evaluated cost
and 10 week delivery.
Councilman Bishop moved to accept the bid from Brasfield
Company provided all specifications are met. Seconded by
Councilwoman Puckett, motion passed unanimously.
Councilwoman Puckett moved for acceptance of the 1985-
1986 FY City Audit as prepared by S. P. Parker $ Company.
Seconded by Councilman Shull, motion passed unanimously.
Council reviewed the following bids opened by General
Superintendent Rutherford for the Municipal Golf Course:
FOR 60 TONS #10-20-10 FERTILIZER, SPREAD:
VENDOR COST PER TON TOTAL COST
Gold Kist Co.
Elberta, Al $149.50 $8,970
Summerdale Fertilizer
Summerdale, Al $154.00 $9,240
Manci Company
Robertsdale, Al $137.25 $8,235
Silverhill Farmers
Robertsdale, Al $149.00 $83,940
Recommend accept Manci Company's low bid.
Councilman Shull moved to accept the low bid from Manci
Company provided all specifications are met. Seconded by
Councilman Ford, motion passed unanimously.
Councilman Bishop moved to hear the following business
not on the Agenda. Seconded by Councilman Ford, motion
passed unanimously:
11 May 1987 842
Councilman White said he would like it spread upon
the minutes how much he and the other members of the
Council appreciated the quick -thinking and courageous
action taken by city employee, and volunteer fireman.,
Martin "Pep" Nelson a few days ago. A lady ran into.
the Fire Hall at the Municipal Pier, thinking it was a
fire station. She carried a baby which appeared to be
choked. Pep immediately took charge of the infant and
soon had its breathing restored. Councilman White moved
that Employee Nelson be highly commended for being an
exemplary employee and volunteer fireman. Seconded by
Councilman Shull, motion passed unanimously.
Councilman White moved to pay expenses up to $3,000.00
for firemen to attend training sessions. Seconded by
Councilwoman Puckett, motion passed unanimously.
Councilman Ford moved to pay bills as presented.
Seconded by Councilman Shull, motion passed unanimously.
Mayor Nix, under old business, advised that the bid
by Ward International for the Trash Loader at the last reg-
ular session, at $47,997, had been accepted --on a 48-month
lease/purchase with interest plan --upon Ward's written
guarantee to make delivery on or before 28 July 1987 or
delete $200 per day for each day late from the purchase
price.
Meeting was duly adjourned at 5:48 pm.
!J
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CITY OF FAIRHOPE, ALABAMA
k� COMPREHENSIVE ANNUAL FINANCIAL REPORT
FISCAL YEAR ENDED SEPTEMBER 30, 1986
m
PARKER, FICKLING, HARTMANN i NANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
r
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CITY OF FAIRHOPE, ALABAMA
FINANCIAL REPORT
SEPTEMBER 30, 1986
TABLE OF CONTENTS
Page
FINANCIAL SECTION
Accountants' opinion
1
General Purpose Financial Statements - combined
statements overview:
Combined balance sheet - all fund types and
account groups
2 - 3
Combined statement of revenues, expenditures and
changes in fund balances - all governmental fund
types
4
Combined statement of revenues, expenditures and
changes in fund balances - budget and actual -
all governmental fund types
5
Combined statement of revenues, expenses and changes
in retained earnings - all proprietary fund types
6 - 7
Combined statement of changes in financial position
all proprietary fund types
8 - 9
Notes to the financial statements
10 - 24
Supplementary information
Combining and individual fund financial statements
General Fund
Balance sheet 25
Statement of revenues, expenditures and changes
in fund balance - budget and actual 26 - 31
Special Revenue Funds
Combining balance sheet 32
Combining statement of revenues, expenditures and
changes in fund balances 33
Federal Revenue Sharing
Balance sheet 34
Statement of revenues, expenditures and changes
in fund balance - budget and actual 35
i
PARKER. FICKLINO, MARTMANN i HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
0
CITY OF FAIRHOPE, ALABAMA
FINANCIAL REPORT
SEPTEMBER 30, 1986
TABLE OF CONTENTS (continued)
Page
State Gasoline Taxes
Balance sheet
36
Statement of revenues, expenditures and changes
in fund balance - budget and actual
37
Recreation Operating
Balance sheet
38
Statement of revenues, expenditures and changes
in fund balance - budget and actual
39 - 40
Recreation Capital Improvement
Balance sheet
41
Statement of revenues, expenditures and changes
in fund balance - budget and actual
42
Public Library Board
Balance sheet
43
Statement of revenues, expenditures and changes
in fund balance - budget and actual
44
Special Assessment Funds
Combining balance sheet
45
Combining statement of revenues, expenditures and
changes in fund balances - budget and actual
46
Debt Service Funds
Combining balance sheet
47
Combining statement of revenues, expenditures and
changes in fund balances - budget and actual
48
Capital Project Funds
Combining balance sheet
49
Combining statement of revenues, expenditures and
changes in fund balances - budget and actual
50
Municipal Golf Course
Balance sheet
51
Statement of revenues, expenditures and changes
in fund balance
52
Street Drainage - Community Development Block Grant
Balance sheet
53
Statement of revenues, expenditures and changes
in fund balance - budget and actual
54
E -a
PARKER, FICKLINO, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
FINANCIAL REPORT
SEPTEMBER 30, 1986
TABLE OF CONTENTS (continued)
Page
Airport Improvement - Federal Aviation Administration
Balance sheet
55
Statement of revenues, expenditures and changes in
fund balance - budget and actual
56
Proprietary Funds
Combining balance sheet
57 - 58
Electric Fund
Balance sheet
S9
Statement of revenues, expenses and changes in
retained earnings - budget and actual
60
Statement of changes in financial position
61
Natural Gas Fund
Balance sheet
62
Statement of revenues, expenses and changes in
retained earnings - budget and actual
63
Statement of changes in financial position
64
Water and Wastewater Fund
Balance sheet
65
Statement of revenues, expenses and changes in
retained earnings - budget and actual
66
Statement of changes in financial position
67
Account Groups
General fixed assets
Statement of general fixed assets
68
Statement of changes in general fixed assets
69
General long term debt
Statement of general long term debt
70
Schedule of information required by bond indenture
71
COMPLIANCE AND INTERNAL CONTROL SECTION
Accountants' report on schedule of federal financial assistance 72
Schedule of federal financial assistance 73
J PARKER, fIC KLING, HARTMANN 8 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
L:
CITY OF FAIRHOPE, ALABAMA
FINANCIAL REPORT
SEPTEMBER 30, 1986
TABLE OF CONTENTS (continued)
Page
Accountants' report on compliance with laws and regulations based
on an examination of general purpose financial statements 74
Accountants' report on compliance with laws and regulations related
to major and nonmajor federal financial assistance programs 75
Accountants' report on internal accounting controls based solely on
a study and evaluation made as a part of the examination of the
general purpose financial statements 76
Accountants' report on internal controls (accounting and
administrative), based on a study and evaluation made as
a part of an examination of the general purpose financial
statements and the additional tests required by the Single
Audit Act 77 - 79
Community Development Grant No. L-SP-PF-84-034:
Statement
of
program costs ,
80
Statement
of
source and status of funds
81
Federal Aviation Administration Project No. 3-01-0029-01-83:
Statement
of
program revenue and costs
82
Statement
of
source and status of funds
83
Schedule of active awards 84
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
5
F I NANCIAL SECT ION
PARKER. FICKLING, HARTMANN L HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
r—
r
SAMUEL F. PARKER
LESLIE T. FICKLING
XAVIER A. HARTMANN, III
J. KENNETH HANAK
WAYNE A.GRUENLOH
RUCKER T. TAYLOR, III
ROBERT E. GRANT, JR.
ARLA K. KERN
PARKER, FICKLING, HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
ACCOUNTANTS' OPINION
December 23, 1986
Honorable James P. Nix, Mayor and
Members of the City Council
City of Fairhope, Alabama
Post Office Box 936
98 Montrose Park
Fairhope, Alabama 36533
Telephone (205) 928.2443
We have examined the general purpose financial statements of the City of
Fairhope, Alabama as of and for the year ended September 30, 1986, as listed in the
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.
In our opinion, the general purpose financial statements referred to
above present fairly the financial position of the City of Fairhope, Alabama at
September 30, 1986, and the results of its operations and changes in financial
position of its proprietary fund types for the year then ended, in conformity with
generally accepted accounting principles applied on a basis consistent with that of
the preceding year.
Our examination was made for the purpose of forming an opinion on the
general purpose financial statements taken as a whole. The combining, individual
fund, and individual fund account group financial statements and financial
schedules listed in the table of contents are presented for purposes of additional
analysis and are not a required part of the general purpose financial statements of
the City of Fairhope, Alabama. Such information has been subjected to the auditing
procedures applied in the examination of the general purpose financial statements
and, in our opinion, is fairly stated in all material respects in relation to the
general purpose financial statements taken as a whole.
�1" 11-1--7
J e ified Publ
ic Accountants
MEMBERS:
American Institute of Certified Public Accountants
AICPA Division of CPA Firms
Accounting Firms Associated, Inc.
PARKER, FICKLING. HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
N
CITY OF FAIRHOPE, ALABAMA
ALL FUND TYPES AND ACCOUNT GROUPS
COMBINED BALANCE SHEET
SEPTEMBER 30, 1986
Governmental Fund Types
Special Special Debt
ASSETS
General
Revenue Assessment
Service
CASH (Note 5)
$372.482
$273,766 $
$
CASH - for debt service (Note 7)
466.817
194,605
RECEIVABLES
Utility customers
Other
8,994
13,685
6,425
Public improvement
assessments (Note 4)
3,972
233,744
Notes receivable
83,976
Allowance for uncollectible
accounts
(5,077)
MATERIALS INVENTORIES
PREPAID OPERATING EXPENSES
DUE FROM OTHER FUNDS OF THE CITY
OF FAIRHOPE (Note 2)
43,609
12 161
SINKING FUND - restricted cash
and investments (Note 7)
PROPERTY, PLANT AND EQUPIMENT (Note 3)
Land, buildings and other
improvements
Vehicles and equipment
Plant and distribution system
Construction in progress
Accumulated depreciation
UNAMORTIZED DEBT COST
AMOUNT AVAILABLE IN DEBT SERVICE
FUNDS
AMOUNT TO BE PROVIDED FOR
RETIREMENT OF GENERAL LONG
TERM DEBT
TOTAL ASSETS
$423,980
.$287,463 $700,722
$285,006
See accountants' opinion and notes to the financial statements. y �I
PARKER. FICKLING, HARTMANN& HANAK,P.C. CERTIFIED PUBLIC ACCOUNTANTS-- I'
GA 2
Proprietary
Fund Types
Capital
Projects Enterprise
$ 852 $ 1,351,596
273,392
144,462
478,281
149,200
(28, 292)
207,227
46.846
138,758
345.533
847,122
13.334.371
(4,929,472)
28,420
Totals
Account Groups (Memorandum Only)
General General
Fixed Long Term
Assets Debt 1986 1985
$ $ $ 1,998,696 $ 2,109.103
934,814 926,333
478,281 520,945
322,766
61.234
237.716
303.606
83,976
100.771
(33,369)
(72,496)
207,227 208,034
46,846
31.916
182,540
286.277
345,533
314,057
6. 492, 410 6,492,410 6. 47 2, 953
863,134 1.710.256 1,510,764
13.334.371 12.877.559
1,697.499 1,697,499 535,639
(4,929,472) (4,495,500)
28,420 30,070
285.006 285.006 286.048
1,160,432 1,160,432 1,295,390
$145.314 $12.242.982 $9,053,043 $1,445,438 $24,583.948 $23.302,703
(continued)
PARKER. FICKIING. HARTMANN d NANAK. P.C. CERTIFIED ►USUC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
ALL FUND TYPES AND ACCOUNT GROUPS
COMBINED BALANCE SHEET (CONTINUED)
SEPTEMBER 30, 1986
Governmental Fund Types
Special Special Debt
LIABILITIES AND FUND EQUITY
General
Revenue
Assessment
Service
LIABILITIES
ACCOUNTS PAYABLE
$104,671
$ 5,254
$
$
DEPOSITS HELD IN ESCROW
ACCRUED EXPENSES AND TAXES
Payroll taxes
8,068
252
Employees' retirement
8,117
Interest
52
Utility taxes
All other
20
375
CUSTOMER DEPOSITS
DUE TO OTHER FUNDS OF THE
CITY OF FAIRHOPE (Note 2)
8,465
4,472
GENERAL OBLIGATION BONDS,
WARRANTS, NOTES AND
'MORTGAGES PAYABLE (Note 8,
9, 10, 11 and 12)
552,062
REVENUE AND MORTGAGE BONDS
PAYABLE (Note 8, 9, 10,
11 and 12)
TOTAL LIABILITIES
120,876
14,346
556,534
52
FUND EQUITY
Contributed capital
From other funds of the City
United States Government
Customers and developers, etc.
Investment in general fixed assets
Retained earnings
Fund balances - unreserved
303,104
273,117
Fund balances - reserved for
debt service
144.188
284,954
TOTAL FUND EQUITY (DEFICIT)
303,104
273,117
144,188
284,954
TOTAL LIABILITIES AND FUND EQUITY
$423,980
$287,463
$700.722
$285,006
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
�4 - 3
Proprietary
Fund Types
I Capital
Projects Enterprise
- $ 152,383 $ 552,736
5,736
6.222
115,066
1,516
370,830
6,159 163,444
96,450
3,678,100
158,542 4,990,100
38,147
791.135
1,259.799
5,163,801
(13, 228)
(13,228) 7,252,882
$145,314 $12.242,982
Totals
Account
Groups
(Memorandum
Only)
General
General
Fixed
Long Term
Assets
Debt
1986
1985
$
$
$ 815,044 $
546.103
-
179,413
14,056
13,602
14,339
14,756
115.118
117,517
1,516
3,528
395
30
370,830
350,676
182.540 286,277
1.445.438 2.093,950
2,357,701
3,678.100
3.801,100
- 1,445,438 7.285,888
7,670,703
38.147 38,147
791,135 818,570
1,259,799 1.213.779
9.053,043 9,053,043 7.811.281
5.163,801 4.822,296
562.993 506,351
429,142 421,576
9,053,043 - 17.298.060 15,632,000
$9,053,043 $1,445,438 $24,583.948 $23.302,703
PARKER, FICKLING, HARTMANN i NANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
ALL GOVERNMENTAL FUND TYPES
COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED SEPTEMBER 30, 1986
REVENUES
Taxes
Licenses and permits
Fines and forfeitures
State of Alabama
United States Government
Interest and rents
Charges for services
Other revenues
Transfer from other funds
Total revenues
EXPENDITURES
Governmental Fund Types,
Special Special°I
General Revenue Assessment
$ 472,473 $112,424 $
294,870
145,575
47.323
85,539
124,595
49,825
913,299
2,133,499
General government
393.662
Beach department
13.304
Sanitation department
215.795
Police department
474,055
Fire department
140,597
Street department
610,287
Staff agencies and other
43,992
Debt service payments
Principal
Interest
Other expenditures
Transfers to other funds
224,865
Public Library Board
Recreation department
Total expenditures
2,116,557
EXCESS OF REVENUES OVER (UNDER)
EXPENDITURES
16,942
Fund balances at beginning of year
286,162
FUND BALANCES (DEFICIT) AT END OF YEAR
$ 303,104
56,322
61,373
15.070
44,904
90,136
380,229
8,653
93,776
94.180
125,997
322.606
57,623
215,494
$273.117
See accountants' opinion and notes to the financial statements.
56,129
.J
56,129
2, 43 7
45.032
47,469
8.660
135,528
$144,188
i
PARKER, FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
4
Totals
(Memorandum
Only)
Debt
Capital
Service
Projects
1986
1985
--
$
$
$ 584.897
$ 567,598
294,870
240,088
145.575
138.208
22.500
126.145
113,578
1,106,787
1,168,160
429,064
17.209
10,903
184.850
198.346
124.595
128.863
313
95,042
150.149
237.719
17.308
1,258,462
1,288,529
254,928
1.157.811
3,982,596
3,254,423
396,099
406,472
13.304
19,178
215.795
212,748
474,055
459,857
140,597
135,552
618,940
569.341
43,992
47,578
136,000
136,000
124.500
120,022
165.054
177,469
1.172,412
1,172.412
501.913
3,322
321,963
299.202
94,180
95,565
125,997
87,450
256,022
1,175,734
3,918.388
3.136.825
(1,094)
(17,923)
64.208
117,598
286,048
4,695
927.927
810,329
$284,954
$ (13,228)
$ 992,135
$ 927,927
r*
PARKER, FICKUNG. HARTMANN i NANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE. ALABAMA
ALL GOVERNMENTAL FUND TYPES
COMBINED STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
REVENUES
Taxes
Licensee and permits
Fines and forfeitures
State of Alabama
United States Government
Interest and rents
Charges for services
Other revenues
Transfers from other funds
Total revenues
EXPENDITURES
General government
Beach department
Sanitation department
Police department
Fire department
Street department
Staff agencies and other
Debt service payments
Principal
Interest
Public Library Board
Other expenditures
Transfers to other funds
Recreation department
Total expenditures
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund balances at
beginning of year
FUND BALANCES (DEFICIT)
AT END OF YEAR
General Fund
Over
Amended
(Under)
Budget
Actual
Budget
$ 469.225
$ 472.473
$ 3.248
295.686
294.870
(816)
144,000
145.575
1.575
48.162
47,323
(839)
82,991
85.539
2.548
124.425
124.595
170
49.401
49,825
424
913.299
913.299
2.127,189
2.133,499
6.310
391.456
393.662
14.350
13.304
215.649
215.795
477,415
474.055
142.287
140.597
610,231
610.287
46.281
43.992
207,557 224.865
2.105.226 2.116,557
$ 21.963 16.942
286.162
$ 303,104
2.206
(1,046)
146
(3.360)
(1.690)
56
(2.289)
Special Revenue Funds
Over
Amended (Under)
Budget Actual Budget
$114.000 $112.424 $ (1,576)
55.000
56.322
1.322
50,315
61.373
11.058
8,500
15.070
6.570
17.700
44,904
27.204
86.814
90.136
3.322
332.329
380.229
47,900
7.540
8.653
1.113
100.414
94.180
(6,234)
17.308 93.614
93.776
162
88,100
125.997
37.897
11.331 289,668
322.606
32.938
$ (5.021) $ 42.661
57.623
$ 14.962
215,494
See accountants, opinion and notes to the financial statements.
$273,117
.. I
PARKER. FICKIING. HARTIMANN 4 HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
r~
r-
Totals
Special Assessment Funds Debt Service Funds Capital Project Funds (Memorandum Only)
r Over Over Over Over
Amended
(Under) Amended (Under) Amended (Under) Amended (Under)
Budget Actual Budget Budget Actual Budget Budget Actual Budget Budget Actual Budget
$ $ $ $ $ $ $ $ $ $ 583.225 $ 584.897 $ 1,672
295,686 294.870 (816)
144,000 145.575 1.575
22.500 22,500 125,662 126.145 483
1.106.787 1.106.787 1,157.102 1.168.160 11.058
54.500 56.129 1.629 16.370 17.209 839 10.903 10.903 162.361 184.850 22.489
124.595 124.595 -
313 313 67.101 95,042 27.941
237.719 237,719 17,308 17.308 1,237.832 1.258.462 20,630
54.500 56.129 1.629 254.089 254.928 839 1.129.287 1,157.811 28.524 3,897,394 3.982.596 85.202
j 2.437 2.437
393.893
396.099
2.206
14.350
13.304
(1.046)
215.649
215.795
146
477.415
142.287
474.055
140.597
(3,360)
(1.690)
617.771
618.940
1.169
46.281
43.992
(2.289)
129.500 136,000 6.500 129.500
136.000
6.500
45.031 45.032
1 125.719 120.022 (5.697) 170.750
165.054
(5.696)
100.414
94.180
(6,234);.
1.161.860 1.172.412 10.552 1.161.860
1.172,412
10.552
3.322 3.322 301.171
321.963
20;792 i
68,100
125,997
37,897 +
_
ik" 47,468 47,469
1 255,219 256.022 803 1,161,860 1.175.734 13.874 3,859.441
31918.388
58:947
$ 7.032 8.660 $
1.628 $ (1.130) (1.094) $
36 $ (32.573) (17.923) $
14.650 $ 37,953 64.208 $ 26.255
135.528
286,048
4.695
927.927
$ 144.188
$ 284.954
$ (13.228)
$ 992.135
I
PARKER, FICKIING, HARTMANN A HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE. ALABAMA
ALL PROPRIETARY FUND TYPES
COMBINED STATEMENT OF REVENUES,
EXPENSES AND CHANGES IN RETAINED
EARNINGS
FOR THE YEAR
ENDED SEPTEMBER
30. 1986
Water and
Electric
Natural Gas
Wastewater
Fund
Fund
Fund
OPERATING REVENUES
Utility services
$4.721,544
$ 2,393,693
$ 960,731
Other charges, sales and receipts
42,845
2,039
56.737
Total operating revenues
4
-735�3 .
ZO ,�
OPERATING EXPENSES
Cost of utilities sold
3,278,864
1,377,252
165,388
Chamber of Commerce - contract
1,200
1.200
1.200
Operating, maintenance and
administrative salaries (Note 13)
324,761
224.125
252,557
Operation and maintenance of plant
74,662
21.269
87.315
Gasoline and oil
6.049
8.124
7,609
Vehicle and equipment repairs
25,963
12,432
10,272
Audit and accounting fees
3,391
3,391
3,391
Bad debts
20,000
Christmas bonuses
1,565
1,480
1,650
Bond issue expense
139
1.511
Computer expenses
4,213
1,987
2,007
Dues and memberships
26,005
1,077
385
Electric energy furnished City
of Fairhope
91,074
Engineering services
20,435
15,046
Insurance, casualty
42,892
24.019
39,241
Insurance, employees' group
27,371
25,298
32,296
Legal fees
1,102
7.973
Miscellaneous
2,323
853
22
Office supplies and postage
9.360
8,193
6,683
Payroll taxes
24,977
19,062
20,356
Professional services
6,136
6,486
11.228
Employees' retirement
20.516
15.840
16,969
Telephone
4,905
3,053
4,700
Travel, training and school
4.180
1,681
1,517
Uniforms
2,591
2,476
2,868
Trustee fees
500
1.280
Distribution of joint revenue
3.033
Utilities
1,528
Total operating expenses
4.024, &T4
=78-777$
07+
EARNINGS FROM OPERATIONS BEFORE
DEPRECIATION, OTHER DEDUCTIONS
AND OTHER INCOME
(carried forward) 739,715 608,354 347.023
(continued)
See accountants' opinion and notes to the financial statements.
PARKER, PICKLING, HARTMANN 8 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
i-. 6
r-
Totals
(Memorandum Only)
1986 1985
$8.075.968 $7,908,261
101.621 70,980
4,821.504
3,600
801,443
183.246
21.782
48,667
10,173
20,000
4,695
1,650
8,207
27.467
91,074
35,481
106,152
84,965
9,075
3,198
24,236
64,395
23,850
53.325
12,658
7,378
7,935
1,780
3,033
1,528
6. 482, W
1,695,092
(continued)
4,875,868
3,600
768.213
170,867
24.562
51,561
10.800
20.004
4,520
1,696
7,484
3 2, 253
81,513
46,508
67,561
82,673
6.102
362
22,288
63.741
10.321
51.022
11,830
7,787
7.856
1.820
3.666
1.355
6.07.M
1.541,408
PARKER, FICKLING, HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
ALL PROPRIETARY FUND TYPES
COMBINED STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
(CONTINUED)
FOR THE YEAR ENDED SEPTEMBER 30, 1986
Water and
Electric
Natural Gas
Wastewater
Fund
Fund
Fund
EARNINGS FROM OPERATIONS BEFORE
DEPRECIATION, OTHER INCOME AND
OTHER DEDUCTIONS (brought forward)
$ 739,715
$ 608,354
$ 347,023
OTHER INCOME (DEDUCTIONS)
Interest expense
(7,418)
(11.100)
(176,807)
Interest income
69,284
41,469
27,349
Earnings transferred to the General
Fund of the City of Fairhope
(450,000)
(450,000)
Purchased gas refunds (adjustments)
(26,387)
Loss on sale of asset
Federal Emergency Management Agency
Total other income (deductions)
(388,134)
(446,018)
(149,458)
NET INCOME BEFORE DEPRECIATION
351,581
162,336
197,565
DEPRECIATION EXPENSE
On assets acquired with own funds
137.894
71.940
160.143
On assets acquired from contributions
in aid of construction
3,520
4,553
55,922
Total depreciation expense
141,414
76.493
216,065
NET INCOME (LOSS)
210,167
85.843
(18,500)
Add credit arising from transfer of
depreciation to contributions in aid
of construction account
3,520
4,553
55,922
NET INCOME TRANSFERRED TO RETAINED
EARNINGS
213,687
90,396
37,422
Retained earnings at beginning of year
2,555,176
1,195,577
1,071.543
RETAINED EARNINGS AT END OF YEAR
$2,768,863
$1,285,973
$1,108,965
See accountants' opinion and notes to the financial statements.
i`
PARKER, FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS Ilk
7
m
Totals
(Memorandum Only)
1986 1985
$1,695,092
(195,325)
138,102
(900,000)
(26,387)
(983,610)
711.482
369,977
63,995
433.972
277,510
63,995
341.505
4,822,296
$5.163,801
$1,541,408
(203,831)
169.450
(916,000)
1,267
(341)
13,798
(935,657)
605,751
351,531
61.686
413,217
192,534
61,686
254,220
4.568, 076
$4,822,296
4
i
PARKER, FICKIING, HARTMANN i HANAK, ►.C. CERTIFIED ►UBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
ALL PROPRIETARY FUND TYPES
COMBINED STATE14ENT OF CHANGES IN FINANCIAL POSITION
FOR THE YEARS ENDED SEPTEMBER 30, 1986 AND 1985
Electric Natural Gas
Fund
Fund
SOURCES OF WORKING CAPITAL
From operations
Net earnings (loss)
$210,167
$ 85,843
Add loss on disposition of equipment
Add charges to earnings not
requiring current working capital,
depreciation and amortization
141,553
76,493
Working capital provided
by operations
351,720
162.336
Proceeds on sale of assets
Contributions and grants in
aid of construction
10,287
1.339
Increase in interfund payables
1.057
Decrease in interfund receivables
121.902
Total sources of working
capital
362,007
286,634
USES OF WORKING CAPITAL
Increase in sinking funds
4,165
Acquisition of property, plant
and equipment
340,512
160.320
Reduction of long term debt
49,501
45.000
Increase in interfund receivables
Decrease in interfund payables
111,990
Total uses of working
capital
502.003
209,485
INCREASE (DECREASE) IN WORKING CAPITAL
$(139,996)
$ 77,149
Water and
Wastewater
Fund
$(18,500)
217,576
199,076
70,954
5.684
275,714
27.311
95,027
80,000
3,649
205.987
$ 69.727
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN a NANAX, P.C. CERTIFIED PUBLIC ACCOUNTANTS `:�
r_ 8
Totals
(Memorandum Onl
1986 1985
$ 277,510 $ 192,537
— 341
435.622
713,132
82.580
6,741
121.902
924,355
31,476
595,859
174,501
3,649
111,990
917,475
$ 6.880
414.913
607.791
150
104,686
6.626
13,384
732,637
30.784
345,204
184.103
27.528
4,371
591,990
$ 140,647
(continued)
PARKER, FICKLING. HARTMANN 9 MANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
ALL PROPRIETARY FUND TYPES
COMBINED STATEMENT OF CHANGES IN FINANCIAL POSITION
(CONTINUED)
FOR THE YEAR ENDED SEPTEMBER 30, 1986
Water and
Electric
Natural Gas
Wastewater
Fund
Fund
Fund
NET CHANGES IN ELEMENTS OF
WORKING CAPITAL
INCREASES (DECREASES) IN CURRENT ASSETS
Cash
$(127,405)
$ 68,995
$ 62,570
Receivables
106,801
8,376
(396)
Inventories
(2,051)
3,643
(2,399)
Prepaid expenses
7,921
(503)
7,512
Increase (decrease) in
current assets
(14,734)
80,511
67,287
INCREASES (DECREASES) IN CURRENT
LIABILITIES
Accounts payable, trade
112.290
3,983
(3,152)
Accrued expenses
(2,432)
(621)
(1,288)
Customer deposits
20,154
Revenue bonds, notes and general
obligation warrants payable
(4,750)
2,000
Increase (decrease) in
current liabilities
125.262
3,362
(2,440)
INCREASE (DECREASE) IN WORKING CAPITAL
$(139,996)
$ 77,149
$ 69,727
See accountants' opinion and notes to the financial statements.
PARKER. FICKLINO, HARTMANN i HANAK, P.C. CERTIFIEO PUBLIC ACCOUNTANTS _ !
9
Totals
(Memorandum Only)
1986 1985
$ 4,160
114.781
(807)
14,930
133,064
113,121
(4,341)
20,154
(2,750)
126,184
$ 6,880
$ 218,766
(33.703)
13,436
10.895
209,394
12,681
1,992
39,245
14,829
68.747
$ 140,647
PARKER, FICKLING, HARTMANN i HANAK, ►.C. CERTIFIED PUBLIC ACCOUNTANTS
10
L
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Fairhope, Alabama (the City) was incorporated in April,
1908. The City operates under a Mayor - Council form of government
chosen at large every four years.
The accounting policies of the City conform to generally accepted
accounting principles as applicable to municipal governments. The
following is a summary of the more significant policies.
i
A. REPORTING ENTITY
For financial reporting purposes and in conformance with the
criteria set forth by the National Council on Governmental
Accounting (NCGA) Statement 3, Defining the Governmental Reporting
Entity, the City includes those funds, account groups, agencies,
boards, commissions and authorities for which the City has the
ability to exercise its oversight responsibility and provides
financial and managerial assistance, which influence operations
and tend to indicate control by or dependence on the City.
Control by or dependence on the City are evidenced through budget
adoption, taxing authority, outstanding debt secured by revenues
or general obligations of the City, responsibility for the funding
of any operating deficits that may occur and the scope of services
provided to the City. Based on these criteria, this report
includes financial statements of the funds and account groups
required to account for those financial activities for which the
City has the ability to influence and control through its legisla-
tive processes.
These financial statements do not include the following:
Bay Medical Clinic Board
Industrial Board of the City of Fairhope
Medical Clinic Board - East
Medical Clinic Board - West
Medical Clinic Board - North
Downtown Redevelopment Authority
City management does not exert significant influence or control
and does not, except to the extent disclosed herein, guarantee any
of their outstanding debts.
(continued)
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC
CITY OF FAIRHOPE. ALABAMA
NOTES TO_THE FINANCIAL STATEMENTS
SEPTEMBER 30. 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
B. FUND ACCOUNTING
The accounts of the City are organized on the basis of funds and
account groups. each of which is considered a separate accounting
entity. The operations of each fund are accounted for with a
separate set of self -balancing accounts that comprise its assets.
liabilities, fund equity. revenues and expenditures, or expenses,
as appropriate. Government resources are allocated to and
accounted for in individual funds based upon the purposes for
which they are to be spent and the means by which spending
activities are controlled. The various funds are grouped into
broad fund categories as follows:
h�
Governmental Funds:
General Fund - The General Fund is used to account for all
revenues and expenditures applicable to the general operations
of city government which are not properly accounted for in
another fund. All general operating revenues which are not
restricted or designated as to use by outside sources are
recorded in the General Fund.
Special Revenue Fund - Special Revenue Funds are operating funds
for which the use of revenues is restricted or designated by
outside sources.
Special Assessment Fund - Special Assessment Funds are used to
account for the financing of public improvements or services
deemed to benefit the properties against which special
assessments are levied.
Debt Service Fund - Debt Service Funds are used to account for
i the payment of interest and principal on general long term debt
not accounted for in the other funds. Debt Service revenues are
principally transfers from the General Fund.
Capital Project Fund - Capital Project Funds are used to account
for the financial resources designated to construct major
improvements other than those financed by Special Assessments.
(continued)
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC
u
12
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
Proprietary Funds:
The Electric Fund, Natural Gas Fund, and Water and Wastewater
Fund, which are Enterprise Funds, are used to account for the
operations of the utilities, related debt, property, plant and
equipment. Enterprise Funds are used to account for operations
which are financed or operated in a manner similar to private
business enterprises - where the intent of the governing body is
that the costs of providing goods or services to the general
public on a continuing basis be financed or recovered primarily
through user charges.
C. FI%ED ASSETS AMID LONG TERM LIABILITIES
The accounting and reporting treatment applied to the fixed assets
and long term liabilities associated with a fund are determined by
its measurement focus. All governmental funds are accounted for
on a spending or "financial flow" measurement focus. This means
that only current assets and current liabilities are generally
included on their balance sheets. Their reported fund balance
(net current assets) is considered a measure of "available
spendable resources". Governmental fund operating statements
present increases (revenues and other financing sources) and
decreases (expenditures and other financing uses) in net current
assets. Accordingly, they are said to present a summary of
sources and uses of "available spendable resources" during a
period.
Fixed assets used in governmental fund type operations (general
fixed assets) are accounted for in the General Fixed Assets
Account Group, rather than in governmental funds. No depreciation
has been provided on general fixed assets.
All fixed.assets are valued at historical cost or estimated
historical cost if actual historical cost is not available.
Donated fixed assets are valued at their estimated fair value on
the date donated.
Long term liabilities expected to be financed from governmental
funds are accounted for in the Genral Long Term Debt Account
Group, not in the governmental funds.
(continued)
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
n
K
r^
13
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
The two account groups are not "funds". They are concerned only
with the measurement of financial position. They are not involved
with measurement of results of operations.
Because of their spending measurement focus, expenditure recogni-
tion for governmental fund types is limited to exclude amounts
represented by noncurrent liabilities. Since they do not affect
net current assets, such long term amounts are not recognized as
governmental fund type expenditures or fund liabilities. They are
instead reported as liabilities in the General Long Term Debt
Account Group.
All proprietary funds are accounted for on a cost of services or
"capital maintenance" measurement focus. This means that all
assets and all liabilities (whether current or noncurrent)
associated with their activity are included on their balance
sheets. Their reported fund equity (net total assets) is
segregated into contributed capital and retained earnings
components. Proprietary fund type operating statements present
increases (revenues) and decreases (expenses) in net total assets.
Depreciation of all exhaustible fixed assets used by proprietary
funds is charged as an expense against their operations.
Depreciation expense on assets acquired from contributions in aid
of construction from U. S. Grants, customers and developers is
transferred to those respective capital accounts on the balance
sheets and not retained earnings. Accumulated depreciation is
reported on proprietary fund balance sheets. Depreciation has
been provided over the estimated useful lives using the straight
line rates as follows:
Electric system 3.0%
Natural gas system 2.5%
Water and wastewater system 2.5%
Vehicles and equipment 12.5% to 33.3%
Cost of fixed assets includes interest during the construction
period.
(continued)
PARKER, FICKLING, HARTMANN R HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
r
r-
I
14
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
D. BASIS OF ACCOUNTING
Basis of accounting refers to when revenues and expenditures or
expenses are recognized in the accounts and reported in the
financial statements. Basis of accounting relates to the timing
of the measurements made, regardless of the measurement focus
applied.
All governmental funds are accounted for using the modified
accrual basis of accounting. Under the modified accrual basis,
revenues are recognized when they become susceptible to accrual,
that is when they become both "measurable" and "available" to
finance expenditures of the current period.
Sales and other taxes collected by an intermediary are considered
"measurable" when in the hand of the intermediary collecting
governments and are recognized as revenue at that time.
Expenditures other than accrued interest on general long term debt
are recorded at the time liabilities are incurred. Revenues
susceptible to accrual are those Federal Revenue Sharing grants
which are measurable and available to finance expenditures of the
current period.
All proprietary funds are accounted for using the accrual basis of
accounting. Their revenues are recognized when they are earned,
and their expenses are recognized when they are incurred.
E. BUDGETS AND BUDGETARY ACCOUNTING
The City Council follows these procedures in establishing the
budgetary data reflected in the financial statements:
(1) Each September the Mayor submits to the City Council a
proposed operating budget for the fiscal year commencing the
following October 1. The operating budget includes proposed
expenditures and the means of financing them for the upcoming
year. Line item budgets are used for administrative control.
The level of control for the detailed budgets is at the
department head/function level.
(2) Public hearings are conducted to obtain taxpayer comments.
(continued)
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNT
L
r
15
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
(3) The budget is legally enacted through passage of an
ordinance.
(4) Reports are submitted to the City Council showing approved
budget and actual operations.
(5) The Mayor is authorized to transfer budgeted amounts within
departments within any fund; however, any revisions that
alter the total expenditures of any fund or transfer of funds
between departments must be approved by the City Council.
(6) Formal budgetary integration is employed as a management
control device during the year for the General Fund, Special
Revenue Funds, Special Assessment Funds and Debt Service
Funds.
(7) Budgets for the General, Special Revenue, Special Assessment
and Debt Service Funds are adopted on a basis consistent with
generally accepted accounting principles (GAAP).
(8) Budgetary data for the Capital Project Funds are budgeted
over the life of the respective project and not on an annual
basis.
F. POOLED CASH
The City maintains a system in which excess cash is pooled into
interest bearing certificates of deposit. Interest earned is
allocated to each fund based upon the approximate proportionate
balances of each fund's equity in pooled cash accounts.
G. RECEIVABLES FROM UTILITY CUSTOMERS
The Electric Fund purchases at face value, the utility receivables
of the Natural Gas Fund and the Water and Wastewater Fund.
Purchase is made at the time customers are billed. Customer
payments for all utilities are then deposited to the Gross Revenue
Account in the Electric Fund.
H. INVENTORIES
Materials and supplies inventories are valued at cost and consist
largely of items to be used to construct and maintain utility
plant.
(continued)
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
M
r-
M
6w
16
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
I. DEBT ISSUE COST
Issuance expenses on long term debt are deferred and amortized, on
the bonds outstanding method, over the terms of the related
issues.
J. CONTRIBUTIONS IN AID OF
Nonrefundable payments from customers and governmental agencies
for the purpose of construction of utility plant, to which the
City retains title, are capitalized, with no effect on revenues.
K. RETIREMENT PLAN
The City has a funded contributory retirement plan with the
Employees' Retirement System of Alabama. All new employees (if
they meet age requirements) of the City must become members of the
retirement plan. Monthly contributions to the plan for current
and past service costs are based on actuarial estimates prepared
by the Employees' Retirement System of Alabama. Employees
contribute 5% of their regular salary. The City's contribution
rate of 6.09% for the year ended September 30, 1986 remained
unchanged at October 1, 1986.
L. PROPERTY TAX
All ad valorem taxes levied by the state, county and any
municipality in Baldwin County are assessed by the Tax Assessor
and collected by the Tax Collector of Baldwin County. The Baldwin
County property tax calendar requires the Tax Assessor to assess
and attach taxes as enforceable liens on property as of September
30, and taxes are due October 1 through December 31. Property
taxes not paid by January 1 are considered as delinquent. Tax
collections received by the County Tax Collector are remitted to
the City on a monthly basis. All amounts remitted to the City
within the bill paying period are included in revenue.
M. COMPARATIVE DATA
Comparative total data for the prior year has been presented in
the accompanying financial statements in order to provide an
understanding of changes in the City's financial position and
operations.
(continued)
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
17
r-
W
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 1 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued)
N. TOTAL COLUMNS ON COMBINED STATEMENTS - OVERVIEW
These totals are captioned "Memorandum Only" to indicate that they
are presented only to facilitate financial analysis. Data in
these columns do not present financial position, results of
operations, or changes in financial position in conformity with
generally accepted accounting principles. Neither is such data
comparable to a consolidation. Inter -fund eliminations have not
been made in the aggregation of this data.
NOTE 2 INTERFUND TRANSACTIONS
During the course of normal operations, the City has numerous
transactions between funds including expenditures and transfers of
resources primarily to provide services. The governmental and
proprietary type funds financial statements generally reflect such
transactions as transfers. The general fund records transfers from
proprietary funds as revenue whereas the fund making the transfer
records it as other expense.
The selling price of electric energy delivered without charge by the
Electric Fund to various other funds (except the Water and Wastewater
Fund), boards and offices of the City of Fairhope is charged to the
Electric Fund's operations as electric energy furnished other
divisions of the City of Fairhope. The Water and Wastewater Fund
purchases at cost from the Electric Fund, electric energy it receives.
The following is a detail listing of interfund receivables and
payables shown in the combined balance sheet at September 30, 1986:
Interfund Interfund
Receivable Payable
General Fund $ 43,609
Special Revenue Funds
Recreation Operating Fund -
Recreation Capital Improvement Fund 12
Special Assessment Funds
1977-78 Assessment Fund -
1982-83 Assessment Fund 161
Capital Project Funds
Street Drainage -
Enterprise Funds
Electric Fund -
Natural Gas Fund 64,065
Water and Wastewater Fund 74-0693
TOTALS $18Y.
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
8,465
4.472
6.159
149,794
5,515
8.135
$382,
I"
0
18
CITY OF FAIRHOPE. ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 3 FIXED ASSETS
Changes during the
year in General Fixed Assets were as
follows:
Balance
Retire-
Balance
10/01/85
Additions ments
09/30/86
Land and
buildings
$1.635,482
$ - $ -
$1,635,482
Municipal beach
and pier
678,291
- -
678.291
Municipal airport
1,141,292
- -
1.141.292
Municipal fishing
dock
29,572
- -
29.572
Street paving and
improvements
2,170389
5,862 -
2,176,251
Equipment
802:689
60,445 -
863,134
Recreation
facilities
817,927
13,595 -
831.522
Construction work-
in -progress
535,639
1,161,860 -
1,697,499
TOTAL
$7,811.281
$1,241.762 $ -
$9,053.043
Changes during, the year in proprietary fund type property, plant and
equipment were as follows:
Natural
Water and
Electric
Gas
Wastewater
Fund
Fund
Fund
Balance, October 1, 1985
$ ,5�7z
$7T,67-2,_09
7_,M,05
Additions
Transformers and meters
purchased
54,823
6,602
Self constructed
Labor
16,367
38,352
26,477
Material
48508
44,414
54.523
Substation
166:746
-
-
Vehicles and equipment
purchases
54,068
70,952
14,027
Balance, September 30. 1986
$3,924.686
$2,232.729
$8.024,078
NOTE 4 PUBLIC IMPROVEMENT ASSESSMENTS RECEIVABLE
Public improvement assessments receivable as of September 30, 1986 and
1985 consisted of the following:
Year
1986
General Fund
1962
$ 151
1963
1,449
1966
508
1970
-
1974
1.864
Total;�7�
Special Assessment Fund
Public Improvement
Assessment Fund
1977 - 1978
74,744
1982 - 1983
159,000
Total
TST.-M
TOTAL PUBLIC IMPROVEMENT ASSESSMENTS
RECEIVABLE $237.716
Pe! PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
lJ
1985
$ 151
1.449
508
1,204
2.210
115,771
182,313
2, 0�8?+
$303,606
r-
1
19
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 5 GENERAL FUND - CASH
The General Fund's cash in the bank at September 30 1986 and 1985
consisted of the following balances:
1986
1985
General operating
$133.249
$155.475
Payroll
100
100
Airport - checking
6,927
5,414
Beach revenue
9,825
10,706
Parking authority
249
236
New City Hall
11,010
623
Certificates of deposit
211.122
181,837
TOTAL
$372.482
$354,391
NOTE 6 FEDERAL REVENUE SHARING FUNDS
The City of Fairhope's Federal Revenue Sharing funds received during
the fiscal years ended September 30.1986 and 1985 were expended to the
City of Fairhope Public Library Board for operating and maintenance of
the Fairhope Public Library.
NOTE 7 SINKING FUNDS - PROPRIETARY FUNDS
The cash and investments in these sinking funds (bond, reserve and
replacement funds) are restricted as to their use in accordance with
their respective bond indentures.
The amounts in the various sinking funds at September 30, 1986 and
1985 were as follows:
1986
1985
1961 series
=.
s277,222
1972 series
47,810
48,964
1973 series
33,946
45,378
1978 series
7,770
7,865
1982 series
200.526
172,337
1983 series
38,391
32,587
General obligations electric warrants
10,170
12,614
TOTALS
$-9 23
OTF.'§63
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
r-.
i
20
P*
r-
r
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30. 1986
NOTE 8 REVENUE BONDS, NOTES AND WARRANTS PAYABLE - PROPRIETARY FUNDS
The following is a summary of revenue bonds, notes and warrants
payable by the proprietary funds as of September 30, 1986 and 1985:
Electric Fund
(a) General obligation electric warrants
dated January 1, 1982. interest rate 5.2%
payable semi-annually, remaining princi-
pal payable July 1, 1987 through July 1,
1988
Current
Non current
Total
(b) Note payable Central Bank of the South,
dated November 24, 1981, interest rate
10%, monthly payments $833.50 including
interest, secured by computer equipment
Current
Non current
Total
Natural Gas Fund
(a) First mortgage gas. water and wastewater
revenue bonds, 1961 series, dated Decem-
ber 1, 1961. interest rate 4%, payable
semi-annually, remaining principal pay-
able December 1, 1986 through December 1,
1991
Current
Non current
Total
Water and Wastewater Fund
(a) First mortgage water and wastewater
revenue bonds, 1972 series, dated
December 1, 1972, interest rate 5% on
$45,000 and 5 to 5.3% on $440,000,
payable semi-annually, remaining princi-
pal payable December 1, 1986 through
December 1, 1994
Current
Non current
Total
(b) Special obligation wastewater revenue
bonds, Alabama Pollution Control Finance
Authority, 1973 series. dated January 1,
1973, interest rate 5.9%. payable semi-
annually, remaining principal payable
January 1, 1987 through January 1. 1989
Current
Non current
Total
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC
1986
$ 47,000
47,000
94,000
2.450
2.
45.000
225,000
270.0�
45.000
440.000
495,
0�0
20,000
40,000
_T0NN0
1985
$ 45,000
94,000
I TF. NO0
9.200
2,501
45.000
270,000
"M7 00
45,000
485,000
0. 0
20,000
60,000
80.000
I
r
21
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 8 REVENUE BONDS, NOTES AND WARRANTS PAYABLE - PROPRIETARY FUNDS
(continued)
19 RFi
(c) Water, gas and wastewater revenue bonds,
series 1978 dated December 1, 1978,
interest rate 6% on $75,000 and 6.2% on
$285,000. payable semi-annually, princi-
pal payable December 1, 1987 through
December 1, 1994
Current
Non current
Total
(d) Water Revenue Bond, dated April 4, 1982,
issued to the United States of America,
Farmers Home Administration, interest
rate 5%, interest payable January 1,
remaining principal payable January 1,
1987 through January 1, 2022
Current
Non current
Total
(e) Water Revenue Bond, dated May 5, 1983,
issued to the United States of America,
Farmers Home Administration, interest
rate 5%, interest payable January 1,
remaining principal payable January 1,
1987 through January 1, 2022
Current
Non current
Total
TOTAL REVENUE BONDS, NOTES AND WARRANTS
PAYABLE - PROPRIETARY FUNDS
NOTE 9 GENERAL OBLIGATION LONG TERM DEBT
PREE .1 111
.1 _111
10,000
2,158,100
77 M,30-0
5,000
330,000
$3,774,550
1985
.1 111
•1 I/1
10,000
2,168,100
'.T%$=0
3,000
335,000
_7T9_.000
$3,951.801
The general obligation refunding warrants, warrants dated 6-1-83,
recreational and various purpose warrants and general obligation public
improvement bonds are general obligations of the City of Fairhope, Alabama
and are secured by a pledge of its full faith and credit.
The general obligation recreational warrants and interest are being retired
with funds from the Recreation Capital Improvement Fund in the Recreation
Fund.
The general obligation public improvement bonds and $92,400 of the general
obligation various purpose warrants (dated 12-1-78) principal and interest
are being retired with funds from the 1977-1978 Public Improvement
Assessment Fund.
$339,662 of the general obligation warrants dated June 1, 1983 will be
retired from the 1982-1983 Public Improvement Assessment Fund.
The mortgage payable to Central Bank of the South is secured by certain
parcels of land located at the City of Fairhope Municipal Airport.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
22
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30.
1986
NOTE 10 SUMMARY OF ALL LONG TERM DEBT OUTSTANDING - ALL FUNDS
The following is a summary, for all
funds, of all long term debt of
the City at September 30, 1986 and 1985:
1986
1985
i
PROPRIETARY FUNDS
Generalobligation electric warrants
$ 94,000
$ 139,000
First mortgage revenue bonds - 1961 series
270.000
315.000
Water Revenue Bond (dated 5-5-83)
335.000
338,000
Water Revenue Bond (dated 4-4-82)
2,168,100
2,178,100
First mortgage revenue bonds - 1972 series
485,000
530,000
Special obligation revenue bonds - 1973 series 60.000
80.000
Revenue bonds - 1978 series
360.000
360,000
Note payable - Central Bank of the South
2,450
11,701
Total Proprietary Funds
7
T 77-.„
3
GOVERNMENTAL FUNDS
General obligation refunding warrants
(dated 4-1-82)
$ 200.000
$ 250,000
r
General obligation recreational warrants
(dated 7-1-76)
135,000
155,000
General obligation various purpose warrants
(dated 12-1-78)
220.000
275.000
General obligation public improvement bonds
(dated 12-1-78)
120.000
160.000
General obligation warrants (dated 6-1-83)
1.315.000
1.355.000
Mortgage payable, Central Bank of the South
7,500
12,000
Total Governmental Funds
Tr.- TO
2.207,000
TOTAL LONG TERM DEBT OUTSTANDING - ALL FUNDS
$5,772.050
$6.158,801
!'
NOTE 11 CHANGES IN GENERAL LONG TERM DEBT
The following is a summary, for
all funds, of all long
term debt
transactions of the City for the year
ended September 30, 1986:
Note &
Total
Revenue General Obligation
Mortgage
(Memorandum
Bonds Warrants
Bonds Payable
Only)
October 1, 1985 $3,801,100 $2,174.000 $
160,000 $ 23.701
$6.158,801
i
New bonds and
warrants issued - -
_ _
_
i�
Principal retired (123.000) (210,000)
(40,000) (13,751)
(386,751)
SEPTEMBER 30, 1986 $3,678,100 $1,964,000 $
120,000 $ 9,950
$5,772,050
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNT
CITY OF FAIRHOPE, ALABAMA
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 12 SUMMARY OF DEBT SERVICE REQUIREMENTS TO MATURITY
The following is a summary of debt service requirements to maturity of
general long term debt of the General, Special Revenue, Debt Service and
Special Assessment Funds as of September 30. 1986, including interest
payments:
Year
Ending
September
30,
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
TOTALS
General
Obligation Warrants
Principal
Interest
$ 195,000
$ 145,822
195,000
133,335
195,000
120,670
205,000
107,816
100.000
95,870
75.000
88,620
80,000
82,433
45,000
75.633
45,000
71.718
50.000
67.758
50,000
63,258
60,000
58,708
65.000
53,188
75,000
47,175
75,000
40,238
80.000
33,300
90.000
25.900
90,000
17,575
100.000
9,250
$1.870.000 $1,338.267
General
Obligation Bonds
Principal Interest
$ 40.000 $ 5.920
40,000 3.580
40,000 1.200
$ 120.000 $ 10,700
E
I=
PARKER, FtCKLiNG, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS ';�
23
F
Mortgage Payable
Central Bank of
The South
Principal Interest
$ 7,500 $ 675
$ 7.500 $ 675
(Memorandum Only)
Total
Principal
Total
and
Principal
Interest
Interest
$ 242.500
$ 152,417
$ 39'4, 917
235.000
136.915
371,915
235,000
121.870
356.870
205,000
107.816
312,816
100,000
95,870
195,870
75,000
88,620
163,620
80,000
82,433
162,433
45.000
75.633
120.633
45,000
71.718
116.718
50.000
67.758
117,758
50.000
63,258
113,258
60.000
58.708
118,708
65.000
53,188
118,188
75,000
47,175
122,175
75,000
40,238
115,238
80,000
33.300
113,300
90,000
25,900
115,900
90,000
17,575
107,575
100,000
9,250
109.250
$1,997.500 $1,349,642 $3.347.142
PARKER, FICKLING, HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
24
— CITY OF FAIRHOPE. ALABAMA
r
1
NOTES TO THE FINANCIAL STATEMENTS
SEPTEMBER 30, 1986
NOTE 13 SALARIES — PROPRIETARY FUNDS
The following is a summary of employees' salaries
by
Utility Fund for
the years ended Sepember
30, 1986 and 1985:
Natural
Water and
Electric
Gas
Wastewater
Fund
Fund
Fund
Year ended September 30. 1986
Total salaries
$341,128
$262,477
$279,034
Less:
Salaries capitalized for
plant additions
(16,367)
(38,352)
(26,477)
Amount of salaries charged
to operations
$324,761
$224.125
$252,557
Year ended September 30, 1985
Total salaries
$325,990
$251,800
$277,147
Less:
Salaries capitalized for
plant additions
(36,260)
(29,550)
(20.914)
Amount of salaries charged
r
to operations
$289.730
$222,250
$256.233
NOTE 14 LITIGATION
The City was named as a
defendant in the
following
law suits as of
September 30, 1986:
Paul A. Urbanek vs City of Fairhope and Officer William Mangon
This is a civil rights suit which was filed against the City on June
30, 1986, in U. S. District Court by Paul A. Urbanek. The suit filed
against the City and one of its officers arises out of an incident
which occurred in the City jail. The complaint seeks damages of $1.5
million. Outside counsel for the City has advised that. at this stage
in the proceeding. he cannot offer an opinion as to the probable
outcome. However, the City is vigorously defending its position.
Charles L. Dyas, et al., vs City of Fairhope
This civil suit was filed against the City on November 18, 1986. in U.
S. District Court by Charles L. Dyas, et al. The suit alledges that
the City's refusal to grant their application for rezoning violates
their Federal procedural and substantive due process right and amounts
to a taking of their property without just compensation. The
Bpplaintiffs are seeking the rezoning of their property and damages of
.000,000, plus attorney's fees. Outside counsel has filed a motion
to stay the action based on the Federal assention doctrine. The Court
has not yet ruled on this motion. The City is vigorously defending
its position.
The City was a plaintiff in the following law suit as of September 30.
1986:
City of Fairhope vs City of Daphne
The Supreme Court of Alabama has rendered a decision, in favor of the
City of Fairhope and against the City of Daphne. with respect to the
agreement dated January 23, 1950 that pertains to the operation of the
natural gas system. The Supreme Court has remanded the case to the
Baldwin County Circuit Court to determine the settlement amount. The
City is actively pursuing the settlement of this matter.
i
PARKER, FICKLINO, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
�a
SUPPLEMENTARY INFORMATION
PARKER, FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
t- �
25
A
CITY OF FAIRHOPE, ALABAMA
GENERAL FUND
F-0
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
1986
1985
CASH
On hand
$ 200
$ 200
In banks (Note 5)
372.282
354,391
Total cash
372,482
354,591
RECEIVABLES
Federal Emergency Management Agency
-
12.737
Street improvement assessments (Note 4)
3,972
5.522
Miscellaneous receivables
80994
8,997
Due from other funds of the
City of Fairhope (Note 2)
1977-1978 Assessment Fund
4.311
2.741
Street Drainage Capital Project Fund
6,159
5.796
Electric Fund
13.036
4,773
Natural Gas Fund
5,515
4,458
Water and Wastewater Fund
6,135
2,451
Recreation Fund
8.453
8,212
Allowance for doubtful accounts
(5.077)
(5.077)
Total receivables
51,498
50,610
TOTAL ASSETS
$423,980
$405,201
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable, trade $104.671 $102,996
Payroll taxes payable 8,068 7,619
Employees' retirement payable 8,117 8,394
Other accrued expenses 20 30
TOTAL LIABILITIES 120,876 119.039
FUND BALANCE 303,104 286,162
TOTAL LIABILITIES AND FUND BALANCE $423,980 $405,201
See accountants' opinion and notes to the financial statements.
Ei
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
26
CITY OF FAIRHOPE. ALABAMA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
LOCAL TAXES
Real estate
Automobile tags and tax
Beer tax
Liquor tax
Wine tax
Dog tax
Total
LICENSES AND PERMITS
Business licenses for.
current year
Business licenses for
prior year
Beer and liquor licenses
Job license fees
Building permits and
inspection fees
Rezoning permits
Insurance company franchise
Cable T. V. franchise
Total
FINES AND FORFEITURES
STATE OF ALABAMA
1986
Amended
Over Un er
Budget
Actual
Budget
$ 331.400
$ 331,261
$ (139)
62.000
62,990
990
44,000
46,490
2.490
22,800
22,234
(566)
8,600
9,064
464
425
434
9
161.800
33,800
10.400
2.000
14,400
1.200
62,344
9.742
295,686
144,000
Share of state liquor profits 10,498
ABC store sales tax 8.400
Financial institution excise tax 21.564
Motor vehicle licenses 3.400
Oil production privilege tax 4,300
Total '48.162
UNITED STATES GOVERNMENT
Federal Emergency
Management Agency -
(continued)
161.397
33,803
7.916
2.195
15.132
1,244
63,441
9.742
145,575
10,498
8,169
21.564
2,997
4,095
r— See accountants' opinion and notes to the financial statements.
W PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
(403)
3
(2,484)
195
732
44
1,097
1.575
(231)
(403)
(205)
1985
A -a --I
$ 319,343
56,810
46,320
23,247
8,294
369
152.677
9.068
2,845
17.054
2.312
46,433
9.699
138,208
12,910
8.292
24,567
2,754
4,401
12,737
27
CITY OF FAIRHOPE, ALABAMA
GENERAL FUND
STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
INTEREST AND RENTS
Interest - bank deposits
Interest - street assessments
Municipal airport lease
Municipal pier lease
Fishing dock stall rentals
Civic Center building - rentals
Other rents
Total
CHARGES FOR SERVICES
Telephone collection fee
Subdivision fees
Burglar alarm fees
Sanitation collection
Dog pound fees
Total
OTHER REVENUES
Beach revenue
Donations:
Civic Center
Trees
Police
Sales of fixed assets
Grant, South Alabama Regional
Planning Commission
Insurance claims
Sales of materials and
miscellaneous income
Total
TRANSFERS FROM OTHER FUNDS
State Gasoline Tax Funds
Electric Fund
Natural Gas Fund
Total
TOTAL REVENUES
1986
1985
en a
Over Un er
Budget
Actual
Budget
Actual
$ 12.000
$ 13,609
$ 1.609
$ 17.719
-
24
24
208
8.800
9,121.
321
7.286
6,500
6,730
230
13.084
13.000
13,313
313
10.275
31.000
31,463
463
25.898
11.691
11,279
(412)
7.712
83.99
85 539
82,187
5.000
800
619
(181)
854
2,625
2,690
65
2.750
120,000
120,092
92
119,066
1.000
1,194
194
1,193
7 2 4-. 7+Y
124.-3
/ 0
128,977
29,234
29,234
-
21.863
10.000
10,000
-
10,100
1.025
1.090
65
3,120
800
800
-
-
-
-
-
9,848
3.996
4,000
4
3.972
1,381
1.381
-
3,445
2.965
3,320
355
6,094
poi
-9 T
------42-4
58. M
13.299
13,299
-
20.000
450.000
450,000
-
458,000
450,000
450,000
-
458.000
—93y,-299
913,
-
96,0�
2,127,189
2.133.499
6,310
2,103,827
(continued)
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
28
CITY OF FAIRHOPE, ALABAMA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30. 1985
1986
1985
Amended
Over Un er
Budget
Actual
Budget
Actual
EXPENDITURES
"'
--
GENERAL GOVERNMENT
Salaries
Mayor and Council
$ 18.800
$ 19,000
$ 200
$ 18,400
Clerks and administrative
71,800
71,257
(543)
67,840
Building inspector, janitor
and mechanics
46,310
45,791
(519)
44,148
City attorney
7,140
6,440
(700)
7,140
City judge
7,952
7,952
-
7,646
Convention, travel and
continuing education
9.885
8,428
(1,457)
14,858
Audit fees
4,780
4,780
-
4,575
Legal fees
6,600
7.168
568
4,276
General supplies and
maintenance
26,000
29,049
3.049
27,364
Office supplies and postage
13,050
12.735
(315)
17,173
Telephone
19,500
19.657
157
18,942
Computer service
1,700
1,637
(63)
1,552
Publications in newspaper
2,300
5,652
3,352
1.460
Dues and memberships
4,000
6,133
2.133
6,520
Insurance, casualty
96.839
93,727
(3,112)
50,291
Colony rent
3.400
3,401
1
3.401
Payroll taxes
12.650
10.833
(1.817)
8.251
Employees' retirement
7.100
7,068
(32)
6,746
Employees' medical insurance
6,000
5.055
(945)
7.973
Municipal airport operating
expenses
1.700
2,001
301
6.030
Professional services
4,000
4.074
74
3,666
Employees' Christmas bonus
6.160
6.160
-
6.060
Miscellaneous
874
919
45
2,372
Shuttle bus expense
5,100
5,595
495
3.315
Freight
600
583
(17)
440
Musiac
540
540
-
540
City computer expense
1,988
1,988
-
2,028
Maintenance
Adult Recreation Center
309
386
77
984
Fisherman's Wharf
1.160
1.160
-
466
Church Street building
555
734
179
300
Municipal code
394
1,489
1,095
1.281
Trustee fees
465
465
-
465
Chamber of Commerce
1.200
1.200
-
1,200
Bad debts
-
-
-
1.097
Capital purchases
605
605
-
55,236
Total
Z
-393,662
2
'-'Z
(continued)
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
29
7-
CITY OF FAIRHOPE, ALABAMA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
BEACH DEPARTMENT
Salaries
Beach repairs and
maintenance
Beach decals
Payroll taxes
Total
SANITATION DEPARTMENT
Trash contract
Sanitation contract
Landfill charges
Rent
Capital purchases
Total
POLICE DEPARTMENT
Salaries
Gasoline and oil
Auto repairs and maintenance
Maintenance of radio
equipment
Cpurt supplies
j-''�Ll and police supplies
6nif orms
Training
Prisoner meals and expenses
Payroll taxes
Employees' retirement
Employees' medical insurance
NCIC data system
Miscellaneous
Repairs and general
maintenance
Capital purchases
Total
1986
1985
Amended
Over (Under)
Budget
Actual
Budget
Actual
$ 4,000
$ 4.202
$ 202
$ 4.031
10,000
8,802
(1,198)
11.332
-
-
-
3,490
350
300
(50)
325
14,350
13.304
- (1,046)
19.178
86,153
86,568
415
84.152
104,300
104,199
(101)
103.133
25,000
24.832
(168)
24,264
196
196
-
100
-
-
-
1.099
215,649
215,795
146
212.748
310,000
306,542
(3.458)
312,405
13,500
13,030
(470)
14.932
8,000
7,725
(275)
8,792
11500
1,904
404
1.735
600
351
(249)
1,225
4,500
4,725
225
6,849
3,200
3.500
300
3.256
274
274
-
387
10,000
11,352
1,352
7,489
22,500
21,842
(658)
22.197
18,500
18,287
(213)
18,200
32.000
32.000
-
30.421
3,600
3,600
-
3.600
153
153
-
100
7.500
7.182
(318)
4,519
41,588
41,588
-
23,750
477.415
474.055
(3.360)
459,857
(continued)
See accountants opinion and notes to the financial statements.
51 PARKER, FICKLING, HARTMANN 8 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
30
F
r"
F
CITY OF FAIRHOPE, ALABAMA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30. 1985
1986
1985
Amended
Over (Under)
Budget
Actual
Budget
Actual
FIRE DEPARTMENT
Salaries
$ 83,200
$ 83.602
$ 402
$ 75,997
Gasoline and oil
4,100
3.854
(246)
3,566
Supplies
11,000
12,009
1,009
5.209
Vehicle and equipment
repairs
19,000
17,336
(1.664)
19,470
Repairs and general
maintenance
3,000
2,831
(169)
4.030
Training
2,531
2,582
51
2,775
Insurance - Volunteer Fire
Department
1,100
-
(11100)
1,076
Miscellaneous
-
-
-
225
Payroll taxes
5,900
5,943
43
5.404
Employees' retirement
4.756
4,724
(32)
4,379
Employees' medical insurance
7.700
7.716
16
8,020
Capital purchases
-
-
-
5,401
Total
142,287
140,597
_
(1,690)
135,552
STREET DEPARTMENT
Salaries
277,000
270.674
(6,326)
265.623
Gasoline and oil
36,000
37.526
1,526
37,411
Repairs and maintenance -
vehicles and equipment
82.000
87,660
5.660
77.276
Materials, supplies and
landscaping
67.460
69,982
2,522
71.735
Equipment rental
750
750
-
2.750
Uniforms
6,000
5,989
(11)
5,309
Payroll taxes
19,800
19,313
(487)
18,883
Employees' retirement
16.200
15,909
(291)
15,873
Employees' medical insurance
33,473
32,457
(1,016)
32,684
Dredging
25.000
23,479
(1,521)
-
Sidewalks
22,434
22.434
-
13,704
Capital purchases
24,114
24,114
-
19,208
Total
610,231
- 610,287
56
560,456
(continued)
r--
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN d HANAK, P.C. CERTIFIED PUBLIC ACCOUNT
31
7
P_
CITY OF FAIRHOPE. ALABAMA
. GENERAL FUND
STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
1986 1985
Amended Over (Under)
Budget Actual Budget Actual
STAFF AGENCIES AND OTHER
Staff agencies:
Planning Board
$ 5,000
Harbor Board
-
Industrial Board
47
Other:
Fairhope Public Library:
Monthly transfer
36,499
Other expenses
618
Fireworks Committee
3.973
Baldwin County Civil
Defense
144
Total
46,281
TRANSFERS TO OTHER FUNDS
Transfers to debt service
funds
207.557
Drainage project L-SP-PF-
82-126
-
Transfers to Airport Improve-
ment Capital Project Fund
-
Total
207.557
TOTAL EXPENDITURES
2,105,226
$ 2.500 $
258
36,499
618
3.973
144
43.992
(2,500) $ 5,137
745
211 -
(2,289)
17,308
17.308
11,331
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES $ 21,963 16,942 $ (5,021)
Fund balance at beginning
of year 286,162
f
FUND BALANCE AT END OF YEAR $ 303,104
r See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
207,557
17,308
224,865
2,116.557
37,159
4,393
144
47,578
202.724
2.475
36,168
241.367
2,080,772
23.055
263,107
$ 286.162
A
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
SEPTEMBER 30, 1986
Federal State
Revenue
Gasoline
Recreation
Sharing
Taxes
Operating
ASSETS
CASH
In bank
$ 1
$153,092
$ 9,808
On hand
-
-
120
RECEIVABLES
U. S. Department of the Treasury
11,058
-
-
Due from other funds of
the City
-
-
-
Miscellaneous
-
-
1,500
TOTAL ASSETS
$ 11,059
$153.092
$ 11.428
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable, trade
Payroll taxes payable
Deferred income
Payable - other funds of the City
Total liabilities
FUND BALANCES
TOTAL LIABILITIES AND FUND BALANCES
$ - $ 821 $ 1,689
29
8,465
821 10,183
11,059 152,271 1,245
$ 11,059 $153,092 $ 11,428
See accountants' opinion and notes to the financial statements.
& NANAK, P.C. CERTIREO PUBLIC ACCOUNTANTS (Iti
1"
r
1.
32
Totals
Recreation Public (Memorandum Only)
Capital Library
Improvement Board 1986 1985
$ 47,655 $ 63,090 $273,646 $226,630
- - 120 60
11,058 -
12 - 12 -
- 1.127 2,627 1.017
$ 47.667 $ 64,217 $287.463 $227.707
$ - $ 2,744 $ 5.254 $ 3,492
223 252 509
375 375 -
8, 465 8,212
- 3.342 14.346 12.213
47.667 60,875 273,117 215,494
$ 47,667 $ 64.217 $287,463 $227,707
PARKER, FICKLING. HARTMANN i NANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE. ALABAMA
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
FOR THE YEAR ENDED SEPTEMBER 30, 1986
Federal
State
Revenue
Gasoline
Recreation
Sharing
Taxes
Operating
REVENUES
Taxes - local
$ -
$ -
$ 69,807
State of Alabama
-
56,322
-
United States Government
61.373
-
-
Interest
-
9,095
886
Other revenue
-
-
24,635
Transfers from others funds
-
-
3.322
Total revenues
61,373
65,417
98.650
EXPENDITURES
Street department
-
8,653
-
Transfers to other funds
50,315
13,299
-
Recreation department
-
-
98,002
Public Library Board
-
-
-
Total expenditures
50,315
21,952
98,002
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
11,058
43,465
648
Fund balance at beginning
of year
1
108,806
597
FUND BALANCE AT END OF YEAR
$ 11,059
$152.271
$ 1,245
See accountants' opinion and notes to the financial statements.
PARKER. FICKLINO, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
4
r
33
Totals
Recreation
Public
(Memorandum Only)
Capital
Library
Improvement
Board
1986
1985
$ 42.617
$ -
$112,424
$113,215
-
-
56,322
60.654
-
-
61,373
46.316
2,805
2,284
15.070
5.649
-
20,269
44,904
25,653
-
86,814
90,136
83,475
45,422
109,367
380,229
334,962
-
-
8.653
8,885
30,162
-
93.776
96.478
27,995
-
125.997
87,450
-
94,180
94.180
95,565
58,157
94,180
322,606
288,378
(12,735)
;15.187
57.623
46.584
60.402
45,688
215,494
168,910
$ 47.667
$ 60.875
$273,117
$215,494
g
-� PARKER, FICKUNG, HARTMANN B HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
34
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
FEDERAL REVENUE SHARING
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
1986 1985
CASH
In bank $ 1 $ 1
RECEIVABLE
U. S. Department of the Treasury 11,058 —
TOTAL ASSETS $ 11,059 $�_ 1
LIABILITIES AND FUND BALANCE
LIABILITIES $ — $ —
FUND BALANCE 11,059 1
TOTAL LIABILITIES AND FUND BALANCE $ 11,059 $ 1
i
1
I
r
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
J
r
35
I CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
FEDERAL REVENUE SHARING
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
1986
1985
Amended
Over (Under)
Budget
Actual
Budget
Actual
REVENUES
U. S. Department of Treasury
-
Revenue Sharing
$ 50,315
$ 61,373
$ 11,058
$ 46,316
EXPENDITURES
Transfers to the Fairhope
Public Library Board
50,315
50,315
-
46,316
EXCESS OF REVENUES OVER
EXPENDITURES
$ —
11,058
$ 11,058
-
Fund balance at beginning
of year
1
1
FUND BALANCE AT END OF YEAR
$ 11,059
$ 1
r-
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
36
r
CITY OF FAIRHOPE ALABAMA
CASH
TOTAL ASSETS
f
SPECIAL REVENUE FUNDS
STATE GASOLINE TAXES
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable, trade
FUND BALANCE
TOTAL LIABILITIES AND FUND BALANCE
1986 1985
$153.092 $109,044
$153,092 $109,044
$ 821 $ 238
15 2, 271 108,806
$153,092 $109,044
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
37
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
STATE GASOLINE TAXES
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
State of Alabama
Petroleum inspection fee
Gasoline excise tax (7 cent)
Gasoline excise tax (4 cent)
Interest earned
Total revenues
EXPENDITURES
Street materials and
supplies
Transfers to General Fund
Total expenditures
EXCESS OF REVENUES OVER
EXPENDITURES
Fund balance at beginning
of year
FUND BALANCE AT END OF YEAR
r
1986 1985
Amended Over (Under)
Budget Actual Budget Actual
$ 6,300 $ 6,328 $ 28 $ 6,305
31,900 32.696 796 32,556
16,800 17,298 498 18.032
8,500 9,095 595 2,261
63,500 65,417 1,917 59.154
7,540
8,653 1,113
8.885
13,299
13.299 —
20,000
20.839
21,952 1,113
28,885
$ 42,661
43,465 $ 804
30.269
108,806 78,537
$152,271 $108,806
See accountants' opinion and notes to the financial statements.
f
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
a
38
i
7
r-
r
CASH
On hand
In bank
Total cash
RECEIVABLES
Fairhope High School
TOTAL ASSETS
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
RECREATION OPERATING
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable, trade
Payroll taxes payable
Due to other funds of the City of Fairhope
General Fund
Recreation Capital Improvement Fund
Deposits held in escrow — Eastern Shore Pathway
TOTAL LIABILITIES
FUND BALANCE
TOTAL LIABILITIES AND FUND BALANCE
1986 1985
$ 120 $ 60
9,808 20,961
9,928 21,021
1,500 —
$ 11,428 $ 21,021
$ 1,689
$ 1,793
29
36
8,453
8,212
12
-
-
10,383
10,183
20,424
1,.245
597
$ 11,428
$ 21,021
See accountants' opinion and notes to the financial statements.
=a
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
r
0
r
39
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
RECREATION OPERATING
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
Cigarette tax
Beer tax
Transfer from Municipal
Golf Course
Parking at stadium
Miscellaneous
Fairhope High School
Donations for bicycle lane
Interest
Total revenues
XPENDITURES
Salaries
Payroll taxes
Employee medical insurance
Athletic equipment
Repairs, maintenance
and supplies
Telephone and utilities
Arts and crafts, clinics
Gasoline and oil
Audit
Adult and tourist
recreation program
Golf course
Colony rent
Rental
Bicycle lane, Scenic 98
Miscellaneous
Insurance
Retirement expense
Christmas bonus
Donation - Reserve police
Capital purchases
Total expenditures
(carried forward)
1986
1985
Over (Under)
Budget
Actual
Budget
Actual
$ 28,000
$ 23.531
$ (4,469)
$ 24,457
46,000
46.276
276
45,919
-
3.322
3.322
-
2,100
4.051
1,951
3.294
200
1.226
1,026
1,623
1,800
1.500
(300)
2,100
-
17.858
17.858
-
-
886
886
-
78.100
98,650
20.550
77,393
26.500
22.272
(4,228)
24,228
2,700
1.533
(1,167)
1.714
1.700
2.544
844
2,804
2,500
735
(1,765)
917
18,000
31,262
13,262
22,178
2,000
1,777
(223)
2,394
2,000
3.643
1,643
3.589
3.500
3.116
(384)
3.164
600
750
150
650
3,000
3,300
300
3,345
900
2,061
1.161
4,912
2,300
2.236
(64)
2,236
-
358
358
640
-
18,744
18,744
-
250
59
(191)
88
800
907
107
925
900
955
55
977
250
350
100
350
1.200
800
(400)
-
9,000
600
_(8,400)
12.339
78,100
98,002
19.902
87,450
(continued)
See accountants' opinion and notes to the financial statements.
-� PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
40
i
r
e
I-_ J
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
RECREATION OPERATING
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR SEPTEMBER 30, 1985
1986
Over (Under)
Budget Actual Budget
TOTAL EXPENDITURES
(brought forward) $ 78,100 $ 98,002 $ 19,902
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES $ - 648 $ 648
Fund balance at beginning
of year 597
FUND BALANCE AT END OF YEAR $ 1,245
See accountant's opinion and notes to the financial statements.
1985
Actual
$ 87,450
(10,057)
10,654
$ 597
�! PARKER, FICKLING, HARTMANN S HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
41
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
RECREATION CAPITAL IMPROVEMENT
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
CASH IN BANK
Recreation Project Improvement — checking
Recreation Project Improvement — savings
Total cash
RECEIVABLE
Due from Recreation Operating Fund
TOTAL ASSETS
LIABILITIES AND FUND BALANCE
LIABILITIES
FUND BALANCE
TOTAL LIABILITIES AND FUND BALANCE
1986 1985
$ 31,021 $ 44,614
16,634 15,788
47,655 60,402
12 —
$ 47,667 $ 60,402
47,667 60,402
$ 47,667 $ 60,402
r See accountants' opinion and notes to the financial statements.
e=
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
1 42
CITY OF FAIRHOPE, ALABAMA
F
SPECIAL REVENUE FUNDS
RECREATION CAPITAL IMPROVEMENT
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
Cigarette tax
Beer tax
Interest earned
Total revenues
EXPENDITURES
Transfers to debt service
fund
Golf project
Capital purchases
Total expenditures
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund balance at beginning
of year
FUND BALANCE AT END OF YEAR
1986 1985
Over (Under)
Budget Actual Budget Actual
$ 13,000
27,000
40,000
30,000
10.000
40,000
$ 11,766
30.851
2,805
45,422
30,162
15,000
12.995
58,157
(12,735)
60,402
$ 47,667
See accountants' opinion and notes to the financial statements.
G
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNT
$ (1,234)
3.851
2,805
5,422
162
5,000
12,995
18.157
$(12,735)
$ 12,226
30,613
3,174
46,013
30.162
30.162
15.851
44,551
$ 60.402
43
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
PUBLIC LIBRARY BOARD
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
CASH
NOW account
Flexifund account
Total cash
RECEIVABLES
State Department of Industrial Relations
State Social Security
Total receivables
TOTAL ASSETS
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable, trade
Payroll taxes and retirement payable
Deferred income - lease
TOTAL LIABILITIES
FUND BALANCE
TOTAL LIABILITIES AND FUND BALANCE
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNT,
1986
$ 26,237
36,853
63,090
1,127
1,127
$ 64,217
$ 2,744
223
375
3,342
60,875
$ 64,217
1985
$ 17,286
29,319
46,605
887
130
1,017
$ 47,622
$ 1,461
473
1,934
45,688
$ 47,622
N
44
r�
CITY OF FAIRHOPE, ALABAMA
SPECIAL REVENUE FUNDS
PUBLIC LIBRARY BOARD
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
1986
1985
Over Un er
Budget
Actual
Budget
Actual
REVENUES
Transfers from other funds
of the City of Fairhope
$ 86.814
$ 86.814
-
$ 83.475
Fines and lost books
3,400
5.223
1.823
5,099
Gifts and memorials
4,000
6.276
2,276
7.005
Copier receipts
-
133
133
252
Memberships - out of city
3,500
4,370
870
4,280
Interest income
1,200
2,284
1,084
2,475
Insurance refund
-
1,827
1.827
-
Baldwin County Library
System
-
200
200
-
State - Governor's
Discretionary Fund
1.500
Lease income
1,500
1,500
-
1,425
Miscellaneous income
-
740
740
575
Total revenues
100,414
109.367
8.953
106,086
EXPENDITURES
Salaries
47,587
47,229
(358))
46,310
Payroll taxes
4,250
3,128
122)
3,650
Book purchases and repairs
18,750
17.403
R.
1 347
18,722
Periodicals, film and microfilm
3,950
4.471
521
3,661
Supplies and postage
3,250
2,705
(545
3,005
Telephone
850
838
(12
838
Utilities
5,600
4,837
5,009
Repairs and maintenance
1,600
945
�763
655
1,727
Janitorial service
1,500
1.500
-
1.475
Audit and legal services
750
795
45
695
Miscellaneous
1,035
1,158
123
923
Travel and conventions
400
452
52
288
Audio visual
1,750
1,126
(624))
896
Bookkeeping
1,750
1.749
(1)
1,750
Childrens' programs
1,200
741
(459
546
Employees' hospitalization
insurance
1,849
1,913
64
2,900
Employees' retirement
2,143
2,218
75
2.198
Property taxes
1.000
972
(28)
972
Capital purchases
1,200
-
(1.200)
-
Total expenditures
100,414
94.180
(6,234)
95,565
EXCESS OF REVENUES OVER
EXPENDITURES
$ -
15,187
$ 15,187
10.521
Fund balance at beginning
of year 45.688 35,167
FUND BALANCE AT END OF YEAR $ 60,875 $ 45.688
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
�r
T 45
r
CITY OF FAIRHOPE, ALABAMA
SPECIAL ASSESSMENT FUNDS
I. COMBINING BALANCE SHEET
SEPTEMBER 30, 1986
Public Improvement
Assessment Funds
1977-1978 1982-1983
ASSETS
CASH
Checking and savings accounts
$ 22,012
Certificates of deposit
227,259
Bond sinking funds with trustee
59,249
Total cash
308,520
RECEIVABLES
Assessments (Note 4)
74,744
1977-78 Assessment Fund
-
1982-83 Assessment Fund
-
Total receivables
74,744
TOTAL ASSETS
$383,264
LIABILITIES AND FUND BALANCE
LIABILITIES
Due to 1977-78 Assessment Fund
$ -
Due to 1982-83 Assessment Fund
161
Due to City of Fairhope -
General Fund
4.311
General obligation bonds and
warrants payable (Note 8.9.
10. 11 and 12)
General obligation improve-
ment bonds payable - dated
December 1, 1978
120,000
General obligation various
purpose warrants payable -
dated December 1, 1978
92,400
General obligation warrants
payable - dated June 1, 1983
-
TOTAL LIABILITIES
216,872
FUND BALANCES (DEFICIT)
166,392
TOTAL LIABILITIES AND FUND BALANCES $383,264
$ 12,739
129,116
16,442
158,297
159,000
161
159,161
$317,458
339,662
339.662
(22, 204)
$317,458
Totals
(Memorandum Only)
1986 1985
$ 34,751
356.375
75,691
466,817
233.744
161
233,905
$700,722
120.000
92,400
339,662
556.534
144.188
$700,722
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
C _•
$ 36,031
353,827
75,889
465.747
298.084
835
298,919
$764,666
$ 835
2,741
160,000
115,500
350.062
629,138
135,528
$764,666
46
CITY OF FAIRHOPE. ALABAMA
SPECIAL ASSESSMENT FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30. 1985
Totals
(Memorandum Only)
Public Improvement 1986 1985
Assessment Funds Over
1977- 1982- Amended (Under)
1978 1983 Budget Actual Budget Actual
REVENUES
Interest earned
Assessments
$ 9,289
Bank deposits
22,201
Total revenues
31,490
EXPENDITURES
Debt service
interest
14,772
Trustee fees
937
Total
expenditures
15,709
EXCESS OF REVENUES
OVER (UNDER)
EXPENDITURES
15.781
Fund balances (deficit)
at beginning of
year
150,611
FUND BALANCES
(DEFICIT) AT
END OF YEAR
$166,392
$ 12,857 $ 22,500 $ 22,146
11,782 32,000 33,983
24,639 54.500 56,129
30,260 45.031 45,032
1.500 2.437 2,437
$ (354) $ 33,046,
1,983 55.386
1.629 88,432
1 49.389
2,436
31.760 47,468 47.469 1 51,825
(7,121) $ 7,032 8,660 $ 1.628 36.607
(15,083) 135,528 98,921
$(22,204) $144,188 $135.5 28
;gee accountants' opinion and notes to the financial statements.
I
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
SEPTEMBER 30, 1986
12-1-78
6-1-82
4-1-82
7-1-76
G. 0.
G. 0.
G. 0.
G. 0.
Various
Warrant
ASSETS
Refunding
Recreational
Purpose
Series
Warrants
Warrants
Warrants
1982
CASH AND INVESTMENTS
Sinking funds with
trustee
$ 98,776
$ -
$ 30,487
$ -
Sinking funds - cash
-
17,127
-
1,433
NOTES RECEIVABLE
-
-
83,976
-
ACCRUED INTEREST
RECEIVABLE
-
-
6,425
-
TOTAL ASSETS
$ 98,776
$ 17.127
$120,888
$ 1,433
LIABILITIES AND FUND BALANCE
LIABILITIES
Matured interest payable
$ 52
$ -
$ -
$ -
TOTAL LIABILITIES
52
-
-
-
FUND BALANCES - RESERVED
FOR DEBT SERVICE
98,724
17,127
120,888
1,433
TOTAL LIABILITIES AND
FUND BALANCES
$ 98,776
$ 17,127
$120,888
$ 1,433
See accountants' opinion and notes to the financial statements.
PARKER, FICKLINO, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS -
47
Mortgage
Payable
Totals
Central
6-1-83
(Memorandum Only)
Bank of
G. 0.
The South
Warrants
1986
1985
$ -
$ 46,782
$176,045
$162,289
-
-
18,560
15,387
-
-
83,976
100.771
-
-
6,425
7,601
S -
$ 46,782
$285,006
$286,048
$ - $ - $ 52 $ -
52 -
- 46,782 284,954 286.048
$ - $ 46,782 $285,006 $286,048
I
PARKER, FICKLING, HARTMANN 41 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
Interest income
Transfers from General Fund
Transfers from Recreation
Capital Improvement Fund
Total revenues
EXPENDITURES
Debt service payments
Principal
Interest
Total expenditures
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund balances at beginning of year
FUND BALANCES AT END OF YEAR
12-1-78
6-1-82
4-1-82
7-1-76
G. 0.
G. 0.
G. 0.
G. 0.
Various
Warrant
Refunding
Recreational
Purpose
Series
Warrants
Warrants
Warrants
1982
$ 4,843
$ 1,187
$ 8,305
$ 74
70,625
-
13,641
-
-
30,162
-
-
75,468
31,349
21,946'
74
50,000
20,000
31,900 -
15,625
8,250
9,020 -
65,625
28,250
40,920 -
9,843
3,099
(18,974) 74
88,881
14,028
139,862 1,359
$ 98,724
$ 17,127
$120,888 $ 1,433
See accountants' opinion and notes to the financial statements.
PARKER, FiCKLING, HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
48
Totals
(Memorandum Only)
r Mortgage
Payable
1986
1985
Central
6-1-83
Over
Bank of
G. 0.
Amended
(Under)
The South
Warrants
Budget
Actual
Budget
Actual
$ -
$ 2.800
$ 16.370
$ 17,209
$ 839
$ 18,913
5,504
117.787
207.557
207,557
-
202.724
-
-
30,162
30.162
-
30,162
5,504
I
120.587
254,089
254,928
839
251,799
4,500
29.600
129.500
136,000
6.500
124,500
1,004
86,123
125,719
120,022
(5,697)
128.080
5,504
115,723
255,219
256,022
803
252,580
_ -
4,864
$ (1,130)
(1,094)
$ 36
(781)
Irw
-
41,918
286.048
286,829
$ -
$ 46,782
$284,954
$286,048
PARKER. PICKLING. HARTAMNN t HANAK, P.C. CERTIFIED PUELK ACCOUNTANTS
49
i-
r
Cash
Receivable - FAA
ZC = ASSETS
LIABILITIES AND FUND BAIaM
LIABILITIES
Accounts payable, trade
Deposits held in escraa
Due to the City of Fairhope -
General Fund
OIAL LIABILITIES
UM BALANCES (DEFICIT)
WAL LIABILITIES AND
FUND BALANCES
CITY OF FAIRHOPE, ALABAMA
CAPITAL PROJECT FUNDS
COMBINING BALANCE SHEET
SEPTEMBER 30, 1986
Municipal Street Airport
Golf Course Drainage Impramment
$ - $ 169 $ 683
- - 144,462
$ - $ 169 $145.145
Totals
(Mmarandun On1v)
1986 1985
$ 852 $189,904
144,462 -
$145,314 $189.904
$ 2,896
$149.487
$152,383
$ -
-
-
-
179,413
6,159
-
6,159
5,796
9,055
149,487
158,542
185,209
(8,886)
(4,342)
(13.228)
4,695
$ 169
$145,145
$145,314
$189,904
See accountants' opinion and notes to the financial status.
^� PARKER, FICKLING, HARTMANN S HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
CAPITAL PROJECT FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
Federal grants
CDBG
FAA
State grant
Program income
Donations
Transfers from the General Fund
Interest
Total revenues
EXPENDITURES
Interest
Administration
Engineering
Construction costs
Land acquisition
Donated land
Appraisal, legal and land survey
Testing and other
Ineligible costs
Transfer to Recreation
Operating Fund
Total expenditures
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund balances (deficit) at
beginning of year
FUND BALANCES (DEFICIT)
AT END OF YEAR
Municipal Street Airport
Golf Course Drainage Improvements
$ - $ 64,164 $ -
- 1,042,623
- 22,500
313 - -
- - 17,308
10,426 - 477
10,739 64,164 1,082,908
10,552
-
-
-
11,996
1,539
-
-
86,422
-
62,613
992,335
-
-
4.840
-
-
2,012
-
-
103
3,322
-
-
13,874
74,609
1,087,251
(3,135)
(10,445)
(4,343)
3,135
1,559
1
$ -
$ (8,886)
$ (4,342)
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING. HARTMANN & HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
I0.{
50
Totals
_
(Memorandum Only)
1986
1985
Over
(Under)
Budget
Actual
Budget
Actual
$ 64,164
$ 64.164
$ -
103.500
1,042,623
1,042,623
-
266,511
22.500
22,500
-
-
-
-
-
550
-
313
313
65.504
-
17,308
17.308
36,168
-
10,903
10,903
3.170
1.129,287
1.157.811
28,524
475,403
-
10,552
10,552
-
13,535
13,535
-
16.003
86,422
86,422
-
45.767
1,054,948
1,054.948
-
88.341
4,840
4.840
-
239.920
-
-
-
65.504
2.012
2.012
-
7.347
-
-
-
35
103
103
-
353
-
3.322
3,322
-
1.161.860
1,175.734
13.874
463,270
$ (32.573)
(17.923)
$ 14,650
12,133
4, 695
$ (13.228)
(7,438)
$ 4.695
z
cl PARKER, FICKLING, HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
51
CITY OF FAIRHOPE, ALABAMA
CAPITAL PROJECT FUNDS
MUNICIPAL GOLF COURSE
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
1986
ASSETS
CASH
TOTAL ASSETS
LIABILITIES AND FUND BALANCE
LIABILITIES
Deposits held in escrow
FUND BALANCE
TOTAL LIABILITIES
AND FUND BALANCE
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS-
19 85
i
$182,548
$182,548
$179, 413
3,135
$182,548
52
J CITY OF FAIRHOPE, ALABAMA
F
CAPITAL PROJECT FUNDS
MUNICIPAL GOLF COURSE
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
FOR THE YEARS ENDED SEPTEMBER 30. 1986 AND 1985
1986 1985
REVENUES
Donations $ 313 $ -
Interest 10,426 3,170
Total revenues 10,739 3,170
EXPENDITURES
Interest expense 10,552 -
Transfer to Recreation
Operating Fund 3.322 -
Other - 35
Total expenditures 13,874 35
EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (3.135) 3,135
Fund balance at beginning of year 3,135 -
FUND BALANCE AT END OF YEAR $ - $ 3.135
j See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS-
53
1 CITY OF FAIRHOPE, ALABAMA
Cash
TOTAL ASSETS
CAPITAL PROJECT FUNDS
STREET DRAINAGE
(COMMUNITY DEVELOPMENT BLOCK GRANT NO. L-SP-PF-84-034)
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable, trade
Due to the City of Fairhope - General Fund
Total liabilities
FUND BALANCE
TOTAL LIABILITIES AND FUND BALANCE
1986
$ 169
$ 169
$ 2.896
6,159
9.055
(8.886)
$ 169
j..
(� See accountants' opinion and notes to the financial statements.
I
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS-
19 85
$ 7,355
$ 7.355
5,,796
5.796
1.559
$ 7.355
54
j CITY OF FAIRHOPE, ALABAMA
r
r
Li
r
CAPITAL PROJECT FUNDS
STREET DRAINAGE
(COMMUNITY DEVELOPMENT BLOCK GRANT NO. L-SP-PF-84-034)
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
REVENUES
Federal grants - CDBG
EXPENDITURES
Administration
Drainage improvements
Total expenditures
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund balance at beginning
of year
FUND BALANCE AT END OF YEAR
1986
1985
Over (Under)
Budget
_Actual
Budget
Actual
$ 64,164
$ 64,164
$ -
$103,500
11,996
11,996
-
13,600
62,613
62,613
-
88,341
74,609
74,609
-
101,941
$(10,445)
(10,445)
$ -
1,559
1,559 -
$ (8,886) $ 1,559
See accountants' opinion and notes to the financial statements.
f
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNT
' 55
r-
CITY OF FAIRHOPE, ALABAMA
CAPITAL PROJECT FUNDS
AIRPORT IMPROVEMENT
(FEDERAL AVIATION ADMINISTRATION PROJECT NO. 3-01-0029-01-83)
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
1986 1985
Cash $ 683 $ 1
Receivable - FAA 144,462 -
TOTAL ASSETS $145,145 $ 1
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable $149,487 $ -
Total liabilities 149,487
FUND BALANCE (DEFICIT) (4,342) 1
TOTAL LIABILITIES AND FUND BALANCE $145,145 $ 1
See accountants' opinion and notes to the financial statements.
- PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
r-�
56
CITY OF FAIRHOPE, ALABAMA
CAPITAL PROJECT FUNDS
AIRPORT IMPROVEMENT
(FEDERAL AVIATION ADMINISTRATION PROJECT NO. 3-01-0029-01-83)
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30. 1985
REVENUES
Federal grants - FAA
Donation - 24.2 acres real
estate
Transfers from General Fund
Program income - fee for plans
State grant
Interest income
Total revenues
EXPENDITURES
Construction
Administration
Architectural engineering -
basic fees
Other architectural
engineering fees
Appraisal, legal and land
survey
Land acquisition
Donated land
Ineligible costs
Total expenditures
EXCESS OF REVENUES OVER
(UNDER) EXPENDITURES
Fund balance (deficit) at
beginning of year
FUND BALANCE (DEFICIT)
AT END OF YEAR
1986
Over Un er
Budget Actual Budget
$1,042,623
22,500
1.065,123
992,335
1,539
86,422
2.012
4,840
103
1.087.251
$ (22,128)
$1.042,623
17,308
22,500
477
1,082,908
17,308
477
17,785
992,335 -
1,539 -
86.422 -
2.012
4,840
103
1,087.251
(4.343)
1
$ (4,342)
See accountants' opinion and notes to the financial statements.
i PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTA
4_
$ 17,785
1985
Actual
$266.511
65,504
36,168
550
368,733
2.403
45,063
704
7,347
239.920
65.504
353
361,294
7.439
(7,438)
$ 1
CITY OF FAIRHOPE, ALABAMA
ALL PROPRIETARY FUND TYPES
COMBINING BALANCE SHEET
SEPTEMBER 30, 1986
Water and
Electric
Natural Gas
Wastewater
ASSETS
Fund
Fund
Fund
CURRENT ASSETS
Cash
Checking, money market and
certificates of deposit
$ 844,970
$ 332,930
$ 173,696
Sinking fund accounts (Note 7)
10,170
42,816
220.406
Total cash
855,140
375,746
394,102
Receivables
Utility customers
422,357
55.924
-
Other receivables
141,965
424
6.811
Allowance for uncollectible accounts
(28,168)
(54)
(70)
Total receivables
536,154
56.294
6.741
Materials inventories
94,501
74.219
38,507
Prepaid operating expenses
20,632
6.093
20,121
Total current assets
1,506,427
512,352
459,471
SINKING FUNDS - Restricted
Reserve and replacement funds (Note 7)
-
180,793
164,740
PROPERTY, PLANT AND EQUIPMENT (at cost)
(Note 3)
Plant and distribution system
3,534,795
1,956,689
7,842.887
Vehicles and equipment
389,891
276,040
181,191
3,924.686
2,232,729
8,024,078
Accumulated depreciation
(1,472,302)
(1,201,063)
(2,256,107)
Property, plant and
equipment - net
2,452,384
1.031,666
5.767,971
OTHER ASSETS
Unamortized debt cost
-
-
28,420
Interfund receivables (Note 2)
-
_ 64,065
74,693
Total other assets - 64,065 103,113
TOTAL ASSETS $3.958,811 $1,788.876 $6.495.295
(continued)
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
57
1
17
Totals
(Memorandum Only)
1986 1985
$ 1.351,596
273,392
1,624,988
478,281
149.200
(28, 292)
599.189
207,227
46,846
2,478,250
345.533
13.334.371
847,122
14,181,493
(4,929,472)
9,252,021
$ 1.337.918
282, 910
1.620,828
520.945
30,882
(67, 419)
484,408
208,034
31,916
2,345,186
314.057
12,877.559
708.075
13,585,634
(4,495,500)
9.090,134
28.420
30,070
138,758
257,011
167,178
287,081
$12,242.982
$12,036,458
(continued)
PARKER, FICKLING, HARTMANN t HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE. ALABAMA
ALL PROPRIETARY FUND TYPES
COMBINING BALANCE SHEET (CONTINUED)
SEPTEMBER 30, 1986
Water and
Electric
Natural Gas
Wastewater
Fund
Fund
Fund
LIABILITIES AND CAPITALIZATION
CURRENT LIABILITIES
Accounts payable, trade $
472,220
$ 67,087
$ 13,429
Accrued expenses and taxes
Payroll taxes
2,269
1,688
1,779
Employees' retirement
2,466
1,782
1,974
Interest
1,326
3,600
110.140
Utililty taxes
1,516
-
-
Total accrued expenses
and taxes
7,577
7,070
113,893
Customer deposits
370,830
-
-
Revenue bonds and general obligation
warrants payable (Note 8. 10, and 11) 47,000
45,000
80,000
Notes payable, Central Bank of the
South (Note 8, 10 and 11)
2,450
-
-
Total current liabilities
900,077
119,157
207.322
NON CURRENT LIABILITIES
Revenue bonds and general obligation
warrants payable (Note 8, 10 and 11)
47,000
225,000
3,328,100
Notes payable, Central Bank of
the South (Note 8, 10 and 11)
-
-
-
Interfund payables (Note 2)
149,794
5,515
8,135
Total non current
liabilities
196,794
230,515
3,336,235
TOTAL LIABILITIES
1,096,871
349,672
3,543,557
CAPITALIZATION
Contributions in aid of construction
United States Government
791,135
Customers and developers
93.077
153,231
1.013,491
Contributed capital from other
funds of the City of Fairhope
38.147
Retained earnings
2,768,863
1,285.973
1,108,965
Total capitalization
2.861,940
1.439.204
2,951,738
TOTAL LIABILITIES AND CAPITALIZATION $
3,958.811
$ 1,788.876
$ 6.495.295
See accountants' opinion and notes to the financial statements.
Ir
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
58
F
Totals
(Memorandum Only)
1986
1985
$ 552,736 $
439.615
5,736
5,474
6,222
6,362
115,066
117.517
1,516
3,528
128,540
132,881
370,830
350,676
172,000
168,000
2,450
9,200
1,226,556 1,100,372
3,600,100
163,444
3,763,544
4,990,100
791,135
1,259,799
38,147
5,163,801
7,252,882
3,722,100
2,501
268,693
4,043,294
5,143,666
818.570
1,213,779
38,147
4,822,296
6,892.792
r
PARKER, FICKLING, HARTMANN d HANAK, P.C. CERTIFIED ►UBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
ELECTRIC FUND
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
1986 1985
CURRENT ASSETS
Cash
Operating - checking and money market $ 313,243 $ 525.179
Passbook savings accounts 16,040 59,115
Certificates of deposit 515,687 385.637
Sinking fund - general obligation
electric warrants 10,170 12,614
Total cash 855,140 982,545
Receivables
Utility customers
422,357
473,959
Alabama Municipal Electric Authority
129,600
-
Accrued interest
6,682
7,126
Federal Emergency Management Agency
-
13,798
Miscellaneous
5,683
223
Allowance for uncollectible accounts
(28,168)
(65.753)
Total receivables
536,154
429,353
Materials inventories
94,501
96,552
Prepaid operating expenses
20,632
12,711
Total current assets
1,506,427
1,521,161
PROPERTY, PLANT AND EQUIPMENT (at cost)
Electric plant and distribution system 3,534,795 3,248.351
Vehicles and equipment 389,891 335.823
3,924,686 3,584,174
Accumulated depreciation (1,472,302) (1,330.888)
Total property, plant and equipment - net 2,452,384 2.253.286
OTHER ASSETS
Unamortized debt issue cost - 139
TOTAL ASSETS $3,958,811 $3,774,586
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
59
w-
LIABILITIES AND CAPITALIZATION
r
1986
1985
CURRENT LIABILITIES
,s
Accounts payable, trade
$ 472,220
$ 359,930
Accrued expenses and taxes
Payroll taxes
2,269
2,140
Utility taxes
1,516
3,528
i
Employees' retirement contribution
2,466
2,534
Interest
1.326
1,807
Total accrued expenses and taxes
7.577
10,009
Utility customer deposits
370.830
350.676
1
4
General obligation electric warrants
47,000
45,000
('
Note payable, Central Bank of The South
2,450
9.200
Total current liabilities
900,077
774,815
NON CURRENT LIABILITIES
General obligation electric warrants
47,000
94,000
4_
Note payable, Central Bank of The South
-
2,501
Interfund loans payable, City of Fairhope
General Fund
13.036
4,773
Natural Gas Fund
62.065
185.967
Water and Wastewater Fund
74,693
71.044
Total non current liabilities
196,794
358,285
1�
TOTAL LIABILITIES
1,096,871
1,133,100
CAPITALIZATION
i
Contributions in aid of construction
93.077
86,310
Retained earnings
2,768.863
2,555,176
Total capitalization
2.861.940
2,641.486
TOTAL LIABILITIES AND CAPITALIZATION
$3.958,811
$3,774,586
PARKER, FICKIING, HAVMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
N
CITY OF FAIRHOPE. ALABAMA
ELECTRIC FUND
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
OPERATING REVENUES
Sales of electric energy
Other charges, sales and
receipts
Total operating revenues
OPERATING EXPENSES
Chamber of Commerce contract
Purchased power
Operating, maintenance and
administrative salaries
(Note 13)
Audit fees
Bad debts
Bond issue expense
Christmas bonuses
Computer expenses
Electric energy furnished
other divisions of the
City (Note 2)
Dues and memberships
Engineering services
Gasoline and oil
Insurance - casualty
Insurance - employees' group
Legal fees
Plant maintenance and
operating supplies
Maintenance - vehicles and
equipment
Miscellaneous
Office supplies and postage
Payroll taxes
Professional services
Emplo ees' retirement
Telephone
Travel, training and school
Uniforms
Total operating
expenses
1986
AmendedOver (Under)
Budget Actual Budget
1985
Actual
$4,685,000
$4,721,544
$ 36,544
$4,492,323
41,474
42,845
1,371
40.569
4.726,474
4.764,389
37,915
4,532,892
1.200
1.200
-
1.200
3,342.000
3.278,864
(63,136)
3.232,824
331,380
324,761
(6,619)
289,730
3,391
3,391
-
3,245
20,000
20,000
-
20.004
139
139
-
185
1.565
1,565
-
1,380
4.000
4,213
213
3,508
92.000
91,074
(926
81.513
28,000
26,005
(1,9951
30,961
20,000
20.435
435
24,791
6,200
6.049
((151))
7.085
43,000
42,892
(108)
27,375
27,500
27,371
129
25,779
400
1.102
702
212
63,400
74,662
11.262
57,586
22,785
25,963
3,178
13,994
2,284
2.323
39
42
7,700
9,360
1,660
8,107
25,400
24,977
(423)
25,754
4,400
6,136
1,736
3,197
20,500
20,516
16
19,035
5.000
4,905
(95
4,179
4,380
4,180
(200
4,471
2,800
2,591
209
2,497
4,079,424
4,024,674
(54,750)
3,888,654
EARNINGS FROM OPERATIONS
BEFORE DEPRECIATION, OTHER
INCOME AND OTHER DEDUCTIONS
(carried forward) 647,050 739,715 92,665
See accountants' opinion and notes to the financial statements.
644,238
PARKER. FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
1
60
w.
1986
1986
1985
Amendea
Over Un er
Budget
Actual
Budget
Actual
EARNINGS FROM OPERATIONS
BEFORE DEPRECIATION, OTHER
INCOME AND OTHER DEDUCTIONS
(brought forward) $
647,050
$ 739,715
$ 92,665
$ 644,238
OTHER INCOME (DEDUCTIONS)
Federal Emergency Manage-
ment Agency
-
-
-
13.798
Interest expense
(8,000)
(7,418)
582
(10,494)
Interest income
66,000
69,284
3,284
103,268
Earnings transferred to the
General Fund of the City
of Fairhope
(450,000)
(450,000)
-
(458.000)
Total other income
(deductions)
(392,000)
_(388,134)
3,866
(351,428)
dET INCOME BEFORE DEPRECIATION
255,050
351,581
96,531
292,810
DEPRECIATION EXPENSE
On assets acquired with own
funds
131,150
137,894
6,744
127.024
On assets acquired from contri-
butions in aid to construction
3,350
3,520
170
3,211
Total depreciation
expense
134,500
141,414
6,914
130.235
NET INCOME
120.550
210,167
89,617
162.575
Add credit arising from transfer
of depreciation to contributions
in aid to construction account
3,350
3,520
170
3,211
Net income transferred to
retained earnings $
123,900
213,687
$ 89.787
165,786
Retained earnings at beginning
of year
2,555,176
2.389,390
RETAINED EARNINGS AT END OF YEAR
$2,768,863
2.555.176
PARKER. FICKLING, HARTMANN L HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
I
CITY OF FAIRHOPE, ALABAMA
ELECTRIC FUND
COMBINED STATEMENT OF CHANGES IN FINANCIAL POSITION
FOR THE YEARS ENDED SEPTEMBER 30, 1986 AND 1985
1986
1985
SOURCES OF WORKING CAPITAL
From operations
Net earnings
$210.167
$162,578
Add charges to earnings not
requiring current working capital
Depreciation and amortization
141,553
130,420
Working capital provided
by operations
351,720
292,998
Contributions and grants in aid
of contstruction
10,287
5,822
Increase in interfund payables
-
6.626
Total sources of working
capital
362,007
305,446
USES OF WORKING CAPITAL
Acquisition of property, plant
and equipment
340.512
206.878
Reduction of long term debt
49,501
54.203
Decrease in interfund payables
111,990
-
Total uses of working capital
502.003
261.081
INCREASE (DECREASE) IN WORKING CAPITAL
$(139,996)
$ 44,365
WIN
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
t
I
61
1986
NET CHANGES IN ELEMENTS OF WORKING CAPITAL
INCREASES (DECREASES) IN CURRENT ASSETS
Cash $ (127,405)
Receivables 106.801
Inventories (2.051)
Prepaid expenses 7,921
Increase (decrease) in current assets (14,734)
INCREASES (DECREASES) IN CURRENT LIABILITIES
Accounts payable, trade 112.290
Accrued expenses (2,432)
Customer deposits 20.154
Revenue bonds, notes and general
obligation warrants payable (4,750)_,
Increase in current liabilities 125.262
INCREASE (DECREASE) IN WORKING CAPITAL
$ (139,996)
1985
111,951
(20.201)
9,265
4.763
105.778
14.585
3,754
39.245
3,829
61.413
$ 44,365
ra
PARKER, FICKLING. HARTMANN a HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
NATURAL GAS FUND
BALANCE SHEET
SEPTEMBER 30, 1986 AND 1985
ASSETS
C
1986
1985 -
CURRENT ASSETS
Cash
Operating - checking and money market
$ 215,706
$ 36,009
Certificates of deposit
117,224
226,882
Bond sinking fund
42.816
43,860
Total cash
375.746
306,751
Receivables
Bulk gas customer - City of Daphne
55,924
46,986 as
Miscellaneous
424
1,619 -
Allowance for doubtful accounts
(54)
(687)
Total receivables
56,294
47,918
Materials inventories
74,219
70,576
Prepaid operating expenses
6,093
6,596
Total current assets
512,352
431,841
SINKING FUNDS
First mortgage revenue bonds, 1961
~
series, reserve and replacement
funds
180.793
176,628
PROPERTY, PLANT AND EQUIPMENT (at cost)
Natural gas plant and distribution system
1,956.689
1,867,321
Vehicles and equipment
276.040
205.088 -
2,232,729
2,072.409
Accumulated depreciation
(1,201,063)
(1,124,570)
Total property, plant and equipment - net
1,031,666
947,839
OTHER ASSETS
Interfund loans receivable. City of Fairhope
Electric Fund
62,065
185.967
Water and Wastewater Fund
2.000
-
Total other assets
64,065
185.967 -�
TOTAL ASSETS
$1.788,876
$1,742.275
See accountants' opinion and notes to the financial statements.
PARKER. FICKLINO. HARTMANN i MANAK. P.C. CERTIFIEDPUBLICACCOUNTANTS -
s `"
f.-
62
r-,
LIABILITIES AND CAPITALIZATION
1986
1985
CURRENT LIABILITIES
Accounts payable, trade
$ 67,087
$ 63,104
Accrued expenses and taxes
Payroll taxes
1,688
1.632
Employees' retirement contribution
1,782
1.859
Interest
3,600
4,200
Total accrued expenses and taxes
7,070
7.691
First mortgage revenue bonds, 1961 series
45.000
45.000
Total current liabilities
119,157
115,795
NONCURRENT LIABILITIES
First mortgage revenue bonds, 1961 series
225.000
270.000
Interfund loans payable. City of Fairhope
General Fund
5,515
4,458
Total noncurrent liabilities
230,515
274,458
TOTAL LIABILITIES
349,672
390,253 .
CAPITALIZATION
Contributions in aid of construction
153.231
156.445
Retained earnings
1,285,973
1,195.571
Total capitalization
1.439,204
1,352,022
r, TOTAL LIABILITIES AND CAPITALIZATION $1.788.876
f
l
$1,742,275
PARKER, FICKUNG, HARTMANN i HANAK, P.C. CERTIFIED ►USUC ACCOUNTANTS -
CITY OF FAIRHOPE, ALABAMA
NATURAL GAS FUND
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30, 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30, 1985
OPERATING REVENUES
Sales of natural gas
Miscellaneous sales and
receipts
Total operating revenues
OPERATING EXPENSES
Natural gas purchases
Chamber of Commerce contract
Professional services
Operating, maintenance and
administrative salaries
(Note 13)
Audit and accounting fees
Christmas bonuses
Computer expenses
Dues and memberships
Engineering services
Gasoline and oil
Insurance - casualty
Insurance - employees' group
Legal fees
Plant maintenance and
operating supplies
Maintenance - vehicles and
equipment
Miscellaneous
Office supplies and postage
Payroll taxes
Employees' retirement
Telephone
Utilities
Travel, training and school
Trustee fees
Uniforms
Distribution of joint
revenue - net
1986 1985
AmendedOver Un er
Budget Actual Budget Actual
$2,395,000 $2,393,693 $ (1,307) $2,463,463
120
1,376,000
1.200
4.000
2.039
2;393;T32
1.377.252
1,200
6,486
1,919
6-12
1,252
2.486
372
2,463,955
1,492,180
1.200
2,175
228,380
224,125
(4,255)
222.250
3,391
3,391
-
4,310
1,480
1,480
-
1,540
1.988
1.987
(1)
1,988
1.100
1.077
(23)
897
15,000
15,046
46
11,775
8,000
8,124
124
8.929
25,000
24,019
(981)
12.504
25,300
25,298
(2)
24,771
8.500
7.973
(527)
5.890
22,300
21.269
(1,031)
18,246
13,000
12,432
(568)
19,360
900
853
(47)
165
7,200
8,193
993
12,879
19.000
19.062
62
17,936"
15,600
15.840
240
15,228
3,000
3,053
53
3.010
1,500
1,528
28
1.355
1.935
1,681
(25 4)
1,868
500
500
-
500
2,600
2,476
(124)
2.523
Total operating expenses 1,786,874
3.033 3,033 3.666
1,787,378 504 1,887.145
EARNINGS FROM OPERATIONS
BEFORE DEPRECIATION,
OTHER INCOME AND OTHER
DEDUCTIONS
(carried forward) 608,246 608,354 108
See accountants' opinion and notes to the financial statements.
576,690
k -
I._
PARKER. FICKLING. HARTMANN & HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS -
63
1-1
1986
1985
Amended
Over Un er
Budget
Actual
Budget
Actual
EARNINGS FROM OPERATIONS
BEFORE DEPRECIATION,
OTHER INCOME AND OTHER
DEDUCTIONS
(brought forward)
$ 608,246
$ 608,354
$ 108
$ 576,690
OTHER INCOME (DEDUCTIONS)
Interest expense
(11.100)
(11,100)
-
(12.900)
Interest income
40,000
41.469
1,469
39.587
Earnings transferred to
the General Fund of
the City of Fairhope
(450,000)
(450,000)
-
(458,000)
Purchased gas refunds
(adjustments)
(26,387)
(26,387)
-
1,267
Total other income
(deductions)
(447,487)
(446,018)
1,469
(430,046)
NET INCOME BEFORE DEPRECIATION
160.759
162,336
1,577
146,644
DEPRECIATION EXPENSE
On assets acquired with
own funds
65,835
71.940
6,105
64,282
On assets acquired from
contributions in aid
to construction
4,165
4.553
388
4,520
Total depreciation
expense
70,000
76.493
6,493
68,802
NET INCOME (LOSS)
90,759
85,843
(4,916)
77.842
Add credit arising from
transfer of depreciation
to contributions in aid
to construction account
4,165
4,553
388
4,520
Net income (loss) transferred
to retained earnings
$ 94.924
90,396
$ (4,528)
82,362
Retained earnings at
beginning of year
1,195,577
1,113.215
MTAINED EARNINGS AT END OF YEAR
$1,285.973
$1,195,577
PARKER, FICKLING, HARTMANN t HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS w
CITY OF FAIRHOPE, ALABAMA
NATURAL GAS FUND
STATEMENT OF CHANGES IN FINANCIAL POSITION
FOR THE YEARS ENDED SEPTEMBER 30, 1986 AND 1985
1986
1985
SOURCES OF WORKING CAPITAL
From operations
_
Net earnings
$ 85,843
$ 77.842
Add charges to earnings not
requring current working capital
Depreciation and amortization
76,493
68,802
Working capital provided by operations
162,336
146,644
Contributions and grants in aid of
construction
1,339
12,479 r�
Increase in interfund payables
1,057
- _
Decrease in interfund receivables
121,902
13.384
Total sources' of working capital
286,634
172.507
USES OF WORKING CAPITAL
Increase in sinking funds
4,165
4,354
Acquisition of property, plant
and equipment
160.320
69,174
Reduction of long term debt
45.000
45.000
Decrease in interfund payables
-
1,068 _
Total uses of working capital
209,485
119,596
INCREASE IN WORKING CAPITAL
$ 77,149
$ 52,911
r
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS- .
64
1986
NET CHANGES IN ELEMENTS OF WORKING CAPITAL
INCREASES (DECREASES) IN CURRENT ASSETS
Cash $ 68,995
Receivables 8.376
Inventories 3.643
Prepaid expenses (503)
Increase in current assets 80,511
INCREASES (DECREASES) IN CURRENT LIABILITIES
Accounts payable, trade 3,983
Accrued expenses (621)
Increase (decrease) in current
liabilities 3,362
INCREASE IN WORKING CAPITAL $ 77,149
L.
I
i
PARKER, FICKIiNG. HARTMANN 4 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS -
1985
$ 55.803
(14, 384)
1.008
1,141
43,568
(8,864)
(479)
(9,343)
$ 52,911
CITY OF FAIRHOPE, ALABAMA
WATER AND WASTEWATER FUND
BALANCE SHEET
SEPTEMBER 30. 1986 AND 1985
ASSETS
CURRENT ASSETS
Cash
Operating account
Passbook savings accounts
Certificates of deposit
Bond sinking fund
Total cash
Receivables
Miscellaneous
Deposits on equipment
Allowance for doubtful accounts
Total receivables
Materials inventories
Prepaid operating expenses
Total current assets
SINKING FUNDS
Reserve and replacement funds
PROPERTY, PLANT AND EQUIPMENT (at cost)
Water and wastewater systems
Vehicles and equipment
Accumulated depreciation
Total property, plant and
equipment - net
OTHER ASSETS
Unamortized debt cost
Interfund loans receivable. City of Fairhope
Electric Fund
Total other assets
TOTAL ASSETS
$ 75,367
992
97,337
220,406
394,102
845
5,966
(70)
6,741
38.507
20,121
459,471
164,740
7,842,887
181,191
8,024,078
(2,256,107)
5,767,971
28,420
74,693
103,113
$6,495,295
See accountants' opinion and notes to the financial statements.
1985
$ 25,040
3,461
76,595
226,436
331,532
2,150
5,966
(979)
7.137
40.906
12,609
392,184
137,429
7,761,887
167.164
7,929,051
(2,040,042)
5.889,009
29,931
71,044
100,975
$6,519.597
PARKER, FICKLING, HARTMANN & HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS ",T,
1n 65
I --
LIABILITIES AND CAPITALIZATION
1986
1985
CURRENT LIABILITIES
--
Accounts payable, trade
$ 13,429
$ 16,581
Accrued expenses and taxes
Payroll taxes
1,779
1,702
Employees' retirement contribution
1.974
1.969
Interest
110,140
111,510
Total accrued expenses and taxes
113.893
115.181
Water revenue bond payable
15.000
13,000
First mortgage revenue bonds payable
65,000
65,000
80,000
78,000
Total current liabilities
207,322
209,762
NONCURRENT LIABILITIES
Water revenue bonds payable
2,488.100
2,503,100
First mortgage revenue bonds payable
840,000
905,000
3.328,100
3,408,100
Interfund loans payable. City of Fairhope
General Fund
6.135
2,451
Natural Gas Fund
2,000
-
1
8,135
2,451
Total noncurrent liabilities
3,336,235
3,410,551
P--
TOTAL LIABILITIES
3.543,557
3.620,313
CAPITALIZATION
Contributions in aid of construction
United States
791,135
818,570
Customers and developers
1,013.491
971,024
.�
Other funds of the City of Fairhope
38,147
38,147
Retained earnings
1,108,965
1,071,543
Total capitalization
2,951,738
2.899,284
r
TOTAL LIABILITIES AND CAPITALIZATION
$6,495,295
$6,519.597
t
PARKER, PICKLING, MARTMANN & MANAK,P.C. CERTIFIED PUBLIC ACCOUNTANTS
I_J
CITY OF FAIRHOPE, ALABAMA
WATER AND WASTEWATER FUND
STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARININGS
BUDGET AND ACTUAL
FOR THE YEAR ENDED SEPTEMBER 30. 1986
WITH COMPARATIVE ACTUAL AMOUNTS FOR THE YEAR ENDED SEPTEMBER 30. 1985
1986
1985
r
Amended
Over
Budget_
Actual
Actual
OPERATING REVENUES
-Budget
Sales of water
$ 790,000
$ 763,750
$ (26,250)
$ 733,345
Wastewater charges
235,000
196.981
(38,019)
219,130
-
Wastewater connection charges
30.000
55,625
25.625
29,975
Other charges, sales and
receipts
100
1,112
1.012
64
Total operating
-
revenues
1.055,100
1,017,468
(37,632)
982,514
OPERATING EXPENSES
I
~
Chamber of Commerce contract
1,200
1.200
-
1,200
-
Electric power
160,000
165,388
5.388
150,864
Operating, maintenance and
administrative salaries
(Note 13)
277,380
252.557
(24,823)
256.233
`
Audit fees
3.600
3,391
(209)
3,245
Bond issue expense
1.511
1,511
-
1.511
Christmas bonuses
1.600
1.650
50
1,600
Computer expenses
2,000
2,007
7
1,988
Dues and memberships
400
385
(15)
395
Engineering services
9,000
-
(9,000)
9,942
Gasoline and oil
9.000
7,609
(1,391)
8.548
Insurance - casualty
32,000
39.241
7,241
27.682
Insurance - employees' group
34,000
32,296
(1,704)
32,123
Plant maintenance and
operating supplies
70,000
87,315
17,315
95,035
-
Maintenance - vehicles and
equipment
15,000
10,272
(4,728)
18,207
Miscellaneous
200
22
(178)
155
Office supplies and postage
5,300
6.683
1,383
1,302
-
Payroll taxes
21,000
20.356
(644)
20,051
Professional services
5,000
11.228
6,228
4,949
Employees' retirement
16,600
16,969
369
16.759
Telephone
4,500
4,700
200
4,641
-
Travel, training and school
1.100
1,517
417
1,448
Uniforms
2.800
2,868
68
2.836
Trustee fees
1,320
1,280
(40)
1.320
dri
Total operating
expenses
674,511
670,445
(4,066)
662.034
EARNINGS FROM OPERATIONS „j
BEFORE DEPRECIATION,
OTHER INCOME AND
OTHER DEDUCTIONS
(carried forward) 380,589 347.023 (33.566) 320.480
See accountants' opinion and notes to the financial statements.
J
PARKER, FICKLING, HARTMANN i NANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS i�
G�:j
EARNINGS FROM OPERATIONS
BEFORE DEPRECIATION,
OTHER INCOME AND
OTHER DEDUCTIONS
(brought forward)
OTHER INCOME (DEDUCTIONS)
Interest expense
Interest earned
Loss on sale of asset
Total other income
(deductions)
NET INCOME BEFORE DEPRECIATION
DEPRECIATION EXPENSE
On assets acquired with own
funds
On assets acquired from
contributions in aid to
construction
Total depreciation
expense
NET INCOME (LOSS)
Add credit arising from
transfer of depreciation
to contributions in aid
to construction account
Net income (loss) transferred
to retained earnings
Retained earnings at
IId� beginning of year
i
I
DETAINED EARNINGS AT
END OF YEAR
1986 1985
Amended Over Un er
Budget Actual Budget Actual
$ 380.589
(180,000)
22,000
(15 8,000)
222,589
159,360
55,640
215,000
7,589
55,640
$ 63,229
$ 347,023
$ (33.566)
$ 320,480
(176,807)
3,193
(180,437)
27,349
5,349
26,595
-
-
(341)
(149,458)
(8,542)
(154,183)
197,565
(25,024)
166,297
160,143
55,922
216.065
(18, 500)
55,922
37,422
1,071,543
$1,108,965
783
282
1,065
(26.089)
282
$ (25,807)
160,225
53,955
214,180
(47.883)
53,955
6,072
1,065,471
$1,071.543
tria
'i PARKER, FICKIING, HARTMANN i HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
WATER AND WASTEWATER FUND
STATEMENT OF CHANGES IN FINANCIAL POSITION
FOR THE YEARS ENDED SEPTEMBER 30, 1986 AND 1985
1986
1985
SOURCES OF WORKING CAPITAL
From operations
—
Net earnings (loss)
$(18,500) $
(47,883)
Add loss on disposition on equipment
341
Add charges to earnings not
requiring current working capital
Depreciation and amortization
217,576
215,691
Working capital provided by operations
199.076
168.149
Proceeds on sale of assets
-
150
r�
Contributions and grants in
aid of construction
70,954
86,385
Increase in interfund payables
5,684
-
Total sources of working capital
275,714
254,684
USES OF WORKING CAPITAL
Increase in sinking funds
27,311
26,430
_
Acquisition of property, plant
and equipment
95,027
69,152
Reduction of long term debt
80,000
84,900
Increase in interfund receivables
3,649
27,528
Decrease in interfund payables
-
3,303
Total uses of working capital
205,987
211,313
INCREASE IN WORKING CAPITAL
$ 69,727 $
43,371
i
I
N
See accountants' opinion and notes to the financial statements.
tI
PARKER. FICKLING. HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
i 67
P"
i
1986
NET CHANGES IN ELEMENTS OF WORKING CAPITAL
INCREASES (DECREASES) IN CURRENT ASSETS
Cash $ 62,570
Receivables (396)
Inventories (2,399)
Prepaid expenses 7,512
Increase in current assets 67,287
INCREASES (DECREASES) IN CURRENT LIABILITIES
Accounts payable, trade (3,152)
Accrued expenses (1,288)
Revenue bonds, notes and general
obligation warrants payable 2,000
Increase (decrease) in current liabilities (2,440)
INCREASE IN WORKING CAPITAL
$ 69,727
1985
$ 51,012
882
3,163
4,991
60,048
6,960
(1,283)
11,000
16,677
$ 43,371
iPARKER, FICKIING, HARTMANN { HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
68
ICITY OF FAIRHOPE, ALABAMA
STATEMENT OF GENERAL FIXED ASSETS
SEPTEMBER 30. 1986 AND 1985
ASSETS
Land and buildings
$1.635,482
$1,635,482
Municipal beach and pier
678.291
678,291
Municipal airport
1,141.292
1,141,292
Street paving and improvements
2,176,251
2,170,389
Municipal fishing dock
29,572
29.572
Equipment
863,134
802,689
Recreational facilities
831.522
817,927
Construction work in progress
1,697,499
535,639
TOTAL GENERAL FIXED ASSETS
$9,053,043
$7.811,281
INVESTMENT
INVESTMENT IN GENERAL FIXED ASSETS
AT BEGINNING OF YEAR $7.811,281 $7,240,841
Add: Acquisitions during the current year 1,241,762 593,972
9,053.043 7.834,813
Less: Retirement during the current year — (23,532)
INVESTMENT IN GENERAL FIXED ASSETS
AT END OF YEAR $9,053,043 $7,811,281
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS -
WE
CITY OF FAIRHOPE. ALABAMA
STATEMENT
OF CHANGES IN
GENERAL FIXED ASSETS
'
FOR THE YEAR ENDED SEPTEMBER 30. 1986
General
General
Fixed Assets
Fixed Assets
Oct. 1,1985
Additions Retirements
Sept.3O,1986
LAND AND BUILDINGS
Park property
$ 1.000
$ $
$ 1,000
City garage property
29,090
_ _
29,090
Sundry property
10,106
- -
10,106
Police and fire station
102,415
- -
102,415
.-
City garage and warehouse
56.684
- -
56,684
Civic Center building - old
17.198
- -
17.198
Civic Center building
1,418.989
- -
1.418.989
1,635,4
- -
1-.635,482
MUNICIPAL BEACH AND PIER
678,291
- -
678,291
MUNICIPAL AIRPORT
1,141,292
- -
1,141,292
MUNICIPAL FISHING DOCK
29,572
- -
29.572
STREET PAVING AND
IMPROVEMENTS
2,170,389
5,862 -
2,176,251
EQUIPMENT
Civic Center
38,798
- -
38,798
Public Library
26,607
26.607
I..
Police Department
151.130
41.588 -
192,718
Fire Department
124,038
- -
124,638
Street Department
339,812
18,252 -
358.064
General Government
69.475
605 -
70.080
j
Sanitation Department
52,829
- -
52,829
s
RECREATIONAL FACILITIES
i
Land
64,000
- -
64.000
Stimpson Field and
.-
Volanta Field
209,958
- -
209.958
+
Tennis courts
25,033
- -
25,033
Swimming pools
103.186
- -
103,186
Bath houses and restrooms
31.597
- -
31.597
Equipment
35,623
13_595
49,218
Fencing
18.048
_
18,048
Playground equipment
8.337
- -
8,337
Young Street building
3,667
- -
3,667
Football stadium and
buildings
318.478
- -
318.478
917,927
3 -
831 5 2i
W-I-P
iCONSTRUCTION
STREET DRAINAGE
101.941
74,609 -
176,550
CONSTRUCTION W-I-P
i
AIRPORT IMPROVEMENTS
433,698
1,087,251 -
1,520,949
TOTALS
$7,811,281
$1.241,762 $ -
$9,053,043
i
See accountants' opinion and notes to the financial
statements.
PARKER, FICKLING,
HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
M
70
CITY OF FAIRHOPE, ALABAMA
STATEMENT OF GENERAL LONG TERM DEBT
SEPTEMBER 30, 1986 AND 1985
Amount available in debt service funds $ 285.006
Amount to be provided 1,160,432
TOTAL AVAILABLE AND TO BE PROVIDED $1,445,438
GENERAL LONG TERM DEBT OUTSTANDING
General obligation refunding warrants
(dated April 1, 1982)
General obligation recreational warrants
(dated July 1. 1976)
General obligation various purpose warrants
(dated December 1, 1978)
General obligation public improvements bonds
(dated December 1, 1978)
Mortgage payable, Central Bank of the South
(dated August 27, 1983)
General obligation warrants
(dated June 1, 1983)
Total general obligation warrants, bonds and notes
Less bonds and warrants payable by
Special Assessment Funds:
Portion of general obligation various
purpose warrants (dated December 1, 1978)
General obligation public improvement
bonds (dated December 1, 1978)
Portion of general obligation warrants
1985
$ 286,048
1,295,390
$1,581.438
$ 200.000 $ 250.000
1359000
220.000
120,000
7,500
1,315,000
1,997,500
92,400
120,000
(dated June 1, 1983) 339,662
Total payable by Special Assessment Funds 552,062
TOTAL GENERAL LONG TERM DEBT OUTSTANDING $1,445,438
See accountants' opinion and notes to the financial statements.
155,000
f
275.000
160,000
12,000
1,355,000
!
2,207,000
115.500
160,000
350,062
625,562
$1.581, 438
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTA
�.
71
CITY OF FAIRHOPE, ALABAMA
SCHEDULE OF INFORMATION REQUIRED BY BOND INDENTURES
r
SEPTEMBER 30. 1986
Natural
Water and
Electric
Gas
Wastewater
Fund
Fund
Fund
'
A. Utility customers at
September 30, 1986 were
i-
as follows:
Number of customers 3,937
4,551
5,910
Number of metered customers 3.937
4,551
5,910
Number of unmetered customers -
-
-
I,
t
Number of wastewater customers
3,264
B. The Utility Funds casualty insurance coverage
on electrical
sub stations,
natural gas facilities, water and wastewater facilities is included in a blanket
policy with the Governmental Funds general
fixed assets
building and
r-
facilities.
Comprehensive general liability p g y
$ 500,000
Natural gas liability
500.000
Vehicle bodily injury and property
damage liability
20,000
Public officials errors and
omissions liability
1.000.000
Excess public officials errors and
omissions liability
1,000.000
r
I
C. All requirements of the respective bond indentures
have been complied with by
the City.
r
rSee accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS•
r
C O M P L I
A
N
C
E
A N D
�-
I
NTERMAL
CONTROL
S E C T I
O
N
e
i
�.. PARKER, FICKUNG, NARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
72
r+e
SAMUEL F. PARKER
LESLIE T. FICKLING
XAVIER A. HARTMANN, III
J.KENNETH HANAK
WAYNE A. GRUENLOH
RUCKER T. TAYLOR, ill
ROBERT E. GRANT, JR.
ARLA K. KERN
PARKER, FICKLING, HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
ACCOUNTANTS' REPORT ON
SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
December 23, 1986
Honorable James P. Nix, Mayor and
Members of the City Council
City of Fairhope, Alabama
Post Office Box 936
98 Montrose Park
Fairhope, Alabama 36533
Telephone (205) 928.2443
We have examined the general purpose financial statements of the City of
Fairhope. Alabama, for the year ended September 30, 1986, and have issued our
report thereon dated December 23, 1986. Our examination of such general purpose
financial statements was made in accordance with generally accepted auditing
standards and the standards for financial and compliance audits contained in the
Standards for Audit of Governmental Organizations, Programs, Activities, and
Functions, issued by the U. S. General Accounting Office, and accordingly, included
such tests of the accounting records and such other auditing procedures as we
considered necessary in the circumstances.
Our examination was made for the purpose of forming an opinion on the
general purpose financial statements taken as a whole. The accompanying Schedule
of Federal Financial Asistance is presented for purposes of additional analysis and
is not a required part of the general purpose financial statements. The
information in that schedule has been subjected to the auditing procedures applied
in the examination of the general purpose financial statements and, in our opinion,
is fairly stated in all material respects in relation to the general purpose
financial statements taken as a whole.
17" " x
Certified Public Accountants
MEMBERS:
American Institute of Certified Public Accountants
AICPA Division of CPA Firms
Accounting Firms Associated, inc.
PARKER, FICKLING, HARTMANN tt HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE
FOR THE YEAR ENDED SEPTEMBER 30, 1986
Federal Grantor/Pass-Through
Grantor/Program Title-
U. S. DEPARTMENT OF HUD
Passed through State
Department of Economic
and Community Affairs
Community Development
Block Grant
TOTAL U. S. DEPARTMENT
OF *HUD
U. S. DEPARTMENT OF TRANSPORTATION
Direct Program
Airport Improvement Program
TOTAL U. S. DEPARTMENT OF
TRANSPORTATION
U. S. DEPARTMENT OF THE TREASURY
Direct Program
General Revenue Sharing
TOTAL U. S. DEPARTMENT OF THE
TREASURY
Federal
Pass -Through
Program or
CFDA
Grantor's
Award
Number
Number
Amount
14.219 L-SP-PF-84-034 $ 200,000
20.106 N/A $1.700,000
21.300 N/A $ 61,373
See accountants' opinion and notes to the financial statements.
PARKER, FICK LING, HARTMANN A HANAK, P.C. CERTIFIED PUB IIC ACCOUNTANT$
F» 73
Cash/Accrued Cash/Accrued
or (Deferred) Receipts or or (Deferred)
Revenue at Revenue Disbursements/ Revenue at
October 1. 1985 Recognized Expenditures September 30,1986
$ 1.559 $ 64,164
$. 74,609
$
(8,886)
$ 1,559 $ 64,164
$ 74,609
$
(8.886)
$ 1 $1.082,908
$1,087,251
$
(4.342)
$ 1 $1,082,908
$1,087,251
$
(4,342)
$ 1
$
61,373'
$
50,315
$
11,059
$ 1
$
61,373
$
50,315
$
11,059
PARKER, FICKLING, HARTMANN A HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
74
PARKER, FICKLING, HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
SAMUEL F. PARKER
LESLIE T. FICKLING
XAVIER A. HARTMANN, III
J.KENNETH HANAK
WAYNE A. GRUENLOH
RUCKER T. TAYLOR, III
ROBERT E. GRANT, JR.
ARLA K. KERN CITY OF FAIRHOPE, ALABAMA
ACCOUNTANTS' REPORT ON COMPLIANCE WITH LAWS
Post Office Box 936
98 Montrose Park
Fairhope, Alabama 36533
Telephone (205) 928-2443
AND REGULATIONS BASED ON AN EXAMINATION OF GENERAL PURPOSE FINANCIAL STATEMENTS
December 23, 1986
Honorable James P. Nix, Mayor and
Members of the City Council
City of Fairhope, Alabama
We have examined the general purpose financial statements of the City of
Fairhope, Alabama for the year ended september 30, 1986. and have issued our report
thereon dated December 23. 1986. Our examination was made -in accordance with
generally accepted auditing standards and the standards for financial and
compliance audits contained in the Standards for Audit of Governmental Organiza-
tions, Programs, Activities, and Functions, issued by the U. S. General Accounting
Office and, accordingly, included such tests of the accounting records and such
other auditing procedures as we considered necessary in the circumstances.
The management of the City of Fairhope. Alabama is responsible for the
City's compliance with laws and regulations. In connection with our examination
referred to above, we selected and tested transactions and records to determine the
City's compliance with laws and regulations noncompliance with which we believe
could have a material effect on the general purpose financial statements of the
City.
The results of our tests indicate that for the items tested, the City of
Fairhope. Alabama complied with those provisions of laws and regulations non-
compliance with which could have a material effect on the general purpose financial
statements. Nothing came to our attention that caused us to believe that for the
items not tested the City of Fairhope, Alabama. was not in compliance with laws or
regulations noncompliance with which could have a material effect on the City's
general purpose financial statements.
Cer 1fied Public Accountants
MEMBERS:
American Institute of Certified Public Accountants
AICPA Division of CPA Firms
Accounting Firms Associated, inc.
PARKER, FICKLING. HARTMANN i HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS
SAMUEL F. PARKER
LESLIE T. FICKLING
XAVIER A. HARTMANN, III
J. KENNETH HANAK
WAYNE A. GRUENLOH
RUCKER T. TAYLOR, III
ROBERT E. GRANT, JR.
ARLA K. KERN
PARKER, FICKLING, HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
Post Office Box 936
98 Montrose Park
Fairhope, Alabama 36533
Telephone (205) 928.2443
ACCOUNTANTS' REPORT ON COMPLIANCE WITH LAWS AND REGULATIONS
RELATED TO MAJOR AND NONMAJOR FEDERAL FINANCIAL ASSISTANCE PROGRAMS
December 23, 1986
Honorable James P. Nix, Mayor and
Members of the City Council
City of Fairhope, Alabama
We have examined the general purpose financial statements of the City of
Fairhope. Alabama, for the year ended September 30, 1986, and have issued our
report thereon dated December 23, 1986. Our examination was made in accordance
with generally accepted auditing standards; the standards for financial and com-
pliance audits contained in the Standards for Audit of Governmental Organizations,
Programs, Activities, and Functions, issued by the U. S. General Accounting Office;
the Single Audit Act of 1984; and the provisions of OMB Circular A-128, Audits of
State and Local Governments, and, accordingly, included such tests of the
accounting records and such other auditing procedures as we considered necessary in
the circumstances.
The management of the City of Fairhope, Alabama, is responsible for the
City's compliance with laws and regulations. In connection with the examination
referred to above, we selected and tested transactions and records from each major
Federal financial assistance program and certain nonmajor Federal financial assis-
tance programs. The purpose of our testing of transactions and records from those
Federal financial assistance programs was to obtain reasonable assurance that the
City of Fairhope, Alabama had, in all material respects, administered major
programs, and executed the tested nonmajor program transactions, in compliance with
laws and regulations, including those pertaining to financial reports and claims
for advances and reimbursements, noncompliance with which we believe could have a
material effect on the allowability of program expenditures.
MEMBERS:
American Institute of Certified Public Accountants
AICPA Division of CPA Firms
Accounting Firms Associated, Inc.
10
P*
PARKER, FICKLING. HARTMANN a HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
75
F
Our testing of transactions and records selected from major Federal
financial assistance programs disclosed no instances of noncompliance with those
Flaws and regulations.
In our opinion, for the year ended September 30, 1986, the City of
Fairhope, Alabama, administered each of its major Federal financial assistance
programs in compliance, in all material respects, with laws and regulations,
including those pertaining to financial reports and claims for advances and reim-
bursements, noncompliance with which we believe could have a material effect on the
an allowability of program expenditures.
The results of our testing of transactions and records selected from
nonmajor Federal financial assistance programs indicate that for the transactions
i� and records tested the City of Fairhope. Alabama, complied with the laws and
�= regulations referred to in the second paragraph of our report. Our testing was
more limited than would be necessary to express an opinion on whether the City of
Fairhope, Alabama administered those programs in compliance in all material
respects with those laws and regulations noncompliance with which we believe could
have a material effect on the allowability of program expenditures; however, with
a respect to the transactions and records that were not tested by us, nothing came to
our attention to indicate that the City of Fairhope. Alabama, had not complied with
laws and regulations.
Certified Public Accountants
PARKER, FICKLING. HARTMANN A HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
PARKER, FICKLING, HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
SAMUEL F. PARKER
LESLIE T. FICKLING Post Office Box 936
XAVIER A. HARTMANN, 111 98 Montrose Park
J. KENH HANAK CITY OF FAIRHOPE, ALABAMA Fairhope, Alabama 36533
WAYNE YNE A. A. GRUENLOH
RUCKER T. TAYLOR, III Telephone (205) 928.2443
ROBERT E. GRANT, JR. ACCOUNTANTS' REPORT
ARLA K. KERN
ON INTERNAL ACCOUNTING CONTROLS
BASED SOLELY ON A STUDY AND EVALUATION MADE AS A PART OF THE EXAMINATION
OF THE GENERAL PURPOSE FINANCIAL STATEMENTS
December 23, 1986
Honorable James P. Nix, Mayor and
members of the City Council
City of Fairhope, Alabama
We have examined the general purpose financial statements of the City of
Fairhope, Alabama, for the year ended September 30. 1986 and have issued our report
thereon dated December 23. 1986. As part of our examination, we made a study and
evaluation of the system of internal accounting control of the City of Fairhope,
Alabama, to the extent we considered necessary to evaluate the system as required
by generally accepted auditing standards and the standards for financial and
compliance audits contained in the U. S. General Accounting Office Standards for
Audit of Governmental Organizations. Programs. Activities. and Functions. For the
purpose of this report, we have classified the significant internal accounting
controls in the following categories:
Accounting Applications
- Billings
- Receivables
- Cash receipts
- Purchasing and receiving
- Accounts payable
- Cash disbursements
- Payroll
- Inventory control
- Property and equipment
- General ledger
Our study included all of the control categories listed above. The purpose of our
study and evaluation was to determine the nature, timing, and extent of the
auditing procedures necessary for expressing an opinion on the entity's financial
statements. Our study and evaluation was more limited than would be necessary to
express an opinion on the system of internal accounting control taken as a whole or
on any of the categories of controls identified above.
MEMBERS:
American Institute of Certified Public Accountants
AICPA Division of CPA Firms
Accounting Firms Associated, Inc.
J
PARKER, FICKLING, HARTMANN a HANAK. P.C. CERTIFIED PUBLIC ACCOUNTANTS F.
76
The management of the City of Fairhope. Alabama, is responsible for
establishing and maintaining a system of internal accounting control. In
r fulfilling this responsibility, estimates and judgments by management are required
to assess the expected benefits and related costs of control procedures. The
objectives of a system are to provide management with reasonable, but not absolute,
assurance that assets are safeguarded against loss from unauthorized use or
disposition, and that transactions are executed in accordance with management's
authorization and recorded properly to permit the preparation of financial state—
ments in accordance with generally accepted accounting principles. Because of
inherent limitations in any system of -internal accounting control, errors or ir—
regularities may nevertheless occur and not be detected. Also, projection of any
evaluation of the system to future periods is subject to the risk that procedures
may become inadequate because of changes in conditions or that the degree of
compliance with the procedures may deteriorate.
i Our study and evaluation made for the limited purpose described in the
first paragraph would not necessarily disclose all material weaknesses in the
system. Accordingly, we do not express an opinion on the system of internal
accounting control of the City of Fairhope, Alabama, taken as a whole or on any of
the categories of controls identified in the first paragraph. However, our study
and evaluation disclosed no conditions that we believe to be a material weakness.
This report is intended solely for the use of the City of Fairhope,
1" Alabama, the cognizant audit agency and other Federal audit agencies, and the
Alabama Department of Economic and Community Affairs, and should not be used for
any other purposes. This restriction is not intended to limit the distribution of
this report which, upon acceptance by the City of Fairhope, Alabama, is a matter of
public record.
J
Certified
Public Accountants
PARKER, FICKLING, HARTMANN L HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
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SAMUEL F. PARKER
LESLIE T. FICKLING
XAVIER A. HARTMANN, III
J. KENNETH HANAK
WAYNE A.GRUENLOH
RUCKER T. TAYLOR, III
ROBERT E. GRANT, JR.
ARLA K. KERN
PARKER, FICKLING, HARTMANN & HANAK, P.C.
CERTIFIED PUBLIC ACCOUNTANTS
CITY OF FAIRHOPE, ALABAMA
Post Office Box 936
98 Montrose Park
Fairhope, Alabama 36533
Telephone (205) 928-2443
ACCOUNTANTS' REPORT ON INTERNAL CONTROLS (ACCOUNTING AND ADMINISTRATIVE)
BASED ON A STUDY AND EVALUATION MADE AS A PART OF AN EXAMINATION OF THE
GENERAL PURPOSE FINANCIAL STATEMENTS AND THE ADDITIONAL TESTS REQUIRED BY
THE SINGLE AUDIT ACT
December 23, 1986
Honorable James P. Nix, Mayor and
Members of the City Council
City of Fairhope, Alabama
We have examined the general purpose financial statements of the City of
Fairhope. Alabama, for the year ended September 30. 1986, and have issued our
report thereon dated December 23, 1986. As part of our examination, we made a
study and evaluation of the internal control systems, including applicable internal
administrative controls, used in administering Federal financial assistance
programs to the extent we considered necessary to evaluate the systems as required
by generally accepted auditing standards, the standards for financial and
compliance audits contained in the Standard's for Audit of Governmental
Organizations, Programs. Activities. and Functions, issued by the U. S. General
Accounting Office, the Single Audit Act of 1984, and the provisions of OMB Circular
A-128, Audits of State and Local Governments. For the purpose of this report, we
have classified the significant internal accounting and administrative controls
used in administering Federal financial assistance programs in the following
categories:
Accounting Applications
- Billings
- Receivables
- Cash receipts
- Purchasing and receiving
- Accounts payable
MEMBERS:
- Cash disbursements
- Payroll
- Inventory control
- Property and equipment
- General ledger
American Institute of Certified Public Accountants
AICPA Division of CPA Firms
Accounting Firms Associated, inc.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
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The management of the City of Fairhope, Alabama, is responsible for
establishing and maintaining internal control systems used in administering Federal
financial assistance programs. In fulfilling that resonsibility, estimates and
judgments by managment are required to assess the expected benefits and related
costs of control procedures. The objectives of internal control systems used in
administering Federal financial assistance programs are to provide managment with
reasonable, but not absolute, assurance that, with respect to Federal
financial assistance programs, resource use is consistent with laws, regulations,
and policies; resources are safeguarded against waste, loss, and misuse; and
reliable data are obtained, maintained, and fairly disclosed in reports.
Because of inherent limitations in any system of internal accounting and
administrative controls used in administering Federal financial assistance
programs, errors or irregularities may nevertheless occur and not be detected.
Also, projection of any evaluation of the systems to future periods is subject to
the risk that procedures may become inadequate because of changes in conditions or
that the degree of compliance with the procedures may deteriorate.
Our study included all of the applicable control categories listed in the
first paragraph. During the year ended September 30, 1986, the City of Fairhope.
Alabama expended 90% of its total Federal financial assistance under the following
major Federal financial assistance program:
Federal Aviation Administration Project No. 3-01-0029-01-83
With respect to internal control systems used in administering major Federal
financial assistance programs, our study and evaluation included considering the
types of errors and irregularities that could occur, determining the internal
control procedures that should prevent or detect such errors and irregularities,
determining whether the necessary procedures are prescribed and are being followed
satisfactorily, and evaluating any weaknesses.
With respect to internal control systems used solely in administering the
nonmajor Federal financial assistance programs of the City of Fairhope. Alabama,
our study and evaluation was limited to a preliminary review of the systems to
obtain an understanding of the control environment and the flow of transactions
through the accounting system. Our study and evaluation of the internal control
systems used solely in administering the nonmajor Federal financial assistance
programs of the City of Fairhope, Alabama, did not extend beyond' this preliminary
review phase.
Our study and evaluation was more limited than would be necessary to
express an opinion on the internal control systems used in administering the
Federal financial assistance programs of the City of Fairhope, Alabama.
Accordingly, we do not express an opinion on the internal control systems used in
administering the Federal financial assistance programs of the City of Fairhope,
Alabama. Further, we do not express an opinion on the internal control systems
used in administering the major Federal financial assistance programs of the City
of Fairhope, Alabama.
PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS
79
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Also, our examination, made in accordance with the standards mentioned in
the first paragraph, would not necessarily disclose material weaknesses in the
internal control systems used solely in adminstering nonmajor Federal financial
assistance programs.
However, our study and evaluation and our examination disclosed no
condition that we believe to be a material weakness in relation to a Federal
financial assistance program of the City of Fairhope, Alabama.
This report is intended solely for the use of the City of Fairhope,
Alabama, the cognizant audit agency, other Federal audit agencies, and the Alabama
Department of Economic and Community Affairs, and should not be used for any other
purpose. This restriction is not intended to limit the distribution of this
report, which, upon acceptance by the City of Fairhope, Alabama, is a matter of
public record.
Certi ed Public Accountants
PARKER, FICKLING, HARTMANN & HANAK, P.C. CERTIFIED PUBLIC ACCOUNT
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CITY OF FAIRHOPE, ALABAMA
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COMMUNITY DEVELOPMENT BLOCK GRANT NO. L-SP-PF-84-034
STATEMENT OF PROGRAM COSTS
*�+ FOR THE YEARS ENDED SEPTEMBER 30, 1986 AND 1985
Authorized
Total
Costs
Expenditures
1986
1985
PROGRAM ACTIVITY
Administration
$ 23,500
$ 25,596
$ 11,996
$ 13.600
Drainage
improvments
166,500
150,954
62,613
88.341
Contingencies
10.000
-
-
-
TOTAL PROGRAM COSTS
$200,000
$176,550
$ 74,609
$101,941
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See accountants opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 6 MANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS-
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CITY OF FAIRHOPE, ALABAMA
COMMUNITY DEVELOPMENT BLOCK GRANT NO. L-SP-PF-84-034
STATEMENT OF SOURCE AND STATUS OF FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 1986
Grant
Amount
Total
program year 1984
funds allocated to recipient
$200,000
Less:
Total program year 1984 funds drawn down by recipient
167,664
Funds
still available from HUD - Program year 1984
32,336
Total
program year 1984
funds drawn down by recipient
167.664
Less:
Funds applied to
program year 1984
167,664
Total
program year 1984
funds held by recipient
-
TOTAL
PROGRAM YEAR 1984
FUNDS AVAILABLE FOR DISPOSITION
$ 32.336
Additional
Funding
Additional City funds allocated to program:
Force account labor and equipment $ 75,079
Total City funds applied to program 75,079
Less: Additional City funds applied to program 75,079
ADDITIONAL CITY FUNDS AVAILABLE FOR DISPOSITION $ -
Total
Funding
Total funds allocated to program $275,079
Less: Total funds applied to program 242,743
TOTAL FUNDS AVAILABLE FOR DISPOSITION $ 32,336
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See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN 3 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS -
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CITY OF FAIRHOPE, ALABAMA
AIRPORT IMPROVEMENT CAPITAL PROJECT FUND
FEDERAL AVIATION ADMINISTRATION PROJECT NO. 3-01-0029-01-83
STATEMENT OF PROGRAM REVENUE AND COSTS
FOR THE YEARS ENDED SEPTEMBER 30. 1986. 1985. 1984 AND 1983
Years ended
September 30.
Program Income
Total
1986
1985
1984 1983
Federal Aviation Administration
$1,374,100
$1.042,623
$266,511
$ 64,966 $ -
State of Alabama
22,500
22,500
-
- -
City of Fairhope, Alabama
53,476
17,308
26,168
10,000 -
TOTALS
$1,450,076
$1.082,431
$292,679
$ 74.966 $ -
Program Activity
Authorized.
Years ended
September 30,
Costs
Total
1986
1985
1984 1983
,evelopment other
than land $1,456.513
$1,194.438
$1.080,296
$ 48,170
$ 65,972 $ -
Land acquisition 432,376
260,551
6,852
247,267
6,432 -
TOTALS $1.888.889
$1.454.989
$1,087,148
$295.437
$ 72,404 $ -
f
See accountants' opinion and notes to the financial statements.
rrz
PARKER, FICKLING, HARTMANN S HANAK, P.C. CERTIFIED PUBLIC ACCOUNTA
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CITY OF FAIRHOPE, ALABAMA
FEDERAL AVIATION ADMINISTRATION PROJECT NO. 3-01-0029-01-83
STATEMENT OF SOURCE AND STATUS OF FUNDS
FOR THE YEAR ENDED SEPTEMBER 30, 1986
Grant
Amount
Total
program year 1983 funds allocated to recipient
$1,700,000
Less:
Total program year 1983 funds drawn down by recipient
1,374.100
Funds
still available from FAA - Program year 1983
325,900
Total
program year 1983 funds drawn down by recipient
1.374.100
Less:
Funds applied to program year 1983
1,374,100
Total
program year 1983 funds held by recipient
-
TOTAL
PROGRAM YEAR 1983 FUNDS AVAILABLE FOR DISPOSITION
$ 325,900
Total
State funds allocated to recipient
$ 45,000
Less:
Total State funds drawn down by recipient
22,500
Funds
still available from State
22,500
Total
State funds drawn down by recipient
22,500
Less:
Funds applied to program
22,500
Total
State funds held by recipient
-
TOTAL
STATE FUNDS AVAILABLE FOR DISPOSITION
$ 22,500
Additional
Funding
Additional City funds allocated to program $ 188,889
Less: Additional City funds applied to program 53,476
Additional City funds available for disposition $ 135,413
Additional Match funds allocated to program $ 65.504
Program income $ 550
Total
Funding
Total funds allocated to program $1.999,943
Less: Total funds applied to program 1,516,130
TOTAL FUNDS AVAILABLE FOR DISPOSITION $ 4836813
See accountants' opinion and notes to the financial statements.
PARKER, FICKLING, HARTMANN d HANAK, P.C. CERTIFIED PUBLIC
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CITY OF FAIRHOPE, ALABAMA
SCHEDULE OF ACTIVE AWARDS
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Amount of
Awards
Grant Title I. D. Number Received
DEPARTMENT OF HOUSING AND
URBAN DEVELOPMENT
j Community Development Block Grant L-SP-PF-84-034 $ 64,164
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DEPARTMENT OF TRANSPORTATION
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Federal Aviation Administration 3-01-0029-01-83 1.042.623
OFFICE OF REVENUE SHARING 01-2-002-004 61,373
TOTAL FEDERAL GRANTS $1,168,160
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See accountants' opinion and notes to the financial statements.
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PARKER, FICKLING, HARTMANN 6 HANAK, P.C. CERTIFIED PUBLIC ACCOUNTANTS