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04-03-2012City Commission Ci , � Manager Susan Gottlieb Mayor y The City of ]Eric M. Soroka ICMA -CM Zev Auerbach " City Bob Diamond a M& Teresa M. Soroka, MMC Teri Holzberg Billy Joel = City Attorney Michael Stern �.,, . ,, ` Weiss Serota Helfman Luz Urbaez Weinberg 1Pastoriza Cole & 1Boniske APRIL 3,2012 6 pm Government Center 19200 West Country Club Drive Aventura, Florida 33180 1. CALL TO ORDER\ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. AGENDA: Request for Deletions/Emergency Additions 4. SPECIAL PRESENTATIONS: Employee Service Awards 5. CONSENT AGENDA: Matters included under the Consent Agenda are self - explanatory and are not expected to require discussion or review. Items will be enacted by one motion. If discussion is desired by any member of the Commission, that item must be removed from the Consent Agenda and considered separately. A. APPROVAL OF MINUTES: March 6, 2012 Commission Meeting March 22, 2012 Workshop Meeting B. MOTION TO ACCEPT FOR FILING THE COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2011 AND THE LETTER DATED MARCH 8, 2012 ATTACHED HERETO AS ATTACHMENT "A" C. A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA DECLARING CERTAIN PROPERTY LISTED UNDER THE ASSETS OF THE CITY AS SURPLUS TO THE NEEDS OF THE CITY; DESCRIBING THE MANNER OF DISPOSAL; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. D. A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA AUTHORIZING THE CITY MANAGER TO EXECUTE THE ATTACHED TRAFFIC CONTROL JURISDICTION AGREEMENT BETWEEN COMMODORE PLAZA CONDOMINIUM ASSOCIATION, INC. AND THE CITY OF AVENTURA; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY April 3, 2012 OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. E. A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA AWARDING AND LETTING A BID /CONTRACT FOR BID NO. 12- 03 -16 -2, ELECTRICAL MAINTENANCE SERVICES TO UNIVERSAL ELECTRIC OF FLORIDA, INC. AND PRIME ELECTRICAL CONTRACTORS, INC. AT THE INDIVIDUAL BID PRICES CONTAINED IN EXHIBIT "A" ATTACHED; AUTHORIZING THE CITY MANAGER TO EXECUTE ASSOCIATED CONTRACTS; AUTHORIZING THE CITY MANAGER TO TAKE NECESSARY AND EXPEDIENT ACTION TO CARRY OUT THE AIMS OF THIS RESOLUTION; PROVIDING FOR THE APPROPRIATION AND ALLOCATION OF FUNDS FOR SAID BID AWARD; AND PROVIDING FOR AN EFFECTIVE DATE. F. A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA ESTABLISHING A RANKING OF BANKS TO PROVIDE BANKING SERVICES; AUTHORIZING THE CITY MANAGER TO NEGOTIATE FOR SAID SERVICES; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. 6. ZONING HEARINGS: QUASI - JUDICIAL PUBLIC HEARINGS — Please be advised that the following items on the Commission's agenda are quasi-judicial in nature. If you wish to object or comment upon any of these items, please inform the Mayor when she requests public comments. An opportunity for persons to speak on each item will be made available after the applicant and staff have made their presentations on each item. All testimony, including public testimony and evidence, will be made under oath or affirmation. Additionally, each person who gives testimony may be subject to cross - examination. If you refuse either to be cross - examined or to be sworn, your testimony will be given its due weight. The general public will not be permitted to cross - examine witnesses, but the public may request the Commission to ask questions of staff or witnesses on their behalf. Persons representing organizations must present evidence of their authority to speak for the organization. Further details of the quasi-judicial procedures may be obtained from the Clerk. 7. ORDINANCES: FIRST READING - PUBLIC INPUT: A. AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AMENDING ORDINANCE NO. 2011 -08 WHICH ORDINANCE ADOPTED A BUDGET FOR THE 2011/2012 FISCAL YEAR BY REVISING THE 2011/2012 FISCAL YEAR OPERATING AND CAPITAL BUDGET AS OUTLINED IN EXHIBIT "A" ATTACHED HERETO; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS ORDINANCE; PROVIDING FOR AN EFFECTIVE DATE. B. AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AMENDING ORDINANCE NO. 4 April 3, 2012 2011 -08 WHICH ORDINANCE ADOPTED A BUDGET FOR THE 2011/2012 FISCAL YEAR BY REVISING THE 2011/2012 FISCAL YEAR OPERATING AND CAPITAL BUDGET AS OUTLINED IN EXHIBIT "A" ATTACHED HERETO; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS ORDINANCE; PROVIDING FOR AN EFFECTIVE DATE. 8. ORDINANCE — SECOND READING — PUBLIC HEARING: None. 9. RESOLUTIONS — PUBLIC HEARING: None. 10. REPORTS 11. PUBLIC COMMENTS 12. OTHER BUSINESS: None. 13. ADJOURNMENT SCHEDULE OF FUTURE MEETINGS/EVENTS WORKSHOP MEETING April 19, 2012 9AM 5`h FL. EX. CONFERENCE ROOM COMMISSION MEETING May 1, 2012 6PM COMMISSION CHAMBER This meeting is open to the public. In accordance with the Americans with Disabilities Act of 1990, all persons who are disabled and who need special accommodations to participate in this meeting because of that disability should contact the Office of the City Clerk, 305- 466 -8901, not later than two days prior to such proceeding. One or more members of the City of Aventura Advisory Boards may be in attendance and may participate at the meeting. Anyone wishing to appeal any decision made by the Aventura City Commission with respect to any matter considered at such meeting or hearing will need a record of the proceedings and, for such purpose, may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. Agenda items may be viewed at the Office of the City Clerk, City of Aventura Government Center, 19200 W. Country Club Drive, Aventura, Florida, 33180. Anyone wishing to obtain a copy of any agenda item should contact the City Clerk at 305466 -8901. 3 lj MINUTES CITY COMMISSION MEETING MARCH 6, 2012 6 PM Aventura Government Center 19200 W. Country Club Drive Aventura, Florida 33180 1. CALL TO ORDERIROLL CALL: The meeting was called to order by Mayor Susan Gottlieb at 6 p.m. Present were Commissioners Zev Auerbach, Bob Diamond, Teri Holzberg, Michael Stern, Luz Urbaez Weinberg, Vice Mayor Billy Joel, Mayor Gottlieb, City Manager Eric M. Soroka, City Clerk Teresa M. Soroka and City Attorney David Wolpin. As a quorum was determined to be present, the meeting commenced. 2. PLEDGE OF ALLEGIANCE: Led by Rosa Naccarato. 3. AGENDA: REQUESTS FOR DELETIONS/EMERGENCY ADDITIONS: None. 4. SPECIAL PRESENTATIONS: Mr. Soroka presented 15 -year service awards to Police Department employees Mark Huffman, Charles Travis, Troy Vezina, Thomas Mundy, Michael Giordano and Jeff Burns. In addition, he presented 10 -year service awards to Harvey Arango and Guilaine McCray. 5. CONSENT AGENDA: A motion to approve the Consent Agenda was offered by Commissioner Auerbach, seconded by Commissioner Weinberg, passed unanimously and the following action was taken: A. The following minutes were approved: February 7, 2012 Commission Meeting February 23, 2012 Workshop Meeting B. Resolution No. 2012 -11 was adopted as follows: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA DECLARING CERTAIN PROPERTY LISTED UNDER THE ASSETS OF THE CITY AS SURPLUS TO THE NEEDS OF THE CITY; DESCRIBING THE MANNER OF DISPOSAL; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE C. The following motion was approved: MOTION AUTHORIZING THE APPROPRIATION OF UP TO $5,198.30 IN REGARDS TO FORFEITURE CASES FROM THE POLICE FORFEITURE FUNDS IN ACCORDANCE WITH THE CITY MANAGER'S MEMORANDUM D. Resolution No. 2012 -12 was adopted as follows: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA ADOPTING A POLICY TO ESTABLISH AN ANNUAL COLLEGE SCHOLARSHIP IN THE AMOUNT OF $1,000 FOR A STUDENT RESIDING IN AVENTURA GRADUATING FROM DR. MICHAEL M. KROP HIGH SCHOOL; PROVIDING FOR THE ALLOCATION OF FUNDS AND THE SELECTION PROCESS; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. E. The following motion was approved: MOTION AUTHORIZING THE APPROPRIATION OF UP TO $43,000 FOR TASER REPLACEMENTS FROM THE POLICE FEDERAL FORFEITURE FUNDS IN ACCORDANCE WITH THE CITY MANAGER'S MEMORANDUM. 6. ZONING HEARINGS: QUASI - JUDICIAL PUBLIC HEARINGS — Please be advised that the following items on the Commission's agenda are quasi - judicial in nature. If you wish to object or comment upon any of these items, please inform the Mayor when she requests public comments. An opportunity for persons to speak on each item will be made available after the applicant and staff have made their presentations on each item. All testimony, including public testimony and evidence, will be made under oath or affirmation. Additionally, each person who gives testimony may be subject to cross - examination. If you refuse either to be cross - examined or to be sworn, your testimony will be given its due weight. The general public will not be permitted to cross - examine witnesses, but the public may request the Commission to ask questions of staff or witnesses on their behalf. Persons representing organizations must present evidence of their authority to speak for the organization. Further details of the quasi-judicial procedures may be obtained from the Clerk. Mr. Wolpin stated the quasi-judicial procedures and read the following resolution by title: A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA GRANTING CONDITIONAL USE APPROVAL TO PERMIT A DRIVE - THROUGH FACILITY AT THE PROPOSED CHASE BANK BUILDING ON PROPERTY LOCATED AT 20880 BISCAYNE BOULEVARD, CITY OF AVENTURA; PROVIDING FOR AN EFFECTIVE DATE City Clerk Teresa M. Soroka administered the oath to all parties wishing to offer testimony in this hearing. A motion for approval was offered by Vice Mayor Joel and seconded by Commissioner Stern. Community Development Director Joanne Carr addressed the Commission and entered the staff report into the record. Mayor Gottlieb opened the public hearing. There being no speakers, the public hearing was closed. The motion for approval passed unanimously and Resolution No. 2012 -13 was adopted. 7. ORDINANCES: FIRST READINGIPUBLIC HEARING: None. 8. ORDINANCES: SECOND READING/PUBLIC HEARING: None. 2 9. RESOLUTIONS — PUBLIC HEARING: None. 10. REPORTS: As presented. 11. PUBLIC COMMENTS: Rosa Naccarato, Admirals Port; Krop High School Senior and Aventura resident Raya Elias Pushett; Howard Weinberg, Parc Central; Bob Burroughs. 12. OTHER BUSINESS: None. 13. ADJOURNMENT: There being no further business to come before the Commission at this time, after motion made, seconded and unanimously passed, the meeting adjourned at 6:40 p.m. Teresa M. Soroka, MMC, City Clerk Approved by the Commission on Anyone wishing to appeal any decision made by the City Commission with respect to any matter considered at a meeting or hearing will need a record of the proceedings and, for such purpose, may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. 9 .v: MINUTES CITY COMMISSION WORKSHOP MEETING MARCH 22, 2012 9 A.M. Aventura Government Center 19200 W. Country Club Drive Aventura, Florida 33180 CALL TO ORDER/ROLL CALL: The meeting was called to order at 9:03 a.m. by Mayor Susan Gottlieb. Present were Commissioners Zev Auerbach, Teri Holzberg, Michael Stern, Luz Urbaez Weinberg, Mayor Gottlieb, City Manager Eric M. Soroka, City Clerk M. Teresa Soroka and City Attorney David M. Wolpin. Commissioner Bob Diamond and Vice Mayor Billy Joel were absent. As a quorum was determined to be present, the meeting commenced. 1. POLICE INFORMATION SYSTEM UPGRADES REPORT (City Manager): Lt. Tom Labombarda, through a powerpoint presentation, explained the proposed upgrades to the Police Department information systems. CITY MANAGER SUMMARY: Consensus to approve and proceed with budget amendment to provide for this system. 2. ACES PLAYGROUND EQUIPMENT REPLACEMENT (City Manager): Mr. Soroka advised the Commission that the current equipment is in need of replacement and provided pix of the proposed new equipment. CITY MANAGER SUMMARY: Consensus to approve and proceed with budget amendment. Commissioner Weinberg provided a powerpoint presentation regarding the Port of Miami Tunnel project, as she serves as Director of Communications for the company in charge of the project. Mayor Gottlieb distributed correspondence from Save Dade regarding same sex marriages that she requested discussion be tabled to a future Workshop Meeting when all Commissioners are in attendance. 3. ADJOURNMENT: There being no further business to come before the Commission at this time, the meeting adjourned at 10:00 a.m. Teresa M. Soroka, MMC, City Clerk Approved by the Commission on Anyone wishing to appeal any decision made by the City Commission with respect to any matter considered at a meeting or hearing will need a record of the proceedings and, for such purpose, may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. CITY OF AVENTURA FINANCE DEPARTMENT MEMORANDUM TO: City Commission FROM: Eric M. Soroka, ICMA -CM, City Manager BY: Brian K. Raducci, Finance Director DATE: March 9, 2012 SUBJECT: Comprehensive Annual Financial Report (CAFR) Fiscal Year Ended September 30, 2011 April 3, 2012 City Commission Meeting Agenda Item 6-6 Recommendation It is recommended that the City Commission approve the following motion: "Motion to accept for filing of the Comprehensive Annual Financial Report (CAFR) for the fiscal year ended September 30, 2011 and the letter dated March 8, 2012 attached hereto as Attachment A." Background The CAFR, a letter from our independent auditors — Keefe, McCullough & Co., LLP dated March 8, 2012 and a staff - prepared memorandum were distributed to the City Commission on March 9, 2012. The Rules of the Auditor General, Chapter 10.550, require that the CAFR be filed as an official record at a public meeting. This motion satisfies that requirement. In addition, the auditors have requested that their letter dated March 8, 2012, identified as "Attachment A" on the staff - prepared memorandum, be accepted for filing with the City Commission. A representative from the auditing firm will be present at the April 3rd City Commission meeting. However, since the CAFR is the City's responsibility, I respectfully request that any questions be discussed with the City Manager prior to the meeting. BKR /bkr ATTACHMENT A A LETTER FROM OUR INDEPENDENT AUDITORS - KEEFE, MCCULLOUGH & CO., LLP DATED MARCH 8, 2012 Keefe, McCullough & Co., LLP Certified Public Accountants March 8, 2012 To the Honorable Mayor, Member of the City Commission and City Manager City of Aventura, Florida We have audited the financial statements of the governmental activities, the business -type activities, each major fund and the aggregate remaining fund information of the City of Aventura, Florida (the "City "), for the year ended September 30, 2011. However, we did not audit the financial statements of the City of Aventura Police Officers' Retirement Plan Pension Trust Fund, which represent 100 % of the total assets and the total revenues of the fiduciary funds. Those financial statements were audited by other auditors whose reports have been furnished to us. Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards and Government Auditing Standards, as well as certain information related to the planned scope and timing of our audit. We have communicated such information in our engagement letter to you dated May 5, 2010. Professional standards also require that we communicate to you the following information related to our audit. Significant Audit Findings Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. The significant accounting policies used by the City are described in Note 1 to the financial statements. No new accounting policies were adopted and the application of existing policies was not changed during the current year, except for the implementation of: • GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions. The adoption of the above GASB Statement did not have a significant impact on the City's financials statements. We noted no transactions entered into by the City during the year for which there is a lack of authoritative guidance or consensus. There are no significant transactions that have been recognized in the financial statements in a different period than when the transaction occurred. Accounting estimates are an integral part of the financial statements prepared by management and are based on management's knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimates affecting the City's financial statements were as follows: • Defined Benefit Pension Plan - The net pension asset is calculated as the difference between the annual required contribution and the actual contributions made by the City. The City with input from its pension actuary developed the actuarial assumptions based on relevant criteria. Management reviewed and approved the financial statements estimates derived from the pension actuarial report. 6550 N. Federal Highway 3 Suite 410 �t Fort Lauderdale, FL 33308 4 954.771.0896 r'1 954.938.9353 (F) Gi www.kmccpa.com City of Aventura, Florida - 2 - March 8, 2012 • Depreciation of capital assets - Depreciation is provided on a straight -line basis over the respective estimated useful lives ranging from 3 to 40 years. The City has informed us they used all relevant facts available to them at the time of acquisition to make the best judgments about the depreciation methods and estimated useful lives of capital assets. Net OPEB Obligation - In Florida, state statutes require that the employer make health insurance coverage available to retirees at the employer's group rate. This creates an implicit cost arising as a result of the blended rate premium since retiree health care costs, on average, are higher than those of active employee healthcare costs. In addition, the City's policy is to pay those premiums for certain department directors at retirement. The City obtained an actuarial valuation to record its estimated cost and liability in accordance with the requirements of GASB Statement No. 45, Accounting for Financial Reporting by Employers for Post - Employment Benefits Other than Pensions (OPEB). We evaluated the key factors and assumptions used by management to develop and report the above significant estimates in determining that they are reasonable in relation to the financial statements taken as a whole. Difficulties Encountered in Per the Audit We encountered no difficulties in dealing with management in performing and completing our audit. Corrected Misstatements Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. Management has corrected all misstatements detected as a result of our audit procedures. Most of these journal entries were provided directly to us by the City's Finance Department and did not identify material weaknesses in the reporting/ internal control structure of the City of Aventura, Florida. Disagreements with Management For purposes of this letter, professional standards define a disagreement with management as a financial accounting, reporting or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditors' report. We are pleased to report that no such disagreements arose during the course of our audit. Management Representations We have requested certain representations from management that are included in the management representation letter dated February 23, 2012. Management Consultations with Other Independent Auditors In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a "second opinion" on certain situations. If a consultation involves application of an accounting principle to the City's financial statements or a determination of the type of auditors' opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants. City of Aventura, Florida -3 - March 8, 2012 Other Audit Findings or Issues We are to discuss with the City Commission any major issues discussed with management in connection with our retention as auditors, including the application of accounting principles or auditing standards. There were no issues discussed with management in connection with our retention as auditors. This information is intended solely for the use of the City Commission and management of the City and is not intended to be and should not be used by anyone other than these specified parties. We would be pleased to discuss any questions that you may have. Kee�e, VIC cute Y, Co., /-/--P KEEFE, McCULLOUGH & CO., LLP COMPREHENSIVE ANNUAL FINANCIAL REPORT OF THE CITY OF AVENTURA, FLORIDA FOR THE YEAR ENDED SEPTEMBER 30, 2011 Prepared By The Finance Department Brian K. Raducci, Finance Director Brent Rogers, Controller CITY OF AVENTURA, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT TABLE OF CONTENTS September 30, 2011 PAGES INTRODUCTORY SECTION: Letter of Transmittal i -iv List of Principal Officials v Organizational Chart vi Certificate of Achievement for Excellence in Financial Reporting vii FINANCIAL SECTION: Independent Auditor's Report 1-2 Management's Discussion and Analysis (Unaudited) 3 -12 Basic Financial Statements: Government -Wide Financial Statements: Statement of Net Assets 13 Statement of Activities 14 -15 Fund Financial Statements: Balance Sheet - Governmental Funds 16 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Assets 17 Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds 18 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities 19 Statement of Net Assets - Proprietary Fund 20 Statement of Revenues, Expenses and Changes in Net Assets - Proprietary Fund 21 Statement of Cash Flows - Proprietary Fund 22 Statement of Fiduciary Net Assets - Police Officers' Retirement Plan Fund 23 CITY OF AVENTURA, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT TABLE OF CONTENTS (continued) September 30, 2011 PAGES Statement of Changes in Fiduciary Net Assets - Police Officers' Retirement Plan Fund 24 Notes to Basic Financial Statements 25-51 REQUIRED SUPPLEMENTARY INFORMATION: Budgetary Comparison Schedules: Schedule of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual - General Fund 52 -54 Schedule of Revenue, Expenditures and Changes in Fund Balance - Budget and Actual - Street Maintenance Fund 55 Schedules of Funding Progress - Police Officers' Retirement Plan Fund and Other Post - Employment Benefits 56 Schedule of Contributions From the Employer and the State of Florida - Police Officers' Retirement Plan Fund 57 Notes to Required Supplementary Information 58 OTHER FINANCIAL INFORMATION: Combining Fund Financial Statements: Combining Balance Sheet - Other Nonmajor Governmental Funds 59 -60 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Other Nonmajor Governmental Funds 61 -62 Budgetary Comparison Schedules: Schedules of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual - Special Revenue Funds 63 -66 Schedules of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual - Debt Service Funds 67 -70 STATISTICAL SECTION (NOT COVERED BY INDEPENDENT AUDITORS' REPORT): Table 1 - Net Assets by Component 71 Table 2 - Changes in Net Assets 72 -73 Table 3 - Governmental Activities Tax Revenues by Source 74 CITY OF AVENTURA, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT TABLE OF CONTENTS (continued) September 30, 2011 PAGES Table 4 - Fund Balances of Governmental Funds 75 Table 5 - Changes in Fund Balances of Governmental Funds 76 -77 Table 6 - General Governmental Tax Revenues by Source 78 Table 7 - Assessed Value and Estimated Actual Assessed Value of Taxable Property 79 Table 8 - Property Tax Rates - Direct and Overlapping Governments 80 -81 Table 9 - Principal Property Taxpayers 82 Table 10 - Property Tax Levies and Collections 83 Table 11 - Ratios of Outstanding Debt by Type 84 Table 12 - Ratios of General Bonded Debt Outstanding 85 Table 13 - Direct and Overlapping Governmental Activity Debt 86 Table 14 - Legal Debt Margin Information 87 Table 15 - Demographic and Economic Statistics 88 Table 16 - Occupational Employment by Group - Miami -Dade County, Florida 89 Table 17 - Full -Time Equivalent City Government Employees by Function 90 Table 18 - Operating Indicators by Function 91 Table 19 - Capital Asset Statistics by Function 92 COMPLIANCE SECTION: Independent Auditors' Report on Internal Control Over Financial Reporting and On Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 93 -94 Independent Auditors' Report to City Management 95 -96 INTRODUCTORY SECTION March 1, 2012 To the Honorable Mayor, Members of the City Commission and Citizens of the City of Aventura, Florida City of Aventura Government Center 19200 West Country Club Drive Aventura, Florida 33180 SUSAN GOTTLIEB MAYOR COMMISSIONERS ZEV AUERBACH BOB DIAMOND TERRIHOLZBERG BILLY JOEL MICHAEL STERN LUZ URBAEZ WEINBERG ERIC M. SOROKA, ICMA -CM CITY MANAGER In accordance with Section 11.45, Florida Statutes and Section 4.11 of the City of Aventura (the "City ") Charter, submitted herewith is the City's Comprehensive Annual Financial Report (the "CAFR ") for the fiscal year ended September 30, 2011. The financial statements included in this report conform to the generally accepted accounting principles in the United States ( "GAAP ") as prescribed by the Governmental Accounting Standards Board ( "GASB "). The City is responsible for the accuracy of the data and the completeness and fairness of the presentation, including all disclosures. The financial statements have been audited by Keefe, McCullough & Co., LLP., C.P.A.'s. The independent auditors have issued an unqualified opinion that this report fairly presents the financial position of the City and complies with all reporting standards noted above. The contents of this report are aimed at compliance with GASB pronouncements, including Statement No. 34, requiring the preparation of government -wide financial statements on a full accrual basis of accounting for all funds and including Management's Discussion and Analysis. Also included are additional and enhanced Statistical Tables required by GASB Statement No. 44. THE REPORTING ENTITY AND ITS SERVICES The City was incorporated on November 7, 1995 and is a political subdivision of the State of Florida. The City operates under a commission - manager form of government and provides General Government, Public Safety and Community Services to its residents and business community. The Mayor and six (6) Commissioners are responsible for establishing the City's policies. The Mayor and Commission appoint the City Manager who is the Chief Administrative Officer of the City and is responsible for implementing policies adopted by the Commission. This report includes all of the funds for which the City is financially accountable. Although the Miami -Dade Board of County Commissioners, Miami -Dade District School Board, South Florida Water Management District and Florida Inland Navigation District levy and collect taxes on property located within the City's corporate limits, financial information on these taxing authorities is not included in this report since each has a separate elected governing body, are legally separate and are fiscally independent of the City. Annual financial reports of these units of government are available upon request from each authority. PHONE: 305 - 466 -8900 • FAX: 305- 466 -8939 www.cityofaventura.com ECONOMIC CONDITIONS AND OUTLOOK The City serves an area of approximately 4 square miles with a population of nearly 36,000 residents. Prior to incorporation, the City received services from Miami -Dade County (the "County ") as a part of their unincorporated municipal services taxing unit. The City received no real property, facilities or equipment from the County upon incorporation. Fiscal Year 2011 The City's combination of upscale residential and commercial developments resulted in a taxable value of approximately $7.2 billion within a land area of less than 4 square miles. During fiscal year 2011, the Country, as well as the South Florida area had continued to experience a slow economic recovery that has resulted in lower home values, a high unemployment rate and revenue shortfalls at all levels of government. The financial impact of all of these challenges is more fully described in the Management's Discussion and Analysis section of this report. MAJOR INITIATIVES During the first ten (10) years of the City's existence, the City has focused on the infrastructure needs of the community. In recent years, the City has also directed its efforts to address the change in demographics toward a younger community and provide cultural arts opportunities for its residents. In the continued effort in making the maintenance of its infrastructure a priority, the City completed the following major capital improvements during fiscal year 2011: • Founders Park Improvements • Government Center Security Improvements • NE 191st Street Drainage Improvements • Road Resurfacing • Aventura Entrance Monument Signs In addition, the City began the following major capital improvements during fiscal year 2011: • Biscayne Boulevard Decorative Lighting Improvements Phase I • Country Club Drive Bus Shelters • Mall Informational Sign On September 26, 2011, the City held the "Curtains Up" open house for the Arts and Cultural Center. The event, was very successful, showcased the facility and gave an opportunity for the community to view various performing arts acts. The facility was completed in June 2010 in order to provide a variety of performing arts and cultural programming to the community. Our second season kicks off in October with seven (7) events. Since its opening on August 25, 2003, the Aventura Charter Elementary School ( "School ") has achieved several milestones in the City's short history. The School was the first within the City's boundaries and the first municipal sponsored charter school in Miami -Dade County. The 2010/11 school year represented the eighth year of operations of the School. The School has been well received and has been at full capacity since its inception. The School has obtained academic success receiving an "A" grade issued by the State of Florida for the past seven (7) years. In order to address the Florida Class Size Mandate Legislation, ten (10) new classrooms were added prior to the 2010 school year. This addition insured that the School met the class size requirements. The school serves 972 students. FINANCIAL INFORMATION lntemal Accounting Control Management of the City is responsible for establishing and maintaining internal controls designed to ensure that adequate accounting data are compiled to allow for the preparation of financial statements in conformity with GAAP. Internal control is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgments by management. All internal control evaluations occur within the above framework. We believe that the City's internal accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of financial transactions. Budgetary Control An annual appropriated budget is adopted for all governmental funds with the exception of the Charter School Fund, Federal Forfeiture Fund and Law Enforcement Trust Fund (Special Revenue Funds). In accordance with City Ordinance, appropriations are legally controlled at the Department level. Encumbrance accounting, under which purchase orders and other commitments for the expenditure of funds are recorded in the accounting records and is utilized throughout the fiscal year. Overview of Financial Activity The accompanying financial statements reflect that the City has continued to expand its services to meet the demands of its residential and business communities. A summary of the major financial activities is included in the Management Discussion & Analysis Section of this report. Fund Balances The City implemented Governmental Accounting Standards Board (GASB) Statement No. 54 "Fund Balance Reporting and Governmental Fund Type Definitions" for its governmental activities. GASB Statement No. 54 establishes various classifications of fund balance based on a hierarchy which details constraints placed on the use of resources by creditors, grantors, contributors, laws or regulations of other governments and those internally imposed. Fund balances classified as restricted are those with externally enforceable limitations on use. Fund balances classified as committed can only be used for specific purposes determined by formal action of the City Commission through an ordinance or a resolution. Commitments can only be changed or lifted only by the City Commission through formal action. Assigned fund balances are amounts that the City intends to use for a specific purpose but are neither restricted nor committed. The intent to utilize these funds is delegated to the City Manager. Unassigned fund balance can be viewed as the net resources available at the end of the year. Retirement Programs The City contributed to four (4) defined contribution pension plans based on employee classifications created in accordance with Internal Revenue Code Section 401(a). The plans currently cover all full -time employees of the City. Under these plans, the City contributes between 7% and an amount equal to the annual IRS maximum, depending on the employee classification. There are no employee contributions. Employer contributions for the fiscal year ended September 30, 2011 were approximately $857,000. A defined contribution pension plan provides pension benefits in return for services rendered, provides an individual account for each participant and specifies how contributions to the individual's account are to be determined instead of specifying the amount of benefits the individual is to receive. Under a defined contribution pension plan, the benefits a participant will receive depend solely on the amount contributed to the participant's account, the returns earned on investments on those contributions, and forfeitures of other participant's benefits that may be reallocated to such participant's account. In order to encourage employees to supplement the defined contribution plan, a deferred compensation program is also available to all full -time employees. Under this program, employees may voluntarily elect to defer a portion of their salary to future years. Both programs are administered by the ICMA Retirement Corporation under a trust agreement. The plan assets are separate and the City does not exercise any control or fiduciary responsibility over the assets. Therefore, the assets, liabilities and transactions are not included in the City's financial statements. As discussed in the Notes to the Financial Statements, the City, through collective bargaining with the City's police officers agreed to establish a defined benefit retirement program covering all sworn officers. This program is funded by a combination of City and employee contributions and state insurance premium taxes. Please see Note 12 in the Notes to the Financial Statements for a detailed discussion of the retirement program. Financing Programs and Debt Administration The City currently has four (4) outstanding long -term debt issues. At September 30, 2011, the principal balance outstanding totaled $30,045,000. The Series 2000 Revenue Bonds are bank qualified debt, secured solely by a covenant to budget and appropriate the required debt service payments each year. This loan is structured the same as a serial bond issue with principal iii payments due on October 1s' and semi - annual interest payments due on April 1St and October 1st of each year with the final maturity on October 1, 2020. Debt service requirements average approximately $535,000 per year over the 20 -year life of the obligation. The interest rate is locked at 5.04 %. The Series 2002 Revenue Bonds were financed through the Florida Intergovernmental Finance Commission. The loan is secured solely by a covenant to budget and appropriate the required debt service payments each year. This loan is structured the same as a serial bond issue with principal payments due August 1St and interest payments due on February 1St and August 1St of each year with the final maturity on August 1, 2032. Debt service requirements average approximately $850,000 per year over the 30 -year life of the obligation. The interest rate varies from 2.1% to 5.0% depending on the maturity date. Due to a very favorable interest rate environment, in September of 2010, the City issued a partial advance refunding of the original Series 1999 Revenue Bonds with a Bank Loan (described below) that resulted in a more than $1.1M NPV savings over the life of the loan. The remaining portion of the original Series 1999 Revenue Bonds was refunded in February of 2011 and resulted in a nearly $530,000 NPV savings over the life of its loan. The Series 2010 Revenue Bonds are bank qualified debt, secured solely by a covenant to budget and appropriate the required debt service pa Y ments each year. This loan is structured the same as a serial bond issue with principal payments due on April 1s and semi - annual interest payments due on April 1St and October 1St of each year with the final maturity on April 1, 2029. Debt service requirements average approximately $775,000 per year over the 19 -year life of the obligation. The interest rate is locked at 3.42 %. The Series 2011 Revenue Bonds are bank qualified debt, secured solely by a covenant to budget and appropriate the required debt service payments each year. This loan is structured the same as a serial bond issue with principal payments due on April 1St and semi - annual interest payments due on April 1st and October 1St of each year with the final maturity on April 1, 2029. Debt service requirements average approximately $427,000 per year over the 19 -year life of the obligation. The interest rate is locked at 3.64 %. OTHER INFORMATION Independent Audit In accordance with Section 11.45(3)(a) (4), Florida Statutes, and Article I, Section 4.11 of the City Charter, the City engaged the firm of Keefe, McCullough & Co., LLP, to perform the independent audit of the City's accounts and records. The independent auditors' reports are included in the Financial section. Certificate of Achievement The Government Finance Officers Association of the United States and Canada ( "GFOA ") awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Aventura for its CAFR for the fiscal year ended September 30, 2011. This was the fifteenth consecutive year that the City has achieved this prestigious award. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized CAFR. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. Acknowledgements The preparation of this report on a timely basis could not have been accomplished without the efficient and dedicated services of the entire Finance Department. We express our appreciation to all members of the Department who assisted and contributed to its preparation. We also wish to thank the City Commission for their interest and support in planning and conducting the City's financial operations in a responsible and progressive manner. Respectfully itted, Eric M. Soroka, 1 -CM City Manager iv Brian K. Raducci Finance Director CITY OF AVENTURA, FLORIDA LIST OF PRINCIPAL OFFICIALS As of September 30, 2011 Title Name Mayor Susan Gottlieb Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Michael Stern Commissioner Luz Urbaez Weinberg City Manager Eric M. Soroka Finance Director Brian K. Raducci Community Services Director Robert M. Sherman City Clerk Teresa M. Soroka Community Development Director Joanne Carr Police Chief Steven Steinberg Information Technology Director Karen J. Lanke Charter School Principal Julie Alm Arts & Cultural Center General Manager Steven Clark City Attorney Weiss Serota Helfman Pastoriza Cole & Boniske, P.L. City Auditor Keefe, McCullough & Co., LLP v ewwomwv P -� V1 �� 3 Certificate of Achievement for Excellence in Financial Reporting Presented to City of Aventura Florida For its Comprehensive Annual Financial Report for the Fiscal Year Ended September 30, 2010 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. President Executive Director vii FINANCIAL SECTION Keefe, McCullough & Co., LLP Certified Public Accountants INDEPENDENT AUDITORS' REPORT To the Honorable Mayor Members of the City Commission and City Manager City of Aventura, Florida We have audited the accompanying financial statements of the governmental activities, the business -type activities, each major fund and the aggregate remaining fund information of the City of Aventura, Florida (the "City "), as of and for the fiscal year ended September 30, 2011, which collectively comprise the City's basic financial statements as listed in the table of contents. These financial statements are the responsibility of the City's management. Our responsibility is to express opinions on these financial statements based on our audit. We did not audit the financial statements of the City of Aventura Police Officers' Retirement Plan Pension Trust Fund, which represent 100% of the total assets and the total revenues of the fiduciary funds. Those financial statements were audited by other auditors whose reports thereon have been furnished to us, and our opinion, insofar as it relates to the amounts included for the City of Aventura Police Officers' Retirement Plan Pension Trust Fund, is based on the report of the other auditors. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit and the report of other auditors' provides a reasonable basis for our opinions. In our opinion, based on our audit and the report of other auditors, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business -type activities, each major fund and the aggregate remaining fund information of the City as of September 30, 2011, and the respective changes in financial position and, where applicable, cash flows, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, we have also issued our report dated March 1, 2012, on our consideration of the City's internal control over financial reporting and our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. 6550 N. Federal Highway V Suite 410 A Fort Louderdaie, FL 33308 X 954.771 ♦0896 8 954.938.9353 (F) 0 www,kmccpa.com City of Aventura, Florida Accounting principles generally accepted in the United States of America require that the management's discussion and analysis and the schedules of funding progress for pension and other post - employment benefits, and contributions from the employer and the State of Florida on pages 3 through 12 and 56 through 57, respectively, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We and the other auditors have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City's financial statements as a whole. The introductory section, other financial information, budgetary comparison schedules, and statistical section are presented for purposes of additional analysis and are not a required part of the basic financial statements. The other financial information and budgetary comparison schedules are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the information is fairly stated in all material respects in relation to the financial statements as a whole. The introductory section and statistical section have not been subjected to the auditing procedures applied in the audit of the basic financial statements and, accordingly, we do not express an opinion or provide any assurance on it. Fort Lauderdale, Florida March 1, 2012 2 lkee�e,, ?Ihc & Co., LL-' KEEFE, McCULLOUGH & CO., LLP CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 As management of the City of Aventura (the "City "), we offer readers of the City's financial statements this narrative overview and analysis of the City's financial activities for the fiscal year ended September 30, 2011. We encourage readers to consider the information presented herein in conjunction with the Letter of Transmittal, which can be found on pages i through iv of this report. All amounts, unless otherwise indicated, are expressed in thousands of dollars. Financial Highlights The City's total net assets increased by $ 1.3 million over the course of this year's operations. Net assets of our business -type activities increased by $ 0.1 million, and the net assets of our governmental activities increased by $ 1.2 million. The assets of the City exceeded its liabilities at the close of the most recent fiscal year by $ 107.9 million (net assets). Of this amount, $ 39.6 million (unrestricted net assets) may be used to meet the government's ongoing obligations to citizens and creditors. At the end of the current fiscal year, unrestricted fund balance for the General Fund was $ 3 8. 1 million or 135 % of total General Fund expenditures. Overview of the Financial Statements The financial section of this annual report consists of four (4) parts— management's discussion and analysis (this section), the basic financial statements, required supplementary information, and a supplementary information section that presents combining and individual fund statements and schedules. Financial Section I MANAGEMENT'S DISCUSSION AND ANALYSIS I BASIC FINANCIAL STATEMENTS Government -Wide (Full Accrual) Fund Governmental Activities Governmental (Modified Accrual) Business -Type Activities Proprietary (Full Accrual) (No Fiduciary Activities) Fiduciary (Full Accrual) Notes to the Financial Statements REQUIRED SUPPLEMENTARY INFORMATION OTHER FINANCIAL INFORMATION Supplementary Information - Combining Fund Financial Statements and Budgetary Comparison Schedules 3 CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 Major Features of the Basic Financial Statements Government -Wide Financial Statements Fund Financial Statements Governmental Funds Proprietary Funds Fiduciary Funds Scope Entire City government Activities of the City that Activities of the City that Instances in which the (except fiduciary activities) are not proprietary or are operated similar to City is the trustee or fiduciary private business agent for someone else's resources Required financial * Statement of net assets * Balance sheet * Statement of net assets * Statement of fiduciary statements * Statement of activities * Statement of revenues, * Statement of revenues, net assets expenditures, and expenses, and changes * Statement of changes changes in fund balances in net assets in fiduciary net assets *Statement of cash flows Accounting basis Accrual accounting and Modified accrual Accrual accounting and Accrual accounting and and measurement economic resources focus accounting and current economic resources focus economic resources focus focus financial resources focus Type of asset/ All assets and liabilities, both Only assets expected to All assets and liabilities, All assets and liabilities, liability information financial and capital, and be used up and liabilities both financial and capital, both short-term and short-term and long -term that come due during the and short -term and long -term year or soon thereafter, long -term no capital assets and long- term liabilities included Basic Financial Statements Government -wide financial statements. The focus of the government -wide financial statements is on the City's overall financial position and its activities. Reporting is similar to that of a private- sector business. The government -wide financial statements report information about the City as a whole and about its activities in a way that helps answer questions about the City's financial health and whether the current year activities contributed positively or negatively to that health. The City's government -wide financial statements include the statement of net assets and statement of activities. As described below, these statements do not include the City's fiduciary activities because resources of these funds cannot be used to finance the City's activities. However, the financial statements of fiduciary activities are included in the City's fund financial statements because the City is financially accountable for those resources, even though they belong to other parties. The Statement of Net Assets presents information on the assets held and liabilities owed by the City, both long and short-term. Assets are reported when acquired by the City and liabilities are reported when they are incurred, regardless of the timing of the related cash flows to acquire these assets or liquidate such liabilities. For example, the City reports buildings and infrastructure as assets even though they are not available to pay the obligations incurred by the City. On the other hand, the City reports liabilities, such as other post - employment benefits even though these liabilities might not be paid until several years into the future. 4 CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 The difference between the City's total assets and total liabilities is net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the City's financial position is improving or deteriorating. Although the City's purpose is not to accumulate net assets, in general, as this amount increases it indicates that the City's financial position is improving over time. The Statement of Activities presents the revenues and expenses of the City. The items presented on the statement of activities are measured in a manner similar to the approach used in the private- sector, in that revenues are recognized when earned and expenses are reported when incurred. Accordingly, revenues are reported even when they may not be collected for several months after the end of the accounting period and expenses are recorded even though they may not have used cash during the current period. Both of the government -wide financial statements distinguish City functions that are principally supported by taxes and intergovernmental revenue (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business -type activities). The City's governmental activities include general government, public safety and community services. The City's business -type activities include stormwater utility. Fund financial statements. Unlike government -wide financial statements, the focus of fund financial statements is directed to specific activities of the City rather than the City as a whole. Except for the General Fund, separate funds are established to maintain control over resources that have been segregated for specific activities or objectives. The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance- related legal requirements. All of the funds of the City can be divided into three (3) categories: governmental funds, proprietary funds and fiduciary funds. Governmental funds. Financial statements consist of a balance sheet and a statement of revenues, expenditures, and changes in fund balances. These statements are prepared on an accounting basis that is significantly different from that used to prepare the government -wide financial statements. In general, these financial statements have a short -term emphasis and, for the most part, measure and account for cash and other assets that can easily be converted to cash. For example, amounts reported on the balance sheet include items such as cash and receivables but do not include capital assets such as land and buildings. The difference between a fund's total assets and total liabilities is the fund balance, and generally indicates the amount that can be used to finance the next fiscal year's activities. The operating statement for governmental funds reports only those revenues that were collected during the current period or very shortly after the end of the year. Expenditures are recorded when incurred. For the most part, the balances and activities accounted for in governmental funds are also reported in the governmental activities columns of the government -wide financial statements. However, because different accounting basis are used to prepare governmental fund financial statements and government -wide financial statements, there are often significant differences between the totals presented. For this reason, there is an analysis after the governmental funds balance sheet that reconciles the total fund balances for all governmental funds to the amount of net assets presented in the governmental activities column on the statement of net assets. Also, there is an analysis after the statement of revenues, expenditures and changes in fund balances that reconciles the total change in fund balances for all governmental funds to the change in net assets as reported in the governmental activities column in the statement of activities. CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 Proprietary funds. Financial statements consist of a statement of net assets, statement of revenues, expenses, and changes in fund net assets and statement of cash flows. These statements are prepared on an accounting basis that is similar to the basis used to prepare the government - wide financial statements. For financial reporting purposes, proprietary funds are grouped into Enterprise Funds and Internal Service Funds. The City uses Enterprise Funds to account for business -type activities that charge fees to customers for the use of specific goods or services. These funds are used to report the same functions presented as business -type activities in the government -wide financial statements. Internal Service funds are used to account for services provided and billed on an internal basis. The City does not have any Internal Service Funds. Proprietary funds provide the same type of information as the government -wide financial statements, only in more detail. The City has one major enterprise fund, the Stormwater Utility fund. A statement of cash flows is presented at the fund financial statement level for proprietary funds, but no equivalent statement is presented in the government -wide financial statements for either governmental activities or business -type activities. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government -wide financial statement because the resources of those funds are not available to support the City's own programs. Fiduciary financial statements consist of a statement of fiduciary net assets and a statement of changes in fiduciary net assets. The City reports one fiduciary fund to account for the Police Officers' Retirement Plan. Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the govermnent -wide and fund financial statements. Required Supplementary Information In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning various issues such as a comparison between the City's adopted and final budget and actual financial results for its General Fund and major special revenue funds (if applicable). The City adopts an annual appropriated budget for its governmental funds. A budgetary comparison schedule has been provided for the General Fund and major special revenue funds (if applicable) to demonstrate compliance with this budget. Required supplementary information is also presented for the City's pension plan including a schedule of funding progress and schedule of employer and State of Florida contributions as well as a schedule of funding progress for other post- employment benefits. Combining and Individual Fund Statements and Schedules Combining statements referred to earlier in connection with nonmajor governmental, internal service and fiduciary funds are presented immediately following the required supplementary information. Additional budgetary schedules are presented in this section including, as applicable, nonmajor special revenue funds, debt services funds, and capital projects funds. CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 Government -Wide Financial Analysis The table below presents a summary of net assets as of September 30, 2011 and 2010, derived from the government -wide Statement of Net Assets: Net Assets (in thousands) Governmental Business-Type, Activities Activities Total 2011 2010 2011 2010 2011 2010 Current and other assets $ 46,190 $ 44,300 $ 1,037 $ 679 $ 47,227 $ 44,979 Capital assets 89,013 90,874 7,424 7,616 96,437 98,490 Total assets 135,203 135,174 8,461 8,295 143,664 143,469 Long -term liabilities 32,460 33,153 - - 32,460 33,153 Other liabilities 3,211 3,635 44 7 3,255 3,642 Total liabilities 35,671 36,788 44 7 35,715 36,795 Net assets: Invested in capital assets, net of related debt 59,216 60,321 7,424 7,616 66,640 67,937 Restricted 1,694 895 - - 1,694 895 Unrestricted 38,622 37,170 993 672 39,615 37,842 Total net assets $ 49,532 $ 98,386 $ 8,417 $ 8,288 $ 107,949 $ 106,674 As noted earlier, net assets may serve over time as a useful indication of a government's financial position. At the close of the most recent fiscal year, the City's assets exceeded its liabilities by $ 108 million. The largest portion of the City's net assets is net assets invested in capital assets net of related debt and is 62% of total net assets. This category reflects its investment In capital assets net of any outstanding related debt used to acquire these assets. The City uses these capital assets to provide services to the citizens of the City; consequently these net assets are not available for future spending. Although the capital assets are shown net of debt, it should be noted that the resources needed to repay this debt must be provided from other sources. The next largest portion of the City's net assets is unrestricted and is 37% of total net assets. Unrestricted net assets represent resources that are available for spending. Restricted net assets represent 1 % of total net assets. Restricted net assets represent resources that are subject to external restrictions on how they can be used. Capital assets and invested in capital assets, net of related debt, decreased $ 1.9 million and $ 1.1 million, respectively in the governmental activities primarily due to the increase in accumulated depreciation and disposal of equipment. Current and other assets and unrestricted net assets in the governmental activities increased by $ 1.9 million and $ 1.4 million, respectively, due to the increase in cash which primarily resulted from higher than anticipated revenues from utility service taxes, licenses and permits and fines and forfeitures and lower than anticipated 401(a) retirement contributions due to the use of related forfeitures. There were no significant changes in business -type activities. 7 CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 Over time, increases and decreases in net assets measure whether the City's financial position is improving or deteriorating. Property taxes decreased $ 1.5 million due to the reduction in the City's taxable value caused by the continued decline in the housing market. Franchise fees - electric decreased by $ 0.9 million due to a one -time fuel rebate adjustment provided by Florida Power & Light Co. on individual bills in January of 2010 which resulted in a one -time downward adjustment to the Franchise Fees. In addition, Florida Power & Light Co. adjusted the fuel rate charged on individual accounts prospectively, resulting in the Florida Power & Light Co. gross billing for the year being significantly less than the previous year. Capital grants and contributions decreased by $ 2.0 million due to County funding received in 2010 for the construction and development of the Arts and Cultural Center. The table below presents a summary of changes in net assets for the years ended September 30, 2011 and 2010, as derived from the government -wide Statement of Activities: Changes in Net Assets (in thousands) Governmental Business -Type Activities Activities Total 2011 2010 2011 2010 2011 2010 Revenues: 4,917 4,574 - 4,917 Program revenues: Public safety 18,928 18,461 - - Charges for services $ 6,513 $ 6,781 $ 844 $ 843 $ 7,357 $ 7,624 Operating grants and 14,948 15,060 Interest on long -term debt 1,396 1,574 contributions 7,560 7,663 - - 7,560 7,663 Capital grants and 827 843 827 843 Total expenses contributions 500 2,466 109 175 609 2,641 General revenues: Property taxes 11,734 13,254 - - 11,734 13,254 Other taxes 7,380 7,363 - - 7,380 7,363 Franchise fees 2,684 3,687 - - 2,684 3,687 Intergovernmental revenues 4,182 3,839 - - 4,182 3,839 Other revenues 782 731 3 3 785 734 Total revenues 41,335 45,784 956 1,021 42,291 46,805 Expenses: General government 4,917 4,574 - 4,917 4,574 Public safety 18,928 18,461 - - 18,928 18,461 Community services 14,948 15,060 - - 14,948 15,060 Interest on long -term debt 1,396 1,574 - - 1,396 1,574 Stormwater utility - - 827 843 827 843 Total expenses 40,189 39,669 827 843 41,016 40,512 Increase in net assets before transfers 1,146 6,115 129 178 1,275 6,293 Transfers - - _ _ _ _ Change in net assets 1,146 6,115 129 178 1,275 6,293 Net assets, beginning 98,386 92,271 8,288 8,110 106,674 100,381 Net assets, ending $ 99,532 $ 98,386 $ 8,417 $ 8,288 $ 107,949 $ 106,674 Financial Analysis of the City of Aventura's Funds As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance- related legal requirements. 8 CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 Governmental Funds The focus of the City's governmental funds is to provide information on near -term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular, unrestricted fund balance (committed, assigned, and unassigned) may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. The General Fund is the City's chief operating fund. At end of the current fiscal year, unrestricted fund balance of the General Fund was $ 38.1 million while the total fund balance reached $ 38.2 million. Much of the unrestricted fund balance will be utilized in future years to fund various capital needs and to maintain a hurricane /emergency and disaster recovery reserve. As a measure of the General Fund's liquidity, it may be useful to compare both unrestricted fund balance and total fund balance to total general fund expenditures. Unrestricted fund balance and total fund balance represent 135% of total general fund expenditures. Approximately 42% of the General Fund total fund balance - $ 15.9 million constitutes unassigned fund balance, which is available for spending at the government's discretion. The fund balance of the City's General Fund increased by $ 1.7 million during the current fiscal year. Key factors of this increase are as follows: • An increase in intergovernmental revenues of $ 0.4 million primarily due to receipt of Federal funding to assist with capital projects such as: repair work along Country Club Drive and rehabilitation of structural defects on the Yacht Club Way bridge. Also, additional revenues were collected from state revenue sharing and half -cent sales tax sources. • An increase in licenses and permits revenue of $ 0.3 million primarily due to higher than anticipated building activity. • An increase in charges for services revenue of $ 0.4 million primarily due to an increase in the revenue generated from the police services agreements and new revenues generated from the Arts and Cultural Center which had its grand opening in October 2010. • A decrease in capital outlay expenditures of $ 0.8 million primarily due to less purchases of equipment and machinery The Charter School Fund is used to record the operations of the Aventura City of Excellence School. The School's intergovernmental revenues increased by $ 0.3 million primarily due to the addition of 40 students to increase the total number of students to 972. Additionally, expenditures increased $ 0.3 million due to an increase in teachers' salaries. The Street Maintenance Fund is used to record the operations of the street maintenance and construction costs, which are designated by State Statute. Debt Service Fund 2000 Series is used to record principal retirement and did not have any significant changes from the prior year. Proprietary Fund The proprietary fund showed a $ 0.1 million increase in net assets from the prior year. Total revenues decreased by approximately $ 65,000 and expenses decreased by approximately $ 16,000; due to a decrease in cost of sales and services of approximately $ 44,000 while depreciation expense increased by approximately $ 28,000. E CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 General Fund Budgetary Highlights During the year, the original budget was amended and revenues and expenditures were increased by approximately $ 2.5 million as follows: 0 $ 0.9 million related to the reappropriation (in 2010/2011) of remaining capital funds budgeted in fiscal year 2009/2010 for capital projects which were incomplete at the end of that fiscal year. • $ 0.3 million related to the State of Florida contribution to the Police Officers' Retirement Plan. • $ 0.7 million related to the increase in building permit activity. • $ 0.6 million related to operational overages in various departments which were offset by additional revenue. During the year, revenues exceeded budgetary estimates and expenditures were less than budgetary estimates, resulting in a positive variance in the net change in fund balance of approximately $ 1.7 million. As explained earlier, much of the unrestricted fund balance will be utilized in future years to fund various capital needs. Utility service taxes, licenses and permits, charges for services, and fines and forfeitures revenue exceeded the revised budget by $ 0.3 million, $ 0.2 million, $ 0.3 million and $ 0.5 million, respectively. Nondepartmental capital outlay was $ 14.8 million less than budgeted because the City budgets a reserve for future capital expenditures which accounts for the majority of the appropriated beginning fund balance. Capital Assets and Debt Administration Capital Assets As of September 30, 2011 and 2010, the City had $ 96.4 and $ 98.5, respectively, invested in a variety of capital assets, as reflected in the following schedule: Capital assets (in thousands, net of depreciation) Governmental Business -Type Activities Activities Total 2011 2010 2011 2010 2011 2010 Land $ 17,102 $ 17,102 $ $ $ 17,102 $ 17,102 Buildings 35,063 36,302 35,063 36,302 Improvements other than buildings 8,195 8,554 8,195 8,554 Furniture, machinery and equipment 4,149 4,098 4,149 4,098 Infrastructure 23,991 24,306 7,424 7,326 31,415 31,632 Construction in progress 513 512 - 290 513 802 Total $ 89,013 $ 90,874 $ 7,424 $ 7,616 $ 96,437 $ 98,490 Additional information can be found in Note 6 - Capital Assets. Debt Administration As of year -end, the City had $ 30.045 million in debt outstanding compared to the $ 30.815 million last year, a 2.5 % decrease. All debt is secured only by a covenant to budget and appropriate. 10 CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 Defeasance of bonds - In fiscal year 2010, the City issued Series 2010 Refunding Revenue Bonds to partially advance refund $ 10,580,000 of the then outstanding Series 1999 Revenue Bonds. The City partially advance refunded the Series 1999 Revenue bonds to reduce its total debt service payments over the next nineteen years by approximately $ 2,081,000 and to obtain an economic gain (difference between the present values of the debt service payments on the old and new debt, net of City's contribution) of approximately $ 1,110,200. The call date of this refunding transaction was April 1, 2011. On January 25, 2011, the City issued $ 5,565,000 in Series 2011 Refunding Revenue Bonds with a rate of 3.64% to advance refund the remaining $ 5,700,000 (including a City contribution of $ 336,928) of the then outstanding Series 1999 Revenue Bonds. The gross proceeds of $ 5,901,928 were deposited in an irrevocable trust with an escrow agent to provide for the costs of issuance ($ 60,994) and debt service payments ($ 5,700,000 of principal and $ 140,934 of interest) on the call date of April 1, 2011. The reacquisition price amounted to the net carrying amount of the old debt. The City advanced refunded the remaining Series 1999 Revenue bonds to reduce its total debt service payments over the next eighteen years by approximately $ 1,085,000 and to obtain an economic gain (difference between the present values of the debt service payments on the old and new debt, net of City's contribution) of approximately $ 530,000. The debt position of the City is summarized below and is more fully explained in Note 7: Bonded Debt and Notes Payable (in thousands) Governmental Activities 2011 2010 Business -Type Activities Total 2011 2010 2011 2010 Non -Ad Valorem bonds $ 30,045 $ 30,815 $ - $ - $ 30,045 $ 30,815 Economic Factors and Next Year's Budgets and Rates The State of Florida, by constitution, does not have a state personal income tax and therefore the State operates primarily using sales, gasoline and corporate income taxes. Local governments (cities, counties, school boards) primarily rely on property and a limited array of permitted other taxes (utility taxes, franchise fees and occupational licenses) as well as intergovernmental revenues for their governmental activities. For business -type activities and certain governmental activities (construction services and recreational programs), the user pays a related fee or charge associated with the service. The adopted operating and capital budget for fiscal year 2012 totals approximately $ 49.9 million, 12.00% lower (after eliminating capital) than the final operating and capital budget for fiscal year 2011. Over the past four (4) years, the City has experienced huge losses in property tax revenue. Between the economic recession that resulted in lower property values and voter - approved constitutional amendments that took effect three (3) years ago, the City's taxable value has decreased from $ 9.609 billion to $ 7.291 billion. This represents a loss of 24.6% or $ 4.2 million in tax revenue compared to the 2007 tax roll year. It is important to note that for next year's budget cycle the taxable values are expected to decrease again due to the continuing decline in the housing market. The economic recession has negatively affected many of the City's other revenue sources as well. 11 CITY OF AVENTURA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS September 30, 2011 As far as expenditures are concerned, due to privatizing and outsourcing many City services over the years, completing $ 126 million in capital projects since 1996 and maintaining prudent reserve funds, the City has stabilized costs and is in a better position than most to weather the current economic slowdown. Prior year's comprehensive reevaluation of service levels and budget line items which resulted in operating cost reductions also played a key role in creating the foundation and financial stability for the City to respond to lower revenues as we prepared this year's budget. Requests for Information This financial report is designed to provide our citizens, taxpayers, customers and investors and creditors with a general overview of the City's finances and to demonstrate the City's accountability. If you should have any questions pertaining to the information presented in this report or would like additional information, please contact the City's Finance Director at 19200 W. Country Club Drive, Aventura, Florida 33180. 12 CITY OF AVENTURA, FLORIDA STATEMENT OF NET ASSETS September 30, 2011 NET ASSETS: Invested in capital assets, net of related debt Restricted for: Public safety Capital improvements Debt service Unrestricted Total net assets 59,215,769 978,458 484,268 231,562 38,621,886 7,424,095 993,386 66,639,864 978,458 484,268 231,562 39,615,272 $ 99,531,943 $ 8,417,481 $ 107,949,424 The accompanying notes to the financial statements are an integral part of these statements. 13 Governmental Business -Type Activities Activities Total ASSETS: Cash, cash equivalents and investments $ 43,303,183 $ 962,058 $ 44,265,241 Receivables, net of allowance for uncollectibles 597,359 - 597,359 Due from other governments 1,072,481 75,685 1,148,166 Prepaid expenses 45,108 - 45,108 Inventories 22,671 - 22,671 Bond issuance costs, net 429,489 - 429,489 Net pension asset 219,038 - 219,038 Restricted cash, cash equivalents and investments 500,657 - 500,657 Capital assets: Nondepreciable 17,615,681 - 17,615,681 Depreciable, net of accumulated depreciation 71,397,294 7,424,095 78,821,389 Total assets 135,202,961 8,461,838 143,664,799 LIABILITIES: Accounts payable 1,149,609 44,357 1,193,966 Accrued liabilities 1,302,672 - 1,302,672 Due to other governments 1,571 - 1,571 Unearned revenues 675,821 - 675,821 Accrued interest payable 80,952 - 80,952 Due within one year: Compensated absences payable 618,297 - 618,297 Bonds payable 1,315,000 - 1,315,000 Due in more than one year: Compensated absences payable 1,854,890 - 1,854,890 Bonds payable 28,482,206 - 28,482,206 OPEB obligation 190,000 - 190,000 Total liabilities 35,671,018 44,357 35,715,375 NET ASSETS: Invested in capital assets, net of related debt Restricted for: Public safety Capital improvements Debt service Unrestricted Total net assets 59,215,769 978,458 484,268 231,562 38,621,886 7,424,095 993,386 66,639,864 978,458 484,268 231,562 39,615,272 $ 99,531,943 $ 8,417,481 $ 107,949,424 The accompanying notes to the financial statements are an integral part of these statements. 13 FUNCTIONS /PROGRAMS; Governmental activities: General government Public safety Community services Interest and fiscal charges CITY OF AVENTURA, FLORIDA STATEMENT OF ACTIVITIES For the Year Ended September 30, 2011 Expenses $ 4,917,160 18,928,521 14,947,707 1,396,059 Program Revenues Operating Capital Charges for Grants and Grants and Services Contributions Contributions 4,917,288 1,596,122 Total governmental activities 40,189,447 6,513,410 Business -type activities: Stormwater utility 827,090 843,930 $ 8,677 180,154 7,370,827 7,559,658 Total $ 41,016,537 $ 7,357,340 $ 7,559,658 General revenue: Taxes: Ad valorem taxes Utility service taxes Franchise fees Intergovernmental, not restricted for specific purposes Interest income Impact fees Miscellaneous Total general revenues Change in net assets Net assets at beginning of year Net assets at end of year 500,068 500,068 .. $ 608,930 The accompanying notes to the financial statements are an integral part of these statements. 14 Net Revenue (Expense) and Chance in Net Assets Governmental Business -Type Activities Activities Total $ (4,908,483) $ - $ (4,908,483) (13,831,079) - (13,831,079) (5,480,690) - (5,480,690) (1,396,059) - (1,396,059) (25,616,311) - (25,616,311) - 125,702 125,702 (25,616,311) 125,702 (25,490,609) 11,734,232 - 11,734,232 7,379,830 - 7,379,830 2,684,216 - 2,684,216 4,182,305 - 4,182,305 195,382 3,562 198,944 189,440 - 189,440 397,287 - 397,287 26,762,692 3,562 26,766,254 1,146,381 129,264 1,275,645 98,385,562 8,288,217 106,673,779 $ 99,531,943 $ 8,417,481 $ 107,949,424 15 CITY OF AVENTURA, FLORIDA BALANCE SHEET - GOVERNMENTAL FUNDS September 30, 2011 Debt Service Charter Street Fund Nonmajor Total General School Maintenance Series Governmental Governmental Fund Fund Fund 2000 Funds Funds ASSETS: Cash and cash equivalents and investments $ 38,626,760 $ 2,800,724 $ 466,739 $ 13,617 $ 1,395,343 $ 43,303,183 Restricted cash, cash equivalents and investments - - - 500,533 124 500,657 Accounts receivable, net 567,427 5,014 - 24,918 597,359 Due from other governments 789,343 8,978 273,470 690 1,072,481 Inventories 22,671 - - - 22,671 Prepaid expenditures 14,533 30,575 - - - 45,108 Total assets $ 40,020,734 $ 2,845,291 $ 740,209 $ 514,150 $ 1,421,075 $ 45,541,459 LIABILITIES AND FUND BALANCES: Liabilities: Accounts payable $ 754,683 $ 186,326 $ 202,300 $ - $ 6,300 $ 1,149,609 Accrued liabilities 347,631 274,705 - 401,470 278,866 1,302,672 Due to other governments - 1,571 - - 1,571 Deferred revenue 699,222 - 91,100 - 1,110 791,432 Total liabilities 1,801,536 462,602 293,400 401,470 286,276 3,245,284 Fund balances: Nonspendable: Inventories 22,671 - - - - 22,671 Prepaid expenditures 14,533 30,575 - - 45,108 Restricted for: Capital improvements - - 446,809 37,459 484,268 Public safety - - 978,458 978,458 Debt service - 112,680 118,882 231,562 Committed to: Capital reserves 15,193,488 - - 15,193,488 Hurricane /emergency and disaster recovery operating reserves 5,000,000 - 5,000 000 Assigned to: Charter school operations - 2,352,114 2,352,114 Public safety /police communication radio system upgrades 1,560,000 - 1,560,000 Subsequent year's budget 559,548 559,548 Unassigned: General Fund 15,868,958 - - - - 15,868,958 Total fund balances 38,219,198 2,382,689 446,809 112,680 1,134,799 42,296,175 Total liabilities and fund balances $ 40,020,734 $ 2,845,291 $ 740,209 $ 514,150 $ 1,421,075 $ 45,541,459 The accompanying notes to financial statements are an integral part of these statements. 16 CITY OF AVENTURA, FLORIDA RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS TO THE STATEMENT OF NET ASSETS September 30, 2011 Total Fund balances - governmental funds $ 42,296,175 Capital assets used in governmental activities are not financial resources and therefore, are not reported in the funds: The cost of capital assets is $ 123,129,748 Accumulated depreciation is (34,116,773) 89,012,975 Intergovernmental revenue is not available to pay for current period expenditures and, therefore, is deferred in the funds. 115,611 Net pension asset resulting from excess contributions to pension plans is not reported in the fund financial statements. 219,038 OPEB obligation resulting from deficiency of contributions to OPEB plans is not reported in the fund financial statements as it is not due and payable in the current period. (190,000) Other assets used in governmental activities are not financial resources and therefore are not reported in governmental funds: Deferred charge on bond issuance costs 429,489 Deferred loss on bond refunding 247,794 677,283 Long -term liabilities are not due and payable in the current period and, therefore, are not reported in the funds: Compensated absences (2,473,187) Bonds payable (30,045,000) Accrued interest payable (80,952) (32,599,139) Net assets of governmental activities $ 99,531,943 The accompanying notes to financial statements are an integral part of these statements. 17 CITY OF AVENTURA, FLORIDA STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Year Ended September 30, 2011 EXPENDITURES: Current: General government 4,274,015 Debt - 4,274,015 Public safety 17,486,207 - - Service 150,171 17,636,378 Community services 4,485,802 Charter Street Fund Nonmajor Total Capital outlay General School Maintenance Series Governmental Governmental Debt service: Fund Fund Fund 2000 Funds Funds REVENUES: - - - 295,000 340,000 635,000 Ad valorem taxes $ 11,734,232 $ $ $ $ $ 11,734,232 Utility service taxes 7,465,029 212,940 999,942 7,465,029 Franchise fees 2,684,216 - - - 49,496 2,684,216 Intergovernmental 2,925,320 7,052,509 1,579,286 507,940 207,527 11,764,642 Licenses and permits 2,374,902 - - - 2,374,902 Charges for services 2,294,410 520,242 443,841 (482,723) - 2,814,652 Fines and forfeitures 1,874,214 - - 222,463 2,096,677 Impact fees - - 170,929 - 18,511 189,440 Interest income 150,516 12,078 2,181 25,217 5,390 195,382 Miscellaneous 113,679 300,999 - - - 414,678 Total revenues 31,616,518 7,885,828 1,752,396 25,217 453,891 41,733,850 EXPENDITURES: Current: General government 4,274,015 - 4,274,015 Public safety 17,486,207 - - 150,171 17,636,378 Community services 4,485,802 6,658,517 939,630 - 12,083,949 Capital outlay 2,000,116 163,750 368,925 - 63,808 2,596,599 Debt service: Principal - - - 295,000 340,000 635,000 Advance refunding escrow - 336,928 336,928 Interest 212,940 999,942 1,212,882 Trustee fees and other - - - - 49,496 49,496 Total expenditures 28,246,140 6,822,267 1,308,555 507,940 1,940,345 38,825,247 Excess (deficiency) of revenues over expenditures 3,370,378 1,063,561 443,841 (482,723) (1,486,454) 2,908,603 OTHER FINANCING SOURCES (USES): Issuance of debt - - - - 5,565,000 5,565,000 Transfers in 118,340 100,000 447,809 1,650,361 2,316,510 Transfers out (1,753,899) (444,271) - (118,340) (2,316,510) Payment to refunded bond escrow agent - (5,504,006) (5,504,006) Total other financing sources (uses) (1,635,559) (344,271) - 447,809 1,593,015 60,994 Net change in fund balances 1,734,819 719,290 443,841 (34,914) 106,561 2,969,597 FUND BALANCES, beginning 36,484,379 1,663,399 2,968 147,594 1,028,238 39,326,578 FUND BALANCES, ending $ 38,219,198 $ 2,382,689 $ 446,809 $ 112,680 $ 1,134,799 $ 42,296,175 The accompanying notes to financial statements are an integral part of these statements. 18 CITY OF AVENTURA, FLORIDA RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES For the Year Ended September 30, 2011 Net change in fund balances - total governmental funds $ 2,969,597 Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of those assets is depreciated over their estimated useful lives and reported as depreciation expense. This is the amount by which capitalized capital outlays exceeded depreciation in the current period: Expenditures for capital assets $ 2,390,219 Less current year's depreciation (4,230,208) (1,839,989) In the statement of activities, the loss on the disposal of assets is reported, whereas in the governmental funds, the proceeds from the sale increase financial resources. The change in net assets differs from the change in fund balance by: Cost of the assets disposed (320,253) Related accumulated depreciation 299,123 (21,130) The issuance of long -term debt provides current financial resources to governmental funds: however, has no effect on net assets: Bond issue costs 40,113 Issuance of debt (5,565,000) (5,524,887) Repayment of bond principal is an expenditure in the governmental funds, but the repayment reduces long -term liabilities in the statement of net assets. 6,335,000 Some expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in governmental funds: Net pension obligation (asset) (298,491) OPEB obligation (16,000) Interest 2,125 Amortization of deferred loss on refunding (13,766) Amortization of bond issuance costs (21,219) Compensated absences (47,967) (395,318) Receivables in governmental fund are susceptible to full accrual on the government -wide statements (376,892) Change in net assets of governmental activities $ 1,146,381 The accompanying notes to financial statements are an integral part of these statements. 19 CITY OF AVENTURA, FLORIDA STATEMENT OF NET ASSETS PROPRIETARY FUND September 30, 2011 Stormwater Utility Fund ASSETS: Current assets: Cash, cash equivalents and investments $ 962,058 Due from other governments 75,685 Total current assets 1,037,743 Noncurrent assets: Capital assets, net of accumulated depreciation 7,424,095 Total noncurrent assets 7,424,095 Total assets 8,461,838 LIABILITIES: Current liabilities: Accounts payable 44,357 Total liabilities 44,357 NET ASSETS: Invested in capital assets 7,424,095 Unrestricted 993,386 Total net assets $ 8,417,481 The accompanying notes to financial statements are an integral part of these statements. 20 CITY OF AVENTURA, FLORIDA STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS PROPRIETARY FUND For the Year Ended September 30, 2011 Stormwater Utility Fund OPERATING REVENUES: Charges for services $ 843,930 OPERATING EXPENSES: Cost of sales and services 527,574 Depreciation expense 299,516 Total operating expenses 827,090 Operating income 16,840 NONOPERATING REVENUES: Interest income 3,562 Income before contributions 20,402 CAPITAL CONTRIBUTIONS - GRANTS 108,862 Change in net assets 129,264 NET ASSETS, beginning 8,288,217 NET ASSETS, ending $ 8,417,481 The accompanying notes to financial statements are an integral part of these statements. 21 CITY OF AVENTURA, FLORIDA STATEMENT OF CASH FLOWS PROPRIETARY FUND For the Year Ended September 30, 2011 CASH FLOWS FROM OPERATING ACTIVITIES: Cash received from customers, users and other $ 842,942 Cash paid to suppliers (490,741) Net cash provided by operating activities 352,201 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES: Purchase of capital assets (107,251) Net cash used in capital and related financing activities (107,251) CASH FLOWS PROVIDED BY INVESTING ACTIVITIES: Proceeds from capital grants * 284,165 Interest received 3,562 Net cash provided by investing activities 287,727 Net increase in cash, cash equivalents and investments 532,677 CASH, CASH EQUIVALENTS AND INVESTMENTS, beginning 429,381 CASH, CASH EQUIVALENTS AND INVESTMENTS, ending $ 962,058 RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES: Operating income 16,840 Adjustments to reconcile operating income to net cash provided by operating activities: Depreciation expense 299,516 Changes in assets and liabilities: Increase in due from other governments (988) Increase in accounts payable 36,833 Total adjustments 335,361 Net cash provided by operating activities $ 352,201 * Capital contributions for the year ended September 30, 2011 are all associated with cash transactions. The accompanying notes to financial statements are an integral part of these statements. 22 CITY OF AVENTURA, FLORIDA STATEMENT OF FIDUCIARY NET ASSETS POLICE OFFICERS' RETIREMENT PLAN FUND September 30, 2011 ASSETS: Investments, at fair value: Common stocks $ 8,786,433 U.S. Government securities 2,936,342 Corporate bonds 2,494,702 Money market funds 990,078 Receivables: Employer contributions 62,217 Accrued interest 52,729 Total assets 15,322,501 LIABILITIES: Accounts payable 3,125 Total liabilities 3,125 Net assets held in trust for pension benefits $ 15,319,376 The accompanying notes to financial statements are an integral part of these statements. 23 CITY OF AVENTURA, FLORIDA STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS POLICE OFFICERS' RETIREMENT PLAN FUND For the Year Ended September 30, 2011 ADDITIONS: Contributions: Employer $ 1,645,843 Employees 512,005 State of Florida, premium tax 250,125 Total contributions 2,407,973 Investment earnings: Net depreciation in fair value of investments (419,228) Interest and dividend income 329,667 Total investment income (89,561) Less investment expense 144,868 Net investment income (234,429) Total additions 2,173,544 I�J� 11I�yL�]►1�`)F Administrative expenses 45,614 Benefits paid 155,845 Total deductions 201,459 Change in net assets 1,972,085 NET ASSETS HELD IN TRUST FOR PENSION BENEFITS, beginning 13,347,291 NET ASSETS HELD IN TRUST FOR PENSION BENEFITS, ending $ 15,319,376 The accompanying notes to financial statements are an integral part of these statements. 24 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The City of Aventura, Florida (the "City ") was incorporated on November 7, 1995, under the provisions of Chapter 63 -1675 Laws of Florida. The City operates under a commission - manager form of government and provides the following full range of municipal services as authorized by its charter: public safety, highways and streets, building, licensing and code compliance, culture and recreation, public works and stormwater management, public records and general administrative services. The Comprehensive Annual Financial Report (the "CAFR ") of the City includes all funds. The financial statements of the City have been prepared to conform with accounting principles generally accepted in the United States of America ( "GAAP ") as applicable to state and local governments. The Governmental Accounting Standards Board ( "GASB ") is the accepted standard - setting body for establishing governmental accounting and financial reporting principles. Significant accounting and reporting policies and practices used by the City are described below: A. Financial Reporting Entity Accounting principles generally accepted in the United States of America require that the reporting entity include: (1) the primary government, (2) organizations for which the primary government is financially accountable and (3) other organizations for which the nature and significance of their relationship with the primary government are such that exclusion would cause the reporting entity's financial statements to be misleading or incomplete. The criteria provided in Section 2100 of the Codification of Government Accounting and Financial Reporting Standards have been considered and there are no agencies or entities which should be presented with the City. B. Government Wide and Fund Financial Statements The basic financial statements include both government -wide (based on the City as a whole) and fund financial statements. The government -wide financial statements (i.e., the statement of net assets and the statement of activities) report information on all activities of the City. For the most part, the effect of interfund services provided and used has been eliminated from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business -type activities, which rely to a significant extent on fees and charges for services. The government -wide statement of activities demonstrates the degree to which the direct expenses of a given function or segment is offset by program revenues. Direct expenses are those expenses that are clearly identifiable with a specific function or segment. Program revenues include: 1) charges to customers or applicants who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operation or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. The net cost (by function) is normally covered by general revenue (i.e., property taxes, sales taxes, franchise taxes, unrestricted intergovernmental revenues, interest income, etc.). 25 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Separate fund financial statements are provided for governmental funds, proprietary funds and fiduciary funds, even though the latter are excluded from the government -wide financial statements. The focus of fund financial statements is on major funds. Major individual governmental funds and the major individual enterprise fund are reported as separate columns in the fund financial statements. GASB Statement No. 34 sets forth minimum criteria (percentage of assets, liabilities, revenues or expenditures /expenses of either fund category for the governmental and enterprise combined or funds that management deems of public importance) for the determination of major funds. The nonmajor funds are combined and presented in a single column in the fund financial statements. The government- wide -focus is more on the - sustainability of the City as an entity and the - change in aggregate financial position resulting from the activities of the fiscal period. The focus of the fund financial statements is on the major individual funds of the governmental and business- type categories, (by category). Each presentation provides valuable information that can be analyzed and compared to enhance the usefulness of the information. C. Measurement Focus, Basis of Accounting and Financial Statement Presentation The government -wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary and fiduciary fund financial statements. Revenues are recorded when earned and, expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year when an enforceable lien exists and when levied for. Grants and similar items are recognized as revenues as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences, pension, other postemployment benefits and claims and judgments, are recorded only when due. Property taxes when levied for, franchise fees, utility taxes, charges for services, impact fees, intergovernmental revenues when eligibility requirements are met and interest associated with the current fiscal period are all considered to be measurable and have been recognized as revenues of the current fiscal period, if available. All other revenue items such as fines and forfeitures and licenses and permits are considered to be measurable and available when cash is received by the City. 26 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Proprietary fund -type operating statements present increases (e.g., revenues) and decreases (e.g., expenses) in net total assets. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal. ongoing operations. The principal operating revenues of the proprietary fund are charges to customers for sales and services. Operating expenses for proprietary funds include the costs of sales and services, administrative expenses and depreciation on capital assets. All revenues and expenses that do not meet this definition are reported as nonoperating revenues or expenses. The City reports the following major governmental funds: General Fund - This fund is the principal operating fund of the City. All general tax revenues and other receipts that are not allocated by law or contractual agreement to another fund are accounted for in this fund. Charter School Fund - This fund is used to account for revenues and expenditures from the operations of the Aventura City of Excellence School, a special revenue fund of the City. Street Maintenance Fund - This fund is used to account for revenues and expenditures, which by State Statue are designated for street maintenance and construction costs. Debt Service Fund Series 2000 - is used to account for the payment of principal, interest and other expenditures associated with the Series 2000 Revenue Bonds. The City reports the following major proprietary fund: Stormwater Utility Fund - This fund accounts for the operation of the City's stormwater system. Additionally, the government reports the following fiduciary fund type: Police Officers' Retirement Plan Fund - This fund accounts for the activities of the Police Officers' Retirement Plan that accumulates resources for pension benefits to qualifying police officers. The private- sector standards of accounting and financial reporting issued prior to December 1, 1989, generally are followed in both the government -wide and proprietary fund financial statements to the extent that those standards do not conflict with or contradict guidance of the GASB. Governments also have the option of following subsequent private - sector guidance for their business -type and enterprise funds, subject to the same limitation. The government has elected not to follow subsequent private- sector guidance. As a general rule, the effect of interfund activity has been eliminated from the government - wide financial statements. Amounts reported as program revenues include: 1) charges to customers or applicants for goods, services or privileges provided and fines and forfeitures, 2) operating grants and contributions and 3) capital grants and contributions. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes. 27 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) The City uses restricted amounts to be spent first when both restricted and unrestricted fund balance is available unless there are legal documents /contracts that prohibit doing this, such as in grant agreements requiring dollar for dollar spending. Additionally, the City would first use committed fund balance, followed by assigned fund balance and then unassigned fund balance when expenditures are incurred for purposes for which amounts in any of the unrestricted fund balance classifications could be used. Cash, cash equivalents and investments - Cash and cash equivalents are defined as demand deposits, money market accounts and other short -term investments with original maturities of three months or less from the date of acquisition. The City maintains a pooled cash account for all funds. This enables the City to invest large amounts of idle cash for short periods of time and to optimize earnings potential. Cash and cash equivalents represents the amount owned by each City fund. Resources of all funds, with the exception of the pension fund, are also combined into investment pools for the purpose of maximizing investment yields. Interest earned on pooled cash and investments is allocated monthly based on cash balances of the respective funds. The City's investments are reported at their fair value based on quoted market prices as reported by recognized security exchanges except for the Guaranteed Investment Contract which is recorded at cost. The pension plan's investments in common stocks, corporate bonds and U.S. government securities are reported at fair value based on quoted market price. Investments in money market funds are valued at amortized cost. 2. Receivables and payables - Transactions between funds that are representative of an outstanding lending /borrowing arrangement at the end of the year are referred to as either "interfund receivables / payables." Any residual outstanding balances between the governmental activities and business -type activities at year -end are reported in the government -wide financial statements as internal balances. 3. Prepaid expenses /expenditures - Certain payments to vendors reflect costs applicable to a future accounting period and are recorded as prepaid items in both government -wide and fund financial statements. 4. Inventories - Inventories are valued at the lower of cost (first -in, first -out) or market. These amounts are reported as nonspendable in governmental fund financial statements. Inventory is accounted for using the consumption method whereby inventories are recorded as expenditures when they are used. 5. Capital assets - Capital assets purchased or acquired with an original cost of $ 5,000 or more are reported at historical cost or estimated historical cost. Contributed assets are reported at fair value as of the date received. Additions, improvements and other capital outlays that significantly extend the useful life of an asset are capitalized. Other costs incurred for repairs and maintenance are expensed as incurred. Depreciation on all assets is provided on the straight -line basis over the following estimated useful lives: Buildings 25 Improvements other than buildings 20-30 Infrastructure 20-40 Furniture, machinery and equipment 3 -20 0 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Within governmental funds (government -wide level), amounts incurred for the acquisition of capital assets are reported as fund expenditures. Depreciation expense is not reported within the governmental fund financial statements. 6. Unearned /deferred revenues - Unearned revenues at the government -wide level, governmental and business -type activities, are reported when the City receives resources before it has earned the revenues. Furthermore, governmental funds report deferred revenue in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period. 7. Compensated absences payable - The City's sick leave policy permits employees to accumulate earned but unused sick pay benefits. Upon termination, sick pay is paid out, between 0-100% based on length of service. The City's vacation policy is that earned vacation is cumulative although limited to certain maximums based on length of service. Accumulated compensated absences are recorded in the government -wide and proprietary fund financial statements when earned. Expenditures for accumulated compensated absences have been recorded in the governmental funds only if they have matured, (e.g., resulting from employee resignations and retirements). Payments are generally paid out of the General Fund. Long-term obligations - In the government -wide financial statements and proprietary fund types in the fund financial statements, long -term debt and other long -term obligations are reported as liabilities in the applicable governmental activities, business -type activities or proprietary fund type statement of net assets. Bond premiums, discounts and issuance costs are deferred and amortized over the life of the bonds using the straight line method, which approximates the effective interest method. Bonds payable are reported net of the applicable premiums and discounts. For bond refundings resulting in the defeasance of debt reported in the government -wide financial statements and proprietary fund types in the fund financial statements, the difference between the reacquisition price and the net carrying amount of the old debt is deferred and amortized as a component of interest expense. The accounting gain or loss is amortized over the remaining life of the old debt or the life of the new debt, whichever is shorter, and is presented as an addition to or reduction of the face amount of the new debt. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issue costs in the year of issuance. Bond proceeds at face value and premiums are reported as other financing source. Bond discounts are reported as other financing use. Issuance costs, even if withheld from the actual net proceeds received, and bond principal payments are reported as debt service expenditures. 9. Equity classifications Government -Wide and Proprietary Fund Statements: Equity is classified as net assets and displayed in three components: Invested in ca ital assets, net of related debt - consists of capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, notes or other borrowings that are attributable to the acquisition, construction or improvements of those assets. 29 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) b. Restricted net assets - consists of net assets with constraints placed on the use either y: external groups such as creditors, grantors, contributors or laws or regulations of other governments, or 2) law through constitutional provisions or enabling legislation. C. Unrestricted net assets - all other net assets that do not meet the definition of "restricted" or invested in capital assets, net of related debt." Fund Equity: During the year, the City adopted GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions. This statement requires that governmental fund financial statements present fund balances based on classifications that comprise a hierarchy that is based primarily on the extent to which the City is bound to honor constraints on the specific purposes for which amounts in the respective governmental funds can be spent. The classifications used in the governmental fund financial statements are as follows: Nonspendable: This classification includes amounts that cannot be spent because they are either (a) not in spendable form or (b) are legally or contractually required to be maintained intact. "Not in spendable form" includes items that are not expected to be converted to cash (such as inventories and prepaid amounts) and items such as long -term amount of loans and notes receivable, as well as property acquired for resale. The corpus (or principal) of a permanent fund is an example of an amount that is legally or contractually required to be maintained intact. In fiscal year 2011, this represents $ 67,779. Restricted: This classification includes amounts for which constraints have been p acac -lithe use of the resources either (a) externally imposed by creditors (such as through a debt covenant), grantors, contributors, or laws or regulations of other governments, or (b) imposed by law through constitutional provisions or enabling legislation. In fiscal year 2011, this represents $ 1,694,288. Committed: This classification includes amounts that can be used only for specific purposes pursuant to constraints imposed by formal action of the City Commission. These amounts cannot be used for any other purpose unless the Commission removes or changes the specified use by taking the same type of action (ordinance or resolution) that was employed when the funds were initially committed. Resources accumulated pursuant to stabilization arrangements are reported in this category. In fiscal year 2011, this represents $ 20,193,488. Ass, i�ned: This classification includes amounts that are constrained by the City's intent to be used for a specific purpose but are neither restricted nor committed. This intent can be expressed by the Commission through the Commission delegating this responsibility to the City Manager. In fiscal year 2011, this represents $ 4,471,662. In the general fund, assigned fund balance for subsequent year's budget is comprised of $ 504,120 and $ 55,428 representing the appropriation of a portion of existing fund balance in the 2012 budget and outstanding encumbrances, respectively. Unassigned: This classification includes the residual fund balance for the General Fund. —This classification represents fund balance that has not been assigned to other funds and that has not been restricted, committed, or assigned to specific purposes within the General Fund. Unassigned fund balance may also include negative balances for any governmental fund if expenditures exceed amounts restricted, committed or assigned for those specific purposes. In fiscal year 2011, this represents $ 15,868,958. 30 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) 10. Minimum Fund Balance Policy and Hurricane /Emergency and Disaster Recovery Reserve - The City's policy is to maintain an adequate General Fund balance to meet seasonal shortfalls in cash flow and reduce susceptibility to emergency and unanticipated expenditures and /or revenue shortfalls. The City's Commission has adopted a financial standard to maintain a Hurricane /Emergency and Disaster Recovery's Operating Reserve at a minimum level of $ 5,000,000 and a Fiscal Stability Reserve of 10% of the annual General Fund revenue. 11. Encumbrances - Encumbrance accounting, under which purchase orders, contracts and other commitments for the expenditure of funds are recorded in order to reserve that portion of the applicable appropriation, is employed as an extension of formal budgetary integration. Encumbrances are recorded at the time a purchase order or other commitment is entered into. Encumbrances outstanding at year -end represent the estimated amount of expenditures which would result if unperformed purchase orders and other commitments at year -end are completed. Encumbrances lapse at year -end; however, the City generally intends to honor purchase orders and other commitments in process. As a result, encumbrances outstanding at year -end are re- appropriated in the next fiscal year and are therefore presented as committed or assigned fund balance for the subsequent year. 12. Use of estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. 13. Date of management review - Subsequent events were evaluated by management through March 1, 2012, which is the date the financial statements were available to be issued. NOTE 2 - PROPERTY TAXES Property taxes are assessed as of January 1 each year and are first billed (levied) and due the following November 1. Under Florida law, the assessment of all properties and the collection of all county, municipal, school board and special district property taxes are consolidated in the Offices of the County Property Appraiser and County Tax Collector. The laws for the State regulating tax assessments are also designed to assure a consistent property valuation method statewide. State statutes permit municipalities to levy property taxes at a rate of up to 10 mills ($ 10 per $ 1,000 of assessed taxable valuation). The millage rate assessed by the City for the year ended September 30, 2011 was 1.7261 mills. The City's tax levy is established by the City Commission prior to October 1 of each year, and the County Property Appraiser incorporates the millage into the total tax levy, which includes Miami -Dade County, Miami -Dade County School Board and certain other special taxing districts. All property is reassessed according to its fair market value as of January 1 each year. Each assessment roll is submitted to the Executive Director of the Florida Department of Revenue for review to determine if the assessment rolls meet all of the appropriate requirements of State Statutes. 31 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 2 - PROPERTY TAXES (continued) All real and tangible personal property taxes are due and payable on November 1 each year or as soon as practicable thereafter as the assessment roll is certified by the County Property Appraiser. Miami -Dade County mails each property owner on the assessment roll a notice of the taxes due and collects the taxes for the City. Taxes may be paid upon receipt of the notice from Miami -Dade County, with discounts at the rate of 4 % if paid in the month of November, 3 % if paid in the month of December, 2 % if paid in the month of January and 1 % if paid in the month of February. Taxes paid during the month of March are without discount, and all unpaid taxes on real and tangible personal property become delinquent and liens are placed on April 1 of the year following the year in which the taxes were assessed. Procedures for the collection of delinquent taxes by Miami -Dade County are provided for in the laws of Florida. There were no material delinquent property taxes as of September 30, 2011 NOTE 3 - DEPOSITS AND INVESTMENTS Deposits: The City's custodial credit risk policy is in accordance with Florida Statutes. Florida Statutes authorize the deposit of City funds in demand deposits or time deposits of financial institutions approved by the State Treasurer. These are defined as public deposits. All City public deposits are held in qualified public depositories pursuant to Chapter 280, Florida Statutes, "Florida Security for Public Deposits Act." Under the act, all qualified public depositories are required to pledge eligible collateral having a market value equal to or greater than the average daily or monthly balance of all public deposits times the depository's collateral pledging level. The collateral pledging level may range from 50% to 125% depending upon the depository's financial condition and the length of time that the depository has been established. All collateral must be deposited with the State Treasurer. Any losses to public depositors resulting from insolvency are covered by applicable deposit insurance, sale of securities pledged as collateral and, if necessary, assessment against other qualified public depositories of the same type as the depository in default. The City's bank balances were insured either by the federal depository insurance corporation or collateralized in the bank's participation in the Florida Security for Public Deposits Act. The Florida SBA Pool is not a registrant with the Securities and Exchange Commission ( "SEC "); however, its board has adopted operating procedures consistent with the requirements for a 2a -7 fund. The SBA investments are allocated among two funds, Fund A and Fund B (hereinafter referred to as "Florida PRIME" and "LGIP -B "). For the Florida PRIME, a 2a7 -like pool, the value of the City's position is the same as the value of the pool shares and is recorded at amortized cost. At September 30, 2011, the City's investment in the Florida PRIME was that of $ 17,159,721. In accordance with these requirements, the method used to determine the participants' shares sold and redeemed is the amortized cost method. The amortized cost method is the same method used to report investments. Amortized cost includes accrued income and is a method of calculating an investment's value by adjusting its acquisition cost for the amortization of discount or premium over the period from purchase to maturity. Thus, the City's account balance in the SBA is its amortized cost. The LGIP -B pool is accounted for as a fluctuating net asset value "NAV." The balance of the City's investment in LGIP -B at year end amounted to $ 106,216, with a net asset value factor of 0.7568386. The SBA is governed by Chapter 19 -7 of the Florida Administrative Code. These rules provide guidance and establish the general operating procedures for the administration of the SBA. Additionally, the Office of the Auditor General of the State of Florida performs the operational audit of the activities and investment of the SBA. The SBA accounts are not subject to custodial credit risk as these investments are not evidenced by securities that exist in physical or bank entry form. 32 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 3 - DEPOSITS AND INVESTMENTS (continued) Investments: On June 2, 2009 and on November 1, 2011, the City adopted and re- adopted, respectively, Chapter 6.6 of the Administrative Policy and Directives and Procedures Manual, entitled "Investments Objective and Parameters," as the City's Investment Policy for the management of Public Funds ( "the policy "). The policy was created in accordance with Section 218.415, Florida Statutes. The policy applies to all investments held and controlled by the City, with the exception of the Police Officers' Pension Plan and its debt issuance where there are other existing policies or indentures in effect for the investment of related funds. The City's policy for investments other than pension plan and debt issuance is summarized below. The Finance Director has responsibility for the type of investments the City makes. The investment policy establishes permitted investments, asset allocation, issuer limits, credit rating requirements and maturity limits to protect the City's assets. All investment securities are held by a Trust custodian, and are managed by financial advisors. The City's policy allows them to invest, but is not limited to the following: (1) obligations of the United States and its agencies; (2) highly rated obligations of any state of the United States or of any political subdivision; authority or agency thereof, (3) shares or other interests in custodial arrangements or pools maintaining constant net asset values and in highly rated no -load open -end money market mutual funds (with constant or fluctuating net asset values) whose portfolios are limited to obligations of the United States and its agencies, and repurchase agreements fully collateralized by such obligations; and (4) the Florida Local Government Surplus Funds Trust Fund "SBA". The City policy for pension investments is under the oversight of the Plan's Board of Trustees (the "Board "). The Board contracts with an investment advisory firm and approves any new investment vehicles presented by the consultant. The Board follows all applicable state statutes. The City has a Guaranteed Investment Contract ( "GIC ") that is not subject to interest rate risk classification because it is a direct contractual investment and is not a security. The GIC also is not rated for credit risk classification purposes. The GIC provides for a guaranteed return on investments over a specific period of time at a rate of 5.04% per annum. The value of the GIC as of September 30, 2011 is $ 523,868 and the value of the GIC is expected to be sufficient to meet the reserve fund requirement for the Series 2000A Revenue Note of a minimum of $ 500,000. The GIC is recorded at the contract amount which is $ 500,657. Interest rate risk - The City's policy is to limit its exposure to fair value losses arising from changes in interest rates by structuring the investment portfolio so that securities mature to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities on the open market prior to maturity, and investing operating funds primarily in shorter -term securities, money market mutual funds or similar investment pools. The City does not have a formal investment policy for its pension funds that limits investment maturities as a means of managing its exposure to fair value losses arising from increasing interest rates. A segmented time distribution table at September 30, 2011 is presented later in this report. W CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 3 - DEPOSITS AND INVESTMENTS (continued) Concentration - The City's policy is to maintain a diversified portfolio to minimize the risk of loss resulting from concentration of assets in a specific issuer. Specific limits have been established which limit the percentage of portfolio assets that can be invested with a specific issuer. GASB Statement No. 40 requires disclosure when the percentage is 5 % or more in any one issuer. Investments issued or explicitly guaranteed by the U.S. government and investments in mutual funds external investments pools, or other pooled investments are excluded from this requirement. The City had no total investments in any one issuer requiring disclosure in accordance with GASB Statement No. 40. The pension fund limits investments that may be invested in any one issuer to no more than 5 % of plan net assets, other than those issued by the U.S. Government or its Agencies. More than 5 % of the Fund's plan net assets are invested in debt securities issued by the U. S. Treasury. The U. S. Treasury investments represented 13.90% of Plan Net Assets. Given the restriction to the highest rating, this concentration is not viewed to be an additional risk to the City. Custodial credit risk - For an investment, custodial credit risk is the risk that, in the event of the failure of the counterparty (e.g., broker - dealer) to a transaction, a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party. The City's investment policy requires securities, with the exception of certificates of deposit, to be registered in the City's name and held with a third party custodian. As of September 30, 2011, the City's cash, cash equivalents and investments consisted of the following: Cash and cash equivalents and investments: State Board of Administration - SBA, Florida PRIME $ 17,159,721 Deposits with financial institutions 11,517,374 U.S. Government obligations 6,417,935 U.S. treasury bills 5,666,410 Corporate bonds 1,661,097 Municipal obligations 643,968 Collateralized mortgage obligations 631,239 Guaranteed investment contract 500,657 Money market funds 381,885 State Board of Administration - SBA, Fund B 106,216 Mortgage- backed securities 77,241 Petty cash 2,155 44, 765, 898 Fiduciary fund investments: Common stocks 8,786,433 U.S. Government securities 2,936,342 Corporate bonds 2,494,702 Money market funds 990,078 15,207,555 $ 59,973,453 34 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 3 - DEPOSITS AND INVESTMENTS (continued) Cash, cash equivalents and investments are classified in the accompanying financial statements as follows: Statement of Net Assets: Cash, cash equivalents and investments $ 44,265,241 Restricted cash, cash equivalents and investments 500,657 44,765,898 Statement of Fiduciary Net Assets: Greater Common stocks 8,786,433 U.S. Government securities 2,936,342 Corporate bonds 2,494,702 Money market funds 990,078 City Investments: 15,207,555 $ 59,973,453 Interest rate risk: This is the risk that changes in market interest rates will adversely affect the fair value of an investment. Generally, the longer the maturity of an investment, the greater the sensitivity of its fair value to changes in market interest rates. The City's policy is that unless matched with specific cash flow, the City will not directly invest in securities maturing more than seven (7) years from the date of purchase. Because of inherent difficulties in accurately forecasting cash flow requirements, a portion of the portfolio should be continuously invested in readily available funds to ensure that proper liquidity is maintained to meet ongoing obligations. Information about the exposure of the City's debt -type investments to this risk using the segmented time distribution model is as follows: 35 Investment Maturities (in Years) Greater Summary of Investments Fair Less Than 1 -5 6 -10 Than and Interest Rate Risk Value 1 Year Years Years 10 Years City Investments: State Board of Administration - SBA, Florida PRIME $ 17,159,721 $ 17,159,721 $ - $ - $ - U.S. Government obligations 6,417,935 1,007,116 5,410,819 - - U.S. treasury bills 5,666,410 1,455,360 4,211,050 - - Corporate bonds 1,661,097 198,227 1,462,870 - - Municipal obligations 643,968 110,731 533,237 - - Collateralized mortgage obligations 631,239 543,159 88,080 - - Money market funds 381,885 381,885 - - - State Board of Administration - SBA, Fund B 106,216 - 106,216 - - Mortgage - backed securities 77,241 77,241 - - Subtotal - City Investments 32,745,712 20,856,199 11,889,513 - - 35 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 3 - DEPOSITS AND INVESTMENTS (continued) Credit risk: Generally, credit risk is the risk that an issuer of a debt -type investment will not fulfill its obligation to the holder of the investment. This is measured by assignment of a rating by a nationally- recognized rating organization. The City's investment policy provides strict guidelines and limits investments to highly rated securities with minimum ratings of AAA /Aaa and AAAm /AAAm -G (money market mutual funds). The Finance Director shall determine the appropriate action for any investment held that is downgraded below the minimum rating by one or more rating agencies. The pension fund limits its credit risk by limiting its fixed income investments to securities with the top four (4) ratings issued by nationally recognized statistical rating organizations. U.S. government securities or obligations explicitly guaranteed by the U.S. government are not considered to have credit risk exposure. Investments in the LGIP -B, certain money market funds, and certain U.S. government obligations are not rated. The City's and fiduciary fund portfolio is rated by Moody's Investors Services as follows: Fair Rating Value City Investments: Aaa $ 13,714,969 Aa 1 Investment Maturities (in Years) Aa2 1,148,305 Aa3 416,200 Greater Summary of Investments Fair Less Than 1 -5 6 -10 Than and Interest Rate Risk Value 1 Year Years Years 10 Years Fiduciary Fund: A2 558,970 A3 281,557 U.S. Government securities 2,936,342 585,331 1,961,401 389,610 Corporate bonds 2,494,702 178,557 1,801,161 514,984 - Money market funds 990,078 990,078 - - Subtotal - Fiduciary Fund 6,421,122 1,753,966 3,762,562 904,594 Total investments $ 39,166,834 $ 22,610,165 $ 15,652,075 $ 904,594 $ Credit risk: Generally, credit risk is the risk that an issuer of a debt -type investment will not fulfill its obligation to the holder of the investment. This is measured by assignment of a rating by a nationally- recognized rating organization. The City's investment policy provides strict guidelines and limits investments to highly rated securities with minimum ratings of AAA /Aaa and AAAm /AAAm -G (money market mutual funds). The Finance Director shall determine the appropriate action for any investment held that is downgraded below the minimum rating by one or more rating agencies. The pension fund limits its credit risk by limiting its fixed income investments to securities with the top four (4) ratings issued by nationally recognized statistical rating organizations. U.S. government securities or obligations explicitly guaranteed by the U.S. government are not considered to have credit risk exposure. Investments in the LGIP -B, certain money market funds, and certain U.S. government obligations are not rated. The City's and fiduciary fund portfolio is rated by Moody's Investors Services as follows: Fair Rating Value City Investments: Aaa $ 13,714,969 Aa 1 150,302 Aa2 1,148,305 Aa3 416,200 AAAm 17,159,721 P -1 49,999 Not rated 106,216 32,745,712 Fiduciary Fund: Al 682,198 A2 558,970 A3 281,557 AA2 367,536 AA3 604,441 Not rated 3,926,420 6,421,122 $ 39,166,834 36 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 3 - DEPOSITS AND INVESTMENTS (continued) Foreign credit risk: For an investment, foreign credit risk is the risk that fluctuates in currency exchange rates may affect transactions conducted in currencies other than U.S. dollars and the carrying value of foreign investments. The City is not exposed to foreign credit risk. The pension fund's exposure to foreign credit risk derives mainly from its investments in international equity securities which amounted to $ 2,083,435 in U.S. dollars. The pension fund's investment policy limits the foreign investments to no more than 25% of the pension fund's investment balance. As of the year end, the foreign investments were 13.7% of total investments. The investments by currency type are as follows: Currencv Fair Value Canada $ 334,566 France 212,906 Ireland 91,246 Israel 106,453 Japan 243,320 Netherlands 167,283 South Africa 136,868 United Kingdom 212,906 Other 577,887 Total $ 2,083,435 NOTE 4 - RECEIVABLES Receivables as of September 30, 2011 consist of the following: Charter Nonmajor General School Govermental Fund Fund Funds Total Governmental funds: Utility service taxes $ 397,146 $ - $ - $ 397,146 Police services 91,566 - 24,918 116,484 Vendors 43,616 5,014 - 48,630 Franchise fees 35,099 - - 35,099 Total governmental funds $ 567,427 $ 5,014 $ 24,918 $ 597,359 37 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 5 - INTERFUND TRANSFERS Interfund transfers during the year ended September 30, 2011 were as follows: Transfers Transfers In Out General Fund $ 118,340 $ 1,753,899 Charter School Fund 100,000 444,271 Debt Service Fund Series 2000 447,809 - Other nonmajor governmental funds 1,650,361 118,340 $ 2,316,510 $ 2,316,510 Transfers are used to: (1) move revenues from the fund that statute or budget requires to collect them, to the fund that statute or budget requires to expend them from or (2) use of unrestricted revenues collected in the General Fund to finance various programs accounted for in other funds in accordance with budgetary authorizations. Transfers to the General Fund represent reimbursement of cost from the 911 Fund of $ 118,340. The transfer to the Charter School Fund consists of $ 100,000 from the General Fund which is being used to support future capital projects occurring in the Charter School Special Revenue Fund. The remaining transfers represent transfers to meet debt service requirements in the Debt Service Funds. NOTE 6 - CAPITAL ASSETS Capital assets activity for the year ended September 30, 2011 was as follows: Balance Retirements Balance October 1, and September 30, 2010 Additions Transfers 2011 Governmental activities: Capital assets, not being depreciated: Land Construction in progress Total capital assets, not being depreciated Capital assets, being depreciated: Buildings Improvements other than buildings Infrastructure Furniture, machinery and equipment Total capital assets, being depreciated $ 17,102,344 $ - $ - $ 17,102,344 511,880 513,337 (511,880) 513,337 17,614,224 513,337 (511,880) 17,615,681 43,779,593 42,772 - 43,822,365 10,923,306 53,327 - 10,976,633 35,634,762 1,069,100 - 36,703,862 13,107,897 1,223,563 (320,253) 14,011,207 $ 103,445,558 $ 2,388,762 $ (320,253) $ 105,514,067 38 CITY OF AVENTURA, FLORIDA $ 554,959 NOTES TO BASIC FINANCIAL STATEMENTS 828,647 Community services September 30, 2011 $ 4,230,208 NOTE 6 - CAPITAL ASSETS (continued) Stormwater utility $ 299,516 Balance Retirements Balance October 1, and September 30, 2010 Additions Transfers 2011 Less accumulated depreciation for: Buildings $ 7,477,977 $ 1,281,338 $ - $ 8,759,315 Improvements other than buildings 2,369,152 412,552 - 2,781,704 Infrastructure 11,328,897 1,384,527 - 12,713,424 Furniture, machinery and equipment 9,009,662 1,151,791 (299,123) 9,862,330 Total accumulated depreciation 30,185,688 4,230,208 (299,123) 34,116,773 Total capital assets, being depreciated, net 73,259,870 (1,841,446) (21,130) 71,397,294 Governmental activities capital assets, net $ 90,874,094 $ (1,328,109) $ (533,010) $ 89,012,975 Business -type activities: Capital assets, not being depreciated: Construction in progress $ 290,709 $ 68,796 $ (359,505) $ - Capital assets, being depreciated: Infrastructure 9,260,616 397,960 - 9,658,576 Less accumulated depreciation 1,934,965 299,516 - 2,234,481 Total capital assets, being depreciated, net 7,325,651 98,444 - 7,424,095 Business -type activities capital assets, net $ 7,616,360 $ 167,240 $ . (359,505) $ 7,424,095 Depreciation expense was charged to function/programs of the primary government as follows: Governmental activities: General government $ 554,959 Public safety 828,647 Community services 2,846,602 $ 4,230,208 Business -type activities: Stormwater utility $ 299,516 T CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 7 - LONG -TERM LIABILITIES OF GOVERNMENTAL ACTIVITIES Changes in Governmental Activities long -term liabilities during the year ended September 30, 2011 were as follows: Deferred loss on early retirement of Revenue Bonds payable of Series 1999 (261,560) - (13,766) (247,794) - $ 33,152,660 $ 6,795,138 $ 7,487,405 $ 32,460,393 $ 1,933,297 Revenue bonds as of September 30, 2011 were comprised of the following: Series 2000 Revenue Bonds, principal is due annually over 20 years in various amounts through October 2020. The bonds bear interest at 5.04% and are payable semi - annually on October 1 and April 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. $ 3,930,000 Series 2002 Revenue Bonds issued from the Florida Intergovernmental Finance Commission. Principal is due annually over 30 years in various amounts through August 2032. The bonds bear interest at various rates (2.10% - 5.00 %) and are payable semi - annually on February 1 and August 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. Series 2010 Refunding Revenue Bonds, principal is due annually over 19 years in various amounts through April 2029. The bonds bear interest at 3.42% and are payable semi - annually on October 1 and April 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. 40 10,165,000 10,385,000 Balance Balance October 1, September 30, Due Within 2010 Additions Retirements 2011 One Year Series 1999 Revenue Bonds payable $ 5,700,000 $ - $ 5,700,000 $ - $ - Series 2000 Revenue Bonds payable 4,225,000 - 295,000 3,930,000 310,000 Series 2002 Revenue Bonds payable 10,505,000 - 340,000 10,165,000 355,000 Series 2010 Refunding Revenue Bonds payable 10,385,000 - - 10,385,000 430,000 Series 2011 Refunding Revenue Bonds payable - 5,565,000 - 5,565,000 220,000 Compensated absences payable 2,425,220 1,214,138 1,166,171 2,473,187 618,297 Other post - employment benefits 174,000 16,000 - 190,000 - Deferred loss on early retirement of Revenue Bonds payable of Series 1999 (261,560) - (13,766) (247,794) - $ 33,152,660 $ 6,795,138 $ 7,487,405 $ 32,460,393 $ 1,933,297 Revenue bonds as of September 30, 2011 were comprised of the following: Series 2000 Revenue Bonds, principal is due annually over 20 years in various amounts through October 2020. The bonds bear interest at 5.04% and are payable semi - annually on October 1 and April 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. $ 3,930,000 Series 2002 Revenue Bonds issued from the Florida Intergovernmental Finance Commission. Principal is due annually over 30 years in various amounts through August 2032. The bonds bear interest at various rates (2.10% - 5.00 %) and are payable semi - annually on February 1 and August 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. Series 2010 Refunding Revenue Bonds, principal is due annually over 19 years in various amounts through April 2029. The bonds bear interest at 3.42% and are payable semi - annually on October 1 and April 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. 40 10,165,000 10,385,000 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 7 - LONG -TERM LIABILITIES OF GOVERNMENTAL ACTIVITIES (continued) Series 2011 Refunding Revenue Bonds, principal is due annually over 18 years in various amounts through April 2029. The bonds bear interest at 3.64% and are payable semi - annually on October 1 and April 1 of each year. The bonds are collateralized by available Non -Ad Valorem revenues. 5,565,000 $ 30,045,000 Compensated absences attributable to governmental activities are generally liquidated by the General Fund. Series 1999, Series 2010 (refunding), and Series 2011 (refunding) Revenue Bonds The City previously issued $ 21,000,000 in Series 1999 Revenue Bonds to finance the acquisition of land, buildings and other improvements related to municipal parks and the City's administrative complex and police station. At September 30, 2011, this bond series was fully defeased. Defeasance of bonds - In fiscal year 2010, the City issued Series 2010 Refunding Revenue Bonds to partially advance refund $ 10,580,000 of the then outstanding Series 1999 Revenue Bonds. The City partially advance refunded the Series 1999 Revenue bonds to reduce its total debt service payments over the next nineteen years by approximately $ 2,081,000 and to obtain an economic gain (difference between the present values of the debt service payments on the old and new debt, net of City's contribution) of approximately $ 1,110,200. The call date of this refunding transaction was on April 1, 2011. On January 25, 2011, the City issued $ 5,565,000 in Series 2011 Refunding Revenue Bonds with a rate of 3.64% to advance refund the remaining $ 5,700,000 (including a City contribution of $ 336,928) of the then outstanding Series 1999 Revenue Bonds. The gross proceeds of $ 5,901,928 were deposited in an irrevocable trust with an escrow agent to provide for the costs of issuance ($ 60,994) and debt service payments ($ 5,700,000 of principal and $ 140,934 of interest) on the call date of April 1, 2011. The reacquisition price amounted to the net carrying amount of the old debt. The City advance refunded the remaining Series 1999 Revenue Bonds to reduce its total debt service payments over the next eighteen years by approximately $ 1,085,000 and to obtain an economic gain (difference between the present values of the debt service payments on the old and new debt, net of City's contribution) of approximately $ 530,000. Series 2000 Revenue Bonds The City previously issued $ 6,555,000 in Series 2000 Revenue Bonds to finance the acquisition of land for parks and recreational purposes and for the construction of a community recreation center. The bond indenture relating to this issue requires that a reserve fund of $ 500,000 be established, the balance of which as of September 30, 2011 was sufficient to meet this requirement. The indenture also requires the maintenance of a minimum debt service coverage ratio of 2.50:1.00. 41 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 7 - LONG -TERM LIABILITIES OF GOVERNMENTAL ACTIVITIES (continued) Series 2002 Revenue Bonds The City previously entered into a bond indenture agreement with the Florida Intergovernmental Finance Commission through an interlocal governmental agreement. As a result, the City issued $ 12,610,000 in Series 2002 Revenue Bonds to finance the acquisition of land and construction of a charter school as well as the construction of the community recreation center. The bond indenture relating to this issue requires a reserve fund in the amount of $ 842,000. The City purchased a surety bond to meet this requirement. The annual debt service requirements to maturity for the revenue bonds are approximately as follows: Year Ending September 30, Principal Interest Total 2012 $ 1,315,000 $ 1,230,600 $ 2,545,600 2013 1,365,000 1,178,300 2,543,300 2014 1,420,000 1,123,300 2,543,300 2015 1,485,000 1,065,500 2,550,500 2016 1,540,000 1,004,800 2,544,800 2017 -2021 8,355,000 3,999,000 12,354,000 2022 -2026 7,350,000 2,367,400 9,717,400 2027 -2031 6,495,000 842,800 7,337,800 2032 -2035 720,000 36,000 756,000 $ 30,045,000 $ 12,847,700 $ 42,892,700 NOTE 8 - COMMITMENTS AND CONTINGENCIES Litigation: Various claims and lawsuits, which arise in the normal course of operations, are pending against the City. It is management's opinion, based on the advice of the City Attorney, that the outcome of these actions will not have a material adverse effect on the financial statements of the City. Management also believes that the litigation against the City will be covered by insurance. Government grants: Revenue recognized from grants may be subject to audit by the grantor agencies. In the opinion of City management, as a result of such audits, disallowances of grant revenues, if any, would not have a material adverse effect on the City's financial condition. Employment agreement: The City has an employment contract with its City Manager that provides for an annual salary, adjusted for cost -of- living increases and certain benefits. This agreement is effective for an indefinite term subject to termination of the City Manager by the City Commission in accordance with Article III, Section 3.08 of the City Charter. The City Manager must provide two (2) months advance written notice to resign voluntarily. 42 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 8 - COMMITMENTS AND CONTINGENCIES (continued) Charter school agreements: The City has a contract with the School Board of Miami -Dade County, Florida that provides for Aventura City of Excellence School to provide the residents of the City of Aventura an education choice: for up to 972 elementary and middle school students. The contract ends on June 30, 2018 but provides for a renewal of up to 15 years by mutual agreement of both parties. The City has entered into an agreement with Charter School USA, Inc. ( "CSUSA ") to provide administrative and educational services for the City's charter school. The agreement terminates on June 30, 2013. Other agreements: The City has entered into nonexclusive agreement with an engineering consulting firm (the "Consultant ") to provide building inspections and plan review services. Pursuant to the agreements, the Consultant receives 70% of the gross building permit fee revenues for the first $ 100,000 in fees in a month and 65 % of the amount in excess of $ 100,000 per month. However, the Consultant receives 35% of the permit fee for all projects owned, paid for and to be operated by the City. Pension funding: There have been significant negative economic developments surrounding the overall market - liquidity, credit availability and market collateral levels which have resulted in declines in the value of the investment securities held by the Police Officers' Retirement Plan. Consequently, the City's required contribution amount to the Plan, which is necessary to maintain the actuarial soundness and to provide the level of assets sufficient to meet participant benefits, could significantly increase in future periods. It is management's opinion that future contributions to the Plan will not have a material adverse effect on the City's financial position. Construction agreements: The City has entered into various agreements in reference to the construction and maintenance of the City streets. At year -end, remaining outstanding construction commitments amounted to approximately $ 270,000. NOTE 9 - RISK MANAGEMENT The City is exposed to various risks of loss related to torts, thefts of, damage to and destruction of assets, errors and omissions, employee health, workers' compensation and natural disasters for which the City carries commercial insurance. Settlement amounts have not exceeded insurance coverage for any of the past three (3) fiscal years. In addition, there were no reductions in insurance coverage from those in the prior year. NOTE 10 - OTHER POST - EMPLOYMENT BENEFITS The City had previously implemented the Governmental Accounting Standards Board Statement No. 45, Accounting and Reporting by Employers for Postemployment Benefits Other Than Pension (OPEB), for certain postemployment health care benefits provided by the City. 43 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 10 - OTHER POST - EMPLOYMENT BENEFITS (continued) As of October 1, 2011, the latest actuarial valuation, health care and dental plan participants consisted of: Active Plan participants 178 Retiree Plan participants and spouses 6 184 Plan Description: Pursuant to Section 112.0801, Florida Statutes, the City is required to permit participation in the health insurance program to retirees and their eligible dependents at a cost to the retiree that is no greater than the cost at which coverage is available for active employees. Other than certain department directors, retirees must pay a monthly premium as determined by the insurance carrier. Pursuant to Resolution 2006 -64; department directors who retire at age 55 or later with at least 10 years of service are not required to pay a premium for medical or dental coverage for themselves prior to age 65. Retirees pay 100% of the blended equivalent premium rates. The blended rates provide an implicit subsidy for retirees because, on an actuarial basis, their current and future claims are expected to result in higher costs to the plan on average than those of active employees. The plan described above is currently offered by the City under a "single employer plan" structure. The City provides all financial information and required disclosures of its other post - employment benefit plan in this document; therefore, a separate audited post - employment benefits plan report is not available. Funding Policy: The City is funding the post employment benefits on a pay -as- you -go basis. For the fiscal year ended September 30, 2011, the annual required contribution was $ 124,000. The City made an implied contribution of $ 95,000 towards this amount. Retirees contributed $ 38,966 towards the cost of these benefits, for the fiscal year ended September 30, 2011. At September 30, 2011 the City recorded a net OPEB obligation of $ 190,000 for governmental activities, in its government -wide statement of net assets. Annual OPEB Cost and Net OPEB Obligation: The annual other postemployment benefit (OPEB) cost (expense) is calculated based on the annual required contribution (ARC), an amount actuarially determined in accordance with the parameters of GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover the normal cost each year and amortize any unfunded actuarial liability over a period not to exceed 30 years. The following table shows the components of the City's annual OPEB cost for the year, the amount actually contributed, and the changes in the net OPEB obligation. 44 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 10 - OTHER POST - EMPLOYMENT BENEFITS (continued) Annual Required Contribution (ARC) Interest on net pension obligation Adjustment to annual required contribution Total annual OPEB cost Employer contributions made Interest on employer obligation Increase in net OPEB obligation Net OPEB obligation, beginning of year Net OPEB obligation, end of year *estimated, reflects both the explicit and implicit subsidy. $ 124,000 7,000 (18,000) 113,000 * (95,000) (2,000) 16,000 174,000 $ 190,000 The City's annual OPEB cost, the percentage of annual OPEB costs contributed to the plan, and the net OPEB obligation for 2011 and two preceding years were as follows: Funded Status and Funding Progress: The schedule of funding progress, presented as RSI following the notes to the financial statements, presents multiyear trend information about whether the actuarial value of plan assets are increasing or decreasing over time relative to the actuarial accrued liability for benefits. An analysis of funding progress (the last plan year valuation date) is as follows: Actuarial Percentage Annual of Annual Year Ending OPEB OPEB Cost Net OPEB September 30, Cost Contributed Obligation 2011 $ 113,000 84.07% $ 190,000 2010 $ 142,000 44.37% $ 174,000 2009 $ 143,000 32.16% $ 96,000 Funded Status and Funding Progress: The schedule of funding progress, presented as RSI following the notes to the financial statements, presents multiyear trend information about whether the actuarial value of plan assets are increasing or decreasing over time relative to the actuarial accrued liability for benefits. An analysis of funding progress (the last plan year valuation date) is as follows: Methods and Assumptions: Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short -term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long -term perspective of the calculations. W Actuarial Accrued Unfunded Liability Actuarial UAAL Actuarial Actuarial at Entry Accrued as % of Valuation Value of Age Liability Funded Covered Covered Date Assets (AAL) (UAAL) Ratio Payroll Payroll 10 /01 /11 $ - $ 710,000 $ 710,000 0.0% $ 12,781,000 5.6% Methods and Assumptions: Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short -term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long -term perspective of the calculations. W CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 10 - OTHER POST - EMPLOYMENT BENEFITS (continued) In the October 1, 2011 actuarial valuation, the projected unit credit cost method was used. The annual required contribution (ARC) reflects a 12 -year open period, level dollar payment amortization of the unfunded actuarial accrued liability (UAAL). The actuarial assumptions included a 4.0 % investment rate of return. The following assumptions were made: Eligibility: For police officers, retirement was assumed to occur at the earlier of any age with at least 25 years of service or at age 55 with at least six (6) years of service; for all other employees eligibility was assumed to occur at the earlier of any age with at least 30 years of service or at age 62 with at least six (6) years of service. Mortality: Sex - distinct mortality rates set forth in the RP -2000 mortality table for annuitants and non- annuitants, projected to 2013 by Scale AA, as published by the IRS for purposes of IRC section 430. Disability: Sex - distinct disability rates set forth in the Wyatt 1985 Disability Study; class 4 rates were used for police officers and class 1 rates were used for all other employees. Permanent Withdrawal from Active Status: Sex - distinct withdrawal rates set forth in Scale 155 table. Investment Rate of Return: A discount rate of 4.00% per annum (includes inflation at 2.50% per annum). Healthcare Cost Trend Rate: The cost of covered medical services has been assumed to increase in accordance with the following rates, compounded annually: 2011/2012 8.00% 2012/2013 7.50% 2013/2014 7.00% 2014/2015 6.50% 2015/2016 6.00% 2016/2017 5.50% 2017/2018 and later 5.00% Implied Subsidy (Medical Insurance): The implied subsidy for a 62 -year old retiree is assumed to be $ 5,400 per year for the retiree and $ 5,400 per year for the retiree's spouse. 46 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 10 - OTHER POST - EMPLOYMENT BENEFITS (continued) Implied Subsidy (Dental Insurance): There is no implied subsidy for the dental insurance since we have assumed that the premium charged for the covered individuals does not increase with age. Age - Related Morbidity: The cost of the medical services has been assumed to increase with age at the rate of 3.50% per annum. Retiree Contribution: Other than eligible department directors, retirees electing post - employment healthcare coverage have been assumed to make monthly contributions equal to the premium charged to active employees. Eligible department directors have been assumed to make the required contribution for healthcare coverage for their spouses. Cost -of- Living Increase: Retiree contributions have been assumed to increase in accordance with the healthcare cost trend assumption. Future Participation Rates: Other than eligible department directors, 5% of eligible employees were assumed to elect coverage until age 65 upon retirement or disability; 100% of department directors who are eligible for the explicit subsidy from the City were assumed to elect coverage until age 65. Marriage and Dependent Assumption: 80% of males and 50% of females are assumed to elect coverage at retirement for themselves and their spouses, with husbands assumed to be three (3) years older than their wives; active employees were not assumed to have any dependent children upon retirement or disability. COBRA Assumption: Future healthcare coverage provided solely pursuant to COBRA was not included in the OPEB valuation; because the COBRA premium is determined periodically based on plan experience, it is assumed that the COBRA premium to be paid by the participant fully covers the cost of providing healthcare coverage during the relevant period. 47 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 11 - DEFINED CONTRIBUTION PENSION PLANS The City is a single - employer that contributes to four (4) defined contribution pension plans based on employee classification created in accordance with Internal Revenue Code Section 401(a). The plans currently cover all full -time employees of the City. Under these plans, the City contributes between 7% and an amount equal to the annual IRS maximum depending on employee classifications. City contributions for the City Manager, department directors and assistant department directors vest in the year they are contributed. City contributions to general employees vest beginning after one year of service through year five in 20% increments. Participants are not permitted to make contributions during the year. The City made plan contributions of approximately $ 857,000 during the year. Plan provisions and contribution requirements may be amended by the City Commission. In addition, the City provides to all full -time employees a deferred compensation plan under Section 457 of the Internal Revenue Code. Under this program, employees may voluntarily elect to defer a portion of their salary to future years; with no required contributions from the City. Both programs are administered by ICMA Retirement Corp. The City does not exercise any control or fiduciary responsibility over the Plans' assets. Therefore, the assets, liabilities and transactions are not included in the City's financial statements. NOTE 12 - DEFINED BENEFIT PENSION PLAN The City agreed to provide a defined benefit retirement plan effective October 1, 2003 through a collective bargaining contract between the City and the Miami -Dade County Police Benevolent Association City of Aventura Police Officers' Retirement Plan (the "Plan"). The Plan is a single - employer defined benefit retirement plan. The Plan was established by the City in accordance with a City ordinance and state statutes. The Plan covers, only sworn police officers and is funded by a combination of City contributions, employee contributions, rollover of 401(a) plan assets for certain employees and the proceeds of the state insurance premium tax on casualty insurance policies. The current funding levels of covered payroll are 20.955 % for the City's contribution, 6.775 % for the employee's contribution and 4.133 % for the state premiums tax. The State is required to contribute pursuant to Chapter 185 of the Florida Statutes, a premium on certain casualty insurance contracts written on the City's property. The premium tax is collected by the State and remitted to the City. During the current fiscal year the City received $ 250,125 from the State. The Plan and employee contributions are mandatory for all sworn police officers. Contribution requirements of the Plan members and the participating employer are established and may be changed by an amendment to the City ordinance. The City utilizes the entry age normal cost method. The asset valuation method is a 5 year smooth. Information as of the latest actuarial valuation, dated October 1, 2009, included no cost of living adjustments and a 3.00% annual inflation rate; an annual investment rate of return of 7.50 %; projected annual salary increases of 5.00 %; the amortization method is level dollar, closed; and a remaining amortization period of 24 years. On October 1, 2009, (the last plan year valuation date), Plan membership consisted of: Retirees and beneficiaries receiving benefits 4 Active Plan members 78 48 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 12 - DEFINED BENEFIT PENSION PLAN (continued) The financial statements of the Plan are prepared using the accrual basis of accounting. Plan member contributions are recognized in the period in which the contributions are due. The City's contributions are recognized when due and a formal commitment to provide the contributions has been made. Benefits and refunds are recognized when due and payable in accordance with the terms of the Plan. The general administration, management and investment decisions of the Plan and the responsibility for carrying out its provisions is vested in the five (5) members Board of Trustees. Administrative costs of the Plan are financed through current or prior investment earnings. The City has issued stand -alone financial statements for the Plan, which may be obtained from the City's Finance Department. Benefits: Normal retirement may be received upon attainment the earlier of age 55 with ten (10) years of credited service or upon completion of 25 years of credited service, regardless of age. For the first 40 years of service, the monthly benefit received will be 3.00% of final monthly compensation multiplied by the number of years of service, to a maximum of 80.00 %. Years credited beyond 40 will be taken into account at 2.00% of final compensation per year. Early retirement may be received upon the attainment of age 45 with ten (10) years of credited service. The benefit may be received either on a deferred basis or on an immediate basis. On an immediate basis, the benefit amount will be the normal retirement benefit reduced by 3.00% per year for each year by which the retirement date precedes the normal retirement date. On a deferred basis, the benefit amount will be the same as the normal retirement benefit except that the final compensation and credited service will be based upon the early retirement date. Disability retirement: Members who become disabled due to service - incurred injuries, which arise out of performance of service with the City, will receive a monthly benefit amount equal to the member's accrued benefit but not less than 42.00% of the member's final monthly compensation as of the date of disability, offset by any other payments, such as worker's compensation. Members who become disabled due to non - service - incurred injuries, which do not arise out of performance with the City, and who have completed at least ten (10) years of service, will receive a monthly benefit amount equal to 3.00% of final monthly compensation for each year of credited service, but not less than 30.00 %. Trend information: Trend information indicates the progress made in accumulating sufficient assets to pay benefits when due. An analysis of funding progress for the year ended September 30, 2011 is as follows: 49 Annual Percentage Net Pension Year Ending Pension of APC Obligation/ September 30, Cost Contributed (Asset) 2011 $ 1,659,953 99% $ (219,038) 2010 $ 1,246,909 106% $ (233,148) 2009 $ 885,891 130% $ (159,390) 49 CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 12 - DEFINED BENEFIT PENSION PLAN (continued) Funding progress: The schedule of funding progress, presented as RSI following the notes to the financial statements, presents multiyear trend information about whether the actuarial value of plan assets are increasing or decreasing over time relative to the actuarial accrued liability for benefits. An analysis of funding progress for the year ended September 30, 2009 is as follows: Actuarial Accrued Unfunded Liability Actuarial UAAL Actuarial Actuarial at Entry Accrued as % of Valuation Value of Age Liability Funded Covered Covered Date Assets (AAL) (UAAL) Ratio Payroll Payroll 10/01/09 $ 10,375,587 $ 16,273,418 $ 5,897,831 63.76% $ 6,418,797 91.88% The annual pension cost and net pension obligation (asset) for the Plan for year ended September 30, 2011 is as follows: Annual Required Contribution (ARC) $ 1,645, 843 Interest on net pension obligation (17,486) Adjustment to annual required contribution 31,596 Annual Pension Cost 1,659,953 Contributions made 1,645,843 Decrease in net pension (asset) obligation 14,110 Net pension (asset) obligation, beginning of year (233,148) Net pension (asset) obligation, end of year $ (219,038) NOTE 13 - PRONOUNCEMENTS ISSUED BUT NOT YET EFFECTIVE The GASB has issued several statements not yet implemented by the City. The statements which might impact the City are as follows: GASB Statement No. 60, Accounting and Financial Reporting for Service Concession Arrangements, was issued November 2010. The objective of this Statement is to improve financial reporting by addressing issues related to service concession arrangements (SCAs), which are a type of public - private or public - public partnership. As used in this Statement, an SCA is an arrangement between a transferor (a government) and an operator (governmental or nongovernmental entity) in which (1) the transferor conveys to an operator the right and related obligation to provide services through the use of infrastructure or another public asset (a "facility ") in exchange for significant consideration and (2) the operator collects and is compensated by fees from third parties. The provisions of this Statement will be effective for the City beginning with its year ending September 30, 2013. CITY OF AVENTURA, FLORIDA NOTES TO BASIC FINANCIAL STATEMENTS September 30, 2011 NOTE 13 - PRONOUNCEMENTS ISSUED BUT NOT YET EFFECTIVE (continued) GASB Statement No. 61, The Financial Reporting Entity: Omnibus an Amendment of GASB Statements No. 14 and No. 34, was issued November 2010. The objective of this Statement is to improve financial reporting for a governmental financial reporting entity. This Statement modifies certain requirements for inclusion of component units in the financial reporting entity. This Statement also clarifies the reporting of equity interests in legally separate organizations. The provisions of this Statement will be effective for the City beginning with its year ending September 30, 2013. GASB Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre - November 30, 1989 FASB and AICPA Pronouncements, was issued December 2010. The objective of this Statement is to incorporate into the GASB's authoritative literature certain accounting and financial reporting guidance that is included in the following pronouncements issued on or before November 30, 1989, which does not conflict with or contradict GASB pronouncements: 1) Financial Accounting Standards Board (FASB) Statements and Interpretations; 2) Accounting Principles Board Opinions; and 3) Accounting Research Bulletins of the American Institute of Certified Public Accountants' (AICPA) Committee on Accounting Procedure. The provisions of this Statement will be effective for the fiscal year ending September 30, 2013. GASB Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position, was issued June 2011. The objective of this Statement is to provide financial reporting guidance for deferred outflows of resources and deferred inflows of resources as defined by GASB's Concepts Statement No. 4. It also amends the net asset reporting requirements in Statement No. 34, Basic Financial Statements —and Management's Discussion and Analysis for State and Local Governments, and other pronouncements by incorporating deferred outflows of resources and deferred inflows of resources into the definitions of net assets and by renaming it as net position, rather than net assets. The requirements of this Statement will improve financial reporting by standardizing the presentation and the effects on a government's net position. The provisions of this Statement will be effective for the fiscal year ending September 30, 2013. GASB Statement No. 64, Derivative Instruments: Application of Hedge Accounting Termination Provisions —an amendment of GASB Statement No. 53, was issued on June 2011. This Statement amends GASB Statement No. 53 and provides clarification on whether an effective hedging relationship continues after the replacement of a swap counterparty or a swap counterparty's credit support provider. This Statement sets forth criteria that establish when the effective hedging relationship continues and hedge accounting should continue to be applied. The requirements of this Statement enhance comparability and improve financial reporting. The provisions of this Statement will be effective for the fiscal year ending September 30, 2012. The City's management has not yet determined the effect that these unadopted standards may have on the City's financial statements. 51 CITY OF AVENTURA, FLORIDA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL - GENERAL FUND For the Year Ended September 30, 2011 Revenues: Ad valorem taxes: Current Delinquent Utility service taxes: Electric Telecommunication Water Gas Franchise fees: Electric Gas Sanitation Towing Total taxes Intergovernmental revenues: Federal grants State and local grants State pension contribution Alcoholic beverage licenses State revenue sharing Half cent sales tax County occupational licenses Total intergovernmental revenues Budgeted Amounts Original Final $ 11,879,670 60,484 3,700,000 2,600,000 800,000 51,000 $ 11, 879, 670 60,484 3,700,000 2,600,000 800,000 51,000 Actual Amounts $ 11,460,434 273,798 3,923,703 2,613,552 895,043 32,731 Variance with Final Budget Positive (Negative) $ (419,236) 213,314 223,703 13,552 95,043 (18,269) 3,150,000 3,150,000 2,212,081 (937,919) 65,000 65,000 29,880 (35,120) 420,000 420,000 412,162 (7,838) 30,000 30,000 30,093 93 22,756,154 8,677 15,000 350,000 1,750,000 44,000 2,167,677 22,756,154 18,000 8,677 284,000 15,000 350,000 1,750,000 44,000 2,469,677 21,883,477 293,299 8,677 250,125 19,772 370,572 1,937,310 45,565 2,925,320 (872,677) 275,299 (33,875) 4,772 20,572 187,310 1,565 455,643 Licenses and permits: City business tax receipts 768,000 768,000 772,821 4,821 Building permits 700,000 1,400,000 1,556,473 156,473 Certificates of occupancy 15,000 15,000 25,873 10,873 Engineering 5,000 5,000 19,735 14,735 Total licenses and permits 1,488,000 2,188,000 2,374,902 186,902 Charges for services: Certificate of use fees 5,200 5,200 4,760 (440) Lien search fees 25,000 25,000 90,950 65,950 Development review fees 25,000 25,000 97,958 72,958 Recreation/cultural events 845,000 965,000 1,075,880 110,880 Police services 1,000,000 1,000,000 1,024,862 24,862 Total charges for services 1,900,200 2,020,200 2,294,410 274,210 52 CITY OF AVENTURA, FLORIDA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL - GENERAL FUND (continued) For the Year Ended September 30, 2011 Other: Interest income 350,000 350,000 150,516 Variance Miscellaneous 78,250 78,250 113,679 with Final Total other 428,250 428,250 264,195 Budget Total revenues Budgeted Amounts Actual Positive 382,237 Original Final Amounts (Negative) Fines and forfeitures: Current County court fees 390,000 390,000 445,092 55,092 Code violation fines 507,000 982,000 1,429,122 447,122 Total fines and forfeitures 897,000 1,372,000 1,874,214 502,214 Other: Interest income 350,000 350,000 150,516 (199,484) Miscellaneous 78,250 78,250 113,679 35,429 Total other 428,250 428,250 264,195 (164,055) Total revenues 29,637,281 31,234,281 31,616,518 382,237 Expenditures: Current General government: City Commission: Personnel services 62,063 62,063 63,816 (1,753) Operating 57,864 57,864 49,234 8,630 City Manager: Personnel services 661,116 705,116 698,859 6,257 Operating 163,300 163,300 144,614 18,686 Capital outlay 2,000 2,000 - 2,000 Finance: Personnel services 749,090 749,090 712,721 36,369 Operating 100,500 100,500 76,281 24,219 Capital outlay 6,000 6,000 4,670 1,330 Information technology: Personnel services 694,501 694,501 648,759 45,742 Operating 221,400 221,400 179,517 41,883 Capital outlay 96,000 334,000 73,457 260,543 Legal: Operating 280,000 280,000 206,789 73,211 City Clerk: Personnel services 214,668 214,668 207,503 7,165 Operating 71,400 71,400 54,363 17,037 Total general government - departmental 3,379,902 3,661,902 3,120,583 541,319 53 CITY OF AVENTURA, FLORIDA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL - GENERAL FUND (continued) For the Year Ended September 30, 2011 Bud eted Amounts Original m Nondepartmental: Operating 1,614,000 Capital outlay 15,433,488 Total general government - nondepartmental 17,047,488 Total general government 20,427,390 Public safety: Police: Personnel services 13,479,877 Operating 1,324,500 Capital outlay 889,900 Community development: Personnel services 708,208 Operating 769,100 Capital outlay 3,000 Total public safety 17,174,585 Community services: Personnel services Operating Capital outlay Arts and cultural center: Operating Capital outlay Total community services Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses): Transfers in Transfers out Appropriated fund balance Total other financing sources (uses) Net change in fund balance 1,389,712 3,075,200 672,450 684,875 100,000 5,922,237 43,524,212 (13,886,931) 164,000 (2,277,069) 16,000,000 13,886,931 1,635,000 14,816,488 16,451,488 20,113,390 14,012,877 1,425,500 1,211,912 708,208 1,794,100 47,000 19,199,597 1,389,712 3,195,200 1,267,864 684,875 110,965 6,648,616 45,961,603 (14,727,322) 164,000 (2,361,534) 16,924,856 14,727,322 Actual Amounts 1,231,559 38.702 1,270,261 4,390,844 13,914,754 1,315,131 647,088 668,350 1,587,972 2,854 18,136,149 1,201,969 2,625,068 1,127,413 658,765 105,932 5,719,147 28,246,140 3,370,378 118,340 (1,753,899) (1,635,559) Variance with Final Budget Positive (Negative) 403,441 14,777,786 15,181,227 15,722,546 98,123 110,369 564,824 39,858 206,128 44,146 1,063,448 187,743 570,132 140,451 26,110 5,033 929,469 17,715,463 18,097,700 (45, 660) 607,635 (16,924,856) (16,362,881) $ 1,734,819 $ 1,734,819 See Notes to Required Supplementary Information. 54 CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL SPECIAL REVENUE FUND STREET MAINTENANCE FUND For the Year Ended September 30, 2011 REVENUES: Intergovernmental revenues Impact fees Interest income Total revenues EXPENDITURES: Operating Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Appropriated fund balance Total other financing sources (uses) Net change in fund balance Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 1,480,000 $ 1,480,000 975,000 505,000 1,480,000 1,480,000 $ 1,480,000 975,000 507,968 1,482,968 (2,968) 1,579,286 $ 170,929 2,181 1,752,396 939,630 368,925 1,308,555 443,841 99,286 170,929 2,181 272,396 35,370 139,043 174,413 446,809 - 2,968 - (2,968) - 2,968 - (2,968) $ - $ - $ 443,841 $ 443,841 See Notes to Required Supplementary Information. 55 CITY OF AVENTURA, FLORIDA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULES OF FUNDING PROGRESS POLICE OFFICERS' RETIREMENT PLAN FUND AND OTHER POST - EMPLOYMENT BENEFITS (UNAUDITED) OTHER POST - EMPLOYMENT BENEFITS (UNAUDITED) UAAL as a Percentage (c) of Covered Covered Payroll Payroll (b- a) /(c) 6,418,797 91.88% 5,576,592 69.76% 4,085,348 66.71% 10/01/11 $ - $ 710,000 $ 710,000 0.0% $ 12,781,000 10/01/08 $ - $ 735,000 $ 735,000 0.0% $ 9,175,000 See Notes to Required Supplementary Information. 56 5.54% 8.01% (b) Actuarial Accrued Liability (a) (AAL)- Unfunded Actuarial Actuarial Frozen AAL Funded Valuation Value Initial (UAAL) Ratio Date of Assets Liability (b) -(a) (a) /(b) POLICE OFFICERS' RETIREMENT PLAN FUND (UNAUDITED) 10/01/09 $ 10,375,587 $ 16,273,418 $ 5,897,831 63.76% $ 10/01 /07 $ 6,935,097 $ 10,825,108 $ 3,890,011 64.06% $ 10 /01 /04 $ 2,393,593 $ 5,118,997 $ 2,725,404 46.76% $ OTHER POST - EMPLOYMENT BENEFITS (UNAUDITED) UAAL as a Percentage (c) of Covered Covered Payroll Payroll (b- a) /(c) 6,418,797 91.88% 5,576,592 69.76% 4,085,348 66.71% 10/01/11 $ - $ 710,000 $ 710,000 0.0% $ 12,781,000 10/01/08 $ - $ 735,000 $ 735,000 0.0% $ 9,175,000 See Notes to Required Supplementary Information. 56 5.54% 8.01% CITY OF AVENTURA, FLORIDA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF CONTRIBUTIONS FROM THE EMPLOYER AND THE STATE OF FLORIDA - POLICE OFFICERS' RETIREMENT PLAN FUND (UNAUDITED) 2011 2010 2009 2008 2007 2006 Annual Required Contribution $ 1,645,843 $ 1,245,754 $ 886,124 $ 1,006,054 $ 994,187 $ 976,702 CITY STATE OF FLORIDA City Percentage Annual Percentage Contribution Contributed Contribution Contributed $ 1,645,843 100.00% $ 250,125 100.00% $ 1,320,667 106.01% $ 284,381 100.00% $ 1,149,156 129.68% $ 265,314 100.00% $ 1,024,908 101.87% $ 163,088 100.00% $ 1,000,802 100.67% $ 160,063 100.00% $ 976,702 100.00% $ 149,567 100.00% See Notes to Required Supplementary Information. 57 CITY OF AVENTURA, FLORIDA NOTES TO REQUIRED SUPPLEMENTARY INFORMATION September 30, 2011 NOTE 1 - BUDGETS AND BUDGETARY ACCOUNTING An annual appropriated budget is adopted for all governmental funds with the exception of the Charter School Fund, Federal Forfeiture Fund and Law Enforcement Trust Fund (Special Revenue Funds). The City follows these procedures in establishing the budgetary data reflected in the basic financial statements: The City Manager submits to the City Commission a proposed operating and capital budget for the ensuing fiscal year. The budget includes proposed expenditures and the means of financing them. b. Public hearings are conducted to obtain taxpayer comments. Prior to October 1, the budget is legally enacted through passage of an ordinance. d. Formal budgetary integration is employed as a management control device during the year for the governmental funds described above. e. The City Commission, by ordinance, may make supplemental appropriations for the year up to the amount of revenues in excess of those estimated. The City Commission made several supplementary budgetary appropriations throughout the year including approximately $ 2,521,000 in the General Fund. f. Budgets for the governmental funds are adopted on a basis consistent with generally accepted accounting principles ( "GAAP "). g. The City Manager is authorized to transfer part or all of an unencumbered appropriation balance within departments within a fund; however, any revisions that alter the total appropriations of any department or fund must be approved by the City Commission. The classification detail at which expenditures may not legally exceed appropriations is at the department level. h. Unencumbered appropriations lapse at fiscal year -end. Unencumbered amounts are reappropriated in the following year's budget for capital accounts only. Expenditures did not exceed appropriations in any of the governmental funds. NOTE 2 - ACTUARIAL ASSUMPTIONS Police Officers' Retirement Plan Fund - Information as of the latest actuarial valuation date of October 1, 2009 (revised March 12, 2010) included no cost of living adjustments and a 3.00% annual inflation rate; an annual investment rate of return of 7.50 %; projected annual salary increases of 5.00%; the amortization method is level dollar, closed; and an amortization period of 24 years. Other Post - Employment Benefits - Information as of the latest actuarial valuation date of October 1, 2011 included an annual investment rate of return of 4.0 %; the amortization method is level dollar; an amortization period of 12 year -open and an actuarial cost method of projected unit credit. 58 NON -MAJOR GOVERNMENTAL FUNDS SPECIAL REVENUE FUNDS Special revenue funds are used to account for specific revenues that are legally restricted to expenditure for particular purposes. Police Education Fund - This fund is used to account for revenues and expenditures associated with the two dollars (2) the City receives from each paid traffic citation, by State Statute, must be used to further the education of the City's police officers. Police Capital Outlay Impact Fee Fund - This fund is used to account for impact fees derived from new developments and restricted by ordinance for police capital improvements. This fund provides a funding source to assist the City in providing police services required by the growth in the City. Park Development Fund - This fund is used to account for revenues and expenditures specifically earmarked for capital improvements to the City's park system. This fund accounts for impact fees derived from new developments and restricted by ordinance for park capital improvement projects. 911 Fund - This fund is used to account for revenues and expenditures specifically earmarked for the City's emergency 911 system in accordance with Florida Statutes 365.172. The funds may be used to provide emergency dispatch systems, training, communication, maintenance and repairs and related capital outlay purchases. The fund offsets a portion of the emergency 911 operations. Federal Forfeiture Fund - This fund is used to account for proceeds obtained from the sale of confiscated and unclaimed property turned over to the City through court judgments. Proceeds are to be used solely for crime fighting purposes. Law Enforcement Trust Fund - This fund is used to account for resources resulting from police department confiscations and their expenditure for law enforcement purposes. DEBT SERVICE FUNDS Debt service funds are used to account for the accumulation of resources for and the payment of principal and interest on all general long -term debt. Debt Service Fund Series 2010 & 2011 - This fund is used to accumulate monies for the payment of the 2010 and 2011 Revenue Bonds. Non -ad valorem tax revenues in the governmental funds are pledged for the payment of principal and interest. Debt Service Fund Series 2002 - Charter School Land Acquisition - This fund is used to accumulate monies for the payment of the 2002 Revenue Bonds. Non -ad valorem tax revenues in the governmental funds are pledged for the payment of principal and interest. Debt Service Fund Series 2002 - Charter School Building Construction - This fund is used to accumulate monies for the payment of the 2002 Revenue Bonds. Non -ad valorem tax revenues in the governmental funds are pledged for the payment of principal and interest. CITY OF AVENTURA, FLORIDA COMBINING BALANCE SHEET OTHER NONMAJOR GOVERNMENTAL FUNDS September 30, 2011 ASSETS: Cash, cash equivalents and investments $ Restricted cash, cash equivalents and investments Special Revenue Funds Police Capital Lai, Police Outlay Park Federal Enforcement Education Impact Development 911 Forfeiture Trust Fund Fee Fund Fund Fund Fund Fund 11,739 $ 35,203 $ 2,256 $ 1,000 $ 717,042 $ 230,479 Accounts receivable, net - - 24,918 - Due from other governments 690 - - - - _ Total assets $ 12,429 $ 35,203 $ 2,256 $ 25,918 $ 717,042 $ 230,479 LIABILITIES AND FUND BALANCES: Liabilities: Accounts payable Accrued liabilities Deferred revenue Total liabilities FUND BALANCES: Restricted for: Public safety Debt service Capital improvements Total fund balances Total liabilities and fund balances 306 $ 5,873 $ 121 1,110 - - - 1,416 5,873 121 12,429 - 24,502 711,169 230,358 - 35,203 2,256 - - - 12,429 35,203 2,256 24,502 711,169 230,358 $ 12,429 $ 35,203 $ 2,256 $ 25,918 $ 717,042 $ 230,479 59 $ - $ _ $ $ 6,300 278,866 - - 278,866 _ _ 1,110 278,866 - - 286,276 - 978,458 1,357 1,000 116,525 118,882 - 37,459 1,357 1,000 116,525 1,134,799 $ 280,223 $ 1,000 $ 116,525 $ 1,421,075 •1 Debt Service Funds Debt Debt Service Fund Service Fund Debt Series 2002 Series 2002 Service Charter Charter Total Fund School School Nonmajor Series 2010 Land Building Governmental & 2011 Acquisition Construction Funds $ 280,223 $ 937 $ 116,464 $ 1,395,343 - 63 61 124 _ _ - 24,918 _ _ - 690 $ 280,223 $ 1,000 $ 116,525 $ 1,421,075 $ - $ _ $ $ 6,300 278,866 - - 278,866 _ _ 1,110 278,866 - - 286,276 - 978,458 1,357 1,000 116,525 118,882 - 37,459 1,357 1,000 116,525 1,134,799 $ 280,223 $ 1,000 $ 116,525 $ 1,421,075 •1 CITY OF AVENTURA, FLORIDA COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OTHER NONMAJOR GOVERNMENTAL FUNDS For the Year Ended September 30, 2011 Special Revenue Funds Police Capital Police Outlay Park Education Impact Development Fund Fee Fund Fund Law Federal Enforcement 911 Forfeiture Trust Fund Fund Fund REVENUES: Intergovernmental revenues $ $ $ - $ 207,527 $ - $ - Fines and forfeitures 7,962 - - 130,187 84,314 Impact fees - 18,511 - - _ - Interest income 43 135 10 257 2,957 822 Total revenues 8,005 18,646 10 207,784 133,144 85,136 EXPENDITURES: Current: Public safety 6,886 - Capital outlay _ _ Debt service: Principal Advance refunding escrow - - Interest Trustee fees and other - Total expenditures 6,886 - Excess (deficiency) of revenues over expenditures 1,119 18,646 OTHER FINANCING SOURCES (USES): Proceeds from refunding bonds - - Transfers in _ _ Transfers out - - Payment to refunded bond escrow agent - - Total other financing sources (uses) - - Net change in 119,946 - 23,339 - 63,178 630 - 119,946 63,178 23,969 10 87,838 69,966 61,167 - (118,340) - - (118,340) - fund balances (deficit) 1,119 18,646 10 (30,502) 69,966 61,167 FUND BALANCES, beginning 11,310 16,557 2,246 55,004 641,203 169,191 FUND BALANCES, ending $ 12,429 $ 35,203 $ 2,256 $ 24,502 $ 711,169 $ 230,358 61 62 Debt Service Funds Debt Debt Service Fund Service Fund Debt Series 2002 Series 2002 Service Charter Charter Total Fund School School Nonmajor Series 2010 Land Building Governmental & 2011 Acquisition Construction Funds $ _ $ $ _ $ 207,527 222,463 18,511 367 1 798 5,390 367 1 798 453,891 - _ - 150,171 _ 63,808 - 160,668 179,332 340,000 336,928 - - 336,928 501,480 235,412 263,050 999,942 40,113 6,029 3,354 49,496 878,521 402,109 445,736 1,940,345 (878,154) (402,108) (444,938) (1,486,454) 5,565,000 - - 5,565,000 802,991 403,099 444,271 1,650,361 _ _ - (118,340) (5,504,006) - - (5,504,006) 863,985 403,099 444,271 1,593,015 (14,169) 991 (667) 106,561 15,526 9 117,192 1,028,238 $ 1,357 $ 1,000 $ 116,525 $ 1,134,799 62 CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL SPECIAL REVENUE FUND POLICE EDUCATION FUND For the Year Ended September 30, 2011 REVENUES: Fines and forfeitures Interest income Total revenues EXPENDITURES: Operating Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Appropriated fund balance Total other financing sources (uses) Net change in fund balance - (11,310) - 11,310 - (11,310) $ - $ - $ 1,119 $ 1,119 63 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 7,000 $ 7,000 $ 7,962 $ 962 - - 43 43 7,000 7,000 8,005 1,005 7,000 18,310 6,886 11,424 7,000 18,310 6,886 11,424 - (11,310) 1,119 12,429 - (11,310) - 11,310 - (11,310) $ - $ - $ 1,119 $ 1,119 63 CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL SPECIAL REVENUE FUND POLICE CAPITAL OUTLAY IMPACT FEE FUND For the Year Ended September 30, 2011 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) REVENUES: Impact fees $ - $ - $ 18,511 $ 18,511 Interest income - - 135 135 Total revenues - - 18,646 18,646 EXPENDITURES: Capital outlay 16,337 16,557 - 16,557 Total expenditures 16,337 16,557 - 16,557 Excess (deficiency) of revenues over expenditures (16,337) (16,557) 18,646 35,203 OTHER FINANCING SOURCES (USES): Appropriated fund balance 16,337 16,557 - (16,557) Total other financing sources (uses) 16,337 16,557 - (16,557) Net change in fund balance $ - $ - $ 18,646 $ 18,646 64 CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL SPECIAL REVENUE FUND PARK DEVELOPMENT FUND For the Year Ended September 30, 2011 REVENUES: Interest income Total revenues EXPENDITURES: Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Appropriated fund balance Total other financing sources (uses) Net change in fund balance Budgeted Amounts Original Final Variance with Final Budget Positive Actual (Negative) 10 10 - 2,246 - 2,246 - 2,246 - 2,246 - (2,246) 10 2,256 2,246 - (2,246) 2,246 - (2,246) $ - $ - $ 10 $ 10 3h, CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL SPECIAL REVENUE FUND 911 FUND For the Year Ended September 30, 2011 REVENUES: Intergovernmental revenues Interest income Total revenues EXPENDITURES: Operating Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Transfers out Appropriated fund balance Total other financing sources (uses) Net change in fund balance Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ 223,000 $ 223,000 $ 207,527 $ (15,473) - 257 257 223,000 223,000 207,784 (15,216) 119,000 114,004 119,946 (5,942) 40,000 - - - 159,000 114,004 119,946 (5,942) 64,000 108,996 87,838 (21,158) (164,000) (164,000) (118,340) 45,660 100,000 55,004 - (55,004) (64,000) (108,996) (118,340) (9,344) $ - $ - $ (30,502) $ (30,502) .. CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL DEBT SERVICE FUND SERIES 2010 & 2011 For the Year Ended September 30, 2011 REVENUES: Interest income $ Total revenues EXPENDITURES: Debt Service: Advance refunding escrow Interest Trustee fees and other Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Proceeds from refunding bonds Transfers in Appropriated fund balance Payment to refunded bond escrow agent Total other financing sources (uses) Net change in fund balance $ Budgeted Amounts Original Final Variance with Final Budget Positive Actual (Negative) 367 $ 367 367 367 540,000 540,000 336,928 203,072 804,988 804,988 501,480 303,508 20,000 80,000 40,113 39,887 1,364,988 1,424,988 878,521 546,467 (1,364,988) (1,424,988) (878,154) 546,834 - 5,565,000 5,565,000 - 1,364,988 1,349,462 802,991 (546,471) - 15,526 - (15,526) (5,505,000) (5,504,006) 994 1,364,988 1,424,988 863,985 (561,003) - $ - $ (14,169) $ (14,169) M CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL DEBT SERVICE FUND SERIES 2000 For the Year Ended September 30, 2011 REVENUES: Interest income Total revenues EXPENDITURES: Debt Service: Principal Interest Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Transfers in Total other financing sources (uses) Net change in fund balance Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) $ - $ - $ 25,217 $ 25,217 25,217 25,217 295,000 295,000 295,000 - 213,363 213,363 212,940 423 508,363 508,363 507,940 423 (508,363) (508,363) (482,723) 25,640 508,363 508,363 447,809 (60,554) 508,363 508,363 447,809 (60,554) 68 $ - $ (34,914) $ (34,914) CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL DEBT SERVICE FUND SERIES 2002 - CHARTER SCHOOL LAND ACQUISITION For the Year Ended September 30, 2011 REVENUES: Interest income Total revenues EXPENDITURES: Debt Service: Principal Interest Trustee fees and other Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Transfers in Appropriated fund balance Total other financing sources (uses) Net change in fund balance Budgeted Amounts Original Final Variance with Final Budget Positive Actual (Negative) 160,668 160,668 160,668 - 235,550 235,550 235,412 138 7,500 7,500 6,029 1,471 403,718 403,718 402,109 1,609 (403,718) (403,718) (402,108) 1,610 403,718 403,709 403,099 (610) - 9 - (9) 403,718 403,718 403,099 (619) $ - $ - $ 991 $ 991 .• CITY OF AVENTURA, FLORIDA SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL DEBT SERVICE FUND SERIES 2002 - CHARTER SCHOOL BUILDING CONSTRUCTION For the Year Ended September 30, 2011 REVENUES: Interest income $ Total revenues EXPENDITURES: Debt Service: Principal Interest Trustee fees and other Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES): Transfers in Total other financing sources (uses) Net change in fund balance $ Budgeted Amounts Original Final Variance with Final Budget Positive Actual (Negative) 798 $ 798 798 798 179,332 179,332 179,332 - 262,912 262,912 263,050 (138) 3,500 3,500 3,354 146 445,744 445,744 445,736 8 (445,744) (445,744) (444,938) 806 445,744 445,744 444,271 (1,473) 445,744 445,744 444,271 (1,473) - $ - $ (667) $ (667) 70 STATISTICAL SECTION STATISTICAL SECTION This part of City of Aventura's comprehensive annual financial report presents detailed information as a context for understanding what information in the financial statements, note disclosures and required supplementary information says about the City's overall financial health. Financial Trends These schedules contain trend information to help the reader understand how the City's financial performance and well -being have changed over time. Net assets by component 71 Changes in net assets 72 -73 Governmental activities tax revenues by source 74 Fund balances of governmental funds 75 Changes in fund balances of governmental funds 76 -77 General governmental tax revenues by source 78 Revenue Capacity These schedules contain information to help the reader assess the City's most significant local revenue source, the property tax. Assessed value and estimated actual assessed value of taxable property 79 Property tax rates - direct and overlapping governments 80 -81 Principal property taxpayers 82 Property tax levies and collections 83 Debt Capacity: These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the future. Ratios of outstanding debt by type 84 Ratios of general bonded debt outstanding 85 Direct and overlapping governmental activity debt 86 Legal debt margin information 87 Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the City's financial activities take place. Demographic and economic statistics 88 Occupational employment by group - Miami -Dade County, Florida 89 Operating Information These schedules contain service and infrastructure data to help the reader understand how the information in the City's financial report relates to the services the City provides and the activities it performs. Full -time equivalent city government employees by function Operating indicators by function Capital asset statistics by function 90 91 92 Sources: Unless otherwise indicated, information in these schedules is derived from the comprehensive annual financial reports for the respective years. The City implemented GASB 34 in 2003. Schedules presenting government -wide information include information beginning with that year. Qi .-w CCi r/1 V oz¢� W w �a� �Uw E-a as w v, w Con z¢ HU U � w � 00 C, tom. � O 0000 r- N 00 V T 0000 O M 00 V 'D 00 r OO N N N V ~ NC7, N m V V1 O\ •--� a, N N lD M F UQ•cd� ti cr, V .--i � r In Cl) D1 �~ M O 64 64 69 64 69 69 N Vii W b V : �o n Vim, M W .[�- N O V N r O h C, h AO 00 r- h M c, 00 M r b 00 N C 0000 00 � V � r a V M - M O 69 6R 69 64 64 69 W G O ID N 00 O N M O Ol .�-r V 1� Ori h V M n N N Cl D` D\ 10 N N •--� T C, n N 00 h V C, N MM 69 64 6/i 69 69 69 OC, � NV OO SOmiM M rnlD� m �� ° r DID o 0 00 o o c� pp 10 00 .D Obi N-+ OM N fq O -+ M r— n 00 h M 00 64 64 69 b4 64 69 h O b M N V1 W O �O M r- C, V 00 Wl 00 V M M 00 l0 ONO V1 NC� M W > O 7 OCi O In J N r r N N � VN1 N 00 64 69 69 69 6R 64 00 l- kr) Cl 00 o 00 r vl 00 V r N 00 � cN�V° U V N m j -�-� O •--� M V N vii O V O N M O � ID 10 V) rq p M 10 69 64 6R 69 69 64 egg g g g 00 10 p O in 10 NNv, NN 10 V] CD r4 00 64 6A bo9l 69 6� M O f0 00 M l- 0°0 �� M hN 00 V ra V O r r- � fR 69 69 69 69 64 O M Irl �O V,V n pMO Or- N , O W N [- C> 00 OHO v, D 00 00 0 00 N 00 r- M N .N-� N N OD 69 69 69 69 64 69 N T w M W tom. � O N c F UQ•cd� ti a•�p � ° > z v '3 is ..>. >• c> °' E .� C C7 m a N O h r M 00 00 W) � M C-4 OM N N fro O o n N �o a oo r rn c� oo r" 10 rn r r" r o o g h r r m oo 00 O c i 'n n N N V U 00 N 00 00 00 0 o v h v 00 6's 69 W) O M V'] �D O V N M M ul Vl 00 M o\ V V 'n r 00 M r M `o O O 00 O M o1 r 00 .r-i Q\ V o �o M tM7 .N- O r O�O N '! 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O N oo ao V L F� Vr) L� z Z ^� va sR sR 64 oo N cl 7 V M \./ zI�^ M N N M M c o� r V r V M M CD O N oo O '/1 'n V1 �O F-+ 'n O hrr It N oo r O M o^ T O, of O M lO MO OOO O^ o+ h -+ N oo M oo N O N h O N r r M rT M 7 V'1 r N O a l� O d- N V N N r 'n 'n �D N O o0 00 00 Vn oo N m h O O ,m-' N 69 64 69 69 N 'V r oo to c14 V ID r 0 0o r h �./ N Cl U m M M lO M V N N o0 r 'n O O h r 00 0o 'n O N r r U r N r G, r Io M_ r'IT O,M M tr m oo V V U N hO NO,O O N O oD N o0 N 0o O 69 69 69 6R N N N OO DN 'o N N 'n � (� N ON rC, m N N V'1 O 'n Vn o� N r oo O O O Cl 'o N oo N 00 r r r N N o f 00 N r 0 0 �O r o r N h oo �o r V M N + N N 69 69 69 69 Y ^ Y >� a) op .� N CA «� y G G� T.d > d 0 G a .. o� o .. o'- .. 0 0 > >p a�i C o o o y o F :; 0 0 o P( ,Q oo N :°. o o >, w is oo '�- on o w aa' N N Cd Q z oF�z w Quo H Z 14 z zw� > wz¢� U W U U U � V W -�-'N U N O,D'n ON r N N N V V V) M O pp ,D m M O 4 00 m N 00 N MM N C, �o 1 V'1 try W) N 00 10 M N ~ 1 r M r W Cl) m N 00, 0V0 ONO Obi 10 7 N r 10 .r V r M lc -- + .-+ M r r N N r N V 10 ,D .--. V N N 64 69 69 69 69 69 C, r 7T 0 O ro, ,o 00x0000 W) N M rr Oi y O\ V 00 V 00 00 OO O1 00 M M N ,D 00 O O C, M M M M N r N 00 M N Vl r 00 Vl 10 00 m N r r j r--� 0 N m ,D 00 M V 00 DD N r4 (11 M m N n N 69 69 69 f/i 69 b4 N O r 10 1 n N r O N oO o0O N O o0 r 'n --. V OV1 Cl 0 Vl 'n 000 O N M m r ,o C, " r N OO 00 N M V n N lc N N r [+1 M O O oO D` VN 69 69 69 64 69 69 N r Vl O M 10 r 00 00 00 V N r 00 N O r 0 'n M O QQ D 00 W N V1 r 7 O1 0 00 V V r D• M V 00 M r ,0 00 M 00 ON N 00 J 'R N O, r N r O r N 0 'n r N 00 N O M O� O M 69 69 65 69 69 69 N M_ V r oo r oo 0 0 M O �o M M O rV x00 01 ol Ucl O N m M M M V 0 I 'D N D r M oo M M 0 0O c0�1 .Nr D N V 000 V � CT .N-i INn Vy 69 M N V i-. U oo to lo 00 O N oo ,O �o N N O c M cV Vl r M V r 0 V MON V ' rrr m V Cl V Nr V V O, o0 O O MN O Vl oo O+ oo cl Vl T M cl h O 0 0 m O r V v') v'1 N r j oo w OOMO m pm�tt O Oli c oo V � m M `"" Ic r VO N N v9 vj 6-9 69 vi 69 c� r oo 0 v, o, v O, r v„n o 'n m oo o cv -. v, ,D 00 ,D r N co O VV M r ,D 'n 00 ,D N OO N 02 I N N 'n D\ m N 0M ,0o T D Vi O O,r Vl N N U O r 00 01 M M V 'n 'n N M p S V Dl Oi 0o D O` 0 V MN'n D,O oorMVO, VINE -+ M N O .M-i M� N V O r oo oo bR toq 64 69 �r V 10 cl ON V (+1MN V v) 0 m oo ON 1n OO` .M-� 0 oo O\ oo N --'tea O, cl N V 00 0 p 'n O, V 01 In S 0 oo �o M O VI m V V r N N ,D M V V r r,D Io V M r ,o r ,D oo 0o O 'n O O M cl O, M oo 'n O^ N .r-. 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CEc o z o y N '� O O D 4, pp d V wv� al N VA W Q > > WC7C4 WUO �a�SFC7W z C7 U z M CITY OF AVENTURA, FLORIDA Table 3 GOVERNMENTAL ACTIVITIES TAX REVENUES BY SOURCE LAST NINE FISCAL YEARS (ACCRUAL BASIS OF ACCOUNTING) Note: The City began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003. 74 Tax Fiscal Roll Ad Valorem Utility Franchise Year Year Taxes Taxes Fees Total 2003 2002 $ 9,075,096 $ 5,397,011 $ 1,875,199 $ 16,347,306 2004 2003 10,143,246 5,460,119 2,185,155 17,788,520 2005 2004 11,842,689 5,719,554 2,330,809 19,893,052 2006 2005 14,089,388 6,015,016 3,359,261 23,463,665 2007 2006 17,127,913 6,269,809 4,234,574 27,632,296 2008 2007 15,942,020 6,741,903 4,270,671 26,954,594 2009 2008 15,189,005 7,451,872 3,644,177 26,285,054 2010 2009 13,253,848 7,362,899 3,686,885 24,303,632 2011 2010 11,734,232 7,379,830 2,684,216 21,798,278 Note: The City began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003. 74 CC 1— A � Z dw z Qa �D Q O W Q W �z�o W ozQ� o w � O I N 8 N � I w 8 rn �I V 00 00 00 00 N V00 h n � 00 h N M � c � OM '"' oo N � M C N N V'1 oo �--i nj 6s d9 69 bj m O O oo cl oN0 h i M M 00 M y M oC M V N oo m M M N N 6e 69 { 69 N N N O oo m i kr 4 h wl O 7 00 It M N 7 GS 69 69 yj 0w0 O oo °O Ol 0\ N m to I c N W rl 'n y c O l ol O N M 'm7 VNi `D m oo O N N M �{ bq 69 fy 69 oo r- l M 8 h m M Vl oo lo C m Cc) vi N N U W cl M to 69 6q 69 00 8 O p M N � 0 i � i ,^• V'1 0\ h rn r V O 69 kn 7 0, N R co In D\ h oo m oo M o0 oo tf) I1) t- M h O V lo 0� M c m N m n a, M r 69 69 69 yg oo O r-° i cl� 00 r i M C, oo O r- cl M b W N O M V oo r4 N V 10 69 Is 69 o� oo oo V M [ kn V �oo 7 V' O N fR y9 boj oo oo N M �D O� V1 .N•� N O N o0 N m omo M M D O oo h 69 fA 69 y� C U w c b b au a $ ` u l 7 u 000 N � . C( 61 U C v N ^per, za¢ O y,, U ,0 Y p z � C U .0 .O t� >� O b ON O o� 7 � O w U C ¢ qO G � O .Ci U CITY OF AVENTURA, FLORIDA CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS LAST TEN FISCAL YEARS (MODIFIED ACCRUAL BASIS OF ACCOUNTING) REVENUES: Ad valorem taxes Utility service taxes Franchise fees Intergovernmental Licenses and permits Charges for services Fines and forfeitures Impact fees Interest income Developer contributions Miscellaneous Total revenues EXPENDITURES: Current: General government Public safety Community services Nondepartmental Capital outlay Debt service: Principal Advance refunding escrow Interest Trustee fees and other Total expenditures Excess (deficiency of revenues over expenditures) OTHER FINANCING SOURCES (USES): Issuance of debt Transfers in Transfers out Discount on bonds Payment to refunded bond escrow agent Total other financing sources (uses) Net change in fund balances Debt service as a percentage of noncapital expenditures Fiscal Year 2002 2003 2004 2005 $ 8,428,698 $ 9,075,096 $ 10,143,246 $ 11,842,689 3,316,474 5,397,011 5,460,119 5,719,554 3,849,676 1,875,199 2,185,155 2,330,809 3,091,728 2,965,158 7,663,308 7,263,468 3,360,172 2,185,654 2,146,913 3,335,034 722,125 965,067 1,099,321 1,598,230 386,758 399,899 351,698 472,465 599,244 56,609 754,954 959,264 310,096 246,216 174,983 553,135 152,385 30,000 85,842 - 119,347 74,436 134,768 298,875 24,336,703 23,270,345 30,200,307 34,373,523 2,015,866 2,163,885 2,371,236 2,580,989 9,333,199 9,438,156 10,594,453 12,256,346 3,600,234 4,226,979 7,495,145 7,997,769 1,163,975 1,040,052 1,292,580 1,623,794 12,409,178 12,153,846 3,905,875 7,416,346 570,000 595,000 900,000 930,000 1,276,224 1,746,446 1,786,797 1,753,446 20,214 73,760 28,932 28,363 30,388,890 31,438,124 28,375,018 34,587,053 (6,052,187) (8,167,779) 1,825,289 (213,530) 12,610,623 - - - 2,709,879 2,379,299 3,687,963 2,821,795 (2,524,839) (1,812,262) (3,285,681) (2,718,585) (427,343) - - - 12,368,320 567,037 402,282 103,210 $ 6,316,133 $ (7,600,742) $ 2,227,571 $ (110,320) 10.27% W 12.14% 10.98% 9.88% Table 5 2006 2007 2008 2009 2010 2011 $ 14,089,388 $ 17,127,913 $ 15,942,020 $ 15,189,005 $ 13,253,848 $ 11,734,232 6,015,016 6,269,809 6,741,903 7,451,872 7,448,097 7,465,029 3,359,261 4,234,574 4,270,671 3,644,177 3,686,885 2,684,216 10,905,885 11,586,872 11,762,763 13,273,593 12,970,784 11,764,642 3,277,960 3,229,778 2,808,112 1,892,862 2,025,310 2,374,902 1,904,741 2,194,596 2,313,107 2,078,224 2,322,794 2,814,652 601,339 577,148 652,747 2,275,882 3,107,179 2,096,677 398,436 40,340 - 15,581 101 189,440 1,159,778 1,580,978 1,035,457 292,180 310,885 195,382 610,584 234,544 748,831 438,421 428,907 414,678 42,322,388 47,076,552 46,275,611 46,551,797 45,554,790 41,733,850 2,668,284 4,884,708 4,561,020 4,639,737 4,360,999 4,274,015 13,781,535 14,360,873 14,727,849 15,625,029 16,965,808 17,636,378 9,019,229 10,817,310 10,798,272 11,057,179 11,950,071 12,083,949 2,978,900 - - - - - 5,800,374 9,265,681 9,256,902 7,278,743 8,576,499 2,596,599 965,000 1,005,000 1,035,000 1,080,000 1,130,000 635,000 - - - - 520,000 336,928 1,719,392 1,682,298 1,642,606 1,607,984 1,553,980 1,212,882 25,817 24,691 25,306 18,194 89,766 49,496 36,958,531 42,040,561 42,046,955 41,306,866 45,147,123 38,825,247 5,363,857 5,035,991 4,228,656 5,244,931 407,667 2,908,603 - - - - 10,385,000 5,565,000 2,740,850 2,898,498 2,907,111 5,254,251 4,526,447 2,316,510 (2,690,108) (2,898,498) (2,907,111) (5,254,251) (4,526,447) (2,316,510) - - - - (10,321,560) (5,504,006) 50,742 - - - 63,440 60,994 $ 5,414,599 $ 5,035,991 $ 4,228,656 $ 5,244,931 $ 471,107 $ 2,969,597 8.62% 8.20% 8.17% 7.90% 8.54% 6.00% 77 69 IMNO�oMNoo ao M V1 l- M w N [- O O OItON00tr) ONO\v) (-- MMtoM W) [- [- w MDOOMNtO IS - O -+ W)^ M, M l- N t--' Vln if) M O N � l� [- �c r- p l� rt �/'� N pp N 6 6 V1 N N M M It � Itt �y- 69 69 ail 00�00000C) w O ON 0 0 0 0 0 0 0 0 00 r- IMNO�oMNoo ao kn --� O 00 00 O -+ W)^ M, [- �c r- p l� rt �/'� N pp 69 MknMMr-0 VAN 00 M r- r- W) 00 W 00 y ON(7) - r- C0 It mm O� O� m p� t rn C4 k n i"' O MO� — ON W M N W) -- W') O N M U P4 z >1 0-4 E- oo�oovl�oo[�NO�[� v� p\ C1 �a z m�o�m����� ^ � N T1 G ' �O O� ,--� m ON to [- O l- Wn l- O O\ F-I W cd cN M M M It �p V') I'0 N �-+ O O LZ. $.., N M N 0 W ,ww 69 N�N0NtcpC)N�N U~ V] N N ~ --i C r N� n� N�� U N V') 01 w M OO N IC O\ O\ O) O kn M O M 00 U N N N N N LZ H rte, Q w� Q N�M�OOONNONO \00� O 00 M O� M N N - Cdd U N 000 00 O M ppi C, N N C, C, C, N — N N Q � � 64 mw w 00 to N MMAN W N�nO�D00[��DO�oO •--� M �Y 00 00 U" p it ❑y --� V'>MM Cn N MOB} \O �O p 00 O 00 l- [- �O OQ��DNU VI[�NO�Il > M N --� 69 000DON�n�D�knOI- NONNn 0'mmn oO M NT �nO�DN�nO wOO DG 0001 1pM Vl00 cl kn V7 M M (- 00 O\ N N M M 00 69 ail 00�00000C) w O ON 0 0 0 0 0 0 0 0 00 r- w O a w O �^ w ¢ O^> Q v� w ¢ Wow Z oQ ¢ w Q z w Q w w ¢ bR bR Z§R Z�� to Ct M cY 01 M 00 y W) p r- 0 CIS u Q_QQQ_MO•�,-� ON o uQ � zzzz000 000 0000 000 00Crn cd a O M CN r- Cl) lzt � M 00 C\ 00 ,b o0 O o0 n O lD QQ_QQM�OI�W)•- -�,- -� N — — O\ N M 00 O\ 01 • < M1 zzzz"Dr- C1NNo� W F' r- (ON r�tM V1 kn CN 0 O r- O� O C 00 59 0 0 0 0 0 0 ••-+ �--� .--i --� [� EO zcts N N N N N N - - - - Q --�MW) O d of O CO In � oo r- n C� It - -� cri r � vi 00 00 kn �O N N M O M O cad N o0 O\ O ' O\ 00 o0 00 \O F co ti> d r Ot-�D00,ONcp Q O N r�� O � It O N M 44t�6o6 o�cp o0r 69 to (- 00 00 �D N r M �c O �c " C) O l) rD 00 N cC N QQ vi cxd y Q Q 00 V7 v1 l� M 3� xx o zzzz— w k [� O\ N ON r- M cn M �D v) v) (7\ W) I- — to 't kn 0 [- �D�no0o0N�ONM�ON �n�t o6 6 VnoON�'rY Nom. --iN� O M (- M M l- N to 00 o io 00r"-)rq0 -4� - �� � N N N N N 00 O� V1 �n O\ O M N M O\O\M ON tl-m N M ,--� l� �n �D O� •-+ l� o0 �o w000NM%D110l- NON- OO"d-O�\D�00 N V1 N r- 00 [" ":t 00 O l� 01 00 0 Q K1 [D r-O�Dl�oOMl� MO l� 0 V� M I� M (� 00 t} \O M to 110 00 Q\ CS 00 r-- 69 -->NM 000ooD1O H� y 0000 0000 -D �..� O ON ON 0 0 0 0 0 0 0 w �co oo�00000 °- 00000OOOOo w N N N N N N N N N N ci 0 z o, CITY OF AVENTURA, FLORIDA PROPERTY TAX RATES DIRECT AND OVERLAPPING GOVERNMENTS (PER $ 1,000 OF TAXABLE VALUE) LAST TEN FISCAL YEARS Source: Miami -Dade County Appraiser's Office. 80 Overlapping Rates City School District State South Florida Florida Tax Operating Debt Total Water Inland Total Fiscal Roll and Total Operating Service School Everglades Management Navigational State Year Year Millage Millage Millage Millage Project District District Millage 2002 2001 2.2270 8.5280 0.8480 9.3760 0.1000 0.5970 0.0385 0.7355 2003 2002 2.2270 8.4820 0.7700 9.2520 0.1000 0.5970 0.0385 0.7355 2004 2003 2.2270 8.4180 0.6820 9.1000 0.1000 0.5970 0.0385 0.7355 2005 2004 2.2270 8.0900 0.5970 8.6870 0.1000 0.5970 0.0385 0.7355 2006 2005 2.2270 7.9470 0.4910 8.4380 0.1000 0.5970 0.0385 0.7355 2007 2006 2.2270 7.6910 0.4140 8.1050 0.1000 0.5970 0.0385 0.7355 2008 2007 1.7261 7.5700 0.3780 7.9480 0.0894 0.5346 0.0345 0.6585 2009 2008 1.7261 7.5330 0.2640 7.7970 0.0894 0.5346 0.0345 0.6585 2010 2009 1.7261 7.6980 0.2970 7.9950 0.0894 0.5346 0.0345 0.6585 2011 2010 1.7261 7.8640 0.3850 8.2490 0.0894 0.5346 0.0345 0.6585 Source: Miami -Dade County Appraiser's Office. 80 Table 8 81 Overlapping Rates Miami -Dade County Special Districts Total Direct Debt Total Fire Total and Operating Service County Children's and Fire District's Overlapping Millage Millage Millage Trust Rescue Debt Library Millage Rates 5.7130 0.5520 6.2650 2.6830 0.0690 0.4510 3.2030 21.8065 5.8890 0.3900 6.2790 - 2.5820 0.0790 0.4860 3.1470 21.6405 5.9690 0.2850 6.2540 0.5000 2.5820 0.0790 0.4860 3.6470 21.9635 5.9350 0.2850 6.2200 0.4442 2.5920 0.0690 0.4860 3.5912 21.4607 5.8350 0.2850 6.1200 0.4288 2.6090 0.0520 0.4860 3.5758 21.0963 5.6150 0.2850 5.9000 0.4223 2.6090 0.0420 0.4860 3.5593 20.5268 4.5796 0.2850 4.8646 0.4223 2.2067 0.0420 0.3842 3.0552 18.2524 4.8379 0.2850 5.1229 0.4212 2.1851 0.0420 0.3822 3.0305 18.3350 4.8379 0.2850 5.1229 0.5000 2.1851 0.0420 0.3822 3.1093 18.6118 5.4275 0.4450 5.8725 0.5000 2.5753 0.0200 0.2840 3.3793 19.8854 81 rn co c� N cd U y O QW� � a W wQ� HW z zaz QaQ w¢� Ua� U a� 0 69 el el e �_ 69 bq y ,~-i i 0 �� i i u N N ONO r� O cu y'-+ O O --� -� •-+ O O O l� N N cd > N a •-• ¢ op E o ow U a VU Up Q° a . R 0 O 0 � •--� i i N � �� i i i MIt V•1 00 O, C) p a ° a > �x AC7Uu S S S O S S S S S S S U b C:) 0 ' ' ' 0 0 0 0 O O O U N O O� �_ OM O [l- [- OO OO "7 O m 1) ai O� N M � > DD N V1 i- E"' [� M M M Oo OO N M OO M N N i- �c Q' N 6R 69 O O) O [- V1 M M 00 l- [- 'D " n n l� v7 N 0 0 0 0 0 0 0 M U O k cd ~ a r, ON O N p pp 00 00 tn N b O a\ d' O� M O O O lD N U -.1- 00 N r- ,I- � O O \O .O O k cd N a, _ M >0 tn wr- 0000ww < 00 kn V'1 W-� d' M M M ON a� 0 69 69 av23 N a aw a a ° ao op E o ow U 4) 0UU VU Up Q° a . R a W aU a 0 ooh o p a ° a > �x AC7Uu Ot4 wav�ia;x a04 Q1A U b d'd C7 U ° v CZ w o CV U cu y > A. C as p b p E- 0 w 0 0 0 U b A O U 0 N 00 M 00 u O O h O� It � N N� r- O �D 0�0 M �M N N110 r- O U el e611� el 6R bR e 6R el el N y O [� Q 0� 0� C) C� C�) C� 0� OIN C� OMi E N O O Ov py U O F 00 .� T ON U h 00 d' Vl 0� O Cr) O\ Oh ON O\ ON O� O\ G C\ C\'t N O R M SC F O 0000 000 0 --+ �D �D O� 0 0 00 N A Ey U o u O N M OHS 00 Ln M N O\ h N O, M rY Nh 't 't 00Nd•00v)M F.. "T O '-+ 00 O r-+ O� '-+ N h o0 Q1 O --+ 4 h kr tr M --� ss M 00 u O O h O� It � N N� r- O �D 0�0 M �M N N110 r- O U M 00 el e611� el 6R bR e 6R el el N y O N N" (as O� h M It M 11 .•+ U Z O-1 'fir --i �rN �D Ov b cad E-+ 00 .� T ON U h 00 d' Vl 0� O Cr) O\ Oh ON O\ ON O� O\ _ SC F A Ey U o V �10 rO l O F••i O N x r- 0-+MND\N�� N o0 00 N N M �O M h h 00 � LL U W lu x U hM� MrQ N V7O D w 6� N00NO�-+00 N C COOOO�[- 0 V7� Z U O 00 O\ O kr tr N -•� �v)Uo [-� W o G W > Z 6R N h N M O N N O h 00 N O O v1 00 O '-+ O� N r-+ ��� v nllzf Cl! rl y 00 O 000 W) h N d' N 1'r z o0 D1 M O K w � � o000Or-+�thv�v�MN a�. lu H � w U a 00hMNO�hO DV701 v p•, F T a A � o w 8 CD N rD -- h h N v'1 0 w O 00 M h [- h �"+ V1 00 m .-- i00o0Iq hMll000\01 U b r . , to kn It It t- 00 M h M h 00 O� .� cad y N n M h �--I Vl N O1 M F Cd y p, 00 C 00�.D�cMN o p vs w o o O O F•+ S S S S S S S S O •� p( O U h s. � z O 71 Q Q S Qp O NN N N NNNNN M 00 Fiscal Year 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 CITY OF AVENTURA, FLORIDA RATIOS OF OUTSTANDING DEBT BY TYPE LAST TEN FISCAL YEARS Business -Type Governmental Activities Activities General Obligation Bonds Revenue Line of Outstanding Bonds Credit Bonds $ 38,650,000 $ - $ - 38,055,000 - - 37,155,000 - - 36,225,000 - - 35,260,000 - - 34,255,000 - - 33,220,000 - - 32,140,000 - - 30,815,000 - - 30,045,000 - - Table 11 Total Percentage Per Primary of Personal Capita Government Income (1) (1) $ 38,650,000 5.45% $ 1,478.46 38,055,000 5.01% 1,396.98 37,155,000 4.42% 1,317.23 36,225,000 3.97% 1,271.05 35,260,000 3.55% 1,197.24 34,255,000 * 1,127.44 33,220,000 * 1,070.09 32,140,000 * 1,032.58 30,815,000 * 988.26 30,045,000 * 841.05 Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) See the Schedule of Demographic and Economic Statistics for personal income and population data. * Information not available. 84 CITY OF AVENTURA, FLORIDA RATIOS OF GENERAL BONDED DEBT OUTSTANDING LAST TEN FISCAL YEARS Table 12 Less: Gross Fiscal Bonded Year Debt 2002 $ 38,650,000 $ 2003 38,055,000 2004 37,155,000 2005 36,225,000 2006 35,260,000 2007 34,255,000 2008 33,220,000 2009 32,140,000 2010 30,815,000 2011 30,045,000 Table 12 Less: Ratio Net Amounts of Net Bonded Available Assessed Bonded Debt in Debt Net Value of Debt to Per Service Bonded Taxable Assessed Capita Funds Debt Property Value (1) 1,668,000 $ 36,982,000 $ 3,914,281,877 0.94% $ 1,414.66 529,000 37,526,000 4,167,885,994 0.90% 1,377.56 31,000 37,124,000 4,730,954,049 0.78% 1,316.13 42,000 36,183,000 5,557,061,536 0.65% 1,269.58 24,278 35,235,722 6,616,421,499 0.53% 1,196.42 133,053 34,121,947 8,160,923,804 0.42% 1,123.06 136,790 33,083,210 9,609,881,719 0.34% 1,065.69 137,175 32,002,825 9,439,807,532 0.34% 1,028.17 280,321 30,534,679 8,063,834,953 0.38% 979.27 231,562 29,813,438 7,244,606,607 0.41% 834.57 Notes: Details regarding the City's outstanding debt can be found in the notes to the financial statements. (1) See the Schedule of Demographic and Economic Statistics for population data. 85 Jurisdiction CITY OF AVENTURA, FLORIDA DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITY DEBT September 30, 2011 Estimated Percentage Applicable to City of Debt Aventura Outstanding (1) Overlapping debt: Miami -Dade Board of County Commissioners (2) $ 3,534,421,982 Miami -Dade County School Board (2) 3,408,867,000 Subtotal overlapping debt 6,943,288,982 Direct debt: City of Aventura 30,045,000 Subtotal direct debt 30,045,000 Total direct and overlapping debt $ 6,973,333,982 Table 13 Estimated Share of Overlapping 3.773% $ 133,353,741 3.773% 128,616,552 261,970,293 100.000% 30,045,000 30,045,000 $ 292,015,293 Notes: (1) Based on ratio of assessed taxable values obtained from the Miami -Dade County, Florida Tax Collector. (2) Source: Miami -Dade County, Florida, Finance Department. Mm Nt se C N LL d9 EA 69 69 69 cl V S O O 0 � M oo oo oo p 069 Ic O O 69 cn &e N O S oc Do 8 7 �4 b4 b4 in b C W yUy ,ro 8 0o cl 06 � pqy O U p � cd b ° c v 7 a u c c z M oo M g wb °� b o oo U A F w O W w o o tn g �w h Q 8 A � '^ v i ' ^ vi O W b V V 4H 64 m g oo r oo oo S v v g g � N oo oo 8 S : B MC�1 69 69 .p a a as o b b v p u A 00 M, C 0 � b � O Oa OR h � � ,° paq a v 0 u o o 1> v C � 8 ° a > > o r ° h cC � O y U > ou o � o o lu z r- 00 CITY OF AVENTURA, FLORIDA Table 15 DEMOGRAPHIC AND ECONOMIC STATISTICS LAST TEN FISCAL YEARS Personal Data sources: (1) Years are as of April 1 of each year per the University of Florida Bureau of Economics & Business Research. (2) Represents income per capita for Miami -Dade County as provided by the U.S. Department of Commerce, Bureau of Economic Analysis. (3) Florida Department of Labor, Bureau of Labor Market Information. * Information not available. 88 Income Per Capita (Amounts Personal Unemployment Fiscal Population Expressed in Income Rate Year (1) Thousands) (2) (3) 2002 26,142 $ 709,677 $ 27,147 4.1% 2003 27,241 759,779 27,891 3.6% 2004 28,207 841,048 29,817 3.3% 2005 28,500 912,713 32,025 3.7% 2006 29,451 992,852 33,712 3.4% 2007 30,383 * * 3.7% 2008 31,044 * * 4.6% 2009 31,126 * * 8.0% 2010 31,181 * * 9.8% 2011 35,723 * * 10.4% Data sources: (1) Years are as of April 1 of each year per the University of Florida Bureau of Economics & Business Research. (2) Represents income per capita for Miami -Dade County as provided by the U.S. Department of Commerce, Bureau of Economic Analysis. (3) Florida Department of Labor, Bureau of Labor Market Information. * Information not available. 88 CITY OF AVENTURA, FLORIDA Table 16 OCCUPATIONAL EMPLOYMENT BY GROUP - MIAMI -DADE COUNTY, FLORIDA CURRENT YEAR AND NINE YEARS AGO Source: Represents Metropolitan Area Occupational Employment for the entire Miami -Miami Beach - Kendall, Florida geographic region as provided by the U.S. Department of Labor, Bureau of Labor Statistics as of May 2009. Estimates do not include self - employed workers. N /A: Information not available 89 Fiscal Year 2011 2002 Percentage Percentage of Total of Total Occupational Groups Employees Rank Employment Employees Rank Employment Office and administrative support 202,750 1 21.16% N/A N/A N/A Sales and related 125,460 2 13.09% N/A N/A N/A Food preparation and service related 81,980 3 8.55% N/A N/A N/A Transportation and material moving 64,160 4 6.69% N/A N/A N/A Healthcare practitioner and technical 57,640 5 6.01% N/A N/A N/A Education, training and library 49,580 6 5.17% N/A N/A N/A Business and financial operations 49,210 7 5.13% N/A N/A N/A Protective service 38,610 8 4.03% N/A N/A N/A Installation, maintenance and repair 35,540 9 3.71% N/A N/A N/A Building and grounds cleaning and maintenance 34,800 10 3.63% N/A N/A N/A Production 32,900 11 3.43% N/A N/A N/A Management 30,870 12 3.22% N/A N/A N/A Healthcare support 27,310 13 2.85% N/A N/A N/A Personal care and service 27,010 14 2.82% N/A N/A N/A Construction and extraction 25,340 15 2.64% N/A N/A N/A Computer and mathematical science 17,250 16 1.80% N/A N/A N/A Legal 14,330 17 1.50% NIA N/A N/A Arts, design, entertainment, sports and media 13,910 18 1.45% N/A N/A N/A Community and social services 12,750 19 1.33% N/A N/A N/A Architecture and engineering 9,540 20 1.00% N/A N/A N/A Life, physical and social sciences 4,170 21 0.44% N/A N/A N/A Farming, fishing and forestry 3,220 22 0.34% N/A N/A N/A Total 958,330 100.00% N/A N/A Source: Represents Metropolitan Area Occupational Employment for the entire Miami -Miami Beach - Kendall, Florida geographic region as provided by the U.S. Department of Labor, Bureau of Labor Statistics as of May 2009. Estimates do not include self - employed workers. N /A: Information not available 89 v� a-� co b U v, 0 t-. O v� a a� a\ m [- kr) 00 N U 0 00 M U i�r aa b4 cz U � � 3 U O E C7 r� U U Lt. O 00 00 M O N O� O [- �c O\ �--� 00 M ^� D O O 'z N r� F� N 0°0 M 00 w N W N 000 m ° g ~ A d N F�•i/i C/] W � W O O r N zWEn W> ��w o N N Q W N i N C) w v� a-� co b U v, 0 t-. O v� a a� U 0 U i�r aa b4 cz U � � 3 U E C7 r� U U Lt. v� a-� co b U v, 0 t-. O v� 00 O t- O V MpO M 10 N Q, V) N oho rNi C, "r N N C N O--� ON N CC3 E.y M M V) O, 00 O O M 7 7 10 00 00 M N M t- M N W M 00 M C� 00 N O N U r-I N N N N t, �O OI V) N O o0 O lD lc 0� r- M 00 .0p0 V) cQ Q� N N O M M — O z N N ON V b WO O M � --� M --� 00 Oi N O� O, 00 N N O 7 N oo O, N N ol N V1 IO 00 O t- N O O, 00 7 �D 7 r- N 00 N 00 'D N Q oM0 U '~ Oz �:)� u A M M O ° V° �O 'D � S V 00 t w t` v 00 O 00 m ,—i M 00 N N O\ V1 O N M FN+1 N �OU z w N �O O N O 00 � N N 00 N N N W N m O, 00 O� M O O M W� N M m N M V1 ' O t- ID t- U ... t.j nj N ,-, 00 M O� M z M W Z N Fes/ Ci h h g Q L~_+ 0000 000 IO UN W QI O �D M It N NIt O N M O O O 'Ir oMop N 00 z 00 N 7 ON 1 " 000 kn O 01 r- M M M M r M 8 N N V 00 M t- N Q z z N E y ° ca ❑ �. m '� o R .4 o .� a`ni .c A -3 '� ��. & o b C S O w .� yPy bD O p Z h U ej o1"cnviU �adF`aU¢x raa°iu0 w �o C� 'C cl tai U cz.D O i.� W W O DC a� C� cl �+ C's o t-. >a � * Q U � o z F, N a, --� N W) ON M N •--� --�Nr h O 00 — tf) O M .r N M N Vl O N M N h N_ O 00 v) O O M O N N tf) O N M N C14 C tj) O 8 M N .-� N h O N M N •--� V1 N_ O 00 Ln 00 r 8 N N M Fy � Ui w U fO wl V � N �-7 E"� ►�j F-� •--� N "t O •--� M N •--� Q O --� 7 w kn O z� y�z 8 N N w�H Ln O OM it U --� N N M O •--� M N -� --� Q O _ •--� �t � U pQ N �y�•+ U i N cd Cd •--� N N N C) M N •--� O M 8 N C O as •C a O + cz � i•+ O cz viN w aaa�v�iE U H o z w N a, COMPLIANCE SECTION Keefe, McCullough & Co., LLP Certified Public Accountants INDEPENDENT AUDITORS' REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Honorable Mayor Members of the City Commission and City Manager City of Aventura, Florida We have audited the financial statements of the governmental activities, the business -type activities, each major fund, and the aggregate remaining fund information of the City of Aventura, Florida (the "City "), as of and for the year ended September 30, 2011, which collectively comprise the City's basic financial statements and have issued our report thereon dated March 1, 2012. Our report includes a reference to other auditors. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Other auditors audited the financial statements of the City of Aventura Police Officers' Retirement Plan Pension Trust Fund, as described in our report on the City's financial statements. This report does not include the results of the other auditors' testing of internal control over financial reporting or compliance and other matters that are reported on separately by those auditors. Internal Control over Financial Reporting In planning and performing our audit, we considered the City's internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the City's internal control over financial reporting. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented, or detected and corrected on a timely basis. Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over financial reporting that might be deficiencies, significant deficiencies, or material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined above. 6550 N. Federal Highway M Suite 410 V Fort Lauderdale, FL 33308 A 954.771.0896 0 954.939.9353 (F) #A www.krnccpo.corn 93 City of Aventura, Florida Compliance and Other Matters As part of obtaining reasonable assurance about whether the City's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. This report is intended solely for the information and use of the City Commission, management, Federal and state awarding agencies, pass - through entities, and the Auditor General of the State of Florida and is not intended to be and should not be used by anyone other than these specified parties. Fort Lauderdale, Florida March 1, 2012 94 KEEFE, McCULLOUGH & CO., LLP Keefe, McCullough & co., LLP Certified Public Accountants M I INDEPENDENT AUDITORS' REPORT TO CITY MANAGEMENT To the Honorable Mayor Members of the City Commission and City Manager City of Aventura, Florida We have audited the basic financial statements of City of Aventura, Florida (the "City "), as of and for the year ended September 30, 2011, and have issued our report thereon dated March 1, 2012. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States. We have issued our Independent Auditors' Report on Internal Control over Financial Reporting and Compliance and Other Matters. Disclosures in that report, which is dated March 1, 2012, should be considered in conjunction with this management letter. Additionally, our audit was conducted in accordance with the provisions of Chapter 10.550, Rules of the Auditor General, which govern the conduct of local governmental entity audits performed in the State of Florida. This letter includes the following information, which is not included in the aforementioned auditors' reports. Section 10.554(1)(i)l., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no finding and recommendations made in the preceding annual financial audit report. Section 10.554(1)(i)2., Rules of the Auditor General, requires our audit to include a review of the provisions of Section 218.415, Florida Statutes, regarding the investment of public funds. In connection with our audit, we determined that the City complied with Section 218.415, Florida Statutes. Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations. Section 10.554(1)(i)4., Rules of the Auditor General, requires that we address violations of provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but more than inconsequential. In connection with our audit, we did not have any such findings. Section 10.554(1)(i)5., Rules of the Auditor General, provides that the auditor may, based on professional judgment, report the following matters that have an inconsequential effect on financial statements, considering both quantitative and qualitative factors: (1) violations of provisions of contracts or grant agreements, fraud, illegal acts, or abuse and (2) deficiencies in internal control that are not significant deficiencies. In connection with our audit, we did not have any such findings. 6550 N. Federal Highway A Suite 410 & Fort Lauderdale, FL 33308 954J71.0896 954338:9353 (F) & www.irmccpa,com 95 City of Aventura, Florida Section 10.554(1)(i)6., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements. The information is disclosed in Note 1 to the financial statements. Section 10.554(1)(i)7.a., Rules of the Auditor General, requires a statement be included as to whether or not the local governmental entity has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and identification of the specific condition(s) met. In connection with our audit, we determined that the City did not meet any of the conditions described in Section 218.503(1), Florida Statutes. Section 10.554(1)(i)7.b., Rules of the Auditor General, requires that we determine whether the annual financial report for the City for the fiscal year ended September 30, 2011, filed with the Florida Department of Financial Services pursuant to Section 218.32(1)(a), Florida Statutes, is in agreement with the annual financial audit report for the fiscal year ended September 30, 2011. In connection with our audit, we determined that these two reports were in agreement. Pursuant to Sections 10.554(1)(i)7.c. and 10.556(7), Rules of the Auditor General, we applied financial condition assessment procedures. It is management's responsibility to monitor the City's financial condition, and our financial condition assessment was based in part on representations made by management and the review of financial information provided by same. Pursuant to Chapter 119, Florida Statutes, this management letter is a public record and its distribution is not limited. Auditing standards generally accepted in the United States of America require us to indicate that this letter is intended solely for the information and use of management, the City Commission, and the Florida Auditor General, and is not intended to be and should not be used by anyone other than these specified parties. Fort Lauderdale, Florida March 1, 2012 •e kee�e, Mc Cit6jA & 0�., I-4P KEEFE, McCULLOUGH & CO., LLP CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM TO: City Commission FROM: Eric M. Soroka, ICMA -CM, ana er DATE: March 20, 2012 SUBJECT: Resolution Declaring Equipmen Surplus April 2, 2012 Commission Meeting Agenda Item 5 (L RECOMMENDATION It is recommended that the City Commission adopt the attached Resolution declaring certain equipment as surplus to the needs of the City. BACKGROUND Section 2 -258 of the City Code of Ordinances provides that any property owned by the City which has become obsolete or which has outlived its usefulness may be disposed of in accordance with procedures established by the City Manager, so long as the property has been declared surplus by a resolution of the City Commission. If you have any questions, please feel free to contact me. EMS /act Attachment CCO 1770 -12 RESOLUTION NO. 2012- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA DECLARING CERTAIN PROPERTY LISTED UNDER THE ASSETS OF THE CITY AS SURPLUS TO THE NEEDS OF THE CITY; DESCRIBING THE MANNER OF DISPOSAL; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Manager desires to declare certain property as surplus to the needs of the City; and WHEREAS, Ordinance No. 2000 -09 provides that all City -owned property that has been declared surplus cannot be disposed of prior to the preparation and formal approval of a resolution by the City Commission. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, THAT: Section 1. Recitals Adopted. The above recitals are hereby confirmed and adopted herein. Section 2. The property listed on Exhibit "A" has been declared surplus and is hereby approved for disposal. Section 3. The City Manager is authorized to dispose of the property listed on Exhibit "A" through a public auction, sale, trade -in, transfer to other governmental agency or, if of no value, discarded. Section 4. The City Manager is hereby authorized to do all things necessary to carry out the aims of this Resolution. Section 5. This Resolution shall become effective immediately upon its adoption. The foregoing Resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb Resolution No. 2012 - Page 2 PASSED AND ADOPTED this 3rd day of April, 2012. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY CITY OF AVENTURA POLICE PEPARTMENT INTER OPME MEMORANDUM TO: Eric M.-§oroka, City Of DATE: 16 March 2012 SUBJECT: Surplus Property I would tike to have the below listed items, owned by the City of Aventura, declared Surplus Property as per City of Aventura APDP, Chapter 6, Subsection 5, Page 1, as these items have become inadequate for public purposes: 1. X00 - 031414 2. X00 - 129715 3. X00 - 160611 4. XOO- 050046 5. XOO- 049958 6. X00 - 115613 7. XOO -006899 8. X00 - 114638 9. XOO- 088914 10. X00 - 021693 11. XOO- 006925 12. X04 -095525 13. X00- 089544 14. X00 - 105513 15.XOO- 102538 16. XOO- 006801 17 XOO- 161387 MEMORANDUM TO: Chief Steinberg FROM: U. Mauer SUBJECT: Tasers to be returned to Taser DATE: February 15, 2012 Attached are the Taser to be returned to Taser reference buyback program. 17 units are to be returned. 1. X00 - 031414 2. X00 - 129715 3. X00 - 160611 4. X00 - 050046 5. X00- 049958 6. X00 - 115613 7. X00 - 006899 8. X00 - 114638 9. X00 - 088914 10. X00- 021693 11. X00 - 006925 12. X00- 095525 13. X00 - 089544 14. X00 - 105513 `15.X00-102538 16. X00 - 006801 17.X00 - 161387 Taser needs to down load this taser and send a copy back to us. CITY OF "ENTURA COMMUNITY SERVICES DEPARTMENT MEMORANDUM TO: Eric M. Soroka, iCMA -CM, C' ger FROM: Robert M. Sherman, Director o Com unity Services DATE: March 21, 2012 SUBJECT: Surplus Property Please have the City property listed below declared as Surplus Property as these items have become inadequate for department purposes and are not cost effective to maintain. Cybex Recumbent Bike — COA — Tag Number 1321 Cybex Exercise Bike — COA — Tag Number 1302 TRUE 750 Recumbent Bike — COA — Tag Number 1646 2004 Ford Explorer Vehicle Identification Number 1 FMZU63WX4UA84577 RMS /gf VIVIR K114x3 CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUA TO: City Commission FROM: Eric M. Soroka, ICMA -CM, City I DATE: March 8, 2012 SUBJECT: Traffic Control Jurisdiction Agreerftsdt — Commodore Plaza Condominium Association, Inc. April 3, 2012 City Commission Meeting Agenda Item RECOMMENDATION It is recommended that the City Commission authorize the execution of the attached Traffic Control Jurisdiction Agreement with Commodore Plaza Condominium Association, Inc. to provide traffic control jurisdiction by our Police Department over the private roads adjacent to the subject property. The Agreement will increase the visibility of the police force and enhance traffic enforcement. BACKGROUND The previous Traffic Control Jurisdiction Agreement has been updated to reflect changes in State law and police procedures. Therefore, we have requested all condominiums or homeowners associations to enter into the new agreement attached hereto. In our continued efforts to provide improved police services to the community, we have initiated a program in the past that allows a condominium or homeowners associations to enter into an Agreement with the City to provide traffic control jurisdiction over a private roadway within the development. This permits the Police Department to conduct traffic enforcement activities on private property at the request of the owner. Florida State Statute 316.006 allows municipalities to enter into such agreements provided they are reimbursed for the actual costs of traffic control and enforcement, the owner agrees to indemnify the City and provide liability insurance. The City will bill the owner $25.00 per hour for each officer required to perform the traffic enforcement detail when requested by the owner. Whenever possible, traffic Memo to City Commission Page 2 complaints made by the occupants of the property will be responded to and handled as a call for service, without charge to the owner. The program has been received well by the community. If you have any questions, please feel free to contact me. EMS /act Attachment CCO1769 -12 RESOLUTION NO. 2012- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA AUTHORIZING THE CITY MANAGER TO EXECUTE THE ATTACHED TRAFFIC CONTROL JURISDICTION AGREEMENT BETWEEN COMMODORE PLAZA CONDOMINIUM ASSOCIATION, INC. AND THE CITY OF AVENTURA; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, THAT: Section 1. The City Manager is hereby authorized to execute the attached Traffic Control Jurisdiction Agreement between Commodore Plaza Condominium Association, Inc. and the City of Aventura. Section 2. The City Manager is hereby authorized to do all things necessary to carry out the aims of this Resolution. Section 3. This Resolution shall become effective immediately upon its adoption. The foregoing Resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb Resolution No. 2001 - Page 2 PASSED AND ADOPTED this 3rd day of April, 2012. SUSAN GOTTLIEB , MAYOR ATTEST: TERESA M. SOROKA, CMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY s TRAFFIC CONTROL JURISDICTION AGREEMENT J THIS AGREEMENT is made and entered into this I day of 4&"_)&-20 j � by and between C�%ll�lIl (the "Owner ") and the City of Aventura, Florida, a Florida municipal corporation (the "City "). RECITALS A. Owner owns fee simple title to all the private roadways within the area described as follows: of Dade County, Florida, and commonly known as �_ 47. (the "Private Roads ") B. Owner desires the City to exercise traffic control jurisdiction over the Private Roads, and City desires to exercise such traffic control jurisdiction, pursuant to Florida State Statutes 316.006. NOW, THEREFORE, for Ten and No /100 Dollars ($10.00) and other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, Owner and City agree as follows: 1. Recitals. The foregoing Recitals are true and correct and are incorporated herein by this reference. 2. Traffic Control Jurisdiction Services. The City agrees to exercise traffic control jurisdiction over the Private Roads in accordance with the following terms and conditions. (a) City shall provide for Police Officers of its Police Department to patrol, by motor vehicle, the Private Roads, in accordance with the schedule and manpower indicated on Exhibit "A" attached hereto, subject to availability. (b) In exercising such traffic control jurisdiction, the City shall enforce the traffic laws generally applicable to streets and highways under the City's original jurisdiction which are similar in nature to the Private Roads. (c) The City's exercise of traffic control jurisdiction pursuant to this Agreement shall be in addition to the jurisdictional authority presently exercised by the City over the Private Roads under law, and nothing herein shall be construed to limit or remove any such jurisdictional authority, the City agreeing to continue to provide such other police services as are otherwise provided under law. (d) In addition to exercising traffic control jurisdiction over the Private Roads as indicated on Exhibit "A ", the City shall be entitled to exercise traffic control jurisdiction, even when not requested by Owner, provided, however, the City shall not be entitled to any compensation from Owner pursuant to Paragraph 3 below for exercising such discretionary additional traffic control jurisdiction, although the City shall be entitled to retain all revenues from traffic citations issued by the City for violations of traffic laws along the Private Roads, in accordance with law. PAI (e) Nothing in this Agreement shall require, authorize or permit the City to exercise any control or responsibility concerning the installation or maintenance of traffic control devices. 3. Compensation. (a) Routine Patrol Activity - Except as provided in subsection (b), Owner shall not be responsible to pay the City any compensation for performing routine patrol activity pursuant to this Agreement. Routine Patrol Activity shall mean a level of patrol activity equivalent to that which is randomly provided on public roads. The City shall be entitled to retain all revenues from traffic citations issued by the City for violation of traffic laws along the Private Roads as provided by law. This shall not preclude the assessment of impact fees or other fees provided by law. (b) Extended Patrol Activity - Owner shall compensate City for extended patrol activities conducted by the City on the Private Roads at Owner's request in accordance with the rate schedule enumerated in Exhibit "B ". Extended Patrol Activity shall mean any patrol outside of the scope of the City's routine patrol of the Private Roads requested by the Owner that requires more than one (1) hour additional patrol time within any twenty -four hour period. 4. Liability Not Increased. Neither the existence of this Agreement nor anything contained herein shall give rise to any greater liability on the part of the City 91 than the City would ordinarily be subjected to when providing its normal police services as routinely provided throughout the City. 5. Term. The term of this Agreement shall be one (1) year commencing on the date hereof and ending one (1) year following the date hereof, and shall thereafter automatically continue for successive one (1) year terms, unless terminated by either party upon written notice to the other party given at least thirty (30) days prior to the expiration of the then - applicable one (1) year term. 6. Entire Agreement. This Agreement constitutes the entire understanding and agreement of the parties with respect to the subject matter hereof and may not be changed, altered or modified except by an instrument in writing signed by the party against whom enforcement of such change would be sought. 7. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of Florida. Venue for any litigation between the parties for any controversy arising from or related to this Agreement shall be in the 11th Judicial Circuit in and for Miami -Dade County, Florida. The parties hereby voluntarily waive any right to trial by jury for any litigation between the parties which arises out of this Agreement or the provision of law enforcement services to Owner hereunder. 8. Indemnification and Insurance. Owner agrees to defend, indemnify and hold the City harmless from any claim, demand, suit, loss, cost, expense or damage which may be asserted, claimed or recovered against or from the City by reason of any property damage or bodily injury, including death, sustained by any person whomsoever, which said claim, demand, suit, loss, cost, expense or damage arises out of or is incidental to or in any way connected with this Agreement, and regardless of Ell whether such claim, demand, suit, loss, damage, cost or expense is caused in whole or in part by City's negligence, or by the negligence of City's agents, servants or employees. In support, but not in limitation of this indemnification provision; Owner hereby agrees to maintain and pay all premiums for a policy of comprehensive general liability insurance in an amount of not less then $300,000 combined single limit insurance covering any occurrence on or adjacent to the Private Roads described above, resulting in property damage or bodily injury or death to person or persons. Such insurance policy shall name the City and City's officers, agents and employees as additional insured with respect to traffic control or enforcement of the Private Roads and shall provide for 30 days prior written notice of any cancellation or change in scope or amount of coverage of such policy. Owner shall furnish City with a Certificate of Insurance evidencing compliance with the provisions of this section. EXECUTED as of the date first above written in several counterparts, each of which shall be deemed an original, but all constituting one Agreement. Signed, sealed ?and delivered In the presenq of: � ATTEST: municipal corporation By Teresa M. Soroka, MMC, City Clerk Eric M. Soroka, ICMA -CM, City Manager Approved as to Legal Sufficiency: City Attorney 5 EXHIBIT "A" Patrol Aventura Police Officers in marked police vehicles or motorcycles may patrol the Private Roads on a random basis each day. Whenever possible, Traffic complaints made by occupants of the property, will be responded to and handled as a call for service, without charge to the Owner. Traffic complaints that require Extended Patrol Activity, where the cost of service will be billed to the Owner, will only be conducted with prior approval of the Owner. When requested by the Owner to perform specific traffic enforcement duties, the Owner will be billed in accordance with Exhibit "B ". C: EXHIBIT "B" Compensation The City will bill the Owner $25.00 per hour for each officer requested to perform the Extended Patrol Activity. 7 CITY OF "ENTURA COMMUNITY SERVICES DEPARTMENT TO: City Commission FROM: Eric M. Soroka, ICM A BY: Robert M. Sherman, DATE: March 26, 2012 MEMORANDUM -CM, Ci ana r Directo f Com nity Servic SUBJECT: Bid No. 12 -03 -16 -2 Electrical Maintenance Services April 3, 2012 City Commission Meeting Agenda Item 57 f5 Recommendation It is recommended that the City Commission adopt the attached Resolution awarding Bid No. 12- 03 -16 -2 Electrical Maintenance Services to the lowest responsible and responsive bidders, Universal Electric, Inc. and Prime Electrical Contractors, Inc. at the unit prices as contained in Exhibit "A" and in accordance with the City Engineer's attached recommendation. Background In accordance with the City's Purchasing Ordinance, bids for this maintenance contract were solicited, advertised and opened on March 16, 2012. The bid was advertised in local newspapers and via the internet on DEMANDSTAR. Five qualified bids were received from the following firms: Universal Electric, Inc. Prime Electrical Contractors, Inc. G & R Electric, Inc. AGC Electric, Inc. Horsepower Electric, Inc. The bid document requested hourly rates for licensed electricians, electrician's helpers, and equipment, and for "Project Rates" that were defined as hourly rates (including labor and equipment) for the routine repair of street lights, bollards and ground lighting. Universal Electric, Inc. and Prime Electrical, Inc. have provided the lowest combined unit pricing for labor and equipment rates and have provided the lowest unit pricing for the project services request by the City. City Commission March 26, 2012 Page Two The following table outlines the major differences between the existing contract pricing and the new contract pricing. Our consulting engineers spoke with representatives from several municipal clients regarding the qualifications and past performance under similar contracts and both companies received positive comments. Both recommended bidders will be required to post the appropriate insurance, and all work will be subject to the review and inspection of the City Electrical Inspector. This contract is for a one year period, with a one year extension, at the City's sole discretion. Please feel free to contact me if you have any questions. RMS /gf Attachments RMS12004 New Pricing Existing Pricing Labor Rates Electrician $ 34.00 $ 34.75 Electrician's Helper $ 28.30 $ 22.75 Project Repair Rates Street lighting $ 96.50 $ 87.50 Ground lighting $ 57.00 $ 57.50 Our consulting engineers spoke with representatives from several municipal clients regarding the qualifications and past performance under similar contracts and both companies received positive comments. Both recommended bidders will be required to post the appropriate insurance, and all work will be subject to the review and inspection of the City Electrical Inspector. This contract is for a one year period, with a one year extension, at the City's sole discretion. Please feel free to contact me if you have any questions. RMS /gf Attachments RMS12004 RESOLUTION NO. 2012- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA AWARDING AND LETTING A BID /CONTRACT FOR BID NO. 12- 03 -16 -2, ELECTRICAL MAINTENANCE SERVICES TO UNIVERSAL ELECTRIC OF FLORIDA, INC. AND PRIME ELECTRICAL CONTRACTORS, INC. AT THE INDIVIDUAL BID PRICES CONTAINED IN EXHIBIT "A" ATTACHED; AUTHORIZING THE CITY MANAGER TO EXECUTE ASSOCIATED CONTRACTS; AUTHORIZING THE CITY MANAGER TO TAKE NECESSARY AND EXPEDIENT ACTION TO CARRY OUT THE AIMS OF THIS RESOLUTION; PROVIDING FOR THE APPROPRIATION AND ALLOCATION OF FUNDS FOR SAID BID AWARD; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Manager of the City of Aventura, Florida, has, pursuant to the various laws of the State of Florida and the Code of the City of Aventura, properly solicited and accordingly accepted bids for BID NO. 12- 03 -16 -2, ELECTRICAL MAINTENANCE SERVICES; and WHEREAS, sealed bids have been submitted to and received by the City pursuant to the City's Invitation to Bid /Notice to Bidders, specifications, proposals, and requirements for the project/work as cited above; and WHEREAS, staff has determined that Universal Electric of Florida, Inc. and Prime Electrical Contractors, Inc. have submitted the lowest responsible and responsive bids for said project/work; and WHEREAS, the City Commission, upon the recommendation of the City Manager, is therefore desirous of awarding said bid /contract to said lowest responsible and responsive bidders. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA: Section 1: That bid /contract for BID NO. 12- 03 -16 -2, ELECTRICAL Resolution No. 2012-. Page 2 MAINTENANCE SERVICES is hereby awarded to Universal Electric of Florida, Inc. and Prime Electrical Contractors, Inc. at the individual bid prices contained in Exhibit "A" attached. Section 2: The City Manager is hereby authorized to execute, on behalf of the City, a contract by and between the parties embodying the terms, conditions, specifications as set forth in the subject Invitation to Bid /Notice to Bidders, bid specifications, bid proposal and bid requirements and said parties shall execute said prepared contracts on behalf of the City. Section 3: That the City Manager is hereby authorized and requested to take all necessary and expedient action to carry out the aims of this Resolution in awarding this bid /contract. Section 4: That the funds to be allocated and appropriated pursuant hereto and for the purpose of carrying out the tenets of this Resolution shall be from the General Fund Line Item Nos. 001 - 5001 - 539 -4301, 001 - 5001 - 539 -4311, and 001 -5001- 539 -4640. Section 5: This Resolution shall be effective immediately upon its adoption. The foregoing resolution was offered by Commissioner who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez- Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb Resolution No. 2012 - Page 3 PASSED AND ADOPTED this 3�d day of April, 2012. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY m C. a d N CD N O W f G CD O n m O m � 3 � y O (fl CD O 3 3 C. (D 0 m (D n (D 7 N 7 COD n O .3i n v m (o 3 fD (D CS (D CD 0 d Ll M -r xmm5- xv U)C)mm mE0, oni m a 3 n m m m a CD o �• m 6 w CL 0 CD to O :3 G) N N CD CQ .-. CD D1 n D) O y Q o 3 0 cr N C .�-. m (D n 9 Q C 90 .C+ C'D CD n O = 7 0 y CD m C_ 7 n m a f- 7c N = n CD .D CD a CO r CD CD CD 3 CT CD CD �m 0 3.m vi - O v r o n oW y ' 90 — p O O. N G) CC QD fn ? J d9 fn 69 O CO J EA tN CD C N w OD Cn C7 p O = m CD o00 O O O -4 CA CSC O C (D n N ^� n cn 40 en vi vi vA <O CD O a 9) w o cncnc°n o 3 ° Cl 0CD m CD O 00 O O N C (D 3 ;l CD (O 69' to fi N w ao W A O O N A Q °O C O p O O O rn y m O r. < <i fn va t_H t» fn fy OD m a 5 J O (n O O N 0 Cn O W 3 n CD O CD O O O O O O O CD CD X CD CO fP a) co N W A N w C p O OOO ODp = Q 7 O O O O O co M y O y m M- 0 < -� w <n to En :n to N M n. w Cn 0 O 0 O O CD m CD X z z z CD O Cn ffl O O O 40 40 C = (n O 0 (� c cmn �' o O �m my 00 O ° ° o0 O= � CD a CD CD y O z z z o < m En tj O O O to (fl N t9 C)nn rn m n (Oii U mmm CG N O O 0 o 3 0 0 0 0 CD n. CD CD CD v CD CD I C y) v OD OOCD ?A = 0'0 ° d 0 o 0 o o O O O O O M y 3 1 (D n rn o (D y n 0 fA EA N SA fn 69 169 <fl CD n ° CT O O CT CT n 0 8 0o0 3 °o 00 °o 0 '�.0 0 (D O � n� m W E z C 3 Q N O w M N rn m n n ty ic 01 3 O m 3 n N cn CD n CD CA 0 O 3 C1 n r♦ n C7 EQ (D CD MEMORANDUM CRAVEN THOMPSON AND ASSOCIATES, INC. Date: March 23, 2012 To: Robert Sherman, CPRP, City of Aventura - Director, Community Services Department Copy: Alan Levine, City of Aventura - Public Works Operations Manager From: Adolfo A. Gonzalez, PE, LEED AP, Consulting Engineer Reference: Electrical Maintenance Services Contract Bid Package Review - Bid Number 12-03 -16-2 At your request, we have reviewed the bid results for the above referenced project. A total, of five bids were received. Based on our review of the bids, we are recommending that electrical maintenance contracts be awarded to the following Bidders/ Contractors: • Universal Electric of Florida, Inc. (Universal Electric) • Prime Electrical Contractors, Inc. (Prime Electrical) A copy of the bid tabulation is attached for your information showing all of the individual unit prices. Universal Electric and Prime Electrical have provided the lowest combined unit pricing for labor and equipment rates and have provided the lowest unit pricing for the project services requested by the City. We spoke with representatives from the School Board of Broward County, Florida Department of Transportation, and the Town of Lauderdale -By- The -Sea regarding the qualifications and past performance of Universal Electric under similar electrical maintenance contracts. All agencies described Universal Electric as a qualified firm and capable of providing the type of quality service required under this contract. They provided a quick response time to regular and emergency work and there were no problems or issues with invoices. The City has also had a positive working relationship with Universal Electric under the previous electrical maintenance contract. We spoke with representatives from Miami -Dade Public Works Department (MDPWD) and the Town of Miami Lakes regarding the qualifications and past performance of Prime Electrical under similar electrical maintenance contracts. Both agencies described Prime Electrical as a qualified firm and capable of providing the type of quality service required under this contract. They provided a quick response time to regular and emergency work and there were no problems or issues with invoices. MDPWD described them as very efficient and specializing in streetlight maintenance. If you have any questions or require any additional information, please call. CITY OF AVENTURA FINANCE DEPARTMENT MEMORANDUM TO: City Commission FROM: Eric M. Soroka, ICMA -CM, City Manager BY: Brian K. Raducci, Finance Director DATE: March 27, 2012 SUBJECT: Resolution Setting Forth the Ranking of Banks to Provide Banking Services. April 3, 2012 Commission Meeting Agenda Item 5_F Recommendation It is recommended that the City Commission adopt the attached Resolution which sets forth the ranking of Banks to provide the City's banking services. Background As you are aware, the City has maintained a banking relationship with Bank of America, N.A. (formerly Barnett Bank, N.A.) since March 4, 1997. Currently, the City's operating funds are maintained in a Full Analysis Business Checking Account which earns credit against our monthly analysis charges and is 100% FDIC insured. Over the years, the City's banking services have been greatly enhanced by advances in technology. Since it had been a number of years since this service was formally reviewed, we felt it was time to ensure that the City was obtaining the latest and greatest in terms of technology and service that was currently being offered by the banking industry, for a reasonable price. When we prepared the RFP, our goal was to obtain sufficient information from all Proposers so that we could evaluate the proposals from both a quantitative and qualitative perspective. We believe that we were able to meet this goal. On February 19, 2012, the City issued RFP # 12- 03 -05 -2 Banking Services for the City of Aventura. The RFP was advertised in the Miami Herald and in addition, a solicitation package was made available from www.demandstar.com. On March 5, 2012 sealed proposals were opened from the following banks: • TD Bank • Branch Banking and Trust Company ( "BB &T ") • Bank of America Merrill Lynch ( "Bank of America, N.A. ") Page (2) City Commission In addition, JP Morgan Chase Bank submitted a "No Bid ". Pursuant to the RFP, the proposals were reviewed by an Evaluation Committee consisting of the City Manager, Finance Director and Controller in accordance with the following criteria: Criteria Point Range 1. Cost of services as well as transaction time, investment earnings rate and compensating balance requirements will be evaluated based on the proposal summary 0 -50 2. Ability to provide the type and quality of services requested 0 -30 3. Prior experience in providing banking services to governments, including organizational structure available to service the City 0 -15 4. Other financial services available from the bank above and beyond those Enumerated 0 -05 Maximum Points 100 All three (3) of the responsive bidders made presentations to the Evaluation Committee on March 21, 2012. Quantitative Perspective As requested, each bank proposed specific charges for various services and a compensating balance that would be required to eliminate these monthly costs. In addition, each bank provided an interest rate so that we could project what amount of interest income might be achieved if we were to invest any idle funds that would not be immediately needed to cover operational needs. Qualitative Perspective We obtained sufficient information to evaluate each bank's location(s) in proximity to the Government Center; the bank's organization, financial strength, quality of personnel, experience with local governments and ability to perform all of the requested services. After the three (3) presentations were made, the Evaluation Committee felt confident that any one of those banks was capable of providing and meeting the City with its banking services need. To assist us with our quantitative analysis, a "Comparative Summary Schedule" ( "ATTACHMENT A ") was prepared. This schedule compares the various banks' proposals for cost of services, on a monthly and annual basis, the compensating balance that would be required, on a monthly basis, as well as the interest rate and the interest income that we might achieve under each bank's proposal. Once the compensating balance requirements were met, it appeared that the City could earn $9,250.00 and $13,500.00 (annually) more in interest than with Bank of America, N.A. and BB &T, respectively. Page (3) City Commission Although the Evaluation Committee believes that all three (3) banks are well qualified and capable of providing the City's banking services, we have ranked the Banks in the following order (with 1 being the best) in connection with the criteria listed above and as more —fully described below: 1. Bank of America, N.A. 2. TD Bank 3. BB &T Ranking Justification There are several factors (within the spirit of the RFP criteria) that the Evaluation Committee considered before making their final selection as to the ranking of the Banks. ✓ Although it appears that TD Bank would currently provide the best interest rate and rate of return on our idle funds — this criteria is significantly minimized in light of the following: • This potential additional interest is a "best case scenario" and in our opinion is unlikely to be fully realized as the City has traditionally maintained a larger cushion over the compensating balance in order to completely eliminate or at least mitigate banking charges. • This interest rate would only be guaranteed by TD Bank through April 30, 2013 and would then be subject to market conditions as would the other banks. • In addition, even with TD Bank and BB &T proposing to absorb the first three (3) months of bank service charges, we believe that much of the additional interest earned would be absorbed by the cost of converting (i.e., in terms of staff time that would be needed for any potential training /conversion). ✓ Neither offer provided by TD Bank or BB &T, appears to provide the City with any services that Bank of America, N.A., does not already or has not previously offered to provide. Bank of America, N.A. is very familiar with the City's banking needs and processes as it has essentially provided them since our inception. ✓ We are not currently aware of or are experiencing any significant service issues with Bank of America, N.A. ✓ The City has and continues to experience a very positive and beneficial relationship with Bank of America, N.A. Throughout the economic downturn, we have continued to work closely with them to strengthen and improve internal controls (i.e., positive pay — which verifies disbursement priors to being paid). Page (4) City Commission Other Financial Services In addition to the banking services that Bank of America, N.A. currently provides, the City recently refinanced the Series 1999 Revenue Bonds with the 2010 & 2011 Refunding Revenue Bonds issued through Bank of America, N.A. At that time, Bank of America, N.A. offered the City with the best interest rate of five (5) different banks and at the same time was the only bank able to meet the City's requirement for duration when other banks would not. We believe that our long standing relationship with Bank of America, N.A. assisted us with securing these attractive terms and conditions. In light of the above analysis, at this time, we do not believe that it is in the City's best interest to switch banks. Although TD Bank offered to waive bank charges for the first three (3) months, we do not believe that any potential savings offered here are significant enough to warrant the demand and stress that would be placed on our staff to effectuate the change. Based on the foregoing, the Evaluation Committee requests that the City Commission approve the attached resolution establishing a ranking of banks to provide banking services. If needed, a copy of the RFP, submittals by all banks and other supporting documents are available for review. Assuming adoption of the attached resolution by the Commission, the Administration shall negotiate a contract with the bank ranked first. If the Administration is unable to negotiate a satisfactory contract with that bank, negotiations with that bank shall be formally terminated, and the Administration shall then undertake negotiations with the second - ranked bank. Failing accord with the second - ranked bank, negotiations shall then be terminated with that bank and undertaken with the third - ranked bank. Negotiations with the other ranked banks shall be undertaken in the same manner. The Administration, in negotiating with banks, may reopen formal negotiations with any one of the three (3) top- ranked banks, but it may not negotiate with more than one bank at a time. It is the Administration's intent to have a contract for banking services, (including any credits or charges brought about as a result of negotiations) ready for the Commission's approval at the April 19, 2012 Commission Meeting. If for any reason the Contract is not ready for approval at that time, then the Contract will be brought before you for your approval at the May 1, 2012 Commission Meeting. Upon your review, if you have any questions, please feel free to contact the City Manager. D D D D D 0 CL N 3 a o < a o 3 m w c 0 0 o 3 — n ti :: 0 C a 7 < ai O ? p a� (a ^' 3 O m > > m in 3 CL K 0 m o m °f O n N N d S O n N O ID 7 y A S 7 Co O < N N N N N c 0 3 C m 3 a c 3 D 3 O m o o m e c m 3 o m a p O O 7 S C � 7 Oa A W N N OI O t0 O t0 N tN7� O O O f0/1 O O ,f071 CD O 41 C O O A O A O O O O N O N O CD 0 Vi b M to fA N N W A A W N O tlN N C (T 81 N O O O O O O O O O O O O O O O O O e O O O O O fA fN N fA N M fR Oa Of W Z, N N Mo O O <7t m O 0 O 0 O 0 O 0 O 0 O 0 o N O O O O O O O C O O e O 0 O O Cl O O O G 0 C 0 A A W M c zA M�7c D N Z N i b m 0 CC N yn7<� C n v XD < �_ r co 0 = m n O 1 c < r p m m m z c C RESOLUTION NO. 2012- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA ESTABLISHING A RANKING OF BANKS TO PROVIDE BANKING SERVICES; AUTHORIZING THE CITY MANAGER TO NEGOTIATE FOR SAID SERVICES; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS RESOLUTION; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City of Aventura, in accordance with applicable State law, has requested proposals from banks to provide banking services to the City; and WHEREAS, said proposals were evaluated by an Evaluation Committee consisting of the City Manager, Finance Director and Controller; and WHEREAS, said Evaluation Committee recommends that the top three ranked banks, based on the banks' cost of services, transaction time, investment earnings rate and compensating balance requirements; ability to provide the type and quality of services requested; prior experience in providing banking services to governments, including organizational structure available to service the City; and other financial services available from the bank above and beyond those enumerated, be: 1). Bank of America, N.A. 2). TD Bank and 3). BB &T; and WHEREAS, the City Commission desires to authorize the City Manager or his designee to negotiate fees with the top ranked bank and with the alternate bank(s), should negotiations with the top ranked bank be unsuccessful. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, THAT: Section 1. The ranking of banks to provide banking services for the City are: 1) Bank of America, N.A. Resolution No. 2012 - Page 2 2) TD Bank 3) BB &T Section 2. The banks have been rated on their cost of services, transaction time, investment earnings rate and compensating balance requirements; ability to provide the type and quality of services requested; prior experience in providing banking services to governments, including organizational structure available to service the City; and other financial services available from the bank above and beyond those enumerated. The final cost shall be negotiated by the City Manager or his designee and approved by the City Commission prior to said bank beginning any work for which the City may later be Section 3. In the event the City is unable to come to favorable terms and fees with the top ranked bank, the City Manager or his designee is hereby authorized to negotiate fees with the alternate banks. Section 4. The City Manager is hereby authorized and requested to take all necessary and expedient action to carry out the aims of this resolution. Section 5. This Resolution shall become effective immediately upon its adoption. The foregoing Resolution was offered by Commissioner , who moved its adoption. The motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb Resolution No. 2012 - Page 3 PASSED AND ADOPTED this 3rd day of April, 2012. SUSAN GOTTLIEB, MAYOR ATTEST: TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY CITY OF AVENTURA FINANCE DEPARTMENT MEMORANDUM TO: City Commission FROM: Eric M. Soroka, ICMA -CM, City Manager BY: Z an K. Raducci, Finance Director DATE: March 9, 2012 SUBJECT: Mid -Year Ordinance Amending 2011112 Budget 1St Reading April 3, 2012 City Commission Meeting Agenda Item 14 2 "d Reading May 1, 2012 City Commission Meeting Agenda Item RECOMMENDATION It is recommended that the City Commission approve the attached Ordinance amending the 2011/12 budget. The total amount of each fund's budget amendment is outlined below. BACKGROUND As you are aware, the City normally amends the budget to recognize actual fund balance amounts carried over based on the prior year's audit. In addition, budget amounts are amended to re- appropriate the balances in capital outlay projects which were not 100% complete by the end of the prior fiscal year. The need to re- appropriate unspent capital accounts and to recognize the actual fund balances at September 30, 2011 to the 2011/12 budget was also discussed in my memorandum dated March 9t" which was distributed electronically to the Commission along with the Comprehensive Annual Financial Report. GENERAL FUND (001) REVENUES /EXPENDITURES — $601,943 To recognize additional Carryover to fund the two (2) items described below. 1. To re- appropriate $604,300 worth of capital outlay projects which were not 100% complete by the end of the prior fiscal year (e.g., computer equipment — $417,520, E911 equipment — $40,000, other equipment — $61,780, improvements — $85,000). 2. To decrease Non Departmental/Transfers by $2,357 in order to recognize actual fund balances as explained under the two- related debt service funds, (found at the end of this memorandum), based on the prior year's audit. POLICE EDUCATION FUND (110) REVENUES /EXPENDITURES — $8,429 To recognize and re- appropriate the actual fund balance amount carried over based on the prior year's audit. STREET MAINTENANCE FUND (120) REVENUES /EXPENDITURES — $316,809 To recognize additional Carryover to fund the two (2) items described below. 1. To re- appropriate $60,000 worth of Road Resurfacing projects (e.g., NE 29th Avenue, NE 187th Street and NE 34th Avenue) which were not 100% complete by the end of the prior fiscal year. 2. To increase the Capital Reserve by $256,809 in order to recognize and re- appropriate the remaining funds of the fund balance amount carried over based on the prior year's audit. POLICE CAPITAL OUTLAY IMPACT FEE FUND (140) REVENUES /EXPENDITURES —$18,646 To recognize and re- appropriate the actual fund balance amount carried over based on the prior year's audit. PARK DEVELOPMENT FUND (170) REVENUES /EXPENDITURES — $10 To recognize and re- appropriate the actual fund balance amount carried over based on the prior year's audit. 911 FUND (180) REVENUES /EXPENDITURES — ($24,502) To recognize and re- appropriate the actual fund balance amount carried over based on the prior year's audit. 2 DEBT SERVICE FUND SERIES 2010 & 2011 (230) REVENUES — $0 (Revenue Reclassification of $1,357 — Net effect is $0) To recognize and re- appropriate the actual fund balance amount carried over based on the prior year's audit and to reduce the transfer from the General Fund, respectively by $1,357 for a net effect of $0. DEBT SERVICE FUND SERIES 2002 (250) REVENUES — $0 (Revenue Reclassification of $1,000 — Net effect is $0) To recognize and re- appropriate the actual fund balance amount carried over based on the prior year's audit and to reduce the transfer from the General Fund, respectively by $1,000 for a net effect of $0. If you should have any questions related to this memorandum, please feel free to contact the City Manager. BKR /bkr 3 ORDINANCE NO. 2012- AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AMENDING ORDINANCE NO. 2011 -08 WHICH ORDINANCE ADOPTED A BUDGET FOR THE 2011/2012 FISCAL YEAR BY REVISING THE 2011/2012 FISCAL YEAR OPERATING AND CAPITAL BUDGET AS OUTLINED IN EXHIBIT "A" ATTACHED HERETO; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS ORDINANCE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, upon the periodic review and analysis of current budgetary commitments and obligations, and based upon the projected needs and requirements of the City and upon the recommendations of the City Manager (and the concurrence of the Finance Director as to Accounting Principles), it is deemed necessary to adjust, amend and implement the 2011/2012 Operating and Capital Budget as set forth in Exhibit "A" attached hereto and made a part hereof. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AS FOLLOWS: Section 1. The recitals contained in the preamble to this Ordinance are incorporated by reference herein. Section 2. The City Commission hereby authorizes the amendment of Ordinance No. 2011 -08, which Ordinance adopted a budget for the 2011/2012 fiscal year, by revising the 2011/2012 budget as set forth on the attached Exhibit "A" which exhibits are deemed incorporated by reference as though set forth in full herein. Section 3. The City Manager is hereby authorized to do all things necessary to carry out the aims of this Ordinance. Ordinance No. 2012-, Page 2 Section 4. Effective Date. This Ordinance shall be effective immediately upon adoption on second reading and shall be applicable retroactively from and after October 1, 2011. The foregoing Ordinance was offered by Commissioner , who moved its adoption on first reading. This motion was seconded by Commissioner and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb The foregoing Ordinance was offered by Commissioner , who moved its adoption on second reading. This motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Billy Joel Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Mayor Susan Gottlieb PASSED AND ADOPTED on first reading this 3`d day of April, 2012. 2 Ordinance No. 2012 - Page 3 PASSED AND ADOPTED on second reading this 1st day of May, 2012. TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY 3 SUSAN GOTTLIEB, MAYOR FY 2011/12 Budget Amendments GENERAL FUND (001) 2011112 OBJECT ADOPTED CODE CATEGORY BUDGET Revenues Non - Revenue 3999000 Carryover SUBTOTAL Total Amendments - Revenues 2011/12 AMENDED AMOUNT Exhibit A 2011112 REVISED BUDGET $ 15, 753, 036 $ 601,943 $ 16, 354, 979 $ 15,753,036 $ 601,943 $ 16,354,979 $ 601,943 Expenditures Capital Outlay /Information Technology (8012 -513) 6401 Computer Equipment >$5,000 $ 158,590 $ 206,320 $ 364,910 SUBTOTAL $ 158,590 $ 206,320 $ 364,910 Capital Outlay /Public Safety (8020 -521) 6401 Computer Equipment >$5,000 $ - $ 10,000 $ 10,000 6402 Computer Equipment <$5,000 110,000 146,800 256,800 6405 E911 Equipment 15,000 40,000 55,000 6410 Equipment >$5,000 120,000 39,000 159,000 SUBTOTAL $ 245,000 $ 235,800 $ 480,800 Capital Outlay /Community Development (8040 -524) 6401 Computer Equipment >$5,000 $ - $ 44,000 $ 44,000 SUBTOTAL $ - $ 44,000 $ 44,000 Capital Outlay /Community Services (8050- 539/541) 6402 Computer Equipment <$5,000 $ 6410 Equipment >$5,000 SUBTOTAL $ 22,400 $ 10,400 $ 32,800 14,000 22,780 36,780 400 180 580 Capital Outlay /Arts & Cultural Center - 70 -575 6301 Improve. Other Than Bldg /Marquee $ - $ 85,000 $ 85,000 $ $ 85,000 $ 85,000 Non Departmental /Transfers (9001 -581) 9123 Transfer to 1999 Debt Service Fund (230) $ 1,207,734 $ (1,357) $ 1,206,377 9125 Transfer to 2002 Debt Service Fund (250) 404,780 (1,000) 403,780 SUBTOTAL $ 1,612,514 $ (2,357) $ 1,610,157 Total Amendments - Expenditures $ 601,943 Page 1 of 4 Exhibit A POLICE EDUCATION FUND (110) Expenditures Public Safety (2001 -521) 5450 Training $ 11,000 $ 8,429 $ 19,429 SUBTOTAL $ 11,000 $ 8,429 $ 19,429 Total Amendments - Expenditures $ 8,429 TRANSPORTATION AND STREET MAINTENANCE FUND (120) 2011/12 2011/12 2011112 OBJECT ADOPTED AMENDED REVISED CODE CATEGORY BUDGET AMOUNT BUDGET Revenues Non - Revenue 3999000 Carryover $ 4,000 $ 8,429 $ 12,429 SUBTOTAL $ 4,000 $ 8,429 $ 12,429 Total Amendments - Revenues $ 8,429 Expenditures Public Safety (2001 -521) 5450 Training $ 11,000 $ 8,429 $ 19,429 SUBTOTAL $ 11,000 $ 8,429 $ 19,429 Total Amendments - Expenditures $ 8,429 TRANSPORTATION AND STREET MAINTENANCE FUND (120) Expenditures Community Services (5001 -541) 6305 Road Resurfacing $ 608,000 $ 60,000 $ 668,000 6999 Capital Reserve 59,150 256,809 315,959 SUBTOTAL $ 667,150 $ 316,809 $ 983,959 Total Amendments - Expenditures $ 316,809 POLICE CAPITAL OUTLAY IMPACT FEE FUND (140) 2011/12 2011/12 2011/12 OBJECT ADOPTED AMENDED REVISED CODE CATEGORY BUDGET AMOUNT BUDGET Revenues Non - Revenue 3999000 Carryover $ 130,000 $ 316,809 $ 446,809 SUBTOTAL $ 130,000 $ 316,809 $ 446,809 Total Amendments - Revenues $ 316,809 Expenditures Community Services (5001 -541) 6305 Road Resurfacing $ 608,000 $ 60,000 $ 668,000 6999 Capital Reserve 59,150 256,809 315,959 SUBTOTAL $ 667,150 $ 316,809 $ 983,959 Total Amendments - Expenditures $ 316,809 POLICE CAPITAL OUTLAY IMPACT FEE FUND (140) Expenditures Non Departmental (2001 -521) 6999 Capital Reserve $ 16,557 $ 18,646 $ 35,203 SUBTOTAL $ 16,557 $ 18,646 $ 35,203 Total Amendments - Expenditures $ 18,646 Page 2 of 4 2011/12 2011/12 2011/12 OBJECT ADOPTED AMENDED REVISED CODE CATEGORY BUDGET AMOUNT BUDGET Revenues Non - Revenue 3999000 Carryover $ 16,557 $ 18,646 $ 35,203 SUBTOTAL $ 16,557 $ 18,646 $ 35,203 Total Amendments - Revenues $ 18,646 Expenditures Non Departmental (2001 -521) 6999 Capital Reserve $ 16,557 $ 18,646 $ 35,203 SUBTOTAL $ 16,557 $ 18,646 $ 35,203 Total Amendments - Expenditures $ 18,646 Page 2 of 4 Exhibit A PARK DEVELOPMENT FUND (170) 2011/12 2011/12 2011/12 OBJECT ADOPTED AMENDED REVISED CODE CATEGORY BUDGET AMOUNT BUDGET Revenues Non - Revenue 3999000 Carryover $ 2,246 $ 10 $ 2,256 SUBTOTAL $ 2,246 $ 10 $ 2,256 Total Amendments - Revenues $ 10 Expenditures Non Departmental /Transfers (5001 -572) 6999 Capital Reserve $ 2,246 $ 10 $ 2,256 SUBTOTAL $ 2,246 $ 10 $ 2,256 Total Amendments - Expenditures $ 10 OBJECT CODE CATEGORY Revenues 911 FUND (180) 2011/12 ADOPTED BUDGET Non - Revenue 3999000 Carryover SUBTOTAL Total Amendments - Revenues Expenditures 2011/12 2011/12 AMENDED REVISED AMOUNT BUDGET $ - $ 24,502 $ 24,502 $ - $ 24,502 $ 24,502 $ 24,502 Public Safety (2001 -521) 6999 Capital Reserve $ - $ 24,502 $ 24,502 SUBTOTAL $ - $ 24,502 $ 24,502 Total Amendments - Expenditures $ 24,502 Page 3 of 4 OBJECT CODE CATEGORY Revenues DEBT SERVICE FUND SERIES 2010 & 2011 (230) 2011/12 ADOPTED BUDGET 2011/12 AMENDED AMOUNT Exhibit A 2011/12 REVISED BUDGET Non - Revenue 3811001 Transfer from General Fund $ 1,207,734 $ (1,357) $ 1,206,377 3999000 Carryover - 1,357 1,357 SUBTOTAL $ 1,207,734 $ - $ 1,207,734 Total Amendments - Revenues $ - DEBT SERVICE FUND SERIES 2002 CHARTER SCHOOL LAND ACQUISITION (250) 2011/12 2011/12 2011/12 OBJECT ADOPTED AMENDED REVISED CODE CATEGORY BUDGET AMOUNT BUDGET Revenues Non - Revenue 3811001 Transfer from General Fund $ 404,780 $ (1,000) $ 403,780 3999000 Carryover - 1,000 1,000 SUBTOTAL $ 404,780 $ - $ 404,780 Total Amendments - Revenues $ Page 4 of 4 CITY OF AVENTURA OFFICE OF THE CITY MANAGER MEMORANDUM TO: City Commission FROM: Eric M. Soroka, ICMA -CM, Cit yn:ae DATE: March 22, 2012 SUBJECT: Ordinance Amending 2011112 Budget 1St Reading April 3, 2012 City Commission Meeting Agenda Item 2 "d Reading April 19, 2012 City Commission Meeting Agenda Item _ RECOMMENDATION It is recommended that the City Commission adopt the attached Ordinance amending the 2011/12 Budget in the amount of $420,000 as outlined below. BACKROUND As reviewed at the March Workshop Meeting, it is recommended that the current year's budget be amended to include the following projects due to their importance and the need to expedite their completion. 1. Police Department Information System Upgrade — requires $330,000 to procure a new "state of the art" information system which will upgrade records management, dispatch, mobile computing and improve data sharing with neighboring jurisdictions. This project will take 18 months for full implementation. 2. ACES Playground Equipment Replacement — This project involves the replacement of ten year old equipment at the Charter School that is in need of repair at a cost of $90,000. This project will be completed this summer in order not to impact the school year. The budget amount to fund the amendment will be provided by the Capital Reserve line item. As these items are capital in nature and are non - recurring, their impact on all the reserve is minimal. Memo to City Commission Page 2 If you have any questions, please feel free to contact me. EMS /act Attachment CCO1771 -12 ORDINANCE NO. 2012- AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AMENDING ORDINANCE NO. 2011 -08 WHICH ORDINANCE ADOPTED A BUDGET FOR THE 2011/2012 FISCAL YEAR BY REVISING THE 2011/2012 FISCAL YEAR OPERATING AND CAPITAL BUDGET AS OUTLINED IN EXHIBIT "A" ATTACHED HERETO; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO CARRY OUT THE AIMS OF THIS ORDINANCE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, upon the periodic review and analysis of current budgetary commitments and obligations, and based upon the projected needs and requirements of the City and upon the recommendations of the City Manager (and the concurrence of the Finance Director as to Accounting Principles), it is deemed necessary to adjust, amend and implement the 2011/2012 Operating and Capital Budget as set forth in Exhibit "A" attached hereto and made a part hereof. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF AVENTURA, FLORIDA, AS FOLLOWS: Section 1. The recitals contained in the preamble to this Ordinance are incorporated by reference herein. Section 2. The City Commission hereby authorizes the amendment of Ordinance No. 2011 -08, which Ordinance adopted a budget for the 2011/2012 fiscal year, by revising the 2011/2012 budget as set forth on the attached Exhibit "A" which exhibits are deemed incorporated by reference as though set forth in full herein. Section 3. The City Manager is hereby authorized to do all things necessary to carry out the aims of this Ordinance. Ordinance No. 2012 - Page 2 Section 4. Effective Date. This Ordinance shall be effective immediately upon adoption on second reading and shall be applicable retroactively from and after October 1, 2011. The foregoing Ordinance was offered by Commissioner , who moved its adoption on first reading. This motion was seconded by Commissioner and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb The foregoing Ordinance was offered by Commissioner , who moved its adoption on second reading. This motion was seconded by Commissioner , and upon being put to a vote, the vote was as follows: Commissioner Zev Auerbach Commissioner Bob Diamond Commissioner Teri Holzberg Commissioner Michael Stern Commissioner Luz Urbaez Weinberg Vice Mayor Billy Joel Mayor Susan Gottlieb PASSED AND ADOPTED on first reading this 3rd day of April, 2012. 2 Ordinance No. 2012 - Page 3 PASSED AND ADOPTED on second reading this 19th day of April, 2012. TERESA M. SOROKA, MMC CITY CLERK APPROVED AS TO LEGAL SUFFICIENCY: CITY ATTORNEY w SUSAN GOTTLIEB, MAYOR Exhibit A FY 2011/12 Budget Amendments GENERAL FUND (001) 2011112 2011112 2011/12 OBJECT ADOPTED AMENDED REVISED CODE CATEGORY BUDGET AMOUNT BUDGET Expenditures Capital Outlay /Public Safety (8020 -521) 6401 Computer Equipment >$5,000 $ 10,000 $ 330,000 $ 340,000 SUBTOTAL $ 10,000 $ 330,000 $ 340,000 Capital Outlay /Charter School (8069 -569) 6401 Playground Equipment $ - $ 90,000 $ 90,000 SUBTOTAL $ - $ 90,000 $ 90,000 Non Departmental /Capital Reserve (8090 -590) 6999 Capital Reserve $ 15,193,488 $ (420,000) $ 14,773,488 SUBTOTAL $ 15,193,488 $ (420,000) $ 14,773,488 Total Amendments - Expenditures $ - Page 1 of 1