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Washington
Comprehensive Annual Financial Report
For the Fiscal Year Ended December 31, 2009
City of Bremerton, Washington
Annual Financial Report
For the Fiscal Year ended
December 31, 2009
Prepared by the Finance Department
City of Bremerton
345 6` Street, Suite 600
Bremerton, WA 98337
(360) 473 -5210
Website: www.ci.bremerton.wa.us
City of Bremerton
Comprehensive Annual Financial Report
For the Fiscal Year Ended December 31, 2009
Table of Contents
Page
Introductory Section
Letterof Transmittal ................................................................................................................................. ............................... 1
OrganizationChart ................................................................................................................................. ............................... 10
List of Elected and Appointed Officials ................................................................................................. ............................... 11
Financial Section
Reserved for Independent Auditor's Report ..................................................................................... ............................... 13
Management' Discussion and Analysis ........................................................................................... ............................... 15
Basic Financial Statements:
Government -wide Financial Statements:
Statementof Net Assets ................................................................................................................... ............................... 27
Statementof Activities ..................................................................................................................... ............................... 28
Fund Financial Statements:
Balance Sheet — Governmental Funds .............................................................................................. ............................... 29
Statement of Revenues, Expenditures, and Changes in Fund Balances —
GovernmentalFunds ................................................................................................................ ............................... 30
Reconciliation of the Statement of Revenues, Expenditures, and Changes
In Fund Balances of Governmental Funds to the Statement of Activities ................................ ............................... 31
Statement of Revenues, Expenditures, and Changes in Fund Balances — Budget and Actual
GeneralFund ............................................................................................................................ ............................... 32
Statement of Net Assets — Proprietary Funds ................................................................................... ............................... 33
Statement of Revenues, Expenses, and Changes in Fund Net Assets — Proprietary Funds .............. ............................... 34
Statement of Cash Flows — Proprietary Funds ................................................................................. ............................... 35
Statement of Fiduciary Net Assets — Fiduciary Funds ..................................................................... ............................... 37
Notes to the Financial Statements ............................................................................................................ ............................... 39
Required Supplementary Information:
LEOFFI Pension Benefits ....................................................................................................................... ...............................
68
Combining and Individual Fund Statements and Schedules:
Combining Balance Sheet — Nonmajor Governmental Funds .................................................................. ...............................
69
Combining Statement of Revenues, Expenditures and Changes in Fund Balances — Nonmajor Governmental.Funds
........... 72
Schedules of Revenue, Expenditures, and Changes in Fund Balances — Budget and Actual:
SpecialRevenue Funds .................................................................................................................... ...............................
75
DebtService Funds .......................................................................................................................... ...............................
88
CapitalProjects Funds ..................................................................................................................... ...............................
89
Combining Statement of Net Assets — Other Proprietary Funds ............................................................ ...............................
94
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets — Other Proprietary Funds .......................
95
Combining Statement of Cash Flows — Other Proprietary Funds ........................................................... ...............................
96
Combining Statement of Net Assets — Internal Service Funds ............................................................... ...............................
98
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets — Internal Service Funds .........................
99
Combining Statement of Cash Flows — Internal Service Funds ........................................................... ...............................
100
Statistical Section
Financial Trends:
Table1 —
Net Assets by Component .................................................................................................... ...............................
103
Table2 —
Changes in Net Assets .......................................................................................................... ...............................
104
Table 3 —
Fund Balance of Government Funds .................................................................................... ...............................
105
Table 4 —
Changes in Fund Balances of Government Funds ................................................................ ...............................
106
Revenue Capacity:
Table 5 —
Assessed and Estimated Actual Value of Taxable Property ................................................. ...............................
107
Table 6 —
Property Tax Rates for Direct and Overlapping Governments ............................................. ...............................
108
Table 7 —
Property Tax Rates Direct and Overlapping Governments Last 10 Fiscal Years ................. ...............................
109
Table 8 —
Principal Property Taxpayers ............................................................................................... ...............................
110
Table 9 -
Property Tax Levies and Collections .................................................................................... ...............................
111
Debt Capacity
Table 10
— Ratio of Net General Bonded Debt ..................................................................................... ...............................
112
Table 11
— Computation of Direct and Overlapping Debt .................................................................... ...............................
113
Table 12
— Computation of Legal Debt Margin ................................................................................... ...............................
114
Table 13
— Ratio of Annual Debt Service Expenditures for General Bonded Debt
To Total General Expenditures .......................................................................................... ...............................
115
Table 14
— Water and Sewer Revenue Bond Coverage ........................................................................ ...............................
116
Demographic and
Economic Information:
Table 15
— Demographic Statistics ....................................................................................................... ...............................
117
Table 16
— Miscellaneous Statistics ...................................................................................................... ...............................
118
City of Bremerton / 9
June 30, 2010
Honorable Mayor and City Council
City of Bremerton
Bremerton, Washington
Department of 'Financial Services
345 6th Street Suite 600,
Bremerton, WA 98337
Telephone: 360- 473 -5722
Fax: 360- 473 -5200
Barbara. stephenson @ci. bremerton. wa. us
Barbara Stephenson, Director of Financial Services
The Department of Financial Services is pleased to provide you with the Annual Financial Report of the
City of Bremerton for the fiscal year ended December 31, 2009. We believe the information, as presented,
is accurate in all material aspects; that it is presented in a manner designed to set forth fairly the financial
position and results of operations of the City as measured and reported by the financial activity of its
various funds; and that all disclosures necessary to enable the reader to gain an adequate understanding of
the City's financial affairs have been included. Responsibility for both the accuracy of the data, and the
completeness and fairness of the presentation, including all disclosures, rests with city management.
The report was prepared by the Department of Financial Services in accordance with generally accepted
accounting principles (GAAP) and is intended to provide sufficient information to permit the assessment
of stewardship and accountability, to demonstrate legal compliance, and to provide management control.
The report includes all funds, account groups, agencies, and boards and commissions that are controlled
by, or dependent on, the City's executive and legislative departments.
Cities and counties of the State of Washington must comply with the Budgeting, Accounting and
Reporting System (BARS) prescribed by the Office of the State Auditor. State law also provides for an
annual independent audit by the Office of the State Auditor and requires timely submission of annual
financial reports to the State for review.
As a recipient of federal, state and county financial assistance the City is required to undergo an annual
single audit in conformity with the provisions of the Single Audit Act Amendments of 1996 and U.S.
Office of Management and Budget Circular A -133, Audits of State and Local Governments. This audit is
conducted by the State Auditor's Office in conjunction with the City's annual independent audit. The
results of the City's single annual audit for the fiscal year ended December 31, 2009 is not yet available
but we expect that no instances of material weaknesses in the internal control structure or significant
violations of applicable laws and regulations will be noted. Once completed the auditor's report will be
provided to all regulatory agencies and made available to the public upon request.
In developing and evaluating the City's accounting control system, consideration is given to the adequacy
of internal accounting controls. Accounting control comprises the plan of organization and procedures
and records that are concerned with the safeguarding of assets and the reliability of financial records and
consequently are designed to provide reasonable assurance that:
City of Bremerton / 2
• Transactions are executed in accordance with management's general or specific authorization
• Transactions are recorded as necessary to: 1) permit preparation of financial statements in
conformity with (GAAP), or any other criteria, such as finance- related legal and contractual
compliance requirements applicable to such statements, and 2) maintain accountability for
assets
• Access to assets is permitted only in accordance with management's authorization
• The recorded accountability for assets is compared with existing assets at reasonable intervals
and appropriate action is taken with respect to any differences
The definition of accounting control assumes reasonable assurance that the objectives expressed in it will
be accomplished by the system. The concept of reasonable assurance recognizes that the cost of internal
control should not exceed the benefits expected to be derived. We believe that the City's internal
accounting controls adequately safeguard assets and provide reasonable assurance of proper recording of
financial transactions.
GAAP requires that management provide a narrative introduction, overview and analysis to accompany
the basic financial statements in the form of Management's Discussion and Analysis (M&4). This letter
of transmittal is designed to complement the MD &A and should be read in conjunction with it. The City
of Bremerton's MD &A can be found in the Financial Section of this report.
Profile of the Government
The City of Bremerton was incorporated in 1901, and operates under the laws of the State of Washington
applicable to a home -rule charter city under a Mayor /Council form of government. The City Council is
comprised of nine members, elected by district by the citizens of the City, each serving a four -year term.
The City Council members are part-time elected officials who exercise the legislative powers of the City
and determine matters of policy. The Mayor, a full -time elected official, is the chief executive officer of
the City. The officers and department directors are appointed by the Mayor with City Council approval.
The City provides a full range of municipal services including fire protection/emergency medical
services; law enforcement; municipal court; parks and recreation facilities /activities; transportation,
infrastructure construction and maintenance; economic development; building and planning, zoning;
finance and administration; and operates water, sewer, and stormwater utility systems. At year end there
were 356.13 FTE's employed by the City.
The City is located on the Kitsap Peninsula, facing Puget Sound, approximately 15 miles west of the
City of Seattle by ferry and 35 miles north of the City of Tacoma. As the largest city in the County,
Bremerton had a 2009 estimated population of 36,620 and serves as the urban center for the Bremerton -
Silverdale Metropolitan Statistical Ares (MSA). Bremerton is the 27 largest city in the State of
Washington and has an incorporated area of approximately 30 square miles.
Over the past five years, the City's downtown core has undergone some significant revitalization projects,
including a new Conference Center, parking garages, two hotels, three condominium complexes, a new
expanded marina, Harborside Park and Plaza, a ferry terminal traffic tunnel as well as a new Government
Center.
City of Bremerton / 3
Financial Information
■ Accounting
The accrual basis of accounting is used for all funds except the governmental fund types and agency
funds, which use the modified accrual basis of accounting. Accounting and budgetary systems will, at all
times, conform to Generally Accepted Accounting Principles, the State of Washington Budgeting
Accounting Reporting System (B.A.R.S.) and local regulations. The accounts of the City are organized on
the basis of funds and account groups, each of which is considered a separate accounting entity. The City
uses governmental, proprietary and fiduciary funds. Each governmental fund or agency fund is accounted
for with a separate set of self - balancing accounts that comprise its assets, liabilities, fund balances,
revenues and expenditures. Proprietary funds use the revenue, expense and equity accounts of similar
businesses in the private sector. Specifically, the City maintained thirty (30) budgeted funds in 2009
comprised of the following: General Fund, thirteen Special Revenue funds, one Debt Service fund, five
Capital Project funds, six Enterprise funds and four Internal Service funds.
■ Budgeting
The City of Bremerton prepares its budget on an annual basis under the authority granted by chapter
35.33 RCW. The budget process is designed to meet the operations and service needs of the City by
integrating the planning and implementation of City programs and objectives with the allocation of
resources sufficient to support such services and programs. The budget, as adopted, constitutes the legal
authority for expenditures.
The City budget is adopted by fund and departments within each fund, and by category group level which
consist of five distinct categories: 1) personnel, 2) supplies, services and taxes, 3) debt service, 4) capital
expenditures, and 5) transfers. Expenditures may not legally exceed appropriations as established by
fund, department, and category group. Transfers or revisions within funds are allowed, but supplemental
appropriations must be approved by the City Council following public hearings. All appropriations,
including capital projects, lapse at year -end.
Although funds are legally appropriated at the fund level, the level of budgetary control is at the
departmental level within each fund. After adoption, budget increases or decreases for funds must be
authorized by the City Council. City code further controls spending at the "category" level within each
budget with the Mayor authorized to transfer appropriations between category groups within a
department's budget provided such amount does not exceed $10,000.
A "Capital Facilities Plan" is prepared annually in accordance with the requirements of the Washington
State Growth Management Act and defines the long -term capital plan of the City. However, the
individual capital project expenditures are appropriated through annual budget ordinances.
■ Internal Control
The City of Bremerton maintains an internal control structure designed to provide reasonable assurance
that the assets of the City are protected from loss, theft, or fraud and that adequate accounting data are
compiled to allow for the preparation of financial statements in conformity with generally accepted
accounting principles (GAAP). The requirement for 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.
City of Bremerton / 4
■ Auditing of City Finances
State laws require audits for cities such as Bremerton to be conducted by the Office of the State Auditor.
In addition to meeting state requirements, the audit must meet the requirements of the federal Single
Audit Act of 1984, and the Single Audit Act amendments of 1996 which substantially revised various
provisions of the 1984 Act, and the related U.S. Office of Management and Budget Circular A -133. An
audit is conducted annually in accordance with generally accepted auditing standards and the standards
set forth in the General Accounting Office's Government Auditing Standards. It must examine, among
other things, the financial condition and resources of the city, whether the laws and constitution of the
State are being complied with, and the methods and accuracy of the city's accounts and reports. As of
the date of this report the audit of the 2009 general purpose financial statements has not been concluded.
At conclusion of the audit a complete auditor's report will be made available at the Bremerton City
Clerk's office and on the City's website www.ci.bremerton.wa.us/forms/finance/2009Ann
Factors Affecting Financial Condition
Information presented in the financial statements is best considered in the broader context of the
economic environment in Bremerton and the surrounding area.
■ Local Economy
For over a century, the City has been home to Puget Sound Naval Shipyard, which continues to serve
U.S. Navy ships and its yard employs over 9,000 civilians and nearly 6,000 active duty military personnel
are based at this site. Major employers, all holding support contracts with the Navy, include Johnson
Controls, BAE Systems, AMSEC, Lockheed Martin, and Raytheon Systems. In total, naval contractors
employ about 2,400 personnel.
The naval and Department of Defense installations in the county have a significant impact on the City's
economy. The Puget Sound region remains home to the third- largest concentration of U.S. naval bases in
the nation. Naval Base Kitsap ( "NBK ") was established on June 4, 2004 through the merger of Naval
Station Bremerton and Submarine Base Bangor.
Puget Sound Naval Shipyard ( "PSNS ") is the oldest permanent naval installation on Puget Sound, and a
major industrial employer in Washington. PSNS is now a $2 billion ship maintenance, modernization and
repair facility. The Bremerton facility is the first and only shipyard in the world that has inactivated and
safely recycled nuclear powered ships, and is widely recognized as the international authority in this field.
Naval Base Kitsap- Bremerton was created out of a portion of the shipyard in late 1998. It is home to the
carrier USS John C. Stennis and two fast attack submarines: the USS Seawolf and the USS Connecticut.
Additionally, the station serves sailors from ships berthed at PSNS for maintenance and
decommissioning.
Naval Base Kitsap- Bangor encompasses 7,201 acres. It serves the Navy as a homeport for the TRIDENT
Submarines. Industrial activities include incremental submarine over - hauls, modernization and
maintenance; assembly and processing of missiles and components; and training military and civilian
personnel on the latest military technologies. Naval Base Kitsap- Bangor includes the following:
City of Bremerton / 5
• Submarine Squadron Seventeen's mission is to support the four submarines and crews that make
up the strategic deterrent force in the Pacific. Submarine Squadron Nineteen's mission is to
support the six submarines and 12 crews that make up the strategic deterrent force in the Pacific.
The Squadron 19 staff consists of 17 officers and 60 enlisted people.
Naval Submarine Support Command's mission is to centralize administrative and support
functions, economize resources and provide a coimnon pool of experts to support the submarines
and staffs of Submarine Squadrons Seventeen and Nineteen, visiting and other assigned units,
including submarines in availability at PSNS. Specific areas of responsibility include
Administration, Personnel, Medical, Legal, Chaplain, Supply, Combat Systems, Material,
Communications, and Operations.
• Commander, Submarine Group 9 (COMSUBGRU 9) is the senior Submarine Force Command in
the Pacific Northwest, and the U.S. West Coast. Its mission is to deter threats to the United
States and its allies within the Pacific Fleet area of responsibility.
The Naval Undersea Warfare Center ( "NUWC ") at Keyport provides a wide array of services supporting
the Navy's undersea warfare systems, countermeasures, and aircraft carrier tactical support systems, and
is the Navy's maintenance depot for torpedoes, mines and mobile targets. NUWC exploits leading -edge
industrial technology and custom engineering to support the research and development community in
prototype development and testing.
The Fleet Industrial Supply Center, Puget Sound ( "FISC ") was established in 1967 when the Naval
Supply Depot, Seattle, the Naval Fuel Depot, Manchester and certain functions of the Supply Department
at PSNS were consolidated. FISC provides a variety of logistics support services and products to fleet,
shore, and industrial commands of the Navy and other joint and allied forces. It delivers combat
capability through logistics by teaming with regional partners and customers to provide supply chain
management, procurement, contracting and transportation services, technical and customer support,
defense fuel products, and worldwide movement of personal property.
The Naval Hospital Bremerton is a fully accredited community -based acute care and obstetrical hospital,
is licensed for 67 beds and houses a variety of ambulatory, acute and specialty clinics. It administers
professional care to the approximately 56,000 eligible military families residing within its area of
responsibility. The Hospital is the parent command for three major branch medical clinics, located at
PSNS, Submarine Base Bangor, and Naval Station Everett. The main hospital also provides an
Occupational Health and Industrial Hygiene operation, Preventive Medicine, and Alcohol Treatment
Departments.
Other Maior Employers
The Port of Bremerton (the "Port") operates the Bremerton National Airport and the 560 -acre Olympic
View Industrial Park, both located approximately 10 miles southwest of the City. The park includes 35
firms which employ a total of approximately 700 people. Over 500 acres of land at the industrial park
are designated as a foreign trade zone which offers duty savings to its tenants.
Bremerton National Airport is the largest airport in the county, with a 6,200 -foot runway and full
instrumentation and lighting systems. The airport can handle all general aviation aircraft and most
transport and military planes. Charter passenger and air freight services are available to SeaTac Airport,
the major international airport in the Puget Sound area.
City of Bremerton / 6
Health care needs are met by several facilities in the Bremerton area including the Naval Hospital —
Bremerton, described earlier. Harrison Medical Center in Bremerton has 2,716 (full time and part time)
employees, 253 beds and approximately 481,000 square feet of medical facilities in 11 distinct locations.
These facilities provide excellent care in open heart surgery, cardiology, orthopedics, oncology,
emergency care (a level III trauma center), home health and sleep medicine. Harrison was recently
recognized as having the #1 cardiac surgery program in the state and in the top 10% nationally, as rated
by Healthgrades.com.
Olympic College is a two -year community college located in Bremerton with 12,895 all campus students
and an annualized enrollment of approximately 5,115 (full -time equivalents). The college has 1,110
employees of whom 377 are full -time and adjunct faculty. Associate of Arts degrees are offered in four
fields under 34 transfer programs. Olympic College also offers a Bachelor of Arts degree in nursing as
well as Bachelor's and Master's degree partnership programs with Old Dominion, Saint Martin's and
Western Washington University. In 2007, the 55,000 square foot Science Technology Building opened
providing science lab facilities, high -tech computer classrooms and general purpose classrooms.
The Bremerton School District consists of one high school, one alternative high school, one middle
school, six elementary schools, an Alliance Academy for home school programs and is the host district
for the West Sound Technical Skills Center. Total student enrollment is 5,060. The district employs 331
teachers with an average student per teacher of 15.3. In May of 2005, Bremerton voters approved a $30.5
million bond issue for capital improvements. District improvements include; additional wings being
added to Mountain View Middle School and Bremerton High School, as well as other technological and
capital improvements.
Development Activity
The City of Bremerton in partnership with other public entities provided significant public sector stimulus
investment to the City's revitalization program by infusing public dollars into key infrastructure
improvements. Some of the major projects completed at this time are:
• Construction of the new Kitsap Conference Center complex in the Bremerton Harborside
District — 10,000 square foot venue accommodating up to 750 guests
• New three -floor public parking facility constructed as part of the Conference Center complex
- 518 parking spaces provided
• 104,000 square foot Norm Dicks Government Center building providing offices for the City,
the Bremerton Health District, the Bremerton Housing Authority, and several other
governmental entities. The City owns 25% of the Government Center for its office space.
• New City fire station located at 9' Street and Park Avenue - completed in June 2005
• Purchase and renovation of a new law enforcement building on Burwell Street — completed in
April 2007
• First phase of the Bremerton Gateway Project — this is a multi -year traffic modification and
beautification project for the City's main entry corridor
• New skateboard park at East Park
• The Harborside Park and Naval Museum — celebrates the City's maritime history and
provides public friendly interface between the City and the Puget Sound Naval Shipyard
City of Bremerton / 7
Some of the major projects the City currently has in progress are:
• Recently acquired and currently remodeling a new municipal court building which will be
open in late 2010.
• Evergreen Park expansion project — reclamation of a brown fields area and expansion of one
of the City's most popular parks
In addition to the City's projects, there are many other projects either completed or underway that is being
undertaken separately by public entities or private developers. Some examples include:
• Expansion of the Harborside Marina — a Port of Bremerton project which added 300 boat
slips and includes a 1,400- foot -long floating breakwater that can be used for festivals and
other events — completed in May of 2008
• Pedestrian/Bremerton Transit Center Access Project — The Washington State Department of
Transportation plans to construct a 950 -foot long tunnel under portions of Ist Street, Pacific
Avenue, the future Maritime Plaza and Burwell Street to remove offloading ferry traffic from
the downtown core. Construction began mid year 2007.
• Condominiums — Harborside Condominiums Phase 1 (78 units) and The 400 Condominiums
(66 units)
• New Kitsap Credit Union headquarters building constructed in downtown Bremerton
• New Restaurants — Anthony's Homeport Restaurant, a variety of smaller eateries in the
Conference Center Complex including Starbucks, Coldstone Creamery, Taco del Mar, the
Fritz, Fraiche Cup, and several others throughout the City
• Hotels — Hampton Inn & Suites located in the Harborside Conference Center complex and the
Fairfiled Inn & Suites which is scheduled to open in the Spring of 2010
• Several new and remodeled office /retail buildings - downtown and elsewhere in the City
• New residential housing developments and redevelopment of existing areas - including the
East Park development and West Park redevelopment projects
■ Long -Term Financial Planning
Long -term financial planning for the City is framed by the City's Comprehensive Plan which was adopted
in December 2004 and by the guidance of the City's Financial Goals & Policies which were adopted in
June 2005 and subsequently updated. The Comprehensive Plan represents the expressed vision of the
City and related expectations on the nature of growth and services to be provided. The Financial Goals
& Policies define what constitutes a "good outcome" for the City in regards to financial planning and
decisions (Goals) and the boundaries or demonstrated performance deemed necessary to achieve those
objectives (Policies).
Several long -term capital projects have recently been completed, are currently underway, or are
anticipated to begin shortly in Bremerton with particular focus on the redevelopment of the downtown
core. Financing of these projects has been achieved through a combination of City revenue sources,
issuance of revenue bonds and voted and non -voted general obligation bonds, and grant funding from a
variety of federal and state programs.
City of Bremerton / 8
The City concluded a major utility rate study in 2004 which was focused on establishing a new utility rate
structure and general facility charges at levels sufficient to cover the cost of operation of the water,
wastewater and stormwater utilities, coverage for debt obligations and payment of capital improvement
projects. The study resulted in the development of a multi -year plan for increasing rates and
implementing significant increases in general facility charges to cover the cost of new capital
improvements. Upon the conclusion of this study, the City Council approved the utility rate increase plan
with the adoption of an ordinance that included a provision in the City's municipal code to automatically
escalate fees for the three city utilities using the Seattle CPI on an annual basis unless a larger increase is
authorized by the City Council. This provision ensures the three utilities are adequately funded in
compliance with the City's adopted financial goals and policies. Utility system rates were increased
based upon the Seattle - Tacoma - Bremerton CPI effective January 1, 2009 in accordance with this
provision. Rates were not increased January 1, 2010 pending the results of a planned update to this study.
Transportation improvements are ongoing for the Bremerton Gateway transportation improvement project
from the Bremerton Ferry Terminal to Gorst. This project is substantially funded with state and federal
grant resources.
As Bremerton moves forward, economic indicators will be continually monitored and adjustments to City
spending and services made to maintain the City's financial health.
• Cash Management
The City invests only in securities authorized by State law, and primarily purchases certificates of deposit
and obligations of both the U.S. Government and government sponsored agencies. As stated in the City's
investment policy, the primary objectives of investment activities are safety, liquidity, and then yield.
The safety of the City's investment portfolio is provided through the diversification and quality of
investments purchased, as well as the use of a delivery- versus - payment method for settlement of any
transactions. To further ensure the safety of the City's investments, all securities are held and transactions
processed by its custodial agents, Bank of New York and US Bank
Liquidity is maintained by attempting to match investment maturities with cash flow requirements,
limiting maturities to five years for general operating funds, and keeping a balance in the Local
Government Investment Pool sufficient to meet short-term obligations. The Local Government
Investment Pool is a state - managed account, which provides local governments with an efficient way to
invest short-term and offers almost immediate cash availability. It operates similarly to a commercial
money market account.
The City may invest in any of the securities identified as eligible investments as defined by
RCW35A.40.050 and RCW43.84.080. In general, these consist of certificates of deposits, United States
Treasury Notes and Bonds, government sponsored securities, banker acceptances, and repurchase
agreements.
■ Risk Management
The City's Risk Manager develops and implements risk management policies and programs to establish a
clearly defined risk management structure. The primary goal is to control the City's risk exposures and
losses in order to protect the City's financial resources. As part of this goal, self - insurance is currently
utilized as an alternative to conventional insurance in the areas of Workmen's Compensation and liability.
The Risk Manager considers available financial resources and purchases insurance for appropriate excess
protection. The Risk Manager also serves as a general advisor to all departments on risk management
City of Bremerton / 9
issues such as identifying and evaluating potential risks, providing employee accident control training,
loss reporting and addressing the City's Safety Committee concerns.
The City of Bremerton utilizes a self - insurance fund for its risk management program. The City's Risk
Manager analyzes the insurance markets and its risk management options. The City uses a deductible
program with the deductible set at $100,000 for property losses. The self - insured retention for liability
and worker's compensation losses is $250,000 and $450,000, respectively.
■ Pensions and Other Post - Employment Benefits
The majority of the City's employees participate in a mandatory state pension system (LEOFF for
uniformed police officers and firefighters, and PERS for all other employees). The City pays the
prescribed rate for all employees (and employees contribute as well), which satisfies the pension
obligations for these accounts. Each state system is broken into segments related to when that segment
"closed" and the benefit structure changed. The LEOFF 1 system closed in 1978 and LEOFF 2 started at
that time. This is significant because employees eligible under LEOFF 1 are entitled to "necessary
medical expenses" to be paid for by the City after retirement. This benefit was not included in LEOFF 2.
Also, prior to the state pension systems, the City operated its system known as the Firemen's Pension
Fund (FPF). Again, employees entitled to the benefits as defined in the FPF receive medical benefits and
a City paid pension as defined more thoroughly in the notes to the financial statements.
The City maintains a fund dedicated to providing resources for the pension benefits to those entitled under
the FPF. The post - employment medical benefits for eligible retirees are provided through the same
medical insurance provider used for active city employees and paid for from annual budgeted funds.
There is no reserve account for the post - employment medical benefits.
Acknowledgments
The preparation of this report could not have been accomplished without the efforts of the Department of
Financial Services and Public Works & Utilities finance staff. We would like to express our appreciation
to all those who assisted and contributed to the preparation. We would also like to thank the Mayor and
City Council members for their dedication and commitment to providing the City and the residents with a
plan to improve the financial health and welfare of the City's governmental operations.
Respectfully submitted,
Barbara A. Stephenson Cathy Johnson
Director of Financial Services Finance Officer
CITY OF BREMERTON
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Water Supply
Wastewater Treatement
Surface Water Mgmt
Project Inspections
Construction Administration
Equipment Rental Reserve
Permit Coordination
Surveying & Mapping
Customer Service Billing
Information Technology Srvs
f • f � � f f f f
s Planning
Land & Use Planning
Fire Suppression
Attract New
Development
s /Building Maint.
Building Inspections
Emergency Medical
Create
Services
Partnerships
'eation Programs
Code Enforcement
Fire Prevention
Increase
& Investigation
Business
Fountains
Environmental Review
I Mountain Golf Permit Processing
r1 Museum [Zoning Admin & Enforcement
tad Acquatic Center �CDBG Home Programs
nerton Senior Center
• Acquisition
• Commission Support
0
w
m
m
0
0
City of Bremerton / 11
Directory of Officials
2009
Elected Officials:
Mayor.................................................................................................. ............................... Patty Lent
District #1 Council Member
................................ ............................... ...........................Brad Gehring
District #2 Council Member
..................................................... ............................... Cecil McConnell
District #3 Council Member
.............................. ............................... ...........................Adam Brockus
District #4 Council Member
............................................................ ............................... Roy Runyon
District #5 Council Member
........................................................ ............................... Mike Shepherd
District #6 Council Member
............................ ............................... .........................Dianne Robinson
District #7 Council Member
........................................................... ............................... Carol Arends
District #8 Council Member
............................................................ ............................... Will Maupin
District #9 Council Member
.......................................................... ............................... Nick Wofford
Judge, Municipal Court ..................................................................
............................... James Docter
Appointed Officials:
CityAttorney .................................................... ............................... ..........................Roger Lubovich
Director, Public Works and Utilities ................... ............................... ...........................Phil
Williams
FireChief ............................................................................................... ...............................
Al Duke
PoliceChief ........................................................... ............................... ..........................Craig
Rogers
Director of Financial Services .................................................. ...............................
A. Andrew Parks
Director of Community Development ............... ............................... .........................
Andrea Spencer
Director of Parks and Recreation .............................................. ...............................
Wyn Birkenthal
CityAuditor ..................................................................................... ...............................
Gary Nystul
City of Bremerton / 92
THIS PAGE LEFT BLANK INTENTIONALLY.
City of Bremerton / 93
Auditor's Report(s) can be accessed from the City of Bremerton's website at
www. ci. bremerton. wa. us
City of Bremerton / 94
THIS PAGE LEFT BLANK INTENTIONALLY.
City of Bremerton / 15
Management's Discussion and Analysis
The City of Bremerton (City) presents this Management Discussion and Analysis (MD &A) in order to provide a
narrative overview of the City's financial activities, focus on significant financial issues, and highlight significant
changes in the City's financial position for the fiscal year ended December 31, 2009. This information should be
read in conjunction with the financial statements and notes to the financial statements that follow.
Financial Highlights
At the end of fiscal year 2009, the assets of the City exceeded its liabilities by $229.2 million. Net assets
invested in capital assets (net of depreciation and related debt) account for over 84.8 percent of this amount
($194.4 million). Net assets restricted primarily for construction projects, debt service, Community
Development Block Grant (CDBG) programs and public safety account for another 1.9 percent of this amount
($4.3 million). The remaining net assets of $30.5 million may be used to meet the City's ongoing obligations to
citizens and creditors.
• The City's net assets increased by $9.3 million (4.3 %) during the fiscal year. The governmental net assets
increased by $4.3 million (5.3 %) from the amount reported in 2008. Business -type net assets increased by $5.1
million (3.9 %). The Business -type increase included net income before contributions and transfers for the
Water utility of $240,527, Wastewater utility of $4.6 million, Golf Course $75,398, and non -major proprietary
funds of $748,384.
As of December 31, 2009, the City's governmental funds reported a combined fund balance of $10.4 million,
an increase of 9% from the prior year end. The fund balance of the General Fund increased by $625,091. The
remaining non -major governmental funds had a fund balance increase of $234,058. The overall increase is
largely attributable to increased transfers from the city's proprietary funds. Approximately $10.1 million
(96.5°/x) of the combined ending governmental fund balances is unreserved fund balance available to the City
for future appropriation.
At the end of 2009, the unreserved fund balance of the General Fund was $1.9 million or approximately six
percent of total General Fund expenditures of $33.7 million. The General Fund's unreserved fund balance
increased by approximately $640,000 from the prior year's amount of $1.3 million, a 49.1 percent increase.
This increase is primarily due to increased transfers from the city's utilities in the form of payment in lieu of
taxes and a $1 million return of equipment reserve funds to the General fund in response to the decline of tax
revenues locally.
• The City's total outstanding debt decreased by $1.7 million (2.6 %) during the current fiscal year to $65.2
million. General obligation debt decreased by $.6 million and revenue debt decreased by $1.1 million. Debt
per capita decreased from $1,816 to $1,781, a 2% reduction.
• Governmental revenues from local tax sources including sales, business & occupation, utility, and other
miscellaneous taxes, decreased by approximately $870,000 to $24.3 million in 2009, a three and half percent
decrease from 2008. The tax revenue decrease is primarily attributed to a decrease in the overall economic
activity in the City.
Overview of the Financial Statements
The City's basic financial statements are presented in three parts: 1) government -wide financial statements, 2) fund
financial statements, and 3) notes to the financial statements. Other supplementary information in addition to the
basic financial statements is also contained in this report. This section of the management's discussion and analysis
is intended to introduce and explain the basic financial statements.
City of Bremerton / 16
Government -wide Financial Statements
The government -wide financial statements are designed to give the reader a picture of the financial condition and
activities of the City as a whole. This broad overview is similar to the financial reporting of private- sector
businesses. The government -wide financial statements have separate columns for governmental activities and
business -type activities. Governmental activities of the City include general government (finance, executive,
human resources), community development, public safety (police and fire), physical environment, transportation,
mental /physical health, and culture and recreation. The City's business -type activities are limited to the City's
municipal golf course and water, wastewater and stormwater utilities. Governmental activities are primarily
supported by taxes, charges for services, and grants while business -type activities are self - supporting through user
fees and charges.
The statement of net assets presents information on all of the City's assets and liabilities, highlighting the
difference between the two as net assets. This statement is similar to the balance sheet of a private sector business.
Over time, increases or decreases in net assets may be one indicator of improvement or deterioration in the City's
overall financial health.
The statement of activities presents information designed to show how the City's net assets changed during the
year. This statement distinguishes revenue generated by specific functions from revenue provided by taxes and
other sources not related to a specific function. The revenue generated by the specific functions (charges for
services, grants, and contributions) is compared to the expenses for those functions to show how much each
function either supports itself or relies on taxes and other general funding sources for support. All activity on this
statement is reported on the accrual basis of accounting, requiring that revenues are reported when they are earned
and expenses are reported when they are incurred, regardless of when cash is received or disbursed. Items such as
uncollected taxes, unpaid vendor invoices for goods or services received during the year, and earned but unused
vacation leave are included in the statement of activities as revenue and expenses even though no cash has changed
hands.
Fund Financial Statements
The annual financial report includes fund financial statements in addition to the government -wide financial
statements. While the government -wide statements present the City's finances based on the type of activity, general
government versus business -type, the fund financial statements are presented by fund type such as the general fund,
special revenue funds, and proprietary funds. A fund is a fiscal and accounting entity with a self - balancing set of
accounts used to account for specific activities or meet certain objectives. Funds are often set up in accordance with
special regulations, restrictions or limitations. The City, like other state and local governments, uses fund
accounting to ensure and show compliance with finance - related legal requirements. The City's funds are divided
into three categories: governmental funds, proprietary funds, and fiduciary funds.
Governmental funds are used to account for essentially the same functions as are reported as governmental
activities in the government -wide financial statements. The basis of accounting is different between the
governmental fund statements and the government -wide financial statements. The governmental fund statements
focus on near -term revenues /financial resources and expenditures while the government -wide financial statements
include both near -term and long -term revenues /financial resources and expenses. The information in the
governmental fund statements can be used to evaluate the City's near -term financing requirements and immediate
fiscal health. Comparing the governmental fund statements with the government -wide statements can help the
reader better understand the long -term impact of the City's current year financing decisions. To assist in this
comparison, reconciliations between the governmental fund statements and the government -wide financial
statements are included with the governmental fund balance sheet and the governmental fund statement of revenues,
expenditures, and changes in fund balances.
The City maintained twenty (20) individual governmental funds in 2009. The City's General fund is presented
separately in the governmental fund balance sheet and the governmental fund statement of revenues, expenditures,
and changes in fund balances. The remaining governmental funds are combined into a single column labeled
City of Bremerton / 17
"Other Governmental Funds ". Information for each of the non -major governmental funds is provided in the
combining statements in this report.
The City maintains budgetary control over its operating funds through the adoption of an annual budget. Budgets
are adopted at the fund level in accordance with City code and state law. A budgetary comparison statement is
presented for the general fund in the basic financial statements.
Proprietary funds are used by governments to account for their business -type activities. Business -type activities
provide specific goods or services to a group of customers that are paid for by fees charged to those customers.
There is a direct relationship between the fees paid and the services received.
The City has two types of proprietary funds: enterprise funds and internal service funds. Enterprise funds are used
to account for goods and services provided to citizens. Internal service funds are used to account for goods and
services provided internally to various City departments.
The City's six (5) enterprise funds are used to report the same functions presented as business -type activities in the
government -wide statements with the fund statements providing more detail than is reported in the government -
wide statements. The enterprise fund statements provide separate information for the City's municipal golf course,
water and wastewater utilities. The remaining enterprise funds are combined into a single column labeled "Other
Proprietary Funds ". Information for each of the non -major enterprise funds is provided in the combining statements
in this report.
Internal service funds are an accounting device used to accumulate and allocate costs internally among the City's
various functions. The City uses internal service funds to account for maintenance and acquisition of its fleet of
vehicles, insurance premiums and claims as well as information technology services. Internal service funds benefit
both governmental and business -type activities and are allocated accordingly in the government -wide statement of
activities.
Fiduciary funds account for assets held by the City in a trustee capacity or as an agent for individuals, private
organizations, other governments, or other funds. Fiduciary funds are not included in the government -wide
financial statements because their assets are not available to support the City's activities.
The City has one type of fiduciary fund. Agency funds are custodial in nature and do not include revenues and
expenses as they do not measure the results of operations.
Government -wide Financial Analysis
Statement of net assets
The statement of net assets can serve as a useful indicator of the City's financial position. The City's net assets at
December 31, 2009 total $229.2 million. Following is a condensed version of the government -wide statement of
net assets. The City presents its financial statements under the new reporting model required by Governmental
Accounting Standards Board Statement No. 34 (GASB 34), Basic Financial Statements and Management's
Discussion and Analysis for State and Local Governments. Two years of financial information in the GASB 34
format are presented.
City of Bremerton / 18
Net Assets
Amounts in 000's Governmental Activities Business -Type Activities Total
2009 2008 Difference 2009 2008 Difference 2009 2008 Difference
Current Assets
$ 14,231
$ 13,342 $
889
$ 19,124
$ 24,364
$ (5,240)
$ 33,355
$ 37,706
$ (4,351)
Restricted Assets
3,111
2,683
428
1,620
4,329
(2,709)
4,731
7,012
(2,281)
Capital Assets
98,648
97,180
1468
163,959
147,222
16,737
262,607
244,402
18,205
Other NoncuirentAssets
521
461
60
1,364
1,488
(124)
1,885
1,949
(64)
Total assets
116,511
113,666
2,845
186,067
177,403
8,664
302,578
291,069
11,509
Current Liabilities
4,860
5,169
(309)
5,800
6,388
(588)
10,660
11,557
(897)
Deposits Payable from Restricted
Assets
25
35
(10)
25
35
(10)
Noncunrent Liabilities
27,293
28,396
(1,103)
35,351
36,268
(917)
62,644
64,664
(2,020)
Total liabilities
32,153
33,565
(1,412)
41,176
42,691
(1,515)
73,329
76,256
(2,927)
Net assets
Invested in capital assets, net of
related debt
72,088
69,602
2,486
122,330
106,248
16,082
194,418
175,850
18,568
Restricted
3,111
2,683
428
1,175
3,989
(2,814)
4,286
6,672
(2,386)
Unrestricted
9,159
7,816
1,343
21,386
24,475
(3,089)
30,545
32,291
(1,746)
Total net assets
$ 84,358
$ 80,101 $
4,257
$ 144,891
$ 134,712
$ 10,179
$ 229,249
$ 214,813
$ 14,436
The largest component of the City's net assets, $194.4 million (or 84.8 %), is its investment in capital assets less any
related outstanding debt issued to acquire those assets. These capital assets, such as utility plant, streets, trails,
parks, fire and police vehicles, are used to provide services to the citizens. Consequently, these assets are not
available to sell and convert to cash for future spending. Although the City's investment in its capital assets is
reported net of related debt, the resources needed to repay the debt must be provided from other sources, as capital
assets cannot be used to liquidate these liabilities.
Restricted net assets consist of amounts legally or otherwise externally restricted for debt service and other
programs. Of the $3.1 million of governmental restricted assets, $1.4 million, or 83.3% is restricted for use in the
Community Development Block Grant program (44 %) and for law enforcement services (39.2 %). Of the $1.2
million of business -type restricted assets, 90.1% are required reserves for debt service payments. A total of $21.4
million represents the unrestricted net assets of the City's business -type activities and may only be spent on golf
course operations, water, wastewater and stormwater utility activities. Maintenance of utility delivery systems
(water lines, pump station, wells), storm drain flushing, water meter reading, and capital construction projects, such
as well rehabilitation, are examples of utility activities. Other functions of the City may access the remaining net
assets of $9.1 million to meet ongoing obligations to citizens and creditors. Examples of other City obligations
which these net assets may be used for are: public safety employee salaries, parks maintenance (mowing, fence
repair, etc), and ongoing street maintenance (street sweeping, restriping, resurfacing, etc).
At the end of the fiscal year, the City reported positive balances in all three categories of net assets for the
government as a whole, as well as for the separate governmental and business -type activities.
Changes in net assets
The changes in net assets table illustrates the increases or decreases in net assets of the City resulting from its
operating activities. The City's overall financial position improved in 2009 with net assets increasing
approximately $9.3 million. Net assets of governmental activities increased by $4.3 million and the net assets of
business -type activities increased by $5.1 million.
City of Bremerton / 19
Following is a condensed version of the City's changes in net assets. The table shows the revenues, expenses, and
related changes in net assets in tabular form for the governmental activities separate from the business -type
activities. The graphs that follow compare program revenues to program expenses and illustrate the revenues by
source separately for the governmental and business -type activities.
Changes in Net Assets
Amounts in 000's
Governmental Activities
Business -Type Activities
Total
2009
2008
Difference
2009
2008 Difference
2009
2008
Difference
Revenues
Program revenues
Charges for services
$ 9,066
$ 8,912
$
154
$
27,620
$ 26,764 $
856
$
36,686
$ 35,676
$ 1,010
Operating grants and contributions
2,227
2,321
(94)
34
235
(201)
2,261
2,556
(295)
Capital grants and contributions
3,922
4,639
(717)
3,882
8,449
(4,567)
7,804
13,088
(5,284)
General revenues
Property taxes
8,490
7,800
690
-
-
8,490
7,800
690
Sales taxes
6,542
7,790
(1,248)
15
22
(7)
6,557
7,812
(1,255)
Business taxes
3,707
3,454
253
3,707
3,454
253
Utility taxes
4,754
5,088
(334)
4,754
5,088
(334)
Other taxes
2,461
2,572
(111)
-
-
-
2,461
2,572
(111)
Other general revenues
217
1,004
(787)
557
1,006
(449)
774
2,010
(1,236)
Total revenues
$ 41,386
$ 43,580
$
(2,194)
$
32,108
$ 36,476 $
(4,368)
$
73,494
$ 80,056
$ (6,562)
Expenses
Governmental activities
General government
4,001
4,799
(798)
-
-
4,001
4,799
(798)
Public safety
23,923
22,694
1,229
23,923
22,694
1,229
Physical environment
227
223
4
227
223
4
Transportation
4,215
8,915
(4,700)
4,215
8,915
(4,700)
Community development
2,032
3,146
(1,114)
2,032
3,146
(1,114)
Culture and recreation
5,945
6,859
(914)
5,945
6,859
(914)
Interest on long -terns debt
962
1,182
(220)
-
-
-
962
1,182
(220)
Business -type activities
Water
9,243
9,073
170
9,243
9,073
170
Wastewater
8,927
9,012
(85)
8,927
9,012
(85)
Golf course
3,198
3,265
(67)
3,198
3,265
(67)
Other proprietary funds
1,478
1,329
149
1,478
1,329
149
Total expenses
$ 41,305
$ 47,818
$
(6,513)
$
22,846
$ 22,679 $
167
$
64,151
$ 70,497
$ (6,346)
Excess of revenues over expenses
81
(4,238)
4,319
9,262
13,797
(4,535)
9,343
9,559
(216)
Transfers
4,176
1,973
2,203
(4,176)
(1,973)
(2,203)
-
-
-
Change in net assets
4,257
(2,265)
6,522
5,086
11,824
(6,738)
9,343
9,559
(216)
Net assets - beginning
85,912
82,507
3,405
128,901
123,594
5,307
214,813
206,101
8,712
Prior period adjustment
(5,811)
(141)
(5,670)
10,904
(706)
11,610
5,093
(847)
5,940
Net assets - ending
$ 84,358
$ 80,101
$
4,257
$
144,891
$ 134,712 $
10,179
$
229,249
$ 214,813
$ 14,436
Governmental activities accounted for an increase of $4.3 million of the total change in net assets of $8.6 million.
Significant elements of the increase are as follows:
■ Expenditures decreased by $6.3 million in 2009 compared to 2008. While reductions occurred in several
functional areas, as a significant effort was made to offset lower tax revenues, the most significant reductions
occurred in the areas of Transportation and Community Development. Transportation expenses decreased $4.7
million most notably from the completion of the SR304 construction project. Program expenditures related to
the Community Development Block Grant program decreased by $1.1 million.
City of Bremerton / 20
■ Total revenue from governmental activities decreased by $2.2 million. Tax revenues that support ongoing
operations decreased by $.75 million in 2009 from the 2008 level with decreased collections in sales, utility and
other taxes. Capital Grants and Contributions decreased $.72 million from 2008 due primarily to the
completion of the SR304 road construction project. Other general revenues which include interest earnings,
gains on disposal of assets, and miscellaneous income, decreased by $.8 million in 2009 from the 2008 level.
The largest components of this decrease were lower investment earnings ($.5M) and a reduction in asset
disposals ($.3M).
■ Transfers from Business -type activities increased $2.2 million primarily from a return of equipment
replacement reserves from the Equipment Rental Reserve fund ($1M) and an additional one time levy of
payments in lieu of tax from the city's own utilities ($.6M)
Expenditures by Type - Governmental Activities
Amounts in $000 2008 and 2009
M2008
M2009
30,000
.... ...............................
Revenue by Source - Governmental Activities
Amounts in $000
25,000
2008 and 2009
10,000
20,000
9,000
8,000
15,000
02008
7,000
®2009
6,000
10,000
5,000
5,000
4,000
3,000
0
2,000
General
Physical
Community
Culture and
Interest on long -
Public safety
Transportation
1,000
government
env ironment
development
recreation
term debt
®2008
4,799
22,694
223
8,915
3,146
0
1,182
®2009
4,001
23,923
227
4,215
2,032
5,945
962
Operating
Capital
Other
Charges for
Property
Business
grants and
grants an d
Sales taxes
Utility taxes
Other taxes
general
services
contributions
contributions
taxes
taxes
revenues
®2008
8,912
2,321
4,639
7,800
7,790
3,454
5,088
2,572
1,004
02009
9,066
2,227
3,922
8,490
6,542
3,707
4,754
2,461
217
Expenditures by Type - Governmental Activities
Amounts in $000 2008 and 2009
M2008
M2009
30,000
.... ...............................
25,000
20,000
15,000
10,000
5,000
0
General
Physical
Community
Culture and
Interest on long -
Public safety
Transportation
government
env ironment
development
recreation
term debt
®2008
4,799
22,694
223
8,915
3,146
6,859
1,182
®2009
4,001
23,923
227
4,215
2,032
5,945
962
City of Bremerton / 29
Expenses and Program Revenues - Governmental Activities
Amounts in $000 2009
30,000
25,000
20,000
15,000
10,000
5,000
0
General Public safety Physical Transportation Community Culture and Interest on
government environment development recreation long -term debt
® PrograinExpense OPrognarnRevenue
■ Business -type activities increased City's net assets by $5.1 million accounting for 54% of the total growth in
the government's net assets. A key element of this increase is in capital grants and contributions which
decreased $4.6 million in 2009 but continued to be a significant revenue source. Capital grants and
contributions, recognized in 2009, of $3.9M for system additions included $2.3M of developer contributions
necessary to extend water to the McCormick Woods area and provide utilities to the Eastpark development.
Revenue by Source - Business -type Activities
Amounts in $000 2008 and 2009
30,000
25,000
20,000
15,000
10,000
5,000
0
Operating Grants and
Capital Grants and
Other General
Charges for Service
Sales Taxes
Contributions
Contributions
Revenues
®2008
26,764
235
8,449
22
1,006
2009
27,620
34
3,882
15
557
City of Bremerton / 22
City of Bremerton / 23
Comparison of Total Revenues and Total Expenses
Amounts in $000 2008 and 2009
132008
IM 2009
10,000
50,000
10,000
30,000
20,000
,..,.,
10,000
i,
t '
0
Business -Type
Business -Type
Governmental
Gove inrntal
Revenue
Expenses
Revenue
Expenses
® 2008
36,476
22,679
43,580
47,818
® 2009
32,108
22,846
41,386
41,305
Financial Analysis of the City's Funds
As discussed earlier, the City uses fund accounting to ensure and demonstrate compliance with finance- related legal
requirements.
Governmental funds
The General Fund is the primary operating fund of the City through which all receipts and payments of ordinary
City operations are processed, unless they are required to be accounted for in another fund. Taxes are the major
revenue source. At the end of 2009, the fund balance of the General Fund was $1.96 million. As a measure of the
fund's liquidity, the ending fund balance is 5.8% of the fund's 2009 expenditures.
The General Fund balance increased in 2009 by $.6 million. Revenues increased from $29.9 million in 2008 to
$30.6 million in 2009. Expenditures decreased from $33.9 million to $33.7 million during the same period.
Expenditures exceeded revenues in the General Fund by $3.1 million in 2009 but were offset by net transfers in of
$3.7 million.
Proprietary funds
The City's proprietary funds provide the same type of information found in the government -wide financial
statements, but in more detail. Other than accomplishing the programs identified in the 2009 capital improvement
program there were no significant transactions pertaining to the water, wastewater and stormwater utilities. Of
significance in the Golf Course fund was the refunding of two outstanding general obligation bonds. The issue of
$5.4 million in taxable general obligation bonds reduces annual debt service requirements and provides flexibility
over operations of the golf course that did not exist with the existing tax exempt bonds. Significant balances of
capital assets and debt are addressed below.
General Fund Budget Variations
The General Fund collected revenues at 97.7% of the amount budgeted or $.72 million less than budgeted.
Expenditures for 2009 were 95.4% of the budget resulting in actual expenditures being $1.6 million less than the
budgeted amount. The negative revenue budget variance is substantially attributable to a delay in receipt of
intergovernmental revenues related to a multi jurisdictional police equipment grant and decreased miscellaneous
revenues. The positive expenditure budget variance is largely attributable to the decreased pass through
City of Bremerton / 24
expenditures to sub recipients on the police equipment grant and decreased expenditures for supplies and services
across the General Fund in recognition of the decline in economic activity resulting in decreased revenues.
The General Fund budget was balanced in 2009 and provided for a slight increase to the fund balance in the amount
of $35 million. At the conclusion of 2009, the General Fund increased fund balance by $.6 million.
Capital Asset and Debt Administration
Capital Assets
The City's investment in capital assets for its governmental and business -type activities as of December 31, 2009,
amounts to $262.6 million (net of accumulated depreciation). This investment in capital assets includes land,
buildings, improvements, machinery and equipment, construction in progress, utility transmission /distribution
systems, and roads.
The major capital assets changes for governmental activities during 2009 were the completion of the Memorial
Plaza and Commons in downtown Bremerton, the completion of Blueberry Park and continuation of Evergreen Park
expansion and remediation.
The major capital assets changes for business -type activities included the construction of wastewater and water
capital improvement projects identified within the City's 2009 capital improvement plan.
Capital Assets for all activities increased $5.1 million in 2009 as a result of prior year corrections. A change in
reporting of the City's Equipment Rental Reserve internal service fund in 2009 contributed increased Business -type
activities by $2.8 million with a corresponding decrease of Governmental Activities. Business -type Activities
increased $5.1 million as a result of a correction for an overstatement of depreciation in the city's three utilities.
Capital Assets (net of depreciation)
Amounts in 000's Governmental Activities
Land
Buildings
Improvements /Infrastructure
Machinery and Equipment
Construction in Progress
TOTAL
2009 2008 Difference
$ 15,472 $ 15,052 $ 420
47,290 46,131 1,159
26,688 25,595 1,093
4,301 4,527 (226)
4,897 5,875 (978)
$ 98,648 $ 97,180 $ 1,468
Business -Type Activities
Total
2009
2008 Difference
2009
2008
Difference
$ 8,138
$ 7,999 $
139
$ 23,610
$ 23,051
$ 559
31,469
31,705
(236)
78,759
77,836
923
82,453
75,997
6,456
109,141
101,592
7,549
24,644
23,247
1,397
28,945
27,774
1,171
17,255
13,367
3,888
22,152
19,242
2,910
$ 163,959
$ 152,315 $
11,644
$ 262,607
$ 249,495
$ 13,112
Additional information on the City's capital assets can be found in Note 6 and Note 17.
Long -term debt
New debt for business -type activities in 2009 consisted of $5,373,000 of general obligation refunding bonds to
retire two prior issues for construction of a second course and clubhouse at the Gold Mountain Golf Course and
$1,097,019 of intergovernmental loans to fund Water /Wastewater capital improvement projects identified within the
utilities' capital improvement plan. There was no new debt for governmental activities added in 2009. The long-
term debt principal paid off in 2009 totaled $9,018,596.
City of Bremerton / 25
Outstanding Debt - General Obligation and Revenue Bonds
Amounts in 000's Governmental Activities
5,373 $ 5,075 $ 298
2009 2008 Difference
$ 26,847 $ 27,425 $ (578)
9,835 10,315 $ (480)
28,543 29,204 $ (661)
$ 65,225 $ 66,944 $ (1,719)
Business -Type Activities
2009 2008 Difference
Total
2009 2008 Difference
General obligation bonds $ 21,474 $ 22,350 $ (876)
Revenue bonds 5,245 5,405 (160) 4,590 4,910 (320)
Revenue loans - - - 28,543 29,204 (661)
Total $ 26,719 $ 27,755 $ (1,036) $ 38,506 $ 39,189 $ (683)
Additional Information on the City's long -term debt can be found in Note 9 of this report.
Economic Factors and Next Years Budgets and Rates
Several factors that affect the economic climate in Bremerton were considered when preparing the City's 2010
annual budget. The outlook for the nation, state and region was weighed in relation to its expected impact on
Bremerton. The character of the City, including its current and future business activity and its attraction as a place
to live, was evaluated. The current financial position and the ability of the City to recover from its history of
economic depression have improved due to the major effort to rehabilitate Bremerton's downtown core and attract
new investors to the community however, the national, regional and local economic conditions continued to show
considerable weakness during 2009 and are expected to continue through 2010 and possibly beyond.
The State of Washington is continuing to face considerable budget challenges; however, the state's budget
challenges will have limited effect on Bremerton's transportation capital funding received from the state. Over the
past several years, Bremerton has been successful in attracting state and federal grant funds for major transportation
improvement projects, including the multi -phase SR304 Bremerton Gateway transportation improvement project.
Future outside funding opportunities will be highly competitive and Bremerton, due to its current economic
demographics, should compete very well for certain projects. Mid- to long -term, Bremerton must increase its local
revenue to address transportation needs.
Bremerton is in the midst of a revitalization and development program that will extend to all areas of the
community. The center piece project is the Bremerton Harborside Development which is designed to establish the
City of Bremerton as a premier waterfront community in the Puget Sound.
Of the multi -year plans to revitalize Bremerton, the following are completed as of December 2009; the Harborside
Conference Center, Hotel and Plaza, Bremerton Ice Arena, Kitsap Credit Union Headquarters /Office building,
downtown Naval Parking Garage, waterfront condominiums, Harborside Fountain Park and Naval Museum,
downtown police station, Norm Dicks Government Center building, downtown fire station, downtown marina
facility, the Downtown Pedestrian Bremerton Transit Center Access and the PSNS Memorial Plaza. Construction
of a 130 room Fairfield Inn was close to completion at 2009 year end with opening scheduled for January of 2010.
The development of a significant housing development in East Park is currently underway.
Projects that are in the preliminary stages include; the Boardwalk Project, West Park mixed use redevelopment
project, revitalization of Lions Park, a new Municipal Court facility and the construction of two subsurface and two
above -grade parking areas to serve PSNS workers, retail, businesses and visitors to memorial Plaza and Harborside
Fountain Park.
These projects that are occurring throughout Bremerton are a product of both public and private investment.
Economic development is a critical component of achieving a recovery from years of economic depression and to
mitigate for the revenue losses incurred over the past several years from statewide initiatives. Initiative 695 and 747
resulted in losses of ongoing revenues and limited property tax growth for Washington cities, including Bremerton.
These statewide initiatives have impacted current and future revenues that fund the City of Bremerton's
City of Bremerton / 26
governmental services. The ability of Bremerton to provide sufficient funding for future core government services
will be impacted by the success of its economic development efforts, however, these efforts alone will be
insufficient to fund these core services without the identification and implementation of additional revenue sources.
The City concluded a major utility rate study in 2004 which was focused on establishing a new utility rate structure
and general facility charges at levels sufficient to cover the cost of operation of the water, wastewater and
stormwater utilities, coverage for debt obligations and payment of capital improvement projects. The study resulted
in the development of a multi -year plan for increasing rates and implementing significant increases in general
facility charges to cover the cost of new capital improvements. Upon the conclusion of this study, the City Council
approved the utility rate increase plan with the adoption of an ordinance that included a provision in the City's
municipal code to automatically escalate fees for the three city utilities using the Seattle CPI on an annual basis
unless a larger increase is authorized by the City Council. This provision ensures the three utilities are adequately
funded in compliance with the City's adopted financial goals and policies. Utility system rates were increased
based upon the Seattle - Tacoma- Bremerton CPI effective January 1, 2009 in accordance with this provision. Rates
were not increased January 1, 2010 pending the results of a planned update to this study.
Requests for information
This financial report is designed to provide a general overview of the City's finances for readers with an interest in
municipal finances. Questions concerning any of the information provided in this report, or requests for additional
information, may be addressed to the Director of Financial Services, City of Bremerton, 345 Sixth Street, Suite 600,
Bremerton, WA 98337 -1873.
City of Bremerton / 27
Statement of Net Assets
December 31, 2009
See accompanying notes to the financial statements
Governmental
Business -Type
Activities
Activities
Total
Assets
$
$
$
Current assets:
Cash & investments
11,244,492
12,440,913
23,685,405
External receivables
3,638,442
4,556,051
8,194,493
Interest receivable
22,447
24,701
47,148
Internal balances
(1,109,724)
1,109,724
-
Due from other governments
274,798
157,109
431,907
Inventories
134,390
835,780
970,170
Prepayments
25,820
-
25,820
Total current assets
14,230,665
19,124,278
33,354,943
Restricted assets:
Cash & investments
2,117,869
1,323,482
3,441,351
External receivables
903,145
296,077
1,199,222
Due from other governments
90,274
-
90,274
Total restricted assets
3,111,288
1,619,559
4,730,847
Noncurrent assets:
Notes and contracts receivable
-
574,572
574,572
Capital assets net of depreciation
98,647,860
163,959,552
262,607,412
Other noncurrent assets
520,981
789,526
1,310,507
Total noncurrent assets
99,168,841
165,323,650
264,492,491
Total assets
S
116,510,794
S
186,067,487
S
302,578,281
Liabilities
Current liabilities:
Claims /contracts payable
S
1,515,272
S
1,674,417
S
3,189,689
Matured long term obligations
-
25,000
25,000
Due to other governments
20,981
2,616
23,597
Employee wages payable
2,409,543
822,503
3,232,046
Other accrued liabilities
142,237
238,242
380,479
Current portion of long term debt
771,500
3,029,679
3,801,179
Custodial accounts
-
7,660
7,660
Total current liabilities
4,859,533
5,800,117
10,659,650
Payable from restricted assets:
-
25,421
25,421
Noncurrent liabilities:
Claims and judgements payable
1,069,164
-
1,069,164
Bonds, notes and loans payable
26,029,324
35,307,331
61,336,655
Other non current liabilities
194,663
43,760
238,423
Total noncurrent liabilities
27,293,151
35,351,091
62,644,242
Total liabilities
$
32,152,684
S
41,176,629
S
73,329,313
Net Assets
Invested in capital assets net of related debt
$
72,087,573
S
122,329,665
S
194,417,238
Restricted for:
Tourism promotion & facilities
38,568
-
38,568
Parking system
297,722
297,722
Community development block grant
1,369,967
1,369,967
Public safety
1,221,480
-
1,221,480
Debt service
-
1,174,604
1,174,604
Workers compensation
100,000
-
100,000
Capital projects
83,551
-
83,551
Unrestricted
9,159,249
21,386,589
30,545,838
Total Net Assets
$
84,358,110
S
144,890,858
S
229,248,968
See accompanying notes to the financial statements
City of Bremerton / 28
Statement of Activities
For the Year Ended December 31, 2009
Net (Expense) Revenue and
Program Revenues Changes in Net Assets
Operating Capital
Charges for Grants and Grants and Governmental Business -Type
Function/Program
Governmental activities:
General government
Public safety
Physical environment
Transportation
Community development
Culture and recreation
Interest on long -term debt
Total governmental activities
Business -type activities
Water
Wastewater
Golf course
Other proprietary funds
Total business -type activities
Total government
Expenses Services Contributions Contributions Activities Activities Total
$ 4,001,383 $
1,122,147 $
12,088 $
- $
(2,867,148) $
- $ (2,867,148)
23,922,957
3,337,372
1,505,271
67,701
(19,012,613)
- (19,012,613)
226,975
100,322
-
7,032
(119,621)
- (119,621)
4,214,922
1,507,102
131
64,501
(2,643,188)
- (2,643,188)
2,031,753
599,452
709,478
-
(722,823)
- (722,823)
5,944,853
2,399,362
-
3,782,770
237,279
- 237,279
961,926
-
-
-
(961,926)
- (961,926)
41,304,769
9,065,757
2,226,968
3,922,004
(26,090,040)
- (26,090,040)
9,242,707
8,879,694
210 1,096,640
- 733,837
733,837
8,927,299
13,352,793
- 1,817,969
- 6,243,463
6,243,463
3,198,390
3,271,998
- -
- 73,608
73,608
1,478,026
2,115,506
34,131 967,681
- 1,639,292
1,639,292
22,846,422
27,619,991
34,341 3,882,290
- 8,690,200
8,690,200
$ 64,151,191 $ 36,685,748 $ 2,261,309 $ 7,804,294 $ (26,090,040) $ 8,690,200 $ (17,399,840)
General Revenues
Taxes
Property
Sales
Business
Utility
Other
Unrestricted investment interest
Miscellaneous
Gain on disposal of capital assets
Transfers, internal activities
Total general revenues and transfers
8,490,418
-
8,490,418
6,541,673
14,678
6,556,351
3,706,834
-
3,706,834
4,753,803
-
4,753,803
2,461,170
-
2,461,170
188,550
211,598
400,148
68,750
346,868
415,618
(39,542)
(1,472)
(41,014)
4,175,924
(4,175,924)
-
30,347,580
(3,604,252)
26,743,328
Change in net assets
Net asssets - beginning
Prior period adjustment (Note 17)
Net assets - ending
4,257,540 5,085,948 9,343,488
85,911,876 128,900,769 214,812,645
(5,811,306) 10,904,141 5,092,835
$ 84,358,110 $ 144,890,858 $ 229,248,968
See accompanying notes to the financial statements
City of Bremerton / 29
Balance Sheet
Governmental Funds
December 31, 2009
Liabilities and Fund Balances
Liabilities:
Claims /contracts payable
Due to other funds
Due to other governments
Employee wages payable
Other current liabilities
Deferred revenues
Total liabilities
520,228
862,858
813,139
1,543,653
3,739,878
356,252
827,078
19,337
184,725
97,382
917,926
2,402,700
876,480
1,689,936
19,337
997,864
97,382
2,461,579
6,142,578
Fund balances:
Reserved for:
Inventories
Paths and trails
Equipment replacement
Unreserved, reported in:
General fund
Debt service funds
Special revenue funds
Capital projects funds
Total fund balances
Total liabilities and fund balances
49,955
59,306
241,497
49,955
59,306
241,497
1,957,308 -
1,957,308
Other
Total
- 5,758,691
5,758,691
Governmental
Governmental
$ 1,957,308 $ 8,469,144
General
Funds
Funds
Assets
$ $
$
Cash & investments
1,980,237
8,879,905
10,860,142
External receivables
3,161,845
507,930
3,669,775
Due from other funds
418,229
339,045
757,274
Due from other governments
136,875
228,197
365,072
Inventories
-
49,955
49,955
Notes /contracts - deferred
-
866,812
866,812
Total assets
5,697,186
10,871,844
16,569,030
Liabilities and Fund Balances
Liabilities:
Claims /contracts payable
Due to other funds
Due to other governments
Employee wages payable
Other current liabilities
Deferred revenues
Total liabilities
520,228
862,858
813,139
1,543,653
3,739,878
356,252
827,078
19,337
184,725
97,382
917,926
2,402,700
876,480
1,689,936
19,337
997,864
97,382
2,461,579
6,142,578
Fund balances:
Reserved for:
Inventories
Paths and trails
Equipment replacement
Unreserved, reported in:
General fund
Debt service funds
Special revenue funds
Capital projects funds
Total fund balances
Total liabilities and fund balances
49,955
59,306
241,497
49,955
59,306
241,497
1,957,308 -
1,957,308
- 262,834
262,834
- 5,758,691
5,758,691
- 2,096,861
2,096,861
$ 1,957,308 $ 8,469,144
10,426,452
5,697,186 10,871,844
16,569,030
Amounts reported for governmental activities in the statement of nets assets are different because:
Capital assets used in governmental activities are not financial resources 98,647,860
and therefore not reported in the funds.
Other long -tern assets are not available to pay for current- period 3,000,518
expenditures and therefore are deferred in the funds. (Note 2)
Internal service funds are used by management to charge the costs of certain activities to individual funds. 634,376
These assets and liabilities are included in governmental activities in the statement of net assets.
Long -term liabilities are not due and payable in the current period and therefore are not reported in the (28,351,096)
funds. (Note 2)
Net assets of governmental activities $ 84,358,110
See accompanying notes to the financial statements
City of Bremerton / 30
Statement of Revenues, Expenditures
and Changes in Fund Balances
Governmental Funds
For the Year Ended December 31, 2009
Expenditures
Current
General government
Public safety
Utilities and environment
Transportation
Economic environment
Mental/physical health
Culture and recreation
Debt service:
Principal
Interest and other debt issue costs
Capital
Total expenditures
6,461,037
21,897,389
220,142
381,852
1,242,384
74,922
2,759,296
127,500
289,509
246,206
33,700,237
332,165
325,062
6,833
2,990,898
708,033
6,793,202
22,222,451
226,975
3,372,750
1,950,417
74,922
4,548,291
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses)
Fixed assets donations & disposal
Insurance Recoveries
Transfers in
Transfers out
Total other financing sources and uses
Other changes in fund balance
Net change in fund balances
Fund balances - beginning
Fund balances- ending
1,788,995
908,000
656,935
4,628,452
12,345,373
1,035,500
946,444
4,874,658
46,045,610
(3,115,096)
(615,102)
Other
Governmental
2,275
General
Governmental
Funds
451
Fetid
Funds
Total
Revenues
(994,739)
(2,245,147)
(3,239,886)
Taxes
$ 22,148,493 $
2,110,769 $
24,259,262
Licenses and permits
932,476
242,442
1,174,918
Intergovernmental
2,662,154
5,463,933
8,126,087
Charges for services
2,998,859
2,189,931
5,188,790
Fines and forfeits
1,486,078
443,758
1,929,836
Miscellaneous
357,081
1,279,438
1,636,519
Total revenues
30,585,141
11,730,271
42,315,412
Expenditures
Current
General government
Public safety
Utilities and environment
Transportation
Economic environment
Mental/physical health
Culture and recreation
Debt service:
Principal
Interest and other debt issue costs
Capital
Total expenditures
6,461,037
21,897,389
220,142
381,852
1,242,384
74,922
2,759,296
127,500
289,509
246,206
33,700,237
332,165
325,062
6,833
2,990,898
708,033
6,793,202
22,222,451
226,975
3,372,750
1,950,417
74,922
4,548,291
Excess (deficiency) of revenues
over expenditures
Other financing sources (uses)
Fixed assets donations & disposal
Insurance Recoveries
Transfers in
Transfers out
Total other financing sources and uses
Other changes in fund balance
Net change in fund balances
Fund balances - beginning
Fund balances- ending
1,788,995
908,000
656,935
4,628,452
12,345,373
1,035,500
946,444
4,874,658
46,045,610
(3,115,096)
(615,102)
(3,730,198)
2,275
396,484
398,759
14,213
451
14,664
4,718,438
2,697,372
7,415,810
(994,739)
(2,245,147)
(3,239,886)
3,740,187
849,160
4,589,347
625,091
234,058
859,149
1,332,216
8,235,086
9,567,302
$ 1,957,307 $
8,469,144 $
10,426,451
See accompanying notes to the financial statements.
City of Bremerton / 31
Reconciliation of the Statement Revenues,
Expenditures and Changes in Fund Balances of Governmental Funds
to the Statement of Activities
For the Year Ended December 31, 2009
Amounts reported for governmental activities in the statement of activities are different because:
Net change in fund balances — total government funds $ 859,149
Governmental funds report capital outlays as expenditures, however, in the
statement of activities the cost of those assets is allocated over their estimated
useful lives and reported as depreciation expense. This is the amount by
which capital outlays exceeded depreciation in the current period. 1,497,852
Revenues and expenses in the statement of activities that do not provide current
financial resources are not reported in the funds. 276,309
The issuance of long -term debt (e.g. bonds) provides current financial resources
to governmental funds, while the repayment of the principal of long -term
debt consumes the current financial resources of governmental funds. Neither
transaction, however, has any effect on net assets. Also, governmental funds
report the effect of issuance costs, premiums, discounts, and similar items when
debt is first issued, whereas these amounts are deferred and amortized in the
statement of activities. This amount is the net effect of these differences in the
treatment of long -term debt and related items. 1,018,034
Internal service funds are used by management to charge the costs of fleet
replacement and risk management to individual funds. The net revenue of certain
activities of internal service funds is reported with governmental activities. 606,196
Change in net assets of governmental activities $ 4.257.540
The notes to the financial statement are an integral part of this statement.
City of Bremerton / 32
Statement of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
General Fund
For the Year Ended December 31, 2009
Revenues
Taxes
Property
Sales
Other
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeits
Miscellaneous
Total revenues
Expenditures
Current
General government
Public Safety
Utilities and Environment
Transportation
Economic environment
Mental /physical health
Culture and recreation
Debt service principal
Interest and other debt issue costs
Capital
Total expenditures
Excess (deficiency) of revenues
over expenditures
7,005,633
24,143,539
228,324
396,074
1,334,101
78,921
3,019,207
134,550
295,470
115,320
36,751,139
(1,635,402)
6,702,933
23,214,139
228,324
375,774
1,311,001
78,921
2,864,607
134,550
295,470
127,320
35,333,039
(3,531,302)
Other Financing Sources (Uses)
Variance with
Original
Final
Insurance Recoveries
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
$ 7,679,504 $
7,079,504 $
7,396,243
$ 316,739
7,916,055
6,716,055
6,541,673
(174,382)
9,676,667
7,976,667
8,210,577
233,910
888,100
767,100
932,476
165,376
3,896,349
3,651,349
2,662,154
(989,195)
3,034,787
2,859,787
2,998,859
139,072
1,632,170
1,457,170
1,486,078
28,908
392,105
1,294,105
857,081
(437,024)
35,115,737
31,801,737
31,085,141
(716,596)
7,005,633
24,143,539
228,324
396,074
1,334,101
78,921
3,019,207
134,550
295,470
115,320
36,751,139
(1,635,402)
6,702,933
23,214,139
228,324
375,774
1,311,001
78,921
2,864,607
134,550
295,470
127,320
35,333,039
(3,531,302)
Other Financing Sources (Uses)
Fixed asset donations & disposal
-
-
Insurance Recoveries
-
-
Transfers in
2,679,798
5,040,798
Transfers out
(965,116)
(1,160,216)
Total other financing sources and uses
1,714,682
3,880,582
Other Chamges in Fund Balance
Net change in fund balances
79,280
349,280
Fund balances-beginning
3,121,630
2,354,095
Fund balances- ending $
3,200,910 $
2,703,375
6,461,037
21,897,389
220,142
381,852
1,242,384
74,922
2,759,296
136,862
289,509
246,206
33,709,599
(2,624,458)
2,275
14,213
4,718,438
(994,739)
3,740,187
1,115,729
1,539,436
$ 2,655,165
241,896
1,316,750
8,182
(6,078)
68,617
3,999
105,311
(2,312)
5,961
(118,886)
1,623,440
906,844
2,275
14,213
(322,360)
165,477
(140,395)
766,449
(814,659)
$ (48,210)
See accompanying notes to the financial statements
City of Bremerton / 33
See accompanying notes to the financial statements.
Statement of Net Assets
Proprietary Funds
December
31, 2009
Business -type Activities
Governmental
Enterprise Funds
Activities
Other
Golf
Proprietary
internal
Water
Course
Wastewater
Funds
Total
Sei vice Funds
Assets
Current assets:
Cash & investments
$ 3,514,416 $
385,754
$ 2,042,659 $
1,964,942
$
7,907,771
$ 6,935,361
External receivables
1,501,523
4,450
2,595,242
454,836
4,556,051
5,000
Interest receivable
6,419
692
5,928
3,526
16,565
12,625
Due from other funds
550,438
-
1,175
-
551,613
778,247
Due from other governments
29,324
126,712
1,073
157,109
-
Inventories
579,795
-
255,985
-
835,780
84,435
Prepayments
-
-
-
-
-
25,820
Total current assets
6,181,915
390,896
5,027,701
2,424,377
14,024,889
7,841,488
Restricted assets:
355,778
1,260,861
1,616,639
102,920
Noncurrent assets:
Notes and contracts receivable
574,572
-
-
-
574,572
-
Capital assets net ofdepreciation
56,367,169
7,501,085
90,900,201
4,134,668
158,903,123
5,119,153
Other noncurrent assets
573,104
24,941
191,481
-
789,526
-
Total noncurrent assets
57,514,845
7,526,026
91,091,682
4,134,668
160,267,221
5,119,153
Total assets
$ 64,052,538 $
7,916,922
$ 97,380,244 $
6,559,045
$
175,908,749
$ 13,063,561
Liabilities
Current liabilities:
Claims/contractpayable
$ 714,304 $
49,673
$ 663,941 $
14,378
$
1,442,296
$ 305,913
Matured Long team obligations
-
-
25,000
-
25,000
-
Due to other funds
67,664
198
128,435
22,434
218,731
178,467
Other accrued liabilities
260,751
1,268
299,325
59,405
620,749
43,539
Current portion of Long team debt
608,283
105,000
2,306,532
9,864
3,029,679
565,000
Custodial accounts
3,843
3,817
-
-
7,660
-
Totai current liabilities
1,654,845
159,956
3,423,233
106,081
5,344,115
1,092,919
Payable from restricted assets:
25,421
-
-
-
25,421
-
Noncurrent liabilities:
Claims and judgements payable
-
-
-
-
-
1,069,164
Bonds, notes and Loans payable
6,542,557
4,987,441
23,639,234
138,099
35,307,331
-
Compensated absences
226,967
-
187,007
72,253
486,227
59,175
Total noncurrent liabilities
6,769,524
4,987,441
23,826,241
210,352
35,793,558
1,128,339
Total liabilities
8,449,790
5,147,397
27,249,474
316,433
41,163,094
2,221,258
Net Assets
Invested in capital assets, net
of related debt
49,216,329
2,408,644
61,665,742
3,982,521
117,273,236
5,119,153
Restricted for capital assets
-
-
-
-
-
-
Restricted for debt service
37,200
-
1,137,404
-
1,174,604
-
Uresiricted
6,349,219
360,881
7,327,624
2,260,091
16,297,815
5,723,150
Total net assets
$ 55,602,748 $
2,769,525
$ 70,130,770 $
6,242,612
$
134,745,655
$ 10,842,303
Adjustment to reflect the consolidation of internal
service fund activities
related to enterprise
funds
10,145,203
Net assets of business -type activities
$
144,890,858
See accompanying notes to the financial statements.
City of Bremerton / 34
Statement of Revenues, Expenses, and Changes in Fund Net Assets
Proprietary Funds
For the Year Ended December 31.2009
See accompanying notes to the financial statements
Business -type Activities
Enterprise Funds
Governmental
Other
Activities
Golf
Proprietary
internal
Water
Course
Wastewater
Funds
Total
Sei vice Funds
Operating revenues:
Charges for services $
8,386,515 $
3,194,181
$ 13,367,471 $
2,115,505 $
27,063,672 $
4,675,630
Interest & dividend income
-
-
-
-
-
8,347
Other operating revenue
493,389
77,817
-
34,131
605,337
11,547
Total operating revenues
8,879,904
3,271,998
13,367,471
2,149,636
27,669,009
4,695,524
Operating expenses:
General operations
1,778,750
1,602,668
2,496,330
428,237
6,305,985
2,513,240
Maintenance
2,832,032
1,179,192
1,919,495
824,841
6,755,560
-
Customer service and marketing
405,002
-
278,154
42,720
725,876
-
General administration
1,061,925
48,218
844,945
195,286
2,150,374
245,503
Depreciation and amortization
1,635,708
125,447
2,391,078
67,831
4,220,064
741,056
Property, excise and B &O taxes
474,936
17,644
385,016
(131,757)
745,839
-
Risk transfer payments
-
-
-
-
450,666
Payments to claimants & beneficiaries
-
-
375,317
Other operating expenses
683,921
-
-
-
683,921
49,325
Total operating expenses
8,872,274
2,973,169
8,315,018
1,427,158
21,587,619
4,375,107
Operating income (loss)
7,630
298,829
5,052,453
722,478
6,081,390
320,417
Nonoperating revenues (expenses)
Interest and investment revenue
89,209
1,782
39,987
31,915
162,893
56,024
Interest expense
(168,932)
(225,221)
(532,038)
(6,115)
(932,306)
-
Gain (loss) on capital asset disposal
(1,565)
-
93
-
(1,472)
(99,821)
Other nonoperating revenue
314,185
8
32,569
106
346,868
51,785
Total nonoperating revenues (expenses)
232,897
(223,431)
(459,389)
25,906
(424,017)
7,988
Income (loss) before contributions and transfers
240,527
75,398
4,593,064
748,384
5,657,373
328,405
Capital contributions
1,096,640
-
1,817,969
967,681
3,882,290
-
Transfers in
39,406
1,286,063
-
1,325,469
247,408
Transfers out
(1,004,461)
-
(2,081,955)
(1,662,385)
(4,748,801)
(1,000,000)
Change in net assets
372,112
75,398
5,615,141
53,680
6,116,331
(424,187)
Total net assets - beginning
52,935,422
2,694,127
61,721,669
6,185,271
11,266,490
Prior period adjustments (Note 16)
2,295,214
-
2,793,960
3,661
-
Total net assets - ending $
55,602,748 $
2,769,525
$ 70,130,770 $
6,242,612
$
10,842,303
Adjustment to reflect the consolidation of internal service fund
activities related
to enterprise funds
(1,030,383)
Change in net assets ofbusiness -type activities
$
5,085,948
See accompanying notes to the financial statements
City of Bremerton / 35
Cash Flows From Operating Activities
Cash received from customers
Interest on investments
Cash payments to suppliers
Cash payments to employees
Purchase of insurance
Payment for insurance claims
Other operating receipts and payments
Not cash provided by operating activities
Cash Flows From Noncapital Financing Activities
Transfers in
Transfers out
Other nonoperating revenues /expenses
Not cash provided (used) by noneapital
financing activities
Cash Flows From Capital and Related
Financing Activities
Acquisition and construction of capital assets
Proceeds /costs on sale of assets
Capital contributions
Transfer in for asset construction
Transfer out for asset construction
Collections on notes receivable
Loan/grant proceeds
Bond. proceeds
Principal paid on bonds
Principal paid on other debt
Interest paid on bonds and other debt
Not cash provided (used) for capital and related
financing activities
Cash Flows From Investing Activities
Proceeds from repayment of loans
Disbursement of Loans
Proceeds from special assessments
Interest on loans and investments
Not cash provided (used) in investing activities
Not increase (decrease) in cash and cash equivalents
Cash and cash equivalents - beginning of year
Cash and cash equivalents - end of year
Cash at the end of the year consists of:
Operating fund. cash
Restricted. cash
Total cash at end of year
See accompanying notes to the financial statements.
Statement of Cash Flows
Proprietary Funds
For
the Year Ended December
31, 2009
Pagel of 2
Business -type Activities
Governmental
Enterprise Funds
Activities
Other
Golf
Proprietary
Internal
Water
Course
Wastewater
Funds
Total
Service Funds
$ 8,196,406
$ 3,189,652
S 13,071,013 S
2,066237 $
26,523,308 S
4,741,199
-
-
-
-
-
11,618
(2,801,006)
(2,836,266)
(2,842,300)
(549,243)
(9,028,815)
(1,347,387)
(3,959,964)
(41,449)
(2,779,424)
(911,385)
(7,692,222)
(1,255,621)
(125,600)
-
(177,565)
(12,915)
(316,080)
(423,442)
-
-
-
-
-
(351,077)
18,453
79,931
(385,016)
180,204
(106,428)
1,481
1328,289
391,868
6,886,708
772,898
9379,763
1376,771
39,406
-
-
-
39,406
-
(1,476,253)
-
(558,542)
(1,459,403)
(3,494,198)
-
304,777
8
14,577
106
319,468
13,785
(1,132,070)
8
(543,965)
(1,459,297)
(3,135,324)
13,785
(3,370,409)
(7,737)
(9,845,256)
(15,178)
(13,238,580)
(1,288,969)
506
-
94
-
600
40,363
414,313
-
133,240
21,763
569,316
38,000
-
-
100,000
-
100,000
773,408
-
-
(346,750)
(192,000)
(538,750)
(1,000,000)
52,723
-
-
-
52,723
-
490,449
-
2,710328
-
3,200,777
-
-
107
-
107
(42,000)
(278,000)
-
(320,000)
-
(566,284)
-
(2,011,948)
(9,864)
(2,588,096)
-
(153,327)
(175,006)
(487,717)
(6,313)
(822,363)
-
(3,174,029)
(182,636)
(10,026,009)
(201,592)
(13,584,266)
(1,437,198)
9,362
-
-
-
9,362
6,181
(350,000)
-
-
-
(350,000)
(600,500)
-
-
-
-
-
767
85,701
1,952
68,113
42,244
198,010
77,551
(254,937)
1,952
68,113
42,244
(142,628)
(516,001)
(3,232,747)
211,192
(3,615,153)
(845,747)
(7,482,455)
(562,643)
6,809,784
174,562
6,918,673
2,810,689
16,713,708
7,598,005
3,577,037
385,754
3303,520
1964.942
9,231,253
7.035362
3,514,416
385,754
2,042,659
1,964,942
7,907,771
6,935,361
62,621
-
1,260,861
-
1323,482
100,000
$ 3,577,037
S 385,754
S 3303,520 S
1964,942 S
9,231,253 S
7,035361
See accompanying notes to the financial statements.
City of Bremerton / 36
Statement of Cash Flows
Proprietary Funds
For the Year Ended December 31, 2009
Page 2 of 2
Business -type Activities Governmental
Enterprise Funds Activities
Other
Golf Proprietary Internal
Water Course Wastewater Funds Total Service Funds
Reconciliation of operating income to not cash provided by operating activities:
Operating income (loss)
$
(225,904) S
298,829 S
4,557,720 S
721,956
S 5,352,601
S 656,310
Adjustments to reconcile operating income
to not cash provided by operating
activities:
Depreciation
1,869,241
125,447
2,885,811
68,354
4,948,853
708,947
Decrease (increase) in receivables
(184,247)
184
(295,631)
-
(479,694)
(216)
Decrease (increase) in due from other funds /govt
361
958
1,870
(49,268)
(46,079)
65,943
Decrease (increase) in prepaid expenses
2,000
-
-
14,316
16,316
32,479
Decrease (increase) in inventory
36,922
-
6,840
-
43,762
-
Inerease (decrease) in accounts payable
125,191
(11,265)
(447,023)
-
(333,097)
16,708
Increase (decrease) in due to otherfunds/govt
(332,405)
(42)
(906)
(49,643)
(382,996)
1
Increase (decrease) in employee wages payable
5,799
(1,022)
-
-
4,777
14,151
Increase (decrease) in employee vacations payable
36,602
(359)
177,440
-
213,683
14,547
Increase (decrease) in other payables
(9,919)
(20,862)
1,415
67,183
37,817
-
Inerease (decrease) in deferred revenues
4,647
-
(828)
-
3,819
-
Net cash provided by operating activities
S
1,328,288 S
391,868 S
6,886,708 S
772,898
S 9,379,762
S 1,508,870
Noncash investing, capital and financial activities;
Developers contributed infrastructure
S
639,690 S
- S
748,743 S
945,919
S 2,334,352
S -
See accompanying notes to the financial statements
City of Bremerton / 37
Statement of Fiduciary Net Assets
Fiduciary Funds
As of December 31, 2009
Agency
Frnnds
Assets
Cash and cash equivalents
Interest receivable
Interfund receivables
Total assets
$ 200,085
$ 200,085
Liabilities
Claims /contracts payable
Due to other funds
Other current liabilities
Total liabilities
Net Assets
Held in trust for pension benefits and
other purposes
67,815
132,270
$ 200,085
See accompanying notes to the financial statements.
City of Bremerton / 38
THIS PAGE LEFT BLANK INTENTIONALLY.
City of Bremerton / 39
Notes to Financial Statements
January 1, 2009 — December 31, 2009
1. Summary of significant accounting policies
The financial statements of the City of Bremerton have been prepared in conformity with generally accepted accounting
principles as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted
standard setting body for establishing governmental accounting and financial reporting principles.
A. Reporting Entity
The City of Bremerton was incorporated on October 14, 1901 and operates under the laws of the State of Washington
applicable to a home -rule charter city with a Council/Mayor form of government. The City is a general purpose
government which provides police, fire, water, wastewater, street maintenance, parks and recreation, planning and
zoning, municipal court and general governmental services to its citizens.
On February 4, 2009 the City authorized and approved the creation of a Transportation Benefit District coextensive with
the boundaries of the City in order to exercise the powers available under RCW 36.73. This blended component unit is
governed by a board composed of the nine members of the Bremerton City Council, who serve in an ex- officio and
independent capacity. The primary purpose of the District is the acquisition, construction, improvement, provision
and /or funding of the maintenance of City street and related infrastructure. Financial Statements for this unit are not
included for the year ending 12/31/09 as no transportation improvements have been funded.
B. Government -wide 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 of the nonfiduciary activities of the City. For the most part, the effect of interfund activity has been
removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental
revenues, are reported separately from business -type activities, which rely on fees and charges for support.
The statement of activities displays the extent to which the direct expenses of a given function are offset by program
revenues. Direct expenses are those that are clearly identifiable with a specific function. Our policy is to not allocate
indirect costs to a specific function. Program revenues are those items that are applicable to customers who purchase,
use, or directly benefit from goods, services, or privileges provided by a given function. Grants and contributions that
are restricted to meeting the operational or capital requirement of a particular function are also included. Taxes and other
items not properly included among program revenues are reported instead as general revenues.
Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds. Fiduciary
funds, however, are excluded from the government -wide financial statements. Major individual governmental funds and
major individual enterprise funds are reported as separate columns in the fund financial statements.
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 fund 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 for which they are levied. Grants and similar items are recognized as
revenue 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 city considers revenues to be available if they are collected
within 30 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
and claims and judgments, are recorded only when payment is due.
City of Bremerton / 40
Property taxes, fines and certain receivables for services provided are associated within the current period are all
considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the
portion of special assessment receivable due within the current fiscal period is considered to be susceptible to accrual as
revenue of the current period. All other revenue items are considered to be measurable and available only when cash is
received by the City.
The City reports the following major governmental funds:
The general fund is the City's operating fund. It accounts for all financial resources and transactions except those
required to be accounted for in another fund.
The City reports the following major proprietary funds:
The water and wastewater funds account for activities related to the ongoing operations of the City's water and
sewer systems.
The golf course fund accounts for the operations and maintenance of the City owned Gold Mountain golf course.
Additionally, the City reports the following fund types:
Internal service funds account for the accumulation of funds used to repair City vehicles and equipment and to
replace them at the end of their useful lives. Funds are also accumulated for the purpose of carrying out the city's
Risk Management activities. In both cases City departments contribute according to the benefit provided by each
fund.
Agency funds account for assets held by a government as an agent for individuals, private organizations, other
governments, and /or other funds. All funds are used for custodial or clearing purposes.
Private- sector standards of accounting and financial reporting issued prior to December 1, 1989, are generally 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 Governmental Accounting Standards Board. Governments also have the option of
following subsequent private - sector guidance for their business -type activities and enterprise funds, subject to this same
limitation. The City of Bremerton has elected not to follow subsequent private - sector guidance.
The City eliminates the effect of interfund activity from the government -wide financial statements. There are some
exceptions to this rule such as charges between the utility function and other functions within the City, and any
payments -in -lieu of taxes. Elimination of these charges would distort the direct costs and program revenues reported for
the various functions concerned.
Amounts reported as program revenues include charges to customers, special assessments, operating grants and
contributions and capital grants and contributions. General revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from non - operating items. Operating revenues and
expenses generally result from providing services and producing and delivering goods in connections with a proprietary
fund's principal ongoing operations. Operating revenues includes charges for services rendered for water, sewer,
stormwater as well as golf fees and timber revenues. Operating expenses include administrative, maintenance expenses
and depreciation on capital assets. All revenues and expenses not falling into the above broad categories are reported as
non - operating revenues and expenses.
When both restricted and unrestricted resources are available for use, it is the city's policy to use restricted resources
first, then unrestricted resources as needed.
City of Bremerton / 41
D. Budgetary Information
1. Scone of Budget
Annual appropriated budgets are adopted for all funds. The budget is prepared using a basis of accounting substantially
the same as the GAAP basis used in accounting for governmental funds. The basis for budgeting differs from GAAP
accounting in that fund balance is adjusted to exclude fund debt. Budgeted revenues and expenditures include the flow
of funds resulting from the issue and redemption of fund debt which are not recognized under GAAP basis accounting.
See Note 15 for a reconciliation of the Budgetary basis to GAAP for the Statement of Revenues, Expenditures and
Changes in Fund Balances to Statement of Revenues, Expenditures and Changes in Fund Balance — Budget and Actual
for the General Fund. All appropriations lapse at the end of each year.
2. Amending the Budget
The City's budget is adopted at the department and category group level. The five distinct category groups are 1}
Personnel, 2} Supplies, Services and Taxes, 3} Debt Service, 4} Capital Expenditures and 5} Transfers. Expenditures
may not legally exceed appropriations at that level of detail. The Mayor may authorize a one time transfer of less than
$10,000 between category groups within a department. All other supplemental appropriations as well as transfers and
revisions within funds must be approved by the legislative authority following public hearings. The City's budget was
amended two times in 2009.
The financial statements contain the original and final budget information. The original budget is the first complete
appropriated budget. The final budget is the original budget adjusted by all supplemental appropriations authorized for
the fiscal year.
E. Assets, Liabilities and Equities
1. Cash and Investments
It is the City's policy to invest all temporary cash surpluses. These investments are reported on the Statement of Net
Assets as cash and investments. Included in cash and investments are currency on hand, demand deposits with banks or
other financial institutions, investments with the State Investment Pool, and investments in U.S. Treasury and Agency
Securities. At December 31, 2009 the City held $27,326,840 in investments of surplus cash.
The amounts reported as cash and investments also include compensating balances maintained with the City's bank in
lieu of payments for services rendered. The average compensating balance maintained during 2009 was $2,952,065.
For purposes of the statement of cash flows the City considers all investments, including restricted assets, to be cash
equivalents. All investments can be liquidated on demand.
2. Receivables
External receivables consist of property, B &O, utility, sales and parking taxes as well as other revenues earned by the
City from the County, State and other taxpayers but not yet received. Also included are customer accounts receivable
which consist of amounts owed from private individuals or organizations for goods and services including amounts owed
for which billings have not been prepared.
Interest receivable consists of amounts earned on investments, notes, and contracts at the end of the year.
Special assessments are recorded when levied. Special assessments receivable consist of current and delinquent
assessments and related interest and penalties. Deferred assessments on the fund financial statements consist of unbilled
special assessments that are liens against the property benefited. As of December 31, 2009, $45,798 of special
assessments receivable were delinquent.
The amounts reported as notes and contracts receivable represent housing rehabilitation loans resulting from the federal
Department of Housing and Urban Development Community Development Block Grant programs. Deferred notes and
contracts on the fund financial statement consist of outstanding loan balances that are liens against the property benefited
City of Bremerton / 42
and the note receivable from property sold. An indeterminate portion of the Block Grant loans will be forgiven if certain
qualifying conditions are met by the loan recipients.
3. Amounts Due To and From Other Funds
Amounts due to and from other funds include interfund loans receivable /payable as well as outstanding balances that
have resulted from the provision of services between funds as well as corrections of prior transactions. Any residual
balances outstanding between the governmental activities and business -type activities are reported in the government -
wide financial statements as "internal balances." A summary schedule of interfund loans receivable and payable is
furnished in Note 12.
4. Amounts Due To and From Other Governmental Units
Amounts due to and from other governments for grants, entitlements and contracts.
5. Inventories
Inventories in governmental funds consist of expendable supplies held for consumption. The cost is recorded as
expenditure at the time individual inventory items are purchased. The reserve for inventory is equal to the ending
amount of inventory to indicate that a portion of the fund balance is not available for future expenditures. A comparison
to market value is not considered necessary.
In proprietary funds, a perpetual inventory is maintained, in which the cost is capitalized when inventory items are
purchased, and expensed when the item is consumed. Inventory is recorded at average cost which approximates market
value.
6. Restricted Assets and Liabilities
These accounts contain resources for programs, construction, replacement, and debt service in both governmental and
business type funds. The current portion of related liabilities is shown as Payable from Restricted Assets. Specific debt
service reserve requirements are described in Note 9.
Restricted assets are composed of the following:
Cash and investinents - Contruction
$
59,306
Cash and investinents - Parking system
297,171
Cash and investinents - HUD programs
412,881
Cash and invesments - Public safety
1,219,279
Cash and investinents - Workers compensation
100,000
Cash and investinents - Tourism promotion
29,232
Edemal receivables -HUD programs
866,812
Edemal receivables - Tourismpromotion
9,336
Edemal receivables - Parking system
551
Edemal receivables -Public safety
2,201
Edemal receivables - Construction
24,245
Due from other governments -HUD
90,274
Total governmental
$
3,111,288
Business type:
Cash and investments - Debt service
$
1,174,604
Cash and investinents - Construction
123,457
Cash and investinents - Deposits
25,421
Edemal receivables -Debt service
296,077
Totalbusiness
$
1,619,559
City of Bremerton / 43
7. Capital Assets
Capital assets, which include property, plant, equipment and infrastructure assets (e.g., roads, bridges, sidewalks, and
similar items), are reported in the applicable governmental or business -type columns in the government -wide financial
statements. Capital assets are defined by the City as assets with an initial, individual cost of more than $5,000. Such
assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are
recorded at estimated fair market value at the date of donation. Note 6 contains the change in net assets by category for
2009.
The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are
not capitalized.
Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during
the construction phase of the capital assets of business -type activities is not included as a part of the capitalized value of
the assets constructed. There was $106,252 of interest expense incurred during 2009 for business -type capital assets
under construction.
Property, plant and equipment of the City are depreciated using the straight line method over the following estimated
useful lives:
Buildings
50 Years
Improvements Other than Buildings — Governmental Assets
20 Years
Improvements Other than Buildings — Proprietary Assets
50 Years
Infrastructure
10 -15 Years
Plant Machinery and Equipment
20 Years
Furniture and Fixtures
20 Years
Vehicles and Similar Equipment
10 Years
Data Processing/Electronic Equipment
5 Years
8. Other Noncurrent Assets
This account reflects various non - current assets of the City including utility water rights, standing timber purchased
under the City's utility land management plan and the unamortized portion of debt issuance costs.
9. Other Accrued Liabilities
These accounts consist of accrued wages and accrued employee benefits including compensated absences. Compensated
absences are absences for which employees will be paid, such as vacation and sick leave. All vacation pay is accrued
when incurred in the government -wide and proprietary fund financial statements. Accrued vacation is payable at
resignation, retirement or upon death of the employee. Maximum vacation carryover hours are set by contract for all
bargaining unit employees. The maximum hours allowed to be carried over to the next fiscal year range from 240 to 360
depending on the unit. Payment for 35% of sick leave is only paid at retirement. Outstanding sick leave at year end is
not accrued because the payment cannot be deemed probable nor can the amount be reasonably estimated.
10. Long -term Debt
The City issues debt to finance the purchase or construction of capital assets. Note 9 contains outstanding debt at
12/31/09 and bond and debt service requirements to maturity.
11. Deferred Revenue
This account includes amounts recognized as receivables but not revenues in governmental funds because the revenue
recognition criteria has not been met.
City of Bremerton / 44
12. Reservations of Fund Balance
In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not
available for appropriation or are legally restricted by outside parties for use for a specific purpose.
2. Reconciliation of Government -wide and Fund Financial Statements
A. Explanation of aggregated differences between the governmental fund balance sheet and the government -wide
statement of net assets
The governmental fund balance sheet includes a reconciliation between total fund balance and total net assets as reported
in the government -wide statement of net assets. The details of the aggregated differences are presented below.
Capital assets used in governmental activities are not financial resources and therefore not reported in the funds:
Capital Assets of governmental funds net of depreciation
Capital Assets of Internal Service funds included in govermental activities
net of depreciation
$ 98,585,136
62,724
Other long -term assets are not available to pay for current -period expenditures and therefore are not reported in the
funds:
Deferred revenue for taxes and loans receivable due beyond the city's 30 day
measurable and available period $ 2,461,579
Investment interest accrued beyond the city's 30 day measurable
and available period 17,958
Deferred charge for bond issue costs 240,537
Other post- emplovment benefits 280,444
Internal Service funds are used by management to charge the costs of certain activities to individual funds:
Net assets of Internal service funds included in governmental activities
Net capital assets of Internal Service funds included in governmental activities
$ 697,100
(62,724
Some liabilities, including bonds, loans and compensated absences payable, are not due and payable in the current
period and therefore are not reported in the funds:
GO bonds payable
Less: Issuance premiums
Add: Deferred amount on refunding
Revenue bonds payable
Accrued interest payable
Compensated absences
$ (21,474,185)
(112,124)
30,300
(5,244,815)
(44,855)
(1,505,417)
City of Bremerton / 45
B. Explanation of aggregated differences between the governmental fund statement of revenues, expenditures,
and changes in fund balances and the government -wide statement of activities
The governmental fund statement of revenues, expenditures, and changes in fund balances includes reconciliation
between net changes in fund balances — total governmental funds and changes in net assets of governmental activities as
reported in the government -wide statement of activities. The details of the aggregated differences are presented below.
Government funds report capital outlays as expenditures; however, in the statement of activities the cost of those assets
is allocated over their estimated useful lives and reported as depreciation expense.
Capital outlay $ 5,209,598
Depreciation (3,273,445)
Loss on retirement of capital assets (438,301)
The issuance of long -term debt provides current financial resources to governmental funds, while the repayment of the
principal of long -term debt consumes the current financial resources of governmental funds. Also, governmental funds
report the effect of issuance costs, premiums, discounts, and similar items when debt is first issued, whereas these
amounts are deferred and amortized in the statement of activities.
GO bond principal paid $ 875,582
Revenue bond principal paid 159,918
Unamortized debt issuance costs (17,466
Some revenues and expenses reported in the statement of activities do not provide /do not require the use of current
financial resources and therefore are not reported as expenditures in governmental funds:
Change in accrued interest receivable
$ (14,966)
Change in deferred property taxes receivable
228,729
Change in court fines receivable
45,237
Change in block grant loans receivable
(23,458)
Change in special assessments receivable
(6,718)
Change in other post - employment benefits payable
80,289
Change in accrued interest payable
1,983
Change in compensated absences payable
(34,787)
The net revenue of certain internal service fund activities are governmental in nature and are included in the net change
in assets in the government -wide statements.
Net revenue of risk management activities $ 205,789
Net revenue of information technology activities (25,285)
Net revenue of equipment maintenance activities 425,692
3. Stewardship, Compliance and Accountability
Washington State law (RCW 43.09.230) requires annual reports to be certified and filed with the State Auditor's Office
150 days after the close of each fiscal year. In addition, certain long -term debt issues have continuing disclosure
City of Bremerton / 46
requirements that call for submission of the City's annual report with the Municipal Securities Rulemaking Board
Electronic Municipal Market Access (EMMA) program no later than September 30 of the year following the close of
the fiscal year. Federal grants also require submission of the annual report to the federal oversight agency no later than
September 30 of the year following closing.
4. Deposits and Investments
A. Deposits
The City's deposits and certificates of deposit are entirely covered by federal depository insurance (FDIC) or by collateral held
in a multiple financial institution collateral pool administered by the Washington Public Deposit Protection Commission
(PDPC).
B. Investments
As required by state law, all investments of the City funds are obligations of the U.S. Government, U.S. agency issues,
obligations of the State of Washington, general obligations of Washington State municipalities, the State Treasurer's Investment
Pool, or certificates of deposit with Washington State banks and savings and loan institutions. All temporary investments are
stated at market value. Other property and investments are shown on the statement of net assets at cost.
Interest Rate Risk. Asa means of limiting its exposure to realized fair value losses arising from rising interest rates, the
City's investment policy requires that to the extent possible maturities be matched with anticipated cash flow
requirements. Unless matched to a specific cash flow, the City is limited by the investment policy to maturities of five
years or less.
Federal National Mortgage Association
Federal Home Loan Bank
JP Morgan Chase FDIC TLG
Federal Farm Credit Bank
State Treasurer's InvestmentPool
US Treasury
City of Bremerton 2009 LTGO
$ 2,005,625
$ -
3,007,812
1,012,187
2,069,960
8.3%
2,017,500
2,017,500
7,552,006
7,552,006
3,016,130
1,013,090
5,373,000
105,000
Total $ 25,042,033 $ 11,699,783
$ 2,005,625
8.0 0 /0
1,995,625
12.0%
2,069,960
8.3%
8.1%
30.2%
2,003,040
12.0%
5,268,000
21.5%
$13,342,250
100.0
CfeditRisk. The City's investment policy limits investments to those authorized by State of Washington statutes governing the
investment of public funds. As of December 31, 2009, the City's investment in the state investment pool was 30.2% of total
investments which is unrated. The City's investments in Federal National Mortgage Association, Federal Home Loan Bank
and Federal Farm Credit Bank securities were each rated Aaa by Moody's Investors Service and AAA by Standard & Poor's
Rating Service
Concentration of Credit Risk. As can be seen in the preceding table, the City is in compliance with its investment
policy which requires that (with the exception of U.S. Treasury securities and the State Investment Pool) no more than
30% of the City's total investment portfolio will be invested in a single security type or with a single financial
institution.
Custodial Credit Risk. The custodial credit risk for deposits is the risk that in the event of bank failure, the City's
deposits may not be recovered. The City of Bremerton's investment policy requires deposits to be in a qualified
financial institution. The definition of qualified institution is described in RCW 39.58.080 and the bank must be a
participant in the State of Washington's Public Depository Protection Commission (PDPC).
The custodial credit risk for safekeeping of securities is the risk in the event that the City would not have access to
investment holdings. The City's investment policy requires that all security transactions be conducted on a delivery
versus payment basis. Securities will be held in a third party custodial account designated by the City Treasurer.
City of Bremerton / 47
5. Property Taxes
The Kitsap County Treasurer acts as an agent to collect property taxes levied in the County for all taxing authorities.
Collections are distributed the end of each month.
A. Property Tax Calendar
January 1 - Taxes are levied and become an enforceable lien against properties.
February 14 - Tax bills are mailed.
April 30 - First of two equal installment payments is due.
May 31 - Assessed value ofproperty established for next year's levy at 100 percent of market value.
October 31 - Second installment is due.
Property taxes are recorded as a revenue and receivable when levied. Property taxes collected in advance of the fiscal year to
which they apply are recorded as deferred revenue and recognized as revenue of the period to which they apply. No allowance
for uncollectible taxes is established because delinquent taxes are considered fully collectible. Prior year tax levies were
recorded using the same principal, and delinquent taxes are evaluated annually.
RCW 84.52.043 allows a city to levy taxes of up to $3.375 per $1,000 of taxable property in the city and RCW
41.14.060 allows an additional $0.225 per $1,000 for any municipal purpose, if not required to fund pension programs.
For cities annexed to a library district, such as the City, the maximum levy rate is reduced by the amount of the library
district levy. For tax year 2009, the Kitsap Regional Library District levied $0.29 per $1,000 of assessed valuation, and
therefore the City's maximum levy rate is $3.31 per $1,000 of assessed valuation. These taxes may be levied without a
vote of the people. This limitation is exclusive of a potential levy for the maintenance of a local improvement guaranty
fund, which the City does not levy.
The City's regular levy for 2009 was $1.97 per $1,000 on an assessed valuation of $3.085 billion for a total regular levy of
$6,082,861.
Special levies, approved by the voters are not subject to the above limitations. In 2009, the City levied an additional $.79 per
$1,000 for General Obligation Bonds and Emergency Medical Services.
Article VII, Section 2 of the Washington Constitution, as amended in 1973, limits aggregate regular property tax levies
by the State and all taxing districts, except port districts and public utility districts, to $10 per $1,000 or one percent of
the true and fair value of property. RCW 84.52.050 provides the same limitation by statute.
City of Bremerton / 48
6. Capital Assets
l /l/2009 Beginning Balance has been adjusted for prior year corrections (Note 17B).
Capital asset activity for the year ended December 31, 2009 was as follows:
Capital assets, not being depreciated:
Land
Construction in progress
Total capital assets, not being depreciated
Capital assets, being depreciated:
Buildings/building improvements
Improvements other than buildings
Machinery and equipment
Infrastructure
Total capital assets, being depreciated
Less accumulated depreciation for:
Buildings/buildings improvements
Improvements other than buildings
Machinery and equipment
Infrastructure
Total accumulated depreciation
Total capital assets, being depreciated, net
Governmental activities capital assets, net
Capital assets, not being depreciated:
Land
Construction in progress
Total capital assets, not being depreciated
Capital assets, being depreciated:
Buildings/building improvements
Improvements other than buildings
Machinery and equipment
Total capital assets, being depreciated
Less accumulated depreciation for:
Buildings/buildings improvements
Improvements other than buildings
Machinery and equipment
Total accumulated depreciation
Total capital assets, being depreciated, net
Business -type activities Capital assets, net
$ 15,051,430 $
856,759 $
436,158 $
15,472,031
5,875,026
4,690,092
5,667,954
4,897,164
20,926,456
5,546,851
6,104,112
20,369,195
52,374,237
2,194,071
0
54,568,308
14,288,484
2,230,637
62,062
16,519,121
8,668,007
366,972
12,569
9,022,410
32,729,766
547,286
1,289,018
33,277,052
108,060,494
5,338,966
12,569
113,386,891
6,242,957
1,036,147
0
7,279,104
6,379,882
677,644
1,042,127
7,057,526
4,140,996
590,707
10,427
4,721,276
15,043,209
1,007,111
153,834
16,050,320
31,807,044
3,311,609
10,427
35,108,226
76,253,450
2,027,357
2,142
78,278,665
$ 97,179,906 $
7,574,208 $
6,106,254 $
98,647,860
$ 7,998,885 $
139,578 $
0 $
8,138,463
13,367,084
12,912,708
9,024,082
17,255,710
21,365,969
13,052,286
9,024,082
25,394,173
47,527,264
666,860
30,995
48,163,129
108,661,333
8,571,369
62,062
117,170,640
44,499,845
3,377,911
1,195,961
46,681,795
200,688,442
12,616,140
1,289,018
212,015,564
15,822,571
902,445
30,995
16,694,021
32,663,729
2,116,292
62,062
34,717,959
21,253,236
1,827,096
1,042,127
22,038,205
69,739,536
4,845,833
1,135,184
73,450,185
130,948,906
7,770,307
153,834
138,565,379
$ 152,314,875 $
20,822,593 $
9,177,916 $
163,959,552
City of Bremerton / 49
Depreciation expense was charged to functions /programs of the primary government as follows:
General government $ 231,046
Public safety 571,590
Transportation, including depreciation of general infrastructure assets 1,030,569
Economic environment 348
Culture and recreation 1,439,894
Capital assets held by the government's internal service funds
are charged to the various functions based on their usage of the assets 38,162
Total depreciation expense - Governmental activities $ 3,311,609
Water $ 1,565,608
Wastewater 2,384,053
Stormwater 67,831
Golf 125,447
Capital assets held by the government's internal service funds
are charged to the various functions based on their usage of the assets 702,894
Total depreciation expense - Business -type activities $ 4,845,833
Construction Commitments:
The City had one active construction project as of December 31, 2009. $674,303 had been spent as of the end of 2009
on construction of the Pacific Avenue Basin Stormwater Collection System. The remaining commitment to complete
construction is $108,804.
7. Pension Plans
Substantially all City full-time and qualifying part -time employees participate in one of the following statewide retirement
systems administered by the Washington State Department of Retirement Systems, under cost - sharing multiple - employer
public employee defined benefit and defined contribution retirement plans. The Department of Retirement Systems (DRS), a
department within the primary government of the State of Washington, issues a publicly available comprehensive annual
financial report (CAFR) that includes financial statements and required supplementary information for each plan. The DRS
CAFR may be obtained by writing to:
Department of Retirement Systems
Communication Unit
PO Box 48380
Olympia, WA 98504 -8380
The following disclosures are made pursuant to GASB Statement 27, Accounting for Pensions by State and Local Government
Employer and No. 50 Pension Disclosure, and Amendment of GASB Statements No. 25 and No. 27.•
A. Public Employees' Retirement System (PERS) Plans 1, 2 and 3
1. Plan Description
PERS is a cost - sharing multiple - employer retirement system comprised of three separate plans for membership purposes: Plans
1 and 2 are defined benefit plans and Plan 3 is a defined benefit plan with a defined contribution component.
City of Bremerton / 50
Membership in the system includes: elected officials; state employees; employees of the Supreme, Appeals, and Superior courts
(other than judges currently in a judicial retirement system); employees of legislative committees; community and technical
colleges, college and university employees not in national higher education retirement programs; judges of district and
municipal courts; and employees of local governments.
PERS participants who joined the system by September 30, 1977, are Plan 1 members. Those who joined on or after October
1, 1977 and by either, February 28, 2002 for state and higher education employees or August 31, 2002 for local government
employees, are Plan 2 members unless they exercise an option to transfer their membership to Plan 3. PERS participants
joining the system on or after March 1, 2002 for state and higher education employees, or September 1, 2002 for local
government employees have the irrevocable option of choosing membership in either PERS Plan 2 or PERS Plan 3. The option
must be exercised within 90 days of employment. An employee is reported in Plan 2 until a choice is made. Employees who
fail to choose within 90 days default to PERS Plan 3. Notwithstanding, PERS Plan 2 and Plan 3 members may opt out of plan
membership if terminally ill, with less than five years to live.
PERS defined benefit retirement benefits are financed from a combination of investment earnings and employer and employee
contributions. PERS retirement benefit provisions are established in state statute and may be amended only by the State
Legislature.
PERS Plan 1 members are vested after the completion of five years of eligible service. Plan 1 members are eligible for
retirement after 30 years of service, or at age 60 with five years of service, or at the age of 55 with 25 years of service. The
annual benefit is two percent of the average final compensation (AFC) per year of service, capped at 60 percent. (The AFC is
based on the greatest compensation during any 24 eligible consecutive compensation months.) Plan 1 members who retire from
inactive status prior to the age of 65 may receive actuarially reduced benefits. The benefit is actuarially reduced to reflect the
choice of a survivor option. A cost-of living allowance (COLA) is granted at age 66 based upon years of service times the
COLA amount, increased by three percent annually. Plan 1 members may also elect to receive an optional COLA amount that
provides an automatic annual adjustment based on the Consumer Price Index. The adjustment is capped at three percent
annually. To offset the cost of the annual adjustment, the benefit is reduced.
PERS Plan 2 members are vested after completion of five years of eligible service. Plan 2 members may retire at the age of 65
with five years of service with an allowance of two percent of the AFC per year of service. (The AFC is based on the greatest
compensation during any eligible consecutive 60 -month period.) Plan 2 members who retire prior to the age of 65 receive
reduced benefits. If retirement is at age 55 or older with at least 30 years of service, a three percent per year reduction applies;
otherwise an actuarial reduction will apply. The benefit is also actuarially reduced to reflect the choice of a survivor option.
There is no cap on years of service credit; and a cost -of -living allowance is granted (based on the Consumer Price Index),
capped at three percent annually.
Plan 3 has a dual benefit structure. Employer contributions finance a defined benefit component, and member contributions
finance a defined contribution component. The defined benefit portion provides a benefit calculated at 1 percent of the AFC per
year of service. (The AFC is based on the greatest compensation during any eligible consecutive 60 -month period.) Effective
June 7, 2006, Plan 3 members are vested in the defined benefit portion of their plan after ten years of service; or after five years
of service, if twelve months of that service are earned after age 44: or after five service credit years earned in PERS Plan 2 prior
to June 1, 2003. Plan 3 members are immediately vested in the defined contribution portion of their plan. Vested Plan 3
members are eligible to retire with full benefits at age 65, or they may retire at age 55 with 10 year of service. Plan 3 members
who retire prior to the age of 65 receive reduced benefits. If retirement is at age 55 or older with at least 30 years of service, a 3
percent per year reduction applies; otherwise an actuarial reduction will apply. The benefit is also actuarially reduced to reflect
the choice of a survivor option. There is no cap on years of service credit; and Plan 3 provides the same cost -of -living
allowance as Plan 2.
The defined contribution portion can be distributed in accordance with an option selected by the member, either as a lump sum
or pursuant to other options authorized by the Employee Retirement Benefits Board.
Judicial Benefit Multiplier
Beginning January 1, 2007 through December 31, 2007, judicial members of PERS were given the choice to participate in the
Judicial Benefit Multiplier Program (JBM) enacted in 2006. Justices and judges in PERS Plan 1 and 2 were able to make a
one -time irrevocable election to pay increased contributions that would fund a retirement benefit with a 3.5% multiplier. The
benefit would be capped at 75% of AFC. Judges in PERS Plan 3 could elect a 1.6% of pay per year of service benefit, capped
at 37.5% average compensation.
City of Bremerton / 51
Members who chose to participate in JBM would: accrue service credit at the higher multiplier beginning with the date of their
election, be subject to the benefit cap of 75% of AFC, pay higher contributions, stop contributing to the Judicial Retirement
Account QRA), and be given the option to increase the multiplier on past judicial service. Members who did not choose to
participate would: continue to accrue service credit at the regular multiplier; continue to participate in JRA, if applicable; never
be a participant in the JBM Program; and continue to pay contributions at the regular PERS rate.
Newly elected or appointed justices and judges who chose to become PERS members on or after January 1, 2007, or who had
not previously opted into PERS membership, were required to participate in the JBM Program. Members required into the
JBM Program would: return to prior PERS Plan if membership had previously been established; be mandated into Plan 2 and
not have a Plan 3 transfer choice, if a new PERS member; accrue the higher multiplier for all judicial service; not contribute to
JRA; and not have the option to increase the multiplier for past judicial service.
Statewide there are 1,192 participating employers in PERS. Membership in PERS consisted of the following as of the latest
actuarial valuation date for the plans of June 30, 2008:
Retirees and beneficiaries receiving benefits
73,122
Terminated plan members entitled to but not yet receiving benefits
27,267
Active plan members vested
105,212
Active plan members non - vested
56,456
Total
262,057
2. Funding Policy
Each biennium, the state Pension Funding Council adopts Plan 1 employer contribution rates, Plan 2 employer and employee
contribution rates, and Plan 3 employer contribution rates. Employee contribution rates for Plan 1 are established by statute at
six percent for state agencies and local government unit employees, and at a 7.5 percent for state government elected officials.
The employer and employee contribution rates for Plan 2 and the employer contribution rate for Plan 3 are developed by the
Office of the State Actuary to fully fund Plan 2 and the defined benefit portion of Plan 3. All employers are required to
contribute at the level established by the Legislature. Under PERS 3 employer contributions finance the defined benefit portion
of the plan, and member contributions finance the defined contribution portion. The Employee Retirement Benefits Board set
Plan 3 employee contribution rates. Six rate options are available ranging from 5 to 15 percent; two of the options are
graduated rates dependent on the employee's age. As a result of the implementation of the Judicial Benefit Multiplier Program
in January 2007, a second tier of employer and employee rates was developed to fund, along with investment earnings, the
increased retirement benefits of those justices and judges that participate in the program. The methods used to determine the
contribution requirements are established under state statute in accordance with chapters 41.40 and 41.45 RCW.
The required contribution rates expressed as a percentage of current-year covered payroll, as of December 31, 2009 were as
follows for Members not participating in JBM:
* The employer rates include the employer administrative expense fee currently set at 0.16 %.
** The employer rate for state elected officials is 7.89% for Plan 1 and 5.31% for Plan 2 and 3.
** * Plan 3 defined benefit portion only.
** The employee rate for state elected officials is 7.50% for Plan 1 and 3.90% for Plan 2.
* * * ** Variable from 5.0% minimum to 15.0% maximum based on rate selected by the PERS 3 member.
Members Participating in JBM:
PERS Plan I
PERS Plan 2
PERS Plan 3
Employer *
5.31 % **
5.31 % **
5.31 % * **
Employee
6.00 % * * **
3.90 % * * **
* * * **
* The employer rates include the employer administrative expense fee currently set at 0.16 %.
** The employer rate for state elected officials is 7.89% for Plan 1 and 5.31% for Plan 2 and 3.
** * Plan 3 defined benefit portion only.
** The employee rate for state elected officials is 7.50% for Plan 1 and 3.90% for Plan 2.
* * * ** Variable from 5.0% minimum to 15.0% maximum based on rate selected by the PERS 3 member.
Members Participating in JBM:
*The employer rates include the employer administrative expense fee currently set at 0.16 %.
* *Plan 3 defined benefit portion only.
** *Minimum rate.
PERS Plan I
PERS Plan 2
PERS Plan 3
Employer -State Agency*
7.81%
7.81%
7.81 % **
Employer -Local Agency*
5.31%
5.31%
5.31%**
Employee -State Agency
9.76%
7.25%
7.50 % **
Employee -Local Agency
12.26%
9.75%
7.50 % **
*The employer rates include the employer administrative expense fee currently set at 0.16 %.
* *Plan 3 defined benefit portion only.
** *Minimum rate.
City of Bremerton / 52
Both the City and the employees made the required contributions. The City's required contributions for the years ended
December 31 were:
B. Law Enforcement Officers' and Fire Fighters' Retirement System (LEOFF) Plans 1 and 2
1. Plan Description
LEOFF is a cost - sharing multiple - employer retirement system comprised of two separate defined benefit plans. LEOFF
participants who joined the system by September 30, 1977 are Plan 1 members. Those who joined on or after October 1, 1977
are Plan 2 members. Membership in the system includes all full-time, fully compensated, local law enforcement officers,
firefighters and, as of July 24, 2005, those emergency medical technicians who were given the option and chose LEOFF Plan 2
membership. LEOFF membership is comprised primarily of non -state employees, with Department of Fish and Wildlife
enforcement officers, who were first included prospectively effective July 27, 2003, being an exception.
Effective July 1, 2003, the LEOFF Plan 2 Retirement Board was established by Initiative 790 to provide governance of LEOFF
Plan 2. The Board's duties include adopting contribution rates and recommending policy changes to the Legislature for the
LEOFF Plan 2 retirement plan.
LEOFF defined benefit retirement benefits are financed from a combination of investment earnings, employer and employee
contributions, and a special funding situation in which the state pays through state legislative appropriations. LEOFF retirement
benefit provisions are established in state statute and may be amended by the State Legislature.
LEOFF Plan 1 members are vested after the completion of five years of eligible service. Plan 1 members are eligible for
retirement with five years of service at the age of 50. The benefit per year of service calculated as a percent of final average
salary is as follows:
Term of Service
PERS Plan I
PERS Plan 2
PERS Plan 3
2009
$ 99,725
$ 778,836
$ 106,514
2008
$ 147,125
$ 829,085
$ 104,356
2007
$ 83,897
$ 646,675
$ 71,610
B. Law Enforcement Officers' and Fire Fighters' Retirement System (LEOFF) Plans 1 and 2
1. Plan Description
LEOFF is a cost - sharing multiple - employer retirement system comprised of two separate defined benefit plans. LEOFF
participants who joined the system by September 30, 1977 are Plan 1 members. Those who joined on or after October 1, 1977
are Plan 2 members. Membership in the system includes all full-time, fully compensated, local law enforcement officers,
firefighters and, as of July 24, 2005, those emergency medical technicians who were given the option and chose LEOFF Plan 2
membership. LEOFF membership is comprised primarily of non -state employees, with Department of Fish and Wildlife
enforcement officers, who were first included prospectively effective July 27, 2003, being an exception.
Effective July 1, 2003, the LEOFF Plan 2 Retirement Board was established by Initiative 790 to provide governance of LEOFF
Plan 2. The Board's duties include adopting contribution rates and recommending policy changes to the Legislature for the
LEOFF Plan 2 retirement plan.
LEOFF defined benefit retirement benefits are financed from a combination of investment earnings, employer and employee
contributions, and a special funding situation in which the state pays through state legislative appropriations. LEOFF retirement
benefit provisions are established in state statute and may be amended by the State Legislature.
LEOFF Plan 1 members are vested after the completion of five years of eligible service. Plan 1 members are eligible for
retirement with five years of service at the age of 50. The benefit per year of service calculated as a percent of final average
salary is as follows:
Term of Service
Percent of Final Average Sala
20 or more years
2.0%
10 but less than 20 years
1.5%
The final average salary is the basic monthly salary received at the time of retirement, provided a member has held the same
position or rank for 12 months preceding the date of retirement. Otherwise, it is the average of the highest consecutive 24
months' salary within the last 10 years of service. A cost -of -living allowance is granted (indexed to the Seattle Consumer Price
Index).
Plan 2 members are vested after the completion of five years of eligible service. Plan 2 members may retire at the age of 50
with 20 years of service or, at 53 with five years of service, with an allowance of 2 percent of the final average salary per year of
service. The final average salary is based on the highest consecutive 60 months. Plan 2 members who retire prior to the age 53
receive reduced benefits. Benefits are actuarially reduced for each year that the benefit commences prior to age 53 and to
reflect the choice of a survivor option. If the member has at least 20 years of service and is age 50, the reduction is three percent
for each year prior to age 53. There is no cap on years of service credit; and a cost -of -living allowance is granted (indexed to the
Seattle Consumer Price Index), capped at three percent annually.
There are 375 participating employers in LEOFF. Membership in LEOFF consisted of the following as of the latest actuarial
valuation date for the plans of June 30, 2008:
Retirees and beneficiaries receiving benefits
9,268
Terminated plan members entitled to but not yet receiving benefits
650
Active plan members vested
13,120
Active plan members non - vested
3,927
Total
26,965
City of Bremerton / 53
2. Funding Policy
Starting on July 1, 2000, LEOFF Plan 1 employers and employees contribute zero percent as long as the plan remains fully
funded. Employer and employee contribution rates are developed by the Office of the State Actuary to fully fund the plan.
LEOFF Plan 2 employers and employees are required to pay at the level adopted by LEOFF Plan 2 Retirement Board. All
employers are required to contribute at the level required by state law. The Legislature, by means of a special funding
arrangement, appropriated money from the state General Fund to supplement the current service liability and fund the prior
service costs of LEOFF Plan 2 in accordance with the requirements of the Pension Funding Council and the LEOFF Plan 2
Retirement Board. However, this special funding situation is not mandated by the state constitution and this fund requirement
could be returned to the employers by a change of statute.
The required contribution rates expressed as a percentage of current-year covered payroll, as of December 31, 2009 were:
*The employer rates include the employer administrative expense fee currently set at 0.16 %.
Both the City and the employees made the required contributions. The City's required contributions for the years ended
December 31 were:
LEOFF Plan 1
LEOFF Plan 2
Employer*
0.16%
5.24%
Employee
0.00%
8.46%
State
N/A
3.38%
*The employer rates include the employer administrative expense fee currently set at 0.16 %.
Both the City and the employees made the required contributions. The City's required contributions for the years ended
December 31 were:
C. Public Safety Employees' Retirement System (PSERS) Plan 2
1. Plan Description
PSERS is a cost - sharing multiple - employer retirement system comprised of a single defined benefit plan, PSERS Plan
2. PSERS was created by the 2004 legislature and became effective July 1, 2006.
PSERS Plan 2 membership includes full-time employees of a covered employer on or before July 1, 2006, who met at
least one of the PSERS eligibility criteria, and elected membership during the election period of July 1, 2006 to
September 30, 2006; and those full-time employees, hired on or after July 1, 2006 by a covered employer, that meet at
least one of the PSERS eligibility criteria.
A covered employer is one that participates in PSERS. Covered employers include: State of Washington agencies:
Department of Corrections; Parks and Recreation Commission, Gambling Commission, Washington State Patrol, and
Liquor Control Board; Washington state counties; and Washington state cities except for Seattle, Tacoma and Spokane.
To be eligible for PSERS, an employee must work on a full-time basis and:
• Have completed a certified criminal justice training course with authority to arrest, conduct criminal
investigation, enforce the criminal laws of Washington, and carry a firearm as part of the job: OR
• Have primary responsibility to ensure the custody and security of incarcerated or probationary individuals; OR
• Function as a limited authority Washington peace officer, as defined in RCW 10.93.020; OR
• Have primary responsibility to supervise eligible members who meet the above criteria
LEOFF
Plan I
LEOFF
Plan 2
2009
$
738
$
556,767
2008
$
1,077
$
532,691
2007
$
1,159
$
467,863
2006
$
1,201
$
384,238
C. Public Safety Employees' Retirement System (PSERS) Plan 2
1. Plan Description
PSERS is a cost - sharing multiple - employer retirement system comprised of a single defined benefit plan, PSERS Plan
2. PSERS was created by the 2004 legislature and became effective July 1, 2006.
PSERS Plan 2 membership includes full-time employees of a covered employer on or before July 1, 2006, who met at
least one of the PSERS eligibility criteria, and elected membership during the election period of July 1, 2006 to
September 30, 2006; and those full-time employees, hired on or after July 1, 2006 by a covered employer, that meet at
least one of the PSERS eligibility criteria.
A covered employer is one that participates in PSERS. Covered employers include: State of Washington agencies:
Department of Corrections; Parks and Recreation Commission, Gambling Commission, Washington State Patrol, and
Liquor Control Board; Washington state counties; and Washington state cities except for Seattle, Tacoma and Spokane.
To be eligible for PSERS, an employee must work on a full-time basis and:
• Have completed a certified criminal justice training course with authority to arrest, conduct criminal
investigation, enforce the criminal laws of Washington, and carry a firearm as part of the job: OR
• Have primary responsibility to ensure the custody and security of incarcerated or probationary individuals; OR
• Function as a limited authority Washington peace officer, as defined in RCW 10.93.020; OR
• Have primary responsibility to supervise eligible members who meet the above criteria
City of Bremerton / 54
PSERS defined benefit retirement payments are financed from a combination of investment earnings and employer and
employee contribution. PSERS retirement benefit provisions are established in state statute and may be amended only
by the State Legislature.
PSERS Plan 2 members are vested after completion of five years of eligible service. PSERS Plan 2 members may retire
at the age of 65 with five years of service, or at the age of 60 with at least 10 years of PSERS service credit, with an
allowance of 2 percent of the average final compensation per year of service. The average final compensation is the
monthly average of the member's 60 consecutive highest -paid service credit month excluding any severance pay such
as lump -sum payments for deferred sick leave, vacation or annual leave. Plan 2 members who retire prior to the age of
60 receive reduced benefits. If retirement is at age 53 or older with at least 20 years of service, a 3 percent per year
reduction for each year between the age at retirement and age 60 applies. There is no cap on years of service credit; and
a cost -of -living allowance is granted (indexed to the Seattle Consumer Price Index), capped at 3 percent annually.
There are 73 participating employers in PSERS. Membership in PSERS consisted of the following as of the latest
actuarial valuation date for the plan of June 30, 2008:
Retirees and beneficiaries receiving benefits
1
Terminated plan members entitled to but not yet receiving benefits
0
Active plan members vested
0
Active plan members non - vested
3,981
Total
3,982'
2. Funding Policy
Each biennium, the state Pension Funding Council adopts PSERS Plan 2 employer and employee contribution rates.
The employer and employee contribution rates for Plan 2 are developed by the Office of the State Actuary to fully fund
Plan 2. All employers are required to contribute at the level established by the Legislature. The methods used to
determine the contribution requirements are established under state statute in accordance with chapters 41.37 and 41.45
RCW.
The required contribution rates expressed as a percentage of current -year covered payroll, as of December 31, 2009
were as follows:
PSERS Plan 2
Employer* 7.85%
Employee 6.55%
*The employer rate includes an employer administrative expense fee of 0.16 %.
Both the City and the employees made the required contribution. The City's required contributions for the year ended
December 31, 2009 were as follows:
8. Risk Management
The City's Risk Management Fund is used to finance its various exposures to loss. These exposures include theft, damage or
destruction of assets, errors and omissions, property damage and injury of others. Smaller losses are self - insured while
commercially available excess insurance is purchased for many larger losses. The City's General and Utility funds participate
in financing the Risk Management Fund.
PSERS Plan 2
2009
$ 9,627
2008
$ 9,868
2007
$ 8,934
8. Risk Management
The City's Risk Management Fund is used to finance its various exposures to loss. These exposures include theft, damage or
destruction of assets, errors and omissions, property damage and injury of others. Smaller losses are self - insured while
commercially available excess insurance is purchased for many larger losses. The City's General and Utility funds participate
in financing the Risk Management Fund.
City of Bremerton / 55
Following is a summary of the City's 2009 insurance coverage and risk retention:
12/01/27
15 /5.25 $
Coverage Limit
Self - Insured
12/01/28
Risk
Per Occurrence
Retention
Insurer
Excess liability
$5,000,000
$250,000
Illinois Union Insurance Company
Excess workers' compensation
Statutory
350,000
Safety National Casualty Corporation
Blanket property
55,000,000
100,000
Affiliated FM Insurance Company
Employee blanket bond
1,000,000
25,000
Great American Insurance Company
Pollution legal liability
1,000,000
100,000
Indian Harbor Insurance Company
The risk manager and claims administrators establish reserves for open claims on a case by case basis, after an assessment of
each claim's settlement value. Actuarial techniques are used to estimate the long -tern liability of the fund for both reported and
unreported losses. As of December 31, 2009, the Risk Management Fund had cash reserves of $1,537,588. Long -term fund
liabilities have been estimated at $1,069,164. Cash balances adequate to pay currently due claims have been available in the
fund since its inception in 1986. In the last three years, no settlement has exceeded the limit of liability on applicable insurance
policies. The expected annual level of incurred claims is approximately $554,000.
The following table shows the actual claims activity for 2008 and 2009:
Claims liability - beginning of year
Claims incurred
Estimate change prior years
Payment on claims
Expected insurance xecovery
Claims liability - end of year
$ 923,325
867,703
265,483
(437,690)
1,618,821
$ 1,618,821
306,531
(24,206)
(266,982)
1,634,164
9. Long -term Debt
A. Long Term Debt
The City issues general obligation and revenue bonds to finance the purchase or construction of capital assets. Bonded
indebtedness has also been entered into to advance refund G.O. bonds. General obligation and revenue bonds have
been issued for both general government and business -type activities and are being repaid from the applicable
resources.
General obligation bonds currently outstanding are as follows:
2002 Public SafetyUTGO
12/01/27
15 /5.25 $
10,545,000
2003 Weekly Rate Demand Conference Ctr (Councilmanic)
12/01/28
VARIABLE
4,430,185
Government Center Real Estate Contract
06/01/34
1.6/5
5,735,000
2005 Sports & Public Works ComplexRef LTGO
09/06/05
3.69
764,000
2009 LTGO Refunding
12/31/28
3.0 / 4.5
5,373,000
Total General Obligation Bonds and Notes
$
26,847,185
City of Bremerton / 56
The annual debt service requirements to maturity for general obligation bonds are as follows:
2010 771,500
827,947
105,000
161,190
2011 960,476
798,077
105,000
158,040
2012 1,001,923
765,765
105,000
180,705
2013 773,371
73 1,909
105,000
177,030
2014 809,397
706,492
200,000
198,120
2015 -2019 4,586,487
3,089,522
1,328,000
935,635
2020 -2024 5,683,410
2,137,988
1,734,000
621,450
2025 -2029 5,277,622
890,268
1,691,000
194,445
2030 -2034 1,609,999
230,000
Total $ 21,474,185 $
10,177,968 $
5,373,000 $
2,626,615
Revenue bonds and loans currently outstanding are as follows_
Maturity
Interest
Outstanding
Date
Rate
12/31/2009
1994 PWTF Loan - Warren Ave CSO
07/01/14
1.0 $
798,030
1995 PWTF Loan WWTP improvements
07/01/15
1.0
1,111,403
1996 PWTF Loan Callow Ave CSO I
07/01/16
1.0
1,060,117
1997 PWTF Loan Callow Ave CSO II
07/01/17
1.0
282,016
1998 PWTF Loan SR 303 water main
07/01/18
1.0
1,492,106
1999 PWTF Loan Tracyton water sys ph2
07/01/19
2.0
99,074
1999 PWTF Loan CSO design
07/01/20
2.0
487,925
2000 PWTF Loan Multi -Basin CSO
07/01/20
1.0
1,642,584
2000 PWTF Loan Callow CSO 3 -5
07/01/20
1.0
2,457,725
2001 PWTF Loan East Bremerton CSO
07/01/21
0.5
1,900,000
2003 PWTF Loan Anderson Cove Basin 12
07/01/23
0.5
403,885
2003 PWTF Loan Naval Avenue
07/01/23
4.0
184,210
2004 PWTF Loan Brentwood storm drain red
07/01/24
4.0
147,964
2004 PWTF Loan Pacific Ave Basin CSO
07/01/24
0.5
783,157
2006 PWTF Loan WWTP upgrade
07/01/10
0.5
170,760
2006 PWTF Loan SW Bremerton sewer
07/01/11
0.5
297,917
2007 PWTF Anderson Cove sewer PS CWl
07/01/27
0.5
639,474
2007 PWTF Sheldon Blvd sewer repl
07/01/27
2.0
56,842
2007 PWTF WWTP upgrades
07/01/27
0.5
1,278,947
1994 CCWF Loan Callow Ave CSO design
05/01/17
0.0
279,529
1997 CCWF Loan Callow Ave CSO I
07/31/18
4.8
1,517,599
1998 DWSRF Loan corrosion control facility
10/01/18
4.0
495,150
2009 DWSRF UV Treatment Upgrade (ARRA)
10/1/17
0.0
355,072
2001 DWSRF Loan Tracyton WD upgrade
10/01/21
2.5
1,674,988
2002 DWSRF Loan Eastside flow & pressure
10/1/22
2.5
793,263
2002 DWSRF Loan Casad Dam seismic upgrade
10/1/22
2.5
510,585
2003 DWSRF Loan Casad Dam intake tower
10/01/23
1.5
61,612
2003 DWSRF Loan Pump Station 4 upgrade
10/01/23
1.5
806,557
2004 DWSRF Loan Anderson Creek
10/01/24
1.5
80,727
City of Bremerton / 57
2004 DWSRF Loan seismic upgrades
10/01/24
1.5
424,474
1999 WPCRF Loan CSO plan update
12/31/22
1.5
175,794
1999 WPCRF Loan Anderson Cove CSO
02/27/21
1.5
599,476
1999 WPCRF Loan Callow Ave CSO final
12/31/22
1.5
406,554
2002 WPCRF Loan Anderson CV CSO red
1/23/22
1.5
431,444
2002 WPCRF Loan Cherry /Trenton CSO red
10/15/24
1.5
814,861
2002 WPCRF Loan Trenton pump station
10/15/24
1.5
814,334
2002 WPCRF Loan Tracyton Beach CSO
12/31/25
1.5
488,346
2002 WPCRF Loan Anderson Cove Basin 12
12/31/26
1.5
223,751
2003 WPCRF Pacific Ave CSO red -sep
6/30/24
1.5
244,526
2003 WPCRF Loan Pacific Ave CSO reduction
12/31/27
1.5
975,360
2004 WPCRF Loan Charry /Trenton CSO red -1
12/31/26
1.5
977,375
2007 WPCRF WWTO upgrade
1/1/29
2.6
97,824
2007 W/S Refunding Revenue bond
12/01/21
4.3
4,590,000
2003 Weekly Rate Demand Conference Ctr
12/1/28
Variable
5,244,815
Total revenue bonds and loans
$
38,378,152
Revenue bond and loan debt service requirements to maturity are as follows:
2010 $
- $
14,161 $
2,924,679 $
611,912
2011
187,024
13,656
2,943,968
562,212
2012
200,577
13,114
2,822,762
510,590
2013
214,129
12,537
2,921,959
458,640
2014
233,103
11,907
2,945,589
391,501
2015 -2019
1,268,513
49,457
12,292,479
1,240,674
2020 -2024
1,469,090
30,753
5,467,112
248,893
2025 -2029
1 ,672,379
8,248
8 14,789
17,272
Total $
5,244,815 $
153,833 $
33,133,337 $
4,041,694
On February 20, 2003, the City issued $10,865,000 principal amount of Weekly Rate Demand Revenue Bonds, 2003,
(Kitsap Regional Conference Center Parking Garage). Those bonds are secured by a letter of credit from Bank of
America (the `Bank ") that initially expired on February 10, 2006, and was extended. The current letter of credit expires
on August 10, 2010. The City agreed to repay the Bank for draws on the letter of credit that are not paid from
remarketing the bonds as a general obligation of the City, with a cap on such reimbursement obligation of $4,975,139.
The City is currently reviewing its options regarding these bonds, which may include extending the Bank's letter of
credit, obtaining a new letter of credit, or issuing fixed rate bonds to refund the bonds. If fixed rate bonds are issued,
they could be a combination of revenue bonds and limited tax general obligation bonds or solely limited tax general
obligation bonds.
The interest rate on the 2003 Weekly Rate Demand bonds is determined weekly by the Remarketing Agent. The rate
determined is the minimum rate which in its judgment, on the basis of prevailing financial market conditions, would
permit the sale of the 2003 bonds at par on the determination date, such rate to be the weekly rate for the next rate period.
If the remarketing agent fails to make such determination on any determination date, the weekly rate for the next
succeeding rate period shall be the rate in effect for the immediately preceding rate period. The effective rate at
December 31, 2009 was .27 %.
In 2009 the City was awarded a $6,060,000 Drinking Water Assistance loan, funded through the American Recovery and
Reinvestment Act of 2009 for the design and construction of a UV Treatment and Chlorine disinfection Facility. Terms
City of Bremerton / 58
of the loan provide that at project completion, the lesser of the loan amount less the loan fee or the actual eligible costs
less the loan fee will be forgiven. The outstanding balance on this loan at 12/31/09 was $355,072. The project is
scheduled for completion in 2011.
In proprietary funds, unamortized debt issue costs are recorded as deferred charges and bonds are displayed net of
premium or discount. Annual interest expense is decreased by amortization of debt premium and increased by the
amortization of debt issue costs and discount.
At December 31, 2009, the city has $262,834 available in debt service funds to service the general bonded debt.
Restricted assets in proprietary funds contain $1,298,061 in sinking funds and reserves as required by bond indentures.
B. Refunded Debt
The city issued $5,373,000 of general obligation refunding bonds during 2009 to provide resources to purchase U.S.
Government and State and Local Government Series securities that were placed in an irrevocable trust for the purpose of
generating resources for all future debt service payments on $5,075,000 of refunded debt. As a result, the refunded
bonds are considered to be defeased and the liability has been removed from the governmental activities column of the
statement of net assets. This advance refunding was undertaken to provide greater flexibility in managing the City's
Gold Mountain Golf Complex. The refunding extended the repayment period by eight years, reduced annual debt service
over the life of the refunded bonds by approximately $193,500 and resulted in an economic gain of $52,272.
C. Changes in Long Term Liabilities
During the year ended December 31, 2009, the following changes occurred in long -term liabilities:
Governmental Activities:
Bonds payable:
General obligation bonds
Revenue bonds
Add unamortized premiums
Less deferred refunding expense
Total bonds payable:
Claims and judgments
Compensated absences
Governmental activity
long -term liabilities:
$ 22,349,767
5,404,733
118,382
(39,869) 9,568
27,833,013 9,568
1,618,821 15,343
1,500,985 63,607
$ 875,582 $ 21,474,185 $ 771,500
159,918 5,244,815
6,258 112,124
- (30,301) -
1,041,758 26,800,823 771,500
1,634,164 565,000
1,564,592 1,369,929
$ 30,952,819 $ 88,518 $ 1,041,758 $ 29,999,579 $ 2,706,429
City of Bremerton / 59
Business -type Activities:
Bonds payable:
General obligation bonds
Revenue bonds
Less OID on GO bonds
Less deferred refunding expense
Total bonds payable:
Intergovernmental loans
Note payable
Compensated Absences
Business -type activity
long -term liabilities:
$ 5,075,000
$ 5,373,000
$ 5,075,000
$ 5,373,000
$ 105,000
4,910,000
320,000
4,590,000
330,000
(7,363)
7,363
-
-
6,376
286,935
(280,559)
9,977,637
5,386,739
5,681,935
9,682,441
435,000
29,204,414
1,927,019
2,588,096
28,543,337
2,594,679
111,233
111,233
437,360
108,042
545,402
442,467
$ 39,730,644
$ 7,421,800
$ 8,270,031
$ 38,882,413
$ 3,472,146
The Risk Management and Information Technology internal service funds predominantly serve the governmental funds.
Accordingly, long -term liabilities for them are included as part of the above totals for governmental activities. At year
end $1,634,164 of Risk Management claims and judgments and $30,997 of compensated absences are included in the
above amounts.
10. Contingencies, Litigation and Claims
In March 1993, the City entered into an Order on Consent with the Department of Ecology for reduction of combined sewer
overflows (CSOs) including separation of combined sanitary and storm sewers. All required improvements were completed at
the end of 2009 at a total cost of $50.3 million.
In 1993 the City also entered into a Consent Decree with the Puget Soundkeeper's Alliance (PSA), a citizens' group authorized
to commence an action under the Federal Clean Water Act. Since entering the Consent Decree, PSA and the City were involved
in mediation, which has resulted in the acceleration of several CSO projects, and a reordering of the schedule for construction of
the remaining projects. Satisfactions of the liabilities under the above Order on Consent and this Consent Decree have been
accomplished concurrently.
The Kitsap County Housing Authority issued Variable Rate Demand Revenue Bonds, 2005 in the principal amount of
$22,200,000, which were secured by a letter of credit. The proceeds of those bonds were used to develop the Harborside
Condominiums in the City. The County agreed to loan the Housing Authority up to $22,200,000 plus interest in the event the
Housing Authority does not have sufficient funds to reimburse the bank which provided the letter of credit ( "LOC ") securing
those bonds for draws on the LOC. The City entered into an agreement with the Housing Authority and the County pursuant to
which the City agreed to loan the Housing Authority up to $2,000,000 in the event the bank letter of credit was drawn on, the
County had lent $22,200,000 to the Housing Authority to reimburse the bank for draw on the letter of credit and there were not
funds available to pay a portion of the bank reimbursement. In 2009, the Housing Authority drew the full amount of the bank
letter of credit to repay the bonds, and the Housing Authority and the County entered into an agreement under which the County
borrowed money to loan to the Housing Authority to reimburse the bank. The County and the Housing Authority have
demanded that the City loan $2,000,000 to the Housing Authority under its agreement. The City had indicated to the Housing
Authority and County that it does not believe that it is obligated to loan up to $2,000,000 because the terms of the agreement
were not followed. Although it is possible a lawsuit might be filed in this matter, the parties are actively working to resolve the
matter. The City cannot predict how this matter will be resolved.
The City participates in a number of federal and state assisted programs. These grants are subject to audit by the grantor or their
representatives. Such audits could result in requests for reimbursement to grantor agencies for expenditures disallowed under the
terms of the grants. Management believes that such disallowances, if any, will be immaterial.
City of Bremerton / 60
11. Restricted Net Assets
The government -wide statement of net assets reports $4,730,847 of restricted net assets, all of which is restricted by
enabling legislation.
12. Interfund Balances and Transfers
A. Interfund Balances
Interfund balances at December 31, 2009 were as follows:
Total
$ 418,229
33 9, 045
2,580
1,175
177,062
$ 93 8, 091
Interfund balances at year end were a result of outstanding interfund loans as well as amounts due for services provided
between funds. Amounts due for services will be liquidated early in 2010. Interfund loans are approved by City Council
Resolution and include a repayment date. The following schedule is a summary of loans outstanding at year end
including the year of final payment.
B. Interfund Transfers
Interfund transfers at December 31, 2009 were as follows:
General
Fund
Other
Govt
Water
Waste-
Water
Other
Golf Prop
Internal
Service
at Fund
$ -
$ 201,848
$ 66,488
$ 127,261
$ 198 $ 22,434
$ -
governmental funds
165,000
174,045
-
-
- -
- 346,750
-
-
-
-
1,175
1,405
water
1,175
-
.; Water
-
al Service
- -
39,406
-
39,406'
i~
177,062
Total
$ 165,000
$ 375,893
ro $ 67,663
$ 128,436
$ 198 $ 22,434
$ 178,467
Total
$ 418,229
33 9, 045
2,580
1,175
177,062
$ 93 8, 091
Interfund balances at year end were a result of outstanding interfund loans as well as amounts due for services provided
between funds. Amounts due for services will be liquidated early in 2010. Interfund loans are approved by City Council
Resolution and include a repayment date. The following schedule is a summary of loans outstanding at year end
including the year of final payment.
B. Interfund Transfers
Interfund transfers at December 31, 2009 were as follows:
Interfund transfers are the flow of assets without equivalent flows of assets in return and without a requirement for
repayment. Generally funds flow between funds with tax or other resources to funds for payment of debt service, capital
construction or in support of operations. This category also includes payment in lieu of taxes levied by the General fund
on city utility funds that are not payments for, and are not reasonably equivalent in value to, services provided.
Total $ 697,858 $ 451,185 $ 1,149,043
General
Fund
Other
Govt
Waste-
Water Water
Other
Prop
Internal
Service
Total
General Fund
$ -
$ 889,264
$ 1,004,461 $ 1,579,797
$ 244,916
$ 1,000,000 $
4,718,438
E�
Other governmental funds
994,739
1,355,883
- 346,750
-
-
2,697,372
.; Water
-
-
- -
39,406
-
39,406'
i~
Wastewater
-
1,286,063
1,286,063 '
F
Internal Service
-
-
- 155,408
92,000
247,408
Total
$ 994,739
$ 2,245,147
$ 1,004,461 $ 2,081,955
$ 1,662,385
$ 1,000,000 $
8,988,687
Interfund transfers are the flow of assets without equivalent flows of assets in return and without a requirement for
repayment. Generally funds flow between funds with tax or other resources to funds for payment of debt service, capital
construction or in support of operations. This category also includes payment in lieu of taxes levied by the General fund
on city utility funds that are not payments for, and are not reasonably equivalent in value to, services provided.
Total $ 697,858 $ 451,185 $ 1,149,043
City of Bremerton / 61
There were several significant transfers during 2009. The Contingency Reserve fund transferred $445,280 of proceeds
received from the sale of City property to the General fund for ongoing operations and another $400,000 of net proceeds
from the sale of the West Hills precinct to the Parks Capital Improvement fund to support the parks maintenance
building project.
General Government Capital Improvement fund transferred $346,000 to support the Memorial Plaza and Commons
capital improvement program.
The Wastewater fund transferred $346,750 to the Boardwalk fund to support the Former Chevron Property Cleanup.
The Utility Debt Reserve fund was closed and required bond reserves were transferred to the Water ($39,406) and
Wastewater ($1,186,063) funds where reserves will be held as restricted assets until outstanding loans are retired.
The Equipment Rental Reserve fund transferred $1,000,000 of excess reserves to the General fund in support of ongoing
operations.
13. Receivable and Payable Balances
A. Receivables
Receivables at Doc enber3l, 2009 were as follows:
Governmental Activities:
GeneralFund
Non -maj or and other fiends
Reconciliation ofbalances in fiord financial
statements to government wide financial
statements
Total governmental activities
Business -Type Activities:
Water
Golf
Wastewater
Non -maj or and other fiends
Reconciliation ofbalances in fiord financial
statements to government wide financial
statements
Total business -type activities
$ 858,438 $ 2,300,972 $ - $ - $ 136,875 $ 2,435 $ 3,298,720
119,135 313,791 $ 866,812 24,500 228,198 68,461 1,620,897
-
-
9,489
9,489
$ 977,573
$ 2,614,763 $ 866,812 $ 24,500
$ 365,073
$ 80,385
$ 4,929,106
DLie from
Loans Notes
Other
Acco Lin is
Taxes Receivable Contracts
Government
Other
Total
$ 1,445,384
918,937
29,324
$ 11,350
$ 2,404,995
-
3,372
-
1,770
5,142
2,534,243
-
126,712
66,927
2,727,882
454,836
1,073
3,526
459,435
$ 4,434,463 $ $
2,920 8,136 11,056
$ 925,229 $ 157,109 $ 91,709 $ 5,608,510
City of Bremerton / 62
B. Payables
Payables atDecember 31,2009 were as follows:
Governmental Activities:
GeneralFund
Non-major and other funds
S 520228 S 812,628 S
356252 183,848
$ 512 S $ - S 1,333,368
20,213 97,382 657,695
Reconciliation ofbalances in fund
financial statements to government-
wide financial statements
Total governmental activities
73,792 1,607,730
S 950272 S 2,604,206 S
256 1,634,164 S 44,855 3,360,797
$ 20,981 S 1,634,164 S 142,237 S 5,351,860
Business -Type Activities:
Water S
655,895 S
397,540 S 58,409 S 809 S
$ 118,633 S
1,231286
Golf
49,673
1,268 - -
3,817
54,758
Wastewater
663,941
338,617 1,802
145,914
1,150274
Non major and other funds
14,378
128,698 -
2,959
146,035
Reconciliation ofbalances in fund
financial statements to government-
wide financial statements
232,121
140 5
-
232266
Total business -type activities S 1,616,008 S 866,263 S 58,409 S 2,616 S - S 271,323 S 2,814,619
14. Post Employment Benefits other than Pension
Statement No. 45 of the Governmental Accounting Standards Board, Accounting and Financial Reporting by Employers
for Postemployment Benefits Other Than Pensions, establishes standards for reporting of post employment benefits other
than pensions for financial statement for periods beginning after December 15, 2007. For the purposes of implementing
the requirements of this statement, the year ending 12/31/08 was the transition year.
Plan Description
As required by the Revised Code of Washington (RCW) Chapter 41.26, the City provides lifetime medical care for
members of the Law Enforcement Officers and Firefighters (LEOFF) retirement system hired before October 1, 1977
under a defined benefit healthcare plan administered by the City. The members necessary hospital, medical, and nursing
care expenses not payable by worker's compensation, social security, insurance provided by another employer, other
pension plan, or any other similar source are covered. Most medical coverage for eligible retirees is provided by one of
the City's employee medical insurance programs. Under the authorization of the LEOFF Disability Board, direct
payment is made for other retiree medical expenses not covered by standard medical plan benefit provisions. Finance
reporting for the LEOFF retiree healthcare plan is included in the City's Comprehensive Annual Financial Report.
Funding Policy
Funding for LEOFF retiree healthcare costs is provided entirely by the City as required by RCW. The City's funding
policy is based upon pay -as- you -go financing requirements.
Annual OPEB Cost and Net OPEB Obligation
The City's annual other postemployment benefit (OPEB) cost is calculated based upon the annual required contribution
(ARC), an amount actuarially determined in accordance with the parameters of GASB Statement 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 liabilities over a period of nineteen years as of September 1, 2006. The following table
shows the components of the City's annual OPEB cost for the year, the amount actually contributed to the plan, and
City of Bremerton / 63
changes in the City's net OPEB. The net OPEB obligation of ($280,444) is included as a noncurrent asset on the
Statement of Net Assets.
Fiscal Year Ending
12/31/09
Determination of Annual Required Contribution:
Amortization of UAAL* 1,3 52,725
Interest Adjustment to year End
Annual Required Contribution (ARC)
Determination of NET OPEB Obligation:
Annual Required Contribution
Annual OPEB Cost
Contributions
Change in Net OPEB Obligations
Net OPEB Obligations -beginning of year
Net OPEB Obligations - end of year
*Unfunded Actuarial Accrued Liability (UAAL)
13,460
$ 1,366,185
$ 1,366,185
$ 1,366,185
(1,446,474)
$ (80,289)
$ (200,155)
$ (280,444)
The City's OPEB cost, the percentage OPEB cost contributed to the plan and the net OPEB Assets for 2009 and the
proceeding year, was as follows:
12/31/2008 $ 1,142,500 117.50%
12/31/2009 $ 1,366,185 105.88%
(200,155)
(280,444)
Funded Status and Funding Progress
As of October 1, 2008, the most recent actuarial valuation date, the plan was 0% funded. The accrued liability for
benefits was $21,632,822 and the actuarial value of the assets was $0 resulting in a UAAL of $21,632,822.
Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of
occurrence of events far into the future. Examples include assumptions about future employment, mortality, and the
healthcare cost trend. Amounts determined regarding the funded status of the plan and the annual required contributions
of the employer are subject to continual revision as actual results are compared with past expectations and new estimates
are made about the future. The schedule of funding progress presented as required supplementary information following
the notes to the financial statement, presents multiyear trend information that show whether the actuarial value of plan
assets is increasing or decreasing over time relative to the actuarial liabilities for benefits.
Actuarial 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. The actuarial
methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in
actuarial accrued liabilities, consistent with the long -term perspective of the calculations.
In the October 1, 2008 actuarial valuation, the projected unit credit actuarial cost method was used. The actuarial
assumptions used included a 3.0% discount rate, which is based upon the long -term investment yield on the investments
that are expected to be used to finance payment of benefits. A medical inflation rate of 10% graded to 5% over ten years
was used along with a long term care inflation rate of 3.0 %.
City of Bremerton / 64
The UAAL is being amortized on a closed basis at the assumed discount rate. The remaining amortization period at
January 1, 2009 was 18.75 years.
15. Budget to GAAP Reconciliation
The following schedule reconciles the amounts on the Combined Statement of Revenues, Expenditures and Changes in
Fund Balance - Budget and Actual (which are presented on a non -GAAP budgetary basis) to the amounts on the
Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds.
General
Revenues Fund
Budgetary Basis $ 31,085,141
Receipt of Fund Debt 500,000
GAAP Basis 31,585,141
Expenditures
Budgetary Basis 33,709,599
Redemption of Fund Debt (9,362)
GAAP Basis 33,700,237
Beginning Fund Balance
Budgetary Basis 1,539,436
Fund Debt Outstanding (207,220)
GAAP Basis 1,332,216
Ending Fund Balance
Budgetary Basis 2,655,165
Fund Debt Outstanding (697,858)
GAAP Basis 1,957,307
16. Segment Information
The City operates a utility system providing water, wastewater and stormwater management services to the citizens of
Bremerton and a portion of Kitsap County outside city boundaries. Operations are financed by user fees imposed on
customers of each utility. The City has issued revenue bonds to finance improvements to its sewer system. While the
operations of each utility are accounted for in separate funds, the repayment of the revenue bonds relies on the combined
revenues of all three utilities. In addition, the City operates a public golf course whose operations are funded entirely
through user fees. With the exception of the combined utility, there are no revenue bonds issued or other revenue -
backed debt outstanding for which full, detailed segment data is not provided in the proprietary fund financial
statements.
The key financial data for the year ended December 31, 2009 for the combined utility operations are as follows:
City of Bremerton / 65
Condensed Statement of Net Assets
5,184,159
Assets
25,421
Current assets
$ 13,633,993
Restricted assets
1,616,639
Capital assets
145,580,414
Other assets
1,339,157
Total assets
162,170,203
Liabilities
Current liabilities
5,184,159
Payable from restricted assets
25,421
Long -term liabilities
30,806,117
Total liabilities
36,015,697
Net Assets
Restrict for debt service 1,174,604
Unrestricted 12,644,057
Invested in capital assets net of related debt 112,335,845
Total net assets $ 126,154,506
Total operating revenues $ 24,397,012
Operating Expenditures:
Operations & maintenance 14,519,833
Depreciation /amortization/depletion 4,823,406
Total operating expenses 19,343,239
Operating income(loss) 5,053,773
Non - Operating Revenues /Expenses
Interest expense (net) (545,974)
Other (net) 345,388
Total non - operating revenues /expenses (200,586)
Capital contributions 3,882,290
Transfers (3,423,332)
Change in net assets
5,312,145
Beginning net assets
120,842,362
Ending net assets
$ 126,154,507
Net cash provided By:
(a) Operating activities $ 8,987,895
(b) Noncapital financing activities (3,135,332)
(c) Capital and related financing activities (13,401,630)
(d) Investing activities (144,580)
Beginning cash and investment balance 16,539,146
Ending cash and investment balance $ 8,845,499
City of Bremerton / 66
17. Other Disclosures
A. Deficit Fund Balance
The Risk Management internal service fund had a deficit fund balance at December 31, 2009 of $66,480. 2009 operating
income of $205,789 reduced the deficit from 2008 caused by a significant increase in long term worker's compensation
and tort claim projected losses in 2008. The increase in losses payable was attributable to claims incurred during 2007
and 2008. Current claims are covered by contributions from insured funds and are expected to reverse the negative
balance in future years.
B. Prior Year Corrections
ERR Adjustment. The 2009 Government -Wide Financial Statements reflect a change in the treatment of the Equipment
Rental Reserve internal service fund. Prior to 2009 the assets and operations of the fund were allocated between
Government and Business type activities. GASB Statement 34 prescribes that internal service funds should be
consolidated in the same activities column as its predominant customers. For 2009 the operations of the ERR fund have
been consolidated in the business -type activities column.
Overstatement of depreciation on capital assets. Prior to 2009 assets of the City's utilities were depreciated beyond their
useful lives, resulting in an understatement of Capital Assets, net of depreciation, on the fund Statement of Net Assets for
Proprietary Funds and the government -wide Statement of Net Assets for Business Type Activities. The correction of the
understatement for prior years resulted in an increase of $5,092,835 to proprietary fund balances.
The corrections for the above adjustments are noted on the following table. Beginning Asset balances in Note 6 to the
Financial Statements have also been restated to reflect these corrections.
Governmental Activities:
Capital assets, being depreciated:
Machinery and equipment 14,736,127 (6,068,120)
Less accumulated depreciation for:
Machinery and equipment 7,358,810 (3,217,814)
Business -type Activities:
Capital assets, being depreciated:
Machinery and equipment 38,431,725 6,068,120
Less accumulated depreciation for:
Buildings/building improvements 16,172,444 -
Improvement other than buildings 33,456,999 -
Machinery and equipment 21,985,114 3,217,814
C. Subsequent Events
(349,873)
(793,270)
(3,949,692)
8,668,007
4,140,996
44,499,845
15,822,571
32,663,729
21,253,236
On May 28, 2010, the city issued $6,910,000 in LTGO Taxable Build America Bonds to pay a portion of the costs of (a)
constructing two subsurface and two above -grade parking areas for approximately 250 parking stalls to provide multi-
use parking for Puget Sound Naval Shipyard daytime workers, downtown Harborside retail, businesses and visitors to
Memorial Plaza and Harborside Fountain Park (the "Revitalization Area Project"), (b) renovating Lions Park and (c)
purchasing and renovating a building to be used as a municipal courthouse. The bonds bear interest rates from 3.203 to
6.129 percent and will be redeemed over the next twenty five years. The City expects to pay a portion of the costs of the
Revitalization Area Project from money received under the State's Local Revitalization Financing (LRF) program.
City of Bremerton / 67
Under RCW 82.14.505 and.510, a sales and use tax maybe imposed by qualifying jurisdictions for certain projects. The
City has received approval from the State Department of Revenue to collect an LRF tax beginning July 1, 2010 to pay
for improvements in the City's designated revitalization area. The City expects to receive an amount of not more than
$330,000 annually from the LRF tax to pay debt service on the portion of the Bonds issued for the Revitalization Area
Project. The City has pledged the revenue from this LRF tax to the repayment of the portion of the Bonds funding the
Revitalization Area Project. The City anticipates using a portion of its Real Estate Excise Tax to repay a portion of the
debt service on the Bonds used for the Park and Courthouse Projects.
City of Bremerton / 68
Required Supplementary Information
LEOFF I Retiree Medical Benefits
Schedule of Funding Progress
Actuarial
UAAL as a
Actuarial
Accrued
Unfunded Actuarial
Percentage
Fiscal Year Value of
Liability Unit
Accrued Liabilities
Funded
Covered
of Covered
Ended Assets
Cost
UAAL
Ratio
Payroll
Payroll
12/31/2008 $
- $ 16,191,238
$ 16,191,238
0.0% $
673,125
2405.38%
12/31/2009 $
- $ 21,632,822
$ 21,632,822
0.0% $
461,567
4686.82%
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Nonmajor Governmental Funds
December 31, 2009
Page 1 of 3
Special
Revenue
Arterial
Contingency Civic
Parking
Community
Abatement
Street
Street
Reserve Improvement
System
Block Grant
Revolving
Assets
Cash & investments
$ 1,760,374
$
382,569
S
1,250,208 S 29,232 S
306,846
S 475,015
S
237,875
Deposits with fiscal agent
-
-
- -
-
-
-
External receivables
119,504
111,666
21,158
8,508
Due from other funds
-
-
-
-
-
Due from other governments
13,085
131
90,274
Inventories
-
27,110
-
Notes/contracts - deferred
-
-
- -
-
866,812
-
Total assets
$ 1,892,963
$
521,476
$
1,250,208 $ 50,390 $
315,354
$ 1,432,101
$
237,875
Liabilities and Fund Balances
Liabilities:
Claims/contracts payable
$ 5,927
$
56,329
$
$ 11,874 $
18,033
$ 50,731
$
Matured long term obligations
-
-
-
-
-
Due to other funds
316,184
5,164
Due to other governments
-
-
-
-
Employee wages payable
10,330
45,924
150
6,239
Other current liabilities
60,647
-
-
Deferred revenues
-
-
-
-
866,812
Total liabilities
76,904
418,437
11,874
18,183
928,946
Fund balances:
Reserved for:
Inventories
-
27,110
-
-
-
Paths and trails
59,306
Equipment replacement
-
Unreserved, reported in:
Debt service funds
-
-
- -
-
-
-
Special revenue funds
1,816,059
16,623
1,250,208 38,516
297,171
503,155
237,875
Capital projects funds
-
-
- -
-
-
-
Total fund balances
1,816,059
103,039
1,250,208 38,516
297,171
503,155
237,875
Total liabilities and fund balances
$ 1,892,963
S
521,476
S
1,250,208 $ 50,390 S
315,354
$ 1,432,101
S
237,875
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Combining Balance Sheet
Nonmajor Governmental Funds
December 31, 2009
Page 2 of 3
Special
Debt
Revenue
Service
Special
Police Special
Gift &
Trial
One Percent
Conference Ctr
Revenue
Bond
Projects
BKAT
Donation
Improvement
For Art
Operations
Total
Fund
Assets
Cash & investments
$ 1,165,713
$
4,161
S 76,784
S 60,754
S 62,229
S 571,353
S
6,383,113
S
260,178
Deposits with fiscal agent
-
-
-
-
-
-
-
-
External receivables
62,849
-
54,169
377,854
53,770
Due from other funds
-
24,045
-
24,045
-
Due from other governments
-
-
103,490
Inventories
22,845
49,955
Notes/contracts - deferred
-
-
-
-
-
-
866,812
-
Total assets
$ 1,165,713
$
67,010
$ 76,784
$ 60,754
S 86,274
$ 648,367
$
7,805,269
$
313,948
Liabilities and Fund Balances
Liabilities:
Claims/contracts payable
$ 2,958
$
1,352
$
$
$ 7,668
$ 82,464
$
237,336
$
Matured long term obligations
-
-
-
-
-
-
Due to other funds
20,000
500
-
341,848
Due to other governments
-
-
-
-
19,337
19,337
Employee wages payable
4,230
6,829
660
58,743
133,105
Other current liabilities
-
-
-
36,735
97,382
-
Deferred revenues
-
-
-
-
-
866,812
51,114
Total liabilities
7,188
28,181
500
8,328
197,279
1,695,820
51,114
Fund balances:
Reserved for:
Inventories
22,845
49,955
Paths and trails
-
-
59,306
Equipment replacement
115,199
126,298
241,497
-
Unreserved, reported in:
Debt service funds
-
-
-
-
-
-
262,834
Special revenue funds
1,043,326
38,829
76,284
60,754
77,946
301,945
5,758,691
-
Capital projects funds
-
-
-
-
-
-
-
-
Total fund balances
1,158,525
38,829
76,284
60,754
77,946
451,088
6,109,449
262,834
Total liabilities and fund balances
$ 1,165,713
S
67,010
S 76,784
$ 60,754
S 86,274
$ 648,367
S
7,805,269
$
313,948
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Nonmajor Governmental Funds
December 31, 2009
Assets
Cash & investments
Deposits with fiscal agent
External receivables
Due from other funds
Due from other governments
Inventories
Notes/contracts - deferred
Total assets
Liabilities and Fund Balances
Liabilities:
Claims/contracts payable
Matured long term obligations
Due to other funds
Due to other governments
Employee wages payable
Other current liabilities
Deferred revenues
Total liabilities
Fund balances:
Reserved for:
Inventories
Paths and trails
Equipment replacement
Unreserved, reported in:
Debt service funds
Special revenue funds
Capital projects funds
Total fund balances
Total liabilities and fund balances
Capital
Projects
Capital
Public Safety Harborside General Govt Parks Boardwalk Projects
Project Plaza Cap lmpr Construction Project Total
S 1,046,155 S
280,586
S 2,203 S
616,963 S
290,707 S
2,236,614 S
8,879,905
63,979
12,327
76,306
507,930
-
315,000
-
-
315,000
339,045
64,167
6,795
23,454
30,291
124,707
228,197
-
-
-
-
-
49,955
-
-
-
-
-
-
866,812
$ 1,046,155 S
344,753
S 387,977 S
640,417 S
333,325 S
2,752,627 S
10,871,844
$ 1,901 S
19,983
S 3,736 S
- $
93,296 S
118,916 S
356,252
24,045
360,000
101,185
485,230
827,078
-
-
-
-
-
-
19,337
55
48,807
731
2,027
51,620
184,725
-
-
-
-
-
97,382
-
-
-
-
-
-
917,926
1,956
92,835
363,736
101,916
95,323
655,766
2,402,700
49,955
59,306
241,497
262,834
- - - - - - 5,758,691
1,044,199 251,918 24,241 538,501 238,002 2,096,861 2,096,861
1,044,199 251,918 24,241 538,501 238,002 2,096,861 8,469,144
$ 1,046,155 S 344,753 S 387,977 S 640,417 S 333,325 S 2,752,627 S 10,871,844
Page 3 of 3
Total Nonmajor
Governmental Funds
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Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2009
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Special Revenue
Arterial
Contingency
Civic
Parking
Community
Abatement
Police Special
Street
Street
Reserve
Improvement
System
Block Grant
Revolving
Projects
Revenues
Taxes
$ - $
311,374 $
- $
362,410 $
- $
-
- $
-
Licenses and permits
- -
- -
- -
- -
-
- -
- -
-
Intergovernmental
219,952 -
643,275 -
- -
- -
-
633,253 -
- -
147,484
Charges for services
52,508 -
509,106 -
- -
- -
500
92,138 -
17,128 -
-
Fines and forfeits
- -
- -
- -
- -
399,274
- -
- -
44,484
Miscellaneous
29,361 -
75,056 -
14,089 -
404 -
906,089
20,779 -
2,620 -
150,184
Total revenues
301,821
1,538,811
14,089
362,814
1,305,863
746,170
19,748
342,152
Expenditures
Current
General government
-
275,376
-
-
-
-
-
-
Public safety
-
56,370
-
-
-
-
-
261,670
Utilities and environment
-
-
-
-
-
-
-
-
Transportation
308,851
2,135,677
-
-
546,370
-
-
-
Economic environment
-
-
-
29,997
-
673,791
4,245
-
Mental /physical health
-
-
-
-
-
-
-
-
Culture and recreation
-
22,669 -
-
150,000
-
-
-
-
Debt service:
Principal
-
-
-
-
-
-
-
-
Interest and other debt issue costs
-
-
-
-
-
-
-
-
Capital
208,976
6,485
-
-
-
-
-
-
Total expenditures
517,827
2,496,577
-
179,997
546,370
673,791
4,245
261,670
Excess (deficiency) ofrevenues
(216,006)
(957,766)
14,089
182,817
759,493
72,379
15,503
80,482
over expenditures
Other Financing Sources (Uses)
Fixed asset donations & disposal
- -
- -
396,484 -
- -
-
- -
- -
-
Insurance Recoveries
-
451
-
- -
-
- -
- -
-
Transfers in
- -
960,000 -
- -
- -
-
29,939 -
- -
Transfers out
- -
- -
(951,000) -
(165,000) -
(462,485)
(39,562) -
- -
(16,100)
Total other financing sources and uses
-
960,451
(554,516)
(165,000)
(462,485)
(9,623)
-
(16,100)
Other Changes in Fund Balance
Change in reserves for inventory
- -
-
-
-
-
-
-
-
Net change in fund balances
(216,006)
2,685 -
(540,427)
17,817
297,008
62,756
15,503
64,382
Fund balances-beginning
2,032,065 -
100,354 -
1,790,635 -
20,699 -
163
440,399 -
222,372 -
1,094,143
Prior period adjustments
-
-
-
-
-
-
-
-
Fund balances-ending
$ 1,816,059 $
103,039 $
1,250,208 $
38,516 $
297,171 $
503,155 $
237,875 $
1,158,525
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Combining Statement of Revenues, Expenditures
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended December 31, 2009
Page 2 of 3
Debt
Special Revenue
Service
Gift &
Trial One Percent
Conference Ctr
Bond
BKAT
Donation
Improvement For Art
Operations
Total
Fund
Revenues
Taxes
$ 918 $
-
$ - $ - $
- $
674,702 $
865,448
Licenses and permits
- - 242,442 -
-
- - - - -
-
242,442
-
Intergovernmental
- - - -
-
- 17,667 - - -
-
1,661,631
-
Charges for services
- - 88,672 -
-
- - - 243 -
1,429,636
2,189,931
-
Fines and forfeits
- - - -
-
- - - - -
-
443,758
-
Miscellaneous
- - 816 -
13,924
- 497 - 24,879 -
7,855
1,246,553
7,743
Total revenues
332,848
13,924
18,164 25,122
1,437,491
6,459,017
873,191
Expenditures
Current
General government
-
7,122
- - - - -
-
282,498
-
Public safety
-
7,022
- - - - -
-
325,062
-
Utilities and environment
-
-
- - - - -
-
-
-
Transportation
-
-
- - - - -
-
2,990,898
-
Economic environment
-
-
- - - - -
-
708,033
-
Mental/physical health
-
-
- - - - -
-
-
-
Culture and recreation
247,092
1,022
- - - 8,491 -
1,312,135
1,741,409
-
Debt service:
Principal
-
-
- - - - -
-
-
908,000
Interest and other debt issue costs
-
-
- - - - -
-
-
649,956
Capital
64,758
-
- - - 22,964 -
7,366
310,549
-
Total expenditures
311,850
15,166
- 31,455
1,319,501
6,358,449
1,557,956
Excess (deficiency) ofrevenues
20,998
(1,242)
18,164 (6,333)
117,990
100,568
(684,765)
over expenditures
Other Financing Sources (Uses)
Fixed asset donations & disposal
- - -
-
- -
-
396,484
-
Insurance Recoveries
- - - -
-
- - - - -
-
451
-
Transfers in
- - -
-
- 10,000
205,000
1,204,939
357,285
Transfers out
- - (25,000)
-
- -
-
(1,659,147)
-
Total other financing sources and uses
(25,000)
-
- 10,000
205,000
(57,273)
357,285
Other Changes in Fund Balance
Change in reserves for inventory
-
-
- -
-
-
-
Netchangeinfundbalances
(4,002)
(1,242)
18,164 3,667
322,990
43,295
(327,480)
Fund balances - beginning
- - 42,831 -
77,526
- 42,590 - 74,279 -
128,098
6,066,154
590,314
Prior period adjustments
-
-
- -
-
-
-
Fund balances- ending
$ 38,829 $
76,284
$ 60,754 $ 77,946 $
451,088 $
6,109,449 $
262,834
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Combining Statement of Revenues, Expenditures
and Changes in Fund Balance
Non -Major Governmental Funds
For the Year Ended December 31, 2009
Page 3 of 3
Capital Projects
Total
Nonmajor
Public Safety
Harborside
General Govt Parks Boardwalk
Governmental
Project
Plaza
Cap Impr Construction Project
Total
Funds
Revenues
Taxes
$ - $
- $
570,619 $ - $ - $
570,619 $
2,110,769
Licenses and permits
-
-
- - - -
-
242,442
Intergovernmental
-
2,529,498
7,032 - 298,586 967,186
3,802,302
5,463,933
Charges for services
-
-
- - - -
-
2,189,931
Fines and forfeits
-
-
- - - -
-
443,758
Miscellaneous
16,925
(88)
352 - 6,676 1,277
25,142
1,279,438
Total revenues
16,925
2,529,410
578,003 305,262 968,463
4,398,063
11,730,271
Expenditures
Current
General government
49,667
-
- - -
49,667
332,165
Public safety
-
-
- - -
-
325,062
Utilities and environment
-
-
6,833 - -
6,833
6,833
Transportation
-
-
- - -
-
2,990,898
Economic environment
-
-
- - -
-
708,033
Mental/physical health
-
-
- - -
-
-
Culture and recreation
-
-
- 47,586 -
47,586
1,788,995
Debt service:
-
- - -
Principal
-
-
- - -
-
908,000
Interest and other debt issue costs
-
-
- 6,979 -
6,979
656,935
Capital
90,262
2,631,572
- 329,359 1,266,710
4,317,903
4,628,452
Total expenditures
139,929
2,631,572
6,833 383,924 1,266,710
4,428,968
12,345,373
Excess (deficiency) ofrevenues
(123,004)
(102,162)
571,170 (78,662) (298,247)
(30,905)
(615,102)
over expenditures
Other Financing Sources (Uses)
Fixed asset donations & disposal
- -
- -
- - - - -
-
396,484
Insurance Recoveries
- - -
- -
- - - - -
-
451
Transfers in
- -
354,000 -
- - 434,398 - 346,750
1,135,148
2,697,372
Transfers out
- -
- -
(578,000) - (8,000) - -
(586,000)
(2,245,147)
Total other financing sources and uses
-
354,000
(578,000) 426,398 346,750
549,148
849,160
Other Changes in Fund Balance
Change in reserves for inventory
-
-
- - -
-
-
Netchangeinfundbalances
(123,004)
251,838
(6,830) 347,736 48,503
518,243
234,058
Fund balances - beginning
1,167,203 -
80 -
31,071 - 190,765 - 189,499
1,578,618
8,235,086
Prior period adjustments
-
-
- - -
-
-
Fund balances- ending
$ 1,044,199 $
251,918 $
24,241 $ 538,501 $ 238,002 $
2,096,861 $
8,469,144
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City of Bremerton / 75
Arterial Street Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Variance with
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation 65,493 65,493 308,851 (243,358)
Economic environment - - - -
MentaUphysical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 623,615 623,615 208,976 414,639
Total expenditures 689,108 689,108 517,827 171,281
Excess (deficiency) of revenues
over expenditures (135,000) (135,000) (216,006) (81,006)
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out - - - -
Total other financing source (uses) - - - -
Other Changes in Fund Balance
Changes in reserves for inventory - - - Net change in fund balances (135,000) (135,000) (216,006) (81,006)
Fund balances- beginning 4,988,501 4,988,501 2,032,065 (2,956,436)
Prior period adjustments - - - -
Fund balances- ending $ 4,853,501 $ 4,853,501 $ 1,816,059 $ (3,037,442)
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
452,347
452,347
219,952
(232,395)
Charges for services
20,000
20,000
52,508
32,508
Fines and forfeitures
-
-
-
-
Miscellaneous
81,761
81,761
29,361
(52,400)
Total revenues
554,108
554,108
301,821
(252,287)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation 65,493 65,493 308,851 (243,358)
Economic environment - - - -
MentaUphysical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 623,615 623,615 208,976 414,639
Total expenditures 689,108 689,108 517,827 171,281
Excess (deficiency) of revenues
over expenditures (135,000) (135,000) (216,006) (81,006)
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out - - - -
Total other financing source (uses) - - - -
Other Changes in Fund Balance
Changes in reserves for inventory - - - Net change in fund balances (135,000) (135,000) (216,006) (81,006)
Fund balances- beginning 4,988,501 4,988,501 2,032,065 (2,956,436)
Prior period adjustments - - - -
Fund balances- ending $ 4,853,501 $ 4,853,501 $ 1,816,059 $ (3,037,442)
City of Bremerton / 76
Street Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Variance with
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - 451 451
Transfers in 1,273,000 1,273,000 960,000 (313,000)
Transfers out - - - -
Total other financing source (uses) 1,273,000 1,273,000 960,451 (312,549)
Other Changes in Fund Balance
Changes in reserves for inventory - - -
Net change in fund balances 32,376 32,376 2,685 (29,691)
Fund balances- beginning 4,809 4,809 100,354 95,545
Prior period adjustments - - -
Fund balances-ending $ 37,185 $ 37,185 $ 103,039 $ 65,854
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
- $
-
Sales
-
-
-
-
Other
300,000
300,000
311,374
11,374
Licenses and permits
-
-
-
-
Intergovernmental
690,000
690,000
643,275
(46,725)
Charges for services
383,450
383,450
509,106
125,656
Fines and forfeitures
-
-
-
-
Miscellaneous
196,500
196,500
75,056
(121,444)
Total revenues
1,569,950
1,569,950
1,538,811
(31,139)
Expenditures
Current
General government
383,618
383,618
275,376
108,242
Public safety
85,424
85,424
56,370
29,054
Utilities and environment
-
-
-
-
Transportation
2,278,792
2,278,792
2,135,677
143,115
Economic environment
-
-
-
-
Mental/physical health
-
-
-
-
Culture and recreation
22,740
22,740
22,669
71
Debt service principal
-
-
-
-
Interest and other debt svc costs
-
-
-
-
Capital
40,000
40,000
6,485
33,515
Total expenditures
2,810,574
2,810,574
2,496,577
313,997
Excess (deficiency) of revenues
over expenditures
(1,240,624)
(1,240,624)
(957,766)
282,858
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - 451 451
Transfers in 1,273,000 1,273,000 960,000 (313,000)
Transfers out - - - -
Total other financing source (uses) 1,273,000 1,273,000 960,451 (312,549)
Other Changes in Fund Balance
Changes in reserves for inventory - - -
Net change in fund balances 32,376 32,376 2,685 (29,691)
Fund balances- beginning 4,809 4,809 100,354 95,545
Prior period adjustments - - -
Fund balances-ending $ 37,185 $ 37,185 $ 103,039 $ 65,854
City of Bremerton / 77
Contingency Reserve Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures - - - -
Excess (deficiency) of revenues
over expenditures 50,000 15,000 14,089 (911)
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - 400,000 396,484 (3,516)
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (855,720) (951,000) (951,000) -
Total other financing source (uses) (855,720) (551,000) (554,516) (3,516)
Other Changes in Fund Balance
Changes in reserves for Inventory - - - Net change in fund balances (805,720) (536,000) (540,427) (4,427)
Fund balances- beginning 1,810,000 1,790,635 1,790,635 -
Prior period adjustments - - - -
Fund balances - ending $ 1,004,280 $ 1,254,635 $ 1,250,208 $ (4,427)
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
50,000
15,000
14,089
(911)
Total revenues
50,000
15,000
14,089
(911)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures - - - -
Excess (deficiency) of revenues
over expenditures 50,000 15,000 14,089 (911)
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - 400,000 396,484 (3,516)
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (855,720) (951,000) (951,000) -
Total other financing source (uses) (855,720) (551,000) (554,516) (3,516)
Other Changes in Fund Balance
Changes in reserves for Inventory - - - Net change in fund balances (805,720) (536,000) (540,427) (4,427)
Fund balances- beginning 1,810,000 1,790,635 1,790,635 -
Prior period adjustments - - - -
Fund balances - ending $ 1,004,280 $ 1,254,635 $ 1,250,208 $ (4,427)
City of Bremerton / 78
Civic Improvement Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment 30,000 30,000 29,997 3
Mental/physical health - - - -
Culture and recreation 135,000 135,000 150,000 (15,000)
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 165,000 165,000 179,997 (14,997)
Excess (deficiency) of revenues
over expenditures 172,000 172,000 182,817 10,817
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out 180,000 180,000 165,000 15,000
Total other financing source (uses) 180,000 180,000 165,000 15,000
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (8,000) (8,000) 17,817 25,817
Fund balances- beginning 23,890 23,890 20,699 (3,191)
Prior period adjustments - - - -
Fund balances- ending $ 15,890 $ 15,890 $ 38,516 $ 22,626
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
335,000
335,000
362,410
27,410
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
2,000
2,000
404
(1,596)
Total revenues
337,000
337,000
362,814
25,814
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment 30,000 30,000 29,997 3
Mental/physical health - - - -
Culture and recreation 135,000 135,000 150,000 (15,000)
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 165,000 165,000 179,997 (14,997)
Excess (deficiency) of revenues
over expenditures 172,000 172,000 182,817 10,817
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out 180,000 180,000 165,000 15,000
Total other financing source (uses) 180,000 180,000 165,000 15,000
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (8,000) (8,000) 17,817 25,817
Fund balances- beginning 23,890 23,890 20,699 (3,191)
Prior period adjustments - - - -
Fund balances- ending $ 15,890 $ 15,890 $ 38,516 $ 22,626
City of Bremerton / 79
Parking System Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation 583,304 583,304 546,370 36,934
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 60,000 60,000 - 60,000
Total expenditures 643,304 643,304 546,370 96,934
Excess (deficiency) of revenues
over expenditures 1,028,696 1,028,696 759,493 (269,203)
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (939,450) (939,450) (462,484) 476,966
Total other financing source (uses) (939,450) (939,450) (462,484) 476,966
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 89,246 89,246 297,009 207,763
Fund balances- beginning 5,007 5,007 163 (4,844)
Prior period adjustments - - - -
Fund balances - ending $ 94,253 $ 94,253 $ 297,172 $ 202,919
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
1,500
1,500
500
(1,000)
Fines and forfeitures
357,000
357,000
399,274
42,274
Miscellaneous
1,313,500
1,313,500
906,089
(407,411)
Total revenues
1,672,000
1,672,000
1,305,863
(366,137)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation 583,304 583,304 546,370 36,934
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 60,000 60,000 - 60,000
Total expenditures 643,304 643,304 546,370 96,934
Excess (deficiency) of revenues
over expenditures 1,028,696 1,028,696 759,493 (269,203)
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (939,450) (939,450) (462,484) 476,966
Total other financing source (uses) (939,450) (939,450) (462,484) 476,966
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 89,246 89,246 297,009 207,763
Fund balances- beginning 5,007 5,007 163 (4,844)
Prior period adjustments - - - -
Fund balances - ending $ 94,253 $ 94,253 $ 297,172 $ 202,919
City of Bremerton / 80
Community Development Block Grant Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment 1,234,879 1,234,879 673,791 561,088
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 1,234,879 1,234,879 673,791 561,088
Excess (deficiency) of revenues
Variance with
over expenditures
Original
Final
72,379
Final Budget
Other Financing Sources(Uses)
Budget
Budget
Actual
Positive
Proceeds of long term debt
2009
2009
2009
(Negative)
Revenues
-
-
-
-
Taxes
-
-
-
-
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
1,224,709
1,224,709
633,253
(591,456)
Charges for services
21,483
21,483
92,138
70,655
Fines and forfeitures
-
-
-
-
Miscellaneous
13,007
13,007
20,779
7,772
Total revenues
1,259,199
1,259,199
746,170
(513,029)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment 1,234,879 1,234,879 673,791 561,088
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 1,234,879 1,234,879 673,791 561,088
Excess (deficiency) of revenues
over expenditures
24,320
24,320
72,379
48,059
Other Financing Sources(Uses)
Proceeds of long term debt
-
-
-
-
Fixed asset donation and disposal
-
-
-
-
Insurance Recoveries
-
-
-
-
Transfers in
34,816
34,816
29,939
(4,877)
Transfers out
(58,000)
(58,000)
(39,562)
18,438
Total other financing sources (uses)
(23,184)
(23,184)
(9,623)
13,561
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 1,136 1,136 62,756 61,620
Fund balances- beginning 435,468 435,468 440,399 4,931
Prior period adjustments - - - -
Fund balances - ending $ 436,604 $ 436,604 $ 503,155 $ 66,551
City of Bremerton / 81
Abatement Revolving Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment 32,000 32,000 4,245 27,755
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 32,000 32,000 4,245 27,755
Excess (deficiency) of revenues
over expenditures (17,500) (17,500) 15,503 33,003
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 17,500 17,500 - (17,500)
Transfers out - - - -
Total other financing sources (uses) 17,500 17,500 - (17,500)
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances - - 15,503 15,503
Fund balances- balances- beginning 183,041 183,041 222,372 39,331
Prior period adjustments - - - -
Fund balances- balances- ending $ 183,041 $ 183,041 $ 237,875 $ 54,834
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
12,000
12,000
17,128
5,128
Fines and forfeitures
-
-
-
-
Miscellaneous
2,500
2,500
2,620
120
Total revenues
14,500
14,500
19,748
5,248
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment 32,000 32,000 4,245 27,755
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 32,000 32,000 4,245 27,755
Excess (deficiency) of revenues
over expenditures (17,500) (17,500) 15,503 33,003
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 17,500 17,500 - (17,500)
Transfers out - - - -
Total other financing sources (uses) 17,500 17,500 - (17,500)
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances - - 15,503 15,503
Fund balances- balances- beginning 183,041 183,041 222,372 39,331
Prior period adjustments - - - -
Fund balances- balances- ending $ 183,041 $ 183,041 $ 237,875 $ 54,834
City of Bremerton / 82
Police Special Projects Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety 326,732 326,732 261,670 65,062
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 52,000 52,000 - 52,000
Total expenditures 378,732 378,732 261,670 117,062
Excess (deficiency) of revenues
over expenditures (225,732) (225,732) 80,482 306,214
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (16,100) (16,100) (16,100) -
Total other financing sources (uses) (16,100) (16,100) (16,100) -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (241,832) (241,832) 64,382 306,214
Fund balances- balances- beginning 452,549 452,549 1,094,143 641,594
Prior period adjustments - - - -
Fund balances- balances - ending $ 210,717 $ 210,717 $ 1,158,525 $ 947,808
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
147,484
147,484
Charges for services
-
-
-
-
Fines and forfeitures
38,000
38,000
44,484
6,484
Miscellaneous
115,000
115,000
150,184
35,184
Total revenues
153,000
153,000
342,152
189,152
Expenditures
Current
General government - - - -
Public safety 326,732 326,732 261,670 65,062
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 52,000 52,000 - 52,000
Total expenditures 378,732 378,732 261,670 117,062
Excess (deficiency) of revenues
over expenditures (225,732) (225,732) 80,482 306,214
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (16,100) (16,100) (16,100) -
Total other financing sources (uses) (16,100) (16,100) (16,100) -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (241,832) (241,832) 64,382 306,214
Fund balances- balances- beginning 452,549 452,549 1,094,143 641,594
Prior period adjustments - - - -
Fund balances- balances - ending $ 210,717 $ 210,717 $ 1,158,525 $ 947,808
City of Bremerton / 83
Public Access TV Operations Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation 278,357 278,357 247,092 31,265
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 108,000 108,000 64,758 43,242
Total expenditures 386,357 386,357 311,850 74,507
Excess (deficiency) of revenues
over expenditures 15,283 15,283 20,998 5,715
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (25,000) (25,000) (25,000) -
Total other financing sources (uses) (25,000) (25,000) (25,000) -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (9,717) (9,717) (4,002) 5,715
Fund balances- balances- beginning 13,854 13,854 42,831 28,977
Prior period adjustments - - - -
Fundbalances- balances - ending $ 4,137 $ 4,137 $ 38,829 $ 34,692
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
44,240
44,240
918
(43,322)
Licenses and permits
252,000
252,000
242,442
(9,558)
Intergovernmental
-
-
-
-
Charges for services
92,900
92,900
88,672
(4,228)
Fines and forfeitures
-
-
-
-
Miscellaneous
12,500
12,500
816
(11,684)
Total revenues
401,640
401,640
332,848
(68,792)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation 278,357 278,357 247,092 31,265
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 108,000 108,000 64,758 43,242
Total expenditures 386,357 386,357 311,850 74,507
Excess (deficiency) of revenues
over expenditures 15,283 15,283 20,998 5,715
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (25,000) (25,000) (25,000) -
Total other financing sources (uses) (25,000) (25,000) (25,000) -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (9,717) (9,717) (4,002) 5,715
Fund balances- balances- beginning 13,854 13,854 42,831 28,977
Prior period adjustments - - - -
Fundbalances- balances - ending $ 4,137 $ 4,137 $ 38,829 $ 34,692
City of Bremerton / 84
Gift and Donation Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Revenues
Taxes
Property
Sales
Other
Licenses and permits
Intergovernmental
Charges for services
Fines and forfeitures
Miscellaneous
Total revenues
Expenditures
Current
General government
Public safety
Utilities and environment
Transportation
Economic environment
Mental/physical health
Culture and recreation
Debt service principal
Interest and other debt svc costs
Capital
Total expenditures
Excess (deficiency) of revenues
over expenditures
Other Financing Sources(Uses)
Proceeds of long term debt
Fixed asset donation and disposal
Insurance Recoveries
Transfers in
Transfers out
Total other financing sources (uses)
Other Changes in Fund Balance
Changes in reserves for inventory
Net change in fund balances
Fund balances- balances- beginning
Prior period adjustments
Fund balances- balances- ending
6,000
6,000
7,122
Variance with
Original
Final
7,022
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
39,032
15,166
3,500
3,500
-
(3,500)
36,100
36,100
13,924
(22,176)
39,600
39,600
13,924
(25,676)
6,000
6,000
7,122
(1,122)
15,032
15,032
7,022
8,010
18,000
18,000
1,022
16,978
39,032
23,866
39,032
15,166
568
568
(1,242)
(1,810)
(10,000)
(10,000)
-
10,000
(10,000)
(10,000)
-
10,000
(9,432)
(9,432)
(1,242)
8,190
41,261
41,261
77,526
36,265
$ 31,829 $
31,829 $
76,284 $
44,455
City of Bremerton / 85
Trial Improvement Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government 50,000 50,000 - 50,000
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 50,000 50,000 0 50,000
Excess (deficiency) of revenues
over expenditures (26,000) (26,000) 18,164 44,164
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out - - - -
Total other financing sources (uses) - - - -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (26,000) (26,000) 18,164 44,164
Fund balances- balances- beginning 26,671 26,671 42,590 15,919
Prior period adjustments - - - -
Fund balances- balances - ending $ 671 $ 671 $ 60,754 $ 60,083
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
- $
-
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
24,000
24,000
17,667
(6,333)
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
-
-
497
497
Total revenues
24,000
24,000
18,164
(5,836)
Expenditures
Current
General government 50,000 50,000 - 50,000
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital - - - -
Total expenditures 50,000 50,000 0 50,000
Excess (deficiency) of revenues
over expenditures (26,000) (26,000) 18,164 44,164
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out - - - -
Total other financing sources (uses) - - - -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (26,000) (26,000) 18,164 44,164
Fund balances- balances- beginning 26,671 26,671 42,590 15,919
Prior period adjustments - - - -
Fund balances- balances - ending $ 671 $ 671 $ 60,754 $ 60,083
City of Bremerton / 86
One Percent For Arts Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation 500 500 8,491 (7,991)
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 89,660 89,660 22,964 66,696
Total expenditures 90,160 90,160 31,455 58,705
Excess (deficiency) of revenues
over expenditures (51,250) (51,250) (6,333) 44,917
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 10,000 10,000 10,000 -
Transfers out - - - -
Total other financing sources (uses) 10,000 10,000 10,000 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (41,250) (41,250) 3,667 44,917
Fund balances- balances- beginning 60,425 60,425 74,279 13,854
Prior period adjustments - - - -
Fundbalances- balances - ending $ 19,175 $ 19,175 $ 77,946 $ 58,771
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
-
-
243
243
Fines and forfeitures
-
-
-
-
Miscellaneous
38,910
38,910
24,879
(14,031)
Total revenues
38,910
38,910
25,122
(13,788)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation 500 500 8,491 (7,991)
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 89,660 89,660 22,964 66,696
Total expenditures 90,160 90,160 31,455 58,705
Excess (deficiency) of revenues
over expenditures (51,250) (51,250) (6,333) 44,917
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 10,000 10,000 10,000 -
Transfers out - - - -
Total other financing sources (uses) 10,000 10,000 10,000 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (41,250) (41,250) 3,667 44,917
Fund balances- balances- beginning 60,425 60,425 74,279 13,854
Prior period adjustments - - - -
Fundbalances- balances - ending $ 19,175 $ 19,175 $ 77,946 $ 58,771
City of Bremerton / 87
Conference Center Operations Special Revenue Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation 1,636,699 1,636,699 1,312,135 324,564
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 90,500 90,500 7,366 83,134
Total expenditures 1,727,199 1,727,199 1,319,501 407,698
Excess (deficiency) of revenues
over expenditures (253,263) (253,263) 117,990 371,253
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 205,000 205,000 205,000 -
Transfers out - - - -
Total other financing sources (uses) 205,000 205,000 205,000 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (48,263) (48,263) 322,990 371,253
Fund balances- balances- beginning 91,380 91,380 128,098 36,718
Prior period adjustments - - - -
Fundbalances- balances - ending $ 43,117 $ 43,117 $ 451,088 $ 407,971
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ -
$ -
$ -
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
1,357,391
1,357,391
1,429,636
72,245
Fines and forfeitures
-
-
-
-
Miscellaneous
116,545
116,545
7,855
(108,690)
Total revenues
1,473,936
1,473,936
1,437,491
(36,445)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation 1,636,699 1,636,699 1,312,135 324,564
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 90,500 90,500 7,366 83,134
Total expenditures 1,727,199 1,727,199 1,319,501 407,698
Excess (deficiency) of revenues
over expenditures (253,263) (253,263) 117,990 371,253
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 205,000 205,000 205,000 -
Transfers out - - - -
Total other financing sources (uses) 205,000 205,000 205,000 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (48,263) (48,263) 322,990 371,253
Fund balances- balances- beginning 91,380 91,380 128,098 36,718
Prior period adjustments - - - -
Fundbalances- balances - ending $ 43,117 $ 43,117 $ 451,088 $ 407,971
City of Bremerton / 88
Bond Debt Service Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal 908,000 908,000 908,000 -
Interest and other debt svc costs 931,845 931,845 649,956 281,889
Capital - - - -
Total expenditures 1,839,845 1,839,845 1,557,956 281,889
Excess (deficiency) of revenues
over expenditures (933,145) (933,145) (684,765) 248,380
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 934,250 934,250 357,285 (576,965)
Transfers out - - - -
Payments to Ref Debt Escrow Agent - - - -
Total other financing sources (uses) 934,250 934,250 357,285 (576,965)
Other Changes in Fund Balance
Changes in reserves for inventory - - - Net change in fund balances 1,105 1,105 (327,480) (328,585)
Fund balances- balances - beginning 657,782 657,782 590,314 (67,468)
Prior period adjustments - - - -
Fund balances- balances - ending $ 658,887 $ 658,887 $ 262,834 $ (396,053)
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ 887,700
887,700
865,448
$ (22,252)
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergoverranental
-
-
-
-
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
19,000
19,000
7,743
(11,257)
Total revenues
906,700
906,700
873,191
(33,509)
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal 908,000 908,000 908,000 -
Interest and other debt svc costs 931,845 931,845 649,956 281,889
Capital - - - -
Total expenditures 1,839,845 1,839,845 1,557,956 281,889
Excess (deficiency) of revenues
over expenditures (933,145) (933,145) (684,765) 248,380
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 934,250 934,250 357,285 (576,965)
Transfers out - - - -
Payments to Ref Debt Escrow Agent - - - -
Total other financing sources (uses) 934,250 934,250 357,285 (576,965)
Other Changes in Fund Balance
Changes in reserves for inventory - - - Net change in fund balances 1,105 1,105 (327,480) (328,585)
Fund balances- balances - beginning 657,782 657,782 590,314 (67,468)
Prior period adjustments - - - -
Fund balances- balances - ending $ 658,887 $ 658,887 $ 262,834 $ (396,053)
City of Bremerton / 89
Public Safety Capital Projects Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - 49,667 (49,667)
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 1,800,000 1,800,000 90,262 1,709,738
Total expenditures 1,800,000 1,800,000 139,929 1,660,071
Excess (deficiency) of revenues
over expenditures (1,775,000) (1,775,000) (123,004) 1,651,996
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 350,000 350,000 - (350,000)
Transfers out - - - -
Total other financing sources (uses) 350,000 350,000 - (350,000)
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (1,425,000) (1,425,000) (123,004) 1,301,996
Fundbalances- balances - beginning 1,436,196 1,436,196 1,167,203 (268,993)
Prior period adjustments - - - -
Fundbalances- balances - ending $ 11,196 $ 11,196 $ 1,044,199 $ 1,033,003
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
- $
-
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
-
-
-
-
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
25,000
25,000
16,925
(8,075)
Total revenues
25,000
25,000
16,925
(8,075)
Expenditures
Current
General government - - 49,667 (49,667)
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 1,800,000 1,800,000 90,262 1,709,738
Total expenditures 1,800,000 1,800,000 139,929 1,660,071
Excess (deficiency) of revenues
over expenditures (1,775,000) (1,775,000) (123,004) 1,651,996
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 350,000 350,000 - (350,000)
Transfers out - - - -
Total other financing sources (uses) 350,000 350,000 - (350,000)
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (1,425,000) (1,425,000) (123,004) 1,301,996
Fundbalances- balances - beginning 1,436,196 1,436,196 1,167,203 (268,993)
Prior period adjustments - - - -
Fundbalances- balances - ending $ 11,196 $ 11,196 $ 1,044,199 $ 1,033,003
City of Bremerton / 90
Harborside Plaza & Commons Capital Projects Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
MentaUphysical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 599,865 2,860,589 2,631,572 229,017
Total expenditures 599,865 2,860,589 2,631,572 229,017
Excess (deficiency) of revenues
over expenditures (149,865) (346,945) (102,162) 244,783
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 150,000 354,000 354,000 -
Transfers out - - - -
Total other financing sources (uses) 150,000 354,000 354,000 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 135 7,055 251,838 244,783
Fund balances- balances- beginning 705 81 80 (1)
Prior period adjustments - - - -
Fund balances- balances- ending $ 840 $ 7,136 $ 251,918 $ 244,782
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
-
$ -
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
450,000
2,511,000
2,529,498
18,498
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
-
2,644
(88)
(2,732)
Total revenues
450,000
2,513,644
2,529,410
15,766
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
MentaUphysical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 599,865 2,860,589 2,631,572 229,017
Total expenditures 599,865 2,860,589 2,631,572 229,017
Excess (deficiency) of revenues
over expenditures (149,865) (346,945) (102,162) 244,783
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 150,000 354,000 354,000 -
Transfers out - - - -
Total other financing sources (uses) 150,000 354,000 354,000 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 135 7,055 251,838 244,783
Fund balances- balances- beginning 705 81 80 (1)
Prior period adjustments - - - -
Fund balances- balances- ending $ 840 $ 7,136 $ 251,918 $ 244,782
City of Bremerton / 91
General Government Improvements Capital Projects Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Excess (deficiency) of revenues
over expenditures 1,030,000 900,000 921,170 21,170
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (1,025,000) (906,000) (578,000) 328,000
Total other financing sources (uses) (1,025,000) (906,000) (578,000) 328,000
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 5,000 (6,000) 343,170 349,170
Fund balances- balances- beginning 3,610 31,071 31,071 -
Prior period adjustments - - - -
Fund balances- balances - ending $ 8,610 $ 25,071 $ 374,241 $ 349,170
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
1,000,000
550,000
570,619
20,619
Licenses and permits
-
-
-
-
Intergovernmental
-
15,000
7,032
(7,968)
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
30,000
350,000
350,352
352
Total revenues
1,030,000
915,000
928,003
13,003
Expenditures
Current
General government
-
-
-
-
Public safety
-
-
-
-
Utilities and environment
-
15,000
6,833
8,167
Transportation
-
-
-
-
Economic environment
-
-
-
-
Mental/physical health
-
-
-
-
Culture and recreation
-
-
-
-
Debt service principal
-
-
-
-
Interest and other debt svc costs
-
-
-
-
Capital
-
-
-
-
Total expenditures
-
15,000
6,833
8,167
Excess (deficiency) of revenues
over expenditures 1,030,000 900,000 921,170 21,170
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in - - - -
Transfers out (1,025,000) (906,000) (578,000) 328,000
Total other financing sources (uses) (1,025,000) (906,000) (578,000) 328,000
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances 5,000 (6,000) 343,170 349,170
Fund balances- balances- beginning 3,610 31,071 31,071 -
Prior period adjustments - - - -
Fund balances- balances - ending $ 8,610 $ 25,071 $ 374,241 $ 349,170
City of Bremerton / 92
Park Facilities Construction Capital Projects Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
over expenditures
Variance with
Current
Original
Final
Final Budget
General government
Budget
Budget
Actual
Positive
Public safety
2009
2009
2009
(Negative)
Revenues
-
-
-
-
Taxes
-
-
-
-
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
500,000
500,000
298,586
(201,414)
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
-
-
6,676
6,676
Total revenues
500,000
500,000
305,262
(194,738)
Expenditures
over expenditures
(670,445) (670,445) (84,843)
Current
Other Financing Sources(Uses)
Proceeds of long term debt
General government
-
-
-
-
Public safety
-
-
-
-
Utilities and environment
-
-
-
-
Transportation
-
-
-
-
Economic environment
-
-
-
-
Mental/physical health
-
-
-
-
Culture and recreation
74,000
74,000
47,586
26,414
Debt service principal
6,181
6,181
6,181
-
Interest and other debt svc costs
6,980
6,980
6,979
1
Capital
1,083,284
1,083,284
329,359
753,925
Total expenditures
1,170,445
1,170,445
390,105
780,340
Excess (deficiency) of revenues
over expenditures
(670,445) (670,445) (84,843)
585,602
Other Financing Sources(Uses)
Proceeds of long term debt
- - -
-
Fixed asset donation and disposal
- - -
-
Insurance Recoveries
- - -
-
Transfers in
668,000 668,000 434,398
(233,602)
Transfers out
- - (8,000)
(8,000)
Total other financing sources (uses)
668,000 668,000 426,398
(241,602)
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (2,445) (2,445) 341,554 344,000
Fund balances- balances- beginning 296,588 296,588 298,132 1,544
Prior period adjustments - - - -
Fund balances- balances - ending $ 294,143 $ 294,143 $ 639,686 $ 345,544
City of Bremerton / 93
Boardwalk Project Fund
Schedule of Revenues, Expenditures and Changes in Fund Balance
Budget and Actual
For the Year Ended December 31, 2009
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 630,000 1,465,000 1,266,710 198,290
Total expenditures 630,000 1,465,000 1,266,710 198,290
Excess (deficiency) of revenues
over expenditures (380,000) (529,000) (298,247) 230,753
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 105,000 346,750 346,750 -
Transfers out - - - -
Total other financing sources (uses) 105,000 346,750 346,750 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (275,000) (182,250) 48,503 230,753
Fund balances- balances- beginning 1,550,499 189,499 189,499 -
Prior period adjustments - - - -
Fund balances- balances - ending $ 1,275,499 $ 7,249 $ 238,002 $ 230,753
Variance with
Original
Final
Final Budget
Budget
Budget
Actual
Positive
2009
2009
2009
(Negative)
Revenues
Taxes
Property
$ - $
- $
-
$ -
Sales
-
-
-
-
Other
-
-
-
-
Licenses and permits
-
-
-
-
Intergovernmental
250,000
935,000
967,186
32,186
Charges for services
-
-
-
-
Fines and forfeitures
-
-
-
-
Miscellaneous
-
1,000
1,277
277
Total revenues
250,000
936,000
968,463
32,463
Expenditures
Current
General government - - - -
Public safety - - - -
Utilities and environment - - - -
Transportation - - - -
Economic environment - - - -
Mental/physical health - - - -
Culture and recreation - - - -
Debt service principal - - - -
Interest and other debt svc costs - - - -
Capital 630,000 1,465,000 1,266,710 198,290
Total expenditures 630,000 1,465,000 1,266,710 198,290
Excess (deficiency) of revenues
over expenditures (380,000) (529,000) (298,247) 230,753
Other Financing Sources(Uses)
Proceeds of long term debt - - - -
Fixed asset donation and disposal - - - -
Insurance Recoveries - - - -
Transfers in 105,000 346,750 346,750 -
Transfers out - - - -
Total other financing sources (uses) 105,000 346,750 346,750 -
Other Changes in Fund Balance
Changes in reserves for inventory - - - -
Net change in fund balances (275,000) (182,250) 48,503 230,753
Fund balances- balances- beginning 1,550,499 189,499 189,499 -
Prior period adjustments - - - -
Fund balances- balances - ending $ 1,275,499 $ 7,249 $ 238,002 $ 230,753
City of Bremerton / 94
Combining Statement of Net Assets
Other Proprietary Funds
December 31, 2009
Assets
Current assets:
Cash & investments
External receivables
Interest receivable
Due from other funds
Due from other governments
Inventories
Prepayments
Total current assets
Restricted assets:
Noncurrent assets:
Notes and contracts receivable
Capital assets net of depreciation
Other noncurrent assets
Total noncurrent assets
Total assets
Liabilities
Current liabilities:
Claims /contract payable
Matured long term obligations
Due to other funds
Other accrued liabilities
Current portion of long term debt
Custodial accounts
Total current liabilities
Payable from restricted Assets:
Noncurrent liabilities:
Claims and judgements payable
Bonds, notes and loans payable
Compensated absences
Total noncurrent liabilities
Total liabilities
Net Assets
Invested in capital assets, net
of related debt
Restricted for capital assets
Restricted for debt service
Unrestricted
Total net assets
Business -type Activities
Enterprise Funds
Water /Sewer Utility
Clearing Stormwater Debt Reserve Total
$ - 1,964,942 $ - $ 1,964,942
454,836 - 454,836
3,526 - 3,526
1,073 - 1,073
4,134,668
4,134,668
$ - $ 6,559,045 $ - $ 6,559,045
$ - $ 14,378 $ - $ 14,378
22,434 - 22,434
59,405 - 59,405
9,864 - 9,864
106,081 - 106,081
138,099
72,253
210,352
316,433
138,099
72,253
210,352
316,433
3,982,521 - 3,982,521
2,260,091 - 2,260,091
$ - $ 6,242,612 $ - $ 6,242,612
City of Bremerton / 95
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets
Other Proprietary Funds
For the Year Ended December 31, 2009
Business -type Activities
Enterprise Funds
Utility
Operating revenues:
Charges for services
Interest & dividend income
Other operating revenue
Total operating revenues
Operating expenses:
General operations
Maintenance
Customer service and marketing
General administration
Depreciation and amortization
Property, excise and B &O taxes
Risk transfer payments
Payments to claimants & beneficiaries
Other operating expenses
Total operating expenses
Operating income (loss)
Nonoperating revenues (expenses)
Stormwater Debt Reserve
Total
Interest expense
$ 2,115,505 $ - $
2,115,505
34,131 -
34,131
2,149,636 -
2,149,636
428,237 -
428,237
824,841 -
824,841
42,720 -
42,720
195,286 -
195,286
67,831 -
67,831
(131,757) -
(131,757)
1 -
1,427,158
722,478 -
722,478
11,926 31,915
- (6,115)
ins
Interest and investment revenue
19,989
Interest expense
(6,115)
Gain (loss) on capital asset disposal
-
Other nonoperating revenue
106
Total nonoperating revenues (expenses)
13,980
Income (loss) before contributions and transfers
736,458
Capital contributions
Transfers in
Transfers out
Change in net assets
Total net assets - beginning
Prior period adjustments (Note 17)
Total net assets - ending
11,7GV GJ,7VV
11,926 748,384
967,681 -
967,681
(436,916) (1,225,469)
(1,662,385)
1 (1,213,543)
53,680
4,971,728 1,213,543
6,185,271
3,661
3,661
$ 6,242,612 $ - $
6,242,612
City of Bremerton / 96
Combining Statement of Cash Flows
Other Proprietary Funds
For the Year Ended December 31, 2009
Cash Flows From Operating Activities
Cash received from customers
Cash payments to suppliers
Cash payments to employees
Purchase of insurance
Other operating receipts and payments
Net cash provided by operating activities
Cash Flows From Noncapital Financing Activities
Transfers in
Transfers out
Other nonoperating revenues /expenses
Net cash provided (used) by noncapital
financing activities
Cash Flows From Capital and Related
Financing Activities
Acquisition and construction of capital assets
Proceeds from sale of other assets
Capital contributions
Transfer in for asset construction
Transfer out for asset construction
Collections on notes receivable
Loan/grant proceeds
Principal paid on revenue bonds
Principal paid on other debt
Interest paid on revenue bonds and other debt
Net cash provided (used) for capital and related
financing activities
Cash Flows From Investing Activities
Proceeds from repayment of loans
Disbursement of Loans
Proceeds from special assessments
Interest on loans and investments
Net cash provided in investing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents - beginning of year
Cash and cash equivalents - end of year
Cash at the end of the year consists of:
Operating fund cash
Restricted cash
Total cash at end of year
Page 1 of 2
Business -type Activities
Enterprise Funds
Utility
2,066,237 $
- $ 2,066,237
(549,243)
- (549,243)
(911,385)
- (911,385)
(12,915)
- (12,915)
180,204
- 180,204
772,898
- 772,898
(242,934)
(1,216,469) (1,459,403)
106
- 106
(242,828) (1,216,469) (1,459,297)
(15,178) - (15,178)
21,763 - 21,763
(192,000) - (192,000)
(9,864)
-
(9,864)
(6,313)
-
(6,313)
(201,592)
-
(201,592)
24,422
17,822
42,244
24,422
17,822
42,244
352,900
(1,198,647)
(845,747)
1,612,042
1,198,647
2,810,689
1,964,942
-
1,964,942
1,964,942
-
1,964,942
$ 1,964,942 $
- $
1,964,942
City of Bremerton / 97
Combining Statement of Cash Flows
Other Proprietary Funds
For the Year Ended December 31, 2009
Page 2 of 2
Business -type Activities
Enterprise Funds
Water /Sewer Utility
Clearing Stormwater Debt Reserve Total
Reconciliation of operating income to net cash provided by operating activities:
Operating income (loss) $
- $ 722,478 $
- $ 722,478
Adjustments to reconcile operating income
to net cash provided by operating
activities:
Depreciation
- 67,831
- 67,831
Transfers in cash flow from operating activities
- -
- -
Operating grant in cash flow from nonfinancing actvty
- -
- -
Decrease (increase) in receivables
- (49,268)
- (49,268)
Decrease (increase) in due from other funds /govt
- 14,317
- 14,317
Decrease (increase) in prepaid expenses
- -
- -
Decrease (increase) in inventory
- -
- -
Increase (decrease) in accounts payable
- (49,643)
- (49,643)
Increase (decrease) in due to other funds /govt
- -
- -
Increase (decrease) in employee wages payable
- -
- -
Increase (decrease) in employee vacations payable
- 67,183
- 67,183
Increase (decrease) in customer deposits payable
- -
- -
Increase (decrease) in deferred revenues
-
- -
Net cash provided by operating activities $
- $ 772,898 $
- $ 772,898
Noncash investing, capital and financial activities;
Developers contributed infrastructure $ - $ 945,919 $ - $ 945,919
City of Bremerton / 98
Combining Statement of Net Assets
Internal Service Funds
December 31, 2009
Business -type Activities
Enterprise Funds
Risk
Equipment
Equipment
Information
Management
Maintenance
Reserve
Technology
Total
Assets
Current assets:
Cash & investments
$
1,437,588
$ 622,969
$ 4,533,142
$
341,662
$
6,935,361
External receivables
5,000
-
-
-
5,000
Interest receivable
2,759
1,117
8,136
613
12,625
Due from other funds
-
-
778,247
-
778,247
Due from other governments
-
-
-
Inventories
-
84,435
84,435
Prepayments
25,820
-
-
-
25,820
Total current assets
1,471,167
708,521
5,319,525
342,275
7,841,488
Restricted assets:
100,000
-
2,920
102,920
Noncurrent assets:
Notes and contracts receivable
-
-
-
-
Capital assets net of depreciation
5,056,429
62,724
5,119,153
Other noncurrent assets
-
-
-
Total noncurrent assets
-
-
5,056,429
62,724
5,119,153
Total assets
$
1,571,167
$ 708,521
$ 10,378,874
$
404,999
$
13,063,561
Liabilities
Current liabilities:
Claims /contract payable
$
71
$ 56,409
$ 232,121
$
17,312
$
305,913
Matured long term obligations
-
-
-
-
-
Due to other funds
-
177,062
1,405
-
178,467
Other accrued liabilities
3,412
21,180
145
18,802
43,539
Current portion of long term debt
565,000
-
-
-
565,000
Custodial accounts
-
-
-
-
-
Total current liabilities
568,483
254,651
233,671
36,114
1,092,919
Payable from restricted assets:
-
-
-
-
-
Noncurrent liabilities:
Claims and judgements payable
1,069,164
1,069,164
Bonds, notes and loans payable
-
-
-
-
Compensated absences
28,178
30,997
59,175
Total noncurrent liabilities
1,069,164
28,178
-
30,997
1,128,339
Total liabilities
1,637,647
282,829
233,671
67,111
2,221,258
Net Assets
Invested in capital assets, net
of related debt
-
-
5,056,429
62,724
5,119,153
Restricted for capital assets
Restricted for debt service
-
-
-
-
Unrestricted
(66,480)
425,692
5,088,774
275,164
5,723,150
Total net assets
$
(66,480)
$ 425,692
$ 10,145,203
$
337,888
$
10,842,303
City of Bremerton / 99
Combining Statement of Revenues, Expenses, and Changes in Fund Net Assets
Internal Service Funds
For the Year Ended December 31, 2009
Nonoperating revenues (expenses)
Interest and investment revenue
- 4,483
Governmental Activities
2,836
56,024
Interest expense
- -
-
Internal Service Funds
-
Gain (loss) on capital asset disposal
- -
(99,821)
Equipment
Equipment
Other nonoperating revenue /(Expense)
13,527
38,000
Risk
Rental
Rental
Information
(13,116)
3,094
Management
Operations
Reserve
Technology
Total
Operating revenues:
Capital contributions
-
Charges for services
$ 1,295,918 $
2,048,089
$ 437,376 $
894,247 $
4,675,630
Interest & dividend income
8,347
-
-
-
8,347
Other operating revenue
10,066
638
843
-
11,547
Total operating revenues
1,314,331
2,048,727
438,219
894,247
4,695,524
Operating expenses:
General operations
-
1,628,776
-
884,464
2,513,240
Maintenance
-
-
-
-
-
Customer service and marketing
-
-
-
-
-
General administration
245,503
-
-
-
245,503
Depreciation and amortization
-
-
702,894
38,162
741,056
Property, excise and B &O taxes
-
-
-
-
-
Risk transfer payments
438,397
12,269
-
-
450,666
Payments to claimants & beneficiaries
375,317
-
-
-
375,317
Other operating expenses
49,325
-
-
-
49,325
Total operating expenses
1,108,542
1,641,045
702,894
922,626
4,375,107
Operating income (loss)
205,789
407,682
(264,675)
(28,379)
320,417
Nonoperating revenues (expenses)
Interest and investment revenue
- 4,483
48,705
2,836
56,024
Interest expense
- -
-
-
-
Gain (loss) on capital asset disposal
- -
(99,821)
-
(99,821)
Other nonoperating revenue /(Expense)
13,527
38,000
258
51,785
Total nonoperating revenues (expenses)
- 18,010
(13,116)
3,094
7,988
Income (loss) before contributions and transfers
205,789 425,692
(277,791)
(25,285)
328,405
Capital contributions
-
Transfers in
- -
247,408
-
247,408
Transfers out
- -
(1,000,000)
-
(1,000,000)
Change in net assets
205,789 425,692
(1,030,383)
(25,285)
(424,187)
Total net assets - beginning
Prior period adjustments (Note 15)
Total net assets - ending
(272,269) - 11,175,586 363,173 11,266,490
$ (66,480) $ 425,692 $ 10,145,203 $ 337,888 $ 10,842,303
City of Bremerton / 900
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended December 31, 2009
Risk
Management
Cash Flows From Operating Activities
Cash received from customers
Interest on Investments
Cash payments to suppliers
Cash payments to employees
Purchase of insurance
Payment for insurance claims
Other operating receipts and payments
Net cash provided (used) by operating activities
Cash Flows From Noncapital Financing Activities
Transfers in
Transfers out
Other nonoperating revenues /expenses
Net cash provided by noncapital
financing activities
Cash Flows From Capital and Related
Financing Activities
Acquisition and construction of capital assets
Proceeds from sale of other assets
Capital contributions
Transfer in for asset construction
Transfer out for asset construction
Collections on notes receivable
Loan/grant proceeds
Principal paid on revenue bonds
Principal paid on other debt
Interest paid on revenue bonds and other debt
Net cash used for capital and related
financing activities
Cash Flows From Investing Activities
Proceeds from repayment of loans
Disbursement of Loans
Proceeds from special assessments
Interest on loans and investments
Net cash provided in investing activities
Net increase (decrease) in cash and cash equivalents
Cash and cash equivalents - beginning of year
Cash and cash equivalents - end of year
Cash at the end of the year consists of:
Operating fund cash
Restricted cash
Total cash at end of year
$ 1,361,487 $
11,618
(115,503)
(183,524)
(477,173)
(351,077)
311,828
Business -type Activities
Enterprise Funds
Equipment Equipment
Rental Rental
Operations Reserve
2,048,089 $
(865,969)
(564,413)
(12,269)
638
606,076
437,376 $
843
438,219
13,527 -
13,527 -
258
Page 1 of 2
Total
4,741,199
11,618
(1,347,387)
(1,255,621)
(423,442)
(351,077)
1,481
1,376,771
13,785
258 13,785
- (1,283,693)
(5,276) (1,288,969)
- 40,363
40,363
- 38,000
38,000
- 773,408
773,408
- (1,000,000)
(1,000,000)
(1,431,922) (5,276) (1,437,198)
Information
Technology
894,247 $
(365,915)
(507,684)
20,648
-
6,181
6,181
(600,500)
(600,500)
-
767
-
767
3,366
70,377
3,808
77,551
-
3,366
(523,175)
3,808
(516,001)
311,828
622,969
(1,516,878)
19,438
(562,643)
1,225,760
6,050,021
322,224
7,598,005
1,537,588
622,969
4,533,143
341,662
7,035,362
1,437,588
622,969
4,533,142
341,662
6,935,361
100,000
-
-
-
100,000
$ 1,537,588 $
622,969
$ 4,533,142 $
341,662
$ 7,035,361
Information
Technology
894,247 $
(365,915)
(507,684)
20,648
City of Bremerton / 909
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended December 31, 2009
Page 2 of 2
Business -type Activities
Enterprise Funds
Equipment Equipment
Risk Rental Rental Information
Management Operations Reserve Technology Total
Reconciliation of operating income to net cash provided by operating activities:
Operating income (loss)
Adjustments to reconcile operating income
to net cash provided by operating
activities:
Depreciation
Transfers in cash flow from operating activities
Operating grant in cash flow from nonflnancing actvty
Decrease (increase) in receivables
Decrease (increase) in due from other funds /govt
Decrease (increase) in prepaid expenses
Decrease (increase) in inventory
Increase (decrease) in accounts payable
Increase (decrease) in due to other funds /govt
Increase (decrease) in employee wages payable
Increase (decrease) in employee vacations payable
Increase (decrease) in customer deposits payable
Increase (decrease) in deferred revenues
Net cash provided by operating activities
Noncash investing, capital and financial activities;
Developers contributed infrastructure
$ 205,789 $
407,682 $
478,900 $
(28,379) $
656,310
-
-
670,786
38,161
708,947
(479)
-
263
-
(216)
65,569
177,062
374
65,943
30,974
-
1,505
32,479
-
(84,436)
-
-
-
14,074
56,591
1,994
640
16,708
1
1
(4,099)
20,997
18,803
(553)
14,151
28,178
3,769
10,778
14,547
$ 311,828 $
606,074 $
1,176,394 $
20,648 $
1,508,870
City of Bremerton / 902
Combining Statement of Fiduciary Net Assets
Agency Funds
Assets
Cash and cash equivalents
Interest receivable
Interfund receivables
Total assets
Liabilities
Claims /contracts payable
Due to other funds
Other current liabilities
Total liabilities
Net Assets
Held in trust for pension benefits
and other purposes
Salary Administrative
Clearing Trust Total
$ 41,653 $ 158,432 $ 200,085
$ 41,653 $ 158,432 $ 200,085
- 67,815 67,815
41,653 90,617 132,270
$ 41,653 $ 158,432 $ 200,085
Governmental Activities
Invested in capital assets, net of related debt
Restricted
Unrestricted
Total governmental activities net assets
Business -type activities
Invested in capital assets, net of related debt
Restricted
Unrestricted
Total business -type activities net assets
Primary Government
Invested in capital assets, net of related debt
Restricted
Unrestricted
Total primary government net assets
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Table 1
Net Assets by Component
Last
Six Fiscal Years
2004
2005
2006
2007
2008
2008
2009
$ 49,164,535
$ 50,329,300
$ 58,958,873
$ 69,497,809
$ 72,451,892
$ 69,601,586
$ 72,087,573
11,592,172
13,542,273
7,390,108
3,168,374
2,682,534
2,682,534
3,111,288
7,067,568
9,323,734
13,822,625
15,362,418
10,777,450
7,816,450
9,159,249
67,824,275
73,195,307
80,171,606
88,028,601
85,911,876
80,100,570
84,358,110
87,788,590
89,467,683
92,069,352
92,747,306
103,397,203
106,247,509
122,329,665
514,774
494,194
557,859
1,483,026
3,988,736
3,989,236
1,174,604
8,265,819
11,074,025
14,575,413
23,225,228
21,514,830
24,475,330
21,386,589
96,569,183
101,035,902
107,202,624
117,455,560
128,900,769
134,712,075
144, 890, 858
136,953,125
139,796,983
151,028,225
162,245,115
175, 849,095
175, 849,095
194,417,238
12,106,946
14,036,467
7,947,967
4,651,400
6,671,270
6,671,770
4,285,892
15,333,387
20,397,759
28,398,038
38,587,646
32,292,280
32,291,780
30,545,838
$ 164,393,458
$ 174,231,209
$ 187,374,230
$ 205,484,161
$ 214,812,645
$ 214,812,645
$ 229,248,968
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City of Bremerton / 904
Table 2
Changes in Net Assets
Last Six Fiscal Years
Revenues
Governmental Activities
Program Revenues
Charges for Services
Operating Grants and Contributions
Capital Grants and Contributions
General Revenues
Property Taxes
Sales Taxes
Business Taxes
Utility Taxes
Other Taxes
Other General Revenues
Total Governmental Revenues
Business -Tipe Activities
Charges for Services
Capital Grants and Contributions
Sales Taxes
Business Taxes
Other General Revenues
Total Business -Tipe Activities
Total Primary Government Program Revenues
Expenses
Governmental Activities
General government
Public safety
Physical environment
Transportation
Community development
Mental /physical health
Culture and recreation
Interest on long -term debt
Total Governmental Expenses
Business -Tipe Activities
Water
Wastewater
Golf Course
Other Proprietary Funds
Total Business -Tipe Activities
Total Primary Government Program Expenses
Change in Net Assets
Governmental Activities
Excess of revenues over expenses
Transfers
Governmental Activities Change in Net Assets
Business -Tipe Activities
Excess of revenues over expenses
Transfers
Business -Tipe AetivitiesChange in Net Assets
Governmental Activities Net Assets
Not assets - beginning
Prior period. adjustment
Not assets - ending
Business -Tipe Activities Net Assets
Not assets - beginning
Prior period. adjustment
Not assets - ending
Governmental Activities
2004 2005 2006 2007 2008 2009
6,408,743 $ 7,069,069 $ 7,898,109 $ 8,239,980 $ 8,911,480 $ 9,065,757
1,904,575 1,505,305 964,454 1,350,646 2,321,404 2,226,968
7,528,350 1,541,002 7,895,086 9,928,551 4,638,620 3,922,004
7,005,388
6,991,232
7,329,167
7,920,916
7,799,723
8,490,418
6,393,740
6,637,147
7,157,768
7,574,011
7,790,117
6,541,673
3,555,740
4,224,596
3,898,778
4,783,087
3,454,258
3,706,834
4,055,931
4,296,416
4,744,302
4,974,578
5,087,768
4,753,803
2,598,693
2,938,131
3,567,985
2,984,146
2,572,169
2,461,170
(131,583)
2,172,184
3,088,501
1,831,840
1,004,194
217,758
39319,577
37375,082
46,544,150
49,587,755
43,579,733
41,386,385
22,026,027
24,568,993
27,738,767
27,611,963
26,764,076
27,619,991
2,553,628
1,279,260
755,136
4,936,686
8,684,677
3,916,631
58,973
71,500
49,180
41,562
21,857
14,678
9,588
11,572
6,672
8,004
229
0
(2,712)
187,537
487,531
913,859
1,005,523
556,994
24,645,504
26,118,862
29,037,286
33,512,074
36,476362
32,108,294
63,965,081
63,493,944
75,581,436
83,099,829
80,056,095
73,494,679
3,178,781
3,311,938
4,036,679
3,838,442
4,799,392
4,001,383
16,435,104
18,447,613
19,018,326
21,823,943
22,694,179
23,922,957
183,645
3,318,926
205,404
374,985
223,469
226,975
6,442,549
4,453,072
7,731,187
8,936,077
8,914,778
4,214,922
2,916,242
2,463,469
2,863,004
2,601,899
3,146,023
2,031,753
185,612
4,633,144
5,115,632
5,581,830
6,429,966
6,859,463
5,944,853
1,205,561
1,360,925
1,422,858
1,378,912
1,181,513
961,926
35,180,638
35,152,649
40,859,288
45384,224
47,818,817
41304,769
7,234,139
7,189,614
8,052,273
8,247,875
9,073,514
9,242,707
8,425,512
8,409,503
8,387,319
8,589,358
9,012,578
8,927,299
3,412,554
3,318,926
3,578,441
3,498,529
3,264,660
3,198,390
908,739
1,060,383
1,200,116
1,328,735
1,328,657
1,478,026
19,980,944
19,978,426
21,218,149
21,664,497
22,679,409
22,846,422
55,161,582 55,131,075 62,077,437 67,048,721 70,498,226 64,151,191
4,138,939 2,222,433 5,684,862 4,203,531 (4,239,084) 81,616
1,153,453 1,673,717 1,291,437 1,944,641 1,973,245 4,175,924
5,292,392 3,896,150 6,976,299 6,148,172 (2,265,839) 4,257,540
4,664,560 6,140,436 7,819,137 11,847,577 13,796,953 9,261,872
(1,153,453) (1,673,717) (1,291,437) (1,944,641) (1,973,245) (4,175,924)
3,511,107 4,466,719 6,527,700 9,902,936 11,823,708 5,085,948
62,531,706 69,299,157 73, 195, 307 80 ,171,606 82,507,135 85,911,876
1,475,059 1,708,823 (140,726) (5,811,306)
$69,299,157 $73,195307 $80,171,606 $88,028,601 $80,100,570 $84358,110
93,058,076 96,569,183 101,035,902 107,202,624 123,593,896 128,900,769
(360,978) 350,000 (705,529) 10,904,141
96,569,183 101,035,902 107,202,624 117,455,560 134,712,075 144,890,858
Total Primary Government Net Assets $ 165,868,340 $ 174,231,209 $ 187,374,230 $ 205,484,161 $ 214,812,645 $ 229,248,968
Table 3
Fund Balance of Government Funds
Last Ten Fiscal Years
GENERALFUND
Reserved
$ 91,113
$ 86,589
$ 95,337
$ 93,442
$ 16,070
$ 15,570 $
14,970
$ 20,470 $
19,070 $
-
Unreserved
1,572,777
1,569,402
1,108,222
881,433
2,410,089
3,531,157
4,386,943
4,084,868
1,313,146
1,957,308
Total General Fund
1,663,890
1,655,991
1,203,559
974,875
2,426,159
3,546,727
4,401,913
4,105,338
1,332,216
1,957,308
ALL OTHER GOVERNMENTAL FUNDS
Reserved
111,642
89,850
77,421
71,938
72,949
1,564,096
1,054,224
176,435
198,472
350,758
Unreserved, Reported In:
Special Revenue Funds
4,436,895
4,120,290
6,134,056
5,247,909
3,745,126
4,593,224
5,025,387
6,251,037
5,867,682
5,758,691
Capital Projects Funds
12,516,679
16,070,360
8,046,173
7,653,595
6,074,023
2,626,138
1,578,618
2,096,861
Debt Service Funds
373,957
356,163
300,829
294,747
203,981
375,324
418,036
548,107
590,314
262,834
Total All Other Governmental Funds
4,922,494
4,566,303
19,028,985
21,684,954
12,068,229
14,186,239
12,571,670
9,601,717
8,235,086
8,469,144
TOTAL ALL GOVERNMENTAL FUNDS
$ 6,586,384
$ 6,222,294
$ 20,232,544
$ 22,659,829
$ 14,494,388
$ 17,732,966 $
16,973,583
$ 13,707,055 $
9,567,302 $
10,426,452
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Table 4
Changes in Fund Balances of Government Funds
Last Ten Fiscal Years
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
REVENUES
Taxes
S18 66935
S 19248298
S 202W 199
S 21,066,589
S 212M675
S 2376 468 S
25A23,632
S 26 571963
S 25,131935
5 24259262
Licenses and Permits
485A03
459,064
709A98
720.506
862913
1138,578
1,043642
1160.778
1,037,771
1,174918
huergovernnenlal
7,884,437
8,751214
5387,636
10,292,514
11,907,911
4,665,774
M574,163
10,004,467
8,846,813
8,126,087
Charge, for services
2,632,028
2,918,308
3,515,240
3,467,422
3,795,272
4,647,098
5,214,339
4,645,238
5,005,728
5,188,790
Fines and forfeits
843,317
838995
913,451
833,772
75L536
721,703
868A27
1,022,563
1689980
1929,836
Miscellaneous
1,420,839
1,709835
1,825,033
1,762,139
L681959
2,634,054
3101,742
3107379
2,497,255
L636,519
Total Revenues
31,935959
33926,714
32,631,057
38,142,942
41219266
37,569675
46,225,945
46,513388
44209582
42315,412
EXPENDITURES
Current
General Gmemment
4,435,058
4,782,832
5,349,189
5,446,515
5,176,259
5,097,706
5, 628 ,413
6389,555
6,830,197
6,793,202
Public Safety
12,324245
13,265,462
13,938,407
14,622354
13,493,936
14,817,115
15,516,122
17,418,932
21,205,949
22 222,451
Utilities and Environment
469008
422,835
144,912
193,048
195,122
195461
212600
374985
223469
226,975
Transportation
2,982,011
3,202,307
3,573,204
3,715,299
3350,876
2,945,199
6,295350
7,652,880
7,401,334
3372,750
Economic emiroument
2,003,392
1462,768
2,394,304
2,239,290
3003305
2,576379
2,795953
2,52L648
3141196
1950,417
MenaVphysical health
57,925
88,332
117,001
IM743
185,612
68,131
71,285
7L379
71525
74,922
Culture and recreation
2,079083
2,424950
2,663660
3,131,506
4,121492
4,327,569
4,873362
5313,236
5357,250
4,548,291
Debt Service:
Principal
457,421
454,517
1,040,000
714,000
737,500
1OWM3
1,367,000
1,562,499
986,000
1,035,500
Interest and other debt issue costs
344,018
346,220
491,778
1999157
1190262
1367191
1,409746
1363934
L165M3
946,444
Capital
5,544408
8319,672
4,004,749
16,622,050
17,842,919
4,022,693
10.722,720
8,090,180
4,515,778
4,874,658
Total Expenditures
30,696,569
34,769895
33717204
47963962
49,297,283
36,478307
48,897,551
50.758,828
50.901581
46,045,610
Excess (deficiency) of revetmes
1,239,390
(843,181)
(LOW147)
(9,821,020)
(8,078,017)
1,091,368
(2,671,606)
(4,245,440)
(6,691,999)
(3,730,198)
over (under) expenditures
OTHER FINANCING SOURCES (USES)
Proceeds of Long Tetra Debt
13352,815
M865MO
800M0
1,671,000
0
0
Payments to Refunded Escrow Agent
(1,661,309)
0
0
Fixed Assets Donations & Disposal
37,580
184,814
541,174
5,958
2,659,534
2,70M38
1,467,967
428,319
394,759
Insurance Recoveries
14,664
Transfers in
2, 171 465
1533954
3010,681
5,075298
4955,598
6377,743
9768469
8957389
6461827
7R15MO
Transfers out
(1,764,842)
(I 209252)
(I ,802,882)
(3,753180)
(5,705285)
(6,885,610) HMW716)
(9,445,689)
(4,195,667)
(329446)
Total other financing sources and uses
444203
508,616
15,101788
12,187,118
56271
2,161358
L872291
979667
2,694479
4,589,347
OTHER CHANGES IN FUND BALANCE
Charge in Reserves for Inventory
(10,193)
(29,525)
(5390)
(10,023)
(72,486)
(14,148)
39,932
(755)
(1,507)
Net change in fund balances
1,673,400
(364,090)
14,010,251
2356,075
(8,094,232)
3,238,578
(759383)
(3,266,528)
(3,999,027)
859,149
Fund balances- beenming
4,912984
6,586384
6,222294
20,232545
22,588,620
14,494,388
17,732,966
16,971583
11707,055
9,567,302
Prior Period Adjustments
(140.726)
Fund balances - ending
56,586,384
5 6222294
S 20232,545
S 22,588,620
ti 14494,388
S 17,732966 S
16973583
5 13707,055
S 9567302
5 10426,451
Debt service as a percentage of
non - capital expenditures
3.19%
3.03%
5.16%
5.79%
6.13%
7.48%
7.27%
6.86%
4.64%
4.81%
City of Bremerton / 907
Table 5
Assessed and Estimated Actual Value of Taxable Property
Last Ten Fiscal Years
Source: Kitsap County Assessor's Office
Assessed and Estimated Actual Value
Percent
Fiscal
Increase
Year
Real Property
Personal Property*
Total
Decrease
2000
1,325,930,017
156,301,280
1,482,231,297
5.10
2001
1,358,494,142
150,607,757
1,509,101,899
1.81
2002
1,432,102,670
136,483,147
1,568,585,817
3.94
2003
1,447,949,250
137,191,146
1,585,140,396
1.06
2004
1,588,499,381
125,299,389
1,713,798,770
8.12
2005
1,722,154,076
125,883,139
1,848,037,215
7.83
2006
2,557,714,553
134,674,238
2,692,388,791
45.69
2007
2,974,663,326
140,113,102
3,114,776,428
15.69
2008
2,950,336,030
134,404,987
3,084,741,017
(0.96)
2009
2,718,879,047
180,605,461
2,899,484,508
(6.01)
Source: Kitsap County Assessor's Office
City of Bremerton / 908
Table 6
Property Tax Rates for Direct and Overlapping Governments
(Per $1000 of Assessed Valuation)
Last Ten Fiscal Years
Source: Kitsap County Assessor's Office
Enter.
School
Public
Fiscal
General
Medical
Debt
WA
Kitsap
Port of
District
Utility
Year
Fuld
Services
Service
State
Come
Bremerton
#100
Library
District
Total
2000
3.33
0.50
0.16
3.28
1.86
0.50
5.00
0.50
0.10
15.22
2001
3.29
0.49
0.16
3.10
1.52
0.49
4.81
0.50
0.10
14.45
2002
3.30
0.50
0.15
3.15
1.67
0.50
4.82
0.48
0.11
14.67
2003
3.20
0.48
0.75
2.93
1.60
0.49
4.84
0.46
0.10
14.85
2004
3.03
0.50
0.62
3.08
1.41
0.48
4.58
0.45
0.10
14.25
2005
2.86
0.47
0.50
2.96
1.31
0.43
4.34
0.42
0.09
13.38
2006
2.46
0.40
0.48
2.60
1.13
0.38
3.73
0.36
0.08
11.62
2007
2.10
0.35
0.39
2.30
0.96
0.77
3.38
0.31
0.07
10.63
2008
1.90
0.32
0.29
2.03
0.88
0.69
3.19
0.28
0.06
9.64
2009
1.97
0.50
0.29
2.03
0.90
0.30
3.41
0.29
0.06
9.75
Source: Kitsap County Assessor's Office
Table 7
Property Tax Rates
Direct and Overlapping Governments
Last Tcn Fiscal Ycars
Dircct Ratcs Overlapping Ratcs
City Milcagc Bremerton School District
Fiscal Operating EMS Dcbt Scrvicc Total City Kitsap County Statc School Operating Dcbt Total Bremerton Port of Bremerton Public Utility Kitsap Regional Total Total Dircct &
Ycar Milcagc Milcagc Milcagc Milcagc Milcagc Milcagc Milcagc Milcagc School Milcagc Milcagc Dcbt Milcagc Library Milcagc Overlapping Ratcs Overlapping Ratcs
2000
3.32500
0.50000
0.15780
3.98280
1.85520
3.28080
3.11870
1.87670
4.99540
0.37760
0.12300
0.10080
0.50000
11.23280
15.21560
2001
3.29080
0.49490
0.15520
3.94090
1.51810
3.09510
3.05190
1.75650
4.80840
0.36970
0.11680
0.09750
0.50000
10.50560
14.44650
2002
3.30000
0.49620
0.15020
3.94640
1.66990
3.14750
3.08960
1.72630
4.81590
0.39060
0.11190
0.10640
0.48340
10.72560
14.67200
2003
3.20220
0.48150
0.75100
4.43470
1.60170
2.92670
3.20280
1.63560
4.83840
0.38470
0.10590
0.10180
0.46230
10.42150
14.85620
2004
3.02778
0.50000
0.62376
4.15154
1.41320
3.07972
3.07238
1.50870
4.58108
0.37595
0.09925
0.09978
0.45270
10.10168
14.25322
2005
2.85463
0.47265
0.49682
3.82410
1.30856
2.96103
2.91888
1.41966
4.33854
0.34628
0.08733
0.09221
0.41963
9.55357
13.37767
2006
2.46012
0.40695
0.47883
3.34590
1.13108
2.59911
2.54897
1.18100
3.72997
0.30368
0.07304
0.07970
0.36159
8.27816
11.62406
2007
2.10316
0.34805
0.39588
2.84710
0.96251
2.29576
2.40579
0.97236
3.37815
0.25940
0.50933
0.06782
0.30765
7.78062
10.62772
2008
1.90323
0.31487
0.29256
2.51065
0.87703
2.02829
2.22231
0.96519
3.18750
0.23606
0.45766
0.06180
0.28021
7.12855
9.63919
2009
1.96901
0.50000
0.29004
2.75905
0.90091
2.02559
2.43646
0.97730
3.41377
0.28150
0.01427
0.06348
0.28792
6.98743
9.74648
Sourcc: Kitsap County Assessor's Officc
_n
O
b0
W
CD
O
City of Bremerton / 110
Table 8
Principal Property Taxpayers
Current
Year and
Nine Years Ago
2009
2000
Percent
Percent
Assessed
of Total
Assessed
of Total
Name
Type of Business
Rank
Valuation
Assessed Value
Rank
Valuation
Assessed Value
Puget Sound Energy
Utility
1
$ 32,103,305
1.1%
1
$ 36,906,886
2.5%
East Park LLC
Property Management
2
20,796,880
0.7%
Kitsap Community Credit Union
Finance
3
18,925,960
0.7%
SHP II Bremerton LLC
Property Management
4
11,968,680
0.4%
L 198 1 Sinclair Ridge LLC
Undeveloped Land
5
11,513,500
0.4%
New Albertson Inc
Business Services
6
11,295,780
0.4%
Bremer Trust
Misc Services
7
11,208,290
0.4%
3
8,201,000
0.6%
Bremerton Residential Investments
Business Services
8
10,609,630
0.4%
Toyexpansion LLC
Retail- Automotive
9
10,046,230
0.3%
R & L Property Mgmt LLC
Retail- Automotive
10
9,831,040
0.3%
U. S. West
Telephone Utility
2
25,397,583
1.7%
Bay Point Retirement Community
Retirement Apartments
4
7,451,057
0.5%
Haselwood, Charles & Joanne
Retailer, Land
5
7,042,900
0.5%
Kitsap Physicians Service
Medical
6
6,834,875
0.5%
Merit Company
Community Center
7
6,729,000
0.5%
Erlands Associates LLC
Apartments
8
6,688,000
0.5%
Viewcrest Villages
Residential Properties
9
6,683,000
0.5%
Beta Ballard LLC
Community Center
10
6,231,000
0.4%
Fire Lane Terrace Conv. Ctr
Community Center
10
6,231,000
0.4%
Total Taxable Assessed Value
of 10 Largest Taxpayers
148,299,295
5.1%
124,396,301
8.4%
Total Taxable Assessed Value
of all Other Taxpayers
2,751,185,213
94.9%
1,357,834,996
91.6%
Total Taxable Assessed Value
of all Taxpayers
$ 2,899,484,508
100%
$ 1,482,231,297
100%
Source: Kitsap County Assessor's Office
City of Bremerton / 111
Table 9
Property Tax Levies and Collections
Last Ten Fiscal Years
(In Thousands)
% of
Delinquent
Current
Fiscal
Tax
Tax
Year
Levy
Collections
2000
5,622
5,329
2001
5,870
5,543
2002
5,952
5,667
2003
7,011
6,642
2004
7,105
6,784
2005
7,065
6,801
2006
7,431
7,188
2007
7,658
7,406
2008
7,816
7,498
2009
8,507
8,064
% of
Delinquent
Total
% of Total
Outstanding
% of Outstanding
Tax Levy
Tax
Tax
Tax Collections
Delinquent
Delinquent
Collected
Collections
Collections
to Tax Levy
Taxes
to Tax Levy
94.78
244
5,573
99.12
466
8.30
94.44
215
5,758
98.10
464
7.90
95.21
223
5,890
98.97
448
7.52
94.74
196
6,838
97.54
546
7.78
95.48
195
6,979
98.23
523
7.36
96.26
214
7,015
99.29
498
7.05
96.73
308
7,496
100.87
631
8.49
96.71
436
7,842
102.40
425
5.55
95.93
190
7,688
98.36
506
6.47
94.79
192
8,256
97.05
735
8.64
City of Bremerton / 112
Table 10
Ratio of Net General Bonded Debt
To Assessed Value and Net Bonded Debt Per Capita
Last Ten Fiscal Years
* State of Washington Office ofFinancial Management
** Kitsap County Assessor
G.O.
Less Debt
%Net Bonded
Fiscal
Assessed
Bonded
Service
Net Bonded
Debt to
Debt Per
Year
Population*
Value **
Debt
Fuld
Debt
Assessed Value
Capita
2000
36,160
1,482,231,297
8,440,000
327,131
8,112,869
0.55
224
2001
37,260
1,509,101,899
10,930,000
311,654
10,618,346
0.70
285
2002
38,604
1,568,585,817
22,986,363
356,523
22,629,840
1.44
586
2003
38,730
1,585,140,396
26,962,502
375,436
26,587,066
1.68
686
2004
37,520
1,713,798,770
33,170,000
273,708
32,896,292
1.92
877
2005
34,580
1,848,037,215
31,875,139
401,164
31,473,975
1.70
910
2006
35,910
2,692,398,791
30,318,664
457,626
29,861,038
1.11
832
2007
35,810
3,114,736,428
28,619,400
573,654
28,045,746
0.90
783
2008
36,860
3,084,741,017
27,424,767
623,385
26,801,382
0.87
727
2009
36,620
2,899,484,508
26,847,185
313,948
26,533,237
0.92
725
* State of Washington Office ofFinancial Management
** Kitsap County Assessor
City of Bremerton / 113
Table 11
Computation of Direct and Overlapping Debt
December 31, 2009
Amount
Applicable
To Bremerton
26,847,185
12,465,713
3,503,564
19,060,873
126,755
7,950
62,012,040
Gross General
Percentage
Obligation Debt
Applicable
Jurisdiction
Outstanding
To Bremerton
City of Bremerton
26,847,185
100.00
Kitsap County
131,772,868
9.46
Port of Bremerton
15,380,000
22.78
School District #100
25,411,109
75.01
School District #401 - Voted
12,550,000
1.01
So. Kitsap Schools - Non -Voted
3,057,624
0.26
TOTAL
215,018,786
Amount
Applicable
To Bremerton
26,847,185
12,465,713
3,503,564
19,060,873
126,755
7,950
62,012,040
City of Bremerton / 114
Table 12
Computation of Legal Debt Margin
as of December 31, 2009
Total Taxable property Value 2,899,484,508
2.5% ($72,487,113) general purposes limit is allocated between:
Up to 1.5% debt without a vote (councilmanic)
Less: outstanding debt
Less: contracts payable
Less: excess of debt with a vote
Add: available assets
Equals: remaining debt capacity without a vote
I% general purposes debt with a vote
Less: outstanding debt
Less: contracts payable
Add: assets available
Equals: remaining debt capacity with a vote
2.5% utility purpose limit, voted
Less: outstanding debt
Less: contracts payable
Add: assets available
Equals: remaining debt capacity - utility purpose, voted
2.5% open space, park and capital_facilities, voted
Less: outstanding debt
Less: contracts payable
Add: assets available
43,492,268
16,302,185
1,916,804
2,343,635
28,994,845
10,545,000
53,770
72,487,113
72,487,113
27,616,914
18,503,615
72,487,113
Equals remaing debt capacity - open space park and capital facilities, voted 72,487,113
City of Bremerton / 115
Table 13
Ratio of Annual Debt Service Expenditures for
General Bonded Debt to Total General Expenditures
Last Ten Fiscal Years
Ratio of Debt
Includes general, special revenue and debt service funds; does not include Golf Course Bonds.
Total
Total
Service To General
Fiscal
Debt
General
Expenditures
Year
Principal
Interest
Service
Expenditures
Percent
2000
425,716
242,742
668,458
30,078,291
2.22
2001
370,000
222,556
592,556
34,769,895
1.70
2002
865,000
201,052
1,066,052
35,808,218
2.98
2003
714,000
876,982
1,590,982
36,418,718
4.37
2004
697,500
1,017,920
1,715,420
35,762,460
4.80
2005
2,650,863
1,098,277
3,749,140
38,144,147
9.83
2006
1,231,475
1,145,958
2,377,433
46,186,270
5.15
2007
1,359,264
1,098,346
2,457,610
51,035,603
4.82
2008
839,633
997,368
1,837,001
50,836,047
3.61
2009
875,582
884,224
1,759,806
44,270,529
3.98
Includes general, special revenue and debt service funds; does not include Golf Course Bonds.
City of Bremerton / 116
Table 14
Water and Sewer Revenue Bond Coverage
Last Ten Fiscal Years
* Net of depreciation, amortization and City taxes.
Maintenance &
Net Revenue
Current
Fiscal
Gross
Operating
Available For
Current
Coverage
Year
Revenue
Expenses*
Debt Service
Principal
Interest
Total
Ratio
2000
17,465,141
9,324,824
8,140,317
1,735,000
973,725
2,708,725
3.01
2001
15,698,664
8,562,359
7,136,305
1,830,000
878,300
2,708,300
2.63
2002
16,447,132
8,770,277
7,676,855
2,025,000
735,200
2,760,200
2.78
2003
17,724,919
9,759,003
7,965,916
2,145,000
657,620
2,802,620
2.84
2004
19,014,710
11,175,402
7,839,308
2,270,000
533,720
2,803,720
2.80
2005
21,180,985
11,751,679
9,429,306
2,390,000
413,410
2,803,410
3.36
2006
24,909,999
12,125,481
12,784,518
2,555,659
305,144
2,860,803
4.47
2007
25,013,291
13,623,595
11,389,696
2,815,000
242,816
3,057,816
3.72
2008
23,021,132
13,023,575
9,997,557
305,000
223,202
528,202
18.93
2009
24,397,012
14,519,833
9,877,179
320,000
210,148
530,148
18.63
* Net of depreciation, amortization and City taxes.
City of Bremerton / 117
Table 15
Demographic Statistics
Last Ten Fiscal Years
Fiscal Population *
Personal **
Income
School * **
# of * * **
Rate of * * * **
Year Number
Income ($000)
Per Capita
Enrollment
Housing Units
Unemployment
2000 36,160
1,066,552
29,495
6,058
16,796
5.6
2001 37,260
1,145,431
30,742
6,001
16,744
6.0
2002 38,604
1,219,605
31,593
5,894
16,576
6.1
2003 38,730
1,265,712
32,680
5,787
16,617
5.4
2004 37,520
1,299,639
34,639
5,703
16,615
5.9
2005 34,580
1,287,196
37,224
5,412
16,607
5.1
2006 35,910
1,382,427
38,497
5,209
16,615
4.7
2007 35,810
1,486,858
41,521
4,998
16,797
4.4
2008 36,860
1,574,351
42,712
5,061
17,171
4.4
2009 36,620
--
--
4,835
17,170
7.4
* State of Washington, Office of Financial Management
** U.S. Department of Commerce - Bureau of Economic Analysis (County data prorated based on local
population)
* ** State of Washington Office of Financial Management -
Office of Superintendent
of Public Instruction
* * ** State of Washington, Office of Financial Management
* * * ** State of Washington, Employment Security Department
City of Bremerton / 118
Table 16
Miscellaneous Statistics
Type of Government
Home -Rule Charter
Demographics in 2009
Total Area for City of Bremerton
Number of City Employees
Full -Time Equivalents
Fire Protection
Number of Personnel
Number of Stations
Fire and Aid Calls - 2009
Priority 1 Response Time (minutes)
Police Protection
Number of Police Officers
Calls for Service - 2009
Average Priority 1 Response Time (minutes)
Average Priority 2 Response Time (minutes)
Parks & Recreation
Number of Developed Parks
Number of Park Acres
Senior Centers
Community Pool - 7arstad Aquatic Center
Golf - Gold Mountain Golf Complex
Ice Arena - Bremerton Ice Arena
30.0 Square Miles
356.13
59
3
7,502
5.18
63
54,783
2.33
2.33
J1< J�Ye
1
34
709.50
1
1
1
1
City of Bremerton / 119
Table 16 Continued
Water Utility Services
9,353
Residential Accounts
16,061
Commercial Accounts
1,744
Storage Capacity - Gallons
33,240,000
Average Daily Demand - Million Gallons per Day
T1
Reservoirs
16
Watershed Land (square miles)
1196
Sources:
32
Surface Supply - 60%
60%
Ground Supply - 8,200.000 Gallons per Day Capacity
0
Miles of Main
322
Bremerton supplies 3 billion gallons of water each year to 55,000 people, representing 36% of all the water supplied in Kitsap County.
Bremerton regularly monitors the physical, chemical, and bacteriological characteristics to ensure that the drinking water is safe and
water quality is the best possible_
Sewer Utility Services
Residential Sewer Accounts
9,353
Commercial Sewer Accounts
912
Miles of Main
141
Miles of Force Main
31
Pump Lift Stations
37
Sewage Treatment:
Average Annual Flow - MGD
T6
Hydraulic Peak Capacity - MGD
32
Permitted Average
4.3
Solids Treated Tons /Year:
Wet Tons
3,796
Dry Tons
678
Bremerton's sewage system provides sewer service to approximately 37,000 people_ The wastewater collection system serves City
residents as well as nearby areas in unincorporated Kitsap County.
Stormwater Utility Services
Residential Accounts 9,799
Commercial Accounts 1,004
Miles of Mains 115
It is the mission of the Stormwater Program within the Department to control
flooding, enhance water quality, protect sensitive habitat areas, and optimize the
recharge of local aquifers_
City of Bremerton / 920
Forestry
Water and Utlity Forest Lands (acres) 8,300
Miles of Forest Roads 50
Public Schools
Bremerton is served primarily by Bremerton School District #100. A small percentage of children attend Central Kitsap School
District #401_
Elementary 6
Middle School 1
Junior High 1
High School 1
Vocational School 1
Colleges
Olympic College
1600 Chester Ave., Bremerton
360 792 -6050
1 800 259 -6718
Navy College
Naval Kitsap Bremerton
2255 Cole Ave. Bldg_ 853, Bremerton
360 476 -4282 Ext. 9176
Hospitals
Harrison Medical Center
2520 Cherry Ave., Bremerton
360 377 -3911
Local Transportation
Washington State Ferries
Seattle Bremerton Route - Total Annual Rides (2009)
Kitsap Transit (2009)
Foot Ferry
Annual Rides - Port Orchard & Annapolis
Buses
Annual Bus Rides - Bremerton
Kitsap Access Bus (County Wide)
Sources: Washington State Ferries
Kitsap Transit
Naval Hospital Bremerton
1 Boone Road, Bremerton
1 800 422 -1383
2,428,674
473,857
1,437,452
352,874
Table 16 Continued
City Streets
Street Miles
156
State Highway Miles
19
Miles of Sidewalks
115
Street Lights:
City Owned
371
Leased from Puget Sound Energy
1699
Forestry
Water and Utlity Forest Lands (acres) 8,300
Miles of Forest Roads 50
Public Schools
Bremerton is served primarily by Bremerton School District #100. A small percentage of children attend Central Kitsap School
District #401_
Elementary 6
Middle School 1
Junior High 1
High School 1
Vocational School 1
Colleges
Olympic College
1600 Chester Ave., Bremerton
360 792 -6050
1 800 259 -6718
Navy College
Naval Kitsap Bremerton
2255 Cole Ave. Bldg_ 853, Bremerton
360 476 -4282 Ext. 9176
Hospitals
Harrison Medical Center
2520 Cherry Ave., Bremerton
360 377 -3911
Local Transportation
Washington State Ferries
Seattle Bremerton Route - Total Annual Rides (2009)
Kitsap Transit (2009)
Foot Ferry
Annual Rides - Port Orchard & Annapolis
Buses
Annual Bus Rides - Bremerton
Kitsap Access Bus (County Wide)
Sources: Washington State Ferries
Kitsap Transit
Naval Hospital Bremerton
1 Boone Road, Bremerton
1 800 422 -1383
2,428,674
473,857
1,437,452
352,874
City of Bremerton / 929
Table 16 Continued
Employment in City Limits
Number of Business Licenses Issued 5113
Number of Business Licenses Issued in City Limits 2394
Top Employers
# of Employees
Naval Base Kitsap (Bremerton, Bangor & Keyport)
14,900
Puget Sound Naval Shipyard
9,650
Harrison Medical Center
2,716
Bremerton School District
690
Olympic College
650
Doctors Clinic - Bremerton
547
Kitsap Mental Health Services
377
City of Bremerton
367
Port of Bremerton
311
Group Health Co -Op
303
Source: Kitsap Economic Development Alliance
City of Bremerton / 922
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