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HomeMy WebLinkAboutCherokee County Board of Commissioners - Public Financial ReportANNUAL REPORT TO THE CITIZENS OF CHEROKEE COUNTY, GEORGIA FOR FISCAL YEAR 2021: OCTOBER 1, 2020 –SEPTEMBER 30, 2021 2021 ANNUAL CITIZEN’S REPORT March 31, 2022 Citizens of Cherokee County, Georgia: On behalf of the Cherokee County Board of Commissioners, I am pleased to present our annual Citizen’s Report for Fiscal Year 2021 (FY21). This report is a summary of how your tax dollars and other revenues have been managed throughout the year. State law and local ordinances require that every general purpose local government publish a complete set of audited financial statements each fiscal year which is the Annual Comprehensive Financial Report (ACFR). You may obtain a copy of the ACFR on our website.www.cherokeega.com/Finance/annual-audit-information.As part of our commitment to be transparent for our citizens,thePopularAnnualFinancialReport(PAFR)is published to summarizetheCounty’s financial activities.It provides an overview of ourorganizationalstructure,services offered to our citizens,and financialstate.The information in this report is extracted from the County’sAnnualComprehensiveFinancialReport.The PAFR is prepared byCherokeeCountytoincreasepublicunderstandingandconfidenceinCountygovernmentthroughaninformal,easy,and user-friendlyfinancialreport.Regards, HarryHarryJohnstonChairman,Cherokee County Board of Commissioners BOARD OF COMMISSIONERS IN THIS REPORT 3 About Cherokee County4 Our Mission 5 2021 Happenings6 Public Safety7 Public Works 8 Recreation and Parks9 Community Development / Industry Mix10 General Fund11Major Taxes Assesse the County 12 Property Tax LETTER FROM THE CHAIRMAN Chairman: Harry JohnstonBoard of CommissionersDistrict 1: Steve WestDistrict 2: Richard WeatherbyDistrict 3: Benny CarterDistrict 4:Cory RagsdaleTerm:4 years 13 Per Capita Comparisons14 Financial Review of Fiscal Year15 Revenues and Expenditures16 Capital Improvements 2 ABOUT CHEROKEE COUNTY Cherokee County was formed in 1831 from lands previously held by the Cherokee Indians. The very name of the county honors the proud people who first settled here. We are perfectly located 30 miles north of Atlanta where ”Metro Meets the Mountains”. There are 5 main municipalities in Cherokee County: Canton, Woodstock, Ball Ground, Holly Springs, and Waleska. Sources:2021 ACFR,US Census Bureau,Georgia Trend &Bureau of Labor Statistics 2021 Population Estimate 272,1302012-2021 Population % Change 22.96% Education Attainment:•High School Graduate 92.1% •Bachelor’s degree or higher 38.2%Median Family Income 82,7402021 Unemployment Rate: •United States 4.6% •Georgia 3.2% •Cherokee County 1.7%Square Miles of Area 4342021 General Millage Rate 5.212 Cherokee County ranked “Top 10 Georgia counties to live in 2021” •Holly Springs –7th Best Place to Raise a Family-Niche •Money Magazine ranked Woodstock the 9th fastest growing city in Georgia •Canton ranked #1 Best Place to Live in Georgia -Movoto •Ball Ground –Safest Community in Metro Atlanta •Waleska is home to Reinhardt University, a four year college which also offers master’s programs. 3 OUR MISSIONOUR GOAL OUR PROMISE OUR COMMITMENTTo preserve the beauty, unique character, and desirability of the Community where we live,work,and play.-Service Excellence & Continuous Improvement -Accelerate Infrastructure Improvements-State-of-the-art Public Safety facilities, training, and personnel -Fiscal Responsibility & Conservativeplanning to maintain the lowest tax rates in the ARC Metro Atlanta area. -Listen to you-Respect your Rights -Represent you with the highest standards of ethics and integrity 4 ELECTED OFFICIALS Sheriff Frank ReynoldsTax Commissioner Sonya LittleDistrict Attorney Shannon WallaceChief Judge Ellen McElyeaSuperior Court Judge David Cannon, Jr.Superior Court Judge Tony BakerClerk of Superior Court Patty BakerState Court Judge Michelle HomierState Court Judge Alan JordanState Court Judge Dee MorrisJuvenile & Family Court Judge Jennifer DavisJuvenile & Family Court Judge John B. SumnerState Court Solicitor Todd HayesMagistrate Court Judge James DraneJudge of Probate Court Keith WoodCoronerSally SimsSurveyorRon Wikle County Manager Geoff Morton County Clerk Christy Black County Attorney Angela Davis, Jarrard & Davis LLP APPOINTED OFFICIALS 2021 HAPPENINGS Marvel’s Hawkeye is a Disney streaming series, which was shot inside Canton’s historic Jones Mercantile Building. In 2021, the Cherokee County Office of Economic Development readied to break ground on the new Canton Corporate Park. The Park is master planned to include two large pad sites with the ability to accommodate 150,000+ sq. ft. as well as flex space sites fronting State Route 20. Cherokee County is a “Camera Ready Community.” 49+ Projects filmed,27% Film inquiries to Production, 183+ Total Inquiries in Cherokee County during 2021. 5 Cherokee is an attractive destination for global businesses to plant roots.Thomas Regoult, Inc., which is headquartered in The Netherlands, announced an expansion in the Bluffs (Canton). The Sheriff’s Office has earned the “Triple Crown” recognition through the National Sheriff’s Association –CALEA, NCCHC, and ACA; one of only 74 in the Nation.Lowest Violet Crime rate and 3rd Lowest Property Crime rate in the region.Addition of a Ball Ground precinct to increase CSO Uniform Patrol Service to the northern part of the county.Completed expansion of Detention Center: 583 new beds combined with renovation of old jail will allow for more than 1,100 beds Fire/EMS services has ISO 2 RatingResponse times in best 10% nationallyAdvanced life support EMS; ranked best in the regionTheMarshal’s Office, nationally accredited and certified,responded to 8,752 calls for serviceOur Nationally Accredited 911 communications centeris only 1 of 56 in the Nation. Finance received GFOA’s Triple Crown, which is given for earning the Certificate of Achievementfor Excellence in Financial Reporting, the Distinguished Budget Presentation Award, and the award for Outstanding Achievement Popular Annual Financial Reporting. Cherokee Parks and Recreation obtained national accreditation and was voted the #1large population agency of the year by Georgia Recreation and Parks Association Sworn Officers 369 Firefighters/EMTS/Paramedics 386 Total Fire Incidents 461Structure Fires 176All Other Fire Incidents 285 Total EMS Incidents 21,326 All Other Incidents 8,382 Ambulance Transports 13,833 Code Enforcement Complaints 8,752 Animal Control Complaints 3,163 E-911 Calls for Service 238,638 New Misdemeanor Probation Cases 713 Adopted, Reclaimed, or Rescued Animals 1,373 PUBLIC SAFETY Fire & Emergency Services respond to a call every 17 minutes. The Sheriff’s Office received 129,541 calls for service. Animal Control responds to calls for all the cities in Cherokee County.You can find County ordinances online at www.municode.com. Did you know?AVERAGE RESPONSE TIME Law Enforcement 6 * Priority 1 calls dispatched from 911 Center CATS Transportation PUBLIC WORKS Upcoming Projects in 2022 •Trickum Road Reconstruction•Shoal Creek Road Reconstruction and Drainage Improvements •Union Hill Road over Canton Creek bridge replacement•Bells Ferry Road at Kellogg Creek Road at Victory Drive Intersection Improvement and Signal Installation•Union Hill Road at Lower Union Hill Road Roundabout•Batesville Road at Sugar Pike Road Roundabout •Technology Ridge Parkway Construction (new alignment)•SR 140 at Scott Road and Avery Road Intersection Improvements •Hickory Road Sidewalks•Hames Road reconstruction Did you know?The County maintains miles of paved roadways. In 2021, our Public Works crews resurfaced miles.70 Bridges/Culverts58 Traffic Signals Customers served Stormwater inspected structures and 106 miles of pipe and ditch. Maintained and repaired structures, feet of pipes. Development Inspectors inspected sites for development/construction. 2,177 53,149 2 County Recycling Locations 982 4,826 7 Recycling 352 tons of glass, 183 tons of Metal, and 793 tons of paper, plastic, and cardboard RECREATION & PARKS •Over 3.5 Million Visits to Parks and Program Participations •Total Park Acres 2,545 •Total Park Acres per 1,000 Residents 10.4 •Total Facebook Followers 10,880 •Website Total Hits 342,600 •Cost Recovered through Earned Revenue 52% The National Average for Public Recreation Agencies recovery is less than 25% Combined, 96 baseball/softball, lacrosse tournaments and swim meets had more than $12.6 Million impact on the local economy. Source: Data collected from tournament & meet organizers and Georgia Department of Tourism. Did you know? Average Homeowner paid just $12.39 for maintenance and operations of county parks and recreation programs in FY2021 8 Acres Protected as Current & Future Parks Making Life Better in Cherokee County by Preserving our Parks and Facilities While Creating More Active and Healthier Communities through Recreation •Cherokee Youth Softball (Fall Season) experienced its largest growth in 15 years.•Cherokee Youth Baseball completed a successful season through the Pandemic. •Hosted agency’s first wildlife management event with over 1,200 lottery registrants.•Hosted the Inaugural “Unwind Wednesdays” at Cherokee Veterans Park.•The Great Pumpkin Fest hosted in October drew over 10,000 visitors.•Outdoor Recreation Opportunities are a leading trend among residents. •Cherokee County Aquatics Center certified over 500 lifeguards since opening. COMMUNITY DEVELOPMENT/INDUSTRY MIX INDUSTRY GROWTH / INVESTMENT $142,000,000 ALMOST IN INVESTMENT67 Business Prospects15 Expansion Locations 49+ Works Filmed 518 Career Opportunities Announced and/or Committed plans were submitted for site plan approval. Business Licenses issued 672 New Business Licenses 9 17% 69% 14% Goods Services Government The industry mix was relatively unchanged from 2014 to 2021. From 2000 to 2018, Cherokee’s population grew 86.0% which created significant construction opportunities. Note: These numbers are based on the 2nd Qtr of 2021 INDUSTRY MIX The Cherokee County Airport is able to accommodate private jets. Cherokee County is part of the Atlanta Regional Commission (ARC). Did you know? Map of Atlanta Regional Commission GENERAL FUNDAfter the County collects taxes and other revenue, the monies must be spent efficiently to provide services to our citizens and businesses. The expenditures of the General Fund are classified by the type of service provided: General Government Culture &Recreation Judicial Services Housing &Development Public Safety Capital Outlay Public Works Intergovernmental Health &Welfare Debt Service The General Fund is the County’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. WHERE YOUR MONEY GOES REVENUE VS. EXPENSES 10 FinancingSources FinancingUses 2018 2019 2020 2021 Financing Sources FinancingUses Surplus 70% 2% 4% 10% 10% 4% Property Taxes Franchise Taxes Fines & Forfeitures Charges for services Insurance Premium Tax Licenses/Permits,Intergovernmental,Interest & Other 17% 18% 51% 14%General Government Judicial Public Safety Other Property taxes are recognized as revenues in the fiscal year forwhichtheyarecollected,thus the 2020 taxes collected beginning inSeptemberwereforthe2021fiscalyearbeginningOctober1.The2020TaxDigestincreased6.63%with 3.86%due to new growth.In July 2021,the County approved keeping the current M&O millagerate.Cherokee County has the third lowest combined millage rateinthemetro-Atlanta area. MAJOR TAXES ASSESSED BY THE COUNTY SALES TAX PROPERTY TAX AD VALOREM TAX / TAVT SPLOST tax revenue peaked in 2007 but decreased from 2008until2010becauseoftheeconomicdownturn.The revenuebegantoincreaseand2015taxesexceededthe2007totals.Thetotalisnowincreasingeachyear.The amount collected in 2021was72.1%greater than the 2007 total. The TAVT (Title Ad Valorem Tax)fee was implemented in 2013andgeneratednewrevenuefortheCounty’s General Fund,butthisfeeeliminatedsalestaxonvehiclesales. MV/TAVT Tax Intangible Tax Real/Personal Property Tax Insurance Premium Tax 49% 3% 6% 10% 30% 1%2% Special Purpose Local Option Sales TaxOther Taxes * Indicates Counties without 1 cent sales tax (LOST or HOST) Counties with this tax must reduce property tax rates, resulting in lower Millage rates. TOTAL TAX REVENUE BY SOURCE 11 4.933 7.896 7.770 8.938 9.540 11.450 12.563 12.733 14.710 16.690 19.496 0.000 5.000 10.000 15.000 20.000 25.000 2021 Millage Rates 28.656 $0.69Cherokee CountySchool District $0.18Cherokee County $0.12Cherokee County Fire & Emergency Services$0.01Cherokee County Parks WHERE DOES YOUR PROPERTY TAX DOLLAR GO? Taxes on a $303,600 home in FY 2021County $606.89Fire$399.78Parks Bond $ 52.70 Year Total $1,059.37The average taxpayer paid per day which is less than the priceoflarge cup of freshly brewed .*Source: Cherokee County Tax Assessor $2.90 1 Median value of a home in FY2021 was $303,600* compared to $285,100 in FY2020 12 PER CAPITA COMPARISONSTAXES PER CAPITA EXPENDITURES PER CAPITA LONG TERM DEBT PER CAPITA Source: Per Capita information is based on 2020 ACFR for all counties listed, as not all 2021 ACFR were available. 13 628.76 $0.00 $200.00 $400.00 $600.00 $800.00 $1,000.00 Cherokee Fulton Fayette Henry DeKalb Cobb Gwinnett Clayton Douglas Forsyth Rockdale $789.27 $- $500.00 $1,000.00 $1,500.00 Fayette Cherokee Fulton Henry DeKalb Gwinnett Rockdale Cobb Forsyth Douglas Clayton $214.39 $0.00 $500.00 $1,000.00 $1,500.00 $2,000.00 $2,500.00 Henry Clayton Douglas Cherokee Fayette Cobb Rockdale Fulton Gwinnett DeKalb Forsyth FINANCIAL REVIEW OF FISCAL YEARThe Financial Review section is designed to provide details on the financial health and stability of Cherokee County. Included within this section are discussions of major revenue sources and major expenditure categories, analysis of fund balances, analysis of net position and significant financial trends. Information contained within this section is intended to provide the reader with an increased level of understanding of how available resources are utilized to provide services to the Citizens of Cherokee County.During fiscal year 2021, the county’s governmental funds reported a combined ending fund balance of $127.7 million, which indicates a increase of $12.5 million from the prior year. This increase in fund balance is attributed to higher SPLOST revenue and decreased SPLOST spending due to timing of projects. The General Fund also had an increase due to higher property tax revenue. Sources: Cherokee County Annual Comprehensive Financial Report for the respective Fiscal Year Statement of Revenues, Expenditures & in Changes in Fund Balances (Governmental Funds)Statement of Revenues, Expenditures & in Changes in Net Position (Proprietary Funds) FY 2019 FY 2020 FY 2021 Revenues: Property Taxes $96.0 $104.8 $116.0 Insurance Premium Taxes 10.7 11.4 11.8 Sales and Use Taxes 43.6 47.9 55.4 Other Taxes(Alcohol, Franchise, Other)4.1 4.0 4.1 Licenses and Permits 2.7 3.1 3.5 Intergovernmental 14.3 24.7 19.8 Fines and Forfeitures 6.1 5.6 6.4 Charges for Services 20.8 20.7 23.5 Investment Earnings 3.4 1.6 .1 Contributions and Donations 0.2 0.2 1.2 Other Revenues 1.7 1.4 1.4 Total Revenues:$203.7 $225.4 $243.0 Expenditures: General Government $15.1 $16.0 $19.9 Judicial 19.8 19.9 21.1 Public Safety 81.1 90.2 95.3 Public Works 12.2 11.3 12.0 Health and Welfare 3.2 3.6 3.7 Culture and Recreation 7.8 7.4 8.2 Housing And Development 5.5 5.7 7.5 Capital Outlay 13.3 48.0 36.3 Intergovernmental 12.7 16.4 16.3 Debt Service .5 9.5 7.5 Total Expenditures:$208.3 $228.0 $227.8 Excess (deficiency) of Revenues over (under) Expenditures -$4.7 -$2.7 -$15.2 -$2.2 -$2.8 Net Changes in Fund Balances -$6.9 -$5.5 $12.5 Beginning Fund Balances $127.6 $120.7 $115.2 Ending Fund Balances $120.7 $115.2 $127.7 Governmental Funds (e.g. General Fund, E-911 Fund, etc.) Figures presented in millions. Totals subject to rounding FY 2019 FY 2020 FY 2021Operating Revenues: Charges for Services $21.6 $26.6 $29.7 Miscellaneous Revenue 0.6 2.0 2.8Total Operating Revenues:$22.2 $28.6 $32.5 Operating Expenses:Personal Services $6.1 $8.9 $9.9 Contractual Services 2.5 3.0 3.3 Claims Paid 14.1 19.4 22.6 Supplies 1.3 1.6 1.8 Depreciation 0.5 0.5 0.5 Total Operating Expenditures:$24.4 $33.4 $38.0 Operating Income (Loss)-$2.2 -$4.8 -$5.5 Non-Operating Revenues Gain (Loss) on disposal of capital asset $0.0 -$0.1 $0.0 Non capital grants 0.0 0.1 0.01 Total Non-Operating Revenues 0.0 0.0 0.0 Capital Contributions 0.0 1.3 1.0 Transfers-in 2.3 3.4 4.7 Changes in Net Position $0.1 -$0.1 $0.2 Beginning Net Position $3.5 $1.8 $1.7 Ending Net Position $1.8 $1.7 $1.9 Proprietary Funds (EMS, Conference Center, w Internal Service Funds )Figures presented in millions. Totals subject to rounding 14 The County’s proprietary funds reported a combined ending net position of $1.9 million which was a increase of $.2 million from 2020. The EMS and Conference Center fund balance declined $.78 million while the internal service funds for fleet and healthcare fund balance increased $.93. -$2.6Total other financing sources (uses) REVENUES AND EXPENDITURESExpenditures For fiscal year ending September 30, 2021, the County’s governmental funds expended $228 million. Expenditures within Government Funds decreased $232 thousand between 2020 and 2021. Major variances include the following: There was a $11.6M decrease in Capital Outlay expenditures as the Adult Detention Center reached completion. No new large projects were started in 2021. There was new Parks land purchased, along with new Sheriff vehicle purchases, and road projects completed. Public Safety increased spending $5.1 million. All employees received a 5% COLA and the cost of health and pension benefits increased.. The Fire Department added 7 new positions to upgrade existing stations. which began in 2019. Inmate medical costs increased $.3M. General Government increased expenditures $3.9M from 2020. This increase covered the 4% COLA for all employees, increased Health Insurance costs, and Presidential election costs and a new Elections Building.. 15 Revenues For fiscal year ending September 30, 2021, the County’s revenues for all Governmental Funds totaled $242.98 million, which was $17.6 million higher than FY2020. There were several factors contributing to this increase: Property tax revenue increased $11.2 million. Cherokee County Commissioners approved a partial rollback of millage rates in 2020. The increase in property taxes was due to a 3.86% increase in new growth and higher TAVT (22.60%) and Intangible (29.92%) receipts. Sales tax revenuealso increased $7.5 million in 2021. Sales tax has been steadily increasing due to the building and opening of many new retail centers such as the Outlet Shoppes of Atlanta, located in Woodstock, Cabela, and the Canton Exchange. Intergovernmental revenue decreased from $24,750,636 in 2020 to $19,778,145 in 2021, or $4,972,491. The majority of this decrease was due to the $9+ million that the county received through the CARES Act in 2020. While the County received American Rescue Plan Act (ARPA) funds in 2021, they only expended a small portion of those and the remainder was deferred. The Insurance Premium tax increased $0.7 million in 2021 due to an increase in residential property in the unincorporated portion of the county. CAPITAL IMPROVEMENTS/6-YEAR CIPCAPITAL IMPROVEMENT PROJECTS UNDER C0NSTRUCTION OR COMPLETED DURING FISCAL YEAR 2021 Public Works Projects Community Service Projects Completed Completed-SR 140 at Sugar Pike Road Signal Installation -Acquired 100+ acres in Free Home for future Cochran Park-Woodstock Rd at Victory Dr Roundabout -Installed new playground equipment at Sequoyah Park and-Union Hill Rd over Mill Creek Bridge replacement Hunky Mauldin Sports Complex-Earney Road reconstruction -Refinished Wood Floors in Historic Union Hill Community Center-Lower Dowda Mill Rd over Sharp Mtn Creek Bridge -Rehabbed the Boat Ramp at Cherokee Mills -Univeter Rd at Pinecrest Rd Intersection Improvemen-Installed 2 New Cabanas at Cherokee County Aquatic Center-Gaddis Road Sidewalk and Drainage Improvement In Construction Under Construction -LB Ahrens Recreation Center Phase 1-SR 140 at East Cherokee Dr Improvements -Hickory Flat Gym Renovation-East Cherokee Drive at South Holly Springs Road -Conversion of old Fire Station #9 to Charlie Ferguson Community Ctr Intersection Improvement -New Pavilions at Hunky Mauldin Sports Complex, Cherokee -Towne Mill Parkway Multi-use Trail Veterans Park and Patriots Park-Univeter Rd at New Light Rd with traffic signal In Planning-Holbrook Campground Road at Birmingham Rd NE Cherokee Parks Master Plans for 3 Future Parks 'Roundabout Equipment/Vehicle Purchases-Transart Parkway Bridge Replacement -Purchased 3 New Propane Fueled Buses for CATS-Bells Ferry Widening/Bridge Replacement -Purchased a New Field Rake, 2 Mowers, and a Sprayer for Parks-Wiley Bridge Road at Cox Road Roundabout-Arnold Mill Road at River Laurel Way Drainage Improvement Equipment-Caterpillar CB7 Asphalt Roller Public Safety Projects -Adult Detention Center expansion completed-Purchased 73 Sheriff vehicles-Plans underway for new precinct/K9 training center-Land was purchased for New Fire Station #15-Land was purchased to expand Fire Station #32 Source: Cherokee County, Annual Comprehensive Financial Report for the respective Fiscal Year, Statement of Revenues, Expenditures & Changes in Fund Balance (Governmental Funds). 16 $253 million SPLOST The SPLOST Funds account for sales tax collections and project expenses.Most of theCounty’s capital projects are funded by SPLOST funds.These funds collect sales taxrevenueeachmonth,if this revenue is not spent in the current year,the balance willaccumulateandcarryforward,and theprojects willbecompletedin futureyears. 6 Year SPLOST PROJECT PlanMunicipal Projects General Projects Transportation Projects Public Safety Projects 51.6% 7% 31.9% 9.5% $39 $44 $48 $55 $- $10 $20 $30 $40 $50 $60 2018 2019 2020 2021 SPLOST Receipts (Millions) Government Finance Officers Association Award for Outstanding Achievement in Popular Annual Financial Reporting Presented to Cherokee County Board of Commissioners Georgia For its Annual Financial Report for the Fiscal Year Ended September 30, 2020 Executive Director/CEO Cherokee County Board of Commissioners1130 Bluffs ParkwayCanton, GA 30114(678) 493-6000www.cherokeega.com