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HomeMy WebLinkAboutCity of Granbury - Public Financial ReportCity of Granbury, Texas ff Popular Annual Financial Report For the Fiscal Year Ending September 30, 2021 2 Table of Contents 3 4 5 6 7 8 9 10 11 TABLE OF CONTENTS City Council City Manger’s Message Statement of Activities Net Position Revenue Highlights Expense Highlights Capital Assets Debt Summary City Statistics 12 13 City Goals Government Structure 14 Major Projects 3 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS About City Council The Granbury City Council consists of the mayor and five council members elected citywide to serve three-year terms. The City Council is responsible for a wide variety of tasks including approv- ing expenditures which exceed the amount stipulated in the Charter and by State law, appointing board and commission members, considering zoning issues, strategic planning, and approving the annual budget. Additionally, four city officers are appointed by the City Council and operate under its guidance: City Manager, City Secretary, City Attorney and Municipal Judge. City Council Meetings City Council meetings are held on the first and third Tuesday of each month at 6:00 p.m. in the Council Chambers at City Hall. These meetings are open to the public and citizen input is welcome. To watch the City Council meetings live or to view past recordings go to www.granbury.org/live. MAYOR Jim Jarratt Eddie Rodriquez Council Member Place 2 Bruce Wadley Council Member Place 3 Trish Reiner Council Member Place 4 Steven Vale Council Member Place 5 Greg Corrigan Council Member Place 6 MEET THE LEADERS Granbury CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 4 A WORD FROM THE City Manager The City of Granbury is pleased to present the City’s Popular Annual Financial Report (PAFR) for the fiscal year ended September 30, 2021. This report provides a brief overview of the City’s revenue streams and where those dollars are spent. The purpose of the PAFR is to provide summarized fi- nancial data and a snapshot of the City’s financial status in a more easily comprehensible format to increase awareness and knowledge of the operations of the City. The financial information contained in this report comes from the City of Granbury’s 2021 Annual Comprehen- sive Financial Report, which is prepared in accordance with the Generally Accepted Accounting Principles (GAAP). The Annual Comprehensive Report contains additional detailed and extensive information, and it can be viewed at https://www.granbury.org/ACFR2021 To the best of our knowledge, the enclosed data is accu- rate in all respects and organized to fairly present the financial position and results of City operations. If you have any questions or comments about this report, con- tact the finance department at 116 W Bridge Street, Granbury, Texas, 76048 or call 817-573-1114. 5 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS Infrastructure Basics To upgrade, enhance, expand, and maintain the existing infrastructure of the City and to prepare for future growth. Community Development To assure planned quality growth in the City and its extraterritorial jurisdiction. Service Delivery To provide efficient and effective delivery of all city services. Tourism Development To make the City one of the top 20 destinations in the state by marketing our existing attractions and facilities and developing new ones. Citizen Involvement To enhance community awareness, encourage input, and increase community involvement in the decision-making process. Intergovernmental Relationships To cooperate with all government agencies to promote community objectives. Economic Development To proactively recruit economic development opportunities. “Providing quality of life through exceptional services with a friendly and responsive staff.” “Where Community, Heritage, Culture, and Tourism promote and provide our City with an exceptional quality of life.” CITY GOALS MISSION STATEMENT VISION STATEMENT CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 6 GOVERNMENT STRUCTURE City Council City Attorney City Secretary City Manager Municipal Judge Municipal Court Police Economic Development Permits Streets Fleet Building Maintenance Electric Meter Reading Water Public Works Water Treatment Water Distribution Deputy City Manager Fire Community Development Human Resources Information Technology Airport CVB Conference Center Opera House Tourism Langdon Center Utility Billing Finance Warehouse Purchasing Wastewater Wastewater Treatment Wastewater Collection Communication PIO Granbury Media Cemetery Recreation Parks Citizens of Granbury 7 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS Net Investment in Capital Assets $83,149,594 Restricted $5,070,202 $26,390,247 Unrestricted Revenue & Expenditures Statement of Activities Governmental Business-Type Total Program Revenues Charges For Services 2,443,143 24,387,450 26,830,593 Operating Grants & Contributions 283,930 - 283,930 Capital Grants & Contributions 281,067 455,142 736,209 General Revenues - Property Taxes 6,691,693 - 6,691,693 Sales Taxes 10,739,878 - 10,739,878 Hotel Occupancy Taxes 924,047 - 924,047 Franchise Taxes 2,227,866 - 2,227,866 Investment Earnings 83,838 130,330 214,168 Other Revenue 295,800 70,916 366,716 Total Revenue 23,971,262 25,043,838 49,015,100 Governmental Activities General Government 5,506,445 - 5,506,445 Public Safety 6,506,659 - 6,506,659 Community Development 627,692 - 627,692 Streets 1,981,268 - 1,981,268 Building & Permits 768,533 - 768,533 Parks & Recreation 2,434,407 - 2,434,407 Tourism 2,236,427 - 2,236,427 Interest & Fiscal Charges 1,288,860 - 1,288,860 Business-Type Activities Airport - 787,067 787,067 Water Treatment & Distribution - 7,840,537 7,840,537 Wastewater Collection & Treatment - 3,786,764 3,786,764 Electricity - 12,305,059 12,305,059 Total Expenses 21,350,291 24,719,427 46,069,718 Transfers 1,813,592 (1,813,592) - Beginning Net Position 42,983,988 68,680,673 111,664,661 Net Position 47,418,551 67,191,492 114,610,043 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 8 The Statement of Net Position reflects the overall financial position of the organization at a given moment in time. As demonstrated by the increasing net position in the graph below, the City of Granbury has set itself up effectively to meet the needs of its citizens while also being prepared for unforeseen future expenditures. $66,646,088 $74,856,566 $97,249,831 $111,664,661 Net Position FY2021 FY2019 FY2018 FY2017 FY2020 $114,610,043 Net Position Governmental Business-type Total Current and other assets 35,293,749 53,828,640 89,122,389 Capital assets 64,408,098 111,773,659 176,181,757 Total Assets 99,701,847 165,602,299 265,304,146 Deferred outflows of resources 2,880,467 728,746 3,609,213 Current Liabilities 3,609,134 6,016,848 9,625,982 Long-term Liabilities 50,607,476 92,850,052 143,457,528 Total Liabilities 54,216,610 98,866,900 153,083,510 Deferred inflow of resources 947,153 272,653 1,219,806 Net Position 47,418,551 67,191,492 114,610,043 9 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS Revenue Highlights 20.5% City 21.9% County 57.5% School District The City’s property tax rate was reduced to $.3961 in fiscal year 2021. Homeowners paid $3,863 in property taxes on a $200,000 home. The City of Granbury received $792, or less than 21% of the total property tax amount paid. The City’s sales tax rate is 8.25% and is divided between three different taxing enti- ties. The State of Texas receives 6.25%, Hood County receives 0.50% and the City of Gran- bury receives 1.50%. Of the City’s 1.50% sales tax, 1.00% is for General Fund opera- tions and 0.50% is for property tax relief. The City has benefited from steady growth in sales tax revenues for more than ten years. In fiscal year 2021, sales tax receipts were up 12.2% compared to the previous year. 4.4% over expenses 8.9% over expenses -13.1% under expenses 15.9% over expenses Water Service Charges Sewer Service Charges Electric Service Charges Airport Service Charges The majority of the City’s business-type revenues come from providing utility services to the citizens of Granbury. You can view the City’s current utility rates at granbury.org/rates. $10,739,878 $9,568,220 $9,096,824 $8,534,403 $8,083,300 2021 2020 2019 2018 2017 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 10 12% General Government 5% Parks 2% Building & Permits 5% Tourism 3% Other 14% Public Safety 8% Sewer 1% Community Development 17% Water 2% Airport 4% Streets 26% Electricity Expense Highlights The largest spending category for governmental expenses is public safety, accounting for 14% of the City’s total expenses. Public safety includes making sure our police and fire departments are funded properly. The City’s business-type expenses include the cost to deliver electricity, water, and wastewater services to our citizens along with maintaining the City’s regional airport. 11 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 50% CAPITAL ASSETS ARE UP 5% Capital Assets Capital assets are the items the City owns that hold value. As shown below, the total amount of cap- ital assets increased 5% in the last year. The majority of this change was due to the increase of con- struction in progress as the City continues to invest in the community through numerous capital im- provement projects such as the airport expansion, street improvements and water treatment plant expansions. As these projects are completed, a large amount of construction in progress will be re- classified to land, buildings, equipment, or other improvements. 48% OTHER IMPROVEMENTS 57% OTHER IMPROVEMENTS 25%BUILDINGS 1%BUILDINGS 10%LAND 11%LAND 6% MACHINERY & EQUIPMENT 2% MACHINERY & EQUIPMENT 10% CONSTRUCTION IN PROGRESS 29% CONSTRUCTION IN PROGRESS GOVERNMENTAL CAPITAL ASSETS BUSINESS-TYPE CAPITAL ASSETS CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 12 Debt Administration Certificates of Obliga- tion are debts secured by ad valorem taxes and surplus utility revenues. Texas Capital Fund Loan is a special assessment debt to be repaid by lease revenues received from companies who lease facilities acquired or reha- bilitated with these funds. General Obligation bonded debt is backed by the full faith and cred- it of the government. Notes Payable consists of a loan borrowed by Granbury Historic Properties to purchase the Opera House and a loan borrowed to purchase power for the federally declared Winter Storm Uri in February 2021. Capital Leases Payable pertains to equipment and an energy retrofit project being financed by lease/purchase financing. The City’s outstanding debt totaled under $134 million at the end of FY 2021. This was a decrease of about $2.4 million from last year. The City of Granbury had a total bonded debt, notes payable and capital leases payable in the amount of $133,846,659. The City’s AA bond rating is one of the highest ratings a city can receive from Fitch Ratings and Standard & Poor’s rating agencies. The higher rating saves the taxpayers money by securing a more favorable interest rate on debt for the City when borrowing funds for major projects. 13 CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS Airport Expansion The City is building a new 5,200 feet long and 75 feet wide airport runway to accommodate larger aircrafts. The accommodation for jets will expand the customer market and promote both commer- cial and residential economic growth in the sur- rounding community. Wastewater System Improvements Currently, 100% of the wastewater treatment plant’s capacity is already accounted for by exist- ing and upcoming developments . To prepare for future growth and to meet TCEQ’s requirements, the City is required to expand its wastewater treatment capacity with a second treatment plant. New Police Station The current police department is located within City Hall, but the department has outgrown that space. The new station will provide the depart- ment with the kind of spaces and functions need- ed in modern police departments to serve the needs of the community. Water Treatment Plant Improvements As the City continues to grow, the Water Treat- ment Plant is already at or near TCEQ’s 85% ca- pacity requirement. Due to this requirement, the Water Treatment Plant is expanding from 2.5 mil- lion gallons per day (MGD) to 5.0 MGD to meet anticipated future growth. Major Project Highlights CITY OF GRANBURY I 2021 ANNUAL REPORT HIGHLIGHTS 14 GRANBURY BY THE NUMBERS 28,483 Police calls for service 679 Building permits issued 5,088 Sewer connections 6,257 Water connections 3,470 Electric connections 944 Fire calls for service 11,490 Granbury population 126 Public park acres