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City of Thornton, Colorado
Annual Comprehensive Financial Report
For the fiscal year ended
December 31, 2022
Prepared by the Finance Department
City of Thornton, Colorado
Table of Contents
Introductory Section Paae
Letter of Transmittal v
City Officials x
Organizational Chart xi
Certificate of Achievement for Excellence in Financial Reporting xii
Financial Section
Report of Independent Certified Public Accountants 1
Management's Discussion &Analysis 5
Basic Financial Statements
Government-wide Financial Statements
Statement of Net Position 14
Statement of Activities 15
Fund Financial Statements
Balance Sheet - Governmental Funds 18
Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position 19
Statement of Revenues, Expenditures, and Changes in Fund Balances - Governmental Funds 20
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund
Balances of Governmental Funds to the Statement of Activities 21
Statement of Net Position - Proprietary Funds 22
Statement of Revenues, Expenses, and Changes in Net Position - Proprietary Funds 24
Statement of Cash Flows - Proprietary Funds 26
Notes to Financial Statements 28
Required Supplementary Information
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget
and Actual - General Fund - Non US GAAP Basis 72
Schedule of Proportionate Share of the Net Pension Liability Statewide Defined Benefit Plan 73
Schedule of Pension Contributions Statewide Defined Benefit Plan 74
Schedule of Proportionate Share of the Net Pension Liability Statewide Hybrid Plan 75
Schedule of Pension Contributions Statewide Hybrid Plan 76
Schedule of Proportionate Share of Net Pension Liability Old Hire Plan Thornton Fire 77
Schedule of Pension Contributions Old Hire Plan Thornton Fire 78
Schedule of Changes in Total OPEB and Related Ratios 79
Combining Statements and Budgetary Schedules
Fund Descriptions - Major Governmental Funds 82
Thornton Development Authority North Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 83
Governmental Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 84
Fund Descriptions - Non-Major Governmental Funds 85
Combining Balance Sheet - Non-Major Governmental Funds 86
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances -
Non-Major Governmental Funds 90
Thornton Arts, Sciences, and Humanities Council Fund (TASHCO)
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 93
Cash in Lieu Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 94
Conservation Trust Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 95
City of Thornton, Colorado
Table of Contents
Financial Section (Continued) Paae
Combining Statements and Budgetary Schedules (Continued)
Parks Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 96
Open Space Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 97
Parks and Open Space Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 98
Adams County Open Space Sales Tax Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 99
Adams County Road & Bridge Sales Tax Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 100
136th Avenue General Improvement District Tax Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 101
E911 Authority Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 102
Thornton Development Authority South Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 103
Thornton Development Authority 144th Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual 104
Fund Descriptions - Major Enterprise Funds 105
Water Fund
Schedule of Revenues, Expenses, and Changes in Net Position - Budget and Actual
- Non US GAAP Basis 106
Sewer Fund
Schedule of Revenues, Expenses, and Changes in Net Position - Budget and Actual
- Non US GAAP Basis 107
Fund Descriptions - Non-Major Enterprise Funds 109
Combining Statement of Net Position - Non-Major Enterprise Funds 110
Combining Statement of Revenues, Expenses, and Changes in Net Position -
- Non-Major Enterprise Funds 112
Combining Statement of Cash Flows - Non-Major Enterprise Funds 114
Environmental Services Fund
Schedule of Revenues, Expenses, and Changes in Net Position - Budget and Actual
- Non US GAAP Basis 116
Stormwater Fund
Schedule of Revenues, Expenses, and Changes in Net Position - Budget and Actual
- Non US GAAP Basis 117
Fund Descriptions - Internal Service Funds 118
Risk Management Fund
Schedule of Revenues, Expenses, and Changes in Net Position - Budget and Actual
- Non US GAAP Basis 119
Other Schedules
Local Highway Finance Report 122
City of Thornton, Colorado
Table of Contents
Statistical Section (Un-audited) Paae
Schedule 1 - Net Position by Component 127
Schedule 2 - Changes in Net Position 128
Schedule 3 - Fund Balances of Governmental Funds 130
Schedule 4 - Changes in Fund Balances of Governmental Funds 131
Schedule 5 - General Government Tax and Assessment Revenues by Source 132
Schedule 6 - Sales Tax Revenue by Type of Industry 133
Schedule 7 - Direct and Overlapping Sales Tax Rates 134
Schedule 8 - Principal Sales Taxpayers 135
Schedule 9 - Ratios of Outstanding Debt by Type 136
Schedule 10 - Ratios of General Bonded Debt Outstanding 137
Schedule 11 - Direct and Overlapping Governmental Activities Debt 138
Schedule 12 - Legal Debt Margin Information 139
Schedule 13 - Pledged-Revenue Coverage 140
Schedule 14 - Demographic and Economic Statistics 141
Schedule 15 - Principal Employers 142
Schedule 16 - Full-time Equivalent City Government Employees by Function 143
Schedule 17 - Operating Indicators by Function 144
Schedule 18 - Capital Asset Statistics by Function 145
iii
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��
���c�ty of
11�Thornton
Thornton City Hall City Manager's Office
9500 Civic Center Drive 303-538-7002
Thornton,CO 80229-4326 FAX 303-538-7562
www.ThorntonCO.qov
June 5, 2023
To the Honorable Mayor, City Council and Citizens of the City of Thornton:
We are pleased to submit the Annual Comprehensive Financial Report (Annual Report) of the City of
Thornton (the City) for the year ended December 31, 2022. This report was prepared by the City's
Finance Department and consists of management's representations concerning the finances of the City.
Consequently, management assumes full responsibility for the completeness and reliability of all the
information contained in this report.
To provide a reasonable basis for these representations, management of the City has established a
comprehensive internal control framework that is designed to both protect the government's assets
from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the City's
financial statements in conformity with accounting principles generally accepted in the United States of
America (US GAAP). Because the cost of internal controls should not outweigh their benefits, the City's
comprehensive framework of internal controls has been designed to provide reasonable, rather than
absolute, assurance that the financial statements will be free from material misstatement. As
management, we assert that, to the best of our knowledge and belief, this financial report is complete
and reliable in all material respects.
The City's financial statements have been audited by RSM US LLP, a firm of licensed certified public
accountants. The goal of the independent audit was to provide reasonable assurance that the financial
statements of the City for the year ended December 31, 2022, are free of material misstatement. The
independent audit involved performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements, evaluating the appropriateness of the accounting policies used
and the reasonableness of the significant accounting estimates made by management as well as
evaluating the overall presentation of the financial statements. The independent auditor concluded,
based upon the audit evidence obtained, that there was a sufficient and appropriate basis for rendering
an unmodified opinion that the City's financial statements for the year ended December 31, 2022, are
fairly presented in conformity with US GAAP. The independent auditors' report is presented as the first
component of the financial section of this report.
The independent audit of the financial statements of the City was part of a broader, federally mandated
"Single Audit" designed to meet the special needs of federal agencies that provide significant grant
funds to the City. The standards governing Single Audit engagements require the independent auditor
to report not only on the fair presentation of the financial statements, but also on the audited
government's internal controls and compliance with legal requirements, with special emphasis on
internal controls especially as they relate to the administration of federal awards. These reports are
available in the City's separately issued Single Audit Report.
US 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(MD&A).
This letter of transmittal is designed to complement the MD&A and should be read in conjunction with
it. The City's MD&A can be found immediately following the independent auditor's report.
Profile of the Government
The City incorporated in 1956 and became a Home-Rule City in 1967. Thornton operates under a
council-manager form of government. The City Manager, the City Attorney and the Presiding Municipal
Judge are appointed by City Council. Thornton employs approximately 1,098 full-time employees. The
City is a full-service municipality providing police and fire protection, ambulance services, infrastructure
construction and maintenance, city planning and development, recreational facilities and services and
operates the Thorncreek Golf Course. In addition, the City provides water, sanitary sewer, stormwater,
and solid waste collection all of which are reported as enterprise operations.
The City is located in Adams County in the northeast Denver Metropolitan area and encompasses 38
square miles. It is a suburban community of 148,623 residents with a retail-oriented business sector
and some light industrial businesses.
v
Major Initiatives
In response to the growing needs of the community, City Council initiated and continued multiple projects and
programs during 2022, including the following:
• Thornton Development Authority (TDA) gained control of the Thornton Shopping Center, which was
granted by Adams County District Court in November 2022. Almost $3.4M is allocated to
environmental remediation, demolition, and relocation of tenants.
• Construction of the new Police Training Facility was completed and opened in 2022. This new facility
provides an adaptable environment for officers to practice defensive tactics, training classrooms, a
low-speed driving track, simulation training areas, and area for canine training.
. Design and construction of Americans with Disabilities Act (ADA) improvements began in 2022
throughout the city as part of a comprehensive citywide evaluation and effort to improve accessibility.
. Thomas J. Slocum Memorial Skate Park at Community Park opened early in 2022. The new skate
park is almost twice as large are the previous park and includes a concrete pump track, a totally new
feature for Thornton! The skate park will include seating areas, a shade pavilion, public art, and
safety lighting.
• The City, in partnership with Anythink Libraries, is rebuilding the Thornton Community Center at 2211
Eppinger Boulevard. In 2022, work focused on design of the new facility, with construction beginning
in 2023 and an expected reopening to occur in late 2024.
• Work continued on implementation of several large transportation projects throughout the City. These
projects included construction of 144th Avenue widening from York Street to Colorado Boulevard,
128th Avenue widening from York Street to Colorado Boulevard, and design of 104th Avenue
Widening.
• Work continued on the City's long-term water supply project, the Thornton Water Project. Activities
in ZOZ2 included permitting, land acquisition, construction, and the design of multiple pipeline
segments. The project, when completed, will bring water from northern Colorado into Thornton to
provide a reliable supply of water for current and future residents and businesses.
• Parks and Open Space secured over $6.2 million in various grants to support capital projects and
planning efforts, including $2.9M for design and construction of improvements at Aylor Open Lands,
$1.3M for the citywide bicycle/pedestrian trail study and preconstruction activities. $iM for Niver
Open Space, and $815k for McAllister field purchase and stabilization.
. The city created the Thornton COVID-19 Recovery Grant centered around providing financial
assistance to businesses and nonprofits that serve Thornton residents and awarded over $645k,
including $444k to 33 businesses. The city continued the Thornton Start Up Grant, and the city
awarded 66 grants to businesses in total.
Factors Affecting Financial Condition
The information presented in the financial statements is perhaps best understood when it is considered from
the broader perspective of the specific environment within which the City operates.
Local Economy
The City continues to experience strong commercial growth along the I-25 corridor,for both retail and primary
employers. In early 2023, a new King Soopers Market Place along with various other retailers opened to
support residential growth in the Northeast section of the city. The City is looking forward to several other
commercial openings in 2023 including; Living Spaces, IC Brewhouse, two Dutch Bros locations, Runway 19
Coffee House, and Ugg. Primary employment continues to see growth, in 2022 Thornton added four new
primary employers, Sashco, Solid Power, Air Squared Manufacturing, and North Washington Commerce
Center, this level of growth is expected to continue at a rapid pace in 2023 along the I-25 corridor.
vi
Local Economy (continued)
The City issued 632 single-family permits (attached and detached) for residential construction with an
estimated value of $276 million. The City issued 21 commercial building permits with an estimated value of
$46 million.
Residential Single Family Permits 2013-2022
i,000
900
800
700
600
500
400
300
200
100
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Sales tax collections in 2022, the largest single revenue stream received by the general government, totaled
$106.7 million, an increase of 11.2% over 2021.
Sales Tax Collections 2013-2022
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2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Property values decreased 1% from 2021, totaling $1.8 billion in assessed value for 2022. The property taxes
associated with this assessed valuation will be collected in 2023.
Assessed Valuation 2013-2022
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2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
VII
Long Term Financial Planning
The City's financial policies related to fund balances and cash reserves are set by Council.The Council conducts
periodic reviews of the fund balance policy and revises as needed to ensure Thornton is financially sustainable
and able to meet established service levels, and to ensure the City is following recommended best practices
in the government finance industry. The General Fund reserves 17% of the current year budget. Utilization of
this reserve requires a two-thirds affirmative vote of Council. In the event that a cash reserve is utilized or
the level falls below the amount set forth by policy, the City Council will approve a plan within two years of
such event to restore levels to the required amount. In addition to the General Fund, the City maintains
financial policies (related to fund balances and cash reserves) for the utility enterprise funds (including Water,
Sewer, Stormwater and Environmental Services), and the Risk Fund (self-insurance fund).
Credit Ratings
To achieve the lowest possible interest rates and to be sure it has the widest markets for its bonds, the City
often obtains credit ratings from two of the major rating services (Moody's and Standard & Poor's). Stronger
ratings result in lower interest rates and reduce the cost to taxpayers and users of City services. The City's
underlying bond ratings for all outstanding issues are as follows:
Issue Mood 's Standard &Poor's
Certificates of Participation 52018 Aa2 AA-
Certificates of Participation 52020 Aa2 AA-
Water Revenue Refunding Bonds S2013 Aa2 AA
Water Revenue Bonds S2020 Aa2 AA
North Washington Urban Renewal
Refunding Bonds NR A+
Thornton Development Authority 144th
and I-25 Urban Renewal Bonds NR A+
Credit rating agencies base their ratings of the City's general government debt on a combination of factors.
These key factors include debt burden, economic characteristics, government organization, and financial
performance. The agencies do not view any one factor as most important. They weigh strengths and
weaknesses in each area within the context of potential impact on the issuer's ability and willingness to repay
the debt.
Awards and Acknowledgements
The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence in
Financial Reporting to the City for its Annual Report for the fiscal year ended December 31, 2021. This is the
thirty-seventh consecutive year the City has received this award. In order to be awarded a Certificate of
Achievement, the City published an easily readable and efficiently organized Annual Report. This report
satisfied both accounting principles generally accepted in the United States of America and applicable legal
requirements.
A Certificate of Achievement is valid for a period of one year. We believe that our current Annual Report
continues to meet the Certificate Program's requirements and we are submitting it to the GFOA to determine
its eligibility for another certificate.
The preparation of the Annual Report on a timely basis was made possible by the dedicated service of the
entire staff of the Finance Department and we would like to express our sincere appreciation to them for the
contributions made in the preparation of this report. Credit also must be given to the Mayor and the City
Council for their unfailing support for maintaining the highest standards of professionalism in the management
of the City's finances.
Sincerely,
�-����--, ����,���,t
Kevin S. Woods Kimberly Newhart
City Manager Finance Director
viii
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�X
Thornton City Officials
December 31, 2022
Mavor and City Council
Mayor Jan Kulmann
Council Members
Ward 1 Kathy Henson
Ward 1 Eric Garcia
Ward 2 Julia Marvin
Ward 2 Jessica Sandgren
Ward 3 Tony Unrein
Ward 3 David Acunto
Ward 4 Karen Bigelow
Ward 4 Adam Matkowsky
Administrative
City Manager Kevin Woods
City Attorney Tami Yellico
Municipal Judge Tiffany Sorice
Assistant City Manager Joyce Hunt
Assistant City Manager Robb Kolstad
Deputy City Manager— City Development Randy Grant
Executive Director— Infrastructure Brett Henry
Executive Director— Management Services Chris Molison
Executive Director— Parks, Recreation &
Community Services Doug Romig
Police Chief Terrence Gordon
Fire Chief Gordie Olson
Director— Economic Development John Cody
Director— Finance Kimberly Newhart
City Clerk Kristen Rosenbaum
Director— Communications Todd Barnes
x
2022 City Government
Organizational Chart
THORNTON
CITIZENS
MAYOR&
CITY COUNCIL
Boards&
Commissions
City Attorney City Manager Municipal Judge
Management City Development
Services —---_
Infrastructure � Police
Parks, Recreation
&Community j Fire
Pro rams
Economic
Development Finance
Management and City Clerk
Budget
xi
�
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Thornton
Colorado
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
December 31, 2021
��i�u�,e�w,. P• ���er�%��
Executive Director/CEO
xii
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Independent Auditor's Report RSM US LLP
The Honorable Mayor and
Members of the City Council
City of Thornton, Colorado
Report on the Audit of the Financial Statements
Opinions
We have audited the financial statements of the governmental activities, the business-type activities, each
major fund, and the aggregate remaining fund information of the City of Thornton, Colorado (the City), as
of and for the year ended December 31, 2022, and the related notes to the financial statements, which
collectively comprise the City's basic financial statements as listed in the table of contents.
In our opinion, the accompanying financial statements referred to above present fairly, in all material
respects, the respective financial position of the governmental activities, the business-type activities, each
major fund, and the aggregate remaining fund information of the City of Thornton, Colorado, as of
December 31, 2022, and the respective changes in financial position and, where applicable, cash flows
thereof for the year then ended in accordance with accounting principles generally accepted in the United
States of America.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America (GAAS) and the standards applicable to financial audits contained in Government Auditing
Standards issued by the Comptroller General of the United States (Government Auditing Standards). Our
responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit
of the Financial Statements section of our report. We are required to be independent of the City, and to
meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our
audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Emphasis of Matter
As discussed in Note A.21 of the basic financial statements, the City implemented Governmental
Accounting Standards Board (GASB) Statement No. 87, Leases, during the current year. As a result,
beginning net position at the governmental activities was restated and other lease-related item and
disclosures here added to the financial statements as of January 1, 2022. Our opinions are not modified
with respect to this matter.
Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in
accordance with accounting principles generally accepted in the United States of America, and for the
design, implementation, and maintenance of internal control relevant to the preparation and fair
presentation of financial statements that are free from material misstatement, whether due to fraud or
error.
THE POWER aF BEING UNDERSTOOD
AUDIT I TAX I CONSULTING
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RSMUSLLPistheU.S.member(rmofF7`.r,' �, . �.. , . . .. �. � . . �. . . .. . . �. ,��-����r�n N n-= 'v��_��i �_.�:.cn�' ��_��nu�,!_� ..c��-do��� � �i�i�.�,�rd��r�,e,RSMUSLLPand
RSM Internatioaial.
In preparing the financial statements, management is required to evaluate whether there are conditions or
events, considered in the aggregate, that raise substantial doubt about the City's ability to continue as a
going concern for twelve months beyond the financial statement date, including any currently known
information that may raise substantial doubt shortly thereafter.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor's report that
includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance
and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government
Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a
material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Misstatements are considered material if there is a substantial likelihood that, individually or in the
aggregate, they would influence the judgment made by a reasonable user based on the financial
statements.
In performing an audit in accordance with GAAS and GovernmentAuditing Standards, we:
• Exercise professional judgment and maintain professional skepticism throughout the audit.
• Identify and assess the risks of material misstatement of the financial statements, whether due to
fraud or error, and design and perform audit procedures responsive to those risks. Such procedures
include examining, on a test basis, evidence regarding the amounts and disclosures in the financial
statements.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the City's internal control. Accordingly, no such opinion is expressed.
• Evaluate the appropriateness of accounting policies used and the reasonableness of significant
accounting estimates made by management, as well as evaluate the overall presentation of the
financial statements.
• Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that
raise substantial doubt about the City's ability to continue as a going concern for a reasonable period
of time.
We are required to communicate with those charged with governance regarding, among other matters,
the planned scope and timing of the audit, significant audit findings, and certain internal control-related
matters that we identified during the audit.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the Management's
Discussion and Analysis, pension information, the schedule of changes in the City's total OPEB liability
and related ratios, and budgetary comparison information, as listed in the table of contents, be presented
to supplement the basic financial statements. Such information is the responsibility of management and,
although not a part of the basic financial statements, is required by the Governmental Accounting
Standards Board who considers it to be an essential part of financial reporting for placing the basic
financial statements in an appropriate operational, economic, or historical context. We have applied
certain limited procedures to the required supplementary information in accordance with auditing
standards generally accepted in the United States of America, which consisted of inquiries of
management about the methods of preparing the information and comparing the information for
consistency with management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
z
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City's basic financial statements. The combining and individual nonmajor fund financial
statements, budgetary comparison schedules, and other schedules, listed in the table of contents as
supplementary information, are presented for purposes of additional analysis and are not a required part
of the basic financial statements. Such information is the responsibility of management and was derived
from and relates directly to the underlying accounting and other records used to prepare the basic
financial statements. The information has been subjected to the auditing procedures applied in the audit
of the basic financial statements and certain additional procedures, including comparing and reconciling
such information directly to the underlying accounting and other records used to prepare the basic
financial statements or to the basic financial statements themselves, and other additional procedures in
accordance with GAAS. In our opinion, the combining and individual nonmajor fund financial statements,
budgetary comparison schedules, and other schedules, are fairly stated, in all material respects, in
relation to the basic financial statements as a whole.
Other Information
Management is responsible for the other information included in the annual comprehensive financial
report. The other information comprises the introductory and statistical sections but does not include the
basic financial statements and our auditor's report thereon. Our opinions on the basic financial statements
do not cover the other information, and we do not express an opinion or any form of assurance thereon.
In connection with our audit of the basic financial statements, our responsibility is to read the other
information and consider whether a material inconsistency exists between the other information and the
basic financial statements, or the other information otherwise appears to be materially misstated. If,
based on the work performed, we conclude that an uncorrected material misstatement of the other
information exists, we are required to describe it in our report.
Other Reporting Required by GovernmentAuditing Standards
In accordance with GovernmentAuditing Standards, we have also issued our report dated June 2, 2023,
on our consideration of the City's internal control over financial reporting and on our tests of its
compliance with certain provisions of laws, regulations, contracts, and grant agreements and other
matters. The purpose of that report is solely to describe the scope of our testing of internal control over
financial reporting and compliance and the results of that testing, and not to provide an opinion on the
effectiveness of the City's internal control over financial reporting or on compliance.That report is an
integral part of an audit performed in accordance with GovernmentAuditing Standards in considering the
City's internal control over financial reporting and compliance.
�S�/ U.S .L�-P
Kansas City, Missouri
June 2, 2023
3
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4
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
As management of the City of Thornton ("the City"), we offer readers of the City's financial statements this narrative
overview and analysis of the financial activities of the City for the fiscal year ended December 31, 2022. We encourage
readers to consider the information presented here in conjunction with additional information that we have furnished
in our letter of transmittal at the front of this report, and the City's financial statements that follow this section.
Financial Highlights
• The City's assets and deferred outflows of resources exceeded its liabilities and deferred inflows of resources at the
close of the most recent fiscal year by $1,654,823,088. This total is divided between Governmental Activities of
$552,394,198 and Business-type Activities of$1,102,428,890.
• The City's total net position increased by $153,457,892. This total is divided between an increase in Governmental
Activities of$64,115,329 and an increase in Business-type Activities of$89,342,563.
• The City's deferred outflows of resources decreased $4,000,801 primarily related to a reduction in deferred outflows
related to pensions. More details on debt are provided in Note I, following the Basic Financial Statements.
• The City's deferred inflows of resources increased $7,688,797 primarily related to the implementation of GASB
Statement No. 87 — Leases and an increase in deferred inflows related to pensions. More details on leases is
provided in Note D and pensions is provided in Note I, following the Basic Financial Statements.
• The City's Governmental Activities show revenues of $264,731,697. The largest revenue source is sales and use
taxes ($147,877,508) followed by grants and contributions ($33,432,417), property taxes ($32,544,945), and
charges for services($29,048,277). Charges for services consists of the administrative fee charged to the enterprise
funds ($7,157,676, 24.6%), license, permits and inspection fees ($6,708,666, 23.1%), recreation and related
charges ($7,522,478, 26%), ambulance charges ($5,025,974, 17.3%), fines and forfeitures ($1,200,599, 4.1%),
and other miscellaneous charges ($1,432,884, 4.9%). The Governmental expenses were $200,616,369. More
details are provided in the Government-wide Financial Analysis section.
• The City's Business-type Activities show revenues of $168,864,631 the largest revenue source is charges for
services ($82,008,541) followed by capital grants and contributions ($46,406,812). Capital grants and
contributions consists of payments for connections to the City's water and sewer systems ($32,074,712, 69.1%),
infrastructure donated to the City by developers ($13,639,197, 29.4%) and grants ($692,903, 1.5%). The
Business-type expenses were $79,522,068. More details are provided in the Government-wide Financial Analysis
section.
• The total fund balance for the General Fund increased by $2,478,418, (3.2%) from prior year. City Council policy
requires the General Fund to maintain a total fund balance at an amount equal to 17% of the current year budget,
and Taxpayer Bill of Rights (TABOR) reserve per State Statute. At the end of the current fiscal year, total fund
balance was $79,676,085, or 48.3% of General Fund budgeted expenditures.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The City's
basic financial statements comprise three components: 1) government-wide financial statements, 2) fund financial
statements, and 3) notes to the financial statements. This report also contains other supplementary information in
addition to the basic financial statements themselves.
Government-wide financial statements. The government-wide financial statements are designed to provide
readers with a broad view of the City's finances, in a manner similar to a private-sector business.
The statement of net position presents information on all of the City's assets and deferred outflows of resources and
liabilities and deferred inflows of resources, with the difference reported as net position. Over time, increases or
decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or
deteriorating.
The statement of activities presents information showing how the government's net position changed during the most
recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change
occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for
some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused
vacation leave).
5
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
Government-wide financial statements (Continued). Both of the government-wide financial statements
distinguish functions of the City that are principally supported by taxes and intergovernmental revenues (governmental
activities) from other functions that are intended to recover all or a significant portion of their costs through user fees
and charges (business-type activities). The governmental activities of the City include general government, police, fire
and ambulance, city development, streets traffic and engineering, and community services. The business-type
activities of the City include water, sewer, environmental services, and stormwater.
The government-wide financial statements can be found on pages 14-15 of this report.
Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over resources
that have been segregated for specific activities or objectives. The City, like other state and local governments, uses
fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the
City can be divided into two categories: governmental funds and proprietary funds.
Governmental funds. Governmental funds are used to account for essentially the same functions reported as
governmental activities in the government-wide financial statements. However, unlike the government-wide financial
statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources,
as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful
in evaluating a government's near-term financing requirements.
Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is
useful to compare the information presented for governmental funds with similar information presented for
governmental activities in the government-wide financial statements. By doing so, readers may better understand the
long-term impact of the government's near-term financing decisions. Both the governmental fund balance sheet and
the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to
facilitate this comparison between governmental funds and governmental activities.
The City maintained 15 individual governmental funds in 2022, of which three are considered major funds: the General
Fund, the Thornton Development Authority North Capital Fund, and the Governmental Capital Fund. Information for
these three funds is presented separately in the governmental fund balance sheet and in the governmental fund
statement of revenues, expenditures, and changes in fund balances. The remaining 12 funds are combined into a
single aggregated presentation. Individual fund data for each of these non-major governmental funds is provided in
the form of combining statements elsewhere in this report.
The City adopts an annual appropriated budget for its General Fund. A budgetary comparison statement has been
provided for the General Fund to demonstrate compliance with this budget, which can be found on page 72 of this
report.
The basic governmental fund financial statements can be found on pages 18-21 of this report.
Proprietary funds. The City maintained two different types of proprietary funds: enterprise and internal service.
Enterprise funds are used to report the same functions presented as business-type activities in the government-wide
financial statements. The City uses enterprise funds to account for Water, Sewer, Environmental Services, and
Stormwater. Internal service fund is an accounting device used to accumulate and allocate costs internally. The City
uses one internal service fund: Risk Management to account for the costs related to a comprehensive program to
manage the City's property, liability, work related injury risk, health, dental, and vision. Risk Management
predominately benefits governmental rather than business-type functions, so it has been included within governmental
activities in the government-wide financial statements.
Proprietary funds provide the same type of information as the government-wide financial statements, only in more
detail. The proprietary fund financial statements provide separate information for the Water, Sewer, Environmental
Services, and Stormwater Funds. The Water and Sewer Funds are considered major funds of the City. Individual fund
data for the Risk Management fund is provided following the combining statements for proprietary funds elsewhere in
this report.
The basic proprietary fund financial statements can be found on pages 22-27 of this report.
Notes to the financial statements. The notes provide additional information that is essential to a full
understanding of the data provided in the government-wide and fund financial statements. The notes to the financial
statements can be found on pages 28-70 of this report.
6
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
Other information. In addition to the basic financial statements and accompanying notes, this report also presents
certain supplementary information. The combining statements referred to earlier in connection with non-major
governmental funds and proprietary funds are presented immediately following the basic financial statements.
Combining statements and budgetary schedules can be found on pages 83-119 of this report. The Local Highway
Finance Report can be found in other schedules on pages 122-123 of this report.
Government-wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a government's financial position. Assets
and deferred outflows of resources exceed liabilities and deferred inflows of resources by $1,654,823,088 at the close
of the most recent fiscal year (see Table 1).
By far the largest portion of the City's net position (67.2%) reflects its net investment in capital assets (e.g., land,
buildings, machinery, and equipment), less any related debt used to acquire those assets to provide services to
citizens; consequently, these assets are not available for future spending. Although the City's investment in its capital
assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided
from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.
An additional portion of the City's net position (4.4%) represents resources that are subject to external restrictions on
how they may be used. The remaining balance of unrestricted net position ($469,075,699) may be used to meet the
government's ongoing obligations to citizens and creditors.
At the end of the current fiscal year,the City is able to report positive balances of net position, both for the government
as a whole, as well as for its separate governmental and business-type activities.
Table 1
Net Position
As of December 31,
Governmental activities Business-type activities Total
2022 2021(restated) 2022 2021(restated) 2022 2021(restated)
Current and other assets $ 328,434,047 $ 288,497,576 $ 340,720,266 $ 278,483,229 $ 669,154,313 $ 566,980,805
Capital assets 463,622,352 433,686,979 889,430,064 871,741,044 1,353,052,416 1,305,428,023
Total assets 792,056,399 722,184,555 1,230,150,330 1,150,224,273 2,022,206,729 1,872,408,828
Deferred outflows of resources 13,572,456 17,360,272 1,660,103 1,873,088 15,232,559 19,233,360
Long-term liabilities outstanding
Due within one year 10,458,925 13,339,608 3,640,374 3,577,597 14,099,299 16,917,205
Due in more than one year 134,810,090 142,591,591 116,260,913 120,251,569 251,071,003 262,843,160
Other liabilities 56,454,293 48,703,254 7,209,996 11,707,147 63,664,289 60,410,401
Total liabilities 201,723,308 204,634,453 127,111,283 135,536,313 328,834,591 340,170,766
Deferred inflows of resources 51,511,349 46,631,505 2,270,260 3,474,721 53,781,609 50,106,226
Net position:
Net investment in capital assets 339,247,183 301,540,850 773,566,597 751,240,496 1,112,813,780 1,052,781,346
Restricted 72,933,609 60,665,189 - - 72,933,609 60,665,189
Unrestricted 140,213,406 126,072,830 328,862,293 261,845,831 469,075,699 387,918,661
Total net position $ 552,394,198 $ 488,278,869 $ 1,102,428,890 $ 1,013,086,327 $ 1,654,823,088 $ 1,501,365,196
The government's net position increased by $153,457,892 during the current fiscal year. This increase is the result of
revenues exceeding expenses (132%) for Governmental activities and (212.3%) for Business-type activities, which
are explained below.
7
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
Government-wide Financial Analysis (Continued)
Governmental activities. Below is information regarding Governmental activities (see Table 2).
• Governmental activities increased the City's net position by $64,115,329. The two primary factors to this increase
were the year over year increases in sales and use taxes ($12,789,278) and capital grants and contributions
($11,307,173).
• Governmental revenues increased by $25,153,998 (10.5%) in 2022 compared to 2021, this increase is primarily
related to sales and use taxes and capital grants and contributions. Overall, the City sales and use tax growth in
2022 was spurred on by high inflation experienced through a majority of 2022 and the large increase in capital
grants and contributions was the result of the receipt of grant fund on completed projects.
• Governmental expenses decreased by $1,108,775 (.5%) in 2022 compared to 2021. The majority of this decrease
was related to Community Services ($4,271,828) primarily related to decreases in capital outlay on renovation of
the pool at the Margaret W Carpenter Recreation Center. These decreases were offset by increases in General
Government and City Development expenditures of ($2,151,803; $1,718,006) primarily related to asset
depreciation and lease amortization costs.
Business-type activities. Information regarding Business-type activities (see Table 2).
• Business-type activities increased the City's net position by $89,342,563, accounting for 58.2% of the total growth
in the government's net position.
• Revenues increased by $40,070,158 (31.1%) in 2022 compared to 2021. Charges for services ($82,008,541,
48.6% of total revenues), tap fees ($32,074,712, 19% of total revenues, included in grants and contributions),
and oil and gas revenue received on property owned by the City ($12,497,787, 7.4% of total revenues, royalties),
represent the three largest inflows to business-type activities. The primary factor in the revenue increase for 2022
was a one-time revenue related to the special item - sale of mineral rights of$30,691,245.
• Expenses increased $3,808,643 (5%) in 2022 compared to 2021.The Water Fund decreased ($204,582),the Sewer
Fund expenses increased ($3,615,229), the Environmental Services Fund increased ($254,457) and the
Stormwater Fund increased ($143,539). In 2022, the primary factor causing the increase in the Sewer fund was
the increase in sewage treatment ($3,143,611) as a result of the increased costs of sewage treatment by Metro
Wastewater.
8
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
Government-wide Financial Analysis (Continued)
Table 2
Changes in Net Position
As of December 31,
Governmental activities Business-tvpe activities Total
2022 2021 (restated) 2022 2021 2022 2021 (restated)
Revenues:
Program revenues:
Chargesforservices $ 29,048,277 $ 28,417,443 $ 82,008,541 $ 77,079,845 $ 111,056,818 $ 105,497,288
Operating grants and
contributions 10,135,553 10,558,945 - - 10,135,553 10,558,945
Capital grants and
contributions 33,432,417 22,125,244 46,406,812 32,396,597 79,839,229 54,521,841
General revenues:
Sales and use taxes 147,877,508 135,088,230 - - 147,877,508 135,088,230
Property taxes 32,544,945 29,499,614 - - 32,544,945 29,499,614
Franchise taxes 7,288,978 6,387,942 - - 7,288,978 6,387,942
E911 taxes 3,282,279 2,869,208 - - 3,282,279 2,869,208
Other taxes 3,501,442 3,393,308 - - 3,501,442 3,393,308
Loss on investments (7,631,404) (793,395) (9,722,992) (1,284,819) (17,354,396) (2,078,214)
Gain on sale of assets - - 32,816 5,972,256 32,816 5,972,256
Royalties - - 12,497,787 8,896,723 12,497,787 8,896,723
Miscellaneous 2,401,016 2,031,160 6,950,422 5,733,871 9,351,438 7,765,031
Special item-sale of mineral rights 2,850,686 - 30,691,245 - 33,541,931
Totalrevenues 264,731,697 239,577,699 168,864,631 128,794,473 433,596,328 368,372,172
Expenses:
General government 37,954,100 35,702,297 - - 37,954,100 35,702,297
Police 43,658,172 43,491,003 - - 43,658,172 43,491,003
Fire 26,946,828 27,476,823 - - 26,946,828 27,476,823
City development 13,235,902 11,517,896 - - 13,235,902 11,517,896
Streets,traffic,and
engineering 36,323,712 36,432,653 - - 36,323,712 36,432,653
Community services 37,857,779 42,131,617 - - 37,857,779 42,131,617
Interest on long-term
debt 4,639,875 4,972,854 - - 4,639,875 4,972,854
Water - - 49,849,565 50,054,147 49,849,565 50,054,147
Sewer - - 18,839,909 15,224,680 18,839,909 15,224,680
Environmental Services - - 6,437,147 6,182,690 6,437,147 6,182,690
Stormwater 4,395,447 4,251,908 4,395,447 4,251,908
Totalexpenses 200,616,368 201,725,143 79,522,068 75,713,425 280,138,436 277,438,568
Increase in net
position before transfers 64,115,329 37,852,556 89,342,563 53,081,048 153,457,892 90,933,604
Transfers - (23,893) 23,893
Increase
in netposition 64,115,329 37,828,663 89,342,563 53,104,941 153,457,892 90,933,604
Netposition,Jan 1 488,278,869 450,450,206 1,013,086,327 959,981,386 1,501,365,196 1,410,431,592
Net position, Dec 31,restated $ 552,394,198 $ 488,278,869 $ 1,102,428,890 $ 1,013,086,327 $ 1,654,823,088 $ 1,501,365,196
9
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
Financial Analysis of the Government's Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements. The following details are contained in the fund financial statements.
Governmental funds. The focus of the City's governmental funds is to provide information on near-term inflows,
outflows, and balances of spendable resources. Such information is useful in assessing the City's financing
requirements. In particular, unreserved fund balance may serve as a useful measure of a government's net resources
available for spending at the end of the fiscal year. Below is information regarding governmental funds.
• The City governmental funds reported combined ending fund balances of $196,528,925, an increase of
$14,822,267.
• The increase in fund balance is primarily related to sustained inflation impacting sales and use tax, which increased
$12,789,278 from 2021, to be used on operational and capital expenses for the City.
Approximately 54.2% of year-end fund balance ($106,580,269) is available for spending at the governmenYs
discretion. The remainder of fund balance ($89,948,656) is nonspendable, restricted, or committed to indicate that it
is not available for new spending.The largest component is restricted ($58,325,000, 64.8%).The increase in restricted
balance year over year is related to the sales and use tax collected in the Parks and Open Space fund and the City's
portion of the proceeds from the sale of the Denver Broncos.
The General Fund is the chief operating fund of the City. At the end of the current fiscal year, unassigned fund balance
of the General Fund was 50.2% ($39,970,888) of total fund balance ($79,676,085). As a measure of the General
Fund's liquidity, it may be useful to compare both unassigned fund balance and total fund balance to total fund
expenditures ($161,610,580). Unassigned fund balance represents 24.7% of total actual General Fund expenditures,
while total fund balance represents 49.3%of that same amount.The total fund balance year over year did grow slightly
($2,478,418) as a result of increased sales and use taxes due mainly to inflation and receipt of capital grants and
contributions; but the unassigned fund balance decreased mainly as a result of the City's policy to reserve for
emergencies, which increased the committed balance by $2,796,000.
The Thornton Development Authority North Capital Fund is funded primarily with sales and use taxes generated within
the boundaries of the authority and provides for repair, replacement and planned growth of infrastructure within the
boundaries of the authority. The total fund balance year over year showed a slight reduction ($554,904). The primary
factor for the reduction was flat sales and use taxes revenue year over year with a substantial increase in the capital
outlay expenditures year over year within the authority. At the end of the current fiscal year,the assigned fund balance
was $15,409,983, and the restricted fund balance was $1,390,000 for a total fund balance of$16,799,983.
The Governmental Capital Projects Fund is funded primarily with sales and use taxes and provides for the repair,
replacement and planned growth of infrastructure and other capital assets of the City government. The total fund
balance year over year had strong growth ($8,867,382). The primary factors for the growth were increased sales and
use taxes due mainly to inflation and receipt of grant funds from completion of capital projects. At the end of the
current fiscal year, the assigned fund balance was$40,571,464, the nonspendable was$4,812, and the restricted fund
balance was $1,329,979 for a total fund balance of$41,906,255.
Proprietary funds. The City's proprietary funds provide the same type of information found in the government-wide
financial statements, but in more detail.
Unrestricted net position of the Water, Sewer, Environmental Services, and Stormwater funds at the end of the year
amounted to $308,281,837, $12,974,024, $5,475,924, and $2,130,508 respectively. The change in net position for
the funds was an increase in Water of$81,484,882, an increase in Sewer of$3,274,075, a decrease in Environmental
Services of $608,709 and an increase in Stormwater of $5,19Z,315. Increases in Water, Sewer and Stormwater
proprietary funds is primarily attributed to the Net investment in capital assets.
General Fund Budgetary Highlights
General Fund revenues were less than budgetary estimates and General Fund expenditures were less than
appropriations. Fund revenues were under budget by $335,613 in 2022 primarily related to fines and forfeitures and
investment losses. Fund expenditures were under budget by $3,519,891 in 2022 primarily related to a reduction in
capital outlay, some of this reduction was because of slower fulfillment of orders as a result of continued supply chain
issues. The majority of governmental sales and use tax, 62% ($91,695,863) is available for General Fund operations
and capital outlay.
10
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
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, 2022 amounts to $1,353,052,414 (net of accumulated depreciation and amortization). This investment
in capital assets includes land and water rights, building and improvements, leisure areas and improvements, general
equipment, infrastructure, and right of use assets from leases including building and improvements and general
equipment (see Table 3).
Major capital asset events during the current fiscal year included the following:
• Governmental capital assets increased in the current year by $31,154,281 net of accumulated depreciation.
The majority of this increase is related to costs associated with the police training facility ($14,049,491) and
the infrastructure project widening of 128t'' between York St. and Colorado Blvd ($3,192,106) completed in
2022. The widening of the 128th artery will assist the growing demands from the City. The police training
facility will address a need for training space for the Thornton police department given the growing needs of
law enforcement throughout the metro area and there not being enough training facilities. The City added
contributed capital related to development ($11,345,878). Spending in 2022 carried in construction in
progress is related to the construction of fire station #7 ($7,483,090), the widening of Washington St between
150t" and 152nd Ave artery ($11,553,014), and the widening of 144t"Ave between York St. and Colorado Blvd
($4,243,872).
• Proprietary capital assets increased by $17,751,168 net of accumulated depreciation. The majority of the
increase was related to costs associated with easement purchases for the Thornton water Pipeline
($1,256,137) and citywide sewer line rehabilitation ($915,010). Purchase of the easement is to enable the
City to establish a water pipeline to move water into Thornton to support growth. A majority of the
construction in process balance is related to the building of the new Thornton water pipeline ($6,003,360),
which is expected to deliver water to meet the growing demand fueled by Thornton's continued development.
Additional information on the City's capital assets can be found in note E on pages 41-42 of this report.
Table 3
Capital Assets (net of depreciation/amortization)
As of December 31,
Governmental activities Business-type activities Total
2022 2021 restated 2022 2021 restated 2022 2021 restated
Land,water and land rights $ 53,572,530 $ 51,346,120 $215,328,723 $212,664,101 $ 268,901,253 $ 264,010,221
Source of supply - - 129,350,266 129,350,266 129,350,266 129,350,266
Water treatment plant - - 137,229,421 141,017,331 137,229,421 141,017,331
Collection,transmission,&distribution - - 294,749,935 289,452,855 294,749,935 289,452,855
Streets,traffic,and engineering 156,623,674 153,154,873 - - 156,623,674 153,154,873
Buildings,structures and improvements 144,018,385 134,898,343 13,363,083 13,772,755 157,381,468 148,671,098
Leisure areas and improvements 49,312,398 49,663,219 - - 49,312,398 49,663,219
General equipment 20,876,731 21,955,620 9,891,624 10,702,239 30,768,355 32,657,859
Construction in progress 38,079,689 20,960,471 89,470,404 74,719,349 127,550,093 95,679,820
Right to use assets being amortized:
Buildings and improvements 196,144 309,892 - - 196,144 309,892
General equipment 942,801 1,398,441 46,608 62,148 989,409 1,460,589
Total $463,622,352 $433,686,979 $889,430,064 $871,741,044 $1,353,052,416 $1,305,428,023
Long-term debt.At the end of the current fiscal year, the City had total debt outstanding of$216,150,000 (see Table
4). The City's debt represents certificates of participation of $82,190,000 and revenue bonds of $133,960,000. The
revenue bonds outstanding are comprised of four issues: $7,370,000 related to the Thornton Development Authority
Tax Increment Revenue Refunding Bonds, Series 2015, serviced by 50% of the property tax increment and 50% of
the general sales tax collected within the boundaries of that urban renewal plan area; $22,905,000 related to the
Thornton Development Authority Tax Increment Revenue Bonds, Series 2015B, serviced by 100% of the property tax
increment and general sales tax generated from the annually determined pledged sales tax rate, both net of other
obligations, collected within the boundaries of that plan area; $27,925,000 related to Water Enterprise Revenue
Refunding Bonds 52013; and $75,760,000 related to Water Enterprise Revenue Bonds 52020 supported by a pledge
of charges for services of the Water Fund.
The City's total debt decreased by $11,390,000 (5%) during the current fiscal year.
11
City of Thornton, Colorado
ManagemenYs Discussion and Analysis
December 31, 2022
Long-term debt (continued). In 2022, the Standard & Poor's rating on the Water Enterprise Revenue Refunding
Bonds, Series 2013 and Series 2020, was AA; on the Certificates of Participation S2018, and S2020 was AA-, and on
the Tax Increment Bonds, Series 2015 and 2015B, was A+. In 2021, Moody's rated the Water Revenue Refunding
Bonds Series 2013 and Series 2020,Aa2, and the Certificates of Participation (S2018, S2020),Aa2.The Tax Increment
Bonds, Series 2015 and 2015B were not rated by Moody's.
Table 4
Outstanding Debt (Revenue Bonds and Certificates of Participation)
As of December 31,
Governmental activities Business-type activities TOtal
2022 2021 2022 2021 2022 2021
Revenue bonds $ 30,275,000 $ 32,040,000 $103,685,000 $ 106,870,000 $133,960,000 $ 138,910,000
Certificates of participation 82,190,000 88,630,000 - - 82,190,000 88,630,000
Total $ 112,465,000 $ 120,670,000 $103,685,000 $ 106,870,000 $216,150,000 $227,540,000
Additional information on the City's long-term debt activity can be found on pages 42-49 of this report.
Economic Factors and Next Year's Budgets and Rates
• The December 31, 2022 unemployment rate for the City was 2.9%, which is lower than last year. The City has a
higher unemployment rate than the state (2.5%), lower than the county's (Adams) rate of 3.2%, and lower than
the national rate of 3.5%.
• The national inflation rate increased in 2022 to 2.97% from 2.79% in 2021. The Consumer Price Index for the
Denver area increased in 2022 to 3.04% from 2.82% in 2021.
• In 2022, the City's occupancy rate is approximately 91.9% for retail space, 89.9% for office space and 88% for
industrial space.
• The City's population has increased by 2,353 people.
• The City's yield on cash and investments increased to 1.49% in 2022. The current projection for 2023's rate is
3%. The City invests available funds with safety as the primary goal.
All of these factors were considered in preparing the City's budget for the 2023 fiscal year.
Ending unassigned fund balance in the General Fund was $39,970,888. Anticipated revenues and the use of this fund
balance are expected to be adequate to fund necessary governmental operations and to keep the fund balance in
harmony with the City Council's fund balance policy.
Requests for Information
This financial report is designed to provide a general overview of the City's finances for all those with an interest in
the government's finances. Questions concerning any of the information provided in this report or requests for
additional financial information should be addressed to the City Treasurer, City of Thornton, 9500 Civic Center Drive,
Thornton, CO 80229 or visit the City's website at www.thorntonco.gov.
12
BASIC FINANCIAL STATEMENTS
13
City of Thornton, Colorado
Statement of Net Position
December 31,2022
Governmental Business-type
Activities Activities Total
ASSETS
Equity in pooled cash and investments $ 235,720,035 $ 324,455,104 $ 560,175,139
Receivables, net
Taxes 50,633,307 - 50,633,307
Accounts 13,469,674 9,386,068 22,855,742
Leases 658,338 2,150,201 2,808,539
Interest and other 929,462 1,201,975 2,131,437
Inventory of supplies 144,654 - 144,654
Prepaids and otherassets 453,826 79,125 532,951
Land held for resale 543,099 - 543,099
Restricted assets
Equity in pooled cash and investments 3,703,349 3,447,793 7,151,142
Net pension asset 22,178,303 - 22,178,303
Capital assets
Land,water rights, and construction in progress 91,652,219 434,149,393 525,801,612
Depreciable buildings, property,and
equipment, net 370,831,188 455,234,063 826,065,251
Right to use leased assets
Buildings and general equipments, net 1,138,945 46,608 1,185,553
Total assets 792,056,399 1,230,150,330 2,022,206,729
DEFERRED OUTFLOWS OF RESOURCES
Deferred charge on refunding - 1,373,861 1,373,861
Deferred outflow related to ARO 270,528 30,000 300,528
Deferred outflow related to OPEB 1,530,083 256,242 1,786,325
Deferred outflow related to pension 11,771,845 - 11,771,845
Total deferred outflows of resources 13,572,456 1,660,103 15,232,559
LIABILITIES
Accounts payable 13,358,554 6,241,382 19,599,936
Retainage payable 2,303,635 312,747 2,616,382
Accrued interest payable 409,925 309,233 719,158
Third party development advances 16,668,580 - 16,668,580
Unearned revenue 17,490,920 125,854 17,616,774
Other 6,222,679 220,780 6,443,459
Noncurrent liabilities
Due within one year 10,458,925 3,640,374 14,099,299
Due in more than one year
Due in more than one year-other 126,134,684 115,319,164 241,453,848
Due in more than one year-Total OPEB liability 5,661,488 941,749 6,603,237
Due in more than one year- Net pension liability 3,013,918 - 3,013,918
Total liabilities 201,723,308 127,111,283 328,834,591
DEFERRED INFLOWS OF RESOURCES
Deferred inflow- property tax 31,940,931 - 31,940,931
Deferred inflow- leases 646,599 1,938,214 2,584,813
Deferred inflow- opioid 1,080,185 - 1,080,185
Deferred gain on refunding 22,471 - 22,471
Deferred inflows related to OPEB 1,968,174 332,046 2,300,220
Deferred inflows related to pensions 15,852,989 - 15,852,989
Total deferred inflows of resources 51,511,349 2,270,260 53,781,609
NET POSITION
Net investment in capital assets 339,247,183 773,566,597 1,112,813,780
Restricted for
Capital projects 6,254,838 - 6,254,838
Communications 1,047,059 - 1,047,059
Emergencies 6,804,881 - 6,804,881
Pensions 18,097,159 - 18,097,159
Parks and open space 37,986,099 - 37,986,099
Public safety 1,336,330 - 1,336,330
Other purposes 1,407,243 - 1,407,243
Unrestricted 140,213,406 328,862,293 469,075,699
Total net position $ 552,394,198 $ 1,102,428,890 $ 1,654,823,088
The accompanying notes are an integral part of these financial statements.
14
City of Thornton, Colorado
Statement of Activities
For the year ended December 31, 2022
Program Revenues Net (Expense) Revenue and
Operating Capital Changes in Net Position
Charges for Grants and Grants and Governmental Business-Type
Functions/Activities Expenses Services Contributions Contributions Activities Activities Total
Governmental:
Generalgovernment $ 37,954,100 $ 8,138,798 $ 445,033 $ - $ (29,370,269) $ (29,370,269)
Police 43,658,172 1,596,231 1,389,165 413,827 (40,258,949) (40,258,949)
Fire and ambulance 26,946,828 5,139,561 839,642 2,226,410 (18,741,215) (18,741,215)
City development 13,235,902 6,651,209 351,572 - (6,233,121) (6,233,121)
Streets, traffic&engineering 36,323,712 - 5,931,454 20,694,798 (9,697,460) (9,697,460)
Community services 37,857,779 7,522,478 1,178,687 10,097,382 (19,059,232) (19,059,232)
Interest on long-term debt 4,639,875 - - - (4,639,875) (4,639,875)
Total governmental activities 200,616,368 29,048,277 10,135,553 33,432,417 (128,000,121) (128,000,121)
Business-type:
Water 49,849,565 55,379,075 - 34,869,839 40,399,349 40,399,349
Sewer 18,839,909 16,278,144 - 6,270,470 3,708,705 3,708,705
Environmental Services 6,437,147 5,952,958 - - (484,189) (484,189)
Stormwater 4,395,447 4,398,364 - 5,266,503 5,269,420 5,269,420
Total business-type activities 79,522,068 82,008,541 - 46,406,812 48,893,285 48,893,285
Total City of Thornton $ 280,138,436 $ 111,056,818 $ 10,135,553 $ 79,839,229 (128,000,121) 48,893,285 (79,106,836)
General revenues:
Sales and use taxes 147,877,508 - 147,877,508
Property taxes 32,544,945 - 32,544,945
Franchise taxes 7,288,978 - 7,288,978
E911taxes 3,282,279 - 3,282,279
Other taxes 3,501,442 - 3,501,442
Loss on investments (7,631,404) (9,722,992) (17,354,396)
Gain on sale of capital assets - 32,816 32,816
Royalties - 12,497,787 12,497,787
Miscellaneous 2,401,016 6,950,422 9,351,438
Special item - sale of mineral rights 2,850,686 30,691,245 33,541,931
Total general revenues and special items 192,115,450 40,449,278 232,564,728
Change in net position 64,115,329 89,342,563 153,457,892
Net position, January 1, restated 488,278,869 1,013,086,327 1,501,365,196
Net position, December 31 $ 552,394,198 $ 1,102,428,890 $ 1,654,823,088
The accompanying notes are an integral part of these financial statements.
15
This Page Left Intentionally Blank
16
FUND FINANCIAL STATEMENTS
��
City of Thornton, Colorado
Balance Sheet
Governmental Funds
December 31, 2022
TDA North Governmental Other Total
General Capital Capital Governmental Governmental
Fund Fund Fund Funds Funds
ASSETS
Equity in pooled cash
and investments
Unrestricted $ 87,265,455 $ 16,038,363 $ 66,296,380 $ 53,340,151 $ 222,940,349
Restricted - 1,410,813 - 2,292,536 3,703,349
Receivables, net
Taxes 18,596,731 12,485,659 13,261,986 6,288,931 50,633,307
Accounts 3,591,215 - 5,777,577 3,525,882 12,894,674
Leases 658,338 - - - 658,338
Interest and other 381,070 61,756 243,473 199,177 885,476
Inventory of supplies 144,654 - - - 144,654
Prepaid items and other assets 449,014 - 4,812 - 453,826
Land held for resale - - - 543,099 543,099
Totalassets $ 111,086,477 $ 29,996,591 $ 85,584,228 $ 66,189,776 $ 292,857,072
LIABILITIES
Accounts payable 9,049,646 690,371 1,571,264 1,655,207 12,966,488
Retainage payable - 613,556 1,188,383 501,696 2,303,635
Third party development advances - - 15,500,947 1,167,633 16,668,580
Unearned revenue 93,103 - 17,388,217 9,600 17,490,920
Other 2,366,895 132,856 2,714,358 1,008,570 6,222,679
Total liabilities 11,509,644 1,436,783 38,363,169 4,342,706 55,652,302
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue- property taxes 17,494,245 11,759,825 - 2,686,861 31,940,931
Unavailable revenue- intergovernmental - - 4,185,362 1,013,607 5,198,969
Unavailable revenue- grants 1,759,904 - 49,257 - 1,809,161
Unavailable revenue- lease 646,599 - - - 646,599
Unavailable revenue- opioid - - 1,080,185 - 1,080,185
Total deferred inflows 19,900,748 11,759,825 5,314,804 3,700,468 40,675,845
FUND BALANCES
Nonspendable
Inventories 144,654 - - - 144,654
Prepaids 449,014 - 4,812 - 453,826
Restricted
Parks and open space - - - 37,986,099 37,986,099
Capital projects - - - 6,254,838 6,254,838
Communications 1,047,059 - - - 1,047,059
Debt service - 1,390,000 - 2,258,550 3,648,550
Emergencies-TABOR 6,804,881 - - - 6,804,881
Public safety 234,413 - - 941,917 1,176,330
Other purposes - - 1,329,979 77,264 1,407,243
Committed
Emergencies 30,751,000 - - - 30,751,000
Otherpurposes 274,176 - - - 274,176
Assigned
Capital projects - 15,409,983 40,571,464 9,528,044 65,509,491
Land held for resale - - - 543,099 543,099
Parks and open space - - - 420,684 420,684
Otherpurposes - - - 136,107 136,107
Unassigned 39,970,888 - - - 39,970,888
Total fund balances 79,676,085 16,799,983 41,906,255 58,146,602 196,528,925
Total liabilities, deferred inflows of
resources and fund balances $ 111,086,477 $ 29,996,591 $ 85,584,228 $ 66,189,776 $ 292,857,072
The accompanying notes are an integral part of these financial statements.
18
City of Thornton, Colorado
Reconciliation of the Balance Sheet of Governmental Funds
to the Statement of Net Position
December 31, 2022
Total fund balances for governmental funds(page 18) $ 196,528,925
Amounts reported for governmental activities in the statement of net position are
different because:
Capital assets used in governmental activities are not financial resources and
therefore are not reported in the funds. Those assets consist of:
Land and land rights 53,572,530
Construction in progress 38,079,689
Streets,Traffic&Engineering, net of$268,880,207 accumulated depreciation 156,623,674
Buildings and improvements, net of$45,486,627 accumulated depreciation 144,018,385
Leisure areas&improvements, net of$59,892,574 accumulated depreciation 49,312,398
General equipment, net of$41,094,880 accumulated depreciation 20,876,731
Total capital assets 462,483,407
Right to use leased assets used in governmental activities are not financial resources and
therefore are not reported in the funds. Those assets consist of:
Buildings and improvements, net of$113,748 accumulated amortization 196,144
General equipment, net of$455,640 accumulated amortiztion 942,801
Total right to use leased assets 1,138,945
Net Pension Asset 22,178,303
Risk Management, an internal service fund is used by the City to account for a
comprehensive insurance management program provided to other internal departments.
The assets and liabilities of the internal service fund are included in the governmental
activities in the statement of net position. 7,749,878
Governmental funds report the effect of deferred charges on refunding debt when it
is first issued, whereas these amounts are amortized over the life of the bonds in
the government wide financial statements (22,471)
Long-term liabilities applicable to the City's governmental activities are not due and payable
in the current period and accordingly are not reported as fund liabilities. Interest on long-term
debt is not accrued in governmental funds, but rather is recognized as an expenditure when
due. All liabilities- both current and long-term are reported in the statement of net position
Balances at December 31, 2022 are:
Accrued interest on bonds and certificates of participation (404,980)
Bonds payable, net of unamortized premium (32,155,984)
Obligation under certificates of participation (88,792,808)
Accrued interest on leases (4,945)
Obligation under leases (1,100,271)
Total OPEB liability (5,634,597)
Compensated absences (8,941,028)
Net pension liability (3,013,918)
Asset retirement obligation (375,000)
Total long-term liabilities (140,423,531)
Deferred outflows related to asset retirement obligation 270,528
Deferred inflows related to unearned revenues are not available for current expenditures
and, therefore, are not reported in the funds:
Deferred inflows related to intergovernmental 5,198,969
Deferred inflows related to grants 1,809,161
7,008,130
Deferred outflows and inflows of resources related to pensions and OPEB are applicable to
future periods and,therefore, are not reported in the funds:
Deferred outflows relating to OPEB 1,522,570
Deferred outflows relating to pensions 11,771,845
Deferred inflows relating to OPEB (1,959,342)
Deferred inflows relating to pensions (15,852,989)
Total deferred items (4,517,916)
Total net position governmental activities(page 14) $ 552,394,198
19
City of Thornton, Colorado
Statement of Revenues, Expenditures,and Changes in Fund Balances
Governmental Funds
For the year ended December 31, 2022
TDA North Governmental Other Total
General Capital Capital Governmental Governmental
Fund Fund Fund Funds Funds
REVENUES
Taxes
Sales and use $ 91,695,863 $ 7,752,106 $ 36,181,996 $ 12,247,543 $ 147,877,508
Property 17,850,900 11,585,718 - 3,108,327 32,544,945
Franchise 7,288,978 - - - 7,288,978
E911 - - - 3,282,279 3,282,279
Other 3,489,441 - - 12,001 3,501,442
Licenses and permits 6,708,666 - - - 6,708,666
Intergovernmental 7,603,140 - 5,376,526 8,745,713 21,725,379
Governmental grants 1,071,579 - 5,279,013 4,286,057 10,636,649
Chargesforservices 20,464,371 - - - 20,464,371
Fines and forfeitures 1,200,599 - - - 1,200,599
Leases 30,072 - - - 30,072
Investment loss (3,364,059) (512,281) (2,087,221) (1,667,843) (7,631,404)
Miscellaneous 1,029,630 81,184 1,007,261 286,888 2,404,963
Total revenues 155,069,180 18,906,727 45,757,575 30,300,965 250,034,447
EXPENDITURES
Current
General government 38,615,549 - - - 38,615,549
Police 44,176,348 - - - 44,176,348
Fire and ambulance 26,776,865 - - - 26,776,865
City development 9,725,080 - - - 9,725,080
Streets,traffic and engineering 12,110,719 - 3,344,141 1,008,570 16,463,430
Community services 26,790,037 - - 51,300 26,841,337
Capital outlay 2,652,246 13,851,251 31,940,408 12,907,621 61,351,526
Debt service
Principal retirement 761,463 1,035,000 3,768,747 3,401,253 8,966,463
Interest and bond fees 11,562 376,013 781,291 4,077,283 5,246,149
Total expenditures 161,619,869 15,262,264 39,834,587 21,446,027 238,162,747
Excess(deficiency) of revenues
over(under) expenditures (6,550,689) 3,644,463 5,922,988 8,854,938 11,871,700
OTHER FINANCING
SOURCES(USES)
Transfers in 6,116,903 - 2,924,031 18,000 9,058,934
Transfers out (18,000) (4,199,367) - (4,841,567) (9,058,934)
Sale of general capital assets 79,518 - 20,363 - 99,881
Total other financing
sources (uses) 6,178,421 (4,199,367) 2,944,394 (4,823,567) 99,881
SPECIALITEM
Proceeds from sale of mineral rights 2,850,686 - - - 2,850,686
Net change in fund balances 2,478,418 (554,904) 8,867,382 4,031,371 14,822,267
Fund balances,January 1 77,197,667 17,354,887 33,038,873 54,115,231 181,706,658
Fund balances, December 31 $ 79,676.085 $ 16,799,983 $ 41.906,255 $ 58,146.602 $ 196,528.925
The accompanying notes are an integral part of these financial statements.
20
City of Thornton, Colorado
Reconciliation of the Statement of Revenues, Expenditures,and Changes in
Fund Balances of Governmental Funds to the Statement of Activities
For the year ended December 31, 2022
Net change in fund balances-total governmental funds(page 20) $ 14,822,267
Amounts reported for governmental activities in the statement of activities are different because:
Governmental funds report capital outlays as expenditures. However, in the statement
of activities the cost of those assets is allocated over their estimated useful lives
and reported as depreciation expense. This is the amount by which capitalized
capital outlays ($44,532,396) less work in progress deletions ($1,179,356),
exceeded depreciation ($24,080,970) in the current period. 19,272,070
The net effect of various miscellaneous transactions involving capital assets is to
increase net position (contributions of$11,345,878 less the loss of$13,307 less the
revenue reco9nized at the fund level of$99,881 on the sale of capital assets) 11,232,690
The net effect of various transactions involving right to use leased assets is to
decrease net position (lease amortization of$569,388) (569,388)
Repayment of bond and lease principal is reported as an expenditure in the governmental
funds. However,the repayment reduces long-term liabilities on the Statement of Net
Position, so this transaction has no effect on net position.
Repayments:
To bond holders 1,765,000
To Capital Asset Finance Corporation for certificates of participation 6,440,000
Obligation under leases 761,463
Net adjustment 8,966,463
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
of governmental funds. Neither transaction, however, has any effect on net position. Also,
governmental funds report the effect of premiums, discounts, and similar items when the debt
is first issued,whereas these amounts are deferred and amortized in the Statement of Activities.
This amount is the net effect of these difference in the treatment of long-term debt and related items. 580,940
Under the modified accrual basis of accounting used in the governmental funds,expenditures
are not recognized for transactions that are not normally paid with expendable available
financial resources. In the Statement of Activities, however, which is presented on the accrual
basis,expenses and liabilities are reported regardless of when financial resources are available.
In addition, interest on long-term debt is not recognized under the modified accrual basis of
accounting until due, rather than as it accrues. This adjustment combines the net changes:
Adjustment to compensated absences (1,024,320)
Accrued interest on bonds 30,279
Accrued interest on leases (4,945)
Asset Retirment Obligation Expense (26,118)
Combined adjustment (1,025,104)
Under the modified accrual basis of accounting used in the governmental funds, revenues are
recognized when measurable and available. In the Statement of Activities, which is presented
on the accrual basis, revenues are reported when earned regardless of availability.
Intergovernmental revenues 412,382
Grantrevenues (11,576)
Combined adjustment 400,806
Other postemployment benefits and pension expenses are reported in the Government-Wide
Statement of Activities, but they did not require the use of current financial resources.
Therefore,the increase or decrease in the other postemployment benefit liability and the net
pension liabilities are not reported as an expenditure or(credit) in the government funds.
Other Postemployment benefit expenses (766,242)
Pension Income 6,082,108
Internal Service Funds are used by the City to account for the financing of goods or services
provided by one department or agency to other departments or agencies.The net revenues
of the internal service funds are reported with governmental activities. 5,118,719
$ 64,115,329
21
City of Thornton, Colorado
Statement of Net Position
Proprietary Funds
December 31, 2022
Business-type Activities Governmental
Enterprise Funds Activities
Other Internal
Enterprise Service
Water Sewer Funds Total Risk Fund
ASSETS
Current assets
Equity in pooled cash and
investments-unrestricted $ 302,890,297 $ 13,960,347 $ 7,604,460 $ 324,455,104 $ 12,779,686
Equity in pooled cash and
investments-restricted 3,447,793 - - 3,447,793 -
Receivables, net
Accounts 6,694,022 1,801,576 890,470 9,386,068 575,000
Leases 1,161,915 - - 1,161,915 -
Interestand other 1,083,096 51,553 28,224 1,162,873 43,986
Prepaids and other assets 62,035 1,000 16,090 79,125 -
Total current assets 315,339,158 15,814,476 8,539,244 339,692,878 13,398,672
Noncurrent assets
Lease receivable 988,286 - - 988,286 -
Loan receivable, net of
current portion 39,102 - - 39,102 -
Capital assets
Land and waterrights 214,911,316 417,407 - 215,328,723 -
Source of supply 129,350,266 - - 129,350,266 -
Water treatment plant 176,791,898 - - 176,791,898 -
Collection,transmission,and
distribution 262,224,245 120,243,928 81,793,506 464,261,679 -
Transportation equipment 2,148,806 1,945,950 8,073,579 12,168,335 -
General equipment 11,008,606 1,000,859 1,587,512 13,596,977 -
Buildings and improvements 21,616,867 2,428,376 684,752 24,729,995 -
Less accumulated depreciation (155,560,337) (53,458,227) (27,296,257) (236,314,821) -
Construction in progress 85,614,316 1,321,903 2,534,185 89,470,404 -
Right to use assets
General equipment 62,148 - - 62,148 -
Less accumulated amortization (15,540) - - (15,540) -
Totalnoncurrentassets 749,179,979 73,900,196 67,377,277 890,457,452 -
Totalassets 1,064,519,137 89,714,672 75,916,521 1,230,150,330 13,398,672
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflow related to OPEB 164,139 25,567 66,536 256,242 7,513
Deferred outflow related to ARO 30,000 - - 30,000 -
Deferred charge on refunding 1,373,861 - - 1,373,861 -
Total deferred outflows of resources 1,568,000 25,567 66,536 1,660,103 7,513
The accompanying notes are an integral part of these financial statements.
22
Business-type Activities Governmental
Enterprise Funds Activities
Other Internal
Enterprise Service
Water Sewer Funds Total Risk Fund
LIABILITIES
Current liabilities
Accounts payable $ 3,083,894 $ 2,714,182 $ 443,306 $ 6,241,382 $ 392,066
Retainage payable 283,681 27,394 1,672 312,747 -
Other 220,780 - - 220,780 -
Unearned revenue 125,854 - - 125,854 -
Payable from restricted assets
Accrued bond interest payable 309,233 - - 309,233 -
Revenue bondspayable 3,350,000 - - 3,350,000 -
Lease payable 15,465 - - 15,465 -
Com pensated absences 269,703 1,387 3,819 274,909 17,665
Outstanding reserves and incurred
but not reported claims - - - - 2,591,978
Total current liabilities 7,658,610 2,742,963 448,797 10,850,370 3,001,709
Long-term liabilities
Revenue bonds payable,
excluding current portion, net of
other unamortized costs 113,557,816 - - 113,557,816 -
Total OPEB liability 602,974 94,992 243,783 941,749 26,891
Compensated absences 566,770 32,980 219,072 818,822 36,745
Leases 31,300 - - 31,300 -
Other obligations 911,226 - - 911,226 -
Outstanding reserves and incurred
but not reported claims - - - - 2,582,130
Total long-term liabilities 115,670,086 127,972 462,855 116,260,913 2,645,766
Total liabilities 123,328,696 2,870,935 911,652 127,111,283 5,647,475
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to OPEB 220,200 22,478 89,368 332,046 8,832
Deferred inflows related to leases 1,938,214 - - 1,938,214 -
Total deferred inflows of resources 2,158,414 22,478 89,368 2,270,260 8,832
NET POSITION
Net investment in capital assets 632,318,190 73,872,802 67,375,605 773,566,597 -
Restricted - Public Safety - - - - 160,000
Unrestricted 308,281,837 12,974,024 7,606,432 328,862,293 7,589,878
Total net position $ 940,600,027 $ 86,846,826 $ 74,982,037 $ 1,102,428,890 $ 7,749,878
23
City of Thornton, Colorado
Statement of Revenues,Expenses and Changes in Net Position
Proprietary Funds
For the year ended December 31, 2022
Business-type Activities Governmental
Enterprise Funds Activities
Other Internal
Enterprise Service
Water Sewer Funds Total Risk Fund
OPERATING REVENUES
Charges for services pledged for debt $ 55,379,075 $ - $ - $ 55,379,075 $ -
Charges for services - 16,278,144 10,351,322 26,629,466 -
Miscellaneous revenue 113,489 - 43,170 156,659 -
Interfund services - - - - 18,414,461
Total operating revenues 55,492,564 16,278,144 10,394,492 82,165,200 18,414,461
OPERATING EXPENSES
Source of supply 7,305,822 - - 7,305,822 -
Water treatment 13,146,394 - - 13,146,394 -
Collection,transmission
distribution, and trash removal 3,900,503 2,576,712 5,538,053 12,015,268 -
Sewage treatment-Metro Wastewater - 11,928,266 - 11,928,266 -
Insurance premiums - - - - 3,464,077
Claims and reserves for claims - - - - 8,840,014
Otheroperating expenses 1,746,362 187,823 1,194,117 3,128,302 -
Administration 10,002,529 1,469,797 1,492,695 12,965,021 619,535
Depreciation/Amortization 10,345,269 2,677,311 2,607,729 15,630,309 -
Total operating expenses 46,446,879 18,839,909 10,832,594 76,119,382 12,923,626
Operating income (loss) 9,045,685 (2,561,765) (438,102) 6,045,818 5,490,835
NONOPERATING REVENUES
(EXPENSES)
Gain on sale
of capital assets 31,111 1,705 - 32,816 -
Investment loss (9,041,857) (436,335) (244,800) (9,722,992) (392,116)
Interest and bond amortization
expense (3,402,686) - - (3,402,686) -
Royalties 12,497,787 - - 12,497,787 -
Miscellaneous, net 6,793,758 - 5 6,793,763 20,000
Totalnonoperating revenues(expenses 6,878,113 (434,630) (244,795) 6,198,688 (372,116)
Income (loss) before capital
contributions and special items 15,923,798 (2,996,395) (682,897) 12,244,506 5,118,719
Grants and capital contributions 34,869,839 6,270,470 5,266,503 46,406,812 -
Special item -sale of mineral rights 30,691,245 - - 30,691,245 -
Change in net position 81,484,882 3,274,075 4,583,606 89,342,563 5,118,719
Net position,January 1 859,115,145 83,572,751 70,398,431 1,013,086,327 2,631,159
Net position, December 31 $ 940,600,027 $ 86,846,826 $ 74,982,037 $ 1,102,428,890 $ 7,749,878
The accompanying notes are an integral part of these financial statements.
24
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25
City of Thornton, Colorado
Statement of Cash Flows
Proprietary Funds
For the year ended December 31, 2022
Business-type Activities Governmental
Enterprise Funds Activities
Other Internal
Enterprise Service
Water Sewer Funds Total Risk Fund
CASH FLOWS FROM OPERATING
ACTIVITIES
Receipts from customers and others $ 60,340,507 $ 16,251,610 $ 10,292,801 $ 86,884,918 $ -
Receipts from interfund services - - - - 17,989,461
Paymentsto suppliers (28,871,673) (14,094,742) (4,712,506) (47,678,921) (12,827,668)
Payments to employees (12,058,199) (1,339,146) (3,797,986) (17,195,331) (542,068)
Net cash provided by operating activities 19,410,635 817,722 1,782,309 22,010,666 4,619,725
CASH FLOWS FROM NONCAPITAL
FINANCING ACTIVITIES
Grant 314,973 - - 314,973 -
Advanceto otherfunds - -
Repayment from (to) other funds - - - - -
Receiptsfrom nonoperatingleases 14,400,666 - - 14,400,666 -
Special Item - sale of mineral rights 30,691,245 - - 30,691,245 -
Net cash provided by
noncapital financing activities 45,406,884 - - 45,406,884 -
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES
Purchases and construction of
capital assets (16,561,053) (2,375,846) (747,574) (19,684,473) -
Proceeds from sale of capital assets 33,516 1,705 - 35,221 -
Principal paid on bonds and
other obligations (3,185,000) - - (3,185,000) -
Interest and fees paid on capital debt (3,871,074) - - (3,871,074) -
Lease Payments (15,383) - - (15,383) -
Capital contributions 29,719,186 2,233,583 121,944 32,074,713 -
Net cash provided by(used in) capital
and related financing activities 6,120,192 (140,558) (625,630) 5,354,004 -
CASH FLOWS FROM INVESTING
ACTIVITIES
Proceeds from sale of investments 111,284,804 6,675,662 3,131,643 121,092,109 3,598,386
Purchases of investments (216,518,448) (9,877,957) (5,377,114) (231,773,519) (9,041,517)
Interest on investments 3,069,172 156,348 83,239 3,308,759 125,522
Net cash used in
investing activities (102,164,472) (3,045,947) (2,162,232) (107,372,651) (5,317,609)
Net decrease in cash and
cash equivalents (31,226,761) (2,368,783) (1,005,553) (34,601,097) (697,884)
Cash and cash equivalents,Jan. 1 89,511,656 5,027,713 2,452,997 96,992,366 3,131,675
Cash and cash equivalents, Dec. 31 $ 58,284,895 $ 2,658,930 $ 1,447,444 $ 62,391,269 $ 2,433,791
Cash and cash equivalents $ 58,284,895 $ 2,658,930 $ 1,447,444 $ 62,391,269 $ 2,433,791
Investments 248,053,195 11,301,417 6,157,016 265,511,628 10,345,895
Totalcash andinvestments $ 306,338,090 $ 13,960,347 $ 7,604,460 $ 327,902,897 $ 12,779,686
Equity in pooled cash and investments $ 302,890,297 $ 13,960,347 $ 7,604,460 $ 324,455,104 $ 12,779,686
Restricted cash and investments 3,447,793 - - 3,447,793 -
Totalcash andinvestments $ 306,338,090 $ 13,960,347 $ 7,604,460 $ 327,902,897 $ 12,779,686
The accompanying notes are an integral part of these financial statements.
26
Business-type Activities Governmental
Enterprise Funds Activities
Other Internal
Enterprise Service
Water Sewer Funds Total Risk Fund
RECONCILIATION OF OPERATING
INCOME TO NET
CASH PROVIDED BY
OPERATING ACTIVITIES
Operating income (loss) $ 9,045,685 $ (2,561,765) $ (438,102) $ 6,045,818 $ 5,490,835
Adjustments to reconcile operating
income to net cash provided
by operating activities:
Depreciation &Amortization expense 10,345,269 2,677,311 2,607,729 15,630,309 -
Miscellaneous receipts 4,732,986 - 5 4,732,991 20,000
Otherexpenses (5,000) - - (5,000) -
Change in assets and liabilities:
Decrease (increase) in accounts
receivable, net 93,645 (26,533) (101,697) (34,585) (445,000)
Decreaseinloans receivable 20,153 - - 20,153 -
Decrease (increase) in other assets (6,180) - 1,045 (5,135) -
Decrease in deferred outflows of resources
Other 5,000 - - 5,000 -
Decrease in deferred outflows of resources
OPEB Related 61,700 5,848 25,148 92,696 2,339
Increase (decrease) in
accounts payable (4,868,182) 714,565 (339,361) (4,492,978) 182,858
Decreasein OPEB (104,439) (9,899) (47,122) (161,460) (3,960)
Increase (decrease) in otherliabilities (40,336) 5,951 22,015 (12,370) (632,245)
Increasein unearned revenue 1,158 - - 1,158 -
Increase in deferred inflows of resources
OPEB Related 129,175 12,244 52,649 194,068 4,898
Net cash provided by
operating activities $ 19,410,634 $ 817,722 $ 1,782,309 $ 22,010,665 $ 4,619,725
NON-CASH INVESTING,
CAPITAL AND FINANCING ACTIVITIES:
Investing Activities
Decrease in the fair value of
investments $ (11,671,561) $ (563,977) $ (314,679) $ (12,550,217) $ (501,025)
Financing Activities
Bond amortization premiums (454,720) - - (454,720) -
Capital Activities
Loss on disposal of capital assets (2,405) - - (2,405) -
Water, sewer, and stormwater lines
contributed by developers 4,457,751 4,036,887 5,144,559 13,639,197 -
27
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The City of Thornton, Colorado ("the City") was incorporated May 26, 1956. The citizenry voted to become a home rule
city in 1967 under the provisions of Article XX of the Constitution of the State of Colorado. The City operates under a
Council-Manager form of government and provides the following services, as authorized by its charter: public safety
(police, fire, and ambulance), highways and streets, public improvements, water, sewer, environmental services and
stormwater, culture and recreation, debt service and general administrative services, including financial, planning and
zoning, and municipal court services.
The accounting policies of the City conform to accounting principles generally accepted in the United States of America
as applicable to governments in accordance with those promulgated by the Governmental Accounting Standards Board
(GASB). The following is a summary of the more significant policies:
1. Reportin4 Entitv
The City follows the GASB accounting pronouncements,which provide guidance for determining which governmental
activities, organizations, and functions should be included within the financial reporting entity. GASB
pronouncements set forth the financial accountability of a governmental organizations elected governing body as
the basic criterion for including a possible component governmental organization in a primary government's legal
entity. Financial accountability includes but is not limited to, appointment of a voting majority of the organizations
governing body, ability to impose its will on the organization, and potential for the organization to provide specific
financial benefits or burdens and fiscal dependency.
As required by generally accepted accounting principles (GAAP), these financial statements present the City (the
primary government) and its component units. The component units discussed below are included in the City's
reporting entity because of the significance of their operational or financial relationships with the City. These
component units are so intertwined with the City that they are, in substance, the same as the City and, therefore,
are blended and reported as if they were part of the City. None of the component units listed below report their
financial statements independent from the City.
The management of the City has operational responsibility for each of the following component units, and therefore,
they are included within the reporting entity (in blended presentation):
Thornton Develo�ment Authority_(TDA� -The TDA, an Urban Renewal Authority organized pursuant to Part 1,Article
25,Title 31 of the Colorado Revised Statutes, was established to finance the design and construction of the Thornton
Parkway highway interchange, as well as various other improvements within the TDA's boundaries. The City Council
is the TDA's governing board. The debt of the TDA is disclosed as tax increment bonds, but is not a general
obligation of the City (primary government). There are three urban renewal areas within the City,the South Capital
Fund, the North Capital Fund, and the 144th Capital Fund. For ease of financial management, separate funds were
established for the improvements in each geographical area.
Thornton Arts, Sciences, and Humanities Council, Inc. (TASHCO) - TASHCO, a legally separate, nonprofit
corporation, was established to expand the Cultural Arts and Scientific program offerings within the City of Thornton.
TASHCO is funded by a local grant, donations, ticket sales, and contribution from the General Fund. In 2007, the
City Council appointed an advisory board consisting of citizens to serve as liaison for the City Council to the
community at large to ensure programming services are meeting the needs and desires of the public. The City
Council is the governing board of the TASHCO and approves the annual budget, making all substantive decisions
regarding the operations of the TASHCO.
136t''Avenue General Improvement District (GID� - 136th Avenue GID was established to account for the collection
of assessment revenues to be used exclusively for the purpose of constructing an interchange at 136t''Avenue and
Interstate 25. The City Council is the GID's governing board.
E911 Authority Fund -This fund was established to account for E911 surcharges received from telecommunications
companies doing business within the City to pay for a portion of the costs authorized by State statute for the City
to provide emergency telephone service. The City Council is the E911's governing board.
28
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
2. Basis of Presentation
Government-wide Statements: The statement of net position and the statement of activities display information
about the primary government(the City).These statements include the financial activities of the overall government.
Eliminations have been made to minimize the double-counting of internal activities. These statements distinguish
between the governmental and business-type activities of the City. Governmental activities generally are financed
through taxes, intergovernmental revenues, and other nonexchange transactions. Business-type activities are
financed in whole or in part by fees charged to external parties. Separate financial statements are provided for
governmental and proprietary funds.
The statement of activities presents comparisons between direct expenses and program revenues for the different
business-type activities of the City and for each function of the City's governmental activities. Direct expenses are
those that are specifically associated with a program or function and,therefore, are clearly identifiable to a particular
function. Indirect expense allocations that have been made in the funds have been reversed for the statement of
activities. Program revenues include (a) charges to customers who purchase, use, or directly benefit from goods,
services, or privileges provided by a given program and (b) grants and contributions that are restricted to meeting
the operational or capital requirements of a particular program. Revenues that are not classified as program
revenues, including all taxes, are presented as general revenues.
Fund Financial Statements: The fund financial statements provide information about the City's funds, including its
blended component units. Separate statements are provided for governmental and proprietary funds. The emphasis
of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column.
All remaining governmental and enterprise funds are aggregated and reported as non-major funds.
The City reports the following major governmental funds:
General Fund. This is the City's primary operating fund. It accounts for all financial resources of the general
government, except those required to be accounted for in another fund.
Thornton Development Authority North Washington Fund(TDA North) (Component Unit). This fund accounts for
debt services and capital improvement projects within the Authority boundaries financed by current resources
(property tax, sales tax, investment income) and by bond proceeds. The debt service payments are for the
following bond issue: $13,900,000 Thornton Development Authority Tax Increment Revenue Refunding (North
Washington Street Urban Corridor), Series 2015A - financed by sales and property tax incremental increases
within the boundaries of the North Washington Urban Renewal Area. The bonds are due in semi-annual
payments until maturity in 2028.
Governmental Capital Fund. This fund accounts for capital improvement projects financed by current resources
(investment income, sales and use tax), as well as by restricted grant and intergovernmental revenues,
developer contributions, and bond proceeds.
The City reports the following major enterprise funds:
Water Utility Fund. This fund accounts for the provision of water services to residents of the City and some
residents of unincorporated Adams County.
Sewer Utility Fund. This fund accounts for the provision of sewer services to residents of the City and some
residents of unincorporated Adams County.
Fund types that do not meet the criteria of major funds have been summarized and presented as other governmental
funds and other enterprise funds within the fund financial statements as appropriate.
Additionally, the City reports the following fund type:
Internal Service Funds. The Risk Fund accounts for the costs related to providing the departments of the City
with a comprehensive program to manage its property, liability, and work-related injury risk.
29
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
3. Measurement Focus, Basis of Accountinq
Government-wide and Proprietary Fund Financial Statements. The government-wide and proprietary fund financial
statements are reported using the economic resources measurement focus and the accrual basis of accounting.
Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of
when the related cash flows take place. Nonexchange transactions, in which the City gives (or receives) value
without directly receiving (or giving) equal value in exchange, include property taxes and grants. 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 satisfied.
Amounts reported as program revenues include 1) charges to customers for goods, services, or privileges provided,
2) operating grants and contributions, and 3) capital grants and contributions, including special assessments.
Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general
revenues include all taxes.
Governmental Fund Financial Statements. Governmental funds are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Under this method, revenues are recognized
when measurable and available. The City considers all revenues reported in the governmental funds to be available
if the revenues are collected within sixty days after year end, with the exception of sales tax, for which revenues
collected and held by vendors at year end on behalf of the City is recognized as revenue if collected within thirty
days after year end, and property taxes, for which revenues collected within thirty days after year end are
recognized.
Those revenues susceptible to accrual are property,franchise,cigarette,sales and some use taxes, interest revenue,
and charges for services. Fines and forfeitures, licenses and permits, and building use tax revenues are not
susceptible to accrual because generally they are not measurable until received in cash. Expenditure-driven grants
are recognized as revenue when the qualifying expenditures have been incurred and all other grant requirements
have been met. All other revenue items are considered to be measurable and available only when cash is received
by the City.
Expenditures are recorded when the related fund liability is incurred. Principal and interest on long-term debt are
recorded as fund liabilities when due or when amounts have been accumulated in the fund for payments to be made
early in the following year. Capital asset acquisitions are reported as expenditures in governmental funds. Proceeds
and issuance of long-term debt are reported as other financing sources.
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 they are needed.
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 connection with a
proprietary fund's principal ongoing operations.The principal operating revenues of the enterprise funds and internal
service fund are charges to customers for sales or services. Operating expenses for enterprise funds and internal
service fund include the cost of sales and services, administrative expenses, and depreciation on capital assets. All
revenues and expenses not meeting this definition are reported as non-operating revenues and expenses.
Miscellaneous nonoperating revenue consists primarily of lease and royalty revenue.
As a general rule,the effect of interfund activity has been eliminated from the government-wide financial statements.
Exceptions to this rule are the charges between the City's utility functions and various other functions, as well as an
administrative fee charged by the General government activity to the other activities. Elimination of these charges
would distort the costs and program revenues reported for the various functions.
30
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
4. Budaets and Bud4etary Accountinq
The City Council follows these procedures in establishing the budgetary data reflected in the financial statements:
a. The City Manager submits to the Mayor and the City Council a proposed budget for the fiscal year commencing
the following January 1. The budget includes proposed expenditures of all funds and the means of financing
them.
b. A public hearing is conducted to obtain taxpayer comments.
c. Prior to the end of the fiscal year, the budget for the next fiscal year is legally adopted through passage of a
resolution. An appropriation ordinance, based on the adopted budget, is enacted on or before the last day of
December.
d. The City Manager is authorized to transfer budgeted amounts between departments within any fund; however,
any revisions that alter the total appropriations of any fund must be approved by the City Council.
e. The level on which expenditures may not legally exceed appropriations is the legally adopted annual operating
budget for each fund in total. All appropriations for operating budgets lapse at year end.
f. Budgets for governmental funds are adopted on a basis consistent with accounting principles generally accepted
in the United States of America. Annual budgets are legally adopted for most governmental funds. In any given
year, an individual fund may not be budgeted if expenditures for the year are not anticipated. In 2022, all
governmental funds had legally adopted annual budgets. Notes 4g. and 4h. explain funds with budgets that
are on a non-GAAP basis. Note 4i. explains budgetary practices for capital project funds/accounts.
g. Budgets for governmental capital projects funds are adopted on a basis consistent with accounting principles
generally accepted in the United States of America, except that the City includes the capital outlay costs for
purchases of land intended for resale and excludes subsequent gains or losses on the resale of the land. In
addition, the City excludes gain or loss on disposal of capital assets, acquisition of capital leases, any balances
transferred due to closure of a fund and miscellaneous non-cash adjustments.
h. Budgets for proprietary funds are adopted on a basis consistent with accounting principles generally accepted
in the United States of America, except that the City excludes depreciation, amortization, gain or loss on
disposal of capital assets, and incurred but not reported claims and includes debt service principal and interest
payments and capital outlay. In addition, any balances transferred due to closure of a fund and miscellaneous
non-cash adjustments are not budgeted. Budget to Actual schedules for each proprietary fund can be found in
the Combining &Individual Statements &Schedules section.
i. The City adopts a multi-year appropriation for certain capital projects, identified as long term in nature, where
unexpended funds will not automatically lapse at year end, but remain appropriated until project completion.
Unspent and unencumbered appropriations for those projects that are short term in nature (annual) will
continue to lapse at year end.
j. The City Council may legally amend the budget by ordinance or resolution once it has been approved. Budgeted
amounts, including all amendments, are shown as adopted by the City Council.
In 2022, five budget amendments were approved by ordinance or resolution. The effect of these amendments
was an overall increase in appropriations of$41,863,792, broken down by fund type as follows:
General Fund $ 709,700
Special Revenue Funds 262,000
Capital Pojects Funds 17,681,012
Enterprise Funds 23,211,080
$ 41,863,792
31
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
5. Investments
Investments in securities are carried at fair value or amortized cost as applicable. Unrealized gains resulting from
increases in fair value between January 1 and December 31 are recognized as a component of interest income;
unrealized losses resulting from decreases in fair value reduce interest income. Realized gains or losses on securities
included in the investment portfolio are recognized only when the related security is sold prior to the stated maturity.
Certain investments may be restricted for debt service, capital or pledge commitments.
6. Receivables and Pavables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the
fiscal year are referred to as either "due to/from other funds" (i.e., the current portion of interfund loans) or
"advances to/from other funds" (i.e., the non-current portion of interfund loans). All other outstanding balances
between funds are reported as "due to/from other funds." Any residual balances outstanding between the
governmental activities and business-type activities are reported in the government-wide financial statements as
"internal balances."
7. Inventories
Inventories are valued at weighted average cost. Inventory in the General Fund consists of fuel held for consumption.
In the General Fund cost of inventory is recorded as expenditures when consumed, rather than when purchased.
The General Fund reserve for inventory, included in nonspendable inventories, is equal to the amount of inventory
on hand to indicate that a portion of the General Fund fund balance is not available for future expenditures.
8. Construction Advances
Third party development advances for construction represent the deposits made by developers for specific
improvements to be made either by a developer or the City at a future date. If the developer completes the
improvement, then the deposit is returned to the developer upon satisfactory completion. If the City completes the
improvement, then the deposit is used towards the cost of the improvement. The City recognizes revenue for these
deposits when it is determined that the City, and not a developer, will incur the costs of the improvements, and the
deposit will not be returned to the developer.
9. Caaital Assets
Capital assets,which include property, plant, equipment,water rights,and infrastructure assets(e.g. roads, bridges,
and similar items) are reported in the applicable governmental or business-type activities columns in the
government-wide financial statements and the proprietary financial statements. The government defines capital
assets as assets with an initial, individual cost of more than $5,000 and an estimated useful life in excess of one
year. Property, plant and equipment purchased or acquired is carried at historical cost or estimated historical cost.
Donated capital assets, donated works of art, historical treasures, and similar assets and capital assets received in
a service concession arrangement are recorded at acquisition value. Contributed capital assets are recorded at their
acquisition value on the date received. General infrastructure assets are valued based on estimated original cost.
The cost of normal maintenance and repairs that do not add to the value of the asset or materially extend an asset's
life are not capitalized.
GASB 51 Accounting and Financial Reporting for Intangible Assets requires that all intangible assets be classified as
capital assets and recognized in the statement of net position. The term depreciation includes amortization of
intangible assets.
Land,water rights,source of supply assets related to tributary water rights and permanent easements are capitalized
and not depreciated. Temporary easements are capitalized and depreciated over the appropriate period. All other
capital assets are depreciated using the straight-line method over the following estimated useful lives:
Asset Class Estimated useful life
Infrastructure 5-75 years
Buildings, Structures and improvements 10-50 years
Leisure Areas and improvements 5-50 years
Collection,transmission,and distribution 7-50 years
Equipment 2-30 years
32
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
10. Leases
Lessee: The City is a lessee of 2 separate building spaces, law enforcement tasers,specialized reprographics copiers,
City wide copiers and printers, and an asphalt milling machine under the General Fund and a liquid oxygen tank
under the Water Enterprise Fund. The City has a policy to recognize a lease liability and a right-to-use lease asset
(lease asset) in the government-wide financial statements. The City recognizes lease liabilities with an initial,
individual present value of$10,000 or more.
At the commencement of a lease, the City initially measures the lease liability at the present value of payments
expected to be made during the lease term. Subsequently, the lease liability is reduced by the principal portion
of lease payments made. The lease asset is initially measured as the initial amount of the lease liability,
adjusted for lease payments made at or before the lease commencement date, plus certain initial direct costs.
Subsequently, the lease asset is amortized on a straight-line basis over the shorter of, the lease term or its useful
life.
Key estimates and judgments related to leases include how the City determines (1) the discount rate used on the
expected lease payments to determine present value, (2) lease term to include likelihood of exercising renewal or
cancelation options and (3) lease payments included in present value calculation.
The City will use the interest rate implicit within the lease agreement as the discount rate. In the absence of an
implicit rate, the City calculates the rate by using the City's estimated incremental borrowing rate.
The lease term includes the noncancelable period of the lease. The noncancelable period is determined by
adding the initial noncancelable period to any extension option(s) reasonably certain to be exercised by the
leesee or termination option reasonably certain not to be exercised by lessor
Lease payments included in the measurement of the lease asset/liability are composed of fixed payments and
purchase option price that the City is reasonably certain to exercise.
The City monitors changes in circumstances that would require a remeasurement of its lease and will remeasure
any lease asset and liability if certain changes occur that are expected to significantly affect the amount of the
lease liability. Lease assets are reported as right to use along with other capital assets and lease liabilities are
reported with long-term debt on the statement of net position.
Lessor: The City is a lessor of 81 leases of land used for farming or grazing purposes under the Water Enterprise
Fund and 1 cell tower lease under the General Fund. The City recognizes a lease receivable and a deferred inflows
of resources in both the government-wide and fund financial statements.
At the commencement of a lease, the City initially measures the lease receivable at the present value of
payments expected to be received during the lease term. Subsequently, the lease receivable is reduced by the
principal portion of lease payments received. The deferred inflows of resources is initially measured as the initial
amount of the lease receivable, adjusted for lease payments received at or before the lease commencement
date. Subsequently, the deferred inflows of resources is recognized as revenue over the life of the lease term.
Key estimates and judgments include how the City determines (1) the discount rate it uses to discount the
expected lease receipts to present value, (2) lease term, and (3) lease receipts.
The City calculates the discount rate by taking the treasury rate by using the City's estimated incremental
borrowing rate.
The lease term includes the noncancellable period of the lease.
Lease receipts included in the measurement of the lease receivable is composed of fixed payments from the
lessee.
The City monitors changes in circumstances that would require a remeasurement of its lease, and will
remeasure the lease receivable and deferred inflows of resources if certain changes occur that are expected to
significantly affect the amount of the lease receivable.
33
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
11. Compensated Absences
Eligible City employees earn vacation leave at a variable rate, dependent on years of service, and sick leave at the
rate of 8 hours per month. Vacation and sick leave accumulate on a monthly basis and are fully vested when earned.
Accumulated vacation leave cannot exceed 300 (450 for 56-hour-per-week schedule) hours at the end of the year
and any excess cannot be carried forward to the next year unless pre-authorized by the City Manager. For
employees hired before January 1, 1995, all sick leave earned prior to December 31, 2002 is compensable. After 20
years of service or at age 62 and 10 years of service, 100%of the unused sick leave over 384 hours plus accumulated
vacation leave are paid upon termination, retirement or death. The liability for compensated absences reported in
the government-wide and proprietary fund statements consists of unpaid, accumulated vacation and sick leave
balances, as described above. Compensated absences are liquidated by the respective fund where the liability was
originally accrued.
12. Lona-Term Obli4ations
In the government-wide financial statements and the proprietary fund financial statements, long-term debt and
other long-term obligations are reported as liabilities in the applicable governmental activities, business-type
activities, or proprietary fund type statement of net position. Bond premiums and discounts are deferred and
amortized over the life of the bonds using a method that approximates the effective interest method. Bonds payable
are reported net of the applicable bond premium or discount.
In the governmental fund financial statements, funds recognize bond premiums and discounts during the current
period.The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances
are reported as other financing sources while discounts on debt issuances are reported as other financing uses.
GASB 49 addresses accounting and financial reporting for pollution remediation obligations. The Thornton
Development Authority, a component unit of the City, owns property which falls under voluntary remediation and
had a plan with the State to actively treat subsurface contamination. The total amount spent as of year end 2010
on remediation was $1,437,056. In 2010, the City received approval from the State to stop remediation and move
to monitoring only. The City has spent a total of$405,937 as of year-end 2022 for monitoring.
13. Fund Eauitv
In the fund financial statements, fund equity of the City's governmental funds are classified as nonspendable,
restricted, committed, assigned, or unassigned. A governmental fund may or may not have all five components of
fund balance. The five classifications describe the relative strength of the spending constraints.
Nonspendable fund balances indicate amounts that cannot be spent either due to form (for example inventories or
prepaids) or due to legal or contractual requirements. Restricted fund balances indicate amounts constrained for a
specific purpose by external parties, constitutional provision or enabling legislation. Committed fund balances
indicate amounts constrained for a specific purpose by a government using its highest level of decision-making
authority (ordinance). It would require an ordinance by the City Council to remove or change the constraints placed
on the resources. Assigned fund balance is established by City Council by resolution and as intended for specific
purpose (such as the purchase of capital assets, construction, debt service, etc.). Unassigned fund balances indicate
amounts in the general fund that are not classified as nonspendable, restricted, committed,or assigned.The general
fund is the only fund that would report a positive amount in unassigned fund balance.
When expenditures are incurred for purposes for which both restricted and unrestricted amounts are available,
restricted amounts are deemed to be used first. When expenditures are incurred for purposes for which amounts
in any of the unrestricted fund balance classifications could be used, committed amounts are considered to be
reduced first, followed by assigned amounts and then by unassigned amounts.
City Council establishes (and modifies or rescinds) fund balance commitments by passage of an ordinance. In the
general fund, 17% of the current year budget is committed for emergencies and utilization requires a two-thirds
affirmative vote of the Council. Examples of emergencies that may lead to utilization of the reserve include
economic stabilization due to an unforeseen loss of a key sales tax vendor, a catastrophic event or natural
disaster. A key sales tax vendor is a vendor that generates more than one million per year in sales tax revenue for
the City. An example of a catastrophic event or natural disaster would be a tornado requiring extensive
operational or capital costs. Funds are not intended to be used to adjust for revenue variances due to cycles of the
economy.
34
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
14. Net Position
In the Government-wide and proprietary fund financial statements, equity is displayed in three components as
follows:
Net Investment in Capital Assets - Consist of capital assets, net of accumulated depreciation, less the outstanding
balances of any bonds, notes, or other borrowings that are attributable to the acquisition, construction, or
improvements of those assets. Net investment in capital assets excludes unspent bond and loan proceeds.
Restricted - Consists of amounts constrained for a specific purpose by external parties, constitutional provision or
enabling legislation.
Unrestricted -Consist of amounts that do not meet the definition of��restricted"or��net investment in capital assets".
When both restricted and unrestricted resources are available for use, it is the City's policy to use restricted resources
first, and then unrestricted resources as they are needed.
15. Interfund Transactions
Interfund services provided and used are accounted for as revenues, expenditures or expenses. Transactions that
constitute reimbursements to a fund for expenditures/expenses initially made from it that are properly applicable to
another fund, are recorded as expenditures/expenses in the reimbursing fund and as reductions of
expenditures/expenses in the fund that is reimbursed. All other interfund transactions are reported as transfers.
16. Statement of Cash Flows
For purposes of the statement of cash flows, the City considers all highly liquid investments (including restricted
assets) with a maturity of three months or less when purchased to be cash equivalents.
17. Contraband Forfeitures
In accordance with the Colorado Contraband Forfeiture Act(C.R.S. 16-13-501 to 511)and the Controlled Substances
Act (21 USC 881(e)(3)), forfeitures from the seizure of contraband are used for the specific purpose of law
enforcement activities. These funds are included in the City's General Fund.
18. Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United
States of America requires management to make estimates and assumptions that affect the reported amounts in
the financial statements and accompanying notes. Actual results could differ from those estimates.
19. Sales Tax
As a home rule city, Thornton collects its own sales taxes. Within the general government, the ten largest retailers
remit approximately 43.5% of the sales tax collected.
20. Deferred Outflows and Deferred Inflows of Resources
In addition to assets, the statement of net position has a separate section for deferred outflows of resources.
Deferred outflows represent a consumption of net assets that applies to future period(s) and so are not recognized
as an expense/expenditure in the current year, but will be in a future year. The City has items that qualify for
reporting in this category relating to changes in asset retirement obligation liability, other post-employment benefits
liability, changes in net pension liability and deferred charges on a bond refunding reported in the statement of net
position.
In addition to liabilities, the statement of net position and the balance sheet of the governmental funds has a
separate section for deferred inflows of resources. Deferred inflows represent an acquisition of net assets that applies
to a future period(s) and so are not recognized as revenue in the current year, but will be in a future year. The City
has items that qualify for reporting in this category relating to property taxes, leases, deferred charges on bond
refunding, changes in other post-employment benefits liability, and changes in net pension liability reported in the
statement of net position.At the governmental fund level deferred inflows of resources are reported for unavailable
revenue in connection with receivables not considered to be available under modified accrual basis of accounting.
35
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)
21. Implementation of New GASB Statements
Beginning in fiscal year 2022,the City implemented the following statements issued by the Governmental Accounting
Standards Board (GASB):
GASB Statement No. 87, Leases -This statement is requiring the recognition of lease assets and lease liabilities for
all leases with a noncancelable period beyond 12 months. Many of these leases were previously classified as
operating leases with inflows of resources and outflows of resources recognizeds when received or expended. Short
term leases, lease with a noncancelable period 12 months of less, will continue to be received or expended as
operating leases previously were.
The result of implementing GASB 87, related to agreements the reporting entity was a lessee on, for the period
beginning January 1, 2022; governmental activities capital assets increased $1,108,009; liabilities due within one
year increased $470,686 and liabilities due in more than one year increased $637,323.The implementation resulted
in the beginning net postion of governmental activities being decreased $52,308 because of prior capital leases that
required remeasurement uner the new standard. Business-type activities capital assets increased $62,148; liabilities
due within a year increased $15,383 and liabilities due in more than one year increased $46,765.
The result of implementing GASB 87, related to agreements the reporting entity was a lessor on, for the period
beginning January 1, 2022; governemental activities accounts receivable and deferred inflows of resources increase
$676,671. Business-type activities accounts receivable and deferred inflows of resources increased $3,336,743.
GASB Statement No. 99, Omnibus 2022 - This statement was issued to clarification on GASB statements No. 34,
Basic Financial Statements- and Management's Discussion and Analysis -for State and Local Governments; No. 53,
Accounting and Financial Reporting for Derivative Instruments; No. 87, Leases; No. 94, Public-Private and Public-
Public Partnerships and Availability Payment Arrangements; No. 96, Subscription-Based Information Technology
Arrangements; as well as other program and terminology updates. This GASB did not require a change to reporting
of current or prior periods.
22. Future Accountinq Pronouncements
This report does not incorporate GASB Statement No. 96 Subcription-Based Information Technology Arrangements;
No. 100, Accounting Changes and Error Corrections - an amendment of GASB Statement No. 62; and GASB
Statement No. 101, Compensated Absences.
City's management does expect the implementation of GASB No. 96 to effect financial statements, at this time
management has not determined what the effect is going to be.
City's management is still evaluating GASB Statement Nos. 100 and 101 for impact to the financial statements.
23. Jointiv Governed Oraanization
Woman Creek Reservoir Authority (the Authority). The City participates as an equal partner with the Cities of
Northglenn and Westminster in the operation of the Woman Creek Reservoir Authority. It has no financial interest
in the Authority. The Authority began operation in 1996 with funding from a grant by the federal government's
Environmental Protection Agency. The grant's purpose was to supply sufficient funds to mitigate and/or clean up
any hazardous effects to the water supply of the three cities from the previous production of nuclear weapons at
the Rocky Flats facility located near the Woman Creek Reservoir. The Authority contracted with the Church Ditch
Water Authority to provide maintenance and monitoring services for the reservoir. Copies of the Woman Creek
Reservoir Authority's financial statements may be obtained from the City of Thornton.
NOTE B - STEWARDSHIP, COMPLIANCE,AND ACCOUNTABILITY
1. Compliance with Finance-Related Leaal and Contractual Provisions
The City believes it has no material violations of finance-related legal and contractual provisions.
36
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE C - DEPOSITS AND INVESTMENTS
1. Equitv in Pooled Cash and Investments
Except when required by trust agreements,the operating cash in each fund is pooled and cash in excess of operating
requirements is invested.
2. Deposits
The Colorado Public Deposit Protection Act (PDPA) requires that all units of local government deposit cash in eligible
public depositories,with eligibility determined by state regulators. Amounts on deposit in excess of federal insurance
levels must be collateralized. The eligible collateral is determined by the PDPA. PDPA allows the institution to create
a single collateral pool for all public funds. The pool is to be maintained by another institution or held in trust for all
the uninsured public deposits as a group. The fair value of the collateral must be at least equal to 102% of the
uninsured deposits. At December 31, 2022, the City's deposits had a carrying amount of $5,378,048 and a bank
balance of$7,352,328. Of the bank balance, $808,980 was covered by federal depository insurance.The remainder
of the bank balance, $6,543,348, was uninsured and collateralized with securities held by the pledging financial
institution and covered by eligible collateral as determined by the PDPA.
3. Investments
The City's Charter allows investment in one or more of the securities permitted by the statutes of Colorado for the
investment of state funds or municipal funds, bonds payable out of the revenues of any service or facility furnished
by the City, or in general obligation bonds of the City. The City's internal investment policy further restricts
investments to the following securities: United States Treasury, Government Sponsored Enterprises, State & Local
Government taxable general or revenue obligations, Corporate Bonds and Commercial Paper, Local Government
Investment Pools, Money Market Mutual Funds, Repurchase Agreements, Reverse Repurchase Agreements,
Securities Lending Agreements, and Deposits in State or Nationally Chartered Depository Institutions. Additional
investment and deposit disclosures for credit risk, interest rate risk, and foreign currency risk, as required by GASB
Statement No. 40,Depositand Investment Risk Disclosures,are included in the notes below. At December 31, 2022,
the City had the following investments and maturities:
Investment Type Fair Value < 1 Year 2-3 Years 4-5 Years
U.S. Government Treasuries $ 38,588,203 $ 22,237,500 $ 16,350,703 $ -
Corp Bonds 164,800,062 59,310,814 44,660,419 60,828,829
U.S. Government Agencies 197,314,191 2,869,553 114,267,315 80,177,323
State & Local Government Bonds 43,887,800 4,196,364 14,959,676 24,731,760
Asset Backed Securities 12,320,418 - 6,633,625 5,686,793
Certificate of Deposit 2,600,331 488,355 2,111,976 -
Local Gov't Investment Pools 102,437,233 102,437,233 - -
Total $ 561,948,238 $ 191,539,819 $ 198,983,714 $ 171,424,705
Unrealized gains or losses resulting from changes in the fair value of the investment portfolio are recognized as
increases to or reductions from interest income in the financial statements. The only time a realized gain or loss is
recognized on investment transactions is when they are sold prior to their stated maturity. Present cash flow needs
of the City are being met without premature liquidation of investments. The City generally holds investments until
maturity and redeems them at par. The City has no unfunded commitments related to these investments and there
are no withdrawal restrictions. Fair value is the price that would be received to sell an asset or paid to transfer a
liability in an orderly transaction between market participants at the measurement date. Fair value measurements
must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of
three levels of inputs that may be used to measure fair value:
Level 1: Quoted prices (unadjusted) in active markets for an identical asset or liability that a government can
access at the measurement date
Level 2: Inputs other than quoted prices included in Level 1, that are observable for an asset or liability, either
directly or indirectly. Level 2 inputs include quoted prices for similar assets or liabilities,quoted prices for identical
or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be
corroborated by observable market data for substantially the full-term of the assets or liabilities
Level 3: Unobservable inputs for an asset or liability
37
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE C - DEPOSITS AND INVESTMENTS (CONTINUED)
3. Investments (Continued)
There have been no significant changes in the valuation techniques during the year ended December 31, 2022.
Where quoted market prices are available in an active market, securities are classified within Level 1 of the valuation
hierarchy. If quoted prices are not available, then fair values are estimated using quoted prices of securities with
similar characteristics or independent asset pricing services and pricing models, the inputs of which are market-
based or independently sourced market parameters, including but not limited to, yield curves, interest rates,
volatilities, prepayments, defaults, cumulative loss projections and cash flows. Such securities are classified in Level
2 of the valuation hierarchy. In certain cases where Level 1 or Level 2 inputs are not available, securities are
classified within Level 3 of the hierarchy. At December 31, 2022, U.S. Government Treasuries, Corporate Bonds,
State and Local Government bonds, U.S. Government Agencies, and Certificate of Deposits, are classified within
Level 2 hierarchy. Participant balances in the Local government pools Colorado Surplus Asset Fund Trust (CSAFE)
and the Colorado Local Government Liquid Asset Trust (Colotrust) are stated at net asset value. The underlying
securities in CSAFE are measured at amortized cost and are so close to fair value when measured at amortized cost
that they are generally equivalent. Securities in Colotrust, other than agreements, are valued at the most recent
market bid price as obtained from one or more market makers for such securities, repurchase agreements are
recorded at cost, which approximates fair value.
Interest Rate Risk - The City's internal investment policy is designed to reduce interest rate risk. The maximum
duration of the portfolio is limited to 5.0 years. At December 31, 2022, the weighted-average maturity of the City's
portfolio was 22.10 months.
Credit Risk - The City minimizes credit risk, the risk of loss due to the failure of the security issuers or banker, by
diversifying the investment portfolio so that potential losses on individual securities are minimized and by limiting
investments to specified credit ratings. Per the City's Investment Policy, at the time of purchase, a security must
be rated AA- or Aa3 or better by Standard & Poor's or Moody's respectively. If a security is downgraded after the
date of purchase, the City may continue to hold the security provided the Investment Officer acts as a Prudent
Investor; disclosing and managing the risks associated with the security. As of December 31, 2022, the City's
investment in U.S. Treasuries, FHLB, FFCB, FHLMC, and Corporates (excluding Toyota,Toronto Dominion Bank,
Protective Life Global, and Amazon) were all rated AA- or better by Standard & Poor's or Aa3 or better by Moody's.
As of December 31, 2022, the City's investment in Toyota was rated A+ by Standard & Poor's and A1 by Moody's,
Toronto Dominion Bank was rated A by Standard & Poor's and A1 by Moody's, Protective Life Global was rated AA-
by Standard &Poors and A1 by Moody's, Amazon was rated AA by Standard & Poor's and A1 by Moody's.
Custodial Credit Risk - Custodial credit risk is the risk that in the event of the failure of the counterparty, the City
will not be able to recover the value of its investments that are in the possession of an outside party. At December
31, 2022, no investments were held by a counterparty, and all investments were registered in the City's name.
Concentration of Credit Risk - The City's internal investment policy limits the amount the City may invest in one
issuer except for U.S. Treasuries, which are unlimited because they are backed by the full faith and credit of the
U.S. Government. No more than 5% of the portfolio may be invested in a single corporation and no more than 30%
may be invested in a single government sponsored enterprise. As of December 31, 2022, the City's investment in
U.S. Treasuries were 6.9%, FHLB were 16.8%, FFCB was 6.2%, and FHLMC was 5.9%. The City's investment in
Local Government Investment Pools are excluded from this disclosure requirement.
Local Government Investment Pools - As of December 31, 2022, the City had $63,870,187 invested in Colotrust
and $38,567,046 invested in CSAFE. These investment vehicles were established for local government entities in
Colorado to pool surplus resources; it is overseen by the Colorado Securities Commissioner and governed by CRS
24-75-701. A designated custodial bank provides safekeeping and depository services. The custodian's internal
records identify the investments owned by the participating governments. Both pools operate similarly to a money
market fund and each share is equal to $1.00 in value. Colotrust and CSAFE are rated AAAm by Standard & Poor's.
38
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE D - PROPERTY TAXES AND RECEIVABLES
1. Propertv Taxes
Property taxes are collected on behalf of the City by Adams County and then remitted to the City. The property tax
is levied and certified in December of the year prior to the year the taxes are collected on all taxable property in the
City. Property taxes become an enforceable lien on January 1 of each year. Secured property taxes are due in two
equal installments, on February 28 and June 15, and are delinquent after these dates, respectively. The entire
balance may be paid on April 30 without penalty. Property taxes levied are recorded as deferred inflows in the year
levied, as they are not due until the following year. Property tax revenue is recognized in the subsequent tax year.
2. Receivables
For governmental receivables, available means when due or past due and receivable within the current period,
and collected within the current period or expected to be collected soon thereafter to be used to pay liabilities of
the current period, generally within thirty days.
Ambulance receivables and revenues are reported net of contractual allowances and uncollectible amounts. As of
December 31, 2022, total accounts receivable were $1,814,789 with an allowance for bad debt of $870,971.
Write-offs, which include contractual allowances and uncollectible amounts related to the current period, are
$4,566,235.
3. Lease Receivables
Lease Receivables Governmental Activites -
Cell Tower- In 2022, the City entered into a five year noncancelable lease with two additional five year terms that
the City is reasonably certain will be exercised, totaling a 15 year lease term, with a third party to place and operate
a cell tower on a piece of land located at approximately 136th Ave. and Quebec St. The City will receive payments
of $3,750 per month beginning May 1, 2022 through April 30, 2027. Monthly payments shall be increase 25%
effective for the five year term beginning May 1, 2027, and increase another 25% for the five year term beginning
May 1, 2032. In no event shall payment for any year decrease. The City recognized $30,072 in lease revenue and
$11,667 in interest revenue during the current fiscal year related to this lease. As of December 31, 2022, the City's
receivable for lease payments is $658,338. Also, the City has a deferred inflow of resources associated with this
lease that will be recognized as revenue over the lease term. As of December 31, 2022, the balance of the deferred
inflow of resources is $646,599.
Lease Receivables Business Type Activites -
Farm Land -The City enteres into numerous three to five year noncancelable leases with various third parties for
land used for agricultural purposes located in Ault, CO. During the lease period there could be adjustmented related
to ditch crossing assessment, however these cannot be calculated at the time of the lease agreement and will
therefore flow through as an increase or decrease in infow of resources as applicable in the period the adjustment
becomes effective. The City recognized $1,398,529 in lease revenue and $19,811 in interest revenue during the
current fiscal year related to these leases. As of December 31, 2022, the City's receivable for lease payments is
$2,150,201. Also, the City has a deferred inflow of resources associated with this lease that will be recognized as
revenue over the lease term. As of December 31, 2022, the balance of the deferred inflow of resources is
$1,938,214.
39
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE E - CAPITAL ASSETS
Capital asset activity for the year ended December 31, 2022 was as follows:
Beginning
balances Additions & Deletions & Ending
(as restated) transfers transfers balances
Governmental activities:
Capital assets not being depreciated:
Land and land rights $ 51,346,120 $ 2,226,410 $ - $ 53,572,530
Construction in progress 20,960,471 30,860,292 (13,741,074) 38,079,689
Total capital assets not being depreciated 72,306,591 33,086,702 (13,741,074) 91,652,219
Capital assets being depreciated:
Streets, traffic, and engineering 410,591,848 14,912,033 - 425,503,881
Buildings and improvements 176,437,312 13,067,700 - 189,505,012
Leisure areas and improvements 105,445,411 3,759,561 - 109,204,972
General equipment 60,096,962 3,616,064 (1,741,415) 61,971,611
Right to use assets being amortized:
Buildings and improvements 309,892 - - 309,892
General Equipment 1,398,441 - - 1,398,441
Total capital &RTU assets being depreciated 754,279,866 35,355,358 (1,741,415) 787,893,809
Less accumulated depreciation for:
Streets, traffic, and engineering 257,436,975 11,443,232 - 268,880,207
Buildings and improvements 41,538,969 3,947,658 - 45,486,627
Leisure areas and improvements 55,782,192 4,110,382 - 59,892,574
General equipment 38,141,342 4,579,698 (1,626,160) 41,094,880
Less accumulated amortization for:
Buildings and improvements - 113,748 - 113,748
General Equipment - 455,640 - 455,640
Total accumulated depreciation/amortization 392,899,478 24,650,358 (1,626,160) 415,923,676
Total capital &RTU assets being depreciated, net 361,380,388 10,705,000 (115,255) 371,970,133
Governmental activity capital &RTU assets, net $433,686,979 $ 43,791,702 $ (13,856,329) $463,622,352
Business-type activities:
Capital assets not being depreciated:
Land and water rights $212,664,101 $ 2,664,622 $ - $215,328,723
Source of supply 129,350,266 - - 129,350,266
Construction in progress 74,719,349 14,844,046 (92,991) 89,470,404
Total capital assets not being depreciated 416,733,716 17,508,668 (92,991) 434,149,393
Capital assets being depreciated:
Water treatment plant 176,778,606 13,291 - 176,791,897
Collection, transmission, and distribution 449,582,012 14,779,973 (100,306) 464,261,679
Transportation equipment 11,474,658 804,205 (110,528) 12,168,335
General equipment 13,362,232 308,588 (73,843) 13,596,977
Buildings and improvements 24,789,349 - (59,354) 24,729,995
Right to use assets being amortized:
General equipment 62,148 - - 62,148
Total capital & RTU assets being depreciated 676,049,005 15,906,057 (344,031) 691,611,031
Less accumulated depreciation for:
Water treatment plant 35,761,275 3,801,201 - 39,562,476
Collection, transmission, and distribution 160,129,157 9,482,893 (100,306) 169,511,744
Transportation equipment 5,428,078 1,230,327 (110,528) 6,547,877
General equipment 8,706,573 690,676 (71,438) 9,325,811
Buildings and improvements 11,016,594 409,672 (59,354) 11,366,912
Less accumulated amortization for:
General equipment - 15,540 - 15,540
Total accumulated depreciation/amortization 221,041,677 15,630,309 (341,626) 236,330,360
Total capital &RTU assets being depreciated, net 455,007,328 275,748 (Z,405) 455,280,671
Business-type capital&RTU assets, net $871,741,044 $ 17,784,416 $ (95,396) $889,430,064
40
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE E - CAPITAL ASSETS (CONTINUED)
As a result of the adoption of GASB Statement No. 87, the beginning balances for capital assets being depreciated:
general equipment and right to use assets being amortized: general equipment have been restated. For net impact
on beginning net position reference footnote A21.
Depreciation and amortization expense was charged to functions/activities as follows:
Governmental activities:
Capital Assets:
General government $ 1,676,012
Police 1,693,876
Fi re 1,644,749
City development 297,492
Streets, traffic &engineering 12,077,669
Community services 6,691,172
Capital asset depreciation 24,080,970
Right to use leased assets:
General government 192,864
Police 149,916
City development 49,512
Streets, traffic &engineering 112,860
Community services 64,236
Right to use asset amortization 569,388
Additions and transfers per Note E for accumulated
depreciation for government activities $ 24,650,358
Business-tvpe activities:
Capital Assets:
Water $ 10,329,729
Sewer 2,677,311
Environmental Services 833,861
Stormwater 1,773,868
Capital asset depreciation 15,614,769
Right to use leased assets:
Water 15,540
Right to use asset amortization 15,540
Additions and transfers per Note E for accumulated
depreciation for business-type activities $ 15,630,309
NOTE F — INTERFUND RECEIVABLES, PAYABLES, AND TRANSFERS
Transfers are used to (1) move revenues from the fund that statute or budget requires to collect them to the fund that
statute or budget requires to expend them and (2) move receipts restricted to debt service from the funds collecting
the receipts to the debt service fund as debt service payments become due. The composition of transfers at December
31, 2022 is as follows:
Transfers in:
Governmental Governmental
Transfers out: General Capital Non Major Total
General $ - $ - $ 18,000 $ 18,000
TDA North Capital Fund 1,275,336 2,924,031 - 4,199,367
Governmental Non-Major 4,841,567 - - 4,841,567
$ 6,116,903 $ 2,924,031 $ 18,000 $ 9,058,934
41
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT
1. Bonds Pavable
Bonds payable at December 31, 2022 are comprised of:
Revenue Bonds
$39,380,000, April 29, 2013 Water Enterprise Revenue Refunding Bonds, Series
2013, annual installments of $1,880,000 to $2,765,000 through December 1, 2034,
interest at 3.00% to 5.00% $ 27,925,000
$78,255,000, October 29, 2020 Water Enterprise Revenue Bonds, Series 2020,
annual installments of$1,470,000 to $4,080,000 through December 1, 2050, interest
at 3.00% to 5.00% 75,760,000
Plus unamortized premium 13,222,816
$ 116,907,816
At December 31, 2022, deferred charges were $1,373,861 for the Water Enterprise
Revenue Refunding Bonds.
Tax Increment Bonds
$13,900,000, September 22, 2015 Thornton Development Authority (component
unit) Tax Increment Revenue Refunding Bonds, Series 2015, annual installments of
$1,090,000 to $1,365,000 through December 1, 2028, interest at 3.25% to 5.00%
(This issue will be serviced solely by 50% of the property tax increment and 50% of
the sales tax collected within the boundaries of the North Washington Street Corridor
Area. Although the obligation is reported within the governmental activities, it is not
a general obligation of the City (primary government). For the year ended
December 31, 2022, pledged sales and property taxes were $13,544,965, principal
and interest paid were $1,035,000 and $373,Z63 respectively. $ 7,370,000
$27,580,000, December 2, 2015 Thornton Development Authority (component unit)
Tax Increment Revenue Bonds, Series 2015B, annual installments of $755,000 to
$2,170,000 through December 1, 2037, interest at 3.38% to 5.00% (This issue will
be serviced solely by the pledged property tax increment and sales tax collected,
net other obligations, within the boundaries of the East 144th Ave. and I-25 Area.
Although the obligation is reported within the governmental activities, it is not a
general obligation of the City (primary government). For the year ended December
31, 2022, pledged sales and property taxes were $4,276,799, principal and interest
paid were $730,000, and $1,077,494 respectively. 22,905,000
Plus unamortized premium 1,880,984
$ 32,155,984
At December 31, 2022, the deferred gain was $22,471 for the Tax Increment
Revenue Refunding Bonds.
There are limitations and restrictions in the various bond indentures. As of December 31, 2022 the City believes it
is in compliance with all significant limitations and restrictions.
42
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT (CONTINUED)
2. Certificates of Participation
2007 Certificates of Participation - During 2002, the City entered into a Master Lease Purchase Agreement with the
Capital Asset Finance Corporation (CAFC), an independent Colorado nonprofit corporation. Under this agreement,
the Thornton Finance Authority (TFA) assigned all of its rights and obligations under Certificates of Participation
(COPs) issued in 1998 to the CAFC and the CAFC issued 2002 COPs totaling $41,690,000, the proceeds of which
were used to purchase the City's Civic Center and the property on which the City's Justice Center was constructed
and to provide funds to construct the Justice Center. The proceeds from the sale of City assets were used by the
City to construct an interchange. The Justice Center is leased back to the City by the CAFC with the lease payments
matching the COP payment terms. During 2007, the City entered into an Amended and Restated Master Lease
Purchase Agreement with the CAFC and the CAFC issued 2007 COPs totaling $32,820,000, the proceeds of which
were used to refund the outstanding 1998 COPs maturing on and after December 1, 2009 and the 2002 COPs
maturing on and after December 1, 2013.
The 2007 Amended and Restated Master Lease Purchase Agreement totaling $32,820,000, is due in an annual
installment of$3,230,000 through December 1, 2022. As of December 31, 2022 the City had fulfilled iYs obligations
related to this debt.
2018 Certificates of Participation - In November 2018, the City entered into a Site and Improvement Lease with US
Bank, NA as Trustee pursuant to which the City will lease to the Trustee City Hall and the Margaret W. Carpenter
Recreation Center. Simultaneously, the City entered into an annually renewable Lease Purchase Agreement under
which the City will pay base rentals in order to lease City Hall and the Recreation Center back from the Trustee.
The City issued 2018 Certificates of Participation totaling $65,280,000 evidencing proportionate interests in the base
rentals under the Lease Purchase Agreement. The proceeds of the issuance will be used to finance or reimburse the
City for the costs of the new Trail Winds Recreation Center, a new Public Safety Facility and other capital
improvements. The base rentals are due in annual installments of$2,280,00 to $4,610,000 through December 1,
2039 with interest at 4.00%to 5.00%and currently amounts to $57,425,000.The 2018 Lease Purchase Agreement
unamortized premium was $3,412,239 at December 31, 2022.
2020 Certificates of Participation - In May 2020, the City entered into the First Amendment to the Site and
Improvement Lease, dated November 1, 2018, with US Bank, NA as Trustee pursuant to which the City will lease
to the Trustee, in addition to the facilities listed in the Original Lease, the Active Adult Center. Simultaneously, the
City entered into an amended annually renewable Lease Purchase Agreement under which the City will pay base
rentals in order to lease, in addition to the facilities in the Original Agreement, the Active Adult Center back from
the Trustee.
The City issued 2020 Certificates of Participation totaling $26,785,000, evidencing proportionate interests in the
base rentals under the Amended Lease Purchase Agreement. The proceeds of the issuance will be used to finance
or reimburse the City for the costs of the new Active Adult Center and rehabilitating the aquatics facility at the
Margaret W. Carpenter Recreation Center. The base rentals are due in annual installments of $1,090,000 to
$1,995,000 through December 1, 2038 with interest at 3.00% to 5.00% and currently amounts to $24,765,000.
The 2020 Amended Lease Purchase Agreement unamortized premium was $3,190,569 at December 31, 2022.
3. Other Obli4ations
In 1986, the City entered into a settlement agreement with the Water Supply and Storage Company ("the
Company"), a mutual ditch company. Among the terms and conditions of the settlement, the City agreed to make
certain capital contributions to the Company in the form of direct payments in the years 1987, 1988, and 1989, and
committed to contribute an additional $5,000,000 toward future mutually beneficial capital projects or
improvements to the system. As of December 31, 2022 the remaining amount owed under this portion of the
agreement is $861,226. This balance does not accrue interest and is not required to be paid before any specific
date in accordance with the agreement.
43
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT (CONTINUED)
3. Other Obliqations (Continued)
In 2019, the implementation of GASB Statement No. 83, Certain Asset Retirement Obligations, resulted in
recording the following liabilities and were outstanding at the end of December 31, 2022:
In the governmental activities, a liability of $375,000 remaining for obligations related to three underground
and two aboveground fuel tanks (capacities ranging from 4,000 to 10,000 gallons), these tanks provide fuel
for the City's vehicles and equipment. The obligation is legally enforceable by a Colorado State Regulation
from the Division of Oil and Public Safety for both aboveground and underground storage tanks. The methods
and assumptions used to measure liability was based on historical cost for tank abandonment provided by the
Fleet Manager. The estimated remaining life of the three underground fuel tanks is 9 years. The estimated
remaining life of the two aboveground tanks is 15 years. There are no legal funding requirements or
assurances, or restricted amounts for the payment of these liabilities.
In the business-type activities, a liability of $50,000 is remaining for an obligation related to a 4,000 gallon
underground fuel tank that provides fuel for a backup generator to one of the City's pump stations. The
obligation is legally enforceable by a Colorado State Regulation from the Division of Oil and Public Safety for
Storage Tanks. The methods and assumptions used to measure liability was based on a direct quote obtained
by the Utilities Manager. The estimated remaining life of the underground fuel tank is 6 years. There are no
legal funding requirements or assurances, or restricted amounts for the payment of this liability.
4. Lease Obliaations
Lease Obligations Governmental Activites euilding and Improvements -
Pinnacle Shopping Center Suite 170 - In August 2020, the City entered into a four year lease agreement on
suite 170 at the premises of The Pinnacle Shopping Center at 550 East Thornton Parkway. Previously recognized as
an operating lease, this lease was remeasured under the new GASB 87 guidance effective 1/1/2022. The City
recorded an initial lease liability of$127,893, as of December 31, 2022 the lease liability is $79,520. The City was
required to make monthly principal and interest payments of$4,095 (Jan�22 -July'22), $4,176 (Aug'22 -Jul'23),
and $4,259 (Aug'23 -Jul '24). The lease has an interest rate of 1.23%. The premises had an initial useful life of 50
years. The net book value of the right to use asset as of December 31, 2022 is $78,381 with accumulated
amortization of$49,512, which is included in buildings and improvements in governmental activities in Footnote E.
Pinnacle Shopping Center Suite 9499-A2 - In September 2021, the City entered into a one year lease
agreement with two additional one year options that the City is likely to exercise on suite 9499-A2 at the premises
of The Pinnacle Shopping Center at 550 East Thornton Parkway. Previously recognized as an operating lease, this
lease was remeasured under the new GASB 87 guidance effective 1/1/2022.The City recorded an initial lease liability
of $181,999, as of December 31, 2022 the lease liability is $118,365. The City was required to make monthly
principal and interest payments of $5,444. The lease has an interest rate of 1.23%. The premises had an initial
useful life of 50 years. The net book value of the right to use asset as of December 31, 2022 is $117,763 with
accumulated amortization of $64,236, which is included in buildings and improvements in governmental activities
in Footnote E.
Lease Obligations Governmental Activites General Equipment-
Ricoh Copiers - In March 2018, the City entered into a five year lease agreement on two reprographics copiers.
This lease was remeasured under the new GASB 87 guidance effective 1/1/2022. The City recorded an initial lease
liability of $37,978, as of December 31, 2022 the lease liability is $9,775. The City is required to make monthly
principal and interest payments of $2,483. The lease has an interest rate of 7.26%. The equipment had an initial
useful life of five years. The net book value of the right to use asset as of December 31, 2022 is $9,490 with
accumulated amortization of$28,488, which is included in general equipment in governmental activities in Footnote
E. This lease includes a variable monthly maintenance payment covering the five year lease agreement. As of
December 31, 2022 this variable payment not included in the liability above is $25,381.
44
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT (CONTINUED)
4. Lease Obliqations (Continued)
Lease Obligations Governmenral Activites General Equipment(Continued) -
Wirtgen Milling Machine - In February 2021, the City entered into a five year lease agreement on one wirtgen
milling maching with canopy. This lease was remeasured under the new GASB 87 guidance effective 1/1/2022. The
City recorded an initial lease liability of$451,447, as of December 31, 2022 the lease liability is $336,090. The City
is required to make annual principal and interest payments of$115,357. The lease has an interest rate of 1.48%.
The equipment had an initial useful life of ten years.The City has the option to purchase the equipment for$119,200
when the lease ends on February 25, 2026. The net book value of the right to use asset as of December 31, 2022
is $338,587 with accumulated amortization of $112,860, which is included in general equipment in governmental
activities in Footnote E.
Axon Tasers - In June 2019, the City entered into a five year lease agreement on tasers. Previously recognized
as an operating lease, this lease was remeasured under the new GASB 87 guidance effective 1/1/2022. The City
recorded an initial lease liability of $374,775, as of December 31, 2022 the lease liability is $186,423. The City is
required to make annual principal and interest payments of$188,352. The lease has an interest rate of 1.04%. The
equipment had an initial useful life of five years. The net book value of the right to use asset as of December 31,
2022 is $224,859 with accumulated amortization of $149,916, which is included in general equipment in
governmental activities in Footnote E.
Canon Copiers-In February 2020,the City entered into a five year lease agreement on citywide printer and copier
equipment. Previously recognized as an operating lease, this lease was remeasured under the new GASB 87
guidance effective 1/1/2022. The City recorded an initial lease liability of$534,241, as of December 31, 2022 the
lease liability is $370,098. The City is required to make monthly principal and interest payments of $14,103. The
lease has an interest rate of 1.23%. The equipment had an initial useful life of five years. The net book value of the
right to use asset as of December 31, 2022 is $369,865 with accumulated amortization of $164,376, which is
included in general equipment in governmental activities in Footnote E.This lease includes a variable usage payment
covering the five year lease agreement. As of December 31, 2022 this variable payment not included in the liability
above is $63,109.
Obligations under leases at December 31, 2022 are as follows:
Year Principal Interest Total
2023 $ 586,264 $ 10,303 $ 596,567
2024 362,156 3,958 366,114
2025 151,851 359 152,210
Totals $ 1,100,271 $ 14,620 $ 1,114,891
45
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT (CONTINUED)
4. Lease Obliqations (Continued)
Lease Obligations Business Type Activites -
Liquid Oxygen Tank - In July 2019, the City entered into a one year lease agreement effective January 1, 2021
with four additional one year options that the City is likely to exercise on a liquid oxygen at the Thornton water
treatment plant. Previously recognized as an operating lease, this lease was remeasured under the new GASB 87
guidance effective 1/1/2022. The City recorded an initial lease liability of $62,148, as of December 31, 2022 the
lease liability is$46,765. The City is required to make monthly principal and interest payments of$1,315. The lease
has an interest rate of 0.80%. The equipment had an initial useful life of 30 years. The net book value of the right
to use asset as of December 31, 2022 is $46,608 with accumulated amortization of $15,540, which is included in
general equipment in business type activities in Footnote E. This lease includes a variable monthly maintenance
payment covering the five year lease agreement. As of December 31, 2022 this variable payment not included in
the liability above is $34,220.
Obligations under lease at December 31, 2022 are as follows:
Year Principal Interest Total
2023 $ 15,465 $ 315 $ 15,780
2024 15,588 192 15,780
2025 15,712 68 15,780
Totals $ 46,765 $ 575 $ 47,340
46
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT (CONTINUED)
5. Long-Term Obliqation Activitv
As a result of the adoption of GASB Statement No. 87, the beginning balance for Governmental activities:
Leases has been restated. For net impact on beginning net position reference footnote A21.
Long-term liability activity for the year ended December 31, 2022 was as follows:
Beginning
Balances Due within
(as restated) Increases Decreases Ending Balances one year
Governmental activities:
Tax increment bonds $ 32,040,000 $ - $ 1,765,000 $ 30,275,000 $ 1,845,000
Add unamortized premium 2,063,232 - 182,248 1,880,984 -
Total bonds payable 34,103,232 - 1,947,248 32,155,984 1,845,000
Certificates of participation 88,630,000 - 6,440,000 82,190,000 3,370,000
Less unamortized discount (16,003) - (16,003) - -
Add unamoritized premium 7,013,596 - 410,788 6,602,808 -
Total certificate of
participation payable 95,627,593 - 6,834,785 88,792,808 3,370,000
Leases 1,861,734 - 761,463 1,100,271 586,264
Compensated absences 7,959,397 7,301,340 6,265,300 8,995,437 2,065,683
Risk - claims liability 5,818,074 8,840,014 9,483,980 5,174,108 2,591,978
Other - asset retirement
obligation 375,000 - - 375,000 -
Governmental activities:
Total long-term liabilities $145,745,030 $ 16,141,354 $ 25,292,776 $136,593,608 $ 10,458,925
Business-type activities:
Revenue bonds $106,870,000 $ - $ 3,185,000 $103,685,000 $ 3,350,000
Add unamortized premium 13,792,825 - 570,009 13,222,816 -
Total bonds payable 120,662,825 - 3,755,009 116,907,816 3,350,000
Leases 62,148 - 15,383 46,765 15,465
Compensated absences 1,094,312 1,075,920 1,076,501 1,093,731 274,909
Other 911,226 - - 911,226 -
Business-type activities:
Total long-term liabilities $122,668,363 $ 1,075,920 $ 4,846,893 $118,959,538 $ 3,640,374
Governmental activities, claims and judgments are generally liquidated by the general fund. Compensated absences
would be liquidated by the respective fund where the liablity accrued.
47
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE G - LONG-TERM DEBT (CONTINUED)
6. Debt Service Reauirements
Debt service requirements on long-term debt at December 31, 2022 are as follows:
GOVERNMENTAL ACTIVITIES BUSINESS-TYPE ACTIVITIES
Tax increment bonds Certificates of participation Revenue bonds
Year
ending
Dec 31, Principal Interest Principal Interest Principal Interest
2023 $ 1,845,000 $ 1,377,107 $ 3,370,000 $ 3,482,650 $ 3,350,000 $ 3,710,794
20Z4 1,930,000 1,284,856 3,535,000 3,314,150 3,515,000 3,543,294
2025 2,030,000 1,188,357 3,715,000 3,137,400 3,670,000 3,387,244
2026 2,575,000 1,086,857 3,900,000 2,951,650 3,840,000 3,224,194
2027 2,705,000 958,107 4,090,000 2,756,650 4,005,000 3,053,544
2028-2032 9,305,000 3,389,157 23,675,000 10,581,700 22,560,000 12,737,525
2033-2037 9,885,000 1,397,684 28,865,000 5,376,050 18,060,000 8,664,961
2038-2042 - - 11,040,000 606,050 15,170,000 5,849,400
2043-2047 - - - - 17,620,000 3,401,100
2048-2050 - - - - 11,895,000 720,600
$ 30,275,000 $ 10,682,125 $ 82,190,000 $ 32,206,300 $ 103,685,000 $ 48,292,656
7. Revenues Pledued for Debt Service
The City has pledged future water customer revenues, net of specified operating expenses, to repay $39,380,000
in water revenue refunding bonds and $78,255,000 in water revenue bonds. Proceeds from the revenue refunding
bonds, Series 2013, were used for rejuvenation of the water treatment facilities, improving and expanding water
storage,and various other projects and the proceeds from the revenue bonds, Series 2020, were used to construct
a water treatment plant.The bonds are payable solely from water customer net revenues and are payable through
2050. Annual principal and interest payments on the bonds are expected to require less than 8% of net revenues.
The total principal and interest remaining to be paid on the bonds is $152 million. For the year ended December
31, 2022 net available revenues were$90,811,840, principal and interest paid were$3,185,000, and $3,870,044,
respectively.
NOTE H - UNEARNED REVENUE
The General Fund includes unearned revenue of $93,103, which is related to funds received for prefunded permit fees.
The Governmental Capital Fund has $17,388,217 related to funds received from American Rescue Plan Act of 2021. The
Open Space Fund has $9,600 for a property lease. The Water Fund has $125,854 for water and farm leases.
NOTE I — RETIREMENT PLANS
City employees are covered under one of two different retirement plans, depending on occupation and date of hire.
Additionally,the City Manager,the City Attorney, and the presiding Municipal Judge are covered under their own separate
retirement plans. All plans and plan amendments are approved by City Council as single-employer, defined contribution
plans, qualified under IRS guidelines,except the fire and police pension plans,an agent multiple-employer defined benefit
plan and a cost sharing multiple-employer defined benefit plan.
In early 2017,City Council passed a resolution to reaffiliate with the Fire and Police Pension Association (FPPA),a multiple-
employer defined benefit plan. Sworn police and firefighters hired before July 10, 2017 were given the option to remain
in the City's local money purchase plan or reenter FPPA. Sworn police and firefighters hired on or after July 10, 2017 are
enrolled in the FPPA Statewide Defined Benefit plan (SWDB).
48
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
At December 31, 2022, the City reported the following aggregate amounts related to the FPPA plans to which it
contributes:
Statement of Net Position and Governmental
Statement of Activities Activities
Net pension liability $ 3,013,918
Net pension asset 22,178,303
Deferred outflows of resources 11,771,845
Deferred inflows of resources 15,852,989
Pension income 6,082,108
All plans are administered by outside trustees and do not meet the standards of accounting principles generally
accepted in the United States of America for inclusion as part of the reporting entity.
For purposes of ineasuring the net pension liability, net pension asset, deferred outflows of resources and deferred inflows
of resources related to pensions, and pension expense, information about the fiduciary net position of the City Fire and
Police Pension Plans and additions to/deductions from the Fire and Police Pension Plans fiduciary net position have been
determined on the same basis as they are reported by the Fire and Police Pension Association of Colorado (FPPA). For
this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in
accordance with benefit terms. Investments are reported at fair value.
The City's money purchase plans do not meet the definition of a component unit in GASB Statement No. 84 and the City
does not control the assets of the plans, so the plans are not included as a fiduciary activity in the financial statements.
A description of each plan and selected financial information follows.
1. Defined Contribution Monev Purchase Plans
a. Regular Employee Money Purchase Plan
Plan Description. The Regular Employee Money Purchase Plan is a single employer defined contribution plan
maintained for regular employees.Assets are administered and held by Nationwide.The plan requires mandatory
employee pre-tax contributions to the plan of 6% of base pay. The City also contributes 7.6% of employees'
base pay to the plan. The plan requires employee participation in the plan immediately upon date of hire.
Vesting of employer contributions is as follows: 0% in employer contributions for the first 2 years, 30% at 3
years, 40% at 4 years, and 100% at 5 years of service; and forfeited contributions may be used to offset future
employer contributions. Benefit terms are established and amended on the authority of City Council.
Funding. Employer contributions are funded every pay period by the governmental and proprietary funds. The
City's contributions for 2022 were$4,930,925(which includes the City's match for voluntary contributions,which
is further explained on footnote J). City employees' contributions for 2022 were $7,398,330. The City's
contributions were offset by $89,965 in employee forfeitures.
b. City Manager, City Attorney and presiding Municipal Judge Money Purchase Plan (Contract Employee Plan)
Plan Description. The Contract Employee Plan is a single employer defined contribution plan maintained for the
City Manager, City Attorney, and presiding Municipal Judge. Assets are administered and held by Nationwide.
Funding. Employer contributions are funded every pay period by the General Fund and the terms of the plan are
negotiated periodically as a part of their employment contract. The City and employee contributions for 2022
were $52,727 and $61,357 respectively.
49
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
1. Defined Contribution Monev Purchase Plans (Continued)
c. Firefighters Money Purchase Plan
Plan Description. The Firefighters Employee Money Purchase Plan is a single employer defined contribution plan
maintained for all full-time firefighters hired on or after January 1, 1994 and before July 10, 2017. Firefighters
hired before July 10, 2017 were given the option to remain in the City's local money purchase plan or reenter
FPPA. Assets are administered and held by Nationwide. The plan requires mandatory employee contributions of
9% of base pay. The City's contribution is 9% of base pay. Vesting of employees is as follows: 0% in employer
contributions for the first 2 years, 30%at 3 years,40%at 4 years, and 100%at 5 years of service; and forfeited
contributions may be used to offset future employer contributions. Benefit terms are established and amended
on the authority of City Council.
Funding. Employer contributions are funded every pay period from the General Fund. The City's contributions
for 2022 were $262,266. The City firefighters' mandatory contributions for 2022 were $262,266.
d. Police Money Purchase Plan
Plan Description. The Police Money Purchase Plan is a single employer defined contribution plan maintained for
all full-time, sworn police officers hired before July 10, 2017. Sworn police hired before July 10, 2017 were given
the option to remain in the City's local money purchase plan or reenter FPPA. Assets are administered and held
by Nationwide. The plan requires mandatory employee contributions of 10%of base pay. The City's contribution
is 10% of base pay. Vesting of employer contributions is as follows: 0% in employer contributions for the first
2 years, 30% at 3 years, 40% at 4 years, and 100% at 5 years of service; and forfeited contributions may be
used to offset future employer contributions. Benefit terms are established and amended on the authority of
City Council.
Funding. Employer contributions are funded every pay period from the General Fund. The City's contributions
for 2022 were $180,017. The City police employees' mandatory contributions for 2022 were $180,017. The
City's contributions were offset by $11,265 in employee forfeitures.
e. Fire and Police Statewide Money Purchase Plan
Plan Description. The Fire & Police Statewide Money Purchase Plan is a multiple-employer defined contribution
pension plan, for full-time and part-time firefighters and police officers, as well as its full-time and part-time
administrative employees whose services are auxiliary to fire protection. The plan is administered by the Fire &
Police Pension Association of Colorado. The Fire & Police Pension Association of Colorado issues a publicly
available financial report that can be obtained at www.fppaco.orq.
Funding. Contributions to the plan are calculated as a percentage of the member's pensionable earnings, which
is specified by state statute. For Firefighter members, the plan requires mandatory employee contributions of
9.0% of base pay, which is matched by the City. For Police Officer members the plan requires mandatory
employee contributions of 10% of base pay, which is matched by the City.
Employer and member contributions are invested in funds at the discretion of inembers. Members are always
fully vested in their own contributions,and the earnings on those contributions.Vesting in the City's contributions
and earnings on those contributions occurs according to the vesting schedule set by state statute at 20% per
year after the first year of service to be 100% vested after 5 years of service. Unvested City contributions and
earnings thereon are forfeited upon termination of employment. Such forfeitures are used to cover a portion of
the pension plan's administrative expenses. Any administrative expenses not covered by forfeitures are charged
directly to member accounts. Benefit terms are established and amended through collective bargaining
agreements between the City of Thornton and the Thornton Firefighters Local Number 2376, International
Association of Firefighters and the Fraternal Order of Police, Thornton Lodge 16.
Employees are permitted to make contributions to the pension plan, up to applicable Internal Revenue Code
limits. Employer contributions are funded every pay period from the General Fund. For the year ended December
31, 2022, City and employee contributions were both $42,437.
50
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans
a. Fire and Police Pension Old Hire Fire Pension Plan
Plan Description. The City Fire Pension Plan (the Old Hire Plan), a defined benefit pension plan, established in
accordance with Colorado law, covers all full-time firefighters hired prior to April 8, 1978. All plan assets held
by the City were transferred in January 1986 to FPPA, an agent multiple-employer defined benefit pension plan.
The City's fire department transferred out of the City, into a joint venture fire district in 1994. The fire district
dissolved on December 31, 1999, and the fire department rejoined the City on January 1, 2000. The
maintenance of total plan assets sufficient to pay the benefits relating to contributions prior to January 1, 1994
was the responsibility of the City while the firefighters were members of the fire district.
Participants are eligible for plan benefits at the age of 50 and after completing twenty years of active service.
Plan benefits consist of a monthly pension of up to 70.0% of monthly salary as of the date of retirement.
Additional surviving spouse benefits of lesser amounts are also available. In accordance with a 1976 decision
by the Colorado Supreme Court, the City must return all individual employee contributions upon termination.
FPPA issues a publicly available financial report that includes financial statements for the Old Hire Plan. The FPPA
Annual Comprehensive Financial Report can be obtained on FPPA's website at www.fppaco.org.
Funding Policy. Contributions are funded from the General Fund,the City's contributions for 2022 were$359,717.
As of December 31, 2022, there are no active participants and 18 inactive employees or beneficiaries currently
receiving benefits. In 2022, there were no contributions made by participants.
Pension Liability. The City's net pension liability of $3,013,918 for the Old Hire Plan was measured as of
December 31,2021. The total pension liability was determined by a full actuarial valuation of that date.
Actuarial Assumptions. The significant actuarial assumptions used to determine contribution rates are as
follows:
Actuarial Method Entr A e Normal
Inflation 2.5%
Salar Increases N/A
Sin le Discount Rate 6.50%
Investment Rate of Return 6.50%
Retirement A e An remainin actives are assumed to retire immediatel .
Mortality Post-retirement: 2006 central rates from the RP-2014 Annuitant Mortality Tables
for males and females projected to 2018 using the MP-2017 projection scales, and
then projected prospectively using the ultimate rates of the scale for all years.
Disabled re-1980 : Post-retirement rates set forward three ears
Actuarial determined contribution rates are calculated as of January 1 of even numbered years. An actuarial
experienced study with valuations as of January 1, 2020, determined the contribution amounts for 2021 and
2022, which follow the standard one-year lag.
The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension
plan investment expense and inflation) are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighing the expected future real rates of return by the target
asset allocation percentage and by adding expected inflation. Best estimates of arithmetic nominal rates of return
for each major asset class included in the Fund's target asset allocation as of December 31, 2021 are
summarized in the following table:
51
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I - RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
a. Fire and Police Pension Old Hire Fire Pension Plan (Continued)
Long-term
Target Expected
Asset Class Allocation Rate of Return
Global Public Equity 17.0% 7.8%
Long/Short 6.0% 6.9%
Private Capital 28.0% 10.5%
Fixed Income - Rates 32.0% 2.3%
Fixed Income - Credit 6.0% 3.5%
Absolute Return 6.0% 5.6%
Cash 5.0% 0.1%
Total 100.0%
Discount Rate. The discount rate used to measure the total pension liability was 6.50%. The projection of cash
flows used to determine the discount rate assumed that contributions from participating employers will be made
based on the actuarially determined rates based on the Board's funding policy,which establishes the contractually
required rates under Colorado statutes. Based on those assumptions, the OH - Defined Benefit Component plan
fiduciary net position was projected to be available to make all the projected future benefit payments of current
plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all
periods of projected benefit payments to determine the total pension liability.
Changes in the Net Pension Liability.
Increase (Decrease)
Total Plan Net
Pension Fiduciary Pension
Liability Net Position Liability
(a) (b) (a) - (b)
Balances at December 31, 2021 $ 7,549,629 $ 3,954,749 $ 3,594,880
Changes for the year:
Interest 466,116 - 466,116
Differences between expected and actual experience 107,012 - 107,012
Contributions - employer - 697,637 (697,637)
Net investment income - 461,655 (461,655)
Benefit payments, including refunds of employee
contributions (769,332) (769,332) -
Administrative expense - (5,202) 5,202
Netchanges (196,204) 384,758 (580,962)
Balance at December 31, 2022 $ 7,353,425 $ 4,339,507 $ 3,013,918
Regarding the sensitivity of the net pension liability to changes in the Single Discount Rate,the following presents
the plan's net pension liability, calculated using a Single Discount Rate of 6.50%, as well as what the plan's net
pension liability would be if it were calculated using a Single Discount Rate that is one percent lower or one
percent higher:
1% Single Discount Rate 1%
Decrease Assumption Increase
5.50% 6.50% 7.50%
City's net pension liability $ 3,582,985 $ 3,013,918 $ 2,516,073
Pension Plan Fiduciary Net Position. Detailed information about the pension plan's fiduciary net position is
available in the separately issued FPPA financial reports.
52
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
a. Fire and Police Pension Old Hire Fire Pension Plan (Continued)
Pension Expense. For the year ended December 31, 2022, the City recognized pension income of $150,709
for the Old Hire Plan.
Pension Deferred Outflows/Inflows of Resources. At December 31, 2022, the City reported deferred
outflows of resources and deferred inflows of resources related to pensions from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Net difference between projected and actual
investment earnings $ - $ Z78,076
City contributions subsequent to the measurement date 359,717 -
Total $ 359,717 $ 278,076
The $359,717 reported as deferred outflows of resources are related to City contributions subsequent to the
measurement date and will be recognized as a reduction of the net pension liability in the year ended December
31, 2023. Other amounts reported as deferred inflows of resources related to the Old Hire plan will be recognized
in pension income as follows:
Year ending
December 31 Amount
2023 $ (52,810)
2024 (114,266)
2025 (69,588)
2026 (41,412)
Total $ (278,076)
b. Fire and Police Pension Statewide Defined Benefit Plan
Plan Description.The Statewide Defined Benefit Plan (SWDB) is a cost-sharing multiple-employer defined benefit
pension plan covering substantially all full-time employees of participating fire or police departments in Colorado
hired on or after April 8, 1978 (New Hires), provided that they are not already covered by a statutorily exempt
plan. As of August 5, 2003, the Plan may include clerical and other personnel from fire districts whose services
are auxiliary to fire protection. The Plan became effective January 1, 1980. The Plan assets are included in the
Fire & Police Members' Benefit Investment Fund and the Fire & Police Members' Self-Directed Investment Fund
(for Deferred Retirement Option Plan (DROP)assets and Separate Retirement Account assets from eligible retired
members). The Plan is administered by the Fire & Police Pension Association of Colorado (FPPA). FPPA issues a
publicly available Annual Comprehensive Financial Report that can be obtained on FPPA's website at
www.fppaco.org.
The City's fire department transferred out of the City, into a joint venture fire district in 1994. The fire district
dissolved on December 31, 1999, and the fire department rejoined the City on January 1, 2000. The New Hire
Plan was not the responsibility of the City while the firefighters were members of the fire district.
A member is eligible for a normal retirement pension once the member has completed twenty-five years of
credited service and has attained the age of 55. Effective January 1, 2021, a member may also qualify for a
normal retirement pension if the member's combined years of service and age equals at least 80,with a minimum
age of 50 (Rule of 80).
53
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
b. Fire and Police Pension Statewide Defined Benefit Plan (Continued)
The annual normal retirement benefit is 2% of the average of the member's highest three years' pensionable
earnings for each year of credited service up to ten years, plus 2.5% for each year of service thereafter. The
benefit earned prior to January 1, 2007 for members of affiliated Social Security employers will be reduced by
the amount of Social Security income payable to the member annually. Effective January 1, 2007, members
covered under Statewide Defined Benefit Social Security Component will receive half the benefit when compared
to the Statewide Defined Benefit Plan. Benefits adjustments paid to retired members are evaluated annually and
may be re-determined every October 1. The amount of any increase is based on the Board's discretion and can
range from 0% to the higher of 3% or the Consumer Price Index for Urban Wage Earners and Clerical Workers
(CPI-W).
A member is eligible for an early retirement after completion of 30 years of service or attainment of age 50 with
at least five years of credited service. The early retirement benefit equals the normal retirement benefit reduced
on an actuarially equivalent basis. Upon termination, an employee may elect to have member contributions,
along with 5% as interest, returned as a lump sum distribution. Alternatively, a member with at least five years
of accredited service may leave contributions with the Plan and remain eligible for a retirement pension at age
55 equal to 2% of the member's average highest three years' pensionable earnings for each year of credited
service up to ten years, plus 2.5% for each year of service thereafter.
Funding Policy. Through December 31, 2021 contribution rates for the SWDB plan are set by state statute.
Employer contribution rates can only be amended by state statute. Member contribution rates can be amended
by state statute or election of the membership. Effective January 1, 2022, contribution rates for employers and
members may be increased equally by the FPPA Board of Directors upon approval through an election by both
the employers and members. The current employer contribution rate is 9% for all firefighters, regardless of hire
date, and 9%for all police hired after July 10, 2017. For police hired before July 10, 2017, the statutory required
employer contribution is 9%,the City contributes 10% based on an underlying contractual commitment between
the City and police. Employer contributions will increase 0.5% annually beginning in 2021 through 2030 to a
total of 13% of pensionable earnings. Member contribution rates can be amended by state statute or election
of the membership. The current member contribution rate for of the SWDB is 12% of pensionable earnings.
Members covered under this plan may elect an optional account known as the"deferred retirement option plan"
or"DROP"within five years prior to retirement. The purpose of DROP is to allow an eligible participant to elect,
in lieu of immediate termination of employment and receipt of a service retirement benefit, to continue
employment for a specified period of time not to exceed five years, coupled with the deferral of actual receipt of
retirement benefits until the end of such specified period, at which time employment shall cease. Once a
participant elects a DROP, the City is no longer required to match that participant's contribution. As of
measurement date December 31, 2021, 7 active participants in this plan had elected a DROP.
The City's contributions to the Plan for the year ending December 31, 2022 were $2,865,576.
Pension Asset. The City's net pension asset of$18,853,591 for its proportionate share of the SWBD net pension
asset was measured as of December 31, 2021. The total pension liability was determined by a full actuarial
valuation of that date.
The City's reported asset at December 31, 2022, increased to $18,853,591 from the City's prior year asset of
$8,375,087 because of changes in the SWDB net pension asset and the City's proportionate share of that asset.
The SWDB Plan's publicly available financial report provides details on the change in the net pension asset.
The City's proportion of the net pension asset was based on contributions received and processed by employers
that were members of the SWDB plan within the year ended December 31, 2021.The City's proportion measured
as of December 31, 2021, was 3.478948%, which was a decrease of 0.378756% from its proportion measured
as of December 31, 2020.
54
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
b. Fire and Police Pension Statewide Defined Benefit Plan (Continued)
Pension Expense and Deferred Outflows/Inflows of Resources. For the year ended December 31, 2022, the City
recognized a pension income for the SWDB plan of$5,405,771.At December 31, 2022,the City reported deferred
outflows of resources and deferred inflows of resources related to pensions from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Difference between expected and actual experience $ 4,959,060 $ -
Changes of assumptions 2,688,657 -
Net difference between projected and actual
investment earnings - 12,617,886
Changes in proportion and differences between City
contributions and proportionate share of contributions - 1,475,142
City contributions subsequent to the measurement date 2,865,576 -
Total $ 10,513,293 $ 14,093,028
The $2,865,576 reported as deferred outflows of resources related to the SWDB Plan resulting from City
contributions subsequent to the measurement date will be recognized as a reduction of the net pension asset in
the year ended December 31, 2023. Other amounts reported as deferred outflows of resources and deferred
inflows of resources related to the SWDB Plan will be recognized in pension expense (income) as follows:
Year ending
December 31 Amount
2023 $ (2,118,104)
2024 (3,423,269)
2025 (2,105,086)
2026 (903,012)
2027 923,250
Thereafter 1,180,910
Total $ (6,445,311)
Actuarial Assumptions. The actuarial valuations for the Statewide Defined Benefit Plan were used to determine
the total pension liability and actuarially determined contributions for the fiscal year ending December 31, 2021.
The valuations used the following actuarial assumption and other inputs:
Total Pension Liability Actuarial Determined
Contributions
Actuarial Valuation Date January 1, 2022 January 1, 2021
Actuarial Method Entry Age Normal Entry Age Normal
Amortization Method N/A Level % of Payroll, Open
Amortization Period N/A 30 Years
Long-term Investment Rate of Return* 7.0% 7.0%
Projected Salary Increases* 4.25% - 11.25% 4.25% - 11.25%
Cost of Living Adjustments (COLA) 0.0% 0.0%
*Includes Inflation at 2.5% 2.5%
For determining the total pension liability and actuarially determined contributions, the post-retirement mortality
tables for non-disabled retirees uses the 2006 central rates from RP-2014 Annuitant Mortality Tables projected
to 2018 using the MP-2017 projection scales, and the projected prospectively using the ultimate rates of the
scale for all years. The pre-retirement off-duty mortality tables are adjusted to 50% of the RP-2014 mortality
tables for active employees. The on-duty mortality rate is 0.00015
55
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
b. Fire and Police Pension Statewide Defined Benefit Plan (Continued)
At least every five years the FPPA's Board of Directors, in accordance with best practices, reviews its economic
and demographic actuarial assumptions. At its July 2018 meeting,the Board of Directors reviewed and approved
recommended changes to the actuarial assumptions. The recommendations were made by the FPPA's actuaries,
Gabriel, Roeder, Smith &Co., based upon their analysis of past experience and expectations of the future. The
assumption changes were effective for actuarial valuations beginning January 1, 2019.The Actuarial assumptions
impact actuarial factors for benefit purposes such as purchases of service credit and other benefits where
actuarial factors are used.
The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension
plan investment expense and inflation) are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighing the expected future real rates of return by the target
asset allocation percentage and by adding expected inflation (assumed at 2.5%). Best estimates of arithmetic
real rates of return for each major asset class included in the Fund's target asset allocation as of December 31,
2021 are summarized in the following table:
Long-term
Target Expected
Asset Class Allocation Rate of Return
Global Equity 39.0% 8.2%
Equity Long/Short 8.0% 6.9%
Private Markets 26.0% 10.6%
Fixed Income - Rates 10.0% 4.0%
Fixed Income - Credit 5.0% 5.3%
Absolute Return 10.0% 5.6%
Cash 2.0% 2.3%
Total 100.0%
Discount Rate. The discount rate used to measure the total pension liability was 7.00%. The projection of cash
flows used to determine the discount rate assumed that contributions from participating employers will be made
based on the actuarially determined rates based on the Board's funding policy,which establishes the contractually
required rates under Colorado statutes. Based on those assumptions, the SWDB plan fiduciary net position was
projected to be available to make all the projected future benefit payments of current plan members. Therefore,
the long-term expected rate of return on pension plan investments was applied to all periods of projected benefit
payments to determine the total pension liability.
Regarding the sensitivity of the net pension asset to changes in the Single Discount Rate, the following presents
the plan's net pension asset, calculated using a Single Discount Rate of 7.00%, as well as what the plan's net
pension asset would be if it were calculated using a Single Discount Rate that is one percent lower or one percent
higher:
1% Single Discount Rate 1%
Decrease Assumption Increase
6.0% 7.0% 8.0%
City's proportionate share of
the net pension (asset) $ (2,600,027) $ (18,853,591) $ (32,318,765)
Pension Plan Fiduciary Net Position. Detailed information about the pension plan's fiduciary net position is
available in the separately issued SWDB financial report.
56
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I — RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
b. Fire and Police Pension Statewide Defined Benefit Plan (Continued)
Subsequent Event. Statewide Retirement Plan: During 2022, House Bill 22-1034 was signed into law. This
legislation combines the assets and liabilities of the Statewide Defined Benefit Plan and Statewide Hybrid Plan
to form the Statewide Retirement Plan effective January 1, 2023. The merger will result in increased longer
term stability for both plans in addition to simplification of administration, operation and communication of
benefits. The financial impact of the merger of plans is being determined.
Actuarial Experience Study: During 2022, FPPA engaged Gabriel, Roeder Smith & Co. to complete an actuarial
experience study. The FPPA Board of Directors accepted the findings of the study at is July 28, 2022 meeting.
These assumptions will be included in Statewide Retirement Plan valuation as of January 1, 2023.
c. Fire and Police Pension Statewide Hybrid Plan — Defined Benefit Component
Plan Description. The Statewide Hybrid Plan (SWH) is a cost-sharing multiple-employer defined benefit pension
plan offered to Sworn Police and Firefighters hired before July 10, 2017 that chose to reaffiliate with FPPA in
2017. The SWH is comprised of two components: Defined Benefit and Money Purchase. The plan assets
associated with the Defined Benefit Component are included in the Fire & Police Members' Benefit Investment
Fund and the Plan assets associated with the Money Purchase Component and Deferred Retirement Option Plan
(DROP)assets are included in the Fire&Police Members'Self-Directed Investment Plan.The plan is administered
by the Fire & Police Pension Association of Colorado (FPPA). FPPA issues a publicly available Annual
Comprehensive Financial Report which can be obtained on FPPA's website at www.fppaco.org.
The SWH Plan document states that any member may retire from further service and become eligible for a
normal retirement pension at any time after age 55, if the member has at least 25 years of service. The annual
normal pension of the Defined Benefit Component is 1.5% of the average of the member's highest three years'
pensionable earnings for each year of credited service. Benefits paid to retired members of the Defined Benefit
Component are evaluated and may be re-determined annually on October 1. The amount of any increase is
based on the FPPA Board's discretion and can range from 0% to 3%.
A member is eligible for early retirement within the Defined Benefit Component after completion of 30 years of
service or attainment of age 50 with at least five years of credited service. The early retirement benefit equals
the normal retirement benefit reduced on an actuarially equivalent basis. Upon termination, a member may
elect to have all contributions, along with 5% as interest, returned as a lump sum distribution from the Defined
Benefit Component. Alternatively, a member with at least five years of accredited service may leave
contributions with the Defined Benefit Component of the Plan and remain eligible for a retirement pension at
age 55 equal to 1.5% of the average of the member's highest three years' pensionable earnings for each year
of credited service.
Funding Policy. The Plan sets contribution rates at a level that enables all benefits to be fully funded at the
retirement date of all members. Contribution rates are determined by the City, however, the plan requires a
minimum rate for both employer and members be at least 8% of the member's base pensionable earnings. The
amount allocated to the Defined Benefit Component is set annually by the FPPA Board of Directors. Excess
contributions fund the Money Purchase Component of the Plan. Firefighters have a mandatory 9% member
contribution rate and Police Officers have a mandatory 10%contribution rate, both matched equally by the City.
Members covered under this plan may elect an optional account known as the"deferred retirement option plan"
or��DROP"within five years prior to retirement. The purpose of DROP is to allow an eligible participant to elect,
in lieu of immediate termination of employment and receipt of a service retirement benefit, to continue
employment for a specified period of time not to exceed five years, coupled with the deferral of actual receipt of
retirement benefits until the end of such specified period, at which time employment shall cease. Once a
participant elects a DROP, the City is no longer required to match that participant's contribution. As of December
31, 2021, no active participants in this plan had elected a DROP.
The City's contributions to the Plan for the year ending December 31, 2022 were $153,171.
57
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I - RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
c. Fire and Police Pension Statewide Hybrid Plan - Defined Benefit Component (Continued)
Within the Money Purchase Component, members are always fully vested in their own contributions, as well as
the earnings on those contributions. Vesting in the employer's contributions within the Money Purchase
Component, and earnings on those contributions occurs according to the vesting schedule set by the plan
document at 20% per year after the first year of service to be 100% vested after 5 years of service. Employer
and member contributions are invested in funds at the discretion of inembers.
Pension Asset. The City's net pension asset of $3,324,712 for its proportionate share of the SWH net pension
asset was measured as of December 31, 2021. The total pension liability was determined by a full actuarial
valuation of that date. The SWH publicly available financial report provides details on the change in the net
pension asset.
The City's proportion of the net pension asset was based on contributions received and processed by employers
that were members of the SWH plan within the year ended December 31, 2021. The City's proportion
measured as of December 31, 2021, was 8.767776%, which was an increase of 0.350386%from its proportion
measured as of December 31, 2020.
Pension Expense and Deferred Outflows/Inflows of Resources. For the year ended December 31, 2022, the City
recognized a pension income for the Hybrid Plan of$525,628. At December 31, 2022 the City reported deferred
outflows and inflows of resources and deferred outflows and deferred inflows of resources related to pension
from the following sources:
Deferred Deferred
Outflows of Inflows of
Resources Resources
Difference between expected and actual experience $ 663,871 $ -
Changes of assumptions 81,793 -
Net difference between projected and actual
investment earnings - 941,850
Changes in proportion and differences between City
contributions and proportionate share of contributions - 540,035
City contributions subsequent to the measurement date 153,171 -
Total $ 898,835 $ 1,481,885
The $153,171 reported as a deferred outflow of resources resulting from the City contributions subsequent to
the measurement date will be recognized as a increase of the net pension asset in the year ended December
31, 2023. Other amounts reported as deferred outflows of resources and deferred inflows of resources related
to the Hybrid Plan will be recognized in pension expense (income) as follows:
Year ending
December 31 Amount
2023 $ (211,826)
2024 (334,017)
2025 (110,075)
2026 (78,444)
2027 3,065
Thereafter (4,924)
Total $ (736,221)
58
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I - RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
c. Fire and Police Pension Statewide Hybrid Plan - Defined Benefit Component (Continued)
Actuarial Assumptions. The actuarial valuations for the Statewide Defined Benefit Plan were used to determine
the total pension liability and actuarially determined contributions for the fiscal year ending December 31, 2021.
The valuations used the following actuarial assumption and other inputs:
Total Pension Liability Actuarial Determined
Contributions
Actuarial Valuation Date January 1, 2022 January 1, 2021
Actuarial Method Entry Age Normal Entry Age Normal
Amortization Method N/A Level % of Payroll, Open
Amortization Period N/A 30 Years
Long-term Investment Rate of Return* 7.0% 7.0%
Projected Salary Increases* 4.25% - 11.25% 4.25% - 11.25%
Cost of Living Adjustments (COLA) 0.0% 0.0%
*Includes Inflation at 2.5% 2.5%
For determining the total pension liability and actuarially determined contributions,the post-retirement mortality
tables for non-disabled retirees uses the 2006 central rates from the RP-2014 Annuitant Mortality Tables
projected to 2018 using the MP-2017 projection scales, and the projected prospectively using the ultimate rates
of the scale for all years. The pre-retirement off duty mortality tables are adjusted to 50% of the RP-2014
mortality tables for active employees. The on-duty mortality rate is 0.00015.
At least every five years the FPPA's Board of Directors, in accordance with best practices, review its economic
and demographic actuarial assumptions. At its July 2018 meeting,the Board of Directors reviewed and approved
recommended changes to the actuarial assumptions. The recommendations were made by the FPPA actuaries,
Gabriel, Roeder, Smith &Co., based upon their analysis of past experience and expectations of the future. The
assumption changes were effective for actuarial valuations beginning January 1, 2019. The actuarial
assumptions impact actuarial factors for benefit purposes such as purchases of service credit and other benefits
where actuarial factors are used.
The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension
plan investment expense and inflation) are developed for each major asset class. These ranges are combined to
produce the long-term expected rate of return by weighing the expected future real rates of return by the target
asset allocation percentage and by adding expected inflation (assumed at 2.5%). Best estimates of arithmetic
real rates of return for each major asset class included in the Fund's target asset allocation as of December 31,
2021 are summarized in the following table:
Long-term
Target Expected
Asset Class Allocation Rate of Return
Global Equity 39.0% 8.2%
Equity Long/Short 8.0% 6.9%
Private Markets 26.0% 10.6%
Fixed Income - Rates 10.0% 4.0%
Fixed Income - Credit 5.0% 5.3%
Absolute Return 10.0% 5.6%
Cash 2.0% 2.3%
Total 100.0%
59
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE I - RETIREMENT PLANS (CONTINUED)
2. Fire and Police Pension Plans (Continued)
c. Fire and Police Pension Statewide Hybrid Plan - Defined Benefit Component (Continued)
Discount Rate. The discount rate used to measure the total pension liability was 7.00%. The projection of cash
flows used to determine the discount rate assumed that contributions from participating employers will be made
based on the actuarially determined rates based on the Board's funding policy, which establishes the
contractually required rates under Colorado statutes. Based on those assumptions, the SWH - Defined Benefit
Component plan fiduciary net position was projected to be available to make all the projected future benefit
payments of current plan members. Therefore, the long-term expected rate of return on pension plan
investments was applied to all periods of projected benefit payments to determine the total pension liability.
Regarding the sensitivity of the net pension asset to changes in the Single Discount Rate,the following presents
the plan's net pension asset, calculated using a Single Discount Rate of 7.00%, as well as what the plan's net
pension asset would be if it were calculated using a Single Discount Rate that is one percent lower or one
percent higher:
1% Single Discount Rate 1%
Decrease Assumption Increase
6.0% 7.0% 8.0%
City's proportionate share of
the net pension (asset) $ (2,536,900) $ (3,324,712) $ (3,982,498)
SubsequentEvent.
Statewide Retirement Plan: During 2022, House Bill 22-1034 was signed into law. This legislation combines
the assets and liabilities of the Statewide Defined Benefit Plan and Statewide Hybrid Plan to form the Statewide
Retirement Plan effective January 1, 2023. The Statewide Hybrid Plan will become the Hybrid Defined Benefit
Component of the Statewide Retirement Plan. The merger will result in increased longer term stability for both
plans in addition to simplification of administration, operation and communication of benefits. The financial
impact of the merger of plans is being determined and will be reported in the December 31, 2022 GASB 68
report.
To complete the merger of the plans equitably, the funded status of the Statewide Hybrid Plan will be reduced
to match the Statewide Defined Benefit Plan. To complete this action, a one-time benefit adjustment on all
service accrued prior to the merger date of 1/1/2023 for current retirees, deferred vested, vested and active
members will be applied. Members that have not started to receive a retirement benefit payment will receive
a 1.9% benefit factor for service earned prior to January 1, 2023. Service earned after the merger date will
continue to earn a 1.5% benefit factor. Retired members receiving benefit payments as of the merger date
will receive a one-time benefit increase of 26.66% to implement the benefit factor.
As part of the legislation,effective January 1, 2023, a member may also qualify for a normal retirement pension
if the member's combined years of service and age equals at least 80, with a minimum age of 50 (Rule of 80).
Additionally, the required minimum contributions to the Hybrid Defined Benefit Component will increase to 9%
for members and 9% for employers. The increase will take effect January 1, 2023 at a rate of 0.125% per
year through 2030. Employer departments with contribution rates that meet or are in excess of this amount
will not be impacted by this change.
Actuarial Experience Study: During 2022, FPPA engaged Gabriel, Roeder Smith &Co. to complete an actuarial
experience study. The FPPA Board of Directors accepted the findings of the study at is July 28, 2022 meeting.
These assumptions will be included in Statewide Retirement Plan valuation as of January 1, 2023.
60
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE) - DEFERRED COMPENSATION
The City offers all regular City employees a deferred compensation plan created in accordance with Internal Revenue
Code Section 457. The plan permits participants to defer a portion of their salary until future years.
The general employees', police, and fire voluntary contributions are made to the 457 plan. Employees can contribute
a maximum of$20,500 per year ($27,000 if age 50 or more). The City matches 50% of employee contributions up to
a maximum of 1% of base pay for general employees and Police, and up to 2% for Fire. For 2022, the general
employees'voluntary contributions were $2,463,377, the police employees'voluntary contributions were $919,182
and the fire employees' voluntary contributions were $818,614 for a total of$4,201,173. Withdrawals must begin at
age 72, or can be made upon termination of employment, death, or unforeseeable emergency. Withdrawals due to
unforeseeable emergency may be subject to IRS penalties for early withdrawal.
Nationwide, independent trustee, administers funds for this plan. The City maintains accounting records. The trustee
provides participants with quarterly statements of contributions, withdrawals and earnings.
NOTE K — OTHER POSTEMPLOYMENT BENEFITS
1. Defined Benefit Post-Emplovment Health Care Plan
Plan Description. The City of Thornton provides a single-employer defined benefit post-employment health care
plan that covers eligible retired employees of the City. The City's Code of Ordinances Section 54-152 provides
that regular employees may retire with benefits if they meet one or more of the following criteria; complete 20
years of continuous service with the City, complete at least ten years of continuous service with the City and
attain age 62, or qualify for normal or disability retirement in accordance with the provisions of the applicable
general employee, fire, or police pension plan. Dependents may also enroll in the plan and their coverage ceases
upon the termination of the retiree's coverage or upon reaching Medicare eligibility or age 65.
Benefits Provided. The City provides medical, dental and vision benefits for retirees. There are two medical plans
offered by CIGNA and two medical plans offered by Kaiser. Two dental plans are offered by Delta Dental. The
vision plan is provided by VSP. The retiree benefits are the same as those provided for active employees.
Funding Policy. The City of Thornton establishes and amends contribution requirements. The current funding
policy of the City is to pay health insurance premiums as they occur. This arrangement does not qualify as other
postemployment benefits (OPEB) plan assets under GASB Statement No. 75 for current GASB reporting.
Contributions. Retirees pay 100% of the total premium. There is an explicit City contribution of 90% of the
premium for disabled retirees, and 100% of the highest priced employee-only coverage high deductible medical
plan for public safety employees with retirement dates in 2021 or later. There is no explicit City contribution for
other retirees. The 2022 monthly premiums for retirees are shown in the table below.
Covera e Cate or 2022 Monthl Premium Rate
CIGNA Kaiser Dental Dental
CIGNA HDHP Kaiser HMO HDHP EPO Premier Vision
Retiree 1 013.94 784.64 630.10 491.41 27.35 46.54 8.60
Retiree + 1 2 017.76 1 557.24 1 272.16 982.97 51.14 86.59 14.61
Retiree + Famil 2 859.33 2 204.94 1 819.53 1 420.08 94.36 153.82 26.10
Employees Covered by Benefit Terms. In 2022, there were 959 active and 34 inactive employees covered by the
plan.
Total OPEB Liability. The City's total OPEB liability is $6,603,237 as of December 31, 2022, and was determined
by an actuarial valuation as of that date, but includes an additional $200,000 in estimated liability due to the
increased benefits for public safety retirees effective November 1, 2022 that provides 100% of the highest priced
employee-only coverage high deductible medical plan.
61
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE K — OTHER POSTEMPLOYMENT BENEFITS (CONTINUED)
1. Defined Benefit Post-Emqlovment Health Care Plan (Continued)
Actuarial Methods and Assumptions. The actuarial assumptions used in the valuation represent a reasonable long-
term expectation of future OPEB outcomes. The assumptions are tested with each valuation for ongoing
reasonableness and are updated if appropriate.
Measurement Valuation Date December 31 2022
Census Data All data was rovided b the Cit . The census data was rovided in ]anuar 2022.
Liability Components Medical: An implicit liability exists due to age. There is also an explicit subsidy due to
the City's contributions for disabled retirees and public safety retirees.
Dental and Vision: We assumed there is no implicit liability due to age. There is an
ex licit subsid due to the Cit 's contributions for disabled retirees.
Cost Method Entr a e normal determined as a level ercent of ro�ected a
Fundin Method Pa as ou o
Discount Rate 4.31% Source: S&P Municipal Bond 20 Year High Grade Rate Index as of December
31 2022
Payroll Growth 3.0% Source: Colorado PERA Local Government Division 12/31/2020 Actuarial
Valuation
GeneralInflation 3% er ear
Mortality Rate RP-2014 Generational Table using MP 2015 projections scale applied on a gender-
s ecific basis
Termination Before Retirement Source: Colorado PERA Local Government Division 12/31/2020 Actuarial Valuation
Disabilit Rate Source: Colorado PERA Local Government Division 12/31/2020 Actuarial Valuation
Retirement Rate Source: Colorado PERA Local Government Division 12 31 2020 Actuarial Valuation
Participation Rate 45% of active employees are assumed to elect the City's healthcare coverage in
retirement. Source: Stud of 2016 throu h 2021 retirements
Spousal Coverage 46% of retirees who take coverage will also cover spouses. Actual spouse information
is used where available; otherwise, husbands are assumed to be 3 years older than
their wives. Source: Stud of 2020 - 2021 retirements
Medical Trend Rate The medical claims and premiums are assumed to increase at the following rates.
Source: Deloitte 2021 Study of Economic Assumptions. 5.8% in 2022 down .2% to
4.7% in 2028
Dental and Vision Trend Rate Dental - 0% Vision - 0% Source: Recent Ci ex erience
Medical Aging Factors Source: Society of Actuaries 2013 Study "Health Care Costs - From Birth to Death"
A e Ad'usted Medical Claims Blended Plans Annual
Admin Costs Calculated as 15% of avera e annual remium not a e ad�usted
Change in Total OPEB Liability.
Total OPEB
Liability
Balance as of December 31, 2021 $ 7,689,944
Changes for the year:
Service cost 292,781
Interest 331,437
Change of benefit terms 200,000
Difference between expected and actual experience (244,733)
Changes in assumptions or other inputs (1,558,240)
Benefit payments (107,952)
Netchanges (1,086,707)
Balance as of December 31, 2022 $ 6,603,237
Change in Assumptions. The following table shows the assumption changes that were made and their impact on
the liability.
Impact on
Assumption Description Source/Reason Liability
Discount rate Increased from 2.25% to 4.31% S&P Municipal Bond 20-Year High ($1,558,240)
Grade Rate Index as of 12/30/2022
62
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE K — OTHER POSTEMPLOYMENT BENEFITS (CONTINUED)
1. Defined Benefit Post-Emqlovment Health Care Plan (Continued)
Change in Benefit Terms. Effective November 1, 2022, the City amended an explicit monthly contribution for Fire
and Police retirees. The change is documented in Memorandum of Understanding and was adopted by the City
council in October 2022. The monthly contribution is indexed to the full cost of highest priced employee-only
coverage high deductible medical plan offered to City Employees. The City's monthly contribution in 2022 was
set at $784.64. This change in benefit terms is considered permanent.
Sensitivity of the Total OPEB Liability to Changes in the Discount Rate. The following table presents the total
OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using a
discount rate that is 1-percentage-point lower or higher than the current discount rate.
1% Decrease Discount Rate 1% Increase
(3.31%) (4.31%) (5.31%)
Total OPEB Liability $ 7,332,847 $ 6,603,237 $ 5,959,609
Sensitivity of the Total OPEB Liability to Changes in the Healthcare Cost Trend Rates. The following table presents
the total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated
using a medical trend rate that is 1-percentage-point lower or higher than the current trend rate.
1% Decrease Trend Rates 1% Increase
(4.83% graded) (5.83% graded) (6.83% graded)
Total OPEB Liability $ 5,818,106 $ 6,603,237 $ 7,538,704
OPEB Expense and Deferred Inflows and Outflows. Changes in the total OPEB liability due to: (1) changes in
actuarial assumptions or (2) differences between expected actuarial experience and actual experience are
deferred and recognized in the OPEB expense over a closed period equal to the average expected remaining
service lives of employees and retirees, starting with the current reporting period. The average remaining service
lives as of December 31, 2022 is 7.5 years.
Amounts reported as Deferred Outflows of Resources related to OPEB as of December 31, 2022 will be recognized
in OPEB Expense as follows:
Deferred Outflows Deferred Inflow
of Resources of Resources
Difference between expected and actual experience $ 1,106,467 $ 437,874
Changes in assumptions or other inputs 679,858 1,862,346
Total $ 1,786,325 $ 2,300,220
Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be
recognized as a future OPEB expense (income) as follows:
Year Ending
December 31 Amount
2023 $ 128,621
2024 (20,952)
2025 4,145
2026 (144,280)
2027 (153,755)
2028 (327,674)
Total $ (513,895)
For the year ended December 31, 2022 the City recognized $899,379 in OPEB expense.
63
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE K — OTHER POSTEMPLOYMENT BENEFITS (CONTINUED)
2. Retirement Health Savinqs Plan
Additionally, the City offers employees a retirement health savings plan, which is classified as a single-employer
defined contribution plan. Regular employees, City Officials, Police and Firefighters, become eligible after five years
of continuous service,at which time, participation in the plan is mandatory,for 2022 the plan had 1,272 participants.
Contributions and plan benefit terms are established and amended on the authority of City Council. Contributions
are currently made by the City. The annual contribution is determined each year by City Council, for 2022, the
amount contributed was $184,450.
ICMA Retirement Corporation, an independent trustee, administers funds for this plan. The City maintains
accounting records. The trustee provides participants with quarterly statements of contributions, withdrawals and
earnings.
NOTE L- RISK MANAGEMENT
1. General Liabilitv Insurance Pool
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors
and omissions; and natural disasters for which the government carries insurance with the Colorado
Intergovernmental Risk Sharing Agency (CIRSA). CIRSA is a separate and independent governmental and legal
entity. The purposes of CIRSA are to provide members defined liability and property coverage through joint self-
insurance, insurance, reinsurance, or any combination thereof, and to assist members to prevent and reduce losses
and injuries to municipal property and to persons or property which might result in claims being made against
members of CIRSA, or their employees or officers.
All operating funds of the City participate in the program and make payments to the Risk Management Fund based
on actuarial estimates of the amounts needed to pay current-year claims and to establish a reserve for catastrophe
losses. The City pays claims up to the self-insured retention. In 2022, the self-insured retention (deductible
amount) set by the City was $250,000 per claim. Through CIRSA, the City purchases commercial excess insurance
for claims in excess of $250,000. In 2022, the City hired an independent actuary to calculate incurred but not
reported claims (IBNR). The City reserves a liability for property/casualty claims of$1,548,507. There has been no
significant reduction in insurance coverage from the prior year. Only one settlement exceeded the City's self-
insurance coverage in the past three years.
2022 2021
Reserve for unpaid claims, January 1, $ 1,617,023 $ 1,211,034
Incurred claims (including IBNRs) 1,083,260 1,239,963
Claim payments (1,151,776) (833,974)
Reserve for unpaid claims, December 31, $ 1,548,507 $ 1,617,023
Unpaid claims to be paid in 1 year $ 862,855 $ 707,878
64
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE L- RISK MANAGEMENT (CONTINUED)
1. General Liabilitv Insurance Pool lContinued)
The City's respective share of CIRSA's member fund balances for the most recently available statements are as
follows:
PC Pool surplus City of
(deficit) Thornton's City of Thornton's
December 31, contribution share of surplus as of
Year* Fund 2021 ** ratio December 31, 2021
1996 Loss Fund $ 54,919 0.000% $ -
1997 Loss Fund 39,646 0.000% -
1999 Loss Fund 1,998 0.000% -
2000 Loss Fund (12) 0.000% -
2001 Loss Fund 879 0.000% -
2003 Loss Fund 360,740 0.000% -
2004 Loss Fund 1,358,468 0.000% 10,428
2006 Loss Fund 2,653,565 0.349% 9,269
2007 Loss Fund 9,644 0.000% -
2008 Loss Fund 2,480,577 0.000% -
2009 Loss Fund 2,227,079 0.000% -
2010 Loss Fund 3,219 0.000% -
2011 Loss Fund 199,018 0.000% -
Z012 Loss Fund 1,720,708 0.000% -
2013 Loss Fund 1,935,187 0.000% -
2014 Loss Fund 2,264,977 0.000% -
2015 Loss Fund 848,398 0.000% -
2016 Loss Fund 1,593,205 0.000% -
2017 Loss Fund (199,848) 0.000% -
2018 Loss Fund 6,115,171 0.000% -
2019 Loss Fund (752,400) 0.000% -
2020 Loss Fund 3,982,113 0.000% -
2021 Loss Fund (3,223,752) 0.000% -
ALL Operating fund 11,140,920 2.689% 299,575
ALL Excessfund (11,413,556) 7.660% (874,322)
ALL Reserve fund 8,851,777 0.728% 64,475
$ 32,252,640 $ (490,575)
* Years 1982 through 1995, 1998, 2002 and 2005 no longer have balances remaining.
** Surpluses or deficits for any year are subject to change for reasons which include: interest
earnings or invested amounts for those years and funds, reestimation of losses for those
years and funds, and credits or distributions from surplus for those years and funds.
65
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE L- RISK MANAGEMENT (CONTINUED)
1. General Liabilitv Insurance Pool lContinued)
Summary of the most recently available financial information for CIRSA (December 31, 2021) is as follows:
Assets $60,248,853
Liabilities, including incurred but not reported claims $ 27,996,212
Members' fund balance
Accumulated members' equity 32,252,641
Total liabilities and fund balance $ 60,248,853
Revenues $ 28,011,580
Expenses 26,793,806
Net increase in members' fund balance $ 1,217,774
2. Workers' Compensation
On January 1, 1992, the City established a limited Risk Management program for worker's compensation. This
program was tailored to meet an annual exposure predicted from ten years of claims history. A risk retention of
$850,000 for all employees per accident is maintained and funded through the Risk Management Fund, based on
an annual estimated claims cost. The City purchases commercial excess insurance for claims in excess of$850,000.
Claims administration and medical services are provided through contract and the City's Director of Risk
Management and the City's Risk Management Administrator are responsible for overall program management. The
State of Colorado has a strict application and annual renewal process that includes funding verification, excess
insurance coverage verification, claims data review and provision of a comprehensive loss prevention and control
program. The application includes a required surety bond of$1,500,000 to cover the City's risk retention portion.
All operating funds of the City participate in the program and make payments to the Risk Management Fund based
on actuarial estimates of the amounts needed to pay current year claims and to establish a reserve for catastrophe
losses. In 2022, the City hired an independent actuary to calculate incurred but not reported claims (IBNR). The
City reserves a liability for workers' compensation of $3,191,601. There have been no significant reductions in
insurance coverage from the prior year. There has been one claim that exceeded the City's risk retention in the last
ten years.
2022 2021
Reserve for unpaid claims, January 1, $ 4,174,051 $ 4,300,174
Incurred claims (including IBNRs) 992,308 1,785,137
Claim payments (1,974,758) (1,911,260)
Reserve for unpaid claims, December 31, $ 3,191,601 $ 4,174,051
Unpaid claims to be paid in 1 year $ 1,295,123 $ 1,621,120
66
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE L- RISK MANAGEMENT (CONTINUED)
3. Self-Funded Dental Insurance
The City established two self-funded dental programs effective January 1, 2007: Delta EPO and Delta Premier. The
purpose of these programs is to pay the dental claims of eligible City employees and their covered dependents. As
of January 1, 2007 the City entered into an administrative services only arrangement with Delta Dental of Colorado,
whereby the City pays Delta Dental a separate amount for administrative costs and claim servicing fees. The City
agrees to provide monthly funding for the payment of claims. At the end of the year, the City retains any money
not spent on claims. The City has recorded a liability in this fund totaling $25,000 for open and estimated claims
not yet reported at December 31, 2022.
20ZZ 2021
Reserve for unpaid claims, January 1, $ 20,000 $ 20,000
Incurred claims (including IBNRs) 701,631 683,068
Claim payments (696,631) (683,068)
Reserve for unpaid claims, December 31, $ 25,000 $ 20,000
Unpaid claims to be paid in 1 year $ 25,000 $ 20,000
4. Self-Funded Vision Insurance
The City established a self-funded vision program effective January 1, 2009: Vision Service Plan. The purpose of
this program is to pay the vision claims of eligible City employees and their covered dependents. As of January 1,
2009 the City entered into an administrative services only arrangement with Vision Service Plan, whereby the City
pays Vision Service Plan a separate amount for administrative costs and claim servicing fees. The City agrees to
provide monthly funding for the payment of claims. At the end of the year, the City retains any money not spent
on claims. The City has a recorded liability in this fund totaling $9,000 for open and estimated claims not yet
reported at December 31, 2022.
2022 2021
Reserve for unpaid claims, January 1, $ 7,000 $ 7,000
Incurred claims (including IBNRs) 120,396 109,313
Claim payments (118,396) (109,313)
Reserve for unpaid claims, December 31, $ 9,000 $ 7,000
Unpaid claims to be paid in 1 year $ 9,000 $ 7,000
5. Self-Funded Medical Insurance
The City established two self-funded medical programs effective January 1, 2022: Cigna Local Plus and Cigna HDHP
Local Plus. The purpose of this program is to pay the medical claims of eligible City employees and their covered
dependents. As of January 1, 2022 the City entered into an administrative services only arrangement with Cigna,
whereby the City pays Cigna a separate amount for administrative costs and claim servicing fees. The City agrees
to provide monthly funding for the payment of claims and carries an additional stop loss policy to cover claims in
excess of$100,000. At the end of the year,the City retains any money not spent on claims. The City has a recorded
liability in this fund totaling 400,000 for open and estimated claims not yet reported at December 31, 2022.
2022 2021
Reserve for unpaid claims, January 1, $ - $ -
Incurred claims (including IBNRs) 5,942,419 -
Claim payments (5,542,419) -
Reserve for unpaid claims, December 31, $ 400,000 $ -
Unpaid claims to be paid in 1 year $ 400,000 $ -
67
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE M - LEGAL RESTRICTION
At the November 3, 1992 general election, Colorado voters approved an amendment to the Colorado Constitution
commonly known as the Taxpayer's Bill of Rights(TABOR). TABOR was effective December 31, 1992,and its provisions
limit government taxes, spending revenues and debt without electoral approval. On November 6, 2001, the City's
voters chose to permit the City to collect, retain and spend the full amount of the City's past and future taxes and
other revenue above the TABOR amendment limitations.
TABOR by its terms applies to local governments such as the City but excludes "enterprises," which are defined as (1)
a government owned business, (2) authorized to issue its own debt and (3) receives less than 10% of its annual
revenue in grants from all state and local governments. The City considers its Water, Sewer, Environmental Services,
and Stormwater to be "enterprise" funds, and therefore considers them excluded from the terms of TABOR. All other
government activities are presumably covered under the limitations of TABOR.
TABOR also requires the City to set aside a portion of its spending for an emergency reserve. In 2022, the required
reserve of 3% of current year spending, excluding voter approved amounts, federal revenues, bond proceeds, and
other restrictions under TABOR, totaled $6,804,881. The City is not allowed to use the emergency reserve to
compensate for economic conditions, revenue shortfalls, or salary or benefit increases.
NOTE N -COMMITMENTS AND CONTINGENT LIABILITIES
1. Litiaation
The City is a defendant in various lawsuits, including claims related to activities or employees of the City. The City
maintains a self-funded reserve in the Risk Management fund of$1,548,507 for general liability and $3,191,601 for
worker's compensation claims. The City believes that final disposition of matters not covered by insurance will not
have a material adverse effect on the City's financial condition.
2. Contracts
The City has $7,831,258 and $23,669,922, in outstanding contracts with various contractors for the Governmental
Capital Fund and all other governmental funds, respectively. The City has $27,979,277, $3,595,082, and
$4,124,541 in outstanding contracts with various contractors for the Water Fund, Sewer Fund, and all other
proprietary funds, respectively.
The City has a collective bargaining agreement between the City of Thornton and the Thornton Firefighters Local
Number 2376, International Association of Firefighters for the line firefighters. The current agreement is for three
years and expires January 1, 2025.
The City has a collective bargaining agreement between the City of Thornton and the Fraternal Order of Police,
Thornton Police Department Colorado Lodge 16, for Police Officers and Police Sergeants. The current agreement is
for two years and expires December 31, 2023.
Certain City employees have contracts through the fiscal year 2022. Some contracts include severance packages,
not exceeding twelve months, if the employee is involuntarily terminated.
NOTE O — TAX ABATEMENTS
The City of Thornton enters into incentive agreements to encourage economic development and redevelopment,to retain
growing businesses, to grow the local economy and to provide quality job opportunities for Thornton residents. Incentive
agreements are entirely discretionary and are considered on a case-by-case basis by the City Council. A written
agreement is ren quired and no agreement is final without formal action by City Council.
All incentive agreements are performance based. Performance based means that before any monies are disbursed the
business shall meet or exceed the specific performance measures identified in the Incentive Agreement. Specific
performance measures may include: (a) meeting the requirements of the eligibility threshold for jobs and wages; (b)
requiring new revenues generated by the business to equal or exceed the total dollar amount of the incentive provided
during the period of the incentive agreement by rebate or refund; (c) requiring any rebate or refund to come from the
revenues actually generated by that business; or(d) requiring the completion of significant development review process
milestones such as successful completion and issuance of a development permit, building permit or certificate of
occupancy. Incentive agreements with performance measures tied to jobs and wages contain a recapture provision if
the abatement recipient does not maintain the eligibility threshold for the specified period.
68
City of Thornton, Colorado
NOTES TO FINANCIAL STATEMENTS
December 31, 2022
NOTE O — TAX ABATEMENTS (CONTINUED)
Incentive packages vary and may include the City agreeing to forego a portion of its sales tax, a direct subsidy for public
infrastructure costs or a rebate of sales taxes, use taxes, permit fees, or property taxes. Rebate of sales and use taxes
will only be considered for new taxes generated by the business. Unless special circumstances dictate, such rebate will
be limited to 50% of the new sales and use taxes generated. The City does not rebate existing sales and uses taxes
generated by a business. All incentive agreements are subject to annual appropriations by City Council as required in
the Colorado Constitution and the City Charter. In 2022, the City's expenditures include $1,431,101 in tax abatements.
NOTE P — SUBSEQUENT EVENTS
On January 3, 2023, through the process of eminent domain, the City took immediate possession of the Thornton
Shopping Center property, which is generally located between Washington St East to Corona St and 88t" Ave North to
Russell Blvd. The possession and subsequent environmental remediation of the property is anticipated to be material to
the City's financial statements; however, given the ongoing litigation related to this matter, no estimates will be provided
in the current year financial statements or accompanying footnotes.
NOTE Q — SPECIAL ITEM
For the fiscal period ending December 31, 2022 the City had one transaction that was infrequent in nature and within
management control, thus qualified as a special item for reporting and note disclosure purposes. The City sold mineral
rights related to oil and gas for$33,541,931,which was split between governmental activities($2,850,686)and business-
type activities ($30,691,245).
69
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REQUIRED SUPPLEMENTARY INFORMATION
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City of Thornton, Colorado
General Fund
Schedule of Revenues, Expenditures,and Changes in Fund Balance-
Budget and Actual - Non US GAAP Basis
For the year ended December 31, 2022
Positive
(negative)
Budgeted Amounts variance-
Actual actual from
Original Final Amounts final
REVENUES
Taxes
Sales and use $ 89,785,100 $ 89,785,100 $ 91,695,863 $ 1,910,763
Property 19,420,500 19,420,500 17,850,900 (1,569,600)
Franchise 6,710,500 6,710,500 7,288,978 578,478
Other 3,370,300 3,370,300 3,489,441 119,141
Licensesand permits 6,956,600 6,956,600 6,708,666 (247,934)
Intergovernmental 7,495,100 7,495,100 7,603,140 108,040
Governmental grants 349,700 349,700 1,071,579 721,879
Charges for services 20,361,400 20,361,400 20,464,371 102,971
Fines and forfeitures 2,252,000 2,252,000 1,200,599 (1,051,401)
Leases - - 30,072 30,072
Investment earnings (loss) 539,000 539,000 (3,364,059) (3,903,059)
Miscellaneous 1,084,797 1,084,797 1,029,630 (55,167)
Totalrevenues 158,324,997 158,324,997 155,069,180 (3,255,817)
EXPENDITURES
Current
General government
Legislative 3,276,047 3,276,047 2,997,211 278,836
City manager 4,516,982 4,616,982 4,482,985 133,997
General services 23,420,609 23,420,609 23,339,171 81,438
Miscellaneous 10,299,946 10,299,946 7,800,100 2,499,846
Police 43,731,562 43,971,562 44,145,539 (173,977)
Fire and ambulance 25,134,424 25,504,124 26,782,993 (1,278,869)
City development 10,473,785 10,473,785 9,738,854 734,931
Streets, traffic and engineering 12,587,811 12,587,811 12,115,324 472,487
Community services 26,560,471 26,560,471 26,783,132 (222,661)
Capital outlay 4,419,134 4,419,134 2,652,246 1,766,888
Debt service
Principal retirement - - 761,463 (761,463)
Interest and bond fees - - 11,562 (11,562)
Totalexpenditures 164,420,771 165,130,471 161,610,580 3,519,891
Deficiency of revenues
underexpenditures (6,095,774) (6,805,474) (6,541,400) 264,074
OTHER FINANCING SOURCES (USES)
Transfers in 6,126,903 6,126,903 6,116,903 (10,000)
Transfers out (18,000) (18,000) (18,000) -
Sale of general capital assets - - 79,518 79,518
Total other financing sources 6,108,903 6,108,903 6,178,421 69,518
SPECIAL ITEM
Proceeds from sale of mineral sales - - 2,850,686 2,850,686
Excess (deficiency) of revenues and other
sources over(under) expenditures and
other sources (uses) before reconciling items $ 13,129 $ (696,571) 2,487,707 $ 3,184,278
RECONCILIATION TO US GAAP BASIS
RHS &sick payout (9,289)
Total reconciling items (9,289)
Net change in fund balances 2,478,418
Fund balances, January 1 77,197,667
Fund balances, December 31 �Z $ 79,676,085
City of Thornton, Colorado
Schedule of Pension Contributions Statewide Defined Benefit Plan (SWDB)
2015 2016 2017 (1) 2018 2019 2020 2021 2022
Statutorily required contribution $ 54,522 $ 31,646 $ 486,813 $ 2,063,822 $ 2,239,975 $ 2,478,812 $ 2,538,034 $ 2,865,576
Contributions in relation to the statutorily
required contribution 54,522 31,646 486,813 2,063,822 2,239,975 2,478,812 2,538,034 2,865,576
Contribution deficiency $ - $ - $ - $ - $ - $ - $ - $ -
Covered payroll firefighters $ 681,525 $ 395,575 $ 2,027,550 $ 7,431,738 $ 8,487,588 $ 9,717,275 $ 10,620,800 $ 11,983,156
Covered payroll police new hire - - 309,775 2,132,838 3,279,363 4,566,300 5,170,882 7,035,044
Covered payroll police reentry - - 2,998,270 12,986,550 12,986,190 13,361,270 11,957,410 11,539,380
Contributions as a percentage of covered payroll
Firefighters 8.00% 8.00% 8.00% 8.00% 8.00% 8.00% 8.50% 9.00%
Police new hire - - 8.00% 8.00% 8.00% 8.00% 8.50% 9.00%
Police reentry - - 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%
Information for Fiscal Year 2013 through 2014 is not available.
Other information:
(1) 2017 includes$415,740 related to the reentry of Current Police Officers and Firefighters
73
City of Thornton, Colorado
Schedule of Proportionate Share of the Net Pension Liability Statewide Defined Benefit Plan(SWDB)
2015 2016 2017 2018 2019 2020 2021 2022
City's proportion of the net pension
liability 0.221023% 0.140685% 0.077294% 4.001789% 3.833744% 3.798771% 3.857703% 3.478948%
City's proportionate share of the net
pension liability(asset) $ (249,441) $ (2,478) $ 27,931 $ (1,686,561) $ 4,846,906 $ (2,148,444) $ (8,375,088) $ (18,853,591)
Covered payroll firefighters $ 993,945 $ 681,525 $ 395,575 $ 2,027,550 $ 7,431,738 $ 8,487,588 $ 9,717,275 $ 10,620,800
Covered payroll police new hire - - - 309,775 2,132,838 3,279,363 4,566,300 5,170,882
Covered payroll police reentry - - - 2,998,270 12,986,550 12,986,190 13,361,270 11,957,410
City's proportionate share of the net
pension liability(asset)as a percentage
of covered payroll -25.10% -0.36% 7.06% -31.61% 21.49% -8.68% -30.30% -67.94%
Plan fiduciary net position as a
percentage of the total pension liability 106.80% 100.10% 98.21% 106.30% 95.20% 101.90% 106.70% 116.20%
Presented as of the measurement date,
December 31, 2014 2015 2016 2017 2018 2019 2020 2021
Information for Fiscal Year 2013 through 2014 is not available.
74
City of Thornton, Colorado
Schedule of Proportionate Share of the Net Pension Liability Statewide Hybrid Plan (SWH)
2018 2019 2020 2021 2022
City's proportion of the net pension
liability 8.867137% 8.541335% 8.732019% 8.417390% 8.767776%
City's proportionate share of the net
pension asset $ (1,097,401) $ (1,178,999) $ (1,700,476) $ (2,315,210) $ (3,324,712)
Covered payroll firefighters $ 143,551 $ 603,713 $ 635,675 $ 567,338 $ 589,471
Covered payroll police 198,039 878,330 884,970 975,790 983,380
City's proportionate share of the net
pension asset as a percentage
of Covel'ed payl'oll -321.26% -79.55% -111.83% -150.03% -211.38%
Plan fiduciary net position as a
percentage of the total pension liability 138.86% 123.46% 130.06% 137.99% 149.01%
Presented as of the measurement date, December 31, 2017 2018 2019 2020 2021
There is no information for Fiscal Year 2013 through 2017. Plan was offered to Sworn Police and Firefighters hired
before July 10, 2017 that elected to reaffiliate with FPPA in 2017.
75
City of Thornton, Colorado
Schedule of Pension Contributions Statewide Hybrid Plan (SWH)
2018 2019 2020 2021 2022
Statutorily required contribution $ 136,129 $ 139,351 $ 143,275 $ 148,443 $ 153,171
Contributions in relation to the statutorily
required contribution 136,129 139,351 143,275 148,443 153,171
Contribution deficiency $ - $ - $ - $ - $ -
Covered payroll firefighters $ 603,713 $ 635,675 $ 567,338 $ 589,471 $ 544,100
Covered payroll police 878,330 884,970 975,790 983,380 1,042,020
Contributions as a percentage of covered payroll
Firefighters 8.00% 8.00% 8.00% 8.50% 9.00%
Police reentry 10.00% 10.00% 10.00% 10.00% 10.00%
There is no information for Fiscal Year 2013 through 2017. Plan was offered to Sworn Police and Firefighters
hired before July 10, 2017 that elected to reaffiliate with FPPA in 2017.
76
City of Thornton, Colorado
Schedule of Proportionate Share of the Net Pension Liability
Old Hire Plan (Thornton Fire Department)
2015 2016 2017 2018 2019 2020 2021 2022
Total Pension Liability
Service cost $ - $ - $ - $ - $ - $ - $ - $ -
Interest 566,974 549,907 427,182 393,042 535,048 516,740 484,628 466,116
Benefit changes - - - 281,477 - - 337,920 -
Differences between expected and
actual experience - (305,110) - 389,958 - 2,990 - 107,012
Assumption changes - 2,319,410 312,071 (2,243,221) - 478,713 - -
Benefit payments, including refunds of
employee contributions (806,304) (782,322) (749,075) (788,438) (788,438) (769,517) (769,517) (769,332)
Net change in total pension liability (239,330) 1,781,885 (9,822) (1,967,182) (253,390) 228,926 53,031 (196,204)
Total pension liability-beginning 7,955,511 7,716,181 9,498,066 9,488,244 7,521,062 7,267,672 7,496,598 7,549,629
Total pension liability-ending $ 7,716,181 $ 9,498,066 $ 9,488,244 $ 7,521,062 $ 7,267,672 $ 7,496,598 $ 7,549,629 $ 7,353,425
Plan fiduciary net position
Contributions-employer $ - $ 239,804 $ - $ 551,130 $ 269,653 $ 337,419 $ 337,419 $ 697,637
Net investment income 352,452 90,586 220,309 607,804 7,900 502,911 387,301 461,655
Benefit payments,including refunds of employee
contributions (806,304) (782,322) (749,075) (788,438) (788,438) (769,517) (769,517) (769,332)
Administrative expense (11,060) (9,397) (10,095) (4,259) (8,772) (5,154) (7,867) (5,202)
Net change in plan fiduciary net position (464,912) (461,329) (538,861) 366,237 (519,657) 65,659 (52,664) 384,758
Plan fiduciary net position-beginning 5,560,276 5,095,364 4,634,035 4,095,174 4,461,411 3,941,754 4,007,413 3,954,749
Plan fiduciary net position-ending $ 5,095,364 $ 4,634,035 $ 4,095,174 $ 4,461,411 $ 3,941,754 $ 4,007,413 $ 3,954,749 $ 4,339,507
Net pension liability 2,620,817 4,864,031 5,393,070 3,059,651 3,325,918 3,489,185 3,594,880 3,013,918
Plan fiduciary net position as a percentage
of total pension liability 66.03% 48.79% 43.16% 59.32% 54.24% 53.46°/o 52.38°/o 59.01°/o
Covered payroll - - - - - - - -
Net pension liability as a percentage of
covered payroll N/A N/A N/A N/A N/A N/A N/A N/A
Information for Fiscal Year 2013 through 2014 is not available.
77
City of Thornton, Colorado
Schedule of Pension Contributions Old Hire Plan (Thornton Fire Department)
2014 2015 2016 2017 (3) 2018 2019 2020 2021 (4) 2022
Actuarial determined contribution (1) $ 192,152 $ 239,804 $ 269,653 $ 269,653 $ 269,653 $ 337,419 $ 337,419 $ 359,717 $ 359,717
Contributions in relation to the actuarial
determined contribution (1) - 239,804 - 551,130 269,653 337,419 337,419 697,637 359,717
Contribution deficiency (excess) $ 192,152 $ - $ 269,653 $ (281,477) $ - $ - $ - $ (337,920) $ -
City's covered payroll $ - $ - $ - $ - $ - $ - $ - $ - $ -
Contributions as a percentage of
covered payroll N/A N/A N/A N/A N/A N/A N/A N/A N/A
Notes to Schedule
Actuarially determined contribution rates are calculated as of January 1 of even numbered years.
Methods and Assumptions Used to Determine Contribution Rates for current fiscal year:
Actuarial Cost Method Entry Age Normal
Amortization Method N/A
Remaining Amortization Period N/A
Asset Valuation Method 5-Year smoothed fair value
Inflation 2.5%
Salary Increases N/A
Investment Rate of Return 6.50%
Retirement Age Any remaining actives are assumed to retire immediately.
Mortality Post-retirement: 2006 central rates from the RP-2014 Annuitant Mortality Tables for males and femail projected to
2018 using the MP-2017 projection scales, and then projected prospectively using the ulitmate rates of the scale for
all years.
Disabled (pre-1980): Post-retirement rates set forward three years.
Other information:
(1) Actuarially Determined Contribution is net of employee contributions. Actual contribution is from the employer only and does not include employee
amounts.
(2) Plans that are heavily weighted with retiree liabilities use an amortization period based on the expected remaining lifetime of the participants.
(3) 2017 includes a one time contirbution of$281,477 to pay for unfunded liability that resulted from an increase to monthly benefits of certain
participants.
(4) 2021 includes a one time contirbution of$337,920 to cover the difference in the unfunded accrued liability that resulted from a one-time-cost-of-
living adjustment effective January 1, 2021 to all current retired memebers and beneficiaries.
Information for Fiscal Year 2013 is not available.
78
City of Thornton, Colorado
Schedule of Changes in Total OPEB and Related Ratios
2018 2019 2020 2021 2022
Total OPEB Liability
Service cost $ 225,863 $ 208,610 $ 300,857 $ 466,575 $ 292,781
Interest 290,800 144,867 86,468 129,695 331,437
Benefit changes (5,134,249) - - 792,031 200,000
Differences between expected and
actual experience 1,425,291 (93,021) (389,508) 1,265,741 (244,733)
Assumption changes (222,345) (85,101) 1,346,383 (626,331) (1,558,240)
Benefit payments (130,583) (138,940) (60,154) (102,005) (107,952)
Net change in total OPEB liability (3,545,223) 36,415 1,284,046 1,925,706 (1,086,707)
Total OPEB liability - beginning 7,989,000 4,443,777 4,480,192 5,764,238 7,689,944
Total OPEB liability - ending $ 4,443,777 $ 4,480,192 $ 5,764,238 $ 7,689,944 $ 6,603,237
Covered-employee payroll $ 80,735,374 $ 87,662,142 $ 93,230,794 $ 97,311,878 $ 102,955,832
Total OPEB liability as a percentage of
covered-employee payroll 5.50% 5.11% 6.18% 7.90% 6.41%
Notesto Schedule:
Major Assumptions
DISCount Rdte 3.64% 3.26% 1.93% 2.25% 4.31%
Medical Trend Rate 6.60% 6.40% 6.30% 5.80% 5.83%
Change of benefit terms: As of 12/31/2019 coverage is not be available for retirees age 65 or above or those who are below age 65 and eligible for
Medicare. As of I1/1/2022, Public safety employees who retire after 2021 are eligible for 100% of the most expensive HDHP plan offered to City Employees
Information for Fiscal Year 2013 through 2017 is not available.
Note: Assets are not accumulated in a trust that meets the criteria of GASB codification P22.101 or P52.101 to pay benefits for the OPEB plan.
79
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$o
COMBINING STATEMENTS AND BUDGETARY SCHEDULES
$�
City of Thornton, Colorado
Combining Statements and Budgetary Schedules
Fund Descriptions
Major Governmental Funds
Capital Proiects Funds
Capital Projects Funds are used to account for the acquisition and construction of major capital facilities other than
those financed by proprietary funds.
Thornton Development Authority North Washington Fund (TDA NorthL(Component Unit� -to account for debt
services and capital improvement projects within the Authority boundaries financed by current resources
(property tax, sales tax, investment income) and by bond proceeds. The debt service payments are for the
following bond issue:
$13,900,000 Thornton Development Authority Tax Increment Revenue Refunding (North Washington
Street Urban Corridor), Series 2015A - financed by sales and property tax incremental increases
within the boundaries of the North Washington Urban Renewal Area. The bonds are due in semi-
annual payments until maturity in Z028.
Governmental Capital Fund - to account for capital replacement and planned growth infrastructure and other
capital assets of the City government, financed by existing and current resources (sales and use taxes).
82
City of Thornton, Colorado
Thornton Development Authority North Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes
Sales and use $ 6,745,000 $ 7,752,106 $ 1,007,106
Property 10,998,000 11,585,718 587,718
Investments
Investment earnings (loss) 115,200 (512,281) (627,481)
Miscellaneous
Other - 81,184 81,184
Total revenues 17,858,200 18,906,727 1,048,527
EXPENDITURES
Capital outlay 19,789,561 13,851,251 5,938,310
Debt service
Principal retirement 1,035,000 1,035,000 -
Interest 373,263 373,263 -
Bondfees 2,500 2,750 (250)
Total expenditures 21,200,324 15,262,264 5,938,060
Excess (deficiency) of revenues
over(under) expenditures (3,342,124) 3,644,463 6,986,587
OTHER FINANCING USES
Transfers out (5,313,975) (4,199,367) 1,114,608
Total other financing uses (5,313,975) (4,199,367) 1,114,608
Net change in fund balance $ (8,656,099) (554,904) $ 8,101,195
Fund balance, January 1 17,354,887
Fund balance, December 31 $ 16,799,983
83
City of Thornton, Colorado
Governmental Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes - sales and use $ 20,766,300 $ 36,181,996 $ 15,415,696
Intergovernmental 4,199,100 5,376,526 1,177,426
Governmental grants 13,399,900 5,279,013 (8,120,887)
Investments
Investment earnings (loss) 591,600 (2,087,221) (2,678,821)
Miscellaneous
Developers' contributions 4,014,069 423,747 (3,590,322)
Other 175,700 583,514 407,814
Total revenues 43,146,669 45,757,575 2,610,906
EXPENDITURES
Streets, traffic and engineering 3,060,000 3,344,141 (284,141)
Capital outlay 64,040,460 31,940,408 32,100,052
Debt service
Principal retirement 3,768,748 3,768,747 1
Interest 779,041 779,041 -
Bondfees 2,250 2,250 -
Total expenditures 71,650,499 39,834,587 31,815,912
Excess (deficiency) of revenues
over(under) expenditures (28,503,830) 5,922,988 34,426,818
OTHER FINANCING SOURCES
Transfers in 2,924,031 2,924,031 -
Sales of general capital assets - 20,363 20,363
Total other financing sources 2,924,031 2,944,394 20,363
Net change in fund balance $ (25,579,799) 8,867,382 $ 34,447,181
Fund balance, January 1 33,038,873
Fund balance, December 31 $ 41,906,255
84
City of Thornton, Colorado
Combining Statements and Budgetary Schedules
Fund Descriptions
Non-Major Governmental Funds
S�ecial Revenue Funds
Special Revenue funds are used to account for specific revenues that are legally restricted to expend for particular
purposes.
Thornton Arts, Sciences and Humanities Council (TASHCO) Fund (Component Unit� - to account for monies
received from grants and program revenues for purposes of cultural enhancements.
Cash in Lieu Fund - to account for monies contributed by land developers in lieu of providing an improvement
such as parks or drainage.
Conservation Trust Fund - to account for monies received from the State government for purposes of
developing new parks and park improvements.
Parks Fund - to account for one-third of the .25% open space tax to be used exclusively for the purchase and
development of parks in the City.
Oqen Space Fund -to account for one-third of the .25%open space tax to be used exclusively for the purchase
and development of open space in the City.
Parks and Open Space Fund - to account for one-third of the .25% open space tax to be used exclusively for
the purchase and development of parks and open space in the City, based on the recommendations of the
Parks and Open Space Advisory Committee (POSAC).
Adams County Open Space Sales Tax Fund - to account for open space monies from Adams County to be
used exclusively for the purchase and development of open space in the City.
Adams County Road and Bridge Sales Tax Fund - to account for road and bridge monies from Adams County
to be used exclusively for transportation related projects in the City.
136th Avenue GID Fund (Component Unit� - to account for the collection of assessment revenues to be used
exclusively for payment of the construction of the interchange at 136th Avenue and Interstate 25.
E911 Authority Fund (Component Unit� - to account for E911 surcharges received from telecommunication
companies doing business within the City. The Authority was established by City Council in 2004, and funds
collected are used to pay for a portion of costs authorized by State statute for the City to provide emergency
telephone services.
Capital Proiects Funds
Capital Projects Funds are used to account for the acquisition and construction of major capital facilities other than
those financed by proprietary funds.
Thornton Development Authority South Capital Fund (Component Unit� - to account for capital improvement
projects within the Authority boundaries financed by existing and current resources (property tax and
investment income).
Thornton Development Authority 144th (TDA 144th�(Component Unit� - to account for debt services and
capital improvement projects within the Authority boundaries financed by current resources (property tax,
sales tax, investment income) and by bond proceeds. The debt service payments are for the following bond
issue:
$27,580,000 Thornton Development Authority Tax Increment Revenue Bonds (East 144th Avenue
and I-25 Project), Series 2015B -financed by sales and property tax incremental increases within the
boundaries of the 144th Urban Renewal Area. The bonds are due in semi-annual payments until
maturity in 2037.
85
City of Thornton, Colorado
Combining Balance Sheet
Non-Major Governmental Funds
December 31, 2022
Special Revenue Funds
Cash in Conservation Open Parks&
TASHCO Lieu Trust Parks Space Open Space
ASSETS
Equity in pooled cash
and investments
Unrestricted $ 217,270 $ 1,620,675 $ 3,729,993 $ 406,027 $ 3,939,677 $ 22,560,108
Restricted - - - - - -
Receivables, net
Taxes - - - - - 1,024,803
Accounts - - - - 55,183 970,699
Interest 804 5,934 12,944 1,477 14,441 79,997
Land held for resale - - - - - -
Total assets $ 218,074 $ 1,626,609 $ 3,742,937 $ 407,504 $ 4,009,301 $ 24,635,607
LIABILITIES
Accounts payable 4,703 49,907 168,735 - 117,785 104,943
Retainage payable - 1,885 8,666 - 14,534 -
Third party advances - 1,154,133 - - - -
Unearned revenue - - - - 9,600 -
Other - - - - - -
Total liabilities 4,703 1,205,925 177,401 - 141,919 104,943
DEFERRED INFLOWS
Unavailable revenue -
Property taxes - - - - - -
Intergovernmental - - - - 2,814 -
Total deferred inflows
ofresources - - - - 2,814 -
FUND BALANCES
Restricted
Parksand openspace - - 3,565,536 407,504 3,864,568 24,530,664
Capital projects - - - - - -
Debt service - - - - - -
Public safety - - - - - -
Other purposes 77,264 - - - - -
Assigned
Capital projects - - - - - -
Land held for resale - - - - - -
Parks and open space - 420,684 - - - -
Otherpurposes 136,107 - - - - -
Totalfund balances 213,371 420,684 3,565,536 407,504 3,864,568 24,530,664
Total liabilities, deferred inflows
of resources and fund balances $ 218,074 $ 1,626,609 $ 3,742,937 $ 407,504 $ 4,009,301 $ 24,635,607
86
Special Revenue Funds
Adams County Adams County Total
Open Space Road &Bridge 136th E911 Special
Sales Tax Sales Tax Avenue GID Authority Revenue
$ 5,699,609 $ 6,794,953 $ 62,982 $ 599,214 $ 45,630,508
1,010,793 1,011,362 162,846 338,167 3,547,971
- - - - 1,025,882
20,682 25,390 350 4,536 166,555
$ 6,731,084 $ 7,831,705 $ 226,178 $ 941,917 $ 50,370,916
62,575 1,140,145 - - 1,648,793
39,889 436,722 - - 501,696
- - - - 1,154,133
- - - - 9,600
102,464 1,576,867 - - 3,314,222
- - 164,238 - 164,238
1,010,793 - - - 1,013,607
1,010,793 - 164,238 - 1,177,845
5,617,827 - - - 37,986,099
- 6,254,838 - - 6,254,838
- - - 941,917 941,917
- - - - 77,264
- - 61,940 - 61,940
- - - - 420,684
- - - - 136,107
5,617,827 6,254,838 61,940 941,917 45,878,849
$ 6,731,084 $ 7,831,705 $ 226,178 $ 941,917 $ 50,370,916
87
City of Thornton, Colorado
Combining Balance Sheet
Non-Major Governmental Funds
December 31, 2022
Capital Funds Total
Total Non-major
TDA South TDA 144th Capital Governmental
Capital Capital Projects Funds
ASSETS
Equity in pooled cash
and investments
Unrestricted $ 6,676,533 $ 1,033,110 $ 7,709,643 $ 53,340,151
Restricted - 2,292,536 2,292,536 2,292,536
Receivables, net
Taxes 743,946 1,997,014 2,740,960 6,288,931
Accounts 2,500,000 - 2,500,000 3,525,882
Interest 28,960 3,662 32,622 199,177
Land held for resale 543,099 - 543,099 543,099
Total assets $ 10,492,538 $ 5,326,322 $ 15,818,860 $ 66,189,776
LIABILITIES
Accounts payable 6,414 - 6,414 1,655,207
Retainage payable - - - 501,696
Third party advances 13,500 - 13,500 1,167,633
Unearnedrevenue - - - 9,600
Other - 1,008,570 1,008,570 1,008,570
Total liabilities 19,914 1,008,570 1,028,484 4,342,706
DEFERRED INFLOWS
Unavailable revenue -
property taxes 743,943 1,778,680 2,522,6Z3 2,686,861
Intergovernmental - - - 1,013,607
Total deferred inflows
of resources 743,943 1,778,680 2,522,623 3,700,468
FUND BALANCES
Restricted
Parks and open space - - - 37,986,099
Capital projects - - - 6,254,838
Debt service - 2,258,550 2,258,550 2,258,550
Public safety - - - 941,917
Otherpurposes - - - 77,264
Assigned
Capital projects 9,185,582 280,522 9,466,104 9,528,044
Land held for resale 543,099 - 543,099 543,099
Parks and open space - - - 420,684
Otherpurposes - - - 136,107
Total fund balances 9,728,681 2,539,072 12,267,753 58,146,602
Total liabilities, deferred inflows
of resources and fund balances $ 10,492,538 $ 5,326,322 $ 15,818,860 $ 66,189,776
88
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89
City of Thornton, Colorado
Combining Statement of Revenues, Expenditures,and Changes in Fund Balances
Non-Major Governmental Funds
For the year ended December 31, 2022
Special Revenue Funds
Cash in Conservation Open Parks&
TASHCO Lieu Trust Parks Space Open Space
REVENUES
Taxes
Sales and use $ - $ - $ - $ - $ - $ 9,910,323
Property - - - - - -
E911 - - - - - -
Other - - - - - -
Intergovernmental - - 1,718,471 - - -
Governmental grants 77,264 - - - 42,770 4,166,023
Investments
Investmentloss (6,162) (49,874) (115,369) (12,472) (104,730) (695,619)
Miscellaneous
Developers' contributions - 148,389 - - - -
Other 766 3,134 - - 9,600 -
Total revenues 71,868 101,649 1,603,102 (12,472) (52,360) 13,380,727
EXPENDITURES
Current
Streets, traffic and engineering - - - - - -
Community services 51,300 - - - - -
Capital outlay 171,500 148,389 628,687 - 3,404,813 3,005,215
Debt service
Principal retirement - - - - - 2,671,253
Interest - - - - - 2,993,309
Bondfees - - - - - 3,980
Total expenditures 222,800 148,389 628,687 - 3,404,813 8,673,757
Excess (deficiency) of revenues
over(under) expenditures
before other sources (uses) (150,932) (46,740) 974,415 (12,472) (3,457,173) 4,706,970
OTHER FINANCING
SOURCES (USES)
Transfers in 18,000 - - - - -
Transfers out - - - - - -
Total other financing
sources (uses) 18,000 - - - - -
Net change in fund balances (132,932) (46,740) 974,415 (12,472) (3,457,173) 4,706,970
Fund balances, January 1 346,303 467,424 2,591,121 419,976 7,321,741 19,823,694
Fund balances, December 31 $ 213,371 $ 420,684 $ 3,565,536 $ 407,504 $ 3,864,568 $ 24,530,664
90
Special Revenue Funds
Adams County Adams County
Open Space Road &Bridge 136th E911 Total
Sales Tax Sales Tax Avenue GID Authority Special Revenue
$ - $ - $ - $ - $ 9,910,3Z3
- - 152,474 - 152,474
- - - 3,282,279 3,282,279
- - 12,001 - 12,001
1,806,832 5,220,410 - - 8,745,713
- - - - 4,286,057
(181,906) (218,495) (3,086) (39,962) (1,427,675)
- 124,999 - - 273,388
- - - - 13,500
1,624,926 5,126,914 161,389 3,242,317 25,248,060
- - - - 51,300
797,366 4,508,425 - - 12,664,395
- - - - 2,671,253
- - - - 2,993,309
- - - - 3,980
797,366 4,508,425 - - 18,384,237
827,560 618,489 161,389 3,242,317 6,863,823
- - - - 18,000
- - (150,000) (3,000,000) (3,150,000)
- - (150,000) (3,000,000) (3,132,000)
827,560 618,489 11,389 242,317 3,731,823
4,790,Z67 5,636,349 50,551 699,600 42,147,026
$ 5,617,827 $ 6,254,838 $ 61,940 $ 941,917 $ 45,878,849
91
City of Thornton, Colorado
Combining Statement of Revenues, Expenditures, and Changes in Fund Balances (Continued)
Non-Major Governmental Funds
For the year ended December 31, 2022
Capital Funds Total
Total Non-major
TDA South TDA 144th Capital Governmental
Capital Capital Projects Funds
REVENUES
Taxes
Sales and use $ - $ 2,337,220 $ 2,337,220 $ 12,247,543
Property 807,714 2,148,139 2,955,853 3,108,327
E911 - - - 3,282,279
Other - - - 12,001
Intergovernmental - - - 8,745,713
Governmental grants - - - 4,286,057
Investments
Investmentloss (239,831) (337) (240,168) (1,667,843)
Miscellaneous
Developers' contributions - - - 273,388
Other - - - 13,500
Total revenues 567,883 4,485,022 5,052,905 30,300,965
EXPENDITURES
Current
Streets, traffic and engineering - 1,008,570 1,008,570 1,008,570
Community services - - - 51,300
Capital outlay 243,226 - 243,226 12,907,621
Debt service
Principal retirement - 730,000 730,000 3,401,253
Interest - 1,077,494 1,077,494 4,070,803
Bond fees - 2,500 2,500 6,480
Total expenditures 243,226 2,818,564 3,061,790 21,446,027
Excess (deficiency) of revenues
over(under) expenditures
before other sources (uses) 324,657 1,666,458 1,991,115 8,854,938
OTHER FINANCING
SOURCES (USES)
Transfers in - - - 18,000
Transfers out (225,096) (1,466,471) (1,691,567) (4,841,567)
Total other financing
sources (uses) (225,096) (1,466,471) (1,691,567) (4,823,567)
Net change in fund balances 99,561 199,987 299,548 4,031,371
Fund balances, January 1 9,629,120 2,339,085 11,968,205 54,115,231
Fund balances, December 31 $ 9,728,681 $ 2,539,072 $ 12,267,753 $ 58,146,602
92
City of Thornton, Colorado
Thornton Arts, Sciences, and Humanities Council Fund (TASHCO)
Schedule of Revenues, Expenditures, and Changes in Fund Balance- Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Governmental grants $ 68,974 $ 77,264 $ 8,290
Investments
Investment loss - (6,162) (6,162)
Miscellaneous
Other 2,500 766 (1,734)
Total revenues 71,474 71,868 394
EXPENDITURES
Community services 54,284 51,300 2,984
Capital outlay 248,000 171,500 76,500
Total expenditures 302,284 222,800 79,484
Deficiency of revenues
under expenditures (230,810) (150,932) 79,878
OTHER FINANCING SOURCES
Transfers in 18,000 18,000 -
Total other financing sources 18,000 18,000 -
Net change in fund balance $ (212,810) (132,932) $ 79,878
Fund balance, January 1 346,303
Fund balance, December 31 $ 213,371
93
City of Thornton, Colorado
Cash in Lieu Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Investments
Investment earnings (loss) $ 15,800 $ (49,874) $ (65,674)
Miscellaneous
Developers' contributions 500,000 148,389 (351,611)
Other - 3,134 3,134
Total revenues 515,800 101,649 (414,151)
EXPENDITURES
Capital outlay 1,155,042 148,389 1,006,653
Total expenditures 1,155,042 148,389 1,006,653
Net change in fund balance $ (639,242) (46,740) $ 592,502
Fund balance, January 1 467,424
Fund balance, December 31 $ 420,684
94
City of Thornton, Colorado
Conservation Trust Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Intergovernmental - State lottery $ 1,583,000 $ 1,718,471 $ 135,471
Investments
Investment earnings (loss) 18,300 (115,369) (133,669)
Total revenues 1,601,300 1,603,102 1,802
EXPENDITURES
Capital outlay 3,419,978 628,687 2,791,291
Total expenditures 3,419,978 628,687 2,791,291
Net change in fund balance $ (1,818,678) 974,415 $ 2,793,093
Fund balance, January 1 2,591,121
Fund balance, December 31 $ 3,565,536
95
City of Thornton, Colorado
Parks Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance- Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Investments
Investment earnings (loss) $ 5,800 $ (12,472) $ (18,272)
Total revenues 5,800 (12,472) (18,272)
EXPENDITURES
Capital outlay 229,501 - 229,501
Total expenditures 229,501 - 229,501
Net change in fund balance $ (223,701) (12,472) $ 211,229
Fund balance, January 1 419,976
Fund balance, December 31 $ 407,504
96
City of Thornton, Colorado
Open Space Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance- Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Governmental grants $ 3,819,400 $ 42,770 $ (3,776,630)
Investments
Investment earnings (loss) 69,700 (104,730) (174,430)
Miscellaneous
Other - 9,600 9,600
Total revenues 3,889,100 (52,360) (3,941,460)
EXPENDITURES
Capital outlay 9,146,708 3,404,813 5,741,895
Total expenditures 9,146,708 3,404,813 5,741,895
Net change in fund balance $ (5,257,608) (3,457,173) $ 1,800,435
Fund balance, January 1 7,321,741
Fund balance, December 31 $ 3,864,568
97
City of Thornton, Colorado
Parks and Open Space Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance- Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes - sales and use $ 8,412,600 $ 9,910,323 $ 1,497,723
Governmental grants 1,711,900 4,166,023 2,454,123
Investments
Investment earnings (loss) 141,100 (695,619) (836,719)
Total revenues 10,265,600 13,380,727 3,115,127
EXPENDITURES
Capital outlay 24,477,042 3,005,215 21,471,827
Debt service
Principal retirement 2,671,253 2,671,253 -
Interest 2,993,309 2,993,309 -
Bond fees 3,000 3,980 (980)
Total expenditures 30,144,604 8,673,757 21,470,847
Net change in fund balance $ (19,879,004) 4,706,970 $ 24,585,974
Fund balance, January 1 19,823,694
Fund balance, December 31 $ 24,530,664
98
City of Thornton, Colorado
Adams County Open Space Sales Tax Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Intergovernmental $ 1,381,000 $ 1,806,832 $ 425,832
Governmental grants 985,500 - (985,500)
Investments
Investment earnings (loss) 31,100 (181,906) (213,006)
Totalrevenues 2,397,600 1,624,926 (772,674)
EXPENDITURES
Capital outlay 5,266,503 797,366 4,469,137
Total expenditures 5,266,503 797,366 4,469,137
Net change in fund balance $ (2,868,903) 827,560 $ 3,696,463
Fund balance, January 1 4,790,267
Fund balance, December 31 $ 5,617,827
99
City of Thornton, Colorado
Adams County Road and Bridge Sales Tax Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance- Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Intergovernmental $ 4,209,000 $ 5,220,410 $ 1,011,410
Investments
Investment earnings (loss) 83,200 (218,495) (301,695)
Miscellaneous
Developers' contributions - 124,999 124,999
Total revenues 4,292,200 5,126,914 834,714
EXPENDITURES
Capital outlay 7,941,950 4,508,425 3,433,525
Total expenditures 7,941,950 4,508,425 3,433,525
Net change in fund balance $ (3,649,750) 618,489 $ 4,268,239
Fund balance, January 1 5,636,349
Fund balance, December 31 $ 6,254,838
100
City of Thornton, Colorado
136th Avenue General Improvement District Tax Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes
Property $ 155,000 $ 152,474 $ (2,526)
Other - 12,001 12,001
Investments
Investment loss - (3,086) (3,086)
Total revenues 155,000 161,389 6,389
OTHER FINANCING USES
Transfers out (150,000) (150,000) -
Totalotherfinancing uses (150,000) (150,000) -
Net change in fund balance $ 5,000 11,389 $ 6,389
Fund balance, January 1 50,551
Fund balance, December 31 $ 61,940
101
City of Thornton, Colorado
E911 Authority Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes - E911 $ 2,662,000 $ 3,282,279 $ 620,279
Investments
Investment earnings (loss) 4,800 (39,962) (44,762)
Total revenues 2,666,800 3,242,317 575,517
OTHER FINANCING USES
Transfers out (3,000,000) (3,000,000) -
Total other financing uses (3,000,000) (3,000,000) -
Net change in fund balance $ (333,200) 242,317 $ 575,517
Fund balance, January 1 699,600
Fund balance, December 31 $ 941,917
102
City of Thornton, Colorado
Thornton Development Authority South Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance- Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes - property $ 837,000 $ 807,714 $ (29,286)
Investments
Investment earnings (loss) 80,700 (239,831) (320,531)
Totalrevenues 917,700 567,883 (349,817)
EXPENDITURES
Capital outlay 7,012,701 243,226 6,769,475
Total expenditures 7,012,701 243,226 6,769,475
Excess (deficiency) of revenues
over (under) expenditures (6,095,001) 324,657 6,419,658
OTHER FINANCING USES
Transfers out (225,096) (225,096) -
Total other financing uses (225,096) (225,096) -
Net change in fund balance $ (6,320,097) 99,561 $ 6,419,658
Fund balance, January 1 9,629,120
Fund balance, December 31 $ 9,728,681
103
City of Thornton, Colorado
Thornton Development Authority 144th Capital Fund
Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget and Actual
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
REVENUES
Taxes
Sales and use $ 1,871,700 $ 2,337,220 $ 465,520
Property 1,849,400 2,148,139 298,739
Investments
Investment earnings (loss) 9,800 (337) (10,137)
Total revenues 3,730,900 4,485,022 754,122
EXPENDITURES
Streets, traffic and engineering 1,000,000 1,008,570 (8,570)
Debt Service
Principal Retirement 730,000 730,000 -
Interest 1,077,494 1,077,494 -
Bondfees 2,500 2,500 -
Total expenditures 2,809,994 2,818,564 (8,570)
Excess of revenues
over expenditures 920,906 1,666,458 745,552
OTHER FINANCING USES
Transfers out (1,476,471) (1,466,471) 10,000
Total other financing uses (1,476,471) (1,466,471) 10,000
Net change in fund balance $ (555,565) 199,987 $ 755,552
Net position, January 1 2,339,085
Net position, December 31 $ 2,539,072
104
City of Thornton, Colorado
Combining Statements and Budgetary Schedules
Fund Descriptions
Major Enterprise Funds
Enterprise Funds
Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business
enterprises - where the intent of the City Council is that the costs of providing goods or services to the general public on a
continuing basis be financed or recovered primarily through user charges; or where the City Council has decided that
periodic determination of net income is appropriate for accountability purposes.
Water Utility Fund - to account for the provision of water services to residents of the City and some residents of Adams
County.
Sewer Utility Fund - to account for the provision of sewer services to residents of the City and some residents of Adams
County.
105
City of Thornton, Colorado
Water Fund
Schedule of Revenues, Expenses, and Changes in Net Position
Budget and Actual - Non US GAAP Basis
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
OPERATING REVENUES
Charges for services pledged for debt $ 51,693,600 $ 55,379,075 $ 3,685,475
Miscellaneous revenue 113,000 113,489 489
Total operating revenues 51,806,600 55,492,564 3,685,964
OPERATING EXPENSES
Source of supply 7,177,237 7,305,822 (128,585)
Water treatment 12,559,960 13,146,394 (586,434)
Collection, transmission, and distribution 3,793,571 3,900,503 (106,932)
Otheroperating expenses 1,940,354 1,746,362 193,992
Administration 10,840,937 9,940,087 900,850
Total operating expenses 36,312,059 36,039,168 272,891
Operating income 15,494,541 19,453,396 3,958,855
NONOPERATING REVENUES (EXPENSES)
Investment earnings (loss) 2,065,900 (9,041,857) (11,107,757)
Capital outlay (337,920,110) (16,561,053) 321,359,057
Debt service
Principal payment (3,185,000) (3,185,000) -
Interest (3,870,044) (3,870,044) -
Bond fees (2,775) (633) 2,142
Other Principal (leases) - (15,383) (15,383)
Other Interest (leases) - (397) (397)
Royalties 3,500,000 12,497,787 8,997,787
Special Item (mineral rights sale) - 30,691,245 30,691,245
Miscellaneousrevenue 2,541,100 6,799,155 4,258,055
Total nonoperating revenues (expenses) (336,870,929) 17,313,820 354,184,749
Income (loss) before capital contributions and transfers (321,376,388) 36,767,216 358,143,604
Grants and capital contributions 21,991,200 30,412,088 8,420,888
Excess (Deficiency) of revenues over(under)
expenditures before reconciling items $ (299,385,188) 67,179,304 $ 366,564,492
RECONCILIATION TO US GAAP BASIS
Miscellaneous non-cash adjustments (administrative) (62,442)
Miscellaneous non-cash adjustments (ARO) (5,000)
Add back principal payment (debt) 3,185,000
Add back principal payment (leases) 15,383
Change in accrued interest payable 13,271
Gain on sale of capital assets 31,111
Depreciation (10,329,729)
Amortization (leases) (15,540)
Capital asset additions (from the City's capital projects) 16,561,053
Contributed capital assets 4,457,751
Bond deferred premiums amortized 454,720
Total reconciling items 14,305,578
Change in net position 81,484,882
Net position, January 1 859,115,145
Net position, December 31 $ 940,600,027
106
City of Thornton, Colorado
Sewer Fund
Schedule of Revenues, Expenses, and Changes in Net Position
Budget and Actual - Non US GAAP Basis
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
OPERATING REVENUES
Charges for services $ 16,501,700 $ 16,278,144 $ (223,556)
Total operating revenues 16,501,700 16,278,144 (223,556)
OPERATING EXPENSES
Collection, transmission, and distribution 2,784,151 2,576,712 207,439
Sewage treatment-Metro Wastewater 11,928,266 11,928,266 -
Other operating expenses 206,680 187,823 18,857
Administration 1,455,652 1,455,652 -
Total operating expenses 16,374,749 16,148,453 226,296
Operating income 126,951 129,691 2,740
NONOPERATING REVENUES (EXPENSES)
Investment earnings (loss) 122,100 (436,335) (558,435)
Capital outlay (12,593,728) (2,375,847) 10,217,881
Total nonoperating expenses (12,471,628) (2,812,182) 9,659,446
Loss before capital contributions and transfers (12,344,677) (2,682,491) 9,662,186
Capital contributions 1,571,100 2,233,583 662,483
Transfers in 1,114,600 - (1,114,600)
Deficiency of revenues under
expenditures before reconciling items $ (9,658,977) (448,908) $ 9,210,069
RECONCILIATION TO US GAAP BASIS
Miscellaneous non-cash adjustments (14,145)
Gain on sale of capital assets 1,705
Depreciation (2,677,311)
Capital asset additions (from the City's capital projects) 2,375,847
Contributed capital assets 4,036,887
Total reconciling items 3,722,983
Change in net position 3,274,075
Net position, January 1 83,572,751
Net position, December 31 $ 86,846,826
107
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108
City of Thornton, Colorado
Combining Statements and Budgetary Schedules
Fund Descriptions
Non-Major Enterprise Funds
Enterprise Funds
Enterprise Funds are used to account for operations that are financed and operated in a manner similar to private business
enterprises - where the intent of the City Council is that the costs of providing goods or services to the general public on a
continuing basis be financed or recovered primarily through user charges; or where the City Council has decided that
periodic determination of net income is appropriate for accountability purposes.
Environmental Services Fund -to account for rubbish removal and recycling services provided to City residents.
Stormwater Fund - to account for the provision of storm sewer services to residents of the City and some residents of
Adams County.
109
City of Thornton, Colorado
Statement of Net Position
Non-Major Proprietary Funds
December 31, 2022
Business-type Activities
Enterprise Funds
Environmental
Services Stormwater Total
ASSETS
Current assets
Equity in pooled cash and
investments - unrestricted $ 5,265,024 $ 2,339,436 $ 7,604,460
Receivables, net
Accounts 674,386 216,084 890,470
Interest and other receivables 19,608 8,616 28,224
Prepaids and other assets 10,045 6,045 16,090
Total current assets 5,969,063 2,570,181 8,539,244
Noncurrent assets
Collection, transmission, and
distribution - 81,793,506 81,793,506
Transportation equipment 6,143,946 1,929,633 8,073,579
General equipment 403,212 1,184,300 1,587,512
Buildings and improvements 684,752 - 684,752
Less accumulated depreciation (3,659,220) (23,637,037) (27,296,257)
Construction in progress - 2,534,185 2,534,185
Total noncurrent assets 3,572,690 63,804,587 67,377,277
Total assets 9,541,753 66,374,768 75,916,521
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflow related to OPEB 43,196 23,340 66,536
Total deferred outflows of resources 43,196 23,340 66,536
110
Business-type Activities
Enterprise Funds
Environmental
Services Stormwater Total
LIABILITIES
Current liabilities
Accounts payable $ 190,423 $ 252,883 $ 443,306
Retainage payable - 1,672 1,672
Compensated absences 854 2,965 3,819
Total current liabilities 191,277 257,520 448,797
Long-term liabilities
Total OPEB liability 157,591 86,192 243,783
Compensated absences 129,138 89,934 219,072
Total long-term liabilities 286,729 176,126 462,855
Total liabilities 478,006 433,646 911,652
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to OPEB 58,329 31,039 89,368
Total deferred inflows of resources 58,329 31,039 89,368
NET POSITION
Net investment in capital assets 3,572,690 63,802,915 67,375,605
Unrestricted 5,475,924 2,130,508 7,606,432
Total net position $ 9,048,614 $ 65,933,423 $ 74,982,037
111
City of Thornton, Colorado
Statement of Revenues, Expenses and Changes in Net Position
Non-Major Proprietary Funds
For the year ended December 31, 2022
Business-type Activities
Enterprise Funds
Environmental
Services Stormwater Total
OPERATING REVENUES
Charges for services $ 5,952,958 $ 4,398,364 $ 10,351,322
Miscellaneous revenue 43,170 - 43,170
Total operating revenues 5,996,128 4,398,364 10,394,492
OPERATING EXPENSES
Collection, transmission
distribution, and trash removal 3,787,838 1,750,215 5,538,053
Other operating expenses 1,136,414 57,703 1,194,117
Administration 679,034 813,661 1,492,695
Depreciation 833,861 1,773,868 2,607,729
Total operating expenses 6,437,147 4,395,447 10,832,594
Operating income (loss) (441,019) 2,917 (438,102)
NONOPERATING REVENUES
(EXPENSES)
Investment loss (167,690) (77,110) (244,800)
Miscellaneous, net - 5 5
Total nonoperating expenses (167,690) (77,105) (244,795)
Loss before capital
contributions and transfers (608,709) (74,188) (682,897)
Grants and capital contributions - 5,266,503 5,266,503
Change in net position (608,709) 5,192,315 4,583,606
Net position, January 1 9,657,323 60,741,108 70,398,431
Net position, December 31 $ 9,048,614 $ 65,933,423 $ 74,982,037
112
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113
City of Thornton, Colorado
Statement of Cash Flows
Non-Major Proprietary Funds
For the year ended December 31, 2022
Business-type Activities
Enterprise Funds
Environmental
Services Stormwater Total
CASH FLOWS FROM OPERATING
ACTIVITIES
Receipts from customers and others $ 5,940,077 $ 4,352,724 $ 10,292,801
Payments to suppliers (3,159,125) (1,553,381) (4,712,506)
Payments to employees (2,391,894) (1,406,092) (3,797,986)
Net cash provided by operating activities 389,058 1,393,251 1,782,309
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES
Purchases and construction of
capital assets - (747,574) (747,574)
Capital contributions - 121,944 121,944
Net cash used in capital
and related financing activities - (625,630) (625,630)
CASH FLOWS FROM INVESTING
ACTIVITIES
Proceeds from sale of investments 2,409,542 722,101 3,131,643
Purchases of investments (3,704,234) (1,672,880) (5,377,114)
Interest on investments 58,770 24,469 83,239
Net cash used in
investing activities (1,235,922) (926,310) (2,162,232)
Net decrease in cash and
cash equivalents (846,864) (158,689) (1,005,553)
Cash and cash equivalents, Jan. 1 1,844,216 608,781 2,452,997
Cash and cash equivalents, Dec. 31 $ 997,352 $ 450,092 $ 1,447,444
Cash and cash equivalents $ 997,352 $ 450,092 $ 1,447,444
Investments 4,267,672 1,889,344 6,157,016
Total cash and investments 5,265,024 2,339,436 7,604,460
Equity in pooled cash and investments $ 5,265,024 $ 2,339,436 $ 7,604,460
Total cash and investments $ 5,265,024 $ 2,339,436 $ 7,604,460
114
Business-type Activities
Enterprise Funds
Environmental
Services Stormwater Total
RECONCILIATION OF OPERATING
INCOME TO NET
CASH PROVIDED BY (USED IN)
OPERATING ACTIVITIES
Operating income (loss) $ (441,019) $ 2,917 $ (438,102)
Adjustments to reconcile operating
income to net cash provided
by (used in) operating activities:
Depreciation expense 833,861 1,773,868 2,607,729
Miscellaneous receipts - 5 5
Change in assets and liabilities:
Increasein accounts
receivable, net (56,052) (45,645) (101,697)
Decrease (increase) in other assets 3,045 (2,000) 1,045
Decrease in deferred outflows of resources
OPEB Related 16,376 8,772 25,148
Increase (decrease) in
accounts payable 5,684 (345,045) (339,361)
Decrease in OPEB (32,273) (14,849) (47,122)
Increase (decrease) in other liabilities 25,153 (3,138) 22,015
Increase in deferred inflows of resources
OPEB Related 34,283 18,366 52,649
Net cash provided by
operating activities $ 389,058 $ 1,393,251 $ 1,782,309
NON-CASH INVESTING,
CAPITAL AND FINANCING ACTIVITIES:
Investing Activities
Decrease in the fair value of
investments $ (216,235) $ (98,444) $ (314,679)
Stormwater lines contributed by developers - 5,144,559 5,144,559
115
City of Thornton, Colorado
Environmental Services Fund
Schedule of Revenues, Expenses, and Changes in Net Position
Budget and Actual - Non US GAAP Basis
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
OPERATING REVENUES
Charges for services $ 5,934,200 $ 5,952,958 $ 18,758
Miscellaneous revenue 8,000 43,170 35,170
Total operating revenues 5,942,200 5,996,128 53,928
OPERATING EXPENSES
Trash removal 3,841,858 3,787,838 54,020
Other operating expenses 1,039,552 1,136,414 (96,862)
Administration 727,793 635,496 92,297
Total operating expenses 5,609,203 5,559,748 49,455
Operating income 332,997 436,380 103,383
NONOPERATING REVENUES (EXPENSES)
Investment earnings (loss) 51,200 (167,690) (218,890)
Capital outlay (729,696) - 729,696
Total nonoperating expenses (678,496) (167,690) 510,806
Excess (Deficiency) of revenues over (under)
expenditures before reconciling items $ (345,499) 268,690 $ 614,189
RECONCILIATION TO US GAAP BASIS
Miscellaneous non-cash adjustments (43,538)
Depreciation (833,861)
Total reconciling items (877,399)
Change in net position (608,709)
Net position, January 1 9,657,323
Net position, December 31 $ 9,048,614
116
City of Thornton, Colorado
Stormwater Fund
Schedule of Revenues, Expenses, and Changes in Net Position
Budget and Actual - Non US GAAP Basis
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
OPERATING REVENUES
Charges for services $ 4,386,700 $ 4,398,364 $ 11,664
Total operating revenues 4,386,700 4,398,364 11,664
OPERATING EXPENSES
Collection, transmission, and distribution 1,723,677 1,750,215 (26,538)
Other operating expenses 106,055 57,703 48,352
Administration 804,524 804,510 14
Total operating expenses 2,634,256 2,612,428 21,828
Operating income 1,752,444 1,785,936 33,492
NONOPERATING REVENUES (EXPENSES)
Investment earnings (loss) 4,800 (77,110) (81,910)
Capital outlay (6,568,213) (747,573) 5,820,640
Miscellaneous revenue - 5 5
Totalnonoperating expenses (6,563,413) (824,678) 5,738,735
Income (loss) before capital contributions and transfers (4,810,969) 961,258 5,772,227
Capital contributions - 121,944 121,944
Excess (Deficiency) of revenues over(under)
expenditures before reconciling items $ (4,810,969) 1,083,202 $ 5,894,171
RECONCILIATION TO US GAAP BASIS
Miscellaneous non-cash adjustments (9,151)
Depreciation (1,773,868)
Capital asset additions (from the City's capital projects) 747,573
Contributed capital assets 5,144,559
Total reconciling items 4,109,113
Change in net position 5,192,315
Net position, January 1 60,741,108
Net position, December 31 $ 65,933,423
117
City of Thornton, Colorado
Combining Statements and Budgetary Schedules
Fund Descriptions
Internal Service Funds
Internal Service Funds
Internal Service Funds are used to account for the financing of goods or services provided by one department or
agency to other departments or agencies of the City and to other government units, on a cost reimbursement basis.
Risk Management Fund - to account for the costs related to providing the City with a comprehensive program to
manage the City's property, liability and work related injury risk, and to manage the City's self-funded dental and
vision insurance programs.
118
City of Thornton, Colorado
Risk Management Fund
Schedule of Revenues, Expenses, and Changes in Net Position
Budget and Actual - Non US GAAP Basis
For the year ended December 31, 2022
Positive
(negative)
variance
Budget Actual from actual
OPERATING REVENUES
Interfund services $ 17,588,208 $ 18,414,461 $ 826,253
Total operating revenues 17,588,208 18,414,461 826,253
OPERATING EXPENSES
Insurance and related expenses 3,213,339 3,464,077 (250,738)
Claims and reserves for claims 13,586,393 12,736,289 850,104
Administration 647,730 604,537 43,193
Total operating expenses 17,447,462 16,804,903 642,559
Operating income 140,746 1,609,558 1,468,812
NONOPERATING REVENUES (EXPENSES)
Investment earnings (loss) 61,000 (392,116) (453,116)
Miscellaneous revenue 19,792 20,000 208
Total nonoperating revenues (expenses) 80,792 (372,116) (452,908)
Excess of revenues over
expenditures before reconciling items $ 221,538 1,237,442 $ 1,015,904
RECONCILIATION TO US GAAP BASIS
Incurred but not reported adjustment- property casualty 381,948
Incurred but not reported adjustment- worker's compensation 3,492,724
Incurred but not reported adjustment - dental 10,023
Incurred but not reported adjustment - vision 11,580
OPEB liability adjustment (3,277)
Miscellaneous non-cash adjustments (11,721)
Total reconciling items 3,881,277
Change in net position 5,118,719
Net position, January 1, 2,631,159
Net position, December 31 $ 7,749,878
119
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120
OTHER SCHEDULES
121
Financial Planning 02/01
The public report burden for this information collection is estimated to average 380 hours annually. Form#350-050-36
City or County:
Cit of Thornton Colorado
LOCAL HIGHWAY FINANCE REPORT YEAR ENDING:
December 2022
This Information From The Records Of: Prepared By:Susan Nguyn Sum,Accountant
Cit of Thornton Colorado Phone:303-538-7692
I. DISPOSTTION OF HIGHWAY-USER REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE
A. Local B. Local C. Receipts from D. Receipts from
ITEM Motor-Fuel Motor-Vehicle State Hi�hway- Federal Hi�hway
Taxes Taxes User Taxes Administration
L Total recei ts available
2. Minus amount used for collection ex enses
3. Minus amount used for nonhi hwa u oses
4. Minus amount used for mass transit
5. Remainder used for hi hwa u oses
II. RECEIPTS FOR ROAD AND STREET PURPOSES III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES
ITEM AMOUNT ITEM AMOUNT
A. Recei ts from local sources: A. Local hi=hwa disbursements:
1. Local hi hwa -user taxes 1. Ca ital outla from a e 2� 27 694 981
a. Motor Fue1 from Item I.A.S. 2. Maintenance: 3 519 539
b. Motor Vehicle from Item LB.S. 3. Road and street services:
c. Tota1 �a.+b. a. Traffic control o erations 2 109 877
2. General fund a ro riations 0 b. Snow and ice removal 752 847
3. Other local im osts from a e 2 35 713 451 c. Other 2 416 719
4. Miscellaneous local recei ts from a e 2 5 392 367 d. Total a.throu h a 5 279 443
5. Transfers from toll facilities 0 4. General administration&miscellaneous 631 380
6. Proceeds of sale ofbonds and notes: 5. Hi hwa law enforcement and safet 9 217 135
a. Bonds-Ori inal Issues 0 6. Total 1 throu h 5 46 342 478
b. Bonds-Refundin Issues 0 B. Debt service on local obli ations:
a Notes 0 1. Bonds:
d. Tota1 a.+b.+c. 0 a. Interest 34 586
7. Tota1 �l throu h 6 41 105 818 b. Redem tion 833 876
B. Private Contributions 523 766 c. Total �a.+b. 868 462
C. Recei ts from State =overnment 2. Notes:
from a e 2 5 041 260 a. Interest 0
D. Recei ts from Federal Government b. Redem tion 0
from a e 2 540 096 c. Total a.+b. 0
E. Total recei ts A.7+B+C+D 47 210 940 3. Total 1.c+2.c 868 462
C. Pa ments to State for hi=hwa s 0
D. Pa ments to toll facilities 0
E T tal disburs m nts A.6+B +C+D 47 210 940
IV. LOCAL HIGHWAY DEBT STATUS
Show all entries at ar
O enin T Debt Amount Issued Redem tions Closin Debt
A. Bonds Total 833 876 0 833 876 0
1. Bonds Refundin Portion 0 0
B tes Total 0 0 0 0
V. LOCAL ROAD AND STREET FUND BALANCE
A.Be innin Balance B.Total Recei ts C.Total Disbursements D.Endin Balance E.Reconciliation
0 47 210 940 47 210 940 0 0
Notes and Comments:
0
0
0
FORM FHWA-536(Rev.1-OS) PREVIOUS EDITIONS OBSOLETE (Next Page)
122
STATE:
Colorado
LOCAL HIGHWAY FINANCE REPORT Y�AR GNDING:
December 2022
IL RECEIPTS FOR ROAD AND STREET PURPOSES-DETAIL
ITEM AMOUNT ITEM AMOUNT
A.3. Other local im osts: A.4. Miscellaneous local recei ts:
a. Pro ert Taxes and Assessments 27 915 487 a. Interest on inveshnents 369 475
b. Other local im osts: b. Traffic Fines&Penalties 930 603
1. Sales Taxes 0 c. Parkin Gara e Fees 0
2. Infrastructure&Im act Fees 0 d. Parkin Meter Fees 0
3. Liens 0 e. Sale of Su lus Pro ert 0
4. Licenses 0 £ Char es for Services 0
5. S ecific Ownershi &/or Other 7 797 964 . Other Misc.Recei ts 0
6. Total 1.throu h 5. 7 797 964 h. Other 4 092 289
c. Total a.+b. 35 713 451 i. Total a.throu h h. 5 392 367
Ca forward to a e 1 Ca forward to a e 1
ITEM AMOUNT ITEM AMOUNT
C. Recei ts from State Government D. Recei ts from Federal Government
1. Hi hwa -user taxes 4 259 916 1. FHWA from Item I.D.S.`
2. State eneral funds 2. Other Federal a encies:
3. Other State funds: a. Forest Service 0
a. State bond roceeds b. FEMA 0
b. Pro'ect Match c. HUD 0
a Motor Vehicle Re istrations 199 567 d. Federal Transit Admin 0
d.Other S ecif -DOLA Grant 0 e. U.S.Co s of En ineers 0
e. Other S ecif 581 777 f. Other Federal 540 096
£ Total a.throu h e.� 781,344 . Total a.throu h£ 540,096
4. Total 1.+2,+3. 5,04],260 3. Total 1.+2. )
Ca forward to a e 1
III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES-DETAIL
ON NATIONAL OFF NATIONAL
HIGHWAY HIGHWAY TOTAL
SYSTEM SYSTEM
a b c
A.1. Ca ital outla :
a. Ri ht-0f-Wa Costs 0 9 800 9 800
b. En ineerin Costs 826 917 1 408 592 2 235 509
a Construction:
1 . New Facilities 0 22 9 L2 22 912
2 . Ca acit Im rovements 0 18 587 156 18 587 156
3 . S stem Preservation 0 5 951 192 5 951 192
4 . S stem Enhancement&O eration 0 888 412 888 412
5 . Total Construction 1 +2+3 +4 0 25 449 672 25 449 672
d. Total Ca ital Outla Lines l.a.+l.b.+1.a5 826 917 26 868 064 27 694 981
Ca forward to a e 1
Notes and Comments:
FORM FHWA-536(Rev.1-OS) PREVIOUS EDITIONS OBSOLETE
123
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124
STATISTICAL SECTION
This part of the City of Thornton's annual comprehensive financial report presents detailed information as a context for
understanding what the information in the financial statements, note disclosures, and required supplementary information
says about the government's overall financial health.
Contents Page
Financial Trends 125
These schedules contain trend information to help the reader understand how the government's
financial performance and well-being have changed over time.
Revenue Capacity 130
These schedules contain information to help the reader assess the government's most significant
local revenue source, the sales tax.
Debt Capacity 134
These schedules present information to help the reader assess the affordability of the
government's current levels of outstanding debt and the governmenYs ability to issue additional
debt in the future.
Demographic and Economic Information 139
These schedules offer demographic and economic indicators to help the reader understand the
environment within which the governmenYs financial activities take place.
Schedule of Principal Employers 140
The number of employees per business is confidential therefore the City is providing employee
totals by sector.
Operating Information 142
These schedules contain service and infrastructure data to help the reader understand how the
information in the government's financial report relates to the services the government provides
and the activities it performs.
125
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126
City of Thornton,Colorado
Schedule 1
Net Position by Component
(accrual basis of accounting)
Fiscal Year
2013 2014-restated 2015 2016 2017-restated 2018 2019 2020 2021-restated 2022
Governmental activities
Net investment in
capital
assets $ 271,137,481 $ 268,904,561 $ 247,691,323 $ 259,179,659 $ 289,933,156 $ 297,988,545 $ 288,245,136 $ 287,482,862 $ 301,540,850 $ 339,517,710
Restricted 5,360,319 5,528,730 8,062,689 8,241,309 40,196,389 70,807,361 37,653,387 63,312,275 60,665,189 72,933,609
Unrestricted 85,077,988 89,976,356 123,804,451 125,530,515 80,883,896 74,950,117 109,771,204 99,655,069 126,072,830 139,942,879
Total governmental
activities
netposition $ 361,575,788 $ 364,409,647 $ 379,558,463 $ 392,951,483 $ 411,013,441 $ 443,746,023 $ 435,669,727 $ 450,450,206 $ 488,278,869 $ 552,394,198
Business-type activities
Net investment in
capital
assets $ 508,956,512 $ 532,249,683 $ 543,600,154 $ 560,279,776 $ 579,737,175 $ 611,217,991 $ 713,190,231 $ 697,623,613 $ 751,240,496 $ 773,566,597
Restricted 6,480,661 5,665,074 2,976,894 2,980,644 3,097,447 - - - - -
Unrestricted 104,008,361 98,346,597 113,397,141 139,927,331 166,787,828 190,174,759 189,266,660 262,357,773 261,845,831 328,862,293
Total business-type
activities
netposition $ 619,445,534 $ 636,261,354 $ 659,974,189 $ 703,187,751 $ 749,622,450 $ 801,392,750 $ 902,456,891 $ 959,981,386 $ 1,013,086,327 $ 1,102,428,890
Primary government
Net investment in
capital
assets $ 780,093,993 $ 801,154,244 $ 791,291,477 $ 819,459,435 $ 869,670,331 $ 909,206,536 $ 1,001,435,367 $ 985,106,475 $ 1,052,781,346 $ 1,113,084,307
Restricted 11,840,980 11,193,804 11,039,583 11,221,953 43,293,836 70,807,361 37,653,387 63,312,275 60,665,189 72,933,609
Unrestricted 189,086,349 188,322,953 237,201,592 265,457,846 247,671,724 265,124,876 299,037,864 362,012,842 387,918,661 468,805,172
Total primary
government
net position $ 981,021,322 $ 1,000,671,001 $ 1,039,532,652 $ 1,096,139,234 $ 1,160,635,891 $ 1,245,138,773 $ 1,338,126,618 $ 1,410,431,592 $ 1,501,365,196 $ 1,654,823,088
Source: Current and prior year's financial statements.
127
City of Thornton,Colorado
Schedule 2
Changes in Net Position
(accrual basis of accounting)
Fiscal Year
Expenses 2013 2014-restated 2015 2016 2017-restated 2018 2019 2020 2021-restated 2022
Governmental activities:
Generalgovernment $ 20,193,979 $ 17,112,300 $ 18,362,528 $ 21,317,628 $ 21,298,512 $ 20,132,128 $ 36,684,800 $ 45,830,438 $ 35,702,297 $ 37,954,100
Police 28,044,137 29,873,901 30,700,874 32,573,830 39,488,938 41,095,050 37,984,510 41,367,619 43,491,003 43,658,172
Fire 12,758,169 16,496,326 14,323,859 18,718,470 19,276,932 17,169,938 19,329,627 23,152,345 27,476,823 26,946,828
Citydevelopment 14,459,695 15,709,881 15,937,319 16,511,773 18,300,626 17,541,537 16,307,495 11,029,371 11,517,896 13,235,902
Streets,traffic&eng. 36,991,096 29,021,305 33,558,931 33,737,170 33,728,799 32,562,600 41,806,524 42,049,922 36,432,653 36,323,712
Community services 22,066,524 26,714,095 27,788,576 26,938,495 32,799,109 33,151,759 30,208,698 36,564,491 42,131,617 37,857,779
Interest on long-term debt 2,643,404 2,686,272 2,756,646 2,706,046 2,442,527 2,515,628 4,654,459 4,962,721 4,972,854 4,639,875
Total government activities
expenses 137,157,004 137,614,080 143,428,733 152,503,412 167,335,443 164,168,640 186,976,113 204,956,907 201,725,143 200,616,368
Business-type activities
Water 32,722,025 33,600,763 35,912,922 34,885,132 36,467,628 38,867,160 44,118,390 47,840,352 50,054,147 49,849,565
Sewer 12,254,003 13,380,812 13,721,652 15,011,361 14,206,094 21,447,839 16,670,678 16,432,487 15,224,680 18,839,909
Environmental Services 4,454,606 4,525,051 4,801,905 4,729,623 5,120,014 5,199,016 5,833,459 6,010,614 6,182,690 6,437,147
Golf 1,227,092 1,653,285 - - - - - - - -
Stormwater - - - - - - 3,074,617 3,698,035 4,251,908 4,395,447
Total business-type
activities expenses 50,657,726 53,159,911 54,436,479 54,626,116 55,793,736 65,514,015 69,697,144 73,981,488 75,713,425 79,522,068
Total primary government
expenses $ 187,814,730 $ 190,773,991 $ 197,865,212 $ 207,129,528 $ 223,129,179 $ 229,682,655 $ 256,673,257 $ 278,938,395 $ 277,438,568 $ 280,138,436
Progra m Revenues
Governmental activities:
Charges for services:
General government $ 4,624,849 $ 4,188,565 $ 4,923,991 $ 4,879,909 $ 4,730,914 $ 4,952,737 $ 9,396,628 $ 8,153,917 $ 8,713,494 $ 8,138,798
Police 2,699,807 2,538,093 1,964,945 1,284,687 1,717,764 2,346,799 2,357,553 1,696,738 1,967,445 1,596,231
Fire 1,617,997 1,693,145 1,887,235 2,350,600 2,622,926 2,530,075 3,271,005 4,568,578 4,497,690 5,139,561
City Development 2,607,403 3,339,238 4,061,961 4,899,797 7,540,989 6,586,129 6,456,272 6,092,697 7,003,195 6,651,209
Community Services 2,887,552 2,977,761 4,634,472 4,618,949 3,038,920 3,917,705 5,323,552 3,496,636 6,235,619 7,522,478
Operating grants/contrib. 5,704,876 6,461,838 5,958,882 5,941,237 6,322,021 8,068,103 9,442,526 18,800,681 10,558,945 10,135,553
Capital grants/contrib. 12,577,779 11,965,768 16,368,314 20,359,352 27,183,807 25,890,689 32,388,427 18,800,873 22,125,244 33,432,417
Total government activities
program revenues 32,720,263 33,164,408 39,799,800 44,334,531 53,157,341 54,292,237 68,635,963 61,610,120 61,101,632 72,616,247
Business-type activities:
Charges for services:
Water 28,765,602 29,003,515 34,348,429 42,610,157 45,776,729 47,875,449 47,009,075 53,413,467 50,707,873 55,379,075
Sewer 12,645,386 13,105,689 14,191,006 14,388,579 15,128,165 15,092,464 15,466,882 15,838,431 16,210,386 16,278,144
Environmental Services 4,900,812 4,888,248 5,024,225 5,109,703 5,292,541 5,416,199 5,548,190 5,718,387 5,871,538 5,952,958
Golf 1,282,893 1,368,959 - - - - - - - -
Stormwater - - - - - - 3,001,616 4,181,998 4,290,048 4,398,364
Capital grants/contrib. 9,205,225 10,855,812 15,915,139 29,850,742 30,493,138 35,361,778 43,034,895 37,577,921 32,396,597 46,406,812
Total business-type activities
program revenues 56,799,918 59,222,223 69,478,799 91,959,181 96,690,573 103,745,890 114,060,658 116,730,204 109,476,442 128,415,353
Total primary government
program revenues $ 89,520,181 $ 92,386,631 $ 109,278,599 $ 136,293,712 $ 149,847,914 $ 158,038,127 $ 182,696,621 $ 178,340,324 $ 170,578,074 $ 201,031,600
128
Fiscal Year
2013 2014-restated 2015 2016 2017-restated 2018 2019 2020 2021-restated 2022
Net(expense)/revenue
Governmental activities $ (104,436,741) $ (104,449,672) $ (103,628,933) $ (108,168,881) $ (114,178,102) $ (109,876,403) $ (118,340,150) $ (143,346,787) $ (140,623,511) $ (128,000,121)
Business-type activities 6,142,192 6,062,312 15,042,320 37,333,065 40,896,837 38,231,875 44,363,514 42,748,716 33,763,017 48,893,285
Total primary government
net expense $ (98,294,549) $ (98,387,360) $ (88,586,613) $ (70,835,816) $ (73,281,265) $ (71,644,528) $ (73,976,636) $(100,598,071) $(106,860,494) $ (79,106,836)
General Revenues and Other
Changes in Assets
Governmental activities
Taxes
Sales and use taxes $ 78,188,772 $ 84,024,928 $ 91,975,491 $ 96,446,874 $ 104,489,333 $ 110,306,247 $ 110,473,089 $ 113,669,743 $ 135,088,230 $ 147,877,508
Property taxes 11,858,574 12,046,479 12,571,291 14,503,019 14,798,204 17,448,489 20,335,200 29,247,725 29,499,614 32,544,945
Othertaxes 8,157,151 8,693,260 8,612,126 8,873,989 9,547,866 10,050,848 10,249,895 9,744,229 12,650,458 14,072,699
Loss on investments 206,456 960,404 1,513,417 56,183 1,748,964 3,195,518 6,391,532 2,797,470 (793,395) (7,631,404)
Gain on sale of assets - 206,932 152,381 188,110 148,555 - 31,958 - - -
Miscellaneous 1,663,472 1,762,781 2,186,632 1,493,726 1,507,138 1,607,883 1,913,175 4,906,366 2,031,160 2,401,016
Special Item - - - - - - - - - 2,850,686
Transfers - (411,253) 1,766,411 - - - (39,130,995) (2,238,267) (23,893) -
Total governmental activities 100,074,425 107,283,531 118,777,749 121,561,901 132,240,060 142,608,985 110,263,854 158,127,266 178,452,174 192,115,450
Business-type activities
Investmentloss 553,078 2,012,676 1,553,374 948,963 1,537,970 2,981,846 6,384,386 4,502,457 (1,284,819) (9,722,992)
Gain on sale of assets 16,259 942,423 5,038,541 722,012 221,759 202,890 2,430,704 3,994,650 5,972,256 32,816
Royalties' - - - - - - - - 8,896,723 12,497,787
Miscellaneous 2,750,108 7,387,156 3,845,011 4,209,522 3,778,133 10,353,689 8,754,542 4,040,405 5,733,871 6,950,422
SpecialItem - - - - - - - - - 30,691,245
Transfers - 411,253 (1,766,411) - - - 39,130,995 2,238,267 23,893 -
Total business-type activities 3,319,445 10,753,508 8,670,515 5,880,497 5,537,862 13,538,425 56,700,627 14,775,779 19,341,924 40,449,278
Total primary government $ 103,393,870 $ 118,037,039 $ 127,448,264 $ 127,442,398 $ 137,777,922 $ 156,147,410 $ 166,964,481 $ 172,903,045 $ 197,794,098 $ 232,564,728
Change in Net Position
Governmentalactivities $ (4,362,316) $ 2,833,859 $ 15,148,816 $ 13,393,020 $ 18,061,958 $ 32,732,582 $ (8,076,296) $ 14,780,479 $ 37,828,663 $ 64,115,329
Business-typeactivities 9,461,637 16,815,820 23,712,835 43,213,562 46,434,699 51,770,300 101,064,141 57,524,495 53,104,941 89,342,563
Totalprimarygovernment $ 5,099,321 $ 19,649,679 $ 38,861,651 $ 56,606,582 $ 64,496,657 $ 84,502,882 $ 92,987,845 $ 72,304,974 $ 90,933,604 $ 153,457,892
Notes: In the 2014 original presentation, loss on land held for resale was netted in General Government expenditures,with the 2016 presentation it is netted in investment
1. For years 2020 and before royalties revenue was within miscellaneous. 2021 and beyond roaylties revenue will be reported as a separate line item.
Source: Current and prior year's financial statements.
129
City of Thornton,Colorado
Schedule 3
Fund Balances of Governmental Funds
(modified accrual basis accounting)
FiscalYear
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
General Fund
Nonspendable $ 276,656 $ 256,407 $ 224,102 $ 252,741 $ 247,410 $ 130,616 $ 114,577 $ 78,387 $ 115,013 $ 593,668
Restricted 4,241,641 4,472,701 4,926,372 5,170,463 5,384,063 5,892,808 6,295,661 6,663,749 7,497,378 8,086,353
Committed 16,760,292 18,196,555 19,138,386 20,990,233 22,028,000 23,127,000 25,138,000 25,186,000 27,955,000 31,025,176
Unassigned 11,628,514 10,190,182 519,210 922,130 9,613,998 10,128,234 19,744,899 19,907,001 41,630,276 39,970,888
Total general fund $32,907,103 $33,115,845 $ 24,808,070 $ 27,335,567 $ 37,273,471 $ 39,278,658 $ 51,293,137 $ 51,835,137 $ 77,197,667 $ 79,676,085
All other governmental funds
Nonspendable $15,951,159 $15,220,076 $ 1,985,873 $ - $ - $ - $ - $ - $ - $ 4,812
Restricted 1,742,501 1,644,923 3,759,428 39,383,427 34,812,326 68,483,103 40,138,102 62,004,594 45,000,273 50,238,647
Committed 1,137,543 1,137,043 1,000,000 2,659 - - - - - -
Assigned 68,087,596 78,963,732 110,090,600 79,603,850 64,976,510 74,674,244 58,271,816 60,199,162 59,508,718 66,609,381
Unassigned (25,188,697) (25,330,792) - - - - - - - -
Total all other
governmental funds $61,730,102 $71,634,982 $ 116,835,901 $ 118,989,936 $ 99,788,836 $ 143,157,347 $ 98,409,918 $ 122,203,756 $ 104,508,991 $ 116,852,840
Source: Current and prior year's financial statements.
130
City of Thornton,Colorado
Schedule 4
Changes in Fund Balances of Governmental Funds
(modified accrual basis of accounting)
Fiscal Year
2013 2014 2015 2016 2017 2018 2019 2020 2021-restated 2022
Revenues
Taxes $ 98,204,497 $ 104,764,667 $ 113,158,908 $ 119,823,882 $ 128,835,403 $ 137,805,584 $ 141,058,184 $ 152,661,697 $ 177,238,302 $ 194,495,152
Licensesand permits 2,602,394 3,316,530 4,031,530 4,959,615 7,623,869 6,600,980 6,478,463 6,131,257 7,011,036 6,708,666
Intergovernmental 12,931,228 13,628,297 13,782,495 14,704,196 14,829,335 17,671,923 17,990,353 18,228,395 19,188,941 21,725,379
Governmental grants 5,348,856 3,456,132 5,120,376 4,653,577 4,296,608 5,184,780 3,905,434 16,094,122 4,578,933 10,636,649
Chargesforservices 8,952,084 8,652,264 11,224,156 11,295,406 9,690,537 10,733,941 17,452,032 15,570,267 19,127,279 20,464,371
Fines and forfeitures 2,597,693 2,452,610 1,833,930 1,249,962 1,662,594 2,198,926 2,230,512 1,540,140 1,562,823 1,200,599
Lease 207,581 207,213 207,710 207,792 207,648 175,551 175,701 175,889 175,648 30,072
Investmentloss 206,456 960,404 1,513,417 56,183 1,748,964 3,195,518 6,391,532 2,797,470 (793,395) (7,631,404)
Miscellaneous 1,077,349 1,090,416 1,220,633 874,594 1,380,925 2,438,256 1,488,837 5,794,929 1,952,040 2,404,963
Totalrevenues 132,128,138 138,528,533 152,093,155 157,825,207 170,275,883 186,005,459 197,171,048 218,994,166 230,041,607 250,034,447
Expenditures
Generalgovernment 17,735,112 14,231,242 16,347,304 17,574,494 19,108,028 19,130,535 32,344,427 31,921,508 34,677,430 38,615,549
Police 26,345,134 27,567,650 28,867,622 30,733,098 36,305,515 39,539,105 37,937,011 39,208,799 41,324,207 44,176,348
Fireand Ambulance 12,195,742 13,070,907 13,630,141 15,123,637 17,693,181 19,272,739 19,750,199 20,734,126 25,070,216 26,776,865
Citydevelopment 7,010,772 7,836,797 8,289,288 8,456,322 9,265,248 10,391,186 9,347,955 9,291,154 9,250,922 9,725,080
Streets,traffic and engineering 11,105,807 11,738,019 12,713,416 12,730,210 13,524,537 14,343,779 15,122,054 13,216,978 15,636,030 16,463,430
Com munityservices 16,521,970 17,730,163 20,628,287 21,378,664 20,553,513 23,460,086 22,017,406 20,964,588 23,334,148 26,841,337
Capitaloutlay 30,090,513 29,792,607 36,650,789 38,277,166 54,287,245 75,174,464 83,093,427 73,985,088 59,844,258 62,570,434
Debt service
Principal retirement 4,985,000 5,160,000 4,580,000 6,210,000 6,410,000 6,098,539 6,224,347 7,663,858 8,098,939 8,966,463
Interest 2,681,595 2,690,626 2,462,975 2,883,894 2,643,547 2,373,332 5,281,123 5,724,112 5,573,189 5,234,669
Bondfees 1,700 3,571 244,061 6,850 4,196 6,755 8,809 6,755 8,755 11,480
Bond issuance costs - - 168,985 - - 541,368 - 511,526 - -
TotalExpenditures 128,673,345 129,821,582 144,582,868 153,374,335 179,795,010 210,331,888 231,126,758 223,228,492 222,818,094 239,381,655
Excess(deficiency)of revenues
over(under)expenditures 3,454,793 8,706,951 7,510,287 4,450,872 (9,519,127) (24,326,429) (33,955,710) (4,234,326) 7,223,513 10,652,792
Other financing sources(uses)
Transfersin 3,532,854 10,043,738 14,482,662 5,672,765 9,298,637 9,287,257 7,347,294 7,183,995 7,761,827 9,058,934
Transfers out (3,532,854) (8,932,377) (14,259,537) (5,672,765) (9,298,637) (9,341,044) (6,313,547) (9,248,912) (7,761,827) (9,058,934)
Bondsissued - - 41,480,000 - - 69,536,852 - 26,785,000 - -
Premium on bonds issued - - 3,187,135 - - - - 3,745,451 - -
Pymnts to underwriter on bonds issued - - (15,805,000) - - - - - - -
Capital lease acquisition - - - - - - - - - 1,218,908
Sales of capital assets - 295,310 297,597 230,660 255,931 217,062 189,013 104,630 391,944 99,881
Total other financing
sources(uses) - 1,406,671 29,382,857 230,660 255,931 69,700,127 1,222,760 28,570,164 391,944 1,318,789
Special item
Proceeds from sale of mineral rights - - - - - - - - - 2,850,686
Netchangeinfund balances $ 3,454,793 $ 10,113,622 $ 36,893,144 $ 4,681,532 $ (9,263,196) $ 45,373,698 $ (32,732,950) $ 24,335,838 $ 7,615,457 $ 14,822,267
Debt service as a percentage
of noncapital expenditures 6.2% 6.6% 5.5% 6.6% 6.0% 5.4% 6.5% 7.2% 7.3% 7.3%
Note: In the 2014 original presentation, loss on land held for resale was netted in General Government expenditures,with the 2016 presentation it is netted in investment earnings.
Source: Current and prior year's financial statements.
131
City of Thornton, Colorado
Schedule 5
General Government Tax and Assessment Revenues by Source'
Specific
Fiscal Sales Motel Use Property ownership Franchise Cigarette
Year tax tax tax tax tax tax tax Total
2013 $ 53,221,042 $ 839,638 $ 13,311,291 $ 9,045,633 $ 697,464 $ 5,258,367 $ 216,756 $ 82,590,191
2014 56,379,978 1,058,019 15,782,478 9,137,579 753,402 5,521,208 201,573 88,834,237
2015 60,194,735 1,124,700 19,200,063 9,233,929 836,278 5,308,812 198,949 96,097,466
2016 61,544,769 1,179,445 20,895,946 10,681,366 925,272 5,387,163 199,494 100,813,455
2017 62,613,775 1,260,891 26,085,453 10,826,288 1,093,409 5,809,945 193,693 107,883,454
2018 68,650,875 1,320,551 29,049,758 13,124,438 1,194,177 6,117,914 185,622 119,643,335
2019 79,272,131 1,457,730 24,178,694 13,575,713 1,177,076 6,195,392 181,998 126,038,734
2020 83,627,429 924,955 22,641,658 16,537,713 1,325,554 6,011,074 239,902 131,308,285
2021 95,919,026 1,591,445 31,105,765 16,826,865 1,506,180 6,387,943 190,268 153,527,492
2022 106,674,390 1,941,416 31,113,792 18,003,374 1,437,486 7,288,978 28,290 166,487,726
1 Revenues from the General, Parks, Open Space, Parks and Open Space, Governmental Capital, TDA North and TDA 144th Capital Funds (excluding
revenue pledged for debt service on the Series 2015 and Series 2015B Tax Increment Bonds).
Source: City of Thornton Finance Department
132
City of Thornton, Colorado
Schedule 6
Sales Tax Revenue by Type of Industry
Tota I
Restaurants Direct
Fiscal General Electric& Furniture& Liquor& Telecomm. & Total Taxl,Z
Year Merchandise Grocery Natural Gas Automotive Construction Electronics Food Service Cable Utility All Other Sales Tax Rate
2013 $ 16,575,442 $ 7,807,324 $ 3,556,124 $ 3,530,698 $ 2,788,722 $ 3,104,647 $ 7,700,137 $ 4,740,332 $ 1,514,293 $ 51,317,719 3.75
2014 16,894,260 8,405,616 3,654,939 3,819,125 3,350,827 3,856,016 8,345,741 5,054,112 1,716,548 55,097,184 3.75
2015 17,356,120 8,723,066 3,499,658 4,276,950 4,194,684 4,366,301 9,067,627 4,955,275 1,915,447 58,355,128 3.75
2016 18,154,195 8,954,343 3,378,819 4,877,990 4,427,382 4,906,621 9,227,279 5,613,605 2,004,535 61,544,769 3.75
2017 18,341,139 9,149,265 3,478,793 4,881,463 4,839,698 4,384,954 9,721,763 5,496,744 2,319,956 62,613,775 3.75
2018 21,008,470 9,695,714 3,601,649 5,204,670 5,785,369 6,006,502 10,257,476 4,610,663 2,480,362 68,650,875 3.75
2019 28,565,769 10,046,758 3,771,659 5,711,395 6,589,401 4,901,396 11,732,720 4,422,165 3,530,868 79,272,131 3.75
2020 31,039,638 10,722,258 3,723,885 5,700,495 7,190,528 5,492,629 12,388,526 3,951,818 3,417,652 83,627,429 3.75
2021 37,336,448 10,611,147 4,189,337 6,502,721 7,947,253 6,404,478 14,950,390 3,837,870 4,139,382 95,919,026 3.75
2022 42,674,792 12,041,035 4,992,838 7,258,110 8,868,275 6,551,781 15,817,791 3,778,632 4,691,136 106,674,390 3.75
1 Marijuana and related products sold at retail subject to additional 5% special sales tax.
z Sales tax rate within Denver Premium Outlet shopping area is 2.35%.
Source: City of Thornton Sales and Use Tax Reports
133
City of Thornton, Colorado
Schedule 7
Direct and Overlapping Sales Tax Rates
Overlapping Rates
Ra pi d Tota I
Total Direct Transit Cultural Football Overlapping
Fiscal City of Sales Tax State of Adams District Facilities Stadium Sales Tax
Year Thornton Rate Colorado County RTD District District Rate
2013 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2014 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2015 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2016 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2017 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2018 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2019 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2020 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2021 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
2022 3.75% 3.75% 2.90% 0.75% 1.00% 0.10% 0.00% 8.50%
Source: City of Thornton Sales and Use Tax Reports
Note: Additional 10% Colorado sales tax on recreational use marijuana and additional 5% City sales tax on marijuana and related products sold at retail.
134
City of Thornton,Colorado
Schedule 8
Principal Sales Taxpayers
Fiscal Year
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Aggregate top ten filers' $ 24,561,715 $ 25,511,695 $ 26,511,596 $ 27,750,234 $ 28,899,319 $ 29,705,410 $ 33,553,048 $ 36,736,395 $ 40,657,228 $ 46,367,619
Aggregate all other filers 26,756,004 29,585,489 31,843,532 33,794,535 33,714,456 38,945,465 45,719,083 46,891,034 55,261,798 60,306,771
Total sales tax $ 51,317,719 $ 55,097,184 $ 58,355,128 $ 61,544,769 $ 62,613,775 $ 68,650,875 $ 79,272,131 $ 83,627,429 $ 95,919,026 $ 106,674,390
Top ten filers as a
percentage of total sales 47.9% 46.3% 45.4% 45.1% 46.2% 43.3% 42.3% 43.9% 42.4% 43.5%
1 Colorado State Statues and City of Thornton Ordinances prohibit disclosure of individual sales tax returns.
Source: City of Thornton Sales and Use Tax Reports
135
City of Thornton,Colorado
Schedule 9
Ratios of Outstanding Debt by Type
Governmental Activities Business-Type Activities
Sales and Tax Certificates General Notes and Total Percentage
Fiscal Use Tax Increment of Obligation Revenue Loan Primary of Personal Per
Year Bonds Bonds Participation Leases Bonds Bonds Payable Leases Government Incomel Capital
2013 $ 8,065,000 $ 16,545,000 $ 27,295,000 $ - $ 16,175,000 $ 39,955,000 $ 79,160 $ - $ 108,114,160 3.3% $ 882
2014 6,555,000 15,805,000 24,385,000 - 8,045,000 39,475,000 41,284 - 94,306,284 2.9% 763
2015 5,000,000 41,480,000 21,360,000 - - 38,955,000 - - 106,795,000 3.0% 811
2016 3,635,796 42,989,472 18,123,982 - - 40,519,469 - - 105,268,719 2.8% 785
2017 1,839,451 41,317,224 14,884,985 - - 38,898,452 - - 96,940,112 2.5°/ 705
2018 - 39,584,976 81,639,055 547,937 - 37,232,435 - - 159,004,403 3.8% 1,132
2019 - 37,812,728 76,932,351 433,591 - 35,506,418 - - 150,685,088 3.3°/ 1,048
2020 - 35,990,480 102,177,378 314,733 - 124,027,834 - - 262,510,425 5.5% 1,793
2021 - 34,103,232 95,627,593 753,725 - 120,662,825 - - 251,147,375 5.3% 1,717
2022 - 32,155,984 88,792,808 1,100,271 - 116,907,816 - 46,765 239,003,644 4.6% 1,608
'See Schedule 14 for personal income and population data.
Note: Details regarding the City's outstanding debt can be found in the notes to
the financial statements.
Note: For years 2016 and forward debt balances are net of related premiums and discounts
Note: Increase in leases in 2022 related to the adoption of GASB 87-Leases standard
Source: Current and prior year's financial statements.
136
City of Thornton, Colorado
Schedule 10
Ratios of General Bonded Debt Outstanding
Percentage of
Estimated
General Less: Amounts Actual Taxable
Fiscal Obligation Available in Debt Value of Per
Year Bonds Service Fund Total Property Capital
2013 $ 16,175,000 $ - $ 16,175,000 1.79% $ 132
2014 8,045,000 - 8,045,000 0.88% 65
2015 - - - 0.00% -
2016 - - - 0.00% -
2017 - - - 0.00% -
2018 - - - 0.00% -
2019 - - - 0.00% -
2020 - - - 0.00% -
2021 - - - 0.00% -
2022 - - - 0.00% -
1 See Schedule 14 for population data.
Note: Details regarding the City's outstanding debt can be found in the
notes to the financial statements.
Note: For years 2016 and forward debt balances are net of related premiums and discounts
Source: Current and prior year's financial statements.
137
City of Thornton,Colorado
Schedule 11
Direct and Overlapping Governmental Activities Debt
As of December 31, 2022
Percentage
Assessed Debt Applicable Estimated Share
Entity (1) Valuation (2) Outstanding to the City (3) of Overlapping Debt
City of Thornton direct debt $ 122,049,063
Overlapping Debt
Adams 12 Five Star School District $ 2,946,850,320 $ 407,780,000 47.98 195,652,844
Adams County School District 1 988,197,850 120,110,000 16.26 19,529,886
Adams County School District 14 993,241,240 63,997,398 4.27 2,732,689
Amber Creek Metropolitan District 15,587,940 19,604,829 100.00 19,604,829
Aspen Reserve Metropolitan District 4,890,920 3,492,000 100.00 3,492,000
Brighton School District 27J 2,475,806,980 905,644,348 11.29 102,247,247
Bramming Farm Metropolitan District No. 1 4,678,190 3,830,000 100.00 3,830,000
Cherrylane Metropolitan District 4,298,130 3,864,000 100.00 3,864,000
Creekside Village Metropolitan District 2,374,700 11,502,000 100.00 11,502,000
Cundall Farms Metropolitan District 13,655,330 13,497,000 100.00 13,497,000
Fallbrook Metropolitan District 22,054,460 560,000 100.00 560,000
Heritage Todd Creek Metropolitan District 47,894,400 35,159,175 100.00 35,159,175
Highpointe Park Metropolitan District 9,210,670 6,991,000 100.00 6,991,000
Homestead Hills Metropolitan District 2,946,670 2,942,000 100.00 2,942,000
Lambertson Lakes Metro District 21,011,430 2,050,000 100.00 2,050,000
Larkridge Metropolitan District No. 1 24,652,700 12,375,000 100.00 12,375,000
Larkridge Metropolitan District No. 2 15,970,540 15,270,000 100.00 15,270,000
Lewis Pointe Metropolitan District 15,434,450 9,762,949 100.00 9,762,949
Mayfield Metropolitan District 8,296,970 9,753,136 100.00 9,753,136
North Holly Metropolitan District 12,596,020 14,304,625 100.00 14,304,625
North Metro Fire Rescue FKA Fire Dist. 1 666,193,490 7,290,000 0.28 20,412
Orchard Farms Metropolitan District 15,334,050 14,165,000 100.00 14,165,000
PLA Metropolitan District 3,858,870 635,000 100.00 635,000
Rangeview Library District 7,517,36Z,920 73,190,650 25.23 18,466,001
RII-DII Business Improvement District 14,943,590 7,797,974 100.00 7,797,974
Talon Pointe Metropolitan District 8,847,530 23,910,000 100.00 23,910,000
Timberleaf Metropolitan District 3,256,260 7,697,000 100.00 7,697,000
Village at Dry Creek Metro No 2 26,838,840 14,937,000 100.00 14,937,000
Villas at Eastlake Reservoir Metro District 4,125,360 2,570,000 100.00 2,570,000
Westwood Metropolitan District 20,660 8,100,000 100.00 8,100,000
Willow Bend Metropolitan District 11,439,510 16,455,000 100.00 16,455,000
Subtotal, overlapping debt $ 599,873,767
Total direct and overlapping debt $ 721,922,830
(1) The following entities also overlap the City but have no reported general obligation debt outstanding:
Adams County
Adams County Fire Protection District Regional Transportation District
Ash Meadows Metropolitan District River Valley Village Metropolitan District
Brittany Place Metropolitan District Riverdale Peaks II Metropolitan District
Central Colorado Water Conservancy Riverdale Ranch Metropolitan District
City of Thornton 136th Ave GID South Adams County Fire Protection District
Eastcreek Farm Metropolitan District South Adams Water and Sanitation District
Fire District 6 Greater Brighton Talon Pointe Coordinating Metro District
Home Place Metropolitan District The Village at North Creek Metropolitan District
Hyland Hills Metro Park&Recreation -Urban Drainage and Flood Control District
Lees Farm Metropolitan District Urban Drainage and Flood Control District- S. Platte
North End Metropolitan Districts Village at Dry Creek Metro Districts No 1, 3-4
North Metro Fire Bond (FKA FD1B) Wright Farms Metropolitan District
North Washington Water and Sanitation District York Street Metropolitan District
Parterre Metropolitan Districts
(2) Assessed values certified in 2021 are for collection of ad valorem property taxes in 2022.
�3� The percentage of each entity's outstanding debt chargeable to the City is calculated by comparing the assessed
valuation of the portion overlapping the City to the total assessed valuation of the overlapping entity. To the extent the
City's assessed valuation changes disproportionately with the assessed valuation of overlapping entities, the percentage
of debt for which property owners within the City are responsible will also change.
Sources: Adams County Assessor's office and individual taxing entities.
Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the City.
138
City of Thornton,Colorado
Schedule 12
Legal Debt Margin Information
Fiscal Year
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Debt Limit' $ 90,471,515 $ 91,397,034 $ 106,189,059 $ 107,150,843 $ 129,656,445 $ 133,967,394 $ 164,035,556 $ 166,486,507 $ 177,525,237 $ 176,355,177
Total net debt
applicable to limit - - - - - - - - - 1,147,036
Legal debt margin $ 90.471,515 $ 91,397.034 $ 106,189,059 $ 107.150.843 $ 129,656,445 $ 133.967.394 $ 164,035,556 $ 166.486.507 $ 177,525,237 $ 177,502.213
Total net debt
applicable as a
percentage of debt - - - - - - - - - 0.65%
limit
Legal Debt Margin Calculation for Fiscal Year 2022
Assessed Value $1,763,551,770
Debtlimit(10%oftotalassessed value)1 176,355,177
Debt applicable to limit
Generel obligation bonds -
Less:Amount set aside for repayment of
RTU-lease obligations 1,147,036
Less:Amount set aside for repayment of
general obligation debt -
Total net debt applicable to limit 1,147,036
Legal debt margin � 175.208.141
1 Per the City of Thornton Charter,the City's general obligation debt should not exceed 10 percent of the total assessed property
value. By law,the general obligation debt subject to the limitation may be offset by amounts set aside for repaying general
obligation bonds.
Note: Details regarding the City's outstanding debt can be found in the notes to the financial statements.
Source: Current and prior year's financial statements and the Adams County Assessor's Office.
139
City of Thornton, Colorado
Schedule 13
Pledged-Revenue Coverage
Water Revenue and Revenue Refunding Bonds
Water Less: Net
Fiscal Charges Operating Available
Year and Other Expenses Revenue Principal Interest Coverage
2013 $ 39,083,359 $ 20,131,086 $ 18,952,273 $ - $ 1,665,985 11.38
2014 45,650,754 24,784,811 20,865,943 200,000 1,453,344 12.62
2015 51,226,351 27,647,167 23,579,184 225,000 1,449,344 14.08
2016 70,365,957 26,443,298 43,922,659 1,410,000 1,442,594 15.40
2017 72,913,829 27,490,432 45,423,397 1,455,000 1,400,294 15.91
2018 89,000,301 29,300,163 59,700,138 1,500,000 1,356,644 20.90
2019 83,876,134 35,386,006 48,490,128 1,560,000 1,296,644 16.97
2020 85,243,075 37,983,262 47,259,813 1,620,000 1,234,244 16.56
2021 82,308,247 36,495,304 45,812,943 2,795,000 4,263,709 6.49
2022 126,851,008 36,039,168 90,811,840 3,185,000 3,870,044 12.87
TDA North Tax Increment Bonds
Sales and
Fiscal Property
Year Taxes Principal Interest Coverage
2013 $ 6,162,807 $ 715,000 $ 788,713 4.10
2014 6,143,493 740,000 763,688 4.09
2015 6,257,149 - 702,573 8.91
2016 6,317,948 850,000 557,963 4.49
2017 6,632,204 865,000 540,963 4.72
2018 6,545,747 905,000 506,363 4.64
2019 7,818,057 920,000 488,263 5.55
2020 11,292,373 960,000 451,463 8.00
2021 11,914,925 995,000 413,063 8.46
2022 13,544,965 1,035,000 373,263 9.62
TDA 144th Tax Increment Bonds
Sales and
Fiscal Property
Year Taxes Principal Interest Coverage
2015 $ 2,008,437 $ - $ - N/A
2016 2,555,008 615,000 1,192,921 1.41
2017 2,795,074 625,000 1,183,944 1.55
2018 2,812,899 645,000 1,165,194 1.55
2019 2,326,090 670,000 1,139,394 1.29
2020 2,187,764 680,000 1,125,994 1.21
2021 2,103,045 710,000 1,098,794 1.16
2022 4,276,799 730,000 1,077,494 2.37
Sales and Use Tax Bonds
Fiscal Sales
Year Taxes Principal Interest Coverage
2013 $ 67,811,466 $ 1,455,000 $ 350,150 37.57
2014 72,844,683 1,510,000 291,950 40.43
2015 80,057,239 1,555,000 246,650 44.44
2016 84,106,064 1,605,000 200,000 46.60
2017 91,378,445 1,665,000 135,800 50.74
2018 97,700,633 1,730,000 69,200 54.30
2019 - - - -
2020 - - - -
2021 - - - -
2022 - - - -
Notes: Water revenue refunding bonds were issued in 2013.
Water revenue bonds were issued in 2020, no principal or interest due in 2020.
Water charges and other includes investment earnings and tap fees.
Operating expenses do not include depreciation or amortization expenses.
TDA North Tax Increment Revenue Bonds series 2004 were refunded in 2015, no principal due in 2015.
TDA 144th Tax Increment Revenue Bonds series 2015B, no principal or interest due in 2015.
Sales and Use Tax Bonds series 2007, were paid in full in 2018.
140
City of Thornton, Colorado
Schedule 14
Demographic and Economic Statistics
Personal Per
Income Capita
Fiscal (thousands of Personal Unemployment
Year Population of dollars) Income Rate
2013 122,643 $ 3,258,134 $ 26,566 6.9%
2014 123,648 3,243,040 26,228 4.4%
2015 131,761 3,528,823 26,782 3.5%
2016 134,149 3,704,927 27,618 2.7%
2017 137,443 3,916,713 28,497 3.0%
2018 140,509 4,228,478 30,094 3.8%
2019 143,788 4,499,270 31,291 2.4%
2020 146,427 4,756,974 32,487 8.6%
2021 146,270 4,766,793 32,589 4.3%
2022 148,623 5,228,706 35,181 2.9%
141
City of Thornton, Colorado
Schedule 15
Principal Employers
2022
Percentage
of Total City
Emplover Tvpe Emplovees Rank Emplovment
Retail Trade (439 Units) 7,735 1 25%
Health Care and Social Assistance (282 Units) 5,346 2 17%
Accomodation and Food Services (238 Units) 4,320 3 14%
Educational Services (81 Units) 3,045 4 10%
Public Administration (46 Units) 1,884 5 6%
Other Services (284 Units) 1,803 6 6%
Construction (208 Units) 1,369 7 4%
Professional, Service &Tech (176 Units) 1,099 8 4%
Information (56 Units) 933 9 3%
Arts, Entertainment& Recreation (47 Units) 745 10 2%
Total 28,279 91%
Total number of persons employed by Thornton establishments: 30,974
2013
Percentage
of Total City
Emplover Tvpe Emplovees Rank Emplovment
Retail Trade (505 units) 5,185 1 22%
Educational Services (92 Units) 3,024 2 13%
Health Care and Social Assistance (305 Units) 2,961 3 12%
Administrative and support (967 Units) 2,137 4 9%
Accommodation and Food Services (200 Units) 1,995 5 8%
Construction (637 Units) 1,986 6 8%
Professional Services (650 Units) 1,709 7 7%
Other Services (415 Units) 1,218 8 5%
Wholesale trade (197 Units) 694 9 3%
Finance and Insurance (188 Units) 688 10 3%
Total 21,597 90%
Total number of persons employed by Thornton establishments: 24,116
Note: The number of employees per business is confidential therefore the City is providing employee totals by sector.
Source: City of Thornton - Economic Development
142
City of Thornton, Colorado
Schedule 16
Full-time Equivalent City Government Employees by Function
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Function
General government 156 158 165 168 175 182 191 201 196 197
Police
Officers 158 171 178 233 244 Z47 243 243 242 247
Civilians 69 59 63 63 63 73 77 79 79 81
Fire
Firefighters and officers 75 76 76 85 101 106 132 132 145 138
Ambulance 25 26 26 26 29 26 4 4 4 4
Civilians 3 3 3 3 3 3 3 3 3 10
City development 65 71 72 78 82 84 82 82 79 82
Streets, traffic, &engineering
Engineering 34 33 33 36 35 37 40 41 38 36
Maintenance 31 32 31 31 32 33 23 23 23 25
Community services 85 96 98 99 100 106 124 129 126 131
Water &Sewer 85 86 90 92 95 97 100 102 104 104
Environmental Services 22 22 23 23 24 26 26 28 28 28
Stormwater - - - - - - 13 14 15 15
Total 808 833 858 937 983 1,020 1,058 1,081 1,082 1,098
Source: City of Thornton budget office.
143
City of Thornton,Colorado
Schedule 17
Operating Indicators by Function
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Function
Police
Patrol calls for service 98,634 94,355 113,756 103,910 111,238 122,943 153,608 142,754 139,584 130,726
Physical arrests 2,365 2,607 2,796 2,891 5,749 6,608 7,071 4,667 4,934 6,805
Traffic violations 17,993 17,085 13,351 9,843 15,125 20,959 20,635 13,981 16,766 12,996
Fire
Calls for service 8,106 8,868 9,387 9,976 10,538 11,028 11,898 12,220 14,070 16,736
Fire incidents 190 214 212 282 277 248 223 284 273 314
EMS and other incidents 7,916 8,654 9,175 9,694 10,261 10,780 11,675 11,936 13,797 16,422
Inspections* 1,586 1,957 1,753 - 1,469 1,275 1,244 2,564 251 1,216
Ambulance
Number of transports 4,193 4,624 5,129 5,355 5,693 5,903 5,850 6,284 7,240 7,094
City development
Single-family permits 314 370 505 832 902 824 744 816 764 632
Commercial permits issued 10 18 19 19 31 25 23 26 24 21
Building inspections 28,473 30,103 37,755 57,437 52,873 66,945 44,370 44,980 35,600 45,219
Code violations&inspections 16,370 18,183 15,998 14,374 12,509 11,757 13,704 6,364 7,795 6,654
Graffiti incidents removed 1,526 1,016 880 795 534 160 178 266 344 394
Streets,traffic, &engineering
Lane miles of streets maintained 1,227 1,232 1,238 1,244 1,252 1,255 1,258 1,267 1,278 1,307
Community services
Carpenter Recreation center admissions 295,200 297,279 296,429 303,658 301,024 280,912 235,816 32,040 52,640 151,264
Trail Winds Recreation center admissions** - - - - - - 47,053 114,528 218,381 273,814
Water
New connections 297 301 419 559 826 922 644 652 488 745
Average daily
consumption (in gallons)
(excludes Westminster) 14,971,237 15,005,578 15,580,590 16,820,855 16,263,868 17,459,644 16,379,225 18,523,145 17,619,820 18,121,940
Environmental Services
Solid waste customers 26,919 27,060 27,317 27,671 28,328 29,233 29,899 30,763 31,202 31,708
Tons of refuse collected 34,029 34,249 34,574 36,529 36,571 37,724 37,811 43,332 43,026 40,449
Tons of recyclables collected 5,180 5,161 5,193 5,255 5,424 5,417 5,355 5,928 5,646 5,763
Note: Indicators are not available for the general government function.
*Indicator was not tracked in 2016.
**Indicator was not tracked prior to 2019-Trail Winds Recreation Center opened November 2019
Sources: Various city departments.
144
City of Thornton, Colorado
Schedule 18
Capital Asset Statistics by Function
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Function
Police
Stations 1 1 1 1 1 2 2 2 2 2
Patrol Units 74 77 92 95 119 125 134 139 149 148
Fire
Fire Stations 5 5 5 5 5 6 6 6 6 6
Ambulances 6 6 6 6 7 8 7 5 5 5
Streets, traffic, &engineering
Streets (miles) 404 406 409 411 414 417 421 424 433 442
Streetlights 8,565 8,521 8,783 8,824 9,125 9,140 9,316 9,583 9,617 9,673
Community services
Parksacreage 683 697 723 733 757 879 851 881 1,007 1,016
Parks 81 82 84 88 90 92 93 93 90 91
Swimming Pools 3 3 3 3 3 3 4 4 4 4
Tennis Courts 17 17 17 17 17 17 17 16 16 16
Community Centers 3 3 3 3 3 3 4 4 4 4
Golf Course 1 1 1 1 1 1 1 1 1 1
Water
Water mains (miles) 559 566 577 584 593 597 602 626 650 658
Fire Hydrants 4,699 4,688 4,847 4,950 5,073 5,132 5,194 5,261 5,539 5,696
Maximum daily capacity
(thousands of gallons) 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000 70,000
Sewer
Sanitary sewer (miles) 427 439 445 454 462 465 485 503 506 511
Environmental Services
Collection Trucks 19 19 21 21 21 22 22 24 24 25
Stormwater
Storm sewers (miles) 149 150 140 144 149 151 158 160 168 172
Note: No capital asset indicators are available for the general government function.
Sources: Various city departments.
145
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