HomeMy WebLinkAboutTown of Brunswick - Public Financial Report
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Town of
Brunswick, Maine
Fiscal Year Ended
June 30, 2021
Popular Annual Financial Report
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Dear Citizens of the Town of Brunswick,
We are pleased to present the Town of Brunswick’s
Popular Annual Financial Report (PAFR), for the fiscal
year ended June 30, 2021. This report is a reader-
friendly version of data from the Town’s Annual Com-
prehensive Financial Report (ACFR), and from the
Town’s annual General Fund Budget. The financial da-
ta presented in the PAFR is derived from the ACFR, but
as a summary, the PAFR is not expected to comply
with Generally Accepted Accounting Principles (GAAP)
requirements. You may find ACFRs and budgets from
this and previous years on the Town’s website:
www.brunswickme.org
We are proud that the Town has received the Govern-
ment Finance Officers Association (GFOA) Award for
Outstanding Achievement in Popular Annual Financial
Reporting to the Town of Brunswick since 2017. We
believe our current report continues to conform to
PAFR requirements, and it will also be submitted to
the GFOA award program.
The COVID-19 pandemic brought many challenges to
us all in fiscal 2020-21, but with conservative revenue
budgeting and over $4M in federal aid for the school
department, the Town ended the year in a positive fi-
nancial position. Some of the significant events in
Brunswick this year included the opening of the new
Kate Furbish Elementary School, closure of the Gra-
ham Road Landfill, and kicking off the Cook’s Corner
Revitalization project.
With the PAFR we strive to share financial information
in a manner that is meaningful. Please reach out and
give us suggestions on how we can improve this re-
port, and help you to understand how your tax dollars
support our Town services and facilities.
Sincerely,
Julia Henze
Finance Director
About Brunswick 3
Town Organization 4
Government-Wide—Net Position 6
Capital Assets & Debt 7
Govt-Wide—Governmental Activities 8
Govt-Wide—Business-type Activities 9
Governmental Funds 10
General Fund 11
General Fund Budget Results 12
General Fund Balance 13
Taxes 14
For More Information 16
Inside the PAFR:
Popular Annual
Financial Report
2020-21
Fiscal Year ended
June 30, 2021
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The Town of Brunswick, incorporated
February 1739, is situated on the coast of
Maine in Cumberland County, the state’s
most populous county. Brunswick is a state-
designated service-center community,
located between Maine's major population
centers. The Town’s geographic boundaries
encompass approximately 49.73 square
miles and the population was listed at
20,278 in the 2010 census.
The Brunswick Naval Air Station (BNAS), once one of
the state’s largest employers, was closed in May 2011.
The operation of the base was turned over to the Mid-
coast Regional Redevelopment Authority (MRRA), the
state-appointed agency responsible for the manage-
ment and disposition of Navy property and the imple-
mentation of the “Master Reuse Plan for BNAS”.
Brunswick Landing is the name given to the former
BNAS property. Brunswick Executive Airport (BXM)
was established on the airport portion of the property.
The Navy has conveyed parcels to the Maine Commu-
nity College and University of Maine Systems, and
many programs and classes are now being offered at
the Southern Maine Community College Midcoast Cam-
pus at Brunswick Landing.
Brunswick is a commercial, industrial, educational,
health care, and cultural center for the southern
section of mid-coast Maine.
Mid Coast–Parkview Health, Bath Iron Works, and
Bowdoin College, Wayfair and L.L.Bean are the
Town’s largest employers.
Properties identified for manufacturing and commercial uses have been conveyed to
MRRA for development. A number of facilities have been sold to incoming entities,
and others have been renovated or constructed, attracting a variety of businesses. The
Master Plan along with information regarding the impact of BNAS’s closure, and
MRRA’s redevelopment statistics can be found on MRRA’s website at www.mrra.us.
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The Town of Brunswick operates under a charter that provides for a council-manager form
of government with a nine-member town council elected on a non-partisan basis to three-
year staggered terms. The charter grants to the town council all powers to enact, amend, or
repeal ordinances, orders, resolutions, policies, and rules relating to the Town’s property
and affairs. The town council appoints the town manager who in turn appoints the
municipal department heads, subject to confirmation by the town council.
A nine-member elected school board is responsible for the operation of all facets of a school
department that provides K-12 education. The school board appoints the superintendent of
schools, who administers the department and carries out the policies of the board. In
consultation with the superintendent, the school board also proposes an educational
budget for consideration by the Town Council and inclusion in the Town’s annual budget.
Town of Brunswick Elected Officials 2021
Town Council School Board
District 1 David Watson Mandy Merrill
District 2 Stephen Walker Elizabeth Bisson (vice chair)
District 3 Daniel Jenkins Teresa Gillis
District 4 John Perreault (chair) Celina Harrison
District 5 Christopher Watkinson Lauren Watkinson
District 6 Kate Foye Elizabeth Sokoloff
District 7 James Mason (vice chair) Sarah Singer
At Large Daniel Ankeles Joy Prescott
At Large Kathy Wilson William Thompson (chair)
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The Town of Brunswick provides a full
range of services to its citizens, including
public safety, public works and solid
waste management, education, human
services and recreation.
In addition, the Town provides funding
for the public library, senior center and
downtown association, and subsidies to
regional and local public bus services.
The general fund operating budget for the
2020-21 fiscal year totaled $71,222,246
which included $1,674,551 in taxes paid
to Cumberland County.
In the 2020-21 school year, Brunswick
school department provided education to
resident and non-resident students in pre-
kindergarten through grade 12. The Town
is also a participant, along with RSU 5 and
RSU 75, in the Maine Region 10 Technical
High School.
The Town is responsible for capital assets including more than 140 miles of roads, over 1,500
acres of recreational land, a solid waste landfill (now being closed), multiple buildings including
Town Hall, two fire stations, a police station, a public works facility, a recreation center, six school
department buildings, and fleets of vehicles for education, public safety, public works, etc.
School Grade October 1, 2020
Enrollment
Kate Furbish PreK – 2 578
Harriet Beecher Stowe 3 – 5 527
Brunswick Junior High 6 – 8 512
Brunswick High School 9 – 12 757
2,374
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Governmental Activities Business-Type Activities Total
2021 2020 ** 2021 2020 2021 2020 **
Current & other assets $35,749,036 $34,507,109 $8,201,357 $6,586,286 $43,950,393 $41,093,395
Capital assets 106,538,548 102,957,409 221,010 668,707 106,759,558 103,626,116
Total assets 142,287,584 137,464.518 8,422,367 7,254,993 150,709,951 144,719,511
Deferred Outflows 5,716,056 4,459,253 - - 5,716,056 4,459,253
Long-term liabilities 60,643,627 60,515,849 5,767,755 11,482,511 66,411,382 71,998,360
Other liabilities 7,219,786 8,128,858 2,058,354 94,980 9,278,140 8,223,838
Total liabilities 67,863,413 68,644,707 11,577,491 11,577,491 75,689,522 80,222,198
Deferred Inflows 1,830,503 3,090,749 3,095,046 - 4,925,549 3,090,749
Net Position
Net capital assets 65,863,422 61,963,362 221,010 668,707 66,084,432 62,632,069
Restricted 7,125,479 5,170,568 - - 7,125,479 5,170,568
Unrestricted 5,320,823 3,054,385 (2,719,798) (4,991,205) 2,601,025 (1,936,820)
Total Net Pos. 78,309,724 70,188,315 $(2,498,788)$(4,322,498) $75,810,936 $65,865,817
Government-wide Financial Analysis
For the fiscal year ended June 30, 2021, the Town of Brunswick’s total net position
increased by $9,945,119 to total $75,810,936. Net investment in capital assets increased
by $3,452,363 primarily due to the addition of the new Kate Furbish Elementary School.
In addition, restricted and unrestricted net position increased by $1,954,911 and
$4,537,845, respectively, as the Town as a whole realized positive budgetary surpluses and
received federal aid for response to the COVID-19 pandemic.
The governmental activities of the Town include general government, public safety, public
works, human services, education, recreation/culture, and county tax.
The business-type activities of the Town include the solid waste facilities, the pay-per-bag
program, the Mere Point Wastewater District and the train station/visitors center.
The government-wide financial statements are designed to provide a broad overview of the
Town’s finances, in a manner similar to a private-sector business. As well as capital assets and
long-term liabilities such as general obligation debt and pension obligations, this view includes
elements called deferred outflows and inflows which reflect consumption and acquisition of net
position that will apply to future periods.
Town of Brunswick—Net Position
** FY2020 restated for inclusion of Student Activities Funds in accordance with GASB 84.
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Asset Class Governmental Business-type
(Net of Accumulated activities activities Total
Depreciation) 2021 2020 2021 2020 2021 2020
Land $ 7,381,708 $ 6,861,708 $ 115,000 $ 115,000 $ 7,496,708 $ 6,976,708
Constr in progress 4,779,274 25,818,148 - - 4,779,274 25,818,148
Intangibles 200,000 200,000 10,000 - 210,000 200,000
Buildings 60,214,442 37,595,357 11,181 - 60,225,623 37,595,357
Improvements 1,925,302 1,654,658 56,287 221,381 1,981,589 1,876,039
Machinery & equip 3,194,649 1,823,435 8,648 302,289 3,203,297 2,125,724
Vehicles 4,389,468 4,005,002 - - 4,389,468 4,005,002
Intangibles 181,828 270,041 - 5,461 181,828 275,502
Infrastructure 24,271,877 24,729,060 19,894 24,576 24,291,771 24,753,636
Total $106,538,548 $102,957,409 $221,010 $668,707 $106,759,558 $103,626,116
Government-wide: Capital Assets
Bond Issue & Purpose Issue Date
Amount
Issued
Final Maturity
Date
6/30/21
Amount
Outstanding
2010 Elementary School—HBS 2010 21,462,250 2031 $ 10,731,125
2013 Police Station 2013 5,500,000 2033 3,300,000
2016 School Revolving Renovation 2016 772,862 2027 375,906
2017 School Revolving Renovation 2017 87,038 2022 9,757
2017 GO Bonds (five projects) 2017 1,781,000 2033 1,125,000
2020 Elementary School—Kate Furbish 2020 24,450,000 2045 24,030,000
2020 School Revolving Renovation 2020 279,360 2025 279,360
$ 39,851,148
The amount of principal debt retired during the year totaled $2,510,520 and bonds issued
totaled $279,360, in the form of a School Revolving Renovation Fund loan at zero interest.
Additional debt authorized, but not yet issued, includes up to $13,500,000 for a new central
fire station, and $425,000 for a fire tank truck.
The Town’s outstanding debt is rated Aa2 by Moody’s and AA+ by Standard & Poor’s.
In Governmental activities, the Kate Furbish Elementary School, serving pre-K—grade 2, opened
in September, 2020 and added $24,500,000 to the buildings category. Construction in progress
as of June 30, 2021 included the new fire station on Pleasant Street.
In Business-type activities, machinery & equipment and certain land improvements were retired
with the closure of the Graham Road Landfill, and a small building was acquired for the new
materials processing facility.
Government-wide: Longterm Debt
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Program Revenues
$89,827,486
Program Expenses
$81,406,077
Government-wide: Governmental Activities
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Solid Waste PAYT Mere Point Train Station/ Processing
Facilities Program Wastewater Visitors Center Totals Facility
NET POSITION
Net investment in
capital assets $ 72,750 $ - $ 29,894 $ 8,648 $ 221,010 $ 109,718
Unrestricted ( 3,230,538) 276,032 175 59,550 (2,719,798) 174.983
Total net position $(3,157,788) $ 276,032 $ 30,069 $ 68,198 $(2,498,788) $ 284.701
Business-type activities increased the Town’s total net position by $1,823,710 This was
primarily a result of non-operating activity in the Solid Waste Facilities Fund associated with
the closing of the Graham Road Landfill beginning in April, 2021. The deficit in the Solid Waste
Facilities reflects the liability recognized for the estimated cost to complete closure of the
landfill, as well as estimated postclosure costs. In 2020-21, $4,200,000 of the proceeds from
the Pay-Per-Bag (PAYT) Program were transferred toward funding the closure.
Mere Point Wastewater is a community sewage disposal serving 35 residences on Mere
Point. User fees are collected to pay for operation and maintenance of the facility.
At the Train Station the Town pays to maintain the train platform and to lease space for the
Visitors Center. Revenues come from parking fees. two small subleases and a subsidy
from the general fund, as operating revenues are not expected to cover expenses.
With the closing of the landfill beginning in April, 2021, the Town utilized $250,000 in Solid
Waste Impact Fees to open a Processing Facility to receive materials such as grass, leaves and
brush, clean wood, metal recycling and universal waste.
Government-wide: Business-type Activities
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General Tax Increment Sch Coronavirus Other Govt Total Govt New Central
Fund Financing Relief Fund Funds Funds Fire Station
Revenues $ 75,394,600 $ 2,486,619 $ 4,253,927 $ 6,350,796 $ 88,485,982 $ -
Expenditures 68,482,155 980,955 4,253,927 11,011,334 86,378,780 1,670,409
Revenues over/
(under)expenditures 6,912,445
1,525,664 - (4,660,538) 2,107,162
(1,670,409)
Other financing (2,863,874) (1,363,891) - 3,941,815 (285,950) -
Net change in fund
balance 4,048,571 161,773 - (718,723) 1,821,212
(1,670,409)
Fund balances,
beginning of year 20,621,838 102,976 - 7,334,788* 25,571,028
(2,488,574)
Fund balances, $24,670,409 $ 264,749 $ - $ 6,616,065 $ 27,392,240 $(4,158,983)
GOVERNMENTAL FUNDS
Governmental funds are used to account for essentially the same functions reported as governmental
activities in the government-wide financial statements. The focus of the Town of Brunswick’s
governmental funds is to provide information on balances of spendable resources and near-term
inflows and outflows, rather than long-term items such as capital assets and bonded debt.
The Town of Brunswick maintains nineteen individual governmental funds.
For the 2020-21 fiscal year, the General Fund, Tax Increment Financing Fund, School Coronavirus
Relief Fund and New Central Fire Station Fund are considered major funds, and the other
governmental funds are combined into a single, aggregated presentation.
The Tax Increment Financing Fund reflects the activity in the Town’s five TIF Districts. The
incremental tax revenue captured in these districts may be used in accordance with the
development programs approved by the Town and the State.
The School Coronavirus Relief Fund reflects federal funding distributed to the School Department
to respond to the COVID-19 pandemic during the summer of 2020 and the 2020-21 school year.
The New Central Fire Station was under construction as of June 30, 2021, with completion
estimated for fall of 2022. The Council authorized funding with G.O. bonds for up to $13.5 million,
which will likely be issued in January, 2022.
The other governmental funds include:
Three Special Revenue funds to account for revenue sources that are legally restricted or commit-
ted to expenditure for specific purposes (not including permanent funds or major capital projects).
Five Capital Projects funds to account for the acquisition of capital assets or construction of major
capital projects not financed by the Town’s major capital improvement funds, proprietary funds or
permanent funds.
Five Permanent funds to account for resources where principal is legally restricted by a formal trust
agreement and only earnings may be used for purposes that benefit the Town or its citizenry.
*Beginning balance restated for GASB 84; inclusion of Student Activities funds
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2020-21 Actual Revenues/Other Sources and Expenditures/Other Uses
GENERAL FUND
Revenues/Other Sources
$72,470,148
*Note: For the purposes of these charts, the
payments the State of Maine makes to the
Maine Public Employees Retirement System
on behalf of the Town for teachers and other
school employees has been removed from
both the Revenues and Expenditures totals. In
2020-21, these payments totaled $3,687,452.
Expenditures/Other Uses
$68,421,577
*Note: In Expenditure pie above, school
department debt service and transfers to
other funds are reported as Education
expenditures. In the ACFR these are
reported as debt service and other uses.
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Revenues - by Source 2020-21 Budget 2020-21 Actual Over/(Under)
Budget
Taxes $50,458,810 $53,382,098 $2,923,288
Licenses and Fees 569,902 793,475 223,573
Intergovernmental 14,895,981 15,181,862 285,881
Charges for Services 1,591,939 1,729,126 137,187
Fines and Penalties 35,245 28,047 (7,198)
Interest 100,000 89,306 (10,694)
Donations and Contributions 60,000 60,000 -
Unclassified 375,036 443,234 68,198
Transfers from Other Funds 673,969 763,000 89,031
Decr/(Incr) Fund Balance 2,461,364 (4,048,571) (6,509,935)
$71,222,246 $68,421,577 $(2,800,669)
Expenditures—by Function 2020-21 Budget 2020-21 Actual (Over)/Under
Budget
General Government $4,635,248 $4,453,697 $181,551
Public Safety 10,649,358 10,418,384 230,974
Public Works 4,055,985 3,673,995 381,990
Human Services 834,409 326,105 508,304
Education* 42,748,055 40,102,043 2,646,012
Recreation & Culture 3,266,794 3,178,169 88,625
County Tax 1,674,551 1,674,551 -
Unclassified 521,409 70,742 450,667
Debt Service (municipal) 948,437 948,437 -
Other Uses (Transfers Out) 1,888,000 3,575,454 (1,687,454)
$71,222,246 $68,421,577 $2,800,669
The chief operating fund of the Town of Brunswick
GENERAL FUND BUDGET
Despite a planned and budgeted reduction of $2,461,364 plus additional reductions in the
form of 2020 carry-forward encumbrances of $113,612, capital budget of $641,000 and
supplemental appropriations of $998,905, the total fund balance of the Town’s General
Fund balance actually increased by $4,048,571 during the 2020-21 fiscal year.
*Note: In the annual budget and in the Expenditure table above, school department debt service and transfers to
other funds are reported as Education expenditures. In the ACFR these are reported as debt service and other uses.
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The Town’s policy for its general fund targets the unassigned fund balance at 16.67% of its GAAP revenues.
For the year ended June 30, 2021, the target was $12,568,280. The actual balance, at 22.7% of GAAP reve-
nues, is $4,547,291 above the target.
This is the sixth consecutive year the balance is above the target, and was anticipated, as the Town has
made efforts to maintain the balance above the target level. The Town initially restored the fund balance
largely by reducing the amount of fund balance used in the budget to sustainable levels. In fiscal 2020-21,
with the onset of the COVID-19 pandemic, the Town budgeted revenues conservatively, and the actual re-
sults for certain revenues, including excise tax and State Revenue Sharing, were significantly higher than
anticipated, generating a surplus in the general fund.
In accordance with the fund balance policy, amounts above the target have been allocated for capital im-
provements, or other one-time expenditures.
GENERAL FUND BALANCE
Nonspendable cannot be spent.
Restricted reflects resources that are subject to externally enforceable legal restrictions,
typically imposed by parties outside of the government.
Committed represents resources whose use is constrained by limitations the government imposes on itself at its highest level of decision making (i.e., the Town Council), that remain bind-
ing unless removed in the same manner.
Assigned reflects a government’s intended use of resources.
Unassigned represents the net resources in excess of what can be properly classified in one
of the other four categories.
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Taxes 2020-21 Actual
Property Taxes/Interest/Lien Costs $48,814,657
Payments In Lieu Of Taxes (PILOT) 414,061
Excise Taxes 4,153,380
$53,382,098
TAXES
Property Taxes are the largest
single source of revenue for the
Town. In 2020-21 the tax rate was
$20.37 per $1,000 of taxable assessed
property value. This was an increase
of 4.23% over the 2019-20 rate of
$19.72 per $1,000.
As of April 1, 2020, Brunswick had
1,050 personal property accounts and
9,472 real property parcels, of which
8,440 were taxable. The median
taxable value of the Town’s single
family residential properties was
$203,350.
2020-21
Property Tax
Dollar
Distribution
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Historical Data—15 years
BRUNSWICK TAX RATES
During 2016-17, the Town conducted a Revaluation and Equalization project to
update the assessed values of all real property in the Town of Brunswick, bringing
the assessment ratio up to 100% of market value. The updated assessed values
resulted in a decrease in the tax rate in the 2017-18 fiscal year.
Taxes for the 2021-22 fiscal year were committed on September 1, 2021 and are
due in two installments—October 15, 2021 and April 15, 2022.
Taxes unpaid as of the due dates are assessed interest. Tax liens are placed on real
property of delinquent tax accounts within eight to twelve months following the
date the taxes were committed.
Per $1000 of taxable
assessed value
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For More Information ~
Department Phone
Assessing Department 725-6650
Coastal Resources 721-4027
Codes Enforcement 725-6651
Economic Development 721-0292
Engineering Department 725-6659
Finance Department 725-6652
Fire Department 725-5541
Human Resources 725-6653
Human Services 725-6661
Parks & Recreation 725-6656
Planning & Development 725-6660
Police Department 725-5521
Public Works Department 725-6654
School Department 319-1900
Town Clerk 725-6658
Town Manager 725-6659
For detailed financial information:
The Annual General Fund Budget and the Comprehensive
Annual Financial Statements (CAFRs) can be found on the
Finance Department page:
www.brunswickme.org/163/Financial-Reports
Please visit the
Town’s website at:
http://www.brunswickme.org/
Join us on
Facebook:
@TownofBrunswickMaine
Or call us: 725-6100
Email:
info@brunswickme.org