Loading...
HomeMy WebLinkAboutCounty of Dauphin - Public Financial Report Prepared by the Office of the Controller JAMES E. MARKEL, ACTING CONTROLLER County of Dauphin, Pennsylvania Popular Annual Financial Report For the Year Ended December 31, 2020 Popular Annual Financial Report 2020 Table of Contents Photo Credit: The cover image features the historic Fort Hunter Mansion and is courtesy of the Hershey Harrisburg Regional Visitors Bureau. The photos on pages 1 & 7 are courtesy of the Hershey Harrisburg Regional Visitors Bureau. 1 Dauphin County was founded in 1785 with a population of approximately 18,000. Now, Dauphin County’s population has grown to 286,401 residents. The County is unique in that it boasts both energetic towns and countryside farmlands. The County is perhaps best known for Pennsylvania’s capital city, Harrisburg, and “The Sweetest Place on Earth ®,” Hershey. Dauphin County has much to offer residents and tourists alike. Table of Contents ............................................ 1 A Message from the Controller ....................... 2 Awards ............................................................ 3 Meet our Elected Officials .............................. 4 Map of Dauphin County………………………….5 Dauphin County at Work ................................. 6 Dauphin County at a Glance ............................ 7 Introduction to Finances .................................. 8 Revenue & Expenses ....................................... 9 Statement of Net Position ............................... 10 County Funding ............................................ 11 General Fund Expenditures .......................... 12 Entertainment, Arts & Tourism .................. 13-14 Parks & Recreation ........................................ 15 The Year in Review ........................................ 16 #14 Best Place to Live in Pennsylvania Hershey (2018- WalletHub) #61 Best Places to Live Greater Harrisburg Area (April 16, 2019- U.S. News & World Report) Downtown Hershey Dauphin County Acting Controller James E. Markel 2 A Message from the Controller It is with great pleasure that I present to you the 5th annual Dauphin County Popular Annual Financial Report (PAFR). The PAFR is an informative overview of Dauphin County’s Annual Comprehensive Financial Report (ACFR) and is intended to allow the reader to easily understand the financial changes and financial position of Dauphin County. The PAFR includes demographic, economic, and statistical information about Dauphin County, and highlights why Dauphin County is a great place to live, work and raise a family. Dauphin County is a third-class county located in south central Pennsylvania, approximately 100 miles west of Philadelphia and 200 miles east of Pittsburgh. The County was founded in 1785 by John Harris, Jr. who named it “Dauphin” to honor the eldest son (Louis Joseph, Dauphin of France) of the King of France, King Louis XVI, after France came to the aid of the American colonies during the American Revolution. Today, Dauphin County covers 525 square miles and is home to over 286,000 residents in forty (40) municipalities, including the state capital, Harrisburg. Dauphin County ranks 44th and 14th, respectively, in total area and population among counties within the Commonwealth of Pennsylvania. Dauphin County is also a popular tourist destination with attractions such as the Pennsylvania Farm Show Complex & Expo Center, National Civil War Museum, Hershey Park and Hershey’s Chocolate World, City Island, Indian Echo Caverns, Hollywood Casino at Penn National Racecourse, ZooAmerica, Lake Tobias Wildlife Park, the Appalachian Trail, and numerous breweries and vineyards. Education is valued in Dauphin County, with forty-six colleges and thirty-nine universities located within fifty miles. Seven colleges and universities, including Dixon University Center, Harrisburg Area Community College, Harrisburg University of Science and Technology, Penn State Harrisburg, Temple University Harrisburg, Widener University School of Law, and Penn State College of Medicine, are located within the County. The top industries in Dauphin County are health care, social services, retail, accommodation, food services, and public administration. All of this is what makes Dauphin County a great place to live, work, and enjoy free time. Our hope is that the following pages affirm that belief. It is a great honor to work alongside the many Dauphin County employees who are doing the good work of the people with professionalism and integrity. I would like to thank the staff in the Controller’s office who continue to work for the citizens of Dauphin County by fulfilling the responsibilities of the Controllers Office and improving the services we provide. My hope is that you find this report interesting, helpful, and informative. Sincerely, James E. Markel Dauphin County Acting Controller Popular Annual Financial Report 2020 3 Awards Popular Annual Financial Report (PAFR) Government Finance Officers Association of the United States and Canada (GFOA) has given an Award for Outstanding Achievement in Popular Annual Financial Reporting to Dauphin County, Pennsylvania for its Popular Annual Financial Report for the fiscal year ended December 31, 2019. The Award for Outstanding Achievement in Popular Annual Financial Reporting is a prestigious national award recognizing conformance with the highest standards for preparation of state and local government popular reports. In order to receive an Award for Outstanding Achievement in Popular Annual Financial Reporting, a government unit must publish a Popular Annual Financial Report, whose contents conform to program standards of creativity, presentation, understandability, and reader appeal. An Award for Outstanding Achievement in Popular Annual Financial Reporting is valid for a period of one year only. Dauphin County, Pennsylvania has received a Popular Award for the last four consecutive years (fiscal years ended 2016-2019). We believe our current report continues to conform to the Popular Annual Financial Reporting requirements, and we are submitting it to GFOA to determine its eligibility for another Award. Annual Comprehensive Financial Report (ACFR) Dauphin County’s Annual Comprehensive Annual Report (ACFR) for the years ended 2018-2019, from which the information of pages 9-11 has been drawn, were awarded the Certificate of Achievement for Excellence in Financial Reporting by Government Finance Officers Association of the United States and Canada (GFOA). The Certificate of Achievement is the highest form of recognition for excellence in state and local government financial reporting. In order to be awarded a Certificate of Achievement, a government unit must publish an easily readable and efficiently organized ACFR, whose contents conform to program standards. Such a ACFR must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current ACFR continues to conform to the Certificate of Achievement Program’s requirements, and we are submitting it to GFOA to determine its eligibility for another Certificate. Dauphin County Acting Controller James E. Markel Board of Commissioners Meet our Elected Officials* Jeff Haste Chairman Mike Pries Vice Chairman George P. Hartwick III Secretary Row Officers Dale Klein Clerk of Courts Graham Hetrick Coroner James Zugay Recorder of Deeds Jean Marfizo King Register of Wills & Clerk of Orphans’ Court Francis T. Chardo District Attorney Matt Krupp Prothonotary Nicholas Chimienti, Jr. Sheriff Janis Creason Treasurer 4 Timothy L. DeFoor Controller *As of December 31, 2020 Popular Annual Financial Report 2020 Map of Dauphin County 5 Dauphin County Acting Controller James E. Markel Dauphin County at Work 6 See Fraud, Waste or Abuse? Report it. 717-780-6888 2020 County Government Performance 85 First-Time Homebuyer Loans 1,364 Veteran Discount Cards Issued to date 1,378 Marriage Licenses Issued 1,899 Seniors Served through Farmer’s Market Program 15,236 Dog Licenses Issued 13,987 Doe Licenses Issued 140 Adoptions Filed 217,671 Total Police Dispatch Events 11,467 Total Fire Dispatch Events 51,587 Total Medical Dispatch Events Did you know? The Treasurer’s Office has helped reunite dozens of dogs with their owners through its licensing program. License your dog today! www.padoglicense.com Janis Creason Population: The graph to the right shows the population in Dauphin County as well as some of Dauphin County’s adjacent counties for the year 2020. The population of Dauphin County was 286,401 when last recorded and has grown 6.8% since the 2010 census. 7 Popular Annual Financial Report 2020 Top 10 Employers 1. State Government 2. Milton S Hershey Medical Center 3. Hershey Entertainment & Resorts Co. 4. The Hershey Company 5. UPMC Pinnacle Hospitals 6. Federal Government 7. United Parcel Service Inc. 8. PHEAA 9. Pennsylvania State University 10. Tyco Electronics Corporation Employment: The chart to the left compares the unemployment rate of Dauphin County to the rates of both Pennsylvania and the United States. The unemployment rates all increased dramatically as a result of the Covid-19 pandemic. Source: The Bureau of Labor Statistics Median Household Income $58,916 (census.gov) #4 Best City for New College Grads Harrisburg (April 29, 2019– realtor.com) County’s Bond Rating “AA/Stable Outlook” Which provides better interest rates, investor appeal, and bond pricing. As of December 31, 2020 (Standard & Poor’s) Source: census.gov A Safe Community Crime Rate of 15.7 (7 points lower than U.S. Average) (bestplaces.net) Dauphin County at a Glance Dauphin County Acting Controller James E. Markel Introduction to Finances In an effort to maximize transparency, the following information represents our county’s financial position and how our funds are allocated. We anticipate that you will gain a basic understanding of how your tax dollars are distributed and where our revenues and expenses come from. It’s critical for taxpayers to become informed on how government funds are distributed and the services that rely on their taxes. Contained within the information are various graphics, which serve to highlight the County’s current performance compared to historical data. We hope you find the following information informative and promising as a resident of Dauphin County. This report serves as a summary of county financial statements and information, and does not comply with the Generally Accepted Accounting Principles (GAAP). Only the financial data for the general government is included in this report. All of the County’s discretely presented component units are excluded, as well as certain statements and note disclosures required by GAAP. For complete details and notes to the financial statements, refer to the 2020 Annual Comprehensive Financial Report (ACFR), which can be found online here. 8 Revenues: For the year ended December 31, 2020, the County’s revenue of 288,161,298 shows a decrease of about 8.4% from 2019. Covid-19 restricted travel and operations creating a reduction in Hotel taxes and Charges for Services. Expenditures For the year ended December 31, 2020, the County spent $281,834,047. The expenditures decreased by about 12.5% from 2019 due mainly to reduced services and staffing caused by the Covid-19 restrictions. Where the Money Comes From Where the Money Goes to * Restated from prior year report Popular Annual Financial Report 2020 Revenue & Expenses Expenses: General Government $ 16,935,084 $ 16,700,619 18,356,530 $ Judicial 66,653,315 71,356,859 64,336,493 Public Safety 50,692,732 58,083,978 54,948,981 Public Works 3,069,821 2,760,870 2,473,421 Human Services 196,770,582 137,773,178 91,779,149 Cultural & Recreation 16,789,417 18,492,470 9,971,883 Conservation & Development 12,988,612 11,473,611 16,350,192 Interest on Long Term Debt 3,185,232 3,043,211 3,801,099 Bond Issuance Costs 0 185,000 0 Other Programs 913,588 2,268,189 2,419,754 Total Expenditures $ 367,998,383 322,137,985 281,834,047 Revenues: 2018 2019 2020 Charges for Services $ 121,973,455 $ 71,860,662 29,671,364 $ Grants 128,207,236 117,799,755 141,170,793 Real Estate Taxes 103,088,831 105,637,703 106,236,115 Hotel Taxes 12,077,750 12,562,023 6,101,215 In Lieu of Taxes 2,225,269 2,198,474 1,808,584 Other Revenues 5,628,204 4,458,346 3,173,227 Total Revenues $ 373,200,745 314,516,963 288,161,298 Change in Net Position: $ 5,202,362 (7,621,022) 6,327,251 Net Position at beginning of year 42,863,069 48,065,431 40,692,552 Net Position—Ending 48,065,431 40,444,409 47,019,803 This statement of net activities shows the difference between the County’s revenues and expenses on a full accrual basis. Accrual basis means that revenues are recorded when earned and expenses are recorded when the liability is incurred. The net position represents the difference between revenues and expenses; a positive net position is promising, illustrating a surplus. See Page 20 of the Dauphin County ACFR YE 2020 for the Condensed Statement of Activities 9 * * Dauphin County Acting Controller James E. Markel Statement of Net Position 2019 2020 Change % Assets: Capital Assets $ 106,943,073 $ 118,781,146 11.1 Current and other assets 126,153,886 148,243,867 17.5 Total Assets 233,096,959 267,025,013 14.6 Deferred Outflows of Resources: Total Deferred Outflow of Resources 23,947,696 26,562,612 10.9 Liabilities: Long-Term Liabilities 170,720,983 189,302,412 10.9 Other Liabilities 31,141,531 33,527,541 7.7 Total Liabilities 201,862,514 222,829,953 10.4 Deferred Inflows of Resources: Total Deferred Inflows of Resources 14,737,732 23,737,869 61.1 Net Position: Net Investment in Capital Assets 42,515,802 59,244,625 39.3 Restricted 32,079,214 43,124,501 34.4 Unrestricted (34,150,607) (55,349,323) 62.1 Total Net Position $ 40,444,409 $ 47,019,803 16.3 This summary represents the County’s financial position by taking the total resources at year-end versus the amount owed at year-end. It includes both governmental and business-type activities. These amounts are recorded on a full accrual basis (see page 9 for explanation). 10 See Page 19 of the Dauphin County ACFR YE 2020 for the Condensed Statement of Net Position County’s 5-Year Net Position The County’s net position increase was primarily due to a reduction in expenses for 2020 caused by the Covid-19 pandemic. Non- essential departments made a concerted effort to reduce spending in anticipation of lower realized revenues. Please see the previous page for a comparison of Revenue and Expenses. Net Position Popular Annual Financial Report 2020 County Funding Unassigned General Fund Balance The illustration on the left represents the County’s Unassigned General Fund balance. These funds are available for any purpose. In 2020, the balance ended at $20,171,437, increasing 40% from the previous year. 11 County: 21₵ Library: 1₵ Municipal: 15₵ Local School Districts: 63₵ DEBT OBLIGATIONS Counties utilize bonds to borrow money that they are obligated to pay back in the future. The illustration on the right shows the County’s overall debt obligations for the past five years. Above: Chart illustrates an average distribution of property tax dollars to county and municipal services Dauphin County Acting Controller James E. Markel General Fund Expenditures 12 Function 2020 Budget 2020 Actual Savings/(Over) General Government $19,520,581 $15,404,930 $4,115,651 Judicial 63,676,653 54,157,291 9,519,362 Public Safety 45,996,079 42,453,105 3,542,974 Human Service 5,108,559 4,142,126 966,433 Culture & Recreation 2,441,241 2,009,740 431,501 Conservation & Development 5,241,121 5,182,831 58,290 Other Financing Departments 18,235,387 60,356,313* (42,120,926) General • Budget & Finance • Commissioners • Controller • Data Processing (IT) • Facilities Maintenance • Gasoline Center • Personnel (HR) • Public Defenders • Purchasing • Recorder of Deeds • Solicitors • Tax Assessment • Tax Collectors • Treasurer • Veterans’ Affairs • Voter Registration Judicial • Adult Probation • C.I.D. (Detectives) • Clerk of Courts • Coroner • Cost & Fines • Court • Court Reporters • District Attorney • District Justices • Judicial Center • Juvenile Probation • Law Library • Night Court • Pretrial • Prothonotary • Register of Wills • Sheriff • Victim Witness Public Safety • Emergency Services • Prison Culture & Recreation • Parks Conservation & Dev. • Conservation Programs • Cooperative Extension • Economic Development Human Service/Other • Children & Youth • Drug and Alcohol • EMA Communications • Mental Health (MH/ID) • Solid Waste Departments by Function** **This list is illustrative only, and not all inclusive. See Pages 181-188 of the Dauphin County ACFR YE 2020 for the Schedule of Departmental Expenditures * Includes $30,000,000 of bond proceeds transferred to the Capital Projects fund Popular Annual Financial Report 2020 Entertainment, Tourism & Arts Chocolate World See, smell, touch, do, and, of course, taste all the excitement at Hershey’s Chocolate World. Admission and the Hershey’s Chocolate Tour are free for all guests. Other activities include Create a Candy Bar, 4D Chocolate Movie, and Hershey’s Unwrapped. Chocolate World offers multiple food and bakery options and a huge candy and merchandise store. Gamut Theater Gamut® Theatre is the combined company of Popcorn Hat Players Children’s Theatre and Harrisburg Shakespeare Company. Each year Gamut presents approximately 250 performances to 30,000 people. Moreover, 20,000 students per year enjoy their theatre school classes, workshops, and shows. National Civil War Museum The Museum incorporates collections of artifacts, manuscripts, documents, photographs, and other printed matter that exceed 24,000 items. The Museum portrays the struggle as a timeline, from the issues straining the nation through the war's conclusion at Appomattox Court House. Nowhere can you find a better understanding of the Civil War. 13 Dauphin County Acting Controller James E. Markel Entertainment, Tourism & Arts Fort Hunter Day Once a year we close Front Street and get a sense of the area before automobiles. This annual autumn festival features tons of activities for the kids. Children's crafts and games, pony, hay and carriage rides, live music, a terrific craft show, food, and quilt displays are only a part of this free event! Lake Tobias Wildlife Park The park focuses on providing fun family activities and animal-themed attractions for residents and central Pennsylvania visitors to enjoy. The park features an open-air safari, petting zoo, and hundreds of animals to see at exhibits throughout the park. One of the newest attractions features giraffes that visitors can hand-feed. Ned Smith Center The Ned Smith Center for Nature & Art was founded in 1993 and features twelve miles of trails and offers public hunting on a portion of its 500 acres. The Ned Smith Center already plays an active role in education about nature, art, and conservation through a year-long series of lectures, field trips, seminars, and other special events. 14 Popular Annual Financial Report 2020 15 Need a quiet walk in the woods? Visit 7 miles of trails in Detweiler Park. Planning a family reunion? Rent one of our pavilions. Looking for an outdoor movie experience? Join us at the Sunset Movie Series. Detweiler Park Tavern House, Fort Hunter Sunset Movie Series Fort Hunter Park View from Fort Hunter Park Parks & Recreation Dauphin County Acting Controller James E. Markel 16 The Year in Review Highlights No Tax Increase for 16 Consecutive Years The Dauphin County Commissioners approved a $260 million budget for 2021, which marks the 16th consecutive year with no tax increase. A $16,106,097 drawdown on fund balance was necessary to cover the initial expenditure budget. There were no new positions requested by any County department for the 2021 budget. The approved 2021 budget was $5.4 million or 2.11% greater than the 2020 budget. Challenges Covid-19 Health Crisis As the world experienced the global health crisis of Covid-19 throughout the year 2020, Dauphin County had to meet special challenges that faced local governments across the country. Recognizing that the pandemic put many Dauphin County citizens into a financial crisis as well, the Dauphin County Commissioners allowed residents to pay county real estate taxes without penalty through the end of the year. Dauphin County also worked to protect county workers and residents by enacting safety guidelines throughout the pandemic to ensure county services were available to residents when they were needed most. State Mandate for New Voting Machines In 2020, the County successfully deployed new state-mandated voting machines for the presidential election. In April 2018, the Pennsylvania Department Of State mandated that all counties must have voter-verifiable paper record voting systems no later than December 31, 2019. In October 2019, Governor Wolf signed Act 77, authorizing a $90 million bond to help counties fund the purchase of the new voting systems. The County; however, did not receive any funds from the Commonwealth resulting in an unexpected and significant burden on the taxpayers of Dauphin County in the amount of approximately $2.1 million. The County’s Elections Bureau took on the challenge, meeting with vendors, taking public comments on potential solutions, and then implementing the chosen system throughout the County’s 159 precincts. In January 2020, the County utilized the new voting machines for a special election ahead of the primary and general elections later that year. CONTROLLER’S OFFICE Dauphin County Courthouse 101 Market Street, Room 106 Harrisburg, PA 17101 717-780-6570 Dauphin County Courthouse 101 Market Street, Room 106 Harrisburg, PA 17101 717-780-6570 Dauphin County’s Veteran ID Discount Card Program Memorial Day Services, Fort Indiantown Gap Recorder of Deeds Jim Zugay offers a reward program for those who have bravely served our country. This Veteran ID discount card program offers veterans discounts on local business products and services. To obtain a Dauphin County Veteran ID Discount Card, please visit the Dauphin County Recorder of Deeds Office or one of the veterans’ events held throughout the County. Please bring your DD-214, as well as an official ID, such as a driver's license. We will record the discharge papers, take a photo, and provide you with an ID card immediately. This card will enable you to receive special discounts at local businesses. Veterans: Scan this QR Code with your phone for additional information about the program and a complete list of participating businesses!