HomeMy WebLinkAboutCity of Kansas City - Public Financial ReportPOPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
POPULAR ANNUAL
FINANCIAL REPORT
For the Fiscal Year Ended April 30, 2021 FINANCE DEPARTMENT
TABLE OF
CONTENTS
Purpose of Report 1
Awards 2
City Councilmembers and Districts 3
Community Profile and Demographics 4
Financial Planning Cycle 7
Financial Highlights 8
Net Position 9
Revenues 10
Expenses 11
Capital Assets 12
Long-term Obligations 13
City’s Credit 14
Investments 15
Ratios/Trends 16
Glossary 19
1
City Hall Erected 1936
The Popular Annual Financial Report (PAFR) is an unaudited
summary report of the financial activities of the City and is
prepared primarily from detailed information contained in the
City’s 2021 Annual Comprehensive Financial Report (ACFR),
with selected information from ACFRs prepared for earlier years.
The ACFR is prepared in accordance with generally accepted
accounting principles (GAAP) and includes audited financial
statements. As such, it provides much more detail as well as
full disclosure of all material events, both financial and non-
financial. The GAAP presentation also includes the City’s
component units (related organizations) and information on
individual funds.
The information in the ACFR can be technical and complex and
as such not as useful to citizens wishing to gain an overview of
the City’s finances. The PAFR has been prepared to simplify the
information in the ACFR and better inform the public about the
overall financial condition of the City, without the heavy use of
technical accounting terms or excessive detail. The PAFR is not
intended to provide a complete financial picture of the City in
accordance with GAAP.
Questions or feedback concerning any of the information
provided in this report or requests for additional financial
information may be directed to the City Controller’s Office via
U.S. mail to 414 East 12th Street, Suite 302, Kansas City, Missouri
64106, via email to finance@kcmo.org or via telephone at 816-
513-1173.
Purpose of Report
Copies of both the PAFR and ACFR are available online at:
KCMO.GOV/CITY-HALL/DEPARTMENTS/FINANCE/FINANCIAL-INFORMATION-REPORTS-AND-POLICIES
2
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
Effective May 1, 2020, the City adopted
GASB NO. 84 Fiduciary Activities; GASB
NO. 88 Certain Disclosures Related to
Debt, including Direct Borrowing and
Direct Placements; and GASB NO. 98 The
Annual Comprehensive Financial Report.
The Government Finance Officers Association of the United
States and Canada (GFOA) has given an award for Outstanding
Achievement in Popular Annual Financial Reporting to the City of
Kansas City, Missouri for its Popular Annual Financial Report for
the fiscal year ended April 30, 2020. 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. The
City of Kansas City, Missouri published its eleventh Popular
Annual Financial Report for the fiscal year ended April 30, 2020,
for which it received an award. We believe our current report
continues to conform to the Popular Annual Financial Reporting
requirements, and we are submitting it to GFOA.
The City of Kansas City, Missouri was awarded the Certificate of
Achievement for Excellence in Financial Reporting by the GFOA
of the United States and Canada for its annual comprehensive
financial report for year ended April 30, 2020. This was the 32nd
consecutive year that the City has achieved this award. 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 comprehensive annual financial report, whose
contents conform to program standards. The report 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 our annual comprehensive financial report
continues to conform to the Certificate of Achievement program
requirements, and we are submitting our annual comprehensive
financial report for the current year to the GFOA.
Awards
Government Finance Officers Association
Award for Outstanding Achievement in Popular Annual Financial Reporting
Presented to
City of Kansas City
Missouri
For its Annual Financial Report
for the Fiscal Year Ended 2020
Executive Director/CEO
Katheryn Shields
4th District At Large
Brandon Ellington
3rd District At Large
Eric Bunch
4th District
Dan Fowler
2nd District
Kevin McManus
6th District
Mayor Pro Tem
Andrea Bough
6th District At Large
Melissa Robinson
3rd District
Teresa Loar
2nd District At Large
Kevin O’Neill
1st District At Large Mayor
Quinton Lucas
Ryana Parks-Shaw
5th District
Heather Hall
1st District
Lee Barnes, Jr.
5th District At Large
Kansas City was founded in 1838 as the “Town of
Kansas” and was incorporated as a city in 1850. The
original charter establishing the Council/Manager
form of government was passed on February 24,
1925. The Kansas City Mayor is the presiding
member of the City Council, which has 12 other
members, one member for each district, plus one
at-large member per district.
Council DistrictsAbout Kansas City
FY 2020-21 Councilmembers
Brian Platt
City Manager
3
Vision: Our local government will be nationally known for its transformative efforts that
make Kansas City the diverse and sustainable community of choice for people to live, work,
and play as a result of its business, educational, and cultural opportunities; sustainable, vibrant
neighborhoods; connectedness; safety; and vitality.
Mission: The mission of the City of Kansas City, Missouri is to deliver quality, customer-
focused municipal services with an emphasis on public safety, neighborhood livability, job
creation, responsible planning for economic growth, infrastructure improvements, transportation
systems, public health, and the environment. In pursuit of this mission, we use data to make
decisions and measure progress based on economic, social, and environmental factors.
4
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
Kauffman Performing Arts Center
The City of Kansas City, Missouri was incorporated in June,
1850 and has the largest municipal government in the state of
Missouri. Under a home-rule charter adopted in 1925 and most
recently revised in 2014, a mayor and 12 council members,
who may serve two consecutive four-year terms, represent six
council districts. The mayor and six council members are elected
at-large, and voters elect the remaining six council members
within their council districts. The Mayor recommends and the
City Council approves the selection of the City Manager, who
is the chief administrative officer.
Kansas City, known as the “City of Fountains-Heart of the
Nation,” is centrally located within 250 miles of the geographic
center of the nation. The maximum distance from Kansas City
to anywhere in the continental United States is approximately
1,900 miles. The City includes land area in Cass, Clay, Jackson,
and Platte Counties and covers 319 square miles, the 14th
largest land area in the country. Much of the City north of the
Missouri River, known as the northland, remains undeveloped.
Kansas City, Missouri is situated at the junction of the Missouri
and Kansas rivers and sits opposite Kansas City, Kansas. It is
the largest city in the Kansas City Metropolitan Area; the most
populous city in Missouri, the sixth largest city in the Midwest,
and the 36th most populous city in the United States. Kansas
City’s location makes it a national transportation hub. The most
geo-central market in the nation, metro Kansas City is served by
four interstate highways. Kansas City has a diversified economy
including transportation, telecommunications, manufacturing,
health care, legal services, trade, financial services, and
governmental services. The region provides access to over one
million jobs in over seven hundred occupations. The top three
employers by employer within Kansas City are Government
at 8.55%, Healthcare at 3.53%, and Healthcare Technology at
1.15%.
Kansas City is recognized for a growing number of hot spot
attractions such as the Kauffman Center for the Performing
Arts, the National World War I Memorial and Museum, the
Nelson-Atkins Museum of Art, the American Jazz Museum, the
Negro Leagues Baseball Museum, Arabia Steamboat Museum,
Science City, Toy and Miniature Museum, Kemper Museum
of Contemporary Art, Starlight Theatre, the Kansas City Zoo,
SEA LIFE Kansas City, Worlds of Fun, Country Club Plaza, River
Market, and the College Basketball Experience.
Housing in the City of Kansas City is comparatively affordable
among major metropolitan cities, with values holding steady.
The median price of an existing home is $204,011 while the
Community Profile
and Demographics
Union Station; photo by Margaret Norcross
Kansas City Streetcar
Kansas City Streetcar Transit Stop at Union
Station
5
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
median home value in Missouri is $198,838. U.S. News and
World Report listed Kansas City 23rd on its “25 best Affordable
Places to Live in the U.S.” ranking, showcasing the value of
residing in Kansas City.
Kansas City has the honor of being the only U.S. city named
a music city by the United Nations Educational, Scientific
and Cultural Organization (UNESCO). Sixty-four cities from
44 countries have received this distinguished designation as
UNESCO Creative Cities. The City has joined the frontline of
UNESCO’s efforts to foster innovation and creativity as key
drivers for a more sustainable and inclusive urban development.
While these cities differ geographically, demographically
or economically, all Creative Cities commit to develop and
exchange innovative best practices to promote creative
industries, strengthen participation in cultural life, and integrate
culture into sustainable urban development policies.
Kansas City celebrated its second consecutive American
Football Conference Championship in 2021 after the Kansas
City Chiefs defeated the Buffalo Bills 38-24. This resulted in the
team’s fourth trip to the Super Bowl.
Per the Bureau of Labor Statistics, the unemployment rate (not
seasonally adjusted) for Kansas City as of April 30, 2021, was
5.7%, which is 0.4 percentage points lower than the national
unemployment rate of 6.1%.
For sports fans, Kansas City Missouri offers two professional
sports teams - the Kansas City Chiefs (National Football
League-2020 Super Bowl champions), and the Kansas City
Royals (Major League Baseball - 2015 World Series Champions).
Within the Kansas City region are Sporting Kansas City (Major
Soccer League - 2013 Champions), Kansas City Current
(National Women’s Soccer League), Kansas City Mavericks
(Central Hockey League), Kansas City Monarchs (American
Association of Independent Professional Baseball), and the
Missouri Comets (Major Indoor Soccer League). Kansas City
Urban Youth Academy enhances Parade Park for neighbors and
supports the existing efforts of Major League Baseball to attract
more youth to the game.
Swope Park Soccer Village
KC Urban Youth Academy
National WWI Museum
Bartle Hall Sky Station Repair
6
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
Since 2012, population has risen 8.4 percent. As
of the fiscal year ended April 30, 2021, the City
has an estimated population of 503,443
Per capita personal income in Kansas City has
risen 27.5 percent in the last ten years
Although the City’s unemployment rate has
fallen to 5.7 percent in 2021 from the 7.3
percent in 2012, the unemployment rate has
not recovered to pre-pandemic levels of 3.1
percent in 2019.
Kansas City Population
Per Capita Personal Income
Unemployment Rate
26,066
26,202
26,998
29,261
29,524
31,767
32,108
32,517
33,875
33,236
15,000 20,000 25,000 30,000 35,000 40,000
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
Dollars ($)
7.3
7.3
6.9
5.7
4.9
4.3 3.5
3.1
7.2
5.7
—
1.0
2.0
3.0
4.0
5.0
6.0
7.0
8.0
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
464.5 467.3 470.9
475.3
482.1
488.9 489.5
494.3
499.1
440.0
450.0
460.0
470.0
480.0
490.0
500.0
510.0
2012 2013 2014 2015 2016 2017 2018 2019 2020
503.4
2021
(i
n
t
h
o
u
s
a
n
d
s
)
In fiscal year 2021, the top ten employers in the
KC metropolitan statistical area (MSA) employed
14.41% of the total workforce
Top Ten Principal Employers Employer Employees % of total
Public School System 42,287 3.79%
Federal Government 28,396 2.55%
State/County/City Government 24,701 2.21%
The University of Kansas Hospital 12,839 1.15%
Cerner Corp. 12,778 1.15%
HCA Midwest Health System 10,076 0.90%
Saint Luke's Health System 9,056 0.81%
Children's Mercy 7,398 0.66%
Ford Motor Co. KC Assembly Plant 7,250 0.65%
T-Mobile US Inc. 6,000 0.54%
Total employment Kansas City MSA 1,115,600 14.41%
7
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
Financial Planning Cycle
The City’s fiscal year is from May 1st to April 30th. The City Charter requires that the City Council adopt a five-year
citywide business plan and financial strategic plan by November 1st of each year. The five-year business and financial
plan contains the strategic priorities and critical issues that serve as the foundation for the preparation of the submitted
budget which must be adopted by the City Council at the fourth regular council meeting in March, for the fiscal year
commencing on May 1st. The following provides a graphical sequence of the financial planning cycle.
The City Charter requires the City Council to adopt an annual budget by the fourth regular meeting in March. The City’s fiscal year spans from May 1 to April 30. The City’s year-round budget and planning
process includes several phases: citywide
business planning, budget development
and review, budget adoption, and budget
amendments.
CITYWIDE BUSINESS PLANNING
The City Council has adopted a vision
statement, mission statement, and seven
goal statements to guide the budget process
and to ensure clearly communicated
priorities. The Citywide Business Plan and budget cycle begins in May, the first month of the new fiscal year, when the City Council and departments develop goals and objectives to achieve the organization’s
mission. A forecast model that links
expenditure choices to service levels and
performance standards gives policymakers
the tools to set priorities, make choices,
and understand the opportunity costs
of those choices. The planning process
influences the budget by identifying financial
parameters to reach fiscal balance. Budget
development begins with the adoption of the
five-year financial plan.
BUDGET DEVELOPMENT AND REVIEWBy November 1 of each year, the Mayor and Council adopt a five-year financial plan. The annual budget is prepared in consideration of the five-year financial plan
and priorities established by the Council as
the City Charter requires.
The Finance Department issues budget
instructions to city departments, boards,
and commissions. Departments use the
instructions to estimate revenues and to
request the appropriations necessary for
their program needs in the next fiscal year.
Business Plan & Budget Cycle
Council Priorities
Department
Strategic PlansTrend Analysis
Submitted Citywide
Business Plan
Adopted Citywide
Business PlanSubmitted Budget
Adopted Budget
Public Process
BUDGET PROCESS
8
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
Financial Highlights
The information provided is summarized and represents only selected funds and therefore is not in accordance with
generally accepted accounting principles (GAAP) and is not intended to represent all of the City’s component units
(CU’s) and fiduciary funds. A glossary of accounting terms and acronyms used in this report may be found on pages 19
and 20. The following table is a summary of select financial data for the past three fiscal years.
Governmental Activities: general government, public
safety (police, fire and municipal court), public works,
neighborhood development, health, culture and recreation,
convention facilities, and economic development
Business-type Activities: water system,
sanitary sewer and stormwater systems, and
aviation
FFiinnaanncciiaall SSuummmmaarryy
(in thousands)22002200--22002211 22001199--22002200 22001188--22001199
NNeett PPoossiittiioonn
Assets plus Deferred Outflows 11,079,608$ 10,300,548$ 9,185,714$
Liabilities plus Deferred Inflows 6,297,698 5,420,102 4,262,120
Total Net Position 4,781,910 4,880,446 4,923,594
RReevveennuueess
Governmental Activities 1,321,338$ 1,236,716$ 1,203,417$
Business-type Activities 605,716 680,961 642,682
Total Revenues 1,927,054 1,917,677 1,846,099
EExxppeennsseess
Governmental Activities 1,513,979$ 1,409,631$ 1,375,103$
Business-type Activities 511,611 551,194 450,733
Total Expenses 2,025,590 1,960,825 1,825,836
CCaappiittaall AAsssseettss
Governmental Activities 3,813,774$ 3,955,406$ 4,147,508$
Business-type Activities 3,926,195 3,324,527 2,984,903
Total Capital Assets 7,739,969 7,279,933 7,132,411
LLoonngg--TTeerrmm LLiiaabbiilliittiieess
Governmental Activities 2,723,407$ 2,536,554$ 2,473,454$
Business-type Activities 3,018,288 2,365,121 1,338,414
Total Long-Term Liabilities 5,741,695 4,901,675 3,811,868
9
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
The Balance Sheet, known as the Statement of Net Position
in governmental financial statements, presents information
concerning the City’s assets, deferred outflows, liabilities
and deferred inflows with the net amount reported as net
position. Increases and decreases in net position serve
as an indicator of the City’s financial position and of the
results of the City’s operations.
The assets and deferred outflows of the City exceeded
its liabilities and deferred inflows at the close of fiscal
year 2021 by $4.782 billion. Of this amount, a negative
$495,246 million is considered unrestricted. At the end
of the prior fiscal year, assets exceeded liabilities by
$4.880 billion indicating that the government financial
position declined during the year. The largest portion of
the City’s net position, $4.637 billion or 97.0%, consists
of its investment in capital assets (land, buildings, land
improvements, monuments and fountains, machinery and
equipment, and infrastructure) less any related debt used
to acquire those assets that is still outstanding. The City
uses these capital assets to provide services to citizens;
consequently, these assets are not available for future
spending. Therefore, even though the City’s investment in
capital assets is reported net of related debt, the resources
needed to repay debt cannot come from the capital assets
themselves and must be provided from other sources.
An additional portion of the City’s net position, $640.3
million or 13.4%, represents resources that are subject
to external restrictions as to how they may be used. The
remaining balance of unrestricted net position is a negative
$495.2 million which represents the amount available
to be used to meet ongoing obligations to citizens and
creditors. It is also important to note the total unrestricted
net position of the City’s business-type activities, or $599.0
million, may not be used to fund governmental activities.
The unrestricted net position of the governmental activities
decreased by $3.3 million. The unrestricted net position
of the business-type activities increased by $34.9 million.
Net Position
SSttaatteemmeenntt ooff NNeett PPoossiittiioonn
(in thousands)
2020-21 2019-20 2020-21 2019-20 2020-21 2019-20
Current and Other Assets 729,258$ 678,189$ 2,181,919$ 2,034,637$ 2,911,177$ 2,712,826$
Capital Assets 3,813,774 3,955,406 3,926,195 3,324,527 7,739,969 7,279,933
TToottaall AAsssseettss 44,,554433,,003322 44,,663333,,559955 66,,110088,,111144 55,,335599,,116644 1100,,665511,,114466 99,,999922,,775599
Deferred Outflows 382,183 283,400 46,279 24,389 428,462 307,789
Long-term Liabilities Outstanding 2,723,407 2,536,554 3,018,288 2,365,121 5,741,695 4,901,675
Other Liabilities 282,202 283,537 160,395 145,064 442,597 428,601
TToottaall LLiiaabbiilliittiieess 33,,000055,,660099 22,,882200,,009911 33,,117788,,668833 22,,551100,,118855 66,,118844,,229922 55,,333300,,227766
Deferred Inflows 101,416 86,073 11,990 3,753 113,406 89,826
NNeett PPoossiittiioonn::11,,881188,,119900$$ 22,,001100,,883311$$ 22,,996633,,772200$$ 22,,886699,,661155$$ 44,,778811,,991100$$ 44,,888800,,444466$$
Net Investment in Capital Assets 2,633,287$ 2,790,472$ 2,003,563$ 1,941,799$ 4,636,850$ 4,732,271$
Restricted 279,188 311,365 361,118 363,706 640,306 675,071
Unrestricted (1,094,285) (1,091,006) 599,039 564,110 (495,246) (526,896)
TToottaall NNeett PPoossiittiioonn 11,,881188,,119900$$ 22,,001100,,883311$$ 22,,996633,,772200$$ 22,,886699,,661155$$ 44,,778811,,991100$$ 44,,888800,,444466$$
GGoovveerrnnmmeennttaall AAccttiivviittiieess BBuussiinneessss--ttyyppee AAccttiivviittiieess TToottaall
10
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
27941120204Check % rates on chart to make sure agree 60101
Revenues-Business-type Activities %Amount
Charges for Services 83.9%83.9%508,292
Grants and Contributions 13.2%13.2%79,985
Investment Earnings 2.9%2.9%17,439
Total 100%605,716
Expenses-Governmental Activities Amount
per printed CAFR
Economic Development 7,764 7,764$
Convention Facilities 39,134 39,134
Health 68,447 68,447
Culture and Recreation 86,623 86,623
Interest on Long-Term Debt 65990 110445 65,990
Neighborhood Development 110445 65990 110,445
General Government 241,070 241,070
Public Works 388,812 388,812
Public Safety 504,869 504,869
Unallocated Depreciation 825 825
1,513,979 - 1,513,979
316,675
181,815
47,599
171,589
289,036
221,835
27,977
62,503
2,309
Services 23.9%Operating Grants
13.8%
Capital Grants
3.6%
Property Taxes
13.0%
Earnings and
Profits Taxes 21.9%
Sales Taxes 16.8%Hotel and
Restaurant Taxes
2.1%
Other Taxes 4.7%Interest 0.2%
RReevveennuueess--GGoovveerrnnmmeennttaall AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
Thousands
83.9%
13.2%
2.9%
RReevveennuueess--BBuussiinneessss--ttyyppee AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
Charges for
Services 83.9%
Grants and
Contributions
13.2%
Investment
Earnings 2.9%
83.9%
13.2%
2.9%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
Charges for
Services 83.9%
Grants and
Contributions
13.2%
Investment
Earnings 2.9%
RReevveennuueess--BBuussiinneessss--ttyyppee AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
Revenues
Governmental Activities
• Program Revenues increased $88.6M due
to Operating Grants and Contributions, and
Capital Grants and Contributions.
• General Revenues decreased $4.0M due to the
decline in the local economy.
Business-type Activities
• Charges for services decreased by $48.9M,
partly due to lower revenue from terminal,
landing, and parking fees at the KCI airport.
• Investment earnings decreased by $44.7M
mostly due to the change in the market value of
the investments year over year
WHERE DOES THE MONEY COME FROM?
TToottaall RReevveennuueess -- GGoovveerrnnmmeennttaall AAccttiivviittiieess TToottaall EExxppeennsseess -- GGoovveerrnnmmeennttaall AAccttiivviittiieess
(in thousands)(in thousands)
2020-21 2019-20 2020-21 2019-20
Program Revenues Expenses
Charges for Services 316,675$ 326,871$ Public Safety 504,869$ 490,091$
Operating Grants and Contributions 181,815 107,178 Public Works 388,812 382,235
Capital Grants and Contributions 47,599 23,431 General Government 241,070 195,757
General Revenues Neighborhood Development 110,445 90,880
Earnings and Profits Taxes 289,036 244,895 Culture and Recreation 86,623 75,617
Sales Taxes 221,835 240,632 Interest on Long-Term Debt 65,990 65,300
Property Taxes 171,589 164,786 Health 68,447 55,607
Hotel and Restaurant Taxes 27,977 49,578 Convention Facilities 39,134 40,740
Other Taxes 62,503 58,424 Economic Development 7,764 12,351
Investment Earnings 2,309 20,921 Unallocated Depreciation 825 1,053
TToottaall RReevveennuueess 11,,332211,,333388$$ 11,,223366,,771166$$ TToottaall EExxppeennsseess 11,,551133,,997799$$ 11,,440099,,663311$$
TToottaall RReevveennuueess -- BBuussiinneessss--ttyyppee AAccttiivviittiieess TToottaall EExxppeennsseess -- BBuussiinneessss--ttyyppee AAccttiivviittiieess
(in thousands)(in thousands)
2020-21 2019-20 2020-21 2019-20
Program Revenues Expenses
Charges for Services 508,292$ 557,215$ Water 134,179$ 131,481$
Operating Grants and Contributions 35,142 29,388 Sewer 182,908 189,486
Capital Grants and Contributions 44,843 32,226 Aviation 194,524 230,227
General Revenues TToottaall EExxppeennsseess 551111,,661111$$ 555511,,119944$$
Investment Earnings 17,439 62,132
TToottaall RReevveennuueess 660055,,771166$$ 668800,,996611$$ 35,703$
2794112020
4
Check % rates on chart to make sure agree 6
0
101
Revenues-Business-type Activities %Amount
Charges for Services 83.9%83.9%508,292
Grants and Contributions 13.2%13.2%79,985
Investment Earnings 2.9%2.9%17,439
Total 100%605,716
Expenses-Governmental Activities Amount
per printed
CAFR
Economic Development 7,764 7,764$
Convention Facilities 39,134 39,134
Health 68,447 68,447
Culture and Recreation 86,623 86,623
Interest on Long-Term Debt 65990 110445 65,990
Neighborhood Development 110445 65990 110,445
General Government 241,070 241,070
Public Works 388,812 388,812
Public Safety 504,869 504,869
Unallocated Depreciation 825 825
1,513,979 - 1,513,979
316,675
181,815
47,599
171,589
289,036
221,835
27,977
62,503
2,309
Services 23.9%Operating Grants
13.8%
Capital Grants
3.6%
Property Taxes
13.0%
Earnings and
Profits Taxes 21.9%
Sales Taxes 16.8%Hotel and
Restaurant Taxes
2.1%
Other Taxes 4.7%Interest 0.2%
RReevveennuueess--GGoovveerrnnmmeennttaall AAccttiivviittiieessFFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
Thousands
83.9%
13.2%
2.9%
RReevveennuueess--BBuussiinneessss--ttyyppee AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
Charges for
Services 83.9%
Grants and
Contributions
13.2%
Investment
Earnings 2.9%
83.9%
13.2%
2.9%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
90.0%
Charges for
Services 83.9%
Grants and
Contributions
13.2%
Investment
Earnings 2.9%
RReevveennuueess--BBuussiinneessss--ttyyppee AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
11
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
Expenses-Business-type Activities Amount
Water 123,221
Sewer 170,893
Aviation 194,524
Total 488,638
$0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000
Economic Development
Convention Facilities
Health
Culture and Recreation
Interest on Long-Term Debt
Neighborhood Development
General Government
Public Works
Public Safety
EExxppeennsseess--GGoovveerrnnmmeennttaall AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
((iinn tthhoouussaannddss))
$0
$50,000
$100,000
$150,000
$200,000
$250,000
Water Sewer Aviation
EExxppeennsseess--BBuussiinneessss--ttyyppee AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
((iinn tthhoouussaannddss))
Expenses
WHERE DOES THE MONEY GO?
Governmental Activities
• General Government expenses increased from
the prior year by $104.3M due to the COVID-19
related expenses.
Business-type Activities
• Sewer and Water fund expenses decreased by
$3.9M, due to decreased costs to comply with
the department’s separate and combined sewer
system overflow control program.
• Aviation fund expenses decreased by $35.7M
due to a decrease in passenger traffic and travel
activity as a result of the COVID-19 Pandemic.
TToottaall RReevveennuueess -- GGoovveerrnnmmeennttaall AAccttiivviittiieess TToottaall EExxppeennsseess -- GGoovveerrnnmmeennttaall AAccttiivviittiieess
(in thousands)(in thousands)
2020-212019-20 2020-21 2019-20
Program Revenues Expenses
Charges for Services316,675$ 326,871$ Public Safety 504,869$ 490,091$
Operating Grants and Contributions181,815 107,178 Public Works 388,812 382,235
Capital Grants and Contributions47,599 23,431 General Government 241,070 195,757
General Revenues Neighborhood Development 110,445 90,880
Earnings and Profits Taxes289,036 244,895 Culture and Recreation 86,623 75,617
Sales Taxes221,835 240,632 Interest on Long-Term Debt 65,990 65,300
Property Taxes171,589 164,786 Health 68,447 55,607
Hotel and Restaurant Taxes27,977 49,578 Convention Facilities 39,134 40,740
Other Taxes62,503 58,424 Economic Development 7,764 12,351
Investment Earnings2,309 20,921 Unallocated Depreciation 825 1,053
TToottaall RReevveennuueess11,,332211,,333388$$ 11,,223366,,771166$$ TToottaall EExxppeennsseess 11,,551133,,997799$$ 11,,440099,,663311$$
TToottaall RReevveennuueess -- BBuussiinneessss--ttyyppee AAccttiivviittiieess TToottaall EExxppeennsseess -- BBuussiinneessss--ttyyppee AAccttiivviittiieess
(in thousands)(in thousands)
2020-212019-20 2020-21 2019-20
Program Revenues Expenses
Charges for Services508,292$ 557,215$ Water 134,179$ 131,481$
Operating Grants and Contributions35,142 29,388 Sewer 182,908 189,486
Capital Grants and Contributions44,843 32,226 Aviation 194,524 230,227
General Revenues TToottaall EExxppeennsseess 551111,,661111$$ 555511,,119944$$
Investment Earnings17,439 62,132
TToottaall RReevveennuueess660055,,771166$$ 668800,,996611$$ 35,703$
Expenses-Business-type Activities Amount
Water 123,221
Sewer 170,893
Aviation 194,524
Total 488,638
$0 $100,000 $200,000 $300,000 $400,000 $500,000 $600,000
Economic Development
Convention Facilities
Health
Culture and Recreation
Interest on Long-Term Debt
Neighborhood Development
General Government
Public Works
Public Safety
EExxppeennsseess--GGoovveerrnnmmeennttaall AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
((iinn tthhoouussaannddss))
$0
$50,000
$100,000
$150,000
$200,000
$250,000
Water Sewer Aviation
EExxppeennsseess--BBuussiinneessss--ttyyppee AAccttiivviittiieess
FFoorr FFiissccaall YYeeaarr EEnnddeedd AApprriill 3300,, 22002211
((iinn tthhoouussaannddss))
12
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
Capital Assets
WHAT DO WE OWN?Governmental capital assets, net of depreciation
and disposals, decreased by $141.6 million. This
calculation is composed of $266.9 million in
new asset expenditures less ($312.7) million in
depreciation plus ($95.8) million for disposals
and decreases to construction in progress. The
$266.9 million is due to $40 million in building
improvements, including Linwood Shopping
Center, District One Fire Station, and Municipal
Court renovation; $63 million in land, land
improvements, and infrastructure, including
construction on roadways for Prospect Max, Tiffany
Springs Rd over I-29, N Oak – NKC to Indianola,
NE 104th – 291 to A Hwy, Walnut St – 3rd to
5th St, and 107th St from Blue Ridge Blvd; $10.1
million for vehicles; $147.5 millions in additions to
construction in progress and numerous smaller
projects; $6.4 million for machinery, equipment &
rolling stock and software, including equipment
for fire fighters (self – contained breathing
apparatuses), software wireless upgrade, and
lawn equipment. The City received assets of $20.2
million in donations. These consisted mainly of
$10.4 million for land improvements deeded to the
City from Friends of the Zoo.
Business type capital assets, net of depreciation and disposals, increased by $601.7 million as follows:
• $436.1 million net increase in aviation assets for airfield rehabilitation, facility upgrades, construction of a new
airport terminal, and equipment purchases
• $41.2 million net increase for water utility lines and improvements, buildings and improvements, and equipment
• $124.4 million net increase for sewer utility lines and improvements, buildings and improvements, and machinery
and equipment
The City needs more than just dollars to provide its citizens with
services, and as such, many types of assets are required to keep
the City performing and delivering its various services.
The City’s acquisition of capital assets, net of depreciation, for
governmental and business-type activities as of April 30, 2021
amounted to $7.740 billion, which was an increase of 6.32%
from fiscal year 2020. Capital assets include land, buildings,
improvements, machinery and equipment, land improvements,
monuments, fountains and other works of art, street surfacing,
bridges and culverts, curbs, sidewalks, street lighting, traffic
signals, signage, utility lines and runways.
CCaappiittaall AAsssseettss
(in thousands)
2020-21 2019-20 2020-21 2019-20 2020-21 2019-20
Land/Permanent Right of Way 365,941$ 365,891$ 61,419$ 61,364$ 427,360$ 427,255$
Works of Art 3,753 3,700 - - 3,753 3,700
Buildings and Improvements 1,536,703 1,496,765 1,133,176 1,120,946 2,669,879 2,617,711
Monuments and Fountains 127,856 127,850 - - 127,856 127,850
Temporary Right of Way 916 905 - - 916 905
Land Improvements 422,505 407,725 11,961 8,855 434,466 416,580
Machinery and Equipment 347,655 333,821 397,865 379,813 745,520 713,634
Infrastructure-Modified 599,184 596,397 - - 599,184 596,397
Infrastructure-Depreciated 2,124,722 2,079,421 3,114,257 2,979,472 5,238,979 5,058,893
Green infrastructure - - 29,755 11,938 29,755 11,938
Accumulated Depreciation (1,946,055) (1,635,622) (1,750,641) (1,683,687) (3,696,696) (3,319,309)
Construction in Progress 230,594 178,553 928,403 445,826 1,158,997 624,379
TToottaall CCaappiittaall AAsssseettss 33,,881133,,777744$$ 33,,995555,,440066$$ 33,,992266,,119955$$ 33,,332244,,552277$$ 77,,773399,,996699$$ 77,,227799,,993333$$
GGoovveerrnnmmeennttaall AAccttiivviittiieess BBuussiinneessss--ttyyppee AAccttiivviittiieess TToottaall
IInnffrraassttrruuccttuurree--MMooddiiffiieedd CCoonnddiittiioonn AAsssseessssmmeenntt
DDeessiirreedd
CCoonnddiittiioonn LLeevveell 22002211 22002200 22001199 22001188 22001177 22001166
Bridges *>= 65 79.10 77.64 77.64 77.00 77.00 76.98
Street Lighting >= 90 98.87 97.15 96.61 98.41 97.16 98.46
* 75% of bridges should be rated 65 or better
PPeerrcceennttaaggee aabboovvee DDeessiirreedd CCoonnddiittiioonn LLeevveell
13
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
As of April 30, 2021, the City’s long-term obligations totaled $5.741 billion, comprised of $2.723 billion for governmental
activities and $3.018 billion for business-type activities. Of this total, $196.1 million is due within one year. The long-
term obligations for the City include debt, pension, other post-employment benefit obligations, compensated absences
and claims payable.
Long-term Obligations
WHAT DO WE OWE?
Long-Term Debt
April 30, 2021
LLoonngg--TTeerrmm OObblliiggaattiioonn
(in thousands )
AAmmoouunnttss AAmmoouunnttss AAmmoouunnttss
PPaayyaabbllee aatt DDuuee WWiitthhiinn PPaayyaabbllee aatt DDuuee WWiitthhiinn PPaayyaabbllee aatt DDuuee WWiitthhiinn
AApprriill 3300,, 22002211 OOnnee YYeeaarr AApprriill 3300,, 22002211 OOnnee YYeeaarr AApprriill 3300,, 22002211 OOnnee YYeeaarr
General obligation bonds 380,185 37,375 - - 380,185 37,375
Bonds – KCMAC 57,443 6,953 - - 57,443 6,953
Implied Loan-Off Market Swap 2,585 197 - - 2,585 197
Bonds – PIEA - - - - - -
Special Obligations 873,487 44,353 - - 873,487 44,353
Bonds – IDA 77,745 - 1,616,985 11,830 1,694,730 11,830
Bonds – LCRA - - - - - -
Revenue Bonds - - 902,934 44,701 902,934 44,701
Notes payable – various 71,131 14,056 - - 71,131 14,056
Contract payments due developer 36,944 509 - - 36,944 509
Net pension liability 977,594 - 115,426 1,093,020 -
Net Other Post Employment Benefit
Obligation 73,734 - 19,643 - 93,377 -
Compensated absences 41,660 9,139 10,771 3,428 52,431 12,567
Claims Payable 60,292 14,125 40,659 9,483 100,951 23,608
Add:
Unamortized Premium 72,333 - 313,649 - 385,982 -
Less:
Discount (1,726) - (1,779) - (3,505) -
TToottaall LLoonngg--TTeerrmm OObblliiggaattiioonn 22,,772233,,440077$$ 112266,,770077$$ 33,,001188,,228888$$ 6699,,444422$$ 55,,774411,,669955$$ 119966,,114499$$
Limited Obligation Debt 67.8%2,699,376 67.8%
Revenue Bonds 22.7%902,934 22.7%
General Obligation Bonds 9.5%380,185 9.5%3,982,495
GGoovveerrnnmmeennttaall AAccttiivviittiieess BBuussiinneessss--ttyyppee AAccttiivviittiieess TToottaall
Limited Obligation Debt
67.8%
Revenue Bonds 22.7%
General Obligation Bonds
9.5%
LLoonngg--TTeerrmm OObblliiggaattiioonn
(in thousands)
AAmmoouunnttss AAmmoouunnttss AAmmoouunnttss
PPaayyaabbllee aatt DDuuee WWiitthhiinn PPaayyaabbllee aatt DDuuee WWiitthhiinn PPaayyaabbllee aatt DDuuee WWiitthhiinn
AApprriill 3300,, 22002211 OOnnee YYeeaarr AApprriill 3300,, 22002211 OOnnee YYeeaarr AApprriill 3300,, 22002211 OOnnee YYeeaarr
General obligation bonds 380,185 37,375 - - 380,185 37,375
Bonds – KCMAC 57,443 6,953 - - 57,443 6,953
Implied Loan-Off Market Swap 2,585 197 - - 2,585 197
Bonds – PIEA - - - - - -
Special Obligations 873,487 44,353 - - 873,487 44,353
Bonds – IDA 77,745 - 1,616,985 11,830 1,694,730 11,830
Bonds – LCRA - - - - - -
Revenue Bonds - - 902,934 44,701 902,934 44,701
Notes payable – various 71,131 14,056 - - 71,131 14,056
Contract payments due developer 36,944 509 - - 36,944 509
Net pension liability 977,594 - 115,426 1,093,020 -
Net Other Post Employment Benefit
Obligation 73,734 - 19,643 - 93,377 -
Compensated absences 41,660 9,139 10,771 3,428 52,431 12,567
Claims Payable 60,292 14,125 40,659 9,483 100,951 23,608
Add:
Unamortized Premium 72,333 - 313,649 - 385,982 -
Less:
Discount (1,726) - (1,779) - (3,505) -
TToottaall LLoonngg--TTeerrmm OObblliiggaattiioonn 22,,772233,,440077$$ 112266,,770077$$ 33,,001188,,228888$$ 6699,,444422$$ 55,,774411,,669955$$ 119966,,114499$$
Limited Obligation Debt 67.8%2,699,376 67.8%Revenue Bonds 22.7%902,934 22.7%General Obligation Bonds 9.5%380,185 9.5%3,982,495
GGoovveerrnnmmeennttaall AAccttiivviittiieess BBuussiinneessss--ttyyppee AAccttiivviittiieess TToottaall
Limited Obligation Debt67.8%
Revenue Bonds 22.7%
General Obligation Bonds9.5%
Schedule of Funding Progress-Pension Systems
TToottaall PPeennssiioonn FFiidduucciiaarryy NNeett NNeett PPeennssiioonn FFuunnddeedd
LLiiaabbiilliittyy PPoossiittiioonn LLiiaabbiilliittyy RRaattiioo
Employees' Retirement System
Governmental Activities $$900,637 $$692,500 $$208,137 76.89%
Business-type Activities 520,760 405,334 115,426 77.84%
Firefighters' Pension System 821,693 524,724 296,969 63.86%
Civilian Employees' Retirement System 198,752 145,365 53,387 73.14%
Police Retirement System 1,293,439 874,338 419,101 67.60%
Total $$3,735,281 $$2,642,261 $$1,093,020 70.74%
14
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
External credit ratings are important and have a direct influence
on the City’s ability to:
• minimize borrowing costs – a stated objective of the City’s
Debt Policy
• successfully borrow money to complete the acquisition and
construction of long-lived capital assets.
As shown below, the City’s most recent credit ratings are in the
categories of “A” and “AA’”. According to the rankings provided
by the rating agencies, “AA” rated bonds are high credit quality
bonds and are subject to low credit risk. “A” rated bonds are also
of high credit quality but are susceptible to adverse business or
economic conditions.
City’s Credit
HOW’S OUR CREDIT?
During fiscal year 2021, $174 out of
every $1,000 spent by the City on
governmental operating activities
paid for principal and interest on
outstanding bonds and notes.
201915.4%
202016.3%
202117.4%
15.0%
15.4%
14.3%14.9%
14.6%14.9%15.2%15.4%16.3%17.4%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
20.0%
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021
DDeebbtt SSeerrvviiccee aass %% ooff nneett OOppeerraattiinngg EExxppeennddiittuurreess
EExxcclluuddeess BBuussiinneessss--ttyyppee aaccttiivviittiieess
CCiittyy''ss BBoonndd CCrreeddiitt RRaattiinnggss
as of April 30, 2021
MMooooddyy''ss SSttaannddaarrdd aanndd FFiittcchh''ss
Type of Bonds Issued RRaattiinngg PPoooorr''ss RRaattiinngg RRaattiinngg
General Obligation Bonds Aa3 AA AA-
Kansas City, Missouri Special Obligation Bonds A2 AA-Not Rated
Water Revenue Bonds (Senior Lien Bonds)Aa2 AA+Not Rated
Sewer Revenue Bonds (Junior Lien Bonds)Aa2 AA Not Rated
Airport Annual Appropriation Obligations A2 A-A
15
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
Investments
HOW SAFE IS OUR MONEY?
TYPES OF RISK
Interest Rate Risk – the risk that the fair value of the City’s
investments will decrease as a result of an increase in interest
rates.
Credit Risk – the risk that the City will not recover its investments
due to the inability of the counterparty to fulfill its obligation.
Custodial Credit Risk – the risk that, in the event of the failure
of the counterparty, the City will not be able to recover the value
of its deposits, investments or collateral securities that are in
the possession of an outside party (i.e. the City’s safekeeping
institution).
WAYS THE CITY MITIGATES RISK
Interest Rate Risk – to limit its exposure to fair value losses
arising from rising interest rates, the City’s Investment Policy
limits the final maturity on any security owned to a maximum
of five years.
Credit Risk – in order to prevent over concentration by
investment type, the City’s Investment Policy provides for
diversification of its portfolio.
Custodial Credit Risk – the City’s Investment Policy requires
that all funds on deposit with any financial institution be secured
with collateral securities in an amount equal to at least 102
percent of the deposit less any amount insured by the FDIC. The
policy also requires that all investment securities be held in the
City’s name in the City’s safekeeping account at its safekeeping
institution.
The fair value of the City’s investments as of April 30,
2021 is displayed below.
CCaasshh aanndd IInnvveessttmmeennttss
(in thousands)footnote 2 - Summary schedule
Deposits 28,339$ 28,339$ 28,339$
Investments 1,477,031 1,477,031 1,477,031$
Trustee Accounts 1,130,640 1,130,640 1,130,640$
Imprest Funds 43 43 43$
TToottaall 22,,663366,,005533$$ 22,,663366,,005533$$ 22,,663366,,005533$$
The deposits and investments of the City are reflected in
the financial statements as follows.
(in thousands)
Cash and Short-term Investments 1,181,242$
Restricted Cash and ST Investments 1,453,800
TToottaall 22,,663355,,004422$$
IInnvveessttmmeennttss
(in thousands)
IInnvveessttmmeenntt TTyyppee FFaaiirr VVaalluuee
PPoooolleedd IInnvveessttmmeennttss::
US Treasury Notes/Bonds 306,803
Municipal Bonds 38,333
US Agency - Discounts 9,999
US Agency - Noncallable 728,339
US Agencies - Callable 224,636
US Agency - MBS 8,184
Total Pooled 1,316,294$
RReessttrriicctteedd IInnvveessttmmeennttss::
US Treasury Bills 34,997
US Treasury Notes/Bonds 21,327
US Agency Discounts 24,500
US Agencies - Noncallable 64,468
US Agencies - Callable 15,445
Total Restricted 160,737$
GGrraanndd TToottaall 11,,447777,,003311$$
FFaaiirr VVaalluuee
IInnvveessttmmeenntt TTyyppee
MMooooddyy''ss//SS&&PP
RRaattiinnggss
US Agency Securities 1,075,571 Aaa/AA+
Municipal Obligations 38,333 Aaa/AA+
TToottaall 11,,111133,,990044$$
16
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
The general fund’s total fund balance
decreased by ($14.5) million in fiscal year
2021. The general fund’s reserves decreased
by ($13.1) million in fiscal 2021, comprised
of ($1.0) million for stabilization amount,
($1.0) million for countercyclical reserves,
and ($11.1) million in unassigned. The
stabilization and countercyclical reserves
are fully funded as of April 30, 2021
Ratios/Trends
HOW ARE WE DOING?
Looking at key financial ratios and trends
over several years enables the City to have
a clearer picture of where it has been and
where it is going.
Total Margin Ratio focuses on whether the government lived
within its financial means during the fiscal year. A ratio of 1.0
or higher is desired.
% Change in Net Assets focuses on the extent to which the
financial position improved or deteriorated. A positive per-
centage change is desired.
Quick Ratio focuses on the ability to meet short-term ob-
ligations and is a measure of the government’s liquidity. A
ratio of 1.0 or higher is desired.
Net Position Ratio focuses on the ability to meet long-term
obligations and is a measure of the government’s solvency. A
high ratio is desired.
Debt to Assets Ratio focuses on the extent to which total
assets are financed with long-term debt and is a measure of
the government’s leverage. A lower ratio is desired as a high
ratio implies an over reliance on debt for financing assets.
Capital Assets Condition Ratio focuses on the condition of
capital assets in relation to the remaining useful life. A high
ratio is desired as it implies the government is investing in
capital assets.
Overall Summary: The ratios for the past five years are
relatively flat. The near term financial position, as indicated
by the quick ratio remains strong but is beginning to show
a decline. Two of the last three ratios that look at the long
term financial position continue to show a slight downward
trend.
HHooww aarree 22001122 22001133 22001144 22001155 22001166 22001177 22001188 22001199 22002200 22002211
wwee ddooiinngg??
♦Total Margin Ratio 1.03 0.96 1.00 1.04 0.99 0.97 0.97 0.88 0.88 0.87
♦% Change in Net Position 1.0%-1.4%0.1%1.3%-0.2%-1.2%-1.3%-7.0%-7.6%-9.6%
♦Quick Ratio 2.46 1.92 1.88 1.71 1.77 1.72 1.63 1.49 1.59 2.63
♦Net Position Ratio -0.01 -0.09 -0.12 -0.11 -0.26 -0.26 -0.29 -0.35 -0.39 -0.36
♦Debt to Assets Ratio 0.34 0.33 0.34 0.32 0.46 0.33 0.33 0.31 0.33 0.34
♦Capital Assets Condition Ratio 0.69 0.67 0.65 0.63 0.61 0.61 0.60 0.69 0.63 0.57
GGoovveerrnnmmeennttaall
AAccttiivviittiieess OOnnllyy
FFuunndd BBaallaannccee 22002200--22002211 22001199--22002200 22001188--22001199
Nonspendable -$ -$ -$
Restricted - - 800
Committed 46,188 46,859 56,812
Assigned 46,277 49,026 49,895
Unassigned 8,708 19,765 7,359
TToottaall FFuunndd BBaallaannccee 110011,,117733$$ 111155,,665500$$ 111144,,886666$$
FFuunndd BBaallaannccee 22002200--22002211 22001199--22002200 22001188--22001199
Restricted
Workers compensation -$ -$ 800$
Committed
Stabilization amount 43,532 44,543 45,889
Contractual obligations 1,205 251 8,481
Re-appropriations 1,451 2,065 2,442
Assigned
Countercyclical reserve 43,532 44,543 45,889
Contractual obligations 2,745 4,483 4,006
Unassigned 8,708$ 19,765 7,359
TToottaall FFuunndd BBaallaannccee 110011,,117733$$ 111155,,665500$$ 111144,,886666$$
GGeenneerraall FFuunndd
GGeenneerraall FFuunndd
17
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
KKCC AAiirrppoorrttss FFuunndd HHooww aarree 22001144 22001155 22001166 22001177 22001188 22001199 22002200 22002211
wwee ddooiinngg??
φ Total Margin Ratio 0.99 1.16 1.20 1.27 1.25 1.23 1.02 0.73
φ % Change in Net Position -0.4%4.6%5.3%7.1%6.1%5.4%-6.2%-8.29%
φ Quick Ratio 1.25 0.77 1.31 0.88 0.78 2.4 12.75 10.25
φ Net Position Ratio 0.22 0.27 0.34 0.39 0.41 0.34 0.09 0.06
φ Debt to Assets Ratio 0.32 0.29 0.26 0.22 0.41 0.24 0.63 0.72
φ Capital Assets Condition Ratio 0.39 0.37 0.35 0.34 0.32 0.32 0.30 0.28
WWaatteerr FFuunndd HHooww aarree 22001144 22001155 22001166 22001177 22001188 22001199 22002200 22002211
wwee ddooiinngg??
φ Total Margin Ratio 1.35 1.50 1.55 1.42 1.39 1.35 1.28 1.32
φ % Change in Net Position 6.4%8.6%8.4%6.9%6.7%6.6%5.7%4.7%
φ Quick Ratio 1.19 1.51 1.13 1.66 1.32 1.21 1.10 1.30
φ Net Position Ratio 0.24 0.22 0.22 0.23 0.27 0.32 0.31 0.25
φ Debt to Assets Ratio 0.32 0.36 0.32 0.35 0.27 0.30 0.26 0.28
φ Capital Assets Condition Ratio 0.79 0.79 0.80 0.81 0.81 0.82 0.82 0.81
SSeewweerr FFuunndd HHooww aarree 22001144 22001155 22001166 22001177 22001188 22001199 22002200 22002211
wwee ddooiinngg??
φ Total Margin Ratio 1.76 1.65 1.51 1.54 1.37 1.46 1.45 1.54
φ % Change in Net Position 10.5%9.3%7.6%8.0%2.0%8.8%9.4%7.8%
φ Quick Ratio 1.36 1.44 4.18 1.53 2.19 1.66 1.75 1.53
φ Net Position Ratio 0.30 0.39 0.29 0.34 0.28 0.41 0.42 0.51
φ Debt to Assets Ratio 0.29 0.26 0.32 0.29 0.34 0.31 0.30 0.28
φ Capital Assets Condition Ratio 0.72 0.73 0.72 0.72 0.75 0.75 0.75 0.76
18
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
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19
POPULAR ANNUAL FINANCIAL REPORT | FOR THE FISCAL YEAR ENDED APRIL 30, 2021
Glossary
Capital grants – grants consisting of capital assets or
resources that are restricted for capital purposes, such as to
purchase, construct, or renovate capital assets associated
with a specific program. Differing from operating grants,
these revenues are not available to finance regular
operations. [SGAS 34]
Charges for services – includes revenues based on
exchange or exchange-like transactions. These revenues
arise from charges to customers or applicants who
purchase, use, or directly benefit from the goods, services,
or privileges provided. [SGAS 34]
CIP – construction in progress is a special major asset
class for capital assets that are still in the process of
construction or development. [GAAFR]
Compensated absences – absences for which employees
will be paid, such as vacation and sick leave.
Countercyclical reserve – an amount established by the
Director of Finance. The countercyclical reserve, when
combined with the emergency reserve, shall not be greater
than two months of general fund operating expenditures.
CU - component unit is a legally separate organization
for which the elected officials of the City are financially
accountable. [SGAS 14]
Debt per capita – a calculation of the amount of bonds,
notes and capital leases (net of unamortized premium,
discount and deferred charge) outstanding divided by the
estimated population of KCMO.
Deferred inflows of resources - an acquisition of net
assets by the government that is applicable to a future
reporting period and have a negative effect on net position,
similar to liabilities. [GASB Concept Statement 4]
Deferred outflows of resources - a consumption of net
assets by the government that is applicable to a future
reporting period and have a positive effect on net position,
similar to assets. [GASB Concept Statement 4]
Fiduciary fund – a fund used to report assets held in a
trustee or agency capacity for others and therefore cannot
be used to support the City’s own programs. [SGAS 34]
Fund balance – net position of a governmental fund or
the difference between assets, liabilities, deferred outflow
of resources and deferred inflow of resources, categorized
as follows:
• Nonspendable – amounts that cannot be spent
because they are either (a) not in spendable form or
(b) legally or contractually required to be maintained
intact. Items not expected to be converted into cash,
for example, inventories and prepaid amounts.
• Restricted – amounts that have constraints placed on
the use of resources by either: (a) externally imposed
by creditors (such as through debt covenants),
grantors, contributors, or laws or regulations of
other governments or (b) imposed by law through
constitutional provisions or enabling legislation.
• Committed – amounts that can only be used for
specific purposes pursuant to constraints imposed
by formal action of the government‘s highest level
of decision-making authority and remains legally
binding unless removed in the same manner.
• Assigned – amounts that are constrained by the
government‘s intent to be used for specific purposes,
but are neither restricted nor committed.
• Unassigned - the residual classification for the
general fund. This classification represents fund
balance that has not been assigned to other funds
and that has not been restricted, committed, or
assigned to specific purposes within the general
fund. The general fund should be the only fund that
reports a positive unassigned fund balance amount.
[SGAS 54]
Funded ratio – the ratio of a pension plan’s assets to its
liabilities.
GAAFR – Governmental Accounting, Auditing, and
Financial Reporting is the comprehensive guidance
published by the GFOA
An alphabetical listing of some of the terms and acronyms used within this report
20
CITY OF KANSAS CITY, MISSOURI | FINANCE DEPARTMENT
GASB – Governmental Accounting Standards Board is the
independent organization that establishes and improves
standards of accounting and financial reporting for U.S.
state and local governments. Established in 1984 by
agreement of the Financial Accounting Foundation (FAF)
and 10 national associations of state and local government
officials, the GASB is recognized by governments, the
accounting industry, and the capital markets as the official
source of generally accepted accounting principles (GAAP)
for state and local governments.
General fund – the chief operating fund of the government
and the fund that accounts for and reports all financial
resources not accounted for and reported in another fund.
General obligation debt – a form of government debt
that is backed by the full faith and credit of the government.
General revenues – all revenues are general revenues
unless they are required to be reported as program
revenues. All taxes, even those that are levied for a specific
purpose, are general revenues and should be reported by
type of tax—for example, sales tax, property tax, franchise
tax, income tax. [SGAS 34]
GFOA – Government Finance Officers Association, a
professional organization of public officials whose mission
is to enhance and promote the professional management
of governments for the public benefit by identifying
and developing financial policies and best practices and
promoting their use through education, training, facilitation
of member networking, and leadership.
Imprest funds – small cash funds such as, petty cash and
change funds held by a department outside of the Treasury
bank account.
Net position - is the difference between (a) assets and
deferred outflows of resources and (b) liabilities and
deferred inflows of resources, or in other words is the
residual of all other elements presented in a statement of
financial position.
Operating expenditures – all expenditures other than
expenditures for capital improvements. These may include
expenditures for salaries and benefits, contractual services,
commodities and debt service.
Operating grants – revenues arising from mandatory
and voluntary non-exchange transactions with other
governments, organizations, or individuals that are
restricted for use in a particular program and may be used
for the operations of that program. [SGAS 34]
Other post-employment benefit obligations – the
obligation arising from all types of benefits, other than
pensions, provided to retired employees, their beneficiaries
and covered dependents, such as a subsidy for healthcare
benefits.
Per capita personal income – an estimate of an
individual’s income from all sources for all individuals
residing in KCMO, calculated from data provided by the US
Census Bureau.
Program revenues – derived directly from a program
itself or from parties outside the reporting government’s
taxpayers or citizenry; as a whole, they reduce the net
cost of the function to be financed from the government’s
general revenues. Three categories of program revenues
are: (a) charges for services, (b) program-specific operating
grants and contributions, and (c) program-specific capital
grants and contributions. [SGAS 34]
SGAS – Statements of Governmental Accounting
Standards are issued by the GASB.
Stabilization arrangement – an emergency reserve
established by the City Council. The balance shall be equal
to one month of general fund operating expenditures.
Unallocated depreciation – depreciation not properly
reported as a direct expense of a function or program. For
example, depreciation expense for capital assets such as a
city hall building that essentially serves all functions of the
government. [SGAS 34]