CAFR FY1997KODIAK ISLAND BOROUGH
Comprehensive Annual Financial Report
For the Year Ended June 30, 1997
Kodiak, Alaska
Jerome Selby, Borough Mayor
'1
Prepared by Finance Department:
Karleton Short, Finance Director
Kelli Veech, Revenue Accountant
1
KODIAK ISLAND BOROUGH
Comprehensive Annual Financial Report
For the Year Ended June 30, 1997
'
TABLE OF CONTENTS
INTRODUCTORY SECTION
2
t EXHIBIT
Combined Statement of Revenues, Expenditures, Transfers and
PAGE
'
ELECTED OFFICIALS (PHOTOGRAPHS) ............................................................................. ...............................
BOROUGH OFFICIALS .......................................................................................................... ...............................
v
vii
BOARDSAND COMMITTEES .................................................................. ............................... ...........................viii
6
MAP OF KODIAK ISLAND BOROUGH ................................................................................. ...............................
x
GFOA CERTIFICATE OF ACHIEVEMENT .......................................................................... ...............................
xi
ORGANIZATIONALCHART ................................................................................................ ...............................
xii
LETTER OF TRANSMITTAL
• i
'
Combined Statement of Cash Flows -
'
FINANCIAL SECTION
12
EXHIBIT
PAGE
'
INDEPENDENT AUDITORS' REPORT ............................................................................... ...............................
1
GENERAL PURPOSE FINANCIAL STATEMENTS
Combined Balance Sheet - All Fund Types, Account Groups and Discretely
PresentedComponent Unit ................................................................................. ..............................1
2
Combined Statement of Revenues, Expenditures, Transfers and
Changes in Fund Balances - All Governmental Fund Types and
Discretely Presented Component Unit ................................................................ ..............................2
6
Combined Statement of Revenues, Expenditures, Transfers and
Changes in Fund Balances - Budget and Actual - General Fund,
Special Revenue Fund and Debt Service Fund ................................................... ..............................3
Combined Statement of Revenues, Expenses, Transfers and Changes in
8
Retained Earnings - Proprietary Fund Types and Discretely Presented Component Unit ................4
11
Combined Statement of Cash Flows -
'
Proprietary Fund Types and Discretely Presented Component Unit ................. ..............................5
12
Notes to the combined Financial Statements (an integral part of the combined financial statements) .................
13
'
ADDITIONAL INFORMATION
COMBINING INDIVIDUAL FUND AND ACCOUNT GROUP
'
FINANCIAL STATEMENTS AND SCHEDULES
GENERAL FUND:
BalanceSheets ................................................................................................ ............................... A -1
33
Statement of Revenues, Expenditures, Transfers and Changes
in Fund Balance - Budget and Actual ........................................................ ............................... A -2
Schedule of Expenditures and Transfers - Budget and Actual ....................... ............................... A -3
34
36
1
KODIAK ISLAND BOROUGH
Comprehensive Annual Financial Report
For the Year Ended June 30, 1997
TABLE OF CONTENTS (continued)
63
'
Combining Statement of Revenues, Expenditures
EXHIBIT
PAGE
'
SPECIAL REVENUE FUNDS:
Statement of Revenues, Expenditures, Transfers and
CombiningBalance Sheet ...................................................................................
............................B -1
42
'
Combining Statement of Revenues, Expenditures, Transfers
Bonds........................................................................................................... ............................... C -3
65
andChanges in Fund Balances .........................................................................
............................B -2
44
,
Statement of Revenues, Expenditures, Transfers and
Changes in Fund Balance - Budget and Actual:
'
Fire and Road Service Areas:
D -1
68
Fire:
Fire Protection Area No. 1 ....................................................................
............................B -3
47
'
Womens Bay Fire Department .............................................................
............................B-4
48
Road:
D -3
72
Monashka Bay Road Service Area .......................................................
............................B -5
49
,
ServiceDistrict No. 1 ...........................................................................
............................B -6
50
Womens Bay Service Area ...................................................................
............................B -7
51
Bay View Road Service Area ...............................................................
ServiceArea No. 2 .......................................................................................
............................B -8
............................B -9
52
53
,
MentalHealth Center ..................................................................................
...........................B -10
54
CoastalManagement ................................................................................
Child Care Assistance Program ..................................................................
............................B -I 1
...........................B -12
55
56
'
LandSales ...................................................................................................
...........................B -13
57
Buildingsand Grounds ...............................................................................
...........................B -14
58
Woodland Acres Street Light Service Area ................................................ ...........................B -15
59
KodiakArts Council ................................................................................... ...........................B -16
60
,
Facilities...................................................................................................... ...........................B -17
61
TourismDevelopment ................................................................................ ...........................B -18
62
'
DEBT SERVICE FUNDS:
CombiningBalance Sheet ................................................................................... ............................0 -1
63
'
Combining Statement of Revenues, Expenditures
Transfers, and Changes in Fund Balances ........................................................ ............................0 -2
64
Statement of Revenues, Expenditures, Transfers and
Changes in Fund Balance - Budget and Actual:
Bonds........................................................................................................... ............................... C -3
65
Other............................................................................................................ ............................... C-4
66
,
CAPITAL PROJECTS FUNDS:
CombiningBalance Sheet ............................................................................... ...............................
D -1
68
Combining Statement of Revenues, Expenditures,
Transfers and Changes in Fund Balances ..................................................... ...............................
D -2
70
Schedule of Capital Projects ........................................................................... ...............................
D -3
72
Schedule of Expenditures - Budget and Actual .............................................. ...............................
D4
74
'
ii I
KODIAK ISLAND BOROUGH
Comprehensive Annual Financial Report
For the Year Ended June 30, 1997
TABLE OF CONTENTS (continued)
EXHIBIT PAGE
ENTERPRISE FUNDS:
CombiningBalance Sheet .................................................... ............................... ............................E -1 76
Combining Statement of Revenues, Expenses, Transfers
and Changes in Retained Earnings ................................................................ ............................... E -2 78
Combining Statement of Cash Flows .............................................................. ............................... E -3 79
Municipal Solid Waste Collection and Disposal Fund:
BalanceSheets ..................................................................... ............................... ............................E -4 80
Statement of Revenues, Expenses, Transfers and Changes
in Retained Earnings - Budget and Actual ..................................................... ............................... E -5 81
Statementsof Cash Flows ................................................................................ ............................... E -6 82
Water Fund:
BalanceSheets ..................................................................... ............................... ............................E -7 83
Statement of Revenues, Expenses, Transfers and Changes
in Retained Earnings - Budget and Actual ..................................................... ............................... E -8 84
Statements of Cash Flows ................................................................................ ............................... E -9 85
Sewer Fund:
BalanceSheets .................................................................... ............................... ...........................E -10 86
Statement of Revenues, Expenses, Transfers and Changes
in Retained Earnings - Budget and Actual ....................... ............................... ............................E -11 87
Statements of Cash Flows .............................................................................. ............................... E -12 88
Hospital Facilities Fund:
BalanceSheet ...................................................................... ............................... ...........................E -13 89
Statement of Revenues, Expenses, Transfers and Changes
in Retained Earnings - Budget and Actual ........................ ............................... ...........................E -14 90
Statementof Cash Flows ............................................................................... ............................... E -15 91
911 Services Fund:
BalanceSheet ................................................................................................. ............................... E -16 92
Statement of Revenues, Expenses, Transfers and Changes
in Retained Earnings - Budget and Actual ........................ ............................... ...........................E -17 93
Statementof Cash Flows ............................................................................... ............................... E -18 94
INTERNAL SERVICE FUND:
Management Information Systems Fund:
BalanceSheets ................................................................................................. ............................... F -1 95
Statement of Revenues, Expenses, Transfers and Changes in
in Retained Earnings - Budget and Actual ..................................................... ............................... F -2 96
Statements of Cash Flows ................................................................................ ............................... F -3 97
iii
KODIAK ISLAND BOROUGH
Comprehensive Annual Financial Report
For the Year Ended June 30, 1997
TABLE OF CONTENTS (continued)
EXHIBIT PAGE
AGENCY FUNDS:
Combining Statement of Changes in Assets and Liabilities ........................... ............................... G -1 99
GENERAL FIXED ASSETS ACCOUNT GROUP:
Schedule of Fixed Assets by Source ............................................................... ............................... H -1 101
Schedule of General Fixed Assets by Function and Activity ......................... ............................... H -2 102
Schedule of Changes in General Fixed Assets by
Function and Activity H -3 103
GENERAL LONG -TERM DEBT ACCOUNT GROUP:
Schedulesof Long -Term Debt .......................................................................... ............................... I -1 105
ADDITIONAL INFORMATION - BONDED INDEBTEDNESS:
Summary of Bonded Debt Service Requirements to Maturity ............................ ............................J -1 107
General Obligation School Refunding Bonds, Series 1989 ................................. ............................J -2 108
General Obligation Bonds, 1993 Series A ........................................................... ............................J -3 109
General Obligation Bonds, 1994 Series A ........................................................... ............................J -4 110
Asbestos Removal Loan Payable ......................................................................... ............................J -5 111
STATI STICAL SECTION
TABLE
PAGE
STATISTICAL TABLES:
General Governmental Expenditures and Other Uses
by Function - Last Ten Fiscal Years ................................................................... ..............................1
113
General Revenues by Source - Last Ten Fiscal Years .......................................... ..............................2
114
Property Tax Levies and Collections -
LastTen Fiscal Years ......................................................................................... ..............................3
115
Assessed and Estimated Actual Value of Taxable
Property - Last Ten Fiscal Years ........................................................................ ..............................4
116
Property Tax Rates and contributions to the School District
LastTen Fiscal Years ........................................................................................ ..............................5
117
Ten Largest Property Taxpayers ........................................................................... ..............................6
118
Ratio of Net General Bonded Debt - Last Ten Fiscal Years ................................. ..............................7
119
Computation of Direct and Overlapping Debt ...................................................... ..............................8
120
Computationof Legal Debt Margin ...................................................................... ..............................9
121
Ratio of Annual Debt Service Expenditures for General
Bonded Debt to Total General Expenditures and Transfers -
LastTen Fiscal Years ........................................................................................ .............................10
122
Demographic Statistics - Last Ten Fiscal Years .................................................. .............................11
123
Salaries and Surety Bonds of Principal Officials ................................................. .............................12
124
Property Value, Construction and Bank Deposits -
LastTen Fiscal Years ........................................................................................ .............................13
125
Miscellaneous Statistical Data -
LastTen Fiscal Years ........................................................................................ .............................14
126
1v
INTRODUCTORY SECTION
Annual Report • Kodiak Island Borough, Alaska
- ASSEMBLY MEMBERS-
TOM ABELL
At Large, 1999
ROBIN HEINRICHS TUCK BONNEY DR. GARY STEVENS
At Large, 1998 At Large,1999 At Large, 1997
Presiding Officer of Assembly
To the Honorable Mayor and Members of the Kodiak Island Borough Assembly:
In accordance with the provisions of the Kodiak Island Borough Code, there is presented herewith
the Comprehensive Annual Financial Report for the year ended June 30, 1997, and the related
statements and statistical tables.
Respectfully submitted,
Karleton G. Short, Finance Director
DR. BOB JOHNSON
At Large, 1998
WAYNE STEVENS
At Large, 1999
Deputy Presiding Officer
JEROME M. SELBY
Mayor of Kodiak Island Borough, 1998
MICHAEL MILLIGAN
At Large, 1997
L
' KODIAK ISLAND BOROUGH
BOROUGH OFFICIALS
YEAR ENDED JUNE 30, 1997
' BOROUGH ASSEMBLY
Wayne Stevens '99 (Deputy Presiding Officer) Robin Heinrichs '98 (Presiding Officer)
Dr. Bob Johnson '98 Gary Stevens '97
Tom Abell'99 Michael R. Milligan '97
Tuck Bonney'99
Vii
BOROUGH MAYOR
Jerome M. Selby '98
KarletonG. Short ........................................................................................... ...............................
Finance Director/Treasurer
Steve Hobgood ............................................................. ............................... ....................Engineering
and Facilities Director
DonnaSmith .....................................................................................................................
............................... Borough Clerk
LindaL. Freed ..............................................................................................................
............................... Planning Director
PatrickS. Carlson .......................................................................................................................
............................... Assessor
PerryL. Page ................................................................................................... ...............................
Data Processing Manager
MartinWhite .................................................................... ............................... .........................Mental
EarlA. Smith .......................................................... ................................................................
Health Center Director
............................... Fire Chief
Charles E. "Bud" Cassidy ........................................................................ ...............................
Resource Management Officer
Jamin, Ebell, Bolger, Gentry ......................................................... ...............................
(Contracted Firm) Borough Attorney
PhilCline ....................................................................................... ...............................
.......................Hospital Administrator
BettyWalters .......................................................................................... ...............................
Superintendent, School District
CherylBolger ........................................................................................................... ...............................
General Accountant
KelliVeech .............................................................................................................. ...............................
Revenue Accountant
BarbaraTempleton .................................................................................. ...............................
..................... Purchasing Agent
Vii
KODIAK ISLAND BOROUGH
KODIAK, ALASKA
BOARDS AND COMMITTEES
YEAR ENDED JUNE 30, 1997
School Board
* Jean Barber
Joe M. Floyd
Jack McFarland
Jeff Stephan
Norm Wooten
Corrinne Rainville, Student Rep.
Hospital Advisory Board
* Wayne Stevens
Gil Bane
Mark K. Buckley
Russell Grimm
Michael Machulsky
Mary A. Monroe
Gretchen Saupe
Phil Cline, KIH Staff, ex- officio
Mike Milligan, Assembly Rep.
Dr. Mark Withrow, Chief of Staff
Mental Health Center Advisory
Board
* Jody Burcham
Patti Carlson
Claude E. Dalrymple, Jr.
Craig Fanning
John C. Houser, III
Jacqueline Madsen
Suzanne McKinley
Lauri Whiddon
Tuck Bonney, Assembly Rep.
Lt. Mark L. Everett, CG Rep, ex- officio
Jan Pennington, KIB staff
Karen Perkins, KAMI Rep., ex- officio
Martin White, MHC Director, ex- officio
Planning and Zoning Commission
* Jerrol Friend
Donna Bell
Suzanne Hancock
Robbie Scheidler
Clarence W. Selig
Walter Stewart
Darlene Turner
Woodland Acres Street Lighting
Service Area Advisory Board
* Sharon Nault
Bob Hatcher
I vacancy
Citizen Board of Equalization
* Jim Carmichael
Craig Fanning
Karenia Hackett
Tim Hurley
Steve Jensen
Cheryl McNeil, Alternate
Pat Carlson, KIB staff
Donna Smith, KIB staff
Parks and Recreation Committee
* David Odell
Forrest Blau
Susan Byersdorfer
Steve Cole
Thomas A. Stewart
Vincent Walser
Kate Wynne
Joe Floyd, School Bd. Rep., ex- officio
Linda Freed, KIB staff
Ian Fulp, City Rep., ex- officio
Claire Holland, State Rep., ex- officio
Bob Johnson, Assembly Rep.
Darlene Turner, P & Z Rep.
Building Code Board of Appeals/
(Architectural Review Board)
* Gerald Cloudy
Gregg Hacker
Jay Johnston
Woody Koning
Jeff LeDoux
Tom Templeton
Steve Hobgood, KIB Mayor designee,
ex- officio
Jack McFarland, School Board Rep.,ex - officio
Gary Stevens, Assembly Rep.
Bob Tucker, KIBSD designee, ex- officio
Personnel Advisory Board
* Donna Bell
Craig N. Fanning
Christine Jamin
Chris Nielsen
Dorothy Weeks
Rachael Miller, KIB staff
viii
KODIAK ISLAND BOROUGH
KODIAK, ALASKA
BOARDS AND COMMITTEES
YEAR ENDED JUNE 30, 1997
Data Processing Steering
Committee
* Jerome Selby
Mary Munk
Perry Page
Karleton Short
Martin White
Fire Protection Area No. 1
Advisory Board
* Scott Arndt
Roy Aguirre
Alice Knowles
Charles Lorenson
Bill Swearingin
Earl Smith, ex- officio
Bav View Road Service Area
Advisory Board
* Fred "Sky" Roberts
Dawn Black
Gale Gray
Reed Oswalt
1 vacancy
Emereency Services Council
Carolyn Floyd
Bill Jones
Jerome Selby
Robin Heinrichs
Bien Abiles, Capt. USCG
Service District No. 1
Advisory Board (continued)
Anthony J. Perez
Womens Bav Service Area
Advisory Board
* David Conrad
Linda Estes
Edward Gondek
Linda Hinson
George Lee
Tom Schwantes
James Wells
Dale L. Rice, ex- officio
Kodiak Island Transportation Studv
Steering Committee (KITS)
Carolyn Floyd
Matt Holmstrom
Bill Jones
Jerome Selby
John Sullivan
Wayne Stevens, Assembly Rep.
Airport Advisory Committee
Stosh Anderson
Bruce Buffington
Tony Clark
Robert Himes
Cecil Ranney
Richard Waddell
Robert B. Wilson, Jr.
Arlen Zacharias
LT CDR Chris Brewton, CG ex- officio
John Chya, ex- officio
CDR Drew Dilkes, CG ex- officio
Connie Lanahan, KIB staff
Service Area No. 2 Commission
5 vacancies
Service District No. 1
Advisory Board
* Charles Lorenson
Roy Aguirre
Scott Arndt
Ed Mahoney
* Indicates chair
ix
Monashka Bav Road Service Area
Advisory Board
* Roger Blacket
Jeff Hamer
Dan Miller
Julie Wisher
Mark Withrow
Emereency Services Council
Carolyn Floyd
Bill Jones
Jerome Selby
Robin Heinrichs
Bien Abiles, Capt. USCG
Service District No. 1
Advisory Board (continued)
Anthony J. Perez
Womens Bav Service Area
Advisory Board
* David Conrad
Linda Estes
Edward Gondek
Linda Hinson
George Lee
Tom Schwantes
James Wells
Dale L. Rice, ex- officio
Kodiak Island Transportation Studv
Steering Committee (KITS)
Carolyn Floyd
Matt Holmstrom
Bill Jones
Jerome Selby
John Sullivan
Wayne Stevens, Assembly Rep.
Airport Advisory Committee
Stosh Anderson
Bruce Buffington
Tony Clark
Robert Himes
Cecil Ranney
Richard Waddell
Robert B. Wilson, Jr.
Arlen Zacharias
LT CDR Chris Brewton, CG ex- officio
John Chya, ex- officio
CDR Drew Dilkes, CG ex- officio
Connie Lanahan, KIB staff
Service Area No. 2 Commission
5 vacancies
Service District No. 1
Advisory Board
* Charles Lorenson
Roy Aguirre
Scott Arndt
Ed Mahoney
* Indicates chair
ix
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Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
Kodiak Island Borough,
Alaska
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For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
June 30, 1996
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
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Executive Director
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KIN
December 1, 1997
To the Honorable Mayor and
Members of the Assembly
Kodiak Island Borough
Kodiak, Alaska
Kodiak IslandBorough
The comprehensive annual financial report (CAFR)
of the Kodiak Island Borough (Borough), Kodiak,
Alaska for the fiscal year ended June 30, 1997, is
submitted herewith.
The Borough Finance Department prepared this
report. Responsibility for the accuracy, completeness,
and fairness of presentation, including all disclosures,
rests with the Borough. We believe the data, as
presented, is accurate in all material respects, is
presented in a manner designed to fairly set forth the
financial position and results of operations of the
Borough as measured by the financial activity of its
various funds, and all disclosures necessary to enable
the reader to gain maximum understanding of the
Borough's financial affairs have been included.
This comprehensive annual financial report is
presented in three main sections: introductory,
financial, and statistical. The introductory section
includes background on the Borough, the fund
accounting concepts used by the Borough, and some
financial presentations. The financial section
includes the report of the independent accountants,
combined financial statements, notes to combined
financial statements, and the more detailed
combining and individual financial statements and
schedules. The statistical section includes selected
financial and general information generally presented
on a ten year comparative basis.
GENERAL INFORMATION
The Kodiak Island Borough lies at the western border
of the Gulf of Alaska, approximately 40 miles south
of the Kenai Peninsula. About two-thirds of the
Borough lies in the Kodiak archipelago. One -third of
the Borough is on the Alaska Peninsula across the
Shelikof Strait from Kodiak Island. The Shelikof
710 MILL BAY ROAD
KODIAK, ALASKA 99615 -6398
Strait is only 20 miles wide in places. The Borough
encompasses 7,130 square miles, making it slightly
smaller than the State of Massachusetts.
The Borough was incorporated September 30, 1963,
as a Second Class Borough by Chapter 146 Sessions,
Laws of Alaska 1961, as amended. A strong
Mayor /Assembly form of government governs the
Borough. The Borough Assembly is composed of
seven members who are elected at- large.
The criteria used in determining the reporting entity
are consistent with the Codification of Governmental
Accounting and Financial Reporting Standards
Section 2100, "Defining the Reporting Entity."
Based on these criteria, the various funds and account
groups (being all the funds and account groups of the
Borough) shown in the Table of Contents are
included in this report.
ECONOMIC CONDITION AND OUTLOOK
The economic condition of the Kodiak Island
Borough remains healthy. The main industries of the
Borough are commercial fishing, logging, and
tourism. Overall, the commercial fishing industry
has declined this last year, mostly due to poor salmon
prices. Some segments of the commercial fishing
industry are growing however. Logging has
increased dramatically due to cutbacks in logging in
the Pacific Northwest. Their decreased production
has increased the demand (and price) for our timber.
Tourism continues to grow in Kodiak with an
increased number of visitors each year. To
accommodate this demand, construction of fishing
lodges and recreational facilities has increased.
Commercial fishing is by far the largest industry in
the Kodiak Island Borough, accounting for two thirds
xiii
(67 %) of the severance tax revenue collected. For all
of the fisheries combined, the total catch in calendar
year 1996 was $81,827,258, compared to
$109,011,000 in calendar year 1995.
In 1995, salmon accounted for 46% of the total
Kodiak fishery in dollar value, but this had dropped
to 31 % in 1996. It appears that farmed salmon from
Norway and Chile has driven down the price for
Alaska wild salmon.
The following table shows the salmon catch for
calendar year 1997 compared to 1996 and 1995.
Number of
Pounds of
Dollar Value of
Salmon Caught
Salmon Caught
Salmon Caught
1997 14,457,593
57,800,575
S 18,795,950
1996 9,215,978
46,571,702
S 25,762,142
1995 N/A
187,389,313
S 50,500,000
As the table shows, 57,800,575 pounds of salmon
were caught in 1997, but the estimated ex- vessel
value was only $18,795,950. In 1996, Kodiak
fisherman caught 11,228,873 less pounds of salmon
but with $6,966,192 more in ex- vessel value. This is
a 27% decrease in ex- vessel value with a 24%
increase in total weight delivered. Kodiak had an
exceptional salmon year in 1995. One item that can
skew these numbers, however, is the price per pound
paid for the different types of salmon. In 1997,
prices ranged from approximately 12 cents per pound
for pink salmon to approximately 90 cents per pound
for red salmon.
The 1997 herring season was very disappointing. In
1996, 4,037 tons of herring was caught with a value
of $7,032,400; in 1997, 3,990 tons of herring was
caught, but the ex- vessel value was only $1,272,500.
The price has dropped from $1,742 per ton in 1996 to
only $319 per ton in 1997. This is a decrease in price
of 82 %.
The shellfish industry improved slightly in 1996,
with a catch of $3,936,718 compared to a catch of
$3,380,000 in 1995. This is down significantly from
the catches of $9.5 million in 1994, $27.6 million in
1981, and $47.5 million in 1980.
The logging industry continues to be healthy in
Kodiak. In fiscal year 1997, $40,301,481 worth of
timber was harvested in the Kodiak Island Borough,
an increase of 10% over fiscal year 1996's harvest of
$36,595,556.
The assessed value of real and personal property of
the Kodiak Island Borough has risen from
$428,764,585 in 1988 to $681,342,890 in 1997, an
increase of 59 percent.
The unemployment rate as of June 30, 1997, was 7.7
percent compared to 13.7 percent in 1996 and 11.2
percent in 1995. Seasonal cannery worker hiring
traditionally begins around July. The local
unemployment rate has fluctuated from 5 to 14
percent over the last ten years.
Based on current Chamber of Commerce projections,
the Kodiak Island Borough will continue to grow
through the end of the century. This growth will
positively impact the Kodiak Island Borough, but the
Borough will also have to grow to provide the same
level of services to its residents.
MAJOR INITIATIVES
In preparing the fiscal year 1997 budget, the Kodiak
Island Borough identified several major projects to
be addressed during the year. All major projects are
listed in Exhibit D -3 of the comprehensive annual
financial report.
The most significant project undertaken in fiscal year
1997 is the Kodiak Fisheries Research Center. This
facility will be leased to various Federal and State of
Alaska agencies for marine biological and ecological
research work. The project is largely financed by
funds received from the sale of rights on Shuyak
Island to the State, from which the Borough has
received a total of over $10 million in fiscal years
1997 and 1996. The total cost of the project is
currently budgeted at $17,465,000.
Capital projects either started or expanded in fiscal
year 1997 totaled $21,787,869.
DEPARTMENT OR ACTIVITY SERVICE
EFFORTS AND ACCOMPLISHMENTS
The Borough provides a variety of services including
education, health, solid waste collection and disposal,
planning and zoning, public improvements, and
general administration. The Borough provides for
education through the Kodiak Island Borough School
District. The Borough's contract with Lutheran
Health Systems Management Company to operate the
Kodiak Island Hospital and Care Center ended April
20, 1997. Effective April 21, 1997, the Kodiak
Island Borough leased the Hospital facility to
xiv
Providence of Alaska Medical Center.
The Borough is responsible for solid waste collection
and disposal. Collection services are contracted
through an outside source The Borough has four
road service areas, two fire protection areas, and one
street light service area.
Each year the Borough selects a department to
highlight for its efforts and accomplishments. For
fiscal year 1997, we have selected the Engineering &
Facilities Department. The Engineering & Facilities
Department coordinates, implements, and monitors
capital and repair construction projects within the
Kodiak Island Borough. The staff manages service
area contracts and acts as liaison for the service areas
with the public and elected officials. The
Engineering/Facilities Department administers
municipal codes related to construction and utility
improvements. The staff is responsible for grant
generation and management, fiscal management of
capital and maintenance projects, facilities
inspections including deficiency identification and
correction, generation of requests for proposals and
projects, requests for major equipment purchases,
consultant selection and construction contract
administration and coordination with other
governmental agencies regarding project and
regulatory requirements. Maintenance and upkeep of
Borough -owned vehicles is also the responsibility of
the department. The Environmental Engineer is
responsible for required safety programs for the
Borough.
The Engineering/Facilities Department is responsible
for many budget programs such as the following:
Building & Grounds — The operation and
maintenance of Borough parks, as well as other
public grounds. Specifically, this includes garbage
pick -up, snow removal and parks maintenance.
Building & Grounds / Borough Building — The
Borough building provides administrative office
space for a wide variety of municipal government
functions, state agencies and other non - profit
organizations.
Building & Grounds / Mental Health Center — The
Kodiak Island Borough apartments provide housing
and space for a variety of mental health
rehabilitation, therapy programs and administration
offices.
Building & Grounds / Parks Operation &
Maintenance — The purpose of the Kodiak Island
Borough Parks and Recreation Program is to provide
a wide range of year -round recreational
opportunities. Borough parks also serve as landscape
components along the road system and in urban
neighborhoods.
Womens Bay Road & Service Area — Womens Bay
Road & Service Area provides maintenance service
to roads within the service area, including snow and
ice removal, ditching and culvert work.
Service District No. 1 — Service District No. 1
provides maintenance service to roads within the
district, including snow removal, ditching and
grading.
Service Area No. 2 — Service Area No. 2 is
responsible for water and sewer services in the
service area.
Monashka Bay Road Service Area - Monashka Bay
Road Service Area is responsible for the road
maintenance in the service area.
Bay View Road Service Area - Bay View Road
Service Area is responsible for the road maintenance
in the service area.
Woodland Acres Street Light Area — Provides
street lighting to the residents of part of Woodland
Acres.
Facilities Fund — This fund was established with the
proceeds from the sale of Shuyak Island. The State
of Alaska purchased Shuyak Island from the Borough
for $42,000,000. This money is being set aside and
interest earnings, after inflation proofing, can be used
for debt service, insurance on buildings, and major
maintenance repairs.
Many of the duties of the Engineering and Facilities
Department involve the Municipal Solid Waste
(MSW) Collection and Disposal Program. The
Municipal Solid Waste (MSW) Collection and
Disposal Program provides waste collection,
disposal, and recycling services for the residents and
commercial generators of the greater Kodiak urban
area. A private contractor provides primary
collection services. Individuals and commercial
generators deliver solid waste such as garbage,
construction debris, metal, asbestos, waste oil,
infectious and hazardous waste to the baler facility.
xv
The MSW Department is responsible for the
administration, operation, and maintenance of the
baler facility and active landfill area. The landfill is
operated in observance of all federal, state, and local
regulations and statutory guidelines in providing a
facility for the disposal of solid waste for the citizens
of Kodiak.
The largest component of the current year budget is
Capital Projects. Major projects which have been
completed or are in progress for the current year
include the Kodiak Island Hospital and Care Center,
the Kodiak Fisheries Research Center (formerly
called the Near Island Research Facility), Peterson
Elementary School Addition, design of replacement
for parts of the Kodiak High School roofs, upgrades
to the Borough Hill parking lots and sidewalks,
Kodiak Recreation Facility (including the BMX Bike
Track), remodel of the old "KMXT" space for use by
the KIBSD Special Services Department, the Chiniak
Teacherage House, and many smaller projects.
Particular attention has been given to continue to
address the deferred maintenance of facilities owned
by the Kodiak Island Borough. This will enable the
Borough to prolong the estimated life of these
facilities.
The Engineering/Facilities Department is one of the
largest departments in the Borough, with eleven
employees and several contract or part-time
employees. The Department consists of the Director
of Engineering/Facilities, Environmental Engineer,
Projects Assistant, Secretary III, Carpenter,
Maintenance Worker, Baler /Landfill Supervisor,
Baler Operator II, and three Baler Operator I. The
Engineering/Facilities department provides support to
all other departments on a regular basis.
The total overall impact of the Engineering/Facilities
Department to the operation of the Kodiak Island
Borough is central to creating a safe and functional
atmosphere for employees and facilities.
FINANCIAL INFORMATION
DISCUSSION OF CONTROLS
Management is extremely aware of the importance of
a strong internal control structure. Although present
controls are considered to be highly satisfactory and
adequate, they continue to be scrutinized periodically
for enhancements.
Internal Control Structure
The Borough's accounting system depends upon a
strong system of internal controls. The Borough
Finance Department focuses on all aspects of internal
control. The Borough Finance Department wants to
ensure the safeguarding of Borough assets and the
delivery of reliable and accurate financial
information. Duties are segregated as much as
possible in a small office, which limits individual
control over any one area. Internal control policies
are reviewed at least annually and documented to
reflect any procedural changes that are deemed
necessary. Cross training and segregation of duties
are considered valuable in the internal control
structure.
Budgetary Controls
The Borough uses the modified accrual basis for
governmental funds and the accrual basis for
enterprise and internal service funds. Under the
modified accrual basis of accounting, revenues are
recognized when measurable and available and
expenditures are recognized when incurred.
Budgetary control is maintained by an annual
appropriation system supplemented with an
additional appropriation approximately halfway
through the fiscal year. Budgetary control is also
maintained through the use of an encumbrance
system. As purchase orders, contracts, and other
obligations are issued, corresponding amounts of
appropriations are reserved by the use of
encumbrances so that appropriations will not be
overspent.
A public hearing and the adoption of a budget
ordinance appropriates all new funds. The Assembly
makes appropriation transfers between funds and/or
departments only after the adoption of an ordinance.
Borough staff may execute transfers between line
items within a department.
xvi
GENERAL GOVERNMENT FUNCTIONS
The following chart summarizes General Fund revenues for the fiscal year ended June 30, 1997. This chart includes
General Fund revenues only.
Severance Taxes
$845,638
10.0%
Investments and
Property
$371,414
4.4%
Intergovern-
mental
$2,396,272
28.3%
Licenses,
Permits, Fees
and Other
$108,483
1.3%
The following schedule summarizes changes from
the prior year for General Fund revenues:
Increase
(Decrease)
Revenue Sources Over 1996
Property taxes $ 91,360
Intergovernmental (432)
Investments and property (80,782)
Severance taxes (202,862)
Licenses, permits, fees and other (176,617)
$ (369,333)
Property Taxes
$4,736,399
56.0%
Property tax is the largest source of revenue for the
General Fund of the Kodiak Island Borough. The
increase in property tax revenue is due to an increase
in assessed values in the Borough of $27,208,239.
This is almost twice the increase in assessed value
from fiscal year 1995 to fiscal year 1996
($13,672,075).
Severance tax revenues declined from $1,048,500 in
fiscal year 1996 to $845,638 in fiscal year 1997, a
difference of $202,862. Severance tax related to
commercial fishing decreased $224,067 from last
year while severance tax on timber increased by
$25,015.
xvii
The following chart illustrates General Fund expenditures for the year ended June 30, 1997, by function:
Education
Culture and
$263,472
Public Safety
Recreation
7.5%
$88,330
$163,300
2.5% �\4
1
4.7%
lip
Public safety
General
Government
$1,983,675
56.5%
Community
Development
$423,769
12.1%
Health and
Sanitation
$585,806
16.7%
Changes in levels of expenditures for major General Fund functions of the Borough over the preceding year are
shown in the following tabulation:
$ (265,898)
General Fund expenditures relating to general government declined $265,898 in fiscal year 1997. Reductions
include decreased legal costs of $35,000, settlement costs of $20,000, and insurance and bonding costs of $20,000.
xviii
Increase
(Decrease)
Expenditures
Over 1996
General government
$ (269,199)
Public safety
(1,465)
Health and sanitation
21,939
Education
(5,466)
Culture and recreation
-
Community development
(11,707)
$ (265,898)
General Fund expenditures relating to general government declined $265,898 in fiscal year 1997. Reductions
include decreased legal costs of $35,000, settlement costs of $20,000, and insurance and bonding costs of $20,000.
xviii
It is the goal of the Kodiak Island Borough to maintain a fund balance in the General Fund of at least two million
dollars. The fund balance as of June 30, 1997, was $2,048,941. The following table reflects the fund balance of the
General Fund at the close of business for the past ten fiscal years:
General Fund Balance
Last ten fiscal years
$3,500,000
$3,000,000
$2,500,000
$2,000,000
$1,500,000
$1,000,000
$500,000
$0
ao
00
o
PROPRIETARY OPERATIONS
For several years, the Kodiak Island Borough had contracted with the Lutheran Health Systems Management
Company to manage the Kodiak Island Hospital and Care Center. The Borough was ultimately liable for any
financial loss under this contract. This changed on April 21, 1997, however, when the Borough entered into a ten -
year lease with Providence of Alaska Medical Center to operate the Hospital.
xix
a o ° . o, a a a a a a
Oneratine Income <Loss>
Water
Sewer
Solid Waste
Total
1993
<52,662>
<136,839>
5,646
<183,855>
1994
<121,944>
<202,760>
<38,299>
<363,003>
1995
<26,388>
<154,721>
50,006
<131,103>
1996
<39,950>
<141,637>
<2,099,567>
<2,281,154>
1997
0
0
475,980
475,980
xix
a o ° . o, a a a a a a
For the period July 1, 1996, through April 20, 1997,
the hospital showed an operating income of
$919,203, non - operating gains of $226,025, and
received restricted capital contributions of $200,000.
This means that the hospital would have increased
their retained earnings by $1,345,228 by the end of
the year. As a result of the residual equity transfer of
$1,576,932 to the Kodiak Island Borough on April
20, 1997, the retained earnings of the Hospital were
reduced by $231,704 to $5,681,413. Non - operating
gains are state revenue sharing of $76,333,
unrestricted contributions of $68,633, interest income
of $58,670, donor - restricted gifts of $51,955 and loss
on sale of assets of $29,566. In fiscal year 1996, the
hospital had an operating gain of $84,324 and a non -
operating gain of $459,405 that resulted in an
increase in retained earnings of $543,729.
In previous fiscal years, the Borough provided water
and sewer service to the residents of Service District
No. 1. The Borough did not have a water plant or
sewer treatment facility but instead purchased water
and sewage treatment from the City of Kodiak.
These customers were in a service area contiguous to
the City. By voter approval, all of these accounts
were transferred to the City of Kodiak, effective July
1, 1996.
In fiscal year 1997, the Borough's utility fund (solid
waste) had an operating income of $475,980. This is
a considerable improvement over the prior year's
operating loss of $2,099,567. A significant portion
of the improvement can be attributable to a change in
the estimate for closure /post closure costs. Please see
Note 15 on page 29 for full disclosure. In fiscal year
1996, closure and post closure costs of our landfill
were $2,005,956; in fiscal year 1997 they were
($246,629).
At the end of fiscal year 1997, a homeowner in the
City of Kodiak paid $24.00 for garbage service while
a resident outside of the City paid $21.50 for garbage
service. The reason it costs more for garbage service
within the City is that typically residents within the
City receive curbside service while those residents
outside of the City use dumpsters.
FIDUCIARY OPERATIONS
The Kodiak Island Borough handles all fiduciary
activity with the same care and due diligence that we
exercise with any of our funds. All amounts due are
withheld, collected, accounted for, and remitted
promptly.
Periodically, the State of Alaska informs each
participating entity of the Public Employees
Retirement System (PERS) of changes in employee
and employer contribution rates. Amounts are
budgeted, withheld, and remitted accordingly.
Annually the State of Alaska PERS revises the
actuarial assumptions. When such occurrence creates
a deficiency, that amount is paid within the period of
notification or when a subsequent budget is adopted.
The Borough administers property tax collections for
all governmental entities within the Kodiak Island
Borough. For service areas within the Borough, the
revenue is recognized in that area's particular fund.
Property taxes collected for the City of Kodiak are
normally remitted in full by November each year.
All other fiduciary collection activity (i.e., federal
withholding, FICA, insurance, pension fund, etc.) is
accounted for and promptly remitted to the agency
involved.
DEBT ADMINISTRATION
Summary of debt principal outstanding at fiscal year
end was:
General Obligation, 1994
$ 9,985,000
General Obligation, 1993
7,480,000
General Obligation, school
refunding, 1989
4,195,000
Environmental Protection
Agency loan
156,248
$ 21,816,248
The State of Alaska Statutes and the Kodiak Island
Borough Code do not establish a legal debt margin.
The voters of the Kodiak Island Borough ultimately
determine the amount of debt that can be outstanding.
The Borough has no revenue bonds authorized nor
issued. The Borough did have a $3,000,000 revenue
anticipation note that was paid in full on December
31, 1996.
xx
As of June 30, 1997, net per capita bonded debt is
$1,502. For comparison purposes, following is the
net per capital bonded debt for the past ten years:
General Bonded Debt Per Capita
Last ten fiscal years
SIA"
sl,wo
61
o
611600
$ w sm
8 6600
S SM
Y
Z SM
S.
Freal Year
CASH MANAGEMENT
Effective cash management is essential to the long-
term stability and profitability of any organization.
Day -to -day cash management is considered a priority
within the Borough, and we utilize proper monitoring
procedures for timely receipt and deposit of all funds.
INVESTMENT POLICIES
The Borough Treasurer is the central treasurer for all
Borough funds. This includes the Borough, School
District, and Mental Health Center. The Borough
uses a cash pool concept in which all funds are
self - balancing. Each fund is a unique entity and has
its own cash account, which, on occasion, may show
a "book overdraft" while others have an excess of
cash. In this manner, the Borough is able to fully
invest all idle funds without creating a "bank
overdraft."
Deposits are made daily and all idle funds are
invested on the following day. The Borough
recognizes that there is frequently some exposure to
uninsured and uncollateralized deposits. Great
strides have been made in minimizing this exposure
through increased collateral and selection of banks
and brokers with additional insurance. A local
servicing bank sweeps the total balances to another
account on a daily basis. U.S. Treasuries at 102
percent of carrying value collateralize this account.
A third -party bank holds the collateral.
All new investments are purchased on a delivery
versus payment system. This means that when the
Borough purchases a new instrument, such as a
Treasury bill or an agency note, our servicing bank
pays for the instrument when it is delivered to them.
The servicing bank holds all investments in the
Borough's name. Management feels that this is the
safest way of holding our investments.
The Borough's investment policy is far more
restrictive than that of many governments. The
operational parameters are defined in Title 3, Chapter
4, of the Borough Code. Basically, it states that we
invest only in high -grade securities that are fully
collateralized and/or insured. Further, the collateral
is to be held by a third -party bank.
During the past year, the investments of the Borough
have fluctuated between $19 and $21 million.
Interest rates for our fiscal year started at 5 percent to
8 percent in early July, 1996. At year-end,
investments were earning from 5.41 percent to 7.95
percent for an average yield of 6.13 percent. We
ended the year with investment earnings for all funds
in the amount of $1,481,248.
RISK MANAGEMENT
"Risk management" is a term used to describe those
activities practiced by managers to minimize or
control exposure to potential losses. Mention the
word "risk management" and most people think of
insurance, which is the traditional method used to
manage risks. Insurance provides financial
protection against accidental loss but cannot prevent
losses. However, by managing exposure, we can
prevent unexpected losses.
The Kodiak Island Borough has increased risk
management activities as a result of several factors,
one being the increased state and federal regulations
related to this issue. We have a Safety Committee
that meets monthly and discusses the accident
prevention program and develops loss prevention
policies in an effort to manage risk exposure.
Several areas of concern are now addressed
including: hazardous material management,
bloodborne pathogens, sexual harassment awareness,
accident prevention, ergonomics, and evaluation of
xxt
Moody's
Standard
Investors
and
Service
Poors
General obligation, 1994
Aaa
AAA
General obligation, 1993
Aaa
AAA
General obligation,
school refunding, 1989
Aaa
AAA
As of June 30, 1997, net per capita bonded debt is
$1,502. For comparison purposes, following is the
net per capital bonded debt for the past ten years:
General Bonded Debt Per Capita
Last ten fiscal years
SIA"
sl,wo
61
o
611600
$ w sm
8 6600
S SM
Y
Z SM
S.
Freal Year
CASH MANAGEMENT
Effective cash management is essential to the long-
term stability and profitability of any organization.
Day -to -day cash management is considered a priority
within the Borough, and we utilize proper monitoring
procedures for timely receipt and deposit of all funds.
INVESTMENT POLICIES
The Borough Treasurer is the central treasurer for all
Borough funds. This includes the Borough, School
District, and Mental Health Center. The Borough
uses a cash pool concept in which all funds are
self - balancing. Each fund is a unique entity and has
its own cash account, which, on occasion, may show
a "book overdraft" while others have an excess of
cash. In this manner, the Borough is able to fully
invest all idle funds without creating a "bank
overdraft."
Deposits are made daily and all idle funds are
invested on the following day. The Borough
recognizes that there is frequently some exposure to
uninsured and uncollateralized deposits. Great
strides have been made in minimizing this exposure
through increased collateral and selection of banks
and brokers with additional insurance. A local
servicing bank sweeps the total balances to another
account on a daily basis. U.S. Treasuries at 102
percent of carrying value collateralize this account.
A third -party bank holds the collateral.
All new investments are purchased on a delivery
versus payment system. This means that when the
Borough purchases a new instrument, such as a
Treasury bill or an agency note, our servicing bank
pays for the instrument when it is delivered to them.
The servicing bank holds all investments in the
Borough's name. Management feels that this is the
safest way of holding our investments.
The Borough's investment policy is far more
restrictive than that of many governments. The
operational parameters are defined in Title 3, Chapter
4, of the Borough Code. Basically, it states that we
invest only in high -grade securities that are fully
collateralized and/or insured. Further, the collateral
is to be held by a third -party bank.
During the past year, the investments of the Borough
have fluctuated between $19 and $21 million.
Interest rates for our fiscal year started at 5 percent to
8 percent in early July, 1996. At year-end,
investments were earning from 5.41 percent to 7.95
percent for an average yield of 6.13 percent. We
ended the year with investment earnings for all funds
in the amount of $1,481,248.
RISK MANAGEMENT
"Risk management" is a term used to describe those
activities practiced by managers to minimize or
control exposure to potential losses. Mention the
word "risk management" and most people think of
insurance, which is the traditional method used to
manage risks. Insurance provides financial
protection against accidental loss but cannot prevent
losses. However, by managing exposure, we can
prevent unexpected losses.
The Kodiak Island Borough has increased risk
management activities as a result of several factors,
one being the increased state and federal regulations
related to this issue. We have a Safety Committee
that meets monthly and discusses the accident
prevention program and develops loss prevention
policies in an effort to manage risk exposure.
Several areas of concern are now addressed
including: hazardous material management,
bloodborne pathogens, sexual harassment awareness,
accident prevention, ergonomics, and evaluation of
xxt
work environments to prevent cumulative trauma.
The Borough presents training to employees to
address these and other issues as part of the accident
prevention program, an integral component of an
effective risk management program.
OTHER INFORMATION
INDEPENDENT AUDIT
The Borough Code requires an annual audit to be
made of the books of account, financial records, and
transactions of all administrative departments of the
Borough. We have complied with this requirement
and the auditors' opinion has been included in this
report.
The Alaska Statutes require single audits and define
these requirements in 2 AAC 45.010.
The Borough also complies with the "Federal Single
Audit Act of 1984" as amended by the "Single Audit
Act Amendments of 1996 ", and the "Drug -Free
Workplace Act of 1988."
AWARDS
GOVERNMENT FINANCE OFFICERS
ASSOCIATION CERTIFICATE OF
ACHIEVEMENT FOR EXCELLENCE IN
FINANCIAL REPORTING
The Government Finance Officers Association of the
United States and Canada (GFOA) awarded a
Certificate of Achievement for Excellence in
Financial Reporting to the Kodiak Island Borough for
its comprehensive annual financial report for the
fiscal year ended June 30, 1996. The Certificate of
Achievement is a prestigious national award
recognizing conformance with the highest standards
for preparation of state and local government
financial reports.
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. Such a 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. The Borough has received a
Certificate of Achievement for the last nine
consecutive years (fiscal years ended 1988 - 1996).
We believe our current report continues to conform
to the Certificate of Achievement Program
requirements, and we are submitting it to the
Government Finance Officers Association.
GOVERNMENT FINANCE OFFICERS
ASSOCIATION DISTINGUISHED BUDGET
PRESENTATION AWARD
The Government Finance Officers Association of the
United States and Canada (GFOA) presented a
Distinguished Budget Presentation Award to the
Kodiak Island Borough for its annual budget for the
fiscal years beginning July 1, 1990 through July 1,
1996. The Borough has submitted its annual budget
for the fiscal year beginning July 1, 1997, and
believes that it will also meet the criteria for this
award.
In order to receive this award, a government unit
must publish a budget document that meets program
criteria as a policy document, as an operating guide,
as a financial plan, and as a communications
medium.
OTHER AWARDS
Citizens of the Kodiak Island Borough are pleased to
see that our Mayor, Jerome M. Selby, has been
recognized nationally. He appears in the current
issues of Who's Who in the West and Who's Who in
the World In November of 1994, Mayor Selby
received an Outstanding Contribution Award at the
Alaska Municipal League Conference in Juneau.
ACKNOWLEDGMENTS
I wish to express my appreciation to all the members
of the Finance Department for their efficient and
dedicated service during the past year. I wish to
thank your office and the members of the Borough
Assembly for their interest in and support of the
planning and conducting of the financial operations
of the Borough in a responsible and progressive
manner.
Respectfully submitted,
KARLETON G. SHORT
DIRECTOR OF FINANCE
xxii
FINANCIAL SECTION
1
1
GENERAL PURPOSE FINANCIAL STATEMENTS
The General Purpose Financial Statements include the basic
financial statements and notes to the financial statements which
are essential to the fair presentation of financial position and
results of operations and the cash flow of proprietary funds and
similar trust funds.
L�
n,
1
a
Deloifte &
buche
Suite 1500 Telephone: (907) 272 -8462
�\
550 West 7th Avenue Facsimile: (907) 264 -3181
Anchorage, Alaska 99501
INDEPENDENT AUDITORS' REPORT
The Honorable Mayor and Members of the Assembly
Kodiak Island Borough
Kodiak, Alaska
We have audited the accompanying general purpose financial statements of Kodiak Island Borough, Alaska, as of
June 30, 1997, and for the year then ended, listed in the foregoing table of contents. These general purpose
financial statements are the responsibility of the management of Kodiak Island Borough, Alaska. Our responsibility
is to express an opinion on these general purpose financial statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards and Government Auditing
Standards issued by the Comptroller General of the United States. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the general purpose financial statements are free of
material misstatement. The financial statements of the Kodiak Island Hospital and Care Center Component Unit
were audited in accordance with generally accepted auditing standards, but were not audited in accordance with
Government Auditing Standards. An audit includes examining, on a test basis, evidence supporting the amounts
and disclosures in the general purpose financial statements. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for our opinion.
In our opinion, such general purpose financial statements present fairly, in all material respects, the financial
position of the Kodiak Island Borough, Alaska, at June 30, 1997, and the results of its operations and the cash flows
of its proprietary fund types for the year then ended in conformity with generally accepted accounting principles.
Our audit was conducted for the purpose of forming an opinion on the general purpose financial statements taken as
a whole. The combining and individual fund and account group financial statements and schedules listed in the
foregoing table of contents, are presented for purposes of additional analysis and are not a required part of the
general purpose financial statements of Kodiak Island Borough, Alaska. These financial statements and schedules
are also the responsibility of the management of Kodiak Island Borough, Alaska. Such additional information has
been subjected to the auditing procedures applied in our audit of the general purpose financial statements and, in our
opinion, is fairly stated in all material respects when considered in relation to the general purpose financial
' statements taken as a whole.
The statistical data on pages 109 through 128 are presented for purposes of additional analysis and are not a
1 required part of the general purpose financial statements of the Kodiak Island Borough, Alaska. Such additional
information has not been subjected to the auditing procedures applied in the audit of the general purpose financial
statements and, accordingly, we express no opinion on it.
In accordance with Government Auditing Standards, we have also issued our report dated October 3, 1997, on our
consideration of Kodiak Island Borough's internal control over financial reporting and our tests of its compliance
with certain provisions of laws, regulations, contracts and grants.
October 3, 1997, except for Note 20, as to which the date is October 7, 1997
Deloitt buche
Tohnlatsu
International l
KODIAK ISLAND BOROUGH
COMBINED BALANCE SHEET - ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY
PRESENTED COMPONENT UNIT
AS OF JUNE 30, 1997 (with comparative totals for 1996)
Proprietary
Governmental Fund Types Fund Types
Special Debt Capital Internal
General Revenue Service Projects Enterprise Service
ASSETS AND OTHER DEBITS
ASSETS:
Equity in central treasury
$ 46,299
S 226,369 S
150,653
S 108,611
S 129,276 S
81,106
Temporary investments
3,208,202
4,850,505
500,000
4,874,124
476,928
-
Other cash and cash equivalents
-
-
-
_
-
_
Receivables:
Accounts and other receivables, net
271,888
128,774
1,060
56,440
263,214
17,725
State of Alaska
66,556
192,830
15,869
216,172
-
-
Federal Government
-
-
-
661,378
-
Property taxes, net of allowance of S 15,828
158,033
-
_
Land sales contracts, due within one year
-
188,233
-
-
_
_
Due from other funds
715,000
200,0,,000
00
1740
660,000
Due from component unit
-
-
-
-
Due from primary government
_
Inventories
-
277,007
-
Prepaid expenses/expenditures
-
7,606
-
-
-
25,272
Restricted assets:
Under malpractice funding arrangement-
held by trustee
-
-
-
By donor for specific purpose
Equity in central treasury
-
_
_
Temporary investments
-
-
-
150,768
With fiscal agent
-
-
1,642,622
-
Land sales contracts receivable, due after one year
263,713
-
-
Fixed assets, net of accumulated
depreciation where applicable
-
6.486,915
407,583
Deposit on lease
_
_
_
_
Construction work -in- progress
2,377,778
OTHER DEBITS:
Amount available in debt service fund
Amount to be provided for retirement of
general long -term debt
-
-
_
-
_
_
TOTAL
S 3,750,978
S 6,573,030 S
867,582
S 7.656,725
S 12.464.508 S
531,686
The accompanying notes are an integral part of these combined financial statements.
2
EXHIBIT 1
Totals
Primary Component
Account Groups Government Unit Totals
General General Long- (Memorandum School (Memorandum Only)
Fixed Assets Term Debt Only) District 1997 1996
S S S 742.314 S
S 742,314
S 1,032.839
13,909,759
13,909,759
24,730,020
233,333
233,333
290.616
739,101
15,676
754,777
2,834,013
491,427
2,077.252
2,568,679
1,546,687
661,378
18,424
679,802
645,363
158,033
-
158,033
251,747
188,233
-
188,233
200,157
3,315,000
806,122
4,121,122
2,727,953
-
-
207,100
_ -
1.359,525
1.359,525
4,856,068
277,007
222.211
499,218
412,121
32,878
-
32,878
110,431
-
5,086
3,450
-
12,548
150,768
150,768
-
1,642,622
1,642.622
-
263,713
-
263,713
388,540
95,967,168 102,861,666
3,450,327
106.311,993
104,626,977
_ -
399,776
24,668.482 27,046,260
27,046,260
26,326,595
- 809,888 809,888
-
809,888
2,017,966
- 21257,139 21,257,139
790,778
22.047.917
21,622.437
$ 120,635,650 S 22,067,027 S 174.547,186 S
8,973,648
S 183,520,834
S 195248,490
(continued)
3
KODIAK ISLAND BOROUGH
COMBINED BALANCE SHEET - ALL FUND TYPES, ACCOUNT GROUPS AND DISCRETELY
PRESENTED COMPONENT UNIT
AS OF JUNE 30, 1997 (with comparative totals for 1996)
The accompanying notes are an integral pan of these combined financial statements.
4
Proprietary
Governmental Fund Types
Fund Types
Special
Debt
Capital
internal
General
Revenue
Service
Projects
Enterprise
Service
LIABILITIES, FUND EQUITIES AND
OTHER CREDITS
LIABILITIES:
Accounts payable S
236,780
S 144,612
S 57,694
S 1,453,549
S 260,072
S 1,286
Retainages payable
-
-
-
487,372
-
-
Accrued compensation, annual leave,
payroll taxes and related benefits
24,009
21,730
-
18,488
36,460
Other accrued liabilities
1,723
-
-
_
Customer deposits
-
675
Deferred revenues
393,602
24,514
Deferred compensation benefits payable
-
-
Due to City of Kodiak
-
Due to component units
1,359,525
-
Due to primary government
-
-
_
_
Due to other funds
80.000
960,000
770,000
1,505,000
Due to student organizations
-
-
-
_
_
Current portion of note payable
-
492,063
-
Current portion of capital lease obligations
-
329,819
-
Accrual for landfill closure and postclosure costs
-
1,984,423
-
Note payable
-
-
2,971,335
Capital lease obligations
-
-
1,407,947
General obligation bonds payable
-
_
_
Revenue anticipation short -term note payable
-
-
Environmental Protection Agency loan
_
_
Total liabilities
1.702.037
1,520.619
57,694
2.735,435
8, %9.147
37,746
FUND EQUITIES AND OTHER CREDITS:
Contributions in aid of construction, net
-
-
-
1,759,176
617,382
Investment in general fixed assets
-
_
_
Contributed capital
-
4,298,512
Retained earnings (deficit)
-
-
(2,562,327)
(123,442)
Fund balances:
Reserved:
Encumbrances
-
16,920,146
Fuel inventory
-
_
Impact Aid
-
-
-
-
Unreserved:
Designated for subsequent year expenditures
2,048,941
-
809,888
16,244
Undesignated
-
5,052,411
(12.015,100)
-
Total fund equities and other credits
2,048.941
5,052,411
809,888
4,921,290
3,495,361
493,940
TOTAL S
3,750.978
S 6,573.030
$ 867,582
S 7,656,725
S 12,464,508
S 531,686
The accompanying notes are an integral pan of these combined financial statements.
4
EXHIBIT 1, continued
Totals
Primary Component
Account Groups Government Unit Totals
General General Long- (Memorandum School (Memorandum Only)
Fixed Assets Term Debt Only) District 1997 1996
S $ S
2,153,993 $
119,462 S
2,273,455 S
2,336,712
178,988
487.372
-
487,372
922,829
250,779
351,466
2,679,779
3,031,245
2,653,838
-
1,723
-
1,723
232,939
675
-
675
9,813
5,178,245
418,116
11,107
429,223
589,202
-
-
-
1,817,728
S 195,248.490
-
-
28,300
-
1,359,525
1,359,525
4,856,069
-
-
207,100
3,315,000
806,122
4,121,122
2,727,953
-
178,933
178,933
159,332
492,063
-
492,063
-
-
329.819
329,819
173,481
-
1,984,423
1.984,423
2,316,713
-
2,971,335
2,971,335
-
-
1,407,947
1,407,947
250,631
21,660,000
21,660,000
-
21,660,000
23,205,000
-
-
-
-
3,000,000
156,248
156,248
-
156,248
177,081
22,067,027
37,089,705
3,795.403
40.885,108
45,664.721
- 2,376,558
120,635,650 120,635,650
- - 4,298,512
(2,685,769)
- 2,376,558 18,916,402
3,450,327 124,085,977 112,030,972
- 4,298,512 -
(2,685,769) 1,487,657
16,920,146
123,233
17,043,379
6,475,288
-
178,988
178,988
164,829
- -
1,191,680
1,191,680
1,294,504
2,875,073
-
2,875,073
6,553,566
- (6. %2,689)
234,017
(6,728,672)
2,660,551
120,635,650 - 137,457,481
5,178,245
142.635,726
149,583,769
S 120.635,650 S 22,067,027 S 174,547.186 S
8,973,648
S 183.520.834
S 195,248.490
E
KODIAK ISLAND BOROUGH
COMBINED STATEMENT OF REVENUES,
EXPENDITURES,TRANSFERS, AND CHANGES IN FUND BALANCES
ALL GOVERNMENT FUND TYPES AND DISCRETELY PRESENTED COMPONENT UNIT
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996
REVENUES:
Property taxes
Intergovernmental:
State sources
Federal sources
Land sale proceeds
Severance taxes
Licenses, permits, fees and other local revenues
Investments and property
In -kind services
Total revenues
EXPENDITURES:
Current:
Borough assembly
Borough mayor
Borough clerk
Borough attorney
Finance department
Assessing department
Community development department
Building official
Economic development
General and administration
Emergency preparedness
School district support
Health and sanitation department
Education, culture and recreation
Capital outlay:
Schools
Service district maintenance
General
Debt service:
Principal
Interest
Fiscal agent fees
Other
Total expenditures
Excess (deficiency) of revenue over (under) expenditures
OTHER FINANCING SOURCES (USES):
Operating transfers in from component unit
Operating transfers in from other funds
Operating transfers in from primary government
Operating transfers out to component units
Operating transfers out to other funds
Operating transfers out to primary government
Net other financing sources (uses)
Excess (deficiency) of revenues and other financing
sources over (under) expenditures and other financing uses
110,699 - -
194,574 - -
273,955 -
125,258 - -
560,870 - -
323,492 - -
423,769 80,278 -
83,920 - -
71,684 - -
323,143 1,150,057 -
4,410 - -
263,472 - -
585,806 2,309,959
163,300 - -
287.636 -
-
Special
Debt
General
Revenue
Service
S 4,736,399
S 557,626
S -
1,939,106
969,951
-
457,166
5.233
-
-
2,459,762
-
845,638
-
-
108,483
1,067,294
-
371,414
626,073
77,132
8,458.206
5.685.939
77,132
110,699 - -
194,574 - -
273,955 -
125,258 - -
560,870 - -
323,492 - -
423,769 80,278 -
83,920 - -
71,684 - -
323,143 1,150,057 -
4,410 - -
263,472 - -
585,806 2,309,959
163,300 - -
287.636 -
-
-
1,565,833
-
-
1,237,938
-
-
2,058
3,508152
3,827,930
2,805,829
4.949.854
1,858.009
(2,728,697)
-
-
1,658,131
9,672
723,443
1,019,785
(3,995,000)
-
-
(1,887,810)
(324,665)
(1,157,297)
(5.873.138)
398.778
1.520,619
(923,284)
2,256,787
(1,208,078)
FUND BALANCES, at beginning of year 2,972.225 2,795,624 2,017,966
Residual equity transfers in - -
Adjustments to reserve for fuel inventory - - -
FUND BALANCES, at end of year S 2.048.941 S 5,052.411 $ 809,888
The accompanying notes are an integral part of these combined financial statements.
6
EXHIBIT 2
Totals Component
Primary Unit Totals
Capital Government School (Memorandum Only)
Projects ( Memorandum Only District 1997 1996
$ - $ 5,294,025 $ - S 5,294,025 $ 5,620,078
■ 1,019,462
3,928,519
16,617,594
20,546,113
19,706,282
487,057
949,456
3,200,520
4,149,976
4,151,770
-
2,459,762
2,459,762
8,389,582
-
845,638
-
845,638
1,048,500
'
1,548
1,177,325
280,225
1,457,550
1,059,543
406,629
1,481,248
1,481,248
1,797,417
-
-
819,588
819,588
351.159
1.914.696
16,135,973
20.917.927
37.053.900
42,124,331
-
110,699
-
110,699
110,009
-
194,574
-
194,574
200,180
273,955
273,955
287,135
125,258
125,258
160,756
-
560,870
-
560,870
615,319
-
323,492
-
323,492
337,107
-
504,047
504,047
465,826
83,920
_
83,920
85,500
-
71,684
-
71,684
136,485
-
1,473,200
-
1,473,200
1,400,556
4,410
-
4,410
4,295
'
263,472
23,676,390
23,939,862
23,322,653
2,895,765
2,895,765
2,509,970
-
163,300
-
163,300
163,300
451,471
451,471
-
451,471
5,314,508
287,636
287,636
189,023
9,299,212
9,299,212
-
9,299,212
12,338,228
1,565,833
1,565,833
2,480,833
1
1,237,938
1,237,938
1,370,170
-
2,058
-
2,058
2,151
_
-
14,360
9,750,683
19,892,794
23,676,390
43,569,184
51,508,364
(7,835.987)
(3,756.821)
(2,758.463)
(6,515,284)
(9,384,033)
1,060,000
2,718,131
-
2,718,131
2,489,819
4,004,049
5,756,949
-
5,756,949
11,163,946
3,995,000
3,995,000
4,142,000
-
(3,995,0 00)
-
(3,995,000)
(4,142,000)
(887,177)
(4,256,949)
-
(4,256,949)
(11,163,946)
-
-
(1,718,131)
(1,718,131)
(2,489.819)
4,176.872
223.131
2.276,869
2,500,000
(3,659,115)
(3,533,690)
(481,594)
(4,015,284)
(9,384,034)
7,174,759
23,932,888
2,188,164
26,121,052
26,523,940
1,405,646
1,405,646
-
1,405,646
-
-
-
21.348
21,348
8.832
S 4.921.290 S
21,804.844 $
1,727.918
S 23.532,762
S 17.148.738
KODIAK ISLAND BOROUGH
COMBINED STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
GENERAL FUND, SPECIAL REVENUE FUND AND DEBT SERVICE FUND
YEAR ENDED JUNE 30, 1997
General Fund
Variance-
Favorable
Budget Actual (Unfavorable)
REVENUES:
Property taxes
Intergovernmental:
State sources
Federal sources
Land sale proceeds
Severance taxes
Licenses, permits, fees and other local revenues
Investments and property
Total revenues
EXPENDITURES:
Current:
Borough assembly
Borough mayor
Borough clerk
Borough attorney
Finance department
Assessing department
Community development department
Building official
Economic development
General and administration
Emergency preparedness
School district support
Health and sanitation department
Education, culture and recreation
Capital outlay:
Service district maintenance
General
Debt service:
Principal
Interest
Fiscal agent fees
Other
Total expenditures
Excess (deficiency) of revenue over (under) expenditures
OTHER FINANCING SOURCES (USES):
Operating transfers in from component unit
Operating transfers in from other funds
Operating transfers to component unit
Operating transfers out to other funds
Net other financing sources (uses)
Excess (deficiency) of revenues and other financing sources
over (under) expenditures and other financing uses
FUND BALANCES, at beginning of year
FUND BALANCES, at end of the year
$ 4,744,560 $ 4,736,399 $ (8,161)
1,874, %3
713,129
756,000
106,320
445,000
8,639,972
1,939,106
457,166
845,638
108,483
III -A
8,453,2U6
64,143
(255, %3)
89,638
2,163
(73,586)
(181,766)
112,020
110,699
1,321
198,510
194,574
3,936
275,700
273,955
1,745
139,000
125,258
13,742
566,830
560,870
5,960
324,990
323,492
1,498
432,920
423,769
9,151
79,400
83,920
(4,520)
84,000
71,684
12,316
329,330
323,143
6,187
5,500
4,410
1,090
256,640
263,472
(6,832)
589,591
585,806
3,785
163,300
163,300
-
The accompanying notes are an integral part of these combined financial statements.
8
3,508.352
3,557,731
49,379
5,082,241
4,949,854
(132,387)
-
9,672
9,672
(3,995,000)
(3,995,000)
-
(1,8 %,810)
(1,887,810)
9,000
(5,891,810)
(5,873.138)
18,672
$ (809,569)
(923,284) $
(113.715)
2,972,225
$
2.048,941
The accompanying notes are an integral part of these combined financial statements.
8
EXHIBIT 3
9
Special Revenue Funds
Debt Service Funds
Variance-
Variance -
Favorable
Favorable
Budget
Actual
(Unfavorable)
Budget
Actual
Unfavorable)
' $ 545,060
$ 557,626
$ 12,566
$
$ -
$
991,060
969,951
(21,109)
5,800
5,233
(567)
-
2,465,580
2,459,762
(5,818)
844,520
1,067,294
222,774
-
872.050
626,073
(245,977)
105,000
77,132
(27,868)
' 5,724,070
5,685,939
(38.131)
105,000
77,132
(27,868)
80,300
80,278
22
-
5
5,000
1,317,810
l ,150,057
-
167,753
-
2,071,890
2,309,959
(238,069)
346,890
287,636
59,254
-
-
-
-
1,565,840
1,565,833
7
-
-
-
1,237,940
1,237,938
2
-
-
3,780
2,058
1,722
54,700
54,700
3,821,890
3,827,930
(6,040)
2,862,260
2,805,829
56,431
1,902,180
1,858,009
(44,171)
(2,757.260)
(2,728,697)
28,563
-
-
-
1,645,130
1,658,131
13,001
722,530
723,443
913
1,016,780
1,019,785
3,005
(240,160)
(324,665)
(84,505)
(1,146,712)
(1,157,297)
(10,585)
482,370
398,778
(83,592)
1,515.198
1,520,619
5,421
$ 2,384.550
2,256,787
$ (127,763)
$ (1,242,062)
(1,208,078)
$ 33.984
2,795,624
2,017,966
$ 5,052,411
$ 809,888
9
I KODIAK ISLAND BOROUGH EXHIBIT 4
COMBINED STATEMENT OF REVENUES, EXPENSES,
AND CHANGES IN RETAINED EARNINGS
PROPRIETARY FUND TYPES AND DISCRETELY PRESENTED COMPONENT UNIT
' YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
Component
Totals
Totals
Unit
Reporting Entity
Primary
Hospital
(Memorandum Only)
Internal
Government
Period ended
Enterprise
Service
(Memorandum Only)
April 20. 1997
1997
1996
OPERATING REVENUES:
Solid waste collection
S 1.593,818
S
S 1,593,818
S - S
1.593,818 S
1,393,922
Solid waste disposal
1
741,941
741,941
741.941
727,216
Charges for servicesicustomer charges
93,592
594,091
687,683
687,683
681,056
Lease proceeds
120,000
120,000
120,000
-
Other
16,568
16,568
16,568
15,465
2,565,919
594,091
3,160,010
3,160,010
2,817,659
OPERATING EXPENSES:
Personnel services
369,012
404,896
773,908
773,908
808,802
Solid waste collection
1,110,129
1,110,129
1,110,129
1,087,242
Contracted services
247,268
247,268
247,268
385,641
Repairs and maintenance
29,229
28,423
57,652
-
57,652
82,797
Landfill closure and postclosure costs
(246,629)
-
(246,629)
-
(246,629)
2,005,956
Depreciation
213,107
73,752
286,859
286.859
265,072
Professional services
102,097
102,097
102,097
Supplies
-
32,958
32,958
-
32,958
29,372
General and administration
176,783
58,163
234,946
-
234,946
221,674
Recycling services
11,058
-
11,058
-
11,058
16,232
Contributions
74,907
74,907
74,907
45,935
2.086,961
598,192
2,685,153
-
2,685,153
4,948,723
Operating income (loss)
478,958
(4,101)
474,857
474,857
(2,131,064)
OTHER INCOME (EXPENSES):
Loss on sale of assets
(1,288)
(1,288)
(1,288)
Interest income
8,591
8,591
8,591
Interest expense
(249,991)
(249,991)
(249,991)
Net income (loss) from continuing operations
236,270
(4,101)
232,169
232,169
(2,131,064)
OTHER FINANCING SOURCES (USES):
Operating transfers out to other funds
(1,500,000)
(1,500,000)
(1,500,000)
Operating transfers in from component units
726 ,797
726,797
726,797
-
Operating transfers out to primary government
-
-
(1.726,797)
(1,726,797)
-
Net other financing sources (uses)
(773,203)
(773,203)
(1,726,797)
(2,500,000)
-
Income from discontinued operations
1,295,093
1,295,093
374,404
Loss on disposal of component unit hospital
(74,971)
(74,971)
-
(74,971)
-
Amortization of contributions in aid of construction
76,805
76,805
200,000
276,805
388,485
Increase (decrease) in retained earnings
(535,099)
(4,101)
(539,200)
(231,704)
(770,904)
(1,368,175)
Retained earnings (deficits) at beginning of year
(617,471)
(119,341)
(736,812)
2,224,469
1,487,657
2,855,832
Transfer of sewer and water funds to the
City of Kodiak
(1,409,757)
(1,409,757)
-
(1,409,757)
-
Residual equity transfer out
(1,992,765)
(1,992.765)
Retained earnings (deficits) at end of year
S (2.562,327)
S (123.442)
S (2,685,769)
S - S
(2,685,769) S
1,487,657
The accompanying notes are an integral part of these combined financial statements.
II
KODIAK ISLAND BOROUGH EXHIBIT 5
COMBINED STATEMENT OF CASH FLOWS
PROPRIETARY FUND TYPES AND DISCRETELY PRESENTED COMPONENT UNIT
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
12
Totals
Reporting
Totals
Component
Entity
Priman
Unit
(Memorandum Onk)
Gmcrnmmt
Hospital
Internal
(Memorandum
Period ended
Enterprise
Sm'ice
Only)
April 20. 1997
1997
1996
OPERATING INCOME (LOSS)
S 472.958 $
(4.101)
S 474.857
f 919.203
f 1394,060 $ (2226.327)
ADJUSTMENTS TO It
OPERATING INCOME (LOSS) TO NET
CASH PROVIDED BY OPERATING ACTIVITIES:
Depreciation
213.107
73.732
266.839
442.$39
729.718
1.064.993
Provision for an ollatibk accounu
-
479.839
479.$39
371.393
E malpratuce costs
-
(232,333)
(232.333)
-
Changes in assets and liabilities
that provided (used) cash:
Accam4 reeeivabk:
Customers and patients
75.603
73.603
(1,343,990)
(1,270.3$3)
(446333)
Outer
-
(17.723)
(17,725)
7,929
(9.796)
131,6$3
prepaid eapenss
-
8,424
$,424
(30,278)
(21,$34)
(26.837)
lawntonct
-
(45.305)
(43,303)
(18.444)
Due to/6m o other foods
1.140.700
-
1,140.700
1.140,700
(693.476)
Due w/ftont compoatot unit • hospital
207.100
-
207.100
-
207,100
(207.000)
Accounts pnabk
(47,692)
(4.993)
(32,687)
17,914
(34,773)
53.208
Commadepomu
(7.419)
(7.949)
130,318
142,30
96.469
Accrual for hodrdl c'
and poslelosttm costs
(3322
-
(332290)
-
(332,290)
2.003,956
Accrued
Doe to the City of Kodiak
(2$,300)
-
(28,300)
-
(2$,300)
11.090
Other warned liabilities
3.197
(6.138)
(2.961)
(2.961)
3.063
Toed shoo ms.0
1.2234478
51298
1276.776
(333.041)
721.729
2 .363.943
Net stash psoaided by
opmat amivaks
1.702.436
49.197
1.731.633
364,136
2.113.789
137.616
CASH FLOWS FROM NONCAPITAL AND
RELATED FINANCING ACTIVITIES:
Cash Yanfersed Rant Hospital Compown Unit
203.692
-
203.692
-
203,692
-
Operad" ttansfen not to other foods
(1.300.000)
(1 .300.000)
(1.300.000)
-
Opmmmg tmtden in from "am"
Component Uri
726.797
-
726.797
726.797
-
Eoaity trmaim not to Capital Project Fonds
(1.405.646)
(1.403,646)
(1,403,646)
-
Traa 6 of Water ad Seov operations
to the City of Kodiak
(703.420)
(703,420)
(703,420)
-
Transfer of Hospital component unit cask
nt Hanphad Enterprise Food
-
-
(127,260)
(127,260)
-
Sim of Alaska. Revenue Sharing pe nocou $crewed
76.333
76333
83.623
Net cash provided by (used for)
noncpow fotmncing sowitks
(2.678.377)
(20678177)
(30.927)
(2.729.304)
83.623
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES.
Acquisition and eaamuedon of capital sum
(2.446373)
(103.016)
(2.531.3$9)
(626,716)
(3,178,103)
($88,482)
Residual mpg, woofer b psaan" pm'aaatem
-
(076.932)
(1,376,932)
-
lowest paid on noon l noble and espial leauan
(249.991)
-
(249.991)
-
(249,991)
-
Proceeds front $nuance of now Pnobk
4.471.910
4.471,910
-
4.471,910
-
Prooe . from dtpaal of Cempnmm Unit
Hospital operations
2.000.000
-
2,000.000
-
2.000.000
-
P, from ntk of eepdpntent
2130
-
2,130
3,435
5,605
870
Ptiaeipalpmsneataam&on sows pniWe
(462.648)
(46208)
(462,648)
-
Principal pe-eft nude on capital Inn
(32,616)
-
(32.616)
(203,344)
(236.160)
(128223)
Ramp of ooreW . n.... ", ,
6$.633
68,673
297 .326
Rote* of gilt ruastiesed by donor
for capital patebnes
231.953
231.933
2.356
Net cab poaided by lend for) capita
and related fmtcy activities:
3262.432
(103,016)
3,137.416
(2,083,149)
1,074,267
(719,633)
CASH FLOWS FROM INVESTING AC`nVrnES:
Cheap in mm Mint: not is limited:
Additions bmacte'cub
(1.793 .390)
(1,793 .390)
(1,793 .390)
Under talprania food rs arrangement
-
3,086
5,036
689
By donor for specific porpos
-
-
(760)
(760)
(1.639)
lalment and divideeds oo insmooems
8.391
-
8.391
58,670
67,261
109,330
Panehna of inwntau
(476.921)
(476.923)
(476.928)
Net cash provided by (used for)
mareg nctiyiin:
(2.261.727)
(2.261.727)
62.996
(2.198.731)
108.600
Net ehaego as cub and cub etpinaknta
24.564
(33,319)
(31,233)
(1,706,924)
(1.73$,179)
(389,816)
CASH AND EQUIVALENTS. at begiming of year
104.712
136,923
241.637
1,706,924
1.94$.361
2.332.377
CASH AND EQUIVALENTS, at the end of ysur
f 129.276 S
81.106
S 210.392
f
f 210.382 f
1.948.561
Cab and cab aqun2lean coma of again on control treaanry and tmPosu3' mvesomm tochding thus Oder the eapoon,'eatrieted anneta,' on the balsnce notes.
The aeeontpsny s now are on iategrnl pan of then cambind fmaotl atata onU.
12
KODIAK ISLAND BOROUGH
NOTES TO THE COMBINED FINANCIAL STATEMENTS
YEAR ENDED JUNE 30, 1997
NOTE 1: SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
A. Reporting Entity
The Kodiak Island Borough (Borough) was organized
to perform the municipal duties allowed by Alaska
Statutes and as directed by its residents. As required by
generally accepted accounting principles, these
financial statements present the government and its
component units, entities for which the government is
considered to be financially accountable. Each
discretely presented component unit is reported in a
separate column in the combined financial statements
to emphasize it is legally separate from the government.
The Borough reviewed its relationship with other
organizations and determined that the following two
organizations are component units.
Kodiak Island Borough School District: The
Borough has delegated the operating responsibility for
public education to the Kodiak Island Borough School
District (School District). In accordance with statutes,
the Borough retains ownership of the education related
fixed assets and incurs the debt, if necessary, to finance
the acquisition and construction of school facilities.
The Borough Assembly approves the total annual
budget of the School District and may, during the year,
increase or decrease the total appropriation. The
Borough levies and collects taxes for the School
District.
Complete financial statements for each of the
individual component units may be obtained at the
entity's administrative offices.
Kodiak Island Borough School District
722 Mill Bay Road
Kodiak, Alaska 99615
Kodiak Island Hospital and Care Center
1915 East Rezanof Drive
Kodiak, Alaska 99615
Total columns on the combined statements are
captioned "memorandum only" to indicate that they are
presented only to facilitate financial analysis. Data in
these columns do not present financial position, results
of operations, or cash flows in conformity with
generally accepted accounting principles. Nor are such
data comparable to a consolidation. Interfund
eliminations have not been made in the aggregation of
these data.
Certain 1996 balances have been reclassified to
conform to the current year presentation.
B. Measurement Focus. Basis of Accounting and
Basis of Presentation
Kodiak Island Hospital and Care Center: The
Borough owns Kodiak Island Hospital and Care Center
(Hospital) and operated it through April 20, 1997.
Effective April 21, 1997, the Borough has leased the
facility, including equipment, to Providence Health
Systems in Alaska (Providence). See Note 18.
The accounts of the Borough are organized and
operated on the basis of funds and account - groups. A
fund is an independent fiscal and accounting entity with
a self - balancing set of accounts. Fund accounting
segregates funds according to their intended purpose
and is used to aid management in demonstrating
compliance with finance- related legal and contractual
provisions. The minimum number of funds are
maintained consistent with legal and managerial
requirements. Account groups are a reporting device to
account for certain assets and liabilities of the
governmental funds not recorded directly in those
funds.
13
The Borough has the following fund types and account
groups:
Governmental funds are used to account for the
Borough's general government activities.
Governmental fund types use the flow of current
financial resources measurement focus and the
modified accrual basis of accounting. Under the
modified accrual basis of accounting, revenues are
recognized when susceptible -to- accrual (i.e., when
"measurable and available "). "Measurable" means the
amount of the transaction can be determined and
"available" means collectible within the current period
or soon enough thereafter to pay liabilities of the
current period. The Borough considers all revenues
available if they are collected within 60 days after year
end. Expenditures are recorded when the related fund
liability is incurred, except for unmatured interest on
general long -term debt that is recognized when due,
and certain compensated absences and claims and
judgments that are recognized when the obligations are
expected to be liquidated with expendable available
financial resources.
Property taxes, franchise taxes, severance taxes,
licenses, interest and special assessments are
susceptible -to- accrual. Other receipts and taxes
become measurable and available when cash is
received by the Borough and are recognized as revenue
at that time.
Entitlements and shared revenues are recorded at the
time of receipt, or earlier if the susceptible -to- accrual
criteria are met. Expenditure - driven grants are
recognized as revenue when the qualifying
expenditures have been incurred and all other grant
requirements have been met.
Governmental funds include the following fund types:
The general fund is the Borough's primary operating
fund. It accounts for all financial resources of the
general government, except those required to be
accounted for in another fund.
Special revenue funds account for revenue sources that
are legally restricted to expenditure for specific
purposes, not including expendable trusts or major
capital projects.
Debt service funds account for the servicing of general
long -term debt not being financed by proprietary or
nonexpendable trust funds.
Capital projects funds account for the acquisition of
fixed assets or construction of major capital projects not
being financed by proprietary or nonexpendable trust
funds.
Proprietary funds are accounted for on the flow of
economic resources measurement focus and use the
accrual basis of accounting. Under this method,
revenues are recorded when earned, and expenses are
recorded at the time liabilities are incurred. The
Borough applies all applicable FASB pronouncements
in accounting and reporting for its proprietary
operations. Proprietary funds include the following
fund types:
Enterprise funds are used to account for those
operations that are financed and operated in a manner
similar to private business or where the board has
decided that the determination of revenues earned, costs
incurred and/or net income is necessary for
management accountability.
The internal service fund accounts for operations that
provide services to other departments or agencies of the
government on a cost - reimbursement basis.
Fiduciary funds account for assets - held by the Borough
in a trustee capacity or as an agent on behalf of others.
Account Groups The general fixed assets account
group is used to account for fixed assets not accounted
for in proprietary or trust funds. The general long -term
debt account group is used to account for general long-
term debt and certain other liabilities that are not
specific liabilities of proprietary or trust funds.
14
Summarized below are the major sources of revenue
and the applicable recognition policies:
Property Taxes Property taxes are based on the
assessed value of taxable property as of January 1.
Pursuant to Alaska Statute 29.45.240, the Borough
establishes the mill rate on or before June 15. Tax bills
are then mailed on or before July 1st.
Taxes are due when billed and generally become
delinquent on or after October 15th. The Borough code
also provides for split payments. If a taxpayer avails
himself of this provision, one -half must be paid on or
before August 15th and the remainder becomes due on
or before November 15th (in lieu of October 15th).
Borough property tax revenues are recognized in the
fiscal year in which they become measurable and
available, which is generally the year following the
year the tax bills are mailed.
All taxes are delinquent on November 16th, and a tax
foreclosure process may commence as outlined in
Alaska Statutes Title 29. Briefly, this entails the
petition for Judgment of Foreclosure signed by the
District Court Judge and the publication of all
delinquent taxes in the local newspaper for four
consecutive weeks.
Real property tax liens are enforced by one general
foreclosure proceeding against the delinquent
properties.
Severance Taxes Severance taxes are based on the
amount and value of natural resources severed from the
environment. Types of resources taxed include
seafood, gravel and mineral resources, and timber.
Severance tax returns are sent to appropriate companies
(as determined by the Borough assessor) and are
returned to the Borough Finance Department. The
returns are filed quarterly, and are due by the end of the
month following the quarter's end. Borough severance
tax revenues are recognized in the fiscal year in which
they become measurable and available.
To ensure accuracy in the amounts of fish and other
seafood caught, the Borough compares the amount of
catch reported on the severance tax returns to amounts
reported to the State of Alaska Department of Revenues
and the State of Alaska Department of Fish & Game.
For rock, gravel, and timber, the assessing office
periodically does a site review of the mining/logging
area to determine the reasonableness of gross amounts
reported on the severance tax returns.
Intergovernmental Revenue State - shared revenues,
municipal assistance, State- education related
entitlement programs and State - levied taxes, the
proceeds of which are distributed to local governments,
are recorded in the fiscal year to which they relate,
including accrual at year -end if final payments due are
measurable and received within approximately two
months after year -end.
State of Alaska and Federal government cost
reimbursable grants and contracts are recorded to the
extent of allowable expenditures in the period in which
the expenditures were incurred.
Revenue from Investments and Property Amounts
earned on investment of available cash balances and the
rental of building facilities are recorded in the period to
which they relate, including accrual at year -end of the
balance due.
Land Sales Proceeds and Other Local Revenues
Amounts received pursuant to land sale contracts are
recorded on the cash basis. Noncurrent portions of
long -term receivables due to Governmental Fund Types
are reported on the associated balance sheets, in spite of
their spending measurement focus. Special reporting
treatments are used to indicate, however, that they
should not be considered available spendable resources
since they do not represent net current assets.
Recognition of Governmental Fund Type revenues
represented by noncurrent receivables is deferred until
they are paid.
Other local revenues are recorded on a basis consistent
with their nature in relation to measurement and
availability standards.
15
C. Budgets and Budeetary Accountinz
Borough
The Borough follows these procedures in establishing
the budgetary data reflected in the combined financial
statements:
1. The Mayor must submit to the Borough Assembly
by April 30 a proposed operating budget for the
fiscal year commencing the following July 1. The
operating budget includes proposed expenditures
and the means of financing them.
2. Public hearings are conducted by the Borough
Assembly to obtain citizen comments.
3. By June 10, the budget is legally enacted through
passage of an ordinance by Borough Assembly
action. If the Borough Assembly fails to pass an
ordinance, the budget submitted by the Mayor
becomes the adopted budget.
4. Amendments to the budget can occur anytime
during the fiscal year through the Borough
Assembly or administrative action. Generally, the
following actions are required at the level of the
particular change:
Appropriations lapse at year-end to the extent that
they have not been expended for all funds, except
Capital Projects Funds, which lapse at project
completion.
8. Budgets adopted by the Borough Assembly are in
accordance with generally accepted accounting
principles.
9. Additional appropriations for certain funds were
enacted during the year.
School District Annual budgets are adopted by the
School Board for all revenues, expenditures and
interfund transfers. Budgets are prepared and presented
on the modified accrual basis of accounting. Pursuant
to Alaska Statutes, the adopted budget is submitted to
the Borough Assembly for review and approval. The
Borough Assembly is required by ordinance to approve
the School District budget in total only and appropriate
the necessary resources no later than April 30 of the
current fiscal year.
The School Board retains line item authority once the
annual local appropriation is set by the Borough
Assembly. In the year ended June 30, 1997, there were
two formal budget revisions to adjust the revenues and
expenditures to available resources and program needs.
a. All new appropriations are authorized by an
appropriation ordinance that amends the annual Hospital Hospital operations are not legally required
budget ordinance. to be budgeted.
b. A resolution of the Borough Assembly is
required to move (appropriate) amounts between
departments and projects.
D. Assets. Liabilities and Fund Equity
Interfund Transactions
c. The administration is authorized and directed by
the Borough Assembly to effect the necessary
line item changes within the limits established by
Items (1) and (2) above by project or department
to properly monitor, account, and report receipts
and expenditures.
5. Expenditures may not legally exceed appropriations
at the following levels: Capital Projects Funds -
project level; all other funds - department level.
6. All funds, except Capital Projects Funds, are
budgeted on an annual basis encompassing a fiscal
year. Budgets of Capital Projects Funds generally
encompass the period from start-up to project
completion, which is generally greater than one
year.
Transactions that would be treated as revenues,
expenditures or expenses, if they involved
organizations external to the Borough, are similarly
treated if they occur between the fund types.
Reimbursements from one fund to another are treated
as expenditures or expenses of the reimbursing fund
and a reduction of the expenditures or expenses of the
reimbursed fund. Transfers from funds receiving
revenues to funds, through which the resources are to
be expended, and operating loss subsidies are classified
as operating transfers. Nonrecurring or nonroutine
transfers of equity between funds are recorded as equity
transfers.
16
1
Encumbrances
Encumbrance accounting, under which purchase orders,
contracts and other commitments for the expenditure of
moneys, are recorded in order to reserve that portion of
the applicable appropriation, is employed as an
extension of formal budgetary integration in the
General Fund, Special Revenue Funds and Capital
Projects Funds. Encumbrances outstanding at year -end
are reported as reservations of fund balances since they
do not constitute expenditures or liabilities. It is the
Borough's policy to void all open purchase orders at
year-end that are not in the Capital Projects funds.
Inventories
Expendable operating supplies of the Borough are
accounted for using the purchase method and, at
June 30, 1997, there were no significant amounts of
such items.
Retirement Plans
All full -time employees of the Borough and School
District participate in either the Alaska Public
Employees' Retirement System (PERS) or the Alaska
Teachers' Retirement System (TRS). The Borough and
School District accrue pension expense that includes
current costs and amortization of prior service costs.
The policy is to fund pension costs accrued.
Annual Leave
The Borough records its liability for accrued annual
leave in the Governmental Fund Types for the amounts
estimated to be liquidated with current available
resources.
The commitment for accrued annual leave not included
in the Governmental Fund Types is recorded in the
General Long -Term Debt Account Group.
All funds record annual vacation leave as earned.
E. Cash Flows
All highly - liquid investments, including restricted
assets, with original maturities of three months or less
are considered cash equivalents for purposes of the
statement of cash flows. This includes equity in central
treasury and other cash and cash equivalents and also
temporary investments and equity in central treasury
which are classified as "restricted assets."
F. Use of Estimates
Preparation of financial statements in accordance with
generally accepted accounting principles requires
management to make estimates and assumptions that
affect the amounts reported in these financial
statements. Actual results may differ from the
estimates. Significant estimates include the allowance
for doubtful accounts, the useful lives of assets and
related accumulated depreciation, accrued landfill
closure and post closure care costs.
NOTE 2: CASH AND TEMPORARY
INVESTMENTS
Cash balances of most Borough funds are pooled in a
central treasury. Each fund type's portion of this pool is
displayed on the combined balance sheet as "Equity in
central treasury." In addition, investments are
separately held by several of the Borough's funds.
Investments are carried at amortized cost. Premiums
and discounts on investments are amortized over the
life of the investment using the straight -line method of
amortization.
Deposits. At June 30, 1997, the carrying amount of the
Borough's and Component Unit's deposits were
$975,647 and the bank balances were $1,442,631. The
year end bank balances are both insured by the Federal
Deposit Insurance Corporation and collateralized by
Government and Agency Obligations and General
Obligation Bonds of a Municipality. Collateral, in the
amount of $4,695,000, is held in the Borough's name at
State Street Bank.
Investments Statutes authorize the Borough to invest
in obligations of the United States, the State of Alaska
and its political subdivisions, savings accounts,
certificates of deposit, banker's acceptances, repurchase
agreements and such other legal security instruments.
The Borough Code requires all investments to be
collateralized and/or insured. Collateral pledged on
investments is required to be held for the Borough by a
third -party bank.
In accordance with Governmental Accounting
Standards Board Statement No. 3 (GASB 3)
investments are categorized as follows: Category 1
includes investments that are insured, or registered or
for which the securities are held by the Borough or its
agent in the Borough's name; category 2 includes
uninsured and unregistered investments for which the
securities are held by the counterparty's trust
17
department or agent in the Borough's name; category 3
includes uninsured and unregistered investments for
which the securities are held by the counterparty, or by
its trust department or agent but not in the Borough's
name. At June 30, 1997, the Borough's investment
balances were categorized as follows:
Category Carrying Market
1 2 3 Amount Value
U.S. Government Securities $ 10,893,027 $ - $ - $ 10,893,027 $ 11,119,291
Certificate of Deposit 100,000 - 5,323 105,323 105,323
$ 10,993,027 $ - $ 5,323 10,998,350 11,224,614
Municipal League Investment Pool 2,911,409 2,911,409
Total Investments
The above deposits of $975,647 and investments of
$13,909,759 totaling $14,885,406 are reported under
the following captions in the combined financial
statements:
$ 13,909,759 $ 14,136,023
liability and property insurance, data processing
services, the annual independent audit, and snow
removal services.
These are reflected as in -kind services in the financial
statement of the School District.
Equity in central treasury S 742,314
Temporary investments 13,909.759
Component Unit cash 233.333
Total deposits and investments S 14,885.406
In March 1997 the Governmental Accounting
Standards Board issued Statement No. 31, Accounting
for Certain Investments and for External Investment
Pools. This statement will require the Borough to
report investments at fair value in the balance sheet and
report the changes in the fair value of investments as
revenue in the operating statement. The Borough is
required to adopt this statement on July 1, 1997. The
cumulative effect on fund balance upon adoption is
estimated to be an increase of $226,000.
NOTE 3: ANNUAL APPROPRIATION TO THE
SCHOOL DISTRICT
An annual appropriation is made to the School District
in order to provide the School District with total
resources in a fiscal year equal in amount to budgeted
expenditures.
In addition to the annual appropriation, the Borough
provides the School District, without charge, general
NOTE 4: HOSPITAL APPROPRIATION I
By terms of the operating agreement with the Lutheran
Health Systems Management Company, the Borough
was ultimately responsible for operating losses, if any,
sustained by the Hospital through April 20, 1997. As
discussed in Note 18, effective April 21, 1997, the
Borough leased the hospital fixed assets to Providence.
Under the new agreement, the Borough is responsible
for only 50% of the operating losses of the Hospital.
In 1997, the Borough received shared revenue from the
State of Alaska in the amount of $76,333 required to be
passed through to the Hospital. This amount was
recorded as revenue by the Hospital.
NOTE 5: RETIREMENT COMMITMENTS I
The Borough and School District component unit
participate in the Alaska State Teachers' Retirement
System (TRS), a cost - sharing, multiple - employer
pension plan that covers the School District's
certificated employees, and the Alaska Public
Employees' Retirement System (PERS), that covers
most of the employees not covered by TRS. Each plan
issues a publicly available financial report that includes
18
financial statements and required supplementary
information. Those reports may be obtained from the
State of Alaska, Department of Administration,
Division of Retirement Benefits, P.O. Box 11 -0203,
Juneau, Alaska 99811 -0203.
A. PERS
Plan description: As of June 30, 1997, all regular
employees of the Borough who work more than fifteen
hours per week participate in the Alaska Public
Employees' Retirement System (PERS). PERS is an
agent multiple- employer, statewide defined benefit
plan, administered by the State of Alaska. Employees
hired prior to July 1, 1986 with five or more years of
credited service are entitled to annual pension benefits
beginning at normal retirement age 55 or early
retirement age 50. For employees hired after June 30,
1986, the normal and early retirement ages are 60 and
55, respectively. The normal pension benefit is equal
to 2% of the member's three highest average monthly
compensation for the first ten years of service, 2 -1/4%
for the second ten years of service and 2 -1/2% for all
remaining years of service. All service earned prior to
July 1, 1986 will be calculated using the 2% multiplier.
Employees with 30 or more years of credited service
may retire at any age and receive a normal benefit. The
system also provides death and disability benefits and
major medical benefits.
Funding policy: Under State law, covered employees
are required to contribute 6.75% of their annual
covered salary and the Borough is required to
contribute an actuarially determined rate - the current
rate is 11.04% of annual covered payroll.
Annual pension cost: For the year ended June 30,
1997, the Borough's annual pension cost was $370,000
for PERS which was equal to the required and actual
contribution. The actuarial required contribution was
computed as part of an actuarial valuation as of
June 30, 1994. Significant actuarial assumptions used
in the valuation include: (a) a rate of return on the
investment of present and future assets of 8.25% per
year compounded annually and (b) projected salary
increases of 5.5% a year for the first five years of
employment and 4.5% per year thereafter, with
distinction made between amounts for inflation (4.0 %),
merit for the first five years (1.0 %), and productivity
(0.5 %). The contribution rate for normal cost is
determined using the projected unit credit actuarial
funding method. The excess of assets over the actuarial
accrued liability is amortized over 5 years. The
percentage of pay method is used for amortization
purposes.
Three -year trend information for PERS
B. Component Unit Retirement Commitments
The following is a summary of selected information on
the component unit's retirement commitments.
Complete pension disclosures are presented in the
component unit financial statements.
School District participation in PERS, a defined benefit
agent multiple- employer plan, is separate from the
Borough's participation. Benefits are the same as
described for the Borough's participation. For the
years ended June 30, 1997, 1996 and 1995, the School
District's annual pension cost was $335,000, $355,000
and $361,000 and equal to the required and actual
contributions.
TRS is a cost - sharing, multiple - employer defined
benefit plan. Participation is compulsory for certified
personnel. Employees hired prior to July 1, 1990 with
eight years or more of credited service are entitled to
annual pension benefits beginning at normal retirement
age 55 equal to 2% of their highest three -year average
annual compensation for each year of service. The Plan
permits early retirement at age 50. For employees hired
after June 30, 1990, the normal and early retirement
ages are 60 and 55, respectively. Employees may elect
to receive their pension benefits in the form of a joint or
survivor annuity. Effective January 1, 1987, a married
member who retires must receive his or her benefit in
the form of a joint and survivor annuity unless the
member's spouse consents to another form of benefit.
Minimum benefits for employees eligible for retirement
are $25 per month for each year of credited service. In
addition, major medical benefits are provided. TRS
also provides death and disability benefits.
For the years ended June 30, 1997,1996 and 1995, the
School District's annual pension cost was $1,303,000,
$1,256,000, and $1,261,000, which was equal to the
required and actual contribution.
19
Annual
Percentage Net
Year
pension
of APC pension
ended
co st (APC)
co ntributed obli gation
6/30/95
$ 298,000
100% $ -
6/30/96
387,000
100% -
6/30/97
370,000
100% -
B. Component Unit Retirement Commitments
The following is a summary of selected information on
the component unit's retirement commitments.
Complete pension disclosures are presented in the
component unit financial statements.
School District participation in PERS, a defined benefit
agent multiple- employer plan, is separate from the
Borough's participation. Benefits are the same as
described for the Borough's participation. For the
years ended June 30, 1997, 1996 and 1995, the School
District's annual pension cost was $335,000, $355,000
and $361,000 and equal to the required and actual
contributions.
TRS is a cost - sharing, multiple - employer defined
benefit plan. Participation is compulsory for certified
personnel. Employees hired prior to July 1, 1990 with
eight years or more of credited service are entitled to
annual pension benefits beginning at normal retirement
age 55 equal to 2% of their highest three -year average
annual compensation for each year of service. The Plan
permits early retirement at age 50. For employees hired
after June 30, 1990, the normal and early retirement
ages are 60 and 55, respectively. Employees may elect
to receive their pension benefits in the form of a joint or
survivor annuity. Effective January 1, 1987, a married
member who retires must receive his or her benefit in
the form of a joint and survivor annuity unless the
member's spouse consents to another form of benefit.
Minimum benefits for employees eligible for retirement
are $25 per month for each year of credited service. In
addition, major medical benefits are provided. TRS
also provides death and disability benefits.
For the years ended June 30, 1997,1996 and 1995, the
School District's annual pension cost was $1,303,000,
$1,256,000, and $1,261,000, which was equal to the
required and actual contribution.
19
C Required Supplementary Information - Schedule of Funding Progress for PERS
(Dollar amounts in thousands for the primary government only)
NOTE 6: FIXED ASSETS
A summary of changes in the General Fixed Assets Account Group for the year ended June 30, 1997 follows:
Actuarial
Actuarial
Excess
Actuarial
value of
accrued
(deficiency)
valuation
assets
liability (AAL)
of assets
date
(a)
(b)
(a -b)
6/30/94
S 5,009
S 5,214
S (205)
6/30/95
5,896
5,962
(66)
6/30/96
6,652
6,285
367
NOTE 6: FIXED ASSETS
A summary of changes in the General Fixed Assets Account Group for the year ended June 30, 1997 follows:
July 1, 1996
Excess
Deductions
June 30, 1997
(deficiency) as a
Funded
Covered
percentage of
ratio
payroll
covered payroll
(a/b)
(c)
((a -b) /c)
96%
$ 2,577
(8.0 %)
99%
2,652
(2.5 %)
106%
2,970
12.4%
NOTE 6: FIXED ASSETS
A summary of changes in the General Fixed Assets Account Group for the year ended June 30, 1997 follows:
The following is a summary of Proprietary Fund fixed assets at June 30, 1997:
July 1, 1996
Additions
Deductions
June 30, 1997
Government
F
F und
Land and improvements
Land
$ 5,397,389
S -
S -
S 5,397,389
Buildings
74,905,568
13,394,453
-
88,300,021
Improvements other than buildings
846,690
-
-
846,690
Machinery and equipment
1,386,355
36,713
-
1,423,068
Construction work -in- progress
26,326,595
11,732,03
13,390,1
24,668,482
$108,862,59
S 25,163,19
$ 13,390,14
$120,635,650
School District
Equipment
S 3,168,375
S 469,69
S 187,7
S 3,450,327
The following is a summary of Proprietary Fund fixed assets at June 30, 1997:
20
Internal
Enterprise
Service
F
F und
Land and improvements
S 40,275
S -
Building and improvements
6,351,059
-
Equipment
5,973,355
912,329
Work in process
2 , 3 77,778
-
14,742,467
912,329
Less: accumulated
depreciation
(5,8 77,774)
(
Net fixed assets
S 8 ,864,693
S 407,583
20
n
Depreciation lives for Proprietary Fund fixed assets are as follows:
' Building and improvements 15 -50 years
Equipment 5 -20 years
An expenditure qualifies for capitalization as a fixed
asset if the total cost is $500 or more, the asset will
last longer than one year, and the asset is not
consumable. Improvements to an existing asset that
increase the life or value of that asset also qualify for
capitalization, and are added to the carrying amount
of the original asset. All fixed assets are depreciated
over the estimated remaining useful life of the asset
on a straight -line basis. The Borough does not
capitalize either infrastructure fixed assets or
improvement to such.
21
NOTE 7: LONGTERM DEBT
The following is a summary of long -term debt for the year ended June 30, 1997:
Interest Principal Payments
Type of Debt Rates Dates
Environmental Protection Agency
Asbestos Abatement Loan 0.0 %'
General Obligation School
Refunding Bonds - 1989 Series
General Obligation
Bonds - 1993 Series
General Obligation
Bonds - 1994 Series
Accrued annual leave
6.6 -8.0% 8/1 -2/1
Issue
Maturity
2/15/99
730,000
Date
Dates
Dates
Amount
2/15/02
825,000
2/15/03
860,000
6/20/85
11/8/05
12/31/97
S 10,410
2/15/06
980,000
06/30 and 12/31
7,480,000
2/15/07
1,030,000
1998 thru 2004
14 x 10,417
2/15/09
1,145,000
2/15/10
156.248
5/1/89
8 /1 /00
8/1/97
945,000
2/15/13
1,415,000
8/1/98
1,015,000
9,985.000
8/1/99
1,080,000
S 22,067,027
8/1/00
1.155.000
4,195,000
3.90 -7.00% 8/15 -2/15 11/15/93 2/15/06
5.40 -5.50 8/15 -2/15 11/15/93 2/15/14
0.00%
• Interest free unless delinquent, then 7% plus fees and penalties.
22
2/15/98
695,000
2/15/99
730,000
2/15/00
760,000
2/15/01
790,000
2/15/02
825,000
2/15/03
860,000
2/15/04
900,000
2/15/05
940,000
2/15/06
980,000
7,480,000
2/15/07
1,030,000
2/15/08
1.085,000
2/15/09
1,145,000
2/15/10
1,205,000
2/15/11
1,270,000
2/15 /12
1,340,000
2/15/13
1,415,000
2/15/14
1,495.000
9,985.000
250,779
S 22,067,027
Authorized Prior Years C urrent Y ear
Fiscal Balance at
Year Amount Issued Retired Julv 1. 1996 Issued
1985 S 375.000 $ 375.000 S 197,919 $ 177.081 $
1989 10,000,000 10,000.000 4,915.000 5,085,000
1994 9,215,000 9,215,000 1,080,000 8,135,000
Balance at
Retired June 30. 1997
- $ 20.833 $ 156,248
890.000 4,195,000
655,000 7,480,000
1994 9 9,985,000 - 9,985,000 - - 9,985,000
1997 258.322 232,549 240.092 250,779
S 29.575.000 $ 29.575.000 S 6,192.919 S 23.640.403 S 232.549 $ 1.805.925 S 22.067.027
23
The annual requirements to amortize all general obligation bonded debt and the EPA loan payable outstanding as of I
June 30, 1997, including interest payments of $9,924,023 on the general obligation debt, are as follows:
The amount of $549,569 is available in the Debt Service Funds to service all general obligation bonds.
There are a number of limitations and restrictions contained in the various bond indentures. The Borough is in
compliance with all significant limitations and restrictions.
NOTE 8: CAPITAL LEASE OBLIGATIONS
The Hospital Enterprise Fund leases various equipment under long -term lease agreements at nominal annual interest
rates ranging from 6.14% to 8.775 %. The initial cost of such equipment included in fixed assets at June 30, 1997, is
approximately $2,145,000. Accumulated amortization on the leased equipment is approximately $739,000 at June
30, 1997.
Included among the leased assets are $1,599,000 of equipment assumed from Kodiak Island Hospital and Care
Center (see Note 18), with associated capital lease obligations of $1,244,518, as of June 30, 1997.
The minimum required lease payments under the capital leases for the next five years, including interest of
$291,887, are as follows:
Fiscal year
end June 30
1998
General
EPA Loan
437,619
June 30,
Obligation
Payables
Total
1998
$ 2,779,284
S 20,833
S 2,800,117
1999
2,780,416
20,833
2,801,249
2000
2,774,398
20,833
2,795,231
2001
2,770,663
20,833
2,791,496
2002
1,577,058
20,833
1,597,891
Thereafter
18,902,204
52,083
18,954,287
$ 31,584,023
$ 156,248
$ 31,740,271
The amount of $549,569 is available in the Debt Service Funds to service all general obligation bonds.
There are a number of limitations and restrictions contained in the various bond indentures. The Borough is in
compliance with all significant limitations and restrictions.
NOTE 8: CAPITAL LEASE OBLIGATIONS
The Hospital Enterprise Fund leases various equipment under long -term lease agreements at nominal annual interest
rates ranging from 6.14% to 8.775 %. The initial cost of such equipment included in fixed assets at June 30, 1997, is
approximately $2,145,000. Accumulated amortization on the leased equipment is approximately $739,000 at June
30, 1997.
Included among the leased assets are $1,599,000 of equipment assumed from Kodiak Island Hospital and Care
Center (see Note 18), with associated capital lease obligations of $1,244,518, as of June 30, 1997.
The minimum required lease payments under the capital leases for the next five years, including interest of
$291,887, are as follows:
Fiscal year
end June 30
1998
$ 493,419
1999
437,619
2000
437,619
2001
433,124
2002
246,987
$ 2,048,768
24
NOTE 9: NOTE PAYABLE
As of June 30, 1997, the Borough had the following note payable outstanding in an enterprise fund:
Note payable to Signet Leasing and Finance
Corporation, due in monthly installments
of $57,693, including interest (at an effective
annual rate of 6.4 %); secured by equipment S 3,463,398
Less current portion of note payable 492,063
$ 2,971,335
Future required minimum principal payments at June 30, 1997 are as follows:
Fiscal year
end June 30,
1998
$ 492,063
1999
523,349
2000
556,624
2001
592,015
2002
629,656
Thereafter
669,691
$ 3,463,398
NOTE 10: CAPITAL PROJECT FUNDS CONSTRUCTION COMMITMENTS
A summary of Capital Projects Funds construction commitments at
June 30, 1997 follows:
Various Borough Projects
$ 57,449
Hospital Bond Improvements
1,655,084
State Capital Grants
96,766
Kodiak Fisheries Research Center
15,217,663
$ 17,026,962
Resources are presently available or committed to finance construction commitments at June 30, 1997, for all funds,
inclusive of those resources appropriated at year -end.
25
NOTE 11: ENTERPRISE FUND SEGMENT INFORMATION
The Borough owns and operates a Municipal Solid Waste Collection and Disposal Fund, a Hospital Facilities Fund
(See Note 18), and a 911 Services Fund. Segment financial data as of and for the year ended June 30, 1997, for
those funds are as follows:
Municipal Solid
Waste Collection Hospital
and Disposal Facilities 911 Services Total
Operating revenues
Depreciation expense
Operating income (loss)
Net income
Amortization of contributions in
aid of construction
Property, plant and equipment additions
Net working capital
Total assets
Total equity
$ 2,352.327 $
120,000 $
93,592 $
2,472,327
110,601
102.506
-
213,107
476.498
(91,132)
93,592
'
385,366
475.980
(1,181,476)
93,592
(611,904)
76.805
-
-
76,805 '
68.595
2,377,778
-
2,446.373
72.741
534,650
93,592
607,391
2.452.097
9,918,819
93,592
12,464,508
284,733
3,117,036
93,592
'
3,495,361
NOTE 12: DEFERRED COMPENSATION PLAN
The Kodiak Island Borough has a deferred compensa-
tion plan created and amended in accordance with
Internal Revenue Code Section 457. The plan is
available to all permanent Borough employees. The
deferred compensation is not available to employees
until termination, retirement, death or unforeseeable
emergency.
All amounts deferred under this plan are held in a trust
that was established during the year for the exclusive
benefit of plan participants. Amounts contributed to
the plan by participants during the year ended June 30,
1997, was $148,836.
The Borough assumed the administration of the
Hospital component unit's deferred compensation plan.
This plan has also been amended in accordance with
Internal Revenue Code Section 457, that established a
plan trust.
The Borough's plan is managed by the International
City Managers Association Retirement Corporation and
the Hospital component unit's plan is managed by
AETNA. The Borough believes that these plans do not
meet the criteria in NCGA Statement No. 1,
Governmental Accounting and Reporting Principles,
for inclusion as fiduciary funds.
NOTE 13: INSURANCE AND RISK RETENTION
The Kodiak Island Borough is exposed to numerous
risks of loss associated with the operations of a
government. These potential losses include, but are not
limited to, employee relations and injuries, contracts,
theft, loss or damage of property and general liability.
The Borough manages its risks from these potential
losses by participating in the Alaska Municipal League
Joint Insurance Association, as well as purchasing
commercial insurance coverage. This insurance has
provided the Borough with adequate coverage in the
past. There were no significant changes in insurance
coverage obtained and there were no claims or
settlements that exceeded insurance coverage in any of
the past three fiscal years.
The Borough is a member of the Alaska Municipal
League Joint Insurance Association (JIA), a
governmental insurance pool established by the Alaska
Municipal League. The JIA provides the Borough
coverage for property, including building and contents,
automobile, mobile equipment and data processing
equipment, casualty, including general liability, public
officials and employees liability, auto liability and
employee benefit liability; workers' compensation,
including employers' liability; commercial blanket
bond; and time element.
26
NOTE 14: INDIVIDUAL FUND DISCLOSURES
Interfund Receivables and Payables
A summary of interfund receivables and payables at June 30. 1997, is as follows:
$ 4,674,525 $ 4,674,525
Fund Balance and Retained Earnines Deficits:
The fund balance and retained earnings deficits at June 30, 1997, are as follows:
Special Revenue Funds:
Mental Health Center
Receivable
Payable
General Fund
$ -
$ 1,439,525
Special Revenue Funds -
127,390
Capital Projects Funds:
Fire Protection Area No. 1
150,000
-
Womens Bay Fire Department
80,000
-
Monashka Bay Road Service Area
30,000
-
Service District No. 1
305,000
-
Womens Bay Service Area
125,000
-
Mental Health Center
5,000
600,000
Coastal Management
-
60,000
Child Care Assistance Program
-
45,000
Land Sales
-
130,000
Building and Grounds
-
120,000
Kodiak Arts Council
-
5,000
Facilities Fund
20,000
-
Debt Services Funds -
Other
200,000
-
Capital Project Funds -
Hospital Bond Improvements
1,500,000
400,000
State Capital Grants
-
200,000
School Bond Improvements
-
150,000
Kodiak Fisheries Research Center
240,000
20,000
Enterprise Funds -
Municipal Solid Waste Collection and Disposal
-
5,000
Hospital
660,000
1,500,000
Component Units -
School District
1,359,525
-
$ 4,674,525 $ 4,674,525
Fund Balance and Retained Earnines Deficits:
The fund balance and retained earnings deficits at June 30, 1997, are as follows:
Special Revenue Funds:
Mental Health Center
$ 483,951
Coastal Management
141
Land Sales
94,771
Buildings and Grounds
127,390
Capital Projects Funds:
School Bond Improvements
179,459
Hospital Bond Improvements
73,038
State Capital Grants
28,046
Enterprise Fund:
Municipal Solid Waste Collection and Disposal 1,474,443
Hospital Facilities 1,181,476
$ 3,642,715
Management intends to fund the Special Revenue Funds deficits in fiscal year 1998 through transfers from other
funds and fund the deficit in the Enterprise Fund through an increase in service charges.
27
I.
Transfers 1
Interfund operating transfers and transfers from component units have been made in accordance with budget '
ordinances.
Funds are transferred from one fund to support expenditures of other funds in accordance with the authority
established for the individual fund. Transfers between fund types and component units during the year ended
June 30, 1997, were as follows:
Excess of Expenditures Over Appropriations
General Fund
The following departments' expenditures exceeded their appropriations:
Department
Building Official
School District Support
The following funds' expenditures exceeded their appropriations:
Special Revenue Funds
Fund
Buildings and Grounds
Women Bay Service Area
Mental Health Center
Excess
$ 4,520
6,832
$ 11,352
Excess
$ 77,252
41,522
247,830
$ 366,604
28
Tra n s fers In
School
Special
Debt
Capital
District
Transfers
General
Revenue
Service
Projects
Enterprise
Component
Out
Fund
Funds
Funds
Funds
Funds
Unit
Fund Types
General Fund
S 5,882,810
$
S 702,530
S 935,280
S 250,000
$
S 3,995,000
Special Revenue Funds
324,665
20,000
84,505
220,160
Debt Service Funds
1,157,297
9,672
913
-
1,146,712
Capital Projects Funds
887,177
-
-
887,177
Enterprise Funds
1,500,000
1,500,000
Component Unit
Hospital
1,726,797
-
1,000,000
726,797
School District
1,718,131
1,658,131
60,000
-
Total Transfers
S 13,196,877
S 9,672
S 723,443
S 2,677,916
S 5,064,049
$ 726,797
S 3,995,000
Excess of Expenditures Over Appropriations
General Fund
The following departments' expenditures exceeded their appropriations:
Department
Building Official
School District Support
The following funds' expenditures exceeded their appropriations:
Special Revenue Funds
Fund
Buildings and Grounds
Women Bay Service Area
Mental Health Center
Excess
$ 4,520
6,832
$ 11,352
Excess
$ 77,252
41,522
247,830
$ 366,604
28
1
I
1
1
1
r
'1
Proprietary Funds' reconciliation of contributed capital for the year ended June 30, 1997, is as follows:
NOTE 15: SOLID WASTE LANDFILL
CLOSURE AND POSTCLOSURE
CARE COSTS
State and federal laws and regulations require that the
Kodiak Island Borough place a final cover on its
landfill when closed and perform certain
maintenance for a number of years after closure. In
addition to operating expenses related to current
activities of the landfill, an expense provision and
related liability are recognized based on the future
closure and postclosure care costs that will be
incurred based on the date the landfill no longer
accepts waste. The recognition of these landfill
closure and postclosure care costs is based on the
amount of the landfill used during the year. The
estimated liability of landfill closure and postclosure
care costs is $1,984,423 as of June 30, 1997, which is
based on 48% usage (filled) of the landfill. The
landfill is estimated to be filled and unusable by the
year 2001. Of the total liability at June 30, 1997, a
reduction of $332,290 was recorded in the current
year based on current year usage and changes in
estimates. An estimated additional $2,130,577 will
be recognized as closure and postclosure care
expenses between the date of the balance sheet and
the date the landfill is expected to be filled to
capacity. The estimated total current cost of the
landfill closure and postclosure care of $4,115,000 is
based on the amount that would be paid if the landfill
were closed as of June 30, 1997. However, the
actual cost of closure and postclosure care may be
higher due to inflation, changes in technology, or
changes in landfill laws and regulations.
The Kodiak Island Borough is required by state and
federal laws and regulations to make annual
contributions to finance closure and postclosure care.
The Kodiak Island Borough complies with these
requirements by annually recording the liability
based on the estimates provided by the Kodiak Island
Borough's environmental engineer. The Borough
has raised the costs of the utility to help cover the
liability and has also included the liability in its 1998
budget. It is anticipated that future inflation costs
and additional costs that might arise from changes in
postclosure requirements, due to changes in
technology or more rigorous environmental
regulations, for example, will be financed primarily
by charges to future landfill users and secondarily by
taxpayers.
NOTE 16: SALE OF SHUYAK ISLAND
The Borough entered into an agreement in December
1995 with the Exxon Valdez Oil Spill Trustee
Council to sell all of its rights on Shuyak Island for
$42 million to the State of Alaska. The Borough
received $8 million in fiscal year 1996, and
$2,194,266 in fiscal year 1997, and will receive the
balance of the sale in the following payments:
October I
1997
4,000,000
Enterprise Funds
4,000,000
1999
4,000,000
Municipal Solid
4,000,000
2001
Internal
2002
Waste Collection
Service
and Disposal
Water Sewer
Hospital
Fund
Contributed capital at beginning of year
S 1,835.981
S 4,673,866 S 8,100.525
S -
S 617382
Amortization of contributions in
aid of construction
(76,805)
Residual equity transfer in from
Component Unit Hospital
5,704,158
Residual equity transfer out to
capital project fund
(1,405,646)
Transfer of water and sewer
operations to the City of Kodiak
-
(4.673.866) (8.100,525)
-
-
Contributed capital at end of year
S 1.759,176
S - S -
S 4.298,512
S 617,382
NOTE 15: SOLID WASTE LANDFILL
CLOSURE AND POSTCLOSURE
CARE COSTS
State and federal laws and regulations require that the
Kodiak Island Borough place a final cover on its
landfill when closed and perform certain
maintenance for a number of years after closure. In
addition to operating expenses related to current
activities of the landfill, an expense provision and
related liability are recognized based on the future
closure and postclosure care costs that will be
incurred based on the date the landfill no longer
accepts waste. The recognition of these landfill
closure and postclosure care costs is based on the
amount of the landfill used during the year. The
estimated liability of landfill closure and postclosure
care costs is $1,984,423 as of June 30, 1997, which is
based on 48% usage (filled) of the landfill. The
landfill is estimated to be filled and unusable by the
year 2001. Of the total liability at June 30, 1997, a
reduction of $332,290 was recorded in the current
year based on current year usage and changes in
estimates. An estimated additional $2,130,577 will
be recognized as closure and postclosure care
expenses between the date of the balance sheet and
the date the landfill is expected to be filled to
capacity. The estimated total current cost of the
landfill closure and postclosure care of $4,115,000 is
based on the amount that would be paid if the landfill
were closed as of June 30, 1997. However, the
actual cost of closure and postclosure care may be
higher due to inflation, changes in technology, or
changes in landfill laws and regulations.
The Kodiak Island Borough is required by state and
federal laws and regulations to make annual
contributions to finance closure and postclosure care.
The Kodiak Island Borough complies with these
requirements by annually recording the liability
based on the estimates provided by the Kodiak Island
Borough's environmental engineer. The Borough
has raised the costs of the utility to help cover the
liability and has also included the liability in its 1998
budget. It is anticipated that future inflation costs
and additional costs that might arise from changes in
postclosure requirements, due to changes in
technology or more rigorous environmental
regulations, for example, will be financed primarily
by charges to future landfill users and secondarily by
taxpayers.
NOTE 16: SALE OF SHUYAK ISLAND
The Borough entered into an agreement in December
1995 with the Exxon Valdez Oil Spill Trustee
Council to sell all of its rights on Shuyak Island for
$42 million to the State of Alaska. The Borough
received $8 million in fiscal year 1996, and
$2,194,266 in fiscal year 1997, and will receive the
balance of the sale in the following payments:
October I
1997
4,000,000
1998
4,000,000
1999
4,000,000
2000
4,000,000
2001
4,000,000
2002
11,805,734
$6 million of the proceeds will be used for the
construction of the Kodiak Fisheries Research
Center. The remainder will be placed into a facility
special revenue fund and used for future capital
projects.
29
NOTE 17: CONTINGENCIES
Litigation
General
The Borough, in the normal course of its activities, is
involved in various claims and pending litigation. In
the opinion of management, the disposition of the
claims and litigation is not presently expected to have
a material adverse effect on the Borough's financial
statements. In addition, management believes that all
the material risks to which the Borough may be
exposed have been adequately insured via joint pool
and commercial insurance.
Grants
Amounts received or receivable from grantor
agencies are subject to audit and adjustment by the
grantor agencies. Any disallowed claims, including
amounts already collected, would become a liability
of the General or other applicable funds. In
management's opinion, disallowances, if any, will not
be material.
NOTE 18: DISPOSAL OF HOSPITAL
OPERATIONS
The Kodiak Island Borough Assembly passed an
ordinance to cease operations of the * Kodiak Island
Hospital and Care Center, effective April 21, 1997,
and to lease the hospital premise -and equipment to
Sisters of Providence d.b.a. Providence Alaska
Medical Center, who assumed responsibility for the
hospital's operations as of April 21, 1997. The lease
agreement is effective for a term of ten years from
that date and contains provisions for an additional
ten -year option. The hospital fixed assets, the lease
income, and all other costs relating to the agreement
are accounted for by the Borough in the Hospital
Enterprise Fund.
Under the terns of the agreement, certain assets
have been transferred to Providence and certain
liabilities assumed by them. The Borough received a
down payment of $2,000,000 at the execution of the
lease. For accounting purposes this down payment is
treated as consideration for the net assets and
liabilities transferred to /assumed by Providence and
recorded in the Hospital Enterprise Fund as a
component of the Loss on Disposal of Hospital
Operations. The assets and liabilities transferred to
Providence consisted of the following:
Assets transferred to Providence:
Accounts receivable
Prepaid expenses
Other
Property and equipment, net
Liabilities assumed by Providence:
Accounts payable
Accrued expenses
Capital lease obligations
Net assets transferred to Providence
$ 2,692,855
107,013
140,513
45,765
2,986,146
136,060
829,474
40,515
1,006,049
$ 1,980,097
1
s
1
1
30
11
1
The remainder of the assets and liabilities of the Kodiak Island Hospital and Care Center have been retained by the
Borough, and consist of the following:
Assets transferred to Kodiak Island Borough:
Cash and cash equivalents
$ 227,363
Inventories
277,007
Other receivables
71,203
Property and equipment, net
4,393,006
4,968,579
Liabilities assumed by Kodiak Island Borough:
Capital lease obligations
1,244,518
Net assets transferred to Kodiak Island Borough
$ 3,724,061
The agreement with Providence specifies that the
Borough shall provide at least $150,000 per year for the
purchase of new and replacement equipment for the
hospital. The Borough is also required to fund any
major maintenance and repairs projects exceeding
$10,000 in cost.
Should the Borough wish to terminate the lease
agreement without cause, the Borough would be
required to refund the $2,000,000 down payment on the
lease in proportion to the number of years remaining on
the ten -year term of the lease, at the rate of $200,000
per year for each remaining year. For accounting
purposes such payment would be considered to be a
penalty for the early termination of the lease.
The $5,704,158 residual equity transfer from Kodiak
Island Hospital and Care Center to the Borough
consisted of the following:
NOTE 19: TRANSFER OF WATER AND SEWER
FUND ASSETS AND OPERATIONS
In June 1996, the Assembly approved Resolution No.
96 -16 and contracted with the City of Kodiak (City) for
the City to assume the ownership, maintenance and
operation of the existing water and sewer utilities in
Service District No. 1. On July 1, 1996, the water and
sewer fund assets and operations thereof were
transferred from the Borough to the City.
The transfer of assets resulted in the recording of a
decrease in equity of $715,400 from the Water Fund
and $694,357 from the Sewer Fund. These funds
experienced minor activity in fiscal year 1997 relating
to closing out the funds and carrying out the transfer of
assets, as well as ensuring transfer of all funds owed to
the City for water and sewer services.
The 1996 operations of the Water and Sewer Funds
have been reclassified to income from discontinued
Net assets and liabilites operations.
transferred to the Borough $ 3,724,061
Net assets and liabilities
transferred to Providence
through the Borough 1,980,0
$ 5,70 4,158
The 1996 operations of the Component Unit Hospital
have been reclassified to income from discontinued
operations.
31
NOTE 20: SUBSEQUENT EVENT
Sale of Revenue Bonds
In fiscal year 1998, the Borough Assembly approved
the sale of $8,000,000 in revenue bonds from a newly
established enterprise fund, the Kodiak Fisheries
Research Center Enterprise Fund. The bonds were
purchased by the Borough Facilities Special Revenue
Fund. The proceeds of these revenue bonds are to be
used for construction of the Kodiak Fisheries Research
Center, which has been leased to Federal and State of
Alaska agencies.
Real and Personal Property Taxes
At the October 7, 1997, general election, the voters of
the Kodiak Island Borough passed an Ordinance that
established the maximum allowable tax revenue levied
upon Real and Personal Property within the Boundaries
of the Kodiak Island Borough. Basically, this
ordinance states that the assembly can now only raise
the mill rate to a level which will bring in the same
amount of tax revenue as the preceding fiscal year.
Exceptions: the amount of taxes levied or imposed can
increase (a) to adjust for inflation; (b) to take into
account new buildings and land coming onto the tax
roll; (c) to make new payments on bonds; (d) to pay for
new legal judgments entered against the Borough; (e) to
pay for expenses in emergencies. This Ordinance
cannot be negated or changed for a period of two years.
This means that it will be effective for fiscal years 1999
and 2000.
Chance in Form of Government
At the October 7, 1997, general election, the voters of
the Kodiak Island Borough passed an Ordinance that
changed the form of government from a mayor plan of
government to a manager plan of government. This
change will become effective on October 19, 1998.
32
1
1
h,
1
GENERAL FUND
The General Fund is used to account for resources traditionally
associated with government which are not required legally or by
sound financial management to be accounted for in any other fund.
Principal sources of revenue are property taxes and intergovern-
mental revenues. Primary expenditures are for general government
and public service.
r
KODIAK ISLAND BOROUGH
GENERAL FUND
BALANCE SHEETS
AS OF JUNE 30, 1997 AND 1996
EXHIBIT A -1
ASSETS
Equity in central treasury
Temporary investments
Accounts receivable
Due from State of Alaska
Due from Federal Government
Property taxes:
Delinquent taxes
Allowance for uncollectible delinquent taxes
Accrued interest
Due from other funds
TOTAL
LIABILITIES AND FUND BALANCE
LIABILITIES:
Accounts payable
Payroll taxes and employee benefits
Other accrued liabilities
Due to component units
Due to other funds
Total liabilities
FUND BALANCE:
Unreserved - designated for subsequent year expenditures
Total fund balance
TOTAL
1997 1996
$ 46,299
$ 411,460
3,208,202
6,587,005
210,998
241,187
66,556
35,169
-
238,948
173,861
267,575
(15,828)
(15,828)
60,890
-
-
374,500
$ 3,750,978 $ 8,140,016
$ 236,780
$ 285,614
24,009
25,523
1,723
585
1,359,525
4,856,069
80,000
-
1,702,037
5,167,791
2,048,941 2,972,225
2,048,941 2,972,225
$ 3,750,978 $ 8,140,016
33
KODIAK ISLAND BOROUGH
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
EXHIBIT A -2 I
1997
Variance -
Favorable 1996
Budg Actual (Unfavorable) Actual
REVENUES:
Property taxes:
Real
Personal
Motor vehicle
Penalty and interest
Total property taxes
Severance taxes:
Fish
Mining
Logging
Total severance taxes
Intergovernmental:
State sources:
State Shared Revenue
Municipal Assistance
Raw Fish Tax
Payments in Lieu of Taxes
Electric Co -Op Tax
Miscellaneous
Total state sources
Federal sources
Payments in Lieu of Taxes
Miscellaneous
Total federal sources
Total intergovernmental revenue
Licenses, permits, fees and other local revenues:
Building and trailers
Subdivision and zoning fees
Sale of copies
Emergency medical services
Miscellaneous
Total licenses, permits, fees and
other local revenues
Investments and property:
Interest income
Total investments and property
Total revenues
$ 3,708,830
$ 3,703,967 $
(4,863) $
3,629,646
710,730
705,701
(5,029)
695,573
165,000
187,339
22,339
157,754
160,000
139,392
(20,608)
162,066
4,744,560
4,736,399
(8,161)
4,645,039
513,000
566,243
53,243
790,310
6,750
7,360
610
11,170
236,250
272,035
35,785
247,020
756,000
845,638
89,638
1,048,500
331,009
331,009
-
362,692
242,880
231,102
(11,778)
279,787
1,276,387
1,349,834
73,447
1,077,121
16,387
16,387
-
15,078
8,000
10,622
2,622
10,220
300
152
(148)
128
1,874,963
1,939,106
64,143
1,745,026
456,929
456,929
-
412,583
256,200
237
(255,963)
239,095
713,129
457,166
(255,963)
651,678
2,588,092
2,396,272
(191,820)
2,396,704
40,000
33,882
(6,118)
47,752
5,500
2,830
(2,670)
8,445
2,020
2,008
(12)
2,015
33,000
37,871
4,871
33,133
25,800
31,892
6,092
193,755
106,320
108,483
2,163
285,100
445,000
371,414
(73,586)
452,196
445,000
371,414
(73,586)
452,196
8,639,972
8,458,206
(181,766)
8,827,539
(continued)
34
I I
KODIAK ISLAND BOROUGH
EXHIBIT A -2, continued
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
EXPENDITURES:
Borough assembly
Borough mayor
Borough clerk
Borough attorney
Finance department
Assessing department
Community development department
Building official
Economic development
General and administration
Emergency preparedness
School district support
Health and sanitation department
Education, culture and recreation
Total expenditures
Budget Actual
Variance -
Favorable 1996
(Unfavorable) Actual
Excess of revenues over expenditures
OTHER FINANCING SOURCES (USES):
Operating transfers in from other funds
Operating transfers to other funds
Operating transfers to component unit
Total financing uses
Deficiency of revenues and
transfers in over expenditures
and transfers out
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
$ 112,020
$ 110,699 $
1,321
$ 110,009
198,510
194,574
3,936
200,180
275,700
273,955
1,745
287,135
139,000
125,258
13,742
160,756
566,830
560,870
5,960
615,319
324,990
323,492
1,498
337,107
432,920
423,769
9,151
435,476
79,400
83,920
(4,520)
85,500
84,000
71,684
12,316
136,485
329,330
323,143
6,187
405,883
5,500
4,410
1,090
4,295
256,640
263,472
(6,832)
268,938
589,591
585,806
3,785
563,867
163,300
163,300
-
163,300
3,557,731
3,508,352
49,379
3,774,250
5,082,241
4,949,854
(132,387)
5,053,289
-
9,672
9,672
-
(1,896,810)
(1,887,810)
9,000
(1,528,934)
(3,995,000)
(3,995,000)
-
(3,975,000)
(5,891,810)
(5,873,138)
18,672
(5,503,934)
$ (809,569)
(923,284) $
(113,715)
(450,645)
2,972,225
3,422,870
$ 2,048,941
$ 2,972,225
35
KODIAK ISLAND BOROUGH
EXHIBIT A -3 I
GENERAL FUND
SCHEDULE OF EXPENDITURES AND'TRANSFERS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
EXPENDITURES:
Borough assembly:
Personnel services
Fringe benefits
Support goods and services
Political lobbyist
Total
Borough mayor:
Personnel services
Fringe benefits
Support goods and services
Capital outlay
Total
Borough clerk:
Personnel services
Fringe benefits
Support goods and services
Capital outlay
Total
$
16,800 $
16,800 $
- $
17,286
7,937
1,620
1,855
(235)
1,462
33,195
45,600
41,352
4,248
41,062
139,000
48,000
50,692
(2,692)
50,199
Finance department:
112,020
110,699
1,321
110,009
118,280
123,487
(5,207)
123,108
374,014
39,480
36,810
2,670
37,621
2,095
40,750
34,277
6,473
39,451
i
(6,448)
194,574
200,180
5,500
198,510
3,936
14,147
Allocated to projects
(82,160)
I
133,870
132,776
1,094
140,952
566,830
47,330
43,303
4,027
48,307
Assessing department:
Personnel services
94,500
97,876
(3,376)
94,876
-
-
-
3,000
63,533
275,700
273,955
1,745
287,135
-
Borough attorney:
Legal fees
100,000
92,063
7,937
111,450
Support goods and services
39,000
33,195
5,805
49,306
Total
139,000
125,258
13,742
160,756
Finance department:
Personnel services
374,560
369,296
5,264
374,014
Fringe benefits
120,040
117,945
2,095
115,686
Support goods and services
148,890
155,338
(6,448)
238,282
Capital outlay
5,500
8,601
(3,101)
14,147
Allocated to projects
(82,160)
(90,310)
8,150
(126,810)
Total
566,830
560,870
5,960
615,319
Assessing department:
Personnel services
203,840
210,231
(6,391)
205,404
Fringe benefits
67,330
62,026
5,304
63,533
Contracted services
-
-
-
-
Support goods and services
45,840
47,291
(1,451)
66,918
Capital outlay
11,310
7,944
3,366
1,252
Allocated to projects
(3,330)
(4,000)
670
-
Total
324,990
323,492
1,498
337,107
(continued)
36
I I
KODIAK ISLAND BOROUGH
EXHIBIT A -3, continued
GENERALFUND
SCHEDULE OF EXPENDITURES AND TRANSFERS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Borough engineering and facilities department:
Personnel services $
Fringe benefits
Contracted services
Support goods and services
Capital outlay
Allocated to projects
Total
Community development department:
Personnel services
Fringe benefits
Contracted services
Support goods and services
Capital outlay
Allocated to projects
Total
Building official:
Contracted services
Support goods and services
Total
Economic development:
General services:
Personnel services
Fringe benefits
Contracted services
Support goods and services
Contributions:
Kodiak Chamber of Commerce
Kodiak Convention Bureau
Total
General and administration:
Personnel services
Fringe benefits
Professional fees
Support goods and services
Capital outlay
Total
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
216,350 $
144,488 $
71,862 $
113,267
74,090
41,703
32,387
36,696
14,000
4,414
9,586
2,619
68,480
66,380
2,100
75,594
2,000
1,350
650
1,967
(374,920)
(258,335)
(116,585)
(230,143)
306,210
301,972
4,238
296,116
99,350
89,033
10,317
92,142
-
-
-
3,395
65,290
66,603
(1,313)
73,894
700
4,653
(3,953)
5,555
(38,630)
(38,492)
(138)
(35,626)
432,920
423,769
9,151
435,476
81,241
A'750
85,500
40
- 26
30,000 20,851
1,000 767
33,000
20,000
84,000
39,440
56,060
104,300
129,530
329,330
(40)
1,488
(26)
152
9,149
84,593
233
252
30,000
3,000
30,000
20,000
-
20,000
71,684
12,316
136,485
37,692
1,748
38,114
65,970
(9,910)
111,285
111,391
(7,091)
97,083
108,090
21,440
156,596
-
-
2,805
323,143
6,187
405,883
(continued)
37
75,000 79,343 (4,343)
4,400 4,577 (177)
79,400 83,920 (4,520)
KODIAK ISLAND BOROUGH
EXHIBIT A -3, continued I
GENERALFUND
SCHEDULE OF EXPENDITURES AND TRANSFERS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
(continued)
38
1997
Variance -
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
Emergency preparedness:
Support goods and services
$ 4,205
$ 3,115
$ 1,090
$ 4,295
Capital outlay
1,295
1,295
-
-
Total
5,500
4,410
1,090
4,295
School district support:
Data processing
198,340
198,340
-
214,690
Audit expense
22,300
28,136
(5,836)
19,664
Support goods and services
36,000
36,996
(996)
34,584
Total
256,640
263,472
(6,832)
268,938
Health and sanitation department:
Emergency Medical Services
32,450
30,665
1,785
30,665
Animal Control
60,500
60,500
-
48,000
Council on Alcoholism
44,041
44,041
-
45,387
State Health Services Villages
14,656
14,656
-
21,406
State Health Services KANA
4,885
4,885
-
-
Women's Resource Crisis Center
41,417
41,417
-
42,059
American Red Cross
3,000
3,000
-
3,000
Alaska Borough attorney
-
-
-
-
Kodiak Baptist Mission
45,822
45,822
-
47,570
Small World (Day Care)
18,000
18,000
-
18,000
Special Olympics
7,000
7,000
-
7,000
Health Center Support
2,000
2,000
-
2,000
Senior Citizen Support
24,000
24,000
-
24,000
Kodiak Respite Care
5,000
5,000
-
5,000
Rainbow Child Care Center
2,500
2,500
-
2,500
Salvation Army
7,500
7,500
-
7,500
Brother Francis Shelter
20,000
20,000
-
20,000
City Prisoners Hospital Care
50,000
50,000
-
50,000
Emergency Travel
2,000
-
Data Processing
109,820
109,820
-
94,780
Ambulance Service
95,000
95,000
-
95,000
Total
589,591
585,806
1,785
563,867
(continued)
38
I I
I I KODIAK ISLAND BOROUGH
EXHIBIT A -3, continued
GENERALFUND
SCHEDULE OF EXPENDITURES AND TRANSFERS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
39
1997
Variance -
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
Education, culture and recreation:
KMXT Public Radio
$ 15,000
$ 15,000
$ -
$ 15,000
Historical Society
9,000
9,000
-
9,000
Summer Basketball
Kodiak Island Sportsman Association
5,000
2,000
5,000
2,000
5,000
2,000
Kodiak Art Council
14,000
14,000
14,000
Village Libraries
18,000
18,000
-
18,000
Chiniak Public Library
City of Kodiak Library
3,000
3,000
3,000
3,000
-
3,000
3,000
Head Start
8,000
8,000
_
8,000
Kodiak College
34,000
34,000
-
34,000
Kodiak Little League
5,000
5,000
_
5,000
Santa to the Villages
2,300
2,300
2,300
Karluk IRA Council
20,000
20,000
20,000
KANA Youth Olympics
2,000
2,000
-
2,000
KANA Family Center
16,000
16,000
-
16,000
Kodiak Youth Services Network
5,000
5,000
5,000
Alaska Future Leaders
2,000
2,000
_
2,000
Total
163,300
163,300
-
163,300
Total expenditures
3,557,731
3,508,352
47,379
3,774,250
OTHER FINANCING SOURCES (USES):
Operating transfers out to other funds:
Special revenue funds:
Mental Health Center
(516,420)
(516,420)
-
(235,000)
Building and Grounds
(186,110)
(186,110)
(146,340)
Oil Spill Cleanup
_
(25,487)
Debt service fund:
Schools
(944,280)
(935,280)
9,000
(890,907)
Capital projects fund:
Various Borough projects
(250,000)
(250,000)
-
(231,200)
Total operating transfers out
(1,896,810)
(1,887,810)
9,000
(1,528,934)
(continued)
39
KODIAK ISLAND BOROUGH
GENERAL FUND
SCHEDULE OF EXPENDITURES AND TRANSFERS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
EXHIBIT A -3, continued I
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
Operating transfers to component units:
Kodiak Island School District
(3,995,000)
(3,995,000)
- (3,975,000)
Total operating transfers out
(5,891,810)
(5,882,810)
9,000 (5,503,934)
Total financing uses
(5,891,810)
(5,882,810)
9,000 (5,503,934)
Total expenditures and transfers
$ 9,449,541
$ 9,391,162 $
58,379 $ 9,278,184
40
1
r]
1
11
1
I
1
1
1
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for revenues from
specific sources which by law are restricted to finance particular func-
tions and activities.
KODIAK ISLAND BOROUGH
SPECIAL REVENUE FUNDS
COMBINING BALANCE SHEET
AS OF JUNE 30, 1997 (with comparative totals for 1996)
Fire and Road Service Areas
LIABILITIES AND FUND BALANCES
LIABILITIES:
Accounts payable
Fire
955 S
Road
47,546 S S
Employee benefits accrued and withheld
2,216
Fire
Womens
Monashka Bay
Service
Womens
Bay View
Service
Protection
Bay Fire
Road Service
District
Bay Service
Road Service
Area
Area No. I
Department
Area
No. 1
Area
Area
No. 2
ASSETS
Unreserved:
Equity in central treasury
S 4,248
S 10,700
S 38,602
S 11,420
S 49,450
S 6,019
$ 3,165
Temporary investments
500,000
68,995 314.339
-
-
-
-
-
Receivables:
State of Alaska
Land sales contracts, due within one year
-
Accrued interest
1,060
-
-
-
-
Other
5,653
975
393
10,184
1,602
7
Allowance for doubtful receivables
-
-
-
-
Due from other funds
150,000
80,000
30,000
305.000
125,000
Prepaid expenditures
3,126
4,480
-
Land sale contracts, due after one year
-
TOTAL
S 664,087
S 96,155
S 68.995
S 326,604
S 176.052
S 6,026
S 3,165
LIABILITIES AND FUND BALANCES
LIABILITIES:
Accounts payable
S 4,480 S
955 S
S 12,265 S
47,546 S S
Employee benefits accrued and withheld
2,216
-
-
Customer deposits
-
275
Deferred revenues
-
Due to other funds
-
Total liabilities
6,696
1,230
12,265
47,546
FUND BALANCES (DEFICITS):
Unreserved:
Undesignated
657,391
94,925
68.995 314,339
128.506 6,026 3,165
Total fund balances
657,391
94,925
68,995 314.339
128,506 6,026 3,165
TOTAL
S 664.087 S
96.155 S
68.995 S 326,604 S
176.052 S 6,026 S 3,165
42
EXHIBIT B-1
km I
Em I
ILi
it
Federal and
State Grant Programs
Woodland
Mental Child Care Buildings Acres Street Kodiak Totals
Health Coastal Assistance and Light Service Arts Tourism
Center Management Program Land Sales Grounds Area Council Facilities Development 1997 1996
S 39,058 S
4,854 S 2,201 S 3,707 S
4,634 S 40,274 $ 2,655 S 1,931 S
3,451 $ 226,369 S
125,488
_
- -
- - - 4,350,505
- 4,850,505
2,549,495
46,805
73,934 72,091
-
192,830
155,156
- - 188,233
-
188,233
200,157
-
-
- 56,062
- 57,122
13,452
67.199
1,864
45 2,345
8,249 96,652
111,665
393,602
(25,000)
- -
- (25,000)
(25,000)
5,000
00
20,000
715,000
747,700
120,000
-
-
7,606
-
-
- 263,713
-
263,713
388,540
$ 158.062 S
78,788 S 74.292 S 430.653 S
4,634 S 40,319 S 5,000 S 4,428.498 S
11.700 S 6,573,030 S
4,266.653
$ 24,028 S
18,929 S
23,678
S 315
S 12,002 S
414 S S S
S
144,612 S
111,322
17,985
-
1,507
22
-
21,730
21,446
-
400
675
1,864
-
-
393,602
-
-
393,602
588,697
00
60,000
45.000
130.000
120,000
5,000
-
960,000
747.700
642,013
78,929
68,678
525,424
132,024
414 5,000 -
400
1,520,619
1,471,029
(483.951)
(141)
5.614
(94,771)
(127,390)
39,905 - 4.428.498
11,300
5.052.411
2,795.624
(483.951)
(141)
5,614
(94,771)
(127,390)
39,905 4.428.498
11.300
5,052,411
2,795,624
S 158.062 S
78.788 $
74.292
S 430.653
S 4,634 S
40,319 S 5,000 S 4.428,498 S
11.700 S
6,573,030 S
4,266,653
43
1 -1
KODIAK ISLAND BOROUGH
fl
SPECIAL REVENUE FUNDS j
j
COMBINING STATEMENT OF REVENUES, EXPENDITURES, T
TRANSFERS
AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
Fire and Road Service Areas
Fire R
Road
Fire Womens M
Monashka Bay S
Service W
Womens B
Bay View
Protection Bay Fire R
Road Service D
District B
Bay Service R
Road Service
Area No. I Department A
Area N
No. 1 A
Area A
Area
Property taxes S 210,892 S 43,657 S
S 19,612 S 2
200,079 S 7
70,079 $
$ 4,473
State sources 17,592 2,702 1
1,762 8
8,018 9
9,459 7
784
Federal sources 2,243 - -
- 2
2,990 -
- -
-
Licenses, permits, fees
and other local revenues
Investments and property
Total revenues
EXPENDITURES:
Community development department
General and administration
Health and sanitation department
Capital outlay:
Services district maintenance
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING SOURCES (USES):
Operating transfers in from other funds
Operating transfers out to other funds
Net other financing sources (uses)
Excess (deficiency) of revenues and
other financing sources over (under)
expenditures and other financing uses
FUND BALANCES (DEFICITS), at beginning of year
FUND BALANCES (DEFICITS), at end of year
6,000 9,050 - - 20,000 -
34.236 5,104 3,724 25,614 11,375 330
270.963 60.513 25,098 236,701 110,913 5,587
180,165 35,943 - - -
- 10,980 122.178 152,002 2,476 '
180.165 35,943 10,980 122,178 152,002 2,476
90.798 24,570 14,118 114.523 (41,089) 3,111
4 - - -
(1, 20) (220,160)
(1,420) - - (220.160)
89.378 24,570 14,118 (105,637) (41,089) 3,111 f
568.013 70,355 54,877 419.976 169.595 2,915
S 657.391 S 94,925 S 68,995 S 314.339 $ 128,506 S 6,026 ,
44 1
44 1
EXHIBIT B-2
State Grant Programs
Woodland
Service Mental
Child Care
Buildings
Acres Street
Area Health
Coastal
Assistance
and
Light Service
No. 2 Center
Management
Program
Land Sales
Grounds
Area
$ - $ -
$ -
$ -
$ -
$ -
$ 8,834
535,279
80,159
314.059
-
-
137
-
-
265,496
-
-
- 850,718
-
101,016
-
-
169 443
-
-
-
329.145
2,184
169 1.386.440
80,159
314.059
366.512
329,145
11.155
80,278 - - - -
- - 246,701 612,952 5,082
1,995,620 314,339 - - _
1,995.620 80.278 314.339 246,701 612,952 5,082
169 (609.180) (l 19) (280) 119.811 (283.807) 6.073
517.333 - 206,110 -
- - - (21,041) (544) -
517.333 - (21.041) 205,566 -
169 (91,847) (119) (280) 98,770 (78,241) 6,073
2,996 (392.104) (22) 5.894 (193,541) (49,149) 33,832
$ 3.165 $ (483.951) $ (141) $ 5.614 $ (94,771) $ (127,390) $ 39.905
(continued)
45
1
KODIAK ISLAND BOROUGH
EXHIBIT B-2, continued I
SPECIAL REVENUE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
t
46 1
Kodiak
Totals
,
Arts
Tourism
REVENUES:
Council
Facilities
Development
1997
1996
Property taxes
$
$ -
$ $
557,626 $
547,378
State sources
-
969,951
948,401
Federal sources
Land sale proceeds
-
-
-
2,194,266
5,233
2,459,762
5,841
8,389,582
Licenses, permits, fees
-
and other local revenues
69,210
-
11,300
1,067,294
527,775
Investments and property
Total revenues
-
69.210
213.749
-
626,073
508.596
10.927,573
2,408,015
11,300
5,685,939
EXPENDITURES:
Community development department
-
-
-
80,278
30,350
General and administration
69,214
-
-
1,150,057
994,673
L
Health and sanitation department
-
-
-
2,309,959
1,946,103
Capital outlay:
-
Services district maintenance
-
-
-
287,636
189,023
Total expenditures
69,214
-
-
3.827,930
3,160,149
Excess (deficiency) of revenues
over(under)expenditures
(4)
2.408.015
11,300
1.858,009
7,767,424
OTHER FINANCING SOURCES (USES).
Operating transfers in from other funds
-
-
-
723,443
426.152
Operating transfers out to other funds
-
(81.500)
-
(324,665)
(6.383,226)
t
Net other financing sources (uses)
-
(81.500)
-
398,778
(5,957,074)
}
Excess (deficiency) of revenues and
other financing sources over (under)
expenditures and other financing uses
(4)
2.326,515
11,300
2,256,787
1,810,350
FUND BALANCES (DEFICITS), at beginning of year
4
2.101,983
-
2,795,624
985,274
F
FUND BALANCES (DEFICITS), at end of year
$ -
$ 4.428.498
$ 11.300 $
5,052,411 $
2.795,624
1
'
t
46 1
u
is
KODIAK ISLAND BOROUGH EXHIBIT B-3
SPECIAL REVENUE FUNDS
FIRE AND ROAD SERVICE AREAS -FIRE PROTECTION AREA NO. 1
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
EXPENDITURES:
General and administration:
Fire chief
Volunteers
Fringe benefits
Contracted services
Support goods and services
Capital outlay
Depreciation
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING USES:
Operating transfers out to other funds:
Debt Service - Other
Excess (deficiency) of revenues
over (under) expenditures and
operating transfers out
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
78,940
77,838
1997
79,145
15,000
9,480
5,520
5,745
Variance -
23,264
1,626
25,674
4,000
Favorable
1996
-
Budget
Actual
(Unfavorable)
Actual
REVENUES:
1,500
1,500
-
15,000
Property taxes
$ 208,000
$ 210,892
$ 2,892
$ 207,613
State sources - Shared revenue
15,000
17,592
2,592
19,267
Federal sources - Payment in lieu of taxes
2,500
2,243
(257)
2,503
Licenses, permits, fees and other local revenues
6,000
6,000
-
6,000
Investments and property
10,000
34,236
24,236
39,357
Total revenues
241,500
270,963
29,463
274,740
EXPENDITURES:
General and administration:
Fire chief
Volunteers
Fringe benefits
Contracted services
Support goods and services
Capital outlay
Depreciation
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING USES:
Operating transfers out to other funds:
Debt Service - Other
Excess (deficiency) of revenues
over (under) expenditures and
operating transfers out
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
78,940
77,838
1,102
79,145
15,000
9,480
5,520
5,745
24,890
23,264
1,626
25,674
4,000
309
3,691
-
200,670
67,774
132,896
37,125
3,000
1,500
1,500
-
15,000
-
15,000
-
341,500
180,165
161,335
147,689
(100,000)
90,798
190,798
127,051
$ (100,000)
(1,420) (1,420) (658)
89,378 $ 189,378 126,393
cce ^I�
$ 657,391
AA1 Z^ ^
$ 568,013
11 47
1
KODIAK ISLAND BOROUGH
EXHIBIT B -4
SPECIAL REVENUE FUNDS
FIRE AND ROAD SERVICE AREAS - WOMENS BAY FIRE DEPARTMENT
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
REVENUES:
Property taxes
State sources - Shared revenue
Licenses, permits, fees and other local revenues
Investments and property
Total revenues
EXPENDITURES:
General and administration:
Personnel services
Contracted services
Fringe benefits
Support goods and services
Capital outlay
Total expenditures
Excess of revenues over expenditures
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
48
C
t
1997
Variance -
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
$ 41,840
$ 43,657
$ 1,817
$ 41,389
590
2,702
2,112
572
9,100
9,050
(50)
9,000
3,000
5,104
2,104
3,888
54,530
60,513
5,983
54,849
1,700
-
1,700
1,478
300
-
300
-
3,000
-
3,000
1,266
44,030
34,939
9,091
38,295
5,500
1,004
4,496
2,150
54,530
35,943
18,587
43,189
$ -
24,570
$ 24,570
11,660
70,355
58,695
$ 94,925
$ 70,355
48
C
t
I I KODIAK ISLAND BOROUGH
EXHIBIT B-5
SPECIAL REVENUE FUNDS
FIRE AND ROAD SERVICE AREAS - MONASHKA BAY ROAD SERVICE AREA
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
REVENUES:
Property taxes
State sources - Shared revenue
Investments and property
Total revenues
EXPENDITURES:
Capital outlay:
Service district maintenance:
Personnel services
Snow removal/sanding
Road grading/ditching
Repairs and maintenance
Support goods and services
Total expenditures
Excess of revenues over expenditures
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
500
210
Variance -
7,044
8,500
3,438
Favorable
1996
Budget
Actual
(Unfavorable)
Actual -
$ -
14,118
$ 19,000
$ 19,612
$ 612
$ 19,011
1,680
1,762
82
2,090
2,120
3,724
1,604
2,770
22,800
25,098
2,298
23,871
500
210
12,000
7,044
8,500
3,438
1,500
-
300
288
22,800
10,980
$ -
14,118
54,877
$ 68,995
290
96
4,956
4,864
5,062
3,116
1,500
-
12
-
11,820
8,076
$ 14,118
15,795
39,082
$ 54,877
t
49
KODIAK ISLAND BOROUGH
SPECIAL REVENUE FUNDS
FIRE AND ROAD SERVICE AREAS - SERVICE DISTRICT NO. I
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comp arative totals for 1996)
EXHIBIT B-6
1997
REVENUES:
Property taxes
State sources - Shared Revenue
Federal sources - Payment in lieu of taxes
Investments and property
Total revenues
EXPENDITURES:
Capital outlay:
Service district maintenance:
Personnel services
Repairs and maintenance
Snow removal/sanding
Road grading/ditching
Support goods and services
Total expenditures
Excess of revenues over expenditures
OTHER FINANCING USES:
Operating transfers out to other funds:
Capital Projects - Borough projects
Total Operating Transfers Out
Excess (deficiency) of revenues over
(under) expenditures and operating
transfers out
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
4,670
8,310
Variance -
4,432
56,030
46,019
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
$ 195,000
$ 200,079
$ 5,079
$ 195,716
10,000
8,018
(1,982)
10,523
3,300
2,990
(310)
3,338
-
25,614
25,614
20,309
208,300
236,701
28,401
229,886
4,670
8,310
(3,640)
4,432
56,030
46,019
10,011
2,572
94,000
54,392
39,608
29,008
50,000
11,638
38,363
10,738
3,600
1,819
1,781
104
208,300
122,178
86,122
46,854
-
114,523
114,523
183,032
(220,160) (220,160) - -
(220,160) (220,160) - -
$ (220,160) (105,637) $ 114,523 183,032
419,976 236,944
$ 314,339 $ 419,976
50
I I KODIAK ISLAND BOROUGH
EXHIBIT B-7
SPECIAL REVENUE FUNDS
FIRE AND ROAD SERVICE AREAS - WOMENS BAY SERVICE AREA
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED NNE 30, 1997 (with comparative totals for 1996)
1997
REVENUES:
Property taxes
State sources - Shared revenue
Licenses, permits, fees and other local revenues
Investments and property
Total revenues
EXPENDITURES:
Capital outlay:
Service district maintenance:
Personnel services
Snow removal/sanding
Road grading/ditching
Repairs and maintenance
Service district maintenance
Total expenditures
Deficiency of revenues over expenditures
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
3,630
30,000
24,290
38,260
14,300
1,698
1,932
Variance -
30,180
(180)
29,841
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
915
13,385
$ 66,380
$ 70,079
$ 3,699
$ 66,278
12,600
9,459
(3,141)
10,561
20,000
20,000
-
20,000
11,500
11,375
(125)
11,080
110,480
110,913
433
107,919
3,630
30,000
24,290
38,260
14,300
1,698
1,932
1,951
30,180
(180)
29,841
41,802
(17,512)
54,890
77,407
(39,147)
41,703
915
13,385
431
152,002
(41,522)
128,816
(41,089) $ (41,089) (20,897)
$ 128,506
190,492
$ 169,595
11 51
KODIAK ISLAND BOROUGH
EXHIBIT B -8
SPECIAL REVENUE FUNDS
FIRE AND ROAD SERVICE AREAS -BAY VIEW ROAD SERVICE AREA
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
REVENUES:
Property taxes
State sources - Shared revenue
Investments and property
Total revenues
EXPENDITURES:
Capital outlay:
Service district maintenance:
Personnel services
Snow removal/sanding
Road grading/ditching
Repairs and maintenance
Support goods and services
Total expenditures
Excess of revenues over expenditures
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
$ 4,110 $ 4,473 $ 363 $ 4,484
1,000 784 (216) 855
5,310 5,587 277 5,587
-
98
(98)
19
2,000
1,724
276
1,414
2,000
-
2,000
3,734
1,000
598
403
110
310
56
254
-
5,310
2,476
2,834
5,277
$ -
3,111 $
3,111
310
$ 6,026
$ 2,915
52
KODIAK ISLAND BOROUGH
EXHIBIT 13-9
SPECIAL REVENUE FUNDS
SERVICE AREA NO.2
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
REVENUES:
Investments and property
Total revenues
EXPENDITURES:
Capital outlay:
Service district maintenance:
Total expenditures
Excess of revenues over expenditures
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
$ - $ 169 $ 169 $ 26
169 169 26
$ - 169 $ 169 26
2,996 2,970
$ 3,165 $ 2,996
53
KODIAK ISLAND BOROUGH
SPECIAL REVENUE FUNDS
MENTAL HEALTH CENTER
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 199
EXHIBIT B -10 I
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
REVENUES:
State sources:
Health, Social and Community Services Program
Licenses, permits, fees and other local revenues:
Net individual and organization user fees
Investments and property:
Rental fees
Interest
Total revenues
EXPENDITURES:
Health and sanitation department:
Mental health program:
Personnel services
Travel
Facility
Supplies
Equipment
Capital outlay
Other
Total expenditures
Deficiency of revenues under expenditures
OTHER FINANCING SOURCES (USES):
Operating transfers in (out) to other funds:
General Fund
Debt Service - Other
Net other financing sources
Deficiency of revenues and operating transfer
in under expenditures and operating transfers out
FUND BALANCE (DEFICIT), at beginning of year
FUND DEFICIT, at end of year
$ 545,570 $ 535,279 $ (10,291) $ 554,904
685,600 850,718 165,118 444,590
- 159 159 306
200 284 84 1,755
1,231,370 1,386,440 155,070 1,001,555
1,493,695
1,472,201
21,494
1,411,625
30,500
27,829
2,671
32,282
27,100
19,742
7,358
24,149
23,100
17,830
5,270
19,296
16,700
9,685
7,015
13,432
600
508
92
20,535
156,095
447,825
(291,730)
105,674
1,747,790
1,995,620
(247,830)
1,626,993
(516,420)
(609,180)
(92,760)
(625,438)
516,420
516,420
-
235,000
-
913
913
(8,550)
516,420
517,333
913
226,450
$ -
(91,847)
$ (91,847)
(398,988)
(392,104)
6,884
$ (483,951)
$ (392,104)
54
KODIAK ISLAND BOROUGH
SPECIAL REVENUE FUNDS
COASTAL MANAGEMENT
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comp arative totals for 1996)
EIRIIBIT B-11
1997
REVENUES:
State sources - Grants
Total revenues
EXPENDITURES:
Community development department
CMG Special
Planning and zoning
Total expenditures
Deficiency of revenues under expenditures
FUND DEFICIT, at beginning of year
FUND DEFICIT, at end of year
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
$ 80,300 $ 80,159 $ (141) $ 30,350
80,300 80,159 (141) 30,350
49,300 49,159 141 -
31,000 31,119 (119) 30,350
80,300 80,278 22 30,350
$ - (119) $ 119 -
55
(22) (22)
$ (141) $ (22)
KODIAK ISLAND BOROUGH
EXHIBIT 13-12
SPECIAL REVENUE FUNDS
CHILD CARE ASSISTANCE PROGRAM
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
REVENUES:
State sources - Grants
Total revenues
EXPENDITURES:
Health and sanitation department:
Day care payments
Total expenditures
Deficiency of revenues under expenditures
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
$ 324,100 $ 314,059 $ (10,041) $ 319,110
324,100 314,059 (10,041) 319,110
324,100 314,339 9,761 319,110
324,100 314,339 9,761 319,110
$ - -(280) $ (280) -
FUND BALANCE, at beginning of year 5,894 5,894
FUND BALANCE, at end of year $ 5,614 $ 5,894
56
lu
C I
KODIAK ISLAND BOROUGH
EXHIBIT B-13
SPECIAL REVENUE FUNDS
LAND SALES
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)_
1997
REVENUES:
Land sale proceeds
Licenses, permits, fees and other local revenues:
Gravel sales
Other
Investments and property
Total revenues
EXPENDITURES:
General and administration:
Personnel services
Contracted services
Support goods and services
Capital outlay
Total expenditures
Excess (deficiency) of revenues
over (under) expenditures
OTHER FINANCING USES:
Operating transfers out to other funds:
Buildings and Grounds
Debt Service Other
Capital Projects - Various Other Projects
Total other financing uses
Excess (deficiency) of revenues
under expenditures and operating
transfers out
FUND BALANCE (DEFICIT), at beginning of year
FUND DEFICIT, at end of year
136,560
137,650
Variance -
137,144
40,000
7,383
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
$ 271,310
$ 265,496
$ (5,814)
$ 389,582
40,000
99,936
59,936
15,020
5,520
1,080
(4,440)
1,400
5,000
-
(5,000)
4,905
321,830
366,512
44,682
410,907
136,560
137,650
(1,090)
137,144
40,000
7,383
32,617
110,654
104,600
32,507
72,093
29,761
20,670
69,161
(48,491)
1,271
301,830
246,701
55,129
278,830
20,000
119,811
99,811
132,077
(20,000)
(20,000)
-
(19,000)
-
(1,041)
(1,041)
(2,018)
(353,000)
(20,000)
(21,041)
(1,041)
(374,018)
$ - 98,770 $ 98,770
(193,541)
$ (94,771)
(241,941)
AO AAA
$ (193,541)
''
57
KODIAK ISLAND BOROUGH EXHIBIT B -14
SPECIAL REVENUE FUNDS
BUILDINGS AND GROUNDS
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
REVENUES:
Investments and property:
Rental
Total revenues
EXPENDITURES:
General and administration:
School buildings
Borough building
Apartments
Parks operation and maintenance
Total expenditures
Deficiency of revenues
under expenditures
OTHER FINANCING SOURCES (USES):
Operating transfers in (out) from other funds:
General Fund
Land Sales Fund
Debt Service Fund Other
Total other financing sources
Deficiency of revenues and
operating transfers in under
expenditures
$ 329,590
$ 329,145 $
(445) $
320,128
329,590
329,145
(445)
320,128
122,000
115,935
6,065
95,130
325,622
336,379
(10,757)
302,472
68,080
123,208
(55,128)
68,528
19,998
37,430
(17,432)
22,033
535,700
612,952
(77,252)
488,163
(206,110)
(283,807)
(77,697)
(168,035)
186,110 186,110
- 146,340
20,000 20,000
- 19,000
- (544)
(544) 326
206,110 205,566
(544) 165,666
(78,241) (78,241) (2,369)
FUND DEFICIT, at beginning of year
FUND DEFICIT, at end of year
(49,149) (46,780)
$ (127,390) $ (49,149)
58
KODIAK ISLAND BOROUGH
EXIIIBIT B-15
SPECIAL REVENUE FUNDS
WOODLAND ACRES STREET LIGHT SERVICE AREA
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
REVENUES:
Property taxes
State sources - Shared revenue
Investments and property
Total revenues
EXPENDITURES:
General and administration:
Electricity
Capital outlay
Total expenditures
Excess of revenues over
expenditures
7,950 5,082 2,868 5,041
3,000 - 3,000 -
10,950 5,082 5,868 5,041
$ - 6,073 $ 6,073 9,856
FUND BALANCE, at beginning of year 33,832
FUND BALANCE, at end of year $ 39,905
59
$ 33,832
Variance -
Favorable
1996
Budget
Actual
(Unfavorable)
Actual
$ 10,730
$ 8,834
$ (1,896)
12,887
220
137
(83)
169
-
2,184
2,184
1,841
10,950
11,155
205
14,897
7,950 5,082 2,868 5,041
3,000 - 3,000 -
10,950 5,082 5,868 5,041
$ - 6,073 $ 6,073 9,856
FUND BALANCE, at beginning of year 33,832
FUND BALANCE, at end of year $ 39,905
59
$ 33,832
KODIAK ISLAND BOROUGH EXHIBIT B-16
SPECIAL REVENUE FUNDS
KODIAK ARTS COUNCIL
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
REVENUES:
Licenses, permits, fees and other local services:
Reimbursement from Kodiak Arts Council
Total revenues
EXPENDITURES:
General administration:
Personnel services
Fringe benefits
Total expenditures
Excess (deficiency) of revenues over
(under) expenditures
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
$ 73,300 $
69,210 $
(4,090) $
31,765
73,300
69,210
(4,090)
31,765
56,000 52,395 3,605 24,182
17,300 16,819 481 7,579
73,300 69,214 4,086 31,761
$ - (4) $ (4) 4
60
$ 4
KODIAK ISLAND BOROUGH EXHIBIT B -17
SPECIAL REVENUE FUNDS
FACILITIES
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
REVENUES:
Land sale proceeds:
Proceeds from the sale of Shuyak Island
Investments and property
Total revenues
EXPENDITURES:
General and administration
Total expenditures
Excess of revenues over expenses
OTHER FINANCING USES:
Operating transfers out to other funds:
Debt Service - Bonds
Total other financing uses
Excess of revenues over expenditures
and other financing uses
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
$ 2,194,270
$ 2,194,266
$ (4)
$ 8,000,000
510,440
213,749
(296,691)
101,983
2,704,710
2,408,015
(296,695)
8,101,983
8,101,983
(296,695)
2,408,015
2,704,710
(81,500) (81,500) (6,000,000)
(81,500) (81,500) (6,000,000)
$ 2,704,710 2,326,515 $ (378,195)
2,101,983
$ 4,428,498
61
2,101,983
$ 2,101,983
KODIAK ISLAND BOROUGH
EXHIBIT B-18
SPECIAL REVENUE FUNDS
TOURISM DEVELOPMENT
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
REVENUES:
Licenses, permits, fees
and other local revenues
Total revenues
EXPENDITURES:
Contributions
Total expenditures
Excess of revenues over
expenditures
$ 5,000 $ 11,300 $ 6,300 -
5,000 11,300 6,300 -
5,000 - 5,000 -
5,000 - 5,000 -
$ - 11,300 $ 11,300
FUND BALANCE, at beginning of year -
FUND BALANCE, at end of year $ 11,300 $ -
62
1
1
F �
DEBT SERVICE FUNDS
1
0
G
Debt Service Funds are used to account for the payment of
principal, interest and related fees on all bonded debt except for
special assessment bonded debt accounted for in proprietary funds.
KODIAK ISLAND BOROUGH EXHIBIT C -1
DEBT SERVICE FUNDS
COMBINING BALANCE SHEET
AS OF JUNE 30, 1997 (with comparative totals for 1996)
ASSETS
Equity in central treasury
Temporary investments
Due from State of Alaska
Due from other funds
Accrued interest receivable
TOTAL
LIABILITIES AND FUND BALANCES
LIABILITIES:
Accounts payable
Due to other funds
Total liabilities
FUND BALANCES:
Unreserved:
Designated for subsequent year expenditures
TOTAL
Totals
Bonds Other 1997 1996
$ 90,334 $
60,319 $ 150,653
$ 63,357
500,000
- 500,000
1,521,417
15,869
- 15,869
228,063
-
200,000 200,000
205,000
1,060
- 1,060
7,705
$ 607,263 $
260,319 $ 867,582
$ 2,025,542
$ 57,694 $ - $ 57,694 $
57,694 - 57,694
2,576
7,576
549,569
260,319
809,888
2,017,966
$ 607,263 $
260,319 $
867,582
$ 2,025,542
63
KODIAK ISLAND BOROUG EXHIBIT C -2
DEBT SERVICE FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES TRANSFERS
AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
Totals
Bonds Other 1997 1996
REVENUES:
Investments and property:
Interest income
EXPENDITURES:
Debt service:
Principal
Interest
Fiscal agent fees
Other
Total expenditures
Deficiency of revenues under expenditures
OTHER FINANCING SOURCES (USES):
Operating transfer in from component unit
Operating transfers in from other funds
Operating transfers out to other funds
Net other financing sources (uses)
Deficiency of revenues and operating
transfers in over (under) expenditures
and operating transfers out
FUND BALANCES, beginning of year
FUND BALANCES, end of year
$ 77,132 $
- $ 77,132
$ 127,994
1,565,833
- 1,565,833
2,480,833
1,237,938
- 1,237,938
1,370,170
2,058
- 2,058
2,151
-
- -
14,360
2,805,829
- 2,805,829
3,867,514
(2,728,697)
- (2,728,697)
(3,739,520)
1,658,131
- 1,658,131
2,489,819
1,016,780
3,005 1,019,785
(1,146,712)
(10,585) (1,157,297)
952,133
1,528,199
(7,580) 1,520,619
3,441,952
(1,200,498)
(7,580)
(1,208,078)
(297,568)
1,750,067
267,899
2,017,966
2,315,860
$ 549,569 $
260,319
$ 809,888
$ 2,018,292
64
KODIAK ISLAND BOROUGH
EXHIBIT C -3
DEBT SERVICE FUNDS
BONDS
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance-
Favorable 1996
Budget Actual (Unfavorable) Actual
II
11 65
REVENUES:
Investments and property:
'
Interest income
$ 105,000
$ 77,132 $
(27,868)
$ 127,994
Total revenues
$ 105,000
$ 77,132 $
(27,868)
$ 127,994
EXPENDITURES:
Debt service:
Principal
1,565,840
1,565,833
7
2,480,833
'
Interest
1,237,940
1,237,938
3
1,370,170
Fiscal agent fees
3,780
2,058
1,722
2,151
Other
54,700
-
54,700
14,360
'
Total expenditures
2,862,260
2,805,829
56,431
3,867,514
Deficiency of revenues
'
under expenditures
(2,757,260)
(2,728,697)
28,563
(3,739,520)
OTHER FINANCING SOURCES (USES):
Operating transfers out to other funds
(1,146,712)
(1,146,712)
-
-
Operating transfer in from component unit
1,645,130
1,658,131
13,001
2,489,819
Operating transfers in from other funds
1,016,780
1,016,780
-
924,000
'
Net other financing sources (uses)
1,515,198
1,528,199
13,001
3,413,819
'
Deficiency of revenues and operating transfers
in under expenditures and other operating
transfers out
$ (1,242,062)
(1,200,498) $
41,564
(325,701)
'
FUND BALANCE, at beginning of year
1,750,067
2,075,768
FUND BALANCE, at end of year
$ 549,569
$ 1,750,067
II
11 65
1
KODIAK ISLAND BOROUGH
EXHIBIT C4 I
DEBT SERVICE FUNDS
,
OTHER
STATEMENT OF REVENUES, EXPENDITURES, TRANSFERS
Variance -
AND CHANGES IN FUND BALANCE
'
BUDGET AND ACTUAL
Favorable
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
'
Budget Actual
OTHER FINANCING SOURCES (USES):
Operating transfers in from other funds
Operating transfer out to other funds
Net other financing sources (uses)
Excess (deficiency) of revenues and operating transfers
in over (under) expenditures and operating transfers out $ -
FUND BALANCE, at beginning of year
FUND BALANCE, at end of year
(7,580) $ (7,580)
'Ices onn
$ 260,319
27,807 1
240,092 ,
t
$ 267,899 '
1997
Variance -
Favorable
1996
'
Budget Actual
(Unfavorable)
Actual
- 3,005
3,005
28,133
- (10,585)
(10,585)
(326)
'
- (7,580)
(7,580)
27,807
66
1
t
t
Pi
CAPITAL PROTECTS FUNDS
Capital Projects Funds are used to account for general govern-
ment capital projects financed by general obligation bond issues,
intergovernmental grants, contributions from other funds and interest
income, exclusive of projects financed by proprietary funds.
1
!i
u
�
J
KODIAK ISLAND BOROUGH
CAPITAL PROJECTS FUNDS
COMBINING BALANCE SHEET
AS OF JUNE 30, 1997 (with comparative totals for 1996)
Various
School
Hospital
Borough
Bond
Bond
Projects
Improvements
Improvements
ASSETS
Equity in central treasury
$
80,099
$ 2,822
$ 19,721
Temporary investments
-
-
1,323,468
Receivables:
State of Alaska
-
-
-
Federal Government
387,295
-
-
Accrued interest
-
-
8,893
Due from other funds
-
-
1,500,000
F
Total assets
$
467,394
$ 2,822
$ 2,852,082
LIABILITIES AND FUND BALANCES
LIABILITIES:
Accounts payable
$
201,862
$ 17,089
$ 679,950
Retainages payable
191,839
15,192
190,086
Deferred revenue
-
-
-
Revenue anticipation note payable
-
-
-
Due to other funds
-
150,000
400,000
Total liabilities
393,701
182,281
1,270,036
'
z
FUND EQUITY:
Fund Balances (Deficits):
Reserved for encumbrances
57,449
-
1,548,268
Unreserved:
Designated for subsequent years expenditures
16,244
-
-
Undesignated
-
(179,459)
33,778
Total fund equity
73,693
(179,459)
1,582,046
Total liabilities and fund equi
o q ty
$
467 394
$ 2 822
$ 2 852 082
,
s
68
i
EXHIBIT D -1
Kodiak State
Fisheries Capital Totals
Research Center Grants 1997
$ 3,520 $ 2,449 $ 108,611 $ 203,445
3,550,656 - 4,874,124 12,254,375
- 216,172 216,172 176,692
274,083 - 661,378 381,766
47,547 - 56,440 81 ,761
240,000 - 1,740,000 242,500
$ 4,115,806 $ 218,621 $ 7,656,725 $ 13,340,539
$ 532,495
90,255
20,000
642,750
$ 22,153
$ 1,453,549
$ 1,130,251
-
487,372
922,829
24,514
24,514
-
-
-
3,000,000
200,000
770,000
1,112,700
246,667
2,735,435
6,165,780
15,217,663 96,766 16,920,146 6,247,121
16,244 5,202,226
(11,744,607) (124,812) (12,015,100) (4,274,588)
3,473,056 (28,046) 4,921,290 7,174,759
$ 4,115,806 $ 218,621 $ 7,656,725 $ 13,340,539
1996
69
KODIAK ISLAND BOROUGH
CAPITAL PROJECTS FUNDS
COMBINING STATEMENT OF REVENUES, EXPENDITURES,
TRANSFERS AND CHANGES IN FUND BALANCES
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
Various School
Borough Bond
Projects Improvements
REVENUES:
State sources $ - $ -
Federal sources 22,057 -
Licenses, permits, fees and other local revenues 1,548 -
Investments and property 27,141 -
Total revenues 50,746 -
EXPENDITURES:
520,804 -
Capital improvements:
60,000 -
Schools
211,685 239,786
General
1,213,115 -
Total expenditures
1,424,800 239,786
Deficiency of revenues
(255,728) -
under expenditures
(1,374,054) (239,786)
OTHER FINANCING SOURCES (USES):
Operating transfers in from other funds
520,804 -
Operating transfers in from component units
60,000 -
Bond proceeds
- -
Operating transfers out to other funds
(836,532) -
Operating transfers out to component units
- -
Net other financing sources (uses)
(255,728) -
Deficiency of revenues and operating
transfers in under expenditures and
operating transfers out (1,629,782) (239,786)
FUND BALANCES (DEFICITS), at beginning of year 1,703,475 60,327
Residual equity transfer in
FUND BALANCES (DEFICITS), at end of year
$ 73,693
$ (179,459)
70
EXHIBIT D -2
Hospital
Kodiak
State School
-
- _ _ _ -
Bond
Fisheries
Capital Major
Totals
(167,000)
Improvements
Research Center
Grants Maintenance
1997
1996
$ _
$ -
$ 1,019,462 $ -
$ 1,019,462 $
493,442
-
465,000
- -
487,057
44,195
-
_
_ -
1,548
5,143
192,764
186,724
- -
406,629
708,631
192,764
651,724
1,019,462 -
1,914,696
1,251,411
- _ _ - 451,471 5,314,508
4,250,584 2,773,980 1,061,533 - 9,299,212 12,338,228
4,250,584 2,773,980 1,061,533 - 9,750,683 17,652,736
(4,057,820) (2,122,256)
(42,071) - (7,835,987) (16,401,325)
3,477,245 - 6,000 - 4,004,049
-
1,000,000 - - - 1,060,000
-
- _ _ _ -
9,785,661
_ - - (50,645) (887,177)
(3,251,461)
- _ _ _ -
(167,000)
4,477,245 - 6,000 (50,645) 4,176,872
6,367,200
419,425 (2,122,256) (36,071)
(243,025) 5,595,312 8,025
1,405,646 - -
$ 1,582,046 $ 3,473,056 $ (28,046)
(50,645) (3,659,115) (10,034,125)
50,645 7,174,759 17,208,884
- 1,405,646 -
$ - $ 4,921,290 $ 7,174,759
71
KODIAK ISLAND BOROUGH EXHIBIT D•3
CAPITAL PROJECTS FUNDS
SCHEDULE OF CAPITAL PROJECTS
FOR THE YEAR ENDED JUNE 30, 1997
APPROPRIATIONS EXPENDITURES ENCUMBRANCES
PROJECT TOTAL TOTAL UNEXPENDED CURREN - r UNENCUMBERED
NO. PROJECT STATUS PRIOR 1997 APPROPRIATIONS PRIOR 1997 EXPENDITURES BALANCE ENCUMBRANCES BALANCE
NMI M IM SW
Capital Projects - Education:
2
410 -404 Work of Art - Auditorium
Complete
S 33.090
S -
S 33,090
S 28,000
S 5,090
S 33,090
$ - s
-
S -
6
410415 Asbestos Removal Program
Open
71,000
-
71,000
69,871
-
69,871
1,129
-
1,129
33
410 -446 High School Roof Maintenance
Open
65,000
7,576
72,576
55,703
16,872
72,575
1
-
1
78
410 -462 High School Library Roof
Open
35,000
-
35,000
5,031
9,146
14,177
20,823
20,823
80
410 -464 High School Parking Lot Repair
Complete
45,000
-
45,000
18,237
10,717
28,954
16,046
-
16,046
39
420 -501 Peterson Elementary
Complete
751,340
-
751,340
697,407
231,27.1
928,678
(177,338)
-
(177,338)
93
420 -504 Northstar Elementary
Complete
8,380,000
-
8,380,000
8,381,702
(1,632)
8,380,070
(70)
-
(70)
94
420-505 Ouzinkie School Remodel
Complete
1,563,000
6,326
1,569,326
1,559,140
10,179
1,569,319
7
-
7
100
410.477 Main Elementary Steps
Open
18,000
' 1 3,800
21,800
3,291
18,509
21,800
0
-
-
139
430 -639 Peterson Elem. Addition (Grant)
Open
141,603
141,603
-
3,807
3,807
137,796
-
137,796
116
410 -644 Old Harbor Exterior Paint
Open
45,000
-
45,000
44,552
392
44,944
56
-
56
125
410 -650 High School Locker Room
Open
51,000
51,000
255
46,585
46,840
4,160
-
4,160
126
410 -651 Akhiok School Carpel Repair
Complete
5,000
. - 8,557
13,557
-
13,557
13,557
-
-
-
127
410 -652 Akhiok School Painting
Complete
-
20,164
20,164
119
20,045
20,164 _
-
-
-
128
410 -653 Peterson Elem. Addition (Match)
Open
'10,000
70,000
-
1,723
1,723
68,277
-
68,277
129
410 -654 High School Rooms
Open
-
6,000
6,000
-
5,954
5,954
46
-
46
130
410 -655 East Elementary Doorways
Open
-
4,200
4,200
-
-
-
4,200
-
4,200
135
410 -660 North Star Enhancements
Open
-
79,000
79,000
-
29,886
29,886
49,114
-
49,114
144
410 -661 Ouzinkie School Artwork
Open
-
6,600
6,600
-
-
-
6,600
-
6,600
N 148
410 -664 High School Sidewalks
Open
-
28,000
28,000
-
1,883
1,883
26,117
-
26,117
149
410 -665 Middle School Bus Ramp
Open
4,700
4,700
-
-
-
4,700
-
4,700
151
410 -667 Chiniak School Teacherage
Open
90,000
90,000
-
93,741
93,741
(3,741)
-
(3,741)
Total Education
11,062,430
476,526
11,538,956
10,863,308
517,725
11,381,033
157,923
-
157,923
Capital Projects - Health:
95
425 -540 Hospital Remodel
Open
I S 980,0(x)
1,727,244
17,707,244
13,231,340
4,250,584
17,481 924
225,320
-
225,320
540 -540 Hospital Remodel
Open
-
3,926,046
3,926,046
-
2,377,778
2,377,778
1,548,268
1,548,268
-
138
430 -638 Hospital Remodel (Grant)
Open
-
500,000
500,000
-
500,000
500,000
-
-
-
111
410 -639 Hospital Construction
Complete
830,532
(830,532)
-
-
-
-
-
-
-
121
410 -647 New Ambulance Purchase
Open
6,000
6,000
12,000
-
-
-
12,000
-
12,000
123
430.637 DOE Energy Grant
Complete
36,079
36,079
-
36,079
36,079
-
-
-
Total Health
16,852,611
5,328,758
22,181,369
13,231,340
7,164,441
20,395,781
1,785,588
1,548,268
237,320
Capital Projects - Roads:
74
410 -455 Street Signs
Open
22,000
12,000
34,000
22,074
11,360
33,434
566
1,452
(886)
82
410 -466 Anton Larsen Road Ext.
Complete
25,000
(24,979)
21
-
21
21
-
-
-
140
430 -640 Island Lake Creek Trail
Open
-
145,000
145,000
-
145,000
145,000
-
-
-
147
430 -644 Ouzinkie Trails
Open
-
75,000
75,000
-
9,245
9,245
65,755
-
65,755
162
410 -678 Service Distr#I Gravel Resurface
Open
220,160
220,160
245,978
245,978
(25,818)
(25,818)
Total Roads
47,000
427,181
474,181
22,074
411,604
433,678
40,503
1,452
39,051
continued
NMI M IM SW
maw
i
KODIAK ISLAND BOROUG EXHIBIT D -3- continued
CAPITAL PROJECTS FUNDS
SCHEDULE OF CAPITAL PROJECTS
FOR THE YEAR ENDED JUNE 30, 1997
APPROPRIATIONS EXPENDITURES ENCUMBRANCES
PROJECT TOTAL TOTAL UNEXPENDED CURRENT UNENCUMBERED
NO. PROJECT STATUS PRIOR 1997 APPROPRIATIONS PRIOR 1997 EXPENDITURES BALANCE ENCUMBRANCES BALANCE
Capital Projects - Other.
410400 Undesignated Projects
Open
-
-
-
2,941
845,650
848,591
(848,591)
-
(848,591)
16
410 -429 New Parks
Complete
103,210
10,000
113,210
63,279
49,950
113,229
(19)
-
(19)
66
410 -456 Selief Lane Drainage
Complete
35,000
(27,970)
7,030
-
7,030
7,030
-
-
-
48
430.607 Salonie Creek Rifle Range
Open
544,000
-
544,000
520,567
11,346
531,913
12,087
-
12,087
54
430 -613 Selief Lane/Von Scheele Way
Complete
75,000
-
75,000
75,000
-
75,000
-
-
-
72
430 -622 Bayside Fire Station
Complete
150,000
-
150,000
102,897
56,844
159,741
(9,741)
-
(9,741)
79
410463 Crab Analog Report
Open
10,000
-
10,000
-
-
-
10,000
-
10,000
85
410 -471 Village Metals Removal
Open
150,000
-
150,000
111,415
-
111,415
38,585
38,585
86
410.470 KIB Oil Tank Replacement
Open
100,000
-
100,000
81,065
18,588
99,653
347
-
347
87
430-632 Community Support Facility
Open
375,000
6,000
381,000
372,408
6,852
379,260
1,740
-
1,740
89
430 -633 DHSS /Planning Grant
Open
40,000
-
40,000
13,809
6,060
19,869
20,131
-
20,131
%
410 -473 Kodiak Clean Lakes Grant
Complete
93,000
3,124
%,124
74,042
22,057
96,099
25
-
25
98
410475 Borough Bldg. Parking Lot
Open
20,000
25,000
45,000
630
44,380
45,010
(10)
-
(10)
105
410.482 Anton Larsen Dock
Open
140000
140,000
134,167
12
134,179
5,821
-
5.821
109
410.637 Fisheries Development
Open
50,000
-
50,000
-
-
50,000
-
50,000
110
410-638 KIB Recreation Facilities
Open
400,000
-
400,000
77,850
257,109
334,959
65,041
6,324
58,717
114
410- 642 State Airport Improvements
Open
11,000
-
11,000
-
-
-
11,000
-
11,000
115
410 -643 Chiniak Tsunami Siren
Open
30,000
-
30,000
-
27,754
27,754
2,246
-
2,246
117
410 -645 Heliopad Striping
Open
3,000
-
3,000
-
-
-
3,000
-
3,000
W 119
430 -636 Smokey's Rehabilitation
Complete
223,857
223,857
70,034
153,823
223,857
124
426 -801 Kodiak Fisheries Research Center
Open
6,000,000
11,465,000
17,465,000
404,688
2,773,980
3,178,668
14,286,332
15,217,663
(931,331)
131
410 -656 Little League Fencing
Complete
-
21,366
21,366
21,366
21,366
0
-
0
132
410 -657 City Library/Alaska Room
Open
-
16,000
16,000
-
11,465
11,465
4,535
-
4,535
133
410 -658 Red Cross Building Repairs
Open
-
12,000
12,000
-
709
709
11,291
-
11,291
145
410.662 Computer Software Acquis.
Open
-
300,000
300,000
-
378,558
378,558
(78,558)
31,818
(110,376)
146
410 -663 BMX Bike Track
Open
-
20,ODO
20,000
-
3,749
3,749
16,251
-
16,251
150
410 -666 Borough Building Repairs
Open
-
33,000
33,000
-
9,723
9,723
23,277
8,740
14,537
157
410.673 Sargent Creek Drainage
Open
-
-
-
-
440
440
(440)
-
(440)
141
430 -641 Monashka Bay Park
Open
-
105,000
105,000
-
1,790
1,790
103,210
-
103,210
142
430 -642 Clean Water Fund/Karluk
Open
-
40,000
40,000
-
21,642
21,642
18,358
-
18,358
143
430 -643 EVOSTC Project
Open
-
250,000
250,000
-
109,042
109,042
140,958
96,766
44,192
Transfers Out - Fund 410
Open
-
1,107,993
1,107,993
-
-
-
1,107 993
-
1,107 993
Transfers Out - Fund 420
Open
-
50,000
50,000
-
-
50,000
-
50,000
Total - Capital Projects Other
8,553,067
13,436,513
21,989,580
2,104,792
4,839,919
6,944,711
15,044,869
15,361,311
(316,442)
Total All Capital Projects
S
36,515
S 19,668,
S 56,184, S
26,221,5
$ 12,933, S
39,155,2
S 17,028, S
16,911,0
S 117,85
1
KODIAK ISLAND BOROUGH
EXHIBIT D -4
DEPARTMENT OF HEALTH AND SOCIAL SERVICES
SCHEDULE OF EXPENDITURES - BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997
Construction Grants -in -Aid Program - Revenue
Hospital Completion Construction Costs
Total expenditures
This schedule is a required supplement to the general purpose financial statements for grants funded by the
State of Alaska Department of Health and Social Services. This grant corresponds to Project No. 138 on the
Capital Projects Schedule at Exhibit D -3.
1
1
74
Variance
Approved
Amounts Favorable
Budget
Reported (Unfavorable)
$ 500,000
$ 500,000 $ -
500,000
500,000 -
500,000
500,000 -
This schedule is a required supplement to the general purpose financial statements for grants funded by the
State of Alaska Department of Health and Social Services. This grant corresponds to Project No. 138 on the
Capital Projects Schedule at Exhibit D -3.
1
1
74
1
u
1
1
{
L,
1
1
1
ENTERPRISE FUNDS
Enterprise Funds are used to account for Borough operations that
are financed and operated in a manner similar to private business
enterprises. The intent of the Borough is that the costs (expenses,
including depreciation) of providing these services to the general
public on a continuing basis are financed or recovered primarily
through user charges.
I �
KODIAK ISLAND BOROUGH
1
ENTERPRISE FUNDS
COMBINING BALANCE SHEET
AS OF JUNE 30, 1997 (with comparative totals for 1996)
Municipal
Solid Waste
Collection and Hospital Totals
Disposal Facilities 911 Services 1997 1996
ASSETS
CURRENT ASSETS:
Equity in central treasury
$ 3,118 $
43,216 $
82,942 $
129,276 $
92,164
Temporary investments
-
476,928
-
476,928
-
Customer receivables
252,564
-
10,650
263,214
365,384
Less allowance for doubtful accounts
-
-
-
-
(26,565)
Net customer receivables
252,564
-
10,650
263,214
338,819
Due from component unit
-
-
-
-
207,100
Due from other funds
-
660,000
-
660,000
444,800
Inventories
-
277,007
-
277,007
Total current assets
255,682
1,457,151
93,592
1,806,425
1,082,883
RESTRICTED ASSETS:
Equity in central treasury - - - - 12,548
Cash with fiscal agent - 1,642,622 - 1,642,622 -
Temporary investments - 150,768 - 150,768 -
Total restricted assets - 1,793,390 - 1,793,390 12,548
FIXED ASSETS:
Unclassified utility plant in service
2,205,383
-
- 2,205,383
18,429,428
Land and improvements
-
40,275
- 40,275
Buildings
-
4,145,676
- 4,145,676
Equipment
829,797
5,143,558
- 5,973,355
776,875
Work in process
-
2,377,778
- 2,377,778
636,250
3,035,180
11,707,287
- 14,742,467
19,842,553
Less accumulated depreciation
(838,765)
(5,039,009)
- (5,877,774)
(4,119,966)
Net fixed assets
2,196,415
6,668,278
- 8,864,693
15,722,587
TOTAL $ 2,452,097 $ 9,918,819 $ 93,592 $ 12,464,508 $ 16,818,018
76
EXHIBIT E -1
77
Municipal
Solid Waste
Collection and
Hospital
Totals
Disposal
Facilities
911 Services
1997
1996
LIABILITIES AND FUND EQUITIES
CURRENT LIABILITIES:
Accounts payable
$ 159,453
$ 100,619
$ -
$ 260,072 $
307,764
Accrued expenses
18,488
-
-
18,488
15,291
Customer deposits
-
-
-
-
7,949
Current portion of note payable
-
492,063
-
492,063
-
Current portion of lease obligations
-
329,819
-
329,819
-
Due to City of Kodiak
-
-
-
-
28,300
Due to other funds
5,000
1,500,000
-
1,505,000
149,100
Total current liabilities
182,941
2,422,501
-
2,605,442
508,404
NONCURRENT LIABILITIES:
Note payables
-
2,971,335
-
2,971,335
-
Capital lease obligations
-
1,407,947
-
1,407,947
-
ACCRUAL FOR LANDFILL CLOSURE
AND POSTCLOSURE COSTS
1,984,423
-
-
1,984,423
2,316,713
Total liabilities
2,167,364
6,801,783
-
8,969,147
2,825,117
FUND EQUITIES:
Contributions in aid of construction:
City of Kodiak
-
-
-
-
229,166
State of Alaska
2,483,473
-
-
2,483,473
17,596,706
Federal Government
-
-
-
-
574,268
Other
19,990
-
-
19,990
258,106
2,503,463
-
-
2,503,463
18,658,246
Accumulated amortization
(744,287)
-
-
(744,287)
(4,047,874)
Net contributions in aid
of construction
1,759,176
-
-
1,759,176
14,610,372
Contributed capital
-
4,298,512
-
4,298,512
-
Retained earnings (deficit), unreserved
(1,474,443)
(1,181,476)
93,592
(2,562,327)
(617,471)
Total fund equities
284,733
3,117,036
93,592
3,495,361
13,992,901
TOTAL
$ 2,452,097
$ 9,918,819
$ 93,592
$ 12,464,508 $
16,818,018
77
r
1
KODIAK ISLAND BOROUGH
EXHIBIT E -2
ENTERPRISE FUNDS
COMBINING STATEMENT OF
REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
Municipal
Solid Waste
Collection and
Hospital
Totals
Disposal Water Sewer
Facilities
911 Services
1997
1996
OPERATING REVENUES:
Solid waste collection
S 1,593.818 S S
S
$
$ 1,593,818 S
1,393,922
Solid waste disposal
741,941
741,941
727,216
Customer charges
-
-
93,592
93,592
-
Lease proceeds
-
120,000
-
120,000
-
Other
16,568
-
16,568
15,465
2,352.327
120,000
93,592
2,565,919
2,136,603
OPERATING EXPENSES:
Personnel services
362,483
6.529
-
369,012
367,213
Professional services
-
102,097
102,097
Solid waste collection
1,110,129
-
1,110,129
1,087,242
Contracted services
247,268
247,268
385,641
Repairs and maintenance
29,229
29,229
49,705
Landfill closure and postclosure costs
(246,629)
-
(246,629)
2,005,956
Depreciation
110,601
102,506
213,107
109,203
General and administration
176,783
-
176,783
169,043
Recycling services
11,058
11,058
16,232
t
Contributions
74,907
74,907
45,935
1,875.829
211,132
-
2,086,961
4.236,170
Operating income (loss)
476,498
(91,132)
93,592
478,958
(2,099,567)
OTHER INCOME (EXPENSES):
Interest income
770
7,821
-
8,591
Interest expense
(249,991)
(249,991)
Loss on disposal of hospital operations
(74,971)
(74,971)
Loss on sale of assets
(1,288)
(1,288)
Net income (loss)
475,980
(408.273)
93,592
161,299
(2,099,567)
OTHER FINANCING SOURCES:
Operating transfers out to other funds
-
(1,500,000)
-
(1.500,000)
Operating transfers in from component units
726,797
726,797
Net loss from discontinued operations
-
(169,325)
Transfer of water and sewer operations
to the City of Kodiak
- (715,400) (694,357)
(1,409,757)
-
Amortization of contributions in aid
of construction
76.805
76,805
388,485
Increase(decrease)in retained earnings
552,785 (715,400) (694,357)
(1,181,476)
93,592
(1,944,856)
(1,880,407)
Retained earnings (deficit) at beginning of year
(2,027,228) 715,400 694,357
(617,471)
1,262,936
Retained earnings (deficit) at end of year
S (1,474.443) S - S -
S (1,181,476)
$ 93,592
S (2,562,327) S
(617,471)
r
r
78
f
KODIAK ISLAND BOROUGH
EXHIBIT E -3
ENTERPRISE FUNDS
COMBINING STATEMENT OF CASH FLOWS
YEAR ENDED JUNE 30, 1997 (with comparative
totals for 1996)
Municipal
Solid Waste
Collection and
Hospital
911
Totals
Disposal
Water
Sewer
Facilities
Services
1997
1996
OPERATING LOSS
S 476,498
5 S
S (91,132)
S 93,592
S 478,958
S (2,281,154)
ADJUSTMENTS TO RECONCILE
OPERATING LOSS TO NET CASH
PROVIDED BY (USED FOR) OPERATING ACTIVITIES:
Depreciation
110,601
102,506
213,107
415,921
Changes in assets and liabilities:
Customer receivables
21,071
23,754
41,430
(10,650)
75,605
(51,830)
Due to/from component unit
-
207,100
-
-
207,100
(207,100)
Dueto/from other funds
(144,100)
147,850
296,950
840,000
1,140,700
(295,700)
Accounts payable
(65,670)
(43,356)
(39,285)
100,619
(47,692)
55,618
Customer deposits
(700)
(7,249)
-
(7,949)
(19,609)
Accrual for landfill closure
and postclosure costs
(332,290)
(332,290)
2,005,956
Due to the City of Kodiak
(11.905)
(16,395)
(28,300)
11,090
Other accrued liabilities
3.197
3,197
(5,645)
Total adjustments
(407,891)
316,194
282,700
1,043,125
(10,650)
1,223,478
1,908,701
Net cash provided by (used for)
operating activities
68,607
316,194
282,700
951,993
82.942
1,702,436
(372,453)
CASH FLOWS FROM NON - CAPITAL AND
RELATED FINANCING ACTIVITIES:
Cash transferred from Hospital Component Unit
-
-
203,692
-
203,692
Operating transfers out to other funds
(1,500,000)
(1.500,000)
Operating transfers in from Hospital
726,797
726,797
Component Unit
Equity transfers out to Capital Projects Fund
(1,405,646)
(1,405,646)
Transfer of Water and Sewer Operations
'
to the City of Kodiak
(369,323)
(334,097)
(703,420)
Net cash used for capital and
related financing activities
(369,323)
(334.097)
(1,975,157)
(2,678,577)
CASH FLOWS FROM CAPITAL AND
RELATED FINANCING ACTIVITIES:
Acquisition and construction
of capital assets
(68,595)
(2,377,778)
(2,446,373)
(647,460)
Interest paid on notes payable and capital leases
(249,991)
(249,991)
Proceeds from issuance of notes payable
4,471,910
4,471,910
Proceeds from disposal of Component Unit
Hospital operations
2.000.000
2,000.000
Principal payments on notes payable
(462,648)
(462,648)
Principal payments on capital lease obligations
-
(52,616)
(52,616)
Proceeds from sale of equipment
2,150
2,150
370
Net cash provided by (used for)
capital and related financing activities
(66,445)
3,328,877
3,262.432
(647,090)
CASH FLOWS FROM INVESTING ACTIVITIES:
Changes in restricted assets:
Additions to restricted cash
-
(1,793,390)
(1,793,390)
Interest and dividends on
investments
770
7,821
8,591
-
Purchases of investments
(476,928)
(476,928)
12,262
Net cash provided by (used for) investing activities
(2,262,497)
(2,261,727)
12,262
Net change in cash and cash equivalents
2,932
(53,129)
(51.397)
43,216
82,942
24,564
(1,007,281)
CASH AND CASH EQUIVALENTS, at beginning of year
186
53,129
51,397
-
-
104.712
1.111.993
r
CASH AND CASH EQUIVALENTS, at end of year
S 3,118
$ S
$ 43,216
$ 82.942
S 129,276
S 104,712
Cash and cash equivalents consist of equity in central treasury including those under the caption "restricted assets" on the balance sheet.
79
KODIAK ISLAND BOROUGH
MUNICIPAL SOLID WASTE COLLECTION AND DISPOSAL FUND
BALANCE SHEETS
AS OF JUNE 30, 1997 AND 1996
EXHIBIT E -4
1997 1996
ASSETS
CURRENT ASSETS:
Equity in central treasury
Customer receivables
Total current assets
FIXED ASSETS:
Unclassified utility plant in service
Equipment
Less accumulated depreciation
Net fixed assets
TOTAL
LIABILITIES AND FUND EQUITY
CURRENT LIABILITIES:
Accounts payable
Accrued expenses
Customer deposits
Due to other funds
Total current liabilities
ACCRUAL FOR LANDFILL CLOSURE AND POSTCLOSURE COSTS
FUND EQUITY:
Contributions in aid of construction:
State of Alaska
Other
Accumulated amortization
Net contributions in aid of construction
Retained deficit, unreserved
Total fund equity
TOTAL
80
$ 3,118
$ 186
252,564
273,635
255,682
273,821
5,000
149,100
2,205,383
2,205,383
829,797
773,703
3,035,180
2,979,086
(838,765)
(737,227)
2,196,415
2,241,859
$ 2,452,097
$ 2,515,680
159,453
225,123
18,488
15,291
-
700
5,000
149,100
182,941
390,214
1,984,423
2,316,713
2,167,364
2,706,927
2,483,473
2,483,473
19,990
19,990
2,503,463
2,503,463
(744,287)
(667,482)
1,759,176
1,835,981
(1,474,443)
(2,027,228)
284,733
(191,247)
$ 2,452,097
$ 2,515,680
i
1
1
1
f
1
1
1
1
1
1
1
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I I
I KODIAK ISLAND BOROUGH EXHIBIT E -5
MUNICIPAL SOLID WASTE COLLECTION AND DISPOSAL FUND
STATEMENT OF REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
11 81
OPERATING EXPENSES:
1997
Personnel services
Variance -
362,483
59,377
367,213
Favorable
1996
1,110,129
Budget
Actual
(Unfavorable)
Actual
OPERATING REVENUES:
247,268
93,172
385,641
Solid waste collection
$ 1,620,230
$ 1,593,818
$ (26,412) $
1,393,922
Solid waste disposal
892,000
741,941
(150,059)
727,216
Other
10,500
16,568
6,068
15,465
4,899
2,522,730
2,352,327
(170,403)
2,136,603
11 81
OPERATING EXPENSES:
Personnel services
421,860
362,483
59,377
367,213
Solid waste collection
1,148,780
1,110,129
38,651
1,087,242
Contracted services
340,440
247,268
93,172
385,641
Repairs and maintenance
40,500
29,229
11,271
49,705
Landfill closure and postclosure costs
335,000
(246,629)
581,629
2,005,956
Depreciation
115,500
110,601
4,899
109,203
General and administration
182,450
176,783
5,667
169,043
Contributions
74,907
(74,907)
45,935
Recycling services
15,000
11,058
3,942
16,232
2,599,530
1,875,829
723,701
4,236,170
Operating income (loss)
(76,800)
476,498
553,298
(2,099,567)
OTHER INCOME (EXPENSES):
Interest income
-
770
770
-
Loss on sale of fixed assets
-
(1,288)
(1,288)
-
-
(518)
(518)
-
Net income (loss)
$ (76,800)
475,980 $
553.550
(2,099,567)
Amortization of contributions in
aid of construction
76,805
82,250
Increase (decrease) in retained earnings
552,785
(2,017,317)
Retained deficit at beginning of year
(2,027,228)
(9,911)
Retained deficit at end of year
$ (1,474,443)
$ (2,027,228)
' t
11 81
I
KODIAK ISLAND BOROUGH
MUNICIPAL SOLID WASTE COLLECTION AND DISPOSAL FUND
STATEMENTS OF CASH FLOWS
YEARS ENDED JUNE 30, 1997 AND 1996
EXHIBIT E -6
1997 1996
OPERATING INCOME (LOSS) $ 476,498 $ (2,099,567)
ADJUSTMENTS TO RECONCILE OPERATING INCOME (LOSS) TO
NET CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES:
Depreciation
Changes in assets and liabilities:
Customer receivables
Due to other funds
Accounts payable
Customer deposits
Accrual for landfill closure and postclosure costs
Other accrued liabilities
Total adjustments
Net cash provided by operating activities
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:
Acquisition and construction of capital assets
Proceeds from sale of equipment
Net cash used for capital and related financing activities
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest and dividends paid on investments
Net change in cash and cash equivalents
CASH AND CASH EQUIVALENTS, at beginning of year
CASH AND CASH EQUIVALENTS, at end of year
110,601
109,203
21,071
(70,266)
(144,100)
9,100
(65,670)
55,953
(700)
-
(332,290)
2,005,956
3,197
(5,645)
(407,891)
2,104,301
68,607
4,734
(68,595)
(11,210)
2,150
370
(66,445)
(10,840)
770
-
2,932
(6,106)
186
6,292
$ 3,118
$ 186
82 1
KODIAK ISLAND BOROUGH
EXHIBIT E -7
WATER FUND
BALANCE SHEETS
AS OF JUNE 30, 1997 AND 1996
ASSETS
1997 1996
CURRENT ASSETS:
Equity in central treasury
$ - $ 46,855
Customer receivables
- 30,655
Less allowance for doubtful accounts
- (6,901)
Net customer receivables
- 23,754
Due from component unit
- 207,100
Due from other funds
- 147,850
Total current assets
- 425,559
RESTRICTED ASSETS:
Equity in central treasury
- 6,274
Temporary investments
- -
Total restricted assets
- 6,274
FIXED ASSETS:
Unclassified utility plant in service
- 6,012,160
Less accumulated depreciation
- (1,303,704)
Work -in- process
- 311,487
Net fixed assets
- 5,019,943
TOTAL
LIABILITIES AND FUND EQUITY
LIABILITIES:
Accounts payable
Customer deposits
Due to City of Kodiak
Total liabilities
FUND EQUITY:
Contributions in aid of construction:
City of Kodiak
State of Alaska
Federal Government
Other
Accumulated amortization
Net contributions in aid of construction
Retained earnings, unreserved
Total fund equity
TOTAL
$ - $ 5,451,776
$ - $ 43,356
- 7,249
- 11,905
- 62,510
- 189,166
- 5,482,630
- 277,135
- 28,562
- 5,977,493
- (1,303,627)
4,673,866
715,400
- J,J07,LVV
$ - $ 5,451,776
83
KODIAK ISLAND BOROUGH EXHIBIT E -8
WATER FUND
STATEMENT OF REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
OPERATING REVENUES:
Water sales
Installation charges
Other
Budget Actual
OPERATING EXPENSES:
Personnel services
Purchased water
Repairs and maintenance
Depreciation
General and administration
Operating loss
OTHER INCOME:
Interest income
Net loss
Transfer of Water operations to
City of Kodiak
Amortization of contributions in
aid of construction
Increase (decrease) in retained earnings
Retained earnings at beginning of year
Retained earnings at end of year
Variance -
Favorable 1996
(Unfavorable) Actual
$ - $ 457,272
3,600
5,745
466,617
- 17,238
- - 343,167
- - - 22,680
- - - 109,653
- - - 13,829
- - - 506,567
- - - (39,950)
(715,400)
(715,400)
715,400
6,131
(33,819)
109,645
75,826
639,574
$ 715,400
84
KODIAK ISLAND BOROUGH
EXHIBIT E -9
WATER FUND
STATEMENTS OF CASH FLOWS
'
YEARS ENDED JUNE 30, 1997 AND 1996
1997
1996
OPERATING LOSS $
-
$ (39,950)
ADJUSTMENTS TO RECONCILE OPERATING LOSS TO NET CASH
PROVIDED BY (USED FOR) OPERATING ACTIVITIES:
Depreciation
-
109,653
Changes in assets and liabilities:
Customer receivables
23,754
10,121
Due from component unit
207,100
(207,100)
Due from other funds
147,850
(7,850)
Accounts payable
(43,356)
10,787
'
Customer deposits
(7,249)
(19,609)
Due to City of Kodiak
(11,905)
2,880
Total adjustments
316,194
(101,118)
Net cash provided by (used for) operating activities
316,194
(141,068)
CASH FLOWS FROM NON - CAPITAL AND RELATED FINANCING ACTIVITIES:
Transfer of Water Operations to City of Kodiak
(369,323)
-
Y
Net cash used for non - capital and
related financing activities
(369,323)
-
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:
Acquisition and construction of capital assets
-
(311,488)
Net cash used for capital and
related financing activities
-
(311,488)
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest and dividends paid on investments.
-
6,131
Net change in cash and cash equivalents
(53,129)
(446,425)
CASH AND CASH EQUIVALENTS, at beginning of year
53,129
499,554
CASH AND CASH EQUIVALENTS, at end of year $
-
$ 53,129
"restricted
`.'
Cash and cash equivalents consist of equity in central treasury including those under the caption
assets" on
the balance sheet.
1
85
KODIAK ISLAND BOROUGH
SEWER FUND
BALANCE SHEETS
AS OF JUNE 30, 1997 AND 1996
EXHIBIT E -10
ASSETS
1997 1996
CURRENT ASSETS:
- 3,172
Equity in central treasury
$ - $ 45,123
Customer receivables
- 61,094
Less allowance for doubtful accounts
- (19,664)
Net customer receivables
- 41,430
Due from other funds
- 296,950
Total current assets
- 383,503
RESTRICTED ASSETS:
$ - $ 39,285
Equity in central treasury
- 6,274
Temporary investments
- -
Total restricted assets
- 6,274
FIXED ASSETS:
Unclassified utility plant in service
- 10,211,885
Machinery and equipment
- 3,172
Less accumulated depreciation
- (2,079,035)
Work -in- process
- 324,763
Net fixed assets
- 8,460,785
TOTAL
$ - $ 8,850,562
LIABILITIES AND FUND EQUITY
LIABILITIES:
Accounts payable
$ - $ 39,285
Due to City of Kodiak
- 16,395
Total liabilities
- 55,680
FUND EQUITY:
Contributions in aid of construction:
City of Kodiak
- 40,000
State of Alaska
- 9,630,603
Federal Government
- 297,133
Other
- 209,554
- 10,177,290
Accumulated amortization
- (2,076,765)
Net contributions in aid of construction
- 8,100,525
Retained earnings, unreserved
- 694,357
Total fund equity
- 8,794,882
TOTAL
$ - $ 8,850,562
86
KODIAK ISLAND BOROUGH EXHIBIT E -11
SEWER FUND
STATEMENT OF REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
OPERATING REVENUES:
Sewer service charges $ - $ - $ - $ 557,107
Other - - - 4,130
- 561,237
OPERATING EXPENSES:
Personnel services
Purchased sewer treatment
Repairs and maintenance
Depreciation
General and administration
(694,357)
(694,357)
694,357
12,490
424,291
28,238
197,065
40,790
Operating loss
OTHER INCOME:
Interest income
Net loss
Transfer of sewer operations to the
City of Kodiak
Amortization of contributions in
aid of construction
Increase (decrease) in retained earnings
Retained earnings at beginning of year
Retained earnings at end of year
87
702,874
(141,637)
6,131
(135,506)
196,590
61,084
$ 694,357
1
KODIAK ISLAND BOROUGH
SEWER FUND
STATEMENTS OF CASH FLOWS
YEARS ENDED JUN 30, 1997 AND 1996
EXHIBIT E -12
Net cash used for capital and
related financing activities
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest and dividends on investments
(324,762)
Net change in cash and cash equivalents (51,397) (554,750)
CASH AND CASH EQUIVALENTS, at beginning of year 51,397 606,147
CASH AND CASH EQUIVALENTS, at end of year $ - $ 51,397
Cash and cash equivalents consist of equity in central treasury including those under the caption "restricted assets" on
the balance sheet.
fl
J
88 1
1997
1996
OPERATING LOSS $
- $
(141,637)
ADJUSTMENTS TO RECONCILE OPERATING LOSS TO NET CASH
PROVIDED BY (USED FOR) OPERATING ACTIVITIES:
Depreciation
-
197,065
Changes in assets and liabilities:
Customer receivables
41,430
8,315
Due from other funds
296,950
(296,950)
Accounts payable
(39,285)
(11,122)
Due to City of Kodiak
(16,395)
8,210
Total adjustments
282,700
(94,482)
Net cash provided by (used for) operating activities
282,700
(236,119)
CASH FLOWS FROM NON - CAPITAL AND RELATED FINANCING ACTIVITIES:
Transfer of Sewer Operations to City of Kodiak
(334,097)
-
Net cash used for non - capital and
related financing activities
(334,097)
-
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:
Acquisition and construction of capital assets
-
(324,762)
Net cash used for capital and
related financing activities
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest and dividends on investments
(324,762)
Net change in cash and cash equivalents (51,397) (554,750)
CASH AND CASH EQUIVALENTS, at beginning of year 51,397 606,147
CASH AND CASH EQUIVALENTS, at end of year $ - $ 51,397
Cash and cash equivalents consist of equity in central treasury including those under the caption "restricted assets" on
the balance sheet.
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88 1
KODIAK ISLAND BOROUGH
HOSPITAL FACILITIES FUND
BALANCESHEET
AS OF JUNE 30, 1997
EX MIT E -13
ASSETS 1997
CURRENT ASSETS:
Equity in central treasury $ 43,216
Temporary investments 476,928
Due from other funds 660,000
Inventories 277,007
Total current assets
1,457,151
RESTRICTED ASSETS:
Cash with fiscal agent
1,642,622
Temporary investments
150,768
Total restricted assets
1,793,390
FIXED ASSETS:
Land and improvements
40,275
Buildings
4,145,676
Machinery and equipment
5,143,558
Work -in- process
2,377,778
Less accumulated depreciation
(5,039,009)
Net fixed assets
6,668,278
TOTAL
$ 9,918,819
LIABILITIES AND FUND EQUITY
CURRENT LIABILITIES:
Accounts payable
$ 100,619
Due to other funds
1,500,000
Current portion of long -term debt
492,063
Current portion of capital lease obligations
329,819
Total current liabilities
2,422,501
NONCURRENT LIABILITIES:
Long -term debt
2,971,335
Capital lease obligations
1,407,947
Total noncurrent liabilities
4,379,282
6,801,783
FUND EQUITY:
Contributed capital:
Contributed capital 4,298,512
Retained earnings:
Retained deficit, unreserved (1,181,476)
Total fund equity 3,117,036
TOTAL $ 9,918,819
89
KODIAK ISLAND BOROUGH EXHIBIT E -
HOSPITAL FACILITIES FUND
STATEMENT OF REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
PERIOD FROM APRIL 21, 1997 (INCEPTION) TO JUNE 30, 1997
1997
Variance
favorable
Budget Actual (unfavorable)
OPERATING REVENUES:
Rental income $ 2,180,000 $ 120,000 $ (2,060,000)
OPERATING EXPENSES:
Personnel services
Professional services
Depreciation
General and administration
Operating income (loss)
- 6,529 (6,529)
65,079 102,097 (37,018)
- 102,506 (102,506)
1,125,967 - 1,125,967
1,191,046 211,132 979,914
988,954 (91,132) (1,080,086)
OTHER INCOME (EXPENSES):
Proceeds from issuance of long -term debt
Interest income
Interest expense
Gain (loss) on disposal of hospital operations,
net of proceeds of $2,000,000
Income (loss) before operating transfers
OTHER FINANCING SOURCES (USES):
Operating transfers in from
component units
Operating transfers out to other funds
Capital projects - hospital
Net other financing sources (uses)
Net income
Retained earnings at beginning of year
545,860 - (545,860)
1,000 7,821 6,821
(269,504) (249,991) 19,513
233,690 (74,971) (308,661)
1,500,000 (408,273) (1,908,273)
726,797 726,797
(1,500,000) (1,500,000) -
(1,500,000) (773,203) 726,797
$ - (1,181,476) $ (1,181,476)
Retained earnings at end of year $ (1,181,476)
90
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I ,
I I KODIAK ISLAND BOROUGH
HOSPITAL FACILITIES FUND
STATEMENT OF CASH FLOWS
PERIOD FROM APRIL 21, 1997 (INCEPTION) TO JUNE 30, 1997
EXHIBIT E -15
1997
OPERATING LOSS $ (91,132)
ADJUSTMENTS TO RECONCILE OPERATING LOSS TO NET CASH
USED FOR OPERATING ACTIVITIES:
Depreciation 102,506
Changes in assets and liabilities:
Due from other funds (660,000)
Accounts payable 100,619
Due to other funds 1,500,000
Total adjustments 1,043,125
Net cash used for operating activities 951,993
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:
Cash transferred from hospital component unit
203,692
Equity transfers -out to capital projects funds
(1,405,646)
Operating transfer -out to capital projects funds
(1,500,000)
Operating transfers -in from hospital component unit
726,797
Net cash used for noncapital financing activities (1,975,157)
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:
Acquisition and construction of capital assets
(2,377,778)
Interest paid on note payable and capital leases
(249,991)
Proceeds from issuance of note payable
4,471,910
Proceeds from disposal of component unit hospital operation
2,000,000
Principal payments on note payable
(462,648)
Principal payments on capital lease obligations
(52,616)
Net cash provided by capital and related
financing activities 3,328,877
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest and dividends paid on investments 7,821
Purchase of investments (476,928)
Additions to restricted cash (1,793,390)
Net cash used for investing activities (2,262,497)
Net change in cash and cash equivalents 43,216
CASH AND CASH EQUIVALENTS, at beginning of year -
AI CASH AND CASH EQUIVALENTS, at end of year
$ 43,216
, , 91
KODIAK ISLAND BOROUGH
911 SERVICES FUND
BALANCE SHEET
AS OF JUNE 30, 1997
EXHIBIT E -16
ASSETS 1997
ASSETS:
Equity in central treasury $ 82,942
Customer receivables 10,650
Total assets $ 93,592
FUND EQUITY
FUND EQUITY:
Retained earnings, unreserved $ 93,592
TOTAL $ 93,592
92
KODIAK ISLAND BOROUGH
911 SERVICES FUND
STATEMENT OF REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997
EXHIBIT E -17
OPERATING REVENUES:
Customer charges
1997
Variance -
Favorable
Budget Actual (Unfavorable)
70,000 93,592 23,592
OPERATING EXPENSES:
Telephone services
Operating income
Net income
Increase (decrease) in retained earnings
Retained earnings at beginning of year
Retained earnings at end of year
70,000 - 70,000
70,000 - 70,000
- 93,592 93,592
$ - 93,592 $ 93,592
93,592
$ 93,592
93
KODIAK ISLAND_ B OROUGH EXHIBIT E -18
911 SERVICES FUND
STATEMENT OF CASH FLOWS
YEAR ENDED JUNE 30, 1997
1997
OPERATING INCOME $ 93,592
ADJUSTMENTS TO RECONCILE OPERATING INCOME TO NET CASH
PROVIDED BY OPERATING ACTIVITIES:
Changes in assets and liabilities:
Customer receivables (10,650)
Total adjustments (10,650)
Net cash provided by operating activities 82,942
Net change in cash and cash equivalents 82,942
CASH AND CASH EQUIVALENTS, at beginning of year -
CASH AND CASH EQUIVALENTS, at end of year $ 82,942
Cash and cash equivalents consist of equity in central treasury including those under the caption
"restricted assets" on the balance sheet.
94
INTERNAL SERVICE FUNDS
Internal Service Funds are used to account for the funding
of goods or services provided between departments of the govern-
mental unit or to other governments or non - profit agencies on a
cost - reimbursement basis.
KODIAK ISLAND BORO EXIHBIT F -1
MANAGEMENT INFORMATION SYSTEM FUND
BALANCE SHEETS
AS OF JUNE 30, 1997 AND 1996
1997 1996
ASSETS
CURRENT ASSETS:
Equity in central treasury
Account receivables, net
Prepaid expenses
Total current assets
FIXED ASSETS:
Machinery and equipment
Less accumulated depreciation
Net fixed assets
TOTAL
LIABILITIES AND FUND EQUITY
CURRENT LIABILITIES:
Accounts payable
Accrued liabilities
Total current liabilities
FUND EQUITY:
Contribution in aid of construction
Retained deficit
Total fund equity
TOTAL
$ 81,106 $ 136,925
17,725
25,272 33,696
124,103 170,621
912,329 807,313
(504,746) (430,994)
407,583 376,319
$ 531,686 $ 546,940
$ 1,286 $ 6,281
36,460 42,618
37,746 48,899
617,382 617,382
(123,442) (119,341)
493,940 498,041
$ 531,686 $ 546,940
95
KODIAK ISLAND BOROUGH
EXHIBIT F -2
MANAGEMENT INFORMATION SYSTEM FUND
STATEMENT OF REVENUES, EXPENSES, TRANSFERS AND
CHANGES IN RETAINED EARNINGS
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 1997 (with comparative totals for 1996)
OPERATING REVENUES:
Charges for services:
General Fund
Day Care Assistance Fund
Municipal Solid Waste Collection
and Disposal Fund
Land Sale Fund
Kodiak Island Hospital and Care Center
Sale of copies
OPERATING EXPENSES:
Personnel services
Repairs and maintenance
Depreciation
Supplies
General and administration
Net loss
RETAINED DEFICIT, at beginning of year
RETAINED DEFICIT, at end of year
1997
Variance -
Favorable 1996
Budget Actual (Unfavorable) Actual
$ 445,860 $ 467,377 $ 21,517 $ 579,904
1,750 1,800 50 2,010
3,280
2,964
(316)
5,439
7,660
3,303
(4,357)
8,968
108,000
91,156
(16,844)
55,000
41,700
27,491
(14,209)
29,735
608,250
594,091
(14,159)
681,056
431,520
404,896
26,624
441,589
26,998
28,423
(1,425)
33,092
61,390
73,752
(12,362)
155,869
30,984
32,958
(1,974)
29,372
57,358
58,163
(805)
52,631
608,250
598,192
10,058
712,553
$ -
(4,101)
$ (4,101)
(31,497)
(119,341) (87,844)
$ (123,442) $ (119,341)
96
1,
KOD IAK ISLAND BOROUGH EXHIBIT F -3
MANAGEMENT INFORMATION SYSTEMS FUND
STATEMENTS OF CASH FLOWS
YEARS ENDED JUNE 30, 1997 AND 1996
1997 1996
OPERATING LOSS
ADJUSTMENTS TO RECONCILE OPERATING LOSS TO NET CASH
PROVIDED BY OPERATING ACTIVITIES:
Depreciation
Changes in assets and liabilities:
Accounts receivables, net
Prepaid expenses
Accounts payable
Accrued liabilities
Total adjustments
Net cash provided by operating activities
CASH FLOWS FROM INVESTING ACTIVITIES:
Acquisition and construction of capital assets
Net change in cash and cash equivalents
CASH AND CASH EQUIVALENTS, at beginning of year
CASH AND CASH EQUIVALENTS, at end of year
$ (4,101) $ (31,497)
73,752
155,869
(17,725)
-
8,424
(33,696)
(4,995)
(1,903)
(6,158)
10,708
53,298
130,978
49,197
99,481
(105,016)
(87,729)
(55,819)
11,752
136,925
125,173
$ 81,106 $
136,925
Cash and cash equivalents consist of equity in central treasury including those under the caption, "restricted assets ",
on the balance sheet.
97
II
1
0
' AGENCY FUNDS
Agency Funds are used to account for resources received and
held by the Borough in a fiduciary capacity for individuals, private
organizations, other governments and for other funds.
1
1
Pj
0
KODIAK ISLAND BOROUGH EXHIBIT G -1
DEFERRED COMPENSATION PLAN
COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
YEAR ENDED JUNE 30, 1997
Balance at
July 1, 1996
ASSETS
Balance at
Deductions June 30, 1997
Investments (at market value) $ 1,515,239 $ - $ 1,515,239 $ -
LIABILITIES
Due to participants
$ 1,515,239 $ - $ 1,515,239 $ -
Additions
99
l_
1
1
i
GENERAL FIXED ASSETS ACCOUNT GROUP
1
' The General Fixed Assets Account Group is a self - balancing
account group which is used to account for the fixed assets of the
' Borough other than those recorded in the Enterprise Funds.
1
1
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KODIAK ISLAND BOROUGH EXHIBIT H -1
GENERAL FIXED ASSETS ACCOUNT GROUP
SCHEDULE OF FIXED ASSETS BY SOURCE
AS OF JUNE 30, 1997
1997
GENERAL FIXED ASSETS:
Land S 5,397,389
Buildings 88,300,021
Improvements other than buildings 846,690
Machinery and equipment 1,423,068
Construction work -in- progress 24,668,482
TOTAL S 120,635,650
INVESTMENT IN GENERAL FIXED ASSETS:
Capital Projects Funds:
General obligation bonds
S 77,468,662
Federal grants
4,316,206
State grants
17,504,058
General Fund revenues
8,111,544
Special Revenue Fund revenues
4,137,121
Contributions from State of Alaska
3,786,861
Contributions from Federal Government
1,259,300
Contributions from others
4,051,898
TOTAL
S 120,635,650
101
KODIAK ISLAND BOROUGH
EXHIBIT H -2 I
GENERAL FIXED ASSETS ACCOUNT GROUP
SCHEDULE OF GENERAL FIXED ASSETS
BY FUNCTION AND ACTIVITY
AS OF JUNE 30, 1997
Staff agencies:
Borough mayor
Borough clerk
Finance department
Assessing department
Community development department
Borough engineering and
facilities department
Land sales
General administration
Mental Health Center
Child Care Assistance Program
Coastal management
Total staff agencies
Public safety:
Emergency preparedness
Fire Protection Area No. 1
Womens Bay Service Area
Woodland Acres Street Light
Service Area
Total public safety
Schools
Teacher housing
General government buildings
Building sites
Playgrounds
Other
Undeveloped land
Construction work -in- progress
Total general fixed assets
102 1
Improvements
Machinery
Other Than
and
Total
Land
Buildings
Buildings
Equipment
$ 23,189
$ -
$ -
$ -
$ 23,189
38,646
-
-
-
38,646
114,860
-
-
-
114,860
62,000
-
-
-
62,000
125,753
-
-
-
125,753
82,075
-
-
-
82,075
19,272
-
-
-
19,272
127,715
-
-
-
127,715
157,625
-
-
-
157,625
1,240
1,123
-
-
-
-
-
-
1,240
1,123
753,498
-
-
-
753,498
227,598
-
100,000
-
127,598
1,123,080
241,136
614,520
-
267,424
639,415
425,655
-
213,760
,
3,014
3,014
-
1,993,107
241,136
1,140,175
3,014
608,782
81,240,673
-
81,240,673
-
-
125,715
-
125,715
-
-
4,825,783
-
4,793,458
1,537
30,788
404,402
404,402
-
710,239
-
-
710,239
i
1,161,900
-
1,000,000
131,900
30,000
88,468,712
404,402
87,159,846
843,676
60,788
4,751,851
4,751,851
-
-
-
95,967,168
5,397,389
88,300,021
846,690
1,423,068
24,668,482
-
24,324,585
-
343,897
$120,635,650
$ 5,397,389
$112,624,606
$ 846,690
$ 1,766,965
102 1
I I
KODIAK ISLAND BOROUGH
GENERAL FIXED ASSETS ACCOUNT GROUP
SCHEDULE OF CHANGES IN GENERAL FIXED ASSETS
BY FUNCTION AND ACTIVITY
FOR THE YEAR ENDED JUNE 30, 1997
EXHIBIT H -3
General Fixed General Fixed
Assets at Assets at
July 1, 1996 Additions Deletions June 30, 1997
Staff agencies:
Borough mayor $ 23,189 $ - $ - $ 23,189
Borough clerk
Finance department
Assessing department
Community development department
Borough engineering and
facilities department
Data processing
Land sales
General administration
Mental Health Center
Child Care Assistance Program
Coastal management
Total staff agencies
Public safety:
Emergency preparedness
Fire Protection Area No. 1
Womens Bay Fire District
Woodland Acres Street Light
Service Area
Total public safety
Schools
Teacher housing
General government buildings
Building sites
Playgrounds
Other
I Undeveloped land
Construction work -in- progress
Total general fixed assets
38,646
- -
38,646
106,260
8,600 -
114,860
54,056
7,944 -
62,000
121,100
4,653 -
125,753
80,725
1,350 -
82,075
19,272
- -
19,272
127,715
- -
127,715
157,117
508 -
157,625
1,240
- -
1,240
1,123
- -
1,123
730,443
23,055 -
753,498
226,303
1,295 -
227,598
962,644
160,436 -
1,123,080
638,411
1,004 -
639,415
3,014
- -
3,014
1,830,372
162,735 -
1,993,107
68,388,724
12,851,949 -
81,240,673
125,715
- -
125,715
4,432,356
393,427 -
4,825,783
404,402
- -
404,402
710,239
- -
710,239
1,161,900
- -
1,161,900
75,223,336
13,245,376 -
88,468,712
4,751,851
- -
4,751,851
82,536,002
13,431,166 -
95,967,168
26,326,595
11,732,032 13,390,145
24,668,482
$ 108,862,597
$ 25,163,198 $ 13,390,145
$ 120,635,650
103
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GENERAL LONG -TERM DEBT ACCOUNT GROUP
The General Long Term Debt Account Group is a self -
balancing account group which is used to account for unmatured
general long -term debt and other obligations backed by the full faith
and credit of the Borough except those long -term obligations which
are required to be accounted for in the proprietary fund types and
trust funds.
KODIAK ISLAND BOROUGH
GENERAL LONG TERM DEBT ACCOUNT GROUP
SCHEDULES OF LONG -TERM DEBT
AS OF JUNE 30, 1997 AND 1996
EXHIBIT I -1
AMOUNT AVAILABLE AND TO BE PROVIDED FOR
THE PAYMENT OF GENERAL LONG -TERM DEBT:
Amount available in Debt Service Fund:
General obligation bonds
Accrued annual leave
Amount to be provided:
General obligation bonds
Environmental Protection Agency loan
TOTAL
GENERAL OBLIGATION BONDS:
1989 refunding
1993 bonds
1994 bonds
OTHER LONG -TERM DEBT:
Environmental protection agency loan
Accrued annual leave
TOTAL
1997 1996
$ 549,569 $ • 1,759,644
260,319 258,322
809,888 2,017,966
21,100,891 21,445,356
156,248 177,081
21,257,139 21,622,437
$ 22,067,027 $ 23,640,403
$ 4,195,000
$ 5,085,000
7,480,000
8,135,000
9,985,000
9,985,000
21,660,000
23,205,000
156,248
177,081
250,779
258,322
407,027
435,403
$ 22,067,027
$ 23,640,403
105
ADDITIONAL INFORMATION
BONDED INDEBTEDNESS
The following schedules reflect total bonded indebtedness of the
Borough by bond issue. Each issue outstanding is reflected by date,
interest rate, inclusive bond numbers, and amount of principal and
interest due. Total indebtedness is reflected on a summary page of all
debts not defeased.
KODIAK ISLAND BOROUGH
EXHIBIT J -1
KODIAK, ALASKA
SUMMARY OF BONDED DEBT SERVICE REQUIREMENTS TO MATURITY
AS OF JUNE 30, 1997
Annual principal and interest requirements on General Obligation Refunding and Construction Bonds.
Year
Prin cipal
Inte
To tal
1998
1,640,000
1,139,284
2,779,284
1999
1,745,000
1,035,416
2,780,416
2000
1,840,000
934,398
2,774,398
2001
1,945,000
825,663
2,770,663
2002
825,000
752,058
1,577,058
2003
860,000
716,170
1,576,170
2004
900,000
678,330
1,578,330
2005
940,000
637,380
1,577,380
2006
980,000
592,730
1,572,730
2007
1,030,000
544,710
1,574,710
2008
1,085,000
489,090
1,574,090
2009
1,145,000
430,500
1,575,500
2010
1,205,000
368,670
1,573,670
2011
1,270,000
303,600
1,573,600
2012
1,340,000
233,750
1,573,750
2013
1,415,000
160,050
1,575,050
2014
1,495,000
82,
1,57
S 21,660,000
S 9,924,023
S 31,58
107
KODIAK ISLAND BOROUGH EXHIBIT J -2
KODIAK, ALASKA
GENERAL OBLIGATION SCHOOL REFUNDING BONDS, SERIES 1989
RETIREMENT SCHEDULE
1989 Bond Issue
This issue, dated May I, 1989, consists of 2,000 bonds in the amount of $5,000 each, totaling $10,000,000. Bonds
numbered I through 1161 have been retired. Bonds number 1162 through 2,000 bear interest at the rate indicated
below.
Bonds are retired serially in numerical order over a period of 10 years. Retirement date is August I of each year
beginning in 1989. Bonds maturing in 1997 and after are callable beginning in 1997, and this call privilege may be
exercised.
This issue was marketed by John Nuveen & Co. of Chicago. Legal opinion was rendered by bond counsel,
Wohlforth, Argetsinger, Johnson & Brecht of Anchorage, Alaska.
Bonds were issued to refund the 1980 issue. Bonds are payable at First Trust N.A., St. Paul, Minnesota.
2001 7.00 1770 -2000 1,15 5,000 40,42 - 1,195,42
$ 4,195,00 $ 376, $ 231,35 $ 4,803,04
* Maturities on and after August 1, 1997 are callable at any interest date thereafter.
108
Bond
Principal
Interest
Interest
Fiscal
Interest
Numbers
Due
Due
Due
Year
Rate
Inclusive
August 1
August 1
February 1
To tal
1998
6.85
1162 -1350
$ 945,000
$ 145,338
$ 112,972
$ I,203,310
1999
6.90
1351 -1553
1,015,000
112,973
77,955
1,205,928
2000
6.95
1554 -1769
1,080,000
77,955
40,425
1,198,380
2001 7.00 1770 -2000 1,15 5,000 40,42 - 1,195,42
$ 4,195,00 $ 376, $ 231,35 $ 4,803,04
* Maturities on and after August 1, 1997 are callable at any interest date thereafter.
108
KODIAK ISLAND BOROUGH EXHIBIT J -3
KODIAK, ALASKA
GENERAL OBLIGATION BONDS, 1993 SERIES A
RETIREMENT SCHEDULE
1993 Bond Issue
This issue, dated November 15, 1993, was issued as registered bonds under a book entry system registered in the
name of Cede & Company, as Nominee of The Depository Trust Company, New York, New York, the securities
depository for the 1993 Bonds.
This issue was marketed by John Nuveen & Co. Legal opinion was rendered by bond council, Wohlforth,
Argetsinger, Johnson & Brecht of Anchorage, Alaska.
These bonds were issued to build the Northstar Elementary School, remodel the Ouzinkie School, and remodel and
expand the Kodiak Island Hospital.
Bonds are payable at First Trust N.A., St. Paul, Minnesota.
109
Interest
Principal
Interest
Fiscal
Interest
Due
Due
Due
Year
Rate
August 15
February 1 5
February 15
Total
1998
5.25
$ 168,132
$ (695,000 $
168,132 $
1,031,264
1999
3.90
149,889
730,000
149,889
1,029,778
2000
4.05
135,654
760,000
135,654
1,031,308
2001
4.20
120,264
790,000
120,264
1,030,528
2002
4.35
103,674
825,000
103,674
1,032,348
2003
4.40
85,730
860,000
85,730
1,031,460
2004
4.55
66,810
900,000
66,810
1,033,620
2005
4.75
46,335
940,000
46,335
1,032,670
2006
4.90
24,01
980,000
24,010
1,028,020
$ 900,4
$ 7,480,0 $
900, $
9,280,996
109
KODIAK ISLAND BOROUGH EXHIBIT J -4
KODIAK, ALASKA
GENERAL OBLIGATION BONDS, 1994 SERIES A
RETIREMENT SCHEDULE
1994 Bond Issue
This issue, dated November 15, 1993, was issued as registered bonds under a book entry system registered in the
name of Cede & Company, as Nominee of The Depository Trust Company, New York, New York, the securities
depository for the 1994 Bonds.
This issue was marketed by John Nuveen & Co. Legal opinion was rendered by bond council, Wohlforth,
Argetsinger, Johnson & Brecht of Anchorage, Alaska.
These bonds were issued to build the Northstar Elementary School, remodel the Ouzinkie School, and remodel and
expand the Kodiak Island Hospital.
Bonds are payable at First Trust N.A., St. Paul, Minnesota.
Principal Interest
Due Due
February 15 February 15 Total
$ - $ 272,355 $ 544,710
1,030,000
1,085,000
1,145,000
1,205,000
1,270,000
1,340,000
1,415,000
1, 495,000
$ 3,757,492 $ 9,985,000
272,355
544,710
Interest
Fiscal
Interest
Due
Yea
Rate
August 15
1998
272,355
$ 272,355
1999
544,710
272,355
2000
272,355
272,355
2001
1,574,090
272,355
2002
184,335
272,355
2003
1,573,600
272,355
2004
80,025
272,355
2005
1,57 7, 2 24
272,355
2006
272,355
2007
5.40
272,355
2008
5.40
244,545
2009
5.40
215,250
2010
5.40
184,335
2011
5.50
151,800
2012
5.50
116,875
2013
5.50
80,025
2014
5.50
41,
Principal Interest
Due Due
February 15 February 15 Total
$ - $ 272,355 $ 544,710
1,030,000
1,085,000
1,145,000
1,205,000
1,270,000
1,340,000
1,415,000
1, 495,000
$ 3,757,492 $ 9,985,000
272,355
544,710
272,355
544,710
272,355
544,710
272,355
544,710
272,355
544,710
272,355
544,710
272,355
544,710
272,355
544,710
272,355
1,574,710
244,545
1,574,090
215,250
1,575,500
184,335
1,573,670
151,800
1,573,600
116,875
1,573,750
80,025
1,575,050
41,
1,57 7, 2 24
$ 3,757,492
$ 17,499,984
110
KODIAK ISLAND BOROUGH EXHIBIT J -5
KODIAK, ALASKA
ASBESTOS REMOVAL LOAN PAYABLE
RETIREMENT SCHEDULE
This debt was incurred June 20, 1985 as part of a package from the U.S. Environmental Protection
Agency. This package was for $750,000. One -half ($375,000) was a grant (EPA Grant J 851002 010),
and the other half was a loan. The loan is repayable semi - annually in the amounts indicated below.
Semi - annual payments are made directly to the U.S. Environmental Protection Agency; Financial
Management Center; P.O. Box 371293M, Pittsburgh, PA 15251.
This is not general obligation debt. Legal opinion was rendered by bond counsel, Wolforth,
Argetsinger, Johnson & Brecht of Anchorage, Alaska.
* No interest is payable until a payment due is in default; then interest, penalties and fees become due.
111
Principal
Principal
Fiscal
Interest
Due
Due Interest
Year
Rate*
December 3
June 30 Due*
Total
1998
7.00
$ 10,417
$ 10,417 $ -
$ 20,834
1999
7.00
10,416
10,416 -
20,832
2000
7.00
10,417
10,417 -
20,834
2001
7.00
10,416
10,416 -
20,832
2002
7.00
10,417
10,417 -
20,834
2003
7.00
10,416
10,416 -
20,832
2004
7.00
10,417
10,417 -
20,834
2005
7.00
10,416
- -
10,
$ 83
$ 72,91 $ -
$ 156,24
* No interest is payable until a payment due is in default; then interest, penalties and fees become due.
111
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STATISTICAL SECTION
Statistical Tables provide report users with a better historical
perspective in assessing current financial status and trends of
the Borough.
KODIAK ISLAND BOROUGH
KODIAK, ALASKA
GENERAL GOVERNMENTAL EXPENDITURES
AND OTHER USES BY FUNCTION (a)
LAST TEN FISCAL YEARS
TABLE I
Other
Fiscal General
Health and
Operating
Year Government
Sanitation (b)
Education (b)
Transfers
Total
1988 $ 1,964,710
$ 545,954
$ 2,177,405
$ 890,000
$ 5,578,069
1989 2,208,351
517,112
2,128,997
768,100
5,622,560
1990 2,478,619
367,921
2,334,650
553,312
5,734,502
1991 2,791,798
621,000
2,143,633
460,325
6,016,756
1992 2,739,848
706,251
3,027,510
500,000
6,973,609
1993 2,955,824
674,032
3,374,721
137,962
7,142,539
1994 2,555,349
690,430
3,615,695
322,228
7,183,702
1995 2,681,472
1,442,644
3,861,967
164,649
8,150,732
1996 2,941,453 1,390,307 4,678,830 267,594 9,278,184
1997 2,664,204 1,393,016 5,083,942 250,000 9,391,162
(a) Includes general fund only.
(b) Includes operating transfers for this function
Source: Borough general ledger
113
KODIAK ISLAND BOROUGH TABLE 2
KODIAK, ALASKA
GENERAL REVENUES BY SOURCE (a)
LAST TEN FISCAL YEARS
Fiscal
Year
Taxes
1988
$ 2,691,065
1989
2,515,436
1990
2,640,044
1991
2,823,929
1992
4,067,934
1993
4,481,158
1994
4,674,382
1995
5,976,914
1996
5,693,539
1997
5,582,037
(a) Includes general fund only.
Source: Borough general ledger
Licenses,
Inter -
Permits
Governmental
Investment
Operating
and Fees
Revenue
Income
Transfers
Total
$ 98,059
$ 2,291,627
$ 355,802
$ 114,635
$ 5,551,188
95,748
3,449,948
354,523
56,410
6,472,065
120,145
1,316,238
540,851
68,790
4,686,068
100,868
2,255,951
456,381
173,230
5,810,359
212,936
2,450,339
367,551
81,670
7,180,430
433,825
1,991,730
289,570
-
7,196,283
457,895
2,053,750
291,046
-
7,477,073
928,079
1,633,162
659,794
-
9,197,949
285,100
2,396,704
452,196
-
8,827,539
108,483
2,396,272
371,414
9,672
8,467,878
114
KODIAK ISLAND BOROUGH TABLE 3
KODIAK, ALASKA
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
►des I 6 3 7, 567, 4 `1
1 i� O I g, 345
vess g, s l
7/ 294/ y g 9 .7
6 165 075, HS
071 ,3S
7 Sz7, IS
- 7 i I - - z I, 671,
j6,yy
115
Percent of
Percent of
Percent
Delinquent
Total Tax
Outstanding
Delinquent
Fiscal
Total
Current Tax
of Levy
Tax
Total Tax
Collections
Delinquent
Taxes to
Year
Tax Levy
Collections
Collected
Collections
Collections
to Tax Levy
Taxes
Tax Levy
1988
$ 1,926,427
$ 1,912,214
99.3
$ 54,625
$ 1,966,839
102.1
$ 25,610
1.3
1989
1,991,902
1,987,251
99.8
4,474
1,991,725
99.9
21,136
1.1
1990
2,034,500
2,017,190
99.1
12,351
2,029,541
99.8
28,640
1.4
1991
2,237,629
2,189,270
97.8
17,254
2,206,524
98.6
59,745
2.7
1992
3,736,674
3,654,535
97.8
22,178
3,676,713
98.4
92,290
2.5
1993
4,045,235
3,907,612
96.6
60,633
3,968,245
98.1
169,584
4.2
1994
4,353,371
4,176,676
95.9
21,295
4,197,971
96.4
193,624
4.4
1995
5,148,672
4,955,108
96.2
56,140
5,011,248
97.3
232,679
4.5
1996
5,471,834
5,249,401
95.9
56,531
5,089,332
93.0
289,210
5.3
1997
5,576,773 /
5,480,659
98.3
96,490
5,577,149
100.0
192,722
3.5
lqqg'
7391
7 Iz1
10
77,576
- 7 1 i99,
97s
36S3S3
`l ,9
Source:
Borodgh general
ledger
►des I 6 3 7, 567, 4 `1
1 i� O I g, 345
vess g, s l
7/ 294/ y g 9 .7
6 165 075, HS
071 ,3S
7 Sz7, IS
- 7 i I - - z I, 671,
j6,yy
115
KODIAK ISLAND BOROUGH TABLE 4
KODIAK, ALASKA
ASSESSED AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
Source: Borough assessment and tax records
Last Ten Years Assessed Values
800,000,000
6�
i
600,000,000 ryo
�8i y %y s e's
.3ys psi
400,000,000 �P�
200, 000, 000
0 1988 1989 1890 1991 1992 1993 1994 1995 1998 1997
116
Ratio of
Total
Assessed to
REAL PROPERTY
PERSONAL PROPERTY
TOTAL
Total
Fiscal
Assessed
Estimated
Assessed
Estimated
Assessed
Estimated
Estimated Actual
Year
Value
Actual Value
Value
Actual Value
Value
Actual Value
Value
1988
$ 379,969,521
$ 390,550,900
$ 48,795,064
$ 204,075,100
$ 428,764,585
$ 594,626,000
72.11
1989
378,072,396
415,666,660
58,727,868
229,477,103
436,800,264
645,143,763
67.71
1990
406,433,607
435,940,500
73,508,740
267,181,594
479,942,347
703,122,094
68.26
1991
439,710,369
457,383,400
76,594,500
280,085,100
516,304,869
737,468,500
70.01
1992
467,821,217
497,758,275
91,537,867
331,544,400
559,359,084
829,302,675
67.45
1993
499,172,455
517,754,900
92,264,018
325,842,100
591,436,473
843,597,000
70.11
1 "7S 994
515,954,650
539,053,753
98,616,145
319,052,138
614,570,795
858,105,891
71.62
1 '1� 1995
538,627,500
560,459,900
101,835,076
318,741,600
640,462,576
879,201,500
72.85
1 1 1 7 1996
549,456,964
565,281,400
104,677,687
312,465,100
654,134,651
877,746,500
74.52
1 °1 1 C' 1997
573,742,998
587,145,000
107,599,894
310,049,900
681,342,892
897,194,900
75.94
Source: Borough assessment and tax records
Last Ten Years Assessed Values
800,000,000
6�
i
600,000,000 ryo
�8i y %y s e's
.3ys psi
400,000,000 �P�
200, 000, 000
0 1988 1989 1890 1991 1992 1993 1994 1995 1998 1997
116
II
KODIAK ISLAND BOROUGH
KODIAK, ALASKA
PROPERTY TAX RATES AND
CONTRIBUTIONS TO THE SCHOOL DISTRICT
PER 100 OF ASSESSED
' ( $ VALUE)
LAST TEN FISCAL YEARS
TABLE 5
Woodland
KIB
City
Fiscal
General
of
Year
Fund
Kodiak
1988
4.51
2.00
1989
4.50
2.00
1990
4.50
2.00
1991
4.50
2.00
1992
5.50
2.00
1993
5.50
2.00
1994
5.50
2.00
1995
6.75
2.00
1996
6.75
2.00
1997
6.75
2.00
Woodland
Assessed
Amount of
Millage
Year
Value
Contribution
Acres
' IoS�Q�3� 3as
1988
$ 428,764,585 $
Street
6.20
ROAD SERVICES AREAS
423,038,700 ✓/
FIRE AREAS
Lighting
Monashka Service
Bay View
Womens
Service
Womens
Area
Bay
District 1
Road
Bay
Area No. 1
Bay
1993
591,436,473
3,723,411
0.00
2.00
0.25
1.00
0.50
1.50
0.25
0.00
2.00
0.25
1.50
1.50
1.50
0.25
0.00
1.25
0.70
1.00
1.50
1.25
1.25
0.75
2.00
1.00
1.00
2.50
1.25
1.25
0.75
2.00
1.75
1.00
2.50
1.25
1.25
0.75
2.00
1.75
1.00
2.50
1.25
1.25
0.75
2.00
1.75
1.00
2.50
1.50
1.25
0.75
1.50
1.75
1.00
2.00
1.50
1.25
0.50
1.75
1.75
1.00
2.00
1.50
1.25
0.50
1.50
1.75
1.00
2.00
1.50
1.25
Fiscal
Assessed
Amount of
Millage
Year
Value
Contribution
Equivalent
' IoS�Q�3� 3as
1988
$ 428,764,585 $
2,657,568'_
6.20
1989
423,038,700 ✓/
2,880,982
6.81
1990
452,016,912 ,/
2,869,558
6.35
1991
516,304,869
2,944,606
5.70
1992
559,359,084
3,779,444
6.76
1993
591,436,473
3,723,411
6.30
1994
614,510,795
3,795,847
6.18
1995
,- 640,462,576
3,969,399
6.20
1996
-- -654,134,651
4,773,968
7.30
1997
-- 681,342,892
5,199,877
7.63
'!,71 -1, y
Source: Borough ordinance and assessment
CONTRIBUTIONS TO THE SCHOOL DISTRICT
117
KODIAK ISLAND BOROUGH TABLE 6
KODIAK, ALASKA
TEN LARGEST PROPERTY TAXPAYERS
YEAR ENDED JUNE 30, 1997
Totals 15.2% $ 103,538,110 $ 1,057,607 19.0%
Source: Borough tax records.
118
Percentage
Percentage
of Total
1996
Net
of Total
Assessed
Assessed
Taxes
Taxes
Value
Valuation
Levied
Levied
International Seafoods
2.1%
S 14,062,209
$ 146,649
2.6%
Tyson Seafoods
2.0%
13,829,068
140,531
2.5%
Western Alaska Fisheries
1.7%
11,299,304
115,026
2.1%
Ocean Beauty Seafood
1.5%
10,263,993
110,436
2.0%
Alaska Pacific Seafoods
1.5%
10,120,028
101,961
1.8%
Sea -Land Services
1.4%
9,437,400
101,806
1.8%
T.U. of the Northland
1.5%
10,299,432
99,256
1.8%
Kodiak Fishmeal Co.
1.3%
9,091,653
89,139
1.6%
Safeway/MBPA
1.2%
8,099,123
87,720
1.6%
Leisnoi
1.0%
7,035,900
65,082
1.2%
Totals 15.2% $ 103,538,110 $ 1,057,607 19.0%
Source: Borough tax records.
118
KODIAK ISLAND BOROUGH TABLE 7
KODIAK, ALASKA
RATIO OF NET GENERAL BONDED DEBT (a)
LAST TEN FISCAL YEARS
119
Ratio
Net
of Net
Bonded
Less Debt
Bonded Debt
Debt
Fiscal
Assessed
Gross Service
Net Bonded to Assessed
Per
Year
Population
Value
Bonded Debt Fund
Debt Value
Capita
1988
14,127
$ 428,764,585
$ 22,160,000 $ 7,111,644
$ 15,048,356 3.5 $
1,065
1989
15,575
436,800,264
17,550,000 5,310,721
12,239,279 2.8
786
1990
(1)
15,558
452,016,912
15,310,000 6,683,745
8,626,255 1.9
554
1991
15,679
516,304,869
13,735,000 7,307,730
6,427,270 1.2
410
1992
15,535
559,359,084
12,195,000 6,556,480
5,638,520 1.0
363
1993
15,535
591,436,473
10,470,000 5,847,171
4,622,829 0.8
298
1994
15,245
614,570,795
27,915,000 4,133,559
23,781,441 3.9
1,560
1995
15,575
640,462,576
25,665,000 2,075,768
23,589,232 3.7
1,515
1996
15,400 '`)
654,134,651
23,205,000 1,759,644
21,445,356 3.3
1,393
1997
15,048 '`)
681,342,892
21,660,000 549,569
21,110,431 3.1
1,403
Sources:
(a)
Information
obtained from assessment records and Borough general ledger except as otherwise
noted.
(b)
1990 population is per U.S.
Bureau of Census (preliminary); others are estimates from the
Borough Community Development Department based on the "Housing
Unit Method."
(c)
Information obtained from State of Alaska, Department of Community and Regional Affairs,
Certified Population for Revenue Sharing Program.
119
KODIAK ISLAND BOROUGH
TABLES
KODIAK, ALASKA
COMPUTATION OF DIRECT AND OVERLAPPING DEBT
AS OF JUNE 30, 1997
Percentage
Kodiak Island
Net Debt
Applicable to this
Borough
Outstanding
Governmental
Share of
(a)
Unit (b)
Debt (c)
Kodiak Island Borough:
General obligation bonds
$ 21,110,431
100%
$ 21,110,431
City of Kodiak:
General obligation bonds - -
Revenue bonds 4,955,000 100% 4,955,000
Total $ 26,065,431 $ 26,065,431
(a) Gross debt outstanding Iess applicable amounts in the Debt Service Funds.
(b) Determined by ratio of assessed valuation of property subject to taxation in overlapping unit
to valuation of property subject to taxation in reporting unit.
(c) Under Alaska Statutes Title 29, there is no limitation on municipal debt.
Sources: Borough general ledger and City of Kodiak records.
120
KODIAK ISLAND BOROUGH TABLE 9
KODIAK, ALASKA
COMPUTATION OF LEGAL DEBT MARGIN
AS OF JUNE 30, 1997
Assessed value
Plus exempt property
Total
$ 681,342,892
2,420,596,952
$ 3,101,939,844
The State of Alaska does not mandate a debt limit to its municipalities and political
subdivisions. Debt capacity is ultimately determined by the voters and the marketplace.
Source: Borough assessment records.
121
KODIAK ISLAND BOROUGH TABLE 10
KODIAK, ALASKA
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES
FOR GENERAL BONDED DEBT TO TOTAL
GENERAL EXPENDITURES AND TRANSFERS
LAST TEN FISCAL YEARS
Source: Borough general ledger and debt documents
122
Total
Ratio of
General
Debt Service
Fiscal
Interest
Total Debt
Expenditures
to General
Year
Principal (a)
and Fees
Service
and Transfers
Expenditures
1988
$ 3,785,834
$ 1,695,468
$ 5,481,302
$ 5,578,069
98.3
1989
5,135,833
1,502,762
6,638,595
5,622,560
118.1
1990
2,260,833
978,583
3,239,416
5,803,292
55.8
1991
1,595,834
1,019,401
2,615,235
6,016,756
43.5
1992
1,685,833
1,008,918
2,694,751
6,973,603
38.6
1993
1,745,833
736,357
2,482,190
7,142,539
34.8
1994
1,775,833
690,170
2,466,003
7,162,545
34.4
1995
2,270,833
1,760,185
4,031,018
8,150,732
49.5
1996
2,480,833
1,386,681
3,867,514
9,278,184
41.7
1997
1,565,833
1,239,996
2,805,829
9,391,162
29.9
(a) Serial maturities in the case of serial bonds; annual Debt Service Fund requirements in the case of term bonds.
Source: Borough general ledger and debt documents
122
KODIAK ISLAND BOROUGH TABLE 11
KODIAK, ALASKA
DEMOGRAPHIC STATISTICS
LAST TEN FISCAL YEARS
123
Fiscal
School
Unemployment
Year Population (a)
Enrollment (b)
Rate (c)
1988 14,127
2,531
6.2
1989 15,575
2,304
6.2
1990 15,558
2,328
5.6
1991 15,679
2,398
8.2
1992 15,535
2,614
5.1
1993 15,535
2,632
6.0
1994 15,245
2,802
9.4
1995 15,575
2,773
11.2
1996 15,400
2,804
13.7
1997 15,048
2,832
7.7
Sources:
(a)
1990 per U.S. Bureau of Census; other years
per Borough Community Development
Department,
except 1992 and 1993.1996 data per State of Alaska, DCRA certified population.
(b)
Kodiak Island Borough School District.
(c)
Department of Labor, Anchorage.
123
KODIAK ISLAND BOROUGH
KODIAK, ALASKA
SALARIES AND SURETY BONDS OF PRINCIPAL OFFICIALS
YEAR ENDED JUNE 30, 1997
TABLE 12
Amount of
Annual
Surety
Name of Official
Title
Salary
Bond (1)
Jerome Selby
Mayor
$ 76,367
(2)
See page vi of introductory section
Assembly members
2,400
(2)
Contracted
Attorney
-
Karleton Short
Finance Director /Treasurer
83,553
$ 1,000,000
Earl Smith
Fire Chief, Service Area One
77,587
-
Perry Page
Data Processing Manager
75,695
-
Donna Smith
Borough Clerk
62,126
-
Linda Freed
Community Development Director
87,783
-
Jennifer Dannewitz
Cashier
30,359
50,000
Patrick Carlson
Assessor/ Appraiser
73,879
-
Martin White
Director of Mental Health Center
75,695
-
Steve Hobgood
Engineering and Facilities Coordinator
70,290
-
Cheryl Bolger
General Accountant
56,284
Kelh Veech
Revenue Accountant
52,265
-
(1) The Kodiak Island Borough Assembly elected by ordinance in 1984 to decrease the amount of bond
payments and to self - insure except for the treasurer and cashier. These positions are bonded at
$1,000,000 and $50,000, respectively.
(2) Also covered by elected officials' errors and omission policy of $1,000,000.
Source: Borough personnel records.
124
KODIAK ISLAND BOROUGH TABLE 13
KODIAK, ALASKA
PROPERTY VALUE, CONSTRUCTION AND BANK DEPOSITS
LAST TEN FISCAL YEARS
*Estimated actual value of real property.
Source: Borough assessing records, City of Kodiak building department and local bankers.
125
CONSTRUCTION
PROPERTY VALUE*
Commercial
Residential
Deposits
Fiscal
No. of
No. of
in Local
Year
Permits
Value
Permits
Value
Banks
Commercial
Residential
Nontaxable
1988
42
$ 549,382
91 $
4,314,003
$ 72,068,409
$ 123,053,031
$ 255,417,891
$ 1,159,131,464
1989
22
1,174,346
131
6,421,773
93,830,000
128,202,254
266,409,021
1,177,364,559
1990
18
1,709,715
104
8,109,662
90,221,433
115,477,806
314,539,889
1,993,871,408
1991
69
3,692,371
152
5,706,524
90,392,243
130,469,150
323,060,260
2,002,661,025
1992
48
3,748,125
163
9,201,613
103,679,201
134,637,371
333,203,846
2,027,200,278
1993
55
3,359,264
143
6,218,434
94,838,546
148,714,050
350,458,405
2,271,468,957
1994
45
2,947,984
146
5,037,061
98,970,444
148,156,300
367,798,350
2,354,550,201
1995
59
6,055,321
159
4,305,352
103,838,289
155,755,000
382,872,500
2,404,513,974
1996
41
3,862,599
160
7,864,907
108,116,331
157,911,064
391,545,900
2,404,872,414
1997
36
1,559,938
112
6,262,439
108,926,259
161,787,264
411,955,734
2,420,596,952
*Estimated actual value of real property.
Source: Borough assessing records, City of Kodiak building department and local bankers.
125
KODIAK ISLAND BOROUGH
KODIAK, ALASKA
MISCELLANEOUS STATISTICAL DATA
LAST TEN FISCAL YEARS
TABLE 14
Date of incorporation - September 30, 1963, Second Class Borough by Chapter 146 Sessions,
Laws of Alaska 1961, as amended, Form of Government - Mayor/ Assembly.
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
Land area - square miles 4,900
7130 (a)
7,130
7,130
7,130
7,130
7,130
7,130
7,130
7130
Miles of improved street 21.5
213
21.5
215
21.5
2L5
21.6
21.6
21 6
247
Miles of sanitary sewers 16.0
160
16.0
16.0
16.0
16.7
16.8
17
17
0 (d)
Number of water taps 707
748
748
748
873
877
913
921
921
0 (d)
Number of sanitary sewer taps 666
727
727
727
851
858
891
899
899
0 (d)
Building permits:
Permits issued 133
153
122
221
211
108
191
218
201
148
Value of buildings (thousands) S 4,863.4 S
7,596.1 S
9,819.3 S
9,398.9
S 12,950.0
$ 9,577.7 f
4,740.0
S 10,360.0
S 11,727.5
57,822.40
Fire protection:
Number of fire stations 2
2
2
2
2
2
2
2
2
2
Number of employees 1
I
I
1
I
I
I
I
I
1
Police protection - none
Recreation:
�.+ Parks - number of acres 223
223
223
223
223
223
223
223
224
224
N Facilities.
Number of playgrounds IS
15
15
15
15
15
I5
15
16
16
Number of swimming pools I
I
I
I
I
I
I
I
I
1
Education:
Number of schools:
City of Kodiak Elementary 3
3
3
3
3
3
3
3
4
4
City of Kodiak Junior High I
I
I
I
I
I
I
I
I
I
City of Kodiak High School I
I
I
I
I
I
I
I
I
I
Village Schools (b) 7
8
8
9
9
9
9
9
9
9
Number of support personnel (c) 167
172
165
175
166
171
180
I80
104 (e)
101
Number of teachers 169
167
167
167
164
172
191
195
199
199
Number of students 2,351
2,304
2,328
2,398
2,614
2,632
2,802
2,773
2,804
2832
Number of municipal employees 57
66
70
75
72
67
64
65
63
63
Elections:
Number of registered voters 5,427
6,150
6,352
6,707
6,263
6,654
7,061
7,382
8,217
9350
Number voting in last election 2,507
1,459
2,327
1,959
1,986
2,328
2,634
2,113
1,471
2120
Percent of registered voters 462%
23.7%
37.0%
29.0%
31.8%
35.0%
37.0%
29.01%
29.0%
22.7
(a) By annexation, effective March 4, 1989 the Borough has grown an additional 12,830 square miles
(d) As of July 1, 1996 the City of Kodiak assumed ownership, maintenance, and
operation of the existing
Total Borough is now 22,395 square miles with a land mass of 7,130 square miles
(see map on page
ix.)
water and sewer utilities in Service District
(b) The majority of Village Schools are grades K -12.
(e) In FY 96 this was changed to full time equivalents.
(c) All non - teaching employees.
Source: Borough records.
M M M M® r ® M i M M r M i M M M M M