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HomeMy WebLinkAbout20081837.tiff �. 'cvgr."•nr'7r?+en"+�,.. .,1-,,,R Bern�m,... ...�,;rntp,7'""ent'"�.•.• i 1 a t: F '1 1,.,' ' • i 1 o r COMPREHENSIVE ANNt_JA I J ' .•rYs A*Z,-" •.)1 t '' r y''� L '''' ' M•,, •9�.,.t .4 _✓-. '4A.4'1 .r � , '' :at h a, ilk ` 1 � E-tipe1�1 • . :4.•iYi .fi . ` ty. t�pp`�' "' •� R • ' t.. F . 4''. ,+.r .. 4 tI j�7,'y • r ,. , ., • ,,E.t t...,1,,, '� ,. Y+' well i P 41 F ids •4 ,4{.: :, . .t 7 d' • • i+•• '.,4 may+ 1 Vf.• (, A I . + ` a, •.r`r r •. '. ,•t •. . • . .•r _ ib +a.. V,rprig* .•. ' r . �'K jt•Y..4F' t.. '..1 •1), I . .` • f. •4(4.•?III � rr� l .t� ,':s A X., o . ale y t. • �.t� , �� • ir r •,..,:r •' a . . iii 4 { 4 L . .,� ...../4i I,,'• ,. ,�� ' • •4•'• `. .-.a rr4. .t.•.`y� }l - 'I� • . ,Iv. `f ' � .ii •,r I •'• 4 „A 1t. .• ,�•,tl �." 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Y '� q . t.., t*�. r r I.'lli •rOF '1 .O, ,. . ` .-i, .! ,.... 4,., ,,,•,„i - - . ....,..-4.. ii`.§ () ' 4 V r ,'' 'V' 17 i''• L-I - grA ., .ioF col., 'i 1 i • S, ei ice,.�' i .d.� ,, ` .1 4 / •+[ ....,.. p uhf: ty rtC'QGta feciit WF�YC COLORADO TABLE OF CONTENTS INTRODUCTORY SECTION Table of Contents i Letter of Transmittal 1 Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting 9 Organization Chart 10 Principal County Officials 11 FINANCIAL SECTION Independent Auditors' Report 13 Management's Discussion and Analysis 15 Basic Financial Statements Government-Wide Financial Statements: Statement of Net Assets 25 Statement of Activities 26 Governmental Fund Financial Statements: Balance Sheet 28 Reconciliation of Total Governmental Fund Balances to the Statement of Net Assets 30 Statement of Revenues, Expenditures and Changes in Fund Balance 32 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities 34 Proprietary Fund Financial Statements: Statement of Net Assets- Proprietary Funds 35 Statement of Revenues, Expenses and Changes in Net Assets- Proprietary Funds 36 Statement of Cash Flows- Proprietary Funds 37 Fiduciary Fund Financial Statements: Statement of Fiduciary Net Assets 38 Statement of Changes in Fiduciary Net Assets 39 Notes to the Financial Statements 40 Required Supplementary Information Pension Trust 69 Modified Approach for Infrastructure Assets 70 i Required Supplementary Information Other Than MD&A: Schedules of Revenues,Expenditures and Changes in Fund Balances-Actual and Budget Major Funds: General Fund 71 Public Works Fund 76 Social Services Fund 78 Human Services Fund 80 Supplemental Information: Combining Statement of Non-major Governmental Funds: Explanation of Funds 83 Combining Balance Sheet 88 Combining Statement of Revenues, Expenditures and Changes in Fund Balance 90 Schedules of Revenues,Expenditures and Changes in Fund Balances-Actual and Budget Non-major Governmental Funds: Special Revenue Funds: Capital Expenditures Fund 92 Conservation Trust Fund 93 Contingent Fund 94 Emergency Fund 95 Public Health Fund 96 Solid Waste Fund 97 Bebee Draw Fund 98 Component Units: Housing Authority 99 E-911 Authority Fund 100 Local Highway Finance Report 102 Combining Statements of Internal Service Funds: Combining Statement of Net Assets- Internal Service Funds 104 Combining Statement of Revenues, Expenses and Changes in Net Assets- Internal Service Funds 106 Combining Statement of Cash Flows- Internal Service Funds 108 Combining Statement of Fiduciary Funds: Combining Statement of Changes in Assets and Liabilities - Fiduciary Funds 110 ii Schedule of Revenues,Expenses and Changes in Fund Equity-Actual and Budget Enterprise Fund and Internal Service Funds: Enterprise Fund: Paramedic Services 111 Internal Service Funds: Motor Vehicle Fund 112 Health Insurance Fund 113 Insurance Fund 114 Phone Service Fund 115 Weld Finance Corporation 116 STATISTICAL SECTION Net Assets by Componet 118 Changes in Net Assets 119 Fund Balances of Governmental Funds 121 Changes in Fund Balances, Governmental Funds 122 Assessed and Estimated Actual Value of Property 123 Property Tax Levies- Direct and Overlapping Governments 124 Principal Taxpayers 125 Property Tax Levies and Collections 126 Direct and Overlapping Governmental Activities Debt 127 Legal Debt Margin Information 128 Private Purpose Revenue Bonds 129 Demographic and Economic Statistics 130 Principal Employers 131 Full-time Equivalent Employees by Function/Program 132 Operating Indicators by Function/Program 133 Capital Asset by Function/Program 134 Insurance in Force 135 SINGLE AUDIT Schedule of Expenditures of Federal Awards 137 Report on Compliance and on Internal Control Over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with Governmental Auditing Standards 142 Report on Compliance with Requirements Applicable to Each Major Program and Internal Control over Compliance in Accordance with OMB Circular A-133 144 Schedule of Findings and Questioned Costs 147 Summary Schedule of Prior Audit Findings 150 Notes to Schedule of Expenditures of Federal Awards 154 iii (ice DEPARTMENT OF FINANCE AND ADMINISTRATION PHONE (970) 356-4000, EXT.4218 FAX: (970) 352-0242 wipe P.O. BOX 758 GREELEY, COLORADO 80632 COLORADO June 6, 2008 Honorable Board of Commissioners County of Weld 915 10th Street Greeley, CO 80631 Dear Board Members: The Comprehensive Annual Financial Report of the County of Weld, State of Colorado for the fiscal year ended December 31, 2007, is hereby submitted. Responsibility for both the accuracy of the data, and the completeness and fairness of the presentation, including all disclosures, rests with the County. To the best of our knowledge and belief,the enclosed data is accurate in all material respects and is reported in a manner designed to present fairly the financial position and results of operations of the various funds and account groups of the County. The assurance of the accuracy in the County financial report is a result of the County's internal controls. The controls have been developed to provide accurate information on an efficient and cost-effective basis. All disclosures necessary to enable the reader to gain an understanding of the County's financial activities have been included. With the December 31, 2007 financial statements, Weld County has elected to continue a significant change in government financial reporting. The purpose of these changes,which were developed by the Governmental Accounting Standards Board (GASB), is to provide better and more complete information to the users of governmental financial statements. In addition to changes to the basic financial statements, the statements are now accompanied by an introduction,overview,and analysis, referred to as "Management's Discussion and Analysis" (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The MD&A can be found in the Financial Section immediately following the independent auditor's report. The County provides the full range of county services contemplated by statute or charter. These include general government functions, public protection and safety, health, social services, human resource services, public improvements, road and bridge operations, planning and zoning, and general administrative services. This report includes all activities for which the Board of County Commissioners is accountable to the citizens of Weld County, financially, or by State Statute or the Weld County Home Rule Charter. All applicable funds, departments, and offices are included in these financial statements as part of the "primary government" of Weld County. In addition, there are several legally separate entities that have significant operational or financial relationships with the County. These include the 1 significant operational or financial relationships with the County. These include the Weld County Housing Authority, Weld County Retirement Plan, Beebe Draw Law Enforcement Authority, Weld County Finance Corporation, and E-911 Authority. These entities are also included in the County's financial statements. INDEPENDENT AUDIT Colorado law requires that the County's financial statements be audited by an independent certified public accountant or firm of certified public accountants licensed to practice in the State of Colorado. The county's financial statements have been audited by Bondi and Company, LLC, a Colorado licensed Certified Public Accounting firm. The goal of the independent audit was to provide reasonable assurance that the financial statements are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. The independent auditor concluded, based upon the audit,that there was a reasonable basis for issuing an unqualified opinion that the County's financial statements for the year ended December 31, 2007, are fairly presented in conformity with GAAP. The independent auditor's report is presented in the front of the financial section of this report. The independent audit of the County's financial statements was part of a broader, federally mandated"Single Audit" in accordance with provisions of the Single Audit Act of 1984, Federal Single Audit Amendment of 1996, and U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. The "Single Audit" is designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements require the independent auditor to report not only on the fair presentation of the financial statements, but also on the audited government's internal controls and compliance with legal requirements, especially as they relate to the administration of federal awards. Single audit schedules and the auditor's reports are available in the "Single Audit" section of the document. PROFILE OF WELD COUNTY Location and demographics. Weld County is located along Colorado's Front Range in the northern part of the state. Weld County covers an area of 3,999 square miles in north central Colorado. It is bordered on the north by Wyoming and Nebraska and on the south by the Denver metropolitan area. The third largest county in Colorado, Weld County has an area greater than that of Rhode Island, Delaware and the District of Columbia combined. The climate is dry and generally mild with warm summers, mild winters and a growing season of approximately 138 days. The land surface is fairly level in the east, with rolling prairies and low hills near the western border. Elevations in the county range from 4,400 to 5,000 feet. The South Platte River and its tributaries, the Cache la Poudre, Big Thompson, 2 Honorable Board of Commissioners Little Thompson, Boulder, St. Vrain, and other smaller streams, flow into Weld County from the south and west, leaving the county on the east. There are 31 incorporated towns in Weld County. The county seat and principal city, Greeley, is located in the west central part of the county and contains almost half the county's population. Generally, most of the remaining population resides within a 20 to 30 mile radius of Greeley; the northeastern part of the county is sparsely populated. Southwest Weld County is one of the fastest growing areas in the state due to its proximity to the north Denver metro area. The county's population in 2007 was approximately 226,600. COUNTY GOVERNMENT County Services. Weld County provides the full range of services contemplated by State Statute and the Weld County Home Rule Charter. Services include: • Judicial and public safety - consisting of the Sheriff, District Attorney, operation and maintenance of the detention center, and building inspection. • Health, employment, and social services. • Planning and zoning. • Construction, reconstruction and maintenance of streets, highways, and bridges. • Parks and recreation. • Property valuation, tax collection and distribution, and vehicle licensing. • General administrative services. County Operating Structure. Weld County became Colorado's first Home Rule County in 1976. The County is governed by a five-member Board of County Commissioners. Three Commissioners are elected by districts of relatively equal population and two Commissioners are elected at large. They serve staggered four-year terms and function as the County's policymaking body. Each Commissioner coordinates one of five functions of the County. The County is also served by four other elected officials: assessor, clerk and recorder, district attorney, and sheriff. Weld County also has a five-member, non-partisan, elected body that is charged to review all aspects of County government and to make periodic written reports to the public. The Commissioners appoint department heads to be responsible for the various day-to-day operations. Budgeting. The County Commissioners annually adopt budgets by department for all governmental and proprietary funds. Budgets are controlled by the major object categories of Personnel, Operating Costs, and Capital Outlay. Control is maintained by the three categories at the division/department level in the General Fund and at the fund level in all other funds. Supplemental appropriations are approved by the Board of County Commissioners as needed during the year to provide for those items that were unknown or unforeseen at the time the budget was originally adopted. 3 Honorable Board of Commissioners County Employment. Weld County government employs 1258 regular staff (those receiving standard benefits) and 205 temporary and seasonal employees. Employees receive a comprehensive compensation package, typical of municipal and county governments along the Colorado front range. Benefits include paid leave, medical and dental insurance plans, a defined benefit retirement plan, and a variety of other insurance and non-insurance benefits. MAJOR INITIATIVES For the Year. In 2007, the Board identified a number of significant program changes to enhance service delivery to the citizens of Weld County. The following is a summary of significant program changes and initiatives for 2007: Completed construction of Phase Ill of the North Jail. Recruited and trained staff to open Phase Ill of the North Jail. Increased traffic enforcement in Weld County to reduce traffic fatalities. Coped with the continued growth and development in the County. Enhanced services at the Southwest Weld County Service Center. Implemented strategic transportation system to accommodate growth in County's urbanized areas and use of the transportation impact fees. Reorganized Code Enforcement and Animal Control into one unit. Identified technology uses to improve services and cost-effectiveness of services. Enhanced public relations and communication efforts with constituents. Began updating the Weld County Comprehensive Plan. Continued implementation of e-government strategy. Continued to explore revenue and operational options to keep the Paramedic Services a viable and affordable service to the citizens. Enhanced and expanded services in the Southeast Weld Service Center. Continued implementation of CBMS system in Social Services. Contracted to construct Weld County Road 13 from Weld County Road 8 to 5th Street in Frederick. 4 Honorable Board of Commissioners Monitor West Nile Virus, but no spraying. Continued to develop plans for the County for bioterrorism and emergency preparedness. Coped with growing inmate population. Funded cost of post-employment benefit for retirees' health program. Implemented the five-year Support Healthy Marriages Grant. FACTORS AFFECTING FINANCIAL CONDITION Economic Conditions and Outlook. Prior to the credit crisis that began in late 2007 the Weld County economy was continuing its steady recovery from the 2001 recession. Since 2001 data from the Colorado Department of Labor and employment shows that Weld County's workforce has grown by 9,050 positions, or a 13% gain. In the last year alone it rose by 3,185 jobs, or a 4.2% increase. Key industries driving employment growth are service industry, energy, insurance, government, and health services.Average earning per worker totaled $34,661, a 10.6% increase over last year. However, per capita income for Weld County was only$24,687. By comparison, The Colorado per capita average was$37,946, and the U.S. average was $34,586. The poverty rate in Weld County was 10.3%, 10% for Colorado, and 12.5% for the nation in the latest data from the US Department of Commerce. Population growth in Weld County continues at a robust rate.According to the US Census Bureau's report released April 4, 2007, Weld County continues to be the second fastest growing metropolitan area in the country at 3.15% from 2000-2006. A good portion of the reason for that growth continues to be the Southwest portion of the county along Interstate 25, but another area, the Interstate 76 corridor with Hudson, Lochbuie, and Keenesburg, is emerging as the next big growth area. The Greeley area continues in its slowdown as residential housing is over built and little new construction in being started with the national credit crisis, housing slump, and potential recession. Although increased energy prices play havoc with the national economy,the energy market offers a number of positives for Weld County. The county has over 13,500 active oil and natural gas wells, as a result, Weld County has enjoyed significant growth in this area due to the increase in the demand for oil and natural gas. Even with Weld County's leadership in fossil fuel extraction we are excited to also to pursue a leadership role in the renewable energy technologies. To this end in the last year one ethanol plant has opened and another is under construction. A major wind farm is being constructed in Northeastern Weld County. Finally, in March, 2007, Vestas Wind Systems from Denmark announced that it is opening its North American headquarters and manufacturing plant in Windsor that will make wind turbine blades and employee over 400 people. The Weld County economic fortunes are still heavily tied to agriculture and manufacturing, which are vulnerable, especially with the dependence on the relative importance of a few, large employers. The county continues to attract new employers and existing employers are expanding. 5 Honorable Board of Commissioners The diversity of the local economy away from agriculture has made Weld County much more like the statewide economy and the metro-Denver area. In the last year Owens-Illinois, Great West Ethanol, and, Greenlight Energy have opened new major operations in the county. In addition to these major projects, a number of small new and existing companies are expanding in Weld County, especially in southwest Weld County. The level of capital investment in Weld County for new facilities and facility expansions bodes well as an indicator of business confidence in the region and should create an environment conducive to continued infrastructure development. For the Future. As Weld County looks to 2008 and beyond a number of challenges face the Board and staff to meet the ever changing and growing demands of the county's citizens to maintain the quality of service the citizens have grown to expect from their county government. Public safety will continues to have a significant impact on future budgets. The impact is from the growth in the county putting demands on the criminal justice system, plus the public continued demand for more law enforcement, rigorous prosecution of crimes, and more and longer incarceration of criminals committing crimes. All of this impacts the court space needs, District Attorney's Office, the Sheriffs patrol unit, and jail space needs and costs. A tough job for the commissioners is to determine how much financial support to provide to the criminal justice system in Weld County balanced against all the other demands for service in the other functional areas of the county. Growth in the county has put an ever increasing demand on county services and the county's infrastructure. The growth has increased the use of county roads and created congestion on several county roadways that need to be mitigated. Although the county has made tremendous progress the last twenty years in improving the over all condition of county roads and bridges, the growth is adding a whole set of new problems. The character of many county roads in the Greeley-Windsor area and Southwest part of the county have changed from rural roads to urbanized roads due to the traffic volume demanding a higher capacity and level of service. Even though the county has increased funding in this area and imposed a traffic impact fee in these areas, additional investments may have to be made in the future to the keep the transportation system at an acceptable level. Besides transportation and public safety the population growth and economic boom have had other impacts on the county that will continue. The tight labor market has impacted recruitment and salary levels in several of the county jobs. This adds costs to providing services. Growing demand for service is being experienced in all of the county departments besides those directly related to growth, such as Planning and Building Inspection. The growth adds stain to the services and to the finances of the county, especially with the fiscal constraints of the TABOR property tax and revenue limitations, and the Weld County Home Rule Charter 5% property tax growth limit. All this means that in 2008, and in the future the Weld County Commissioners' primary consideration in planning any new budget will be identifying available revenues to offset growing expenditures. Since a third of the county's revenues is from property tax the property tax revenue limits of TABOR and the Weld County Home Rule Charter will require a prudent approach to the levels of service that impact expenditures beyond the current budget levels. Without voters' approval growth from property tax revenues can only be realized if the assessed value increases, either through reappraisals or new construction that adds properties to the tax roll. The paradox is that all though growth adds demand for services, continued growth and economic development is essential for the long term financial viability of Weld County 6 Honorable Board of Commissioners Government and its citizens. Pension Trust Fund Operations. Weld County sponsors a defined benefit pension plan for its employees. Each year, an independent actuary engaged by the pension plan calculates the amount of the annual contribution that Weld County must make to the pension plan to ensure that the plan will be able to fully meet its obligations to retired employees on a timely basis. As a matter of policy Weld County fully funds each year's annual required contribution to the pension plan as determined by the actuary. As a result of Weld County's conservative funding policy, Weld County has succeeded as of December 31, 2007, in funding 76.0% percent of the present value of the projected benefits earned by employees. The remaining unfunded amount is being systematically funded over 30 years as part of the annual required contribution calculated by the actuary. Cash Management. Cash temporarily idle during the year was invested in time deposits ranging up to 180 days to maturity. Interest earned on investments of cash held by the County Treasurer was recorded as revenue in the General Fund, with the exception of interest attributed to the other specified funds, and the interest earned on certain deposits held for other taxing authorities. The amount of interest earned was $5,450,475 in 2007. The County's investment policy is to minimize credit and market risks while maintaining a competitive yield on its portfolio. Accordingly, deposits are either insured by federal depository insurance or collateralized. All collateral on deposits was held either by the County, its agent or a financial institution's trust department in the County's name. All investments held by the County during the year and at December 31, 2007, are classified in the category of lowest credit risk as defined by the Governmental Accounting Standards Board, except for mutual funds and investment pools which cannot be categorized. Risk Management. During 2007 Weld County continued to be a member of Colorado Counties Casualty and Property Pool. The pool offers full safety and risk management programs to minimize losses,together with 57 other Colorado counties. Effective January 1, 1992, Weld County became self-insured under a State permit for workers' compensation. AWARDS AND ACKNOWLEDGEMENTS The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the County for its Comprehensive Annual Financial Report for the fiscal year ended December 31, 2006. This was the twenty-second year that the County has received this prestigious award. In order to be awarded a Certificate of Achievement, the County published an easily readable and efficiently organized Comprehensive Annual Financial Report. This report satisfied both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current Comprehensive Annual Financial Report continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. In addition, the County also received the GFOA's Award for Distinguished Budget Presentation for its 2007 annual appropriated budget for the eighteenth consecutive year. In order to qualify for the Distinguished Budget Presentation Award, the County's budget document was judged to be 7 Honorable Board of Commissioners proficient in several categories including policy documentation,financial planning,and organization. Financial reports are valuable in that they provide a permanent historical record of a governmental agency's operation to the management and the general public. It is our belief that this is a comprehensive report of the 2007 financial transactions under our control and that the following statements present an accurate, informative record of the financial activities of the County of Weld and its financial condition at December 31, 2007. The preparation of this report could not be accomplished without the efficient and dedicated services of the entire staff of the Accounting/Finance Department. I should like to express my appreciation to all members of the department who assisted and contributed to its preparation. I would also like to thank the members of the Board of County Commissioners for their interest and support in planning and conducting financial operations of the County in a responsible and progressive manner. Respectfully submitted, atillade4 Donald D. Warden, Director Finance and Administration 8 Certificate of Achievement for Excellence in Financial Reporting Presented to County of Weld Colorado For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31, 2006 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. ceisitet, Cox telt President geffer 19041T1-' Executive Director 9 n a III N CD g l 1, . O o>$ Z L W a clt ; O Et 5 ' I ZO N a) E IX (� C N C O •O ` m C E E U N C N O ' Oco O � R `W c — .gm Z E 1° — fA W W > Q a°i U UU ap " Ep r 0 O c p i = O Y o W z a$ N — ELY N C U m5 N U /�/D O co Cl_ E oo BO w`q2 LI. F— N p U U a �CI- V — 'E W O E / / ` 5 a o C V O Z a L — O T N C O O am 2s ? w$E C « C N O N cc N w, E m E c .4 .y c `o c ° ylw I p -t c E o - U c w 2La a) c® cm 8. O C '� al' m V U paw IMF F a0 R Z o C' m _ 2 o O C = C O U `x a ,.> $ of L_ a v • F O J 1 a m E .- 0 _ N «m a° a 2 " _ o w) 6, c E 8 0 U z p oU a) m�� dNO " wLL U O 2 O . W U = d w O U E Z -c w irs c c W co py O m — c .) Ol c o m _ cC6 , nttcom w ?2 =0 °- w U z e gg_• a O - E C Ot 60 co .H C C 0 N <Jhh=-,..R-E c c a m c WI w m c L E o R C ° �� ma�a $m5a• =�d` O' R ea oU p C -EO LLd° ru a <3n-y s >a` J O C O O LE ° m p Ea_ Q v 10 COUNTY OF WELD STATE OF COLORADO PRINCIPAL COUNTY OFFICIALS December 31, 2007 Board of County Commissioners Douglas Rademacher Robert Masden Bill Garcia David Long William Jerke County Clerk and Recorder Steve Moreno County Assessor Christopher M. Woodruff County Sheriff John Cooke Director of Finance&Administration Donald D. Warden Controller Barbara Connolly Treasurer John R. Lefebvre,Jr. 11 FINANCIAL SECTION eit 44(\f‘ \h 1 COLORADO W�`P� BONDI & Co. LLC 44 INVERNESS DRIVE EAST (303)799-6826 PHONE ENGLEWOOD,COLORADO 80112 CERTIFIED PUBLIC ACCOUNTANTS (800)250-9083 TOLL-FREE MANAGEMENT CONSULTANTS www.bondico.com (303)799-6926 FAX Board of County Commissioners Weld County Greeley, Colorado Independent Auditors' Report We have audited the accompanying financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of Weld County, Colorado, as of and for the year ended December 31, 2007, which collectively comprise Weld County's basic financial statements as listed in the table of contents. These financial statements are the responsibility of Weld County's management. Our responsibility is to express opinions on these financial statements based on our audit. We did not audit the financial statements of the Weld County Housing Authority, which represents 39 percent, 37 percent, and 67 percent, respectively, of the assets, net assets and revenues of the discretely presented component units. Those financial statements were audited by other auditors whose report thereon has been furnished to us, and our opinion, insofar as it relates to the amounts included for the Weld County Housing Authority, is based on the report of the other auditors. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in 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 financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the fmancial 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 and the report of other auditors provide a reasonable basis for our opinions. In our opinion, based on our audit and the report of other auditors, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of Weld County, Colorado, as of December 31, 2007, and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. 13 ers u Affiliate Offices Worldwide Board of County Commissioners Weld County In accordance with Government Auditing Standards, we have also issued our report dated June 6, 2008 on our consideration of Weld County's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. Management's Discussion and Analysis on pages 15 through 24, the schedule of pension funding progress and employer contributions, the condition assessments of infrastructure, and the budgetary comparison schedules on pages 69 through 81 are not a required part of the basic fmancial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the required supplementary information. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise Weld County, Colorado's basic financial statements. The introductory section, combining and individual nonmajor fund financial statements, budgetary comparison information, Local Highway Finance Report, schedule of expenditures of federal awards, and statistical tables are presented for purposes of additional analysis and are not a required part of the basic financial statements. The combining and individual nonmajor fund financial statements, Local Highway Finance Report, the budgetary comparison information, and the schedule of expenditures of federal awards have been subjected to the auditing procedures applied by us and the other auditors in the audit of the basic financial statements. Such information is, in our opinion, based on our audit and the report of other auditors, fairly stated in all material respects in relation to the basic financial statements taken as a whole. The introductory section and statistical tables have not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we express no opinion on them. ` """h Et 4. u.c June 6, 2008 BONDI& Co. ac 14 MANAGEMENT'S DISCUSSION AND ANALYSIS This section of the report provides readers with a narrative overview and analysis of the financial activities of Weld County for the fiscal year ended December 31, 2007. We encourage readers to consider the information presented here in conjunction with the letter of transmittal and basic financial statements to enhance their understanding of the County's financial performance. FINANCIAL HIGHLIGHTS • Weld County's assets exceeded liabilities by$303.3 million at the end of 2007. Of this amount, $42.3 million may be used to meet the government's ongoing obligations to citizens and creditors. The remaining $261.0 million is invested in capital assets or restricted by law. • The County's General Fund balance was$8.1 million as of December 31, 2007. Of this amount, $.90 million is reserved for emergencies, advances, and encumbrances. • The 2007 General Fund balance is $3.5 million lower than in the previous year. The total fund balance is 11%of 2007 General Fund operating expenditures plus net operating transfers.The County Commissioners' goal is to keep fund balance at no less than 5%. The Board has not budgeted any expenditures from fund balance in 2008. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis is intended to serve as an introduction to the County's basic financial statements. The basic financial statements contain three components: 1)govemment-wide financial statements, 2)fund financial statements, and 3) notes to the financial statements. In addition to the basic statements, this report also contains other supplementary information including combining statements for non-major funds, a statistical section, and information regarding federal grant programs. Government-wide Financial Statements.The government-wide financial statements are designed to provide readers with a broad overview of the County's finances in a manner similar to a private sector business. The statement of net assets presents information on all of the County's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the County's financial position is improving or deteriorating. The statement of activities presents information showing how the government's net assets changed during the fiscal year.All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in the statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes). 15 Both of the government-wide financial statements distinguish functions of the County that are principally supported by taxes and intergovernmental revenues(governmental activities)from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). Weld County's governmental activities include general government, public safety, roads and bridges, auxiliary, culture and recreation, and health and human services. The County has one business type activity—operation of the paramedic services. The government-wide financial statements include not only Weld County itself (known as the primary government), but also legally separate entities which have a significant operational or financial relationship with the County. These entities, known as blended component units, include local improvement districts, Finance Corporation, Weld County Retirement Plan, and Beebe Draw Law Enforcement Authority. Discretely presented component units are Housing Authority and E- 911 Emergency. More information on the functions of these entities can be found in Note 1 to the financial statements. Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. Weld County, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements.All of the funds of Weld County can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Governmental Funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near- term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government's near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. Weld County maintains ten individual governmental funds. Information is presented separately in the governmental funds balance sheet and in the governmental funds statement of revenues, expenditures, and changes in fund balances for the General Fund, Public Works Fund, Social Services Fund, Human Services Fund, and Capital Expenditures Fund, all of which are considered to be major funds. Data from the other five funds are combined into a single, aggregated presentation. Individual fund data for each of these non-major funds is provided in the form of combining statements elsewhere in this report. The basic governmental fund financial statements can be found on pages 25 through 34 of this report. 16 Proprietary funds. Weld County maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. Weld County has one enterprise fund, the Paramedic Services Fund. Internal service funds are an accounting device used to accumulate and allocate costs internally among the County's various functions. Weld County uses internal service funds to account for its fleet maintenance, phone services,finance corporation, and self-insurance activities. Because these services predominantly benefit governmental rather than business-type functions, they have been mostly included within governmental activities in the government-wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the Paramedic Services Fund, which is considered to be a major fund of the County. The remaining proprietary funds, all of which are internal service funds, are combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for each of these non- major funds is provided in the form of combining statements elsewhere in this report. The basic proprietary fund financial statements can be found on pages 35 through 37 of this report. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not included in the government-wide financial statements because the resources of these funds are not available to support Weld County's own operations. The accounting used for fiduciary funds is much like that used for proprietary funds. The basic fiduciary fund financial statements can be found on page 38 through 39 Budgetary Comparisons.Weld County adopts an annual appropriated budget for all of its funds.A budgetary comparison statement has been provided for all major funds on pages 71 to 81 of this report. Budget to actual comparisons for each of the non-major funds are provided in other schedules elsewhere in this report. Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found on pages 40 through 68 of this report. Other information. The combining statements referred to earlier in connection with non-major governmental funds and internal service funds are presented following the notes to the financial statements and can be found on pages 88 through 98 and 104 through 116 respectively. COUNTY-WIDE FINANCIAL ANALYSIS Net Assets. As noted earlier, net assets may serve over time as a useful indicator of a government's financial position. As of December 31, 2007, assets exceeded liabilities by $303.3 million. The following table provides a summary of the County's governmental and business-type net assets for 2006 and 2007. 17 Table 1 Net Assets (in Millions) Governmental Activities Business-type Activities Total 2006 2007 2006 2007 2006 2007 Assets Current and other assets $ 148.54 $ 151.10 $2.44 $ 2.58 $ 150.98 $ 153.68 Capital assets 239.20 249.24 .85 .99 240.05 250.23 Total assets $ 387.74 $400.34 $ 3.29 $ 3.57 $ 391.03 $ 403.91 Liabilities Current and other liabilities $ 88.74 $ 96.46 $ .32 $ .39 $ 89.06 $ 96.85 Long-term liabilities 7.12 3.79 .00 .00 7.12 3.79 Total liabilities $ 95.86 $ 100.25 $ .32 $ .39 $ 96.18 $ 100.64 Net Assets Invested in capital assets, of related debt $233.63 $249.24 $ .85 $ .99 $ 234.48 $ 250.23 Restricted 9.70 10.73 .00 .00 9.7 10.73 Unrestricted 48.55 40.12 2.12 2.19 50.67 42.31 Total net assets $ 291.88 $ 300.09 $ 2.97 $ 3.18 $ 294.85 $ 303.27 A significant portion of Weld County's net assets (14.0%) represents unrestricted net assets of $42.31 million, which may be used to meet the County's ongoing obligations to citizens and creditors. Another significant portion of the County's net assets (82.5%) reflects its investment in capital assets. These assets include land, buildings, machinery, equipment and infrastructure. These capital assets are used to provide services to citizens; consequently, they are not available for future spending. Although the investment in capital assets is reported net of related debt, it should be noted that the as of December 31, 2007 Weld County has no outstanding debt. An additional$10.73 million of the County's net assets(3.5%)represents resources that are subject to external restrictions on how they may be used. Included in this category are the TABOR emergency reserve of$5.0 million and $1.75 million in reserves for insurance claims. At the end of 2007 Weld County had positive balances in all three categories of net assets, both for the government as a whole, as well as for its separate governmental and business-type activities. Changes in Net Assets. Governmental and Business-type activities increased the County's net assets by $8.43 million in 2007. The following table indicates the changes in net assets for governmental and business-type activities in 2006 and 2007. 18 Table 2 Changes in Net Assets (in Millions) Governmental Activities Business-type Activities Total 2006 2007 2006 2007 2006 2007 Revenues Program revenues: Charges for services $39.15 $37.40 $7.71 $8.53 $46.86 $45.93 Operating grants and contributions 30.05 36.50 0.09 0.12 30.14 36.62 Capital grants and contributions 0.00 4.74 .01 0.00 .01 4.74 General revenues: Property taxes 62.12 67.22 0.00 0.00 62.12 67.22 Other taxes 11.88 10.60 0.00 0.00 11.88 10.60 Other revenues 3.25 5.19 0.00 0.00 3.25 5.19 Total revenues $146.45 $161.65 $7.81 $8.65 $154.26 $170.30 Expenses General government $26.64 $35.30 $0.00 $0.00 $26.64 $35.30 Public safety 32.56 36.72 0.00 0.00 32.56 36.72 Streets and highways 37.07 34.64 0.00 0.00 37.07 34.64 Culture and recreation 1.55 1.01 0.00 0.00 1.55 1.01 Health 8 Welfare 26.18 31.02 0.00 0.00 26.18 31.02 Interest on long-term debt .32 .34 0.00 0.00 .32 .34 Economic Assist 11.75 14.40 0.00 0.00 11.75 14.40 Paramedic services 0.00 0.00 7.16 8.44 7.16 8.44 Total expenses $136.07 $153.43 $7.16 $8.44 $143.23 $161.87 Increase(decrease)in net assets 10.38 8.22 .65 .21 11.03 8.43 Net Assets 1/1/07 281.49 291.87 2.32 2.97 283.81 294.84 Net Assets 12/31/07 $291.87 $300.09 $2.97 $3.18 $294.84 $303.27 Governmental Activities. Governmental activities increased Weld County's net assets by $8.22 million in 2007. Key elements of this increase are as follows: • Total revenues were $161.65 million, up 10.4% from the prior year, primarily due to property taxes ($5.1 million) and operating grants ($6.45 million). • Expenses totaled $153.43 million. This represents a 12.76 % increase over the previous year. Increases occurred in most categories due to normal wage and inflation costs, pay-off of the Certificates of Participation ($5.5 million), road projects and costs of providing an increased volume of services to a growing citizen base. Business-Type Activities. The County's only business-type activity, Paramedic Services, increased net assets in 2007 by $0.21 million. 19 FINANCIAL ANALYSIS OF THE COUNTY'S FUNDS As noted earlier, Weld County uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental Funds Overview. The focus of County governmental funds is to provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the County's financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. As of the end of 2007, the combined ending fund balances of County governmental funds was $47.10 million. Approximately 72%of this consists of unreserved fund balance, which is available as working capital and for current spending in accordance with the purposes of the specific funds. The remainder of fund balance is reserved to indicate that it is not available for new spending because it is committed for the following purposes: 1) encumbrances ($6.12 million); 2) a state- constitution mandated emergency reserve($5.0 million); 3)an advance to the Paramedic Services ($585,000); and 4) prepaid expenses and inventory ($1.49 million). The County has five major governmental funds. These are 1)General Fund; 2) Public Works Fund; 3) Social Services Fund; 4) Human Services Fund; 5) the Capital Expenditure Fund. 1. General Fund. This is the primary operating fund of the Weld County Government. It accounts for many of the County's core services, such as law enforcement, planning, and elections. The general fund balance was $8.09 million as of December 31, 2007. Of this amount, $585,000 is reserved for advances. The 2007 fund balance is $3.5 million lower than the previous year due dues to normal wage and inflation costs, pay off of the Certificates of Participation (($5.5 million), road projects and the increased costs of providing services as a result of the County's growing population. As a measure of the general fund's liquidity, it may be useful to compare both unreserved fund balance and total fund balance to total fund expenditures. Unreserved fund balance represents 9.2%of total 2007 expenditures, while total fund balance is 10.8% of the same amount. 2. Public Works Fund. The Public Works Fund is also state mandated. The fund records costs related to County road and bridge construction and maintenance. The Public Works Fund had $21.5 million in fund balance at the end of 2007. This amount was $2.1 million more than the previous year. 2007 expenditures for road projects were less than budgeted due to delaying the start of the Weld County Road 13 project, and revenues from highway user taxes and specific ownership taxes were higher than anticipated. 3. Social Services Fund. The Social Services Fund is mandated by State Statute. This fund accounts for the local share of many Federal and State public welfare programs. The fund carried a $2.3 million balance at the end of 2007 which is 23% less than 2006. The county received higher state allocations and thus revenues for TANF and child welfare. 4. Human Services Fund. The Human Services Fund accounts for various Federal and State human services grants. Primary funding agencies are DOL, HHS, and CSA. The increase in expenditures for 2007 was primarily attributed to Headstart, Job Services, TANF, and Work Force incentive. 20 5. Capital Expenditure Fund. The Capital Expenditure Fund accounts for the construction of major capital facilities. These are the Island Grove Regional Park parking lot improvements, completion of the Southeast Weld Service Center and the office building for Information Services and elections. The$18 million jail expansion project was started in 2006 and was completed in January, 2008. The fund balance reduction was totally attributed to funding the new jail expansion and Jail Alternative projects as planned.The encumbrances at year end are for the jail expansion project and the Jail Altematives Building. Proprietary Funds Overview The County's proprietary fund statements provide the same of information found in the government- wide statements, but in more detail. The County has one enterprise-type fund,The Paramedic Services Fund. Unrestricted net assets of the fund at the end of the year amounted to$(3.2 million). The total increase in net assets for the fund was $.21 million. Other factors concerning the finances of this fund was discussed under business-type activities. Weld County has five internal service funds. Information on these funds is aggregated in the Proprietary Fund financial statements. GENERAL FUND BUDGETARY HIGHLIGHTS Comparison of Unreserved Fund Balances as of December 31, 2006 and 2007 18 16 14 12 C 10 - O 2006 8 ■2007 6 - 4 — 2 — 0 t-1• — General Fund Public Works Social Human Capital Other Govt. Services Services Projects Funds The County's budget is prepared according to Colorado statutes. The most significant budgeted fund is the General Fund. In December of 2006, the Board of County Commissioners appropriated $70.3 million for general fund expenditures and other financing uses. 21 Table 3 2006 General Fund Budget (in Millions) Original Budget Amendments Final Budget Actual Revenue and other financing sources $ 65.9 $ 3.2 $ 69.1 $ 73.1 Expenditures and other financing uses $ 70.3 $ 5.1 $ 75.4 $ 76.6 During 2007 mid-year budget amendments included: • $2.2 million in transfers and fund balance for jail expansion project • $1.0 million transferred to Emergency Reserve Fund to meet TABOR requirement • $0.5million carry over re-appropriation for election equipment • $0.5 million for jail overtime • $0.337 million for inmate medical costs • Reduced Public Health Department subsidy by $0.5 million • $0.537 million for Motor Pool equipment from Energy Impact Grant • $1.1 million for Upstate Colorado Economic Development grant. • Supplementals were made for all departments with vehicles for increased fuel costs. The increase was possible because of additional unanticipated revenues. Those revenues include oil and gas mineral leasing ($.5 million), interest earnings ($1.7 million), and severance tax ($.3 million). CAPITAL ASSET AND DEBT ADMINISTRATION Capital Assets. Weld County's investment in capital assets for its governmental and business type activities as of December 31, 2007 totals $250.2 million (net of accumulated depreciation). This investment includes all land, buildings, machinery, equipment, and infrastructure. The total increase in investment in capital assets for the current fiscal year was 4%. Major capital asset events during the current fiscal year including the following: • Road construction or major improvements totaling $10.8 million. • Completed Southeast Weld Building $.97 million • Completed the construction of a 375 bed jail expansion at an estimated cost of$18 million • Began construction of the Jail Alternative Building of$4.0 million • Completed the new building and Grounds Headquarters at a cost of$.76 million • Completed an additional Social Services Building parking lot $.5 million. 22 The County implemented the "depreciation method" under GASB 34 for its road and bridge infrastructure assets, except for the gravel roads, where the "modified approach"was used. The County's policy is to maintain gravel roads at a condition of fair or better. This level of condition is being maintained consistently on over 98% of miles of road. Additional information on the County's capital assets can be found in Note 6 of this report. Construction commitments are discussed in Note 12. Long-term Debt. At December 31, 2007, Weld County had no outstanding long-term debt or debt from Certificates of Participation (COP). The last COP was paid off early on August 1, 2007. The Weld County Home Rule Charter provides for a general obligation debt limit of 3%of assessed valuation. The county had a general obligation debt capacity of$126 million in 2007. The county currently has no debt subject to the limitation. No new debt was issued in 2007. Additional information on Weld County's debt can be found in Note 9. Other Matters. The following factors are expected to have a significant effect on the County's financial position or results of operations and were taken into account in developing the 2007 budget. • Complete construction of Phase III of the North Jail. • Recruit and train staff to open Phase III of the North Jail. • Increased traffic enforcement in Weld County to reduce traffic fatalities. • Cope with the continued growth and development in the County. • Began the project to remodel and open four additional courtrooms. • Reorganized Code Enforcement and Animal Control into one unit. • Identify technology uses to improve services and cost-effectiveness of services. • Enhance public relations and communication efforts with constituents. • Started updating the Weld County Comprehensive Plan. • Continued implementation of e-government strategy. • Continued to explore revenue and operational options to keep the Paramedic Services a viable and affordable service to the citizens. • Enhanced and expanded services in the Southeast Weld Service Center. • Continue implementation of CBMS system in Social Services. 23 • Contracted to construct Weld County Road 13 from Weld County Road 8 to 5th Street in Frederick. • Continued to develop plans for the County for bioterrorism and emergency preparedness. • Coped with growing inmate population. • Funded cost of post-employment benefit for retirees' health program. • Implemented the five-year Support Healthy Marriages Grant. REQUESTS FOR INFORMATION This financial report is designed to provide a general overview of Weld County's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this or for additional financial information should be addressed to the Director of Finance and Administration, 915 101h Street, Greeley, CO 80631. 24 BASIC FINANCIAL STATEMENTS tiOiciftt "IDe COLORADO COUNTY OF WELD STATE OF COLORADO Statement of Net Assets December 31, 2007 Primary Government Component Units Governmental Business-type Housing E-911 Activities Activities Total Authority Authority ASSETS Cash and cash equivalents $ 64,075,271 $ 62,975 $ 64,138,246 $ 1,234,020 $ 3,576,494 Property taxes receivable 74,928,695 - 74,928,695 - - Receivables(net of allowance for uncollectibles) 3,520,048 2,691,114 6,211,162 821,392 - Due from other governments 2,511,238 - 2,511,238 - - Internal balance 174,050 (174,050) - - - Inventories 1,799,186 - 1,799,186 - - Other assets 26,298 - 26,298 1,800 - Restricted assets: Cash and cash equivalents 4,073,022 - 4,073,022 580,164 - Capital Assets Not Depreciated 36,950,726 48,496 36,999,222 - - Capital Assets-Net of Accumulated Depreciation 212,286,597 938,949 213,225,546 14,471 647,449 Total assets 400,345,131 3,567,484 403,912,615 2,651,847 4,223,943 LIABILITIES Accounts payable and other current liabilities 12,388,377 84,561 12,472,938 92,124 31,023 Accrued liabilities 3,795,981 304,025 4,100,006 1,522 - Unearned revenue 80,030,032 - 80,030,032 9,069 - Other liabilities 130,081 - 130,081 - - Long-term liabilities: Due within one year: Compensated absences 112,669 - 112,669 9,352 - Due in more than one year: Compensated absences 2,244,574 - 2,244,574 24,672 - Net Pension Obligation 1,546,159 - 1,546,159 - - Total liabilities 100,247,873 388,586 100,636,459 136,739 31,023 NET ASSETS Invested in capital assets,net of related debt 249,237,323 987,445 250,224,768 14,471 647,449 Restricted for: Programs 3,988,022 - 3,988,022 580,164 - Emergencies 5,000,000 - 5,000,000 - - Claims(Note 7) 1,748,951 - 1,748,951 - - Unrestricted 40,122,962 2,191,453 42,314,415 1,920,473 3,545,471 Total net assets $ 300,097,258 $ 3,178,898 $ 303,276,156 $ 2,515,108 $ 4,192,920 See accompanying notes to the basic financial statements 25 COUNTY OF WELD STATE OF COLORADO Statement of Activities Year Ended December 31, 2007 Program Revenues Operating Capital Charges for Grants and Grants and Expenses Services Contributions Contributions Primary government: Governmental activities: General government $ 35,301,327 $ 10,043,033 $ 1,304,098 $ 5,507 Public safety 36,717,165 4,998,285 3,998,913 4,733,120 Streets and highways 34,637,731 3,566,774 13,213,852 - Health and welfare 31,026,419 17,504,660 4,149,621 - Culture and recreation 1,008,703 453,352 423,260 - Economic assistance 14,403,662 838,871 13,410,553 - Interest on long-term debt 335,771 - - - Total governmental activities 153,430,778 37,404,975 36,500,297 4,738,627 Business-type activities: Paramedic service 8,444,840 8.532,227 120,728 - Total primary government $ 161,875,618 $ 45,937,202 $ 36,621.025 $ 4.738,627 Component units: Housing Authority $ 2,768,595 $ 16,552 $ 3,167,816 $ - E-911 Authority 912,144 1,569,668 - - Total component units $ 3,680.739 $ 1,586,220 $ 3,167,816 $ - GENERAL REVENUES Taxes: Property taxes Specific Ownership Other Unrestricted investment earnings Total general revenues Change in net assets Net assets-beginning Net assets-ending See accompanying notes to the basic financial statements 26 Net(Expenses)Revenues and Changes in Net Assets Primary Government Component Units Governmental Business-type Housing E-911 Activities Activities Total Authority Authority $ (23,948,689) $ - $ (23,948,689) $ - $ - (22,986,847) - (22,986,847) - - (17,857,105) - (17,857,105) - - (9,372,138) - (9,372,138) - - (132,091) - (132,091) - - (154,238) - (154,238) - - (335,771) - (335,771) - - (74,786,879) - (74.786,879) - - - 208,115 208,115 - - $ (74,786,879) $ 208,115 $ (74,578,764) $ - $ - $ - $ - $ - $ 415,773 $ - - - - - 657,524 $ - $ - $ - $ 415,773 $ 657,524 67,215,993 - 67,215,993 - - 7,056,071 - 7,056,071 - - 3,546,134 - 3,546,134 - - 5.191,430 - 5,191.430 12,306 - 83,009,628 - 83,009,628 12,306 - 8,222,749 208,115 8,430,864 428,079 657,524 291.874,509 2.970,783 294,845.292 2,087,029 3,535,396 $ 300,097,258 $ 3,178.898 $ 303.276,156 $ 2.515,108 $ 4,192,920 27 COUNTY OF WELD STATE OF COLORADO Governmental Funds Balance Sheet December 31, 2007 Public Works Social Services General Fund Fund Fund ASSETS Cash and short-term investments $ 14,716,783 $ 21,071,909 $ 5,292,732 Receivables (net of allowance for uncollectibles): Current property taxes 52,263,964 7,335,311 5,759,592 Delinquent property taxes 65,896 9,496 7,986 Accounts 2,506,982 478 58,124 Special assessment - 65,205 - Due from other County funds 467,727 241,441 - Due from other governments 216,647 - 1,479,706 - Advances to other funds 585,000 - Inventories 152,759 1,269,554 - - Other assets 25,013 - Total Assets $ 71,000,771 $ 29,993,394 $ 12,598,140 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 8,260,361 $ 416,400 $ 351,053 Accrued liabilities 1,512,894 340,651 127,769 Other liabilities - - 130,081 Due to other County funds 113,057 276,632 815,914 Deferred revenue 52,601,534 7,422,767 8,824,646 Unexpended grant revenue 424,180 - - Total Liabilities 62,912,026 8,456,450 10,249,463 Fund Balances: Reserved for encumbrances 318,445 3,075,254 - Reserved for advances to other funds 585,000 - - Reserved for other assets 25,013 - - Reserved for inventories 152,759 1,269,554 - Reserved for emergency - - - Unreserved: General Fund 7,007,528 - - Special Revenue Funds - 17,192,136 2,348,677 Capital Project Fund - - - Total Fund Balances 8,088,745 21,536,944 2,348,677 Total Liabilities and Fund Balances $ 71,000,771 $ 29,993,394 $ 12,598,140 See accompanying notes to the basic financial statements 28 Capital Other Total Human Services Expenditures Governmental Governmental Fund Fund Funds Funds $ 151,581 $ 5,431,945 $ 12,523,721 $ 59,188,671 5,983,984 1,994,661 73,337,512 - 7,355 3,034 93,767 40,371 - 668,934 3,274,889 - - - 65,205 699,022 - - 1,408,190 814,885 - - 2,511,238 - - - 585,000 301,579 - - 1,723,892 400 - 885 26,298 $ 2,007,838 $ 11,423,284 $ 15,191,235 $ 142,214,662 $ 231,983 $ 2,421,240 $ 99,098 $ 11,780,135 607,151 - 222,352 2,810,817 - - - 130,081 59,766 - 212,139 1,477,508 356,328 6,007,355 2,066,121 77,278,751 84,961 - - 509,141 1,340,189 8,428,595 2,599,710 93,986,433 5,000 2,721,899 1,712 6,122,310 - - 585,000 400 - 885 26,298 - - - 1,422,313 - 5,000,000 5,000,000 - - - 7,007,528 662,249 - 7,588,928 27,791,990 - 272,790 - 272,790 667,649 2,994,689 12,591,525 48,228,229 $ 2,007,838 $ 11,423,284 $ 15,191,235 $ 142,214,662 29 COUNTY OF WELD STATE OF COLORADO Reconciliation of Total Governmental Fund Balances To Statement of Net Assets December 31, 2007 Total governmental fund balances $ 48,228,229 Amounts reported for governmental activities in the statement of activities are different because: Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds 234,872,025 Long-term liabilities, including bonds payable and compensated absences, are not due and payable in the current period and therefore are not reported in the funds Compensated absences (2,357,243) Net Pension Obligation (1,546,159) Internal service funds are used by mangement to charge the costs of insurance and other services to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets 21,357,231 Internal services used by Enterprise Fund (456,825) Net assets of governmental activities $ 300,097,258 See accompanying notes to the basic financial statements 30 COUNTY OF WELD STATE OF COLORADO Statement of Revenues, Expenditures and Changes in Fund Balance Governmental Funds Year Ended December 31, 2007 Public Works Social General Fund Fund Services Fund REVENUES: Taxes $ 46,428,111 $ 14,074,897 $ 5,616,950 Licenses and permits 1,621,396 508,335 - Intergovernmental 6,299,391 14,073,959 16,137,119 Fines and forfeitures 406,762 - - Charges for services 3,500,152 1,217,651 - Miscellaneous 7,479,167 1,250,763 - Fees 7,303,131 612,352 - Total Revenues 73,038,110 31,737,957 21,754,069 EXPENDITURES: Current: General government 32,605,930 - - Public Safety 35,328,953 - - Public Works 2,207,902 29,590,855 - Public health and welfare 1,251,550 - 22,390,375 Culture and recreation 614,644 - - Economic assistance - - - Capital outlay 712,432 - 86,675 Debt Service 335,771 - - Total Expenditures 73,057,182 29,590,855 22,477,050 Excess of Revenues Over(Under) Expenditures (19,072) 2,147,102 (722,981) Other Financing Sources (Uses): Transfers - in 81,892 - - Transfers -out 3,550,741 - - Total Other Financing Sources (Uses) (3,468,849) - - Net Changes in Fund Balance (3,487,921) 2,147,102 (722,981) Fund Balances at Beginning of Year 11,576,666 19,389,842 3,071,658 Fund Balance at End of Year $ 8,088,745 $ 21,536,944 $ 2,348,677 See accompanying notes to the basic financial statements 32 Capital Other Total Human Expenditures Governmental Governmental Services Fund Fund Funds Funds $ - $ 5,888,458 $ 2,619,215 $ 74,627,631 - - - 2,129,731 13,399,703 400,000 3,575,851 53,886,023 - 9,906 416,668 638,310 - 2,444,018 7,800,131 211,411 551,467 74,899 9,567,707 146,104 - 8,061,587 14,249,424 6,986,029 8,723,889 156,489,478 - - - 32,605,930 - - 617,003 35,945,956 - - - 31,798,757 - - 7,298,716 30,940,641 - - 396,667 1,011,311 14,449,197 - - 14,449,197 6,627 16,221,887 22,971 17,050,592 - - - 335,771 14,455,824 16,221,887 8,335,357 164,138,155 (206,400) (9,235,858) 388,532 (7,648,677) 12,351 500,000 3,745,767 4,340,010 - - 789,269 4,340,010 12,351 500,000 2,956,498 - (194,049) (8,735,858) 3,345,030 (7,648,677) 861,698 11,730,547 9,246,495 55,876,906 $ 667,649 $ 2,994,689 $ 12,591,525 $ 48,228,229 33 COUNTY OF WELD STATE OF COLORADO Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities Year Ended December 31, 2007 Net changes in fund balances-total governmental funds $ (7,648,677) Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures. However, in the statement of activities the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital outlays exceeded depreciation in the current period. Capital asset additions 32,576,275 Depreciation expense (18,194,594) Excess of depreciation over capital outlay 14,381,681 Some expenses reported in the Statement of Activities do not require the use of current financial resources and therefore are not reported as expenditures in governmental funds. Compensated absences (278,530) Net Pension Obligation (1,546,159) Internal service funds are used by mangement to charge the costs of certain activities, such as insurance,telecommunications and fleet services,to individual funds. The net revenue(expense)of certain internal service funds is reported with governmental activities. 3,449,037 Internal services used by Enterprise Funds (134,603) Change in assets of governmental activities $ 8,222,749 See accompanying notes to the basic financial statements 34 COUNTY OF WELD STATE OF COLORADO Statement of Net Assets Proprietary Funds December 31,2007 Business-type Governmental Activity Activities Paramedic Enterprise Internal Fund Service Funds ASSETS Cash and short-term investments $ 62,975 $ 8,959,622 Property taxes receivable - 1,497,416 Receivables(net of allowance for uncollectibles): Accounts 2,691,114 179,954 Due from other County funds 15 371,525 Inventory - 75,294 Total Current Assets 2,754,104 11,083,811 Capital Assets: Land 48,496 - Improvements other than buildings 55,728 485,897 Buildings 710,305 1,800,977 Machinery and equipment 962,920 30,075,262 Accumulated depreciation (790,004) (17,996,838) Total Capital Assets 987,445 14,365,298 Total Assets 3,741,549 25,449,109 LIABILITIES AND FUND EQUITY Current Liabilities: Accounts payable 84,561 608,242 Accrued liabilities 304,025 985,164 Due to other County funds 45,890 256,332 Deferred revenue - 2,242,140 Advances from general fund 585,000 - Total Current Liabilities 1,019,476 4,091,878 Total liabilities 1,019,476 4,091,878 Net Assets Invested in capital assets, net of related debt 987,445 14,365,298 Restricted for: Workers'compensation - 676,511 Unrestricted 1,734,628 6,315,422 Total net assets $ 2,722,073 $ 21,357,231 Some amounts reported for business-type activities in the statement of net assets are different because certain internal service fund assets and liabilites are included with business-type activities. 456,825 Net assets of business-type activities $ 3,178,898 See accompanying notes to the basic financial statements 35 COUNTY OF WELD STATE OF COLORADO Statement of Revenue, Expenses and Changes in Net Assets Proprietary Funds For the fiscal year ended December 31,2007 Business-type Governmental Activity Activities Paramedic Enterprise Internal Fund Service Funds Operating revenues: Contributions $ - $ 8,821,434 Charges for services 8,519,367 8,282,110 Total operating revenues 8,519,367 17,103,544 Operating expenses: Bad debt expense 3,328,501 - Personnel services 3,873,871 142,033 Supplies 404,848 2,391,696 Purchased services 654,121 3,200,299 Insurance and bonds - 585,331 Depreciation 209,580 2,821,058 Other 108,522 105,001 Claims - 8,988,608 Total operating expenses 8,579,443 18,234,026 Operating income(loss) (60,076) (1,130,482) Nonoperating revenues(expenses): Taxes - 1,254,012 Miscellaneous 100 5,925,821 Interest income - 100,622 Fees 10,290 - Federal grant 43,200 54,511 State Grant 77,528 1,500,000 Gain (loss) on disposition of assets 2,470 (4,591,824) Judgements and damages - 91,755 Interest expense - (352,793) Total nonoperating revenues (expenses) 133,588 3,982,104 Income(loss) before contributions or transfers 73,512 2,851,622 Capital contributions - 597,415 Changes in net assets 73,512 3,449,037 Total net assets beginning of year 2,648,561 17,908,194 Total net assets at end of year $2,722,073 $ 21,357,231 Some amounts reported for business-type activities in the statement of activities are different because the net revenue (expense)of certain internal service funds is reported with business-type activities. 134,603 Change in net assets of business-type activities $ 208,115 See accompanying notes to the basic financial statements 36 COUNTY OF WELD STATE OF COLORADO Combining Statement of Cash Flows Proprietary Funds For the fiscal year ended December 31,2007 Business-type Governmental Activity Activites Enterprise Fund Internal Paramedic Services Service Funds CASH FLOWS FROM OPERATING ACTIVITIES Cash flows from external customers $ 5,233,243 $ 722,693 Cash flows from internal customers - 16,338,769 Cash payments to external suppliers for goods and services (937,347) (14,312,584) Cash payments to internal suppliers for goods and services (478,249) (241,383) Cash payments to employees for services (3,715,845) (325,696) Judgements/damages/losses - 107,481 Miscellaneous revenues - 50 Net cash provided(used)by operating activities 101 802 2,289 330 CASHFLOWS FROM NONCAPITAL FINANCING ACTIVITIES Taxes - 1,254,012 Grants/Other 133.587 5.925.771. Net cash provided by noncapital financing activities 133.587 7 179 78 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition of capital assets (344,319) (2,989,175) Principal paid on long-term debt - (5,590,000) Interest paid - (352,793) Writeoff of remaining discount - 16,460 Proceeds from sale of capital assets - 484,415 Grants - 1.554.511 Net cash provided(used)for capital and related Financing activities (344 3191 (6,876 5871 CASH FLOWS FROM INVESTING ACTIVITIES Interest on investments - 100 677 Net Increase(decrease)in Cash and Cash Equivalents (108,930) 2,693,153 Cash and Cash Equivalents at Beginning of Year 171 905 6 266 469 Cash and Cash Equivalents at End of Year B 62 97@ $ 6 959 622 Reconciliation of operating income to net cash provided(used)by operating activities: Operating income(loss) $ (60,076) $ (1,130,482) Adjustments to reconcile operating income to net cash provided(used)by operating activities: Depreciation expense 209,580 2,821,058 Judgements/damages/losses - 91,755 Miscellaneous revenue - 50 Change in assets and liabilities (Increase)decrease in accounts receivable (171,870) (321,901) (Increase)decrease in due from other funds 46,521 (142,584) (Increase)decrease in inventories - (56,086) (Increase)decrease in other assets 5,210 15,292 Increase(decrease)in accounts payable 51,349 281,710 Increase(decrease)in accrued liabilities 21,088 159,412 Increase(decrease)in other liabilities - 244,475 Increase(dedrease)in deferred revenue - 326 633 Total adjustments 161 878 3 419 814 Net cash provided by operating activities $ 1M 802 $ 7 789 337 Noncash investing,capital,and financing activities: Contributions of capital assets from(to)government $ 124,428 Capital asset trade-ins 18,315 See Accompanying notes to the basic financial statements 37 COUNTY OF WELD STATE OF COLORADO Statement of Fiduciary Net Assets Fiduciary Funds December 31, 2007 Weld County Other Post Agency Weld County Employment Funds Retirement Plan Benefits ASSETS Cash and cash equivalents $4,664,118 $ - $ - Accounts Receivables (net of allowances for uncollectables): 56 16,059 171,092 Restricted assets Cash - 1,696,934 678,119 Common Stock - 83,807,904 - US Property Fund - 46,901,480 - Total assets $4,664,174 $ 132,422,377 $ 849,211 LIABILITIES AND NET ASSETS Accounts payable $ 135,243 $ 169,778 $ - Due to other governments 4,528,931 - - Total Liabilities $4,664,174 $ 169,778 $ - NET ASSETS Held in trust for pension benefits and other purposes $ 132,252,599 $ 849,211 See accompanying notes to the basic financial statements 38 COUNTY OF WELD STATE OF COLORADO Statement of Changes in Fiduciary Net Assets Fiduciary Funds For the fiscal year ended December 31, 2007 Weld County Other Post Retirement Employment Plan Benefits Additions: Employer contributions $ 3,804,640 $ 1,304,815 Employee contributions 3,804,640 203,064 Earnings on investments 9,822,561 Net appreciation in fair market value of investments 948,830 - Total Additions 18,380,671 1,507,879 Deductions: Actuarial/Trustee fees 109,085 - Benefit payments 7,874,865 658,668 Supplies 9,000 - Total Deductions 7,992,950 658,668 Change in net assets 10,387,721 849,211 Net assets- beginning 121,864,878 Net assets-ending $ 132,252,599 $ 849,211 See accompanying notes to the basic financial statements 39 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Note 1 - Summary of Significant Accounting Policies: The County of Weld, Colorado ("County") was established in 1861, and on January 1, 1976, became a home rule county under the provisions of Section 30-35-501, CRS, 1973. The County operates under an elected commissioner form of government. The County provides the full range of services contemplated by statute or charter. These include general government functions, public protection and safety, health, social services, human resource services, public improvements, road and bridge operations, planning and zoning, and general administrative services. The financial statements of the County have been prepared in conformity with generally accepted accounting principles (GAAP) as applied to governmental units. The following summary of significant accounting policies is presented to assist the reader in evaluating the County' s financial statements. A. Reporting Entity: Weld County is a political subdivision of the State of Colorado, governed by an elected five-member Board of County Commissioners. There are also four other elected officials of Weld County (Assessor, Clerk and Recorder, District Attorney, and Sheriff) . The accompanying financial statements present the government and its component units, entities for which the government is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the government' s operations. Each discretely presented component unit is reported in a separate column in the government-wide financial statements (see note below for description) to emphasize that it is legally separate from the government. Discretely presented component units: The Weld County Housing Authority is responsible for assisting Weld County residents with housing assistance. The Board of County Commissioners appoints all of the five-member Housing Authority Board. The County has the ability to remove any of the appointed board members, they can modify decisions made by the board and can hire or fire persons responsible for the day to day operations. The Weld County Housing Authority is governed by state regulations, but was designated as part of the County for budgetary and audit purposes by an act of the Colorado General Assembly in 1989. The E911 Emergency Telephone Service Authority Board was created by intergovernmental agreements pursuant to Article 11 of Title 29, C.R.S. , as amended, that authorizes the county, municipalities within the county, and special districts within the county to enter into an agreement for the purpose of providing 911 emergency telephone services. Per the state statute cited above, the agreement creates a separate legal entity which is responsible for administering the operations of the 911 emergency 40 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 telephone service program in Weld County. The authority board consists of seven members with four selected by the Weld County Commissioners, one member each is selected by the City of Greeley, City of Fort Lupton and Weld County Sheriff. Under the by-laws of E911 Authority, Weld County is required to pay all operating costs. They are to maintain all accounts and have accounts audited. State statute requires that all funds be maintained by the Weld County Treasurer. The operation of the E911 authority is done contractually by the Weld County Communication Regional Center. Complete financial statements for each of the individual component units may be obtained at the entity' s administrative offices: Weld County Housing Authority 903 6th Street Greeley, CO 80631 E911 Emergency Telephone Service Authority 1950 O Street Greeley, CO 80631 Because they provide services to or otherwise benefit Weld County, the financial statements of the following organizations are blended into the County financial statements: Weld County Retirement Plan - The Retirement Board consists of five members, two selected by participating employees, two appointed by the Board of County Commissioners, and the fifth being the County Treasurer. The County funds half of the retirement plan, which covers substantially all permanent, full-time employees of Weld County. The operation of the plan is accounted for in the Weld County Retirement Fund, as a Pension Trust Fund. Weld County Finance Corporation - The Weld County Finance Corporation ("Corporation") was formed in 1987 as a not-for-profit corporation under section 501 (c) (4)of the Internal Revenue Code, and exists solely to acquire real estate and construct buildings for lease to the County. The Board of County Commissioners appoints the three-member Board of Directors of the Corporation, and approves all projects undertaken by the Corporation. The members of the Board of Directors are employees of the County. The Beebe Draw Law Enforcement Authority (LEA) was formed by the electors of the LEA on December 3, 1985, in accordance with Section 30-11-401, CRS. The law enforcement authority is a taxing unit created by the county to provide additional law enforcement service by the county sheriff to residents in a developed unincorporated area of the county. The governing board of the law enforcement authority is the five Weld County Commissioners sitting as the governing board of the authority. Law enforcement services to the authority are provided contractually by the county sheriff. 41 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 The Local Improvement Districts (LID) have not been included in the County' s financial statements individually, as they are immaterial, but are included as a blended component unit of Public Works, a special revenue fund. The Board of County Commissioners can create these assessment districts to construct or rehabilitate and finance public streets, storm drainage, water systems, sanitary sewer, or street lighting. The Primary purpose of an LID is to assess the costs of public improvements to those who are specially benefited by the improvement. The LID exists only as geographic area within which improvements are constructed and as an administrative subdivision of the county. Having no board of directors, they do not operate in any capacity as an independent governmental entity. The county governing board, Board of County Commissioners, makes all decisions on behalf of this administrative entity. The following related organizations are excluded from the accompanying financial statements because the County' s accountability for these organizations does not extend beyond various appointments. North Colorado Medical Center - The Board of County Commissioners owns land underlying the main facility of the Medical Center, which land is currently leased to the Colorado Hospital Finance Authority as part of the security for financing the bonded indebtedness of the Medical Center. The indebtedness is not an obligation of the Board of County Commissioners and no taxpayer funds or Board of County Commissioners funds are obligated to pay any portion of the principal, premium or interest on the Bonds. The land is leased back from the Authority to the Board of Trustees, a seven member Hospital Board of Trustees appointed by the Board of County Commissioners. The Hospital Board of Trustees has entered into an operating sublease of the ground and facilities with NCMC, Inc. , a 501 (c) (3) entity, with three of its members also serving on the Board of Trustees, which, in turn, has contracted with Banner Health Systems to operate the Medical Center. NCMC has the ability to incur its own debt and its operations are financed totally by patient revenues. Greeley-Weld Airport Authority - The County Commissioners appoint two of the five Airport Authority Board members. The County has contributed approximately 5% of the funds for capital construction. The Authority has full autonomy under Colorado State law, can incur debt, and funds it operations totally from user fees. Weld Library District - The County Commissioners, together with the concurrence of the city councils of seven participating municipalities, appoint the seven-member Library District Board. The Library District Board has total autonomy under the State Library Act to incur debt, establish budgets, and levy property taxes to support the District' s library system. Colorado Counties Casualty and Property Pool (hereinafter referred to as "CAPP" - CAPP was formed July 1, 1986, by an intergovernmental 42 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 agreement by member counties as a separate and independent governmental and legal entity pursuant to the provisions of Article XIV, Section 18 (2) of the Colorado Constitution and Section 29-1-201 et seq, 24-10-115.5, and 29-13-102, CRS, as amended. Each member county in this intergovernmental agreement has the power under Colorado law to make provision for the property and casualty coverage which constitute the functions and services jointly provided by means of the CAPP. The Insurance Commissioner of the State of Colorado has such authority with respect to the CAPP as is provided by applicable Colorado statutes. The purposes of the CAPP are to provide a risk management fund for defined property and casualty coverage and to assist members in controlling costs by providing specialized governmental risk management services and systems. It is the intent of the members to use member contributions to defend and indemnify, in accordance with the bylaws, any member against states liability or loss to the limit of the financial resources of the risk management fund. It is also the intent of the members to have CAPP provide needed coverage at reasonable costs. All income and assets of CAPP shall be at all times dedicated to the exclusive benefit of its members. Weld County, through its Insurance Internal Service Fund, recognizes an expense for the amount paid to CAPP annually for these coverages. Weld County is a charter member of CAPP and has been a continuous member since July 1, 1986. B. Government-wide Financial Statements: The County' s basic financial statements consist of government-wide statements, including a statement of net assets and a statement of activities, and fund financial statements which provide a more detailed level of financial information. The government-wide focus is more on the sustainability of the County as an entity and the change in aggregate financial position resulting from activities of the fiscal period. The statement of net assets and the statement of activities display information about the county as a whole. In the government-wide statement of net assets, both the governmental and business-type activities columns are presented on a consolidated basis by column. These statements include the financial activities of the primary government, except for fiduciary activities. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business- type activities, which rely to a significant extent on fees and charges for support. 43 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 The government-wide statement of activities reflect both the direct expenses and net cost of each function of the County' s governmental activities and business-like activity. Direct expenses are those that are clearly identifiable with a specific function. Program revenues include charges paid by the recipient for the goods or services offered by the program. Grants and contributions that are restricted to meeting the operational or capital requirements of a particular program and interest earned on grants that is required to be used to support a particular program are included in operating grants and contributions, or capital grants and contributions. Revenues which are not classified as program revenues are presented as general revenues of the County, with certain limited exceptions. The comparison of direct expenses with program revenues identifies the extent to which each government function or business segment is self-financing or draws from the general revenues of the County. Fund Financial Statements The financial transactions of the County are recorded in individual funds. A fund is defined as a fiscal and accounting entity with a self- balancing set of accounts that comprise its assets, liabilities, fund equity, revenues, and expenditures or expenses, as appropriate. Separate statements for each fund category - governmental, proprietary, and fiduciary - are presented. The emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column. All remaining governmental and enterprise funds are aggregated and presented as non-major funds. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund' s principal ongoing operations. The principal operating revenues of the Paramedic enterprise fund and of the government' s internal service funds are charges to customers for sales and services. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. C. Measurement Focus Government-wide, Proprietary and Fiduciary Fund Financial Statements The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund and fiduciary fund statements. Revenues are recorded when earned and expenses are recorded at the time liabilities are incurred, regardless of when the related cash flows take place. Nonexchange transactions, in which the County gives (or receives) value 44 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 without directly receiving (or giving) equal value in exchange, include property taxes, grants, and donations. Revenues from property taxes are recognized in the fiscal year for which the taxes are levied. Revenue from grants and donations is recognized in the fiscal year in which all eligibility requirements have been satisfied. Under the terms of grant agreements, the County funds certain programs by a combination of specific cost-reimbursement grants, categorical block grants, and general revenues. Thus, when program expenses are incurred, there are both restricted and unrestricted net assets available to finance the program. It is the County' s policy to first apply cost- reimbursement grant resources to such programs, followed by categorical block grants, and then by general revenues. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Property taxes, licenses, and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the government. All governmental and business-type activities and enterprise funds of the County follow only PASS Statements and Interpretations issued on or before, not after, November 30, 1989, Accounting Principles Board Opinions, and Accounting Research Bulletins, unless those pronouncements conflict with GASB pronouncements. The County reports the following major governmental funds: The General Fund is the general operating fund of the County which accounts for all financial resources that are not accounted for in other funds. Operations of the County such as public safety, planning and zoning, property valuation, tax collection and distribution, vehicle licensing, County administration, and other activities financed from taxes and general revenues are reflected in this fund. 45 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 The Public Works Fund records costs related to County road and bridge construction and maintenance except for engineering, which is recorded in the General Fund. By State law, Colorado counties are required to maintain a Road and Bridge Fund and a portion of road and bridge taxes is allocated to cities and towns for use in their road and street activities. The Social Services Fund administers human services programs under state and federal regulations. Programs include, but are not limited to, Medicaid, Food Stamps, Foster Care programs, and Temporary Assistance to Needy Families (TANF) . Colorado counties are required by state law to maintain a Social Services Fund. The Human Services Fund primary programs are associated with the Workforce Investment Act (WIA) funded under the Department of Labor, Employment and Training Administration. They also administer all the Head Start programs. The Capital Expenditures Fund accounts for all the County' s construction projects. The County chooses to use the pay as you go plan instead of debt. Property taxes are used to fund the Law Enforcement Center and the expansion of the Detention Center. The County reports the following major enterprise fund: The Paramedic Fund operates the paramedic services for the County, which is primarily funded by revenues for services rendered. 46 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 The County also reports the following fund types: The Internal Service Funds account for the financing of goods or services provided by one department or agency to other departments or agencies of the County on a cost reimbursement basis. The County' s internal service funds report on self-insurance programs for employee health, dental and vision benefits, risk management, unemployment, fleet services, telecommunications and acquisitions of real estate and construction of buildings used by County departments. Services provided and used by internal services funds are not entirely eliminated from the government-wide statement of activities. The primary government program expenses and expenses for the business activities on the government-wide statement of activities are decreased to eliminate revenue over expenditures in service funds where revenues exceed expenditures and increased to eliminate internal service funds that have expenditures in excess of revenues. The Agency Funds account for assets held by the County as an agent for individuals, private organizations and other governments. These funds are custodial in nature (assets equal liabilities) and do not involve measurement of results of operations. The County has funds held for other local governmental units, employee/employer payroll taxes and a Section 125 plan. The Fiduciary Trust Funds account for the activities of the Weld County Retirement Plan and the Weld County Other Post employment Benefit Plans. These funds accumulate resources for pension benefit, and other post employment benefit payments to qualified county employees. The Plans use the accrual basis of accounting. Employee and employer contributions are recognized as revenues in the period in which the contributions are due. Benefits and refunds are recognized when due and payable in accordance with terms of the Plan. D. Assets, liabilities, and net assets or equity 1. Deposits and investments The Weld County Treasurer maintains a cash and investment pool that is available for use by all County funds except for some agency funds. Each fund' s portion of this pool is displayed as "cash and cash equivalents". Accrued interest receivable is displayed separately. The amount of interest gained through secured investments is credited to the County' s General Fund per Colorado State Statutes, with the exception of the Conservation Trust, Capital Expenditures Fund, Liability Insurance Fund and E-911 Authority. "Cash and cash equivalents" for the General Fund Conservation Trust, Capital Expenditures Fund, Liability Insurance Fund and E-911 Authority are stated at fair value. Any bank accounts not maintained by the Treasurer are displayed as "Restricted Assets" within the appropriate fund and are stated at cost. 47 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 The County considers cash and cash equivalents in proprietary funds to be cash on hand and demand deposits. In addition, because the treasury pool is sufficiently liquid to permit withdrawal of cash at any time without prior notice or penalty, equity in the pool is also deemed to be a cash equivalent. 2. Property Taxes: Property taxes attach as an enforceable lien on property as of January 1. Taxes were levied on December 19, 2007, and are payable either in two installments due on February 28 and June 15 or in full on April 30. The bill becomes delinquent on March 1, May 1, and June 16 and penalties and interest may be assessed by the County. The County, through the Weld County Treasurer, bills and collects its own property taxes, as well as property taxes of all other taxing authorities within the County. In accordance with Section 14-7 of the Weld County Home Rule Charter, all ad valorem tax levies for County purposes, when applied to the total valuation for assessment of the County, shall be reduced so as to prohibit the levying of a greater amount of tax revenue than was levied from ad valorem taxation in the preceding year plus five percent (5%) , except to provide for the payment of bonds and interest. The Board of County Commissioners may submit the question of an increased levy to the County Council and, if in the opinion of a majority of the County Council may grant an increased levy for the County in such amount as it deems appropriate, and the County is authorized to make such increased levy. Any one capital project requiring a capital expenditure out of funds procured by ad valorem taxation equal to a three mill levy for three years, shall be prohibited unless approved by a majority vote of the qualified electors at a general or special election per Section 14-8 of the Weld County Home Rule Charter. 3. Interfund Transactions Transactions between funds that would be treated as revenues, expenditures, or expenses if they involved organizations external to the County are accounted for as revenues, expenditures, or expenses in the funds involved. Transactions which constitute reimbursements of a fund for expenditures or expenses initially made from that fund which are properly applicable to another fund are recorded as expenditures or expenses in the reimbursing fund and as reductions of the expenditure or expense in the fund that is reimbursed. At year end, outstanding balances between funds are reported as "due to/from other funds". Interfund balances are generally expected to be repaid within one year of the financial statement date. Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as "internal balances". 48 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 4. Inventories and Prepaid Items Inventories of governmental funds, which consist of expendable materials held for consumption, are stated at cost utilizing the weighted average cost method. These funds follow the consumption method of accounting whereby expenditures are recorded at the time the inventory items are used. Inventories of proprietary funds are recorded at average cost. Certain payments to vendors reflect cost applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. The reserve for emergencies as required by Section 20 to Article X of the Colorado Constitution, also known as the Taxpayer's Bill of Rights (TABOR) is classified as restricted assets on the balance sheet. 5. Capital Assets Capital assets, which include property, plant equipment, and infrastructure assets (e.g. , roads, bridges and similar items) , are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined by the County as assets with an initial, individual cost of more than $5, 000 and a useful life of more than one year. All capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets are recorded at estimated fair market value at the date of donation. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets' lives are not capitalized. All reported capital assets, except for gravel roads are depreciated. Improvements are depreciated over the remaining useful lives of the related capital assets. Depreciation on all assets is provided on the straight-line basis over the following estimated useful lives: Buildings 20-50 years Improvements 20 years Infrastructure - Bridges 50 years Infrastructure - Roads 20 years Equipment 3-5 years Heavy Equipment 10-20 years Statement 34 allows an alternative approach which would reflect a reasonable value of the asset and the cost incurred to maintain the service potential to locally established minimum standards in lieu of depreciation. To elect this option, the County must develop and implement an asset management system which measures, at least every third year by class of asset, if the minimum standards are being maintained. Related disclosures are additionally required as part of the Required Supplementary Information. The County has elected to use the alternative approach only for gravel roads. 49 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 6. Compensated Absences County employees accumulate sick leave and vacation benefits at rates of 8 hours per month and 8 to 16 hours per month, respectively, depending on length of service. In the event of retirement or termination, an employee is paid 100% of accumulated vacation pay. An employee whose date of hire is prior to January 1, 1985, is paid for 50% of accumulated sick leave hours up to the equivalent of one month; if the employee' s date of hire is after January 1, 1985, no sick leave is paid upon retirement or termination. Up to 320 hours of annual vacation may be carried over from one year to the next. Compensatory time is granted (except for official, professional, and administrative positions) at the rate of one and one-half hours for each overtime hour worked, not to be accumulated in excess of forty hours. The unpaid sick leave, vacation pay and related benefits at the end of the period will generally not be paid with expendable and available resources. Proprietary funds accrue sick leave, vacation pay and related benefits in the period they are earned by the employees. The entire compensated absence liability is reported on the government- wide financial statements. 7. Long-term obligations In the government-wide financial statements and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net assets. 8. Fund Equity In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. Reserves for the County of Weld are recorded up to the maximum equity available in fund balance and consist of: Reserved for Encumbrances: These reserves are established to record purchase orders and commitments outstanding for which the related goods/services have not been received at year end. The reserves recorded at December 31, 2007, include $318, 445, $3, 081, 966, and $2, 721, 899 for the General Fund, Special Revenue Funds, and Capital Expenditures Funds, respectively, for a total of $6, 122, 310. Reserved for Other Assets: These reserves are established to record all prepaid items. Recorded reserves at December 31, 2007, are $25, 013 and $1,285 for the General Fund and Special Revenue Funds respectively, for a total of $26,298. 50 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Reserved for Inventories: These reserves are established to record the total level of supply inventories. Recorded reserves at December 31, 2007, are $152, 759 and $1, 269, 554 for General Fund and Special Revenue Funds respectively, for a total of $1, 422, 313. Reserved for Advances: These reserves are established to record the total advance between funds. Reserve at December 31, 2007, is $585, 000, all recorded in General Fund. Designated Fund Balance: Fund balance designated for subsequent year's expenditures represents fund balance commitments for appropriated expenditures in excess of anticipated revenue for the year ended December 31, 2007 . 9. Net Assets Net assets represent the difference between assets and liabilities. Net assets invested in capital assets, net of related debt consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowing used for the acquisition construction of improvements of those assets. Net assets are reported as restricted when there are limitations imposed on their use either through the enabling legislation adopted by the County or through external restrictions imposed by creditors, grantors, laws or regulations of other governments. The County first applied restricted resources when an expense is incurred for purposes for which both restricted and unrestricted net assets are available. 10. Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results may differ from those estimates. Note 2 - Stewardship, Compliance, and Accountability A. Budgetary information An annual budget and appropriation ordinance is adopted by the Board of County Commissioners in accordance with the Colorado State Budget Act and Weld County Home Rule Charter. The budget is prepared on a basis consistent with generally accepted accounting principles. Budgets are established for all Governmental funds, Internal Service funds and the Enterprise Fund. The accounting system is employed as a budgetary management control device during the year to monitor the individual departments. The fund level is the level of classification at which expenditures may not legally exceed appropriations, except for the General Fund where the department level of expenditures cannot legally exceed appropriations. During the year, several supplemental appropriations were necessary. All annual appropriations lapse at year end. 51 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 The Director of Finance and Administration is authorized to transfer budgeted amounts within departments of each fund. Any revisions that alter the total appropriation for a fund or for any General Fund department must be approved by the County Commissioners through a supplemental appropriation ordinance. During 2007, two supplemental appropriation ordinances were enacted. Budget amounts reported in the accompanying financial statements reflect these supplemental appropriations. B. Excess of expenditures over appropriations Excesses of expenditures over appropriations in General Fund departments can be seen by unfavorable variances in the expenditures section of the Statement of Revenues, Expenditures and Changes in Fund Balance - Budget and Actual. Solid Waste Fund (Special Revenue Fund) had excess of expenditures over appropriations. These can be seen on the Statement of Revenue, Expenditure and Changes in Fund Balance - Budget and Actual. Revenue were down due to the annexation of a landfill in 2007. 2008 Expenditures will be adjusted to compensate for the decreased revenues. Conservation Trust Fund (Special Revenue Fund) had excess of expenditures over appropriations. These can be seen on the Statement of Revenue, Expenditure and Changes in Fund Balance - Budget and Actual. Additional expenditures to cover the cost of the park were funded by revenues. Expenditures exceeded appropriations in the Paramedic Fund (Enterprise Fund) . The over expenditures were funded greater than anticipated revenue, and will be corrected in the 2008. Motor Pool Fund (Internal Service Fund) had excess expenditures over appropriations. These over expenditures were funded by greater than expected revenue, and will be corrected in 2008. Note 3 - Equity in Pooled Cash and Investments: A. Cash and Investments Cash and investments at December 31, 2007, consisted of the following: Deposits $15, 417, 437 CDs 6, 280,271 Investments 57, 735, 563 Total $79, 433,271 Cash and investments at December 31, 2007 reported in government-wide and agency funds consisted of the following: Government-wide $75, 294, 452 Agency funds 3, 808, 127 Total $79, 102, 579 52 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 B. Deposits The Colorado Public Deposit Protection Act (PDPA) requires that all local governments deposit cash in eligible public depositories. Eligibility is determined by state regulations. The State regulatory commissioners regulate the eligible public depositories. Amounts on deposit in excess of federal insurance levels must be collateralized by eligible collateral as determined by the PDPA. PDPA allows the financial institutions to create a single collateral pool for all public funds held. The pool is to be maintained by another institution, or held in trust for all the uninsured public deposits as a group. The market value of the collateral must be at least equal to 102% of the uninsured deposits. At December 31, 2007, the County had deposits of $21, 697, 263 collateralized with securities held by the financial institutions' agents but not in the County name. C. Investments The County is required to comply with State statutes which specify investment instruments meeting defined rating, maturity, custodial and concentration risk criteria in which local governments may invest including: • Obligations of the United States and certain U.S. Agency securities • Certain international agency securities • General obligation and revenue bonds of U.S. local government entities • Banker' s acceptance of certain banks • Commercial paper • Written repurchase agreements collateralized by certain authorized securities • Certain money market funds • Guaranteed investment contracts • Local government investment pools The County has no provisions in its investment policy that would further limit investment choices. At December 31, 2007, the County had the following investments: Investment Maturities (in Years) 1 or less $10, 968,230 1 -2 yrs. 11, 569, 913 3 - 5 yrs. 35, 197, 420 $57, 735, 563 Money Market $15, 417, 437 Total $73, 153, 000 53 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 D. Credit Risk State statutes limit investments in U.S. Agency securities to the highest rating issued by nationally recognized statistical rating organizations (NRSROs) . At December 31, 2007, the County investments in the Federal Home Loan Bank, Federal Home Loan Mortgage Corporation, Federal National Mortgage Association, and Federal Farm Credit Bank were rated AAA by Standard & Poor's. E. Concentration of Credit Risk State statute does not limit the amount the County may invest in one issuer. At December 31, 2007, the County's investments in Federal National Mortgage Association, Federal Home Loan Bank, and Federal Farm Credit Bank and Federal Home Mortgage represented 11%, 53%, 2% and 25%, respectively of the County' s total investments. F. Interest Rate Risk State Statutes limit the maximum maturity date unless an exception is made by the county commissioners, which does not exist at the present time, to five years. The average duration in the portfolio on December 31, 2007 was 3. 6 years. This factor combined with the high quality credit risk of the portfolio limit interest rate risk to a very small percentage of the portfolio. In fact, at year end the average mark-to-the-market was within one percent of the county' s basis. G. Local Government Investment Pool The County had $15, 417, 437 invested in overnight pooled money with Wells Fargo on December 31, 2007 . The County' s investment in at Wells Fargo is a direct obligation of the bank and the funds are maintained in a money market account earning a negotiated rate if return. The collateral for this account is in an undivided interest against a pool of U.S. Government securities meeting the PDPA requirements of the State of Colorado, which is administered under the State' s Banking Division. The Fair value of all of the funds shares are the same and are priced at one dollar and are liquid daily. A designated custodial bank provides safekeeping and depository services in connection with the direct investment and withdrawal functions. Substantially all securities owned are held by the Federal Reserve Bank in the account maintained for the custodial bank. The custodian' s internal records identify the investments owned by the participating governments. 54 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Note 4 - Interfund Transactions Due to/from other funds: The county reports interfund balances between many of its funds. Some of the balances are considered immaterial and are aggregated into a single column or row. The sum of all balances presented in the table agrees with the sum of interfund balances presented in the balance sheet for governmental and proprietary funds. The balances resulted from the time lag between the dates that (1) interfund goods and services are provided or reimbursable expenditures occur, (2) transactions are recorded in the accounting system, and (3) payments between funds are made. Interfund balances are generally expected to be repaid within one year of the financial statement date. Receivable Fund Payable Fund General Public Works $ 48, 975 Social Services 192, 706 Human Services 32, 991 Non-Major Governmental 111, 663 Enterprise Fund 34, 556 Internal Service Fund 10, 469 Public Works General 200 Social Services 131, 416 Non-Major Governmental 97, 096 Internal Service Fund 12, 729 Human Services General 8, 412 Social Services 466, 820 Internal Service Fund 223, 336 Enterprise Fund General 15 Internal Service General 68, 062 Public Works 227, 657 Social Services 24, 972 Human Services 26, 320 Non-Major Governmental 3, 381 Enterprise Fund 11, 334 $1, 733, 110 55 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Advances from/to other funds: The balance of $585, 000 advances to Paramedic Fund for the General Fund resulted from general operating needs with the decrease of Medicaid reimbursement for services. Receivable Fund Payable Fund Amount General Fund Enterprise Fund - Paramedic $ 585, 000 Transfers in/out: Transfers are indicative of funding for capital projects or subsidies of various County operations and re-allocation of special revenues. The following schedule briefly summarizes the County' s transfer activity: Transfers In General Human Non-Major Fund Services Capital Governmental Total Transfers Out: General Fund $ 00 $ 12,351 $ 500,000 $3,038,390 $3,550,741 Non-Major 81,892 00 00 $ 707,377 $ 789,269 Total $ 81,892 $ 12,351 $ 500,000 $3,745,767 $4,340,010 The County also had noncash transfers. Contribution of capital assets from (to) government: Internal Service Funds ($4, 738, 627) . Note 5 - Allowance for Uncollectible Accounts Receivable: The allowance for uncollectible receivables consists of the following at December 31, 2007 : Allowance for Fund Type Uncollectible General $ 17, 353 Public Works 2, 525 Special Revenue 2, 840 Capital Expenditures 2, 079 Enterprise 577, 191 Internal Service 371 Total $ 602, 359 56 COUNTY OF WELD STATE OF COLORADO NOTES TO FINANCIAL STATEMENTS Year Ended December 31,2007 Note 6-Capital Assets: Capital asset activity for the year ended December 31,2007,was as follows: Beginning Ending Balance Increases Decreases Transfers Balance Governmental activites Capital Assets not being depreciated Land and water rights $ 8,114,783 $ 151,124 $ - $ - $ 8,265,907 Gravel Roads 7,453,707 672,000 138,216 - 7,987,491 Construction in progress 8,570.899 12 126 429 - - 20,697.328 Total capital assets not being depreciated 24,139 389 12 949 553 138.216 - 36 950 726 Capital assets being depredated: Buildings 79,217,919 3,919,832 33,519 - 83,104,232 Improvements 6,976,964 105,688 - - 7,082,652 Equipment 40,412,081 4,205,830 2,528,104 (22,311) 42,067,496 Infrastructure 284 555,579 13.093.523 10 038.736 - 287.610,366 Total capital assets being depreciated 411.162,543 21,324.873 12,600 359 (22.3111 419.864.746 Less accumulated depreciation Buildings 21,768,824 1,856,248 24,756 - 23,600,316 Improvements 1,734,788 255,901 - - 1,990,689 Equipment 22,839,135 3,781,087 2,271,652 (22,311) 24,326,259 Infrastructure 149.759,365 13,379 464 5.477,944 - 157,660,885 Total accumulated depreciation 196.102 112 19.272.700 7.774,352 (22,3111 207,578.149 Total capital assets being depreciated,net 215,060.431 2.052.173 4 826 007 - 212 286 597 Governmental activities capital assets, net $ 239 199 82Q R 15 001 726 R 4 964 721 $ - R 249 217 121 Business-type activities: Capital Assets not being depreciated Land $ 48,496 $ - $ - $ - $ 48,496 Capital assets being depreciated: Buildings 656,305 54,000 - - 710,305 Improvements 55,728 - - - 55,728 Equipment 865,002 308.634 233.027 22,311 962.920 Total capital assets being depreciated 1.577,035 362 634 233,027 22,311 1,728,953 Less accumulated depreciation Buildings 311,250 23,141 - - 334,391 Improvements 43,151 3,427 - - 46,578 Equipment 418.425 183.012 214.713 22,311 409,035 Total accumulated depreciation 772 826 209,580 214.713 22,311 790.004 Total capital assets being depreciated,net 804,209 153,054 18,314 - 938,949 Business-type activities capital assets, net $ 852 705 $ 153.054 $ 18 314 $ - $ 987 445 57 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Depreciation expense was charged to functions/programs of the primary government as follows: Governmental activities: General government $ 1, 376, 228 Public safety 1, 162, 179 Streets and highways 13, 570, 466 Economic assistance 106, 781 Culture and recreation 12, 830 Health and welfare 223, 158 Capital Assets held by government' s internal service funds are charged to the various functions based on their usage of the assets 2, 821, 058 Total depreciation expense-governmental activities $ 19, 272, 700 Business-type activities Paramedic Service $ 209, 580 Note 7 - Risk management and insurance: The County is exposed to various risks of loss related to torts; theft of, damage to, or destruction of assets; and errors or omissions. (See Note 11) These activities are accounted for in the Insurance Fund, an internal service fund. A liability for a claim is established if information indicates that it is probable that a liability has been incurred at the date of the financial statements and the amount of the loss is reasonably estimable. Insurance coverages have not been significantly reduced from prior years and settlements have not exceeded insurance coverage in the past three years. The County manages risks of loss through a combination of commercial insurance, participation in a public entity risk pool, (See Note 1) and self-insurance. These activities are accounted for in the Insurance Fund, an internal service fund. The County provides health, dental and vision insurance benefits to employees, which are funded by employee and employer contributions. These activities are accounted for in the Health Insurance Fund, an internal service fund. 58 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Workers' Compensation coverage is partially self-insured, with insurance coverage of a $450, 000 self-insured retention. Estimated liabilities for claims made and claims incurred but not reported (IBNR) at year-end are shown as accrued liabilities in the fund. These estimates are based upon a third-party administrator' s review of claims and actuarial projections from historical claims data. Changes in the balances of claims liabilities during the current and prior years are as follows: 2006 2007 Unpaid Claims - Beginning $ 706,681 $ 690,396 Incurred Claims (Includes IBNR'S) 597,661 804,444 Claims Paid (613,946) (612,310) Unpaid Claims - Ending $ 690.396 $ 882.530 The Insurance Internal Service Fund provides protection against losses involving County property, equipment, and liability. Reserves within the fund support higher deductible or self-insured retention level against loss. Payments to CCAPP for coverage under the insurance pool are shown as expenses in the Insurance Internal Service Fund. Estimated liabilities under the $125, 000 self-insured retention for claims made and claims incurred but not reported (IBNR) at year-end are shown as accrued liabilities in the fund. These estimates are based upon CAPP' s claim administrator' s review of claims and actuarial projection from historical claims data. Changes in the balances of claims liabilities under the $125, 000 self-insured retention during current and prior years are as follows: 2006 2007 Unpaid Claims - Beginning $ 83,692 $ 120,486 Incurred Claims (Includes IBNR's) 196,896 155,746 Claims Paid (160,102) (191,623) Unpaid Claims - Ending $ 120,486 $ 84,609 The Health Insurance Internal Service Fund covers the county's dental and vision reimbursement plan. The plan is not an insurance program, but rather an employee reimbursement plan that closes out each year on December 31, for services received on or before that date. No outstanding claims or incurred but not reported liabilities exist for year-end. The health insurance plan is fully insured. In addition the Health Insurance Internal Service Fund as of January 1, 2005, covers the county' s health insurance program. The plan is a self- funded employee health benefit plan with a specific deductible amount of $100, 000 per individual, and an aggregate excess loss insurance policy 59 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 that has both a monthly attachment point and an annual cumulative attachment limit with a terminal attachment point. Attachment points are calculated based upon enrollment. The premiums fully fund the cumulative and terminal attachment points, so there is no unfunded liability for the program at any time. The plan is on a claims paid basis, which means there are not any outstanding claims or incurred but not reported liabilities at year end. In no event shall the expense incurral period extend beyond the date the policy expires. Note 8 - Operating Leases: The reporting entity has entered into a number of operating leases which contain cancellation provisions and are subject to annual appropriations. For the reporting period, rent payments approximated $507,234 for all types of leases. These expenditures were made primarily from the General, Public Works and Social Services Funds. Note 9 - Long-Term Debt: At December 31, 2007 Weld County had no outstanding long-term debt or debt from Certificates of Participation(COP) . The COP Series 1997 was paid off early on August 1, 2007. Weld County has no general bonded indebtedness. In accordance with Section 30-35-201 CRS, 1973, the County' s general bonded indebtedness is limited to 3% of the assessed valuation, or $134, 053, 874 at December 31, 2007. The County has issued industrial revenue bonds for the purpose of financing capital projects of several private enterprises. Under terms of a financing agreement, the bonds are sold to a bank, the private enterprise assumes full responsibility for repayment of the debt, and the County is released from any liability for repayment. Industrial revenue bonds outstanding as of December 31, 2007 totaled $15, 696, 964 . Changes in long-term liabilities Long-term liability activity for the year ended December 31, 2007, was as follows: Beginning Ending Due Within Balance Additions Reductions Balance One Year Governmental activities: Certificates of participation $ 5,590,000 $ 0 $5,590,000 $ 00 $ 00 Compensated absences General Fund 1,170,928 136,412 11,252 1,296,088 47,620 Public Works 378,853 63,615 0 442,468 26,113 Social Services 392,759 46,143 0 439,502 27,437 Public Health 136,173 43,012 0 179,185 11,499 Total governmental 4 7.664.711 4 9 9.792 4 5,60',752 $ 2.357 '43 $ 117.669 60 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Note 10 - Weld County Retirement Plan: Plan Description: The Weld County Retirement Plan (Plan) is a single-employer, defined benefit pension plan administered by a five-member retirement board. The plan provides retirement, disability and death benefits to plan members and beneficiaries at the discretion of the Retirement Board. The Retirement Board and the Board of Commissioners maintain the authority to establish and amend benefit provisions of the Plan. The Retirement Board issues a publicly available financial report that includes financial statements and required supplementary information. That report may be obtained by contacting the County of Weld, State of Colorado. Funding Policy: The contribution requirements of plan members and the County are established and maintained by the Board of Commissioners. Plan members are required to contribute 8% of their annual covered payroll. The County is required to contribute at an actuarially determined rate; the current rate is 8% of annual covered payroll. Annual Pension Cost and Net Pension Obligation: The County's annual pension cost and net pension obligation to the Plan the current year were: Annual Required Contributions $ 4,408,097 Interest on net pension obligation 11,754 Annual Pension Cost 4,477,927 Contributions made 3,804,640 Increase in net pension obligation 673,287 Net pension obligation (asset) beginning of year 872,872 Net pension obligation (asset) end of year $ 1,546,159 The annual required contribution for the current year was determined as part of the January 1, 2007 actuarial valuation using the entry age actuarial cost method. The actuarial assumptions included (a) 8% investment rate of return (net of administrative expenses) and (b) projected salary increases ranging from 5.3% to 8.5% per year. Both (a) and (b) included an inflation component of 3.5%. The actuarial value of assets was determined using techniques that smooth the effects of short- term volatility in the market value of investments over a five-year period. The unfunded actuarial liability is being amortized as a level percentage of projected payroll on a closed basis. The remaining amortization period at January 1, 2007, was 30 years. 61 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Three-Year Trend Information: Fiscal Year Annual Percentage of Net Pension Ended Pension APC Contributed Obligation Cost (APC) (Asset) December 31, 2005 3,184,753 87.3% (146,922) December 31, 2006 4,225,104 75.9% 872,872 December 31, 2007 4,477,927 85.0% 1,546,159 Note 11 - Other Post Employment Benefits: Plan Description: Weld County Other Post Employment Benefits Plan (OPEB Plan) is a single- employer defined benefit healthcare plan administered by Weld County that provides medical, dental, and vision insurance benefits to eligible retirees and their spouses. The OPEB Plan was created by a Board of Weld County Commissioners resolution on November 30, 1998, and amended December 16, 2002 and September 21, 2005. The OPEB Plan provides the same health, dental, and vision plan as offered Weld County employees and at the same cost. The program is not part of the Weld County Retirement Plan and is not a vested benefit or right, but it is a plan that can be amended or stopped at any time by the Board of Weld County Commissioners for any reason. The program is only available to Weld County employees hired prior to October 1, 2005. From December 16, 1998, to December 31, 2008, a retiree who retires from employment with Weld County after ten years of service, or was an elected official of Weld County for at least one full four year term, who has attained the age of 55 years and is drawing benefits from the Weld County Retirement Plan is eligible to continue health, dental, and vision coverage until age 65. After January 1, 2009, an employee must have attained age 57 and have 15 years of service to be eligible. From 2009 until 2014 the required age attainment and years of service are each increased by one year annually, so effective January 2014 an employee must have attained age 62 and have 20 years of service to be eligible, unless the employee attains age 55 and has 30 years experience or has attained age 55 and has served as a Weld County elected official for two full terms. Coverage ends in all cases at age 65. Funding Policy: The contribution requirements of plan members and Weld County are established and may be amended by the Board of Weld County Commissioners annually. The required contribution is based on projected pay-as-you-go financing requirements, with an additional amount to prefund benefits as determined by an actuarial report done bi-annually. For fiscal year 2007, the county contributed $1,298, 539 to the plan, including $449, 328 for current premiums (approximately 68 percent of total premiums) and an additional $849, 211 to prefund benefits. Plan members receiving benefits contributed $209, 340, or approximately 32 percent of the total premiums, through their required contribution ranging between $126 to $163 per month for retiree-only coverage and between $369 to $443 for retiree and spouse coverage. The OPEB Plan assets are deposited in the Weld County OPEB Plan Trust Fund. The employer' s contributions to the trust fund are 62 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 irrevocable, the assets of the trust are dedicated to providing benefits to retirees and their beneficiaries, and the assets are legally protected form the employer' s creditors. Annual OPEB Cost and OPEB Obligation: Prior to January 1, 2007, the OPEB Plan was funded on a pay as you go basis. Beginning January 1, 2007, the county' s annual other post employment benefit (OPEB) cost (expense) is calculated based on the annual required contribution of the employer (ARC) , an amount actuarially determined in accordance with the parameters of GASB Statement 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities (or funding excess) over a period not to exceed thirty years. The primary assumption for the ARC calculation is the 7.5% discount rate. The actuarial assumptions included an annual healthcare cost trend rate of 11% initially, reduced by decrements to an ultimate rate of 5% after 6 years. Liabilities are computed using the projected unit credit method. The unfunded actuarial accrued liability was amortized over a closed 25 year period. The following shows the components of the county' s annual OPEB cost for the year, the amount actually contributed to the plan, and changes in the county' s net OPEB obligation to Weld County: Benefit Obligation and Normal Cost on January 1, 2007 Actuarial Accrued Liability Retired Employees $ 5,040,523 Active Employees 8,553,564 Total $ 13,594,087 Unfunded actuarial accrued liability (UAAL) $ 13,594,087 Normal cost beginning of year $ 248,227 Amortized factor based on 25 years 11.983 Level Dollar Amortization Calculation on ARC under Projected Unit Credit Method on January 1, 2007 Amortization of UAAL over 25 years $ 1,134,451 Normal cost at beginning of year 268,227 Interest 105,201 2007 Gross Annual Required Contribution (ARC) 1,507,879 Employee Contributions (203,064) 2007 Net County ARC 1,304,615 County Contribution (1,304,815) Increased in net OPEB obligation - Unfunded actuarial accrued liability (UAAL) beginning of the year $13, 594, 087 63 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Covered Participants as of January 1, 2007 Active Employees 775 Retired Employees 70 Spouses of Retired Employees 21 866 Three-Year Trend Information: Annual Required Percentage of Net OPEB Fiscal Year End Contribution (ARC) ARC Contributed Obligation December 31, 2007 $ 1, 304, 815 100% $ - Prior to January 1, 2007, the OPEB Plan was on a pay as you go funding basis. January 1, 2007, was the first time an actuarial accrued liability was calculated to determine the net OPEB obligation. The OPEB obligation as of January 1, 2007 was $13, 594, 087, there were no assets on January 1, 2007 to calculate an actuarial value of plan assets. Funded Status and Funding Progress. The funded status of the plan as of December 31, 2007, was as follows: Actuarial Accrued Liability (AAL) $ 13,594,087 Actuarial value of plan assets - Unfunded actuarial accrued liability (UAAL) $ 13,594,087 Funded ratio (actuarial value of plan assets/AAL) 0.0% Covered payroll (active plan members) $ 44,210,417 UAAL as percentage of covered payroll 30.7% Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future, and actuarially determined amounts are subject to continual revision as actual results are compared to past expectations and new estimates are made about the future. The required schedule of funding progress presents multiyear trend information about whether the actuarial value of assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. The actuarial calculations are based on the types of benefits provided under the terms of the substantive plan at the time of each valuation and on the pattern of sharing of costs between the employer and members to that point and reflect a long-term perspective. The Weld County OPEB Plan Assets are accounted for in the Weld County OPEB Plan Trust Fund. A IRC Section 115 Trust is being established for the Weld County OPEB Plan Trust and IRS approval is pending. 64 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Note 12 - Commitments and Contingencies: Commitments At year-end there were projects under construction with commitments of $2, 721, 899 including $2, 502, 950 for the Alternative Programs building, $54, 660 for the Jail Phase III, $9, 310 for the Court Services Phase III, $50, 446 for the Buildings and Grounds administration building and $104, 533 for the parking lot at the south Social Services building. Colorado voters passed an amendment to the State Constitution, Article X, Section 20, which has several limitations, including revenue raising, spending abilities, and other specific requirements of state and local governments. The Amendment is complex and subject to judicial interpretation. The entity believes it is in compliance with the requirements of the amendment. However, the entity has made certain interpretations of the amendment' s language in other to determine its compliance. The County participates in a number of federal and state grant programs. Principal funding agencies include Department of Labor, Community Services Administration, Department of Health and Human Services, Department of Housing and Urban Development, Economic Development Agency, and Area Agency on Aging. These programs are subject to program compliance audits by the grantors or their representatives. The amount, if any, of expenditures which may be disallowed by the granting agencies cannot be determined at this time, although the County expects such amounts, if any, to be immaterial. 65 COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Note 13 - Public Trustee: Pursuant to an act of the Colorado General Assembly, the Weld County Public Trustee is to be deemed an agency of the County for the purpose of financial reporting. Related activity has been reported in the General Agency Fund, with the following activity identified strictly for the office of the Public Trustee as of and for the year ended December 31, 2007 Assets $1, 545, 319 Liabilities 3, 722 Fund Balance 1, 541, 597 Additions 1, 608, 702 Deductions 1, 572, 105 The Public Trustee started a retirement plan in December 2003. The plan is a defined contribution plan under Internal Revenue Code section 401 (K) . Funding levels are set at the following: 2005 7% Employer/Employee 2006 71. % Employer/Employee 2007 8% Employer/Employee 2008 8'.%o Employer/Employee 66 COUNTY OF WELD STATE OF COLORADO Year Ended December 31, 2007 Note 14—Non-Cash Activity in Social Services Fund Schedule of EBT Authorizations, Warrant Expenditures and Total Expenditures For the Year Ended December 31, 2007 A B C D E County EBT Total Refunds and Authorizations plus Expenditures by Expenditures by Total Expenditures County EBT County Share of County Warrant County Warrant Program Authorizations Authorizations or Accrual (Col.A+Col.C) (Col. B+Col. C) 3,780,165 10,120 148,272 3,928,437 158,392 Old Age Pension 1,526,080 134,706 1,660,786 134,706 Low-Income Energy 0 Assistance Program 1,384,430 210,785 2,580,394 3,964,824 2,791,179 Temporary Assistance for Needy Families 0 0 5,636,753 5,636,753 5,636,753 Administration 10,577,946 1,841,797 8,009,064 18,587,010 9,850,861 Trails/Child Welfare 1,255,517 151,046 94,431 1,349,948 245,477 Core Services 690,301 110,402 (59,593) 630,708 50,809 Aid to the Needy Disabled 2,509,298 2,509,298 2,509,298 IV-D Administration 0 0 3,061,824 375,622 643,533 3,705,357 1,019,155 CHATS/Child Care 135,564 135,564 135,564 General Assistance 0 0 22,276,263 2,699,772 19,832,422 42,108,685 22,532,194 Subtotal 13.247.138 (55,144) 13,191,994 (55,144) Food Assistance 0 35,523,401 2,699,772 19,777,278 55,300,679 22,477,050 Grand Total A. Welfare payment authorized by the Weld County Department of Social Services. These County authorizations are paid by the Colorado Department of Human Services by Quest debit cards or by electronic benefits transfer(EBT) B. County share of EBT authorizations. These amounts are settled monthly by a reduction of State cash advances to the County. C. Expenditures made by county warrants or other county payment methods. D. This represents the total cost of the welfare programs that are administered by Weld County. E. This total matches the expenditures on the Social Services Fund—Statement of Revenues, Expenditures and Changes in Fund Balances. 67 Required Supplementary Information Other Than MD&A on COUNTY OF Weld County STATE OF COLORADO Year Ended December 31, 2007 Schedule of Funding Progress Actuarial Actuarial Actuarial Unfunded Runde Covered UAAL as a Valuation Value of Accrued AAL (UAAL) d Payroll (c) Percentag Date Assets Liability (b-a) Ratio e of (a) (AAL) (a/b) Covered Entry Age Payroll (b) [b-a)/c] 1/1/01 $ 81,331,388 $ 84,625,354 $ 3,293,966 96.1% $30,909,895 10.7% 1/1/02 $ 87,357,656 $ 93,322,664 $ 5,965,008 93.6% $33,405,430 17.9% 1/1/03 $ 87,140,219 $100,581,108 $13,440,889 86.6% $36,205,613 37.1% 1/1/04 $ 94,496,804 $112,901,278 $18,404,474 83.7% $36,498,310 50.4% 1/1/05 $ 98,604,182 $120,956,120 $22,351,938 81.5% $38,496,866 58.1% 1/1/06 $103,979,296 $136,792,785 $32,813,489 76.0% $41,529,717 79.0% 1/1/07 $112,874,087 $150,145,842 $37,271,755 75.2% $44,210,410 84.3% Schedule of Employer Contributions Annual Year Ended Required Actual Percentage December 31 Contribution") Contribution Contributed 2000 $1, 199, 689 $1, 814, 318 151.2% 2001 $1, 591, 067 $1, 925, 094 121.0% 2002 $1, 986, 145 $2, 094, 969 105. 5% 2003 $2, 734, 414 $2, 182, 671 79. 8% 2004 $3, 125, 337 $2, 234, 518 71. 5% 2005 S4, 236, 858 $2, 779, 636 86. 1% 2006 $4, 236, 858 $3, 205, 310 65. 6% 2007 $4, 408, 097 $3, 840, 640 87. 1% ')Required contribution at beginning of year. 69 COUNTY OF WELD STATE OF COLORADO Required Supplementary Information Modified Approach for Infrastructure Assets Weld County prepares an annual gravel road plan. In doing this each of the sections of gravel roads has been evaluated by supervisors. They use the State guidelines as out lined in Section 43-2-120(5)(a-b), C.R.S. 1973, which is stated below. Since gravel roads condition can change quickly based on weather conditions the road plan may have to be modified to take care of such problems. Therefore,an official road maintenance system is difficult to put in place. It is the County's policy to maintain the roads in fair or better condition. 2007 Condition Miles of Road %of Total Good 1,698.51 71.95% Fair 617.61 26.16% Poor 44.53 1.89% Comparison of Estimated-to-Actual Maintenance/Preservation 2004 2005 2006 2007 2008 Estimated $ 1,643,167 $ 1,800,000 $ 1,861,200 $ 3,328,512 $ 2,666,172 Actual $ 1,785,000 $ 2,910,000 $ 1,804,000 $ 1,892,000 Gravel Roads- Surface Condition Rating Criteria Section 43-2-120(5)(a-b),C.R.S. 1973,gives the following guidelines pertaining to the condition criteria on gravel roads. Good Surface Condition $ There is adequate width for safe passage of large vehicles. $ Graded to a uniform cross-section,having a crown and ditches to provide good drainage. $ The surface is smooth with no washboards,rutting or soft areas;vehicles can safely travel at the posted speed limit. S There is adequate gravel uniformly spread across the surface. $ During periods of wet weather,roads will support traffic. Fair Surface Conditions $ Adequate width for safe passage of cars and pickup trucks. $ Cross-section may vary;the crown is not consistent;ditches and drainage are not adequate. $ The surface has occasional washboards and ruts but irregularities do not interfere with safe vehicle operation at the speed limit. $ Gravel is present,but lacking in the wheel paths or in short stretches. S During periods of wet weather,puddles develop;the road is slippery but will support normal traffic. Poor Surface Condition S Two cars cannot safely pass. $ Cross-section varies. There is no crown or ditches,and water does not drain from the road. $ The surface has washboards,ruts,soft areas; vehicles must slow to less than the speed limit. $ Gravel is sparse or does not exist. $ During periods of wet weather,cars cannot safely travel. 70 Required Supplementary Information Other Than MD&A on COUNTY OF WELD STATE OF COLORADO General Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance REVENUES Taxes: General property taxes 48,245,705 48,245,705 48,259,700 13,995 Severance tax 25,000 263,700 262,841 (859) Tobacco products 85,000 85,000 109,680 24,680 Penalties & interest - - 83,786 83,786 Property tax adjustment (2,287,896) (2,287,896) (2,287,896) - Total Taxes 46,067,809 46,306,509 46,428,111 121,602 Licenses and Permits Liquor licenses 5,000 5,000 5,383 383 Planning permits 1,000,000 1,000,000 730,685 (269,315) Building permits 900,000 900,000 689,638 (210,362) Electrical permits 130,000 130,000 195,690 65,690 Total Licenses and Permits 2,035,000 2,035,000 1,621,396 (413,604) Intergovernmental: Federal grants - 44,877 851,728 806,851 Payment in lieu of taxes 4,000 4,000 1,750 (2,250) State grants 3,008,305 3,483,205 5,137,098 1,653,893 Other governmental units 29,890 29,890 129,248 99,358 Cities and towns 261,000 211,000 179,567 (31,433) Total Intergovernmental 3,303,195 3,772,972 6,299,391 2,526,419 Charges for Service: Plan checking fees 350,000 350,000 250,895 (99,105) Charges for services 2,432,339 2,869,339 3,077,424 208,085 Sale of supplies 108,400 108,400 145,396 36,996 Parking 31,000 31,000 26,437 (4,563) Total Charges for Services 2,921,739 3,358,739 3,500,152 141,413 Fines and Forfeitures: Property forfeitures/evidence 2,500 2,500 274,759 272,259 Fines (drunk drivers) 149,000 179,000 132,003 (46,997) Total Fines and Forfeitures 151,500 181,500 406,762 225,262 Miscellaneous: Miscellaneous 1,203,464 1,252,310 2,032,375 780,065 Interest 2,750,000 3,830,000 4,498,591 668,591 Rents from buildings 136,918 136,918 122,651 (14,267) Royalties 300,000 570,000 825,550 255,550 Total Miscellaneous 4,390,382 5,789,228 7,479,167 1,689,939 71 COUNTY OF WELD STATE OF COLORADO General Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance REVENUES (CONTINUED) Fees: Fee account 6,827,000 7,409,000 7,199,470 (209,530) Treasurer's fees 58,000 58,000 50,191 (7,809) Cable fees 45,000 60,000 53,470 (6,530) Total Fees 6,930,000 7,527,000 7,303,131 (223,869) Total Revenues 65,799,625 68,970,948 73,038,110 4,067,162 EXPENDITURES General Government: Office of the Board 617,827 677,327 656,956 20,371 County Attorney 714,695 738,695 688,264 50,431 Public Trustee 7,000 7,000 - 7,000 Planning and zoning 1,635,291 1,687,291 1,687,157 134 Clerk to the Board 254,121 291,121 287,420 3,701 County Clerk 792,712 905,712 785,292 120,420 Elections and registration 1,059,946 946,946 927,856 19,090 Motor vehicle 1,546,771 1,546,771 1,537,435 9,336 County Treasurer 799,051 919,351 914,402 4,949 County Assessor 2,418,714 2,505,714 2,526,576 (20,862) Maintenance of buildings/grounds 3,964,343 4,551,343 4,276,445 274,898 County Council 28,746 28,746 19,707 9,039 District Attorney 4,291,027 4,314,027 4,173,809 140,218 Juvenile Diversion Grant 146,444 161,644 162,473 (829) Juvenile Assessment Center - 44,877 59,934 (15,057) Victim Assistance 433,174 469,174 1,128,964 (659,790) White Collar Crime 13,000 25,800 11,523 14,277 DUI - 13,600 4,031 9,569 MYAT- Probation - 42,000 40,496 1,504 Interagency Oversight Group - - 143 (143) Financial administration 297,377 322,377 308,266 14,111 General accounting 512,967 636,967 640,642 (3,675) Purchasing 130,169 134,669 134,453 216 Personnel 632,468 854,468 851,562 2,906 Geographical Information Systems 294,118 197,118 123,059 74,059 Capital - - 15,174 (15,174) Computer Services 2,010,034 3,060,034 3,219,303 (159,269) Printing and Supply 279,057 344,557 301,213 43,344 Total General Government 22,879,052 25,427,329 25,482,555 (55,226) (CONTINUED) 72 COUNTY OF WELD STATE OF COLORADO General Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the fiscal year ended December 31, 2007 Budget- GAAP Basis Original Final Actual Variance EXPENDITURES (CONTINUED) Public Safety Sheriff administration 1,398,410 1,462,410 1,496,646 (34,236) Crime control and investigations 6,347,584 6,659,584 7,040,759 (381,175) Traffic control 1,096,328 1,247,974 1,123,170 124,804 Municipal Service Contracts - - 30,171 (30,171) Task force 169,615 169,615 128,619 40,996 Regional forensic laboratory 219,114 187,614 149,281 38,333 Communications services 1,918,290 1,918,290 1,856,091 62,199 Communication system development - 5,000 5,754 (754) E-911 administration 700 700 159 541 Criminal justice 839,148 879,148 738,160 140,988 County Coroner 568,512 584,012 625,366 (41,354) Correctional administration 16,204,744 15,889,744 16,374,416 (484,672) Community correction 2,375,343 2,375,343 2,341,874 33,469 Building inspection 1,281,232 1,631,232 1,550,381 80,851 Office of emergency management 119,354 122,354 121,064 1,290 Waste water management 11,367 11,367 9,019 2,348 Animal control 317,227 377,227 337,370 39,857 Pest/weed control 452,875 469,875 461,376 8,499 West Nile - 3,200 3,108 92 Victim Advocates 102,170 134,170 132,054 2,116 Solid waste - - 12,130 (12,130) Total Public Safety 33,422,013 34,128,859 34,536,968 (408,109) Public Works: General engineering 1,775,872 1,705,872 1,541,786 164,086 Extension services 393,933 399,933 386,566 13,367 Veteran office 64,893 64,893 61,394 3,499 Airport 17,474 219,074 218,156 918 Total Public Works 2,252,172 2,389,772 2,207,902 181,870 Public Health and Welfare: Mental health 135,875 95,875 91,875 4,000 Developmentally disabled 46,125 46,125 46,125 - Seniors program 12,500 12,500 12,500 - Economic development 100,000 1,100,000 1,092,300 7,700 A Kid's Place 8,750 8,750 8,750 - Total Public Health and Welfare 303,250 1,263,250 1,251,550 11,700 (CONTINUED) 73 COUNTY OF WELD STATE OF COLORADO General Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance EXPENDITURES (CONTINUED) Culture and Recreation: Missile site park 68,975 68,975 57,555 11,420 Parks and Trails 32,000 34,000 34,000 - County fair 318,546 318,546 523,089 (204,543) Total Culture and Recreation 419,521 421,521 614,644 (193,123) Miscellaneous: Other 1,248,415 1,480,415 2,197,467 (717,052) Building rents 5,756,500 5,722,500 5,717,893 4,607 Total Miscellaneous 7,004,915 7,202,915 7,915,360 (712,445) Capital Outlay: Capital purchases 1,326,000 1,200,100 712,432 487,668 Debt Services: Capital lease 301,293 301,293 335,771 (34,478) Total Expenditures 67,908,216 72,335,039 73,057,182 (722,143) Other Financing Source (Use) Non-Departmental 81,892 81,892 81,892 - Transfers-Out: Appropriation Grants-In-Aid 2,550,741 3,050,741 3,550,741 (500,000) Total Other Financing Sources (Uses) (2,468,849) (2,968,849) (3,468,849) (500,000) Net Change in Fund Balance (4,577,440) (6,332,940) (3,487,921) 2,845,019 Fund Balance at Beginning of Year 11,576,666 11,576,666 11,576,666 - Fund Balance at End of Year $ 6,999,226 $ 5,243,726 $ 8,088,745 $2,845,019 74 COUNTY OF WELD STATE OF COLORADO Public Works Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance REVENUES: Taxes: General property taxes 7,004,703 7,004,703 7,008,030 3,327 Specific ownership taxes 6,600,000 6,600,000 7,054,652 454,652 Penalties& Interest - - 12,215 12,215 Total Taxes 13,604,703 13,604,703 14,074,897 470,194 Licenses and Permits Moving permits 300,000 400,000 508,335 108,335 Intergovernmental: Mineral leasing 150,000 150,000 153,051 3,051 Grazing act 80,000 80,000 85,199 5,199 Payment in lieu of taxes 20,000 20,000 15,204 (4,796) Grants 4,448,000 4,448,000 5,064,770 616,770 Motor vehicle registration fees 340,000 340,000 341,898 1,898 Highway user tax fund 7,900,000 7,900,000 8,413,837 513,837 Total Intergovernmental 12,938,000 12,938,000 14,073,959 1,135,959 Charges for Services: Charges for services - - 1,217,651 1,217,651 Miscellaneous: Earnings on deposits - - 133,259 133,259 Special assessments - - 7,369 7,369 Miscellaneous 3,187,000 3,287,000 1,110,135 (2,176,865) Total Miscellaneous 3,187,000 3,287,000 1,250,763 (2,036,237) Fees: Other fees - - 612,352 612,352 Total Revenues 30,029,703 30,229,703 31,737,957 1,508,254 76 COUNTY OF WELD STATE OF COLORADO Public Works Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance EXPENDITURES Public Works Bridge construction 3,201,229 3,351,229 3,289,043 62,186 Maintenance of condition 4,148,531 4,674,531 5,840,578 (1,166,047) Maintenance support 2,209,243 1,305,547 1,230,755 74,792 Trucking division 2,828,507 3,279,507 3,254,862 24,645 Mining division 2,678,066 2,204,066 1,975,660 228,406 Administration 809,771 872,771 1,195,311 (322,540) Pavement Management - 998,696 828,544 170,152 Other public works 20,884,891 21,084,891 10,641,062 10,443,829 Total Public Works 36,760,238 37,771,238 28,255,815 9,515,423 Intergovernmental: Grants-in-aid to cities/towns 1,494,595 1,494,595 1,335,040 159,555 Total Expenditures 38,254,833 39,265,833 29,590,855 9,674,978 Net Change in Fund Balance (8,225,130) (9,036,130) 2,147,102 11,183,232 Fund Balances at Beginning of Year 19,389,842 19,389,842 19,389,842 - Fund Balances at End of Year $ 11,164,712 $ 10,353,712 $ 21,536,944 $ 11,183,232 77 COUNTY OF WELD STATE OF COLORADO Social Services Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance REVENUES Taxes: General property taxes $ 5,600,000 $ 5,600,000 $ 5,607,217 $ 7,217 Penalties& Interest - - 9,733 9,733 Total Taxes 5,600,000 5,600,000 5,616,950 16,950 Intergovernmental: Welfare 18,914,673 18,914,673 16,137,119 (2,777,554) Total Revenues 24,514,673 24,514,673 21,754,069 (2,760,604) EXPENDITURES Public Health and Welfare: Administrative-regular 7,002,907 7,002,907 3,840,050 3,162,857 Administrative - IV-D 2,279,629 2,279,629 2,509,299 (229,670) Food stamps - - (55,144) 55,144 Employment first 1,156,276 1,156,276 1,709,580 (553,304) General assistance 190,000 190,000 135,563 54,437 TANF 3,153,000 3,153,000 2,791,179 361,821 AND-State 76,000 76,000 50,809 25,191 Child welfare 9,692,500 9,692,500 9,850,863 (158,363) Day care 1,053,000 1,053,000 1,019,156 33,844 Medicaid transportation - - 444 (444) 78 COUNTY OF WELD STATE OF COLORADO Social Services Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance EXPENDITURES (CONTINUED): OAP -A 175,000 175,000 158,394 16,606 Core services 280,000 280,000 245,476 34,524 Administrative- LEAP 181,700 181,700 136,574 45,126 LEAP - Program - - (1,868) 1,868 Total Public Health and Welfare 25,240,012 25,240,012 22,390,375 2,849,637 Capital Outlay 155,000 155,000 86,675 68,325 Total Expenditures 25,395,012 25,395,012 22,477,050 2,917,962 Net Change in Fund Balance (880,339) (880,339) (722,981) 157,358 Fund Balances at Beginning of Year 3,071,658 3,071,658 3,071,658 - Fund Balances at End of Year $ 2,191,319 $ 2,191,319 $ 2,348,677 $ 157,358 79 COUNTY OF WELD STATE OF COLORADO Human Services Fund Schedule of Revenues, Expenditures and Changes in Fund Balances-Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance REVENUES Intergovernmental: Federal grants $ 10,128,459 $ 12,247,749 $ 12,056,411 $ (191,338) State grants 1,946,490 1,946,490 1,343,292 (603,198) Total Intergovernmental 12,074,949 14,194,239 13,399,703 (794,536) Charges for Services: Charges for services 566,910 566,910 638,310 71,400 Total Charges for Services 566,910 566,910 638,310 71,400 Miscellaneous: Donations from private sources 155,000 155,000 167,116 12,116 Other revenue - - 44,295 44,295 Total Miscellaneous 155,000 155,000 211,411 56,411 Total Revenues 12,796,859 14,916,149 14,249,424 (666,725) EXPENDITURES Economic Assistance: Human resources general fund - - 78,493 (78,493) Head start 2,987,432 3,073,732 3,034,820 38,912 Migrant head start 2,229,423 2,381,923 2,364,515 17,408 Colorado Works - 60,000 59,139 861 Preschool program 147,500 147,500 168,355 (20,855) Building Health Marriages - 50,000 43,538 6,462 FENWC carryover - 810,000 928,272 (118,272) Job service 569,800 630,000 672,606 (42,606) Summer job hunt 31,000 31,000 32,999 (1,999) Jobs/New directions 43,000 47,000 47,654 (654) Employment first 148,800 150,800 150,368 432 Summer of service - - 8,000 (8,000) TANF 732,800 732,800 646,031 86,769 WIA administration 121,000 135,000 151,943 (16,943) WA adult programs 301,200 521,200 561,098 (39,898) WIA youth programs 437,000 437,000 371,920 65,080 WIA Rapid Response/DW - 13,900 13,825 75 JTPA IIB 41,600 47,000 52,912 (5,912) 10% Discretionary Grant - 26,500 26,270 230 WA planning 93,000 100,000 28,932 71,068 WIA statewide activities 62,000 62,000 - 62,000 WIA dislocated worker 350,600 590,000 550,133 39,867 Human resources lab pool 286,000 420,000 443,648 (23,648) UI training program 198,800 198,800 174,728 24,072 80 COUNTY OF WELD STATE OF COLORADO Human Services Fund Schedule of Revenues, Expenditures and Changes in Fund Balances-Budget and Actual For the fiscal year ended December 31, 2007 Budget-GAAP Basis Original Final Actual Variance EXPENDITURES(CONTINUED): One stop 200,500 200,500 193,781 6,719 Family support program - 35,000 31,277 3,723 AAA administration 66,850 66,850 72,390 (5,540) OAA title Ill-B 226,310 226,310 189,165 37,145 OAA title III-C1 congregate 382,830 382,830 364,948 17,882 OAA title III-C2 42,000 42,000 44,168 (2,168) OAA in home support 14,980 14,980 9,881 5,099 AAA elder abuse 2,190 2,190 855 1,335 AAA ombudsman 5,340 5,340 5,111 229 Single entry point 645,340 645,340 688,115 (42,775) FTA 128,590 203,590 144,577 59,013 CHIP Grant - - 4,246 (4,246) NCMC Grant - - 7,470 (7,470) Vale Grant - - 5,462 (5,462) AM case management 26,090 26,090 6,433 19,657 Transportation - 36,000 34,562 1,438 AAA state funds 232,460 232,460 251,297 (18,837) Medicaid transportation 46,910 135,000 71,703 63,297 Supplemental foods 1,679,180 1,679,180 1,445,448 233,732 Part E family caregiver support 78,810 78,810 56,643 22,167 CSBG 269,130 269,130 211,466 57,664 Total Economic Assistance 12,828,465 14,947,755 14,449,197 498,558 Capital Outlay: Human resources general fund - - 6,627 (6,627) Total Capital Outlay - - 6,627 (6,627) Total Expenditures 12,828,465 14,947,755 14,455,824 491,931 Other Financing Sources(Uses): Transfers-In: OAA area agency 12,351 12,351 12,351 - Total Other Financing Sources 12,351 12,351 12,351 - Net Change in Fund Balance (19,255) (19,255) (194,049) (174,794) Fund Balances at Beginning of Year 861,698 861,698 861,698 - Fund Balances at End of Year $ 842,443 $ 842,443 $ 667,649 $ (174,794) 81 Supplemental Information COUNTY OF WELD STATE OF COLORADO EXPLANATIONS OF FUNDS December 31, 2007 MAJOR GOVERNMENTAL FUND Capital Projects Fund Capital Expenditures Fund: This fund accounts for various capital improvement projects on County property. NON-MAJOR GOVERNMENTAL FUNDS Special Revenue Funds Special revenue funds account for taxes or other earmarked revenue of the County that finances specified activities as required by law or administrative action. Conservation Trust Fund: The Conservation Trust Fund accounts for revenue received from the State of Colorado to be used for the acquisition, development and maintenance of new and existing conservation sites within Weld County. The funds are derived from the Colorado State Lottery. Contingent Fund: The Contingent Fund records any property tax revenue levied by the Board of County Commissioners to cover reasonably unforseen expenditures. Emergency Fund: The Emergency Fund accounts for the"Emergency Reserve"required by"Amendment One"to the Colorado Constitution. Public Health Fund: The Weld County Public Health Department provides health services to County residents. The fund reflects revenue and expenditures for health care, health education, health monitoring and other related activities. Solid Waste Fund: This fund accounts for revenue received from a surcharge on dumping fees at solid waste disposal sites for the purpose of combating environmental problems and for the further improvement and development of landfill sites within the County. Bebee Draw Law Enforcement Fund This fund accounts for the revenue of the law enforcement authority. The authority is a taxing unit created by the County to provide additional law enforcement services by the County Sheriff to residents in a developed unincorporated area of the County 83 COUNTY OF WELD STATE OF COLORADO EXPLANATIONS OF FUNDS December 31, 2007 PROPRIETARY FUNDS Enterprise Funds Enterprise funds account for operations that are financed and operated in a manner similar to private business enterprises where the intent of the governing body is that the costs (expenses including depreciation) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges;or where the governing body has decided that periodic determination or revenue earned, expenses incurred, and/or net income is appropriated for capital maintenance, public policy, management control, accountability or other purposes. Paramedic Services Fund: This fund accounts for the ambulance services provided to Weld County. Internal Service Funds Motor Vehicle Fund: This fund accounts for the revenue and costs generated by equipment and vehicles rented to various departments of the County. Health Insurance Fund: This fund accounts for the County's self-insured dental and vision coverage. Revenue is generated from contributions from the employees of the County. Disbursements are made after insured claims have been verified and approved. Insurance Fund: This fund accounts for all insurance costs for the County,except health insurance. This program is a combination of insured risks and protected self-insurance risks. Phone Services Fund: This fund accounts for all phone costs provided to the County and other outside agencies on a cost- reimbursement basis. Weld Finance Corporation: This fund acquires real estate and constructs buildings for the use of County departments. 84 COUNTY OF WELD STATE OF COLORADO EXPLANATIONS OF FUNDS December 31, 2007 FIDUCIARY FUNDS Agency Funds Agency funds account for assets held by the County as an agent for individuals,private organizations and/or other governments. General Agency Fund: This fund account for all monies collected(principally tax collections)by the Weld County Treasurer for various other local governmental units within the County. Payroll Agency Fund: This fund accounts for the accumulation of County payrolls and related withholdings. Disbursements are made to the appropriate financial institutions through the payroll direct deposit system and the various vendors for the withholdings. Employee Flexible Spending: This fund accounts for Weld County's Section 125,voluntary tax-sheltered plan,which the County administers directly. Employee contributions to the plan are refunded upon submission of documentation for un-reimbursed claims. 85 COUNTY OF WELD STATE OF COLORADO Combining Balance Sheet Non-Major Governmental Funds December 31, 2007 Conservation Contingent Emergency Trust Fund Fund Fund ASSETS Cash and short-term investments $ 197,987 $ 5,457,600 $ 5,000,000 Receivables (net of allowance for uncollectibles): Current property taxes - 1,994,661 - Delinquent property taxes - 3,034 - Accounts - - - Inventories - - - Other assets - - - Total Assets $ 197,987 $ 7,455,295 $ 5,000,000 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ - $ - $ - Accrued liabilities - - - Due to other County funds - - - Unearned revenue - 2,003,034 - Total Liabilities - 2,003,034 - Fund Balances: Reserved for encumbrances - - - Reserved for other assets - - - Reserved for emergency - - 5,000,000 Unreserved: Designated for future year's expenditure - 5,452,261 - Undesignated 197,987 - - Total Fund Balances 197,987 5,452,261 5,000,000 Total Liabilities and Fund Balances $ 197,987 $ 7,455,295 $ 5,000,000 88 Bebee Draw Total Law Nonmajor Public Health Solid Waste Enforcement Governmental Fund Fund Fund Funds $ 922,188 $ 945,847 $ 99 $ 12,523,721 - - - 1,994,661 - - - 3,034 626,060 42,874 - 668,934 885 - - 885 $ 1,549,133 $ 988,721 $ 99 $ 15,191,235 $ 96,149 $ 2,949 $ - $ 99,098 222,352 - - 222,352 114,590 97,549 - 212,139 63,087 - - 2,066,121 496,178 100,498 - 2,599,710 1,712 - - 1,712 885 - - 885 - - - 5,000,000 - 594,269 - 6,046,530 1,050,358 293,954 99 1,542,398 1,052,955 888,223 99 12,591,525 $ 1,549,133 $ 988,721 $ 99 $ 15,191,235 89 COUNTY OF WELD STATE OF COLORADO Combining Statement of Revenues, Expenditures and Changes in Fund Balances Non-Major Governmental Funds For the fiscal year ended December 31, 2007 Conservation Contingent Emergency Trust Fund Fund Fund REVENUES: Taxes: Taxes $ - $ 2,603,533 $ - Intergovernmental 423,260 - - Charges for services - - - Miscellaneous 8,113 - - Total Revenues 431,373 2,603,533 - EXPENDITURES: Current: Public Safety - - - Public health and welfare - - - Culture and recreation 396,667 - - Capital outlay - - - Total Expenditures 396,667 - - Excess of Revenues Over(Under) Expenditures 34,706 2,603,533 - Other Financing Sources (Uses): Transfers- In - - 1,000,000 Transfers-Out - - - Total Other Financing Sources (Uses) - - 1,000,000 Net Change in Fund Balances 34,706 2,603,533 1,000,000 Fund Balances at Beginning of Year 163,281 2,848,728 4,000,000 Fund Balances at End of Year $ 197,987 $ 5,452,261 $ 5,000,000 90 Bebee Draw Total Law Nonmajor Public Health Solid Waste Enforcement Governmental Fund Fund Fund Funds $ - $ - $ 15,682 $ 2,619,215 3,152,591 - - 3,575,851 1,295,755 1,148,263 - 2,444,018 76,692 - - 84,805 4,525,038 1,148,263 15,682 8,723,889 - 601,128 15,875 617,003 7,298,716 - - 7,298,716 - - - 396,667 22,971 - - 22,971 7,321,687 601,128 15,875 8,335,357 (2,796,649) 547,135 (193) 388,532 2,745,767 - - 3,745,767 - 789,269 - 789,269 2,745,767 (789,269) - 2,956,498 (50,882) (242,134) (193) 3,345,030 1,103,837 1,130,357 292 9,246,495 $ 1,052,955 $ 888,223 $ 99 $ 12,591,525 91 COUNTY OF WELD STATE OF COLORADO Capital Expenditures Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES General property taxes $ 5,875,000 $ 5,875,000 $ 5,878,117 $ 3,117 Penalties & interest - - 10,341 10,341 Total Taxes 5,875,000 5,875,000 5,888,458 13,458 Grant - 2,000,000 400,000 (1,600,000) Fees 400,000 400,000 146,104 (253,896) Earnings on deposits 100,000 100,000 551,467 451,467 Total Revenues 6,375,000 8,375,000 6,986,029 (1,388,971) EXPENDITURES Capital Outlay: Buildings 18,256,403 20,756,403 16,221,887 4,534,516 Total Expenditures 18,256,403 20,756,403 16,221,887 4,534,516 Other Financing Sources (Uses): Transfers- In: General Fund - 500,000 500,000 - Total Other Financing Sources - 500,000 500,000 - Net Change in Fund Balance (11,881,403) (11,881,403) (8,735,858) 3,145,545 Fund Balance at Beginning of Year 11,730,547 11,730,547 11,730,547 - Fund balance at End of Year $ (150,856) $ (150,856) $ 2,994,689 $ 3,145,545 92 COUNTY OF WELD STATE OF COLORADO Conservation Trust Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Intergovernmental: State lottery $ 372,000 $ 372,000 $ 423,260 $ 51,260 Miscellaneous: Earnings on deposits 9,000 9,000 8,113 (887) Total Revenues 381,000 381,000 431,373 50,373 EXPENDITURES Culture and Recreation: Land improvements 381,000 381,000 396,667 (15,667) Total Expenditures 381,000 381,000 396,667 (15,667) Net Change in Fund Balance - - 34,706 34,706 Fund Balances at Beginning of Year 163,281 163,281 163,281 - Fund balances at End of Year $ 163,281 $ 163,281 $ 197,987 $ 34,706 93 COUNTY OF WELD STATE OF COLORADO Contingent Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Taxes: General property taxes $ 2,600,000 $ 2,600,000 $ 2,599,072 $ (928) Penalties& Interest - - 4,461 4,461 Total Taxes 2,600,000 2,600,000 2,603,533 3,533 Total Revenues 2,600,000 2,600,000 2,603,533 3,533 EXPENDITURES Miscellaneous 5,450,000 5,450,000 - 5,450,000 Total Expenditures 5,450,000 5,450,000 - 5,450,000 Net Change in Fund Balance (2,850,000) (2,850,000) 2,603,533 5,453,533 Fund Balances at Beginning of Year 2,848,728 2,848,728 2,848,728 - Fund Balances at End of Year $ (1,272) $ (1,272) $ 5,452,261 $ 5,453,533 94 COUNTY OF WELD STATE OF COLORADO Emergency Fund Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Taxes: Total Revenues - - - - EXPENDITURES 4,000,000 5,000,000 - 5,000,000 Other Financing Sources (Uses): Transfers- In: Non-Departmental - 1,000,000 1,000,000 - Total Other Financing Sources (Uses) - 1,000,000 1,000,000 - Net Change in Fund Balance (4,000,000) (4,000,000) 1,000,000 5,000,000 Fund Balances at Beginning of Year 4,000,000 4,000,000 4,000,000 - Fund Balances at End of Year $ - $ - $ 5,000,000 $ 5,000,000 95 COUNTY OF WELD STATE OF COLORADO Public Health Fund Schedule of Revenues,Expenditures and Changes in Fund Balances-Budget and Actual For the fiscal year ended December 31,2007 Budgeted Original Final Actual Variance REVENUES Intergovernmental: State grants $ 3,018,981 $ 3,589,406 $ 3,152,591 $ (436,815) Counties 2,538,390 2,038,390 - (2,038,390) Total Intergovernmental 5,557,371 5,627,796 3,152,591 (2,475,205) Charges for Services: Charges for services 1,319,176 1,401,976 1,295,755 (106,221) Total Charges for Services 1,319,176 1,401,976 1,295,755 (106,221) Miscellaneous: Fees and fines - - 9,906 9,906 Other 16,500 1,500 2,108 608 Donations - 15,000 64,678 49,678 Total Miscellaneous 16,500 16,500 76,692 60,192 Total Revenues 6,893,047 7,046,272 4,525,038 (2,521,234) EXPENDITURES Public Health and Welfare: Public health administration 200,000 200,000 585,289 (385,289) Health education 432,650 1,282,993 1,289,281 (6,288) Nursing 4,797,674 3,880,881 3,101,527 779,354 Environmental health 2,198,151 2,367,830 2,045,805 322,025 Public Health Preparedness - 576,758 276,814 299,944 Total Public Health and Welfare 7,628,475 8,308,462 7,298,716 1,009,746 Capital Outlay: Environmental health - - 22,971 (22,971) Total Capital Outlay - - 22,971 (22,971) Total Expenditures 7,628,475 8,308,462 7,321,687 986,775 Other Financing Sources(Uses): Transfers-In: Non Departmental 707,377 707,377 2,745,767 2,038,390 Total Other Financing Sources 707,377 707,377 2,745,767 2,038,390 Net Change in Fund Balance (28,051) (554,813) (50,882) 503,931 Fund Balances at Beginning of Year 1,103,837 1,103,837 1,103,837 - Fund Balance at End of Year $ 1,075,786 $ 549,024 $ 1,052,955 $ 503,931 96 COUNTY OF WELD STATE OF COLORADO Solid Waste Fund Schedule of Revenues, Expenditures and Changes in Fund Balances -Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Landfill surcharge $ 1,375,000 $ 1,375,000 $ 1,148,263 $ (226,737) Total Revenues 1,375,000 1,375,000 1,148,263 (226,737) EXPENDITURES Miscellaneous: Solid waste 585,731 585,731 600,674 (14,943) Code enforcement - - 454 (454) Total Miscellaneous 585,731 585,731 601,128 (15,397) Total Expenditures 585,731 585,731 601,128 (15,397) Other Financing Sources (Uses): Transfers- Out: General Fund 81,892 81,892 81,892 - Health department 707,377 707,377 707,377 - Total Other Financing Sources (Uses) (789,269) (789,269) (789,269) - Net Change in Fund Balance - - (242,134) (242,134) Fund Balances at Beginning of Year 1,130,357 1,130,357 1,130,357 - Fund Balances at End of Year $ 1,130,357 $ 1,130,357 $ 888,223 $ (242,134) 97 COUNTY OF WELD STATE OF COLORADO Bebee Draw Law Enforcement Fund Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Taxes: General property taxes $ 14,216 $ 14,216 $ 14,210 $ (6) Specific ownership taxes 1,800 1,800 1,419 (381) Penalties & Interest - - 53 53 Total Revenues 16,016 16,016 15,682 (334) EXPENDITURES Miscellaneous 16,016 16,016 15,875 141 Total Expenditures 16,016 16,016 15,875 141 Net Change in Fund Balance - - (193) (193) Fund Balances at Beginning of Year 292 292 292 - Fund Balances at End of Year $ 292 $ 292 $ 99 $ (193) 98 COUNTY OF WELD STATE OF COLORADO Housing Authority Schedule of Revenues, Expenditures and Changes in Fund Balances -Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Intergovernmental: Federal Grants $ - $ - $ - $ - State Grants 2,600,000 2,600,000 3,167,816 567,816 Total Intergovernmental 2,600,000 2,600,000 3,167,816 567,816 Miscellaneous: Earnings on deposits - - 12,306 12,306 Miscellaneous 237,819 237,819 16,552 (221,267) Total Miscellaneous 237,819 237,819 28,858 (208,961) Total Revenues 2,837,819 2,837,819 3,196,674 358,855 EXPENDITURES Rent assistance 2,600,000 2,600,000 2,400,647 199,353 Supplies 228,202 228,202 367,539 (139,337) Depreciation - - 409 (409) Total Expenditures 2,828,202 2,828,202 2,768,595 59,607 Net Change in Fund Balance 9,617 9,617 428,079 418,462 Fund Balances at Beginning of Year - - 2,087,029 2,087,029 Fund Balances at End of Year $ 9,617 $ 9,617 $ 2,515,108 $ 2,505,491 99 COUNTY OF WELD STATE OF COLORADO E-911 Authority Schedule of Revenues, Expenditures and Changes in Fund Balances- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance REVENUES Miscellaneous: Earnings on deposits 80,000 80,000 166,111 86,111 Charge for service 1,456,125 1,456,125 1,403,557 (52,568) Total Revenue 1,536,125 1,536,125 1,569,668 33,543 EXPENDITURES Personnel Services 51,232 51,232 - 51,232 Depreciation 111,589 111,589 108,243 3,346 Purchased services 847,859 847,859 673,673 174,186 Supplies 200,239 200,239 130,228 70,011 Grants and donations - - .. - Total Expenditures 1,210,919 1,210,919 912,144 298,775 Net Change in Fund Balance 325,206 325,206 657,524 332,318 Fund Balances at Beginning of Year 3,535,396 3,535,396 3,535,396 - Fund Balances at End of Year $ 3,860,602 $ 3,860,602 $ 4,192,920 $ 332,318 100 Financial Planning 02/01 The public report burden for this information collection is estimated to average 380 hours annually. Form#350-050-36 City or County: LOCAL HIGHWAY FINANCE REPORT YEAR ENDING : December 2007 This Information From The Records Of(example-City of_or County of Prepared By: Barbara Connolly Phone: (970)356-4000 X4445 I. DISPOSITION OF HIGHWAY-USER REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE A. Local B. Local C. Receipts from D. Receipts from ITEM Motor-Fuel Motor-Vehicle State Highway- Federal Highway Taxes Taxes User Taxes Administration 1. Total receipts available 2. Minus amount used for collection expenses 3. Minus amount used for nonhighway purposes 4. Minus amount used for mass transit 5. Remainder used for ht hwa u oses II. RECEIPTS FOR ROAD AND STREET PURPOSES III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES ITEM AMOUNT ITEM AMOUNT A. Receipts from local sources: A. Local highway disbursements: 1. Local highway-user taxes 1. Capital outlay(from page 2) 6,303,114 a. Motor Fuel (from Item I.A.5.) 2. Maintenance: 18 593 402 b. Motor Vehicle(from Item I.B.5.) 3. Road and street services: c. Total(a.+b.) a. Traffic control operations 2. General fund appropriations b. Snow and ice removal 1,835,784 3. Other local imposts(from page 2) 14,082,266 c. Other 328,204 4. Miscellaneous local receipts(from page 2) 3,581,732 d. Total (a.through c.) 2,163,988 5. Transfers from toll facilities 4. General administration&miscellaneous 2,530,351 6. Proceeds of sale of bonds and notes: 5. Highway law enforcement and safety a. Bonds-Original Issues 6. Total (1 through 5) 29 590,855 b. Bonds-Refunding Issues B. Debt service on local obligations: c. Notes 1. Bonds: d. Total (a.+b.+c.) 0 a. Interest 7. Total(1 through 6) 17,663,998 b. Redemption B. Private Contributions c. Total a.+h. 0 C. Receipts from State government 2. Notes: (from page 2) 13,820 505 a. Interest D. Receipts from Federal Government b. Redemption (from page 2) 253,454 c. Total (a.+b.) 0 E. Total receipts A.7+B+C+D 31,737,957 3. Total (1.c+2.c 0 C. Payments to State for highways D. Payments to toll facilities E. Total disbursements(A.6+B.3+C+D) 29,590,855 IV. LOCAL HIGHWAY DEBT STATUS (Show all entries at par) Opening Debt Amount Issued Redemptions Closing Debt A. Bonds Total 0 1. Bonds(Refunding Portion) B. Notes(1 otal) ll V. LOCAL ROAD AND STREET FUND BALANCE A.Beginning Balance B.Total Receipts r.Total Disbursement D.Ending Balance E.Reconciliation 19,389,842 31,737,957 I 29,590,855 21,536.944 0 Notes and Comments: FORM FHWA-536(Rev. 1-05) PREVIOUS EDITIONS OBSOLETE (Next Page) 1 102 STATE: Colorado LOCAL HIGHWAY FINANCE REPORT YEAR ENDING (mm/yy): December 2007 II. RECEIPTS FOR ROAD AND STREET PURPOSES-DETAIL ITEM AMOUNT ITEM AMOUNT A.3. Other local im•osts: A.4. Miscellaneous local recei i ts: a. Property Taxes and Assessments 7 027 614 a. Interest on investments 133,259 b. Other local imposts: b. Traffic Fines&Penalities 1. Sales Taxes c.Parking Garage Fees 2. Infrastructure&Impact Fees d. Parking Meter Fees 3. Liens e. Sale of Surplus Property 4.Licenses f. Charges for Services 1,217,651 5. Specific Ownership&/or Other 7,054,652 g. Other Misc.Receipts 1,120,687 6. Total(1.through 5.) 7,054,652 h. Other 1,110,135 c. Total a.+b. 14 082 266 i. Total a.throu_•h h. 3 581 732 (Cam forward to •a•e I (C: forward to•a•e I ITEM AMOUNT ITEM AMOUNT C. Recei its from State Government D. Recei its from Federal Government 1. Hi:hwa -user taxes 8 413 837 1. FHWA from Item I.D.5. 2. State general funds 2. Other Federal agencies: 3. Other State funds: a. Forest Service 85,199 a. State bond proceeds b. FEMA b. Project Match c. HUD c. Motor Vehicle Registrations 341,898 d. Federal Transit Admin d.Other (Specify) 5,064,770 e. U.S.Corps of Engineers e. Other(Specify) f. Other Federal 168,255 f. Total(a.through e.) 5,406,668 g. Total (a.through f.) 253 454 4. Total 1.+2.+3. 13 820 505 3. Total 1.+2.• (Carp forward to page I) III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES-DETAIL ON NATIONAL OFF NATIONAL HIGHWAY HIGHWAY TOTAL SYSTEM SYSTEM a b c A.1. Capital outlay: a. Right-Of-Way Costs 2,122,985 2,122,985 b. En ineerin Costs 2 709 066 2 709 066 c. Construction: (1).New Facilities 0 (2). Capacity Improvements 766,114 766,114 (3). System Preservation 704,949 704,949 (4). System Enhancement&Operation 0 (5). Total Construction (1)+(2)+(3)+(4) 0 1,471,063 1,471,063 d. Total Ca ital Outla Lines l.a.+ 1.b.+ 1.c.5 0 6 303 114 6 303 114 (Camp forward to page I) Notes and Comments: FORM FHWA-536(Rev.l-05) PREVIOUS EDITIONS OBSOLETE 2 103 COUNTY OF WELD STATE OF COLORADO Combining Statement of Net Assets Internal Service Funds December 31, 2007 Motor Vehicle Health Fund Insurance Fund Insurance Fund ASSETS Current Assets: Cash and cash equivalents $ 1,537,457 $ 4,277,627 $ 1,792,177 Receivables (net of allowances for uncollectables): Current property taxes - - 1,495,996 Delinquent property taxes - - 1,420 Accounts 161,369 4,674 - Due from other county funds 346,553 - 5,285 Inventories 75,294 - - Total current assets 2,120,673 4,282,301 3,294,878 Fixed assets: Improvements other than buildings 485,897 - - Buildings 1,800,977 - - Machinery and equipment 28,558,209 - - Accumulated depreciation (16,720,830) - - Total Fixed Assets 14,124,253 - - Total assets $ 16,244,926 $ 4,282,301 $ 3,294,878 LIABILITIES AND NET ASSETS Current Liabilities: Accounts payable $ 416,599 $ 7,962 $ 137,079 Accrued liabilities - - 967,140 Due to other county funds 242,290 - 12,729 Unearned revenue - - 1,501,419 Unexpended grant revenue - 740,721 - Total Current Liabilities 658,889 748,683 2,618,367 Total Liabilities 658,889 748,683 2,618,367 Net Assets Invested in capital assets, net of related debt 14,124,253 - - Restricted for: Workers' compensation - - 676,511 Unrestricted 1,461,784 3,533,618 - Totalnetassets 15,586,037 3,533,618 676,511 104 Phone Services Weld Finance Total Internal Fund Corporation Service Funds $ 1,352,361 $ - $ 8,959,622 - - 1,495,996 1,420 13,911 - 179,954 19,687 - 371,525 - - 75,294 1,385,959 - 11,083,811 - - 485,897 - 1,800,977 1,517,053 - 30,075,262 (1,276,008) - (17,996,838) 241,045 - 14,365,298 $ 1,627,004 $ - $25,449,109 $ 46,602 $ - $ 608,242 18,024 - 985,164 1,313 - 256,332 1,501,419 - - 740,721 65,939 - 4,091,878 65,939 - 4,091,878 241,045 - 14,365,298 - - 676,511 1,320,020 - 6,315,422 1,561,065 - 21,357,231 105 COUNTY OF WELD STATE OF COLORADO Combining Statement of Revenues, Expenses and Changes in Net Assets Internal Service Funds For the fiscal year ended December 31, 2007 Motor Vehicle Health Fund Insurance Fund Insurance Fund Operating revenues: Contributions $ - $ 8,821,434 $ - Charges for services 6,891,179 - 254,744 Total operating revenues 6,891,179 8,821,434 254,744 Operating expenses: Personnel services - - - Supplies 2,351,715 - 1,236 Purchased services 2,427,851 18,456 21,505 Insurance and bonds - - 585,331 Depreciation 2,603,636 - - Other 49,975 - 457 Claims - 8,124,089 864,519 Total operating expenses 7,433,177 8,142,545 1,473,048 Operating income (loss) (541,998) 678,889 (1,218,304) Nonoperating revenues (expenses): Taxes - - 1,254,012 Miscellaneous 50 - - Interest income - - 85,122 Grants 1,554,511 - - Gain (loss) on disposition of assets 276,738 - - Judgements and damages 1,900 - 89,855 Interest expense - - - Total nonoperating revenues (expenses) 1,833,199 - 1,428,989 Income (loss) before contributions and transfers 1,291,201 678,889 210,685 Capital contributions 597,415 - - Changes in net assets 1,888,616 678,889 210,685 Total net assets- beginning 13,697,421 2,854,729 465,826 Total net assets-ending $ 15,586,037 $ 3,533,618 $ 676,511 106 Phone Services Weld Finance Total Internal Fund Corporation Service Funds $ - $ - $ 8,821,434 1,136,187 - 8,282,110 1,136,187 - 17,103,544 142,033 - 142,033 22,284 16,461 2,391,696 731,665 822 3,200,299 - - 585,331 77,908 139,514 2,821,058 54,569 - 105,001 - 8,988,608 1,028,459 156,797 18,234,026 107,728 (156,797) (1,130,482) - - 1,254,012 5,925,771 5,925,821 15,500 100,622 - - 1,554,511 (5,507) (4,863,055) (4,591,824) - - 91,755 (352,793) (352,793) (5,507) 725,423 3,982,104 102,221 568,626 2,851,622 - 597,415 102,221 568,626 3,449,037 1,458,844 (568,626) 17,908,194 $ 1,561,065 $ - $ 21,357,231 107 COUNTY OF WELD STATE OF COLORADO Combining Statement of Cash Flows Internal Service Funds For the fiscal year ended December 31,2007 Motor Vehicle Health Insurance Insurance Fund Fund Fund CASH FLOWS FROM OPERATING ACTIVITIES Cash flows from external customers $ 606,851 $ - $ 2,655 Cash flows from internal customers 6,175,720 8,894,379 255,080 Cash payments to external suppliers for goods and services (4,366,430) (7,950,324) (1,316,155) Cash payments to internal suppliers for goods and services (112,110) - - Cash payments to employees for services - (192,531) - Judgements/damages/losses 1,900 - 105,581 Miscellaneous revenues 50 - - Net cash provided(used)by operating activities 2,305,981 751,524 (952,839) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Taxes - - 1,254,012 Grants/Other - -Net cash provided by noncapital financing activities - - 1.254.012 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition of capital assets (2,897,733) - - Principal paid on long-term debt - - - Interest paid - - - Writeoff remaining discount - - - Proceeds from sale of capital assets 484,415 - - Grants 1.554.511 - - Net cash provided(used)for capital and related financing activities (858 8071 - - CASH FLOWS FROM INVESTING ACTIVITIES Interest on investments - .. 85,122 Net Increase(decrease)in Cash and Cash Equivalents 1,447,174 751,524 386,295 Cash and Cash Equivalents at Beginning of Year 90.283 3.526.103 1 405 882 Cash and Cash Equivalents at End of Year $ 1 537 457 $ 4 277 627 $ 1 792 177 Reconciliation of operating income to net cash provided(used)by operating activities: Operating income $ (541,998) $ 678,889 $ (1,218,304) Adjustments to reconcile operating income to net cash provided(used)by operating activities: Depredation expense 2,603,636 - - Judgements/damages/losses 1,900 - 89,855 Miscellaneous revenue 50 - - Change in assets and liabilities (Increase)decrease in accounts receivable (61,059) (4,674) (247,640) (Increase)decrease in due from other funds (142,039) - 337 (Increase)decrease in inventories (56,086) - - (Increase)decrease in other assets - - 15,292 Increase(decrease)in accounts payable 267,864 328 (11,017) Increase(decrease)in accrued liabilities - - 156,258 Increase(decrease)in other liabilities 233,714 - 12,729 Increase(decrease)in deferred revenue - 76,980 249.653 Total adjustments 2 847.980 72 634 265.467 Net cash provided by operating activities s 9'ins gap 6 751 521 9 (95?8371 Noncash investing,capital,and financing activities: Contributions of capital assets from(to)govemment $ 129.935 - - 108 Phone Service Weld Finance Total Internal Fund Corp Service Funds $ 113,187 $ - $ 722,693 1,013,590 - 16,338,769 (662,392) (17,283) (14,312,584) (129,273) - (241,383) (133,165) - (325,696) - 107,481 - - 50 201,947 (17,283) 2289,330 - - 1,254,012 - 5.925,771 5.925.771 5 925.771 7,179,783 (91,442) - (2,989,175) - (5,590,000) (5,590,000) (352,793) (352,793) 16,460 16,460 - - 484,415 - - 1,554511 (91.442) (5,926.3331 (6,876,5821 - 15.500 100,622 110,505 (2,345) 2,693,153 1,241.856 2 345 6 266 469 5 1 352 361 $ - $ 8 959 622 $ 107,728 $ (156,797) $ (1,130,482) 77,908 139,514 2,821,058 - - 91,755 - - 50 (8,528) - (321,901) (882) - (142,584) - (56,086) - - 15,292 24,535 - 281,710 3,154 - 159,412 (1,968) - 244,475 326 633 94,219 139,514 3,419,814 $ 201 947 $ (17 2831 $ 2 289 342 (5,507) - $ 124,428 109 COUNTY OF WELD STATE OF COLORADO Combining Statement of Changes in Assets and Liabilities Fiduciary Funds For the fiscal year ended December 31, 2007 Balance Balance 1/1/2007 Additions Deductions 12/31/2007 GENERAL AGENCY FUND Assets: Cash and short-term investments $ 4,130,227 $ 4,404,788 $ 4,006,084 $ 4,528,931 Total Assets $ 4,130,227 $ 4,404,788 $ 4,006,084 $ 4,528,931 Liabilities: Accounts payable $ - $ 164,837 $ 164,837 $ - Due to other governments 4,130,227 4,549,947 4,151,243 4,528,931 Total Liabilities $ 4,130,227 $ 4,714,784 $ 4,316,080 $ 4,528,931 PAYROLL AGENCY FUND Assets: Cash and short-term investments $ 219,128 $ 18,351,582 $ 18,465,983 $ 104,727 Accounts receivable 0 419 363 56 Total Assets $ 219,128 $ 18,352,001 $ 18,466,346 $ 104,783 Liabilities: Accounts payable $ 219,128 $ 19,135,037 $ 19,249,382 104,783 Total Liabilities $ 219,128 $ 19,135,037 $ 19,249,382 $ 104,783 EMPLOYEE FLEXIBLE SPENDING Assets: Cash and short-term investments $ 24,378 $ 500,810 $ 494,728 $ 30,460 Accounts receivable - - - - Total Assets $ 24,378 $ 500,810 $ 494,728 $ 30,460 Liabilities: Accounts payable $ 24,378 $ 30,642 $ 24,560 30,460 Total Liabilities $ 24,378 $ 30,642 $ 24,560 $ 30,460 TOTAL-ALL AGENCY FUNDS Assets: Cash and short-term investments $ 4,373,733 $ 23,257,180 $ 22,966,795 $ 4,664,118 Accounts receivable 0 419 363 56 Total Assets $ 4,373,733 $ 23,257,599 $ 22,967,158 $ 4,664,174 Liabilities: Accounts payable $ 243,506 $ 19,330,516 $ 19,438,779 $ 135,243 Due to other governments 4,130,227 4,549,947 $ 4,151,243 4,528,931 Total Liabilities $ 4,373,733 $ 23,880,463 $ 23,590,022 $ 4,664,174 110 COUNTY OF WELD STATE OF COLORADO Paramedic Services Fund Schedule of Revenues, Expenses and Changes in Net Assets- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance Operating Revenues: Rescue unit fees $ 7,642,187 $ 8,805,187 $ 8,519,367 $ (285,820) Total Operating Revenues 7,642,187 8,805,187 8,519,367 (285,820) Operating Expenses: Bad debt expense 2,524,000 3,324,000 3,328,501 (4,501) Personnel services 3,856,782 3,856,782 3,873,871 (17,089) Supplies 179,690 459,690 404,848 54,842 Purchased services 529,855 649,855 654,121 (4,266) Depreciation 145,500 145,500 209,580 (64,080) Other 131,360 131,360 108,522 22,838 Total Operating Expenses 7,367,187 8,567,187 8,579,443 (12,256) Operating Income (Loss) 275,000 238,000 (60,076) (298,076) Nonoperating Revenues: Federal grant - 43,200 43,200 - State grants - 77,800 77,528 (272) Fees - - 10,290 10,290 Donations - - 100 100 Gain (loss) on disposition of assets - - 2,470 2,470 Total Nonoperating Revenues - 121,000 133,588 12,588 Income(loss) before contributions and transfers 275,000 359,000 73,512 (285,488) Net Income (Loss) 275,000 359,000 73,512 (285,488) Net Assets at Beginning of Year 2,648,561 2,648,561 2,648,561 - NetAssetsatendofYear $ 2,923,561 $ 3,007,561 $ 2,722,073 $ (285,488) 111 COUNTY OF WELD STATE OF COLORADO Motor Vehicle Fund Schedule of Revenues, Expenses and Changes in Net Assets- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance Operating Revenues: Charges for services $ 4,107,475 $ 4,518,475 $ 4,505,457 $ (13,018) Miscellaneous 2,256,000 2,911,000 2,385,722 (525,278) Total Operating Revenues 6,363,475 7,429,475 6,891,179 (538,296) Operating Expenses: Supplies 2,051,000 2,051,000 2,351,715 (300,715) Purchased services 1,981,500 2,386,500 2,427,851 (41,351) Depreciation 2,256,000 2,586,000 2,603,636 (17,636) Other 49,975 49,975 49,975 - Total Operating Expenses 6,338,475 7,073,475 7,433,177 (359,702) Operating income (loss) 25,000 356,000 (541,998) (897,998) Nonoperating Revenues (Expenses): Miscellaneous - - 50 50 Grants - 500,000 1,554,511 1,054,511 Gain (loss) on disposition of assets 298,800 298,800 276,738 (22,062) Judgements and damages - - 1,900 1,900 Total Nonoperating Revenues(Expenses) 298,800 798,800 1,833,199 1,034,399 Income(Loss) before contributions and transfers 323,800 1,154,800 1,291,201 136,401 Capital contributions - - 597,415 597,415 Net Income (Loss) 323,800 1,154,800 1,888,616 733,816 Net Assets at Beginning of Year 13,697,421 13,697,421 13,697,421 - Net Assets at End of Year $ 14,021,221 $ 14,852,221 $ 15,586,037 $ 733,816 112 COUNTY OF WELD STATE OF COLORADO Health Insurance Fund Schedule of Revenues, Expenses and Changes in Net Assets- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance Operating Revenues: Contributions $ 8,701,008 $ 9,400,000 $ 8,821,434 $ (578,566) Operating Expenses: Purchased services 27,000 27,000 18,456 8,544 Insurance and bonds 1,018,780 1,018,780 - 1,018,780 Claims 7,655,228 8,354,220 8,124,089 230,131 Total Operating Expenses 8,701,008 9,400,000 8,142,545 1,257,455 Operating Income (Loss) - - 678,889 678,889 Net Assets at Beginning of Year 2,854,729 2,854,729 2,854,729 - Net Assets at End of Year $ 2,854,729 $ 2,854,729 $ 3,533,618 $ 678,889 113 COUNTY OF WELD STATE OF COLORADO Insurance Fund Schedule of Revenues, Expenses and Changes in Net Assets- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance Operating Revenues: Charges for services $ 250,000 $ 250,000 $ 254,744 $ 4,744 Operating Expenses: Supplies 500 500 1,236 (736) Purchased services 31,700 31,700 21,505 10,195 Insurance and bonds 495,000 525,000 585,331 (60,331) Other 500 500 457 43 Claims 1,052,300 1,112,300 864,519 247,781 Total Operating Expenses 1,580,000 1,670,000 1,473,048 196,952 Operating Income (Loss) (1,330,000) (1,420,000) (1,218,304) 201,696 Nonoperating Revenues (Expenses): Taxes 1,250,000 1,250,000 1,251,830 1,830 Penalties & interest - - 2,182 2,182 Interest income 30,000 80,000 85,122 5,122 Judgments and damages 50,000 90,000 89,855 (145) Total Nonoperating Revenues (Expenses) 1,330,000 1,420,000 1,428,989 8,989 Net Income (Loss) - - 210,685 210,685 Net Assets at Beginning of Year 465,826 465,826 465,826 - Net Assets at End of Year $ 465,826 $ 465,826 $ 676,511 $ 210,685 114 COUNTY OF WELD STATE OF COLORADO Phone Service Fund Schedule of Revenues, Expenses and Changes in Net Assets- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance Operating Revenues: Charges for services $ 956,579 $ 956,579 $ 1,136,187 $ 179,608 Operating Expenses: Personnel services 133,990 139,990 142,033 (2,043) Supplies 14,500 14,500 22,284 (7,784) Purchased services 652,560 772,560 731,665 40,895 Depreciation 100,950 100,950 77,908 23,042 Other 54,579 54,579 54,569 10 Total Operating Expenses 956,579 1,082,579 1,028,459 54,120 Operating Income (Loss) - (126,000) 107,728 233,728 Nonoperating revenues (expenses): Gain (loss) on disposition of assets - - (5,507) (5,507) Total nonoperating revenues (expenses) - - (5,507) (5,507) Net Income (Loss) - (126,000) 102,221 228,221 Net Assets at Beginning of Year 1,458,844 1,458,844 1,458,844 - Net Assets at End of Year $ 1,458,844 $ 1,332,844 $ 1,561,065 $ 228,221 115 COUNTY OF WELD STATE OF COLORADO Weld Finance Corporation Schedule of Revenues, Expenses and Changes in Net Assets- Budget and Actual For the fiscal year ended December 31, 2007 Budgeted Original Final Actual Variance Operating Revenues: Operating Expenses: Supplies - - 16,461 (16,461) Purchased services - - 822 (822) Depreciation 440,000 440,000 139,514 300,486 Total Operating Expenses 440,000 440,000 156,797 283,203 Operating Income (Loss) (440,000) (440,000) (156,797) 283,203 Nonoperating Revenues (Expenses): Miscellaneous 741,293 741,293 5,925,771 5,184,478 Interest income - - 15,500 15,500 Gain (loss) on disposition of assets - - (4,863,055) (4,863,055) Interest expense (301,293) (301,293) (352,793) (51,500) Total Nonoperating Revenues(Expenses) 440,000 440,000 725,423 285,423 Net Income (Loss) - - 568,626 568,626 Net Assets at Beginning of Year (568,626) (568,626) (568,626) - Net Assets at End of Year $ (568,626) $ (568,626) $ - $ 568,626 116 STATISTICAL x=2C2.i TT. I) ILI SECTION # titCS Wilk COLORADO STATISTICAL SECTION (unaudited) This part of the Weld County Government's comprehensive financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the government's overall financial health. Contents Page Financial Trends 119 These schedules contain trend information to help the reader understand how the government's financial performance and well-being have changed over time. Revenue Capacity 124 These schedules contain information to help the reader assess the government's most significant local revenue source, the property tax. Debt Capacity 128 Weld County is without bonded debt and, accordingly, the following statistical tables are not presented: Ratios of Outstanding Debt by Type and Ratios of General Bonded Debt Oustanding. Demogranphic and Economic Information 131 These schedules offer demographic and economic indicators to help the reader understand the environment within which the government's financial activities take place. Operating Information 133 These schedules contain service and infrastructure data to help the reader understand how the information in the government's financial report relates to the services the government provides and the acitivities it performs. Sources! Unless otherwise noted,the information in these schedules is derived from the comprehensive annual financial reports for the relevant year. 117 COUNTY OF WELD STATE OF COLORADO Net Assets by Component Last Six Years (accrual basis of accounting) Fiscal Year 2002 2al 2004 2605 2006 2007 Govemmental activities Invested in capital assets,net of related debt $ 253,141,316 $ 247,764,877 $ 238,640,911 $ 231,271,356 $ 233,626,280 $ 249,237,323 Restricted for Programs 3,307,949 3,169,309 4,199,374 4,695,690 3,953,450 3,988,022 Emergencies 3,025,505 3,025,505 3,500,000 4,000,000 4,000,000 5,000,000 Claims 1,663,948 1,748,948 1,748,949 1,748,950 1,748,951 1,748,951 Unrestricted 77 713 273 26.511213 30 759.296 39 782 093 48 545 826 40 122 962 Total governmental activities net assets $ 788 851 991. $ 282 219 852 $ 278 848 53Q $ 781 498 n89 $ 791 874 507 $ 300 n97 258 Business-type activities Invested in capital assets,net of related debt $ 941,049 $ 834,285 $ 864,425 $ 809,643 $ 852,705 $ 987,445 Unrestricted (86 0861 (266 7361 (4.7611 1 508 327 2.118 077 2 191.453 Total business-type activities net assets $ 854 981 $ 567 54$ $ 859 664 $ 7 917 985 $ 2 970 787 $ 1 178 898 Primary government Invested in capital assets,net of related debt $ 254,082,365 $ 248,599,162 $ 239,505,336 $ 232,080,999 $ 234,478,985 $ 250,224,768 Restricted 7,997,402 7,943,762 9,448,323 10,444,640 9,702,401 10,736,973 Unrestricted 27 627,187 26 244 477 30 754 535 41 290.415 50 663 903 42 314 415 Total primary government net assets $ 289 706 954 $ 282 787 401, 5 279 708 194 $ 283 816 054 5 294 845 289 $ 309776 15Q Note: The County implemented GASB Statement No.34 in fiscal year 2002,therefore,only six years of government-wide financial data is presented. 118 COUNTY OF WELD STATE OF COLORADO Changes in Net Assets Last Six Years (accrual basis of accounting) Fiscal Year 2442 2003 2004 2005 2006 2007 Expenses Governmental activities: General government $ 19,978,184 $ 23,618753 $ 21,174,906 $ 23,047,725 $ 26,641,373 $ 35,301,327 Public safety 24,079,553 27,827,685 28,425,957 30,449,441 32,562,998 36,717,165 Streets and highways 34,283,421 33,353,129 32,688,807 36,919,372 37,068,628 34,637,731 Health and welfare 21,721,740 21,404,255 23,538,421 24,843,147 26,179,807 31,026,419 Culture and recreation 1,036,099 776,322 1,005,697 771,295 1,549,379 1,008,703 Economic assistance 11,079,949 11,411,322 12,646,785 13,736,745 11,747,943 14,403,662 Interest on long-term debt 406,155 377,233 358,054 340,411 322,293 335,771 Total govemmental activities expenses 112 585 101 118 768 699 119 838.627 130 108 136 136 072,421 153.430.778 Business-type activities: Paramedic service 6 743 936 8 800 646 9 738 148 6.366.088 7.156 700 8 444.840 Total primary govemment expenses 6 111 199 037 $ 127 589 344 $ 179 576 775 $ 136 474 224 6 144 999 121 $ 161 875 615 Program Revenues Governmental activities: Charges for services: General government $ 9,425,679 $ 8,677,015 $ 8,086,983 $ 9,792,423 $ 12,265,623 $ 10,043,033 Public Safety 3,894,565 5,085767 7,609,527 5,430,422 6,378,749 4,998,285 Streets and highways 2,021,319 2,279,939 1,157,634 3,433,713 4,023,310 3,566,774 Health and welfare 13,664,895 11,486,561 12,699,858 13,664,206 14,949,936 17,504,660 Culture and recreation 266,900 1,375 309,948 333,293 345,990 453,352 Economic assistance 922,549 1,576,106 862,223 1,156,012 1,186,129 838,871 Operating grants and contributions 26,156,456 25,963,243 27,124,685 27,885,047 30,045,943 36,500,297 Capital grants and contributions - - - - - 4.738 627 Total govemmental activities program revenues 56,352,363 55,070,006 57,850,858 61,695,116 69,195,680 78,643,899 Business-type activities: Paramedic service 6 815.683 8 518 289 10 035 874 7 829 714 7 710 848 8 652 955 Total primary government revenues 63 168 046 63.588 295 67,886,732 69 524 830 76,906 528 87 296 854 Net(Expenses)/Revenue Governmental activities (56,232,738) (63,698,693) (61,987,769) (68,413,020) (66,876,741) (74,786,879) Business-type activities 71.747 (282,3571 297.728 1.458 301 652.816 208 115 Total primary govemment net $ f56 160 991\ $ (63 981 0501 $ f61 690 0431 $ (66 954 719) $ (66 771 975,1 $ (74 578 7641 (CONTINUED) 119 COUNTY OF WELD STATE OF COLORADO Changes in Net Assets Last Six Years (accrual basis of accounting) Fiscal Year 2002 2003 2004 2005 2006 2007 General Revenues and Other Changes in Net Assets Governmental activities: Taxes: Property taxes $ 45,233,546 $ 47,532,602 $ 50,785,919 $ 56,382,533 $ 62,124,792 $ 67,215,993 Specific Ownership 5,467,148 5,540,872 6,795,897 6,627,991 6,614,819 7,056,071 Other 2,376,581 2,492,418 3,333,336 3,733,025 5,266,786 3,546,134 Unrestricted investment earnings 2,052,594 1,563,120 1,644,979 2,679,442 4,539,172 5,191,430 Donated capital assets 0 0 0 355,784 7,602 0 Gain on sale of capital assets 10,030 (94,544) (2,358,185) - - - Transfers - - - - (13000001 - Total govemmental activities 55 139 899 57 034.468 60 201 946 69 778 775 77.253.171 83 009 628 Business-type activities: Paramedic service - (5 0571 (5.6111 - - - Total primary govemment $ 55 119 899 $ 57 079 411 $ An 19R116 % 89 778 77@ $ 77 753 171 5 89 Ong 626 Change in Net Assets Governmental activities $ (1,092,839) $ (6,664,225) $ (1,785,823) $ 1,365,755 $ 10,376,430 $ 8,222,749 Business-type activities 71.747 (287 4141 292.115 1.458.301 652 816 208 115 Total primary govemment $ (t 071 0921 $ (6 951 6391 $ (1 493 7081 $ 2 824 05Fj % 11 079 24 6 A 430 864 Note: The County implemented GASB Statement No.34 in fiscal year 2002,therefore,only six years of government-wide data is presented. 120 COUNTY OF WELD STATE OF COLORADO Fund Balances of Governmental Funds Last Six Years (modified accrual basis of accounting) Fiscal Year 2QQZ 2003 2004 2005 2006 2QQ7 General Fund Reserved $ 3,249,297 $ 1,342,369 $ 1,516,298 $ 1,486,188 $ 946,073 $ 1,081,217 Unreserved 2,921,157 3.727,307 6 699 941 7,648.920 10,630,592 7,007,528 Total general fund $ 6 170 454 $ 5 069 676 $ 8 216 23$ $ 9 135 108. 5 11 576 665 $ 8 088 745 All other Governmental Funds Reserved $ 6,984,908 $ 2,666,118 $ 4,139,435 $ 8,834,511 $ 19,019,004 $ 12,074,704 Unreserved,reported in: Special revenue funds 19,512,384 22,023,076 25,360,820 26,155,751 25,281,236 27,791,990 Capital projects funds 294,482 2,830,614 697,779 3,511,495 0 272,790 Debt service funds - - - - -Total for all governmental funds 5 32 962 22$ $ 32 589 484 $ 38 414 273 5 47 646 865 $ 55 876 905 $ 48 228 229 Note: The County implemented GASB Statement No.34 in fiscal year 2002,therefore,only six years of government-wide data is presented. 121 COUNTY OF WELD STATE OF COLORADO Changes in Fund Balances,Governmental Funds Last Six Years (modified accrual basis of accounting) Fiscal Year Z9.42. 2.0M3 2004 213LK 2006 x007 Revenues Taxes $ 50,771,861 $ 53,080,974 $ 57,698,294 $ 63,261,095 $ 69,178,181 $ 74,627,631 Licenses and permits 2,205,420 1,760,546 1,834,849 2,119,419 3,188,354 2,129,731 Intergovernmental 40,511,590 38,299,161 40,652,682 41,110,202 44,982,577 53,886,023 Fines and forfeitures 159,246 75,488 69,538 204,530 135,908 416,668 Charges for Services 5,746,678 6,887,469 7,345,819 8,618,819 8,232,213 7,800,131 Miscellaneous 5,536,066 4,739,386 5,329,931 7,582,510 13,377,598 9,567,707 Fees 6 638,831 7,387,204 7 454 831 8 175.907 8,602.079 8.061 587 Total Revenues 111.569.692 112 230 728 120 385.944 131 077 482 147 696 910 156.489.478 Expenditures Current: General government 19,100,208 21,910,296 20,566,315 22,384,671 25,366,204 32,605,930 Public Safety 23,435,572 27,212,371 27,475,345 29,834,629 31,881,427 35,945,956 Public Works 23,465,325 21,407,821 22,734,695 25,490,667 26,315,156 31,798,757 Public health and welfare 21,327,335 20,896,282 23,046,109 24,284,817 25,993,962 30,940,641 Culture and recreation 1,046,374 764,449 1,007,208 775,903 1,550,929 1,011,311 Economic assistance 10,892,932 11,365,585 12,450,198 13,572,861 11,746,242 14,449,197 Capital outlay 9,590,948 8,668,934 6,923,230 5,165,931 14,980,649 17,050,592 Debt service Interest 406,155 377,233 358,054 340,411 322,293 335,771 Principal - - - - - - Total Expenditures 109 264 849 112 602,971 114.561.154 121 849 890 138 156 867 164 138 155 Excess of revenues over(under)expenditures 2,304.843 (372.7431 5.824.790 9 222 597 9.540 048 (7.648.6771 Other Financing Sources(Uses) Transfers-in 5,144,682 2,482,745 4,299,153 7,436,144 11,309,847 4,340,010 Transfers-out 5.144.68Z 2 482,745 4,799 151 7 436 144 12,609.847 4.340 010 Total Other Financing Sources(Uses) - - - - (1,300,000) Net changes in Fund Balance $ 2 104 841 $ (372 7431 $ 5 824 79Q $ 9722 592 $ 8 240 048 $ (7 648 6771 Debt Service as a percentage of noncapital expenditures 0,41% 0.36% 0.33% 0.29% 0.26% 0.23% Note: The County implemented GASB Statement No.34 in fiscal year 2002,therefore,only six years of government-wide data is presented. 122 O o a m Orn m 0 0 0 0 0 0 0 0 0 0 CA 03 O IA n 0 n O N C9 C9 r 0 CO tV d C or- M N N- M O r O 0 h i 8 J O r r N eD to N N O 0 a a Ti o 0 0 0 0 n V r 0 V N d V V M M n n r n o O 0 0 0 0 O n 0 V 0) O0 N O K co N N N O 0 r- 0 ' n To % N N N N N N N A O r r ✓ r r 0 0 V M O) 0 00 o Cr) CD n n o or O) co a a.2270 > p 0 OO 0 M 0 0 0 O cocorococorcoopco ca N j tO M LO V 10 V LO M O V J E < -0 M o r o cco N co (ni r Ooi W N ¢ co N ' co co O) N U) N 0 f0 O W CO 6 O 0 N N h co- O) N I- 0000000000 y E J r co r LO O 0 r r a- ° C n co co N Q) co co r e • N n 0 N VE y t0 n 6 M co y > ' L0 0 a0 O N N V t0 0) E CO a OI CO O N. a a M 0) St 0 0 r 0 M Vl N Ni r h M Y1 l7 0 a t0 O e. co n 0 n N V 0 t0 N V CO T F M a e- e- N N N N N M V V M y O 0 T O a) 0 0 0 0 0 0 0 0 0 0 N t_. O O o n O o 0 0 0 0 C O 0 0 O N n N CO O n n Lo 0 0_ 0 0 W N N M 0 M r r M 0 N O L 3) N y CD m r N 1- N V on r 0 co 09 V 0 0 0 M n M n N a J to 4 rmwoinoomom IT c o co N N N N V Cr) V O n H 0 0 0 0 0 0 0 0 0 0 0 R O 0 0 0 V V V CO N M (O - N N yo 0 or co O n M of N n 0 C > J d §Q N LO N. N- N 0 V 0 0A r e- 10 10 W K — t0 M M or 0 y 0 0 06 0 a 0 To co 6 ,,,cc (O M N V N co r M V 0 0 j or N M (O fO 0 N r a--. A LL D U >- 0 O 0 a < or W y0y 0 0 0 0 0 0 01 CD Q 0Q 0 0 0 d r to y V P Cel.- N N r V N.- CO O C N 7 W E m 0 0 C e 0 0 o n .- o N- co or 0 I-- E J jy O M O to N t0 . co t4 n ^ a O N W co Z y n co- r 0 r co- 0 0 0 ' O N a 0 a 0 C O O O O O a O O O O d y d r2 f03 D D O M D D N CO LC co 3 N CO n r r N 0 0 0 r 5 O > ` V r O 0 V V n n r CO • O n n a tp co- M 0 M N N n fo an N ro 4 V nt$ nninn r r0 0 m » t m o 0 0 0 0 0 0 0 0 o c -' co Q R N r N .- co co co N I e- t0 0 6 p 0 n N N 0 n a N M n O " 0 CO NN-r 0 r N N O e 0- a h O (D LED In ,n In N 0 .-- co c 3 0 To 0 0 0 0 0 0 0 0 0 0 >` ` ,' rV 10 ,- OV) n MVWr d0- O. y 0 n r O M O O n r N to o To E O . o N a M 0 CO M o 0- C E• LL 0 0 0 co- co- )(i m ri m W n 0 V r co V O co M 0 a o N N M M M V V n n 0 N W W _ O O O oD O O o O O O er y 0 i c0 co r n n 0 CO r OD V LC)- V O N N n r O e- f0 C0 W C o a d N V L0 O n co V n co C O O a O co n r r r r V N O O o o d• o 0 0 C V t0 0 e- N t0 O0 O T M 0 or co co 0 in r n 0 12 a 0't or or n t0 r r CO 0 0 N a N N E. o o 0000o0SO0e V m ELL O V 0 CO M n 0 CO O o Y 0 A NC a co r V V c t0 w t0 of 2 U NI O r n n N M to o t0 0 O 0 y w J N 0 CO r CO n W 0 n V a, 0 E > 0 r Oi p co- (O tr O N E al M V n a0 O M F 0 co 0 0 Si 0 0 0 0 0 0 8 N Cr) V n CO r 0 0 0 0 J Y m m N N N N NO N N N 0 0 1O Z 123 COUNTY OF WELD STATE OF COLORADO Property Tax Rates Direct and Overlapping Governments Last Ten Years Overlapping Rates Levy Direct City of School Aims Weld Year County Greeley District 6 College Library 1998 22.040 11.274 49.617 6.320 1.409 1999 22.040 11.274 49.099 6.250 1.449 2000 22.038 10.635 47.315 6.343 3.249 2001 22.038 11.274 46.974 6.351 3.249 2002 20.559 11.274 50.320 6.620 3.249 2003 20.056 11.274 47.981 6.316 3.249 2004 21.474 11.274 46.453 6.322 3.249 2005 19.957 11.274 44.711 6.328 3.249 2006 17.900 11.274 41.129 6.357 3.281 2007 16.804 11.274 40.760 6.330 3.261 The basis for the property tax rates is per$1,000 assessed valuation. Source: Office of the Weld County Assessor. 124 COUNTY OF WELD STATE OF COLORADO Principal Property Taxpayers 2007 1998 Percent Percent Of Total County Of Total County Taxable Taxable Taxable Taxable Assessed Assessed Assessed Assessed Thermo Cogeneration Partnership Value Rank Value Value Rank Value Noble Energy Inc $ 628,188,710 1 14.06% Kerr-McGee Rocky Mountain Corporation 538,938,330 2 12.06% Encana Oil&Gas Inc 136,417,080 3 3.05% Petroleum Development Corp 125,643,030 4 2.81% Public Service Company of Colorado 93,813,600 5 2.10% $ 54,998,700 4 4.25% Rocky Mountain Energy Center 80,078,300 6 1.79% Petro-Canada Resources(USA)INC 78,071,550 7 1.75% Merit Energy 60,877,970 8 1.36% DCP Midstream LP 48,205,900 9 1.08% Owens-Brockway Glass Container 36,815,410 10 0.82% HS Resources Inc 130,955,390 1 8.43% Patina Oil&Gas Corporation 87,602,530 2 5.64% Eastman Kodak Company 65,995,310 3 3.54% Thermo Cogeneration Partnership 26,300,300 5 1.69% North American Resources Company 22,614,200 6 1.46% Duke Energy Field Services Inc 17,775,610 7 1.14% US West Communications Incorporated 17,685,600 8 1.14% Prima Oil&Gas Company 14,888,980 9 0.96% RR Donnelley&Sons Company 9,854,490 10 0.63% $ 1,827,049,880 40.88% $ 448,671,110 28.88% Source: Weld County Assessor 125 COUNTY OF WELD STATE OF COLORADO Property Tax Levies and Collections Last Ten Years Collected within the Taxes Levied Ficsal Year of the Levy Collections Total Collections to Date Levy Coiled for the Tax Percent in Subsequent Tax Percent Year Year Fiscal Year(11 Amount(21 of Lew Years 3 Amount(31 of Levy 1997 1998 32,543,342 32,222,578 99.014% 144 32,222,722 99.015% 1998 1999 34,162,938 34,094,225 99.799% 16,004 34,110,229 99.846% 1999 2000 35,976,391 35,788,843 99.479% 92,122 35,880,965 99.735% 2000 2001 38,774,962 38,275,747 98.713% 53,693 38,329,440 98.851% 2001 2002 45,619,589 45,566,346 99.883% 53,243 45,619,589 100.000% 2002 2003 48,640,425 48,410,396 99.527% 99,691 48,510,087 99.732% 2003 2004 53,350,030 53,094,454 99.521% (230,294) 52,864,160 99.089% 2004 2005 59,680,948 59,395,927 99.522% (48,154) 59,347,773 99.442% 2005 2006 64,636,463 64,580,198 99.913% 56,265 64,636,463 100.000% 2006 2007 70,575,408 70,575,408 100.000% - 70,575,408 100.000% Source: 1)Final Budget 2)YTD Treasurer's Tax Distribution 3)YTD Treasurer's Tax Distribution 2001 forward. Negative values reflect subsequent rebates and adjustments. 126 COUNTY OF WELD STATE OF COLORADO Direct and Overlapping Governmental Activities Debt December 31,2007 Net General Obligation Percentage Amount Bonded Debt Applicable to Applicable to Jurisdiction Outstanding Government(1) Government Cities&Towns $ 93,208,676 79.56% $ 74,154,344 Schools 841,011,281 40.18% 337,904,281 Special Districts 137.994,997 75.57% 104.287.762 Total Overlapping $ 1 072 214 954 $ 516 346387 Source: Debt outstanding provided by each governmental unit. Note: (1) Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the county. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by residents and businesses of Weld County. This process recognizes that, when considering the county's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. 127 ) .- ) ] \ ) ] a { § § } N ei ri i : co in to a en en 2 } co ) - ) ; I ] ) 11 O11k } ) § { \ § } , Z I— \ \ -j ] co ' ) th - § § , ▪ - / § co � /• {/ 0 ( i _ » ! »! / ® � - - \ / \ / - , ] a el � � \ \ ca i :fj \ to• a to .15 In . / ft \ Ee 0 \ \ i- Z0S▪ fa 128 COUNTY OF WELD STATE OF COLORADO Private Purpose Revenue Bonds December 31,2007 INDUSTRIAL REVENUE BONDS: DEBT REVENUE BOND TYPE OF ISSUE OUTSTANDING OUSTANDING ISSUER FACILITY AMOUNT DATF BEGINNING OF YEAR JSSUED RETIRFD END OF YEAR Waste Service Corporation Landfill $860,000 2/91 $315,000 $0 $70,000 $245,000 Waste Service Corporation Landfill 2,500,000 2/91 1,070,000 0 175,000 895,000 MAK Group,LLC Manufacturing 1,345,000 6/01 1,345,000 0 0 1,345,000 Centennial Area Office Health Education Central 388,000 5/99 298,500 0 15,721 282,779 GSSLB Association Nursing Home Nursing Home 2,020,000 10/98 1,425,000 0 115,000 1,310,000 Greeley Center for Therapeutic 1,650,000 9/03 1,466,121 0 61,936 1,404,185 Independence,Inc Center BSC Hudson Manufacturing 5,715,000 10/05 5,715,000 0 0 5,715,000 North Range Behavioral Health Office 4,500,000 5/07 Q 4 500.000 Q 4 500 000 TOTAL PRIVATE PURPOSE REVENUE BONDS $11 634 621 $4 500 000 $437 657 $15 696 964 129 COUNTY OF WELD STATE OF COLORADO Demographic and Economic Statistics Last Ten Years Total Personal Income Per Unemployment Year Population {$billionl Capita Income Rate 1998 166,547 3.52 21,144 3.90% 1999 174,342 3.89 22,301 3.70% 2000 180,936 4.22 23,016 2.70% 2001 193,929 4.36 22,469 4.00% 2002 202,329 5.02 24,571 6.10% 2003 207,120 5.14 24,279 6.70% 2004 217,652 5.38 25,274 5.40% 2005 221,957 5.79 25,968 5.00% 2006 229,377 5.84 25,495 3.80% 2007 236,908 6.23 26,280 4.63% Source: Upstate Colorado in cooperation with University of Northern Colorado and the State of Colorado demographer. 130 COUNTY OF WELD STATE OF COLORADO Principal Employers Current Year and Nine Years Ago 2007 1998 Percent Percent Of Total County Of Total County Employees Rank Employment Emolovees Rank Employment Swift&Company(formerly ConAgra) 3650 1 3.13% 4159 1 5.02% Northern Colorado Medical Center 2700 2 2.32% 1850 4 2.23% School District 6 2307 3 1.98% 1750 5 2.11% State of Colorado(includes UNC) 1723 4 1.48% 2997 2 3.62% Weld County Government 1490 5 1.28% 1000 7 1.21% US Government 1400 6 1.20% 2443 2 2.95% State Farm Insurance Companies 1322 7 1.13% 986 9 1.19% City of Greeley 1306 8 1.12% 701 10 0.85% Startek USA 906 9 0.78% Wal-mart Super Center 856 10 0.73% Eastman Kodak Company 2439 3 2.94% Aims Community College 1454 6 1.75% Hewlett Packard 995 8 1.20% Total Principal Employers 17,660 15.15% 20,774 25.07% Other Employers 98,926 84.85% 62,082 74.93% Total County Employment 116,586 100.00% 82,856 100.00% Source: Upstate Colorado Total Employment from Colorado Department of Labor&Employment 131 xr IN (o O 0 O)) N N O r N CO10 0 r O N LO N.Cb CO (OD It CO CD N O N N O L- N IT O N COO O N CD N rn LO O N N N O N co QQ c -O LO CO N (O CD V co O V V) DI N N N O 0 V. O a N O N o o) c a C O_ CD N co N (NO Li) IN 0 N .0 �i M Cr N r N r O r 2 co c o r r N 3 O > N a N TO p a L v in O N 0 O (+) r C@ @ O O Q O CO 0 N N U) N _ 0 >` NI N N N 0 CO OJ Q d O r r C H N Ni 2 @ 3 K E Co 0 a O a O 0 E a�i v v v v N (0O A) (C) 0) `m ` H I N N N 0 0 CO ` LL0 7 w 0 J N as w 3 a) r 00 Hi CD = 0) J R CO CO CO N 0) r 1> M 0 O N N N 0) 0 @ 0in 0 C N @ CD O c > r @ N O (0 O N O) CO CO r O V w 0I N (NV r N L- 0) 0 0 0 O a) N @ r O E `L. > L J 0 LL 01 N N CV N CO N 0 LID N a O 0 U c ma) m rc rn 3 y c O C) 0 = O) CC N 'E. c C C c 0 CO N E 'o @ ) C 3 V 3 LO E v I V K 00 O C) ` d@ E c @ a) N c o . Z E c m a v E a) w To g > o U 3 U ca E _ @ w a 0 a) Y V @ N0 c 1" @ @ > L n o ca u) 3@@ E m w m £ @ r d o U) U o 'L" s- C O c N a U ui Q z w TO a d D Ci c .j o j o o D O o o ^ r 0 LL O a a r 0 w H co H (O z " r . 132 COUNTY OF WELD STATE OF COLORADO Operating Indicators by Function/Program Last Eight Years Fiscal Year 2000 2001 2002 2003 2004 2005 2006 2007 Function/Program General government: Motor vehicle registration 478,727 294,019 305,879 433,188 439,146 462,877 466,777 484,412 Registered voters(1) 80,041 79,289 85,161 76,245 98,692 99,711 100,924 88,601 Number of votes cast(2) 65,317 22,422 56,730 32,476 89,099 46,327 68,871 30,203 Percent of registered voters voting 81.6% 28.3% 66.6% 42.6% 90.3% 46.5% 68.2% 34.1% Public safety: Adult arrests 1,457 1,520 1,435 2,738 1,387 1,543 1,574 1,606 Juvenile arrests 250 220 337 491 218 206 215 224 Average secure jail population 303 298 330 371 402 455 579 628 E911 calls 55,807 52,000 84,420 72,396 75,276 79,425 92,045 95,524 Building Permits 2,190 2,180 2,082 1,941 2,012 2,082 1,972 2,081 Valuation(thousands) $143,856 $148,426 $125,336 $201,442 $132,178 $104,225 $399,473 $90,446 Public works: Miles of road graveled 427 440 440 440 401 401 160 359 Snow removal lane miles 1370 1390 1390 1,406 33,710 78,435 125,225 222,703 Grading lane miles 123,718 131,171 131,171 126,000 175,910 165,681 164,906 135,779 Miles of Upgrade-Aggregate Surfaced Roads 26 5 5 8 10 0 10 34 Culverts(new and repaired)1S'and larger 204 240 240 240 217 217 242 250 Tons of asphalt laid 102,221 80,055 80,055 101,243 95,634 95,634 70,421 67,389 Tons of gravel crushed 490,000 500,000 500,000 510,000 487,477 487,477 408,409 411,582 Health and welfare: Social Services Caseload 9,900 9,900 9,900 9,900 12,000 14,000 14,500 15,000 Patient contacts 17,271 16,207 16,207 14,601 15,000 11,000 30,440 11,880 Immunizations 15,979 17,730 5,848 4,600 7,500 6,900 6,360 7,165 Culture and recreation: Visitors-Missile Park 700 700 695 558 575 575 586 595 County Fair Exhibitors — 5,000 2,370 2,410 2,410 2.220 2,422 2,326 Economic assistance: Headstart clients 524 537 577 641 622 562 562 562 Migrant Headstart clients . 250 99 200 146 175 266 266 266 Business-type activities: Paramedic Services Patients transported 6,973 6,687 7,027 7,060 7,331 7,284 8,375 8,210 Source:Various Weld County Department records. Note: (1)Beginning in 1999 the number of registered voters reflects active voters. (2)Even years represent general elections,odd years coordinated elections. 133 COUNTY OF WELD STATE OF COLORADO Capital Asset Statistics by Function/Program Last Eight Years Fiscal Year 2000 2001 2002 2003 2004 2005 2006 2007 Function/Program General govemment: Building Square Footage 585,045 604,100 620,310 684,551 684,551 719,723 725,723 Court rooms 9 9 9 9 10 12 18 18 Information Systems Connections 959 997 1,240 1,292 1,292 1,292 Public safety: Jail capacity(beds) 454 454 454 454 386 386 386 386 Patrol cars 35 36 44 43 42 46 55 55 Radios and cell phones 828 857 947 939 1,140 1,229 1,270 Public works: Miles of Roads Paved 665 665 670 679 671 681 675 670 Unpaved 2,490 2,484 2,457 2,438 2,425 2,394 2,387 2,370 Un-maintained 255 254 253 250 252 512 327 492 Grader sheds 18 18 18 18 18 18 18 18 Motor graders 27 27 30 29 30 30 30 30 Health and welfare: Altemative fuel vehicles 4 4 4 5 6 4 4 4 Economic assistance: Headstart sites 12 12 12 11 11 11 11 11 Business-type activities: Paramedic Services Ambulances 11 11 10 10 10 10 10 11 Source: Weld County Department records and Fixed Asset Inventory 134 COUNTY OF WELD STATE OF COLORADO Insurance in Force December 31,2007 Policy Policy Period Annual Name of Company Number Begins Expires Details of Coverage Liability Limits Premium Midwest Employers ECW005661 01/01/07 12/31/07 Excess Worker's Employer's Liability Casualty Company Compensation $1,000,000/Accident. Worker's Compensation Statutory Limits with County retaining first $450,000 each claim. $77,050 Lexington 1115700 01/01/07 12/31/07 Property damage, Property: $50,000,000/ (Colorado Counties automobile liabilities, occupancy/$500 deductible. Casualty&Property general liability,public All Liability: $250,000/person; Pool) officials. $600,000/claim. Excess Liability: (Federal and Out-of-State Only) $2,750,000/person Excess $250,000: $600,000/Claim. St.Paul Fire and Marine GP06301937 Excess Casualty and Excess$400,000 Insurance Company Boiler&Machinery Crime: $150,000/Loss (Colorado Counties $500 Deductible Casualty&Property Property Claim Pool) County retaining first $274,898 $125,000 each claim 135 Single O ' Audit fiAt1ti Ent COLORADO alt BONDI & Co. LLC 44 INVERNESS DRIVE EAST (303)799-6826 PHONE ENGLEWOOD,COLORADO 80112 CERTIFIED PUBLIC ACCOUNTANTS (800)250-9083 TOLL-FREE MANAGEMENT CONSULTANTS www.bondico.com (303)799-6926 FAX Board of County Commissioners Weld County Greeley, Colorado Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards We have audited the financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of Weld County, Colorado, as of and for the year ended December 31, 2007, and have issued our report thereon dated June 6, 2008. We did not audit the financial statements of the Weld County Housing Authority, which represents 39 percent, 37 percent, and 67 percent, respectively, of the assets, net assets and revenues of the discretely presented component units. Those financial statements were audited by other auditors whose report thereon has been furnished to us, and our opinion, insofar as it relates to the amounts included for the Weld County Housing Authority, is based on the report of the other auditors. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Internal Control Over Financial Reporting In planning and performing our audit, we considered Weld County, Colorado's internal control over financial reporting as a basis for designing our auditing procedures for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Weld County, Colorado's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of Weld County, Colorado's internal control over financial reporting. A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects Weld County, Colorado's ability to initiate, authorize, record, process, or report financial data reliably in accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of Weld County, Colorado's financial statements that is more than inconsequential will not be prevented or detected by Weld County, Colorado's internal control. 142 Affiliate Offices Worldwide !k! !&;}R >E°!! co )) �_ ■f;-; z- _ § ! N « )/0 \\/ ()/)) Oeeeee N-0 8 paw, :cniTi } , ,rOro:z : :° / §. 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N ... 8 NON N N N N N N N N N fl;g N z N N N N N N LL W 0NON N NNN 8 ONO SSry(N8 NON NO N88 N 888 888888 138 ! `E \»;& \/ \ \ m �N °`N `- ` 8 ; ; E ;;l; ))/ ! B ! 88« B:-° }wz\ o : _ a ~ °M6 - 0 0 ; f §; 700M ! _: ==§m , § ! ) : u N ^# ! en « 0 a) (0E §§r: # )) § § [ �» `+H ! CC 0 !°! « ist it ° Ow WW< - 0 0 2 FA ~N P#N F CC LL L ` — o ;$)§ 8 T :;2! : \\/ ` ! ) , )( (( \ 8 j \ §- (§- ) (( | \ , ) ; ! / § u. {� !) ! ! <‹ cI; 0 § - � f •§!) ( ` ` w E} mk )/rr w a § ^ § — � _ ® E : )\)8 § \ " ~ CO\ )) !!§§ / ] N0 N0 0 ` \ §E (§§K Board of County Commissioners Weld County Greeley, Colorado A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by Weld County, Colorado's internal control. Our consideration of the internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in the internal control that might be significant deficiencies and, accordingly, would not necessarily disclose all significant deficiencies that are also considered to be material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined above. Compliance and Other Matters As part of obtaining reasonable assurance about whether Weld County, Colorado's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. We noted certain matters that we reported to management of Weld County, Colorado, in a separate letter dated May 19, 2008. This report is intended solely for the information and use of the County Commissioners, management, others within the County, and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. V"ai, 44. az. June 6, 2008 BONDI& Co. ac 143 8 BONDI & Co. LLc 44 INVERNESS DRIVE EAST (303)799-6826 PHONE ENGLEWOOD,COLORADO 80112 CERTIFIED PUBLIC ACCOUNTANTS (800)250-9083 TOLL-FREE MANAGEMENT CONSULTANTS www.bondico.com (303)799-6926 FAX Board of County Commissioners Weld County Greeley, Colorado Report on Compliance with Requirements Applicable to Each Major Program and Internal Control Over Compliance in Accordance with OMB Circular A-133 Compliance We have audited the compliance of Weld County, Colorado, with the types of compliance requirements described in the U. S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement that are applicable to each of its major federal programs for the year ended December 31, 2007. Weld County, Colorado's major federal programs are identified in the summary of auditors' results section of the accompanying schedule of Findings and questioned costs. Compliance with the requirements of laws, regulations, contracts, and grants applicable to each of its major federal programs is the responsibility of Weld County, Colorado's management. Our responsibility is to express an opinion on Weld County, Colorado's compliance based on our audit. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about Weld County, Colorado's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination of Weld County, Colorado's compliance with those requirements. As described in item 07-1 in the accompanying schedule of rmdings and questioned costs, the County did not comply with program eligibility determination requirements that are applicable to the Temporary Assistance for Needy Families (TANF) program. Compliance with such requirements is necessary, in our opinion, for the County to comply with the requirements applicable to the program. 144St RAF Affiliate Offices Worldwide Board of County Commissioners Weld County Greeley, Colorado In our opinion, except for the noncompliance described in the preceding paragraph, Weld County, Colorado, complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal programs for the year ended December 31, 2007. Internal Control Over Compliance The management of Weld County, Colorado, is responsible for establishing and maintaining effective internal control over compliance with the requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and performing our audit, we considered Weld County, Colorado's internal control over compliance with the requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of Weld County, Colorado's internal control over compliance. A control deficiency in Weld County, Colorado's internal control over compliance exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirement of a federal program on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects Weld County, Colorado's ability to administer a federal program such that there is more than a remote likelihood that noncompliance with a type of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by Weld County, Colorado's internal control. We consider the deficiency described in the accompanying schedule of findings and questioned costs to be a significant deficiency in internal control over compliance. The significant deficiency is identified as finding 07-01. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that material noncompliance with a type of compliance requirement of a federal program will not be prevented of detected by Weld County, Colorado's internal control. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. Weld County, Colorado's responses to the fmdings identified in our audit are described in the accompanying schedule of findings and questioned costs. We did not audit Weld County, Colorado's responses, and accordingly, we express no opinion on them. 145 Board of County Commissioners Weld County Greeley, Colorado This report is intended solely for the information and use of the County Commissioners, management, others within the County, and federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than those specified parties. 644; "C. u c. June 6, 2008 BONDI& Co.ac 146 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS For the Year Ended December 31, 2007 Section I- Summary of Auditors' Results Financial Statements Type of auditors' report issued: Unqualified Internal control over financial reporting: Material weakness(es) identified? yes r no Significant deficiency(ies) identified not considered to be material weaknesses? yes v no Noncompliance material to financial statements noted? yes r no Federal Awards Internal control over major programs: Material weaknesses) identified? yes r no Significant deficiency(ies) identified not considered to be material weaknesses? r yes no Type of auditors' report issued on compliance for major programs: Qualified Any audit findings disclosed that are required to be reported in accordance with Circular A-133, Section .510(a)? r yes _ no Identification of major programs: CFDA Number(s) Name of Federal Program or Cluster 10.551 Food Stamp Program 10.561 Food Stamp Administration 17.258 WIA Adult Program 17.259 WIA Youth Activities 17.260 WIA Dislocated Workers 93.558 Temporary Assistance for Needy Families 93.563 Child Support Enforcement 93.568 Low-Income Home Energy Assistance 93.658 Foster Care - Title IV-E Dollar threshold used to distinguish between Type A and Type B programs: $1,939,500 Auditee qualified as low-risk auditee? r yes no 147 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) For the Year Ended December 31, 2007 Section II —Financial Statement Findings There were no findings relating to the audit of the County's basic financial statements that are required to be reported under generally accepted government auditing standards. Section HI - Federal Award Findings and Questioned Costs 07-01 - CFDA No. 93.558 Temporary Assistance for Needy Families (TANF) Program Eligibility Determination Pass Through the State of Colorado Department of Human Services Federal Agency: Department of Health and Human Services Criteria: TANF participants must have a current Individual Responsibility Contract (IRC), immunization records for children covered by the program, proof of work or participation in work program, and cooperate with child support enforcement in order to be determined eligible for the TANF program. Condition and Context: We tested a sample of twenty-five case files. Five files did not contain an IRC, nine files did not contain immunization records, twelve files did not have proof of investigation of other income through the state data system, and eight files did not contain proof of cooperation with Child Enforcement Agency. Cause: Inconsistent management and review of case files allows for a lack of required documentation to be present in the file. The transfer of documents between Social Services and the imaging contractor is not adequate and documents are not being filed correctly in the system or documents are being lost. Effect: Without current and proper documentation in the file, there is the ability for ineligible participants to receive benefits. This program is designed to be a temporary assistance, which increases the need to verify current data. 148 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) For the Year Ended December 31, 2007 Section III - Federal Award Findings and Questioned Costs (Continued) Recommendation: We recommend the County implement procedures to review case files to ensure all required documents are present and filed to support eligibility of the program. All documents should be retained or imaged according to County policy to support the program requirements. Questioned Costs: Cannot be determined. Managements Response & Corrective Actions: After the field work was completed, Department staff reviewed the Department's imaging system and identified several cases that had the applicable Individual Responsibility Contracts, current immunization records, and/or Department of Labor screen prints in it. The Department will provide additional training to all Colorado Works eligibility staff on the rules and regulations to ensure that all applicable cases have Individual Responsibly Contracts, current immunization records, documentation that ensures the client is cooperating with Child Support and that either screen prints from the Department of Labor or case comments are in Colorado Benefit Management System noting that there was no income for the specified period of time. Further, the Department will provide additional training to staff on what document types to use when imaging documents and will continue to stress the importance of using accurate and consistent index values on each case. In future audits, the Department will have management staff sit with the audit team to identify the required documents in imaging if requested. 149 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) For the Year Ended December 31, 2007 Section IV - Prior Year Findings 06-01 - CFDA No. 93.563 Child Support Enforcement IV-D Child Support Insurance Pass Through the State of Colorado Department of Human Services Federal Agency: Department of Health and Human Services Criteria: The State IV-D agency must attempt to secure medical support information and establish and enforce medical support obligations for all individuals eligible for services under 45 CFR Section 302.33. Specifically, the State IV-D agency must determine whether the custodial parent and child have satisfactory health insurance other than Medicaid. If not, the agency must petition the court or administrative authority to include medical support in the form of health insurance coverage in all new or modified orders for support. Condition and Context: From 30 selected samples tested, three cases did not have documentation to support insurance coverage of the child(ren). In all cases, insurance was ordered to be maintained for the child(ren); however, no steps were taken by the Department of Social Services to ensure compliance. Cause: There is a lack of required oversight of ordered insurance. Effect: The ordered insurance is for the protection of the child(ren). Recommendation: We recommend the Department of Social Services require additional oversight in order to ensure compliance with court ordered stipulations. Auditor Response: This item has been corrected based on the 2007 audit testing performed. 150 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) For the Year Ended December 31, 2007 Section IV - Prior Year Findings (Continued) 06-02 — CFDA No. 93.658 Foster Care — Title IV-E Foster Care Income Determination Pass Through the State of Colorado Department of Human Services Federal Agency: Department of Health and Human Services Criteria: A child must meet the eligibility requirements of the former Aid to Families with Dependent Children (AFDC) program (42 USC 672(a)). Eligibility ceases at the child's 18th birthday (45 CFR Section 233.90(b)(3)). To be eligible for the Foster Care Program, families must meet income standards set by the federal program. Condition and Context: When reviewing one file out of a sample of 25 participants, we found that the income verification section of the original determination was blank. Cause: There was a lack of oversight on the file that allowed an original determination to be processed without documenting the income verification in the file. Effect: Without documentation of income used to support eligibility, benefits could be paid to ineligible participants. Recommendation: We recommend the Department ensure all program participant income is validated with appropriate supporting documentation. Auditor Response: This item has been corrected based on the 2007 audit testing performed. 151 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) For the Year Ended December 31, 2007 Section IV - Prior Year Findings (Continued) 06-03 - CFDA No. 10.561 Food Stamp Administration Pass Through the State of Colorado Department of Human Services Federal Agency: Department of Health and Human Services Criteria: Entities that use Electronic Benefits Transfer (EBT) must have systems in place to reconcile all of the funds entering into, exiting from, and remaining in the system each day with the organization's benefit account with Treasury and EBT contractor records. This includes a reconciliation of the organization's issuance files of postings to recipient accounts with the EBT contractor. Condition and Context: We reviewed 25 participants and found the daily reconciliations required under EBT regulations are not being followed. Weekly reconciliations were prepared on the EBT Cards through September. Beginning in October 2006, the County came into compliance with the requirement to perform daily reconciliations. Cause: Due to staffing levels and case loads, the Department was not able to prepare a daily reconciliation. Effect: Without a daily reconciliation of EBT cards, there is increased potential for fraudulent activity between reconciliations. Recommendation: In order to ensure compliance with EBT Regulations, a daily reconciliation of EBT cards should take place. Auditor Response: This item has been corrected based on the 2007 audit testing performed. 152 COUNTY OF WELD STATE OF COLORADO SCHEDULE OF FINDINGS AND QUESTIONED COSTS (Continued) For the Year Ended December 31, 2007 Section IV - Prior Year Findings (Continued) 06-04, 05-6 - CFDA No. 93.558 Temporary Assistance for Needy Families (TANF) Program Eligibility Determination Pass Through the State of Colorado Department of Human Services Federal Agency: Department of Health and Human Services Criteria: TANF participants must have a current Individual Responsibility Contract (IRC), as well as provide immunization records for children covered by the program. Condition and Context: We tested a sample of eleven files. In the sample, we found one file did not contain an IRC, one file did not contain immunization records, and one file could not be located by the County. The County believes the file was destroyed years ago. Cause: Inconsistent management of case files allow a lack of required documentation to be present in the file. Effect: Without current and proper documentation in the file, there is the ability for ineligible participants to receive benefits. This program is designed to be a temporary assistance, which increases the need to verify current data. Recommendation: We recommend the Department ensure all program participants are validated with appropriate supporting documentation. Questioned Costs: Cannot be determined. Auditors Response: Still a finding in 2007 - see 07-01 153 COUNTY OF WELD STATE OF COLORADO NOTES TO SCHEDULE OF FEDERAL EXPENDITURES OF FEDERAL AWARDS December 31, 2007 NOTE 1: BASIS OF PRESENTATION The accompanying Schedule of Expenditures of Federal Awards, which includes the federal grant activity of the County of Weld, Colorado, is presented on the accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of the Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in, the preparation of the Weld County, Colorado's financial statements for the year ended December 31, 2007. NOTE 2: COMMODITY SUPPLEMENTAL FOOD PROGRAM Non-monetary assistance is reported in the schedule at the fair market value of the commodities distributed during the year. At December 31, 2007, the County had food commodities totaling $301,579 in inventory, with a corresponding amount reported as deferred revenue to be realized when distributed. NOTE 3: SUB-RECIPIENT The County does not have any significant sub-recipients. 154 Hello