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Home My WebLink About20241775.tiffrs . ig hpams Library District WELD COUNTY, COLORADO ANNUAL COMPREHENSIVE FINANCIAL REPORT YEAR ENDED DECEMBER 31, 2023 ANdERSON I Er WhiTNEY • Co MM,Vn:Gafi:o0S 07 /off /2.1 2024-1775 L..Z000q High Plains Library District 2650 W. 29th Street Greeley, Colorado 80631 ANNUAL COMPREHENSIVE FINANCIAL REPORT For the year ended December 31, 2023 Board of Trustees as of December 2023 Kenneth Poncelow Chairman Mary Heberlee Vice Chairman Joyce Smock Secretary/Treasurer Jana Caldwell Trustee Geri Holton Trustee Nick Nakamura Trustee Teresa Nunez Trustee Board of Trustees as of June 2024 Mary Heberlee Chairman Joyce Smock Vice Chairman Nick Nakamura Secretary/Treasurer Geri Holton Trustee Deana Lemos-Garcia Trustee Teresa Nunez Trustee Michael Wailes Trustee Dr. Matthew Hortt, Executive Director Marjorie Elwood, Associate Director of Public Services Eric Ewing, Associate Director of Human Resources Prepared by: Natalie Wertz, CPA, CFE, Finance Manager TABLE OF CONTENTS INTRODUCTORY SECTION Letter of Transmittal 3 Principal District Officials 8 Organizational Chart 9 Certificate of Achievement 10 FINANCIAL SECTION Independent Auditors' Report 11 Management Discussion and Analysis 13 Basic Financial Statements: Governmental Funds Balance Sheet/Statement of Net Position 18 Statement of Governmental Funds Revenue, Expenditures and Changes In Fund Balances/Statement of Activities 19 Budgetary Comparison Statement — General Fund 21 Notes to Financial Statements 23 STATISTICAL SECTION (Unaudited) Net Position by Component 37 Changes in Net Position 38 Fund Balances of Governmental Funds 39 Changes in Fund Balances, Governmental Funds 40 General Governmental Expenditures by Function 41 General Governmental Revenues by Source 42 Property Tax Levies and Collections 43 Assessed and Estimated Actual Value of Taxable Property 44 Principal Taxpayers 45 Ratio of Outstanding Debt by Type 46 Legal Debt Margin Calculation 47 Direct and Overlapping Governmental Activities Debt 48 Demographic and Economic Statistics 49 Principal Employers 50 Library Materials Purchased and Circulated 51 Service Locations 52 Circulation Summary by Location 53 highpains i�t;t1� l�i.trict To the Members of the Board of Trustees and Patrons of the High Plains Library District: 1,., \V. 2,, sip, ,1 June 10, 2024 State Law requires that the High Plains Library District (HPLD) publish within six months of the close of each fiscal year a complete set of financial statements presented in conformity with generally accepted accounting principles (GAAP) and audited in accordance with generally accepted auditing standards (GAAS) by a firm of licensed certified public accountants. Pursuant to that requirement, we hereby issue the annual comprehensive financial report of the HPLD for the fiscal year ended December 31, 2023. This report consists of management's representations concerning the finances of the District. Consequently, management assumes full responsibility for the completeness and reliability of all the information presented in this report. To provide a reasonable basis for making these representations, management of the HPLD has established a system of internal controls that are designed both to protect the District's assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the District's financial statements in conformity with GAAP. Because the cost of internal controls should not outweigh their benefits, the District's framework of internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The District's financial statements have been audited by Anderson & Whitney, P.C., a firm of licensed certified public accountants. The goal of the independent audit was to provide reasonable assurance that the financial statements of the District for the fiscal year ended December 31, 2023 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 evaluating the overall financial statement presentation. GAAP requires that management provide a narrative introduction, overview and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement MD&A and should be read in conjunction with it. The High Plains Library District's MD&A can be found immediately following the report of the independent auditors. Profile of the District The District is considered to be a "Library District" established through Colorado State Statute (C.R.S. 24-90-110) and governed by the Colorado Library Law, Article 90 of Title 24, Colorado Revised Statutes, as amended (the "Act"). The District was established on September 11, 1985 by the Weld County Board of County Commissioners, the city councils of Evans, Fort Lupton, Greeley, the town boards of Ault, Eaton, Hudson, and the Goveming Board of Fort Lupton School District Number RE -8. The District is fiscally, managerially, and operationally an independent political subdivision of the State of Colorado. There are seven branch libraries and four outreach vehicles that provide services to patrons throughout the High Plains Library District. Three branches are located in the City of Greeley, one each in Erie, Evans, Firestone, and Kersey. The towns of Ault, Eaton, Hudson, Johnstown, Platteville, and the city and school district of Fort Lupton, which are located within the District's boundaries, own and operate their own library facilities. The District provides centralized support services to these locations. The citizens of these municipalities pay ad valorem property taxes to the District as District residents. By contract with the municipalities two-thirds of those ad valorem property taxes are then given to these towns for library operations and capital expenditures. The District retains one-third for providing centralized support services. The District supports technology and provides limited library services at a location in Briggsdale. Affiliated Libraries consist of the Poudre Learning Center in Greeley, the Hazel E. Johnson Research Center, located within the City of Greeley Museum and the City of Evans museum. I • t I, I • I II I,ni I.Hiii.ni 1 il,i ..i, • \ \I I) \ I • MO..., (',ih1u I • II it t.+, \„iil„ii: I'l.,i�;, I'�ild�. l.I.....•. • t I.,,�..�. 111. \I• I ,ht rahigh highpajns ��1ltdtn.(rau. t1( (.tic'Itr ('(1x((1,;;1 I'It<tltt': 1'1�i11 .il11i-f S.�.i() O719 .-)I i1; '{,. i t The Weld Library Finance Corporation (WLFC) was formed in 2001 for the purpose of purchasing, leasing or otherwise acquiring certain real property and to construct or install certain improvements in the service area of the District. The WLFC did not have any financial activity in 2023. When the WLFC has activity, it is included as a blended component unit within the financial statements of the District. Administrative and support departments include Executive Director, Associate Directors, Collection Resources, Community Relations and Marketing, Facilities Services, Finance, Foundation, Human Resources, Information Technology and Innovation, and Outreach all located at the District's Administration and Support Services building. Management and control of the District is vested in a board of trustees consisting of seven members, all of whom are appointed by a committee representing the original founding bodies that established the District. Trustees serve staggered terms with one or two board members having terms expiring at the end of each year from 2024 through 2027. The trustees hold one regular meeting each month and special meetings when necessary. Board members are prohibited by law from receiving compensation for their services; however, they may be reimbursed for necessary travel, training, or miscellaneous expenses. The annual budget serves as the foundation for the High Plains Library District's (HPLD) financial planning and control. HPLD is required to file a certified copy of the budget with the State of Colorado Division of Local Government by January 31 of each year. The HPLD begins the budgeting process in July each year and develops a proposed budget. The Executive Director presents this proposed budget to the Board of Trustees for review and approval on or before October 15. The deadline for certification of mill levies to the Weld County and Boulder County Commissioners is December 15 of each year. The Board of Trustees is required to hold public hearings on the proposed budget and to adopt a final budget on or before December 31, the close of the District's fiscal year. The budget is prepared by fund, account, location, and department. Budget -to -actual comparisons are provided in this report for the general fund, and when applicable the capital projects fund and the debt service fund. No budget amendments were adopted in 2023. Factors Affecting Financial Condition The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the High Plains Library District operates. Local economy: In 2020, the outbreak of the COVID-19 virus severely impacted the economy. The state -imposed shutdowns and restrictions had a negative impact across numerous industries. A sharp, rapid decline in oil and gas prices slowed production, development, and investment. The food service industry suffered dramatically. Some economic recovery occurred in 2022 and 2023. The US Bureau of Labor Statistics reports an unemployment rate of 3.3% for Weld County and 3.7% for Colorado as of December 2023. Inflation continued to be a concern in 2023. The US Bureau of Labor Statistics reports inflation in Colorado to be 4.5% in 2023 compared to 8% in 2022 and 3.54% in 2021. Inflation in Colorado is expected to be about 3.5% for 2024 and 2.7% in 2025. The impact of oil and gas development and production in the county touches on many aspects of the High Plains Library District (HPLD) currently, and in planning for the future. Energy development presents both challenges and opportunities for HPLD. Prior to 2020, the County saw several compressor stations, injection wells, new pipelines, and other oil and gas support and service industries seeking permits. Currently there are approximately one hundred fifty permits pending with the Colorado Oil & Gas Conservation Commission compared to approximately 50 in early 2023, over one hundred in early 2022, and several hundred permits pending in early 2021. Given the pending permits for Weld County, the County could see some additional long-term investment and development in the oil and gas arena. The potential for the future of energy development in Weld County is not without risks. Oil and gas production in Colorado has risks associated with the potential of additional government regulations and voter initiatives trying to restrict or limit fracking and limit drilling in Colorado communities. These regulatory risks, if implemented, could dramatically impact future oil and gas development in Colorado. ( .rileett, l.,llt -z tl 13, • ( t ttt.-ttttttil 1:tt1, Rtittlt li I tltt:t1‘ • !.orris I'ttldtt I.thI.tt, • i tit' i <ttiitttiittt l.tilt,. • I'M! 1lt c,urer.il I ItIttt, 1 -.pct ( �t1n,�ii I'tnl.lu �' 'r. • t:fx iitt \. fait,.. I'h , • I Itu1,,,t: • I 3; I ilrr:in \�utict;ti 1'Lass. NI, • t )ccttt,u It• I'I.ctt, eillt PHI, highplai1ns i>lrii;i The energy industry continues to be an important economic driver of Weld County and Colorado. There are several energy companies that are major employers in Weld County. The Denver-Julesburg Basin covers most of the High Plains Library District geographic area. The volume of oil production and sales in Weld County increased approximately 1.44% and natural gas production and sales in Weld County decreased about 1.66% in 2023. The average price per barrel of oil decreased 17.28% in 2023. With that volume of production and sales and price level, High Plains Library District is currently expecting a 15% to 20% decrease in oil and gas assessed valuation for fiscal year (collection year) 2025. That equates to a decrease in property tax revenue of about $7.2 to $9.5 million for 2025. The northern Colorado region's housing market continued to be active in 2023. Housing prices began to stabilize. Increased interest rates have made potential home buyers more cautious to enter the market. New home construction continues to be active particularly in the southern section of High Plains Library District. Limited affordable housing remains a concem. Inflation and increased interest rates could negatively affect construction and the housing market in 2024 and beyond. The Gallagher Amendment in the Colorado Constitution limited the portion of statewide property tax revenue that could come from residential property to 45%. The remaining 55% of statewide property tax revenue was to be levied on other property types — commercial, agricultural, oil and gas, etc. The assessment rate for non-residential property types is fixed at 29%. The residential assessment rate was adjusted every two years to maintain the 45% / 55% ratio. Since residential property values statewide increased faster than the other property types, the residential assessment rate had been decreasing. The Taxpayer Bill of Rights (TABOR) in the Colorado Constitution prohibits any tax increases without a vote of the citizens and increasing the residential assessment rate has been interpreted as a tax increase. A measure to repeal the Gallagher Amendment was on the ballot in November 2020 and passed. Since the Gallagher Amendment has been repealed, the state legislature has reduced assessment rates for certain types of properties. For assessment year 2021 / collection year 2022, the residential assessment rate was fixed at 7.15% and the non-residential assessment rate was fixed at 29%. In June 2021, the state legislature passed SB 21- 293 reducing the assessment rates on some classes of property for 2022 and 2023 valuations (collection years 2023 and 2024) from 7.15% to 6.95%, 7.15% to 6.8%, and 29% to 26.4%. Under SB 21-293, assessment rates were to return to the previous levels for 2024 valuations. In June 2022, the state legislature passed SB 22-238 which reduced assessment rates on some classes of property and exempted some portions of valuations of some classes of property for the 2023 and 2024 valuations. In May 2023, late in the 2023 legislative session, SB 23-303 was introduced and passed. SB 23-303 referred a ballot measure for the November 2023 election that would have reduced residential property assessment rates for 2023 and 2024 and future years. That ballot measure failed in the November 2023 election. Within days after the November 2023 election, the governor called a special session of the state legislature to address property taxes. SB 239-001 was passed in the special session. SB 23B-001 reduced the residential assessment rate from 6.765% to 6.7% and provided a property value exemption of $15,000 to $55,000 for single-family and multi -family residential properties. Those reductions were effective for the 2023 property tax assessments / 2024 property tax collections. During the special session of the state legislature, a property tax commission was created to study and make recommendations for the property tax structure in Colorado. That commission began meeting in December 2023. The property tax commission delivered a preliminary report to the state legislature in March 2024. During the last days of the legislative session in May 2024, SB24-233 was introduced and passed. SB24-233 included some of the recommendations that were made by the property tax commission. Historically, the agricultural industry has played a significant role in the Weld County economy. Agricultural production continues to be an important local economic factor. Com, wheat, and sugar beets remain some of the primary crops grown in the area. The local dairy market has benefitted from the construction and expansion of a cheese factory in Greeley. The cheese factory has become one of Weld County's major employers. The economy continues to benefit from two meat processors who are both major employers in Weld County. 1 • Iiii s • I.i,t t k';,,, 1F, uu r,,.il1,I,,,t, I , lun,t { il,,:in • (.1, I) ,hho, • 111, .. 1,tl>IN 1.11,,.tn • I.nu„!it ,,,thciii!'t:+t„• I'hhh, I.th,h, • (lii,i.,,,h• Ill ,1, ajw' highplajns )i<t .Stlminrwaw 1'it<alt' ('trtl).ltfi-i.ilO 1.av l'tid 1 .i11fr-7 .i.iI In the summer of 2017, a national food company began construction of a plant in the southwest area of the district. The plant began operations in July 2019. The plant has grown to be a major employer in Weld County. As the High Plains Library District looks to 2024 and beyond, a number of challenges face the District to meet the ever changing and growing demands of its patrons to maintain the quality of service and product offerings that the patrons have grown to expect from their library district. The additional production of oil and gas during recent years had resulted in significant increases in the District's assessed value with the oil and gas production exceeding forty-nine percent of the District's total assessed valuation for every fiscal year since 2017. Oil and gas production comprised over 57% of the District's total assessed value for fiscal year 2019, over 63% for fiscal year 2020, and almost 58% for 2021. Oil and gas production decreased to 43% of the District's assessed valuation for 2022 and increased to 63% of the District's assessed valuation for 2023 and 70% for 2024. Because of the volatility of production levels and price fluctuations of the oil and gas market, the District must prudently manage the property tax revenue created by the energy development. To assist the Board of Trustees in managing volatility in property tax revenue will be the continued utilization of the Capital Improvement Program, five-year planning horizon, and the ten-year forecast model used during the annual budget preparation. Although the financial health of the HPLD is currently excellent, it is important to look to the future issues, possible problems and alternative solutions to these problems. Besides the traditional role of budgeting to responsibly manage available current year funding, there must be a continued emphasis on long-term planning, recognition of the cumulative effect of individual decisions, an awareness of changing realities, flexibility, patron input in setting priorities, and a focus of goals and objectives consistent with the strategic plan, core philosophy, and mission statement. Prioritizing services is essential and a practice that the HPLD does annually. It allows the HPLD to concentrate on high priority programs and cease providing those patrons have little or no interest in. Long-term financial planning: The District's annual budget process includes the preparation of a five-year capital improvement plan (CIP) and a ten-year forecast of revenues and expenditures. The CIP identifies major construction and equipment needs that are on the horizon, as well as projections of those revenues dedicated for capital purchases. Also, of keen interest is the continued view beyond five years as to how operational expenditures will be met by the known revenue sources. A key component of the CIP is the District's commitment to maintaining its current infrastructure. Buildings and parking lots are evaluated annually, with resources dedicated to keeping infrastructure at acceptable quality levels and avoiding more costly major repairs and reconstruction. While the five-year CIP is a planning tool that is subject to change, it allows the District to prepare for major capital needs as well as match those needs with the appropriate projected revenue sources. Relevant financial policies: The Colorado Constitutional Amendment passed in November 1992, commonly known as the Taxpayer Bill of Rights (TABOR), restricts growth in governmental spending and revenues, with those amounts adjusted annually for inflation and a local growth factor. In November 1999, Weld County voters approved a referendum that allowed the HPLD to retain revenues that might otherwise have been refundable to citizens under the TABOR limits. As a result, the HPLD is able to retain any revenues that exceed those TABOR limits and spend them for capital improvements, district operations and services, and other patron purposes. The District continues to be subject to other provisions of TABOR, including maintaining an emergency reserve equal to 3 percent of annual spending and the requirement for elections to approve any tax increase. Major initiatives: HPLD budgeted revenues for fiscal year 2023 increased by $17,770,863 or 50.05% compared to 2022. IC4;;t�ni;ilI• I,,..ht I,h.it, • I.tt. C1I�rr� Id��nr,tt.�l1itre:,a-� I,it(ia.�ta I°iilttn \ ti,.1,, •f.IA ri;r 1.I,�ti.�. �I.It 11, tti • Ilt¢�t.,,ii 1rrl>It+ 1 qr., • I'.irt tlr.,it<It l ila�,nr ',gr.,.Pi:it.1tl>Stt Itf,i.i • th„,:ch• 1I;itr,ill, 1' 14,, t -x. ti.X t I21_�1s tt 51%l iln.tt .tt highplaj5im i,triit (;r\rlc•t (()ttatt'ii Piton, 1,i(11 l After beginning his work with HPLD in April 2018, One of Dr. How's first projects was to develop a strategic plan for High Plains Library District. This involved holding focus groups with community members throughout the library district, meeting with other governmental and non-profit organizations, and having discussions with community leaders, board members, and staff. Dr. Hortt used the input from these stakeholders to develop a strategic plan that was presented to and approved by the board in November 2018. During 2019, work began on several of the strategic plan initiatives. In 2023, progress continued to be made on strategic plan initiatives including literacy, workforce development, and capital projects. During 2024, HPLD is continuing the journey of continuous improvement and updating the strategic plan annually. In September 2021, HPLD had a groundbreaking for construction at LINO (Library INnovation Center). Construction at LINC continued through all of 2022 and into 2023. HPLD opened LINC on May 13, 2023. HPLD continued collaboration with the Immigrant and Refugee Center to provide citizenship and ESL classes. HPLD continues work to help bridge the digital divide. HPLD has obtained and placed mobile WiFi access points at strategic locations in the community. WiFi units are also made available for check out. Awards and Acknowledgements The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the High Plains Library District for its annual comprehensive financial report for the fiscal year ended December 31, 2022. This was the twenty-first consecutive year that the High Plains Library District has received this prestigious award. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized annual comprehensive financial report. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current annual comprehensive 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. The preparation of this report would not have been possible without the efficient and dedicated services of the entire staff of the finance and administration departments. We would like to express our appreciation to all members of the District who assisted and contributed to the preparation of this report. Credit also must be given to the Board of Trustees for their unfailing support for maintaining the highest standards of professionalism in the management of the High Plains Library District's finances. We would also like to express our appreciation to the audit firm of Anderson & Whitney, P.C. who provided guidance in preparing the annual report. Respectfully submitted, '2 -- Dr. Matthew Hortt Executive Director Natalie Wertz, CPA, CFE Finance Manager lI • ( , „i, t,tr,.,l I'.,,6 11,n, i, I • l .ii„ii 1,1,1„ ! ,I,,,i„ • E.,ir ( <nc,r,ucit,t+ 1 ,Ixt,,,x • 1 ,,r !•„t I.,ti,1.,,, 1`„{,la, h,dr,w,i 1,t,,.,,'ti • (.I,,,:, \ \ I ,iv.,n • Il,ul.,,ii Pub, Ialn,ce'+ • IP..,,I, 1S,m,,1, lal,,;in I t(,i.,!.. • t c,;,,,:,, 1,• 1'I.,ti, „II, I',c1,1,, 1,1,,,, HIGH PLAINS LIBRARY DISTRICT PRINCIPAL DISTRICT OFFICIALS Dr. Matthew Hortt Executive Director Marjorie Elwood Associate Director of Public Services Eric Ewing Associate Director of Human Resources Rebecca Libersat Collection Resources Manager James Melena Community Relations and Marketing Manager Niamh Mercer Foundation Director Elena Rosenfeld Community Engagement and Strategies Manager Susan Staples Information Technology and Innovation Manager Natalie Wertz Finance Manager -8- Board of Trustees I Associate Director of Public Services Collection Resources 4r % UtS. St -s% ut tha Limn Public Services r rel ani Community Engagement & Stratcpics Manager ;Cocununit, Relations St Market's" Graph= Sr Nfa rstue spry —mdse SPartrth Lacelser TrarsLton ft W.a:tetatg 5dst High Plains Library District Organizational Chart Manages of IT & Innovation tacan Proves tk to toes Stl:calstt Associate Director of Human Resources HR Ceaads Muratr, Specialist Ftnaadation Board Devdopmmt C&c sn.itrz G�9 Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting Presented to High Plains Library District Colorado For its Annual Comprehensive Financial Report For the Fiscal Year Ended December 31, 2022 Executive Director/CEO ANdERSON LBW-IITNEy Independent Auditors' Report Board of Trustees High Plains Library District Greeley, Colorado Opinions A Professional Corporation of Certified Public Accountants We have audited the accompanying balance sheet/statement of net position, and the statement of revenues, expenditures and changes in fund balance/statement of activities of the governmental activities and the major fund of the High Plains Library District (the District) as of and for the year ended December 31, 2023, and the related notes to the financial statements. In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the governmental activities and the major fund of High Plains Library District as of December 31, 2023, and the changes in its financial position and the budgetary comparison for the year then ended, in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audits in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the District and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the District's ability to continue as a going concern within one year after the date that the financial statements are issued or available to be issued. -11- 5801 West 11th Street. Suite 300 (970) 352-7990 Greeley, Colorado 80634-4813 www.awhitney.com Board of Trustees High Plains Library District Page 2 Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of intemal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS, we: Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the District's internal control. Accordingly, no such opinion is expressed. Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the District's ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with govemance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control — related matters that we identified during the audit. Other Matters Accounting principles generally accepted in the United States require that management discussion and analysis be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management's responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with evidence sufficient to express an opinion or provide any assurance. Our audit was conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The introductory section and statistical section 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. June 10, 2024 -12- MANAGEMENT'S DISCUSSION AND ANALYSIS This section of the report provides readers with a narrative overview and analysis of the financial activities of the High Plains Library District for the year ended December 31, 2023. 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 District's financial performance. FINANCIAL HIGHLIGHTS • High Plains Library District's assets exceeded liabilities and deferred inflows by $156.1 million at the end of 2023. Of this amount, approximately $80.3 million may be used to meet the District's ongoing obligations to patrons and creditors. The remaining $75.8 million are capital assets or are restricted by law. • The District's General Fund balance was $81,916,095 as of December 31, 2023. Of this amount, $1,561,450 is reserved for emergencies. • The 2023 General Fund balance is $ 17,303,804 more than the previous year. The total fund balance is 197% of 2023 General Fund expenditures. OVERVIEW OF THE FINANCIAL STATEMENTS This discussion and analysis is intended to serve as an introduction to the District's basic financial statements. The basic financial statements contain three components: 1) government - wide fmancial 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 budgetary comparison statements for certain funds, and a statistical section. Government -wide Financial Statements: The government -wide financial statements are designed to provide readers with a broad overview of the District's finances in a manner similar to a private sector business. The statement of net position presents information on all of the District's assets, liabilities, and deferred resources, with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the District's fmancial position is improving or deteriorating. The statement of activities presents information showing how the government's net position changed during the year. All changes in net position 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). The government -wide financial statements can be found on pages 18-22 of this report. 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. High Plains Library District, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. All of the funds of the High Plains Library District can be categorized as governmental funds. -13- 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 funds balance sheet and the governmental funds statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The basic governmental fund financial statements can be found on pages 18 through 22 of this report. Budgetary comparisons: High Plains Library District adopts an annual appropriated budget for its funds. A budgetary comparison statement has been provided for the General Fund on pages 21 to 22 of 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 23 through 34 of this report. GOVERNMENT -WIDE FINANCIAL ANALYSIS Net position: As noted earlier, net position may serve over time as a useful indicator of a government's financial position. As of December 31, 2023, net position was $156.1 million. The following table provides a summary of the District's net position at December 31: Table 1 - Net position (in Millions) 2023 2022 Assets Current and other assets $151.7 $120.6 Capital assets 74.9 68.5 Total assets 226.6 189.1 Liabilities 1.7 4.1 Current liabilities and other Long-term liabilities .8 .7 Total liabilities 2.5 4.8 Deferred Inflows 68.0 51.9 Deferred Property Taxes Net Position 74.2 65.9 Investment in capital assets Restricted 1.6 1.0 Unrestricted 80.3 65.5 Total net position $156.1 $132.4 -14- A significant portion of High Plains Library District's net position (49%) represents unrestricted net position of $80,227,810 which may be used to meet the Library District's ongoing obligations to citizens and creditors. Another significant portion of the Library District's net position (50%) reflects its investment in capital assets. These assets include land, buildings, furniture, and equipment. 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 if any, it should be noted that the resources needed to repay this debt must be provided from other sources since the capital assets themselves cannot be used to liquidate these liabilities. An additional $1,561,450 of the District's net position (1%) represents resources that are subject to external restrictions on how they may be used. Included in this category are the reserves for TABOR emergency requirements. The following table indicates the changes in net position: Governmental Activities 2023 2022 Revenues: General revenues: Property and specific ownership taxes Investment earnings Program revenues: Charges for services Operating grants and contributions $54,311,518 4,164,410 244,229 246,337 $36,323,302 1,145,248 121,123 457,525 Total revenues 58,966,494 38,047,198 Expenses: Library services Operations and maintenance Depreciation 27,840,477 4,977, 740 2,458,908 21,692,677 4,418,126 1,449, 842 Total expenses 35,277,125 27,560,645 Increase in net position Beginning net position 23,689,369 13 2,400,114 10,486,553 121,913,561 Ending net position $156,089,483 $132,400 114 Governmental activities Governmental activities increased High Plains Library District's net position by $23,689,369 in 2023. Investment earnings increased $3,019,162 from 2022 to 2023 because of higher returns. Total expenses increased by 28% over the previous year due to an increase in library services including the opening of LINC. -15- FINANCIAL ANALYSIS OF THE LIBRARY DISTRICT'S FUNDS As noted earlier, High Plains Library District uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. Governmental Funds Overview: The focus of Library District governmental funds is to provide information on near -term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the Library District's financing requirements. In particular, unrestricted fund balance may serve as a useful measure of a government's net resources available for spending at the end of the year. As of the end of 2023, the combined ending fund balance of High Plains Library District governmental fund was $81.9 million. Approximately 99% of this consists of unrestricted 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 restricted to indicate that it is not available for new spending because it is committed for the following purposes: 1) state - constitution mandated emergency reserve of $1,561,450. The District has one major governmental fund: 1. General Fund. This is the primary operating fund of the High Plains Library District. It accounts for all of the District's library services. The general fund balance was $81.9 million as of December 31, 2023. The 2023 fund balance is $17.3 million more than the previous year. As a measure of the General Fund liquidity, it may be useful to compare both unrestricted fund balance and total fund balance to total fund expenditures and transfers out. Unrestricted fund balance represents 192% of total 2023 expenditures while total fund balance is 197% of the same amount. The fund balance increased in 2023 due to less capital outlay and increased property tax revenue. GENERAL FUND BUDGETARY HIGHLIGHTS The District's budget is prepared according to Colorado statutes. The most significant budgeted fund is the General Fund. In December of 2022, the Board of Trustees appropriated $51.6 million for 2023 general fund expenditures, anticipating an increase in the fund balance. Table 2023 General Fund Budget (in Millions) Budget Actual Beginning Fund Balance $ 64.6 $ 64.6 Revenue 53.3 59.0 Expenditures 51.6 41.7 Ending Fund Balance $66.3 $ 81.9 -16- CAPITAL ASSET AND DEBT ADMINISTRATION Capital Assets: High Plains Library District's investment in capital assets for its governmental activities as of December 31, 2023 totals $74.2 million (net of accumulated depreciation and accounts payable related to capital projects). This investment includes all land, buildings, opening day collections, furniture, and equipment. Additional information on the District's capital assets can be found in Note 4 of this report. Long-term debt: At December 31, 2023, High Plains Library District had $0 in outstanding debt as it was paid off during 2019. OTHER MATTERS The following factors are expected to have a significant effect on the High Plains Library District's financial position or results of operations and were taken into account in developing the 2024 budget: • Continued growth in Weld County causes increased demands in all service areas of the library system. • Oil and gas property tax revenues continue to be very volatile. Property tax revenue is expected to increase by 31 % in 2024 compared to 2023. Budgeted expenditures for 2024 include funding to meet the demands placed by our patrons for library materials as well as programing for all ages and just over $17.9 million for capital improvements. REQUESTS FOR INFORMATION This financial report is designed to provide a general overview of High Plains Library District's finances for all those with an interest in the District's finances. Questions concerning any of the information provided or for additional financial information should be addressed to the Finance Manager, 2650 West 29th Street, Greeley, CO 80631. HIGH PLAINS LIBRARY DISTRICT GOVERNMENTAL FUNDS BALANCE SHEET/ STATEMENT OF NET POSITION December 31, 2023 General Adjustments Statement of Fund (Note 11) Net Position ASSETS Cash and Investments Receivables: Property taxes Other assets Capital Assets: Depreciable Nondepreciable $ 82,984,134 $ - $ 82,984,134 68,022,698 671,432 68,022,698 671,432 67,252,055 67,252,055 7,662,636 7,662,636 Total Assets 151,678,264 74,914,691 226,592,955 LIABILITIES Accounts Payable Accrued Costs Long -Term Liabilities: Due within one year Due after one year 1,408,637 330,834 1,408,637 330,834 521,838 521,838 219,465 219,465 Total Liabilities 1,739,471 741,303 2,480,774 DEFERRED INFLOWS OF RESOURCES Deferred Property Taxes FUND BALANCES/NET POSITION Fund Balances: Restricted for: Emergencies Unassigned 68,022,698 68,022,698 1,561,450 (1,561,450) 80,354,645 (80,354,645) Total Fund Balances 81,916,095 (81,916,095) Total Liabilities and Fund Balances $151,678,264 Net Position: Investment in capital assets Restricted for emergencies Unrestricted 74,250,223 74,250,223 1,561,450 1,561,450 80,277,810 80,277,810 Total Net Position $156,089,483 $ 156,089,483 See Accompanying Notes to Financial Statements. -18- HIGH PLAINS LIBRARY DISTRICT STATEMENT OF GOVERNMENTAL FUNDS REVENUE, EXPENDITURES AND CHANGE IN FUND BALANCES/ STATEMENT OF ACTIVITIES Year Ended December 31, 2023 General Adjustments Statement of Fund (Note 12) Activities Revenue: General property taxes Specific ownership taxes Penalties and interest on delinquent taxes Library fines Earnings on investments Grant Miscellaneous $ 52,048,336 $ 2,263,182 168,467 36,526 4,164,410 246,337 39,236 - $ 52,048,336 - 2,263,182 168,467 36,526 4,164,410 246,337 39,236 Total Revenue 58,966,494 58,966,494 Expenditures/Expenses: Current: Salaries, wages, and benefits Supplies Small equipment Software Postage Printing Book collections Periodicals Public relations Electronic resources CD and online databases Telephone Contract services Buildings and grounds Travel and meetings County Treasurer's fees Maintenance of equipment Memberships Miscellaneous Insurance Utilities Grants-in-aid: property taxes to member libraries (Note 3) Depreciation 13,635,619 65,499 13,701,118 535,559 - 535,559 38,726 38,726 405,349 405,349 31,252 31,252 13,331 13,331 557,121 557,121 45,620 - 45,620 70,007 70,007 582,208 582,208 49,738 49,738 160,903 160,903 1,712,205 1,712,205 450,549 450,549 114,261 114,261 774,422 774,422 1,274,124 1,274,124 37,465 37,465 2,075 - 2,075 175,972 175,972 572,978 572,978 11,513,234 11,513,234 2,458,908 2,458,908 Total Current 32,752,718 2,524,407 35,277,125 Continued on next page. -19- HIGH PLAINS LIBRARY DISTRICT STATEMENT OF GOVERNMENTAL FUNDS REVENUE, EXPENDITURES AND CHANGE IN FUND BALANCES/ STATEMENT OF ACTIVITIES - Continued Year Ended December 31, 2023 General Adjustments Statement of Fund (Note 12) Activities Expenditures/Expenses - Continued: Capital Outlay $ 8,909,972 $ (8,909,972) $ Total Expenditures/Expenses 41,662,690 (6,385,565) 35,277,125 Revenue Over (Under) Expenditures Other Financing Sources (Uses): Transfers - internal activities 17,303,804 6,385,565 23,689,369 Net Change in Fund Balances/Net Position 17,303,804 6,385,565 23,689,369 Fund Balances/Net Position, Beginning of Year 64,612,291 67,787,823 132,400,114 Fund Balances/Net Position, End of Year $ 81,916,095 $ 74,173,388 $ 156,089,483 See Accompanying Notes to Financial Statements. -20- HIGH PLAINS LIBRARY DISTRICT BUDGETARY COMPARISON STATEMENT - GENERAL FUND Original and Final Year Ended December 31, 2023 Actual Budget Variance Revenue: General property taxes $ 52,048,336 $ 51,878,812 $ 169,524 Specific ownership taxes 2,263,182 1,200,000 1,063,182 Penalties and interest on delinquent taxes 168,467 168,467 Grants 246,337 84,351 161,986 Library fines 36,526 25,000 11,526 Earnings on investments 4,164,410 80,000 4,084,410 Miscellaneous 39,236 8,000 31,236 Total Revenue 58,966,494 53,276,163 5,690,331 Expenditures: Current: Salaries, wages, and benefits 13,635,619 15,890,067 2,254,448 Supplies 535,559 538,839 3,280 Small equipment 38,726 52,275 13,549 Software 405,349 409,784 4,435 Postage 31,252 36,542 5,290 Printing 13,331 24,000 10,669 Book collection 557,121 547,000 (10,121) Periodicals 45,620 55,300 9,680 Public relations 70,007 61,255 (8,752) Electronic resources 582,208 775,000 192,792 CD and Online databases 49,738 54,700 4,962 Telephone 160,903 321,704 160,801 Contract services 1,712,205 1,508,990 (203,215) Buildings and grounds 450,549 465,000 14,451 Travel, training, and meetings 114,261 155,108 40,847 County Treasurer's fees 774,422 825,000 50,578 Maintenance of equipment 1,274,124 969,654 (304,470) Memberships 37,465 27,489 (9,976) Miscellaneous 2,075 7,630 5,555 Insurance 175,972 190,000 14,028 Utilities 572,978 679,436 106,458 Grants-in-aid: property taxes to member libraries (Note 3) 11,513,234 11,551,448 38,214 Total Current 32,752,718 35,146,221 2,393,503 Capital Outlay 8,909,972 16,453,312 7,543,340 Total Expenditures 41,662,690 51,599,533 9,936,843 Continued on next page. -21- HIGH PLAINS LIBRARY DISTRICT BUDGETARY COMPARISON STATEMENT - GENERAL FUND - Continued Original Year Ended December 31, 2023 Actual Budget Variance Revenue Over Expenditures $ 17,303,804 $ 1,676,630 $ 15,627,174 Other Financing Sources (Uses): Transfer to Debt Service Fund Excess of Revenue Over Expenditures and Other Financing Sources (Uses) 17,303,804 1,676,630 15,627,174 Fund Balance - Beginning 64,612,291 64,612,291 Fund Balance - Ending $ 81,916,095 $ 66,288,921 $ 15,627,174 See Accompanying Notes to Financial Statements. -22- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 1- Summary of Significant Accounting Policies: The accounting and reporting policies of the High Plains Library District (the District) conform to accounting principles generally accepted in the United States. The following summary of significant accounting policies is presented to assist the reader in evaluating the District's financial statements. Reporting Entity: The Weld Library District was established on September 11, 1985, under the provisions of Article 90 of Title 24 of the Colorado Revised Statutes. The Weld County Commissioners together with the city councils of Evans, Fort Lupton, and Greeley, and the town boards of Ault, Eaton, and Hudson, Colorado, and the governing board of Weld School District RE -8 acted to establish the Weld Library District. On April 21, 2008, the District's Board of Trustees approved a name change to the High Plains Library District. The Library District Board was originally appointed by the Weld County Commissioners with concurrence of the city councils and has total autonomy under the State Library Act to incur debt, establish budgets, and levy property taxes to support the District's library system. In addition, the Weld Library Finance Corporation was formed in 2001 for the purpose of purchasing, leasing, or otherwise acquiring certain real property and to construct or install certain improvements in the service area of the District. The Weld Library Finance Corporation is blended with the financial statements of the District. The financial statements of the District have been prepared in conformity with accounting principles generally accepted in the United States as applied to governmental entities. The following summary of significant accounting policies is presented to assist the reader in evaluating the District's financial statements. Government -wide and Fund Financial Statements: The District reports as a special purpose government engaged in a single governmental program. The government -wide financial statements (i.e., the statement of net position and the statement of activities) report information on all of the activities of the primary government. For the most part, the effect of interfund activity has been removed from these statements. Government activities are supported by taxes and intergovernmental revenues. Separate financial statements are provided for the governmental funds. Major individual governmental funds are reported as separate columns in the fund financial statements. -23- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 1- Summary of Significant Accounting Policies - Continued: Measurement Focus, Basis of Accounting, and Financial Statement Presentation: The government -wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current fmancial 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 a 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, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is due. Property taxes and interest associated with the current year are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and available only when cash is received by the District. The District reports the following major governmental fund: The general fund is the District's primary operating fund. It accounts for all financial resources of the District, except those required to be accounted for in another fund. Fund Equity: In the fund financial statements, governmental funds report restrictions of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Restrictions for the District are recorded up to the maximum equity available in the fund balance and consist of: -24- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 1 - Summary of Significant Accounting Policies - Continued: Fund Equity — Continued: Restricted for Emergencies: These restrictions are established to comply with TABOR. Recorded TABOR restrictions at December 31, 2023 are $1,561,450. Assigned fund balances, if any, are amounts the District intends to use for a specific purpose. Intent can be expressed by the Board of Trustees or by the executive director, to whom the Board delegated the authority. Fund balance may be assigned after the end of the reporting period. Restricted funds are considered to be spent first, followed by committed, assigned and unassigned, for an expenditure for which any could be used. Net Position: Net position represents the difference between assets and liabilities. Net investment in capital assets consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowing used for the acquisition and construction of those assets. Net position is reported as restricted when there are limitations imposed on their use either through the enabling legislation adopted by the District or through external restrictions imposed by creditors, grantors, laws, or regulations of other governments. The District first applies restricted resources when an expense is incurred for purposes for which both restricted and unrestricted net position is available. Budget: An annual budget and appropriation ordinance is adopted by the Board in accordance with the Colorado State Budget Law. The budget is prepared on a basis consistent with accounting principles generally accepted in the United States for all governmental funds. The accounting system is employed as a budgetary management control device during the year to monitor the individual expenditures. The legal level of control is at the fund level. All annual appropriations lapse at year end. - 25 - HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 1 - Summary of Significant Accounting Policies - Continued: Capital Assets: All capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets are valued at their acquisition value on the date donated. Acquisitions of capital assets are recorded as capital outlay expenditures within the governmental funds. The District's capitalization level is $5,000. Capital assets are depreciated as appropriate for the government -wide statement of activities. Depreciation is provided on the straight-line basis over useful lives ranging from three years for computer equipment to fifty years for buildings. The library's "opening day" collection of books and other materials is capitalized at estimated historical cost. As individual items are replaced or updated as necessary, the collection is considered inexhaustible and is not depreciated. Subsequent purchases of materials are not capitalized unless they significantly expand the opening day collection. Property Taxes: Property taxes attach as an enforceable lien on property as of January 1. Taxes are levied no later than December 15 and are payable in two installments on February 28 and June 15 or in full on April 30. The District records delinquent tax payments in the year received, as delinquent taxes are believed to be uncollectible. The Weld County Treasurer and the Boulder County Treasurer bill and collect the property taxes for the District. The original January 1, 2023, levies for the general fund of the District are as follows: Mill Levy Amount General Fund 3.181 $51,878,812 Property tax revenue is reported net of approximately $1,281,025 of property tax abatements for the year ended December 31, 2023. Numerous tax increment financing districts have been established by municipalities in the District. -26- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 1- Summary of Significant Accounting Policies - Continued: Vacation and Sick Leave: Accrued sick leave for the District is accounted for in the government -wide statement of net position. Sick leave is earned when vested and recorded as expenditure in the general fund when paid. In the event of retirement or termination, 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. Accrued vacation for the District is accounted for in the government -wide statement of net position. The maximum accumulation is two times the annual accrual. Upon termination or retirement, employees are paid for their accrued vacation. Accrued vacation is recorded as expenditure in the General Fund when paid. Investments: Short-term investments are reported at fair value. NOTE 2 - Cash and Investments: The District's bank accounts at year end were entirely covered by federal depository insurance or by collateral held by the District's custodial bank under provisions of the Colorado Public Deposit Protection Act. The Colorado Public Deposit Protection act requires financial institutions to pledge collateral having a market value of at least 102% of the aggregate public deposits not insured by federal depository insurance. Eligible collateral includes municipal bonds, U.S. government securities, mortgages and deeds of trust. State statutes authorize the District to invest in obligations of the U.S. Treasury and U.S. agencies, obligations of the state of Colorado or of any county, school district, and certain towns and cities therein, notes or bonds secured by insured mortgages or trust deeds, obligations of national mortgage associations, and certain repurchase agreements. The District's investment policy is not more restrictive than State statutes. The District's investments are concentrated in money market funds and local government investment pools (97%) and U.S. Treasury sponsored agency bonds (3%). Colorado Revised Statutes limit investment maturities to five years or less from the date of purchase. This limit on investment maturities is a means of limiting exposure to fair values arising from increasing interest rates. -27- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 2 - Cash and Investments - Continued: At December 31, 2023, the Library District held General Fund investments of $54,843,645 in the Colorado Local Government Liquid Asset Trust (COLOTRUST PLUS+). The investment pool is routinely monitored by the Colorado Division of Securities with regard to operations and investments. Investments are valued at the net asset value (NAV) with each share valued at $1.00. COLOTRUST PLUS+ is rated AAAm by S&P Global Ratings. The District's interest is valued at NAV. COLOTRUST PLUS+ portfolios may invest in U.S. Treasury securities, certain approved obligations of agencies of the U.S. government, commercial paper rated in the highest rating category, corporate securities rated at least AA-/Aa3, certain money market funds registered as an investment company under the Federal Investment Company Act of 1940 and written repurchase agreements collateralized by U.S. Treasury securities or certain approved obligations of U.S. government agencies. At December 31, 2023, COLOTRUST PLUS+ had a weighted average maturity of 48 days to reset and 27 days to final maturity. There are no unfunded commitments, the redemption frequency is daily and there is no redemption notice period. At December 31, 2023, the Library District held General Fund investments of $16,006,071 in the Colorado Local Government Liquid Asset Trust (COLOTRUST EDGE). COLOTRUST EDGE is a variable NAV fund managed to approximate a $10.00 per share price; shares are traded at the NAV calculated on transaction trade date. COLOTRUST EDGE is rated AAAf/S1 by FitchRatings. COLOTRUST EDGE portfolios may invest in U.S. Treasury securities, certain approved obligations of agencies of the U.S. government, commercial paper rated in the highest rating category, corporate securities rated at least AA-/Aa3, certain money market funds registered as an investment company under the Federal Investment Company Act of 1940 and written repurchase agreements collateralized by U.S. Treasury securities or certain approved obligations of U.S. government agencies. At December 31, 2023, COLOTRUST had a weighted average maturity of 176 days to reset and 203 days to final maturity. At December 31, 2023, the Library District held general fund investments of $10,951,653 in the Colorado Statewide Investment Program (CSIP). The investment pool is routinely monitored by the Colorado Division of Securities with regard to operations and investments. Investments are valued at the net asset value (NAV) with each share valued at $1.00. CSIP is rated AAAmmf by FitchRatings. The District's interest is valued at NAV. -28- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 2 - Cash and Investments - Continued: CSIP portfolios may invest in U.S. Treasury securities and repurchase agreements collateralized by U.S. Treasury securities. and certain obligations of U.S. government agencies, highest rated commercial paper and any security allowed under CRS 24-75- 601. At December 31, 2023 CSIP had a weighted average maturity of 53 days to final maturity. There are no unfunded commitments, the redemption frequency is daily and there is no redemption notice period. Investments held as of December 31, 2023 are as follows: Cost Fair Value U.S. Government Treasury and Sponsored Agency Bonds, primarily FNMA, FFCB, and FHLB, maturing in 2024, rated AA+ by Standard & Poor's $ 991,816 $ 995,186 Total $ 991,816 $ 995,186 Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Fair value measurements must maximize the use of observable inputs and minimize the use of unobservable inputs. There is a hierarchy of three levels of inputs that may be used to measure fair value: Level 1 Quoted prices in active markets for identical assets or liabilities Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities Level 3 Unobservable inputs supported by little or no market activity and are significant to the fair value of the assets or liabilities -29- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 2 - Cash and Investments - Continued: The following table presents the fair value measurements of assets and liabilities recognized in the accompanying statement of net position measured at fair value on a recurring basis and the level within the fair value hierarchy in which the fair value measurements fall at December 31: Description December 31, 2023 U.S. Govemment Treasury and Sponsored Agency Bonds Fair Value Measurements at Reporting Date Using Quoted Prices In Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (Level 1) (Level 2) (Level3) $ 995,186 NOTE 3 - Grants -In -Aid: Cash grants-in-aid paid to member libraries for library services are listed below: Year Ended December 31, 2023 Amount Town of: Ault Eaton Fort Lupton Hudson Johnstown Platteville $ 1,034,088 2,000,009 3,196,192 3,261,444 811,069 1,210,432 $ 11,513,234 Grants-in-aid are determined by the amount of property tax collected from incorporated areas in those libraries defined service areas and are for library services. Additional grants-in-aid in the form of equipment donations are also occasionally made. -30- HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 4 — Capital Assets: Capital asset activity for the year ended December 31, 2023 was as follows: Balance, Deletions/ Balance, 1/1/23 Additions Transfers 12/31/23 Not Depreciated: Land $ 716,670 $ 18,099 $ 1,280,000 $ 2,014,769 Opening day book collection 3,587,830 -- 3,587,830 Construction in process 29,110,820 8,390,033 (35,440,816) 2,060,037 Depreciated: Buildings 41,014,619 -- 28,509,848 69,524,467 Building improvements 6,390,415 447,565 -- 6,837,980 Equipment and furniture 5,553,632 54,275 5,650,968 11,258,875 Total Cost 86,373,986 8,909,972 -- 95,283,958 Less Accumulated Depreciation: Buildings 10,964,463 1,238,965 -- 12,203,428 Building improvements 2,781,917 425,461 -- 3,207,378 Equipment and furniture 4,163,979 794,482 -- 4,958,461 Total Accumulated Depreciation 17,910,359 2,458,908 -- 20,369,267 Capital Assets, net $68,463,627 $6,451,064 $ -- $74,914,691 Depreciation expense is substantially all related to library services. NOTE 5 - Long -Term Liabilities: Changes in long-term liabilities during the year were as follows: Balance Balance Due Within 1/1/23 Additions Deletions 12/31/23 One Year Compensated Absences $ 675,804 $558,380 $492,881 $ 741,303 $ 521,838 $ 675,804 $558,380 $492,881 $ 741,303 $ 521,838 - 31 - HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 6 - Consolidation Agreement with City of Greeley: On December 28, 1990, the District entered into an intergovernmental agreement with the City of Greeley to consolidate their operations. The agreement provides for the transfer of the ownership and control of all of the Greeley Public Library to the District exclusive of the building previously housing the Greeley Public Library along with all associated appurtenances and fixtures. NOTE 7 — Commitments: Construction commitments on the three capital projects are approximately $1,756,991 at December 31, 2023. NOTE 8 - Risk Management: The District is exposed to various risks of loss related to torts, theft of, damage to, and destruction of assets, errors and omissions, and injuries to employees and natural disasters. The District purchases commercial insurance for risks of loss in excess of deductible amounts. Insurance coverage has not been significantly reduced from prior years and settlements have not exceeded insurance coverage in the past three years. NOTE 9 - Taxpayer's Bill of Rights: In November 1992, the voters of Colorado approved Amendment 1, commonly known as the Taxpayer's Bill of Rights (TABOR), which added a new Section 20 to Article X of the Colorado Constitution. TABOR contains tax, spending, revenue, and debt limitations which apply to the State of Colorado and all local governments. TABOR generally requires voter approval for any new tax, tax rate increase, mill levy increase, or issuance of new debt. Spending not subject to TABOR includes that from enterprise activities, gifts, federal funds, reserve expenditures, damage awards or property sales. Included in the accompanying financial statements in the General Fund is an emergency reserve of $1,561,450 as required by TABOR. In November 1999, voters approved a District mill levy increase of 1.8 mills and a resolution to exempt the increase from TABOR. The mill levy shall be reduced by $1 million annually beginning in the collection year of 2020. TABOR is complex and subject to interpretation. Ultimate implementation may depend upon litigation and legislative guidance. - 32 - HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 10 — Retirement Plan: The High Plains Library District pension plan is a single -employer, defined contribution retirement plan. The plan provides retirement and death benefits to plan members and beneficiaries. The Board of Trustees maintains the authority to establish and amend provisions of the plan. Employees of the High Plains Library District who are hired to work at least 30 hours per week and are at least 18 years of age are eligible to participate in the plan. Participants are always 100% vested in their participant contributions and become fully vested in the employer contributions after 5 years of service. The plan is administered by John Hancock. The contribution requirements of plan members and the District are established and maintained by the Board of Trustees. Plan members are required to contribute 6% of their annual covered payroll. The District is required to contribute 6% of annual covered payroll. During 2023, employees contributed $530,601 and the District contributed $526,706, net of $3,995 in forfeitures used, to the plan. The amount payable to the plan at December 31, 2023 was $0. NOTE 11— Explanation of Adjustments Between Governmental Funds Balance Sheet and the Statement of Net Position: Amounts reported in the statement of net position are different because (see Note 12 also): December 31 Total fund balances of governmental funds Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds Long-term liabilities are not due and payable in the current period and therefore are not reported in the funds Total Net Position 2023 $ 81,916,095 74,914,691 (741,303) $ 156,089,483 - 33 - HIGH PLAINS LIBRARY DISTRICT NOTES TO FINANCIAL STATEMENTS NOTE 12 - Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities: Amounts reported for governmental activities in the statement of activities are different because (see Note 11 also): Year Ended December 31 2023 Net change in fund balances — total governmental funds 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 as a depreciation expense. This is the amount by which capital outlay ($8,909,972) was more than depreciation ($2,458,908) in the current year. Compensated absence expense reported in the statement of activities does not require the use of current financial resources and is not reported as an expenditure in governmental funds $ 17,303,804 6,451,064 (65,499) Change in Net Position of Governmental Activities $ 23,689,369 NOTE 13 — Subsequent Event: The District entered into a contract to sell the building that was the former Lincoln Park branch in May 2024 for $1 million. Closing on the property is scheduled for July 15, 2024. -34- STATISTICAL SECTION-+ - 35 - Debt Capacity These schedules present information to help the reader assess the affordability of the district's current levels of outstanding debt and the district's ability to issue additional debt in the future.......... Demographic and Economic Information These schedules offer demographic and economic indicators to help the reader understand the environment within which the district's financial Operating Information STATISTICAL SECTION (unaudited) This part of the High Plains Library District's annual comprehensive financial report presents detailed information as a context for understanding what the information in the fmancial statements, note disclosures, and required supplementary information says about the district's overall financial health. Contents Financial Trends These schedules contain trend information to help the reader understand how the district's financial performance and well-being have changed Revenue Capacity Pages These schedules contain information to help the reader assess the district's most significant local revenue source, the property tax............ 43-45 46-48 49-50 These schedules contain service data to help the reader understand how the information in the district's financial report relates to the services the district provides and the activities it performs................................. 51-53 Sources: Unless otherwise noted, the information in these schedules is derived from the annual comprehensive financial reports for the relevant year. -36- Governmental ac8vi8es Nat Investment in it ital assets Restricted for Dew service Emergenaee Total gwemmenlal ac8vities net position Pranary gwemment Net Investment in capfiel assets Restricted Unrestrk[ed Total primary government net position 2014 2015 2018 2017 2018 2019 2020 2021 2022 2023 $22,620,113 $22.839,391 $31,182,084 $30,931,304 $31,173,769 $ 34.229.793 $ 42,798,713 $ 44.737,878 $ 65,898.639 $ 74,250,223 933,107 934,901 956,155 957,200 965,467 684,707 562,062 7,123,404 872,179 8z4,an 1,004,893 1,329,302 1,325,738 7,027,545 1,561,450 11,910752 18,464,841 27298,931 29,741,271 38051,949 47,742,885 59016,849 75,849949 55,473,930 80,277,510 j38,146�79 $43,707,215 $5480,554 $82,507,954 $77b15,88Y $ 62,977,SD7 $ 70342,884 j127,913,�81 j132,400,i 1a $ 108,089,463 $ 22,839,391 31,182,004 1,798,983 2,079,559 18,484,841 27 298 931 43,10t% $54 598�',�.r' 4 31,173,769 34,229,793 42,798,713 44,737,578 65,898,839 74,250,223 1,789,944 1,004.893 1,329,302 1,325,738 1,027,545 1,681,460 38,051849 47,742885 59,018,849 75,849949 65473,930 80,277,910 /1,01562 $ 82,9/51 $ 103142884 $121,813,61 �131400�114 $ 158089,483 2014 2015 2018 2017 2018 2019 2021 2022 2023 Experlses Governmental actl.., General govemmeM (merest on bng tens debt Total governmental activ(tles expenses $ 18,751,888 $ 22,291,944 $ 28,441,990 $ 21,590,580 22,112,707 25,276,848 27,283,721 28,075,138 27,580,845 35,277,125 $ 18,129,352 $ 21,711,528 $ 25,922,845 S 21,448,708 S 21,989,801 S 25,128,790 $ 27283,721 $ 28,75,138 S 27,580,645 $ 35,277,125 822,538 580,418 519,145 141,872 122,808 90,066 - - - - Pro�am Rewnues Governmental activ1- Ctlarges tltr 991VICfia: Gent: government GP�heB 9mnb end eontribudons Total governmental activitles pnlgram revenues $ Net(ExpeneesyRevenue Govemmental actlNtles Tot? pdmary government net Nene. Revenues and Other Changes In ON:et Assets emmente' ac8vttles: Taxes: 174,028 137,247 311273 156,912 192,479 $ 349.391 $ 101,381 122,808 224.189 f 89,100 78,875 185,775 85268 82,573 97,484 136,790 73,450 201,993 137,901 119,844 277,707 272,911 505,198 285,573 $ 223,189 $ 182,317 $ 375,191 $ 409,701 $ 578,648 $ 490,588 $(18,440,815) $ (21,942,553) $ (26,217,801) $ (21,424,805) $ (21,889,518) $ (25,034,529) $(26,908,530) $ (27,665,437) $(26,981,997) $ (34,788,559) Nigh Plans library Disbiet Fund balances of Governmental Funds Last Ten Yeans (modified accrual basis of accounting, 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 General Fund Restricted $ 664,707 $ 882,082 $ 1,123,404 $ 872,179 $ 824,477 $ 1,004,893 $ 1,329,302 $ 1,325,736 $ 1,027,545 $ 1,561,450 Unrestricted, unassigned $ 12,287,812 $ 13,710,589 16,348,874 22,850,568 15,710.138 28,700,318 40.131,848 15,161,711 63,584,746 80,354.645 Assigned - 5,170,000 5,427,000 7,977,350 21,809.300 19,584,220 19,584,220 60,523,815 - - Totelgeneralfund $ 12,972,519 $ 19,742,671 $ 22,899,278 $ 31,700,097 $ 38,343,915 $ 49,289,431 $ 61,045,370 $77,011,282 $ 64,612,291 $ 81.916.095 All other Governmental Funds Restricted $ 933,107 $ 934,901 $ 956,155 $ 957,200 $ 965,467 $ - $ - $ - $ - $ - Total fore governmental funds $ 13,905,626 $ 20,677.572 $ 23,855,433 $ 32,657,297 $ 39,309,362 $ 49,289,431 $ 61,046,370 $ 77,011,262 $ 64,612,291 $ 81,916,095 Hlgh Plains Library DlaWet Changes in Fund Balances, OoTes entel Funds Last Ten Years (modified aarusl basis of aaourding) 2014 2015 2016 2017 2018 2019 2020 2021 2023 Revenues Taxes $ 22,823,587 $ 28,750,311 $ 37,462,247 $ 29,086,905 $ 29,610,766 $ 35,821,303 $ 48,530,311 $ 48,512,725 36,367,575 54,479,985 Charges for services Library fines 174,028 156,912 101,381 89,100 85.288 62,873 23,680 26,280 29,177 36,526 Earnings on investments 146285 159,022 214,921 279,300 792,460 1,175,115 586,213 34,119 1,145,248 4,184,410 Montdbuflons in kind -rent 113,750 113,750 47,395 - - - - - - is�eneous 33,714 64,485 75,413 76,675 137,901 119,644 306,450 272,911 505,196 285,573 Total revenues 23291,362 29.244.480 37.905,357 29.531.980 30.826,4% 37.178.735 47,448,834 46.846.035 38,047,198 56,966.494 Ex figures Cannot government 16,982,271 20,271,134 24,500,391 20,156.867 20,675,380 2::35V24379 ,854047 25,938208 26,741,744 26,120,407 32,752,718 Capital outlay 8,090,351 106,636 370,588 70,531 1,588,270 2,236,239 9,754,687 4,136,399 24,325,762 8,909,972 Debt issuance costs - Debt service Interest 564,880 522,782 461,489 82,716 65,250 32,400 Principal 1,534000 1,574000 9,390,000 1024000 1,045,000 1,080,000 Total expenditures 25,167,502 22,472,534 34.723,488 21,330.114 23,373,880 27,198,686 35,692,895 30,880.143 50,446,169 41,662,690 Excess of revenues over (under) expenditures (1.876,140) 6,771,946 3.177,889 8,201,866 7,252,535 9,980.049 11,755,939 15,965,892 (12,398,971) 17.303,804 Other financing sources (uses) T chars out Proceeds of tlebt Total other financing sources (uses) Net change in fund balances Debt service as a percentage of noncapital expendihses S P 2,094,880 2,092,762 9,087,206 1,102,776 1,710,250 1,112.400 (2,094,680) (2,092,762) (9,867,206) (1,102,716) (1,174250) (1,112,400) $ (1,876,140) $ 6,771,946 $ 3,177,889 $ 8,201,866 $ 7,252,535 $ 9,980,049 $ 11,755,939 $ 15,965,892 $ (12,398,971) $ 17,303,804 10.98% 9.38% 28.68% 5.19% 5.10% 4.46% 0.00% 0.00% 0.00% 0.00% High Plains Library District General Govemmental Expenditures By Function Last Ten Fiscal Years Fiscal Administrative Books; Facilities Grants Capital Debt Year Salaries Benefits Services Resources Operations in Aid Outlay Service Totals 20141 6,120,836 1,675,209 1,780,284 1,238,798 1,598,867 4,577,277 6,090,351 2,094,880 25,176,502 2015 6,724,535 1,971,410 2,006,234 1,633,200 1,406,582 6,529,173 108,638 2,092,762 22,472,534 20162 7,127,174 2,041,965 2,632,139 1,652,204 1,609,406 9,438,503 370,588 9,851,489 34,723,468 2017 6,928,292 2,014,659 2,291,142 1,117,897 1,577,637 6,227,241 70,530 1,102,716 21,330,114 2018 7,238,335 2,164,073 2,387,221 1,192,694 1,610,030 6,083,007 1,588,720 1,110,250 23,374,330 2019 7,810,132 2,410,831 2,690,406 1,408,652 1,799,617 7,730,409 2,236,239 1,112,400 27,198,686 20203 8,095,580 2,629,781 2,670,119 1,358,192 1,390,316 9,794,220 9,754,687 35,692,895 2021 8,233,202 2,624,724 2,792,190 1,209,728 1,626,125 10,255,775 4,138,399 30,880,143 2022 8,770,056 2,907,644 3,093,225 1,403,241 2,486,261 7,459,980 24,325,762 50,446,169 2023 10,474,464 3,161,155 3,910,624 1,234,687 2,458,554 11,513,234 8,909,972 41,662,690 Note: 'The large increase in capital outlay reflects the construction costs of the Riverside Library and Cultural Center. 3 The large increase in debt service reflects the early repayment of the 2006 Certificates of Participation. 3 The large increase in capital outlay reflects the construction cost of the Erie Library expansion. High Plains Library District General Governmental Revenues By Source Last Ten Fiscal Years Specific Fiscal Property Ownership Interest Year Taxes Taxes Income Grants Fines Miscellaneous Total 2014 21,038,657 1,784,930 146,285 16,302 174,026 131,162 23,291,362 2015 26,881,943 1,854,124 159,022 55,436 156,912 137,043 29,244,480 2016 35,238,427 2,223,820 214,921 60,836 101,381 61,972 37,901,357 2017 26,961,850 2,125,055 279,300 65,578 89,100 11,097 29,531,980 2018 27,515,331 2,128,161 738,244 62,302 85,288 75,599 30,604,925 2019 33,496,472 2,324,831 1,175,115 94,288 62,673 25,256 37,178,635 2020 44,310,058 2,175,372 588,213 207,579 23,860 143,752 47,448,834 2021 44,301,611 2,211,114 34,119 199,410 26,280 73,501 46,846,035 2022 34,295,766 2,071,809 1,145,248 457,525 29,177 47,673 38,047,198 2023 52,216,803 2,263,182 4,164,410 246,337 36,526 39,236 58,966,494 Source: HPLD ACFR 3. High Plains Library District Property Tax Levies and Collections Last Ten Fiscal Years (amounts expressed in thousands) Collections Total Tax Levy Collected within the Fiscal Year of in Levy Collect for the Levy Subsequent Total Collections to Date Year Year Fiscal Year' Tax Amount 3 Percent of Levy Years 3 Tax Amount Percent of Levy 2013 2014 21,063 21,038 99.9% 21,038 99.9% 2014 2015 27,320 26,882 98.4% 26,882 98.4% 2015 2016 35,255 35,223 99.9% 35,223 99.9% 2016 2017 26,930 26,870 99.8% 26,870 99.8% 2017 2018 27,390 27,352 99.9% 27,352 99.9% 2018 2019 33,949 33,870 99.8% 33,870 99.8% 2019 2020 45,044 44,671 99.2% 44,671 99.2% 2020 2021 43,095 42,893 99.5% 42,893 99.5% 2021 2022 34,032 33,999 99.9% 33,999 99.9% 2022 2023 51,879 51,485 99.2% 51,485 99.2% Source: Final Budget z YTD Treasurer's Tax Distribution 3 Not available for years not shown High Plains Library District Assessed and Estimated Actual Value of Taxable Property Last Ten Fiscal Years (In thousands of dollars) Assessed Total Value as a Taxable Estimated Total % of Levy Vacant Residential Commercia Industrial Agricuitura Natural State Assessed Actual Direct Tax Actual Year Land Property I Property Property I Resources Oil & Gas Assessed Value Taxable Value Rate Value 2014 46,605 915,284 620,508 430,782 138,769 14,625 5,544,193 710,011 8,420,777 25,523,496 3.249 32.992% 2015 55,985 1,146,858 655,020 525,734 168,228 18,440 7,374,473 740,461 10,685,199 31,560,980 3.249 33.856% 2016 48,576 1,192,400 677,672 680,033 172,787 18,187 4,708,785 771,524 8,269,964 29,936,864 3.249 27.625% 2017 65,994 1,413,932 764,517 795,317 197,001 18,605 4,369,798 813,039 8,438,203 35,327,035 3249 23.886% 2018 57,708 1,460,074 785,202 822,019 199,744 22,062 6,338,480 814,026 10,499,315 38,645,508 3.249 27.168% 2019 76,518 1,789,785 959,571 938,681 190,691 25,222 9,194,058 893,660 14,068,186 48,245,043 3.177 29.160% 2020 66,708 1,846,452 988,053 1,217,340 195,667 25,995 8,297,234 1,036,480 13,673,929 49,819,777 3.177 27.447% 2021 85,241 2,090,030 1,082,697 1,196,204 198,835 28,255 4,928,653 1,183,431 10,793,346 50,333,570 3.177 21.444% 2022 74,516 2,101,828 1,104,430 1,169,469 190,161 30,236 10,426,829 1,409,193 16.506,662 58,634,935 3.177 28.152% 2023 108,247 2,434,509 1,379,294 1,357,494 221,751 40,643 14,963,302 958,323 21,463,563 71,824,108 3.177 29.884% Source: Weld County Assessor's office High Plains Library District Principal Taxpayers December 31, 2023 2023 2014 Percentage Percentage of Total of Total Taxable Taxable Taxable Assessed Assessed Taxable Assessed Value Rank Value Assessed Value Rank Value Kerr-Mcgee Oil & Gas Onshore LP PDC Energy Inc. Noble Energy Inc. Extraction Oil & Gas LLC Civitas Resources Inc. Crestone Peak Resources LLC Bayswater Exploration and Production LLC Verdad Resources LLC Highpoint Operating Corporation Kerr Mcgee Gathering LLC Encana Oil & Gas (USA) Ins. Petroleum Development Corp. Bonanza Creek Energy Inc. Public Service Company of Colorado (Xcel) DCP Midstream LP Carrizo Oil & Gas Lewin() Foods 3,066,233,530 1 14.29% 1,781,268,250 2 19.51% 2,885,278,780 2 13.44% 2,627,218,810 3 12.24% 1,973,801,920 21.62% 834,498,710 4 3.89% 704,112,510 5 3.28% 664,396,360 6 3.10% 624,072,140 7 2.91% 578,888,910 8 2.70% 535,460,370 9 2.49% 510,511,950 10 2.38% 127,427,700 8 1.40% 389,820,220 3 4.27% 309,929,470 4 3.39% 285,524,130 5 3.13% 235,758,770 6 2.58% 179,351,570 7 1.96% 107,845,270 9 1.18% 99,121,120 10 1.09% $ 13,030,672,070 Total Gross Taxable Assessed Valuation $ 21,463,563,070 Source: Weld County Assessor 60.71% $5,489,848,420 60.13% High Plains Library District Ratio of Outstanding Debt by Type Last Ten Fiscal Years Governmental Activities Percentage of Fiscal Certificates of Total Library Personal Year Participation District Income' Per Capita' 2014 14,105,000 14,105,000 0.17% 52.28 2015 12,535,000 12,535,000 0.15% 45.67 2016 3,145,000 3,145,000 0.04% 11.04 2017 2,125,000 2,125,000 0.03% 6.98 2018 1,060,000 1,080,000 0.01% 3.55 2019 0.00% - 2020 - - 0.00% - 2021 - 0.00% 2022 0.00% 2023 0.00% Refer to Demographic and Economic Statistics schedule Note: Details regarding the district's outstanding debt can be found in Footnote 5 of the Annual Comprehensive Financial Report. Source: Current and prior year's financial statements. High Plains Library Distric Legal Debt Margin Calculation for Fiscal Year 2023 Assessment Valuation Legal Debt Limit $21,283,897,871 319,255,468 319,255,468 Legal Debt Margin Information Last Ten Fl 1 Years 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Debt limit $125,437,455 $159,863,784 $123,496,081 $ 126,183,800 156,590,520 21Q027,615 203,212,448 159,674,899 244,634,446 319,255,468 Total net debt applicable to limit 14,145,000 12,535,000 3,145,000 2,125,000 1,080,000 Legal debt margin $111,292,455 $147,328,784 $120,351,081 $ 124.058,800 $155,510,520 $210,027,615 $ 203,212,448 $ 159,674,899 $ 244,634,446 $ 319,255,468 Total net debt applicable to fhe limit as a percentage of debt limit Note: ' Debt Limitation: Under Section 22-42-104, Colorado Revised Statutes, 1973, the High Plains Library District may incur indebtedness of general District purposes in an amount not to exceed 1.5% of assessed valuation of all taxable property. 11.28% 7.84% 2.55% Z Certificates of ParBdpation are not generally included as debt for purposes of calculallng legal debt Ilmit (Colorado Revised Statute 22-42-104). However, they are presented here to give the most conservative analysis of debt allowable that remains available. d 1.68% 0.69% 0.00% 0.00% 0.00% 0.00% 0.00% High Plains Library District Direct and Overlapping Governmental Activities Debt As of December 31, 2023 Jurisdiction Net General Obligation Percentage Amount Bonded Debt Applicable to Applicable to Outstanding Government' Government HPLD COP's $ 100.00% $ Total Direct Debt Cities and Towns 46,505,967 91.36% 42,490,017 Schools 2,442,425,800 60.36% 1,474,183,252 Special Districts 495,825,188 64.92% 321,872,539 Total Overlapping Debt 2,984,756,955 1,838,545,808 Total Direct and Overlapping Debt $2,984,756,955 $1,838,545,808 Source: Weld County Annual Comprehensive Financial Report Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the district. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by residents and businesses located within the district's boundries. This process recognizes that, when considering the district's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. High Plains Library District Demographic and Economic Statistics Last Ten Fiscal Years High Plains Total Library District Weld County Personal Income Per Capita Unemployment Year Patron Population Population ($ billions) Income Rate 2014 251,308 269,785 8.35 31,657 3.90% 2015 257,157 274,487 10.74 27,047 3.80% 2016 259,688 284,876 10.60 42,787 3.80% 2017 268,307 294,397 11.20 42,701 3.40% 2018 270,901 304,435 12.50 44,080 2.70% 2019 290,103 323,637 14.70 46,172 3.00% 2020 298,361 331,895 15.30 50,198 7.20% 2021 302,022 340,018 12,70 52,054 5.70% 2022 300,565 345,152 21.00 56,553 3.00% 2023 310,855 358,111 17.30 58,860 3.30% Source: Upstate Colorado in cooperation with the University of Northern Colorado and the State of Colorado demographer. Library Research Service State of Colorado for HPLD population. Weld County Annual Comprehensive Financial Report Note: The HPLD Patron population is shown as a comparative to the Weld County population as the Districts service area approximates the boundary of Weld County. High Plains Library District Principal Employers - Weld County December 31, 2023 2023 2014 Percentage Percentage of Total of Total County County Employees Rank Employment Employees Rank Employment JBS Swift Beef Company Banner Health: Northern Colorado Medical Center Vestas Greeley Evans School District 6 Weld County Government University of Northern Colorado City of Greeley UC Health State Farm Insurance Aims Community College State of Colorado (includes UNC) Haiiburton Energy Services Inc. Select Energy Services Total Principal Employers Other Employers Total County Employment 6,000 1 3.52% 4,654 1 3.64% 3,560 2 2.09% 2,885 3 2.26% 2,710 3 1.59% 2,150 5 1.68% 2,258 4 1.32% 2,400 4 1.88% 1,823 5 1.07% 1,447 7 1.13% 1,488 6 0.87% 1,145 7 0.67% 850 0.67% 1,060 8 0.62% 950 9 0.56% 1,790 1.40% 934 10 0.55% 0.00% 3,811 2 2.98% 1,030 8 0.81% O.00% 752 10 0.59% 21,928 12.85% 21,769 17.04% 148,725 170,653 87.15% 105,962 82.96% 100.00% 127,731 100.00% Source: Weld County Annual Comprehensive Financial Report and Upstate Colorado High Plains Library District Library Materials Purchased and Circulated Last Ten Fiscal Years Number of Number of Fiscal Number of AudioNisual Total Items Items Year Volumes Owned (1) Items Owned (2) Owned Circulated * 2014 673,140 128,416 801,556 2,749,021 2015 683,682 131,135 814,817 2,781,499 2016 636,645 602,207 1,238,852 2,640,378 2017 534,531 609,660 1,144,191 2,555,135 2018 495,977 461,207 957,184 2,420,158 2019 490,302 358,399 848,701 2,275,342 2020 490,743 102,784 593,527 1,490,905 2021 492,360 137,468 629,828 1,746,513 2022 514,556 126,695 641,251 1,797,349 2023 528,825 144,810 673,635 1,889,087 Source: High Plains Library District IT department. Note: (1) Volumes include books, book dub bags, new books, Paperbacks, Large Print, Kits, member books, new periodicals, periodicals, and references, and express books. (2) Audio/visual Items include audio books, MP3, Blu-Ray, cassettes, CD's, DVD's, E -books, equipment, short check out equipment, software, member audio, member video, net library, recordings, and video cassettes. " The number of items circulated includes all of the HPLD branch libraries; four Outreach vehicles; and other service locations; and all of the Member Libraries - Eaton Public Library, Fort Lupton Public & School Library, Glenn A Jones, M.D. Memorial Library and the Milliken location, Hudson Public Library and the Keenesburg Public library, Northern Plains Public Library, Platteville Public Library, and Nantes Library. High Plains Library District Service Locations December 31, 2022 Libraries Square Number of Address Footage Employees Carbon Valley Regional Centennial Park Library 7 Park Avenue Firestone, CO 80504 35,400 25 2227 23rd Avenue Greeley, CO 80634 28,000 33 Administration and Support Services 2650 w. 29th Street building" Greeley, CO 80631 28,903 60 Erie Community Farr Regional Library"" Kersey Library LING 400 Powers Street Erie, CO 80516 26,100 28 1939 61st Avenue Greeley, CO 80634 38,000 27 332 3rd Street Kersey, CO 80644 4,402 501 8th Avenue Greeley, CO 80631 63,960 41 Riverside Library and Cultural Center 3700 Golden Street Evans, CO 80620 18,500 19 The Administration and Support Services building houses the administrative, collection resources and outreach department staff. The Virtual Library department consisting of 5 employees is located at the Farr Regional Library (FRL) and included in the number of employees listed for the FRL. This information is presented on an annual year end basis, to highlight the number of individual employees at each location and not FTE. High Plains Library District Circulation Summary by Location Last Ten Fiscal Years Fiscal Centennial Year Carbon Valley' Park Erie Fan Kersey LINO Park Cultural Center ° Services Total 2014 382,228 558,494 394,962 550,391 11,090 234,827 24,519 68,480 2,224,991 2015 290,955 395,511 296,969 432,621 10,431 174,416 123,496 79,522 1,803,921 2016 272,125 399,477 281,932 405,275 7,917 97,700 106,282 89,766 1,660,474 2017 245,117 365,264 280,578 377,723 3,274 85,789 104,204 96,240 1,558,189 2018 229,604 308,229 279,100 341,960 1,840 69,682 86,623 93,980 1,411,018 2019 213,002 268,321 289,942 310,571 2,918 58,744 74,959 97,919 1,316,376 2020 114,024 112,769 163,866 55,271 2,567 20,537 29,084 74,223 672,341 2021 162,140 132,896 247,044 207,305 3,941 22,084 40,072 70,730 886,212 2022 171,535 139,178 252,014 222,893 6,092 22,154 43,003 54,873 911,742 2023 168,788 106,110 262,452 217,844 8,560 91,668 5,489 41,684 51,598 954,193 Lincoln Riverside Library and Outreach Note: The Carbon Valley Regional Library opened in March 2008. 2 Erie activity occurred at the Lorraine David Children's Library which ceased its operations with the Erie Community Library opening on January 12, 2008. 3 The Kersey mini -branch opened in late January 2013. The Kersey mini -branch was dosed from late June 2017 to late December 2017 for mold mitigation. ° The Riverside Library and Cultural Center opened October 18, 2014. During 2020, the libraries were closed for several weeks and subject of limited services because of COVID-19 restrictions. Source: High Plains Library District IT department. Hello