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Fiscal Year ended
September 30th, 2003
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COMPREHENSIVE ANNUAL
FINANCIAL REPORT
City of Miami, Florida
For the Year Ended September 30, 2003
Prepared by the Finance Department
INTRODUCTORY SECTION
PRINCIPAL CITY OFFICIALS
TABLE OF CONTENTS
LETTER OF TRANSMITTAL
CERTIFICATE OF ACHIEVEMENT
ORGANIZATIONAL CHART
City of Miami, Florida
Principal City Officials
September 30, 2003
MAYOR
Manuel A. Diaz
CITY COMMISSION
Arthur E. Teele, Jr, Chairman
Joe Sanchez, Vice -Chairman
Angel Gonzalez, Commissioner
Tomas Regalado, Commissioner
Johnny L. Winton, Commissioner
CITY MANAGER
Joe Arriola
CITY ATTORNEY
Alejandro Vilarello
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City of Miami, Florida
Comprehensive Annual Financial Report
For the Fiscal Year Ended September 30, 2003
TABLE OF CONTENTS
I. INTRODUCTORY SECTION
PRINCIPAL CITY OFFICIALS
TABLE OF CONTENTS iii
LETTER OF TRANSMITTAL vii
CERTIFICATE OF ACHIEVEMENT xiv
ORGANIZATIONAL CHART xvi
II. FINANCIAL SECTION
Independent Auditors' Report 1
Management's Discussion and Analysis -
Required Supplementary Information (Unaudited) 3
Basic Financial Statements:
Government -wide Financial Statements:
Statement of Net Assets 13
Statement of Activities 14
Fund Financial Statements:
Balance Sheet — Governmental Funds 15
Reconciliation of the Governmental Funds Balance Sheet
to the Statement of Net Assets 16
Statement of Revenues, Expenditures and Changes in
Fund Balances — Governmental Funds 17
Reconciliation of the Statement of Revenues, Expenditures
and Changes in Fund Balances of Governmental Funds to
the Statement of Activities 18
Statement of Fiduciary Net Assets — Fiduciary Funds 19
Statement of Changes in Fiduciary Net Assets — Fiduciary Funds 20
Statement of Net Assets - Discretely Presented Component Units 21
Statement of Activities - Discretely Presented Component Units 22
iii
Notes to the Financial Statements 25
Required Supplementary Information (Unaudited):
Budget to Actual Comparison — Major Funds (General and Special Revenue):
General Fund 61
Community Redevelopment Fund 62
Public Service Tax Fund 63
Notes to the Required Supplementary Information 64
Pension Schedules:
Schedule of Funding Progress 65
Combining and Individual Fund Statements and Schedules:
Combining Balance Sheet — Nonmajor Governmental Funds 72
Combining Statement of Revenues, Expenditures and Changes
in Fund Balances —Nonmajor Governmental Funds 78
Combining Statement of Fiduciary Net Assets — Fiduciary Funds 86
Combining Statement of Changes in Fiduciary
Net Assets — Fiduciary Funds 87
Supplementary Information:
Budget to Actual Comparison — Nonmajor Governmental Funds:
Community Redevelopment Agency (ORA) Fund 90
Community Redevelopment Agency (SEOPW) Fund 91
Convention Center Fund 92
Economic Development & Planning Services Fund 93
Fire Rescue Services Fund 94
Net Offices Fund 95
Parks and Recreations Fund 96
Police Services Fund 97
Law Enforcement Trust Fund 98
Public Works Fund 99
City Clerk Fund 100
Local Option Gas Tax Fund 101
Stormwater Utility Fund 102
Gusman and Olympia Fund 103
Department Improvement Initiatives 104
Transportation & Transit Fund 105
General Obligation Bond Fund 106
Other Special Obligation Bond Fund 107
Community Redevelopment Other Special Obligation Bond Fund 108
iv
III. STATISTICAL SECTION (Unaudited)
General Governmental Expenditures and Transfers
By Function 109
General Governmental Revenues and Transfers
By Source 110
Property Tax Levies and Collections 111
Assessed Value of All Taxable Property 112
Property Tax Rates and Tax Levies
Direct and Overlapping Governments 112
Special Assessments Collections and Receivables 113
Ratio of Net General Bonded Debt To Net Assessed Value
and Net Bonded Debt Per Capital 113
Ratio of Annual Debt Service Expenditures for General
Bonded Debt to Total General
Governmental Expenditures and Other Financing Uses 114
Schedule of Legal Debt Margin 114
Current Debt Ratios 115
Schedule of Direct and Overlapping General
Obligation Debt 116
Ten Largest Tax Assessments 117
Bank Deposits — Last Ten Years 117
Building Permits — Last Ten Years 118
Demographic Statistics 118
General Statistical Data 119
Growth Factors Relative to Miami -Dade County, Florida 120
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Tag of 4Uiami
SCOTT SIMPSON
Director
February 27, 2004
The Honorable Mayor,
Members of the City of Miami Commission,
and Citizens of the City of Miami, Florida
Ladies and Gentlemen:
JOE ARRIOLA
City Manager
The Comprehensive Annual Financial Report of the City of Miami, Florida (the "City")
for the fiscal year ended September 30, 2003, is hereby submitted. This report consists of
management's representations concerning the finances of the City. 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 City has established a comprehensive internal control
framework that is designed both to protect the City's assets from loss, theft or misuse and
to compile sufficient reliable information for preparation of the City's financial
statements in conformity with generally accepted accounting principles (GAAP).
Because the cost of internal controls should not outweigh their benefits, the City's
comprehensive framework of internal control has been designed to provide reasonable,
rather than absolute assurance that the financial statements will be free of 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 aspects.
KPMG LLP partnering with Sanson, Kline, Jacomino & Company, Sharpton, Brunson &
Co. P.A., Watson & Company, P.A., and Briele and Echeverria, P.A., all of which are
firms of licensed certified public accountants, has audited the City's basic financial
statements. The goal of the independent audit was to provide reasonable assurance that
the financial statements of the City, for the fiscal year ended September 30, 2003, are free
of material misstatement. The independent audit involved examining, on a test basis,
evidence supporting the amounts and disclosures in the basic financial statements;
assessing the accounting principles used and significant estimates made by management;
and evaluating the overall financial statement presentation. The independent auditors
concluded, based upon the audit, that there was reasonable basis for rendering an
unqualified opinion that the City's basic financial statements for the fiscal year ended
September 30, 2003, were presented fairly in conformity with GAAP. The independent
auditors' report is presented as the first component of the financial section of this report.
The independent audit of the financial statements of the City was part of a broader,
federally and state mandated "Single Audit" designed to meet special needs of federal and
state grantor agencies. The standards governing Single Audit engagements require the
independent auditor to report not only on the fair presentation of the financial statements,
but also on the audited government's internal control and compliance with legal
requirements, with special emphasis on internal controls and legal requirements involving
DEPARTMEIff'#tOF FINANCE
444 S.W. 2nd Avenue, 6th Floor - Miami, FL 33130 - (305) 416-1330 - Fax: (305) 416-1987
Mailing Address: P.O. BOX 330708 Miami, FL 33233-0708
the administration of federal and state awards. These reports are available in the City's
separately issued Single Audit Report.
GAAP requires that management provides 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 City's MD&A can be found
immediately following the report of the independent auditors.
ECONOMIC CONDITION AND OUTLOOK
The City's diversified economic base is comprised of wholesale and retail trade, light
manufacturing, commerce, and tourism. The City has made great gains in the areas of
international banking, business, real estate and trans -shipment, which has diversified the
economic base. Located in the center of a hemispheric market of more than 700 million
people, and easily accessible to South and Central America, the Caribbean, Europe and
Africa, Miami's strategic location and international commerce infrastructure make it the
ideal location for international trade. As a result of expanding economies in several Latin
American countries, international trade has been growing at double-digit rates in the
Miami area.
Airport. In 2003, the Miami International Airport served nearly 29 million passengers,
with nearly half of those being international passengers. It has flights to nearly 200 cities
on five continents with 90 scheduled and 32 non-scheduled carriers. The Miami
International Airport also shipped 3.5 billion pounds of domestic and international cargo
during the year.
Sea Port. In 2003, the Port of Miami handled 9 million tons of cargo and over 3.9 million
cruise passengers. Long considered the Cruise Capital of the World, boasting more home -
ported cruise ships than any other seaport, the Port of Miami received another distinction
in November 1999. It became the year-round home of Royal Caribbean International's
3,600-passenger Voyager of the Seas, the largest cruise liner ever built at that time. The
Port of Miami is also the base for Royal Caribbean's newest ship the 3,800 passenger
"Regency of the Seas".
Arenas. The American Airlines arena, home of the Miami Heat basketball team, is one of
the premier facilities that ushered in the City's Millennium celebration. The Miami Arena
serves as a venue for concerts, and special events.
Private Development. The City is experiencing a period of unprecedented private
development. Projects recently completed, under construction, or in design will add over
$10 billion in value to the property tax roll. Developments include four 5-star hotels, ten
high-rise condominiums and five new office towers. Of specific note, is the number of
residential units currently planned or under construction in downtown Miami, furthering
the City's goal to transform its central business district to a 24 by 7 activity center.
Currently, in excess of 18,000 downtown residential units are in the planning or
construction phase.
viii
Public/Private Development Ventures. The City will continue to focus efforts on its
waterfront properties. Projects such as the Dinner Key Marina, Virginia Key Beach, and
Bicentennial Park are major projects, which fit prominently into the City's long-term
economic growth and financial well being. A major change has begun on Watson Island;
Parrot Jungle and the Miami Children's Museum opened in 2003 and the planning for the
Island Gardens Development, which will contain two hotels, retail spaces and a mega -
yacht marina is well under way. Additional land on Watson Island was one of two sites
proposed for the permanent headquarters of the Free Trade Area of the Americas (FTAA)
in 2004.
Major Initiatives. With the improvement in the financial condition of the City, the
emphasis has been redirected to improving the infrastructure within the City. The City
has begun a program of major renovations and improvements to City parks, streets,
sidewalks and drainage systems. Additionally, a major effort is underway to modify and
improve the City's sanitation services. While the external improvements are critical to
promote further economic development, the City has completed a strategic planning
process to identify and plan for technology improvements internally within the
administration. A major result of this study will be a shift in technology from a
mainframe environment to a distributed network. The City will also be moving much of
its services and information to the Internet.
DEBT MANAGEMENT
The City was very active in capital market during fiscal year 2003. In November 2000,
the citizens of the City approved the issuance of $255 million in Limited Ad -Valorem
General Obligation Bonds to be used for infrastructure improvements with approximately
fifty percent of the proceeds to be used to expand and improve the City's park system.
The City issued the first series of these bonds in July 2002, with an issuance of $153
million. The City was able to capitalize on the historic lows of both treasury and tax
exempt rates available to provide significant savings to the City. In -March 2003, the City
refunded approximately $18.7 million of General Obligation debt with a present value
savings of approximately $1.41 million and a true interest cost of 2.41 %. The City was
also able to take advantage of historically low fixed interest rates by converting its
variable rate Sunshine State Commercial Paper Loan (Series 1995) to a fixed rate Special
Obligation Bond. It is management's objective to adequately plan and meet the City's
comprehensive construction demands for essential capital improvements and equipment
needs, and, at the same time, ensure that the residents of the community are not
overburdened with general obligation long-term debt payable from ad valorem taxes.
ix
The following chart indicates the principal amortization of the City's general obligation
debt in five-year increments. As can be seen, approximately 44% of the City's
outstanding debt will be retired within the next ten years.
General Obligation Debt
Principal Amortization
For the Five Year Period Ending September 30, 2003
2008 $ 53,384,561
2013 53,132,938
2018 64,356,448
*2023 71,485,352
* The final maturity of GO debt will be retired in Fiscal Year 2022.
Cash Management and Practices. In order to achieve maximum financial return on all
available funds, the Finance Department pursues an aggressive cash management and
investment program within the constraints imposed by Florida Statutes and local policies
adopted by resolution by the City Commission.
The City operates within established formal investment policies, which applies to all
investment of public funds. Idle cash balances are invested on a daily basis at the best
interest rates available in the markets. Investments consist primarily of United States
treasuries and agencies securities, commercial paper, and money market funds. During
the fiscal year the City received a certificate of excellence for its Investment Policy from
the Association of Public Treasurers of United States and Canada (APT US&C).
For purposes of maximizing the interest earning yield on short-term investments, cash
balances of all funds are pooled. The primary objective of the City's policy is preservation
of capital. It is the City's policy not to invest in highly leveraged derivatives. Investment
income reported in these financial statements includes appreciation in the fair value of
investments. Increases in fair value during the current year, however, do not necessarily
represent trends that will continue, nor is it always possible to realize such amounts,
especially in the case of temporary changes in the fair value of investments that the City
intends to hold to maturity.
A summary and comparison of investment activity for the three fiscal years, are as follows:
2003
2002 2001
Average Portfolio $ 508,369,707 $ 362,439,535 $ 301,356,555
Balance (End of Year)
Average Investment Yield 2.55% 3.77% 5.72%
Interest Earned on
Investments managed
by the Finance Department $ 12,985,760 $ 13,676,175 $ 16,804,173
x
The following chart summarizes the City's investments, including cash equivalents, at September
30, 2003:
Cash Equivalents and Investment Types
Money Market
2%
U.S Treasuries
8%
Commercial Paper
13%
U.S. Government
Agencies
77%
Risk Management. The City administers a self-insurance program for workers'
compensation, tort liability, property, and group health and Life insurance programs,
subject to certain stop -loss provisions. The health and life insurance programs are
administered by an independent administrator. The City funds the program on an annual
payout basis. Insurance coverage is maintained with independent carriers for property
damage to City facilities. The City maintains excess coverage with independent carriers
for workers' compensation and general liability.
At September 30, 2003, the estimated liability for insurance claims that are expected to be
paid totaled $16,548,601. The estimated long-term liability for insurance claims, at
September 30, 2003, is $65,190,000. The estimated liability for insurance claims is
discounted at an interest rate of 5%.
Pensions. The City maintains three separate single -employer defined benefit pension
plans for its public safety employees, elected officials, and its general and sanitation
employees. Each year, an independent actuary, engaged by the pension plans, calculates
the amount of the annual contribution that the City must make to the pension plans to
ensure that the plans will be able to fully meet their obligations to retired employees on a
timely basis. As a matter of policy, the City is required to fully fund each year's annual
required contribution to the pension plans as determined by the actuary.
The City also provides to certain executive employees a single -employer, defined
contribution pension plan administered by ICMA Retirement Trust. The City is required
to contribute 8% of the employee's earnings to this plan. The City's contribution for the
City Manager, Independent Auditor General and City Attorney is not limited to the 8%
but is an amount stipulated per their respective contracts with the City.
xi
The pension plans for the Fire and Police (FIPO) and General and Sanitation Employees
(GESE) experienced significant increases in the fair value of the plans assets in the fiscal
year ending September 30, 2003. These increases were caused by appreciation in the fair
value of the investments due to general market conditions. The City is continuing to work
with both Boards to explore possible actuary assumption changes that will serve to
minimize the large increases and decreases for the City's pension contribution from year
to year.
Additional information on the City's pension arrangements can be found in Note 10 in the
notes to the financial statements.
CERTIFICATE OF ACHIEVEMENT
The Government Finance Officers Association of the United States and Canada (GFOA)
awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of
Miami, Florida for its Comprehensive Annual Financial Report (CAFR) for the fiscal
year ended September 30, 2002. The Certificate of Achievement is the highest form of
recognition in the area of governmental accounting and financial reporting. The
attainment of this award represents a significant accomplishment by a government and its
financial management.
In order to be awarded a Certificate of Achievement, the City had to publish an easily
readable and efficiently organized CAFR, whose contents conform to established
program standards. Such comprehensive reports must satisfy both generally accepted
accounting principles and applicable legal requirements. To earn a Certificate of
Achievement, a government must demonstrate constructive spirit of full disclosure to
clearly communicate its financial story while enhancing the understanding of the logic
underlying the traditional governmental financial reporting model.
The City's 2002 Comprehensive Annual Financial Report has been evaluated by an
impartial Special Review Committee composed of other government officers,
independent certified public accountants, educators and others with particular expertise in
government accounting and financial reporting. We believe that the 2003 Comprehensive
Annual Financial Report continues to conform to the high standards of the Certificate of
Achievement Program and we are submitting it to the GFOA for consideration.
xii
ACKNOWLEDGEMENTS
The Comprehensive Annual Financial Report's preparation was made possible through
the efficient, dedicated and professional efforts of the entire staff in the Finance
Department. The significant amount of year-end closing procedures required prior to the
audit, could not have been accomplished without much hard work and personal sacrifice.
Each member of the department has our sincere appreciation for the contributions made
to assist in the in-house preparation of this report.
The guidance and cooperation of the Mayor and City Commission in planning and
conducting the financial affairs of the City is greatly appreciated. We also wish to
express our appreciation to our Certified Public Accountants, KPMG LLP, in association
with Sanson, Kline, Jacomino & Company, LLP, Sharpton, Brunson & Co. P.A., Watson
& Company, P.A., and Briele and Echeverria, P.A., for their cooperation and assistance.
♦
Joe Arriola Linda M. Haskins, CPA Sco ! impson,
City Manager Chief Financial Officer/ CPA, CPFO, CGFO, CGFM
Deputy Administrator Finance Director
CERTIFICATE OF ACHIEVEMENT
The Government Finance Officers Association of the United Sates and Canada (GFOA)
awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of
Miami, Florida for its Comprehensive Annual Financial Report for the fiscal year ended
September 30, 2002. The Certificate of Achievement is a prestigious national award
recognizing conformance with the highest standards for preparation of state and local
government financial reporting.
In order to be awarded a Certificate of Achievement, a governmental unit must publish an
easily readable and efficiently organized Comprehensive Annual Financial Report, the
contents of which conform to program standards. Such report must satisfy both generally
accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a period of one year only. We believe our
current report continues to conform to Certificate of Achievement Program requirements,
and we are submitting it to GFOA to determine its eligibility for another certificate.
xiv
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Miami,
Florida
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
September 30, 2002
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
President
Executive Director
XV
CITY OF MIAMI TABLE OF ORGANIZATION
CITY COMMISSION
CHAIRMAN A. TEELE, JR.
VICE•CHAIRMAN J. SANCHEZ
COMMISSIONER J WINTON
COMMISSIONER k GONZALEZ
COMMISSIONER T. REGAiADO
City Clerk
Priscilla A. Thompson
Auditor General
Victor Igwe
Virginia Key Beach
Park Trust
David Shorter
Model City
Revitalization Trust
Marva May
Miami Sports &
Exhibition Authority
James Jenkins
Bayfront Park
Management Trust
Tim Sch mend
Fire Fighter's and
Police Officer's
Retirement Trust
Robert H. Nagle
Residents of Miami
City Attorney
Alejandm Vilarello
Civil Service Board
Tishria Mindingall
Downtown
Development Authority
Dana Nottingham
Community
Redevelopment
Agency
Frank Rollason
Off -Street Parking
Authority
Arthur NOriega
Chief Administrator! City Manager
(Joe Arriola)
• NET (Ricardo Gonzalez)
Grants (Robert Ruano) • Code Enforcement
Agenda (Elvi Alonso) (Mariana Loret de Meta)
Community Relations (Ada Rojas) • F_F A.C.E.
EXECUTIVE MAYOR
Manuel A. Diaz
• Mayor's International Council
Police Chief
II John Timoney
Fire Chief
William Bryson
Communications
1 (Acting )
Kelly Penton
Hearing Boards
Tereslta Fernandez
Civilian Investigative Panel
(Professional Compliance
staff of CIP)
Shirley Richardson
General Employees and
Sanitation Employees'
Retirement Trust
Sandra Elenberg
Deputy Chief Administrator
Chief Financial Qffioer
Linda Haskins
Finance
Scott Simpson
Purchasing
Glenn Marcos
Dept. of Economic
Development
Keith Carswell
Dept of Employee
Relations
Rosalie Mark
Public Facilities
Christina Abrams
Community Development
Barbara Gmnez-Radnguez
Risk Management
Dania Carrillo
Chief of Operations
Alicia Cuero Schreiber
Office of Transportation
Mary Conway
Capital Improvement
Program
Jorge Cano
Public Works
Stephanie Grindell
Solid Waste
Kathleen Woods-
Rlchardscn
GSA
Kenneth Grir,ea
Building
Hector Lima
Planning and Zoning
Ana Gelabert
Parks & Recreation
Santiago Corrado
Chief Information Officer
(CIO)
Information Technology
Peter Korinis
Chief of Strategic Planrdng,
Budgeting & Performance
Larry Spring
CitiStat
Don Riedel
FINANCIAL SECTION
INDEPENDENT AUDITORS' REPORT
MANAGEMENT'S DISSCUSION AND ANALYSIS
BASIC FINANCIAL STATEMENTS
(Goverment -wide Financial Statements)
(Fund Financial Statements)
NOTES TO THE FINANCIAL STATEMENTS
REQUIRED SUPPLEMENTAL INFORMATION
COMBINING AND INDIVIDUAL FUND STATEMENTS
AND SCHEDULES
11
KPMG LLP
Suite 2800
One Biscayne Tower
Two South Biscayne Boulevard
Miami, FL 33131
Independent Auditors' Report
The Honorable Mayor and City Commissioners
City of Miami, Florida:
Telephone 305 358 2300
Fax 305 913 2692
We have audited the accompanying financial statements of the governmental activities, the aggregate
discretely presented component units, each major fund, and the aggregate remaining fund information of
the City of Miami, Florida (the City), as of and for the year ended September 30, 2003, which collectively
comprise the City's basic financial statements as listed in the table of contents. These financial statements
are the responsibility of the City's management. Our responsibility is to express opinions on these financial
statements based on our audit. We did not audit the financial statements of the Southeast Overtown Park
West Redevelopment Agency, the Omni Redevelopment Agency, and the Pension Trust Funds, which
statements represent 87% and 81%, respectively, of the assets and revenue of the aggregate remaining fund
information. We also did not audit the financial statements of the Downtown Development Authority of the
City of Miami, Florida, the Miami Sports and Exhibition Authority, the Health Facilities Authority, and the
Bayfront Park Management Trust of the City of Miami, Florida, which statements reflect 63% and 52% of
the assets and revenue, respectively, of the aggregate discretely presented component units. Those financial
statements were audited by other auditors whose reports thereon have been furnished to us, and our
opinion, insofar as it relates to the amounts included for those entities, is based on the reports of the other
auditors.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing Standards,
issued by the Comptroller General of the United States. Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall financial statement
presentation. We believe that our audit and the reports of other auditors provide a reasonable basis for our
opinions.
In our opinion, based on our audit and the reports of other auditors, the financial statements referred to
above present fairly, in all material respects, the respective financial position of the governmental
activities, the aggregate discretely presented component units, each major fund, and the aggregate
remaining fund information of the City of Miami, Florida as of September 30, 2003, and the respective
changes in financial position thereof for the year then ended in conformity with accounting principles
generally accepted in the United States of America.
In accordance with Government Auditing Standards, we have also issued our report dated
February 27, 2004 on our consideration of the City's internal control over financial reporting and our tests
of its compliance with certain provisions of laws, regulations, contracts, and grants. That report is an
KPMG LLP, a U.S. limited liability partnership, is the U.S.
member firm of KPMG International, a Swiss cooperative
integral part of an audit performed in accordance with Government Auditing Standards and should be read
in conjunction with this report in considering the results of our audit.
The management's discussion and analysis on pages 3 through 12, the budget to actual comparison
information on pages 61 through 64, and the schedule of funding progress on page 65, are not a required
part of the basic financial statements but are supplementary information required by the accounting
principles generally accepted in the United States of America. We and the other auditors have applied
certain limited procedures, which consisted principally of inquiries of management regarding the methods
of measurement and presentation of the required supplementary information. However, we did not audit
the information and express no opinion on it.
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively
comprise the City's basic financial statements. The introductory section, combining and individual fund
statements and schedules, and statistical section listed in the accompanying table of contents, are presented
for the purposes of additional analysis and are not a required part of the basic financial statements. The
combining and individual fund statements and schedules have been subjected to the auditing procedures
applied by us and the other auditors in the audit of the basic financial statements and, in our opinion, are
fairly stated in all material respects in relation to the basic financial statements taken as a whole. The
introductory and statistical sections have not been subjected to the auditing procedures applied by us and
the other auditors in the audit of the basic financial statements and, accordingly, we express no opinion on
them.
February 27, 2004
KI-PMCz- LLB
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MANAGEMENT'S DISCUSSION AND ANALYSIS
As management of the City of Miami, Florida (the "City"), we offer readers of the City's financial
statements this narrative overview and analysis of the financial activities of the City for the fiscal year
ended September 30, 2003. We encourage readers to consider the information presented here in
conjunction with additional information that we have furnished in our letter of transmittal, which can be
found on pages vii — xiii of this report.
FINANCIAL HIGHLIGHTS
• The assets of the City exceeded its liabilities at the close of the most recent fiscal year by $697,877,182
(net assets).
• The governmental activities revenue decreased $17,425,207 (or 33.5%) and the net results from
activities decreased by $29,975,800 (or 94.9%). In both years (2003 and 2002), the results of activities
produced an increase in net assets of $1,623,823 and $31,599,623, respectively.
• The General Fund (the primary operating fund) reflected on a current financial resource basis, reflects
an increase in fund balance of $334,483 (or 0.2%).
• The City's total debt decreased by $16,374,712 (or 3.5%) during the current year. The key factors of
this decrease were the refinancing of existing debt in favorable market conditions and making
outstanding debt service payments.
3
USING THIS ANNUAL REPORT
This discussion and analysis is intended to serve as an introduction to the City's basic financial statements.
The City's basic financial statements comprise three components; 1) government -wide financial statements,
2) fund financials statements, and 3) notes to the financial statements. This report also contains other
supplementary information in addition to the basic financial statements themselves.
In light of the fact that this is a very different presentation of the City's general purpose financial
statements from previous years, the following graphic is provided for your review.
Basic Financial Statements
Management's Discussion
and Analysis
(required supplementary information)
Government -wide Fund financial
financial statements H statements
(new) (refocused)
(pages 13- 14) (pages 15 — 23)
Notes to the financial statements
(expanded / restructured)
(naaec 75- 591
Required supplementary information
(other than MD&A)
(expanded)
(pages 61- 65)
The focus of the financial statements under the GASB 34 model (originally implemented by the City in
2001/2002) is on both the City as a whole (government -wide) and on the major individual funds. Both
perspectives (government -wide and major fund) allow the user to address relevant questions, broaden a
basis for comparison (year to year or government to government) and enhance the City's accountability.
Government -Wide Financial Statements
The government -wide financial statements (see pages 13— 14) are designed to be corporate -like, in that all
governmental activities are presented in columns that add to a total for the Primary Government. The focus
of the Statement of Net Assets (the "Unrestricted Net Assets") is designed to be similar to bottom line
results for the City and its governmental activities. This statement reflects governmental fund's current
financial resources (short-term spendable resources) with capital assets and long-term obligations. The
City does not have any business -type activities for financial reporting purposes.
The Statement of Activities (see page 14) is focused on both the gross and net cost of various functions
(including governmental and component units), which are supported by the government's general tax and
other revenues. This is intended to summarize and simplify the user's analysis of the cost of various
governmental services and/or component units.
4
Component Units, which are other governmental units over which the City can exercise influence and/or
may be obligated to provide financial subsidy, are presented as a separate column in the Government -wide
Financial Statements. The focus of the statements is clearly on the Primary Government and the
presentation allows the user to address the relative relationship with the Component Units.
The Governmental Activities reflects the City's basic services, including Police, Fire, Solid Waste
Collection, Parks and Cultural Activities, and general administration. Property taxes, other local taxes, and
federal grants finance the majority of these activities.
Fund Financial Statements
Traditional users of governmental financial statements will find the Fund Financial Statements presentation
more familiar. Their focus is on the City's major funds. The fund financial statements provide more
information about the City's most significant funds — not the City as a whole.
The City has two kinds of funds:
Governmental Funds — Most of the City's basic services are included in governmental funds, which focus
on (1) how cash and other financial assets that can readily be converted to cash flow in and out and (2) the
balances left at year end that are available for spending. Consequently, the governmental funds statements
provide a detailed short-term view that helps the reader determine whether there are more or fewer
financial resources that can be spent in the near future to finance the City's programs. Because this
information does not encompass the additional long-term focus of the government -wide statements,
additional information is provided at the bottom of the governmental funds statement that explains the
relationship (or differences) between them.
The City maintains thirty-two individual governmental funds. Information is presented separately in the
governmental fund balance sheets and in the governmental fund statement of revenues, expenditures and
changes in fund balances for the General Fund, Community Development Fund, Public Services Taxes
Special Revenue Fund, and General Government Capital Projects Fund, which are considered to be major
funds. Data from the other twenty-eight governmental funds are combined into a single, aggregated
presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form
of combining statements elsewhere in this report.
The City adopts an annual appropriated budget for its General Fund and certain Special Revenue Funds.
Budgetary comparison schedules have been provided for the General Fund and each major Special
Revenue Fund that adopts a budget to demonstrate compliance with the budget. Such information is
presented as required supplementary information.
The basic government fund statements can be found on pages 15 — 23 of this report.
Fiduciary Funds — These funds are used to account for resources held for the benefit of parties outside the
City. Fiduciary funds are not reflected in the government -wide financial statements because the resources
of these funds are not available to support the City's own programs.
The basic fiduciary fund financial statements can be found on pages 19 — 20 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 statements. The notes to the financial
statements can be found on pages 25 — 59 of this report.
Other Information — In addition to the basic financial statements and accompanying notes, this report also
presents certain required supplementary information concerning budgetary comparisons and the City's
progress in funding its obligations to provide pension benefits to its employees. Required supplementary
information can be found on pages 61 — 65 of this report.
The combining statements referred to earlier in connection with nonmajor governmental funds are
presented immediately following the required supplementary information. Combining and individual fund
statements and schedules can be found on pages 72 — 83 of this report.
5
GOVERNMENT -WIDE FINANCIAL ANALYSIS
Net Assets
As noted earlier, net assets may serve over time as a useful indicator of a government's financial position.
In the case of the City, assets exceed liabilities by $697,877,182 at the close of the most recent fiscal year.
The largest portion of the City's net assets (88.67%) reflects its investment in capital assets (e.g., land
buildings, machinery and equipment), less any related debt used to acquire those assets that is still
outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets
are not available for future spending. Although the City's investment in capital assets is reported net of
related debt, 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 portion of the City's net assets (16.38%) represents resources that are subject to external
restrictions on how they may be used.
The remaining unrestricted net assets deficit of $35,234,348 is primarily the result of the excess of
unrestricted liabilities over unrestricted assets.
The deficit in unrestricted net assets in government activities increased by $18,301,362. The primary
reason for this deficit increase was the degree to which increases in ongoing expenditures exceed similar
increases in ongoing revenues. Citywide unrealized gains in investments (excluding pension funds)
amounted to $2,259,778 in fiscal year 2003.
The following schedule reflects a summary of Net Assets compared to prior year.
Summary of Net Assets
as of September 30
Current and other assets
Capital assets
Total assets
Other liabilities
Long-term liabilities outstanding
Total liabilities
Governmental
Activities
2003 2002
$ 572,120,755 $ 562,707,660
807,941,738 827,178,112
1,380,062,493 1,389,885,772
118,199,384
563,985,927
120,877,487
572,754,926
682,185,311 693,632,413
Net assets:
Invested in capital assets,
net of debt 618,784,135 598,154,380
Restricted 114,327,395 115,031,965
Unrestricted (Deficit) (35,234,348) (16,932,986)
Total net assets $ 697,877,182 $ 696,253,359
For more detailed information see the Statement of Net Assets (page 13).
6
Changes In Net Assets
The following schedule compares the revenues and expenses for the current and previous year.
Changes in Net Assets
Revenues:
Program revenues:
Charges for services
Operating grants and contributions
Capital grants and contributions
General revenues:
Property taxes
Utility taxes
Intergovernmental revenues
Investment earnings
Other
Total revenues
Expenses:
General government
Planning and development
Community development
Community redevelopment areas
Public works
Public safety
Public facilities
Parks and recreation
Interest on long-term debt
Unallocated depreciation
Governmental Activities
2003 2002
$ 190,708,552 $
34,441,899
9,646,560
166,770,291
58,900,480
31,825,518
8,833,535
1,077,289
191,519,487
51,137,825
23,053,287
151,614,600
58,314,804
29,307,924
10,645,639
4,035,765
502,204,124 519,629,331
85,176,588 94,349,348
13,579,968 13,289,988
32,088,517 47,186,103
6,477,916 6,125,242
60,708,046 53,950,238
226,580,865 200,727,361
10,561,373 9,832,601
20,152,074 19,550,960
19,489,387 17,252,301
25,765,567 25,765,566
Total expenses 500,580,301 488,029,708
Increase in net assets $ 1,623,823 $ 31,599,623
For more detailed information see the Statement of Activities (page 14).
Governmental Activities — As noted earlier, governmental activities increased the City's net assets by
$1,623,823. Key elements of this increase are as follows:
The decrease in operating and capital grants contributions are primarily the result of a reduction in U.S.
Department Housing and Urban Development awards ($15.8 million) and a decrease in grant awards from
the U.S. Department of Justice ($12.7 million).
Property taxes increased by 10% ($15.2 million) during the year. The increase was due to a 14.6% ($2.49
billion) increase of the net assessed value of taxable property. The City has decreased the overall millage
rate for the last four years to the current rate of 10.068 (Operating: 8.850, Debt Service: 1.218).
Investment Income for fiscal year 2003 was reduced by a decrease in interest rates that were reflective of
general market conditions.
General government expenditures decreased in fiscal 2003. This decrease reflects a one time charge in the
prior year to recognize the liability for parking surcharge litigation ($14.2 million) that was partially offset
by salary increases (cost of living, merit, and market adjustments) and increases in other expenses due to
the overall inflation of certain consumer commodities.
7
Community Development was impacted by decreases in U.S. Housing and Urban Development grant
revenues resulting in decreases for Community Development activities. Most of the block grant revenues
are recognized when the expenditures are incurred.
Public Safety experienced an increase of $26.1 million. The primary reason for the increase was that
expenditures reflected an increase of $19.9 million in the current year's pension plan contributions.
Public Works expense allocations are subject to annual classification of either maintenance (shown as
expenditures) or capital (capitalized and therefore not reflected as expenditures). There was a $5.4 million
decrease in capital acquisitions resulting in a corresponding increase in the operating expenditures for the
same amount.
250,000,000 -
200,000,000
150,000,000
100,000,000
50,000,000
0
Expenses and Program Revenues - Governmental Activities
l r
Li.1T
al Government
■Expenses ■Program Revenues
Public Facilities
Parks and Recreation
rest on Long -Term
8
Revenue by Source - Governmental Activities
Public service taxes
12%
Other
0%
State revenue sharing
6%
Investment earnings
2%
Property taxes
33%
Charges for services
38%
Operating grants
and contributions
7%
Capital grants and
contributions
2%
FINANCIAL ANALYSIS OF THE CITY'S FUNDS
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with fmance-related
legal requirements.
Governmental Funds — The focus of the City's governmental funds is to provide information on near -term
inflows, outflows and balances of spendable resources. Such information is useful in assessing the City's
financing requirements. In particular, unreserved fund balance may serve as a useful measure of a
government's net resources available for spending at the end of the fiscal year.
The General Fund is the chief operating fund of the City. At the end of the current fiscal year, unreserved
fund balance of the General Fund was $136,905,142, while the total fund balance reached $141,826,336.
As a measure of the General Fund's liquidity, it may be helpful to compare both unreserved fund balance
and total fund balance to the fund's total operational expenditures. Unreserved fund balance represents
35.1% of the total expenditures and transfers -out for recurring operational costs reported in other funds,
while total fund balance represents 36.3% of that same total amount.
The General Fund's fund balance increased by $334,483 during the current fiscal year. Key factors in this
increase are as follows:
• An increase in taxable property values resulted in an additional $9,228,392 in property tax
revenue.
• Budgeted expenditures were less than actual amounts resulting in a $14,689,891 favorable
variance.
• Fund balances were reduced by $22,323,072 as result of implementation of City-wide
initiatives.
9
Financial highlights of the City's other major governmental funds are as follows:
The Community Development Fund had a total fund balance of $6,834,470, of which $1,054,635 is
reserved for the payment of purchase orders of the prior period. The decrease in fund balance during the
current year was attributable to increased program activities as well as better grant management.
The Public Services Tax Fund had a total fund balance of $6,803,934, all of which is unreserved and
available for spending at the City's discretion. The State of Florida modified the Public Services Tax
(PST) effective October 1, 2001, and it is now referred to as Communication Services Tax (CST).
The General Government Capital Projects Fund had a fund balance of $90,317,575, of which $2,554,070 is
reserved for the payment of purchase orders of the prior period. The $3,257,388 increase from the prior
year can be attributed to the staging of various capital projects to be started in the subsequent fiscal year.
GENERAL FUND BUDGETARY HIGHLIGHTS
The final General Fund budget was increased by $19,234,057 from the original budget (an increase of
4.97%). This increase can be summarized as follows (please see budget to actual comparison on page 61):
• $2,129,083 in miscellaneous increases in general government activities
• $72,254 in increases allocated to the Planning and Development department
• $2,322,819 in increases allocated to the Public Works department
• $13,758,403 in increases allocated to public safety
• $53,722 in decreases allocated to Public Facilities
• $4,898 in increases allocated to Parks and Recreation
• $1,000,322 in increases in transfers to other funds
All of the increases were funded by revenues in excess of the original budget estimates.
Charges for services were increased primarily due to recognition of $9,441,556 received under the
provisions of Florida Statutes 175 and 185, to fund a separate non-contributory money purchase benefit
plan for the public safety employees of the City. Additional information on the plan can be found in Note
10(F) on page 58 in the notes to the financial statements.
The public safety function experienced a $9,441,556 increase in personnel costs due to the recognition of
the Chapter 175 and 185 pension trust plans payments.
10
CAPITAL ASSETS AND DEBT ADMINISTRATION
Capital Assets
As of year end, the City had $807,941,738 invested in a variety of capital assets, as reflected in the
following schedule, which represents a net decrease (additions less retirements and depreciation) of
$19,236,374 or 2.33% from the end of prior year.
Capital Assets at Year End
(Net of Depreciation)
Land
Buildings
Improvements Other Than Buildings
Building Improvements
Machinery and Equipment
Infrastructure
Construction in Progress
Total
Governmental
Activities
2003 2002
$ 64,372,141
84,190,700
5,429,933
1,866,036
47,833,421
551,791,045
52,458,462
$ 63,695,567
88,625,315
6,508,436
1,923,417
45,527,929
577,556,612
43,340,836
$ 807,941,738 $ 827,178,112
Major capital asset events during the current fiscal year included the following:
• The City completed the renovation and construction of Jose Marti Park. The City spent
approximately $1.9 million for renovation and new construction of facilities including a
computer room, aerobic room, fitness center, classrooms and offices.
• In an effort to restore and gain recognition of Virginia Key Beach Park, a once "colored only"
beach, the City obtained a $500,000 grant award from the Department of Interior in order to
enhance the rehabilitation and development of the park and its facilities.
• Also, $5 million was invested in the replacement of various City vehicles, police cars, and fire
and rescue apparatus.
Additional information on the City's capital assets can be found in Note 1(L)(6) on page 33 and Note 5 on
page 39 in the notes to the financial statements.
11
Long-term debt
At the end of the current fiscal year, the City had total bonded debt outstanding of $453,059,485. Of this
amount, $242,359,299 comprises debt backed by the full faith and credit of the City; the remainder
represents bonds and loans secured solely by specific revenue sources (i.e., revenue bonds).
Outstanding Debt
General Obligation Bonds, Special Obligations,
and Notes and Loans
General Obligation Bonds
Special Obligation Bonds,
Notes and Loans
Total
Governmental Activities
2003 2002
$ 242,359,299 $ 252,876,553
210,700,186 216,557,644
$ 453,059,485 $ 469,434,197
The City's total debt decreased $16,374,712 (or 3.5%) during the current fiscal year.
During the current fiscal year, the City refinanced a portion of its existing debt to take advantage of
prevailing market interest rates. This refinancing of the City's general obligation bonds resulted in a
decrease in future debt service payments of $1.4 million.
The City received an improved bond rating on its general obligation debt from BBB+ to A+ from Standard
& Poor's and an upgrade from Fitch Ratings from BBB+ to A- in February 2004.
Additional information on the City's long-term liabilities can be found in Note 8 on pages 43 - 47 in the
notes to the financial statements.
ECONOMIC FACTORS AND NEXT YEAR'S BUDGET AND RATES
The City's elected and appointed officials considered many factors when adopting the fiscal year 2003
budget. Included among these factors were uncertainties regarding the Parking Surcharge Tax,
Communication Services Tax, and various economic indicators.
On July 11, 2001, the Third District Court of Appeals ruled that the parking surcharge statute was
unconstitutional. The City appealed the ruling to the Florida Supreme Court who has upheld the ruling of
the lower court. The legislature has approved a bill that has been signed by the Governor that amends the
parking surcharge statute and eliminates the constitutional problems that the court found. This bill became
law on November 30, 2001. A tentative settlement has been reached in this action that calls for a refund of
amounts paid by users of parking services in Miami. The settlement totaled $14 million and has been
recorded as a liability in the accompanying basic financial statements.
Per the U.S. Department of Labor, the unemployment rate for South Florida is currently 7.5%, which
slightly increased from a rate of 7.4% a year ago. This rate is higher than the state's average
unemployment rate of 5.3% and the national average rate of 6.0%. The region's inflation rate of 1.8% is
comparable to the national indices of 1.9%.
FINANCIAL CONTACT
The City's financial statements are designed to present users (citizens, taxpayers, customers, investors and
creditors) with a general overview of the City's finances and to demonstrate the City's accountability. If
users have questions about the report or need additional financial information, they should contact Scott
Simpson, Director of the City of Miami's Finance Department, 444 Southwest 2nd Avenue, 6th Floor
Finance, Miami, Florida 33130, or visit the City's web site at www.ci.miami.fl.us.
12
City of Miami, Florida
Statement of Net Assets
As of September 30, 2003
Governmental Component
Activities Units
Assets
Cash, Cash Equivalents and Investments $ 496,821,237 $ 12,215,849
Receivables - Net 22,975,408 3,734,817
Accrued Interest 4,310,155 16,867
Due From Other Governments 21,527,366 13
Due From Primary Government 888,855
Due From Component Units 563,725
Inventory 5,000
Prepaid and Other Assets 675,538 891,745
Net Pension Asset 3,382,512
Restricted Assets:
Cash, Cash Equivalents and Investments 17,688,822 12,488,075
Capital Assets:
Non -depreciable 668,621,648 20,906,944
Depreciable - Net 139,320,090 48,917,873
Other Assets:
Unamortized Bond Issuance Costs 4,175,992
Total Assets 1,380,062,493 100,066,038
Liabilities
Accounts Payable and Accrued Liabilities 49,704,567 2,545,006
Accrued Interest Payable 6,074,257 1,335,586
Due To Other Governments 3,023,664 -
Due To Primary Government - 563,725
Due To Component Units 888,855 -
Deferred Revenue 11,547,876 625,621
Deposits 6,096,221 254,126
Non -Current Liabilities
Due Within One Year:
Bonds and Loans Payable 19,854,464 2,490,000
Compensated Absences 4,460,879 53,568
Claims Liability 16,548,601 -
Due In More Than One Year:
Bonds and Loans Payable 445,108,580 43,220,357
Plus: Unamortized Bond Premium (7,742,263) 100,937
Less: Unamortized Bond Discount 14,696 -
Compensated Absences 61,414,914 23,177
Claims Liability 65,190,000 -
Total Liabilities 682,185,311 51,212,103
Net Assets
Invested in Capital Assets - Net of Related Debt 618,784,135 24,293,934
Restricted for:
Capital Projects 101,183,574 3,140,373
Debt Service 9,217,487 3,345,330
Law Enforcement 3,926,334
Unrestricted (Deficit) (35,234,348) 18,074,298
Total Net Assets $ 697,877,182 $ 48,853,935
13
The accompanying notes are an integral part of the financial statements.
City of Miami, Florida
Statement of Activities
For the Year Ended September 30, 2003
Net (Expenses) Revenue and
Program Revenues Changes in Net Assets
Operating Capital Primary Government
Functions/Programs Activities: Charges for Grants and Grants and Governmental Component
Primary Government: Expenses Services Contributions Contributions Activities Units
Governmental Activities:
General Government $ 85,176,588 $ 69,668,568 $ $ 1,653,785 $ (13,854,235) $
Planning and Development 13,579,968 12,192,540 (1,387,428)
Community Development 32,088,517 2,058,660 32,574,391 2,544,534
Community Redevelopment Areas 6,477,916 310,182 (6,167,734)
Public Works 60,708,046 39,697,353 45,582 (20,965,111)
Public Safety 226,580,865 48,061,754 2,703,902 (175,815,209)
Public Facilities 10,561,373 16,273,110 367,223 6,078,960
Parks & Recreation 20,152,074 2,446,385 1,867,508 4,876,068 (10,962,113)
Interest on Long -Term Debt 19,489,387 (19,489,387)
Unallocated Depreciation 25,765,567 (25,765,567)
Total primary government $ 500,580,301 $ 190,708,552 $ 34,441,899 $ 9,646,560 (265,783,290)
Component Units:
Miami Sports Exhibition Authority $ 7,540,291 $ 769,842 $ $ (6,770,449)
Department of Off -Street Parking 12,677,473 12,150,345 (527,128)
Downtown Development Authority 1,542,107 - 10,182 (1,531,925)
Bayfront Park 2,626,681 2,095,137 (531,544)
Health Facilities Authority 116,479 - (116,479)
Total component units $ 24,503,031 $ 15,015,324 $ 10,182 $ (9,477,525)
General Revenues:
Taxes:
Property taxes, levied for general purposes 146,828,411 2,242,199
Property taxes, levied for debt service 19,941,880 -
Convention Development Taxes 6,884,324
State revenue sharing (sales tax and fuel tax) 31,825,518
Public Service Taxes 58,900,480
Investment Earnings 8,833,535 442,134
Other 1,077,289 1,200,290
Total General Revenues 267,407,113 10,768,947
Change in Net Assets 1,623,823 1,291,422
Net assets - Beginning 696,253,359 47,562,513
Net assets - Ending $ 697,877,182 $ 48,853,935
The accompanying notes are an integral part of the financial statements.
14
City of Miami, Florida
Balance Sheet
Governmental Funds
September 30, 2003
Public Other Total
Community Services General Governmental Governmental
General Development Tax Government Funds Funds
Assets
Cash, Cash Equivalents and Investments $ 166,896,594 $ 6,737,281 $ 4,631,077 $ 90,472,044 $ 228,084,241 $ 496,821,237
Restricted Cash, Cash Equivalents and Investments 234,461 - - - 17,454,361 17,688,822
Receivables
(Net of Allowances for Uncollectibles):
Accounts 10,634,778 1,229,008 1,283,628 13,147,414
Taxes 8,227,767 - 1,095,578 9,323,345
Special Assessments 504,649 - - 504,649
Due From Other Funds - 3,149,351 - 3,149,351
Due From Other Governments 6,200,000 3,802,131 7,690,902 3,834,333 21,527,366
Due From Component Units 563,725 - - 563,725
Accrued Interest 2,712,312 44,535 363,002 1,190,306 4,310,155
Prepaid and Other Assets 598,312 - 77,226 675,538
Total Assets $ 196,067,949 $ 12,317,604 $ 15,471,330 $ 90,835,046 $ 253,019,673 $ 567,711,602
Liabilities and Fund Balances
Liabilities:
Accounts Payable and Accrued Liabilities $ 32,826,606 $ 2,040,646 $ 8,667,396 $ 310,951 $ 5,858,968 $ 49,704,567
Due To Other Funds - - - - 3,149,351 3,149,351
Due To Other Governments 33,030 2,482,778 507,856 3,023,664
Due To Component Units - - 888,855 888,855
Deferred Revenue 16,600,178 417,134 - 2,203,885 19,221,197
Deposits 4,745,799 542,576 - 206,520 601,326 6,096,221
Total Liabilities 54,205,613 5,483,134 8,667,396 517,471 13,210,241 82,083,855
Fund Balances:
Reserved for:
Encumbrances 4,358,882 1,054,635 2,554,070 24,558,006 32,525,593
Debt Service - 15,291,744 15,291,744
Law Enforcement 3,926,334 3,926,334
Prepaid Items 598,312 77,226 675,538
Unreserved, reported in:
General Fund 136,905,142 - - 136,905,142
Special Revenue Funds 5,779,835 6,803,934 - 30,306,625 42,890,394
Capital Projects Funds - 87,763,505 165,649,497 253,413,002
Total Fund Balances 141,862,336 6,834,470 6,803,934 90,317,575 239,809,432 485,627,747
Total Liabilities and Fund Balances $ 196,067,949 $ 12,317,604 $ 15,471,330 $ 90,835,046 $ 253,019,673 $ 567,711,602
The accompanying notes are an integral part of the fmancial statements.
15
City of Miami, Florida
Reconciliation of the Governmental Funds Balance Sheet
to the Statement of Net Assets
September 30, 2003
Fund Balances - Total Governmental Funds $ 485,627,747
Amounts reported for governmental activities in the Statement of
Net Assets are different because:
Cumulative over funding of annual required pension contribution. 3,382,512
Capital assets used in governmental activities are not financial
resources and therefore are not reported in the governmental funds.
Governmental Capital Assets
Less: Accumulated Depreciation
$ 1,410,991,743
(603,050,005)
807,941,738
Other long-term assets are not available to pay for current period expenditures
and therefore are deferred in the funds. 7,673,321
Other assets used in governmental activities are not financial resources and
therefore are not reported in the governmental funds:
Bond Issuance Costs 4,175,992
Long-term liabilities, including bonds payable are not due and payable
in the current period and therefore are not reported in the governmental funds.
Governmental Bonds and Loans Payable (464,963,044)
Premium 7,742,263
Discount (14,696)
Accrued Interest (6,074,257)
Compensated Absences (65,875,793)
Claims Liability (81,738,601)
(610,924,128)
Net Assets of Governmental Activities $ 697,877,182
The accompanying notes are an integral part of the financial statements.
16
City of Miami, Florida
Statement of Revenue, Expenditures, and Changes In Fund Balances
Governmental Funds
For The Year Ended September 30, 2003
Public Other Total
General Community Services General Governmental Governmental
Fund Development Tax Government Funds Funds
Revenues
Property Taxes $ 139,604,223 $ - $ - $ - $ 25,672,469 $ 165,276,692
Franchise Fees and Other Taxes 31,556,387 - 57,864,240 1,115,892 90,536,519
Licenses and Permits 21,469,973 - - 21,469,973
Fines and Forfeitures 5,049,412 - 1,122,127 6,171,539
Intergovernmental Revenues 44,071,524 30,425,562 21,099,219 95,596,305
Charges for Services 86,182,827 3,523,209 9,095,132 98,801,168
Interest 7,280,372 159,644 1,236,867 4,192,654 12,869,537
Impact Fees - - - 1,016,942 1,016,942
Other 3,688,147 523,562 645,540 4,661,100 9,518,349
Total Revenues 338,902,865 34,631,977 57,864,240 1,882,407 67,975,535 501,257,024
Expenditures
Current Operating:
General Government 70,335,134 - 8,814,648 79,149,782
Planning and Development 8,483,782 - 1,576,917 10,060,699
Community Development - 32,025,868 - 32,025,868
Community Redevelopment Areas - - 6,935,388 6,935,388
Public Works 50,591,533 - - 50,591,533
Public Safety 198,541,341 - 10,977,196 209,518,537
Public Facilities 5,173,926 - 2,693,475 7,867,401
Parks and Recreation 12,594,690 - 2,392,563 14,987,253
Debt Service:
Principal - - 22,056,400 22,056,400
Interest and Other Charges - - 17,834,229 17,834,229
Capital Outlay - - 14,291,740 28,278,900 42,570,640
Total Expenditures 345,720,406 32,025,868 14,291,740 101,559,716 493,597,730
Excess (Deficiency) of Revenues
Over (Under) Expenditures (6,817,541) 2,606,109 57,864,240 (12,409,333) (33,584,181) 7,659,294
Other Financing Sources (Uses)
Transfers From Other Funds 51,282,877 - 40,518,175 71,144,341 162,945,393
Transfers To Other Funds (44,130,853) (3,385,477) (60,715,647) (24,851,454) (29,861,962) (162,945,393)
Funded Debt Issuance - - 47,070,000 47,070,000
Payments To Escrow Agent - - (46,592,593) (46,592,593)
Total Other Financing Sources (Uses) 7,152,024 (3,385,477) (60,715,647) 15,666,721 41,759,786 477,407
Net Changes in Fund Balances 334,483 (779,368) (2,851,407) 3,257,388 8,175,605 8,136,701
Fund Balances - Beginning 141,527,853 7,613,838 9,655,341 87,060,187 231,633,827 477,491,046
Fund Balances - Ending $ 141,862,336 $ 6,834,470 $ 6,803,934 $ 90,317,575 $ 239,809,432 $ 485,627,747
The accompanying notes are an integral part of the financial statements.
17
City of Miami, Florida
Reconciliation of the Statement of Revenues, Expenditures,
and Changes in Fund Balances of Governmental Funds
to the Statement of Activities
For the Year Ended September 30, 2003
Net Changes in Fund Balances - Total Governmental Funds $ 8,136,701
Amounts reported for governmental activities in the Statement of
Activities are different because:
Cumulative over funding of annual required pension contribution.
Revenues in the statement of activities that do not provide current financial
resources are not reported as revenues in the funds.
Governmental funds report capital outlays as expenditures.
However, in the Statement of Activities, the cost of these assets
is depreciated over their estimated useful lives.
Expenditures for Capital Assets
Less: Current Year Depreciation
Bond proceeds provide current financial resources to governmental
funds, but issuing debt increasing long-term liabilities in the
Statement of Net Assets. Repayment of bond principal is an expenditure
in the governmental funds, but the repayment reduces long-term
liabilities in the Statement of Net Assets. This is the amount by
which proceeds exceeded repayments.
Bond Proceeds
Accrued Interest
Principal Payments
Some items reported in the Statement of Activities do not
require the use of current financial resources and therefore are
not reported as expenditures in governmental funds.
$ 19,572,931
(38,809,305)
(18,680,000)
(2,331,384)
34,853,273
Amortization of current year bond discount (663)
Amortization of current year bond premium 447,492
Amortization of current year bond issuance costs (245,390)
Change in Long-term Compensated Absences (706,346)
Change in Long-term Claims Liability 788,847
(2,895,932)
1,493,599
(19,236,374)
13,841,889
283,940
Change in Net Assets of Governmental Activities $ 1,623,823
The accompanying notes are an integral part of the financial statements.
City of Miami, Florida
Statement of Fiduciary Net Assets
Fiduciary Funds
As of September 30, 2003
Pension
Trust
Funds
Assets
Cash and Short -Term Investments $ 26,854,616
Accounts Receivable 14,089,102
Capital Assets 3,831,710
44,775,428
Investments, at fair value
U.S Government Obligations 245,508,540
Corporate Bonds 228,378,640
Corporate Stocks 972,054,568
Money Market Funds and Commercial Paper 25,401,400
Mutual Funds 42,893,957
Real Estate 31,300,235
Total Investments 1,545,537,340
Securities Lending Collateral 96,666,334
Total Assets 1,686,979,102
Liabilities
Obligations Under Security Lending 96,666,334
Accounts Payable 1,302,934
Accrued Liabilities 6,871,394
Payable for Securities Purchased 23,418,634
Total Liabilities 128,259,296
Net Assets
Held in Trust for Pension Benefits $ 1,558,719,806
The accompanying notes are an integral part of the financial statements.
19
City of Miami, Florida
Statement of Changes in Fiduciary Net Assets
Fiduciary Funds
For the Year Ended September 30, 2003
Pension
Trust
Funds
Additions
Contributions:
Employer $ 22,833,861
Plan Members 14,835,960
Total Contributions 37,669,821
Investment Earnings:
Net Increase in Fair
Value of Investments 183,595,118
Interest 28,974,700
Dividends 12,514,865
Rental and Other Income, net 2,570,528
Total Investment Earnings 227,655,211
Less Investment Expenses
Investment Expenses
Net Investment Gains
Total Additions
5,557,253
222,097,958
259,767,779
Deductions
Benefits 85,201,353
Refunds Upon Resignation, Death, etc. 1,586,227
Distribution to Retirees 9,332,318
Administrative and Other Expenses 1,927,686
Total Deductions 98,047,584
Change in Net Assets 161,720,195
Net Assets - Beginning of Year 1,396,999,611
Net Assets - End of Year $ 1,558,719,806
The accompanying notes are an integral part of the financial statements.
20
City of Miami, Florida
Statement of Net Assets
Discretely Presented Component Units
For the Year Ended September 30, 2003
Miami Sports Department Downtown Health
and Exhibition of Off -Street Development Bayfront Facilities
Authority Parking Authority Park Authority
Total
Assets
Cash, Cash Equivalents and Investments $ 865,929 $ 5,203,653 $ 2,814,968 $ 3,331,299 $ $ 12,215,849
Receivables - Net
Accounts 106,380 1,039,117 11,120 159,597 1,316,214
Taxes 618,603 - - 618,603
Notes 1,800,000 1,800,000
Accrued Interest 16,867 - 16,867
Due From Other Governments 13 13
Due From Primary Government 888,855 - 888,855
Inventory - 5,000 5,000
Prepaid and Other Assets 340,378 541,283 10,084 891,745
Restricted Assets:
Cash, Cash Equivalents and Investments 11,276,344 1,111,731 100,000 12,488,075
Capital Assets:
Non -depreciable 7,080,662 13,310,153 516,129 20,906,944
Depreciable - Net 31,071,174 15,080,257 65,897 2,700,545 48,917,873
Total Assets 53,176,337 37,175,062 2,891,985 6,822,654 100,066,038
Liabilities
Accounts Payable & Accrued Liabilities 249,917 2,195,380 63,661 36,048 2,545,006
Accrued Interest Payable 1,077,457 258,129 - 1,335,586
Due To Primary Government - 560,466 3,259 - 563,725
Deferred Revenue 254,434 355,111 4,826 11,250 625,621
Deposits 92,544 - 161,582 254,126
Non -Current Liabilities
Due Within One Year:
Bonds and Loans Payable 1,835,000 655,000 - 2,490,000
Compensated Absences - 53,568 53,568
Due In More Than One Year:
Bonds and Loans Payable 32,820,000 10,400,357 43,220,357
Plus: Unamortized Bond Premium 100,937 - 100,937
Compensated Absences - 23,177 23,177
Total Liabilities 36,236,808 14,617,924 148,491 208,880 51,212,103
Net Assets
Invested in Capital Assets - Net of Related Debt 3,496,836 17,514,527 65,897 3,216,674 24,293,934
Restricted for:
Capital Projects 3,140,373 - 3,140,373
Debt Service 2,491,728 853,602 - - 3,345,330
Unrestricted 7,810,592 4,189,009 2,677,597 3,397,100 18,074,298
Total Net Assets $ 16,939,529 $ 22,557,138 $ 2,743,494 $ 6,613,774 $ $ 48,853,935
The accompanying notes are an integral part of the fmancial statements.
21
City of Miami, Florida
Statement of Activities
Discretely Presented Component Units
For the Year Ended September 30, 2003
Expenses
Program Revenues
Operating
Charges for Grants and
Services Contributions
Miami Sports
Exhibition Authority
Economic Development $ 7,540,291 $ 769,842 $
Total Miami Sports Exhibition Authority
7,540,291 769,842
Department
of Off -Street Parking
Operations 12, 677,473 12,150,345
Total Department of Off -Street Parking 12,677,473 12,150,345
Downtown
Development Authority
General and Administrative
Community Development
Total Downtown Development Authority
1,230,283
311,824
10,182
1,542,107 - 10,182
Bayfront Park
Operations 2,626,681 2,095,137
Total Bayfront Park 2,626,681 2,095,137
Health Facilities Authority
Operations
Total Bayfront Park
Total Component Units
116,479
116,479
$ 24,503,031 $ 15,015,324 $ 10,182
General Revenues:
Taxes:
Property taxes, levied for general purposes
Convention Development Taxes
Investment Earnings
Miscellaneous
Total General Revenues
Change in Net Assets
Net Assets - Beginning
Net Assets - Ending
The accompanying notes are an integral part of the financial statements.
Net (Expense) Revenue and
Changes in Net Assets
Miami Sports Department Downtown Health
and Exhibition of Off -Street Development Bayfront Facilities
Authority Parking Authority Park Authority
Totals
$ (6,770,449) $ $ - $ - $ - $ (6,770,449)
(6,770,449)
(6,770,449)
6,884,324
187,619
(494)
7,071,449
301,000
16,638,529
(527,128)
(527,128)
(1,220,101)
(311,824)
(1,531,925)
(527,128) (1,531,925)
(6,770,449)
(527,128)
(527,128)
(1,220,101)
(311,824)
(1,531,925)
(531,544) - (531,544)
(531,544) - (531,544)
(116,479) (116,479)
(116,479) (116,479)
(531,544) (116,479) (9,477,525)
2,242,199 - - 2,242,199
- - - 6,884,324
207,509 14,754 32,252 - 442,134
(70,908) 51,918 1,219,774 - 1,200,290
136,601 2,308,871 1,252,026 - 10,768,947
(390,527)
22,947,665
776,946
1,966,548
720,482
5,893,292
(116,479)
116,479
1,291,422
47,562,513
$ 16,939,529 $ 22,557,138 $ 2,743,494 $ 6,613,774 $ $ 48,853,935
23
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24
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2003
NOTE 1. - SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES
The City of Miami, Florida (the "City"), in the
County of Miami -Dade, was incorporated in 1896,
and has a population of approximately 362,000. The
City is situated at the mouth of the Miami River on
the western shores of Biscayne Bay and is a main
port of entry into Florida and is the county seat of
Miami -Dade County, Florida. The City comprises
34.3 square miles of land and 19.5 square miles of
water.
The accompanying financial statements of the City
have been prepared in accordance with accounting
principles generally accepted in the United States of
America ("GAAP") as applied to governmental units.
The Governmental Accounting Standards Board
("GASB") is the standard -setting body for
governmental accounting and financial reporting. The
GASB periodically updates its codification of the
existing Governmental Accounting and Financial
Reporting Standards which, along with subsequent
GASB pronouncements (Statements and
Interpretations), constitutes GAAP for governmental
units. The more significant of these accounting
policies are described below.
The City has implemented portions of
Governmental Accounting Standards Board No. 38,
Certain Financial Statement Note Disclosure.
Implementation of portions of Statement No. 38
resulted in certain note disclosures being added or
amended, including disclosures regarding the
disaggregation of payable balances and details about
interfund balances and interfund transfers.
Management's Discussion and Analysis — GASB
Statement No. 34 requires that the financial
statements be accompanied by a narrative
introduction and analytical overview of the
government's financial activities in the form of
management's discussion and analysis (MD&A).
This analysis is similar to analysis the private sector
provides in their annual reports.
Government -wide Financial Statements — The
reporting model includes financial statements
prepared using full accrual accounting for all of the
government's activities. This approach includes not
just current assets and liabilities (such as cash and
accounts payable) but also capital assets and long-
term liabilities (such as buildings and infrastructure,
including bridges and roads, and general obligation
debt). Accrual accounting also reports all of the
revenues and cost of providing services each year,
not just those received or paid in the current year or
soon after.
Statement of Net Assets — The Statement of Net
Assets is designed to display the financial position
of the primary government and its discretely
presented component units. Governments will
report all capital assets, including infrastructure, in
the government -wide Statement of Net Assets and
will report depreciation expense — the cost of "using
up" capital assets — in the Statement of Activities.
The net assets of a government will be broken down
into three categories — 1) invested in capital assets,
net of related debt; 2) restricted; and 3) unrestricted.
Statement of Activities — The new government -
wide statement of activities reports expenses and
revenues in a format that focuses on the cost of each
of the government's functions. The expenses of
individual functions are compared to the revenues
generated by the function (for instance, through user
charges or intergovernmental grants).
Budgetary Comparison Schedules —
Demonstrating compliance with the adopted budget
is an important component of a government's
accountability to the public. Many citizens
participate in one way or another in the process of
establishing the annual operating budgets of state
and local governments, and have a keen interest in
the following the actual financial progress of their
government over the course of the year. Many
governments revise their original budgets over the
course of the year for a variety of reasons. Under
the new reporting model, governments will continue
to provide budgetary comparison information in
25
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
their annual reports. An important change,
however, is a requirement to add the government's
original budget to the current comparison of final
budget and actual results.
A. Reporting Entity
The City Charter was adopted by the electors of the
City of Miami at an election held May 17, 1921 and
legalized and validated by Chapter 9024 of the laws
of the State of Florida of 1921. During fiscal year
1997, the residents of the City voted on a
referendum that created single -member districts and
an Executive Mayor form of government. The City
continues to operate under the Commission/City
Manager form of government and provides the
following services: police and fire protection, public
works activities, solid waste collection, parks and
recreational facilities, planning and development,
community development, financial services and
general administrative services.
The Florida Legislature, in 1955, approved and
submitted to a general election, a constitutional
amendment designed to give a new form of
government to Miami -Dade County, Florida (the
"County"). The County is, in effect, a municipality
with governmental powers affecting thirty cities and
unincorporated areas, including the City. The
County has not displaced nor replaced the cities'
powers, but supplements them. The County can take
over particular activities of the City's operations if
(1) the services fall below minimum standards set
by the County Commission, or (2) with the consent
of the governing body of the City. Accordingly, the
County's financial statements are not included in
this report.
The accompanying financial statements include
those of the City (the primary government) and
those of its component units. Component units are
legally separate organizations for which the primary
government is financially accountable or
organizations which should be included in the
City's financial statements because of the nature
and significance of their relationship with the
primary government.
The decision to include a potential component unit
in the City's reporting entity is based on the criteria
stated in GASB Statement No. 14 - The Financial
Reporting Entity, which includes the ability to
appoint a voting majority of an organization's
governing body and (1) the ability of the City to
impose its will on that organization or (2) the
potential for the organization to provide specific
financial benefits to, or impose specific financial
burden on the City.
Based upon the application of the criteria in GASB
Statement No. 14, the financial statements of the
component units listed on the following pages have
been included in the City's reporting entity as either
blended or discretely presented component units.
Blended component units, although legally separate
entities, are, in substance, part of the City's
operations. Accordingly, data from these component
units are included with data of the primary
government. Each discretely presented component
unit, on the other hand, is reported in a separate
column in the financial statements to emphasize that
they are legally separate from the City. The financial
activities and balances for each blended and
discretely presented component unit are as of and
for the period ended September 30, 2003.
1. Blended Component Units
SOUTHEAST OVERTOWN PARK WEST
REDEVELOPMENT AGENCY ("SEOPW")-
SEOPW is an Agency established by the City in
1982 under the authority of Chapter 163, Florida
Statutes and City Resolution No. 82-755. The City
has entered into an interlocal agreement with
Miami -Dade County approving the deposit of tax
increments into the Redevelopment Trust Fund.
The members of City Commission are also the
Board of Directors of the SEOPW. The City has
issued debt for SEOPW and is responsible under the
interlocal agreement for disbursement,
accountability, management and proper application
of all monies paid into the Trust. SEOPW is
included within the reporting entity as a special
revenue fund.
26
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
OMNI REDEVELOPMENT AGENCY ("ORA")-
ORA is an Agency established by the City in 1986
under the authority of Chapter 163, Florida Statutes
and City Resolution No. 86-868. The City has
entered into an interlocal agreement with Miami -
Dade County approving the deposit of tax
increments into the Redevelopment Trust Fund.
The members of the City Commission are the Board
of Directors of the ORA. The City is also
responsible under the interlocal agreement for
disbursement, accountability, management and
proper application of all monies paid into the Trust.
ORA is included within the reporting entity as a
special revenue fund.
VIRGINIA KEY BEACH PARK TRUST
("VKBPT") — On December 14, 2000 (and effective
January 2001), via sections 38-230 through 38-242
of Chapter 38 of the Code of the City of Miami
Ordinance 12003, the Trust was established and acts
as a limited agency and instrumentality of the City
of Miami. Its general purposes, in cooperation with
City of Miami, are to preserve, restore, and maintain
the Historic Virginia Key Beach Park in a manner
consistent with environmental health, historical
importance of the Park and the aspirations of the
African American Community; make it accessible
to the general public; propose policy, planning, and
design to ensure maximum community utilization
and enjoyment. The City Commission must approve
VKBPT's board membership and operating budget.
Therefore, the City is financially accountable and is
presenting VKBPT in the reporting entity as a
special revenue fund within the Parks and
Recreations Special Revenue Fund.
MODEL CITY COMMUNITY
REVITALIZATION DISTRICT TRUST ("Model
City") — On July 10, 2001, via section 2-892 of
Chapter 2 of the Code of the City of Miami
ordinance 12082, the Trust was established and acts
as a limited agency and instrumentality of the City
of Miami. The Trust, in cooperation with
Department of Community Development and other
City departments, is responsible for oversight and
facilitating the City's revitalization efforts for the
redevelopment of the Model City Community
Revitalization District in a manner consistent with
the strategy identified in the Five Year Consolidated
Plan, adopted by the City Commission in August,
1999. The City Commission must approve Model
City's board membership and operating budget.
Therefore, the City is financially accountable and is
presenting Model City in the reporting entity as a
special revenue fund within the Economic
Development Special Revenue Fund. Model City,
does not issue stand-alone audited financial
statements.
NEIGHBORHOOD IMPROVEMENT DISTRICTS
There are four neighborhood improvement districts.
All four districts were inactive during fiscal year
2003.
2. Discretely Presented Component Units
MIAMI SPORTS AND EXHIBITION
AUTHORITY ("MESA") - MSEA was created by
the City in 1983 pursuant to Chapter 212.0305,
Florida Statutes and City Ordinance No. 9662 to
promote the development of sports, convention and
exhibition facilities within the City using the 3%
Convention Development Tax collected by the
County. The City Commission must approve
MSEA's board membership and operating budget.
Therefore, the City is financially accountable and is
discretely presenting MSEA in the accompanying
financial statements.
DOWNTOWN DEVELOPMENT AUTHORITY
("DDA") - DDA was created by the City in 1965
pursuant to Chapter 65-1090 of the General Laws of
Florida and City Code Section 14-25. DDA is
governed by a board appointed by the City
Commission and was established for the purpose of
furthering the development of the Downtown
Miami area. The City Commission must approve
DDA's operating budget and the millage levied on
the special taxing district established to fund DDA.
Therefore, the City is financially accountable and is
discretely presenting DDA in the accompanying
financial statements.
27
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
DEPARTMENT OF OFF-STREET PARKING
("DOSP") - DOSP was originally created in 1955
by a special act of the Florida State Legislature and
subsequently incorporated into the City's Charter in
1968. DOSP is an agency and instrumentality of the
City, which owns and operates parking facilities
within the City. The City Commission has reserved
the right to confirm new members of the Off -Street
Parking Board, to establish and fix rates and charges
for parking services, to approve the DOSP operating
budget and to authorize the issuance of revenue
bonds. Therefore, the City is financially accountable
and is discretely presenting DOSP in the
accompanying financial statements.
BAYFRONT MANAGEMENT TRUST ("BFP") —
BFP was established by the City in 1987 under the
authority City of Miami Resolution No. 10348.
Bayfront was created for the purpose of managing
and operating the events held at Bayfront and
Bicentennial Park and the daily maintenance and
upkeep of the grounds, and its various amenities
including the amphitheater and the Mildred and
Claude Pepper Fountain.
The governing body of the Trust consists of nine
appointed members serving initial terms of one to
three years. Upon expiration of an initial term, each
successor member may be appointed by the City
Commission for terms of one to three years. The
Trust has appointed an executive director to act as
the chief executive officer, subject to policy
directives. The Trust prepares and submits an
annual budget request and master plan to the City
Commission for its approval for each fiscal year.
Therefore, the City is financially accountable and is
discretely presenting BFP in the accompanying
financial statements.
HEALTH FACILITY AUTHORITY ("HFA") —
The HFA is an agency established by the City in
1979 under the authority of Chapter 154, Florida
Statutes and City Resolution No. 79-93 to serve as a
conduit to issue revenue bonds. The City
Commission must approve HFA's board
membership and operating budget. Therefore, the
City is financially accountable and is discretely
presenting HFA in the accompanying financial
statements. Debt obligations issued under the
purview of the HFA do not constitute an
indebtedness, liability or pledge of the faith or credit
of the HFA or the City. The aggregate amount of
conduit debt obligations totaled $132,195,000 at
September 30, 2003. HFA, does not issue stand-
alone audited financial statements.
Complete financial information of the individual
component units may be obtained at the entity's
respective administrative offices as follows:
SEOPW
49 NW 5th Street, Suite 100
Miami, Florida 33128
ORA
49 NW 5th Street, Suite 100
Miami, Florida 33128
MSEA
701 Arena Blvd.
Miami, Florida 33136
DOSP
190 NE 3rd Street
Miami, Florida 33132
DDA
330 North Biscayne Blvd.
11 th Floor
Miami, Florida 33132
BFP
301 N. Biscayne Blvd.
Miami, Florida 33132-2226
VKBPT
3550 Biscayne Blvd., Suite 510
Miami, Florida 33137-8311
28
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
B. Government -wide and Fund Financial
Statements
The basic financial statements include both
government -wide (based on the City as a whole)
and fund financial statements. While the previous
financial reporting model emphasized fund types
(the total of all funds of a particular type), in the
new financial reporting model the focus is on either
the City as a whole, or major individual funds
(within the fund financial statements). Both the
government -wide and fund financial statements
(within the basic financial statements) categorize
primary activities as governmental type. In the
government -wide Statement of Net Assets, the
governmental activities column is presented on a
full accrual, economic resource basis, which
incorporates long-term assets and receivables as
well as long-term debt and obligations. The City
does not have any business type activities for
financial reporting purposes.
The government -wide Statement of Activities
reflects both the gross and net costs per functional
category (Police, Fire, Public Works, etc.), which
are otherwise being supported by general
government revenues (property, sales and use taxes,
certain intergovernmental revenues, etc.). The
Statement of Activities reduces gross expenses
(including depreciation) by related program
revenues, operating and capital grants. The program
revenues must be directly associated with the
function (Police, Fire, Public Works, etc.). The City
does not allocate indirect expenses. The operating
grants include operating -specific and discretionary
(either operating or capital) grants while the capital
grants column reflects capital -specific grants.
The net cost (by function) is normally covered by
general revenue (property, sales or gas taxes,
intergovernmental revenues, interest income, etc.).
Historically, the previous financial reporting model
did not summarize or present net cost by function or
activity.
This government -wide focus is more on the
sustainability of the City as an entity and the change
in the aggregate financial position resulting from the
activities of the fiscal period.
The fund financial statements are, in substance, very
similar to the financial statements presented in the
previous financial reporting model. Emphasis here
is on the major funds. Non -major funds (by
category) are summarized into a single column.
The governmental funds major fund statements in
the fund financial statements are presented on a
current financial resource and modified accrual
basis of accounting. This is the manner in which
these funds are normally budgeted. This
presentation is deemed most appropriate to (a)
demonstrate legal and covenant compliance, (b)
demonstrate the source and use of liquid resources,
and (c) demonstrate how the City's actual
experience conforms to the budget fiscal plan.
Since the governmental fund statements are
presented on a different measurement focus and
basis of accounting than the government -wide
statements' governmental column, a reconciliation
is presented on the page following each statement,
which briefly explains the adjustments necessary to
transform the fund based financial statements into
the governmental column of the government -wide
presentation.
The City's fiduciary funds are presented in the fund
financial statements by type (pension, private
purpose and agency). Since, by definition, these
assets are being held for the benefit of a third party
(other local governments, private parties, pension
participants, etc.) and cannot be used to address
activities or obligations of the government, these
funds are not incorporated into the government -
wide statements.
The focus of the Statement No. 34 model is on the
City as a whole. The focus of the fund financial
statements is on the major individual funds of the
governmental activities and the fiduciary funds.
Each presentation provides valuable information
that can be analyzed and compared (between years
29
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
and between governments) to enhance the
usefulness of the information.
C. Basis of Presentation
Statement No. 34 sets forth minimum criteria
(percentage of the assets, liabilities, revenues or
expenditures/expenses of either fund category or the
governmental and enterprise combined) for the
determination of major funds. Funds that meet
these criteria are labeled as such. The nonmajor
funds are combined in a column in the fund
financial statements and detailed in the combining
section of this report.
The City reports the following funds:
1. Major Governmental Funds
The measurement focus of the governmental funds
(in the Fund Financial Statements) is on the
determination of financial position and changes in
financial position (sources, uses, and balances of
financial resources) rather than on net income.
The following is a description of the major
governmental funds of the City:
a. General Fund — The General Fund is the
general operating fund of the City. General Tax
revenues and other receipts that are not allocated by
law or contractual agreement to some other fund are
accounted for in this fund. General operating
expenses, fixed charges, and capital improvement
costs not paid through other funds are paid from this
fund.
b. Community Development Fund — This
Special Revenue Fund accounts for the proceeds
from the Federal Government under the U. S.
Department of Housing and Urban Development.
c. Public Services Tax Fund — This Special
Revenue Fund accounts for the utility service tax
levied on purchases of public services.
d. General Government Fund — This Capital
Project Fund accounts for capital expenditures made
for general government operations.
2. Fiduciary Funds
Fiduciary Funds account for resources held by the
City as a trustee or agent for individuals, private
organizations, other governments, and/or other
funds. These include pension trusts, and agency
funds. The Pension Trust Funds, which include,
City of Miami Fire Fighters' and Police Officers'
Retirement Trust ("FIPO"), City of Miami General
Employees' and Sanitation Employees' Retirement
Trust ("GESE") and Elected Officers' Retirement
Trust (`SORT"), measurement focus is on the
determination of net income and financial position
since capital maintenance is critical.
3. Non -Current Governmental Assets/
Liabilities
GASB Statement No. 34 eliminates the presentation
of Account Groups, but provides for these records
to be maintained and incorporated in the
governmental column in the government -wide
Statement of Net Assets.
D. Basis of Accounting
The accounting and financial reporting treatment
applied to a fund is determined by its measurement
focus. All governmental funds are accounted for
using the current financial resources measurement
focus. With this measurement focus, only current
assets and current liabilities generally are included
on the balance sheet in the fund statements. Long-
term assets and long-term liabilities are included in
the government -wide statements. Operating
statements of these funds present increases (i.e.,
revenues and other financing sources) and decreases
(i.e., expenditures and other financing uses) in net
current assets.
The government -wide statements of net assets,
statements of activities, and pension trust funds are
accounted for using the economic resources
30
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
measurement focus. With this measurement focus,
all assets and all liabilities associated with the
operation of these activities are either included on
the balance sheet or on the statement of fiduciary
net assets.
The governmental fund financial statements are
maintained on the modified accrual basis of
accounting. Under this method of accounting,
revenues are recognized in the period in which they
become measurable and available. With respect to
real and personal property tax revenue and other
local taxes, the term "available" is limited to
collection within sixty (60) days of the fiscal year
end. Levies that are made prior to the fiscal year
end, but are not available, are deferred. Interest
income is recorded as earned. Federal and State
reimbursement type grants are recorded as revenue
when related eligible expenditures are met.
Expenditures, other than accrued interest on long-
term debt, are record when the fund liability is
incurred. All other revenue items reported in the
fund financial statements are considered "available"
when the cash is received by the City one year after
its fiscal year end.
Franchise and utility taxes, state revenue sharing,
charges for services, and fines and forfeitures
associated with the current period are considered to
be susceptible to accrual and therefore have been
recognized as revenues of the current fiscal period.
Expenditures are generally recorded when a liability
is incurred, as under accrual accounting. However,
debt service expenditures, as well as expenditures
related to compensated absences, claims, and
judgments, are recorded only when payment is due.
When both restricted and unrestricted resources are
available for use, it is the City's policy to use
restricted resources first, and then unrestricted
resources as they are needed.
E. Use of Estimates
The preparation of the financial statements in
conformity with accounting principles generally
accepted in the United States of America requires
management to make estimates and assumptions
that affect the reported amounts of assets and
liabilities and disclosure of contingent liabilities at
the date of the financial statements and the reported
amounts of revenues and expenditures during the
reporting period. Actual results could differ from
those estimates.
F. Deferred Revenue
Deferred revenues reported in the government -wide
Statement of Net Assets and governmental funds
Balance Sheet includes occupational licenses
collected in advance as well as certain grants
received prior to the City meeting all applicable
grant eligible requirements. Deferred revenues
reported in the governmental funds Balance Sheet
also include delinquent property taxes that are not
considered available.
G. Elimination of Internal Activities
Certain eliminations have been made as prescribed
by GASB Statement No. 34 in regards to interfund
activities, payables and receivables. All internal
balances in the Statement of Net Assets have been
eliminated. The City currently does not have any
internal service funds thus, there are no transactions
between government and business -type activity to
be eliminated.
H. Unamortized Bond Premium and Discounts
Premiums and discounts on the City's outstanding
bonds issues reported in the government -wide
Statement of Net Assets are amortized using the
interest method, over the maturity of the related
issues.
31
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
I. Fund Equity
Reserves reported in the governmental funds
Balance Sheet are used to indicate that a portion of
the fund balance is not appropriable for expenditure
or is legally segregated for a specific future use.
Usage of reserves have been limited to the
following items:
1. Reserve for encumbrances - This amount is equal
to the outstanding purchase orders for goods and
services at year end;
2. Reserve for debt service - This is the amount of
fund equity in the Debt Service Funds, which is set
aside for the repayment of outstanding debt;
3. Reserve for prepaids - This amount is equal to the
amount of prepaids recorded as an asset, and;
4. Reserve for law enforcement trust fund - This is
the amount of the outstanding commitments of the
Law Enforcement Trust Fund.
J. Excess of Expenditures Over Appropriations
During 2003, General Fund expenditures exceeded
appropriations in the Parks and Recreation
Department in the amount of $12,202. The
Community Development, Gusman and Olympia,
Parks and Recreation and Transportation and
Transit Special Revenue Funds exceeded
appropriations in the amounts of $249,146,
$1,740,848, $404,179 and $3,820, respectively. In
addition, the General Obligation Bonds, Other
Special Obligation Bonds, and CRA Other Special
Obligations Debt Service Funds exceeded
appropriations in the amounts of $19,406,007,
$29,973,828, and $91,439, respectively. All of these
expenditures were as a result of unanticipated
refundings that were not budgeted for. The over
expenditures for all funds were funded by available
fund balances.
K. Deficit Fund Equity
The Gusman & Olympia Special Revenue Fund had
a deficit fund balance of $336,809 as of September
30, 2003. This deficit is expected to be liquidated
in fiscal year 2004 with appropriations from other
governmental funds.
L. Assets, Liabilities, and Fund Equity
1. Cash and Cash Equivalents
The City has defined Cash and Cash Equivalents to
include cash on hand, demand deposits, and cash
with fiscal agents. Additionally, each fund's equity
in the City's investment pool is considered to be a
cash equivalent since the funds can be deposited or
effectively withdrawn at any time without prior
notice or penalty.
2. Investments
All investments, including those of the Pension
Funds are stated at fair value (quoted market price
or the best available estimate thereof).
3. Accounts Receivable
Accounts Receivable are reported in the
government -wide Statement of Net Assets and
governmental funds Balance Sheet net of allowance
for doubtful accounts.
4. Due From/Due To
To properly allocate daily interest earnings among
funds, the Due From/Due To (interfund) accounts
are not used. Instead, interfund transactions are
entered directly to the cash accounts maintained in a
central pooled cash account in which all funds
participate. Interfund due from/due to accounts
(both between funds and between the primary
government and component units) are only used at
year end.
32
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
5. Restricted Net Assets
Certain proceeds from bonds, notes, and loans, as
well as resources for debt service payments, and law
enforcement trust monies are classified as restricted
net assets reported on the government -wide
Statement of Net Assets because their use is limited
by applicable bond covenants and restrictions.
6. Capital Assets
Capital outlays are recorded as expenditures in the
governmental fund financial statements and as
assets in the government -wide financial statements
to the extent the City's capitalization threshold of
$750 and an estimated useful life in excess of two
years is met. In accordance with GASB Statement
No. 34, infrastructure has been capitalized.
Depreciation is recorded on capital assets on a
government -wide basis using the straight-line
method and the following estimated useful lives:
Years Classification
20 - 45 Buildings
10 - 30 Improvements other than buildings
3 - 10 Machinery and equipment
3 - 10 Vehicles (including heavy equipment)
15 - 50 Infrastructure
All capital assets are valued at historical cost or
estimated historical cost, if actual cost was not
available. Donated capital assets are valued at their
estimated fair market value on the date donated.
Maintenance, repairs, and minor equipment are
charged to operations when incurred. Expenses that
materially change capacities or extend useful lives
are capitalized. Upon sale or retirement of land,
buildings, and equipment, the cost and related
accumulated depreciation, if applicable, are
eliminated from the respective accounts and any
resulting gain or loss is included in the Statement of
Activities.
7. Compensated Absences
Under terms of Civil Service regulations, labor
contracts and administrative policy, City employees
are granted vacation and sick leave in varying
amounts. Additionally, certain overtime hours can
be accrued and carried forward as earned time off.
Unused vacation and sick time is payable upon
separation from service, subject to various
limitations depending upon the employee's seniority
and civil service classification. The total amount
(the amount estimated to be used in subsequent
fiscal years) for government funds is maintained
separately and represents a reconciling item
between the fund and government -wide
presentations.
NOTE 2. - DEPOSITS AND INVESTMENTS
A. Deposits
The City maintains a cash management pool for its
cash and cash equivalents in which each fund and/or
account or sub -account of a fund participates on a
dollar equivalent and daily transaction basis.
Interest income (which includes unrealized gains
and losses) is distributed monthly based on a
monthly average balance.
The use of daily sweeps of zero balance accounts
allows for the City's portfolio to be fully invested at
all times. Although City investment practices avoid
uninvested deposits, Florida Statutes provide
established risk sharing collateral pooling by banks
and savings and loans (which are qualified public
depositories) that insure local government deposits
and certificates of deposits (C.D.$) with
participating "authorized depositories".
The City's cash management pool is considered to
be a cash equivalent for reporting purposes because
it is an internally managed mutual fund which
allows individual funds and subfunds to, at any
time, deposit additional cash or make withdrawals
without prior notice or penalty. The investment
33
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
earnings on the City's cash management pool are
reported as part of the investing activity.
All deposits are held in banking institutions
approved by the State Treasurer of the State of
Florida, to hold public funds. Under the Florida
Statutes Chapter 280, "Florida Security for Public
Deposits Act", the State Treasurer requires all
qualified public depositories to deposit with the
Treasurer or another banking institution eligible
collateral equal to 50% to 125% of the average daily
balance for each month of all public deposits in
excess of any applicable deposit insurance held. The
percentage of eligible collateral (generally, U.S.
governmental and agency securities, state or local
government debt, or corporate bonds) to public
deposits is dependent upon the depository's
financial history and its compliance with Chapter
280, Florida Statutes. In the event of a failure of a
qualified public depository, the remaining public
depositories would be responsible for covering any
resulting loss. Accordingly, all cash and time
deposits held by banks can be classified as category
one credit risk as defined in GASB Statement No. 3,
which means they are fully insured or collateralized.
The bank deposits at September 30, 2003 of the
City and it's discretely present component units are
fully insured or collateralized in accordance with
GASB Statement No. 3.
B. Investments
As required by Florida Statutes, the City has
adopted a written investment policy, which may
from time to time be amended by the City
Commission. The City Code authorizes the
Director of Finance to purchase and invest idle
funds prudently in U. S. Treasuries and obligations
of agencies of the United States, provided such are
guaranteed by the United States or by the issuing
agency; general obligations of states, municipalities,
school districts, or other political subdivisions,
revenue and excise tax bonds of the various
municipalities of the State of Florida, provided none
of such securities has been in default within five
years prior to date of purchase, negotiable
certificates of deposit, bankers acceptance drafts,
money market investments, and prime commercial
paper.
The Local Government Surplus Funds Trust Fund is
governed by Ch. 19-7 of the Florida Administrative
Code, which identifies the Rules of the State Board
of Administration. These rules provide guidance
and establish the general operating procedures for
the administration of the Local Government Surplus
Funds Trust Fund. Additionally, the Office of the
Auditor General performs the operational audit of
the activities and investments of the State Board of
Administration.
The fair value of the position in the external
investment pool is the same as the value of the pool
shares.
Investments are categorized to give an indication of
the level of risk assumed by the entity at year end.
The three categories of risk are as follows:
1 - Insured or collateralized with securities held by
the entity or by its agent in the entity's name;
2 - Collateralized with securities held by the
pledging financial institution's trust department or
agent in the entity's name; and
3 - Uncollateralized, including any bank balance
that is collateralized with securities held by the
pledging financial institution, or by its trust
department or agent but not in the entity's name.
34
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
The City's non -pension investments consisted of the following at September 30, 2003 and are classified as
follows:
Primary Government
Credit Risk Category
1
2 Fair Value
U.S. Treasury Notes and Bills $ 39,380,110 $ 1,049,780 $ 40,429,890
U.S. Agencies Obligations 384,989,543 5,886,680 390,876,223
Short -Term Commercial Paper 64,986,800 - 64,986,800
Totals $ 489,356,453 $ 6,936,460 496,292,913
Money Market Investments 8,774,126
Totals $ 505,067,039
The City had other investments in the amount of $9,443,020 which consisted of short-term investment pools at
September 30, 2003, which are not categorized because they are not evidenced by securities that exist in
physical or book entry form.
MSEA
Money Market Investments
Totals
Credit Risk
Category 2 Fair Value
$ 11,276,344 $ 11,276,344
$ 11,276,344 $ 11,276,344
MSEA had other investments in the amount of $865,929 which consisted of short-term investment pools at
September 30, 2003, which are not categorized because they are not evidenced by securities that exist in
physical or book entry form.
35
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
DOSP
Credit Risk
Category 2 Fair Value
U.S. Government Securities $ 3,825,712 $ 3,825,712
Short -Term Investment Pool 1,206,745
Florida State Board of Administration 898,290
Totals $ 3,825,712 $ 5,930,747
DOSP had other investments in the amount of $384,637 which consisted of short-term investment pools at
September 30, 2003, which are not categorized because they are not evidenced by securities that exist in
physical or book entry form.
DDA
DDA had investments of $2,814,968 that consisted of a jumbo commercial money market fund paying interest
at a rate of 1.09% per annum. The money market investment is considered cash and is not categorized as a level
of risk since it is deemed to be fully collateralized under the Florida Security for Public Deposit Act or covered
under the FDIC insured.
BFP
BFP had investments of $3,431,299 that consisted of short-term investment pools at September 30, 2003, which
are not categorized because they are not evidenced by securities that exist in physical or book entry form.
PENSION TRUST FUNDS
Credit Risk
Category 1 Fair Value
U.S. Government and Agency $ 244,843,479 $ 244,843,479
Corporate Stocks 972,054,568 972,054,568
Corporate Bonds 228,378,640 228,378,640
Totals
Money Market Funds
Mutual Funds
Real Estate
Total Pension Investments
$ 1,445,276,687 1,445,276,687
26,066,461
42,893,957
31,300,235
$ 1,545,537,340
The investments of $26,854,616 in the short-term investment pools and mutual funds are not categorized to give
an indication of the level of risk assumed by the entity at year end because they are not evidenced by securities
that exist in physical or book entry form.
36
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
The following represents the balances relating to securities lending transactions at September 30, 2003:
Securities lent:
Lent for cash collateral:
U.S government and
agency obligations
Domestic corporate stocks
Domestic corporate bonds
International corporate stocks
Lent for securities collateral:
U.S government and
agency obligations
Domestic corporate stocks
Domestic corporate bonds
International corporate stocks
Total securities lent
Fair Value
Underlying
Securities
Cash Colleteral
Received/Securities
Collateral Value
Cash Collateral
Investment Value
$ 37,930,368
39,972,746
13, 806,163
2,669,269
$ 38,601,117
41,151,109
14,104,549
2,809,559
$ 38,601,117
41,151,109
14,104,549
2,809,559
94,378,546 96,666,334
10,660,937
312,980
203,991
10,879,404
323,991
207,512
96,666,334
11,177,908 11,410,907
$ 105,556,454 $ 108,077,241
$ 96,666,334
The contract with the Trust's custodian requires the custodian to indemnify the Trust if the borrower fails to
return the securities, due to the insolvency of a borrower, and the custodian has failed to live up to its
contractual responsibilities relating to the lending of those securities. At year end, the Trust had no credit risk
exposure to borrowers because the amounts of collateral held by the Trust exceeded the amounts the borrowers
owe the Trust. There are no significant violations of legal or contractual provisions, no borrowers or lending
agent default losses, and no recoveries of prior period losses during the year. Additionally, there are no income
distributions owing on securities lent.
NOTE 3. - RECEIVABLES
A. Accounts Receivable
Accounts Receivable at September 30, 2003 consisted of the following:
Receivables
Taxes
Accounts
Special Assessments
Intergovernmental
Loans
Gross receivables
Less: allowance
for uncollectibles
Net total receivables
General
$ 8,227,767
24,800,440
6,763,725
288,000
40,079,932
(14,453,662)
$ 25,626,270
Community
Development
2,330,211
504,649
3,802,131
53,664,020
60,301,011
(54,765,223)
$ 5,535,788 $
Public
Services Tax
7,690,902
7,690,902
7,690,902
General
Government
Nonmajor
and Other
Governmental
Funds
$ 1,095,578
575,000 2,637,509
178,946
3,834,333
575,000 7,746,366
(575,000)
$ - $
Total
$ 9,323,345
30,343,160
683,595
22,091,091
53,952,020
116,393,211
(1,532,827) (71,326,712)
6,213,539 $ 45,066,499
37
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
As part of its Community Development block grant program, the City issues single and multi -family housing
rehabilitation loans to qualified residents. All repayments of the loans, which carry low interest rates, remain in
the loan program. As collection of the loans is not assured the loans are fully reserved. As of September 30,
2003, rehabilitation loans outstanding totaled approximately $53,664,020.
Component Units
Receivables
Taxes
Accounts
Intergovernmental
Loans
Gross Receivables
Less: allowance for
uncollectibles
MSEA DOSP
DDA BFP Total
$ 618,603 $
106,380 1,172,474
888,868
1,800,000
2,524,983
2,061,342
(133,357)
$ $ - $ 618,603
11,120 219,329 1,509,303
888,868
1,800,000
11,120 219,329 4,816,774
Net total receivables $ 2,524,983 $ 1,927,985 $
(59,732) (193,089)
11,120 $ 159,597 $ 4,623,685
NOTE 4. - PROPERTY TAXES
Property taxes are levied on January 1st and are
payable on November 1st, with discounts of one to
four percent allowed if paid prior to March 1st of the
following calendar year. Taxpayers also have the
option of paying their taxes in advance in equal
quarterly payments based on the prior year's tax
assessment with quarterly discounts varying
between 2% and 6%. All unpaid taxes on real and
personal property become delinquent on April 1st
and bear interest at 18% until a sale tax certificate is
sold at auction. The County bills and collects all
property taxes for the City, and sells tax certificates
for delinquent taxes.
The assessed value of property, as established by the
Miami -Dade County Property Appraiser, at January
1, 2002, upon which the 2002-2003 levy was based,
was approximately $16,635,930,755. The City is
permitted by Article 7, Section 8 of the Florida
Constitution to levy taxes up to $10 per $1,000 of
assessed valuation for general governmental
services other than the payment of principal and
interest on general obligation long-term debt. In
addition, unlimited amounts may be levied for the
payment of principal and interest on general
obligation long-term debt, subject to a limitation on
the amount of debt outstanding. The tax rate to
finance general governmental services (other than
the payment of principal and interest on general
obligation long-term debt) for the year ended
September 30, 2003, was $8.850 per $1,000. The
debt service tax rate for the same period was $1.218
per $1,000.
Property taxes receivable reported in the
government -wide Statement of Net Assets and the
governmental funds Balance Sheet represent
amounts due for unpaid delinquent property taxes at
September 30, 2003. Property taxes that are not
considered "available" have been reported as
deferred revenues in the governmental funds
Balance Sheet.
38
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
NOTE 5. - CAPITAL ASSETS
The following is a summary of changes in capital assets during the year ended September 30, 2003:
Primary Government
Governmental Activities:
Capital assets, not being depreciated:
Land
Construction in progress
Total capital assets, not being depreciated
Capital assets, being depreciated:
Buildings
Improvements other than buildings
Building improvements
Machinery and equipment
Infrastructure
Total capital assets, being depreciated
Less accumulated depreciation for:
Buildings
Improvements other than buildings
Building improvements
Machinery and equipment
Infrastructure
Total accumulated depreciation
Governmental activities capital assets, net
Beginning
Balance
Additions
Retirements
Ending
Balance
$ 63,695,567 $
43,340,836
107,036,403
715,589 $ (39,015) $ 64,372,14
9,117,626 52,458,46
9,833,215
(39,015) 116,830,60
168,737,839
24,061,858
2,160,121
115,484,864
1,005,399,496
1,315,844,178
(80,112,524)
(17,553,422)
(236,704)
(69,956,935)
(427,842,884)
(595,702,469)
$ 827,178,112 $
Depreciation expense was charged to government functions as follows:
General Government $
Planning and Development
Community Development
Community Redevelopment Areas
Public Works
Public Safety
Public Facilities
Parks and Recreation
Unallocated
Total depreciation expense
168,737,83
24,061,85
158,268 2,318,38
14,185,543 (36,026,849) 93,643,55
- 1,005,399,49
14,343,811 (36,026,849) 1,294,161,14
(4,434,615) (84,547,13
(1,078,503) (18,631,92
(215,649) (452,35
(7,314,971) 31,461,769 (45,810,13
(25,765,567) (453,608,45
(38,809,305) 31,461,769 (603,050,00
(14,632,279) $ (4,604,095) $ 807,941,73
2,892,990
54,590
41,842
22,451
2,804,222
3,990,795
381,896
2,854,952
25,765,567
$ 38,809,305
39
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
MSEA
Beginning Ending
Balance Additions Retirements Balance
Capital assets, not being depreciated:
Land $ 5,923,000 $ - $ - $ 5,923,000
Parking lot/warehouse 1,157,662 - 1,157,662
Total capital assets, not being depreciated 7,080,662 - 7,080,662
Capital assets, being depreciated:
Miami Arena 49,069,692 48,612 49,118,304
Miami Arena equipment 2,113,259 22,058 2,135,317
Office equipment 235,790 23,853 (6,300) 253,343
Art in public places 187,587 187,587
Vehicles 10,184 10,184
Total capital assets, being depreciated 51,616,512 94,523 (6,300) 51,704,735
Less accumulated depreciation for:
Miami Arena (17,448,461) (1,228,850) (18,677,311)
Miami Arena equipment (1,547,277) (137,327) (1,684,604)
Office equipment (182,964) (21,099) 4,410 (199,653)
Art in public places (62,453) (7,503) - (69,956)
Vehicles (2,037) - (2,037)
Total accumulated depreciation (19,241,155) (1,396,816) 4,410 (20,633,561)
MSEA capital assets, net $ 39,456,019 $ (1,302,293) $ (1,890) $ 38,151,836
DOSP
Beginning Ending
Balance Additions Retirements Balance
Capital assets, not being depreciated:
Land $ 12,076,353 $ 1,010,440 $ - $ 13,086,793
Construction in progress 76,823 219,997 (73,460) 223,360
Total capital assets, not being depreciated 12,153,176 1,230,437 (73,460) 13,310,153
Capital assets, being depreciated:
Building and structures 23,335,963 120,386 23,456,349
Leasehold improvements 4,975,807 460,962 5,436,769
Furniture and fixtures 159,407 10,089 169,496
Equipment 8,934,250 594,846
9,529,096
Total capital assets, being depreciated 37,405,427 1,186,283 38,591,710
Less accumulated depreciation for:
Building and structures (11,292,016) (695,190) - (11,987,206)
Leasehold improvements (4,253,998) (136,663) - (4,390,661)
Furniture and fixtures (148,821) (4,296) - (153,117)
Equipment (6,167,583) (812,886) - (6,980,469)
Total accumulated depreciation (21,862,418) (1,649,035) - (23,511,453)
DOSP capital assets, net $ 27,696,185 $ 767,685 $ (73,460) $ 28,390,410
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
DDA
Beginning Ending
Capital assets, being depreciated: Balance Additions Retirements Balance
Leasehold improvements $ 300,656 $ 30,167 $ (95,790) $ 235,033
Total capital assets, being depreciated 300,656 30,167 (95,790) 235,033
Less accumulated depreciation for:
Furniture and equipment
Total accumulated depreciation
DDA capital assets, net
(247,772) (17,154) 95,790 (169,136)
(247,772) (17,154) 95,790 (169,136)
$ 52,884 $ 13,013 $ - $ 65,897
BFP
Beginning Ending
Balance Additions Retirements Balance
Capital assets, not being depreciated:
Land $ 516,129 $ - $ - $ 516,129
Total capital assets, not being depreciated 516,129 - - 516,129
Capital assets, being depreciated:
Buildings 2,609,840 - 2,609,840
Public domain and system infrastructure 1,382,462 269,065 1,651,527
Machinery and equipment 478,968 29,755 - 508,723
Total capital assets, being depreciated 4,471,270 298,820 - 4,770,090
Less accumulated depreciation for:
Buildings (756,853) . (52,197) - (809,050)
Public domain and system infrastructure (904,093) (82,200) - (986,293)
Machinery and equipment (248,593) (25,609) (274,202)
Total accumulated depreciation (1,909,539) (160,006) - (2,069,545)
BFP activities capital assets, net $ 3,077,860 $ 138,814 $ - $ 3,216,674
Depreciation expenses were charged to the discretely presented component units as follows:
MSEA $ 1,396,816
DOSP 1,649,035
DDA 17,154
BFP 160,006
Total depreciation expense $ 3,223,011
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
NOTE 6. - Accounts Payable and Accrued Liabilities
Accounts Payable & Accrued Liabilities at September 30, 2003 consisted of the
Payables
Vendors
Salaries and Benefits
Intergovernmental
Other
Total Payables
General
$ 18,650,795
7,455,822
33,030
6,719,989
$ 32,859,636
Community Public
Development Services Tax
$ 1,853,316 $
187,330
2,482,778 -
8,667,396
$ 4,523,424 $ 8,667,396 $ 310,951
NOTE 7. - Interfund Receivable, Payables, and Transfers
General
Government
$ 244,228
66,723
following:
Nonmajor
and Other
Governmental
Funds
$ 5,653,054
205,914
1,396,711
$ 7,255,679
Total
$ 26,401,393
7,915,789
3,912,519
15,387,385
$ 53,617,086
The balance of $3,149,351 due to the Public Services Tax Special Revenue fund from the General Obligation
Debt Service Fund resulted from the time lag between the dates that (a) interfund goods and services are
provided or reimbursable expenditures occur, (b) transactions are recorded in the accounting system, and (c)
payments between funds are made.
Due to/from primary government and component units at September 30, 2003 consisted of the following:
Payable Entity
Receivable Enity
Primary
Government
DOSP
Total
Transfer Out
General Fund
Community
Development
Public Services Tax
General Government
Nonmajor and
Other Funds
Total Transfers Out
Primary
Government
MSEA DOSP Total
$ - $ 3,259 $ 560,466 $ 563,725
888,855 - - 888,855
$ 888,855 $ 3,259 $ 560,466 $ 1,452,580
General
Fund
1,043,439
45,256,943
4,982,465
Transfer In
General
Government
$ 30,922,342
Nonmaj or
and Other
Governmental
Funds
$ 13,208,511
Total
Transfer In
$ 44,130,853
96,940 2,245,098 3,385,477
15,458,674 60,715,617
9,498, 893 15,352,561 24,851,454
24,879,497 29,861,962
$ 51,282,847
$ 40,518,175 $ 71,144,341 $ 162,945,363
42
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
Transfers are used to (a) move revenues from the fund that statute or budget requires to collect them to the fund
that statute or budget requires to expend them, (b) move receipts restricted to debt service from the funds
collecting the receipts to the debt service fund as debt service payments become due, and (c) move unrestricted
revenues collected in the general fund to finance various programs accounted for in other funds in accordance
with budgetary authorizations.
NOTE 8. - LONG-TERM OBLIGATIONS
A. Changes in Long Term Obligations
The following is a summary of changes in long-term obligations for the year ended September 30, 2003:
Beginning Ending
Balance Additions Reductions Balance
General obligation bonds $ 252,876,553 $ 21,528,155 $ (32,045,409) $ 242,359,299
Special obligations bonds,
notes and loans 216,557,644 32,054,971 (37,912,429) 210,700,186
Total bonds, notes, and loans 469,434,197 53,583,126 (69,957,838) 453,059,485
Other liabilities:
Claims payable 82,527,448 17,316,124 (17,316,124) 82,527,448
Compensated absences 65,169,447 5,167,225 (4,460,879) 65,875,793
Total governmental activity
long-term liabilities $ 617,131,092 $ 129,649,601 $ (161,692,679) $ 601,462,726
For governmental activities, claims and judgments and compensated absences are generally liquated
by the General Fund.
43
Special Obligation and Revenue Bonds:
Special Revenue Refunding Bonds
Series 1987 Refunding $ 65,271,325 $ 46,125,757 5.25%-7.3% $ 5,900,000
Community Redevelopment Revenue Bonds
Series 1990 Redevelopment 11,500,000 2,615,000 7.15%-8.5% 358,975
Special Obligation Non -Ad Valorem MRC Building 22,000,000 3,850,000 5%-6% 665,830
Series 1995
Special Obligation Non -Ad Valorem Revenue
Series 1995 Pension 72,000,000 65,645,000 5.5%-7.25% 5,812,210
Special Revenue Refunding Bonds
Series 2002A Refunding 27,895,000 27,895,000 2.5%-5.375% 3,353,539
Special Revenue Refunding Bonds
Series 2002B Refunding 13,170,000 9,160,000 2%-3.25% 2,109,338
Special Revenue Refunding Bonds
Series 2002C Refunding 28,390,000 27,385,000 2%-4.375% 2,695,606
Sunshine State Govemment Financing
Commission Loans Facility Improvements 27,630,900 14,856,900 (1) (2)
Sunshine State Government Financing
SEOPW - Section 108 HUD Loan Redevelopment 5,100,000 4,400,000 8.75% 737,563
Citadel - Section 108 HUD Loan Redevelopment 2,500,000 700,000 8.75% 748,440
Wynwood - Section 108 HUD Loan Redevelopment 5,500,000 4,220,000 (3) (3)
Sunshine State Government Financing
Commission -Secondary Loan SCI, Melreese 3,500,000 2,345,000 (1) (2)
Gran Central Corporation Loan Redevelopment 1,708,864 1,708,864 0.00% 1,708,864
286,166,089 210,906,521
Total $ 599,717,495 $ 449,507,910
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
B. Description of Individual Bond Issues and Loans Outstanding — Summarized below are the City's bond
and loan issues, which are outstanding at September 30, 2003:
Maximum
Purpose of Amount Outstanding Interest Rate Annual
DESCRIPTION Issue Issued Balance Range Debt Service
General Obligations:
General Obligations Refunding Bonds
Series 1992 Refunding $ 70,100,000 $ 32,625,000 4%-6% $ 8,678,920
Homeland Defense/Neighborhood CIP
Series 2002A Homeland Defense 153,186,406 154,741,389 1.8%-5.5% 19,720,375
General Obligations Refunding Bonds
Series 2002A Refunding 32,510,000 30,095,000 2.5%-5.375% 6,682,281
General Obligations Bonds
Other Issues Housing 39,075,000 2,460,000 3%-11% 427,358
General Obligations Refunding Bonds
Series 2003 Refunding 18,680,000 18,680,000 2%-5% 3,630,475
$ 313,551,406 $ 238,601,389
(1) These variable rate loans are subject to a 15% interest rate cap. The Commission loan had
an average interest rate of 1.10% on September 30, 2003.
(2) The amortization requirement of the covenant program (not the individual issues) variable rate obligation requires a minimum
amortization offer the 1/3 (10 years) of the normal (30 years) maturity.
(3) These variable rate loans are subject to Libor plus 0.2%. The interest is calculated monthly and paid to the trustee quarterly.
44
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
C. Summary of Annual Debt Service Requirements To Maturity — Annual Principal and Interest
The annual debt service requirements for all bonds, notes, and loans outstanding as of September 30, 2003, are
as follows:
General
Obligation Bonds
Principal (1) Interest
2004 $ 10,740,000 $
2005 10,195,000
2006 10,403,024
2007 10,352,523
2008 10,275,644
2009 - 2013 50,502,993
2014 - 2018 63,080,772
2019 - 2023 71,000,000
2024 - 2028 -
9,957,881
9,392,380
9,190,411
9,240,954
9,320,744
47,151,098
35,511,147
7,877,136
Special
Obligation Bonds,
Notes and Loans
Principal (2)
$ 7,303,400
6,951,400
7,975,400
8,387,400
10,516,264
46,746,900
32,390,000
25,895,000
18,615,000
Interest
$ 8,516,615
8,220,686
7,941,091
7,617,262
7,278,315
30,472,013
19,618,581
11,073,504
1,969,840
Revenue
Bonds
Principal (3) Interest
$ 1,811,064 $ 4,088,936
1,653,829 4,246,171
1,520,371 4,379,629
1,396,353 4,503,647
1,280,099 4,614,901
4,864,042 24,058,642
1,360,567 9,351,769
$ 236,549,956 $ 137,641,751 $ 164,780,764 $
102,707,907 $ 13,886,325 $ 55,243,695
(1) Excludes $2,051,433 accretion on the Capital Appreciation Bonds and $3,757,910 of unamortized
bond premium and issuance costs.
(2) Excludes $1,708,864 Gran Central Loan, of unamortized premium $672,745, and $466,409 of unamortized
bond discounts and issuance costs.
(3) Excludes $32,239,433 accretion on the Capital Appreciation Bonds.
D. Summary of New Debt Issuances
$18,680,000 General Obligation Refunding
Bonds, Series 2003 — On May 1, 2003, the City
issued $18,680,000 in General Obligation
Refunding Bonds, Series 2003 for the purpose of
refunding on current basis a portion of the City's
outstanding $31,860,000 General Obligation Bonds,
Series 1993. The aggregate principal amount of the
Refunding Bonds at the time of the refunding was
$21,880,000. The Bonds were issued at rates
ranging from 4.70% to 5.20% maturing through the
year 2013. The net proceeds of $20,098,377 (after
payments of $271,762 in underwriting fees,
issuance and other costs) were deposited in an
irrevocable trust with an escrow agent to provide for
all future debt service payments on the old bonds.
The economic gain or present value savings realized
by this refunding was $1,407,484.
$28,390,000 Special Obligation Non -Ad Valorem
Revenue Refunding Bonds Series 2002C — On
October 31, 2002, the City issued $28,390,000 in
Special Obligation Refunding Bonds, Series 2002C
to retire loans by the City from the Sunshine State
Governmental Financing Commission Tax -Exempt
Commercial Paper Revenue Notes (Governmental
Financing Program) that were entered into on May
12, 1994 in the original aggregate principal amount
of $15,190,000, and on October 25, 1995 in the
original aggregate principal amount of $30,000,000
maturing through the year 2021. The Governmental
Financing Program notes are variable rate notes.
The City decided to reduce its variable rate
exposure by issuing fixed rate bonds.
45
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
E. Synopsis of Bond Covenants
A summary of major provisions and significant debt
service requirements follows:
Debt service for general obligation bonds is
provided for by a tax levy on non-exempt property
value. The total general obligation debt outstanding
is limited by the City Charter to 15% of the assessed
non-exempt property value. At September 30, 2003,
the statutory limitation for the City amounted to
$2,914,141,286 providing a debt margin of
$2,676,558,525 after consideration of
$236,549,956 of general obligation bonds
outstanding at September 30, 2003 and adjusted for
the deficit fund balance of $1,032,805 in the related
Debt Service Fund.
The various special obligation and revenue bonds
are secured by pledges of specific revenue sources
in accordance with their bond indentures. Their
bond resolutions require that sufficient funds be
available in reserve accounts to meet the largest
debt service requirement in any ensuing fiscal year
or that a surety bond be obtained in lieu of the
reserve account.
Loans obtained from the Sunshine State
Governmental Financing Commission require a
particular revenue pledge or a covenant to budget
and appropriate non -ad valorem revenues. The City
must maintain certain debt ratio requirements as
specified under this loan requirement.
The City believes it is in material compliance with
its financial debt covenants.
F. Escrow Agreement
On March 17, 1997, an agreement was entered into
by and among an Escrow Agent, the Oversight
Board, acting through its committee Fiscal
Sufficiency Advisory Board, and the City. The
agreement directs the Escrow Agent to establish two
(2) escrow accounts, and maintain appropriate
balances to ensure the timely payment of debt
service on outstanding General Obligation and
Revenue Bonds.
The City made an initial deposit of $9,700,000 with
the escrow agent on March 17, 1997 to cover its
debt service requirements on the General Obligation
Bonds. The City has agreed that certain ad valorem
tax revenues received will be deposited each month
into the escrow account in an amount specified by
the underlying agreement. If the ad valorem taxes
received in any month are inadequate to make the
required deposit, the City must use other sources of
funds to supplement the required deposits.
Also, the City made an initial deposit of
approximately $5,000,000 with the Escrow Agent
on March 17, 1997 to cover its debt service
requirements on the Special Obligation Bonds and
Loans. The City has agreed to deposit revenues
each month in amounts specified in the underlying
agreement.
G. Long -Term Debt Authorized But Not Issued
On November 13, 2001, a referendum election was
held and the voters approved the issuance of
$255,000,000 of Limited Ad Valorem Tax Bonds.
As of September 30, 2003, the City has issued
$153,186,405 of the approved bonds.
H. Defeasance of Long -Term Debt
In prior years, the City defeased certain outstanding
general obligation, special obligation and revenue
bonds. For those defeasances involving advance
refundings, the proceeds of the new bonds were
placed in an irrevocable trust to provide for all
future debt service payment on the old bonds. At
September 30, 2003, the following outstanding
bonds are considered defeased:
46
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
Prior Years' Defeased Debt:
$6,500,000 Special Obligation Bonds, Series 1989:
Guarantee Entitlement Bonds $ 2,905,000
$4,290,000 Special Obligation Bonds, Series 1986-A:
Housing Bonds $ 1,065,000
$22,000,000 Special Obligation Non -Ad Valorem Revenue Bonds, Series 1995:
City Administration Building $15,765,000
$18,000,000 Special Obligation Non -Ad Valorem Revenue Bonds, Series 1994
Risk Management $12,095,000
$16,135,000 General Obligation Bonds Refunding Bonds, Series 1991
Sanitary Sewer $ 565,000
$10,000,000 General Obligation Bonds Refunding Bonds, Series 1992
Storm Sewer $ 7,380,000
$22,500,000 General Obligation Bonds Refunding Bonds, Series 1995
Sanitary Sewer $21,900,000
Total Prior Defeased Debt: $61,675,000
Current Years' Defeased Debt:
$31,860,000 General Obligation Bonds Refunding Bonds, Series 1993:
Storm & Sanitary Sewer $19,225,000
Total Current Defeased Debt: $19,225,000
Grand Total $80,900,000
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
I. Discretely Presented Component Units Long -Term Debt
MSEA
The changes in the general long-term obligations for MSEA
for the year ended September 30, 2003 are summarized as follows:
Balance, October 1, 2002
Principal Payments
Balance, September 30, 2003
Due Within One Year
2004 $
2005
2006
2007
2008
2008 - 2012
2013 - 2017
2018 - 2020
Series 1992A
Principal Interest
1,040,000
1,110,000
1,180,000
1,260,000
1,335,000
6,230,000
12,780,000
8,075,000
$ 1,977,033
1,903,495
1,825,320
1,747,830
1,665,728
5,733,644
5,111,266
526,132
Special Obligation
Refunding Bonds
Series 1992A and 1992B
$ 36,395,000
(1,740,000)
$ 34,655,000
$ 1,835,000
Series 1992B
Principal Interest
$ 795,000 $
850,000
108,981 $
56,313
Total
3,921,014
3,919,808
3,005,320
3,007,830
3,000,728
11,963,644
17,891,266
8,601,132
$ 33,010,000 $ 20,490,448 $ 1,645,000 $
Range of Rates 5.75%-7.2%
165,294 $ 55,310,742
2.95%-6.625%
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
DOSP
The City has issued revenue bonds on behalf of DOSP. The principal and interest of the revenue bonds are
payable solely from the revenues of the parking facilities and, accordingly, are included in the accounts of
DOSP.
DOSP's long-term debt activity during 2003 was as follows:
Series
1998
Balance, October 1, 2002 $ 11,755,000
Principal payments (635,000)
Balance, September 30, 2003 $ 11,120,000
Due Within One Year $ 655,000
Bonds payable as of September 30, 2003 also include an unamortized deferred loss on the advance refunding of
the series 1992A bonds of approximately $65,000.
The following summarizes the debt service to maturity of outstanding debt at September 30, 2003:
Principal
Interest Total
2004 $ 655,000 $ 503,000 $ 1,158,000
2005 685,000 476,000 1,161,000
2006 710,000 448,000 1,158,000
2007 740,000 419,000 1,159,000
2008 770,000 387,000 1,157,000
2009-2013 4,380,000 1,381,000 5,761,000
2014-2018 3,180,000 255,000 3,435,000
Total 11,120,000 3,869,000 14,989,000
Current Portion (655,000) (503,000) (1,158,000)
Total debt $ 10,465,000 $ 3,366,000 $ 13,831,000
Range of Rates 3.75%-5.25%
In prior years, DOSP defeased, in substance, its Parking Facilities Revenue Bonds 1993A and at
September 30, 2003, the outstanding balance of defeased bonds was $7,800,000.
Bonds payable as of September 30, 2003 include an unamortized deferred loss on the advanced refunding
of the Series 1992A bonds of approximately $65,000.
Balance Balance
9/30/2002 Additions Reductions 9/30/2003
Bonds payable $ 11,778,000 $ 13,000 $ (635,000) $ 11,156,000
Total long-term
liabilities $ 11,778,000 $ 13,000 $ (635,000) $ 11,156,000
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
NOTE 9. - SELF-INSURANCE
A. Risk Management
The City is self insured for its liability program
subject to, and in accordance with, the limitations
set forth by Florida Statutes 768.28. The City has in
place a commercial property program providing
blanket real estate and personal property coverage
on all City owned properties. There has not been a
significant reduction in insurance coverage from the
previous year. Settled claims have not exceeded
reserves in the past three years. The General Fund
accounts for all risks of loss to which the City is
exposed, including public liability, property and
casualty, and employee health and accident related
losses.
Claims expenditures and liabilities are reported
when it is probable that a loss has occurred and the
amount of that loss can be reasonably estimated
based on an independent actuarial valuation.
Liabilities include an amount for claims that have
been incurred but not reported. The process used in
computing claims liability does not necessarily
result in an exact amount because actual claims
liabilities depend on such complex factors as
inflation, changes in legal doctrines, and damage
Fiscal Year Ended
September 30,
2002
2003
B. Group Accident and Health
Beginning of
Fiscal Year
Liability
$ 88,200,355
82,527,448
awards. Claims liabilities are reevaluated
periodically to take into consideration recently
settled claims, frequency of claims, and other
economic and social factors.
The City maintains excess coverage with
independent insurance carriers for the worker's
compensation, police torts, auto liability, public
officials liability, and general liability self-insurance
programs. Premiums are charged to the Risk
Management Department and are determined based
on amounts necessary to provide funding for current
losses and to meet the required annual payments
during the fiscal year. The property insurance
program provides coverage for windstorm and hail
subject to a 5% deductible with no cap; multiple
loss limits apply.
At September 30, 2003, the total estimated liability
of $82,527,448 is discounted at an interest rate of
5% and recorded on the government -wide financial
statements. Changes in claims liability amount in
2002 and 2003 were:
Current Year
Claims
And Changes
In estimates
$ 15,119,019
17,316,124
Certain employees and retirees of the City
contribute, through payroll deductions or deductions
from pension payments, to the cost of group
benefits. The remainder of the funds necessary are
contributed by the City based upon the number of
participants in the plan. As of September 30, 2003,
the plan covered approximately 2,075 active
employees, 1,030 retirees and 1,886 employee -
retiree dependent units. Costs of the plan for the
Claims
Payments
$ 20,791,926
17,316,124
Balance At
Fiscal Year End
$ 82,527,448
82,527,448
year then ended were approximately $24,861,000.
The liability for the group accident and health
program totaled approximately $3,176,000 at
September 30, 2003 and is included in claims
payable in the government -wide Statement of Net
Assets.
50
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
NOTE 10. - PENSIONS
A. Pension Plans
The City sponsors two separate single employer
defined benefit contributory pension plans under the
administration and management of separate Boards
of Trustees: The City of Miami Fire Fighters' and
Police Officers' Retirement Trust ("FIPO") and the
City of Miami General Employees and Sanitation
Employees' Retirement Trust ("GESE"). The plans
cover substantially all City employees who
contribute a percentage of their base salary or wages
on a bi-weekly basis.
The City's elected officials participate in a single
employer defined benefit non-contributory pension
plan under the administration and management of a
separate Board of Trustees, the City of Miami
Elected Officers' Retirement Trust ("EORT"). This
plan covers all elected officials with 7 or more years
of elected service.
The financial statements for all three Pension Plans
are prepared using the accrual basis of accounting.
Trust member's contributions for FIPO and GESE
are recognized in the period which the contributions
are due. Employer contributions are recognized
when due. Benefits and refunds are recognized
when due and payable in accordance with the terms
of the plans.
The payroll for employees covered by FIPO, GESE
and EORT for the year ended September 30, 2003
was approximately $100.5 million, $72.6 million
and $313 thousand, respectively; the City's total
payroll was $214,334,929.
At October 1, 2003, the date of the most recent
actuarial valuation, membership in the FIPO, GESE
and EORT consisted of the following:
FIPO ( F EORT
Retirees and beneficiaries ciurenity
receiving benefits and terminated
enployees entitled to benefits but not
yet receiveirg then 1,495 1,926 5
anted Employees 1,62? 1,565 6
Total Mar±ers
3,117 3,491 11
On or after October 4, 1991, and before January 9,
1994, FIPO Plan benefits were 2.75% of average
final compensation for each year of creditable
service. Since January 9, 1994, benefits are based
on 3.0% of average final compensation for each
year of creditable service for the first 15 years of
creditable service and 3.5% of average final
compensation for years of creditable service in
excess of 15 years. Retirement benefits under the
GESE Plan are generally based on 3.0% of the
average final compensation for each year of
creditable service. Provision for additional benefits
for longevity are available. Early retirement after
twenty years of service is available. Benefits for
disability and death are also provided under the
plans.
Under the EORT Plan, eligibility requires 7 years of
total service as an elected official of the City of
Miami to be vested without requiring that such
service be continuous. Benefits accrue for City
Commissioners at the rate of 50% of the highest
annual W-2 wages in the last three years of
employment after 7 years of service as an elected
official of the City plus 5% for each additional year
up to 75% at 12 years of service. The Mayor's
salary for pension calculations is limited to the base
salary before additional taxable benefits (i.e.,
expense allowance, mobile phone allowance,
automobile allowance, and term life insurance
greater than $50,000). An active participant will be
fully vested upon death and a single sum death
benefit is payable.
City employees in the FIPO Plan are required to
contribute 7% of their salary and employees in the
GESE Plan are required to contribute 10% of their
salary. The EORT Plan is a non-contributory plan.
51
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
Contributions from employees are recorded in the
period the City makes payroll deductions from
participants. The City is required to contribute such
amounts annually as necessary on an actuarial basis
to provide FIPO and GESE with assets sufficient to
meet the benefits to be paid. Contributions to FIPO
and GESE are authorized pursuant to City of Miami
Code Sections 40.196 (a) and (b) and 40.241 (a) and
(b), respectively. Contributions to the FIPO Cost of
Living Adjustment Accounts are authorized
pursuant to Section 40.204 of the City of Miami
Code. Contributions to EORT are authorized
pursuant to Section 40.291 of the City of Miami
Code.
In Fiscal 2000, the City of Miami Commission,
pursuant to applicable Internal Revenue Code
provisions, established qualified governmental
excess benefit plans to continue to cover the
difference between the allowable pension to be paid,
and the amount of the defined benefit, so the
benefits for eligible members (GESE, FIPO and
EORT) are not diminished by changes in the
Internal Revenue Code. The Board of Trustees for
GESE and FIPO and the Plan EORT Fiduciary,
administers the excess benefit plan for each
respective pension group.
The FIPO plan also has a Cost of Living
Adjustment (COLA) program for its members.
Effective January 1, 1994, the FIPO Trust entered
into an agreement with the City with regards to the
funding methods, employee benefits, employee
contributions and retiree COLA. Members no
longer contribute to the original COLA account
(COLA I); a new COLA account (COLA II) was
established. The agreement included the following:
(a) the funding method was changed to an aggregate
cost method, (b) all accounts were combined for
investment purposes (membership and benefit,
COLA I, and COLA II), (c) retirees receive
additional COLA benefits, and (d) active members
no longer contribute 2% of pretax earnings to fund
the original retiree COLA account (COLA I).
The COLA II account is funded annually by a
percentage of the excess investment return from the
COLA I account assets. The excess earnings
contributed to the COLA II account are used to fund
a minimum annual payment of $2.5 million,
increasing by 4% compounded annually. To the
extent necessary, the City will fund the portion of
the minimum annual payment not funded by the
annual excess annual earnings no later than January
1 of the following year.
Benefits payable from the COLA accounts are
computed in accordance with an actuarially based
formula as defined in Section 40.213 of the City of
Miami Code. Benefits are subject to review and
modification in accordance with City of Miami
Code Section 40.213, which provides that all other
matters regarding the COLA accounts shall be
determined by negotiations between the City, the
Board of Trustees and the bargaining
representatives of the International Association of
Fire Fighters (IAFF) and the Fraternal Order of
Police (FOP).
FIPO members who are eligible for service
retirement of Rule of 64 after September 1998 may
elect to enter the Deferred Retirement Option Plan
(DROP) for a maximum of 36 months prior to
October 1, 2001. Effective October 1, 2001,
maximum participation in the DROP for firefighters
shall be 48 full months and for police officers who
elect DROP on October 1, 2003, or thereafter,
maximum participation in the DROP shall be 48
full months.
A member's creditable service, accrued benefit and
compensation calculation is frozen upon
commencement of participation in the DROP; the
participant's and City's contribution to the FIPO
Trust for that participant ceases as the participant
will not earn further creditable service for pension
purposes. Effective October 1, 2001, firefighter
DROP participants may also continue City
employment for up to 48 months (36 months prior
to October 1, 2001). Police officers who elect
DROP on or after October 1, 2003, may continue
City employment for up to 48 full months (36 full
months prior to October 1, 2003). No payment is
made to or for the benefit of a DROP participant
52
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
beyond that period. For persons electing
participation in the DROP, an individual DROP
account is created. Payment is made by the FIPO
Trust into the employee's DROP account in an
amount equal to the regular monthly retirement
benefit, which the participant would have received
had the participant separated from service and
commenced receipt of pension benefits. Payments
received by participants in the DROP accounts are
tax deferred. A series of investments vehicles, as
established by FIPO's board of trustees, are made
available to DROP participants to choose from.
Any losses, charges, or expenses incurred by the
participant in his or her respective drop account are
borne solely by the participant. Upon termination of
employment, a member may receive distribution
from the DROP account in the following manner: 1)
lump sum, 2) periodic payments, 3) annuity, or 4)
rollover of the balance to another qualified
retirement plan.
Any member may defer distribution until the latest
date authorized by Section 401(a)(9) of the Internal
Revenue Code.
DROP participants are not entitled to receive an
ordinary or service disability retirement and in the
event of death of a DROP participant, there is no
accidental death benefit for pension purposes.
DROP participation does not affect any other death
or disability benefit provided to a member under
federal law, state law, City ordinance, or any rights
or benefits under any applicable collective
bargaining agreement.
The DROP of the FIPO Trust also consists of a
Benefit Actuarially Calculated DROP (BACDROP).
A member may elect to BACDROP to a date no
further than the date of their retirement eligibility
date. The BACDROP period must be in 12 months
increments, beginning at the start of a pay period,
not to exceed 48 full months for firefighters (36
months prior to October 1, 2001) and for police
officers who elected DROP on October 1, 2003 (36
months prior to October 1, 2003). Participation in
the BACDROP does not preclude participation in
the forward DROP.
The City of Miami General Employees' and
Sanitation Employee's Retirement Trust made the
DROP available to all Retirement Trust members
effective May 1, 2002. The DROP is an
enhancement to the GESE Retirement Trust that can
provide a trust member with another way to save for
retirement. It allows a participant to receive
pension payments by depositing them into the
DROP program while continuing to work and
receive pay and benefits as an active employee. At
the end of the DROP period, when the participant is
officially required to retire, the participant receives
monthly pension payments based on the years of
service and salary at the time that the participant
enrolled in the DROP. In addition, the participant
also receives the accumulated DROP account
balance. The DROP monies can also be rolled over
into a tax -qualified plan such as an Individual
Retirement Account (IRA) or 457(b) government
sponsored deferred compensation plan that agrees to
separately account for the rollover contribution.
53
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
The following table provides information concerning funding policies for FIPO, GESE and EORT:
FIPO:
Valuation date.
Actuarial cost method
Amortization method
Remaining amortization period
Asset valuation method
Actuarial assumptions:
Investment rate of return
Salary increases:
Inflation
Merit, longevity, etc
Mortality table
Mortality, disability, retirements and turnover
GESE:
Valuation date
Actuarial cost method
Amortization method
Remaining amortization period
Asset valuation method
Actuarial assumptions:
Investment rate of return
Projected salary increases
Includes inflation at
Cost of living adjustments
EORT:
Valuation date.
Actuarial cost method
Amortization method
Remaining amortization period
Asset valuation method
Actuarial assumptions:
Investment rate of return
Salary increases:
Inflation
Merit, longevity, etc
Mortality table
Disability, turnover and retirements
October 1, 2001 (Revised)
Aggregate Cost Method (this method does not identify or
separately amortize unfunded actuarial liabilities)
Not applicable under Aggregate Cost Method
Not applicable under Aggregate Cost Method
Average of ratios of market book values as of current and
most recent September 30's. Average ratio is applied to
book value at current September 30. The result cannot
be greater than 120% or less than 80% of market value
7.75%
4.00%
5.1 % to 0% reducing by attained age
Ga94 - Mortality table changed for current year
Pension Benefit Guaranty Corporation
("PBGC") Non-OASDI basis rate tables
October 1, 2002
Modified entry age normal
Level dollar amount, closed
28
3 year smoothed market value of assets
8.1%
5.75%
3.5%
4% per year with $54 per year minimum and
$400 per year maximum
December 31, 2002
Individual Aggregate Cost Method (does not identify or
separately amortize unfunded actuarial liabilities)
Not applicable under Individual Aggregate Cost Method
Not applicable under Individual Aggregate Cost Method
Market Value
6.0%
N/A
N/A
Ga94 - no pre -retirement mortality was assumed
No disability or turnover assumed. Retirement is assumed
at the end of the current term or 100% vested
54
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
B. Actuarially Determined Contribution
Requirements and Contributions Made
The funding policy for FIPO, GESE and EORT
provides for periodic employer contributions at
actuarially determined rates that, expressed as
percentages of annual covered payroll, are sufficient
to maintain the actuarial soundness of the plans and
to accumulate sufficient assets to pay benefits when
due.
Significant actuarial assumptions used to compute
the contribution requirements are described in the
funding policy above.
FIPO
Contributions are determined applying the
actuarially calculated aggregate cost method.
The actuarial valuation of the Trust at October 1,
2000, for the fiscal year ended September 30, 2001
utilized an assumed investment rate of return of
7.625%. This resulted in a minimum required
contribution of approximately $6,400,000. The City
disputed the aforementioned assumption and had
subjected it to arbitration. In compliance with the
Trust ordinance, the City had contributed
$5,400,784, the same amount as in the prior year,
which would satisfy the September 30, 2001
required contribution until the issue was resolved.
The contribution made to the trust pertaining to the
year ending September 30, 2002 was also
$5,400,784. The arbitration was subsequently
resolved and the revised actuary valuation reports at
October 1, 1999, 2000, 2001 were issued by the
Trust's actuary. The revised rate of return of 7.75%
resulted in an over funding of the City's annual
required contributions of $1,371,422 and
$4,907,022, for the fiscal years ended September
30, 2001 and 2002, respectively. Accordingly, a net
pension asset of $6,278,444 and $3,382,512, for
fiscal years ended September 30, 2002 and 2003,
respectively, has been reported in the government -
wide Statement of Net Assets.
The annual required contribution for fiscal year
2003 of $18,163,588 was reduced by $3,139,222.
The interest earnings attributable to the NPO were
$243,290 (or 7.75%), which resulted in a net
reduction to the NPO of $2,895,932.
GESE
GESE contributions are determined using the entry
age normal cost method with frozen actuarial
accrued liability.
For the year ended September 30, 2003,
contributions totaling $3,985,926 ($3,602,457 for
the GESE Trust and $383,469 for the Excess
Benefit Plan) was made in accordance with
actuarially determined contribution requirements,
based on an actuarial valuation performed as of
October 1, 2002.
EORT
Contributions are determined applying the
actuarially calculated aggregate cost method.
For the year ended September 30, 2003,
contributions totaling $265,287 ($82,447 for the
EORT Trust Plan and $182,840 for the Excess
Benefit Plan) was made in accordance with
actuarially determined contribution requirements,
based on an actuarial valuation performed as of
December 31, 2002.
55
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
The following represents condensed financial information for EORT:
As of September 30, 2003
Assets
Cash and Short Term Investments $ 175
Investments, at fair value 1,847,383
Total Assets $ 1,847,558
For the Year Ended September 30, 2003
Total Additions $ 293,773
Total Deductions 152,256
Change in Net Assets $ 141,517
C. Trend Information
Trend information indicates the progress made in accumulating sufficient assets to pay benefits when due. An
analysis of funding progress for the fiscal ended September 30, 2003 is a follows:
Net Pension
Year Ended Annual Required Percentage Obligation
September 30, Contribution Contributed (Asset)
FIPO 2003 $ 18,163,588 83% $ (3,382,512)
2002 1,051,629 514 (6,278,444)
2001 4,008,892 135 (1,371,422)
2000 5,400,784 100
1999 10,376,473 100
1998 14,155,472 100
GESE 2003 3,602,457 100
2002 2,090,701 100
2001 8,458,735 100
2000 8,216,415 100
1999 - 100
1998 12,617,377 100
EORT 2003 82,447 100
2002 82,447 100 -
2001 220,837 236 270,902
2000 449,086 111 451,159
1999 233,038 309,384
1998 145,053 250,738
56
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
D. Budget Advance From City
Certain administrative costs of the FIPO and GESE Trusts are paid directly by the Pension Trusts from budget
advance monies provided by the City. The Trusts provide the City with an accounting of how these funds are
expended during the period. Deficits are funded by the City with any excess applied towards the following year
together with the budget advance for that year. Funding for such administrative costs for the year ended
September 30, 2003 is as follows:
FIPO GESE
Funding provided by the City - current year $ 1,793,303 $ 2,226,316
Budget advance (deficit)- beginning of year
Administrative costs incurred, including
custodian and consultants' fees,
personnel and other office expenses
(461,297) (990,791)
1,332,006 1,235,525
1,422,383 1,884,961
Budget deficit - end of year $ (90,377) $ (649,436)
Since the above administrative costs are fully funded by the City, they are not record in the administrative
expenses set forth in the fiduciary fund statements of Changes in Fiduciary Net Assets.
E. Retirement Systems Financial Statements
The FIPO and GESE Retirement Systems are audited separately; complete financial statements can be obtained
at the following offices:
FIPO, 1895 SW 3rd Avenue, Miami, FL 33129
GESE, 1000 Brickell Avenue, Suite 1010, Miami, FL 33131
EORT, does not issue stand-alone audited financial statements.
57
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
F. Special Benefit Plans
Certain executive employees of the City are allowed
to join the ICMA Retirement Trust's 401(a) plan.
This defined contribution deferred compensation
plan, which covers governmental employees
throughout the country, is governed by a Board of
Directors responsible for carrying out the overall
management of the organization, including
investment administration and regulatory
compliance. Membership for City employees is
limited by the City Code to specific members of the
City Clerk, City Manager, and City Attorney's
offices, Department Directors, Assistant Directors,
and other executives. To participate in the plan a
written trust agreement must be executed, which
requires the City to contribute 8% of the individual's
earnable compensation, and the employee to
contribute 10% of their salary. Participants may
withdraw funds at retirement or upon separation
based on a variety of payout options.
The following information relates
participation in this plan:
Total current year's payroll for all employees
Current year's payroll
for participating employees
Current year employer contributions
to the City
$214,334,929
$3,990,664
$384,732
In addition to coverage under the FIPO Pension Plan,
City of Miami fire fighters and police officers are
members of two separate non-contributory money
purchase benefit plans established under the
provisions of Florida Statutes, Chapters 175 and 185,
respectively. These two plans are funded solely from
the proceeds of certain excise taxes levied by the
City and imposed upon property and casualty
insurance coverage within the City limits. This tax,
which is collected from insurers by the State of
Florida, is remitted directly to the plans' Boards of
Trustees. The City is entitled to levy such excise
taxes solely for the use of the money purchase
benefit plans as long as the minimum benefit
provisions of Florida Statutes, Chapters 175 and 185
are met by F1PO. The City is currently under no
obligation to make further contributions to the plans.
The total of such excise taxes received from the State
of Florida and remitted to the plans was $9,441,555
for the year ended September 30, 2003. Accordingly
these monies are recorded as pass through funds in
the City's financial statements. Benefits are allocated
to the participants based upon their service during
the year and the level of funding received during said
year. Participants are fully vested after nine years of
service. Upon termination of service, a participant
may elect to receive one of three options: 1) a lump
sum payment, 2) five substantially equal payments,
or 3) 10% or more in the first year and the remainder
in any way over the next four years. The total must
be paid out within five years.
NOTE 11. - POST -EMPLOYMENT HEALTH
CARE BENEFITS
In addition to providing pension benefits, the City
offers to its retiree's comprehensive medical
coverage and life benefits through the City's self-
insurance plan. This plan was established in
accordance with Florida State Statute Section
112.0801 "Group Insurance: Participation by Retired
Employees". Substantially all of the City's general
employees and firefighters may become eligible for
those benefits when they reach normal retirement age
while working for the City (approximately 1,030 of
the 3,105 covered participants are retirees). The
City's cost of the post -employment health benefits,
funded on a pay-as-you-go basis, was approximately
$8,247,000 for the year ended September 30, 2003.
The Fraternal Order of Police (FOP) sponsors a
Health Insurance Trust that is partially self -insured,
which provides life, health, and accidental death and
dismemberment insurance to substantially all full-
time sworn members of the City of Miami Police
Department, eligible retirees, their families and
beneficiaries. The Trust receives a significant source
of its funding from the City, pursuant to the terms of
a collective bargaining agreement. The agreement
requires the City to reimburse the FOP Health Trust
an amount that is required to bring the Trust's
available fund balance to $2.35 million. The City
funded its contribution under terms of the agreement
in the amount of $1,794,503 for the current year.
58
CITY OF MIAMI, FLORIDA
NOTES TO FINANCIAL STATEMENTS
NOTE 12. - SUMMARY DISCLOSURE OF
SIGNIFICANT CONTINGENCIES
A. Litigation
The City is subject to various disputes, legal
proceedings and labor relations claims, which arise
in the normal course of its operations. In the opinion
of management, the liability with respect to these
activities will not be material to the City's financial
position.
On July 11, 2001, the Third District Court of
Appeals ruled that the parking surcharge statute was
unconstitutional. The City has appealed the ruling to
the Florida Supreme Court who has upheld the ruling
of the lower court. The legislature has approved a
bill that has been signed by the Governor that
amends the parking surcharge statute and eliminates
the constitutional problem that the court found. This
bill became law on November 30, 2001. A tentative
settlement has been reached in this action that calls
for a refund of amounts paid by users of parking
services in Miami. The settlement amount totaled
$14 million and is recorded as a liability in the
accompanying government -wide Statement of Net
Assets and governmental fund Balance Sheet. A
final fairness hearing to validate the settlement has
been scheduled in April 2004.
At September 30, 2003, the City had in process
various uncompleted construction projects with
remaining balances totaling $13,650,842. Funding
of these projects is to be made primarily through the
proceeds of the related bond issues, loans and future
taxes.
The City participates in a number of Federal and
State assisted programs. These programs are subject
to audit under the requirements of the Single Audit
Act Amendment of 1996 and Chapter 10.650, Rules
of the Auditor General.
The City anticipates no material adverse findings.
59
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60
City of Miami, Florida
Budgetary Comparison Schedule
General Fund
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Property Taxes $ 142,881,576 $ 142,881,576 $
Franchise Fees and Other Taxes 31,912,242 31,912,242
Licenses and Permits 19,855,412 19,855,412
Fines and Forfeitures 4,077,600 4,077,600
Intergovernmental Revenues 33,858,106 43,299,661
Charges for Services 78,442,680 78,442,680
Interest 9,505,000 9,505,000
Other 3,912,526 3,912,526
Transfer from Other Funds 45,726,098 50,142,352
Amounts Available for Appropriation 370,171,240 384,029,049
Charges to Appropriations (outflows):
General Government
Planning and Development
Public Works
Public Safety
Public Facilities
Parks and Recreation
Transfer to Other Funds
Total Charges to Appropriations
Excess (Deficiency) of Resources Over
Charges to Appropriations
77,304,724 79,433,807
8,975,394 9,047,648
52,214,134 54,536,953
187,154,741 200,913,144
5,647,576 5,593,854
12,584,290 12,589,188
43,237,205 44,237,527
387,118,064 406,352,121
(16,946,824) (22,323,072)
Fund Balance Allocation 16,946,824
139,604,223 $
31,556,387
21,469,973
5,049,412
44,071,524
86,182,827
7,280,372
26,011,219
51,282,877
(3,277,353)
(355,855)
1,614,561
971,812
771,863
7,740,147
(2,224,628)
22,098,693
1,140,525
412,508,814 28,479,765
70,818,156
8,847,307
50,972,638
199,037,897
5,253,989
12,601,390
44,130,853
8,615,651
200,341
3,564,315
1,875,247
339,865
(12,202)
106,674
391,662,230 14,689,891
20,846,584 43,169,656
22,323,072 - (22,323,072)
Excess (Deficiency) of Resources Over
Charges to Appropriations $ - $ - $ 20,846,584 $ 20,846,584
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 412,508,814
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for fmancial
reporting purposes. (22,323,072)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (51,282,877)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 338,902,865
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 391,662,230
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (1,810,971)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (44,130,853)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 345,720,406
The accompanying notes are an integral part of the required supplementary information.
61
City of Miami, Florida
Budgetary Comparison Schedule
Community Development
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 44,779,890 $ 44,779,890 $ 30,425,562 $ (14,354,328)
Charges for Services - 3,523,209 3,523,209
Interest 159,644 159,644
Other 24,317,796 24,317,796
Amounts Available for Appropriation 44,779,890 44,779,890 58,426,211 13,646,321
Charges to Appropriations (outflows):
Community Development
Transfer to Other Funds
Total Charges to Appropriations
Excess (Deficiency) of Resources Over
Charges to Appropriations
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations
65,437,793 65,437,793 32,025,868 33,411,925
3,136,331 3,136,331 3,385,477 (249,146)
68,574,124 68,574,124
35,411,345 33,162,779
(23,794,234) (23,794,234) 23,014,866 46,809,100
23,794,234 23,794,234 (23,794,234)
$ $ $ 23,014,866 $ 23,014,866
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 58,426,211
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (23,794,234)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 34,631,977
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule.
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds.
35,411,345
(3,385,477)
32,025,868
The accompanying notes are an integral part of the required supplementary information.
62
Resources (inflows):
Franchise Fees and Other Taxes
Amounts Available for Appropriation
Charges to Appropriations (outflows):
Transfer to Other Funds
Total Charges to Appropriations
City of Miami, Florida
Budgetary Comparison Schedule
Public Services Tax
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
$ 56,299,393 $ 60,715,647 $ 57,864,240 $ (2,851,407)
56,299,393 60,715,647 57,864,240 (2,851,407)
56,299,393
56,299,393
60,715,647 60,715,647
60,715,647 60,715,647
Excess (Deficiency) of Resources Over
Charges to Appropriations - (2,851,407) (2,851,407)
Fund Balance Allocation -
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ (2,851,407) $ (2,851,407)
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 57,864,240
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 57,864,240
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 60,715,647
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (60,715,647)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $
The accompanying notes are an integral part of the required supplementary information.
63
CITY OF MIAMI, FLORIDA
NOTES TO THE REQUIRED SUPPLEMENTARY INFORMATION
SEPTEMBER 30, 2003
NOTE 1. - BUDGETARY POLICY
A. BUDGET POLICY
The City Commission annually adopts an
operating budget ordinance for all governmental
funds of the City, except for the Capital Projects
Funds.
Capital Project Funds are budgeted on a total
project basis for which annual budgets are not
available.
For governmental funds, budgets are prepared
using the modified accrual method. For the
proprietary fund, the budget is prepared on a
basis consistent with accounting principles
generally accepted in the United States of
America based upon estimates of revenue and
expenses for the upcoming fiscal year.
B. BUDGET -LEGAL COMPLIANCE
The City follows these procedures in establishing
the budgetary data reflected in the accompanying
financial statements:
- Prior to August 31st, the City Manager submits
to the City Commission a proposed operating
budget by fund, except for the General Fund,
which is at the departmental level, for the
fiscal year commencing the upcoming October
1st. The operating budget includes proposed
expenditures and the means of financing them.
- The Mayor prepares and delivers a budgetary
address annually to the people of the City
between July 1st and September 30th.
Such report is prepared after consultation with
the City Manager.
- Public hearings are conducted to obtain
taxpayer comments.
- Prior to October lst, the budget is legally
enacted through the passage of an ordinance
and adoption of the budget report.
- Management may not make changes to the
adopted budget without the approval of a
majority vote of the Commission.
- The Commission may transfer among
departments any part of an unencumbered
balance of an appropriation to a purpose for
which an appropriation for the current year
has proved insufficient. At the close of each
fiscal year, the unencumbered balance of each
appropriation reverts to the fund from which it
was appropriated and is subject to future
appropriations.
- Budgets are monitored at varying levels of
classification detail, however, budgetary
control is legally maintained at the fund level
except for the General Fund, which is
maintained at the departmental level.
All budget amendments require City Commission
approval. During Fiscal 2003, supplemental
appropriations totaling $19,234,057 and
$4,416,254 in the General Fund and Public
Services Tax, respectively, were required to
recognize unanticipated revenue including the
award of federal and state grants and to provide
funding for unanticipated program requirements.
64
City of Miami, Florida
Pension Trust Funds
Schedule of Funding Progress (a)
(Dollar Amounts in Thousands)
Actuarial
Valuation
Date
FIPO(b,d):
10/01/02
10/01/01
10/01/00
10/01/99
10/01/98
10/01/97
GESE(c):
10/01/02
10/01/01
10/01/00
10/01/99
10/01/98
10/01/97
(2)
(1) Actuarial
Actuarial Accrued
Value of Liability
Assets (AAL)
N/A N/A
828,900 884,700
994,600 823,100
932,800 820,200
857,700 774,500
835,300 702,100
561,300 617,800
597,100 579,400
594,800 577,700
539,000 571,100
522,900 557,300
505,400 471,100
EORT(e):
10/01/02 1,826 1,579
10/01/01 1,148 1,419
10/01/00 657 1,108
10/01/99 652 962
10/01/98 509 760
10/01/97 230 628
Unfunded
(Overfunded)
AAL
(2) - (1)
Funded
Ratio
(1)/(2)
N/A N/A %
55,800
(171,500)
(112,600)
(83,200)
(133,200)
94
121
114
111
119
(3)
Covered
Payroll
N/A
$ 89,700
84,300
77,700
74,300
69,600
56,500 91 70,400
(17,700) 103 66,700
(17,100) 103 63,800
32,100 94 59,100
34,400 94 55,100
(34,300) 107 52,000
(247) 116
271 81
451 59
310 68
251 67
398 37
237
228
249
300
164
124
Unfunded
(Overfunded)
as a
Percentage of
Covered
Payroll
((2)-(1))/(3)
N/A %
62
(203)
(145)
(112)
(191)
80
(27)
(27)
54
62
(66)
(104)
119
181
103
153
321
a. For information regarding pension contribution percentage rates, assumptions, amortization,
method (See Note 10).
b. Aggregated Cost Method
c. Entry Age Normal Actuarial Accrued Liability
d. Actuary calculations will be available after March 5, 2004.
e. Individual Aggregated Cost Method
65
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66
Nonmajor Governmental Funds (continued)
SPECIAL REVENUE FUNDS
Special Revenue Funds are used to account for special revenues that are
legally restricted to expenditures for particular purposes.
Community Redevelopment Agency (ORA) - To account for revenues
and expenditures to be used for general operations in the defined
Community Redevelopment Area.
Community Redevelopment Agency (SEOPW) - To account for
revenues and expenditures to be used for special operations in the defined
Community Redevelopment Area.
Convention Center - To account for the operations of the City of Miami/
University of Miami James L. Knight International Center and Parking
Garage.
Economic Development & Planning Services - To account for the
operations of the Economic Development & Planning Services.
Rescue Services - To account for the proceeds of an excise tax that is
restricted to expenditures which supplement the City's emergency Fire
Rescue Operations.
Net Offices - To account for the operations of the City of Miami's
Neighborhood Enhancement Teams (Net Offices).
Parks & Recreation Services - To account for the operations of the Parks
& Recreation Services.
Police Services - To account for the proceeds of various grants from
Local, State, and Federal Agencies.
67
Nonmajor Governmental Funds (continued)
SPECIAL REVENUE FUNDS
Law Enforcement Fund - To account for confiscated monies awarded to
the City for law enforcement related expenditures as stipulated by State
Statutes.
Public Works - To account for the proceeds granted from Local and State
Agencies.
City Clerk Services - To account for the operations of the Passport
Facility, Municipal Archives & Records, and related Program.
Local Gas Option Gas Tax - To account for the local option gas tax
levied on the purchases of gasoline.
Stormwater Utility Fund — To account for all the fees and charges
collected for the operation and maintenance of the stormwater
management system and the funding of pollution abatement devices of
said system.
Department Improvement Initiatives - To account for the funds
designated for City of Miami initiatives related to quality of life and
technology.
Transportation and Transit - To account for the operations of the City
of Miami's transit and transportation projects.
Gusman and Olympia - To account for the activities of the Gusman and
Olympia Facilities.
68
Nonmajor Governmental Funds (continued)
DEBT SERVICE
Debt Service Funds are used to account for the accumulation of resources,
payment of general obligation bond principal, interest from government
resources, special obligation bond principal and interest from pledged
revenues when the government is obligated in some manner for the
payment.
General Obligation Bonds - To account for monies for payment of
principal, interest, and other costs related to various issues of long-tetiii
general obligation bonds. Debt Service is financed primarily by an ad
valorem tax.
Other Special Obligation Bonds — To account for monies for payment of
principal, interest, and other costs related to various special bonds and
loans.
CRA Other Special Obligation Bonds — To account for monies for
payment of principal, interest, and other costs related to various special
bonds and loans.
69
Nonmajor Governmental Funds (continued)
CAPITAL PROJECT FUNDS
Capital Projects Funds are used to account for the acquisition and
construction of major capital facilities.
Community Redevelopment Agency - To account for the acquisition or
construction of major capital facilities for community redevelopment in the
defined Community Redevelopment Area.
Public Safety - To account for the acquisition or construction of major
capital facilities that support the City of Miami's Police and Fire operations.
Street and Sidewalks - To account for expenditures made for street,
sidewalks, and other traffic related projects.
Sanitary Sewers - To account for expenditures for the construction of
sanitary sewers.
Storm Sewers - To account for expenditures for the construction of storm
sewers.
Solid Waste - To account for the acquisition of equipment or facility
maintenance associated with the collection and removal of solid waste.
Public Facilities - To account for the acquisition or construction of major
capital facilities for public use such as marinas and stadiums.
Parks and Recreation - To account for the acquisition, rehabilitation, or
construction of major capital facilities for cultural and recreational activities
such parks, elderly and youth day care centers.
Disaster Recovery - To account for revenue received from the Federal
Emergency Management Agency, insurance and other agencies as
reimbursements for citywide disasters in the areas of debris removal,
roads and bridges, buildings and equipment, parks, marinas, stadiums and
other measures of relief.
70
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71
City of Miami, Florida
Combining Balance Sheet
Other Governmental Funds
September 30, 2003
Special Revenue Funds
Economic
Development
Convention & Planning Fire Rescue
Omni CRA SEPOW CRA Center Services Services
Assets
Cash, Cash Equivalents and Investments $ 1,517,572 $ 4,123,713 $ 429,363 $ 4,826,740 $ 6,231,169
Restricted Cash, Cash Equivalents and Investments - - 449,997 - -
Receivables
(Net of Allowances for Uncollectibles):
Accounts - 41,600 - 23,388 61
Taxes - - - - -
Due From Other Governments 50,000 - - - 460,420
Accrued Interest 21,659 43,654 - 17,505 11,172
Prepaid and Other Assets - - - - -
Total Assets $ 1,589,231 $ 4,208,967 $ 879,360 $ 4,867,633 $ 6,702,822
Liabilities and Fund Balances
Liabilities:
Accounts Payable and Accrued Liabilities $ 67,861 $ 1,159,755 $ 41,675 $ 84,820 $ 246,989
Accrued Principal - - - - -
Due To Other Funds - - - - -
Due To Other Governments - 50,000 - - -
Due To Component Units - - - - -
Deferred Revenue - 554,148 - - 753,718
Deposits - - - 361,677 -
Total Liabilities 67,861 1,763,903 41,675 446,497 1,000,707
Fund Balances:
Reserved for:
Encumbrances 989,500 1,747,050 5,658 294,294 414,288
Debt Service - - - - -
Law Enforcement - - - - -
Prepaid Items - - - - -
Unreserved, Reported in:
Special Revenue Funds 531,870 698,014 832,027 4,126,842 5,287,827
Capital Projects Funds - - - - -
Total Fund Balances 1,521,370 2,445,064 837,685 4,421,136 5,702,115
Total Liabilities and Fund Balances $ 1,589,231 $ 4,208,967 $ 879,360 $ 4,867,633 $ 6,702,822
72
Special Revenue Funds
Parks & Law Local
Net Recreation Police Enforcement Public Works City Clerk Option
Offfices Services Services Trust Fund Services Services Gas Tax
$ 187,501 $ 1,955,946 $ 6,231,196 $ 4,715,851 $ 1,331,622 $ 146,181 $ 1,252,546
- 17,778 189,392 - - -
- 52,654 247,303 - - 632,082
29 3,809 18,102 55,884 10,150 - -
- 4,101 - - - - -
$ 187,530 $ 2,034,288 $ 6,685,993 $ 4,771,735 $ 1,341,772 S 146,181 $ 1,884,628
$ 183,422 $ 110,288 $ 393,330 $ 216,892 $ $ 3,815 $
- 1,336 - - -
889 - - 112,413 - -
184,311 111,624 393,330 329,305 - 3,815
11,451 280,058 1,3 63,251 516,096
- 3,926,334
4,101 -
(8,232) 1,638,505 4,929,412
296
1,341, 772 142,070 1,884,628
3,219 1,922,664 6,292,663 4,442,430 1,341,772 142,366 1,884,628
$ 187,530 $ 2,034,288 $ 6,685,993 $ 4,771,735 $ 1,341,772 $ 146,181 $ 1,884,628
(continued)
City of Miami, Florida
Combining Balance Sheet
Other Governmental Funds
September 30, 2003
Special Revenue Funds
Department Gusman
Stormwater Improvement Transportation and
Utility Initiatives & Transit Olympia
Assets
Cash and Cash Equivalents $ 651,357 $ 3,635,894 $ 4,595,019 $ 344,983
Restricted Cash, Cash Equivalents and Investments - - - -
Receivables
(Net of Allowances for Uncollectibles):
Accounts - - - 883,902
Taxes - - - -
Due From Other Governments 1,075,350 - - -
Accrued Interest - - - -
Prepaid and Other Assets - - - 21,165
Total Assets $ 1,726,707 $ 3,635,894 $ 4,595,019 $ 1,250,050
Liabilities and Fund Balances
Liabilities:
Accounts Payable and Accrued Liabilities $ - $ 299,838 $ 3,820 $ 455,138
Accrued Principal - - - -
Due To Other Funds - - - -
Due to Other Governments - - - 132,917
Due To Component Units - - - 888,855
Deposits - - - -
Deferred Revenue - - - 109,949
Total Liabilities - 299,838 3,820 1,586,859
Fund Balances:
Reserved for:
Encumbrances - 394,098 - -
Debt Service - - - -
Law Enforcement - - - -
Prepaid Items - - - 21,165
Unreserved, Reported in:
Special Revenue Funds 1,726,707 2,941,958 4,591,199 (357,974)
Capital Projects Funds - - - -
Total Fund Balances 1,726,707 3,336,056 4,591,199 (336,809)
Total Liabilities and Fund Balances $ 1,726,707 $ 3,635,894 $ 4,595,019 $ 1,250,050
Debt Service Funds Capital Projects Funds
General Other Special CRA Community
Obligation Obligation Other Special Redevelopment
Bonds Bonds Obligation Agency
Public Safety
$ $ 1,353,936 $ 137,177 $ 2,630,931 $ 15,409,499
4,362,730 11,561,942 827,826
1,095,578 -
22,615
86,484
$ 5,458,308 $ 12,915,878 $ 965,003 $ 2,653,546 $ 15,495,983
$ 3,408 $
3,149,351
894,683
4,047,442
3
$ $ $ 241,940
236,749
1,356 15,042
1,356 493,731
1,832,364
1,410,863 12,915,878 965,003 - -
2,652,190 13,169,888
1,410,866 12,915,878 965,003 2,652,190 15,002,252
$ 5,458,308 $ 12,915,878 $ 965,003 $ 2,653,546 $ 15,495,983
(continued)
City of Miami, Florida
Combining Balance Sheet
Other Governmental Funds
September 30, 2003
Capital Projects Funds
Street & Sanitary Storm Solid Public
Sidewalks Sewers Sewers Waste Facilities
Assets
Cash and Cash Equivalents $ 46,940,172 $ 25,284,056 $ 28,911,776 $ 2,580,232 $ 22,398,622
Restricted Cash, Cash Equivalents and Investments - - - - -
Receivables
(Net of Allowances for Uncollectibles):
Accounts 10 - - - 127,497
Taxes - - - - -
Due From Other Governments - - - - 229,503
Accrued Interest 222,172 142,560 101,168 - 135,351
Prepaid and Other Assets - - - - -
Total Assets $ 47,162,354 $ 25,426,616 $ 29,012,944 $ 2,580,232 $ 22,890,973
Liabilities and Fund Balances
Liabilities:
Accounts Payable and Accrued Liabilities $ 351,945 $ 134,180 $ 419,548 $ 9,719 $ 737,512
Accrued Principal - - - - -
Due To Other Funds - - - - -
Due To Other Governments - 12,000 76,190 - -
Due To Component Units - - - - -
Deposits - - - - -
Deferred Revenue - - - - -
Total Liabilities 351,945 146,180 495,738 9,719 737,512
Fund Balances:
Reserved for:
Encumbrances 5,298,419 270,292 1,452,080 133,616 3,312,709
Debt Service - - - - -
Law Enforcement - - - - -
Prepaid Items
Unreserved, Reported in:
Special Revenue Funds - - - - -
Capital Projects Funds 41,511,990 25,010,144 27,065,126 2,436,897 18,840,752
Total Fund Balances 46,810,409 25,280,436 28,517,206 2,570,513 22,153,461
Total Liabilities and Fund Balances $ 47,162,354 $ 25,426,616 $ 29,012,944 $ 2,580,232 $ 22,890,973
76
Total
Other
Parks & Disaster Governmental
Recreation Recovery Funds
$ 39,027,246 $ 1,233,941 $ 228,084,241
251,866 - 17,454,361
1,283,628
- - 1,095,578
1,087,021 3,834,333
297,992 - 1,190,306
51,960 - 77,226
$ 40,716,085 $ 1,233,941 $ 253,019,673
$ 650,018 $ 43,055 $ 5,858,968
- - 3,149,351
- - 507,856
- 888,855
2,203,885
- - 601,326
650,018 43,055 13,210,241
3,377,159 2,865,324 24,558,006
- - 15,291,744
- - 3,926,334
51,960 - 77,226
- - 30,306,625
36,636,948 (1,674,438) 165,649,497
40,066,067 1,190,886 239,809,432
$ 40,716,085 $ 1,233,941 $ 253,019,673
77
City of Miami, Florida
Combining Statement of Revenue, Expenditures, and Changes in Fund Balances
Other Governmental Funds
For The Year Ended September 30, 2003
Special Revenue Funds
Economic
Development
Convention & Planning Fire Rescue
Omni CRA SEPOW CRA Center Services Services
Revenues
Property Taxes $ 3,358,520 $ 2,557,955 $ $ $
Franchise Fees and Other Taxes - -
Fines and Forfeitures - -
Intergovernmental Revenues 479,924 1,124,422 - 1,119,682
Charges for Services - 57,150 3,605,262 469,041 4,287,527
Interest 74,327 129,414 31,566 46,145 36,461
Impact Fees - - -
Other 49,291 409,255 2,500
Total Revenues 3,432,847 3,273,734 5,170,505 515,186 5,446,170
Expenditures
Current Operating:
General Government
Planning and Development
Community Redevelopment Areas
Public Safety
Public Facilities
Parks and Recreation
Debt Service:
Principal
Interest and Other Charges
Capital Outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
1,576,917
2,915,734 4,019,654 -
2,693,475
1,396,041
2,915,734 4,019,654 2,693,475 1,576,917 1,396,041
517,113 (745,920) 2,477,030 (1,061,731) 4,050,129
Other Financing Sources (Uses)
Transfers From Other Funds 556,541 1,584,059 581,245 109,022
Transfers To Other Funds (55,290) (4,039,274) - (422)
Funded Debt Issuance - -
Payments To Escrow Agent
Total Other Financing Sources (Uses) 501,251 (2,455,215) 581,245 108,600
Net Changes in Fund Balances 517,113 (244,669) 21,815 (480,486) 4,158,729
Fund Balances - Beginning 1,004,257 2,689,733 815,870 4,901,622 1,543,386
Fund Balances - Ending $ 1,521,370 $ 2,445,064 $ 837,685 $ 4,421,136 $ 5,702,115
Special Revenue Funds
Parks & Law Local
Net Recreation Police Enforcement Public Works City Clerk Option
Offices Services Services Trust Fund Services Services Gas Tax
1,643,229 3,675,406
18,333 57,441
41 14,954 48,439
1,122,127
3,130
157,234
45,572
26,686
170 70,869
1,218,879
104,696 -
211 1,676,516 3,781,286 1,282,491 143,127 104,696 1,218,879
5,399,122 120,849
2,392,563
4,875,973 4,705,182
5,399,122 2,392,563 4,875,973 4,705,182 120,849
(5,398,911) (716,047) (1,094,687) (3,422,691) 143,127 (16,153) 1,218,879
5,398,911 869,308 1,025,431 -
(125,000) (388,074)
5,398,911 869,308 900,431 (388,074)
153,261 (194,256) (3,810,765) 143,127 (16,153) 1,218,879
3,219 1,769,403 6,486,919 8,253,195 1,198,645 158,519 665,749
$ 3,219 $ 1,922,664 $ 6,292,663 $ 4,442,430 $ 1,341,772 $ 142,366 $ 1,884,628
(continued)
City of Miami, Florida
Combining Statement of Revenue, Expenditures, and Changes in Fund Balances
Other Governmental Funds
For The Year Ended September 30, 2003
Revenues
Property Taxes
Franchise Fees and Other Taxes
Fines and Forfeitures
Intergovernmental Revenues
Charges for Services
Interest
Impact Fees
Other
Total Revenues
Special Revenue Funds
Department Gusman
Stormwater Improvement Transportation and
Utility Initiatives & Transit Olympia
1,115,892
1,115,892
4,595,019 1,653,785
492,552
36,209
4,595,019 2,182,546
Expenditures
Current Operating:
General Government 722,498 3,820 2,568,359
Planning and Development
Community Redevelopment Areas
Public Safety
Public Facilities
Parks and Recreation
Debt Service:
Principal
Interest and Other Charges
Capital Outlay
Total Expenditures 722,498 3,820 2,568,359
Excess (Deficiency) of Revenues
Over (Under) Expenditures 1,115,892 (722,498) 4,591,199 (385,813)
Other Financing Sources (Uses)
Transfers From Other Funds 4,058,554 176,400
Transfers To Other Funds -
Proceeds Received From Refunded Debt
Payments To Escrow Agent
Total Other Financing Sources (Uses) 4,058,554 176,400
Net Changes in Fund Balances 1,115,892 3,336,056 4,591,199 (209,413)
Fund Balances - Beginning 610,815 (127,396)
FundBalances- Ending $ 1,726,707 $ 3,336,056 $ 4,591,199 $ (336,809)
Debt Service Funds Capital Projects Funds
General Other Special CRA Community
Obligation Obligation Other Special Redevelopment
Bonds Bonds Obligation Agency
$ 19,755,994 $
300,000
Public Safety
43,349 68,178 2,611 59,468 296,137
160,000 41,400
19,799,343 228,178 302,611 59,468 337,537
12,620,000 9,311,400 125,000
10,413,061 7,094,426 326,742
23,033,061 16,405, 826
4,294,039
451,742 4,294,039
(3,233,718) (16,177,648) (149,131) 59,468 (3,956,502)
17,049,908
(1,583,828)
18,680,000 28,390,000
(18,202,593) (28,390,000)
55,290
4,371,139
(4,451,321)
477,407 15,466,080 55,290 (80,182)
(2,756,311) (711,568) (93,841) 59,468 (4,036,684)
4,167,177 13,627,446 1,058,844 2,592,722 19,038,936
$ 1,410,866 $ 12,915,878 $ 965,003 $ 2,652,190 $ 15,002,252
(continued)
City of Miami, Florida
Combining Statement of Revenue, Expenditures, and Changes in Fund Balances
Other Governmental Funds
For The Year Ended September 30, 2003
Capital Projects Funds
Street & Sanitary Storm Solid Public
Sidewalks Sewers Sewers Waste Facilities
Revenues
Property Taxes $
Franchise Fees and Other Taxes
Fines and Forfeitures
Intergovernmental Revenues 10
Charges for Services
Interest 740,018
Impact Fees 1,016,942
Other -
Total Revenues 1,756,970
Expenditures
Current Operating:
General Government
Planning and Development
Community Redevelopment Areas
Public Safety
Public Facilities
Parks and Recreation
Debt Service:
Principal
Interest and Other Charges
Capital Outlay
Total Expenditures
Excess (Deficiency) of Revenues
Over (Under) Expenditures
$ $ $
367,223
471,546 360,480 93,210 470,529
66,574 2,092,309
471,546 427,054 93,210 2,930,061
3,288,732 356,214 3,809,560 5,045,759 3,733,474
3,288,732 356,214 3,809,560 5,045,759 3,733,474
(1,531,762) 115,332 (3,382,506) (4,952,549) (803,413)
Other Financing Sources (Uses)
Transfers From Other Funds 10,496,844 939,747 5,711,508 7,023,671 2,679,504
Transfers To Other Funds (4,178,926) (988,531) (2,912,365) (1,804,314) (2,777,801)
Proceeds Received From Refunded Debt - - -
Payments To Escrow Agent
Total Other Financing Sources (Uses) 6,317,918 (48,784) 2,799,143 5,219,357 (98,297)
Net Changes in Fund Balances 4,786,156 66,548 (583,363) 266,808 (901,710)
Fund Balances - Beginning 42,024,253 25,213,888 29,100,569 2,303,705 23,055,171
Fund Balances - Ending $ 46,810,409 $ 25,280,436 $ 28,517,206 $ 2,570,513 $ 22,153,461
Capital Projects Funds
Total
Other
Parks & Disaster Governmental
Recreation Recovery Funds
4,876,068
1,021,861
5,897,929
$ $ 25,672,469
1,115,892
1,122,127
21,099,219
9,095,132
4,192,654
1,016,942
1,732,523 4,661,100
1,732,523 67,975,535
8,814,648
1,576,917
6,935,388
10,977,196
2,693,475
2,392,563
22,056,400
17,834,229
6,270,715 1,480,407 28,278,900
6,270,715 1,480,407 101,5 59,716
(372,786) 252,116 (33,584,181)
8,084,568 372,691 71,144,341
(6,556,816) - (29,861,962)
47,070,000
(46,592,593)
1,527,752 372,691 41,759,786
1,154,966 624,807 8,175,605
38,911,101 566,079 231,633,827
$ 40,066,067 $ 1,190,886 $ 239,809,432
83
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84
FIDUCIARY FUNDS
Fiduciary Funds are used to account for assets held by the City in a trustee
capacity.
FIDUCIARY FUNDS
General Employees' and Sanitation Employees' (GESE) and
Firefighters' and Police Officers' (FIPO) — Both funds are used to
account for the accumulation of resources to be used for retirement
benefits to City employees. Resources are contributed by employees at
rates fixed by law and by the City at amounts determined by annual
actuarial valuations.
City of Miami Elected Officers' Retirement Trust (EORT) — Funds
are used to account for the accumulation of resources to be used for
retirement benefits to elected officials. Resources are contributed by the
City in amounts determined by annual actuarial valuations.
85
Assets
Cash and Short -Term Investments
Accounts Receivable
Capital Assets
City of Miami, Florida
Combining Statement of Fiduciary Net Assets
Fiduciary Funds
As of September 30, 2003
Pension Trust Funds Totals
Elected Officers' Pension
Firefighter and General and Retirement Trust
Police (FIPO) Sanitation (GESE) (EORT) Funds
$ 26,545,908 $ 308,533 $
6,242,736 7,846,366
2,384,445 1,447,265
175 $ 26,854,616
- 14,089,102
- 3,831,710
35,173,089 9,602,164 175 44,775,428
Investments, at fair value
U.S Government Obligations 169,816,711 73,844,446 1,847,383 245,508,540
Corporate Bonds 157,341,344 71,037,296 - 228,378,640
Corporate Stocks 644,018,864 328,035,704 - 972,054,568
Money Market Funds and Commerical Paper 6,871,394 18,530,006 - 25,401,400
Mutual Funds 42,893,957 - - 42,893,957
Real Estate - 31,300,235 - 31,300,235
Total Investments 1,020,942,270 522,747,687 1,847,383 1,545,537,340
Securities Lending Collateral
Total Assets
Liabilities
Obligations Under Security Lending
Accounts Payable
Accrued Liabilities
Payable for Securities Purchased
Total Liabilities
Net Assets
Held in Trust for Pension Benefits
and Other Purposes
96,666,334 - - 96,666,334
1,152,781,693 532,349,851 1,847,558 1,686,979,102
96,666,334
405,772
6,871,394
9,217,196
113,160,696
- - 96,666,334
897,162 - 1,302,934
- - 6,871,394
14,201,438 - 23,418,634
15,098,600 - 128,259,296
$ 1,039,620,997 $ 517,251,251 $ 1,847,558 $ 1,558,719,806
86
City of Miami, Florida
Combining Statement of Changes in Fiduciary Net Assets
Fiduciary Funds
For the Year Ended September 30, 2003
Pension Trust Funds Totals
Elected Officers' Pension
Firefighter and General and Retirement Trust
Police (FIPO) Sanitation (GESE) (EORT) Funds
Additions
Contributions:
Employer $ 18,582,646 $ 3,985,928 $ 265,287 $ 22,833,861
Plan Members 7,193,936 7,642,024 - 14,835,960
Total Contributions 25,776,582 11,627,952 265,287 37,669,821
Investment Earnings:
Net Decrease in Fair
Value of Investments 116,332,856 67,262,262 - 183,595,118
Interest 21,045,010 7,887,954 41,736 28,974,700
Dividends 7,880,058 4,634,807 - 12,514,865
Rental and Other Income, net 653,272 1,917,256 - 2,570,528
Total Investment Earnings 145,911,196 81,702,279 41,736 227,655,211
Less Investment Expenses
Investment Expenses 3,470,652 2,073,351 13,250 5,557,253
Net Investment Income 142,440,544 79,628,928 28,486 222,097,958
Total Additions 168,217,126 91,256,880 293,773 259,767,779
Deductions
Benefits 46,083,206 38,965,891 152,256 85,201,353
Refunds Upon Resignation, Death, etc. 439,031 1,147,196 - 1,586,227
Distribution to Retirees 9,332,318 - - 9,332,318
Administrative and Other Expenses 42,725 1,884,961 - 1,927,686
Total Deductions 55,897,280 41,998,048 152,256 98,047,584
Change in Net Assets 112,319,846 49,258,832 141,517 161,720,195
Net Assets - Beginning of Year 927,301,151 467,992,419 1,706,041 1,396,999,611
Net Assets - End of Year $ 1,039,620,997 $ 517,251,251 $ 1,847,558 $ 1,558,719,806
87
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SUPPLEMENTARY INFORMATION
Supplemantary information is presented to provide
greater detail than reported in the preceding financial
statements. This information, in many cases, has been
spread throughout the report and is brought together
here for greater clarity. Financial schedules are not
necessary for fair presentation, in order to be in
conformity with accounting principles generally
accepted in the United States of America.
89
City of Miami, Florida
Budgetary Comparison Schedule
Omni CRA
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Property Taxes $ 3,302,369 $ 3,302,369 $
Interest 24,600 24,600
Amounts Available for Appropriation 3,326,969 3,326,969
Charges to Appropriations (outflows):
Community Redevelopment Areas
Total Charges to Appropriations
3,326,969 3,326,969
3,326,969 3,326,969
3,358,520 $ 56,151
74,327 49,727
3,432,847 105,878
2,915,734 411,235
2,915,734 411,235
Excess (Deficiency) of Resources Over
Charges to Appropriations 517,113 517,113
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 517,113 $ 517,113
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 3,432,847
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 3,432,847
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 2,915,734
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 2,915,734
90
City of Miami, Florida
Budgetary Comparison Schedule
SEOPW CRA
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Property Taxes $ 2,602,413 $ 2,602,413 $ 2,557,955 $ (44,458)
Intergovernmental Revenues - 479,924 479,924
Charges for Services - 57,150 57,150
Interest 67,300 67,300 129,414 62,114
Other - - 3,046,604 3,046,604
Transfer from Other Funds 1,682,484 1,682,484 556,541 (1,125,943)
Amounts Available for Appropriation 4,352,197 4,352,197 6,827,588 2,475,391
Charges to Appropriations (outflows):
Community Redevelopment Areas
Transfer to Other Funds
Total Charges to Appropriations
3,809,025 6,806,338
543,172 543,172
4,352,197 7,349,510
4,019,654 2,786,684
55,290 487,882
4,074,944 3,274,566
Excess (Deficiency) of Resources Over
Charges to Appropriations (2,997,313) 2,752,644 5,749,957
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations
2,997,313 - (2,997,313)
$ $ $ 2,752,644 $ 2,752,644
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 6,827,588
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (2,997,313)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (556,541)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 3,273,734
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 4,074,944
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (55,290)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 4,019,654
91
City of Miami, Florida
Budgetary Comparison Schedule
Convention Center
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 1,105,509 $ 1,105,510 $ 1,124,422 $ 18,912
Charges for Services 3,968,724 4,006,392 3,605,262 (401,130)
Interest 100,000 100,000 31,566 (68,434)
Other 303,121 303,121 409,255 106,134
Transfer from Other Funds 1,584,059 1,584,059 1,584,059 -
Amounts Available for Appropriation 7,061,413 7,099,082 6,754,564 (344,518)
Charges to Appropriations (outflows):
Public Facilities
Transfer to Other Funds
Total Charges to Appropriations
2,692,689 2,730,358
4,368,724 4,368,724
7,061,413 7,099,082
2,696,597 33,761
4,039,274 329,450
6,735,871 363,211
Excess (Deficiency) of Resources Over
Charges to Appropriations 18,693 18,693
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 18,693 $ 18,693
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 6,754,564
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for fmancial reporting purposes. (1,584,059)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 5,170,505
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 6,735,871
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (3,122)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (4,039,274)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 2,693,475
92
City of Miami, Florida
Budgetary Comparison Schedule
Economic Development & Planning Services
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 543,114 $ 543,530 $ - $ (543,530)
Charges for Services 261,886 469,041 207,155
Interest 7,929 - 46,145 46,145
Other 488,364 488,364 2,836,303 2,347,939
Transfer from Other Funds 200,000 1,800,000 581,245 (1,218,755)
Amounts Available for Appropriation 1,239,407 3,093,780 3,932,734 838,954
Charges to Appropriations (outflows):
Planning and Development
Total Charges to Appropriations
1,239,407 5,930,083
1,239,407 5,930,083
2,065,281 3,864,802
2,065,281 3,864,802
Excess (Deficiency) of Resources Over
Charges to Appropriations (2,836,303) 1,867,453 4,703,756
Fund Balance Allocation
2,836,303 (2,836,303)
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 1,867,453 $ 1,867,453
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 3,932,734
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (2,836,303)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (581,245)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 515,186
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 2,065,281
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (488,364)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. -
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 1,576,917
93
City of Miami, Florida
Budgetary Comparison Schedule
Fire Rescue Services
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 42,001 $ 14,632,772 $ 1,119,682 $ (13,513,090)
Charges for Services 4,272,183 4,272,183 4,287,527 15,344
Interest - - 36,461 36,461
Other 174,079 174,079 506,690 332,611
Transfer from Other Funds 303,217 303,217 109,022 (194,195)
Amounts Available for Appropriation 4,791,480 19,382,251 6,059,382 (13,322,869)
Charges to Appropriations (outflows):
Public Safety 1,173,487 15,764,258 1,452,348 14,311,910
Transfer to Other Funds 4,122,183 4,122,183 422 4,121,761
Total Charges to Appropriations 5,295,670 19,886,441 1,452,770 18,433,671
Excess (Deficiency) of Resources Over
Charges to Appropriations
(504,190) (504,190)
Fund Balance Allocation 504,190
Excess (Deficiency) of Resources Over
Charges to Appropriations $
4,606,612 5,110,802
504,190 (504,190)
- $ $
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
4,606,612 $ 4,606,612
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 6,059,382
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (504,190)
Transfers from other funds are inflows of budgetary resources
but are not revenues for fmancial reporting purposes. (109,022)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 5,446,170
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 1,452,770
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (56,307)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (422)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 1,396,041
94
City of Miami, Florida
Budgetary Comparison Schedule
NET Offices
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Interest $ - $ - $
Other 50,406 50,406
Transfer from Other Funds 5,650,880 5,650,880
Amounts Available for Appropriation 5,701,286 5,701,286
41 $ 41
170 (50,236)
5,398,911 (251,969)
5,399,122 (302,164)
Charges to Appropriations (outflows):
General Government 5,701,286 5,701,286 5,449,528 251,758
Total Charges to Appropriations 5,701,286 5,701,286 5,449,528 251,758
Excess (Deficiency) of Resources Over
Charges to Appropriations - - (50,406) (50,406)
Fund Balance Allocation - -
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ - $ (50,406) $ (50,406)
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 5,399,122
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (5,398,911)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 211
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 5,449,528
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (50,406)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. -
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 5,399,122
95
City of Miami, Florida
Budgetary Comparison Schedule
Parks & Recreation Services
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 844,889 $ 1,891,456 $ 1,643,229 $ (248,227)
Charges for Services 97,651 97,651 18,333 (79,318)
Interest - - 14,954 14,954
Other 347,486 347,486 - (347,486)
Transfer from Other Funds - - 869,308 869,308
Amounts Available for Appropriation 1,290,026 2,336,593 2,545,824 209,231
Charges to Appropriations (outflows):
Parks and Recreation
Total Charges to Appropriations
Excess (Deficiency) of Resources Over
Charges to Appropriations
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations
1,290,026 2,336,593
1,290,026 2,336,593
2,740,772 (404,179)
2,740,772 (404,179)
(194,948) (194,948)
$ $ $ (194,948) $ (194,948)
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 2,545,824
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (869,308)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 1,676,516
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 2,740,772
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (348,209)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 2,392,563
96
City of Miami, Florida
Budgetary Comparison Schedule
Police Services
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 12,366,464 $ 16,252,005 $ 3,675,406 $ (12,576,599)
Charges for Services 156,352 156,352 57,441 (98,911)
Interest 50,503 50,503 48,439 (2,064)
Other 312,385 312,385 3,515,308 3,202,923
Transfer from Other Funds 1,028,803 1,028,803 1,025,431 (3,372)
Amounts Available for Appropriation 13,914,507 17,800,048 8,322,025 (9,478,023)
Charges to Appropriations (outflows):
Public Safety
Transfer to Other Funds
Total Charges to Appropriations
Excess (Deficiency) of Resources Over
Charges to Appropriations
17,429,815 21,190,356
5,188,358 16,001,998
125,000 125,000
17,429,815 21,315,356
(3,515,308) (3,515,308)
Fund Balance Allocation 3,515,308
Excess (Deficiency) of Resources Over
5,313,358 16,001,998
3,008,667 6,523,975
3,515,308 (3,515,308)
Charges to Appropriations $ - $ $ 3,008,667 $ 3,008,667
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 8,322,025
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (3,515,308)
Transfers from other funds are inflows of budgetary resources
but are not revenues for fmancial reporting purposes. (1,025,431)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 3,781,286
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 5,313,358
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (312,385)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (125,000)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 4,875,973
97
Resources (inflows):
Fines and Forfeitures
Charges for Services
Interest
Other
Amounts Available for Appropriation
Charges to Appropriations (outflows):
Public Safety
Transfer to Other Funds
Total Charges to Appropriations
Excess (Deficiency) of Resources Over
Charges to Appropriations
City of Miami, Florida
Budgetary Comparison Schedule
Law Enforcement Trust Fund
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
S
8,727,958 8,487,302
33,321 463,074
8,761,279 8,950,376
$ 1,122,127 $ 1,122,127
3,130 3,130
157,234 157,234
8,950,376 8,950,376
10,232,867 10,232,867
5,402,374 3,084,928
388,074 75,000
5,790,448 3,159,928
(8,761,279) (8,950,376) 4,442,419 13,392,795
Fund Balance Allocation 8,761,279 8,950,376 (8,950,376)
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ - $ 4,442,419 $ 4,442,419
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 10,232,867
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (8,950,376)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 1,282,491
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 5,790,448
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. (697,192)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (388,074)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 4,705,182
98
Resources (inflows):
Intergovernmental Revenues
Interest
Other
Amounts Available for Appropriation
Charges to Appropriations (outflows):
Public Works
Total Charges to Appropriations
City of Miami, Florida
Budgetary Comparison Schedule
Public Works Services
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
$ $ 45,572 $ 45,572
26,686 26,686
1,159,837 1,159,837
1,232,095 1,232,095
1,088,968 1,088,968 1,088,968
1,088,968 1,088,968 1,088,968
Excess (Deficiency) of Resources Over
Charges to Appropriations (1,088,968) (1,088,968) 1,232,095 2,321,063
Fund Balance Allocation 1,088,968 1,088,968 (1,088,968)
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 1,232,095 $ 1,232,095
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 1,232,095
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (1,088,968)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 143,127
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule.
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds.
99
City of Miami, Florida
Budgetary Comparison Schedule
City Clerk Services
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Charges for Services $ 191,013 $ 191,013 $ 104,696 $ (86,317)
Other - - 20,409 20,409
Amounts Available for Appropriation 191,013 191,013 125,105 (65,908)
Charges to Appropriations (outflows):
General Government
Total Charges to Appropriations
Excess (Deficiency) of Resources Over
191,013 211,422
191,013 211,422
120,849 90,573
120,849 90,573
Charges to Appropriations - (20,409) 4,256 24,665
Fund Balance Allocation - 20,409 (20,409)
Excess (Deficiency) of Resources Over
Charges to Appropriations $ - $ - $ 4,256 $ 4,256
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 125,105
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (20,409)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 104,696
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 120,849
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 120,849
100
City of Miami, Florida
Budgetary Comparison Schedule
Local Option Gas Tax
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ - $ $ 1,218,879 $ 1,218,879
Amounts Available for Appropriation 1,218,879 1,218,879
Excess (Deficiency) of Resources Over
Charges to Appropriations 1,218,879 1,218,879
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 1,218,879 $ 1,218,879
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 1,218,879
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 1,218,879
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule.
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds.
101
Resources (inflows):
Franchise Fees and Other Taxes
Amounts Available for Appropriation
City of Miami, Florida
Budgetary Comparison Schedule
Stormwater Utility Fund
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
1,115,892 $ 1,115,892
1,115,892 1,115,892
Excess (Deficiency) of Resources Over
Charges to Appropriations 1,115,892 1,115,892
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 1,115,892 $ 1,115,892
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 1,115,892
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 1,115,892
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule.
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds.
102
Resources (inflows):
Transfer from Other Funds
Amounts Available for Appropriation
Charges to Appropriations (outflows):
General Govemment
Transfer to Other Funds
Total Charges to Appropriations
City of Miami, Florida
Budgetary Comparison Schedule
Department Improvement Initiatives
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
$ 4,261,213 $
4,261,213
3,767,388
4,058,554 $ (202,659)
4,058,554 (202,659)
722,498 3,044,890
493,825 - 493,825
4,261,213
722,498 3,538,715
Excess (Deficiency) of Resources Over
Charges to Appropriations - 3,336,056 3,336,056
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 3,336,056 $ 3,336,056
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 4,058,554
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (4,058,554)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule.
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds.
722,498
722,498
103
Resources (inflows):
Intergovernmental Revenues
Amounts Available for Appropriation
Charges to Appropriations (outflows):
General Govemment
Total Charges to Appropriations
City of Miami, Florida
Budgetary Comparison Schedule
Transportation & Transit
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
$
$ $ 4,595,019 $ 4,595,019
4,595,019 4,595,019
3,820 (3,820)
3,820 (3,820)
Excess (Deficiency) of Resources Over
Charges to Appropriations 4,591,199 4,591,199
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 4,591,199 $ 4,591,199
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 4,595,019
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 4,595,019
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 3,820
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 3,820
104
City of Miami, Florida
Budgetary Comparison Schedule
Gusman & Olympia
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ - $ - $ 1,653,785 $ 1,653,785
Charges for Services 651,111 651,111 492,552 (158,559)
Other - - 36,209 36,209
Transfer from Other Funds 176,400 176,400 176,400 -
Amounts Available for Appropriation 827,511 827,511 2,358,946 1,531,435
Charges to Appropriations (outflows):
General Government 827,511 827,511 2,568,359 (1,740,848)
Total Charges to Appropriations 827,511 827,511 2,568,359 (1,740,848)
Excess (Deficiency) of Resources Over
Charges to Appropriations - - (209,413) (209,413)
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ (209,413) $ (209,413)
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 2,358,946
Differences - budget to GAAP:
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (176,400)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 2,182,546
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 2,568,359
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 2,568,359
105
Resources (inflows):
Property Taxes
Interest
Other
Proceeds Received from Refunded Debt
Amounts Available for Appropriation
City of Miami, Florida
Budgetary Comparison Schedule
General Obligation Bonds
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
$ 19,819,228
$ 19,819,228
19,819,228 19,819,228
19,755,994 $ (63,234)
43,349 43,349
2,798,909 2,798,909
18,680,000 18,680,000
41,278,252 21,459,024
Charges to Appropriations (outflows):
Debt Service:
Principal 12,516,450 12,516,450 12,620,000 (103,550)
Interest and Other Charges 10,101,687 10,101,687 10,413,061 (311,374)
Payments to Escrow Agent - - 18,202,593 (18,202,593)
Total Charges to Appropriations 22,618,137 22,618,137 41,235,654 (414,924)
Excess (Deficiency) of Resources Over
Charges to Appropriations (2,798,909) (2,798,909) 42,598 21,044,100
Fund Balance Allocation 2,798,909 2,798,909 - (2,798,909)
Excess (Deficiency) of Resources Over
Charges to Appropriations $ $ $ 42,598 $ 18,245,191
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 41,278,252
Differences - budget to GAAP:
Loan proceeds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (18,680,000)
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes. (2,798,909)
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 19,799,343
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 41,235,654
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. -
Payments to escrow agents are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (18,202,593)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. -
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 23,033,061
106
City of Miami, Florida
Budgetary Comparison Schedule
Other Special Obligation Bonds
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Interest
Other 1,066,078 1,226,078
Transfer from Other Funds 17,172,782 17,172,782
Proceeds Received from Refunded Debt - -
Amounts Available for Appropriation 18,238,860 18,398,860
Charges to Appropriations (outflows):
Debt Service:
Principal
Interest and Other Charges
Transfer to Other Funds
Payments to Escrow Agent
Total Charges to Appropriations
9,316,400
8,922,460
9,316,400
9,082,460
18,23 8,860 18,398,860
Excess (Deficiency) of Resources Over
Charges to Appropriations
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $
Explanation of Differences between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
68,178 $ 68,178
160,000 (1,066,078)
17,049,908 (122,874)
28,390,000 28,390,000
45,668,086 27,269,226
9,311,400
7,094,426
1,583,828
28,390,000
5,000
1,988,034
(1,583,828)
(28,390,000)
46,379,654 (27,980,794)
(711,568) (711,568)
$ $
(711,568) $ (711,568)
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 45,668,086
Differences - budget to GAAP:
Loan proceeds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (28,390,000)
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (17,049,908)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 228,178
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 46,379,654
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes. -
Payments to escrow agents are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (28,390,000)
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes. (1,583,828)
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 16,405,826
107
City of Miami, Florida
Budgetary Comparison Schedule
CRA Other Special Obligation Bonds
For The Year Ended September 30, 2003
Variance with
Budgeted Amounts Actual Amounts Final Budget
Original Final (Budgetary Basis) Positive (Negative)
Resources (inflows):
Intergovernmental Revenues $ 302,403 $ 302,403 $ 300,000 $ (2,403)
Interest - - 2,611 2,611
Transfer from Other Funds 57,900 57,900 55,290 (2,610)
Amounts Available for Appropriation 360,303 360,303 357,901 (2,402)
Charges to Appropriations (outflows):
Debt Service:
Principal 125,000 125,000 125,000
Interest and Other Charges 235,303 235,303 326,742 (91,439)
Total Charges to Appropriations 360,303 360,303 451,742 (91,439)
Excess (Deficiency) of Resources Over
Charges to Appropriations - - (93,841) (93,841)
Fund Balance Allocation
Excess (Deficiency) of Resources Over
Charges to Appropriations $ - $ - $ (93,841) $ (93,841)
Explanation of Differences Between Budgetary Inflows and Outflows
and GAAP Revenues and Expenditures
Sources/inflows of resources
Actual amounts (budgetary basis) "available for appropriation" from
the budgetary comparison schedule. $ 357,901
Differences - budget to GAAP:
Loan proceeds are inflows of budgetary resources
but are not revenues for financial reporting purposes.
The fund balance at the beginning of the year is a budgetary
resource but is not a current -year revenue for financial
reporting purposes.
Transfers from other funds are inflows of budgetary resources
but are not revenues for financial reporting purposes. (55,290)
Total revenues as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 302,611
Uses/outflows of resources
Actual amounts (budgetary basis) "total charges to appropriations"
from the budgetary comparison schedule. $ 451,742
Differences - budget to GAAP:
Encumbrances for supplies and equipment ordered but not received is reported
in the year the order is placed for budgetary purposes, but in the year
supplies are received for financial reporting purposes.
Payments to escrow agents are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Transfers to other funds are outflows of budgetary resources
but are not expenditures for financial reporting purposes.
Total expenditures as reported on the Statement of Revenues,
Expenditures, and Changes in Fund Balances - Governmental
Funds. $ 451,742
108
STATISTICAL SECTION
Statistical tables differ from financial statements
because they usually cover more than one fiscal
year and may present nonaccounting data, financial
trends and the fiscal capacity of the governments.
CITY OF MIAMI, FLORIDA
GENERAL GOVERNMENTAL EXPENDITURES AND TRANSFERS BY FUNCTION
LAST TEN FISCAL YEARS (1)
OTHER
CULTURE EXPENDITURES
FISCAL PUBLIC SOLID PUBLIC PUBLIC GENERAL AND OR FINANCING
YEAR SAFETY WASTE FACILITIES IMPROVEMENTS GOVERNMENT RECREATION USES TOTAL
2003 $ 198,541,341 $ 21,091,455 $ 5,173,926 $ 29,500,078 $ 70,335,134 $ 12,594,690 $ 52,614,635 $ 389,851,259
2002 169,452,122 20,569,047 5,071,735 25,740,477 83,117,901 11,092,994 32,551,582 347,595,858
2001 132,844,965 18,798,645 4,547,020 22,176,806 24,592,817 9,358,344 121,693,516 334,012,113
2000 135,173,374 17,875,978 4,379,971 19,139,493 23,025,280 8,746,720 87,779,393 296,120,209
1999 126,287,513 17,730,332 3,819,893 21,068,901 20,509,297 8,221,325 90,639,155 288,276,416
1998 116,894,329 16,755,266 3,556,522 18,973,481 44,984,243 6,994,947 89,206,561 297,365,349
1997 107,127,000 15,115,000 7,337,000 16,027,000 61,743,000 6,770,000 55,395,000 269,514,000
(2) 1996 113,050,000 16,334,000 7,507,000 9,893,000 69,542,000 12,583,000 131,880,000 (3) 360,789,000
1995 145,974,000 8,360,000 - 11,903,000 17,921,000 10,626,000 20,257,000 215,041,000
1994 134,722,000 16,831,000 - 11,046,000 16,846,000 9,636,000 23,262,000 212,343,000
(1) This schedule includes Expenditures of the General Fund only.
(2) Beginning in FY 1996, the City discontinued the use of the Proprietary Funds and the Pension Administration Trust Fund. Accordingly,
the activities of these funds are accounted for in the General Fund.
(3) Other expenditures and financing uses include employee benefits of $35,173,810 and operating transfers out of $22,926,859.
CITY OF MIAMI, FLORIDA
GENERAL FUND EXPENDITURES AND OTHER FINANCING USES BY
FUNCTION
Police & Fire
Solid Waste
Public Facilities
Public Improvements
General Government
Culture
Other
0.00%
5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00% 45.00% 50.00%
% of Total Fiscal Year Budget
■ FY 03 ■ FY 02 ❑ FY 01
109
CITY OF MIAMI, FLORIDA
GENERAL GOVERNMENTAL REVENUES AND TRANSFERS BY SOURCE
LAST TEN FISCAL YEARS (1)
CITY BUSINESS INTER- LICENSES CHARGES OTHER REVENUE
FISCAL PROPERTY & EXCISE GOVERN- AND FOR AND FINANCING
YEAR TAXES TAX (1) MENTAL PERMITS SERVICES SOURCES (2) TOTAL
2003 $ 139,604,223 $ 31,556,387 $ 44,071,524 $ 21,469,973 $ 86,182,827 $ 67,300,808 $ 390,185,742
2002 130,375,831 49,582,101 40,451,667 21,375,993 93,708,913 34,955,363 370,449,868
2001 119,683,851 42,215,651 33,688,246 20,333,532 84,334,277 45,469,115 345,724,672
2000 120,426,167 32,426,893 44,574,354 19,833,395 75,470,338 39,336,967 332,068,114
1999 120,781,649 30,441,973 34,032,189 16,050,883 54,241,929 35,419,431 290,968,054
1998 108,172,648 27,906,840 33,841,573 16,641,532 41,866,305 98,132,190 326,561,088
1997 105,493,000 48,854,000 45,575,000 9,816,000 41,586,000 41,841,000 293,165,000
(3) 1996 101,964,000 52,294,000 33,761,000 5,407,000 39,045,000 118,109,000 350,580,000
1995 99,178,000 44,874,000 28,789,000 4,361,000 5,938,000 55,393,000 238,533,000
1994 97,705,000 43,571,000 32,331,000 4,702,000 5,149,000 27,609,000 211,067,000
(1) This schedule includes Expenditures of the General Fund only.
(2) Transfers form other funds representing public utilities service taxes are presented in this schedule as business and excise tax revenues,
rather than as other financing sources, to more clearly depict sources of revenues.
(3) Beginning in FY 1996, the City discontinued the use of the Proprietary Funds and the Pension Administration Trust Fund. Accordingly,
the activities of these funds are accounted for in the General Fund.
CITY OF MIAMI, FLORIDA
GENERAL FUND REVENUES AND OTHER FINANCING SOURCES BY FUNCTION
Property Taxes
Business & Excise Tax
Inter -Governmental
Licenses & Permits
Charges for Services
Other
0.00%
0
5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00% 45.00%
of Total Fiscal Year Budget
■ FY 03 ■ FY 02 ❑ FY 01
110
FISCAL
YEAR
CITY OF MIAMI, FLORIDA
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN YEARS
TOTAL COLLECTION
TAX OF CURRENT
LEVY (1) YEAR'S TAXES
2003 $ 167,490,551 $ 157,339,038
2002 152,339,301 146,185,141
2001 141,425,410 134, 53 5,715
2000 142,932,314 136,028,063
1999 145,913,155 143, 515,000
1998 134, 743,241 127,911,000
1997 132, 850,000 128,783,000
1996 128,661,000 120, 519, 000
1995 120, 805,000 115,936,000
1994 125,169,000 113,966,000
FISCAL
YEAR
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
TOTAL TAX
COLLECTIONS
$ 158,814,018
148,629,526
136,827,422
138,283,717
143,485,898
130,407,000
131,773,000
123,464,000
119,643,000
119,720,000
COLLECTIONS
AS % OF
CURRENT LEVY
94.82%
97.56
96.75
96.75
98.34
96.78
99.19
95.96
99.04
95.65
(1) Includes levies for general operations and debt service.
(2) Net of reserves of approximately 5% of total tax levy.
PERCENT OF
LEVY
COLLECTED
93.94%
95.96
95.13
95.17
98.36
94.93
96.94
93.67
95.97
91.05
TOTAL
OUTSTANDING
DELINQUENT
TAXES (2)
$ 2,444,385
2,291,707
2,255,654
3,633,429
2,427,257
1,666,079
4,067,000
1,552,000
2,683,000
1,673,000
COLLECTION
OF DELINQUENT
TAXES
$ 1,474,980
2,444,385
2,291,707
2,255,654
2,522,000
2,496,000
2,990,000
2,945,000
3,707,000
5,754,000
OUTSTANDING
DELINQUENT
TAXES AS % OF
CURRENT LEVY
1.46%
1.50
1.59
2.54
1.66
3.22
0.81
4.04
0.96
4.35
CITY
MILLAGE (1)
10.0680
10.2130
10.2750
10.9000
11.7900
11.5195
11.7055
11.7055
11.7055
11.8121
111
CITY OF MIAMI, FLORIDA
ASSESSED VALUE OF ALL TAXABLE PROPERTY
LAST TEN FISCAL YEARS
FISCAL REAL PERSONAL
YEAR PROPERTY PROPERTY
2003 $ 18,849,243,365 $ 1,804,153,107
2002 16,269, 856,061 1,878,266,085
2001 13,282,693,560 1,657,551,519
2000 12,65 5,367,3 83 1,480,211,283
1999 12,054,3 84,3 69 1,3 34,992,653
1998 11,383,265,849 1,329,476,797
1997 11,03 9,083,007 1,3 23,876,600
1996 10,702,353,3 82 1,301,197,462
1995 10,232,545,197 1,264,806,533
1994 9,991,788,807 1,241,431,753
SOURCE: Miami -Dade County Property Appraiser's Office
TOTAL
$ 20,653,396,472
18,148,122,146
14,940,245,079
14,135,578,666
13,389,377,022
12,712,742,646
12,362,959,607
12,003,550,844
11,497,351,730
11,233,220,560
HOMESTEAD
EXEMPTIONS
$ 1,225,787,898
1,210,235,376
1,168,878,720
1,022,522,356
1,013,367,239
1,015,773,092
1,013,566,813
1,012,060,207
1,007,531,594
1,006,367,133
CITY OF MIAMI, FLORIDA
PROPERTY TAX RATES AND TAX LEVIES
DIRECT AND OVERLAPPING GOVERNMENTS
LAST TEN FISCAL YEARS
TAX RATES (1)
YEAR CITY COUNTY
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
TAX LEVIES
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
10.0680 6.279
10.2130 6.265
10.2750 6.403
10.9000 6.625
11.7900 6.860
11.5195 7.268
11.7055 7.582
11.7055 7.946
11.7055 7.946
11.8121 9.236
$ 195,597,163
172,986,638
141,500,789
142,932,314
145,913,155
134,743,241
132,850,317
128,660,894
122,788,590
120,800,615
$ 121,985,954
106,115,861
88,178,059
86,873,998
84,899,427
85,013,575
86,051,096
87,338,385
83,352,111
94,455,218
SCHOOLS
(1) Property tax rates are based on each $1,000 of net assessed value.
Additional information -
Tax rate limits:
County
Schools
State
Tax assessed - January 1
Taxes levied - November 1
9.252
9.376
9.617
9.744
10.260
10.462
10.366
10.389
10.389
9.923
$ 179,744,235
158,809,626
132,439,230
127,773,621
126,977,860
122,373,695
117,647,806
114,190,596
108,978,741
101,481,067
STATE
0.7355
0.7355
0.738
0.641
0.644
0.747
0.710
0.687
0.687
0.698
$ 14,289,006
12,457,816
10,163,268
8,405,469
7,970,150
8,737,636
8,058,069
7,551,154
7,206,506
7,13 8,344
NET
ASSESSED
VALUE
$ 19,427,608,574
16,937,886,770
13,771,366,359
13,113,056,310
12,376,009,783
11,696,969,554
11,349,392,794
10,991,490,637
10,489,820,136
10,226,853,427
SPECIAL
DISTRICTS
0.486
0.451
0.351
0.321
0.334
$ 9,441,818
7,638,987
4,833,750
4,209,291
4,133,587
Discount allowed:
November -4%
December -3%
January -2%
February -1%
Taxes delinquent - April
TOTAL
26.8205
27.0405
27.3840
28.2310
29.9965
30.3635
30.7275
30.7275
31.6691
31.6023
$ 521,058,176
449,843,886
370,194,693
369,894,180
350,868,147
344,607,294
337,741,000
322,326,000
323,887,000
331,562,000
112
CITY OF MIAMI, FLORIDA
SPECIAL ASSESSMENTS COLLECTIONS AND RECEIVABLES
LAST TEN FISCAL YEARS
FISCAL
YEAR
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
COLLECTIONS
$ 78,222
123,304
171,993
1,077,108
2,432,513
1,859,408
1,477,001
2,374,557
1,810,000
1,308,723
CURRENT
ASSESSMENTS
LIENS
RECEIVABLE
$ 178,946
257,168
380,742
552,735
814,758
877,875
499,371
157,921
139,263
229,315
NOTE: The City of Miami's Special Assessments consist of assessment liens for various capital projects such as sanitary and
storm sewer improvements. The collections shown above are on a modified accrual basis and include interest, prior
year delinquencies and full payoffs. The assessment liens receivables at year-end represents amounts susceptible to
accrual provided that they pertain to liens assessed prior to year-end. Effective in 1991, assessment liens were accounted for
in the municipal use capital projects funds; previously they were recorded in the general obligation debt service fund
CITY OF MIAMI, FLORIDA
RATIO OF NET GENERAL BONDED DEBT TO
NET ASSESSED VALUE AND NET BONDED DEBT PER CAPITA
LAST TEN FISCAL YEARS
NET NET
FISCAL POPULATION ASSESSED HOMESTEAD TAXABLE BONDED PER
YEAR (1) VALUE EXEMPTION VALUATION DEBT RATIO CAPITA
2003 362,470 $20,653,396,472 $ 1,225,787,898 $19,427,608,574 $ 236,549,956 1.22% $ 652.61
2002 362,470 18,148,122,146 1,210,235,376 16,937,886,770 249,711,407 1.50 688.92
2001 362,470 14,940,245,079 1,168,878,720 13,771,366,359 103,824,851 0.62 286.44
2000 365,548 14,135,578,666 1,022,522,356 13,113,056,310 114,914,079 0.88 314.36
1999 365,548 13,389,377,022 1,013,367,239 12,376,009,783 127,927,234 1.03 349.96
1998 365,548 12,712,742,646 1,015,773,092 11,696,969,554 139,360,000 1.19 381.24
1997 365,548 12,362,959,607 1,013,566,813 11,349,392,794 153,629,000 1.35 420.27
1996 383,402 (2) 12,003,550,844 1,012,060,207 10,991,490,637 168,161,000 1.53 438.60
1995 383,402 (2) 11,497,351,730 1,007,531,594 10,489,820,136 180,879,000 1.72 471.77
1994 383,402 (2) 11,233,220,560 1,006,367,133 10,226,853,427 170,368,000 1.67 444.36
(1) Estimates provided by the State of Florida, Division of Population Studies, Bureau of Business and Economic Research, University of Florida.
(2) Based on City of Miami estimate. The 1995 U.S. Bureau of the Census preliminary population count of 365,548 is being challenged by the
City and is expected to be adjusted.
113
CITY OF MIAMI, FLORIDA
RATIO OF ANNUAL DEBT SERVICE EXPENDITURES
FOR GENERAL BONDED DEBT TO TOTAL GENERAL GOVERNMENTAL EXPENDITURES
AND OTHER FINANCING USES
LAST TEN FISCAL YEARS
TOTAL
GENERAL GOVERNMENTAL
EXPENDITURES
GENERAL BONDED & OTHER
FISCAL BOND BOND DEBT SERVICE FINANCING
YEAR PRINCIPAL INTEREST EXPENDITURES USES RATIO
2003 $ 12,620,000 $ 10,827,693 $ 23,447,693 $ 389,851,259 6.01%
2002 11,635,000 6,858,848 18,493,848 347,595,858 5.32
2001 11,530,000 6,274,082 17,804,082 334,012,113 5.65
2000 11,055,000 6,885,334 17,940,334 296,120,209 6.06
1999 12,550,000 7,487,899 20,037,899 288,276,416 6.95
1998 14,249,815 8,328,223 22,578,038 297,365,349 7.59
1997 13,700,000 9,190,000 22,890,000 269,514,000 8.49
1996 12,530,000 10,197,000 22,727,000 360,789,000 6.30
1995 12,355,000 9,576,000 21,931,000 215,041,000 10.20
1994 11,980,000 9,917,000 21,897,000 212,343,000 10.31
CITY OF MIAMI, FLORIDA
SCHEDULE OF LEGAL DEBT MARGIN
SEPTEMBER 30, 2003
Assessed value
less homestead exempt valuation
Net taxable assessed valuation
Debt limitation for bonds
(15% of $19,427,608,574) (1)
Present debt application to debt limitation
General obligation debt
Less amount available in debt service fund
Legal debt margin
(1) Section 58 of the City Charter limits the general obligation bonded debt of the City to 15% of the assessed valuation of all
real and personal property within the City limits as determined by the preceding assessment roll of the City.
$ 236,549,956
$ 20,653,396,472
1,225,787,898
$ 19,427,608,574
$ 2,914,141,286
236,549,956
$ 2.677.591.330
114
CITY OF MIAMI, FLORIDA
CURRENT DEBT RATIOS
SEPTEMBER 30, 2003
FACTORS:
Assessed value (1)
Net taxable valuation
City of Miami debt, net of reserve funds
General obligation
Special obligation (2)
Combined direct debt
$ 20,653,396,472
$ 19,427,608,574
$ 236,549,956
166,707,930 403,257,886
Overlapping debt, net of reserve funds (3)
General obligation $ 242,496,597
Combined overlapping debt $ 645,754,483
Total net direct and net overlapping debt
Population of Miami
Net assessed valuation per capita
Net taxable valuation per capita
DEBT RATIOS:
362,470
56,980
53,598
Net direct general obligation debt as a percentage of taxable assessed valuation 1.22%
Combined net direct and overlapping general obligation debt as a percent of taxable 2.47%
assessed valuation
Net direct general obligation debt per capita $ 652.61
Combined net direct general and special obligation debt per capita $ 1,112.53
Combined net direct and overlapping general obligation debt per capita $ 1,321.62
Combined net direct and overlapping general and special obligation per capita $ 1,781.54
(1) Assessed valuation as of the fmal tax roll from Metropolitan Dade County, using 100% of assessed value as mandated by Florida Law
(2) Special obligation debt includes special obligation and revenue bonds. The revenue generated to pay these bonds and
notes are from sources other than Ad Valorem Taxes.
(3) Based upon the percentage of the County's tax roll valuation comprised of real and personal property situated in the City of
Miami
115
CITY OF MIAMI, FLORIDA
SCHEDULE OF DIRECT AND OVERLAPPING
GENERAL OBLIGATION DEBT
SEPTEMBER 30, 2003
Direct Debt
General obligation indebtness $ 236,549,956
(net of amount available)
Overlapping Debt
Miami -Dade County
Total net debt net of reserves
Percent applicable to the City - 19% (1)
Miami -Dade County School Board (2)
Total net debt net of reserves
Percent applicable to the City - 19% (1)
242,086,726
1,034,211,151
45,996,478
196,500,119
$ 242,496,597
(1) Based upon the percentage of the County tax roll valuation comprised of real and personal property
situated in the City of Miami.
(2) The amounts provided by the school board are as of fiscal year ended June 30, 2003.
116
CITY OF MIAMI, FLORIDA
TEN LARGEST TAX ASSESSMENTS
2003 ASSESSED VALUES
NATURE
OF ASSESSED PERCENT
TAXPAYER ACTIVITY VALUE
1. SRI Miami Ventures, LP Real Estate Investments $ 242,800,000 1.61
2. Teachers Ins & Annuity Assoc of America Real Estate Investments 221,000,000 1.46
3. Florida Power & Light Utility 211,910,572 1.40
4. Prudential Insurance Co. Real Estate Investments 157,700,000 1.04
5. Swire Properities Real Estate Investments 138,667,229 0.92
6. 1111 Brickell Office LLC Real Estate Investments 119,400,000 0.79
7. NOP LLC Real Estate Investments 109,600,000 0.73
8. Biscayne Tower Group Office Building 87,000,000 0.58
9. Bellsouth Utility 85,562,693 0.57
10. Brickell Equities Corp Real Estate Investments 74,200,000 0.49
All others Various 13,665,220,947 90.42
Total $ 15,113.061,441 100.00
CITY OF MIAMI, FLORIDA
BANK DEPOSITS
LAST TEN YEARS
Financial Institutions
Miami -Dade County is second only to New York in the greatest concentration of international and Edge Act Banks in North America with 61 foreign bank
agencies operating in the community. There are 11 Edge Act Banks that are located in Miami -Dade County. These include: HSBC Republic International,
Banco de Bogota International, Bancare International, Banco Latino International, Banco Santander International, Bank of Boston International,
Citibank International, Coutts & Company (U.S.A.) International, Bank of Miami, American Express Bank International and Riggs International Corp.
The Federal Reserve Edge Act Amendment, adopted in 1979, permits banks to open international bank subsidiaries outside their home state.
The Federal Reserve System has established a branch office in Miami -Dade County to assist the Atlanta office with fmancial transactios in the South Florida area.
JUNE 30
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
NUMBER
OF
BANKS TOTAL DEPOSIT
78 56,264,000,000
75 51,297,297,000
72 45,064,000,000
72 40,543,000,000
69 39,633,149,000
67 28,996,024,000 (1)
69 28,229,233,000 (1)
72 26,748,125,000 (1)
68 24,824,611,000 (1)
66 22,463,569,000 (1)
(1) F.D.I.C. was not available. This data was provided by the Florida Bankers Association.
117
CITY OF MIAMI, FLORIDA
BUILDING PERMITS
LAST TEN YEARS
The dollar value of building permits issued in the City of Miami and in unincorporated
Miami -Dade areas since 1994 are as follows:
UNINCORPORATED
YEAR CITY OF MIAMI MIAIVII-DADE COUNTY (1)
2003 $ 727,753,627 $ 1,516,853,000
2002 695,459,545 1,474,037,000
2001 635,696,950 1,461,565,000
2000 677,941,797 1,200,662,000
1999 744,979,437 1,271,087,000
1998 365,719,299 1,122,029,000
1997 339,897,000 969,286,000
1996 473,512,000 1,938,625,000
1995 302,898,000 1,317,936,000
1994 351,654,000 987,370,000
Source: Miami -Dade County Finance Department
CITY OF MIAMI, FLORIDA
DEMOGRAPHIC STATISTICS
'ITY OF MIAMI AND METROPOLITAN MIAMI-DADE COUNTY POPULATION
2000 CENSUS COUNT
YEARS
CITY OF MIAMI-DADE
MIAMI COUNTY
0-4 21,222 145,752
5-9 21,962 157,871
10-14 22,182 160,754
15-19 22,339 154,989
20-24 23,023 144,721
25-34 54,264 337,433
35-44 55,682 361,966
45-54 44,287 282,766
55-59 17,983 109,141
60-64 17,758 97,417
65-74 32,233 162,257
75-84 21,140 99,827
85+ 8,395 38,468
Source: U.S. Bureau of Census
362,470 2,253,362
118
CITY OF MIAMI, FLORIDA
GENERAL STATISTICAL DATA
GEOGRAPHY
The City of Miami encompasses 34 square miles of land and 20
square miles of water and is the County seat of Miami -Dade, which
encompasses 2,000 square miles of Florida's southeastern region.
Miami is situated at the mouth of the Miami River on the western
shore of Biscayne Bay, the main port of entry in Florida.
Miami is the southernmost major city and seaport in the continental
United States. The nearest foreign territory is the Bahamian Island of
Bimini, 50 miles from the Miami coast.
Miami's climate is sub - tropical - marine, charcterized by long
summers with abundant min fall and mild, dry winters. The average
temperature in the summer is 81.4 degrees Fahrenheit and 69.1
degrees Fahrenheit in the winter, with an average annual temperature
of 75.3 degrees.
ECONOMY
The economic base of Greater Miami has diversified in recent years,
shifting from reliance on the tourism industry to a combination of
manufacturing, services industries and international trade. The area's
advantages in terms of climate, geography, low taxes and skilled labor
have combined to make the Miami area a prime relocation area for
major manufacturing firms and international corporate headquarters.
PORT OF MIAMI
The Port of Miami is operated by the Seaport Department of
Miami -Dade County. From 1994 to 2003, the number of passengers
sailing from the Port increased from 2,967,081 to 3,960,614, an
increase of 33%. The Port of Miami is currently the world's most active
port in number of passengers and frequency of sailings. Cargo
movement through the Port has increased by 61% in the last ten years
of operation.
The Port of Miami has almost doubled in size, from 325 acres to 600
acres, through a $250 million expansion program which began in 1980
designed to move 16 million tons of cargo and 4 million cruise
passengers by the year 2004. The additional space is needed to
accommodate the increasing number of shippers, buyers, importers,
exporters, freight forwarders, and cruise passengers who wish to
conduct business through the Port.
A ten year summary of the growth in revenues, passengers, and cargo
handled follows:
TOTAL CARGO
YEAR REVENUES PASSENGERS TONNAGE
2003 $ 83,152,554 3,960,614 9,002,359
2002 80,540,233 3,642,990 8,681,735
2001 76,207,522 3,391,091 8,247,004
2000 72,539,132 3,364,643 7,804,946
1999 64,549,647 3,112,355 6,930,372
1998 67,750,748 3,960,264 7,056,664
1997 60,638,678 3,191,885 6,735,388
1996 48,770,008 3,052,450 5,859,538
1995 45,214,988 2,974,703 5,840,815
1994 46,054,710 2,967,081 5,574,252
SOURCE: Miami -Dade Seaport Department
MIAMI INTERNATIONAL AIRPORT
Miami -Dade County owns and operates six airports in the Miami area.
Miami International Airport ranks second in the nation and ninth in the
world in passenger traffic through an airport. The Airport ranks second in
the nation and fourth in the world in tonnage of domestic and international
cargo movement. In 2003 over 29 million air travelers were serviced by
Miami International Airport, and approximately 3.5 billion pounds of cargo
were handled. Miami International Airport is in the midst of a one billion
dollar expansion planned to service over 45 million passangers by the year
2005.
A ten year summary of the growth of both passengers served and
cargo handled follows:
TOTAL TOTAL CARGO
YEAR PASSENGERS POUNDS
2003 29,532,000 3,550,170,000
2002 29,350,000 3,526,584,000
2001 33,049,000 3,681,872,000
2000 33,743,000 3,598,450,000
1999 34,004,000 3,718,886,000
1998 34,032,000 3,983,304,000
1997 34,376,000 3,868,266,000
1996 33,497,000 3,695,676,000
1995 33,200,000 3,406,734,000
1994 29,475,000 2,836,998,000
119
CITY OF MIAMI, FLORIDA
GROWTH FACTORS RELATIVE
TO MIANH-DADE COUNTY, FLORIDA
ELECTRICITY CUSTOMERS AND SALES
RESIDENTIAL CUSTOMERS
TOTAL KWH CUSTOMERS AVERAGE
YEAR SALES AVERAGE NUMBER NUMBER
2003 26,379,216,033 827,544 111,320
2002 25,514,150,442 809,506 108,708
2001 24,324,685,945 800,858 107,970
2000 23,765,525,000 785,519 105,052
1999 23,447,742,000 772,845 103,870
1998 22,965,296,000 763,749 103,577
1997 22,298,295,000 756,522 102,278
1996 21,631,294,000 749,355 100,979
1995 21,416,207,000 746,887 107,799
1994 21,225,180,000 734,113 105,758
SOURCE: Florida Power & Light
WATER CUSTOMERS AND SALES
NUMBER CONSUMPTION
YEAR WATER METERS (GALLONS)
2003 408,172 99,240,000,000
2002 398,073 96,113,000,000
2001 388,169 91,968,000,000
2000 372,973 99,053,000,000
1999 369,924 97,471,000,000
1998 366,992 97,312,000,000
1997 361,612 98,704,000,000
1996 353,525 98,911,000,000
1995 331,200 99,551,000,000
1994 330,956 100,784,000,000
SOURCE: Miami -Dade County Water & Sewer Department
MOTOR VEHICLE REGISTRATION AND SALES TAX COLLECTION
MOTOR VEHICLE SALES TAX
YEAR REGISTRATION COLLECTIONS
2003 2,008,064 $ 1,774,213,626
2002 1,916,980 1,913,110,256
2001 2,533,220 1,835,007,261
2000 2,420,074 1,791,550,000
1999 2,392,339 1,683,191,000
1998 2,410,644 1,667,778,000
1997 2,418,549 1,588,189,000
1996 2,426,455 1,508,601,000
1995 2,204,356 1,442,623,000
1994 2,274,404 1,307,536,000
SOURCE: State of Florida Department of Revenue
120