2012 Annual Financial Report

Financial Report2012 Year-End

Table of Contents

2012 Overview .....................................................................1

General Fund .....................................................................3-7

Arvada Center ...................................................................8-9

Parks Fund .................................................................... 10-11

Special Revenue Funds .................................................. 12-13

Capital Improvement Fund ........................................... 14-15

Enterprise Funds ............................................................ 16-21

Internal Service Funds ...................................................22-24

Arvada Economic Development Association ...................... 25

City of Arvada Investment Report ................................26-28

1

overview 2012 OVERVIEW

2012 OverviewThe completion of the fourth quarter of 2012 was positive, much like the previous three quarters. Sales tax receipts finished the

year 5.86% higher than 2011 and automobile use tax was 10.7% over 2011 following the nation’s trend of increased automobile

purchases.

The City issued 321 single-family permits compared to 125 in 2011. (See the following graph.)

BUILDING REVENUE AND SINGLE-FAMILY PERMITS

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

$4,500,000

$5,000,000

2007 2008 2009 2010 2011 2012GF Building Revenue $3,220,678 $3,171,672 $4,844,389 $3,882,867 $3,428,420 $4,585,077Single Family (Detached) Permits 113 96 64 151 125 321

Dolla

rs

0

35

70

105

140

175

210

245

280

315

350

2

We see the benefits of increased building activity in the General Fund,

Water and Wastewater Funds. In the General Fund, building use tax,

building permit fees and plan review fees totaled $4.5 million in 2012,

a $1.1 million increase over 2011. Water and Wastewater tap fees also

increased in 2012 and are used for capital improvements in both funds.

The Tax Increment Funds also reported increases in sales and use

tax receipts similar to the General

Fund. The fund balance in these funds

is adequate to fund the two police

substations that are planned in 2013,

while still meeting the reserve goal

of 11%.

The City’s three utilities, Water,

Wastewater and Stormwater, all

ended 2012 on a positive note. City

residents used over 5.764 billion

gallons of water in 2012 compared

to 5.049 billion gallons of water in

2011 due to the exceptionally dry

spring and summer. Total revenues in the Water Fund increased by

$3.6 million over 2011, generated by higher water consumption and

tap fees. In 2012, we also expected that initial payments for the

Denver Water Moffat Water project would be due. This project was

delayed, but we are now expecting that payments will start in 2013

upon approval of necessary permits for this project. The Wastewater

Fund revenues also exceeded 2011 revenues by $1.1 million, resulting

from increased sewer tap fees and sewer charges. Expenditures were

in line with the budget. However, there are some timing issues with

sewer main replacement work for the Gold Line, which we will need

to re-appropriate in 2013 in order to complete the project. The focus

of the Stormwater Fund in 2012 was the Garrison Street Bridge and

channelization projects. We expected to spend $9.8 million in 2012.

At the end of 2012, only $5.5 million was paid, so there will also be

monies that require re-appropriation in 2013. This project is expected

to be completed in the spring of 2013.

2012 was also a good year for the Golf Fund. Revenues are $510,000

higher than 2011. Rounds of play were up 11.5%. The additional

revenues in the Golf Fund helped to fund some needed capital

maintenance items of the courses. The projects to convert the entire

golf cart fleet from gas to electric and to provide a face lift to both the

clubhouse and restaurants at Lake Arbor and West Woods started in

2012 and will be finished by the first quarter of 2013.

The Internal Service Funds that account for the costs of the City’s

insurance, vehicle purchases and maintenance, computer purchases

and maintenance and building maintenance all have healthy funds

balances and are accumulating

monies to replace assets based on

a planned replacement schedule.

Major purchases in 2012 included a

new telephone system, replacement

of some police vehicles with the new

Ford Interceptors, and seal coats

of the parking lots at City Hall, the

Annex and the Arvada Center.

The only dim light in the financial

pictures is the level of interest

earnings. As in the previous two

years, the City’s interest revenues

continue to fall. However, due to the low interest rate environment,

the City will be able to refinance the outstanding Series 2003 Sales

and Use Tax Bonds in the first quarter of 2013. Refinancing these

bonds will enable the City to realize over $500,000 in savings through

decreased debt service payments.

Fitch assigns a “AAA” rating to the 2013 Sales and Use Tax Bonds

based on the City’s strong financial position, characterized by large

reserves, ample liquidity, and resilient revenue sources.

As we close the books for 2012, the story of the City’s finances is a

positive one. We completed the City’s first ten-year financial plan,

emphasizing the strategy of Taking Lasting Care, Building on the Base

and Building for the Future. There are many programs and projects

that are currently underway and planned for the future that will

prepare the City for the upcoming changes with police community

substations, the arrival of the Gold Line, and completion of the

Northwest area of the City. The ten-year plan, along with the City’s

conservative budgeting philosophy, will help to ensure that services to

the citizens are maintained.

Fitch assigns a “AAA” rating to the 2013 Sales and Use Tax Bonds based on the City’s strong

financial position, characterized by large reserves, ample liquidity, and resilient revenue sources.

3

general fund GENERAL FUND

General FundBudget2012

2012 Revised

(10-Year Plan)

2012

Actual

Beginning Fund Balance $23,065,000 $23,065,000 $23,065,000

REVENUES $63,883,931 $66,536,824 $68,301,048

EXPENDITURES

Ongoing $65,700,632 $66,562,219 $65,405,243

One Time

JPPHA 300,000 2,038,333 1,128,333

AEDA 500,000 500,000 500,000

Long Lake Ranch restrooms - 611,000 611,000

Traffic Calming - 250,000 250,000

Supplemental Appropriation - 541,352 541,352

2012 Expenditures $66,500,632 $70,502,904 $68,435,928

Money Dedicated for 2013

JPPHA - - 910,000

Carryovers to 2013 - - 270,903

Gold Line parking - - 2,500,000

Total Expenditures $66,500,632 $70,502,904 $72,116,831

Ending Fund Balance $20,448,299 $19,098,920 $19,249,217

17% of Expenditures 11,305,107 11,985,494 11,985,494

Use of cash to balance

2013-2018 - 7,113,426 7,263,723

General Fund OverviewThe General Fund pays for the City’s basic services. This includes

police, street maintenance, planning, transportation planning,

street light maintenance and costs, building activity and general

administration. In addition, the General Fund also provides for the

following:

• OperationalsupporttotheArvadaCenter

• OperationalsupporttotheParksFund

• GeneralDebtServicepayments

• TransfertotheCapitalImprovementsFundfornew

parks, transportation and other infrastructure projects

The following table provides a comparison of budgeted fund balance,

revenues and expenditures to actual amounts in 2012. We have

included the original 2012 budget adopted in October 2011 and the

2012 revised budget, which was a result of the ten-year financial

planning model that was completed in the third quarter 2012.

4

As the table illustrates, we began the year with a $23,065,000 fund balance and, after completing the ten-year financial

plan, anticipated ending 2012 with a fund balance of $19,098,920.

Expenditures increased due to unfinished projects in the 2011 calendar year. Since appropriations lapse at the end of the

calendar year, there are requests to re-appropriate these monies in the next year to complete the projects. On May 7, 2012

the Council approved the carryover ordinance for projects that needed to be re-appropriated. These amounts are added to

the 2012 budgeted expenditures. In addition, on December 3, 2012, Council approved a supplemental appropriation that

added $541,352 for unexpected expenditures incurred throughout the year.

At the end of 2012, city staff reviewed the 2012 project budgets and determined there were monies in the 2012 budget for

projects that will be completed in 2013 that totaled $1,180,526. The majority of these funds relate to JPPHA ($910,000) and

completion of a small section of the street maintenance project that could not be completed in 2012 ($163,721). In addition,

during the capital improvement planning process, Council set aside $11,500,000 for Gold Line parking requirements.

$9,000,000 was a loan from the Wadsworth corridor monies, $1,500,000 from RTD, and $2,500,000 from the excess fund

balance from 2012. These amounts are shown in the table as “Money Dedicated for 2013” and will be presented for

Council’s approval in the carryover ordinance in April.

Revenue HighlightsThe following section highlights the sources generated to meet the operating expenditures of the General Fund. The City’s

revenue comes from many sources as illustrated in the graph below. Information about sales tax, use tax, property tax and

intergovernmental revenues is detailed in the next few pages.

GENERAL FUND REVENUE

Sales Tax52%

Interest0%

Franchise Fees6%

Court Fines and Fees3%

Building Use Tax & Permits6%

Auto Use Tax7%

Use Tax2%

Property Tax7%

Other17%

5

SALES TAX COLLECTIONS

USE TAX COLLECTIONS

Sales Tax

Use TaxThe City has three prime use tax types: general,

building and automobile. These are taxes paid in

lieu of sales tax on purchases.

Nationally, vehicles sales were up in 2012 and the

City saw the same trend as auto use tax increased

10.7% over 2011 collections. In 2012, the City saw

the largest number of single family permits issued

in the last five years which contributed to strong

building use tax collections. General use tax was a

concern throughout 2012, finishing the year down

about 6.5% from the budget estimates.

Sales tax collections in 2012 exceeded the prior year

collections by 5.8% and also exceed pre recession

sales tax levels.

Grocery chain sales, which are a stable sales tax

resource in the City, grew 10.8% in 2012, due to

the renovation of a large grocery store and the

opening of a new store. We have also seen an

increase in all three categories of fast food, fast

casual and restaurants, showing that people are

spending more money on eating out. General

department stores also showed an increase of

5.47% over 2011. The only area of concern was

the utilities category, which decreased 2.72% from

2011, showing the effects from the warm winter

temperatures.

$-

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

$7,000,000

$8,000,000

$9,000,000

2008 2009 2010 2011 2012

Building Auto General

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

$30,000,000

$35,000,000

$40,000,000

2008 2009 2010 2011 2012$35,945,909 $34,584,747 $34,776,789 $35,852,374 $37,954,667

Property Tax

PROPERTY TAX COLLECTIONS

$-

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

$4,500,000

$5,000,000

2008 2009 2010 2011 2012$4,718,719 $4,770,519 $4,637,622 $4,643,015 $4,500,376

Prop

erty

Tax

Rev

enue

The City’s property tax rate is 4.31 mills per

$100 of valuation. In Colorado, the mill is

placed on the assessed value. Property tax

collections in 2012 were $49,624 less than

budget. While this is a small amount of the

overall City revenue, 7%, it is a very stable

source of revenue for the City.

6

Intergovernmental RevenuesThis category is made up of two revenue

sources, Highway Users Trust Fund (HUTF),

which is the City’s share of State collected

gas tax revenue, and Road and Bridge, which

is the City’s share of property tax collected

by Jefferson County and dedicated to the

maintenance of roads and bridges. Combined

these revenues have averaged a little over $4.5

million in the past three years. In 2012, we

received $4.67 million or about 1% less than our

budget. Both revenue sources were up from 2011

and we think this is a sustainable trend. Costs of

street maintenance do continue to escalate. In

2011, we saw asphalt related items rise 12% .

This trend continues in 2012, with an average of

a 9% increase. As costs continue to rise, added

pressure is put on other revenue sources to help

fill in the increasing shortage.

INTERGOVERNMENTAL REVENUES

All Other Revenue SourcesAs the pie chart of General Fund Revenues illustrates, the remaining revenue sources consist of building permits, utility fees, fees we receive from other funds

for general services, fees and fines and miscellaneous revenues. Investment interest earnings fall under the miscellaneous category and in the past were a

healthy source of revenue. Since the onset of the Great Recession, interest earnings continue to fall and in 2012 generated about $273,000. The last section of

this report reviews the investment portfolio in detail.

Expenditure HighlightsThe largest expenditure in the General Fund is personnel costs which account for 51% of expenditures.

GENERAL FUND EXPENDITURES

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

$4,500,000

$5,000,000

2009 2010 2011 2012

HUTF Jefferson County

Personnel51%

Transfers13%

Contracts12%

Debt Service7%

Services and Charges9%

Supplies and Expenses7% Misc

1%

7

PERSONNEL 2012 Budget 2012 Actual

Salaries & Wages $26,900,997 $26,015,957

Vacancy Savings (1,086,000) (1,086,000)

Overtime 877,161 736,065

Group Insurance 4,494,739 4,134,460

Retirement 3,081,596 3,055,856

Medicare 311,913 304,837

Temporary Wages & SS 516,355 371,397

Other 368,414 357,573

Total $35,465,175 $33,890,145

Three Divisions represent the substantial increase in temporary wage costs: Information

Technology’s use of temps for vacancy coverage, Building Inspection’s use of temps to manage

increased workload due to the rise in building activity, and Traffic Engineering’s use of temps

for the Olde Town parking study.

Fuel 2012 Budget 2012 Actual

General Fund $519,851 $494,213

Parks 196,296 162,603

Police Tax Increments 48,668 54,967

Utilities 222,008 131,022

Other 88,052 87,216

Total Expenditures $1,074,875 $930,021

Salary and Benefit Savings

8

arvada centerARVADA CENTER

Arvada CenterArvada Center 2012 Budget 2012 Actual

Beginning Fund Balance $ 232,174 $ 232,174

REVENUES

Generated $ 6,199,444 $ 5,446,139

SCFD 1,034,000 1,026,866

City Cash Transfer-Original 1,218,122 1,218,122

City Cash Transfer-Additional 725,000 625,970

City In-Kind Transfer 1,967,270 2,097,497

Total Revenues $11,143,836 $10,414,594

EXPENDITURES

Ongoing $ 8,876,566 $ 8,317,097

In-Kind 1,967,270 2,097,497

Total Expenditures $10,843,836 $10,414,594

Income/(Loss) 300,000 (0)

Cash Balance 532,174 232,174

Goal (11% of Expenditures) 1,192,822 1,145,605

Excess/(Deficit) $(660,648) $(913,432)

With a Mission “to inspire the residents of our region to live and

learn creatively by experiencing the performing arts, visual arts,

educational programs, and historical exhibits”, the Arvada Center

continues to focus on partnerships, collaboration, and innovation to

maintain and increase programming, audience base and revenue.

The Mission of the Center requires constant vigilance and balance

between and amongst commercially viable, revenue-producing

productions, classes, and workshops and reduced cost and free

offerings, as well as community-focused and accessible programs.

In 2012, the Arvada Center gained recognition for a number of

accomplishments and new initiatives. The Performing Arts Division

won the Henry Award for Best Season by a Theater Company, the

Education Division introduced Spring Break Camps to the area and

had a resounding success, and the Galleries completed one of their

most ambitious and recognized series of exhibitions in the 37-year

history of the Arvada Center, just to name a few.

The Center’s impact on the community and the region continues

to grow through summer programming, collaboration, and

partnerships. The relationships continued with Creede Repertory

Theatre, Lone Tree Arts Centers, and numerous other cultural

institutions. In addition, the Center, with the support of the City

Council, embarked on a process to examine the overall structure of

the Center and determine if there may be a better way to move the

Center forward in the coming years. This effort has taken shape in

the form of the Ad Hoc Task Force, meeting throughout the spring

of 2013.

2012 was a volatile year for revenues at the Center. Due to this

volatility, the Center did request and receive a supplemental

9

$0$200,000$400,000$600,000$800,000

$1,000,000$1,200,000

2009 2010 2011 2012

SCFD Revenue

$0

$500,000

$1,000,000

$1,500,000

$2,000,000

$2,500,000

$3,000,000

$3,500,000

$4,000,000

Cash In-Kind Total

City of Arvada Contributions

2010

2011

2012

appropriation to address a shortfall in revenues. The Center requested $300,000; however, after all year-end revenues and expenditures were

accounted, the final amount needed was $200,970.

The primary reason for the financial gap is reduced revenue as overall expenditures grew by only 2%. Revenue did grow by 7.66% and 9% in

Education and Development, respectively, in 2012, but the largest driver in the revenue gap was performing arts. Performing arts revenue was

down 6.6% in 2012. Specifically, two major musicals performed below expectations. The musicals, Chess (part of the 2011 – 2012 theater season)

and Dirty Rotten Scoundrels (part of the 2012 – 2013

theater season) combined to perform approximately

$225,000 below initial projections. With regard to

Chess, only 71% of the capacity of the theater was

sold. This was primarily due to a lack of single ticket

sales as compared to other shows during the 2011 –

2012 season. With regard to Dirty Rotten Scoundrels,

only 60% of capacity was utilized. Dirty Rotten

Scoundrels was very well received by audiences and

critics; however, ticket sales were very slow. This was

experienced throughout the region at theaters and

concert venues this fall. It should be noted that there were several specific cost reductions made to the production of Dirty Rotten Scoundrels, including

a decrease in the number of actors cast (from 30 to 23); however, the decrease was not enough to offset the subpar sales. In addition to a lack of single

ticket sales, subscriptions for the 2012 – 2013 season are down as compared to 2011-2012.

With a supplemental appropriation of $200,000 in 2012, the total cash operating support given to the Arvada Center by the General Fund was

$1,843,000. Last year that support was $1,643,000,

and over the last six (6) years that support has

averaged approximately $1,870,000.

Total support, cash and in-kind, from the General

Fund, including the $500,000 shown for rent, and the

remainder of the support services provided by the

City, will equal approximately $3,810,270. Last year

that support was approximately $3,575,000, and

over the last six (6) years that support has averaged

approximately $3,877,835, or approximately 5.75%

of the General Fund.

10

parks fund PARKS FUND

Parks FundParks Fund 2012 Budget 2012 Actual

Beginning Fund Balance $4,047,373 $4,047,373

REVENUES

Generated $ 182,025 $ 175,878

Open Space 3,203,449 3,312,980

APEX Reimbursement 898,000 880,906

City Cash Transfer 2,808,044 2,790,916

Total Revenues $ 7,091,518 $ 7,160,680

EXPENDITURES

Ongoing $ 7,089,653 $ 6,965,841

Capital 200,000 200,000

Total Expenditures $ 7,289,653 $ 7,165,841

Income/(Loss) (198,135) (5,161)

Ending Fund Balance 3,849,238 4,042,212

Goal (11% of Total Expenditures) 801,862 788,243

Excess/(Deficit) $3,047,376 $3,253,969

Revenue HighlightsJefferson County Open Space revenue, the main source

of revenue for the Parks Fund, increased 5% over 2011

actuals, while the city cash transfer to the Parks Fund

increased 1.8%. Earned income from the Majestic View

Nature Center was similar to 2011 actuals. Total Parks

Fund revenues, when comparing 2012 original budget to

2012 actuals, are 1% above budget.

Expenditure HighlightsTotal actual expenditures are 6.2% more in 2012

compared to 2011 as a result of the increased use of

temporary staff, overtime and program expenses.

11

PARKS REVENUE

0500

1,0001,5002,0002,5003,0003,5004,0004,500

Open Space Cash Transfer APEX

As of YE 2010 As of YE 2011 As of YE 2012

12

special revenue funds SPECIAL REVENUE FUNDS

.21 and .25 Tax Increment Funds.21 and .25 Tax Increment Funds

2012 Budget 2012 Actual

Beginning Fund Balance $ 12,356,000 $ 12,356,000

REVENUES

Sales Tax / Audit Revenue $ 5,598,455 $ 5,984,582

Use Tax 1,084,240 1,291,014

Other 216,340 168,228

Total Revenues $ 6,899,035 $ 7,443,825

EXPENDITURES

Ongoing $ $6,962,397 $ 6,919,593


Income/(Loss) (63,362) 524,232

Ending Fund Balance $12,292,638 $12,880,232

Goal (11% of Total Expenditures)

765,864 761,155

Excess/(Deficit) $11,526,774 $12,119,076

Special Revenue Funds OverviewSpecial Revenue Funds account for revenues that are to be used for

specific purposes. The following are considered special revenue funds:

• TaxIncrementFunds

• CommunityDevelopment

• Housing

Tax Increment Funds OverviewThere are two tax increment funds which account for the voter-

approved sales tax increases to fund expanded police services. The

first fund accounts for the .21 cent sales tax for police services and the

second accounts for the .25 cent sales tax. Sources in the tax increment

fund include sales tax, general use tax, auto use tax, building use and

interest income. Since the tax increment is in addition to the City’s 3%

sales tax, the revenue trends in the tax increment fund will closely

follow those in the general fund.

Revenue HighlightsRevenue numbers continue to steadily increase through

year-end 2012 with Sales Tax/Audit revenue up 5.66%,

from $5,664,005 in 2011 to $5,984,582 in 2012. Use Tax

revenue was up 10% over 2011 actuals, from $1,172,604 in

2011 to $1,291,014 in 2012. Recovered Costs in 2012 (one-

time miscellaneous reimbursements from outside agencies)

continued to decline over 22% through the end of 2012.

Expenditure Highlights Salaries and benefits increased 7.92% over 2011. Police Officer positions are

filled at 96%. Total actual expenditures for year-end 2012 are at 99.39%

of budget. The fund balance increased $524,232 in 2012. However, we will

see the fund balance decrease in 2013 with the construction of two police

community substations.

13

special revenue funds Community Development

Community Development Fund 2012 Budget 2012 Actual


REVENUES

Recovered $ 114,737 $ 132,348

Grants 638,000 336,151

City Cash Transfer 45,000 45,000

Interest/Other 19,500 17,603

Total Revenues $ 817,237 $ 531,103

EXPENDITURES

Ongoing $ 454,826 $ 413,313

Essential Home Repairs 380,625 296,827

Loans 125,000 -

Total Expenditures $ 960,451 $ 710,140

Income/(Loss) (143,214) (179,037)


The Loans line item provides for appropriation in the event that

opportunities arise for assistance related to multifamily housing. Since

no such opportunities arose in 2012, the Loans line had no expenditures.

Among the ongoing expenditures is funding for primary nonprofits

who serve disadvantaged Arvada residents each year. Additionally, a

considerable amount of federal Community Development Block Grant (CDBG)

funding has been reserved for use reconstructing Memorial Neighborhood

Park in 2013.

Arvada Housing Authority

Arvada Housing Authority 2012 Budget 2012 Actual


REVENUES

Recovered $ 19,178 $ 12,118

Grants 3,900,000 3,653,901


Interest/Other 5,464 1,857

Total Revenues $3,950,642 $3,747,876

EXPENDITURES

Ongoing $ 355,323 $ 394,520

Rents 3,532,200 3,488,481

Transfers 53,674 50,627


Income/(Loss) 9,445 (185,752)

Ending Fund Balance $ 399,445 $ 204,248

As of the end of 2012, the Arvada Housing Authority assisted

480 families with rent subsidies on a monthly basis. These

subsidies constitute nearly 90% of this Fund’s expenditures.

The City directly receives funding from

Energy Outreach Colorado (EOC), a nonprofit

corporation, and disburses it to low income

residents of Arvada as assistance with costs

related to energy. In 2011 and 2012, the City

has received supplemental funding from EOC,

which accounts for the increase in dollars and

grants over the past two years.

$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

2008 2009 2010 2011 2012Dollars $31,514 $22,026 $24,309 $48,800 $52,000

Tota

l Dol

lars

EOC ENERGY ASSISTANCE 2008-2012Dollars (Grants)

(83)

(119)(113)

(67)(83)

14

capital improvementCAPITAL IMPROVEMENT FUND

Capital Improvement Fund OverviewThe Capital Improvement Fund is where the City keeps track of capital projects for streets, traffic, parks, and the Arvada Center.

Revenue HighlightsIn 2012, the majority of the revenues in the Capital Improvement Project (CIP) fund consisted of transfers from the General Fund, Construction

Fund and Lands Dedicated Fund.

Other revenues include park development fees, grant revenue and contributions from other governmental agencies.

Expenditure HighlightsThe majority of expenditures in this fund in 2012 relate to the construction of various park projects. Some of the park projects include Wolff,

Forest Springs, Sunrise Ridge, Saddlebrook, Four Acre and Thundercloud parks. Park staff also completed the Shelter at Indiana Esquestrian

and 80th Avenue medians as well as renovations of Davis Lane and Westwoods parks. Two major transportation projects included the Olde

Town streetscape project and the Sheridan bridge. There was also the purchase of land needed for parking at the future Olde Town station for

the Gold Line.

Reserved FundsThe CIP fund ended 2012 with a fund balance of $39 million and has confirmed grant revenues of $4 million that will be received upon

completion of the projects. Reserved projects total approximately $43 million.

15

capital improvementCapital Improvement Fund 2012 Budget 2012 Actual


REVENUES

Transfers in $10,505,777 $11,641,532

Other revenue 1,600,000 1,099,776

Total Revenues $12,105,777 $12,741,308

EXPENDITURES

CIP Administration $ 3,362,116 $ 927,057

CIP Street Projects 3,992,047 2,144,288

CIP Traffic Projects 6,047,052 1,743,429

CIP Park Projects 11,038,834 6,923,673

CIP Arvada Center Projects 310,000 238,630

Total Expenditures $24,750,049 $ 11,977,077


Anticipated Grant Revenue $ 4,078,005

ASSIGNED FOR PROJECTS:

CIP Administration $16,929,648

CIP Buildings 3,494,822

CIP Street Projects 7,360,530

CIP Traffic Projects 6,391,617

CIP Park Projects 8,179,690

CIP Arvada Center Projects 338,814

8% Reserve 958,166

Total Assigned for Projects $43,653,287

Ending Fund Balance $ 11,133

16

enterprise fundsENTERPRISE FUNDS

Enterprise Funds OverviewEnterprise funds account for activities that generate a fee that

makes the entity self supporting. The five enterprise funds in the

City are:

• WaterFund

• WastewaterFund

• StormwaterFund

• GolfFund

• HospitalityFund

Water FundThe Water Fund accounts for all activities within the scope of the

water utility operations including administration, operations,

capital water projects, financing and related debt service and

billing and collection.

Revenue HighlightsAnnual revenues from water sales were up by 14.0% over 2011

totals, with consumption up 14.1% over the same period.

Expenditure HighlightsThe substantial difference between the Capital budget and the

Capital expenditures stems from Gross Reservoir. For 2012, the

City had budgeted $2.5 million for Gross Reservoir Expansion-

related costs, but the project saw no City expenditures for the

year. As for the Major Capital Maintenance budget, approximately

$300,000 of Gold Line-related water main work in railroad right-

of-way planned for 2012 will be completed and billed in 2013.

Delays and postponements related to other planned 2012 projects

account for the remaining budget-to-actual difference.

Water FundWater Fund 2012 Budget 2012 Actual


REVENUES

Water Charges $ 18,224,100 $ 19,717,158

Tap Fees 3,093,671 4,378,473

Interest 1,154,839 537,263

Other 790,371 1,424,771

Total Revenues $23,262,981 $26,057,665

EXPENDITURES

Ongoing $14,986,506 $15,272,587

Debt Service 2,265,700 2,257,346

Major Capital Maintenance 3,944,500 3,093,631

Capital 3,036,959 114,720


Income/(Loss) (970,684) 5,515,007


Goal (25% of Ops+Debt Svc) 6,998,452 6,848,901

Excess/(Deficit) $50,554,865 $56,994,481

Water BondsFitch Ratings performed an annual review of the Water Enterprise Bonds, Series

2009, and affirmed the “AAA” rating for these bonds. In arriving at the stable

outlook for the Water Enterprise Bonds, Fitch cited a strong financial profile, low

debt levels, solid management and a stable local economy as key rating drivers.

17

Water Tap FeesThis chart shows a history of annual water tap fee collections since 2008. The substantial increase of 83% in 2012 reflects the

considerable increase in residential building activity.

Water ConsumptionThis chart shows annual water consumption since 2008. Historically dry conditions led to substantial increases in consumption.

- 400,000 800,000

1,200,000 1,600,000 2,000,000 2,400,000 2,800,000 3,200,000 3,600,000 4,000,000 4,400,000 4,800,000 5,200,000 5,600,000 6,000,000

2008 2009 2010 2011 2012Water Consumption 5,437,028 4,577,112 5,150,842 5,049,729 5,700,412

Thou

sand

s of

Gal

lons

WATER CONSUMPTION(Thousands of Gallons)

$0$400,000$800,000

$1,200,000$1,600,000$2,000,000$2,400,000$2,800,000$3,200,000$3,600,000$4,000,000$4,400,000

2008 2009 2010 2011 2012Tap Fees $2,227,346 $1,185,036 $1,785,928 $2,394,111 $4,378,473

Dol

lars

WATER FUND - TAP FEES

18

Wastewater Tap FeesThis chart shows a history of annual wastewater tap fee collections since 2008. As with water tap fee collections, the substantial increase in 2012 reflects the

considerable increase in residential building activity.

Due to its location, the Arvada Station development falls within the City’s wastewater system, but its water service is provided by the Valley Water District.

This is a reason for the greater increase in wastewater tap fee collections in 2012 as compared to water tap fee collections.

Wastewater FundThe wastewater fund accounts for all activities

necessary in the collection, transmission and

disposal of sewage and wastewater.

Revenue HighlightsIllustrative of the considerable increase in

building activity within the City, tap fee revenues

for 2012 were up nearly 143% over 2011 totals.

These figures include many, but not all, of the

wastewater tap fees for the Arvada Station

development.

Expenditure HighlightsApproximately $800,000 of Gold Line-related

sewer main replacement work in railroad right-of-

way planned for 2012 will be completed and billed

in 2013. Charges from the Metro Wastewater

Reclamation District represent over 63% of all

expenditures in 2012.

$0$40,000$80,000

$120,000$160,000$200,000$240,000$280,000$320,000$360,000$400,000$440,000$480,000$520,000$560,000$600,000$640,000$680,000$720,000$760,000$800,000$840,000

2008 2009 2010 2011 2012Tap Fees $242,368 $128,576 $232,062 $343,561 $834,078

Dol

lars

WASTEWATER FUND - TAP FEES

Wastewater Fund

Wastewater Fund 2012 Budget 2012 Actual


REVENUES

Sewer Charges $10,704,387 $10,075,096

Tap Fees 234,486 834,078

Interest 209,614 95,260

Other 560,683 624,334

Total Revenues $11,709,170 $11,628,768

EXPENDITURES

Metro District $6,536,367 $6,540,959

Ongoing 2,900,070 2,688,896

Major Capital Maintenance 1,808,283 1,003,145

Capital 360,500 105,086


Income/(Loss) 103,950 1,290,681


Goal (25% of Op. Exp.) 2,811,180 2,558,250

Excess/(Deficit) $ 8,032,770 $ 9,472,431

19

Stormwater FundThe Stormwater fund accounts for all activities necessary to maintain a stormwater

management plan.

Stormwater 2012 Budget 2012 Actual


REVENUES

Stormwater Fee $3,119,747 $3,152,909

Other 66,268 2,888,904

Total Revenues $3,186,015 $6,041,813

EXPENDITURES

Ongoing $1,158,846 $1,050,716

Debt Service 932,488 932,490

Capital 10,650,000 5,428,119


Income/(Loss) (9,555,319) (1,369,512)


Goal (25% of Ops + Debt Svc) 1,222,200 1,195,169

Excess/(Deficit) $175,482 $8,388,319

Revenue HighlightsIn August, $1.98 million was transferred from the Drainage Fund to the

Stormwater Fund. These funds, comprised of Unit Drainage Fees (or UDFs,

last collected in 2003) and interest, reimbursed the Stormwater Fund for work

completed by the Stormwater Utility within the drainage basins for which the UDFs

were paid. In addition, the City received just over $600,000 in reimbursements

from the Urban Drainage and Flood Control District (UDFCD) for drainage

improvements associated with the Garrison Street Bridge Replacement.

Expenditure HighlightsCosts related to the replacement of the Garrison Street Bridge and related

channelization on Ralston Creek represented nearly 58% of all Stormwater

expenditures in 2012. As of the end of 2012, the Stormwater Utility’s Garrison

project was over 50% done. However about $4,379,000 will need to be

carried over into the 2013 budget. Due to some add-ons to the project,

completion is expected in April 2013, weather permitting. An additional

$800,000 was spent on the City’s share of costs pertaining to the Ridge Road

Tributary pursuant to an IGA with UDFCD and the City of Wheat Ridge.

20

Golf FundGolf Fund 2012 Budget 2012 Actual


REVENUES

Golf $ 2,868,767 $ 3,076,259

Restaurant 1,151,363 1,189,846


Total Revenues $4,239,604 $4,531,148

EXPENDITURES

Golf $ 2,041,579 $ 2,052,284

Food 1,122,922 1,186,173

Operations 769,103 768,978

Capital 310,841 76,897


Income/(Loss) (4,841) 446,816

Ending Fund Balance $ 201,159 $ 652,816

Rounds by Type - January thru December 2011/2012

WEST WOODS Regular Special Tournament Annual Senior Junior Other Total

2011 18,606 14,530 2,535 4,544 4,930 934 525 46,604

2012 23,875 10,633 3,040 5,982 7,486 1,039 1,283 53,338

5,269 -3,897 505 1,438 2,556 105 758 6,734

28% -27% 20% 32% 52% 11% 144% 14%

LAKE ARBOR Regular Special Tournament Annual Junior Other Total

2011 13,659 11,207 1,661 18,695 481 1,226 46,929

2012 20,176 6,969 1,348 19,595 617 2,238 50,943

6,517 -4,238 -313 900 136 1,012 4,014

48% -38% -19% 5% 28% 83% 9%

Revenue HighlightsTotal earned revenue from Golf and Restaurant operations increased

12% over 2011 actuals, from $3,807,574 to $4,266,105, a difference

of $458,531. Revenue growth was fueled by an 11.5% increase in

total rounds played at city golf courses: 104,281 in 2012 compared to

93,533 in 2011. West Woods Golf Club was named Best Golf Course in

Jefferson County in a Colorado Community Media reader’s poll.

Expenditure HighlightsTotal actual expenditures increased $33,650 in 2012, from $4,050,682

in 2011 to $4,084,332 in 2012 as the increase in Golf and Restaurant

revenues were re-invested into turf maintenance and capital

improvements projects, most notably a new maintenance building

at West Woods Golf Club and the conversion from gas to electric golf

cart fleet. These projects were not completed in 2012 and monies

necessary to complete them will be carried forward to 2013.

21

Hospitality FundHospitality Fund 2012 Budget 2012 Actual


REVENUES

Banquets $ 944,776 $ 932,006

Concessions 148,841 131,925

Miscellaneous 573,146 433,266

Total Revenues $1,666,763 $1,497,197

EXPENDITURES

Overhead $ 587,282 $ 285,388

Operations 1,263,406 1,272,724

Capital/Equipment 263,096 24,533

Transfer to General Fund 128,000 -


Income/(Loss) (575,021) (85,447)

Ending Fund Balance 182,979 672,553

Goal (25% of Total Expenditures) 560,446 395,661

Excess/(Deficit) $ (377,467) $ 276,892

Revenue HighlightsTotal fund revenue decreased $54,337 or 3.6% in 2012

compared to 2011 actuals: $1,497,197 in 2012 compared

to $1,551,534 in 2011. This decrease is attributed to a

decrease in concession sales at the Arvada Center and

Stenger Sports Complex.

Expenditure HighlightsTotal actual expenditures decreased in 2012: from

$1,700,589 in 2011 to $1,582,644 in 2012, a decrease of

7.45%. Less monies were spent on salaries, benefits and

inventory in 2012 compared to 2011. Capital/Equipment

and the Transfer to General Fund monies in 2012 were

to be used for both a kitchen and banquet replacement

project and a ceiling and flooring replacement project. To

schedule the project, the facility will need to be closed for

one month in order to complete the work. Therefore the

projects are now scheduled to take place in 2013.

Major projects, including kitchen and banquet

replacement and ceiling and flooring replacement, will

take place in 2013. This will require a one-month facility closure for completion of this

work.

22

internal serviceINTERNAL SERVICE FUNDS

Internal Service Funds OverviewWe have four Internal Service Funds. These Funds charge for goods and services to each division that uses them. The Funds then pay for all associated costs

of things such as purchasing insurance, vehicle purchases and maintenance, computer purchases and maintenance, and buildings maintenance.

OverviewThe Insurance Fund, administered by the Risk Management Division of

Finance, provides the means by which the City self-insures against loss. It

is funded with contributions by all City divisions based on their levels and

types of exposure. The Fund is also used for programs for loss prevention,

the protection of City personnel and the preservation of City property and

assets.

Revenue HighlightsTransfers came in under budget due to the suspension of Risk Management

Operations charges to all Funds for the final quarter of 2012. It was

determined mid year that the Insurance Fund could forego the revenue,

saving all Funds a total of $242,239 for the year.

Expenditure Highlights

Administration expenditures include $170,000 in costs related to network

liability and $113,000 relating to the remodeling of PD’s Dispatch

area. There were also $18,000 in Professional Services expenditures in

Operations as part of an in-depth analysis of the Insurance Fund.

*Per GASB Statement 10, an additional $1,486,072 in cash is currently held

in the Risk Management Fund to cover potentially incurred liabilities as of

the beginning of the year. This figure was reached by Risk Management’s

actuary.

Risk Management

Risk Management 2012 Budget 2012 Actual


REVENUES

Transfers $ 2,310,582 $ 2,061,825

Other 66,000 71,577

Total Revenues $2,376,582 $2,133,402

EXPENDITURES

RM Administration $ 2,016,248 $ 1,794,018

RM Operations 603,648 605,771


Income/(Loss) $(243,314) $(266,387)


23

OverviewThe Vehicles Fund provides resources for the maintenance of City vehicles

and heavy equipment, as well as their replacement when various factors

demand their retirement. It is funded with contributions by all City

divisions based on their vehicle inventory and use.

Revenue HighlightsCharges for Fleet services remain at 2011 levels and Vehicle Maintenance

charges in 2012 are level with 2011 charges, though 2013 charges will

increase by 3%.

Expenditure Highlights In 2012, Fleet purchased 38 new vehicles, 21 pieces of equipment, and

executed leases on eight motorcycles.

Information Technology and Print ServicesInformation Technology and Print Services

2012 Budget 2012 Actual


REVENUES

Maintenance $959,712 $959,712

Replacement 897,441 898,168

Print Shop 425,049 296,687

Total Revenues $2,282,202 $2,154,567

EXPENDITURES

Maintenance $1,259,365 $817,486

Replacement 2,493,850 1,666,761

Print Shop 389,265 263,714


Income (Loss) $(1,860,278) $(593,394)


Vehicles

Vehicles 2012 Budget 2012 Actual


REVENUES

Maintenance Transfers $2,132,707 $2,132,707

Replacement Transfers 1,095,582 1,095,582

Other 379,476 86,517

Total Revenues $3,607,765 $3,314,806

EXPENDITURES

Maintenance $2,350,309 $2,241,455

Replacement 2,015,867 1,553,501


Income/(Loss) (758,411) (480,150)


OverviewThe Computer Fund provides resources for both the ongoing maintenance

and replacement of the City’s computers, network hardware, and other

electronic infrastructure. It is funded with contributions by all City

divisions based on their levels of use of information technology. The Print

Shop Fund provides ongoing capital support for the City’s printing needs.

Revenue HighlightsPrint Shop revenues and expenses are both well below projections.

However, revenues exceed expenditures by $32,973. The Print Shop

is maintaining a fund balance slightly above $100,000, which will be

drawn down by about $28,000 in early 2013 with the purchase of a new

platemaker.

Expenditure Highlights The majority of replacement monies spent in 2012 were related to the

replacement of the current phone system software with a VoIP -based

Unified Communication System (UCS). The project cost was $807,000

and was completed on time with minimal impact to the City’s workflow.

Both the computer replacement and maintenance lines are below budget

as the CAD, Records Management System upgrade and budget software

replacement scheduled in 2012 have been delayed until 2013. $1,138,000

for those projects will be carried forward into 2013.

24

Buildings

Buildings 2012 Budget 2012 Actual

Beginning Fund Balance $ 1,654,000 $1,654,000

REVENUES

Replacement Transfers $ 407,351 $ 407,351

Other 112,849 119,536

Total Revenues $520,200 $526,887

EXPENDITURES

Replacement $ 766,799 $ 368,826

Capital Lease 112,848 112,609

Total Expenditures $ 879,647 $ 481,435

Income/(Loss) (359,447) 45,452


OverviewThe Buildings Fund provides resources for maintaining major portions

of facility infrastructure as replacement becomes necessary. The

primary types of infrastructure are HVAC equipment, parking lots,

roofs, and carpet. It is funded with contributions by all City divisions

based on their facility occupancy.

Revenue HighlightsDue to careful evaluation, prudent deferments, and constant

reevaluating of a comprehensive replacement schedule, contributions

remain at 2011 levels.

Expenditure HighlightsThe Capital Lease expenditures represent payments per an agreement

with Siemens Building Technologies in 2004 for energy efficiency

improvements at various City facilities, with lease obligations ending

in 2016. Among the projects completed this year were seal coats of the

parking lots at City Hall, the Annex, and the Arvada Center, as well as

boiler replacements at the Ralston Treatment Plant.

25

Arvada Economic Development Association

Operations 2012 Budget 2012 Actual

Beginning Fund Balance $429,231 $429,231

Revenue 729,000 703,100

Expenditures 744,029 703,100

Ending Fund Balance $414,202 $429,231

Revenue HighlightsRevenue in the AEDA Operations Fund consists of a transfer from the

general fund equal to the personnel and operating expenditures.

Expenditure Highlights Expenditures in 2012 are slightly lower than budget due to

lower salary and benefit costs. Salaries and benefits account for

approximately 53% of the expenditures.

Program 2012

Beginning Cash Balance $ 721,482

Revenue 599,044

Expenditures (185,525)

Ending Cash Balance 1,135,001

Reserved for AEDA Loan Program (300,000)

Reserved for AEDA Small Business Grants (65,447)

Reserved for Job Creation Program (23,500)

Commitments (341,323)

Available Unallocated Cash Balance $404,731

Revenue HighlightsRevenues in 2012 reflect the third $500,000 payment of the $1,500,000

transfer from the City of Arvada for the AEDA business financial

assistance programs.

Expenditure HighlightsExpenditures in 2012 reflect 12 pilot business grants and one financial

assistance redevelopment grant. Four new loans were approved through

the Colorado Enterprise Fund.

26

investment reportCITY OF ARVADA INVESTMENT REPORT

Investment Portfolio ObjectivesPursuant to the City’s investment policy, the primary objectives of the City’s investment activities, in priority order are safety, liquidity and yield. Consistent

with this policy, the portfolio of securities are invested in US Treasuries, US Agency debt, local government investment pools (LGIP’s), commercial paper, and

corporate debt subject to rating and concentration limits. The City’s investment portfolio is managed to provide sufficient liquidity to meet all reasonably

anticipated operating cash needs without selling securities prior to maturity.

Investment Portfolio PerformanceThe portfolio saw a yield of .724% in 2012 compared to 1.119% in 2011. The benchmark yield for the City’s portfolio, as established by the investment policy,

is a weighted benchmark of allowable securities. For the year, the weighted benchmark return was .41 percent, constructed using the average 2012 monthly

returns. The City’s portfolio yield continued to decline from the previous rolling four quarters, as evidenced by the considerable reduction in investment

income and the unfavorable reinvestment environment. One contributing factor to these performance results is that the Fed has left rates at very low

levels. The discount rate remained constant throughout 2012 at .25 percent and the Fed has announced that we will continue to experience these rates most

likely into 2015. The Federal Reserve will keep rates unchanged until the dynamics of our economy significantly change. The portfolio saw $86.7 million

in investment calls due to the expiration of call “lockout” periods, these calls resulted in reinvestment in lower yielding securities which contributes to the

reduction in investment income. The portfolio increased approximately $874 thousand from December, 2011 to December, 2012. LGIP balances were reduced

$21.5 million during the year with investment focused in the two to four year maturity range of the curve by purchasing securities with a six month or greater

“lockout” period to earn a better than average coupon before the lockout period expired. During 2012, the City invested in a money market fund which is

available to Colorado Public entities, this fund provides a yield approximately 2 basis points higher than the local government investment pools. An indirect

benefit to the Arvada portfolio has been the capital appreciation that has been attained in this time, even though this is considered as “paper gains” and has

no profound affect on the yield we use to benchmark, the gain in 2012 was $452,870. Key information regarding the City’s portfolio follows:

PORTFOLIO PERFORMANCE

YTD Dec-12 YTD Dec-11 Difference

Interest Earnings $1,531,397 $2,255,678 -$724,281

Portfolio Yield 0.724% 1.119% -0.395%

Benchmark Yield 0.410% 0.590% -0.180%

Tracking Error +31bps +55bps -24bps

PORTFOLIO CHANGES

01/01/2012 12/31/2012 Difference

Money Market $0 $5,006,842 $5,006,842

Savings/Cash 21,135,849 20,163,693 -972,156

CD 19,185,915 19,270,465 84,550

Corporate 21,000,000 5,000,000 -16,000,000

LGIP 66,953,063 45,407,414 -21,545,649

US Agency 73,700,000 108,000,000 34,300,000

US Treasury 7,000,000 7,000,000 0

Total $208,974,827 $209,848,414 $873,587

27

0.0%5.0%

10.0%15.0%20.0%25.0%30.0%35.0%40.0%

0-.25 .25-.5 .5-1 1-2 2-3 3-4 4-5

37.0%

1.9%

8.6%

3.4%

15.7%

21.4%

11.9%

Maturity (yrs)

ACCOUNT SUMMARY

Par Value $209,848,414

Book Value 209,901,724

Market Value 210,301,284

Unrealized Gain/(Loss) $452,870

PORTFOLIO ALLOCATION

Savings/ cash 9.6%CD 9.2%

Corporate 2.4%

LGIP 21.6%

Money Market 2.4%

U.S. Agencies 51.5%

U.S. Treasuries 3.3%

PORTFOLIO CHARACTERISTICS

Average Duration (yrs) 1.92

Average Coupon 0.716%

Average Cost YTM 0.646%

Average Market YTM 0.513%

City of Arvada Investments as of December 31, 2012The City’s portfolio as of December 31, 2012 is shown below, which includes credit ratings as of December 31, face value and interest earnings for 2012.

Description CUSIP Credit Rating

12/31/2012

Coupon Rate Maturity Date Face Value Interest 2012

Savings

JP Morgan Savings N/A 0.15% N/A $5,138,767 $19,161

Wells Fargo Savings N/A 0.18% N/A 5,024,927 8,683

JP Morgan Checking N/A 0.35% N/A 10,000,000 0

Sub Total Savings 20,163,693 27,844

Certificate of Deposit

FirstBank CD5343 N/A 0.30% 7/27/13 5,031,652 20,703

FirstBank CD7281 N/A 0.30% 11/30/13 5,117,264 19,922

FirstBank CD7273 N/A 0.25% 5/28/13 4,066,290 19,922

FirstBank CD8679 N/A 0.60% 5/5/14 5,055,259 20,086

Sub Total Certificate of Deposit 19,270,465 80,633

Corporate

Berkshire Hathaway 084664BG5 AA+ 5.00% 8/15/13 3,000,000 150,000

General Electric Co 369604AY9 AA+ 5.00% 2/1/13 2,000,000 100,000

Sub Total Corporate 5,000,000 250,000

Local Government Investment Pool

C Safe N/A 0.17% N/A 22,021,856 38,709

Colo Trust N/A 0.21% N/A 23,385,557 64,399

Sub Total Local Government Investment Pool 45,407,414 103,109

Money Market

Csip AAAm 0.22% N/A 5,006,842 6,842

Sub Total Money Market 5,006,842 6,842

Chart continues next page

MATURITY DISTRIBUTION

28

Investment Management Focus - 20132012 continued to be a struggle for the capital markets. We will continue to monitor the two items of focus we have highlighted below.

Diversification of Maturities. We will continue to keep LGIP balances at levels to meet operating needs to capture attractive interest rates. We will

focus on a blended strategy which calls for emphasis in short-term positions as well as long-term positions (5 years in the City’s case), but also

staggering maturities in between to smooth the revenue stream. This will allow the ample cash should the City experience unexpected needs, allow

us to take advantage of better coupons in longer maturity buckets, and the ability to capitalize on investment opportunities if/when yields begin to

recover.

Agency spreads are tighter, callables will get better yield. Call provisions are a tool used by issuers to refinance debt at a more attractive rate. Our

focus will be to purchase callable securities with a call “lockout” period of six months or more to enhance investment income over the LGIP funds.

Description CUSIP Credit Rating

12/31/2012

Coupon Rate Maturity Date Face Value Interest 2012

US Agency

FFCB 3133EAH27 AAA 0.43% 08/13/2015 5,000,000.00 0

FFCB 3133EC2L7 AAA 0.44% 11/13/2015 5,000,000.00 0

FFCB 3133EC3M4 AAA 0.60% 11/21/2016 3,000,000.00 0

FFCB 3133EAU22 AAA 0.68% 09/12/2016 5,000,000.00 0

FFCB 3133EAGG7 AAA 1.00% 03/08/2016 4,000,000.00 20,000.00

FFCB 3133EAKP2 AAA 1.36% 04/04/2017 5,000,000.00 34,000.00

FHLB 313380U96 AAA 0.50% 10/16/2015 3,000,000.00 0

FHLB 313376ZJ7 AAA 0.50% 02/24/2015 5,000,000.00 12,500.00

FHLB 3133816B6 AAA 0.55% 11/13/2015 5,000,000.00 0

FHLB 313380C70 AAA 0.55% 02/08/2016 5,000,000.00 0

FHLB 313380U88 AAA 0.80% 04/17/2017 3,000,000.00 0

FHLB 3133727K4 AAA 2.13% 12/28/2015 2,000,000.00 42,500.00

FHLMC 3134G3V98 AAA 0.70% 11/21/2016 5,000,000.00 0

FNMA 3136G0W1 AAA 0.55% 02/22/2016 5,000,000.00 0

FNMA 3136G0HP9 AAA 0.60% 05/29/2015 3,000,000.00 9,000.00

FNMA 3136FTM89 AAA 0.80% 02/24/2016 5,000,000.00 20,000.00

FNMA 3136FT3J6 AAA 1.00% 12/28/2016 5,000,000.00 37,500.00

FNMA 3136G0RX1 AAA 1.00% 07/26/2017 5,000,000.00 0

FNMA 3136G0XD8 AAA 1.00% 08/28/2017 6,000,000.00 0

FNMA 3136FTDG1 AAA 1.05% 10/21/2015 5,000,000.00 52,500.00

FNMA 3136G0GT2 AAA 1.05% 11/14/2016 5,000,000.00 26,250.00

FNMA 3136FPEL7 AAA 1.05% 09/09/2013 5,000,000.00 52,500.00

FNMA 3136G0FS5 AAA 1.25% 05/17/2017 3,000,000.00 18,750.00

FNMA 3136G0XW6 AAA 0.50% 02/28/2017 3,000,000.00 0

FNMA 3136G0DZ1 AAA 0.65% 04/26/2016 3,000,000.00 9,375.00

Sub Total Agency 108,000,000.00 334,875.00

US Treasury

T-Bond 912828KY5 AAA 2.63% 06/30/14 2,000,000 78,750

T-Note 912828MT4 AAA 1.38% 03/15/13 5,000,000 68,750

Sub Total US Treasury 7,000,000 147,500

TOTAL $209,848,414 $950,803

Finance Department • 8001 Ralston Road • Arvada, Colorado 80002(720) 898-7120 • www.arvada.org

Documents

2012 Annual Financial Report