COUNTY OF ERIE,

COUNTY OF

ERIE,PENNSYLVANIA

ANNUALCOMPREHENSIVE

FINANCIALREPORT

FOR THE YEAR ENDINGDECEMBER 31, 2020

Presented By:Erie County Finance Department

COUNTY OF ERIE, PENNSYLVANIAANNUAL COMPREHENSIVE FINANCIAL REPORT

FOR THE YEAR ENDED DECEMBER 31, 2020

TABLE OF CONTENTSPage

INTRODUCTARY SECTION:

Letter of Transmittal 1-11List of Elected and Appointed Officials 12Organizational Chart 13Certificate of Achievement for Excellence in Financial Reporting 14

FINANCIAL SECTION:

Independent Auditor's Report 15-18Management's Discussion and Analysis 19-38

Basic Financial Statements:

Government-Wide Financial Statements:Statement of Net Position 40Statement of Activities 41-42

Fund Financial Statements:Balance Sheet - Governmental Funds 43-44Reconciliation of the Governmental Funds Balance Sheet to the

Statement of Net Position 45Statement of Revenues, Expenditures, and Changes in Fund

Balance - Governmental Funds 46-47Reconciliation of the Statement of Revenues, Expenditures, and

Changes in Fund Balance of Governmental Funds to the Statementof Activities 48

Statement of Net Position - Proprietary Funds 49-50Statement of Revenues, Expenses, and Changes in Net Position - Proprietary Funds 51Statement of Cash Flows - Proprietary Funds 52Statement of Fiduciary Net Position - Fiduciary Funds 53Statement of Changes in Fiduciary Net Position - Fiduciary Funds 54

Notes to Financial Statements 55-112

Required Supplementary Information:

Pension Plan Disclosures:Schedule of Changes in the County's Net Pension Liability (Asset) and Related Ratios:

County 114-115Blended Component Unit - Pleasant Ridge Manor 116-117Schedule of County Contributions and Investment Returns 118-119

Notes to Schedules of Required Supplementary Information - Pension PlanCounty 120Blended Component Unit - Pleasant Ridge Manor 121



TABLE OF CONTENTS (CONTINUED)

OPEB Disclosures:County 122Blended Component Unit - Pleasant Ridge Manor 123

Notes to Schedules of Required Supplementary Information - OPEBCounty 124Blended Component Unit - Pleasant Ridge Manor 125

General and Major Special Revenue Funds Schedule of Revenue, Expenditures, and 126Changes in Fund Balance - Budget to Actual:

General Fund 127Mental Health/Intellectual Disabilities Fund 128HealthChoices Fund 129Children and Youth Fund 130Gaming Fund 131

Notes to Schedules of Required Supplementary Information 132

Supplementary Information:

Nonmajor Governmental Funds: 134Combining Financial Statements and Schedules:

Combining Balance Sheet - Nonmajor Governmental Funds 135-136Combining Statement of Revenues, Expenditures, and Changes in Fund Balance -

Governmental Funds 137-138Schedule of Revenues, Expenditures, and Changes in Fund Balance - Budget to Actual

General Fund 139Liquid Fuels Fund 140Domestic Relations Fund 141Drug and Alcohol Fund 142Public Health Fund 143Library Fund 144Planning Fund 145Public Safety Fund 146Erie County Care Management, Inc. 147CARES 148Debt Service Fund 149Capital Projects Fund 150

Fiduciary Funds: 151-152Combining Statement of Fiduciary Net Position - Custodial Funds 153-154Combining Statement of Changes in Assets and Liabilities - Custodial Funds 155-156Combining Statement of Fiduciary Net Position - Pension Funds 157Combining Statement of Changes in Assets and Liabilities - Pension Funds 158

Capital Assets Used in the Operation of Governmental Funds:Schedule of Function and Activity 160Schedule of Changes by Function and Activity 161Schedule of Assets by Source 162



TABLE OF CONTENTS (CONTINUED)

STATISTICAL SECTION:

Table of Contents 163

Financial Trends: 164Net Position by Component 165-166Changes in Net Position 167-170Fund Balances - Governmental Funds 171-172Changes in Fund Balances - Governmental Funds 173-174Program Revenues by Function/Program 175-176

Revenue Capacity: 177Assessed Value and Actual Value of Taxable Property 178-179Direct and Overlapping Property Tax Rates 180-183Principal Property Taxpayers 184Property Tax Levies and Collections 185

Debt Capacity: 186Ratios of General Bonded Debt Outstanding 187-188Direct and Overlapping Debt 189-190Ratios of General Obligation Bonds Outstanding and Legal Debt Margin 191-192Debt Statement Pursuant to Local Government Unit Debt Act 193Borrowing Base Certificate 194

Demographic and Economic Information: 195Demographic and Economic Statistics 196-197Principal Employers 198

Operating Information: 199Full-time Equivalent County Government Employees by Function/Program 200Operating Indicators by Function/Program 201-204Capital Assets Statistics by Function/Program 205-206Salaries of Principal County Officials 207Collective Bargaining Agreements 208

Kathy Dahlkemper, County Executive June 25, 2021Members of County Council andCitizens of Erie County

Ladies and Gentlemen:

Both state law and Article V, Section 5d(7) of the Home Rule Charter require that within six monthsof the close of each year, a complete set of financial statements be presented in conformity withgenerally accepted accounting principles (GAAP) and audited in accordance with generallyaccepted auditing standards by a firm of licensed certified public accountants. Pursuant to thisrequirement, I am pleased to present the Annual Comprehensive Financial Report of the Countyof Erie for the fiscal year ended December 31, 2020.

This report consists of management’s representations concerning the finances of the County ofErie. Consequently, management assumes full responsibility for the completeness and thereliability of all of the information presented in this report. To provide a reasonable basis formaking these representations, management of the County of Erie has established acomprehensive internal control framework that is designed both to protect the government’sassets from loss, theft, or misuse, and to compile sufficient reliable information for the preparationof the County of Erie’s financial statements in conformity with GAAP. Because the cost of internalcontrol should not outweigh their benefits, the County of Erie’s comprehensive framework ofinternal controls has been designed to provide reasonable rather than absolute assurance thatthe financial statements will be free from material misstatement. Management asserts that, to thebest of our knowledge and belief, this financial report is complete and reliable in all materialrespects. This report is designed to provide information to various users including the tax payersof Erie County, investors, creditors, government officials and the general public. Its intent is todescribe the County’s financial position and the financial results of its operations as of and for theyear ended December 31, 2020.

Zelenkfoske Axelrod LLC, a firm of licensed certified public accountants, has audited the Countyof Erie’s financial statements. The goal of an independent audit is to provide reasonableassurance that the financial statements of the County of Erie are free from material misstatement.The independent audit involves examining, on a test basis, evidence supporting the amounts anddisclosures in the financial statements; assessing the accounting principles used and significantestimates made by management; and evaluating the overall financial statement presentation. Theindependent auditor concluded, based upon the audit, that there was a reasonable basis forrendering an unmodified opinion that the County of Erie’s financial statements for the fiscal yearended December 31, 2020, are fairly presented in conformity with GAAP. The independentauditor’s report is presented as the first component of the financial section of this report.

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The independent audit of the financial statements of the County of Erie was part of a broader,federally mandated “Single Audit” designed to meet the special needs of federal grant agencies.The standards governing Single Audit engagements require the independent auditor to report notonly on the fair presentation of the financial statements, but also on the audited government’sinternal controls and compliance with legal requirements, with special emphasis on internalcontrols and legal requirements involving the administration of federal awards. These reports areavailable in the County of Erie’s separately issued Single Audit Report.

Governmental Accounting Standards Board Statement No. 34 requires that management providea narrative introduction, overview, and analysis to accompany the basic financial statements inthe form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designedto complement the MD&A and should be read in conjunction with it. The County of Erie’s MD&Acan be found immediately following the report of the independent auditors.

Profile of the Government – County of Erie, Pennsylvania

The County of Erie, incorporated in 1803, is one of 67 counties in the Commonwealth ofPennsylvania; it occupies the northwest corner of the State, adjacent to Ohio, New York, andLake Erie. Within the County is the City of Erie, the County seat and the fourth largest city inPennsylvania, as well as 37 other municipalities. Erie County’s 269,428 residents live within its812 miles.

The County of Erie is a third class county. The County is governed under a Home Rule Charter,which took effect in 1978, and provides for a County Executive elected at large to a four-year termto perform the executive functions of government. The Home Rule Charter of the County of Eriealso requires the adoption of an Administrative Code which details the administration andoperation of the County. A part-time County Council is elected from seven districts within theCounty and serves as the legislative branch of government. The judicial branch of Countygovernment, the Court of Common Pleas, is comprised of nine elected judges and is part of theunified judicial system legislated by the Pennsylvania Constitution. The organization of the Countyis more fully described in the chart that follows this transmittal.

For financial reporting purposes, the County of Erie, Pennsylvania includes all funds and accountgroups that are controlled by or dependent on the County. Control by or dependence on theCounty was determined on the basis of budget adoption, taxing authority, outstanding debtsecured by revenues or general obligation of the County, obligation of the County to finance anydeficits that may occur or receipt of significant subsidies from the County.

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Reporting Entity

GASB Statement No. 61, “The Financial Reporting Entity: Omnibus,” an amendment for GASBStatements No. 14 and No. 34, establishes the standards for defining and reporting on thefinancial reporting entity. The primary government is the core or the nucleus of the financialreporting entity. For this report, the County is considered the primary government.

In accordance with generally accepted accounting principles, the financial statements of theCounty’s discrete and blended component units are included in this report because of thesignificance of their operational or financial relationships with the County. A component unit is alegally separate entity that meets one or more of the following criteria; the primary governmentappoints the majority of the board and is able to impose its will in the component unit or is in arelationship of financial benefit or burden with the component unit, the component unit is fiscallydependent on the primary government, or the financial statements of the primary governmentwould be misleading without the component unit. The Erie County Gaming Revenue Authority(ECGRA) and newly established Erie County Land Bank are discreetly presented componentunits, and as such their financial data is presented separately from the primary government.ECGRA administers the restricted gaming revenue Erie County received from the operation of acasino located in the county. The Erie County Land Bank was established by the revised GamingRevenue Act in 2017 and was formed on June 7, 2018, for the purpose of land managementthroughout Erie County to promote redevelopment. Starting with next year’s audit there will be athird discreetly presented component unit, the Erie County Community College. On July 8, 2020,the Pennsylvania State Board of Education voted 10-5 to establish the Erie County CommunityCollege. The college will have their inaugural session fall of 2021. The County is the localsponsor for the school and is responsible for all expenses not covered by tuition and state funds.

Pleasant Ridge Manor and Erie County Care Management are blended component units in thisreport because the services provided are so intertwined with the primary government that theyare in substance, the same as the primary government. Pleasant Ridge Manor, the County’snursing home, provides both short-term rehabilitation and long-term care for chronically ill andelderly residents. It is included in the County’s financial statements as a business type activitiesfund. Erie County Care Management provides services to Medicare eligible clients of the County’sMHID, Drug and Alcohol and Children & Youth funds. It is included in the County’s non-majorspecial revenue funds.

Countywide Services

The County has adopted a mission statement in its Three-Year Plan which broadly describes theservices it provides:

1. To operate as agents of the Commonwealth of Pennsylvania in the administration ofjustice, maintenance of public records, and conduct of elections and assistance toveterans.

2. To carry out, in partnership with the State, human service programs providing protectionto our children, assistance to the mentally ill and intellectually disabled, programs toaddress substance abuse, to provide support to our senior citizens, long-term care for ourmedically indigent, protection of the environment and public health of our community,

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library and information services to our residents, job training and day care for ourunderemployed and transportation to our citizens.

3. To administer State and Federal grants for programs designed to improve the health,welfare and economic opportunity of our residents.

4. To assist our townships, cities, and boroughs in planning, economic development, andproviding municipal services.

5. To work with community partners to promote job growth and the well-being of residents ofErie County.

6. To fulfill our responsibility to our taxpayers by fairly reporting the County’s financialcondition, honestly appraising the costs of our programs, seeking the most economicalstrategies in maintaining services and avoiding attempts to burden the future with today’scosts.

County Programs are categorized in four-broad classes: General Government, Courts andRelated Offices, Corrections and Community Services. The principal programs in each classinclude:

General Government

Offices of the County Executive, County Council and the County ControllerOffices of Voter Registration, Conduct of Elections, and Human Relations CommissionCentral Support services departments under the County Executives appointees: the CountySolicitor and the Directors of Administration, Human Resources, Finance and InformationTechnology

Courts and Related Offices

The Sixth Judicial District of Pennsylvania (nine Judges of the Court of Common Pleas)Thirteen District Magisterial JudgesOffices of the Clerk of Records, Sheriff, District Attorney, Coroner and Public DefenderOffices of Domestic Relations (Support Enforcement)

Corrections

Adult Probation and Juvenile Probation DepartmentsDepartment of Corrections (Erie County Prison)Juvenile Detention Center and other delinquent child institutional treatment

Community Services

Department of Human Services, which operates the County’s Mental Health / IntellectualDisabilities, Children and Youth Services, Drug and Alcohol Abuse and Health ChoicesErie County Care Management Inc.Department of Public Health

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The Erie County Library FundErie County Pleasant Ridge ManorOffice of Veterans AffairsErie County Gaming FundDepartment of PlanningGrants to Community OrganizationsLiquid FuelsErie County’s Public Safety Programs, Emergency-911 Program and Emergency Management

Internal Control

The County’s internal accounting control system is a comprehensive framework that providesemployees and taxpayers with assurances that the assets of the government are reasonablysafeguarded against loss and are recorded properly. Internal controls also provide assurance thatthe financial statements are reliable and prepared in compliance with generally acceptedaccounting principles. Because the cost of the internal controls should never outweigh the benefitsderived from the internal controls, the County’s controls have been designed to providereasonable rather than absolute assurance the financial statements will be free from materialmisstatement.

The Finance Department is responsible for creating and maintaining the accounting system forthe County, promulgating fiscal policy, as well as preparing and monitoring the annual budget.The Controller’s office has the post-audit function.

Budget

The annual budget serves as the foundation for the County of Erie’s financial planning and control.The budget process starts with the development of the County’s Three-Year Plan, which forecastsanticipated financial needs and outlines potential changes in services over the next three-yearperiod as well as projects the results of operations of the current budget period. Later in the year,all county departments receive a budget package including the administration’s preliminary nextyear’s budget, the current year’s original and current budget, current six months activity, andhistorical activity, and current and next year’s wages and fringes for each employee. Thedepartment must project its current year’s revenue and expenditures, and justify any proposedchanges to the preliminary budget. The administration holds budget meetings with eachdepartment. On or before October 1st of each year, the administration submits a balanced budgetto County Council. Council then holds additional budget meetings with departments and officialsfrom the administration. After holding public meetings on the budget, County Council must adopta balanced budget on or before December 1st. The appropriated budget is prepared by fund andby department. The legal level of budgetary control for Erie County is the department level.Departments may transfer up to ten percent of appropriations within their department with theapproval of the Finance Director. County Council must approve all other transfers, supplementalappropriations, and revised revenue and expense requests. Budget-to-actual comparisons areprovided in this report for each individual governmental fund for which an appropriated annualbudget has been adopted.

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Property Assessments

The County has committed to a countywide reassessment cycle taking into account the commonlevel ratios, property values and a need for a reassessment. The last reassessment was effectiveJanuary 1, 2013. As a result of the reassessment, the 2013 County taxable assessed valuechanged from $11.8 billion to $13.8 billion. Particular emphasis was placed on bringing lakefrontproperty in line with the current market value. The latest common level ratio is 90.1% in relationto the base year of 2013. The County typically would start a reassessment when the commonlevel ratio is close to 80%. In preparation for a future reassessment, the department is upgradingits software to allow assessors to make changes to the database in the field. The number ofbuilding permits issued decreased by 156 from the prior year. In 2019, the number had increasedto 2,616 due to the approval of a 10 year tax free (Local Economic Revitalization Tax AssistanceAct) LERTA program for the City of Erie which would apply to new construction and improvementsmade to all Industrial, Commercial, Business and Residential properties. In 2020, the number ofbuilding permits decreased to 2,460 though a decrease it was still higher than 2018 and showedthat even with the pandemic people were building and doing renovations. With the addition oftime and having to stay home many people updated or did projects around their homes.

Factors Affecting Financial Condition

The information presented in the financial statements is best understood when it is consideredfrom the broader perspective of the specific environment within which the County of Erie operates.

Local Economy

Like communities all over the world Erie struggled to deal with the fallout of the Covid pandemicin 2020-2021. Funding made available via the CARES Act facilitated the processing of 500 Countygrants to local businesses for the purpose of mitigating the financial damage that resulted fromthe lock downs and other virus related actions. Despite the damage incurred many localbusinesses continued to invest in Erie. The following overview highlights some of the projectsthat were sidetracked by the pandemic but are back underway.

Scott Enterprises has completed the construction of the $25M Harbor Place Hotel –whichrepresents the first phase of a $150M investment on Erie’s Bayfront.

Local developer Pete Zaphiris is continuing his $15 million mid-town, multi-structure renovation inthe Renaissance District, which is the core of Erie’s innovation and entrepreneurship activity. Theproject consists of the renovation of a three story office building and the construction of a bankingfacility.

Gannon University’s Institute for Health and Cyber Knowledge (IHACK) is proceeding to moveinto its 100,000 square foot space that is the hub of their cyber program. The college has addedtwo new degrees in cyber engineering and cyber security. In addition Gannon has completed its$10M renovation of the former RCWE Building adjacent to their campus.

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The Erie Downtown Development Corporation (EDDC) is proceeding with plans for a totalinvestment of $150M in the center of downtown Erie that will result in 477,000 sq. ft. of developedspace, 100,000 sq. ft. of residential units (150-175 total units; 350-400 parking spaces; andhousing approximately 40 businesses. This investment will bring an estimated 400 new jobs todowntown.

UPMC/Hamot is nearing completion of its $135M expansion on their downtown healthcarecampus.

AHN/St. Vincent’s is also nearing completion on its $125M expansion of their healthcare campusin southern part of the City of Erie.

UPMC Park, home of the Erie Sea Wolves recently completed aa $12M renovation of the parkwhich will include a new entrance plaza, climate controlled Team Store, new stadium club, partydeck, picnic perch and home plate suite.

Welcoming New Businesses to Erie

A plastics recycling company is presently finalizing investment to build a $100M plant in the Cityof Erie that will be the largest plastic recycling facility in the world. The company has secured asite and advancing negotiations with key sourcing agents and customers. Once constructed,employment is projected at 125 full-time positions.

An indoor farming corporation has an option on a property on the lower eastside of Erie tocomplete a $30M investment that will create between 100-125 full-time jobs.

A local technology company – Data Inventions – is completing their Series A fund-raising to growtheir IoT/Industry 4.0 platform deployment throughout the United States that will lead to 80 full-time positions.

Federal Resources Corporation opened its new corporate headquarters in our West Bayfrontwhere as many of its 60 employees choose to also reside as part of the company’s DowntownLiving Stipend initiative.

Community College

Erie County is currently hiring staff and going through a site selection process for its newCommunity College.

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Long-term Financial Planning

The County Three Year Plan is a strategic tool used by the County to identify trends in services,funding requirements, as well as plan for capital projects. In the three year plan for 2021, weestimated a budget of $461 million with the final budget passed by Council amounting to $475million (without Erie County Care Management which wasn’t included in the three year plan). Theestimate for 2021 was projected with much uncertainty due to the Covid pandemic. The budgetreflected lower revenue figures in trying to budget conservatively with the uncertainty of thepandemic. Also there were small decreases in health care and pension costs. For pension eventhough the annual determined contribution increased the County’s accrual rate decreased due to2020 estimate being overstated due to the actuary conservatively estimating the contribution after2019’s actual annual determined contribution was determined much higher than the estimate.This deficit was made up using employee fringe fund balance.

In 2021, the Erie County Community College will hold its first semester in fall 2021. The collegewas officially voted on July 8, 2020, the Pennsylvania State Board of Education approved thecollege by a 10-5 vote. Erie County is the local sponsor and is responsible for all deficits notcovered by student tuition or state funds. The County in the budgeting process has been movingcommunity grant expenses out of the Gaming Fund and into the General Fund to startaccumulating fund balance to cover expenses incurred by the Community College in the future.

County Council in cooperation with the administration voted in 2021 to accept a bid to tear downPleasant Ridge Manor East. There are no plans for the property once this is accomplished.

Future County Operations Budgets

In November of 2020, the County Council adopted the 2021 budget. The budget, net of internalservice funds and transfers to other funds, is $413,958,315 and included a .25 mil tax increase.

Fiscal Accomplishments and Concerns

The County has a very healthy fund balance at year end 2020 of $59,560,692. Of this amount$49,001,736 is unassigned and can be used for any purpose. This calculates to 49.5% of annualexpenditures and transfers. As a result of having a robust fund balance, the County’s bond ratingremains at AA by Standard and Poor’s and Aa2 by Moody’s. In 2020, the County was budgetedto use $3.4 million of general fund balance to balance the budget. The yearend result was theCounty added $4.9 million to fund balance. Tax collections came in as budgeted with interim taxcollections being above budget. Part of this was due to property owners using stimulus funds topay their property taxes. Even though most revenues were below budget so were the offsettingexpenses. Many functions could not be accomplished due to limits set by the pandemic.

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The County also implemented GASB 75 dealing with the recording of the OPEB expense in 2018.Because the County does not fund its post-employment benefits this continually places theCounty’s unrestricted net position into a deficit. The amount for unrestricted net position in 2020was ($11,112,606). The amount of expense/(income) recorded in the statement of activities was$(24,487,302).

The County continues to closely watch developments in the state and federal budgets, sincefederal and state grant revenue accounts for over 51% of all budgeted revenue. One of the majorconcerns for the County for 2021 and going forward is the effects of COVID-19 on our localeconomy and also on state and federal funding. Currently it did not have a significant affect theCounty real estate collections but we feel that going forward there are going to be financial andeconomic issues that we are going to have to deal with. This is still an on-going issue and will beaffecting us for a while. Erie County is set to receive $52,391,502 in direct federal aid from theAmerican Rescue Plan Act. The County will receive half or $26,195,251 in 2021 and the secondhalf will be given in 2022.

Relevant Financial Policies

In 2015, County Council adopted Resolution 26, 2015, which mandates a minimum of two month’sexpenditures in unassigned fund balance. The policy also states that if unassigned fund balancedrops below two month’s expenditures, the County must restore the fund balance within two fiscalyears. An analysis of unassigned fund balance is presented to Council at each finance committeemeeting. This analysis indicates the level of unassigned fund balance should all ordinances infront of Council pass. The County has maintained more than the minimal level of fund balancesince the policy was adopted. The County budgets thereafter have included funds sufficient tomaintain a General Fund unassigned fund balance greater than two months of operation.

As described in the Notes to the Financial Statements, the County has a pay-as-you go policy forthe following:

Self- insured medical and dental benefitsAccrued sick timeTermination paymentsPost-Employment Benefits Other Than Pension Benefits

In May of 2018, County Council adopted Resolution 36, 2018, which amended the County’sAdministrative Code and purchasing policy to make it in compliance with the mandates of theUniform Guidance. The current policy had provisions in it for the purchase or rental of certainitems, insurance coverage or services that exceeded $12,500 but were under $25,000. Theseitems were required to solicit three competitive quotes. The $12,500 threshold has now droppedto $3,500 for purchases using federal grant funds. Items above $25,000 are required to go througha bid process. Ordinance 57, 2019 further amended the purchasing code to be in compliance withthe uniform guidance changing the minimum threshold from $3,500 to $10,000. It also addingthe wording that the County would follow the guidelines under Uniform Guidance 2CFR200.

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As part of the 2019-2022 contract labor negotiations a wellness policy was implemented. Thispolicy states that starting in 2021 that if you do the four requirements your County per paydeduction will stay at 5% but if you fail to qualify then it increases to 10%. The four requirementsare: wellness survey, a biometric screening, a physical and a tobacco cessation program if youpartake in tobacco products. This is in hopes of promoting wellness and reducing medical costssince we are self-funded.

In 2019, we updated our business use of car insurance policy to include a provision for on-linepurchased policies. Our current policy had requirements dealing with insurance agents that arenot possible with buying on-line. An average business usage percentage was determined in theseinstances.

In 2020, the County drafted a policy dealing with the taxability of employer provided clothing. Thisis to ensure that the County is in compliance with IRS regulations as outlined in IRS Publication5138.

Awards and Acknowledgments

The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement forExcellence in Financial Reporting to the County of Erie for its Annual Comprehensive FinancialReport (ACFR) for the fiscal year ended December 31, 2019. This was the twenty-eighthconsecutive year that the government has received this prestigious award. In order to be awardeda Certificate of Achievement, a government must publish an easily readable and efficientlyorganized Annual Comprehensive Financial Report. This report must satisfy both generallyaccepted accounting principles and applicable legal requirements.

A Certificate of Achievement is valid for a period of one year only. We believe that our currentACFR continues to meet the Certificate of Achievement Program’s requirements and we aresubmitting it to GFOA to determine its eligibility for another certificate.

The Department of Finance relies on the cooperation and support of all elected officials anddepartment heads, especially County Controller Kyle Foust and his Deputy Mark Orlop, whomanage the County’s internal audit programs. We rely heavily on the financial staff of variousgrant programs, especially Manager of Accounting for Human Services Patrick Ryan, Lisa Robie,Anne Maries, Linda Jarzynka, and Darlene Miller who perform the accounting activities in theDepartment of Human Services, Melissa Plyler, accountant for the Department of Planning, EricMcGrath of Erie County Care Management, and Michael Anderson, the Chief Financial Officer ofPleasant Ridge Manor.

The preparation of this report would not have been possible without the efficient and dedicatedservices of the entire staff of the General Accounting Department, including Jennifer Ertl, ErickaKnight, Carrie Laska, Jennifer Kruszewski, Helen Lucas, Sarah Weismiller, Tammy Lassman, andBridget Lander. Special thanks to Finance Director, Jim Sparber, who without his support wewould not be able to accomplish all we do.

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We are pleased to be able to present this information, which we believe to be vital to your financialplanning and decision making.

Respectfully submitted,

Tracey FugagliTracey FugagliManager of Accounting

Page 12COUNTY OF ERIE, PENNSYLVANIA

LIST OF ELECTED AND APPOINTED OFFICIALSAS OF DECEMBER 31, 2020

Elected Officials

County Executive Kathy Dahlkemper

Council Members Andre HortonCarl Anderson, IIIScott RastetterKimberly ClearBrian ShankMary RennieEllen Schauerman

County Controller Kyle Foust

District Attorney Jack Daneri

Sheriff John Loomis

Coroner Lyell P. Cook

Clerk of Records Kenneth Gamble

Common Pleas Judges John TrucillaJohn J. MeadElizabeth K. KellyDaniel Barbender Jr.Stephanie DomitrovichJoesph Walsh, IIIMarshall J. PiccininiDavid G. RidgeErin Connelly

Appointed Officials

Director of Administration Gary Lee

Director of Finance James Sparber

Director of Human Resources Sabrina Fischer

County Solicitor (part-time) Richard Perhacs

INDEPENDENT AUDITOR’S REPORT

The County’s basic financial statements are audited each fiscal year by independentcertified public accountants. The audits are conducted in accordance with generallyaccepted auditing standards.

The principal auditor’s report on their audit of the County’s basic financial statements iscontained in this section.

Members of County CouncilCounty of ErieErie, Pennsylvania

Independent Auditor’s Report

We have audited the accompanying financial statements of the governmental activities, the business-typeactivities, the aggregate discretely presented component units, each major fund, and the aggregateremaining fund information of the County of Erie, Pennsylvania (County), as of and for the year endedDecember 31, 2020, and related notes to the financial statements, which collectively comprise the County’sbasic financial statements as listed in the table of contents.

Management’s Responsibility for the Financial Statements

Management is responsible for the preparation and fair presentation of these financial statements inaccordance with accounting principles generally accepted in the United States of America; this includes thedesign, implementation, and maintenance of internal control relevant to the preparation and fairpresentation of financial statements that are free from material misstatement, whether due to fraud or error.

Auditor’s Responsibility

Our responsibility is to express opinions on these financial statements based on our audit. We did not auditthe financial statements of the Erie County Gaming Revenue Authority and the Erie County Land Bank,which represents 100% of the assets, net position, and revenues of the discretely presented componentunits. These financial statements were audited by other auditors whose report thereon has been furnishedto us, and our opinion, insofar as it relates to the amounts included for the Erie County Gaming RevenueAuthority and the Erie County Land Bank, is based solely on the report of the other auditors. We conductedour audit in accordance with auditing standards generally accepted in the United States of America.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in thefinancial statements. The procedures selected depend on the auditor’s judgement, including theassessment of the risk of material misstatement of the financial statements, whether due to fraud or error.In making those risk assessments, the auditor considers internal control relevant to the entity’s preparationand fair presentation of the financial statements in order to design audit procedures that are appropriate inthe circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’sinternal control. Accordingly, we express no such opinion. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of significant accounting estimatesmade by management, as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for ouraudit opinions.

Members of County CouncilCounty of Erie, PennsylvaniaIndependent Auditor’s Report

Opinions

In our opinion, based on our audit and the report of the other auditors, the financial statements referred toabove present fairly, in all material respects, the respective financial position of the governmental activities,the business-type activities, the aggregate discretely presented component units, each major fund, and theaggregate remaining fund information of the County as of December 31, 2020, and the respective changesin financial position, and where applicable, cash flows thereof for the year ended in accordance withaccounting principles generally accepted in the United States of America.

Adoption of GASB Statements

As described in Note 1 to the financial statements, in 2020 the County adopted the provisions ofGovernmental Accounting Standards Board’s Statement No. 84 “Fiduciary Activities” and Statement No.90 “Majority Equity Interests (an Amendment of GASB Statements No. 14 and No. 61)”, and certainprovisions of Statement No. 97, “Certain Component Unit Criteria, and Accounting and Financial Reportingfor Internal Revenue Code Section 457 Deferred Compensation Plans – an amendment of GASBStatements No. 14 and No. 84, and a supersession of GASB Statement No. 32”. Our opinion is not modifiedin respect to these matters.

Other Matters

Required Supplementary Information

Accounting principles generally accepted in the United States of America require that the Management’sDiscussion and Analysis; budgetary comparison schedules, pension plan disclosures, otherpostemployment benefit information; and budgetary comparison information (as listed in the table ofcontents as required supplementary information) be presented to supplement the basic financialstatements. Such information, although not a part of the basic financial statements, is required by theGovernmental Accounting Standards Board, who considers it to be an essential part of financial reportingfor placing the basic financial statements in an appropriate operational, economic, or historical context. Wehave applied certain limited procedures to the required supplementary information in accordance withauditing standards generally accepted in the United States of America, which consisted of inquires ofmanagement about the methods of preparing the information and comparing the information for consistencywith management’s responses to our inquires, the basic financial statements, and other knowledge weobtained during our audit of the basic financial statements. We do not express an opinion or provide anyassurance on the information because the limited procedures do not provide us with sufficient evidence toexpress an opinion or to provide any assurance.

Members of County CouncilCounty of Erie, PennsylvaniaIndependent Auditor’s Report

Other Information

Our audit was conducted for the purpose of forming opinions on the financial statements that collectivelycomprise the County’s basic financial statements. The introductory section, combining and individualnonmajor fund financial statements and budgetary schedules, fiduciary fund combining statements, capitalasset schedules, and statistical section are presented for purposes of additional analysis and are not arequired part of the basic financial statements.

The combining and individual nonmajor fund financial statements and budgetary schedules, fiduciary fundcombining statements, and the capital asset schedules are the responsibility of management, were derivedfrom, and relate directly to the underlying accounting and other records used to prepare the basic financialstatements. Such information has been subjected to the auditing procedures, including comparing andreconciling such information directly to the underlying accounting and other records used to prepare thebasic financial statements or to the basic financial statements themselves, and other additional proceduresin accordance with auditing standards generally accepted in the United States of America. In our opinion,the combining and individual nonmajor fund financial statements and budgetary schedules, fiduciary fundcombining and individual nonmajor fund financial statements and budgetary schedules, fiduciary fundcombining statements, and the capital asset schedules are fairly stated, in all material respects, in relationto the basic financial statements as a whole.

The introductory and statistical sections have not been subjected to the auditing procedures applied in theaudit of the basic financial statements and, accordingly, we do not express an opinion or provide anyassurance on them.

Zelenkofske Axelrod LLC

Pittsburgh, PennsylvaniaJune 25, 2021


MANAGEMENT DISCUSSION AND ANALYSIS (CONTINUED)FOR THE YEAR ENDED DECEMBER 31, 2020

As management of the County of Erie, we offer readers of the County of Erie’s financial statements thisnarrative overview and analysis of the financial activities of the County of Erie for the fiscal year endedDecember 31, 2020. We encourage readers to consider the information presented here in conjunction withthe accompanying basic financial statements and notes to the financial statements in order to obtain athorough understanding of the County of Erie’s financial condition at December 31, 2020. All amounts,unless otherwise indicated, are expressed in dollars.

Financial Highlights

The governmental activities net position at December 31, 2020 was $42,806,905.

The governmental activities total net position increased by $24,487,302.

The unrestricted portion of net position deficit decreased $15,227,049 from $26,339,655 at year-end 2019 to $11,112,606 at year end 2020.

The net pension liability decreased $8,654,421 and the net OPEB liability decreased $2,881,983.

As of the close of the current fiscal year, the County of Erie’s governmental funds reportedcombined ending fund balances of $104,533,337, an increase of $12,424,113 in comparison withthe prior year 2019’s ending fund balance of $92,109,224.

The County’s real property tax rate remained at 5.71 mills. The rate had been increased in 2019to 5.71 mills from the previous amount of 5.41 mills in 2018.

The County’s investment bond rating from Standard and Poor’s is AA. Moody’s bond rating is Aa2.

At December 31, 2020, the County of Erie had $38,400,000 of bonds outstanding. Of this total,$31,190,000 or 81% of the County’s debt will be retired by the end of 2025.

The total fund balance of the General Fund at December 31, 2020 was $59,560,692. Theunassigned portion of the fund balance was $49,001,736, which is approximately 49.5% ofexpenditures and transfers to other funds in the General Fund for the fiscal year 2020. Theunassigned fund balance increased $4,545,574 in 2020.

The County of Erie received $24,358,828 in CARES funding through the Pennsylvania Departmentof Community and Economic Development.

Overview of the Financial Statements

This discussion and analysis is intended to serve as an introduction to the County of Erie’s basic financialstatements. The County of Erie’s basic financial statements comprise three components: 1) government-wide financial statements, 2) fund financial statements, 3) notes to the financial statements. This reportalso contains other supplementary information in addition to the basic financial statements themselves.



Government-wide Financial Statements

The government-wide financial statements are designed to provide readers with a broad overview of theCounty of Erie’s finances in a manner similar to private-sector businesses.

The statement of net position presents information on all of the County’s assets, deferred outflows ofresources, liabilities, and deferred inflows of resources except fiduciary funds, with the difference reportedas net position. This statement serves a purpose similar to that of a balance sheet of a private sectorbusiness. Over time, increases or decreases in net position may serve as a useful indicator of whether thefinancial position of the County is improving or deteriorating. However, other non-financial factors such aschanges in the County’s real property tax base and general economic conditions must also be considered.

The statement of activities presents information showing how the government’s net position changedduring the most recent fiscal year. All changes in net position are reported as soon as the underlying eventgiving rise to the change occurs, regardless of the timing of the related cash flows. Thus, revenues andexpenses are reported in this statement for some items that will only result in cash flows in future fiscalperiods (e.g., uncollected taxes and earned but unpaid wages).

Both of the government-wide financial statements distinguish functions of the County of Erie that areprincipally supported by taxes and intergovernmental revenues (governmental activities). Thegovernmental activities of the County of Erie include general government, courts and related offices,corrections, community services, public health, public works and library services.

Governmental Activities,Business-Type Activities and

Component UnitsMeasurement Focus:Economic Resources

Accounting Basis : Accrual

Statement of Net PositionAssets - Liabilities

= Net Position

Statement of ActivitiesNet Program (Expense)

Revenue - General Revenues= Change in Net Position



The government-wide financial statements include not only the County of Erie itself (known as the primarygovernment), but also Pleasant Ridge Manor, a legally separate nursing home for indigent residents, andPleasant Ridge Manor Pension Trust, the legally separate pension fund of the nursing home for which theCounty of Erie are financially accountable, and is a business type component unit. Erie County GamingRevenue Authority (ECGRA) is also a component unit. ECGRA was created by the County to disburserestricted gaming funds to the community in accordance with state law. An additional component unit, theErie County Land Bank, was added in 2018. The state gaming law set provisions for the County to establisha Land Bank with gaming funds to aid in redevelopment and flight bright. Financial information for thesecomponent units are reported separately from the financial information presented for the primarygovernment itself. The statements also included Erie County Care Management Fund, a blended specialrevenue component unit that administrators and provides managed care services.

Fund Financial Statements

A fund is a grouping of related accounts that is used to maintain control over resources that have beensegregated for specific activities or objectives. The County of Erie, like other state and local governments,uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Allof the funds of the County of Erie can be divided into two categories: governmental funds and fiduciaryfunds.

Governmental funds - Governmental funds are used to account for essentially the same functions reportedas governmental activities in the government-wide financial statements. However, unlike the government-wide financial statements, governmental financial statements focus on near-term inflows and outflows ofspendable resources, as well as on balances of spendable resources available at the end of the fiscal year.Such information may be useful in evaluating a government’s near-term financing requirements.

Government FundsMeasurement Focus:

Current ResourcesAccounting Basis: Modified

Accrual

Balance SheetAssets = Liabilities +Fund

Balance

Statement of Revenues,Expenditures and Changes

in Fund BalanceRevenues-Expenditures +- Other

Financing Sources (Uses)= Net Change in Fund Balance

Proprietary FundsMeasurement Focus:Economic Resources

Accrual Basis: Accrual

Statement of Net PositionAssets - Liabilities

= Net Position

Statement of Revenues,Expenses and Changes in Fund

Net PositionOperating Income + ( -)

Non-operating Revenues(Expenses)

+ Capital Contributions= Change in Net Position

Statement of Cash Flows

Fiduciary FundsMeasurement Focus:Economic Resources

Accounting Basis: Accrual

Statement of NetPosition

Assets - Liabilities= Net Position

Statement of Changes inNet Position

Additions - Deductions= Change in Net Position



Because the focus of governmental funds is narrower than that of the government-wide financialstatements, it is useful to compare the information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of thegovernment’s near-term financing decisions. Both the governmental fund balance sheet and thegovernmental fund statement of revenues, expenditures, and changes in fund balances provide areconciliation to facilitate this comparison between governmental funds and governmental activities.

The County of Erie maintains fourteen individual governmental funds, as well as a capital projects fund anda debt service fund. Information is presented separately in the governmental fund balance sheet and in thegovernmental fund statement of revenues, expenditures, and changes in fund balance for the GeneralFund, Capital Projects Fund, Mental Health Intellectual Disabilities Fund, Children and Youth Fund, GamingFund, and Health Choices Fund, all of which are considered to be major funds. Data from the other tengovernmental funds are combined into a single, aggregated presentation. Individual fund data for each ofthese non-major governmental funds is provided in the form of combining statements elsewhere in thisreport. In 2020, an additional special revenue fund was added in order to handle the accounting of theCARES Act funding.

The County of Erie adopts an annual appropriated budget for all governmental funds except the CapitalProjects Fund. A budgetary comparison statement for each individual fund has been provided todemonstrate compliance with this budget. Budgetary control for the activities of the Capital Projects Fundis achieved through general obligation bond indenture provisions, contractual agreements, and restrictiveterms of the grants received.

Proprietary funds - In 2006, the County of Erie created an internal service fund. An internal service fundis an accounting device used to accumulate and allocate costs internally among the County of Erie’s variousfunctions. The County uses an internal service fund to account for the costs of employee fringe benefits,primarily the self-funded medical and dental programs. Because this service predominantly benefitsgovernmental rather than business-type functions, it has been included within governmental activities in thegovernment-wide statements. Pleasant Ridge Manor, the County’s legally separate nursing home, isconsidered as an enterprise fund since the intent is that the cost of providing the services to the public isprimarily covered by user changes and cost reimbursement plans. Proprietary funds provide the same typeof information as the government-wide financial statements, only in more detail.

Fiduciary funds – Fiduciary funds are used to account for resources held for the benefit of parties outsidethe government. Fiduciary funds are not reflected in the government-wide statement because theresources of those funds are not available to support the County of Erie’s own programs. The financialstatements include the statement of fiduciary net position, which reports the assets and liabilities of theCounty’s retirement trust fund, Pleasant Ridge Manor’s retirement trust fund and combined custodial funds.A statement of changes in fiduciary net position for the County’s retirement trust fund, Pleasant RidgeManor’s retirement trust fund and combined custodial funds is also provided. Finally, Combining statementsof fiduciary net position and statements of changes in fiduciary net position, which provides a detail of allcustodial funds and detail of the County’ retirement trust fund and Pleasant Ridge Manor’s retirement trustfund, can also be found in this report.

Notes to the financial statements - The notes provide additional information that is essential to a fullunderstanding of the data provided in the government-wide and fund financial statements. The notes tothe financial statements can be found in the basic financial statement tab.

The combining statements referred to earlier in connection with non-major governmental funds and fiduciaryagency funds are presented immediately following the notes to the financial statements.



The following is a summary of the Statement of Net Position with comparative totals for December 31, 2020.

2020 2019 2020 2019 2020 2019

Current and other assets 164,044,078$ 141,398,364$ 11,521,916$ 8,724,924$ 175,565,994$ 150,123,288$Capital assets 31,774,970 36,130,701 5,358,191 5,595,767 37,133,161 41,726,468

Total assets 195,819,048$ 177,529,065$ 16,880,107$ 14,320,691$ 212,699,155$ 191,849,756$

Deferred outflows of resources 6,058,747$ 6,059,090$ 918,140$ 1,114,183$ 6,976,887$ 7,173,273$

Long-term liabilities outstanding 94,588,006$ 106,767,782$ 2,550,980$ 2,376,863$ 97,138,986$ 109,144,645$Other liabilities 50,906,240 50,986,491 3,145,623 2,903,709 54,051,863 53,890,200

Total liabilities 145,494,246$ 157,754,273$ 5,696,603$ 5,280,572$ 151,190,849$ 163,034,845$

Deferred inflows of resources 13,576,644$ 7,514,279$ 6,210,717$ 3,261,035$ 19,787,361$ 10,775,314$

Net position:Net investment in capital assets 2,028,339$ 2,564,940$ 5,358,191$ 5,595,767$ 7,386,530$ 8,160,707$Restricted 51,891,172 42,094,318 - - 51,891,172 42,094,318Unrestricted (11,112,606) (26,339,655) 532,736 1,297,500 (10,579,870) (25,042,155)

Total net position 42,806,905$ 18,319,603$ 5,890,927$ 6,893,267$ 48,697,832$ 25,212,870$

Business-Type ActivitiesGovernmental Activities Total

Government-wide Financial Analysis

As noted earlier, net position may serve over time as a useful indicator of a government’s financial position.In the case of the County of Erie, governmental assets exceeded liabilities by $42,806,905 at December31, 2020.

Approximately 4.7% or $2,028,339 of net position reflects the County’s investment in capital assets (e.g.,land, buildings, furniture and equipment), less any related debt used to acquire those assets that is stilloutstanding. The County of Erie uses these capital assets to provide services to citizens; consequently,these assets are not available for future spending. Although the County of Erie’s investment in its capitalassets is reported net of related debt, it should be noted that the resources to repay this debt must beprovided from other sources since the capital assets themselves cannot be used to liquidate these liabilities.

The restricted portion of the County of Erie’s net position, $51,891,172 represents resources that aresubject to external restrictions on how they may be used. Restricted net position increased $9,796,854 fromthe previous year. Community Services increased $9,407,506 primarily due to the $2.28 million increase inthe Gaming Fund and an increase of $5.2 million in the Health Choices Fund, $497,296 in the PlanningFund, $323,473 in the Public Safety Fund and $823,315 in the Erie County Care Management Fund. PublicHealth also increased by $521,834. A detail of the restricted net position can be found on the face of thestatement of net position.

At the end of the current fiscal year, the County of Erie is reporting a positive balance in two of the netposition categories and a negative balance in the unrestricted category due to the implementation of theGovernment Accounting Standard Board (GASB) statement 75 dealing with post-employment benefits. Theunrestricted net position deficit decreased by $15,227,049 in 2020 due to the $20 million increase in currentassets along with decreases of $8.7 million and $2.9 million in other post-employment benefits and pensionliabilities, respectively. The business type activity maintained a positive net position in all categories.



The following is a summary of the Changes in Net Position with comparative amounts for December 31,2020.

2020 2019 Variance 2020 2019 VarianceRevenues:Program Revenues:

Charges for services 34,465,854$ 34,199,966$ 265,888$ 28,594,269$ 29,436,742$ (842,473)$Operating grants and contributions 250,297,884 211,760,934 38,536,950 - - -Capital grants and contributions - 323,842 (323,842) - - -

General Revenues:Property taxes: 82,341,054 81,960,521 380,533 - - -Hotel tax 3,227,022 5,072,017 (1,844,995) - - -Interest income 552,567 1,323,707 (771,140) 43,970 57,858 (13,888)Other income 2,579,292 2,601,021 (21,729) 19,563 82,200 (62,637)Transfers 500,000 - 500,000 - 1,200,012 (1,200,012)

Total revenues 373,963,673 337,242,008 36,721,665 28,657,802 30,776,812 (2,119,010)

Expenses:General government 17,346,167 25,307,026 (7,960,859) - - -Courts and related offices 24,553,399 27,732,729 (3,179,330) - - -Corrections 32,183,720 41,774,172 (9,590,452) - - -Community services 257,846,124 225,249,185 32,596,939 29,160,142 29,662,524 (502,382)Public health 8,331,574 8,455,125 (123,551) - - -Public works 878,173 773,450 104,723 - - -Library 7,071,786 8,692,756 (1,620,970) - - -Interest on long-term debt 1,265,428 1,539,182 (273,754) - - -Transfers - 1,200,012 (1,200,012) 500,000 - 500,000

Total expenses 349,476,371 340,723,637 8,752,734 29,660,142 29,662,524 (2,382)

Increase (decrease) in net position 24,487,302 (3,481,629) 27,968,931 (1,002,340) 1,114,288 (2,116,628)

Net position, beginning of year 18,319,603 21,801,232 (3,481,629) 6,893,267 5,778,979 1,114,288Net position, end of year 42,806,905$ 18,319,603$ 24,487,302$ 5,890,927$ 6,893,267$ (1,002,340)$

Governmental Activities Business-Type Activities

Governmental activities Governmental activities in 2020 increased the County’s net position by$24,487,302. Covid-19 had an impact on the Counties final outcome descriptions are included within thefollowing text. Key elements of this increase are as follows:

Program RevenuesØ Pennsylvania Governor Tom Wolfe shut down all non-essential businesses as of March 16, 2020.

Later some of these restrictions were partially lifted but they had an impact on our area.ØØ Property taxes increased by $380,533 (.46%). There was no tax rate increase in 2020 but there

was an increase in interim taxes due to people being home and doing home related projects.

Ø Hotel room rental tax decreased by $1.8 million (39.03%) due to the decline in occupancy duringthe COVID-19 pandemic.

Ø Charges for services increased 0.78% or by $265,888. The Recorder of Deeds revenue increased$23,135 in 2020. The increase was attributable to the reduction in the interest rates and anincrease in refinancing. Also in 2020 the state reimbursed the County $963,944 for part of the costof the purchase on new voting machines. The District Attorney’s office also received a large drugforfeiture payment that increased their revenue $164,706 over the amount of the previous year. Anew day reporting center for Adult Probation was opened in 2020. In order to offset the cost theCounty is now collecting the funds and teaching the DUI classes. Also occurring in 2020, PublicSafety 911 received an additional payment from the state in the amount of $356,856 which were



surplus interconnectivity funds from 2019 which the Advisory Board approved to pass on to thecounties. Erie County Care Management fees from Health Choices increased $192,512 due toincreased members because of the pandemic and the increase in the capitation rate. All otherdepartments and funds realized decreases in revenues. The Library having been closed or limitedhours had a decrease of $107,872. Office of Children and Youth fees declined $172,565 due toreduction in juvenile placements. The Courts and Court related offices’ revenue declineddramatically due the closing of the Courthouse and the postponing of trials for the majority of 2020.

Ø Operating grants increased by $38,536,950 (18.2%). The majority of this increase is attributableto the $24,358,828 the County received from the state for CARES (Coronavirus Aid, Relief andEconomic Security Act) funding. Health Choices grant funding increased $14,694,736 as a resultof increased rates from the State on the County’s capitation numbers, partially due to COVID-19,more eligible members, expanded usage and conversion from a fiscal to calendar year. There werealso smaller areas of increased funding. The Elections bureau received $444,229 in various grantfunds to improve the administration of elections, enhance election technology, to make securityimprovements and to prevent, prepare and respond to COVID-19. The County also received$950,060 from the Pennsylvania Department of Health and Human Services for the Public HealthPreparedness grant for the response of COVID-19. The Federal Reimbursement in the Correctionsdepartment also increased by $156,275 due to the inability to transport federal prisoners during thepandemic.

Ø Interest income decreased in 2020 by $771,140 or 135.9%. In the General Fund there was adecrease of $490,082 as a result of the reduction in interest rates. At the beginning of 2020 theCounty was receiving interest on the money market account at the rate of 1.8% and by year endthis rate had dropped to .35%. Other funds showing decreases were MHID with $75,068, HealthChoices with $90,700, Planning Fund with $70,921 and Capital Projects with $58,536.



Program Expenses

Ø General government expenses decreased by $7.9 million or 31.5%. In 2019 the County purchaseda voting system to be in compliance with the new voting guidelines. The cost of the system was$3.0 million which increased the capital outlay expense for that year. Also the Internal ServiceFund ended the year with a surplus of $2.88 million. Other reductions occurred in the amount ofpost-employment benefit liability ($600,197) and the net pension cost ($620,287).

Ø Courts and related expenses decreased $3.18 million or 11.46% due to the change in the otherpostemployment benefit ($2,589,475) and pension expense ($1,737,446). Decreased expensesoccurred in the Courts Computer bureau of $283,800 and Recorder of Deeds of $207,185 due toone-time capital purchased in 2019.

Ø A decrease of $9.59 million or 23.0% was related to corrections expenses. A decrease of $4.2million was related to the net expense between the postemployment benefits and net pensionliability expense. The County moved $4.6 million of Prison wages, overtime and fringes to bereimbursed by CARES Act funding. Juvenile delinquent expense decreased $1.9 million due tothe reduction of Placements caused by the COVID-19 pandemic.

Ø The Community Services expense increased $32.6 million or 14.5%. The majority of this increasewas attributable to the over $24 million received in CARES Act funding that was spent in 2020.Besides CARES, additional grant funds were awarded amounting to an additional $4.3 million. TheErie County Convention Center Authority was given $2.57 million to help cover costs due to loss ofrevenue from the pandemic. The County also issued $1.04 million in grants to aid small businessesaffected by Governor Wolfe’s December closure of restaurants and gyms. Health Choicesexpenses increased $9.3 million due to the increase rates from the State on the County’s capitationmembers, partially due to COVID-19, more eligible members in the County, expanded usage andthe change to calendar year reporting. Children Services increased $2 million as a result of raisingthe foster care rates. Planning Funds increased $66,183.

Ø Public Health expenses decreased by $123,551 or 1.46%. The decrease was caused by $875,117reduction in post-employment benefit and net pension expense. The decrease was offset with theaddition of new grant funds to deal with the mitigation and detection of COVID-19. One of thesegrants was the ELC Enhancing Detection Grant which awarded the Health department a little over$8 million to cover a couple years.

Ø Public Works increased by $104,723 or 13.54%. In 2020, the allocations to municipalities wereincreased by $15,750. An additional $88,973 was expensed for professional fees for bridgeinspections and green light go project.

Ø Library expenses decreased $1.6 million or 18.6%. The Library operations was one of the fundsmost affected by the Covid-19 pandemic. During 2020, they incurred shutdown of operations,layoffs and then limited hours of operation. Also attributing to this decrease is the reduction in otherpostemployment benefits and net pension liability expense of $1,407,004.

Ø Interest on long term debt decreased by $273,754. This amount is decreasing due to no new debtbeing incurred. By the end of 2025 the County should have 81% of its current debt paid off.

Ø Pleasant Ridge Manor, the county nursing home, transferred to the County $500,000 from fundsthey received as a refund of premiums submitted when they were considered a ERISA plan. InOctober 2019, Pleasant Ridge Manor received a letter from the IRS stating that they weredetermined to be a governmental pension plan and not under the Employee Retirement IncomeSecurity Act of 1974 (ERISA) as they had been previously. ERISA plans are required to pay a



premium payable to the Pension Benefit Guaranty Corporation but governmental plans areexcluded from this provision. Therefore Pleasant Ridge Manor received a refund retro back to2009 in the amount of $2,005,807 for the premiums they had submitted.

4.96%

7.03%

9.21%

73.78%

2.38%

0.25%

2.02%

0.36%

2.64%

2020 Program Expenses - GovernmentalActivities

General government

Courts and related offices

Corrections

Community services

Public health

Public works

Library

Interest

-

50,000,000

100,000,000

150,000,000

200,000,000

250,000,000

300,000,000

2020 Expenses and Program Revenues -Governmental Activities

Expenses Revenues



Business-type Activities – The County’s nursing home, Pleasant Ridge Manor, is the only business-typeblended component unit of the County. In 2020 the total revenue for business-type activities decreasedby $2,119,010. Income associated with resident services decreased by $1,371,246 due to decreases in thecensus. In 2020, the census decreased 11 residents a day from 2019. Operating revenues decreased by$842,473 or 2.86% due to a decrease in the census. Pleasant Ridge did not require a County transfer in2020 due to extra funds they received from the pension ERISA refund they received in 2019. Total expensesat Pleasant Ridge Manor decreased $1,002,382 million due to the decreased census and lower pensionrelated expense.



Financial Analysis of the Government’s Funds

As noted earlier, the County of Erie uses fund accounting to ensure and demonstrate compliance withfinance-related legal requirements.

Governmental Funds – The focus of the County of Erie’s governmental funds is to provide information onnear-term inflows, outflows, and balances of spendable resources. Such information is useful in assessingthe County of Erie’s financing requirements. In particular, unassigned fund balance may serve as a usefulmeasure of a government’s net resources available for spending at the end of the fiscal year.

The County has sixteen governmental funds which are classified as either major or non-major funds. TheCounty’s major funds consist of the General Fund, Mental Health/Intellectual Disabilities, Health Choices,Children and Youth, Gaming and Capital Projects. Liquid Fuels, Domestic Relations, Drug and Alcohol,Public Health, Library, Planning, Public Safety, CARES, Erie County Care Management and Debt Serviceare the non-major funds. The focus of the County of Erie’s governmental funds is to provide information onnear-term inflows, outflows, and balances of spendable resources. Such information is useful in assessingthe County of Erie’s financing requirements. In particular, unassigned fund balance may serve as a usefulmeasure of a government’s net resources available for spending at the end of the fiscal year.

At the end of the current year, the County of Erie’s governmental funds reported combined fund balancesof $104,533,337, an increase of $12,424,113, in comparison with the prior year. Approximately 46.88%($49,001,736) constitutes unassigned fund balance, which is available for spending at the government’sdiscretion. The non-spendable portion of the fund balance of $362,613 consists of prepaid items.

Restricted fund balance is set aside by law or by external sources for specific purposes. As of the end of2020, the County has $52,655,226 in restricted fund balance for a variety of purposes including: 1)Economic Development ($8,000,000), 2) Mental Health Services ($14,104,476), 3) Public Safety RadioProject ($939,088), 4) Community Grants in Gaming Fund ($9,679,612), 5) Erie County Care Management($6,422,105), 6) Debt Service payments ($2,442,696), 7) Emergency Services ($1,691,731), 8) JudicialServices ($1,408,298), 9) Community Redevelopment ($2,050,266), 10) Recycling ($287,082), 11) Roadsand Bridges ($4,906,440), 12) Land Preservation ($17,790), 13) Child Support Enforcement ($27,461),14) Public Health ($545,799), and 15) Library Services ($132,382).

Assigned fund balance reflects amounts that the government intends to be used for a specific purpose thatare neither restricted nor committed. The County assigned $2,513,762 for various capital projects financedby prior bond issues.

The County does not have any committed fund balance in which the highest fiscal decision making authorityof the County, County Council, would set aside for a specific purpose.



Governmental fund revenues, expenditures, other financing sources and uses, and net changes in fundbalance as of December 31, 2020 and 2019 were as follows:

2020

Net OtherFund Revenues Expenditures Financing 2020 2019

General Fund 102,708,989$ 72,069,764$ (25,734,448)$ 4,904,777$ 2,505,699$Mental Health/Intellectual Disabilities 25,448,207 26,566,435 1,118,228 - -Children & Youth Services 44,119,425 53,256,905 9,137,480 - -Health Choices 122,842,743 117,612,692 - 5,230,051 (81,081)Capital Projects 284,341 2,222,741 - (1,938,400) (1,135,615)Liquid Fuels 632,682 878,173 - (245,491) (43,070)Domestic Relations 3,431,431 4,875,258 1,446,206 2,379 2,166Drug & Alcohol 6,349,862 6,687,826 337,964 - -Public Safety 5,728,450 6,040,812 635,835 323,473 (51,615)Public Health 7,700,002 8,571,129 1,392,961 521,834 (14,421)Library 1,714,102 6,859,729 5,155,781 10,154 3,147Planning 3,792,215 3,606,362 311,443 497,296 1,004,150Gaming 10,857,771 5,847,208 (2,730,749) 2,279,814 2,613,947Erie County Care Management 13,561,387 12,738,072 - 823,315 538,564CARES 24,399,252 24,293,412 (105,840) - -Debt Service 14,211 9,534,439 9,535,139 14,911 30,634

Total 373,585,070 361,660,957 500,000 12,424,113 5,372,505

Net Changes inFund Balance

The General Fund is the chief operating fund of the County of Erie. At the end of the current fiscal year,unassigned fund balance of the General Fund was $49,001,736 while total fund balance increased to$59,560,692. As a measure of the General Fund’s liquidity, it may be useful to compare both unassignedfund balance and total fund balance to total fund expenditures. Unassigned fund balance represents49.45% of total General Fund expenditures and transfers, while total fund balance represents 60.1% of thatsame amount.

In 2020 the General Fund Fund balance increased by $4.9 million or 9% from the prior year. Total revenuedecreased by $454,921. Total Expenses increased by $2.4 million. Net other financing items decreasedby $5.39 million. Key factors for the changes are listed below:

Ø Real Estate taxes increased $539,356 or .66%. Even with COVID-19 and waiving the penalty taxperiod, tax collections came in higher than expected. Due to an increase in interim taxes as aresult of increased building and home improvement projects while people were at home during thepandemic shut down.

Ø Hotel tax revenue decreased $1.84 million or 36.38% due to travel restrictions and reduction inoccupancy.



Ø Grant revenue in the General Fund increased $1.79 million or 65.7%. The Elections bureaureceived $444,229 in various grant funds to improve the administration of elections, enhanceelection technology, to make security improvements and to prevent, prepare and respond toCOVID-19. The County was also a recipient of a Public Health Preparedness Grant for $950,060.This grant was placed in the General Fund due to the full County collaborate effort to mitigate theeffects of Covid-19. The prison federal income increased $156,275 due to increased housing offederal prisoners and length of stays due to COVID-19.

Ø Charges for services decreased by $62,314 or .5%. Fees in general reported a decrease from theprior year due to the pandemic and the Courthouse being closed to the public for the majority of2020. Recorder of Deeds reported an increase in revenue of $23,135 due to reduce interest ratesand increased prices for existing homes. Register of Wills also reported an increase of $9,309.Adult and Juvenile Probation also recognized increases due to the establishment of new revenuesources. DUI fees were added to help offset costs of the new day reporting center. Juvenile feewas added to help offset the cost of a new fingerprinting machine. The County also received aone-time reimbursement from the State for the purchase of the new voting machines of $963,944.

Ø Interest income in the General Fund decreased by $490,082 due to the reduction in interest ratescurrently being offered.

Ø Wages and fringes decreased $313,988 or .68%. The County deflected $4.58 million in prisonwages and fringes to be reimbursed by CARES Act funding. Otherwise the County had a wageincrease of 3% and an increase in medical of 10%.

Ø Expenditures for services, materials and supplies decreased by $1.4 million. Because of thereduction in Hotel tax revenue there was an offsetting reduction in expense of $1.8 million. Alsoretirees’ hospitalization decreased $790,787 due to the postponement of many procedures. Thepandemic also limited travel and training causing a reduction of $248,897 from the prior year.

Ø Capital outlay decreased $216,984 or 30% due to the a couple large purchases in 2019. One ofthese was the purchase of new jury software. The new system allows for the payment in debitcards instead of checks saving on large numbers of outstanding checks. This purchase amountedto $108,500. The prison also purchased a $95,000 body scanner in 2019.

Ø Grant expenses in the General Fund increased $4.3 million in response to the COVID-19 pandemic.There were certain entities that were eligible for funding within the CARES parameters. The Countygranted the Erie County Convention Center Authority $2.57 million. In December, the County alsoawarded 208 $5,000 grants to businesses shutdown by Governor Wolfe’s latest mandate.

Ø Net other financing decreased $5.3 million or 17%. The transfer to Pleasant Ridge Manor, thebusiness type activity, decreased $1.2 million due to the additional funds received when theychanged from an ERISA plan. Also in 2020 there were no transfers to Capital Project unlike the$3.6 million used to fund various projects in the prior year.

The Health Choices Fund reported an increase of $5.2 million or 59%. The increase is a result of increasedrates from the State on capitation members, partially due to Covid-19, more eligible members in the County,expanded usage and the conversion of Health Choices from a fiscal year to a calendar year-end.

The Capital Projects Fund reported a decrease of $1.9 million. One of the final invoices was paid for thecompletion of the next generation radio system. A payment was made to EF Johnson for $1.5 million.

The Gaming Fund reported an increase in fund balance of $2.28 million or 31%. Over the last couplebudgets, funds that were used to pay out grants to local non-profits have been moved to the General Fund.The increase in fund balance is to help offset costs of the new Community College for Erie County.

Total government fund revenue increased $36.38 million or 10.79% overall. Total expenses increased $31million or 9.38% while net other financing items decreased $1.7 million or 141.7%.

The other non-major funds reported an increase of $1.9 million.



Ø Liquid Fuels had a decrease of $245,491 of which $200,000 was an appropriation of fund balanceto increase grants to local municipalities. The additional amount was due to the secondappropriation from the State being lower than anticipated due to reduced travel as a result of Covid.

Ø Public Health reported an increase of $521,834 due to Blue Zones donations that were received atyear-end and needed to be appropriated in 2021.

Ø Public Safety fund balance change was an increase of $323,473, as a result of additional funds forstatewide interconnectivity received from the State for 911.

Ø Erie County Care Management reported an increase of $823,315. This increase was a result ofincreased members in 2020 because of the pandemic and increased per member per monthcapitation rates.

Ø The Planning fund realized an increase of $497,296 due to funding received for bridge andgreenway projects and Act 89 funding which was the initiation of the $5 additional charge on ErieCounty vehicle registration fees. Library and Domestic Relations also saw a small increase in fundbalance.

Ø In July of 2020, the County received $24,358,828 in CARES Act funding. The following is abreakdown how it was spent:

o 20 different municipalities and municipal authorities received a total of $686,690 throughthe Municipal Reimbursement Program

o 135 nonprofits received a total of $5,675,143 through the Nonprofit Assistance GrantProgram

o 189 small businesses were awarded a total of $6,800,000 through the Small BusinessAssistance Grant Program

o 70 businesses received a total of $350,771 through Northwest Industrial Resource Center,Gannon University Small Business Center and the Erie County Redevelopment Authority

o More than 70 businesses received PPE kits totaling $275,215o $304,000 was to promote tourismo Mental Health/Intellectual Disabilities and Drug and Alcohol were given $105,840 to help

with mental health issueso Broadband expenses amounted to $2,207,636o The remainder went to fund local response outreach and Covid mitigation. The County

purchased a building for their Public Defenders office to allow for social distancing.Renovations and improvements were made within the various County properties. Abookmobile and health van were purchased to better serve the community. Variouscomputer equipment and software were purchased for telework and virtual meetings.

.



The following is a summary of the changes in governmental fund balances for the year 2020:

January 1, Net Change in December 31,Fund 2020 Fund Balance 2020

General Fund 54,655,915$ 4,904,777$ 59,560,692$Mental Health Intellectual Disabilities - - -Children & Youth Services - - -Health Choices 8,874,425 5,230,051 14,104,476Capital Projects 5,391,250 (1,938,400) 3,452,850Liquid Fuels 468,801 (245,491) 223,310Domestic Relations 25,082 2,379 27,461Drug & Alcohol - - -Public Safety 1,371,663 323,473 1,695,136Public Health 23,965 521,834 545,799Library 148,281 10,154 158,435Planning 5,577,893 497,296 6,075,189Gaming 7,399,798 2,279,814 9,679,612Erie County Care Management 5,744,366 823,315 6,567,681CARES - - -Debt Service 2,427,785 14,911 2,442,696

Total Charge 92,109,224 12,424,113 104,533,337

General Fund Budgetary Highlights

In the 2020 budget, $3,461,622 was appropriated from fund balance in order to balance the budget andforego a tax increase. Over the course of the year ordinances were passed amounting to an additionalappropriation of fund balance of $3,439,288 yet at year end the County added $4,904,777 or 9% to fundbalance. Revenues were $3,105,582 under budget, while expenditures were $12,853,758 under budgetand transfers to other funds were $2,632,689 under budget. Key factors in the increase in fund balanceand changes to the budget are as follows:

Ø Real Estate taxes were $458,836 or 0.56% over budget. Tax collections for the most part came inhigher than the budgeted amounts:

o Current Collections - $475,173o Current Interim Collections - $128,845o Rebate on Current Taxes - $39,309o Delinquent Taxes - $25,433o Payments in Lieu of Taxes - $73,788

Penalty on taxes were $279,165 below budget due to the County waiving the penalty phase ofcollection for 2020.

Ø Hotel taxes were $1.8 million under budget due to the ban on travel and low occupancy rates dueto Covid.

Ø Grant revenue added $1.5 million to the General Fund budget but at year-end the actuals fell shortof the budget by $323,213. The elections bureau received $444,229 in additional grant revenue toimprove the administration of elections, enhance election technology, to make securityimprovements and to prevent, prepare and respond to COVID-19. The County also received a



Public Health Preparedness grant from the CDC in the amount of $950,060 that was placed in theGeneral Fund due to the collaborative effort from all the various funds. Several other Covid relatedgrants were received and added to the budget also. One was from the Department of Justice andthe other from the Pennsylvania Commission on Crime and Delinquency. The shortfall betweenbudget and actual was due to the inability to fulfill the stipulations of certain grants due to Covid.

Ø Charges for services were $1.68 million below budget. The Courthouse was closed to the publicfor the majority of the year. Most of the departments had below budget performance due to thelack of activity from Covid. Recorder of Deeds revenue was over budget by $163,213 due to lowinterest rates and people wanting to upgrade their homes. With a shortage of homes, real estateprices rose which resulted in higher fees being collected also. There were additional changes tothe budget throughout the year also. The County received a reimbursement from the State to helpoffset the purchase on new voting machines. The additional funds amounted to $963,944. Alsothere was a receipt of a large drug forfeiture settlement of $187,999. In the Sheriff’s SchoolResource Officer bureau there was a budget decrease of $76,422 due to the two school district’shiring their own officers instead of using the Sheriff’s department. Also effecting charges forservices is the $3.7 million of elimination entries due to inter-fund and intra-fund billings.

Ø Interest income was $312,695 below budget due to the plummet in interest rates.Ø General Government was $4.1 million below budget. Retirees’ hospitalization was $1.86 million

below budget due to the limited procedures and doctor’s office visits being permitted. Hotel taxexpense was down $1.7 million due to the reduction in occupancies. Constable fees in the Directorof Finance’s budget were $174,060 below budget due to the limited operations of the Courts. Theother services and materials and supply lines were below budget by $4.4 million due to the limitedtravel and operations due to Covid. Additions to this budget $2.5 were for Covid related grantexpenses.

Ø Courts and related offices were $1.8 million below budget. Courts, law library and computer bureauwere $666,249 below budget. There were savings in wages and fringes due to some layoffs andvacancies. Jury fees were $100,970 below budget due to no court trials. Magisterial District Judgeoffices were $184,403 budget due to offices being closed. Clerk of Record offices were $114,739below budget due to wage and fringe savings. The Sheriff office was $357,581 under budget dueto wage, fringe, and travel savings from limited overtime, warrant serving and the Courthouse beingclosed to the public. The District Attorney was $175,022 below budget along with the Coroner being$88,070 and the Public Defender at $84,315. There were additional appropriations of $79,097mostly due to the large drug forfeiture receipt and the elimination of two Sheriff School ResourceOfficers.

Ø Corrections was $6.2 million under budget with the majority of this being $4.6 million in wages andfringes that were reimbursed by the CARES Act funding. Prison also had savings in utilities andprofessional fees of $687,186. Adult Probation reported savings of $447,430 and JuvenileProbation was $259,505. Savings for both were in wages, fringes, travel and training.

Ø Community Service expense was $234,640 below budget but had a budget appropriation changeof $4 million. The County gave the Erie County Convention Center Authority $2.57 million in orderto help sustain operations. They are a governmental entity and weren’t entitled to CARES Actfunding. Also the County awarded 84 small business grants of $5,000 each at year end whenGovernor Wolfe closed down restaurants and gyms in December 2020. The budget savings werea result of non-profits who the County awards annual grants to not being able to spend the fundsbecause of Covid.

Ø The capital outlay budget increased by $241,166 due to the Clerk of Records office appropriatingrestricted funds of $150,708 from their automation fees and the District Attorney purchasing avehicle with grant funds. They year-end result was the actual being below budget in the amount of$427,006. Because of business being limited or shut down there was a shortage or longer waittime for many items purchased or requested improvements.

Ø Transfers were $2.6 million below budget with a decrease in appropriations of $448,230. ChildrenServices transfer line was $1.23 million below budget as a result of the pandemic many servicesdid not occur and there was a significant reduction of the number of children place both on theDependent and Delinquent side. Another factor, which is common among all these is that there



was less spending on travel, meal reimbursements, mileage, trainings and overtime. PlanningFund transfer line was $451,291 below budget again due to the pandemic and certain services notbeing able to be performed. Library Fund transfer line was $518,879 below budget due to closingthen limiting the operations of the Library and its branches. Other funds such as Public Health andPublic Safety had small savings of around $160,000 each. The change in appropriations were inPublic Safety and Public Health and were the result of additional interconnectivity fund ($339,856)and grant funding ($58,374).

Capital Assets – The County of Erie’s capital assets for its governmental activities as of December 31,2020 amount to $31,774,970 (net of accumulated depreciation). This investment in capital assets includesland, construction in progress, buildings, building improvements and furniture, vehicles and equipment; theCounty does not have any infrastructure. The County of Erie’s capital assets decreased approximately12% or $4.35 million for the reasons listed below:

Major capital asset events during the current fiscal year included the following:

Ø The County spent an additional $1.5 million in 2020 as part of a $26 million next generation publicradio to enhance communications for all county first responders.

Ø A new Public Defender building was purchased and improvements made for $705,170.Ø Renovations were done to the second floor of the Children Services building for $404,468.Ø Renovations were also started in Domestic Relations to build four Intake Officers offices. Cost to

date is $7,154.Ø Elections offices had improvements made to allow for social distancing. Total cost at year-end was

$48,898.Ø An audiovisual upgrade was completed at Public Safety. Total cost of the project was $299,573.Ø The replacement and upgrade of the UPS system was done at Public Safety. Cost of the project

was $278,624.Ø A new Bookmobile was purchased for the Library system totaling $181,750.Ø A new medical bus was purchased for Public Health to aid in reaching out to the Community with

healthcare. The total cost of the vehicle was $262,548.Ø Many laptops, video cameras and other computer equipment were purchased to aid in work from

home and virtual meetings.

For additional information please see Note 5, Capital Assets in the Notes to the Financial Statements inthis report.

2020 2019 2020 2019 2020 2019

Land 1,501,237$ 1,501,237$ 150,490$ 150,490$ 1,651,727$ 1,651,727$Land improvements - - 1,080,167 1,048,962 1,080,167 1,048,962Buildings and improvements 23,142,757 24,871,613 1,580,566 1,898,873 24,723,323 26,770,486Vehicles 996,863 568,122 - - 996,863 568,122Furniture and Equipment 6,134,113 9,189,729 2,546,968 2,497,442 8,681,081 11,687,171

Total 31,774,970$ 36,130,701$ 5,358,191$ 5,595,767$ 37,133,161$ 41,726,468$

Governmental activities Business-Type Activities Total



Long Term Debt – At the end of the current fiscal year, the County of Erie had outstanding bonds of$38,400,000, all of which comprises debt backed by the full faith and credit of the government.

The County has 2005, 2012, 2015, and 2017 GO bonds outstanding. Some of the issues such as part ofthe 2005, the 2012, and 2017 issues refunded previous debt to take advantage of lower interest rates. Partof the 2005 issue financed renovations to county facilities such as telephone upgrades, HVAC systems,elevator and ADA accessibility upgrades, façade restoration and construction in the main Library, Prisonand Human Service Buildings, as well as computer upgrades and the purchase of voting machines. In 2015,the County issued GO bonds in the amount of $17,380,000 for the Public Radio Project. In 2017, the Countydid a current refunding of the 2007 GO bonds outstanding. The refunding allowed the County to realize$2.9 million in savings.

The County also guaranteed $104,500,000 of hotel revenue bonds issued by the Erie County ConventionCenter Authority for both a hotel completed in early 2008, next to the brand new Erie County ConventionCenter, and the construction of a new hotel and parking garage to the west of the Erie County ConventionCenter. The County does not anticipate that the convention center authority will default on the loans.

The following is a summary of general obligation bond activity for governmental activities. For additionalinformation related to long-term debt, please refer to Note 10 in the Notes to the Financial Statementssection of this report.

2005 2012 2015 2017 TotalGO Bonds GO Bonds GO Bonds GO Bonds GO Bonds

Beginning Balance @ 1/1/20 7,285,000$ 6,875,000$ 13,845,000$ 17,720,000$ 45,725,000$

Plus: Debt Issued - - - - -

Less: Principal Payments (1,680,000) (2,870,000) (975,000) (1,800,000) (7,325,000)

Ending Balance @ 12/31/20 5,605,000$ 4,005,000$ 12,870,000$ 15,920,000$ 38,400,000$

The County’s business-type activity, Pleasant Ridge Manor, does not have any long-term debt.

County Bond Rating

During 2012, Standard and Poor’s upgraded the County’s credit rating from AA- to AA. Moody’s maintainedthe credit rating of Aa2. Standard and Poor’s was affirmed in July of 2017. Moody’s was reaffirmed inNovember 2018.

Economic Factors and Next Year’s Budgets and Rates

Ø The County real estate tax rate was increased .25 mil in the 2021 budget process raising thecurrent rate to 5.96 mils.

Ø The County has realized savings from self-funded medical and dental plans and uses an internalservice fund to account for all fringe benefits. In 2021 the budgeted cost for hospitalization anddrug decreased 1% over the 2020 rates. In 2020 hospitalization costs were down due to electiveprocedures either being cancelled or postponed, increase use of telemedicine, and lower overallclaims. Drug costs remained consistent. Covid was taken into account in the setting of the2021 rates. Also starting in 2021 the County is implementing a wellness reward program withlower payroll deductions for those who meet four requirements such as filling out a healthsurvey, having a physical, having a biometric screening and taking part in a tobacco cessationif they smoke to remain at 5%. All others will increase to 10% of the monthly rates. Budgeteddental rates were also reduced by 4.7%.



.Ø The County’s annual determined pension calculation changed from $6,397,197 in 2020 to

$6,555,075, a $157,878 or 2.5% increase. The accrual rate the County used in 2020 was12.62% which decreased to 11.63% in 2021. The main reason for the decrease in the accrualrate is because when the 2020 rates were calculated the actuary gave the County a conservativerange. We accrued at the level that the estimated determined contribution would be $6,950,000.In 2019 the rate was set low and the difference was made up from the employee fringe fundbalance. The higher rate in 2020 allowed the County to help offset the prior year’s shortfall.

Ø Gaming funds are being used to fund the grants to other organizations in the 2021 Budget eventhough the grants in the past were moved out of the Gaming Fund budget in order to restrict thefund balance to be used for the Community College.

Ø The Pennsylvania Board of Education officially voted 10-5 on July 8, 2020, to establish the ErieCounty Community College. The school is targeted to hold their first semester fall of 2021. TheCollege will be considered a component unit of the County and will be part of next year’s audit.

Ø Erie County is set to receive $52,391,502 in direct federal aid from the American Rescue PlanAct. The County will receive half or $26,195,251 in 2021 and the second half will be receivedin 2022.

Ø As of May 30, 2021, 47.3% of Erie County’s population has received at least one dose of theCovid vaccine.

Ø The unemployment rate for the County of Erie for 2020 was 8.8%, an increase of 3.8% from theprior year. The number of employed persons in Erie County decreased from 122,500 in 2019 to114,900 in 2020.

Ø Building permits issued in 2020 decreased by 156 or 6% from those issued in 2019; 2,460permits were issued in 2020 and 2,616 were issued in 2019.

REAL ESTATETAXES17.6%

HOTEL ROOMRENTAL TAXES

0.9%

CHARGES FORSERVICE

22.0%FED STATEMUNICPALGRANTS

48.8%

INTERESTINCOME

0.1%

OTHER INCOME0.4%

TRANSFERSFROM OTHER

FUNDS8.4%

FUND BALANCEAPPROPRIATED

1.8%

2021COUNTY OF ERIE FINAL BUDGETTOTAL REVENUE FOR ALL FUNDS

$ 488,526,105



Requests for Information

This financial report is designed to provide a general overview of the County of Erie’s finances for all thosewith an interest in the government’s finances. Questions concerning any of the information provided in thisreport or requests for additional information should be addressed to the Finance Office, 140 West 6 th Street,Room 505, Erie, Pennsylvania 16501. Information is also available on the County’s website,eriecountygov.org. The financial statements of Pleasant Ridge Manor and Pleasant Ridge Manor PensionTrust can be obtained from the administrative office at 8300 West Ridge Road, Girard, Pennsylvania 16417.The financial statements for Erie County Care Management can be requested from the fiscal office at 1527Sassafras Street, Erie Pennsylvania.

WAGES & FRINGES27.2%

OTHER SERVICES43.0%

MATERIALS &SUPPLIES

0.8%

CAPITAL OUTLAY1.2%

DEBT SERVICE2.0%

GRANT EXPENSE17.7%

TRANSFERS TOOTHER FUNDS

8.1%

APPROPRIATIONSTO FUND BALANCE

0.0%

2021COUNTY OF ERIE FINAL BUDGET

TOTAL EXPENDITURES FOR ALL FUNDS$ 488,526,105

BASIC FINANCIAL STATEMENTS


STATEMENT OF NET POSITIONDECEMBER 31, 2020 OR MARCH 31, 2020

The accompanying notes are an integral part of the financial statements.

Erie County Gaming Erie CountyGovernmental Business- Type Total Revenue Authority Land Bank

Activities Activities (Year End) (March) (December)Asse ts

Current Assets:Cash and cash equivalents 96,972,067$ 3,278,946$ 100,251,013$ 10,620,644$ 2,366,081$Investments 2,946,494 - 2,946,494 - -Receivables, net 55,724,373 479,537 56,203,910 - -Inventory - 225,174 225,174 - 75,739Prepaid items 401,144 398,050 799,194 359 6,150Other - 10,370 10,370 - -

Total current assets 156,044,078 4,392,077 160,436,155 10,621,003 2,447,970

Noncurrent assets:Designated cash - 1,255,700 1,255,700 - -Designated investments - 461,510 461,510 - -Advances to Redevelopment Authority 8,000,000 - 8,000,000 - -Note receivable - - - 5,258,846 -Net pension asset - 5,412,629 5,412,629 - -Capital assets not being depreciated 1,501,237 150,490 1,651,727 - -Capital assets, net accumulated depreciation 30,273,733 5,207,701 35,481,434 - -

Total noncurrent assets 39,774,970 12,488,030 52,263,000 5,258,846 -

Tota l Asse ts 195,819,048 16,880,107 212,699,155 15,879,849 2,447,970

De ferre d Outflows of Re source sDeferred outflows of resources for pension 6,058,747 612,826 6,671,573 - -Deferred outflows of resources for OPEB - 305,314 305,314 - -

Tota l De fe rre d O utflows of Re sourc e s 6,058,747 918,140 6,976,887 - -

Liabilitie sCurrent Liabilities

Accounts payable 40,120,177 2,135,218 42,255,395 - 28,145Acc rued liabilities 4,289,831 205,363 4,495,194 - -Due to other taxing units 1,569,000 - 1,569,000 - -Unearned revenue 4,332,510 - 4,332,510 - -Acc rued interest payable 594,722 - 594,722 - -Compensated absences 116,110 492,125 608,235 - -Bonds payable 7,665,000 - 7,665,000 - -Other liabilities - 312,917 312,917 - -

Total current liabilities 58,687,350 3,145,623 61,832,973 - 28,145

Noncurrent liabilitiesWorkers' compensation reserve payable - 58,752 58,752 - -Compensation absences 1,784,210 - 1,784,210 - -Bonds payable, net 34,487,138 - 34,487,138 - -Net pension liability 6,957,237 - 6,957,237 - -OPEB liability 43,578,311 2,492,228 46,070,539 - -

Total noncurrent liabilities 86,806,896 2,550,980 89,357,876 - -

Tota l Lia bilitie s 145,494,246 5,696,603 151,190,849 - 28,145

De fe rre d Inflows of Re sourc e sDeferred inflows of resources for pension 13,576,644 5,795,347 19,371,991 - -Deferred inflows of resources for OPEB - 415,370 415,370 - -

Tota l De fe rre d Inflows of Re sourc e s 13,576,644 6,210,717 19,787,361 - -

Ne t PositionsNet investment in capital assets 2,028,339 5,358,191 7,386,530 - -Restricted for:

Economic development 8,000,000 - 8,000,000 15,879,849 2,419,825Debt service 2,442,696 - 2,442,696 - -Public health 545,799 - 545,799 - -Library 158,435 - 158,435 - -Liquid fuels 223,310 - 223,310 - -Court and related offices 1,435,759 - 1,435,759 - -Community services 39,085,173 - 39,085,173 - -

Unrestricted (11,112,606) 532,736 (10,579,870) -

Tota l Ne t Position 42,806,905$ 5,890,927$ 48,697,832$ 15,879,849$ 2,419,825$

Primary Government Component Units


STATEMENT OF ACTIVITIESYEARS ENDED DECEMBER 31, 2020 OR MARCH 31, 2020


Operating CapitalCharges for Grants and Grants and

Functions/Programs Expenses Services Contributions Contributions

Primary Government:Governmental activities

General government 17,346,167$ 4,354,969$ 1,529,617$ -$Courts and related offices 24,553,399 5,403,415 4,247,014 -Corrections 32,183,720 2,276,472 6,649,547 -Community services 257,846,124 21,787,835 230,210,939 -Public health 8,331,574 583,526 5,535,856 -Public works 878,173 - 631,568 -Library 7,071,786 59,637 1,493,343 -Interest 1,265,428 - - -

Total governmental activities 349,476,371 34,465,854 250,297,884 -

Business-type activities:County owned long-term care facility 29,160,142 28,594,269 - -

Total primary government 378,636,513 63,060,123 250,297,884 -

Component units:Erie County Gaming Revenue Authority 3,823,518$ 4,438,817$ -$ -$Erie County Land Bank 194,045$ 1,000,000$ -$ -$

Program Revenues

Page 42


Erie County Gaming Erie CountyGovernmental Business-Type Total Revenue Authority Land Bank

Activities Activities (Dec. 31, 2020) (March 31, 2020) (Dec. 31, 2020)

(11,461,581)$ -$ (11,461,581)$ -$ -$(14,902,970) - (14,902,970) - -(23,257,701) - (23,257,701) - -(5,847,350) - (5,847,350) - -(2,212,192) - (2,212,192) - -

(246,605) - (246,605) - -(5,518,806) - (5,518,806) - -(1,265,428) - (1,265,428) - -

(64,712,633) - (64,712,633) - -

- (565,873) (565,873) -

(64,712,633) (565,873) (65,278,506) - -

- - - 615,299 -- - - - 805,955

General revenues:Taxes:

Property 82,341,054 - 82,341,054 - -Hotel room 3,227,022 - 3,227,022 - -

Interest income 552,567 43,970 596,537 233,537 8,992Other income 2,579,292 19,563 2,598,855 - -Capital Contribution (Donation of Land) - - - - 57,500

Transfers 500,000 (500,000) - - -

Total general revenues and transfers 89,199,935 (436,467) 88,763,468 233,537 66,492

Changes in Net Position 24,487,302 (1,002,340) 23,484,962 848,836 872,447

Net position - beginning of year 18,319,603 6,893,267 25,212,870 15,031,013 1,547,378

Net position - end of year 42,806,905$ 5,890,927$ 48,697,832$ 15,879,849$ 2,419,825$

Component UnitsNet (Expense) Revenue and Changes in Net Position

Primary Government

Page 43

COUNTY OF ERIE, PENNSYLVANIABALANCE SHEET

GOVERNMENTAL FUNDSDECEMBER 31, 2020


Mental Health/Assets General Intellectual Disabilities HealthChoices

Cash and cash equivalents 39,732,558$ 5,430,571$ 22,344,294$Investments - - 2,896,494Receivables, net 12,999,697 414,921 13,265,006Due from other funds 11,773,575 3,000 17,139Prepaid items 187,579 - -Advance to Redevelopment Authority 8,000,000 - -

Total Assets 72,693,409$ 5,848,492$ 38,522,933$

Liabilities, DeferredInflows of Resources, and Fund Balance

Liabilities:Accounts Payable 1,161,290$ 2,214,832$ 24,325,411$Accrued Liabilities 2,090,925 63,600 53,584Due to other funds 4,496,554 108,632 39,136Due to other taxing units - - -Unearned revenue 200 3,461,428 326

Total Liabilities 7,748,969 5,848,492 24,418,457

Deferred Inflows of ResourcesUnavailable revenue - property taxes 5,383,748 - -

Fund Balance:Nonspendable:

Prepaid items 187,579 - -Restricted for:

Judicial services 1,408,298 - -Child support enforcement - - -Road and bridges improvements - - -Public health services - - -Mental health services - - 14,104,476Erie County Care Management - - -Library services - - -Emergency services - - -Land preservation - - -Community grants - - -Community redevelopment 963,079 - -Recycling - - -Economic Development Revolving Loans 8,000,000 - -Public Safety radio project - - -Debt payments on general obligation bonds - - -

Assigned for:Various capital projects - - -

Unassigned 49,001,736 - -Total Fund Balance 59,560,692 - 14,104,476

Total Liabilities, Deferred Inflows ofResources, and Fund Balance 72,693,409$ 5,848,492$ 38,522,933$

Page 44


Other TotalChildren and Governmental Governmental

Youth Gaming Capital Projects Funds Funds17,668$ 8,154,227$ 4,991,977$ 16,300,772$ 96,972,067$

- - - 50,000 2,946,49418,268,139 2,772,969 1,092 7,669,641 55,391,465

31,733 - - 1,688,006 13,513,453- - - 175,034 362,613- - - - 8,000,000

18,317,540$ 10,927,196$ 4,993,069$ 25,883,453$ 177,186,092$

6,237,684$ -$ 1,540,219$ 3,378,784$ 38,858,220$684,566 - - 1,275,639 4,168,314

11,104,751 - - 2,591,890 18,340,963- 1,247,584 - 321,416 1,569,000

290,539 - - 580,017 4,332,510

18,317,540 1,247,584 1,540,219 8,147,746 67,269,007

- - - - 5,383,748

- - - 175,034 362,613

- - - - 1,408,298- - - 27,461 27,461- - - 4,906,440 4,906,440- - - 545,799 545,799- - - - 14,104,476- - - 6,422,105 6,422,105- - - 132,382 132,382- - - 1,691,731 1,691,731- - - 17,790 17,790- 9,679,612 - - 9,679,612- - - 1,087,187 2,050,266- - - 287,082 287,082- - - - 8,000,000- - 939,088 - 939,088- - - 2,442,696 2,442,696

- - 2,513,762 - 2,513,762- - - - 49,001,736- 9,679,612 3,452,850 17,735,707 104,533,337

18,317,540$ 10,927,196$ 4,993,069$ 25,883,453$ 177,186,092$

Page 45

COUNTY OF ERIE, PENNSYLVANIARECONCILIATION OF THE GOVERNMENTAL FUNDS

BALANCE SHEET TO THE STATEMENT OF NET POSITIONDECEMBER 31, 2020


Total Fund Balance - Governmental Funds 104,533,337$

Amounts reported for governmental activities in the statement of net position are different because:

Capital assets used in governmental activities are not current financial resources, and,therefore, are not reported in the governmental funds. 31,774,970

Certain long-term assets are not available to pay current period expenditures, and, therefore,are reported as unavailable revenue in the governmental funds. 5,383,748

An Internal Service Fund is used by management to charge the costs of employee benefits toindividual funds. The assets and liabilities of the Internal Service Fund are included in thegovernmental activities in the statement of net position. 3,815,475

The other postemployment benefits liability is reflected on the statement of net position, but isnot considered a current expenditure for the governmental fund statements. (43,578,311)

The net pension liability is reflected on the statement of net position, but is not considered acurrent expenditure for the governmental fund statements. (6,957,237)

Deferred outflows and inflows of resources for pensions and OPEB are recorded andamortized in the statement of net position and are not recorded on the fund financialstatements. (7,517,897)

Current liabilities are not due and payable in the current period and, therefore, are not reportedin the governmental funds:

Bonds payable (38,400,000)Bond premium (3,752,138)

Compensated absences (1,900,320)Accrued interest payable (594,722) (44,647,180)

Total Net Position - Governmental Activities 42,806,905$

Page 46

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF REVENUES, EXPENDITURES, AND

CHANGES IN FUND BALANCEGOVERNMENTAL FUNDS

YEAR ENDED DECEMBER 31, 2020


Mental Health/General Intellectual Disabilities HealthChoices

Revenues:Real estate taxes 82,462,451$ -$ -$Hotel tax 3,227,022 - -Federal, state, and municipal grants 4,608,617 25,046,547 122,670,725Charges for services 11,978,900 - -Interest income 210,305 36,716 172,018Other income 221,694 364,944 -

Total Revenues 102,708,989 25,448,207 122,842,743

Expenditures:Current:

General government 19,921,275 - -Courts and related offices 21,075,689 - -Corrections 23,912,064 - -Community services 6,662,896 26,566,435 117,612,692Public health - - -Public works - - -Library - - -Other - - -

Capital outlay 497,840 - -Debt service:

Principal - - -Interest - - -

Total expenditures 72,069,764 26,566,435 117,612,692

Excess (Deficiency) of Revenue Over (Under)Expenditures 30,639,225 (1,118,228) 5,230,051

Other Financing Sources (Uses):Transfers in 1,293,408 1,118,228 -Transfers out (27,027,856) - -

Total other financing sources (uses) (25,734,448) 1,118,228 -

Net Change in Fund Balance 4,904,777 - 5,230,051

Fund Balance:Beginning of year 54,655,915 - 8,874,425

End of year 59,560,692$ -$ 14,104,476$

Page 47


Other TotalChildren and Governmental Governmental

Youth Gaming Capital Projects Funds Funds

-$ -$ -$ -$ 82,462,451$- - - - 3,227,022

43,537,338 - - 54,434,657 250,297,884582,055 10,849,553 250,000 10,805,346 34,465,854

32 8,218 34,341 90,937 552,567- - - 1,992,654 2,579,292

44,119,425 10,857,771 284,341 67,323,594 373,585,070

- - - - 19,921,275- - - 4,875,258 25,950,947

8,526,161 - - - 32,438,22544,672,898 5,847,208 - 51,206,310 252,568,439

- - - 8,571,129 8,571,129- - - 878,173 878,173- - - 6,859,729 6,859,729- - - 3,915 3,915

57,846 - 2,222,741 2,160,174 4,938,601

- - - 7,325,000 7,325,000- - - 2,205,524 2,205,524

53,256,905 5,847,208 2,222,741 84,085,212 361,660,957

(9,137,480) 5,010,563 (1,938,400) (16,761,618) 11,924,113

9,427,880 - - 21,212,146 33,051,662(290,400) (2,730,749) - (2,502,657) (32,551,662)

9,137,480 (2,730,749) - 18,709,489 500,000

- 2,279,814 (1,938,400) 1,947,871 12,424,113

- 7,399,798 5,391,250 15,787,836 92,109,224

-$ 9,679,612$ 3,452,850$ 17,735,707$ 104,533,337$

Page 48

COUNTY OF ERIE, PENNSYLVANIARECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES,

AND CHANGES IN FUND BALANCE OF GOVERNMENTAL FUNDSTO THE STATEMENT OF ACTIVITIESYEAR ENDED DECEMBER 31, 2020


Net Change in Fund Balance - Governmental Funds 12,424,113$

Capital outlays, reported as expenditures in the governmental funds, are shown ascapital assets in the statement of net position:

Buildings and improvements 1,165,691Vehicles 722,699

Furniture and equipment 2,523,615 4,412,005

Depreciation expense of governmental capital assets is included in thegovernmental activities on the statement of activities. (8,746,505)

The net effect of various miscellaneous transactions involving capital assets (e.g.,sales, trade-ins, or donations) is to decrease net position. (21,231)

Changes in the other postemployment benefits liability are reflected on thestatement of net position but are not considered a current expenditure for the fundstatements. 2,881,983

Repayment of long-term debt is reported as an expenditure in the governmentalfunds, but a reduction of long-term liabilities in the statement of net position. In thecurrent year, these amounts are:

Bond principal payments 7,325,000Change in compensated absences (85,664) 7,239,336

The governmental fund financial statements report the effect of bond premiumswhen debt is first issued, whereas these amounts are amortized in the statement ofactivities. 832,530

Accrued interest reported in the statement of activities does not require the use ofcurrent financial resources and, therefore, are not reported as expenditures in thegovernmental funds. 107,566

Revenues in the statement of activities that do not provide current financialresources are not reported as revenues in the funds. (121,397)

Changes in the net pension liability and related deferred outflows and inflows ofresources reported in the statement of activities do not require the use of currentfinancial resources and, therefore, are not reported as expenditures in thegovernmental funds. 2,591,713

Internal Service Funds are used by management to charge the costs to individualfunds. The net revenue of certain activities of the Internal Service Fund is reportedwithin governmental activities. 2,887,189

Change in Net Position of Governmental Activities 24,487,302$

Amounts reported for governmental activities in the statement of activities are differentbecause:

Page 49

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF NET POSITION

PROPRIETARY FUNDSDECEMBER 31, 2020


Business-TypeActivities Governmental

Enterprise Fund ActivitiesPleasant Ridge Manor Internal Service Funds

Assets and Deferred Outflows of Resources:

Assets:Current assets:

Cash and cash equivalents 3,278,946$ -$Receivables:

Accounts receivable - 332,908Resident receivables (net of allowance of $601,700) 479,537 -

Due from other funds - 4,827,510Inventories 225,174 -Other assets 10,370 -Prepaid expenses 398,050 38,531

Total current assets 4,392,077 5,198,949

Noncurrent assets:Designated assets:

Designated cash and cash equivalents:Dental Insurance Fund 1,098 -Workers' Compensation Fund 2,282 -Depreciation Reserve Fund 1,252,320 -

Designated Investment:Workers' Compensation Fund 461,510 -

Total designated assets 1,717,210 -

Capital assets, not being depreciated 150,490 -Capital assets, net of accumulated depreciation 5,207,701 -

Total capital assets 5,358,191 -

Net pension asset 5,412,629 -

Total noncurrent assets 12,488,030 -

Total assets 16,880,107 5,198,949

Deferred Outflows of Resources:Deferred outflows of resources for pension 612,826 -Deferred outflows of resources for OPEB 305,314 -

Total Deferred Outflows of Resources 918,140 -

Total Assets and Deferred Outflows of Resources 17,798,247$ 5,198,949$

Page 50

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF NET POSITION

PROPRIETARY FUNDS(CONTINUED)

DECEMBER 31, 2020




Liabilities, Deferred Inflows or Resources,and Net Position

Liabilities:Current liabilities:

Accounts payable 1,605,062$ -$Medical claims payable 530,156 1,261,957Accrued liabilities - 121,517Accrued payroll and related taxes 205,363 -Compensated absences 492,125 -Other liabilities 312,917 -

Total current liabilities 3,145,623 1,383,474

Noncurrent liabilities:Workers' compensation reserve payable 58,752 -OPEB liability 2,492,228 -

Total noncurrent liabilities 2,550,980 -

Total liabilities 5,696,603 1,383,474

Deferred Inflows of Resources:Deferred inflows of resources for pension 5,795,347 -Deferred inflows of resources for OPEB 415,370 -

Total Deferred inflows of Resources 6,210,717 -

Net Position:Net investment in capital assets 5,358,191 -Unrestricted 532,736 3,815,475

Total Net Position 5,890,927 3,815,475

Total Liabilities, Deferred Inflows of Resources,and Net Position 17,798,247$ 5,198,949$

Page 51

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF REVENUES, EXPENSES,

AND CHANGES IN NET POSITIONPROPRIETARY FUNDS





Operating Revenues:Net resident service revenue 25,996,052$ -$Other operating revenue 2,598,217 -Employer contributions - 33,426,158Employee contributions - 1,008,928

Total operating revenues 28,594,269 34,435,086

Operating Expenses:Administration 2,288,852 -Professional services 77,466 -Therapy 945,262 -General services 1,456,657 -Pharmacy 1,709,206 -Nursing 9,344,387 -Dietary 2,543,544 -Maintenance 727,855 -Laundry 595,101 -Housekeeping 927,345 -Security 89,925 -Utilities 597,461 -General liability insurance 190,567 -Depreciation 934,162 -Bank fees 10,399 -Benefits expense 6,721,953 11,210,539Insurance premiums - 943,926Claims payments - 19,393,432

Total operating expenses 29,160,142 31,547,897

Operating Income (Loss) (565,873) 2,887,189

Nonoperating Revenues (Expenses):Interest revenue 34,611 -Dividend on stocks 9,359 -

Total nonoperating revenues (expenses), before transfers 43,970 -

Capital contribution - donated equipment 19,563Transfers Out (500,000) -

Change in Net Position (1,002,340) 2,887,189

Net Position:Beginning of year 6,893,267 928,286

End of year 5,890,927$ 3,815,475$

Page 52

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF CASH FLOWS

PROPRIETARY FUNDSYEAR ENDED DECEMBER 31, 2020


Business- TypeActivities Governmental


Cash Flows From Ope rating Activitie s:Receipts from patient services 30,155,024$ -$Receipts from miscellaneous sources 2,598,217 -Cash received from users - 34,435,086Payment to employees (17,309,570) -Payment for employees benefits (8,290,242) (34,435,086)Payment to suppliers and operations (4,130,540) -

Net cash provided by operating activities 3,022,889 -

Cash Flows From Nonca pita l Financing Activitie s:Transfers to other funds (500,000) -

Cash Flows From Capita l and Re la ted Financing Ac tivitie s:Acquisition, constructing, and improvement of capital assets (677,023) -

Cash Flows From Inve sting Activities:Dividends on stock 9,359 -Interest 34,611 -

Net cash provided by investing activities 43,970 -

Net Incre ase in Cash and Ca sh Equiva le nts 1,889,836 -

Cash and Ca sh Equiva le nts:Beginning of year 2,644,810 -

End of year 4,534,646$ -$

Consists of:Cash and cash equivalents 3,278,946 -$Designated cash and cash equivalents 1,255,700

4,534,646$ -$

Rec oncilia tion of Opera ting Income (Loss) to NetCash Provided by (Used in) Ope ra ting Ac tivities:

Operating income (loss) (565,873)$ 2,887,189$Adjustments to reconcile operating income (loss) to net

Cash provided by (used in) operating activities:Depreciation 934,162 -Pension (income) expense (1,628,082) -OPEB (income) expense (685) -Change in operating assets and liabilities:

Accounts receivable - (180,384)Resident receivables 4,158,565 -Amount due from third party prayers 407 -Due from other funds - (3,301,246)Inventories (52,111) -Prepaid expenses (77,904) (15,502)Accounts payable 90,726 -Medical c laims payable 262,037 537,866Accrued liabilities - 72,077Accrued payroll and related taxes (478,319) -Compensated absences 64,923 -Other liabilities 302,547 -Workers' compensation reserve payable 12,496 -

Total adjustments 3,588,762 (2,887,189)

Net cash provided by operating activities 3,022,889$ -$

S chedule of Non- ca sh Ca pita l andRelate d Fina nc ing Ac tivite s:

Donated capital equipment 19,563$ -$

Page 53

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF FIDUCIARY NET POSITION

FIDUCIARY FUNDSDECEMBER 31, 2020


PensionTrust Funds Custodial Funds

AssetsCash and cash equivalents 3,710,568$ 6,114,220$Investments:

U.S. governmental obligations 32,668,806 2,180,778Corporate debt obligations 34,558,972 -Other fixed income 2,131,600 -Mutual funds - fixed income 21,325,887 -Mutual funds - equity 184,010,863 -Property trusts 21,695,292 -Private equity 19,718,530 -Exchange traded funds 4,197,080 -Domestic equities 47,675,460 -

Total investments 367,982,490 2,180,778

Receivables:Property taxes receivable - 12,192,390Interest and other receivables 523,104 5,951

Total receivables 523,104 12,198,341

Total Assets 372,216,162$ 20,493,339$

Liabilities

Accounts payable -$ 2,948,750$Due to other governmental units - 12,199,121

Total Liabilities - 15,147,871

Net PositionRestricted for: Pension benefits 372,216,162 - Individuals, organizations, other governments - 5,345,468

Total Net Pension 372,216,162$ 5,345,468$

Page 54

COUNTY OF ERIE, PENNSYLVANIASTATEMENT OF CHANGES IN FIDUCIARY NET POSITION

FIDUCIARY FUNDSYEAR ENDED DECEMBER 31, 2020


PensionTrust Funds Custodial Funds

Additions:Property Tax Collected for Other Governments -$ 63,169,143$Realty Tax Collected for Other Governments - 24,674,181Inheritance Tax Collected for Other Governments - 16,413,646Fees Collected for Other Governments - 13,581,665Patient Income (PRM & ECCM) - 6,537,764Inmate Account Collections - 1,193,686Collections for Support - 984,711Fees and Fines Collected - Other - 1,334,368

Contributions:Employee 5,188,740 -Employer 7,497,197 -

Total contributions 12,685,937 -

Investment income:

Net appreciation in fair value of investments 32,715,957 -Interest and dividends 7,262,936 -

Total investment income 39,978,893 -

Less investment expense 527,409 -

Net investment income 39,451,484 -

Total additions 52,137,421 127,889,164

Deductions:Pension benefits and refunds 22,487,504 -Administrative expense 252,690 -

Property Tax Collections to Other Governments - 62,726,482 Realty Tax Collections to Other Governments - 24,759,252 Inheritance Tax Collecttions to Other Governments - 16,413,646 Fees Collected to Other Governments - 11,034,579 Net decrease in fair value of Investments - 54,477 Sheriff Sales (Real Estate) Disbursed - 3,113,387 Patient Expense (PRM & ECCM) - 6,353,932 Inmate Disbursements - 1,224,614 Support Payments - 986,320 Payments to Other Entities - 1,346,379

Total deductions 22,740,194 128,013,068

Change in Net Position 29,397,227 (123,904)

Net Position, Beginning of year (As Restated, Note 21) 342,818,935 5,469,372

Net Position, End of year 372,216,162$ 5,345,468$

Page 55

COUNTY OF ERIE, PENNSYLVANIANOTES TO FINANCIAL STATEMENTS

YEARS ENDED DECEMBER 31, 2020 OR MARCH 31, 2020

NOTE 1: REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Reporting Entity

The County of Erie, Pennsylvania operates under a Home Rule Charter which became effectiveJanuary 1, 1978. The County operates under a Council – Executive form of government. Thereare nine offices elected county-wide, which are: county council, county executive, countycontroller, district attorney, sheriff, coroner, clerk of records, common pleas judges andmagisterial district judges. The seven-member board of County Council (County) is thelegislative body of the County. The daily operations of the County are the responsibility of theCounty Executive.

Services provided by the County and accounted for within these financial statements includecourts and corrections, health and social services, library, public safety, planning, economicdevelopment, and general governmental services.

The accompanying financial statements presents the County (the primary government) and itscomponent units, entities for which the primary government is considered to be financiallyaccountable. Blended component units are, in substance, part of the primary government’soperations, even though they are legally separate entities. Thus, blended component units areappropriately presented as funds of the primary government. The discretely presentedcomponent units are reported in separate columns in the government-wide financial statementsto emphasize that they are legally separate from the primary government.

Blended Component Units

Erie County Care Management, Inc. (Corporation) is governed by a Board of Directorsappointed by the County Executive with the advice and consent of Council. All agreements andbudgets are to be approved by the primary government. Legal liability for the Corporation’sdebt remains with the primary government. The Corporation provides services entirely, oralmost entirely, to the primary government or otherwise exclusively, or almost exclusively,benefits the primary government even though it does not provide services directly to it. TheCorporation is reported as a non-major Special Revenue Fund. Complete financial statementscan be obtained from the administrative office at 1601 Sassafras Street, Erie, PA 16502.

Pleasant Ridge Manor (PRM) is organized to provide public health and nursing care to indigentpersons almost exclusively within the County. PRM is governed by a Board of Trusteescomprised of the primary government’s elected Council. Under the terms of the statement ofagreement dated April 15, 1980 between the County and PRM, the County has full and entireright of control of the financial affairs of PRM and thus a financial benefit or burden relationshipexists. PRM is reported as an enterprise fund.

Discretely Presented Component Units

The Erie County Gaming Revenue Authority (Authority) was created by County government toadminister the restricted gaming revenue in accordance with state statute. The County mustuse an economic development authority to administer the restricted gaming funds. TheAuthority members are appointed by the Council and receive and review applications for therestricted gaming funds. The Authority receives all of its operating revenue from the County.The Authority operates on a fiscal year ending March 31. The Authority’s financial statementsfor the year ended March 31, 2020 are included in this report. Complete financial statementsof the Authority can be obtained from Erie County Gaming Revenue Authority, 5240 KnowledgeParkway, Suite A, Erie, Pennsylvania, 16510.

Page 56

COUNTY OF ERIE, PENNSYLVANIANOTES TO FINANCIAL STATEMENTS (CONTINUED)


NOTE 1: REPORTING ENTITY AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES(CONTINUED)

Discretely Presented Component Units (Continued)

The Erie County Land Bank (Land Bank) was created by County government on June 7, 2018to acquire, hold, and transfer interest in real property throughout the County. The Countyawards a portion of its restricted gaming funds to the Land Bank. The Land Bank’s Board ofDirectors are appointed by County Council and the County Executive. The Land Bank receivesall of its operating revenue from the County. The Land Bank operates on a fiscal year endingDecember 31. The Land Bank’s financial statements for the period January 1, 2020 toDecember 31, 2020 are included in this report. Complete financial statements of the Land Bankcan be obtained from the Erie County Department of Planning & Community Development, 150East Front Street, Suite 300, Erie, Pennsylvania 16507.

Fiduciary Component Units

The Erie County Employees’ Pension Plan (“Plan”) was established to provide retirement,disability, and death benefits to eligible retiree’s of the County. The Plan is included in thefinancial reporting entity as a fiduciary fund because the Plan is (1) considered to be a separatelegal entity, (2) the County appoints a voting majority of the governing board, and (3) the planimposes a financial burden on the County as it is legally obligated or has assumed an obligationto make contributions to the Plan.

The Pleasant Ridge Manor Pension Plan (“Plan”) was established to provide retirement,disability, and death benefits to eligible retiree’s of PRM. The Plan is included in the financialreporting entity as a fiduciary fund because the Plan is (1) considered to be a separate legalentity, (2) PRM appoints a voting majority of the governing board, and (3) the plan imposes afinancial burden on PRM as it is legally obligated or has assumed an obligation to makecontributions to the Plan.

Related Organizations

The Board of Council is also responsible for appointing the members of the boards of otherorganizations, but the County's accountability for these organizations generally does not extendbeyond making the appointments. These organizations include:

· Erie County Housing Authority· Erie County Redevelopment Authority· Erie County Industrial Development Authority· Erie County Hospital Authority· Erie County Metropolitan Transit Authority· Erie County General Authority· Convention Center Authority· Erie County Conservation District Authority

Government-wide Financial Statements

Government-wide financial statements (i.e., the statement of net position and the statement ofactivities) report information on all of the nonfiduciary activities of the primary government andits component units. All fiduciary activities are reported only in the fund financial statements.Governmental activities, which normally are supported by taxes, intergovernmental revenues,and other nonexchange transactions, are reported separately from business-type activities,which rely to a significant extent on fees and charges to external customers for support.

Page 57




Basis of Presentation – Government-wide Financial Statements

Likewise, the primary government is reported separately from certain legally separatecomponent units for which the primary government is financially accountable.

The statement of activities demonstrates the degree to which the direct expenses of a givenfunction or segment is offset by program revenues. Direct expenses are those that are clearlyidentifiable with a specific function or segment. Amounts reported as program revenues include1) charges to customers or applicants who purchase, use, or directly benefit from goods,services, or privileges provided by a given function or segment and 2) grants and contributions(including special assessments) that are restricted to meeting the operational or capitalrequirements of a particular function or segment. All taxes, including those designated forspecific purposes, and other internally designated resources are reported as general revenuesrather than as program revenues.

While separate government-wide and fund financial statements are presented, they areinterrelated. The governmental activities column incorporates data from governmental fundsand internal service funds, while business-type activities incorporate data from thegovernment’s enterprise funds. Separate financial statements are provided for governmentalfunds, proprietary funds, and fiduciary funds, even though the latter are excluded from thegovernment-wide financial statements.

As discussed earlier, the government has two discretely presented component units. While theAuthority and Land Bank are not considered to be major component units, they arenevertheless shown in separate columns in the government-wide financial statements.

As a general rule, the effect of interfund activity has been eliminated from the government-widefinancial statements. Interfund services provided and used are not eliminated in the process ofconsolidation.

Basis of Presentation – Fund Financial Statements

The fund financial statements provide information about the government’s funds, including itsfiduciary funds and blended component units. Separate statements for each fund category—governmental, proprietary, and fiduciary—are presented. The emphasis of fund financialstatements is on major governmental and enterprise funds, each displayed in a separatecolumn. All remaining governmental and enterprise funds are aggregated and reported asnonmajor funds. Major individual governmental and enterprise funds are reported as separatecolumns in the fund financial statements.

The government reports the following major governmental funds:

General Fund

The General Fund is the government’s primary operating fund. It accounts for all financialresources of the general government, except those accounted for in another fund. Revenuesof this fund are primarily derived from real estate taxes, federal and state grants, and fees forservices. Many of the basic activities of the County are accounted for in this fund, includingoperation of general County government, the courts systems, and corrections.

Page 58




Mental Health/Intellectual Disabilities Fund

This fund administers local agency providers of mental health and intellectual disabilitiesservices. The fund also administers various programs for transportation, adult services, and in-home health. The primary source of revenue for this fund is federal and state grants which arerestricted for this respective program.

Health Choices Fund

This fund accounts for the medical assistance funding for mental health, drug and alcohol andchildren services programs. The primary source of revenue for this fund is state grants whichare restricted for HealthChoices programs.

Children and Youth Fund

This fund accounts for the child protective services and a juvenile detention center. The primarysource of revenue for this fund is federal and state grants which are restricted for Children andYouth service programs.

Gaming Fund

This fund is provided by revenue received from the operation of Presque Isle Downs andCasino. $1 million of the funds received are appropriated for the operation of the Land Bank.Of the remaining funds, 55% of the funds received support regional assets. The remaining 45%is restricted to operating and capital projects for contiguous municipalities that result from theoperation of the casino. The County remits all restricted gaming funds to the Authority andLand Bank as soon as they are collected. The Authority and Land Bank allocate these fundsbased upon their distribution plan.

Capital Projects Fund

This fund accounts for capital improvements which are financed from general obligation bondissues and other specified receipts.

The government reports the following major enterprise fund:

Pleasant Ridge Manor

This fund accounts for operations of the Erie County Nursing Home, and is financed andoperated in a manner similar to private business enterprise – where the intent of the governingbody is that costs of providing services to the general public on a continuing basis be financedor recovered primarily through user charges and cost reimbursement plans.

Additionally, the government reports the following unit types:

Internal Service Fund

This fund accounts for finance services and commodities furnished exclusively to user offices,departments, and other funds of the County on a cost reimbursement basis. The principalservice provided includes a self-insurance program for health, prescription drug, and dentalcoverage. Operating revenues are from employer and employee premiums and operating

Page 59




Internal Service Fund (Continued)

expenses include benefit claims expense. All other revenues and expenses are recorded asnon-operating. The Internal Service Fund (after elimination) is included in governmentalactivities for government-wide reporting purposes.

Pension Trust Funds

Includes the County Pension Trust, which accounts for the activities of the Erie CountyEmployees’ Retirement System and the Pleasant Ridge Manor Pension Trust, which accountsfor the activities of the Pleasant Ridge Manor Employees’ Pension Plan, both of whichaccumulate resources for pension benefit payments to qualified employees.

Custodial Funds

The custodial funds include assets held by the County in its role as custodian until the fundsare allocated to the private parties, organizations or government agencies to which they belong.The County is responsible to ensure the assets reported in these funds are used for theirintended purposes. Fiduciary funds are not included in the government-wide statements. Thecustodial funds account for the following activities:

· Collection of delinquent real estate taxes as well as disbursing the money to theappropriate taxing authority.

· Proceeds from various licenses.· Prison services account for inmate, commissary, and work release activities.· Magisterial District Judges receive cash from defendants and disburse to appropriate

agencies.· Clerk of Records accounts for fees associated with recording of deeds, prothonotary fees,

cash bail, and registering of wills.· Sheriff’s office collects proceeds of real estate sales and various fines.· Funds held for clients and residents.

During the course of operations, the government has activity between the funds for variouspurposes. Any residual balances outstanding at year-end are reported as due from/to otherfunds. While these balances are reported in fund financial statements, certain eliminations aremade in the preparation of the government-wide financial statements. Balances between thefunds included in governmental activities (i.e., the governmental and internal service funds) areeliminated, so that only the net amount is included as internal balances in the governmentalactivities column. Similarly, balances between the funds included in business-type activities(i.e., the enterprise funds) are eliminated, so that the net amount is included as internalbalances in the business-type activities column.

Further, certain activity occurs during the year involving transfers of resources between funds.In fund financial statements, these amounts are reported at gross amounts as transfers in/out.While reported in fund financial statements, certain eliminations are made in the preparation ofthe government-wide financial statements. Transfers between the funds included ingovernmental activities are eliminated, so that only the net amount is included as transfers ingovernmental activities column. Similarly, balances between the funds included in business-type activities are eliminated, so that the net amount is included as transfers in the business-type activities column.

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Measurement Focus and Basis of Accounting

The financial statements of the County are prepared in accordance with accounting principlesgenerally accepted in the United States of America (GAAP). The Governmental AccountingStandards Board (GASB) is the authoritative standard-setting body for the establishment ofgovernmental accounting financial reporting principles.

The accounting and financial reporting treatment is determined by the applicable measurementfocus and basis of accounting. Measurement focus indicates the type of resources beingmeasured such as current financial resources or economic resources. The basis ofaccounting indicates the timing of transactions or events for recognition in the financialstatements

The government-wide financial statements are reported using the economic resourcesmeasurement focus and the accrual basis of accounting. Revenues are recorded when earnedand expenses are recorded when a liability is incurred, regardless of the timing of relatedcash flows. Property taxes are recognized as revenues in the year for which they are levied.Grants and similar items are recognized as revenue as soon as all eligibility requirementsimposed by the provider have been met.

The governmental fund financial statements are reported using the current financial resourcesmanagement focus and the modified accrual basis of accounting. Revenues are recognized assoon as they are both measurable and available. Revenues are considered to be availablewhen they are collectible within the current period or soon enough thereafter to pay liabilitiesof the current period. For this purpose, the government considers revenues to be available ifthey are collected within 60 days of the end of the current fiscal period. Expendituresgenerally are recorded when a liability is incurred, as under accrual accounting. However, debtservice expenditures, and OPEB and pension claims and judgments, are recorded only whenpayment is due. General capital asset acquisitions are reported as expenditures ingovernmental funds. Issuance of long-term debt and acquisitions under capital leases arereported as other financing resources.

Property taxes, sales taxes, franchise taxes, licenses, and interest associated with the currentperiod are all considered to be susceptible to accrual and so have been recognized asrevenues of the current fiscal period. Entitlements are recorded as revenues when all eligibilityrequirements are met, including any time requirements, and the amount is received during theperiod or within the availability period for this revenue source (within 60 days of year-end).Expenditure-driven grants are recognized as revenue when the qualifying expenditures havebeen incurred when all other eligibility requirements have been met, and the amount is receivedduring the period or within the availability period for this revenue source (within 60 days of year-end). All other revenue items are considered to be measurable and available only when cashis received by the government.

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Measurement Focus and Basis of Accounting (Continued)

The proprietary and pension trust funds are reported using the economic resourcesmeasurement focus and the accrual basis of accounting. Proprietary funds distinguishoperating revenues and expenses from nonoperating items. Operating revenues and expensegenerally result from providing services and producing and delivering goods in connectionwith a proprietary fund’s principal ongoing operations. The principal operating revenues of PRMand the Internal Service Fund are charges to customers for services provided. Operatingexpenses for enterprise funds and internal service funds include the cost of services,administrative expenses, and depreciation on capital assets. All revenues and expenses notmeeting this definition are reported as nonoperating revenues and expenses.

The Custodial funds are reported using the economic resources measurement focus and utilizethe accrual basis of accounting for reporting their assets and liabilities.

Budgets and Budgetary Accounting

The budget is adopted on a basis consistent with GAAP. The County adopts budgets for allgovernmental funds. The County follows these procedures in establishing the budgetary datareflected in the financial statements:

1. On or before October 1, the County Executive submits proposed budgets to the Council.2. The Council hold public hearings on the proposed budgets, commencing not earlier than

thirty days following receipt of the proposed budget.3. Public hearings are conducted on the proposed budget. The proposed budget is available

for public inspection for 20 days prior to final adoption.4. On or before December 1, the budgets are adopted by the Council.

The appropriate budget is prepared by fund, function and department. The legal level ofbudgetary control for the County is the department level. While the department heads cantransfer up to ten percent of their budget between line items without Council approval, the tenpercent transfer is processed for presentation purposes only as a management tool. Adepartment head has violated the budgetary procedures only if the department total exceedsthe budget. For budget reporting purposes, each individual Special Revenue Fund isconsidered to be a department.

Unexpended budget appropriations expire at year-end and do not carry forward to futureperiods.

Cash and Cash Equivalents

Cash and cash equivalents are considered to be cash on hand, demand deposits, and short-term investments with original maturities of three months of less from the date of acquisition.

Designated Cash

Designated cash represents cash set aside for liquidation of specific obligations as detailed inNote 2.

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Investments

Investments are stated at fair value in all funds. Investments that do not have an establishedmarket value are reported at estimated fair value. Accordingly, the change in fair values ofinvestments is recognized as an increase or decrease to investment assets and investmentincome. The County has one investment reported at cost; see further discussion related tosuch investment in Note 2.

Fair Value Measurements

The County categorizes its investments within the fair value hierarchy by GAAP. The hierarchyis based on the valuation inputs used to measure the fair value of the asset. Level 1 inputs arequoted prices in active markets for identical assets; Level 2 inputs are significant otherobservable inputs; Level 3 inputs are significant observable inputs.

Prepaid Items

Certain payments to vendors reflect costs applicable to future accounting periods are recordedas prepaid items in both government-wide and fund financial statements. The cost of prepaiditems is recorded as expenditures/expenses when consumed rather than purchased.

Inventories

Inventories are valued at cost using the first-in, first-out method (FIFO). The cost of suchinventories is recorded as expenditures/expenses when consumed rather than whenpurchased.

Advance to Redevelopment Authority

In 2002, the County advanced the Erie County Redevelopment Authority (RDA) $8 million toestablish and operate a revolving loan fund to benefit the local business community (primarilymanufacturing) in an effort to create, retain, and grow employment opportunities for the citizensof the County. Such funds are due back to the County upon dissolution of the RDA.

Capital Assets

Capital assets, which include property, plant, equipment, and infrastructure assets, arereported in the applicable government or business-type activities column in the government-wide and proprietary fund financial statements. The infrastructure assets located within theCounty are owned and maintained by various local municipalities that are located within theCounty. Capital assets are defined by the government as assets with an initial, individual costof more than $5,000 and an estimated useful life in excess of two years. Such assets arerecorded at historical cost or estimated historical cost if purchased or constructed.

Donated capital assets are recorded at acquistion value at the date of donation. Capital assetsreceived in a service concession arrangement are reported at acquisition value.

The costs of normal maintenance and repairs that do not add to the value of the asset ormaterially extend its useful life are not capitalized. Major outlays for capital assets andimprovements are capitalized as projects as constructed.

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Capital Assets (Continued)

The capital assets of the County are depreciated using the straight-line method over thefollowing estimated useful lives:

Improvements 15 Years Buildings and improvements 30 Years Machinery and equipment 5-10 Years Motor vehicles 5 Years

Deferred Outflows/Inflows of Resources

In addition to assets, the statement of net position and/or the balance sheet will sometimesreport a separate section for deferred outflows of resources. This separate financial statementelement, deferred outflows of resources, represents a consumption of net position and/or fundbalances that applies to a future period(s) and so will not be recognized as an outflow ofresources (expenses/expenditure) until then. The County has the following items that qualifyfor reporting in this category:

Certain amounts determined in connection with pension and OPEB accounting requirementsare reported as deferred outflows of resources on the government-wide financial statementsand the proprietary fund statement of net position. These amounts are determined based onactuarial valuations performed for the plans. Note 6 presents additional information about thepension plans. Note 8 presents additional information about the OPEB plans.

In addition to liabilities, the statement of net position and/or the balance sheet will sometimesreport a separate section for deferred inflows of resources. This separate financial statementelement, deferred inflows of resources, represents an acquisition of net position and/or fundbalance that applies to a future period(s) and so will not be recognized as an inflow of resources(revenue) until that time. The County has the following items that qualify for reporting in thiscategory:

Unavailable revenue is reported only on the balance sheet and represents property taxes whichwill not be collected within the available period. This amount will be recognized as an inflow ofresources in the period the amounts become available.

Certain amounts determined in connection with pension and OPEB accounting requirementsare reported as deferred inflows of resources on the government-wide financial statements andthe proprietary fund statement of net position. These amounts are determined based onactuarial valuations performed for the plans. Note 6 presents additional information about thepension plans. Note 8 presents additional information about the OPEB plans.

Interfund Transactions

Interfund services provided and used are accounted for as revenues orexpenditures/expenses. Transactions that constitute reimbursements to a fund forexpenditures/expenses initially made from it that are properly applicable to another fund arerecorded as expenditures/expenses in the reimbursing fund as reductions ofexpenditures/expense in the fund that is reimbursed. Any residual balances outstandingbetween the governmental activities and business-type activities are reported in thegovernment-wide financial statements as internal balances.

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Compensated Absences

All full-time employees accumulate one and one-fourth days of sick leave for each month ofservice. Sick leave may accumulate indefinitely. At retirement employees shall becompensated as follows:

Unused Sick Days Percentage of Sickat Retirement Days Brought Back

PSSU - Office of Children and Youth supervisors 0-100 14%101-200 15%

201 and above 16%ECAPE Union, County Detectives, AFSCME*, 1-90 15%

Non-bargaining* and PSSU - Prison Workers 91-190 20% (at retirement or at voluntary termination) 191 and above 25%

*AFSCME and Non-bargaining employee’s voluntary retirement require 20 or more years ofcontinuous service to be paid for accumulated unused sick days.

Sick days for non-bargaining employees involuntary terminated without cause are paid at therate of one day for every four days.

PSSU – Office of Children and Youth Case Workers

1. Sick days will be paid at the rate of one day for every eight sick days.

All full-time employees are credited for vacation time starting from their date of hire and earnannual vacation credits for each month in which they are in compensatory status of ten or moreworking days. Any employee who is laid off, discharged, retired or otherwise separated fromemployment is compensated in cash for any unused vacation days earned since the beginningof the year. On an annual basis, full-time employees are eligible to exchange up to one-half oftheir vacation days for a cash payment.

All sick pay is accrued when incurred in the government-wide financial statements. A liabilityfor these amounts is reported in governmental funds only if they have matured, for example,as a result of employee resignation and retirement. All vacation pay is accrued when incurredin the governmental funds as it is considered measurable and is used during the following year.

PRM accrues vested vacation pay as it is earned. Vacation days will be taken only after theyare accrued. Non-bargaining employees may not accumulate in excess of 120 hours as of June30th unless approved by the Executive Director. Union employees may not accumulate inexcess of 80 hours as of December 31.

Long-Term Obligations

In the government-wide financial statements and proprietary fund types in the fund financialstatements, long-term debt and other long-term obligations are reported as liabilities. Bondpremiums and discounts are amortized over the life of the bonds using the straight-line method,which approximates the effective interest method. Bonds payable are reported net of theapplicable bond premium or discount.

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Long-Term Obligations (Continued)

In the governmental fund financial statements, governmental fund types recognize bondpremiums and discounts during the current period. The face amount of debt issued, as well asany premiums, are reported as other financing sources, while discounts on debt issuances arereported as other financing uses. Issuance costs, whether or not withheld from the actual debtproceeds received, are reported as debt service expenditures.

Unearned Revenues

Unearned revenues are reported in government-wide financial statements and fund financialstatements. The unearned revenues will be recognized as revenue in the fiscal year they areearned in accordance with the accrual basis of accounting. Unearned revenues represent grantmonies received but not yet earned.

Fund Balance

In the fund financial statements, governmental funds report fund balance in categories basedon the level of constraint placed upon the funds. These levels are as follows:

Non-spendable – This category represents funds that are not spendable form and includessuch items as prepaid expenditures.

Restricted – This category represents funds that are limited in use due to constraints onpurpose and circumstances of spending that are legally enforceable by outside parties. TheCounty’s restricted fund balances consist of external enabling legislation for the federal, state,or local government grants and debt agreements.

Committed – This category consists of amounts used for specific purposes imposed by formalaction of the County’s highest level of decision-making authority (the Council). The removal ormodification of the use of committed funds can only be accomplished by formal action by theCouncil with the adoption of an ordinance prior to fiscal year-end.

Assigned – This category consists of amounts constrained by the County’s intent to be usedfor specific purposes that are neither restricted nor committed. The County’s policy is for theDirector of Finance to assign amounts to be used for specific purposes before issuance ofaudited financial statements. After such fund assignation, the Finance Department will providethe Council with a full reporting of its actions within thirty days.

Unassigned – This category includes the residual classification for the County’s General Fundand includes all spendable amounts not contained in other classifications. The General Fundis the only fund that reports a positive unassigned balance.

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Net Position

According standards require the classification of net position into these components – netinvestment in capital assets; restricted; and unrestricted. These classifications are definedbelow:

· Net Investment in Capital Assets – The net investment in capital assets component of netposition consists of capital assets, net of accumulated depreciation, reduced by theoutstanding balances if bonds, mortgages, notes, or other borrowings that are attributableto the acquisition, construction, or improvement of those assets. Deferred outflows ofresources and deferred inflows of resources that are attributable to the acquisition,construction, or improvement of those assets or related debt are also included in thiscomponent of net position. If there are significant unspent related debt proceeds ordeferred inflows of resources at the end of the reporting period, the portion of the debt ordeferred inflows of resources attributable to the unspent amount is not included in thecalculation of net investment in capital assets. Instead, that portion of the debt or deferredinflow of resources is included in the same net position component (restricted orunrestricted) as the unspent amount.

· Restricted Net Position – The restricted component of net position consists of restrictedassets reduced by liabilities and deferred inflows of resources related to those assets.Generally, a liability relates to restricted assets if the assets result from a resource flow thatalso results in the recognition of a liability or if the liability will be liquidated with therestricted assets.

· Unrestricted Net Position – The unrestricted component of net position is the net amountof the assets, deferred outflows of resources, liabilities, and deferred inflows of resourcesthat are not included in the determination of net investment in capital assets or the restrictedcomponents of net position.

When both restricted and unrestricted resources are available for use, it is the County’s policyto use restricted resources first, then unrestricted resources as they are needed.

Accounting Estimates

The preparation of the financial statements in conformity with accounting principles generallyaccepted in the United States of America requires management to make estimates andassumptions that affect certain reported amounts and disclosures. Accordingly, actual amountsmay differ from those estimates.

Adopted Pronouncements

The requirements of the following GASB Statements were adopted for the County’s 2020financial statements.

The County adopted the requirements of GASB Statement No. 84, “Fiduciary Activities”. Theadoption of this statement resulted in a restatement of Fiduciary Net Position and the additionof the Statement of Revenues, Expenditures and Changes in Fiduciary Net Position for theCounty’s Custodial Funds. The adoption also resulted in the inclusion of the PRM Employees’Pension Plan as a Fiduciary Component unit, in addition to the County Employees’ RetirementTrust.

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Adopted Pronouncements (Continued)

The County adopted the requirements of GASB Statement No. 90 “Majority Equity Interests(an Amendment of GASB Statements No. 14 and No. 61)”. The adoption of this statement hadno effect on the County’s financial statements.

The County adopted certain requirements of GASB Statement No. 97, “Certain ComponentUnit Criteria, and Accounting and Financial Reporting for Internal Revenue Code Section 457Deferred Compensation Plans – an amendment of GASB Statements No. 14 and No. 84, anda supersession of GASB Statement No. 32”. The adoption of the certain requirements of thisstatement had no effect on previously reported amounts.

Pending Pronouncements

In June 2017, the GASB issued Statement No. 87, “Leases”. The County is required to adoptStatement No. 87 for its fiscal year 2022 financial statements.

In June 2018, the GASB issued Statement No. 89, “Accounting for Interest Cost Incurred beforethe End of a Construction Period”. The County is required to adopt Statement No. 89 for itsfiscal year 2021 financial statements.

In May 2019, the GASB issued Statement No. 91, “Conduit Debt Obligations”. The County isrequired to adopt Statement No. 91 for its fiscal year 2022 financial statements.

In January 2020, the GASB issued Statement No. 92, “Omnibus 2020”. The County is requiredto adopt Statement No. 92 for its fiscal year 2022 financial statements.

In March 2020, the GASB issued Statement No. 93, “Replacement of Interbank Offered Rates”.The County is required to adopt Statement No. 93 for its fiscal year 2022 financial statements.

In March 2020, the GASB issued Statement No. 94, “Public-Private and Public-PublicPartnerships and Availability Payment Arrangements”. The County is required to adoptStatement No. 94 for its 2023 financial statements.

In May of 2020, the GASB issued statement No. 96 “Subscription-Based InformationTechnology Arrangements”. The County is required to adopt Statement No. 96 for its fiscalyear 2023 financial statements.

In June of 2020, the GASB issued statement No. 97 “Certain Component Unit Criteria, andAccounting and Financial Reporting for Internal Revenue Code Section 457 DeferredCompensation Plans – an amendment of GASB Statements No. 14 and No. 84, and asupersession of GASB Statement No. 32”. The County is required to adopt paragraphs 4 and5 of this Statement immediately. The County is required to adopt all other paragraphs for itsfiscal year 2022 financial statements.

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Discretely Presented Component Unit – Erie County Gaming Revenue Authority (Authority)

A. Reporting Entity

The Authority was established in February 2008. The Authority was formed pursuantto the provisions of the Economic Development Financing Law, the Pennsylvania RaceHorse Development and Gaming Act, and the Home Rule Charter of the County. Thepurpose of the Authority is to administer municipal grants and otherwise perform thefunctions of the County’s Economic Development Authority.

The Authority’s Board consists of nine Board members. Two of the members are ex-officio, non- voting members, namely, the Chairman of the County Council, the CountyExecutive and one resident from each of the seven districts within Erie County whoshall be appointed by the County Executive with the consent of Council.

The Authority is dependent on gaming revenues generated from the Presque IsleDowns and Casino. These revenues are passed on to the Authority as restricted fundsfor economic development and municipal grants.

A. Basis of Accounting

The financial statements are reported using the economic resources measurementfocus and the accrual basis of accounting. Revenues are recorded when earned andexpenses are recorded when a liability is incurred, regardless of the timing of therelated cash flows. The Authority is considered a special purpose governmentoperating a single government program.

Discretely Presented Component Unit – Erie County Land Bank (Land Bank)

A. Reporting Entity

The Land Bank was formed on June 7, 2018. The purpose of the Land Bank is toacquire, hold, and transfer interest in real property throughout Erie County as approvedby the Board of Directors for the following purposes: to deter the spread of blight; topromote redevelopment and reuse of vacant, abandoned, and tax-delinquentproperties; to support targeted efforts to stabilize neighborhoods; to stimulateresidential, commercial, and industrial development; all in ways that are consistent withgoals and priorities established by Ordinance.

The Land Bank is dependent on gaming revenues generated from the Presque IsleDowns and Casino. These revenues are passed on to the Land Bank as restrictedfunds for economic development and municipal grants.

B. Basis of Accounting

All activities of the Land Bank are accounted for within a single fund. The Land Bankuses the current financial resources measurement focus and the modified accrualbasis of accounting. With this measurement, only current assets, current liabilities andfund balances are included on the balance sheet. Operating statements present netincreases and decreases in current assets (i.e. revenues and other financing sourcesand expenditures and other financial uses).

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NOTE 2: DEPOSITS AND INVESTMENTS

Pennsylvania statutes provide for investment of governmental funds into certain authorizedinvestment types including U.S. Treasury bills, other short-term U.S. government obligations,shot-term commercial paper issued by a public corporation, banker’s acceptances, insured orcollateralized time deposits, and certificates of deposit. The statutes allow pooling ofgovernmental funds for investment purposes.

Deposits

At December 31, 2020, the County’s deposits, excluding the pension trust fund, agency funds,and discretely presented component units, are as follows:

Primary Government Bank BookGovernmental activities:

Unrestricted cash:Cash and cash equivalents $102,928,923 96,972,067$

Business-type activities:Unrestricted cash:

Cash and cash equivalents 3,509,499 3,278,946Designated cash 1,258,517 1,255,700

Total business-type activities 4,768,016 4,534,646

Total primary government 107,696,939$ 101,506,713$

Included in the governmental activities unrestricted cash is the County’s investment in PAINVEST, an external investment pool, with a total deposit of $9,700,307 as of December 31,2020. The County’s investment in PA INVEST is the same as the value of pool shares and isreported at amortized cost, which approximates market. All investments in an externalinvestment pool that are not SEC-registered are subject to oversight by the Commonwealth.The County can withdraw funds from PA INVEST without limitations or fees.

Custodial Credit Risk – For a deposit, custodial risk is the risk that in the event of a bank failure,the County’s deposits may not be returned to it. The County does not have a formal depositpolicy for custodial credit risk. As of December 31, 2020, $750,000 of the County’s bankbalance was insured by the Federal Deposit Insurance Corporation (FDIC). Of the remainingbank balance, $89,660,593 is collateralized in accordance with Act 72 of the Pennsylvaniastate legislature, which requires the institution to pool collateral for all governmental depositsand have the collateral held by approved custodian in the institution’s name, and the remainingbalance is uncollateralized and uninsured. These deposits have carrying amounts of$101,506,713 as of December 31, 2020.

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NOTE 2: DEPOSITS AND INVESTMENTS (CONTINUED)

Investments

As of December 31, 2020, the County had the following investments:

Investment Type Book Value Less than 1 1-5 6-10 More then 10

Governmental activitiesDebt Securities:

U.S. Treasury Notes 210,453$ -$ 210,453$ -$ -$Municipal bonds 104,806 - 104,806 - -Certificates of deposit 2,196,292 405,256 1,791,036 - -

Total debt securities 2,511,551 405,256 2,106,295 - -

Money markets 384,943Other investment 50,000

Total 2,946,494$

Business-type activities

U.S Treasury Notes 453,648$ 294,596$ 159,052$ -$ -$

Money markets 7,862

461,510$

Investment Maturities (in Years)

U.S. Treasury Notes and municipal bonds with maturities of less than one year are valuedusing quoted market prices (level 1). U.S. Treasury Notes and municipal bonds with maturitiesof greater than one year are valued at fair value using various techniques, which may considerthe reported sales of similar securities, market price quotations, and data (such as brokerquotes, yields, bids, and relevance data) (Level 2). The County’s investments in money marketsand certificates of deposit are reported at amortized cost, which approximates market. TheCounty’s other investments are reported at cost and do not meet the criteria for reporting at fairvalue measurements within the fair value hierarchy established by GAAP.

Erie County Care Management, Inc. (Corporation)

The Corporation holds an investment in Class A voting common stock and Class B non-votingcommon stock of Rehabilitation and Community Providers Services Organization, Inc.(RCPSO), a private Pennsylvania business corporation. The Corporation’s valuation in RCPSOat December 31, 2020 is based on the Corporation’s cost to purchase the investment totaling$50,000 and is reported as other investments.

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Investment Risks

The following is a description of the County’s investment risks:

Custodial Credit Risks – Custodial credit risk is the risk that in the event of the failure of thebank or counterparty, the County will not be able to recover the value of their deposits orinvestments or collateral securities that are in the possession of an outside entity. The Countydoes not have a formal deposit or investment policy for custodial credit risk. As of December31, 2020, the County’s entire investment balance of $2,946,494 (bank and book balance) wasexposed to custodial credit risk. All of the County’s investments, except those reported as otherinvestments, were uninsured and held by the counterparty. The counterparty is a member ofthe Securities Investor Protection Corporation (SIPC), which provides insurance coverage forup to $500,000 of the net equity balance, including up to $250,000 in cash, in the event thecounterparty fails, owing the County cash and securities that are missing from their accounts.This coverage does not extend to losses incurred due to fraud, misrepresentation, orinvestment decisions.

Concentration of Credit Risk – The County’s investment policy for pooled and self-insurancefunds is to invest in U.S. Government Federal agency securities for which there is no limit tothe investment amount.

Interest Rate Risk – As a means of limiting its exposure to fair value losses arising from risinginterest rates, the County’s investment policy is to invest funds to meet its projected cash flowrequirements. Investments of the General Fund, Special Revenue Funds, and the Self-Insurance Internal Service Fund are made at the discretion of the County finance departmentas long as such investments are made at financial institutions approved by the County financedepartment and are fully collateralized by securities with a fair value equal to or exceeding thecost of the investment. Investments must be made in accordance with the Commonwealth ofPennsylvania’s Act 72 and the financial institution must be on the County finance department’sapproval list.

Credit Risk – The risk that an issuer or other counterparty to an investment will not fulfill itsobligations is called credit risk.

As of December 31, 2020, the County’s investments in debt securities have received thefollowing ratings from Standard & Poor’s:

Percentage of TotalStandard & Poor's Rating County Debt Securities

AAA 54.35%AA 45.65%

100.00%

Custodial Funds

The County maintains bank accounts for the elected row officers and other County offices that,at times, may exceed federally insured limits. However, such funds in excess of federallyinsured limits are collateralized in accordance with Act 72 of the Pennsylvania state legislature,which requires the institution to pool collateral for all governmental deposits and have thecollateral held by an approved custodian in the institution’s name. The balance of theseaccounts is reflected in the statement of fiduciary net position.

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As of December 31, 2020, the County had the following investments and maturities within thecustodial funds:

Investment Type Fair Value Less than 1 year 1-5 years 6-10 years

U.S. Government Securities 2,180,778$ 176,401$ 1,508,320$ 496,057$

Investment Maturities from December 31, 2020

The carrying value of the County’s custodial fund investments is the same as their fair valueamount. U.S. Government Securities within maturities of less than one year, mutual funds, andexchange traded funds are valued using quoted market prices (Level 1). U.S. GovernmentSecurities with maturities of greater than one year are valued using various techniques, whichmay consider the reported sales of similar securities, market price quotations, and date (suchas broker quotes, yields, bids, and reference data (Level 2).

County Employees’ Pension Trust Fund

The County Employees’ Pension Trust Find investments are held separately from those ofother County funds. The County’s retirement Plan Investment Policy (Retirement InvestmentPolicy) states that emphasis shall be placed on providing adequate and timely investment cashflow to permit benefit payments from the Retirement Plan when due. Fixed income investmentallocation is targeted to 40% (with an allowable range of +/- 7%) of the portfolio. Theinvestments may be adjusted to meet economic and/or investment market conditions.

As of December 31, 2020, the County had the following cash, cash equivalents, andinvestments in its Pension Trust Fund:

Cash or Less than 1-5 6-10 More thanInvestment Type Book Value 1 year years years 10 years

U.S. Government Securities 26,324,154$ -$ 16,404,580$ 6,020,925$ 3,898,649$Corporate debt obligations 23,024,044 929,930 11,371,634 10,094,260 628,220Other fixed income 2,131,600 - 2,026,250 105,350 -

Total debt securities 51,479,798$ 929,930$ 29,802,464$ 16,220,535$ 4,526,869$

Cash and cash equivalents 2,862,117Mutual funds - fixed income 21,325,887Mutual funds - equity 132,219,302Property trusts 21,695,292Private equity 19,718,530Exchange traded funds 4,197,080Domestic equities 47,675,460

Total other investments 249,693,668

Total Pension Trust Funds cash,cash equivalents, and investmentsreported on statement of fiduciarynet position 301,173,466$

Investments Maturities from December 31, 2020

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The Pension Trust Fund categorizes its investments within the fair value hierarchy establishedby generally accepted accounting principles. The Pension Trust Fund had the followingrecurring fair value measurements at December 31, 2020:

Investments Total Level 1 Level 2 Level 3Debt securities:

U.S. Government Securities 26,324,154$ 26,324,154$ -$ -$Corporate debt obligations 23,024,044 22,298,620 725,424 -Other fixed income 2,131,600 - 2,131,600 -

Total Debt Securities 51,479,798 48,622,774 2,857,024 -

Mutual funds - fixed income 21,325,887 21,325,887 - -Mutual funds - equity 132,219,302 132,219,302 - -Private equity 19,718,530 - - 19,718,530Exchange traded funds 4,197,080 4,197,080 - -Domestic Equities 47,675,460 47,675,460 - -

Total Investments by Fair Value Level 276,616,057 254,040,503$ 2,857,024$ 19,718,530$

Investments Measured at NAV:Property trust 21,695,292

Total investments 298,311,349$


Debt securities, mutual funds, exchange traded funds, and common stock classified in Level 1are valued using quoted prices in active markets for those securities. Debt securities classifiedin Level 2 are valued using various techniques, which may consider the reported sales of similarsecurities, market price quotations, and data (such as broker quotes, yields, bids, and referencedata).

Level 3 investments include the following:

· Property trusts classified in Level 3 are valued based upon the County’s share of thetrust assets held. The underlying assets of the property trust are primarily invested ininstitutional quality real estate assets in major metropolitan markets across the UnitedStates. The property trust valuations of real estate are determined by the property trusttrustee and given consideration to the income, cost, and sales comparison approachesof estimating property value.

· Private equity classified in Level 3 are valued based upon observations of the tradingmultiples of public companies considered comparable to the private companies beingvalued. Valuations are adjusted, as necessary, to account for company-specific issues,the lack of liquidity inherent in a nonpublic investment, and the fact that comparablepublic companies are not identical to the companies being valued, including theabsence of a committed buyer and completion of due diligence similar to thatperformed in an actual negotiated sale process. In addition, a variety of other factorsare review, including, but not limited to, financing and sales transactions with thirdparties, current operating performance and future expectations of the particularinvestment, changes in market outlook, and third-party financing environment.

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The Pension Trust Fund’s investment in money markets (cash and cash equivalents) of$2,862,117 is reported at amortized cost, which approximates market value.

The valuation method for investments measured at the net asset value (NAV) per share (or itsequivalent) under the so-called “practical expedient” is presented in the following table:

Unfunded Redemption RedemptionInstrument Fair Value Commitments Frequency Notice PeriodProperty trust (1) 21,695,292$ -$ Quarterly 60 days

(1) Property trust. This investment type includes the Boyd Watterson GSA Fund, L.P. (Fund), aDelaware limited partnership that purchases real estate assets that are primarily leased toFederal Agencies. The investment strategy of the Fund is to generate a stable stream ofinvestment grade current income while also preserving wealth using risk parameters andportfolio management strategies established by the General Partner. The fair values of theinvestments in this type have been determined using the NAV per share (or its equivalent) ofthe Pension Trust Fund’s ownership interest in partners’ capital. The Fund shall distributedistributable cash (cash flow from operations and net proceeds from the sale or refinancing ofan investment that the General Partner determines are available for distribution) to the partnersquarterly. All distributions of distributable cash shall be distributed to the partners on a pro ratabasis in proportion to the number of units held by them. Partial redemptions of the Fund arepermitted in increments of $250,000.

The preceding methods described may produce a fair value calculation that may not beindicative of net realized value or reflective of the future fair values. Furthermore, although thePension Trust Fund believes its valuation methods are appropriate and consistent with othermarket participants, the use of different methodologies or assumptions to determine fair valueof certain financial instruments could result in a different fair value measurement at thereporting date.

The following is a description of the County Employees’ Pension Trust Fund’s deposit andinvestment risks:

Custodial Credit Risk – Custodial credit risk is the risk that in the event of the failure of the bankor counterparty, the Pension Trust Fund will not be able to recover the value of its deposits orinvestments or collateral securities that are in the possession of an outside party. The PensionTrust Fund does not have a formal deposit or investment policy for custodial credit risk. As ofDecember 31, 2020, the County’s entire pension cash, cash equivalents, and investmentbalance of $301,173,466 (bank and book balance) was exposed to custodial credit risk. All ofthe County’s Pension Trust investments were uninsured and held by the counterparty. Thecounterparty is a member of the Securities Investor Protection Corporation (SIPC), whichprovides insurance coverage up to $500,000 of the net equity balance, including up to $250,000in cash, in the event the counterparty fails, owing the County cash and securities that aremissing from their accounts. This coverage does not extend to losses incurred due to fraud,misrepresentation, or investment decisions.

Interest Rate Risk – As a means of limiting its exposure to fair value losses arising from risinginterest rates, the County’s investment policy is to invest funds to achieve a positive rate ofreturn over the long term, sufficient to meet the Plan’s actuarial interest rate and provide for thepayment of benefit obligations and expenses in perpetuity in a secure and prudent fashion. Inaddition, the County’s investment policy states that, for fixed income, the duration of theportfolio should be maintained at 65% to 140% of the index duration.

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Credit Risk – The risk that an issuer or other counterparty to an investment will not fulfill itsobligation is called credit risk. The County’s Retirement investment policy average credit qualityof fixed income portfolio must maintain a rating of AA- or better. Generally, the fixed incomeassets held by the Plan must be rated investment grade or better by Moody’s Standard & Poor’s(Baa or BBB).

As of December 31, 2020, the County Employees’ Pension Trust Fund’s investments in debtsecurities have received the following ratings from Moody’s:

Percentage of Total PensionMoody's Rating Trust Fund Debt Securities

Aaa 45.58%Aa1 2.06%Aa2 0.49%Aa3 0.33%

Other 51.54%100.00%

Concentration of Credit Risk – The County’s Retirement Investment Policy limits fixed incomeassets in any one issuer, other than those in U.S. government guaranteed obligations and fullybacked Federal Agency obligations, to no more than 5% of the total fixed income assets of theentire plan. The policy also states that no more than 5% of the total equity holdings of the entireplan shall be invested in the securities of any one domestic equity issuer and no more than10% of the total foreign equity holdings of the entire plan shall be invested in the securities ofany one issuer. No violations of these limits were noted.

Pleasant Ridge Manor Pension Trust Fund

The Pleasant Ridge Manor Pension Trust Fund investments are held separately from those ofother County funds. The Pleasant Ridge Manor’s retirement Plan Investment Policy(Retirement Investment Policy) states that emphasis shall be placed on providing adequateand timely investment cash flow to permit benefit payments from the Retirement Plan whendue. Fixed income investment allocation is targeted at 40% (with an allowable range of +/-10%) of the portfolio. The investments may be adjusted to meet economic and/or investmentmarket conditions.

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As of December 31, 2020, Pleasant Ridge Manor had the following cash, cash equivalents,and investments in its Pension Trust Fund:

Cash or Less than 1-5 6-10 More thanInvestment Type Book Value 1 year years years 10 years

U.S. Government Securities 6,344,652$ 1,733,036$ 2,829,695$ 1,781,921$ -$Corporate debt obligations 11,534,928 505,351 4,836,583 5,394,334 798,660

Total debt securities 17,879,580$ 2,238,387$ 7,666,278$ 7,176,255$ 798,660$

Cash and cash equivalents 848,451Mutual funds - equity 51,791,561

Total other investments 52,640,012

Total Pension Trust Funds cash,cash equivalents, and investmentsreported on statement of fiduciarynet position 70,519,592$

Investments Maturities from December 31, 2020

The Pleasant Ridge Manor Pension Trust Fund categorizes its investments within the fair valuehierarchy established by generally accepted accounting principles. The Pension Trust Fundhad the following recurring fair value measurements at December 31, 2020:

Investments Total Level 1 Level 2 Level 3Debt securities:

U.S. Government Securities 6,344,652$ 6,344,652$ -$ -$Corporate debt obligations 11,534,928 11,534,928 - -

Total Debt Securities 17,879,580 17,879,580 - -

Mutual funds - equity 51,791,561 51,791,561 - -Total Investments by Fair Value Level 69,671,141 69,671,141$ -$ -$

Total investments 69,671,141$


Debt securities, mutual funds, exchange traded funds, and common stock classified in Level 1are valued using quoted prices in active markets for those securities. Debt securities classifiedin Level 2 are valued using various techniques, which may consider the reported sales of similarsecurities, market price quotations, and data (such as broker quotes, yields, bids, and referencedata). Level 3 inputs are significant unobservable inputs.

The Pleasant Ridge Manor Pension Trust Fund’s investment in money markets (cash and cashequivalents) of $848,451 is reported at amortized cost, which approximates market value.

The following is a description of the Pleasant Ridge Manor Pension Trust Fund’s deposit andinvestment risks:

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Custodial Credit Risk – Custodial credit risk is the risk that in the event of the failure of the bankor counterparty, the PRM Pension Trust Fund will not be able to recover the value of its depositsor investments or collateral securities that are in the possession of an outside party. The PRMPension Trust Fund does not have a formal deposit or investment policy for custodial creditrisk. As of December 31, 2020, PRM’s entire pension cash, cash equivalents, and investmentbalance of $70,519,592 (bank and book balance) was exposed to custodial credit risk. All ofPRM Plan’s Pension Trust investments were uninsured and held by the counterparty. Thecounterparty is a member of the Securities Investor Protection Corporation (SIPC), whichprovides insurance coverage up to $500,000 of the net equity balance, including up to $250,000in cash, in the event the counterparty fails, owing PRM Pension Plan cash and securities thatare missing from their accounts. This coverage does not extend to losses incurred due to fraud,misrepresentation, or investment decisions.

Interest Rate Risk – As a means of limiting its exposure to fair value losses arising from risinginterest rates, the County’s investment policy is to invest funds to achieve a positive rate ofreturn over the long term, sufficient to meet the Plan’s actuarial interest rate and provide for thepayment of benefit obligations and expenses in perpetuity in a secure and prudent fashion. Inaddition, the County’s investment policy states that, for fixed income, the duration of theportfolio should be maintained at 65% to 140% of the index duration.

Credit Risk – The risk that an issuer or other counterparty to an investment will not fulfill itsobligation is called credit risk. The Pleasant Ridge Manor’s Retirement investment policyaverage credit quality of fixed income portfolio must maintain a rating of AA- or better.Generally, the fixed income assets held by the Plan must be rated investment grade or betterby Moody’s Standard & Poor’s (Baa or BBB).

As of December 31, 2020, the Pleasant Ridge Manor Pension Trust Fund’s investments in debtsecurities have received the following ratings from Moody’s:

Percentage of Total PensionMoody's Rating Trust Fund Debt Securities

Aaa 3.77%Aa1 2.18%Aa3 1.78%A1 12.44%A2 22.27%A3 18.42%Baa 39.14%

100.00%

Concentration of Credit Risk – The County’s Retirement Investment Policy limits fixed incomeassets in any one issuer, other than those in U.S. government guaranteed obligations and fullybacked Federal Agency obligations, to no more than 5% of the total fixed income assets of theentire plan. The policy also states that no more than 5% of the total equity holdings of the entireplan shall be invested in the securities of any one domestic equity issuer and no more than10% of the total foreign equity holdings of the entire plan shall be invested in the securities ofany one issuer. No violations of these limits were noted.

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Erie County Gaming Revenue Authority (Authority) – Component Unit

Custodial Credit Risk – Custodial credit risk is the risk that in the event of a bank failure, theAuthority’s deposits may not be returned to it. The Authority does not have a policy for custodialcredit risk. As of March 31, 2020, $10,373,133 of the Authority’s bank balance of $10,623,133was collateralized with securities held by the pledging financial institution and $250,000 wascovered by FDIC insurance. This deposit has a carrying amount of $10,620,644 as of March31, 2020.

Erie County Land Bank (Land Bank) – Component Unit

Custodial Credit Risk – Custodial credit risk is the risk that in the event of a bank failure, theLand Bank’s deposits may not be returned to it. The Land Bank does not have a policy forcustodial credit risk. As of December 31, 2020, $2,116,410 of the Authority’s bank balance of$2,366,081 was collateralized with securities held by the pledging financial institution and$250,000 was covered by FDIC insurance. This deposit has a carrying amount of $2,366,081as of December 31, 2020.

NOTE 3: RECEIVABLES

Receivables as of December 31, 2020 for the government’s individual major funds and non-major funds in the aggregate, including the applicable allowances for uncollectible accountsare as follows:

Mental Health/ Children andGeneral Fund Intellectual Disabilities HealthChoices Youth

Interest 9,386$ -$ 2,338$ -$Taxes 9,789,962 - - -Federal and state grants - 248,458 13,262,668 18,268,139Other 5,121,283 166,463 - -

Gross receivables 14,920,631 414,921 13,265,006 18,268,139Less: allowance for uncollectibles (1,920,934) - - -

12,999,697$ 414,921$ 13,265,006$ 18,268,139$

Capital Other Non-Gaming Projects Major Funds Total

Interest 560$ 1,092$ 1,707$ 15,083$Taxes - - - 9,789,962Federal and state grants - - 5,981,363 37,760,628Other 2,772,409 - 1,686,571 9,746,726

Gross receivables 2,772,969 1,092 7,669,641 57,312,399Less: allowance for uncollectibles - - - (1,920,934)

2,772,969$ 1,092$ 7,669,641$ 55,391,465$

In addition to the above, the government’s internal service fund has a receivable as ofDecember 31, 2020 of $332,908 representing reimbursement of claims that is considered bymanagement to be fully collectible.

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NOTE 3: RECEIVABLES

Governmental funds report deferred revenue in connection with receivables for revenues thatare not considered to be available to liquidate liabilities of the current period. Governmentalfunds also defer revenue recognition in connection with resources that have been received, butnot yet earned. At December 31, 2020, the various components of deferred revenue andunearned revenue reported in the governmental funds were as follows:

Deferred Inflows UnearnedDelinquent property taxes receivable 5,383,748$ -$Grant advances prior to meeting all

eligibility requirements - 4,332,510

5,383,748$ 4,332,510$

NOTE 4: REAL ESTATE TAXES

Property taxes are levied as of January 1 on property values assessed as of the same date.Property taxes are due as of March 1. A two percent discount is allowed if the taxes are paidbefore May 1 and a ten percent penalty is added to all payments made after June 30. Propertyis subject to lien and penalties and interest.

Real estate taxes for the calendar year are invoiced on March 1 of each year. Unpaid realestate taxes attach as an enforceable lien on property as of January 1 of the following year.The County bills these taxes which are collected by elected local tax collectors. The Countycollects delinquent real estate taxes on behalf of itself and other taxing authorities.

The County is permitted by the County Code of the Commonwealth of Pennsylvania to levyreal estate taxes up to 25 mills on every dollar of adjusted valuation for general Countypurposes exclusive of the requirements for the payment of interest and principal on fundeddebt.

The County's 2020 real estate taxes are based on assessed values established by the County'sBureau of Assessments. Assessed values of real property are generally 100% of the marketvalue as determined by the Erie County Bureau of Assessments. The total March 1, 2020assessed real estate taxes equaled $82,202,052 based on a total County valuation of14,396,149,221. Based on the 2020 levy of 5.71 mills allocated for general purposes a propertyowner would pay $5.71 per $1,000 of assessed valuation.

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NOTE 5: CAPITAL ASSETS

Capital Asset activity for the year ended December 31, 2020 was as follows:

December 31, December 31,2019 Additions Deletions

Capital assets, not depreciated:Land 1,501,237$ -$ -$ 1,501,237$

Total capital assets, not depreciated 1,501,237 - - 1,501,237

Capital assets, depreciated:Buildings and improvements 94,504,811 1,165,691 - 95,670,502Vehicles 3,130,625 722,699 (156,553) 3,696,771Furniture and equipment 27,020,625 2,523,615 (586,339) 28,957,901

Total capital assets, depreciated 124,656,061 4,412,005 (742,892) 128,325,174

Less accumulated depreciation:Buildings and improvements (69,633,198) (2,894,547) - (72,527,745)Vehicles (2,562,503) (291,158) 153,753 (2,699,908)Furniture and equipment (17,830,896) (5,560,800) 567,908 (22,823,788)

Total accumulated depreciation (90,026,597) (8,746,505) 721,661 (98,051,441)

Total capital assets, depreciated, net 34,629,464 (4,334,500) (21,231) 30,273,733

Total capital assets, net 36,130,701$ (4,334,500)$ (21,231)$ 31,774,970$

Depreciation expense was charged to function/programs of the primary government as follows:

Government Activities:General government 530,440$Courts and related offices 342,295Corrections 1,221,927Community service 5,923,691Public health 42,444Library 685,708

Total 8,746,505$

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NOTE 5: CAPITAL ASSETS (CONTINUED)

Business-Type Activities – Pleasant Ridge Manor (PRM)

December 31, December 31,2019 Additions Deletions

Capital assets, not depreciated:Land 150,490$ -$ -$ 150,490$

Capital assets, depreciated:Land improvements 1,701,278 142,502 - 1,843,780Buildings and improvements 20,106,929 103,206 - 20,210,135Furniture and equipment 11,917,379 450,878 (28,073) 12,340,184

Total capital assets, depreciated 33,725,586 696,586 (28,073) 34,394,099

Less accumulated depreciation:Land improvements (652,316) (111,297) - (763,613)Buildings and improvements (18,208,056) (421,513) - (18,629,569)Furniture and equipment (9,419,937) (401,352) 28,073 (9,793,216)

Total accumulated depreciation (28,280,309) (934,162) 28,073 (29,186,398)

Total capital assets, depreciated, net 5,445,277 (237,576) - 5,207,701

Total capital assets, net 5,595,767$ (237,576)$ -$ 5,358,191$

Depreciation Expense was $934,162 in 2020 for PRM.

NOTE 6: PENSION PLAN

Summary of Significant Accounting Policies

Financial information of the Erie County Employees Retirement System (Plan) is presented onthe accrual basis of accounting. Benefits and refunds are recognized when due and payable inaccordance with the terms of the Plan. Employer contributions to the Plan are recognized whendue as required by applicable law. Investments of the Plan are reported at fair value. Short-term investments are reported at cost, which approximates fair value. Securities traded onnational exchanges are valued at the last reported sales price. All administrative costs are paidfrom the Plan assets. The activity of the Plan is reported as the Pension Trust Fund in theaccompanying financial statements. Separate plan financial statements are not available.

Plan Description

The Plan is a single-employer, defined-benefit plan. The Plan covers all full-time employees ofthe County and part time employees exceeding 1,000 hours per year. The Plan is governed bythe County’s Retirement Board (Board), which consists of five members. Three are appointedCouncil members, plus the Director of Finance, and the County Controller. The authority to

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NOTE 6: PENSION PLAN (CONTINUED)

establish and amend the benefit provisions of the Plan rests with the Board as designated inthe Home Rule Charter and Act 96 of 1971 (Act), the County Pension Law. The Plan does notissue a stand-alone financial report. The financial activity is included as part of the AnnualComprehensive Financial Report of Erie County.

At December 31, 2020, Plan membership consisted of the following:

870179

1,235

2,284

Inactive plan members entitled to but not yet receiving benefitsActive plan members

Total plan members

Inactive plan members and beneficiaries currently receiving benefits

Benefits Provided

Retirement Benefit – The Plan provides for normal retirement age 60 or at age 55 if theparticipant has completed 20 years of service. The amount of benefit at retirement shall equal1.667% of the member’s “Final Average Salary” compensation multiplied by years of creditedservice, plus an annuity based on the actuarial equivalent of the participant’s accumulatedcontributions and credited interest. The “Final Average Salary” is defined as the average of thehighest three years of compensation earned by the member.

Disability Retirement Benefit – A participant is entitled to a disability benefit after suffering totaland permanent disability prior to retirement eligibility and after completion of five years ofcredited service. The disability benefit is equal to 25% of “Final Average Salary” at the time ofretirement. Such disability benefit shall include the benefit that is actuarially equivalent to themember’s accumulated contributions at retirement.

Death Benefit – The pre-retirement death benefit is payable if an active member dies afterhaving attained age 60 or having completed ten years of credited service. The beneficiary willreceive a lump sum equal to the actuarially determined present value of the benefits calculatedbased on the member’s “Final Average Salary” and credited service at time of death plus themember’s accumulated contributions with interest at time of death. The post-retirement deathbenefit is payable upon the death of a retired member. The beneficiary will receive survivorbenefits, if any, in accordance with the form under which benefits were being paid to themember. In any event, the total amount of benefits paid to the deceased member andbeneficiary must, at least, equal the member’s accumulated contributions with interest.

Cost-of-Living Adjustments – Cost-of-living adjustments (COLA) are provided at the discretionof the Board. The Board is required to review COLA at least once every three years. EffectiveJanuary 1, 2017, the Board granted a COLA adjustment to the retirees of the plan.

Contributions

Plan members are required to contribute 5% of their annual covered salary. The County isrequired to contribute at an actuarially determined rate. Per the Act, as amended, contributionrequirements of the Plan members and the County are established and may be amended bythe General Assembly of the Commonwealth of Pennsylvania. The actuarially determined rateis the estimated amount necessary to finance the costs of benefits earned by plan membersduring the year, with an additional amount to be finance any unfunded accrued liability. For the

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year ended December 31, 2020, the Plan had contributions totaling $10,782,791. This wascomprised of member contributions of $4,385,594 and County contributions of $6,397,197.

Changes in the Net Pension Liability

The changes in the net pension liability of the County’s governmental activities for the yearended December 31, 2020 were as follows:

Total Pension Plan Fiduciary Net Pension

Liability Net Position Liability

Balances at December 31, 2019 295,160,762$ 279,549,104$ 15,611,658$

Changes for the year:

Service cost 7,512,030 - 7,512,030

Interest 21,108,696 - 21,108,696

Changes of benefit terms 619,944 - 619,944

Differences between expected and actual experience 2,769,838 - 2,769,838

Contributions - employer - 6,397,197 (6,397,197)

Contributions - employee - 4,385,594 (4,385,594)

Net investment income - 30,097,093 (30,097,093)

Benefit payments, including refunds (18,651,139) (18,651,139) -

Administrative expense - (214,955) 214,955

Net changes 13,359,369 22,013,790 (8,654,421)

Balances at December 31, 2020 308,520,131$ 301,562,894$ 6,957,237$

Plan fiduciary net position as a percentage

of the total pension liability 97.74%

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Actuarial Assumptions – The total pension liability was determined by an actuarial valuationperformed as of December 31, 2020 using the following assumptions, applied to all periods inthe measurement:

Actuarial assumptions:Investment rate of return 7.25%Projected salary increases

2021 and after 3.00%Retirement age assumption

Age 55 15.00%Ages 56-59 3.00%Ages 60-61 10.00%Ages 62 25.00%Ages 63-64 15.00%

Turnover table T - 7Inflation Rate 2.25%Asset valuation method Fair Market Value

Cost-of-living adjustment None

Actuarial assumptions based on actuarial experience study for the period January 1, 2010 toDecember 31, 2012. Mortality rates were based on the RP-2000 Mortality Table for Males andFemales, as appropriate, with adjustments to mortality improvements to the valuation datebased on Scale AA.

Changes in Actuarial Assumptions – There were no changes in assumptions for the year endedDecember 31, 2020.

Investment Policy – The Plan’s policy in regard to the allocation of invested assets isestablished and may be amended by the Board by a majority vote of its members. The Boardhas delegated the authority to manage Plan assets to Morrison Fiduciary Advisors, Inc. It is thepolicy of the Board to pursue an investment strategy that balances growth with the need topreserve the capital through the prudent diversification of the portfolio across a broad selectionof distinct asset classes. The Plan’s investment policy discourages the use of cash equivalents,except for liquidity purposes, and aims to refrain from dramatically shifting asset classallocations over short time spans.

Long-term Expected Rate of Return – The long-term expected rate of return on Planinvestments was determined using a building-block method in which best-estimate ranges ofexpected future real rates of return (expected returns, net of pension plan investment expenseand inflation) are developed for each major asset class. These ranges are combined to producethe long-term expected rate of return by weighting the expected future real rates of return bythe target asset allocation percentage and by adding expected inflation.

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The following were the asset allocation policy and best estimate of arithmetic real rates of returnfor each major asset class included in the Plan’s target asset allocation as of December 31,2020:

Long-term ExpectedAsset Class Target Allocation Real Rate of Return

Large cap core equity 25.00% 6.00%Small cap core equity 12.00% 6.25%International equity 13.00% 6.75%Fixed income- core 34.00% 1.25%Private equity 5.00% 8.50%Private debt 3.00% 7.00%Private real estate 8.00% 4.75%

100.00%

Rate of Return – The money-weighted rate of return express investment performance, net ofinvestment expense, adjusted for the changing amounts actually invested. For the year endedDecember 31, 2020, the annual money-weighted rate of return for the Plan investments, net ofinvestment expense, was 10.92%.

Concentrations – There were no individual investments that constituted more than 5% plan netposition as of December 31, 2020.

Discount Rate – The discount rate used to measure the total pension liability was 7.25%. Theprojection of cash flows used to determine the discount rate assumed that plan membercontributions will be made at the current contribution rate and that County contributions will bemade at the actuarially determined contribution rate. Based on those assumptions, the Plan’sfiduciary net position was projected to be available to make all projected future benefitpayments of current Plan members. Therefore, the long-term expected rate of return onpension plan investments was applied to all periods of projected benefit payments to determinethe total pension liability.

Sensitivity of the Net Pension Liability to Changes in the Discount Rate – The following presentsthe net pension liability of the Plan calculated using the discount rates described above, as wellas what the Plan’s net pension liability (assets) would be if was calculated using a discount ratethat is one percentage-point lower or one-percentage point higher than the current rate:

1% Decrease Current Discount 1% increase(6.25%) Rate (7.25%) (8.25%)

Plan's net pension liability (asset) 35,125,406$ 6,957,237$ (16,920,235)$

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Pleasant Ridge Manor (PRM) – Blended Component Unit

Summary of Significant Accounting Policies

Financial information of the PRM Pension Plan (PRM Plan) is presented on the accrualbasis of accounting. Benefits and refunds are recognized when due and payable inaccordance with the terms of the PRM Plan. Employer contributions to the PRM Plan arerecognized when due as required by applicable law. Investments of the PRM Plan arereported at fair value. Short-term investments are reported at cost, which approximates fairvalue. Securities traded on national exchanges are valued at the last reported sales price.The pension plan issues a stand-alone financial report. The report can be obtained fromthe financial department of PRM.

Plan Description

The PRM Plan is a single-employer, defined-benefit plan controlled by the provisions of apension plan and trust agreement most recently adopted by the document restatementeffective January 1, 2015. The PRM Plan covers substantially all employees. EffectiveDecember 31, 2011, PRM amended the PRM Plan to freeze participation for any non-bargaining employees whose age plus service did not equal to exceed 65 and todiscontinue participation for all future non-bargaining employees. The PRM Plan isgoverned by the Retirement Committee as appointed by the PRM Board of Trustees, whichis responsible for the management of plan assets. PRM Plan provisions and contributionrequirements are established and may be amended by the Retirement Committee. Theinvestments of the PRM Plan are held in trust by PNC Bank.

At December 31, 2020, PRM Plan membership consisted of the following:

Inactive plan members or beneficiaries currently receiving benefits 314Inactive plan members entitled to but not yet receiving benefits 122Active plan members 200

Total plan members 636

Benefits Provided

Retirement Benefit – The PRM Plan provides for normal retirement age 60 or at age 55 ifthe participant has completed 20 years of service. The amount of benefit at retirement shallequal 1.25% of final average compensation multiplied by years of credited service, plus amonthly annuity based on the actuarial equivalent of the participant’s accumulatedcontributions and credited interest. Participants become 100% vested upon completion offive years of credited service. A participant who terminates employment after five years ofcredited service will receive a deferred annuity commencing at age 60 (or at age 55 if themember has at least 20 years of service at termination). The deferred benefit shall becalculated using the normal retirement pension formula based on credit service, finalaverage salary, and accumulated contributions at termination. If a participant employeeterminates employment prior to entitlement of PRM Plan benefits, the participant willreceive a refund of accumulated contributions with interest.

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Pleasant Ridge Manor (PRM) – Blended Component Unit (Continued)

Disability Retirement Benefit – The PRM Plan provides for disability retirement benefits forparticipants with a total and permanent disability prior to normal retirement eligibility andafter completion of five years of vesting service. Disability retirement provides a totalmonthly benefit commencing on the last day of the month following disability retirementequal to 25% of the 1/12th of the final average compensation at time of retirement. Suchtotal monthly benefit shall include the monthly disability that is actuarially equivalent to theparticipant’s equivalent to the participant’s accumulated contributions at retirement.

Death Benefit – If a participant dies pre-retirement after having attained age 60 or havingcompleted ten years of credited service, the participant’s beneficiary will receive a lumpsum equal to the actuarially determined present value of the benefits calculated based onthe participant’s final average compensation and credited service at time of death plus theparticipant’s accumulated contributions with interest at the time of death. If a participantdies post-retirement, the participant’s beneficiary will receive survivor benefits inaccordance with the form under which benefits were being paid to the participant. In anyevent, the total amount of benefits paid to the deceased participant and beneficiary must,at least, equal the participant’s accumulated contributions with interest.

Cost-of-Living Adjustments – Benefit terms do not provide for annual cost-of-livingadjustments to each member’s retirement allowance subsequent to the member’sretirement date.

Contributions

The PRM Plan is funded by PRM on an annual basis. Employees who choose to participatein the PRM Plan are required to contribute 6% of their annual compensation and may electto contribute up to 16%. The funding policy of the PRM Plan provides for employercontributions at actuarially determined rates that are sufficient to accumulate assetsrequired to pay benefits when due. For the year ended December 31, 2020, the PRM Planhad contributions totaling $1,903,146 comprised of member contributions of $803,146 andPRM contributions of $1,100,000.

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Changes in the Net Pension Liability

The changes in the net pension liability (asset) of PRM for the year ended December 31,2020 were as follows:

Total Pension Plan Fiduciary Net PensionLiability (Asset) Net Position Liability (Asset)

Balances at December 31, 2019 62,788,870$ 63,269,831$ (480,961)$

Changes for the year:Service cost 1,137,451 - 1,137,451Interest 4,484,001 - 4,484,001Differences between expected and actual experience 666,682 - 666,682Contributions - employer - 1,100,000 (1,100,000)Contributions - employee - 803,146 (803,146)Net investment income - 9,354,391 (9,354,391)Benefit payments, including refunds (3,836,365) (3,836,365) -Administrative expense - (37,735) 37,735

Net changes 2,451,769 7,383,437 (4,931,668)

Balances at December 31, 2020 65,240,639$ 70,653,268$ (5,412,629)$

Plan fiduciary net position as a percentageof the total pension liability (asset) 108.30%

Actuarial Assumptions – The total pension liability was determined by an actuarial valuationperformed as of December 31, 2020 using the following actuarial assumptions, applied toall periods in the measurement:

Actuarial assumptions:Investment rate of return 7.25%Projected salary increases 3.00%Underlying inflation rate 2.00%Cost-of-living adjustments NoneAssumed retirement age 30% at age 60; 10% at age 61

20% at age 62; 10% at age 635% at age 64; 100% at age 65

Turnover table T-5

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Actuarial assumptions were based on actuarial experience study for the period January 1,2018 to December 31, 2018. Mortality assumptions are based on the 2018+ StaticMortality Table for Males and Females with mortality improvement rates, as published bythe Internal Revenue Service.

Changes in Actuarial Assumptions – There have been no changes in actuarialassumptions.

Investment Policy – The PRM’s Plan policies in regard to the allocation of invested assetsis established and may be amended by the Retirement Committee by a majority vote of itsmembers. It is the policy of the Retirement Committee to pursue an investment strategythat balances growth with the need to preserve capital through the prudent diversificationof the portfolio across a broad selection of district asset classes. The PRM Plan’sinvestment policy discourages the use of cash equivalents, except for liquidity purposes,and aims to refrain from dramatically shifting asset class allocations over short timespans.

Long-Term Expected Rate of Return – The long-term expected rate of return on PRM Planinvestments was determined using a building-block method in which best-estimate rangesof expected future real rates of return (expected returns, net of investment expense andinflation) are developed for each major asset class. These ranges are combined to producethe long-term expected rate of return by weighting the expected future real rates of returnby the target asset allocation percentage and by adding expected inflation.

The following were the asset allocation policy and best estimates of arithmetic real rates ofreturn for each major asset class included in the PRM Plan’s target asset allocation as ofDecember 31, 2020:

Long-Term ExpectedAsset Class Target Allocation Real Rate of Return

Large cap core equity 40.00% 6.00%Small cap core equity 10.00% 6.25%International equity 10.00% 6.15%Fixed income - core 40.00% 1.50%Fixed income - HY/BL 0.00% 5.00%Real estate 0.00% 6.50%

100.00%

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Rate of Return – The money-weighted rate of return expresses investment performance,net of investment expense, adjusted for the changing amounts actually invested. For theyear ended December 31, 2020, the annual money-weighted rate of return on the PRMPlan investments, net of investment expense, was 15.02%.

Concentrations – There were no individual investments that constituted more than 5% ofplan net position as of December 31, 2020.

Discount Rate – The discount rate used to measure the total pension liability for the PRMPlan was 7.25%. The projection of cash flows used to determine the discount rate assumedthat plan member contributions will be made at the current contribution rate. Based onthose assumptions, the PRM Plan’s fiduciary net position was projected to be available tomake all projected future benefit payments of current plan members. Therefore, the long-term expected rate of return on pension plan investments was applied to all periods ofprojected benefit payments to determine the total pension liability.

Sensitivity of the Net Pension Liability to Changes in the Discount Rate – The followingpresents the net pension liability of the PRM Plan calculated using the discount ratesdescribed above, as well as what the Plan’s net pension liability would be if it wascalculated using a discount rate that is one-percentage lower or one-percentage higherthan the current rate:

1% Decrease Current Discount 1% Increase(6.25%) Rate (7.25%) (8.25%)

PRM Net pension liability 228,289$ (5,412,629)$ (10,202,134)$

Net Pension Liability – Primary Government

The components of the County’s net pension liability of the pension plans at December 31,2020 were as follows:

Erie County Employees PRMRetirement System Pension Plan Total

Total pension liability 308,520,131$ 65,240,639$ 373,760,770$Plan fiduciary net position (301,562,894) (70,653,268) (372,216,162)

Net pension liability 6,957,237$ (5,412,629)$ 1,544,608$

Plan fiduciary net positionas a percentage of thetotal pension liability 97.74% 108.30%

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Pension Expense, Deferred Outflows of Resources, and Deferred Inflows of ResourcesRelated to Pensions – Primary Government

For the year ended December 31, 2020, the County recognized pension expense (income) of$3,805,484 and $(528,082) related to its governmental and business-type activities,respectively. At December 31, 2020, the County reported deferred outflows of resources anddeferred inflows of resources related to pensions from the following sources:

Erie County EmployeesRetirement System

PRM PensionPlan Total

Deferred Outflows of Resources:Differences between expected and actual experience 3,159,053$ 445,193$ 3,604,246$Changes in assumption 2,899,694 167,633 3,067,327

Total deferred outflows of resources 6,058,747$ 612,826$ 6,671,573$

Erie County Employees PRMRetirement System Pension Plan Total

Deferred Inflows of Resources:Differences between expected and actual experience 518,776$ 69,385$ 588,161$Net difference between projected and actual earnings

on pension plan investments 13,057,868 5,725,962 18,783,830

Total deferred outflows of resources 13,576,644$ 5,795,347$ 19,371,991$

Amounts reported as deferred outflows of resources and deferred inflows of resources relatedto pensions will be recognized in pension expense as follows:

Erie County Employees PRM PensionYear ending December 31, Retirement System Plan Total

2021 (1,111,878)$ (1,228,885)$ (2,340,763)$2022 1,340,340 (657,856) 682,4842023 (6,290,956) (2,325,686) (8,616,642)2024 (1,460,931) (970,094) (2,431,025)2025 5,528 - 5,528

(7,517,897)$ (5,182,521)$ (12,700,418)$

NOTE 7: DEFFERED COMPENSATION PLAN

Pleasant Ridge Manor (PRM)

In January of 2012, PRM established a deferred compensation plan adopted under theprovisions of Internal Revenue Code Section 457 (deferred compensation plans with respectto service for State and Local Governments), which is considered a defined contributionpension plan. As part of its fiduciary role, PRM has an obligation of due care in selecting thethird-party administrator. This deferred compensation plan covers all employees who werehired on or after January 1, 2012, all employees who elected not to participate or who were noteligible for the pension plan prior to January 1, 2012, and all non-bargained employees whose

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NOTE 7: DEFFERED COMPENSATION PLAN (CONTINUED)

Pleasant Ridge Manor (PRM) (Continued)

full completed years of service plus their attained age on their last birthday totaled less than 65as of December 31, 2011. Employees may contribute an amount of their salary up to the IRSlimitations and PRM will match 3% of the employees’ contributions. For the year endedDecember 31, 2020, employees contributed $174,923 to the deferred compensation plan andPRM contributed $80,209. The total fair value on PRM’s 457(b) plan as of December 31, 2020is $1,980,200.


The Corporation maintains a defined contribution retirement plan for substantially allemployees. The employer contributions to the defined contribution retirement plan arereviewed and set annually by the Corporation. For 2020, the employer’s contributions are11.89% of the employee’s salary for employees hired prior to January 1, 2005 (former CaseManagement Support Services employees). For employees hired subsequently, the employercontributions to the plan are reviewed and set annually by the Corporation, but will not exceed10.8%. For the year ended December 31, 2020, the contribution rate was established at 9%of employee’s eligible compensation. Pension expense was $636,638 for the year endedDecember 31, 2020.

The defined contribution retirement plan provides for voluntary contributions by participantssubject to a maximum limitation as determined by IRS regulation on the 457 deferredcompensation plans. Participant contributions are currently limited to the lesser of 100% ofcompensation or $18,500.

NOTE 8: POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS

Plan Description

In addition to the pension benefits described in Note 6, the County provides post-employmenthealth insurance benefits through a single employer defined benefit plan (OPEB Plan). Thebenefits are established in accordance with the requirements set forth by the Retirement Boardof Erie County to all retired full-time employees employed before January 23, 1992. CountyCouncil can amend the OPEB plan at any time. The Plan is not accounted for as a trust fund,as an irrevocable trust has not been established. The OPEB Plan does not issue a separatereport and activity of the OPEB Plan is reported in the County’s Internal Service Fund.

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NOTE 8: POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (CONTINUED)

OPEB Plan Membership

At December 31, 2020, the following employees were covered by the benefit terms:

Active Plan Members 60

Retirees and beneficiariescurrently receiving benefits 715

Terminated Plan Members entitlesto but not yet receiving benefits 22

Total 797

Contributions

The OPEB Plan is funded by the County on a “pay as you go” basis. Contributions are madeto the OPEB Plan to pay claims as they happen. For the year ended December 31, 2020, thetotal contributions to the OPEB Plan were $2,354,113.

Benefits Provided

The OPEB Plan provides health care coverage for qualified retirees. To be eligible forhospitalization insurance after leaving employment with the County, the participant must be anactive retiree (eligible for and receiving a monthly pension check from the County). In addition,the participant must also meet one of the following age and service requirements: hired priorto January 23, 1992 and retiring with 20+ years of service and age 55+, hired prior to January23, 1992 and retiring with 8+ years of service and age 60+, hired prior to January 23, 1992 andinvoluntary terminated (except for just cause/misconduct) with 8+ years prior service, or hiredprior to January 23, 1992 and eligible for disability retirement.

Hospitalization coverage as a retiree will be equivalent (single or dependent coverage) to thatheld by the individual at the time of retirement. In addition, only dependents who were coveredprior to retirement will be eligible for coverage under the retiree’s plan (no new dependentsmay be added to the coverage after retirement). A spouse may be covered as a dependentuntil the death of the retiree; thereafter, they are eligible to continue their coverage by paying100% of the monthly insurance premium.

Retirees currently pay a portion of the monthly premium. The County covers the balance ofpremiums not paid by the retiree.

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Changes in the OPEB Liability

Total OPEBLiability

Balances at December 31, 2019 46,460,294$

Changes for the year:Service cost 219,877Interest 1,251,336Differences Between Expectedand Actual Experience (5,072,344)Changes in assumptions 3,073,261Benefit payments (2,354,113)

Net changes (2,881,983)


Actuarial Assumptions

The total OPEB liability was determined by an actuarial valuation performed on December 31,2020 using the following actuarial assumptions and other inputs, applied to all periods in themeasurement, unless otherwise specified:

Actuarial cost method Entry Age NormalMeasurement Date December 31, 2020Healthcare cost trend rates: PPO Blue Freedom Blue

2021 8.0% 3.0%2022 7.0% 3.0%2023 6.0% 3.0%

2024 and after 5.0% 3.0%Discount rate 2.12% based on the Bond Buyer 20-

Bond GO IndexMorality rates RP-2000 Mortality table for men and

women, projected to 2020 withMortality improvement based onScale AA.

Retirement age Age 55 15.0%Age 56-59 3.0%Age 60-61 10.0%Age 62 25.0%Age 63-64 15.0%Age 65 100.0%

Change in Actuarial Assumptions

The discount rate was changed from 2.75% to 2.12% in the December 31, 2020 valuation. Thediscount rate was based on the Bond Buyer 20-Bond GO Index as of December 31, 2020.

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Sensitivity of the Total OPEB Liability to Changes in the Discount Rate

The following represents the total OPEB liability of the County, calculated using the discountrate at 2.12%, as well as what the County’s total OPEB liability would be if it were calculatedusing a discount rate that is 1-percentage-point lower or one-percentage-point higher than thecurrent discount rate:

1% Current 1%Decrease Discount Rate Increase(1.12%) (2.12%) (3.12%)

Total OPEB Liability 49,315,598$ 43,578,311$ 38,864,133$

Sensitivity of the Total OPEB Liability to Change in the Healthcare Cost Trend Rate

The following represents the total OPEB liability of the County, calculated using the healthcarecost trend rate presented above, as well as what the County’s total OPEB liability would be if itwere calculated using a healthcare cost trend rate that is 1-percentage-point lower or one-percentage-point higher than the current discount rate:

Current1% Healthcare Cost 1%

Decrease Trend Rate Increase


Pleasant Ridge Manor (PRM) – Blended Component Unit

Plan Description

PRM’s defined benefit OPEB plan (PRM OPEB Plan) is a single-employer defined benefitplan that pays the cost of bridge health insurance coverage for retirees until age 65 whenMedicare commences. To qualify for healthcare benefits under the plan, an employee mustretire from active employment from PRM after attaining age 60 and completing at least 20years of service. The PRM OPEB Plan is not accounted for as a trust fund, an irrevocabletrust has not been established, the plan does not issue a separate report, and activity ofthe plan is reported in the County’s business-type activities-enterprise funds.

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PRM OPEB Plan Membership

At December 31, 2020, the following employees were covered by the benefit terms:

Active Plan Members 304

Retirees and beneficiariescurrently receiving benefits 34

Terminated Plan Members entitledto but not yet receiving benefits 0

Total 338

Contributions

The PRM OPEB Plan is funded by PRM on a “pay as you go” basis. Contributions aremade to the plan to pay claims as they happen. For the year ended December 31, 2020,the total contributions to the PRM OPEB Plan were $152,614.

Benefits Provided

Qualified employees are provided with the single health coverage that is the same as thatprovided to active employees. The coverage continues to Medicare eligibility age. Retireesare required to fund a portion of their health benefit cost in an amount that equals 5% ofthe single COBRA coverage premium in their year of retirement.

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Changes in the OPEB Liability

The changes in the OPEB Liability of PRM for the year ended December 31, 2020 were asfollows:

Total OPEBLiability


Changes for the year:Service cost 89,456Interest 76,344Differences between expected and actual experience (87,526)Changes in assumptions 231,516Benefit payments (152,614)

Net changes 157,176


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Actuarial Assumptions

PRM’s total OPEB liability was determined by an actuarial valuation performed onDecember 31, 2020 using the following actuarial assumptions and other inputs, applied toall periods in the measurement, unless otherwise specified:

Actuarial cost method Entry Age Normal CostMeasurement Date December 31, 2020Healthcare cost trend rates 4.00%Discount rate 1.93% based on the S&P Municipal Bond 20-Year

High Grade IndexTurnover T-5Premium rate for bridge coverage $769.98Retirement age Assumed ages at retirement have been

developed from actual historicalexperience as follows:

Age 60 - 30% of eligible employeesAge 61 - 10% of eligible employeesAge 62 - 20% of eligible employeesAge 63 - 10% of eligible employeesAge 64 - 5% of eligible employeesAge 65 or older - 100% of eligible employees


The discount rate used to measure the total OPEB liability for PRM was 1.93%. Thediscount rate was based on the S&P Municipal Bond 20-Year High Grade Index as ofDecember 31, 2020. The discount rate used in prior periods was 3.26%

Sensitivity of the Total OPEB Liability to Changes in the Discount Rate

The following presents the total PRM OPEB liability, calculated using a discount rate of3.26%, as well as what the total OPEB liabilities would be if they were calculated using adiscount rate that is 1-percentage-point lower or one percentage-point higher than thecurrent rate:

1% Current 1%Decrease Discount Rate Increase

0.93% 1.93% 2.93%


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Sensitivity of the Total OPEB Liability to Changes in the Healthcare Cost Trend Rate

The following presents the total PRM OPEB liability, calculated using the healthcare costtrend rate of 4.00%, as well as what the total OPEB liabilities would be if they werecalculated using a healthcare cost trend rate that is 1-percentage-point lower or one-percentage-point higher than the current rate:

Current1% Healthcare Cost 1%

Decrease Trend Rate Increase


Total OPEB Liability – Primary Government

The components of the County’s OPEB liability at December 31, 2020 were as follows:

Erie County PRMOPEB Plan OPEB Plan Total

Total OPEB liability 43,578,311$ 2,492,228$ 46,070,539$Plan fiduciary net position - - -

Net OPEB liability 43,578,311$ 2,492,228$ 46,070,539$

OPEB Expense, Deferred Outflows of Resources, and Deferred Inflows of ResourcesRelated to OPEBs – Primary Government

For the year ended December 31, 2020, the County recognized OPEB expense/(income)of $(527,870) and $151,929 related to its governmental and business-type activities,respectively. At December 31, 2020, the County reported deferred outflows of resourcesand deferred inflows of resources related to OPEBs from the following sources:


Deferred Outflow of Resources:Changes in assumption -$ 305,314$ 305,314$


Deferred Inflows of Resources:Differences between expected and actual experience -$ 415,370$ 415,370$

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OPEB Expense, Deferred Outflows of Resources, and Deferred Inflows of Resources Relatedto OPEBs – Primary Government (Continued)

Amounts reported as deferred outflows of resources and deferred inflows of resources relatedto OPEBs will be recognized in OPEB expense as follows:

Erie County PRMYear ending December 31, OPEB Plan OPEB Plan Total

2021 -$ (13,871)$ (13,871)$2022 - (13,871) (13,871)2023 - (13,871) (13,871)2024 - (13,871) (13,871)2025 - (13,871) (13,871)

Thereafter - (40,701) (40,701)

-$ (110,056)$ (110,056)$

NOTE 9: RISK MANAGEMENT

Claims and Assessment

The County is exposed to various risks of loss related to torts; theft of; damage to anddestruction of assets; errors and omissions; and natural disasters for which the County carriescommercial insurance. Settled claims from these risks have exceeded commercial insurancecoverage for 2018 by $105,966, 2019 by $48,015 and 2020 by $174,951.

Health Care

The County maintains a self-insurance program for health and prescription drug coverage foreligible employees on cost-reimbursement basis. Employees contribute $29.27 or $81.12 permonth depending on single or dependent coverage election.

A stop-loss insurance contract executed with an insurance carrier covers independent claimsin excess of $300,000 up to $1,000,000 maximum per individual claim.

During the year ended December 31, 2020, total claims expenses and stop-loss insuranceexpenses were $19,393,432. Claims expenses recorded as employee fringe expendituresrepresent claims processed as of December 31, 2020 and includes $1,261,957 claims payable.

A liability for claims is required to be reported if information prior to the issuance of financialstatements indicates that a liability had been incurred at the date of the financial statements,and the amount of the loss can be reasonably estimated. The claims liability is recorded in theInternal Service Fund medical claims payable. Changes in the claim liability are as follows:

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NOTE 9: RISK MANAGEMENT (CONTINUED)

Health Care (Continued)

Claims liability - beginning of year, January 1, 2019 1,221,533$Current year incurred claims 20,807,654Claims payments (21,305,096)

Claims liability - end of year, December 31, 2019 724,091$

Claims liability - beginning of year, January 1, 2020 724,091$Current year incurred claims 19,393,432Claims payments (18,855,566)

Claims liability - end of year, December 31, 2020 1,261,957$

Pleasant Ridge Manor (PRM)

Self-Insurance Programs

PRM maintains a self-insurance program for workers’ compensation coverage. Theprogram charges premiums based on the amount determined by an administeringinsurance company. The premiums based on anticipated claims and estimated costs ofadministering the program by the insurance company. PRM has elected to retain a portionof the risk of loss from workers’ compensation claims by reducing insurance coverage toobtain benefits of reduced premium costs. The insurance company serves as claimsadminister and reviews and processes claims. The Department of Labor and Industryrequires a letter of credit in the amount of $700,000. The total workers’ compensationreserve payable totals $58,752 as of December 31, 2020. The total cost of premiumsincurred during 2020 amounted to $96,660. PRM maintains an insurance policy that limitsthe maximum workers’ compensation liability per occurrence to $400,000.

Changes in the claim liability are as follows:

Workers' Compensation Reserve - January 1, 2019 142,315$Incurred claims and claim adjustments 142,983Payments on claims and claim adjustment expenses (243,487)

Workers' Compensation Reserve - December 31, 2019 41,811$

Workers' Compensation Reserve - January 1, 2020 41,811$Incurred claims and claim adjustments 96,660Payments on claims and claim adjustment expenses (79,719)

Workers' Compensation Reserve - December 31, 2020 58,752$

There have been no significant reductions in insurance coverage from coverage in the prioryear and the amount of settlements have not exceeded insurance coverage for each of thepast three years.

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Pleasant Ridge Manor (PRM) (Continued)

Pursuant to the employee benefit program, Pleasant Ridge Manor maintains a self-insurance program for prescription drugs. Under the Employee Prescription Plan,employees contribute a specified amount per prescription with the balance of the cost paidby PRM. PRM also maintains an insured health insurance program under which theultimate premiums or contributions are based primarily on PRM’s loss experiences. Theplan includes certain stop loss provisions. The plan is operated on a calendar year. Thereis a co-pay that is collected from the employee with the balance of costs incurred by PRM.

A reconciliation of the change in medical health insurance claims payable is as follows:


Claims liability - ends of year, December 31, 2019 268,119$


Claims liability - end of year, December 31, 2020 530,156$


The Corporation’s self-insurance program pays dental and vision expenses for theCorporation’s employees on a cost-reimbursement basis. Under the program, theCorporation is obligated to pay up to $1,750 per person per plan year for dental claims andup to $300 per individual and $750 per family for vision claims. Beginning May 1, 2014, theCorporation also became self-insured for health care coverage. The corporation coversclaims up to $75,000 per person, per illness, with the excess being covered through acommercial insurance policy. The health care plan is administered through a contractualrelationship with an unrelated company; however, the Corporation is solely responsible forall claims incurred up to the amount of the stop loss provisions.

Healthcare, dental, and vision costs are estimated based on known amounts of reportedclaims at December 31, 2020. During the year ended December 31, 2020, the total claimsexpense was $1,295,657. Claims expense represents claims payable. A liability for claimsis required to be reported if information prior to the issuance of financial statementsindicates that a liability had been incurred at the date of the financial statements, and theamount of the loss can be reasonably estimated. Changes in the claims liability are asfollows:

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Erie County Care Management, Inc. (Corporation) (Continued)

Healthcare Dental Vision TotalClaims liability, January 1, 2019 (22,838)$ (2,275)$ (2,033)$ (27,146)$Current premiums 1,652,716 72,219 42,208 1,767,143Claims payments and administration (1,730,916) (71,532) (41,929) (1,844,377)

Claims liability, December 31, 2019 (101,038)$ (1,588)$ (1,754)$ (104,380)$

Healthcare Dental Vision TotalClaims liability, January 1, 2020 (101,038)$ (1,588)$ (1,754)$ (104,380)$Current premiums 1,270,753 41,490 28,129 1,340,372Claims payments and administration (1,227,189) (40,894) (27,574) (1,295,657)

Claims liability, December 31, 2020 (57,474)$ (992)$ (1,199)$ (59,665)$

NOTE 10: LONG-TERM OBLIGATIONS

Long-term obligations outstanding at December 31, 2020, consisted of the following:

Long-Term Obligations

Beginning Ending Due WithinGovernmental Activities Balance Additions Reductions Balance One Year

General obligation bonds 45,725,000$ -$ (7,325,000)$ 38,400,000$ 7,665,000$Bond premium 4,584,668 - (832,530) 3,752,138 -

Total bonds, net 50,309,668 - (8,157,530) 42,152,138 7,665,000

Compensated absences 1,814,656 85,664 - 1,900,320 116,110

Total 52,124,324$ 85,664$ (8,157,530)$ 44,052,458$ 7,781,110$

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NOTE 10: LONG-TERM OBLIGATIONS (CONTINUED)

An analysis of debt service requirements to maturity on these obligations follows with theexception of compensated absences.

General obligation bonds are direct obligations of the County. Principal and interest paymentsare backed by the full faith, credit and taxing power of the County. Compensated absences areliquidated by the general fund, mental health/intellectual disabilities fund, health choices,children and youth and certain other non-major funds.

Balance Amounts DueAmount of Outstanding Within One

Year Original Issue January 00, 1900 Year

2005 40,815,000$ $11,945,000 Series A

5,605,000$ 1,770,000$

2012 24,475,000$ $8,655,000 Series A

505,000 480,000

$4,940,000 Series B

990,000 -

$10,870,000 Series C

2,510,000 2,510,000

2015 17,380,000$

12,870,000 1,025,000

2017 20,220,000$

15,920,000 1,880,000

Total general long-term debt obligations 38,400,000$ 7,665,000$

The proceeds were used for the current refunding of the 2007 Series,with a maturity date of September 1, 2025 and an interest rate of 3% to5%. The 2017 bonds were issued at a premium of $3,483,595.

The proceeds for the Series A were used to advance refund the County'sGeneral Obligation Bonds, Series B of 2003 maturing on and afterSeptember 1, 2014, with an interest rate of 3.25% to 5.0% and maturitydate of September 1, 2023. The Series A bonds were issued at apremium of $1,300,316.

The proceeds were used by the County to refund a portion of the 2003Bonds, on an advance refunding basis and to pay the cost of issuing thebonds, with a maturity date of September 1, 2020 and an interest rate of.65% to 3%.

The proceeds were used by the County to refund a portion of the 2003Bonds, on an advanced refunding basis and to pay the cost of issuingthe bonds, with a maturity date of September 1, 2023 and an interestrate of .784% to 3.66%

The proceeds were used for the refunding of the 2005 B Series and the2009 Series, with a maturity date of September 1, 2021 and an interestrate of 3.0% to 4.5%. The Series C bonds were issued at a premium of$1,587,211.

The proceeds were used by the County to pay all costs related toengineering, design, bidding, and construction of capital projects and topay the cost of issuing the bonds, with a maturity date of September 1,2030 and an interest rate of 2% to 5%. The 2015 bonds were issued ata premium of $2,136,354.

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NOTE 10: LONG-TERM OBLIGATIONS (CONTINUED)

Annual debt service requirements of maturity for general obligation bonds are as follows:

Years EndingDecember 31, Principal Interest

2021 7,665,000$ 1,857,541$2022 5,420,000 1,485,5602023 5,690,000 1,212,9122024 6,055,000 925,4562025 6,360,000 622,706

2026-2030 7,210,000 863,438

38,400,000$ 6,967,613$

Total Debt Service

NOTE 11: INTERFUND BALANCES

The County affects a variety of transactions between its funds. These transactions areperformed in the normal course of transacting County business in order for certain funds tocover the expenses of the other funds until those funds receive available resources in order torepay the amount. In addition, certain funds may receive funds that are due to other funds andhave not distributed the funds at year-end. The individual inter-fund receivable and payablebalances at year-end are as listed on the following page:

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NOTE 11: INTERFUND BALANCES (CONTINUED)

Due From Due ToOther Funds Other Funds

Governmental fund types:Major funds:

General 11,773,575$ 4,496,554$MH/D 3,000 108,632HealthChoices 17,139 39,136Children and Youth 31,733 11,104,751

Non-major Funds:Domestic Relations - 730,090Drug and Alcohol - 49,359Public Health - 756,764Library Fund 1,410,000 357,572Planning - 300,143Public Safety 278,006 243,571CARES - 154,391

Total governmental funds 13,513,453 18,340,963

Proprietary fund type:Internal Service Fund 4,827,510 -

Total proprietary funds 4,827,510 -

Total 18,340,963$ 18,340,963$

The County affects a variety of transaction between its funds. Transfers occur if a certain fundis required to or is utilized to fund the operations of another. The majority of the transfers arefrom the General Fund in order to cover the operating expenses of other funds. A summary oftransfers is as listed on the following page:

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NOTE 11: INTERFUND BALANCES (CONTINUED)

Transfers In Transfers OutGovernmental fund types:

Major funds:General 1,293,408$ 27,027,856$MH/ID 1,118,228 -Children and Youth 9,427,880 290,400Gaming - 2,730,749

Non-major Funds:Domestic Relations 1,673,500 227,294Drug and Alcohol 337,964 -Public Health 1,392,961 -Library Fund 5,155,781 -Planning 311,443 -Public Safety 2,805,358 2,169,523CARES - 105,840Debt Service 9,535,139 -

Total governmental funds 33,051,662 32,551,662

Proprietary fund type:Pleasant Ridge Manor - 500,000

Total proprietary funds - 500,000

Total 33,051,662$ 33,051,662$

NOTE 12: OPERATING LEASES

The County leases building and office facilities and other equipment under non-cancellableoperating leases. Total costs for such leases were $1,153,643 for the year ended December31, 2020. The future minimum lease payments for these are as follows:

Year Ending2021 1,271,953$2022 916,8182023 650,7412024 235,2082025 180,848

2026-2027 261,9983,517,566$

NOTE 13: LITIGATION

In the normal course of business, there are various claims and suits pending against the Countyand its elected officials. Management is of the opinion that these matters will not have a materialadverse effect on the County’s financial position at December 31, 2020.

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NOTE 14: IRREEVOCABLE GIFT TO ERIE COMMUNITY FOUNDATION

Erie County Gaming Revenue Authority – Component Unit

The Authority has entered into an irrevocable gift agreement with the Erie CommunityFoundation (ECF). This fund is under the control of the ECF and subject to their policies and,as such, is not recorded on the books of the Authority. The market value of this fund as reportedby the ECF as of March 31, 2020 was $12.4 million. A donor-designated fund, called the LeanAsset Endowment Fund, was established to perpetually provide financial assistance toorganizations designated by the settlement dated December 31, 2010 (Erie County LeadRegional Assets). During the year ended March 31, 2020, $468,892 in distributions from thisfund were awarded directly to Erie County Lead Assets.

NOTE 15: NOTES RECEIVABLE

Erie County Gaming Revenue Authority – Component Unit

On September 13, 2012 and August 13, 2013, the Authority entered into loan agreements withthe Enterprise Development Fund of Erie County, Inc. (Fund) for $500,000 and $800,000,respectively. The purpose of the loan was to provide loans to various entities in the Erie Countyarea to create and retain jobs. In March 2018, the loans were restructured and combined intoone loan agreement. The loan agreement requires interest only payments at a rate of 1%annum, until March 2028. The loan has an outstanding principal balance of $1,300,000 as ofMarch 31, 2020. The Authority was notified in 2016 that an entity related to the Fund, TheGreater Erie Industrial Development Corporation (GEIDC), filed for Chapter 7 bankruptcy. TheAuthority has considered the uncertainty surrounding the ultimate collectability of the loans inits determination of the overall allowance for uncollectible notes. The Authority staff and Boardwill continue to monitor this dynamic situation to confirm ongoing viability of the Fund.

In September 2014, the Authority entered into a loan agreement with the Corry IndustrialBenefit Association (CIBA) for $50,000. The purpose of the loan was to provide loans to lowincome individuals for energy efficient improvements for their homes. Payments are due to theAuthority when CIBA has issued a loan to an individual and CIBA receives principal payments.The loan has an outstanding principal balance of $18,846 as of March 31, 2020.

In January 2016, the Authority entered into a loan agreement with Bridgeway Capital for$1,000,000. The purpose of the loan was to create the Erie Growth Fund. The loan requiresinterest only quarterly payments at a rate of 3% per annum. The entire principal is due inJanuary 2026. The loan has an outstanding principal balance of $1,000,000 as of March 31,2020.

In April 2017, the Authority entered into a loan agreement with the Progress Fund for$1,000,000. The purpose of the loan was to provide capital to rural businesses that create jobsand invest in Erie County. The loan requires interest only quarterly payments at a rate of 2%per annum. The entire principal is due January 2026. The loan has an outstanding principalbalance of $1,000,000 as of March 31, 2020.

In December 2017, the Authority entered into a loan agreement with 1855 Capital Fund for$500,000. The purpose of the loan was to provide capital to technology-based businesses thatcreate jobs and invest in Erie County. Minimum interest, as that term is defined in the loanagreement, is due to the Authority semiannually. Outstanding minimum interest, fixed interest,participating interest, and principal are due on the maturity date, as that term is defined in theloan agreement. The entire principal is due December 2027. The loan has an outstandingprincipal balance of $500,000 as of March 31, 2020.

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NOTE 15: NOTES RECEIVABLE (CONTINUED)

In September 2018, the Authority entered into a loan agreement with Bridgeway Capital for$2,500,000. The purpose of the loan was to create the Erie Inclusive Fund. The loan requiresinterest-only quarterly payments at a rate of 1% per annum. The entire principal is dueDecember 2028. The loan has an outstanding principal balance of $2,500,000 as of March 31,2020.

In January 2019, the Authority entered into a loan agreement with Blue Highway Capital for$250,000. The purpose of the loan was to provide capital to rural businesses throughout ErieCounty. Minimum interest, as the term is defined in the loan agreement, is due to ECGRAsemiannually. Outstanding minimum interest, fixed interest, participating interest, and principalare due on the maturity date, as that term is defined in the loan agreement. The entire principalis due in January of 2029, unless extensions are exercised. The loan has an outstandingprincipal balance of $250,000 as of March 31, 2020.

Notes received are written off when they are determined to be uncollectible. It is the Authority’spolicy to provide for future losses on notes based on an evaluation of the current portfolio,current economic conditions, and such other factors which, in the Authority’s judgement, mayimpact collectability for specific notes. The allowance for uncollectible notes totaled $1,310,000as of March 31, 2020. As of March 31, 2020, none of the notes receivable are in default.

NOTE 16: GUARANTEED DEBT

The Council has the legal authority to extend debt guarantees to other organizations. As ofDecember 31, 2020, the County had guaranteed the following debt of other organizations:

Description Amount

2014 Erie County Convention Center Authority Series A and B Notes 33,250,000$2015 Erie County Convention Center Authority Bonds 33,045,000

66,295,000$

The Erie County Convention Center Authority (Convention Center Authority) is a relatedorganization of the County.

In February 2014, Council approved an ordinance guaranteeing of up to $60,000,000 of theConvention Center Authority’s combined issuance of bonds and/or notes. As of December 31,2020, the Convention Center Authority has drawn down $60,000,000 and repaid $26,750,000for a total outstanding amount of $33,250,000. Such debt is guaranteed in full by the Countyextends through 2044.

On April 1, 2015, the Convention Center Authority issued Guaranteed Hotel RevenueRefunding Bonds, Series of 2015, in the amount of $37,750,000. Such debt is guaranteed infull by the County and extends through 2036.

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NOTE 17: CONTINGENCIES

The County receives significant financial assistance from governmental agencies in the formof contracts and grants. The disbursement of funds received under such programs generallyrequires compliance with terms and conditions specified in the contract or grant agreementsand are subject to audit by grantor agencies. Any disallowed costs resulting from such auditscould become a liability of the County. The amount of any expenditure that may be disallowedby the granting agencies cannot be determined at this time. The County’s management expectssuch amounts, if any, to be immaterial.

NOTE 18: TAX ABATEMENTS AND OTHER TAX ARRANGEMENTS

The County’s Local Economic Revitalization Tax Assistance (LERTA) tax abatement isauthorized by County Council ordinance. Recipients are eligible for tax abatement for variousreasons such as development costs, property location, or renovations that would otherwiseresult in increased property assessment. All LERTA tax abatements are based on theincrease value of the improvement.

The County’s Keystone Opportunity Zones (KOZ/KOEZ) abatement is authorized by the State.Upon approval from the State, credits are issued for the value of the land and improvements.

The following are the County’s tax abatement programs:

· 3-year LERTA – available for residential properties, defined by Municipality.· 3-year LERTA – available for commercial/industrial properties, defined by

Municipality.· 5-year LERTA – available for residential properties, defined by Municipality.· 5-year Commercial LERTA – available for commercial/industrial properties, defined

by Municipality.· 10-year Residential LERTA – available for residential properties, defined by

Municipality.· 10-year Commercial LERTA – available for commercial/industrial properties defined

by Municipality.· 1-year KOZ/KOEZ – available as defined by the State within specified zones of

County.

Tax abatements are recaptured by the County at the end of the abatement period (3, 5, or 10years). There were no amounts received or receivable from other governments in associationwith the forgone taxes. The County did not make other commitments other than to reduce taxesas part of the tax abatement agreements.

During 2020, real estate tax abatements were as follows:

Abatements Tax Dollars

LERTA Residential 131,131$ LERTA Commercial 161,151

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NOTE 18: TAX ABATEMENTS AND OTHER TAX ARRANGEMENTS (CONTINUED)

Other tax arrangements including the following:

· Payment in lieu of taxes (PILOT) – An agreement for payment in lieu of taxes betweenTaxing Bodies and non-profit organizations.

· Tax Increment Financing (TIF) – Real estate tax revenue is diverted to another entityto cover bond payments for debt used for redevelopment and other communityimprovement projects.

During 2020, other real estate tax arrangements as defined above resulted in the followingforgone tax amounts:

Other Arrangements Tax Dollars

PILOT 673,424$TIF 112,989

NOTE 19: COMMITMENTS

As of December 31, 2020, the County has approximately $939,088 in commitments related tothe next-generation public radio system.

NOTE 20: RISKS AND UNCERTAINTIES

As the effects of the Coronavirus pandemic continue to evolve and are dependent upon futuredevelopments, the impact of the Coronavirus on the County’s operations and financial resultsare uncertain at this time.

NOTE 21: RESTATEMENT

During the year ended December 31, 2020 the County adopted new accounting guidance byimplementing the provisions of GASB Statement No. 84, Fiduciary Activities, which establishescriteria for identifying and reporting fiduciary activities. The implementation of this statementhas resulted in changing the presentation of the financial statements by including accruals andending net position to custodial funds and PRM Pension Fund that were not previouslyrequired. Beginning net position has been restated to reflect this change.

Custodial Funds Pension FundNet Position, January 1, 2020, aspreviously reported -$ 279,549,104$

Change in accounting principle -adoption of GASB Statement No. 84 Custodial Funds 5,469,372 - PRM Pension Fund - 63,269,831

Net Position, January 1, 2020, asrestated 5,469,372$ 342,818,935$

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NOTE 22: SUBSEQUENT EVENTS

The Community College was established by the Pennsylvania State Board of Educationon July 8, 2020 pursuant to the Community College Act of 1963. The Community Collegeis subject to the policies, standards, rules and regulations adopted by the state Board ofEducation to provide for the establishment, operation and maintenance of communitycolleges. A 9-member Board of Trustees, all of whom are appointed by the County Council,administers the Community College.

The County Council, as local sponsors of the Community College, are responsible forreviewing and approving the Community College’s operating and capital budgets prior tosubmission to the State, which has final approval. The County Council are also responsiblefor approving any debt issued on behalf of the Community College subject to final approvalby the State.

Primary revenue sources are student tuition and fees and county and state appropriations.State appropriations are to fund allowable operating and capital costs based upon formulasset by the Pennsylvania Department of Education. The County, as a local sponsor, isresponsible for financing all expenditures not covered by the student revenue and Staterevenue funding sources. Student tuition cannot exceed one third of the cost.

The activities of the Community College are conducted within the geographic boundariesof the County, but enrollment in the Community College is not limited to residents of theCounty. The Community College operates on a fiscal year ending June 30 with theinaugural semester commencing in the fall of 2021.

REQUIRED SUPPLEMENTARYINFORMATION


SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATION – PENSION PLANSCHEDULE OF CHANGES IN THE COUNTY’S NET

PENSION LIABILITY (ASSET) AND RELATED RATIOSYEAR ENDED DECEMBER 31, 2020

See accompanying notes to schedules of required supplementary information – pension plan.

2020 2019 2018Total Pension Liability:

Service cost 7,512,030$ 6,870,210$ 6,450,127$Interest 21,108,696 20,322,780 19,965,634Changes of benefit terms 619,944 - -Differences between expected and actual experience 2,769,838 1,356,816 (1,249,450)Changes of assumptions - - 5,873,578Benefit payments, including refunds of member contributions (18,651,139) (17,552,197) (16,931,705)

Net Changes in Total Pension Liability 13,359,369 10,997,609 14,108,184

Total Pension Liability - Beginning 295,160,762 284,163,153 270,054,969

Total Pension Liability - Ending (a) 308,520,131$ 295,160,762$ 284,163,153$

Plan Fiduciary Net Position:Contributions - employer 6,397,197$ 5,773,721$ 4,360,594$Contributions - employee 4,385,594 3,886,103 3,661,589Net investment income 30,097,093 43,440,171 (14,387,728)Benefit payments, including refunds of member contribution (18,651,139) (17,552,197) (16,931,705)Administrative expense (214,955) (218,488) (188,498)

Net Change in Plan Fiduciary Net Position 22,013,790 35,329,310 (23,485,748)

Plan Fiduciary Net Position - Beginning 279,549,104 244,219,794 267,705,542

Plan Fiduciary Net Position - Ending (b) 301,562,894$ 279,549,104$ 244,219,794$

Net Pension Liability - Ending (a-b) 6,957,237$ 15,611,658$ 39,943,359$

Plan fiduciary Net Position as a Percentageof the Total Pension Liability 97.75% 94.71% 85.94%

Covered Payroll 57,557,509$ 52,482,730$ 51,001,412$

Net Pension Liability as a Percentageof Covered Payroll 12.09% 29.75% 78.32%

Page 115


2017 2016 2015 2014 2013 2012 2011

6,116,659$ 5,827,529$ 5,610,304$ 5,570,930$ 5,408,532$ 4,915,860$ 4,997,030$19,077,990 18,271,311 17,586,986 17,079,993 16,313,427 15,582,436 14,919,160

351,251 - - - - - -563,296 1,248,285 (205,386) (585,838) 573,565 (527,192) (790,016)

2,233,873 - - (1,961,455) - - -(15,859,511) (14,375,724) (13,606,612) (13,029,168) (11,362,994) (10,017,510) (10,424,269)

12,483,558 10,971,401 9,385,292 7,074,462 10,932,530 9,953,594 8,701,905

257,571,411 246,600,010 237,214,718 230,140,256 219,207,726 209,254,132 200,552,227

270,054,969$ 257,571,411$ 246,600,010$ 237,214,718$ 230,140,256$ 219,207,726$ 209,254,132$

4,642,134$ 4,321,221$ 4,441,227$ 5,580,680$ 6,812,406$ 5,897,793$ 5,187,838$3,472,718 3,244,397 3,057,133 2,926,661 2,844,809 2,790,857 2,829,980

32,872,613 19,103,732 630,124 13,732,492 37,041,532 19,668,574 1,741,387(15,859,511) (14,375,724) (13,606,612) (13,029,168) (11,362,994) (10,017,510) (10,424,269)

(197,630) (197,018) (197,913) (196,249) (182,111) (172,318) (171,805)

24,930,324 12,096,608 (5,776,041) 9,014,416 35,153,642 18,167,396 (836,869)

242,775,218 230,678,610 236,454,651 227,440,235 192,286,593 174,119,197 174,956,066

267,705,542$ 242,775,218$ 230,678,610$ 236,454,651$ 227,440,235$ 192,286,593$ 174,119,197$

2,349,427$ 14,796,193$ 15,921,400$ 760,067$ 2,700,021$ 26,921,133$ 35,134,935$

99.13% 94.26% 93.54% 99.68% 98.83% 87.72% 83.21%

47,048,703$ 47,769,157$ 45,950,055$ 44,607,295$ 43,876,969$ 43,276,003$ 44,518,955$

4.99% 30.97% 34.65% 1.70% 6.15% 62.21% 78.92%


SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATION – PENSION PLANSCHEDULE OF CHANGES IN THE COUNTY’S NET

PENSION LIABILITY (ASSET) AND RELATED RATIOSBLENDED COMPONENT UNIT – PLEASANT RIDGE MANOR



2020 2019 2018Total Pension Liability:

Service cost 1,137,451$ 1,099,486$ 1,111,850$Interest 4,484,001 4,364,806 4,414,264Changes of benefit terms - - -Differences between expected and actual experience 666,682 (73,796) (674,349)Changes of assumptions - - 2,682,119Benefit payments, including refunds of member contributions (3,836,365) (3,722,965) (3,219,107)

Net Changes in Total Pension Liability 2,451,769 1,667,531 4,314,777

Total Pension Liability - Beginning 62,788,870 61,121,339 56,806,562

Total Pension Liability - Ending (a) 65,240,639$ 62,788,870$ 61,121,339$

Plan Fiduciary Net Position:Contributions - employer 1,100,000$ 1,200,000$ 1,800,000$Contributions - employee 803,146 760,579 789,123Net investment income 9,354,391 10,657,727 (2,947,711)Benefit payments, including refunds of member contribution (3,836,365) (3,722,965) (3,219,107)PBGC premium - - (389,210)Administrative expense (37,735) (50,465) (35,700)

Net Change in Plan Fiduciary Net Position 7,383,437 8,844,876 (4,002,605)

Plan Fiduciary Net Position - Beginning 63,269,831 54,424,955 58,427,560

Plan Fiduciary Net Position - Ending (b) 70,653,268$ 63,269,831$ 54,424,955$

Net Pension Liability - Ending (a-b) (5,412,629)$ (480,961)$ 6,696,384$

Plan fiduciary Net Position as a Percentageof the Total Pension Liability 108.30% 100.77% 89.04%

Covered Payroll 8,907,286$ 8,309,214$ 8,554,316$

Net Pension Liability as a Percentageof Covered Payroll -60.77% -5.79% 78.28%

Page 117


2017 2016 2015 2014 2013 2012 2011

1,112,988$ 1,177,908$ 1,201,800$ 1,316,038$ 1,302,375$ 1,311,548$ 1,491,156$4,066,669 3,959,824 3,871,884 3,746,192 3,835,535 3,550,737 3,365,345

- - - - - - (239,608)(59,683) (521,371) (819,346) (509,173) (882,105) (1,151,599) (367,571)

- - (63,729) - 1,919,159 - -(3,104,009) (3,153,850) (2,944,509) (2,409,280) (2,093,266) (2,022,187) (1,956,150)

2,015,965 1,462,511 1,246,100 2,143,777 4,081,698 1,688,499 2,293,172

54,790,597 53,328,086 52,081,986 49,938,209 45,856,511 44,168,012 41,874,840

56,806,562$ 54,790,597$ 53,328,086$ 52,081,986$ 49,938,209$ 45,856,511$ 44,168,012$

1,672,253$ 1,150,000$ 2,100,000$ 24,042,130$ 2,400,000$ 1,658,897$ 1,859,500$783,645 812,288 815,148 878,217 900,694 894,338 1,010,305

7,250,802 4,325,544 210,618 2,676,237 7,636,064 3,562,156 (152,605)(3,104,009) (3,153,850) (2,944,509) (2,409,280) (2,093,266) (2,022,187) (1,956,150)

(383,830) (364,714) (244,842) (155,799) (132,616) (120,974) (77,378)(46,054) (18,040) (19,562) (47,568) (84,846) - (23,589)

6,172,807 2,751,228 (83,147) 24,983,937 8,626,030 3,972,230 660,083

52,254,753 49,503,525 49,586,672 46,602,735 37,976,705 34,004,475 33,344,392

58,427,560$ 52,254,753$ 49,503,525$ 49,586,672$ 46,602,735$ 37,976,705$ 34,004,475$

(1,620,998)$ 2,535,844$ 3,824,561$ 2,495,314$ 3,335,474$ 7,879,806$ 10,163,537$

102.85% 95.37% 92.83% 95.21% 93.32% 82.82% 76.99%

9,059,764$ 9,207,151$ 9,899,308$ 10,554,003$ 10,602,888$ 10,908,696$ 11,141,563$

-17.89% 27.54% 38.63% 23.64% 31.46% 72.23% 91.22%


SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATION – PENSION PLANSCHEDULES OF COUNTY CONTRIBUTIONS

AND INVESTMENT RETURNSYEAR ENDED DECEMBER 31, 2020


County:2020 2019 2018

Schedule of County Contributions

Actuarially determined contribution 6,397,197$ 5,773,721$ 4,360,594$Contributions in relation to the actuarially determined contribution 6,397,197 5,773,721 4,360,594Contribution deficiency (excess) -$ -$ -$

Covered payroll 57,557,509$ 52,482,730$ 51,001,412$

Contributions as a percentage of covered payroll 11.11% 11.00% 8.55%

Investment Returns

Annual money-weighted rate of return, net of investment expense 10.92% 18.09% -5.47%

Blended Component Unit - Pleasant Ridge Manor:2020 2019 2018

Schedule of County Contributions

Actuarially determined contribution 897,435$ 1,035,298$ 880,591$Contributions in relation to the actuarially determined contribution 1,100,000 1,200,000 1,800,000

Contribution deficiency (excess) (202,565)$ (164,702)$ (919,409)$

Covered Payroll 8,907,286$ 8,309,214$ 8,554,316$

Contribution as a percentage of covered payroll 12.35% 14.44% 21.04%

Investment Returns

Annual money-weighted rate of return, net of investment expense 15.02% 19.91% -5.06%

Page 119


2017 2016 2015 2014 2013 2012 2011

4,642,134$ 4,321,221$ 4,341,227$ 5,580,680$ 6,812,406$ 5,897,793$ 5,187,838$4,642,134 4,321,221 4,341,227 5,580,680 6,812,406 5,897,793 5,187,838

-$ -$ -$ -$ -$ -$ -$

47,048,703$ 47,769,157$ 45,950,055$ 44,607,295$ 43,876,969$ 43,276,003$ 44,518,955$

9.87% 9.05% 9.45% 12.51% 15.53% 13.63% 11.65%

13.77% 8.41% 0.27% 6.10% 19.36% 11.36% 1.00%

2017 2016 2015 2014 2013 2012 2011

1,661,327$ 1,145,083$ 1,764,290$ 2,046,479$ 2,398,123$ 1,514,065$ 2,004,196$1,672,253 1,150,000 2,100,000 2,042,130 2,400,000 1,658,897 1,859,500

(10,926)$ (4,917)$ (335,710)$ 4,349$ (1,877)$ (144,832)$ 144,696$

9,059,764$ 9,207,151$ 9,899,308$ 10,554,003$ 10,602,888$ 10,908,696$ 11,141,563$

18.46% 12.49% 21.21% 19.35% 22.64% 15.21% 16.69%

14.03% 8.98% 0.48% 5.72% 19.85% 10.41% -0.45%


NOTES TO SCHEDULES OF REQUIREDSUPPLEMENTARY INFORMATION – PENSION PLAN


County:

Actuarial Methods and Assumptions Used in Determining the Contribution Rate

Actuarial valuation date 12/31/2020Actuarial cost method Individual Entry AgeAmortization method Level Dollar ClosedRemaining amortization period 10 yearsAsset valuation method Fair Market ValueActuarial assumptions:

Investment rate of return 7.25%Projected salary increases 2021 & after - 3%Underlying inflation rate 2.25

Cost-of-living adjustments NoneMortality table RP-2000

Benefit Changes

There have been no changes in the Plan benefits since the date of the last report.


There have been no changes in actuarial assumptions since the date of the last report.


NOTES TO SCHEDULES OF REQUIREDSUPPLEMENTARY INFORMATION – PENSION PLAN


Blended Component Unit – Pleasant Ridge Manor:

Actuarial Methods and Assumptions Used in Determining the Contribution Rate

Actuarial valuation date January 1, 2021Actuarial cost method Entry Age NormalAmortization method Level dollar, closedAmortization period 3.01 years

Actuarial assumptions:Investment rate of return 7.25%Projected salary increases 4.00%Underlying inflation rate 2.00%

Cost-of-living adjustments None

Mortality Table 2018+ Static Mortality Table formales and females, as publishedby the Internal Revenue Service

Benefit Change

There were no changes in benefits since the date of the last report.


There were no changes in actuarial assumptions since the date of the last report.


SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATIONOTHER POST-EMPLOYMENT BENEFITS PLAN (OPEB)

SCHEDULE OF CHANGES IN THE COUNTY’SOPEB LIABILITY AND RELATED RATIOS*


See accompanying notes to schedules of required supplementary information – OPEB.

2020 2019Total OPEB Liability:

Service cost 219,877$ 151,243$Interest 1,251,336 1,605,854Differences between expected and actual experience (5,072,344) -Changes in assumptions 3,073,261 6,282,000Benefit payments (2,354,113) (3,147,842)

Net Changes in Total OPEB Liability (2,881,983) 4,891,255

Total OPEB Liability - Beginning 46,460,294 41,569,039

Total OPEB Liability - Ending 43,578,311$ 46,460,294$

Covered Employee Payroll 3,867,759$ 4,712,847$

OPEB Liability as a Percentageof Covered Employee Payroll 1126.71% 985.82%

*The amounts presented for each year were determined as of the year end date. This schedule is intendedto illustrate information for 10 years. However, until a full 10-year trend is compiled, the County is presentinginformation only for the years for which information is available.


SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATIONOTHER POST-EMPLOYMENT BENEFITS PLAN (OPEB)

SCHEDULE OF CHANGES IN THE COUNTY’SOPEB LIABILITY AND RELATED RATIOS*

BLENDED COMPONENT UNIT – PLEASANT RIDGE MANORYEAR ENDED DECEMBER 31, 2020

See accompanying notes to schedules of required supplementary information – OPEB.

2020 2019Total OPEB Liability:

Service cost 89,456$ 91,218$Interest 76,344 92,176Differences between expected and actual experience (87,526) (297,981)Changes in assumptions 231,516 63,982Benefit payments (152,614) (120,917)

Net Changes in Total OPEB Liability 157,176 (171,522)

Total OPEB Liability - Beginning 2,335,052 2,506,574

Total OPEB Liability - Ending 2,492,228$ 2,335,052$

Covered Employee Payroll 13,334,031$ 12,259,199$

OPEB Liability as a Percentageof Covered Employee Payroll 18.69% 19.05%

*The amounts presented for each year were determined as of the year end date. This schedule is intendedto illustrate information for 10 years. However, until a full 10-year trend is compiled, the County is presentinginformation only for the years for which information is available.


NOTES TO SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATIONOTHER POST-EMPLOYMENT BENEFITS


County:

The County has no assets accumulated in a trust that meets the criteria defined in paragraph 4 of GASBStatement No. 75 to pay related other post-employment benefits.

Actuarial Methods and Assumptions Used

The information presented in the required supplementary post-employment benefits other than pensionbenefits (OPEB) schedules was determined as part of the actuarial valuations at the dates indicated.Additional information as of the latest actuarial valuation follows:

Actuarial cost method Entry Age NormalMeasurement Date December 31, 2020Healthcare cost trend rates: PPO Blue Freedom Blue

2021 8.0% 3.0%2022 7.0% 3.0%2023 6.0% 3.0%

2024 and after 5.0% 3.0%Discount rate 2.12% based on the Bond Buyer 20-

Bond GO IndexMorality rates RP-2000 Mortality table for men and

women, projected to 2020 withMortality improvement based onScale AA.

Retirement age Age 55 15%Age 56-59 3%Age 60-61 10%Age 62 25%Age 63-64 15%Age 65 100%

Changes in Actuarial Assumptions

· The discount rate was changed from 2.75% to 2.12%.

Changed in Benefits

· There were no changes in benefits for the December 31, 2020 valuation.


NOTES TO SCHEDULES OF REQUIRED SUPPLEMENTARY INFORMATIONOTHER POST-EMPLOYMENT BENEFITS


Blended Component Unit – Pleasant Ridge Manor:

PRM has no assets accumulated in a trust that meets the criteria as defined in paragraph 4 of GASBstatement No. 75 to pay related other post-employment benefits.

Actuarial Methods and Assumptions Used

The information presented in the required supplementary post-employment benefits other than pensionbenefits (OPEB) schedules was determined as part of the actuarial valuations at the dates indicated.Additional information as of the latest actuarial valuation follows:

Actuarial valuation date January 1, 2021Actuarial cost method Entry Age NormalHealthcare cost trend rates 4.00%Discount rate 1.93%Turnover T-5Retirement age Assumed ages at retirement have been

developed from actual historicalexperience

Changes in Actuarial Assumptions· Discount rate was updated from 3.26% to 1.93%.

Changes in Benefits

· There were no changes in benefits for the January 1, 2021 valuation.


GENERAL FUND AND MAJOR SPECIAL REVENUE FUNDS

General Fund

The General Fund is the government’s primary operating fund. It accounts for all financial resources of thegeneral government, except those accounted for in another fund. Revenues of this fund are primarilyderived from real estate taxes, Commonwealth and federal grants, and fees for services. Many of the basicactivities of the County are accounted for in this fund, including operation of general County government,the court system, and corrections.

Mental Health/Intellectual Disabilities Fund

This fund administers local agency providers of mental health and intellectual disabilities services. Thefund also administers various programs for transportation, adult services, and in-home health.

HealthChoices Fund

This fund accounts for the medical assistance funding for mental health, drug and alcohol, and childrenservices programs.

Children and Youth Fund

This fund accounts for the child protective services, a juvenile detention center, and a juvenile detentionshelter.

Gaming Fund

This fund is provided by revenue received from the operations of Presque Isle Downs and Casino. $1million of the funds received are appropriated for the operation of the Land Bank. Of the remaining funds,55% of the funds received support regional assets. The remaining 45% is restricted to operating and capitalprojects for contiguous municipalities that resulted from the operation of the casino. The County remits allrestricted gaming funds to the Authority and the Land Bank as soon as they are collected. The Authorityand Land Bank allocate these funds based upon their distribution plan.


SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGESIN FUND BALANCE – BUDGET TO ACTUAL

GENERAL FUNDYEAR ENDED DECEMBER 31, 2020

Original Final Variance withBudget Budget Actual Final Budget

Revenues:Real estate taxes 82,003,615$ 82,003,615$ 82,462,451$ 458,836$Hotel tax 5,024,608 5,024,608 3,227,022 (1,797,586)Federal, state, and municipal grants 2,773,684 4,285,404 4,608,617 323,213Charges for services 16,170,329 13,664,115 11,978,900 (1,685,215)Interest income 523,000 523,000 210,305 (312,695)Other income 167,950 313,829 221,694 (92,135)

Total revenues 106,663,186 105,814,571 102,708,989 (3,105,582)


General government 25,413,285 24,043,020 19,921,275 4,121,745Courts and related offices 22,806,347 22,885,444 21,075,689 1,809,755Corrections 30,192,243 30,172,676 23,912,064 6,260,612Community services 2,839,064 6,897,536 6,662,896 234,640

Capital outlay 683,680 924,846 497,840 427,006

Total expenditures 81,934,619 84,923,522 72,069,764 12,853,758

Excess (Deficiency) of Revenue Over (Under)Expenditures 24,728,567 20,891,049 30,639,225 9,748,176

Other Financing Sources (Uses):Transfers in 1,918,586 1,868,586 1,293,408 575,178Transfers out (30,108,775) (29,660,545) (27,027,856) 2,632,689

Total other financing sources (uses) (28,190,189) (27,791,959) (25,734,448) 2,057,511

Net Change in Fund Balance (3,461,622) (6,900,910) 4,904,777 11,805,687

Fund Balance:Beginning of year 54,655,915 54,655,915 54,655,915 -

End of year 51,194,293$ 47,755,005$ 59,560,692$ 11,805,687$



MENTAL HEALTH/INTELLECTUAL DISABILITIES FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 27,645,906$ 28,903,940$ 25,046,547$ (3,857,393)$Interest income 115,000 82,353 36,716 (45,637)Other income 423,519 460,519 364,944 (95,575)

Total revenues 28,184,425 29,446,812 25,448,207 (3,998,605)


Community services 29,309,543 29,309,543 26,566,435 2,743,108Capital outlay 15,000 15,000 - 15,000


Excess (Deficiency) of Revenues Over (Under)Expenditures (1,140,118) 122,269 (1,118,228) (1,240,497)

Other Financing Sources (Uses):Transfers in 1,140,118 1,190,118 1,118,228 (71,890)

Net Change in Fund Balance - - - -

Fund Balance:Beginning of year - - - -

End of year -$ -$ -$ -$



HEALTHCHOICES FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 109,801,718$ 120,433,217$ 122,670,725$ 2,237,508$Interest income 223,238 223,238 172,018 (51,220)

Total revenues 110,024,956 120,656,455 122,842,743 2,186,288


Community services 110,024,656 120,656,155 117,612,692 3,043,463Capital outlay 300 300 - 300


Excess (Deficiency) of Revenues Over (Under)Expenditures - - 5,230,051 5,230,051

Net Change in Fund Balance - - 5,230,051 5,230,051


End of year 8,874,425$ 8,874,425$ 14,104,476$ 5,230,051$



CHILDREN AND YOUTH FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 47,004,281$ 47,457,012$ 43,537,338$ (3,919,674)$Charges for services 884,697 884,697 582,055 (302,642)Interest income 1,600 1,600 32 (1,568)Other income 50 50 - (50)

Total revenues 47,890,628 48,343,359 44,119,425 (4,223,934)


Corrections 10,271,995 9,527,050 8,526,161 1,000,889Community services 47,844,868 49,060,544 44,672,898 4,387,646

Capital outlay 145,000 127,000 57,846 69,154


Excess (Deficiency) of Revenues Over (Under)Expenditures (10,371,235) (10,371,235) (9,137,480) 1,233,755

Other Financing Sources (Uses):Transfers in 10,661,635 10,661,635 9,427,880 (1,233,755)Transfers out (290,400) (290,400) (290,400) -

Total other financing sources (uses) 10,371,235 10,371,235 9,137,480 (1,233,755)



End of year -$ -$ -$ -$



GAMING FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Charges for services 11,000,000$ 11,000,000$ 10,849,553$ (150,447)$Interest income 7,400 7,400 8,218 818

Total revenues 11,007,400 11,007,400 10,857,771 (149,629)


Community services 5,513,652 5,915,354 5,847,208 68,146

Total expenditures 5,513,652 5,915,354 5,847,208 68,146

Excess (Deficiency) of Revenues Over (Under)Expenditures 5,493,748 5,092,046 5,010,563 (81,483)

Other Financing Sources (Uses):Transfers out (2,655,035) (2,780,035) (2,730,749) 49,286

Net Change in Fund Balance 2,838,713 2,312,011 2,279,814 (32,197)



NOTES TO SCHEDULES OF REQUIREDSUPPLEMENTARY INFORMATIONYEAR ENDED DECEMBER 31, 2020

Budgets and Budgetary Accounting

The County’s budget is adopted on the modified accrual basis which is consistent with accountingprinciples generally accepted in the United States of America.

OTHER SUPPLEMENTARYINFORMATION


NONMAJOR GOVERNMENTAL FUNDS

Liquid Fuels

Tax funds received from the Commonwealth are passed through to local municipalities for road and bridgemaintenance.

Domestic Relations

Title IV-D and incentive payments for child support collection offsetting aid to families with dependentchildren are matched with County funds to provide for administration of child support and related courtorders.

Drug and Alcohol

Commonwealth funds are passed through local agency providers for identification and treatment programs.

Public Health

Funds provided by Act 315, Act 12, and other grants are used to administer personal health services andother health related programs.

Library

Funding comes primarily from the County with additional grants from the Commonwealth and certain localmunicipalities. Several branch libraries are operated throughout the County and the bookmobile service isalso provided.

Planning

This fund administers numerous federal grants awarded to the County and/or municipalities of the County.

Public Safety

This fund provides consolidated enhanced 911 dispatching funded by telephone surcharge from land lines,wireless and voice over internet protocol, and County tax dollars. Tax dollars and grants from PEMA fundthe planning, training, and response to public emergencies, hazardous spills, and terrorist activities.

CARES

This fund administers the Coronavirus Relief Fund federal grants awarded to the County.

Erie County Care Management, Inc. (ECCM)

ECCM is a blended component unit which provides services to Medicare-eligible clients of the County’sMental Health/Intellectual Disabilities, Drug and Alcohol, and Children and Youth Services.

Debt Service

Debt Service Funds are used to account for the accumulation of resources and the payment of principaland interest on the County's outstanding general obligation bond issues.


COMBINING BALANCE SHEETNONMAJOR GOVERNMENTAL FUNDS

DECEMBER 31, 2020

Liquid Domestic Drug and PublicFuels Relations Alcohol Health Library

Assets

Cash and cash equivalents 224,990$ 7,636$ 493,959$ -$ 2,379$Investments - - - - -Receivables, net 39 996,666 204,664 2,161,774 27,255Due from other funds - - - - 1,410,000Prepaid items - - - - 26,053

Total Assets 225,029$ 1,004,302$ 698,623$ 2,161,774$ 1,465,687$

Liabilities and Fund Balance

Liabilities:Accounts payable 1,719$ 8,776$ 573,993$ 619,478$ 209,794$Accrued liabilities - 237,975 75,271 239,733 161,869Due to other funds - 730,090 49,359 756,764 357,572Due to other taxing units - - - - -Unearned revenue - - - - 578,017

Total Liabilities 1,719 976,841 698,623 1,615,975 1,307,252

Fund Balance:Nonspendable:

Prepaid items - - - - 26,053Restricted for:

Child support enforcement - 27,461 - - -Road and bridges improvement 223,310 - - - -Public health services - - - 545,799 -Erie County Care Management - - - - -Library services - - - - 132,382Emergency services - - - - -Land preservation - - - - -Community redevelopment - - - - -Recycling - - - - -Debt payments on general obligation bonds - - - - -

Total Fund Balance 223,310 27,461 - 545,799 158,435

Total Liabilities and Fund Balance 225,029$ 1,004,302$ 698,623$ 2,161,774 1,465,687$

Special Revenue Funds

Page 136

Total TotalPublic Erie County Special Debt Nonmajor

Planning Safety CARES Care Management Revenue Funds Service Governmental Funds

5,879,055$ 444,744$ 1,597,693$ 5,208,014$ 13,858,470$ 2,442,302$ 16,300,772$- - - 50,000 50,000 - 50,000

1,143,966 1,392,268 86,152 1,656,463 7,669,247 394 7,669,641- 278,006 - - 1,688,006 - 1,688,006- 3,405 - 145,576 175,034 - 175,034

7,023,021$ 2,118,423$ 1,683,845$ 7,060,053$ 23,440,757$ 2,442,696$ 25,883,453$

280,155$ 38,685$ 1,529,454$ 116,730$ 3,378,784$ -$ 3,378,784$44,118 141,031 - 375,642 1,275,639 - 1,275,639

300,143 243,571 154,391 - 2,591,890 - 2,591,890321,416 - - - 321,416 - 321,416

2,000 - - - 580,017 - 580,017

947,832 423,287 1,683,845 492,372 8,147,746 - 8,147,746

- 3,405 - 145,576 175,034 - 175,034

- - - - 27,461 - 27,4614,683,130 - - - 4,906,440 - 4,906,440

- - - - 545,799 - 545,799- - - 6,422,105 6,422,105 - 6,422,105- - - - 132,382 - 132,382- 1,691,731 - - 1,691,731 - 1,691,731

17,790 - - - 17,790 - 17,7901,087,187 - - - 1,087,187 - 1,087,187

287,082 - - - 287,082 - 287,082- - - - - 2,442,696 2,442,696

6,075,189 1,695,136 - 6,567,681 15,293,011 2,442,696 17,735,707

7,023,021$ 2,118,423$ 1,683,845$ 7,060,053$ 23,440,757$ 2,442,696$ 25,883,453$



COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCENONMAJOR GOVERNMENTAL FUNDS


Liquid Domestic Drug and PublicFuels Relations Alcohol Health Library

Revenues:Federal, State, and Municipal grants 631,568$ 3,386,325$ 6,134,228$ 5,535,856$ 1,493,343$Charges for services - 44,521 214,507 583,526 59,637Interest income 1,114 585 1,127 532 -Other income - - - 1,580,088 161,122

Total revenues 632,682 3,431,431 6,349,862 7,700,002 1,714,102


Courts and related offices - 4,875,258 - - -Community services - - 6,687,826 - -Public health - - - 8,571,129 -Public works 878,173 - - - -Library - - - - 6,859,729Other - - - - -

Capital outlay - - - - -Debt service:

Principal - - - - -Interest - - - - -

Total expenditures 878,173 4,875,258 6,687,826 8,571,129 6,859,729

Excess (Deficiency) of Revenues Over (Under)Expenditures (245,491) (1,443,827) (337,964) (871,127) (5,145,627)

Other Financing Sources (Uses):Transfers in - 1,673,500 337,964 1,392,961 5,155,781Transfers out - (227,294) - - -

Total other financing sources (uses) - 1,446,206 337,964 1,392,961 5,155,781

Net Change in Fund Balance (245,491) 2,379 - 521,834 10,154

Fund Balance:

Beginning of year 468,801 25,082 - 23,965 148,281

End of year 223,310$ 27,461$ -$ 545,799$ 158,435$


Page 138

Total TotalPublic Erie County Special Debt Nonmajor

Planning Safety CARES Care Management Revenue Funds Service Governmental Funds

1,498,609$ 119,690$ 24,358,828$ 11,276,210$ 54,434,657$ -$ 54,434,657$2,016,702 5,607,008 - 2,279,445 10,805,346 - 10,805,346

32,944 - 40,424 - 76,726 14,211 90,937243,960 1,752 - 5,732 1,992,654 - 1,992,654

3,792,215 5,728,450 24,399,252 13,561,387 67,309,383 14,211 67,323,594

- - - - 4,875,258 - 4,875,2583,606,362 5,990,812 22,340,155 12,581,155 51,206,310 - 51,206,310

- - - - 8,571,129 - 8,571,129- - - - 878,173 - 878,173- - - - 6,859,729 - 6,859,729- - - - - 3,915 3,915- 50,000 1,953,257 156,917 2,160,174 - 2,160,174

- - - - - 7,325,000 7,325,000- - - - - 2,205,524 2,205,524

3,606,362 6,040,812 24,293,412 12,738,072 74,550,773 9,534,439 84,085,212

185,853 (312,362) 105,840 823,315 (7,241,390) (9,520,228) (16,761,618)

311,443 2,805,358 - - 11,677,007 9,535,139 21,212,146- (2,169,523) (105,840) - (2,502,657) - (2,502,657)

311,443 635,835 (105,840) - 9,174,350 9,535,139 18,709,489

497,296 323,473 - 823,315 1,932,960 14,911 1,947,871

5,577,893 1,371,663 - 5,744,366 13,360,051 2,427,785 15,787,836

6,075,189$ 1,695,136$ -$ 6,567,681$ 15,293,011$ 2,442,696$ 17,735,707$



SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCEBUDGET TO ACTUAL

GENERAL FUNDYEAR ENDED DECEMBER 31, 2020


R evenues:Real estate taxes 82,003,615$ 82,003,615$ 82,462,451$ 458,836$Hotel tax 5,024,608 5,024,608 3,227,022 (1,797,586)Federal, state, and municipal grants 2,773,684 4,285,404 4,608,617 323,213Charges fo r services 16,170,329 13,664,115 11,978,900 (1,685,215)Interest income 523,000 523,000 210,305 (312,695)Other income 167,950 313,829 221,694 (92,135)

Total revenues 106,663,186 105,814,571 102,708,989 (3,105,582)


General government:Council and elections 2,028,925 2,728,499 2,427,778 300,721Contro ller 399,698 424,032 416,356 7,676County executive 284,167 284,167 249,494 34,673So licito r 187,235 187,235 180,098 7,137Human Resources 530,666 530,666 490,869 39,797Finance 4,613,477 5,863,989 5,276,136 587,853Operations 5,128,391 3,372,634 3,603,209 (230,575)Other 10,032,687 9,764,958 6,454,755 3,310,203Info rmation Technology 2,208,039 886,840 822,580 64,260

Total general government 25,413,285 24,043,020 19,921,275 4,121,745

Court and related offices:Courts 6,130,133 6,134,701 5,468,451 666,250District justices 3,027,051 3,027,051 2,842,648 184,403Clerk o f records 2,818,400 2,818,400 2,703,661 114,739Sheriff 3,975,333 3,873,410 3,515,829 357,581District atto rney 4,194,877 4,371,329 4,056,931 314,398Coroner 821,025 821,025 732,956 88,069Public defender 1,839,528 1,839,528 1,755,213 84,315

Total courts and related o ffices 22,806,347 22,885,444 21,075,689 1,809,755

Corrections:Adult probation 6,497,383 6,478,859 6,070,997 407,862Corrections 20,200,442 20,130,442 14,537,104 5,593,338Juvenile probation 3,494,418 3,563,375 3,303,963 259,412

Total correction 30,192,243 30,172,676 23,912,064 6,260,612

Community services:Veterans affairs 328,626 330,626 303,732 26,894Economic development 156,981 156,981 131,677 25,304Grants to others 2,353,457 6,409,929 6,227,487 182,442

Total community services 2,839,064 6,897,536 6,662,896 234,640

Capital outlay:General government 115,000 132,500 100,960 31,540Courts 258,680 498,278 143,440 354,838Corrections 310,000 294,068 253,440 40,628

Total capital outlay 683,680 924,846 497,840 427,006


Excess (D efic iency) o f R evenue Over (Under)Expenditures 24,728,567 20,891,049 30,639,225 9,748,176

Other F inancing So urces (Uses) :Transfers in 1,918,586 1,868,586 1,293,408 575,178Transfers out (30,108,775) (29,660,545) (27,027,856) (2,632,689)

Total o ther financing sources (uses) (28,190,189) (27,791,959) (25,734,448) (2,057,511)

N et Change in F und B alance (3,461,622) (6,900,910) 4,904,777 11,805,687

F und B alance:Beginning o f year 54,655,915 54,655,915 54,655,915 -

End of year 51,194,293$ 47,755,005$ 59,560,692$ 11,805,687$


SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCEBUDGET TO ACTUALLIQUID FUELS FUND



Revenues:Federal, state, and municipal grants 740,000$ 740,000$ 631,568$ (108,432)$Interest income 3,500 3,500 1,114 (2,386)

Total revenues 743,500 743,500 632,682 (110,818)


Public works 943,500 943,500 878,173 65,327

Total expenditures 943,500 943,500 878,173 65,327

Excess (Deficiency) of Revenues Over (Under)Expenditures (200,000) (200,000) (245,491) (45,491)

Net Change in Fund Balance (200,000) (200,000) (245,491) (45,491)

Fund Balance:Beginning of year 468,801 468,801 468,801 -

End of year 268,801$ 268,801$ 223,310$ (45,491)$



DOMESTIC RELATIONS FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 3,569,485$ 3,569,485$ 3,386,325$ (183,160)$Charges for services 50,000 50,000 44,521 (5,479)Interest income 700 700 585 (115)

Total revenues 3,620,185 3,620,185 3,431,431 (188,754)


Courts and related office 5,070,445 5,070,445 4,875,258 195,187


Excess (Deficiency) of Revenues Over (Under)Expenditures (1,450,260) (1,450,260) (1,443,827) 6,433

Other Financing Sources (Uses):Transfers in 1,703,446 1,703,446 1,673,500 29,946Transfers out (253,186) (253,186) (227,294) (25,892)

Total other financing sources (uses) 1,450,260 1,450,260 1,446,206 (4,054)

Net Change in Fund Balance - - 2,379 2,379


End of year 25,082$ 25,082$ 27,461$ 2,379$



DRUG AND ALCOHOL FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 5,993,497$ 6,344,497$ 6,134,228$ (210,269)$Charges for services 250,000 250,000 214,507 (35,493)Interest income 3,500 3,500 1,127 (2,373)

Total revenues 6,246,997 6,597,997 6,349,862 (248,135)


Community services 6,513,691 7,028,941 6,687,826 341,115Capital 15,170 920 - 920


Excess (Deficiency) of Revenues Over (Under)Expenditures (281,864) (431,864) (337,964) 93,900

Other Financing Sources (Uses):Transfers in 281,864 431,864 337,964 93,900

Total other financing sources (uses) 281,864 431,864 337,964 93,900



End of year -$ -$ -$ -$



PUBLIC HEALTH FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 5,246,141$ 7,063,721$ 5,535,856$ (1,527,865)$Charges for services 645,200 645,200 583,526 (61,674)Interest income 2,100 2,100 532 (1,568)Other 1,233,189 1,263,189 1,580,088 316,899

Total revenues 7,126,630 8,974,210 7,700,002 (1,274,208)


Public health 8,742,668 10,531,874 8,571,129 1,960,745Capital outlay 6,750 6,750 - 6,750


Excess (Deficiency) of Revenues Over (Under)Expenditures (1,622,788) (1,564,414) (871,127) 693,287


Net Change in Fund Balance (10,516) (10,516) 521,834 532,350


End of year 13,449$ 13,449$ 545,799$ 532,350$



LIBRARY FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 1,543,986$ 1,563,165$ 1,493,343$ (69,822)$Charges for services 179,550 179,550 59,637 (119,913)Other 79,123 165,279 161,122 (4,157)

Total revenues 1,802,659 1,907,994 1,714,102 (193,892)


Library 7,477,319 7,582,654 6,859,729 722,925


Excess (Deficiency) of Revenues Over (Under)Expenditures (5,674,660) (5,674,660) (5,145,627) 529,033


Net Change in Fund Balance - - 10,154 10,154


End of year 148,281$ 148,281$ 158,435$ 10,154$



PLANNING FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 3,070,139$ 3,213,235$ 1,498,609$ (1,714,626)$Charges for services 2,306,443 2,306,443 2,016,702 (289,741)Interest income 131,300 131,300 32,944 (98,356)Other 224,460 374,460 243,960 (130,500)

Total revenues 5,732,342 6,025,438 3,792,215 (2,233,223)


Community services 6,544,076 6,837,172 3,606,362 3,230,810


Excess (Deficiency) of Revenues Over (Under)Expenditures (811,734) (811,734) 185,853 997,587

Other Financing Sources (Uses):Transfers in 762,734 762,734 311,443 (451,291)

Total other financing sources (uses) 762,734 762,734 311,443 (451,291)



End of year 5,528,893$ 5,528,893$ 6,075,189$ 546,296$



PUBLIC SAFETY FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 115,931$ 115,931$ 119,690$ 3,759$Charges for services 5,114,955 5,471,811 5,607,008 135,197Other 6,500 8,252 1,752 (6,500)

Total revenues 5,237,386 5,595,994 5,728,450 132,456


Community services 6,657,516 6,676,268 5,990,812 685,456Capital outlay 280,000 280,000 50,000 230,000


Excess (Deficiency) of Revenues Over (Under)Expenditures (1,700,130) (1,360,274) (312,362) 1,047,912

Other Financing Sources (Uses):Transfers in 3,308,765 2,968,909 2,805,358 163,551Transfers out (2,169,523) (2,169,523) (2,169,523) -

Total other financing sources (uses) 1,139,242 799,386 635,835 (163,551)



End of year 810,775$ 810,775$ 1,695,136$ 884,361$



ERIE COUNTY CARE MANAGEMENT, INC. FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants 13,925,463$ 13,925,463$ 11,276,210$ (2,649,253)$Charges for services 751,722 751,722 2,279,445 1,527,723Other - - 5,732 5,732

Total revenues 14,677,185 14,677,185 13,561,387 (1,115,798)


Community services 15,905,905 15,905,905 12,581,155 3,324,750Capital outlay 153,000 153,000 156,917 (3,917)


Excess (Deficiency) of Revenues Over (Under)Expenditures (1,381,720) (1,381,720) 823,315 2,205,035

Net Change in Fund Balance (1,381,720) (1,381,720) 823,315 2,205,035


End of year 4,362,646$ 4,362,646$ 6,567,681$ 2,205,035$



CARES FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Federal, state, and municipal grants -$ 24,358,828$ 24,358,828$ -$Interest Income - 38,677 40,424 1,747

Total revenues - 24,397,505 24,399,252 1,747


Community services - 22,243,404 22,340,155 (96,751)Capital outlay - 1,954,101 1,953,257 844

Total expenditures - 24,197,505 24,293,412 (95,907)

Excess (Deficiency) of Revenues Over (Under)Expenditures - 200,000 105,840 (94,160)

Other Financing Services (uses):Transfers out - (200,000) (105,840) 94,160

Total other financing sources (uses) - (200,000) (105,840) 94,160



End of year -$ -$ -$ -$


SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCEBUDGET TO ACTUALDEBT SERVICE FUND



Revenues:Interest 26,700$ 26,700$ 14,211$ (12,489)$


Other 4,615 4,615 3,915 700Debt service:

Principal 7,325,000 7,325,000 7,325,000 -Interest 2,205,524 2,205,524 2,205,524 -

Total expenditures 9,535,139 9,535,139 9,534,439 700

Excess (Deficiency) of Revenues Over (Under)Expenditures (9,508,439) (9,508,439) (9,520,228) (11,789)

Other Financing Sources (Uses):Transfers in 9,535,139 9,535,139 9,535,139 -

Total other financing sources (uses) 9,535,139 9,535,139 9,535,139 -

Net Change in Fund Balance 26,700 26,700 14,911 (11,789)


End of year 2,454,485$ 2,454,485$ 2,442,696$ (11,789)$



CAPITAL PROJECTS FUNDYEAR ENDED DECEMBER 31, 2020


Revenues:Charges for services -$ 750,000$ 250,000$ (500,000)$Interest income - - 34,341 34,341

Total revenues - 750,000 284,341 (465,659)

Expenditures:Capital outlay - 844,655 2,222,741 (1,378,086)

Total expenditures - 844,655 2,222,741 (1,378,086)

Excess (Deficiency) of Revenues Over (Under)Expenditures - (94,655) (1,938,400) (1,843,745)

Net Change in Fund Balance - (94,655) (1,938,400) (1,843,745)


End of year 5,391,250$ 5,296,595$ 3,452,850$ (1,843,745)$


FIDUCIARY FUNDS

Tax Claim

Real estate taxes are collected by independent-elected tax collectors during the year in which they werelevied by the various taxing authorities within the County. Taxes not collected are returned to the Tax ClaimBureau, which provides collection of delinquent county, municipal, and school district taxes, andoutstanding costs, as well as disbursing the money received to appropriate taxing authorities. The TaxClaim Bureau is also responsible for filing liens for delinquent taxes of two or more years according to law.

Revenue Licenses

Proceeds from the sale of hunting, fishing, dog, and bingo licenses are deposited into the State Fund andare remitted to various governmental units including the General Fund. Proceeds from the sale oftemporary automobile licenses are deposited to the Temporary Automobile License Fund and remitted tothe Commonwealth, with the County retaining a commission on each license sold.

Recorder of Deeds

Maintains legal records for all real estate. Recording fees and transfer taxes are collected and remitted tovarious governmental units. These accounts are maintained by staff under the Clerk of Records.

Clerk of Courts

Maintains all records, files, and decisions of the Criminal Courts, Domestic Relations, Coroner, and JuvenileProceedings. Fines, fees, and cash bail are collected and ultimately remitted to the payer and/or variousgovernmental units. These accounts are maintained by staff under the Clerk of Records.

Register of Wills

Maintains records regarding wills and other matters presented to the Orphan’s Court. Acts as agent for theCommonwealth for collecting inheritance taxes, appointing executors and administering estates,maintaining adoption records, and marriage licenses. Money is received as fees, inheritance taxes, andunclaimed estates. Disbursements are made for various costs and remittances to the Commonwealth.These accounts are maintained by the staff under the Clerk of Records.

Prothonotary

Maintains all records on civil matters such as suits, judgments, liens, charters, appeals, searches, andcertificates. Fees and court-ordered amounts are collected and subsequently disbursed to theCommonwealth and third parties. These accounts are maintained by staff under the Clerk of Records.

Sheriff

Carries out the orders of the Civil and Criminal Courts. Responsible for delivering convicted persons tovarious criminal institutions. Collects proceeds for real estate sales, fines, and fees which are remitted tofinancial institutions, taxing authorities, and other governmental units. These accounts are maintained bystaff under the Sheriff.

Prison, Commissary, Inmate, and Work Release

The Prison Inmate Account receives prisoners’ cash upon entry into the prison and disburses the cashaccording to prisoner directives. The prisoners’ cash is returned upon discharge. The prison CommissaryAccount receives cash from the Prison Inmate Account to pay for prisoners’ purchases from theCommissary. The Prison Inmate Account purchases Commissary inventory and supplies for prisoners.The Work Release Account receives paychecks from the work release program. Paychecks are used tocover costs such as room and board, fines, and support. If funds are available after these deductions, thebalance is returned to the defendant.

Page 152COUNTY OF ERIE, PENNSYLVANIAFIDUCIARY FUNDS (CONTINUED)

Magisterial District Judges

Magisterial District Court Accounts receive cash from defendants and distribute it to State, Municipalities,constable fees, and victims of crimes. The accounts are maintained by the District Judges.

Children and Youth

Child Trust – Receives Social Security income payments for children in the Children and Youth Program.Individual accounts are maintained for each child. Payments are made for personal care expenses inaccordance with the Commonwealth and federal regulations.

Domestic Relations

Child Support – Support accounts receive cash from defendants under Court order and disburse the cashto the designated party: either the Commonwealth or the Plaintiff. These accounts are maintained byDomestic Relations personnel responsible to the Judges of the Court of Common Pleas.

Act 101 Site-Specific Post-Closure

Trust set up to assure funds are available for any remedial measures and emergency actions which maybecome necessary to prevent or abate effects upon the environment after closure of Lakeview Landfill.

Client Funds Held by Erie County Care Management (ECCM)

Accounts for funds which belong to ECCM’s clients. Receives Social Security income payments for clientsand assists clients in managing the use of funds.

Resident Funds Held by Pleasant Ridge Manor (PRM)

Accounts for funds which belong to PRM residents. Receives Social Security income payments forresidents and assists residents in managing the use of funds.

Erie County Employees’ Pension Plan

Established to provide retirement, disability, and death benefits to eligible retirees of the County.

Pleasant Ridge Manor Pension Plan

Established to provide retirement, disability, and death benefits to eligible retirees of Pleasant Ridge Manor.


COMBINING STATEMENT OF FIDUCIARY NET POSITIONCUSTODIAL FUNDSDECEMBER 31, 2020

Tax State License Recorder Clerk of Courts Register ProthonotaryClaim and Fees of Deeds Criminal Fees of Wills Civil Fees

Assets

Cash and cash equivalents 1,989,607$ 9,089$ 940,361$ 727,992$ 49,829$ 429,259$ Investments - - - - - - Accounts receivable 5,081 - - - - - Taxes receivable for other governments 12,192,390 - - - - -

Total Assets 14,187,078$ 9,089$ 940,361$ 727,992$ 49,829$ 429,259$

Liabilities

Accounts payable 1,989,465$ -$ -$ 432,375$ 5,659$ 57,080$ Due to other governments 12,192,390 6,731 - - - -

Total Liabilities 14,181,855 6,731 - 432,375 5,659 57,080

Net Position

Restricted for Individuals, organizations, other governments 5,223$ 2,358$ 940,361$ 295,617$ 44,170$ 372,179$

Page 154

TotalSheriff Real Prison MDJS OCY Domestic ACT 101 ECCM PRM Custodial

Estate&Training Combined Combined Trust Relations Site Closure client funds client funds Funds

208,259$ 114,303$ 203,171$ 5,690$ 14,390$ 32,880$ 878,216$ 511,174$ 6,114,220$- - - - - 2,180,778 - - 2,180,778870 - - - - - - - 5,951- - - - - - - - 12,192,390

209,129$ 114,303$ 203,171$ 5,690$ 14,390$ 2,213,658$ 878,216$ 511,174$ 20,493,339$

194,238$ 109,198$ 150,257$ -$ 10,478$ -$ -$ -$ 2,948,750$- - - - - - - - 12,199,121

194,238 109,198 150,257 - 10,478 - - - 15,147,871

14,891$ 5,105$ 52,914$ 5,690$ 3,912$ 2,213,658$ 878,216$ 511,174$ 5,345,468$


COMBINING STATEMENT OF CHANGESIN FIDCUIARY NET POSITION – CUSTODIAL FUNDS


State License Clerk of Courts Register Prothonotaryand Fees Criminal Fees of Wills Civil Fees

AdditionsProperty Tax Collected for Other Governments 63,169,143$ -$ -$ -$ -$ -$Realty Tax Collected for Other Governments - - 24,674,181 - - -Inheritance Tax Collected for Other Governments - - - - 16,413,646 -Fees Collected for Other Governments - 260,842 - 4,605,089 612,613 -Patient Income (PRM & ECCM) - - - - - -Inmate Account Collections - - - - - -Collections for Support - - - - - -Fees and Fines Collected - Other - - - 426,393 - 907,975

Total Additions 63,169,143$ 260,842$ 24,674,181$ 5,031,482$ 17,026,259$ 907,975$

DeductionsProperty Tax Collections to Other Governments 62,726,482$ -$ -$ -$ -$ -$Realty Tax Collections to Other Governments - - 24,759,252 - - -Inheritance Tax Collected to Other Governments - - - - 16,413,646 -Fees Collected to Other Governments - 258,690 - 4,762,427 626,181 -Net decrease in fair value of Investments - - - - - -Sheriff Sales (Real Estate) Disbursed - - - - - -Patient Expense (PRM & ECCM) - - - - - -Inmate Disbursements - - - - - -Support Payments - - - - - -Payments to Other Entities - - - 393,265 - 953,114

Total Deductions 62,726,482 258,690 24,759,252 5,155,692 17,039,827 953,114

Change in net position 442,661 2,152 (85,071) (124,210) (13,568) (45,139)

Net Position – January 1 (As Restated, Note 21) (437,438) 206 1,025,432 419,827 57,738 417,318

Net Position – December 31 5,223$ 2,358$ 940,361$ 295,617$ 44,170$ 372,179$

Claim of DeedsTax Recorder

Page 156

TotalSheriff Real Prison MDJs OCY Domestic ACT 102 ECCM PRM CustodialEstate&Training Combined Combined Trust Relations Site Closure client funds client funds Funds

-$ -$ -$ -$ -$ -$ -$ -$ 63,169,143$- - - - - - - - 24,674,181- - - - - - - - 16,413,646

2,950,410 - 5,093,843 - 58,868 - - - 13,581,665- - - - - - 3,673,264 2,864,500 6,537,764- 1,193,686 - - - - - - 1,193,686- - - - 984,711 - - - 984,711- - - - - - - - 1,334,368

2,950,410$ 1,193,686$ 5,093,843$ -$ 1,043,579$ -$ 3,673,264$ 2,864,500$ 127,889,164$

-$ -$ -$ -$ -$ -$ -$ -$ 62,726,482$- - - - - - - - 24,759,252- - - - - - - - 16,413,646

51,332 - 5,277,689 - 58,260 - - - 11,034,579- - - - - 54,477 - - 54,477

3,113,387 - - - - - - - 3,113,387- - - - - - 3,449,212 2,904,720 6,353,932- 1,224,614 - - - - - - 1,224,614- - - - 986,320 - - - 986,320- - - - - - - - 1,346,379

3,164,719 1,224,614 5,277,689 - 1,044,580 54,477 3,449,212 2,904,720 128,013,068

(214,309) (30,928) (183,846) - (1,001) (54,477) 224,052 (40,220) (123,904)

229,200 36,033 236,760 5,690 4,913 2,268,135 654,164 551,394 5,469,372

14,891$ 5,105$ 52,914$ 5,690$ 3,912$ 2,213,658$ 878,216$ 511,174$ 5,345,468$


COMBINING STATEMENT OF FIDUCIARY NET POSITIONPENSION PLANS

DECEMBER 31, 2020

Pleasant Ridge TotalPension Manor Pension Pension

Trust Funds Trust Fund Trust FundsAssets

Cash and cash equivalents 2,862,117$ 848,451$ 3,710,568$Investments:

U.S. governmental obligations 26,324,154 6,344,652 32,668,806Corporate debt obligations 23,024,044 11,534,928 34,558,972Other fixed income 2,131,600 - 2,131,600Mutual funds - fixed income 21,325,887 - 21,325,887Mutual funds - equity 132,219,302 51,791,561 184,010,863Property trusts 21,695,292 - 21,695,292Private equity 19,718,530 - 19,718,530Exchange traded funds 4,197,080 - 4,197,080Domestic equities 47,675,460 - 47,675,460

Total investments 298,311,349 69,671,141 367,982,490

Receivables:Interest and other receivables 389,428 133,676 523,104

Total receivables 389,428 133,676 523,104

Total Assets 301,562,894$ 70,653,268$ 372,216,162$

Net PositionRestricted for: Pension benefits 301,562,894$ 70,653,268$ 372,216,162$

Total Net Pension 301,562,894$ 70,653,268$ 372,216,162$


COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITIONPENSION PLANS


Erie County Pleasant Ridge TotalPension Manor Pension Pension

Trust Fund Trust Fund Trust FundsAdditions:

Contributions:Employee 4,385,594$ 803,146$ 5,188,740$Employer 6,397,197 1,100,000 7,497,197

Total contributions 10,782,791 1,903,146 12,685,937

Investment income:

Net appreciation in fair value of investments 24,753,145 7,962,812 32,715,957Interest and dividends 5,812,563 1,450,373 7,262,936

Total investment income 30,565,708 9,413,185 39,978,893

Less investment expense 468,615 58,794 527,409

Net investment income 30,097,093 9,354,391 39,451,484

Total additions 40,879,884 11,257,537 52,137,421

Deductions:Pension benefits and refunds 18,651,139 3,836,365 22,487,504Administrative expense 214,955 37,735 252,690

Total deductions 18,866,094 3,874,100 22,740,194

Change in Net Position 22,013,790 7,383,437 29,397,227

Net Position, Beginning of year (As Restated, Note 21) 279,549,104 63,269,831 342,818,935

Net Position, End of year 301,562,894$ 70,653,268$ 372,216,162$

CAPITAL ASSETS USED IN THE OPERATION OFGOVERNMENTAL FUNDS


CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDSSCHEDULE OF FUNCTION AND ACTIVITY


Vehicles,Buildings and Furniture, and

Land Improvements Equipment TotalFunction and Activity

General government 315,948$ 24,305,465$ 2,927,317$ 27,548,730$Courts and related offices 70,960 2,914,961 2,603,448 5,589,369Corrections 284,420 32,324,572 1,018,682 33,627,674Community services 301,797 17,776,422 23,900,917 41,979,136Public health - 841,701 596,734 1,438,435Library 528,112 17,507,381 1,607,574 19,643,067

Total governmental funds capital assets 1,501,237$ 95,670,502$ 32,654,672$ 129,826,411$


CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDSSCHEDULE OF CHANGES BY FUNCTION AND ACTIVITY


Governmental Funds Governmental FundsCapital Assets Deduction/ Capital Assets

January 1, 2020 Additions Transfer January 00, 1900Function and Activity

General government 27,303,756$ 220,086$ 24,888$ 27,548,730$Courts and related offices 4,802,062 831,024 (43,717) 5,589,369Corrections 33,529,557 157,809 (59,692) 33,627,674Community services 39,838,656 2,694,144 (553,664) 41,979,136Public health 1,227,372 262,548 (51,485) 1,438,435Library 19,455,895 246,394 (59,222) 19,643,067

Total governmental funds capital assets 126,157,298$ 4,412,005$ (742,892)$ 129,826,411$


CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDSSCHEDULE OF ASSETS BY SOURCEYEAR ENDED DECEMBER 31, 2020

Governmental funds capital assets:Land 1,501,237$Buildings and improvements 95,670,502Vehicles, furniture, and equipment 32,654,672

129,826,411$

Investment in governmental funds capital assets by source:General Fund 64,835,510$Special Revenue Funds 64,990,901

129,826,411$

Page 163

STATISTICAL SECTIONThis section of the County of Erie’s (County) Annual Comprehensive Financial Report presents detailedinformation as a context for understanding what the information in the financial statements, notedisclosures, and required supplementary information says about the County’s overall financial health.

Contents Page

Financial Trends 164These schedules contain trend information to help the reader understandhow the County's financial performance and well-being have changed overtime.

Revenue Capacity 177These schedules contain information to help the reader assess the County'smost significant local revenue sources, the property tax, and earnedincome tax.

Debt Capacity 186These schedules present information to help the reader assess theaffordability of the County's current levels of outstanding debt and theCounty's ability to issue additional debt in the future.

Demographic and Economic Information 195These schedules offer economic and demographic indicators to help thereader understand the environment within which the County's financialactivities take place.

Operating Information 199These schedules contain service and infrastructure data to help the readerunderstand how the information in the County's financial report relates to theservices the County provides and the activities it performs

FINANCIAL TRENDS


NET POSITION BY COMPONENTLAST TEN YEARS

ACCRUAL BASIS OF ACCOUNTING

2020 2019 2018 2017

Governmental activities:Net investment in capital assets 2,028,339$ 2,564,940$ 4,471,289$ 1,661,625$Restricted 51,891,172 42,094,318 37,840,668 37,967,000Unrestricted (11,112,606) (26,339,655) (20,510,725) 6,397,161

Total Governmental Activities Net Position 42,806,905$ 18,319,603$ 21,801,232$ 46,025,786$

Business-type Activities:Net investment in capital assets 5,358,191$ 5,595,767$ 5,495,208$ 5,520,382$Restricted - - - 1,620,998Unrestricted 532,736 1,297,500 283,771 1,861,949

Total Business-type Activities Net Position 5,890,927$ 6,893,267$ 5,778,979$ 9,003,329$

Primary Government:Net investment in capital assets 7,386,530$ 8,160,707$ 9,966,497$ 7,182,007$Restricted 51,891,172 42,094,318 37,840,668 39,587,998Unrestricted (10,579,870) (25,042,155) (20,226,954) 8,259,110

Total Primary Government Net Position 48,697,832$ 25,212,870$ 27,580,211$ 55,029,115$

Notes:

1. This Schedule is being prepared prospectively in accordance with GASB Statement No. 63.

2. The County Nursing Home became a blended component unit due to the adoption of GASBStatement No. 61 in 2013.

3. GASB Statement No. 68 was adopted in 2015; prior year amounts were not restated.


Page 166

2016 2015 2014 2013 2012 2011

1,908,369$ 122,636$ 986,225$ 3,234,228$ 13,180,233$ 23,283,384$34,865,893 31,903,417 34,708,680 37,919,072 38,896,823 36,373,9732,161,705 (1,130,226) (2,110,809) (8,005,536) (13,666,489) (17,344,957)

38,935,967$ 30,895,827$ 33,584,096$ 33,147,764$ 38,410,567$ 42,312,400$

5,537,475$ 5,697,500$ 4,430,807$ 4,628,713$ 4,521,981$ 4,769,853$- - - - - -

1,923,502 1,744,693 3,634,846 3,986,428 3,775,351 2,615,644

7,460,977$ 7,442,193$ 8,065,653$ 8,615,141$ 8,297,332$ 7,385,497$

7,445,844$ 5,820,136$ 5,417,032$ 7,862,941$ 17,702,214$ 28,053,237$34,865,893 31,903,417 34,708,680 37,919,072 38,896,823 36,373,9734,085,207 614,467 1,524,037 (4,019,108) (9,891,138) (14,729,313)

46,396,944$ 38,338,020$ 41,649,749$ 41,762,905$ 46,707,899$ 49,697,897$


CHANGES IN NET POSITIONLAST TEN YEARS


2020 2019 2018Expenses:Governmental Activities:

General government 17,346,167$ 25,307,026$ 25,485,295$Courts and related offices 24,553,399 27,732,729 22,120,248Corrections 32,183,720 41,774,172 35,724,645Community services 257,846,124 225,249,185 230,276,529Public health 8,331,574 8,455,125 6,118,642Pubic works 878,173 773,450 726,950Library 7,071,786 8,692,756 5,024,086Other - - -Interest on long-term debt 1,265,428 1,539,182 1,822,965

Total governmental activities expenses 349,476,371$ 339,523,625$ 327,299,360$

Business-type Activities - County owned long-term care facility 29,160,142 29,662,524 30,903,916

Total primary government expenses 378,636,513$ 369,186,149$ 358,203,276$

Program Revenues:Governmental Activities:

Charges for services:General government 4,354,969$ 3,497,650$ 4,040,792$Courts and related offices 5,403,415 5,896,806 5,555,617Corrections 2,276,472 2,743,508 2,793,819Community services 21,787,835 21,235,896 20,586,428Public health 583,526 658,597 658,148Library 59,637 167,509 165,631

Operating grants and contributionsGeneral government 1,529,617 24,870 48,000Courts and related offices 4,247,014 4,024,538 4,016,244Corrections 6,649,547 7,873,141 8,053,105Community services 230,210,939 193,074,180 198,375,317Public health 5,535,856 4,577,112 4,637,402Public works 631,568 727,014 734,037Library 1,493,343 1,460,079 1,446,332Other - - -

Capital grants and contributions - 323,842 100,000

Total governmental activities program revenues 284,763,738$ 246,284,742$ 251,210,872$

Page 168

2017 2016 2015 2014 2013 2012 2011

19,180,125$ 19,517,085$ 18,732,488$ 18,616,773$ 19,301,658$ 19,440,061$ 14,546,971$24,130,260 24,271,000 24,332,032 23,407,171 22,601,628 22,589,810 23,659,66736,230,828 38,001,072 37,881,454 37,375,459 36,187,277 38,332,786 39,590,993

227,832,836 212,364,229 197,977,072 194,194,242 195,535,908 203,151,167 201,825,1816,356,549 6,594,855 6,180,815 56,559,096 6,244,253 6,850,696 7,257,014

724,320 717,491 758,402 650,069 696,221 685,428 903,9927,903,715 6,878,988 7,765,253 7,063,666 6,910,165 7,005,236 7,267,748

3,915 9,081 8,344 8,264 - - -2,617,700 2,752,117 2,504,632 2,459,814 3,453,834 3,782,732 4,011,619

324,980,248$ 311,105,918$ 296,140,492$ 340,334,554$ 290,930,944$ 301,837,916$ 299,063,185$

29,169,651 30,444,118 33,084,061 35,795,008 34,030,462 32,354,384 34,478,405

354,149,899$ 341,550,036$ 329,224,553$ 376,129,562$ 324,961,406$ 334,192,300$ 333,541,590$

3,746,548$ 3,408,480$ 3,577,888$ 3,457,221$ 3,150,424$ 3,722,405$ 3,727,630$5,424,155 4,999,225 5,086,361 4,904,274 5,322,226 5,553,935 5,232,0922,423,071 2,408,537 2,385,331 2,343,640 2,445,342 2,468,169 2,391,228

19,761,903 19,692,616 17,956,735 15,835,016 15,925,374 15,957,744 16,629,378591,188 555,754 544,118 520,553 530,608 496,842 451,045160,557 156,061 170,222 162,883 189,423 196,312 206,816

51,978 62,500 31,500 131,000 - 580,039 32,1114,146,938 4,049,206 4,213,507 4,296,430 4,712,717 4,125,795 4,134,2917,269,764 8,267,256 8,939,570 9,079,446 8,444,098 10,304,155 11,142,892

200,277,615 190,825,384 173,921,511 169,168,836 167,466,120 174,972,223 176,224,1444,488,932 4,688,072 4,490,129 4,290,326 4,518,262 4,908,799 4,942,780

809,017 724,910 718,212 723,270 745,885 812,704 769,8251,520,888 1,466,963 1,453,929 1,456,501 1,407,776 1,417,009 1,411,241

- - - - - - -241,449 20,264 - - - 10,000 -

250,914,003$ 241,325,228$ 223,489,013$ 216,369,396$ 214,858,255$ 225,526,131$ 227,295,473$


CHANGES IN NET POSITIONLAST TEN YEARS

ACCRUAL BASIS OF ACCOUNTING(CONTINUED)

2020 2019 2018

Business-type Activities:Charges for services:

County owned long-term care facility 28,594,269 29,436,742 28,087,473Operating grant and contributions - - -Capital grants and contributions - - 40,155

Total business-type activities program revenues 28,594,269 29,436,742 28,127,628

Total primary government program revenues 313,358,007$ 275,721,484$ 279,338,500$

Net (Expense)/Revenue:Governmental Activities (64,712,633)$ (93,238,883)$ (76,088,488)$Business-type Activities (565,873) (225,782) (2,776,288)

Total primary government (65,278,506)$ (93,464,665)$ (78,864,776)$

General Revenues and Other Changes in Net Position:Governmental Activities:

Property taxes 82,341,054$ 81,960,521$ 77,317,205$Hotel room rental tax 3,227,022 5,072,017 4,992,658Interest income 552,567 1,323,707 1,059,421Other income 2,579,292 2,601,021 1,067,644Extraordinary item - loss on loan receivable - - -Transfers 500,000 (1,200,012) (1,970,493)

Total governmental activities 89,199,935 89,757,254 82,466,435

Business-type Activities:Interest income 43,970 57,858 85,905Other income 19,563 82,200 -Transfers (500,000) 1,200,012 1,970,493

Total business-type activities (436,467) 1,340,070 2,056,398

Total primary government 88,763,468$ 91,097,324$ 84,522,833$

Change in Net Position:Governmental Activities 24,487,302$ (3,481,629)$ 6,377,947$Business-type Activities (1,002,340) 1,114,288 (719,890)

Total primary government 23,484,962$ (2,367,341)$ 5,658,057$

Notes:

1. County Nursing Home became a blended component unit due to the adoption of GASBStatement No. 61 in 2013.



Page 170

2017 2016 2015 2014 2013 2012 2011

28,806,756 29,042,769 30,754,422 34,185,096 33,369,423 32,219,036 32,773,860- - - - - - 747,806

15,041 - - - - 70,000 -

28,821,797 29,042,769 30,754,422 34,185,096 33,369,423 32,289,036 33,521,666

279,735,800$ 270,367,997$ 254,243,435$ 250,554,492$ 248,227,678$ 257,816,167$ 260,817,139$

(74,066,245)$ (69,780,690)$ (72,651,479)$ (73,065,158)$ (76,072,689)$ (76,310,785)$ (71,767,712)$(347,854) (1,401,349) (2,329,639) (1,609,912) (661,039) (65,348) (956,739)

(74,414,099)$ (71,182,039)$ (74,981,118)$ (74,675,070)$ (76,733,728)$ (76,376,133)$ (72,724,451)$

77,017,178$ 73,690,421$ 69,189,284$ 69,290,190$ 68,783,306$ 68,811,861$ 69,212,937$4,727,361 4,664,727 4,663,995 4,375,388 4,238,012 3,160,156 3,038,223

567,530 320,813 165,782 197,345 151,659 214,198 233,771699,031 517,069 2,314,990 450,111 257,458 222,737 1,185,132

- - (3,000,000) - - - -(1,855,036) (1,372,200) (2,470,893) (811,544) (750,331) - -

81,156,064 77,820,830 70,863,158 73,501,490 72,680,104 72,408,952 73,670,063

35,170 42,933 77,577 2,606 16,611 18,657 5,149- 5,000 1,955,855 246,274 211,906 1,494,412 369,648

1,855,036 1,372,200 2,470,893 811,544 750,331 - -

1,890,206 1,420,133 4,504,325 1,060,424 978,848 1,513,069 374,797

83,046,270$ 79,240,963$ 75,367,483$ 74,561,914$ 73,658,952$ 73,922,021$ 74,044,860$

7,089,819$ 8,040,140$ (1,788,321)$ 436,332$ (3,392,585)$ (3,901,833)$ 1,902,351$1,542,352 18,784 2,174,686 (549,488) 317,809 1,447,721 (581,942)

8,632,171$ 8,058,924$ 386,365$ (113,156)$ (3,074,776)$ (2,454,112)$ 1,320,409$


FUND BALANCES, GOVERNMENTAL FUNDSLAST NINE YEARS

MODIFIED ACCRUAL BASIS OF ACCOUNTING

2020 2019 2018 2017

General Fund:Nonspendable:

Prepaid items 187,579$ 167,494$ 163,142$ 136,539$Restricted:

Public Health Services - - - -Library Services - - - -Public Safety Fund - - - -Community Services - - - -Courts and Related Offices - - - -Economic Development Revolving Loan Fund 8,000,000 8,000,000 8,000,000 8,000,000Judicial Services 1,408,298 1,322,737 1,294,553 1,226,788Community Redevelopment 963,079 709,522 486,477 346,841

Assigned:Children and Youth IV-E litigation - - 2,605,509 2,271,593Pleasant Ridge Manor - - - -Municipal Projects - - - -Public Safety Radio Project - - 3,000,000 7,000,000

Unassigned 49,001,736 44,456,162 36,600,535 33,227,609

Total General Fund 59,560,692 54,655,915 52,150,216 52,209,370

All Other Governmental Funds:Nonspendable:

Prepaid items 175,034 122,694 194,745 92,342Restricted:

Road and Bridge improvements 4,906,440 4,707,662 3,489,708 2,535,733Capital Projects - - - -Public Health Services 545,799 22,300 35,056 75,819Emergency Services 1,691,731 1,368,326 1,399,549 1,445,556Library Services 132,382 141,825 145,134 138,335Child Support Enforcement 27,461 25,082 22,916 48,489Airport Runaway Project - - - -Debt Service Payments for GO Bonds 2,442,696 2,427,785 2,397,151 2,366,233ECGRA Restricted Fees - - - -Pleasant Ridge Manor Loan - - - -Land Preservation 17,790 222,746 222,746 309,070Community Redevelopment 1,087,187 828,804 999,733 807,070Recycling 287,082 287,482 373,427 393,458Mental Health Services 14,104,476 8,874,425 8,936,309 11,655,937Erie County Care Management 6,422,105 5,633,130 5,057,313 4,355,441Community Grants 9,679,612 7,399,798 4,785,851 4,169,888Public Safety Radio Project 939,088 2,405,626 1,807,198 7,201,170

Assigned:Various capital grants 2,513,762 2,985,624 4,719,667 5,209,715

Unassigned - - - -

Total All Other Governmental Funds 44,972,645 37,453,309 34,586,503 40,804,256

Total Governmental Funds 104,533,337$ 92,109,224$ 86,736,719$ 93,013,626$

Note: Implementation of GASB Statement No. 54 in 2011.


FUND BALANCES, GOVERNMENTAL FUNDSTENTH PRIOR YEAR


2016 2015 2014 2013 2012 2011

117,626$ 135,226$ 117,756$ 74,144$ 147,480$ 140,514$

- - - - - 134,132- - - - - 38,161- - - - 37,877 -- - - - - 289,168- - - - - 1,023,393

8,000,000 8,000,000 11,000,000 11,000,000 11,000,000 11,000,0001,089,850 1,170,161 1,097,633 1,011,765 852,697 -

272,309 251,277 248,189 238,263 258,413 -

1,623,351 1,279,231 838,998 409,739 1,752,184 1,700,000- - - - - 1,000,000- - 3,285 - - -

7,000,000 7,000,000 - - - -30,333,695 27,777,143 34,597,254 33,823,435 28,511,652 22,040,658

48,436,831 45,613,038 47,903,115 46,557,346 42,560,303 37,366,026

101,575 115,282 327,965 546,361 405,878 77,896

2,163,793 1,903,053 1,523,545 375,170 325,475 198,199- - - - - 22,406,073

78,197 64,702 96,805 117,875 36,131 -1,697,649 1,809,379 899,903 1,222,571 957,241 854,850

140,752 138,058 196,486 46,874 10,247 -37,962 25,364 31,903 43,611 42,446 3,227

- - 3,114,416 3,114,416 10,395,865 -2,311,987 1,154,360 2,307,527 2,345,613 1,765,222 1,780,995

- - - - 42,386 -- - 143,000 833,000 2,500,000 -

1,091,741 708,118 603,728 1,201,907 240,032 -343,101 414,299 398,512 445,716 370,710 964,836121,208 121,208 388,266 388,261 585,936 -

8,188,767 4,731,916 4,453,562 7,678,936 10,731,697 8,824,1313,770,556 4,240,044 4,287,679 4,001,127 3,352,337 2,720,3555,456,446 7,056,196 6,703,977 6,460,796 5,087,550 8,714,819

14,596,827 19,040,174 - - - -

5,166,311 6,908,026 3,170,788 3,157,324 3,409,927 -- - - - (37,877) (172,293)

45,266,872 48,430,179 28,648,062 31,979,558 40,221,203 46,373,088

93,703,703$ 94,043,217$ 76,551,177$ 78,936,904$ 82,781,506$ 83,739,114$


CHANGES IN FUND BALANCES, GOVERNMENTAL FUNDSLAST TEN YEARS


2020 2019 2018Revenues:

Real estate taxes 82,462,451$ 81,923,095$ 77,283,789$Hotel tax 3,227,022 5,072,017 4,992,658Federal, state, and municipal grants 250,297,884 212,084,776 217,410,437Charges for services 34,465,854 34,199,966 33,800,435Interest income 552,567 1,323,707 1,059,421Other income 2,579,292 2,601,021 1,067,644

Total Revenues 373,585,070 337,204,582 335,614,384


General government 19,921,275 19,256,394 20,033,717Courts and related offices 25,950,947 24,459,855 23,750,694Corrections 32,438,225 37,870,199 35,691,211Community services 252,568,439 217,467,259 226,099,376Public health 8,571,129 7,848,009 6,374,761Public works 878,173 773,450 726,950Library 6,859,729 6,956,073 6,633,592Other 3,915 3,915 3,940

Capital outlay 4,938,601 6,461,755 11,090,424Debt service:

Bond issuance costs - - -Principal 7,325,000 7,060,000 6,765,000Interest 2,205,524 2,475,156 2,751,133

Total Expenditures 361,660,957 330,632,065 339,920,798

Excess (Deficiency) of Revenues Over Expenditures 11,924,113 6,572,517 (4,306,414)

Other Financing Sources (Uses):Issuance of refunding bonds - - -Payments to refund bonds escrow agent - - -Transfer in 33,051,662 35,520,171 35,702,173Transfer out (32,551,662) (36,720,183) (37,672,666)Premium related to debt issuance - - -

Total Other Financing Sources (Uses) 500,000 (1,200,012) (1,970,493)

Extraordinary item - loss on loan receivable - - -

Net Change in Fund Balances 12,424,113$ 5,372,505$ (6,276,907)$

Debt services as a percentage of non-capital expenditures 2.67% 2.90% 2.88%

Page 174

2017 2016 2015 2014 2013 2012 2011

76,853,739$ 73,240,659$ 69,598,802$ 69,461,662$ 68,637,354$ 68,882,528$ 69,261,634$4,727,361 4,664,727 4,663,995 4,375,388 4,238,012 3,160,156 3,038,223

218,806,581 210,104,555 193,768,358 189,145,809 187,294,858 197,131,724 198,657,28432,107,422 31,220,673 29,720,655 27,223,587 27,563,397 28,395,407 28,638,189

567,530 320,813 165,782 197,345 151,659 214,198 233,771699,031 517,069 2,314,990 450,111 257,458 222,737 1,185,132

333,761,664 320,068,496 300,232,582 290,853,902 288,142,738 298,006,750 301,014,233

18,606,696 18,078,674 17,303,301 17,405,718 15,804,698 16,088,042 14,150,11123,661,249 23,140,987 23,094,436 22,872,105 22,182,559 21,496,358 22,255,29634,924,680 35,529,548 35,683,988 36,109,217 34,897,616 36,167,323 37,587,742

219,664,133 210,619,327 196,015,720 193,081,567 194,032,300 199,630,414 200,318,9086,326,683 6,414,528 5,974,006 5,801,126 6,182,499 6,588,774 7,038,316

724,320 717,491 758,402 650,069 696,221 685,428 903,9926,832,898 6,735,733 6,242,774 6,337,487 6,262,188 5,980,506 6,110,499

3,915 9,081 8,344 8,264 6,910 93,407 5,85011,418,521 7,282,217 2,614,157 782,110 717,928 3,033,946 1,543,953

119,205 - 109,037 - 82,022 - -30,975,000 7,280,000 6,310,000 6,170,000 5,945,000 5,795,347 5,292,5543,043,000 3,228,224 2,671,838 2,810,422 2,899,953 4,489,813 4,286,405

356,300,300 319,035,810 296,786,003 292,028,085 289,709,894 300,049,358 299,493,626

(22,538,636) 1,032,686 3,446,579 (1,174,183) (1,567,156) (2,042,608) 1,520,607

20,220,000 - 17,380,000 - 12,457,211 13,605,000 -- - - - (12,514,108) (12,520,000) -

34,423,204 31,746,500 48,591,527 30,441,242 30,770,664 29,354,406 29,082,824(36,278,240) (33,118,700) (51,062,420) (31,252,786) (31,520,995) (29,354,406) (29,082,824)

3,483,595 - 2,136,354 - - - -

21,848,559 (1,372,200) 17,045,461 (811,544) (807,228) 1,085,000 -

- - (3,000,000) - - - -

(690,077)$ (339,514)$ 17,492,040$ (1,985,727)$ (2,374,384)$ (957,608)$ 1,520,607$

9.65% 3.38% 3.03% 3.09% 3.06% 3.44% 3.22%


PROGRAM REVENUES BY FUNCTION/PROGRAMLAST TEN YEARS


2020 2019 2018

Function/Program:Governmental Activities

General government 5,884,586$ 3,840,607$ 4,088,792$Courts and related offices 9,650,429 9,921,344 9,571,861Corrections 8,926,019 10,616,649 10,846,924Community services 251,998,774 214,315,831 218,961,745Public health 6,119,382 5,235,709 5,295,550Public works 631,568 727,014 734,037Library 1,552,980 1,627,588 1,711,963Other - - -

Total Governmental Activities 284,763,738 246,284,742 251,210,872

Business-type Activity - County owned long-term care facility 28,594,269 29,436,742 28,127,628

Total Primary Government 313,358,007$ 275,721,484$ 279,338,500$

Page 176

2017 2016 2015 2014 2013 2012 2011

3,798,526$ 3,470,980$ 3,609,388$ 3,588,221$ 3,150,424$ 4,312,444$ 3,759,741$9,571,093 9,048,431 9,299,868 9,200,704 10,034,943 9,679,730 9,366,3839,692,835 10,675,793 11,324,901 11,423,086 10,889,440 12,772,324 13,534,120

220,280,967 210,538,264 191,878,246 185,003,852 183,391,494 190,929,967 192,853,5225,080,120 5,243,826 5,034,247 4,810,879 5,048,870 5,405,641 5,393,825

809,017 724,910 718,212 723,270 745,885 812,704 769,8251,681,445 1,623,024 1,624,151 1,619,384 1,597,199 1,614,321 1,618,057

- - - - - - -

250,914,003 241,325,228 223,489,013 216,369,396 214,858,255 225,527,131 227,295,473

28,821,797 29,042,769 30,754,422 34,185,096 33,369,423 32,289,036 33,521,666

279,735,800$ 270,367,997$ 254,243,435$ 250,554,492$ 248,227,678$ 257,816,167$ 260,817,139$

REVENUE CAPACITY


ASSESSED VALUE AND ACTUAL VALUE OF TAXABLE PROPERTYLAST TEN YEARS

Residential Commercial Industrial AgriculturalYear Property Property Property Property

2011 7,643,489,968$ 2,455,109,235$ 327,118,153$ 901,680,054$

2012 7,692,021,537 2,461,513,447 317,586,945 905,137,299

2013 9,570,146,098 2,774,357,520 338,780,027 1,113,548,100

2014 9,602,788,473 2,810,863,512 339,285,132 1,117,924,032

2015 9,644,232,897 2,892,842,401 340,295,850 1,118,295,617

2016 9,675,819,454 2,925,772,605 358,366,573 1,123,699,175

2017 9,715,845,330 3,013,349,619 366,154,804 1,128,120,210

2018 9,757,890,186 2,996,478,404 366,199,639 1,137,892,789

2019 9,794,619,077 2,981,107,602 366,753,198 1,139,811,917

2020 9,830,963,688 3,038,010,293 381,038,917 1,146,136,323

Total assessed value as of January 1 of the current year includes exonerations and additions from theprevious year. Source: 2011-2020 County of Erie Assessment Bureau

Page 179

Ratio ofTotal Total Assessed to Total Direct

Other Assessed Value Market Value Market Value Tax Rate

-$ 11,327,397,410$ 13,847,674,095$ 81.80% 0.00605

- 11,376,259,228 13,478,980,128 84.40% 0.00605

- 13,796,831,745 13,796,831,745 100.00% 0.00493

- 13,870,861,149 13,870,861,149 100.00% 0.00493

- 13,995,666,765 14,533,402,663 96.30% 0.00493

- 14,083,657,807 14,824,902,954 95.00% 0.00516

- 14,223,469,963 14,924,942,249 95.30% 0.00541

- 14,258,461,018 15,200,917,930 93.80% 0.00541

- 14,282,291,794 15,357,303,004 93.00% 0.00571

- 14,396,149,221 15,977,968,058 90.10% 0.00571


DIRECT AND OVERLAPPING PROPERTY TAX RATESLAST TEN YEARS

(RATES PER 1$ OF ASSESSED VALUE)

2020 2019 2018 2017

County

Erie County Operating Millage 0.0057100 0.0057100 0.0054100 0.0054100

Township or Boro

Albion Boro 0.005500 0.0055000 0.0055000 0.0035000Amity Township 0.001500 0.0015000 0.0015000 0.0015000Concord Township 0.000206 0.0002060 0.0020600 0.0002060Conneaut Township 0.001000 0.0010000 0.0010000 0.0010000Corry City 0.010350 0.0103500 0.1035000 0.0103500Cranesville Boro 0.001750 0.0014300 0.1430000 0.0013800Edinboro Boro 0.004500 0.0045000 0.0045000 0.0045000Elgin Boro 0.000650 0.0006500 0.0006500 0.0006500Elk Creek Township 0.003000 0.0030000 0.0030000 0.0030000Erie City 0.013120 0.0116500 0.0116400 0.0116500Fairview Township 0.000750 0.0007500 0.0007500 0.0007500Franklin Township 0.002700 0.0027000 0.0027000 0.0027000Girard Boro 0.001890 0.0018900 0.0018900 0.0018900Girard Township 0.001200 0.0012000 0.0093200 0.0009320Greene Township 0.001990 0.0019900 0.0017900 0.0017900Greenfield Township 0.002340 0.0023400 0.0023400 0.0023400Harborcreek Township 0.000966 0.0009663 0.0009663 0.0009663Lake City Boro 0.003150 0.0031500 0.0031500 0.0031500Lawrence Park Township 0.003550 0.0035500 0.0032500 0.0032500LeBouef Township 0.001000 0.0007500 0.0007500 0.0006500McKean Township 0.000950 0.0009500 0.0009500 0.0009500McKean Boro 0.000940 0.0009400 0.0035554 0.0009400Millcreek Township 0.003555 0.0035537 0.0010700 0.0035537Mill Village Boro 0.001070 0.0010700 0.0048390 0.0010700North East Boro - 1st Ward 0.004839 0.0048390 0.0048390 0.0048390North East Boro - 2nd Ward 0.004839 0.0048390 0.0011140 0.0048939North East Township 0.001114 0.0011140 0.0010790 0.0011140Platea Boro 0.001079 0.0010790 0.0003525 0.0010790Springfield Township 0.000500 0.0005000 0.0005900 0.0003525Summit Township 0.000590 0.0005900 0.0080600 0.0005900Union City Boro - 1st Ward 0.008060 0.0080600 0.0080600 0.0080600Union City Boro - 2nd Ward 0.008060 0.0080600 0.0010000 0.0080600Union Township 0.001200 0.0010000 0.0022000 0.0010000Venango Township 0.002200 0.0022000 0.0022000 0.0022000Washington Township 0.001000 0.0010000 0.0010000 0.0010000Waterford Boro 0.002600 0.0025000 0.0025000 0.0025000Waterford Township 0.001990 0.0019900 0.0019900 0.0019900Wattsburg Boro 0.004000 0.0040000 0.0026000 0.0026000Wayne Township 0.001240 0.0012400 0.0012400 0.0012400Wesleyville Boro 0.007971 0.0076380 0.0076380 0.0076380

Year Taxes are Payable

Page 181

2016 2015 2014 2013 2012 2011

0.0051600 0.0049300 0.0049300 0.0049300 0.0060500 0.0060500

0.0035000 0.0035000 0.0016990 0.0016990 0.0020600 0.00206000.0014150 0.0014150 0.0014150 0.0014150 0.0016000 0.00140000.0002060 0.0002060 0.0002060 0.0002060 0.0002300 0.00023000.0010000 0.0010000 0.0005000 0.0003070 0.0003350 0.00033500.0086000 0.0086000 0.0076500 0.0076500 0.0086500 0.00865000.0013800 0.0013400 0.0013000 0.0011600 0.0012700 0.00127000.0045000 0.0045000 0.0045000 0.0045000 0.0053500 0.00535000.0006500 0.0006500 0.0006500 0.0006500 0.0007500 0.00075000.0030000 0.0023500 0.0023500 0.0021200 0.0023500 0.00235000.0116500 0.0116500 0.0108500 0.0108500 0.0131000 0.01145000.0007500 0.0007500 0.0007500 0.0007500 0.0009500 0.00095000.0027000 0.0027000 0.0027000 0.0027000 0.0033000 0.00280000.0018900 0.0018900 0.0018900 0.0013900 0.0017800 0.00178000.0009320 0.0009320 0.0009320 0.0009320 0.0010370 0.00103700.0017900 0.0017900 0.0017900 0.0017900 0.0020000 0.00200000.0023400 0.0023400 0.0023400 0.0020900 0.0023000 0.00230000.0009663 0.0009663 0.0009663 0.0009663 0.0011920 0.00119200.0031500 0.0031500 0.0031500 0.0026500 0.0031003 0.00280030.0032500 0.0030000 0.0025000 0.0022000 0.0027500 0.00275000.0005500 0.0004500 0.0004000 0.0003800 0.0004200 0.00042000.0009500 0.0009500 0.0009500 0.0009000 0.0010000 0.00100000.0009400 0.0009400 0.0009400 0.0009400 0.0011000 0.00110000.0035537 0.0035537 0.0035537 0.0025537 0.0029594 0.00245940.0010700 0.0010700 0.0010700 0.0010700 0.0013000 0.00130000.0048390 0.0048390 0.0044500 0.0044500 0.0051100 0.00411000.0048390 0.0048390 0.0044500 0.0044500 0.0051100 0.00411000.0011140 0.0011140 0.0010400 0.0010400 0.0012640 0.00126400.0010790 0.0010790 0.0010790 0.0010790 0.0013000 0.00130000.0003525 0.0003525 0.0003525 0.0003525 0.0004360 0.00043600.0005900 0.0005900 0.0005900 0.0005900 0.0007000 0.00070000.0070600 0.0070600 0.0060600 0.0060600 0.0070000 0.00550000.0070600 0.0070600 0.0060600 0.0060600 0.0070000 0.00550000.0010000 0.0010000 0.0010000 0.0010000 0.0012000 0.00120000.0022000 0.0022000 0.0022000 0.0022000 0.0027000 0.00240000.0010000 0.0010000 0.0010000 0.0008200 0.0010000 0.00081000.0024000 0.0024000 0.0024000 0.0024000 0.0028500 0.00285000.0019900 0.0019900 0.0019900 0.0019900 0.0024000 0.00220000.0026000 0.0026000 0.0026000 0.0026000 0.0030000 0.00300000.0012400 0.0012400 0.0012400 0.0012400 0.0015000 0.00150000.0076380 0.0076380 0.0076380 0.0071380 0.0087730 0.0077730


Page 182

School District 2020 2019 2018 2017

Corry Area 0.014555 0.0145610 0.0107400 0.0139680Erie City 0.017203 0.0172029 0.0167899 0.0167064Fairview 0.018740 0.0182800 0.0176700 0.0173700Fort LeBoeuf 0.012350 0.0123500 0.0123500 0.0123500General McLane 0.012980 0.0129800 0.0128500 0.0127300Girard 0.018040 0.0180400 0.0174500 0.0168600Harborcreek Township 0.017520 0.0169500 0.0164700 0.0159700Iroquois 0.022933 0.0220526 0.0220526 0.0212726Millcreek Township 0.014500 0.0145003 0.0141054 0.0138288North East 0.014090 0.0140900 0.0140900 0.0139500Northwestern 0.014090 0.0140900 0.0140900 0.0099900Union City Area 0.011810 0.0114100 0.0112200 0.0113600Wattsburg Area 0.019779 0.0197786 0.0191858 0.0185729


Page 183

2016 2015 2014 2013 2012 2011

0.0134570 0.0131310 0.0131310 0.0137960 0.0176513 0.01802140.0166233 0.0166233 0.0166233 0.0166233 0.0187626 0.01780260.0168800 0.0161100 0.0161100 0.0156454 0.0190700 0.01852000.0119800 0.0113900 0.0113900 0.0113900 0.0135600 0.01356000.0127300 0.0122600 0.0122600 0.0119300 0.0140600 0.01376000.0162600 0.0152800 0.0152800 0.0148300 0.0178600 0.01743000.0157500 0.0149100 0.0149100 0.0143100 0.0172800 0.01691000.0204826 0.0192026 0.0192026 0.0186126 0.0225200 0.02195000.0137788 0.0132766 0.0132766 0.0126700 0.0148800 0.01488000.0136900 0.0133700 0.0133700 0.0132400 0.0164400 0.01606000.0099900 0.0093893 0.0093893 0.0091065 0.0104600 0.01046000.0109700 0.0102300 0.0102300 0.0106200 0.0125200 0.01223000.0174738 0.0154738 0.0154738 0.0145140 0.0171500 0.0171500



PROPERTY TAX LEVIES AND COLLECTIONS

Estimated Actual Values Percentage of Total Estimated Actual Values Percentage of TotalTaxpayer - Type of Real Property of Real Property Rank Assessed Valuation of Real Property Rank Assessed Valuation

Presque Isle Downs 124,023,544$ 1 0.86% 122,465,910$ 1 1.09%Millcreek Mall Corp 115,469,000 2 0.80% 104,988,900 2 0.93%Baldwin Brothers Inc 110,584,814 3 0.77% 93,848,215 3 0.83%Scott Development Co 71,085,720 4 0.49% 65,042,020 4 0.58%Riedman Properties EP II LLC 67,180,540 5 0.47% - - -Erie Insurance (Indemnity) 59,418,663 6 0.41% 18,995,650 9 0.17%Wal-Mart Real Estate Business Trust 53,730,700 7 0.37% 45,205,340 5 0.40%Millcreek Community Hospital 49,982,810 8 0.35% - - -Westinghouse Air Brake Technologies 40,895,029 9 0.28% - - -Lord Corporation 38,444,400 10 0.27% - - -Pastore Inc - - - 35,321,800 6 0.31%Developers Diversified Realty - - - 33,060,000 7 0.29%General Electric Company - - - 17,480,400 10 0.15%Maleno Developers - - - 22,173,220 8 0.20%

Total 730,815,220$ 5.07% 558,581,455$ 4.95%

Assessed Value of All Properties 14,396,149,221$ 11,282,268,586$

December 31, 2020 December 31, 2011


PROPERTY TAX LEVIES AND COLLECTIONS

Tax Levied for Percent of Total Collection asthe Fiscal Year Total Adjusted Face Value of Current Current Tax Total Delinquent/ Total Collections Percentage of Adjusted

Year (Original Levy) Adjustments Tax Levy Collections Collection Liened Collections net of refunds Tax (After Refunds)

2011 68,530,885$ 26,531$ 68,557,416$ 65,164,301$ 95.05% 1,710,218$ 66,874,519$ 97.55%

2012 68,826,499 (150,356) 68,676,143 65,097,158 94.79% 2,071,092 67,168,250 97.80%

2013 68,018,418 (249,755) 67,768,663 64,703,847 95.48% 2,361,154 67,065,001 98.96%

2014 68,383,383 (153,126) 68,230,257 65,273,980 95.67% 2,204,769 67,478,749 98.90%

2015 68,998,675 (151,111) 68,847,564 64,756,661 94.06% 2,160,282 66,916,943 97.20%

2016 72,671,673 (118,981) 72,552,692 68,213,291 94.02% 2,252,586 70,465,877 97.12%

2017 76,949,011 (389,185) 76,559,826 71,961,646 93.99% 4,347,007 76,308,653 99.67%

2018 77,138,312 (289,618) 76,848,694 72,230,589 93.99% 1,714,489 73,945,078 96.22%

2019 81,551,926 (77,292) 81,474,634 76,659,386 94.09% 2,653,155 79,312,541 97.35%

2020 82,202,052 (63,990) 82,138,061 78,542,252 95.62% 20,390 78,562,642 95.65%

DEBT CAPACITY


RATIOS OF GENERAL BONDED DEBT OUTSTANDINGLAST TEN YEARS

Net General % ofObligation Capital Personal

Year Bonds Note Payable Leases Total Income (a)

2011 84,842,208$ 475,347$ -$ 85,317,555$ 0.87%

2012 80,168,026 - - 80,168,026 0.78%

2013 74,725,107 - - 74,725,107 0.71%

2014 68,260,983 - - 68,260,983 0.64%

2015 81,137,555 - - 81,137,555 0.72%

2016 73,420,895 - - 73,420,895 0.65%

2017 65,799,727 - - 65,799,727 0.57%

2018 58,202,198 - - 58,202,198 0.48%

2019 50,309,668 - - 50,309,668 0.40%

2020 42,152,138 - - 42,152,138 *

(a) Population and personal income data can be found on page

(b) Property data can be found on page

* Information not yet available

Note: Total Assessed Value as of 12/31 of current year includes exonerations and additionsNet general obligation bonds includes bonds outstanding as well as deferred premiums and discounts.

Page 188

% of Actual PersonalValue (b) Income

of Taxable Total Assessed (ThousandsProperty Value Population of Dollars)

0.75% 11,327,397,410$ 280,985 9,756,169$

0.58% 11,376,259,228 280,646 10,291,569

0.54% 13,796,831,745 280,294 10,575,326

0.49% 13,870,861,149 278,443 10,636,535

0.58% 13,995,666,765 278,045 11,240,073

0.52% 14,083,657,807 279,858 11,259,431

0.46% 14,223,469,963 280,566 11,499,800

0.41% 14,258,461,018 275,972 12,216,339

0.35% 14,282,291,794 269,728 12,509,662

* 14,396,149,221 269,428 *

Page 189COUNTY OF ERIE, PENNSYLVANIADIRECT AND OVERLAPPING DEBT

DECEMBER 31, 2020

EstimatedTotal Estimated Share ofDebt Percentage Direct and

Governmental Unit Outstanding Applicable Overlapping Debt

Cities:Corry 15,822,708$ 100.00% 15,822,708$Erie 225,007,557 100.00% 225,007,557

Total Cities 240,830,265 240,830,265

Boroughs:Albion 7,924,953 100.00% 7,924,953Cranesville - 100.00% -Edinboro 6,853,759 100.00% 6,853,759Elign - 100.00% -Girard 5,678,279 100.00% 5,678,279Lake City 4,752,388 100.00% 4,752,388McKean - 100.00% -Mill Village - 100.00% -North East 12,854,695 100.00% 12,854,695Platea - 100.00% -Union City 31,883 100.00% 31,883Waterford - 100.00% -Wattsburg 686,930 100.00% 686,930Wesleyville 315,013 100.00% 315,013

Total Boroughs 39,097,900 39,097,900

Townships:Amity 68,857 100.00% 68,857Concord - 100.00% -Conneaut - 100.00% -Elk Creek 132,599 100.00% 132,599Fairview - 100.00% -Franklin - 100.00% -Girard - 100.00% -Greene 15,755,655 100.00% 15,755,655Greenfield 35,622 100.00% 35,622Haborcreek - 100.00% -Lawrence Park 634,852 100.00% 634,852LeBoef - 100.00% -McKean 1,021,097 100.00% 1,021,097Millcreek 803,334 100.00% 803,334North East 3,995,032 100.00% 3,995,032Springfield 199,500 100.00% 199,500Summit - 100.00% -Union 253,655 100.00% 253,655Venango 75,260 100.00% 75,260Washington 1,523,585 100.00% 1,523,585Waterford - 100.00% -Wayne 41,804 100.00% 41,804

Total Townships 24,540,852 24,540,852


DIRECT AND OVERLAPPING DEBT (CONTINUED)DECEMBER 31, 2020

EstimatedTotal Estimated Share ofDebt Percentage Direct and

Governmental Unit Outstanding Applicable Overlapping Debt

School Districts;City of Erie 213,590,622$ 100.00% 213,590,622$Corry Area 33,698,026 100.00% 33,698,026Fairview 26,437,851 100.00% 26,437,851Ft. LeBoeuf 34,876,323 100.00% 34,876,323General McLane 33,390,383 100.00% 33,390,383Girard 26,926,222 100.00% 26,926,222Harborcreek 34,185,097 100.00% 34,185,097Iroquois Area 35,790,432 100.00% 35,790,432Millcreek 100,612,388 100.00% 100,612,388North East 25,448,389 100.00% 25,448,389Northwestwern 20,510,024 100.00% 20,510,024Union City Area 19,264,022 100.00% 19,264,022Wattsburg Area 28,337,661 100.00% 28,337,661

Total School Districts 633,067,439 633,067,439

Subtotal overlapping debt 937,536,456 937,536,456

Total direct debt 50,309,668 50,309,668

Total direct and overlapping debt 937,536,456$ 987,846,124$

N/A – Information not available

Note: Percentage of overlap based on assessed property values.

Source: 2019 DCED Reports for Cities, Boroughs, Townships, School Districts, and Audited FinancialStatements.


RATIOS OF GENERAL OBLIGATION BONDSOUTSTANDING AND LEGAL DEBT MARGIN

LAST TEN YEARSACCRUAL BASIS OF ACCOUNTING

2011 2012 2013 2014

Assessed value of property 11,327,397,410$ 11,376,259,228$ 13,796,831,745$ 13,870,861,149$Percentage of net debt to assessed value 0.72% 0.69% 0.52% 0.48%Population 280,985 280,646 280,294 278,443Net bonded debt per capita in dollars 291 279 258 237Debt limit 300% of average gross revenue 1,009,502,850 1,002,682,263 988,408,681 976,028,883

Amount of debt applicable to limit:General obligation bonds 83,660,000 80,168,026 74,725,107 68,260,983Less: resources restricted to paying debt service (1,780,995) (1,765,222) (2,345,613) (2,370,527)

Total net debt applicable to limit 81,879,005$ 78,402,804$ 72,379,494$ 65,890,456$

Legal debt margin 927,623,845$ 924,279,459$ 916,029,187$ 910,138,427$

Total net debt applicable to the limit as apercentage of debt limit 8.11% 7.82% 7.56% 6.75%

*Assessed value as of 12/31 of current year includes exonerations and additions.

Page 192

2015 2016 2017 2018 2019 2020

13,995,666,765$ 14,083,657,807$ 14,223,469,963$ 14,258,461,018$ 14,282,291,794$ 14,396,149,221$0.57% 0.50% 0.45% 0.39% 0.34% 0.28%

27,045 279,858 280,566 275,972 269,728 269,428288 254 226 202 178 147

975,556,650 1,002,891,717 1,042,585,418 1,075,484,016 1,092,193,977 1,131,762,555

81,137,555 73,420,895 65,799,727 58,202,198 50,309,668 42,152,138(1,154,360) (2,311,987) (2,366,233) (2,397,151) (2,427,785) (2,442,696)

79,983,195$ 71,108,908$ 63,433,494$ 55,805,047$ 47,881,883$ 39,709,442$

895,573,455$ 931,782,809$ 979,151,924$ 1,019,678,969$ 1,044,312,094$ 1,092,053,113$

8.20% 7.09% 6.08% 5.19% 4.38% 3.51%


DEBT STATEMENT PURSUANT TO LOCAL GOVERNMENT UNIT DEBT ACTAS OF DECEMER 31, 2020

Electoral Nonelectoral Lease Rental

Gross incurred debt:Bonds outstanding:

2005 G.O. Bond -$ 5,605,000$ -$2012 G.O Bond - 4,005,000 -2014 Erie County Convention Center Authority (guarantee only) - - 33,250,0002014 Erie County Convention Center Authority (guarantee only) - - 33,045,0002015 G.O Bond - 12,870,000 -2017 G.O Bond - 15,920,000 -

Total gross incurred debt - 38,400,000 66,295,000

Credits and exclusions:Less:

Sinking funds, reserve accounts, bond proceeds - 2,442,696 3,139,341Current appropriations - - -Uncollected special assessments - - -Delinquent taxes and liens - 6,449,813 -Surplus cash - - -Solvent debts due - - -Indemnifying insurance - - -Self-liquidating debt - - -

Total credits and exclusions - 8,892,509 3,139,341

Net indebtedness -$ 29,507,491$ 63,155,659$

Percentage of Legal Debt Limitation 0.00% 2.61% 4.19%

Aggregate principal amount of bonds or notes being issued orevidencing lease rental debt:

Pleasant Ridge Manor letter of credit -$

Page 194COUNTY OF ERIE, PENNSYLVANIABORROWING BASE CERTIFICATE

AS OF DECEMER 31, 2020

2018 2019 2020

Total revenue received 363,511,077$ 366,364,663$ 401,958,531$

Less:State and federal subsidies and reimbursements related to aparticular project financed by debt - - -Revenues, receipts, and assessments pledged for self-liquidating debt - - -Interest on moneys in sinking fund pledged for debt 27,956 29,549 14,211Grants and gifts-in-aid measured by construction ofspecific projects - - -Nonrecurring receipts - - -

Subtotals 363,483,121$ 366,335,114$ 401,944,320

Total net revenues 1,131,762,555$

Borrowing base - total net revenues divided by three 377,254,185$

Applicable debt limitations - nonelectoral (300%) 1,131,762,555$

Nonelectoral plus lease rentals (400%) 1,509,016,740$

DEMOGRAPHIC AND ECONOMIC INFORMATION


DEMOGRAPHIC AND ECONOMIC STATISTICSLAST TEN YEARS

Total Per CapitaPersonal Personal

Year Population (1) Income (2) Income (2) Public Private Total

2011 280,985 9,756,169$ 34,721$ 40,621 5,081 45,702

2012 280,646 10,291,569 34,671 40,343 5,515 45,858

2013 280,294 10,575,326 37,729 41,198 5,589 46,787

2014 278,443 10,636,535 38,200 39,604 5,860 45,464

2015 278,045 11,240,073 40,425 39,656 5,047 44,703

2016 279,858 11,259,431 40,764 39,249 5,282 44,531

2017 280,566 11,499,800 41,887 39,802 5,123 44,925

2018 275,972 12,216,339 44,903 38,556 5,738 44,294

2019 269,728 12,509,662 48,007 37,825 6,104 43,929

2020 269,428 * 51,529 36,436 4,128 40,564

School Enrollment (3)Elementary/Secondary

*Information not yet available.

Sources:(1) 2011-2020 PA Department of Labor and Industry(2) U.S. Department of Commerce, Bureau of Economic Analysis(3) PA Department of Education, Bureau of Information Systems(4) Erie Regional Chamber and Growth Partnership(5) Erie County Assessment Bureau

Page 197

Employed Unemployment Number ofPersons (4) Rate(4) Building Permits (5)

129,000 8.00% 2,596

128,500 8.20% 2,591

131,700 6.40% 2,593

131,200 5.50% 2,507

127,300 5.50% 2,424

125,300 6.60% 2,501

123,600 5.50% 2,534

125,400 4.70% 2,108

122,500 5.00% 2,616

114,900 8.80% 2,460


PRINCIPAL EMPLOYERSCURRENT YEAR AND TEN YEARS AGO

Percentage of Percentage of(B) Total County (C) Total County

Employer (A) Product or Service Employees Rank Employment Employees Rank Employment

Erie Indemnity Company Insurance 6,000 1 4.98% 4,300 2 3.20%UPMC Hamot Medical Center Health Related 3,526 2 2.93% 3,400 3 2.53%Wabtec US Rail Inc Locomotive Manufacturing 3,060 3 2.54% 5,300 1 3.95%Pennsylvania State Government State Government 3,050 4 2.53% 3,000 5 2.24%Wal-Mart Department/Grocery Store 3,025 5 2.51% 1,600 6 1.19%Saint Vincent Health Center Health Related 3,000 6 2.49% 3,000 4 2.24%United States Government Federal Government 2,200 7 1.83% 1,400 8 1.04%School District of the City of Erie Public Education 1,315 8 1.09% 1,300 9 0.97%County of Erie County Government 1,233 9 1.02% - - -Regional Health Services Health Related 1,200 10 - - - -Verizon Public Utility, Telephone Service - - - 1,200 10 0.89%

Total Total 27,609 21.92% 23,300 17.36%

December 31, 2020 December 31, 2011

(A) Source: Center for Workforce Information, Erie City Office Pennsylvania Department of Labor and Industry(B) 2020 Erie Regional Chamber and Growth Partnership(C) Erie County Planning Department generalization for relative comparison

OPERATING INFORMATION


FULL-TIME EQUIVALENT COUNTY GOVERNMENTEMPLOYEES BY FUNCTION/PROGRAM

LAST TEN YEARS

2020 2019 2018 2017 2016 2015 2014 2013 2012 2011Function/Program

General Government 297 293 155 154 152 151 163 97 89 91Courts and Court Related 247 267 255 257 251 250 267 284 296 295Corrections 153 185 310 311 296 291 292 277 278 290Community Service 330 325 309 315 314 287 301 310 303 303Library 98 65 65 62 59 56 83 66 65 65Public Health 108 72 64 67 64 64 64 64 69 71

Total 1,233 1,207 1,158 1,166 1,136 1,099 1,170 1,098 1,100 1,115

Source: County of Erie Workforce Report


OPERATING INDICATORS BY FUNCTION/PROGRAMLAST TEN YEARS

Function/Program 2020 2019 2018 2017 2016

General GovernmentReceipts written 9,946 10,667 14,780 11,161 10,265Checks written 26,035 27,849 39,450 42,172 32,615Purchase orders issued 2,437 2,698 2,506 2,587 2,231Ordinances and resolutions passed 195 190 199 211 235Entry for claims 20,994 21,793 12,588 11,786 11,744Licenses issued (fishing, hunting dog, doe, bingo) 29,049 30,387 31,146 33,760 33,575Building permits monitored 2,460 2,616 2,108 2,534 2,501Total taxable parcels 116,746 117,253 117,423 117,411 117,230Retired employees 4,882 5,170 4,898 4,904 4,829Pension fund transactions processed 52 59 56 53 47Full-time employees 272 424 334 290 312Part-time employees 1,200 1,162 1,158 1,166 1,136Deeds, mortgages, other recorded 43 45 49 55 60Coroner cases 28,400 27,105 26,823 28,210 28,543Autopsies performed 695 610 594 617 580Discharged military personnel registered with Veterans Affairs 86 73 111 109 107Bids received and opened 172 260 226 229 240Special audits conducted 45 26 48 51 46Fraud hotline calls received 15 15 15 15 15

8 19 9 8 12

Courts and Court Related:New criminal cases: 2,627 3,139 3,305 3,808 3,809

Jury trials 28 51 73 109 91Non-jury trials 6 19 23 13 18

Criminal sentencing 2,320 787 920 2,125 2,526New civil cases: 1,203 1,530 2,952 2,968 2,608

Jury trials - 1 5 3 9Non-jury trials 4 4 18 20 8

Traffic citations (in thousands) 20,249 25 26 29 24Summary offenses (in thousands) 472 8 1 2 2Civil cases filled (in thousands [District Justice Offices]) 2,084 3 3 3 2Criminal cases filed (in thousands [District Justice offices]) 4,559 5 5 5 5New support petitions filed 230 2,028 1,885 2,149 2,403Modified petitions filed 66 1,876 1,907 1,981 2,164Support court hearings 70 5,932 6,780 5,872 6,688Contempt court hearings 257 343 327 347 375Support Contempt court hearings 595 1,372 1,281 1,067 1,430Support collections (in millions) 31 31 32 32 35Warrants processed 2,243 3,304 3,209 2,784 2,664Civil papers served 2,511 5,540 12,410 12,322 13,992Sheriff sales 153 776 407 439 432

Page 202

2015 2014 2013 2012 2011

10,866 10,818 12,848 11,889 10,73051,166 43,063 42,564 44,246 44,1202,901 3,034 2,937 3,003 2,925

223 253 209 205 19612,251 12,576 12,570 12,094 12,05534,408 28,202 38,026 30,915 29,0642,424 2,507 2,593 2,591 2,596

117,489 117,489 117,805 117,761 117,8764,740 4,701 4,812 4,789 4,651

65 56 47 43 44335 334 272 294 378

1,099 1,108 1,098 1,100 1,11560 62 61 61 61

28,561 28,055 3,356 35,316 31,397531 530 486 475 438131 111 124 149 137312 199 132 164 7650 36 34 33 5314 13 7 7 426 15 17 17 10

3,397 3,323 3,484 3,446 3,24291 97 98 106 9931 26 22 21 20

2,869 2,822 2,650 2,571 2,5632,646 2,676 2,097 2,217 3,737

8 10 8 13 96 15 11 10 11

25 25 26 26 -9 9 11 13 122 2 3 4 65 5 5 6 6

2,496 2,508 2,913 3,412 3,6682,215 2,306 2,232 1,851 1,8617,256 6,300 6,997 6,632 7,820

323 337 58 339 3111,169 1,422 2,346 1,768 1,454

36 38 40 41 402,556 1,857 1,624 1,145 1,702

13,555 13,070 14,003 14,957 11,336412 441 1,178 1,074 956

Page 203


Corrections:Adult probation caseloads 4,306 4,820 4,746 3,723 3,457Delinquency petitions 421 606 605 615 509Delinquents in placement 56 74 73 81 89

Community Service:Agricultural easement purchase 7 - 4 1 5Land use reviews 198 221 194 179 207Subdivision and land development reviews 187 194 204 180 199HPMS sample section field reviews 131 132 131 132 132Local bridge inspection program inspections and traffic courts 31 31 29 111 74Calls received at Emergency 911 center 129,668 133,874 134,566 130,112 134,232Drug and alcohol general admissions/completed screenings 3,325 3,105 3,221 3,480 3,954Drug and alcohol clients authorized 3,282 2,999 2,904 3,137 3,564Drug and alcohol treatment providers 21 19 20 21 21Children and youth abuse referrals 1,225 1,568 1,436 1,371 1,342Children and youth intake evaluations 4,443 4,321 4,133 3,589 3,422Children and youth placements 871 922 717 663 632Mental health/intellectual disabilities clients in various programs 16,570 16,771 16,753 17,465 15,743Cost of mental health/intellectual disabilities services (in millions) 25 58 59 59 58HealthChoices members in various programs 17,699 18,106 18,159 17,962 17,423Costs of HealthChoices services (in millions) 72 80 77 74 73

Library:Bookmobile circulation 14,143 19,454 18,017 23,540 19,300Main library circulation 292,957 488,238 515,225 543,012 557,855Branch library circulation 425,661 618,787 621,738 640,803 659,222

Public Health:Immunization client visits 100 774 793 1,279 1,375Sexually transmitted disease client visits 194 760 861 882 923Tuberculosis client visits 608 865 1,459 1,485 1,498

636 1,001Nursing Home: 61 448

Nurse Family Partnership client visits 196 252 1,294 1,183 1,297Maternal child health client visits 571 571 708 511Average daily census in nursing home 27 27 276 274

Page 204

2015 2014 2013 2012 2011

3,170 3,052 3,033 3,023 2,914596 643 896 980 1,157104 106 100 122 124

1 3 - 1 3202 260 247 243 246340 340 155 167 168134 134 133 134 132142 91 152 83 153

143,897 169,052 172,596 188,273 172,6803,731 3,948 4,124 3,986 4,2433,636 3,559 3,644 3,210 6,211

19 16 16 15 131,345 952 856 782 8423,267 2,704 2,711 2,578 1,697

649 607 515 461 50719,766 19,609 17,971 19,556 20,919

56 54 51 53 5416,037 14,754 14,564 13,908 13,283

70 68 59 62 63

19,359 14,952 22,529 24,736 25,209562,757 590,724 610,852 660,588 700,691669,976 676,990 685,543 68,484 642,524

856 1,141 870 1,766 2,0105,495 503 1,559 1,901 2,079

813 2,329 3,275 3,124 3,289

1,286 1,231 1,387 1,603 1,456517 736 695 708 752307 346 337 334 332


CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAMLAST TEN YEARS


General Government:Buildings 4 4 4 4 4Square footage 218,218 218,218 204,943 204,943 204,943Vehicles 119 119 32 9 9

Courts and Court Related:Sheriff vehicles 26 26 26 28 25Sheriff search and rescue boat 0 0 0 0 0Other department vehicles 10 0 1 1 1

Corrections:Prison facilities 2 2 2 2 2Square footage 202,123 202,123 205,720 205,720 205,720Number of beds 692 692 692 692 692Prison vehicles 8 4 2 6 6Juvenile Detention center square footage 11,194 11,194 11,704 11,704 11,704Juvenile Detention center beds 20 20 20 20 20Probable vehicles 16 16 15 15 15

Community Service:Human Services building 1 1 1 1 1Square footage 56,784 56,784 39,844 39,844 39,844Emergency management vehicles 34 35 10 12 12Emergency management watercraft 0 0 0 3 3Dependent shelter square footage 7,462 7,462 7,462 7,462 7,462Depended shelter beds 8 8 8 8 8

Public Health:Buildings 2 2 2 2 2Square footage 25,050 25,050 27,168 27,168 27,168Health Department vehicles 4 4 2 3 3

Nursing Home:Number of nursing homes* 1 1 1 1 1Combined nursing home square footage 194,552 194,552 194,552 194,552 194,552Average number of beds* 300 300 300 300 300

Library:Blasco Memorial Library 1 1 1 1 1Blasco square footage 166,446 166,446 158,200 158,200 158,200Branch libraries 4 4 4 4 4Combined branch square footage 25,526 25,526 25,249 25,249 25,249Library vehicles 2 3 3 2 2

Sources: County of Erie Operation Department and Pleasant Ridge Manor

*Pleasant Ridge Manor (closed to East location in 2015) is a blended component unit.*Bed counts change on specific dates, making it necessary to take available bed days divided by days inthe year to determine an annual average number of beds.

Page 206

2015 2014 2013 2012 2011

4 4 4 4 4204,943 204,943 204,943 204,943 204,943

9 9 7 6 6

25 25 25 28 280 0 0 0 01 11 14 16 17

2 2 2 2 2205,720 205,720 205,720 205,720 205,720

692 692 690 690 6906 6 6 5 5

11,704 11,704 11,704 11,704 11,70420 20 20 20 2015 15 14 14 11

1 1 1 1 139,844 39,844 39,844 39,844 39,844

12 12 12 12 183 3 3 3 3

7,462 7,462 7,462 7,462 7,4628 8 8 8 8

2 2 2 2 227,168 27,168 27,168 27,168 27,168

3 3 5 6 6

1 2 2 2 2194,552 237,287 237,278 237,278 237,278

300 388 388 388 388

1 1 1 1 1158,200 158,200 158,200 158,200 158,200

4 4 4 4 425,249 25,249 25,249 25,249 25,246

2 2 2 4 4


SALARIES OF PRINCIPAL COUNTY OFFICIALSAS OF DECEMBER 31, 2020

SalaryElected Officials:

Council Chairman (part-time) Andre Horton 10,578$Council Members (part-time) Carl Anderson 10,078

Scott Rastetter 10,078Kimberly Clear 10,868Brian Shank 10,868Mary Rennie 10,868Ellen Schauerman 10,868

County Executive Kathy Dahlkemper 101,959County Controller Kyle Foust 73,138District Attorney Jack Daneri 185,665Sheriff John Loomis 76,395Coroner Lyell P. Cook 76,138Clerk of Records Kenneth Gamble 81,241Common Pleas Judge John J. Trucilia, PJ Paid by Commonwealth

Erin C. Connelly Paid by CommonwealthJohn J. Mead Paid by CommonwealthElizabeth K. Kelly Paid by CommonwealthDaniel J. Brabender Jr. Paid by CommonwealthStephanie Domitrovich Paid by CommonwealthJoseph M. Walsh III Paid by CommonwealthMarshall J. Piccinini Paid by CommonwealthDavid G. Ridge Paid by Commonwealth

District Justices 13 Total Paid by Commonwealth

Officials Appointed by County Executive:Director of Administration Gary Lee 92,118$Director of Finance James Sparber 92,333Director of Personnel Sabrina Fischer 87,750County Solicitor (part-time) Richard Perhacs 50,794Public Defender Patricia Kennedy, Esq. 101,731Assistant Public Defenders 8 Full Time 10 Part Time 916,346

Employees:

45,566$

123,185

Pleasant Ridge Manor:

42,472$

The County employs an average of 1,200 full-time equivalents employees (calculatedby dividing total paid hours by 37.5 hours work week), including those describedabove, at an average annual compensation of:

The highest paid non-elected employee is the Senior Solicitor of the Office of Childrenand Youth Services at:

Employee compensation is determined in accordance with the County PersonnelCode, Pay Plan, and Bargaining agreements.

Pleasant Ridge Manor employs an average of 292 full-time equivalent employees(calculated by dividing total paid hours by actual hours paid as appropriate for eachpay class) at an average annual compensation of:


COLLECTIVE BARGAINING AGREEMENTSAS OF DECEMBER 31, 2020

Employees Expiration Date of CurrentCollective Bargaining Unit Represented Collective Bargaining Agreement

AFSCME Clerical & Technical 290 December 31, 2022AFSCME Professional 79 December 31, 2022PSSU Prison Employees 151 December 31, 2022PSSU Children & Youth Supervisors 26 December 31, 2022PSSU Caseworkers 109 December 31, 2022Erie Court Assoc. of Professional Employees 109 December 31, 2022Erie County Detective's Association 9 December 31, 2022

Total Represented Employees 773

Source: Erie County Department of Human Resources Labor Report

Documents

COUNTY OF ERIE,