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PINELLAS COUNTY, FLORIDA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For the fiscal year ended September 30, 2015
BOARD OF COUNTY COMMISSIONERS CONSTITUTIONAL OFFICERS
District 1 Clerk of the Circuit Court & Janet C. Long Comptroller
Ken BurkeDistrict 2
Property AppraiserDistrict 3
Charlie Justice
District 4 Sheriff
District 5Karen Williams Seel Supervisor of Elections
Deborah ClarkDistrict 6
John MorroniTax Collector
District 7 Diane NelsonKenneth T. Welch
County Administrator, Mark WoodardChief Deputy Director, Finance Division, Claretha N. Harris
Prepared by: Clerk to the Board of County Commissioners, Ken Burke, Finance Division
Pam Dubov
document please contact the Finance Division at (727)464-8300.Pinellas County complies with the Americans with Disabilities Act. To obtain accessible formats of this
Bob Gualtieri
Pat Gerard
Dave Eggers
This page intentionally left blank.
I: INTRODUCTORY SECTION
· TABLE OF CONTENTS
· LETTER OF TRANSMITTAL
· CERTIFICATE OF ACHIEVEMENT FOR
EXCELLENCE IN FINANCIAL
REPORTING
· ORGANIZATION CHART
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14
BASIC FINANCIAL STATEMENTS:
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323436373941
7576777879
INTRODUCTORY SECTION
COMPREHENSIVE ANNUAL FINANCIAL REPORTPINELLAS COUNTY, FLORIDA
Year ended September 30, 2015
TABLE OF CONTENTS
FINANCIAL SECTION
TABLE OF CONTENTS …………………………………………………………………………………………………………LETTER OF TRANSMITTAL (Unaudited) ……………………………………………………………………………………GFOA CERTIFICATE OF ACHIEVEMENT ……………………………………………………………………………………ORGANIZATION CHART ………………………………………………………………………………………………………
Balance Sheet – Governmental Funds …………………………………………………………………………….…... Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position ………………………………………………………………………………….…
Statement of Revenues, Expenditures and Changes in Fund Balances – Governmental Funds ………………………………………………………………….………… Reconciliation of the Statement of Revenues, Expenditures and Changes
INDEPENDENT AUDITOR’S REPORT ………………………………………………………………………………………MANAGEMENT’S DISCUSSION AND ANALYSIS (Unaudited) ……………………………………………………………
GOVERNMENT–WIDE FINANCIAL STATEMENTS Statement of Net Position …………………………………………………………………………………………… Statement of Activities …...…………………………………………………………………………………………… FUND FINANCIAL STATEMENTS
Budget and Actual – Emergency Medical Services ...………………………………………………………..….. Statement of Fund Net Position - Proprietary Funds ……………………………………………………………..…..… Statement of Revenues, Expenses and Changes in Fund Net Position – Proprietary Funds ...……………………………………………………………………………………….…..… Statement of Cash Flows - Proprietary Funds ………………………………………………………………..………. Statement of Fiduciary Net Position - Fiduciary Funds ………………………………………...……………..……….
in Fund Balances of Governmental Funds to the Statement of Activities ……………………………………….... Statement of Revenues, Expenditures and Changes in Fund Balances Budget and Actual – General Fund …………………………………………………………………….……….. Statement of Revenues, Expenditures and Changes in Fund Balances Budget and Actual – Sheriff's Operations ..………………………………………………………………..…….. Statement of Revenues, Expenditures and Changes in Fund Balances
Statement of Net Position - Component Units ………………………………………………………………....……… Statement of Activities - Component Units ……………………………….…………………………….………..…… NOTES TO FINANCIAL STATEMENTS ………………………………………………………………….……..REQUIRED SUPPLEMENTARY INFORMATION Schedule of Funding Progress - County Postemployment Healthcare Benefits Plan …………………………….…….… Schedule of Primary Government's Proportionate Share of Net Pension Liability - Last Ten Fiscal Years …………………
Schedule of Primary Government's Contributions - Last Ten Fiscal Years …………………………..………………... Schedule of Component Units' Proportionate Share of Net Pension Liability - Last Ten Fiscal Years ……………………
Schedule of Component Units' Contributions - Last Ten Fiscal Years …………………………..……………………..
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Combining Statement of Revenues, Expenditures and Changes 88
Schedules of Revenues, Expenditures and Changes in Fund 94
125 Combining Statement of Revenues, Expenditures and Changes
126 Schedules of Revenues, Expenditures and Changes in Fund
127 Schedules of Revenues, Expenditures and Changes in Fund
128129133135
Combining Balance Sheet – Agency Funds ……………………………………………………………………………… 137139
STATISTICAL SECTION (Unaudited)
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156158160161
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165165166166167
Balances – Budget and Actual – Non-Voted Capital Projects Fund …………………………………..……………… Combining Statement of Net Position - Internal Service Funds ………………………………………………...………… Combining Statement of Revenues, Expenses and Changes in Net Position - Internal Service Funds ……...…………. Combining Statement of Cash Flows – Internal Service Funds ………………………………………………….....…….
in Fund Balances – Nonmajor Special Revenue Funds …………………………………………...………………...…
Balances – Budget and Actual – Nonmajor Special Revenue Funds ……………………………..………...…………
in Fund Balances – Nonmajor Capital Projects Fund …………………………………….…………...………………
PINELLAS COUNTY, FLORIDACOMPREHENSIVE ANNUAL FINANCIAL REPORT
Year ended September 30, 2015
TABLE OF CONTENTS
Combining Balance Sheet - Nonmajor Capital Projects Fund ………………………………………………….…………
Balances – Budget and Actual – Nonmajor Capital Projects Fund ……………………………….…..………………
COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES Combining Balance Sheet - Nonmajor Governmental Funds …………………………………………………...…...…… Combining Statement of Revenues, Expenditures and Changes in Fund Balances – Nonmajor Governmental Funds ……………………………………………….....….…………… Combining Balance Sheet - Nonmajor Special Revenue Funds ……………………………………………………...……
Combining Statement of Changes in Assets and Liabilities – Agency Funds ………………………………….…………
Financial Trend Information Schedule 1 – Net Position By Component – Last Ten Years………………………………………………………..…….
Schedule 11A – Sewer System Revenue Bond Coverage – Last Ten Years ……...…………………….……...……….. Schedule 11B – Solid Waste System Revenue Bond Coverage – Last Ten Years ……...…………………...………….. Schedule 11C – Second Guaranteed Entitlement Revenue Bond Coverage – Last Ten Years ……...……….………….. Schedule 11D – Capital Improvement Revenue Bond Coverage – Last Ten Years ……...……...…….. Schedule 11E – Transportation Improvement Revenue Bond Coverage – Last Ten Years ……...…..…..
Schedule 7 – Principal Property Taxpayers – 2015 and Nine Years Ago ………….………………………....…………. Schedule 8 – Property Tax Levies and Collections – Last Ten Years .…………………….……………………..………Debt Capacity Information Schedule 9 – Ratio of Outstanding Debt By Type – Last Ten Years ……………...…………………….………...…….. Schedule 10 – Ratio of Net General Bonded Debt Outstanding – Last Ten Years .……………………….….………….. Schedule of Revenue Bond Coverage:
Schedule 2 – Changes in Net Position – Last Ten Years………………………………………………...….……...…….. Schedule 3 – Fund Balances of Governmental Funds – Last Ten Years………………………………….……...……….. Schedule 4 – Changes in Fund Balances of Governmental Funds – Last Ten Years .…………………….……..……….Revenue Capacity Information Schedule 5 – Assessed Value and Estimated Actual Value of Taxable Property – Last Ten Years .…...……….……….. Schedule 6 – Direct and Overlapping Property Tax Rates – Last Ten Years .…………….…………….……...………..
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Independent Auditor’s Report on Internal Control Over Financial Reporting and on Compliance and
174
of Federal Awards, State Financial Assistance and Schedule of Receipts and Expenditures of Funds
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Demographic and Economic Information
Schedule 13 – Principal Employers – Current Year and Nine Years Ago ………….…………………….……..………..
Schedule 15 – Operating Indicators By Function/Program – Last Ten Years .…...………………………………...…….
SINGLE AUDIT SECTION
Chapter 10.550, Rules of the Auditor General ………………………………………………………………………...……………
Management Letter ……………………………………………………………………………………………………..………..Independent Accountant's Report on Compliance With Section 218.415, Florida Statutes ……………………………………Independent Accountant's Report on Compliance With Section 218.8017, Florida Statutes and Public law 112-141 (33 U.S.C.A. SS. 1321 (T)); State or Local Grants; and Moneys Received Directly From British Petroleum………………………………………………………………………….Independent Accountant's Report on Compliance With Section 365.173, Florida Statutes ……………………………..
Related to the Deepwater Horizon Oil Spill as Required by OMB Circular A-133 and
Schedule of Expenditures of Federal Awards and State Financial Assistance ……………………………………..……………Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance ………………………………...……….Schedule of Receipts and Expenditures of Funds Related to the Deepwater Horizon Oil Spill ..………………….………..……Notes to Schedule of Receipts and Expenditures of Funds Related to the Deepwater Horizon Oil Spill ………….……..………Schedule of Findings and Questioned Costs - Federal Awards and State Financial Assistance .…………………….……………
Schedule 16 – Capital Asset and Infrastructure Statistics By Function/Program – Last Ten Years .…………….…….…
Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ……………………………………………………………………………………………..………..Independent Auditor’s Report on Compliance For Each Major Federal Program and State Financial Assistance Project; Report on Internal Control Over Compliance; and Report on the Schedule of Expenditures
COMPREHENSIVE ANNUAL FINANCIAL REPORTYear ended September 30, 2015
TABLE OF CONTENTS
Schedule 12 – Demographic and Economic Statistics – Last Ten Years .…...…………………………………...……….
Schedule 14 – Employment Statistics By Function – Last Ten Years ….………………….…………….………...……..Operating Information
PINELLAS COUNTY, FLORIDA
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economic development, social and human services, cultural and recreational services, and water, sewer/reclaim and
solid waste services.
The fiscal year for County Government begins October 1st and ends September 30th. The annual budget serves as the
basis for Pinellas County’s financial planning and control and represents the combined efforts of the Board,
Constitutional Officers, Judiciary, Independent Agencies and Departments under the County Administrator. The budget
process focuses on conservative use of tax dollars while still providing the highest level of service to our citizens.
Budget to actual comparisons are provided in these financial statements for each governmental fund that has an
appropriated annual budget. The County maintains budgetary controls to ensure compliance with legal provisions
embodied in the annual appropriated budget approved by the Board. The level of budgetary control (that is, the level at
which expenditures cannot legally exceed the appropriated amount) is established at the department level under three
categories: 1) personal services, operating expenditures, capital outlay and grants combined, 2) debt service and
3) other non-operating expenditures (transfers, etc) within an individual fund. The County is financially accountable
for the following legally separate entities that are reported in the accompanying basic financial statements as
component units: Pinellas County Planning Council, Pinellas County Metropolitan Planning Organization, Pinellas
County Health Facilities Authority, Pinellas County Housing Finance Authority and Pinellas County Educational
Facilities Authority. Additional disclosures related to these entities are included in the notes to the financial statements.
As demonstrated by the statements and schedules included in the financial section of this report, the County continues
to meet its responsibility for sound financial management.
Factors Affecting Financial Condition To enhance the understanding of the information presented in the financial statements, the reader should consider the
economic environment the County operates within.
Local Economy
Pinellas is an urban county located on the western coast of Florida, on a peninsula, bounded on the east by Tampa Bay
and on the west by the Gulf of Mexico. Pinellas County’s population density is the highest of all sixty-seven Florida
counties. The County is also the second smallest in land mass
in Florida; measuring up to thirty-eight miles long and fifteen
miles wide. The sparkling water of the Gulf of Mexico, award
winning beaches, stunning sunsets and balmy weather make
Pinellas an inviting destination for visitors and home to a
diverse population of residents.
Pinellas County offers an abundance of leisure and recreational
activities for residents and visitors year round. Baseball is one
of Pinellas County’s favorite attractions as the proud home of
the major league baseball team, the Tampa Bay Rays in St.
Petersburg. Both the Philadelphia Phillies and the Toronto
Blue Jays maintain their spring training quarters in Pinellas
County in the cities of Clearwater and Dunedin. With the
County surrounded on three sides by water, opportunities for
fishing, boating and outdoor park activities are plentiful.
St. Petersburg and Clearwater beaches continually earn accolades for their white soft sand, sparkling blue waters and
activities to delight beachgoers of all ages and interest. Clearwater Beach was named number 1 in the U.S. on
TripAdvisor's list of Top Beaches for 2016 and the only beach in America to make TripAdvisor's list of Top 25 in the
World. St. Pete Beach was also honored, coming in at number 4 on the best beach spots found in the U.S. St.
Petersburg\Clearwater was the only destination in Florida to have two beaches in the Top 25, which is based on millions
of travelers’ reviews on TripAdvisor.com. The readers of USA Today, ranked four area beaches, Clearwater Beach,
Pass-A-Grille, Fort De Soto Park and Caladesi Island State Park) in its Top 10 in Florida.
Fort De Soto Park
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In 2015 two of the area's beaches were named to the TripAdvisor
Travelers' Choice Awards Top 25 U.S. Beaches. St. Petersburg
Beach checked in at number 1 and Clearwater Beach at number 8,
making St. Petersburg/Clearwater the only destination in America
with two beaches in the Top 10 of Trip Advisor’s Travelers’
Choice Awards. Fort De Soto Beach was named by USA Today -
Best Beach for Families and Best Hidden-Gem Beach in 2014.
Our Fort De Soto Park is much more than a beach, but part of the
area’s boating community, covering five islands and 1,136 acres
on the Gulf of Mexico and Tampa Bay, offering activities and
amenities for entertainment for all ages.
Pinellas County’s offerings of art, culture and history are rich and plentiful, from Tarpon Springs to St. Petersburg and
from the shores of the Tampa Bay to the Gulf beaches. The region is rich in fine art venues for art novices to
aficionados. One of the biggest draws is the Dali Museum in downtown St. Petersburg. Another appealing stop is the
Chihuly Collection at the Morean Arts Center. The Museum of Fine Arts in St. Petersburg features works of art from
classic to contemporary. Tarpon Springs offers art and history museums, one of which is the Tarpon Springs Heritage
Museum chronicling the town’s development into a Greek enclave.
The Clearwater Marine Aquarium, home of Winter the Dolphin featured in the movies, Dolphin Tale and Dolphin Tale
2 was awarded USA Today’s 2013 Best Florida Attraction. The PGA
TOUR’s Valspar Championship is played at Innisbrook in Palm Harbor.
Dunedin is known for its Scottish heritage and annual highland games. The
Florida Botanical Gardens’ exhibits of native flora and fauna can be seen at
Pinewood Cultural Park. Heritage Village and Fort De Soto Park provide a
glimpse of Pinellas County’s cultural history. No matter where you visit
while on vacation in the St. Petersburg/Clearwater area, you’ll get a glimpse
of authentic Florida. Many other cultural, historical, and entertainment
destinations in the local area can be found at
http://www.visitstpeteclearwater.com/ .
The County is one of the most popular tourist destination on the Gulf of Mexico, drawing 13 million tourists annually,
including more than 5 million overnight visitors. Tourism is a key economic driver of the economy in Pinellas County
and contributed direct and indirect visitor
expenditures of approximately $8.5 billion during
calendar year 2014 (source: Research Data Services,
Inc.) Tourism growth continues on a steady upward
trend. Bed tax collections were 12.2 percent higher
than the prior fiscal year, outpacing growth in the
overall economy. The County’s visitors come from
within the state, throughout the United States,
Canada, Europe and Latin America. An exciting
draw for tourism is the Firestone Grand Prix, hosted
in St. Petersburg each year since 2009. This year the
weekend event held during spring break will include
IndyCar Series, Indy Lights and American Le Mans
professional automobile racing on the streets and
downtown waterfront of St. Petersburg, concerts,
airshows, drifting exhibitions, family entertainment,
kids rides, exhibits and more.
Best Hidden Gem Beach
Sea Life - Clearwater Marine Aquarium
Firestone Grand Prix of St. Petersburg
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Two Fortune 500 technology manufacturers, Jabil Circuit and Tech Data Corporation are headquartered in the County.
Pinellas has diverse, yet mutually beneficial, industry clusters, including aviation/aerospace; defense/national security;
medical technologies; business and financial services; and information technology. An extensive network of suppliers,
service-providers and business associations support operations in these sectors. The County encourages innovation, and
with industry giants Home Shopping Network (HSNi), Nielsen, ValPak and Catalina Marketing, it is rapidly becoming
Florida’s hub for big data. Through relationships with major universities and high-tech institutes, Pinellas has become a
center for research and development in marine science, electronic instruments, medical devices, sensors,
nanotechnology and health care. The County is home to numerous business accelerators, like the Tampa Bay
Innovation Center and Gazelle Lab, which are committed to nurturing and building new ventures. As a built-out
county with limited space for business expansion, it is crucial that Pinellas’ economic development efforts focus on
industries poised for growth that create high-wage careers. Economic Development targets the expansion of business
in the fields of advanced manufacturing, aviation and aerospace, business and financial services, defense and national
security, information technology, life sciences and medical technologies. The graph of employment by industry in the
County below was provided by the Economic Development Department.
Anchored by the urban cities of St. Petersburg and
Clearwater, Pinellas has the second largest base of
manufacturing employment in Florida, and more
manufacturing employment than Hillsborough, Pasco
and Hernando counties combined. This results in
excellent availability of a quality workforce in
engineering, production, research and management of
manufacturing firms, as well as an extensive network of
suppliers, service-providers, joint venture partners and
business associations to support target industry
operations.
Long-term Financial Planning
Every Florida local government must prepare a comprehensive plan for managing growth, providing vital services and
protecting the environment. Pinellas County’s Comprehensive Plan incorporates elements to address such issues as
future land use, transportation, natural historic and cultural resources, environmental management, housing,
intergovernmental cooperation, water supply, recreation and open space, etc. An updated Countywide plan was
adopted in August 2015. The emphasis and theme is the need to plan appropriately today in order to maintain a
sustainable future, and a quality community where people will Plan to Stay.
The Board has developed a strategic plan to enable the most efficient and effective use of public resources, provide the
highest quality customer service, and create a supportive, rewarding work environment. The plan incorporates five
strategic goals:
Create a Quality Workforce in a Positive, Supportive Organization
Ensure Public Health, Safety, and Welfare
Practice Superior Environmental Stewardship
Foster Continual Economic Growth and Vitality
Deliver First Class Services to the Public and our Customer
These five goals reflect the elements of sustainability (Social, Environmental, and Economic), align with the Board’s
values (Respect; Partnerships; Environment; Infrastructure; Transparency; Diversity; Safety; and Workforce Growth
and Development), and contribute to the ability to fulfill the Board’s mission.
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Each of the five goals is supported by strategies also set by the Board. Underlying the goals and strategies are the day-to-
day work of the organization focused on doing things to serve the public or “Doing Things”. In most cases, the “Doing
Things” are set by the County Administrator working with the departments and are tightly associated with a strategy or
represent a priority initiative of the Board. Some of the tasks will likely change periodically in response to shifting
strategies and as work plans are adapted to find the best approach and solution. It is important to note that while the tasks
identified in the strategic plan focus mostly on new, substantial, or priority initiatives.
Finally, in order to determine success in accomplishing goals, outcomes and results must be measured. Each goal will
have a series of key measures to be monitored and reported on. The Strategic Performance Management team within the
Office of Management and Budget is facilitating efforts with each department to define alignment with strategies,
document a comprehensive list of “Doing Things”, and develop key measures that will demonstrate performance. In
summary, the County is committed to high standards of quality service, respectful engagement, and responsible
resource management. Every aspect of the strategic plan serves to fulfill these standards.
The County is a founding member of the Florida Benchmarking Consortium (FBC), a collaboration of 50 Florida cities
and counties seeking to improve upon or implement performance measurement programs. The County uses program-
based budgeting to help carry out planning, budgeting, administrative control, and reporting within a program
framework. This approach sets programs as the basis for budget appropriations instead of line items and focuses on
the expected results of services and activities in the context of the County’s strategic priorities. Stratifying the
departmental budgets into programs has been a useful tool during the last several budget cycles. Program budgeting
has enhanced transparency to users, provided enhanced management information, control, and accountability, and
provided clear linkages between the budget and strategic priorities.
Pinellas County uses a six-year budget framework in developing the budget. The six-year budget framework
incorporates the most recent audited financial information, actual activity to date and projections of future events. The
out-years through 2021 are forecasted using various projection methods such as trend analysis, linear regression and
moving averages. These projections also incorporate key assumptions in addition to unknown risks that could
potentially affect the forecast. This framework benefits decision-makers in assessing the long-term financial
sustainability of the County’s funds and understanding the impact of today’s decisions on the future.
Major Accomplishments
General Government
Pinellas County’s – “Doing Things for You” mobile app gained top honors for innovation in
2015 from the Public Technology Institute (PTI) (www.pti.org). The new app was recognized
with the 2015 PTI Solutions Award. The app allows citizens to report issues in the community
on their mobile device with the swipe of a finger, a simple solution that helps the County
quickly receive and respond to service requests, allowing the County, municipalities and the
Florida Department of Transportation to identify and address everything from potholes to
flooding.
Pinellas County has also been designated as a 2015-2017 Citizen-Engaged Community by PTI.
The jurisdictions designated as citizen-engaged communities were noted as demonstrating
impressive accomplishments through innovative processes for citizen participation in local
government, strategic use of integrated communication channels and technology and the
application of meaningful performance metrics. The County was also
awarded with the Tech Savvy designation. Designation as a PTI Tech
Savvy Government has two main themes: 1) To recognize governments
who meet the criterion developed by PTI that represent a “culture” of
excellence through technology governance and practices across the
enterprise. 2) To highlight enterprise–wide technology policy and program achievements of
PTI member jurisdictions to others, including associated professionals and other associations.
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The Clerk of the Circuit Court and Comptroller’s Office continued to promote its Spending in the Sunshine financial
transparency website. The website goes beyond state standards and actually surpasses the level of transparency many
governmental offices offer, centered on the public’s right to open government. With this site, expenditure information
is just a click away on the Clerk’s webpage (www.mypinellasclerk.org) through a tab titled “Spending in the
Sunshine.” The National Association of Counties (NACo) chose the Spending in the Sunshine website, created by the
Pinellas County Clerk of the Circuit Court and Comptroller office, as a recipient of the 2014 Achievement Award in the
category of Civic Education and Public Information.
The North County Branch of the Pinellas County Clerk’s office received a high honor from the U.S. Department of
State Miami Passport Agency. An Acceptance Facility Oversight Program compliance visit was conducted and the
branch earned a perfect score. The certificate honors exemplary service to the community and the U.S. Department of
State, Passport Services, through the conscientious execution of passport applications, excellence in customer service
and commitment to measures that ensure the integrity of the U.S. passport. The Clerk’s office is part of a small group
of Passport Application Acceptance Facilities to receive a perfect score on the Acceptance Facility Oversight Program
“Acceptance Facility Review Report”.
Public Safety
The new Public Safety Complex consolidated multiple
agencies and saves tax payers approximately $300,000
while providing Category 5 hurricane-hardened
facilities for centralized 9-1-1 communications, Fire
and Emergency Medical Services dispatch, Sheriff’s
administration and fleet management, Emergency
Management and the Emergency Operations Center.
The Regional 9-1-1 Center answers close to 900,000
calls each year with more than 500,000 of them being
9-1-1 calls. Current statistics show more than 90
percent of 9-1-1 calls are answered within 10 seconds.
The County established new five-year agreement for paramedic first responder services with all municipalities and fire
districts, maintaining previous levels of service in a financially sustainable fashion. Pinellas County is on the leading
edge of emergency medical care, and has become the model for emergency medical service (EMS) providers
throughout Florida and around the world.
Emergency Medical Services was one of four EMS systems in Florida to be awarded a 2015 Mission: Lifeline EMS
Gold Level Recognition Award from the American Heart Association from
the American Heart Association. The award recognizes the EMS team for
implementing quality improvement measures to rapidly identify, treat and
transport heart attack patients.
The Emergency Management Department developed the Storm Surge
Protector web application to allow citizens to easily visualize the deadly
effects of storm surge. The app was developed to drive home the message
that the greatest danger to people during a hurricane is not wind, but the
onrushing waters of storm surge, reinforcing the need to evacuate when an
order is given. The app won the Governor’s Hurricane Conference 2015
Innovation Award.
Public Safety Complex
Sunstar Ambulance Service
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Economic Environment
The Tampa Bay area continues to lead the state in job creation, adding 41,400 jobs last year and boasting an
unemployment rate of 4.4 percent beating the national unemployment rate of 5.0 percent. Economic Development
partnered with Tampa-Hillsborough Economic Development Corporation to create a strong regional approach for local
businesses seeking to export their products and services and create new jobs.
The County is dedicated to developing its workforce through recruitment and retention of a diverse and talented pool of
employees and by expanding opportunities for workforce growth and development. The Board adopted a minimum
pay threshold of $12.50 per hour for all full-time, permanent Board employees. This threshold, which exceeds federal
minimum wage standards, is intended to facilitate maintaining a fair and competitive compensation package and to
attract and retain a diverse and talented workforce. In support of the “Ban the Box” initiative, the County approved the
elimination of the question regarding conviction history from employment applications, thereby giving all applicants an
equal opportunity to compete.
The recently approved South St. Petersburg Redevelopment Plan will allow future property tax revenue to be set aside
to tackle poverty and blight conditions, creating new economic vitality in this historically underserved area. The first
Community Redevelopment Area in unincorporated Pinellas has also been established in Lealman.
On July 13, 2015, the Board approved a settlement agreement with British Petroleum and others for claims resulting
from the Deepwater Horizon Oil Spill. The $7.1M received was deposited in the General Fund pending future Board
decisions on the use of these resources.
The Board adopted an updated Countywide plan to better
support economic development, redevelopment and other key
objectives, connecting land use and transportation. Being
almost built out, most of our development activity is actually
redevelopment. Each new project provides an opportunity to
improve our communities. New approaches are being
considered to guide the development process in ways that will
enhance the condition of the County’s natural and built
environments, promote economic opportunity and help us
achieve a more sustainable future.
Transportation
In June 2015, St. Petersburg-Clearwater International Airport (Airport) was awarded $5.745 million in Federal
Aviation Administration (FAA) grant funds that will be used towards the demolition, removal and replacement of the
existing pavement surfaces used to park commercial aircrafts. Through the efforts of Economic Development, the
County was awarded a $250,000 Defense Infrastructure Grant from the State to be used for airfield improvements to
the U.S. Coast Guard Air Station Clearwater at the Airport.
The Airport realized a 23 percent increase in passenger volume from 2013, the second highest in its history, with a total
of 1.25 million passengers in 2014. This trend continued into 2015 and the Airport is on path to set an all-time record
for passenger volume. Allegiant Airlines continues to be the Airport’s largest airline. Allegiant now flies non-stop
from the Airport to over 40 destinations.
A four-year effort to unify countywide land use and transportation planning efforts under a single umbrella came to
fruition on September 10, 2014. The Pinellas Planning Council (PPC) and the Metropolitan Planning Organization
(MPO), two legally separate entities, unified their governing boards (same membership on both boards) to create a
more streamlined and integrated process to address transportation and land use issues. The employees of the two
organizations were combined under the PPC during this fiscal year.
Future Transit Stations
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Physical Environment
The Utilities –Water Department celebrated eighty years of service delivering high-quality potable water to our
citizens. Through the years, Pinellas County has reduced its water usage from 175 gallons per person per day to 50
gallons per person, per day. This makes us number one in the nation for conservation in reducing the per capita use of
the public water supply.
In 1995, the County adopted a long-term goal in partnership with the Tampa Bay Estuary Program to restore seagrass
levels to 38,000 acres, which at the time totaled about 25,000 acres. More than 500 nutrient-reduction projects were
implemented to address this issue. The Southwest Florida Water Management District released results of its 2014
seagrass survey announcing that Tampa Bay is now home to over 40,000 acres of seagrass, surpassing the initial goal.
Human Services
Ground was broken for construction of the new Bayside Health Clinic in Clearwater. The Clinic will provide health and
dental services to an estimated 1,200 citizens through a migration of federal expansion funds and local primary care
resources. The Florida Department of Health, the U.S. Department of Health and Human Services and our Human
Services Department partnered with the Sheriff’s Office to set up a temporary clinic at Safe Harbor which will
transition to the new building. The clinic will serve as a critical health access point for area homeless.
The Board approved the Adult Emergency Financial Assistance Pilot
Program with Human Services and 211 Tampa Bay Cares Incorporated to
help those in need of emergency financial help (i.e. rent, utilities, minor
car repair, etc.). The program, focused on individuals without minor
children, is intended to help those in need and avoid homelessness and
other catastrophic outcomes.
The County was awarded federal funding and state low income pool funds
for the Mobile Medical Unit program, a medical office on wheels
providing free basic health care for homeless residents.
Mobile Medical Unit
The County was again awarded federal funding for Affordable Care Act navigators who help our citizens access
healthcare. Navigators are located throughout the County to provide enrollment assistance to uninsured and/or
underinsured residents into the Federal Marketplace. By assisting residents in the enrollment process, the County is
pro-actively working to reduce the number of uninsured residents using hospital emergency rooms. It also increases
the number of covered adults and children through paid plans and Medicaid products for those who qualify, creating a
healthier community and providing more access to care. Increased enrollment brings additional revenue to the County
through the payment of premiums, claims, and treatment for medical services.
Future Initiatives
Human Services
Three initiatives will receive additional funding ($1.2M) via Human Services to contribute to more efficient and
effective behavioral health outcomes. The SSI/SSDI Outreach, Access, and Recovery (SOAR) program will be
expanded in coordination with the Public Defender and St. Vincent de Paul. A technology project will enable integrated
information sharing among partners, thereby improving coordination of care. A high-utilizer stabilization program
seeks to establish an integrated systems approach to address the needs of a pilot group of individuals.
-xii-
Transportation
The County’s partnership with the Florida Department of Transportation is anticipated to yield important new and
improved transit options, including the 118th Avenue Expressway project scheduled to commence this fiscal year.
Two local option taxes imposed by the Board expire on December 31, 2017. A one cent levy (referred to by statute as
the “Ninth Cent”) that began January 2007, is dedicated to the installation, operation, and maintenance of the Intelligent
Transportation Systems (ITS). The other local levy, the Six Cent Local Option Fuel Tax (LOFT) is shared by interlocal
agreement between the County and all municipalities within Pinellas County. The County’s share of collections is
60.0% of total receipts and the municipalities receive portions of the remaining 40.0%. An initiative is currently
underway to extend both taxes for an additional ten years.
Physical Environment
The Fort De Soto Park recirculation project aimed at estuary habitat restoration and bay water quality improvements is
scheduled to begin. Funding allocations for the $1.5 million project include Penny funds as part of the Capital
Improvement Program along with grant revenue from the Southwest Florida Water Management District, U.S. Fish and
Wildlife Service and Tampa Bay Environmental Restoration Fund.
Economic environment
The County established a land assembly program to stimulate redevelopment and increase affordable housing
construction. The Housing Finance Authority will be issuing a $6 million funding availability announcement seeking
eligible projects and housing development partners. The program is being provided by use of Penny funds.
In anticipation of receipt of funds through the Gulf Coast Restoration Trust Fund under the Federal Restore Act, the
County has requested and received ideas and proposals for projects within the County and/or its adjacent bay, coastal
and Gulf waters that will benefit the Gulf of Mexico ecosystem. The federal funding stems from Clean Water Act civil
fines and penalties related to the 2010 Deepwater Horizon oil spill. This funding allocation, known as the Direct
Component fund, will be used to restore the environment and economy of the Gulf Coasts above and beyond the
environmental and economic
impacts associated with the oil
spill. As of March 31, 2015, a
Pinellas County Direct
Component fund allocation of
about $1.5 million is expected
to be available for projects in
the initial multiyear
implementation plan. On
October 1, 2015, the County
submitted its Multiyear
Implementation Plan (MYIP)
to the U.S. Treasury for their
review. Upon Treasury
approval of the MYIP, funding
applications for each project
proposed in the MYIP can be
submitted to the U.S.
Treasury. It’s anticipated that
project grant agreements will
be in place and projects can
begin in 2016.
-xiv-
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-xv-
II : FINANCIAL SECTION
INDEPENDENT AUDITOR’S REPORT
MANAGEMENT’S DISCUSSION AND ANALYSIS
BASIC FINANCIAL STATEMENTS
GOVERNMENT-WIDE FINANCIAL STATEMENTS
· FUND FINANCIAL STATEMENT
· NOTES TO THE FINANCIALSTATEMENTS
· REQUIRED SUPPLEMENTARY INFORMATION
· COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES
INDEPENDENT AUDITOR’S
REPORT
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT AUDITOR'S REPORT Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida Report on the Financial Statements We have audited the accompanying financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of Pinellas County, Florida (the “County”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the County’s basic 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 in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express opinions on these financial statements based on our audit. We did not audit the financial statements of the aggregate discretely presented component units. Those statements were audited by other auditors whose reports have been furnished to us, and our opinion, insofar as it relates to the amounts included for the discretely presented component units, is based solely on the reports of the other auditors. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks 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 preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall financial statement presentation of the financial statements.
1
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Opinions In our opinion, based on our audit and the reports of the other auditors, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the County, as of September 30, 2015, and the respective changes in financial position and, where applicable, cash flows thereof and the respective budgetary comparison for the General Fund, Sheriff’s Operations Fund and Emergency Medical Services Fund for the year then ended in accordance with accounting principles generally accepted in the United States of America. Emphasis of Matters As discussed in Note 1 to the financial statements, in June 2012 the GASB issued GASB Statement No. 68, “Accounting and Financial Reporting for Pensions.” Also, in November 2013 the GASB issued GASB Statement No. 71, “Pension Transition for Contributions Made Subsequent to the Measurement Date.” Statements 68 and 71 are effective for the County’s fiscal year ending September 30, 2015. These Statements replace the requirements of Statement No. 27, “Accounting for Pensions by State and Local Governmental Employers” and Statement No. 50, “Pension Disclosures.” Statements 68 and 71 establish standards for measuring and recognizing liabilities, deferred outflows of resources, deferred inflows of resources and expenses as well as identifies the methods and assumptions that should be used to project benefit payments, discount projected benefit payments to their actuarial present value and attribute that present value to periods of employee service. Note disclosures and required supplementary information requirements about pensions are also addressed. As a result, net position was restated as of October 1, 2014, for the cumulative effect of the application of this pronouncement. Our opinions are not modified with respect to this matter. As discussed in Note 19 to the basic financial statements, the October 1, 2014 net position of the Pinellas County Housing Finance Authority, which is a discretely presented component unit of the County and is reported within the aggregate discretely presented component units, has been restated to correct a misstatement. Our opinions are not modified with respect to this matter. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that management’s discussion and analysis, schedules of proportionate share of net pension liability, schedules of contributions and schedules of funding progress on pages 4 through 15, and 75 through 79, respectively, be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We and other auditors have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the County’s basic financial statements. The introductory section, combining and individual fund statements and schedules and statistical section are presented for purposes of additional analysis and are not a required part of the basic financial statements.
2
The combining and individual fund statements and schedules are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America In our opinion, the combining and individual fund statements and schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole. The introductory section and statistical section have not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we do not express an opinion or provide any assurance on them. Report on Other Legal and Regulatory Requirements In accordance with Government Auditing Standards, we have also issued our report dated May 31, 2016 on our consideration of the County’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the County’s internal control over financial reporting and compliance. Crowe Horwath LLP Tampa, Florida May 31, 2016
3
MANAGEMENT’S
DISCUSSION AND ANALYSIS
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
4
This section of Pinellas County’s (County) annual financial report presents our discussion and analysis of the County’s financial
performance for the fiscal year ended September 30, 2015. Please read the information presented here in conjunction with the
transmittal letter at the front of this report and Pinellas County’s financial statements and footnotes that follow this report.
FINANCIAL HIGHLIGHTS
The County’s net position (excess of assets and deferred outflows over liabilities and deferred inflows) increased by $95.5
million from the prior year, with increases of $64.4 million and $31.1 million, respectively, in governmental and business-
type activities. The County’s net position at the beginning of the year was restated to reflect the recognition of net pension
liabilities and pension-related deferred outflows and inflows totaling $293.0 million. There was a net unrestricted deficit of
$365.2 million for governmental activities and unrestricted net position of $375.4 million for business-type activities.
During the year, expenses for governmental activities increased by $19.4 million or 2.4 percent over last year. The largest
increases were in public safety of $8.2 million and economic environment of $9.7 million. Revenues for governmental
activities increased by $45.4 million or 5.3 percent.
In the County’s business-type activities, expenses, including special items, increased by $9.0 million or 3.6 percent, while
revenues increased by $15.3 million or 5.6 percent compared to the prior year.
Explanations for these changes follow in the financial analysis section beginning on page 5 of this report.
OVERVIEW OF THE FINANCIAL STATEMENTS
Pinellas County’s basic financial statements consist of three components: 1) government-wide financial statements, 2) fund
financial statements, and 3) the notes to the financial statements. The annual financial report also contains other supplemental
information in addition to the basic financial statements.
Government-wide financial statements. The government-wide financial statements present readers a broad overview of the
County’s financial operations for the fiscal year in a manner similar to a private sector business. Three categories are represented
here:
Governmental activities include most of the basic services offered to citizens, including tax assessment and collections, fire
and law enforcement protection, judicial services, emergency medical services, civil emergency services, construction and
maintenance of highways, streets and other infrastructure, economic development, social and human services, and cultural
and recreational services. Property and sales and use taxes, intergovernmental revenues and various user fees finance these
operations.
Business-type activities include the water, sewer, solid waste and airport systems financed primarily by fees charged to
customers.
Component units are legally separate entities, however since the County is financially accountable for them, they are included
in this report. Discretely presently component units are as follows: Pinellas County Planning Council, Pinellas County
Metropolitan Planning Organization, Pinellas County Housing Finance Authority, Pinellas County Health Facilities Authority
and Pinellas County Educational Facilities Authority. The focus of this analysis is on the primary government.
The Statement of Net Position presents information on assets, deferred outflows, liabilities and deferred inflows and the resulting
net position using accounting methods similar to those used by private sector companies. This is considered one way to measure
the County’s financial health.
The Statement of Activities shows the change in the County’s net position during the fiscal year. All of the current year’s
revenues and expenses are accounted for in this report, regardless of when cash is received or paid. Therefore, some revenues
and expenses reported in this statement will result in cash flows in future fiscal years. For example, some revenue related to
assessments and notes receivable will be collected over several fiscal years and some expenses related to earned unused vacation
leave will be paid when used over several fiscal years.
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
5
Fund Financial Statements. The fund financial statements provide more detailed information about the County’s most
significant funds, not the County as a whole. A fund is a self-balancing group of accounts used to maintain control over resources
intended to be used for specific purposes. The County uses governmental, proprietary and fiduciary funds.
Governmental funds – Most of the County’s basic services are accounted for here, as reported in governmental activities in the
government-wide financial statements. However, governmental fund financial statements focus on near-term inflows and
outflows of spendable resources and the balances available at the end of the fiscal year. Because the governmental funds are
narrower in focus than the government-wide financial statements, the reader may better understand the differences between the
two statements by comparing similar information in the statements. The governmental fund balance sheet and the governmental
fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation between governmental funds
and governmental activities.
Proprietary funds – The County maintains two different types of proprietary funds: 1) enterprise funds used to account for the
same types of functions as presented in business-type activities in the government-wide statements (water, sewer, solid waste
and airport services) and 2) internal service funds used to account for services provided primarily to the government itself, such
as information technology, risk financing, fleet management, and employee life and health benefits. Because internal service
funds provide services that primarily benefit governmental rather than business-type functions, they have been included in the
governmental activities in the government-wide financial statements.
Fiduciary funds – The County uses fiduciary funds to account for resources held for the benefit of parties outside the County.
Fiduciary funds are not reflected in the government-wide financial statements because the resources of those funds are not
available to support Pinellas County’s own programs.
Notes to the financial statements. The notes provide additional information that is essential in order for the reader to obtain a
full understanding of the information presented in the basic financial statements.
Other information. This report also contains other information in addition to the basic financial statements. Combining and
individual fund statements and schedules are presented for nonmajor governmental, internal service and agency funds.
GOVERNMENT-WIDE FINANCIAL ANALYSIS
The comparison of net position from year to year serves to measure a government’s financial position. As of September 30, 2015
assets and deferred outflows exceeded liabilities and deferred inflows by $3.3 billion (net position) overall, however;
governmental activities reflect an unrestricted deficit of $365.2 million as explained further on page 7.
2015 2014 2015 2014 2015 2014Current and other assets 580,304$ 516,826$ 492,420$ 462,380$ 1,072,724$ 979,206$
Capital assets 1,911,134 1,904,282 1,344,567 1,329,633 3,255,701 3,233,915
Total assets 2,491,438 2,421,108 1,836,987 1,792,013 4,328,425 4,213,121
Deferred outflows of resources 108,362 - 12,722 5,329 121,084 5,329
Long-term liabilities 615,736 332,115 248,678 232,185 864,414 564,300
Other liabilities 77,644 86,826 49,803 33,912 127,447 120,738
Total liabilities 693,380 418,941 298,481 266,097 991,861 685,038
Deferred inflows of resources 116,456 2,867 8,160 - 124,616 2,867
Net position
Net investment in capital assets 1,884,829 1,895,452 1,161,321 1,159,912 3,046,150 3,055,364
Restricted 270,318 200,453 6,356 6,267 276,674 206,720
Unrestricted (deficit) (365,183) (96,605) 375,391 365,066 10,208 268,461
Total net position 1,789,964$ 1,999,300$ 1,543,068$ 1,531,245$ 3,333,032$ 3,530,545$
Total
Primary Government
Pinellas County, Florida’s Net Position(dollars in thousands)
Governmental
Activities
Business-type
Activities
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
6
Investment in capital assets (e.g., land, buildings, machinery and equipment), less outstanding related debt used in acquiring these
assets, represented 91.4 percent of Pinellas County’s total net position. Capital assets reported net of debt are used to provide
services to the citizens of Pinellas County and therefore are not available for future spending. Resources necessary to cover
capital asset debt must be provided from other sources.
Restricted net position represents 8.3 percent of total net position and is obligated for a specific purpose. The unrestricted net
position of $10.2 million ($365.2 million deficit in governmental activities combined with a $375.4 million balance in business-
type activities), representing 0.3 percent of total net position, was down by $258.3 million from the prior year as explained on
page 7.
The following schedule compares the revenues and expenses for the primary government for the current and previous fiscal years.
Total revenues for the County increased 5.3 percent over last year. Approximately 34.3 percent of the County’s total revenues
come from property taxes and 13.1 percent from other taxes. Fees, service charges, revenues from other governments and
unrestricted interest earnings account for 52.6 percent of overall revenues. Total expenses, including special items, increased 2.6
percent over the prior year.
Pinellas County, Florida’s Changes in Net Position (dollars in thousands)
2015 2014 2015 2014 2015 2014
Revenues
Program revenues:
Charges for services 225,516$ 206,327$ 271,408$ 266,817$ 496,924$ 473,144$
Grants - operating 109,404 101,430 - - 109,404 101,430
Grants - capital 3,173 19,404 18,533 7,864 21,706 27,268
General revenues:
Property taxes 410,220 385,583 - - 410,220 385,583
Sales taxes 128,854 119,842 - - 128,854 119,842
Fuel taxes 17,371 16,823 - - 17,371 16,823
Communication service tax 10,290 10,581 - - 10,290 10,581
Unrestricted interest 1,545 989 - - 1,545 989
Total revenues 906,373 860,979 289,941 274,681 1,196,314 1,135,660
Program expenses
General government 160,319 165,381 - - 160,319 165,381
Public safety 437,704 429,479 - - 437,704 429,479
Physical environment 35,054 32,596 - - 35,054 32,596
Transportation 55,497 48,389 - - 55,497 48,389
Economic environment 58,007 48,328 - - 58,007 48,328
Human services 60,527 62,658 - - 60,527 62,658
Culture and recreation 25,973 27,831 - - 25,973 27,831
Interest and fiscal charges 8,826 7,857 - - 8,826 7,857
Water System - - 84,925 87,677 84,925 87,677
Sewer System - - 65,040 63,501 65,040 63,501
Solid Waste System - - 92,079 85,572 92,079 85,572
Nonmajor Enterprise
Fund - - 14,172 13,147 14,172 13,147
Total expenses 841,907 822,519 256,216 249,897 1,098,123 1,072,416
Change in net position before
special items 64,466 38,460 33,725 24,784 98,191 63,244
Special items - - (2,658) - (2,658) -
Change in net position 64,466 38,460 31,067 24,784 95,533 63,244
Net position - beginning, restated 1,725,498 1,960,840 1,512,001 1,506,461 3,237,499 3,467,301
Net position - ending 1,789,964$ 1,999,300$ 1,543,068$ 1,531,245$ 3,333,032$ 3,530,545$
Total
Primary Government
Governmental
Activities
Business-type
Activities
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
7
Governmental activities. Revenues in the County’s governmental activities increased $45.4 million or 5.3 percent over the
prior year. The cost of governmental activities increased 2.4 percent or $19.4 million from the prior year. Revenues exceeded
expenses for the year by $64.5 million, compared to an excess of $38.5 million in the prior year. Key factors attributing to these
changes are described below.
Property tax revenues increased by of $24.6 million, or 6.4 percent over last year for all governmental activities due to an
increase in property tax values of 6.5 percent and the countywide millage rate remaining unchanged with the exception of some
special districts in which the millage rates were modified as necessary to cover budgetary requirements.
Charges for services increased substantially during the year by $19.2 million or 9.3 percent, attributable mostly to three factors:
1) funding of $3.2 million from local hospitals in support of indigent health care services, 2) a $4.7 million increase in ambulance
fees due to increased number of transports, and 3) a nonrecurring receipt of $9.6 million associated with the Deepwater Horizon
oil spill settlement.
Operating grants and contributions increased by $8.0 million from the prior year primarily due to 1) increased revenue of $3.8
million from the half-cent sales tax and state revenue sharing, 2) additional proceeds of $1.6 million related to the State Housing
Initiatives Partnership (SHIP) program grant, and 3) an increase of $1.6 million in revenue recognized in the Sheriff’s Florida
Department of Children and Families Fund, a fund used to account for services associated with the performance of child protective
investigations.
Conversely, capital grants and contributions decreased by $16.2 million from the prior year due primarily to reductions in
grant funding as a result of completion or substantial completion of multiple capital programs and projects (road and highway
construction, advanced traffic monitoring systems, beach renourishment and water-related projects, and acquisition of
environmentally sensitive land).
Sales tax revenue increased by $9.0 million; or 7.5 percent, reflecting signs of continued economic improvement in the area.
Public safety expenses increased by $8.2 million, due primarily to the net effect of fiscal year changes in the other
postemployment healthcare costs (OPEB) obligation and the net pension liability, while other public safety expenses remained
relatively flat overall.
Economic environment expenses were up by $9.7 million due primarily to increased expenses of approximately $3.8 million in
the Tourist Development Fund related to promotional activities, $1.2 million in additional expenses incurred in the Community
Development Grant Fund in support of the Home Investment Partnership Programs initiative, and $3.0 million in added net
pension expenses.
Net position for governmental activities totaled $1.8 billion at fiscal year-end; however, there was a net unrestricted deficit in
governmental activities of $365.2 million resulting primarily from the unfunded net OPEB and pension liability obligations. The
County funds OPEB costs on a pay-as-you-go basis and, as a result, the net OPEB obligation in governmental activities has
increased from $36.2 million since initial implementation at September 30, 2008 to $276.8 million at September 30, 2015.
Although funding is set aside in the respective Health Benefits funds in excess of the requirement to cover current claims, it is
not set aside in a trust to be used specifically for OPEB. In accordance with GASB Statement Number 68 the County recorded
its long-term obligation for pension benefits and the pension-related deferred inflows and outflows for the first time, reducing
the beginning net position in governmental activities by $273.8 million.
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
8
Expenses and Program Revenues – Governmental Activities
Revenues by Source – Governmental Activities
$0
$50
$100
$150
$200
$250
$300
$350
$400
$450
Generalgovernment
Public safety Physicalenvironment
Transportation Economicenvironment
Human services Culture andrecreation
Interest andfiscal charges
Expenses Program Revenues
Property taxes46%
Sales taxes14%
Fuel taxes2%
Other taxes1%
Charges for services
25%Operating grants and contributions
12%
Capital grants and contributions
0%
Unrestricted investment earnings
0%
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
9
Business-type activities. Net position of business-type activities increased $31.1 million during the year. Revenues in business-
type activities increased 5.6 percent over the prior year by $15.3 million. Expenses were up by $6.3 million or 2.5%.
Water System - Net position of the Water System increased $7.4 million during the year.
Total program revenues for the Water System, including interest revenue, miscellaneous revenue and capital
contributions, decreased by $1.2 million or 1.3 percent from the prior year. Charges for services to retail and wholesale
customers were down by $2.2 million or 2.5 percent due primarily to a reduction in revenue of approximately $2.8
million as a result of the City of Clearwater developing their own water resources, offset in part by additional revenue
of $0.8 million stemming from a $1.00 per month increase in retail water rates.
Operating expenses of the Water System decreased by 2.9 percent or $2.5 million from last year primarily due to a
reduction in the cost of water purchases from Tampa Bay Water of $1.6 million along with an approximate $0.4 million
cost reduction in electrical utility services resulting in large part from improvements made at the Keller plant.
Sewer System - Net position of the Sewer System increased $10.1 million during the year.
Total program revenues increased by $4.3 million or 6.0 percent over the prior year. Charges for services to customers
increased by $3.3 million or 4.8 percent. This was attributable to a retail sewer rate increase of 6 percent, wholesale
rate increase of 9 percent and various increases in reclaimed water rates. Interest revenue saw an increase of
approximately $0.3 million as a result of slightly higher yields generated from investments.
Annual operating expenses increased $1.9 million or 3.4 percent due to increases in internal allocations ($1.8 million)
and net pension expense ($1.2 million), which was partially offset by reductions in expenses incurred for chemicals
($0.4 million), operating supplies ($0.3 million) and replacement of pumps ($0.2 million).
The decision was made during the year to abandon the hypochlorite generation sewer project due to technological
changes and life cycle cost considerations resulting in a loss of $1.2 million accounted for as a special item as explained
in Note 20.
Solid Waste System - Net position of the Solid Waste System increased by $0.5 million during the year.
Total program revenues of the system increased by $0.7 million or 0.8 percent over the prior year. Charges for services
increased by a net amount of $0.3 million or 0.3 percent. Contributing to this variance was a $1.6 million increase in
tipping fees due to additional tonnage processed during FY15 as compared to FY14, a $0.8 million increase in electrical
sales resulting from annual rate increases, and an offsetting $2.1 million decrease in revenue generated from scrap sales
of metal recovered from ash at the regeneration facility. Interest revenue increased by $0.9 million due to the recovering
economy and higher yields to be realized on invested funds.
Operating expenses for the system were up by $6.5 million or 7.7 percent over the prior year. This increase in operating
expenses was primarily due to an approximate $6.1 million increase in expense for the operation of the waste to energy
plant resulting from a renegotiated contract.
Management made the decision to demolish the lime softening system used in solid waste operations, replacing it with
a more efficient process, resulting in a loss of $1.5 million accounted for as a special item as explained in Note 20.
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
10
Expenses and Program Revenues – Business-type Activities
Revenues by Source – Business-type Activities
______________________________________________________________________________________________________
$0
$10
$20
$30
$40
$50
$60
$70
$80
$90
$100
Water System Sewer System Solid Waste System St. Petersburg/ClearwaterInternational Airport
Dollars (in millions)
Function
Expenses Program Revenues
Charges for services
94%
Capital grants and contributions
6%
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
11
FINANCIAL ANALYSIS OF PINELLAS COUNTY’S FUNDS
The County uses fund accounting to demonstrate compliance with finance related legal requirements.
Governmental Funds: Governmental funds focus on money inflows and outflows and the balances available for spending. The
governmental funds provide a detailed short-term view of the County’s general government operations and the basic services
provided. Governmental fund information helps determine the amount of short-term financial resources available for County
programs. The unassigned fund balance may serve as an annual benchmark of the net resources available for discretionary
spending at the end of the fiscal year. At fiscal year end, total fund balance for the County’s governmental funds was $370.4
million, increasing from the prior year by $66.8 million. The unassigned portion of fund balance was $98.6 million for all
governmental funds compared to $30.6 million last year. As a part of the budget process for FY 2014-2015, the Board adopted
a policy committing or assigning portions of the previously unassigned fund balances for specific purposes as explained in Note
13 – Fund Balances. Key financial factors for the year for major governmental funds were as follows:
The General Fund is the primary operating fund of the County that accounts for all financial resources of the general government,
except for those that are required to be accounted for in another fund. Appropriations for the General Fund for the fiscal year,
including reserves, totaled $599.6 million.
Overall General Fund revenues and other financing sources increased by $32.3 million or 6.8 percent from last year.
Tax revenue increased by $19.4 million, due primarily to increased property taxes and related taxable values.
Intergovernmental revenues were up by $2.5 million or 3.8 percent. The increase was due mostly to increases in state shared
revenues from the revenue sharing trust fund and sales taxes due to continued economic improvement.
Charges for services were up by $0.8 million, attributable to increases in law enforcement service charges and zoning fees.
Miscellaneous revenues increased by $10.1 million, or 46.7 percent from fiscal year 2014 to 2015, primarily as a result of the
receipt of a $9.6 million settlement relative to the Deepwater Horizon oil spill.
Overall General Fund expenditures and transfers out increased by 6.0 percent or $28.2 million. Expenditures and transfers
out combined were $104.2 million less than appropriations, including reserves, for the year as explained on page 12.
The Sheriff’s Operation Fund is used to account for the general operating activity of the Sheriff, the chief law enforcement and
corrections officer for the County.
Expenditures and transfers out increased by $28.8 million or 11.7 percent from the prior year due primarily to an increase in
personal services expenditures related to an initiative to provide competitive salaries and rectify disparities in compensation
for Sheriff’s Office personnel, the addition of over $1 million in costs associated with new positions for child protection
services, and increases in the costs of health care and contributions required by the Florida Retirement System pertaining to
personnel in the special risk category.
During fiscal year 2015 proceeds from an installment loan of $5.0 million were recognized.
In accordance with state law, the Sheriff returned the excess from the main operating budget to the Board at the end of the
fiscal year which totaled $0.6 million.
Fund balance decreased by $1.6 million.
The Non-voted Capital Projects Fund accounts for construction of major governmental capital projects throughout the County.
Revenues and transfers in were reduced by $10.9 million or 9.5 percent from the prior year. Although the County
experienced an increase in infrastructure sales tax proceeds of $4.7 million this was more than offset by reductions in grant
funding due to the completion or substantial completion of multiple programs and projects totaling $15.7 million: $4.1
million for road and highway construction including advanced traffic monitoring systems, $5.5 million relative to beach
renourishment projects, $4.4 million from local and special agencies of the State for water-related projects and a $2.3 million
reduction relative to a non-recurring acquisition of environmentally sensitive land under the Florida Forever program.
Expenditures were down significantly, being reduced by $52.5 million or 46.0 percent, from $114.1 million in the prior year
to $61.6 million as a result of multiple capital projects being completed or substantially completed in 2014. Some of the
larger dollar reductions between the two fiscal years included the following projects: Downtown Clearwater Campus Cooling
Project ($3.6 million), Justice Center Parking Garage ($9.4 million), Public Safety Complex ($19.1 million), and the Radio
System Migration Upgrade project ($8.0 million). Fund balance increased by $42.0 million at year end to $102.0 million.
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
12
The Emergency Medical Service Fund is used to account for revenues earmarked for countywide emergency medical services.
Revenues and transfers in were up by $4.8 million over the prior year, attributable mostly to additional tax revenues of $3.1
million over the prior fiscal year as a result of increased property values and an increase of $4.2 million in ambulance fee
services, offset in part by a reduction of $2.6 million resulting from a settlement received in the prior year from a Medicare
claim dispute.
Expenditures and transfers out were up slightly by $2.7 million, or less than 3.0 percent.
Proprietary Funds. The government’s proprietary funds include enterprise and internal service funds as mentioned earlier.
The enterprise funds’ financial information is essentially the same as that presented in the government-wide financial statements
under business-type activities.
Enterprise funds report service activity supported by customer user fees and are presented as business-type functions.
Internal service funds report activities that provide supplies and services to Pinellas County’s other operations. Information
technology, fleet management, risk financing, employee life and health benefits and Sheriff’s health benefits are the activities
accounted for as internal service funds. The operations of each fund are presented in the combining statements. Internal
service funds are combined with governmental activities in the government-wide statements since they primarily benefit
governmental activities.
General Fund Budgetary Highlights
The Board revised the budget of the General Fund several times during the year for an overall increase in appropriations of $3.5
million. A summary of the increased appropriations is as follows:
$1.2 million for the Sheriff for various law enforcement projects funded by federal and state grant proceeds and law
enforcement contracts
$1.9 million for other grant funded programs awarded during the fiscal year
$0.1 million for appropriation of funds resulting from unanticipated revenues
$0.3 million for re-appropriation of fund balance transferred from the Marina Operations Fund, which was closed in FY15
During the budget development process for fiscal year 2014-2015, forecasts related to county-wide taxable values were updated
to reflect a change from the initial anticipated increase of 3.0% to a revised 6.5% as certified by the Property Appraiser. With
no increase to the millage rate from the prior year, the increased forecast for property value growth had a significant impact on
the fiscal year 2014-2015 budget since approximately two-thirds of total General Fund revenue is derived from property taxes.
This more optimistic outlook for the continued recovery of the economy also translates to additional tax revenue growth for the
upcoming years, as well as in a positive trend anticipated for sales tax revenues. On the expenditure side, efficiency measures,
such as eliminating general consulting contracts, were taken which in turn allowed for the inclusion of additional funding in
support of other priority projects and initiatives.
Actual revenues and transfers in were greater than the estimated amounts by $16.5 million. Excess fees from the constitutional
officers were $1.1 million greater than budgeted due to cost savings in their operations during the year. Taxes were $4.0 million
more than anticipated, attributable mostly to increased property values.
Expenditures and transfers out were $104.2 million less than appropriations, including reserves, for the year. Budgeted reserves
were $87.6 million or 14.6 percent of total final appropriations. The County continued to exercise cost containment measures
during the year and to explore new opportunities to gain efficiencies through reorganization of departments and resizing of
programs. Actual fund balance increased by $10.2 million for the year to $127.5 million, representing 21.4 percent of General
Fund appropriations.
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
13
CAPITAL ASSET AND DEBT ADMINISTRATION
Capital Assets. Pinellas County’s investment in capital assets for governmental and business-type activities is $3.3 billion, net
of accumulated depreciation. This includes land, buildings, improvements, equipment, road, bridges, drainage systems, intangible
assets and construction in progress. The total increase in capital assets was 0.7 percent over the prior year (0.4 percent increase
for governmental activities and a 1.1 percent increase in business-type activities).
2015 2014 2015 2014 2015 2014
Land 391,413$ 391,009$ 69,933$ 69,933$ 461,346$ 460,942$
Buildings 428,403 422,210 73,546 78,478 501,949 500,688
Improvements other than buildings 141,900 130,270 1,121,590 1,118,590 1,263,490 1,248,860
Equipment 54,397 47,902 11,131 6,757 65,528 54,659
Intangible assets 28,323 28,801 3,094 3,318 31,417 32,119
Infrastructure 788,762 787,011 - - 788,762 787,011
Construction in progress 77,936 97,079 65,273 52,557 143,209 149,636
Total 1,911,134$ 1,904,282$ 1,344,567$ 1,329,633$ 3,255,701$ 3,233,915$
Primary GovernmentActivities Activities
Pinellas County, Florida’s Capital Assets
(dollars in thousands)
Total Business-typeGovernmental
Major capital asset projects funded and completed this fiscal year were as follows:
Governmental activities
Centralized Chiller Facility ($15.7 million)
Pinellas County Justice Center Parking Garage ($11.7 million)
Curlew Creek Drainage Improvements ($8.3 million)
Lealman Area Drainage Improvements ($1.0 million)
Gulf Blvd. Resurfacing ($1.6 million)
Tierra Verde Resurfacing ($1.8 million)
Park Blvd Drawbridge Improvements ($1.1 million)
Belleair Causeway Park Improvements ($1.0 million)
Marquis Trail Improvements ($1.4 million)
Business-type activities
Water Transfer Pumping Station at Keller ($13 million)
Solid Waste Bridgeway Acres Improvements ($6.5 million)
Ultraviolet/Ozone Facility at South Cross Bayou ($10.5 million)
Sewer subaqueous force mains ($1.3 million)
Additional information on the County’s capital assets can be found in Note 7 on pages 55 through 56 of this report.
Debt Administration. Pinellas County had no general obligation bonds outstanding at the end of the fiscal year.
Pinellas County, Florida’s Outstanding Debt (dollars in thousands)
2015 2014 2015 2014 2015 2014
Revenue bonds -$ -$ 162,450$ 169,995$ 162,450$ 169,995$ Notes - - - - - -
Notes 11,559 8,714 - - 11,559 8,714
Capital leases 41 116 - - 41 116
Total 11,600$ 8,830$ 162,450$ 169,995$ 174,050$ 178,825$
Governmental Business-type Total
Activities Activities Primary Government
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
14
All general long term bonded debt for governmental activities was paid off five years ago with the retirement of the Capital
Improvement Revenue Bonds, Series 2000 and 2002. The Board made the decision during that time to fund capital improvement
in governmental activities through internal borrowings from the Solid Waste System. During FY2015 the advance from the Solid
Waste System to the Non-voted Capital Projects Fund was repaid. The new debt for governmental activities included an
installment loan and a lease for the purchase of vehicles and other equipment for the Sheriff and the Supervisor of Elections
totaling $5.5 million. Scheduled debt service payments were made of $2.8 million. The total outstanding debt for business-type
activities decreased by $7.5 million from the prior year due to scheduled debt service payments.
Moody’s, Standard & Poors, and Fitch rate the County’s debt issues. The County’s outstanding debt issues are insured with the
exception of the Sewer Revenue and Refunding Bonds, Series 2008A and 2008 B-1, and the Sewer Revenue Refunding Bonds,
Series 2011 and 2012. Additional information on the County’s long-term debt can be found in Note 10 on pages 58 through 61
of this report.
ECONOMIC FACTORS AND NEXT YEAR’S BUDGETS AND RATES
In developing the fiscal year 2015-2016 budget, key strategic goals of the Board of County Commissioners were at the foundation:
creating a quality workforce in a positive, supportive organization; ensure public health, safety, and welfare; practice superior
environmental stewardship; foster continual economic growth and vitality; and deliver first class services to the public and
customers. The adopted budget for the new year is based on a positive, optimistic, yet realistic outlook for the economic future
of the County. Taxable property values and revenues from sales taxes are anticipated to continually increase, the local economy
demonstrates sustained improvement, tourism continues to flourish, airport passenger growth is surpassing all-time highs, new
construction is nearly twice as high as the preceding year, and the real estate market continues to improve.
The fiscal year 2015-2016 budget reflects a financial plan to continue the County’s tradition of providing high quality service to
its residents and visitors while prudently managing fiscal resources. There is no change in the countywide millage rate of 5.28
mills, nor to the unincorporated area rate of 2.09 mills. Maintaining adequate reserves is key to the County’s ability to deal with
potential emergencies and unforeseen events. The General Fund budget includes projected year-end reserves of $100.6 million,
or 15.7 percent of total resources, which is consistent with the Board policy target of 15.0%. At adoption the 2015-2016 General
Fund budget reflected an increase over the revised 2014-2015 budget of $40 million or 5.7 percent.
The overall strategy employed by the County during the budget development process was to provide a balanced budget consistent
with the Board’s priorities as indicated in the budget document. The County continues to use a multiyear budget strategy based
on a ten year forecast, including all of the major operating funds to identify ways to ensure long term fiscal sustainability.
The Board continued to reach out to the community for input on the budget process using various means such as community
meetings, a citizens’ preference survey, citizens’ suggestions through the County website, and an eTownHall meeting. Employee
suggestions through the County Better Way website were also sought. The County continues to utilize the Cost Savings and
Revenue Team, to review, analyze and prioritize ideas for consideration by County Administration.
The goal of the County is to remain a popular tourist destination, a desirable high technology business area and a great place to
live, work and play. As noted above, a long term financial goal of the County is to continue to maintain a strong fund balance of
15 percent of General Fund appropriations to be better positioned to deal with emergencies and unforeseen events, especially
being a Florida coastal community. A strong fund balance also enhances the County’s ability to raise capital in the financial
markets when the need arises.
The unemployment rate in the County in December 2015 (most recent month available) was 4.2 percent, down from a year ago
of 5.1 percent and compared to the national average and state average rate of 5.0 percent.
Pinellas County, Florida MANAGEMENT’S DISCUSSION AND ANALYSIS
September 30, 2015
15
At the end of fiscal year 2014-2015, the unassigned fund balance for the General Fund was $98.6 million. $639.6 million was
appropriated in the General Fund budget for fiscal year 2015-2016 compared to $599.6 million in the final budget for fiscal year
2014-2015, an increase of $40.0 million or 6.7 percent. The overall budget for the County, as originally adopted for fiscal year
2015-2016, was $2,157,597,290 compared to an original budget of $2,033,002,890 for fiscal year 2014-2015 for an increase of
$124.6 million or 6.1%.
The Board authorized increases in various rates and users fees effective in October 2015 some of which are as follows: wholesale
and retail water rates of 1.75 percent per year through fiscal year 2018-2019; wholesale and retail sewer rates of 1.0 percent per
year, beginning in fiscal year 2016-2017 through fiscal year 2018-2019; and increases to the monthly rate for reclaimed water
rates of $1 per year for unmetered service and 5 cents per year for metered service through fiscal year 2018-2019.
REQUESTS FOR INFORMATION
This financial report is designed to provide a general overview of the County’s finances for interested parties. If you have
questions about this report or need additional financial information, contact Pinellas County Finance Division, P. O. Box 2438,
Clearwater, Florida 33757 or email [email protected] .
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BASIC FINANCIAL
STATEMENTS
Governmental
ActivitiesBusiness-type
Activities TotalComponent
UnitsASSETSCash and cash equivalents 191,858,693$ 125,417,783$ 317,276,476$ 13,124,757$ Investments 296,606,134 297,340,781 593,946,915 113,024,805Receivables (net of allowance for uncollectibles) 71,519,154 77,914,619 149,433,773 11,334,961Due from component units 1,025,335 - 1,025,335 -Internal balances 8,434,758 (8,434,758) - -Inventory 3,681,903 - 3,681,903 -Prepaid items 5,904,106 182,077 6,086,183 296,177Unamortized charges 1,274,153 - 1,274,153 -Capital assets (net of accumulated depreciation):
Land 391,412,338 69,933,165 461,345,503 -Buildings 428,403,231 73,545,675 501,948,906 -Improvements other than buildings 141,900,314 1,121,589,892 1,263,490,206 -Equipment 54,396,578 11,131,182 65,527,760 22,291Intangible assets 28,323,328 3,093,704 31,417,032 -Infrastructure 788,761,946 - 788,761,946 -Construction in progress 77,935,716 65,273,389 143,209,105 -
Total assets 2,491,437,687 1,836,987,509 4,328,425,196 137,802,991DEFERRED OUTFLOWS OF RESOURCESDeferred outflows 108,362,084 12,721,556 121,083,640 536,476
Total assets and deferred outflows of resources 2,599,799,771 1,849,709,065 4,449,508,836 138,339,467
LIABILITIESAccounts payable and other current liabilities 76,138,304 46,270,521 122,408,825 10,963,328Accrued interest payable - 3,367,605 3,367,605 248,869Due to primary government - - - 1,025,335Unearned revenue 1,505,403 165,296 1,670,699 -Long-term liabilities:
Due within one year 46,418,455 10,632,831 57,051,286 967,670Due in more than one year 569,317,368 238,044,679 807,362,047 99,114,480
Total liabilities 693,379,530 298,480,932 991,860,462 112,319,682DEFERRED INFLOWS OF RESOURCESDeferred inflows 116,456,414 8,159,929 124,616,343 103,695
Total liabilities and deferred inflows of resources 809,835,944 306,640,861 1,116,476,805 112,423,377
NET POSITIONNet investment in capital assets 1,884,828,726 1,161,320,498 3,046,149,224 22,291Restricted for:
Capital projects 112,894,387 - 112,894,387 -Public safety programs 62,185,478 - 62,185,478 -Transportation projects 36,920,849 - 36,920,849 -Grant programs 21,999,725 - 21,999,725 -Debt service - 1,919,862 1,919,862 15,897,043Renewal and replacement - 4,436,357 4,436,357 -Other programs 36,317,908 - 36,317,908 -
Unrestricted (365,183,246) 375,391,487 10,208,241 9,996,756
Total net position 1,789,963,827$ 1,543,068,204$ 3,333,032,031$ 25,916,090$
The accompanying notes are an integral part of this statement.
Pinellas County, Florida
STATEMENT OF NET POSITION September 30, 2015
Primary Government
16
Operating Capital
ExpensesCharges for
ServicesGrants and
ContributionsGrants and
Contributions
Functions/ProgramsPrimary government:
Governmental activities:General government 160,319,102$ 70,703,406$ 64,700,735$ -$ Public safety 437,703,460 93,881,337 20,897,052 -Physical environment 35,054,307 29,506,263 2,893,400 402,202Transportation 55,497,360 8,669,374 10,454,250 2,770,694Economic environment 58,007,340 10,662,514 7,192,548 -Human services 60,526,480 5,538,223 3,116,385 -Culture and recreation 25,973,003 6,554,776 149,648 -Interest and fiscal charges 8,825,899 - - - Total governmental activities 841,906,951 225,515,893 109,404,018 3,172,896
Business-type activities:Water System 84,925,495 90,232,083 - 1,688,971Sewer System 65,040,371 74,539,953 - 1,316,194Solid Waste System 92,078,586 93,825,113 - -St. Petersburg/Clearwater International Airport 14,171,769 12,810,852 - 15,527,876 Total business-type activities 256,216,221 271,408,001 - 18,533,041
Total primary government 1,098,123,172$ 496,923,894$ 109,404,018$ 21,705,937$
Component units:Planning Council 1,846,022$ 973,725$ -$ -$ Metropolitan Planning Organization 2,776,577 39,969 2,901,814 -Housing Finance Authority 4,912,012 7,354,098 183,735 149,998Health Facilities Authority 355 22,301 - -
Total component units 9,534,966$ 8,390,093$ 3,085,549$ 149,998$
The accompanying notes are an integral part of this statement.
Program Revenues
Pinellas County, FloridaSTATEMENT OF ACTIVITIES
For the year ended September 30, 2015
Net position - ending
General revenues: Property taxes Sales taxes Fuel taxes Communication service tax Unrestricted investment earnings Special items (see Note 20) Total general revenues and special items Change in net position Net position - beginning, as restated (see Note 19)
17
Governmental Activities
Business-type Activities Total Component Units
(24,914,961)$ -$ (24,914,961)$ -$ (322,925,071) - (322,925,071) -
(2,252,442) - (2,252,442) -(33,603,042) - (33,603,042) -(40,152,278) - (40,152,278) -(51,871,872) - (51,871,872) -(19,268,579) - (19,268,579) -
(8,825,899) - (8,825,899) -(503,814,144) - (503,814,144) -
- 6,995,559 6,995,559 -- 10,815,776 10,815,776 -- 1,746,527 1,746,527 -- 14,166,959 14,166,959 -- 33,724,821 33,724,821 -
(503,814,144) 33,724,821 (470,089,323) -
- - - (872,297)- - - 165,206- - - 2,775,819- - - 21,946- - - 2,090,674
410,219,984 - 410,219,984 930,070128,853,646 - 128,853,646 -
17,371,228 - 17,371,228 -10,290,455 - 10,290,455 -
1,544,807 - 1,544,807 -- (2,658,146) (2,658,146) -
568,280,120 (2,658,146) 565,621,974 930,07064,465,976 31,066,675 95,532,651 3,020,744
1,725,497,851 1,512,001,529 3,237,499,380 22,895,3461,789,963,827$ 1,543,068,204$ 3,333,032,031$ 25,916,090$
Changes in Net PositionNet (Expenses) Revenues and
Primary Government
18
GeneralSheriff's
OperationsNon-voted
Capital Projects
ASSETSCash 38,530,010$ 15,326,925$ 28,788,478$ Investments 76,031,967 23,944 68,007,553Accounts and notes receivable 248,293 114,711 61,700Assessments receivable - - -Accrued interest receivable 269,924 - 241,397Due from other funds 12,463,069 2,449,709 -Due from component units 1,025,335 - -Due from other governments 9,036,567 1,019,583 26,145,421Inventory 17,150 1,136,883 -Prepaid items 371,158 318,786 14,250Other assets - 972,354 -
Total assets 137,993,473$ 21,362,895$ 123,258,799$
LIABILITIES, DEFERRED INFLOWS OF RESOURCESAND FUND BALANCES
LIABILITIESVouchers payable 5,820,807$ 1,309,630$ 10,938,190$ Contracts payable - - 102,365Due to other funds 394,625 3,025,219 24,008Due to other governments 1,989,934 84,730 10,161,451Accrued liabilities 2,157,455 5,654,721 -Deposits and other current liabilities - 201,285 -Unearned revenues 151,503 702,246 25,479
Total liabilities 10,514,324 10,977,831 21,251,493
DEFERRED INFLOWS OF RESOURCESUnavailable revenue - notes receivable - - -Unavailable revenue - grant advances - 2,061,015 -
Total deferred inflows of resources - 2,061,015 -
FUND BALANCESNonspendable 388,308 1,455,669 14,250Restricted - 6,868,380 101,993,056Committed - - -Assigned 28,497,810 - -Unassigned 98,593,031 - -
Total fund balances 127,479,149 8,324,049 102,007,306
Total liabilities, deferred inflows of resources and fund balances 137,993,473$ 21,362,895$ 123,258,799$
The accompanying notes are an integral part of this statement.
Pinellas County, Florida
BALANCE SHEETGOVERNMENTAL FUNDS
September 30, 2015
19
Emergency Medical Service
Other Governmental
Funds
Total Governmental
Funds
8,735,879$ 68,135,164$ 159,516,456$ 22,674,550 55,122,617 221,860,631
5,265,000 13,880,786 19,570,490- 359,503 359,503
80,493 195,734 787,548353,375 5,542,160 20,808,313
- - 1,025,335- 11,183,332 47,384,903- 2,266,152 3,420,185- 508,985 1,213,179- 301,799 1,274,153
37,109,297$ 157,496,232$ 477,220,696$
3,340,862$ 15,253,705$ 36,663,194$ - 32,545 134,910
108 16,526,081 19,970,041208,145 7,108,676 19,552,936
91,999 3,010,599 10,914,774- 2,592,776 2,794,061
116,578 509,568 1,505,3743,757,692 45,033,950 91,535,290
- 13,227,022 13,227,022- - 2,061,015- 13,227,022 15,288,037
- 2,775,137 4,633,36433,351,605 82,290,405 224,503,446
- 9,244,119 9,244,119- 4,925,599 33,423,409- - 98,593,031
33,351,605 99,235,260 370,397,369
37,109,297$ 157,496,232$ 477,220,696$
20
This page intentionally left blank.
Total fund balances - governmental funds 370,397,369$
Amounts reported for governmental activities in the statement of net position
are different because:
Capital assets used in governmental activities are not financial
resources and, therefore, not reported in the funds 1,869,828,201
Some receivables are not available to pay for current period expenditures 1,966,559
Deferred outflows of resources related to pensions are not recorded in the
governmental fund financial statements 104,708,555
Deferred inflows of resources related to pensions are not recorded in the
governmental fund financial statements (110,625,648)
Internal service funds are used by management to charge the costs
of certain activities to individual funds (162,083,133)
Revenue recognized when earned was deferred in the governmental
funds until these current financial resources are available 13,227,022
Some long term liabilities are not due and payable in the current period
and therefore not reported in the funds. Those liabilities related to governmental
and consist of:
Notes payable (11,558,514)$
Claims payable (4,829,761)
Compensated absences (43,556,785)
Pension obligation (236,679,167)
Capital leases (40,871)
Pollution remediation obligation (790,000) (297,455,098)
Total net position - governmental activities 1,789,963,827$
The accompanying notes are an integral part of this statement.
Pinellas County, Florida
RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDSTO THE STATEMENT OF NET POSITION
September 30, 2015
21
GeneralSheriff's
OperationsNon-voted
Capital Projects
REVENUESTaxes 345,109,527$ -$ 89,531,152$ Licenses and permits 1,350,205 - -Intergovernmental 69,125,492 12,264,522 3,691,834Charges for services 44,454,364 5,024,849 1,484Fines and forfeitures 1,308,893 - -Special assessments - - -Impact fees - - -Investment income 822,634 322,727 437,742Miscellaneous 31,611,981 217,656 1,293,613
Total revenues 493,783,096 17,829,754 94,955,825
EXPENDITURESCurrent
General government 81,830,170 - 9,132,898Public safety 22,092,843 271,171,181 11,276,639Physical environment 9,232,180 - 9,038,901Transportation 151,959 - 26,379,933Economic environment 11,464,857 - -Human services 56,396,743 - 309,180Culture and recreation 16,671,754 - 5,456,223Debt service
Principal retirement - 2,475,173 -Interest and fiscal charges - 99,335 -
Total expenditures 197,840,506 273,745,689 61,593,774
Excess (deficiency) of revenues over (under) expenditures 295,942,590 (255,915,935) 33,362,051
OTHER FINANCING SOURCES (USES)Debt issuance - 5,000,000 -Transfers in 11,825,248 249,799,210 8,669,206Transfers out (297,535,954) (602,188) -
Total other financing sources (uses) (285,710,706) 254,197,022 8,669,206
Net change in fund balances 10,231,884 (1,718,913) 42,031,257
Fund balances - beginning 117,273,425 9,941,174 59,976,049
Change in reserve for inventory (26,160) 101,788 -
Fund balances - ending 127,479,149$ 8,324,049$ 102,007,306$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCESGOVERNMENTAL FUNDS
For the year ended September 30, 2015
22
Emergency Medical Service
Other Governmental
Funds
Total Governmental
Funds
49,090,650$ 83,003,984$ 566,735,313$ - 5,714,095 7,064,300
76,576 27,418,490 112,576,91450,234,749 36,131,916 135,847,362
- 6,017,573 7,326,466- 21,129,976 21,129,976- 1,578,032 1,578,032
217,871 565,816 2,366,790365,854 16,990,895 50,479,999
99,985,700 198,550,777 905,105,152
- 79,544,561 170,507,62993,088,488 26,758,140 424,387,291
- 19,260,039 37,531,120- 25,720,098 52,251,990- 44,106,783 55,571,640- 4,071,170 60,777,093- 7,176,405 29,304,382
- 275,575 2,750,748- 8,657,160 8,756,495
93,088,488 215,569,931 841,838,388
6,897,212 (17,019,154) 63,266,764
- 520,121 5,520,121324,723 48,201,931 318,820,318
(1,436,448) (21,245,728) (320,820,318)(1,111,725) 27,476,324 3,520,121
5,785,487 10,457,170 66,786,885
27,566,118 88,652,665 303,409,431
- 125,425 201,053
33,351,605$ 99,235,260$ 370,397,369$
23
Amounts reported for governmental activities in the statement of activities are different because:
Net change in fund balances - total governmental funds 66,786,885$
Capital outlays are reported as expenditures in the governmental funds. However, the cost of those assets is allocated over their estimated useful lives and reported as depreciation expense in the statement of activities. In the current period these amounts are:
Capital outlay 75,620,328$ Depreciation expense (71,962,335) 3,657,993
The net effect of various miscellaneous transactions involving capital assets: 430,580
Debt proceeds (5,520,121)
Repayment of long term debt is reported as an expenditure in the governmental funds, but the repayment reduces long term liabilities in the statement of net position. 2,750,748
Change in reserve for inventory 201,053
Revenues that are not available are deferred in the governmental funds but are included in the statement of activities. Deferred inflows decreased by this amount this year. (248,099)
Revenues which do not provide current financial resources and are not reported in the governmental funds. 384,766
Some expenses reported in the statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in the governmental funds.
Decrease in claims payable 2,519,874 Increase in compensated absences (2,270,312) Increase in pension-related deferred outflows 77,771,584 Increase in pension obligation (85,007,056) Decrease in pension-related deferred inflows 30,361,087 Increase in pollution remediation obligations (50,000) 23,325,177
Internal service funds are used by management to charge the costs of certain activities to individual funds. The net revenue of the internal service funds is reported with governmental activities. (27,303,006)
Change in net position - governmental activities 64,465,976$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaRECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN
FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIESFor the year ended September 30, 2015
24
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 341,072,810$ 341,072,810$ 345,109,527$ 4,036,717$ Licenses and permits 1,082,740 1,082,740 1,350,205 267,465Intergovernmental 65,991,790 68,460,850 69,125,492 664,642Charges for services 43,523,840 44,140,040 44,454,364 314,324Fines and forfeitures 1,105,990 1,105,990 1,308,893 202,903Investment income 537,840 537,840 822,634 284,794Miscellaneous 21,959,760 21,982,440 29,203,025 7,220,585
Total revenues 475,274,770 478,382,710 491,374,140 12,991,430
EXPENDITURESCurrent
General government 81,987,500 83,362,480 79,421,214 3,941,266Public safety 25,135,130 26,161,290 22,092,843 4,068,447Physical environment 9,851,770 10,006,070 9,232,180 773,890Transportation 135,540 135,540 151,959 (16,419)Economic environment 11,663,620 11,729,520 11,464,857 264,663Human services 62,141,880 62,786,320 56,396,743 6,389,577Culture and recreation 17,825,720 17,827,250 16,671,754 1,155,496
Total expenditures 208,741,160 212,008,470 195,431,550 16,576,920
Excess (deficiency) of revenues over (under) expenditures 266,533,610 266,374,240 295,942,590 29,568,350
OTHER FINANCING SOURCES (USES)Transfers in 10,461,520 10,757,800 11,825,248 1,067,448Transfers out (297,919,420) (300,005,860) (297,535,954) 2,469,906Reserves (89,479,150) (87,610,300) - 87,610,300
Total other financing sources (uses) (376,937,050) (376,858,360) (285,710,706) 91,147,654
Net change in fund balance (110,403,440) (110,484,120) 10,231,884 120,716,004
Fund balance - beginning 110,403,440 110,484,120 117,273,425 6,789,305
Change in reserve for inventory - - (26,160) (26,160)
Fund balance - ending -$ -$ 127,479,149$ 127,479,149$
The accompanying notes are an integral part of this statement.
Pinellas County, Florida
STATEMENT OF REVENUES, EXPENDITURES ANDCHANGES IN FUND BALANCES - BUDGET AND ACTUAL
GENERAL FUNDFor the year ended September 30, 2015
25
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 22,403,639$ 12,204,194$ 12,264,522$ 60,328$ Charges for services 5,381,195 5,453,740 5,024,849 (428,891)Investment income 10,630 323,035 322,727 (308)Miscellaneous - 216,906 217,656 750
Total revenues 27,795,464 18,197,875 17,829,754 (368,121)
EXPENDITURESCurrent
Public safety 278,858,994 277,745,610 271,171,181 6,574,429Debt service
Principal retirement 2,552,330 2,574,515 2,475,173 99,342Interest and fiscal charges - - 99,335 (99,335)Total expenditures 281,411,324 280,320,125 273,745,689 6,574,436
Excess (deficiency) of revenues over (under) expenditures (253,615,860) (262,122,250) (255,915,935) 6,206,315
OTHER FINANCING SOURCES (USES)Debt issuance - 5,000,000 5,000,000 -Transfers in 246,384,700 249,799,960 249,799,210 (750)Transfers out - - (602,188) (602,188)
Total other financing sources (uses) 246,384,700 254,799,960 254,197,022 (602,938)
Net change in fund balance (7,231,160) (7,322,290) (1,718,913) 5,603,377
Fund balance - beginning 7,231,160 7,322,290 9,941,174 2,618,884
Change in reserve for inventory - - 101,788 101,788
Fund balance - ending -$ -$ 8,324,049$ 8,324,049$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALSHERIFF'S OPERATIONS
For the year ended September 30, 2015
26
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 48,287,310$ 48,287,310$ 49,090,650$ 803,340$ Intergovernmental 225,000 225,000 76,576 (148,424)Charges for services 46,201,800 46,201,800 50,234,749 4,032,949Investment income 90,250 90,250 217,871 127,621Miscellaneous 44,650 44,650 365,854 321,204
Total revenues 94,849,010 94,849,010 99,985,700 5,136,690
EXPENDITURESCurrent
Public safety 93,441,920 93,483,220 93,088,488 394,732Total expenditures 93,441,920 93,483,220 93,088,488 394,732
Excess (deficiency) of revenues over (under) expenditures 1,407,090 1,365,790 6,897,212 5,531,422
OTHER FINANCING SOURCES (USES)Transfers in 276,350 276,350 324,723 48,373Transfers out (1,448,190) (1,448,190) (1,436,448) 11,742Reserves (24,332,110) (24,332,110) - 24,332,110
Total other financing sources (uses) (25,503,950) (25,503,950) (1,111,725) 24,392,225
Net change in fund balance (24,096,860) (24,138,160) 5,785,487 29,923,647
Fund balance - beginning 24,096,860 24,138,160 27,566,118 3,427,958
Fund balance - ending -$ -$ 33,351,605$ 33,351,605$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALEMERGENCY MEDICAL SERVICES
For the year ended September 30, 2015
27
Water System Sewer SystemASSETS
Current assetsCash 18,849,434$ 22,483,528$ Cash with fiscal agent - 5,507,797Investments 41,227,274 48,708,369Accounts and notes receivable 11,159,154 7,519,715Assessments receivable - 642Accrued interest receivable 146,353 172,920Due from other funds - -Due from other governments 3,846,921 2,344,078Inventory - -Prepaid items 94,275 4,723
Total current assets 75,323,411 86,741,772
Noncurrent assetsRestricted assets
Cash - -Total restricted assets - -
Capital assetsLand 44,594,400 5,106,619Buildings 25,155,873 18,521,586Improvements other than buildings 443,608,979 855,189,851Equipment 17,252,447 14,776,364Intangible assets 2,833,153 1,971,719Accumulated depreciation (197,599,226) (288,454,329)Construction in progress 7,402,951 8,811,466
Total capital assets, net 343,248,577 615,923,276
Other assetsNoncurrent notes receivable 38,747,826 -Prepaid bond insurance - 65,612
Total other assets 38,747,826 65,612 Total noncurrent assets 381,996,403 615,988,888
Total assets 457,319,814 702,730,660
DEFERRED OUTFLOWS OF RESOURCESLosses on debt refunding - 4,813,202Pension-related deferred outflows 2,503,222 3,196,021
Total assets and deferred outflows of resources 459,823,036$ 710,739,883$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF FUND NET POSITION
PROPRIETARY FUNDS September 30, 2015
28
Business-type Activities - Enterprise Funds
Solid Waste System
Nonmajor Enterprise Fund
Total Enterprise Funds
Governmental Activities-Internal
Service Funds
68,053,867$ 6,086,800$ 115,473,629 32,342,237$ - - 5,507,797 -
194,618,190 12,786,948 297,340,781 74,745,5038,480,505 1,038,465 28,197,839 755,138
- - 642 -690,773 45,406 1,055,452 241,525
19 - 19 20,079,067- 3,721,861 9,912,860 453,488- - - 261,718
17,467 - 116,465 4,690,927271,860,821 23,679,480 457,605,484 133,569,603
- 4,436,357 4,436,357 -- 4,436,357 4,436,357 -
8,493,767 11,738,379 69,933,165 -37,617,934 48,573,019 129,868,412 740,518
461,231,723 69,255,060 1,829,285,613 1,281,7475,407,857 3,900,016 41,336,684 52,430,714
260,155 - 5,065,027 28,166,501(242,073,233) (68,068,495) (796,195,283) (41,828,195)
24,420,185 24,638,787 65,273,389 513,965295,358,388 90,036,766 1,344,567,007 41,305,250
- - 38,747,826 -- - 65,612 -- - 38,813,438 -
295,358,388 94,473,123 1,387,816,802 41,305,250
567,219,209 118,152,603 1,845,422,286 174,874,853
- - 4,813,202 -1,120,895 1,088,216 7,908,354 3,653,529
568,340,104$ 119,240,819$ 1,858,143,842$ 178,528,382$
CONTINUED
29
Water System Sewer System
LIABILITIESCurrent liabilities
Vouchers payable 2,599,569$ 4,606,033$ Contracts payable 362,244 71,054Due to other funds - -Due to other governments 1,263,503 96,088Accrued liabilities 418,001 498,972Claims payable - -Compensated absences 1,133,438 895,934Matured bonds and interest payable - 11,097,605Unearned revenue 3,401 -Deposits and other current liabilities 7,482,850 -
Total current liabilities 13,263,006 17,265,686
Noncurrent liabilitiesRevenue bonds payable less unamortized
discount and current maturities - 159,271,050Long-term compensated absences 312,274 246,839Long-term claims payable - -Other long-term liabilities - -Other post employment benefit obligation 9,723,667 9,683,580Pension liability 6,851,971 8,746,658
Total noncurrent liabilities 16,887,912 177,948,127Total liabilities 30,150,918 195,213,813
DEFERRED INFLOWS OF RESOURCESPension-related deferred inflows 2,582,854 3,297,690
Total liabilities and deferred inflows of resources 32,733,772 198,511,503
NET POSITION (DEFICIT)Net investment in capital assets 341,032,283 451,975,541Restricted for debt service - 1,919,862Restricted for renewal and replacement - -Unrestricted net position (deficit) 86,056,981 58,332,977
Total net position (deficit) 427,089,264$ 512,228,380$
Adjustment to reflect consolidation of internalservice fund activities related to enterprise funds
Net position of business-type activities
The accompanying notes are an integral part of this statement.
Pinellas County, Florida
STATEMENT OF FUND NET POSITIONPROPRIETARY FUNDS
September 30, 2015
30
Business-type Activities - Enterprise Funds
Solid Waste System
Nonmajor Enterprise Fund
Total Enterprise Funds
Governmental Activities-
Internal Service Funds
21,152,234$ 4,839,530$ 33,197,366$ 4,025,138$ 790,343 743,857 1,967,498 588,437
360 - 360 20,916,998166,985 - 1,526,576 8,052190,373 135,743 1,243,089 666,802
- - - 10,484,085574,381 299,078 2,902,831 1,512,776
- - 11,097,605 -556 161,339 165,296 30
847,896 5,246 8,335,992 -23,723,128 6,184,793 60,436,613 38,202,318
- - 159,271,050 -158,248 82,399 799,760 416,785
- - - 19,844,21231,159,676 - 31,159,676 -3,363,317 2,402,077 25,172,641 276,825,8053,066,113 2,976,810 21,641,552 9,987,061
37,747,354 5,461,286 238,044,679 307,073,86361,470,482 11,646,079 298,481,292 345,276,181
1,156,552 1,122,833 8,159,929 3,769,751 62,627,034 12,768,912 306,641,221 349,045,932
283,523,051 84,789,623 1,161,320,498 39,915,866- - 1,919,862 -- 4,436,357 4,436,357 -
222,190,019 17,245,927 383,825,904 (210,433,416)505,713,070$ 106,471,907$ 1,551,502,621 (170,517,550)$
(8,434,417)
1,543,068,204$
CONCLUDED
31
Water System Sewer System
Operating revenuesCharges for services 85,981,010$ 73,421,888$
Operating expensesPersonal services 13,964,705 17,193,401Contractual services 989,156 3,917,203Utility services 50,055,894 4,106,287Supplies 2,982,319 4,573,616Other operating expenses 7,050,068 10,178,578Depreciation expense 9,506,977 18,428,287
Total operating expenses 84,549,119 58,397,372
Operating income (loss) 1,431,891 15,024,516
Nonoperating revenues (expenses)Interest revenues 2,515,159 411,772Miscellaneous revenues 1,735,914 706,293Interest expense (3,264) (6,179,653)Miscellaneous expense - -
Total nonoperating revenues (expenses) 4,247,809 (5,061,588)
Income (loss) before capital contributions, special items and transfers 5,679,700 9,962,928
Capital contributions 1,688,971 1,316,194Special items (see Note 20) - (1,173,359)Transfers in - -Transfers out - -
Change in net position 7,368,671 10,105,763
Net position (deficit) - beginning, as restated (see Note 19) 419,720,593 502,122,617
Net position (deficit) - ending 427,089,264$ 512,228,380$
Adjustment to reflect consolidation of internalservice fund activities related to enterprise funds
Change in net position of business-type activities
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF REVENUES, EXPENSES AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDSFor the year ended September 30, 2015
32
Business-type Activities - Enterprise Funds
Solid Waste System
Nonmajor Enterprise Fund
Total Enterprise Funds
Governmental Activities-Internal
Service Funds
92,441,391$ 12,630,604$ 264,474,893$ 161,849,356$
6,778,197 5,349,708 43,286,011 84,476,17359,711,083 1,602,496 66,219,938 77,232,644
2,051,459 697,224 56,910,864 -804,691 394,238 8,754,864 7,668,698
6,881,514 1,882,894 25,993,054 21,896,05715,099,846 4,110,335 47,145,445 5,113,08891,326,790 14,036,895 248,310,176 196,386,660
1,114,601 (1,406,291) 16,164,717 (34,537,304)
1,308,417 117,749 4,353,097 722,17375,305 62,499 2,580,011 3,358,087
- - (6,182,917) (69,404)(499,686) - (499,686) -884,036 180,248 250,505 4,010,856
1,998,637 (1,226,043) 16,415,222 (30,526,448)
- 15,527,876 18,533,041 -(1,484,787) - (2,658,146) -
- - - 3,385,471- - - (1,385,471)
513,850 14,301,833 32,290,117 (28,526,448)
505,199,220 92,170,074 (141,991,102)
505,713,070$ 106,471,907$ (170,517,550)$
(1,223,442)
31,066,675$
33
Water System Sewer System
CASH FLOWS FROM OPERATING ACTIVITIES:Receipts from customers 87,560,853$ 73,447,858$ Payments to suppliers (60,628,252) (22,370,625)Payments to employees (12,315,607) (15,494,125)Cash received from (paid to) other sources 2,045,406 498,889
Net cash provided (used) by operating activities 16,662,400 36,081,997
CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES:Transfers in - -Advances from other funds - -Transfers out - -
Net cash provided (used) by non-capital financing activities - -
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:Acquisition and construction of capital assets (10,242,766) (14,326,731)Principal paid on capital debt - (7,545,000)Interest paid on capital debt (3,264) (6,817,715)Proceeds from sale of capital assets 175,539 200,624Capital contributions 1,105,029 1,146,146Passenger Facility Charges - -
Net cash provided (used) by capital financing activities (8,965,462) (27,342,676)
CASH FLOWS FROM INVESTING ACTIVITIES:Withdrawals from investment pool 113,641,986 105,919,478Deposits to investment pool (125,247,047) (118,241,771)Interest received on investments 270,274 322,592Sale of investments - -Purchase of investments - -
Net cash provided (used) by investing activities (11,334,787) (11,999,701)
Net change in cash and cash equivalents (3,637,849) (3,260,380)
Cash and cash equivalents at beginning of year 22,487,283 31,251,705
Cash and cash equivalents at end of year 18,849,434$ 27,991,325$
Reconcilation of operating income (loss) to net cash provided (used) by operating activities:
Operating income (loss) 1,431,891$ 15,024,516$ Adjustments to reconcile operating income (loss) to net cash
provided (used) by operating activities:Depreciation expense 9,506,977 18,428,287Provision for bad debts 24,885 (53,344)Miscellaneous non-operating revenues 2,045,406 498,889Credits toward water purchase 4,378,396 -Change in operating assets and liabilities: Accounts receivable 111,802 (250,238) Inventory - - Due from other funds - - Due from other governments 860,147 329,551 Prepaid expenses and other assets (94,275) - Pension-related deferred outflows (1,674,539) (2,206,465) Vouchers payable (3,981,303) 394,080 Due to other funds - - Due to other governments 146,370 10,979 Accrued and other liabilities 856,899 (446,481) OPEB liability 843,727 940,022 Net pension liability 2,370,092 3,394,706 Pension-related deferred inflows (164,075) 17,495
Total adjustments 15,230,509 21,057,481Net cash provided (used) by operating activities 16,662,400$ 36,081,997$
Non-cash investing, capital and financing activities:Change in fair value of investments 51,917$ 61,525$ Purchases of capital assets on account 1,854,050 1,688,833
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF CASH FLOWS
PROPRIETARY FUNDSFor the year ended September 30, 2015
34
Total Governmental Activities - Nonmajor Enterprise Internal
Solid Waste System Enterprise Fund Funds Service Funds
92,424,127$ 11,741,642$ 265,174,480$ 158,681,701$ (63,786,571) (3,887,209) (150,672,657) (82,801,427)
(5,744,427) (4,549,263) (38,103,422) (71,133,386)(445,069) 10,048 2,109,274 3,390,473
22,448,060 3,315,218 78,507,675 8,137,361
- - - 3,385,47115,000,000 - 15,000,000 -
- - - (1,385,471)15,000,000 - 15,000,000 2,000,000
(10,872,318) (14,479,755) (49,921,570) (9,877,640)- - (7,545,000) -- - (6,820,979) -
20,687 46,330 443,180 6,235- 8,914,103 11,165,278 -- 3,658,050 3,658,050 -
(10,851,631) (1,861,272) (49,021,041) (9,871,405)
86,259,561 9,498,092 315,319,117 102,183,208(120,714,416) (10,266,256) (374,469,490) (109,655,114)
1,028,493 100,082 1,721,441 321,100- - - 6,322,020- - - (3,322,020)
(33,426,362) (668,082) (57,428,932) (4,150,806)
(6,829,933) 785,864 (12,942,298) (3,884,850)
74,883,800 9,737,293 138,360,081 36,227,087
68,053,867$ 10,523,157$ 125,417,783$ 32,342,237$
1,114,601$ (1,406,291)$ 16,164,717$ (34,537,304)$
15,099,846 4,110,335 47,145,445 5,113,088- 22,077 (6,382) -
(445,069) 10,048 2,109,274 3,390,473- - 4,378,396 -
(34,454) (634,018) (806,908) (414,168)- - - 272,991988 - 988 (927,952)- (22,217) 1,167,481 (1,750,177)
890,746 - 796,471 (770,202)(766,936) (768,783) (5,416,723) (2,607,248)
3,793,786 690,090 896,653 (24,490)- - - 1,377,834
(35,170) (448) 121,731 (77,574)1,304,966 (246,334) 1,469,050 355,214
389,765 247,615 2,421,129 34,106,9911,151,747 1,249,174 8,165,719 4,328,345
(16,756) 63,970 (99,366) 301,54021,333,459 4,721,509 62,342,958 42,674,66522,448,060$ 3,315,218$ 78,507,675$ 8,137,361$
227,049$ 20,136$ 360,627$ 84,998$ 11,044,994 4,503,286 19,091,163 809,177
Business-type Activities-Enterprise Funds
35
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Agency Funds
ASSETSCash 68,776,780$ Investments 6,133,335Accounts receivable 2,305,683Accrued interest receivable 21,753Due from other governments 76,506
Total assets 77,314,057
LIABILITIESVouchers payable 228,027Due to other governments 26,172,202Accrued liabilities 976,226Deposits and other current liabilities 49,937,602
Total liabilities 77,314,057$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF FIDUCIARY NET POSITION
September 30, 2015
36
Planning Council
Metropolitan Planning
Organization
ASSETSCash and cash equivalents 520,709$ 987,446$ Investments 97,832 -Receivables (net of allowance for uncollectibles) 191,962 808,231Prepaid items - -Capital assets (net of accumulated depreciation):
Equipment 15,573 6,718Total assets 826,076 1,802,395
DEFERRED OUTFLOWS OF RESOURCESPension-related deferred outflows 395,536 -
Total assets and deferred outflows of resources 1,221,612 1,802,395
LIABILITIESAccounts payable and other current liabilities 65,427 574,544Accrued interest payable - -Due to primary government - 1,025,335Long-term liabilities:
Due within one year 37,670 -Due in more than one year 775,626 -
Total liabilities 878,723 1,599,879
DEFERRED INFLOWS OF RESOURCESPension-related deferred inflows 85,956 -
Total liabilities and deferred inflows of resources 964,679 1,599,879
NET POSITIONNet investment in capital assets 15,573 6,718Restricted for:
Debt service - -Unrestricted 241,360 195,798
Net position 256,933$ 202,516$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF NET POSITION
COMPONENT UNITS September 30, 2015
37
Housing Finance Authority
Health Facilities Authority Total
11,586,217$ 30,385$ 13,124,757$ 112,926,973 - 113,024,805
10,334,768 - 11,334,961296,177 - 296,177
- - 22,291135,144,135 30,385 137,802,991
140,940 - 536,476
135,285,075 30,385 138,339,467
10,323,357 - 10,963,328248,869 - 248,869
- - 1,025,335
930,000 - 967,67098,338,854 - 99,114,480
109,841,080 - 112,319,682
17,739 - 103,695
109,858,819 - 112,423,377
- - 22,291
15,897,043 - 15,897,0439,529,213 30,385 9,996,756
25,426,256$ 30,385$ 25,916,090$
38
Operating Grants Capital GrantsCharges for and and
Expenses Services Contributions ContributionsComponent units:
Planning Council 1,846,022$ 973,725$ -$ -$ Metropolitan Planning Organization 2,776,577 39,969 2,901,814 -Housing Finance Authority 4,912,012 7,354,098 183,735 149,998Health Facilities Authority 355 22,301 - -
Total component units 9,534,966$ 8,390,093$ 3,085,549$ 149,998$
The accompanying notes are an integral part of this statement.
Pinellas County, FloridaSTATEMENT OF ACTIVITIES
COMPONENT UNITSFor the year ended September 30, 2015
Net position - beginning, as restated (see Note 19) Net position - ending
Program Revenues
General revenues: Property taxes Total general revenues Change in net position
39
Metropolitan HealthPlanning Planning Housing Finance FacilitiesCouncil Organization Authority Authority Total
(872,297)$ -$ -$ -$ (872,297)$ - 165,206 - - 165,206- - 2,775,819 - 2,775,819- - - 21,946 21,946
(872,297) 165,206 2,775,819 21,946 2,090,674
930,070 - - - 930,070930,070 - - - 930,070
57,773 165,206 2,775,819 21,946 3,020,744199,160 37,310 22,650,437 8,439 22,895,346256,933$ 202,516$ 25,426,256$ 30,385$ 25,916,090$
Net (Expenses) Revenues andChanges in Net Position
40
NOTES TO THE FINANCIAL
STATEMENTS
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 1 - Summary of Significant Accounting Policies
The financial statements of Pinellas County, Florida (County) have been prepared in conformity with accounting
principles generally accepted in the United States of America (GAAP) as applied to governmental units. The
Governmental Accounting Standards Board (GASB) is the accepted standard setting body for establishing governmental
accounting and financial reporting principles. The more significant of the County's accounting policies are described
below.
A. The Reporting Entity. Pinellas County, established in 1911, is a political subdivision of the State of Florida. It is
governed by Florida Statutes and the County Charter. The governing Board of County Commissioners (Board) is
comprised of seven elected commissioners with one commissioner chosen as Chairman. The Board appoints an
Administrator to administer all policies emanating from its statutory powers and authority. In addition to the members of
the Board, there are five elected Constitutional Officers: Clerk of the Circuit Court and Comptroller, Property Appraiser,
Sheriff, Supervisor of Elections and Tax Collector. The Board and the Constitutional Officers comprise the Pinellas
County primary government.
The County's operations include tax assessments and collections, state/county courts, county recorder, police and fire
protection, transportation, economic development, social and human services, and cultural and recreation services. In
addition, the County operates four major enterprise activities: an airport, a water system, a sewer system and a solid waste
resource recovery system.
As required by GAAP, the financial statements of the reporting entity include those of Pinellas County, Florida (the
primary government) and its component units, entities for which the County is financially accountable. In accordance
with GASB Statement Number 14, as amended by GASB Statements Number 39 and 61, the financial statements of the
component units described below have been included in the financial reporting entity through blended or discrete
presentation.
Blended Component Units. Some component units, including the elected Constitutional Officers, despite being legally
separate entities are in substance, the same as the primary government and are part of the primary government’s
operations. Accordingly, the financial statements of the following component units are blended with the primary
government; reported in a manner similar to the balances and transactions of the primary government:
Pinellas County Emergency Medical Services Authority
Pinellas County Industrial Development Authority
The governing body of the Pinellas County Emergency Medical Services Authority and Pinellas County Industrial
Development Authority is the Board and there is a financial burden relationship between the respective entities and the
primary government. In addition, the management of the primary government has operational responsibility for both of
these entities. The financial activity of the Emergency Medical Services Authority is presented as a major governmental
fund and that of the Industrial Development Authority is presented as a department in the General Fund.
The elected Constitutional Officers are an integral part of the primary government and although they are legally separate
entities, they provide almost exclusive service or benefit to the primary government. The Constitutional Officers
operations are presented as special revenue funds and an internal service fund within the primary government.
Discretely Presented Component Units. The following component units meet the criteria for discrete presentation and
are presented in the component units column in the government-wide financial statements in order to clearly distinguish
their balances and transactions from the primary government:
Pinellas County Planning Council. The purpose of the Pinellas County Planning Council (Council) is to formulate and
execute objectives and policies necessary for the orderly growth, development and environmental protection of the
County as a whole. The Council serves as an advisory board and provides preliminary approval on proposed changes to
the adopted County Land Use Plan. The Board can overrule the Council with a majority plus one vote, and has the right
to review and increase or reduce the Council's budget.
41
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Pinellas County Metropolitan Planning Organization. The purpose of the Pinellas County Metropolitan Planning
Organization (MPO) is to implement a continuing, cooperative and comprehensive transportation planning process for the
County to ensure that highway facilities, mass transit, rail systems, air transportation and other facilities will be properly
located and developed in relation to the overall plan of community development. Although the Board does not appoint all
of the members of the Board of the MPO, because of the relationship of the MPO to the County, it would be misleading
to exclude the MPO. Because the transportation planning process is such an essential part of County government and the
County can significantly influence its programs and activities. The County has also assumed the obligation to provide
financial support to the MPO. The MPO is dependent on the County to provide required matching funds for all of its
state and federal grant programs, which is substantially all of its programs.
Pinellas County Housing Finance Authority. The purpose of the Pinellas County Housing Finance Authority (HFA) is
to encourage the investment of private capital and stimulate the construction of residential housing for low and moderate
income families through the use of public financing. The enabling law of the HFA provides that any debt issued by the
HFA for financing qualified housing development is payable solely from the revenues and receipts of those developments
and shall not constitute a debt, liability, obligation or a pledge of the full faith or credit of the HFA, the County, the State
of Florida or any of its political subdivisions. However, because the HFA makes contributions toward the single family
bond program and receives the remaining funds after the debt is satisfied, the debt and other related assets, liabilities, net
position and activities of the program are reported in the component unit financial statements herein. No such relationship
exists for the multifamily program, thus those bonds are not reported as liabilities in the financial statements, but are
disclosed as conduit debt. The Board appoints the members of the board of the HFA, and may, at any time, remove board
members without cause, alter or change the structure, organization, programs or activities of the HFA, including
terminating the HFA. The sale of all bonds and notes to be issued by the HFA shall be subject to the approval of the
Board.
Pinellas County Health Facilities Authority. The purpose of the Pinellas County Health Facilities Authority
(Authority) is to provide investment of private capital to fund construction of health facilities within the County. The
enabling law of the Authority provides that any debt issued by the Authority for financing qualified health facilities is
payable solely from the revenues and receipts of those facilities and shall not constitute a debt, liability, obligation or a
pledge of the full faith or credit of the County, the State of Florida or any of its political subdivisions. The Board
appoints the members of the board of the Authority and may, at its discretion, amend the powers and duties of the
Authority. The sale of all bonds and notes to be issued by the Authority shall be subject to the approval of the Board.
Pinellas County Educational Facilities Authority. The purpose of the Pinellas County Educational Facilities Authority
(EFA) is to assist institutions for higher education in the construction, financing and refinancing of projects within the
County. The enabling law of the EFA provides that bonds issued by the EFA shall not be deemed to constitute a debt,
liability or a pledge of the full faith and credit of the County, the State of Florida or any of its political subdivisions, but
shall be payable solely from the funds of the EFA. The Board appoints the members of the board of the EFA, and may
remove any member or may terminate the EFA if it determines that there is no longer a need for the EFA's existence. The
issuance of bonds and notes of the EFA are subject to the approval of the Board. The EFA had no financial activity for
the fiscal year or account balances at the end of the year.
Copies of financial statements of the discretely presented component units and the Constitutional Officers may be
obtained directly from these entities or from Pinellas County Clerk of the Circuit Court and Comptroller, Finance
Division, 14 South Fort Harrison Avenue, 3rd Floor, Clearwater, Florida 33756. Separate financial statements are not
prepared for the Emergency Medical Services Authority, the Industrial Development Authority, or the Health Facilities
Authority.
B. Basis of Presentation, Basis of Accounting.
Basis of Presentation
Government–wide Statements. The statement of net position and the statement of activities report information on the
primary government and its component units, except for fiduciary activities. Eliminations have been made to reduce the
effect of interfund activities. These statements distinguish between governmental activities, normally financed through
taxes, intergovernmental revenues and other nonexchange activities, and business type activities, which normally are
financed by fees charged to external parties.
42
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
The statement of activities presents a comparison of direct expenses and program revenues for each business-type
segment or governmental function of the County. Direct expenses are those associated with a specific function or
segment. Program revenues include: (a) fees, fines, and charges for services paid by the recipients of the goods or services
provided by programs, and (b) grants and contributions restricted to meeting the requirement of a particular program.
General revenues include all taxes and other revenue not classified as program revenue.
Fund Financial Statements. The fund financial statements provide information about all the County’s funds including
fiduciary funds, which are excluded from the government-wide presentation. Separate financial statements are presented
for governmental, proprietary and fiduciary fund categories. Separate columns are presented for each major
governmental and enterprise fund. All remaining governmental and enterprise funds are combined and reported as
nonmajor funds.
The County reports the following major governmental funds:
General Fund. The General Fund is the general operating fund of the County. It is used to account for all financial
resources except those required to be accounted for in another fund.
Sheriff’s Operations Fund. This special revenue fund is used to account for the general operating activity of the Sheriff,
the chief law enforcement officer for the County, including law enforcement and corrections. Revenues and other sources
reported in this fund include intergovernmental revenues, charges for services, miscellaneous revenues and transfers in.
Non-voted Capital Projects Fund. This capital projects fund accounts for the construction of all major governmental
capital projects throughout the County. Revenues and other sources for this fund include taxes, intergovernmental
revenues, charges for services, investment income, miscellaneous revenues and transfers in.
Emergency Medical Service Fund. This special revenue fund is used to account for revenues earmarked for emergency
medical services. Up to 1.5 mills are levied annually on a countywide basis to finance a comprehensive countywide
emergency medical service system. Revenues and other sources for this fund include taxes, intergovernmental revenues,
charges for services, investment income, miscellaneous revenues and transfers in.
The County reports the following major enterprise funds:
Water System. This fund accounts for the provision of water services to users throughout the County. Wholesale water
sales are made to some cities in the County. All activities necessary to provide such services are accounted for in this
fund, including, but not limited to, administration, operations, maintenance, financing and related debt service, and billing
and collections.
Sewer System. This fund accounts for the provision of sewer services to users throughout the County. Wholesale sewer
services are provided to some cities within the County. All activities necessary to provide such services are accounted for
in this fund, including, but not limited to, administration, operations, maintenance, financing and related debt service, and
billing and collections.
Solid Waste System. This fund accounts for the provision of solid waste disposal services to users of the County
disposal facility and landfills. All activities necessary to provide disposal services are accounted for in this fund,
including, but not limited to, administration, operations, maintenance, financing and related debt service, and billing and
collection.
The County reports the following additional fund types:
Internal Service Funds. These funds account for the financing of goods or services provided by one department to other
departments of the County or to other governments, on a cost reimbursement basis. Services include information
technology, fleet management, risk financing and employee health benefits.
Agency Funds. These funds account for monies held by the County in a purely custodial capacity for other parties,
including governments, businesses and individuals. These funds include performance bonds on construction projects, tax
deed sales, taxes and fees collected on behalf of other governments, court registry deposits, etc.
43
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Measurement Focus, Basis of Accounting
Government-wide and Proprietary Fund Financial Statements. The government-wide and proprietary fund financial
statements are reported using the economic resources measurement focus and the accrual basis of accounting. Their
revenues are recognized when they are earned, and their expenses are recognized at the time liabilities are incurred,
regardless of the timing of related cash flows. Nonexchange transactions include property taxes, grants, entitlements, and
donations. Property taxes are recognized as revenue in the fiscal year for which taxes are levied. Grants, entitlements, and
donations are recognized in the fiscal year in which all eligibility requirements are met.
Governmental Fund Financial Statements. Governmental funds are reported using the current financial resources
measurement focus and the modified accrual basis of accounting. Under the modified accrual basis of accounting,
revenues are recognized when measurable and available. Revenues are considered available when they are collected
within the current period or within 60 days after year end. Taxes, licenses and permits, and interest are considered
susceptible to accrual. Grant revenues are recognized when eligibility requirements are met and related amounts are
available from the grantor. Special assessments are recorded as revenue in the year installments are due. Expenditures
are recorded when the fund liability is incurred, except for principal and interest on general long-term debt, and
compensated absences that are recognized when matured.
Proprietary Fund Financial Statements. Proprietary fund operating revenues result from exchange transactions in
which each party receives and gives essentially equal value from its principal activities. Operating expenses result from
providing services and producing and delivering goods in connection with the principal activities of the respective funds.
All other revenues and expenses are considered nonoperating revenues and expenses. When both restricted and
unrestricted resources are available for use, it is the County’s policy to use restricted resources first, then unrestricted
resources as needed.
Agency Funds. Agency funds report only assets and liabilities, have no measurement focus and use the accrual basis of
accounting.
C. Cash and Cash Equivalents and Investments. The County considers all cash on hand, demand deposits, cash with
fiscal agent, revolving funds and short-term investments, including restricted assets with original maturities of three
months or less from acquisition date to be cash and cash equivalents. Bank deposits and the majority of investments are
pooled for investment purposes. Earnings from pooled activity are allocated based on a participating fund’s average daily
equity balance.
Investments in 2a7-like pools are stated at cost, which approximates fair value. All other investments are stated at fair
value. For investments held by a specific fund, all earnings are applied to the specific fund.
D. Receivables. Accounts and notes receivable for the primary government are reported net of allowance for doubtful
accounts, totaling $875,976. The allowance for doubtful accounts represents those accounts which are deemed
uncollectible based upon past collection history. Bad debts totaling $99,817 are shown within charges for services. An
estimated receivable is recorded and revenue recognized for the Water System and Sewer System Enterprise Funds for
estimated unbilled consumption at year end. Unbilled receivables at fiscal year end were $9,790,642.
E. Inventory and Prepaid items. Inventories are determined by physical count and are stated at cost using the moving
average cost basis. The cost is recorded as expenditure at the time individual inventory items are purchased (i.e. the
purchases method). The inventory reported in the General Fund and Special Revenue Funds is equally offset by a fund
balance reserve which indicates that it does not constitute an "available spendable resource" even though it is a
component of current assets. Certain payments to vendors reflect costs related to future periods and are reported as
prepaid items in the government-wide and fund financial statements.
F. Capital Assets. Capital assets include land, buildings, equipment, intangible assets and infrastructure assets (roads,
bridges, curbs and gutters, streets and sidewalks, drainage systems and lighting systems) reported in the governmental and
business-type activities of the government-wide financial statements. Capital assets are items with individual costs of
$1,000 or more with useful lives of more than one year. Purchased or constructed capital assets are recorded at cost or
estimated historical costs. Donated assets are recorded at estimated fair value at the date of donation.
44
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
The cost of normal maintenance and repairs that do not increase the value or useful life of the asset is not capitalized.
Interest relating to construction costs of enterprise facilities is capitalized and recorded as part of the asset to which it is
related. Capital assets are depreciated over their useful lives unless they are inexhaustible. The term depreciation
includes amortization of intangible assets.
Depreciation is provided using the straight-line method over the following estimated useful lives:
Asset Class Estimated Useful Lives
Buildings 35 - 50
Improvements other than buildings 10 - 65
Equipment 5 - 20
Intangible assets 5 - 20
Infrastructure 5 - 50
G. Compensated Absences. County policy allows employees to accumulate unused vacation and sick leave benefits.
Employees are generally allowed to accumulate vacation up to a maximum of three years' leave. Prior to December 24,
1994, sick leave was accumulated with no maximum. Effective December 24, 1994, employees no longer accrued sick
leave. All vacation leave and a portion of sick leave are paid upon termination, depending on length of service. The
governmental funds record expenditures for compensated absences as they mature. Compensated absences are accrued
when earned in the government-wide and proprietary fund statements.
H. Obligation for Landfill Closure and Post-Closure Care Costs. The County is required by federal and state laws
and regulations to place a final cover on its landfill when it stops accepting waste and to perform certain maintenance and
monitoring functions at the site for thirty years after closure. Although closure and post-closure costs will be paid only
near or after the date that the landfill stops accepting waste, the County reports a portion of these closure and post-closure
costs as operating expense in each period based on landfill capacity used at fiscal year end. The liability related to closure
and post-closure care costs is reported in the Solid Waste System enterprise fund.
I. Unamortized Charges. In the government-wide and proprietary fund statements, bond discounts, premiums and
prepaid insurance costs are capitalized and amortized over the life of the bonds using the bonds outstanding method,
which approximates the effective interest method. Bonds payable are reported net of applicable discounts and premiums.
Prepaid bond insurance costs are reported as other assets and all other issuance costs are expensed as incurred. For
governmental funds, bond issuance costs, premiums and discounts are recognized during the current period.
J. Deferred Outflows/Inflows of Resources. In addition to assets, the Statement of Net Position includes a separate
section for deferred outflows of resources that represents a consumption of net position that applies to a future period and
pension contributions subsequent to the measurement date and will not be recognized as outflows of resources (expense)
until that time. The deferred outflows of resources in the Statement of Net Position represents the difference between
expected and actual experience, changes in assumptions, the net difference between projected and actual earnings on
pension plan investments, changes in the proportion and differences between the County’s contributions and
proportionate share of contributions relating to pension plans. The County has also reported the deferred amount on debt
refunding as a deferred outflow of resources in the Statement of Net Position in the business-type activities and the
proprietary funds. A deferred amount on refunding results from the difference between the reacquisition price and the net
carrying amount of the old debt resulting from refunding transactions in government-wide and proprietary fund
statements and is capitalized and amortized over the shorter of the life of the new debt or the remaining life of the old
debt. Unamortized amounts are reported as deferred outflows of resources and amortized and reported as a component of
interest expense.
In addition to liabilities, the Statement of Net Position in Governmental Activities includes a separate section for deferred
inflows of resources that represents an acquisition of net position that applies to a future period and so will not be
recognized as an inflow of resources (revenue) until that time. This section includes deferred inflows of resources in the
representing the difference between expected and actual experience, changes in assumptions, the net difference between
projected and actual earnings on pension plan investments, changes in the proportion and differences between the
County’s contributions and proportionate share of contributions relating to pension plans. The section also includes
amounts resulting from the receipt of grants with grantor stipulations that funds received cannot be used until future
periods. These amounts are capitalized and recognized as an inflow of resources in the period when the time
45
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
requirements have been met and the amounts may be spent. These amounts are also reported as deferred inflows in the
governmental funds balance sheet. The County has also reported unavailable revenue - notes receivable which arise only
under a modified accrual basis of accounting that qualify for reporting in this category in the governmental funds balance
sheet only. The amounts are deferred and recognized as an inflow of resources in the period the amounts become
available. Balances at fiscal year end of deferred inflows and outflows of resources were as follows:
Governmental Business Type Primary Governmental
Activities Activities Government Funds
Deferred outflows:
Pension related 108,362,084$ 7,908,354$ 116,270,438$ 536,476$ -$
Losses on debt refunding - 4,813,202 4,813,202 - -
108,362,084$ 12,721,556$ 121,083,640$ 536,476$ -$
Deferred inflows:
Pension related 114,395,399$ 8,159,929$ 122,555,328$ 103,695$ -$
Unavailable notes receivable - - - - 13,227,022
Unavailable grant advances 2,061,015 - 2,061,015 - 2,061,015
116,456,414$ 8,159,929$ 124,616,343$ -$ 15,288,037$
Component
Units
K. Pensions. For purposes of measuring the net pension liability, deferred outflows/inflows of resources, and pension
expense, information about the fiduciary net position of the Florida Retirement System (FRS) defined benefit plan and the
Health Insurance Subsidy (HIS) and additions to/deductions from FRS’s and HIS’s fiduciary net position have been
determined on the same basis as they are reported by the FRS and HIS plans. For this purpose, plan contributions are
recognized when due and payable in accordance with plan terms.
L. Fund Balances. Fund balances are reported in classifications depending on whether the amounts are spendable or
nonspendable. Spendable amounts are further classified based on external and/or internal constraints. See Note 13 for
further explanation of the classifications on the financial statements.
M. Reclassifications. Certain reclassifications to the separately issued component unit financial statements have been
made to conform to the presentation format in the Comprehensive Annual Financial Report.
N. Implementation of New Pronouncements. For the fiscal year ended September 30, 2015, the County implemented
the following GASB pronouncements:
GASB Statement Number 68, Accounting and Financial Reporting for Pensions, replaces the requirements of Statement
Number 27, Accounting for Pensions by State and Local Governmental Employers and Statement Number 50, Pension
Disclosures, as they relate to governments that provide pensions through pension plans administered as trusts or similar
arrangements that meet certain criteria. Statement Number 68 requires governments providing defined benefit pensions to
recognize their long-term obligation for pension benefits as a liability for the first time, and to more comprehensively and
comparably measure the annual costs of pension benefits. The Statement also enhances accountability and transparency
through revised and new note disclosures (see Note 15 Retirement Plan) and required supplementary information (RSI).
The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2014. See
Note 19 for the effect of the implementation of this pronouncement on the financial statements.
GASB Statement Number 69, Government Combinations and Disposals of Government Operations established
accounting and financial reporting standards related to government combinations and disposals of government operations.
As used in this Statement, the term “government combinations” includes a variety of transactions referred to as mergers,
acquisitions, and transfers of operations. The distinction between a government merger and a government acquisition is
based upon whether an exchange of significant consideration is present within the combination transaction. Government
46
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
mergers include combinations of legally separate entities without the exchange of significant consideration. This
Statement requires the use of carrying values to measure the assets and liabilities in a government merger. Conversely,
government acquisitions are transactions in which a government acquires another entity, or its operations, in exchange for
significant consideration. This Statement requires measurements of assets acquired and liabilities assumed generally to be
based upon their acquisition values as well as provides guidance for transfers of operations that do not constitute entire
legally separate entities and in which no significant consideration is exchanged. This Statement defines the term
operations for purposes of determining the applicability and requires the use of carrying values to measure the assets and
liabilities in a transfer of operations. A disposal of a government’s operations results in the removal of specific activities
of a government. It also provides accounting and financial reporting guidance for disposals of government operations that
have been transferred or sold as well as requires disclosures to be made about government combinations and disposals of
government operations to enable financial statement users to evaluate the nature and financial effects of those
transactions. The provisions of this Statement are effective for financial statements for periods beginning after December
15, 2013. The implementation of this pronouncement did not have a material impact on the financial statements.
GASB Statement Number 71, Pension Transition for Contributions Made Subsequent to the Measurement Date – An
Amendment of GASB Statement Number 68, addresses an issue regarding application of the transition provisions of
Statement Number 68, Accounting and Financial Reporting for Pensions. The issue relates to the amounts associated
with contributions to a defined benefit pension plan after the measurement date of the government’s beginning net
pension liability. This Statement is effective for fiscal years beginning after June 15, 2014 and is required to be applied
simultaneously with the provisions of Statement Number 68.
NOTE 2 - Stewardship, Compliance and Accountability
A. Budgetary Information. Chapters 129 and 200, Florida Statutes, govern the preparation, adoption, and
administration of the County's annual budget. The budget shall be balanced: that is, the total of the estimated receipts,
including balances brought forward, shall equal the total of the appropriations and reserves. Budgets for the
governmental funds are prepared in accordance with GAAP, using the modified accrual basis of accounting, except for
the Supervisor of Elections Special Revenue Fund.
The annual budget, both operating and capital improvement, serves as the legal authorization for expenditures. During
the fiscal year, supplemental budget appropriations were made to increase the annual budgets of several funds including
the General Fund. The effect of these supplemental appropriations on the General Fund resulted in increased
appropriations of $3,484,900. The majority of the supplemental appropriations were a result of new or renewed grant
programs or re-appropriation of unanticipated remaining funds of prior years. The budget of the Sheriff’s Operations
Fund was decreased by $1,091,199 to cover various law enforcement programs funded primarily by law enforcement
grant and contract revenues. Other supplemental appropriations are not material to the financial statements.
Budgetary control is maintained at the combined major object expenditure level (i.e. total of personal services, operating
expenses, capital outlay and grants and aids) on a cost center basis. Departmental budget/actual comparison reports at the
object and subobject expenditure level of control are available for public inspection in the Finance Division. As permitted
by Section 2400.112, Codification of Governmental Accounting and Financial Reporting Standards, individual fund
budget/actual comparisons at the department level are not presented. The voluminous detail would needlessly expand the
financial statements. A separate report demonstrating compliance with the budget is available and may be obtained from
Pinellas County Clerk of the Circuit Court and Comptroller, Finance Division, 14 South Fort Harrison Avenue, 3rd Floor,
Clearwater, Florida 33756.
The adopted budget cannot be changed except by an amendment or a budget supplement. The budgetary data presented is
as amended by the Board for the fiscal year. State statutes provide that the Board may amend the adopted budget when:
1. Appropriations for a fund are increased and decreased by the same amount so that total appropriations do not
change;
2. Reserves for future construction and improvements are appropriated by a resolution;
47
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
3. A receipt from a source not anticipated in the budget and received for a particular purpose may be appropriated by a
resolution; and
4. A receipt from a source not anticipated in the budget and not designated for a particular purpose is presented by
budget supplement to the Board.
This requires proper public notice to allow public comments before adoption. All governmental and proprietary funds of
the primary government legally adopted budgets.
…
B. Deficit Fund Balances/Net Position.
The Employee Health Benefits Fund and Sheriff’s Health Benefits Fund had deficit net position of $74,695,883 and
$141,175,648 respectively, at fiscal year end attributable primarily to funding other post-employment benefits on a pay as
you go basis and the net pension liability. Charges to other funds will be increased in future years to reduce the deficit.
NOTE 3 – Property Taxes
Current Taxes. All property taxes that are levied on October 1 (based on assessed values on January 1, which is also the
tax lien date), become due and payable on November 1, and are delinquent on April 1 of the following year. Discounts
are allowed for early payment of 4, 3, 2 and 1% in November through February, respectively. Property taxes receivable
are not included in the financial statements as delinquent taxes as of year-end, since the amount is immaterial. The
maximum ad valorem tax millage rate is limited to 10 mills by Section 200.071, Florida Statutes.
Unpaid Taxes - Sale of Certificates. The Tax Collector advertises as required by statute and, at public auction, sells tax
certificates for unpaid taxes on all real property. Certificates not purchased are issued to the County. Any person owning
real property upon which a tax certificate has been sold may redeem the real property by paying the Tax Collector the
face amount of the tax certificate plus interest and other costs.
Tax Deeds. The owner of a tax certificate may at any time after taxes have been delinquent (April 1), for two years, file
an application for tax deed sale. The County, as a certificate owner, may exercise similar procedures. Tax deeds are
issued to the highest bidder for the property which is sold at public auction.
NOTE 4 - Deposits
A. Primary Government
Deposits: The County maintains a cash pool for the deposits of all governmental, internal service and agency funds.
Each enterprise fund maintains its own cash accounts. Each fund type’s portion of these balances is shown on the
respective balance sheets and statement of net position as cash or cash and cash equivalents.
Custodial Credit Risk – Deposits
According to Chapter 280, Florida Statutes, County monies must be deposited with financial institutions designated as
qualified public depositories by the Chief Financial Officer of the State of Florida. In accordance with this statute,
qualified public depositories are required to pledge eligible collateral in varying percentages. Any losses to public
depositors are covered by applicable deposit insurance, by the sale of pledged securities and, if necessary, by assessments
against other qualified public depositories. At fiscal year end, all deposits were covered by Federal depository insurance
or by pledged collateral.
48
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Investments: At September 30, the County’s investments, along with their respective ratings, were as follows:
Credit
Investment Type Fair Value Rating
Local Government Surplus Funds Trust Fund (Florida Prime) 274$ AAAm
Certificate of Deposit 23,944 Unrated
Florida Local Government Investment Trust
Day to Day Fund LGIP 20,151,734 AAAm
Florida Cooperative Liquid Asset Securities System (FLCLASS) 40,014,792 AAAm
Money Market funds 205,905 N/A
Direct obligations of the U.S. Treasury 64,123,098 Aaa/AA+
Federal Agencies and Instrumentalities 475,560,503 Aaa/AA+
600,080,250$
Investment Policy
The investment program of the County is established in accordance with the County's investment policy, pertinent bond
resolutions, Sections 125 and 218.415, Florida Statutes, and Pinellas County Code Section 2-144 and Resolution 10-2.
The County's Investment Policy is designed to ensure the prudent management of funds, and the availability of operating
and capital funds when required, while earning a competitive return within the policy framework. The primary
objectives, in order of priority, of investment activity shall be safety, liquidity, and yield.
The County’s investment policy, excluding the other Constitutional Officers, authorizes the following investments:
Florida Local Government Surplus Funds Trust Fund (Florida Prime) and any intergovernmental investment
pool authorized pursuant to the Florida Interlocal Cooperation Act of 1969, as provided in Section 163.01,
Florida Statutes
Securities and Exchange Commission registered money market funds
Savings accounts and certificates of deposit in state-certified qualified public depositories, as defined in
Section 280.02, Florida Statutes
Direct obligations of the U.S. Treasury
Obligations of Federal agencies and instrumentalities
Commercial paper, credit quality rated A1, P1
Repurchase Agreements
Asset-Backed Corporate Notes
The Clerk of the Circuit Court and Comptroller, Property Appraiser and Sheriff’s investment policies are guided by
Section 219.075, Florida Statutes - Investment of Surplus Funds by County Officers and Section 218.415, Florida Statutes
– Local Government Investment Policies. The Tax Collector follows the guidance in Section 218.415, Florida Statutes.
Credit Risk – Investments
The County’s investment policy limits credit risk by restricting investments to the list provided above. Money market
funds must maintain the highest credit quality rating from a nationally-recognized rating organization. Commercial paper
must have a credit quality rated A1, P1 from a nationally-recognized statistical rating organization.
Custodial Credit Risk – Investments
The County's investment policy requires the County to execute a third-party custodial safekeeping agreement with a
commercial bank's trust department, which is separately chartered by the United States Government or the State of
Florida. All securities purchased and collateral obtained by the County shall be properly designated as an asset of the
County and held in safekeeping by the trust department.
Concentration of Credit Risk – Investments
The investment policy provides guidelines on maximum limits for security diversification with the option to further
restrict or increase investment percentages from time to time based on market conditions, with bond covenant
requirements excluded from the composition calculation. The portfolio was maintained within those guidelines.
49
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
The portion of the County’s portfolio invested in Federal instrumentalities at fiscal year end was as follows:
Issuer Amount
Percent of
Portfolio
Federal National Mortgage Association 141,987,348$ 24%
Federal Farm Credit Bank 99,987,200 17%
Federal Home Loan Bank 154,221,105 26%
Federal Home Loan Mortgage Corporation 79,364,850 13%
475,560,503$
Interest Rate Risk – Investments
Section 218.415 of the Florida Statutes requires the County's investment policy be structured to place the highest priority
on the safety of principal and liquidity of funds. Accordingly, the County's investment policy requires that all investment
of current operating funds be in maturities no longer than twelve months. Investment of construction funds, bond fund
reserves, and other non-operating funds shall have a term appropriate to the need of the funds, but in no event shall the
maturities exceed five years. Reserve funds may be invested up to ten years if the maturity of such investments is made
to coincide as nearly as practicable with the expected use of funds. The weighted average duration of the portfolio shall
not exceed three years. No surplus funds may be invested in a derivative investment, as defined in Section 218.45(5),
Florida Statutes. The FLGIT-Day to Day Fund LGIP, Florida Prime and FLCLASS are 2a-7 like investment pools.
At September 30, the fair value of the County’s portfolio categorized by maturity was as follows:
Investment Type Fair Value - Less than 1 1-3 . More than 3
Florida Prime 274$ 274$ -$ -$
Certificate of Deposit 23,944 23,944 - -
FLGIT-Day to Day Fund LGIP 20,151,734 20,151,734 - -
FLCLASS 40,014,792 40,014,792 - -
Money Market Mutual Funds 205,905 205,905 - -
Direct obligations of the U.S. Treasury 64,123,098 41,093,317 21,867,793 1,161,988
Federal Agencies and Instrumentalities 475,560,503 150,098,033 283,443,451 42,019,019
600,080,250$ 251,587,999$ 305,311,244$ 43,181,007$
Investment Maturities in Years
B. Component Units
Deposits: At September 30, the component units’ deposits were covered by federal depository insurance or by collateral
pledged with the State Treasurer pursuant to Chapter 280, Florida Statutes.
Investments: At September 30, investments, with respective ratings, were as follows:
Metropolitan Housing Health Total
Planning Planning Finance Facilities Component Credit
Investment Type Council Organization Authority Authority Units Rating
Florida Prime 97,832$ -$ -$ -$ 97,832$ AAAm
Whole loan mortgages - - 929,824 - 929,824 Unrated
Investment agreements - - 158,427 - 158,427 Aa3-Aaa
Agencies: Government Agency Obligations - - 99,354,529 - 99,354,529 AA+
Instrumentalities - - 12,484,193 - 12,484,193 AA+
Total Investments 97,832$ -$ 112,926,973$ -$ 113,024,805$
Fair Value
Investment Policy The Housing Finance Authority’s (HFA) investment policy authorizes the following investments:
Florida Local Government Surplus Funds Trust Fund
Securities and Exchange Commission registered money market funds
50
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Interest bearing time or demand deposits with any qualified depository institution
Direct obligations of the U.S government or agency thereof
Obligations of Federal agencies and instrumentalities
Contracts for the purchase and sale of government obligations as described in the Florida Housing Act
The other component units invest within the limitations of applicable Florida Statutes.
Credit Risk – Investments
Funds held under a bond resolution or other security agreement shall be invested with investment agreement providers
that have a rating of at least “AAA” to “AA-“ from Standard and Poor’s Rating Services (“S&P”), or at least “Aaa” to
“Aa3” from Moody’s Investor Services Inc., and that otherwise satisfy any additional requirements imposed by the
applicable bond resolution credit risk by limiting investments to securities listed by the HFA as permitted investments and
by ensuring that financial institutions are considered authorized by the HFA. Authorized financial institutions are defined
in the investment policy as financial institutions that have a rating of 150 or better and trustees that have a reported capital
and surplus of not less than $50,000,000 or such greater amount as may be provided in the applicable bond resolution or
other security agreement.
Concentration of Credit Risk – Investments
The HFA diversifies its investment portfolio to minimize the impact of potential losses from one type of security or
individual issuer, excluding U.S. Treasuries and Federally Guaranteed Obligations. The HFA had investments with the
following issuers in the percentages of total investments shown below: Percent of
Issuer Amount Portfolio .
Federal Home Loan Mortgage Corporation $ 393,934 .3%
Federal National Mortgage Association 12,090,259 10.7%
$12,484,193
Interest Rate Risk – Investments
The HFA’s investment policy to minimize interest rate risk is to structure the investment portfolio so that the securities
mature to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities on the open market
prior to maturity. At September 30, the fair value of the component units’ investments categorized by maturity follows:
Investment Type Fair Value Less than 1 1-3 More than 3
Florida Prime 97,832$ 97,832$ -$ -$
Whole loan mortgages 929,824 - - 929,824
Investment agreements 158,427 - - 158,427
Agencies: Government Agency Obligations 99,354,529 293,090 - 99,061,439
Instrumentalities 12,484,193 - - 12,484,193
113,024,805$ 390,922$ -$ 112,633,883$
.
Investment Maturities in Years -
The following is a reconciliation of the County’s cash and investment balances at fiscal year end:
Fiduciary Fund Total
Total Primary Component Statement of Reporting
Government Units Net Position Entity
Cash and cash equivalents 317,276,476$ 13,124,757$ 68,776,780$ 399,178,013$
Investments 593,946,915 113,024,805 6,133,335 713,105,055
911,223,391$ 126,149,562$ 74,910,115$ 1,112,283,068$
Government-Wide
Statement of Net Position
51
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 5 - Receivables and Payables
A. Receivables at year end were as follows:
Special Other
Accounts Notes Interest Assessments Governments Total
Governmental activities:
General 248,293$ -$ 269,924$ -$ 9,036,567$ 9,554,784$
Sheriff's Operations 114,711 - - - 1,019,583 1,134,294
Non-voted Capital Projects 61,700 - 241,397 - 26,145,421 26,448,518
Emergency Medical Service 5,265,000 - 80,493 - - 5,345,493
Nonmajor Governmental 653,764 13,227,022 195,734 359,503 11,183,332 25,619,355
Internal Service 755,138 - 241,525 - 453,488 1,450,151
Total fund statements 7,098,606 13,227,022 1,029,073 359,503 47,838,391 69,552,595
Accounts receivable for
revenue not available 1,966,559 - - - - 1,966,559
Total governmental activities 9,065,165$ 13,227,022$ 1,029,073$ 359,503$ 47,838,391$ 71,519,154$
Amounts not due in one year -$ 13,227,022$ -$ -$ -$ 13,227,022$
Business–type activities: -
Water System 8,838,299$ 41,068,681$ 146,353$ -$ 3,846,921$ 53,900,254$
Sewer System 7,519,715 - 172,920 642 2,344,078 10,037,355
Solid Waste System 8,480,505 - 690,773 - - 9,171,278
Nonmajor
Enterprise fund 1,038,465 - 45,406 - 3,721,861 4,805,732
Total business-type activities 25,876,984$ 41,068,681$ 1,055,452$ 642$ 9,912,860$ 77,914,619$
Amounts not due in one year -$ 38,747,826$ -$ -$ -$ 38,747,826$
B. Payables at year end were as follows:
Salaries and Deposits and Other
Accounts Benefits Contracts Other Governments Total
Governmental activities:
General 5,820,807$ 2,157,455$ -$ -$ 1,989,934$ 9,968,196$
Sheriff's Operations 1,309,630 5,654,721 - 201,285 84,730 7,250,366
Non-voted Capital Projects 10,938,190 - 102,365 - 10,161,451 21,202,006
Emergency Medical Service 3,340,862 91,999 - - 208,145 3,641,006
Nonmajor Governmental 15,253,705 3,010,599 32,545 2,592,776 7,108,676 27,998,301
Internal Service 4,025,138 666,802 588,437 - 8,052 5,288,429
Total fund statements 40,688,332 11,581,576 723,347 2,794,061 19,560,988 75,348,304
Pollution remediation obligations
not payable from current resources - - - 790,000 - 790,000
Total governmental activities 40,688,332$ 11,581,576$ 723,347$ 3,584,061$ 19,560,988$ 76,138,304$
Business–type activities:
Water System 2,599,569$ 418,001$ 362,244$ 7,482,850$ 1,263,503$ 12,126,167$
Sewer System 4,606,033 498,972 71,054 - 96,088 5,272,147
Solid Waste System 21,152,234 190,373 790,343 847,896 166,985 23,147,831
Nonmajor
Enterprise fund 4,839,530 135,743 743,857 5,246 - 5,724,376
Total business-type activities 33,197,366$ 1,243,089$ 1,967,498$ 8,335,992$ 1,526,576$ 46,270,521$
52
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
C. Note Receivable Tampa Bay Water. Tampa Bay Water, a jointly governed organization consisting of members
from the counties of Pinellas, Hillsborough and Pasco and the cities of St. Petersburg, Tampa and New Port Richey, is
now the exclusive regional wholesale water supplier for the tri-county area. Under an interlocal agreement, member
governments, with the exception of the City of Tampa, transferred ownership or rights to their water supply resources to
Tampa Bay Water. The County transferred its interests for cash upon closing and the remainder is to be received as
credits toward annual water purchases through October 1, 2028. The value of the credits totaling $41,068,681 is recorded
in current and long term notes receivable of $2,320,855 and $38,747,826 respectively.
D. Mortgage Notes Receivable – Affordable Housing Programs. Notes receivable in the nonmajor governmental
funds totaling $13,227,022 represent low interest mortgage notes to finance multi-family and single family construction
and rehabilitation projects as a part of the County’s affordable housing program. The sources of funding for these
projects are the State Housing Initiative Partnership (SHIP) program, and the federal Home Investment Partnership
(HOME) program, Community Development Block Grant (CDBG) program and ARRA-Neighborhood Stabilization
program. Liens have been recorded on these properties.
The County also has the following programs to help provide affordable housing to County residents: (a) The First Time
Home Buyers Down Payment Assistance program provides qualified first-time home buyers with a mortgage loan for
down payment assistance which is payable upon sale of the house, but will be forgiven if the borrower remains in the
house for 30 years; (b) the owner-occupied rehabilitation loan program allows qualified residents to apply for a mortgage
loan for rehabilitation purposes; and (c) new construction or rehabilitation of multi-family projects. Affordable housing
development programs provide mortgage loans for the acquisition, rehabilitation, and construction of multi-family
housing development projects. Liens on these properties have been recorded in official records for all programs, and in
certain cases a third-party administrator manages loan repayments. These programs are funded by CDBG, SHIP, HOME
and the County’s Housing Trust Fund. However, no mortgages receivable have been recorded in the financial statements
because the majority of these loans may ultimately be resolved when future events occur or fail to occur, for example the
sale of a house. The County will be further evaluating these loan programs to determine the impact these loans could
have on the financial statements, if any.
53
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 6 – Interfund Receivables, Payables and Transfers
A. Balances at fiscal year end of interfund receivables and payables were as follows:
Receivable Fund Payable Fund
General Sheriff's Operations $ 1,708,179
Nonmajor Governmental 10,754,890
Sheriff's Operations General 73,665
Nonmajor Governmental 1,626
Non-voted Capital Projects 24,008
Solid Waste System 360
Internal Service 2,350,050
Emergency Medical Service Nonmajor Governmental 353,375
Nonmajor Governmental General 320,960
Sheriff's Operations 19,553
Emergency Medical Service 108
Nonmajor Governmental 5,201,539
Solid Waste System Nonmajor Governmental 19
Internal Service Sheriff's Operations 1,297,487
Nonmajor Governmental 214,632
Internal Service 18,566,948
Total $ 40,887,399
Amount
Interfund receivables resulted from the time between the receipt of goods and the provision of services and the related
reimbursement as a part of normal business operations. All balances are expected to be repaid within one year.
B. Transfers to/from other funds for the period were as follows:
Transfers to Fund Transfers from Fund
General Sheriff's Operations $ 602,188
Nonmajor Governmental 11,223,060
Sheriff's Operations General 249,789,210
Nonmajor Governmental 10,000
Non-voted Capital Projects General 877,316
Nonmajor Governmental 7,791,890
Emergency Medical Service Nonmajor Governmental 324,723
Nonmajor Governmental General 44,869,428
Emergency Medical Service 1,436,448
Nonmajor Governmental 1,896,055
Internal Service General 2,000,000
Internal Service 1,385,471 Total $ 322,205,789
Amount
Transfers are used to (1) fund operations of the Constitutional Officers as required by Florida Statutes; any excess fees of
the Constitutional Officers at fiscal year end are transferred back to the respective funds proportionate to the original
distribution, (2) move funds as required by statutes, ordinances, or budget, and (3) use unrestricted revenues of the
general fund to finance various programs accounted for in other funds in accordance with budgetary authorizations.
54
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 7 - Capital Assets
A. Capital asset activity for the fiscal year was as follows:
Governmental activities:
Beginning Ending
Balance Increases Decreases Balance
Capital assets not being depreciated:
Land 391,009,142$ 411,396$ (8,200)$ 391,412,338$
Construction in progress 97,078,640 63,465,477 (82,608,401) 77,935,716
Total capital assets not being depreciated 488,087,782 63,876,873 (82,616,601) 469,348,054
Capital assets being depreciated:
Buildings 586,569,328 22,413,628 (26,449) 608,956,507
Improvements other than buildings 300,274,126 25,742,443 (75,304) 325,941,265
Equipment 274,107,449 20,213,517 (31,093,710) 263,227,256
Intangible assets 44,155,494 2,806,567 (106,083) 46,855,978
Infrastructure 1,318,598,333 31,858,416 - 1,350,456,749
Total capital assets being depreciated 2,523,704,730 103,034,571 (31,301,546) 2,595,437,755
Less accumulated depreciation for:
Buildings (164,359,323) (16,202,786) 8,833 (180,553,276)
Improvements other than buildings (170,003,717) (14,074,172) 36,938 (184,040,951)
Equipment (226,205,757) (13,406,469) 30,781,548 (208,830,678)
Intangible assets (15,353,933) (3,284,800) 106,083 (18,532,650)
Infrastructure (531,587,607) (30,107,196) - (561,694,803)
Total accumulated depreciation (1,107,510,337) (77,075,423) 30,933,402 (1,153,652,358)
Total capital assets being depreciated, net 1,416,194,393 25,959,148 (368,144) 1,441,785,397
Governmental activities capital assets, net 1,904,282,175$ 89,836,021$ (82,984,745)$ 1,911,133,451$
Business-type activities:
Capital assets not being depreciated:
Land 69,933,165$ -$ -$ 69,933,165$
Construction in progress 52,557,012 58,049,637 (45,333,260) 65,273,389
Total capital assets not being depreciated 122,490,177 58,049,637 (45,333,260) 135,206,554
Capital assets being depreciated:
Buildings 133,000,810 239,819 (3,372,217) 129,868,412
Improvements other than buildings 1,785,135,262 44,150,351 - 1,829,285,613
Equipment 39,442,188 6,445,019 (4,550,523) 41,336,684
Intangible assets 5,015,302 49,725 - 5,065,027
Total capital assets being depreciated 1,962,593,562 50,884,914 (7,922,740) 2,005,555,736
Less accumulated depreciation for:
Buildings (54,522,852) (3,726,866) 1,926,981 (56,322,737)
Improvements other than buildings (666,545,091) (41,150,630) - (707,695,721)
Equipment (32,685,287) (1,993,790) 4,473,575 (30,205,502)
Intangible assets (1,697,164) (274,159) - (1,971,323)
Total accumulated depreciation (755,450,394) (47,145,445) 6,400,556 (796,195,283)
Total capital assets being depreciated, net 1,207,143,168 3,739,469 (1,522,184) 1,209,360,453
Business-type activities capital assets, net 1,329,633,345$ 61,789,106$ (46,855,444)$ 1,344,567,007$
55
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Governmental activities
General government 9,746,661$
Public safety 17,670,628
Physical environment 11,409,809
Transportation 26,369,470
Economic environment 823,676
Human services 786,044
Culture and recreation 5,156,047
Subtotal 71,962,335
Internal Service funds 5,113,088
Total governmental activities 77,075,423$
Business-type activities
Water System 9,506,977$
Sewer System 18,428,287
Solid Waste System 15,099,846
Nonmajor enterprise fund 4,110,335
Total business-type activities 47,145,445$
B. Depreciation expense was charged to functions as follows:
Interest incurred in the fiscal year was $6,747,531 of which $564,614 was capitalized and $6,182,917 expensed in the
Enterprise Funds.
NOTE 8 - Leases
A. Rental Income Under Operating Leases. The County leases various real estate to others under operating leases,
expiring over various periods from 1 to 55 years including renewal options. The cost and accumulated amortization of
leased assets is $34,105,153 and $9,945,288 respectively, for a carrying value of $24,159,865.
The following is a schedule of minimum future rental income for the next five years and thereafter on non-cancellable
operating leases, including option renewals of $62,122,739 through the year 2049:
Business-type Activities
Fiscal Governmental Nonmajor
Year ending Activities Enterprise Fund
2016 4,315,138$ 3,908,863$
2017 4,067,194 2,823,359
2018 4,067,394 2,376,926
2019 4,064,443 2,055,474
2020 4,084,323 1,987,843
2021-2025 20,540,650 9,116,878
2026-2030 21,675,351 7,695,522
2031-2035 14,736,470 7,646,849
2036-2040 2,117,810 4,329,189
2041-2045 2,117,810 3,250,317
Thereafter 10,842,454 1,359,678
Total future minimum lease income 92,629,037$ 46,550,898$
56
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
B. Rental Expenditures Under Operating Leases. The County is committed under various leases for building and
office space. These leases are considered for accounting purposes to be operating leases. Lease expenditures for the
fiscal year totaled $4,320,486. Future minimum lease payments for these leases were as follows:
Fiscal
Year ending Amount
2016 4,077,827$
2017 3,920,380
2018 3,132,639
2019 2,954,955
2020 766,546
2021-2025 2,563,479
2026-2030 37,115
Total future minimum lease payments 17,452,941$
C. Capital Leases. The County lease certain equipment under capital lease arrangements related to governmental
activities. The gross amount of assets acquired under capital leases is $266,650. The future minimum lease payments at
fiscal year end were as follows:
Fiscal
Year ending Amount
2016 20,520$
2017 24,520
Total minimum lease payments 45,040
Less amount representing interest (4,169)
Total future minimum lease payments 40,871$
NOTE 9 - Closure and Post Closure Care Costs
The County has reported $31,159,676 as landfill closure and post closure care liability at year end in the Solid Waste
System Enterprise Fund. This represents the cumulative amount reported to date based on the use of 14 percent of the
estimated capacity of the South and West landfill in Bridgeway Acres and the sod farm. The County will recognize the
remaining estimated cost of closure and post closure care of $190,129,126 as the remaining capacity is filled for
Bridgeway Acres and the sod farm. These amounts are based on the total estimated costs to perform all closure and post
closure care at fiscal year end. The County expects to run out of capacity at the South landfill in the year 2052, at the
West landfill in the year 2058 and the sod farm in the year 2105. Actual costs may be higher due to inflation, changes in
technology, or changes in regulations. The County expects that future inflation costs will be paid from interest earnings
or from charges to future landfill users.
The County is required by state and federal laws and regulations to prove financial assurance for closure and post closure
care costs. The County has chosen to meet the financial test as defined in 40 CFR, Chapter 1, Subpart H, Section 264.
To meet the requirements of the financial test, we report that no assets are held outside the United States of America.
57
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 10 - Long-Term Debt
PRIMARY GOVERNMENT
A. Revenue bonds outstanding related to business-type activities at fiscal year end were as follows:
Issued Current Noncurrent Total
Sewer Revenue Bonds,
Series 2003, dated 01/01/03, due 2003-2032, 5.0% 86,580,000$ -$ 5,215,000$ 5,215,000$
Sewer Revenue Refunding Bonds,
Series 2006, dated 11/22/06, due 2007-2024, 3.75-5.0% 25,205,000 1,440,000 16,015,000 17,455,000
Sewer Revenue Bonds,
Series 2008 A, dated 7/09/08, due 2009-2028, 4.41% 42,005,000 405,000 39,505,000 39,910,000
Sewer Revenue Refunding Bonds,
Series 2008 B-1, dated 7/09/08, due 2009-2024, 4.24% 32,700,000 85,000 32,195,000 32,280,000
Sewer Revenue Refunding Bonds,
Series 2011, dated 7/21/11, due 2011-2017, 1.8745% 20,870,000 3,410,000 7,020,000 10,430,000
Sewer Revenue Refunding Bonds,
Series 2012, dated 7/17/12, due 2013-2031, 3.0 - 5.0% 59,510,000 2,390,000 54,770,000 57,160,000
266,870,000$ 7,730,000$ 154,720,000$ 162,450,000$
Balance Outstanding
The Sewer Revenue Bonds are payable from and secured by a first lien upon and a pledge of the net revenues derived
from the operation of the Sewer System. The reserve fund requirement for the 2003 and 2006 Bonds has been met
through the purchase of a surety bond. The requirement for the Series 2008 and 2008 B-1 Bonds has been met by
setting aside a cash reserve.
58
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Restated
Beginning Ending Due Within
Balance Additions Reductions Balance One Year
Notes 8,713,566$ 5,520,121$ (2,675,173)$ 11,558,514$ 3,927,244$
37,360,619 84,739,157 (86,941,717) 35,158,059 13,003,960
43,205,511 35,028,147 (32,747,312) 45,486,346 29,468,242
116,446 - (75,575) 40,871 19,009
Other post employment benefits 242,718,814 54,409,891 (20,302,900) 276,825,805 -
Net pension liability 157,330,828 195,425,926 (106,090,526) 246,666,228 -
489,445,784$ 375,123,242$ (248,833,203)$ 615,735,823$ 46,418,455$
169,995,000$ -$ (7,545,000)$ 162,450,000$ 7,730,000$
-
5,054,587 - (503,537) 4,551,050 -
175,049,587 - (8,048,537) 167,001,050 7,730,000
30,646,864 512,812 - 31,159,676 -
3,737,673 2,867,749 (2,902,831) 3,702,591 2,902,831
Other post employment benefits 22,751,512 4,626,597 (2,205,468) 25,172,641 -
Net pension liability 13,475,833 16,967,751 (8,802,032) 21,641,552 -
245,661,469$ 24,974,909$ (21,958,868)$ 248,677,510$ 10,632,831$
Total bonds payable
Total governmental activities
B. Changes in long-term obligations for the fiscal year were as follows:
Governmental activities:
Claims and judgments
Compensated absences
Capital leases
Revenue bonds
long-term obligations
Business-type activities:
Plus
Unamortized premiums
Claims and judgments in the governmental activities are liquidated in the internal service funds. Compensated
absences and other post employment benefit obligations are liquidated in the respective general, special revenue, or
proprietary funds from which expenses are paid.
Closure care costs
Compensated absences
Total business-type activities
long-term obligations
C. Debt service requirements related to long-term debt at fiscal year end were as follows:
Fiscal
Year ending Principal Interest Principal Interest
2016 3,927,244$ 104,018$ 7,730,000$ 6,628,957$
2017 3,460,376 91,649 7,935,000 6,402,789
2018 2,902,830 45,790 8,160,000 6,156,841
2019 1,268,064 12,861 8,750,000 5,831,834
2020 - - 9,130,000 5,459,018
2021-2025 - - 51,935,000 20,713,024
2026-2030 - - 54,630,000 8,196,157
2031-2033 - - 14,180,000 1,013,973
11,558,514$ 254,318$ 162,450,000$ 60,402,593$
Notes Sewer Revenue Bonds
Governmental Activities Business-type Activities
59
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
COMPONENT UNITS
A. Changes in long term obligations for the fiscal year were as follows:
Restated
Beginning Ending Due Within
Balance Additions Reductions Balance One Year
Housing Finance Authority
92,618,387$ 20,201,069$ (20,572,384)$ 92,247,072$ 930,000$
Due to other governments 1,229,943 148 (400,924) 829,167 -
Other liabilities 6,661,100 - (608,889) 6,052,211 -
Net pension liability 29,633 208,927 (98,156) 140,404
Planning Council
229,343 370,866 -$ 600,209
Other liabilities - 30,829 30,829 17,358
55,905 240,920 (114,567) 182,258 20,312
100,824,311$ 21,052,759$ (21,794,920)$ 100,082,150$ 967,670$
Bonds payable
Total component unit long-term obligations
Compensated absences
Net pension liability
Bonds are issued in the form of serial, term and capital appreciation bonds. The annual percentage rate, maturity,
principal balance outstanding, and other information relating to bond indebtedness at fiscal year end are as follows:
Series Type Rate Maturity Outstanding
1998 Single Family Master Indenture Issues:
2006B Serial 4.40 2016 30,000$
Term 4.875-5.50 2032-2048 3,290,000
2007A Serial 4.80 2016 15,000
Term 4.85-5.45 2017-2048 4,200,000
2009 Master Indenture Single-Family Issues:
2009A-1 & 2010A Serial 2.35-3.60 2016-2021 860,000
Term 3.01-4.25 2027-2041 8,880,000
2009A-2 & 2011A Serial 2.10-4.00 2016-2022 1,490,000
Term 2.77-4.70 2026-2041 11,810,000
2009A-3 & 2011B Serial 2.125-3.65 2016-2022 1,755,000
Term 2.32-4.375 2027-2041 10,360,000
2009A-4 & 2012A Serial 1.00-2.625 2016-2023 2,520,000
Term 2.71 2041 8,900,000
2014A Term 2.90-3.40 2036-2045 17,299,313
2015A Term 2.90-3.35 2037-2045 19,802,724
Total outstanding bonds 91,212,037
1,035,035
92,247,072$
B. Detail of bonds outstanding for the Pinellas County Housing Finance Authority (HFA)
Unamortized bond premium
60
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
C. Debt service requirements related to HFA bonds payable at fiscal year end were as follows:
Assets of the various HFA programs are pledged for payment of principal and interest on the applicable bonds. Each
issue is collateralized by a separate collateral package. In addition, certain assets are further restricted for payment of
principal and interest in the event that the related debt service and other available funds are insufficient.
Provisions of the bond resolutions provide for various methods of redemption. Bonds are to be redeemed at par,
primarily from repayments of mortgage loans securing issues, from unexpended bond proceeds and excess program
revenues. Bonds are generally redeemable at the option of the HFA at premiums up to 5%. Certain term bonds require
mandatory sinking fund payment for their redemption.
Pursuant to various trust indentures and loan agreements, the assets and equity of the programs are restricted as to use.
Upon satisfaction of all bondholder indebtedness and payment of all remaining expenses, funds are disbursed to the HFA
or the respective entity as described in the trust indenture or loan agreement.
NOTE 11 - Commitments, Contingencies and Guarantees
A. Construction Commitments. A construction commitment is defined as the difference between the contract price
and the amount paid on that contract. Construction commitments at fiscal year-end were:
B. Federal and State Grants. Grant funds received by the County are subject to audit by grantor agencies and
independent auditors. Audits of these grants may result in disallowed costs, which may constitute a liability of the
applicable funds. The County feels that disallowed costs, if any, would be immaterial to its financial statements.
General Government 28,358,397$
Water System 3,419,835
Sewer System 5,177,237
Solid Waste System 104,919,354
Nonmajor enterprise fund 2,868,276
Fiscal
Year ending Principal Interest
2016 $ 930,000 $ 2,986,429
2017 940,000 2,968,210
2018 920,000 2,946,980
2019 920,000 2,924,090
2020 935,000 2,899,125
2021-2025 2,065,000 14,140,496
2026-2030 8,830,000 12,978,533
2031-2035 7,064,538 11,922,501
2036-2040 16,131,738 9,300,096
2041-2045 48,010,761 5,579,077
Thereafter 4,465,000 627,000
$ 91,212,037 $ 69,272,537
61
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
C. Forward Delivery Agreement - $14,733,000 Note Payable. On August 4, 2015, Pinellas County entered into a
Forward Delivery Agreement for the sale of $14,733,000 of the Pinellas County, Florida Sewer Refunding Note, Series,
2016 (Series 2016 Note) with an interest rate lock of 2.2%, closing on July 5, 2016. The Series 2016 Note is being
issued to provide funds, together with other County reserved funds, to pay the cost of issuance and the advance refunding
of $14,520,000 of the Pinellas County, Florida Sewer Revenue Refunding Bonds, Series 2006 (Series 2006 Bonds),
maturing on and after October 1, 2017, to be called for redemption on October 1, 2016. The Series 2006 Bonds bear
interest rates ranging between 4.125% and 5.00% with the final normal repayment due on October 1, 2024. The Series
2016 Note will have a final repayment date of October 1, 2024.
NOTE 12 – Restricted Net Position
The County’s restricted net position at fiscal year end was as follows:
Governmental Business-type
Activities Activities
Restricted by:
Enabling legislation 212,000,714$ -$
Grants 21,999,725 -
Other purposes 36,317,908 6,356,219
Total Restricted Net Position 270,318,347$ 6,356,219$
NOTE 13 – Fund Balances
Fund balances are classified as either spendable or nonspendable. Spendable fund balances are further classified based
on the extent to which there are external and internal constraints on the use of funds.
The classifications are as follows:
Nonspendable fund balances are not in spendable form or are legally or contractually required to be maintained intact.
Inventory and prepaid items fall in this category.
Spendable fund balances are classified based on the County’s ability to control the spending of the funds.
Restricted fund balances can only be spent for specific purposes imposed by external parties such as creditors,
grantors, contributors, or laws or regulations or imposed by law through constitutional provisions or enabling
legislation.
Committed fund balances can only be used for specific purposes imposed by formal action of the Board by
ordinance, the County’s highest level of decision making authority. Modifying or rescinding the specific
purposes that committed fund balances can be used requires formal action of the Board in the same form as the
original action.
Assigned fund balances are intended to be used for specific purposes but are not restricted or committed. The
Board can assign fund balance and as part of its budget policy, adopted by formal Board resolution, and has
delegated authority to the County Administrator to assign fund balances for specific uses.
Unassigned fund balance is the residual classification for the General Fund. This classification represents fund
balance that has not been included in other classifications and deficit balances resulting from overspending for
specific purposes in other governmental funds. There were no deficit fund balances at fiscal year end.
62
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
The purposes for fund balance shown on the face of the Balance Sheet - Governmental Funds were as follows:
Other
Non-Voted Emergency Non-major Total
Sheriff's Capital Medical Governmental Governmental
General Operations Projects Service Funds Funds
Fund balances
Nonspendable:
Inventory 17,150$ 1,136,883$ -$ -$ 2,266,152$ 3,420,185$
Prepaid items 371,158 318,786 14,250 - 508,985 1,213,179
Total nonspendable 388,308 1,455,669 14,250 - 2,775,137 4,633,364
Spendable:
Restricted
Sheriff services - 6,868,380 - - 95,482 6,963,862
Capital programs - - 101,993,056 - - 101,993,056
Emergency medical service - - - 33,351,605 - 33,351,605
Transportation - - - - 32,262,878 32,262,878
Health services - - - - 3,448,017 3,448,017
Community development programs - - - - 7,576,275 7,576,275
Industrial development - - - - 1,696,390 1,696,390
Emergency phone services - - - - 5,888,188 5,888,188
Tourist development - - - - 11,967,194 11,967,194
Fire protection - - - - 11,684,440 11,684,440
Air pollution control - - - - 594,870 594,870
Radio communications - - - - 228,462 228,462
Drug abuse programs - - - - 62,566 62,566
Paving and drainage - - - - 2,467,308 2,467,308
Court operations - - - - 510,486 510,486
Public records modernization - - - - 3,807,849 3,807,849
Total restricted - 6,868,380 101,993,056 33,351,605 82,290,405 224,503,446
Committed
Tree services - - - - 104,230 104,230
Library services - - - - 232,464 232,464
Affordable housing - - - - 1,151,617 1,151,617
Recreational and library services - - - - 232,349 232,349
Community services - - - - 687,376 687,376
Street lighting services - - - - 147,410 147,410
Navigational dredging - - - - 173,678 173,678
Stormwater utility services - - - - 6,514,995 6,514,995
Total committed - - - - 9,244,119 9,244,119
Assigned
Subsequent year expnditures 19,797,810 - - - - 19,797,810
Encumbered contracts 8,700,000 - - - - 8,700,000
Development review services - - - - 4,459,796 4,459,796
Animal welfare - - - - 465,803 465,803
Total assigned 28,497,810 - - - 4,925,599 33,423,409
Unassigned 98,593,031 - - - - 98,593,031
Total fund balances 127,479,149$ 8,324,049$ 102,007,306$ 33,351,605$ 99,235,260$ 370,397,369$
The Board has adopted a formal policy to maintain the fund balance of the General Fund at a level no less than 15%
of total General Fund resources.
63
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Restricted amounts are used first when both restricted and unrestricted fund balances are available for use for the
same purposes. Committed balances are used prior to assigned, and assigned fund balances are used prior to
unassigned balances when available for use for the same purpose.
NOTE 14 - Risk Management
A. Risk Financing Fund. The County is exposed to various risks of loss, including worker injury, property losses, and
various legal liability exposures such as auto liability, general liability, pollution, cyber risk and errors and omissions.
The County is substantially self-insured and accounts for and finances its risks of uninsured loss through the Risk
Financing Fund, an internal service fund. Under this program, the Risk Financing Fund provides coverage for up to $2
million per occurrence and/or claim for workers’ compensation. The fund provides coverage up to $1 million per
claim/occurrence subject to an annual aggregate of $15 million. Negligence claims in excess of the statutory limits set in
Section 768.28, Florida Statutes, which provide for limited sovereign immunity of $200,000/ $300,000 per occurrence
can only be recovered through an act of the State Legislature known as a claims bill. In the event a claims bill is filed
and awarded, and /or the claim is in excess of the County’s self-insured retention, the County has transferred additional
risks through the purchase of commercial insurance policies. For risks that are not subject to Section 768.28, or are
special property exposures, the County also maintains special policies providing coverage such as pollution, aviation,
and flood insurance with varying retentions. The results of the March 1, 2015 insurance renewal effort produced a
decrease in premiums by $150,000. Settled claims have not exceeded commercial coverage in the last three fiscal years.
All Funds of the County participate in the program and make payments to the Risk Financing Fund, with the exception
of the Sheriff’s Office with regard to liability and the Clerk of Circuit Court and Comptroller with regard to workers
compensation. Payments to the Risk Financing Fund are based on historical experience and include a provision for
premiums for insurance coverage purchased in excess of the $2 million self-insured retention as well as policies secured
for special property and/or liability exposures. The claims liability is based on information prior to the issuance of the
financial statements which indicates that it is probable that a liability has been incurred at the date of the financial
statements and the amount of the loss can be reasonably estimated. Liabilities include amounts for claims incurred but
not reported and amounts for incremental claims adjustment expenses. At fiscal year end, the County obtained an
actuarial valuation of the liability to estimate the amount needed to pay prior and future claims and to establish reserves.
The actuarially determined liability at fiscal year-end was $24,058,123 which was an increase of $73,746 over the prior
year. Changes in the Fund’s claims liability during the last two fiscal years were as follows:
Claims and
Fiscal Beginning of changes in Claim End of
Year year liability estimates payments year liability
2014 24,892,321$ 5,586,741$ 6,494,685$ 23,984,377$
2015 23,984,377 6,898,468 6,824,722 24,058,123
B. Employee Health Benefits Fund. The County is also self-insured for medical and dental claims covering all of its
employees and their eligible dependents. As required by Section 112.0801, Florida Statutes, retirees and their eligible
dependents are provided the same health care coverage as is offered to active employees at the same premium cost
applicable to active employees, which may be paid by the retiree or the employer. The Board established the Employee
Health Benefits Fund, an internal service fund to account for and finance this program. No excess insurance coverage
has been acquired for these claims.
64
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
An actuarial valuation is performed each year to estimate the amounts needed to pay prior and future claims and to
establish reserves. The actuarially determined liability at fiscal year end was $2,981,108 which was an increase of
$161,467 over the previous year due primarily to a change in the estimate of the run out claims. Changes in the Fund's
liability for claims in the last two fiscal years were as follows:
Claims and
Fiscal Beginning of changes in Claim End of
Year year liability estimates payments year liability
2014 3,669,479$ 38,025,854$ 38,875,692$ 2,819,641$
2015 2,819,641 39,153,740 38,992,273 2,981,108
C. Sheriff’s Health Benefits Fund. In September 2005, the Sheriff established a separate Health Benefits Fund to
account for and finance health claims incurred by the Sheriff’s employees and retirees subsequent to September 30,
2005. An actuarial valuation was performed at fiscal year end to estimate the amounts needed to pay prior and
future claims and to establish reserves. The actuarially determined liability at fiscal year end was $3,289,066 which
was an increase of $82,081 over the prior year due to a change in estimate of the run out claims. Changes in the
Fund's liability for claims during the year were as follows:
Claims and
Fiscal Beginning of changes in Claim End of
Year year liability estimates payments year liability
2014 3,037,799$ 34,935,432$ 34,766,266$ 3,206,965$
2015 3,206,965 38,525,481 38,443,380 3,289,066
Note 15 – Retirement Plans
Florida Retirement System Pension Plan (FRSPP) Plan description - Substantially all full-time employees of the County participate in the Florida Retirement System
(FRS) and are provided with pensions through the Florida Retirement System (FRS) Public Employment Retirement
System (PERS)—a cost-sharing multiple-employer defined benefit pension plan administered by the Florida
Department of Management Services’ Division of Retirement. Chapter 121 of the State Statutes grants the authority to
establish and amend the benefit terms to the Florida Legislature. FRS issues a publicly available financial report that
can be obtained at www.dms.myflorida.com/workforce_operations/retirement/publications.
Benefits provided - The FRS pension plan provides retirement, death, and disability benefits to plan members and
beneficiaries. Plan benefits are computed on the basis of age, average final compensation and service credits. Based on
an employee’s date of entry into the Florida Retirement System, those employees participating in the Pension Plan who
retire at or after age 62 (age 65 for those initially enrolled in the plan on or after July 1, 2011) with 6 years of credited
service (8 years of service for those initially enrolled in the plan on or after July 1, 2011), or with 30 years of service
regardless of age (33 years of service regardless of age for those initially enrolled in the plan on or after July 1, 2011),
are entitled to a retirement benefit. Final average compensation is based on an average of the employee’s five highest
fiscal year salaries (8 years for those initially enrolled in the plan after July 1, 2011) earned during credited service.
Vested employees may retire before age 62 (65) and receive benefits that are reduced 5% for each year prior to normal
retirement age.
The Deferred Retirement Option Program (DROP) is a program that provides an alternative method for payment of
retirement benefits for a specified and limited period for members of the System, effective July 1, 1998. Under this
program, the employee may retire and have their benefits accumulate in the Florida Retirement System Trust Fund,
earning interest, while continuing to work for a system employer. The participation in the program does not change
conditions of employment. When the DROP period ends, maximum of 60 months, employment must be terminated. At
the time of termination of employment, the employee will receive payment of the accumulated DROP benefits and begin
receiving their monthly retirement benefit (in the same amount determined at retirement, plus applicable COLA
increases).
65
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Contributions - Employer and employee contribution rates are established in section 121.71, Florida Statutes. All
participating employers must comply with statutory contribution requirements. Employer contribution rates under the
uniform rate structure (a blending of both the FRS Pension Plan and Investment Plan rates) are recommended by the
actuary but set by the Legislature. Employees participating in the Pension Plan are required to contribute 3.00 percent
of their annual pay. Employees who are enrolled in the DROP before July 1, 2011, are not subject to the contribution.
The County’s and the component units’ contractually required contribution rate, including the Health Insurance
Subsidy (HIS), through June 30, 2015 ranged from 7.37% to 43.24% of covered payroll based on employee risk groups.
Effective July 1, 2015 rates, including HIS, ranged from 7.26% to 42.27% of covered payroll based on employee risk
groups. Contributions to the pension plan from the County and the component units were $28,698,258 and $98,945,
respectively for the year ended September 30, 2015, equal to the required contributions.
Florida Retiree Health Insurance Subsidy (HIS) Program Plan description - Substantially all full-time employees of the County are provided with pensions through the Florida
Retirement System (FRS) Retiree Health Insurance Subsidy (HIS) Program—a cost-sharing multiple-employer defined
benefit pension plan administered by the Florida Department of Management Services’ Division of Retirement. Chapter
121 of the State Statutes grants the authority to establish and amend the benefit terms to the Florida Legislature. The
Florida Retirement System issues a publicly available financial report that can be obtained using the following link:
www.dms.myflorida.com/workforce_operations/retirement/publications.
Benefits provided - HIS provides a monthly payment to assist retirees of state-administered retirement systems in
paying their health insurance costs. Eligible retirees and beneficiaries receive a monthly HIS payment equal to the
number of years of creditable service completed at the time of retirement multiplied by $5. The payments are at least
$30 but not more than $150 per month, pursuant to Section 112.363, Florida Statutes. To be eligible to receive a HIS
benefit, a retiree under a state-administered retirement system must provide proof of health insurance coverage, which
can be Medicare.
Contributions - Employer contribution rates are set by the Florida Legislature. Employer contributions are a
percentage of gross compensation for all active FRS members. The County’s and the component units’ contractually
required contribution rate through June 30, 2015 was 1.26% of covered payroll. Effective July 1, 2015, the rate is
1.66% of covered payroll. Contributions to the pension plan from the County and the component units were
$5,231,284 and $18,000, respectively, for the year ended September 30, 2015, equal to required contributions.
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources
Related to Pensions
Employer Proportionate Share of Net Pension Liability - At September 30, 2015, the County reported a liability of
$163,225,754 and $105,082,027, respectively, for its proportionate share of the net pension liability for FRSPP and
HIS. The component units reported a liability of $395,029 and $345,584, respectively, for its proportionate share of the
net pension liability for FRSPP and HIS for the same time period. The net pension liability was measured as of June 30,
2015, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation
as of that date. The County’s proportion of the net pension liability was based on the County’s historical employer
contributions to the pension plan relative to the historical contributions of all participating employers. At June 30, 2015,
the County’s proportion was 1.26% and 1.03%, respectively, for FRSPP and HIS, which was an increase of .00% and
.02% respectively, for FRSPP and HIS from its proportion measured as of June 30, 2014. The component units’
proportion of the net pension liability was based on their historical employer contributions to the pension plan relative
to the historical contributions of all participating employers. At June 30, 2015, the component units proportion was
0.00306% and 0.00339%, respectively, for FRSPP and HIS, which was an increase of 0.00139% and 0.00171%
respectively, for FRSPP and HIS from its proportion measured as of June 30, 2014.
Pension Expense - For the year ended September 30, 2015, the County recognized pension expense of $4,202,732 and
$5,812,573, respectively for FRSPP and HIS. The component units recognized pension expense of $79,643 and
$50,271 respectively for FRSPP and HIS for the same period.
66
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Deferred Outfl1ows of Resources and Deferred Inflows of Resources Related to Pensions - At September 30,
2015, the reporting entity reported deferred outflows of resources and deferred inflows of resources related to
pensions from the following sources:
Florida Retirement System Pension Plan
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Differences between expected and actual experience 17,231,815$ 3,871,218$ 41,703$ 9,369$
Change of assumptions 10,833,841 - 26,219 - Net differences between projected and actual earnings on
pension plan investments 57,492,632 96,468,421 - 94,326
Changes in proportion and differences between County
contributions and proportionate share of contributions 8,791,988 19,864,313 255,094 - County contributions subsequent to the measurement date 8,266,284 - 30,085 -
Total102,616,560$ 120,203,952$ 353,101$ 103,695$ (25,853,676)$
Primary Government Component Units
Health Insurance Subsidy
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Deferred
Outflows of
Resources
Deferred
Inflows of
Resources
Change of assumptions 8,267,213$ -$ 27,189$ -$
Net differences between projected and actual earnings on
pension plan investments 56,884 - 187 -
Changes in proportion and differences between County
contributions and proportionate share of contributions 3,965,403 2,351,376 148,894 -
County contributions subsequent to the measurement date 1,364,378 - 7,105 -
Total13,653,878$ 2,351,376$ 183,375$ -$ 9,938,124$
Primary Government Component Units
$8,266,284 and $1,364,378, for the primary government and $30,085 and $7,105 for the component units, respectively,
reported as deferred outflows of resources related to pensions resulting from contributions subsequent to the
measurement date for FRSPP and HIS will be recognized as a reduction of the net pension liability in the year ended
September 30, 2016. Other amounts reported as deferred outflows of resources and deferred inflows of resources
related to pensions will be recognized in pension expense as follows:
Year ending FRSPP HIS FRSPP HIS
2016 $ (15,548,015) $ 1,693,389 $ 34,813 $ 27,980
2017 (15,548,015) 1,693,389 34,813 27,980
2018 (15,548,015) 1,693,389 34,813 27,980
2019 16,660,151 1,681,800 34,813 27,980
2020 3,073,663 1,676,236 34,813 27,980
Thereafter 1,026,236 1,510,532 45,256 36,370
Totals $ (25,883,995) $ 9,948,735 $ 219,321 $ 176,270
Primary Government Component Units
67
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Assumptions and Other Inputs
Actuarial assumptions - The total pension liability in the June 30, 2015 actuarial valuation was determined using the
following actuarial assumptions, applied to all periods included in the measurement:
FRSSPP HIS
Inflation 2.60% 2.60%
Salary increases including inflation 3.25% 3.25%
Long term investment rate of
return, net of investment expense 7.65% 3.80%
Mortality rates Generational RP-2000 Mortality
Table for Males or Females, as
appropriate, with adjustments for
mortality improvements based on
Scale BB3.
Generational RP-2000 Mortality
Table for Males or Females, as
appropriate, with adjustments for
mortality improvements based on
Scale BB3.
The actuarial assumptions used in the June 30, 2015 valuation were based on the results of an actuarial experience
study for the period July 1, 2008 - June 30, 2013. Because the HIS Program is based on a pay-as-you go basis, no
experience study has been completed for that program.
Long Term Expected Rate of Return - To develop an analytical basis for the selection of the long-term expected rate
of return assumption, in September 2014 the FRS Actuarial Assumptions conference reviewed long-term assumptions
developed by both Milliman’s capital market assumptions team and by a capital market assumptions team from Hewitt
EnnisKnupp, which consults to the Florida State Board of Administration. The table below shows Milliman’s
assumptions for each of the asset classes in which the plan was invested at that time based on the long-term target asset
allocation. The allocation policy’s description of each asset class was used to map the target allocation to the asset
classes shown below. Each asset class assumption is based on a consistent set of underlying assumptions, and includes
an adjustment for the inflation assumption. These assumptions are not based on historical returns, but instead are based
on a forward-looking capital market economic model.
The target allocation and best estimates of arithmetic real rates of return for each major asset class are summarized in the
following table:
Asset Class Allocation Target
Long-Term Expected
Real Rate of Return
Cash 1% 3.2%
Fixed income 18% 4.8%
Global equity 53% 8.5%
Real Estate 10% 6.8%
Private equity 6% 11.9%
Strategic investments 12% 6.7%
Total 100%
Discount rate - The discount rate used to measure the total pension liability was 7.65% for FRSPP. The projection of
cash flows used to determine the discount rate assumed that employee contributions will be made at the current
contribution rate and that contributions from employers will be made at contractually required rates, actuarially
determined. Based on those assumptions, the pension plan’s fiduciary net position was projected to be available to
make all projected future benefit payments of current active and inactive employees. Therefore, the discount rate for
calculating the total pension liability is equal to the long-term expected rate of return on pension plan investments was
applied to all periods of projected benefit payments to determine the total pension liability.
The discount rate used to measure the total pension liability was 3.80% for HIS. In general, the discount rate for
calculating the total pension liability under GASB 67 is equal to the single rate equivalent to discounting at the long-term
68
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
expected rate of return for benefit payments prior to the projected depletion date. Because the HIS benefit is essentially
funded on a pay-as-you-go basis, the depletion date is considered to be immediate, and the single equivalent discount
rate is equal to the municipal bond rate selected by the plan sponsor. The change in the discount rate since the prior
measurement date was a decrease of .49% due to changes in the applicable municipal bond rate.
Sensitivity of the primary government’s and component unit’s proportionate share of the net pension liability to
changes in the discount rate - The following presents the respective proportionate share of the net pension liability
calculated using the current discount rate, as well as what their proportionate share of the net pension liability would be
if it were calculated using a discount rate that is 1-percentage-point lower or 1-percentage-point higher than the current
rate:
1% Decrease Current Discount Rate 1% Increase 1% Decrease Current Discount Rate 1% Increase
6.65% 7.65% 8.65% 6.65% 7.65% 8.65%
422,954,846$ 163,225,754$ (52,911,511)$ 1,023,608$ 395,029$ (128,053)$
1% Decrease Current Discount Rate 1% Increase 1% Decrease Current Discount Rate 1% Increase
2.80% 3.80% 4.80% 2.80% 3.80% 4.80%
119,736,078$ 105,082,027$ 92,862,748$ 393,776$ 345,584$ 305,398$
Primary Government
Proportionate Share
of the FRSPP Net
Pension Liability
Component Units
Proportionate Share of
the HIS Net Pension
Liability
Primary Government
Proportionate Share
of the FRSPP Net
Pension Liability
Component Units
Proportionate Share of
the FRSPP Net
Pension Liability
Pension plan fiduciary net position - Detailed information about the pension plan’s fiduciary net position is available
in the separately issued FRSPP and HIS financial report.
Payables to the pension plan - As of September 30, 2015, the County had $2,247,568 and $394,552 in legally required
contributions payable to the FRSPP and HIS, respectively.
Florida Retirement System Investment Plan (FRSIP) The County contributes to the Florida Retirement System Investment Plan, a defined contribution pension plan, for its
eligible employees in lieu of participation in the defined benefit option of FRS. The Investment Plan is administered by
the State Board of Administration.
Benefits are accrued in individual accounts that are participant directed, portable, and funded by employer/employee
contributions. The Investment Plan offers a diversified mix of investment options that span the risk-return spectrum and
give participants opportunity to accumulate retirement benefits. Employer and employee contribution rates are set by
the Florida Legislature. The County’s contractually required contribution rate, including HIS through June 30, 2015
ranged from 7.37% to 43.24% of covered payroll based on employee risk groups. Effective July 1, 2015 rates,
including HIS, ranged from 7.26% to 42.27% of covered payroll based on employee risk groups. Contributions to the
Investment Plan from the County were $4,140,923 for the year ended September 30, 2015, equal to the required
contributions.
Employees are vested after one year of service. Benefits are based on the total value of the account at distribution. This
amount is based on contributions, earnings or losses on those contributions, less expenses.
Payable to the Investment Plan - As of September 30, 2015, the County has $130,629 in legally required
contributions payable to the investment plan.
69
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 16 – Other Postemployment Healthcare Benefits (OPEB)
Plan Description. The primary government administers two single-employer defined benefit healthcare plans that cover
eligible retirees and their dependents. One plan includes the Board, all Constitutional Officers with the exception of the
Sheriff’s Office (Sheriff), and the Planning Council (County). The other plan includes the Sheriff only. Benefits are
established by the Board and the Sheriff for the respective plans. The healthcare plans do not issue a stand-alone
financial report.
The County’s plan provides postretirement health care benefits to all employees who retire on or after attaining at least
10 years of service. The County pays a percentage of the premium for medical and dental insurance for the former
employees who retired prior to October 1, 2004. For non-Medicare eligible retirees, employees enrolled in DROP and
those within 5 years of normal FRS retirement prior to October 1, 2004, the County will continue funding at the same
level as active employees. For employees not part of the previously mentioned groups who were hired prior to January
1, 2011 and who retire on or after October 1, 2004, a health insurance subsidy based on length of service will be
provided. The subsidy will range from 25% of the premium for 10 years of service, increasing by 3.33% per year of
service to 75% for 25 years of more, calculated on the single premium of the lowest cost plan.
The Sheriff’s plan offers retiree coverage for members awarded retirement benefits from the FRS. The Sheriff
contributes an equal funding percentage toward the medical premium for retirees hired prior to January 1, 1996 as is
contributed for active members. The funding percentage ranges from 67% to 91% of the premium for medical insurance.
For retirees who were hired after December 31, 1995, the Sheriff’s Office provides a health insurance subsidy based on
length of service. The subsidy ranges from 25% of the premium for 10 years of service and increases by 3.33% per year
of service up to 75% for 25 years.
Funding Policy. The contribution requirements of the plan members and the employers are established and may be
amended by the County or the Sheriff for the respective plans. The plans are financed on a pay as you go basis.
Contributions to the plans in excess of benefits paid on behalf of retirees are earmarked for future OPEB expenses.
Funding for the fiscal year was as follows for the plans:
County's Sheriff's
Plan Plan
Employer contributions 12,414,115$ 10,094,253$
Percentage of total premiums 69% 86%
Plan member contributions 5,561,607 1,657,497
Percentage of total premiums 31% 14%
Annual OPEB Costs and Net OPEB Obligation. The annual OPEB cost for both plans are calculated based on the
annual required contribution of the employer (ARC), an amount actuarially determined in accordance with GASB
Statement 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions.
The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and
amortize any unfunded actuarial liabilities over a period not to exceed thirty years. The component of the annual OPEB
cost for the current year, the total contributions and the changes in the net OPEB obligation for both plans are as follows:
70
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
County's Sheriff's
Plan Plan
Annual required contribution 26,131,166$ 33,933,204$
Interest on net OPEB obligation 4,362,488 4,928,974
Adjustment to annual required contribution (4,451,518) (5,867,826)
Annual OPEB costs 26,042,136 32,994,352
Contributions made (12,414,115) (10,094,253)
Increase in net OPEB obligation 13,628,021 22,900,099
Net OPEB obligation, beginning of year 124,642,506 140,827,820
Net OPEB obligation, end of year 138,270,527$ 163,727,919$
The annual OPEB costs, the percentage of the annual OPEB cost contributed to the plan, and the net OPEB obligation
for the fiscal year were as follows:
Fiscal Annual Percentage of Net Annual Percentage of Net
year OPEB Annual OPEB OPEB OPEB Annual OPEB OPEB
ended Cost Cost Contributed Obligation Cost Cost Contributed Obligation
2013 24,675,625$ 33% 110,111,447$ 33,871,587$ 28% 119,598,865$
2014 25,821,953 44% 124,642,506 31,549,275 33% 140,827,820
2015 26,042,136 48% 138,270,527 32,994,352 31% 163,727,919
County's Plan Sheriff's Plan
Funded Status and Funding Progress. As of October 1, 2013, revised, and January 1, 2014, the most recent actuarial
valuation dates of the County and Sheriff’s plans respectively, funded status of the plans was as follows:
County's Sheriff's
Plan Plan
Actuarial accrued liability (AAL) 347,950,106$ 453,253,541$
Actuarial value of plan assets - -
Unfunded actuarial accrued liability (UAAL) 347,950,106$ 453,253,541$
Funded ratio (actuarial value of plan assets/AAL) - -
Covered payroll 142,108,622$ 114,598,864$
UAAL as a percentage of covered payroll 245% 396%
Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events
in the future. Amounts determined regarding the funded status of the plan and the annual required contributions of the
employer are subject to continual revision as actual results are compared to past expectations and new estimates are
made about the future. The schedule of funded progress, presented as required supplementary information following the
notes to the financial statements, presents multiyear trend information that shows whether the actuarial value of the plan
assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits.
Actuarial Methods and Assumptions. Projection of benefits for financial reporting purposes are based on the
substantive plan (the plan as understood by the employer and plan members) and included the types of benefits provided
at the time of the valuation and the historical pattern of sharing of benefit costs between the employer and the plan
members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce
short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long term
perspective of the calculations.
71
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
Significant methods and assumptions used were as follows for the plans:
County's Sheriff's
Plan Plan
Actuarial valuation date 10/01/2013 revised 1/1/2014
Actuarial cost method entry age normal entry age normal
Amortization method level percent of pay; closed period level percent of pay; closed period
Remaining amortization period 26 years 23 years
Asset valuation method N/A N/A
Actuarial assumptions:
Investment rate of return 3.5% 3.50%
Projected salary increases 3.5%-7.88% 3.50%
Healthcare cost trend rate 0.% initial rate 6.3% initial rate
7.5% second year, 7.0% third year 7.5% second year, 7.0% third year
to 5.43% ultimate rate 2021 to 5.43% ultimate rate 2024 and after
NOTE 17- Conduit Debt Obligations
From time to time, the County has issued various types of revenue bonds to provide financial assistance to individuals,
private-sector entities, health facilities and upper level educational institutions. These bonds were issued for the
acquisition and construction of residential, commercial, industrial, health and educational facilities deemed to be in the
public interest. These bonds are secured solely by the property financed and are payable solely from payments received
on the underlying mortgage loans. Neither the County, the State, nor any political subdivision thereof is obligated in any
manner for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying financial
statements. As of fiscal year end, the following conduit, no commitment, debt obligations were outstanding:
Number Aggregate
Issuer Of Issues Principal Payable
Pinellas County Industrial Development Authority 12 29,885,315$
Pinellas County Housing Finance Authority 7 48,368,152
Pinellas County Health Facilities Authority 11 325,915,450
Pinellas County Educational Facilities Authority 10 135,584,462
539,753,379$
NOTE 18 – Pollution Remediation Obligations
The County has reported $1,290,000 in pollution remediation obligations at year end in other current liabilities as shown
below. The amount reported represents the estimated liability to perform pollution remediation activities at five sites that
the County has been identified as the potential responsible party for remediation. Pollution at the sites consist of
methane gas and several volatile organic compounds. The liability for the five sites is calculated based on the amount of
the estimated expected outlays to perform further sampling and site assessment work. This estimate is subject to revision
due to price increases or reductions, changes in technology, or changes in applicable laws or regulations. An estimated
range of additional cleanup outlays, if any, cannot be reasonably determined until further assessment work is completed
at these sites. The County does not anticipate receiving recoveries to reduce the liability for these sites.
Expected Anticipated End of Year
Outlays Recoveries Liability
Governmental Activities
Other current liabilities 790,000$ -$ 790,000$
Business-type Activities
Solid Waste System 500,000 500,000
Total pollution remediation obligations 1,290,000$ -$ 1,290,000$
72
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 19 – Restatements
A. Implementation of GASB Statement Number 68
With the implementation of GASB Statement Number 68, Accounting and Financial Reporting for Pensions the County
reports its proportionate share of the plans’ net pension liability, pension expense, and deferred inflows and outflows of
resources as well as additional note disclosures and required supplementary information. The County restated the
beginning net position in the Statement of Activities, the Statement of Revenues, Expenses and Changes in Net Position,
Proprietary Funds and the Statement of Activities, Component Units as shown in the table below.
B. Component Unit – Prior Period Adjustment and Restatement
Effective October 1, 2014 the Housing Finance Authority, a component unit of Pinellas County government, determined
that the Bright Community Trust no longer qualified as a component unit. Additionally the Housing Finance Authority
recorded a prior period adjustment to correct an overstatement of prior year revenue and to remove the unamortized
premium of GNMA investments.
Governmental Business Type
Activities Activities Total
Net position - beginning $ 1,999,300,372 $ 1,531,245,026 $ 3,530,545,398 $ 37,733,871
Elimination of discretely presented
component unit - Bright Community Trust - - - (12,982,294)
Correction of overstatement of prior year
revenue - - - (489,083)
Removal of unamortizeed premium on
GNMA investments - - - (1,079,147)
Adoption of GASB Statement
Number 68 - Restatement for
Net pension liability (157,330,828) (13,475,833) (170,806,661) (229,343)
Pension related deferred inflows (144,454,945) (8,259,295) (152,714,240) (69,848)
Pension related deferred outflows 27,983,252 2,491,631 30,474,883 11,190
Net position - beginning, as restated 1,725,497,851$ 1,512,001,529$ 3,237,499,380$ 22,895,346$
Primary Government Total
Component
Units
Water
System
Sewer
System
Solid Waste
System
Nonmajor
Enterprise
Fund Total
Internal
Service Funds
Net position - beginning $ 426,120,718 $ 509,765,208 $ 507,932,935 $ 94,637,140 $ 1,538,456,001 $ (133,910,456)
Adoption of GASB Statement
Number 68 - Restatement for
Net pension liability (4,481,879) $ (5,351,952) $ (1,914,366) $ (1,727,636) $ (13,475,833) $ (5,658,717)
Pension related deferred inflows (2,746,929) (3,280,195) (1,173,308) (1,058,863) (8,259,295) (3,468,210)
Pension related deferred outflows 828,683 989,556 353,959 319,433 2,491,631 1,046,281
Net position - beginning, as restated 419,720,593$ 502,122,617$ 505,199,220$ 92,170,074$ 1,519,212,504$ (141,991,102)$
Enterprise Funds
73
Pinellas County, Florida Notes to Financial Statements
September 30, 2015
NOTE 20 – Special Items
Sewer System
During the year, the County abandoned the hypochlorite generation sewer project due to technological changes and life
cycle cost considerations resulting in a loss of $1,173,359. This was a significant item, infrequent in occurrence that was
subject to management’s control. This item is reported as a special item in the Statement of Activities and in the
Statement of Revenues, Expenses, and Changes in Fund Net Position, Proprietary Funds.
Solid Waste System
During the year, the County demolished lime softening system used in solid waste operations, replacing it with a more
efficient process, resulting in a loss of $1,484,787. This was a significant item, infrequent in occurrence that was subject
to management’s control. This item is reported as a special item in the Statement of Activities and in the Statement of
Revenues, Expenses, and Changes in Fund Net Position, Proprietary Funds.
NOTE 21 - Litigation
The County is involved in a number of court cases and those for which a reasonable probability of an unfavorable
outcome and the probable loss to the County can be estimated, a liability is recorded in the risk financing internal service
fund as indicated in Note 14. In the opinion of the County's management and legal counsel, the range of potential
recoveries or liabilities will not have a material adverse effect on the financial statements of the County.
74
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REQUIRED SUPPLEMENTARY
INFORMATION
Pinellas County, Florida
Required Supplementary Information September 30, 2015
UAAL as a
Actuarial Actuarial Unfunded Percentage
Actuarial Value of Accrued AAL Funded Covered of Covered
Valuation Assets Liability (AAL) (UAAL) Ratio Payroll Payroll
Date (a) (b) (b-a) (a/b) (c) ((b-a)/c)
10/1/2009 - 325,748,000$ 1 325,748,000$ - 190,533,303$ 171%
10/1/2011 - 392,044,000 1 392,044,000 - 154,113,155 254%
10/1/2013 - 347,950,106 2 347,950,106 - 142,108,622 245%
County Postemployment Healthcare Benefits Plan
Schedule of Funding Progress
UAAL as a
Actuarial Actuarial Unfunded Percentage
Actuarial Value of Accrued AAL Funded Covered of Covered
Valuation Assets Liability (AAL) (UAAL) Ratio Payroll Payroll
Date (a) (b) (b-a) (a/b) (c) ((b-a)/c)
1/1/2010 314,745,249$ 1 314,745,249$ - 144,473,205$ 218%
1/1/2012 - 454,887,566 2 454,887,566 - 109,627,298 415%
1/1/2014 - 453,253,541 2 453,253,541 - 114,598,864 396%
Schedule of Funding Progress
Sheriff's Postemployment Healthcare Benefits Plan
1 Actuarial cost method used – projected unit credit
2 Actuarial cost method used – entry age normal
75
Pinellas County, Florida
Required Supplementary Information September 30, 2015
Year
2015 1.2637% 163,225,754$
270,666,486$ 60.31% 92.00%
Schedule of Primary Government's Proportionate Share of Net Pension Liability
FRS Pension Plan
Primary
Government's
Proportion of Net
Pension Liability
Primary Government's
Proportionate Share of
Net Pension Liability
Primary
Government's
Covered Employee
Payroll
Primary Government's
Proportionate Share of
Net Pension Liability as
a % of Covered Payroll
Plan Fiduciary
Net Position as a
% of Total
Pension Liability
Last Ten Fiscal Years
Year
2015 1.0304% 105,082,027$
314,653,905$ 33.40% 0.50%
HIS Pension Plan
Schedule of Primary Government's Proportionate Share of Net Pension Liability
Primary Government's
Proportionate Share of
Net Pension Liability as
a % of Covered Payroll
Plan Fiduciary
Net Position as a
% of Total
Pension Liability
Primary
Government's
Proportion of Net
Pension Liability
Primary Government's
Proportionate Share of
Net Pension Liability
Primary
Government's
Covered Employee
Payroll
Last Ten Fiscal Years
GASB Statement Number 68, “Accounting and Financial Reporting for Pensions”, was implemented in fiscal year 2015 requiring ten year
trend data. Additional years will be displayed as the data becomes available.
76
Pinellas County, Florida
Required Supplementary Information September 30, 2015
Year
Ended
2015 0.0031% 395,029$
842,412$ 46.89% 92.00%
FRS Pension Plan
Schedule of Component Units' Proportionate Share of Net Pension Liability
Component Units'
Proportion of Net
Pension Liability
Component Units'
Proportionate Share of
Net Pension Liability
Component Units'
Covered Employee
Payroll
Component Units'
Proportionate Share of
Net Pension Liability as
a % of Covered Payroll
Plan Fiduciary
Net Position as a
% of Total
Pension Liability
Last Ten Fiscal Years
Year
Ended
2015 0.0034% 345,584$
1,028,047$ 33.62% 0.50%
Schedule of Component Units' Proportionate Share of Net Pension Liability
HIS Pension Plan
Component Units'
Proportionate Share of
Net Pension Liability as
a % of Covered Payroll
Plan Fiduciary
Net Position as a
% of Total
Pension Liability
Component Units'
Proportion of Net
Pension Liability
Component Units'
Proportionate Share of
Net Pension Liability
Component Units'
Covered Employee
Payroll
Last Ten Fiscal Years
GASB Statement Number 68, “Accounting and Financial Reporting for Pensions”, was implemented in fiscal year 2015 requiring ten year
trend data. Additional years will be displayed as the data becomes available.
77
Pinellas County, Florida
Required Supplementary Information September 30, 2015
Year
Ended
2015 28,698,258$ 28,698,258$
-$ 270,666,486$ 10.60%
FRS Pension Plan
Schedule of Primary Government Contributions
Contractually
Required
Contribution
Contributions in
relation to the
Contractually
Required Contribution
Contribution
Deficiency
Primary
Government
Covered-
Employee Payroll
Contributions as a
% of Covered-
Employee Payroll
Last Ten Fiscal Years
Year
Ended
2015 5,231,284$ 5,231,284$
-$ 314,653,905$ 1.66%
Schedule of Primary Government Contributions
HIS Pension Plan
Primary
Government
Covered-
Employee Payroll
Contributions as
a % of Covered-
Employee Payroll
Contractually
Required
Contribution
Contributions in
relation to the
Contractually
Required Contribution
Contribution
Deficiency
Last Ten Fiscal Years
GASB Statement Number 68, “Accounting and Financial Reporting for Pensions”, was implemented in fiscal year 2015 requiring ten year
trend data. Additional years will be displayed as the data becomes available.
78
Pinellas County, Florida
Required Supplementary Information September 30, 2015
Year
Ended
2015 98,945$ 98,945$
-$ 842,412$ 11.75%
FRS Pension Plan
Schedule of Component Units Contributions
Contractually
Required
Contribution
Contributions in
relation to the
Contractually
Required Contribution
Contribution
Deficiency
Component Units
Covered-
Employee Payroll
Contributions as a
% of Covered-
Employee Payroll
Last Ten Fiscal Years
Year
Ended
2015 18,000$ 18,000$
-$ 1,028,047$ 1.75%
Schedule of Component Unit Contributions
HIS Pension Plan
Component Units
Covered-
Employee Payroll
Contributions as
a % of Covered-
Employee Payroll
Contractually
Required
Contribution
Contributions in
relation to the
Contractually
Required Contribution
Contribution
Deficiency
Last Ten Fiscal Years
GASB Statement Number 68, “Accounting and Financial Reporting for Pensions”, was implemented in fiscal year 2015 requiring ten year
trend data. Additional years will be displayed as the data becomes available.
79
COMBINING AND INDIVIDUAL FUND
STATEMENTS AND SCHEDULES
BOARD OF COUNTY COMMISSIONERS
County Transportation Trust - to account for the construction and maintenance of Countyroads as authorized by Section 336.022, Florida Statutes. These activities include roadmaintenance, traffic control, right-of-way acquisition, distribution of funds to cities andconstruction of new roadways. Funds are provided from gas taxes collected and distributedby the State of Florida.
Health Department - to account for the collection of local ad valorem property taxes and thesubsequent distribution to the Pinellas County Health Department, which expends such fundsas authorized by Section 154.02, Florida Statutes. Projected needs of the HealthDepartment for the upcoming fiscal year are provided to the County Board and are the basisfor the local tax levy.
School Crossing Guard Trust - to account for collection and distribution of a surcharge onparking fines assessed under Ordinance 93-33 and authorized by Section 318.21, FloridaStatutes for funding training programs for school crossing guards.
Health Program – to account for the revenues and expenditures restricted for indigent health care services. The County receives funding from local hospitals that is restricted for indigent health care services
Mosquito Control – State - to account for County efforts to control the mosquito populationfunded by a state grant.
Community Development Grant - to account for housing grants received from the federalgovernment and related programs. Public hearings are held to determine the benefit areas ofthe County and the specific use of funds.
Gifts for Animal Welfare Trust - to account for gifts, grants and awards of money for thebenefit and welfare of domestic animals in Pinellas County as authorized by resolutionnumber 89-244.
Tree Bank - to account for civil penalties levied for violations of the County's tree ordinance,as well as the expenditure of these penalties for the purchase of trees for placement onpublic properties as authorized by Ordinance 166-57 and resolution number 89-423.
Public Library Cooperative - to account for library services to the unincorporated areas of the County, as well as those municipalities that do not have libraries as authorized by Section 78-2 of the Pinellas County Code and resolution number 89-503. These services are funded by ad valorem taxes.
STAR Center - to account for the operations of the Pinellas County Science, Technology and Research (PCIC Star) Center under the Industrial Development Authority as authorized by agreement with the federal government.
Emergency Communications E 911 Systems - to account for fees collected to fund the County's emergency telephone service and equipment ("911") System in accordance with Section 365.173, Florida Statutes.
NONMAJOR GOVERNMENTAL FUNDS
SPECIAL REVENUE FUNDS
NONMAJOR GOVERNMENTAL FUNDS
SPECIAL REVENUE FUNDS
BOARD OF COUNTY COMMISSIONERS – continued
Tourist Development Council - to account for a 4% tax on monies collected in the private sector on rents for temporary lodgings. This tax was approved by a voter referendum in 1978. Authorization for this fund comes from Section 125.0104, Florida Statutes and Ordinance 118.31-118.42. These tax monies are used to promote tourism in Pinellas County.
Fire Districts - to account for the costs of operation of Fire Districts throughout the County asauthorized by Sections 189 and 200.001, Florida Statutes and Laws of Florida, Chapter 73-600. Advalorem property tax revenues are collected from property owners within these districts. These fundsare distributed to local cities and agencies to finance tire protection services to the Fire Districts.
Air Quality – Tag Fee - to account for fees collected and used for air pollution control of emissionsfrom vehicles pursuant to Section 320.03(6), Florida Statutes.
Palm Harbor Community Services District - to account for the operation of a Municipal Service Taxing Unit to provide recreation and library services to the residents of the Palm Harbor area as authorized by Ordinance 85-28.
Feather Sound Community Services District - to account for the operation of a Municipal Service Taxing Unit to provide services to the Feather Sound Community as authorized by Ordinance 90-25.
East Lake Library Services District - to account for the operation of Municipal Service Taxing Unit to provide library services and facilities to the East Lake community as authorized by Ordinance 13-11.
Drug Abuse Trust - to account for additional assessments levied by the court against drug offenders pursuant to Sections 893.13(4), 893.16 and 893.165, Florida Statutes. These funds are to be used for assistance grants to local drug abuse programs.
Building and Development Review Services – to account for the revenues and expenditures associated with the operations of the County’s building and development review functions as authorized by Board resolution.
Special Assessments - to account for the paving of neighborhood streets, provision of street lights and their operation, navigational dredging and local drainage improvements in the unincorporated area of the County as authorized by Section 114 of the Pinellas County code.
Surface Water Utility - to account for surface water management services funded by surface water assessments in the unincorporated areas of the county as authorized by Ordinance 13-14.
Intergovernmental Radio Communication - to account for the surcharge fee on moving traffic violations collected under Sections 316 and 318, Florida Statutes. These funds are to be used to reimburse law enforcement agencies for fifty percent (50%) of the cost associated with upgrading communication equipment.
Marina Operations – to account for the operations at the Belle Harbor Marina as authorized by resolution number 07-6.
Community Housing Trust – to account for the receipt and disbursement of monies to promote homeownership and to expand the production and preservation of rental and owner housing affordable to very low-income, low-income, and moderate-income households under Ordinance 06-28 as amended by Ordinance 09-44.
NONMAJOR GOVERNMENTAL FUNDS
SPECIAL REVENUE FUNDS
CONSTITUTIONAL OFFICERS
Clerk of the Circuit Court and Comptroller-
General Operation - to account for the general operations of the Clerk as Clerk andComptroller to the Board of County Commissioners and County recorder asauthorized by Chapter 28, Florida Statutes.
Court - to account for the fee-funded court operations of the Clerk of the Circuit Courtas authorized by Section 28.37, Florida Statutes.
Public Records Modernization - to account for revenues earmarked for equipment,personnel training and technical assistance in modernizing the official records systemand to pay for equipment and startup costs necessitated by a statewide recordingsystem as authorized by Section 28.24, Florida Statutes.
Supervisor of Elections - to account for the general operations of the Supervisor of Electionsas authorized by Florida Statutes.
Tax Collector - to account for the general operations of the Tax Collector as authorized byFlorida Statutes, and includes all transactions which are not accounted for in an agency fund.
Property Appraiser - to account for the general operations of the Property Appraiser asauthorized by Florida Statutes.
CAPITAL PROJECTS FUND
Transportation Impact Fee - to account for Transportation Impact Fees collected throughoutthe County, thus assuring that new development bears a proportionate share of the cost ofcapital expenditures necessary to meet transportation needs of the County as authorized bySection 163.31801, Florida Statutes and Section 150.36 of the Pinellas County Code.
Special Revenue Funds
Capital Projects Funds
Total Nonmajor Governmental
Funds
ASSETSCash 66,273,807$ 1,861,357$ 68,135,164$ Investments 54,998,011 124,606 55,122,617Accounts and notes receivable 13,880,786 - 13,880,786Assessments receivable 359,503 - 359,503Accrued interest receivable 195,286 448 195,734Due from other funds 5,542,160 - 5,542,160Due from other governments 10,090,436 1,092,896 11,183,332Inventory 2,266,152 - 2,266,152Prepaid items 508,985 - 508,985Other assets 301,799 - 301,799
Total assets 154,416,925$ 3,079,307$ 157,496,232$
LIABILITIES, DEFERRED INFLOWS OF RESOURCESAND FUND BALANCES
LIABILITIESVouchers payable 15,253,705$ -$ 15,253,705$ Contracts payable 32,545 - 32,545Due to other funds 16,526,081 - 16,526,081Due to other governments 7,106,560 2,116 7,108,676Accrued liabilities 3,010,599 - 3,010,599Deposits and other current liabilities 2,592,776 - 2,592,776Unearned revenues 509,568 - 509,568
Total liabilities 45,031,834 2,116 45,033,950
DEFERRED INLOWS OF RESOURCESUnavailable revenue - notes receivable 13,227,022 - 13,227,022
Total deferred inflows of resources 13,227,022 - 13,227,022
FUND BALANCESNonspendable 2,775,137 - 2,775,137Restricted 79,213,214 3,077,191 82,290,405Committed 9,244,119 - 9,244,119Assigned 4,925,599 - 4,925,599
Total fund balances 96,158,069 3,077,191 99,235,260
Total liabilities, deferred inflows of resources and fund balances 154,416,925$ 3,079,307$ 157,496,232$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING BALANCE SHEET
NONMAJOR GOVERNMENTAL FUNDS September 30, 2015
80
Special Revenue Funds
Capital Projects Funds
Total Nonmajor Governmental
Funds
REVENUESTaxes 83,003,984$ -$ 83,003,984$ Licenses and permits 5,714,095 - 5,714,095Intergovernmental 27,418,490 - 27,418,490Charges for services 36,131,916 - 36,131,916Fines and forfeitures 6,017,573 - 6,017,573Special assessments 21,129,976 - 21,129,976Impact fees - 1,578,032 1,578,032Investment income 540,713 25,103 565,816Miscellaneous 16,990,895 - 16,990,895
Total revenues 196,947,642 1,603,135 198,550,777
EXPENDITURESCurrent
General government 79,544,561 - 79,544,561Public safety 26,758,140 - 26,758,140Physical environment 19,260,039 - 19,260,039Transportation 25,714,983 5,115 25,720,098Economic environment 44,106,783 - 44,106,783Human services 4,071,170 - 4,071,170Culture and recreation 7,176,405 - 7,176,405Debt service
Principal retirement 275,575 - 275,575Interest and fiscal charges 8,657,160 - 8,657,160
Total expenditures 215,564,816 5,115 215,569,931
Excess (deficiency) of revenues over (under) expenditures (18,617,174) 1,598,020 (17,019,154)
OTHER FINANCING SOURCES (USES)Debt issuance 520,121 - 520,121Transfers in 48,201,931 - 48,201,931Transfers out (19,651,558) (1,594,170) (21,245,728)
Total other financing sources (uses) 29,070,494 (1,594,170) 27,476,324
Net change in fund balances 10,453,320 3,850 10,457,170
Fund balances - beginning 85,579,324 3,073,341 88,652,665
Change in reserve for inventory 125,425 - 125,425
Fund balances - ending 96,158,069$ 3,077,191$ 99,235,260$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCESNONMAJOR GOVERNMENTAL FUNDSFor the year ended September 30, 2015
81
County Transportation
TrustHealth
Department
School Crossing
Guard TrustHealth
Program
ASSETSCash 9,723,328$ 200,363$ 91,155$ 830,056$ Investments 16,299,637 63,170 3,399 2,328,272Accounts and notes receivable 1,263 - - 78Assessments receivable - - - -Accrued interest receivable 57,869 226 13 8,264Due from other funds - 26,603 915 -Due from other governments 6,206,341 - - -Inventory 2,234,304 - - -Prepaid items - - - -Other assets - - - -
Total assets 34,522,742$ 290,362$ 95,482$ 3,166,670$
LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCESLIABILITIES
Vouchers payable 1,215,029$ -$ -$ 9,015$ Contracts payable - - - -Due to other funds - - - -Due to other governments 1,485,070 - - -Accrued liabilities 402,652 - - -Deposits and other current liabilities - - - -Unearned revenues - - - -
Total liabilities 3,102,751 - - 9,015
DEFERRED INFLOWS OF RESOURCESUnavailable revenue - notes receivable - - - -
Total deferred inflows of resources - - - -
FUND BALANCESNonspendable 2,234,304 - - -Restricted 29,185,687 290,362 95,482 3,157,655Committed - - - -Assigned - - - -
Total fund balances 31,419,991 290,362 95,482 3,157,655
Total liabilities, deferred inflows of resources and fund balances 34,522,742$ 290,362$ 95,482$ 3,166,670$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS September 30, 2015
82
Mosquito Control -
State
Community Development
Grant
Community Development SHIP Grant
Gifts for Animal
Welfare Trust Tree BankPublic Library
Cooperative STAR Center
-$ 3,501,739$ 1,584,914$ 287,276$ 42,439$ 196,383$ 1,147,783$ - 1,330,068 1,674,352 181,724 103,951 5,366 586,852- 7,222,807 5,260,905 - - - 495,329- - - - - - -- 4,730 5,946 646 371 19 2,087- - - - - 30,696 -- 1,648,285 165 - - - 452,626- - - - - - -- - 183,476 - - - -- - - - - - --$ 13,707,629$ 8,709,758$ 469,646$ 146,761$ 232,464$ 2,684,677$
-$ 1,214,711$ 526,113$ 2,278$ 42,531$ -$ 597,730$ - - - - - - 29,608- 3,330 760 - - - -- 539,346 - - - - 1,169- 34,111 - 1,565 - - 39,737- 1,969 - - - - -- - - - - - 320,043- 1,793,467 526,873 3,843 42,531 - 988,287
- 7,177,929 5,159,367 - - - -- 7,177,929 5,159,367 - - - -
- - 183,476 - - - -- 4,736,233 2,840,042 - - - 1,696,390- - - - 104,230 232,464 -- - - 465,803 - - -- 4,736,233 3,023,518 465,803 104,230 232,464 1,696,390
-$ 13,707,629$ 8,709,758$ 469,646$ 146,761$ 232,464$ 2,684,677$
CONTINUED
83
Emergency Communications
E 911 System
Tourist Development
Council Fire DistrictsAir Quality -
Tag Fee
ASSETSCash 1,167,575$ 6,485,506$ 4,320,411$ 519,762$ Investments 3,638,377 10,390,265 8,484,046 39,739Accounts and notes receivable - 5 - -Assessments receivable - - - -Accrued interest receivable 12,914 36,893 30,120 143Due from other funds - 4,840,715 107,068 -Due from other governments 1,214,215 - - 67,817Inventory - - - -Prepaid items 32,511 14,787 - -Other assets - - - -
Total assets 6,065,592$ 21,768,171$ 12,941,645$ 627,461$
LIABILITIES, DEFERRED INFLOWS OF RESOURCESAND FUND BALANCES
LIABILITIESVouchers payable 29,448$ 8,429,317$ 43,583$ 9,155$ Contracts payable - - - -Due to other funds - - - -Due to other governments 3,590 1,245,468 1,209,807 -Accrued liabilities 111,855 111,405 3,815 23,436Deposits and other current liabilities - - - -Unearned revenues - - - -
Total liabilities 144,893 9,786,190 1,257,205 32,591
DEFERRED INFLOWS OF RESOURCESUnavailable revenue - notes receivable - - - -
Total deferred inflows of resources - - - -
FUND BALANCESNonspendable 32,511 14,787 - -Restricted 5,888,188 11,967,194 11,684,440 594,870Committed - - - -Assigned - - - -
Total fund balances 5,920,699 11,981,981 11,684,440 594,870
Total liabilities, deferred inflows of resources and fund balances 6,065,592$ 21,768,171$ 12,941,645$ 627,461$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS September 30, 2015
84
Palm Harbor Community
Services District
Feather Sound Community
Services District
East Lake Library Services
DistrictDrug Abuse
Trust
Building and Development
Review ServicesSpecial
AssessmentsSurface Water
Utility
81,776$ 120,614$ 52,155$ 50,005$ 2,958,897$ 2,202,468$ 1,797,248$ 42,787 64,580 36,180 21,432 1,730,303 1,075,590 6,005,109
- - - - 7,343 - -- - - - - 359,503 -
153 229 128 76 6,149 3,824 21,31611,202 899 7,968 3,438 - 17,428 93,450
- - - - - - 365,999- - - - - - -- - - - - - -- - - - - - -
135,918$ 186,322$ 96,431$ 74,951$ 4,702,692$ 3,658,813$ 8,283,122$
-$ -$ -$ 12,385$ 103,244$ 369,164$ 1,583,967$ - - - - - - -- - - - - - -- - - - 36,329 - 9,905- - - - 103,323 - 174,255- - - - - 199 -- - - - - - -- - - 12,385 242,896 369,363 1,768,127
- - - - - - -- - - - - - -
- - - - - - -- - - 62,566 - 2,467,308 -
135,918 186,322 96,431 - - 822,142 6,514,995- - - - 4,459,796 - -
135,918 186,322 96,431 62,566 4,459,796 3,289,450 6,514,995
135,918$ 186,322$ 96,431$ 74,951$ 4,702,692$ 3,658,813$ 8,283,122$
CONTINUED
85
Intergovernmental Radio
CommunicationMarina
OperationsCommunity
Housing Trust
ASSETSCash 181,517$ -$ 356,410$ Investments 96,120 - 796,622Accounts and notes receivable - - 891,112Assessments receivable - - -Accrued interest receivable 342 - 2,828Due from other funds 51,775 - -Due from other governments - - -Inventory - - -Prepaid items - - -Other assets - - -
Total assets 329,754$ -$ 2,046,972$
LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCES
LIABILITIESVouchers payable 99,665$ -$ 5,599$ Contracts payable - - -Due to other funds 1,627 - 30Due to other governments - - -Accrued liabilities - - -Deposits and other current liabilities - - -Unearned revenues - - -
Total liabilities 101,292 - 5,629
DEFERRED INFLOWS OF RESOURCESUnavailable revenue - notes receivable - - 889,726
Total deferred inflows of resources - - 889,726
FUND BALANCESNonspendable - - -Restricted 228,462 - -Committed - - 1,151,617Assigned - - -
Total fund balances 228,462 - 1,151,617
Total liabilities, deferred inflows of resources and fund balances 329,754$ -$ 2,046,972$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING BALANCE SHEET
NONMAJOR SPECIAL REVENUE FUNDS September 30, 2015
86
General Operation Court
Public Records Modernization
Supervisor of Elections Tax Collector
Property Appraiser Total
2,681,312$ 5,105,359$ 4,076,784$ 537,959$ 15,648,031$ 324,582$ 66,273,807$ - 70 - - - - 54,998,011
14 25 25 - 1,880 - 13,880,786- - - - - - 359,503- - - - - - 195,286
52,575 56,265 - 241,023 140 - 5,542,160133,913 - - - 1,075 - 10,090,436
- - - 31,848 - - 2,266,152236,913 - 41,298 - - - 508,985
- - - 298,579 - 3,220 301,7993,104,727$ 5,161,719$ 4,118,107$ 1,109,409$ 15,651,126$ 327,802$ 154,416,925$
357,761$ 40,022$ 204,347$ 263,551$ 88,732$ 6,358$ 15,253,705$ 608 - 2,329 - - - 32,545
1,932,062 17 33,543 260,613 14,222,104 71,995 16,526,0812,089 1,689,695 - - 876,191 7,901 7,106,560
553,214 669,170 28,741 65,293 446,479 241,548 3,010,59922,080 2,252,329 - 298,579 17,620 - 2,592,776
- - - 189,525 - - 509,5682,867,814 4,651,233 268,960 1,077,561 15,651,126 327,802 45,031,834
- - - - - - 13,227,022- - - - - - 13,227,022
236,913 - 41,298 31,848 - - 2,775,137- 510,486 3,807,849 - - - 79,213,214- - - - - - 9,244,119- - - - - - 4,925,599
236,913 510,486 3,849,147 31,848 - - 96,158,069
3,104,727$ 5,161,719$ 4,118,107$ 1,109,409$ 15,651,126$ 327,802$ 154,416,925$
CONCLUDED
Constitutional OfficersClerk of the Circuit Court and Comptroller
87
County Transportation
TrustHealth
Department
School Crossing
Guard TrustHealth Program
REVENUESTaxes 17,371,228$ 3,590,752$ -$ -$ Licenses and permits 55,978 - - -Intergovernmental 10,454,250 - - -Charges for services - - - -Fines and forfeitures - - 12,915 -Special assessments - - - -Investment income 133,083 6,762 501 13,639Miscellaneous 1,583,148 - - 3,228,020
Total revenues 29,597,687 3,597,514 13,416 3,241,659
EXPENDITURESCurrent
General government - - - -Public safety - - - -Physical environment - - - -Transportation 24,446,246 - - -Economic environment - - - -Human services - 3,471,290 - 240,280Culture and recreation - - - -Debt service
Principal retirement - - - -Interest and fiscal charges - - - -
Total expenditures 24,446,246 3,471,290 - 240,280
Excess (deficiency) of revenues over (under) expenditures 5,151,441 126,224 13,416 3,001,379
OTHER FINANCING SOURCES (USES)Debt issuance - - - -Transfers in - 23,747 - -Transfers out (1,784,200) (105,141) (10,000) -
Total other financing sources (uses) (1,784,200) (81,394) (10,000) -
Net change in fund balances 3,367,241 44,830 3,416 3,001,379
Fund balances - beginning 27,930,477 245,532 92,066 156,276
Change in reserve for inventory 122,273 - - -
Fund balances - ending 31,419,991$ 290,362$ 95,482$ 3,157,655$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCESNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
88
Mosquito Control -
State
Community Development
Grant
Community Development SHIP Grant
Gifts for Animal
Welfare Trust Tree BankPublic Library
Cooperative STAR Center
-$ -$ -$ -$ -$ 4,447,154$ -$ - - - - - - -- 5,001,521 1,986,608 - - - -- - - - - - -- - - - - - -- - - - - - -
32 18,743 17,510 2,766 853 4,068 11,765- 1,893,297 532,117 95,760 - - 7,207,084
32 6,913,561 2,536,235 98,526 853 4,451,222 7,218,849
- - - - - - -- - - - - - -- - - - 91,500 - -- - - - - - -- 7,413,047 2,166,759 - - - 7,370,118
26,334 - - 162,536 - - -- - - - - 4,386,409 -
- - - - - - -- - - - - - -
26,334 7,413,047 2,166,759 162,536 91,500 4,386,409 7,370,118
(26,302) (499,486) 369,476 (64,010) (90,647) 64,813 (151,269)
- - - - - - -- 739,120 - - - 29,838 -- - - - - (132,073) -- 739,120 - - - (102,235) -
(26,302) 239,634 369,476 (64,010) (90,647) (37,422) (151,269)
26,302 4,496,599 2,654,042 529,813 194,877 269,886 1,847,659
- - - - - - -
-$ 4,736,233$ 3,023,518$ 465,803$ 104,230$ 232,464$ 1,696,390$
CONTINUED
89
Emergency Communications
E 911 System
Tourist Development
Council Fire DistrictsAir Quality -
Tag Fee
REVENUESTaxes -$ 39,322,494$ 15,288,583$ -$ Licenses and permits - - - -Intergovernmental 4,830,996 - - 1,355,594Charges for services - 206 - -Fines and forfeitures - - - -Special assessments - - - -Investment income 26,866 84,168 82,611 3,194Miscellaneous 2,242 960,582 459,373 156
Total revenues 4,860,104 40,367,450 15,830,567 1,358,944
EXPENDITURESCurrent
General government - - - -Public safety 6,556,448 - 14,490,533 -Physical environment - - - 1,302,780Transportation - - - -Economic environment - 27,079,545 - -Human services - - - -Culture and recreation - - - -Debt service
Principal retirement - - - -Interest and fiscal charges - 8,654,129 - -
Total expenditures 6,556,448 35,733,674 14,490,533 1,302,780
Excess (deficiency) of revenues over (under) expenditures (1,696,344) 4,633,776 1,340,034 56,164
OTHER FINANCING SOURCES (USES)Debt issuance - - - -Transfers in 1,900,000 - 105,561 -Transfers out - (4,910,900) (463,078) -
Total other financing sources (uses) 1,900,000 (4,910,900) (357,517) -
Net change in fund balances 203,656 (277,124) 982,517 56,164
Fund balances - beginning 5,717,043 12,259,105 10,701,923 538,706
Change in reserve for inventory - - - -
Fund balances - ending 5,920,699$ 11,981,981$ 11,684,440$ 594,870$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCESNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
90
Palm Harbor Community
Services District
Feather Sound Community
Services District
East Lake Library Services
DistrictDrug Abuse
Trust
Building and Development
Review ServicesSpecial
AssessmentsSurface Water
Utility
1,668,820$ 123,964$ 1,190,989$ -$ -$ -$ -$ - - - - 5,658,117 - -- - - - - - 723,202- - - 49,611 12,539 - 327,630- - - - - - -- - - - - 2,552,321 18,577,655
2,353 1,183 1,628 379 24,309 19,976 57,150- - - - 16,914 - 55,160
1,671,173 125,147 1,192,617 49,990 5,711,879 2,572,297 19,740,797
- - - - - - -- - - - 5,076,159 - -- - - - - 1,165,894 16,699,865- - - - - 1,268,737 -- - - - - - -- 118,000 - 52,730 - - -
1,645,950 - 1,124,040 - - - -
- - - - - - -37 - 49 - - - -
1,645,987 118,000 1,124,089 52,730 5,076,159 2,434,631 16,699,865
25,186 7,147 68,528 (2,740) 635,720 137,666 3,040,932
- - - - - - -11,080 899 7,895 - - 16,595 90,910
(49,092) (3,868) (29,604) - (1,000,000) (50,830) (278,464)(38,012) (2,969) (21,709) - (1,000,000) (34,235) (187,554)
(12,826) 4,178 46,819 (2,740) (364,280) 103,431 2,853,378
148,744 182,144 49,612 65,306 4,824,076 3,186,019 3,661,617
- - - - - - -
135,918$ 186,322$ 96,431$ 62,566$ 4,459,796$ 3,289,450$ 6,514,995$
CONTINUED
91
Intergovernmental Radio
CommunicationMarina
OperationsCommunity
Housing Trust
REVENUESTaxes -$ -$ -$ Licenses and permits - - -Intergovernmental - - -Charges for services - 64,249 -Fines and forfeitures 646,081 - -Special assessments - - -Investment income 1,219 1,218 6,192Miscellaneous - 288 163,059
Total revenues 647,300 65,755 169,251
EXPENDITURESCurrent
General government - - -Public safety 635,000 - -Physical environment - - -Transportation - - -Economic environment - - 77,314Human services - - -Culture and recreation - 20,006 -Debt service
Principal retirement - - -Interest and fiscal charges - - -
Total expenditures 635,000 20,006 77,314
Excess (deficiency) of revenues over (under) expenditures 12,300 45,749 91,937
OTHER FINANCING SOURCES (USES)Debt issuance - - -Transfers in - - -Transfers out - (293,583) -
Total other financing sources (uses) - (293,583) -
Net change in fund balances 12,300 (247,834) 91,937
Fund balances - beginning 216,162 247,834 1,059,680
Change in reserve for inventory - - -
Fund balances - ending 228,462$ -$ 1,151,617$
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCESNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
92
General Operation Court
Public Records Modernization
Supervisor of Elections Tax Collector
Property Appraiser Total
-$ -$ -$ -$ -$ -$ 83,003,984$ - - - - - - 5,714,095
833,813 2,026,405 - 206,101 - - 27,418,4905,325,872 15,647,129 1,934,636 135,363 11,444,948 1,189,733 36,131,916
- 4,343,518 1,015,059 - - - 6,017,573- - - - - - 21,129,976
1,300 7,726 8,733 229 - 557 540,7139,712 610,690 72,426 22,500 75,135 3,232 16,990,895
6,170,697 22,635,468 3,030,854 364,193 11,520,083 1,193,522 196,947,642
14,578,399 22,124,982 3,419,937 6,355,042 21,563,211 11,502,990 79,544,561- - - - - - 26,758,140- - - - - - 19,260,039- - - - - - 25,714,983- - - - - - 44,106,783- - - - - - 4,071,170- - - - - - 7,176,405
- - - 275,575 - - 275,575- - - 2,945 - - 8,657,160
14,578,399 22,124,982 3,419,937 6,633,562 21,563,211 11,502,990 215,564,816
(8,407,702) 510,486 (389,083) (6,269,369) (10,043,128) (10,309,468) (18,617,174)
- - - 520,121 - - 520,1219,929,240 - - 6,006,913 18,961,747 10,378,386 48,201,931
(1,295,523) - - (257,665) (8,918,619) (68,918) (19,651,558)8,633,717 - - 6,269,369 10,043,128 10,309,468 29,070,494
226,015 510,486 (389,083) - - - 10,453,320
10,898 - 4,238,230 28,696 - - 85,579,324
- - - 3,152 - - 125,425
236,913$ 510,486$ 3,849,147$ 31,848$ -$ -$ 96,158,069$
CONCLUDED
Constitutional Officers
Clerk of the Circuit Court and Comptroller
93
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 16,109,850$ 16,109,850$ 17,371,228$ 1,261,378$ Licenses and permits 62,290 62,290 55,978 (6,312)Intergovernmental 9,652,920 9,652,920 10,454,250 801,330Investment income 46,550 46,550 133,083 86,533Miscellaneous 1,200,550 1,200,550 1,583,148 382,598
Total revenues 27,072,160 27,072,160 29,597,687 2,525,527
EXPENDITURESCurrent
Transportation 26,081,210 26,081,210 24,446,246 1,634,964Total expenditures 26,081,210 26,081,210 24,446,246 1,634,964
Excess (deficiency) of revenues over (under) expenditures 990,950 990,950 5,151,441 4,160,491
OTHER FINANCING SOURCES (USES)Transfers out (1,784,200) (1,784,200) (1,784,200) -Reserves (23,226,250) (23,226,250) - 23,226,250
Total other financing sources (uses) (25,010,450) (25,010,450) (1,784,200) 23,226,250
Net change in fund balance (24,019,500) (24,019,500) 3,367,241 27,386,741
Fund balance - beginning 24,019,500 24,019,500 27,930,477 3,910,977
Change in reserve for inventory - - 122,273 122,273
Fund balance - ending -$ -$ 31,419,991$ 31,419,991$
County Transportation Trust
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
94
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 3,531,290$ 3,531,290$ 3,590,752$ 59,462$ Investment income 890 890 6,762 5,872
Total revenues 3,532,180 3,532,180 3,597,514 65,334
EXPENDITURESCurrent
Human services 3,471,290 3,471,290 3,471,290 -Total expenditures 3,471,290 3,471,290 3,471,290 -
Excess (deficiency) of revenues over (under) expenditures 60,890 60,890 126,224 65,334
OTHER FINANCING SOURCES (USES)Transfers in 23,860 23,860 23,747 (113)Transfers out (121,010) (121,010) (105,141) 15,869Reserves (161,610) (161,610) - 161,610
Total other financing sources (uses) (258,760) (258,760) (81,394) 177,366
Net change in fund balance (197,870) (197,870) 44,830 242,700
Fund balance - beginning 197,870 197,870 245,532 47,662
Fund balance - ending -$ -$ 290,362$ 290,362$
Health Department
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
95
Original Budget Final Budget ActualVariance with Final Budget
REVENUESFines and forfeitures 9,500$ 9,500$ 12,915$ 3,415$ Investment income 280 280 501 221
Total revenues 9,780 9,780 13,416 3,636
EXPENDITURESTotal expenditures - - - -
Excess (deficiency) of revenues over (under) expenditures 9,780 9,780 13,416 3,636
OTHER FINANCING SOURCES (USES)Transfers out (10,000) (10,000) (10,000) -Reserves (90,250) (90,250) - 90,250
Total other financing sources (uses) (100,250) (100,250) (10,000) 90,250
Net change in fund balance (90,470) (90,470) 3,416 93,886
Fund balance - beginning 90,470 90,470 92,066 1,596
Fund balance - ending -$ -$ 95,482$ 95,482$
School Crossing Guard Trust
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
96
Original Budget Final Budget ActualVariance with Final Budget
REVENUESInvestment income -$ -$ 13,639$ 13,639$ Miscellaneous 3,228,020 3,228,020 3,228,020 -
Total revenues 3,228,020 3,228,020 3,241,659 13,639
EXPENDITURESCurrent
Human services 3,400,000 3,400,000 240,280 3,159,720Total expenditures 3,400,000 3,400,000 240,280 3,159,720
Excess (deficiency) of revenues over (under) expenditures (171,980) (171,980) 3,001,379 3,173,359
Net change in fund balance (171,980) (171,980) 3,001,379 3,173,359
Fund balance - beginning 171,980 171,980 156,276 (15,704)
Fund balance - ending -$ -$ 3,157,655$ 3,157,655$
Health Program
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
97
Original Budget Final Budget ActualVariance with Final Budget
REVENUESInvestment income -$ 40$ 32$ (8)$
Total revenues - 40 32 (8)
EXPENDITURESCurrent
Human services 26,280 26,350 26,334 16Total expenditures 26,280 26,350 26,334 16
Excess (deficiency) of revenues over (under) expenditures (26,280) (26,310) (26,302) 8
Net change in fund balance (26,280) (26,310) (26,302) 8
Fund balance - beginning 26,280 26,310 26,302 (8)
Fund balance - ending -$ -$ -$ -$
Mosquito Control - State
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
98
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 8,796,130$ 8,796,130$ 5,001,521$ (3,794,609)$ Investment income 6,650 6,650 18,743 12,093Miscellaneous 1,695,720 1,695,720 1,893,297 197,577
Total revenues 10,498,500 10,498,500 6,913,561 (3,584,939)
EXPENDITURESCurrent
Economic environment 16,006,110 16,006,110 7,413,047 8,593,063Total expenditures 16,006,110 16,006,110 7,413,047 8,593,063
Excess (deficiency) of revenues over (under) expenditures (5,507,610) (5,507,610) (499,486) 5,008,124
OTHER FINANCING SOURCES (USES)Transfers in 739,120 739,120 739,120 -
Total other financing sources (uses) 739,120 739,120 739,120 -
Net change in fund balance (4,768,490) (4,768,490) 239,634 5,008,124
Fund balance - beginning 4,768,490 4,768,490 4,496,599 (271,891)
Fund balance - ending -$ -$ 4,736,233$ 4,736,233$
Community Development Grant
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
99
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 2,241,380$ 2,241,380$ 1,986,608$ (254,772)$ Investment income - - 17,510 17,510Miscellaneous 688,750 688,750 532,117 (156,633)
Total revenues 2,930,130 2,930,130 2,536,235 (393,895)
EXPENDITURESCurrent
Economic environment 4,138,130 4,138,130 2,166,759 1,971,371Total expenditures 4,138,130 4,138,130 2,166,759 1,971,371
Excess (deficiency) of revenues over (under) expenditures (1,208,000) (1,208,000) 369,476 1,577,476
Net change in fund balance (1,208,000) (1,208,000) 369,476 1,577,476
Fund balance - beginning 1,208,000 1,208,000 2,654,042 1,446,042
Fund balance - ending -$ -$ 3,023,518$ 3,023,518$
Community Development SHIP Grant
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
100
Original Budget Final Budget ActualVariance with Final Budget
REVENUESInvestment income 1,730$ 1,730$ 2,766$ 1,036$ Miscellaneous 102,000 102,000 95,760 (6,240)
Total revenues 103,730 103,730 98,526 (5,204)
EXPENDITURESCurrent
Human services 445,170 445,170 162,536 282,634Total expenditures 445,170 445,170 162,536 282,634
Excess (deficiency) of revenues over (under) expenditures (341,440) (341,440) (64,010) 277,430
Net change in fund balance (341,440) (341,440) (64,010) 277,430
Fund balance - beginning 341,440 341,440 529,813 188,373
Fund balance - ending -$ -$ 465,803$ 465,803$
Gifts for Animal Welfare Trust
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
101
Original Budget Final Budget ActualVariance with Final Budget
REVENUESInvestment income -$ -$ 853$ 853$
Total revenues - - 853 853
EXPENDITURESCurrent
Physical environment 100,000 100,000 91,500 8,500Total expenditures 100,000 100,000 91,500 8,500
Excess (deficiency) of revenues over (under) expenditures (100,000) (100,000) (90,647) 9,353
OTHER FINANCING SOURCES (USES)Reserves (96,220) (96,220) - 96,220
Total other financing sources (uses) (96,220) (96,220) - 96,220
Net change in fund balance (196,220) (196,220) (90,647) 105,573
Fund balance - beginning 196,220 196,220 194,877 (1,343)
Fund balance - ending -$ -$ 104,230$ 104,230$
Tree Bank
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
102
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 4,376,490$ 4,376,490$ 4,447,154$ 70,664$ Investment income 1,130 1,130 4,068 2,938
Total revenues 4,377,620 4,377,620 4,451,222 73,602
EXPENDITURESCurrent
Culture and recreation 4,386,410 4,386,410 4,386,409 1Total expenditures 4,386,410 4,386,410 4,386,409 1
Excess (deficiency) of revenues over (under) expenditures (8,790) (8,790) 64,813 73,603
OTHER FINANCING SOURCES (USES)Transfers in 24,620 24,620 29,838 5,218Transfers out (132,090) (132,090) (132,073) 17Reserves (108,640) (108,640) - 108,640
Total other financing sources (uses) (216,110) (216,110) (102,235) 113,875
Net change in fund balance (224,900) (224,900) (37,422) 187,478
Fund balance - beginning 224,900 224,900 269,886 44,986
Fund balance - ending -$ -$ 232,464$ 232,464$
Public Library Cooperative
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
103
Original Budget Final Budget ActualVariance with Final Budget
REVENUESInvestment income -$ -$ 11,765$ 11,765$ Miscellaneous 7,445,010 7,445,010 7,207,084 (237,926)
Total revenues 7,445,010 7,445,010 7,218,849 (226,161)
EXPENDITURESCurrent
Economic environment 8,288,360 8,288,360 7,370,118 918,242Total expenditures 8,288,360 8,288,360 7,370,118 918,242
Excess (deficiency) of revenues over (under) expenditures (843,350) (843,350) (151,269) 692,081
OTHER FINANCING SOURCES (USES)Reserves (572,550) (572,550) - 572,550
Total other financing sources (uses) (572,550) (572,550) - 572,550
Net change in fund balance (1,415,900) (1,415,900) (151,269) 1,264,631
Fund balance - beginning 1,415,900 1,415,900 1,847,659 431,759
Fund balance - ending -$ -$ 1,696,390$ 1,696,390$
STAR Center
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
104
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 4,275,000$ 4,275,000$ 4,830,996$ 555,996$ Investment income 16,900 16,900 26,866 9,966Miscellaneous - - 2,242 2,242
Total revenues 4,291,900 4,291,900 4,860,104 568,204
EXPENDITURESCurrent
Public safety 6,470,590 6,720,590 6,556,448 164,142Total expenditures 6,470,590 6,720,590 6,556,448 164,142
Excess (deficiency) of revenues over (under) expenditures (2,178,690) (2,428,690) (1,696,344) 732,346
OTHER FINANCING SOURCES (USES)Transfers in 1,900,000 1,900,000 1,900,000 -Reserves (4,544,860) (4,294,860) - 4,294,860
Total other financing sources (uses) (2,644,860) (2,394,860) 1,900,000 4,294,860
Net change in fund balance (4,823,550) (4,823,550) 203,656 5,027,206
Fund balance - beginning 4,823,550 4,823,550 5,717,043 893,493
Fund balance - ending -$ -$ 5,920,699$ 5,920,699$
Emergency Communications E 911 System
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
105
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 33,864,390$ 38,600,000$ 39,322,494$ 722,494$ Charges for services - - 206 206Investment income 24,700 24,700 84,168 59,468Miscellaneous 226,290 226,290 960,582 734,292
Total revenues 34,115,380 38,850,990 40,367,450 1,516,460
EXPENDITURESCurrent
Economic environment 25,145,600 28,670,600 27,079,545 1,591,055Interest and fiscal charges 7,658,510 9,035,640 8,654,129 381,511
Total expenditures 32,804,110 37,706,240 35,733,674 1,972,566
Excess (deficiency) of revenues over (under) expenditures 1,311,270 1,144,750 4,633,776 3,489,026
OTHER FINANCING SOURCES (USES)Transfers out (4,179,710) (4,957,570) (4,910,900) 46,670Reserves (7,351,970) (6,407,590) - 6,407,590
Total other financing sources (uses) (11,531,680) (11,365,160) (4,910,900) 6,454,260
Net change in fund balance (10,220,410) (10,220,410) (277,124) 9,943,286
Fund balance - beginning 10,220,410 10,220,410 12,259,105 2,038,695
Fund balance - ending -$ -$ 11,981,981$ 11,981,981$
Tourist Development Council
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
106
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 15,035,470$ 15,035,470$ 15,288,583$ 253,113$ Investment income 35,750 35,750 82,611 46,861Miscellaneous - - 459,373 459,373
Total revenues 15,071,220 15,071,220 15,830,567 759,347
EXPENDITURESCurrent
Public safety 13,216,950 14,845,890 14,490,533 355,357Interest and fiscal charges 90 90 - 90
Total expenditures 13,217,040 14,845,980 14,490,533 355,447
Excess (deficiency) of revenues over (under) expenditures 1,854,180 225,240 1,340,034 1,114,794
OTHER FINANCING SOURCES (USES)Transfers in 87,960 87,960 105,561 17,601Transfers out (474,120) (474,120) (463,078) 11,042Reserves (11,722,360) (10,093,420) - 10,093,420
Total other financing sources (uses) (12,108,520) (10,479,580) (357,517) 10,122,063
Net change in fund balance (10,254,340) (10,254,340) 982,517 11,236,857
Fund balance - beginning 10,254,340 10,254,340 10,701,923 447,583
Fund balance - ending -$ -$ 11,684,440$ 11,684,440$
Fire Districts
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
107
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 1,121,000$ 1,337,780$ 1,355,594$ 17,814$ Investment income - - 3,194 3,194Miscellaneous - - 156 156
Total revenues 1,121,000 1,337,780 1,358,944 21,164
EXPENDITURESCurrent
Physical environment 1,254,690 1,471,470 1,302,780 168,690Total expenditures 1,254,690 1,471,470 1,302,780 168,690
Excess (deficiency) of revenues over (under) expenditures (133,690) (133,690) 56,164 189,854
OTHER FINANCING SOURCES (USES)Transfers out (577,070) (577,070) - 577,070
Total other financing sources (uses) (577,070) (577,070) - 577,070
Net change in fund balance (710,760) (710,760) 56,164 766,924
Fund balance - beginning 710,760 710,760 538,706 (172,054)
Fund balance - ending -$ -$ 594,870$ 594,870$
Air Quality - Tag Fee
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
108
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 1,643,460$ 1,643,460$ 1,668,820$ 25,360$ Investment income 670 670 2,353 1,683
Total revenues 1,644,130 1,644,130 1,671,173 27,043
EXPENDITURESCurrent
Culture and recreation 1,645,950 1,645,950 1,645,950 -Debt service
Interest and fiscal charges 100 100 37 63Total expenditures 1,646,050 1,646,050 1,645,987 63
Excess (deficiency) of revenues over (under) expenditures (1,920) (1,920) 25,186 27,106
OTHER FINANCING SOURCES (USES)Transfers in 9,280 9,280 11,080 1,800Transfers out (49,660) (49,660) (49,092) 568Reserves (94,060) (94,060) - 94,060
Total other financing sources (uses) (134,440) (134,440) (38,012) 96,428
Net change in fund balance (136,360) (136,360) (12,826) 123,534
Fund balance - beginning 136,360 136,360 148,744 12,384
Fund balance - ending -$ -$ 135,918$ 135,918$
Palm Harbor Community Services District
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
109
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 122,160$ 122,160$ 123,964$ 1,804$ Investment income 900 900 1,183 283
Total revenues 123,060 123,060 125,147 2,087
EXPENDITURESCurrent
Human services 118,000 118,000 118,000 -Total expenditures 118,000 118,000 118,000 -
Excess (deficiency) of revenues over (under) expenditures 5,060 5,060 7,147 2,087
OTHER FINANCING SOURCES (USES)Transfers in 750 750 899 149Transfers out (3,920) (3,920) (3,868) 52Reserves (181,310) (181,310) - 181,310
Total other financing sources (uses) (184,480) (184,480) (2,969) 181,511
Net change in fund balance (179,420) (179,420) 4,178 183,598
Fund balance - beginning 179,420 179,420 182,144 2,724
Fund balance - ending -$ -$ 186,322$ 186,322$
Feather Sound Community Services District
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
110
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 1,173,660$ 1,173,660$ 1,190,989$ 17,329$ Investment income 220 220 1,628 1,408
Total revenues 1,173,880 1,173,880 1,192,617 18,737
EXPENDITURESCurrent
Culture and recreation 1,124,040 1,124,040 1,124,040 -Debt service
Interest and fiscal charges 100 100 49 51Total expenditures 1,124,140 1,124,140 1,124,089 51
Excess (deficiency) of revenues over (under) expenditures 49,740 49,740 68,528 18,788
OTHER FINANCING SOURCES (USES)Transfers in 3,300 3,300 7,895 4,595Transfers out (30,030) (30,030) (29,604) 426Reserves (70,090) (70,090) - 70,090
Total other financing sources (uses) (96,820) (96,820) (21,709) 75,111
Net change in fund balance (47,080) (47,080) 46,819 93,899
Fund balance - beginning 47,080 47,080 49,612 2,532
Fund balance - ending -$ -$ 96,431$ 96,431$
East Lake Library Services District
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
111
Original Budget Final Budget ActualVariance with Final Budget
REVENUESCharges for services 46,670$ 46,670$ 49,611$ 2,941$ Investment income 190 190 379 189
Total revenues 46,860 46,860 49,990 3,130
EXPENDITURESCurrent
Human services 53,000 53,000 52,730 270Total expenditures 53,000 53,000 52,730 270
Excess (deficiency) of revenues over (under) expenditures (6,140) (6,140) (2,740) 3,400
OTHER FINANCING SOURCES (USES)Reserves (57,840) (57,840) - 57,840
Total other financing sources (uses) (57,840) (57,840) - 57,840
Net change in fund balance (63,980) (63,980) (2,740) 61,240
Fund balance - beginning 63,980 63,980 65,306 1,326
Fund balance - ending -$ -$ 62,566$ 62,566$
Drug Abuse Trust
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
112
Original Budget Final Budget ActualVariance with Final Budget
REVENUESLicenses and permits 5,204,810$ 5,204,810$ 5,658,117$ 453,307$ Charges for services - - 12,539 12,539Investment income 9,590 9,590 24,309 14,719Miscellaneous 500 500 16,914 16,414
Total revenues 5,214,900 5,214,900 5,711,879 496,979
EXPENDITURESCurrent
Public safety 5,211,390 5,211,390 5,076,159 135,231Total expenditures 5,211,390 5,211,390 5,076,159 135,231
Excess (deficiency) of revenues over (under) expenditures 3,510 3,510 635,720 632,210
OTHER FINANCING SOURCES (USES)Transfers out (1,000,000) (1,000,000) (1,000,000) -Reserves (3,489,320) (3,489,320) - 3,489,320
Total other financing sources (uses) (4,489,320) (4,489,320) (1,000,000) 3,489,320
Net change in fund balance (4,485,810) (4,485,810) (364,280) 4,121,530
Fund balance - beginning 4,485,810 4,485,810 4,824,076 338,266
Fund balance - ending -$ -$ 4,459,796$ 4,459,796$
Building and Development Review Services
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
113
Original Budget Final Budget ActualVariance with Final Budget
REVENUESSpecial assessments 2,503,160$ 2,503,160$ 2,552,321$ 49,161$ Investment income 7,340 7,340 19,976 12,636
Total revenues 2,510,500 2,510,500 2,572,297 61,797
EXPENDITURESCurrent
Physical environment 1,185,380 1,185,380 1,165,894 19,486Transportation 1,504,860 1,500,720 1,268,737 231,983
Total expenditures 2,690,240 2,686,100 2,434,631 251,469
Excess (deficiency) of revenues over (under) expenditures (179,740) (175,600) 137,666 313,266
OTHER FINANCING SOURCES (USES)Transfers in 13,690 13,690 16,595 2,905Transfers out (48,430) (52,570) (50,830) 1,740Reserves (3,102,860) (3,102,860) - 3,102,860
Total other financing sources (uses) (3,137,600) (3,141,740) (34,235) 3,107,505
Net change in fund balance (3,317,340) (3,317,340) 103,431 3,420,771
Fund balance - beginning 3,317,340 3,317,340 3,186,019 (131,321)
Fund balance - ending -$ -$ 3,289,450$ 3,289,450$
Special Assessments
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
114
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental -$ -$ 723,202$ 723,202$ Charges for services - - 327,630 327,630Special assessments 19,220,160 19,220,160 18,577,655 (642,505)Investment income 19,000 19,000 57,150 38,150Miscellaneous 15,990 15,990 55,160 39,170
Total revenues 19,255,150 19,255,150 19,740,797 485,647
EXPENDITURESCurrent
Physical environment 19,126,400 19,126,400 16,699,865 2,426,535Total expenditures 19,126,400 19,126,400 16,699,865 2,426,535
Excess (deficiency) of revenues over (under) expenditures 128,750 128,750 3,040,932 2,912,182
OTHER FINANCING SOURCES (USES)Transfers in - - 90,910 90,910Transfers out (314,700) (314,700) (278,464) 36,236Reserves (2,966,870) (2,966,870) - 2,966,870
Total other financing sources (uses) (3,281,570) (3,281,570) (187,554) 3,094,016
Net change in fund balance (3,152,820) (3,152,820) 2,853,378 6,006,198
Fund balance - beginning 3,152,820 3,152,820 3,661,617 508,797
Fund balance - ending -$ -$ 6,514,995$ 6,514,995$
Surface Water Utility
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
115
Original Budget Final Budget ActualVariance with Final Budget
REVENUESFines and forfeitures 632,650$ 632,650$ 646,081$ 13,431$ Investment income 700 700 1,219 519
Total revenues 633,350 633,350 647,300 13,950
EXPENDITURESCurrent
Public safety 675,000 675,000 635,000 40,000Total expenditures 675,000 675,000 635,000 40,000
Excess (deficiency) of revenues over (under) expenditures (41,650) (41,650) 12,300 53,950
OTHER FINANCING SOURCES (USES)Reserves (92,960) (92,960) - 92,960
Total other financing sources (uses) (92,960) (92,960) - 92,960
Net change in fund balance (134,610) (134,610) 12,300 146,910
Fund balance - beginning 134,610 134,610 216,162 81,552
Fund balance - ending -$ -$ 228,462$ 228,462$
Intergovernmental Radio Communication
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
116
Original Budget Final Budget ActualVariance with Final Budget
REVENUESCharges for services 66,120$ 66,120$ 64,249$ (1,871)$ Investment income - - 1,218 1,218Miscellaneous - - 288 288
Total revenues 66,120 66,120 65,755 (365)
EXPENDITURESCurrent
Culture and recreation 22,960 22,960 20,006 2,954Total expenditures 22,960 22,960 20,006 2,954
Excess (deficiency) of revenues over (under) expenditures 43,160 43,160 45,749 2,589
OTHER FINANCING SOURCES (USES)Transfers out - (296,280) (293,583) 2,697Reserves (296,280) - - -
Total other financing sources (uses) (296,280) (296,280) (293,583) 2,697
Net change in fund balance (253,120) (253,120) (247,834) 5,286
Fund balance - beginning 253,120 253,120 247,834 (5,286)
Fund balance - ending -$ -$ -$ -$
Marina Operations
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
117
Original Budget Final Budget ActualVariance with Final Budget
REVENUESInvestment income 5,700$ 5,700$ 6,192$ 492$ Miscellaneous 76,000 76,000 163,059 87,059
Total revenues 81,700 81,700 169,251 87,551
EXPENDITURESCurrent
Economic environment 925,780 925,780 77,314 848,466Total expenditures 925,780 925,780 77,314 848,466
Excess (deficiency) of revenues over (under) expenditures (844,080) (844,080) 91,937 936,017
Net change in fund balance (844,080) (844,080) 91,937 936,017
Fund balance - beginning 844,080 844,080 1,059,680 215,600
Fund balance - ending -$ -$ 1,151,617$ 1,151,617$
Community Housing Trust
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
118
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 807,463$ 833,813$ 833,813$ -$ Charges for services 4,616,010 4,861,810 5,325,872 464,062Investment income - - 1,300 1,300Miscellaneous - - 9,712 9,712
Total revenues 5,423,473 5,695,623 6,170,697 475,074
EXPENDITURESCurrent
General government 15,352,713 15,624,863 14,578,399 1,046,464Total expenditures 15,352,713 15,624,863 14,578,399 1,046,464
Excess (deficiency) of revenues over (under) expenditures (9,929,240) (9,929,240) (8,407,702) 1,521,538
OTHER FINANCING SOURCES (USES)Transfers in 9,929,240 9,929,240 9,929,240 -Transfers out - - (1,295,523) (1,295,523)
Total other financing sources (uses) 9,929,240 9,929,240 8,633,717 (1,295,523)
Net change in fund balance - - 226,015 226,015
Fund balance - beginning - - 10,898 10,898
Fund balance - ending -$ -$ 236,913$ 236,913$
Clerk of Circuit Court and Comptroller- General Operation
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
119
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 2,225,139$ 1,232,034$ 2,026,405$ 794,371$ Charges for services 15,850,000 15,850,000 15,647,129 (202,871)Fines and forfeitures 4,900,000 4,900,000 4,343,518 (556,482)Investment income - - 7,726 7,726Miscellaneous - 500,000 610,690 110,690
Total revenues 22,975,139 22,482,034 22,635,468 153,434
EXPENDITURESCurrent
General government 22,975,139 22,482,034 22,124,982 357,052Total expenditures 22,975,139 22,482,034 22,124,982 357,052
Excess (deficiency) of revenues over (under) expenditures - - 510,486 510,486
Net change in fund balance - - 510,486 510,486
Fund balance - beginning - - - -
Fund balance - ending -$ -$ 510,486$ 510,486$
Clerk of Circuit Court and Comptroller- Court
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
120
Original Budget Final Budget ActualVariance with Final Budget
REVENUESCharges for services 1,570,000$ 1,570,000$ 1,934,636$ 364,636$ Fines and forfeitures 1,140,000 1,140,000 1,015,059 (124,941)Investment income - - 8,733 8,733Miscellaneous - - 72,426 72,426
Total revenues 2,710,000 2,710,000 3,030,854 320,854
EXPENDITURESCurrent
General government 3,093,230 4,132,227 3,419,937 712,290Total expenditures 3,093,230 4,132,227 3,419,937 712,290
Excess (deficiency) of revenues over (under) expenditures (383,230) (1,422,227) (389,083) 1,033,144
OTHER FINANCING SOURCES (USES)Reserves (3,008,090) (2,010,442) - 2,010,442
Total other financing sources (uses) (3,008,090) (2,010,442) - 2,010,442
Net change in fund balance (3,391,320) (3,432,669) (389,083) 3,043,586
Fund balance - beginning 3,391,320 3,432,669 4,238,230 805,561
Fund balance - ending -$ -$ 3,849,147$ 3,849,147$
Clerk of Circuit Court and Comptroller-Public Records Modernization
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
121
Original Budget Final Budget ActualVariance with Final Budget
REVENUESIntergovernmental 184,234$ 385,155$ 206,101$ (179,054)$ Charges for services - - 135,363 135,363
Investment income - - 229 229Miscellaneous - - 22,500 22,500
Total revenues 184,234 385,155 364,193 (20,962)
EXPENDITURESCurrent
General government 5,880,124 6,392,068 6,355,042 37,026Debt service
Principal retirement - - 275,575 (275,575)Interest and fiscal charges - - 2,945 (2,945)
Total expenditures 5,880,124 6,392,068 6,633,562 (241,494)
Excess (deficiency) of revenues over (under) expenditures (5,695,890) (6,006,913) (6,269,369) (262,456)
OTHER FINANCING SOURCES (USES)Debt issuance - - 520,121 520,121Transfers in 5,695,890 6,006,913 6,006,913 -Transfers out - - (257,665) (257,665)
Total other financing sources (uses) 5,695,890 6,006,913 6,269,369 262,456
Net change in fund balance - - - -
Fund balance - beginning - - 28,696 28,696
Change in reserve for inventory - - 3,152 3,152
Fund balance - ending -$ -$ 31,848$ 31,848$
Supervisor of Elections
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
122
Original Budget Final Budget ActualVariance with Final Budget
REVENUESCharges for services 11,673,019$ 11,673,019$ 11,444,948$ (228,071)$ Miscellaneous 44,670 44,670 75,135 30,465
Total revenues 11,717,689 11,717,689 11,520,083 (197,606)
EXPENDITURESCurrent
General government 22,030,913 29,920,087 21,563,211 8,356,876Total expenditures 22,030,913 29,920,087 21,563,211 8,356,876
Excess (deficiency) of revenues over (under) expenditures (10,313,224) (18,202,398) (10,043,128) 8,159,270
OTHER FINANCING SOURCES (USES)Transfers in 19,045,451 19,045,451 18,961,747 (83,704)Transfers out (8,732,227) (843,053) (8,918,619) (8,075,566)
Total other financing sources (uses) 10,313,224 18,202,398 10,043,128 (8,159,270)
Net change in fund balance - - - -
Fund balance - beginning - - - -
Fund balance - ending -$ -$ -$ -$
Tax Collector
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
123
Original Budget Final Budget ActualVariance with Final Budget
REVENUESCharges for services 1,189,733$ 1,189,733$ 1,189,733$ -$ Investment income - - 557 557Miscellaneous - - 3,232 3,232
Total revenues 1,189,733 1,189,733 1,193,522 3,789
EXPENDITURESCurrent
General government 11,568,119 11,568,119 11,502,990 65,129Total expenditures 11,568,119 11,568,119 11,502,990 65,129
Excess (deficiency) of revenues over (under) expenditures (10,378,386) (10,378,386) (10,309,468) 68,918
OTHER FINANCING SOURCES (USES)Transfers in 10,378,386 10,378,386 10,378,386 -Transfers out - - (68,918) (68,918)
Total other financing sources (uses) 10,378,386 10,378,386 10,309,468 (68,918)
Net change in fund balance - - - -
Fund balance - beginning - - - -
Fund balance - ending -$ -$ -$ -$
Property Appraiser
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR SPECIAL REVENUE FUNDS
For the year ended September 30, 2015
124
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Transportation Impact Fee
ASSETSCash 1,861,357$ Investments 124,606Accrued interest receivable 448Due from other governments 1,092,896
Total assets 3,079,307$
LIABILITIES AND FUND BALANCELIABILITIES
Due to other governments 2,116$ Total liabilities 2,116
FUND BALANCERestricted 3,077,191
Total fund balance 3,077,191
Total liabilities and fund balance 3,079,307$
See accompanying independent auditors report.
Pinellas County, FloridaCOMBINING BALANCE SHEET
NONMAJOR CAPITAL PROJECTS FUND September 30, 2015
125
Transportation Impact Fee
REVENUESImpact fees 1,578,032$ Investment income 25,103
Total revenues 1,603,135
EXPENDITURESCurrent
Transportation 5,115Total expenditures 5,115
Excess (deficiency) of revenues over (under) expenditures 1,598,020
OTHER FINANCING SOURCES (USES) Transfers out (1,594,170)
Total other financing sources (uses) (1,594,170)
Net change in fund balance 3,850
Fund balance - beginning 3,073,341
Fund balance - ending 3,077,191$
See accompanying independent auditors report.
Pinellas County, FloridaCOMBINING STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCESNONMAJOR CAPITAL PROJECTS FUND
For the year ended September 30, 2015
126
Original Budget Final Budget ActualVariance with Final Budget
REVENUESImpact fees -$ -$ 1,578,032$ 1,578,032$ Investment income - - 25,103 25,103
Total revenues - - 1,603,135 1,603,135
EXPENDITURESCurrent
Transportation 120,000 120,000 5,115 114,885Total expenditures 120,000 120,000 5,115 114,885
Excess (deficiency) of revenues over (under) expenditures (120,000) (120,000) 1,598,020 1,718,020
OTHER FINANCING SOURCES (USES)Transfers out (1,594,170) (1,594,170) (1,594,170) -
Total other financing sources (uses) (1,594,170) (1,594,170) (1,594,170) -
Net change in fund balance (1,714,170) (1,714,170) 3,850 1,718,020
Fund balance - beginning 1,714,170 1,714,170 3,073,341 1,359,171
Fund balance - ending -$ -$ 3,077,191$ 3,077,191$
Transportation Impact Fee
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNONMAJOR CAPITAL PROJECTS FUND
For the year ended September 30, 2015
127
Original Budget Final Budget ActualVariance with Final Budget
REVENUESTaxes 83,173,490$ 83,173,490$ 89,531,152$ 6,357,662$ Intergovernmental 25,762,000 25,762,000 3,691,834 (22,070,166)Charges for services - - 1,484 1,484Investment income 367,840 367,840 437,742 69,902Miscellaneous 777,980 777,980 1,293,613 515,633
Total revenues 110,081,310 110,081,310 94,955,825 (15,125,485)
EXPENDITURESCurrent
General government 22,831,000 22,831,000 9,132,898 13,698,102Public safety 28,882,000 28,882,000 11,276,639 17,605,361Physical environment 23,136,700 23,904,560 9,038,901 14,865,659Transportation 40,909,790 40,909,790 26,379,933 14,529,857Human services 8,490,100 8,490,100 309,180 8,180,920Culture and recreation 13,007,000 13,007,000 5,456,223 7,550,777Debt service
Principal retirement 15,000,000 15,000,000 - 15,000,000Total expenditures 152,256,590 153,024,450 61,593,774 91,430,676
Excess (deficiency) of revenues over (under) expenditures (42,175,280) (42,943,140) 33,362,051 76,305,191
OTHER FINANCING SOURCES (USES)Transfers in 9,474,030 10,241,890 8,669,206 (1,572,684)Reserves (39,216,700) (39,216,700) - 39,216,700
Total other financing sources (uses) (29,742,670) (28,974,810) 8,669,206 37,644,016
Net change in fund balance (71,917,950) (71,917,950) 42,031,257 113,949,207
Fund balance - beginning 71,917,950 71,917,950 59,976,049 (11,941,901)
Fund balance - ending -$ -$ 102,007,306$ 102,007,306$
Pinellas County, FloridaSCHEDULE OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES - BUDGET AND ACTUALNON-VOTED CAPITAL PROJECTS FUND
For the year ended September 30, 2015
128
This page intentionally left blank.
INTERNAL SERVICE FUNDSBusiness Technology Services - to account for the costs of operating the County DataProcessing Facility. Such costs are billed to the other departments at estimated cost ofoperations plus amounts for equipment replacement and additions.
Risk Financing - to account for the costs of liability, property and workers' compensationinsurance for the County. Reimbursement for these costs is billed to self-supporting Funds(Enterprise and Information Technology) and to the Governmental Funds for departmentsincluded therein.
Employee Health Benefits - to account for all premiums, employer contributions and claimsfor the Employee and Retiree Group Insurance Plans. Each department is charged for theestimated costs of funding these programs.
Fleet Management - to account for operations related to maintenance and replacement of theCounty's motor vehicles. Each department is charged for repair and maintenance of itsvehicles and a replacement charge to accumulate monies to replace vehicles as needed..Sheriff’s Health Benefits - to account for all premiums, employer contributions and claims forthe Sheriff’s Employee and Retiree Group Insurance Plans.
Business Technology
Services Risk Financing
ASSETSCurrent assets
Cash 2,530,649$ 7,585,065$ Investments 7,629,518 23,212,528Accounts and notes receivable 512 40Accrued interest receivable 27,082 82,390Due from other funds 33,543 -Due from other governments 3,766 -Inventory - -Prepaid items 1,161,228 2,816,080
Total current assets 11,386,298 33,696,103
Noncurrent assetsCapital assets
Buildings 705,000 -Improvements other than buildings 1,097,923 -Equipment 17,287,559 153,759Intangible assets 28,064,788 -Accumulated depreciation (19,866,547) (109,448)Construction in progress 513,965 - Total capital assets, net 27,802,688 44,311
Total assets 39,188,986 33,740,414
DEFERRED OUTFLOWS OF RESOURCESPension-related deferred outflows 3,022,821 215,683
Total assets and deferred outflows of resources 42,211,807 33,956,097
See accompanying independent auditor's report.
Board of County Commissioners
Pinellas County, FloridaCOMBINING STATEMENT OF NET POSITION
INTERNAL SERVICE FUNDS September 30, 2015
129
Employee Health Benefits
Fleet Management
Sheriff's Health Benefits Total
18,165,984$ 2,856,019$ 1,204,520$ 32,342,237$ 32,591,657 4,608,109 6,703,691 74,745,503
55,155 175,265 524,166 755,138115,694 16,359 - 241,525177,914 167,455 19,700,155 20,079,067427,958 21,764 - 453,488
- 261,718 - 261,718- - 713,619 4,690,927
51,534,362 8,106,689 28,846,151 133,569,603
- 35,518 - 740,518- 183,824 - 1,281,747- 34,989,396 - 52,430,714- 101,713 - 28,166,501- (21,852,200) - (41,828,195)- - - 513,965- 13,458,251 - 41,305,250
51,534,362 21,564,940 28,846,151 174,874,853
32,679 382,346 - 3,653,529
51,567,041 21,947,286 28,846,151 178,528,382
CONTINUED
130
Business Technology
Services Risk Financing
LIABILITIESCurrent liabilities
Vouchers payable 1,263,066$ 967,680$ Contracts payable 579,400 -Due to other funds - 1,729Due to other governments 2,384 4,686Accrued liabilities 471,968 39,457Claims payable - 4,213,911Compensated absences 1,203,814 64,404Unearned revenue 30 -
Total current liabilities 3,520,662 5,291,867
Noncurrent liabilitiesLong-term claims payable - 19,844,212Long-term compensated absences 331,663 17,744Other post employment benefit obligation 6,849,778 591,720Pension liability 8,272,129 588,841
Total noncurrent liabilities 15,453,570 21,042,517 Total liabilities 18,974,232 26,334,384
DEFERRED INFLOWS OF RESOURCESPension-related deferred inflows 3,118,981 222,543
Total liabilities and deferred inflows of resources 22,093,213 26,556,927
NET POSITION (DEFICIT)Net investment in capital assets 26,703,363 44,311Unrestricted net position (deficit) (6,584,769) 7,354,859
Total net position (deficit) 20,118,594$ 7,399,170$
See accompanying independent auditor's report.
Board of County Commissioners
Pinellas County, Florida
COMBINING STATEMENT OF NET POSITIONINTERNAL SERVICE FUNDS
September 30, 2015
131
Employee Health Benefits
Fleet Management
Sheriff's Health Benefits Total
272,477$ 865,422$ 656,493$ 4,025,138$ - 9,037 - 588,437
18,566,948 - 2,348,321 20,916,998- 982 - 8,052
89,935 65,442 - 666,8022,981,108 - 3,289,066 10,484,085
12,842 231,716 - 1,512,776- - - 30
21,923,310 1,172,599 6,293,880 38,202,318
- - - 19,844,2123,538 63,840 - 416,785
104,220,492 1,435,896 163,727,919 276,825,80581,866 1,044,225 - 9,987,061
104,305,896 2,543,961 163,727,919 307,073,863126,229,206 3,716,560 170,021,799 345,276,181
33,718 394,509 - 3,769,751126,262,924 4,111,069 170,021,799 349,045,932
- 13,168,192 - 39,915,866(74,695,883) 4,668,025 (141,175,648) (210,433,416)(74,695,883)$ 17,836,217$ (141,175,648)$ (170,517,550)$
CONCLUDED
132
Business Technology
Services Risk Financing
Operating revenuesCharges for services 33,494,923$ 16,351,947$
Operating expensesPersonal services 17,972,054 6,325,173Contractual services 2,686,010 227,832Supplies 783,589 11,595Other operating expenses 9,887,989 10,254,410Depreciation expense 3,431,341 18,291
Total operating expenses 34,760,983 16,837,301
Operating income (loss) (1,266,060) (485,354)
Nonoperating revenues (expenses)Interest revenues 56,646 167,765Miscellaneous revenues 78,072 22,444Interest expense - -
Total nonoperating revenues (expenses) 134,718 190,209
Income (loss) before transfers (1,131,342) (295,145)
Transfers in - -Transfers out - -
Change in net position (1,131,342) (295,145)
Net position (deficit) - beginning, as restated (see Note 19) 21,249,936 7,694,315
Net position (deficit) - ending 20,118,594$ 7,399,170$
See accompanying independent auditor's report.
Board of County Commissioners
Pinellas County, FloridaCOMBINING STATEMENT OF REVENUES,
EXPENSES AND CHANGES IN NET POSITIONINTERNAL SERVICE FUNDS
For the year ended September 30, 2015
133
Employee Health Benefits
Fleet Management
Sheriff's Health Benefits Total
56,127,929$ 12,367,971$ 43,506,586$ 161,849,356$
57,816,425 2,362,521 - 84,476,1733,662,252 104,969 70,551,581 77,232,644
3,899 6,869,615 - 7,668,69811,532 1,742,126 - 21,896,057
- 1,663,456 - 5,113,08861,494,108 12,742,687 70,551,581 196,386,660
(5,366,179) (374,716) (27,044,995) (34,537,304)
251,934 39,192 206,636 722,173141,510 3,116,061 - 3,358,087
- - (69,404) (69,404)393,444 3,155,253 137,232 4,010,856
(4,972,735) 2,780,537 (26,907,763) (30,526,448)
2,000,000 - 1,385,471 3,385,471(1,385,471) - - (1,385,471)(4,358,206) 2,780,537 (25,522,292) (28,526,448)
(70,337,677) 15,055,680 (115,653,356) (141,991,102)
(74,695,883)$ 17,836,217$ (141,175,648)$ (170,517,550)$
134
BusinessTechnology Risk
Services Financing
CASH FLOWS FROM OPERATING ACTIVITIES:Receipts from customers 33,521,104$ 16,359,447$ Payments to suppliers (13,646,465) (10,424,709)Payments to employees (15,503,343) (6,096,620)Cash received from other sources 52,581 80,320
Net cash provided (used) by operating activities 4,423,877 (81,562)
CASH FLOWS FROM NON-CAPITAL FINANCING ACTIVITIES:Transfers in - -Transfers out - -
Net cash provided (used) by non-capital financing activities - -
CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES:Acquisition and construction of capital assets (3,248,056) (71,381)Proceeds from sale of capital assets 66,286 -
Net cash provided (used) by capital financing activities (3,181,770) (71,381)
CASH FLOWS FROM INVESTING ACTIVITIES:Withdrawals from investment pool 33,152,885 19,398,124Deposits to investment pool (35,088,341) (20,649,993)Interest received on investments 39,513 146,215Sale of investmentsPurchase of investments
Net cash provided (used) by investing activities (1,895,943) (1,105,654)
Net change in cash and cash equivalents (653,836) (1,258,597)
Cash and cash equivalents at beginning of year 3,184,485 8,843,662
Cash and cash equivalents at end of year 2,530,649$ 7,585,065$
Reconcilation of operating income (loss) to net cashprovided (used) by operating activities:
Operating income (loss) (1,266,060)$ (485,354)$ Adjustments to reconcile operating income (loss) to net cash
provided (used) by operating activities:Depreciation expense 3,431,341 18,291Miscellaneous non-operating revenue 52,581 80,320Change in operating assets and liabilities:
Accounts receivable 2,529 7,500Inventory - -Due from other funds 53,724 -Due from other governments (30,071) -Prepaid expenses and other assets (213,762) (187,796)Pension-related deferred outflows (2,160,934) (157,775)Vouchers payable (19,672) 213,846Due to other funds (9,345) 1,708Due to other governments (46,099) (32,376)Accrued & other liabilities 73,766 89,633OPEB liability 683,235 64,197Net pension liability 3,610,662 275,653Pension-related deferred inflows 261,982 30,591
Total adjustments 5,689,937 403,792Net cash provided (used) by operating activities 4,423,877$ (81,562)$
Non-cash investing, capital and financing activities:Change in fair value of investments 8,744$ 26,623$ Purchase of capital assets on account 528,155 -
See accompanying independent auditor's report.
Pinellas County, FloridaCOMBINING STATEMENT OF CASH FLOWS
INTERNAL SERVICE FUNDSFor the year ended September 30, 2015
Board of County Commissioners
135
Employee Health Fleet Sheriff's Health
Benefits Management Benefits Total
55,772,342$ 12,549,331$ 40,479,477$ 158,681,701$ (2,537,416) (8,083,245) (48,109,592) (82,801,427)
(47,415,741) (2,117,682) - (71,133,386)141,509 3,116,063 - 3,390,473
5,960,694 5,464,467 (7,630,115) 8,137,361
2,000,000 - 1,385,471 3,385,471(1,385,471) - (1,385,471)
614,529 - 1,385,471 2,000,000
- (6,558,203) - (9,877,640)- (60,051) - 6,235- (6,618,254) - (9,871,405)
36,299,616 13,332,583 102,183,208(41,683,927) (12,334,510) 101,657 (109,655,114)
201,385 38,695 (104,708) 321,1006,322,020 6,322,020
(3,322,020) (3,322,020)(5,182,926) 1,036,768 2,996,949 (4,150,806)
1,392,297 (117,019) (3,247,695) (3,884,850)
16,773,687 2,973,038 4,452,215 36,227,087
18,165,984$ 2,856,019$ 1,204,520$ 32,342,237$
(5,366,179)$ (374,716)$ (27,044,995)$ (34,537,304)$
1,663,456 5,113,088141,509 3,116,063 3,390,473
(4,274) 72,823 (492,746) (414,168)- 272,991 272,991
136,315 15,216 (1,133,207) (927,952)(427,958) 93,323 (1,385,471) (1,750,177)
- - (368,644) (770,202)(27,552) (260,987) (2,607,248)
(406,670) 359,574 (171,568) (24,490)1,385,471 - - 1,377,834
- 901 (77,574)114,295 11,103 66,417 355,214
10,344,823 114,637 22,900,099 34,106,99154,171 387,859 4,328,34516,743 (7,776) 301,540
11,326,873 5,839,183 19,414,880 42,674,6655,960,694$ 5,464,467$ (7,630,115)$ 8,137,361$
43,182$ 6,449$ -$ 84,998$ - 281,022 - 809,177
136
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FIDUCIARY FUNDS
AGENCY FUNDS
BOARD OF COUNTY COMMISSIONERS
Trust - to account for the receipt and subsequent activity of monies temporarily held in trustuntil proper disposition can be made. Such monies include, but are not limited to, amounts on deposit for the County Fair, overbids on tax deed sales, unclaimed cancelled checks, and bid bonds on construction projects.
Payroll - to account for the receipt on a biweekly basis of monies related to payroll related obligations to outside parties.
CLERK OF THE CIRCUIT COURT AND COMPTROLLER
Trust - to account for the receipt and subsequent activity of monies temporarily held for others. The monies include deposits in court registry pursuant to court findings, traffic fines to be remitted to cities, intangible and documentary taxes collected to be distributed to the State of Florida, court ordered bonds, and other miscellaneous items.
SHERIFF
Individual Depositors- to account for the receipt and subsequent activity of monies temporarily held for others.
Inmate Trust – to account for the receipt and subsequent activity of monies temporarily held for inmates of the County jail system.
Payroll - to account for the receipt and subsequent disbursement of employee payroll deductions for distribution to third parties.
TAX COLLECTOR
Tax Collection - to account for: (1) ad valorem property taxes collected from property owners throughout the County and distributed to the School Board, municipalities in the County, and independent tax districts and ( 2) monies collected from vehicle owners for vehicle license tags. These monies are then remitted to the State of Florid
Clerk of the Circuit Court
and Comptroller
Trust Payroll Trust
ASSETSCash 2,601,017$ 1,013,411$ 48,811,763$ Investments 6,133,233 - 102Accounts receivable 290 - 1,653Accrued interest receivable 21,753 - -Due from other governments - - 22,533
Total assets 8,756,293$ 1,013,411$ 48,836,051$
LIABILITIES Vouchers payable 10,067$ 35,929$ -$ Due to other governments 133,432 1,256 8,577,082 Accrued liabilities - 976,226 - Deposits and other current liabilities 8,612,794 - 40,258,969
Total liabilities 8,756,293$ 1,013,411$ 48,836,051$
See accompanying independent auditor's report.
Board of County Commissioners
Pinellas County, FloridaCOMBINING BALANCE SHEET
AGENCY FUNDS September 30, 2015
137
Tax Collector
Individual Depositors Inmate Trust Payroll Tax Collection Total
173,862$ 157,858$ 161,405$ 15,857,464$ 68,776,780$ - - - - 6,133,335- 1,092 - 2,302,648 2,305,683- - - - 21,753- - - 53,973 76,506
173,862$ 158,950$ 161,405$ 18,214,085$ 77,314,057$
-$ 20,626$ 161,405$ -$ 228,027$ - - - 17,460,432 26,172,202- - - - 976,226
173,862 138,324 - 753,653 49,937,602173,862$ 158,950$ 161,405$ 18,214,085$ 77,314,057$
Sheriff - Agency Funds
138
Balance October 1,
2014
BOARD OF COUNTY COMMISSIONERS:
ASSETSCash 4,920,886$ Investments 6,756,982Accounts receivable -Accrued interest receivable 26,910Total Assets 11,704,778$
LIABILITIESVouchers payable 79$ Due to other governments 129,356Deposits and other current liabilities 11,575,343
Total Liabilities 11,704,778$
ASSETSCash 1,071,079$
Total Assets 1,071,079$
LIABILITIESVouchers payable 43,514$ Due to other governments 1,256Accrued liabilities 1,026,309Deposits and other current liabilities
Total Liabilities 1,071,079$
PAYROLL FUND
Pinellas County, Florida
AGENCY FUNDSCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the year ended September 30, 2015
TRUST FUND
139
BalanceSeptember 30,
Additions Deductions 2015
5,147,347$ 7,467,216$ 2,601,017$ 19,560,314 20,184,063 6,133,233
866,482 866,192 29021,753 26,910 21,753
25,595,896$ 28,544,381$ 8,756,293$
184,382$ 174,394$ 10,067$ 32,675 28,599 133,432
3,923,272 6,885,821 8,612,794
4,140,329$ 7,088,814$ 8,756,293$
133,659,603$ 133,717,271$ 1,013,411$
133,659,603$ 133,717,271$ 1,013,411$
602,717$ 610,302$ 35,929$ 250 250 1,256
169,300,406 169,350,489 976,226
169,903,373$ 169,961,041$ 1,013,411$
CONTINUED
140
Balance October 1,
2014
CLERK OF THE CIRCUIT COURT AND COMPTROLLER:
ASSETSCash 37,190,541$ Investments 1,103Accounts receivable -Due from other governments 23,113
Total Assets 37,214,757$
LIABILITIESDue to other governments 4,512,820$ Deposits and other current liabilities 32,701,937
Total Liabilities 37,214,757$
Pinellas County, Florida
AGENCY FUNDSCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the year ended September 30, 2015
TRUST FUND
141
BalanceSeptember 30,
Additions Deductions 2015
48,811,763$ 37,190,541$ 48,811,763$ 102 1,103 102
1,653 - 1,65322,533 23,113 22,533
48,836,051$ 37,214,757$ 48,836,051$
8,577,082$ 4,512,820$ 8,577,082$ 40,258,969 32,701,937 40,258,969
48,836,051$ 37,214,757$ 48,836,051$
CONTINUED
142
Balance October 1,
2014
SHERIFF:
ASSETSCash 181,809$ Due from other governments -
Total Assets 181,809$
LIABILITIESVouchers Payable -$ Due to other governments -Deposits and other current liabilities 181,809
Total Liabilities 181,809$
INMATE TRUST
ASSETSCash 92,066$ Accounts receivable -
Total Assets 92,066$
LIABILITIESVouchers payable -$ Deposits and other current liabilities 92,066
Total Liabilities 92,066$
ASSETSCash 114,695$ Accounts receivable 1,124
Total Assets 115,819$
LIABILITIESVouchers payable 115,819$ Due to other governments -
Total Liabilities 115,819$
PAYROLL FUND
Pinellas County, Florida
AGENCY FUNDSCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the year ended September 30, 2015
INDIVIDUAL DEPOSITORS FUND
143
BalanceSeptember 30,
Additions Deductions 2015
2,059,434$ 2,067,381$ 173,862$ 970 970 -
2,060,404$ 2,068,351$ 173,862$
1,792,988$ 1,792,988$ -$ 28 28 -
935,503 943,450 173,862
2,728,519$ 2,736,466$ 173,862$
5,430,528$ 5,364,736$ 157,858$ 1,092 - 1,092
5,431,620$ 5,364,736$ 158,950$
20,626$ -$ 20,626$ 5,478,281 5,432,023 138,324
5,498,907$ 5,432,023$ 158,950$
123,015,054$ 122,968,344$ 161,405$ - 1,124 -
123,015,054$ 122,969,468$ 161,405$
195,021,156$ 194,975,570$ 161,405$ 44,990,976 44,990,976 -
240,012,132$ 239,966,546$ 161,405$
CONTINUED
144
Balance October 1,
2014
TAX COLLECTOR:
ASSETSCash 14,772,697$ Accounts receivable 1,930,067Due from other governments 56,028
Total Assets 16,758,792$
LIABILITIESDue to other governments 15,173,466$ Deposits and other current liabilities 1,585,326
Total Liabilities 16,758,792$
Pinellas County, Florida
AGENCY FUNDSCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the year ended September 30, 2015
TAX COLLECTION FUND
145
BalanceSeptember 30,
Additions Deductions 2015
1,604,643,901$ 1,603,559,134$ 15,857,464$ 35,235,154 34,862,573 2,302,648
111,837 113,892 53,973
1,639,990,892$ 1,638,535,599$ 18,214,085$
1,610,169,447$ 1,607,882,481$ 17,460,432$ 1,808,780,215 1,809,611,888 753,653
3,418,949,662$ 3,417,494,369$ 18,214,085$
CONTINUED
146
Balance October 1,
2014
ASSETSCash 58,343,773$ Investments 6,758,085Accounts receivable 1,931,191Accrued interest receivable 26,910
Due from other governments 79,141
Total Assets 67,139,100$
LIABILITIESVouchers payable 159,412$ Due to other governments 19,816,898Accrued liabilities 1,026,309Deposits and other current liabilities 46,136,481
Total Liabilities 67,139,100$
Pinellas County, Florida
AGENCY FUNDSCOMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES
For the year ended September 30, 2015
TOTAL ALL AGENCY FUNDS:
147
BalanceSeptember 30,
Additions Deductions 2015
1,922,767,630$ 1,912,334,623$ 68,776,780$ 19,560,416 20,185,166 6,133,33536,104,381 35,729,889 2,305,683
21,753 26,910 21,753
135,340 137,975 76,506
1,978,589,520$ 1,968,414,563$ 77,314,057$
197,621,869$ 197,553,254$ 228,027$ 1,618,779,454 1,612,424,150 26,172,202
169,300,406 169,350,489 976,2261,859,376,240 1,855,575,119 49,937,602
3,845,077,969$ 3,834,903,012$ 77,314,057$
CONCLUDED
148
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III: STATISTICAL SECTION
This section of the report provides statement readers with additional historical perspective anddetail to assist in understanding what the information in the financial statements and notes sayabout the County’s economic condition.
PagesFinancial Trend Information 149-155
These schedules contain information to assist readers in understanding and assessing how the County’s financial performance and financial position have changed over time. The 2010 balances in Schedules 3 been restated for the effects of implementing GASB Statement Number 54, Fund Balance Reporting and Governmental Fund Type Definitions.
Revenue Capacity Information 156-161
These schedules contain information to assist readers in understanding and assessing factors affecting the County’s most significant local revenue source, property taxes.
Debt Capacity Information 162-167
These schedules contain information to assist readers in understanding and assessing the County’s debt burden and its ability to issue additional debt in the future.
Demographic and Economic Information 168-170
These schedules provide readers information to assist in understanding and assessing the socioeconomic environment in which the County operates.
Operating Information 171-173
These schedules provide operating indicators and capital asset data to assist readers in understanding how the information contained in this financial report relates to the services the County provides and the activities it performs.
Restated2006 2007 2008 2009
Governmental Activities
Net investment in capital assets 1,406,407$ 1,500,903$ 1,583,336$ 1,688,336$
Restricted 156,643 192,834 183,197 123,278
Unrestricted (deficit) 171,641 163,706 119,056 87,959Total governmental activities net position 1,734,691 1,857,443 1,885,589 1,899,573
Business-type Activities
Net investment in capital assets 1,078,283 1,123,893 1,150,927 1,177,364
Restricted 7,814 - 2,377 2,042
Unrestricted 256,586 257,141 248,594 243,412Total business-type activities net position 1,342,683 1,381,034 1,401,898 1,422,818
Primary Government
Net investment in capital assets 2,484,690 2,624,796 2,734,263 2,865,700
Restricted 164,457 192,834 185,574 125,320
Unrestricted 428,227 420,847 367,650 331,371Total primary government net position 3,077,374$ 3,238,477$ 3,287,487$ 3,322,391$
Fiscal Year
SCHEDULE 1
PINELLAS COUNTY, FLORIDA
NET POSITION BY COMPONENT
Last Ten Fiscal Years(Accrual Basis of Accounting)
(dollars in thousands)
149
Restated2010 2011 2012 2013 2014 2015
1,736,395$ 1,754,831$ 1,773,977$ 1,839,336$ 1,895,452$ 1,884,829$
107,990 136,769 179,136 183,841 200,453 270,318
58,483 36,472 (10,408) (62,337) (96,605) (365,183)1,902,868 1,928,072 1,942,705 1,960,840 1,999,300 1,789,964
1,153,204 1,142,998 1,161,308 1,163,552 1,159,912 1,161,321
2,700 4,161 4,789 4,728 6,267 6,356
260,341 286,490 315,690 338,181 365,066 375,3911,416,245 1,433,649 1,481,787 1,506,461 1,531,245 1,543,068
2,889,599 2,897,829 2,935,285 3,002,888 3,055,364 3,046,150
110,690 140,930 183,925 188,569 206,720 276,674
318,824 322,962 305,282 275,844 268,461 10,2083,319,113$ 3,361,721$ 3,424,492$ 3,467,301$ 3,530,545$ 3,333,032$
Fiscal Year
150
Restated2006 2007 2008 2009
ExpensesGovernmental activities: General government 200,401$ 199,878$ 206,192$ 196,642$ Public safety 370,223 403,269 444,475 426,019 Physical environment 26,620 29,513 30,136 28,612 Transportation 49,627 53,502 61,229 53,903 Economic enviroment 43,233 57,167 54,073 44,187 Human services 65,872 70,434 73,406 59,920 Culture and recreation 34,980 38,112 38,612 36,336 Interest and fiscal charges 10,771 9,934 8,576 6,932Total governmental activities expenses 801,727 861,809 916,699 852,551Business-type activities: Water System 90,559 93,385 99,526 95,244 Sewer System 52,906 56,580 58,273 58,292 Solid Waste System 60,368 54,690 52,663 57,609 St Petersburg/Clearwater International Airport 11,237 11,619 12,859 13,120Total business-type activities expenses 215,070 216,274 223,321 224,265Total primary government expenses 1,016,797 1,078,083 1,140,020 1,076,816
Program RevenuesGovernmental activities: Charges for services: General government 84,289 85,914 78,515 73,721 Public safety 61,574 65,288 70,189 79,446 Economic environment 11,957 10,756 11,912 14,453 Other activities 20,121 16,298 22,298 15,891 Operating grants and contributions 111,434 106,515 109,701 98,593 Capital grants and contributions 13,947 29,179 20,804 6,795Total governmental activities program revenues 303,322 313,950 313,419 288,899Business-type activities: Charges for service: Water System 82,812 88,870 86,537 82,242 Sewer System 60,388 60,370 59,863 56,244 Solid Waste System 83,896 84,266 69,486 76,685 St Petersburg/Clearwater International Airport 8,709 11,344 10,165 9,969 Operating grants and contributions 4,116 3,437 288 94 Capital grants and contribution 14,318 7,755 8,848 15,617Total business-type activities program revenues 254,239 256,042 235,187 240,851Total primary government program revenues 557,561 569,992 548,606 529,750
Net (Expense)/RevenueGovernmental activities (498,405) (547,859) (603,280) (563,652)Business-type activities 39,169 39,768 11,866 16,586Total primary government net expense (459,236) (508,091) (591,414) (547,066)
General Revenues and other Changes in Net PositionGovernmental activities: Taxes Property taxes 474,179 514,794 488,201 444,156 Sales taxes 100,841 101,116 98,486 91,126 Franchise taxes 457 584 - - Fuel taxes 18,187 20,300 16,966 16,639 Communication service taxes 12,725 13,142 13,067 11,844 Debt proceeds 3,100 - - - Unrestricted investment earnings 15,716 20,675 14,706 9,186Total governmental activities 625,205 670,611 631,426 572,951Business-type activities: Special items - - (620) - Extraordinary items - - 9,618 -Total business-type activities - - 8,998 -Total primary governemnt 625,205 670,611 640,424 572,951
Change in Net PositionGovernmental activities 126,800 122,752 28,146 9,299Business-type activities 39,169 39,768 20,864 16,586Total primary government 165,969$ 162,520$ 49,010$ 25,885$
(dollars in thousands)
Fiscal Year
SCHEDULE 2
PINELLAS COUNTY, FLORIDACHANGES IN NET POSITION
Last Ten Fiscal Years(Accrual Basis of Accounting)
151
Restated2010 2011 2012 2013 2014 2015
181,391$ 169,463$ 161,142$ 163,160$ 165,381$ 160,319$ 407,537 389,679 395,598 408,627 429,479 437,70426,667 22,894 19,632 21,440 32,596 35,05454,079 50,585 53,187 49,769 48,388 55,49746,223 35,867 42,589 45,840 48,329 58,00760,315 53,827 80,305 61,140 62,658 60,52726,491 26,773 28,347 29,149 27,831 25,9735,699 6,166 7,027 7,036 7,857 8,826
808,402 755,254 787,827 786,161 822,519 841,907
94,205 90,395 90,635 92,234 87,677 84,92560,438 58,181 60,214 61,380 63,501 65,04055,702 67,692 40,724 65,769 85,572 92,07912,854 13,398 12,438 12,758 13,147 14,172
223,199 229,666 204,011 232,141 249,897 256,2161,031,601 984,920 991,838 1,018,302 1,072,416 1,098,123
51,169 48,473 48,244 53,742 69,531 70,70377,991 82,876 83,763 86,031 92,819 93,88111,139 8,501 7,829 13,531 11,882 10,66316,965 22,132 28,615 21,708 32,095 50,269
128,104 122,579 128,410 117,382 101,430 109,4047,455 8,343 9,177 9,763 19,404 3,173
292,823 292,904 306,038 302,157 327,161 338,093
84,202 90,989 86,844 88,464 91,966 90,23255,702 56,315 61,373 66,039 70,767 74,54083,287 85,440 84,547 86,910 93,102 93,8259,604 9,916 9,866 10,253 10,982 12,811
128 101 171 244 - -10,684 4,309 9,785 4,905 7,864 18,533
243,607 247,070 252,586 256,815 274,681 289,941536,430 539,974 558,624 558,972 601,842 628,034
(515,579) (462,350) (481,789) (484,004) (495,358) (503,814)20,408 17,404 48,575 24,674 24,784 33,725
(495,171) (444,946) (433,214) (459,330) (470,574) (470,089)
394,030 358,579 354,375 360,708 385,583 410,22094,291 100,300 106,505 111,975 119,842 128,854
- - - - - -16,547 16,211 16,248 16,840 16,823 17,37110,953 10,526 10,753 10,630 10,581 10,290
- - - - - -3,053 1,938 1,761 1,986 989 1,545
518,874 487,554 489,642 502,139 533,818 568,280
(26,981) - - - - (2,658) - - - - - -
(26,981) - - - - (2,658)491,893 487,554 489,642 502,139 533,818 565,622
3,295 25,204 7,853 18,135 38,460 64,466(6,573) 17,404 48,575 24,674 24,784 31,067(3,278)$ 42,608$ 56,428$ 42,809$ 63,244$ 95,533$
Fiscal Year
152
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2006 2007 2008 2009
General Fund Reserved (97)$ 48$ 97$ 73$
Unreserved 165,576 176,935 165,792 137,928Total general fund 165,479 176,983 165,889 138,001
All Other Governmental Funds Reserved 14,457 9,353 7,692 9,686
Unreserved, reported in:
Special revenue funds 81,606 92,212 88,052 87,299
Capital projects funds 81,803 81,367 75,698 12,066 *
Total all other govermental funds 177,866$ 182,932$ 171,442$ 109,051$
Per GASB Statement Number 54, "Fund Balance Reporting and Governmental Fund Type Definitions":
Restated2010 2011 2012 2013 2014 2015
General Fund Nonspendable 53$ 61$ 43$ 47$ 53$ 388$ Committed - 29,000 28,100 27,200 28,500 - Assigned - 58,800 58,700 54,600 58,100 28,498 Unassigned 127,551 38,938 41,383 29,320 30,574 98,593Total general fund 127,604 126,799 128,226 111,167 117,227 127,479
All Other Governmental Funds Nonspendable 2,917 3,007 2,613 3,186 3,614 4,245 Restricted 82,907 113,663 163,788 158,527 170,617 224,503 Committed 8,384 6,922 7,847 8,506 6,305 9,244 Assigned - - - - 5,602 4,926 Unassigned (239) - - - - -Total all other govermental funds 93,969$ 123,592$ 174,248$ 170,219$ 186,136$ 242,918$
*The substantial decrease in unreserved capital projects funds is due to unanticipated shortfalls from current economic conditions.
(dollars in thousands)
Fiscal Year
SCHEDULE 3
PINELLAS COUNTY, FLORIDA
FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years(Modified Accrual Basis of Accounting)
Fiscal Year
2006 2007 2008 2009
REVENUES
Taxes 606,389$ 649,936$ 617,500$ 564,503$
Licenses and permits 5,438 5,012 4,441 3,612
Intergovernmental 121,906 132,622 128,828 105,385
Charges for services 107,929 108,585 109,121 112,646
Fines and forfeitures 7,832 9,244 7,747 6,616
Special assessments 1,109 2,481 2,284 2,439
Impact fees 4,066 3,654 2,476 1,041
Investment income 20,960 27,120 17,195 9,139
Miscellaneous 49,404 45,504 52,436 53,485
Total revenues 925,033 984,158 942,028 858,866
EXPENDITURES
General government 188,147 198,524 187,763 195,192
Public safety 358,237 389,983 407,418 399,328
Physical environment 18,062 20,367 19,267 17,963
Transportation 29,869 34,557 36,661 32,226
Economic environment 43,050 57,755 52,731 43,846
Human services 65,282 69,885 71,438 58,160
Culture and recreation 31,511 35,227 33,647 31,238
Capital outlay 116,220 117,126 121,151 138,398
Debt Service
Principal retirement 32,484 36,381 28,465 24,389
Interest and fiscal charges 10,944 10,239 8,960 7,293
Total expenditures 893,806 970,044 967,501 948,033
Excess (deficiency) of revenues
over (under) expenditures 31,227 14,114 (25,473) (89,167)
OTHER FINANCING SOURCES (USES)
Debt issuance 8,764 2,883 2,777 1,211
Transfers in 425,786 482,749 470,251 456,277
Transfers out (426,420) (483,549) (470,251) (458,289)
Total other financing sources (uses) 8,130 2,083 2,777 (801)
Net change in fund balances 39,357$ 16,197$ (22,696)$ (89,968)$
Debt service as a percentage of
noncapital expenditures 6% 5% 4% 4%
Fiscal Year
SCHEDULE 4
Pinellas County, Florida
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(Modified Accrual Basis of Accounting)
(dollars in thousands)
154
2010 2011 2012 2013 2014 2015
516,553$ 486,317$ 488,562$ 500,153$ 532,829$ 566,735$
4,306 5,141 5,547 6,294 6,555 7,064
135,559 130,910 137,654 127,569 121,024 112,577
100,400 101,560 105,539 116,543 130,583 135,847
3,308 5,369 4,619 4,771 8,988 7,327
2,612 2,542 2,511 2,490 18,683 21,130
1,179 1,445 1,274 1,348 1,789 1,578
2,878 1,548 1,545 2,214 1,279 2,367
44,782 44,630 48,973 39,832 38,933 50,480
811,577 779,462 796,224 801,214 860,663 905,105
177,647 157,721 152,486 153,769 153,404 159,631
377,072 362,496 346,754 369,337 380,091 402,968
15,859 11,709 12,115 14,203 22,922 25,471
30,303 26,921 25,983 25,789 23,974 28,390
44,306 34,912 40,442 39,632 47,337 54,055
56,782 50,041 65,175 62,576 64,298 60,375
23,561 23,915 21,972 24,389 22,792 23,821
80,922 75,213 76,718 126,652 120,015 75,620
22,665 30 - 453 976 2,751
5,995 6,165 7,026 7,036 7,857 8,756
835,112 749,123 748,671 823,836 843,666 841,838
(23,535) 30,339 47,553 (22,622) 16,997 63,267
- - - 3,400 6,482 5,520
419,897 305,120 282,147 285,545 300,802 318,820
(421,897) (306,970) (284,147) (287,757) (302,802) (320,820)
(2,000) (1,850) (2,000) 1,188 4,482 3,520
(25,535)$ 28,489$ 45,553$ (21,434)$ 21,479$ 66,787$
4% 1% 1% 1% 1% 2%
Fiscal Year
155
Fiscal Year Real Property
Personal Property
Centrally Assessed Property Real Property
Personal Property
Centrally Assessed Property
2006 87,770,598$ 5,025,242$ 8,544$ 29,172,732$ 746,202$ -$ 2007 110,381,661 5,320,270 8,498 39,386,283 819,083 - 2008 114,331,143 5,446,261 17,266 38,838,753 862,265 - 2009 105,814,703 5,506,509 8,848 36,877,993 1,332,685 1,135 2010 89,124,368 5,485,197 9,427 28,760,633 1,303,826 173 2011 72,706,667 5,549,428 8,620 18,769,423 1,290,629 974 2012 69,463,456 5,568,771 9,249 18,225,237 1,378,036 900 2013 68,148,968 5,297,509 9,551 17,883,079 1,221,707 932 2014 69,909,285 5,367,059 10,072 17,977,408 1,215,274 1,036 2015 73,533,761 5,380,827 10,431 18,143,724 1,129,342 1,103
d Total Direct Rate is the average of the direct rates levied (taxes levied to total taxable value).
Source: Pinellas County Property Appraiser Revised Recap of Ad Valorem Assessment rolls of Pinellas County, Form DR-403V
a Section 192.001(2), Florida Statutes, defines assessed value of property as "an annual determination of the just or fair market of an itemor property…." Therefore, grossed assessed value is "Estimated Actual Value". Assessed value is estimated and adjusted annually with aphysical inspection every third year.
b Exemptions are provided for agricultural government, institutional and historic preservation property. Exemptions available solely toresidential property include, but are not limited to, widows/widowers, disabled/blind, $25,000 homestead and homestead differential(capped values). c Centrally assessed property is property that is assessed by the State of Florida rather than by the Property Appraiser since the propertyis located in more than one county.
Estimated Actual Value a Exemptions b
SCHEDULE 5
Pinellas County, FloridaASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY
Last Ten Fiscal Years(dollars in thousands)
156
Real PropertyPersonal Property
Centrally Assessed
Property c TotalTotal Direct Tax Rate d
58,597,866$ 4,279,040$ 8,544$ 62,885,450$ 7.79870,995,378 4,501,187 8,498 75,505,063 7.04575,492,390 4,583,996 17,266 80,093,652 6.29968,936,710 4,173,824 7,713 73,118,247 6.28060,363,735 4,181,372 8,253 64,553,360 6.29553,937,244 4,258,799 7,645 58,203,688 6.32251,238,219 4,190,735 8,348 55,437,302 6.59850,265,889 4,075,802 8,619 54,350,310 6.85851,931,877 4,151,785 9,036 56,092,698 7.10455,390,037 4,251,485 9,328 59,650,850 7.107
Taxable Assessed Value
157
2006 2007 2008 2009DIRECT RATES a
CountywidePinellas County Government 5.992 5.340 4.811 4.811Special Revenue:
Health Department 0.070 0.070 0.062 0.062Mosquito Control 0.079 0.060 - -Emergency Mgmt Services 0.660 0.630 0.583 0.583 Total Countywide 6.801 6.100 5.456 5.456 Maximum allowed b 10.000 10.000 10.000 10.000
Unincorporated AreaMunicipal Services Taxing Units:
General MSTU 2.356 2.356 2.086 2.086Feather Sound 1.000 1.000 0.893 0.893Library Services - Coop 0.500 0.500 0.444 0.444Eastlake Library Services District - - - -Eastlake Recreation District - - - -Palm Harbor 0.000 0.500 0.438 0.438Belleair Bluffs Fire 1.066 0.928 0.854 0.854Clearwater Fire 2.441 2.044 1.863 1.863Dunedin Fire 2.495 2.141 2.010 2.010Gandy Fire 1.423 1.274 1.207 1.207High Point Fire 2.781 2.642 2.441 2.441Largo Fire 2.460 2.049 1.901 1.901Pinellas Park Fire 2.877 2.544 2.368 2.368Safety Harbor Fire 2.389 2.004 2.009 2.009Seminole Fire 2.193 2.132 1.958 1.958South Pasadena Fire 2.919 2.441 2.219 2.219Tarpon Springs Fire 1.804 1.804 1.684 1.684Tierra Verde Fire 1.494 1.500 1.400 1.400
Maximum allowed b 10.000 10.000 10.000 10.000
Total Direct Rates c 7.801 7.045 6.299 6.280
OVERLAPPING RATES dCountywideSchool Board 8.390 8.210 7.731 8.061Pinellas Planning Council 0.022 0.020 0.017 0.017Juvenile Welfare Board 0.812 0.796 0.738 0.792Pinellas Anclote River Basin 0.400 0.400 0.370 0.360Southwest Florida Water
Management District 0.422 0.422 0.387 0.387
Not CountywideMunicipalities
Lowest 0.720 0.516 0.526 0.526Highest 6.950 6.600 5.913 5.913
Pinellas Suncoast Transit 0.638 0.638 0.560 0.560Independent Special Districts:
Clearwater Downtown Dvlpmt 1.000 1.000 0.965 0.965East Lake Fire 1.650 1.530 1.429 1.420Lealman Fire 4.700 4.300 3.693 3.980Palm Harbor Fire 2.000 2.000 1.826 1.826Pinellas Park Water Management District 3.000 3.000 2.726 2.558
Source: Pinellas County Property Appraiser's Form DR-403CC and DR-403BM
a Direct rates support the ad valorem revenue base recognized by the County.
b Section 200.071, Florida Statutes, a county may not levy in excess of 10 mills, except for voted levies and for services or facilities provided through a municipal services taxing unit (MSTU).
c Total direct rates is the average of the direct rates (taxes levied to total taxable value).
d Overlapping rates are those rates levied by other local governments who apply to all County residents; for example, each incorporated municipality within the County also taxes its respective residents, etc.
SCHEDULE 6
Pinellas County, FloridaDIRECT AND OVERLAPPING PROPERTY TAX RATES
Last Ten Fiscal Years(millage rates expressed to the nearest thousandth)
Fiscal Year
158
2010 2011 2012 2013 2014 2015
4.811 4.811 4.811 5.011 5.276 5.276
0.062 0.062 0.062 0.062 0.062 0.062- - - - - -
0.583 0.583 0.851 0.916 0.916 0.9165.456 5.456 5.724 5.989 6.254 6.254
10.000 10.000 10.000 10.000 10.000 10.000
2.086 2.086 2.086 2.086 2.086 2.0860.566 0.566 0.566 0.500 0.500 0.5000.444 0.444 0.444 0.444 0.500 0.500
- - - - 0.250 0.250- - - - - 0.250
0.438 0.438 0.438 0.500 0.500 0.5001.732 1.732 1.732 1.732 1.732 1.7321.863 2.139 2.569 3.209 3.209 3.2092.010 2.010 2.258 3.553 3.553 2.9221.314 2.159 2.260 2.260 2.298 2.2982.728 3.264 4.192 4.192 2.670 2.6702.442 3.438 3.513 3.561 3.561 3.5612.368 2.368 2.368 2.368 3.016 3.0162.425 2.680 2.680 2.763 2.812 2.8121.958 1.958 1.958 1.958 1.958 1.9582.219 2.219 3.126 0.914 0.914 0.9142.375 2.375 2.375 2.375 2.375 2.3751.400 1.738 1.909 1.912 1.912 1.912
10.000 10.000 10.000 10.000 10.000 10.000
6.295 6.322 6.598 6.858 7.104 7.107
8.346 8.340 8.358 8.302 8.060 7.8410.013 0.013 0.013 0.013 0.016 0.0160.792 0.792 0.834 0.898 0.898 0.8980.320 0.260 - - - -
0.386 0.377 0.393 0.393 0.382 0.366
0.599 0.665 0.665 0.665 0.618 0.6185.913 5.913 5.943 6.774 6.770 6.7700.560 0.560 0.731 0.731 0.731 0.731
0.965 0.965 0.965 0.965 0.965 0.9651.390 1.390 1.510 1.700 1.980 1.9804.483 4.483 4.483 4.483 4.483 4.4831.826 2.000 2.000 2.000 2.000 2.000
1.987 1.543 1.543 1.651 1.867 1.867
Fiscal Year
159
Taxpayer BusinessTaxable Assessed
Value
Percentage of Total County
Taxable Assessed
ValueTaxable
Assessed Value
Percentage of Total County
Taxable Assessed
Value
Duke Energy/Florida Power Corporation Electric Utility 1,320,496$ 2.214% 706,732$ 1.124%Verizon Florida Inc Phone Utility 166,890 0.280% 386,857 0.615%Publix Super Market Grocery 157,158 0.263% 0.000%Bright House Networks LLC Communications 151,272 0.254% 163,392 0.260%Bellwether Prop Fla Real Estate 142,630 0.239% 121,397 0.193%DeBartolo (Tyrone Square, Inc.) Shopping Mall 121,950 0.204% 116,500 0.185%Raymond James & Associates, Inc. Financial Advisor 115,356 0.193% 151,781 0.241%Wal-Mart Stores East LP Retail 100,221 0.168% -Bayfront HMA Medical Center LLC Medical Facility 72,918 0.122% -USA Fed Natl Mtg Assn Financial 65,826 0.110% -Proapectt Marathon Coquina Real Estate - 0.000% 73,011 -Franklin Templeton Financial Advisor - 0.000% 70,005 0.111%MT (2002) Statutory Trust Trust - 0.000% 65,675 0.104%The Nielsen Company (US) LLC Media Information - 0.000% 58,035 0.092%
2,414,717$ 4.048% 1,913,385$ 2.846%
Total Taxable Assessed Value 59,650,850$ 62,885,450$
Source: Pinellas County Property Appraiser
Methodology: Top 10 taxpayers identified for Real Property and for Personal Property. Top 10 taxpayers based on the combined values.
2015 2006
SCHEDULE 7
Pinellas County, FloridaPRINCIPAL PROPERTY TAXPAYERS
2015 and Nine Years Ago(dollars in thousands)
160
Fiscal Year Ended September 30,
Taxes Levied for the Fiscal Year b Amount
Percentage of Levy
Collections for Prior Years c Amount
Percentage of Levy
2006 490,366 470,312 95.91% 3,867 474,179 96.70%2007 531,913 510,448 95.96% 4,346 514,794 96.78%2008 504,532 483,338 95.80% 4,862 488,200 96.76%2009 459,182 439,756 95.77% 4,400 444,156 96.73%2010 406,363 389,822 95.93% 4,208 394,030 96.97%2011 367,977 354,950 96.46% 3,809 358,759 97.49%2012 365,784 342,362 93.60% 12,012 354,374 96.88%2013 372,759 350,820 94.11% 9,888 360,708 96.77%2014 398,481 374,910 94.08% 10,673 385,583 96.76%2015 423,957 399,809 94.30% 10,411 410,220 96.76%
Source: Property Appraiser's Form DR-403CC
a Section 197.162, Florida Statutes, provides a 1% per month discount up to 4% for payments received between November and February. Taxes collected after July 1st are categorized as delinquent.
b This is the revenue to be generated based on Pinellas County's direct rates; see Schedule 6.
c All delinquent tax collections received during the year are applied to the year prior to collection, regardless of the year in which the taxes were originally levied.
Collected within the Fiscal Year of the Levy a Total Collections to Date
SCHEDULE 8
Pinellas County, FloridaPROPERTY TAX LEVIES AND COLLECTIONS
Last Ten Fiscal Years(dollars in thousands)
161
Fiscal Year Ended September 30,
Revenue and Revenue
Refunding Bonds
Notes Payable
Capital Leases
Sewer Revenue Bonds
Solid Waste Revenue Bonds
2006 93,533$ 1,550$ 9,905$ 176,840$ c 435$ 2007 64,385 775 6,403 172,735 - 2008 44,035 - 1,839 210,370 d,e - 2009 22,600 - 96 205,090 - 2010 - - 31 199,200 - 2011 - - - 191,155 f - 2012 - - - 183,915 g - 2013 - 3,109 h - 174,005 - 2014 - 8,714 116 169,995 - 2015 - 11,559 41 162,450 -
Source: Details regarding the County's outstanding debt can be found in the notes to the financial statements.
a See Schedule 12 for personal income and population data.b Information not available.c Issued $25,205,000 of Sewer Revenue Refunding Bonds, Series 2006, which included defeasing $24,515,000 of outstanding
d Issued $42,005,000 in Sewer Revenue Bonds, Series 2008A.e Issued $32,700,000 of Sewer Revenue Refunding Bonds, Series 2008 B-1, which included defeasing $32,045,000 of outstanding
f Issued $20,870,000 of Sewer Revenue Refunding Bonds, Series 2011, which included defeasing $22,755,000 of outstanding
g Issued $59,510,000 of Sewer Revenue Refunding Bonds, Series 2012, which included defeasing $62,085,000 of outstanding
h Issued $3,562,132 note for agency vehicle purchase. One principle payment was made for $453,406.
SCHEDULE 9
Pinellas County, FloridaRATIOS OF OUTSTANDING DEBT BY TYPE
Last Ten Fiscal Years(dollars in thousands, except per capita)
Sewer Revenue and Revenue Refunding Bonds, Series 1998.
Sewer Revenue and Revenue Refunding Bonds, Series 1998.
Sewer Revenue and Revenue Refunding Bonds, Series 1998.
Sewer Revenue Bonds, Series 2003.
Governmental Activities
162
Capital Leases
Total Primary
Government
Debt as a Ratio to Personal Income a
Debt Per Capita a
-$ 282,263$ 0.71% 298$ 530 244,828 0.60% 259 464 256,708 0.62% 274 214 228,000 0.60% 245
31 199,262 0.50% 215 - 191,155 0.47% 208 - 183,915 0.42% 200 - 177,114 0.42% 191 - 178,825 0.42% 192 - 174,050 N/A b 184
163
Fiscal Year Ended September 30,
Revenue and Revenue Refunding
Bonds
Amounts Set Aside to Repay
PrincipalNet General
Bonded Debt
Percentage of Actual Taxable
Value a of Property
Debt Per Capita b
2006 93,533$ 448$ 93,085$ 0.15% 98$ 2007 64,385 136 64,249 0.09% 68 2008 44,035 140 43,895 0.05% 47 2009 22,600 141 22,459 0.03% 24 2010 - - - - - 2011 - - - - - 2012 - - - - - 2013 - - - - - 2014 - - - - - 2015 - - - - -
Note: Debt limits have not been established by the State of Florida or Pinellas County.
Source: Details regarding the County's outstanding debt can be found in the notes to the financial statements.
a See Schedule 5 for actual property value data.b See Schedule 12 for population data.
Net General Bonded Debt Outstanding
SCHEDULE 10
Pinellas County, FloridaRATIOS OF NET GENERAL BONDED DEBT OUTSTANDING
Last Ten Fiscal Years(dollars in thousands, except debt per capita)
164
Net RevenueFiscal Gross Available forYear Revenues d Expenses a Debt Service Principal Interest Total Coverage b
2015 74,540$ 39,969$ 34,571$ 7,730$ 6,726$ 14,456$ 2.39 x2014 70,767 38,411 32,356 7,545 6,909 14,454 2.24 2013 66,107 37,724 28,383 7,295 7,158 14,453 1.96 2012 61,373 35,322 26,051 7,050 7,890 14,940 1.74 2011 56,314 32,556 23,758 6,336 8,737 15,073 1.58 2010 55,702 33,655 22,047 6,160 9,076 15,236 1.45 2009 56,249 35,647 20,602 5,890 9,819 15,709 1.31 2008 56,645 40,087 16,558 5,280 7,784 13,064 1.27 c
2007 60,370 37,406 22,964 5,025 8,099 13,124 1.75 2006 60,388 32,567 27,821 4,795 8,474 13,269 2.10
Net RevenueFiscal Gross Available forYear Revenues Expenses a Debt Service Principal Interest Total Coverage (b)
2015 93,825$ 76,727$ 17,098$ -$ -$ -$ - x2014 93,102 70,083 23,019 - - - - 2013 86,970 50,819 36,151 - - - - 2012 84,546 46,574 37,972 - - - - 2011 85,465 53,764 31,701 - - - - 2010 83,327 42,439 40,888 - - - - 2009 76,759 45,745 31,014 - - - - 2008 69,492 41,068 28,424 - - - - 2007 84,308 43,803 40,505 - - - - 2006 86,289 48,676 37,613 435 23 458 82
b Principal and interest paid on April 1st and September 30th of the fiscal year.
a Excludes depreciation, amortization, loss on abandonment of fixed assets and bond interest expense.b Principal and interest paid on April 1st and September 30th of the fiscal year.c Restated to reclassify operating revenue to capital contributions.d Gross Revenue has been restated for FY 2006 through FY 2014 to be net of bad debt expense.
Schedule 11B
Pinellas County, FloridaSOLID WASTE SYSTEM REVENUE BOND COVERAGE
Last Ten Fiscal Years(dollars in thousands)
Debt Service Requirement b
a Excludes depreciation, amortization, gain on sale of assets and bond interest expense.
Debt Service Requirements b
Schedule 11A
Pinellas County, FloridaSEWER SYSTEM REVENUE BOND COVERAGE
Last Ten Fiscal Years(dollars in thousands)
165
Net RevenueFiscal Gross Available forYear Revenues Expenditures Debt Service Principal Interest Total
2015 3,368$ -$ 3,368$ -$ -$ -$ -$ x2014 3,368 - 3,368 - - - - 2013 3,368 - 3,368 - - - - 2012 3,368 - 3,368 - - - - 2011 3,368 - 3,368 - - - - 2010 3,368 - 3,368 - - - - 2009 3,368 - 3,368 - - - - 2008 3,368 - 3,368 - - - - 2007 3,368 - 3,368 - - - - 2006 3,368 - 3,368 1,060 23 1,083 3.11
Net RevenueFiscal Gross Available for Debt Service RequirementYear Revenues Expenditures Debt Service Principal Interest Total
2015 66,842$ -$ 66,842$ -$ -$ -$ - x2014 62,100 - 62,100 - - - - 2013 58,187 - 58,187 - - - - 2012 55,070 - 55,070 - - - - 2011 52,026 - 52,026 - - - - 2010 52,803 - 52,803 22,600 522 23,122 2.28 2009 58,947 - 58,947 21,435 1,627 23,062 2.56 2008 64,422 - 64,422 20,350 2,753 23,103 2.79 2007 68,567 - 68,567 19,520 3,708 23,228 2.95 2006 70,397 - 70,397 18,730 4,516 23,246 3.03
(dollars in thousands)
Coverage a, b
a The Series 2000 Capital Improvement Revenue Bonds were issued in October 2000.b The Series 2002 Capital Improvement Revenue Bonds were issued in July 2002.
Last Ten Fiscal Years
SECOND GUARANTEED ENTITLEMENT REVENUE BOND COVERAGE
Last Ten Fiscal Years(dollars in thousands)
Debt Service RequirementCoverage a
a The Second Guaranteed Entitlement Revenue Refunding Bonds were dated February 1, 1996.
Schedule 11D
Pinellas County, FloridaCAPITAL IMPROVEMENT REVENUE BOND COVERAGE
Pinellas County, Florida
Schedule 11C
166
Net RevenueFiscal Gross Available forYear Revenues Expenditures Debt Service Principal Interest Total Coverage a
2015 13,364$ -$ 13,364$ -$ -$ -$ - x2014 12,940 - 12,940 - - - -2013 12,951 - 12,951 - - - -2012 12,497 - 12,497 - - - -2011 12,469 - 12,469 - - - -2010 12,750 - 12,750 - - - -2009 12,819 - 12,819 - - - -2008 12,840 - 12,840 - - - -2007 17,251 - 17,251 6,610 248 6,858 2.52 2006 17,837 - 17,837 6,345 486 6,831 2.61
Last Ten Fiscal Years(dollars in thousands)
Debt Service Requirement
a The Transportation Improvement Revenue Bonds were dated September 1, 1993.
Schedule 11E
Pinellas County, FloridaTRANSPORTATION IMPROVEMENT REVENUE BOND COVERAGE
167
Fiscal Year Population aPersonal Income
(dollars in thousands) b
Per Capita Personal Income b
School Enrollment c
Unemployment Rate d
2015 944,971 N/A e N/A e 127,187 4.70%2014 933,258 43,082,259$ 45,925 127,567 5.60% f
2013 926,610 41,261,212 f 44,362 f 125,262 6.60% f
2012 920,381 40,679,198 f 44,108 f 122,012 8.20%2011 918,496 40,894,980 f 44,549 f 136,396 10.40%2010 927,994 38,526,146 f 42,027 f 130,582 11.40%2009 931,113 36,345,799 f 39,708 f 138,167 11.40%2008 938,461 38,300,709 f 41,792 f 129,091 6.70%2007 945,437 38,371,863 f 41,771 f 135,242 4.00%2006 948,102 37,744,076 f 40,841 f 136,185 3.20%
a Source: Bureau of Economic & Business Research, University of Floridab Source: Bureau of Economic Analysis, U.S. Department of Commercec Source: Pinellas County School Boardd Source: U.S. Department of Labor, September annually (not seasonally adjusted)e Information not available
Schedule 12
Pinellas County, FloridaDemographics and Economic Statistics
Last Ten Fiscal Years
f Revised data
168
Employer Employees Rank
Percentage of Total County Employment Employees Rank
Percentage of Total County Employment
Pinellas County School District 15,836 1 3.88% 17,658 1 3.67%Bay Pines VA Medical Center 4,459 2 1.09% 2,759 7 0.57%All Children's Hospital 3,200 3 0.78% 2,319 10 0.48%City of St. Petersburg 3,165 4 0.78% 3,420 4 0.71%Pinellas County Sheriff 2,682 5 0.66%Raymond James 2,650 6 0.65% 2,850 6 0.59%Morton Plant Hospital 2,550 7 0.62% 2,439 8 0.51%St. Petersburg College 2,413 8 0.59%Home Shopping Network 2,150 9 0.53% 2,439 9 0.51%Mease Hospital 2,100 10 0.51%Pinellas County Board of County Commissioners 7,378 2 1.54%Nielsen Media Research 3,510 3 0.73%Times Publishing 3,187 5 0.66%
Total Employment 408,252 480,647
Source: Florida Research and Economic Database and Pinellas County Department of Economic Development
SCHEDULE 13
Pinellas County, FloridaPRINCIPAL EMPLOYERS
Current Year and Nine Years Ago
2015 2006
169
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015General Government
Financial Administration 261 266 252 190 153 165 182 177 202 217Central Administration 237 169 162 121 86 99 206 168 167 228Judicial Legal 85 96 81 75 105 104 37 38 34 39General Services 282 253 248 197 154 151 128 117 119 123Clerk of the Circuit Court c 636 639 645 548 543 534 515 569 546 553Property Apraiser a 162 156 148 133 130 122 122 122 123 123Supervisor of Elections a 38 41 40 31 31 28 29 31 33 35Tax Collector a 294 295 295 260 253 251 254 256 268 268
Public Safety Sheriff b 3,192 3,294 2,897 2,794 2,348 2,268 2,591 2596 2693 2682Fire 15 15 16 15 15 14 13 15 14 14Emergency Management 127 132 133 128 131 135 127 129 119 142
Physical Environment Cooperative Extension 37 39 37 19 12 15 11 9 9 4Community Services 94 95 93 76 98 93 32 27 20 22
Transportation Streets and Highway 255 248 242 214 139 138 180 152 85 86Public Works 188 188 168 110 109 115 41 72 45 226
Economic Environment Housing and Community Development 79 77 71 64 48 49 48 47 71 30Tourism 32 35 33 31 32 32 30 31 32 35
Culture and Recreation Public Welfare 177 180 174 152 138 128 112 141 149 161Health 174 181 168 130 96 111 155 158 154 183Parks and Recreation 305 312 268 151 142 170 165 158 169 161
Airport 51 51 50 46 46 41 41 37 37 44Sewer 139 139 129 125 141 205 207 206 226 253Solid Waste 58 54 53 64 61 79 78 82 71 66Water 413 407 389 353 278 214 189 187 219 166
Total 7,331 7,362 6,792 6,027 5,289 5,261 5,493 5,525 5,605 5,861
Source: Pinellas County Finance Division (full-time and part-time personnel paid), except those referenced otherwise.a Source: Pinellas County Annual Operating and Capital Budget
c Source: Clerk's Annual Budget
Note: Employment statistics by function based on paid payroll
SCHEDULE 14
Pinellas County, FloridaEMPLOYMENT STATISTICS BY FUNCTION
Last Ten Fiscal Years
Fiscal Year
b Source: Pinellas County Sheriff's Office. Amounts for prior years have been restated.
170
Fiscal YearFunction 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
General Government Registered Voters 616,680 599,127 633,000 597,320 603,778 597,712 614,707 607,961 622,164 630,520
Solid Waste Tons per capita/year 2.13 1.64 1.90 1.70 1.87 1.52 1.53 1.43 1.57 N/A a
Lbs per capita/day 3.40 8.98 10.41 9.40 10.23 8.35 8.38 7.86 8.59 N/A a
Water Reclaimed Water Inspections 1,553 1,528 1,063 2,235 1,055 531 1,231 1,313 971 883 Reclaimed Water Accounts 22,444 24,078 22,842 22,425 22,473 22,523 22,533 22,570 22,671 22,736 Utility Accounts 112,637 112,878 112,937 112,843 111,701 111,618 111,683 111,895 112,117 112,444
Human Services Energy Assistance 1,252 650 497 723 1,115 1,053 1,063 N/A b N/A b N/A b
Medical Mobile Unit encounters N/A N/A 12,307 13,412 11,604 9,833 12,843 10,810 12,860 24,943 Animals adopted/returned to owners 6,959 7,377 8,214 7,832 8,476 6,741 6,847 6,697 7,077 7,300
Public Safety Consumer Complaints 2,222 1,953 1,671 2,533 1,600 1,385 1,225 1,163 1,079 1,067 Crime Reports 47,401 46,663 48,080 49,132 43,546 40,863 38,762 38,570 39,202 N/A a
9-1-1 Calls 590,430 583,592 574,775 566,970 547,410 563,402 542,349 530,240 522,920 542,815
Culture and Recreation Park Visitors (in thousands) 17,852 17,640 17,154 15,604 15,499 16,610 16,101 16,152 16,228 17,581
Airport Passengers 375,446 665,703 811,722 743,779 756,608 814,009 852,442 965,435 1,188,838 1,542,650
Source: Various County departmentsa Information not availableb Emergency Home Energy Assistance Program for the Elderly is no longer administered by Pinellas County
SCHEDULE 15
Pinellas County, FloridaOPERATING INDICATORS BY FUNCTION/PROGRAM
Last Ten Fiscal Years
171
Function/Program 2006 2007 2008General Government
Number of buildings 82 83 83Square feet buildings 3,223,752 3,115,237 3,115,237Fleet vehicles 2,311 2,316 2,152
Public SafetySheriff's patrol vehicles - marked 638 588 567 unmarked 882 777 690Radio towers 10 10 10
Physical EnvironmentBeaches (No. of miles) 7.56 7.56 7.56 Miles of beaches restored 12.00 0.50 - Preserve acreage owned by County 8,777 8,874 8,781Preserve acreage managed by County (includes owned) 15,281 15,149 13,345
TransportationTraffic centerline miles 1,106.52 1,109.21 1,108.00
Economic EnvironmentSTAR Center - building square feet 661,697 661,697 661,697 land acres 96 96 96
Culture & RecreationPark acreage 4,243 4180 4,274Shelters 106 110 110Trails - Jogging/Exercise/Nature 66.74 74.65 75Playgrounds 13 13 16Paws Playgrounds 6 6 6Boat ramps (lanes) 74 64 64Museums & Education Centers 3 3 4Art in Public Places projects complete 12 13 15Golf Course (acres) 129.00 129.00 129.00 Marina 1 1 1
AirportNumber of runways 4 4 4Runways in feet 24,795 24,795 24,798Terminal square footage 143,870 143870 143,870Land (acres) 1,758 1758 1,758
SewerNumber of pumping or lift stations 308 b 289 c 292Collection & Transmission lines (miles) 950 953 954Reclaimed Water transmission & distribution lines (miles) 306 320 351Number of manholes 22,627 22685 22,645
Solid WasteVolume developed for landfill use (million cubic yards) 23 44.65 44.65Remaining available landfill capacity (million cubic yards) 20.79 43.87 43.22Reefs 13 13 13
WaterTransmission and distribution lines (miles) 1,994 1,996 1,997 Maximum daily storage capacity (million gallons) 40.2 40.2 40.2 Number of meters in service 111,542 111,861 112,937
Sources: Various County Departmentsa
b The count in prior years included some lift stations privately owned and owned by Solid Waste.c The count changed due to a re-evaluation of the description of pumping or lift stationsd Sewer collection and transmission pipeline length reduced due to continued QA/QC on the system and abandoned pipes. e Potable Transmission and Distribution pipeline length reduced as a result of defining Firelines and Private pipelines and
converting to their proper classification of service connections.f The AIRCO golf course was closed as of May 2011. g
h
Actual not available
Number of miles of beaches was increased due to prior years not including beaches within incorporated Pinellas County.Restated 2013 to remove city accesses that were included in the county owned amount.
SCHEDULE 16
Pinellas County, FloridaCapital Asset and Infrastructure Statistics by Function/Program
Last Ten Fiscal YearsFiscal Year
172
2009 2010 2011 2012 2013 2014 2015
87 130 128 124 103 104 103 3,136,547 3,385,472 3,383,028 3,750,247 3,391,293 3,784,059 3,824,580
1,899 1,857 1,979 1,805 1,694 1,627 1,852
551 513 435 464 532 500 565 567 559 430 96 53 84 115 10 10 10 10 11 10 10
7.56 7.56 7.56 7.56 8.12 g 6.10 h 6.10 - 1.30 0.40 4.55 - 2.90 0.60
9,570 9,570 9,570 9,570 9,570 9,570 9,570 15,849 15,849 15,849 15,849 15,849 15,849 15,849
1,106.00 1,105.50 1,104.10 1,103.70 1,103.50 1,102.60 a 1,102.60 a
661,697 661,697 661,697 661,697 661,697 661,697 661,697 96 96 96 96 96 96 96
4,273 4,272 4272 4272 4272 4272 4272110 116 116 116 116 116 116 73 77 77.4 77.4 77.4 77.4 77.416 16 16 16 16 16 16 6 7 7 7 7 7 7
64 74 74 74 74 74 74 4 4 4 4 4 4 4
18 19 20 20 20 20 20 123.50 123.50 - f - f - f - f - f
1 1 1 1 1 1 1
4 4 4 4 4 4 2 24,795 24,795 24,798 24,798 24,798 24,345 15,633
143,870 143,870 164,500 164,500 164,500 164,500 164,500 2,200 2,200 2,200 2,200 2,200 2,200 2,200
292 294 291 292 292 292 297 996 958 d 959 945 d 946 973 1,123 428 438 424 422 421 421 422
22,727 22,758 22,765 22,760 22,712 23,034 23,049
45.17 45.39 45.48 45.72 45.72 45.72 57.3842.70 42.48 42.40 39.84 39.49 39.65 38.86
13 14 14 14 14 14 14
2,017 1,990 1,712 e 1,748 1,752 1,762 1,765 40.2 40 40.0 40.0 40.0 40 37
111,499 111,499 111,595 111,704 111,916 112,126 112,452
Fiscal Year
173
IV: SINGLE AUDIT
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING
AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of Pinellas County, Florida (the “County”) as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the County’s basic financial statements, and have issued our report thereon dated May 31, 2016. Our report includes a reference to other auditors who audited the financial statements of the discretely presented component units, as described in our report on the County’s financial statements. This report does not include the results of the other auditors testing of internal control over financial reporting and compliance and other matters that are reported on separately by those other auditors.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the County's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the County’s internal control. Accordingly, we do not express an opinion on the effectiveness of the County’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
174
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the County's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the result of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Crowe Horwath LLP Tampa, Florida May 31, 2016
175
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE FOR EACH MAJOR FEDERAL PROGRAM
AND STATE FINANCIAL ASSISTANCE PROJECT; REPORT ON INTERNAL CONTROL OVER COMPLIANCE; AND REPORT ON THE SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS,
STATE FINANCIAL ASSISTANCE AND SCHEDULE OF RECEIPTS AND EXPENDITURES OF FUNDS RELATED TO THE DEEPWATER HORIZON OIL SPILL AS REQUIRED BY OMB CIRCULAR A-133
AND CHAPTER 10.550 RULES OF THE AUDITOR GENERAL Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida Report on Compliance for Each Major Federal Program and State Financial Assistance Project We have audited Pinellas County, Florida’s (the County’s) compliance with the types of compliance requirements described in the OMB Circular A-133 Compliance Supplement and the requirements described in the Department of Financial Services’ State Projects Compliance Supplement, that could have a direct and material effect on each of the County’s major federal programs or state financial assistance projects for the year ended September 30, 2015. The County’s major federal programs and state financial assistance projects are identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs.
Management’s Responsibility
Management is responsible for compliance with the requirements of laws, regulations, contracts, and grants applicable to its federal programs and state financial assistance projects.
Auditor’s Responsibility
Our responsibility is to express an opinion on compliance for each of the County’s major federal programs and state financial assistance projects based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations; and Chapter 10.550, Rules of the Auditor General. Those standards, OMB Circular A-133, and Chapter 10.550, Rules of the Auditor General, require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program and state financial assistance project occurred. An audit includes examining, on a test basis, evidence about the County’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances.
176
We believe that our audit provides a reasonable basis for our opinion on compliance for each major federal program and state financial assistance project. However, our audit does not provide a legal determination of the County’s compliance.
Opinion on Each Major Federal Program and State Financial Assistance Projects
In our opinion, the County complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on each of its major federal programs and state financial assistance project for the year ended September 30, 2015.
Report on Internal Control Over Compliance
Management of the County is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered the County’s internal control over compliance with the types of requirements that could have a direct and material effect on each major federal program and state financial assistance project to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major federal program and state financial assistance project and to test and report on internal control over compliance in accordance with OMB Circular A-133 and Chapter 10.550, Rules of the Auditor General, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the County’s internal control over compliance.
A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, noncompliance with a type of compliance requirement of a federal program or state financial assistance project on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program or state financial assistance project will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program or state financial assistance project that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance.
Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be material weaknesses or significant deficiencies. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of OMB Circular A-133 and Chapter 10.550, Rules of the Auditor General. Accordingly, this report is not suitable for any other purpose.
177
Report on Schedule of Expenditures of Federal Awards and State Financial Assistance and the Schedule of Receipts and Expenditures of Funds Related to the Deepwater Horizon Oil Spill Required by OMB Circular A-133 and Chapter 10.550, Rules of the Auditor General
We have audited the financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the County as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise County’s basic financial statements. We issued our report thereon dated May 31, 2016, which contained unmodified opinions on those financial statements. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the basic financial statements. The accompanying schedule of expenditures of federal awards and state financial assistance and the schedule of receipts and expenditures of funds related to the Deepwater Horizon Oil Spill are presented for purposes of additional analysis as required by OMB Circular A-133 and Chapter 10.550, Rules of the Auditor General and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the schedule of expenditure of federal awards and state financial assistance and the schedule of receipts and expenditures of funds related to the Deepwater Horizon Oil Spill are fairly stated in all material respects in relation to the basic financial statements as a whole. Crowe Horwath LLP Tampa, Florida May 31, 2016
178
See accompanying Notes to Schedule of Federal Awards and State Financial Assistance CONTINUED
Federal Grantor CFDA Grant/ContractPass-Through Entity/Program Title Number Number Expenditures
FEDERAL AWARDS
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENTDIRECT PROGRAMS: Community Development Block Grants/Entitlement Grants 14.218 B-08-UN-12-0015 204,916$ Community Development Block Grants/Entitlement Grants 14.218 B-11-UN-12-0015 3,676 Community Development Block Grants/Entitlement Grants 14.218 B-12-UC-12-0005 31,861 Community Development Block Grants/Entitlement Grants 14.218 B-13-UC-12-0005 2,599,441
2,839,894
Emergency Solutions Grant Program 14.231 E-13-UC-12-0018 149,504
Home Investment Partnerships Program 14.239 M-11-DC-12-0217 616,729 Home Investment Partnerships Program 14.239 M-12-DC-12-0217 962,157 Home Investment Partnerships Program 14.239 M-13-DC-12-0217 726,013 Home Investment Partnerships Program 14.239 M-14-DC-12-0217 1,174,337
3,479,236
Fair Housing Assistance Program State and Local 14.401 FF204K134011 50,000 Fair Housing Assistance Program State and Local 14.401 FF204K144011 103,600 Fair Housing Assistance Program State and Local 14.401 FF204K154011 52,250
205,850
PASSED THROUGH NEIGHBORHOOD LENDING PARTNERS OF WEST FLORIDA: ARRA - Neighborhood Stabilization Program 14.256 B-09-CN-FL-0023 148,426
Total Department of Housing and Urban Development 6,822,910
ELECTIONS ASSISTANCE COMMISSIONPASSED THROUGH FLORIDA DEPARTMENT OF STATE: Help America Vote Act Requirements Payments 90.401 Not Available 48 Help America Vote Act Requirements Payments 90.401 2013-2014-0001 62,600 Help America Vote Act Requirements Payments 90.401 2014-2015-0001 65,162
Total Elections Assistance Commission 127,810
DEPARTMENT OF HOMELAND SECURITYDIRECT PROGRAMS: Law Enforcement Officer Reimbursement Agreement Program 97.090 HSTS02-13-H-SLR046 87,600
Homeland Security Biowatch Program 97.091 2006-ST-091-00016-09 175,785
PASSED THROUGH FLORIDA DIVISION OF EMERGENCY MANAGEMENT: Emergency Management Performance Grants 97.042 15-FG-4D-08-62-01-119 141,863 Emergency Management Performance Grants 97.042 16-FG-5A-08-62-01-119 77,270
219,133
Homeland Security Grant Program 97.067 14-DS-L5-08-62-01-426 1,540 Homeland Security Grant Program 97.067 15-DS-L3-08-62-01-487 46,262 Homeland Security Grant Program 97.067 15-DS-P4-08-62-01-412 17,450
65,252
Total Department of Homeland Security 547,770
Pinellas County, FloridaSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
AND STATE FINANCIAL ASSISTANCEFor the year ended September 30, 2015
179
See accompanying Notes to Schedule of Federal Awards and State Financial Assistance CONTINUED
Federal Grantor CFDA Grant/ContractPass-Through Entity/Program Title Number Number Expenditures
Pinellas County, FloridaSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
AND STATE FINANCIAL ASSISTANCEFor the year ended September 30, 2015
ENVIRONMENTAL PROTECTION AGENCYDIRECT PROGRAMS: Air Pollution Control Program Support 66.001 A-00402115-0 220,648$
Surveys, Studies, Research, Investigations, Demonstrations, and Special Purpose Activities Relating to the Clean Air Act 66.034 XA-95403208 64,929 Surveys, Studies, Research, Investigations, Demonstrations, and Special Purpose Activities Relating to the Clean Air Act 66.034 PM-96496308 66,325 Surveys, Studies, Research, Investigations, Demonstrations, and Special Purpose Activities Relating to the Clean Air Act 66.034 XA-00D26114-0 99,527 Surveys, Studies, Research, Investigations, Demonstrations, and Special Purpose Activities Relating to the Clean Air Act 66.034 PM96496315 29,401 Surveys, Studies, Research, Investigations, Demonstrations, and Special Purpose Activities Relating to the Clean Air Act 66.034 XA-00D30415-0 23,412 283,594
PASSED THROUGH FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION: Nonpoint Source Implementation Grants 66.460 G0294 100,000
Total Environmental Protection Agency 604,242
DEPARTMENT OF HEALTH AND HUMAN SERVICESDIRECT PROGRAMS: Consolidated Health Centers (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) 93.224 H80CS00024-13-00 14,879 Consolidated Health Centers (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and Public Housing Primary Care) 93.224 H80CS00024-14-00 458,797
473,676
Substance Abuse and Mental Health Services - Projects of Regional and National Significance 93.243 1H79TI024477-01 60,248 Substance Abuse and Mental Health Services - Projects of Regional and National Significance 93.243 5H79TI024477-02 9,843 Substance Abuse and Mental Health Services - Projects of Regional and National Significance 93.243 5H79TI024477-03 304,620 Substance Abuse and Mental Health Services - Projects of Regional and National Significance 93.243 5H79TI024983-02 249,952 Substance Abuse and Mental Health Services - Projects of Regional and National Significance 93.243 5H79TI024983-03 49,605
674,268
Drug-Free Communities Support Program Grants 93.276 Not Available 7,476
Affordable Care Act (ACA) Grants for Capital Development in Health Centers 93.526 C8ACS23732 369,290
Affordable Care Act (ACA) Grants for New and Expanded Services under the Health Center Program 93.527 H80CS00024-14-00 319,169
Cooperative Agreement to Support Navigtors in Federally-facilitated and State Partnership Marketplaces 93.332 1 NAVCA140148-01-00 461,178 Cooperative Agreement to Support Navigtors in Federally-facilitated and State Partnership Marketplaces 93.332 6 NAVCA150244-01-02 23,842
485,020
PASSED THROUGH FLORIDA DEPARTMENT OF REVENUE: Child Support Enforcement 93.563 EE501 10,550 Child Support Enforcement 93.563 COC52 823,263
833,813
180
See accompanying Notes to Schedule of Federal Awards and State Financial Assistance CONTINUED
Federal Grantor CFDA Grant/ContractPass-Through Entity/Program Title Number Number Expenditures
Pinellas County, FloridaSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
AND STATE FINANCIAL ASSISTANCEFor the year ended September 30, 2015
DEPARTMENT OF HEALTH AND HUMAN SERVICES (Continued)
PASSED THROUGH FLORIDA DEPARTMENT OF STATE: Voting Access for Individuals with Disabilities_Grants to States 93.617 Not Available 53,975$
PASSED THROUGH FLORIDA DEPARTMENT OF CHILDREN AND FAMILIES: Temporary Assistance for Needy Families 93.558 QJZ11a 1,881,880
Foster Care_Title IV-E 93.658 QJZ11 63,603
Social Services Block Grant 93.667 QJZ11 1,956,729
Total Department of Health and Human Services 7,118,899
EXECUTIVE OFFICE OF THE PRESIDENT:DIRECT PROGRAMS: High Intensity Drug Trafficking Areas Program 95.001 G-14-CF-0010A 59,484 High Intensity Drug Trafficking Areas Program 95.001 G-15-CF-0010A 141,584
201,068
PASSED THROUGH SEMINOLE COUNTY SHERIFF'S OFFICE: High Intensity Drug Trafficking Areas Program 95.001 G-14-CF-0010A 7,054
Total Executive Office of the President 208,122
DEPARTMENT OF JUSTICEDIRECT PROGRAMS: Justice Systems Response to Families 16.021 2014-FJ-AX-0014 123,372
Edward Byrne Memorial State and Local Law Enforcement Assistance Discretionary Grants Program 16.580 2010-RM-BX-0006 292,951
DNA Backlog Reduction Program 16.741 2013-DN-BX-0105 208,565 DNA Backlog Reduction Program 16.741 2014-DN-BX-0030 126,479
335,044
Violence Against Women Act Court Training and Improvement Grants 16.013 2011-WC-AX-K018 66,418
Drug Court Discretionary Grant Program 16.585 2012-DC-BX-0054 87,697
State Criminal Alien Assistance Program 16.606 2014-AP-BX-0594 60,500
Public Safety Partnership and Community Policing Grants 16.710 2012-UL-WX-0009 105,339
Paul Coverdell Forensic Sciences Improvement Grant Program 16.742 2014-CD-BX-0007 79,340
Criminal Juvenile Justice and Mental Health Collaboration Program 16.745 2013-MO-BX-0005 101,411
Juvenile Justice Education Collaboration Assistance 16.829 2014-MU-FX-K005 84,366
Equitable Sharing Program 16.922 Not Available 72,638
JAG PROGRAM CLUSTER: Edward Byrne Memorial Justice Assistance Grant Program 16.738 2012-DJ-BX-0034 106,094 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2013-DJ-BX-0371 16,090 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2014-DJBX-0133 134,029
256,213
181
See accompanying Notes to Schedule of Federal Awards and State Financial Assistance CONTINUED
Federal Grantor CFDA Grant/ContractPass-Through Entity/Program Title Number Number Expenditures
Pinellas County, FloridaSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
AND STATE FINANCIAL ASSISTANCEFor the year ended September 30, 2015
DEPARTMENT OF JUSTICE (Continued)
PASSED THROUGH FLORIDA DEPARTMENT OF LAW ENFORCEMENT: JAG PROGRAM CLUSTER: Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-8-R3-043 89,469$ Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-6-R3-047 20,112 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-7-R3-046 33,000 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-4-R3-079 40,000 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-1-R3-145 36,000 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-5-R3-054 29,299 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-3-R3-065 10,000 Edward Byrne Memorial Justice Assistance Grant Program 16.738 2015-JAGC-PINE-2-R3-114 25,000
282,880
Paul Coverdell Forensic Sciences Improvement Grant Program 16.742 2013-CD-BX-0018 18,155 Paul Coverdell Forensic Sciences Improvement Grant Program 16.742 2014-CD-BX-0054 24,980
43,135
Total Department of Justice 1,991,304
DEPARTMENT OF TRANSPORTATIONDIRECT PROGRAMS: Airport Improvement Program 20.106 3-12-0075-039-2013 246,737 Airport Improvement Program 20.106 3-12-0075-040-2014 9,135,019 Airport Improvement Program 20.106 3-12-0075-041-2015 1,028,410
10,410,166
PASSED THROUGH FLORIDA DEPARTMENT OF TRANSPORTATION: Highway Planning and Construction 20.205 AOU01 223,265 Highway Planning and Construction 20.205 AQU02 70,676
293,941
Total Department of Transportation 10,704,107
DEPARTMENT OF TREASURYDIRECT PROGRAMS: Federal Confiscated Property 21.Unknown Not Available 87,371
Total Department of Treasury 87,371
DEPARTMENT OF INTERIORDIRECT PROGRAMS: Fish and Wildlife Management Assistance 15.608 F13AP00326 90,520
Total Department of Interior 90,520
SMALL BUSINESS ADMINISTRATIONPASSED THROUGH UNIVERSITY OF SOUTH FLORIDA: Business Assistance Partnership Program 59.037 1424-1076-02-B 154,424
Total Small Business Administration 154,424
TOTAL EXPENDITURES OF FEDERAL AWARDS 28,457,479$
182
See accompanying Notes to Schedule of Federal Awards and State Financial Assistance
CSFA Grant/State Contract
State Agency Number Number Expenditures
STATE FINANCIAL ASSISTANCE
FLORIDA DEPARTMENT OF ENVIRONMENTAL PROTECTION Beach Management Funding Assistance Program 37.003 13PI1 48,787$
Delegated Title V Air Pollution Control Activities 37.043 S0703 26,021 Delegated Title V Air Pollution Control Activities 37.043 S0822 5,330
31,351
Total Florida Department of Environmental Protection 80,138
FLORIDA DEPARTMENT OF HEALTH County Grant Awards 64.005 C3052 76,576
Total Florida Department of Health 76,576
FLORIDA EXECUTIVE OFFICE OF THE GOVERNOR Emergency Management Programs 31.063 15-BG-83-08-62-01-052 47,200 Emergency Management Programs 31.063 16-BG-83-08-62-01-052 82,196
129,396
Emergency Management Projects 31.067 15-CP-11-08-62-01-202 18,614 Emergency Management Projects 31.067 16-CP-11-08-62-01-193 2,735
21,349
Total Florida Executive Office of the Governor 150,745
FLORIDA HOUSING FINANCE CORPORATION State Housing Initiatives Partnership (SHIP) Program 52.901 Not Available 2,166,759
Total Florida Housing Finance Corporation 2,166,759
FLORIDA DEPARTMENT OF TRANSPORTATION State Highway Project Reimbursement 55.023 406255 3 38 01 29,110 State Highway Project Reimbursement 55.023 406255 5 38 01 14,738 State Highway Project Reimbursement 55.023 406255 5 58 01 117,614
161,462
Aviation Development Grants 55.004 APV25 289,924 Aviation Development Grants 55.004 AQS79 319,176 Aviation Development Grants 55.004 AQ160 6,100 Aviation Development Grants 55.004 ARN35 807,399 Aviation Development Grants 55.004 ARN32 37,062
1,459,661
CONTINUED
Pinellas County, FloridaSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
AND STATE FINANCIAL ASSISTANCEFor the year ended September 30, 2015
183
See accompanying Notes to Schedule of Federal Awards and State Financial Assistance
CSFA Grant/State Contract
State Agency Number Number Expenditures
Pinellas County, FloridaSCHEDULE OF EXPENDITURES OF FEDERAL AWARDS
AND STATE FINANCIAL ASSISTANCEFor the year ended September 30, 2015
FLORIDA DEPARTMENT OF TRANSPORTATION (Continued)
Transportation Regional Incentive Program (TRIP) 55.026 APE44 16,415$ Transportation Regional Incentive Program (TRIP) 55.026 AQ250 175,575 Transportation Regional Incentive Program (TRIP) 55.026 423086 1 38 01 25,435 Transportation Regional Incentive Program (TRIP) 55.026 424012 1 38 01 24,733 Transportation Regional Incentive Program (TRIP) 55.026 429067 1 38 01 122,443 Transportation Regional Incentive Program (TRIP) 55.026 424011 1 58 01 366,223 Transportation Regional Incentive Program (TRIP) 55.026 ARB29 38,605 Transportation Regional Incentive Program (TRIP) 55.026 424012 1 58 01 7,040 Transportation Regional Incentive Program (TRIP) 55.026 423086 1 58 01 32,480 Transportation Regional Incentive Program (TRIP) 55.026 GO017 4,011
812,960
County Incentive Grant Program 55.008 423084 1 58 01 473,256 County Incentive Grant Program 55.008 427005 1 58 01 436,492 County Incentive Grant Program 55.008 430373 1 38 01 80,018 County Incentive Grant Program 55.008 430374 1 58 01 477,156 County Incentive Grant Program 55.008 433581 1 38 01 35,408
1,502,330
Total Florida Department of Transportation 3,936,413
FLORIDA DEPARTMENT OF LEGAL AFFAIRS AND ATTORNEY GENERAL Crime Stoppers 41.002 PC19-14 166,923 Crime Stoppers 41.002 PC19-15 34,746
Total Florida Department of Legal Affairs and Attorney General 201,669
FLORIDA DEPARTMENT OF LAW ENFORCEMENT Statewide Criminal Analysis Laboratory System 71.002 D0100 293,543
Total Florida Department of Law Enforcement 293,543
FLORIDA DEPARTMENT OF ECONOMIC OPPORTUNITY Military Base Protection 40.014 DRG 15-12 49,995
Total Florida Department of Economic Development 49,995
TOTAL STATE FINANCIAL ASSISTANCE 6,955,838$
CONCLUDED
184
1. Basis of Presentation
The accompanying Schedule of Expenditures of Federal Awards and State Financial Assistance (Schedule) includes the federal and state grant activity of Pinellas County, Florida, and is presented on the modified accrual basis of accounting. The information in this schedule is presented in accordance with the requirements of OMB Circular A-133, and Chapter 10.550, Rules of the Auditor General. Therefore, some amounts presented in this schedule may differ from amounts presented in, or used in the preparation of, the basic financial statements.
2. Sub recipients
Of the federal and state expenditures presented in the Schedule, the County provided federal and state awards to sub recipients as follows:
Federal AmountCFDA/State Provided to
Program Title CSFA Number Subrecipients
Federal Programs:
Department of Housing and Urban Development: Community Development Block Grants/Entitlement Grants 14.218 203,495$ Home Investment Partnerships Program 14.239 414,516
Department of Justice: Equitable Sharing Program 16.922 5,168 JAG PROGRAM CLUSTER: Edward Byrne Memorial Justice Assistance Grant Program 16.738 286,296
Department of Health and Human Services: Substance Abuse and Mental Health Services_Projects of Regional and National Significance 93.243 654,626
Department of Treasurey: Federal Confiscated Property 21.Unknown 13,880
1,577,981$
185
3. Loans Outstanding The Community Development Block Grant (CFDA No. 14.218), the HOME Investment Partnerships Program (CFDA No. 14.239), the ARRA-Neighborhood Stabilization Program (CFDA No. 14.256) and the State Housing Initiatives Partnership Program (CSFA No. 52.901) processed loans under these grant programs. New loans made during the year ended September 30, 2015 a re included as expenditures in the Schedule of Federal Awards and State Financial Assistance. The outstanding loan balances at September 30, 2015 were $3,471,727, $3,151,794, $547,016 and $5,159,367, respectively. The outstanding loan balances at September 30, 2014 were $3,511,256, $3,001,768, $0 and $6,041,872, respectively.
4. JAG Program Cluster Expenditures
5. Health Centers Program Cluster Expenditures
FederalCFDA Number Expenditures
DEPARTMENT OF JUSTICEDirect ProgramsEdward Byrne Memorial Justice Assistance Grant Program 16.738 256,213$
Passed through Florida Department of Law EnforcementEdward Byrne Memorial Justice Assistance Grant Program 16.738 282,880
539,093$
FederalCFDA Number Expenditures
DEPARTMENT OF HEALTH AND HUMAN SERVICESDirect ProgramsConsolidated Health Centers (Community Health Centers, Migrant Health Centers, Health Care for the Homeless, and and Public Housing Primary Care) 93.224 473,676$
Affordable Care Act (ACA) Grants for New and Expanded Services under the Health Center Program 93.527 319,169
792,845$
186
Amount Amount
Received Expended
in the in the
2014-15 2014-15
Source Fiscal Year Fiscal Year
British Petroleum:
Agreement No. N/A 9,615,823$ 2,478,212$
Schedule of Receipts and Expenditures of
Other Supplementary Information
Pinellas County, Florida
as required by Auditor General Rule 10.557(3)(m)
For the Fiscal Year Ended September 30, 2015
Funds Related to the Deepwater Horizon Oil Spill
187
Pinellas County, Florida
Notes to Schedule of Receipts and Expenditures of Fund Related to the Deepwater Horizon Oil Spill
September 30, 2015
1. Basis of Presentation
The accompanying Schedule of Receipts and Expenditures of Funds Related the Deepwater Horizon Oil
Spill includes the Deepwater Horizon grant activity of Pinellas County, Florida. Receipts, are presented on
the cash basis and expenditures on the modified accrual basis of accounting. The information in this
schedule is presented in accordance with the requirements of Chapter 10.557 (3) (m), Rules of the Auditor
General. Therefore, some amounts presented in this schedule may differ from amounts presented in, or
used in the preparation of, the basic financial statements.
This schedule does not include funds related to the Deepwater Horizon Oil Spill that are considered Federal
awards or State financial assistance. The Schedule of Expenditures of Federal Awards and State Financial
Assistance includes no expenditures of Federal awards and no expenditures of State Financial Assistance
that are related to the Deepwater Horizon Oil Spill.
188
PINELLAS COUNTY, FLORIDA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS - FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE
YEAR ENDED SEPTEMBER 30, 2015 SECTION I - SUMMARY OF AUDITORS' RESULTS
FINANCIAL STATEMENTS Type of auditors' report issued
Unmodified Internal control over financial reporting: Material weakness identified
No Significant deficiency identified not considered to be material weakness None
Reported Noncompliance material to financial statements noted
No
FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE Internal control over major programs: Material weakness identified
No
Significant deficiency identified not considered to be material weakness None Reported
Type of auditors' report issued on compliance for major programs
Unmodified
Audit findings disclosed that are required to be reported in accordance with Circular A-133, Section .510(a), and Chapter 10.550, Rules of the Auditor
General
No
Identification of major programs: CFDA/CSFA Number
Name of Program
Federal: 14.218 Community Development Block Grants/Entitlement Grants 20.106 Airport Improvement Program 93.558 Temporary Assistance for Needy Families State: 52.901 State Housing Initiatives Partnership (SHIP) Program
Dollar threshold used to distinguish between Type A and Type B programs: Federal State
$1,042,161
$300,000 Auditee qualified as low-risk
Yes
189
PINELLAS COUNTY, FLORIDA
SCHEDULE OF FINDINGS AND QUESTIONED COSTS - FEDERAL AWARDS AND STATE FINANCIAL ASSISTANCE
YEAR ENDED SEPTEMBER 30, 2015 SECTION II - FINANCIAL STATEMENT FINDINGS No items noted. SECTION III - FINDINGS AND QUESTIONED COSTS – MAJOR FEDERAL AWARDS PROGRAMS No items noted. SECTION IV - FINDINGS AND QUESTIONED COSTS – MAJOR STATE FINANCIAL ASSISTANCE PROJECTS No items noted.
190
PINELLAS COUNTY, FLORIDA
SUMMARY OF PRIOR AUDIT FINDINGS
YEAR ENDED SEPTEMBER 30, 2014 No items noted.
191
Crowe Horwath LLP Independent Member Crowe Horwath International
Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida Report on the Financial Statements We have audited the financial statements of Pinellas County, Florida (the County) as of and for the fiscal year ended September 30, 2015, and have issued our report thereon dated May 31, 2016. Our report includes a reference to other auditors who audited the discretely presented component units, as described in our report on the County’s financial statements. This report does not include our consideration of the results of the other auditors testing that are reported on separately by those other auditors. Auditor’s Responsibility We conducted our audit in accordance with United States generally accepted auditing standards, and Government Auditing Standards issued by the Comptroller General of the United States; and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations and Chapter 10.550, Rules of the Florida Auditor General. Other Reports and Schedule We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and Compliance and Other Matters Based on an Audit of The Financial Statements Performed in Accordance with Government Auditing Standards, Independent Auditor’s Report on Compliance for each Major Federal Program and State Financial Assistance Project and on Internal Control over Compliance in Accordance with OMB Circular A-133, and Independent Accountant’s Report on an Examination conducted in accordance AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports and schedule, which are dated May 31, 2016, should be considered in conjunction with this management letter. Prior Audit Findings Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address significant findings and recommendations made in the preceding annual financial audit report. There were no such findings. Official Title and Legal Authority Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in the management letter, unless disclosed in the notes to the financial statements. The information is disclosed in the notes to the financial statements.
192
Financial Condition Section 10.554(1)(i)5.a. and 10.556(7), Rules of the Auditor General, requires that we apply appropriate procedures and report the results of our determination as to whether or not the County has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and identification of the specific condition(s) met. In connection with our audit, we determined that the County did not meet any of the conditions described in Section 218.503(1), Florida Statutes. Pursuant to Sections 10.554(1)(i)5.c. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures. It is management’s responsibility to monitor the County’s financial condition, and our financial condition assessment was based in part on representations made by management and the review of financial information provided by same. Annual Financial Report Section 10.554(1)(i)5.b. and 10.556(7), Rules of the Auditor General, requires that we report the results of our determination as to whether the annual financial report for the County for the fiscal year ended September 30, 2015, filed with the Florida Department of Financial Services pursuant to Section 218.32(1)(a), Florida Statutes, is in agreement with the annual financial audit report for the fiscal year ended September 30, 2015. In connection with our audit, we determined that these two reports were in agreement. Other Matters Section 10.554(1)(i)2., Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management, accounting procedures, and internal controls. In connection with our audit, we did not have any such recommendations. Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuses that have occurred, or are likely to have occurred, that have an effect on the financial statement amounts that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, the Members of the Board of County Commissioners, the Honorable Kenneth P. Burke, Clerk of the Circuit Court, the Honorable Pam Dubov, Property Appraiser, the Honorable Bob Gualtieri, Sheriff, the Honorable Deborah Clark, Supervisor of Elections, the Honorable Diane Nelson, Tax Collector, and applicable management, and is not intended to be and should not be used by anyone other than these specified parties. Conclusion We would like to take this opportunity to thank the County for the many courtesies and cooperation extended to our representatives during the course of our audit. Crowe Horwath LLP Tampa, Florida May 31, 2016
193
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH
SECTION 218.415, FLORIDA STATUTES
Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida We have examined the Pinellas County, Florida’s (the “County”) compliance with Section 218.415, Florida Statutes, concerning the investment of public funds during the year ended September 30, 2015. Management is responsible for the County’s compliance with those requirements. Our responsibility is to express an opinion on the County’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the County’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the County’s compliance with specified requirements. In our opinion, the County complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida May 31, 2016
194
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH
SECTION 218.8017, FLORIDA STATUTES AND PUBLIC LAW 112-141 (33 U.S.C.A. SS. 1321 (T)); STATE OR LOCAL GRANTS; AND MONEYS RECEIVED DIRECTLY FROM BRITISH PETROLEUM
Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida We have examined the Pinellas County, Florida’s (the “County”) compliance with Section 288.8017, Florida Statutes, and Public Law 112-141 (33 U.S.C.A. ss. 1321 (t)); State or Local grants; and moneys received directly from British Petroleum, concerning the receipt and expenditure of those funds during the year ended September 30, 2015. Management is responsible for the County’s compliance with those requirements. Our responsibility is to express an opinion on the County’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the County’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the County’s compliance with specified requirements. In our opinion, the County complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida May 31, 2016
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Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 365.173, FLORIDA STATUTES
Distinguished Members of the Board of County Commissioners Honorable Kenneth P. Burke, Clerk of the Circuit Court Honorable Pam Dubov, Property Appraiser Honorable Bob Gualtieri, Sheriff Honorable Deborah Clark, Supervisor of Elections Honorable Diane Nelson, Tax Collector Pinellas County, Florida We have examined the Pinellas County, Florida’s (the “County”) compliance with Section 365.173, Florida Statutes, concerning the receipt and expenditure of emergency communication number E911 system funds during the year ended September 30, 2015. Management is responsible for the County’s compliance with those requirements. Our responsibility is to express an opinion on the County’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the County’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the County’s compliance with specified requirements. In our opinion, the County complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida May 31, 2016
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PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
FINANCIAL STATEMENTS
Year Ended September 30, 2015 (With Summarized Financial Information for the year ended September 30, 2014)
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
FINANCIAL STATEMENTS,
Year Ended September 30, 2015 (With Summarized Financial Information for the year ended September 30, 2014)
CONTENTS
INDEPENDENT AUDITOR’S REPORT .................................................................................................... 1 FINANCIAL STATEMENTS BALANCE SHEET – GOVERNMENTAL FUNDS .............................................................................. 4 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – GOVERNMENTAL FUNDS .................................................... 5 BALANCE SHEET – AGENCY FUND ............................................................................................... 6 NOTES TO FINANCIAL STATEMENTS ............................................................................................ 7 REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL – GENERAL FUND ............................................................................... 17 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL – COURT FUND .................................................................................... 18 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL – PUBLIC RECORDS MODERNIZATION FUND ................................... 19 NOTE TO REQUIRED SUPPLEMENTARY INFORMATION ............................................................ 20 OTHER FINANCIAL INFORMATION STATEMENT OF CHANGES IN ASSETS AND LIABILITIES – AGENCY FUND ............................. 21 OTHER REPORTS
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER
FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS ................................................ 22
SCHEDULE OF FINDINGS AND RESPONSES ................................................................................ 24
MANAGEMENT LETTER ON INTERNAL CONTROL AND STATE REPORTING REQUIREMENTS ................................................................................. 25 INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES ............................................................................ 27 INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTIONS 28.35 AND 28.36, FLORIDA STATUTES ........................................................... 28 INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTIONS 61.181, FLORIDA STATUTES ........................................................................... 29
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
1.
INDEPENDENT AUDITOR'S REPORT The Honorable Ken Burke Clerk of the Circuit Court and Comptroller Pinellas County, Florida Report on the Financial Statements We have audited the accompanying financial statements of each major fund and the aggregate remaining fund information of the Pinellas County, Florida Clerk of the Circuit Court and Comptroller (Clerk), a component unit of Pinellas County, Florida (County), as of and for the year ended September 30, 2015, and the related notes to the 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 in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the 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 conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks 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 preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made 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 our audit opinions.
(Continued)
2.
Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of each major fund and the aggregate remaining fund information of the Clerk as of September 30, 2015, and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Emphasis of Matters As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General. The financial statements present only each major fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Clerk, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinions are not modified with respect to this matter. Other Matters Report on Summarized Comparative Information We have previously audited the Clerk’s 2014 financial statements, and we expressed unmodified audit opinions on the respective financial statements of each major fund and the aggregate remaining fund information in our report dated January 27, 2015. In our opinion, the summarized comparative information presented herein as of and for the year ended September 30, 2014 is consistent, in all material respects, with the audited financial statements from which it has been derived. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the budgetary comparison schedules on pages 17–19 be presented to supplement the financial statements. Such information, although not a part of the financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. We applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the financial statements, and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Clerk’s financial statements. The statement of changes in assets and liabilities – agency fund on page 21 is presented for purposes of additional analysis and is not a required part of the financial statements.
3.
The statement of changes in assets and liabilities – agency fund on page 21 is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the statement of changes in assets and liabilities – agency fund on page 21 is fairly stated, in all material responses, in relation to the financial statements as a whole. Restriction on Use Our report is intended solely for the information and use of the Clerk, the Board of County Commissioners of Pinellas County, Florida, and the Auditor General of the State of Florida, and is not intended to be and should not be used by anyone other than these specified parties. Report on Other Legal and Regulatory Requirements In accordance with Government Auditing Standards, we have also issued our report dated February 12, 2016, on our consideration of the Clerk’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Clerk’s internal control over financial reporting and compliance. Crowe Horwath LLP Tampa, Florida February 12, 2016
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
See accompanying notes to financial statements.
4.
BALANCE SHEET – GOVERNMENTAL FUNDS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
Public RecordsGeneral Court Modernization
Fund Fund Fund 2015 2014ASSETS
Cash 2,681,312$ 5,105,359$ 4,076,784$ 11,863,455$ 10,873,791$ Investments - 70 - 70 67 Due from Pinellas County, Florida 24,815 - - 24,815
Constitutional Officers - - - - 32,785 Due from Pinellas County, Florida
Board of County Commissioners 27,760 56,265 - 84,025 77,909 Due from State of Florida 128,185 - - 128,185 166,690 Due from other governments 5,729 - - 5,729 5,824 Accounts receivable 14 25 25 64 79 Prepaid items 236,913 - 41,298 278,211 28,679
Total assets 3,104,728$ 5,161,719$ 4,118,107$ 12,384,554$ 11,185,824$
LIABILITIES AND FUND BALANCESLiabilities:
Accounts payable 358,370$ 40,023$ 206,676$ 605,069$ 1,090,772$ Accrued liabilities 553,214 669,170 28,741 1,251,125 1,249,397 Due to Pinellas County, Florida
Constitutional Officers - - - - 1,752 Due to Pinellas County, Florida
Board of County Commissioners 1,932,062 17 33,543 1,965,622 1,209,724 Due to other governments 2,089 1,689,695 - 1,691,784 316,942 Deposits 22,080 2,252,329 - 2,274,409 3,068,109
Total liabilities 2,867,815 4,651,234 268,960 7,788,009 6,936,696
Fund balances:Nonspendable:
Prepaid items 236,913 - 41,298 278,211 28,679 Spendable:
Restricted - 510,485 3,807,849 4,318,334 4,220,449 Total fund balances 236,913 510,485 3,849,147 4,596,545 4,249,128
Total liabilities and fund balances 3,104,728$ 5,161,719$ 4,118,107$ 12,384,554$ 11,185,824$
Totals
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
See accompanying notes to financial statements.
5.
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – GOVERNMENTAL FUNDS
Year Ended September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
Public RecordsGeneral Court Modernization Fund Fund Fund 2015 2014
Revenues:Charges for services 5,325,872$ 15,647,128$ 1,934,636$ 22,907,636$ 22,546,537$ Intergovernmental 833,813 - - 833,813 740,369 Fines and forfeitures - 4,343,518 1,015,059 5,358,577 5,402,045 Interest income 1,299 7,726 8,733 17,758 7,623 Miscellaneous revenue 9,713 610,690 72,426 692,829 472,815 Court revenue appropriated from State - 2,026,405 - 2,026,405 2,309,587
Total revenues 6,170,697 22,635,467 3,030,854 31,837,018 31,478,976
Expenditures:General government: Salaries and benefits 11,718,112 20,946,172 1,919,280 34,583,564 35,266,706 Operating expenditures 2,728,123 1,178,810 1,214,610 5,121,543 5,473,871 Capital outlay 132,164 - 286,047 418,211 404,304 Distribution of excess court revenue
to the State - - - - 13,840 Total expenditures 14,578,399 22,124,982 3,419,937 40,123,318 41,158,721
Excess (deficiency) of revenues over (under) expenditures (8,407,702) 510,485 (389,083) (8,286,300) (9,679,745)
Other financing sources (uses):Transfers in:
Pinellas County, Florida Board of County Commissioners appropriations 9,929,240 - - 9,929,240 9,518,630
Transfers out:Distribution of excess appropriations
to Pinellas County, Florida Board of County Commissioners (1,295,523) - - (1,295,523) (566,195)
Total other financing sources (uses) 8,633,717 - - 8,633,717 8,952,435
Net change in fund balances 226,015 510,485 (389,083) 347,417 (727,310)
Fund balances – beginning of year 10,898 - 4,238,230 4,249,128 4,976,438
Fund balances – end of year 236,913$ 510,485$ 3,849,147$ 4,596,545$ 4,249,128$
Totals
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
See accompanying notes to financial statements.
6.
BALANCE SHEET – AGENCY FUND September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
2015 2014ASSETS
Cash 48,811,763$ 37,190,541$ Investments 102 1,103 Accounts receivable 1,653 - Due from other governments 22,533 23,113
Total assets 48,836,051$ 37,214,757$
LIABILITIESDue to other governments 8,577,082$ 4,512,820$ Deposits 40,258,969 32,701,937
Total liabilities 48,836,051$ 37,214,757$
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
7.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Reporting Entity: The Pinellas County, Florida, Clerk of the Circuit Court and Comptroller (Clerk) is an elected constitutional officer as provided for by the Constitution of the State of Florida. Pursuant to Section 129, Florida Statutes, the Clerk’s budget for the General Fund is submitted to the Pinellas County, Florida, Board of County Commissioners (Board) for approval. The Public Records Modernization Fund budget is approved by the Clerk. Additionally, the Court Fund budget is submitted to the Clerk of Court Operations Corporation of the State of Florida for approval. The restricted fund balances represent resources for use by the Court Fund and Public Records Modernization Fund and are restricted by specific state statutes. In addition, for financial reporting purposes, the Clerk is included in Pinellas County, Florida’s (the “County”) basic financial statements as a blended component unit of the County. Measurement Focus, Basis of Accounting, and Basis of Presentation: These financial statements include the general fund, special revenue funds, and agency fund of the Clerk. The accompanying financial statements were prepared for the purposes of complying with Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General for Local Governmental Entity Audits. Certain prior-year financial statement amounts have been reclassified to conform to the current year’s presentation. Chapter 10.556(4), Rules of the Auditor General for Local Governmental Entity Audits, requires the Clerk’s financial statements to present only fund financial statements. Accordingly, due to the omission of government-wide financial statements and related disclosures, including a management’s discussion and analysis, these financial statements do not constitute a complete presentation of the financial position of the Clerk as of September 30, 2015, and the changes in its financial position for the year then ended, in conformity with Governmental Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments, but otherwise constitute financial statements prepared in conformity with U.S. generally accepted accounting principles. Governmental funds are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e., when they become measurable and available to finance current liabilities of the fiscal year). For this purpose, the Clerk considers revenues to be available if they are collected within 60 days after the end of the current period. Charges for services, interest income, and other revenue are recognized as they are earned and become measurable and available to pay liabilities of the current period. Expenditures are recorded when the related fund liability is incurred, except for certain compensated absences, which are recognized as expenditures to the extent they have matured. The appropriations from the Board are the primary source of funds considered to be susceptible to accrual. Capital outlays expended in the governmental funds are capitalized in the basic financial statements of the Board rather than in the governmental funds of the Clerk. The Clerk utilizes the following major governmental funds.
General Fund – The General Fund is a major fund used to account for all revenues and expenditures applicable to the general operations of the Clerk, which are not accounted for in another fund. All operating revenue, which is not specifically restricted or designated as to use, is recorded in the General Fund.
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
8.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
Court Fund – This major special revenue fund is used to account for court-related functions as mandated by Section 28.37, Florida Statutes. Public Records Modernization Fund – This major special revenue fund is mandated by 1) Section 28.24(12)(d), Florida Statutes, to be held in trust by the Clerk and used exclusively for equipment and maintenance of equipment, personnel training, and technical assistance in modernizing the public records system of the Clerk, 2) Section 28.37 Florida Statutes, to be held in trust by the Clerk and used exclusively for additional Clerk court-related operational needs and program enhancements and 3) Section 28.24 (12)(e), Florida Statutes, to be held in trust by the Clerk and used exclusively for court-related technology needs.
The Clerk’s General Fund activity is funded through service charges for recording instruments and documents into the official records and through transfers in from the Board. Section 218.36(1), Florida Statutes, provides that the amount by which revenues and transfers exceed annual expenditures be remitted to the Board within 31 days following the fiscal year for which the funding was provided. The amount of this distribution is recorded as a liability and as a transfer out (other financing use) in the accompanying financial statements. The Court Fund activity is funded by fees authorized by Florida Statutes for maintaining the County and Circuit Court records and collecting the fines and fees assessed by the courts. The court-related fees are retained by the Clerk and to be used exclusively for funding court-related operations of the Clerk of the Circuit Court. The excess of revenues collected over expenditures as of the end of the fiscal year are required to be returned to the State for deposit in its General Revenue Fund. The Public Records Modernization Fund is funded by a portion of recording fees and an additional amount is collected pursuant to Section 28.24(12)(e), Florida Statutes, and used exclusively for funding court-related technology needs. 10% of all court-related fines collected by the Clerk are also deposited into this fund to be used exclusively for additional Clerk court-related operational needs and program enhancements. Additionally, the Clerk reports the following fund type:
Fiduciary Funds – Agency Fund – These funds are used to account for assets held by the Clerk in a trustee capacity or as an agent for individuals, private organizations, other governments, and other funds. Agency funds are custodial in nature (assets equal liabilities), and do not involve measurement of results of operations or have a measurement focus.
Cash and Cash Equivalents: Cash and cash equivalents are defined for financial reporting purposes as any liquid investment with original maturities of three months or less. Investments: Investments are carried at fair value. The Clerk invested funds during the fiscal year with the Local Government Surplus Funds Trust Fund, which is carried at amortized cost. The fair value of the Clerk’s position in the trust is the same as the value of the trust shares. The Local Government Surplus Funds Trust Fund met the criteria to be a “2a7-like” pool, as defined in GASB 31, Certain Investments and External Investment Pools, and is permitted to report investments at amortized cost. A 2a7-like pool is not registered with the Securities and Exchange Commission (SEC) as an investment company, but nevertheless has a policy that it will, and does, operate in a manner consistent with the regulations set forth in the SEC’s Rule 2a7 of the Investment Company Act of 1940, which comprises the rules governing money market funds.
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
9.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Thus, this pool operates essentially as a money market fund and is not categorized as to custodial risk according to the criteria set forth in GASB Statement No. 3, Deposits with Financial Institutions, Investments (including Repurchase Agreements), and Reverse Repurchase Agreements, and GASB Statement No. 40, Deposit and Investment Risk Disclosures. Prepaid Items: Certain payments to vendors reflect costs related to future periods and are reported as prepaid items in the fund financial statements. Compensated Absences: All full-time employees of the Clerk are entitled to annual vacation and sick leave with pay. The employees are generally allowed to accumulate vacation leave up to a maximum of three years’ leave. Prior to December 24, 1994, sick leave was accumulated with no maximum. Beginning December 24, 1994, employees no longer accrue sick leave. Upon termination, the employee is paid for up to one-half of accumulated sick leave, depending on length of service, and all of the accumulated vacation. Vacation and sick leave payments are included in operating costs when the payments are made to the employees. The Clerk does not and is not legally required to accumulate financial resources for these unmatured obligations. Accordingly, the liability for compensated absences is not reported in the governmental funds of the Clerk but rather is reported in the basic financial statements of the Board. Use of Estimates: The preparation of these financial statements is in conformity with Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General for Local Governmental Entity Audits, and requires management to make use of estimates that affect the reported amounts in the financial statements. Actual results could differ from the required estimates. Financial Information for 2014: The financial statements include certain prior-year summarized comparative information in total but not by major fund. Such information does not include sufficient detail to constitute a presentation in conformity with accounting principles generally accepted in the United States. Accordingly, such information should be read in conjunction with the Clerk’s financial statements for the year ended September 30, 2014, from which the summarized information was derived. New Accounting Pronouncements: The following GASB pronouncements were adopted by the Clerk during the year ended September 30, 2015. Adoption of these pronouncements did not have a material impact on the Clerk’s financial statements. In June 2012, the GASB issued Statement 68, Accounting and Financial Reporting for Pensions. This Statement replaces the requirements of Statement No. 27, Accounting for Pensions by State and Local Governmental Employers and Statement No. 50, Pension Disclosures, as they relate to governments that provide pensions through pension plans administered as trusts or similar arrangements that meet certain criteria. Statement 68 requires governments providing defined benefit pensions to recognize their long-term obligation for pension benefits as a liability for the first time, and to more comprehensively and comparably measure the annual costs of pension benefits. The Statement also enhances accountability and transparency through revised and new note disclosures and required supplementary information (RSI). The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2014 In January 2013, the GASB issued Statement 69, Government Combinations and Disposals of Government Operations. This Statement establishes accounting and financial reporting standards related to government combinations and disposals of government operations. As used in this Statement, the
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
10.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) term “government combinations” includes a variety of transactions referred to as mergers, acquisitions, and transfers of operations. The distinction between a government merger and a government acquisition is based upon whether an exchange of significant consideration is present within the combination transaction. Government mergers include combinations of legally separate entities without the exchange of significant consideration. This Statement requires the use of carrying values to measure the assets and liabilities in a government merger. Conversely, government acquisitions are transactions in which a government acquires another entity, or its operations, in exchange for significant consideration. This Statement requires measurements of assets acquired and liabilities assumed generally to be based upon their acquisition values as well as provides guidance for transfers of operations that do not constitute entire legally separate entities and in which no significant consideration is exchanged. This Statement defines the term operations for purposes of determining the applicability of this Statement and requires the use of carrying values to measure the assets and liabilities in a transfer of operations. A disposal of a government’s operations results in the removal of specific activities of a government. This Statement provides accounting and financial reporting guidance for disposals of government operations that have been transferred or sold as well as requires disclosures to be made about government combinations and disposals of government operations to enable financial statement users to evaluate the nature and financial effects of those transactions. The provisions of this Statement are effective for financial statements for periods beginning after December 15, 2013. In November 2013, GASB released Statement No. 71 Pension Transition for Contributions Made Subsequent to the Measurement Date – An Amendment of GASB Statement No. 68. This Statement is effective for fiscal years beginning after June 15, 2014 and is required to be applied simultaneously with the provisions of Statement No. 68. The objective of this Statement is to address an issue regarding application of the transition provisions of Statement No. 68 Accounting and Financial Reporting for Pensions. The issue relates to the amounts associated with contributions to a defined benefit pension plan after the measurement date of the government’s beginning net pension liability. The provisions of this Statement are to be applied simultaneously with the provisions of Statement 68. NOTE 2 - CASH AND INVESTMENTS As of September 30, 2015 and 2014, the carrying value of the Clerk’s cash and investments was as follows: Type 2015 2014 Credit Rating Cash on hand $ 48,300 $ 47,200 N/A Demand deposits 60,626,918 48,017,132 N/A Local Government Surplus Funds Trust Fund: Florida PRIME 172 1,170 AAAm Total cash and investments $ 60,675,390 $ 48,065,502 Financial Statement Presentation Governmental funds $ 11,863,525 $ 10,873,858 Agency funds 48,811,865 37,191,644 $ 60,675,390 $ 48,065,502
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
11.
NOTE 2 - CASH AND INVESTMENTS (Continued) Custodial Credit Risk: At September 30, 2015, the Clerk’s deposits were entirely covered by federal depository insurance or by collateral pledged with the State Treasurer pursuant to Section 280, Florida Statutes. Under this Section, in the event of default by a participating financial institution (a qualified public depository), all participating institutions are obligated to reimburse the governmental entity for the loss. Credit Risk: The Clerk’s investment policy is guided by 1) Section 219.075, Florida Statutes, regarding the deposit of funds received and the investment of surplus funds, and 2) Sections 219.075 and 218.415, Florida Statutes, authorizing investments in the Local Government Surplus Funds Trust Fund or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperation Act; Securities and Exchange Commission registered money market funds with the highest credit quality rating from a nationally recognized statistical rating organization; direct obligations of the United States Treasury; federal agencies and instrumentalities; or interest-bearing time deposits or savings accounts in banks organized under the laws of the State of Florida, national banks organized under the laws of the United States and doing business and situated in the State of Florida, savings and loan associations, which are under State supervision, or in federal savings and loan associations located in the State of Florida or organized under federal law and federal supervision, provided that any such deposits are secured by collateral as may be prescribed by law. At September 30, 2015, the Clerk’s investments were with the Local Government Surplus Funds Trust Fund administered by the State Board of Administration. Standard & Poor’s issued an AAAm rating on Florida PRIME, which is the highest rating category for a government investment pool fund. NOTE 3 - ACCOUNTS PAYABLE Accounts payable in the governmental funds result from transactions with various vendors. Funds due to Pinellas County are amounts due to the Board and other constitutional officers. Other due to amounts are amounts due to governmental entities other than the County. Deposits are funds held in trust that are due to the citizenry or their authorized representatives. NOTE 4 - CAPITAL ASSETS Capital assets used in governmental fund type operations are capitalized in the basic financial statements of the Board rather than in the governmental funds of the Clerk. Upon acquisition, such assets are recorded as expenditures in the governmental funds of the Clerk and capitalized at cost in the basic financial statements of the Board. Capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets are valued at their estimated fair value on the date received. The Clerk maintains custodial responsibility for the capital assets used by the office. No depreciation has been provided on capital assets in these financial statements. However, depreciation expense on these assets is recorded in the basic financial statements of the Board.
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
12.
NOTE 5 - FUND BALANCES The Clerk accounts for its fund balances pursuant to GASB Statement Number 54, Fund Balance Reporting and Governmental Fund Type Definitions. In accordance with this statement, fund balances are classified as either spendable or nonspendable. Spendable fund balances are further classified based on the extent to which there are external and internal constraints on the use of funds. The Clerk’s fund balances are categorized as follows:
Nonspendable fund balances include amounts that cannot be spent because they are not in a spendable form or legally or contractually required to be maintained intact. The Clerk’s prepaid items that are not in spendable form fall into this category. Restricted fund balances are spendable fund balances that are constrained for specific purposes, which are externally imposed by laws or regulations. The fund balances of the Court and Public Records Modernization Funds can only be used for purposes as authorized by Florida Statutes.
The fund balance categories shown on the Balance Sheet-Governmental Funds are as follows at September 30, 2015: Public Records General Court Modernization Fund Fund Fund Total
Nonspendable $ 236,913 $ - $ 41,298 $ 278,211 Spendable – restricted - 510,485 3,807,849 4,318,334 $ 236,913 $ 510,485 $ 3,849,147 $ 4,596,545
NOTE 6 - ACCUMULATED COMPENSATED ABSENCES The following is a summary of changes in general long-term liabilities, which are reflected in the basic financial statements of the Board of County Commissioners: October 1, September 30, Due within 2014 Additions Retirements 2015 One year
Accrued compensated absences $2,445,937 $2,282,393 $2,382,369 $2,345,960 $2,229,717
October 1, September 30, Due within 2013 Additions Retirements 2014 One year
Accrued compensated absences $2,440,667 $2,495,234 $2,489,964 $ 2,445,937 $ 2,445,937
These long-term liabilities are not reported in the financial statements of the Clerk, since they have not matured.
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
13.
NOTE 7 - EMPLOYEE RETIREMENT PLAN Substantially all full-time employees of the Clerk are eligible to participate in the State of Florida Retirement System (System), a cost-sharing, multiple-employer defined benefit plan administered by the State of Florida, Division of Retirement. The System is a defined benefit plan for all state, and participating county, district school board, community college, and university employees (Pension Plan). The System also offers eligible employees participation in an alternative defined contribution plan (Investment Plan). The Clerk participates in the Elected State Officers’ Class. Contribution rates are established statewide for all participating governmental units. Accordingly, the actuarial information and related disclosures attributable to the Clerk’s employees are not determinable. Employees participating in the Pension Plan who retire at or after age 62 with 6 years of credited service, or with 30 years of service regardless of age, are entitled to a retirement benefit payable monthly for life, equal to 1.6% for regular employees, 2.0% for senior management, and 3.0% for county elected officials for each year of credited service times their average final compensation. Average final compensation is the employee’s average of the five highest fiscal years of salary earned during credited service. Vested employees may retire before age 62 and receive benefits that are reduced 5% for each year prior to normal retirement age. Employees participating in the Investment Plan are vested after one year of service with no age requirements. The System also provides death and disability benefits. Benefits are established by Section 121, Florida Statutes and Chapter 22B, Florida Administrative Code.
Effective July 1, 2011, employees participating in the System are required to contribute 3 percent of their eligible earnings on a pre-tax basis to the plan. Employees initially enrolled on or after July 1, 2011 become vested after 8 years of service instead of 6. Benefits are computed using the average of their highest 8 years of earnings instead of their highest 5 years. Normal retirement is based on 35 years of service regardless of age or at age 65 and vested for all classes except Special Risk Class members who must have 30 years of service regardless of age, or at age 60 and vested. The Deferred Retirement Option Program (DROP) is a program that provides an alternative method for payment of retirement benefits for a specified and limited period for members of the System, effective July 1, 1998. Under this program, the employee may retire and have their benefits accumulate in the Florida Retirement System Trust Fund, earning interest, while continuing to work for a system employer. The participation in the program does not change conditions of employment. When the DROP period ends, maximum of 60 months, employment must be terminated. At the time of termination of employment, the employee will receive payment of the accumulated DROP benefits and begin receiving their monthly retirement benefit (in the same amount determined at retirement adjusted, if applicable, by annual cost of living increases). The System publishes an annual report that provides 10-year historical trend information about progress made in accumulating sufficient assets to pay benefits when due. This report may be obtained by writing to Division of Retirement, Research and Education Section, 1317 Winewood Boulevard, Building 8, Tallahassee, Florida 32399-1560, or by calling (877) 377-1737 or by accessing their internet site at: http://dms.myforida.com/human_resource_support/retirement/publications/system_infomation/annual_reports
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
14.
NOTE 7 - EMPLOYEE RETIREMENT PLAN (Continued) The Clerk is required to contribute an actuarially determined rate. The contribution requirements of the Clerk are established and may be amended by the State of Florida. The contribution rates are established by fiscal year, beginning each July 1. The contribution rates by job class were as follows: elected county officers 33.03%, regular 6.95%, senior management 18.31%, and DROP employees 12.84% from October 1, 2013 through June 30, 2014; elected county officers 43.24%, regular 7.37%, senior management 21.14%, and DROP employees 12.28% from July 1, 2014 through June 30, 2015; and elected county officers 42.27%, regular 7.26%, senior management 21.43%, and DROP employees 12.88% from July 1, 2015 through September 30, 2015. The Clerk’s contributions to the plan for the years ended September 30, 2015 and 2014 were $1,997,003 and $1,989,498, respectively, equal to the required contributions for each year. This represents 8.64% and 8.37% of covered payroll, respectively. The Clerk’s portion of the net pension liability and the associated footnotes are not reported in the financial statements of the Clerk, but are reported in the basic financial statements of the County. NOTE 8 - OTHER POSTEMPLOYMENT HEALTHCARE BENEFITS (OPEB) PLAN Plan Description: The Clerk participates in a single-employer defined benefit healthcare plan that covers eligible retirees and their dependents of the Board of County Commissioners, all Constitutional Officers with the exception of the Sheriff, and the Planning Council and their dependents. The Board administers the plan and establishes the benefits. The healthcare plan does not issue a stand-alone financial report; however, additional actuarial information regarding the plan as a whole is disclosed in the notes to the financial statements of Pinellas County. The County pays a percentage of the premium for medical and dental insurance for the former employees with at least 10 years of service who retired prior to October 1, 2004, equivalent to that paid for active employees. For non-Medicare eligible retirees, employees enrolled in DROP and those within 5 years of normal FRS retirement prior to October 1, 2004, with 10 years of service, the County will continue funding at the same level as active employees. For employees not part of the previously mentioned groups who retire on or after October 1, 2004, a health insurance subsidy based on length of service will be provided. The subsidy will range from 25% of the premium for 10 years of service, increasing by 3.33% per year of service to 75% for 25 years or more, calculated on the single premium of the lowest cost plan. Funding Policy: The contribution requirements of the plan members and the employers are established and may be amended by the County. The plans are financed on a pay-as-you-go basis. Participating agencies contribute an additional amount per each active employee to fund retiree health care. The Clerk contributed $1,923,231 to the plan during the fiscal year to fund OPEB benefits. The annual other postemployment benefit cost for both plans is calculated based on the annual required contribution of the employer (ARC), an amount actuarially determined in accordance with GASB Statement 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities over a period not to exceed 30 years. An actuarial valuation on the plan as a whole was performed as of October 1, 2013. The notes to the financial statements and required supplemental information of the County disclose additional information regarding the OPEB plan as a whole.
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
15.
NOTE 9 - RELATED-PARTY TRANSACTIONS The Clerk of the Circuit Court and Comptroller incurred costs and charges from the Board of County Commissioners during the fiscal years ended September 30, 2015 and 2014 for various services as follows: 2015 2014 Health insurance $ 8,351,872 $ 7,739,045 Risk financing 53,020 65,790 Information technology 141,874 138,925 Fleet charges 47,336 49,413 Total charges $ 8,594,102 $ 7,993,173 During 2015 and 2014, the Board provided funding to the Clerk that amounted to $9,929,240 and $9,518,630, respectively. At September 30, 2015 and 2014, the Clerk had a receivable due from other county constitutional officers of $24,815 and $32,785, respectively, payables due to other Constitutional Officers of $0 and $1,752, respectively, and a receivable due from the Board of County Commissioners of $84,025 and $77,909, respectively. Additionally, at September 30, 2015 and 2014, the Clerk had amounts due to the Board as follows: 2015 2014 Distribution of excess appropriations $ 1,295,523 $ 566,195 Amounts due for various services 80,428 61,506 Government funds payable to Board 1,375,951 627,701 Amounts held on behalf of the Board 589,671 582,023 Total due to Board of County Commissioners $ 1,965,622 $ 1,209,724 NOTE 10 - RISK MANAGEMENT The County is exposed to various risks of loss, including, but not limited to, general liability, property and casualty, auto and physical damage, and workers’ compensation. The County is substantially self-insured and accounts for and finances its risks of uninsured loss through an internal service fund. All liabilities associated with these self-insured risks are reported in the basic financial statements of the Board. During the fiscal years ended September 30, 2015 and 2014, the Clerk was charged $53,020 and $65,790, respectively, by the County for participation in the risk management program.
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
16.
NOTE 10 - RISK MANAGEMENT (Continued) Under this self-insured program, the County provided coverage for up to $1.5 million per claim for workers’ compensation prior to March 1, 2013. From March 1, 2013 forward the County provided coverage for up to $2.0 million per accident. Coverage is provided to meet the statutory requirements of Section 440, Florida Statutes. The County has also purchased excess coverage for up to $15 million per occurrence or claim with a $30 million aggregate for various liability claims under the self-insured risk management program prior to March 1, 2013. From March 1, 2013 forward, the excess coverage is $15 million per occurrence or claim and in the aggregate. As of March 31, 2015, the self-insured retention funded by the Risk Fund became $1 million. Negligence claims in excess of the statutory limits set in Section 768.28, Florida Statutes, which provide for limited sovereign immunity of $200,000/$300,000 per occurrence can only be recovered through a “claims bill” passed as an act of the State Legislature. The excess liability coverage carried by the County would cover damages awarded in the event of a “claims bill,” as well as several types of claims that are presented under Federal Law that may not be subject to Florida Statute 768.28. Effective July 1, 2011, the Clerk acquired outside insurance coverage for worker’s compensation claims only. All claims incurred prior to July 1, 2011 for worker’s compensation are still covered by the County’s risk management program. There have been no other significant changes in insurance coverage in the last year. Settled claims have not exceeded commercial coverage in any of the last three years. The County is also self-insured for medical and dental claims covering all of its employees and their eligible dependents. As required by Section 112.0801, Florida Statutes, retirees and their eligible dependents are provided the same health care coverage as is offered to active employees at the same premium cost (borne by the retiree) applicable to active employees. No excess insurance coverage has been acquired for these claims. An actuarial valuation is performed each year to estimate the amounts needed to pay prior and future claims and to establish reserves. NOTE 11 - CLAIMS AND CONTINGENCIES Litigation: The Clerk is involved as a defendant or plaintiff in certain litigation and claims arising from the ordinary course of operation. In the opinion of the Clerk and legal counsel, the range of potential recoveries or liabilities will not materially affect the financial statements of the Clerk. Grants: Grant funds received by the Clerk are subject to audit by grantor agencies. Audits of these grants may result in disallowed costs, which may constitute a liability of the Clerk. In the opinion of management, disallowed costs, if any, would be immaterial to the financial statements of the Clerk.
REQUIRED SUPPLEMENTARY INFORMATION
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
See accompanying notes to required supplementary information.
17.
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL – GENERAL FUND
Year ended September 30, 2015
Variancewith FinalBudget –Positive
Original Final Actual (Negative)Revenues:
Charges for services 4,616,010$ 4,861,810$ 5,325,872$ 464,062$ Intergovernmental revenue 807,463 833,813 833,813 - Interest income - - 1,299 1,299 Miscellaneous revenue - - 9,713 9,713
Total revenues 5,423,473 5,695,623 6,170,697 475,074
Expenditures:General government: Salaries and benefits 12,749,293 12,148,225 11,718,112 430,113 Operating expenditures 2,280,740 3,280,158 2,728,123 552,035 Capital outlay 322,680 196,480 132,164 64,316
Total expenditures 15,352,713 15,624,863 14,578,399 1,046,464
Excess (deficiency) of revenues over (under) expenditures (9,929,240) (9,929,240) (8,407,702) 1,521,538
Other financing sources (uses):Transfers in:
Pinellas County, Florida Board of County Commissioners appropriations 9,929,240 9,929,240 9,929,240 -
Transfers out:Distribution of excess appropriations to
Pinellas County, Florida Boardof County Commissioners - - (1,295,523) (1,295,523)
Total other financing sources 9,929,240 9,929,240 8,633,717 (1,295,523)
Net change in fund balances - - 226,015 226,015
Fund balances – beginning of year - - 10,898 10,898
Fund balances – end of year -$ -$ 236,913$ 236,913$
Budget
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
See accompanying notes to required supplementary information.
18.
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL – COURT FUND
Year ended September 30, 2015
Variancewith FinalBudget –Positive
Original Final Actual (Negative)Revenues:
Charges for services 15,850,000$ 15,850,000$ 15,647,128$ (202,872)$ Fines and forfeitures 4,900,000 4,900,000 4,343,518 (556,482) Interest income - - 7,726 7,726 Miscellaneous revenue - 500,000 610,690 110,690 Court revenue appropriated from State 2,225,139 1,232,034 2,026,405 794,371
Total revenues 22,975,139 22,482,034 22,635,467 153,433
Expenditures:General government: Salaries and benefits 21,823,199 21,287,974 20,946,172 341,802 Operating expenditures 1,151,940 1,194,060 1,178,810 15,250
Total expenditures 22,975,139 22,482,034 22,124,982 357,052
Excess (deficiency) of revenues over (under) expenditures - - 510,485 510,485
Net change in fund balances - - 510,485 510,485
Fund balances – beginning of year - - - -
Fund balances – end of year -$ -$ 510,485$ 510,485$
Budget
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
See accompanying notes to required supplementary information.
19.
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE–BUDGET AND ACTUAL–PUBLIC RECORDS MODERNIZATION FUND
Year ended September 30, 2015
Variancewith FinalBudget –Positive
Original Final Actual (Negative)Revenues:
Charges for services 1,570,000$ 1,570,000$ 1,934,636$ 364,636$ Fines and forfeitures 1,140,000 1,140,000 1,015,059 (124,941) Interest income - - 8,733 8,733 Miscellaneous revenues - - 72,426 72,426
Total revenues 2,710,000 2,710,000 3,030,854 320,854
Expenditures:General government: Salaries and benefits 1,392,738 2,108,398 1,919,280 189,118 Operating expenditures 1,312,492 1,511,492 1,214,610 296,882 Capital outlay 388,000 512,337 286,047 226,290
Total expenditures 3,093,230 4,132,227 3,419,937 712,290
Excess (deficiency) of revenues over (under) expenditures (383,230) (1,422,227) (389,083) 1,033,144
Other financing sources (uses):Reserves (3,008,090) (2,010,442) - 2,010,442
Total other financing sources (uses) (3,008,090) (2,010,442) - 2,010,442
Net change in fund balances (3,391,320) (3,432,669) (389,083) 3,043,586
Fund balances – beginning of year 3,391,320 3,432,669 4,238,230 805,561
Fund balances – end of year -$ -$ 3,849,147$ 3,849,147$
Budget
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION September 30, 2015
20.
NOTE 1 - BUDGETARY PROCESS Florida Statutes Sections 129.021 and 129.03 govern the preparation, adoption, and administration of the Clerk’s annual budget. The budget of the Clerk (to the extent of his function as ex-official Clerk to the Board) is prepared for the general fund, which is submitted to and approved by the Board. The Clerk also prepares the budget related to his recording function based on anticipated fees. Pursuant to Section 28.36, Florida Statutes, a balanced court-related budget shall be prepared on or before August 15 and submitted to the Clerk of Court Operations Corporation (Corporation) of the State of Florida. If the Clerk estimates that projected revenues are insufficient to meet anticipated expenditures, the Clerk is required to report the revenue deficit to the Corporation. Once the Corporation verifies the revenue deficit, the Clerk can increase fees up to the maximum amounts specified by law to resolve the deficit. If a revenue deficit is still projected, a request can be submitted to release funds from the Department of Revenue Clerks of Court Trust Fund. Budgets for the General Fund, Court Fund and Public Records Modernization Fund are prepared on a basis consistent with accounting principles generally accepted in the United States of America. The annual budget serves as the legal authorization for expenditures. Any subsequent amendments to the Clerk’s budget funded by the Board must be approved by the Board, and any subsequent amendments of the Court Fund budget must be approved by the Corporation. Expenditures may not legally exceed appropriations at the fund level. Appropriations lapse at year-end. Budgetary control is maintained at each respective fund level. Budgetary changes within each respective fund are made at the discretion of the Clerk. The original budget is the first complete appropriated budget. The final budget is the original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized changes applicable to the fiscal year, whenever legally authorized.
OTHER FINANCIAL INFORMATION
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT AND COMPTROLLER
21.
STATEMENT OF CHANGES IN ASSETS AND LIABILITIES – AGENCY FUND Year ended September 30, 2015
Balance BalanceSeptember 30, September 30,
Trust Funds 2014 Additions Deductions 2015
ASSETSCash and cash equivalents 37,190,541$ 48,811,763$ 37,190,541$ 48,811,763$ Investments 1,103 102 1,103 102 Accounts receivable - 1,653 - 1,653 Due from other governments 23,113 22,533 23,113 22,533
Total assets 37,214,757$ 48,836,051$ 37,214,757$ 48,836,051$
LIABILITIESDue to other governments 4,512,820$ 8,577,082$ 4,512,820$ 8,577,082$ Deposits 32,701,937 40,258,969 32,701,937 40,258,969
Total liabilities 37,214,757$ 48,836,051$ 37,214,757$ 48,836,051$
OTHER REPORTS
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
22.
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL
STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS The Honorable Ken Burke Clerk of the Circuit Court Pinellas County, Florida We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards
issued by the Comptroller General of the United States, the financial statements of each major fund and the aggregate remaining fund information of the Pinellas County, Florida Clerk of the Circuit Court and Comptroller (the “Clerk”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Clerk’s financial statements, and have issued our report thereon dated February 12, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General. The financial statements present only each major fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Clerk, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the Clerk’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Clerk’s internal control. Accordingly, we do not express an opinion on the effectiveness of the Clerk’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
23.
Compliance and Other Matters As part of obtaining reasonable assurance about whether the Clerk's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Crowe Horwath LLP Tampa, Florida February 12, 2016
PINELLAS COUNTY, FLORIDA CLERK OF THE CIRCUIT COURT
SCHEDULE OF FINDINGS AND RESPONSES Year Ended September 30, 2015
24.
SECTION I - SUMMARY OF AUDITORS’ RESULTS FINANCIAL STATEMENTS
Type of auditors’ report issued Unmodified Internal control over financial reporting: Material weaknesses identified No Significant deficiencies identified not considered to be material weaknesses None Reported Noncompliance material to financial statements noted No SECTION II - CURRENT YEAR FINDINGS AND RECOMMENDATIONS No such items to report. SECTION III - PRIOR YEAR FINDINGS AND RECOMMENDATIONS No such items.
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
25.
MANAGEMENT LETTER ON INTERNAL CONTROL AND STATE REPORTING REQUIREMENTS
The Honorable Ken Burke Clerk of the Circuit Court Pinellas County, Florida Report on the Financial Statements We have audited the financial statements of each major fund and the aggregate remaining fund information of the Pinellas County, Florida Clerk of the Circuit Court and Comptroller (the “Clerk”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Clerk’s financial statements, and have issued our report thereon dated February 12, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General. The financial statements present only each major fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Clerk, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Auditor’s Responsibility We conducted our audit in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States; and Chapter 10.550, Rules of the Auditor General. Other Reports We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Accountant’s Reports on examinations conducted in accordance with AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated February 12, 2016, should be considered in conjunction with this management letter. Prior Audit Findings Section 10.554(1)(i)1, Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no findings and recommendations reported in the preceding annual financial audit report. Other Matters Section 10.554(1)(i)2, Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations.
26.
Section 10.554(1)(i)3, Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Auditor General of the State of Florida, and applicable management and is not intended to be and should not be used by anyone other than these specified parties. Crowe Horwath LLP Tampa, Florida February 12, 2016
Crowe Horwath LLP Independent Member Crowe Horwath International
27.
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES
The Honorable Ken Burke Clerk of the Circuit Court Pinellas County, Florida We have examined the Pinellas County, Florida Clerk of the Circuit Court and Comptroller’s (the “Clerk”) compliance with Section 218.415, Florida Statutes, concerning the investment of public funds during the year ended September 30, 2015. Management is responsible for the Clerk’s compliance with those requirements. Our responsibility is to express an opinion on the Clerk’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the Clerk’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the Clerk’s compliance with specified requirements. In our opinion, the Clerk complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida February 12, 2016
Crowe Horwath LLP Independent Member Crowe Horwath International
28.
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH
SECTIONS 28.35 AND 28.36, FLORIDA STATUTES
The Honorable Ken Burke Clerk of the Circuit Court Pinellas County, Florida We have examined the Pinellas County, Florida Clerk of the Circuit Court and Comptroller’s (the “Clerk”) compliance with Sections 28.35 and 28.36, Florida Statutes, concerning the Clerk of Courts performance standards and budgets during the year ended September 30, 2015. Management is responsible for the Clerk’s compliance with those requirements. Our responsibility is to express an opinion on the Clerk’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the Clerk’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the Clerk’s compliance with specified requirements. In our opinion, the Clerk complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida February 12, 2016
Crowe Horwath LLP Independent Member Crowe Horwath International
29.
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH
SECTION 61.181, FLORIDA STATUTES
The Honorable Ken Burke Clerk of the Circuit Court Pinellas County, Florida We have examined the Pinellas County, Florida Clerk of the Circuit Court and Comptroller’s (the “Clerk”) compliance with Section 81.181, Florida Statutes, concerning the alimony and child support depository during the year ended September 30, 2015. Management is responsible for the Clerk’s compliance with those requirements. Our responsibility is to express an opinion on the Clerk’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the Clerk’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the Clerk’s compliance with specified requirements. In our opinion, the Clerk complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida February 12, 2016
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
FINANCIAL STATEMENTS
September 30, 2015
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
Clearwater, Florida
FINANCIAL STATEMENTS September 30, 2015
CONTENTS
INDEPENDENT AUDITOR’S REPORT ........................................................................................................ 1 FINANCIAL STATEMENTS BALANCE SHEET − GOVERNMENTAL FUNDS .................................................................................. 3 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE − GOVERNMENTAL FUNDS ............................................................................................. 4 NOTES TO FINANCIAL STATEMENTS ............................................................................................... 5 REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE − BUDGET AND ACTUAL (BUDGETARY BASIS) − GENERAL FUND ............................................... 14 NOTE TO REQUIRED SUPPLEMENTARY INFORMATION .............................................................. 15 COMPLIANCE REPORTS INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS ...................... 16
SCHEDULE OF FINDINGS .................................................................................................................. 18
SUMMARY OF PRIOR YEAR FINDINGS ............................................................................................ 20 MANAGEMENT LETTER ..................................................................................................................... 21
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES ........................................................................................ 23
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT AUDITOR’S REPORT
The Honorable Deborah Clark Supervisor of Elections Pinellas County, Florida Clearwater, Florida Report on the Financial Statements We have audited the accompanying financial statements of the General Fund, the Federal Election Activities Grant Fund, the Ballots on Demand Grant Fund, and the Special Fund of the Pinellas County, Florida Supervisor of Elections (the “Supervisor of Elections”), a component unit of Pinellas County, Florida, as of and for the year ended September 30, 2015, and the related notes to the 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 in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express opinions on the financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks 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 preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made 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 our audit opinions.
(Continued)
1.
Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the General Fund, the Federal Election Activities Grant Fund, the Ballots on Demand Grant Fund, and the Special Fund of the Supervisor of Elections as of September 30, 2015, and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. Emphasis of Matters As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. The financial statements present only the General Fund, the Federal Election Activities Grant Fund, the Ballots on Demand Grant Fund, and the Special Fund and do not purport to, and do not, present the financial position of the Supervisor of Elections, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinions are not modified with respect to this matter. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the budgetary comparison information on pages 14-15 be presented to supplement the financial statements. Such information, although not a part of the financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the financial statements, and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Restriction on Use Our report is intended solely for the information and use of the Supervisor of Elections, the Board of County Commissioners of Pinellas County, Florida, and the Auditor General of the State of Florida, and is not intended to be and should not be used by anyone other than these specified parties. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated February 12, 2016 on our consideration of the Supervisor of Elections’ internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Supervisor of Elections’ internal control over financial reporting and compliance.
Crowe Horwath LLP Tampa, Florida February 12, 2016
2.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
BALANCE SHEET – GOVERNMENTAL FUNDS September 30, 2015
FederalElection Ballots on
General Activities Demand Special 2015Fund Grant Fund Grant Fund Fund Total
ASSETSCash and cash equivalents 349,565$ 116,040$ 72,354$ -$ 537,959$ Due from Board Pinellas County,
Board of County Commissioners 241,023 - - - 241,023 Inventories 31,848 - - - 31,848 Other assets 298,579 - - - 298,579
Total assets 921,015$ 116,040$ 72,354$ -$ 1,109,409$
LIABILITIES AND FUND BALANCELiabilities
Accounts payable 263,551$ -$ -$ -$ 263,551$ Accrued liabilities 65,293 - - - 65,293 Due to Pinellas County, Florida
Board of County Commissioners 258,383 - - - 258,383 Due to Pinellas County, Florida
Constitutional Officers 2,230 - - - 2,230 Deposits 298,579 - - - 298,579 Unearned revenues 1,131 116,040 72,354 - 189,525
Total liabilities 889,167 116,040 72,354 - 1,077,561
Fund balanceNonspendable - inventory 31,848 - - - 31,848
Total fund balance 31,848 - - - 31,848
Total liabilities and fund balance 921,015$ 116,040$ 72,354$ -$ 1,109,409$
See accompanying notes to financial statements.
3.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – GOVERNMENTAL FUNDS
Year Ended September 30, 2015
FederalElection Ballots on
General Activities Demand Special 2015Fund Grant Fund Grant Fund Fund Total
RevenuesGovernment charges and fees 135,363$ -$ -$ -$ 135,363$ Intergovernmental revenue 9,563 127,588 - 68,950 206,101 Interest 6 175 48 - 229
Total revenues 144,932 127,763 48 68,950 341,693
ExpendituresGeneral government
Salaries and benefits 3,423,906 24,510 - 32,975 3,481,391 Commissions and fees 21,490 - 48 - 21,538 Intergovernmental services 64,693 - - - 64,693 Printing and reproduction 270,393 57,593 - 26,221 354,207 Rent 30,898 - - 2,600 33,498 Maintenance 726,202 - - - 726,202 Postage and freight 333,097 - - 112 333,209 Supplies 196,299 - - - 196,299 Travel 44,811 - - - 44,811 Communication services 19,474 - - 2,760 22,234 Moving services 24,072 - - 2,939 27,011 Advertising 56,048 45,660 - 1,343 103,051 Dues, subscriptions, and publications 8,898 - - - 8,898 Contractual services 305,685 - - - 305,685
Capital outlay 632,315 - - - 632,315 Debt Service
Principal retirement 275,575 - - - 275,575 Interest 2,945 - - - 2,945
Total expenditures 6,436,801 127,763 48 68,950 6,633,562
Excess (deficiency) of revenues over (under) expenditures (6,291,869) - - - (6,291,869)
Other financing sources (uses)Transfer in
Pinellas County, Florida Board of County Commissioners appropriations 6,006,913 - - - 6,006,913
Proceeds from long-term obligation 520,121 520,121 Proceeds from capital asset disposal 22,500 22,500 Transfer out
Distribution of excess fees to Pinellas County,Florida Board of County Commissioners (257,665) - - - (257,665)
Total other financing sources (uses) 6,291,869 - - - 6,291,869
Net change in fund balance - - - - -
Fund balance at beginning of year 28,696 - - - 28,696
Change in inventories 3,152 - - - 3,152
Fund balance at end of year 31,848$ -$ -$ -$ 31,848$
See accompanying notes to financial statements.
4.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES Reporting Entity: The Pinellas County, Florida Supervisor of Elections (the “Supervisor of Elections”) is an elected constitutional officer as provided for by the Constitution of the State of Florida, pursuant to Article VIII, Section 1(d), Florida Constitution, and for financial reporting purposes by Chapter 218, Florida Statutes. Pursuant to Section 129.03, Florida Statutes, the Supervisor of Elections’ budget is submitted to the Pinellas County, Florida Board of County Commissioners (the “Board”) for approval. In addition, for financial reporting purposes, the Supervisor of Elections is deemed to be a part of the primary government of Pinellas County, Florida (the “County”) and, therefore, is included as such in the Pinellas County, Florida, Comprehensive Annual Financial Report (CAFR). Basis of Presentation: These financial statements include the General Fund, the Federal Election Activities Grant Fund, and the Ballot on Demand Grant Fund of the Supervisor of Elections’ office. The accompanying financial statements were prepared for purposes of complying with Section 218.39, Florida Statutes, and Section 10.577(3), Rules of the Auditor General for Local Governmental Entity Audits. Section 10.556(4), Rules of the Auditor General for Local Governmental Entity Audits, requires the Supervisor of Elections’ financial statements only to present fund financial statements. Accordingly, due to the omission of government-wide financial statements and related disclosures, including a management’s discussion and analysis, these financial statements do not constitute a complete presentation of the financial position of the Supervisor of Elections as of September 30, 2015, and the changes in financial position for the year then ended, in conformity with Governmental Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements - and Management’s Discussion and Analysis - for State and Local Governments, but otherwise constitute financial statements prepared in conformity with accounting principles accepted in the United States. The Supervisor of Elections reports the following major funds:
• The General Fund, a major governmental fund, is used to account for all revenues and expenditures applicable to the general operations of the Supervisor of Elections that are not required either legally or by accounting principles generally accepted in the United States to be accounted for in another fund.
• The Federal Election Activities Grant Fund, a major special revenue fund, is used to account for all activities of a federal election activities grant received from the State of Florida.
• The Ballot on Demand Grant Fund, a major special revenue fund, is used to account for all activities of a ballot on demand grant received from the State of Florida.
• The Special Fund, a major special revenue fund, is used to account for all activities of local governmental elections that are funded with special assessments.
Basis of Accounting and Measurement Focus: Basis of accounting refers to when revenues and expenditures are recognized in the accounts and reported in the financial statements. Basis of accounting refers to the timing of the measurements made, regardless of the measurement focus applied. The modified accrual basis of accounting is followed by the Supervisor of Elections. Under the modified accrual basis of accounting, revenues are recognized when they become both measurable and available to finance expenditures of the current period. Expenditures are recorded when the liability is incurred, except for accumulated sick and vacation pay, which are not recorded until paid. Governmental funds are reported using the current financial resources measurement focus. The Supervisor of Elections considers revenue collected within 60 days after year-end to be available and recognizes them as revenues of the current year. Intergovernmental revenues are recognized when eligibility requirements are met and related amounts are available from the grantor agency.
(Continued)
5.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) Interest income and other revenues are recognized as they are earned and become measurable and available. Florida Statutes provide that the amount by which revenues exceed annual expenditures be remitted to the Board immediately following the fiscal year for which the funding was provided and during which other revenues were recognized. Cash and Cash Equivalents: Cash and cash equivalents are defined for financial reporting purposes as any liquid investments with original maturities of three months or less. The Supervisor of Elections deposits cash in qualified public depositories. The deposits are fully insured by the Federal Deposit Insurance Corporation and/or secured by the multiple financial institution collateral pool established under Chapter 280, Florida Statutes. In accordance with these statutes, qualified public depositories are required to pledge eligible collateral in varying percentages. Any losses to public depositors are covered by applicable deposit insurance, by the sale of pledged securities and, if necessary, by assessments against other qualified public depositories. Section 218.415, Florida Statutes, authorizes the Supervisor of Elections to invest in obligations of the U.S. government, its agencies and instrumentalities, and certain other investments. Inventories: Inventories consist of election materials and are stated at cost using a first-in, first-out basis. Inventories are recorded as an expenditure when used rather than when purchased. Reported inventories are offset by a nonspendable fund balance amount to indicate it does not constitute an “available expendable resource.” Compensated Absences: In accordance with GASB Statement No. 16, Accounting for Compensated Absences, the Supervisor of Elections determines the liability for compensated absences, as well as certain other salary-related costs associated with the payment of compensated absences that are recorded and reported by the County in its basic financial statements. Vacation leave is accrued as a liability as the benefits are earned by the employees. Sick leave is accrued as a liability but only to the extent that it is probable that the Supervisor of Elections will compensate the employees for the benefits through cash payments at termination or retirement. All full-time employees of the Supervisor of Elections are entitled to vacation time with full pay and prior to December 24, 1994, accumulated sick leave. Employees are allowed to accumulate vacation leave with no maximum; however, upon termination, employees are paid out for no more than three times their annual accrual rate and/or one-half of accumulated sick leave. Vacation and sick leave payments are included in operating costs when the payments are made to the employees. The Supervisor of Elections does not, nor is legally required to, accumulate financial resources for these unmatured obligations. Accordingly, the liability for compensated absences is not reported in the Supervisor of Elections’ financial statements, but rather, is reported in the basic financial statements of the County. Other Assets and Liabilities: Other assets consist of deposits with a third party postage vendor that the Supervisor of Elections maintains. The funds on deposit are funded using the annual County appropriation, expended in the General Fund as postage and freight expenditures, and are considered available for spending as the Supervisor or Elections can withdraw the funds at any time. These deposits are offset with a corresponding liability in the instance that the Supervisor of Elections withdraws the deposits, the deposits are required to be remitted back to the County.
(Continued)
6.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) Capital Assets: Capital assets used in governmental fund-type operations are capitalized in the basic financial statements of the County rather than in the general fund of the Supervisor of Elections. Capital assets are items with individual costs of $1,000 or more with useful lives of more than one year. Upon acquisition, such assets are recorded as capital outlay expenditures in the general fund of the Supervisor of Elections, and are capitalized at cost in the basic financial statements of the County. Donated capital assets are valued at their estimated fair value on the date received. The Supervisor of Elections maintains custodial responsibility for the capital assets it uses. No depreciation expense has been provided on capital assets in these financial statements. However, depreciation expense on these assets is recorded in the basic financial statements of the County. Refund of Excess Fees: Florida Statutes provide that the excess of the Supervisor of Elections’ governmental fund revenues over expenditures held by the Supervisor of Elections at the end of the fiscal year are to be refunded to the Board. The amount of unrestricted excess at the end of the fiscal year is reported as a liability in the accompanying balance sheet, and the transfer and distribution of total excess revenues are reported as a transfer out (other financing use) in the accompanying statement of revenues, expenditures, and changes in fund balances. Unearned Revenue: Unearned revenue represents unspent grant funds received in advance of meeting eligibility requirements (other than time requirements). Fund Balance: GASB Statement No. 54, Fund Balance Reporting and Governmental Fund-Type Definitions, requires that fund balances be reported in classifications based on whether the amounts are spendable or nonspendable. Spendable amounts are further classified as restricted, committed, assigned, or unassigned based on the extent to which there are external and/or internal constraints in how fund balance amounts may be spent. Nonspendable fund balances include amounts that cannot be spent because they are not in spendable form or legally or contractually required to be maintained intact. The Supervisor of Elections’ inventories fall into this category. Spendable fund balances are classified based on a hierarchy of the Supervisor of Elections ability to control the spending of these fund balances and are reported in the following categories: restricted, committed, assigned, and unassigned. At September 30, 2015, the Supervisor of Elections does not have any spendable fund balances. New Accounting Pronouncements: The following GASB pronouncements were adopted by the Supervisor of Elections during the year ended September 30, 2015. Adoption of these pronouncements did not have a material impact on the Supervisor of Elections’ financial statements. In June 2012, the GASB issued Statement 68, Accounting and Financial Reporting for Pensions. This Statement replaces the requirements of Statement No. 27, Accounting for Pensions by State and Local Governmental Employers and Statement No. 50, Pension Disclosures, as they relate to governments that provide pensions through pension plans administered as trusts or similar arrangements that meet certain criteria. Statement 68 requires governments providing defined benefit pensions to recognize their long-term obligation for pension benefits as a liability for the first time, and to more comprehensively and comparably measure the annual costs of pension benefits. The Statement also enhances accountability and transparency through revised and new note disclosures and required supplementary information (RSI). The provisions of this Statement are effective for financial statements for periods beginning after June 15, 2014.
(Continued)
7.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) In January 2013, the GASB issued Statement 69, Government Combinations and Disposals of Government Operations. This Statement establishes accounting and financial reporting standards related to government combinations and disposals of government operations. As used in this Statement, the term “government combinations” includes a variety of transactions referred to as mergers, acquisitions, and transfers of operations. The distinction between a government merger and a government acquisition is based upon whether an exchange of significant consideration is present within the combination transaction. Government mergers include combinations of legally separate entities without the exchange of significant consideration. This Statement requires the use of carrying values to measure the assets and liabilities in a government merger. Conversely, government acquisitions are transactions in which a government acquires another entity, or its operations, in exchange for significant consideration. This Statement requires measurements of assets acquired and liabilities assumed generally to be based upon their acquisition values as well as provides guidance for transfers of operations that do not constitute entire legally separate entities and in which no significant consideration is exchanged. This Statement defines the term operations for purposes of determining the applicability of this Statement and requires the use of carrying values to measure the assets and liabilities in a transfer of operations. A disposal of a government’s operations results in the removal of specific activities of a government. This Statement provides accounting and financial reporting guidance for disposals of government operations that have been transferred or sold as well as requires disclosures to be made about government combinations and disposals of government operations to enable financial statement users to evaluate the nature and financial effects of those transactions. The provisions of this Statement are effective for financial statements for periods beginning after December 15, 2013. In November 2013, GASB released Statement No. 71 Pension Transition for Contributions Made Subsequent to the Measurement Date – An Amendment of GASB Statement No. 68. This Statement is effective for fiscal years beginning after June 15, 2014 and is required to be applied simultaneously with the provisions of Statement No. 68. The objective of this Statement is to address an issue regarding application of the transition provisions of Statement No. 68 Accounting and Financial Reporting for Pensions. The issue relates to the amounts associated with contributions to a defined benefit pension plan after the measurement date of the government’s beginning net pension liability. The provisions of this Statement are to be applied simultaneously with the provisions of Statement 68. NOTE 2 - CASH AND CASH EQUIVALENTS At September 30, 2015, the general ledger carrying balances were $250 for petty cash and $537,709 for deposits, which equals the total of cash and cash equivalents as presented in the accompanying financial statements. Custodial Credit Risk: At September 30, 2015, $287,459 of the Supervisor of Elections’ deposits were in excess of the $250,000 covered by federal depository insurance. However the deposits are fully insured by collateral pledged with the Chief Financial Officer of the State of Florida pursuant to Chapter 280, Florida Statutes. Under this chapter, in the event of default by a participating financial institution (a qualified public depository), all participating institutions are obligated to reimburse the governmental entity for any loss. Credit Risk: The Supervisor of Elections’ policy is to follow the guidance in Section 219.075, Florida Statutes, regarding the deposit of funds received and the investment of surplus funds. Sections 219.075 and 218.415, Florida Statutes, authorize the Supervisor of Elections to invest in the Local Government Surplus Funds Trust Fund or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperation Act; Securities and Exchange Commission registered money market funds with the
(Continued)
8.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 2 - CASH AND CASH EQUIVALENTS (Continued) highest credit quality rating from a nationally recognized rating agency; direct obligations of the United States Treasury; federal agencies and instrumentalities; or interest-bearing time deposits and savings accounts in banks organized under the laws of the United States and doing business situated in the State of Florida, savings and loans associations, which are under State supervision, or in federal savings and loan associations located in the State of Florida and organized under federal law and federal supervision, provided that any such deposits are secured by collateral as may be prescribed by law. Additionally, Florida Statutes allow local governments to place public funds with institutions that participate in a collateral pool under the Florida Security for Public Deposits Act. The pool is administered by the State Chief Financial Officer of the State of Florida, who may make additional assessments to ensure that no public funds will be lost. NOTE 3 - ACCOUNTS PAYABLE Accounts payable balances are primarily payable to third-party vendors for computer equipment, telephone expense, office supplies, and postage. Funds due to the Board are amounts due to the Board for excess fees and other services. NOTE 4 - ACCUMULATED COMPENSATED ABSENCES The amount of vested accumulated compensated absences payable based upon the Supervisor of Elections’ annual leave and sick pay policy, is reported as a liability in the statement of net position in the County’s basic financial statements. The changes in accumulated compensated absences during the year ended September 30, 2015 were as follows:
NOTE 5 – LONG-TERM OBLIGATIONS Capital Leases: The Supervisor of Elections entered into a lease agreement on September 30, 2013, that qualified for treatment as a capital lease. Upon delivery of the equipment in the fiscal year ending September 30, 2014, the present value of the future minimum payments of the capital lease was reported as capital outlay expenditures and capital lease proceeds (other financing source) in the statement of revenues, expenditures, and changes in fund balance. The corresponding leased asset and obligation is reported only in the basic financial statements of the County. The Supervisor of Elections recognizes lease payments as debt service expenditures and interest expense in the statements of revenues, expenditures, and changes in fund balances of the general fund, which amounted to $75,575 and $2,945 respectively for the year ended September 30, 2015. The following is a schedule of future minimum lease payments for the capital lease as of September 30, 2015:
Compensated absences at beginning of year 179,961$ Additions 132,510 Deductions (100,934) Compensated absences at end of year 211,537$
Due within one year 117,467$
(Continued)
9.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 5 – LONG-TERM OBLIGATIONS (Continued)
Fiscal YearEnded
September 30,2016 20,520$ 2017 24,520
Total minimim lease payments 45,040 Less amount representing interest (4,168) Present value of mimumum lease payments 40,872$
Installment Contract: The Supervisor of Elections entered into a noninterest bearing agreement in May 2015 issued in connection with the acquisition of equipment and related contractual services recorded in the statement of revenues, expenditures, and changes in fund balance at a gross amount of $336,087 for capital outlay expenditures, $206,534 for operating expenditures and $5,709 as imputed interest (using a discount rate of 3.9566%). Other financing sources were recognized in this transaction in the amount of proceeds for trade-ins of $22,500 and $520,121 in proceeds from long-term obligation. Debt service payments will be paid from the general fund. Future installments under this agreement at fiscal year-end are as follows:
Fiscal YearEnded
September 30,2016 175,830$ 2017 150,000
Total minimim payments 325,830 Less amount representing interest (5,709) Present value of mimumum payments 320,121$
A summary of long-term debt for the Supervisor of Elections is as follows:
BalanceBalance as of Balance as of Due Within
October 1, 2014 Additions Deletions September 30, 2015 One YearCapital Lease 116,447$ -$ 75,575$ 40,872$ 19,009$ Installment Contract - 520,121 200,000 320,121 175,830
116,447$ 520,121$ 275,575$ 360,993$ 194,839$
(Continued)
10.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 6 - EMPLOYEE RETIREMENT PLAN Substantially all full-time employees of the Supervisor of Elections are eligible to participate in the State of Florida Retirement System (System), a cost-sharing, multiple-employer defined benefit plan administered by the State of Florida, Division of Retirement. The System is a defined benefit plan for all state, and participating county, district school board, community college, and university employees (Pension Plan). The System also offers eligible employees participation in an alternative defined contribution plan (Investment Plan). The Supervisor of Elections participates in the Elected State Officers’ Class. Contribution rates are established statewide for all participating governmental units. Accordingly, the actuarial information and related disclosures attributable to the Supervisor of Elections’ employees are not determinable. Employees participating in the Pension Plan who retire at or after age 62 with 6 years of credited service, or with 30 years of service regardless of age, are entitled to a retirement benefit payable monthly for life, equal to 1.6% for regular employees, 2.0% for senior management, and 3.0% for county elected officials for each year of credited service times their average final compensation. Average final compensation is the employee’s average of the five highest fiscal years of salary earned during credited service. Vested employees may retire before age 62 and receive benefits that are reduced 5% for each year prior to normal retirement age. Employees participating in the Investment Plan are vested after one year of service with no age requirements. The System also provides death and disability benefits. Benefits are established by Section 121, Florida Statutes and Chapter 22B, Florida Administrative Code. Effective July 1, 2011, employees participating in the System are required to contribute 3 percent of their eligible earnings on a pre-tax basis to the plan. Employees initially enrolled on or after July 1, 2011 become vested after 8 years of service instead of 6. Benefits are computed using the average of their highest 8 years of earnings instead of their highest 5 years. Normal retirement is based on 35 years of service regardless of age or at age 65 and vested for all classes except Special Risk Class members who must have 30 years of service regardless of age, or at age 60 and vested. The Deferred Retirement Option Program (DROP) is a program that provides an alternative method for payment of retirement benefits for a specified and limited period for members of the System, effective July 1, 1998. Under this program, the employee may retire and have their benefits accumulate in the Florida Retirement System Trust Fund, earning interest, while continuing to work for a system employer. The participation in the program does not change conditions of employment. When the DROP period ends, maximum of 60 months, employment must be terminated. At the time of termination of employment, the employee will receive payment of the accumulated DROP benefits and begin receiving their monthly retirement benefit (in the same amount determined at retirement adjusted, if applicable, by annual cost of living increases). The System publishes an annual report that provides 10-year historical trend information about progress made in accumulating sufficient assets to pay benefits when due. This report may be obtained by writing to Division of Retirement, Research and Education Section, 1317 Winewood Boulevard, Building 8, Tallahassee, Florida 32399-1560, or by calling (877) 377-1737 or by accessing their internet site at: http://dms.myforida.com/human_resource_support/retirement/publications/system_infomation/annual_reports The Supervisor of Elections is required to contribute an actuarially determined rate. The contribution requirements of the Supervisor of Elections are established and may be amended by the State of Florida. The contribution rates are established by fiscal year, beginning each July 1. The required contribution rates by job class were as follows: elected county officers 33.03%, regular 6.95%, senior management 18.31%, and DROP employees 12.84% from October 1, 2013 through June 30, 2014; elected county officers 43.24%, regular 7.37%, senior management 21.14%, and DROP employees 12.28% from July 1, 2014
(Continued)
11.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 6 - EMPLOYEE RETIREMENT PLAN (Continued) through June 30, 2015; and elected county officers 42.27%, regular 7.26%, senior management 21.43%, and DROP employees 12.88% from July 1, 2015 through September 30, 2015. The Supervisor of Elections’ contributions to the plan for the years ended September 30, 2015 and 2014 were $147,643 and $138,320 respectively, equal to the required contributions for each year. The Supervisor of Elections’ portion of the net pension liability and the associated footnotes are not reported in the financial statements of the Supervisor of Elections, but are reported in the basic financial statements of the County. NOTE 7 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS (OPEB) PLAN Plan Description: The Supervisor of Elections participates in a single-employer defined benefit health care plan that covers eligible retirees and their dependents of the Board of County Commissioners, all constitutional officers with the exception of the Sheriff, and the Pinellas County Planning Council. The Board administers the plan and establishes the benefits. The health care plan does not issue a stand-alone financial report; however, additional actuarial information regarding the plan as a whole is disclosed in the notes to the financial statements of Pinellas County. The County pays a percentage of the premium for medical and dental insurance for former employees with at least 10 years of service who retired prior to October 1, 2004, equivalent to that paid for active employees. For non-Medicare eligible retirees, employees enrolled in DROP and those within 5 years of normal FRS retirement prior to October 1, 2004, with 10 years of service, the County will continue funding at the same level as active employees. For employees not part of the previously mentioned groups who retire on or after October 1, 2004, a health insurance subsidy based on length of service will be provided. The subsidy will range from 25% of the premium for 10 years of service, increasing by 3.33% per year of service to 75% for 25 years of more, calculated on the single premium of the lowest cost plan. Funding Policy: The contribution requirements of the plan members and the employers are established and may be amended by the County. The plans are financed on a pay-as-you-go basis. Participating agencies contribute an additional amount per each active employee to fund retiree health care. The Supervisor of Elections contributed $121,410 to the plan during the fiscal year to fund OPEB benefits. The annual other post-employment benefit cost for both plans is calculated based on the annual required contribution of the employer (the "ARC”), an amount actuarially determined in accordance with GASB Statement 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal costs each year and amortize any unfunded actuarial liabilities over a period not to exceed 30 years. An actuarial valuation on the plan as a whole was performed as of October 1, 2013. The notes to the financial statements and required supplemental information of the County disclose additional information regarding the OPEB plan as a whole. NOTE 8 - RELATED-PARTY TRANSACTIONS The Supervisor of Elections incurred costs and charges to the Board and other Constitutional Officers during the year ended September 30, 2015 for various services as follows:
Health/dental insurance 563,885$ Risk financing 63,090 Other charges 127,808
754,783$
(Continued)
12.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTES TO FINANCIAL STATEMENTS Year Ended September 30, 2015
NOTE 8 - RELATED-PARTY TRANSACTIONS (Continued) The Board provided funding for the Supervisor of Elections that amounted to $6,006,913 for the year ended September 30, 2015. At September 30, 2015, the Supervisor of Elections had a receivable due from the Board in the amount of $241,023 and a payable due to the Board of $258,383, comprised of the following:
Distribution of excess fees 257,665$ Amounts due for various services 718 Total due to the Board 258,383$
NOTE 9 - COMMITMENTS AND CONTINGENCIES Grant funds received by the Supervisor of Elections are subject to audit by grantor agencies. Audits of these grants may result in disallowed costs, which may constitute a liability of the Supervisor of Elections. In the opinion of management, disallowed costs, if any, would not be significant to the financial position of the Supervisor of Elections. NOTE 10 - RISK MANAGEMENT The County is exposed to various risks of loss, including but not limited to general liability, property and casualty, auto and physical damage, and workers’ compensation. The County is substantially self-insured and accounts for and finances its risks of uninsured loss through an internal service fund. All liabilities associated with these self-insured risks are reported in the basic financial statements of the County. During the year ended September 30, 2015, the Supervisor of Elections was charged $63,090 by the County for participation in the risk management program. Under this self-insured program, the County provides coverage for up to $1.5 million per claim for workers’ compensation, auto, and general liability and claims under the self-insurance risk management fund. The County also has purchased outside excess coverage for up to $15 million in the aggregate. Negligence claims in excess of the statutory limits set in Section 768.28, Florida Statutes, which provide for limited sovereign immunity of $100,000/$200,000 per occurrence can only be recovered through an act of the State Legislature. There have been no significant reductions in insurance coverage in the last year. Settled claims have not exceeded commercial coverage in the last three years. The County is also self-insured for medical and dental claims covering all of its employees and their eligible dependents. As required by Section 112.081, Florida Statutes, retirees and their eligible dependents are provided the same health care coverage as is offered to active employees at the same premium cost (borne by the retiree) applicable to active employees. No excess insurance coverage has been acquired for these claims. An actuarial valuation is performed each year to estimate the amount needed to pay prior and future claims and to establish reserves.
13.
REQUIRED SUPPLEMENTARY INFORMATION
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL (BUDGETARY BASIS) – GENERAL FUND
Year Ended September 30, 2015
Variance withFinal Budget
PositiveOriginal Final Actual (Negative)
RevenuesGovernment charges and fees -$ -$ 135,363$ 135,363$ Intergovernmental revenue - - 9,563 9,563 Interest - - 6 6
Total revenues - - 144,932 144,932
ExpendituresGeneral government
Salaries and benefits 3,603,025 3,637,297 3,423,906 213,391 Commissions and fees 18,000 18,000 21,490 (3,490) Intergovernmental services 63,640 63,640 64,693 (1,053) Printing and reproduction 351,145 387,198 270,393 116,805 Rent 47,050 48,660 30,898 17,762 Maintenance 720,332 723,939 726,202 (2,263) Postage and freight 244,231 247,073 333,097 (86,024) Supplies 58,390 59,030 196,299 (137,269) Travel 39,529 40,165 44,811 (4,646) Communication services 66,492 68,311 19,474 48,837 Moving services 31,589 32,643 24,072 8,571 Advertising 89,600 93,413 56,048 37,365 Dues, subscriptions, and publications 3,973 3,973 8,898 (4,925) Contractual services 314,244 319,421 305,685 13,736
Capital outlay 44,650 264,150 632,315 (368,165) Debt Service
Principal retirement - - 275,575 (275,575) Interest - - 2,945 (2,945)
Total expenditures 5,695,890 6,006,913 6,436,801 (429,888)
Excess (deficiency) of revenues over (under) expenditures (5,695,890) (6,006,913) (6,291,869) (284,956)
Other financing sources (uses)Transfer in
Pinellas County, Florida Board of County Commissioners appropriations 5,695,890 6,006,913 6,006,913 -
Proceeds from long-term obligation - - 520,121 520,121 Proceeds from capital asset disposal - - 22,500 22,500 Transfer out
Distribution of excess fees to Pinellas County,Florida Board of County Commissioners - - (257,665) (257,665)
Total other financing sources (uses) 5,695,890 6,006,913 6,291,869 284,956
Net change in fund balance - - - -
Fund balance at beginning of year - - 28,696 28,696
Change in inventories - - 3,152 3,152
Fund balance at end of year -$ -$ 31,848$ 31,848$
Budget
See accompanying note to schedule.
14.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION Year Ended September 30, 2015
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – BUDGETARY PROCESS Section 129.202, Florida Statutes, governs the preparation, adoption, and administration of the Pinellas County, Florida Supervisor of Elections’ (the “Supervisor of Elections”) annual budget. The Supervisor of Elections prepares a budget for the general fund and submits it to the Board of County Commissioners for approval. Any subsequent amendments must be approved by the Board. The annual budget serves as the legal authorization for expenditures. Expenditures may not legally exceed appropriations at the fund level. Appropriations lapse at year-end. Budgetary control is maintained at the departmental major object expenditure level. Budgetary changes within major object expenditure categories are made at the discretion of the Supervisor of Elections. The original budget is the first complete appropriated budget. The final budget is the original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized changes applicable to the fiscal year, whenever legally authorized. The Supervisor of Elections’ budget is prepared under a basis of accounting that differs from accounting principles generally accepted in the United States of America (GAAP). Certain long-term unappropriated capital outlay obligations entered into by the Supervisor of Elections are not recognized as a liability under the budgetary basis of accounting; however, the entire obligation is recognized under GAAP, and debt service payments, capital outlays, and other financing sources are recorded as appropriate. The actual results of operations in the statements of revenues, expenditures, and changes in fund balance – budget and actual (budgetary basis) - general fund are presented on a budgetary basis. There were no adjustments to convert the results of operations at the end of the year from the budgetary basis of accounting to the GAAP basis of accounting for 2015.
15.
COMPLIANCE REPORTS
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON
AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
The Honorable Deborah Clark Supervisor of Elections Pinellas County, Florida Clearwater, Florida We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the General Fund, the Federal Election Activities Grant Fund, the Ballots on Demand Grant Fund, and the Special Fund of the Pinellas County, Florida Supervisor of Elections (the “Supervisor of Elections”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Supervisor of Elections’ financial statements, and have issued our report thereon dated February 12, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. The financial statements present only each major fund and do not purport to, and do not, present fairly the financial position of the Supervisor of Elections, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered Supervisor of Elections’ internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of Supervisor of Elections’ internal control. Accordingly, we do not express an opinion on the effectiveness of Supervisor of Elections’ internal control. Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that were not identified. However, as described in the accompanying schedule of findings and responses, we identified certain deficiencies in internal control that we consider to be material weaknesses and significant deficiencies. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. We consider the deficiency described in the accompanying schedule of findings and responses as 2014-001 to be a material weakness.
17.
A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. We consider the deficiency described in the accompanying schedule of findings and responses as 2015-001 to be a significant deficiency. Compliance and Other Matters As part of obtaining reasonable assurance about whether the Supervisor of Elections’ financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Supervisor of Elections’ Response to Findings The Supervisor of Elections’ response to the findings identified in our audit is described in the accompanying schedule of findings and responses. The Supervisor of Elections’ response was not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on it. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the Supervisor of Elections’ internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Supervisor of Elections’ internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Crowe Horwath LLP Tampa, Florida February 12, 2016
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
SCHEDULE OF FINDINGS AND RESPONSES Year Ended September 30, 2015
Section I - Summary of Auditor’s Results Financial Statements Type of auditor’s report issued Unmodified Internal control over financial reporting Material weakness identified? Yes Significant deficiencies identified not considered to be material weaknesses? Yes Noncompliance material to financial statements noted? No Section II - Financial Statement Findings
Material Weakness:
2014-001 - Year End Close Process
Condition: The Supervisor of Elections did not utilize effective period end financial statement
close procedures which enable the preparation of accurate financial statements and related disclosures. Specifically we identified the following deficiencies in the procedures: • Incorrect presentation of material debt service and capital outlay expenditures
on the general ledger. • Material Federal Election Activities grant expenditures that were outside of the
period of availability were charged to the grant, although this was subsequently corrected by management.
Criteria: The period end financial statement close procedures are the processes in which
the results of all of the various transactions are summarized, reviewed, consolidated, edited and prepared in a timely and efficient manner into the financial reports. This process begins with the preparation of the trial balance and ends with the preparation of the year-end financial statements and related disclosures. The process includes closing the general ledger and preparing the trial balance, accumulating and posting journal entries, drafting the financial statements and disclosures and preparing management’s discussion and analysis. These procedures should be followed in order to facilitate the timely preparation of year-end financial statements in accordance with generally accepted accounting principles.
Cause: There were deviations in the established controls. Effect: An effective year-end financial reporting process was not followed that allowed for
accurate year-end financial statements to be prepared by the Supervisor of Elections.
19.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
SCHEDULE OF FINDINGS AND RESPONSES Year Ended September 30, 2015
Section II - Financial Statement Findings (Continued) Material Weakness: 2014-001 – Year End Close Process Recommendation: The Supervisor of Elections should review its procedures related to the financial
statement close process and determine the appropriateness of those processes for preventing and detecting misstatements and for preparing accurate financial statements. The Supervisor of Elections should considering utilizing tools such as year-end entry checklists, GAAP disclosure checklists, mechanical checks of draft financial reports for accuracy, etc. to enhance and strengthen its existing procedures.
Views of Responsible Officials: We will evaluate our future resources and will add any necessary changes needed
as they are identified throughout the year. Significant Deficiency:
2015-001 - Internal Control Over Financial Reporting
Condition: During our tests of internal control effectiveness, the following exceptions were
noted: • Missing supporting documentation for one expenditure out of 32 expenditures
sampled for year-end internal control effectiveness testing. • Lack of supporting documentation for one deposit out of 32 deposits sampled
for year-end internal control effectiveness testing. • Lack of documented approval for an inter-bank transfer between the General
Fund and the Federal Election Activities Fund. Criteria: Auditing standards require management to have internal controls in place to
provide appropriate and reliable financial reports and to select and apply appropriate accounting principles.
Cause: There were deviations in the established controls. Effect: A lack of effective internal control over financial reporting could lead to material
errors in financial statement reporting. Recommendation: The Supervisor of Elections should review its current internal control procedures
with all applicable staff to ensure that established procedures are followed and any control updates occur appropriately.
Views of Responsible Officials: We have taken corrective actions to address the findings and will increase our end-
of-year review of our internal audit before Year End close.
20.
PINELLAS COUNTY, FLORIDA SUPERVISOR OF ELECTIONS
SUMMARY OF PRIOR YEAR FINDINGS Year Ended September 30, 2014
2014-001 – Year End Close Process Status: This finding has been modified. See updated finding 2014-001 above.
21.
Crowe Horwath LLP Independent Member Crowe Horwath International
The Honorable Deborah Clark Supervisor of Elections Pinellas County, Florida Clearwater, Florida Report on the Financial Statements We have audited the financial statements of the General Fund, the Federal Election Activities Grant Fund, and the Ballots on Demand Grant Fund of the Pinellas County, Florida Supervisor of Elections (the “Supervisor of Elections”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Supervisor of Elections’ financial statements, and have issued our report thereon dated February 12, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. The financial statements present only each major fund and do not purpose to, and do not, present fairly the financial position of the Supervisor of Elections, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Auditor’s Responsibility We conducted our audit in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards
issued by the Comptroller General of the United States; and Chapter 10.550, Rules of the Auditor General. Other Reports We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Account’s Report on an examination conducted in accordance with AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated February 12, 2016, should be considered in conjunction with this management letter. Prior Audit Findings Section 10.554(1)(i)1, Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. Corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. See below for the status of the prior year finding: Finding 2014-001 – Year End Close Status: This finding has been modified. See updated finding 2014-001. Other Matters Section 10.554(1)(i)2, Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations.
(Continued)
22.
Section 10.554(1)(i)3, Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Auditor General of the State of Florida, and applicable management and is not intended to be and should not be used by anyone other than these specified parties. Crowe Horwath LLP Tampa, Florida February 12, 2016
23.
Crowe Horwath LLP Independent Member Crowe Horwath International
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES
The Honorable Deborah Clark Supervisor of Elections Pinellas County, Florida Clearwater, Florida We have examined the Pinellas County, Florida Supervisor of Elections’ (the “Supervisor of Elections”) compliance with Section 218.415, Florida Statutes, concerning the investment of public funds during the year ended September 30, 2015. Management is responsible for the Supervisor of Elections’ compliance with those requirements. Our responsibility is to express an opinion on the Supervisor of Elections’ compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the Supervisor of Elections’ compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the Supervisor of Elections’ compliance with specified requirements. In our opinion, the Supervisor of Elections complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida February 12, 2016
24.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
FINANCIAL STATEMENTS
September 30, 2015
PINELLAS COUNTY, FLORIDA TAX COLLECTOR Clearwater, Florida
FINANCIAL STATEMENTS September 30, 2015
CONTENTS
INDEPENDENT AUDITOR’S REPORT ........................................................................................................ 1 FINANCIAL STATEMENTS BALANCE SHEET GENERAL FUND ................................................................................................. 4 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE GENERAL FUND ............................................................................................................. 5 STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES AGENCY FUND .................................... 6 NOTES TO FINANCIAL STATEMENTS ................................................................................................ 7 REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL (BUDGETARY BASIS) GENERAL FUND ............................................... 16 NOTE TO REQUIRED SUPPLEMENTARY INFORMATION .............................................................. 17 OTHER FINANCIAL INFORMATION STATEMENT OF CHANGES IN FIDUCIARY ASSETS AND LIABILITIES – AGENCY FUND ........... 18 NOTE TO OTHER FINANCIAL INFORMATION .................................................................................. 19 COMPLIANCE REPORTS INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS ...................... 20
MANAGEMENT LETTER ..................................................................................................................... 22
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES ........................................................................................ 24
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
1.
INDEPENDENT AUDITOR'S REPORT The Honorable Diane Nelson, Tax Collector Pinellas County, Florida Clearwater, Florida Report on the Financial Statements We have audited the accompanying financial statements of the general fund and the aggregate remaining fund information of the Pinellas County, Florida Tax Collector (the “Tax Collector”), a component unit of Pinellas County, Florida, as of and for the year ended September 30, 2015, and the related notes to the 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 in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the 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 conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks 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 preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made 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 our audit opinions. Opinions In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the general fund and the aggregate remaining fund information of the Tax Collector, as of September 30, 2015 and the respective changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.
(Continued)
2.
Emphasis of Matters As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. The financial statements present only the general fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Pinellas County, Florida Tax Collector, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinion is not modified with respect to this matter. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the budgetary comparison information on pages 18-19 be presented to supplement the financial statements. Such information, although not a part of the financial statements, is required by Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. We applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the financial statements, and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Tax Collector’s financial statements. The statement of changes in fiduciary assets and liabilities – agency fund is presented for purposes of additional analysis and is not a required part of the financial statements. The statement of changes in fiduciary assets and liabilities – agency fund is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the financial statements. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, based on our audit, procedures performed as described above, the statement of changes in fiduciary assets and liabilities – agency fund is fairly stated, in all material respects, in relation to the financial statements as a whole.
3.
Restriction on Use Our report is intended solely for the information and use of the Tax Collector, the Board of County Commissioners of Pinellas County, Florida, and the Auditor General of the State of Florida, and is not intended to be and should not be used by anyone other than these specified parties. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated January 19, 2016 on our consideration of the Tax Collector’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Tax Collector’s internal control over financial reporting and compliance. Crowe Horwath LLP
Tampa, Florida January 19, 2016
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
BALANCE SHEET – GENERAL FUND September 30, 2015
See accompanying notes to financial statements.
4.
ASSETS
Cash 15,648,031$ Accounts receivable 1,880 Due from Pinellas County, Florida Board of County Commissioners 140 Due from other governmental agencies 1,075
Total assets 15,651,126$
LIABILITIES AND FUND BALANCELiabilities
Accounts payable 88,732$ Accrued liabilities 446,479 Due to Pinellas County, Florida
Board of County Commissioners 14,222,104 Due to other governmental agencies 876,191 Due to individuals and businesses 17,620
Total liabilities 15,651,126
Fund balance -
Total liabilities and fund balance 15,651,126$
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – GENERAL FUND
Year Ended September 30, 2015
See accompanying notes to financial statements.
5.
RevenuesCommissions and fees 30,406,695$ Miscellaneous 75,135
Total revenues 30,481,830
ExpendituresGeneral government
Personal services 17,112,559 Operating 3,476,461
Capital outlay 99,300 Distribution of unused commissions and fees to other governmental agencies 874,891
Total expenditures 21,563,211
Excess of revenues over expenditures 8,918,619
Other financing useTransfer out
Distribution of unused commissions and fees to Pinellas County, FloridaBoard of County Commissioners (8,918,619)
Net change in fund balance -
Fund balance at beginning of year -
Fund balance at end of year -$
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES – AGENCY FUND
September 30, 2015
See accompanying notes to financial statements.
6.
ASSETS
Cash 15,857,464$ Due from individuals and businesses 2,302,648 Due from other governmental agencies 53,973
Total assets 18,214,085$
LIABILITIES
Due to individuals and businesses 753,653$ Due to other governmental agencies 17,460,432
Total liabilities 18,214,085$
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
7.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES The following is a summary of the significant accounting principles and policies used in the preparation of the accompanying financial statements. Reporting Entity: The Pinellas County, Florida Tax Collector (the “Tax Collector”) is an elected constitutional officer as provided for by the Constitution of the State of Florida. Pursuant to Section 195.087, Florida Statutes, the Tax Collector’s budget is submitted to the Florida Department of Revenue for approval, and a copy is forwarded to the Pinellas County, Florida Board of County Commissioners (the “Board”). In addition, for financial reporting purposes, the Tax Collector is included in Pinellas County, Florida’s (the “County”) basic financial statements as a blended component unit of the County. Basis of Presentation: These financial statements include the general fund and the agency fund of the Tax Collector’s office. The accompanying financial statements were prepared for purposes of complying with Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. Chapter 10.550, Rules of the Auditor General, requires the Tax Collector’s financial statements to present only fund financial statements. Accordingly, due to the omission of government-wide financial statements and related disclosures, these financial statements do not constitute a complete presentation of the financial position of the Tax Collector as of September 30, 2015, and the changes in its financial position for the year then ended, in conformity with Governmental Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements-and Management’s Discussion and Analysis-for State and Local Governments, but otherwise constitute financial statements prepared in conformity with accounting principles generally accepted in the United States of America. The Tax Collector utilizes the following fund types: General Fund - A major governmental fund, is used to account for all revenues and expenditures applicable to the general operations of the Tax Collector that are not required either legally or by accounting principles generally accepted in the United States of America to be accounted for in another fund. Fiduciary Fund - The agency fund is custodial in nature and does not involve measurement of results of operations or have a measurement focus. The agency fund is used to account for assets held by the Tax Collector in a trustee capacity or as agent for individuals, private organizations, and other governments. GASB Statement No. 54, Fund Balance Reporting and Governmental Fund-Type Definitions, requires that fund balances be reported in classifications based on whether the amounts are spendable or non-spendable. Spendable amounts are further classified as restricted, committed, assigned or unassigned based on the extent to which there are external and/or internal constraints on how fund balance amounts may be spent. GASB Statement No. 54 does not have an impact on the Tax Collector’s financial statements since the Tax Collector does not maintain fund balances. Basis of Accounting: Basis of accounting refers to when revenues and expenditures are recognized in the accounts and reported in the financial statements. Basis of accounting refers to the timing of the measurements made, regardless of the measurement focus applied. The modified accrual basis of accounting is followed by the Tax Collector for its general fund. Under the modified accrual basis of accounting, revenues are recognized when they become both measurable and available to finance expenditures of the current period. Expenditures are recorded when the liability is incurred, except for accumulated vacation pay, which are not recorded until they become due.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
8.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) Charges for services on the collection of property taxes are recognized as revenue in the fiscal year for which taxes are levied, provided they are collected within 60 days after the end of the fiscal year. Certain other miscellaneous revenues are recorded as revenues when received because they are generally not measurable until actually received. Investment earnings are recorded as earned. Substantially all of the Tax Collector’s revenues are received from taxing authorities. These moneys are virtually unrestricted and are revocable only for failure to comply with prescribed compliance requirements. These resources are reflected as revenues at the time of receipt; earlier if the “susceptible to accrual” criteria are met. Interest income and other revenues are recognized as they are earned and become measurable and available to pay liabilities of the current period. Florida Statutes provide that the amount by which revenues exceed annual expenditures be distributed to the Board following the fiscal year for which the funding was provided and during which other revenues were recognized. Florida Statutes further provide that the excess of revenue over expenditures held by the Tax Collector be distributed to each governmental agency in the same portion as the commissions and fees paid by each governmental agency bear to total commission and fee revenues. The amounts of these distributions are recorded as liabilities and as expenditures in the accompanying financial statements. The agency fund is presented using the accrual basis of accounting and has no measurement focus. Property Taxes: Taxes in Pinellas County are levied by the Board and other taxing authorities. The millage levies are determined on the basis of estimates of revenue needs and the total taxable valuations within the jurisdiction of the Board and other tax authorities. No aggregate ad valorem tax millage in excess of 10 mills on the dollar can be levied by the Board against property in the County as specified in Section 200.071, Florida Statutes. Each year, the total taxable property valuation is established by the Pinellas County, Florida Property Appraiser, and the list of property assessments is submitted to the Florida Department of Revenue for approval. Taxes, assessed as of January 1 of each year, are due and payable on November 1 of each year or as soon thereafter as the assessment roll is opened for collection. Pursuant to Florida law, all owners of property have the responsibility of ascertaining the amount due and paying it before April 1 of the year following the year in which the tax was assessed. Property Tax Collections: Chapter 197, Florida Statutes, governs property tax collections. Current Taxes: All property taxes become due and payable on November 1 and are delinquent on April 1 of the following year. Discounts of 4%, 3%, 2%, and 1% are allowed for early payment in November through February, respectively.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
9.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) Tax Deeds: The owner of a tax certificate may, after two years when the taxes have been delinquent (after April 1), file an application for tax deed sale. The County, as a certificate owner, is required to exercise similar procedures two years after taxes have been due (November 1). Tax deeds are issued to the highest bidder for the property, which is sold at public auction. The Clerk of the Circuit Court of the County administers these sales. Cash and Investments: Cash consists of checking and savings accounts, collectively designated as cash deposits. Cash deposits are carried at cost. The Tax Collector deposits cash in qualified public depositories. The deposits are fully insured by the Federal Deposit Insurance Corporation and/or secured by the multiple financial institution collateral pool established under Chapter 280, Florida Statutes. In accordance with these statutes, qualified public depositories are required to pledge eligible collateral in varying percentages. Any losses to public depositors are covered by applicable deposit insurance, by the sale of pledged securities and, if necessary, by assessments against other qualified public depositories. Section 218.415, Florida Statutes, authorizes the Tax Collector to invest in obligations of the U.S. government, its agencies and instrumentalities, and certain other investments. Investments are stated at fair value. Compensated Absences: In accordance with GASB Statement No. 16, Accounting for Compensated Absences, the Tax Collector determines the liability for compensated absences, as well as certain other salary-related costs associated with the payment of compensated absences that are recorded and reported by the County in its basic financial statements. Vacation leave is accrued as a liability as the benefits are earned by the employees. All full-time employees of the Tax Collector are entitled to vacation time with full pay. Employees are allowed to accumulate vacation leave with no maximum; however; upon termination, employees are paid out for no more than three times their annual accrual rate. Vacation payments are included in operating costs when the payments are made to the employees. The Tax Collector does not, nor is legally required to accumulate financial resources for these unmatured obligations. Accordingly, the liability for compensated absences is not reported in the general fund, but rather is reported in the basic financial statements of the County. Capital Assets: Capital assets used in operations are capitalized in the basic financial statements of the County rather than in the general fund of the Tax Collector. Capital assets are items with individual costs of $1,000 or more with useful lives of more than one year. Upon acquisition, such assets are recorded as capital outlay expenditures in the general fund of the Tax Collector, and are capitalized at cost in the basic financial statements of the County. Capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. The Tax Collector maintains custodial responsibility for the capital assets it uses. No depreciation expense has been provided on capital assets in these financial statements. However, depreciation expense on these assets is recorded in the basic financial statements of the County.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
10.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) New Accounting Pronouncements: The following GASB pronouncements were adopted by the Tax Collector during the year ended September 30, 2015. Adoption of these pronouncements did not have a material impact on the Tax Collector’s financial statements. In June 2012, the GASB issued Statement 68, Accounting and Financial Reporting for Pensions. This Statement replaces the requirements of Statement No. 27, Accounting for Pensions by State and Local Governmental Employers and Statement No. 50, Pension Disclosures, as they relate to governments that provide pensions through pension plans administered as trusts or similar arrangements that meet certain criteria. Statement 68 requires governments providing defined benefit pensions to recognize their long-term obligation for pension benefits as a liability for the first time, and to more comprehensively and comparably measure the annual costs of pension benefits. The Statement also enhances accountability and transparency through revised and new note disclosures and required supplementary information (RSI). In January 2013, the GASB issued Statement 69, Government Combinations and Disposals of Government Operations. This Statement establishes accounting and financial reporting standards related to government combinations and disposals of government operations. As used in this Statement, the term government combinations includes a variety of transactions referred to as mergers, acquisitions, and transfers of operations. The distinction between a government merger and a government acquisition is based upon whether an exchange of significant consideration is present within the combination transaction. Government mergers include combinations of legally separate entities without the exchange of significant consideration. This Statement requires the use of carrying values to measure the assets and liabilities in a government merger. Conversely, government acquisitions are transactions in which a government acquires another entity, or its operations, in exchange for significant consideration. This Statement requires measurements of assets acquired and liabilities assumed generally to be based upon their acquisition values as well as provides guidance for transfers of operations that do not constitute entire legally separate entities and in which no significant consideration is exchanged. This Statement defines the term operations for purposes of determining the applicability of this Statement and requires the use of carrying values to measure the assets and liabilities in a transfer of operations. A disposal of a government’s operations results in the removal of specific activities of a government. This Statement provides accounting and financial reporting guidance for disposals of government operations that have been transferred or sold as well as requires disclosures to be made about government combinations and disposals of government operations to enable financial statement users to evaluate the nature and financial effects of those transactions. In November 2013, GASB released Statement No. 71 Pension Transition for Contributions Made Subsequent to the Measurement Date – An Amendment of GASB Statement No. 68. This Statement is effective for fiscal years beginning after June 15, 2014 and is required to be applied simultaneously with the provisions of Statement No. 68. The objective of this Statement is to address an issue regarding application of the transition provisions of Statement No. 68 “Accounting and Financial Reporting for Pensions”. The issue relates to the amounts associated with contributions to a defined benefit pension plan after the measurement date of the government’s beginning net pension liability.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
11.
NOTE 2 - CASH AND INVESTMENTS At September 30, 2015, the carrying value of the Tax Collector’s cash and investments were:
Carrying Credit Value Rating Cash on hand $ 49,250 N/A Demand deposits 31,456,245 N/A Total cash and investments $ 31,505,495
Such amounts are reported as $15,648,031 and $15,857,464 in the general fund and agency fund, respectively. Custodial Credit Risk: At September 30, 2015, the Tax Collector’s deposits were entirely covered by federal depository insurance or by collateral pledged with the Chief Financial Officer of the State of Florida pursuant to Chapter 280, Florida Statutes. Under this chapter, in the event of default by a participating financial institution (a qualified public depository), all participating institutions are obligated to reimburse the governmental entity for any loss. In addition, the Tax Collector’s investments are not exposed to custodial credit risk because their existence is not evidenced by securities that exist in physical or book entry form. NOTE 3 - LEASE OBLIGATIONS Operating Leases: The Tax Collector pays rent under operating leases for its various offices. These leases are cancelable if funds are not appropriated for their purpose and are not enforceable against a new administration. The following is a schedule of future minimum lease payments under operating leases:
Fiscal Year Ending 2016 $ 1,132,453 2017 947,651 2018 578,762 2019 596,819 2020 615,597 2021-2025 2,422,204
Total $ 6,293,486
Rental expense, which includes insurance and real estate taxes required under the lease agreements, for all operating leases for the year ended September 30, 2015, was $1,160,709. There were no contingent rentals or sublease rentals associated subleases in effect at September 30, 2015.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
12.
NOTE 4 - ACCUMULATED COMPENSATED ABSENCES The amount of vested accumulated compensated absences payable based upon the Tax Collector’s annual leave policy is reported as a liability in the statement of net position in the County’s basic financial statements. The changes in accumulated compensated absences during the year ended September 30, 2015, were as follows:
Compensated absences at beginning of year $ 990,239 Additions 1,215,073 Deductions (1,182,981) Compensated absences at end of year $ 1,022,331
Of this liability, approximately $785,150 is expected to be paid within the fiscal year ended September 30, 2015. NOTE 5 - EMPLOYEE RETIREMENT PLAN Substantially all full-time employees of the Tax Collector are eligible to participate in the State of Florida Retirement System (the “System”), a cost-sharing, multiple-employer defined benefit plan administered by the State of Florida, Division of Retirement. The System is a defined benefit plan for all state, and participating county, district school board, community college, and university employees (the “Pension Plan”). The System also offers eligible employees participation in an alternative defined contribution plan (the “Investment Plan”). The Tax Collector participates in the Elected State Officers’ Class. Contribution rates are established statewide for all participating governmental units. Accordingly, the actuarial information and related disclosures attributable to the Tax Collector’s employees are not determinable. Employees participating in the Pension Plan who retire at or after age 62 with 6 years of credited service, or with 30 years of service regardless of age, are entitled to a retirement benefit payable monthly for life, equal to 1.6% for regular employees, 2.0% for senior management, and 3.0% for county elected officials for each year of credited service times their average final compensation. Average final compensation is the employee’s average of the five highest fiscal years of salary earned during credited service. Vested employees may retire before age 62 and receive benefits that are reduced 5% for each year prior to normal retirement age. Employees participating in the Investment Plan are vested after one year of service with no age requirements. The System also provides death and disability benefits. Benefits are established by Section 121, Florida Statutes and Chapter 22B, Florida Administrative Code. Effective July 1, 2011, employees participating in the System are required to contribute 3 percent of their eligible earnings on a pre-tax basis to the plan. Employees initially enrolled on or after July 1, 2011 become vested after 8 years of service instead of 6. Benefits are computed using the average of their highest 8 years of earnings instead of their highest 5 years. Normal retirement is based on 35 years of service regardless of age or at age 65 and vested for all classes except Special Risk Class members who must have 30 years of service regardless of age, or at age 60 and vested.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
13.
NOTE 5 - EMPLOYEE RETIREMENT PLAN (Continued) The Deferred Retirement Option Program (“DROP”) is a program that provides an alternative method for payment of retirement benefits for a specified and limited period for members of the System, effective July 1, 1998. Under this program, the employee may retire and have their benefits accumulate in the Florida Retirement System Trust Fund, earning interest, while continuing to work for a System employer. The participation in the program does not change conditions of employment. When the DROP period ends, maximum of 60 months, employment must be terminated. At the time of termination of employment, the employee will receive payment of the accumulated DROP benefits and begin receiving their monthly retirement benefit (in the same amount determined at retirement adjusted, if applicable, by annual cost of living increases). The System publishes an annual report that provides 10-year historical trend information about progress made in accumulating sufficient assets to pay benefits when due. This report may be obtained by writing to Division of Retirement, Research and Education Section, 1317 Winewood Boulevard, Building 8, Tallahassee, Florida 32399-1560, or by calling (877) 377-1737 or by accessing their internet site at: http://dms.myforida.com/human_resource_support/retirement/publications/system_infomation/annual_reports The Tax Collector is required to contribute an actuarially determined rate. The contribution requirements of the Tax Collector are established and may be amended by the State of Florida. The contribution rates are established by fiscal year, beginning each July 1. The contribution rates by job class were as follows: elected county officers 43.24%, regular 7.37%, senior management 21.14%, and DROP employees 12.28% from July 1, 2014 through June 30, 2015; and elected county officers 42.27%, regular 7.26%, senior management 21.43%, and DROP employees 12.88% from July 1, 2015 through September 30, 2015. The Tax Collector’s contributions to the plan for the years ended September 30, 2015 and 2014 were $994,539 and $924,724, respectively, equal to the required contributions for each year. The Tax Collector’s portion of the net pension liability and the associated footnotes are not reported in the financial statements of the Tax Collector, but are reported in the basic financial statements of the County. NOTE 6 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS (OPEB) PLAN Plan Description: The Tax Collector participates in a single-employer defined benefit health care plan that covers eligible retirees of the Board, all constitutional officers with the exception of the Sheriff, and the Pinellas County Planning Council. The Board administers the plan and establishes and may amend its benefits. The health care plan does not issue a stand-alone financial report; however, additional actuarial information regarding the plan as a whole is disclosed in the notes to the financial statements of the County. The County pays a percentage of the premium for medical and dental insurance for the former employees with at least 10 years of service who retired prior to October 1, 2004, equivalent to that paid for active employees. For non-Medicare eligible retirees, employees enrolled in DROP and those within five years of normal System retirement prior to October 1, 2004, with ten years of service, the County will continue funding at the same level as active employees. For employees not part of the previously mentioned groups who retire on or after October 1, 2004, a health insurance subsidy based on length of service will be provided. The subsidy will range from 25.00% of the premium for ten years’ service, increasing by 3.33% per year of service to 75.00% for 25 years or more, calculated on the single premium of the lowest cost plan.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
14.
NOTE 6 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS (OPEB) PLAN (Continued) Funding Policy: The contribution requirements of the plan members and the employers are established and may be amended by the County. The plans are financed on a pay-as-you-go basis. Participating agencies contribute an additional amount per each active employee to fund retiree health care. The Tax Collector contributed $879,620 to the plan during the year ended September 30, 2015 to fund OPEB benefits. The annual other post-employment benefit cost for both plans is calculated based on the annual required contribution of the employer (the “ARC”), an amount actuarially determined in accordance with GASB Statement No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal costs each year and amortize any unfunded actuarial liabilities over a period not to exceed 30 years. An actuarial valuation of the plan as a whole was performed as of October 1, 2011. The notes to the financial statements and required supplemental information of the County disclose additional information regarding the OPEB plan as a whole. NOTE 7 - RELATED-PARTY TRANSACTIONS The Tax Collector incurred costs and charges to the Board during fiscal year 2015 for various services as follows:
Insurance $ 3,919,351Risk financing 90,431Other charges 170,650 $ 4,180,432
The Board paid commissions to the Tax Collector during the year ended September 30, 2015 that amounted to $18,948,013. At September 30, 2015, the Tax Collector had payables due to the Board of $14,222,104, comprised of the following:
Distribution of unused commissions and fees $ 8,918,619Amounts due for various services 178,500Amounts collected on behalf of the Board 5,124,985 $ 14,222,104
NOTE 8 - COMMITMENTS AND CONTINGENCIES Litigation: The Tax Collector is involved as a defendant or plaintiff in certain litigation and claims arising from the ordinary course of operations. Any judgments against the Tax Collector would be settled by the Board. In the opinion of the Tax Collector and legal counsel, the range of potential recoveries or liabilities will not materially affect the financial position of the Tax Collector as of September 30, 2015, or changes in its financial position for the year then ended.
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTES TO FINANCIAL STATEMENTS September 30, 2015
15.
NOTE 9 - RISK MANAGEMENT The County is exposed to various risks of loss, including but not limited to general liability, property and casualty, auto and physical damage, and workers’ compensation. The County is substantially self-insured and accounts for and finances its risks of uninsured loss through an internal service fund. All liabilities associated with these self-insured risks are reported in the basic financial statements of the County. During the year ended September 30, 2015, the Tax Collector was charged $90,431 by the County for participation in the risk management program. Under this self-insured program, the County provides coverage for up to $1.5 million per claim for workers’ compensation, auto, and general liability and claims under the self-insurance risk management fund. The County also has purchased outside excess coverage for up to $15 million in the aggregate. Negligence claims in excess of the statutory limits set in Section 768.28, Florida Statutes, which provide for limited sovereign immunity of $100,000/$200,000 per occurrence can only be recovered through an act of the Florida Legislature. There have been no significant reductions in insurance coverage in the last year. Settled claims have not exceeded commercial coverage in the last three years. The County is also self-insured for medical and dental claims covering all of its employees and their eligible dependents. As required by Section 112.081, Florida Statutes, retirees and their eligible dependents are provided the same health care coverage as is offered to active employees at the same premium cost (borne by the retiree) applicable to active employees. No excess insurance coverage has been acquired for these claims. An actuarial valuation is performed each year to estimate the amount needed to pay prior and future claims and to establish reserves.
REQUIRED SUPPLEMENTARY INFORMATION
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL (BUDGETARY BASIS) – GENERAL FUND
Year Ended September 30, 2015
See accompanying note.
16.
Variance withFinal Budget
PositiveOriginal Final Actual (Negative)
RevenuesCommissions and fees 30,718,470$ 30,718,470$ 30,406,695$ (311,775)$ Miscellaneous 44,670 44,670 75,135 30,465
Total revenues 30,763,140 30,763,140 30,481,830 (281,310)
ExpendituresGeneral government
Personal services 17,395,712 17,614,332 17,112,559 501,773 Operating 3,609,601 3,609,601 3,476,461 133,140
Capital outlay 162,890 162,890 99,300 63,590 Total expenditures 21,168,203 21,386,823 20,688,320 698,503
Excess of revenues over expenditures 9,594,937 9,376,317 9,793,510 417,193
Other financing usesDistribution of unused commissions and fees
to Pinellas County, Florida Board of County Commissioners (8,732,227) (8,533,264) (8,918,619) (385,355)
Distribution of unused commissions and feesto other governmental agencies (862,710) (843,053) (874,891) (31,838)
Total other financing uses (9,594,937) (9,376,317) (9,793,510) (417,193)
Excess of revenues over expendituresand other financing uses -$ -$ -$ -$
Budget
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION September 30, 2015
17.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – BUDGETARY PROCESS Section 195.087, Florida Statutes, governs the preparation, adoption, and administration of the Pinellas County, Florida Tax Collector’s (the “Tax Collector”) annual budget. The Tax Collector prepares a budget for the general fund and submits it to the Florida Department of Revenue for approval. A copy of the approved budget is provided to the Pinellas County, Florida Board of County Commissioners (the “Board”). Any subsequent amendments must be approved by the Florida Department of Revenue. The annual budget serves as the legal authorization for expenditures. Expenditures may not legally exceed appropriations at the fund level. Appropriations lapse at year-end. Budgetary control is maintained at the departmental major object expenditure level. Budgetary changes within major object expenditure categories are made at the discretion of the Tax Collector. The original budget is the first complete appropriated budget. The final budget is the original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized changes applicable to the fiscal year, whenever legally authorized. The Tax Collector’s budget is prepared on a basis of accounting that differs from accounting principles generally accepted in the United States of America (“GAAP”). Certain long-term unappropriated capital outlay obligations entered into by the Tax Collector are not recognized as a liability under the budgetary basis of accounting; however, the entire obligation is recognized under GAAP, and debt service payments, capital outlays, and other financing sources are recorded as appropriate. There is also a difference between the budgetary basis of accounting and GAAP in the treatment of unused fee distributions to entities outside of Pinellas County, Florida’s (the “County”) reporting entity. On a budgetary basis, distributions of unused fees through these two funds are reported as other financing uses. On a GAAP basis, these distributions are reported as expenditures because there is a reduction in the new financial resources of the County. The actual results of operations in the statement of revenues, expenditures, and changes in fund balance - budget and actual (budgetary basis) - general fund are presented on a budgetary basis. There were no transactions during the year that required adjustments to convert from the budgetary basis of accounting to the GAAP basis of accounting during the year ended September 30, 2015.
OTHER FINANCIAL INFORMATION
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
STATEMENT OF CHANGES IN FIDUCIARY ASSETS AND LIABILITIES – AGENCY FUND Year Ended September 30, 2015
See accompanying note.
18.
Balance BalanceOctober 1, September 30,
2014 Additions Deductions 2015
AssetsCash 14,772,697$ 1,604,643,901$ 1,603,559,134$ 15,857,464$ Due from individuals and
businesses 1,930,067 35,235,154 34,862,573 2,302,648 Due from other governmental
agencies 56,028 111,837 113,892 53,973
Total assets 16,758,792$ 1,639,990,892$ 1,638,535,599$ 18,214,085$
LiabilitiesDue to individuals and
businesses 1,585,326$ 1,808,780,215$ 1,809,611,888$ 753,653 Due to other governmental
agencies 15,173,466 1,610,169,447 1,607,882,481 17,460,432
Total liabilities 16,758,792$ 3,418,949,662$ 3,417,494,369$ 18,214,085$
PINELLAS COUNTY, FLORIDA TAX COLLECTOR
NOTE TO OTHER FINANCIAL INFORMATION September 30, 2015
19.
Agency Fund This fund is used to account for the receipt and distribution of ad valorem taxes, tourist development taxes, special assessment non-ad valorem taxes, and other taxes collected for Pinellas County, Florida and other independent taxing authorities. Additionally, this fund is used to account for the receipt and distribution of moneys collected for the following Florida agencies:
Department of Highway Safety and Motor Vehicles - The Pinellas County, Florida Tax Collector serves as an agent for the Division of Motor Vehicles, processes title applications and transfers, renews and issues license plates and decals, handles boat transfers, and registers both pleasure and commercial boats on an annual basis. As an agent, the Tax Collector also issues driver licenses, commercial driver licenses, non-U.S. citizen licenses, and identification cards. Department of Revenue - Collects sales tax on vessels, motor vehicles, and Lemon Law fees. Florida Fish and Wildlife Conservation Commission - Issues hunting and fishing permits and licenses. Department of Health - As an agent, the Pinellas County, Florida Tax Collector issues birth certificates. Department of Agriculture and Consumer Services - As an agent, the Pinellas County, Florida Tax Collector processes applications for concealed weapons licenses.
COMPLIANCE REPORTS
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
20.
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON
AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
The Honorable Diane Nelson, Tax Collector Pinellas County, Florida Clearwater, Florida We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards
issued by the Comptroller General of the United States, the financial statements of the general fund and the aggregate remaining fund information of the Pinellas County, Florida Tax Collector (the “Tax Collector”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Tax Collector’s financial statements, and have issued our report thereon dated January 19, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General, and are not intended to be a complete presentation of Pinellas County Tax Collector’s assets, liabilities, revenues or expenses. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the Tax Collector’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Tax Collector’s internal control. Accordingly, we do not express an opinion on the effectiveness of the Tax Collector’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
21.
Compliance and Other Matters As part of obtaining reasonable assurance about whether the Tax Collector’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Crowe Horwath LLP Tampa, Florida January 19, 2016
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
22.
The Honorable Diane Nelson, Tax Collector Pinellas County, Florida Clearwater, Florida Report on the Financial Statements We have audited the financial statements of the general fund and the aggregate remaining fund information of the Pinellas County, Florida Tax Collector (the “Tax Collector”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Tax Collector’s financial statements, and have issued our report thereon dated January 19, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General, and are not intended to be a complete presentation of Pinellas County Tax Collector’s assets, liabilities, revenues or expenses. Auditor’s Responsibility We conducted our audit in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States and Chapter 10.550, Rules of the Auditor General. Other Reports We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Account’s Report on an examination conducted in accordance with AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated January 19, 2016, should be considered in conjunction with this management letter. Prior Audit Findings Section 10.554(1)(i)1, Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no findings and recommendations reported in the preceding annual financial audit report. Other Matters
Section 10.554(1)(i)2, Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations.
Section 10.554(1)(i)3, Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings.
23.
Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Auditor General of the State of Florida, and applicable management and is not intended to be and should not be used by anyone other than these specified parties. Crowe Horwath LLP Tampa, Florida January 19, 2016
Crowe Horwath LLP Independent Member Crowe Horwath International
24.
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES
The Honorable Diane Nelson, Tax Collector Pinellas County, Florida Clearwater, Florida We have examined the Pinellas County, Florida Tax Collector’s (the “Tax Collector”) compliance with Section 218.415, Florida Statutes, concerning the investment of public funds during the year ended September 30, 2015. Management is responsible for the Tax Collector’s compliance with those requirements. Our responsibility is to express an opinion on the Tax Collector’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the Tax Collector’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the Tax Collector’s compliance with specified requirements. In our opinion, the Tax Collector complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015. Crowe Horwath LLP Tampa, Florida January 19, 2016
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
FINANCIAL STATEMENTS
September 30, 2015
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
Clearwater, Florida
FINANCIAL STATEMENTS September 30, 2015
CONTENTS
INDEPENDENT AUDITOR’S REPORT ........................................................................................................ 1 FINANCIAL STATEMENTS BALANCE SHEET GENERAL FUND ................................................................................................. 3 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE GENERAL FUND .......................................................................................................... 4 NOTES TO FINANCIAL STATEMENTS ................................................................................................ 5 REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL (BUDGETARY BASIS) GENERAL FUND .......................................... 12 NOTE TO REQUIRED SUPPLEMENTARY INFORMATION .............................................................. 13 COMPLIANCE REPORTS INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS ........................ 14
MANAGEMENT LETTER ..................................................................................................................... 16
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
1.
INDEPENDENT AUDITOR’S REPORT
The Honorable Pam Dubov, Property Appraiser Pinellas County, Florida Clearwater, Florida Report on the Financial Statements We have audited the accompanying financial statements of the general fund of the Pinellas County, Florida Property Appraiser (the “Property Appraiser”), a component unit of Pinellas County, Florida, as of and for the year ended September 30, 2015, and the related notes to the 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 in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the financial statements that are free from material misstatement, whether due to fraud or error. Auditor’s Responsibility Our responsibility is to express an opinion on the financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks 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 preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made 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 our audit opinion. Opinion In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the general fund of the Property Appraiser as of September 30, 2015, and the changes in financial position thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.
2.
Emphasis of Matter As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. The financial statements present only the general fund and do not purport to, and do not, present fairly the financial position of the Pinellas County, Florida Property Appraiser, as of September 30, 2015, or the changes in its financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinion is not modified with respect to this matter. Other Matter Accounting principles generally accepted in the United States of America require that the budgetary comparison information on page 12 be presented to supplement the financial statements. Such information, although not a part of the financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the financial statements, and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Restriction on Use Our report is intended solely for the information and use of the Property Appraiser, the Board of County Commissioners of Pinellas County, Florida, and the Auditor General of the State of Florida, and is not intended to be and should not be used by anyone other than these specified parties. Report on Other Legal and Regulatory Requirements In accordance with Government Auditing Standards, we have also issued our report dated February 12, 2016 on our consideration of the Property Appraiser’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Property Appraiser’s internal control over financial reporting and compliance. Crowe Horwath LLP Tampa, Florida February 12, 2016
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
See accompanying notes to financial statements.
3.
BALANCE SHEET – GENERAL FUND September 30, 2015
General Fund
ASSETSCash 324,582$ Prepaid items 3,220
Total assets 327,802$
LIABILITIES AND FUND BALANCELiabilities
Accounts payable 6,358$ Accrued liabilities 241,548 Due to Pinellas County, Florida
Board of County Commissioners 68,963 Due to Pinellas County, Florida
constitutional officers 3,032 Due to other taxing districts 7,901
Total liabilities 327,802
Fund balance -
Total liabilities and fund balance 327,802$
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
See accompanying notes to financial statements.
4.
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – GENERAL FUND
Year Ended September 30, 2015
General Fund
RevenuesPinellas County, Florida Board of County Commissioners 10,378,386$ Other taxing districts 1,189,733 Interest 557 Other 3,232
Total revenues 11,571,908
ExpendituresGeneral government
Salaries and benefits 10,300,451 Temporary employees 31,896 Postage 147,947 Telephone 1,316 Printing and reproduction 7,265 Repairs and maintenance 466,170 Travel 17,063 Travel - mileage reimbursement 9,186 Office materials and supplies 87,053 Insurance and Surety 734 Rentals 27,787 Association dues 19,853 Education and training 72,274 Accounting services 18,900 Professional services 159,701
Capital outlay 127,492 Distribution of excess fees to other taxing districts 7,901
Total expenditures 11,502,989
Excess of revenues over expenditures 68,919
Other financing useTransfer out
Distribution of excess fees to Pinellas County, FloridaBoard of County Commissioners (68,919)
Fund balance at beginning of year -
Fund balance at end of year -$
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
5.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES Reporting Entity: The Pinellas County, Florida Property Appraiser (the “Property Appraiser”) is an elected constitutional officer as provided for by the Constitution of the State of Florida. Pursuant to Chapter 129, Florida Statutes, the Property Appraiser’s budget is submitted to the Florida Department of Revenue for approval, and a copy is forwarded to the Pinellas County, Florida Board of County Commissioners (the “Board”). In addition, for financial reporting purposes, the Property Appraiser is included in Pinellas County, Florida’s (the “County”) basic financial statements as a blended component unit of the County. Basis of Presentation: These financial statements include the general fund of the Property Appraiser’s office. The accompanying financial statements were prepared for purposes of complying with Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General. Chapter 10.550, Rules of the Auditor General, requires the Property Appraiser’s financial statements to present only fund financial statements. Accordingly, due to the omission of government-wide financial statements and related disclosures, these financial statements do not constitute a complete presentation of the financial position of the Property Appraiser as of September 30, 2015, and the changes in its financial position for the year then ended, in conformity with Governmental Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements-and Management’s Discussion and Analysis-for State and Local Governments, but otherwise constitute financial statements prepared in conformity with accounting principles accepted in the United States. The Property Appraiser utilizes the following fund type: The general fund, a major governmental fund, is used to account for all revenues and expenditures applicable to the general operations of the Property Appraiser. Basis of Accounting: Basis of accounting refers to when revenues and expenditures are recognized in the accounts and reported in the financial statements. Basis of accounting refers to the timing of the measurements made, regardless of the measurement focus applied. The modified accrual basis of accounting is followed by the Property Appraiser. Under the modified accrual basis of accounting, revenues are recognized when they become both measurable and available to finance expenditures of the current period. Expenditures are recorded when the liability is incurred, except for accumulated sick and vacation pay, which are not recorded until paid. Substantially all of the Property Appraiser’s revenues are received from taxing authorities. These moneys are virtually unrestricted and are revocable only for failure to comply with prescribed compliance requirements. These resources are reflected as revenues at the time of receipt; earlier if the “susceptible to accrual” criteria are met. The Property Appraiser considers revenues collected within 30 days after the balance sheet date to be available. Interest income and other revenues are recognized as they are earned and become measurable and available to pay liabilities of the current period.
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
6.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) Florida Statutes provide that the amount by which revenues exceed annual expenditures be distributed to each governmental agency and the Board in the same portion as the fees paid by each governmental agency immediately following the fiscal year for which the funding was provided or following the fiscal year during which other revenues were recognized. Such excess is adjusted through future commissions. Cash: The Property Appraiser deposits cash in qualified public depositories. The deposits are fully insured by the Federal Deposit Insurance Corporation and/or secured by the multiple financial institution collateral pool established under Chapter 280, Florida Statutes. In accordance with these statutes, qualified public depositories are required to pledge eligible collateral in varying percentages. Any losses to public depositors are covered by applicable deposit insurance, by the sale of pledged securities and, if necessary, by assessments against other qualified public depositories. Section 218.415, Florida Statutes, authorizes the Property Appraiser to invest in obligations of the U.S. government, its agencies and instrumentalities, and certain other investments. Compensated Absences: In accordance with GASB Statement No. 16, Accounting for Compensated Absences, the Property Appraiser determines the liability for compensated absences, as well as certain other salary-related costs associated with the payment of compensated absences that are recorded and reported by the County in its basic financial statements. Vacation leave is accrued as a liability as the benefits are earned by the employees. Sick leave is accrued as a liability but only to the extent that it is probable that the Property Appraiser will compensate the employees for the benefits through cash payments at termination or retirement. All full-time employees of the Property Appraiser are entitled to vacation time with full pay and prior to December 24, 1994, accumulated sick leave. Employees are allowed to accumulate vacation leave with no maximum; however, upon termination, employees are paid out for no more than three times their annual accrual rate and/or one-half of accumulated sick leave. Vacation and sick leave payments are included in operating costs when the payments are made to the employees. The Property Appraiser does not, nor is legally required to, accumulate financial resources for these unmatured obligations. Accordingly, the liability for compensated absences is not reported in the Property Appraiser’s financial statements, but rather, is reported in the basic financial statements of the County. Capital Assets: Capital assets used in operations are capitalized in the basic financial statements of the County rather than in the general fund of the Property Appraiser. Capital assets are items with individual costs of $1,000 or more with useful lives of more than one year. Upon acquisition, such assets are recorded as capital outlay expenditures in the general fund of the Property Appraiser, and are capitalized at cost in the basic financial statements of the County. Capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. The Property Appraiser maintains custodial responsibility for the capital assets it uses. No depreciation expense has been provided on capital assets in these financial statements. However, depreciation expense on these assets is recorded in the basic financial statements of the County. Refund of Excess Fees: Florida Statutes further provide that the excess of revenues over expenditures held by the Property Appraiser be allocated to each governmental agency and the Board in the same proportion as the fees paid by each governmental agency bear to total fee revenues. The amount of this allocation is recorded as a liability and as either a expenditure or other financing use - transfer out, respectively, in the accompanying financial statements.
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
7.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued) Fund Balance: GASB Statement No. 54, Fund Balance Reporting and Governmental Fund-Type Definitions, requires that fund balances be reported in classifications based on whether the amounts are spendable or non-spendable. Spendable amounts are further classified as restricted, committed, assigned or unassigned based on the extent to which there are external and/or internal constraints on how fund balance amounts may be spent. GASB Statement No. 54 does not have an impact on the Property Appraiser’s financial statements since the Property Appraiser does not maintain fund balances. New Accounting Pronouncements: The following GASB pronouncements were adopted by the Property Appraiser during the year ended September 30, 2015. Adoption of these pronouncements did not have a material impact on the Property Appraiser’s financial statements. In June 2012, the GASB issued Statement 68, Accounting and Financial Reporting for Pensions. This Statement replaces the requirements of Statement No. 27, Accounting for Pensions by State and Local Governmental Employers and Statement No. 50, Pension Disclosures, as they relate to governments that provide pensions through pension plans administered as trusts or similar arrangements that meet certain criteria. Statement 68 requires governments providing defined benefit pensions to recognize their long-term obligation for pension benefits as a liability for the first time, and to more comprehensively and comparably measure the annual costs of pension benefits. The Statement also enhances accountability and transparency through revised and new note disclosures and required supplementary information (RSI). In January 2013, the GASB issued Statement 69, Government Combinations and Disposals of Government Operations. This Statement establishes accounting and financial reporting standards related to government combinations and disposals of government operations. As used in this Statement, the term government combinations includes a variety of transactions referred to as mergers, acquisitions, and transfers of operations. The distinction between a government merger and a government acquisition is based upon whether an exchange of significant consideration is present within the combination transaction. Government mergers include combinations of legally separate entities without the exchange of significant consideration. This Statement requires the use of carrying values to measure the assets and liabilities in a government merger. Conversely, government acquisitions are transactions in which a government acquires another entity, or its operations, in exchange for significant consideration. This Statement requires measurements of assets acquired and liabilities assumed generally to be based upon their acquisition values as well as provides guidance for transfers of operations that do not constitute entire legally separate entities and in which no significant consideration is exchanged. This Statement defines the term operations for purposes of determining the applicability of this Statement and requires the use of carrying values to measure the assets and liabilities in a transfer of operations. A disposal of a government’s operations results in the removal of specific activities of a government. This Statement provides accounting and financial reporting guidance for disposals of government operations that have been transferred or sold as well as requires disclosures to be made about government combinations and disposals of government operations to enable financial statement users to evaluate the nature and financial effects of those transactions. In November 2013, GASB released Statement No. 71 Pension Transition for Contributions Made Subsequent to the Measurement Date – An Amendment of GASB Statement No. 68. This Statement is effective for fiscal years beginning after June 15, 2014 and is required to be applied simultaneously with the provisions of Statement No. 68. The objective of this Statement is to address an issue regarding application of the transition provisions of Statement No. 68, Accounting and Financial Reporting for Pensions. The issue relates to the amounts associated with contributions to a defined benefit pension plan after the measurement date of the government’s beginning net pension liability.
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
8.
NOTE 2 - CASH Cash presented in the accompanying financial statement consists of deposits with a carrying value of $324,582. Custodial Credit Risk: At September 30, 2015, the Property Appraiser’s deposits were entirely covered by federal depository insurance or by collateral pledged with the Chief Financial Officer of the State of Florida pursuant to Chapter 280, Florida Statutes. Under this chapter, in the event of default by a participating financial institution (a qualified public depository), all participating institutions are obligated to reimburse the governmental entity for any loss. Credit Risk: The Property Appraiser’s policy is to follow the guidance in Section 219.075, Florida Statutes, regarding the deposit of funds received and the investment of surplus funds. Sections 219.075 and 218.415, Florida Statutes, authorize the Property Appraiser to invest in the Local Government Surplus Funds Trust Fund or any intergovernmental investment pool authorized pursuant to the Florida Interlocal Cooperation Act; Securities and Exchange Commission registered money market funds with the highest credit quality rating from a nationally recognized rating agency; direct obligations of the United States Treasury; federal agencies and instrumentalities; or interest-bearing time deposits and savings accounts in banks organized under the laws of the United States and doing business situated in the State of Florida, savings and loans associations, which are under State supervision, or in federal savings and loan associations located in the State of Florida and organized under federal law and federal supervision, provided that any such deposits are secured by collateral as may be prescribed by law. Additionally, Florida Statutes allow local governments to place public funds with institutions that participate in a collateral pool under the Florida Security for Public Deposits Act. The pool is administered by the State Chief Financial Officer of the State of Florida, who may make additional assessments to ensure that no public funds will be lost. NOTE 3 - ACCUMULATED COMPENSATED ABSENCES The amount of vested accumulated compensated absences payable based upon the Property Appraiser’s annual leave and sick pay policy, is reported as a liability in the statement of net position in the County’s basic financial statements. The changes in accumulated compensated absences during the year ended September 30, 2015 were as follows:
Compensated absences at beginning of year $ 631,672Additions 19,413 Compensated absences at end of year $ 651,085
The entire balance is expected to be paid within a year.
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
9.
NOTE 4 - EMPLOYEE RETIREMENT PLAN Substantially all full-time employees of the Property Appraiser are eligible to participate in the State of Florida Retirement System (System), a cost-sharing, multiple-employer defined benefit plan administered by the State of Florida, Division of Retirement. The System is a defined benefit plan for all state, and participating county, district school board, community college, and university employees (Pension Plan). The System also offers eligible employees participation in an alternative defined contribution plan (Investment Plan). The Property Appraiser participates in the Elected State Officers’ Class. Contribution rates are established statewide for all participating governmental units. Accordingly, the actuarial information and related disclosures attributable to the Property Appraiser’s employees are not determinable. Employees participating in the Pension Plan who retire at or after age 62 with 6 years of credited service, or with 30 years of service regardless of age, are entitled to a retirement benefit payable monthly for life, equal to 1.6% for regular employees, 2.0% for senior management, and 3.0% for county elected officials for each year of credited service times their average final compensation. Average final compensation is the employee’s average of the five highest fiscal years of salary earned during credited service. Vested employees may retire before age 62 and receive benefits that are reduced 5% for each year prior to normal retirement age. Employees participating in the Investment Plan are vested after one year of service with no age requirements. The System also provides death and disability benefits. Benefits are established by Section 121, Florida Statutes and Chapter 22B, Florida Administrative Code. Effective July 1, 2011, employees participating in the System are required to contribute 3 percent of their eligible earnings on a pre-tax basis to the plan. Employees initially enrolled on or after July 1, 2011 become vested after 8 years of service instead of 6. Benefits are computed using the average of their highest 8 years of earnings instead of their highest 5 years. Normal retirement is based on 35 years of service regardless of age or at age 65 and vested for all classes except Special Risk Class members who must have 30 years of service regardless of age, or at age 60 and vested. The Deferred Retirement Option Program (DROP) is a program that provides an alternative method for payment of retirement benefits for a specified and limited period for members of the System, effective July 1, 1998. Under this program, the employee may retire and have their benefits accumulate in the Florida Retirement System Trust Fund, earning interest, while continuing to work for a system employer. The participation in the program does not change conditions of employment. When the DROP period ends, maximum of 60 months, employment must be terminated. At the time of termination of employment, the employee will receive payment of the accumulated DROP benefits and begin receiving their monthly retirement benefit (in the same amount determined at retirement adjusted, if applicable, by annual cost of living increases). The System publishes an annual report that provides 10-year historical trend information about progress made in accumulating sufficient assets to pay benefits when due. This report may be obtained by writing to Division of Retirement, Research and Education Section, 1317 Winewood Boulevard, Building 8, Tallahassee, Florida 32399-1560, or by calling (877) 377-1737 or by accessing their internet site at: http://dms.myforida.com/human_resource_support/retirement/publications/system_infomation/annual_reports.
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
(Continued)
10.
NOTE 4 - EMPLOYEE RETIREMENT PLAN (Continued) The Property Appraiser is required to contribute an actuarially determined rate. The contribution requirements of the Property Appraiser are established and may be amended by the State of Florida. The contribution rates are established by fiscal year, beginning each July 1. The contribution rates by job class were as follows: elected county officers 33.03%, regular 6.95%, senior management 18.31%, and DROP employees 12.84% from October 1, 2013 through June 30, 2014; elected county officers 43.24%, regular 7.37%, senior management 21.14%, and DROP employees 12.28% from October 1, 2014 through June 30, 2015; and elected county officers 42.27%, regular 7.26%, senior management 21.43%, and DROP employees 12.88% from July 1, 2015 through September 30, 2015. The Property Appraiser’s contributions to the plan for the years ended September 30, 2015 and 2014 were $660,500 and $650,453, respectively, equal to the required contributions for each year. This represents 9.42% and 9.62% of covered payroll, respectively. The Property Appraiser’s portion of the net pension liability and the associated footnotes are not reported in the financial statements of the Property Appraiser, but are reported in the basic financial statements of the County. NOTE 5 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS (OPEB) PLAN Plan Description: The Property Appraiser participates in a single-employer defined benefit health care plan that covers eligible retirees of the Board, all constitutional officers with the exception of the Sheriff, and the Pinellas County Planning Council. The Board administers the plan and establishes the benefits. The health care plan does not issue a stand-alone financial report; however, additional actuarial information regarding the plan as a whole is disclosed in the notes to the financial statements of the County. The County pays a percentage of the premium for medical and dental insurance for former employees with at least ten years of service who retired prior to October 1, 2004, equivalent to that paid for active employees. For non-Medicare eligible retirees, employees enrolled in DROP and those within five years of normal System retirement prior to October 1, 2004, with 10 years of service, the County will continue funding at the same level as active employees. For employees not part of the previously mentioned groups who retire on or after October 1, 2004, a health insurance subsidy based on length of service will be provided. The subsidy will range from 25.00% of the premium for ten years’ service, increasing by 3.33% per year of service to 75.00% for 25 years of more, calculated on the single premium of the lowest cost plan. Funding Policy: The contribution requirements of the plan members and the employers are established and may be amended by the County. The plans are financed on a pay-as-you-go basis. Participating agencies contribute an additional amount per each active employee to fund retiree health care. The Property Appraiser contributed $433,213 to the plan during fiscal year 2015 to fund OPEB benefits. The annual other post-employment benefit cost for both plans is calculated based on the annual required contribution of the employer (the "ARC”), an amount actuarially determined in accordance with GASB Statement 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal costs each year and amortize any unfunded actuarial liabilities over a period not to exceed 30 years. An actuarial valuation on the plan as a whole was performed as of October 1, 2011. The notes to the financial statements and required supplemental information of the County disclose additional information regarding the OPEB plan as a whole.
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS September 30, 2015
11.
NOTE 6 - RELATED-PARTY TRANSACTIONS The Property Appraiser incurred costs and charges to the Board during the year ended September 30, 2015 for various services as follows:
Health insurance $ 1,957,445Workers’ compensation 107,190Other charges 44 $ 2,064,679
The Board provided funding for the Property Appraiser that amounted to $10,378,386 for the year ended September 30, 2015. At September 30, 2015, the Property Appraiser had a payable due to the Board of $68,963, comprised of the following:
Distribution of excess fees $ 68,919Amounts due for various services 44Total due to the Board $ 68,963
NOTE 7 - RISK MANAGEMENT The County is exposed to various risks of loss, including but not limited to general liability, property and casualty, auto and physical damage, and workers’ compensation. The County is substantially self-insured and accounts for and finances its risks of uninsured loss through an internal service fund. All liabilities associated with these self-insured risks are reported in the basic financial statements of the County. During the year ended September 30, 2015, the Property Appraiser was charged $107,190 by the County for participation in the risk management program. Under this self-insured program, the County provides coverage for up to $1.5 million per claim for workers’ compensation, auto, and general liability and claims under the self-insurance risk management fund. The County also has purchased outside excess coverage for up to $15 million in the aggregate. Negligence claims in excess of the statutory limits set in Section 768.28, Florida Statutes, which provide for limited sovereign immunity of $100,000/$200,000 per occurrence can only be recovered through an act of the State Legislature. There have been no significant reductions in insurance coverage in the last year. Settled claims have not exceeded commercial coverage in the last three years. The County is also self-insured for medical and dental claims covering all of its employees and their eligible dependents. As required by Section 112.081, Florida Statutes, retirees and their eligible dependents are provided the same health care coverage as is offered to active employees at the same premium cost (borne by the retiree) applicable to active employees. No excess insurance coverage has been acquired for these claims. An actuarial valuation is performed each year to estimate the amount needed to pay prior and future claims and to establish reserves. NOTE 8 - CLAIMS AND CONTINGENCIES Litigation: The Property Appraiser is involved as a defendant or plaintiff in certain litigation and claims arising from the ordinary course of operations. In the opinion of the Property Appraiser and legal counsel, the range of potential recoveries or liabilities will not materially affect the financial position of the Property Appraiser as of September 30, 2015, or changes in its financial position for the year then ended.
REQUIRED SUPPLEMENTARY INFORMATION
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE – BUDGET AND ACTUAL (BUDGETARY BASIS) – GENERAL FUND
Year Ended September 30, 2015
See accompanying note.
12.
Variance withFinal Budget
PositiveOriginal Final Actual (Negative)
RevenuesPinellas County, Florida
Board of County Commissioners 10,378,386$ 10,378,386$ 10,378,386$ -$ Other taxing districts 1,189,733 1,189,733 1,189,733 - Interest - - 557 557 Other - - 3,232 3,232
Total revenues 11,568,119 11,568,119 11,571,908 3,789
ExpendituresGeneral government
Salaries and benefits 10,496,084 10,371,337 10,300,451 70,886 Temporary employees 33,260 33,260 31,896 1,364 Postage 151,166 147,996 147,947 49 Telephone 1,000 1,320 1,316 4 Legal advertising 199 199 - 199 Printing and reproduction 11,000 7,270 7,265 5 Repairs and maintenance 441,168 466,273 466,170 103 Travel 32,217 26,257 26,249 8 Office materials and supplies 64,000 87,075 87,053 22 Insurance and surety bonds 205 740 734 6 Rentals 27,220 27,800 27,787 13 Association dues 15,700 19,875 19,853 22 Education and training 70,900 72,320 72,274 46 Accounting services 22,000 19,000 18,900 100 Professional services 162,000 159,730 159,701 29
Capital outlay 40,000 127,667 127,492 175 Total expenditures 11,568,119 11,568,119 11,495,088 73,031
Excess of revenues over expenditures - - 76,820 76,820
Other financing usesDistribution of excess fees to Pinellas County, Florida
Board of County Commissioners - - (68,919) (68,919) Distribution of excess fees to
other taxing districts - - (7,901) (7,901) Total other financing uses - - (76,820) (76,820)
Excess of revenues over expenditures and otherfinancing uses -$ -$ -$ -$
Budget
PINELLAS COUNTY, FLORIDA PROPERTY APPRAISER
NOTE TO REQUIRED SUPPLEMENTARY INFORMATION Year Ended September 30, 2015
13.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - BUDGETARY PROCESS Section 195.087, Florida Statutes, governs the preparation, adoption, and administration of the Pinellas County, Florida Property Appraiser’s (the “Property Appraiser”) annual budget. The Property Appraiser prepares a budget for the general fund and submits it to the Florida Department of Revenue for approval. A copy of the approved budget is provided to the Board of County Commissioners. Any subsequent amendments must be approved by the Florida Department of Revenue. The annual budget serves as the legal authorization for expenditures. Expenditures may not legally exceed appropriations at the fund level. Appropriations lapse at year-end. Budgetary control is maintained at the departmental major object expenditure level. Budgetary changes within major object expenditure categories are made at the discretion of the Property Appraiser. The original budget is the first complete appropriated budget. The final budget is the original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized changes applicable to the fiscal year, whenever legally authorized. The Property Appraiser’s budget is prepared under a basis of accounting that differs from accounting principles generally accepted in the United States of America (GAAP). Certain long-term unappropriated capital outlay obligations entered into by the Property Appraiser are not recognized as a liability under the budgetary basis of accounting; however, the entire obligation is recognized under GAAP, and debt service payments, capital outlays, and other financing sources are recorded as appropriate. There is also a difference between the budgetary basis of accounting and GAAP in the treatment of unused fee distributions to entities outside of Pinellas County, Florida’s (the “County”) financial reporting entity. On a budgetary basis, distributions of unused fees are reported as other financing uses. On a GAAP basis, these distributions are reported as expenditures because there is a reduction in the new financial resources of the County.
COMPLIANCE REPORTS
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
14.
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON
AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
The Honorable Pam Dubov, Property Appraiser Pinellas County, Florida Clearwater, Florida We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the general fund of the Pinellas County, Florida Property Appraiser (the “Property Appraiser”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Property Appraiser’s financial statements, and have issued our report thereon dated February 12, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General, and are not intended to be a complete presentation of Pinellas County, Florida Property Appraiser’s assets, liabilities, revenues or expenses. Our opinion is not modified with respect to this matter. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the Property Appraiser’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Property Appraiser’s internal control. Accordingly, we do not express an opinion on the effectiveness of the Property Appraiser’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
15.
Compliance and Other Matters As part of obtaining reasonable assurance about whether the Property Appraiser’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Crowe Horwath LLP Tampa, Florida February 12, 2016
Crowe Horwath LLP Independent Member Crowe Horwath International
(Continued)
16.
The Honorable Pam Dubov, Property Appraiser Pinellas County, Florida Clearwater, Florida Report on the Financial Statements We have audited the financial statements of the general fund of the Pinellas County, Florida Property Appraiser (the “Property Appraiser”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Property Appraiser’s financial statements, and have issued our report thereon dated February 12, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General, and are not intended to be a complete presentation of Pinellas County, Florida Property Appraiser’s assets, liabilities, revenues or expenditures. Our opinion is not modified with respect to this matter. Auditor’s Responsibility We conducted our audit in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, and Chapter 10.550, Rules of the Auditor General. Other Report We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards; and Independent Accountant’s Report on an examination conducted in accordance with AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in that report, which is dated February 12, 2016, should be considered in conjunction with this management letter. Prior Audit Findings Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. Corrective Actions have been taken to address findings and recommendations made in the preceding annual financial report. Other Matters Section 10.554(1)(i)2., Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations. Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings.
17.
Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Auditor General of the State of Florida, and applicable management and is not intended to be and should not be used by anyone other than these specified parties. Crowe Horwath LLP Tampa, Florida February 12, 2016
PINELLAS COUNTY, FLORIDA SHERIFF
FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the year ended September 30, 2014)
PINELLAS COUNTY, FLORIDA SHERIFF Largo, Florida
FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the year ended September 30, 2014)
CONTENTS
INDEPENDENT AUDITOR’S REPORT ........................................................................................................ 1
FINANCIAL STATEMENTS
BALANCE SHEET GOVERNMENTAL FUNDS .................................................................................. 4 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS ........................................................................................ 5 STATEMENT OF NET POSITION – INTERNAL SERVICE FUND ....................................................... 6 STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION – INTERNAL SERVICE FUND ............................................................................................................. 7 STATEMENT OF CASH FLOWS – INTERNAL SERVICE FUND ......................................................... 8 BALANCE SHEET – AGENCY FUNDS ................................................................................................. 9 NOTES TO FINANCIAL STATEMENTS .............................................................................................. 10
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE BUDGET AND ACTUAL (GAAP BASIS) GENERAL FUND ........................................................ 24 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL (GAAP BASIS) – COMMISSARY FUND ................................................. 25 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL (GAAP BASIS) – FLORIDA DEPARTMENT OF CHILDREN AND FAMILIES ................................................................................................................................ 26 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL (GAAP BASIS) – SECONDARY EMPLOYMENT FUND ........................ 27 SCHEDULE OF FUNDING PROGRESS ............................................................................................. 28 NOTE TO THE REQUIRED SUPPLEMENTARY INFORMATION ...................................................... 29
OTHER FINANCIAL INFORMATION
SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL (GAAP BASIS) – CAPITAL EQUIPMENT FUND .................................... 30 COMBINING BALANCE SHEET – NON-MAJOR SPECIAL REVENUE FUNDS ................................ 32 COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – NON-MAJOR SPECIAL REVENUE FUNDS ................................................ 33 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL – PINELLAS POLICE STANDARDS COUNCIL FUND ........................... 34 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL – PRIVATE CIVIL PROCESS FUND ....................................................... 35 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL – FLORIDA SHERIFFS’ TASK FORCE FUND ....................................... 36 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL – CHAPLAIN’S FUND .............................................................................. 37 SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET AND ACTUAL – EXPLORER POST 900 FUND ............................................................. 38 COMBINING BALANCE SHEET – AGENCY FUNDS ......................................................................... 39 COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES – AGENCY FUNDS ....... 40
PINELLAS COUNTY, FLORIDA SHERIFF Largo, Florida
FINANCIAL STATEMENTS September 30, 2015
(With Summarized Financial Information for the year ended September 30, 2014)
CONTENTS (Continued)
COMPLIANCE REPORTS
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH
GOVERNMENT AUDITING STANDARDS ..................................................................................... 42
SCHEDULE OF FINDINGS AND RESPONSES .................................................................................. 44
MANAGEMENT LETTER ..................................................................................................................... 45
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES.................................................................................... 48
(Continued)
1.
INDEPENDENT AUDITOR'S REPORT
Sheriff Bob Gualtieri Pinellas County, Florida Sheriff Largo, Florida
Report on the Financial Statements
We have audited the accompanying financial statements of each major fund and the aggregate remaining fund information of the Pinellas County, Florida Sheriff (the “Sheriff”), a component unit of Pinellas County, Florida (County) as of and for the year ended September 30, 2015, and the related notes to the 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 in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the 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 conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks 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 preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made 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 our audit opinions.
Crowe Horwath LLPIndependent Member Crowe Horwath International
(Continued)
2.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of each major fund and the aggregate remaining fund information of the Sheriff, as of September 30, 2015, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Emphasis of Matters
As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General. The financial statements present only each major fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Sheriff, as of September 30, 2015, the changes in its financial position or, where applicable, its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America. Our opinions are not modified with respect to this matter.
Other Matters
Report on Summarized Comparative Information
We have previously audited the Sheriff’s 2014 financial statements, and we expressed unmodified audit opinions on the respective financial statements of each major fund and the aggregate remaining fund information in our report dated February 20, 2015. In our opinion, the summarized comparative information presented herein as of and for the year ended September 30, 2014 is consistent, in all material respects, with the audited financial statements from which it has been derived.
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the budgetary comparison schedules and schedule of funding progress on pages 24 through 29 be presented to supplement the financial statements. Such information, although not a part of the financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the financial statements, and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance.
Supplementary Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Sheriff’s financial statements. The other financial information on pages 30 through 41 is presented for purposes of additional analysis and are not a required part of the financial statements.
The other financial information on pages 30 through 41 are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the financial statements. Such information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the other financial information on pages 31 through 41 is fairly stated, in all material respects, in relation to the financial statements as a whole.
3.
Restriction on Use
Our report is intended solely for the information and use of the Sheriff, the Board of County Commissioners of Pinellas County, Florida, and the Auditor General of the State of Florida, and is not intended to be and should not be used by anyone other than these specified parties.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated January 11, 2016 on our consideration of the Sheriff’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the Sheriff’s internal control over financial reporting and compliance.
Crowe Horwath LLP
Tampa, Florida January 11, 2016
PINELLAS COUNTY, FLORIDA SHERIFF BALANCE SHEET – GOVERNMENTAL FUNDS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
See accompanying notes to financial statements.
4.
Florida Dept. Nonmajorof Children Secondary Capital Special
General Commissary and Families Employment Equipment RevenueFund Fund Fund Fund Fund Funds 2015 2014
ASSETSCash and cash equivalents 5,220,806$ 1,321,616$ 2,000,302$ 48,482$ 5,566,397$ 1,164,033$ 15,321,636$ 17,604,737$Investments - - - - 23,944 23,944 24,764 Accounts receivable 21,757 19,310 - 73,644 - - 114,711 86,406 Due from Pinellas County, Florida
Board of County Commissioners 51,759 - - 25,582 - 24,047 101,388 127,617 Due From Pinellas County, Florida
Clerk of the Circuit Court - - - - - - - 1,752 Due from other governments 986,553 - - 33,030 - - 1,019,583 818,149 Due from other funds 2,348,321 - - - - - 2,348,321 2,348,321Prepaids - - 318,786 - - - 318,786 306,449 Inventory 1,136,883 - - - - - 1,136,883 1,035,095Other assets 972,354 - - - - - 972,354 62,020
Total assets 10,738,433$ 1,340,926$ 2,319,088$ 180,738$ 5,566,397$ 1,212,024$ 21,357,606$ 22,415,310$
LIABILITIES, DEFERRED INFLOWS FROM RESOURCES AND FUND BALANCESLiabilities:
Accounts payable and accrued expenses 1,250,610$ 27,456$ 1,831$ 3,851$ 7,440$ 18,442$ 1,309,630$ 1,387,952$Accrued salaries and fringe benefits 5,249,414 78,071 254,963 65,805 - 6,468 5,654,721 4,792,188Unearned revenue - 612,651 - 89,595 - - 702,246 895,714 Due to Pinellas County, Florida
Board of County Commissioners 1,867,294 - - - - - 1,867,294 2,175,861Due to Pinellas County, Florida
Clerk of the Circuit Court 19,243 - 186 - - - 19,429 13,283 Due to other governments 79,602 3,531 1,093 504 - - 84,730 129,431 Due to other funds 1,133,207 - - - - - 1,133,207 - Other current liabilities 2,180 - - - - 199,105 201,285 212,994
Total liabilities 9,601,550 721,709 258,073 159,755 7,440 224,015 10,972,542 9,607,423
Deferred Inflows from resources:Advanced grant funding - - 2,061,015 - - - 2,061,015 2,866,713
Total deferred inflows from resources - - 2,061,015 - - - 2,061,015 2,866,713
Fund balances: Nonspendable:
Prepaids - - 318,786 - - - 318,786 306,449 Inventory 1,136,883 - - - - - 1,136,883 1,035,095
Spendable: Restricted - 619,217 - 20,983 5,558,957 988,009 7,187,166 8,906,079Unassigned - - (318,786) - - - (318,786) (306,449)
Total fund balances 1,136,883 619,217 - 20,983 5,558,957 988,009 8,324,049 9,941,174 Total liabilities, deferred inflows from resources and fund balances 10,738,433$ 1,340,926$ 2,319,088$ 180,738$ 5,566,397$ 1,212,024$ 21,357,606$ 22,415,310$
Totals
PINELLAS COUNTY, FLORIDA SHERIFF STATEMENT OF REVENUES, EXPENDITURES AND
CHANGES IN FUND BALANCES – GOVERNMENTAL FUNDS Year Ended September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
See accompanying notes to financial statements.
5.
Florida Dept. Nonmajorof Children Secondary Capital Special
General Commissary and Families Employment Equipment Revenue TotalsFund Fund Fund Fund Fund Funds 2015 2014
Revenues:Program revenue -$ -$ 11,920,384$ -$ -$ 181,155$ 12,101,539$ 10,290,718$Traffic f ine revenue - - - - - 162,983 162,983 180,691 Charges for services - - - 1,950,143 - 240,784 2,190,927 2,145,911Merchandise sales - 1,333,784 - - - - 1,333,784 982,937 Inmate phones - 1,500,138 - - - - 1,500,138 1,695,361Miscellaneous revenue - - - - - - - 409,345 Interest and other revenue 310,928 7,841 - 262 404 3,292 322,727 435,538
Total revenues 310,928 2,841,763 11,920,384 1,950,405 404 588,214 17,612,098 16,140,501
Expenditures: Salaries:
Sheriff 164,573 - - - - - 164,573 163,994 Deputies and assistants 147,550,417 2,301,951 7,663,641 1,797,239 - 186,570 159,499,818 150,333,478Employee fringe benefits 68,198,393 793,482 2,688,194 210,618 - 55,083 71,945,770 55,871,627
Operating expenditures: Professional services 4,063,361 20,280 12,560 - - 4,920 4,101,121 5,420,733Accounting and auditing 134,111 - - - - - 134,111 156,914 Other contractual services 9,918,200 282,153 59,119 - - 142,842 10,402,314 12,474,138Investigations 231,433 - - - - 1,080 232,513 351,728 Travel and per diem 223,375 - 17,488 - - 883 241,746 265,226 Communication services 830,034 109,235 139,089 - - 3,504 1,081,862 1,086,341Transportation 115,708 - - - - - 115,708 71,897 Utilities 12,203 - - - - - 12,203 13,248 Rentals and leases 414,341 5,607 483,647 - - 11,617 915,212 469,998 Insurance 1,160,943 517 227 - - 521 1,162,208 675,034 Repairs and maintenance 2,142,833 - 66,466 - - 127 2,209,426 2,309,974Printing and binding 80,512 3,586 6,111 137 - 2,574 92,920 97,339 Promotional activities 296,678 - 237 - - 100 297,015 267,998 Other charges and obligations 1,392,283 632 862 8,013 - 1,059 1,402,849 1,379,876Office supplies 1,406,705 18,299 27,827 644 - 6,924 1,460,399 1,477,074Operating supplies 6,266,721 88,054 151,652 231 - 79,000 6,585,658 7,553,322Books, publications, and dues 117,433 32,278 45 - - 415 150,171 121,983 Training 460,020 937 3,542 - - - 464,499 437,113
Capital outlay 1,970,821 - 599,677 - 5,923,095 5,492 8,499,085 2,561,171Debt Service-principal and interest 2,574,508 - - - - - 2,574,508 906,812
Total expenditures 249,725,606 3,657,011 11,920,384 2,016,882 5,923,095 502,711 273,745,689 244,467,018
Excess (deficiency) of revenues over (under) expenditures (249,414,678) (815,248) - (66,477) (5,922,691) 85,503 (256,133,591) (228,326,517)
Other financing sources (uses): Transfers in:
Pinellas County, Florida Board of CountyCommissioners appropriations 249,799,960 - - - - - 249,799,960 230,137,370
General Fund - - - - - - - 93,977 Installment Contract Proceeds - - - - 5,000,000 - 5,000,000 6,481,540Sale of Surplus Property 216,906 - - - - - 216,906 - Transfers out: -
Capital Equipment Fund - - - - - - (93,977) Distribution of excess appropriations to Pinellas County,
Florida Board of County Commissioners (602,188) - - - - - (602,188) (941,695)
Total other financing sources (uses) 249,414,678 - - - 5,000,000 - 254,414,678 235,677,215
Net change in fund balance - (815,248) - (66,477) (922,691) 85,503 (1,718,913) 7,350,698
Fund balances – beginning of year 1,035,095 1,434,465 - 87,460 6,481,648 902,506 9,941,174 2,451,413 Increase (decrease) in reserve for inventory 101,788 - - - - - 101,788 139,063
Fund balances – end of year 1,136,883$ 619,217$ -$ 20,983$ 5,558,957$ 988,009$ 8,324,049$ 9,941,174$
PINELLAS COUNTY, FLORIDA SHERIFF STATEMENT OF NET POSITION - INTERNAL SERVICE FUND
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
See accompanying notes to financial statements.
6.
2015 2014Assets
Cash and cash equivalents 1,204,520$ 4,452,215$ Investments 6,703,691 9,563,408Accounts receivable 524,166 31,420Due from Pinellas County, Florida
Board of County Commissioners 18,566,948 17,181,477Due from other funds 1,133,207 -Advance to claims administrator 707,000 344,975Prepaid insurance premiums 6,619 -
Total assets-current 28,846,151 31,573,495
Liabilities Current Liabilities: Accounts payable 656,493 828,061 Due to other funds 2,348,321 2,348,321 Claims payable 3,289,066 3,206,965 Unearned revenue - 15,685 Total current liabilities 6,293,880 6,399,032Non-current liabilities: Net OPEB obligation 163,727,919 140,827,820 Total Non-Current Liabilities 163,727,919 140,827,820Total liabilities 170,021,799 147,226,852
Net position (deficit) - unrestricted (141,175,648)$ (115,653,357)$
September 30
PINELLAS COUNTY, FLORIDA SHERIFF STATEMENT OF REVENUES, EXPENSES AND
CHANGES IN NET POSITION - INTERNAL SERVICE FUND Year Ended September 30, 2015
(With Summarized Financial Information for the Year Ended September 30, 2014)
See accompanying notes to financial statements.
7.
2015 2014
Charges for services 43,506,586$ 29,445,751$ 43,506,586 29,445,751
Contract services 68,192,952 60,964,888Other operating expenses 2,358,628 2,189,008
70,551,580 63,153,896
(27,044,994) (33,708,145)
Interest revenue 241,940 373,938Gain (loss) on investments (35,304) (117,711)Investment expense (69,404) (93,439)
Total nonoperating revenues (expenses), net 137,232 162,788
Transfer in from the Pinellas County, Florida Board of County Commissioners 1,385,471 2,557,771
Changes in net position (25,522,291) (30,987,586)
Total net position (deficit) – beginning (115,653,357) (84,665,771)
Total net position (deficit) – ending (141,175,648)$ (115,653,357)$
Operating revenues:
Total operating revenue
Year Ended September 30
Operating expenses:
Nonoperating revenues (expenses):
Operating income (loss)
Total operating expenses
PINELLAS COUNTY, FLORIDA SHERIFF STATEMENT OF CASH FLOWS - INTERNAL SERVICE FUND
Year Ended September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
See accompanying notes to financial statements.
8.
2015 2014Operating activities
Cash received from customers 40,479,477$ 34,336,316$ Payments to suppliers (48,109,592) (39,426,237)
Net cash used by operating activities (7,630,115) (5,089,921)
Non-capital financing activitiesTransfers in 1,385,471 2,557,771
Net cash provided by non-capital financing activities 1,385,471 2,557,771
Investing activitiesDeposits to investment pool 101,657 211,150Investment earnings, net (104,708) (211,150)Sale of investments 6,322,020 8,411,357Purchase of investments (3,322,020) (5,411,357)
Net cash provided by investing activities 2,996,949 3,000,000
Net change in cash and cash equivalents (3,247,695) 467,850
Cash and cash equivalents – beginning of year 4,452,215 3,984,365
Cash and cash equivalents – end of year 1,204,520$ 4,452,215$
Reconciliation of operating (loss) to net cash provided by operating activities
Operating (loss) (27,044,994)$ (33,708,145)$ Changes in operating assets and liabilities:
Accounts receivable (492,746) (17,071)Due from other funds (1,133,207) 7,829,996Due from other governments (1,385,471) (2,557,771)Prepaid expenses (368,644) (121,898)Accounts payable (171,568) 103,115Due to other funds - 2,348,321Net OPEB obligation 22,900,099 21,228,955Unearned revenue (15,685) (364,589)Claims payable 82,101 169,166
Net cash used by operating activities (7,630,115)$ (5,089,921)$
Noncash investing, capital, and financing activitiesIncrease in fair value of investments since inception 1,503,691$ 1,363,408$
Years Ended September 30
PINELLAS COUNTY, FLORIDA SHERIFF BALANCE SHEET – AGENCY FUNDS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
See accompanying notes to financial statements.
9.
2015 2014Assets
Cash and cash equivalents 498,414$ 322,783$ Accounts Receivable 1,092 115,819
Total assets 499,506$ 438,602$
LiabilitiesAccounts payable and accrued expenses 182,031$ 162,480$ Due to Pinellas County Board of County Commissioners 5,165 2,187Due to Pinellas County Clerk of the Circuit Court 124 60Individual deposits 138,324 92,066Unclaimed funds and other deposits 173,862 181,809
Total liabilities 499,506$ 438,602$
September 30,
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
10.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES
Reporting Entity: The Pinellas County, Florida Sheriff (the Sheriff), is an elected constitutional officer as provided for by the Constitution of the State of Florida. The Sheriff is the chief law enforcement officer of the County and is responsible for operating the County’s corrections facilities. Pursuant to Chapter 129, Florida Statutes, the Sheriff’s budget is submitted to the Pinellas County, Florida (the County) Board of County Commissioners (Board) for approval. In addition, for financial reporting purposes, it is deemed to be a part of the primary government of the County and is, therefore, included as such in the Pinellas County, Florida Comprehensive Annual Financial Report (CAFR).
Measurement Focus, Basis of Accounting, and Basis of Presentation: The financial statements include the General Fund, Commissary Fund, Florida Department of Children and Families Fund, Secondary Employment Fund, Capital Equipment Fund, Non-major Special Revenue Funds, Internal Service Fund, and Agency Funds of the Sheriff. The accompanying financial statements were prepared for the purposes of complying with Section 218.39, Florida Statutes, and Chapter 10.550, Rules of the Auditor General for Local Governmental Entity Audits.
Chapter 10.550, Rules of the Auditor General for Local Governmental Entity Audits, requires the Sheriff to present only fund financial statements. Accordingly, due to the omission of government-wide financial statements and related disclosures, including a management’s discussion and analysis, these financial statements do not constitute a complete presentation of the financial position of the Sheriff as of September 30, 2015, and the changes in its financial position and where applicable, cash flows thereof, for the year then ended, in conformity with Governmental Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements – and Management’s Discussion and Analysis – for State and Local Governments, but otherwise constitute financial statements prepared in conformity with U.S. generally accepted accounting principles.
Governmental funds are accounted for using the flow of current financial resources measurement focus. Only current assets and current liabilities, generally, are included on the balance sheet. Operating statements for these funds present increases (i.e., revenues and other financing sources) and decreases (i.e., expenditures and other financing uses) in net current assets.
The Sheriff has the following major governmental funds:
General Fund - The general fund is a major fund that is used to account for all revenues and expenditures applicable to the general operations of the Sheriff that are not accounted for in another fund. All operating revenue, which is not specifically restricted as to use, is recorded in the General Fund. Commissary Fund - This major special revenue fund is used to account for the proceeds of the Sheriff’s commissary, specific revenue sources that are legally restricted to specified purposes. Florida Department of Children and Families Fund - This major special revenue fund is used to account for the revenues and expenditures arising from state contracts for the purpose of performing child protective investigations. Secondary Employment Fund - This major special revenue fund is used to account for the receipts and disbursements of the Sheriff’s special detail activities. The charges for services received are to be used specifically for special detail activities. Capital Equipment Fund – This major capital projects fund is used to account for the revenues and expenditures for capital purchases outside the General Fund. Funding for these capital purchases derive from installment contract proceeds.
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
11.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued)
The modified accrual basis of accounting is used by governmental funds. Under the modified accrual basis of accounting, revenues are recognized when susceptible to accrual (i.e., when they become measurable and available to finance current liabilities of the fiscal year). For this purpose, the Sheriff considers revenues, other than grant funds, to be available if they are collected within 60 days of the end of the current period. Grant revenues are considered available if they are collected within one year after the end of the current period. Expenditures are recorded when the related fund liability is incurred, except for certain compensated absences, which are recognized as expenditures when used. The proprietary fund (internal service) is reported using the economic resources measurement focus and the accrual basis of accounting. The agency funds report only assets and liabilities, have no measurement focus and use the accrual basis of accounting. Fiduciary fund assets and liabilities reported use the economic resources measurement focus and accrual basis of accounting.
Substantially all of the Sheriff’s funding is appropriated by the Board. In applying the susceptible to accrual concept to intergovernmental revenue, there are essentially two types of revenue. In one, monies must be expended on the specific purpose or project before any amounts will be paid to the Sheriff; therefore, revenue is recognized based upon the expenditures incurred. Program (grant) revenue is recorded in this manner. In the other, monies are virtually unrestricted and are revocable only for failure to comply with prescribed compliance requirements. These resources are reflected as revenue at the time of receipt, or earlier, if the susceptible to accrual criteria are met.
The Pinellas County Sheriff opened Pinellas Safe Harbor to serve as a shelter and social service headquarters for homeless persons who otherwise would be involved in the criminal justice system. The facility is supported by funding from the Board of County Commissioners and donations received from Pinellas County municipalities. In 2015, donations for this purpose were received in the amount of $310,928.
Interest income and other revenue are recognized as they are earned and become measurable and available to pay liabilities of the current period.
Section 218.36(1), Florida Statutes, provides that the amount by which revenues and operating transfers exceed annual expenditures for each major fund be remitted to the Board within 31 days immediately following the fiscal year for which the funding was provided or following the fiscal year during which other revenue was recognized. The amount of this distribution is recorded as a liability and as a transfer out (other financing use) in the accompanying financial statements.
Capital outlays expended in the governmental funds are capitalized in the basic financial statements of the County rather than in the governmental funds of the Sheriff.
Additionally, the Sheriff reports the following fund types:
Internal Service Fund – This fund is used to account for the Sheriff’s self-insurance benefits program. The Sheriff is self-insured for medical and dental claims covering all employees, retirees, and their eligible dependents, as well as accounts for the Sheriff’s Other Post-Employment Benefit (OPEB) obligation. In this fund, operating revenues and expenses are those transactions related to the ongoing operations and are distinguished from non-operating revenues and expenses.
Fiduciary Funds – Agency Funds – These funds are used to account for assets held by the Sheriff as an agent for individuals, private organizations, other governments, and other funds. Agency funds are custodial in nature (assets equal liabilities), and do not involve measurement of results of operations or have a measurement focus.
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
12.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued)
Fund Balance Reporting and Governmental Fund Type Definitions: Effective October 1, 2010, the Sheriff implemented GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions.This GASB Statement clarifies governmental fund balance classifications and fund-type definitions. Fund balances are classified either as non-spendable or as spendable. Spendable fund balances are further classified in a hierarchy based on the extent to which there are external and internal constraints on the spending of these fund balances.
These classifications are described as follows:
Non-spendable fund balances include amounts that cannot be spent because they are not in spendable form or legally or contractually required to be maintained intact. At the Sheriff’s office, inventories and prepaid items fall into this category.
Spendable fund balances are classified based on a hierarchy of the Sheriff’s ability to control the spending of these fund balances and are further classified as follows.
Restricted fund balances are fund balance amounts that are constrained for specific purposes, which are externally imposed by creditors, grantors, contributors, or laws or regulations or imposed by law through constitutional provisions or enabling legislation.
Committed fund balances are fund balances constrained for specific purposes imposed by the Sheriff.
Assigned fund balances are fund balances intended to be used for specific purposes, but are neither restricted nor committed. The Sheriff has no assigned fund balances because the Sheriff has not delegated his authority to other parties.
Unassigned fund balance is the residual positive fund balance within the General Fund, which has not been assigned to other funds and has not been restricted, committed, or assigned. In funds other than the General Fund, unassigned fund balances are limited to negative residual balances.
The fund balance categories of the governmental funds are shown on the face of the Balance Sheet – Governmental Funds in the Fund Financial Statements and are summarized as follows:
Governmental Fund Balances by Category September 30, 2015
TotalGovernmental
Funds
Non-spendable $ 1,455,669 Spendable
Restricted 7,187,166Unassigned (318,786)
Total fund balances $ 8,324,049
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
13.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued)
The Sheriff uses restricted amounts first when both restricted and unrestricted fund balances are available unless there are legal documents/contracts prohibiting this, such as grant agreements requiring dollar for dollar spending. In addition, the Sheriff uses committed prior to assigned fund balances and assigned fund balances prior to unassigned fund balances.
Cash and Cash Equivalents: Cash and cash equivalents are defined for financial reporting purposes as any liquid investment with original maturities of three months or less. The Sheriff maintains a cash pool for the deposits of all governmental and special revenue funds. Each fund type’s portion of these balances is presented as cash and cash equivalents in the accompanying financial statements. Earnings from pooled cash are allocated to the respective funds based on the average daily equity balance of each fund in the pool. The interest earned by the General fund is transferred to the Board of County Commissioners on a monthly basis.
Investments: The investment program of the Sheriff is established in accordance with the Sheriff’s investment policy and Sections 219.075 and 218.415, Florida Statutes. The Sheriff’s investment policy authorizes the following investments:
• Florida PRIME, formerly the Local Government Surplus Funds Trust Fund (SBA Pool)
• Securities and Exchange Commission registered money market funds
• Savings accounts and certificates of deposit in state-certified qualified public depositories, as defined in Section 280.02, Florida Statutes
• Direct obligations of the U.S. Treasury
• Obligations of federal agencies and instrumentalities
The Sheriff invested funds throughout the year under the stewardship of the Pinellas County Sheriff’s Office Health Insurance Trust and those investments are carried at fair market value. The Pinellas County Sheriff’s Office Health Insurance Trust is administered by the Sheriff’s Office. This fund is registered with the Securities and Exchange Commission (SEC) as an investment company, and operates in a manner consistent with the regulations set forth in SEC Rule 2a7 of the Investment Company Act of 1940, which comprises the rules governing money market funds. This money market fund is not categorized as to custodial risk according to the criteria set forth in GASB Statement No. 3, Deposits with Financial Institutions, Investments (including Repurchase Agreements), and Reverse Repurchase Agreements, and GASB Statement No. 40, Deposit and Investment Risk Disclosures.
Due From/Due to Other Funds: Amounts receivable from, or payable to, other funds are reflected in the accounts of the funds until liquidated, usually within one year.
Inventory: Inventory consists of fuel, jail supplies, and fleet supplies, and is stated on an average cost basis. Inventory is accounted for under the consumption method, whereby the cost is recorded as an expenditure when used rather than when purchased. Reported inventory is classified as a non-spendable fund balance to indicate it does not constitute an available expendable resource.
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
14.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued)
Capital Assets: Capital assets used by the Sheriff are recorded in the basic financial statements of the County. Upon acquisition, such assets are recorded as expenditures in the governmental funds of the Sheriff, and are capitalized at cost in the basic financial statements of the County. Capital assets are items with individual costs of $1,000 or more with useful lives of more than one year. Capital assets are valued at historical cost or estimated historical cost if actual historical cost is not available. Donated capital assets are valued at their estimated fair value on the date received. The Sheriff maintains custodial responsibility for the capital assets used. No depreciation has been reflected in these financial statements. However, depreciation expense on these assets is recorded in the basic financial statements of the County.
Prepaid Insurance Claims: Prepaid insurance claims consist of insurance premiums and amounts paid in advance to the Sheriff’s claims administrator. The prepaid balance in government funds, if any, is not an available expendable resource.
Unearned Revenue: Unearned revenue in the commissary fund represents phone commissions on inmate phone usage received in advance of usage. Unearned revenue in the internal service fund represents contributions paid in advance for insurance premiums related to the next fiscal year and unearned revenue in the secondary employment fund represents monies paid in advance of deputy details.
Deferred Inflows of Resources: In addition to liabilities, the financial statements will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position or fund balance that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The Sheriff has only one type that qualifies for reporting in this category. The governmental funds report deferred inflows from grants with grantor stipulations that funds received cannot be used until future periods. These amounts are capitalized and recognized as an inflow of resources in the period that the time requirements have been met and the amounts may be spent.
Compensated Absences: All full-time employees of the Sheriff are entitled to annual vacation and sick leave with pay. The employees are generally allowed to accumulate vacation leave up to a maximum of 620 hours and accumulate sick leave with no maximum. Upon termination, the employee is paid for up to one-half of accumulated sick leave, depending on length of service, and up to 520 hours of accumulated vacation. Vacation and sick leave payments are included in operating costs when the payments are made to the employees. The Sheriff does not, nor is legally required to, accumulate expendable financial resources for these unmatured obligations. Accordingly, the liability for compensated absences is not reported in the governmental funds, but rather is reported in the basic financial statements of the Board.
Operating Revenues and Expenses: The Internal Service Fund distinguishes operating revenues and expenses from non-operating items. Operating revenues and expenses generally result from contributions for insurance and other benefits and costs related to providing services in connection with operating the fund, including professional services and administrative costs. All revenues and expenses not meeting that definition are reported as non-operating revenues and expenses.
Accounting for Proprietary Fund Activities: The Sheriff has applied GASB Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements to the proprietary fund activities.
Restrictions on Resources: When both restricted and unrestricted resources are available for use, the Sheriff’s policy is to use restricted resources first, then unrestricted resources as needed.
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
15.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PRACTICES (Continued)
Fund Balance Deficit: The Sheriff’s internal service fund had a fund balance deficit of $141,175,648 at September 30, 2015. This deficit was caused by the Sheriff’s net OPEB obligation of $163,727,919 at September 30, 2015, over current reserves held by the Sheriff and Board on behalf of the Sheriff. This deficit will be remedied through future increased premiums and/or user charges and/or transfers from the Board.
Financial Information for 2014: Certain financial statements and notes include prior-year summarized comparative information in total but not by major fund. Such information does not include sufficient detail to constitute a presentation in conformity with accounting principles generally accepted in the United States. Accordingly, such information should be read in conjunction with the Sheriff’s financial statements for the year ended September 30, 2014, from which the summarized information was derived.
NOTE 2 - CASH, DEPOSITS AND INVESTMENTS
As of September 30, 2015 and 2014, the carrying value of the Sheriff’s cash on hand, deposits, and investments were as follows:
Custodial Credit Risk: The Sheriff’s investment policy requires the Sheriff to execute a third-party custodial safekeeping agreement which is separately chartered by the United States Government or the State of Florida. All securities purchased and collateral obtained by the Sheriff shall be properly designated as an asset of the Sheriff and held in safekeeping by that entity.
At September 30, 2015, the Sheriff’s deposits were entirely covered by federal depository insurance or by collateral pledged with the State Treasurer pursuant to Chapter 280, Florida Statutes. Under this Section, in the event of default by a participating financial institution (a qualified public depository), all participating institutions are obligated to reimburse the governmental entity for the loss.
Credit Risk: The Sheriff’s investment policy limits credit risk by restricting investments to the list provided above. Money market funds must maintain the highest credit quality rating from a nationally recognized rating agency.
Type 2015 2014Cash on hand 155,884$ 156,333$ Deposits 16,868,686 22,223,402 Investments 6,727,635 9,588,172
Total cash, deposits, and investments 23,752,205$ 31,967,907$
Financial Statement PresentationGovernmental Funds 15,345,580$ 17,629,501$ Internal Service Fund 7,908,211 14,015,623 Fiduciary Funds 498,414 322,783
23,752,205$ 31,967,907$
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
16.
NOTE 2 - CASH, DEPOSITS AND INVESTMENTS (Continued)
At September 30, 2015, the Sheriff’s investments, along with their respective ratings from Moody’s, were as follows:
Concentration of Credit Risk: The investment policy provides guidelines on maximum limits for security diversification with the option to further restrict or increase investment percentages from time to time based on market conditions. The portfolio was maintained within those guidelines. The portion of the Sheriff’s portfolio invested in federal instrumentalities as of September 30, 2015, was as follows:
Issuer Percent of Portfolio
Federal National Mortgage Association 10.82% Federal Home Loan Bank (Federal National) 11.27% Federal Home Loan Mortgage Corporation 18.97%
Interest Rate Risk – Investments: Section 218.415, Florida Statutes, requires that the Sheriff’s investment policy be structured to place the highest priority on the safety of principal and liquidity of funds. Accordingly, the Sheriff’s investment policy requires that all investment of current operating funds be in maturities no longer than 12 months. Investment of non-operating funds shall have a term appropriate to the need of the funds, but in no event shall the maturities exceed five years. No surplus funds may be invested in a derivative investment, as defined in Section 218.45(5), Florida Statutes.
At September 30, 2015, the fair value of the Sheriff’s portfolio categorized by maturity was as follows:
Fair Credit Investment Type Value Rating
Certificate of deposit 23,944$ N/AMoney market funds 205,905 N/ADirect obligations of the U.S. Treasury 3,735,718 AAAU.S. agencies and instrumentalities 2,762,068 AAA
6,727,635$
FairValue Less Than 1 1-3 Thereafter
Certificate of depost 23,944$ 23,944$ -$ -$ Money market funds 205,905 205,905 - - Direct obligations of the U.S. Treasury 3,735,718 851,777 1,721,953 1,161,988 U.S. agencies and instrumentalities 2,762,068 - 728,009 2,034,059
6,727,635$ 1,081,626$ 2,449,962$ 3,196,047$
Investment Maturities in Years
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
17.
NOTE 3 - CAPITAL ASSETS
Capital Asset activity is as follows:
NOTE 4 - EMPLOYEE RETIREMENT PLAN
Substantially, all full-time employees of the Sheriff are eligible to participate in the State of Florida Retirement System (System), a cost-sharing, multiple-employer defined benefit plan administered by the State of Florida, Division of Retirement. The system is a defined benefit plan for all state, and participating county, district school board, community college, and university employees (Pension Plan). The System also offers eligible employees participation in an alternative defined contribution plan (Investment Plan). Contribution rates are established statewide for all participating governmental units. Accordingly, the actuarial information and related disclosures attributable to the Sheriff’s employees are not determinable. Employees participating in the Pension Plan who retire at or after age 62 with 6 years of credited service, or with 30 years of service regardless of age, are entitled to a retirement benefit payable monthly for life, equal to 1.6% for regular employees, 2.0% for senior management, and 3.0% for county elected officials for each year of credited service times their average final compensation. Average final compensation is the employee’s average of the five highest fiscal years of salary earned during credited service. Vested employees may retire before age 62 and receive benefits that are reduced 5% for each year prior to normal retirement age. Employees participating in the Investment Plan are vested after one year of service with no age requirements. The System also provides death and disability benefits. Benefits are established by Section 121, Florida Statutes and Chapter 22B, Florida Administrative Code.
Effective July 1, 2011, employees participating in the System are required to contribute 3 percent of their eligible earnings on a pre-tax basis to the plan. Employees initially enrolled on or after July 1, 2011 become vested after 8 years of service instead of 6. Benefits are computed using the average of their highest 8 years of earnings instead of their highest 5 years. Normal retirement is based on 35 years of service regardless of age or at age 65 and vested for all classes except Special Risk Class members who must have 30 years of service regardless of age, or at age 60 and vested.
Balance BalanceOctober 1, September 30,
2014 Additions Deletions 2015Automobile and other vehicles 36,064,296$ 6,013,188$ (2,086,333)$ 39,991,151$Furniture and equipment 45,474,077 2,238,677 (1,761,564) 45,951,190Improvements 3,456,528 19,061 - 3,475,589 Software- internally generated 1,747,500 - - 1,747,500 Software- purchased 7,110,324 767,724 (106,081) 7,771,967 Work in process 493,977 - (493,977) - Total assets 94,346,702 9,038,650 (4,447,955) 98,937,397Less accumulated depreciation 74,752,626 6,041,997 (3,741,428) 77,053,195
19,594,076$ 2,996,653$ (706,527)$ 21,884,202$
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
18.
NOTE 4 - EMPLOYEE RETIREMENT PLAN (Continued)
The Deferred Retirement Option Program (DROP) is a program that provides an alternative method for payment of retirement benefits for a specified and limited period for members of the System, effective July 1, 1998. Under this program, the employee may retire and have their benefits accumulate in the Florida Retirement System Trust Fund, earning interest, while continuing to work for a system employer. The participation in the program does not change conditions of employment. When the DROP period ends, maximum of 60 months, employment must be terminated. At the time of termination of employment, the employee will receive payment of the accumulated DROP benefits and begin receiving their monthly retirement benefit (in the same amount determined at retirement adjusted, if applicable, by annual cost of living increases).
The System publishes an annual report that provides 10-year historical trend information about progress made in accumulating sufficient assets to pay benefits when due. This report may be obtained by writing to Division of Retirement, Research, Education, and Policy Section, 2639 North Monroe Street, Building C, Tallahassee, Florida 32399-5706, or by calling (850) 488 5706, or accessing their website at:
http://dms.myflorida.com/human_resource_support/retirement/publications/system_information/annual_reports.
The Sheriff is required to contribute an actuarially determined rate. The contribution requirements of the Sheriff are established and may be amended by the State of Florida. The contribution rates are established by fiscal year, beginning each July 1. The contribution rates by job class were as follows: special-risk employees 19.82%, elected county officers 43.24%, regular 7.37%, senior management 21.14%, and DROP employees 12.28% from July 1, 2014 through June 30, 2015; and special-risk employees 22.04%, elected county officers 42.27%, regular 7.26%, senior management 21.43%, and DROP employees 12.88% from July 1, 2015 through September 30, 2015. The Sheriff’s contributions to the plan for the years ended September 30, 2015, 2014, and 2013 were $24,728,374, $22,328,747, and $17,100,461, respectively, equal to the actuarially determined contributions for each year. The Sheriff’s portion of the net pension liability and the associated footnotes are not reported in the financial statements of the Sheriff, but are reported in the basic financial statements of the County.
NOTE 5 - LONG-TERM DEBT
Balance Balance DueOctober 1, September 30, within
2014 Additions Deletions 2015 one year
Installment contracts 8,713,566$ 5,000,000$ 2,475,172$ 11,238,394 3,751,414$ Accrued compensated
absences 27,442,569 23,566,820 20,492,111 30,517,278 17,712,07336,156,135$ 28,566,820$ 22,967,283$ 41,755,672$ 21,463,487$
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
19.
NOTE 5 - LONG-TERM DEBT (Continued)
These long-term liabilities are not reported in the financial statements of the Sheriff, but are reported in the basic financial statements of the Board. Long-term debt is funded by General Fund appropriations for the installment contracts. There are currently 3 installment contracts to purchase agency vehicles. Contract 1 was for $3,562,132 with a 4 year maturity and an interest rate of 1.042%. Contract 2 was for $6,481,540 with a 4 year maturity and an interest rate of 1.288%. Contract 3 was for $5,000,000 with a 4 year maturity and an interest rate of 1.35%.
Debt Service requirements for the Installment contracts are:
NOTE 6 - OPERATING LEASES
The Sheriff is committed for office space through December 31, 2019 leased for the Department of Children and Families operations. Payments for the fiscal year ended September 30, 2015 totaled $429,631. The Sheriff began a new copier operating lease in June 2015. Payments for the fiscal year ended September 30, 2015 totaled $159,662 and the future minimum copier lease payments exclude the usage amounts. Future minimum lease payments for both leases are as follows:
NOTE 7 – RELATED-PARTY TRANSACTIONS
The Sheriff incurred costs and charges from the Board during the fiscal year ended September 30, 2015, for various services as follows:
Fiscal Year Principal Interest
2016 3,751,414$ 104,018$ 2017 3,316,086 85,9402018 2,902,830 45,7902019 1,268,064 12,861
11,238,394$ 248,609$
Fiscal Year Ending Amount2016 676,984$ 2017 685,479
2018 694,1552019 703,074
2020 364,750
Total future minimum lease payments 3,124,442$
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
20.
NOTE 7 – RELATED-PARTY TRANSACTIONS (Continued)
Risk management $ 5,005,210
During 2015, the Board provided funding for the Sheriff that amounted to $249,799,960. At September 30, 2015, the Sheriff had amounts due to the Board of $1,867,294, which is comprised as follows:
Distribution of excess appropriations $ 602,188 Amounts due for various services 1,265,106
Total due to Board $ 1,867,294
In addition, for the year ended September 30, 2015, the Sheriff collected $30,425,470 in revenues that were remitted to the Board. The Sheriff had payables to other constitutional officers of $19,553, payables to the Board of $5,165 and receivables from the Board of $101,388 at September 30, 2015.
NOTE 8 - INTERFUND RECEIVABLE, PAYABLE AND TRANSFERS
NOTE 9 - RISK MANAGEMENT
The County is exposed to various risks of loss; including, but not limited to, general liability, property and casualty liability, auto physical and auto damage liability, and workers’ compensation liability. The County is substantially self-insured and accounts for and finances its risk of uninsured loss through an internal service fund. All liabilities associated with these self-insured risks are reported in the basic financial statements of the Board of County Commissioners. During the year ended September 30, 2015, the Sheriff was charged $5,005,210 by the County for participation in the risk management program. Effective January 1, 2008, the Sheriff assumed responsibility for litigating general liability and police practice risk claims. During the year ended September 30, 2015, the Sheriff settled 54 claims totaling $164,341.
Under this self-insured program, the County provides coverage for up to $2.0 million per claim for workers’ compensation and $1.5 million per occurrence for auto and general liability under the self-insurance risk management fund. The County also has purchased outside excess coverage for up to $15 million in the aggregate. Negligence claims in excess of the statutory limits set forth in Section 768.28, Florida Statutes,which provide for limited sovereign immunity of $200,000/$300,000 per occurrence can only be recovered through an act of the State Legislature. There have been no significant reductions in insurance coverage in the last year. Settled claims have not exceeded commercial coverage in the last three years.
Transfer From Transfer To 2015 2014 Purpose
General Fund Capital Equipment Fund
-$ 93,977$ Funding of capital equipment purchases
Due From Due To 2015 2014 Purpose
General Fund Health Insurance Trust Fund
1,133,207$ -$ Funding of health insurance liability
Health Insurance Trust Fund
General Fund 2,348,321 2,348,321 Adjustment to funding of health insurance liability
Year
Year
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
21.
NOTE 9 - RISK MANAGEMENT (Continued)
The Sheriff is self-insured for medical and dental claims covering all employees and their eligible dependents. As required by Section 112.081, Florida Statutes, retirees and their eligible dependents are provided the same health care coverage as is offered to active employees at the same premium cost (borne by the retiree) applicable to active employees. Excess insurance coverage has been acquired for these claims. An actuarial valuation is performed each year to estimate the amounts needed to pay prior and future claims and to establish reserves. In the current year a liability of $3,289,066 is reported.
Changes in the Fund’s claims liability for the last two years were as follows:
NOTE 10 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS
Plan Description: The Pinellas County Sheriff’s Office administers a single-employer defined benefit health care plan that covers eligible retirees and their dependents. Benefits are established by the Sheriff for the plan. The health care plan does not issue a stand-alone financial report.
The Sheriff’s Office offers retiree coverage for members awarded retirement benefits from the Florida Retirement System. Approximately 1,460 retirees participate in group benefits. The Sheriff’s Office contributes an equal funding percentage toward the medical premium for retirees hired prior to January 1, 1996, as is contributed for active members. The funding percentage ranges from 67% to 91% of the premium for medical insurance. For retirees who were hired after December 31, 1995, the Sheriff’s Office provides a health insurance subsidy based on length of service. The subsidy ranges from 25% of the premium for 10 years’ service and increases by 3.33% per year of service, up to 75% for 25 years. Dental, Employee Assistance Plan, and life insurance benefits are offered to retirees as well at the same cost as is contributed by active members. Medicare eligible retirees are covered by Medicare Advantage.
Funding Policy: The contribution requirements of the plan members and the employers are established and may be amended by the Sheriff for the respective plans. The plans are financed on a pay-as-you-go basis. Funding for the fiscal year was as follows for the plans:
Employer contributions $ 10,094,253 Percentage of total premiums 85.90%Plan member contributions $ 1,657,497 Percentage of total premiums 14.10%
CurrentBeginning Year Claims End of of Year and Changes Claim Year Liability in Estimates Payments Liability
Year ended September 30
2014 3,037,799$ 34,935,432$ 34,766,266$ 3,206,965$ 2015 3,206,965 38,525,481 38,443,380 3,289,066
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
(Continued)
22.
NOTE 10 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS (Continued)
Annual OPEB Costs and Net OPEB Obligation: The annual other postemployment benefit cost for both plans are calculated based on the annual required contributions of the employer (ARC), an amount actuarially determined in accordance with GASB Statement 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities at transition over a period not to exceed 30 years. The component of the annual OPEB cost for the current year, the total contributions and the changes in the net OPEB obligation for both plans are as follows:
The annual OPEB costs, the percentage of the annual OPEB cost contributed to the plan, and the net OPEB obligation for the fiscal year were as follows:
Fiscal Year Ended Annual
OPEB Cost
Percentage of Annual OPEB
Cost Contributed Net OPEB Obligation
2013 $ 33,871,587 28.32% $ 119,598,865 2014 31,549,275 32.71% 140,827,820 2015 32,994,352 30.59% 163,727,919
Funded Status and Funding Progress: As of January 1, 2014, the most recent actuarial valuation date, funded status of the plans was as follows:
Actuarial accrued liability (AAL) $ 453,253,541 Actuarial value of plan assets - Unfunded actuarial accrued liability (UAAL) $ 453,253,541
Funded ratio (actuarial value of plan assets (AAL)) 0.00% Covered payroll $ 114,598,864 UAAL as a percentage of covered payroll 395.51%
Annual required contributions 33,933,204$ Interest on net OPEB obligation 4,928,974Adjustment to annual required contributions (5,867,826)
Annual OPEB costs 32,994,352Contributions made (10,094,253)
Increase in net OPEB obligation 22,900,099Net OPEB obligation, beginning of year 140,827,820Net OPEB obligation, end of year 163,727,919$
PINELLAS COUNTY, FLORIDA SHERIFF NOTES TO FINANCIAL STATEMENTS
September 30, 2015 (With Summarized Financial Information for the Year Ended September 30, 2014)
23.
NOTE 10 - OTHER POST-EMPLOYMENT HEALTH CARE BENEFITS (Continued)
Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events in the future. Amounts determined regarding the funded status of the plan and the annual required contributions of the employer are subject to continual revision as actual results are compared to past expectations and new estimates are made about the future. The schedule of funded progress, presented as required supplementary information following the notes to the financial statements, presents multiyear trend information that shows whether the actuarial value of the plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits.
Actuarial Methods and Assumptions: The projection of benefits for financial reporting purposes was based on the substantive plan (the plan as understood by the employer and plan members) and included the types of benefits provided at the time of the valuation and the historical pattern of sharing of benefit costs between the employer and the plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. Significant methods and assumptions were as follows for the plan:
Actuarial valuation date January 1, 2014 Actuarial cost method Entry Age Amortization method Level percent of pay, closed
Remaining amortization period 23 years Asset valuation method N/A Unfunded
Actuarial assumptions: Investment rate of return 3.50% Projected salary increases 3.50% Healthcare inflation rate 6.30%
NOTE 11 - CLAIMS AND CONTINGENCIES
Litigation: The Sheriff is involved as defendant or plaintiff in certain litigation and claims arising from the ordinary course of operations. Any judgments against the Sheriff would be settled by the Board. In the opinion of the Sheriff and legal counsel, the range of potential recoveries or liabilities will not materially affect the financial statements of the Sheriff.
Federal and State Grants: Grant funds received by the Sheriff are subject to audit by grantor agencies. Audits of these grants may result in disallowed costs, which may constitute a liability of the Sheriff. In the opinion of management, disallowed costs, if any, would not be material to the financial statements of the Sheriff.
NOTE 12 – SUBSEQUENT EVENTS
In November 2015, the Sheriff entered into an agreement to purchase a helicopter. This installment contract is $3,576,970 for 7 years at an interest rate of 2.06%.
REQUIRED SUPPLEMENTARY INFORMATION
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES –
BUDGET AND ACTUAL (GAAP BASIS) – GENERAL FUND Year Ended September 30, 2015
See accompanying note to required supplementary information
24.
Variance w ithFinal Budget
Budget PositiveOriginal Final Actual (Negative)
Revenues:Interest and other revenue -$ 310,930$ 310,928$ (2)$
Total revenues - 310,930 310,928 (2)
Expenditures:Salaries:
Sheriff 164,573 164,573 164,573 - Deputies and assistants 144,310,326 147,639,857 147,550,417 89,440 Employee fringe benefits 68,591,841 68,484,879 68,198,393 286,486
Operating expenditures:Professional services 3,394,140 4,063,409 4,063,361 48 Accounting and auditing 165,750 134,115 134,111 4 Other contractual services 9,171,280 9,988,342 9,918,200 70,142 Investigations 285,000 238,047 231,433 6,614 Travel and per diem 278,430 238,688 223,375 15,313 Communication services 1,074,830 830,050 830,034 16 Transportation 104,480 115,850 115,708 142 Utilities 16,367 12,212 12,203 9 Rentals and leases 405,670 414,446 414,341 105 Insurance 1,159,180 1,162,716 1,160,943 1,773 Repairs and maintenance 1,506,580 2,142,890 2,142,833 57 Printing and binding 76,780 91,243 80,512 10,731 Promotional activities 41,750 396,327 296,678 99,649 Other charges and obligations 1,476,793 1,392,744 1,392,283 461 Off ice supplies 685,675 1,412,984 1,406,705 6,279 Operating supplies 7,712,625 6,267,677 6,266,721 956 Books, publications, and dues 124,240 117,875 117,433 442 Training 364,450 463,370 460,020 3,350
Capital outlay 2,721,610 1,980,987 1,970,821 10,166 Debt service:
Principal and interest 2,552,330 2,574,515 2,574,508 7
Total expenditures 246,384,700 250,327,796 249,725,606 602,190
Deficiency of revenues under expenditures (246,384,700) (250,016,866) (249,414,678) 602,188
Other financing sources (uses):Transfers in:
Pinellas County, Florida Board of CountyCommissioners appropriations 246,384,700 249,799,960 249,799,960 -
Sale of surplus property - 216,906 216,906 - Transfers out:
Distribution of excess appropriations to Pinellas County, Florida Board of County Commissioners - - (602,188) (602,188)
Total other financing sources (uses) 246,384,700 250,016,866 249,414,678 (602,188)
Net change in fund balance - - - -
Fund balances – beginning of year - - 1,035,095 1,035,095 Change in reserve for inventory and prepaids - - 101,788 101,788
Fund balances – end of year -$ -$ 1,136,883$ 1,136,883$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES –
BUDGET AND ACTUAL (GAAP BASIS) – COMMISSARY FUND Year Ended September 30, 2015
See accompanying note to required supplementary information
25.
Variance withFinal Budget
Budget PositiveOriginal Final Actual (Negative)
Revenues:Merchandise sales 1,334,800$ 1,334,800$ 1,333,784$ (1,016)$ Inmate phones 1,920,575 1,920,575 1,500,138 (420,437) Interest and other revenue 8,860 8,860 7,841 (1,019)
Total revenues 3,264,235 3,264,235 2,841,763 (422,472)
Expenditures:Salaries:
Deputies and assistants 2,763,705 2,489,850 2,301,951 187,899 Employee fringe benefits 571,387 839,662 793,482 46,180
Operating expenditures:Professional services 24,000 22,980 20,280 2,700 Other contractual services 298,200 303,780 282,153 21,627 Travel and per diem 150 150 - 150 Communication services 201,560 185,160 109,235 75,925 Rentals and leases 4,838 6,238 5,607 631 Insurance 520 520 517 3 Printing and binding 7,800 7,800 3,586 4,214 Other charges and obligations 650 650 632 18 Office supplies 22,580 23,600 18,299 5,301 Operating supplies 82,620 97,620 88,054 9,566 Books, publications, and dues 34,845 34,845 32,278 2,567 Training 1,000 1,000 937 63
Total expenditures 4,013,855 4,013,855 3,657,011 356,844
Deficiency of revenues under expenditures (749,620) (749,620) (815,248) (65,628)
Other financing sources (uses):Reserves (684,845) (684,845) - 684,845
Total other financing sources (uses) (684,845) (684,845) - 684,845
Net change in fund balance (1,434,465) (1,434,465) (815,248) 619,217
Fund balances – beginning of year 1,434,465 1,434,465 1,434,465 -
Fund balances – end of year -$ -$ 619,217$ 619,217$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES – BUDGET
AND ACTUAL (GAAP BASIS) – FLORIDA DEPARTMENT OF CHILDREN AND FAMILIES Year Ended September 30, 2015
See accompanying note to required supplementary information
26.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)Revenues:
Program revenue 22,193,949$ 11,920,504$ 11,920,384$ (120)$ Total revenues 22,193,949 11,920,504 11,920,384 (120)
Expenditures:Salaries:
Deputies and assistants 14,042,043 7,663,652 7,663,641 11 Employee fringe benefits 4,902,310 2,688,198 2,688,194 4
Operating expenditures:Professional services 28,513 12,567 12,560 7 Other contractual services 135,279 59,159 59,119 40 Travel and per diem 30,898 17,494 17,488 6 Communication services 204,363 139,096 139,089 7 Transportation 300 - - - Rentals and leases 1,232,447 483,652 483,647 5 Insurance 650 228 227 1 Repairs and maintenance 191,108 66,471 66,466 5 Printing and binding 16,717 6,114 6,111 3 Public advertising 366 237 237 - Other charges and obligations 4,206 868 862 6 Office supplies 85,523 27,831 27,827 4 Operating supplies 392,702 151,675 151,652 23 Books, publications, and dues 1,490 45 45 - Training 313,215 3,543 3,542 1
Capital outlay 611,819 599,674 599,677 (3)
Total expenditures 22,193,949 11,920,504 11,920,384 120
Net change in fund balance - - - -
Fund balances – beginning of year - - - -
Fund balances – end of year -$ -$ -$ -$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES –
BUDGET AND ACTUAL (GAAP BASIS) – SECONDARY EMPLOYMENT FUND Year Ended September 30, 2015
See accompanying note to required supplementary information
27.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)Revenues:
Charges for services 1,877,600$ 1,950,145$ 1,950,143$ (2)$ Interest and other revenue 320 320 262 (58)
Total revenues 1,877,920 1,950,465 1,950,405 (60)
Expenditures:Salaries:
Deputies and assistants 1,682,730 1,796,195 1,797,239 (1,044) Employee fringe benefits 180,530 206,030 210,618 (4,588)
Operating expenditures:Insurance 110 110 - 110 Printing and binding 260 260 137 123 Other charges and obligations 13,320 13,320 8,013 5,307 Office supplies 700 700 644 56 Operating supplies 270 270 231 39
Capital Outlay - - - - Total expenditures 1,877,920 2,016,885 2,016,882 3
Deficiency of revenues under expenditures - (66,420) (66,477) (57)
Other financing sources (uses):Reserves (87,460) (21,040) - 21,040
Total other financing sources (uses) (87,460) (21,040) - 21,040
Net change in fund balance (87,460) (87,460) (66,477) 20,983
Fund balances – beginning of year 87,460 87,460 87,460 -
Fund balances – end of year -$ -$ 20,983$ 20,983$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF FUNDING PROGRESS
Year Ended September 30, 2015
See accompanying note to required supplementary information
28.
ActuarialAccruedLiability
Actuarial (AAL)Actuarial Value of Projected Unfunded CoveredValuation Assets Unit Credit AAL (UAAL) Payroll
Date (a) (b) (b-a) (c)
01/01/2010 -$ 314,745,249$ (314,745,249)$ 123,636,181$ 254.57%01/01/2012 - 454,887,566 (454,887,566) 109,627,298 414.94%01/01/2014 - 453,253,541 (453,253,541) 114,598,864 395.51%
Ratio
0%0%0%
(a/b)
UAAL as aPercentageof Covered
Payroll((b-a)/c)
Funded
PINELLAS COUNTY, FLORIDA SHERIFF NOTE TO REQUIRED SUPPLEMENTARY INFORMATION
Year Ended September 30, 2015
29.
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES – BUDGETARY PROCESS
Florida Statutes Sections 30.49, 129.021, and 129.03 govern the preparation, adoption, and administration of the Sheriff’s annual budgets. The Sheriff prepares a budget for the general fund and submits it to the Board for approval. Any subsequent amendments to the budget must be approved by the Board. Budgets are also prepared for special revenue funds. The budgets for these funds, other than the grant related special revenue funds, are approved by their respective committee boards, instead of the Board. The annual budget serves as the legal authorization for expenditures. Expenditures may not legally exceed appropriations at the fund level. Appropriations lapse at year-end. Budgetary control is maintained at the major departmental object expenditure level. Budgetary changes within major object expenditure categories are made at the discretion of the Sheriff.
The original budget is the first complete appropriated budget. The final budget is the original budget adjusted by all reserves, transfers, allocations, supplemental appropriations, and other legally authorized changes applicable to the fiscal year, whenever legally authorized.
The Sheriff’s budgets for the General Fund, the Commissary Fund, Florida Department of Children and Families Fund, Secondary Employment Fund and Capital Equipment Fund are prepared under a budgetary basis of accounting that complies with generally accepted accounting principles (GAAP). Budget-to-actual comparisons for Special Revenue funds are presented for all funds with a legally adopted budget. This includes all funds. Although the Florida Sheriffs’ Task Force Fund and Chaplain’s Fund did not have legally adopted budgets at September 30, 2015, the Sheriff has elected to present these funds with a budget vs. actual schedule.
OTHER FINANCIAL INFORMATION
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES –
BUDGET AND ACTUAL (GAAP BASIS) – CAPITAL EQUIPMENT FUND Year Ended September 30, 2015
30.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)Revenues:
Interest and other revenue -$ 425$ 404$ (21)$
Total revenues - 425 404 (21)
Expenditures:Capital Outlay:
Vehicles-Installment Contract 6,481,540 11,481,965 5,923,095 5,558,870
Total expenditures 6,481,540 11,481,965 5,923,095 5,558,870
Excess (deficiency) of revenues over (under) expenditures (6,481,540) (11,481,540) (5,922,691) 5,558,849
Other financing sources:Transfers in:
Installment Contract Proceeds - 5,000,000 5,000,000 - Reserves (108) (108) - 108
Total other financing sources (108) 4,999,892 5,000,000 108
Net change in fund balance (6,481,648) (6,481,648) (922,691) 5,558,957
Fund balance – beginning of year 6,481,648 6,481,648 6,481,648 -
Fund balance – end of year -$ -$ 5,558,957$ 5,558,957$
PINELLAS COUNTY, FLORIDA SHERIFF OTHER FINANCIAL INFORMATION – NONMAJOR SPECIAL REVENUE AND FIDUCIARY FUNDS
September 30, 2015
31.
Non-major Special Revenue Funds The non-major special revenue funds are used to account for the proceeds of special revenue sources other than special assessments, or major capital projects that are legally restricted to specified purposes. The Sheriff has the following non-major special revenue funds:
Pinellas Police Standards Council Fund – This fund is used to account for revenues designated for screening of law enforcement applicants as a service to all law enforcement agencies within the County.
Private Civil Process Fund – This fund is used to account for revenues and expenditures associated with training and regulating of the civil processors utilized by the Sheriff.
Florida Sheriff’s Task Force – This fund is used to account for activity for the Florida Sheriff’s Task Force that is held by the Sheriff and to be used by the Sheriff and other law enforcement entities for law enforcement activities.
Chaplain’s Fund – This fund is used to account for the receipts and disbursements of the Sheriff’s Chaplain’s activities.
Explorer Post 900 Fund – This fund is used to account for the receipts and disbursements of the Explorer Post 900.
Fiduciary Funds Fiduciary Funds are used to account for assets held by a governmental unit as trustee or agent for individuals, private organizations, and other governmental units.
Agency Funds – To account for the receipt and subsequent activity of monies temporarily held for others. These monies include amounts held for inmates of the County jail system, surety (appearance) bonds of accused individuals, employee payroll deductions for distribution to third parties and other miscellaneous items.
PINELLAS COUNTY, FLORIDA SHERIFF COMBINING BALANCE SHEET – NON-MAJOR SPECIAL REVENUE FUNDS
September 30, 2015
32.
PinellasPolice Private Florida Explorer
Standards Civil Sheriffs' Chaplain’s Post 900Council Fund Process Fund Task Force Fund Fund Total
AssetsCash and cash equivalents 293,246$ 454,033$ 199,105$ 171,870$ 45,779$ 1,164,033$Investments - - - 23,944 - 23,944Due from Pinellas County, Florida
Board of County Commissioners 24,047 - - - - 24,047
Total assets 317,293 454,033 199,105 195,814 45,779 1,212,024
Liabilities and fund balanceLiabilities:
Accounts payable and accrued expenses 470 3,108 - 13,461 1,403 18,442Accrued salaries and fringe benefits 6,468 - - - - 6,468Other current liabilities - - 199,105 - - 199,105
Total liabilities 6,938 3,108 199,105 13,461 1,403 224,015
Fund balances, restricted 310,355 450,925 - 182,353 44,376 988,009
Total liabilities and fund balances 317,293$ 454,033$ 199,105$ 195,814$ 45,779$ 1,212,024$
PINELLAS COUNTY, FLORIDA SHERIFF COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES –
NON-MAJOR SPECIAL REVENUE FUNDS Year Ended September 30, 2015
33.
PinellasPolice Private Florida Explorer's
Standards Civil Sheriffs' Chaplain’s Post 900Council Fund Process Fund Task Force Fund Fund Total
Revenues:Program revenue -$ -$ -$ 80,967$ 100,188$ 181,155$ Traffic fine revenue 162,983 - - - - 162,983Charges for services 116,500 124,284 - - - 240,784Interest and other revenue 791 1,366 - - 1,135 3,292
Total revenues 280,274 125,650 - 80,967 101,323 588,214
Expenditures:Salaries:
Deputies and assistants 186,570$ -$ -$ -$ -$ 186,570$ Employee fringe benefits 55,083 - - - - 55,083
Operating expenditures:Professional services 4,920 - - - - 4,920Other contractual services 9,100 133,742 - - - 142,842Investigations - 1,080 - - - 1,080Travel and per diem 343 - - - 540 883 Communication services 3,504 - - - - 3,504Rentals and leases 11,617 - - - - 11,617Insurance 521 - - - - 521 Repairs and maintenance - - - - 127 127 Printing and binding 94 2,480 - - - 2,574Public advertising 100 - - - - 100 Other charges and obligations 1,059 - - - - 1,059Office supplies 1,533 - - - 5,391 6,924Operating supplies 865 32,161 577 - 45,397 79,000Books, publications, and dues 415 - - - - 415
Capital outlay - - - - 5,492 5,492
Total expenditures 275,724 169,463 577 - 56,947 502,711
Net change in fund balance 4,550 (43,813) (577) 80,967 44,376 85,503
Fund balances – beginning of year 305,805 494,738 577 101,386 - 902,506
Fund balances – end of year 310,355$ 450,925$ -$ 182,353$ 44,376$ 988,009$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND
BALANCES – BUDGET AND ACTUAL – PINELLAS POLICE STANDARDS COUNCIL FUND Year Ended September 30, 2015
34.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)Revenues:
Traffic fine revenue 209,690$ 209,690$ 162,983$ (46,707)$ Charges for services 103,820 103,820 116,500 12,680 Interest and other revenue 250 250 791 541
Total revenues 313,760 313,760 280,274 (33,486)
Expenditures:Salaries:
Deputies and assistants 187,340 187,340 186,570 770 Employee fringe benefits 53,670 56,320 55,083 1,237
Operating expenditures:Professional services 12,865 12,865 4,920 7,945 Other contractual services 16,390 16,390 9,100 7,290 Travel and per diem 2,185 2,185 343 1,842 Communication services 4,370 4,370 3,504 866 Transportation 6,555 6,555 - 6,555 Rentals and leases 13,730 14,500 11,617 2,883 Insurance 680 680 521 159 Repairs and maintenance 330 330 - 330 Printing and binding 1,640 1,640 94 1,546 Public advertising 1,095 1,095 100 995 Other charges and obligations 3,270 3,270 1,059 2,211 Office supplies 3,550 3,370 1,533 1,837 Operating supplies 5,380 2,140 865 1,275 Books, publications, and dues 710 710 415 295
Total expenditures 313,760 313,760 275,724 38,036
Deficiency of revenues under expenditures - - 4,550 4,550
Other financing sources (uses):Reserves (305,805) (305,805) - 305,805
Total other financing sources (uses) (305,805) (305,805) - 305,805
Net change in fund balance (305,805) (305,805) 4,550 310,355
Fund balances – beginning of year 305,805 305,805 305,805 -
Fund balances – end of year -$ -$ 310,355$ 310,355$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN
FUND BALANCES – BUDGET AND ACTUAL – PRIVATE CIVIL PROCESS FUND Year Ended September 30, 2015
35.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)Revenues:
Charges for services 144,400$ 144,400$ 124,284$ (20,116)$ Interest and other revenue 1,200 1,200 1,366 166
Total revenues 145,600 145,600 125,650 (19,950)
Expenditures: Other contractual services 140,800 133,900 133,742 158
Investigations 1,100 1,100 1,080 20 Printing and binding 3,500 2,945 2,480 465 Operating supplies 200 32,365 32,161 204
Total expenditures 145,600 170,310 169,463 847
Deficiency of revenues under expenditures - (24,710) (43,813) (19,103)
Other financing sources (uses):Reserves (494,738) (470,028) - 470,028
Total other financing sources (uses) (494,738) (470,028) - 470,028
Net change in fund balance (494,738) (494,738) (43,813) 450,925
Fund balances – beginning of year 494,738 494,738 494,738 -
Fund balances – end of year -$ -$ 450,925$ 450,925$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN
FUND BALANCES – BUDGET AND ACTUAL – FLORIDA SHERIFFS’ TASK FORCE FUND Year Ended September 30, 2015
36.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)Total revenues -$ -$ -$ -$
Expenditures:Operating expenditures:
Operating supplies - - 577 (577)
Total expenditures - - 577 (577)
Net change in fund balance - - (577) (577)
Fund balance – beginning of year 577 577 577 -
Fund balance – end of year 577$ 577$ -$ (577)$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND
BALANCES – BUDGET AND ACTUAL – CHAPLAIN’S FUND Year Ended September 30, 2015
37.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)
Revenues:Program revenue -$ -$ 80,967$ 80,967$
Total revenues - - 80,967 80,967
Total expenditures - - - -
Net change in fund balance - - 80,967 80,967
Fund balance – beginning of year 101,386 101,386 101,386 -
Fund balance – end of year 101,386$ 101,386$ 182,353$ 80,967$
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND
BALANCES – BUDGET AND ACTUAL – EXPLORER POST 900 FUND Year Ended September 30, 2015
38.
VarianceWith Final
BudgetBudget Positive
Original Final Actual (Negative)
Revenues:Program revenue -$ 74,000$ 100,188$ 26,188$ Interest and other revenue - 1,050 1,135 85
Total revenues - 75,050 101,323 26,273
Expenditures:Operating expenditures:
Repairs and maintenance - 300 127 173 Travel and per diem - 900 540 360 Office supplies - 5,635 5,391 244 Operating supplies - 62,615 45,397 17,218
Capital outlay - 5,600 5,492 108
Total expenditures - 75,050 56,947 18,103
Net change in fund balance - - 44,376 44,376
Fund balance – beginning of year - - - -
Fund balance – end of year -$ -$ 44,376$ 44,376$
PINELLAS COUNTY, FLORIDA SHERIFF COMBINING BALANCE SHEET – AGENCY FUNDS
September 30, 2015
39.
Individual Inmate PayrollDepositor Trust Fund Total
AssetsCash and cash equivalents 179,151$ 157,858$ 161,405$ 498,414$ Accounts Receivable - 1,092 - 1,092
Total assets 179,151$ 158,950$ 161,405$ 499,506$
LiabilitiesAccounts payable and accrued expenses -$ 20,626$ 161,405$ 182,031$ Due to Pinellas County, Florida
Board of County Commissioners 5,165 - - 5,165 Due to Pinellas County, Florida
Clerk of the Circuit Court 124 - - 124 Individual deposits - 138,324 - 138,324 Unclaimed funds and other deposits 173,862 - - 173,862
Total liabilities 179,151$ 158,950$ 161,405$ 499,506$
PINELLAS COUNTY, FLORIDA SHERIFF COMBINING STATEMENT OF CHANGES IN ASSETS
AND LIABILITIES – AGENCY FUNDS Year Ended September 30, 2015
(Continued)
40.
October 1, September 30,2014 Additions Deductions 2015
Individual Depositor FundAssets:
Cash and cash equivalents 184,056$ 1,484,609$ 1,489,514$ 179,151$ Due from Pinellas County, Florida
Board of County Commissioners - 970 970 -
Total assets 184,056$ 1,485,579$ 1,490,484$ 179,151$
Liabilities:Accounts payable and accrued expenses -$ 1,792,988$ 1,792,988$ -$ Due to Pinellas County, Florida
Board of County Commissioners 2,187 576,476 573,498 5,165 Due to Pinellas County, Florida
Clerk of the Circuit Court 60 1,391 1,327 124 Due to other governments - 28 28 - Unclaimed funds and other deposits 181,809 935,503 943,450 173,862
Total liabilities 184,056$ 3,306,386$ 3,311,291$ 179,151$
Inmate Trust FundAssets:
Cash and cash equivalents 138,727$ 5,430,528$ 5,411,397$ 157,858$ Due from other funds - 1,092 - 1,092
Total assets 138,727$ 5,431,620$ 5,411,397$ 158,950$
Liabilities:Accounts Payable 46,661$ 20,626$ 46,661$ 20,626$ Individual deposits 92,066 5,478,281 5,432,023 138,324
Total liabilities 138,727$ 5,498,907$ 5,478,684$ 158,950$
PINELLAS COUNTY, FLORIDA SHERIFF COMBINING STATEMENT OF CHANGES IN ASSETS
AND LIABILITIES – AGENCY FUNDS Year Ended September 30, 2015
41.
October 1, September 30,2014 Additions Deductions 2015
Payroll FundAssets:
Cash and cash equivalents -$ 123,015,054$ 122,853,649$ 161,405$ Accounts receivable 115,819 - 115,819 -
Total assets 115,819$ 123,015,054$ 122,969,468$ 161,405$
Liabilities:Accounts payable 115,819$ 195,021,156$ 194,975,570$ 161,405$ Due to other governments - 44,990,976 44,990,976 -
Total liabilities 115,819$ 240,012,132$ 239,966,546$ 161,405$
Total – All Agency FundsAssets:
Cash and cash equivalents 322,783$ 129,930,191$ 129,754,560$ 498,414$ Accounts receivable 115,819 1,092 115,819 1,092 Due from Pinellas County, Florida
Board of County Commissioners - 970 970 -
Total assets 438,602$ 129,932,253$ 129,871,349$ 499,506$
Liabilities:Accounts payable and accrued expenses 162,480$ 196,834,770$ 196,815,219$ 182,031$ Due to Pinellas County, Florida
Board of County Commissioners 2,187 576,476 573,498 5,165 Due to Pinellas County, Florida
Clerk of the Circuit Court 60 1,391 1,327 124 Due to other governments - 44,991,004 44,991,004 - Individual deposits 92,066 5,478,281 5,432,023 138,324 Unclaimed funds and other deposits 181,809 935,503 943,450 173,862
Total liabilities 438,602$ 248,817,425$ 248,756,521$ 499,506$
COMPLIANCE REPORTS
(Continued)
42.
INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS BASED ON AN AUDIT OF FINANCIAL
STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS
Sheriff Bob Gualtieri Pinellas County, Florida Sheriff Largo, Florida
We have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standardsissued by the Comptroller General of the United States, the financial statements of each major fund and the aggregate remaining fund information of the Pinellas County, Florida Sheriff (the “Sheriff”), as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the Sheriff’s financial statements, and have issued our report thereon dated January 11, 2016. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General. The financial statements present only each major fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Sheriff, as of September 30, 2015, the changes in its financial position or, where applicable, its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements, we considered the Sheriff’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the Sheriff’s internal control. Accordingly, we do not express an opinion on the effectiveness of the Sheriff’s internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
Crowe Horwath LLPIndependent Member Crowe Horwath International
(Continued)
43.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Sheriff's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards.
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the entity’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.
Crowe Horwath LLP
Tampa, Florida January 11, 2016
PINELLAS COUNTY, FLORIDA SHERIFF SCHEDULE OF FINDINGS AND RESPONSES
Year ended September 30, 2015
44.
SECTION I - SUMMARY OF AUDITORS’ RESULTS
FINANCIAL STATEMENTS
Type of auditors’ report issued Unmodified
Internal control over financial reporting: Material weaknesses identified No Significant deficiencies identified not considered to be material weaknesses None reported
Noncompliance material to financial statements noted None
SECTION II - CURRENT YEAR FINDINGS AND RECOMMENDATIONS
None noted for the year ended September 30, 2015.
SECTION III- PRIOR YEAR FINDINGS AND RECOMMENDATIONS
None noted for the year ended September 30, 2014.
(Continued)
45.
Sheriff Bob Gualtieri Pinellas County, Florida Sheriff Largo, Florida
Report on Financial Statements
We have audited the financial statements of each major fund and the aggregate remaining fund information of the Pinellas County, Florida Sheriff (Sheriff) as of and for the year ended September 30, 2015, and have issued our report thereon dated January 11, 2016.
Auditor’s Responsibility
We conducted our audit in accordance with auditing standards generally accepted in the United States of America, the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States and Chapter 10.550, Rules of the Florida Auditor General.
Other Reports and Schedule
We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and Compliance and Other Matters Based on an Audit of the Financial Statements Performed in Accordance with Government Auditing Standards. Disclosures in that report, which is dated January 11, 2016, should be considered in conjunction with this management letter. As discussed in Note 1, the financial statements were prepared for the purpose of complying with the financial reporting provisions of Section 218.39, Florida Statutes, and Chapter 10.557(3), Rules of the Auditor General. The financial statements present only each major fund and the aggregate remaining fund information and do not purport to, and do not, present fairly the financial position of the Sheriff, as of September 30, 2015, the changes in its financial position or, where applicable, its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Prior Audit Findings
Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. Corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. See below for the status of the prior year finding:
Finding 2013-2 – Information Systems Controls
Status: Although corrective actions were initiated by the Sheriff, the finding was not completely addressed. See below for discussion of the current year finding.
Crowe Horwath LLPIndependent Member Crowe Horwath International
(Continued)
46.
Official Title and Legal Authority
Section 10.554(1)(i)5., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements. The Sheriff was established by the Constitution of the State of Florida, Article VIII, Section 1(d). The Sheriff did not include any component units.
Other Matters
Section 10.554(1)(i)2., Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. The following are considered deficiencies, which are when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect and correct misstatements on a timely basis.
Deficiency
Finding No. 2013-2 - Information Systems Controls
Criteria: Information systems controls should reasonably assure that electronic information is not compromised by unauthorized access to systems and that access is granted only as needed for individuals within the entity to perform their assigned responsibilities while maintaining adequate segregation of duties.
Condition: We noted certain matters relating to information systems controls. Specifically:
Due to staffing shortfalls, there is only one system analyst responsible for user administration, development, testing, and migration of program changes for the HTE application. This creates a potential for segregation of duty conflicts.
We noted during one terminated employee who was still listed as having access to the Harris Innoprise application. Upon notification, management immediately revoked the access rights.
Cause: Deficiencies in control design and implementation
Effect: The Sheriff could be exposed to various risks, including financial reporting risks and general business risks, as a result of certain deficiencies in information systems controls.
Recommendation: We recommend that management act upon the following recommendations:
We are aware of the Sheriff considering changes in the staffing structure to mitigate potential shortfalls of segregation of duties for the HTE application. We recommend that management continue its effort to segregate the responsibilities of the HTE application.
We are aware of the Sheriff’s plans to consider a new enterprise resource planning system for the future that would help to reduce future control deficiencies, including review of terminated employee access rights. We recommend that the Sheriff continue this process in order to ensure proper monitoring controls.
47.
Management’s Response:
The Pinellas County Sheriff's Office (PCSO) has mitigated this deficiency by dedicating a second resource to the maintenance of the HTE financial application. Responsibilities and duties were divided between the two technologists.
The PCSO will review controls to ensure any future terminated employees are immediately revoked in all applications.
The Sheriff’s written response to the deficiency identified in our audit was not subjected to the auditing procedures applied in the audit of the financial statements and, accordingly, we express no opinion on it.
Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings.
Purpose of this Letter
Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representatives, the Florida Auditor General, Federal and other granting agencies, and applicable management and is not intended to be and should not be used by anyone other than these specified parties.
Crowe Horwath LLP
Tampa, Florida January 11, 2016
48.
INDEPENDENT ACCOUNTANT’S REPORT ON COMPLIANCE WITH SECTION 218.415, FLORIDA STATUTES
Sheriff Bob Gualtieri Pinellas County, Florida Sheriff Largo, Florida
We have examined the Pinellas County, Florida Sheriff’s (the “Sheriff”) compliance with Section 218.415, Florida Statutes, concerning the investment of public funds during the year ended September 30, 2015. Management is responsible for the Sheriff’s compliance with those requirements. Our responsibility is to express an opinion on the Sheriff’s compliance based on our examination.
Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and, accordingly, included examining, on a test basis, evidence about the Sheriff’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the Sheriff’s compliance with specified requirements.
In our opinion, the Sheriff complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015.
Crowe Horwath LLP
Tampa, Florida January 11, 2016
Crowe Horwath LLPIndependent Member Crowe Horwath International
