HomeMy WebLinkAbout95.PPP CAFR - Admin Item 6Presenter:
Mike White
Controller
Comprehensive Annual
Financial Report
For the Year Ended June 30, 2016
Comprehensive Annual
Financial Report (CAFR)
•Fully explains financial operations of OCSD
•Prepared for the 23rd consecutive year
•Meets GFOA’s Excellence Award Standard
•Important to bond rating agencies and investors
Net Position Increased $156.7 Million
(in thousands)PercentageIncrease Increase(Decrease)(Decrease)
Assets
Current & Other Assets $ 609,676 $ 604,005 $ 5,671 0.9%
Capital Assets, Net 2,569,440 2,504,980 64,460 2.6%
Deferred Outflows 90,762 52,949 37,813 71.4%
Total Assets $3,269,878 $3,161,394 $ 107,944 3.4%
Liabilities
Current Liabilities $ 102,319 $ 105,031 $ (2,712)-2.6%
Noncurrent Liabilities 1,225,948 1,269,553 (43,605)-3.4%
Deferred Inflows 23,039 25,506 (2,467)-9.7%
Total Liabilities $1,351,306 $1,400,090 $ (48,784) -3.5%
Net Assets
Net Investment in
Capital Assets $1,429,269 $1,327,384 $101,885 7.7%
Unrestricted 489,303 434,460 54,843 12.6%
Total Net Position $1,918,572 $1,761,844 $ 156,728 8.9%
2016 2015
Net Position Increased $156.7 Million
Over the Prior Year
-60.5 M Decrease in PY Beginning Net Position
+194.5 M Reverse PY Restatement (GASB 68)
-6.8 M Decr. in Restated Beg. Net Pos. (GASB 73)
+13.6 M Increase in Non-operating Revenues
+ 13.0 M Increase in Service Charges & Fees
+ 0.3 M Increase in CFCC
-4.3 M Increase in Operating Expense
+3.2 M Decrease in Non-operating Expense
+3.7 M Decrease in Depreciation & Amort.
$156.7 M Increase in Net Position over the Prior Year
Source
of Funds
Use of
Funds
Change in Net Assets –
Last Five Years
+$156.7 M
+$96.1 M
Cash and Investments Decreased
$12.1 Million
Cash Provided by:
$155.5 M Net Proceeds from Debt Issuance
89.3 M Net Operating Activities
84.5 M Property Tax Revenues
15.6 M CFCC Fees
6.6 M Interest Received
6.3 M SARI Line Project Reimbursements
2.5 M Unrealized Gain on Investments
$ 360.3 M Cash Provided
Cash and Investments Decreased
$12.1 Million (cont’d)
Cash Used by:
$162.8 M Debt Retirement
123.0 M Net Capital Outlay
51.5 M Debt Interest Payments
29.4 M Debt Principal Payments
4.9 M Pollution Remediation
0.8 M Debt Issuance Costs
$ 372.4 M Cash Used
$360.3 M Cash Provided -$372.4 M Cash Used = $12.1 M Decr.
Under (Over)
Budget Actual Budget
Personnel Cost $94,802,400 $93,021,237 $1,781,163 1.9%
Contr. & Prof. Svc.27,445,060 26,490,627 954,433 3.5%
Materials & Supplies 17,191,000 15,864,274 1,326,726 7.7%
Repairs & Maint.12,332,440 13,004,095 (671,655)-5.5%
Utilities 7,787,080 7,245,613 541,467 7.0%
Other 6,626,460 5,137,100 1,489,360 22.5%
Cost Allocation (16,877,500)(19,361,242)2,483,742 -14.7%
Total Oper. Expense $149,306,940 $141,401,704 $7,905,236 5.3%
Collection, Treatment and Disposal Cost –
Comparison of Budget to Actual
For the Year Ended June 30, 2016
Operating Cost Under Budget Explanation
Salaries & Wages $2,963,000 Lower than anticipated staffing levels
(572 FTE actuals vs. 624 FTE Budget)
Odor Control 1,001,000 Anticipated increase in quantity to be used
for chemical dosing was unrealized.
Contingency/PY Reapp.775,350 Unexpected events were not realized.
Cost Allocation 2,484,000 CIP was greater than anticipated.
Total Under Budget $7,223,000
Collection, Treatment and Disposal Cost –
Comparison of Budget to Actual (cont’d)
For the Year Ended June 30, 2016
Collection, Treatment &
Disposal Costs = $141.4 Million
Decrease of $0.1 M or 0.1% from the prior year:
•Salaries and Benefits decreased $1.2 M, or 1.3%
Salaries increased $0.9 M, or 1.4 percent due to existing bargaining agreements
as total authorized staffing levels remained at the same level of 624.0 FTE’s in
FY 2015-16. Benefit costs decreased $2.1 M primarily consisting of decreased
retirement ($3.1 M) offset somewhat by increases in workers’ comp. ($0.7 M)
and group insurances ($0.3 M).
•Cost allocation increased $2.9 M, or 1.1%
Cost allocation out to the capital improvement program (CIP) increased as a
result of the increase in the overall CIP from prior years and the resulting shift of
indirect costs used to support Operations.
Collection, Treatment &
Disposal Costs = $141.4 Million (cont’d)
•Repair Materials & Services increased $1.4 M, or 11.7%
Increase is due to repairs made to primary clarifier effluent piping, CenGen engine,
and blowers at Plant No. 1 and CenGen engine overhaul and digester cleaning at Plant
No. 2.
•Contractual Services increased $0.9 M, or 3.9%
This increase is reflective of the anticipated increases in solids hauling costs and in other
contractual services.
•Materials and Supplies increased $0.5 M, or 3.1%
The increase is reflective of the anticipated increases in chemicals for cogeneration
operations and in safety equipment and tools.
Cost Per Million Gallons
Cost Per Million Gallons has Leveled Out with
in Reaching Full Secondary Treatment Standards and
Providing the Most Optimum Treated Water for GWRS
Fiscal Year
Auditor’s Report
Unmodified opinion on Financial Statements
No report on Internal Controls as no material
weaknesses or significant deficiencies were
uncovered.
Questions?