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TC Council Packet 06-27-2000A Brief Synopsis of the Town of Avon Town Council Work Session Meeting Date: June 27, 2000 Councilmembers Present: Jim Benson, Mike Brown, Debbie Buckley, Mac McDevitt, Buz Reynolds, Judy Yoder Councilmembers Absent: Rick Cuny Financial Issues (Executive Session) Web Site Discussions: Councilor Buckley discussed items she would like to see on our Web page. Council decided that Worksession Synopsis notes will be put on the web page after Council has approved them. Council also discussed putting a short biography of each Council member on the web site. Council members will get together with Jacquie to discuss. Audit Presentation: Jack Schroeder of VanSchooneveld & Co. discussed the 1999 Comprehensive Annual Financial Report in detail with the Council. Mr. Schroeder discussed the different funds held by the Town. He stated that the Town is in good financial shape at the end of 1999, and that revenue is up 4% from 1998. He stated the Town had a significant amount of refunding, which increased it's economic gain and reduced it's debt service. He also discussed the new ballot question being proposed by Douglas Bruce. Fireplace Ordinance: Town Manager Bill Efting stated he was contacted by Michael Hazard and Steve Coyer regarding the fireplace ordinance. They would like Council to consider allowing the installation of multiple fireplaces filled with gas-log inserts in their homes. The Town regulation now allows for no more than one such fireplace unit. Mr. Coyer stated they do not want more wood burners. Mayor Yoder asked why the ordinance was passed in 1992 and why we changed it. Community Development Director Mike Matzko said to protect air quality (no wood burning) and the other reason was to promote efficient heating sources. He stated enclosed gas fireplaces are a very efficient heating source. It is different than the gas-log inserts. Mr. Coyer passed out sample pictures of different fireplaces. Council discussed the current ordinance. Mayor Yoder state that she does not have a problem with changing the ordinance. Council agreed. Staff will draft a change to the ordinance. They would like to see it changed to 1 wood burning and unlimited gas fireplaces. Mr. Matzko stated it will take about 30 days before it goes into effect. Real Estate Transfer Tax: Mayor Yoder confirmed that the appeal by Wendy Grundtisch will be postponed until the July 11 meeting. Finance Director Scott Wright gave a brief history of the transfer tax code. He stated in 1996 applications were being turned in after payment of the tax and there was no provision in the code to make refund on those. Then the ordinance was changed so that the application for the primary residence was changed to read that the application must be filed with the town prior to payment of the tax. Forms were changed for easier readability and letters were sent to all title companies informing of the change. Town Attorney Burt Levin discussed the appeal by Westlund Investments to be heard on tonight's agenda with the Council. Mr. Wright stated the purchaser fills out application, and Staff checks to see if an exemption has been taken in the past. If not, we sign paperwork and send it to the title company. We have had situations were it was forgotten and title company has not had paperwork in hand at closing. The change in the ordinance made it so the title company could escrow the funds and then they could apply and get the refund. Mr. Wright then discussed the appeal by Ms. Grundtisch. Community Development Update: Town Planner Tambi Katieb discussed the resolution on tonight's agenda regarding the forest service trade. He stated staff received a referral letter from the White River National Forest on the land exchange requesting our support. Avon's part of the land exchange is 478 acres. He stated Staff is supportive of the exchange. Councilor Benson asked when will it be finished. Mr. Katieb stated that the Forest Service hopes to be finished by next spring. Mr. Katieb said an open house is scheduled this Thursday from 5-7 PM in the Council Chambers. Mr. Matzko stated that JE Hildreth, the Town's Building Official, is out of the hospital today and should be back home today. Consent Agenda Questions: Town Engineer Norm Wood updated Council on Resolution No. 00-32, which was added late to the Consent Agenda. It approves the amended condominium Map for Canyon Run. Other: Council discussed the garage sale sign. Mr. Efting said 12-15 signs will be placed throughout town. Mayor Yoder said she would still like Staff to pull down the signs on light posts. Mayor Yoder confirmed that Council received the letter regarding the bike path along Sun-ridge. Assistant Town Manager Larry Brooks discussed the history of the bike path design. Mr. Brooks stated that Staff has done a good job reaching out to the residents with suggestions and for their input. Staff feels they have a good solution by moving the path away from Sunridge, but it is a higher cost. It cannot go any closer to the river. Mayor Yoder stated the Sunridge Homeowners could come to the next meeting during Citizen Input. Council discussed the bike path alignment on a map provided by Mr. Wood. Council questioned if there were any options. Mr. Efting will write a letter to the Sunridge Homeowners. Mr. Efting asked Council if they could attend a joint meeting with the Planning & Zoning Commission on July 18. Council agreed. Mr. Efting stated that the sanitation district called and want to meet with Council regarding the odor ordinance. Mayor Yoder stated they can come to the next meeting to discuss during Citizen Input. Town Council Meetings Roll Call Check Sheet Jim Benson / Michael Brown V/ Debbie Buckley / Rick Cuny Mac McDevitt / Buz Reynolds / / Judy Yoder Roll calls are called at start of meeting and for Ordinances. Do not call Mayor except for meeting roll call or to break a tie vote. Date: O--?)--) --D0 Seating arrangements from west to east: Brown, Reynolds, Cuny, Yoder, McDevitt, Buckley, Benson Staff Present: Bill Efting Larry Brooks Burt Levin Kris Nash _,-,'_Jacquie Halburnt Scott Wright X Jeff Layman k Charlie Moore Meryl Jacobs Norm Wood X Bob Reed _y Harry Taylor Mike Matzko Karen Griffith Other Staff: (t r ?L V 1 . ?t ? STATE OF COLORADO ) COUNTY OF EAGLE ) TOWN OF AVON ) SS NOTICE IS HEREBY GIVEN THAT A WORK SESSION OF THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO, WILL BE HELD JUNE 27, 2000, AT 3:15 P.M. IN THE MUNICIPAL BUILDING, 400 BENCHMARK ROAD, AVON, COLORADO FOR THE PURPOSE OF DISCUSSING AND CONSIDERING THE FOLLOWING: 3:15 PM - 3:30 PM 1.) Financial Issues (Executive Session) 3:30 PM - 3:45 PM 2.) Web Site Discussions 3:45 PM - 4:15 PM 3.) Audit Presentation (Jack Schroerder, VanSchooneveld & Co.) 4:15 PM - 4:45 PM 4.) Fireplace Ordinance Discussion 4:45 PM - 5:00 PM 5.) Real Estate Transfer Tax History (Burt Levin and Scott Wright) 5:00 PM - 5:20 PM 6.) Community Development Update Consent Agenda Questions Council Committee Updates AND SUCH OTHER BUSINESS AS MAY COME BEFORE THE COUNCIL THIS MEETING IS OPEN TO THE PUBLIC TO" OF AVON, COLORADO BY: own Clerk POSTED AT THE FOLLOWING PUBLIC PLACES WITHIN THE TOWN OF AVON ON JUNE 23, 2000: AVON MUNICIPAL BUILDING IN THE MAIN LOBBY AVON BEAVER CREEK TRANSIT BUS STOP AT AVON CENTER AVON RECREATION CENTER CITY MARKET IN THE MAIN LOBBY A Alk J To: Mayor and Town Council From: Debbie Buckley Date: 6/25/2000 Re: Avon Website Attached are pages of the Avon website that I believe could be used more effectively to promote communication in Avon Town Council Recaps - We are currently posting the minutes of the regular meetings only. I suggest that we post a summation of the work sessions as well. This will help people stay informed about what is being discussed. For example, in the recent speed bump issue, most of the council discussion took place at the work session when Peggy Peiters came to request the speed bump. Because this topic was not discussed at the regular session, some of the people who objected were not aware of the decision until the speed bump was in place. 2. Council Members and Council Agendas page - I suggest that Council members contact info be posted on one or both of these pages. It would be my preference to have my email address posted on the Member page. Another idea is to have the photos on the agenda page to be clickable and linked to our emails. 3. 1 think Avon should be represented from the vail. net community page AVO r- 4ttlsv tr?? F i, mulls 050900 MINUTES OF THE REGULAR MEETING OF THE TOWN COUNCIL HELD MAY 23, 2000 A regular meeting of the Town of Avon, Colorado was held in the Municipal Building, 400 Benchmark Road, Avon, Colorado in the Council Chambers. The meeting was called to order by Mayor Judy Yoder at 5:30 PM. A roll call was taken with Councilors Jim Benson, Debbie Buckley, Rick Cuny, and Mac McDevitt present. Councilor Buz Reynolds was absent. Also present were Town Manager Bill Efting, Town Attorney Burt Levin, Assistant Town Manager Lary Brooks, Town Clerk Kris Nash, Finance Director Scott Wright, Police Chief Jeff Layman, Police Sergeant Mike Leake, Recreation Director Meryl Jacobs, Town Engineer Norm Wood, Engineer Anne Martens, Transportation Director Harry Taylor as well as members of the press and public. 042500 041100 032800 031400 0222.00 020800 Citizen Input: Mayor Yoder read in full and presented a plaque to former Mayor Protem Bob Mcllveen in appreciation of his years of service on the Avon Town Council. Ordinances: First Reading of Ordinance No. 00-06, Series of 2000, An Ordinance Amending Chapters 8.31 and 8.32 of the Avon Municipal Code Relating to Odor Pollution; and Providing Penalties for the Violation Thereof. Town Attorney Burt Levin presented this Ordinance on First Reading. Mayor Yoder confirmed that this Ordinance would come before Council at the next meeting. After discussion by the Council, Councilor McDevitt motioned approval of Ordinance No. 00-06, Series of 2000 on first reading. Councilor Buckley seconded the motion. Mayor Yoder asked for a roll call. The motion carried unanimously. Resolutions: Resolution No. 00-23, Series of 2000, A Resolution to Amend the 2000 Town of Avon Budget Finance Director Wright stated this Resolution increases appropriations to the Capital Improvements Fund budget by $230,000. This pertains to the W. Beaver Creek Blvd. streetscape AVON TOWN COUNCIL Mayor Judy Yoder Councilor Jim Benson Councilor Michael Brown Councilor Debbie Buckley Councilor Rick Cuny Councilor Mac McDevitt Councilor Buz Reynolds, Jr. ` I -vo ( 0 L 0 R i D G r )Otte ;fib LNU,t&A Aiaa%wTs" Awq;?Uq r- AVON TOWN COUNCIL Mayor Judy Yoder Councilor Jim Benson Councilor Michael Brown Councilor Debbie Buckley Councilor Rick Cuny Councilor Mac McDevitt Councilor Buz Reynolds, Jr. ?,`E'3TCF Y WFMAM NPM VLFASFS S.OMAL NTS AFCk9ATT0N1 LFNTFk 40TT1N"M i MF AND CEPk'N AVON AkT G&L -kY P ST FM aC OS AVON gONN SHUTTLE AVON TO ?6Wk C;F< 51 JTTLF HJn LAHF SHJTTt JOKORt4tNGB iCNVf?I 31+1?1L+6C,EN E4 tGl1?#ht C_C1?1NlGL Ci??S P97A.WNCAS FfkF XF*kTt+SFW HOME Photos courtesy of Norman Wood Mayor Judy Yoder 349 JS ?A fprN lime. ts? ?Sr? liw ama 062000 The next Town Council meeting will be held on June 20, 2000. AVON TOWN COUNCIL Mayor Judy Yoder Councilor Jim Benson Councilor Michael Brown Councilor Debbie Buckley Councilor Rick Cuny Councilor Mac McDevitt Councilor Buz Reynolds, Jr. t?. ?S f t? ¢+ x 1 061300 060600 _05.2300 050900 050200 042500 041800 040400 032800 032100 031400 030700 HISTOW WFW-'&,4 hJ?M kFL. F tSES SPFCAL F FMT& RECtkF&TC. N CFNITk I-OTT14GL M LAKE A14D CANN AVON AkT G4LLEVY PIT FGA k€rX AVCMTOM41HUrTL.F JsYDN T^O REWF;L MFE$CIHUTr_r- HU LMF SHUrrL.F jCA C]PENI.4GS , NN MUhr-fL 6GE°4-A LOUNCL UCAFS PS7AGFMCAS FORE DEFAUMEW € 040 Photos courtesy of Norman Wood What a wonderful community the Vail Valley has. Please take a moment to browse the following municipal and charitable organizations that make our resort area so special: Tnwn of \/a i I Town of Minturn Eagle County Non-Profit Organizations Chamber of Commerce Maps of the Vail Valley Houses of Worship Eagle County Schools 11 Key differences between these fireplaces and those permitted by the regulation are: 0 • The firebox in the gas appliance type is sealed behind glass. This is done to control combustion, safety, and to ensure that most of the heat remains inside of the home rather than going up the chimney. Venting is through a smaller and lower-temperature pipe than required by a wood burning fireplace; it may be constructed to look like a normal chimney, or vented directly through the wall. • The gas log fireplace desired by the property owners is an open hearth, and requires a chimney rated for wood burning. A wood burning fireplace requires a flue damper; however, a wood burning fireplace with gas logs installed must have the damper removed or fixed in an open position. In a wood burning fireplace, with or without gas logs, a significant portion of the heat generated goes up the chimney. Staff will be prepared to answer questions about the regulations and possible changes, at the June 27 work session. If you have any questions in the meantime, please call me at 748-4014. Town Manager Comments 11, Attachments: A - Chapter 15.40 of the Avon Municipal Code B -Letters regarding fireplace regulations E Memo to Town Council, June 20, 20001 rage z or z Re: Fireplace Regulations I .7 15.36.160--15.40.020 state. Whenever any provision with any provision of any other statute of the state, the more control. (Ord. 81-2 §15). of this chapter conflicts ordinance of the town or restrictive provision shall 15.36.160 Violation--Penalty. Any person, firm or corporation violating any of the provisions of this chapter shall be deemed guilty of a violation of this chapter, and any such person, firm or corporation shall be deemed guilty of a separate offense for each and every day or portion thereof during which any violation is committed, continued or permitted and upon conviction of any such violation, such person, firm or corporation shall be punished by a fine of not more than three hundred dollars or by imprison- ment for not more than ninety days, or by both such fine and imprisonment. (Ord. 81-2 §16). Chapter 15.40 SOLID-FUEL-BURNING DEVICES v E Sections: 15.40.010 Purpose and applicability. 15.40.020 Definitions. 15.40.030 Regulations below elevation of seven thousand eight hundred twenty feet. 15.40.040 Regulations above elevation of seven thousand eight hundred twenty feet. 15.40.050 Gas appliances. 15.40.060 Coal usage prohibited. 15.40.010 Purpose and applicability. These regula- tions are enacted for the purpose of promoting the health, safety and general welfare of the residents of and visitors to the town of Avon. These regulations are intended to achieve the following more specific purposes: A. To protect air quality; and B. To promote heat sources that are efficient and have a reduced polluting effect. (Ord. 91-11 §1 (part)). 15.40.020 Definitions. A. "Certified-solid-fuel- burning device" means a solid-fuel-burning device which is certified by the Air Pollution Control Division of the Colorado Department of Health to meet the emissions stan- dards set forth in Section IV of Regulation No. 4 of Volume I of Colorado Air Quality Control Commission. B. "Gas appliance" means a fully self-contained, U.L. listed and A.G.A. fireplace unit which does not require 123-53 (Avon 1/92) I 15.40.030--15.40.050 venting through a chimney and which does not permit the use of solid fuel. C. "Gas-log fireplace" means a gas appliance equipped with an A.G.A. and U.L. listed artificial log unit which is approved for the burning of natural gas. D. "Solid-fuel-burning device" means any fireplace, stove, firebox or device intended and/or used for the pur- pose of burning wood, pulp, paper or other nonliquid or nongaseous fuel. This definition specifically excludes noncommercial barbecue devices used to cook food outdoors. E. "Wood-burning fireplace" means an open hearth or fire chamber or similar prepared place in which a fire may be made and which is built in conjunction with a chimney. (Ord. 91-11 §1 (part)). 15.40.030 Regulations below elevation of seven thou- sand eight hundred twenty feet. Below the elevation of seven thousand eight hundred twenty feet, no new wood-burn- ing or solid-fuel-burning fireplaces or other devices shall be permitted to be constructed or installed after the ordi- nance codified in this chapter becomes effective. No mo- bile or modular home shall be moved into place in the town and connected to utility service which has installed with such mobile or modular home a solid-fuel-burning device. Below such elevation, certified-solid-fuel-burning devices, gas appliances and gas-log fireplaces shall be permitted. Below such elevation there shall also be permitted one wood-burning fireplace in the lobby of any hotel or lodge; provided, a fee in the amount of three thousand dollars is paid at the time of application for building permit. (Ord. 91-11 §1 (part)). 15.40.040 Regulations above elevation of seven thou- sand eight hundred twenty feet. Above the elevation of seven thousand eight hundred twenty feet, one wood-burning fireplace shall be permitted in each new dwelling unit constructed; provided, a fee in the amount of one thousand five hundred dollars is paid at the time of application for building permit; provided, no new wood-burning or other solid-fuel-burning fireplaces or other devices shall be permitted in dwelling units triplex and greater in size after the ordinance codified in this chapter becomes effec- tive. Above such elevation, certified-solid-fuel-burning devices, gas appliances and gas-log fireplaces shall be permitted. (Ord. 91-11 §1 (part)). C r-11-1w m 7-0- 15.40.050 Gas appliances. All gas-log fireplaces shall be constructed in such a manner that access to the firebox is prohibited except for the purposes of repair and maintenance. (Ord. 91-11 §1 (part)). 123-54 (Avon 1/92) I • • C7 15.40.060 15.40.060 Coal age rohibited. The burning of coal within the town is prohibited. (Ord. 91-11 K (part)). 123-55 (Avon 1/92) I A Professional Corporation East Meadow Drive 143 Crossroads at Vail Crossroads MORTERAKERARCH ITECTS Vail, Colorado 81657 970/476-5105 FAX 970/476-0710 Email MorterAker® MorterAker.com June 6, 2000 Mr. Bill Efting Town Manager Town of Avon PO Box 975 Avon, CO 81620 Hello Bill, E I understand from Steve Coyer, a resident of Mountain Star, that he and others have discussed with you the Town of Avon's recent revisions to the Town's fireplace regulations. I share Steve's concerns about the Town's recent revisions, and would encourage you and the Town Council to reconsider its regulations again. Further, I would donate our office's assistance and expertise to the Town as you reconsider your regulations. Thank you for maintaining flexibility in this important matter. I look forward to working with you. Best re -Morter, FAIA R AKER ARCHITECTS E AILSA DEVELOPMENT LLC P.O. BOX 1979 AVON, CO 81620 May 31, 2000 Mayor Judy Yoder and Town Manager Bill Efting Avon, Colorado Dear Mayor Yoder and Mr. Efting, My wife, Amy, and I moved here from the New York City area last June. We had been vacationing in the Valley for over twenty years, and always hoped to make this our "home" someday. We couldn't be happier living here, and look forward to our future here in Avon. We had purchased a lot in Mountain Star a few years ago, hoping that we'd eventually come out here and build. After arriving last year, we examined a number of new business ideas, and settled on building one high-end custom home each year for profit (we hope!). We purchased another Mountain Star lot for this purpose. We engaged Ned Gwathmey to design the homes and George Shaeffer's construction company to build them. We have just broken ground on the two homes. It's come to our attention that the current fireplace regulations in the town of Avon do not permit us to install the gas log fireplaces we need in both homes. While this is important to the design of our own home, it is critical to the "spec" home. We will be trying to sell it for upwards of four million dollars, and potential buyers will not find the gas appliances we would have to use (under current regulations) appropriate for their home. This is particularly true when the buyer could go across the valley and purchase homes in Beaver Creek, Bachelor Gulch, or Cordillera and find multiple gas log fireplaces in those homes. Amy and I want to be build more homes in Mountain Star, eventually. But we will not do so if we have problems designing the homes up to the standard we feel the market demands. I encourage you to re-examine this issue. The new gas log fireplaces are so convenient and attractive that many people prefer them to traditional wood-burning ones. They are clean and safe, and are very important in creating a warm feeling to a mountain home. Thank you for your consideration of this matter. Sincerely, Steven C. Coyer U TEL 970.926.8943 FAX 970.926.2309 AILSA_DEV@HOTMAI L. COM • MOUNTAIN STAR ASSOCATION P.O. Boa 1599 AVON, COLORADO 81620 May 31, 2000 Mr. Bill Efting and Ms. Judy Yoder Town of Avon Box 975 Avon CO 81620 Dear Ms. Yoder and Mr. Efting: I understand that the Mountain Star Association Board of Directors has written you regarding the Town's interpretation of its building code as it relates to gas log set fireplaces. As the chairman of the Mountain Star Design Review Committee, I want you to know that the Design Review Committee shares the Board's position on this issue. We would welcome the opportunity to meet with the Town Council to discuss improving the Town's fireplace regulation. Respectfully, Willis J. Wright Chairman, Design Review Committee Mountain Star Association Cc: Jim Clarke, East West Resorts Steve Coyer, Director Peter Dann, East West Resorts John Ebin, Director Alison Knapp, Director Mark Smith, Director and DRC Duane Piper, DRC Rick Dominick, DRC Jim Morter, DRC 0 Michael Hazard Associates Architecture Planning May 30, 2000 Ms. Judy Yoder; Mayor Mr. Bill Efting; Town Manager The Town of Avon P.O. Box 975 Avon, CO 81620 Dear Judy and Bill, I want to thank you for your thoughts regarding the issue of gas fireplaces in the Town. Per our discussion, there are a number of large homes throughout the Valley and in the case of Avon, in Mountain Star, that are being designed with multiple fireplaces. In spite of the allowance for one wood-burning fireplace, the vast majority of our clients are requesting the convenience and immediacy of a gas log fireplace. There are numerous instances where current wood burning fireplaces are being converted to gas burning units. The problem is really one of design with the reality that the "gas appliances", currently required by the Town, are generally very small and poorly designed. They are out of keeping with the scale and quality of the homes within which they are being placed. The only distinct building code requirement for these units, which must be maintained, is when they are located within bedrooms. I would like to approach the Council with the request to allow the installation of conventional metal or masonry fireboxes, fitted with gas log sets, as currently approved in other parts of the County. Thank you for your interest in this matter. L` A ASSOCIATES P.O. Box 1068 Vail, Colorado 81658 303.949.4958 Fax 303.949.4838 ,11 J A 4inrPrPly E MOUNTAIN STAR ASSOCATION P.O. Box 1599 AVON, COLORADO 81620 May 25, 2000 Mr. Bill Efting Avon Town Manager Box 975 Avon CO 81620 Dear Mr. Efting: The purpose of this letter is to request that the Avon Town Council consider modifying its building codes as they relate to gas log set fireplaces. Fireplaces are an important aspect of Mountain Star homes, and most existing homes have a mix of fireplaces: wood burners vented through chimneys (maximum one per house), open-hearth gas sets vented through chimneys, and gas appliances. In practice, the wood burning fireplace is most often located in the living room, with multiple gas log sets located in family rooms, secondary living rooms, libraries, etc. Gas appliances are the only types of fireplace allowed in bedrooms, and we support that aspect of the Town's regulations. Building inspectors have recently been allowing only one chimney per house, and requiring all other fireplaces be appliances (this may be as a result of changes made to Ordinance No. 99-13, Chapter 15.24.080 Section 902 - Masonry Fireplaces in July, 1999). In any case, we feel that eliminating open hearth gas log sets vented through chimneys does not allow Mountain Star land owners to build attractive homes appropriate to Mountain Star's wonderful location. Gas appliances are seriously deficient from an aesthetic standpoint, and are not suitable substitutes for gas log sets. Most large, custom homes in the valley (Bachelor Gulch, Beaver Creek, Vail, and Cordillera) have multiple gas log sets, and it is important that Mountain Star homes be able to offer its homeowners similar amenities. We do not know what prompted the change to this regulation. There may be a fear that homeowners will convert their gas log sets to wood burning fireplaces -- this is technically possible. In reality, this does not happen. The quality of gas log sets has improved so much that many homeowners either choose not to build a wood burning fireplace when they build their house, or elect to replace existing wood burners with the new, high quality gas log sets. This is due to the greatly improved "look" of the gas log sets, as well as their terrific convenience compared to a traditional wood fire. Additionally, these units have similar emission characteristics to gas appliances. However, if Town officials prefer, we will be happy to institute some sort of annual inspection of our homes to ensure that none has more than one wood-burning fireplace. But we feel that the Mountain Star Design Review Committee and its process will ensure that only one wood burner is planned and built. And our Board of Directors, through its regular newsletter, can offer homeowners reminders that only one wood burner is permitted. We feel our homeowners can be trusted to obey this regulation. Mountain Star homeowners are proud to live in the Town of Avon, and are very happy with the Town's many useful services. But on this important issue, we would welcome the opportunity to meet with the Town Council to discuss improving the Town's fireplace regulation. Respectfully, Joh ?Fessler Press e, ard of Directors Mountain Star Association ® Cc: Jim Clarke, East West Resorts Steve Coyer, Director Peter Dann, East West Resorts John Ebin, Director Alison Knapp, Director Mark Smith, Director May 24, 2000 Mr. Bill Efting PO Box 975 Avon, CO 81620 Re: Fireplace Regulations Mr. Efting: We are writing to you as per the request of our clients Amy and Steve Coyer. This is regarding the Town of Avon's fireplace regulations, especially as they apply to Mountain Star. As you have spoken with both Steve Coyer and George Shaeffer about this subject, we will not go into the specifics of these projects. We would like to share with you some general thoughts about gas fireplaces that may encourage you to modify the existing regulations. The regulations as currently implemented limit all but one fireplace to gas appliances. While gas appliances are improving, they continue to be a poor shadow of a real fireplace fitted with a high quality gas log set. Since Eagle County issued their fireplace regulations and subsequently the Town of Vail's similar regulations, our firm has designed and seen built numerous residences with wood burning boxes and even true masonry boxes fitted with gas log sets. This gives our clients a superior looking fireplace while causing no more air pollution than a gas appliance. To our knowledge not one of our clients has ever attempted to convert a fireplace back to a wood-buming fireplace. The trend in fact has been the opposite. Many of our clients have found that they prefer the cleanliness and convenience of the gas log sets. In our opinion the Town of Avon's fireplace regulations needlessly prohibit the use of wood buming boxes fitted with gas log sets. They cause no more air pollution than gas appliances, and there is little likelihood that anyone would convert them to wood burning fireplaces. We would appreciate any modification of the regulations that would allow us to provide our clients the attractive fireplaces that they have seen in our residences elsewhere in the county. Thank you for your time and consideration. Please feel free to call if you would like to discuss this matter further. Sincerely, GWATHMEY PRATT SCHULTZ ARCHITECTS, p.c. Ned Gwathmey Rob Galvin May 24, 2000 Mr. Bill Efting PO Box 975 Avon, CO 81620 Re: Fireplace Regulations Mr. Efting: We are writing to you as per the request of our clients Amy and Steve Coyer. This is regarding the Town of Avon's fireplace regulations, especially as they apply to Mountain Star. As you have spoken with both Steve Coyer and George Shaeffer about this subject, we will not go into the specifics of these projects. We would like to share with you some general thoughts about gas fireplaces that may encourage you to modify the existing regulations. The regulations as currently implemented limit all but one fireplace to gas appliances. While gas appliances are improving, they continue to be a poor shadow of a real fireplace fitted with a high quality gas log set. Since Eagle County issued their fireplace regulations and subsequently the Town of Vail's similar regulations, our firm has designed and seen built numerous residences with wood burning boxes and even true masonry boxes fitted with gas log sets. This gives our clients a superior looking fireplace while causing no more air pollution than a gas appliance. To our knowledge not one of our clients has ever attempted to convert a fireplace back to a wood-burning fireplace. The trend in fact has been the opposite. Many of our clients have found that they prefer the cleanliness and convenience of the gas log sets. In our opinion the Town of Avon's fireplace regulations needlessly prohibit the use of wood burning boxes fitted with gas log sets. They cause no more air pollution than gas appliances, and there is little likelihood that anyone would convert them to wood burning fireplaces. We would appreciate any modification of the regulations that would allow us to provide our clients the attractive fireplaces that they have seen in our residences elsewhere in the county. Thank you for your time and consideration. Please feel free to call if you would like to discuss this matter further. Sincerely, GWATHMEY PRATT SCHULTZ ARCHITECTS, p.c. Ned Gwathmey Rob Galvin TOWN OF AVON REGULAR COUNCIL MEETING AGENDA June 27, 2000 - 5:30 PM 1. Call to Order / Roll Call i? 2. Citizen Input c ' a.) Salute to the USA Update b.) Wildridge Safety (Peggy Pieters/Charlie Sherman) c.) Real Estate Transfer Tax Appeal, 2481 Buffalo Head, Wildridge (Whitney Grundtisch) ?? Y v d.) Real Estate Transfer Tax Appeal, 0288 West Beaver Creek Blvd. (Westlund Investments) 3. Ordinances,2 a.) First Reading of Ordinance No. 00-07, Series of 2000, An Ordinance Authorizing the Execution and Delivery by the Town of a First Amendment to a Prior Lease Purchase and Sublease Agreement and an Official Statement; Approving the Assignment of the Town's Interest in a Contract to Purchase Real Property; Ratifying Action Previously Taken Concerning the Referenced Transactions; and Providing Other Matters Relating Thereto 4. Resolutions a.) Resolution No. 00-31, Series of 2000, A Resolution Endorsing the Vassar Meadows Land Exchange Between the White River National Forest and Town of Avon, Eagle County, Colorado 5. Unfinished Business 6. New Business 7. Town Manager Report 8. Town Attorney Report t CJ 9. Mayor Report 10. Other Business 11. Consent Agenda a.) Approval of the June 13, 2000 Council Meeting Minutes b.) Financial Matters C.) of Audit by Van Schooneveld & Co. d.) Contract with Quickbeam Systems, Inc. e.) Contract with Ourston for Roundabout Design £) Resolution No. 00-32, Series of 2000, A Resolution Approving the Amendment to Sixth Supplement to Condominium Map Canyon Map, (Garage A & B), Lot 4, Nottingham Station, Town of Avon, Eagle County, Colorado 12. Adjournment _ 3.12.010--3.12.020 Chapter 3.12 REAL PROPERTY TRANSFER TAX Sections: 3.12.010 Title. 3.12.020 Definitions. 3.12.030 Imposition of tax. 3.12.040 Persons liable for tax. 3.12.050 Computation of tax. 3.12.060 Exemptions. 3.12.070 Application for exemption--Form of certifi- cate--Approval. 3.12.080 Lands affected. 3.12.090 Due dates, delinquencies, penalties and interest. 3.12.100 Unpaid tax to constitute lien--Notification-- Tax deemed a debt. 3.12.110 Allocation of revenue. 3.12.120 Town manager to enforce--Collection. 3.12.130 Penalty for violations--Remedies not exclusive. 3.12.010 Title. This chapter shall be known and may be cited as "The Town of Avon Real Property Transfer Tax Ordinance." (Ord. 80-6 §1). 3.12.020 Definitions. With reference to this chapter and t e .interpretation hereof, the following terms shall have the meanings specified: A. "Consideration" means and includes the actual cash paid and/or value of the property delivered, or contracted to be paid or delivered, in return for the transfer of owner- ship or title to, or any other possessory interest in, real property and shall include the amount of any lien, mortgage, contract indebtedness or other encumbrance, either given to secure the purchase price, or any part thereof, or remaining unpaid on the property at the time of sale. The term does not include the amount of any outstanding lien or encumbrance in favor of the United States, the state, or of a municipal or quasi-governmental agency, corporation or district for taxes, special benefits or improvements. In the event that the transaction or transfer is by lease agreement not specifi- cally exempted-in _-Section _ 3.-12.-060, the-consideration shall be computed based upon the capitalization or the current annual rental for ten years, plus any additional consideration, paid or to be paid. When it is not possible to determine the annual rental, the tax shall be based upon the appraised value of the property covered by the lease, and this decision, that the annual rental cannot be determined, shall be solely at the discretion of the town manager. 23 (Avon 10/85) 3.12.030--3.12.040 B. "Density units" means density units as designated • on the official town plat of the town, as amended, and density allocations assigned to specific lots in the town by platting or designation through specially planned units. C. "Person" means any individual, corporation, business trust, estate, trust, partnership, association or other legal entity. D. "Town manager" means the person appointed pursuant to Section 8.1 or Section 8.2 of the Town Charter or, if the office of town manager is vacant, the mayor pursuant to Sec- tion 8.1 of the aforementioned Charter. E. "Transfer" means any grant, conveyance or alienation of real property, as evidenced by deed, instrument of con- veyance or exchange, or any other writing wherein or whereby title to real property is granted, conveyed or alienated,' or the conveyance of a possessory interest including any other indicia of ownership without the passing of legal title. F. "Real property" means property other than personal property as defined by the statutes of the state and does not include trailers or mobile homes, except trailers or mobile homes, which, by way of a foundation, have become attached as fixtures to the land on which they are located. "Real property" further means and includes density units. Any transfer of density units, whether transferred separately from or as a part of a transfer of title to real property, shall be taxable under the provisions of this chapter. G. "Deed in lieu of foreclosure" means a conveyance by a property owner to a secured party of property which is the subject of a mortgage, deed of trust or other security instrument, in consideration of the cancellation of the in- debtedness secured by such security instrument. (Ord. 85-5 §l: Ord. 83-12 §1; Ord. 81-12 §1; Ord. 80-6 §5). 3.12.030 Imposition of tax. Except as provided in Section 3.12.060, there is imposed a tax on all transfers of interests or possessory rights in and to real estate located in the town by deed, lease, assignment of lease, agreement for sale of stock or contract. The tax imposed is and shall constitute a tax payable with respect to the transfer, and the tax is due and payable at the time of the transfer. (Ord. 80-6 §3). 3.12.040 Persons liable for tax. Any purchaser or purchasers, or any other transferee or transferees of real property the transfer of which is subject to the imposition of the tax described in Section 3.12.030, shall be jointly and severally liable for the payment of the tax. (Ord. 80-6 §4). 11 • 24 (Avon 10/85) 3.12.050--3.12.060 3.12.050 Computation of tax. The amount of tax payable shall be determined and computed as set out below. A. Where the amount of consideration is five hundred dollars or less, no real property transfer tax shall be imposed, and all such transactions shall be exempt.' B. On and after November 1, 1987, where five hundred dollars or more, the real property transfer tax shall be two percent of the consideration. (Ord. 87-17 §1; Ord. 80-6 §6), 3.12.060 Exemptions. Unless the method of transfer is contrived for the purpose of evading the real property transfer tax imposed by this chapter, the real property transfer tax shall not apply to the situations described below: A. Any transfer wherein the United States or any agency or instrumentality thereof, the state, any county, city and county, municipality, district or other political subdivision of the state is either the grantee or grantor; B. Any transfer granting or conveying title to real property in consequence of a gift of such property, where no consideration other than love and affection, charity or other such motive is, in fact, present; C. Any decree or agreement partitioning, terminating or evidencing termination of a joint tenancy in real property, except where additional consideration is paid in connection with such partition or termination; D. The transfer of title or interest in real property by reason of death, will or decree of distribution; E. Transfers made pursuant to business organization, reorganization or restructuring; F. Transfers made to effectuate any plan confirmed or ordered by any court of competent jurisdiction under the Bankruptcy Act or in any equity receivership proceeding; G. Any transfer evidenced by a deed made and delivered without consideration for the purpose of confirming, correct- ing, modifying or supplementing a transfer previously recorded; making minor boundary adjustments; removing clouds of title; granting easements, rights-of-way or licenses; H. Any transfer granting title to cemetery lots; I. Any transfer by decree or order of court of record quieting, determining or resting title, including a final order awarding title pursuant to a condemnation proceeding; J. Any lease or other instrument or contract which transfers to the transferee a possessory right_in real property where the possessory right is granted for a period of twenty-five years or less or where, at the time of assignment thereof, twenty-five years or less of the term remains. (For purposes of this chapter, where the initial term of the possessory right is for a period of less than twenty-five years, but such right may be extended for a 24-1 (Avon 10/87) 3.12.060 . period exceeding twenty-five years, or for periods which in the aggregate exceed twenty-five years, the term of the possessory right shall be calculated as including the ini- tial term and all extensions thereof.); K. Any transfer of a mineral or royalty interest by deed or otherwise; L. Transfers to secure a debt or other obligation, or transfers of releases of property which is security for a debt or other obligation; M. Any transfer by deed or conveyance under execution sale or foreclosure sale under a power sale or court decree or lien foreclosure, sheriff's deed, public trustee's deed or treasurer's deed, or any transfer by deed in lieu of foreclosure, provided that transfers encompassed by this section: 1. Shall be exempt only if the grantee is the person, firm or entity holding the obligation or instrument upon which the proceeding is based or which, in the case of a deed in lieu of foreclosure, is being cancelled in ex- change for the transfer, and 2. Shall be exempt only to the extent of the obli- gation to be satisfied at the execution or foreclosure sale and any obligations to prior lienholders paid from the proceeds of the sale or in the case of a deed in lieu of foreclosure, to the extent of the instrument cancelled by the transfer; • N. Any sale or conveyance of real property or im- provements for the purpose of constructing or providing low or moderately priced housing units for sale or lease to low or moderate income persons; provided, that the parties to the transaction shall apply to the town manager for the exemption prior to the occurrence of the transaction from which exemption is sought, and the parties shall agree to appropriately restrict the future use of the property to low and moderately priced housing units by recorded agree- ment, deed restriction, covenants, declarations or similar instruments as may be required by the town manager; 0. The first one hundred sixty thousand dollars of the consideration for any sale or conveyance of real prop- erty and completed improvements for occupancy as a primary residence provided the following conditions are met: 1. The same applicant has not previously received an exemption pursuant to this subsection; - -2. An-application for--exemption is filed with the town manager prior to payment of the tax, which application is accompanied by: (a) an affidavit that the real property is being purchased for use as a primary residence and not for investment or resale; and (b) a promissory note in the amount of the tax otherwise owing and providing that the tax and the promissory note shall be due and payable in full in the event of resale of the property within one year • 25 (Avon 1/98) 3.12.070 I after closing. (Ord. 97-12 §1; Ord. 96-13 §1; Ord. 89-15 §1; Ord. 89-12 §1; Ord. 83-12 §§2, 3; Ord. 80-6 § 7). 3.12.070 Application for exemption--Form of certifi- cate--Approval. A. In the event that any transfer which is exempt from the real property transfer tax does not reflect that exemption clearly in the document evidencing the transfer, the grantee may apply for a certificate of exemption from the town manager, which certificate of ex- emption may be affixed to the document evidencing such transfer. The certificate of exemption shall be in the following form: • C7 25-1 (Avon 1/98) 3.12. 070 r TOWN OF AVON APPLICATION FOR EXEMPTION FROM REAL PROPERTY TRANSFER TAX The undersigned, as Grantee of a deed or instrument of conveyance from to (name of Grantee), dated hereby applies for exemption from the payment of the Avon Real Property Transfer Tax, imposed by Chapter 3.12 of the Municipal Code of the Town of Avon. The basis for such requested exemption is: (State grounds for requested exemption, including applicable sec- tion and subsection of the Real Property Transfer Tax Ordinance under which the exemption is requested. Attach supporting documents, if neces- sary for full understanding of trans- action, preferably Affidavit, setting out additional details concerning the transaction for which exempt status is being requested.) I hereby certify under penalty of perjury that the foregoing statement is true and correct. Grantee CERTIFICATE OF EXEMPTION I hereby certify that the above described transfer of real property is exempt from the payment of the Avon Real Property Transfer Tax under -Chapter 3.12-1-Sect-ion of--the Municipal Code. Town Manager • 26 (Avon 6/83) 3.12.080--3.12.090 B. A failure by the town manager to act upon the appli- cation within ten business days after receipt of the appli- cation shall be conclusively deemed to constitute approval of such application. Any person whose claim of exemption is denied may, within thirty days of transmittal of the decision of the town manager, appeal to the town council for a deter- mination of such exemption, and such appeal shall be consi- dered by the town council within thirty days of the first regular town council meeting subsequent to receipt of the appeal. A failure by the town council to hear and decide the matter within thirty days of the first regular town council meeting subsequent to receipt of the appeal shall operate as a decision favorable to the party appealing. C. In the event an applicant for an exemption, upon denial of the requested exemption by the town manager, de- sires that the town manager consider additional material, the applicant may, within the period otherwise provided for appeal, apply for reconsideration by the town manager. In such event, the town manager shall issue a decision upon the application for reconsideration only subsequent to the payment by the applicant of such expenses as may have been incurred by the town as a result of such reconsideration. In the event the applicant fails to make payment of such expenses within seven days of being advised that the town manager's decision is available, the town manager shall deny such application for reconsideration and the original decision shall stand. In the event of denial of the re- quested exemption upon reconsideration, the applicant's period for appeal shall begin to run from the date of the town manager's final decision. An applicant shall have the right for reconsideration of an application only twice, subsequent to which the decision of the town manager shall either be accepted or appealed to the town council in accor- dance with the provisions of this chapter. (Ord. 83-12 §4; Ord. 83-3 Sl; Ord. 80-6 §8). 3.12.080 Lands affected. When a transaction subject to this chapter includes property located within the town and property located outside the town, the tax imposed under this chapter shall be computed only upon the consider- ation attributable to the real property located within the town. (Ord. 80-6 §9). 3.12.090 Due dates, delinquencies, penalties and interest- The tax imposed under this- chapter is--due-and payable at the time the deed, instrument or writing effect- ing a transfer subject to the tax is delivered, and is delinquent if unpaid within thirty days thereafter. In the event that the tax is not paid prior to becoming delin- quent, a delinquency penalty of ten percent of the amount of tax due shall accrue. In the event a portion of the 27 (Avon 6/83) 3.12.100--3.12.110 tax is unpaid prior to becoming delinquent, the penalty shall only accrue as to the portion remaining unpaid. In- terest shall accrue at the rate of one percent per month, or fraction thereof, on the amount of tax, exclusive of penalties, from the date the tax becomes delinquent to the date of payment. Interest and penalty accrued shall become part of the tax. (Ord. 80-6 §11). 3.12.100 Unpaid tax to constitutelien--Notification-- Tax deemed a debt. A. The amount o the real property transfer tax imposed by this chapter, and penalty and in- terest due thereon, is assessed against the property transferred, and, if not paid when due, such tax, penalty and interest, if any, shall constitute a lien on the property for the amount thereof, which lien shall continue until the amount thereof is paid or until its discharge of record by foreclosure or otherwise. B. If the tax is unpaid and delinquent, the town manager shall give written notification to the purchaser at the address shown on the deed or instrument, or his last known address, of said delinquency. Said notification shall be mailed certified or registered mail, postage prepaid, return receipt requested, and shall be effective on the date of mailing. If the tax, penalty and interest are not paid within thirty days of the effective date of the notifi- cation, the town manager shall make the same delinquent • on the town's tax roll and shall, at least once each calendar year, but not sooner than the first day of December, certify such delinquencies, along with the inter- est and penalty, to the county treasurer; and the county treasurer shall extend such delinquencies upon the real property tax rolls of the county and collect the same in the same manner as delinquent general taxes levied upon such property. Upon certification of the delinquent taxes, the penalties and interest thereon shall also become due and payable. C. The amount of the tax penalty and interest imposed under the provisions of this chapter shall be deemed a debt. owed to the town. Any person owing money to the town under the provisions of this chapter shall be liable to an action brought in the name of the town for the recovery of such amount. (Ord. 80-6 §12 (A,B,C)). 3.12.110 Allocation of revenue. All revenues derived - from the_ tax--imposed pursuant--to--t-his chapter --sha-11--_be allocated as follows: On and after January 1, 1988, said revenues shall be deposited into the public improvements fund of the town for the purpose of capital improvements, including but not limited to, railroad crossings, bridges and streets, payment of princi- pal of premium, if any, and interest on debt incurred by the 28 (Avon 10/87) 3.12.120--3.16.020 town relating to capital improvements or, upon determination of an emergency by unanimous minus one vote of councilmembers pre- sent, for any valid municipal purpose. (Ord. 87-19 §1; Ord. 80-6 $14). 3.12.120 Town manager to enforce--Collection. A. The town manager is charged with the enforcement of the provi- sions of this chapter. B. All banks, title companies, escrow companies, saving and loan institutions, attorneys, real estate brokers and salespersons and other closing agents, permitted to do business as such under the laws of the state, are authorized to collect and remit to the town on behalf of the purchaser the town real property transfer tax. (Ord. 80-6 §10). 3.12.130 Penaltv for violations--Remedies not exclu- sive. A. Any person who fails or refuses to pay any tax due under this chapter may be punished by a fine not exceeding three hundred dollars or imprisonment for a period of not more than ninety days, or both such fine and imprisonment. B. Any remedies provided for in this chapter shall be cumulative and not exclusive and shall be in addition to any other remedies provided by law. (Ord. 80-6 §12(D, E)). Chapter 3.16 TELEPHONE UTILITY TAX Sections: 3.16.010 Local purpose. 3.16.020 Levy of tax. 3.16.030 Payment of tax. 3.16.040 Inspection of records. 3.16.050 Tax in lieu of other occupation taxes. 3.16.060 Failure to pay or file--Penalty. 3.16.010 Local purpose. The tax-provided in this chapter is upon the affected occupations and businesses in their performance of local functions and is not a tax upon those-functions relating to interstate-commerce. (Ord. 80-12 §4). 3.16.020 Levy of tax. There is levied against every telephone utility, which is engaged in the business of 29 (Avon 10/87) L` MEMORANDUM FROM: Burt Levin TO: Hon. Mayor and Town Council CC: Bill Efting RE: Appeal of Denial of Application For Real Estate Transfer Tax Exemption: 0288 West Beaver Creek Blvd. (Westlund Investments: Grantee) DATE: June 5, 2000 Section 3.12.070 of the Town Code provides that "Any person whose claim of exemption [from the town's real estate transfer tax] is denied may, within thirty days of transmittal of the decision of the town manager, appeal to the town council for a determination of such exemption ...." An appeal of the Town's denial of the application of Westlund Investments for an exemption from the transfer tax for the above property is scheduled for the regular council meeting of June 27, 2000. The basis for the Town's initial denial of the application for exemption from the tax, as well as the applicant's argument in favor of the exemption, is set forth in the attached paperwork, and summarized as follows. I do not grant exemptions from the tax unless a specific provision of the Town Code requires it: the tax is imposed, except as provided in §§ 3.12.050 and 060, "on all transfers of interests ... in and to real estate." Section 3.12.050 exempts transfers where the amount of consideration is five hundred dollars or less; and § 3.12.060 lists specific exemptions nominated A. through O. There is not an exemption in the Avon Code for so called 1031 exchanges (or reverse 1031 exchanges), and so I have consistently denied requests for exemptions based on them. ("1031 exchanges" receive favorable tax treatment under a provision of the federal tax code.) During the appeal hearing the applicant will make an argument in favor of its application for an exemption, and I will argue that the application should be denied by the Council. L' VV/ - "V- 11-- 1'AA -I -, " it\Vl'1't?nli Vl\AL L'+d Vi1A1?VL 4*J--., - PROFESSIONAL EXCHANGE ACCOMMODATORS, L.L.C. 8101 EASE FREN11CE AVENl1E, gTrE 605 • ENGLEWC) D, MORADO 80111 303,773.6888. 1.800-895.3520 • FAX 301.7967848 hrm:IlV.cschMWCPn-C= June 5, 2000 Burt Levin, Esq. Town Attorney Town of Avon P.O. Box 975 Avon, CO 81620 VIA FACSIMILE Dear Mr. Levin: Pursuant to Section 3.12.070 of the Avon Code, the Grantee, Westlund Investments, ("Westland") hereby appeals the Town of Avon's denial of the transfer tax exemption previously filed (a copy of which is attached) and requests a hearing before the town council for consideration of this appeal. The balance of this letter will set forth the nature of the transactions involved as well as the rationale for the exemption appeal. As evidenced in the attached documents, the Grantor, Dirty Devil River Development Co., ("Dirty Devil") took title to the property known as 0288 W. Beaver Creek Blvd., Unit L-1 (the "New Property") on November 11, 1998 as an accommodation under Section 1031 of the Internal Revenue Code for Westlund so that he could complete a 1031 exchange. This property was purchased by Westlund to complete his exchange on April 17, 2000 and we are asking for exemption from the double application of the Avon Land Transfer Tax. Westlund owned property in Minnesota for many years (the "Old Property"). He desired to sell this property and buy a new property in Avon. In order to defer the tax on the gain, he wished to structure the transaction as a 1031 exchange. However, before the sale of the Old Property could be closed, he found the perfect New Property in Avon. Under Section 1031 of the Internal Revenue Code, Westlund could sell his Old Property, and by reinvesting the proceeds into the New Property, defer both the Federal and State income taxes on the gain. Section 1031 also requires that exchanger (i.e. Westlund) use a "Qualified Intermediary" in order to conform to its provisions. Westlund retained Professional Exchange Accommodators, L.L.C. ("PEA") to act as his Qualified Intermediary. To facilitate the timing of this particular transaction, PEA agreed to FF-T-5 "-17 uvi uvi ruuu ,a .a..u r[>,o uvuauval.u 11\V1'1'liNl V1AL lid VlaLU.VL yy VVai VV4 J ' t structure the transaction as a "Reverse Exchange", whereby PEA would form a separate corporation, Dirty Devil River Development Co., which would buy and hold the New Property. Dirty Devil would then hold this property until Westlund sold his Old Property. The Old Property has been sold and Westlund has now taken title to the New Property from Dirty Devil. n u Dirty Devil Development Co. The net effect of the Reverse Exchange is that Westlund ends up exactly where he would have been in a Straight Exchange with the correct timing sequence, with one problem: he would pay the Avon transfer tax twice - the first time when Dirty Devil closed on the purchase of the New Property and the second when Dirty Devil sold the New Property to Westlund. For this reason, we request that the second application of the Avon Land Transfer 2'ca be exempted upon the transfer to Westlund, from Dirty Devil, on April 17, 2000. Many j arisdictions exempt 1031 exchanges from double taxation. For example, in Article IX, Section 4,(c)(iii)(L), Beaver Creek exempts from double taxation "The subsequent transfer of a Site involved in a "tax free" or "tax deferred" trade under the revenue code wherein the interim owner acquires property for the sole purpose of reselling that property... . T hereby certify under penalty of penury that the foregoing statement is true and correct. Professional Exchange Aceommodators, L.L.C. Thomas H. McMillen, Exchange Consultant Date S or b . Gorm e 'dent D cc: Chris Nash, Town Clerk 11 I AVO R A D O 05/04/00 Westlund Investments P.O. Box 668 Hutchinson, MN 55350 Re: Denial of Transfer Tax Exemption Application: 0288 W. Beaver Creek Blvd, Unit L-1 To Whom It May Concern: The Town of Avon has received and considered your request for an exemption from the transfer tax owed on the transfer of the above property. I am providing this response on behalf of the Town Manager. Based on the information you provided, the Avon Code does not provide an exemption. Unless an exemption applies, the Avon transfer tax applies to transfers in which the consideration for the transfer is more than $500. The transfer described in your application is for $179,400. The grounds for exemptions are set forth in § 3.12.060 of the Avon Code. The Code does not include an exemption for transfers over $500 which are made in order to obtain favorable tax treatment under the federal or state tax laws. In other words, there is not an exemption for so called 1031 exchanges. Pursuant to § 3.12.070 of the Avon Code, you may appeal this denial to the Town Council within 30 days after you receive this notice. Si cerely yours, Burt Levin Town Attorney cc: Gary Gorman, Professional Exchange Accomodators, LLC Michael J. Brudwick, Eagle Co. Title Co. Bill Efting, Town Manager Julie Kessenich, Accounting Assistant Post Office Bo,: 97.5 400 Benchmar* Road Aeon. Colorado 81620 970-748-4000 ua/U1/zuuu lo:oJ rAA dudiuoouAo rl?urr?oaut?na, ua?auu..a.. ?„ __ "rLICATION raR EXEMPTION REAL PROPERTY TRANSFER TAX The undersigned, as Grantee of a deed or instrument of conveyance of Lot . Block - -Aubdivi.sion,Filing Street Address 0288 W: "Beaver Creek Blvd., Unit L-1, Avon Complex Name uildi.ng/Vnit # , Westlund Investments (Name of Grantee) P. 0. Sox 668, Hi tchinson , MN 55350 (Mailing Address) $$179,400 (Amount of consideration) dated 3/17/2000 hereby applies for exemption sed from the' 3a12 of the M Prcerty Town Transfer of Tax, impo by Chapter Avon. The basis for such exemption is: Reverse 1031 Exchange: please see attached Exhibit A (State grounds for requested ex on, including applicable section and subsection or the Real Propert Transfer Tax Ordinance under which the exemption is requested. Attach supporting of transaction, in? doc=ent-s if necessary for full understand' preferably affidavit, setting out additional de ails cancez-ninc the transaction for which exempt status in being requested). I hereby certify under penalty of perjury that the foregoinc statement is true and correct. WESTLUND INVESTMENTS 5/1/2000 Grantee Date I hereby certify that the above described ts-ansf er of real property should be exempted from the payment of the Avon Rea: Pzotperty Transfer Tax udder Chapter 3.12, section 3.12.050 cf the Municipal Code of the Town of Avon. Town Hanauer Date I hereby ee-vtify that thle above described transfer of rea: property should be exempted from the pa of th of the Avon Rea.' property Transfer Tax under Chapter Municipal 3.12.060 of the Town of Avon. Town Attorney Date Rev 7/93 Ri1-4 ono/t0a'd E86-1 6Eleeaeole uoAV 40 uMei-wJj ¦dJ2:n EeBl-til-Zl UV/ V1/ 6UVU 1V. UU 1'CL4L 0VU1 uv -- 1 1-. uv a v..asr. r..???.. ?.•-- "f n PROFESSIONAL EXCHANGE ACCOMMODATORS, L.L.C. 8101 EAST pRDMCE AVENUE. SUITE 605 • ENGLEWOOD, COLORADO 60111 303.773.6888.1-M895.3520 • FAX 303-796.7348 lar/twWw.ex hang -.can EXHIBIT A APPLICATION FOR EXEMPTION FROM AVON LAND TRANSFER TAX Request: The Grantee, Westlund Investments, ("Westland") hereby requests exemption from the second payment of the Avon Land Transfer Tax imposed by Chapter 3.12 of the Avon Municipal Code, of the Town of Avon. As evidenced in the attached documents, the Grantor, Dirty Devil River Development Co., ("Dirty Devil") took title to the property known as 0288 W. Beaver Creels Blvd., Unit L-1 (the "New Property") on November 11, 1998 as an accommodation under Section 1031 of the Internal Revenue Code for Westlund so that he could complete a 1031 exchange. This property was purchased by Westlund to complete his exchange on April 17, 2000 and we are asking for exemption from the double application of the Avon Land Transfer Tax. Facts: Westlund owned property in Minnesota .for many years (the "Old Property"). He desired to sell this property and buy a new property in Avon. In order to defer the tax on the gain, he wished to structure the transaction as a 1031 exchange. However, before the sale of the Old Property could be closed, he found the perfect New Property in Avon. Under Section 1031 of the Internal Revenue Code, Westlund could sell his Old Property, and by reinvesting the proceeds into the New Property, defer both the Federal and State income taxes on the gain. Section 1031 also requires that exchanger (i.e. Westlund) use a "Qualified Intermediary" in order to conform to its provisions. Westlund retained Professional Exchange Accommodators, L.L.C. ("PEA') to act as his Qualified Intermediary. To facilitate the timing of this particular transaction, PEA agreed to structure the transaction as a "Reverse Exchange", whereby PEA would form a separate corporation, Dirty Devil River Development Co., which would buy and hold the New Property. Dirty Devil would then hold this property until Westlund sold his Old Property. The Old Property has been sold and Westlund has now taken title to the New Property from Dirty Devil. The net effect of the Reverse Exchange is that Westlund ends up exacter where he would 41 _, --- ---------- have been in a Straight Exchange with the correct timing sequence, with one problem: he would pay the Avon transfer tax twice - the first time when Dirty Devil closed on the purchase of the New Property and the second when Dirty Devil sold the New Property to Westlund. For this reason, we request that the second application of the Avon Land Transfer Tax be exempted upon the transfer to Westlund, from Dirty Devil, on April 17, 2000. Statutory Handling of 1031 Exchanges: Many jurisdictions exempt 1031 exchanges from double taxation. For example, in Article 1X, Section 4,(c)(iii)(E), Beaver Creek exempts from double taxation "The subsequent transfer of a Site involved in a "tax free" or "tax deferred" trade under the revenue code wherein the interim owner acquires property for the sole purpose of reselling that property...". Request for Meeting: Should the Town of Avon need more information in order to rule on this Application for Exemption, or should the Town of Avon be inclined to deny this Application, we hereby request a meeting to address such questions or concerns raised. Additional Information: Should additional information be required, the following individual should be contacted: Michael J. Brudwick Eagle County Title Corporation The N orwest Center, 4104 0070 Benchmark Rd., Suite 104 Avon, CO 81620 Affidavit: I hereby certify under penalty of perjury that the foregoing statement is true and correct. Professional Exchange Accommodators, L.L.C. L Thomas H. McMillen, Exchange Consultant Dirty Devil Development Co. ?IdQ) Date S Date 11 EAGiE Ct7w n TITLE CMUC ?.'PIOt. p= CE'F7.(:: HOC{ 980 AVW COLMADO 81620 BUYER SE rnAM TP STATDENP Buyer: Dirty, Dp-vil River DevQjcpment t Hy: Gary 67=M, presiden Seller: o William $id+i l R. lle McKinley Robert J. ? isi 11 i w 7 ors-tsy °rs rUm Mvperty 278 Benctuark Road, #Irl Adds: Avon co 81620 order Number: 317!70 _ Settlement Data: 11/11/98 F--KMCW Officer: Debora Ray Experwes credits •. 159.500.00 Purcbase Price....... ..,......•.....,...... 5,000.00 Deposit or Earnest Money ............................ County taxes faun 01/01/98 to 11/11/98 .............. 751.46 Assessments Eton 11/11/98 tin 01/01/99 ............... 163. 886 6 ? 431 C=do Dues FT 11/11/98 to 01/01/99 ................ . Title Insurance to Eagle O=TtY Title ............... 200.00 Closing Fein to Eagle C QUAY Title ................... le CCUntY Title............ Ea t 75.00 10.00 g o Tax Certificate(s) Y Fee ..................................... 00 190 TowrT ansfer Tax ................................... . MUD- Recording of Deed.. .............................. 00 71 wding of Trust Deed ............................. . 00 26 Option Agreatent to Eagle cotmty Title.......... . 00 50 Courier Flees to Eagle County Title. ......... . Fool A at to Heaves Qce West........... 3,737.00 Section 1031 Ddnarge Fee 650.00 Prof E ch Pmam................................. option Payment Dirty Devil ..................................... 850.00 Sub-totals 168,921.34 5,751.46 Balance due from Buyer 163,169.88 168,921.34 166,921.34 SSF/VA R Estate Sun and Ski Properties Listing Agent Selling Agent The above figuies do not include sales ur use taxes on persur l propertY. I/We bereby acknowledge receipt of this statement_ /f Dirty Riv er 1 RWIEWM AND AP PROM: Richard westliu d David Westland k C EXCLE COUNTY TITLE CORPORATION POST OFFICE DOX 980 AVOX COLORADO 61620 BUYEitS SETTLRmMT STATE2001T Buyer: FWESTLUND XRV99S GTMENTSCO a Himesota.partnsrchip (Bxchangor)ermediarY for Sell®r= DIRTY DEVXL RIVER DEVELOPMENT Co., a Colorado corporation Property 276 Benchmark Road, qL-1 Address: Avon C0 81620 Escrow Number: 321289 Escrow officer: Michael J. 8rudwick purchase price._ .................. Closing Fee to Eagle County Title.. .. Owners Title Policy to Eagle County Title.......... Tax Certificate(s) to Eagle County Title............ Documentary Fee ..................................... Town Transfer Tax ................................... Recording of need ................................... Recording of Release.. . ......•.. Release of option to Eagle County Title........ Record TN Affidavit to Eagle County Title.......... ,ambour Fees to Eagle County Title.......... nge Proceeds transferred ha Prom m Professional Exchange Accommodators LLC.... sub-totals Balance due from Buyer Totals Settlement Data t-7/// Expenses Credits 179,400.00 75.00 412.00 10.00 5 6:0 00 15.00 5.00 5.00 60.00 47,617.97 193,592.94 47.617.97 135,974.97 183,592.94 163,592.94 The above figure do not include sales or use taxes on personal Property. I/We hereby a owledge receiptB of this statement. PgOYySSIO EY /??y}IgDATORS, L.L.C. /?lti""' By. c?rh-i'n?f. nt orized Signature Title REVIEWED AND APPRO WHSTLDND IPVES s?Paztnerahip By: Richard Weetlund, Partner 9y: Dav1d i(ectlua8, P2rtncr - - 091 04/13/00 TUU 15:12 (TX/RX NO 61751 f 7/ AVON C O L O R A D O June 6, 2000 Westlund Investments P.O. Box 668 Hutchinson, MN 55350 Re: 0288 West Beaver Creek Blvd To Whom It May Concern: Please be advised that your appeal of the denial of your request for an exemption from the town's transfer tax on the transfer of the above property has been schedule for Tuesday, June 27, 2000, at 5:30 p.m in the Avon Municipal Building (400 Benchmark Road in Avon). Town Clerk Cc: Bill Efting, Town Manager Burt Levin, Town Attorney Gary Gorman, Professional Exchange Accommodators Thomas McMillen, Professional Exchange Accommodators Post Office Box 975 400 Benchmark Road Avon, Colorado 81620 970-748-4000 970-949-9139 Fax ORDINANCE NO. 00-n_ SERIES OF 2000 AN ORDINANCE AUTHORIZING THE EXECUTION AND DELIVERY BY THE TOWN OF A FIRST AMENDMENT TO A PRIOR LEASE PURCHASE AND SUBLEASE AGREEMENT AND AN OFFICIAL STATEMENT; APPROVING THE ASSIGNMENT OF THE TOWN'S INTEREST IN A CONTRACT TO PURCHASE REAL PROPERTY; RATIFYING ACTION PREVIOUSLY TAKEN CONCERNING THE REFERENCED TRANSACTIONS; AND PROVIDING OTHER MATTERS RELATING THERETO. WHEREAS, the Town of Avon, Eagle County, Colorado (the "Town") is a duly organized and existing home rule municipality of the State of Colorado, created and operating pursuant to Article XX of the Constitution of the State of Colorado and the home rule charter of the Town (the "Charter"); and WHEREAS, pursuant to Chapter XIV of the Charter, the Town is authorized to enter into one or more leases or lease-purchase agreements for land, buildings, equipment and other property for governmental or proprietary purposes; and WHEREAS, the Town Council of the Town (the "Town Council") has determined, and hereby deems, it is in the best interests of the Town and its inhabitants that the Town assign its rights in a real property purchase contract dated as of March 5, 2000 (the "Condominium Purchase Contract") concerning the purchase of 11 condominium units in the Sherwood Meadows Condominiums (the "2000 Project") to the Town of Avon Finance Authority (the "Lessor"), and that the Town then lease the 2000 Project from the Lessor pursuant to a Lease Purchase and Sublease Agreement dated as of July 1, 1998, as amended by the First Amendment to Lease Purchase and Sublease Agreement dated as of August 1, 2000 (as so amended, the "Lease") both by and between the Town and the Lessor; and WHEREAS, the obligation of the Town to pay Base Rentals and Additional Rentals (both as defined in the Lease) shall be from year to year only; shall constitute currently budgeted expenditures of the Town; shall not constitute a mandatory charge or requirement in any ensuing budget year; and shall not constitute a general obligation or other indebtedness or multiple fiscal year financial obligation of the Town within the meaning of any constitutional, statutory or Charter limitation or requirement concerning the creation of indebtedness or multiple fiscal year financial obligations, nor a mandatory payment obligation of the Town in any ensuing fiscal year beyond any fiscal year during which the Lease shall be in effect; and WHEREAS, the Lessor and The Bank of Cherry Creek, N.A., as Trustee (the "Trustee"), will enter into a First Supplement to Mortgage and Indenture of Trust dated as of August 1, 2000 (the "First Supplement") which supplements the previously executed Mortgage and Indenture of Trust dated as of July 1, 1998 (as so supplemented, the "Indenture"), pursuant to which there will be issued Certificates of Participation, Series 2000, in the approximate aggregate principal amount of $2,410,000 (the "Certificates"); and WHEREAS, the Certificates shall evidence assignments of proportionate undivided interests in the rights to receive certain Revenues (as defined in the Lease), shall be payable solely from the sources therein provided, and shall not constitute a general obligation or other indebtedness or multiple fiscal year financial obligation of the Town within the meaning of any constitutional, statutory or Charter limitation or requirement concerning the creation of indebtedness or multiple fiscal year financial obligations, nor a mandatory payment obligation of the Town in any ensuing fiscal year beyond the current fiscal year; and WHEREAS, neither the Lease nor the issuance of the Certificates shall directly or indirectly obligate the Town to make any payments beyond those appropriated for any fiscal year during which the Lease shall be in effect; and WHEREAS, there have been presented to the Town Council at this meeting: (i) the proposed form of the First Amendment, (ii) the proposed form of the Continuing Disclosure Certificate (the "Continuing Disclosure Certificate") to be provided by the Town; (iii) the proposed form of the assignment of the Condominium Purchase Contract; (iv) the proposed form of the Preliminary Official Statement (the "Preliminary Official Statement") relating to the Certificates; and (v) the proposed form of the Letter of Representations with the Depository Trust Company (the "Letter of Representations"); and WHEREAS, no member of the Town Council has any conflict of interest or is interested in any pecuniary manner in the transactions contemplated by this ordinance; BE IT ORDAINED BY THE TOWN COUNCIL OF THE TOWN OF AVON, COLORADO: Section 1. Short Title. This Ordinance shall be known and may be cited by the short title "2000 Affordable Housing Financing Ordinance." Section 2. Ratification and Approval of Prior Actions. All action heretofore taken (not inconsistent with the provisions of this ordinance) by the Town Council or the officers or agents of the Town Council or the Town relating to the Condominium Purchase Contract, the 2000 Property and the Lease, including the First Amendment, is hereby ratified, approved and confirmed. The designation of the Preliminary Official Statement by the Town's Finance Director as a "nearly final Official Statement" for purposes of Rule 15c2-12 of the U.S. Securities and Exchange Commission is hereby ratified, approved and confirmed. Section 3. Finding of Best Interests. The Town Council hereby finds and determines, pursuant to the Constitution, the laws of the State of Colorado and the Charter, that the is ® assignment of the Town's rights under the Condominium Purchase Contract and the acquisition, construction, equipping and leasing of the 2000 Project under the terms and provisions set forth in the Lease and the Indenture is necessary, convenient and in furtherance ofthe Town's purposes and is in the best interests of the inhabitants of the Town, and the Town Council hereby authorizes and approves the same. Section 4. Approval of First Amendment. The First Amendment, in substantially the form presented to this meeting of the Town Council, is in all respects approved, authorized and confirmed, and the Mayor of the Town is hereby authorized and directed for and on behalf of the Town to execute and deliver the First Amendment in substantially the form and with substantially the same content as presented to this meeting of the Town Council. Section 5. Approval of Official Statement. A final Official Statement, in substantially the form of the Preliminary Official Statement presented to this meeting of the Town Council, is in all respects approved and authorized. The Mayor is hereby authorized and directed for and on behalf of the Town to execute and deliver the final Official Statement in substantially the form and with substantially the same content as the Preliminary Official Statement presented to this meeting of the Town Council, with such changes as may be approved by the Finance Director. The distribution by Hanifen, Imhoff Division of Stifel, Nicolaus Co., Inc. (the "Purchaser") of the Preliminary Official Statement and the final Official Statement to all interested persons in connection with the sale of the Certificates is hereby ratified, approved and authorized. Section 6. Authorization to Execute Collateral Documents. The Town Clerk is hereby authorized and directed to attest all signatures and acts of any official of the Town in connection with the matters authorized by this ordinance. The Mayor and Town Clerk and other appropriate officials or employees of the Town are hereby authorized to execute and deliver for and on behalf of the Town any and all additional certificates, documents, instruments and other papers, and to perform all other acts that they deem necessary or appropriate, in order to implement and carry out the transactions and other matters authorized by this ordinance, including but not limited to the execution of the Letter of Representations, the Continuing Disclosure Certificate and such other certificates and affidavits as may be reasonably required by the Purchaser. The appropriate officers of the Town are authorized to execute on behalf of the Town agreements concerning the deposit and investment of funds in connection with the transactions contemplated by this ordinance. The execution of any instrument by the aforementioned officers or members of the Town Council shall be conclusive evidence of the approval by the Town of such instrument in accordance with the terms hereof and thereof. Section 7. No General Obligation Debt. No provision of this ordinance, the Lease, the Indenture, the Preliminary Official Statement, the final Official Statement or the Certificates shall be construed as creating or constituting a general obligation or other indebtedness or multiple fiscal year financial obligation of the Town within the meaning of any constitutional, statutory or Charter provision, nor a mandatory charge or requirement against the Town in any ensuing fiscal year beyond the then current fiscal year. The Town shall not have any obligation to 0 -3- make any payment with respect to the Certificates except in connection with the payment of the Base Rentals (as defined in the Lease) and certain other payments under the Lease, which payments may be terminated by the Town in accordance with the provisions of the Lease. Neither the Lease nor the Certificates shall constitute a mandatory charge or requirement of the Town in any ensuing fiscal year beyond the then current fiscal year, or constitute or give rise to a general obligation or other indebtedness or multiple fiscal year financial obligation of the Town within the meaning of any constitutional, statutory or Charter debt limitation and shall not constitute a multiple fiscal year direct or indirect Town debt or other financial obligation whatsoever. No provision of the Lease or the Certificates shall be construed or interpreted as creating an unlawful delegation of governmental powers nor as a donation by or a lending of the credit of the Town within the meaning of Sections 1 or 2 of Article XI of the Colorado Constitution. Neither the Lease nor the Certificates shall directly or indirectly obligate the Town to make any payments beyond those budgeted and appropriated for the Town's then current fiscal year. Section 8. Reasonableness of Rentals. The Town Council hereby determines and declares that the Base Rentals do not exceed a reasonable amount so as to place the Town under an economic compulsion to renew the Lease or to exercise its option to purchase the 2000 Project pursuant to the Lease. The Town Council hereby determines and declares that the period during which the Town has an option to purchase the 2000 Project (i.e., the entire maximum term of the Lease) does not exceed the useful life of the 2000 Project. Section 9. Repealer. All bylaws, orders, resolutions and ordinances of the Town, or parts thereof, inconsistent herewith are hereby repealed to the extent only of such inconsistency. This repealer shall not be construed to revive any other such bylaw, order, resolution or ordinance of the Town, or part thereof, heretofore repealed. Section 10. Severability. If any section, subsection, paragraph, clause or other provision of this ordinance for any reason is invalid or unenforceable, the invalidity or unenforceability of such section, subsection, paragraph, clause or other provision shall not affect any of the remaining provisions of this ordinance, the intent being that the same are severable. Section 11. Effective Date Recording and Authentication. This ordinance shall be in full force and effect seven days after public notice following final passage. This ordinance shall be numbered and recorded in the official records of the Town kept for that purpose, and shall be authenticated by the signatures of the Mayor or Mayor Pro-Tem and Town Clerk, and published in accordance with law. -4- 0 Y INTRODUCED, APPROVED ON FIRST READING, AND ORDERED PUBLISHED BY POSTING IN ACCORDANCE WITH THE CHARTER, June 27, 2000, and a public hearing on this ordinance shall be held at the regular meeting of the Town Council of the Town of Avon, Colorado on July 11, 2000, at 5:30 p.m. in the Municipal Building of the Town of Avon, Colorado. Mayor (SEAL) ATTESTED: Town Clerk INTRODUCED, FINALLY PASSED, ADOPTED AND APPROVED, on July 11, 2000. Mayor (SEAL) ATTESTED: Town Clerk 0 -5- STATE OF COLORADO ) COUNTY OF EAGLE ) ss. TOWN OF AVON ) I, the duly elected, qualified and acting Town Clerk of the Town of Avon, Colorado (the "Town") do hereby certify: 1. That the foregoing pages are a true, correct, and complete copy of an ordinance approved on first reading by the Town Council (the "Council") of the Town at a regular meeting of the Council held at the Municipal Building of the Town on June 27, 2000 and finally passed and adopted at the regular meeting of the Council held at the Municipal Building of the Town on July 11, 2000. 2. The Ordinance has been signed by the Mayor, sealed with the corporate seal of the Town, attested by me as Town Clerk, and duly numbered and recorded in the official records of the Town; and that the same remains of record in the official records of the Town. 3. The passage of the Ordinance on first reading was duly moved and seconded and the Ordinance was approved by a vote of to of the members of the Council as follows: Those Voting Yes: Those Voting No: Those Abstaining: Those Absent: 4. The Ordinance was duly moved and seconded and the Ordinance was finally passed at the meeting of July 11, 2000, by an affirmative vote of a majority of the members of the Council as follows: -6- 1* ® Those Voting Yes: Those Voting No: Those Abstaining: Those Absent: 5. The members of the Council were present at each of the meetings and voted on the passage of such Ordinance as set forth above. 6. There are no bylaws, rules or regulations of the Board which might prohibit the adoption of said Ordinance. ® 7. That on June _, 2000, and July _, 2000 the full text of the ordinance was posted at the office of the Town Clerk and in three public places in the Town in accordance with Section 6.7 of the Charter. 8. Notice of the meetings of June 27, 2000 and July 11, 2000 in the forms attached hereto as Exhibit A was posted at the Town Hall not less than 24 hours prior to each meeting in accordance with law. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the seal of said Town this day of , 2000. (SEAL) Town Clerk 0 C. EXHIBIT A (Attach Notices of Meetings) E H:\CLIENT\DWISOR\00 I024042\ordinv2.wpd 6/20/00 4:19 pm _g_ i *Me o TO: Honorable Mayor and Town Council 'mom; Bill Efting, Town Manager From. Tambi Katieb, AICP, Planner t;? Dote June 21, 2000 Re: Resolution No. 00-31 [Vassar Meadows Land Exchange] Summary: The White River National Forest is considering an exchange of land with the Western Land Group, Inc., managing agent for the Vassar Meadows Land Exchange proponents, which include the Town of Avon, the Town of Minturn, Eagle-Vail Metropolitan District, Upper Eagle River Regional Water Authority, Vail Associates, Inc., Sonnenalp Resort, and Nome Colony Incorporated. The National Forest lands being considered for exchange are in Eagle and Pitkin Counties, and total approximately 569.5 acres. Of particular interest to the Town is the F-1 `West Avon' parcel being proposed for exchange to the Town of Avon and Vail Associates, located directly west and adjacent to Benchmark at Beaver Creek Tract A. This parcel is approximately 478.09 acres, and is being considered for exchange to the Town and Vail Associates in return for the conveyance of the Vassar Meadows and four other smaller private `inholdings' that will allow the Forest Service to create a more manageable forest boundary. Recommendation: Attached for your reference is a resolution regarding the `West Avon' parcel and the White River National Forest Vassar Meadows Land Exchange. The US Forest Service has requested the Town comment on the proposal, and as such, staff has drafted this resolution for your approval. Staff recommends that the Town Council support the land exchange with the adoption of this resolution, and discuss with the Forest Service, Vail Associates, and Town residents how a permanent restriction on the majority of the `West Avon' parcel (excluding the 40-acre area programmed for affordable housing) be implemented. We recommend that a deed restriction or similar tool be used to protect both wildlife and open space values, characteristics of the parcel that all parties of the exchange and Town residents wish to preserve. If you have any questions, please don't hesitate to contact me at 748-4002. 0 Town of Avon 0 Resolution No. 00-31 Series of 2000 A RESOLUTION ENDORSING THE VASSAR MEADOWS LAND EXCHANGE BETWEEN THE WHITE RIVER NATIONAL FOREST AND TOWN OF AVON, EAGLE COUNTY, COLORADO, WHEREAS, Policy A3.9 of the Town of Avon Comprehensive Plan states that the Town shall work to facilitate trades of U.S. Forest Service land that are in the best interest of the community, while being sensitive to potential impacts on existing neighborhoods; and WHEREAS, Goal C.2 of the Town of Avon Comprehensive Plan states that the Town shall provide affordable housing for permanent and seasonal residents that is attractive, safe, and integrated with the community; and WHEREAS, Policy A3.4 of the Town of Avon Comprehensive Plan states that the Town should provide for the acquisition and maintenance of available federal and state lands adjacent to the Town as open space and for other public purposes; and WHEREAS, the Town Council, in cooperation with Vail Associates, Inc., wishes to provide increased affordable housing and open space opportunities to its residents; NOW, THEREFORE, BE IT RESOLVED, by the Town Council of the Town of Avon, That the Town Council of the Town of Avon hereby endorses the proposed land exchange between the White River National Forest and the Town of Avon, Town of Minturn, Eagle-Vail Metropolitan District, Upper Eagle River Regional Water Authority, Vail Associates, Inc., Sonnenalp Resort, and Nome Colony Inc., and more specifically for the purpose of acquiring the `West Avon' parcel for affordable housing and open space, attached hereto as Exhibit A. ADOPTED THIS 27b DAY OF JUNE 2000. Town of Avon, Colorado Town Council Judy Yoder, Mayor ATTEST: Kris Nash, Town Clerk VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, State of Colorado FEDERAL PARCELS F-1 & F-4 "West Avon" & "Sonnenalp Golf Course" T T, t VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, State of Colorado FEDERAL PARCEL F - 2 "Town / Minturn Public Works" NON -FEDERAL PARCEL C "Town of Minturn" \? -r.5 ?':6 ?Il J? AI's R_81 W. VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, State of Colorado FEDERAL PARCEL F-3 "EAGLE -VAIL GOLF COURSE" NON-FEDERAL PARCEL B "EAGLE - VAIL METRO. DIST." EDWARDS QUADRANGLE TS S R R1 W VAIL WEST QUADRANGLE GROUSE MTN QUADRANGLE MINTURN QUADRANGLE cnrnlG rnu.,1Tv . ^ 1---------------------- ? FA(]I F ro II&ITV rn VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, State of Colorado w¦ FEDERAL PARCEL F-5 "Beard Creek Water Tank" VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, State of Colorado FEDERAL PARCEL F-6 "NORRIE COLONY" NON-FEDERAL PARCEL D "NORRIE PARCEL" /(/P U_ 1\1'.ti\ I it\1\ {Y°; 1illit'/(A•: -Flu,._L'iga'.':.-A- Itl`.__i"_?. `. Ii `.?i/.??`.• \?..'.?.-V/ _\NJ7Y ?1\ i F i______________________I _ MEREDITH QUADRANGLE VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, States of Colorado NON - FEDERAL PARCEL "A" "VASSAR MEADOWS/ EAST BRUSH CR." form 0 104 t if 2.2 'low riats \\\ \?i 11 +' t? 1; %?_ \\\ \ `:\ 1 ?>(`\\ a`c\ i\? k'? ?? ?? 1??. \.? \ r 1 9600 10000 r-- _;.___? ??11TtONA I ` 460 FO All AoRE I:b / 10000 _ , 9J VASSAR MEADOWS LAND EXCHANGE PROPOSAL WHITE RIVER NATIONAL FOREST Eagle County and Pitkin County, State of Colorado NON-FEDERAL PARCEL "E" "RAID -CONTINENT COAL PREP. PLANT" -?09 k K of o; == 7? AI ti e PLACITA OIIADRANGI F MINUTES OF THE REGULAR MEETING OF THE TOWN COUNCIL HELD JUNE 13, 2000 A regular meeting of the Town of Avon, Colorado was held in the Municipal Building, 400 Benchmark Road, Avon, Colorado in the Council Chambers. The meeting was called to order by Mayor Judy Yoder at 5:30 PM. A roll call was taken with Councilors Jim Benson, Debbie Buckley, and Rick Cuny present. Councilors Mac McDevitt and Buz Reynolds were absent. Also present were Town Manager Bill Efting, Town Attorney Burt Levin, Assistant Town Manager Larry Brooks, Deputy Town Clerk Cait Hilmer, Police Chief Jeff Layman, Police Fire Chief Charles Moore, Public Works Director Bob Reed, Engineer Anne Martens, Assistant Director of Community Development Ruth Borne as well as members of the press and public. Citizen Input: Swearing in of Newly Appointed Councilmember Michael Brown Judge Buck Allen conducted the oath of office for newly appointed Councilmember Michael Brown. 11 Citizen Input: Speed Bumps in Wildridge Mr. Lyn Morgan, resident of upper Wildridge, commented on the speed bump in Wildridge. He is concerned about the safety of the children; however, does not feel a speed bump on a through street is appropriate. Ms. Greer Gardner, resident at 5723 Wildridge Road East, stated she is concerned about child safety, but is against the speed bump on Wildridge Road. Ms. Greer also questioned the fence at 4765 Wildridge Road. She said it is delineating the entire back property. She questioned if permission was granted. Town Manager Efting stated that Eric Johnson, Community Development Inspector, would look into that project and Mr. Efting will contact Ms. Greer. Mr. T. Fox, resident at 4280 Wildridge Road, stated he is against the speed bump on Wildridge Road. Mr. Dave Dantas, resident at 4263 Wildridge Road, stated he is against the speed bump on Wildridge Road. Mr. Dantas stated he is also against the police operation that took place a few weeks. 0 Mr. Mike Dantas, resident at 4263 Wildridge Road, stated he is against the speed bump on Wildridge Road and the police operation that Dave Dantas mentioned. Mayor Yoder asked for comments from the Council. Councilor Curly motioned to remove the speed bump from Wildridge Road. Councilor Buckley seconded the motion. Councilor Buckley added that the Council was not aware of a variance received by the Sherman's to build their home closer to the road. She stated that she would not have been in favor of the speed bump had she known about the variance. Councilor Benson agreed. Mayor Yoder added that the Council does get a lot of calls about speeding in Wildridge and the speed bump was an effort to help with that situation. She added that there will be a Wildridge meeting this summer at the Wildridge fire station and encouraged everyone to attend. Councilor Buckley added that the Council is having discussions about installing more pocket parks. The motion carried unanimously, and the speed bump will be removed. Second Reading of Ordinance No. 00-06, Series of 2000, An Ordinance Amending Chapters 8.31 and 8.32 of the Avon Municipal Code Relating to Odor Pollution; and Providing Penalties for the Violation Thereof Mayor Yoder stated this is a public hearing. Mayor Yoder stated that they received a letter from Eagle River Water & Sanitation District asking that we table this ordinance. Mayor Yoder asked the Council if they would like to table the ordinance. Council did not wish to table the ordinance. Councilor Curly motioned approval of Ordinance No. 00-06, Series of 2000, on second reading. Councilor Brown seconded the motion. Mayor Yoder asked for a roll call. The motion carried unanimously. C7 Town of Avon Regular Council Meeting Page 2 June 13, 2000 Town Manager Report: Town Manger Efting stated he will be gone Wednesday through Friday at the CML Conference in Grand Junction. Assistant Town Manger Brooks will be in charge. Consent Agenda: a.) Approval of the May 23, 2000 Council Meeting Minutes b.) Resolution No. 00-28, Series of 2000, A Resolution Authorizing an Assignment to the Town of Avon Finance Authority of the Town of Avon's Interest in the March 15, 2000 Contract Between the Town of Avon and John H. Laeri, Jr c.) Resolution No. 00-29, Series of 2000, A Resolution Appointing the Town of Avon's Representatives to the Upper Eagle Regional Water Authority d.) Resolution No. 00-30, Series of 2000, A Resolution Declaring the West Avon Bike and Pedestrian Trail to be in Pursuance of a Public Purpose, and Authorizing All Steps Necessary and Proper for Acquisition of all Interests, Rights of Way, and/or Easements Needed to Construct Such Improvement e.) Approval of Contract with Fire Tours Inc. and Fire Fall for BobSummerFest Councilor Benson motioned to approve the Consent Agenda. Councilor Buckley seconded the motion. The motion carried unanimously. There being no further business to come before the Council, Councilor Buckley motioned to adjourn the meeting. Councilor Benson seconded the motion. The motion carried unanimously and the meeting adjourned at 5:4 PM. Y SUBMITTED: Town Clerk r Town of Avon Regular Council Meeting Page 3 June 13, 2000 APPROVED: Jim Benson Michael Brown Debbie Buckley Rick Curly Mac McDevitt Buz Reynolds Judy Yoder L LJ Town of Avon Regular Council Meeting Page 4 June 13, 2000 I C O L O R A D O FINANCIAL MATTERS June 27, 2000 1. Detail - Building Activity Report 2. Detail-Real Estate Transfer Taxes-2000 3. Detail-Sales Tax Update 4. Detail-Accomodations Tax Update Post Office Box 97 c Benchmark Road . Colorado 81620 970-748-4000 970-949-9139 Fax 970-845-7708 TTY t Town of Avon 970-748-4030 P.O.Box 975 Avon, Co. 81620 748-4094 For Inspection Request Permit Tally Printed:6/12/00 For: May, 2000 Pagel of 1 Permit Purpose: Public: Construction Value: $.00 # of Bldgs: # of Units: Permit Charges: $.00 Private: 7 Construction Value: $.00 # of Bldgs: # of Units: Permit Charges: $32,231.14 Permit Purpose: Build Multi-Unit Housing Public:2 Construction Value: $16,552,1 64.79 # of Bldgs: 2 # of Units: 96 Permit Charges: $156,261.46 Private: Construction Value: $.00 # of Bldgs: # of Units: Permit Charges: $.00 Permit Purpose: New SF Residence Public: Construction Value: $.00 # of Bldgs: # of Units: Permit Charges: $.00 Private: 4 Construction Value: $5,411,5 83.83 # of Bldgs: 4 # of Units: 4 Permit Charges: $52,921.15 Permit Purpose: Repair/Remodel Comm/Indust Public: Bldg. Construction Value: $.00 # of Bldgs: # of Units: Permit Charges: $.00 Private: 1 Construction Value: $150,0 23.23 # of Bldgs: # of Units: Permit Charges: $2,419.91 Totals: Public: 2 Construction Value: $16,552,164.79 # of Bldgs:2 # of Units:96 Permit Charges: $156,261.46 Private: 12 Construction Value: $5,561,607.06 # of Bldgs:4 # of Units: 4 Permit Charges: $87,572.20 Town of Avon a Rea l Estate Transfer Tax Transactions Calendar Year 2000 Purchaser Amount of RETT Name Property Received $508,959.68 Campbell/Barajas Sherwood Meadows #3C 1,260.00 Furer Living Trust Canyon Run #6102 $6,700.00 Patterson Lot 26 Blk 1 WR $4,200.00 Overcash II Lot 38 Blk 1 WR 9,250.00 Westlund Avon Lake Villas #L-1 3,588.00 P.O.C. Realty Inc Christie Lodge Timeshares 2,126.70 Land Title Guarantee Falcon Pointe Timeshares 799.90 Yoder Buck Creek #2 1,436.00 Land Title Guarantee Falcon Pointe Timeshares 2,289.80 Land Title Guarantee Falcon Pointe Timeshares 540.00 P.O.C. Realty Inc Lakeside Terrace Timeshares 2,299.40 P.O.C. Realty Inc Lakeside Terrace Timeshares 2,769.30 P.O.C. Realty Inc Lakesidge Terrace Timeshares 1,289.80 Manley Mountain View #2 1,560.00 Spooner Lot 25 Blk 1 WR 6,000.00 Antilla Brookside #101 9,690.00 P.O.C. Realty Inc Christie Lodge Timeshares 2,039.10 P.O.C. Realty Inc Christie Lodge Timeshares 2,714.00 Schneider Avon Commercial Center 1,163.80 Three R Ventures LLC Mountain Star #68 19,500.00 Walters Revocable Living Trust Chapel Square #BR401 3,299.94 Walters Revocable Living Trust Chapel Square #BR402 3,299.94 1 Town of Avon Real Estate Transfer Tax Transactions Calendar Year 2000 Purchaser Name Property Amount of RETT Received Land Title Guarante CO Falcon Pointe Timeshares 909.90 Center Ltd Avon Commercial Park 8,400.00 B & H Investments Chapel Square #BR202 7,350.00 Stinespring Sage Villas Condo #C 1,500.00 P.O.C. Realty Inc Chrisitie Lodge Timeshares 2,734.80 P.O.C. Realty Inc Chrisitie Lodge Timeshares $1,529.90 Bence Christie Lodge Timeshares $33.00 Points Of Colorado Christie Lodge Timeshares $3,630.00 P.O.C. Realty Inc Lakeside Terrace Timeshares $2,719.30 P.O.C. Realty Inc Lakeside Terrace Timeshares $3,869.00 P.O.C. Realty Inc Lakeside Terrace Timeshares $2,929.00 P.O.C. Realty Inc Lakeside Terrace Timeshares $2,949.10 P.O.C. Realty Inc Lakeside Terrace Timeshares 3,492.91 P.O.C. Realty Inc Lakeside Terrace Timeshares 2,939.20 P.O.C. Realty Inc Lakeside Terrace Timeshares 4,399.00 P.O.C. Realty Inc Lakeside Terrace Timeshares 1,049.80 P.O.C. Realty Inc Lakeside Terrace Timeshares 2,189.40 P.O.C. Realty Inc Lakeside Terrace Timeshares 1,859.40 Pointes Of Colorado Lot C 66,600.00 Land Title Guarantee Falcon Pointe Timeshares 819.80 Gardner Lot 63 Blk 1 WR 9,550.00 Total Through May $728,228.87 E .7 i 2 M TOWN OF AVON SALES TAX BY MONTH 1996 95'-96'% 1997 96'-97'% 1998 97'-98'% 1999 Change Change Change January 332,198.39 6.07% 377,597.32 13.67% 379,424.41 0.48% 384,939.69 February 327,012.10 1025% 362,516.58 10.86% 378,112.00 4.30% 397,32316 March 407,980.62 9.10% 468,675.51 14.88% 460,191.56 -1.81% 474,933.06 April 252,927.51 11.46% 265,356.48 4.91% 310,197.72 16.90% 302,864.19 May 222,069.74 10.58% 241,012.56 8.53% 249,079.90 3.35% 265,405.35 June 298,113.41 11.31% 313,116.79 5.03% 337,562.03 7.81% 395,755.68 July 335,119.67 17.15% 353,101.99 5.37% 370,086.73 4.81% 395,954.38 August 324,451.49 13.80% 338,134.48 4.22% 363,110.96 7.39% 366,648.94 September 302,523.86 12.68% 319,410.91 5.58% 333,508.38 4.41% 364,432.54 October 266,050.77 19.56% 263,685.99 -0.89% 305,035.11 15.68% 295,541.62 November 285,178.12 9.28% 339,200.41 18.94% 335,073.59 -1.22% 320,335.28 December 509,177.82 14.39% 533,904.08 4.86% 550,077.22 3.03% 564,813.35 YTD Total 3,862,803.50 12.04% 4,175,713.10 8.10% 4,371,459.61 4.69% 4,528,947.24 98'-99'% 2000 991-001% Total5-Yr Change Change % Increase 1.45% 359,721.88 -0.55% 8.29% 5.08% 397,291.59 -0.01% 21.49% 3.20% 457,053.94 -3.76% 12.03% -2.36% 337,087.43 11.30% 33.27% 6.55% - -100.00% -100.00% 17.24% -100.00% -100.00% 6.99% -100.00% -100.00% 0.97% -100.00% -100.00% 9.27% -100.00% -100.00% -3.11% -100.00% -100.00% 4.40% -100.00% -100.00% 2.68% -100.00% -100.00% 3.60% 1,551,154.84 -0.57% -29.06% YTD Through April Collections 1996-2000 1,600,000.00 1,550,000.00 1,500,000.00 1,450,000.00 1,400,000.00 1,350,000.00 1,300,000.00 1,250,000.00 1,200,000.00 Year Mnnthly Cnllractinnc fnr Anril 1998-2nnn 350,000.00 300,000.00 i 250,000.00 200,000.00 1150,000.00 I. 100,000.00 50,000.00 1996 1998 1996 1997 1998 1999 2000 1997 1999 2000 I TOWN OF AVON ACCOMODATIONS TAX BY MONTH 1996 95'-96'% 1997 96'-97% 1998 97'-98% 1999 981-99% 2000 991-00% Total5-Yi Change Change Change Change Change % Increase January 37,787.01 -6.65% 39,958.27 515°,6 39,357.21 -1.50% 41,102.99 4.44% 24,753.92 -39.78% 1.54% February 42,386.61 10.86% 45,305.47 6.89% 42,769.24 -5.60% 36,985.03 -13.52% 32,158,10 -13.05% -3.27% March 55,882.23 5.26% 63,054.38 12.83% 51,035.34 -19.06% 42,018.24 -17.67% 42,385.82 0.87% -20.86% April 11,890.97 8.18% 11,850.40 -0.34% 13,556.94 14.40% 11,609.15 -1437% 10,166.11 -12.43% 5.61% May 6,703.77 23.14% 8,759.53 30.67% 5,762.93 -34.21% 6,117.50 6.15% - -100.00% 12.37% June 12,633.34 -1.61% 13,982.39 10.68% 12,609.03 482% 14,958.28 18.63% -100.00% 16.50% July 19,949.49 18.21% 21,298.64 6.76% 20,845.64 -2.13% 21,120.57 1.32% -100.00% 25.14% August 20,391.40 32.67% 22,365.12 9.68% 22,875.39 228% 16,452.89 -28.08% -100.00% 7.05% September 13,093.39 -2.35% 11,173.41 -14.66% 11,262.18 0.79% 10,300.61 -8.54% 100.00% -23.18% October 10,832.98 13.95% 8,819.05 -18.59% 8,31516 -5.71% 7,258.18 -12.72% -100.00% -23.65% November 12,824.84 -12.55% 12,112.05 -5.56% 10,813.22 -10.72% 7,889.97 -27.03% -100.00% -46.20% December 33,623.20 6.25% 40,000.05 18.97% 32,602.89 •184946 25,606.29 -21.46% -100.00% -19.09% YTD Total 277,999.23 5.88% 298,678.76 7.44% 271,805.77 -9.00% 241,41910 -11.18% 109,463.95 -16.89% -8.05% YTD Through April Collections 1996-2000 I 180,000.00 - 160,000.00 140,000.00 120,000.00 100,000.00 - ' a 80,000.00 . may k t" .. 000 00 60 . , / 40,000.00 . s - 20,000.00 - - . n C«J.«::... r..... ;r.A._. .. ..i.w• _. _Z ... ,.. a a 1996 1997 1998 1999 2000 Year Monthly Collections for April 1996-2000 4 COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31, 1999 TOWN OF AVON, COLORADO TOWN OF AVON, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31, 1999 Prepared by: Department of Finance Scott C. Wright, CPA, CGFO, Director TOWN OF AVON, COLORADO TOWN COUNCIL Judy Yoder, Mayor Bob McIlveen, Mayor Pro-Tem Jim Benson Debbie Buckley Rick Cuny Mac McDevitt Buz Reynolds., Jr. MANAGEMENT Bill Efting, Town Manager Larry Brooks, Assistant Town Manager Meryl Jacobs, Director of Recreation Jeff Layman, Police Chief Burt Levin, Town Attorney Mike Matzko, Director of Community Development Charles Moore, Fire Chief Kris Nash, Town Clerk Bob Reed, Director of Public Works Harry Taylor, Director of Transportation Norm Wood, Town Engineer Scott Wright, Finance Director INDEPENDENT AUDITORS Van Schooneveld and Co., Inc. Certified Public Accountants TOWN OF AVON, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31,1999 TABLE OF CONTENTS INTRODUCTION Page Letter of Transmittal vii-xv Town of Avon Organization Chart xvi Certificate of Achievement in Financial Reporting xvii FINANCIAL SECTION Report of Independent Auditors General Purpose Financial Statements Exhibit Combined Balance Sheet - All Fund Types and Account Groups 1 4-5 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - All Governmental Fund Types 2 7 Combined Statement of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual - All Governmental Fund Types 3 8-9 Combined Statement of Revenues, Expenses and Changes in Retained Earnings - All Proprietary Fund Types 4 11 Combined Statement of Cash Flows - All Proprietary Fund Types 5 12-13 Notes to the Combined Financial Statements 14-35 Combining and Individual Fund Statements and Statement/ Schedules: Schedule General Fund: Comparative Balance Sheets A-1 37 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances A-2 38 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual A-3 39 TOWN OF AVON, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31,1999 TABLE OF CONTENTS - CONTINUED Statement/ Schedule Page Special Revenue Funds: Combining Balance Sheet B-1 41 Combining Statement of Revenues, Expenditures and Changes in Fund Balances B-2 43 Combining Statement of Revenues, Expenditures, and Changes in Fund Balances - Budget (GAAP Basis) and Actual B-3 44-45 Mall Maintenance Fund: Comparative Balance Sheets B-4 46 Comparative Statement of Revenues, Expenditures and Changes in Fund Balances B-5 47 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual B-6 48 Fire Operations Fund: Comparative Balance Sheets B-7 49 Comparative Statement of Revenues, Expenditures and Changes in Fund Balances B-8 50 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual B-9 51 Employee Housing Fund: Balance Sheet B-10 52 Statement of Revenues, Expenditures and Changes in Fund Balance B-11 53 Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual B-12 54 Water Fund: Balance Sheet B-13 55 Statements of Revenues, Expenditures and Changes in Fund Balance B-14 56 Statement of Revenues, Expenditures and Changes in Fund Balance - Budget (GAAP Basis) and Actual B-15 57 ii Statement/ Schedule Page Debt Service Funds: Combining Balance Sheet C-1 59 Combining Statement of Revenues, Expenditures and Changes in Fund Balances C-2 61 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual C-3 62-63 Debt Service Fund: Comparative Balance Sheets C-4 64 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances C-5 65 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual C-6 66 Wildridge Special Assessment Fund: Comparative Balance Sheets C-7 67 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances C-8 68 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual C-9 69 Avon Metropolitan District Debt Service Fund: Comparative Balance Sheets C-10 70 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances C-11 71 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual C-12 72 Town of Avon Finance Authority Fund: Comparative Balance Sheets C-13 73 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances C-14 74 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual C-15 75 TOWN OF AVON, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED DECEMBER 31,1999 TABLE OF CONTENTS - CONTINUED Statement/ Schedule Page Capital Projects Fund: Comparative Balance Sheets D-1 77 Comparative Statements of Revenues, Expenditures and Changes in Fund Balances D-2 78 Statement of Revenues, Expenditures and Changes in Fund Balances - Budget (GAAP Basis) and Actual D-3 79 Enterprise Funds: Combining Balance Sheet E-1 81 Combining Statement of Revenues, Expenses and Changes in Retained Earnings E-2 83 Combining Statement of Cash Flows E-3 84-85 Water Enterprise Fund: Comparative Balance Sheets E-4 86 Comparative Statements of Revenues, Expenses and Changes in Retained Earnings E-5 87 Comparative Statements of Cash Flows E-6 88-89 Transit Enterprise Fund: Comparative Balance Sheets E-7 90 Comparative Statements of Revenues, Expenses and Changes in Retained Earnings E-8 91 Schedule of Revenues, Expenditures - Budget (NonGAAP Basis) and Actual E-9 92-93 Comparative Statements of Cash Flows E-10 94-95 Internal Service Funds: Combining Balance Sheet F-1 97 Combining Statement of Revenues, Expenses and Changes in Retained Earnings F-2 99 Combining Statement of Cash Flows F-3 100-101 Fleet Maintenance Internal Service Fund: Comparative Balance Sheets F-4 102 Comparative Statements of Revenues, Expenses and Changes in Retained Earnings F-5 103 Schedule of Revenues, Expenditures - Budget (NonGAAP Basis) and Actual F-6 104-105 Comparative Statements of Cash Flows F-7 106-107 iv Statement/ Schedule Page Equipment Replacement Internal Service Fund: Balance Sheet F-8 108 Statement of Revenues, Expenses and Changes in Retained Earnings F-9 109 Schedule of Revenues and Expenditures - Budget (NonGAAP Basis) and Actual F-10 110-111 Statement of Cash Flows F-11 112 Miscellaneous Schedules Debt Schedule G-1 113 Schedule of General Fund Revenues - Budget (GAAP Basis) and Actual G-2 114-116 Schedule of General Fund Expenditures - Budget (GAAP Basis) and Actual G-3 118-119 Counties, Cities, & Towns Annual Statement of Receipts and Expenditures for Roads, Bridges and Streets G-4 120-122 STATISTICAL SECTION Table General Governmental Expenditures by Function 1 123 General Governmental Revenues by Source 2 124 General Governmental Tax Revenues by Source 3 125 Property Tax Levies and Collections 4 126 Assessed and Estimated Actual Value of Taxable Property 5 127 Property Tax Rates - All Direct and Overlapping Governments 6 128 Special Assessment Billings and Collections 7 129 Ratio of Net General Obligation Bonded Debt to Assessed Value and Net General Obligation Bonded Debt Per Capita 8 130 Computation of Legal Debt Margin 9 131 Computation of Direct and Overlapping Bonded Debt - General Obligation Bonds 10 132 Ratio of Annual Debt Service Expenditures for General Obligation Bonded Debt to Total General Governmental Expenditures 11 133 Demographic Statistics 12 134 Commercial and Residential Construction 13 135 Principal Taxpayers 14 136 Miscellaneous Statistics 15 137 THIS PAGE INTENTIONALLY LEFT BLANK xi INTRODUCTION June 21, 2000 To the Honorable Mayor, Members of the Town Council and Citizens of the Town of Avon: I am pleased to submit this Comprehensive Annual Financial Report of the Town of Avon, Colorado, for the fiscal year ended December 31, 1999, as required by Town Charter and State statutes. The Town Charter and State statutes require that the Town of Avon issue an annual report on its financial position and activity, and that this report be audited by an independent firm of certified public accountants. This report was prepared by the Town's Finance Department. Responsibility for the completeness and fairness of the presentation, including all disclosures, rests with management. To the best of my knowledge and belief, the data presented is accurate in all material respects and is reported in a manner designed to present fairly the financial position and results of operations of the various funds and account groups. All disclosures necessary to enable the reader to gain an understanding of the Town's financial activities have been included. This comprehensive annual financial report is presented in three sections: introductory, financial, and statistical. The introductory section includes this transmittal letter, the Town's organizational chart, and a list of principal officials. The financial section contains the general purpose financial statements, the combining and individual fund statements and schedules, other miscellaneous schedules, as well as the independent auditor's report. The statistical section contains various financial and demographic information, presented on a multi-year basis. The financial reporting entity includes all the funds and account groups of the Town of Avon, as well as all of its component units. Component units are legally separate entities for which the Town is financially accountable. The Town provides a full range of municipal services including police and fire protection; the construction and maintenance of parks, streets, roads and infrastructure; recreational and cultural activities and events; community planning and zoning; and general administrative activities. Government Structure, Local Economic Condition and Outlook- The Town of Avon was incorporated in 1978 and is located in Eagle County eight miles west of the Town of Vail and seventeen miles east of the Town of Eagle. The Town sits north of U.S. Highway 6, directly adjacent to the Beaver Creek Resort and is bisected by Interstate Highway 70 from east to west. The primary transportation route to and from Avon is I-70. Air service is provided at the Eagle County Airport, 24 miles west of Avon. The Town provides transit service within the Town and to Beaver Creek Resort. Avon is also served by the Eagle County Regional Transit vii Letter of Transmittal Town of Avon, Colorado June 21, 2000 Authority which provides services throughout Eagle County. Eagle County encompasses approximately 1,694 square miles and spans from the summit of Vail Pass to Glenwood Canyon. Approximately 80% of Eagle County's land is public - comprised of National Forests, wilderness areas, Bureau of Land Management properties, and state and local public lands. The Town of Avon currently encompasses approximately 81/4 square miles and has an estimated permanent population of 2,921. The Town is a home-rule community empowered to levy a property tax on the assessed value of real property located within the Town. The Town collects a 4% sales tax on all retail sales, and a 4% accommodations tax on the lease or rental of hotel rooms, condominium units and other accommodations within the Town. The Town also collects a 2% real estate transfer tax on all sales of real property located within the Town. The Town has the power by state statute to extend its corporate limits by annexation, which is done periodically when deemed appropriate by the Town Council. The Town operates under the council/manager form of government. Policy-making and legislative authority are vested in the Town Council, which consists of a mayor and a six-member council. The Town Council is responsible, among other things, for passing ordinances, adopting the budget, and appointing a Town Manager, Town Attorney, Town Clerk and Municipal Judge. The Town Manager is responsible for carrying out the policies and ordinances of the Council, overseeing the day-to-day operations of the Town, and for appointing the heads of the Town's departments. The Council is elected on a non-partisan basis. Council members are elected to four-year staggered terms with four council members elected in November, 1998, and the remaining three to be elected in November, 2000. The mayor and mayor pro-tern are elected from amongst the elected council members by a majority vote. The mayor presides at meetings of council but has no power to vote except in the case of a tie of the council members present and voting. A significant amount of development has occurred in Avon because of the Town's prime location between the ski areas of Vail and Beaver Creek. Beaver Creek's position as a very high quality, destination year-round resort has also influenced growth and development. As the population center of Eagle County continues to move west from Vail, Avon expects to have a large role in the future growth and development of the area. Since 1990, the Town has seen the construction of approximately 768,000 square feet of commercial space and the addition of 887 residential units and in recent years has enjoyed the addition of a variety of stores, specialty shops and commercial business in the downtown core area. Within Eagle County, growth is occurring for several reasons. The construction boom of second-homes and resort facilities has created construction and service jobs Letter of Transmittal Town of Avon, Colorado June 21, 2000 for new permanent populations both in Avon, as well as down-valley. Other contributing factors such as the growing number of tourist dollars as the baby- boomers reach middle age, the desire of many small businesses wanting to get away from large metropolitan areas are expected to continue or increase for the next several years. All types of employment can be found in the county with many jobs centered around the tourism industry. Sixty percent of the 25,000-person labor force in Eagle County is tourism related. The unemployment rate of 3.31 percent is one of the lowest in the state and compares very favorable with both the state and national averages. The Town of Avon serves as the corporate headquarters for Vail Resorts, Inc. Vail Resorts is the largest employer in Eagle County with a work base of 1,500 year-round and 2,800 seasonal employees. In 1997, Vail Resorts acquired Breckenridge Ski Resort and Keystone Resort in neighboring Summit County becoming the largest ski company in the world. In addition to skiing and associated winter-time activities, the area promotes a number of summer activities. The Town of Avon sponsors several special events throughout the year to area residents including the State's largest 4"' of July fireworks display, a popular triathlon, and a free summer concert series featuring local and regional performers. Several championship golf courses are located in Eagle County and Golf Digest has rated Eagle County as one of the top 40 golf communities in which to live. Other summer activities include horseback riding, bicycling, rafting, and other recreational sports. Major Initiatives For the Year. The Town's staff, following specific directives of the Town Council and the Town Manager, have been involved in a variety of projects throughout the year. These projects reflect the Town's commitment to ensuring that its citizens are able to live and work in an enviable environment. Town-wide Computer Network. In order to provide services efficiently and effectively, the Town believes that it must share information and communicate not only within its organization, but with the outside world too. In 1999 the Town issued an RFP and selected a computer to install a town-wide computer network. The computer network allows departments to share, process, exchange, and transfer electronic files, documents, and other information, input and view financial information, and share various peripheral network devices while providing the necessary security wherever required. Facilities. In September, 1999, the Town opened its new fleet maintenance facility. The facility is a vehicle maintenance building consisting of 19,500 square feet on the ix Letter of Transmittal Town of Avon, Colorado June 21, 2000 first floor and 4,750 square feet on the mezzanine level. The facility consists of a vehicle repair bay area, a small lobby, two offices and a lunchroom. The repair bay contains vehicle lifts, a large fabrication bay with a bridge crane, a flat large repair bay, two small repair bays, an implement repair bay, a wash bay with lift and a lube/compressor room. There is also a tire repair area and tire storage mezzanine, metal shop, parts storeroom, battery room, manuals library, a rebuild room, an electronics shop, and lockers and showers. Employee Housing Program. The lack of employee housing has been an issue in the Vail valley for many years. In 1999, The Town of Avon recognized the need to obtain employee housing to attract and retain quality employees. Also, the availability of employee housing is for out-of-town recruiting purposes is essential. The Town master- leased 6 units, a total of 13 rooms, from Eaglebend Apartments in Avon. Eaglebend frequently has a waiting list for potential renters. By master- leasing the units, the Town is able to bypass the waiting list and house employees directly. Currently, Avon is working on acquiring 11 condominium units in the Sherwood Meadows Complex in Avon. This acquisition would give Avon an inventory of 24 bedrooms and secure its ability to offer employee housing in the future. For the Future. Discussions are currently in the preliminary phase for development of recently annexed areas of the Town. In addition, the Town recently approved an amended development agreement for the area of Town known as Tract C. The development is scheduled to break ground early summer of 2000 and will include time-share units, a hotel, and retail space. Tract C is one of the few remaining undeveloped areas within the center of Town and borders on one side of the Town Mall. Financial Information Management of the Town is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the Town are protected from loss, theft or misuse and to ensure that adequate accounting data are compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles. The internal control structure is designed to provide reasonable, but not absolute, assurance that these objectives are met. The concept of reasonable assurance recognizes that: (1) the cost of a control should not exceed the benefits likely to be derived; and (2) the valuation of costs and benefits requires estimates and judgements by management. As a recipient of federal, state and local financial assistance, the Town is also responsible for ensuring that an adequate internal control structure is in place to Letter of Transmittal Town of Avon, Colorado June 21, 2000 ensure and document compliance with applicable laws and regulations related to these programs. This internal control structure is subject to periodic evaluation by management. Budgetary Controls. The Town maintains extensive budgetary controls. The objective of these controls is to ensure compliance with legal provisions embodied in the annual appropriated budget adopted by the Town Council. All funds of the Town are included in the annual appropriated budget. The level of budgetary control is established at the department level within an individual fund. With the exception of capital projects, appropriations lapse at year-end. During the year, the Town Manager has the authority to transfer part or all of any unencumbered appropriation balance among programs within a department The Town Council may amend the budget by resolution at any time. As demonstrated by the statements and schedules included in the financial section of this report, the Town continues to meet its responsibility for sound budgetary and financial management. General Government Functions and General Fund Balance. The following schedule presents a summary of general fund, special revenue fund, debt service fund, and capital projects fund revenues for the years ended December 31, 1999 and 1998. Amount of Percent Revenues and 1999 Percent of 1998 Increase Increase Transfers Amount Total Amount (Decrease) (Decrease) Taxes $ 9,758,234 65.08% $ 9,156,013 $ 602,221 6.58% Licenses and Permits 278,903 1.86% 312,278 (33,375) (10.69%) Intergovernmental 2,182,382 14.55% 2,489,874 (307,492) (12.35%) Charges for Services 1,542,241 10.29% 1,283,954 258,287 20.12% Fines and Forfeitures 51,252 .34% 51,376 (124) (.24%) Special Assessments 68,528 .46% 80,401 (11,873) (14.77%) Investment Earnings 620,587 4.14% 582,856 37,731 6.47% Miscellaneous 491,343 3.28% 443,234 48,109 10.85% Total $14,993,470 100.00% $14,399,986 $ 593,484 The largest dollar-value increase was in the area of tax revenues. Sales tax collections grew $163,418 from 1998 to 1999, a 3.7 percent increase. Sales tax collections for the Town over the past five years have grown approximately thirty-one percent (31 %). xi Letter of Transmittal Town of Avon, Colorado June 21, 2000 Property taxes increased from $2,372,329 in 1998 to $2,489,424 in 1999, a 4.9 percent increase. This increase was due to the increase of assessed values of property within the Town, going from $95,534,550 in 1998 to $99,747,220 for 1999. The general operating mill levy for the Town remained at 11.456 mills while the debt service mill levy dropped .196 mills to 7.916. As mentioned earlier, the Town collects a 2% tax from all sales of real property within the Town. These real estate transfer tax collections increased fifteen percent (15%), going from $1,950,670 in 1998 to $2,253,373 in 1999. The largest dollar-value decrease was in the area of intergovernmental revenues. This was due primarily to certain capital projects being completed that involved payments from other governmental entities. The following schedule presents a summary of general fund, special revenue fund, debt service fund, and capital projects fund expenditures for the years ended December 31, 1999 and 1998. Expenditures and Transfers Current: General Government Community Development Public Safety Public Works Recreation and Culture Capital Improvements Debt Service: Principal Interest Bond Issuance Charges Fiscal Charges Total Percent Amount of Percent 1999 of 1998 Increase Increase Amount Total Amount (Decrease) (Decrease) $ 1,911,025 10.46% $ 1,721,277 $ 189,748 11.02% 588,081 3.22% 460,628 127,453 27.67% 3,245,157 17.77% 2,753,841 491,316 17.84% 2,199,747 12.05% 2,467,761 (268,014) (10.86%) 2,053,269 11.24% 1,776,425 276,844 15.58% 5,686,282 31.14% 6,705,346 (1,019,064) (15.20%) 1,311,000 7.18% 1,212,321 98,679 8.14% 1,228,036 6.72% 1,221,927 6,109 .50% - 0.00% 317,621 (317,621) (100.00%) 40,886 .22% 48,827 (7,941) (16.26%) $18,2632463 100.00% $18,685,974 1_2 5 11) The increase in General Government expenditures was due to a number of program changes including the establishment of a human resources department, the hiring of an in-house Town Attorney, an increase in salaries for the Town Council. In Community Development a new assistant director position was added, as well as an additional building inspector position. xii Letter of Transmittal Town of Avon, Colorado June 21, 2000 The increases in both public safety were also due primarily to the addition of new personnel. The decrease in public works is due to a decrease in major equipment purchases in 1999. General Fund Balance. The fund balance of the general fund decreased by approximately ten percent (10%) in 1999. This was $418,762 less than the decrease that was budgeted. The primary reasons for the decrease was due to additional expenditures to the new equipment replacement internal service fund. The fund balance of the general fund represents twenty-seven percent (27%) of the 2000 total governmental fund's appropriations or the equivalent of approximately 3 1/4 months of operations. The fund balance helps provide the Town with the resources necessary to budget more flexibly in the short-term and limits the need for capital financing. Enterprise Operations. The Town transferred most of its water system assets to the Upper Eagle Regional Water Authority (the "Authority"), effective January 1, 1999. Water related functions retained by the Town include limited administrative functions, maintenance of Nottingham Lake and related ditches and administration of water rights. The Town continues to charge tap fees and to assess a water service fee surcharge which is collected by the Authority and then forwarded to the Town. These revenues are used to cover expenses related to the limited remaining water related functions retained by the Town and are now accounted for in a special revenue fund. In 1998, the Town transferred all of its transit operations to a Transit Enterprise Fund. In addition to operating a free Town shuttle, the Town contracts with Beaver Creek Metropolitan District to operate their skier shuttle from the parking lots located at the base of Beaver Creek. The Town also contracts with the Eagle County Regional Transportation Authority for the operation of county-wide transit routes. In 1998, the Town created a Fleet Maintenance Internal Service Fund. This fund is used to account for the allocation of costs associated with the maintenance of Town vehicles and rolling stock and to charge these services to other departments and to other government units, on a cost reimbursement basis. In 1999 a new fleet maintenance facility was completed and all fleet maintenance operations were moved into the new facility in September. In 1999, the Town created an Equipment Replacement Internal Service Fund. This fund owns Town vehicles, heavy equipment and rolling stock, and certain recreation and other equipment and rents the equipment back to Town departments. The purpose of the fund is to create a reserve for the future replacement of this equipment and provide a consistent cost recovery expenditure for departments to include in their yearly budgets. xiii Letter of Transmittal Town of Avon, Colorado June 21, 2000 Debt Administration. At year-end the Town had a number of debt issues outstanding. These issues included $11,420,082 in general obligation bonds, $5,210,000 in sales tax revenue bonds, $6,855,000 in Certificates of Participation, and $300,000 in special assessment debt. During the year, the Town issued $5,580,000 of Sales Tax Revenue Refunding Bonds to advance refund the Town's Series 1994 and 1994B Sales Tax Revenue bonds at a lower interest rate. This refunding resulted in a present value savings to the Town of approximately $218,000. Cash Management Policies and Procedures. In 1996, a resolution was passed adopting an investment policy governing the Town's investment program. The policy generally follows state statute and allows the Town to invest in direct government securities, agencies, corporate paper, bonds, money market mutual funds, and local government investment pools. Excess available funds are invested to the maximum extent possible, within the constraints of safety and liquidity needs. Cash temporarily idle during the year was invested primarily in local government investment pools, money market mutual funds and certificates of deposit. Total interest earned by the Town on investments was $620,587 for the year ended December 31, 1999, an decrease of $38,716 over the prior year. Risk Management. The Town of Avon has an aggressive risk management program which encompasses the functions of safety/loss prevention, loss control, risk financing, risk transfer, and risk assessment. Any claims are promptly reported to the Town's Finance Officer for investigation and follow-up. Vehicular and property claims are reviewed during the Town's weekly Safety Review meeting for recommendation regarding possible corrective action. The Town has continued its participation in CIRSA, the Colorado Intergovernmental Risk Sharing Agency, which is a self-funded municipal pool of approximately 167 Colorado municipalities. Workers compensation insurance is purchased from the Colorado Compensation Insurance Authority (CCIA). Other Information Independent Audit. The Town Charter requires an annual audit by independent certified public accountants. The fine of Van Schooneveld and Co. was retained for this purpose. Generally accepted auditing standards were used by the auditors in conducting the engagement. The auditor's report on the general purpose financial statements is included in the financial section of this report. xiv Letter of Transmittal Town of Avon, Colorado June 21, 2000 Awards. The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the Town of Avon for its comprehensive annual financial report for the fiscal year ended December 31, 1998. In order to be awarded the Certificate of Achievement, a government unit must publish an easily readable and efficiently organized comprehensive annual financial report, whose contents conform to program standards. This report satisfied both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. I believe our current report continues to conform to the Certificate of Achievement Program's requirements, and I am submitting it to the GFOA to determine its eligibility for another certificate. Acknowledgements. The preparation of this report could not have been possible without the efficient and dedicated services of the entire staff of the finance department. Each member of the department has my sincere appreciation for the contributions made in the preparation of this report. Due credit should also be given to the Mayor, Town Council, and Town Manager for their interest, support and leadership in planning and conducting the operations of the Town in a responsible and progressive manner. Respectfully Submitted, Scott C. Wright, CPA, C Finance Director xv E 7 U ? C F o W ? o L V yy 4d ? 9 U U Q w ? ? G ? w ? x a a ?- C G •L a y P ? G ? u U H G a < w ,? ? F. 3 0 O ° d •A F Op, p? ? y W G U o G U ? ? F O ? U o ro F N u U ? 'L yJ of U M? w ? _ g ? a O p' u a ?pp 3 U 0 O o O U F a m a V L 7 V PG G g k x V a O ? O wI 19 W Certificate of Achievement for Excellence in Financial Reporting Presented to Town of Avon, Colorado For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31, 1998 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. (f?? 3 ;t,.& 6-?? President Y?? 0? • G5?' Executive Director THIS PAGE INTENTIONALLY LEFT BLANK v?riii FINANCIAL SECTION an chooneveld and Co., Inc. Certified Public Accountants INDEPENDENT AUDITOR'S REPORT Town Council Town of Avon, Colorado Principals Jack C. Schroeder Larry R. Beardsley Richard M. Carlson Mark D. Elmshauser Kevin F. Collins We have audited the accompanying general purpose financial statements of the Town of Avon, Colorado as of and for the year ended December 31, 1999, as listed in the foregoing Table of Contents. These financial statements are the responsibility of the Town's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. In our opinion, the general purpose financial statements referred to above present fairly, in all material respects, the financial position of the Town of Avon, Colorado at December 31, 1999 and the results of its operations and the cash flows of its proprietary fund types for the year then ended, in conformity with generally accepted accounting principles. Our audit was made for the purpose of forming an opinion on the general purpose financial statements taken as a whole. The combining, individual fund and individual account group financial statements and schedules and other schedules, as listed in the Table of Contents, are presented for purposes of legal compliance and additional analysis and are not a required part of the general purpose financial statements of the Town of Avon, Colorado. Such information has been subjected to the auditing procedures applied in the audit of the general purpose financial statements and, in our opinion, is fairly stated in all material respects in relation to the general purpose financial statements taken as a whole. The statistical section, as listed in the Table of Contents, has not been audited by us and, accordingly, we do not express an opinion thereon. June 2, 2000 6000 Greenwood Plaza Blvd., #110 - Greenwood Village, CO 80111-4817 ene ?Y,7n AfVUA - IDA V IM '7.7fl n'Y74 . 10 --:t. .. n..nw.,n (iT vcn.v r?o nn.n THIS PAGE INTENTIONALLY LEFT BLANK GENERAL PURPOSE FINANCIAL STATEMENTS GENERAL PURPOSE FINANCIAL STATEMENTS TOWN OF AVON, COLORADO COMBINED BALANCE SHEET ALL FUND TYPES AND ACCOUNT GROUPS DECEMBER 31,1999 Governmental Fund Types Special apr General Revenue Service Projects ASSETS AND OTHER DEBITS Assets: Cash and Cash Equivalents Investments Receivables: Interest Taxes Accounts Special Assessments Intergovernmental Due from Other Funds Inventory Prepaid Items Capital Leases Receivable Notes Receivable Deposits Fixed Assets, (Net, Where Applicable, of Accumulated Depreciation) Other Assets Other Debits: Amount Available in Debt Service Funds Amount to be Provided for Retirement of General Long-term Debt Total Assets and Other Debits $ 3,707,815 $ 1,957,616 $ 791,760 $ 3,362,067 500,000 - - - 8,606 - 2,471 1,100 1,942,458 - 1,339,732 156,184 146,140 29,578 - - - - 205,282 63,384 8,826 - - 250,000 - - - 5,141,250 - 89,655 - - - 12,611 5,440 - $ 6,720,669 $ 2,001,460 $ 7,480,495 $ 3,519,351 LIABILITIES EQUITY AND OTHER CREDITS Liabilities: Accounts Payable Accrued Liabilities Retainages Payable Due to Other Funds Deposits and Reserves Deferred Taxes Deferred Revenues Capital Leases Payable - Current Compensated Absences Payable General Obligation Bonds Payable Special Assessment Debt With Government Commitment Revenue Bonds Payable Certificates of Participation Payable Capital Leases Payable Total Liabilities Equity and Other Credits: Investment in General Fixed Assets Contributed Capital Retained Earnings (Accumulated Deficit) Fund Balances: Reserved: Bond Construction Fund Inventory and Prepaid Items Debt Service Unreserved: Designated for Subsequent Year's Expenditures Unreserved, Undesignated Total Equity and Other Credits Total Liabilities, Equity and Other Credits $ 96,218 $ 140,081 $ 151 $ 168,109 158,927 38,591 - - 227,325 7,288 - - 1,298,616 - 1,339,732 - 89,655 - 5,346,532 1,870,741 185,960 6,686,415 168,109 254,536 794,080 - 274,418 14,158 - 935,326 4,575,510 1,801,342 - 2,161,380 4,849,928 1,815,500 794,080 3,351,242 $ 6,720,669 $ 2,001,460 $ 7,480,495 $ 3,519,351 The accompanying notes are an integral part of the financial statements. 4 EXHIBIT 1 Proprietary Fund Types nterna Enterprise Service Account Groups enera enera Fixed Long-term Assets Debt Totals (Memorandum Only) 1999 1998 $ 161,114 $ 166,624 $ $ - $ 10,146,996 $ 11,990,668 _ _ - - 500,000 1,758,069 - 12,177 28,141 24,911 - - 3,463,285 3,139,742 - 38,213 - - 213,931 293,207 _ _ _ - 205,282 248,364 280,101 74,661 - - 426,972 484,945 _ - 250,000 150,000 - 102,183 - 102,183 52,055 _ - 20,125 _ - 5,141,250 - _ - 89,655 176,636 _ _ - 18,051 168,830 749,717 9,185,013 24,205,879 - 34,140,609 34,416,220 - 164,062 - - 164,062 - _ - 794,080 794,080 1,149,932 _ - - 24,126,311 24,126,311 24,150,293 $ 1,215,843 $ 9,730,756 $ 24,205,879 $ 24,920,391 $ 79,794,844 $ 78,227;227 $ 126,072 $ 91,853 $ - $ - $ 622,484 $ 778,877 91,180 20,492 - 309,190 255,002 - 38,192 250,000 250,000 150,000 _ - - 234,613 101,191 _ 2,638,348 2,460,118 _ 5,436,187 530,452 43,529 180,000 - 223,529 28,560 _ - 255,003 255,003 231,768 - 11,420,082 11,420,082 11,997,136 _ - 300,000 300,000 355,000 - 5,190,000 5,190,000 4,820,000 _ - 6,855,000 6,855,000 7,085,000 207,738 4,961,250 - 900,306 6,069,294 987,999 468,519 5,503,595 - 24,920,391 39,803,730 29,819,295 _ - 24,205,879 24,205,879 26,384,264 601,814 3,604,172 - - 4,205,986 11,175,215 145,510 622,989 - - 768,499 (1,786,188) _ _ _ 254,536 3,934,271 _ - 39,498 794,080 1,149,932 1,223,902 904,408 - 8,538,232 6,606,532 747,324 4,227,161 24,205,879 - 39,991,114 48,407,932 $ 1,215,843 $ 9,730,756 $ 24,205,879 $ 24,920,391 $ 79,794,844 $ 78,227,227 THIS PAGE INTENTIONALLY LEFT BLANK TOWN OF AVON, COLORADO COMBINED STATEMENT OF REVENUES, EXPENDITURES AND EXHIBIT 2 CHANGES IN FUND BALANCES - ALL GOVERNMENTAL FUND TYPES FOR THE YEAR ENDED DECEMBER 31,1999 Totals Governmental Fund Types (Memorandum Only) Special Debt Capital General Revenue Service Projects 1999 1998 Revenues Taxes $ 6,145,302 $ $ 1,359,559 $ 2,253,373 $ 9,758,234 $ 9,156,013 Licenses and Permits 278,903 - - 278,903 312,278 Intergovernmental 565,439 1,416,943 200,000 2,182,382 2,489,874 Charges for Services 1,239,202 303,039 - - 1,542,241 1,283,954 Fines and Forfeitures 51,252 - - 51,252 51,376 Special Assessments - - 68,528 - 68,528 80,401 Investment Earnings 375,060 68,677 39,049 137,801 620,587 582,856 Miscellaneous 385,084 71,076 - 35,183 491,343 443,234 Total Revenues 9,040,242 1,859,735 1,467,136 2,626,357 14,993,470 14,399,986 Expenditures Current: General Government 1,885,652 25,373 - 1,911,025 1,721,277 Community Development 588,081 - - 588,081 460,628 Public Safety 1,254,680 1,990,477 - 3,245,157 2,753,841 Public Works 2,058,317 141,430 - 2,199,747 2,467,761 Recreation and Culture 2,0539269 - - 2,053,269 1,776,425 Capital Improvements - - 5,686,282 5,686,282 6,705,346 Debt Service: Principal - 1,235,000 76,000 1,311,000 1,212,321 Interest - 1,223,431 4,605 1,228,036 1,221,927 Bond Issuance Costs - - - - 317,621 Fiscal Charges - 40,886 - 40,886 48,827 Total Expenditures 7,839,999 2,157,280 2,499,317 5,766,887 18,263,483 18,685,974 Excess (Deficiency) of Revenues Over(Under)Expenditures 1,200,243 (297,545) (1,032,181) (3,140,530) (3,270,013) (4,285,988) Other Financing Sources (Uses) Operating Transfers In 130,000 408,000 1,057,165 250,836 1,846,001 3,670,492 Operating Transfers Out (1,888,261) - (380,836) (16,191) (2,285,288) (2,689,919) Proceeds of Refunding Bonds 5,580,000 5,580,000 - Proceeds of Certificates of Participation - - 7,085,000 Refunding Bond Issuance Charges - (191,539) - (191,539) - Payment to Refunded Bond Escrow Agent - (5,388,461) - (5,388,461) - Capital Lease Proceeds - 213,615 225,954 439,569 743,372 Disposal of Fixed Assets - - - - - 36,200 Total Other Financing Sources (Uses) (1,758,261) 621,615 676,329 460,599 282 8,845,145 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (558,018) 324,070 (355,852) (2,679,931) (3,269,731) 4,559,157 Fund Balances, Beginning of Year 5,407,946 45,590 1,149,932 6,031,173 12,634,641 8,075,484 Residual Equity Transfer In - 1,445,840 - - 1,445,840 - Fund Balances, End of year $ 4,849,928 $ 1,815,500 $ 794,080 $ 3,351,242 $ 10,810,750 $ 12,634,641 The accompanying notes are an integral part of the financial statements. 7 TOWN OF AVON, COLORADO COMBINED STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL - ALL GOVERNMENTAL FUND TYPES FOR THE YEAR ENDED DECEMBER 31,1999 General Fund Special Revenue Funds Variance - Variance - Amended Favorable Amended Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Revenues Taxes $ 6,095,992 $ 6,145,302 $ 49,310 $ - $ - $ - Licenses and Permits 277,810 278,903 1,093 - - - Intergovernmental 587,886 565,439 (22,447) 1,492,322 1,416,943 (75,379) Charges for Services 1,381,846 1,239,202 (142,644) 363,350 303,039 (60,311) Fines and Forfeitures 55,125 51,252 (3,873) - - - Special Assessments - - - - - - Investment Earnings 375,000 375,060 60 50,000 68,677 18,677 Miscellaneous 513,670 385,084 (128,586) 55,641 71,076 15,435 Total Revenues 9,287,329 9,040,242 (247,087) 1,961,313 1,859,735 (101,578) Expenditures Current: General Government 1,994,543 1,885,652 108,891 38,716 25,373 13,343 Community Development 624,954 588,081 36,873 - - - Public Safety 1,264,317 1,254,680 9,637 2,095,750 1,990,477 105,273 Public Works 2,408,831 2,058,317 350,514 229,187 141,430 87,757 Recreation and Culture 2,238,203 2,053,269 184,934 - - - Capital Improvements - - - ' Debt Service: Principal " Interest - - - - Fiscal Charges - - - - - " Total Expenditures 8,530,848 7,839,999 690,849 2,363,653 2,157,280 206,373 Excess (Deficiency) of Revenues Over (Under) Expenditures 756,481 1,200,243 443,762 (402,340) (297,545) 104,795 Other Financing Sources (Uses) Operating Transfers In 130,000 130,000 - 408,000 408,000 - Operating Transfers Out (1,888,261) (1,888,261) - - - Proceeds of Refunding Bonds - - - - - - Refunding Bond Issuance Charges - - - - - Payment to Refunded Bond Escrow Agent - - - - - Capital Lease Proceeds - - - 259,212 213,615 (45,597) Disposal of Fixed Assets 25,000 - (25,000) - - Total Other Financing Sources (Uses) (1,733,261) (1,758,261) (25,000) 667,212 621,615 (45,597) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (976,780) (558,018) 418,762 264,872 324,070 59,198 Fund Balances, Beginning of Year 5,407,946 5,407,946 - 45,590 45,590 - Residual Equity Transfer In - - - 1,445,840 1,445,840 - Fund Balances, End of year $ 4,431,166 $ 4,849,928 $ 418,762 $ 1,756,302 $ 1,815,500 $ 59,198 The accompanying notes are an integral part of the financial statements. 8 EXHIBIT 3 Debt Service Funds Capital Projects Fund Totals (Memorandum Only) Variance - Variance - Variance - Amended Favorable Amended Favorable Amended Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 1,340,700 $ 1,359,559 $ 18,859 $ 1,750,000 $ 2,253,373 $ 503,373 $ 9,186,692 $ 9,758,234 $ 571,542 _ _ _ - - 277,810 278,903 1,093 300,000 200,000 (100,000) 2,380,208 2,182,382 (197,826) _ _ 1,745,196 1,542,241 (202,955) _ _ 55,125 51,252 (3,873) 60,000 68,528 8,528 - - 60,000 68,528 8,528 35,800 39,049 3,249 137,801 137,801 598,601 620,587 21,986 _ - - 30,500 35,183 4,683 599,811 491,343 (108,468) 1,436,500 1,467,136 30,636 2,218,301 2,626,357 408,056 14,903,443 14,993,470 90,027 2,033,259 1,911,025 122,234 - 624,954 588,081 36,873 _ 3,360,067 3,245,157 114,910 2,638,018 2,199,747 438,271 _ 2,238,203 2,053,269 184,934 6,278,476 5,686,282 592,194 6,278,476 5,686,282 592,194 1,245,000 1,235,000 10,000 76,000 76,000 - 1,321,000 1,311,000 10,000 1,225,470 1,223,431 2,039 4,935 4,605 330 1,230,405 1,228,036 2,369 44,906 40,886 4,020 - - - 44,906 40,886 4,020 2,515,376 2,499,317 16,059 6,359,411 5,766,887 592,524 19,769,288 18,263,483 1,505,805 (1,078,876) (1,032,181) 46,695 (4,141,110) (3,140,530) 1,000,580 (4,865,845) (3,270,013) 1,595,832 1,057,165 1,057,165 250,836 250,836 1,846,001 1,846,001 - (380,836) (380,836) - (16,191) (16,191) (2,285,288) (2,285,288) - 5,580,000 5,580,000 - - 5,580,000 5,580,000 191,539 (191,539) - 191,539 (191,539) - (5,388,461) (5,388,461) - - - (5,388,461) (5,388,461) _ 114,000 225,954 111,954 373,212 439,569 66,357 _ _ - - - 25,000 - (25,000) 676,329 1,059,407 348,645 460,599 111,954 (41,075) 383,360 41,357 (402,547) 27,226 46,695 (3,792,465) (2,679,931) 1,112,534 (4,906,920) (2,886,653) 1,637,189 1,149,932 1,149,932 - 6,031,173 6,031,173 - 12,634,641 12,634,641 - 1,445,840 1,445,840 - $ 747,385 $ 1,177,158 $ 46,695 $ 2,238,708 $ 3,351,242 $ 1,112,534 $ 9,173,561 $ 11,193,828 $ 1,637,189 THIS PAGE INTENTIONALLY LEFT BLANK 10 TOWN OF AVON, COLORADO COMBINED STATEMENT OF REVENUES, EXPENSES EXHIBIT 4 AND CHANGES IN RETAINED EARNINGS - ALL PROPRIETARY FUND TYPES FOR THE YEAR ENDED DECEMBER 31,1999 Operating Revenues Charges for Services Other Operating Revenues Total Operating Revenues Operating Expenses: Cost of Operations Depreciation Total Operating Expenses Operating Income (Loss) Nonoperating Revenues (Expenses) Taxes Interest Expense Investment Earnings Gain on Disposal of Fixed Assets Distribution of Fixed Assets Total Nonoperating Revenues (Expenses) Income (Loss) Before Operating Transfers Operating Transfers In (Out) Totals Proprietary Fund Types (Memorandum Only) Internal Enterprise Service 1999 1998 $ 2,533,187 $ 1,749,231 $ 4,282,418 $ 3,334,898 44,477 20,210 64,687 7,483 2,577,664 1,769,441 4,347,105 3,342,381 3,026,466 1,154,840 4,181,306 3,916,024 115,840 330,373 446,213 327,846 3,142,306 1,485,213 4,627,519 4,243,870 (564,642) 284,228 (280,414) (901,489) 240,725 - 240,725 271,805 (27,872) - (27,872) (8,555) - - 76,447 1,785 1,785 - (7,233,228) - (7,233,228) - (7,020,375) 1,785 (7,018,590) 339,697 (7,585,017) 286,013 (7,299,004) (561,792) 439,287 - 439,287 (980,573) Net Income (Loss) (7,145,730) 286,013 (6,859,717) (1,542,365) Retained Earnings (Accumulated Deficit), Beginning of Year (1,806,353) 20,165 (1,786,188) (243,823) Residual Equity Transfer Out Depreciation Tranferred to Contributed Capital (1,445,840) - (1,445,840) - 316,811 316,811 Transfer from Contributed Capital 10,543,433 - 10,543,433 Retained Earnings (Accumulated Deficit), End of Year $ 145,510 $ 622,989 $ 768,499 $(1,786,188) The accompanying notes are an integral part of the financial statements. 11 TOWN OF AVON, COLORADO COMBINED STATEMENT OF CASH FLOWS - ALL PROPRIETARY FUND TYPES FOR THE YEAR ENDED DECEMBER 31,1999 Cash Flows From Operating Activities Cash Received from Customers Cash Payments to Suppliers for Goods and Services Cash Payments to Employees for Services Other Operating Revenues Totals Proprietary Fund Types (Memorandum Only) Internal Enterprise Service 1999 1998 $ 2,689,795 $ 1,656,567 (788,792) (671,831) (2,287,426) (484,236) 44,477 - $ 4,346,362 $ 2,873,673 (1,460,623) (1,309,577) (2,771,662) (2,331,377) 44,477 7,483 Net Cash Provided by (Used in) Operating Activities (341,946) 500,500 158,554 (759,798) Cash Flows From Noncapital Financing Activities Advances from General Fund - 250,000 250,000 150,000 Repayment of Advances (150,000) - (150,000) - Transfer from General Fund 439,287 - 439,287 519,427 Residual Equity Transfer Out (1,445,840) - (1,445,840) - Transfer to Capital Projects Fund - - - (1,500,000) Net Cash Provided by (Used in) Noncapital Financing Activities (1,156,553) 250,000 (906,553) (830,573) Cash Flows From Capital Financing Activities Tap Fees Received Taxes Received Start-up Costs Incurred and Capitalized Acquisition and Construction of Capital Assets Proceeds from Capital Leases Interest Paid on Capital Lease Obligations Principal Paid on Capital Lease Obligations Cost Recovery Payments to Developers Net Cash Provided by (Used in) Capital Financing Activities Cash Flows From Investing Activities Earnings on Investments Net Cash Provided by Investing Activities Net Increase (Decrease) in Cash and Cash Equivalents Cash and Cash Equivalents, Beginning of Year Cash and Cash Equivalents, End of Year - - - 1,094,917 248,418 - 248,418 271,805 - (164,062) (164,062) - (94,976) (450,609) (545,585) (283,674) 75,000 - 75,000 225,680 (27,872) - (27,872) (8,555) (28,971) - (28,971) (20,442) - - - (101,774) 171,599 (614,671) (443,072) 1,177,957 76,447 - - 76,447 (1,326,900) 135,829 (1,191,071) (335,967) 1,488,014 30,795 1,518,809 1,854,776 $ 161,114 $ 166,624 $ 327,738 $ 1,518,809 The accompanying notes are an integral part of the financial statements. 12 EXHIBIT 5 Totals Proprietary Fund Types (Memorandum Only) Internal Enterprise Service 1999 1998 RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES Operating Income (Loss) Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided by (Used in) Operating Activities Depreciation Change in Assets and Liabilities: (Increase) Decrease in Accounts Receivable (Increase) Decrease in Intergovernmental Receivable Increase in Inventory Increase (Decrease) in Accounts Payable Increase in Accrued Liabilities $ (564,642) $ 284,228 $ (280,414) $ (901,489) 115,840 330,373 446,213 327,846 9,788 (38,213) (28,425) (42,391) 146,820 (74,661) 72,159 (418,834) - (69,501) (69,501) (32,682) (54,269) 62,864 8,595 206,719 4,517 5,410 9,927 101,033 Total Adjustments Net Cash Provided by (Used in) Operating Activities 222,696 216,272 438,968 141,691 $ (341,946) $ 500,500 $ 158,554 $ (759,798) NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Distribution of Fixed Assets to Governmental Entity Transfer from Contributed Capital to Retained Earnings Contributions of Capital Assets to Equipment Replacement Fund Contributions of Capital Assets from General Fixed Asset Account Group Contributions of Capital Assets from Transit Fund Depreciation Transferred to-Contributed-Capital Capitalization of Facilities Constructed in the Capital Projects Fund Capitalization of Leases Payable Used to Finance Facilities $(7,233,228) $ - $(7,233,228) $ 10,543,433 - 10,543,433 - (10,285) - (10,285) - - 2,580,951 2,580,951 631,782 - 10,285 10,285 - - - (316,811) (316,811) - 6,400,132 6,400,132 (5,141,250) (5,141,250) - III TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 The financial statements of the Town of Avon have been prepared in conformity with generally accepted accounting principles ("GAAP") as applied to governmental entities. The Governmental Accounting Standards Board ("GASB") is the accepted standard-setting board for establishing governmental accounting and financial reporting principles. The following notes are an integral part of the Town's Comprehensive Annual Financial Report. Note 1. Summary of Significant Accounting Policies A. Financial Reporting Entity As required by generally accepted accounting principles, these financial statements present the Town of Avon (the primary government) and its component units, entities for which the Town is considered financially accountable. Blended component units, although legally separate entities, are, in substance, part of the Town's operations and so data from these units are combined with data of the Town. All blended component units have a December 31 year-end. Primary Government. The Town of Avon, Colorado, was incorporated as a Town on April 24, 1978. On June 13, 1978, the citizenry voted to become a Home Rule City, as authorized by Article 20 of the Colorado State Constitution. The Town operates under a Council- Manager form of government and provides the following services as authorized by its charter: public safety, highways and streets, culture-recreation, public improvements, planning and zoning, transportation, water utility services, and general administrative services. Blended Component Unit. The Town of Avon Finance Authority (Authority) was incorporated in 1998 as a Colorado nonprofit corporation, with the sole purpose of facilitating Town financings, including lease-purchase financings. The Authority has a three-member board of directors who serve without compensation and have no private or proprietary interest in the Authority. The Authority is reported as a debt service fund. The Authority is included in the Town's financial statements because the Town appoints the board members of the Authority and has financial accountability for the Authority. B. Fund Accounting The Town uses funds and account groups to report its results of operations and its financial position. Through the use of fund accounting, the Town demonstrates compliance with legal, contractual and regulatory requirements, segregates transactions by government function or activity, and assists financial management in coordinating and evaluating the use and control of the Town's assets and operations. A fund is a separate accounting entity with a self-balancing set of accounts. In contrast, an account group is a financial reporting devise designed to provide accountability for certain assets and liabilities which do not require or use available financial resources. Funds are classified into two categories: governmental and proprietary. Each category, in turn, is divided into separate "fund types". Governmental funds are used to account for all of the Town's general activities, including 14 the collection and disbursement of earmarked monies (special revenue funds), the servicing of general long-term debt (debt service funds), and the acquisition or construction of major capital projects not being financed by proprietary funds (capital project fund). The General Fund is used to account for all activities of the Town not accounted for in some other fund, including activities related to the collection of proceeds from the seizure of contraband, if any. Proprietary funds are used to account for activities which are similar to those found in the private sector, where the determination of net income is necessary or useful to sound financial administration. Goods or services from such activities can be provided either to outside parties (enterprise funds), or to other departments or agencies primarily within the government (internal service funds). Enterprise funds are used by the Town to account for water utilities and transportation services operated by the Town. Internal service funds are used by the Town to account for fleet maintenance and equipment rental and replacement operations. The General Fixed Assets Account Group is not a fund but rather an account group that is used to account for general fixed assets acquired for general purposes and excludes fixed assets relating to proprietary funds. The General Long-term Debt Account Group is an account group that is used to account for the outstanding principal balance of general obligation bonds and other long-term obligations of the Town and excludes long-term obligations relating to proprietary funds. C. Basis of Accounting The modified accrual basis of accounting is followed in the governmental fund types. The measurement focus of the governmental fund types using current financial resources is described as follows: Revenue is recorded when susceptible to accrual, i.e., both measurable and available. Available means collectible within the current period or soon enough thereafter to be used to pay liabilities of the current period. The major sources of revenue which are susceptible to accrual are property, use, accommodations and sales taxes. Expenditures, other than interest on long-term obligations are recorded when the liability is incurred or the long-term obligation paid. The accrual basis of accounting is utilized in the proprietary fund type. Revenue is recognized when earned and expenses are recognized when the liability is incurred. Depreciation is computed and recorded as an operating expense. Expenditures for property, plant and equipment are shown as increases in assets and redemption of bonds and notes are recorded as a reduction in liabilities. The Town has elected to follow Governmental Accounting Standards Board Pronouncements. Therefore statements issued by the Financial Accounting Standards Board after November 30, 1989, are not applied. 15 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 D. Budgets Budgets are adopted on a basis consistent with generally accepted accounting principles for all funds, with the exception of proprietary funds which are budgeted on the modified accrual basis of accounting. According to the Town's Charter, al l appropriations except for capital projects or special revenue funds lapse at fiscal year-end. However, as a matter of practice, the Town adopts annual budgets for all funds. Encumbrance accounting (open purchase orders, contracts in process and other commitments for the expenditures of funds in future periods) is not used by the Town for budget or financial reporting purposes. E. Cash and Investments The Town concentrates the cash resources of its various funds in order to facilitate the management of cash. The balance in this concentration account is available to meet the Town's current operating requirements. Cash resources in excess of current requirements is invested in various interest-bearing securities and disclosed as part of the Town's investments. Town Charter and Colorado State statutes authorize the Town to invest its excess funds in direct U.S. Government securities, agencies, bonds and other obligations of states and political subdivisions, corporate bonds, money market mutual funds, and local government investment pools. Investments are stated at fair value on the balance sheet except for money-market investments that have a remaining maturity at time of purchase of one year or less. Investment income is recognized when earned. F. Inventories Inventories are valued at cost using the first-in/first-out (FIFO) method. The costs of any governmental fund-type inventories are recorded as expenditures when consumed rather than when purchased. G. Fixed Assets General fixed assets are not capitalized in the funds used to acquire or construct them. Instead, capital acquisition and construction for general governmental operations are recorded as expenditures in the fund making the expenditure and the related assets are reported in the General Fixed Assets Account Group. All purchased fixed assets are stated at cost or estimated historical cost if actual historical records are not available. Donated fixed assets are recorded at their estimated fair market value at the date of contribution. No depreciation is provided on general fixed assets. Depreciation of property, plant and equipment in the proprietary funds are computed using the straight-line method over the estimated economic useful life of the asset. 16 Public domain or infrastructure fixed assets such as roads, bridges, curbs and gutters, streets and sidewalks, drainage systems, lighting systems, other land improvements, and similar assets that are immovable and of value only to the Town are not reflected in the General Fixed Assets Account Group. It is the Town's policy to capitalize expenditures with a cost greater than $1,000 and an estimated useful life of more than one year. The costs of normal maintenance and repair are charged to operations as incurred. H. Long-term Obligations Long-term debt is recognized as a liability of a governmental fund when due. For other long-term obligations, only that portion expected to be financed from expendable available financial resources is reported as a fund liability of a governmental fund. The remaining portion of such obligations is reported in the General Long-term Debt Account Group. Long-term liabilities expected to be financed from proprietary fund operations are accounted for in those funds. 1. Property Taxes Property taxes are levied by the Town Council. The levy is based on the assessed valuation of property located within the Town as determined by the County Assessor generally as of January 1 of each year. The levy is normally set by December 15 by certification to the County Commissioners. The County Treasurer collects the property taxes during the ensuing calendar year and remits the taxes collected to the Town on a monthly basis. Property taxes are payable in full by April 30, or if in two equal installments, by February 28 and June 15. Delinquent taxpayers are notified in August and generally sales of the tax liens on delinquent properties are held in November or December. Property taxes, net of estimated uncollectible taxes, are recorded as receivable in the year levied and offset to deferred revenue since they typically do not meet the availability criterion. J. Special Assessments Special assessments are recorded as revenue in the year that the assessments become available. Typically this results in recognizing revenues as the assessments are collected. The remaining assessed but uncollected installments are recorded as deferred revenue. K. Compensated Absences Compensated absences are recognized as General Fund expenditures when they are expected to be liquidated with expendable available financial resources. A long-term liability has been recorded in the General Long-term Debt Account Group representing the Town's commitment to fund the amounts not expected to be liquidated with expendable available 17 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 financial resources from future operations (see Note 6). No liability is reported for unpaid accumulated sick leave. L. Interest Accretion - Supplemental "B" Interest Registered Certificates Two Supplemental "B" Interest Registered Certificates (see Note 6) have been issued by the Town at a total net present value of $911,590 and will accrete to a maturity value of $960,000. The accretion is being recognized over the term of the Certificates using the interest method. The net present value of the Certificates is reflected in the General Long- term Debt Account Group in order to reflect the liability for such Certificates. The accretion does not effect the Town's governmental fund operations because it does not involve the use of cash or working capital. The measurement focus is based upon recognition of debt service expenditures when the Certificates are due. The balance of Supplemental `B: Interest Registered Certificates at December 31, 1999, was $75,000. M. Fund Equity Reserves are used to segregate portions of fund balance or retained earnings that are legally restricted for specific future uses. Designated fund balances represent tentative plans for future use of financial resources. Contributed capital is recorded in proprietary funds for capital grants or contributions from developers, customers, other funds and other entities. Depreciation relating to contributed assets is transferred from retained earnings to contributed capital The Town considers all unreserved fund balances to be "reserves" for future operations or capital replacement as defined within Article X, Section 20 of the Constitution of the State of Colorado (see Note 10). N. Memorandum Only - Total Columns Total columns on the general purpose financial statements are captioned "Memorandum Only" because they do not represent consolidated financial information and are presented only to facilitate financial analysis. Data in these columns do not present financial position, results of operations, or cash flows, in conformity with generally accepted accounting principles. Neither are such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this data. 0. Comparative Data Comparative total data for the prior year have been presented in the accompanying financial statements in order to provide an understanding of changes in the Town's financial position and operations. However, comparative data have not been presented in all statements because their inclusion would make certain statements unduly complex and difficult to understand. 18 During 1999, the Town established a special revenue fund to account for maintaining certain water-related assets and the receipt of water surcharges and tap fees. These activities were previously accounted for in an enterprise fund (See Note 12). P. Reclassifications For comparability, 1998 comparative data has been reclassified where appropriate to conform with the 1999 financial statement presentation. Q. Statements of Cash Flows For purposes of the statement of cash flows, the Town considers all highly liquid investments with a maturity when purchased of three months or less and all local government investment pools to be cash equivalents. Note 2. Legal Compliance - Budgets No later than October 15th, the Town Manager submits to the Mayor and Town Council a proposed budget for the calendar year commencing the following January 1St. The budget is prepared by fund, department, program and project and includes information on the prior year, current estimates and requested appropriations and estimated revenues for the upcommg year. The Town Council holds public hearings and may change appropriations except for expenditures required by law for debt service or for estimated cash deficits. No change to the budget may increase the authorized expenditures to any amount greater than the total amount of funds available. The Town Council must adopt the budget by resolution prior to December 15th. Once adopted, the Town Council may at any time, by resolution, amend the budget. In addition, the Town Manager may transfer part or all of any unencumbered appropriation balance among programs within a department. A department is defined by the Town as a distinct, principal or specialized division (i.e. the fire department; the department of public works). Expenditures may not legally exceed budgeted appropriations at the fund level. Budgetary comparisons in the accompanying combined financial statements and in the individual fund statements are presented at a lower-than-required level of control to facilitate detailed financial analysis. During the year ended December 31, 1999, supplemental appropriations were approved by the Town as follows: 19 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 Original Modified Appropriation Appropriation General Fund $ 10,248,464 $ 10,419,109 Mall Maintenance Fund 76,209 77,701 Fire Operations Fund 2,050,087 2,095,750 Employee Housing Fund - 38,716 Water Fund - 151,486 Debt Service Fund 1,858,357 1,529,634 Wildridge Special Improvement District Fund 116,500 103,500 Town of Avon Finance Authority - 563,540 Capital Projects Fund 4,926,292 6,375,602 Water Enterprise Fund 105,638 - Transit Enterprise Fund 3,630,141 3,541,790 Fleet Maintenance Internal Service Fund 1,456,475 1,440,134 Note 3. Deposits and Investments Deposits. At year-end the carrying amount of the Town's deposits was $630,742 and the bank balance was $1,266,899. Of the bank balance, $200,000 was covered by federal depository insurance. The remaining balance was collateralized under the Colorado Public Deposit Protection Act ("PDPA"). PDPA requires that cash be deposited in eligible public depositories and that deposits in excess of federal insurance levels must be collateralized. The eligible collateral is determined by the PDPA. PDPA allows the institution to create a single collateral pool for all public funds. The pool for all the uninsured public deposits as a group is to be maintained by another institution or held in trust. The market value of the collateral must be at least equal to 102% of the aggregate uninsured deposits. The Town is a named participant in the single institution collateral pool. Pursuant to the implementation Guide to GASB Statement No. 3, deposits collateralized under PDPA have been classified as credit risk Category 2 - collateralized with securities held by the pledging financial institution's trust department or agent in the Town's name - because the collateral pool is considered to meet the "held in the name of the government" criterion. Investments Investments made by the Town are categorized to give an indication of the level of credit risk assumed by the Town in its investment program. Investments represented by specific identifiable securities are classified by the following risk categories: Category 1 Insured or registered securities or for which the securities are held by the Town or its agent in the Town's name. 20 Category 2 Uninsured and unregistered securities. With the securities held by the counter-party's trust department or agent in the Town's name. Category 3 Uninsured and unregistered securities. With the securities held by the counter-party, or by its trust department or agent, but not in the Town's name. Local Government Investment Pools investments in local government investment pools or in money market mutual funds are not categorized because they are not evidenced by specific, identifiable securities that exist in physical or book entry form. As of December 31, 1999, the Town of Avon held investments in two local government investment pools (the Trusts), the Colorado Local Government Liquid Asset Trust (COLOTRUST) and the Colorado Surplus Asset Fund Trust (CSAFE). These trusts are investment vehicles established for local government entities in Colorado to pool surplus funds. The State Securities Commissioner administers and enforces all State statutes governing the Trusts. The Trusts operate similarly to a money market fund and each share is equal in value to $1.00. A designated custodial bank serves as custodian for the trusts portfolios pursuant to a custodian agreement. The custodian acts as safekeeping agent for the Trusts investment portfolios and provides services as the depository in connection with direct investments and withdrawals. The custodian's internal records segregate investments owned by the Trusts. COLOTRUST offers shares in two portfolios, PRIME and PLUS+. Both portfolios may invest in U.S. Treasury securities and repurchase agreements collateralized by U.S. Treasury securities. CSAFE and COLOTRUST PLUS+ may also invest in certain obligations of U.S. government agencies, highest rated commercial paper and repurchase agreements collateralized by certain obligations of U.S. government agencies. As of December 31, 1999, the Town had $1,804,239 invested in COLOTRUST PRIME, $2,798,897 invested in COLOTRUST PLUS+, and $1,084,212 invested in CSAFE. At year end, the Town's investment balances were as follows: Fair Value Total__. Investments Not Subject to Categorization: Local Government Investment Pools 5,687,348 Money Market Mutual Funds 4,321,406 Total Investments $ 10,008,754 A reconciliation of deposits and investments to the financial statements by caption is as follows: 21 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 Cash and Cash Equivalents $ 10,146,996 Investments 500,000 Total $ 10,646,996 Deposits $ 630,742 Cash on Hand 7,500 Local Government Investment Pools 5,687,348 Money Market Mutual Funds 4,321,406 Total $ 10,646,996 Note 4. Notes Receivable Beaver Creek Resort Company. The Town has a note receivable from Beaver Creek Resort Company with imputed interest at 12.227% per annum. The note is accounted for in the General Fund and is due in equal monthly installments of principal and interest, with final maturity in November 2000. As of December 31, 1999, the note receivable balance was $89,655. Note receivable principal installments are recognized as revenue when principal payments are received. Note receivable principal and interest maturities are as follows: Year Ended December 31 Principal Interest Total 2000 $ 89,655 $ 5,597 $ 95,252 Note 5. Fixed Assets The following is a summary of the changes in the general fixed assets account group for the year ended December 31, 1999: Balance Balance January 1, Transfers December 31, By Classification 1999 Additions Deletions In Out 1999 Land $ 4,375,983 $ - $ - $ - $ 4,375,983 Buildings and Imp. 13,643,233 4,634,950 - (6,400,132) 11,878,051 Water Systems - - - 1,867,952 1,867,952 Machinery and Equip. 8,365,048 931,578 631,782 (2,580,951) 6,083,893 Total $ 26,384,264 $ 5,566,528 $ 631,782 $ 7 113 131) $ 24,205,879 22 Balance Balance January 1, Transfers December 31, By Source 1999 Additions Deletions In Out 1999 General Revenue $ 10,485,139 $ 5,233,208 $ 631,782 $(2,580,951) $ 12,505,614 General Obligation and Revenue Bonds 11,567,004 - - (6,400,132) 5,166,872 Capital Leases 3,191,773 333,320 - - 3,525,093 Contributions 1,140,348 - - 1,867,952 1,140,348 Total General Fixed $ 26,384,264 $ 5,566,528 $ 631,782 $(7,113,131) $ 24,205,879 Assets The following is a summary of proprietary fund-type assets at December 31, 1999: Enterprise Funds Buildings and Facilities Vehicles and Rolling Stock Machinery and Equipment Less: Accumulated Depreciation Net Property and Equipment 883,244 82.823 966,067 0) (216,35 Internal Service Funds $ 7,419,282 1,751,439 344.885 9,515,606 (330,593) $ 749,717 $ 9,185,013 In proprietary funds, the following estimated useful live are used to compute depreciation: Buildings and Facilities 20-30 years Vehicles and Rolling Stock 7-15 years Machinery and Equipment 7-10 years Other Assets. Certain costs incurred in the Fleet Maintenance Fund related to moving out of the old maintenance facility and into the new have been capitalized as Start-up Costs and will be amortized over a 20-year period. Note 6. Long-term Debt General Obligation Bonds. The Town has issued general obligation bonds and supplemental "B" interest registered coupons in order to provide funds for the acquisition and construction of major capital facilities and to refund outstanding general obligation bonds. These bonds and supplemental interest coupons are direct obligations and pledge the full faith and credit of the Town and are ultimately secured by the Town's general ad valorem tax collections. General Obligation Bonds - Avon Metropolitan District. Effective May 31 1998, the Avon Metropolitan District was dissolved pursuant to an Agreement for Dissolution adopted by 1 Z TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 both the Avon Metropolitan District and the Town of Avon and executed with the District Court of Eagle County. According to the Agreement, the District shall continue in existence for the sole purpose of securing payment in full of the principal and interest of existing indebtedness. A new debt service fund was created by the Town in order to account for the payment of principal and interest on the existing indebtedness, consisting of Series 1990 General Obligation Refunding Bonds. The Town Council was appointed to act as the District Board of Directors in order to set mill levies as necessary to pay the outstanding indebtedness. General obligation bonds and supplemental "B" interest registered certificates currently outstanding at December 31, 1999, are as follows: Purpose Interest Rates Amount General Government - Roundabouts and Street Improvements 4.00% - 5.45% $ 3,555,082 General Government - Refunding 3.65% - 5.30% 3,930,000 General Government - Avon Metropolitan District 8.00% - 8.30% 3,935,000 $11,420,082 Annual debt service requirements to maturity for general obligation bonds and supplemental "B" interest registered certificates outstanding at December 31, 1999, are as follows: Year Ending December 31 2000 2001 2002 2003 2004 Thereafter Less: Interest to Maturity Less: Original Issue Discount Total General Obligation Bonds and Supplemental "B" Interest Registered Certificates Amount $ 1,309,620 1,315,578 1,312,730 1,291,765 1,287,400 10,715,535 17,232,628 ( 5,797,628) ( 14,918) $ 11,420,082 Revenue Bonds. The Town has issued bonds whereby the bonds are payable solely from and secured by an irrevocable first lien on the Town's sales tax revenues. These revenue bonds have been issued to refund previously issued revenue bonds that were used for construction of a recreation center and for acquisition of land for a public works and transportation facility. Revenue bonds outstanding at December 31, 1999, are as follows: Purpose General Government - Refunding Interest Rates Amount 3.25% - 4.55% $5210 00 024 Annual debt service requirements to maturity for revenue bonds outstanding at December 31, 1999, are as follows: Year Ending December 31 Amount 2000 $ 489,890 2001 485,540 2002 490,720 2003 480,120 2004 479,205 Thereafter 4,728,770 7,154,245 Less: Interest to Maturity 1 9? 44,245) Total Revenue Bonds $ 5,210,000 Certificates of Participation. In 1998, the Town of Avon Finance Authority issued Certificates of Participation in order to finance the cost of constructing a fleet maintenance facility. The Certificates evidence assignments of proportionate interest in rights to receive payments pursuant to an annually terminable Lease Purchase and Sublease Agreement, dated as of July 1, 1998, and entered into between the Authority as lessor, and the Town of Avon as lessee. In 1999, the fleet maintenance facility was completed and the proceeds from the Certificates that were used directly in the construction of the fleet maintenance facility in the amount of $5,141,250 (approximately 75%) were capitalized in the Fleet Maintenance Fund and are reported as Capital Leases Payable. Certificates of Participation outstanding at December 31, 1999, are as follows: Purpose Interest Rates General Government - Fleet Maintenance Facility 3.90% - 4.90% Amount $ 6,855,000 Annual debt service requirements to maturity for Certificates of Participation outstanding at December 31, 1999, are as follows: Year Ending ?eeeTnbeI-31-- 2000 2001 2002 2003 2004 Thereafter --Amount- Less: Interest to Maturity $ 563,570 558,730 553,563 562,938 556,327 7,849,613 10,644,741 (3,789,741 Total Certificates of Participation $ 6,855„000 75 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 Special Assessment Debt. In 1990, the Town formed the Wildridge Local Improvement District in order to issue $1,085,000 in special assessment bonds to be used to finance the cost of natural gas and cable television utility lines to certain areas within the district. In 1991 the bonds were refunded with similar bonds carrying a lower interest rate. The bonds are payable solely from monies collected by the Town from special assessments levied against the assessable land in the District. The Eagle County Treasurer collects assessments from those land owners who elect to pay in installments. The assessments constitute a perpetual lien in the amounts assessed against the real property described in the assessment ordinance. Below is the annual bond redemption schedule based upon the underwriter's estimate of assessment receipts and moneys to be paid annually by the Town. Year Ending Amount December 31 2000 $ 87,656 2001 94,600 2002 87,425 2003 80,250 2004 33,075 Thereafter - 383,006 Less: Interest to Maturity (83,006) Total Special Assessment Bonds $ 300,000 Capital Lease Obligations. The following leases are renewable on an annual basis, at the option of the Town, for consecutive one year periods. Upon final payment, title to the leased assets will pass to the Town Lease obligation for a people mover and 800 MHz radio equipment due in annual installments of $97,760 through May, 2002, reducing to annual installments of $17,299 through May 2004. Amortization is based on interest of 4.95%. The Town may terminate the lease by paying the applicable purchase option price on any scheduled payment. Balance at December 31, 1999 is $294,320. Lease obligation for vehicles and equipment due in quarterly installments of $47,807.18 through January 30, 2001, reducing to quarterly installments of $35,431.98 through January 30, 2005. Amortization is based on interest of 5.284%. The Town may terminate the lease by paying the applicable purchase option price on any scheduled payment. Balance at December 31, 1999 is $705,664. Lease obligation for public art due in annual installments of $76,000, plus interest at 7.42% through February 1, 2001. Balance at December 31, 1999 is $152,000. 26 Annual debt service requirements to maturity for Capital Lease Obligations outstanding at December 31, 1999, are as follows: Year Ending December 31 Amount 2000 $ 364,989 2001 327,863 2002 239,488 2003 159,027 2004 159,027 Thereafter 35,432 1,285,826 Less: Interest to Maturity 1( 33,842) Total Capital Lease Obligations $ 1,151,984 Advance Refunding. On February 26, 1999, the Town issued $5,580,000 in Series 1999 Revenue Refunding Bonds to advance refund $3,330,000 of outstanding Series 1994 Sales Tax Revenue Bonds with an net effective interest rate of 6.75%, and $1,490,000 of outstanding Series 1994B Sales Tax Revenue Bonds with a net effective interest rate of 6.68%. The net proceeds of $5,388,461 (after payment of $189,203 for underwriting fees, issuance costs, insurance premiums, and surety bond premiums, and excess proceeds of 2,336) were used to purchase U.S. Government securities. Those securities were deposited into an irrevocable trust with an escrow agent to provide for all future debt service payments on the refunded debt. As a result, the refunded bonds as described above are considered to be defeased and the liability has been removed from the General Long-term Account Group. The advance refunding was accomplished to lower the effective interest rate and resulted in an economic gain of $218,095 (difference between the present value of the old and new debt service payments), and a decrease of $290,999 in total future debt service payments over the next 15 years. Changes in Long-term Liabilities. During the year ended December 31, 1999, the following changes occurred in liabilities reported in the General Long-term Debt Account Group. Balance Balance January 1, December 31, 1999 Additions Deletions 1999 Compensated Absences Payable $ 231,768 $ 23,235 $ - $ 255,003 General Obligation Bonds Payable 11,997,136 - 577,054 11,420,082 Special Assessment Debt 355,000 - 55,000 300,000 Revenue Bonds Payable 4,820,000 5,580,000 5,210,000 5,190,000 Certificates of Participation 7,085,000 - 230,000 6,855,000 Capitalized Lease Obligations Payable 811,321 333,320 244,335 900,306 Total General Long-term Debt $25,300,225 $ 5,936,555 $ 6,316,389 $24,920,391 27 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 Conduit Debt Obligations. The Town has issued Revenue Bonds in prior years to provide financial assistance to private-sector entities for the acquisition and construction of industrial and commercial facilities deemed to be in the public interest. Neither the Town, the State of Colorado, 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 general purpose financial statements. As of December 31, 1999, there was $20,705,000 outstanding in Series 1997A Eaglebend Affordable Housing Corporation Revenue Refunding Bonds, and $1,570,000 outstanding in Series 1997 B&C Subordinate Eaglebend Affordable Housing Corporation Revenue Refunding Bonds. Defeased Debt. In addition to the outstanding debt discussed above, other bonds previously issued by the Town and the Avon Metropolitan District (AMD) have been defeased (debt legally satisfied) by the issuance of refunding bonds. The detail of defeased bonds outstanding at December 31, 1999, is as follows: Series 1980 AMD General Obligation Bonds $ 425,000 Series 1983, AMD General Obligation Refunding Bonds 1,880,000 Series 1994, Town of Avon Sales Tax Revenue Bonds 3,190,000 Series 1994B, Town of Avon Sales Tax Revenues Bonds 1,430,000 Note 7. Contributed Capital The changes in the Town's contributed capital accounts for its proprietary funds for the year ended December 31, 1999 are as follows: Classification Beginning Balance, Contributed Capital Contributing Sources (Uses): Transfer to Retained Earnings to Close-out Fund Transfer of Fixed Assets to Equipment Replacement Fund Transfer of Fixed Assets from Transit Fund Transfer of Fixed Assets from General Fixed Assets Account Group Transfer of Depreciation Ending Balance, Contributed Capital Fleet Equipment Maintenance Replacement Water Transit Internal Internal Enterprise Enterprise Service Service Fund Fund Fund Fund $ 10,543,433 $ 612,099 $ 19,683 (10,543,433) - (10,285) 1,310,061 $ - $ 601,814 $ 1,329,744 10,285 2,580,954 316 811) $ 2,274,428 28 A summary of the components of contributed capital is provided below: Classification Transit Fund General Fixed Assets Total Contributed Capital Water Transit Enterprise Enterprise Fund Fund 601,814 $ - $ 601,814 Note 8. Employee Retirement Plans Fleet Equipment Maintenance Replacement Internal Internal Service Service Fund Fund $ - $ 10,285 1,329,744 2,264,143 $ 1,329,744 $ 2,274,428 Full-time Employees. The Town maintains three single-employer, defined contribution pension plans for full-time employees: (1) the Town of Avon Police Officers Money Purchase Pension Plan, (2) the Town of Avon Firefighter Money Purchase Pension Plan, and (3) the Town of Avon General Employee Money Purchase Pension Plan. These plans are administered by Norwest Investment Management and Trust. A defined contribution pension plan has terms that specify how contributions to an individual's account are to be determined rather than the amount of pension benefits the individual is to receive. In a defined contribution plan, the pension benefits a participant will receive depend only on the amount contributed to the participant's account, earnings on investments of those contributions, and forfeitures of other participant's benefits that may be allocated to the participant's account. All full-time employees are required to participate in one of the above retirement plans upon employment with the Town. The type of plan that an employee participates in is dependent on the type of employee (police officer, fire fighter, or general government employee). Town ordinance provides that both the employee and the Town will contribute an amount equal to 11 % of the employee's base salary each month. Employees hired prior to September 30, 1990, become vested in accordance with a vesting schedule which is dependent on the type of employee and hire date. All employees hired after September 30, 1990, start partial vesting after two years of service and are fully vested after five years of service. In addition, if an employee reaches normal retirement age, dies, or becomes totally and permanently disabled his account becomes fully vested regardless of length of service. Forfeitures by employees who leave employment before being fully vested are applied, first, to offset administrative expenses of the plans, and second, to reduce matching employer contributions. During the year there were no differences between contribution requirements and contributions actually made by plan participants or the Town. Contributions made by plan 29 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31, 1999 members and the Town for the three years ended December 31, 1999, 1998 and 1997, are as follows: 1999 1998 1997 Employees $446,667 $3982706 $3632966 Town $446,667 $398,706 $363,966 Both the Town and the covered employees each made the required 11 % contributions to the plans. There are no liabilities for benefits beyond the Town's matching payments. No changes in the various plan's provisions occurred in 1999. Part-time, Temporary and Seasonal Employees. On October 14, 1997, the Town adopted a PTS Retirement Plan administered by the ICMA Retirement Corporation, and established under Section 457 of the Internal Revenue Code that pertains to deferred compensation plans. The PTS plan is designed specifically for employees who are part-time, temporary, or seasonal, and is defined as a Social Security replacement retirement plan. The PTS plan allows participants to defer federal and state income taxes on savings until retirement. The PTS plan requires a minimum contribution of 7.5% of an employee's salary per plan year. This 7.5% may be the employee's contribution, the employer's contribution or a combination of both. The Town elected to have 3.75% contributed by the employee and 3.75% matched by the Town. Upon separation of service, participants may withdraw the account balance in a lump-sum payment, roll the account balance over into another 457 plan, or continue to allow the account balance earn interest tax free. Taxes are paid when funds are withdrawn from the plan. Contributions actually made by plan members and the Town for the three years ended December 31, 1999, 1998, and 1997, are as follows: 1999 1998 1997 Employees $82,614 $74,248 $12,861 Town $82,614 $74,248 $12,861 Both the Town and the covered employees each made the required 3.75% contributions to the plan. There are no liabilities for benefits beyond the Town's matching payments. Note 9. Transfers Operating Transfers In/Out to Other Funds consists of the following: 30 Transfers Fund Transfers In Out General Fund $ 130,000 $ 1,888,261 Mall Maintenance Fund 41,628 - Fire Operations Fund 344,216 - Employee Housing Fund 22,156 - Debt Service Fund 505,434 250,836 Wildridge Special Assessment Fund 16,191 - Avon Metropolitan District Debt Service Fund - 130,000 Town of Avon Finance Authority 535,540 - Capital Projects Fund 250,836 16,191 Transit Enterprise Fund 439,287 - Total $ 2,285,288 $ 2,285,288 Note 10. Commitments and Contingencies Litigation. The Town is a defendant in various lawsuits. Although the outcome of these lawsuits is not presently determinable, in the opinion of Town management and its legal counsel the resolution of these matter will not have a material adverse effect on the financial condition of the Town. Fire Protection Services. The Town provides fire protection services to Arrowhead Metropolitan District, Beaver Creek Metropolitan District, Berry Creek Metropolitan District, Edwards Metropolitan District, Eagle-Vail Metropolitan District, Belly Ache Ridge Metropolitan District, Squaw Creek Metropolitan District, Cordillera Metropolitan District, Travis Creek Subdivision, Bear Gulch Subdivision, Delia Subdivision and Pilgrim Downs Subdivision (participants). Under the terms of the agreements, the Town is reimbursed by the participants for their share of the Fire Department's actual operating cost and an agreed upon administrative fee. On May 2, 2000, voters passed a ballot issue approving the formation of the Eagle River Fire Consolidation District effective January 1, 2001. The District's boundaries will encompass the Town of Avon as well as most of the districts previously served by the Town. Cost Recovery Agreement - Mountain Star. Prior to 1996, the Avon Metropolitan District entered into an agreement with Mountain Star, LLC to refund the cost of lines contributed to the District in an amount not to exceed $450,000. The Town of Avon assumed the District's obligation for the cost recovery agreement with Mountain Star effective January 1, 1996. The "cost recovery" amounts are generated from tap fees for taps made to the contributed lines. The cost recovery agreement provides for payment to Mountain Star of 50 percent of all tap fees received from any connection to the Town's water system as a result of a building constructed on Mountain Star's property. If the Town reduces the tap fee below 31 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 current levels, the 50 percent shall be increased in the same proportion as the amount of the reduction in the tap fee. The Town's obligation pursuant to the agreement is to continue until the earlier of December 31, 2003, or the date that the aggregate payments equal $450,000. During 1999, the Town collected $29,610 of tap fees related to the Mountain Star agreement, and reimbursed Mountain Star $14,805 (50%). As of December 31, 1999, the cost recovery obligation remaining was $295,052. Cost Recovery Agreement - Riverview. On August 26, 1996, the Town entered into a cost recovery agreement with Riverview Park Associates, Inc., whereby the Town agreed to pay to Riverview fifty percent (50%) of all tap fees received from any connection to the Town's water system due to development on Lot 1 & 2, Eaglewood Subdivision up to the certified construction cost amount of $181,704. During 1999, the Town collected $ 24,000 of tap fees related to the Riverview agreement, and reimbursed Riverview $12,000 (50%).. As of December 31, 1999, the cost recovery obligation remaining was $69,104. Tax, Spending and Debt Limitations. Article X, Section 20 of the Colorado Constitution, commonly known as the Taxpayer's Bill of Rights (TABOR) contains tax, spending, revenue and debt limitations which apply to the State of Colorado and all local governments. Spending and revenue limits are determined based on the prior year's Fiscal Year Spending adjusted for allowable increases based upon inflation and local growth. Fiscal Year Spending is generally defined as expenditures plus reserve increases with certain exceptions. Revenue in excess of the Fiscal Year Spending limit must be refunded unless the voters approve retention of such revenue. Enterprises, defined as government-owned business authorized to issue revenue bonds and receiving less than 10 percent of annual revenue in grants from all state and local governments combined, are excluded from the provisions of TABOR. TABOR also requires local governments to establish Emergency Reserves. These reserves must be at least 3% of Fiscal Year Spending (excluding bonded debt service). Local governments are not allowed to use the emergency reserves to compensate for economic conditions, revenue shortfalls, or salary or benefit increases. These emergency reserve provisions are not considered applicable to the Town as the voters within the Town essentially removed any limitations contained in TABOR as described in the following paragraphs. In November 1997, voters within the Town passed a ballot issue which permanently authorizes the Town, without an election, to take action on all spending and revenue raising measures which are limited by TABOR. In addition, voters authorized the Town to keep and spend all revenue collected by the Town regardless of any limitation contained in TABOR. The only exceptions are proposed sales or use tax rate increases and property tax rate increases which must be submitted to the voters, unless otherwise allowed by law. 32 The Town's management believes it is in compliance with the provisions of TABOR. However, TABOR is complex and subject to interpretation. Many of the provisions, including the interpretation of how to calculate Fiscal Year Spending limits will require judicial interpretation. Note 11. Risk Management The Town is exposed to various risks of loss related to torts; thefts of, damage to, and destruction of assets; errors or omissions; injuries to employees; and natural disasters. The Town is a member of the Colorado Intergovernmental Risk Sharing Agency (CIRSA). CH6A is a joint self insurance pool created by intergovernmental agreement of 158 municipalities to provide property, general and automobile liability and public officials coverage to its members. CIRSA is governed by a seven member Board elected by and from its members. Coverage is provided through pooling of self-insured losses and the purchase of excess insurance coverage. CIRSA has a legal obligation for claims against its members to the extent that funds are available in its annually established loss fund and that amounts are available from insurance providers under excess specific and aggregate insurance contracts. Losses incurred in excess of loss funds and amounts recoverable from excess insurance are direct liabilities of the participating members. CIRSA has indicated that the amount of any excess losses would be billed to members in proportion to their contributions in the year such excess occurs, although it is not legally required to do so. The Town's annual contribution to CIRSA amounted to $239,304 for 1999. The Town has not been informed of any excess losses that may have been incurred by the pool. The Town continues to carry commercial insurance coverage for other risks of loss including workers compensation and employee group health and life insurance. Settled claims have not exceeded this commercial coverage in any of the past three fiscal years. Note 12. Upper Eagle Regional Water Authority The Town is a participant in the Upper Eagle Regional Water Authority. The Authority was formed pursuant to an establishing contract on September 18, 1984, by the following municipal and quasi-municipal corporations (Members) located in Eagle County, Colorado. Arrowhead Metropolitan District Beaver Creek Metropolitan District Berry Creek Metropolitan District Eagle-Vail Metropolitan District 33 TOWN OF AVON, COLORADO NOTES TO THE COMBINED FINANCIAL STATEMENTS DECEMBER 31,1999 Edwards Metropolitan District Town of Avon The Authority also provides water services to the Cordillera and Bachelor Gulch developments through contracts with Members. The Authority was formed to make the best practicable use of the member's joint resources in supplying water to the members and to further develop water resources and facilities in Eagle County. The Authority may not be terminated so long as bonds, notes or other obligations are outstanding, unless provision for full payment of such obligations has been made. At December 31, 1999, the Authority had debt with maturities through the year 2028. The Town has a service contract with the Authority whereby the Authority provides and bills residents of the Town with water at a rate which is expected to cover its costs in providing water services and other functions. Such costs specifically include debt service requirements, depreciation, and operations and maintenance, including maintenance of the Town's water distribution system. As part of the agreement, the Town subleased its water rights, associated easements and improvements to the Authority at no cost. In consideration, the Authority has agreed to maintain the associated improvements and to administer and protect the Town's plan for augmentation and water decrees at no cost. During 1999, the Authority collected $106,947 in water surcharges for the Town. On April 13, 1999, the Town retroactively approved an Amended and Restated Master Service Contract. In addition to the provisions described above, the Contract stipulates that: • The members convey their individual water systems to the Authority; • All customers of the Members become customers of the Authority; • Tap fees and water surcharges will remain revenues of the individual Members; • Maintenance of the existing individual water systems becomes the responsibility of the Authority; • Construction of new lines or the extension of existing lines remains the responsibility of the individual Districts; • The members retain ownership of water rights and an interest in assets, including rights to capacity in the system to the extent necessary to assure service to their service areas and retain individual enterprise status. Accordingly, effective January 1, 1999, the Town transferred certain water system property, plant and equipment assets amounting to $7,233,228 to the Authority. The remaining fixed assets pertaining to water rights, water storage and equipment amounting to $1,867,952 were transferred to the General Fixed Asset Account Group. A residual equity transfer of $1,445,840 representing the remaining net current assets of the Water Enterprise Fund was made to a special revenue fund. 34 Note 13. Major Taxpayers For the year ended December 31, 1999, approximately 47% of the Town's sales tax revenues were received from two companies. 35 THIS PAGE INTENTIONALLY LEFT BLANK 36 GENERAL FUND The general fund is used to account for resources traditionally associated with government which are not required legally or by sound financial management to be accounted for in another fund. TOWN OF AVON, COLORADO GENERAL FUND COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 A-1 ASSETS Cash and Cash Equivalents Investments Receivables, (Net of Allowances for Doubtful Accounts): Interest Taxes: Property Sales and Other Accounts Intergovernmental Due From Other Funds Inventory Prepaid Items Notes Receivable Deposits Total Assets LIABILITIES AND FUND BALANCES Liabilities: 1999 1998 $ 3,707,815 $ 3,490,073 500,000 1,256,445 8,606 10,750 1,298,616 1,119,418 643,842 620,080 146,140 160,833 63,384 58,024 250,000 150,000 - 19,373 - 20,125 89,655 176,636 12,611 54,830 $ 6,720,669 $ 7,136,587 Accounts Payable $ 96,218 $ 107,296 Accrued Liabilities 158,927 117,852 Deposits and Reserves 227,325 101,191 Deferred Taxes 1,298,616 1,119,418 Deferred Revenues 89,655 282,884 Total Liabilities 1,870,741 1,728,641 Fund Balances: Reserved for Inventories and Prepaid Items - 39,498 Unreserved: Designated for Subsequent Year's Expenditures 274,418 697,845 Unreserved, Undesignated 4,575,510 4,670,603 Total Fund Balances 4,849,928 5,407,946 Total Liabilities and Fund Balances $ 6,720,669 $ 7,136,587 37 TOWN OF AVON, COLORADO GENERAL FUND A-2 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 Revenues Taxes: Sales Other Local Licenses and Permits Intergovernmental Charges for Services Fines and Forfeitures Investment Earnings Miscellaneous Total Revenues Expenditures Current: General Government Community Development Public Safety Public Works Recreation and Culture Total Expenditures Excess of Revenues Over Expenditures Other Financing Sources (Uses) Operating Transfers In: Avon Metro District Debt Service Fund Operating Transfers Out: Mall Maintenance Fund Fire Operations Fund Employee Housing Fund Debt Service Fund Town of Avon Finance Authority Capital Projects Fund Transit Enterprise Fund Capital Lease Proceeds Disposal of Fixed Assets Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year $ 1,335,868 4,538,299 271,135 278,903 565,439 1,239,202 51,252 375,060 385,084 9,040,242 1,885,652 588,081 1,254,680 2,058,317 2,053,269 7,839,999 1,200,243 1998 $ 1,224,102 4,373,880 261,232 312,278 599,815 1,283,954 51,376 444,423 367,019 8,918,079 1,721,277 460,628 1,024,811 2,422,355 1,776,425 7,405,496 1,512,583 130,000 (41,628) (344,216) (22,156) (505,434) (535,540) (439,287) (1,758,261) (558,018) 5,407,946 $ 4,849,928 (31,558) (303,334) (695,352) (559,507) (519,427) 428,674 36,200 (1,644,304) (131,721) 5,539,667 $ 5,407,946 38 TOWN OF AVON, COLORADO GENERAL FUND A-3 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) Revenues Taxes: Sales Other Local Licenses and Permits Intergovernmental Charges for Services Fines and Forfeitures Investment Earnings Miscellaneous Total Revenues Expenditures Current: General Government Community Development Public Safety Public Works Recreation and Culture Total Expenditures Excess of Revenues over Expenditures Other Financing Sources (Uses) Operating Transfers In: Avon Metro District Debt Service Fund Operating Transfers Out: Mall Maintenance Fund Fire Operations Fund Employee Housing Fund Debt Service Fund Town of Avon Finance Authority Capital Projects Fund Transit Enterprise Fund Capital Lease Proceeds Disposal of Fixed Assets Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year 1999 Variance - Amended Favorable 1998 Budget Actual (Unfavorable) Actual $ 1,264,418 $ 1,335,868 $ 71,450 $ 1,224,102 4,592,574 4,538,299 (54,275) 4,373,880 239,000 271,135 32,135 261,232 277,810 278,903 1,093 312,278 587,886 565,439 (22,447) 599,815 1,381,846 1,239,202 (142,644) 1,283,954 55,125 51,252 (3,873) 51,376 375,000 375,060 60 444,423 513,670 385,084 (128,586) 367,019 9,287,329 9,040,242 (247,087) 8,918,079 1,994,543 1,885,652 108,891 1,721,277 624,954 588,081 36,873 460,628 1,264,317 1,254,680 9,637 1,024,811 2,408,831 2,058,317 350,514 2,422,355 2,238,203 2,053,269 184,934 1,776,425 8,530,848 7,839,999 690,849 7,405,496 756,481 1,200,243 443,762 1,512,583 130,000 130,000 (41,628) (41,628) (344,216) (344,216) (22,156) (22,156) (505,434) (505,434) (535,540) (535,540) (439,287) (439,287) 25,000 - (31,558) (303,334) (695,352) (559,507) (519,427) 428,674 (25,000) 36,200 (1,733,261) (1,758,261) (25,000) - (1,644,304) (976,780) (558,018) 418,762 (131,721) 5,407,946 5,407,946 - $ 4,431,166 $ 4,849,928 $ 418,762 5,539,667 $ 5,407,946 39 THIS PAGE INTENTIONALLY LEFT BLANK 40 SPECIAL REVENUE FUNDS Special revenue funds are used to account for specific revenues that are legally restricted to expenditure for particular purposes. Mall Maintenance Fund This fund is used to account for revenues collected from various public and private sources that are specifically restricted to the maintenance of the Town Mall. Fire Operations Fund - This fund is used to account for the operations of the Town's fire department. The fire department also provides fire protection services with other local governments within Eagle County through various intergovernmental agreements. Employee Housing Fund - This fund is used to account for the operations of the Town's employee housing program. The Town master leases and subsidizes the cost of a number of two and three-bedroom apartment units for the purpose of providing available housing for its employees. Water Fund - This fund is used to account for the cost of maintaining certain water- related assets and for the receipt of water surcharges and tap fees within the Town limits. TOWN OF AVON, COLORADO mmwmmmwww? SPECIAL REVENUE FUNDS B-1 COMBINING BALANCE SHEET DECEMBER 31,1999 (With Comparable Totals for December 31, 1998) Mall Fire Employee Maintenance Operations Housing Water Total Fund Fund Fund Fund 1999 1998 ASSE Cash and Cash Equivalents $ 11,037 $ 211,428 $ 6,747 $ 1,728,404 $ 1,957,616 $ 126,244 Receivables 26 451 3,127 - - 29,578 26,348 - Accounts , - - - 8,826 8,826 - - Intergovernmental - 5,440 - 5,440 Deposits Total Assets $ 37,488 $ 214,555 $ 12,187 $ 1,737,230 $ 2,001,460 $ 152,592 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable $ 309 $ 139,311 $ $ 461 $ 140,081 $ 71,597 Accrued Liabilities 1,388 36,472 - 731 38,591 35,405 - - 7,288 - 7,288 Deposits 697 1 175,783 7,288 1,192 185,960 107,002 Total Liabilities , Fund Balances: - 158 14 Designated for Subsequent Year's Expenditures 14,158 - , nated Undesi ed U 21,633 38,772 4,899 1,736,038 1,801,342 45,590 g , nreserv 791 35 38,772 4,899 1,736,038 1,815,500 45,590 Total Fund Balances , Total Liabilities and Fund Balances $ 37,488 $ 214,555 $ 12,187 $ 1,737,230 $ 2,001,460 $ 152,592 41 THIS PAGE INTENTIONALLY LEFT BLANK 42 TOWN OF AVON, COLORADO SPECIAL REVENUE FUNDS B-2 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) Mall Fire Employee Maintenance Operations Housing Water Total Fund Fund Fund Fund 1999 1998 Revenues Intergovernmental $ - $ 1,416,943 $ - $ - $ 1,416,943 $ 1,282,190 Charges for Services - - 303,039 303,039 - Investment Earnings - 68,677 68,677 - Miscellaneous 36,511 25,424 8,116 1,025 71,076 2,246 Total Revenues 36,511 1,442,367 8,116 372,741 $ 1,859,735 1,284,436 Expenditures Current: General Government - 25,373 25,373 Public Safety - 1,990,477 - - 1,990,477 1,729,030 Public Works 58,887 - - 82,543 141,430 45,406 Total Expenditures 58,887 1,990,477 25,373 82,543 2,157,280 1,774,436 Excess (Deficiency) of Revenues Over (Under) Expenditures (22,376) (548,110) (17,257) 290,198 (297,545) (490,000) Other Financing Sources (Uses) Operating Transfers In: General Fund 41,628 344,216 22,156 408,000 334,892 Capital Lease Proceeds - 213,615 - 213,615 200,698 Total Other Financing Sources (Uses) 41,628 557,831 22,156 621,615 535,590 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses 19,252 9,721 4,899 290,198 324,070 45,590 Fund Balances, Beginning of Year 16,539 29,051 - - 45,590 - Residual Equity Transfer In - - - 1,445,840 1,445,840 - Fund Balances, End of year $ 35,791 $ 38,772 $ 4,899 $ 1,736,038 $ 1,815,500 $ 45,590 43 TOWN OF AVON, COLORADO SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 Mall Maintenance Fund Fire Operations Fund Variance - Variance - Amended Favorable Amended Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Revenues Intergovernmental $ - $ - $ - $ 1,492,322 $ 1,416,943 $ (75,379) Charges for Services - - - - - Investment Earnings - - - Miscellaneous 34,581 36,511 1,930 25,424 25,424 Total Revenues 34,581 36,511 1,930 1,492,322 1,442,367 (49,955) Expenditures Current: General Government - - - - - - Public Safety - - - 2,095,750 1,990,477 105,273 Public Works 77,701 58,887 18,814 - - Total Expenditures 77,701 58,887 18,814 2,095,750 1,990,477 105,273 Excess (Deficiency) of Revenues Over (Under) Expenditures (43,120) (22,376) 20,744 (603,428) (548,110) 55,318 Other Financing Sources (Uses) Operating Transfers In: General Fund 41,628 41,628 - 344,216 344,216 - Capital Lease Proceeds - - 259,212 213,615 (45,597) Total Other Financing Sources (Uses) 41,628 41,628 - 603,428 557,831 (45,597) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (1,492) 19,252 20,744 - 9,721 9,721 Fund Balances, Beginning of Year 16,539 16,539 - 29,051 29,051 - Residual Equity Transfer In - - - - - Fund Balances, End of year $ 15,047 $ 35,791 $ 20,744 $ 29,051 $ 38,772 $ 9,721 44 B-3 Employee Housing Fund Water Fund Totals Variance - Variance - Variance - Amended Favorable Amended Favorable Amended Favorable et Bud Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) g $ $ $ _ $ _ $ _ $ - $ 1,492,322 $ 1,416,943 $ (75,379) _ 363,350 303,039 (60,311) 363,350 303,039 (60,311) _ - 50,000 68,677 18,677 50,000 68,677 18,677 560 16 116 8 (8,444) 4,500 1,025 (3,475) 55,641 71,076 15,435 , , 560 16 116 8 444) (8 417,850 372,741 (45,109) 1,961,313 1,859,735 (101,578) , , , 38,716 25,373 13,343 - - - 38,716 25,373 13,343 - _ _ - - 2,095,750 1,990,477 105,273 - _ - 151,486 82,543 68,943 229,187 141,430 87,757 716 38 373 25 13,343 151,486 82,543 68,943 2,363,653 2,157,280 206,373 , , 156) (22 257) (17 4,899 266,364 290,198 23,834 (402,340) (297,545) 104,795 , , 22,156 22,156 - - - - 408,000 408,000 - _ 259,212 213,615 (45,597) 156 22 156 22 - - - - 667,212 621,615 (45,597) , , - 4,899 4,899 266,364 290,198 23,834 264,872 324,070 59,198 - - _ - - 45,590 45,590 - - 1,445,840 1,445,840 1,445,840 1,445,840 - $ 4,899 $ 4,899 $ 1,712,204 $ 1,736,038 $ 23,834 $ 1,756,302 $ 1,815,500 $ 59,198 45 TOWN OF AVON, COLORADO MALL MAINTENANCE FUND B4 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 ASSETS Cash and Cash Equivalents Receivables - Accounts Total Assets 1999 1998 $ 11,037 19,203 $ 19,347 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable Accrued Liabilities Total Liabilities 26,451 $ 37,488 $ 144 $ 309 1,388 1,697 $ 1,357 1,451 2,808 Fund Balances: Designated for Subsequent Year's Expenditures Unreserved, Undesignated Total Fund Balances Total Liabilities and Fund Balances 14,158 21,633 35,791 $ 37,488 16,539 16,539 $ 19,347 46 TOWN OF AVON, COLORADO MALL MAINTENANCE FUND B-5 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 Revenues Miscellaneous Total Revenues 1999 $ 36,511 36,511 1998 $ 30,387 30,387 Expenditures Current: Public Works Total Expenditures Excess (Deficit) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Excess of Revenues and Other Sources Over Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year 58,887 58,887 (22,376) 41,628 19,252 16,539 $ 35,791 45,406 45,406 (15,019) 31,558 16,539 $ 16,539 47 TOWN OF AVON, COLORADO MALL MAINTENANCE FUND B-6 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) Revenues Miscellaneous Total Revenues Expenditures Current: Public Works Total Expenditures Excess (Deficit) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year 1999 Variance - Amended Favorable 1998 Budget Actual (Unfavorable) Actual $ 34,581 $ 36,511 $ $ 30,387 34,581 36,511 1,930 30,387 77,701 58,887 18,814 45,406 77,701 58,887 18,814 45,406 (43,120) (22,376) 41,628 41,628 20,744 (1,492) 19,252 20,744 (15,019) 31,558 16,539 16,539 16,539 - - $ 15,047 $ 35,791 $ 20,744 1,930 $ 16,539 48 TOWN OF AVON, COLORADO FIRE OPERATIONS FUND B-7 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 ASSETS Cash and Cash Equivalents Receivables - Accounts Total Assets 1999 1998 $ 211,428 7,145 $ 133,245 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable Accrued Liabilities Total Liabilities 3,127 $ 214,555 $ 126,100 $ 139,311 36,472 175,783 $ 70,240 33,954 104,194 Fund Balances: Unreserved, Undesignated Total Fund Balances Total Liabilities and Fund Balances 38,772 38,772 $ 214,555 29,051 29,051 $ 133,245 49 TOWN OF AVON, COLORADO FIRE OPERATIONS FUND B-8 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED DECEMBER 31,1999 AND 1998 1999 1998 Revenues Intergovernmental $ 1,416,943 $ 1,251,803 Miscellaneous 25,424 2,246 Total Revenues 1,442,367 1,254,049 Expenditures Current: Public Safety 1,990,477 1,729,030 Total Expenditures 1,990,477 1,729,030 Excess (Deficit) of Revenues Over (Under) Expenditures (548,110) (474,981) Other Financing Sources (Uses) Operating Transfers In: General Fund 344,216 303,334 Capital Lease Proceeds 213,615 200,698 Total Other Financing Sources (Uses) 557,831 504,032 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses 9,721 29,051 Fund Balances, Beginning of Year 29,051 - Fund Balances, End of year $ 38,772 $ 29,051 50 TOWN OF AVON, COLORADO FIRE OPERATIONS FUND B-9 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) 1999 Variance - Amended Favorable 1998 Budget Actual (Unfavorable) Actual Revenues Intergovernmental $ 1,492,322 $ 1,416,943 $ (75,379) $ 1,251,803 - 424 25 25,424 2,246 Miscellaneous , Total Revenues 1,492,322 1,442,367 (49,955) 1,254,049 Expenditures Current: Public Safety 2,095,750 1,990,477 105,273 1,729,030 Total Expenditures 2,095,750 1,990,477 105,273 1,729,030 Excess (Deficit) of Revenues Over (Under) Expenditures (603,428) (548,110) 55,318 (474,981) Other Financing Sources (Uses) Operating Transfers In: General Fund 344,216 344,216 - 303,334 Capital Lease Proceeds 259,212 213,615 (45,597) 200,698 Total Other Financing Sources (Uses) 603,428 557,831 (45,597) 504,032 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balance, Beginning of Year Fund Balance, End of year 9,721 9,721 29,051 29,051 29,051 $ 29,051 - $ _ 38,772 $ 9,721 $ 29,051 cI TOWN OF AVON, COLORADO EMPLOYEE HOUSING FUND B-10 BALANCESHEET DECEMBER 31,1999 1999 ASSETS Cash and Cash Equivalents $ 6,747 Deposits 5,440 Total Assets $ 12,187 LIABILITIES AND FUND BALANCE Liabilities: Deposits $ 7,288 Total Liabilities 7,288 Fund Balance: Unreserved, Undesignated 4,899 Total Fund Balance 4,899 Total Liabilities and Fund Balance $ 12,187 52 TOWN OF AVON, COLORADO EMPLOYEE HOUSING FUND STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE B-11 FOR THE YEAR ENDED DECEMBER 31,1999 1999 Revenues Miscellaneous $ 8,116 Total Revenues 8,116 Expenditures Current: General Government 25,373 Total Expenditures 25,373 Excess (Deficit) of Revenues Over (Under) Expenditures (17,257) Other Financing Sources (Uses) Operating Transfers In: General Fund 22,156 Excess of Revenues and Other Sources Over Expenditures and Other Uses 4,899 Fund Balance, Beginning of Year - Fund Balance, End of year $ 4,899 53 TOWN OF AVON, COLORADO EMPLOYEE HOUSING FUND B-12 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 Revenues Miscellaneous Total Revenues Expenditures Current: General Government Total Expenditures Excess (Deficit) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Excess of Revenues and Other Sources Over Expenditures and Other Uses Fund Balance, Beginning of Year Fund Balance, End of year 1999 Variance - Amended Favorable Budget Actual (Unfavorable) 16,560 $ 8,116 $ (8,444) 16,560 8,116 (8,444) 38,716 25,373 13,343 38,716 25,373 13,343 (22,156) (17,257) 22,156 22,156 4,899 4,899 4,899 $ - $ 4,899 $ 4,899 54 TOWN OF AVON, COLORADO WATER FUND B-13 BALANCESHEET DECEMBER 31,1999 1999 ASSETS Cash and Cash Equivalents $ 1,728,404 Receivables - Intergovernmental 8,826 Total Assets $ 1,737,230 LIABILITIES AND FUND BALANCE Liabilities: Accounts Payable $ 461 Accrued Liabilities 731 Total Liabilities 1,192 Fund Balance: Unreserved, Undesignated 1,736,038 Total Fund Balance 1,736,038 Total Liabilities and Fund Balance $ 1,737,230 55 TOWN OF AVON, COLORADO WATER FUND STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE FOR THE YEAR ENDED DECEMBER 31,1999 B-14 1999 Revenues Charges for Services $ 303,039 Investment Earnings 68,677 Miscellaneous 1,025 Total Revenues 372,741 Expenditures: Current: Water Utilities 82,543 Total Expenditures 82,543 Excess of Revenues Over Expenditures 290,198 Fund Balance, Beginning of Year _ Residual Equity Transfer In 1,445,840 Fund Balance, End of year $ 1,736,038 56 TOWN OF AVON, COLORADO WATER FUND STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 B-15 1999 Variance- Amended Favorable Budget Actual (Unfavorable) Revenues 350 $ $ 363 303,039 $ (60,311) , Charges for Services 000 50 68,677 18,677 , Investment Earnings 500 4 1,025 (3,475) , Miscellaneous Total Revenues 417,850 372,741 (45,109) Expenditures: Current: Water Utilities 151,486 82,543 68,943 Total Expenditures 151,486 82,543 68,943 Excess of Revenues Over Expenditures 266,364 290,198 23,834 Fund Balance, Beginning of Year - Residual Equity Transfer In 1,445,840 1,445,840 - Fund Balance, End of year $ 17712,204 $ 1,736,038 $ 23,834 57 THIS PAGE INTENTIONALLY LEFT BLANK 58 DEBT SERVICE FUNDS Debt service funds are used for the accumulation of resources and payment of bond principal and interest from government resources and special assessment bond principal and interest from special assessment levies when the government is obligated in some manner for the payment. Debt Service Fund - This fund is used to account for the accumulation of resources and payment of principal and interest on the Town's general obligation and sales tax revenue bonds. Wildridge Special Assessment Fund - This fund is used to account for payment of special assessment bond principal and interest from special assessment levies related to the Local Improvement District 1990-1, Taxable Local Assessment Bonds, Series 1990, and subsequent refundings. Avon Metropolitan District Debt Service Fund - This fund is used to account for the accumulation of resources and payment of principal and interest on the District's general obligation bonds. In 1998 the District was dissolved and remains in existence only for this purpose. The Town Council of the Town of Avon was appointed to act as the District Board of Directors for setting mill levies as necessary until the indebtedness is paid in full. Town of Avon Finance Authority - This fund is presented as a blended component unit and is used to account for the payment of principal and interest on Certificates of Participation from proceeds from the lease of a fleet maintenance facility to the Town. TOWN OF AVON, COLORADO DEBT SERVICE FUNDS COMBINING BALANCE SHEET DECEMBER 31, 1999 (With Comparable Totals for December 31,1998) C-1 Avon Town of Wildridge Metropolitan Avon Special District Finance Debt Service Assessment Debt Service Authority Total Fund Fund Fund Fund 1999 1998 ASSETS Cash and Cash Equivalents $ 147,588 $ 43,578 $ 31,956 $ 568,638 $ 791,760 $ 1,146,062 Receivables - Interest - - - 2,471 2,471 - - Taxes 774,104 565,628 - 1,339,732 1,344,130 - Accounts - - - - 235 - Special Assessments 205,282 - 205,282 248,364 Capital Leases Receivable - - - 5,141,250 5,141,250 - Total Assets $ 921,692 $ 248,860 $ 597,584 $ 5,712,359 $ 7,480,495 $ 2,738,791 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable $ 87 $ $ 64 $ - $ 151 $ 591 Deferred Taxes 774,104 565,628 - 1,339,732 1,340,700 Deferred Revenue - 205,282 - 5,141,250 5,346,532 247,568 Total Liabilities 774,191 205,282 565,692 5,141,250 6,686,415 1,588,859 Fund Balances: Reserved for Debt Service 147,501 43,578 31,892 571,109 794,080 1,149,932 Total Fund Balances 147,501 43,578 31,892 571,109 794,080 1,149,932 Total Liabilities and Fund Balances $ 921,692 $ 248,860 $ 597,584 $ 5,712,359 $ 7,480,495 $ 2,738,791 59 THIS PAGE INTENTIONALLY LEFT BLANK 60 TOWN OF AVON, COLORADO DEBT SERVICE FUNDS C-2 COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) Avon Town of Wildridge Metropolitan Avon Special District Finance Debt Service Assessment Debt Service Authority Total Fund Fund Fund Fund 1999 1998 Revenues Property Taxes $ 789,546 $ $ 570,013 $ $ 1,359,559 $ 1,346,129 Special Assessments - 42,186 - 42,186 47,900 Interest on Assessments 26,342 - 26,342 32,501 Investment Earnings 2,163 1,522 35,364 39,049 12,629 Total Revenues 789,546 70,691 571,535 35,364 $ 1,467,136 1,439,159 Expenditures Debt Service: Principal 735,000 55,000 215,000 230,000 1,235,000 815,000 Interest 518,014 33,962 338,915 332,540 1,223,431 1,221,927 Fiscal Charges 18,227 2,612 19,222 825 40,886 48,827 Total Expenditures 1,271,241 91,574 573,137 563,365 2,499,317 2,085,754 Excess (Deficiency) of Revenues Over(Under)Expenditures (481,695) (20,883) (1,602) (528,001) (1,032,181) (646,595) Other Financing Sources (Uses) Operating Transfers In: General Fund 505,434 - 535,540 1,040,974 695,352 Capital Projects Fund - 16,191 - 16,191 580,741 Operating Transfers Out: General Fund - (130,000) - (130,000) - Capital Projects Fund (250,836) - (250,836) - Proceeds of Refunding Bonds 5,580,000 - 5,580,000 - Refunding Bond Issuance Charges (191,539) - (191,539) - Payment to Refunded Bond Escrow Agent (5,388,461) - (5,388,461) - Total Other Financing Sources (Uses) 254,598 16,191 (130,000) 535,540 676,329 1,276,093 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (227,097) (4,692) (131,602) 7,539 (355,852) 629,498 Fund Balances, Beginning of Year 374,598 48,270 163,494 563,570 1,149,932 520,434 Fund Balances, End of year $ 147,501 $ 43,578 $ 31,892 $ 571,109 $ 794,080 $ 1,149,932 61 TOWN OF AVON, COLORADO DEBT SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 Debt Service Fund Wildridge Special Assessment Fund Variance - Variance - Amended Favorable Amended Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Revenues Property Taxes $ 773,364 $ 789,546 $ 16,182 $ - $ - $ - - - - 35,000 42,186 7,186 Special Assessments 25,000 26,342 1,342 Interest on Assessments 2,000 2,163 163 Investment Earnings Total Revenues 773,364 789,546 16,182 62,000 70,691 8,691 Expenditures Debt Service: Principal 735,000 735,000 65,000 55,000 10,000 Interest 518,015 518,014 1 36,000 33,962 2,038 25 783 18,227 7,556 2,500 2,612 (112) Fiscal Charges , 798 278 1 271,241 1 7,557 103,500 91,574 11,926 Total Expenditures , , , Excess (Deficiency) of Revenues 434) (505 695) (481 23,739 (41,500) (20,883) 20,617 Over (Under) Expenditures , , Other Financing Sources (Uses) Operating Transfers In: General Fund 505,434 505,434 - - " Capital Projects Fund 16 ,191 16,191 Operating Transfers Out: General Fund Capital Projects Fund (250,836) (250,836) " Proceeds of Refunding Bonds 5,580,000 5,580,000 Refunding Bond Issuance Charges (191,539) (191,539) - d Bond Escrow Agent d f (5,388,461) (5,388,461) - - un e Payment to Re Total Other Financing Sources (Uses) 254,598 254,598 16,191 16,191 - Excess (Deficiency) of Revenues and Other Sources Over (Under) 23,739 (25,309) (4,692) 20,617 Expenditures and Other Uses (250,836) (227,097) Fund Balances, Beginning of Year 374,598 374,598 - 48,270 48,270 - Fund Balances, End of year $ 123,762 $ 147,501 $ 23,739 $ 22,961 $ 43,578 $ 20,617 62 G3 Avon Metropolitan District Debt Service Fund Town of Avon Finance Authority Fund Totals Variance - Variance - Variance - Favorable Amended Favorable Amended Favorable Budget Actual (Unfavorable) Budget Actual (Unfavorable) Budget Actual (Unfavorable) $ 567,336 $ 570,013 $ 2,677 $ $ $ - $ 1,340,700 $ 1,359,559 $ 18,859 - - - 35,000 42,186 7,186 - - 25,000 26,342 1,342 5,800 1,522 (4,278) 28,000 35,364 7,364 35,800 39,049 3,249 573,136 571,535 (1,601) 28,000 35,364 7,364 1,436,500 1,467,136 30,636 215,000 215,000 230,000 230,000 1,245,000 1,235,000 10,000 338,915 338,915 332,540 332,540 1,225,470 1,223,431 2,039 15,623 19,222 (3,599) 1,000 825 175 44,906 40,886 4,020 569,538 573,137 (3,599) 563,540 563,365 175 2,515,376 2,499,317 16,059 3,598 (1,602) (5,200) (535,540) (528,001) 7,539 (1,078,876) (1,032,181) 46,695 - 535,540 535,540 - 1,040,974 1,040,974 - - - 16,191 16,191 (130,000) (130,000) - (130,000) (130,000) - (250,836) (250,836) - 5,580,000 5,580,000 (191,539) 191,539 (5,388,461) (5,388,461) (130,000) (130,000) 535,540 535,540 676,329 676,329 383,078 (126,402) (131,602) (5,200) - 7,539 7,539 (402,547) (355,852) 429,773 163,494 163,494 563,570 563,570 - 1,149,932 1,149,932 - $ 37,092 $ 31,892 $ (5,200) $ 563,570 $ 571,109 $ 7,539 $ 747,385 $ 794,080 $ 429,773 63 TOWN OF AVON, COLORADO DEBT SERVICE FUND C4 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 1999 1998 ASSETS Cash and Cash Equivalents $ 147,588 $ 374,704 Receivables - Taxes 774,104 773,456 - Accounts - 235 Total Assets $ 921,692 $ 1,148,395 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable $ 87 $ 433 Deferred Taxes 774,104 773,364 Total Liabilities 774,191 773,797 Fund Balances: Reserved for Debt Service 147,501- 374,598 Total Fund Balances 147,501 374,598 Total Liabilities and Fund Balances $ 921,692 $ 1,148,395 64 TOWN OF AVON, COLORADO DEBT SERVICE FUND C-5 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 Revenues Property Taxes Total Revenues Expenditures Debt Service: Principal Interest Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Operating Transfers Out: Capital Projects Fund Proceeds of Refunding Bonds Refunding Bond Issuance Costs Payment to Refunded Bond Escrow Agent Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year $ 789,546 789,546 1998 $ 766,273 766,273 735,000 545,000 518,014 726,712 18,227 18,044 1,271,241 1,289,756 (481,695) (523,483) 505,434 600,511 (250,836) 5,580,000 (191,539) (5,388,461) 254,598 (227,097) 374,598 $ 147,501 600,511 77,028 297,570 $ 374,598 65 TOWN OF AVON, COLORADO DEBT SERVICE FUND C-6 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) Revenues Property Taxes Total Revenues Expenditures Debt Service: Principal Interest Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Operating Transfers Out: Capital Projects Fund Proceeds of Refunding Bonds Refunding Bond Issuance Costs Payment to Refunded Bond Escrow Agent 1999 Variance - Amended Favorable 1998 Budget Actual (Unfavorable) Actual $ 773,364 $ 789,546 $ 16,182 $ 766,273 773,364 789,546 16,182 766,273 735,000 735,000 518,015 518,014 25,783 18,227 545,000 1 726,712 7,556 18,044 1,278,798 1,271,241 7,557 1,289,756 (505,434) (481,695) 23,739 (523,483) 505,434 505,434 600,511 (250,836) (250,836) - 5,580,000 5,580,000 (191,539) (191,539) (5,388,461) (5,388,461) Total Other Financing Sources (Uses) 254,598 254,598 - - 600,511 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (250,836) (227,097) 23,739 77,028 Beginning of Year nd Balances F 374,598 374,598 - 297,570 , u Fund Balances, End of year $ 123,762 $ 147,501 $ 23,739 $ 374,598 66 TOWN OF AVON, COLORADO WILDRIDGE SPECIAL ASSESSMENT FUND C-7 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999, AND 1998 1999 1998 ASSETS Cash and Cash Equivalents $ 43,578 $ 47,474 Special Assessments Receivable 205,282 248,364 Total Assets $ 248,860 $ 295,838 LIABILITIES AND FUND BALANCES Liabilities: Deferred Revenue 205,282 247,568 Total Liabilities 205,282 247,568 Fund Balances: Reserved for Debt Service 43,578 48,270 Total Fund Balances Total Liabilities and Fund Balances 43,578 $ 248,860 48,270 $ 295,838 67 TOWN OF AVON, COLORADO WILDRIDGE SPECIAL ASSESSMENT FUND C-8 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 Revenues Special Assessments Interest on Assessments Investment Earnings Total Revenues Expenditures Debt Service: Principal Interest Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: Capital Projects Fund Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year $ 42,186 26,342 2,163 70,691 55,000 33,962 2,612 91,574 (20,883) 1998 $ 47,900 32,501 3,042 83,443 75,000 41,462 2,383 118,845 (35,402) 16,191 17,171 (4,692) (18,231) 48,270 $ 43,578 66,501 $ 48,270 68 TOWN OF AVON, COLORADO WILDRIDGE SPECIAL ASSESSMENT FUND C-9 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) 1999 Variance - Amended Favorable Budget Actual (Unfavorable) Revenues Special Assessments Interest on Assessments Investment Earnings Total Revenues Expenditures Debt Service: Principal Interest Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: Capital Projects Fund Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses $ 35,000 $ 25,000 2,000 62,000 65,000 36,000 2,500 103,500 (41,500) (20,883) 20,617 75,000 41,462 2,383 118,845 (35,402) 16,191 16,191 - 17,171 (25,309) (4,692) 20,617 (18,231) Fund Balances, Beginning of Year 48,270 48,270 - 66,501 Fund Balances, End of year $ 22,961 $ 43,578 $ 20,617 $ 48,270 1998 Actual 42,186 $ 7,186 $ 47,900 26,342 1,342 32,501 2,163 163 3,042 70,691 8,691 83,443 55,000 10,000 33,962 2,038 2,612 (112) 91,574 11,926 69 TOWN OF AVON, COLORADO AVON METROPOLITAN DISTRICT DEBT SERVICE FUND U'1V COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 1999 1998 ASSETS Cash and Cash Equivalents Receivables - Taxes Total Assets $ 31,956 565,628 $ 597,584 $ 160,314 570,674 $ 730,988 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable Deferred Taxes $ 64 565,628 $ 158 567,336 Total Liabilities Fund Balances: Reserved for Debt Service Total Fund Balances Total Liabilities and Fund Balances 565,692 31,892 31,892 $ 597,584 567,494 163,494 163,494 $ 730,988 70 TOWN OF AVON, COLORADO AVON METROPOLITAN DISTRICT DEBT SERVICE FUND C-11 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 1998 Revenues Property Taxes $ 570,013 $ 579,856 Investment Earnings 1,522 5,590 Total Revenues 571,535 585,446 Expenditures Debt Service: Principal 215,000 195,000 Interest 338,915 354,915 Fiscal Charges 19,222 28,400 Total Expenditures 573,137 578,315 Excess (Deficiency) of Revenues Over (Under) Expenditures (1,602) 7,131 Other Financing Sources (Uses) Operating Transfers Out: General Fund (130,000) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (131,602) 7,131 Fund Balances, Beginning of Year 163,494 156,363 Fund Balances, End of year $ 31,892 $ 163,494 71 TOWN OF AVON, COLORADO AVON METROPOLITAN DISTRICT DEBT SERVICE FUND C-12 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) Revenues Property Taxes Investment Earnings Total Revenues Expenditures Debt Service: Principal Interest Fiscal Charges Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers Out: General Fund Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses 1999 1998 Variance - Favorable Budget Actual (Unfavorable) Actual $ 567,336 $ 570,013 $ 2,677 $ 579,856 5,800 1,522 (4,278) 5,590 573,136 571,535 (1,601) 585,446 215,000 215,000 - 195,000 338,915 338,915 - 354,915 15,623 19,222 (3,599) 28,400 569,538 573,137 (3,599) 578,315 3,598 (1,602) (5,200) 7,131 (130,000) (130,000) (126,402) (131,602) (5,200) 7,131 Fund Balances, Beginning of Year 163,494 163,494 - 156,363 Fund Balances, End of year $ 37,092 $ 31,892 $ (5,200) $ 163,494 72 TOWN OF AVON, COLORADO TOWN OF AVON FINANCE AUTHORITY FUND C-13 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 ASSETS Cash and Cash Equivalents Interest Receivable Capital Lease Receivable Total Assets LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable Deferred Revenue Total Liabilities Fund Balances: Reserved for Debt Service Total Fund Balances Total Liabilities and Fund Balances 1999 1998 $ 568,638 $ 563,570 2,471 - 5,141,250 - $ 5,712,359 $ 563,570 $ 5,141,250 $ - 5,141,250 - 571,109 563,570 571,109 563,570 $ 5,712,359 $ 563,570 73 TOWN OF AVON, COLORADO TOWN OF AVON FINANCE AUTHORITY FUND C-14 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITU RES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 1998 Revenues Investment Earnings $ 35,364 $ 3,997 Total Revenues 35,364 3,997 Expenditures Debt Service: Principal 230,000 - Interest 332,540 98,838 Fiscal Charges 825 Total Expenditures 563,365 98,838 Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Capital Projects Fund (528,001) (94,841) 535,540 Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year 94,841 563,570 535,540 658,411 7,539 563,570 563,570 $ 571,109 $ 563,570 74 TOWN OF AVON, COLORADO TOWN OF AVON FINANCE AUTHORITY FUND C-15 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) 1999 1998 Variance - Amended Favorable Budget Actual (Unfavorable) Actual Revenues Investment Earnings $ 28,000 $ 35,364 $ 7,364 $ 3,997 Total Revenues 28,000 35,364 7,364 3,997 Expenditures Debt Service: Principal 230,000 230,000 - - Interest 332,540 332,540 - 98,838 Fiscal Charges 1,000 825 175 - Total Expenditures 563,540 563,365 175 98,838 Excess (Deficiency) of Revenues Over (Under) Expenditures (535,540) (528,001) 7,539 (94,841) Other Financing Sources (Uses) Operating Transfers In: General Fund 535,540 535,540 - 94,841 Capital Projects Fund - - - 563,570 Total Other Financing Sources (Uses) 535,540 535,540 - 658,411 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year 7,539 7,539 563,570 563,570 563,570 - $ 563,570 $ 571,109 $ 7,539 $ 563,570 75 THIS PAGE INTENTIONALLY LEFT BLANK 76 CAPITAL PROJECTS FUND Capital projects funds are used to account for the acquisition and construction of major capital facilities other than those financed by proprietary funds and trust funds. TOWN OF AVON, COLORADO CAPITAL PROJECTS FUND D-1 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 ASSETS 1999 1998 Cash and Cash Equivalents $ 3,362,067 $ 5,709,480 Investments - 501,624 Receivables - Interest 1,100 17,391 - Taxes 156,184 56,114 - Accounts - 63,400 Deposits - 114,000 Total Assets $ 3,519,351 $ 6,462,009 LIABILITIES AND FUND BALANCES Liabilities: Accounts Payable $ 168,109 $ 392,644 Retainages Payable - 38,192 Total Liabilities 168,109 430,836 Fund Balances: Reserved for Bond Construction Fund Expenditures 254,536 3,934,271 Designated for Subsequent Year's Expenditures 935,326 206,563 Unreserved, Undesignated 2,161,380 1,890,339 Total Fund Balances 3,351,242 6,031,173 Total Liabilities and Fund Balances $ 3,519,351 $ 6,462,009 77 TOWN OF AVON, COLORADO CAPITAL PROJECTS FUND D-2 COMPARATIVE STATEMENTS OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 1998 Revenues Taxes: Real Estate Transfer Tax $ 2,253,373 $ 1,950,670 Intergovernmental 200,000 607,869 Investment Earnings 137,801 125,804 Miscellaneous 35,183 73,969 Total Revenues 2,626,357 2,758,312 Expenditures Capital Projects: Facilities 4,652,394 4,965,193 Land and Land Improvements 2,091 128,966 Roads and Streets 851,523 1,565,150 Strategic Planning 38,085 44,537 Communications 139,939 - Other 2,250 1,500 Debt Service: Principal 76,000 397,321 Interest 4,605 - Bond Issuance Costs and Original Issue Discount - 317,621 Total Expenditures 5,766,887 7,420,288 Excess (Deficiency) of Revenues Over (Under) Expenditures (3,140,530) (4,661,976) Other Financing Sources (Uses) Operating Transfers In: General Fund - 559,507 Water Enterprise Fund - 1,500,000 Debt Service Fund 250,836 - Operating Transfers Out: Debt Service Fund - (563,570) Wildridge Special Assessment Fund (16,191) (17,171) Proceeds from Certificates of Participation - 7,085,000 Capital Lease Proceeds 225,954 114,000 Total Other Financing Sources (Uses) 460,599 8,677,766 Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses (2,679,931) 4,015,790 Fund Balances, Beginning of Year 6,031,173 2,015,383 Fund Balances, End of year $ 3,351,242 $ 6,031,173 78 TOWN OF AVON, COLORADO CAPITAL PROJECTS FUND D-3 STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) 1999 Variance - Amended Favorable 1998 Budget Actual (Unfavorable) Actual Revenues Taxes: Real Estate Transfer Tax Intergovernmental Investment Earnings Miscellaneous Total Revenues Expenditures Capital Projects: Facilities Land and Land Improvements Roads and Streets Strategic Planning Communications Other Debt Service: Principal Interest Bond Issuance Costs Total Expenditures Excess (Deficiency) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Debt Service Fund Water Enterprise Fund Operating Transfers Out: Debt Service Fund Wildridge Special Assessment Fund Proceeds from Certificates of Participation Capital Lease Proceeds Total Other Financing Sources (Uses) Excess (Deficiency) of Revenues and Other Sources Over (Under) Expenditures and Other Uses Fund Balances, Beginning of Year Fund Balances, End of year $ 1,750,000 $ 2,253,373 $ 503,373 $ 1,950,670 300,000 200,000 (100,000) 607,869 137,801 137,801 - 125,804 30,500 35,183 4,683 73,969 2,218,301 2,626,357 408,056 2,758,312 4,718,537 4,652,394 66,143 4,965,193 230,000 2,091 227,909 128,966 1,031,500 851,523 179,977 1,565,150 52,500 38,085 14,415 44,537 239,939 139,939 100,000 - 6,000 2,250 3,750 1,500 76,000 4,935 76,000 4,605 330 397,321 317,621 51766,887 592,524 (4,141,110) (3,140,530) 1,000,580 250,836 250,836 - (16,191) (16,191) 114,000 225,954 111,954 348,645 460,599 111,954 (3,792,465) (2,679,931) 1,112,534 6,031,173 6,031,173 - $ 2,238,708 $ 3,351,242 $ 1,112,534 79 7,420,288 (4,661,976) 559,507 1,500,000 (563,570) (17,171) 7,085,000 114,000 8,677,766 4,015,790 2,015,383 $ 6,031,173 THIS PAGE INTENTIONALLY LEFT BLANK 80 ENTERPRISE FUNDS Enterprise funds are used to account for operations that are financed and operated in a manner similar to private business enterprises - where the intent of the Town Council is that the costs of providing goods or services to the general public on a continuing basis be financed or recovered through user charges: or where the Town Council has decided that periodic determination of net income is appropriate for accountability purposes. Water Enterprise Fund - This fund is used to account for the activities involved in providing water services to the Town's residents. In 1999, this fund was dissolved and the remaining assets transferred to a special revenue fund. Transit Fund - This fund is used to account for the activities involved in operating the Town's transportation system. In addition to transportation routes within the Town of Avon, the Town contracts with other entities for management and operation of their transportation systems within Eagle County. TOWN OF AVON, COLORADO ENTERPRISE FUNDS E-1 COMBINING BALANCE SHEET DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) ASSETS Current Assets: Cash and Cash Equivalents Receivables - Taxes - Accounts - Intergovernmental Total Current Assets Fixed Assets: Water Systems Vehicles and Rolling Stock Machinery and Equipment Less Accumulated Depreciation Net Fixed Assets Total Assets Water Transit Total Fund Fund 1999 1998 $ _ $ 161,114 $ 161,114 $ 1,488,014 _ 24,911 24,911 32,603 _ - _ 9,788 _ 280,101 280,101 426,921 _ 466,126 466,126 1,957,326 _ _ - 9,166,588 _ 883,244 883,244 825,951 _ 82,823 82,823 59,997 _ 966,067 966,067 10,052,536 _ (216,350) (216,350) (2,038,441) _ 749,717 749,717 8,014,095 $ - $ 1,215,843 $ 1,215,843 $ 9,971,421 LIABILITIES AND FUND EQUITY Current Liabilities: Accounts Payable Accrued Liabilities Due to Other Funds Capital Leases Payable - Current $ 126,072 $ 126,072 $ 180,341 91,180 91,180 86,663 - - 150,000 43,529 43,529 28,560 Total Current Liabilities Noncurrent Liabilities: Capital Leases Payable Total Noncurrent Liabilities Fund Equity: Contributed Capital Retained Earnings (Accumulated Deficit) Total Fund Equity Total Liabilities and Fund Equity 260,781 260,781 445,564 207,738 207,738 176,678 207,738 207,738 176,678 601,814 601,814 11,155,532 145,510 145,510 (1,806,353) 747,324 747,324 9,349,179 $ - $ 1,215,843 $ 1,215,843 $ 9,971,421 81 THIS PAGE INTENTIONALLY LEFT BLANK 82 TOWN OF AVON, COLORADO OMMOMMONN? ENTERPRISE FUNDS E-2 COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) Operating Revenues Charges for Services Other Operating Revenues Total Operating Revenues Operating Expenses: Cost of Operations: Water Utilities Transit Depreciation Total Operating Expenses Operating Loss Nonoperating Revenues (Expenses) Taxes Interest Expense Investment Earnings Distribution of Fixed Assets Total Nonoperating Revenues (Expenses) Loss Before Operating Transfers Operating Transfers In (Out) General Fund Capital Projects Fund Net Income (Loss) Retained Earnings (Accumulated Deficit), Beginning of Year Residual Equity Transfer Out Transfer from Contributed Capital Retained Earnings (Accumulated Deficit), End of Year Water Transit Total Fund Fund 1999 1998 $ - $ 2,533,187 $ 2,533,187 $ 3,024,079 44,477 44,477 7,483 - 2,577,664 2,577,664 3,031,562 78,261 3,026,466 3,026,466 3,550,344 115,840 115,840 324,611 3,142,306 3,142,306 3,953,216 (564,642) (564,642) (921,654) 240,725 _ (27,872) (7,233,228) - 240,725 271,805 (27,872) (8,555) 76,447 (7,233,228) - (7,233,228) 212,853 (7,020,375) 339,697 (7,233,228) (351,789) (7,585,017) (581,957) 439,287 439,287 519,427 - (1,500,000) (7,233,228) 87,498 (7,145,730) (1,562,530) (1,864,365) 58,012 (1,806,353) (243,823) (1,445,840) - (1,445,840) - 10,543,433 - 10,543,433 - $ - $ 145,510 $ 145,510 $ (1,806,353) 83 TOWN OF AVON, COLORADO ENTERPRISE FUNDS COMBINING STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) Cash Flows From Operating Activities Water Transit Total Fund Fund 1999 1998 Cash Received from Customers $ 8,589 $ 2,681,206 $ 2,689,795 $ 2,562,854 Cash Payments to Suppliers for Goods and Services (2,632) (786,160) (788,792) (1,111,414) Cash Payments to Employees for Services (615) (2,286,811) (2,287,426) (2,250,929) Other Operating Revenues - 44,477 44,477 7,483 Net Cash Provided by (Used in) Operating Activities Cash Flows From Noncapital Financing Activities Advances from General Fund Repayment of Advances Transfer from General Fund Residual Equity Transfer Out Transfer to Capital Projects Fund 5,342 (347,288) (341,946) (792,006) - - - 150,000 (150,000) (150,000) - 439,287 439,287 519,427 (1,445,840) - (1,445,840) - (1,500,000) Net Cash Provided by (Used in) Noncapital Financing Activities Cash Flows From Capital Financing Activities Tap Fees Received Taxes Received Acquisition and Construction of Capital Assets Proceeds from Capital Leases Interest Paid on Capital Lease Obligations Principal Paid on Capital Leases Obligations Cost Recovery Payments to Developers Net Cash Provided by Capital Financing Activities Cash Flows From Investing Activities Earnings on Investments Net Cash Provided by Investing Activities (1,445,840) 289,287 (1,156,553) (830,573) - - - 1,094,917 - 248,418 248,418 271,805 - (94,976) (94,976) (282,261) - 75,000 75,000 225,680 - (27,872) (27,872) (8,555) - (28,971) (28,971) (20,442) - - - (101,774) - 171,599 171,599 1,179,370 - - - 76,447 - - - 76,447 Net Increase (Decrease) in Cash and Cash Equivalents (1,440,498) 113,598 (1,326,900) (366,762) Cash and Cash Equivalents, Beginning of Year 1,440,498 47,516 1,488,014 1,854,776 Cash and Cash Equivalents, End of Year $ - $ 161,114 $ 161,114 $ 1,488,014 84 E-3 Water Transit Total Fund Fund 1999 1998 RECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES Operating Loss Adjustments to Reconcile Operating Loss to Net Cash Provided by Used in) Operating Activities Depreciation Change in Assets and Liabilities: (Increase) Decrease in Accounts Receivable (Increase) Decrease in Intergovernmental Receivable Increase (Decrease) in Accounts Payable Increase (Decrease) in Accrued Liabilities Total Adjustments $ - $ (564,642) $ (564,642) $ (921,654) 115,840 115,840 324,611 - 9,788 9,788 (42,391) 8,589 138,231 146,820 (418,834) (2,632) (51,637) (54,269) 180,311 (615) 5,132 4,517 85,951 5,342 217,354 222,696 129,648 Net Cash Provided by (Used In) Operating Activities $ 5,342 $ (347,288) $ (341,946) $ (792,006) NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Distribution of Fixed Assets to Governmental Entity Transfer from Contributed Capital to Retained Earnings Contributions of Capital Assets to Equipment Replacement Fund Contributions of Capital Assets from General Fixed Asset Account Group $(7,233,228) $ 10,543,433 - $(7,233,228) $ - - 10,543,433 - (10,285) (10,285) - 612,099 85 TOWN OF AVON, COLORADO WATER ENTERPRISE FUND E4 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 1999 1998 ASSETS Current Assets: Cash and Cash Equivalents Receivables - Intergovernmental Total Current Assets Fixed Assets: Water System: Water Lines Raw Water Facilities and Storage Water Wells Water Rights Machinery and Equipment Less Accumulated Depreciation Net Fixed Assets Total Assets LIABILITIES AND FUND EQUITY Current Liabilities: Accounts Payable Accrued Liabilities Total Current Liabilities Fund Equity: Contributed Capital Accumulated Deficit Total Fund Equity Total Liabilities and Fund Equity $ - $ 1,440,498 - 8,589 1,449,087 - 7,048,664 - 447,340 - 51,355 - 1,442,986 - 176,243 - 9,166,588 - (1,933,360) - 7,233,228 $ - $ 8,682,315 $ - $ 2,632 - 615 - 3,247 - 10,543,433 - (1,864,365) 8,679,068 $ - $ 8,682,315 86 TOWN OF AVON, COLORADO WATER ENTERPRISE FUND E-5 COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 Operating Revenues Charges for Services Other Operating Revenues 1999 1998 $ 99,722 1,080 100,802 Total Operating Revenues Operating Expenses: Cost of Water Operations: Operations and Maintenance General and Administrative Depreciation Total Operating Expenses Operating Loss Nonoperating Revenues (Expenses) Investment Earnings Distribution of Fixed Assets Loss Before Operating Transfers Operating Transfers Out Capital Projects Fund Net Loss Accumulated Deficit, Beginning of Year Residual Equity Transfer Out Transfer from Contributed Capital Accumulated Deficit, End of Year 60,759 17,502 219,530 297,791 (196,989) (7,233,228) (7,233,228) 76,477 (120,512) (7,233,228) (1,864,365) (1,500,000) (1,620,512) (243,823) (1,445,840) 10,543,433 $ (1,864,335) 87 TOWN OF AVON, COLORADO WATER ENTERPRISE FUND COMPARATIVE STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 1998 Cash Flows From Operating Activities Cash Received from Customers $ 8,589 $ 99,220 Cash Payments to Suppliers for Goods and Services (2,632) (53,971) Cash Payments to Employees for Services (615) (21,785) Other Operating Revenues - 1,080 Net Cash Provided by Operating Activities 5,342 24,544 Cash Flows From Noncapital Financing Activities Residual Equity Transfer Out (1,445,840) - Transfer to Capital Projects Fund - (1,500,000) Net Cash Used in Noncapital Financing Activities (1,445,840) (1,500,000) Cash Flows From Capital Financing Activities Tap Fees Received - 1,094,917 Acquisition and Construction of Capital Assets - (8,412) Cost Recovery Payments to Developers - (101,774) Net Cash Provided by Capital Financing Activities - 984,731 Cash Flows From Investing Activities Earnings on Investments - 76,447 Net Cash Provided by Investing Activities - 76,447 Net Increase (Decrase) in Cash and Cash Equivalents (1,440,498) (414,278) Cash and Cash Equivalents, Beginning of Year 1,440,498 1,854,776 Cash and Cash Equivalents, End of Year $ - $ 1,440,498 88 E-6 1998 1998 RECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED BY OPERATING ACTIVITIES Operating Loss $ - $ (196,989) Adjustments to Reconcile Operating Loss to Net Cash Provided by Operating Activities Depreciation - 219,530 Change in Assets and Liabilities: 8 589 (502) (Increase) Decrease in Intergovernmental Receivable , Increase (Decrease) in Accounts Payable (2,632) 2,602 Increase (Decrease) in Accrued Liabilities (615) (97) Total Adjustments 5,342 221,533 Net Cash Provided by Operating Activities $ 5,342 $ 24,544 NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Distribution of Fixed Assets to Governmental Entity $ (7,233,228) Transfer from Contributed Capital to Retained Earnings 10,543,433 89 TOWN OF AVON, COLORADO TRANSIT ENTERPRISE FUND E-7 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 1999 1998 ASSETS Current Assets: Cash and Cash Equivalents Receivables - Taxes - Accounts - Intergovernmental Total Current Assets $ 161,114 24,911 280,101 466,126 $ 47,516 32,603 9,788 418,332 508,239 Fixed Assets: Vehicles and Rolling Stock Machinery and Equipment Less Accumulated Depreciation Net Fixed Assets Total Assets 883,244 82,823 966,067 (216,350) 749,717 $ 1,215,843 825,951 59,997 885,948 (105,081) 780,867 $ 1,289,106 LIABILITIES AND FUND E00 Current Liabilities: Accounts Payable Accrued Liabilities Due to Other Funds Capital Leases Payable - Current Total Current Liabilities $ 126,072 91,180 43,529 260,781 $ 177,709 86,048 150,000 28,560 442,317 Noncurrent Liabilities: Capital Leases Payable Total Noncurrent Liabilities Fund Equity: Contributed Capital Retained Earnings Total Fund Equity Total Liabilities and Fund Equity 207,738 207,738 601,814 145,510 747,324 $ 1,215,843 176,678 176,678 612,099 58,012 670,111 $ 1,289,106 90 TOWN OF AVON, COLORADO TRANSIT ENTERPRISE FUND ?'° COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 1998 Operating Revenues 187 533 $ 2 $ 2,924,357 Charges for Services , , Other Operating Revenues 44,477 6,403 Total Operating Revenues 2,577,664 2,930,760 Operating Expenses: Cost of Transit Operations: Administration 545,645 545,454 Operations 2,365,850 2,905,082 Marketing 114,971 99,808 Depreciation 115,840 105,081 Total Operating Expenses 3,142,306 3,655,425 Operating Loss (564,642) (724,665) Nonoperating Revenues (Expenses) Taxes: Accommodations Taxes 240,725 271,805 Interest Expense (27,872) (8,555) Total Nonoperating Revenues (Expenses) 212,853 263,250 Loss Before Operating Transfers (351,789) (461,415) Operating Transfers In 439,287 519,427 General Fund Net Income 87,498 58,012 Retained Earnings, Beginning of Year 58,012 - Retained Earnings, End of Year $ 145,510 $ 58,012 91 TOWN OF AVON, COLORADO TRANSIT ENTERPRISE FUND SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET (NONGAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 Revenues Taxes: Accommodation Taxes Charges for Services: Transportation Miscellaneous Total Revenues Expenditures: Administration Operations Marketing Total Expenditures Excess (Deficit) of Revenues Over (Under) Expenditures Other Financing Sources (Uses) Operating Transfers In: General Fund Capital Lease Proceeds Total Other Financing Sources (Uses) Excess of Revenues and Other Sources Over Expenditures and Other Uses Funds Available, Beginning of Year Funds Available, End of Year Funds Available at December 31, 1999, is computed as follows: 1999 Variance- Amended Favorable Budget Actual (Unfavorable) $ 254,139 $ 240,725 $ (13,414) 2,773,364 2,533,187 (240,177) 44,477 44,477 3,027,503 2,818,389 (209,114) 615,221 566,550 48,671 2,812,443 2,496,763 315,680 114,126 114,971 (845) 3,541,790 3,178,284 363,506 (514,287) (359,895) 154,392 439,287 439,287 - 75,000 75,000 - 514,287 514,287 - 154,392 154,392 94,482 94,482 - $ 94,482 $ 248,874 $ 154,392 Current Assets Less: Current Liabilities Add Back: Current Portion of Capitalized Lease Obligations Payable Fund Available - December 31, 1999 92 $ 466,126 (260,781) 43,529 $ 248,874 E-9 RECONCILIATION OF BUDGETARY BASIS (ACTUAL) TO GAAP BASIS STATEMENT OF OPERATIONS Excess of Revenues and Other Sources Over Expenditures and Other Uses Adjustments to Reconcile Budgetary Basis to GAAP Basis Principal Paid on Capitalized Lease Obligations Capital Lease Proceeds Capitalization of Fixed Assets Depreciation Total Adjustments Net Income (GAAP Basis) 1998 $ 154,392 28,971 (75,000) 94,975 (115,840) (66,894) $ 87,498 93 TOWN OF AVON, COLORADO TRANSIT ENTERPRISE FUND COMPARATIVE STATEMENTS OF CASH FLOWS FOR THE YEARS ENDED DECEMBER 31,1999 AND 1998 1999 Cash Flows From Operating Activities Cash Received from Customers $ 2,681,206 Cash Payments to Suppliers for Goods and Services (786,160) Cash Payments to Employees for Services (2,286,811) Other Operating Revenues 44,477 Net Cash Used In Operating Activities (347,288) Cash Flows From Noncapital Financing Activities Advances from Other Funds - Repayment of Advances (150,000) Transfer In from General Fund 439,287 Net Cash Provided by Noncapital Financing Activities 289,287 Cash Flows From Capital Financing Activities Taxes Received Acquisition and Construction of Capital Assets Proceeds from Capital Leases Interest Paid on Capital Leases Principal Paid on Capital Leases Net Cash Provided by Capital Financing Activities Net Increase in Cash and Cash Equivalents Cash and Cash Equivalents, Beginning of Year Cash and Cash Equivalents, End of Year 248,418 (94,975) 75,000 (27,873) (28,971) 171,599 113,598 47,516 $ 161,114 1998 $ 2,496,237 (1,057,443) (2,229,144) 6,403 (783,947) 150,000 519,427 669,427 239,202 (273,849) 225,680 (8,555) (20,442) 162,036 47,516 $ 47,516 94 E-10 RECONCILIATION OF OPERATING LOSS TO NET CASH USED IN OPERATING ACTIVITIES Operating Loss Adjustments to Reconcile Operating Loss to Net Cash Used In Operating Activities Depreciation Change in Assets and Liabilities: (Increase) Decrease in Accounts Receivable (Increase) Decrease in Intergovernmental Receivable Increase (Decrease) in Accounts Payable Increase in Accrued Liabilities Total Adjustments Net Cash Provided by (Used in) Operating Activities NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Contributions of Capital Assets from General Fixed Asset Account Group Contributions of Capital Assets to Equipment Replacement Fund 1999 1998 $ (564,642) $ (724,665) 115,840 105,081 9,788 (9,788) 138,231 (418,332) (51,637) 177,709 5,132 86,048 217,354 (59,282) $ (347,288) $ (783,947) $ - $ 612,099 (10,285) 95 THIS PAGE INTENTIONALLY LEFT BLANK 96 INTERNAL SERVICE FUNDS Internal service funds are used to account for the financing of goods or services provided by one department or agency to other departments or agencies of the Town and to other government units, on a cost reimbursement basis. Fleet Maintenance Fund - This fund is used to account for the accumulation and allocation of costs associated with the maintenance of vehicles and rolling stock for the Town and certain other third party governmental entities. Equipment Replacement Fund - This fund is used to account for the rental of certain vehicles and equipment to other departments for the accumulation of funds for future replacement. TOWN OF AVON, COLORADO INTERNAL SERVICE FUNDS F-1 COMBINING BALANCE SHEET DECEMBER 31, 1999 (With Comparative Totals for December 31, 1998) Fleet Equipment Total Maintenance Replacement ASSETS Current Assets: Cash and Cash Equivalents Receivables - Accounts - Intergovernmental Inventory Total Current Assets Fixed Assets: Buildings and Facilities Vehicles and Rolling Stock Machinery and Equipment Less Accumulated Depreciation Net Fixed Assets Other Assets Start-up Costs $ 25,584 $ 141,040 $ 166,624 $ 30,795 38,213 - 38,213 - 74,661 - 74,661 - 102,183 - 102,183 32,682 240,641 141,040 381,681 63,477 6,400,132 1,019,150 7,419,282 - 9,357 1,742,082 1,751,439 9,357 73,436 271,449 344,885 11,739 6,482,925 _ 3,032,$? 9,515,6 i 21,099- (13,782) (316,811) (330,593) (3,235) 6,469,143 2,715,870 9,185,013 17,861 164,062 - 164,062 Total Other Assets 164,062 - 164,062 - Total Assets $ 6,873,846 $ 2,856,910 $ 9,730,756 $ 81,338 LIABILITIES AND FUND EQUITY Current Liabilities: Accounts Payable Accrued Liabilities Due to Other Funds Capital Leases Payable - Current Total Current Liabilities Noncurrent Liabilities: Capital Leases Payable Total Noncurrent Liabilities Fund Equity: Contributed Capital Retained Earnings $ 89,272 $ 2,581 $ 91,853 $ 26,408 20,492 - 20,492 15,082 250,000 - 250,000 - 180,000 - 180,000 539,764 2,581 542,345 4,961,250 - 4,961,250 41,490 4,961,250 - 4,961,250 - 1,329,744 2,274,428 3,604,172 19,683 43,088 579,901 622,989 20,165 Total Fund Equity 1,372,832 2,854,329 4,227,161 39,848 Total Liabilities and Fund Equity $ 6,873,846 $ 2,856,910 $ 9,730,756 $ 81,338 97 THIS PAGE INTENTIONALLY LEFT BLANK 98 TOWN OF AVON, COLORADO INTERNAL SERVICE FUNDS F-2 COMBINING STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) Fleet Equipment Total Maintenance Replacement 1999 1998 Operating Revenues Charges for Services $ 1,157,446 $ 591,785 $ 1,749,231 $ 310,819 Other Operating Revenues 20,210 - 20,210 - Total Operating Revenues 1,177,656 591,785 1,769,441 310,819 Operating Expenses: Cost of Operations: 1,144,186 10,654 1,154,840 287,419 Depreciation 10,547 319,826 330,373 3,235 Total Operating Expenses 1,154,733 330,480 1,485,213 290,654 Operating Income 22,923 261,305 284,228 20,165 Nonoperating Revenues (Expenses) Gain on Disposal of Fixed Assets Net Income 1,785 1,785 263,090 286,013 20,165 $ 20,165 22,923 Depreciation Transferred to Contributed Capital - 316,811 316,811 Retained Earnings, Beginning of Year 20,165 - 20,165 Retained Earnings, End of Year $ 43,088 $ 579,901 $ 622,989 99 TOWN OF AVON, COLORADO INTERNAL SERVICE FUNDS COMBINING STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Totals for December 31, 1998) Cash Flows From Operating Activities Cash Received from Customers Cash Payments to Suppliers for Goods and Services Cash Payments to Employees for Services Fleet Equipment Total Maintenance Replacement 1999 1998 $ 1,064,782 $ 591,785 $ 1,656,567 $ 310,819 (661,177) (10,654) (671,831) (198,163) (484,236) - (484,236) (80,448) Net Cash Provided by (Used in) Operating Activities (80,631) 581,131 500,500 32,208 Cash Flows From Noncapital Financing Activities Advances From Other Funds 250,000 - 250,000 - Net Cash Provided by Noncapital Financing Activities Cash Flows From Capital Financing Activities Start-up Costs Incurred and Capitalized Acquisition and Construction of Capital Assets 250,000 - 250,000 - (164,062) - (164,062) - (10,518) (440,091) (450,609) (1,413) Net Cash Used in Capital Financing Activities Net Increase (Decrease) in Cash and Cash Equivalents Cash and Cash Equivalents, Beginning of Year Cash and Cash Equivalents, End of Year (174,580) (440,091) (614,671) (1,413) (5,211) 141,040 135,829 30,795 30,795 - 30,795 - $ 25,584 $ 141,040 $ 166,624 $ 30,795 100 F-3 Fleet Equipment Total Maintenance Replacement 1999 1998 RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES Operating Income Adjustments to Reconcile Operating Loss to Net Cash Provided by Used in) Operating Activities Depreciation Change in Assets and Liabilities: (Increase) Decrease in Accounts Receivable (Increase) Decrease in Intergovernmental Receivable (Increase) Decrease Inventory Increase (Decrease) in Accounts Payable Increase (Decrease) in Accrued Liabilities Total Adjustments $ 22,923 $ 261,305 $ 284,228 $ 20,165 10,547 319,826 330,373 3,235 (38,213) - (38,213) - (74,661) - (74,661) - (69,501) - (69,501) (32,682) 62,864 - 62,864 26,408 5,410 - 5,410 15,082 (103,554) 319,826 216,272 12,043 Net Cash Provided by (Used In) Operating Activities $ (80,631) $ 581,131 $ 500,500 $ 32,208 NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Contributions of Capital Assets from General Fixed Assets Account Group $ 51,179 $ 2,580,951 $ 2,632,130 $ 19,683 Contributions of Capital Assets from Transit Fund - 10,285 10,285 - Depreciation Transferred to Contributed Capital - (316,811) (316,811) - Capitalization of Facilities Constructed in Capital Projects Fund 6,400,132 - 6,400,132 - Capitalization of Leases Payable Used to Finance Facilities (5,141,250) - (5,141,250) - 101 TOWN OF AVON, COLORADO FLEET MAINTENANCE INTERNAL SERVICE FUND F4 COMPARATIVE BALANCE SHEETS DECEMBER 31,1999 AND 1998 1999 1998 ASSETS Current Assets: Cash and Cash Equivalents Receivables: Accounts Intergovernmental Inventory Total Current Assets $ 25,584 38,213 74,661 102,183 240,641 $ 30,795 32,682 63,477 Fixed Assets: Buildings and Facilities Vehicles and Rolling Stock Machinery and Equipment Less Accumulated Depreciation Net Fixed Assets Other Assets Start-up Costs Total Other Assets Total Assets 6,400,132 9,357 73,436 6,482,925 (13,782) 6,469,143 164,062 164,062 $ 6,873,846 9,357 11,739 21,096 (3,235) 17,861 $ 81,338 LIABILITIES AND FUND EQUITY Current Liabilities: Accounts Payable Accrued Liabilities Due to Other Funds Capital Leases Payable - Current $ 89,272 20,492 250,000 180,000 539,764 $ 26,408 15,082 41,490 Total Current Liabilities Noncurrent Liabilities: Capital Leases Payable Total Noncurrent Liabilities Fund Equity: Contributed Capital Retained Earnings Total Fund Equity Total Liabilities and Fund Equity 4,961,250 4,961,250 1,329,744 43,088 1,372,832 $ 6,873,846 19,683 20,165 39,848 $ 81,338 102 TOWN OF AVON, COLORADO FLEET MAINTENANCE INTERNAL SERVICE FUND F-5 COMPARATIVE STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS FOR THE YEAR ENDED DECEMBER 31,1999 AND 1998 1999 1998 Operating Revenues Charges for Services $ 1,157,446 $ 310,819 Other Operating Revenues 20,210 - Total Operating Revenues 1,177,656 310,819 Operating Expenses: Cost of Operations 1,144,186 287,419 Depreciation 10,547 3,235 Total Operating Expenses 1,154,733 290,654 Net Income 22,923 20,165 Retained Earnings, Beginning of Year 20,165 - Retained Earnings, End of Year $ 43,088 $ 20,165 103 TOWN OF AVON, COLORADO FLEET MAINTENANCE INTERNAL SERVICE FUND SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET (NONGAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 Revenues Charges for Services: Fleet Maintenance Charges Other Revenue Total Revenues Expenditures: Fleet Maintenance Total Expenditures Excess (Deficit) of Revenues Over (Under) Expenditures Funds Available, Beginning of Year Funds Available (Deficit), End of Year Funds Available at December 31, 1999, is computed as follows: 1999 Variance- Amended Favorable Budget Actual (Unfavorable) $ 1,398,612 $ 1,157,446 $ (241,166) 20,210 20,210 1,398,612 1,177,656 (220,956) 1,440,134 1,318,766 121,368 1,440,134 (41,522) 1,318,766 121,368 (141,110) (99,588) 21,987 21,987 $ (19,535) $ (119,123) $ (99,588) Current Assets $ 240,641 Less: Current Liabilities (539,764) Add Back: Current Portion of Capitalized Lease Obligations Payable 180,000 Funds Available (Deficit) - December 31, 1999 $ (119,123) 104 F-6 RECONCILIATION OF BUDGETARY BASIS (ACTUAL) TO GAAP BASIS STATEMENT OF OPERATIONS Excess (Deficit) of Revenues Over Expenditures (Budgetary Basis) Adjustments to Reconcile Budgetary Basis to GAAP Basis Capitalization of Fixed Assets Capitalization of Start-up Costs Depreciation Total Adjustments Net Income (GAAP Basis) 1999 $ (141,110) 10,518 164,062 (10,547) 164,033 $ 22,923 105 TOWN OF AVON, COLORADO FLEET MAINTENANCE INTERNAL SERVICE FUND COMPARATIVE STATEMENTS OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31,1999 AND 1998 1999 1998 Cash Flows From Operating Activities Cash Received from Customers $ 1,064,782 $ 310,819 Cash Payments to Suppliers for Goods and Services (661,177) (198,163) Cash Payments to Employees for Services (484,236) (80,448) Net Cash Provided by (Used in) Operating Activities (80,631) 32,208 Cash Flows From Noncapital Financing Activities Advances from Other Funds 250,000 - Net Cash Provided by Noncapital Financing Activities 250,000 - Cash Flows From Capital Financing Activities Start-up Costs Incurred and Capitalized (164,062) - Acquisition and Construction of Capital Assets (10,518) (1,413) Net Cash Used in Capital Financing Activities (174,580) (1,413) Net Increase (Decrease) in Cash and Cash Equivalents (5,211) 30,795 Cash and Cash Equivalents, Beginning of Year 30,795 - Cash and Cash Equivalents, End of Year $ 25,584 $ 30,795 106 F-7 RECONCILIATION OF OPERATING LOSS TO NET CASH PROVIDED BY OPERATING ACTIVITIES 1999 1998 Operating Income $ 22,923 $ 20,165 Adjustments to Reconcile Operating Income to Net Cash Provided by (Used in) Operating Activities Depreciation 10,547 3,235 Change in Assets and Liabilities: Increase in Accounts Receivable (38,213) - Increase in Intergovernmental Receivable (74,661) - Increase in Inventory (69,501) (32,682) Increase in Accounts Payable 62,864 26,408 Increase in Accrued Liabilities 5,410 15,082 Total Adjustments Net Cash Provided by (Used in) Operating Activities (103,554) $ (80,631) 12,043 $ 32,208 NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Contributions of Capital Assets from General Fixed Assets Account Group $ 51,179 Capitalization of Facilities Constructed in Capital Projects Fund 6,400,132 Capitalization of Leases Used in Contruction of Facilities (5,141,250) $ 19,683 107 TOWN OF AVON, COLORADO EQUIPMENT REPLACEMENT INTERNAL SERVICE FUND F-8 BALANCESHEET DECEMBER 31,1999 1999 ASSETS Current Assets: Cash and Cash Equivalents $ 141,040 Total Current Assets 141,040 Fixed Assets: Infrastructure 1,019,150 Vehicles and Rolling Stock 1,742,082 Machinery and Equipment 271,449 3,032,681 Less Accumulated Depreciation (316,811) Net Fixed Assets 2,715,870 Total Assets $ 2,856,910 LIABILITIES AND FUND EQUITY Current Liabilities: Accounts Payable $ 2,581 Total Current Liabilities 2,581 Fund Equity: Contributed Capital 2,274,428 Retained Earnings 579,901 Total Fund Equity 2,854,329 Total Liabilities and Fund Equity $ 2,856,910 108 TOWN OF AVON, COLORADO EQUIPMENT REPLACEMENT INTERNAL SERVICE FUND F-9 STATEMENT OF REVENUES, EXPENSES AND CHANGES IN RETAINED EARNINGS FOR THE YEAR ENDED DECEMBER 31,1999 1999 Operating Revenues Charges for Services $ 591,785 Total Operating Revenues 591,785 Operating Expenses: Cost of Operations 10,654 Depreciation 319,826 Total Operating Expenses 330,480 Operating Income 261,305 Nonoperating Revenues: Gain on Disposal of Fixed Assets 1,785 Net Income 263,090 Depreciation Transferred to Contributed Capital 316,811 Retained Earnings, Beginning of Year _ Retained Earnings, End of Year $ 579,901 109 TOWN OF AVON, COLORADO EQUIPMENT REPLACEMENT INTERNAL SERVICE FUND SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET (NONGAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 1999 Revenues Charges for Services: Equipment Replacement Charges Total Revenues Expenditures: Capital Outlay: Fleet and Heavy Equipment Recreation Center Infrastructure and Equipment Other Equipment Total Expenditures Excess of Revenues Over Expenditures Variance- Favorable Budget Actual (Unfavorable) $ 591,785 $ 591,785 $ - 591,785 591,785 - 428,500 411,636 66,401 41,690 494,901 453,326 96,884 138,459 Funds Available, Beginning of Year Funds Available, End of Year 16,864 24,711 41,575 41,575 $ 96,884 $ 138,459 $ 41,575 Funds Available at December 31, 1999, is computed as follows: Current Assets Less: Current Liabilities Fund Available - December 31, 1999 $ 141,040 (2,581) 110 $ 138,459 F-10 RECONCILIATION OF BUDGETARY BASIS (ACTUAL) TO GAAP BASIS STATEMENT OF OPERATIONS Excess of Revenues Over Expenditures (Budgetary Basis) Adjustments to Reconcile Budgetary Basis to GAAP Basis Capitalization of Fixed Assets Gain on Disposal of Fixed Assets Depreciation Total Adjustments Net Income (GAAP Basis) 1999 $ 138,459 442,672 1,785 (319,826) 124,631 $ 263,090 111 TOWN OF AVON, COLORADO EQUIPMENT REPLACEMENT INTERNAL SERVICE FUND F-11 STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31,1999 1999 Cash Flows From Operating Activities Cash Received From Customers $ 591,785 Cash Payments to Suppliers for Goods and Services (10,654) Net Cash Provided by Operating Activities 581,131 Cash Flows From Capital Financing Activities Acquisition and Construction of Capital Assets (440,091) Net Cash Used in Capital Financing Activities (440,091) Net Increase in Cash and Cash Equivalents 141,040 Cash and Cash Equivalents, Beginning of Year - Cash and Cash Equivalents, End of Year $ 141,040 RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES Operating Income $ 261,305 Adjustments to Reconcile Operating Income to Net Cash Provided by Operating Activities Depreciation 319,826 Change in Assets and Liabilities: Increase in Accounts Payable - Total Adjustments 319,826 Net Cash Provided by Operating Activities $ 581,131 NONCASH INVESTING, CAPITAL AND FINANCING ACTIVITIES Noncash Transactions Affecting Financial Position Contributions of Capital Assets from General Fixed Assets Account Group $ 2,580,954 Contributions of Capital Assets from Transit Fund 10,285 Depreciation Transferred to Contributed Capital (316,811) 112 MISCELLANEOUS SCHEDULES TOWN OF AVON, COLORADO DEBT SCHEDULE Gl DECEMBER 31,1999 urpose Date Issued Schedule of Indebtedness Interest Maturity Amount RateNield Date Issued Amount Outstanding Payments Due In 2000 Principal Interest General Obligation Bonds: Series 199613: General Obligation Bonds 01/01/97 4.10% - 5.45% 12/01/16 $ 3,500,000 $ 3,495,000 $ 5,000 $ 187,578 Supplemental "B" Coupons 01/01/97 4.00%-4.70% 12/01/02 140,000 75,000 25,000 - Less: Original Issue Discount 01/01/97 4.00%-4.70% 12/01/02 (20,279) (14,918) (3,965) - Series 1996: General Obligation Refunding Bonds 04/01/96 4.10% - 5.30% 12/01/09 4,555,000 3,930,000 350,000 190,728 Supplemental "B" Certificates 04/01/96 3.65%-4.25% 06/01/98 820,000 - - - Less: Original Issue Discount 04/01/96 3.65%-4.25% 06/01/98 (28,131) - - - Series 1990: Avon Metropolitan District General Obligation Refunding Bonds 12/01/90 8.00% - 8.30% 11/01/10 $ 5,135,000 $ 3,935,000 $ 230,000 $ 321,315 Net General Obligation Bonds 14,101,590 11,420,082 606,035 699,621 Revenue Bonds: Series 1999, Revenue Refunding Bonds Total Revenue Bonds Certificates of Participation: Series 1998, Certificates of Participation Total Certificates of Participation Special Assessment Bonds Series 1991, L.I.D. No. 1990-1 Taxable Local Assessment Refunding Bonds Total Special Assessment Bonds Capital Lease Obligations 1 st Bank Avon, Lease-Purchase Norwest, Master Lease-Purchase Norwest, Master Lease-Purchase Total Capital Lease Obligations Total Long-term Debt 01/15/99 3.25% - 4.55% 09/15/14 5,580,000 5,210,000 275,000 214,890 5,580,000 5,210,000 275,000 214,890 07/01/98 3.90%-4.90% 12/01/18 7,085,000 6,855,000 240,000 323,570 7,085,000 6,855,000 240,000 323,570 07/15/91 8.75%- 10.25% 12/01/05 1,085,000 300,000 60,000 27,656 1,085,000 300,000 60,000 27,656 07/01/99 7.42% 02/01/01 228,000 152,000 76,000 6,346 01/30/98 5.28% 01/30/05 961,300 705,664 157,049 34,179 05/01/94 4.95% 05/13/99 294,320 294,320 83,191 14,569 1,483,620 1,151,984 316,240 55,094 $ 29,335,210 $ 24,937,066 $ 1,497,275 $ 1,320,831 113 TOWN OF AVON, COLORADO SCHEDULE OF GENERAL FUND REVENUES - BUDGET G-2 (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) escription udget 1999 Actual Variance Favorable (Unfavorable) 1998 Actual Taxes: General Property Tax $ 1,119,418 $ 1,142,628 $ 23,210 $ 1,082,154 Specific Ownership Tax 145,000 193,240 48,240 141,948 Sales Tax 4,592,574 4,538,299 (54,275) 4,373,880 Utility Tax 59,000 65,164 6,164 63,698 Penalties and Interest 2,500 9,175 6,675 10,174 Franchise Fees 177,500 196,796 19,296 187,360 Total Taxes 6,095,992 6,145,302 49,310 5,859,214 Licenses and Permits: Liquor Licenses 2,500 3,734 1,234 3,555 Business Licenses 17,250 17,955 705 18,463 Contractor's Licenses 8,560 12,134 3,574 10,000 Building Permits 180,000 174,153 (5,847) 170,397 Electrical Permits 17,500 22,384 4,884 23,143 Plumbing Permits 25,000 17,523 (7,477) 50,935 Mechanical Permits 15,000 22,059 7,059 24,951 Road Cut Permits 2,000 1,910 (90) 2,035 Other Licenses and Permits 10,000 7,051 (2,949) 8,799 Total Licenses and Permits 277,810 278,903 1,093 312,278 Intergovernmental: Federal: COPS Grant 65,000 32,198 (32,802) 55,117 Federal Drug Forfeiture Funds - 910 910 5,799 Subtotal: Federal Grants 65,000 33,108 (31,892) 60,916 State/County Shared Revenue: Conservation Trust 22,500 22,562 62 24,564 Motor Vehicle Registration 17,500 21,088 3,588 20,504 Highway User's Tax 132,886 144,503 11,617 130,008 Cigarette Tax 45,000 51,345 6,345 53,819 County Sales Tax 205,000 210,160 5,160 214,787 Road & Bridge Fund 100,000 82,673 (17,327) 95,217 Subtotal: Shared Revenue 522,886 532,331 9,445 538,899 Total Intergovernmental 587,886 565,439 (22,447) 599,815 114 escription udget 1999 Actual Variance Favorable (Unfavorable) 1998 Actual Charges for Services: General Government: Sale of Map and Publications 1,500 35 (1,465) 35 Photocopying Charges 500 955 455 350 License Hearing Fees 100 200 100 - Other Fees and Charges 1,500 280 (1,220) 2,512 Plan Check Fees 140,000 85,077 (54,923) 104,035 Subdivision Review Fees 8,000 11,131 3,131 5,290 Design Review Fees 11,500 6,432 (5,068) 12,623 Animal Control Fees 800 1,335 535 455 Police Reports 250 148 (102) 357 Off-duty Police Employment 2,500 5,662 3,162 6,226 Fingerprinting Fees 250 1,337 1,087 1,172 VIN Inspection Fees 7,000 10,589 3,589 10,831 Subtotal: General Govern. 173,900 123,181 (50,719) 143,886 Recreation Center: Admission Fees 880,000 798,066 (81,934) 844,760 Program Fees 40,000 64„339 24,339 68,239 Rentals 6,500 4,595 (1,905) 5,665 Merchandise Sales 6,000 7,491 1,491 7,082 Childcare 8,500 9,627 1,127 11,300 Other Recreation Center Services 18,000 14,643 (3,357) 16,094 Fitness Program Revenues 11,378 8,603 (2,775) - Other Recreation: Adult Program Revenues 36,016 34,045 (1,971) 87,229 Cabin Equipment Rentals 41,000 32,347 (8,653) 39,584 Athletic Field Rentals 3,500 2,388 (1,112) 3,953 Cabin Concessions 7,880 6,642 (1,238) 6,497 Youth Program Revenues 86,872 69,343 (17,529) Sponsorships 26,700 27,160 460 29,819 Advertisements 2,600 3,625 1,025 2,934 Event Fees 33,000 33,107 107 16,912 Subtotal: Recreation 1,207,946 1,116,021 (91,925) 1,140,068 Total Charges for Services 1,381,846 1,239,202 (142,644) 1,283,954 115 TOWN OF AVON, COLORADO SCHEDULE OF GENERAL FUND REVENUES - BUDGET G-2 (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (CONTINUED) (With Comparative Actual Amounts for the Year Ended December 31, 1998) escription udget 1999 Actual Variance Favorable (Unfavorable) 1998 Actual Fines and Forfeitures: Court Fines - Traffic 12,000 14,864 2,864 9,170 Court Fines - Criminal 32,000 26,647 ( ) 3 Court Fines - Parking 5,000 6,041 1,041 5,048 Court Fines - General 500 1,000 500 675 Court Costs 3,500 2,686 (814) 2,420 Jury Fees 350 10 (340) 340 Court Restitution 1,750 - (1,750) 1,671 Food Fines 25 4 (21) 2 Total Fines and Forfeitures 55,125 51,252 (3,873) 51,376 Investment Earnings 375,000 375,060 60 444,423 Miscellaneous Revenues: Recreational Amenity Fees 165,000 161,564 (3,436) 160,832 Lease of Town-owned Property 248,670 160,533 (88,137) 120,697 Miscellaneous Nonclassified Revenues 100,000 62,987 (37,013) 85,490 Total Miscellaneous Revenues 513,670 385,084 (128,586) 367,019 TOTAL REVENUES $ 9,287,329 $ 9,040,242 $ (247,087) $ 8,918,079 116 THIS PAGE INTENTIONALLY LEFT BLANK 117 TOWN OF AVON, COLORADO SCHEDULE OF GENERAL FUND EXPENDITURES - BUDGET G-3 (GAAP BASIS) AND ACTUAL FOR THE YEAR ENDED DECEMBER 31,1999 (With Comparative Actual Amounts for the Year Ended December 31, 1998) 1999 Variance Favorable 1998 Description Budget Actual (Unfavorable) Actual General Government: Legislative: Mayor and Town Council Boards and Commissions Town Attorney Public Relations Town Clerk Total Legislative Judicial: Municipal Court Executive: Town Manager Human Resources Total Executive Finance Department: Finance Information Systems Nondepartmental Total Administration Total General Government Community Development: Administration Planning Building Inspection Community Service Total Community Development $ 100,601 $ 95,820 $ 4,781 $ 52,706 24,927 21,057 3,870 16,398 109,458 114,251 (4,793) 93,014 328,100 316,701 11,399 318,718 87,140 70,559 16,581 92,736 650,226 618,388 31,838 573,572 56,573 46,888 9,685 74,585 218,686 210,596 8,090 220,655 96,354 79,373 16,981 - 315,040 289,969 25,071 220,655 422,564 395,493 27,071 350,923 143,035 141,222 1,813 243,327 407,105 393,692 13,413 258,215 972,704 930,407 42,297 852,465 1,994,543 1,885,652 108,891 1,721,277 179,711 193,641 (13,930) 134,541 137,494 114,139 23,355 113,588 232,249 206,437 25,812 155,480 75,500 73,864 1,636 57,019 624,954 588,081 36,873 460,628 118 1999 Variance Favorable Description Budget Actual (Unfavorable) Public Safety: Police: Administration Patrol Investigations Community Policing Total Public Safety Public Works: Administration Engineering Roads and Streets Facilities Maintenance Parks Total Public Works Recreation and Culture: General Recreation Recreation Center Operations Special Events Administration Adult Programs Aquatics Child Care Fitness Front Desk Maintenance Youth Programs 206,365 253,136 (46,771) 965,383 913,273 52,110 21,738 13,773 7,965 70,831 74,498 (3,667) 1998 Actual 199,121 773,895 51,795 1,264,317 1,254,680 9,637 1,024,811 192,630 189,876 2,754 169,553 166,448 156,219 10,229 135,618 847,892 704,782 143,110 995,361 258,571 198,246 60,325 223,407 943,290 809,194 134,096 898,416 2,408,831 2,058,317 350,514 2,422,355 407,168 358,829 356,819 332,980 109,637 97,706 338,368 322,018 65,989 59,289 122,125 121,886 223,959 210,826 518,876 462,856 95,262 86,879 322,381 - 1,124,100 48,339 329,944 23,839 - 11,931 16,350 6,700 239 13,133 - 56,020 - 8,383 - Total Recreation and Culture 2,238,203 2,053,269 184,934 1,776,425 TOTAL OPERATING EXPENDITURES $ 8,530,848 $ 7,839,999 $ 690,849 $ 7,405,496 119 COUNTIES, CITIES, & TOWNS ANNUAL STATEMENT OF RECEIPTS & EXPENDITURES FOR ROADS, BRIDGES AND STREETS COUNTY/ CITY/ TOWN: AVON CALENDAR YEAR OF REPORT: 1999 (Please circle county, city, or town) (ROUND ALL AMOUNTS TO NEAREST DOLLAR) 1. SCHEDULE OF RECEIPTS FOR ROAD, BRIDGE AND STREET PURPOSES A. LOCAL SOURCES 1. Property Tax/Special Assessments 2. General Fund Appropriations Real Estate Xfer Tax 3. Other (specify) 4. Traffic Fines 5. Sales Tax C. STATE SOURCES - - 1. Highway Users Tax 144,503 1,464,221 2. Motor Vehicle Registration Fees 21 , 088 345.()3'7 3. Other (specify) TOTAL (C) STATE SOURCES 165,591 6a. From County (specify) g g , r,-74 D. FEDERAL SOURCES Rd & Bridge Funds b. City/Town (specify) 1. Forest Service 7. Bond Proceeds (net of issuance cost) 2. Mineral Leasing 8. Note Proceeds (net of issuance cost) 3. Payments in Lieu of Taxes 9. Specific Ownership Taxes 4. FEMA 5. HUD 6. Other (specify) TOTAL (A) LOCAL SOURCES 1 , 8 91, 9 3 2 TOTAL (D) FED. SOURCES B. PRIVATE CONTRIBUTIONS 2 00 , 000 E. TOTAL RECEIPTS (A+B+C+D) 2,257,523 F. UNSPENT BALANCES BEGINNING OF YEAR (must equal ending balance of previous year) G. TOTAL RECEIPTS AND BALANCES (E+F) 2,257,523 (Revised 02/00) 120 II. SCHEDULE OF EXPENDITURES FOR ROAD, BRIDGE AND STREET PURPOSES A. DIRECT HIGHWAY EXPENDITURES 1. Right-of-Way 2. Preliminary and Construction Engineering A. Construction - Capacity Improvements B. Construction - System Preservation C. Construction - Safety Improvements 3. Total Construction 4. Maintenance of Condition 5. Snow and Ice Removal 6. Traffic Services 7. Administration 8. Traffic Enforcement TOTAL (A) DIRECT HIGHWAY EXPENDITURES B. DEBT PAYMENTS ON BONDS AND NOTES 1. Interest on Bonds 2. Interest on Notes 3. Redemption on Bonds (net value) 4. Redemption on Notes (net value) TOTAL (B) DEBT PAYMENTS C. PAYMENTS TO OTHER GOVERNMENTS la. To County (specify) b. To City (specify) 2. To Dept. of Trans. TOTAL (C) PAYMENTS TO OTHER GOVERNMENTS D. OTHER HIGHWAY PURPOSES (specify) E. TOTAL EXPENDITURES (A+B+C+D) 159,925 244,765 BQs.Q0A 337.576 19.251 47,469 136,990 2,257,523 F. BALANCES END OF YEAR -- (unspent receipts) G. TOTAL EXPENDITURES AND BALANCES (E+F) 2,257,523 (Revised 02/00) 121 III. SCHEDULE OF CHANGE IN DEBT STATUS FOR ROAD, BRIDGE AND STREET OBLIGATIONS (show all entries at par value; face amount of issue) BONDS * * A. BONDS & NOTES OUTSTANDING BEGINNING OF YEAR 5,092,393 B. AMOUNT ISSUED DURING YEAR (par value) Original issues this year Refunding issues C. AMOUNT REDEEMED DURING YEAR (par value) From current receipts or reserves From refunding issues NOTES D. BONDS AND NOTES OUTSTANDING END OF YEAR 4,969,969 -- ** Balance beginning of year 1999 changed from balance end of year 1998 because redemption on bonds for 1998 totalling $102,863,was not included. 1998 end of year balance 5,195,256 1998 redeemed during year (102,863) 1999 beginning of year balance 5,092,393 NOTE: *** TOTAL RECEIPTS & BALANCES MUST EQUAL TOTAL EXPENDITURES & BALANCES *** PLEASE GIVE THE FOLLOWING INFORMATION FOR THE PERSON TO CONTACT FOR QUESTIONS REGARDING THE REPORT. NAME: Larry Brooks/Valerie McCoy PHONE: 970-748-4000 FAX: 970-949-91 49 E-MAIL: lbrooks@ayon. o_ro vm ny avon. org Revised (02/00) 122 STATISTICAL SECTION TOWN OF AVON, COLORADO GENERAL GOVERNMENTAL EXPENDITURES BY FUNCTION (1) TABLE 1 LAST TEN CALENDAR YEARS (Unaudited) General Community Public Public (2) Recreation Capital Debt Year Government Development Safety Works Transit and Culture Improvements Service Total 1990 $ 908,113 $ 211,746 $ 914,408 $ 453,565 $ 1991 926,373 255,234 1,045,692 568,702 1992 962,717 262,367 1,274,405 704,623 1993 1,002,931 289,179 1,390,116 806,947 1994 1,148,731 294,010 1,457,633 787,887 1995 1,072,021 310,106 2,072,188 1,448,486 1996 1,179,939 391,454 2,198,046 1,753,771 1997 1,392,244 433,381 2,206,089 1,655,115 1998 1,721,277 460,628 2,753,841 2,467,761 1999 1,911,025 588,081 3,245,157 2,199,747 756,971 2,038,932 2,249,310 2,471,347 2,581,394 2,985,865 3,408,694 3,325,255 $ 333,519 $ 4,068,388 369,845 6,929,228 497,859 2,816,892 561,296 1,257,748 639,280 6,047,932 685,184 5,696,204 1,528,249 906,928 1,601,614 5,192,614 1,776,425 6,705,346 2,053,269 5,686,282 $ 991,883 $ 8,638,593 1,044,527 13,178,533 2,318,607 11,086,780 712,107 8,491,671 1,026,451 13,983,318 1,287,308 15,557,362 1,462,938 12,830,019 1,585,281 17,391,593 2,800,696 18,685,974 2,771,461 18,455,022 Source: Town of Avon Finance Department (1) Includes general, special revenue, debt service and capital projects funds. (2) In 1998 the Town's transit operations were transferred to an enterprise fund. GENERAL GOVERNMENTAL EXPENDITURES $20,000,000 - $18,000,000 - . h '- _: -r fry $16,000,000 $14,000,000 - $12,000,000 A q V AN? $10,000,000 sS fi f -- - - 4' r - - $8,000,000 ?i: $6,000,000 11 ...,yet.. - 4,4- 2 $4,000,000 - r 000 000 $2 ` , , 1 990 1991 1992 1993 1994 1 995 1996 1 997 1998 1999 Year 123 TOWN OF AVON, COLORADO GENERAL GOVERNMENTAL REVENUES BY SOURCE (1) TABLE 2 LAST TEN CALENDAR YEARS (Unaudited) (2) Licenses and Inter- Charges for Fines and Special Investment Year Taxes Permits Governmental Services Forfeitures Assessments Earnings Miscellaneous Total 1990 $ 3,625,031 $ 54,133 $ 751,064 $ 727,523 $ 31,334 $ 361,557 $ 205,938 $ 49,099 $ 5,805,679 1991 3,702,255 72,883 4,075,863 2,204,444 24,731 529,988 195,620 55,839 10,861,623 1992 4,217,852 92,946 1,051,014 2,497,635 25,238 204,597 129,376 1,470,319 9,688,977 1993 5,450,690 117,904 916,477 2,910,610 29,372 131,632 80,565 111,485 9,748,735 1994 5,818,806 206,043 2,256,523 3,059,627 47,256 127,822 249,033 32,965 11,798,075 1995 6,087,785 205,057 1,257,744 3,356,717 37,915 111,166 337,932 393,364 11,787,680 1996 6,747,636 277,132 1,400,828 4,279,505 50,424 96,780 300,518 591,948 13,744,771 1997 7,919,260 296,166 2,793,719 3,964,656 45,538 105,586 489,721 502,897 16,117,543 1998 9,156,013 312,278 2,489,874 1,283,954 51,376 80,401 582,856 443,234 14,399,986 1999 9,758,234 278,903 2,182,382 1,542,241 51,252 68,528 620,587 491,343 14,993,470 Source: Town of Avon Finance Department (1) Includes general, special revenue, debt service and capital projects funds. (2) In 1998 the Town's transit operations were transferred to an enterprise fund. GENERAL GOVERNMENTAL REVENUES I i $18,000,000 $16,000,000 - ' _- '? -- - - -- - - $14,000,000 J $12,000,000 $10,000,000 . r m , *' - - $8,000,000 ' ? $6,000,000 r. r , r s _ $4,000,000 ' i $2,000 000 , 1990 1991 1992 1993 1994 1995 1996 1 997 1998 1999 Year L I 124 TOWN OF AVON, COLORADO GENERAL GOVERNMENTAL TAX REVENUES BY SOURCE (1) LAST TEN CALENDAR YEARS (Unaudited) TABLE 3 Property Tax (3) Specific Penalties & Delinquent Sales Utility Franchise Accommodations Real Estate Year General Ownership Interest (2) Taxes Tax Tax Tax Tax Transfer Tax Total 1990 $ 803,843 $ 42,578 $ - $ - $ 1,929,257 $ 32,821 $ 93,322 $ 209,161 $ 514,049 $ 3,625,031 1991 800,470 45,782 - 2,638 2,102,864 35,028 121,036 214,199 380,238 3,702,255 1992 923,276 49,160 - 46,229 2,448,196 35,771 113,949 212,231 389,040 4,217,852 1993 939,245 53,759 - 85,680 2,829,634 38,097 125,629 238,190 1,140,456 5,450,690 1994 970,646 61,384 5,800 16,154 3,113,993 44,802 137,756 241,396 1,226,875 5,818,806 1995 1,084,898 73,579 2,252 (113) 3,449,100 51,625 152,132 262,869 1,011,443 6,087,785 1996 1,321,177 90,095 5,231 433 3,860,415 57,440 170,416 279,316 963,113 6,747,636 1997 1,543,871 119,889 4,955 1,439 4,165,005 60,620 181,095 298,679 1,543,707 7,919,260 1998 2,372,329 184,245 6,756 6,901 4,384,054 63,698 187,360 - 1,950,670 9,156,013 1999 2,489,424 193,240 6,792 5,973 4,547,472 65,164 196,796 - 2,253,373 9,758,234 Source: Town of Avon Finance Department (1) Includes general, special revenue, debt service and capital projects funds. (2) Penalties and interest prior to 1994 are reported under investment earnings. (3) In 1998 the Town's accommodations taxes were accounted for in the Transit Enterprise fund. F GENERAL GOVERNMENTAL TAX REVENUES $10,000,000 - $9,000,000 $8,000,000 % $7,000,000 $6,000,000 , t 1 $5,000,000 $4,000,000 ?7 $3,000,000 $2,000,000 r - ? ---- --- ??? - $1,000,000 ?,. 1 990 1991 1992 1993 1994 1995 1996 1997 1998 1 999 Year 125 TOWN OF AVON, COLORADO PROPERTY TAX LEVIES AND COLLECTIONS TABLE 4 LAST TEN CALENDAR YEARS (Unaudited) Ratio of Current Percent of Delinquent Total Total Tax Tax Collection Total Tax Current Taxes Tax Tax Collections to Year Year Tax Levy (1) Collections Collected Collections (2) Collections Total Tax Levy 1988 1989 $ 644,988 $ 625,546 96.99% $ 20,930 $ 646,476 100.23% 1989 1990 879,653 803,843 91.38% - 803,843 91.38% 1990 1991 911,696 800,470 87.80% 2,638 803,108 88.09% 1991 1992 971,178 923,276 95.07% 46,229 969,505 99.83% 1992 1993 972,332 939,245 96.60% 85,680 1,024,925 105.41% 1993 1994 977,360 970,646 99.31% 16,154 986,800 100.97% 1994 1995 1,094,304 1,084,898 99.14% (113) 1,084,785 99.13% 1995 1996 1,339,666 1,321,177 98.62% 433 1,321,610 98.65% 1996 1997 1,547,017 1,543,871 99.80% 1,439 1,545,310 99.89% 1997 1998 2,376,823 2,372,329 99.81% 6,901 2,379,230 100.10% 1998 1999 2,500,503 2,489,424 99.56% 5,973 2,495,397 99.80% Source: Town of Avon Finance Department (1) Taxes are due and payable on January 1 based on the prior year's assessed valuation. (2) Information on outstanding delinquent taxes is not available. 126 TOWN OF AVON, COLORADO ASSESSED AND ESTIMATED ACTUAL TABLE 5 VALUE OF TAXABLE PROPERTY LAST TEN CALENDAR YEARS (Unaudited) Ratio of Total Estimated Assessed Value Tax Collection Assessed Actual to Total Estimated Year Year Value Value Actual Value 1989 1990 $ 35,344,450 $ 171,840,268 20.57% 1990 1991 35,651,990 173,335,489 20.57% 1991 1992 37,975,720 175,761,444 21.61% 1992 1993 38,021,820 176,451,399 21.55% 1993 1994 38,208,880 197,749,453 19.32% 1994 1995 46,757,650 231,628,130 20.19% 1995 1996 65,703,510 330,859,124 19.86% 1996 1997 67,896,320 347,593,160 19.53% 1997 1998 95,534,550 532,846,859 17.93% 1998 1999 99,747,220 566,711,185 17.60% Source: Town of Avon Finance Department 127 TOWN OF AVON, COLORADO PROPERTY TAX RATES TABLE 6 ALL DIRECT AND OVERLAPPING GOVERNMENTS LAST TEN CALENDAR YEARS (Unaudited) Eagle Upper Eagle Eagle Eagle County Valley Upper Eagle Colorado County Avon County Colorado School Consolidated Valley River Water Health Tax Collection Town of Metro. Eagle Library Mountain District Sanitation Sanitation Conservancy Service Year Year Avon District County District College RE-50J District District District District Total 1989 1990 24.106 11.382 9.559 1.500 4.913 29.327 0.709 2.161 0.449 1.365 85.471 1990 1991 25.352 12.030 10.414 0.000 4.808 29.306 0.744 2.514 0.429 1.421 87.018 1991 1992 25.573 12.040 10.048 0.000 3.997 28.306 0.704 2.622 0.394 1.315 84.999 1992 1993 25.573 12.040 10.026 2.750 3.997 28.306 0.704 2.622 0.394 1.375 87.787 1993 1994 25.573 14.040 10.018 2.750 3.997 28.306 0.704 2.622 0.394 1.169 89.573 1994 1995 23.551 12.040 9.981 2.750 3.997 29.572 0.563 2.622 0.394 1.171 86.641 1995 1996 20.279 10.055 8.937 2.750 3.997 26.018 0.513 1.256 0.383 1.086 75.274 1996 1997 22.785 8.706 8.937 2.750 3.785 26.227 0.513 1.080 0.343 1.070 76.196 1997 1998 19.568 5.855 7.463 2.750 3.944 22.408 0.436 0.809 0.307 0.926 64.466 1998 1999 19.372 5.876 7.463 2.750 3.539 25.641 0.434 0.894 0.309 0.932 67.210 Source: Eagle County Assessor's Abstract of Assessment Note: Property tax rates are stated in mills per $1,000 of assessed valuation. 128 TOWN OF AVON, COLORADO SPECIAL ASSESSMENT BILLINGS AND COLLECTIONS TABLE 7 LAST TEN CALENDAR YEARS (Unaudited) 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 Total Assessments Due N/A 131,907 130,740 111,635 102,098 92,834 98,211 78,353 61,945 60,507 New $ 1,285,000 Assessments Collected Principal Interest Total $ 354,756 $ 6,801 $ 361,557 379,945 150,043 529,988 124,422 80,175 204,597 66,110 65,522 131,632 68,093 59,729 127,822 60,411 50,755 111,166 51,848 44,720 96,568 66,133 39,453 105,586 47,900 32,501 80,401 42,186 26,342 68,528 Total Outstanding Assessments Source: Town of Avon Finance Department $ 1,112,431 732,486 608,064 541,954 473,861 413,450 361,602 295,469 247,569 205,282 129 TOWN OF AVON, COLORADO RATIO OF NET GENERAL OBLIGATION BONDED DEBT TABLE 8 TO ASSESSED VALUE AND NET GENERAL OBLIGATION BONDED DEBT PER CAPITA LAST TEN CALENDAR YEARS (Unaudited) Ratio of (2) (3) Net Bonded (1) Gross Less: Net Debt to Net Bonded Assessed Bonded Debt Service Bonded Assessed Debt per Year Population Value Debt Fund Debt Value Capita 1990 1,798 $ 4,935,000 $ 4,377 $ 4,930,623 13.95% $ 2,742 1991 1,858 35,651,990 5,427,561 - 5,427,561 15.22% 2,921 1992 2,233 37,975,720 5,280,847 10,052 5,270,795 13.88% 2,360 1993 2,363 38,021,820 5,123,663 33,025 5,090,638 13.39% 2,154 1994 2,430 38,208,880 4,955,546 29,478 4,926,068 12.89% 2,027 1995 2,489 46,757,650 4,774,517 - 4,774,517 10.21% 1,918 1996 2,616 65,703,510 4,945,000 15,836 4,929,164 7.50% 1,884 1997 2,706 67,896,320 8,055,000 46,734 8,008,266 11.79% 2,959 1998 2,787 95,534,550 7,765,000 123,762 7,641,238 8.00% 2,742 1999 2,921 99,747,220 7,425,000 147,501 7,277,499 7.30% 2,491 Sources: State of Colorado, Division of Local Government, Eagle County Assessor Abstract of Assessment, Town of Avon Finance Department (1) From Table 5 (2) Amount does not include special assessment and revenue bonds. (3) Amount available for repayment of general obligation bonds. 130 TOWN OF AVON, COLORADO COMPUTATION OF LEGAL DEBT MARGIN DECEMBER 31,1999 TABLE 9 (Unaudited) Assessed Valuation - 1999 Legal Debt Margin: Debt Limitations - 25% of Assessed Valuation or $15,000,000, whichever is greater. (1) Debt Applicable to Limitation: Total Bonded Debt Less: Sales Tax Revenue Bonds Certificates of Participation Special Assessment Bonds Total Debt Applicable to Limitation Legal Debt Margin (1) Town of Avon Charter, Chapter XIV, Section 14.7 $ 99,747,220 24,936,805 $ 19,770,000 (5,190,000) (6,855,000) (300,000) 7,425,000 $, 17,511,805 131 TOWN OF AVON, COLORADO COMPUTATION OF DIRECT AND OVERLAPPING BONDED DEBT GENERAL OBLIGATION BONDS DECEMBER 31,1999 (Unaudited) TABLE 10 Net General Percentage Amount Obligation Applicable Applicable Bonded Debt to Town to Town Name of Governmental Entity Outstanding of Avon of Avon Direct: Town of Avon $ 7,425,000 100.00% $ 7,425,000 Overlapping: Avon Metropolitan District 3,935,000 100.00% 3,935,000 Eagle County 4,380,000 6.71% 293,898 Eagle County Health Service District 115,000 7.90% 9,085 Eagle County School District RE-50J 66,495,000 7.23% 4,807,589 Eagle-Vail Metropolitan District 5,435,000 12.90% 701,115 Eagle Valley Library District 5,080,000 12.43% 631,444 Upper Eagle Regional Water Authority 7,325,000 20.66% 1,513,345 Eagle River Water and Sanitation District 17,693,246 8.59% 1,519,850 Total $ 117,883,246 $ 20,836,325 Source: Various Governmental Entities, Eagle County Assessor 132 TOWN OF AVON, COLORADO RATIO OF ANNUAL DEBT SERVICE EXPENDITURES TABLE 11 FOR GENERAL OBLIGATION BONDED DEBT TO TOTAL GENERAL GOVERNMENTAL EXPENDITURES LAST TEN CALENDAR YEARS (Unaudited) Total Ratio of General Debt Service to Debt Service Requirements Governmental General Governmental Year Principal Interest Total Expenditures Expenditures 1990 $ 65,000 $ 284,716 $ 349,716 $ 8,638,593 4.05% 1991 185,000 381,393 566,393 13,178,533 4.30% 1992 185,000 377,018 562,018 11,086,780 5.07% 1993 190,000 372,555 562,555 8,491,671 6.62% 1994 255,000 456,638 711,638 13,983,318 5.09% 1995 200,000 361,987 561,987 15,557,362 3.61% 1996 430,000 135,429 565,429 12,830,019 4.41% 1997 365,000 388,822 753,822 17,391,593 4.33% 1998 355,000 404,471 759,471 18,685,974 4.06% 1999 365,000 392,581 757,581 18,455,022 4.11% Source: Town of Avon Finance Department Taxes are due and payable on January 1 based on the prior year's assessed valuation. 133 TOWN OF AVON, COLORADO DEMOGRAPHIC STATISTICS LAST TEN CALENDAR YEARS (Unaudited) TABLE 12 Eagle County Town of Eagle County Eagle County RE-50J Avon Per Capita Median School Year Population Income (1) Age Enrollment 1990 1,798 $ 21,996 30.49 2,701 1991 1,858 22,372 31.26 2,897 1992 2,233 25,096 32.01 3,093 1993 2,363 26,813 32.74 3,278 1994 2,430 27,788 33.59 3,563 1995 2,489 28,571 34.41 3,893 1996 2,616 30,339 35.20 4,004 1997 2,706 31,890 32.91 4,226 1998 2,787 N/A 34.00 4,343 1999 2,921 N/A N/A 4,539 Denver/Boulder Eagle County Consumer Unemployment 120.9 4.40% 125.6 5.30% 130.3 6.90% 135.8 5.60% 141.8 4.40% 147.9 4.90% 153.1 3.10% 158.1 2.80% 161.9 2.10% 166.7 3.31% Sources: State of Colorado Division of Local Governments; Eagle County RE-50J School District, Eagle County (1) In current dollars 134 TOWN OF AVON, COLORADO COMMERCIAL AND RESIDENTIAL CONSTRUCTION TABLE 13 LAST TEN CALENDAR YEARS (Unaudited) Commercial Construction Square Year Footage Value 1990 15,000 N/A 1991 - $ - 1992 5,400 N/A 1993 79,045 N/A 1994 188,818 13,297,000 1995 34,094 12,131,025 1996 252,640 7,760,603 1997 160,150 13,730,280 1998 29,594 5,862,230 1999 3,755 6,096,164 Residential Construction No. of Units Value 38 N/A $ 5,094,387 287 N/A 15,060,128 75 N/A 8,279,379 50 N/A 8,880,100 91 $ 28,388,093 41,685,093 49 23,026,171 35,157,196 77 19,589,836 27,350,439 89 20,255,146 33,985,426 97 25,806,307 31,668,537 64 20,210,602 26,698,802 Total Building Construction Value Sources: Town of Avon Community Development Department; Local Financial Institutions New Commercial and Residential Construction 40,000,000 35,000,000 30,000,000 25,000,000 - 1 20,000,000 ; -- 15,000,000 10,000,000 5,000,000 ggawyy! _ c- 1995 1996 1997 1998 1999 Year ® Commercial Construction ¦ Residential Construction 135 TOWN OF AVON, COLORADO PRINCIPAL TAXPAYERS TABLE 14 DECEMBER 31,1999 (Unaudited) 1999 Percentage of Assessed Total Assessed Taxpayer Type of Business Valuation Valuation Chapel Square LLC Property Management $ 5,053,120 4.40% Avon Partners H, LLC Property Management 3,458,290 3.01% Avon Wynfield LLC Hotel 2,054,810 1.79% Vail Corp dba Vail Associates Inc. Mountain Resort Operator 2,015,680 1.76% Riverview Park Associates Inc Property Management 1,942,150 1.69% Mountain Star, LLC Real Estate Developer 1,926,460 .1.68% Vail Associates Inc. Mountain Resort Operator 1,728,720 1.51% Dillon Real Estate Co., Inc. Property Management 1,342,370 1.17% Tanavon Corporation Property Management 1,132,100 0.99% Avon Commercial Center, LTD Property Management 1,129,650 0.98% Total Assessed Value of Ten Largest Taxpayers 21,783,350 18.97% Total Assessed Value of Other Taxpayers 93,028,570 81.03% Total Assessed Value of All Taxpayers $114,811,920 100.00% Source: Eagle County Assessor 136 TOWN OF AVON, COLORADO MISCELLANEOUS STATISTICS TABLE 15 DECEMBER 31,1999 (Unaudited) Date of Incorporation August 14, 1978 Form of Government Council/Manager Area in Square Miles 8.25 Number of Employees: Full-time 115 Part-time, Temporary, Seasonal (Full-time Equivalents) 146 Town of Avon Facilities and Services: Miles of Streets 15.62 Number of Street Lights 156.00 Culture and Recreation: Parks 2 Park Acreage 668 Tennis Courts 2 Volleyball Courts 3 Recreation Centers 1 Basketball Courts 2 Softball Fields 1 Lakes 1 Police Protection: Number of Stations I Number of Police Personnel and Officers 17.00 Number of Patrol Units 13 Number of Law Violations: General Ordinance Violations 230 Traffic Violations 348 Parking Violations 678 Fire Protection: Number of Stations 5 Number of Fire Personnel and Officers 17 Number of Calls Answered 2,111 Number of Inspections Conducted - New 606 Number of Inspections Conducted - Existing 72 Public Education Contacts 78 Facilities and Services Not Included in the Reporting Entity: Libraries: Number of Libraries I Number of Volumes 38,000 Water System: Miles of Water Mains 15.68 Number of Service Connections 2,489 Daily Average Consumption in Gallons 582,000 Maximum Daily Capacity of Plant in Gallons 10MGD Sanitary Sewer System: Miles of Sanitary Sewers 27.56 Number of Treatment Plants I Number of Service Connections 2,473 Maximum Daily Capacity of Treatment Plant in Gallons 4.3MGD Education: Number of Elementary Schools 1 Number of Elementary School Instructors 30 137 • Avon Recreation Department Memo June 12, 2000 To: Meryl V From: Sarah( V`"''11 RE: Quickbeam Systems, Inc. Contract U N Summary Attached is the contract from Quickbeam for sound, light and stage services for 5alute to the 1-15A, the 5ummer Concert Series and Bob5ummerFe5t. Quickbeam has been our sound, light and stage provider for over 5-year5. We have been very happy with their work. Recommendation I recommend that Council approve and sign the attached contract for $23,670.00. We have been very satisfied with Quickbeam's past services. L 11 QSI TECHNICAL SERVICES CONTRACTADDENDUM- TOWN OFA VON 2000 OUICKBEAM QSYSTEMS, INC.. TECHNICAL ooraSERVICES sound ONTatRon C Quickbeam d/ or lighting services for the Purchaser agree to the following terms: 1. Location of engagement: Nottingham Park, Avon, CO _ 1 Identity of performer or groups: Salute to the USA, Bobsummerfest, T-Bird arts festival, High Country Tri-athalon _ 3. Name and phone number of representative of Purchaser who will be available to coordinate activities with Quickbeam: name: Sara Stoutenburgh Lai phone#! 970-7284032 4. Date and time of load in: 7/3,4&5,7/29,8/12 , 9/10/00 Show times Begin: as per schedule End: as Der schedule 5. Type of engagement: stage, roof, sound & lights 6. Quickbeam will furnish and operate the following equipment: (a) monitor system, size 32 x 2& 40 x 8 house system, size 32 x 4 x 2& 40 x 8 x 2 (b) speaker coverage for an audience of 2500 to 10,000 people, for an outdoor Derformance. (c) lighting instruments: 12 - 48 lighting dimmers: 12 Control board : 12 _ (d) Number of Quickbeam technicians: Salute to USA 7/4 T-bird Arts Fest. 7/29/00 -Bobsummerfest 8/12/00 Tri-athalon 9/10/00 7. Terms of payment for services by Quickbeam: please initial each paragraph to acknowledge agreement: _(a) Total payment to Quickbeam shall be in the amount of $ 23,670.00 S 750.00 ADDITIONAL CHARGE IF JULY 5TH RAIN DATE IS USED _(b) 33% of the total payment amount ( $7,890.00) shall be made payable in advance in the form of check. If advance payment is not received by 6/15/00 equipment may not be available for the above listed engagement. _(c) If purchaser notifies Quickbeam of cancellation thirty (30) days prior to the engagement, employer shall have the options: credit the advance against fees for future engagements, or receiving a refund of 85% of the advance payment. _(d) If the engagement is canceled for any reason by the purchaser within thirty (30) days of the of the engagement, the advanced payment will not be refunded of credited. _(e) The balance will be paid to Quickbeam in 2 additional 33% payments due on 7/4/00, and 8/12/00 This provision is the essence of this contract, and default by the purchaser will excuse Quickbeam from any further obligations, including providing equipment at the above listed engagement. _(f) If the engagement is canceled or cannot occur for any reason other than default by Quickbeam, including but not limited to artist failure to appear, wind, rain, snow, lightening, or any other natural cause, at any time after Quickbeam equipment trucks have begun to travel enroute to the engagement, Quickbeam shall be entitled to the full amount of the contract price as payment for its services. 8. The purchaser shall provide for the engagement: _(a) Purchaser agrees to provide 1 competent forklift operator to assist with set-up, and removal of Quickbeam equipment from the concert area. Personnel will be available at scheduled set up times and immediately after the performance. Quickbeam reserves the right to dismiss non qualified personnel at any given time, at which time the purchaser is responsible for replacing dismissed personnel. _(c) Purchaser agrees to provide adequate parking space adjacent to the venue for all Quickbeam vehicles. _(d) One licensed and qualified electrician, ready to work within 30 minutes after the load in of the show and immediately after the performance. _(e) Electrical services of (I ) 100 amps, 3 phase, 110 volts, (2) 200 amps, 3 phase, 110 volts, to be located with in 100 feet of the stage. _(f) Complete meals for Quickbeam personnel at the following times: lunch and dinner on event days only and soft drinks, and water available throughout the day for the duration of QSI services to the purchaser. _(g) One guest pass for each member of the Quickbeam crew. 9. stage size: 24' x 24' & 24' x 32' all 40" in height sound wing size: scaffold wings 13. Additional terms and conditions: Sound and lighting orders, labor schedules and accommodation needs as listed in the QSI proposal and attatched herin are made a part of this agreement. Paragraphs 10,11 and 11 listed on page 2 are made a part of this agreement. THIS CONTRACT MAY BE AMENDED ONLY ON THE MUTUAL AGREEMENT OF BOTH PARTIES BY SIGNING A WRITTEN MEMORANDUM DEFINING THE TERMS OF THE AMENDMENT. THE UNDERSIGNED SIGNATURE WARRANTS QUALIFICATION AND AUTHORITY TO EXECUTE THIS CONTRACT AND THAT THEY HAVE READ ANDUNDERSTAND THE TERMS OF THIS CONTRACT. QUICKBEAM SYSTEMS INC TOWN OF AVON 3716 HIGH ST. NE PO BOX 975 - 400 BENCHMARK RD ALBUQUERQUE, NM 87107 AVON, CO 81620 (505) 255-7647 970-9494280 X: X: QUICKBEAM SYSTEMS CONTACT NAME: GARY MATHEWS SIGNATURE: JUDY YODER, MAYOR 11 QS1 TECHNICAL SERVICES CONTRACT ADDENDUM- TOWN OF AVON 2000 CONTRACT ADDENDUM -- TOWN OF AVON & QUICKBEAM SYSTEMS INC. Initials 10. The purchaser assumes full liability for any injuries to any Quickbeam personnel due to the actions of patrons or personnel of the purchaser for the duration of the time that Quickbeam staff are on site, subject to the Colorado Governmental Immunity Act. 11. Subject to the Colorado Governmental Immunity Act, purchaser agrees to assume full liability for damage or loss of equipment rising from events within the purchaser's control. 12. Town is granted the option to renew this contract; for 2000, including Salute to the USA (13,170.00), Two concert in the park events (7000.00), Bobsummerfest (3500) at a rate of $ 23,670.00; for 2001 at a rate of $ 24,380.00. 0 E QSI TECHNICAL SERVICES CONTRACTADDENDUM- TOWN OFA VON 2000 SALUTE TO THE USA 0 QVICKBEAM SYSTEMS INC. PROPOSES THE FOLLOWING EQUIPMENT AND STAFF FOR HIRE TO THE TOWN OF AVON, COLORADO FOR THE 2000 SALUTE TO THE USA EVENT, JULY3 & 4, 2000. EQUIPMENT 6 APOGEE 3x3 with processors and amps -- main stage 8 APOGEE AE-12 DOUBLE 18" subwoofer cabinets -- main stage 3 10' Towers with (2) APOGEE 3X3 with amps -- delay one: midfield 3 10' Towers with (2) APOGEE 3X3 south & (3) APOGEE 3X3 with amps -- delay two: 1 10' Tower with (2) APOGEE 3X3 with amps-- delay three: northeast lake 2 10' Tower with (3) P.A.S. RS 2.2 with amps -- delay four: north lake 1 40 channel house board with drive and effects rack 1 small delay adjusted sound system for VIP area 1 40 channel stage monitor system with 8 mixes of amps/EQs and 10 wedges 1 Microphone and stage package 36 1000w stage lighting system with dimmers and control board 1 32' x 34' stage cover with 4 genie towers 21 sections of STAGING CONCEPTS stage -- 44" high 2 Sound console covers 10 5' x 7' x 10' high scaffold towers with leveling jacks (2 main stage, 3 field delay, 3 west delay, 1 northeast lake delay, 2 north lake delay) Sound technicians lights, roof and stage technician driver r- QSI TECHNICAL SERVICES CONTRACT ADDENDUM - TOWN OF A VON 2000 SALUTE TO THE USA 7/3,4,5/00 PERSONNEL SCHEDULE (NOTE: ITALIC INDICATES THAT QUICKBEAM PROVIDES, BOLD INDICATES THAT TOWN OF AVON PROVIDES) 7/3/00 -STAGE, ROOF AND SCAFFOLD INSTALLATION EQUIPMENT UNLOAD 9:00am - 1:00pm: 10 people EQUIPMENT SET UP - STACK FIELD SPEAKERS 2:00pm - 5:00pm: 4 people 1 forklift operator 1 forklift 1 service vehicle driver I service vehicle I Electrician to tie in (2) services -- about I hour of work 7/4/00 - SOUND, LIGHTING, DELAYS INSTALLATION BAND SET UP/CHECK 10:00am - 2:00pm: 4 people 1 forklift operator 1 forklift 1 service vehicle driver 1 service vehicle 0 STRIKE SOUND, LIGHTS, SCAFFOLD STAGE AND ROOF 9:30pm - 1:30am: SECURITY 7/3-7/4/00 16 people 1 forklift operator l forklift 1 service vehicle driver 1 service vehicle i electrician for disconnection (could be done on July 5th, or 6" if rain date is used) Overnight security from stage load in to end of load out 0 QSI TECHNICAL SERVICES CONTRACTADDENDUM- TOWN OFA VON 2000 SALUTE TO THE USA CONT'D SECTION TWO: POWER REQUIREMENTS MAIN STAGE: 1. Lights: 100 amps, 3 phase 2. Sound: 100 amps, single phase DELAY SPEAKER SYSTEMS 1. West Park delays -- pump housing: 50 amps, single phase 2. Northeast lake delay : 2 X 20 amps, 110v (two, 2000 watt generators) 3. North lake delay : 2 x 20 amps, 110 v (two, 2000 watt generators TIMES 7/3/00 - 9:00pm - 1:00pm Equipment unload, Stage, roof, scaffold set up 7/3/00 - 2:00pm - 5:00pm Equipment set up, speakers placed 7/4/00 - 9:00am - 1:00pm Sound and light set up, system check 2:00 pm - 4:00pm Sound check 5:00 pm - 9:30pm event 10:00pm - 2:00am strike HOUSING NEEDS Accommodations are to be provided by purchaser for 6 people for July 2, 3 and 4. Add July 5 if used as a rain date. This will be (2) triples. MEALS On event day (7/4/00) a lunch meal (box lunch is OK) and dinner meal will need to be provided to the crew of 6. Water and other liquids are needed at the stage for all times worked on July 3 and 4. The 20 amp, 11 Ov power requirement may be best met with the use of a small and quiet 20 amp generator. These generators are not included with this proposal. The generators and refueling is to be provided by the town of Avon. U QSI TECHNICAL SERVICES CONTRACT ADDEND UM - TOWN OF A VON 2000 CONCERTS IN THE PARK - JULY 29, AUGUST 12, SEPTEMBER 10, 2000 QUICKBEAM SYSTEMS INC. PROVIDES THE FOLLOWING EQUIPMENT AND STAFF TO THE TOWN OF A VON, COLORADO FOR THE 2000 CONCERTS IN THE PARK SERIES, AND BOBSUMMERFEST EQUIPMENT 6 APOGEE 30 with processors and amps 4 APOGEE AE-12 DOUBLE 18" subwoofer cabinets 1 40 channel house board with drive and effects rack 1 40 channel stage monitor system with 8 mixes of amps/EQs and 12 wedges 1 Microphone and stage package 12 1000w stage lighting system with cable, distribution panel, etc. 1 24' x 24' stage with 20' x 20' tent canopy 18 sections of STAGING CONCEPTS stage -- 44" high 2 sound wings 2 Sound technicians 1 lighting, roof and stage technician PERSONNEL SCHEDULE (NOTE: ITALIC INDICATES THAT QUICKBEAM PROVIDES, BOLD INDICATES THAT TOWN OF AVON PROVIDES) STAGE AND ROOF SET UP 7/29/00 - @ Chapel Square:7:00 AM - 9:OOAM: 8/12/00 - @ Park : I O:00AM - 12:OOPM 9/10/00- @ Park : 9:00 AM - 11:OOPM ® 6 people SOUND AND LIGHTS SET UP 7/29/00 - @ Chapel Square:9:00PM - 12:OOPM 8/12/00 - @ Park : 1:00PM - 4:OOPM 9/10/00 - @ Park :12:OOPM - 3:OOPM 6 people STRIKE SOUND LIGHTS STAGE AND ROOF 7/29/00 - @ Chapel Square:7:00PM - 10:00 PM 8/12/00 - @ Park : 9:30PM - 12:OOAM 9/10/00 - @ Park : 6:OOPM - 9:OOPM 6 people Forklift and operator is helpful if available POWER REQUIREMENTS Lights: 100 amps, 3 phase, 11Ov Sound: 100 amps, 3 phase, I IOv ACCOMMODATIONS Accommodations are needed for 3 people on July 28, 29 , August 11,12 and September 9, 10 2000 This is (2) double rooms. MEALS A dinner meal will need to be provided to the crew of 3. Purchaser does not need to provide dinner if one full hour break after sound check and before the performance is given to the technicians. Water and other liquids are needed at the stage for all times worked from start of set up to completion of load out. Forklift and operator is helpful if available Memo To: Honorable Mayor and Town Council Thru: Bill Efting, Town Manager From: Norm Wood, Town Engineer Date: June 22, 2000 Re: Nottingham Road / Mountain Star Drive Roundabout Feasibility Study Summary: Leif Ourston, Ourston Roundabout Interchanges, has submitted the attached Proposal for design services for a Roundabout at Nottingham Road and Mountain Star Drive. The design services include a feasibility study and roundabout design for incorporation into the Nottingham Road Construction Plans. The feasibility study would utilize existing and projected traffic data establish the design criteria used in the roundabout design and construction plans. Total estimated cost for these services is $13,600.00, as follows: Task 1 - Feasibility Study $ 9,600.00 Task 2 - Design for Construction Plans 4,000.00 Total $13,600.00 Extra work, if required, including meetings in Avon would be provided at $ 180.00 per hour plus expenses. Based on Leifs previous experience with Avon Roundabouts and information available, no additional work or meetings are anticipated. The cost of these services is within the current Nottingham Road design budget. Approval of this Proposal from Ourston Roundabout Interchanges in the amount of $ 13,600.00 is recommended. Recommendations: Approve Proposal for Roundabout Feasibility Study, Nottingham Road and Mountain Star Drive as submitted by Ourston Roundabout Interchanges with an amount not to exceed $ 13,000.00. 0 Town Manager Comments: IAEngineering\CIP\Notlingham Md12.0 Contract Services\2.8 Othear\Meinoproposal.Doc obilr, ay. UUI'SLVII nUU11UaUUUL L11L, ODU JLJ'+ 4v4u, •)U1I-1ZY-UU 0.14FNI) retyc I 91 Ourston Roundabout Interchanges June 19, 2000 Norman Wood, P,E. Town Engineer Town of Avon 500 Swift Gulch Road Avon, CO 81620 Fax to: 970 748-1958 ROUNDABOUT FEASIBILITY STUDY: NOTTINGHAM ROAD AND MOUNTAIN STAR DRIVE I am pleased to present this proposal to study the feasibility of a modern roundabout at the intersection of Nottingham Road and Mountain Star Drive. I have reviewed your preliminary sketch layout and your projected peak-hour traffic flows. A modern roundabout at the intersection is possible. I have also studied the feasibility of converting the present raindrop-style roundabout at Nottingham Road and Avon Road into a full-circle roundabout. The raindrop-style roundabout can be easily converted to a full-circle roundabout by opening the tip of the raindrop and adding a yield line. SCOPE OF WORK The project will be divided into two stages, Feasibility Study and Designs for Contract Plans. Feasibility Study I will design the roundabout in CAD. The design will accurately lay out curblines, edges of pavement, and striping. 3 West Carrillo Street, Suite 208 805 564-2482 www.OURSTON.com Santa Barbara, CA 93101 Fax 564-2040 mail@OURSTON_com t -111 Uy. Vul OLUn nuUnUdUUUI lily Norman Wood, P.E. June 19, 2000 ® I will estimate the traffic performance of the roundabout using RODEL. Capacities, delays, and levels of service will be given for both peak hours. I will present the design, traffic analysis, and recommendations in a study report. The report will be completed within one month of receipt of information to be furnished by the Town of Avon. You will furnish: • A digitized topographic map of the study area. The map will locate important features, including curbs, stripes, buildings, walls, and underground utility vaults, if any. It will include contours. • Proposed road widening. • Lane lines, including striping for existing and proposed bike lanes, if any. Designs for Contract Plans When the project moves forward to preparation of construction documents, I ® will furnish the roundabout-specific design elements of the contract plans. ® These include: • Refinements to the horizontal layout developed in the feasibility study, including curblines, edges of pavement, and striping. • Design of special sign panels and location of all signs. • Location of clear-view areas to be preserved by your landscape architect. • Location of wheelchair ramps and median pedestrian refuges. I will furnish information on the design of street lighting. i will check your street lighting plans and vertical design, and I will review your contract plans. COST My standard fees are $12,500 per roundabout for a feasibility study and $4,000 per roundabout for review of the contract plans. Because of your experience with roundabouts, the study report can be less elaborate than usual, and the cost of the feasibility study will therefore be reduced to $9,600. LJ CUD DU4 4U4Uj JUII - I`J - UU 0.1orl ,' raye 410 2 bent by; uur51011 muulluaUUU C 111 l j OUD 004 eU4U j JU11- I W-UU o; 1 arm, raye a/ a Norman Wood, P.E. June 19, 2000 E Meetings are not planned at this time. If unforeseen meetings are required in the future, my standard rate of $180 per hour will apply to meetings and travel, and travel expenses will be reimbursed. Most of the travel expense would be the air fare, which varies according to my advance notice of the meeting date. There will not be a charge for any other type of expense, such as shipping and printing. The total cost is estimated at $13,600, as follows. Task 1--Feasibility Study 1 roundabout @ $9,600 $9,600 Task 2--Designs for Contract Plans 1 roundabout @ $4,000 4.000 TOTAL 113.,60Q 0 Extra work not included in the scope of work would be done at my standard rate of $180 per hour. If the base map or the projected design flows are changed after the roundabout design is begun, there will be a charge for extra work to revise the design. CONCLUSION It will be a pleasure to work with you again, this time on Avon's sixth roundabout. I very much enjoyed working with you on Avon's first five roundabouts. I look forward to see traffic flowing smoothly and safely on the four-lane section of Nottingham Road framed by a pair of modern roundabouts. Sincerely yours, Leif Ourston, P.E. C 3