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Home My WebLink AboutFY 2008 Comprehensive Annual Financial ReportDESCHUTES COUNTY, OREGON COMPREHENSIVE ANNUAL FINANCIAL REPORT For the Fiscal Year Ended June 30, 2008 DESCHUTES COUNTY, OREGON 1300 NW Wall Street, Suite 200 Bend, OR 97701 COMPREHENSIVE ANNUAL FINANCIAL REPORT For the Fiscal Year Ended June 30, 2008 Prepared by: Deschutes County Finance Department Marty Wynne Finance Director Jeanine Faria Accounting Manager DESCHUTES COUNTY, OREGON TABLE OF CONTENTS YEAR ENDED JUNE 30, 2008 INTRODUCTORY SECTION Page Letterof Transmittal.............................................................................................................................iii-viii List of Elected and Appointed Officials...................................................................................................... ix OrganizationalChart ................................................................................................................................ x GFOA Certification of Achievement..........................................................................................................A FINANCIAL SECTION INDEPENDENT AUDITORS' REPORT......................................................................................................3-4 MANAGEMENT'S DISCUSSION AND ANALYSIS................................................................................... 5-14 BASIC FINANCIAL STATEMENTS Government -Wide Financial Statements Statementof Net Assets.....................................................................................................................17 Statementof Activities........................................................................................................................19 Fund Financial Statements: Governmental Funds BalanceSheet.............................................................................................................................. 20-21 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Assets ................ 23 Statement of Revenues, Expenditures and Changes in Fund Balances ........................................ 24-25 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities........................................................................ 26 Fund Financial Statements: Proprietary Funds Statementof Net Assets..................................................................................................................... 27 Statement of Revenues, Expenses and Changes in Net Assets......................................................... 28 Statementof Cash Flows................................................................................................................... 29 Fund Financial Statements: Fiduciary Funds Statement of Fiduciary Assets and Liabilities —Agency Funds........................................................... 30 Notes to Financial Statements........................................................................................................... 31-56 Required Supplementary Information Schedule of Revenues, Expenditures and Changes in Fund Balance — Budget and Actual — Major Funds GeneralFund............................................................................................................................... 59-60 Deschutes County Sheriff's Office................................................................................................ 61-62 Countywide Law Enforcement District............................................................................................... 63 Rural Law Enforcement District......................................................................................................... 64 ProjectDevelopment......................................................................................................................... 65 RoadDepartment.............................................................................................................................. 66 PERSReserve.................................................................................................................................. 67 Other Supplementary Data Combining and Individual Fund Statements and Schedules Governmental Funds Nonmajor Governmental Funds DESCHUTES COUNTY, OREGON TABLE OF CONTENTS — CONTINUED YEAR ENDED JUNE 30, 2008 Page CombiningBalance Sheet................................................................................................................. 73 Combining Statement of Revenues, Expenditures and Changes in Fund Balances ........................... 74 Nonmajor Special Revenue Funds CombiningBalance Sheet............................................................................................................ 77-86 Combining Statement of Revenues, Expenditures and Changes in Fund Balances ...................... 87-99 Schedules of Revenues, Expenditures and Changes in Fund Balance — Budget and Actual — BusinessLoan Fund..................................................................................................................100 Community Development Block Grant........................................................................................101 CourtTechnology Reserve.........................................................................................................102 Assessment and Taxation Reserve.............................................................................................103 GrantProjects............................................................................................................................104 JusticeCourt ..............................................................................................................................105 LaPine Industrial........................................................................................................................ 106 BethlehemInn............................................................................................................................107 Park Acquisition and Development.............................................................................................108 . ParkDevelopment Fees.............................................................................................................109 MentalHealth..............................................................................................................................110 GeneralCounty Projects..............................................................................................................111 GeneralCapital Reserve.............................................................................................................112 CountySchool Fund....................................................................................................................113 SpecialTransportation Fund........................................................................................................114 TaylorGrazing.............................................................................................................................115 TransientRoom Tax.....................................................................................................................116 VideoLottery ...............................................................................................................................117 WelcomeCenter..........................................................................................................................118 Property Management Operations...............................................................................................119 ForeclosedLand Sales...............................................................................................................120 LiquorEnforcement....................................................................................................................121 Victims' Assistance.....................................................................................................................122 LawLibrary .................................................................................................................................123 CountyClerk Records................................................................................................................124 Commission on Children and Families.......................................................................................125 Community Justice — Juvenile....................................................................................................126 Sheriff's Asset Forfeiture.............................................................................................................127 CourtFacilities............................................................................................................................128 Deschutes County Communication System................................................................................129 Sheriff's Capital Reserve............................................................................................................130 Health.........................................................................................................................................131 HealthyStart ...............................................................................................................................132 Health Department Reserve....................................................................................................... 133 ABHA Accountable Behavioral Health Alliance...........................................................................134 AcuteCare Services................................................................................................................... 135 OHP— Chemical Dependency.................................................................................................... 136 CodeAbatement.........................................................................................................................137 CommunityDevelopment........................................................................................................... 138 DESCHUTES COUNTY, OREGON TABLE OF CONTENTS — CONTINUED YEAR ENDED JUNE 30, 2008 Page CDD Groundwater Partnership...................................................................................................139 NewberryNeighborhood.............................................................................................................140 Community Development Reserve.............................................................................................141 CDD Building Program Reserve.................................................................................................142 CDD Electrical Program Reserve...............................................................................................143 CDD Building Improvement Reserve..........................................................................................144 GISDedicated Fund...................................................................................................................145 Natural Resource Protection....................................................................................................... 146 FederalForest Title I I I.................................................................................................................147 Surveyor..................................................................................................................................... 148 Public Land Corner Preservation................................................................................................149 RoadBuilding and Equipment....................................................................................................150 Road Improvement Reserve.......................................................................................................151 Vehicle Maintenance and Replacement Reserve........................................................................152 DogControl................................................................................................................................153 Adult Parole & Probation............................................................................................................154 Countywide Law Enforcement District — Capital Reserve ...........................................................155 Rural Law Enforcement District — Capital Reserve.....................................................................156 Deschutes County 911 Service District.......................................................................................157 911 CSD — Equipment Reserve..................................................................................................158 Extension 4-H County Service District........................................................................................159 Black Butte Ranch County Service District.................................................................................160 Sunriver Service District — General Fund....................................................................................161 Sunriver Service District — Reserve Fund...................................................................................162 Nonmajor Debt Service Funds Combining Balance Sheet.......................................................................................................163-165 Combining Statement of Revenues, Expenditures and Changes in Fund Balances ..................166-169 Schedules of Revenues, Expenditures and Changes in Fund Balance — Budget and Actual — 2000 Series Limited Tax Improvement........................................................................................170 Local Improvement District 2003 Series......................................................................................171 Local Improvement District 2005 Series......................................................................................172 Local Improvement District 2007 Series......................................................................................173 CDD Building 1996 Full Faith and Credit, Refunding Series 2004 ...............................................174 Full Faith and Credit, Series 2003...............................................................................................175 Full Faith and Credit, Series 2005...............................................................................................176 Full Faith and Credit, Series 2008...............................................................................................177 HHS / BJCC Full Faith and Credit, Refunding Series 2005 .........................................................178 Government Center 1998 Refunding Series COPs.....................................................................179 Public Safety General Obligation Bond Debt Service..................................................................180 Redmond Building 1994 Series COPs........................................................................................181 PERS, Series 2002 and 2004 Debt Service................................................................................ 182 Welcome Center 1998 Refunding Series COPs..........................................................................183 Bend Library CSD General Obligation.........................................................................................184 Redmond Library CSD Debt Service........................................................................................... 185 Sunriver Library CSD Debt Service.............................................................................................186 DESCHUTES COUNTY, OREGON TABLE OF CONTENTS — CONTINUED YEAR ENDED JUNE 30, 2008 Page Nonmajor Capital Project Funds CombiningBalance Sheet...............................................................................................................187 Combining Statement of Revenues, Expenditures and Changes in Fund Balances .........................188 Schedules of Revenues, Expenditures and Changes in Fund Balance — Budget and Actual — Local Improvement District..........................................................................................................189 JailConstruction.........................................................................................................................190 Jamison Acquisition and Remodel...............................................................................................191 Fiduciary Funds Statement of Changes in Assets and Liabilities —Agency Funds......................................................195 Proprietary Funds Enterprise Funds Combining Schedule of Net Assets: SolidWaste Sub-Funds...............................................................................................................199 Fair & Expo Center Sub-Funds................................................................................................... 200 Combining Schedule of Revenues, Expenses and Changes in Net Assets: SolidWaste Sub-Funds............................................................................................................... 201 Fair & Expo Center Sub-Funds................................................................................................... 202 Combining Schedule of Cash Flows: SolidWaste Sub-Funds............................................................................................................... 203 Fair & Expo Center Sub-Funds................................................................................................... 204 Schedules of Revenues, Expenses and Changes in Net Assets — Budget and Actual — SolidWaste Operations............................................................................................................... 205 LandfillClosure........................................................................................................................... 206 LandfillPostclosure..................................................................................................................... 207 Solid Waste Capital Projects....................................................................................................... 208 Solid Waste Equipment Reserve................................................................................................. 209 EnvironmentalRemediation........................................................................................................ 210 Solid Waste North Area Development..........................................................................................211 Fairand Expo Center.................................................................................................................. 212 AnnualCounty Fair..................................................................................................................... 213 Fair and Expo Construction......................................................................................................... 214 Fairand Expo Center Reserve.................................................................................................... 215 Fairgrounds Debt Service Fund.................................................................................................. 216 Internal Service Funds Combining Statements of Net Assets...............................................................................................217 Combining Statements of Revenues, Expenses and Changes in Net Assets...................................218 Combining Statements of Cash Flows............................................................................................. 219 Schedules of Revenues, Expenses and Changes in Net Assets — Budget and Actual — BuildingServices........................................................................................................................ 220 Administrative Services............................................................................................................... 221 Finance....................................................................................................................................... 222 Legal........................................................................................................................................... 223 Personnel.................................................................................................................................... 224 InformationTechnology............................................................................................................... 225 ITReserve.................................................................................................................................. 226 DESCHUTES COUNTY, OREGON TABLE OF CONTENTS — CONTINUED YEAR ENDED JUNE 30, 2008 Page Insurance.................................................................................................................................... 227 HealthBenefits Trust................................................................................................................... 228 Capital Assets Used in the Operation of Governmental Funds Comparative Schedule by Source........................................................................................................ 231 Schedule by Function and Activity........................................................................................................ 232 Schedule of Changes by Function and Activity..................................................................................... 233 Other Financial Schedules Schedule of Property Taxes Transactions —All County Taxes............................................................... 237 STATISTICAL SECTION CONTENTS Financial Trends Net Assets by Component — Last Five Fiscal Years.............................................................................. 243 Changes in Net Assets — Last Five Fiscal Years................................................................................... 244 Program Revenues by Function/Program — Last Five Fiscal Years ...................................................... 245 Fund Balances — Governmental Funds — Last Five Fiscal Years.......................................................... 246 Changes in Fund Balances — Governmental Funds — Last Five Fiscal Years ....................................... 247 Revenue Capacity Assessed Value and Estimated Value of Taxable Property — Last Ten Fiscal Years ....................... 248-249 Direct and Overlapping Property Tax Rates — Last Ten Fiscal Years .............................................. 250-251 Principal Property Tax Payers — Current Fiscal Year and Nine Years Ago ............................................. 252 Property Tax Levies and Collections — Last Ten Fiscal Years................................................................ 253 Debt Capacity Ratios of Outstanding Debt by Type — Last Ten Fiscal Years......................................................... 254-255 Ratios of General Bonded Debt Outstanding — Last Ten Fiscal Years ................................................... 256 Direct and Overlapping Governmental Activities Debt — As of June 30, 2008 ....................................... 257 Legal Debt Margin Information — Last Ten Fiscal Years................................................................. 258-259 Pledged -Revenue Coverage — Last Ten Fiscal Years.................................................................... 260-261 Demographic and Economic Information Demographic and Economic Statistics — Last Ten Fiscal Years............................................................ 262 Principal Employers — Current Year and Nine Years Ago...................................................................... 263 Operating Information Full-time Equivalent County Government Employees by Function/Program — Last Five Fiscal Years... 264 Operating Indicators by Function/Program — Last Five Fiscal Years ..................................................... 265 Capital Asset Statistics by Function/Program — Last Five Fiscal Years ................................................. 266 AUDIT COMMENTS AND DISCLOSURES REQUIRED BY STATE REGULATIONS Audit Comments and Disclosures Required by State Regulations..................................................... 269-270 DESCHUTES COUNTY, OREGON TABLE OF CONTENTS — CONTINUED YEAR ENDED JUNE 30, 2008 SINGLE AUDIT COMPLIANCE Page Report on Compliance and on Internal Control Over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards.................................................................................................... 273-274 Report on Compliance with Requirements Applicable to Each Major Program and on Internal Control Over Compliance in Accordance with OMB Circular A-133 ................................... 275-276 Schedule of Findings and Questioned Costs............................................................................................. 277 Status of Prior Year (2007) Findings.......................................................................................................... 278 Schedule of Expenditures of Federal Awards..................................................................................... 279-281 INTRODUCTORY SECTION This page intentionally left blank. Department of Administrative Services Dave Kanner, County Administrator 1300 NW Well St, Suite 200, Bend, OR 97701-1960 [541) 38B-6570 - Fax [541) 3853202 www. w. deschutes. or. us November 3, 2008 To the Board of County Commissioners and the citizens of Deschutes County, Oregon: State law requires that all general-purpose local governments publish, within six months of the close of each fiscal year, a complete set of financial statements presented in conformity with U.S. generally accepted accounting principles and audited in accordance with generally accepted auditing standards by a firm of certified public accountants licensed to perform audits of a municipal corporation. This report is published to fulfill that requirement for the fiscal year ended June 30, 2008. This report consists of management's representations concerning the finances of Deschutes County. Consequently, management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management of Deschutes County has established a comprehensive internal control framework that is designed both to protect the County's assets from loss, theft or misuse and to compile sufficient reliable information for the preparation of Deschutes County's financial statements in accordance with GAAP. Because the cost of internal controls should not outweigh their benefits, Deschutes County's comprehensive framework on internal controls has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. Deschutes County's financial statements have been audited by Harrigan Price Fronk & Co. LLP, a firm of certified public accountants licensed to perform audits of a municipal corporation. The goal of the independent audit was to provide reasonable assurance that the financial statements of Deschutes County for the fiscal year ended June 30, 2008 are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditors concluded, based upon the audit, that there was reasonable basis for rendering an unqualified opinion that Deschutes County's financial statements for the fiscal year ended June 30, 2008, are fairly presented in conformity with GAAP. The independent auditors' report is presented as the first component of the financial section of this report. The independent audit of the financial statements of Deschutes County was part of a broader, federally mandated "Single Audit" designed to meet the special needs of federal grantor agencies. The standards governing Single Audit engagements require the independent auditors to report not only on the fair presentation of the financial iii Enhancing the Lives of Citizens by Delivering Quality Services in a Cost -Effective Manner To the Board of County Commissioners and the citizens of Deschutes County, Oregon: November 3, 2008 statements, but also on the audited government's internal controls and compliance with legal requirements, with special emphasis on internal controls and legal requirements involving the administration of federal awards. These separately issued reports have been included in this comprehensive annual financial report. Management's discussion and analysis (MD&A) immediately follows the independent auditors' report and provides a narrative introduction, overview and analysis of the basic financial statements. MD&A complements this letter of transmittal and should be read in conjunction with it. Profile of the Government The County was formed in 1916, is located in the central part of the state and covers an area of 3,055 square miles. The County has three full-time elected commissioners, each serving four-year terms, who are elected at -large. Daily administrative duties are overseen by an appointed County Administrator, while the Board of Commissioners sets policy, adopts the annual budget and passes ordinances in accordance with state law. The financial reporting entity, Deschutes County, includes all funds of Deschutes County, as well as all of its component units. Component units are legally separate entities for which Deschutes County is financially accountable. The County provides a full range of services including sheriff's patrol and correction services, construction and maintenance of roads and bridges, property assessment, tax collection, public health and mental health services, land use planning, prosecution of criminals, election services, records maintenance, and operation of a landfill, a fair and expo center, and an RV park. Blended component units, although legally separate entities, are, in substance, part of Deschutes County's operations and are included as part of Deschutes County. Accordingly, the Countywide Law Enforcement District, Rural Law Enforcement District, Deschutes County 911, Deschutes County Extension/4-H, Black Butte Ranch and Sunriver Service Districts are reported as Special Revenue Funds of Deschutes County. Bend Library CSD, Redmond Library CSD and Sunriver Library CSD are reported as Debt Service Funds of Deschutes County. The County utilizes a budget committee, consisting of the three commissioners and an equal number of citizens -at -large, to review and approve the.proposed budget for each fiscal year. The annual budget serves as the foundation for Deschutes County's financial planning and control. Requested budgets are submitted for each fund, department and component unit county service district to the County's Budget Officer approximately three months prior to the beginning of the fiscal year. The Budget Officer prepares the proposed budget based on these requested budgets, but generally with some changes, and submits it to the Budget Committee, approximately two months prior to the beginning of the next fiscal year. The County is required to announce in advance and hold a public hearing on the approved budget and to adopt iv To the Board of County Commissioners and the citizens of Deschutes County, Oregon: November 3, 2008 the budget by no later than June 30, the close of Deschutes County's fiscal year. The appropriated budget is prepared by fund, department and category (level of control). All transfers of appropriations between categories require approval by the Board of County Commissioners. Budget -to -actual comparisons are provided in this report for each individual governmental and proprietary fund for which an appropriated annual budget has been adopted. For the General Fund and the major special revenue funds, this comparison is presented beginning on page 59 as part of the required supplementary information. All other funds are presented in a subsection of this report, which starts on page 73. Local economy Deschutes County is the outdoor recreation capital of Oregon. With noble, snow- capped peaks dominating the skyline to the west and the wide-open high desert extending to the east, the beauty and uniqueness of Deschutes County captures the awe of locals and visitors alike. Deschutes County is a bustling, exciting place where progress and growth are hallmarks. Beginning in the early 1990s and continuing to the present, Deschutes County has experienced rapid population growth. This growth is believed to be largely due to the area's invigorating climate and year-round recreation activities. The population is approximately 160,000, a 37% increase since 2000 and is projected to exceed 240,000 within 20 years. Recreational activities include downhill and cross-country skiing, snowboarding, fishing, hunting, hiking, rock -climbing, mountain climbing, whitewater rafting and golfing. Deschutes County is the host of diverse annual events including the Sunriver Music Festival, the Art Hop, Sisters Outdoor Quilt Show, Cascade Children's Festival, Pole Pedal Paddle, Sisters Rodeo, WinterFest, Sunriver Sunfest, Bend Film Festival, Pacific Northwest Amateur Golf Tournament and the Cascade Cycling Classic. In Fiscal Year 2008, the County's taxable assessed value increased by 8.2%, approximately $1.2 billion, to a total of $15.8 billion. Formerly a region dependent on wood products, Deschutes County has steadily diversified its employment and economic base. For the past decade, Deschutes County has lead Oregon in high technology growth. Numerous companies from the Silicon Valley, Portland -Vancouver Metro and Puget Sound have relocated or expanded here. Many of these firms are small but extremely innovative, producing niche -market products from semiconductors to software, medical instruments to recreational equipment. Tourism in Deschutes County contributes to the diversified economy due to the abundance of year-round recreational activities. The County is home to a major medical center, designated as a level II trauma center, with more than 200 physicians on staff. In To the Board of County Commissioners and the citizens of Deschutes County, Oregon: November 3, 2008 Long-term financial planning The unreserved, undesignated fund balance in the General Fund at June 30, 2008 is 27% of the total General Fund FY 2008 revenues which exceeds the minimum guidelines set forth in the County's financial policies. During FY 2009, the County will continue to develop its plan to expand the main jail facility. Funding for this expansion is expected to be generated from the sale of a 216 - acre industrial parcel of land in Redmond, Oregon. The County plans to issue Full Faith & Credit bonds, in the amount of $14.7 million, in FY 2009 to finance three projects: construction of a building which will be jointly occupied by the Oregon State Police under a long-term lease and the Deschutes County 911 County Service District, completion of the remodel of a building purchased in January 2008 which will be used as the administrative offices for Parole & Probation and a secure treatment facility which will be leased to a private contactor. In early FY 2009, the Board of County Commissioners passed a resolution authorizing the collection of a System Development Charge (SDC). The charge will be imposed on all new development requiring a building permit within all unincorporated areas of the County and be used to help fund transportation projects that are necessary to serve the existing and growth -related needs in the unincorporated areas of the County. In 1999, the County embarked on a program to sell its under-utilized real property. The proceeds from such activities are accumulated to fund future development of facilities to be used for providing services to the citizens of Deschutes County. As of June 30, 2008, total assets available for future capital development is nearly $8 million. In November 2006, the citizens of Deschutes County approved the formation of two separate Law Enforcement Districts, each with a permanent taxing rate. Effective July 1, 2007, these county service districts contracted with Deschutes County to provide law enforcement services including operation of the correctional facility, courthouse security, emergency disaster planning, search and rescue operations, rural police patrol, investigation and traffic teams. The Federal Secure Rural Schools and Community Self -Determination Act, which provided approximately 22 percent of the Road Department's resources, expired in FY 2008. In October 2008, the U.S. Congress authorized a transition payment which ramps down such payments through FY 2012. The County has partially mitigated this loss of revenue with an increase in the fees charged at the County's sanitary landfill. The annual amount of this increase will be transferred to the Road Department. Major initiatives Several years ago, the County, the Oregon Department of Environmental Quality and the U.S. Geological Survey determined that the groundwater in south Deschutes vi To the Board of County Commissioners and the citizens of Deschutes County, Oregon: November 3, 2008 County is at risk of contamination from nitrates. Several solutions to this situation have been discussed over the years, including upgrades to conventional onsite systems and new advanced treatment systems. Resources for protecting the drinking water and the region's rivers will be available from the sale of County -owned land in the area. Cash management policies and practices. During the year, the County's unrestricted cash balances were invested in accordance with the County's investment policy as authorized by the Board of County Commissioners and the Deschutes County Investment Advisory Committee. The primary objective of investing, as stated in the investment policy, is the preservation of capital. The County Treasurer invests funds on behalf of the County in a manner to earn an appropriate yield while minimizing risk and meeting liquidity needs. County monies and monies of other agencies which the County holds in a fiduciary capacity, are pooled for investment purposes unless otherwise provided for under the County investment policy. Balances invested with the Oregon Local Government Investment Pool are reported as "Cash and Cash Equivalents". Cash is also invested in bank certificates of deposit, federal agency instruments and corporate notes which are reported as Investments. Below is a profile of the Investments at June 30, 2008. Maturity ranges: 1 month — 23 months Weighted average maturity: 11 months Average yield: 3.92% Risk management. The County budgets its risk management activities in two internal service funds. Each County department covered by the insurance provided by the Insurance Fund makes payments into this fund for Workers' Compensation, Unemployment, General Liability, Property Damage and Vehicle Insurance. Third party coverage is maintained for potential property damage losses. The County self insures for its health benefits and limits its exposure with a stop -loss policy. For medical/dental insurance risk, the Employee Benefits Advisory Committee plays an active role by making recommendations to minimize these costs. Pension and other post -employment benefits. Deschutes County provides retirement benefits for those employees meeting the qualifications of the Oregon Public Employee Retirement System (OPERS) or the Oregon Public Service Retirement Plan (OPSRP), both of which are administered by the Oregon Public Employees Retirement Board (OPERB). OPERS is a cost sharing multiple -employer defined benefit public employee pension plan and OPSRP consists of a defined benefit program and a defined contribution portion. In addition to the pension benefits, the County contributes to the premium for health/dental/vision insurance for qualifying retirees, only until the time such employees are eligible to participate in Medicare. vii To the Board of County Commissioners and the citizens of Deschutes County, Oregon: November 3, 2008 Awards and acknowledgements The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to Deschutes County for its comprehensive annual financial report for the fiscal year ended June 30, 2007. This was the seventh consecutive year that the County has received this prestigious award. In order to be awarded a Certificate of Achievement, the County published an easily readable and efficiently organized comprehensive annual financial report. This report must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Program's requirements and we will submit it to the GFOA to determine its eligibility for another certificate. The preparation of the comprehensive annual financial report on a timely basis was made possible by the dedicated service of the entire staff of the Finance Department. We would like to express our appreciation to all members of the department who assisted and contributed to the preparation of this report. Acknowledgment should also be given to the Board of County Commissioners for their interest and support in planning and conducting the operations of the County in a responsible and progressive manner. Respectfully submitted, Dave Kanner Marty Wynne County Administrator Finance Director viii DESCHUTES COUNTY, OREGON COUNTY OFFICIALS JUNE 30, 2008 ELECTED OFFICIALS COUNTY COMMISSIONERS Mike Daly Dennis Luke Tammy Baney ASSESSOR Scot Langton SHERIFF Larry Blanton COUNTY CLERK Nancy Blankenship DISTRICT ATTORNEY Mike Dugan TREASURER Marty Wynne JUSTICE COURT Charles Fadely APPOINTED OFFICIALS County Administrator Dave Kanner County Counsel Mark Pilliod Finance Director Marty Wynne Internal Auditor David Givans Administrative Building 1300 NW Wall Street, Suite 200 Bend OR 97701 ix Certificate of Achievement for Excellence in Financial Reporting Presented to Deschutes County Oregon For its Comprehensive Annual Financial Report for the Fiscal Year Ended June 30, 2007 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. 4 GWF CAL President Executive Director This page intentionally left blank. FINANCIAL SECTION This page intentionally left blank. John P. Harrigan. CPA INDEPENDENT AUDITORS' REPORT Wesley B. Price III. CPA Candace S. Fronk. CPA Board of Commissioners Deschutes County, Oregon In our opinion, the basic statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business -type activities, each major fund and the aggregate remaining fund information of Deschutes County, Oregon, as of June 30, 2008, and the respective changes in financial position and cash flows where applicable, thereof, for the year then ended, in conformity with generally accepted accounting principles of the United States of America. Management's Discussion and Analysis as listed in the Table of Contents is not a required part of the basic financial statements but is supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of this required supplementary information. However, we did not audit the information and express no opinion on it. The Required Supplementary Information (budgetary comparison information for the General and major special revenue funds) as listed in the Table of Contents is not a required part of the basic financial statements but is supplementary information required by accounting principles generally accepted in the United States of America. This budgetary comparison information for these funds has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our We have audited the accompanying financial statements of the governmental activities, the business -type activities, each major fund and the aggregate remaining fund information of Deschutes County, Oregon, as of and for the year ended June 30, 2008, which collectively comprise the County's basic financial statements, as listed in the table of contents. These financial statements are the responsibility of the management of Deschutes County, Oregon. Our responsibility is to express opinions 975 SW Colorado on these basic financial statements based on our audit. Suite 200 Bend, OR 97702 We conducted our audit in accordance with generally accepted auditing standards in FaxTell(541)388-4124 791 the United States of America and Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and www.bendcpa.com email@bendcpa.com 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 opinions. In our opinion, the basic statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business -type activities, each major fund and the aggregate remaining fund information of Deschutes County, Oregon, as of June 30, 2008, and the respective changes in financial position and cash flows where applicable, thereof, for the year then ended, in conformity with generally accepted accounting principles of the United States of America. Management's Discussion and Analysis as listed in the Table of Contents is not a required part of the basic financial statements but is supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of this required supplementary information. However, we did not audit the information and express no opinion on it. The Required Supplementary Information (budgetary comparison information for the General and major special revenue funds) as listed in the Table of Contents is not a required part of the basic financial statements but is supplementary information required by accounting principles generally accepted in the United States of America. This budgetary comparison information for these funds has been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our Board of Commissioners Deschutes County, Oregon opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. In accordance with Government Auditing Standards, we have also issued our report dated November 3, 2008, on our consideration of Deschutes County's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be considered in assessing the results of our audit. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the County's basic financial statements. The Other Supplementary Data and the Schedule of Expenditures of Federal Awards as listed in the table of contents are presented for purposes of additional analysis and as required by U.S. Office of Management and Budget Circular A-133, "Audits of State, Local Governments and Non -Profit Organizations," and are not a required part of the basic financial statements. The Other Supplementary Data and the Schedule of Expenditures of Federal Awards have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. The Introductory and Statistical sections as listed in the table of contents have not been subjected to the auditing procedures applied in the audit of the basic financial statements, and accordingly, we express no opinion on them. HARRIGAN PRICE FRONK & CO. LLP Certified Public Accountants & Consultants By: _raY(� Candace S. Fronk - a partner November 3, 2008 DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 As management of Deschutes County, we offer readers of Deschutes County's financial statements this narrative overview and analysis of the financial activities of Deschutes County for the fiscal year ended June 30, 2008. We encourage readers to consider this information in conjunction with additional information that we have furnished in our letter of transmittal, which can be found on pages iii -viii of this report. Financial Highlights • The assets of Deschutes County exceeded its liabilities at June 30, 2008, by $163,829,000. Of this amount, $88,210,000 is invested in capital assets, net of related debt; $2,925,000 is restricted for debt service and $72,694,000 is unrestricted and may be used to meet on-going obligations to citizens and creditors. • Total net assets increased by $27,376,000; $7,347,000 of this increase is in unrestricted net assets. • As of June 30, 2008, Deschutes County's governmental funds reported combined ending fund balances of $56,458,000. • As of June 30, 2008, the unreserved fund balance in the General Fund was $6,729,000, which is equivalent to 27% the General Fund Fiscal Year 2008 expenditures and transfers out. • Deschutes County's long term liabilities decreased by $6,571,000, or 5%, during the fiscal year ended June 30, 2008, primarily due to scheduled repayment of $6.3 million of long-term debt. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to Deschutes County's basic financial statements. These basic financial statements comprise three components: 1) government -wide financial statements, 2) fund financial statements and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. Government -wide financial statements. The government -wide financial statements are designed to provide readers with a broad overview of Deschutes County's finances, in a manner similar to a private -sector business. The Statement of Net Assets presents information on all of Deschutes County's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of Deschutes County is improving or deteriorating. The Statement of Activities presents information showing how Deschutes County's net assets changed during the fiscal year ended June 30, 2008. Changes in net assets are reported when the underlying event giving rise to the change occurs, regardless of the timing of the related cash, or other financial assets, flows. Thus, revenues and expenses are reported in this statement for some items, for example, property taxes and accrued vacation, that will result in cash flows in future fiscal periods. Each of these government -wide financial statements, Statement of Net Assets and Statement of Activities, distinguish functions of Deschutes County that are supported primarily by taxes and inter -governmental revenues (governmental activities) from other functions that are intended to recover all, or a significant -5- DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 portion of, their costs through user fees and charges (business -type activities). The governmental activities of Deschutes County include general government, general services, public protection, County roads, health and welfare and education. The business -type activities of Deschutes County include Solid Waste operations and the Deschutes County Fair & Expo Center. The government -wide financial statements include nine county service districts: Countywide Law Enforcement District, Rural Law Enforcement District, Deschutes County 911 CSD, Extension/4-H CSD, Black Butte Ranch CSD, Sunriver Service District, Bend Library CSD, Redmond Library CSD and Sunriver Library CSD. These entities are legally separate but are included as blended component units based on the criteria described in the Notes to Financial Statements (Note 1 — Summary of Significant Accounting Policies). Requests for copies of the separately issued financial statements for the county service districts should be addressed to Deschutes County Finance Department, 1300 NW Wall Street, Suite 200, Bend, OR 97701. The government -wide financial statements can be found on pages 17-19 of this report Fund financial statements. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. Deschutes County, like other state and local government entities, uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. Each of the funds of Deschutes County is classified in one of three categories: governmental funds, proprietary funds or fiduciary funds. Governmental funds. Governmental funds are used to account for essentially the same functions as governmental activities in the government -wide financial statements. However, unlike the government -wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements. Because the focus of governmental funds is narrower than that of the government -wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government -wide financial statements. By doing so, readers may better understand the long-term impact of the government's near term financing decisions. A reconciliation from the Governmental Funds Balance Sheet to the Government -wide Statement of Net Assets and a reconciliation from the Governmental Funds Statement of Revenues, Expenditures and Changes in Fund Balances to the Government -wide Statement of Activities have been included in this report. Deschutes County reported activity in ninety (90) individual governmental funds during the fiscal year ended June 30, 2008. Information is presented separately in the governmental funds Balance Sheet and in the governmental funds Statement of Revenues, Expenditures and Changes in Fund Balances for the General Fund and the County's major funds (Sheriffs Office, Countywide Law Enforcement District, Rural Law Enforcement District, Project Development, Road and PERS Reserve Funds). Data from all other governmental funds are combined into a single, aggregated presentation. Individual data for each of these non -major governmental funds is provided in the form of combining statements in the "Other Supplementary Data" section of this report and in the budget to actual comparison schedules. Deschutes County adopts an annual budget for each of its funds and a budgetary comparison statement has been provided for each to demonstrate compliance with its annual budget. 0 DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 The Basic Governmental Fund Financial Statements can be found on pages 20-26 of this report. Proprietary funds. Deschutes County maintains two different types of proprietary funds. Enterprise funds are used to report the same functions as business -type activities in the government -wide financial statements. Deschutes County uses enterprise funds to account for its Solid Waste and its Fair & Expo Center operations. An internal service fund is an accounting device used to accumulate and allocate costs internally among Deschutes County's various functions. Deschutes County uses internal service funds to account for its building, administrative, finance, legal, personnel, information technology and insurance services. Because these services predominately benefit governmental rather than business -type functions, they have been included within governmental activities in the government -wide financial statements. Proprietary funds financial statements provide similar, but more detailed, information as the government - wide financial statements. The proprietary fund financial statements provide information separately for the Solid Waste and the Fair & Expo Center operations, both of which are considered to be major funds of Deschutes County. The internal service funds are combined into a single, aggregated presentation in the proprietary funds financial statements. Individual fund data for the internal service funds is provided in the form of combining statements in the "Other Supplementary Data" section of this report and in the budget to actual comparison schedules. The Basic Proprietary Funds Financial Statements can be found on pages 27-29 of this report. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit of third parties. Fiduciary funds are not reflected in the government -wide financial statements because the resources of those funds are not available to support Deschutes County's own programs. The Basic Fiduciary Funds Statement of Assets and Liabilities can be found of page 30 of this report. Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government -wide and fund financial statements. The notes to the financial statements can be found on pages 31-56 of this report. Other information. In addition to the basic financial statements and accompanying notes, this report also presents as required supplementary information, the budgetary comparisons for the General Fund and major special revenue funds. Required supplementary information begins on page 59. The combining statements referred to above in connection with non -major governmental funds and internal service funds are presented in the "Other Supplementary Data" section of this report. Government -wide Financial Analysis Net assets, at a specific point in time, serve as a useful indicator of an entity's financial position. In the case of Deschutes County, assets exceed liabilities by $163,829,000 at June 30, 2008. Fifty-four percent of Deschutes County's net assets represent its investment in capital assets (land, infrastructure, buildings and equipment) less the related outstanding debt issued to acquire those capital assets. Deschutes County uses these capital assets to provide services to citizens and these net assets are not available for future spending. Although Deschutes County's investment in its capital assets is reported net of related debt, the resources needed to repay this debt must be provided from other sources, as the capital assets will not be liquidated to service the debt. Less than one percent of Deschutes County's net assets are restricted for use in its long-term capital projects and debt service requirements. The remaining -7- DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 forty-six percent, $75,619,000, of Deschutes County's net assets may be used to meet the County's on- going obligations to citizens and creditors. As of June 30, 2008, Deschutes County reports positive balances in all three categories of net assets (capital assets net of debt, restricted and unrestricted) for the government as a whole, for the governmental activities and the business -type activities. DESCHUTES COUNTY'S Net Assets Deschutes County's net assets increased by $27.4 million during the fiscal year ended June 30, 2008, allowing for the repayment of long-term debt and increase in operating and capital reserves. CHANGES DUE TO GOVERNMENTAL ACTIVITIES • The net assets of governmental activities increased by $25 million: o Donation of infrastructure assets of $15 million. o Tax levies allowing for the repayment of $2.4 million in general obligation bonds. o Increases to the insurance funds' reserves of $4.4 million and in the reserve for future personnel -related costs of $2.3 million. CHANGES DUE TO BUSINESS -TYPE ACTIVITIES • Current year activities of the County's solid waste enterprise provided resources to increase its reserves by $1.6 million. Such reserves are necessary to fund the future costs associated with the closure and postclosure requirements of the landfills. • Tax levy allowed for the reduction of $1.3 million in general obligation bonds. M Governmental activities Business -Type activities Total 2008 2007 2008 2007 2008 2007 Assets other than capital assets $102,640,306 $ 98,696,735 $ 22,479,398 $ 27,873,537 $125,119,704 $126,570,272 Capital assets 114,954,541 95,935,730 54,820,865 51,401,257 169,775,406 147,336,987 Total assets 217,594,847 194,632,465 77,300,263 79,274,794 294,895,110 273,907,259 Long-term liabilities outstanding 67,443,586 71,261,908 46,421,049 49,173,778 113,864,635 120,435,686 Other liabilities 13,907,708 12,163,965 3,293,792 4,855,124 17,201,500 17,019,089 Total liabilities 81,351,294 83,425,873 49,714,841 54,028,902 131,066,135 137,454,775 Net assets Invested in capital assets, net of related debt 70,023,840 48,887,100 18,186,242 12,921,454 88,210,082 61,808,554 Restricted 2,261,887 2,292,308 663,216 7,004,402 2,925,103 9,296,710 Unrestricted 63,957,826 60,027,184 8,735,964 5,320,036 72,693,790 65,347,220 Total net assets $136,243,553 $111,206,592 $ 27,585,422 $ 25,245,892 $163,828,975 $136,452,484 Deschutes County's net assets increased by $27.4 million during the fiscal year ended June 30, 2008, allowing for the repayment of long-term debt and increase in operating and capital reserves. CHANGES DUE TO GOVERNMENTAL ACTIVITIES • The net assets of governmental activities increased by $25 million: o Donation of infrastructure assets of $15 million. o Tax levies allowing for the repayment of $2.4 million in general obligation bonds. o Increases to the insurance funds' reserves of $4.4 million and in the reserve for future personnel -related costs of $2.3 million. CHANGES DUE TO BUSINESS -TYPE ACTIVITIES • Current year activities of the County's solid waste enterprise provided resources to increase its reserves by $1.6 million. Such reserves are necessary to fund the future costs associated with the closure and postclosure requirements of the landfills. • Tax levy allowed for the reduction of $1.3 million in general obligation bonds. M DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 DESCHUTES COUNTY'S Changes in Net Assets M Governmental activities Business -Type activities Total 2008 2007 2008 2007 2008 2007 Program revenues: Charges for services $ 42,184,384 $ 40,805,205 $ 10,459,602 $ 10,421,247 $ 52,643,986 $ 51,226,452 Operating grants and contributions 22,035,484 24,221,298 84,955 106,808 22,120,439 24,328,106 Capital grants and contributions 16,335,611 1,991,818 94,190 - 16,429,801 1,991,818 General revenues: Property taxes 50,997,414 44,197,259 1,959,960 2,013,593 52,957,374 46,210,852 Other taxes 3,535,226 3,299,895 - - 3,535,226 3,299,895 Other 4,155,957 4,216,154 969,383 1,317,431 5,125,340 5,533,585 Total revenues 139,244,076 118,731,629 13,568,090 13,859,079 152,812,166 132,590,708 Expenses: General government 1,050,047 2,570,960 - - 1,050,047 2,570,960 General services 25,942,398 21,590,560 - - 25,942,398 21,590,560 Public protection 45,723,250 39,055,433 - - 45,723,250 39,055,433 County roads 14,609,557 13,360,074 - - 14,609,557 13,360,074 Health and welfare 22,733,857 23,923,725 - - 22,733,857 23,923,725 Education 1,213,866 1,217,999 - - 1,213,866 1,217,999 Interest on long-term debt 3,160,571 3,221,880 - - 3,160,571 3,221,880 Solid waste - - 6,462,905 7,033,143 6,462,905 7,033,143 Fair & expo center - - 4,539,224 4,275,270 4,539,224 4,275,270 Total expenses 114,433,546 104,940,631 11,002,129 11,308,413 125,435,675 116,249,044 Increase in net assets before transfers 24,810,530 13,790,998 2,565,961 2,550,666 27,376,491 16,341,664 Transfers 226,431 (584,556) (226,431) 584,556 - - Changes in net assets 25,036,961 13,206,442 2,339,530 3,135,222 27,376,491 16,341,664 Net assets, beginning 111,206,592 98,000,150 25,245,892 22,110,670 136,452,484 120,110,820 Net assets, ending $136,243,553 $111,206,592 $ 27,585,422 $ 25,245,892 $163,828,975 $136,452,484 M DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 Expenses and Program Revenues -Governmental Activities 50.000 45.000 40,000 35,000 30.000 25,000 20.000 15,000 10,000 5,000 J ■Expenses ■Revenues General Genaralservices Publicpmteution County roads Health and Educatlon Inlemstanlong- government Welfare lens debt Revenues by Source - Governmental Activities Property ices 35% Omer taxes 3% Capital grants and Operating grants and contributions — coniributlons 12% 16% -10- for seMCerr 30% f DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 Expenses and Program Revenues - Business -type Activities lolv v.._._ -�+ anI —m -11 Revenues by Source - Business -type Activities ing grants and nlnbugons 1% grants % DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 Financial Analysis of the County's Funds Deschutes County uses fund accounting to ensure and demonstrate compliance with finance -related legal requirements. Governmental funds. The focus of Deschutes County's governmental funds is to provide information on near-term inflows, outflows and balances of spendable resources. Such information is useful in assessing Deschutes County's financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government's net resources available for spending as of the end of the fiscal year. As of June 30, 2008, $56,458,000 is the reported combined ending fund balance for Deschutes County's governmental funds, a net decrease of $3,413,000 from June 30, 2007. Changes, amounts and percentages, in the fund balances of the major governmental funds and of the other governmental funds were: MAJOR • General Fund: decrease of $113,000, 1.6% • Sheriff, Countywide Law Enforcement District and Rural Law Enforcement District (combined): increase of $1,448,000, 52% • Project Development: decrease of $286,000, 5% • Road: increase of $991,000, 15% • PERS Reserve: increase of $2,255,000, 32% OTHER • Nonmajor special revenue: decrease of $4,121,000, 14% • Nonmajor debt service: decrease of $31,000, 3% • Nonmajor capital project: decrease of $3,557,000, 525% As of June 30, 2008, the fund balance of Deschutes County's General Fund is $6,729,000, all unreserved. One measure of the General Fund's liquidity is the relationship of both the unreserved and the total fund balance to the Fund's total expenditures. The fund balance as of June 30, 2008, for the General Fund is 55% of total General Fund Fiscal Year 2008 expenditures and 27% of total General Fund Fiscal Year 2008 combined expenditures and transfers out. Deschutes County's General Fund balance decreased by $113,000 during the fiscal year ended June 30, 2008. Many offsetting factors contribute to this 1.6% change. Due to continued uncertainty of the continuance of Federal payments to the Road Department, several major construction projects have been delayed. Additionally, the fees at the County's solid waste facility have been increased effective October 1, 2007, and a portion of the increase has been designated for future road maintenance costs. The result is that the Road Department's fund balance increased by nearly $1 million. The fund balances of the County's sixty-three nonmajor special reserve funds decreased by a net of $4,121,278. The loss in Community Development of $2,879,748 and the purchase of a building to be used as an overnight shelter in the amount of $2,620,949 account for most of this net change. The decrease in the capital projects funds is due to the expenditure of financial resources for long-term capital assets. The major acquisition was a building adjacent to its Public Safety campus which will allow for necessary increase in administrative facilities. -12- DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 Proprietary funds. The information presented in the proprietary funds statement is similar to that in the government -wide financial statements, but provides greater detail. At June 30, 2008, unrestricted net assets of the Solid Waste Department were $7,901,000 and for the Fair & Expo Center were $835,000. The operations of the Solid Waste Department provide the resources which will be used in future years for the closure and postclosure costs associated with the landfills. The project initiated in FY 2003 for the major up -grade to the County's main landfill site was completed this year. The County will experience major benefits in the form of increased efficiency in the handling of all items accepted at the site including recyclable materials. The County opened its RV Park in FY 2008. After an initial near -capacity usage during Summer 2007, the effects of the economic downturn appear to have negatively impacted the operations. It is expected that with continued focus on marketing efforts that the RV Park will eventually be a profitable enterprise. General Fund Budgetary Highlights There were no differences, other than appropriation transfers, between the General Fund's original budget and the final budget. General Fund actual revenues were $238,000 less than estimated revenues, 1 % of the amount budgeted. Assumptions used for estimated revenues are generally conservative, but due to the unanticipated further slow down in the region's real estate activity, fees collected in the Clerk's Office were $601,000 less that budgeted for FY 2008 and 28% less than the fees collected in FY 2007. The negative variance was partially off -set by a positive variance for the revenues received from the State. The County received $175,000 more than budgeted from the State of Oregon's distribution of taxes and fees collected on amusement devices and liquor and cigarette sales. Several authorized positions were unfilled in the Assessor's Office during the year, contributing to personnel costs being $216,000 less than appropriated. Capital Asset and Debt Administration Capital Assets. Deschutes County's investment in capital assets for its governmental and business -type activities as of June 30, 2008, is $169,775,000, net of accumulated depreciation. This investment in capital assets includes land, buildings, equipment and infrastructure such as roads and bridges. Additional information on Deschutes County's capital assets is included in Note III.D on pages 41-42 of this report. Long-term debt. As of June 30,2008, Deschutes County's outstanding bonded debt was $99,201,796. Of this, $98,112,625 is backed by the full faith and credit of the County and $1,089,171 is special assessment debt for which the County is liable in the event of default by the property owners subject to the assessment. -13- DESCHUTES COUNTY, OREGON MANAGEMENT'S DISCUSSION AND ANALYSIS JUNE 30, 2008 DESCHUTES COUNTY'S Outstanding Debt Bonds Deschutes County's bonded debt decreased by $5,486,692 during the fiscal year, all because of scheduled debt repayments. No debt was issued in fiscal year 2008. Moody's Investors Services has assigned a credit rating of Al to Deschutes County's Full Faith & Credit obligations and a credit rating of Aa3 to its general obligation bonds. State statutes limit the amount of general obligation debt a governmental entity may issue to 2% of its real market value. With real market value of $36.9 billion, the current debt limitation for Deschutes County is $738,802,000. The County's current general obligation of $35,264,064 represents only 4.8% of this limitation. Additional information on Deschutes County's long-term debt is included in Note III. F. on pages 43-46 of this report. Key Economic Factors and Budget Information for the Future • The economic slowdown of the real estate market throughout the country has affected Deschutes County beginning in FY 2007 and continuing through all of FY 2008. Hardest hit has been the Community Development Department. In prior years, resources were transferred to reserves which have been used to absorb the losses incurred during the current year. By all indications, further down -sizing will be necessary in FY 2009. • The County's taxable assessed value is expected to increase from FY 2008 to FY 2009 by 6.6%, to approximately $16.9 billion. Requests for Information This financial report is designed to provide a general overview to those parties interested in Deschutes County's finances. Questions concerning any of the information provided in this report or requests for additional information should be addressed to Deschutes County Finance Department, 1300 NW Wall Street, Suite 200, Bend, OR 97701. -14- Governmental activities Business -Type activities Total 2008 2007 2008 2007 2008 2007 General obligation bonds $ 16,629,064 $ 18,974,407 $ 18,635,000 $ 19,955,000 $ 35,264,064 $ 38,929,407 OR Local Government pension bonds 12,328,561 12,379,910 - - 12,328,561 12,379,910 Full faith & credit obligation 32,990,700 34,253,171 17,529,300 18,036,829 50,520,000 52,290,000 Special assessment debt with government commitment 1,089,170 1,479,925 - - 1,089,170 1,479,925 $ 63,037,495 $ 67,087,413 $ 36,164,300 $ 37,991,829 $ 99,201,795 $ 105,079,242 Deschutes County's bonded debt decreased by $5,486,692 during the fiscal year, all because of scheduled debt repayments. No debt was issued in fiscal year 2008. Moody's Investors Services has assigned a credit rating of Al to Deschutes County's Full Faith & Credit obligations and a credit rating of Aa3 to its general obligation bonds. State statutes limit the amount of general obligation debt a governmental entity may issue to 2% of its real market value. With real market value of $36.9 billion, the current debt limitation for Deschutes County is $738,802,000. The County's current general obligation of $35,264,064 represents only 4.8% of this limitation. Additional information on Deschutes County's long-term debt is included in Note III. F. on pages 43-46 of this report. Key Economic Factors and Budget Information for the Future • The economic slowdown of the real estate market throughout the country has affected Deschutes County beginning in FY 2007 and continuing through all of FY 2008. Hardest hit has been the Community Development Department. In prior years, resources were transferred to reserves which have been used to absorb the losses incurred during the current year. By all indications, further down -sizing will be necessary in FY 2009. • The County's taxable assessed value is expected to increase from FY 2008 to FY 2009 by 6.6%, to approximately $16.9 billion. Requests for Information This financial report is designed to provide a general overview to those parties interested in Deschutes County's finances. Questions concerning any of the information provided in this report or requests for additional information should be addressed to Deschutes County Finance Department, 1300 NW Wall Street, Suite 200, Bend, OR 97701. -14- BASIC FINANCIAL STATEMENTS This page intentionally left blank. DESCHUTES COUNTY, OREGON STATEMENT OF NET ASSETS JUNE 30, 2008 ASSETS Current assets: Cash and cash equivalents Investments, at market; plus accrued interest Restricted cash Taxes receivable Accounts receivable Notes and contracts receivable, net of allowance Assessments receivable Internal balances (Due to / from other funds) Prepaid expenses Inventory Total current assets Other assets Capital assets: Capital assets not being depreciated: Land Construction in progress Capital assets net of accumulated depreciation: Infrastructure Land improvements Building and improvements Equipment and vehicles Total capital assets Total assets LIABILITIES Current liabilities: Accounts payable Accrued interest Deposits Unearned revenues Current portion of non-current liabilities Total current liabilities Non-current liabilities: Compensated absences and retiree health, net of current portion Long-term debt, net of current portion Accrued claims payable, net of current portion Accrued landfill closure costs Total non-current liabilities Total liabilities Net Assets Invested in capital assets, net of related debt Restricted for: Debt service Unrestricted Total net assets The notes to the financial statements are an integral part of this statement. -17- Governmental Business - Type Activities Activities Total $ 23,823,932 $ 5,536,681 $ 29,360,613 55,564,644 14,251,763 69,816,407 15,327 - 15,327 3,312,387 117,330 3,429,717 1,809,152 613,878 2,423,030 4,599,521 - 4,599,521 1,245,836 - 1,245,836 (386,612) 386,612 - 105,916 186,653 292,569 989,812 - 989,812 91,079,915 21,092,917 112,172,832 11,560,391 1,386,481 12,946,872 12,200,341 1,893,902 14,094,243 710,034 376,849 1,086,883 39,037,906 - 39,037,906 2,636,424 20,376,344 23,012,768 51,111,777 27,947,441 79,059,218 9,258,059 4,226,329 13,484,388 114,954,541 54,820,865 169,775,406 217,594,847 77,300,263 294,895,110 5,736,343 781,543 6,517,886 240,020 136,132 376,152 117,263 - 117,263 662,870 322,775 985,645 11,941,134 2,325,505 14,266,639 18,697,630 3,565,955 22,263,586 1,969,654 120,611 2,090,265 59,795,198 35,121,503 94,916,701 888,812 - 888,812 - 10,906,772 10,906,772 62,653,664 46,148,886 108,802,550 81,351,294 49,714,841 131,066,135 70,023,840 18,186,242 88,210,082 2,261,887 663,216 2,925,103 63,957,826 8,735,964 72,693,790 $ 136,243,553 $ 27,585,422 $ 163,828,975 This page intentionally left blank. Activities Expenses Governmental: Fees, Fines and General government $ 1,050,047 General services 25,942,398 Public protection 45,723,250 County roads 14,609,557 Health and welfare 22,733,857 Education 1,213,866 Interest and fiscal charges 3,160,571 Total governmental activities 114,433,546 Business -type: Solid waste 6,462,905 Fair and Expo Center 4,539,224 Total business -type activities 11,002,129 Total Deschutes County $ 125,435,675 DESCHUTES COUNTY, OREGON STATEMENT OF ACTIVITIES FOR THE YEAR ENDED JUNE 30, 2008 7,749,609 18,050 94,190 2,709,993 66,905 10,459,602 84,955 94,190 $ 52,711,042 $ 22,120,439 $ 16,429,801 General revenues: Taxes: Property taxes, levied for general purposes Property taxes, levied for sheriff services Property taxes, levied for bonded debt Transient room tax Earnings on Investments Transfers Total general revenues and transfers Change in net assets Net assets - beginning Net assets - ending The notes to the financial statements are an integral part of this statement. -19- Net (Expense) Revenue and Changes In Net Assets Governmental Program Revenues Activities Fees, Fines and Operating Grants Capital Grants Charges for and and Services Contributions Contributions $ 1,984,747 $ - $ 7,708,201 3,637,926 - 11,503,488 4,445,438 1,420,235 14,899,440 374,056 14,915,376 5,134,211 13,387,445 - 1,021,353 190,619 42,251,440 22,035,484 16,335,611 7,749,609 18,050 94,190 2,709,993 66,905 10,459,602 84,955 94,190 $ 52,711,042 $ 22,120,439 $ 16,429,801 General revenues: Taxes: Property taxes, levied for general purposes Property taxes, levied for sheriff services Property taxes, levied for bonded debt Transient room tax Earnings on Investments Transfers Total general revenues and transfers Change in net assets Net assets - beginning Net assets - ending The notes to the financial statements are an integral part of this statement. -19- Net (Expense) Revenue and Changes In Net Assets Governmental Business -type Activities Activities Total $ 934,700 $ $ 934,700 (14,596,271) (14,596,271) (28,354,089) (28,354,089) 15,579,315 15,579,315 (4,212,201) (4,212,201) (1,894) (1,894) (3,160,571) (3,160,571) (33,811,011) (33,811,011) 1,398,944 1,398,944 (1,762,326) (1,762,326) (363,382) (363,383) (33,811,011) (363,382) (34,174,393) 26,369,350 26,369,350 21,530,214 - 21,530,214 3,097,850 1,959,960 5,057,810 3,535,226 - 3,535,226 4,068,901 989,383 5,058,284 246,431 (246,431) 58,847,972 2,702,912 61,550,884 25,036,961 2,339,530 27,376,491 111,206,592 25,245,892 136,452,484 $ 136,243,553 $ 27,585,422 $ 163,828,975 DESCHUTES COUNTY, OREGON GOVERNMENTAL FUNDS BALANCE SHEET JUNE 30, 2008 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 738,013 $ 637,825 $ - $ - $ 20,019 Deficit in pooled cash account - - - - Due to other funds - - - - - Deposits 88,190 - - - Deferred revenues 854,296 - 580,447 321,630 2,920,382 Unearned revenues 285,057 - - - Total liabilities 1,965,556 637,825 580,447 321,630 2,940,401 Fund balances: Reserved for: Inventory - - - - - Unreserved 6,729,202 139,015 2,787,437 1,280,441 5,041,150 Unreserved, reported in nonmajor: Special revenue funds - - - - - Debt service funds - - - - - Capital project funds - - - - Total fund balances 6,729,202 139,015 2,787,437 1,280,441 5,041,150 Total liabilities and fund balances $ 8,694,758 $ 776,840 $ 3,367,884 $ 1,602,071 $ 7,981,551 The notes to the financial statements are an integral part of this statement. Continued -20- Countywide Law Rural Law Enforcement Enforcement Project General Fund Sheriff District District Development ASSETS Cash and cash equivalents $ 1,175,907 $ 217,251 $ 724,124 $ 301,862 $ 1,407,864 Investments, plus accrued interest 3,026,623 559,589 1,865,183 777,530 3,626,348 Taxes receivable 1,118,921 - 755,127 422,983 - Accounts receivable 213,307 - 23,450 99,696 - Notes and contracts receivable - - - - 2,947,339 Assessments receivable - - - - Inventory - - - - Due from other funds 3,160,000 - - - Restricted cash - - Total assets $ 8,694,758 $ 776,840 $ 3,367,884 $ 1,602,071 $ 7,981,551 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 738,013 $ 637,825 $ - $ - $ 20,019 Deficit in pooled cash account - - - - Due to other funds - - - - - Deposits 88,190 - - - Deferred revenues 854,296 - 580,447 321,630 2,920,382 Unearned revenues 285,057 - - - Total liabilities 1,965,556 637,825 580,447 321,630 2,940,401 Fund balances: Reserved for: Inventory - - - - - Unreserved 6,729,202 139,015 2,787,437 1,280,441 5,041,150 Unreserved, reported in nonmajor: Special revenue funds - - - - - Debt service funds - - - - - Capital project funds - - - - Total fund balances 6,729,202 139,015 2,787,437 1,280,441 5,041,150 Total liabilities and fund balances $ 8,694,758 $ 776,840 $ 3,367,884 $ 1,602,071 $ 7,981,551 The notes to the financial statements are an integral part of this statement. Continued -20- DESCHUTES COUNTY, OREGON GOVERNMENTAL FUNDS BALANCE SHEET JUNE 30, 2008 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 1,899,947 $ - $ 2,284,519 Other Total - - 5,270,419 PERS Governmental Governmental - 3,546,612 Road Reserve Funds Funds ASSETS Deferred revenues - - 3,378,694 8,055,449 Cash and cash equivalents $ 2,294,313 $ 2,608,612 $ 10,953,073 $ 19,683,006 Investments, plus accrued interest 5,906,682 6,719,211 22,418,781 44,899,947 Taxes receivable - - 1,015,356 3,312,387 Accounts receivable 96,162 - 1,340,272 1,772,887 Notes and contracts receivable - - 1,652,182 4,599,521 Assessments receivable - - 1,245,837 1,245,837 Inventory 989,812 - - 989,812 Due from other funds - - - 3,160,000 Restricted cash 7,387,022 - 15,327 15,327 Total assets $ 9,286,969 $ 9,327,823 $ 38,640,828 $ 79,678,724 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 1,899,947 $ - $ 2,284,519 $ 5,580,323 Deficit in pooled cash account - - 5,270,419 5,270,419 Due to other funds - - 3,546,612 3,546,612 Deposits - - 29,073 117,263 Deferred revenues - - 3,378,694 8,055,449 Unearned revenues - 365,609 650,666 Total liabilities 1,899,947 14,874,926 23,220,732 Fund balances: Reserved for: Inventory 989,812 - - 989,812 Unreserved 6,397,210 9,327,823 - 31,702,278 Unreserved, reported in nonmajor: Special revenue funds - - 25,518,636 25,518,636 Debt service funds - - 1,127,264 1,127,264 Capital project funds (2,879,998) (2,879,998) Total fund balances 7,387,022 9,327,823 23,765,902 56,457,992 Total liabilities and fund balances $ 9,286,969 $ 9,327,823 $ 38,640,828 $ 79,678,724 The notes to the financial statements are an integral part of this statement. -21- This page intentionally left blank. DESCHUTES COUNTY, OREGON RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET ASSETS JUNE 30, 2008 Total fund balances for governmental funds $ 56,457,992 Total net assets reported for governmental activities in the statement of net assets is different because: Capital assets used in governmental activities are not financial resources and therefore are not reported in the funds. Those assets consist of: Land 12,200,341 Construction in progress 710,034 Infrastructure, net of $29,580,827 accumulated depreciation 39,037,906 Land improvements, net of $1,214,770 accumulated depreciation 2,554,158 Buildings and improvements, net of $13,025,261 accumulated depreciation 51,111,777 Equipment and vehicles, net of $15,086,077 accumulated depreciation 8,872,958 Total capital assets 114,487,174 Other assets are not financial resources and therefore are not reported in the funds: Deferred Pension Expense 9,726,922 Prepaid expenses and deferred issuance costs 1,084,743 Internal service funds are used by the County to charge the cost of insurance, building services, administrative services, finance, legal, personnel and information technology to individual funds. The assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets. Internal service fund net assets are: 16,766,199 Some of the County's receivables will be collected after year-end, but are not available soon enough to pay for the current period's expenditures, and therefore are reported as deferred revenues in the funds. 8,055,449 Long term liabilities applicable to the County's governmental activities are not due and payable in the current period and accordingly are not reported as fund liabilities. Interest on long-term debt is not accrued in governmental funds, but rather is recognized as an expenditure when due. All liabilities - both current and long term - are reported in the statement of net assets. Balances at June 30, 2008, are: Accrued interest on debt (240,020) Unearned revenues (12,204) Certificates of participation (370,000) Bonds and notes payable (63,287,496) Compensated absences and retiree health insurance (6,825,494) Unamortized deferred cost of refunding debt 854,643 Unamortized premium and discount on bonds (454,355) Long term liabilities (70,082,702) Total net assets of governmental activities $ 136,243,553 The notes to the financial statements are an integral part of this statement. -23- DESCHUTES COUNTY, OREGON GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Current: General government 1,081,739 - Countywide 48,619 General services 11,103,580 - Law Rural Law - Public protection - 26,815,309 Enforcement Enforcement Project County roads General Fund Sheriff District District Development REVENUES 203,856 - - - Taxes - Property $ 18,744,366 $ - $ 14,125,243 $ 6,979,643 $ - Taxes - Other - - - _ Licenses and permits 30,125 - - - Fines, forfeitures, and penalties 700,754 - 167,376 190,386 - Special assessments - - - - - Investment earnings and rent 447,382 81,800 166,055 52,126 429,112 Intergovernmental 2,982,815 26,844,500 4,111,327 4,953,586 - Charges for services 1,810,002 - 113,363 39,400 - Other 4,799 - 12,395 1,478 58,172 Total revenues 24,720,243 26,926,300 18,695,759 12,216,619 487,284 EXPENDITURES Current: General government 1,081,739 - - 48,619 General services 11,103,580 - - - - Public protection - 26,815,309 15,908,322 10,936,178 - County roads - - - - - Health and welfare 203,856 - - - Education - - - - Debt service: Principal payments - - - - Interest - - - - Trustee fees - - - - - Capital outlay 72,920 2,680,679 - Total expenditures 12,462,095 29,495,988 15,908,322 10,936,178 48,619 Excess (deficiency) of revenues over (under) expenditures 12,258,148 (2,569,688) 2,787,437 1,280,441 438,665 OTHER FINANCING SOURCES (USES) Transfers in 117,582 - - - 300,000 Transfers out (12,488,504) (50,000) - (1,024,615) Sale of capital assets - - - Total other financing sources and uses (12,370,922) (50,000) - (724,615) Net change in fund balances (112,774) (2,619,688) 2,787,437 1,280,441 (285,950) Fund balances - beginning 6,841,976 2,758,703 - 5,327,100 Fundbalances- ending $ 6,729,202 $ 139,015 $ 2,787,437 $ 1,280,441 $ 5,041,150 The notes to the financial statements are an integral part of this statement. Continued -24- DESCHUTES COUNTY, OREGON GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Current: General government - - Non -Major Total General services - 850 Governmental Governmental Public protection Road PERS Reserve Funds Funds REVENUES 13,573,015 - 1,690,132 15,263,147 Taxes - Property $ - $ - $ 10,301,277 $ 50,150,529 Taxes - Other - - 3,535,227 3,535,227 Licenses and permits 8,349 - 513,409 551,883 Fines, forfeitures, and penalties - - 638,448 1,696,964 Special assessments - - 482,494 482,494 Investment earnings and rent 298,962 362,057 3,014,958 4,852,452 Intergovernmental 12,162,395 - 24,521,654 75,576,277 Charges for services 2,365,437 1,894,072 12,476,334 18,698,608 Other 2,440 - 398,531 477,815 Total revenues 14,837,583 2,256,129 55,882,332 156,022,249 EXPENDITURES Current: General government - - - 1,130,358 General services - 850 14,684,986 25,789,416 Public protection - - 20,125,585 73,785,394 County roads 13,573,015 - 1,690,132 15,263,147 Health and welfare - - 25,762,502 25,966,358 Education - - 1,213,866 1,213,866 Debt service: Principal payments - - 4,349,919 4,349,919 Interest - - 3,182,148 3,182,148 Trustee fees - - 5,210 5,210 Capital outlay 68,733 5,836,133 8,658,465 Total expenditures 13,641,748 850 76,850,481 159,344,281 Excess (deficiency) of revenues over (under) expenditures 1,195,835 2,255,279 (20,968,149) (3,322,032) OTHER FINANCING SOURCES (USES) Transfers in 695,250 - 17,101,512 18,214,344 Transfers out (900,000) - (3,958,137) (18,421,256) Sale of capital assets - 115,835 115,835 Total other financing sources and uses (204,750) - 13,259,210 (91,077) Net change in fund balances 991,085 2,255,279 (7,708,939) (3,413,109) Fund balances - beginning 6,395,937 7,072,544 31,474,841 59,871,101 Fund balances - ending $ 7,387,022 $ 9,327,823 $ 23,765,902 $ 56,457,992 The notes to the financial statements are an integral part of this statement. -25- DESCHUTES COUNTY, OREGON RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDED JUNE 30, 2008 Net change in fund balances - total governmental funds Source of financial resources that are not revenues in the current period Repayments from borrowers (834,437) Payments on miscellaneous receivables (2,315) Use of financial resources that are not expenses in the current period Loans made 1,093,063 Prepaid expenses 89,351 Repayments on long-term debt 4,588,144 Acquisition of capital assets 24,394,555 Revenues that do not provide current financial resources Deferred property taxes 846,884 Accrued interest revenue 45,425 Expenses that do not use current financial resources $ (3,413,109) (836,752) 30,165,113 892,309 Depreciation expense (5,274,105) Decrease in interest expense accrual 33,072 Amortization of deferred pension cost (486,345) Amortization of deferred refunding cost (127,850) Amortization of bond issuance cost (62,834) Amortization of bond premium / (discount) 53,632 Write-off notes receivable (159,649) Increase in compensated absences & retiree health insurance (689,584) Book value of capital assets sold, retired or transferred (9,928) (6,723,591) Internal service funds 4,952,991 Total Adjustments - year ended June 30, 2008 28,450,070 Change in net assets of governmental activities - year ended June 30, 2008 $ 25,036,961 The notes to the financial statements are an integral part of this statement. -26- DESCHUTES COUNTY, OREGON PROPRIETARY FUNDS STATEMENT OF NET ASSETS JUNE 30, 2008 LIABILITIES Current liabilities: Accounts payable 726,182 Enterprise Funds 781,543 156,018 Accrued interest 46,374 Fair & Expo 136,132 Internal Unearned revenues Solid Waste Center Total Service Funds ASSETS - - - 2,863,191 Current assets: 416,929 1,636,413 2,053,342 - Cash and cash equivalents $ 5,206,149 $ 330,532 $ 5,536,681 $ 5,614,449 Investments, plus accrued interest 13,402,940 848,823 14,251,763 14,461,590 Accounts receivable 588,418 25,460 613,878 36,266 Taxes receivable - 117,330 117,330 - Due from other funds 386,612 - 386,612 - Prepaid expenses - 186,653 186,653 - Total current assets 19,584,119 1,508,798 21,092,917 20,112,305 Noncurrent assets: 10,906,772 - 10,906,772 - Capital assets: 24,215,012 22,206,037 46,421,049 794,263 Capital assets not being depreciated: 25,404,497 24,310,344 49,714,841 3,813,472 Land 1,761,217 132,685 1,893,902 - Construction in progress 376,849 - 376,849 - Capital assets net of accumulated depreciation: - 663,216 663,216 - Land improvements 10,864,338 9,512,006 20,376,344 82,266 Buildings and improvements 8,984,938 18,962,503 27,947,441 - Equipment and vehicles 3,595,176 631,153 4,226,329 385,100 Total capital assets 25,582,518 29,238,347 54,820,865 467,366 Other - Deferred financing costs 262,625 1,123,856 1,386,481 - Total noncurrent assets 25,845,143 30,362,203 56,207,346 467,366 Total assets 45,429,262 31,871,001 77,300,263 20,579,671 LIABILITIES Current liabilities: Accounts payable 726,182 55,361 781,543 156,018 Accrued interest 46,374 89,758 136,132 - Unearned revenues - 322,775 322,775 - Accrued claims payable - - - 2,863,191 Current portion of long-term debt 416,929 1,636,413 2,053,342 - Total current liabilities 1,189,485 2,104,307 3,293,792 3,019,209 Noncurrent liabilities: Bonds and notes payable, less current portion 13,042,118 21,539,165 34,581,283 - Discount on bonds payable - (4,535) (4,535) - Premium on bonds payable 93,357 519,725 613,082 - Retiree health insurance 46,763 - 46,763 113,879 Accrued compensated leave 126,002 151,682 277,684 680,384 Accrued landfill closure and postclosure costs 10,906,772 - 10,906,772 - Total noncurrent liabilities 24,215,012 22,206,037 46,421,049 794,263 Total liabilities 25,404,497 24,310,344 49,714,841 3,813,472 NET ASSETS Invested in capital assets, net of related debt 12,123,472 6,062,770 18,186,242 429,366 Restricted for debt service - 663,216 663,216 - Unrestricted 7,901,293 834,671 8,735,964 16,336,833 Total net assets $ 20,024,765 7,560,657 $ 27,585,422 $ 16,766,199 The notes to the financial statements are an integral part of this statement. -27- DESCHUTES COUNTY, OREGON PROPRIETARY FUNDS STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS FOR THE YEAR ENDED JUNE 30, 2008 OPERATING REVENUES Charges for services Miscellaneous Total operating revenues OPERATING EXPENSES Personnel Materials and services Landfill closure/postclosure care costs Depreciation Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Grants Property taxes Investment earnings Rents Amortization of debt issuance costs Interest expense Interfund contribution of assets Gain (loss) on equipment disposition Total nonoperating revenues (expenses), net Income (loss) before transfers Transfers in Transfers out Change in net assets Total net assets - beginning Total net assets - ending 468,819 (715,250) 468,819 453,342 (715,250) - 1,595,646 743,884 2,339,530 4,952,991 18,429,119 6,816,773 25,245,892 11,813,208 $ 20,024,765 $ 7,560,657 $ 27,585,422 $ 16,766,199 The notes to the financial statements are an integral part of this statement. -28- Enterprise Funds Fair & Expo Internal Solid Waste Center Total Service Funds $ 7,657,179 $ 2,709,993 $ 10,367,172 $ 23,987,305 92,430 - 92,430 - 7,749,609 2,709,993 10,459,602 23,987,305 1,699,502 1,027,178 2,726,680 6,154,086 3,734,207 1,635,299 5,369,506 13,951,139 (667,186) - (667,186) - 1,033,756 815,294 1,849,050 146,923 5,800,279 3,477,771 9,278,050 20,252,148 1,949,330 (767,778) 1,181,552 3,735,157 112,240 66,905 179,145 - - 1,959,960 1,959,960 - 911,952 77,431 989,383 763,049 - - - 46,720 (12,334) (135,366) (147,700) - (561,676) (926,087) (1,487,763) - - - - (45,277) (88,616) - (88,616) - 361,566 1,042,843 1,404,409 764,492 2,310,896 275,065 2,585,961 4,499,649 468,819 (715,250) 468,819 453,342 (715,250) - 1,595,646 743,884 2,339,530 4,952,991 18,429,119 6,816,773 25,245,892 11,813,208 $ 20,024,765 $ 7,560,657 $ 27,585,422 $ 16,766,199 The notes to the financial statements are an integral part of this statement. -28- DESCHUTES COUNTY, OREGON PROPRIETARY FUNDS STATEMENT OF CASH FLOWS FOR THE YEAR ENDED JUNE 30, 2008 CASH FLOWS FROM OPERATING ACTIVITIES Receipts from customers Payments to employees Payments to suppliers Other receipts Net cash provided (used) by operating activities CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Property taxes Grants Rents Interfund loan Interfund transfers in Interfund transfers out Net cash provided ( used) by noncapital financing activities CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition and construction of capital assets Sale of capital assets Principal paid on capital debt Interest paid on capital debt Net cash provided (used) by capital and related financing activities CASH FLOWS FROM INVESTING ACTIVITIES Sale (purchase) of investments Interest Net cash provided (used) 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 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss) Adjustments to reconcile operating income to net cash provided (used) by operating activities: Depreciation expense Change in assets and liabilities Receivables, net Prepaid expenses Accounts and other payables Net cash provided (used) by operating activities Solid Waste Fair & Expo Internal Fund Center Fund Total Service Funds $ 7,671,799 $ 2,374,164 $ 10,045,963 $ 23,989,991 (1,683,603) (1,011,016) (2,694,619) (6,046,584) (3,531,121) (1,646,199) (5,177,320) (13,876,621) 92,430 - 92,430 - 2,549,505 (283,051) 2,266,454 4,066,786 - 1,922,965 1,922,965 - 88,693 66,905 155,598 - - - - 46,720 (386,612) - (386,612) - - 468,820 468,820 408,065 (715,250) - (715,250) - (1,013,169) 2,458,690 1,445,521 454,785 (6,027,603) (925,315) (6,952,918) (55,214) 31,155 - 31,155 - (354,401) (1,490,776) (1,845,177) - (613,552) (1,003,868) (1,617,420) - (6,964,401) (3,419,959) (10,384,360) (55,214) 3,899,213 900,033 4,799,246 (3,273,402) 924,596 84,333 1,008,929 689,691 4,823,809 984,366 5,808,175 (2,583,711) (604,256) (259,954) (864,210) 1,882,646 5,810,405 590,486 6,400,891 3,731,803 $ 5,206,149 $ 330,532 $ 5,536,681 $ 5,614,449 $ 1,949,330 $ (767,778) $ 1,181,552 $ 3,735,157 1,033,756 815,294 1,849,050 146,923 14,620 20,558 35,178 2,686 - (15,822) (15,822) - (448,201) (335,303) (783,504) 182,020 $ 2,549,505 $ (283,051) $ 2,266,454 $ 4,066,786 The notes to the financial statements are an integral part of this statement. -29- DESCHUTES COUNTY, OREGON FIDUCIARY FUNDS STATEMENT OF FIDUCIARY ASSETS AND LIABILITIES - AGENCY FUNDS JUNE 30, 2008 ASSETS Cash and cash equivalents Investments, at market; plus accrued interest Accounts receivable Total assets LIABILITIES Accounts payable Due to other governments Due to others Total liabilities NET ASSETS The notes to the financial statements are an integral part of this statement. -30- $ 2,966,324 7,387,484 327,203 10,681,011 Fj 137,567 807,013 9,736,431 10,681,011 DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 I — SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Reporting Entity Deschutes County is a municipal corporation governed by three Commissioners, elected at -large. The accompanying financial statements present the activities of Deschutes County (the County), and its nine (9) component units, entities for which the County is considered to be financially accountable. Blended component units, although legally separate entities, are, in substance, part of the County's operations. Following is a brief description of each component unit included within the reporting entity. The Deschutes County Board of County Commissioners is the governing body for each component unit and financial accountability for each component unit is the responsibility of the County. Countywide Law Enforcement District — contracts with Deschutes County for law enforcement services that are provided to all county residents. Rural Law Enforcement District — contracts with Deschutes County for patrol services in those portions of Deschutes County not serviced by city or special district law enforcement departments. Deschutes County 911 Service District — operates the County 9-1-1 call center. Deschutes County Extension and 4-H Service District — furnishes support staff and a program coordinator for Oregon State University Extension Service. Sunriver Service District — Provides police and fire services to Sunriver, Oregon. Black Butte Ranch County Service District — Provides police services to Black Butte Ranch, Oregon. Bend Library County Service District, Redmond Library County Service District, Sunriver Library County Service District — Each library county service district was established for the purpose of constructing a library and repaying the general obligation bonds issued to finance the cost of construction. These component units described above have been included in these financial statements. Component units' individual audited financial statements are also issued and are available in the Deschutes County Finance Department. There are other districts within the County that have not been included as component units of the County. The Board of County Commissioners appoints the boards of special road districts and vector districts; however, the County Commission does not exercise any administrative or financial control. These districts are autonomous Oregon municipal corporations and are not considered component units of Deschutes County. B. Government -wide and fund financial statements The government -wide financial statements, the Statement of Net Assets and the Statement of Activities, report information on all non -fiduciary activities of the County and its component units. The effect of interfund activity has been removed from these statements, except where necessary to account for the cost of a program. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business -type activities, which rely to a significant extent on fees and charges for support. -31- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 The Statement of Activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include: 1) charges to customers or applicants who purchase, use or directly benefit from goods, services or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds, proprietary funds and fiduciary funds. Fiduciary funds are excluded from the government -wide financial statements. Major individual governmental and enterprise funds are reported as separate columns in the fund financial statements. C. Measurement focus, basis of accounting and financial statement presentation The government -wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund and fiduciary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized in the year for which they are levied. Grants and similar items are recognized as revenue if all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Taxes, licenses and permits, intergovernmental revenue, charges for services and investment earnings are considered susceptible to accrual and are recognized as revenue when they are both measurable and available. Expenditure -driven grants are recorded as revenue when the qualifying expenditures have been incurred and all other grant requirements have been met. Other revenues are considered to be available if they are collected during the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the County considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service, compensated absences, claims and judgments expenditures are recorded at the time such payment is due. Fiduciary fund financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. All fiduciary funds are agency funds. MAJOR FUNDS Governmental Funds — The County has determined the following funds as major governmental funds: General Fund. The financial resources of the general government are accounted for in the General Fund, except those required to be accounted for in another fund. Sheriffs Office. The payments received pursuant to intergovernmental agreements with the Countywide Law Enforcement District and Rural Law Enforcement District and interest revenue of the Sheriffs Office are accounted for in the Deschutes County Sheriff's Fund. Activities include the administration, investigations, patrol, corrections and search and rescue activities of the Sheriffs Office. Countywide Law Enforcement District. All resources, including property taxes, arising from countywide law enforcement activities are accounted for in this fund. The expenditures are limited to the payment made to -32- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Deschutes County, pursuant to an intergovernmental agreement, for countywide law enforcement services Rural Law Enforcement District. All resources, including property taxes, arising from rural law enforcement activities are accounted for in this fund. The expenditures are limited to the payment made to Deschutes County, pursuant to an intergovernmental agreement for patrol services in those portions of Deschutes County not served by city or special service district law enforcement departments. Project Development. The financial resources related to the County's project development activities are accounted for in the Project Development fund. Road. The financial resources of the County's Road Department used for the building, repair and maintenance of the County's roads, bridges, culverts, street lighting and drainage. PERS Reserve. The financial resources accumulated for possible increases in the funding of the County's defined benefit retirement plans. Enterprise Funds — The County has determined that both of its enterprise activities are major. Solid Waste accounts for the operations of the County's sanitary landfill and transfer station sites. Fair & Expo Center accounts for the operations of the County's Fair & Expo Center, including the annual county fair and an RV Park. Additionally, the County reports the following fund types: Internal service funds account for building, administrative, finance, legal, personnel, information technology and insurance services provided to other County departments on a cost reimbursement basis. Agency funds are used for tracking various activities including the accumulation and distribution of property taxes; resources of taxing districts, escrow for contractor retainage and developers, funds prior to adjudication; distribution of the State of Oregon's common school funds, inter -governmental law enforcement activities, justice court; and various other collection and escrow agent activities. Private -sector standards of accounting and financial reporting issued prior to December 1, 1989, generally are followed in both the government -wide and proprietary fund financial statements to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board. Governments also have the option of following subsequent private -sector guidance for their business -type activities and enterprise funds, subject to this same limitation. The County has elected not to follow subsequent private -sector guidance. As a general rule, the effect of interfund activity has been eliminated from the government -wide financial statements. Exceptions to this general rule are charges between the internal service funds and various other functions of the County. Elimination of these charges would distort the costs reported for the various functions concerned. Amounts reported as program revenues include: 1) charges to customers or applicants for goods, services or privileges provided, 2) operating grants and contributions and 3) capital grants and contributions, including special assessments. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes. -33- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Operating revenues and expenses are reported separately from non-operating items in the Proprietary Funds. Operating revenues and expenses generally result from providing services in connection with a proprietary fund's principal on-going operations. The principal operating revenues of Solid Waste and the Fair & Expo Center are charges to customers for services. Operating expenses for the enterprise funds and internal service funds include the cost of providing services, administrative expenses and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. D. Budget Policv Budgets are prepared on the modified accrual basis for all funds. Except for the Fiduciary Funds, all of which are agency funds, that account for "pass-through" transactions, the County adopts annual budgets for each of its funds as required by state law. The resolution authorizing appropriations for each fund sets the level by which expenditures cannot legally exceed appropriations. Total personal services, materials and services, debt service, capital outlay and other expenditures by department for each fund are the levels of control established by the resolution. The County's published budget contains more specific detailed information for the above mentioned expenditures categories. Unexpected additional resources may be added to the budget through the use of a supplemental budget and appropriation resolution. Original and supplemental budgets may be modified by the use of appropriation transfers between the levels of control. Such transfers require approval of the Board of County Commissioners. Appropriations lapse at year-end. E. Assets, liabilities and net assets or equity 1. Cash and Cash equivalents and Investments Cash and cash equivalents include amounts held as demand deposits and by the Local Government Investment Pool. The cash balances of substantially all funds are pooled and invested by the County Treasurer for the purpose of increasing earnings through investment activities. Investments are reported at fair value as of June 30, 2008, based on market prices and include accrued interest. Earnings on the pooled monies are apportioned and credited to the funds monthly, based on the average daily balances of each participating fund. 2. Receivables and payables All trade and property tax receivables are shown net of an allowance for uncollectibles. Notes receivable in governmental funds include loans that are not expected or scheduled to be collected in the subsequent year. The County is responsible for the assessment, collection and apportionment of property taxes for all jurisdictions within the County. Taxes are levied as of July 1 based on assessed values as of January 1. Property tax payments are due in three equal installments, on November 15, February 15 and May 15. A discount of 3% is available if taxes are paid in full by November 15 and a discount of 2% on the unpaid balance is available if taxes are paid in full by February 15. Property taxes become a lien on the property on July 1. 3. Inventories, prepaids and other assets Inventories are valued at cost using the first in/first out (FIFO) method. The only material inventories of the County are accounted for in the Road Fund. Certain payments to vendors reflect costs applicable to future accounting periods and are reported as prepaid items. -34- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Other assets include prepaid pension costs, deferred debt issuance and debt refunding costs. 4. Restricted assets In accordance with the terms and agreements of some long-term financings, certain assets are restricted for future debt service payments. The County first applies restricted resources when an expense is incurred for purposes for which both restricted and unrestricted net assets are available. 5. Capital assets Capital assets, which include property, plant, equipment and infrastructure (e.g. roads, bridges, sidewalks and similar items), are reported in the applicable governmental or business -type activities columns in the government -wide statement of net assets. Capital assets are defined by the County as assets with an initial individual cost of more than $5,000 and an estimated useful life in excess of two years. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. The County reports infrastructure assets on a network and subsystem basis. Accordingly, the amounts spent for the construction or acquisition of infrastructure assets are capitalized and reported in the government -wide financial statements. General infrastructure assets (i.e., those reported by governmental activities) include all such items acquired or constructed in fiscal years ending after June 30, 1980. Historical cost was estimated by backtrending (i.e., estimating the current replacement cost of the infrastructure to be capitalized and using an appropriate price -level index to deflate the cost to the acquisition year). The cost of normal repairs and maintenance that do not add to the value of the asset or materially extend asset lives are not capitalized. Donated capital assets are recorded at their fair value at the date of donation. Property, plant and equipment is depreciated using the straight-line method over the following estimated useful lives: Assets Years Buildings 30-60 Building improvements 10-15 Land improvements 10-30 Equipment and vehicles 3-20 Infrastructure 20-50 The County has no major construction projects as of June 30, 2008. 6. Compensated absences It is Deschutes County's policy to permit employees to accumulate earned but unused vacation, time management (a leave -with -pay program, including sick, vacation, family emergency and compensatory time) and sick leave. Except in the two cases as noted below, no liability for unpaid accumulated sick leave is recorded because the County does not pay sick leave when employees separate from service with the County. Exceptions to non-payment of sick leave are: 1) Non -represented employees receive one-half of their sick leave earned through June 30, 1994, and 2) Employees who are members of the Public Works union receive one-half of their sick leave upon separation following at least five years of service. A liability for the vested portion of vacation, sick leave and time management is reported in the proprietary statement of net assets and the government -wide statement of net assets. Payment of this benefit to any employee is made from the fund which had been used to record the personnel cost of the employee immediately prior to separation. -35- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 7. Long-term obligations Long-term debt and other long-term obligations are reported as liabilities in the government -wide statement of net assets in the applicable governmental activities and business -type activities columns and in the proprietary funds statement of net assets. Bond premiums and bond discounts are amortized over the life of the bonds using the straight-line method. 8. Fund equity In the fund statements, governmental funds report reservations of fund balance for any amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. II — STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY A. Budgetary Information On an annual basis, each department of the County submits a requested budget, which includes estimated revenues and appropriations of the estimated revenues, to the Budget Officer, who is appointed by the Board of County Commissioners. A proposed budget is prepared by fund, department, category and line item. The proposed budget includes information on the prior two years, the current year and estimated resources and requested appropriations for the ensuing year. The proposed budget is presented by the Budget Officer to the Budget Committee. The Budget Committee holds public meetings and may make changes to the proposed budget. The Budget Committee submits the approved budget for adoption to the governing body of the County. The governing body announces a public hearing, and after considering matters discussed, may make changes to the budget prior to its adoption. Such changes cannot exceed 10% of the appropriations of the approved budget or a change in the amount of the ad valorem taxes without re -publication of the budget and another public hearing. After the budget is adopted, changes in appropriations are sometimes necessary. The governing body may make additional appropriations to 1) expend new grant revenues received during the fiscal year, 2) adopt a supplemental budget for occurrences or needs not foreseen at the time the budget was adopted and 3) approve appropriation transfers. It is, however, unlawful to overspend a category of appropriation. In accordance with state statutes, appropriations are approved before the beginning of the fiscal year and terminate June 30 of the year of appropriation. Encumbrances are not reported in the financial statements. B. Excess of expenditures over appropriations For the year ended June 30, 2008, expenditures exceeded appropriations by category, the level of budgetary control, as follows: -36- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Original Over - Personnel Budget Final Budget Actual expenditure Black Butte Ranch County Service District $ 500,718 $ 500,718 $ 508,509 $ (7,791) Materials and Services Deschutes County 911 County Service District $ 753,249 $ 758,349 $ 805,329 $ (46,980) Deschutes County Communications System 247,393 247,393 255,555 (8,162) $ 1,000,642 $ 1,005,742 $ 1,060,884 $ (55,142) C. Governmental Funds with Negative Fund Balances Liabilities exceed assets in four of the County's governmental funds. Bethlehem Inn — Fund Balance $(2,620,949). The County provided the resources on behalf of a not-for- profit entity to acquire real property to be used to provide shelter for the homeless. It is expected that governmental and private grants will provide the resources to reimburse the County. Community Development — Fund Balance $(2,668,458). In prior years, the Community Development Fund transferred resources to its reserve funds. The resources in these reserve funds are available to be transferred to the Community Development Fund during FY 2009. These reserve funds and their related fund balances are: Community Development Reserve, $2,445,480, CDD Building Program Reserve, $1,935,484, CDD Electrical Program Reserve, $276,413 and CDD Building Improvement Reserve, $110,814. Jail Construction (Capital Project Fund) — Fund Balance $(386,469). The preliminary costs incurred for the expansion of the County's adult jail have been financed with an interfund loan from the County's Solid Waste Landfill Closure Fund. The County intends to sell real property and use the proceeds for the costs of the jail expansion. Jamison Acquisitions & Remodel (Capital Project Fund) — Fund Balance $(2,651,623). The County plans to issue full faith and credit bonds. III. DETAILED NOTES ON ALL FUNDS A. Deposits and Investments Deposits Custodial Credit Risk. Custodial credit risk is the risk that in the event of a bank failure, the government's deposits may not be returned to it. The County's investment policy, in compliance with Oregon Revised Statutes, Chapter 295, requires that the County's deposits with various financial institutions be covered by Federal Depository Insurance. To provide the additional protection required by ORS 295, the County obtained certificates of participation from collateral pool managers. Securities in the pledging bank's name having a value of not less than 25% of the amount of the certificates. These securities are held by a custodian for the benefit of the County. Balances in excess of the FDIC insurance and 25% of the certificate are considered exposed to custodial risk. As of June 30, 2008, $14,987,698 of the County's bank balance of $28,509,675 was exposed to custodial credit risk. -37- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Investments As of June 30, 2008, the County had the following investments and maturities: Investment Type U.S. Agencies Commercial Paper Certificates of Deposits Total Investments Interest receivable Investment Maturities 18 months or less 18 to 24 months Total $ 48,532,951 $ 8,005,000 $ 56,537,951 12,019,675 - 7,609,000 100,000 $ 68,161,626 $ 8,105,000 12,019,675 7,709,000 76,266,626 937,265 Investment at market Plus accrued interest $ 77,203,891 Deschutes County - Statement of Net Assets 69,816,407 Fiduciary Funds - Statement of Fiduciary Assets and Liabilities 7,387,484 $ 77,203,891.. Interest Rate Risk. Interest rate risk is the risk that changes in interest rates will adversely affect the fair value of an investment. As a means of limiting its exposure to fair value losses arising from rising interest rates, the County investment policy requires that a minimum of 80% of the County's investment portfolio have maturities of 18 months or less. The remaining 20% of the County's investments must have maturities of 24 months or less. At June 30, 2008, 89.3% of the investment portfolio will mature in 18 months or less. Credit Risk. Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligation. Oregon Revised Statutes, Chapter 294, authorizes the County to invest in obligations of the United States Treasury and United States Government agencies and instrumentalities, certain bankers' acceptances, repurchase agreements, certain high-grade commercial paper and corporate bonds and obligations of states and municipalities. The County's investment policy has been approved by the County Commission and specifies the County's investment objectives, required diversification, certain limitations and reporting requirements. These requirements limit investments in commercial paper and corporate bonds to 20% of the total portfolio and 5% in any one corporation, subsidiary or affiliate. Commercial paper and corporate bonds must also be in the top two ratings issued by nationally recognized statistical rating organizations (NRSROs). As of June 30, 2008, the County's investments in commercial paper were rated Al by Standard & Poor's, F-1 by Fitch Ratings and P-1 by Moody's Investors Service. Custodial Credit Risk. Custodial credit risk is the risk that, in the event of the failure of the counterparty to a transaction, the government will not be able to recover the value of an investment or collateral securities in the possession of an outside party. The County's investment policy provides that broker/dealers and financial institutions meet certain qualifications, which are reviewed annually. -38- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Concentration of Credit Risk. Concentration of credit risk is the risk of loss attributed to the magnitude of a government's investment in a single issuer. The County's investment policy provides that the maximum that may be invested in any one issuer, as a percentage of the fund's total investments, is 100% for US Treasury, 75% for US Government agencies with 50% of this amount in an single government sponsored enterprise, 100% in the State of Oregon Investment Pool or the maximum imposed by state statute, 25% in Certificates of Deposit with 30% of this amount in any single qualified financial institution, 25% for Bankers' Acceptances with 30% of this amount in any single qualified financial institution, 20% for Commercial paper and Corporate notes with 5% of this amount in any one corporation, subsidiaries or affiliates, 25% for State and Local Government Securities, 25% for Repurchase Agreements with 10% of this amount in any single qualified financial institution. On June 30, 2008, the County did not hold investment with any one issuer that exceeded these limits. Foreign Currency Risk. The County's investment policy prohibits investments that are not U.S. dollar- denominated; therefore the County is not exposed to this risk. B. Receivables Receivables as of year-end for the major funds and the nonmajor and internal service funds, in the aggregate, including the applicable allowances for uncollectible accounts are as follows: Countywide Law Rural Law Fair $ Nonmajor Enforcement Enforcement Project Solid Expo and Other General District District Development Road Waste Center Funds Total Propertytaxes $ 1,118,921 $ 755,127 $ 422,983 $ $ $ $ 117,330 $ 625,502 $ 3,039,863 Transient room taxes - - 389,854 389,854 Tax receivable 1,118,921 755,127 422,983 117,330 1,015,356 3,429,717 Accounts 213,307 23,450 99,696 -96.162 588,418 25,460 1,376,538 2,423,031 Notes and contracts - - - 2,947,339 - - - 1,652,182 4599,521 Assessment 1245,837 1245,837 Total $ 1,332,228 $ 778,577 $ 522,679 $ 2,947,339 $ 96,162 $ 588,418 $ 142,790 $ 5,289,913 $11,698,106 The County holds promissory notes as a result of its lending and real estate sale activities. County loans are made to not-for-profit entities and are non-interest bearing. Sales of real property are often financed by the County and these interest-bearing notes are amortized over periods ranging from ten to twenty years. Interest rates are fixed at the time of the initial transaction at then prevailing rates. At June 30, 2008, $4,152,577 is due on contracts from sales of real property and $446,944 is due from lending activities. Assessments are due from property owners as part of a local improvement district. Each contract calls for semi-annual payments which amortizes the loan over 10 years. Prepayment, without penalty, is allowed. Payment is normally made in full in the event of sale of property or re -financing of the property. The unearned and deferred revenues reported as liabilities on the governmental funds balance sheet are either (a) revenues that are earned but are not available to liquidate liabilities of the current period or (b) - amounts that have been received but not yet earned. At the end of the current fiscal year, these two components were as follows: -39- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Total Unearned and Deferred Revenues $ 2,234,844 $ 1,608,156 $ 2,965,712 $ 1,245,837 $ 900 $ 8,055,449 $ 650,666 $ 8,706,115 C. Other assets Other assets include both current and non-current assets. Other Assets - Long -Term will be amortized on a straight-line basis over the period benefited. Other Assets Prepaid Pension Cost Series 2002 Series 2004 Total Prepaid Pension Cost Deferred Cost of Issuance Series 2002 Pension Bond Series 2003 Full Faith & Credit Series 2004 Pension Bond Series 2005 Full Faith & Credit Series 2005 LID Series 2007 LID Series 2007 Full Faith & Credit Total Deferred Cost of Issuance Deferred Cost of Refunded Debt Refunding Series 2002 Refunding Cost of Issuance Bend Library, Series 2003 Refunding Cost of Issuance CDD Refunding Series, 2004 Refunding Cost of Issuance HHS/BJCC Refunding Series, 2005 Refunding Cost of Issuance Total Deferred Cost of Refunded Debt Total Other Assets Governmental Activities $ 4,092,561 5,634,360 9,726,921 82,872 498,023 111,819 56,005 8,225 11,025 767,969 354,955 27,724 222,204 46,463 91,225 33,905 186,259 102,766 1,065,501 Business -Type Activities Total $ - $ 4,092,561 5,634,360 - 9,726,921 119,807 45,098 171,928 336,833 992,643 57,005 1,049,648 $ 11,560,391 $ 1,386,481 82,872 617,830 111,819 101,103 8,225 11,025 171,928 1,104,802 1,347,598 84,729 222,204 46,463 91,225 33,905 186,259 102,766 2,115,149 $ 12,946,872 Total Unearned Property Contracts of Special Charges for Total and Deferred Taxes Loans Sale Assessments Services Unavailable Unearned Revenues General $ 853,396 $ - $ - $ - $ 900 $ 854,296 $ 285,057 $ 1,139,353 Countywide LED 580,447 - - - - 580,447 - 580,447 Rural LED 321,630 - - - - 321,630 - 321,630 Project Development - - 2,920,382 - - 2,920,382 - 2,920,382 Nonmajor funds 479,371 1,_608,156 45,330 1,245,837 - 3.378.694 365.609 3.744.303 Total Unearned and Deferred Revenues $ 2,234,844 $ 1,608,156 $ 2,965,712 $ 1,245,837 $ 900 $ 8,055,449 $ 650,666 $ 8,706,115 C. Other assets Other assets include both current and non-current assets. Other Assets - Long -Term will be amortized on a straight-line basis over the period benefited. Other Assets Prepaid Pension Cost Series 2002 Series 2004 Total Prepaid Pension Cost Deferred Cost of Issuance Series 2002 Pension Bond Series 2003 Full Faith & Credit Series 2004 Pension Bond Series 2005 Full Faith & Credit Series 2005 LID Series 2007 LID Series 2007 Full Faith & Credit Total Deferred Cost of Issuance Deferred Cost of Refunded Debt Refunding Series 2002 Refunding Cost of Issuance Bend Library, Series 2003 Refunding Cost of Issuance CDD Refunding Series, 2004 Refunding Cost of Issuance HHS/BJCC Refunding Series, 2005 Refunding Cost of Issuance Total Deferred Cost of Refunded Debt Total Other Assets Governmental Activities $ 4,092,561 5,634,360 9,726,921 82,872 498,023 111,819 56,005 8,225 11,025 767,969 354,955 27,724 222,204 46,463 91,225 33,905 186,259 102,766 1,065,501 Business -Type Activities Total $ - $ 4,092,561 5,634,360 - 9,726,921 119,807 45,098 171,928 336,833 992,643 57,005 1,049,648 $ 11,560,391 $ 1,386,481 82,872 617,830 111,819 101,103 8,225 11,025 171,928 1,104,802 1,347,598 84,729 222,204 46,463 91,225 33,905 186,259 102,766 2,115,149 $ 12,946,872 DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 D. Capital assets Capital asset activity for the year ended June 30, 2008, was as follows: Primary Government: Capital assets, not being depreciated: Land Construction in progress Total capital assets, not being depreciated Capital assets, being depreciated: Buildings and improvements Land improvements Equipment and vehicles Infrastructure Total capital assets, being depreciated Less accumulated depreciation for: Buildings and improvements Land improvements Equipment and vehicles Infrastructure Total accumulated depreciation Total capital assets, being depreciated, net Governmental activities capital assets, net Business -type activities: Capital assets, not being depreciated: Land Construction in progress Total capital assets, not being depreciated Capital assets, being depreciated: Buildings and improvements Land improvements Equipment and vehicles Total capital assets, being depreciated Less accumulated depreciation for: Buildings and improvements Land improvements Equipment and vehicles Total accumulated depreciation Total capital assets, being depreciated, net Beginning Balance $ 11,159,507 152,755 11,312,262 60,870,629 3,829,718 24,917,651 50,930,867 140,548,865 (11,502,155) (1,204,308) (15,607,955) (27,610,979) (55,925,397) 84,623,468 $ 95,935,730 $ 1,893,902 16,426,972 18,320,874 22,057,326 15,043,202 5,599,316 42,699,844 (3,108,376) (4,565,668) (1,945,417) (9,619,461) 33,080,383 Increases $ 1,040,834 692,784 1,733,618 3,266,410 135,187 1,814,154 17,687,862 22,903,613 (1,523,107) (124,173) (1,803,903) (1,969,844) (5,421,027) 17,482,586 $ 19,216,204 376,849 376,849 9,665,649 10,809,513 1,022,000 21,497,162 (582,536) (910,703) (355,810) (1,849,049) 19,648,113 Business -type activities capital assets, net $ 51,401,257 $ 20,024,962 -41- Decreases Ending Balance $ - $ 12,200,341 (135,505) 710,034 (135,505) 12,910,375 64,137,039 3,964,905 (602,223) 26,129,582 68,618,729 (602,223) 162,850,255 540,335 540,335 (13,025,262) (1,328,481) (16,871,523) (29,580,823) (60,806,089) (61,888) 102,044,166 $ (197,393) $ 114,954,541 (16,426,972) (16,426,972) (112,000) (175,745) (287,745) 27,378 81,985 109,363 (178,382) $ (16,605,354) $ 1,893,902 376,849 2,270,751 31,610,975 25,852,715 6,445,571 63,909,261 (3,663,534) (5,476,371) (2,219,242) (11,359,147) 52,550,114 $ 54,820,865 DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Depreciation expense was charged to functions/programs of the primary government as follows: Governmental activities: General government $ 4,687 General services 1,094,098 County roads 2,430,952 Public protection 1,545,969 Health and welfare 198,399 Capital assets held by the government's internal service Development Road funds are charged to the various functions based on Fund their usage of the assets 146,922 Total depreciation expense - governmental activities $ 5,421,027 Business -type activities: Solid waste $ 1,033,756 Fair & expo center 815,293 Total depreciation expense - business -type activities $ 1,849,049 E. Interfund Activity Interfund Transfers: Interfund transfers are utilized for the following purposes: Certain special revenue funds and the Fair & Expo Center require additional resources transferred from the General Fund for operations; certain debt service funds require transfers from operating funds to meet annual debt service requirements; fees collected at the Solid Waste facility for road maintenance. Interfund Loans. A loan in the amount of $3,160,000 from the General Fund to a Capital Project Fund, Jamison Acquisition and Remodel, was made for the purpose of acquiring real property. This loan will be repaid with the proceeds from a full faith and credit borrowing planned in FY 2009. The preliminary costs incurred for the expansion of the County's adult jail have been financed with an interfund loan from the County's Solid Waste Landfill Closure Fund. The balance at June 30, 2008, was $386,612. The loan will be repaid with the proceeds from the sale of real property. -42- Fair & Nonmajor Internal Project Expo and Other Service General Development Road Center Fund Funds Total Transfers Out: General Fund $ - $ - $ - $ 270,000 $ 11,918,162 $ 300,342 $ 12,488,504 Sheriff - - - - 50,000 - 50,000 Project Development - - - - 941,615 83,000 1,024,615 Road - - - - 900,000 - 900,000 Solid Waste - - 695,250 - 20,000 - 715,250 Nonmajor governmental 117,582 300,000 - 198,820 3,271,735 70,000 3,958,137 Total $ 117,582 $ 300,000 $ 695,250 $ 468,820 $ 17,101,512 $ 453,342 $ 19,136,506 Interfund transfers are utilized for the following purposes: Certain special revenue funds and the Fair & Expo Center require additional resources transferred from the General Fund for operations; certain debt service funds require transfers from operating funds to meet annual debt service requirements; fees collected at the Solid Waste facility for road maintenance. Interfund Loans. A loan in the amount of $3,160,000 from the General Fund to a Capital Project Fund, Jamison Acquisition and Remodel, was made for the purpose of acquiring real property. This loan will be repaid with the proceeds from a full faith and credit borrowing planned in FY 2009. The preliminary costs incurred for the expansion of the County's adult jail have been financed with an interfund loan from the County's Solid Waste Landfill Closure Fund. The balance at June 30, 2008, was $386,612. The loan will be repaid with the proceeds from the sale of real property. -42- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 F. Long -Term Obligations Operating Leases — County as Lessee The County leases buildings and office facilities and equipment under noncancelable operating leases. The total expended for such leases for the year ended June 30, 2008, was approximately $260,000. The future minimum lease payments for these leases are as follow: Fiscal Year Ending June 30, Amount 2009 $ 152,171 2010 112,057 2011 74,706 2012 39,185 Total $ 378,119 Operating Leases — County as Lessor of Real Property The County received $1,461,260 in lease rental income for the year ended June 30, 2008. The County is expected to receive $4.8 million in lease rental income over the next 6 years under non -cancelable leases which were in effect at June 30, 2008. These leases are cancelable if annual appropriations are not included in the lessee's annual appropriation resolution. The carrying value of real property, leased under non -cancelable operating leases, was $8,724,300 as of June 30, 2008, and depreciation expense for FY 2008 was $112,403. Notes. Bonds and Certificates of Participation For both governmental and business -type activities, the County has issued General Obligation Bonds, Certificates of Participation (COPs) and Full Faith & Credit Obligations all of which were issued to provide funds for the acquisition and construction of major capital facilities, acquire personal property and fund the pension liability. The County also issues special assessment debt to provide funds for the construction of streets in existing residential areas. These bonds will be repaid from amounts levied against the property owners benefited by these improvements. In the event that a deficiency exists because of unpaid or delinquent special assessments at the time a debt service payment is due, the County must provide resources to cover the deficiency until other resources, for example, foreclosure proceeds, are received. General Obligation and Full Faith & Credit Obligation bonds are direct obligations and pledge the full faith and credit of the County. These are serial bonds with terms ranging from 20 years to 30 years with increasing amounts of principal maturing each year. General Obligation and Full Faith & Credit Obligation bonds currently outstanding are as follows: -43- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Original Amount Balance at Purpose Interest Rates Borrowed June 30, 2008 General Obligation and Full Faith & Credit Obligation Bonds Governmental activities 4.49-7.02% Governmental activities - refunding 2.96-4.43% Business -type activities 4.49-5.47% Business -type activities - refunding 3.87% Certificates of Participation Governmental activities Governmental activities - refunding Limited Tax Improvement Bonds Governmental activities Notes Governmental activities Business -type activities -44- $ 45,269,569 $ 40,248,325 30,110,000 21,700,000 18, 592,126 17, 529, 300 20,870,000 18,635,000 $ 114,841,695 $ 98,112,625 5.01-6.40% $ 410,000 $ 40,000 4.62-6.45% 2,240,000 330,000 $ 2,650,000 $ 370,000 4.00-5.95% $ 4,148,428 $ 1,089,171 0.00% $ 500,000 $ 250,000 4.75-5.00% 550,000 470,325 $ 1,050,000 $ 720,325 DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Changes in Long -Term Liabilities Changes in long-term obligations for the year ended June 30, 2008, are as follows: -45- Due Within July 1, 2007 Increases Decreases June 30, 2008 One Year Governmental activities: Claims Internal service funds $ 2,748,413 $ 10,713,676 $ (10,598,898) $ 2,863,191 $ 1,974,379 Certificates of participation 670,000 - (300,000) 370,000 370,000 Pension obligation bonds 12,379,910 - (51,349) 12,328,561 57,311 Full faith & credit obligations 34,253,171 - (1,262,471) 32,990,700 1,299,407 Unamortized prem / (disc) 182,528 - (7,138) 175,390 7,138 General obligation bonds 18,974,407 - (2,345,343) 16,629,064 2,469,303 Unamortized premiums 325,460 - (46,494) 278,966 46,494 Loans Governmental funds 300,000 - (50,000) 250,000 50,000 Limited tax improvement bonds 1,479,925 - (390,754) 1,089,170 17,000 Capital leases Governmental 188,227 - (188,227) - - Retiree health insurance Governmental funds 492,598 690,450 (140,695) 1,042,354 146,959 Internal service funds 86,528 51,631 (24,281) 113,878 23,604 Compensated absences Governmental funds 5,643,311 4,911,103 (4,771,274) 5,783,140 4,976,439 Internal service funds 600,232 562,511 (482,359) 680,384 503,100 $ 78,324,710 $ 16,929,371 $ (20,659,283) $ 74,594,798 $ 11,941,134 Business -type activities: Full faith & credit obligations $ 18,036,829 $ - $ (507,529) $ 17,529,300 $ 585,593 Unamortized prem / (disc) 104,196 - (4,696) 99,500 4,696 General obligation bonds 19,955,000 - (1,320,000) 18,635,000 1,450,000 Unamortized premiums 572,676 - (63,631) 509,045 63,631 Retiree health insurance 42,499 12,984 (8,720) 46,763 8,874 Compensated absences 245,823 218,786 (186,925) 277,684 194,962 Landfill closure and postclosure 11,573,958 (667,186) - 10,906,772 - Loans 487,973 - (17,646) 470,327 17,749 $ 51,018,954 $ (435,416) $ (2,109,147) $ 48,474,391 $ 2,325,505 -45- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Debt Service Requirements Debt service requirements on Certificates of Participation, Limited Tax Improvement Bonds and Bonds and Notes at June 30, 2008, are as follows: Year Ending June 30 Governmental Activities COPs Ltd Tax improvement Bonds & Notes Principal Interest Principal Interest Principal Interest 2009 $ 370,000 $ 15,060 $ 17,000 $ 50,350 $ 3,901,021 $ 2,754,162 2010 - - 51,803 49,629 4,121,669 2,653,361 2011 - - 33,000 46,935 4,355,402 2,526,015 2012 - - 41,000 45,526 4,603,060 2,401,303 2013 - - 108,367 43,917 4,804,998 2,139,504 2014-2018 - - 838,000 132,976 12,013,588 9,128,395 2019-2023 - - - - 9,588,390 6,797,077 2024-2028 - - - - 12,171,591 3,409,476 2029-2033 - - - - 6,638,606 801,736 $ 370,000 $ 15,060 $ 1,089,170 $ 369,333 $ 62,198,325 $ 32,611,029 Business Type Activities COPs Ltd Tax Improvement Bonds & Notes Principal Interest Principal Interest Principal Interest 2009 $ - $ - $ - $ - $ 2,053,342 $ 1,492,777 2010 - - - - 2,194,242 1,422,066 2011 - - - - 2,366,131 1,332,456 2012 - - - - 2,546,160 1,234,169 2013 - - - - 2,725,136 1,142,036 2014-2018 - - - - 13,844,594 3,799,031 2019-2023 - - - - 4,741,849 1,921,887 2024-2028 - - - - 4,456,777 866,314 2029-2033 - - - - 1,706,396 206,079 $ - $ - $ - $ - $ 36,634,627 $ 13,416,815 Advance Refunding of Debt In prior years, the County defeased certain general obligation bonds and certificates of participation (COPs) by placing the proceeds of new general obligation bonds, COPs and Full Faith & Credit Obligations in irrevocable trusts to provide for all future debt service payments on the old general obligation bonds and the COPs. Accordingly, the trust account assets and the liability for the defeased general obligation bonds and COPs are not included in the County's financial statements. At June 30, 2008, $34,005,000 of bonds and $6,685,000 of COPs outstanding are considered defeased. -46- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 G. Segment Information The County maintains two enterprise funds. The Solid Waste Fund is used to account for the operations of the County's landfill at Knott Road and 27th Street and transfer stations located throughout the County. The accumulation of resources that will be required for the closure and postclosure costs associated with the sanitary landfill are also accounted for in the Solid Waste Fund. The operations of the County's Fair & Expo Center, including the annual county fair, are accounted for in the Fair & Expo Center Fund. Also accounted for in this fund is activity related to servicing the general obligation bond, issued in 1996, to finance the construction of the facility and the resources for future capital needs including the construction of the RV Park. In order to maintain a high degree of fiscal management over the enterprise funds, each major activity and the funded reserves are accounted for in sub -funds of Solid Waste and of the Fair & Expo Center. A budget is adopted for each of these sub -funds. A combining schedule of net assets, schedule of revenues, expenses and changes in net assets and schedule of cash flows is prepared for the sub -funds of Solid Waste and of the Fair & Expo Center. IV. OTHER INFORMATION A. Risk Management The County is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The County purchases commercial insurance for property coverage, fidelity bonding, catastrophic workers' compensation claims and stop loss on its medical/dental risks. It self -insures against losses for general liability, most workers' compensation, medical and dental benefits, unemployment benefits and other risks. All operations of the County, as well as two county service districts (Deschutes County 911 and Extension 4- H), participate in the County's self-insurance program. Neither Black Butte Ranch nor Sunriver Service District participates and Deschutes County 911 County Service District's participation is limited to unemployment benefits and medical/dental. The third party insurance coverage obtained by the county service districts not covered by the County's self-insurance program had no significant reductions in the levels of insurance coverage in the past year. Settled claims have not exceeded insurance coverage in any of the past three fiscal years. The County estimates liability for incurred losses for reported and unreported claims for general and vehicle/fleet liability, workers' compensation and employee medical coverage. Workers' compensation, general and vehicle/fleet liability estimates are primarily based on individual case estimates for reported claims and through historical data for unreported claims as determined by the County's Risk Management department. Liabilities are based on estimated ultimate cost of settling claims. Liabilities include an amount for claims that have been incurred but not reported (IBNR). The result of the process to estimate the claims is not an exact amount and accordingly claims are reevaluated periodically to consider the effects of inflation, recent claims settlement trends and other economic and social factors. Payments from the funds whose activities are covered are made to the internal service insurance funds, based on the estimated need to pay prior and current claims and to accumulate resources for future losses. The net assets, as of June 30, 2008, of the Insurance Fund (all insurance programs other than medical/dental) are reported at $792,144, which is 114% of fiscal year 2008 claims expense and of the Health Benefits Trust Fund (medical/dental) at $13,782,699, which is 138% of fiscal year 2008 claims expense. -47- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Changes in the Insurance Funds' claim liabilities are as follows: Claims payable, June 30, 2006 Fiscal year 2007 claims expense Fiscal year 2007 claims paid Claims payable, June 30, 2007 Fiscal year 2008 claims expense Fiscal year 2008 claims paid Claims payable, June 30, 2008 Insurance Fund Health Benefits Trust Fund Total $ 1,555,120 $ 1,205,956 $ 2,761,076 1,791,270 8,457,871 10,249,141 1,584,615 8,677,190 10,261,805 1,761,775 986,637 2,748,412 696,994 10, 016, 682 10, 713, 676 681,145 9,917,752 10,598,897 $ 1,777,624 $ 1,085,567 $ 2,863,191 B. Commitments and contingent liabilities The County is contingently liable with respect to lawsuits and other claims incidental to the ordinary course of its operations. Claims covered by the County's self-insurance are reviewed and losses are accrued based on the judgment of County management. According to County management, based on advice of legal counsel with respect to such litigation and claims, ultimate disposition of these matters will not have a material adverse effect on the financial position or results of County operations. C. Participation in public employees retirement system The Oregon Public Employees Retirement System (PERS or "the System"), provides statewide defined benefit and defined contribution plans for eligible employers such as units of state government, political subdivisions, community colleges and school districts. For the County and other eligible employers that have joined the State and Local Government Rate Pool, PERS is a cost-sharing, multiple -employer system. PERS is administered under Oregon Revised Statutes (ORS) Chapter 283, 283A and Internal Revenue Code Section 401(a) by the Public Employees Retirement Board. The Board has the authority under state statutes to amend the Plan's benefits and contribution rates. PERS issues publicly available financial reports that include financial statements and required supplementary information. The reports can be obtained from the Oregon Public Employees Retirement System, PO Box 23700, Tigard, Oregon 97281- 3700 or by calling 1-503-598-7377. The Plans offer retirement and disability benefits, post -employment healthcare benefits, annual cost of living increases and death benefits to Plan members and beneficiaries. Benefits differ depending upon entry date. PERS Tier One and Tier Two plans and the Oregon Public Service Employees Retirement Plan (OPSRP) established for employees hired after August 29, 2003, are established by state statute to provide benefits for state and local governments and their employees. The authority to establish and amend the benefit provisions of the Plan rests with the Oregon Legislature. The County funding policies and pension expense include all component units with the exception of Black Butte Ranch County Service District and Sunriver Service District. These Districts have separate PERS accounts which are not significant in relation to the County. They are included in their separately issued annual reports. -48- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 The required employee contribution of 6% is paid by the County. Effective January 1, 2004, this 6% contribution was remitted to the Individual Account Program (IAP) for all eligible employees under the ORS 238A Individual Account Program Plan. The County also contributes the remaining amounts necessary to pay benefits when due. For fiscal year 2008, the County's annual pension cost of $5,794,871 was equal to the County's required and actual contributions. The County is required by ORS 238.225 to contribute at an actuarially determined rate. The employer rate adopted by the PERS board based on the December 31, 2005, actuarial valuation for the County for fiscal year 2008 was 6.86% for Tier One and Tier Two employees. For OPSRP employees, the County remitted contributions based on employee class. OPSRP contribution rates were 7.52% for general services and 10.79% for police and fire employees. These OPSRP rates were adopted based on actuarial information regarding projected costs of the new plan. The PERS Board adopted new rates based on the December 31, 2007, actuarial evaluation for the fiscal year beginning July 1, 2009, and this will result in County employer PERS rates of 5.06% for PERS ORS 238 employees and 3.58% and 6.29% for general service employees and police and fire OPSRP employees, respectively, in addition to the required 6% IAP contribution. The actuarial assumptions in the December 31, 2006, valuation included (a) 8.0% investment rate of return, (b) projected salary increases of 3.75% with additional increases for promotion and longevity that vary by age and service, (c) healthcare cost inflation of 9%, grading down by 0.5% per year to 5% in 2013 and (d) certain demographic assumptions. The underlying long-term assumed rate of inflation is 2.75% per year. The actuarial value of PERS assets at fair market value on the valuation date less a reserve equal to a prorate portion of the investment gains (losses) over the four-year period ending on the valuation date. The unfunded actuarial liability as of December 31, 2006, valuation is amortized on a level percentage of covered payroll on a closed fixed term method over a 22 -year period through December 31, 2027. Annual Percentage Pension of APC Net Pension Fiscal Year Ending Cost (APC) Contributed Obligation 6/30/2006 $ 5,559,192 100% $ - 6/30/2007 $ 6,082,378 100% $ - 6/30/2008 $ 5,794,871 100% $ - The County issued limited tax pension bonds in 2002 and 2004, the proceeds of which were used to finance a portion of its estimated unfunded actuarial liability (see note III C regarding the balance of the pension asset and note III F regarding the outstanding debt). Amortization of the pension asset for the year ended June 30, 2008, was $486,345. D. Post -employment benefits In addition to pension benefits described in Note IV.C., the County provides post -employment benefit options for health insurance to eligible retirees, terminated employees and their dependents. The benefits are provided in accordance with County ordinances and collective bargaining agreements. The criteria to determine eligibility include: years of service, employee age, disability due to line of duty and whether the employee has vested in the respective retirement plan. The County funds the benefits on a pay-as-you-go basis. Eligible employees are required to pay set premiums for a portion of the cost with the County subsidizing the remaining costs. During the fiscal year ended June 30, 2008, expenses (net of participant contributions) of $173,696 were paid for post -employment benefits. There are currently 42 retirees eligible to participate in this insurance program. The County's liability at June 30, 2008, for health insurance benefits to these participants is estimated to be $1,202,995. The estimate is based on fiscal year 2009 premiums and does not include factors for inflation or a present value discount rate. -49- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 E. Landfill closure and postclosure care costs State and Federal laws and regulations require that the County place a final cover on its landfill sites and perform certain maintenance and monitoring functions at the sites for a minimum of thirty years after closure. In addition to operating expenses related to current activities of the landfill site, an expense provision and related liability are being recognized based on the future closure and postclosure care costs that will be incurred near or after the date the landfill no longer accepts waste. The recognition of these landfill closure and postclosure care costs is based on the amount of the landfill used each year. The estimated liability for landfill closure and postclosure care costs is approximately $10.9 million as of June 30, 2008, which is based on 52% usage of the Knott Landfill capacity and full usage of several smaller sites. It is estimated that an additional $7 million will be recognized as closure and postclosure care costs between July 1, 2008, and the date the landfill is currently expected to be filled to capacity (the year 2029). The estimated total current cost of the landfill closure and postclosure care ($18,195,360) is based on the amount that would be paid if all equipment, facilities and services required to close, monitor and maintain the landfills were acquired as of June 30, 2008. However, the actual cost of closure and postclosure care may be higher due to inflation, changes in technology or changes in regulations. For the past several years, the County has designated resources to be reserved for future closure and postclosure care and it anticipates continuing to do so. The County meets the "Local Government Financial Test" which provides financial assurance as to the County's ability to meet its financial obligations for closure and postclosure. F. Fund Structure Maior Funds — Governmental General — accounts for the financial operations of the County which are not accounted for in any other fund. Principal sources of revenues are property taxes and revenues from other governmental agencies. Expenditures primarily cover functions related to assessment and taxation, district attorney, clerk's records and governing body. Sheriff's Office — payments pursuant to intergovernmental agreements with Countywide and Rural Law Enforcement Districts for public safety, including the operation of the correctional facility. Countywide Law Enforcement District — property taxes, charges for services, Federal and State grants for public safety, including the operation of the correctional facility. Rural Law Enforcement District — property taxes, charges for services, Federal and State grants for public safety. Project Development — proceeds from County land sales and leases for property acquisition for real property for use by the County. Road — gas tax apportionment and forest receipts for public roads and highways. PERS Reserve — charges to County's operating funds and departments to establish a reserve for possible increases in the PERS rate. DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Major Funds — Proprietary — Enterprise Solid Waste — fees and charges for services for the operation and maintenance of the County's sanitary landfill and transfer stations. Fair & Expo Center — fees, transfers and property taxes for the operation of a fair and expo center, annual county fair and debt service. Nonmaior Governmental Funds Special Revenue Funds Business Loan — loan repayment and interest for loans to business entities for job creation. Community Development Block Grant — State and Federal funds for programs to low and moderate - income households. Court Technology Reserve — resources for upgrades to the County's Video Arraignment equipment. A & T Reserve — resources from the General Fund for future development of computer system for the County's property tax assessment and collection. Grant Projects — grants for local programs as designated by the grantor. Justice Court — fines and fees for public safety activities. La Pine Industrial — charges for services for industrial development in the La Pine area. Bethlehem Inn — grants for the purchase and minor upgrade of a facility for the homeless. Park Acquisition and Development — apportionment from the State of Oregon from recreational vehicle fees. Park Development Fees — fees paid by developers in lieu of land donation for park development. Mental Health — fees for services, Federal and State grants for mental health services and counseling. General County Projects — property taxes and rents for general County capital projects. General Capital Reserve — transfer from General Fund and interest on investments to accumulate resources for building remodel and future major maintenance of County buildings. County School — local taxes and forest receipts for education. Special Transportation — State grant for transportation. Taylor Grazing — Federal funds administered by State for rangeland improvement. Transient Room Tax — lodging tax for promotion of tourism and County services. -51- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Video Lottery — State's video lottery apportionment for grants promoting economic development. Welcome Center — lodging taxes for repayment of debt and recreation advertising. Property Management Operations — Rents from lessees for assistance to industrial development within the County. Foreclosed Land Sales — land sale proceeds for supervision and maintenance of County land. Liquor Enforcement — allocation of State funds for enforcement of liquor laws. Victims' Assistance — grants for providing assistance to crime victims. Law Library — fines and fees for maintenance of the law library. County Clerk Records — fees for upgrading storage and retrieval systems. Commission on Children and Families — Federal and State grants for family and children programs. Community Justice -Juvenile — State grants and fees for response to juvenile delinquency programs within the County. Sheriff's Asset Forfeiture — proceeds from sale of assets forfeited in State and Federal Court for law enforcement programs. Court Facilities — State grant to provide security in the court building. Deschutes County Communication System — contracts and loan proceeds for radio system for public safety organizations of Deschutes County. Sheriff's Capital Reserve — transfer from the Sheriff's fund for future capital expenditures. The resources in this fund at July 1, 2007, were transferred to the Countywide and Rural Law Enforcement Districts. Health — fees for services and State grants for community wide health care. Healthy Start — fees for services and State grants for comprehensive prenatal care for low-income women and their infants. Health Department Reserve — transfer from Health Department and interest on investments for reserve to enable sustained response to significant public health events. ABHA — State grant for mental health services. Acute Care Services - State grant funds for acute care services to the mentally ill. OHP- Chemical Dependency — Oregon Health Plan and chemical dependency fees for drug abuse treatment. -52- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Code Abatement — monies for enforcement of County solid waste and sanitation codes. Community Development — fees and charges for services for planning, health inspectors, building safety, education and public services. CDD -Groundwater Partnership — transfers for maintenance of water quality and open space and fees to developers for replacement of septic system. Newberry Neighborhood — proceeds from land sales and grants for maintenance of water quality and open space. Community Development Reserve — funds transferred from Community Development for contingencies. CDD -Building Reserve Program — surplus building program funds for contingencies. CDD -Electrical Program Reserve — surplus electrical program funds for contingencies. CDD Building Improvement Reserve — transfer from operation fund for future capital improvements for CDD's facilities. GIS (Geographic Information Systems) Dedicated — recording fees and sales for map data system. Natural Resource Protection — grants for the control of noxious weeds and promotion of healthy forests. Federal Forest Title III — federal monies for grants related to National Forest activities in Deschutes County. Surveyor — fees for survey measurements, plat reviews and document filing. Public Land Corner Preservation — fees for maintaining permanent monuments of survey corner positions. Road Building and Equipment — transfers from Road Fund for future capital asset purchases. Road Improvement Reserve — fees for future infrastructure requirements. Vehicle Maintenance and Replacement — transfers from County funds and departments for future vehicle replacement and repair. Dog Control — licenses and fees for animal control. Adult Parole and Probation — charges for services and State Department of Corrections grant for operation of County justice program. Countywide Law Enforcement District Capital Reserve — resources from the County's Sheriff's Capital Reserve for future capital asset requirements. -53- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Rural Law Enforcement District Capital Reserve — resources from the County's Sheriffs Capital Reserve for future capital asset requirements. Deschutes County 911 County Service District — property taxes, charges for services and grants for operations of countywide emergency call center. Deschutes County 911 County Service District Equipment Reserve — funds transferred from DC 911 for future capital asset requirements. County Extension and 4-H County Service District — property taxes for Oregon State University's Extension Service programs. Black Butte Ranch County Service District — property taxes and fees for security services and law enforcement within the District's boundaries. Sunriver Service District — property taxes and fees for law enforcement and fire services within the District's boundaries. Sunriver Service District Reserve — funds transferred from Sunriver Service District for future capital asset requirements. Debt Service Funds 2000 Series Ltd Tax Improvement — collection of special assessment liens for debt service on special assessment bond. Local Improvement District, Series 2003 — collection of special assessment liens for debt service on special assessment bonds. Local Improvement District, Series 2005 — collection of special assessment liens for the debt service on special assessment bonds. Local Improvement District, Series 2007 — collection of special assessment liens for the debt service on special assessment bonds. CDD Building 1996 Full Faith & Credit, Refunding Series 2004 — funds transferred from Community Development for debt service issued to building Community Development building. Full Faith and Credit, 2003 — funds transferred from departments for debt service on bonds issued for building, remodel and acquisition of office buildings, communication system. Full Faith and Credit, 2005 — funds transferred from department for debt service on bonds issued to finance ADA compliance projects. Full Faith and Credit, 2008 — funds transferred from other County funds and long-term operating leases for debt service on bonds issued for building, remodel and acquisition of office buildings. HHS/BJCC Full Faith and Credit Refunding Series 2005 — funds transferred from Health and Mental Health for debt service on certificates of participation issued to build and remodel buildings for use by these departments. -54- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Government Center Refunding Series 1998 COPs — funds transferred for repayment of certificates of participation issued to remodel building. Public Safety 1998/2002 General Obligation — property taxes for debt service on bonds issued to building public safety complex. Redmond Building 1994 COPs — funds transferred for debt service on certificates of participation issued to acquire and remodel building. PERS Series 2002 and 2004 Debt Service — transfer from operating funds for debt service on bonds issued to fund pension liability. Welcome Center Refunding Series 1998 COPs — funds transferred from Welcome Center special revenue fund for debt service on certificates of participation issued to build Welcome Center. Bend Library County Service District General Obligation — property taxes for debt service on bonds issued to build Bend Library. Redmond Library County Service District General Obligation — property taxes for debt service on bonds issued to remodel building for Redmond Library. Sunriver Library County Service District General Obligation — property taxes for debt service on bonds issued to build Sunriver Library. Capital Projects Funds Local Improvement District — collections on unbonded liens and bond sales to improve roads and streets for benefited properties. Jail Construction — inter -fund loan for costs of initial phase of determining jail expansion needs. Jamison Acquisition & Remodel — inter -fund loan to acquire real property. Nonmaior Proprietary Funds — Internal Service Funds Building Services — interfund charges for custodial, repairs and maintenance and related activities for County facilities. Administrative Services — interfund charges for services provided by County administration. Finance — interfund charges for services provided by Finance Department. Legal — interfund charges for services provided by Legal Department. Personnel — interfund charges for services provided by Personnel Department. Information Technology — interfund charges for services provided by IT Department. Information Technology Reserve — interfund charges for future technology improvements. -55- DESCHUTES COUNTY, OREGON NOTES TO FINANCIAL STATEMENTS JUNE 30, 2008 Insurance — interfund charges for non-medical/dental insurance coverage. Health Benefits Trust — interfund charges for medical/dental health insurance. -56- REQUIRED SUPPLEMENTARY INFORMATION This page intentionally left blank. DESCHUTES COUNTY, OREGON GENERAL FUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Licenses and Permits Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental State Federal Total revenues EXPENDITURES General government Board of Commissioners Personnel services Materials and services Capital outlay Totals Assessor 501,471 501,471 485,160 275,408 275,408 267,923 100 100 - 776,979 776,979 753,083 16,311 7,485 100 23,896 Personnel services Budgeted Amounts 2,707,288 2,491,099 216,189 Materials and services 902,724 Variance with Original Final Actual Amounts Final Budget 6,595 6,495 $ 18,573,750 $ 18,573,750 $ 18,744,366 $ 170,616 29,000 29,000 30,125 1,125 720,400 720,400 700,754 (19,646) 444,392 444,392 447,382 2,990 2,456,350 2,456,350 1,810,002 (646,348) - - 4,799 4,799 2,274,274 2,274,274 2,493,549 219,275 459,911 459,911 489,266 29,355 24,958,077 24,958,077 24,720,243 (237,834) 501,471 501,471 485,160 275,408 275,408 267,923 100 100 - 776,979 776,979 753,083 16,311 7,485 100 23,896 Personnel services 2,707,288 2,707,288 2,491,099 216,189 Materials and services 902,724 896,229 809,047 87,182 Capital outlay 100 6,595 6,495 100 Totals 3,610,112 3,610,112 3,306,641 303,471 Clerk / Elections Personnel services 744,653 744,653 712,267 32,386 Materials and services 770,003 770,003 612,335 157,668 Capital outlay 100,400 100,400 55,233 45,167 Totals 1,615,056 1,615,056 1,379,835 235,221 Board of Property Tax Appeals Personnel services 38,120 38,120 36,850 1,270 Materials and services 22,696 22,696 13,435 9,261 Capital outlay 5,200 5,200 5,117 83 Totals 66,016 66,016 55,402 10,614 District Attorney Personnel services 3,651,612 3,591,612 3,543,197 48,415 Materials and services 920,247 980,247 960,714 19,533 Capital outlay 15,000 15,000 6,075 8,925 Totals 4,586,859 4,586,859 4,509,986 76,873 Tax Personnel services 468,117 468,117 448,516 19,601 Materials and services 341,032 341,032 315,850 25,182 Capital outlay 100 100 - 100 Totals 809,249 809,249 764,366 44,883 Continued -59- DESCHUTES COUNTY, OREGON GENERALFUND SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 Expenditures (Continued) Veterans' Services Personnel services Materials and services Capital outlay Totals Property Management Personnel services Materials and services Capital outlay Totals Grant Projects Personnel services Materials and services Capital outlay Totals Non -Departmental Materials and services Capital outlay Totals Total general services Operating contingency Total expenditures Excess of revenues over expenditures Other financing sources (uses) Appropriation transfers in (out) Transfers in Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - beginning Fund balance - ending i Budgeted Amounts Variance with Original Final Actual Amounts Final Budget 125,559 151,434 134,613 16,821 139,822 139,822 69,243 70,579 100 100 - 100 265,481 291,356 203,856 87,500 186,407 180,407 175,322 5,085 57,463 63,463 56,686 6,777 100 100 - 100 243,970 243,970 232,008 11,962 90,297 90,297 90,250 47 6,563 6,563 6,398 165 100 100 - 100 96,960 96,960 96,648 312 1,303,512 4,463,512 1,160,270 3,303,242 100 100 - 100 1,303,612 4,463,612 1,160,270 3,303,342 13,374,294 16,560,169 12,462,095 4,098,074 5,192,855 595,934 - 595,934 18,567,149 17,156,103 12,462,095 4,694,008 6,390,928 7,801,974 12,258,148 4,456,174 - (1,411,046) - 1,411,046 177,576 177,576 117,582 (59,994) (12,488,504) (12,488,504) (12,488,504) - (12,310,928) (13,721,974) (12,370,922) 1,351,052 (5,920,000) (5,920,000) (112,774) 5,807,226 5,920,000 5,920,000 6,841,976 921,976 $ - $ - $ 6,729,202 $ 6,729,202 i DESCHUTES COUNTY, OREGON DESCHUTES COUNTY SHERIFF'S OFFICE SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 Continued -61- Budgeted Amounts Actual Variance with Original Final Amounts Final Budget REVENUES Local Investment earnings and rent $ - $ - $ 81,800 $ 81,800 Intergovernmental Local 30,545,068 30,545,068 26,844,500 (3,700,568) Total revenues 30,545,068 30,545,068 26,926,300 (3,618,768) EXPENDITURES Sheriffs Services Personnel services 1,374,242 1,257,683 1,038,120 219,563 Materials and services 743,874 743,874 711,552 32,322 Capital outlay 190,000 190,000 129,684 60,316 2,308,116 2,191,557 1,879,356 312,201 Civil/Special Units Personnel services 565,687 567,462 563,226 4,236 Materials and services 56,865 56,865 38,576 18,289 Capital outlay 39,000 39,000 31,190 7,810 661,552 663,327 632,992 30,335 Automotive/Communications Personnel services 269,048 331,041 302,716 28,325 Materials and services 930,262 930,262 929,795 467 Capital outlay 18,500 26,500 8,500 18,000 1,217,810 1,287,803 1,241,011 46,792 Investigations/Evidence Personnel services 1,787,796 1,867,796 1,804,663 63,133 Materials and services 262,485 262,485 251,298 11,187 Capital outlay 25,000 25,000 24,993 7 2,075,281 2,155,281 2,080,954 74,327 Patrol Personnel services 6,588,452 6,590,227 6,291,322 298,905 Materials and services 511,359 621,359 570,801 50,558 Capital outlay 285,000 315,000 231,274 83,726 7,384,811 7,526,586 7,093,397 433,189 Records Personnel services 517,377 517,377 496,397 20,980 Materials and services 63,728 103,728 74,047 29,681 Capital outlay 100 100 - 100 581,205 621,205 570,444 50,761 Adult Jail Personnel services 7,016,525 7,019,681 6,380,553 639,128 Materials and services 1,385,352 1,435,352 1,396,564 38,788 Capital outlay 315,000 322,721 56,514 266,207 8,716,877 8,777,754 7,833,631 944,123 Continued -61- DESCHUTES COUNTY, OREGON DESCHUTES COUNTY SHERIFF'S OFFICE SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -62- Budgeted Amounts Actual Variance with Original Final Amounts Final Budget Expenditures (Continued) Court Security Personnel services 198,732 198,732 183,501 15,231 Materials and services 13,628 13,628 7,714 5,914 Capital outlay 30,000 30,000 23,601 6,399 242,360 242,360 214,816 27,544 Emergency Services Personnel services 116,177 116,177 115,995 182 Materials and services 19,938 19,938 19,101 837 Capital outlay 100 100 - 100 136,215 136,215 135,096 1,119 Special Services Personnel services 490,732 720,106 686,670 33,436 Materials and services 91,592 131,592 99,834 31,758 Capital outlay 30,000 817,438 629,357 188,081 612,324 1,669,136 1,415,861 253,275 Regional Work Center Personnel services 1,887,117 1,887,117 1,629,861 257,256 Materials and services 375,453 375,453 248,816 126,637 Capital outlay 1,371,400 1,571,400 1,545,566 25,834 3,633,970 3,833,970 3,424,243 409,727 Training Personnel services 142,108 172,108 151,169 20,939 Materials and services 54,081 54,081 36,134 17,947 Capital outlay 100 100 - 100 196,289 226,289 187,303 38,986 Non -Departmental Materials and services 2,786,885 2,786,885 2,786,884 1 2,786,885 2,786,885 2,786,884 1 Total 30,553,695 32,118,368 29,495,988 2,622,380 Operating contingency 2,503,521 938,848 - 938,848 Total expenditures 33,057,216 33,057,216 29,495,988 3,561,228 Excess (deficiency) of revenues over expenditures (2,512,148) (2,512,148) (2,569,688) (57,540) Other financing sources (uses) Transfers out (50,000) (50,000) (50,000) - Total other financing sources (uses) (50,000) (50,000) (50,000) - Net change in fund balance (2,562,148) (2,562,148) (2,619,688) (57,540) Fund balance - Beginning of year 2,562,148 2,562,148 2,758,703 196,555 Fund balance - End of year $ - $ - $ 139,015 $ 139,015 -62- DESCHUTES COUNTY, OREGON COUNTYWIDE LAW ENFORCEMENT DISTRICT SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Sheriffs Services Materials and services Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Budgeted Amounts Original Final Actual Amounts Variance with Final Budget $ 14,195,784 $ 14,195,784 $ 14,125,243 $ (70,541) 154,665 154,665 167,376 12,711 97,200 97,200 166,055 68,855 189,300 189,300 113,363 (75,937) 1 1 12,395 12,394 1,748,042 1,748,042 1,848,521 100,479 2,053,760 2,053,760 2,236,751 182,991 - - 26,055 26,055 18,438,752 18,438,752 18,695,759 257,007 18,438,752 18,438,752 15,908,322 2,530,430 18,438,752 18,438,752 15,908,322 2,530,430 - - 2,787,437 2,787,437 5*11 $ - $ 2,787,437 $ 2,787,437 DESCHUTES COUNTY, OREGON RURAL LAW ENFORCEMENT DISTRICT SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Sheriffs Services Materials and services Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Budgeted Amounts Original Final Actual Variance with Amounts Final Budget $ 6,861,610 $ 6,861,610 $ 6,979,643 $ 118,033 200,000 200,000 190,386 (9,614) 64,800 64,800 52,126 (12,674) 70,500 70,500 39,400 (31,100) 1,000 1,000 1,478 478 4,378,250 4,378,250 4,394,213 15,963 439,656 439,656 440,123 467 90,500 90,500 119,250 28,750 12,106,316 12,106,316 12,216,619 110,303 12,106,316 12,106,316 10,936,178 1,170,138 12,106,316 12,106,316 10,936,178 1,170,138 - - 1,280,441 1,280,441 -64- $ 1,280,441 $ 1,280,441 DESCHUTES COUNTY, OREGON PROJECT DEVELOPMENT SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Materials and services Budgeted Amounts 49,000 48,619 381 Capital outlay Actual Variance with - Original Final Amounts Final Budget REVENUES 48,619 1,000,381 Operating contingency Local 5,151,385 - 5,151,385 Investment earnings and rent $ 300,000 $ 300,000 $ 429,112 $ 129,112 Other 1,225,000 1,225,000 58,172 (1,166,828) Total revenues 1,525,000 1,525,000 487,284 (1,037,716) EXPENDITURES Materials and services 49,000 49,000 48,619 381 Capital outlay 1,000,000 1,000,000 - 1,000,000 Total 1,049,000 1,049,000 48,619 1,000,381 Operating contingency 5,151,385 5,151,385 - 5,151,385 Total expenditures 6,200,385 6,200,385 48,619 6,151,766 Excess (deficiency) of revenues over expenditures (4,675,385) (4,675,385) 438,665 5,114,050 Other financing sources (uses) Transfers in 300,000 Transfers out (1,024,615) Total other financing sources (uses) (724,615) Net change in fund balance (5,400,000) 300,000 300,000 - (1,024,615) (1,024,615) - (724,615) (724,615) - (5,400,000) (285,950) 5,114,050 Fund balance - Beginning of year 5,400,000 5,400,000 5,327,100 (72,900) Fund balance - End of year $ - $ - $ 5,041,150 $ 5,041,150 -65- DESCHUTES COUNTY, OREGON ROAD DEPARTMENT SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 Budgeted Amounts Actual Variance with Original Final Amounts Final Budget REVENUES 5,651,471 5,651,471 5,454,440 197,031 Local 8,628,958 8,628,958 8,118,575 510,383 Licenses and permits $ 67,000 $ 67,000 $ 8,349 $ (58,651) Investment earnings and rent 150,000 150,000 298,962 148,962 Charges for services 2,168,900 2,168,900 2,365,437 196,537 Other 2,400 2,400 2,440 40 Intergovernmental Local 615,000 615,000 656,511 41,511 State 8,772,445 8,772,445 8,337,333 (435,112) Federal 3,068,000 3,068,000 3,168,551 100,551 Total revenues 14,843,745 14,843,745 14,837,583 (6,162) EXPENDITURES Personnel services 5,651,471 5,651,471 5,454,440 197,031 Materials and services 8,628,958 8,628,958 8,118,575 510,383 Capital outlay 4,145,000 4,145,000 68,733 4,076,267 Total 18,425,429 18,425,429 13,641,748 4,783,681 Operating contingency 1,763,682 1,763,682 - 1,763,682 Total expenditures 20,189,111 20,189,111 13,641,748 6,547,363 Excess (deficiency) of revenues over expenditures (5,345,366) (5,345,366) 1,195,835 6,541,201 Other financing sources (uses) Transfers in 942,660 942,660 695,250 (247,410) Transfers out (900,000) (900,000) (900,000) - Total other financing sources (uses) 42,660 42,660 (204,750) (247,410) Net change in fund balance (5,302,706) (5,302,706) 991,085 6,293,791 Fund balance - Beginning of year 5,302,706 5,302,706 6,395,937 1,093,231 Fund balance - End of year $ - $ - $ 7,387,022 $ 7,387,022 DESCHUTES COUNTY, OREGON PERS RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -67- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 360,000 $ 360,000 $ 362,057 $ 2,057 Charges for services 900,000 900,000 1,894,072 994,072 Total revenues 1,260,000 1,260,000 2,256,129 996,129 EXPENDITURES Materials and services 100 850 850 - Total 100 850 850 - Operating contingency 6,374,800 6,374,050 - 6,374,050 Total expenditures 6,374,900 6,374,900 850 6,374,050 Net change in fund balance (5,114,900) (5,114,900) 2,255,279 7,370,179 Other financing sources (uses) Transfer out (100) (100) -100 Total other financing sources (uses) (100) (100) - 100 Net change in fund balance (5,115,000) (5,115,000) 2,255,279 7,370,279 Fund balance - Beginning of year 7,115,000 7,115,000 7,072,544 (42,456) Fund balance - End of year $ 2,000,000 $ 2,000,000 $ 9,327,823 $ 7,327,823 -67- This page intentionally left blank. OTHER SUPPLEMENTARY INFORMATION This page intentionally left blank. COMBINING NONMAJOR GOVERNMENTAL FUNDS This page intentionally left blank. ASSETS Cash and cash equivalents Investments, plus accrued interest Taxes receivable Accounts receivable Notes and contracts receivable Assessments receivable Restricted cash Total assets LIABILITIES AND FUND BALANCES Liabilities: Accounts payable Deficit in pooled cash account Due to other funds Deposits Deferred revenues Unearned revenues Total liabilities Fund balances: Unreserved, reported in nonmajor: Special revenue funds Debt service funds Capital project funds Total fund balances Total liabilities and fund balances DESCHUTES COUNTY, OREGON NONMAJOR GOVERNMENTAL FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Special Revenue Funds $ 10,409,442 21,018,502 833,134 1,264,839 1,652,182 15,327 Debt Service Funds $ 282,155 726,774 182,222 75,433 1,235,321 $ 35,193,426 $ 2,501,905 Capital Project Funds Total Nonmajor Governmental Funds $ 261,476 $ 10,953,073 673,505 22,418,781 - 1,015,356 - 1,340,272 - 1,652,182 10,516 1,245,837 - 15,327 $ 945,497 $ 38,640,828 $ 2,016,952 $ - $ 267,567 $ 2,284,519 5,270,419 - - 5,270,419 - - 3,546,612 3,546,612 28,273 - 800 29,073 1,993,537 1,374,641 10,516 3,378,694 365,609 - - 365,609 9,674,790 1,374,641 3,825,495 14,874,926 25,518,636 - - 25,518,636 - 1,127,264 - 1,127,264 - - (2,879,998) (2,879,998) 25,518,636 1,127,264 (2,879,998) 23,765,902 $ 35,193,426 $ 2,501,905 $ 945,497 $ 38,640,828 -73- DESCHUTES COUNTY, OREGON NONMAJOR GOVERNMENTAL FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE FOR THE YEAR ENDED JUNE 30, 2008 OTHER FINANCING SOURCES (USES) Transfers in from other funds 14,980,052 2,121,460 - 17,101,512 Total (3,958,137) - - (3,958,137) Proceeds from sale of assets Nonmajor - - Special Debt Capital Project Governmental 13,259,210 Revenue Funds Service Funds Funds Funds REVENUES 29,639,914 1,157,786 677,141 31,474,841 Fund balance - End of year Local: $ 1,127,264 $ (2,879,998) $ 23,765,902 Taxes - Property $ 7,247,082 $ 3,054,195 $ - $ 10,301,277 Taxes - Other 3,535,227 - - 3,535,227 Licenses and permits 513,409 - - 513,409 Fines, forfeitures, and penalties 638,448 - - 638,448 Special assessments - 396,954 85,540 482,494 Investment earnings and rent 2,031,677 955,299 27,982 3,014,958 Charges for services 11,680,772 795,562 - 12,476,334 Other 398,531 - - 398,531 Intergovernmental: Local 2,245,965 - - 2,245,965 State 19,467,385 - - 19,467,385 Federal 2,808,304 - - 2,808,304 Total revenues 50,566,800 5,202,010 113,522 55,882,332 EXPENDITURES Current: General services 14,684,986 - - 14,684,986 Education 1,213,866 - - 1,213,866 County roads 1,690,132 - - 1,690,132 Public safety 20,125,585 - - 20,125,585 Health and welfare 25,762,502 - - 25,762,502 Debt service: Principal - 4,349,919 - 4,349,919 Interest 130,769 2,998,863 52,516 3,182,148 Trustee fees - 5,210 - 5,210 Capital outlay 2,217,988 - 3,618,145 5,836,133 Total expenditures 65,825,828 53 7,3,992 3,670,661 76,850,481 Excess (deficiency) of revenues over expenditures (15,259,028) (2,151,982) (3,557,139) (20,968,149) OTHER FINANCING SOURCES (USES) Transfers in from other funds 14,980,052 2,121,460 - 17,101,512 Transfer out to other funds (3,958,137) - - (3,958,137) Proceeds from sale of assets 115,835 - - 115,835 Total other financing sources (uses) 11,137,750 2,121,460 - 13,259,210 Net change in fund balances (4,121,278) (30,522) (3,557,139) (7,708,939) Fund balance - Beginning of year 29,639,914 1,157,786 677,141 31,474,841 Fund balance - End of year $ 25,518,636 $ 1,127,264 $ (2,879,998) $ 23,765,902 -74- COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES This page intentionally left blank. DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Court Assessment Business Technology & Taxation Grant Justice La Pine Loan Reserve Reserve Projects Court Industrial ASSETS Cash and cash equivalents $ 124,657 $ 4,325 $ 56,914 $ 11,432 $ 29,093 $ 3,285 Investments, plus accrued interest 321,090 11,142 146,597 29,445 72,875 8,462 Taxes receivable - - - _ _ _ Accounts receivable - - 42,626 199 - Notes and contracts receivable 386,944 - - - 95,905 Inventory - - _ _ Restricted cash Total assets $ 832,691 $ 15,467 $ 203,511 $ 83,503 $ 102,167 $ 107,652 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ - $ $ $ 83,364 $ 3,485 $ 11,741 Deposits - _ _ _ Deficit in pooled cash account - _ Due to other funds - - - _ Deferred revenues 386,944 - - 95,905 Unearned revenues Total liabilities 386,944 - 83,364 3,485 107,646 Fund balances: Undesignated 445,747 15,467 203,511 139 98,682 6 Total liabilities and fund balances $ 832,691 $ 15,467 $ 203,511 $ 83,503 $ 102,167 $ 107,652 Continued -77- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -78- Park Park General General Bethlehem Acquisitions & Development County Capital Inn Development Fees Mental Health Projects Reserve ASSETS Cash and cash equivalents $ - $ 27,213 $ 41,993 $ 725,972 $ 58,662 $ 297,722 Investments, plus accrued interest - 70,096 108,165 1,869,430 151,102 766,868 Taxes receivable - - - - 34,553 - Accounts receivable - 16,332 295,087 - - Notes and contracts receivable - - - - - Inventory - - - - Restricted cash Total assets $ - $ 113,641 $ 150,158 $ 2,890,489 $ 244,317 $ 1,064,590 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 276 $ - $ - $ 208,906 $ 21,260 $ 108,919 Deposits - - - - - Deficit in pooled cash account 2,620,673 - - Due to other funds - - - - Deferred revenues - - - 26,341 Unearned revenues Total liabilities 2,620,949 208,906 47,601 108,919 Fund balances: Undesignated (2,620,949) 113,641 150,158 2,681,583 196,716 955,671 Total liabilities and fund balances $ - $ 113,641 $ 150,158 $ 2,890,489 $ 244,317 $ 1,064,590 Continued -78- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -79- County Special Taylor Transient Video Welcome School Transportation Grazing Room Tax Lottery Center ASSETS Cash and cash equivalents $ 97 $ 31,662 $ 1,591 $ 10,443 $ 10,661 $ 30,203 Investments, plus accrued interest 249 81,554 4,100 26,899 27,459 62,468 Taxes receivable - - - 334,187 - 55,667 Accounts receivable Notes and contracts receivable _ Inventory Restricted cash - - - 15,327 Total assets $ 346 $ 113,216 $ 5,691 $ 371,529 $ 38,120 $ 163,665 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ - $ 71,896 $ - $ 35,602 $ - $ 90,985 Deposits _ _ Deficit in pooled cash account - Due to other funds _ Deferred revenues _ _ Unearned revenues _ Total liabilities - 71,896 - 35,602 90,985 Fund balances: Undesignated 346 41,320 5,691 335,927 38,120 72,680 Total liabilities and fund balances $ 346 $ 113,216 $ 5,691 $ 371,529 $ 38,120 $ 163,665 Continued -79- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -80- Property County Management Foreclosed Liquor Victims' Law Clerk Operations Land Sales Enforcement Assistance Library Records ASSETS Cash and cash equivalents $ 26,877 $ 42,116 $ 6,709 $ 21,304 $ 40,873 $ 83,613 Investments, plus accrued interest 69,228 108,483 17,280 54,733 105,281 215,370 Taxes receivable - _ _ _ _ Accounts receivable Notes and contracts receivable Inventory Restricted cash Total assets $ 96,105 $ 150,599 $ 23,989 $ 76,037 $ 146,154 $ 298,983 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 149 $ 81 $ - $ 1,721 $ 606 $ - Deposits - 4,500 - Deficit in pooled cash account - _ Due to other funds Deferred revenues - - - Unearned revenues Total liabilities 149 81 6,221 606 Fund balances: Undesignated 95,956 150,518 23,989 69,816 145,548 298,983 Total liabilities and fund balances $ 96,105 $ 150,599 $ 23,989 $ 76,037 $ 146,154 $ 298,983 Continued -80- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -81- Commission Community Sheriffs Des Co on Children & Justice Asset Court Communication Families Juvenile Forfeiture Facilities System Health ASSETS Cash and cash equivalents $ 234,564 $ 341,064 $ 7,111 $ 11,064 $ 54,084 $ 259,099 Investments, plus accrued interest 604,186 878,377 18,318 28,499 139,308 665,604 Taxes receivable - - _ _ _ _ Accounts receivable 6,775 9,565 - 6,377 - 248,053 Notes and contracts receivable - - - _ _ _ Inventory Restricted cash Total assets $ 845,525 $ 1,229,006 $ 25,429 $ 45,940 $ 193,392 $ 1,172,756 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 312,890 $ 65,902 $ 1,157 $ - $ 1,322 $ 198,326 Deposits - _ _ _ _ _ Deficit in pooled cash account Due to other funds - _ Deferred revenues 1,303 - - Uneamed revenues 1,500 Total liabilities 312,890 67,205 1,157 1,322 199,826 Fund balances: Undesignated 532,635 1,161,801 24,272 45,940 192,070 972,930 Total liabilities and fund balances $ 845,525 $ 1,229,006 $ 25,429 $ 45,940 $ 193,392 $ 1,172,756 Continued -81- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -82- Health Acute Care Code Healthy Start Dept Reserve ABHA Services OHP-CDO Abatement ASSETS Cash and cash equivalents $ 127,367 $ 152,941 $ 175,666 $ 328,072 $ 53,980 $ 25,617 Investments, plus accrued interest 328,069 393,941 452,476 845,040 139,039 65,984 Taxes receivable - _ _ _ _ Accounts receivable 93,818 250,536 - Notes and contracts receivable - - Inventory Restricted cash Total assets $ 549,254 $ 546,882 $ 878,678 $ 1,173,112 $ 193,019 $ 91,601 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 30,770 $ - $ - $ 179,860 $ 23,374 $ - Deposits - _ _ _ _ Deficit in pooled cash account - - - _ Due to other funds - _ _ _ Deferred revenues - - - _ _ Unearned revenues 5,000 Total liabilities 35,770 179,860 23,374 Fund balances: Undesignated 513,484 546,882 878,678 993,252 169,645 91,601 Total liabilities and fund balances $ 549,254 $ 546,882 $ 878,678 $ 1,173,112 $ 193,019 $ 91,601 Continued -82- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -83- CDD CDD Community Building CDD Community Groundwater Newberry Development Program Electrical Development Partnership Neighborhood Reserve Reserve Reserve ASSETS Cash and cash equivalents $ $ 133,590 $ 113,353 $ 683,901 $ 541,276 $ 77,301 Investments, plus accrued interest - 344,098 291,971 1,761,579 1,394,208 199,112 Taxes receivable _ _ Accounts receivable 4,200 - _ _ Notes and contracts receivable - 1,109,333 60,000 Inventory _ _ _ Restricted cash Total assets $ 4,200 $ 477,688 $ 1,514,657 $ 2,505,480 $ 1,935,484 $ 276,413 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 68,819 $ - $ _ $ _ $ - $ _ Deposits 7,879 _ Deficit in pooled cash account 2,595,960 Due to other funds - Deferred revenues - - 1,109,333 60,000 _ Unearned revenues 359,109 Total liabilities 2,672,658 359,109 1,109,333 60,000 Fund balances: Undesignated (2,668,458) 118,579 405,324 2,445,480 1,935,484 276,413 Total liabilities and fund balances $ 4,200 $ 477,688 $ 1,514,657 $ 2,505,480 $ 1,935,484 $ 276,413 Continued -83- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable CDD $ 89,515 Natural Federal Public Land Road _ Bldg Improv GIS Resources Forest Title Corner Building & Reserve Dedicated Protection III Preservation Equipment ASSETS Unearned revenues Cash and cash equivalents $ 30,990 $ 220,094 $ $ 151,159 $ 408,972 $ 483,182 Investments, plus accrued interest 79,824 566,913 - 389,351 1,053,420 1,244,571 Taxes receivable _ _ Total liabilities and fund balances $ 110,814 $ 791,807 $ 246,156 $ 540,510 $ 1,462,392 Accounts receivable - 4,800 246,156 Notes and contracts receivable _ Inventory _ _ _ - Restricted cash Total assets $ 110,814 $ 791,807 $ 246,156 $ 540,510 $ 1,462,392 $ 1,727,753 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ $ 526 $ 89,515 $ 3,250 $ $ 160,440 Deposits _ _ Deficit in pooled cash account 53,786 Due to other funds _ Deferred revenues _ Unearned revenues Total liabilities 526 143,301 3,250 160,440 Fund balances: Undesignated 110,814 791,281 102,855 537,260 1,462,392 1,567,313 Total liabilities and fund balances $ 110,814 $ 791,807 $ 246,156 $ 540,510 $ 1,462,392 $ 1,727,753 Continued -84- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -85- Road Vehicle Countywide Rural Improvement Maintenance & Adult Parole LED LED Reserve Replacement Dog Control S Probation Capital Res Capital Res ASSETS Cash and cash equivalents $ 1,620 $ 231,326 $ 47,155 $ 206,234 $ 204,031 $ 200,982 Investments, plus accrued interest 4,173 595,845 121,459 531,086 525,539 517,687 Taxes receivable - - - _ _ _ Accounts receivable 2,209 - - Notes and contracts receivable - - - Inventory _ Restricted cash Total assets $ 5,793 $ 827,171 $ 170,823 $ 737,320 $ 729,570 $ 718,669 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ - $ - $ 38,190 $ 36,019 $ - $ - Deposits - - - _ Deficit in pooled cash account - - Due to other funds - - _ Deferred revenues - - Unearned revenues Total liabilities 38,190 36,019 Fund balances: Undesignated 5,793 827,171 132,633 701,301 729,570 718,669 Total liabilities and fund balances $ 5,793 $ 827,171 $ 170,823 $ 737,320 $ 729,570 $ 718,669 Continued -85- DESCHUTES COUNTY NONMAJOR SPECIAL REVENUE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 10 Sunriver Sunriver Deschutes Service Service Total Nonmajor Deschutes County 911 District District Special County911 Reserve Extension 4-1-I Black Butte General Reserve Revenue Funds ASSETS Cash and cash equivalents $ 739,758 $ 169,353 $ 65,524 $ 314,007 $ 1,249,508 $ 678,080 $ 10,409,442 Investments, plus accrued interest 1,905,456 436,216 168,777 - - - 21,018,502 Taxes receivable 160,663 - 19,800 39,692 188,572 833,134 Accounts receivable 7,980 222 171 29,733 1,264,839 Notes and contracts receivable - - - - 1,652,182 Inventory - - Restricted cash 15,327 Total assets $ 2,813,857 $ 605,569 $ 254,323 $ 353,870 $ 1,467,813 $ 678,080 $ 35,193,426 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 14,895 $ - $ 15,715 $ - 136,991 $ - $ 2,016,952 Deposits - 15,894 - - 28,273 Deficit in pooled cash account - - 5,270,419 Due to other funds - - - - - _ Deferred revenues 122,869 15,255 30,508 145,079 1,993,537 Unearned revenues 365,609 Total liabilities 137,764 - 46,864 30,508 282,070 9,674,790 Fund balances: Undesignated 2,676,093 605,569 207,459 323,362 1,185,743 678,080 25,518,636 Total liabilities and fund balances $ 2,813,857 $ 605,569 $ 254,323 $ 353,870 $ 1,467,813 $ 678,080 $ 35,193,426 10 EXPENDITURES DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS Current COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 General services Community Court Assessment 6,828 Business Development Technology & Taxation Grant Justice - Loan Block Grant Reserve Reserve Projects Court REVENUES - County roads - Local - - Taxes - Property $ - $ $ $ - $ $ Taxes - Other - - - - - Licenses and Permits - - - - - Fines, forfeitures, and penalties - - - Debt service Investment earnings and rent 21,536 41 868 3,511 131 6,103 Charges for services - - - - - Other 217,552 - Intergovernmental Capital outlay Local - - - - State - - 83,364 1,369 Federal 83,364 557,627 Excess (deficiency) of revenues Total revenues 239,088 41 868 3,511 83,495 7,472 EXPENDITURES Current General services - 6,828 83,364 557,627 Education - - - - - - County roads - - - - Public safety - - - - - Health and welfare - - - - - Debt service Interest - - - Capital outlay - - Total expenditures - 6,828 83,364 557,627 Excess (deficiency) of revenues over expenditures 239,088 41 (5,960) 3,511 131 (550,155) OTHER FINANCING SOURCES (USES) Transfers in from other funds - - 200,000 - 521,146 Transfers out to other funds (1,556) - - - Proceeds from sale of assets Total other financing sources (uses) - (1,556) 200,000 521,146 Net change in fund balances 239,088 (1,515) (5,960) 203,511 131 (29,009) Fund balance - Beginning of year 206,659 1,515 21,427 8 127,691 Fund balance - End of year $ 445,747 $ - $ 15,467 $ 203,511 $ 139 $ 98,682 Continued -87- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued -88- Park Park La Pine Bethlehem Acquisition & Development Industrial Inn Development Fees Mental Health REVENUES Local Taxes - Property $ $ $ - $ $ Taxes - Other - - Licenses and Permits - 6,300 171,484 Fines, forfeitures, and penalties 155 - - 42,674 Investment earnings and rent 16,806 - 7,086 6,450 156,447 Charges for services - - - - 2,828,321 Other 18,464 - - 17,600 Intergovernmental Local - - - 94,471 State - 134,945 - 5,611,214 Federal 143,583 Total revenues 35,425 142,031 12,750 9,065,794 EXPENDITURES Current General services 35,571 66,181 1,518 - Education - - - County roads - - - Public safety - - - - Health and welfare - 2,517,913 - 11,012,190 Debt service Interest - 103,036 - - Capital outlay - 20,119 Total expenditures 35,571 2,620,949 66,181 1,518 11,032,309 Excess (deficiency) of revenues over expenditures (146) (2,620,949) 75,850 11,232 (1,966,515) OTHER FINANCING SOURCES (USES) Transfers in from other funds - - - 1,910,182 Transfers out to other funds - (178,467) - (150,000) Proceeds from sale of assets Total other financing sources (uses) - (178,467) 1,760,182 Net change in fund balances (146) (2,620,949) (102,617) 11,232 (206,333) Fund balance - Beginning of year 152 216,258 138,926 2,887,916 Fund balance - End of year $ 6 $ (2,620,949) $ 113,641 $ 150,158 $ 2,681,583 Continued -88- Continued -89- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 General General County Capital County Special Taylor Projects Reserve Schools Transportation Grazing REVENUES Local Taxes - Property $ 588,787 $ $ $ $ - Taxes - Other - - - Licenses and Permits - - - Fines, forfeitures, and penalties - - 340 - - Investment earnings and rent 534,142 46,978 2,240 5,997 258 Charges for services - - - - - Other - - Intergovernmental Local - - - - State - - 190,619 259,077 3,213 Federal 1,021,013 Total revenues 1,122,929 46,978 1,214,212 265,074 3,471 EXPENDITURES Current General services 178,863 - - - 2,241 Education - 1,213,866 - County roads - - - - - Public safety - - - - - Health and welfare - - - 326,110 Debt service Interest - - - - - Capital outlay 522,102 183,866 - - Total expenditures 700,965 183,866 1,213,866 326,110 2,241 Excess (deficiency) of revenues over expenditures 421,964 (136,888) 346 (61,036) 1,230 OTHER FINANCING SOURCES (USES) Transfers in from other funds - 70,000 - - - Transfers out to other funds (598,159) - - - - Proceeds from sale of assets Total other financing sources (uses) (598,159) 70,000 Net change in fund balances (176,195) (66,888) 346 (61,036) 1,230 Fund balance - Beginning of year 372,911 1,022,559 102,356 4,461 Fund balance - End of year $ 196,716 $ 955,671 $ 346 $ 41,320 $ 5,691 Continued -89- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued -90- Property Transient Welcome Management Foreclosed Room Tax Video Lottery Center Operations Land Sales REVENUES Local Taxes - Property $ - $ $ - $ $ - Taxes - Other 3,030,229 - 504,998 - Licenses and Permits - - - - Fines, forfeitures, and penalties 28 - - - Investment earnings and rent 22,651 11,156 5,342 5,363 4,696 Charges for services - - - - 90,091 Other - - - Intergovemmentai Local - - 85,500 - State - 750,022 - - - Federal Total revenues 3,052,908 761,178 595,840 5,363 94,787 EXPENDITURES Current General services 3,003,135 668,563 392,582 19,233 86,866 Education - - - - - County roads - - Public safety - - Health and welfare - Debt service Interest - - Capital outlay - Total expenditures 3,003,135 668,563 392,582 19,233 86,866 Excess (deficiency) of revenues over expenditures 49,773 92,615 203,258 (13,870) 7,921 OTHER FINANCING SOURCES (USES) Transfers in from other funds - - - - - Transfers out to other funds (30,353) (275,897) (200,000) - - Proceeds from sale of assets 46,000 Total other financing sources (uses) (30,353) (275,897) (200,000) 46,000 Net change in fund balances 19,420 (183,282) 3,258 32,130 7,921 Fund balance - Beginning of year 316,507 221,402 69,422 63,826 142,597 Fund balance - End of year $ 335,927 $ 38,120 $ 72,680 $ 95,956 $ 150,518 Continued -90- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued -91- Commission Liquor Victims' County Clerk on Children & Enforcement Assistance Law Library Records Families REVENUES Local Taxes - Property $ - $ $ - $ $ Taxes - Other - - Licenses and Permits - - - Fines, forfeitures, and penalties 43,449 10,815 - - 25,455 Investment earnings and rent 1,163 3,089 6,218 13,046 41,025 Charges for services - 23,400 475 65,754 20,833 Other - - - 5,700 Intergovernmental Local - - - - State - 73,523 167,195 - 1,387,946 Federal 33,639 515,044 Total revenues 44,612 144,466 173,888 78,800 1,996,003 EXPENDITURES Current General services - 141,312 82,258 - Education - - - - County roads - - - Public safety - 303,398 - - - Health and welfare 147 - - - 2,597,294 Debt service Interest - - - - Capitai outlay Total expenditures 147 303,398 141,312 82,258 2,597,294 Excess (deficiency) of revenues over expenditures 44,465 (158,932) 32,576 (3,458) (601,291) OTHER FINANCING SOURCES (USES) Transfers in from other funds - 155,445 - - 520,497 Transfers out to other funds (35,000) - - - Proceeds from sale of assets Total other financing sources (uses) (35,000) 155,445 520,497 Net change in fund balances 9,465 (3,487) 32,576 (3,458) (80,794) Fund balance - Beginning of year 14,524 73,303 112,972 302,441 613,429 Fund balance - End of year $ 23,989 $ 69,816 $ 145,548 $ 298,983 $ 532,635 Continued -91- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Taxes - Other Licenses and Permits Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Current General services Education County roads Public safety Health and welfare Debt service Interest Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Transfers out to other funds Proceeds from sale of assets Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year Community Sheriffs Justice Asset Court Juvenile Forfeiture Facilities Des Co Sheriffs Communication Capital System Reserve 1,613 - 119,383 - - 72,581 1,658 1,526 6,578 2,628 631,637 - - 565,891 - 1,784 - - - 1,200 - - - 416,828 - - - 118,891 1,244,534 1,658 120,909 572,469 2,628 6,996,624 25,529 101,060 255,555 1,218,870 6,810 200,086 7,003,434 25,529 101,060 455,641 1,218,870 (5,758,900) (23,871) 19,849 116,828 (1,216,242) 5,933,223 - - - - - (156,684) - 5,933,223 (156,684) 174,323 (23,871) 19,849 (39,856) (1,216,242) 987,478 48,143 26,091 231,926 1,216,242 $ 1,161,801 $ 24,272 $ 45,940 $ 192,070 $ -92- Continued DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Taxes - Other Licenses and Permits Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Current General services Education County roads Public safety Health and welfare Debt service Interest Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Transfers out to other funds Proceeds from sale of assets Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year Health Dept Acute Care Health Healthy Start Reserve ABHA Services 41,254 21,613 24,022 19,448 43,290 613,049 444,122 - - 11,250 19,065 965 - 16,373 10,000 - - - 2,548,047 190,234 2,733,863 845,725 4,199 3,241,987 666,934 24,022 2,753,311 900,265 5,476,425 691,930 5,476,425 691,930 (2,234,438) (24,996) 2,328,718 504,788 2,328,718 504,788 24,022 424,593 395,477 2,553,485 74,777 - - (150,000) - (364,768) 2,403,485 74,777 (364,768) 169,047 49,781 24,022 424,593 30,709 803,883 463,703 522,860 454,085 962,543 $ 972,930 $ 513,484 $ 546,882 $ 878,678 $ 993,252 Continued -93- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Taxes - Other Licenses and Permits Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Current General services Education County roads Public safety Health and welfare Debt service Interest Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Transfers out to other funds Proceeds from sale of assets Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year CDD Code Community Groundwater Newbery OHP-CDO Abatement Development Partnership Neighborhood - - 5,588 - - 7,783 4,023 - 20,983 17,666 - 4,635,889 - - - 57,812 - 557,283 - 397,586 - - 78,207 - - 405,369 4,023 5,276,967 20,983 75,478 8,303,916 306,987 - - ' 26,939 - - 306,987 8,330,855 98,382 4,023 (3,053,888) 20,983 75,478 354,139 (72,898) (180,000) - (61,032) (72,898) - 174,139 (61,032) 25,484 4,023 (2,879,749) 20,983 14,446 144,161 87,578 211,291 97,596 390,878 $ 169,645 $ 91,601 $ (2,668,458) $ 118,579 $ 405,324 -94- Continued DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued -95- Community CDD Building CDD Building Development Program CDD Electrical Improvement GIS Reserve Reserve Reserve Reserve Dedicated REVENUES Local Taxes - Property $ - $ - $ $ _ $ _ Taxes - Other _ _ _ Licenses and Permits - _ _ Fines, forfeitures, and penalties - - - _ _ Investment earnings and rent 117,686 80,348 16,673 5,345 40,687 Charges for services - - - - 369,490 Other _ Intergovernmental Local _ _ _ State - 112,120 Federal Total revenues 117,686 80,348 16,673 5,345 522,297 EXPENDITURES Current General services - - - - 592,040 Education _ _ _ County roads - Public safety _ _ _ Health and welfare - _ _ Debt service Interest _ _ _ _ _ Capital outlay 11,280 Total expenditures - 11,280 592,040 Excess (deficiency) of revenues over expenditures 117,686 80,348 16,673 (5,935) (69,743) OTHER FINANCING SOURCES (USES) Transfers in from other funds 233,861 436,179 - Transfers out to other funds (636,179) (50,139) (262,861) (116,026) Proceeds from sale of assets Total other financing sources (uses) (402,318) 386,040 (262,861) (116,026) Net change in fund balances (284,632) 466,388 (246,188) (5,935) (185,769) Fund balance - Beginning of year 2,730,112 1,469,096 522,601 116,749 977,050 Fund balance - End of year $ 2,445,480 $ 1,935,484 $ 276,413 $ 110,814 $ 791,281 Continued -95- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued na Natural Federal Public Land Road Resources Forest Title Comer Building & Protection III Surveyor Preservation Equipment REVENUES Local$ $ $ $ $ - Taxes - Property - Taxes - Other _ 179,408 Licenses and Permits _ - - Fines, forfeitures, and penalties 19,878 10,789 74,371 47,581 Investment earnings and rent 111,482 82,159 473,309 - Charges for services _ - Other 1'750 - Intergovernmental 25,000 _ Local 53,287 State 376,228 504,500 - - Federal 567,747 524,378 271356 547,680 47,581 Total revenues EXPENDITURES Current _ - - General services _ - Education 515,682 257,790 410,074 485,150 21,436 County roads Public safety _ Health and welfare - Debt service 794 _ - Interest 732,892 Capital outlay 516,476 257,790 410,074 485,150 754,328 Total expenditures Excess (deficiency) of revenues 51,271 266,588 (137,718) 62,530 (706,747) over expenditures OTHER FINANCING SOURCES (USES) - 128,118 - 920,000 Transfers in from other funds _ Transfers out to other funds 69,835 Proceeds from sale of assets -128 118 - 989,835 Total other financing sources (uses) 51,271 266,588 (9,600) 62,530 283,088 Net change in fund balances 51,584 270,672 9,600 1,399,862 1,284,225 Fund balance - Beginning of year $ 102,855 $ 537,260 $ - $ 1,462,392 $ 1� 567'313 Fund balance -End of year �_ ---- Continued na DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Taxes - Other Licenses and Permits Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Current General services Education County roads Public safety Health and welfare Debt service Interest Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Transfers out to other funds Proceeds from sale of assets Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year Vehicle Road Maintenance Countywide Improvement & Adult Parole LED Reserve Replacement Dog Control & Probation Capital Res 156,217 - - - 5,689 383,259 - 255 37,182 6,854 34,981 26,728 - 359,000 - 71,694 - - 1,672 - - - - 702,842 2,695,309 255 396,182 170,432 3,185,243 729,570 - 108,857 - - 297,377 3,294,638 154,024 262,881 297,377 3,294,638 255 133,301 (126,945) (109,395) 729,570 160,000 499,000 - (128,118) - - (128,118) 160,000 499,000 255 5,183 33,055 389,605 729,570 5,538 821,988 99,578 311,696 $ 5,793 $ 827,171 $ 132,633 $ 701,301 $ 729,570 -97- Continued DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued -98- Rural Deschutes LED Deschutes County 911 Capital Res County 911 Reserve Extension 4-H Black Butte REVENUES Local Taxes - Property $ $ 2,453,409 $ - $ 336,685 $ 678,046 Taxes - Other _ Licenses and Permits Fines, forfeitures, and penalties _ _ _ Investment earnings and rent 26,617 137,098 26,599 11,217 14,238 Charges for services - 102,967 - 439 13,200 Other _ _ _ _ 25,341 Intergovernmental Local 692,052 61,244 - - _ State - 796,478 - 15,421 - Federal 13,000 Total revenues 718,669 3,551,196 26,599 376,762 730,825 EXPENDITURES Current General services - - - 354,031 - Education County roads _ _ _ Public safety - 3,846,398 645,922 Health and welfare _ _ _ Debt service Interest _ Capital outlay 39,400 Total expenditures - 3,846,398 354,031 685,322 Excess (deficiency) of revenues over expenditures 718,669 (295,202) 26,599 22,731 45,503 OTHER FINANCING SOURCES (USES) Transfers in from other funds - _ _ _ Transfers out to other funds Proceeds from sale of assets Total other financing sources (uses) Net change in fund balances 718,669 (295,202) 26,599 22,731 45,503 Fund balance - Beginning of year - 2,971,295 578,970 184,728 277,859 Fund balance - End of year $ 718,669 $ 2,676,093 $ 605,569 $ 207,459 $ 323,362 Continued -98- DESCHUTES COUNTY, OREGON NONMAJOR SPECIAL REVENUE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Taxes - Other Licenses and Permits Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Current General services Education County roads Public safety Health and welfare Debt service Interest Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Transfers out to other funds Proceeds from sale of assets Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year Total Sunriver Sunriver Nonmajor Service District Service District Special Revenue General Reserve Funds $ 3,190,155 $ - $ 7,247,082 - - 3,535,227 - - 513,409 - - 638,448 58,727 30,427 2,031,677 166,320 - 11,680,772 30,826 398,531 - - 2,245,965 - - 19,467,385 (310,000) 2,808,304 3,446,028 30,427 50,566,800 14,684,986 1,213,866 - - 1,690,132 94 3,140,0 120 20,125,585 - - 25,762,502 - - 130,769 347,409 2,217,988 3,140,094 347,529 65,825,828 305,934 (317,102) (15,259,028) - 310,000 14,980,052 (310,000) - (3,958,137) 115,835 (310,000) 310,000 11,137,750 (4,066) (7,102) (4,121,278) 1,189,809 685,182 29,639,914 $ 1,185,743 $ 678,080 $ 25,518,636 DESCHUTES COUNTY, OREGON BUSINESS LOAN FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Other Total revenues EXPENDITURES Materials and services Capital outlay Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Original Budget Final Budget $ 5,000 $ 5,000 20,000 20,000 25,000 25,000 Variance with Actual Final Budget $ 21,536 $ 16,536 217,552 197,552 239,088 214,088 224,900 224,900 - 224,900 100 100 - 100 225,000 225,000 - 225,000 (200,000) (200,000) 239,088 439,088 200,000 200,000 206,659 6,659 $ - $ - $ 445,747 $ 445,747 5111111 -101- DESCHUTES COUNTY, OREGON COMMUNITY DEVELOPMENT BLOCK GRANT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ - $ - $ 41 $ 41 Total revenues - - 41 41 EXPENDITURES Capital outlay _ _ Total expenditures - _ _ _ Excess (deficiency) of revenues over expenditures - - 41 41 Other financing sources (uses) Appropriation transfer - 1,006 - (1,006) Transfers out (550) (1,556) (1,556) - Total other financing sources (uses) (550) (550) (1,556) (1,006) Net change in fund balance (550) (550) (1,515) (965) Fund balance - Beginning of year 550 550 1,515 965 Fund balance - End of year $ - $ - $ _ $ _ -101- DESCHUTES COUNTY, OREGON COURT TECHNOLOGY RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 1,000 $ 1,000 $ 868 $ (132) Total revenues 1,000 1,000 868 (132) EXPENDITURES Materials and services Capital outlay Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 30,900 30,900 6,828 24,072 100 100 - 100 31,000 31,000 6,828 24,172 (30,000) (30,000) (5,960) 24,040 30,000 30,000 21,427 (8,573) InlYz 15,467 $ 15,467 DESCHUTES COUNTY, OREGON ASSESSMENT & TAXATION RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with REVENUES Original Budget Final Budget Actual Final Budget Local Interest and rents $ - $ - $ 3,511 $ 3,511 Total revenues - - 3,511 3,511 EXPENDITURES Contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 200,000 200,000 - 200,000 200,000 200,000 - 200,000 (200,000) (200,000) 3,511 203,511 200,000 200,000 200,000 - 200,000 200,000 200,000 - -103- 203,511 203,511 $ 203,511 $ 203,511 DESCHUTES COUNTY, OREGON GRANT PROJECTS SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with REVENUES Original Budget Final Budget Actual Final Budget Local Interest and rents $ - $ - $ 131 $ 131 Intergovernmental Local 100,000 100,000 - (100,000) State - - 83,364 83,364 Total revenues 100,000 100,000 83,495 (16,505) EXPENDITURES Materials and services 99,900 99,900 83,364 16,536 Capital outlay 100 100 - 100 Total expenditures 100,000 100,000 83,364 16,636 Net change in fund balance - - 131 131 Fund balance - Beginning of year - - 8 8 Fund balance - End of year $ - $ - $ 139 $ 139 -104- DESCHUTES COUNTY, OREGON JUSTICE COURT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 3,500 $ 3,500 $ 6,103 $ 2,603 Intergovernmental State - - 1,369 1,369 Total revenues 3,500 3,500 7,472 3,972 EXPENDITURES Personnel services 426,238 426,238 383,002 43,236 Materials and services 181,317 181,317 174,625 6,692 Capital outlay 100 100 - 100 Total 607,655 607,655 557,627 50,028 Operating contingency 46,991 46,991 - 46,991 Total expenditures 654,646 654,646 557,627 97,019 Excess (deficiency) of revenues over expenditures (651,146) (651,146) (550,155) 100,991 Other financing sources (uses) Transfers in 521,146 521,146 521,146 - Total other financing sources (uses) 521,146 521,146 521,146 - Net change in fund balance (130,000) (130,000) (29,009) 100,991 Fund balance - Beginning of year 130,000 130,000 127,691 (2,309) Fund balance - End of year $ - $ - $ 98,682 $ 98,682 -105- DESCHUTES COUNTY, OREGON LA PINE INDUSTRIAL SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with REVENUES Original Budget Final Budget Actual Final Budget Local Fines, forfeitures, and penalties $ - $ - $ 155 $ 155 Interest and rents - 16,806 16,806 Other 1,000,000 1,000,000 18,464 (981,536) Total revenues 1,000,000 1,000,000 35,425 (964,575) EXPENDITURES Materials and services 1,000,000 1,000,000 35,571 964,429 Total expenditures 1,000,000 1,000,000 35,571 964,429 Net change in fund balance - - (146) (146) Fund balance - Beginning of year - - 152 152 Fund balance - End of year $ - $ - $ 6 $ 6 -106- DESCHUTES COUNTY, OREGON BETHLEHEM INN SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Other Intergovernmental State Total revenues EXPENDITURES Materials and services Debt Service Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Appropriation transfer Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year (275,000) (2,620,949) (2,345,949) 275,000 - (275,000) 275,000 - (275,000) - (2,620,949) (2,620,949) $ - $ - $ (2,620,949) $ (2,620,949) -107- Variance with Original Budget Final Budget Actual Final Budget 1,575,000 1,575,000 - (1,575,000) 800,000 800,000 - (800,000) 2,375,000 2,375,000 - (2,375,000) 2,255,000 2,530,000 2,517,913 12,087 120,000 120,000 103,036 16,964 2,375,000 2,650,000 2,620,949 29,051 (275,000) (2,620,949) (2,345,949) 275,000 - (275,000) 275,000 - (275,000) - (2,620,949) (2,620,949) $ - $ - $ (2,620,949) $ (2,620,949) -107- DESCHUTES COUNTY, OREGON PARK ACQUISITION AND DEVELOPMENT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Intergovernmental State Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfer out Proceeds from sale of assets Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 6,000 $ 6,000 $ 7,086 $ 1,086 65,000 65,000 134,945 69,945 71,000 71,000 142,031 71,031 87,000 87,000 66,181 20,819 100 100 - 100 87,100 87,100 66,181 20,919 98,900 55,433 - 55,433 186,000 142,533 66,181 76,352 (115,000) (71,533) 75,850 147,383 (135,000) (178,467) (178,467) - (135,000) (178,467) (178,467) - (250,000) (250,000) (102,617) 147,383 250,000 250,000 216,258 (33,742) $ - $ - $ 113,641 $ 113,641 111011:3 DESCHUTES COUNTY, OREGON PARK DEVELOPMENT FEES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Materials and services Capital outlay Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 143,900 143,900 1,518 142,382 100 100 - 100 144,000 144,000 1,518 142,482 !Si[ek]I 11,232 11,232 138,926 138,926 $ 150,158 $ 150,158 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Licenses and permits $ 140,000 $ 140,000 $ 6,300 $ (133,700) Interest and rents 4,000 4,000 6,450 2,450 Total revenues 144,000 144,000 12,750 (131,250) EXPENDITURES Materials and services Capital outlay Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 143,900 143,900 1,518 142,382 100 100 - 100 144,000 144,000 1,518 142,482 !Si[ek]I 11,232 11,232 138,926 138,926 $ 150,158 $ 150,158 DESCHUTES COUNTY, OREGON MENTAL HEALTH SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Personnel services 7,226,067 7,778,433 7,159,740 Variance with Materials and services Original Budget Final Budget Actual Final Budget REVENUES 100 21,100 20,119 981 Local 11,039,175 11,982,616 11,032,309 950,307 Licenses and Permits $ 165,500 $ 165,500 $ 171,484 $ 5,984 Fines, forfeitures, and penalties - - 42,674 42,674 Investment earnings and rent 160,740 160,740 156,447 (4,293) Charges for services 2,812,626 2,812,626 2,828,321 15,695 Other 2,000 2,000 17,600 15,600 Intergovernmental 1,890,709 1,890,709 1,910,182 19,473 Local 140,000 140,000 94,471 (45,529) State 4,404,395 5,303,019 5,611,214 308,195 Federal 145,618 145,618 143,583 (2,035) Total revenues 7,830,879 8,729,503 9,065,794 336,291 EXPENDITURES Personnel services 7,226,067 7,778,433 7,159,740 618,693 Materials and services 3,813,008 4,183,083 3,852,450 330,633 Capital outlay 100 21,100 20,119 981 Total 11,039,175 11,982,616 11,032,309 950,307 Operating contingency 1,432,413 1,387,596 - 1,387,596 Total expenditures 12,471,588 13,370,212 11,032,309 2,337,903 Excess (deficiency) of revenues over expenditures (4,640,709) (4,640,709) (1,966,515) 2,674,194 Other financing sources (uses) Transfers in 1,890,709 1,890,709 1,910,182 19,473 Transfer out (150,000) (150,000) (150,000) - Total other financing sources (uses) 1,740,709 1,740,709 1,760,182 19,473 Net change in fund balance (2,900,000) (2,900,000) (206,333) 2,693,667 Fund balance - Beginning of year 2,900,000 2,900,000 2,887,916 (12,084) Fund balance - End of year $ - $ - $ 2,681,583 $ 2,681,583 -110- DESCHUTES COUNTY, OREGON GENERAL COUNTY PROJECTS SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes -Property Interest and rents Total revenues EXPENDITURES Personnel Materials and services Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -111- Variance with Original Budget Final Budget Actual Final Budget $ 545,000 $ 545,000 $ 588,787 $ 43,787 536,056 536,056 534,142 (1,914) 1,081,056 1,081,056 1,122,929 41,873 207,997 207,997 178,863 29,134 525,000 525,000 522,102 2,898 732,997 732,997 700,965 32,032 348,059 348,059 421,964 73,905 100 100 - (100) (598,159) (598,159) (598,159) - (598,059) (598,059) (598,159) (100) (250,000) (250,000) (176,195) 73,805 250,000 250,000 372,911 122,911 $ - $ - $ 196,716 $ 196,716 -111- DESCHUTES COUNTY, OREGON GENERAL CAPITAL RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Transfers out Total other financing sources (uses) Net change in fund balance Variance with Original Budget Final Budget Actual Final Budget $ 50,000 $ 50,000 $ 46,978 $ (3,022) 50,000 50,000 46,978 (3,022) 100 100 - 100 250,000 250,000 183,866 66,134 250,100 250,100 183,866 66,234 837,800 837,800 - 837,800 1,087,900 1,087,900 183,866 904,034 (1,037,900) (1,037,900) (136,888) 901,012 - - 70,000 70,000 (100) (100) - 100 (100) (100) 70,000 70,100 (1,038,000) (1,038,000) (66,888) 971,112 Fund balance - Beginning of year 1,038,000 1,038,000 1,022,559 (15,441) Fund balance - End of year $ - $ - $ 955,671 $ 955,671 -112- DESCHUTES COUNTY, OREGON COUNTY SCHOOL FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures and penalties Interest and rents Intergovernmental State Federal Total revenues EXPENDITURES Materials and services Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Original Budget Final Budget $ 100 $ 100 $ 2,000 2,000 202,000 202,000 1,080,000 1,080,000 Variance with Actual Final Budget 340 $ 240 2,240 240 190,619 (11,381) 1,214,212 (69,888) 1,284,100 1,284,100 1,213,866 70,234 1,284,100 1,284,100 1,213,866 70,234 - - 346 346 -113- 346 $ 346 DESCHUTES COUNTY, OREGON SPECIAL TRANSPORTATION FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -114- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 4,000 $ 4,000 $ 5,997 $ 1,997 Intergovernmental State 265,000 265,000 259,077 (5,923) Total revenues 269,000 269,000 265,074 (3,926) EXPENDITURES Materials and services 268,900 328,900 326,110 2,790 Capital outlay 100 100 - 100 Total expenditures 269,000 329,000 326,110 2,890 Excess (deficiency) of revenues over expenditures - (60,000) (61,036) (1,036) Other financing sources (uses) Appropriation transfer - 60,000 - (60,000) Total other financing sources (uses) - 60,000 - (60,000) Net change in fund balance - - (61,036) (61,036) Fund balance - Beginning of year - - 102,356 102,356 Fund balance - End of year $ - $ - $ 41,320 $ 41,320 -114- DESCHUTES COUNTY, OREGON TAYLOR GRAZING SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ - $ - $ 258 $ 258 Intergovernmental State 4,000 4,000 3,213 (787) Total revenues 4,000 4,000 3,471 (529) EXPENDITURES Materials and services Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 8,300 8,300 2,241 6,059 n nnn n nnn n nA• � nen (4,300) (4,300) 1,230 5,530 4,300 4,300 4,461 161 $ 5,691 $ 5,691 -115- DESCHUTES COUNTY, OREGON TRANSIENT ROOM TAX SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) 2,851,199 3,034,459 3,003,135 31,324 30,353 (152,907) 49,773 202,680 Appropriation transfer - 183,260 - (183,260) Transfer out (30,353) (30,353) (30,353) - Total other financing sources (uses) (30,353) 152,907 (30,353) (183,260) Net change in fund balance - - 19,420 19,420 Fund balance - Beginning of year - - 316,507 316,507 Fund balance - End of year $ - $ - $ 335,927 $ 335,927 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Taxes -Other $ 2,863,552 $ 2,863,552 $ 3,030,229 $ 166,677 Fines, forfeitures, and penalties - - 28 28 Interest and rents 18,000 18,000 22,651 4,651 Total revenues 2,881,552 2,881,552 3,052,908 171,356 EXPENDITURES Personnel 4,700 4,700 3,198 1,502 Materials and services 2,846,499 3,029,759 2,999,937 29,822 Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) 2,851,199 3,034,459 3,003,135 31,324 30,353 (152,907) 49,773 202,680 Appropriation transfer - 183,260 - (183,260) Transfer out (30,353) (30,353) (30,353) - Total other financing sources (uses) (30,353) 152,907 (30,353) (183,260) Net change in fund balance - - 19,420 19,420 Fund balance - Beginning of year - - 316,507 316,507 Fund balance - End of year $ - $ - $ 335,927 $ 335,927 DESCHUTES COUNTY, OREGON VIDEO LOTTERY SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Personnel services 8,093 8,093 6,016 Variance with Materials and services Original Budget Final Budget Actual Final Budget REVENUES 100 100 - 100 Local 659,105 684,103 668,563 15,540 Interest and rents $ 10,000 $ 10,000 $ 11,156 $ 1,156 Intergovernmental 684,103 684,103 668,563 15,540 State 750,000 750,000 750,022 22 Total revenues 760,000 760,000 761,178 1,178 EXPENDITURES Personnel services 8,093 8,093 6,016 2,077 Materials and services 650,912 675,910 662,547 13,363 Capital outlay 100 100 - 100 Total 659,105 684,103 668,563 15,540 Operating contingency 24,998 - - - Total expenditures 684,103 684,103 668,563 15,540 Excess (deficiency) of revenues over expenditures 75,897 75,897 92,615 16,718 Other financing sources (uses) Transfer out (275,897) (275,897) (275,897) - Total other financing sources (uses) (275,897) (275,897) (275,897) - Net change in fund balance (200,000) (200,000) (183,282) 16,718 Fund balance - Beginning of year 200,000 200,000 221,402 21,402 Fund balance - End of year $ - $ - $ 38,120 $ 38,120 -117- DESCHUTES COUNTY, OREGON WELCOME CENTER SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes -Other Interest and rents Intergovernmental Local Total revenues EXPENDITURES Personnel Materials and services Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Appropriation transfer Transfer out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 477,259 $ 477,259 $ 504,998 $ 27,739 5,000 5,000 5,342 342 100,000 100,000 85,500 (14,500) 582,259 582,259 595,840 13,581 783 783 533 250 381,476 398,216 392,049 6,167 382,259 398,999 392,582 6,417 200,000 183,260 203,258 19,998 - 16,740 - (16,740) (200,000) (200,000) (200,000) - (200,000) (183,260) (200,000) (16,740) - - 3,258 3,258 69,422 69,422 $ - $ - $ 72,680 $ 72,680 -118- DESCHUTES COUNTY, OREGON PROPERTY MANAGEMENT OPERATIONS SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Proceeds of sale of assets Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 2,000 $ 2,000 $ 5,363 $ 3,363 2,000 2,000 5,363 3,363 97,130 65,000 63,826 32,744 32,744 19,233 13,511 100 100 - 100 32,844 32,844 19,233 13,611 84,156 84,156 - 84,156 117,000 117,000 19,233 97,767 (115,000) 50,000 50,000 (65,000) -119- 50,000 46,000 (4,000) 50,000 46,000 (4,000) (65,000) 32,130 97,130 65,000 63,826 (1,174) $ - $ 95,956 $ 95,956 DESCHUTES COUNTY, OREGON FORECLOSED LAND SALES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -120- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 4,000 $ 4,000 $ 4,696 $ 696 Charges for services - - 90,091 90,091 Total revenues 4,000 4,000 94,787 90,787 EXPENDITURES Materials and services 144,768 144,768 86,866 57,902 Capital outlay 100 100 - 100 Total 144,868 144,868 86,866 58,002 Operating contingency 9,132 9,132 - 9,132 Total expenditures 154,000 154,000 86,866 67,134 Net change in fund balance (150,000) (150,000) 7,921 157,921 Fund balance - Beginning of year 150,000 150,000 142,597 (7,403) Fund balance - End of year $ - $ - $ 150,518 $ 150,518 -120- DESCHUTES COUNTY, OREGON LIQUOR ENFORCEMENT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties Interest and rents Total revenues EXPENDITURES Materials and services Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfer out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 37,000 $ 37,000 $ 43,449 $ 6,449 500 500 1,163 663 37,500 37,500 44,612 7,112 147 147 147 - 147 147 147 - 13,813 13,813 - 13,813 13,960 13,960 147 13,813 23,540 23,540 44,465 20,925 (35,000) (35,000) (35,000) - (35,000) (35,000) (35,000) - (11,460) (11,460) 9,465 20,925 11,460 11,460 14,524 3,064 $ - $ - $ 23,989 $ 23,989 -121- DESCHUTES COUNTY, OREGON VICTIMS' ASSISTANCE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties Interest and rents Charges for services Intergovernmental State Federal Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -122- Variance with Original Budget Final Budget Actual Final Budget $ 6,500 $ 6,500 $ 10,815 $ 4,315 2,000 2,000 3,089 1,089 18,200 18,200 23,400 5,200 44,000 44,000 73,523 29,523 23,300 23,300 33,639 10,339 94,000 94,000 144,466 50,466 280,296 280,296 278,293 2,003 31,497 31,497 25,105 6,392 100 100 - 100 311,893 311,893 303,398 8,495 12,113 12,113 - 12,113 324,006 324,006 303,398 20,608 (230,006) (230,006) (158,932) 71,074 155,445 155,445 155,445 - (74,561) (74,561) (3,487) 71,074 74,561 74,561 73,303 (1,258) $ - $ - $ 69,816 $ 69,816 -122- DESCHUTES COUNTY, OREGON LAW LIBRARY SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 *NJ 4►Is] ki11 ltti Personnel services 46,689 49,889 48,676 Variance with Materials and services Original Budget Final Budget Actual Final Budget REVENUES 100 100 100 Local 135,525 144,125 141,312 2,813 Interest and rents $ 2,000 $ 2,000 $ 6,218 $ 4,218 Charges for services 700 700 475 (225) Intergovernmental (70,000) (70,000) 32,576 102,576 State 132,000 132,000 167,195 35,195 Total revenues 134.700 134.700 173.888 39.188 *NJ 4►Is] ki11 ltti Personnel services 46,689 49,889 48,676 1,213 Materials and services 88,736 94,136 92,636 1,500 Capital outlay 100 100 100 Total 135,525 144,125 141,312 2,813 Operating contingency 69,175 60,575 - 60,575 Total expenditures 204,700 204,700 141,312 63,388 Net change in fund balance (70,000) (70,000) 32,576 102,576 Fund balance - Beginning of year 70,000 70,000 112,972 42,972 Fund balance - End of year $ - $ - $ 145,548 $ 145,548 151p*a DESCHUTES COUNTY, OREGON COUNTY CLERK RECORDS SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -124- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 12,000 $ 12,000 $ 13,046 $ 1,046 Charges for services 99,800 99,800 65,754 (34,046) Total revenues 111,800 111,800 78,800 (33,000) EXPENDITURES Materials and services 89,815 89,815 82,258 7,557 Capital outlay 8,000 8,000 - 8,000 Total 97,815 97,815 82,258 15,557 Operating contingency 330,466 330,466 - 330,466 Total expenditures 428,281 428,281 82,258 346,023 Net change in fund balance (316,481) (316,481) (3,458) 313,023 Fund balance - Beginning of year 316,481 316,481 302,441 (14,040) Fund balance - End of year $ - $ - $ 298,983 $ 298,983 -124- DESCHUTES COUNTY, OREGON COMMISSION ON CHILDREN & FAMILIES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties Investment earnings and rent Charges for services Other Intergovernmental State Federal Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -125- Variance with Original Budget Final Budget Actual Final Budget $ 24,000 $ 24,000 $ 25,455 $ 1,455 25,000 25,000 41,025 16,025 3,500 3,500 20,833 17,333 12,000 12,000 5,700 (6,300) 1,233,705 1,233,705 1,387,946 154,241 719,207 719,207 515,044 (204,163) 2,017,412 2,017,412 1,996,003 (21,409) 546,721 546,721 501,808 44,913 2,150,116 2,150,116 2,095,486 54,630 100 100 - 100 2,696,937 2,696,937 2,597,294 99,643 383,183 383,183 - 383,183 3,080,120 3,080,120 2,597,294 482,826 (1,062,708) (1,062,708) (601,291) 461,417 520,497 520,497 520,497 - 520,497 520,497 520,497 - (542,211) (542,211) (80,794) 461,417 542,211 542,211 613,429 71,218 $ - $ - $ 532,635 $ 532,635 -125- DESCHUTES COUNTY, OREGON COMMUNITY JUSTICE - JUVENILE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties Interest and rents Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -126- Variance with Original Budget Final Budget Actual Final Budget $ 4,000 $ 4,000 $ 1,613 $ (2,387) 70,714 70,714 72,581 1,867 872,251 872,251 631,637 (240,614) - - 1,784 1,784 - - 1,200 1,200 371,985 371,985 416,828 44,843 153,998 195,325 118,891 (76,434) 1,472,948 1,514,275 1,244,534 (269,741) 5,593,614 5,775,456 5,251,908 523,548 2,060,711 2,037,507 1,744,716 292,791 200 7,400 6,810 590 7,654,525 7,820,363 7,003,434 816,929 651,646 527,135 - 527,135 8,306,171 8,347,498 7,003,434 1,344,064 (6,833,223) (6,833,223) (5,758,900) 1,074,323 5,933,223 5,933,223 5,933,223 - 5,933,223 5,933,223 5,933,223 - (900,000) (900,000) 174,323 1,074,323 900,000 900,000 987,478 87,478 $ - $ - $ 1,161,801 $ 1,161,801 -126- DESCHUTES COUNTY, OREGON SHERIFF'S ASSET FORFEITURE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties $ 5,000 $ 5,000 $ - $ (5,000) Interest and rents 2,000 2,000 1,658 (342) Total revenues 7,000 7,000 1,658 (5,342) EXPENDITURES Personnel services 6,514 11,514 7,792 3,722 Materials and services 30,787 30,787 17,737 13,050 Capital outlay 100 100 - 100 Total 37,401 42,401 25,529 16,872 Operating contingency 11,599 6,599 - 6,599 Total expenditures 49,000 49,000 25,529 23,471 Net change in fund balance (42,000) (42,000) (23,871) 18,129 Fund balance - Beginning of year 42,000 42,000 48,143 6,143 Fund balance - End of year $ - $ - $ 24,272 $ 24,272 -127- DESCHUTES COUNTY, OREGON COURT FACILITIES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -128- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Fines, forfeitures, and penalties $ 101,000 $ 101,000 $ 119,383 $ 18,383 Interest and rents 60 60 1,526 1,466 Total revenues 101,060 101,060 120,909 19,849 EXPENDITURES Materials and services 101,060 101,060 101,060 - Capital outlay - - - - Total expenditures 101,060 101,060 101,060 - Net change in fund balance - - 19,849 19,849 Fund balance - Beginning of year - - 26,091 26,091 Fund balance - End of year $ - $ - $ 45,940 $ 45,940 -128- DESCHUTES COUNTY, OREGON DESCHUTES COUNTY COMMUNICATION SYSTEM SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Materials and services 247,393 247,393 255,555 Variance with Capital outlay Original Budget Final Budget Actual Final Budget REVENUES 447,479 447,479 455,641 (8,162) Local 109,220 109,220 - 109,220 Interest and rents $ 8,955 $ 8,955 $ 6,578 $ (2,377) Charges for services 570,428 570,428 565,891 (4,537) Total revenues 579,383 579,383 572,469 (6,914) EXPENDITURES Materials and services 247,393 247,393 255,555 (8,162) Capital outlay 200,086 200,086 200,086 0 Total 447,479 447,479 455,641 (8,162) Operating contingency 109,220 109,220 - 109,220 Total expenditures 556,699 556,699 455,641 101,058 Excess (deficiency) of revenues over expenditures 22,684 22,684 116,828 94,144 Other financing sources (uses) Transfers out (156,684) (156,684) (156,684) - Total other financing sources (uses) (156,684) (156,684) (156,684) - Net change in fund balance (134,000) (134,000) (39,856) 94,144 Fund balance - Beginning of year 134,000 134,000 231,926 97,926 Fund balance - End of year $ - $ - $ 192,070 $ 192,070 1K011 -130- DESCHUTES COUNTY, OREGON SHERIFF'S CAPITAL RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ - $ - $ 2,628 $ 2,628 Total revenues - - 2,628 2,628 EXPENDITURES Materials and services 1,225,000 1,225,000 1,218,870 6,130 Total expenditures 1,225,000 1,225,000 1,218,870 6,130 Net change in fund balance (1,225,000) (1,225,000) (1,216,242) 8,758 Fund balance - Beginning of year 1,225,000 1,225,000 1,216,242 (8,758) Fund balance - End of year $ - $ - $ - $ - -130- DESCHUTES COUNTY, OREGON HEALTH SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -131- Variance with Original Budget Final Budget Actual Final Budget $ 30,000 $ 30,000 $ 41,254 $ 11,254 654,494 654,494 613,049 (41,445) 11,850 11,850 19,065 7,215 15,123 15,123 16,373 1,250 2,374,930 2,563,366 2,548,047 (15,319) - - 4,199 4,199 3,086,397 3,274,833 3,241,987 (32,846) 4,140,591 4,270,852 4,049,047 221,805 1,390,013 1,530,477 1,427,378 103,099 5,000 55,000 - 55,000 5,535,604 5,856,329 5,476,425 379,904 554,378 422,089 - 422,089 6,089,982 6,278,418 5,476,425 801,993 (3,003,585) (3,003,585) (2,234,438) 769,147 2,553,585 2,553,585 2,553,485 (100) (150,000) (150,000) (150,000) - 2,403,585 2,403,585 2,403,485 (100) (600,000) (600,000) 169,047 769,047 600,000 600,000 803,883 203,883 $ - $ - $ 972,930 $ 972,930 -131- Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 150,965 DESCHUTES COUNTY, OREGON 118,842 32,123 546,398 HEALTHYSTART 573,088 9,910 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE -BUDGET AND ACTUAL 100 BUDGETARY BASIS 100 697,463 734,063 FOR THE YEAR ENDED JUNE 30, 2008 42,133 411,863 375,263 - 375,263 Variance with 1,109,326 Original Budget Final Budget Actual Final Budget REVENUES (524,777) (524,777) Local 499,781 Interest and rents $ 18,000 $ 18,000 $ 21,613 $ 3,613 Charges for services 430,103 430,103 444,122 14,019 Other - - 965 965 Intergovernmental 450,000 450,000 463,703 Local - - 10,000 10,000 State 136.446 136.446 190234 53 7RR Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 150,965 150,965 118,842 32,123 546,398 582,998 573,088 9,910 100 100 - 100 697,463 734,063 691,930 42,133 411,863 375,263 - 375,263 1,109,326 1,109,326 691,930 417,396 (524,777) (524,777) (24,996) 499,781 74,777 74,777 74,777 - 74,777 74,777 74,777 - (450,000) (450,000) 49,781 499,781 450,000 450,000 463,703 13,703 $ - $ - $ 513,484 $ 513,484 -132- DESCHUTES COUNTY, OREGON HEALTH DEPARTMENT RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 26,000 $ 26,000 $ 24,022 $ (1,978) 26,000 26,000 24,022 (1,978) 100 100 - 100 5,000 5,000 - 5,000 5,100 5,100 - 5,100 543,800 543,800 - 543,800 548,900 548,900 - 548,900 (522,900) (522,900) 24,022 546,922 (100) (100)- 100 (100) (100) - 100 (523,000) (523,000) 24,022 547,022 523,000 523,000 522,860 (140) $ - $ - $ 546,882 $ 546,882 5100 DESCHUTES COUNTY, OREGON ABHA ACCOUNTABLE BEHAVIORAL HEALTH ALLIANCE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Intergovernmental State Total revenues EXPENDITURES Materials and services Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 2,495,616 (162,676) -134- 2,495,616 2,328,718 166,898 (162,676) 424,593 587,269 162,676 454,085 291,409 $ - $ 878,678 $ 878,678 Variance with Original Budget Final Budget Actual Final Budget $ 6,000 $ 6,000 $ 19,448 $ 13,448 2,326,940 2,326,940 2,733,863 406,923 2,332,940 2,332,940 2,753,311 420,371 2,328,718 2,328,718 2,328,718 - 2,328,718 2,328,718 2,328,718 - 2,495,616 (162,676) -134- 2,495,616 2,328,718 166,898 (162,676) 424,593 587,269 162,676 454,085 291,409 $ - $ 878,678 $ 878,678 DESCHUTES COUNTY, OREGON ACUTE CARE SERVICES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 EXPENDITURES Materials and services 510,778 786,660 504,788 Variance with Total Original Budget Final Budget Actual Final Budget REVENUES 682,632 663,159 - 663,159 Local 1,193,410 1,449,819 504,788 945,031 Interest and rents $ 35,000 $ 35,000 $ 43,290 $ 8,290 Charges for services - - 11,250 11,250 Intergovernmental State 550,042 825,924 845,725 19,801 Total revenues 585,042 860,924 900,265 39,341 EXPENDITURES Materials and services 510,778 786,660 504,788 281,872 Total 510,778 786,660 504,788 281,872 Contingency 682,632 663,159 - 663,159 Total expenditures 1,193,410 1,449,819 504,788 945,031 Excess (deficiency) of revenues over expenditures (608,368) (588,895) 395,477 984,372 Other financing sources (uses) Transfer out (345,295) (364,768) (364,768) - Total other financing sources (uses) (345,295) (364,768) (364,768) - Net change in fund balance (953,663) (953,663) 30,709 984,372 Fund balance - Beginning of year 953,663 953,663 962,543 8,880 Fund balance - End of year $ - $ - $ 993,252 $ 993,252 -135- -136- DESCHUTES COUNTY, OREGON OHP - CHEMICAL DEPENDENCY SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 4,000 $ 4,000 $ 7,783 $ 3,783 Intergovernmental State 420,000 420,000 397,586 (22,414) Total revenues 424,000 424,000 405,369 (18,631) EXPENDITURES Materials and services 311,537 311,537 306,987 4,550 Total 311,537 311,537 306,987 4,550 Operating contingency 219,216 219,216 - 219,216 Total expenditures 530,753 530,753 306,987 223,766 Excess (deficiency) of revenues over expenditures (106,753) (106,753) 98,382 205,135 Other financing sources (uses) Transfer out (72,898) (72,898) (72,898) - Total other financing sources (uses) (72,898) (72,898) (72,898) - Net change in fund balance (179,651) (179,651) 25,484 205,135 Fund balance - Beginning of year 179,651 179,651 144,161 (35,490) Fund balance - End of year $ - $ - $ 169,645 $ 169,645 -136- DESCHUTES COUNTY, OREGON CODE ABATEMENT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Total Contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 1,700 $ 1,700 $ 4,023 $ 2,323 A Inn A 111/1 I Ann n Ann 87,851 87,851 - 87,851 87,851 87,851 - 87,851 100 100 - 100 87,951 87,951 - 87,951 (86,251) (86,251) 4,023 90,274 (100) (100) - 100 (100) (100) - 100 (86,351) (86,351) 4,023 90,374 86,351 86,351 87,578 1,227 91,601 $ 91,601 -137- DESCHUTES COUNTY, OREGON COMMUNITY DEVELOPMENT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties Interest and rents Charges for services Other Intergovernmental Local State Federal Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 7,750 489 444 $ 7,750 $ 5,588 $ (2,162) 17,175 17,175 - (17,175) 7,269,250 7,269,250 4,635,889 (2,633,361) 794,500 794,500 557,283 (237,217) 100,000 100,000 - (100,000) 155,675 155,675 78,207 (77,468) 8,344,350 8,344,350 5,276,967 (3,067,383) 6,434,127 6,434,127 6,296,686 137,441 2,092,285 2,092,285 2,034,169 58,116 100 100 - 100 8,526,512 8,526,512 8,330,855 195,657 481,321 481,321 - 481,321 9,007,833 9,007,833 8,330,855 676,978 (663,483) (663,483) (3,053,888) (2,390,405) 354,239 354,239 354,139 (100) (180,200) (180,200) (180,000) 200 174,039 174,039 174,139 100 (489,444) (489,444) (2,879,749) (2,390,305) AAA nn4 11- A- , 489,444 -138- 1 (2,668,458) $ (2,668,458) DESCHUTES COUNTY, OREGON CDD GROUNDWATER PARTNERSHIP SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Charges for services Total revenues EXPENDITURES Materials and services Capital outlay Total Contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 34,000 $ 34,000 $ 20,983 $ (13,017) 2,464,500 2,464,500 - (2,464,500) 2,498,500 2,498,500 20,983 (2,477,517) 5,000,000 5,000,000 - 5,000,000 100 100 - 100 5,000,100 5,000,100 - 5,000,100 196,847 196,847 - 196,847 5,196,947 5,196,947 - 5,196,947 (2,698,447) (2,698,447) 20,983 2,719,430 1,000,000 1,000,000 - (1,000,000) 1,000,000 1,000,000 - (1,000,000) (1,698,447) (1,698,447) 20,983 1,719,430 1,698,447 1,698,447 97,596 (1,600,851) $ - $ - $ 118,579 $ 118,579 -139- DESCHUTES COUNTY, OREGON NEWBERRY NEIGHBORHOOD SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Other Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers out Proceeds of sale of assets Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -140- Variance with Original Budget Final Budget Actual Final Budget $ 9,130 $ 9,130 $ 17,666 $ 8,536 - - 57,812 57,812 9,130 9,130 75,478 66,348 50,000 50,000 - 50,000 38,000 38,000 - 38,000 88,000 88,000 - 88,000 181,129 181,129 - 181,129 269,129 269,129 - 269,129 (259,999) (259,999) 75,478 335,477 (1,061,032) (1,061,032) (61,032) 11000,000 864,500 864,500 - (864,500) (196,532) (196,532) (61,032) 135,500 (456,531) (456,531) 14,446 470,977 456,531 456,531 390,878 (65,653) $ - $ - $ 405,324 $ 405,324 -140- DESCHUTES COUNTY, OREGON COMMUNITY DEVELOPMENT RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Appropriation transfer Transfers in Transfer out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 49,500 $ 49,500 $ 117,686 $ 68,186 49,500 49,500 117,686 68,186 500,100 500,100 - 500,100 500,100 500,100 - 500,100 (450,600) (450,600) 117,686 568,286 - 436,179 - (436,179) 100 100 233,861 233,761 (325,000) (761,179) (636,179) 125,000 (775,500) (775,500) (284,632) 490,868 $ 1,971,864 $ 1,971,864 $ 2,445,480 $ 473,616 -141- DESCHUTES COUNTY, OREGON CDD BUILDING RESERVE PROGRAM SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Transfer out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -142- Variance with Original Budget Final Budget Actual Final Budget $ 34,300 $ 34,300 $ 80,348 $ 46,048 34,300 34,300 80,348 46,048 100 100 - 100 100 100 - 100 200 200 - 200 500,000 500,000 - 500,000 500,200 500,200 - 500,200 (465,900) (465,900) 80,348 546,248 100 100 436,179 436,079 (50,139) (50,139) (50,139) - (50,039) (50,039) 386,040 436,079 (515,939) (515,939) 466,388 982,327 1,715,175 1,715,175 1,469,096 (246,079) $ 1,199,236 $ 1,199,236 $ 1,935,484 $ 736,248 -142- DESCHUTES COUNTY, OREGON CDD ELECTRICAL PROGRAM RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -143- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 10,400 $ 10,400 $ 16,673 $ 6,273 Total revenues 10,400 10,400 16,673 6,273 EXPENDITURES Materials and services 100 100 - 100 Capital outlay 100 100 - 100 Total 200 200 - 200 Operating contingency 250,000 250,000 - 250,000 Total expenditures 250,200 250,200 - 250,200 Excess (deficiency) of revenues over expenditures (239,800) (239,800) 16,673 256,473 Other financing sources (uses) Appropriation transfer - 233,861 - (233,861) Transfers out (29,000) (262,861) (262,861) - Total other financing sources (uses) (29,000) (29,000) (262,861) (233,861) Net change in fund balance (268,800) (268,800) (246,188) 22,612 Fund balance - Beginning of year 520,106 520,106 522,601 2,495 Fund balance - End of year $ 251,306 $ 251,306 $ 276,413 $ 25,107 -143- DESCHUTES COUNTY, OREGON CDD BUILDING IMPROVEMENT RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -144- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 1,870 $ 1,870 $ 5,345 $ 3,475 Total revenues 1,870 1,870 5,345 3,475 EXPENDITURES Materials and services 250,000 250,000 - 250,000 Capital outlay 251,136 251,136 11,280 239,856 Total expenditures 501,136 501,136 11,280 489,856 Excess (deficiency) of revenues over expenditures (499,266) (499,266) (5,935) 493,331 Other financing sources (uses) Transfers in 125,000 125,000 - (125,000) Total other financing sources (uses) 125,000 125,000 - (125,000) Net change in fund balance (374,266) (374,266) (5,935) 368,331 Fund balance - Beginning of year 374,266 374,266 116,749 (257,517) Fund balance - End of year $ - $ - $ 110,814 $ 110,814 -144- DESCHUTES COUNTY, OREGON GIS DEDICATED FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfer out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year (262,387) (262,387) (69,743) 192,644 (177,026) (177,026) (116,026) 61,000 (177,026) (177,026) (116,026) 61,000 (439,413) (439,413) (185,769) 253,644 ^119 An^ nn 1 InA n7-1 nrn nn inn $ 498,047 $ 498,047 $ 791,281 $ 293,234 -145- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 41,500 $ 41,500 $ 40,687 $ (813) Charges for services 487,563 487,563 369,490 (118,073) Intergovernmental State 142,417 142,417 112,120 (30,297) Total revenues 671,480 671,480 522,297 (149,183) EXPENDITURES Personnel services 512,311 512,311 495,560 16,751 Materials and services 179,056 179,056 96,480 82,576 Capital outlay 17,500 17,500 - 17,500 Total 708,867 708,867 592,040 116,827 Operating contingency 225,000 225,000 - 225,000 Total expenditures 933,867 933,867 592,040 341,827 Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfer out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year (262,387) (262,387) (69,743) 192,644 (177,026) (177,026) (116,026) 61,000 (177,026) (177,026) (116,026) 61,000 (439,413) (439,413) (185,769) 253,644 ^119 An^ nn 1 InA n7-1 nrn nn inn $ 498,047 $ 498,047 $ 791,281 $ 293,234 -145- DESCHUTES COUNTY, OREGON NATURAL RESOURCE PROTECTION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -146- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 1,000 $ 1,000 $ - $ (1,000) Charges for services 122,500 122,500 111,482 (11,018) Other - - 1,750 1,750 Intergovernmental Local 25,000 25,000 25,000 - State 8,900 8,900 53,287 44,387 Federal 626,000 626,000 376,228 (249,772) Total revenues 783,400 783,400 567,747 (215,653) EXPENDITURES Personnel services 104,509 143,249 122,979 20,270 Materials and services 680,341 680,341 393,497 286,844 Total 784,850 823,590 516,476 307,114 Operating contingency 38,740 - - - Total expenditures 823,590 823,590 516,476 307,114 Net change in fund balance (40,190) (40,190) 51,271 91,461 Fund balance - Beginning of year 40,190 40,190 51,584 11,394 Fund balance - End of year $ - $ - $ 102,855 $ 102,855 -146- DESCHUTES COUNTY, OREGON FEDERAL FOREST TITLE III SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -147- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 5,000 $ 5,000 $ 19,878 $ 14,878 Intergovernmental Federal 505,400 505,400 504,500 (900) Total revenues 510,400 510,400 524,378 13,978 EXPENDITURES Materials and services 259,029 259,029 257,790 1,239 Total 259,029 259,029 257,790 1,239 Operating contingency 505,400 505,400 - 505,400 Total expenditures 764,429 764,429 257,790 506,639 Net change in fund balance (254,029) (254,029) 266,588 520,617 Fund balance - Beginning of year 254,029 254,029 270,672 16,643 Fund balance - End of year $ - $ - $ 537,260 $ 537,260 -147- DESCHUTES COUNTY, OREGON SURVEYOR SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Licenses and Permits Interest and rents Charges for services Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfer in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 217,500 $ 217,500 $ 179,408 $ (38,092) 6,000 6,000 10,789 4,789 336,000 430,000 430,000 469,970 336,000 272,356 (63,644) 430,000 410,074 19,926 39,970 - 39,970 (133,970) (133,970) (137,718) (3,748) 124,709 124,709 128,118 3,409 124,709 124,709 128,118 3,409 (9,261) (9,261) (9,600) (339) 9,261 9,261 9,600 339 50-2 ISiLlrv: I DESCHUTES COUNTY, OREGON PUBLIC LAND CORNER PRESERVATION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Licenses and Permits $ - $ - $ - $ - Interest and rents 70,000 70,000 74,371 4,371 Charges for services 600,000 600,000 473,309 (126,691) Total revenues 670,000 670,000 547,680 (122,320) EXPENDITURES Materials and services 470,000 670,000 485,150 184,850 Total 470,000 670,000 485,150 184,850 Operating contingency 1,498,554 1,298,554 - 1,298,554 Total expenditures 1,968,554 1,968,554 485,150 1,483,404 Excess (deficiency) of revenues over expenditures (1,298,554) (1,298,554) 62,530 1,361,084 Other financing sources (uses) Transfer out (30,000) (30,000) - 30,000 Total other financing sources (uses) (30,000) (30,000) - 30,000 Net change in fund balance (1,328,554) (1,328,554) 62,530 1,391,084 Fund balance - Beginning of year 1,328,554 1,328,554 1,399,862 71,308 Fund balance - End of year $ - $ - $ 1,462,392 $ 1,462,392 ISiLlrv: I DESCHUTES COUNTY, OREGON ROAD BUILDING & EQUIPMENT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 40,000 $ 40,000 $ 47,581 $ 7,581 Total revenues 40,000 40,000 47,581 7,581 EXPENDITURES Materials and services 21,436 21,436 21,436 - Capital outlay 911,000 911,000 732,892 178,108 Total 932,436 932,436 754,328 178,108 Operating contingency 1,100,648 1,100,648 - 1,100,648 Total expenditures 2,033,084 2,033,084 754,328 1,278,756 Excess (deficiency) of revenues over expenditures (1,993,084) (1,993,084) (706,747) 1,286,337 Other financing sources (uses) Transfers in 930,000 930,000 920,000 (10,000) Sale of capital assets - - 69,835 69,835 Total other financing sources (uses) 930,000 930,000 989,835 59,835 Net change in fund balance (1,063,084) (1,063,084) 283,088 1,346,172 Fund balance - Beginning of year 1,063,084 1,063,084 1,284,225 221,141 Fund balance - End of year $ - $ - $ 1,567,313 $ 1,567,313 -150- DESCHUTES COUNTY, OREGON ROAD IMPROVEMENT RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Charges for services Total revenues EXPENDITURES Capital outlay Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Original Budget Final Budget $ 250 $ 250 $ 255 $ 5 10,000 10,000 - (10,000) 10,250 10,250 255 (9,995) Variance with Actual Final Budget 10,250 10,250 255 (9,995) (15,660) (15,660) - 15,660 (15,660) (15,660) - 15,660 (5,410) (5,410) 255 5,665 5,410 5,410 5,538 128 $ - $ - $ 5,793 $ 5,793 -151- DESCHUTES COUNTY, OREGON VEHICLE MAINTENANCE AND REPLACEMENT RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Charges for services Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers out Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 30,000 $ 30,000 $ 37,182 $ 7,182 310,000 310,000 359,000 49,000 340,000 340,000 396,182 56,182 101,000 121,000 108,857 12,143 500,000 500,000 154,024 345,976 601,000 621,000 262,881 358,119 394,520 371,110 - 371,110 995,520 992,110 262,881 729,229 (655,520) (652,110) 133,301 785,411 (124,709) (128,119) (128,118) 1 (124,709) (128,119) (128,118) 1 (780,229) (780,229) 5,183 785,412 780,229 780,229 821,988 41,759 $ - $ - $ 827,171 $ 827,171 -152- DESCHUTES COUNTY, OREGON DOG CONTROL SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Licenses and Permits Fines, forfeitures, and penalties Interest and rents Other Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -153- Variance with Original Budget Final Budget Actual Final Budget $ 172,250 $ 172,250 $ 156,217 $ (16,033) 3,000 3,000 5,689 2,689 4,000 4,000 6,854 2,854 - - 1,672 1,672 179,250 179,250 170,432 (8,818) 54,652 54,652 54,632 20 287,998 287,998 242,745 45,253 100 100 - 100 342,750 342,750 297,377 45,373 41,500 41,500 - 41,500 384,250 384,250 297,377 86,873 (205,000) (205,000) (126,945) 78,055 160,000 160,000 160,000 - 160,000 160,000 160,000 - (45,000) (45,000) 33,055 78,055 70,000 70,000 99,578 29,578 $ 25,000 $ 25,000 $ 132,633 $ 107,633 -153- DESCHUTES COUNTY, OREGON ADULT PAROLE & PROBATION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Fines, forfeitures, and penalties Interest and rents Charges for services Intergovernmental Local State Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -154- Variance with Original Budget Final Budget Actual Final Budget $ 299,300 $ 299,300 $ 383,259 $ 83,959 31,500 31,500 34,981 3,481 62,900 62,900 71,694 8,794 10,000 10,000 - (10,000) 2,462,149 2,675,052 2,695,309 20,257 2,865,849 3,078,752 3,185,243 106,491 2,651,144 2,885,570 2,585,578 299,992 627,262 730,262 709,060 21,202 100 100 - 100 3,278,506 3,615,932 3,294,638 321,294 286,343 161,820 - 161,820 3,564,849 3,777,752 3,294,638 483,114 (699,000) (699,000) (109,395) 589,605 499,000 499,000 499,000 - 499,000 499,000 499,000 - (200,000) (200,000) 389,605 589,605 200,000 200,000 311,696 111,696 $ - $ - $ 701,301 $ 701,301 -154- DESCHUTES COUNTY, OREGON COUNTYWIDE LAW ENFORCEMENT DISTRICT - CAPITAL RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Intergovernmental Local Total revenues EXPENDITURES Capital outlay Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 15,030 $ 15,030 $ 26,728 $ 11,698 713,925 713,925 702,842 (11,083) 728,955 728,955 729,570 615 728,955 728,955 - 728,955 728,955 728,955 - 728,955 - - 729,570 729,570 -155- - $ 729,570 $ 729,570 DESCHUTES COUNTY, OREGON RURAL LAW ENFORCEMENT DISTRICT - CAPITAL RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Intergovernmental Local Total revenues EXPENDITURES Capital outlay Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Variance with Original Budget Final Budget Actual Final Budget $ 14,970 $ 14,970 $ 26,617 $ 11,647 711,075 711,075 692,052 (19,023) 726,045 726,045 718,669 (7,376) 726,045 726,045 - 726,045 726,045 726,045 - 726,045 - - 718,669 718,669 $ - $ - $ 718,669 $ 718,669 -156- DESCHUTES COUNTY, OREGON DESCHUTES COUNTY 911 SERVICE DISTRICT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes -Property Interest and rents Charges for services Intergovernmental Local State Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -157- $ 2,676,093 $ 2,676,093 Variance with Original Budget Final Budget Actual Final Budget $ 2,441,259 $ 2,441,259 $ 2,453,409 $ 12,150 46,280 46,280 137,098 90,818 111,000 111,000 102,967 (8,033) 50,000 50,000 61,244 11,244 781,640 781,640 796,478 14,838 3,430,179 3,430,179 3,551,196 121,017 3,439,398 3,439,398 3,041,069 398,329 753,249 758,349 805,329 (46,980) 51,000 45,900 - 45,900 4,243,647 4,243,647 3,846,398 397,249 1,786,532 1,786,532 - 1,786,532 6,030,179 6,030,179 3,846,398 2,183,781 (2,600,000) (2,600,000) (295,202) 2,304,798 -157- $ 2,676,093 $ 2,676,093 DESCHUTES COUNTY, OREGON 911 CSD - EQUIPMENT RESERVE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 13,000 $ 13,000 $ 26,599 $ 13,599 Total revenues 13,000 13,000 26,599 13,599 EXPENDITURES Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 13,000 13,000 26,599 13,599 577,467 577,467 578,970 1,503 $ 590,467 $ 590,467 $ 605,569 $ 15,102 -158- DESCHUTES COUNTY, OREGON EXTENSION 4-H COUNTY SERVICE DISTRICT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -159- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Taxes -Property $ 310,672 $ 310,672 $ 336,685 $ 26,013 Interest and rents 10,200 10,200 11,217 1,017 Charges for services 400 400 439 39 Intergovernmental State 20,200 20,200 15,421 (4,779) Federal 13,000 13,000 13,000 - Total revenues 354,472 354,472 376,762 22,290 EXPENDITURES Personnel services 208,527 208,527 207,825 702 Materials and services 177,098 177,098 146,206 30,892 Capital outlay 54,100 54,100 - 54,100 Total 439,725 439,725 354,031 85,694 Operating contingency 24,747 24,747 - 24,747 Total expenditures 464,472 464,472 354,031 110,441 Net change in fund balance (110,000) (110,000) 22,731 132,731 Fund balance - Beginning of year 180,000 180,000 184,728 4,728 Fund balance - End of year $ 70,000 $ 70,000 $ 207,459 $ 137,459 -159- DESCHUTES COUNTY, OREGON BLACK BUTTE RANCH COUNTY SERVICE DISTRICT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes -Property Interest and rents Charges for services Other Total revenues EXPENDITURES Personnel services Materials and services Capital outlay Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 500,718 141,515 40,000 682,233 500,718 508,509 141,515 137,413 25,000 - (7,791) 4,102 707,233 707,233 685,322 Variance with Original Budget Final Budget Actual Final Budget 273,725 273,725 277,859 $ 672,000 $ 672,000 $ 678,046 $ 6,046 4,000 4,000 14,238 10,238 13,200 13,200 13,200 - - - 25,341 25,341 689,200 689,200 730,825 41,625 500,718 141,515 40,000 682,233 500,718 508,509 141,515 137,413 25,000 - (7,791) 4,102 707,233 707,233 685,322 21,911 (18,033) (18,033) 45,503 63,536 273,725 273,725 277,859 4,134 $ 255,692 $ 255,692 $ 323,362 $ 67,670 -160- DESCHUTES COUNTY, OREGON SUNRIVER SERVICE DISTRICT - GENERAL FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 -161- Variance with Original Budget Final Budget Actual Final Budget REVENUES Local Taxes -Property $ 3,156,163 $ 3,156,163 $ 3,190,155 $ 33,992 Contract payments 5,000 5,000 5,000 - Interest and rents 40,000 40,000 58,727 18,727 Charges for services 205,456 205,456 161,320 (44,136) Other 5,700 5,700 30,826 25,126 Total revenues 3,412,319 3,412,319 3,446,028 33,709 EXPENDITURES Police Personnel services 1,155,217 1,155,217 1,150,611 4,606 Materials and services 153,016 153,016 134,793 18,223 Total 1,308,233 1,308,233 1,285,404 22,829 Fire and Emergency Services Personnel services 1,306,806 1,306,806 1,300,782 6,024 Materials and services 263,023 342,023 311,260 30,763 Total 1,569,829 1,648,829 1,612,042 36,787 Pathway Rangers Personnel services 79,669 79,669 65,584 14,085 Materials and services 6,500 7,500 6,003 1,497 Total 86,169 87,169 71,587 15,582 General Personnel services 22,640 22,640 5,541 17,099 Materials and services 160,500 170,500 165,520 4,980 Capital outlay 100 100 - 100 Total 183,240 193,240 171,061 22,179 Operating contingency 975,426 885,426 - 885,426 Total expenditures 4,122,897 4,122,897 3,140,094 982,803 Excess (deficiency) of revenues over expenditures (710,578) (710,578) 305,934 1,016,512 Other financing sources (uses) Transfer out (310,000) (310,000) (310,000) - Net change in fund balance (1,020,578) (1,020,578) (4,066) 1,016,512 Fund balance - Beginning of year 1,020,578 1,020,578 1,189,809 169,231 Fund balance - End of year $ - $ - $ 1,185,743 $ 1,185,743 -161- DESCHUTES COUNTY, OREGON SUNRIVER SERVICE DISTRICT - RESERVE FUND SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Variance with REVENUES Original Budget Final Budget Actual Final Budget Local Interest and rents $ 15,000 $ 15,000 $ 30,427 $ 15,427 Total revenues 15,000 15,000 30,427 15,427 EXPENDITURES Materials and services 250 250 120 130 Capital outlay 352,700 418,700 347,409 71,291 Total 352,950 418,950 347,529 71,421 Operating contingency 669,870 603,870 - 603,870 Total expenditures 1,022,820 1,022,820 347,529 675,291 Excess (deficiency) of revenues over expenditures (1,007,820) (1,007,820) (317,102) 690,718 Other financing sources (uses) Transfers in Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 310,000 310,000 310,000 - (697,820) (697,820) (7,102) 690,718 697,820 697,820 685,182 (12,638) $ - $ - $ 678,080 $ 678,080 -162- DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -163- CDD Bldg 2000 Series FF & C, LTD Tax LID LID LID Refunding Full Faith & Improvement 2003 Series 2005 Series 2007 Series Series 2004 Credit 2003 ASSETS Cash and cash equivalents $ 1,391 $ 554 $ 82 $ 5,179 $ 11,861 $ 4,283 Investments, plus accrued interest 3,583 1,425 212 13,340 30,552 11,032 Taxes receivable - _ - _ Accounts receivable - - - 54,092 Assessments receivable 74,074 256,835 126,896 777,516 Total assets $ 79,048 $ 258,814 $ 127,190 $ 796,035 $ 42,413 $ 69,407 LIABILITIES AND FUND BALANCES Liabilities: Deferred revenues $ 74,074 $ 256,835 $ 126,896 $ 777,516 $ $ Total liabilities 74,074 256,835 126,896 777,516 Fund balances: Unreserved 4,974 1,979 294 18,519 42,413 69,407 Total liabilities and fund balances $ 79,048 $ 258,814 $ 127,190 $ 796,035 $ 42,413 $ 69,407 Continued -163- DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 Continued -164- HHS/BJCC FF & C, Government Public Safety Redmond Full Faith & Full Faith & Refunding Center, Refunding General Building 1994 Credit 2005 Credit 2008 Series 2005 Series 1989 COPs Obligation COPs ASSETS Cash and cash equivalents $ 865 24,067 $ 3,361 $ 32,221 $ 58,191 $ 12,278 Investments, plus accrued interest 2,227 61,992 8,659 82,996 149,886 31,626 Taxes receivable - - - - 123,019 - Accounts receivable - 21,341 - - Assessments receivable Total assets $ 3,092 $ 107,400 $ 12,020 $ 115,217 $ 331,096 $ 43,904 LIABILITIES AND FUND BALANCES Liabilities: Deferred revenues $ $ $ $ $ 93,707 $ Total liabilities 93,707 Fund balances: Unreserved 3,092 107,400 12,020 115,217 237,389 43,904 Total liabilities and fund balances $ 3,092 $ 107,400 $ 12,020 $ 115,217 $ 331,096 $ 43,904 Continued -164- DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 -165- Redmond Sunriver Welcome Bend Library Library CSD Library CSD Total PERS Series Center CSD General General General Nonmajor Debt 200212004 1988198 COPs Obligation Obligation Obligation Service Funds ASSETS Cash and cash equivalents $ 47,798 $ 58,760 $ 17,963 $ 1,399 $ 1,902 $ 282,155 Investments, plus accrued interest 123,117 151,354 46,270 3,605 4,898 726,774 Taxes receivable - - 42,859 10,795 5,549 182,222 Accounts receivable - - - - 75,433 Assessments receivable 1,235,321 Total assets $ 170,915 $ 210,114 $ 107,092 $ 15,799 $ 12,349 $ 2,501,905 LIABILITIES AND FUND BALANCES Liabilities: Deferred revenues $ $ $ 33,041 $ 8,305 $ 4,267 $ 1,374,641 Total liabilities 33,041 8,305 4,267 1,374,641 Fund balances: Unreserved 170,915 210,114 74,051 7,494 8,082 1,127,264 Total liabilities and fund balances $ 170,915 $ 210,114 $ 107,092 $ 15,799 $ 12,349 $ 2,501,905 -165- DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Special assessments Investment earnings and rent Charges for services Total revenues EXPENDITURES Materials and services Debt Service: Principal Interest Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year (896) (6,697) (6,192) (6,651) (178,604) 180,000 - - 180,000 (896) (6,697) (6,192) (6,651) 1,396 5,870 8,676 6,486 25,170 41,017 $ 4,974 $ 1,979 $ 294 $ 18,519 $ 42,413 Continued -166- CDD Bldg 2000 Series FF & C, LTD Tax LID LID LID Refunding Improvement 2003 Series 2005 Series 2007 Series Series 2004 41,740 55,102 25,094 275,018 - 7,966 16,052 7,612 15,253 2,419 49,706 71,154 32,706 290,271 2,419 - - - - 500 46,952 72,060 32,743 239,000 140,000 3,650 5,791 6,155 57,922 40,523 50,602 77,851 38,898 296,922 181,023 (896) (6,697) (6,192) (6,651) (178,604) 180,000 - - 180,000 (896) (6,697) (6,192) (6,651) 1,396 5,870 8,676 6,486 25,170 41,017 $ 4,974 $ 1,979 $ 294 $ 18,519 $ 42,413 Continued -166- DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Continued -167- HHS/BJCC FF & C Government Full Faith & Full Faith & Full Faith & Refunding Center, Refunding Credit 2003 Credit 2005 Credit 2008 Series 2005 Series 1989 COPS REVENUES Local Taxes - Property $ - $ - $ - $ - $ - Special assessments - - - - - Investment earnings and rent 648,749 1,492 107,400 7,944 74,690 Charges for services- Total revenues 648,749 1,492 107,400 7,944 74,690 EXPENDITURES Materials and services 1,000 - - 500 1,280 Debt Service: Principal 590,850 136,621 - 395,000 125,000 Interest 1,014,216 114,707 174,605 11,350 Total expenditures 1,606,066 251,328 - 570,105 137,630 Excess (deficiency) of revenues over expenditures (957,317) (249,836) 107,400 (562,161) (62,940) OTHER FINANCING SOURCES (USES) Transfers in from other funds 954,896 251,328 - 475,106 43,970 Total other financing sources (uses) 954,896 251,328 - 475,106 43,970 Net change in fund balances (2,421) 1,492 107,400 (87,055) (18,970) Fund balance - Beginning of year 71,828 1,600 - 99,075 134,187 Fund balance - End of year $ 69,407 $ 3,092 $ 107,400 $ 12,020 $ 115,217 Continued -167- DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Special assessments Investment earnings and rent Charges for services Total revenues EXPENDITURES Materials and services Debt Service: Principal Interest Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year Public Safety General Obligation Redmond Building 1994 PERS Series COPs 2002 and 2004 Welcome Bend Library Center 1988/98 CSD General COPs Obligation $ 2,060,175 $ $ $ - $ 721,723 35,534 2,690 11,507 6,135 3,867 795,562 - 2,095,709 2,690 807,069 6,135 725,590 - 650 - 1,280 - 1,610,000 35,000 51,350 140,000 585,000 532,565 4,800 740,960 17,920 142,207 2,142,565 40,450 792,310 159,200 727,207 (46,856) (37,760) 14,759 (153,065) (1,617) - 16,160 - 200,000 - 16,160 200,000 - (46,856) (21,600) 14,759 46,935 (1,617) 284,245 65,504 156,156 163,179 75,668 $ 237,389 $ 43,904 $ 170,915 $ 210,114 $ 74,051 W-1-31 Continued DESCHUTES COUNTY, OREGON NONMAJOR DEBT SERVICE FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Taxes - Property Special assessments Investment earnings and rent Charges for services Total revenues EXPENDITURES Materials and services Debt Service: Principal Interest Total expenditures Excess (deficiency) of revenues over expenditures OTHER FINANCING SOURCES (USES) Transfers in from other funds Total other financing sources (uses) Net change in fund balances Fund balance - Beginning of year Fund balance - End of year Redmond Sunriver Library CSD Library CSD Total General General Nonmajor Debt Obligation Obligation Service Funds $ 179,842 $ 92,455 $ 3,054,195 - - 396,954 4,038 1,951 955,299 795,562 183,880 94,406 5,202,010 - - 5,210 90,343 60,000 4,349,919 94,657 36,835 2,998,863 185,000 96,835 7,353,992 (1,120) (2,429) (2,151,982) 2,121,460 2,121,460 (1,120) (2,429) (30,522) 8,614 10,511 1,157,786 $ 7,494 $ 8,082 $ 1,127,264 DESCHUTES COUNTY, OREGON 2000 SERIES LIMITED TAX IMPROVEMENT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Special assessments Interest and rents Total revenues EXPENDITURES Debt service Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 112,637 112,637 49,706 (62,931) 100,897 100,897 50,602 50,295 100,897 100,897 11,740 11,740 -170- 50,602 50,295 - 11,740 (896) (896) DESCHUTES COUNTY, OREGON LOCAL IMPROVEMENT DISTRICT 2003 SERIES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Special assessments Interest and rents Total revenues EXPENDITURES Debt service Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Original Variance with Budget Final Budget Actual Final Budget $ 250,000 $ 250,000 $ 55,102 $ (194,898) 32,143 32,143 16,052 (16,091) 282,143 282,143 71,154 (210,989) 176,812 176,812 77,851 98,961 176,812 A— nnw 176,812 —1 nnw 77,851 98,961 •-1 nnw 282,143 282,143 77,851 - - (6,697) 8,676 $ - $ - 1,979 -171- nnA nnn (6,697) 8,676 $ 1,979 DESCHUTES COUNTY, OREGON LOCAL IMPROVEMENT DISTRICT 2005 SERIES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Special assessments Interest and rents Total revenues EXPENDITURES Debt service Total Operating Contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ 150,000 $ 150,000 $ 25,094 $ (124,906) 16,998 16,998 7,612 (9,386) 166,998 166,998 32,706 (134,292) 158,870 158,870 38,898 119,972 158,870 158,870 38,898 119,972 8,128 8,128 - 8,128 166,998 166,998 38,898 128,100 - - (6,192) (6,192) -172- $ - $ 294 $ 294 DESCHUTES COUNTY, OREGON LOCAL IMPROVEMENT DISTRICT 2007 SERIES SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Special assessments Interest and rents Total revenues EXPENDITURES Debt service Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Original 271,753 640,000 Variance with Budget Final Budget Actual Final Budget $ 18,519 $ 18,519 $ 400,000 $ 400,000 $ 275,018 $ (124,982) 70,000 70,000 15,253 (54,747) 470,000 470,000 290,271 (179,729) 368,247 368,247 296,922 71,325 368,247 368,247 296,922 71,325 271,753 271,753 640,000 640,000 (170,000) (170,000) 170,000 170,000 -173- - 271,753 296,922 343,078 (6,651) 163,349 25,170 (144,830) $ 18,519 $ 18,519 DESCHUTES COUNTY, OREGON CDD BUILDING 1996 FULL FAITH AND CREDIT, REFUNDING SERIES 2004 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Debt service Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ 2,000 $ 2,000 $ 2,419 $ 419 2,000 2,000 2,419 419 180,000 500 500 500 - 180,523 180,523 180,523 - 181,023 181,023 181,023 - 2,977 2,977 - 2,977 (182,000) (182,000) (178,604) 3,396 180,000 180,000 180,000 - 180,000 180,000 180,000 - (2,000) (2,000) 1,396 3,396 40,000 40,000 41,017 1,017 $ 38,000 $ 38,000 $ 42,413 $ 4,413 -174- DESCHUTES COUNTY, OREGON FULL FAITH AND CREDIT, SERIES 2003 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Debt service Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year Original Variance with Budget Final Budget Actual Final Budget $ 646,554 $ 646,554 $ 648,749 $ 2,195 646,554 646,554 648,749 2,195 1,500 1,500 1,000 500 1,605,066 1,605,066 1,605,066 - 1,606,566 1,606,566 1,606,066 500 64,884 64,884 - 64,884 1,671,450 1,671,450 1,606,066 65,384 (1,024,896) (1,024,896) (957,317) 67,579 954,896 954,896 954,896 - 954,896 954,896 954,896 - (70,000) (70,000) (2,421) 67,579 70,000 70,000 71,828 1,828 $ - $ - $ 69,407 $ 69,407 -175- DESCHUTES COUNTY, OREGON FULL FAITH AND CREDIT, SERIES 2005 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 1,000 $ 1,000 $ 1,492 $ 492 Total revenues 1,000 1,000 1,492 492 EXPENDITURES Materials and services Debt service Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 251,328 251,328 251,328 - 251,328 251,328 251,328 - 1,000 1,000 - 1,000 252,328 252,328 251,328 1,000 (251,328) (251,328) (249,836) 1,492 251,328 251,328 251,328 - 251,328 251,328 251,328 - - - 1,492 1,492 1,600 1,600 $ - $ - $ 3,092 $ 3,092 -176- DESCHUTES COUNTY, OREGON FULL FAITH AND CREDIT, SERIES 2008 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents Total revenues EXPENDITURES Debt service Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year -177- $ 107,400 $ 107,400 107,400 107,400 107,400 107,400 $ 107,400 $ 107,400 DESCHUTES COUNTY, OREGON HHS/BJCC FULL FAITH AND CREDIT, REFUNDING SERIES 2005 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Debt service Total Operating contingency Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Transfers in Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ 5,000 $ 5,000 $ 7,944 $ 2,944 5,000 5,000 500 500 500 - 569,606 569,606 569,605 1 570,106 570,106 570,105 1 5,000 5,000 - 5,000 575,106 575,106 570,105 5,001 (570,106) (570,106) (562,161) 7,945 475,106 475,106 475,106 - 475,106 475,106 475,106 - (95,000) (95,000) (87,055) 7,945 95,000 95,000 99,075 4,075 $ - $ - $ 12,020 $ 12,020 -179- DESCHUTES COUNTY, OREGON GOVERNMENT CENTER, 1998 REFUNDING SERIES COPS SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 73,122 $ 73,122 $ 74,690 $ 1,568 Total revenues 73,122 73,122 74,690 1,568 EXPENDITURES Materials and services 1,300 1,300 1,280 20 Debt service 136,350 136,350 136,350 - Total expenditures 137,650 137,650 137,630 20 Excess (deficiency) of revenues over expenditures (64,528) (64,528) (62,940) 1,588 Other financing sources (uses) Transfers in 43,970 43,970 43,970 - Total other financing sources (uses) 43,970 43,970 43,970 - Net change in fund balance (20,558) (20,558) (18,970) 1,588 Fund balance - Beginning of year 132,000 132,000 134,187 2,187 Fund balance - End of year $ 111,442 $ 111,442 $ 115,217 $ 3,775 -179- DESCHUTES COUNTY, OREGON PUBLIC SAFETY 1998/2002 GEN'L OBLIGATIONS BOND DEBT SERVICE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Taxes -Property Interest and rents Total revenues EXPENDITURES Debt service Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ 2,007,565 $ 2,007,565 $ 2,060,175 $ 52,610 2,047,565 2,047,565 2,095,709 48,144 2,142,565 2,142,565 2,142,565 - 2,142,565 2,142,565 2,142,565 - (95,000) (95,000) (46,856) 48,144 245,000 245,000 284,245 39,245 $ 150,000 $ 150,000 $ 237,389 $ 87,389 -180- -181- DESCHUTES COUNTY, OREGON REDMOND BUILDING 1994 SERIES COPs SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 2,500 $ 2,500 $ 2,690 $ 190 Total revenues 2,500 2,500 2,690 190 EXPENDITURES Materials and services 650 650 650 - Debt service 39,800 39,800 39,800 - Total expenditures 40,450 40,450 40,450 - Excess (deficiency) of revenues over expenditures (37,950) (37,950) (37,760) 190 Other financing sources (uses) Transfers in 16,160 16,160 16,160 - Total other financing sources (uses) 16,160 16,160 16,160 - Net change in fund balance (21,790) (21,790) (21,600) 190 Fund balance - Beginning of year 65,000 65,000 65,504 504 Fund balance - End of year $ 43,210 $ 43,210 $ 43,904 $ 694 -181- DESCHUTES COUNTY, OREGON PERS, SERIES 2002 and 2004 DEBT SERVICE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 10,000 $ 10,000 $ 11,507 $ 1,507 Charges for services 762,200 762,200 795,562 33,362 Total revenues EXPENDITURES Debt service Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 792,310 792,310 792,310 - 942,200 942,200 792,310 149,890 (170,000) (170,000) 14,759 184,759 170,000 170,000 156,156 (13,844) $ - $ - $ 170,915 $ 170,915 -182- -183- DESCHUTES COUNTY, OREGON WELCOME CENTER 1998 REFUNDING SERIES COPS SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 6,000 $ 6,000 $ 6,135 $ 135 Total revenues 6,000 6,000 6,135 135 EXPENDITURES Materials and services 1,280 1,280 1,280 - Debt service 157,920 157,920 157,920 - Total expenditures 159,200 159,200 159,200 - Excess (deficiency) of revenues over expenditures (153,200) (153,200) (153,065) 135 Other financing sources (uses) Transfers in 200,000 200,000 200,000 - Total other financing sources (uses) 200,000 200,000 200,000 - Net change in fund balance 46,800 46,800 46,935 135 Fund balance - Beginning of year 160,000 160,000 163,179 3,179 Fund balance - End of year $ 206,800 $ 206,800 $ 210,114 $ 3,314 -183- DESCHUTES COUNTY, OREGON BEND LIBRARY CSD DEBT SERVICE, G.O. 1996 & G.O. REF 2003 SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Taxes -Property $ 714,707 $ 714,707 $ 721,723 $ 7,016 Interest and rents Total revenues EXPENDITURES Debt service Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 724,707 724,707 725,590 883 727,207 727,207 727,207 - 727,207 727,207 727,207 - (2,500) (2,500) (1,617) 883 62,500 62,500 75,668 13,168 $ 60,000 $ 60,000 $ 74,051 $ 14,051 -184- DESCHUTES COUNTY, OREGON REDMOND LIBRARY CSD DEBT SERVICE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Taxes -Property Interest and rents Total revenues EXPENDITURES Debt service Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year 181,000 181,000 183,880 2,880 185,000 185,000 185,000 - 185,000 185,000 185,000 - (4,000) (4,000) (1,120) 2,880 6,000 6,000 8,614 2,614 -185- DESCHUTES COUNTY, OREGON SUNRIVER LIBRARY CSD DEBT SERVICE SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Taxes -Property Interest and rents Total revenues EXPENDITURES Debt service Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ 92,336 $ 92,336 $ 92,455 $ 119 1,500 1,500 1,951 451 93,836 93,836 94,406 570 96,836 96,836 96,835 1 96,836 96,836 96,835 1 (3,000) (3,000) (2,429) 571 10,000 10,000 10,511 511 $ 7,000 $ 7,000 $ 8,082 $ 1,082 -186- DESCHUTES COUNTY, OREGON NONMAJOR CAPITAL PROJECT FUNDS COMBINING BALANCE SHEET JUNE 30, 2008 ASSETS Cash and cash equivalents Investments, plus accrued interest Assessments receivable Total assets LIABILITIES AND FUND BALANCES Liabilities: Accounts payable Due to other funds Deposits Deferred revenues Total liabilities Fund balances: Unreserved Total liabilities and fund balances -1187- Total Local Jamison Nonmajor Improvement Jail Acquisition Capital District Construction and Remodel Projects Funds $ 44,436 $ 74,868 $ 142,172 $ 261,476 114,458 192,842 366,205 673,505 10,516 - - 10,516 $ 169,410 $ 267,710 $ 508,377 $ 945,497 $ - $ 267,567 $ - $ 267,567 - 386,612 3,160,000 3,546,612 800 - - 800 10,516 - - 10,516 11,316 654,179 3,160,000 3,825,495 158,094 (386,469) (2,651,623) (2,879,998) $ 169,410 $ 267,710 $ 508,377 $ 945,497 -1187- DESCHUTES COUNTY, OREGON NONMAJOR CAPITAL PROJECTS FUNDS COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES FOR THE YEAR ENDED JUNE 30, 2008 Total Local Jamison Nonmajor Improvement Jail Acquisition Capital District Construction and Remodel Projects Funds REVENUES Local Special assessments $ 85,540 $ - $ - $ 85,540 Investment earnings and rent 18,006 143 9,833 27,982 Total revenues 103,546 143 9,833 113,522 EXPENDITURES Capital outlay 622,593 386,612 2,608,940 3,618,145 Debt service Interest - - 52,516 52,516 Total expenditures 622,593 386,612 2,661,456 3,670,661 Net change in fund balance (519,047) (386,469) (2,651,623) (3,557,139) Fund balance - Beginning of year 677,141 - - 677,141 Fund balance - End of year $ 158,094 $ (386,469) $ (2,651,623) $ (2,879,998) DESCHUTES COUNTY, OREGON LOCAL IMPROVEMENT DISTRICT SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Special assessments Interest and rents Total revenues EXPENDITURES Materials and services Capital outlay Total Operating contingency Total expenditures Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ 200,000 $ 200,000 $ 85,540 $ (114,460) 10,000 10,000 18,006 8,006 210,000 210,000 103,546 (106,454) 185,000 185,000 90,050 94,950 626,825 626,825 532,543 94,282 811,825 811,825 622,593 189,232 31,363 31,363 - 31,363 843,188 843,188 622,593 220,595 (633,188) (633,188) (519,047) 114,141 633,188 633,188 677,141 43,953 $ - $ - $ 158,094 $ 158,094 st-1'11 DESCHUTES COUNTY, OREGON JAIL CONSTRUCTION SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents $ 100,000 $ 100,000 $ 143 $ (99,857) Total revenues 100,000 100,000 143 (99,857) EXPENDITURES Personnel 50,000 50,000 - 50,000 Materials and services 4,049,900 4,049,900 386,612 3,663,288 Capital outlay 100 100 - 100 Total expenditures 4,100,000 4,100,000 386,612 3,713,388 Excess (deficiency) of revenues over expenditures (4,000,000) (4,000,000) (386,469) 3,613,531 Other financing sources (uses) Bonds issuance 4,000,000 4,000,000 - (4,000,000) Total other financing sources (uses) 4,000,000 4,000,000 - (4,000,000) Net change in fund balance - - (386,469) (386,469) Fund balance - Beginning of year - - - - Fund balance - End of year $ - $ - $ (386,469) $ (386,469) -190- DESCHUTES COUNTY, OREGON JAMISON ACQUISITION AND REMODEL SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL BUDGETARY BASIS FOR THE YEAR ENDED JUNE 30, 2008 Original Variance with Budget Final Budget Actual Final Budget REVENUES Local Interest and rents Total revenues EXPENDITURES Materials and services Debt service Capital outlay Total expenditures Excess (deficiency) of revenues over expenditures Other financing sources (uses) Bondsissuance Total other financing sources (uses) Net change in fund balance Fund balance - Beginning of year Fund balance - End of year $ - $ 10,000 $ 9,833 $ (167) - 10,000 9,833 (167) - 10,000 6,854 3,146 60,000 52,516 7,484 - 3,100,000 2,602,086 497,914 - 3,170,000 2,661,456 508,544 - (3,160,000) (2,651,623) 508,377 -191- 3,160,000 - (3,160,000) 3,160,000 - (3,160,000) - (2,651,623) (2,651,623) $ (2,651,623) $ (2,651,623) This page intentionally left blank. FIDUCIARY FUNDS STATEMENT OF CHANGES IN ASSETS AND LIABILITIES - AGENCY FUNDS This page intentionally left blank. DESCHUTES COUNTY, OREGON FIDUCIARY FUNDS STATEMENT OF CHANGES IN ASSETS AND LIABILITIES - AGENCY FUNDS FOR THE YEAR ENDED JUNE 30, 2008 Amounts Held for Others Assets Cash, cash equivalents and investments, at market; plus accrued interest Accounts receivable Liabilities Accounts payable Due to other entities Governmental Others Balance July 1, 2007 Additions Deductions Balance June 30, 2008 $ 12,736,646 $ 233,312,693 $ 235,695,531 $ 10,353,808 147,954 364,850 185,601 327,203 $ 12,884,600 $ 233,677,543 $ 235,881,132 10,681,011 $ 76,635 $ 4,241,450 $ 4,180,518 137,567 3,249,825 230,716,828 233,159,640 807,013 9,558,140 3,745,057 3,566,766 9,736,431 $ 12,884,600 $ 238,703,335 $ 240,906,924 $ 10,681,011 SIT`-ul This page intentionally left blank. COMBINING PROPRIETARY FUNDS This page intentionally left blank. DESCHUTES COUNTY, OREGON SUB -FUNDS OF SOLID WASTE ENTERPRISE COMBINING SCHEDULE OF NET ASSETS JUNE 30, 2008 Noncurrent assets: Capital assets: 13,042,118 Solid Waste Solid Waste Land Solid Waste Construction in progress 376,849 Solid Waste Landfill Landfill Capital Equipment Environmental North Area 3,476,162 Vehicles Operations Closure Postclosure Projects Reserve Remadlation Development Total ASSETS LIABILITIES Current liabilities: Accounts payable 477,889 Interest payable 46,374 Current assets: 416,929 Total current liabilities 941,192 Cash and cash equivalents $ 486,781 $ 1,950,758 $ 647,824 $ 1,301,240 $ 222,715 $ 558,556 $ 38,275 $ 5,206,149 Investments, plus accrued interest 1,246,958 5,024,724 1,668,651 3,351,709 573,666 1,438,717 98,515 13,402,940 Accounts receivable 564,870 - - - - 23,548 588,418 Due from other funds 386,612 386,612 Total current assets 2,298,609 7,362,094 2,316,475 4,652,949 796,381 1,997,273 160,338 19,584,119 Noncurrent assets: Capital assets: 13,042,118 Capital assets not being depredated: 93,357 Land 1,761,217 Construction in progress 376,849 Capital assets net of accumulated depredation: 1,228,203 7,362,094 2,316,475 Land Improvements 10,864,338 Buildings and improvements, net 8,984,938 Equipment 3,476,162 Vehicles 119,014 Total capital assets 25,582,518 Deferred financing costs 262,625 Total noncurrent assets 25,845,143 Total assets 28,143,752 LIABILITIES Current liabilities: Accounts payable 477,889 Interest payable 46,374 Bonds and notes payable 416,929 Total current liabilities 941,192 1,761,217 376,849 10,864,338 8,984,938 3,476,162 119,014 25,582,518 262,625 25,845,143 7,362,094 2,316,475 4,652,949 796,381 1,997,273 160,338 45,429,262 Noncurrent liabilities: Bonds and notes payable 13,042,118 Premium on bonds payable 93,357 Accrued retiree health insurance 46,763 Accrued compensated leave 126,002 - - Accrued closure /postdosure 1,228,203 7,362,094 2,316,475 Total noncurrent liabilities 14,536,443 7,362,094 2,316,475 Total liabilities 15,477,635 7,362,094 2,316,475 NET ASSETS 87,955 160,338 726,182 - - 46,374 416,929 87,955 160,338 1,189,485 13,042,118 93,357 46,763 126,002 10.906,772 24,215,012 87,955 160,338 25,404,497 Invested in capital assets, net of related debt 12,123,472 - - 12,123,472 Unrestricted 542,645 4,564,994 796,381 1,997,273 7,901,293 Total net assets $ 12,666,117 $ $ $ 4,564,994 $ 796,381 $ 1,997,273 $ $ 20,024,765 -199- DESCHUTES COUNTY, OREGON SUB -FUNDS OF FAIR & EXPO CENTER ENTERPRISE COMBINING SCHEDULE OF NET ASSETS JUNE 30, 2008 ASSETS Current assets: Cash and cash equivalents Investments, plus accrued interest Accounts receivable Taxes receivable Prepaid expenses Total current assets Noncurrent assets: Capital assets: Capital assets not being depreciated: Land Capital assets net of accumulated depreciation: Land improvements Building and improvements Equipment and vehicles Total capital assets Other - deferred financing costs Total assets LIABILITIES Current liabilities: Accounts payable Annual Fair & Expo Fairgrounds 55,361 Fair & Expo County Center G.O. Bonds 322,775 Center Fair Reserve Debt Service Total Bonds and notes payable 186,413 - 1,450,000 1,636,413 $ 66,629 $ 35,141 $ 208,894 $ 19,868 $ 330,532 169,067 90,514 538,064 51,178 848,823 25,460 - - - 25,460 - - 117,330 117,330 Premium on bonds payable 186,653 - - 509,046 186,653 261,156 312,308 746,958 188,376 1,508,798 Total noncurrent liabilities 4,487,415 24,576 17,694,046 22,206,037 132,685 - - - 132,685 9,461,971 50,035 - 9,512,006 18,962,503 24,530,657 - - 18,962,503 514,075 - 117,078 - 631,153 29,071,234 (244) 167,113 746,958 29,238,347 74,208 $ 24,530,413 $ 87,957 1,049,648 1,123,856 29,406,598 312,308 914,071 1,238,024 31,871,001 Accounts payable 49,883 5,478 55,361 Unearned revenues 128,478 194,297 - 322,775 Interest payable 23,996 - 65,762 89,758 Bonds and notes payable 186,413 - 1,450,000 1,636,413 Total current liabilities 388,770 199,775 - 1,515,762 2,104,307 Noncurrent liabilities Bonds and notes payable 4,354,165 - 17,185,000 21,539,165 Discount on bonds payable (4,535) - (4,535) Premium on bonds payable 10,679 - - 509,046 519,725 Accrued compensated leave 127,106 24,576 151,682 Total noncurrent liabilities 4,487,415 24,576 17,694,046 22,206,037 Total liabilities 4,876,185 224,351 19,209,808 24,310,344 NET ASSETS Invested in capital assets, net of related debt 24,530,657 - 167,113 (18,635,000) 6,062,770 Restricted for debt service - - - 663,216 663,216 Unrestricted (244) 87,957 746,958 834,671 Total net assets $ 24,530,413 $ 87,957 $ 914,071 $ (17,971,784) $ 7,560,657 K11111 DESCHUTES COUNTY, OREGON SUB -FUNDS OF SOLID WASTE ENTERPRISE COMBINING SCHEDULE OF REVENUES, EXPENSES, AND CHANGES IN NET ASSETS FOR THE YEAR ENDED JUNE 30, 2008 -201- Solid Waste Solid Waste SW North Solid Waste Landfill Landfill Capital Equipment Environmental Area Operations Closure Post -Closure Projects Reserve Remedlation Development Total OPERATING REVENUES Charges for services $ 7,657,179 $ $ $ $ $ $ $ 7,657,179 Miscellaneous 92,430 92,430 Total operating revenues 7,749,609 7,749,609 OPERATING EXPENSES Personnel 1,699,502 1,699,502 Materials and services 3,560,476 213 9,711 163,807 3,734,207 Landfill dosure/postdosure care costs (667,186) - - - (667,186) Depredation 1,033,756 1,033,756 Total operating expenses 5,626,548 213 9,711 163,807 5,800,279 Operating income (loss) 2,123,061 (213) (9,711) (163,807) 1,949,330 NONOPERATING REVENUES (EXPENSES) Grant 18,050 - - 94,190 112,240 Investment earnings 140,631 292,782 99,110 123,969 32,559 87,731 135,170 911,952 Amortization of bond issue costs (12,334) - - - - (12,334) Interest expense (561,676) (561,676) Intrafund transfer of assets 15,864,257 (482,434) (397,740) (14,984,083) Gain (loss) on equipment disposition (88,616) (88,616) Total nonoperating revenues (expenses), net 15,360,312 292,782 99,110 (358,465) (365,181) 87,731 (14,754,723) 361,566 Income(loss)before transfers 17,483,373 292,569 99,110 (358,465) (374,892) 87,731 (14,918,530) 2,310,896 Transfers in 1,882,427 900,000 100,000 2,750,000 475,000 (1,882,427) 4,225,000 Transfers out (4,940,250) - - - (4,940,250) Equity transfer 1,391,679 (1,192,569) (199,110) Change in net assets 15,817,229 2,391,535 100,108 87,731 (16,800,957) 1,595,646 Total net assets - beginning (3,151,112) 2,173,459 696,273 1,909,542 16,800,957 18,429,119 Total net assets - ending $12,666,117 $ $ $ 4,564,994 $ 796,381 $ 1,997,273 $ $ 20,024,765 -201- DESCHUTES COUNTY, OREGON SUB -FUNDS OF FAIR & EXPO CENTER ENTERPRISE COMBINING SCHEDULE OF REVENUES, EXPENSES, AND CHANGES IN NET ASSETS FOR THE YEAR ENDED JUNE 30, 2008 -202- Fair & Expo Fairgrounds Total Fair & Fair & Expo Annual Fair & Expo Center G.O. Bonds Expo Center Center County Fair Construction Reserve Debt Service Funds OPERATING REVENUES Charges for services $ 1,624,303 $ 1,085,690 $ - $ - $ $ 2,709,993 Miscellaneous Total operating revenues 1,624,303 1,085,690 2,709,993 OPERATING EXPENSES Personnel 854,428 172,750 1,027,178 Materials and services 937,765 697,534 - 1,635,299 Depreciation 815,294 815,294 Total operating expenses 2,607,487 870,284 3,477,771 Operating income (loss) (983,184) 215,406 - (767,778) NONOPERATING REVENUES (EXPENSES) Grants 10,000 56,905 - - 66,905 Property taxes - - - 1,959,960 1,959,960 Investment earnings 9,914 9,137 7,392 37,026 13,962 77,431 Amortization of debt issuance costs (4,160) - - - (131,206) (135,366) Interest expense (178,574) - (747,513) (926,087) Gain (loss) on equipment disposition - Total nonoperating revenues (expenses), net (162,820) 66,042 7,392 37,026 1,095,203 1,042,843 Income (loss) before transfers (1,146,004) 281,448 7,392 37,026 1,095,203 275,065 Transfers in 4,418,005 - 43,466 100,000 - 4,561,471 Transfers out (100,000) (280,000) (3,712,652) (4,092,652) Change in net assets 3,172,001 1,448 (3,661,794) 137,026 1,095,203 743,884 Total net assets - beginning 21,358,412 86,509 3,661,794 777,045 (19,066,987) 6,816,773 Total net assets - ending $ 24,530,413 $ 87,957 $ - $ 914,071 $ (17,971,784) $ 7,560,657 -202- DESCHUTES COUNTY, OREGON SUB -FUNDS OF SOLID WASTE ENTERPRISE COMBINING SCHEDULE OF CASH FLOWS FOR THE YEAR ENDED JUNE 30, 2008 Solid waste solid waste Solid Waste Solid Waste Landfill Landfill Capital Equipment Environmental North Area Operations Closure Post -Closure Projects Reserve Remedlatlon Development Total CASH FLOWS FROM OPERATING ACTIVITIES 946,850 (388,151) (78,110) (1,574,850) Receipts from customers $ 7,671,799 $ - $ - $ - $ - Payments to employees (1,683,603) - - - - Payments to suppliers (3,357,390) (213) - - (9,711) Other receipts 92,430 (1,476,259) (19,847) 78,580 Net cash provided (used) by operating activities 2,723,236 (213) (252,026) (9,711) CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES 713,180 47,702 78,580 Grants 18,050 - 738,807 1,550,752 Interfund loan - (386,612) - - - Subfunds transfers In/(out) (2,342,573) 900,000 100,000 2,750,000 475,000 Interfund cash transfers in/(out) (715,250) $ 558,556 $ 38,275 $ 5,206,149 Net cash provided (used) by noncapital financing activities (3,039,773) 513,388 100,000 2,750,000 475,000 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition and construction of capital assets (92,386) - - (560,561) (397,740) Sale of capital assets 31,155 - - - - Principal paid on capital debt (354,401) - - - - Interest paid on capital debt (613,552) Net cash provided (used) by capital and related provided (used) by operating activities: financing activities (1,029,184) (560,561) (397,740) CASH FLOWS FROM INVESTING ACTIVITIES $ - $ 7,671,799 (1,683,603) (163,807) (3,531,121) 92,430 (163,807) 2,549,505 70,643 88,693 -(386.612) (1,882,427) - n15,250) (1,811,784) (1,013,169) (4,976,916) (6,027,603) 31,155 (354,401) (613,552) (4,976,916) (6,964,401) Sale (purchase) of Investments 946,850 (388,151) (78,110) (1,574,850) (50,312) (5,143) 5,048,929 3,899,213 Interest 146,845 274,982 93,720 98,591 30,465 83,723 196,270 924,596 Net cash provided (used) by Investing activities 1,093,695 (113,169) 15,610 (1,476,259) (19,847) 78,580 5,245,199 4,823,809 Net Increase (decrease) In cash and cash equivalents (252,026) 400,006 115,610 713,180 47,702 78,580 (1,707,308) (604,256) Cash and cash equivalents - beginning of year 738,807 1,550,752 532,214 588,060 175,013 479,976 1,745,583 5,810,405 Cash and cash equivalents - end of year $ 486,781 $ 1,950,758 $ 647,824 $ 1,301,240 $ 222,715 $ 558,556 $ 38,275 $ 5,206,149 Reconciliation of operating Income (loss) to net cash provided (used) by operating activities: Operating Income (loss) $ 2,123,061 $ (213) $ - $ - $ (9,711) $ - $ (163,807) $ 1,949,330 Adjustments to reconcile operating Income to net cash provided (used) by operating activities: Depreciation expense 1,033,756 - - - - - - 1,033,756 Change In assets and liabilities Receivables, net 14,620 - - - - - - 14,620 Accounts and other payables (448,201) (448,201) Net cash provided (used) by operating activities $ 2,723,236 $ (213) $ $ $ (9,711) $ $ (163,807) $ 2,549,505 DESCHUTES COUNTY, OREGON SUB -FUNDS OF FAIR & EXPO CENTER ENTERPRISE COMBINING SCHEDULE OF CASH FLOWS FOR THE YEAR ENDED JUNE 30, 2008 CASH FLOWS FROM OPERATING ACTIVITIES Receipts from customers Payments to employees Payments to suppliers Net cash provided (used) by operating activities CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Property taxes Grants Subfunds transfers in / (out) Interfund transfers in Net cash provided (used) by noncapital financing activities CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition and construction of capital assets Principal paid on capital debt Interest paid on capital debt Net cash provided (used) by capital and related financing activities CASH FLOWS FROM INVESTING ACTIVITIES Sale (purchase) of investments Interest Net cash provided (used) 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 Reconciliation of operating income (loss) to net cash provided (used) by operating activities: Operating income (loss) Adjustments to reconcile operating income to net cash provided (used) by operating activities: Depreciation expense Change in assets and liabilities Receivables, net Prepaid expenses Accounts and other payables Net cash provided (used) by operating activities (359,100) (830,821) (94,494) (2,135,544) (3,419,959) 125,592 39,057 595,198 (9,127) Fairgrounds 900,033 Fair & Expo Annual Fair & Expo Fair & Expo G.O. Bonds 84,333 Center County Fair Construction Center Reserve Debt Service Total (33,571) (8,414) (201,888) 31,832 (47,913) (259,954) $ 1,314,280 $ 1,059,884 $ $ $ $ 2,374,164 (835,760) (175,256) $ $ 208,894 $ 19,868 (1,011,016) (927,905) (718,294) $ - $ $ (1,646,199) (449,385) 166,334 (283,051) - - 1,922,965 1,922,965 10,000 56,905 - 66,905 203,232 (280,000) (23,232) 100,000 - 425,353 43,467 468,820 638,585 (223,095) 20,235 100,000 1,922,965 2,458,690 - (830,821) (94,494) - (925,315) (170,776) (1,320,000) (1,490,776) (188,324) (815,544) (1,003,868) (359,100) (830,821) (94,494) (2,135,544) (3,419,959) 125,592 39,057 595,198 (9,127) 149,313 900,033 10,737 9,290 13,500 35,453 15,353 84,333 136,329 48,347 608,698 26,326 164,666 984,366 (33,571) (8,414) (201,888) 31,832 (47,913) (259,954) 100,200 43,555 201,888 177,062 67,781 590,486 $ 66,629 $ 35,141 $ $ 208,894 $ 19,868 $ 330,532 $ (983,184) $ 215,406 $ - $ $ $ (767,778) 815,294 815,294 20,558 20,558 (15,822) (15,822) (302,053) (33,250) (335,303) $ (449,385) $ 166,334 $ $ $ $ (283,051) -204- DESCHUTES COUNTY, OREGON SOLID WASTE OPERATIONS ( sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -205- Actual Final Variance Budgeted with Final Budget GAAP Amounts Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 9,787,115 $ (2,129,936) $ 7,657,179 $ - $ 7,657,179 Miscellaneous 45,000 47,430 92,430 - 92,430 Total operating revenues 9,832,115 (2,082,506) 7,749,609 7,749,609 OPERATING EXPENSES Personnel 1,734,028 50,425 1,683,603 15,899 1,699,502 Materials and services 4,594,995 1,060,622 3,534,373 26,103 3,560,476 Landfill closure/postclosure care costs - - - (667,186) (667,186) Depreciation - - - 1,033,756 1,033,756 Capital outlay 204,400 85,911 118,489 (118,489) - Debt service 967,954 - 967,954 (967,954) - Contingency 579,094 579,094 - Total operating expenses 8,080,471 1,776,052 6,304,419 (677,871) 5,626,548 Operating income (loss) 1,751,644 (306,454) 1,445,190 677,871 2,123,061 NONOPERATING REVENUES (EXPENSES) Grant - 18,050 18,050 - 18,050 Investment earnings 120,000 20,631 140,631 - 140,631 Amortization of bond issue costs - - - (12,334) (12,334) Interest expense - - - (561,676) (561,676) Interfund transfer of assets - - - 15,864,257 15,864,257 Gain (loss) on equipment disposition - 31,155 31,155 (119,771) (88,616) Total nonoperating revenues (expenses), net 120,000 69,836 189,836 15,170,476 15,360,312 Income (loss) before transfers 1,871,644 (236,618) 1,635,026 15,848,347 17,483,373 Transfers in 2,050,000 (167,573) 1,882,427 - 1,882,427 Transfers (out) (6,202,000) 1,261,750 (4,940,250) (4,940,250) Equity transfer - - - 1,391,679 1,391,679 Change in net assets (2,280,356) 857,559 (1,422,797) 17,240,026 15,817,229 Total net assets - beginning 2,280,356 2,320,599 4,600,955 (7,752,067) (3,151,112) Total net assets - ending $ - $ 3,178,158 $ 3,178,158 $ 9,487,959 $ 12,666,117 -205- DESCHUTES COUNTY, OREGON LANDFILL CLOSURE ( sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -206- Actual Final Budgeted Variance with Budget GAAP Amounts Final Budget Basis Adjustments GAAP OPERATING REVENUES Charges for services $ $ $ - $ - $ - Total operating revenues - - OPERATING EXPENSES Materials and services 4,005,000 4,004,787 213 - 213 Capital outlay 5,000 5,000 - - - Contingency 2,400,000 2,400,000 - - Total operating expenses 6,410,000 6,409,787 213 213 Operating income (loss) (6,410,000) 6,409,787 (213) (213) NONOPERATING REVENUES (EXPENSES) Investment earnings 280,000 12,782 292,782 292,782 Total nonoperating revenues (expenses), net 280,000 12,782 292,782 - 292,782 Income (loss) before transfers (6,130,000) 6,422,569 292,569 - 292,569 Transfers in (out) 1,000,000 (100,000) 900,000 - 900,000 Equity Transfer -Closure costs - (1,192,569) (1,192,569) Change in net assets (5,130,000) 6,322,569 1,192,569 (1,192,569) - Total net assets - beginning 6,161,234 8,291 6,169,525 (6,169,525) Total net assets - ending $ 1,031,234 $ 6,330,860 $ 7,362,094 $ (7,362,094) $ -206- DESCHUTES COUNTY, OREGON LANDFILL POSTCLOSURE ( sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -207- Actual Final Budgeted Variance with Budget GAAP Amounts Final Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ - $ $ - $ $ - Total operating revenues - - OPERATING EXPENSES Contingency 300,000 300,000 - Total operating expenses 300,000 300,000 - Operating income (loss) (300,000) 300,000 - NONOPERATING REVENUES (EXPENSES) Investment earnings 85,000 14,110 99,110 - 99,110 Total nonoperating revenues (expenses), net 85,000 14,110 99,110 99,110 Income (loss) before transfers (215,000) 314,110 99,110 99,110 Transfers in (out) 200,000 (100,000) 100,000 - 100,000 Equity Transfer- Postclosure Costs - - (199,110) (199,110) Change in net assets (15,000) 214,110 199,110 (199,110) Total net assets - beginning 2,112,588 4,777 2,117,365 (2,117,365) Total net assets - ending $ 2,097,588 $ 218,887 $ 2,316,475 $ (2,316,475) $ - -207- DESCHUTES COUNTY, OREGON SOLID WASTE CAPITAL PROJECTS ( sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 Actual -208- Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ - $ - $ - $ $ Total operating revenues - OPERATING EXPENSES Materials and services 21,497 (10,230) 31,727 (31,727) Capital outlay 865,000 414,293 450,707 (450,707) Contingency 4,565,933 4,565,933 - - - Total operating expenses 5,452,430 4,969,996 482,434 (482,434) Operating income (loss) (5,452,430) 4,969,996 (482,434) 482,434 NONOPERATING REVENUES (EXPENSES) Investment earnings 100,000 23,969 123,969 - 123,969 Total nonoperating revenues (expenses), net 100,000 23,969 123,969 123,969 Income (loss) before transfers (5,352,430) 4,993,965 (358,465) 482,434 123,969 Transfers in (out) 3,200,000 (450,000) 2,750,000 - 2,750,000 Capital asset, equity transfer - - - (482,434) (482,434) Change in net assets (2,152,430) 4,543,965 2,391,535 - 2,391,535 Total net assets - beginning 2,152,430 21,029 2,173,459 2,173,459 Total net assets - ending $ - $ 4,564,994 $ 4,564,994 $ - $ 4,564,994 -208- DESCHUTES COUNTY, OREGON SOLID WASTE EQUIPMENT RESERVE ( sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 OPERATING REVENUES Charges for services Total operating revenues OPERATING EXPENSES Materials and services Capital outlay Contingency Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Investment earnings Gain (Loss) on Equipment Disposition Total nonoperating revenues (expenses), net Income (loss) before transfers Transfers in (out) Capital asset, equity transfer Change in net assets Total net assets - beginning Total net assets - ending Actual Final Budgeted Variance with Budget GAAP Amounts Final Budget Basis Adjustments GAAP Basis 9,711 - 9,711 - 9,711 650,000 252,260 397,740 (397,740) - 561,323 561,323 - - 1,221,034 813,583 407,451 (397,740) 9,711 (1,221,034) 813,583 (407,451) 397,740 (9,711) 27,000 5,559 32,559 - 32,559 27,000 5,559 32,559 - 32,559 (1,194,034) 819,142 (374,892) 397,740 22,848 500,000 (25,000) 475,000 - 475,000 - - - (397,740) (397,740) (694,034) 794,142 100,108 - 100,108 694,034 2,239 696,273 - 696,273 $ - $ 796,381 $ 796,381 $ - $ 796,381 -209- DESCHUTES COUNTY, OREGON ENVIRONMENTAL REMEDIATION ( sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -210- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ $ $ $ _ $ Total operating revenues OPERATING EXPENSES Materials and services 1,000 1,000 - - - Capital outlay 1,505,000 1,505,000 - - - Contingency 484,842 484,842 - - Total operating expenses 1,990,842 1,990,842 Operating income (loss) (1,990,842) 1,990,842 - NONOPERATING REVENUES (EXPENSES) Investment earnings 85,000 2,731 87,731 87,731 Total nonoperating revenues (expenses), net 85,000 2,731 87,731 87,731 Income (loss) before transfers (1,905,842) 1,993,573 87,731 - 87,731 Transfers in (out) - - - _ Change in net assets (1,905,842) 1,993,573 87,731 - 87,731 Total net assets - beginning 1,905,842 3,700 1,909,542 1,909,542 Total net assets - ending $ - $ 1,997,273 $ 1,997,273 $ - $ 1,997,273 -210- DESCHUTES COUNTY, OREGON SOLID WASTE NORTH AREA DEVELOPMENT (sub -fund of Solid Waste Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -211- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ $ - $ - $ $ - Total operating revenues - - - - OPERATING EXPENSES Materials and services 456,048 342,842 113,206 50,601 163,807 Capital outlay 5,167,633 1,068,603 4,099,030 (4,099,030) - Total operating expenses 5,623,681 1,411,445 4,212,236 (4,048,429) 163,807 Operating income (loss) (5,623,681) 1,411,445 (4,212,236) 4,048,429 (163,807) NONOPERATING REVENUES (EXPENSES) Grants 94,190 - 94,190 - 94,190 Investment earnings 45,000 90,170 135,170 - 135,170 Total nonoperating revenues (expenses), net 139,190 90,170 229,360 - 229,360 Income (loss) before transfers (5,484,491) 1,501,615 (3,982,876) 4,048,429 65,553 Transfers out (2,050,000) 167,573 (1,882,427) - (1,882,427) Equity transfer - - (14,984,083) (14,984,083) Change in net assets (7,534,491) 1,669,188 (5,865,303) (10,935,654) (16,800,957) Total net assets - beginning 7,534,491 (1,669,188) 5,865,303 10,935,654 16,800,957 Total net assets - ending $ - $ - $ - $ - $ - -211- DESCHUTES COUNTY, OREGON FAIR & EXPO CENTER (sub -fund of Fair & Expo Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 NONOPERATING REVENUES (EXPENSES) Grants 5,000 5,000 10,000 Actual 10,000 Investment earnings Final Variance 9,916 (2) 9,914 Amortization of debt issuance costs Budgeted with Final Budget GAAP (4,160) Interest expense Amounts Budget Basis Adjustments GAAP Basis OPERATING REVENUES 13,000 6,916 19,916 (182,736) (162,820) Charges for services $ 1,817,000 $ (200,693) $ 1,616,307 $ 7,996 $ 1,624,303 Total operating revenues 1,817,000 (200,693) 1,616,307 7,996 1,624,303 OPERATING EXPENSES (250,000) 150,000 (100,000) - (100,000) Personnel 851,983 16,223 835,760 18,668 854,428 Materials and services 942,542 28,009 914,533 23,232 937,765 Depreciation - - - 815,294 815,294 Capital outlay 45,000 45,000 - - - Debt service 359,101 - 359,101 (359,101) - Contingency 161,727 161,727 Total operating expenses 2,360,353 250,959 2,109,394 498,093 2,607,487 Operating income (loss) (543,353) 50,266 (493,087) (490,097) (983,184) NONOPERATING REVENUES (EXPENSES) Grants 5,000 5,000 10,000 10,000 Investment earnings 8,000 1,916 9,916 (2) 9,914 Amortization of debt issuance costs - - - (4,160) (4,160) Interest expense - - - (178,574) (178,574) Total nonoperating revenues (expenses), net 13,000 6,916 19,916 (182,736) (162,820) Income (loss) before transfers (530,353) 57,182 (473,171) (672,833) (1,146,004) Transfers in 705,353 - 705,353 3,712,652 4,418,005 Transfers out (250,000) 150,000 (100,000) - (100,000) Change in net assets (75,000) 207,182 132,182 3,039,819 3,172,001 Total net assets - beginning 75,000 (64,587) 10,413 21,347,999 21,358,412 Total net assets - ending $ - $ 142,595 $ 142,595 $ 24,387,818 $ 24,530,413 -212- DESCHUTES COUNTY, OREGON ANNUAL COUNTY FAIR (sub -fund of Fair & Expo Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -213- Actual Final Variance Budgeted with Final GAAP Amounts Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 1,073,700 $ (13,816) $ 1,059,884 $ 25,806 $ 1,085,690 Total operating revenues 1,073,700 (13,816) 1,059,884 25,806 1,085,690 OPERATING EXPENSES Personnel 178,679 3,423 175,256 (2,506) 172,750 Materials and services 749,962 40,672 709,290 (11,756) 697,534 Contingency 27,165 27,165 - - Total operating expenses 955,806 71,260 884,546 (14,262) 870,284 Operating income (loss) 117,894 57,444 175,338 40,068 215,406 NONOPERATING REVENUES (EXPENSES) Grants 51,000 5,905 56,905 - 56,905 Investment earnings 1,500 7,637 9,137 - 9,137 Total nonoperating revenues (expenses), net 52,500 13,542 66,042 66,042 Income (loss) before transfers 170,394 70,986 241,380 40,068 281,448 Transfers out (280,000) - (280,000) (280,000) Change in net assets (109,606) 70,986 (38,620) 40,068 1,448 Total net assets - beginning 109,606 49,191 158,797 (72,288) 86,509 Total net assets - ending $ - $ 120,177 $ 120,177 $ (32,220) $ 87,957 -213- DESCHUTES COUNTY, OREGON FAIR $ EXPO CONSTRUCTION (sub -fund of Fair & Expo Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -214- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING EXPENSES Materials and services $ 27,180 $ 2,377 $ 24,803 $ (24,803) $ Capital outlay 277,820 679 277,141 (277,141) - Contingency - - Total operating expenses 305,000 3,056 301,944 (301,944) - Operating income (loss) (305,000) (3,056) (301,944) 301,944 - NONOPERATING REVENUES (EXPENSES) Investment earnings 7,392 7,392 - 7,392 Total nonoperating revenues (expenses), net - 7,392 7,392 7,392 Income (loss) before transfers (305,000) 10,448 (294,552) 301,944 7,392 Appropriation transfer in 205,000 (205,000) - - - Transfers in (out) - 43,466 43,466 (3,712,652) (3,669,186) Change in net assets (100,000) (151,086) (251,086) (3,410,708) (3,661,794) Total net assets - beginning 100,000 151,086 251,086 3,410,708 3,661,794 Total net assets - ending $ - $ - - $ - $ - -214- DESCHUTES COUNTY, OREGON FAIR & EXPO CENTER RESERVE (sub -fund of Fair & Expo Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -215- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING EXPENSES Materials and services $ 1,000 $ 1,000 $ - $ - $ - Capital outlay 699,000 610,269 88,731 (88,731) - Contingency 305,000 305,000 - - - Total operating expenses 1,005,000 916,269 88,731 (88,731) - Operating income (loss) (1,005,000) 916,269 (88,731) 88,731 - NONOPERATING REVENUES (EXPENSES) Investment earnings 35,000 2,026 37,026 - 37,026 Total nonoperating revenues (expenses), net 35,000 2,026 37,026 37,026 Income (loss) before transfers (970,000) 918,295 (51,705) 88,731 37,026 Transfers in 250,000 (150,000) 100,000 - 100,000 Change in net assets (720,000) 768,295 48,295 88,731 137,026 Total net assets - beginning 720,000 (21,337) 698,663 78,382 777,045 Total net assets - ending $ - $ 746,958 $ 746,958 $ 167,113 $ 914,071 -215- DESCHUTES COUNTY, OREGON FAIRGROUNDS DEBT SERVICE FUND (sub -fund of Fair & Expo Enterprise) SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -216- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Property taxes $ 1,922,044 $ 13,598 $ 1,935,642 $ 24,318 $ 1,959,960 Total operating revenues 1,922,044 13,598 1,935,642 24,318 1,959,960 OPERATING EXPENSES Debt service 2,135,544 2,135,544 (2,135,544) Total operating expenses 2,135,544 2,135,544 (2,135,544) Operating income (loss) (213,500) 13,598 (199,902) 2,159,862 1,959,960 NONOPERATING REVENUES (EXPENSES) Investment earnings 23,500 (9,538) 13,962 - 13,962 Amortization of debt issuance costs - - - (131,206) (131,206) Interest expense - - - (747,513) (747,513) Total nonoperating revenues (expenses), net 23,500 (9,538) 13,962 (878,719) (864,757) Change in net assets (190,000) 4,060 (185,940) 1,281,143 1,095,203 Total net assets - beginning 240,000 45,044 285,044 (19,352,031) (19,066,987) Total net assets - ending $ 50,000 $ 49,104 $ 99,104 $ (18,070,888) $ (17,971,784) -216- DESCHUTES COUNTY, OREGON INTERNAL SERVICE FUNDS COMBINING STATEMENTS OF NET ASSETS JUNE 30, 2008 514rr BuOding Administrative Information Health Services Services Finance legal Personnel Technology IT Reserve Insurance Beneffte Trust Total ASSETS Current assets: Cash and cash equivalents $ 106,061 $ 42,734 $ 237,127 $ 41,928 $ 103,748 131,213 $ 67,107 $ 726,322 $ 4,158,209 $ 5,614,449 Investments, plus accrued Interest 273,190 110,074 610,787 107,998 267,232 337,976 172,853 1,870,847 10,710,633 14,461,590 Accounts receivable 18,798 343 15,297 1,828 36,266 Total current assets 398,049 152,808 847,914 150,269 370,980 469,189 239,960 2,612,466 14,870,670 20,112,305 Noncurrent assets: Capital assets: Capital assets net of accumulated depredation: Land Improvements 44,266 - - - - - - 38,000 - 82,266 Equipment and vehicles 140,907 - 86,061 158,132 385,100 Total noncurrent assets 185,173 86,061 158,132 38,000 467,366 Total assets 583,222 152,808 933,975 150,269 370,980 469,189 398,092 2,650,466 14,870,670 20,579,671 LIABILITIES Current liabilities: Accounts payable 45,908 11,634 3,876 2,081 10,257 6,512 14,070 61,370 310 156,018 Accrued claims payable 1,777,624 1,085,567 2,863,191 Total current liabilities 45,908 11,634 3,876 2,081 10,257 6,512 14,070 1,838,994 1,085,877 3,019209 Noncurrent liabilities: Accrued retiree health Insurance 33,273 66,056- - - 14,550 - - - 113,879 Accrued compensated leave 125,519 70,704 170,228 67,295 64,917 160,299 19,328 2,094 680,384 Total noncurrent liabilities 158,792 136,760 170,228 67,295 64,917 174,849 19,328 2,094 794,263 Total liabilities 204,700 148,394 174,104 69,376 75,174 181,361 14,070 1,858,322 1,087,971 3,813,472 NET ASSETS Invested in capital assets, net of related debt 185,173 - 86,061 - - - 158,132 - 429,366 Unrestricted 193,349 4,414 673,810 80,893 295,806 287,828 225,890 792,144 13,782,699 16,336,833 Total net assets $ 378,522 $ 4,414 $ 759,871 $ 80,893 $ 295,806 $ 287,828 $ 384,022 $ 792,144 $13,782,699 $16,766,199 514rr DESCHUTES COUNTY, OREGON INTERNAL SERVICE FUNDS COMBINING STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND NET ASSETS FOR THE YEAR ENDED JUNE 30, 2008 -218- Building Administrative Information Health Services Services Finance Legal Personnel Technology IT Reserve Insurance Benefits Trust Total OPERATING REVENUES Charges for services $2,227,185 $ 664.778 $1,145,520 $ 706,204 $ 825,012 $1,879,751 $ 234,000 $2,090,185 $14,214,670 _$23,987,305 Total operating revenues 2,227,185 664,778 1,145,520 706,204 825,012 1,879,751 234,000 2,090,185 14214,670 23,987,305 OPERATING EXPENSES Personnel 1,555,644 573,197 827,642 631,921 554,129 1,597,952 - 308,181 105,420 6,154,086 Materials and services 811,660 126,675 262,926 54,645 164,027 347,719 75,647 1,460,514 10,647,326 13,951,139 Depredation 45,304 29,768 15,979 54,539 1,333 146,923 Total operating expenses 2,412,608 699,872 1,120,336 686,566 718,156 1,961,650 130,186 1,770,028 10,752,746 20,252,148 Operating Income (loss) (185,423) (35,094) 25,184 19,638 106,856 (81,899) 103,814 320,157 3,461,924 3,735,157 NONOPERATING REVENUES (EXPENSES) Investment earnings 13,900 6,364 34,344 7,302 14,197 23,206 7,786 104,240 551,710 763,049 Rents 46,720 - - - - - - - - 46,720 Interfund transfer of assets (45,277) (45,277) Total nonoperating revenues (expenses), net 15,343 6,364 34,344 7,302 14,197 23,206 7,786 104,240 551,710 764,492 Income (loss) before transfers (170,080) (28,730) 59,528 26,940 121,053 (58,693) 111,600 424,397 4,013,634 4,499,649 Transfers in 293,000 100,000 60,342 453,342 Change in net assets 122,920 71,270 59,528 26,940 121,053 1,649 111,600 424,397 4,013,634 4,952,991 Total net assets - beginning 255,602 (66,856) 700,343 53,953 174,753 286,179 272,422 367,747 9,769,065 11,813,208 Total net assets - ending $ 378,522 $ 4,414 $ 759,871 $ 80,893 $ 295,806 $ 287,828 $ 384,022 $ 792,144 $13,782,699 $16,766,199 -218- DESCHUTES COUNTY, OREGON INTERNAL SERVICE FUNDS COMBINING STATEMENTS OF CASH FLOWS FOR THE YEAR ENDED JUNE 30, 2008 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of capital assets Building Administrative Information (42,380) Health (55,214) Net cash provided (used) by capital and related Services Services Finance Legal Personnel Technology IT Reserve Insurance Benefits Trust Total CASH FLOWS FROM OPERATING ACTIVITIES (12,834) (42,380) (55214) Receipts from customers $2,221,331 $ 664,778 $1,161,858 $ 705,861 $ 825,012 $1,879,751 $ 234,000 $2,075,578 $14,221,822 $23,989,991 Payments to employees (1,507,019) (556,482) (782,638) (618,352) (548,362) (1,609,831) - (320,574) (103,326) (6,046,584) Payments to suppliers (880,442) (130,547) (262,733) (55,179) (164,442) (345,442) (61,576) (1,428,132) (10,548,128) (13,876,621) Net cash provided (used) by operating activities (166,130) (22,251) 116,487 32,330 112,208 (75,522) 172,424 326,872 3,570,368 4,066,786 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES 25,467 61,910 14,205 42,272 15,297 41,436 181,869 1,456,936 1,882,646 Rents 46,720 - - - - - - - - 46,720 Transfers in 293,000 100,000 - - - 60,342 - - - 453,342 Transfers out (45,277) (45,277) Net cash provided by noncapital financing activities 294,443 100,000 - - - 60,342 - - - 454,785 CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of capital assets (12,834) (42,380) (55,214) Net cash provided (used) by capital and related financing activities (12,834) (42,380) (55214) CASH FLOWS FROM INVESTING ACTIVITIES Sale (purchase) of investments (84,507) (57,750) (86,355) (24,875) (82,551) 8,117 (94,944) (241,619) (2,608,918) (3,273,402) Interest 12,282 5,468 31,778 6,750 12,615 22,360 6,336 96,616 495,486 689,691 Net cash provided (used) by Investing activities (72,225) (52,282) (54,577) (18,125) (69,936) 30,477 (88,608) (145,003) (2,113,432) (2,583,711) Net Increase (decrease) In cash and cash equivalents 43,254 25,467 61,910 14,205 42,272 15,297 41,436 181,869 1,456,936 1,882,646 Cash and cash equivalents - beginning of year 62,807 17,267 175,217 27,723 61,476 115,916 25,671 544,453 2,701,273 3,731,803 Cash and cash equivalents - end of year $ 106,061 $ 42,734 $ 237,127 $ 41,928 $ 103,748 $ 131,213 $ 67,107 $ 726,322 $ 4,158,209 $ 5,614,449 Reconciliation of operating Income (loss) to net cash provided (used) by operating activities: Operating income (loss) $ (185,423) $ (35,094) $ 25,184 $ 19,638 $ 106,856 $ (81,899) $ 103,814 $ 320,157 $ 3,461,924 $ 3,735,157 Adjustments to reconcile operating Income to net cash provided (used) by operating activities: Depreciation expense 45,304 - 29,768 - - 15,979 54,539 1,333 - 146,923 Change In assets and liabilities Receivables, net (5,854) - 16,338 (343) - - - (14,607) 7,152 2,686 Accounts and other payables (20,157) 12,843 45,197 13,035 5,352 (9,602) 14,071 19,989 101,292 182,020 Net cash provided (used) by operating activities $(166,130) $ 22,251 $ 1161487 $ 321330 $ 112,208 $ (75,522) $ 172,424 $ 326,872 $ 3,570,368 $ 4,066,786 -219- DESCHUTES COUNTY, OREGON BUILDING SERVICES SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 NONOPERATING REVENUES (EXPENSES) Investment earnings 10,000 3,900 13,900 Actual 13,900 Rents Final 2,966 46,720 - 46,720 Interfund transfer of assets Budgeted Variance with - GAAP (45,277) Total nonoperating revenues (expenses), net Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES (483,000) 394,015 (88,985) (81,095) (170,080) Charges for services $ 2,202,217 $ 24,968 $ 2,227,185 $ $ 2,227,185 Total operating revenues 2,202,217 24,968 2,227,185 - 2,227,185 OPERATING EXPENSES 120,000 28,126 148,126 107,476 255,602 Personnel 1,537,165 30,146 1,507,019 48,625 1,555,644 Materials and services 756,325 48,761 707,564 104,096 811,660 Depreciation - - - 45,304 45,304 Capital outlay 245,000 82,793 162,207 (162,207) - Contingency 200,481 200,481 - - Total operating expenses 2,738,971 362,181 2,376,790 35,818 2,412,608 Operating income (loss) (536,754) 387,149 (149,605) (35,818) (185,423) NONOPERATING REVENUES (EXPENSES) Investment earnings 10,000 3,900 13,900 13,900 Rents 43,754 2,966 46,720 - 46,720 Interfund transfer of assets - - - (45,277) (45,277) Total nonoperating revenues (expenses), net 53,754 6,866 60,620 (45,277) 15,343 Income (loss) before transfers (483,000) 394,015 (88,985) (81,095) (170,080) Transfers in 363,000 (70,000) 293,000 - 293,000 Change in net assets (120,000) 324,015 204,015 (81,095) 122,920 Total net assets - beginning 120,000 28,126 148,126 107,476 255,602 Total net assets - ending $ - $ 352,141 $ 352,141 $ 26,381 $ 378,522 -220- DESCHUTES COUNTY, OREGON ADMINISTRATIVE SERVICES SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -221- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 664,777 $ 1 $ 664,778 $ $ 664,778 Total operating revenues 664,777 1 664,778 664,778 OPERATING EXPENSES Personnel 601,863 45,379 556,484 16,713 573,197 Materials and services 133,948 7,273 126,675 - 126,675 Capital outlay 100 100 - - - Contingency 65,866 65,866 - - Total operating expenses 801,777 118,618 683,159 16,713 699,872 Operating income (loss) (137,000) 118,619 (18,381) (16,713) (35,094) NONOPERATING REVENUES (EXPENSES) Investment earnings 2,000 4,364 6,364 6,364 Total nonoperating revenues (expenses), net 2,000 4,364 6,364 - 6,364 Income (loss) (135,000) 122,983 (12,017) (16,713) (28,730) Transfers In 100,000 - 100,000 - 100,000 Change in net assets (35,000) 122,983 87,983 (16,713) 71,270 Total net assets - beginning 35,000 18,191 53,191 (120,047) (66,856) Total net assets - ending $ - $ 141,174 $ 141,174 $ (136,760) $ 4,414 -221- DESCHUTES COUNTY, OREGON FINANCE SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -222- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 1,068,000 $ 93,858 $ 1,161,858 $ (16,338) $ 1,145,520 Total operating revenues 1,068,000 93,858 1,161,858 (16,338) 1,145,520 OPERATING EXPENSES Personnel 812,385 29,747 782,638 45,004 827,642 Materials and services 350,347 87,421 262,926 - 262,926 Depreciation - - - 29,768 29,768 Capital outlay 105,000 105,000 - - - Contingency 302,268 302,268 - - - Total operating expenses 1,570,000 524,436 1,045,564 74,772 1,120,336 Operating income (loss) (502,000) 618,294 116,294 (91,110) 25,184 NONOPERATING REVENUES (EXPENSES) Investment earnings 20,000 14,344 34,344 - 34,344 Total nonoperating revenues (expenses), net 20,000 14,344 34,344 34,344 Change in net assets (482,000) 632,638 150,638 (91,110) 59,528 Total net assets - beginning 482,000 231,864 713,864 (13,521) 700,343 Total net assets - ending $ - $ 864,502 $ 864,502 $ (104,631) $ 759,871 -222- DESCHUTES COUNTY, OREGON LEGAL SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -223- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 704,413 $ 1,791 $ 706,204 $ $ 706,204 Total operating revenues 704,413 1,791 706,204 - 706,204 OPERATING EXPENSES Personnel 694,949 76,597 618,352 13,569 631,921 Materials and services 67,809 13,164 54,645 - 54,645 Capital outlay 100 100 - - - Contingency 51,555 51,555 - - - Total operating expenses 814,413 141,416 672,997 13,569 686,566 Operating income (loss) (110,000) 143,207 33,207 (13,569) 19,638 NONOPERATING REVENUES (EXPENSES) Investment earnings 5,000 2,302 7,302 - 7,302 Total nonoperating revenues (expenses), net 5,000 2,302 7,302 7,302 Change in net assets (105,000) 145,509 40,509 (13,569) 26,940 Total net assets - beginning 105,000 188 105,188 (51,235) 53,953 Total net assets - ending $ - $ 145,697 $ 145,697 $ (64,804) $ 80,893 -223- DESCHUTES COUNTY, OREGON PERSONNEL SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 815,449 $ 9,563 $ 825,012 $ - $ 825,012 Total operating revenues 815,449 9,563 825,012 - 825,012 OPERATING EXPENSES Personnel Materials and services Capital outlay Contingency Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Investment earnings Total nonoperating revenues (expenses), net Change in net assets Total net assets - beginning Total net assets - ending 561,819 13,457 548,362 5,767 554,129 339,679 175,652 164,027 - 164,027 100 100 - - - 73,851 73,851 - - - 975,449 263,060 712,389 5,767 718,156 (160,000) 272,623 112,623 (5,767) 106,856 10,000 4,197 14,197 14,197 10,000 4,197 14,197 - 14,197 (150,000) 276,820 126,820 (5,767) 121,053 150,000 65,927 215,927 (41,174) 174,753 $ - $ 342,747 $ 342,747 $ (46,941) $ 295,806 5**Z1a DESCHUTES COUNTY, OREGON INFORMATION TECHNOLOGY SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -225- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 1,871,490 $ 8,261 $ 1,879,751 $ - $ 1,879,751 Total operating revenues 1,871,490 8,261 1,879,751 1,879,751 OPERATING EXPENSES Personnel 1,794,504 184,673 1,609,831 (11,879) 1,597,952 Materials and services 428,343 80,624 347,719 - 347,719 Depreciation - - - 15,979 15,979 Capital outlay 100 100 - - - Contingency 113,185 113,185 - Total operating expenses 2,336,132 378,582 1,957,550 4,100 1,961,650 Operating income (loss) (464,642) 386,843 (77,799) (4,100) (81,899) NONOPERATING REVENUES (EXPENSES) Investment earnings 12,000 11,206 23,206 23,206 Total nonoperating revenues (expenses), net 12,000 11,206 23,206 23,206 Income (loss) before transfers (452,642) 398,049 (54,593) (4,100) (58,693) Transfers in 60,342 - 60,342 - 60,342 Change in net assets (392,300) 398,049 5,749 (4,100) 1,649 Total net assets - beginning 392,300 64,629 456,929 (170,750) 286,179 Total net assets - ending $ - $ 462,678 $ 462,678 $ (174,850) $ 287,828 -225- DESCHUTES COUNTY, OREGON IT RESERVE SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 OPERATING REVENUES Charges for services Total operating revenues OPERATING EXPENSES Materials and services Depreciation Capital outlay Contingency Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Investment earnings Total nonoperating revenues (expenses), net Change in net assets Total net assets - beginning Total net assets - ending Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis $ 234,000 $ $ 234,000 $ - $ 234,000 234,000 - 234,000 234,000 96,200 21,897 74,303 1,344 75,647 - - - 54,539 54,539 132,000 88,277 43,723 (43,723) - 102,800 102,800 - - 331,000 212,974 118,026 12,160 130,186 (97,000) 212,974 115,974 (12,160) 103,814 2,000 5,786 7,786 7,786 2,000 5,786 7,786 - 7,786 (95,000) 218,760 123,760 (12,160) 111,600 95,000 7,130 102,130 170,292 272,422 $ - $ 225,890 $ 225,890 $ 158,132 $ 384,022 -226- DESCHUTES COUNTY, OREGON INSURANCE SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 -227- Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 2,007,078 $ 83,107 $ 2,090,185 $ - $ 2,090,185 Total operating revenues 2,007,078 83,107 2,090,185 2,090,185 OPERATING EXPENSES Personnel 365,087 44,513 320,574 (12,393) 308,181 Materials and services 2,792,582 1,347,918 1,444,664 15,850 1,460,514 Depreciation - - - 1,333 1,333 Capital outlay 100 100 - - - Contingency 934,409 934,409 - - - Total operating expenses 4,092,178 2,326,940 1,765,238 4,790 1,770,028 Operating income (loss) (2,085,100) 2,410,047 324,947 (4,790) 320,157 NONOPERATING REVENUES (EXPENSES) Investment earnings 85,000 19,240 104,240 104,240 Total nonoperating revenues (expenses), net 85,000 19,240 104,240 - 104,240 Income (loss) before transfers (2,000,100) 2,429,287 429,187 (4,790) 424,397 Transfers in 100 (100) - Change in net assets (2,000,000) 2,429,187 429,187 (4,790) 424,397 Total net assets - beginning 2,000,000 361,908 2,361,908 (1,994,161) 367,747 Adjustment for Inter -fund loan - (240,000) (240,000) 240,000 Total net assets - beginning, restated 2,000,000 121,908 2,121,908 (1,754,161) 367,747 Total net assets - ending $ - $ 2,551,095 $ 2,551,095 $ (1,758,951) $ 792,144 -227- DESCHUTES COUNTY, OREGON HEALTH BENEFITS TRUST SCHEDULE OF REVENUES, EXPENSES AND CHANGES IN NET ASSETS - BUDGET AND ACTUAL FOR THE YEAR ENDED JUNE 30, 2008 Actual Final Budgeted Variance with GAAP Amounts Final Budget Budget Basis Adjustments GAAP Basis OPERATING REVENUES Charges for services $ 12,772,705 $ 1,441,965 $ 14,214,670 $ - $ 14,214,670 Total operating revenues 12,772,705 1,441,965 14,214,670 - 14,214,670 OPERATING EXPENSES Personnel Materials and services Capital outlay Contingency Total operating expenses Operating income (loss) NONOPERATING REVENUES (EXPENSES) Investment earnings Total nonoperating revenues (expenses), net Change in net assets Total net assets - beginning Total net assets - ending 108,786 5,460 103,326 2,094 105,420 12,006,775 1,458,379 10,548,396 98,930 10,647,326 100 100 - - - 11,607,044 11,607,044 - 23,722,705 13,070,983 10,651,722 101,024 10,752,746 (10,950,000) 14,512,948 3,562,948 (101,024) 3,461,924 450,000 101,710 551,710 551,710 450,000 101,710 551,710 551,710 (10,500,000) 14,614,658 4,114,658 (101,024) 4,013,634 10,500,000 255,702 10,755,702 (986,637) 9,769,065 $ - $ 14,870,360 $ 14,870,360 $ (1,087,661) $ 13,782,699 -228- CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS This page intentionally left blank. DESCHUTES COUNTY, OREGON CAPITAL ASSETS USED IN THE OPERTATION OF GOVERNMENTAL FUNDS COMPARATIVE SCHEDULE BY SOURCE' JUNE 30, 2007 AND 2008 Governmental funds capital assets: Land Land improvements Construction in progress Infrastructure Buildings and improvements Equipment and vehicles Total governmental funds capital assets Investments in governmental funds capital assets by source: General fund Special revenue fund Capital projects fund Total governmental funds capital assets 2007 $ 11,159,507 3,633,742 152,757 50,930,871 60,870,627 22,796,636 2008 $ 12,200,341 3,768,928 710,034 68,618,733 64,137,037 23,959,034 $ 149,544,140 $ 173,394,107 $ 1,453,882 77,594,624 70,495,634 $ 149,544,140 ' This schedule presents only the capital asset balances related to governmental funds. Accordingly, the capital assets reported in internal service funds are excluded from the above amounts. The capital assets of internal service funds are included with the Governmental Activities in the Statement of Net Assets. 51*110 $ 1,497,323 98,799,065 73,097,719 $ 173,394,107 DESCHUTES COUNTY, OREGON CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS SCHEDULE BY FUNCTION AND ACTIVITY' JUNE 30, 2008 1 This schedule presents only the capital asset balances related to governmental funds. Accordingly, the capital assets reported in internal service funds are excluded from the above amounts. The capital assets of internal service funds are included with the Governmental Activities in the Statement of Net Assets. -232- Land Buildings & Equipment Construction Function and Activity Land Improvements Improvements & Vehicles Infrastructure In Progress Total General government $ - $ 48,838 $ - $ 114,372 $ $ $ 163,210 General services 8,407,427 1,582,919 31,319,311 2,628,262 - 43,937,919 County roads 1,984,291 492,400 2,622,617 8,334,025 68,618,733 82,052,066 Public protection 973,736 1,548,156 25,463,971 12,058,716 - 710,034 40,754,613 Health and welfare 834,887 96,615 4,731,138 823,659 6,486,299 Total governmental funds capital assets $ 12,200,341 $ 3,768,928 $ 64,137,037 $ 23,959,034 $ 68,618,733 $ 710,034 $ 173,394,107 1 This schedule presents only the capital asset balances related to governmental funds. Accordingly, the capital assets reported in internal service funds are excluded from the above amounts. The capital assets of internal service funds are included with the Governmental Activities in the Statement of Net Assets. -232- DESCHUTES COUNTY, OREGON CAPITAL ASSETS USED IN THE OPERATION OF GOVERNMENTAL FUNDS SCHEDULE OF CHANGES BY FUNCTION AND ACTIVITY FOR THE YEAR ENDED JUNE 30, 2008 Function and Activi General government General services County roads Public protection Health and welfare Total governmental funds capital assets Governmental Governmental Funds Capital Funds Capital Assets FY 2008 FY 2008 Assets July 1, 2007 Additions Deductions June 30, 2008 $ 163,210 $ - $ - $ 163,210 41,175,242 2,849,237 (86,560) 43,937,919 63,991,870 18,325,426 (265,230) 82,052,066 37,791,183 3,291,670 (328,240) 40,754,613 6,422,635 63,664 - 6,486,299 $149,544,140 $ 24,529,997 $ (680,030) $173,394,107 1 This schedule presents only the capital asset balances related to governmental funds. Accordingly, the capital assets reported in internal service funds are excluded from the above amounts. The capital assets of internal service funds are included with the Governmental Activities in the Statement of Net Assets. 1KC$11 This page intentionally left blank. OTHER FINANCIAL SCHEDULES This page intentionally left blank. DESCHUTES COUNTY, OREGON SCHEDULE OF PROPERTY TAXES TRANSACTIONS - ALL COUNTY TAXES FISCAL YEAR ENDED JUNE 30, 2008 Other Distributions: Interest earned on unsegregated taxes 152,767 TOTAL CASH COLLECTIONS $ 222,902,274 Summarized by Fund Type General Fund Special Revenue Funds Debt Service Funds Proprietary Funds Agency Funds -237- $ 1,118,921 1,621,390 182,222 117,330 10,124,510 $ 13,164,373 Beginning Turnovers Taxes Balance and Interest from County Receivable Tax Year FY 2008 Levy Adjustments (Discount) Treasurer June 30, 2008 Prior $ 3,751 $ - $ - $ - $ 3,751 FY 1999 1,507 - - - 1,507 FY 2000 3,695 (1,655) - - 2,040 FY 2001 14,061 (2,097) - - 11,964 FY 2002 24,698 (4,570) 2,300 5,968 16,460 FY 2003 55,616 (8,907) 7,652 22,864 31,497 FY 2004 199,119 (13,082) 50,213 202,823 33,427 FY 2005 518,265 (15,749) 76,332 363,515 215,333 FY 2006 1,230,839 (14,223) 103,301 746,034 573,883 FY 2007 6,037,049 (66,758) 249,168 4,092,707 2,126,752 FY 2008 233,330,396 (562,719) (5,304,322) 217,315,596 10,147,759 TOTALS $241,418,996 $ (689,760) $ (4,815,356) 222,749,507 $ 13,164,373 Other Distributions: Interest earned on unsegregated taxes 152,767 TOTAL CASH COLLECTIONS $ 222,902,274 Summarized by Fund Type General Fund Special Revenue Funds Debt Service Funds Proprietary Funds Agency Funds -237- $ 1,118,921 1,621,390 182,222 117,330 10,124,510 $ 13,164,373 This page intentionally left blank. STATISTICAL SECTION This page intentionally left blank. STATISTICAL SECTION CONTENTS This part of Deschutes County's statistical comprehensive annual financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the County's overall health. Pages FinancialTrends................................................................................................................................243-247 These schedules contain trend information to help the reader understand how the County's financial performance and well-being have changed over time. RevenueCapacity..............................................................................................................................248-253 These schedules contain information to help the reader assess the County's most significant local revenue source, the property tax. DebtCapacity.....................................................................................................................................254-261 These schedules present information to help the reader assess the affordability of the County's current levels of outstanding debt and the County's ability to issue additional debt in the future. Demographic and Economic Information........................................................................................262-263 These schedules offer demographic and economic indicators to help the reader understand the environment within which the County's financial activities take place. OperatingInformation.......................................................................................................................264-266 These schedules contain service and infrastructure data to help the reader understand how the information in the County's financial report relates to the services the County provides and the activities it performs. Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for the relevant year. The County implemented GASB Statement 34 in 2003, schedules presenting government -wide information include information beginning in that year. This page intentionally left blank. DESCHUTES COUNTY, OREGON NET ASSETS BY COMPONENT LAST FIVE FISCAL YEARS (accrual basis of accounting) Business -type activities Invested in capital assets, net of related debt $ 12,500,715 $ 12,364,858 $ 12,336,714 Fiscal Year $ 18,186,242 Restricted - 897,205 3,822,723 2005 663,216 Unrestricted 3,386,574 5,180,223 5,951,233 2004 Restated 2006 2007 2008 Governmental activities $ 27,585,422 $108,184,060 $120,110,820 $136,452,485 $163,828,975 Invested in capital assets, net of related debt $ 21,977,138 $ 40,512,761 $ 42,869,115 $ 48,887,100 $ 70,023,840 Restricted 21,835,161 15,300,732 2,215,621 2,292,308 2,261,887 Unrestricted 18,362,189 33,928,281 52,915,414 60,027,184 63,957,826 Total governmental activities net assets $ 62,174,488 $ 89,741,774 $ 98,000,150 $111,206,592 $136,243,553 Business -type activities Invested in capital assets, net of related debt $ 12,500,715 $ 12,364,858 $ 12,336,714 $ 12,921,454 $ 18,186,242 Restricted - 897,205 3,822,723 7,004,402 663,216 Unrestricted 3,386,574 5,180,223 5,951,233 5,320,037 8,735,964 Total business -type activities net assets $ 15,887,289 $ 18,442,286 $ 22,110,670 $ 25,245,893 $ 27,585,422 Primary government Invested in capital assets, net of related debt $ 34,477,853 $ 52,877,619 $ 55,205,829 $ 61,808,554 $ 88,210,082 Restricted 21,835,161 16,197,937 6,038,344 9,296,710 2,925,103 Unrestricted 21,748,763 39,108,504 58,866,647 65,347,221 72,693,790 Total primary government net assets $ 78,061,777 $108,184,060 $120,110,820 $136,452,485 $163,828,975 -243- DESCHUTES COUNTY, OREGON CHANGES IN NET ASSETS LAST FIVE FISCAL YEARS (accrual basis of accounting) Program Revenues Governmental activities Charges for services $ 33,678,880 $ 38,256,550 Fiscal Year $ 40,805,205 $ 42,251,440 Operating grants and contributions 2004 2005 2006 2007 2008 Expenses 645,324 1,486,656 1,015,624 1,991,818 16,335,611 Governmental activities: 56,243,064 62,869,489 64,156,692 67,018,321 80,622,535 General government $ 328,770 $ 571,128 $ 1,036,740 $ 955,192 $ 1,050,047 General services 14,619,177 18,301,423 24,714,575 23,206,329 25,942,398 Public protection 35,794,752 35,908,104 35,536,067 39,055,432 45,723,250 County roads 8,241,978 9,133,389 14,362,681 13,360,074 14,609,557 Health and welfare 19,222,151 20,471,295 21,977,467 23,923,726 22,733,857 Education 1,143,468 1,151,264 1,196,665 1,217,999 1,213,866 Interest on long -tern debt 3,265,500 3,486,134 3,370,842 3,221,880 3,160,571 Total governmental activities expenses 82,615,796 89,022,737 102,195,037 104,940,632 114,433,546 Business -type activities: Not (Expense)/Revenue Solid waste 3,611,080 5,291,801 5,908,747 7,033,143 6,462,905 Fair & expo center 3,805,532 4,205,671 4,160,993 4,275,272 4,539,224 Total business -type activities expenses 7,416,612 9,497,472 10,069,740 11,308,415 11,002,129 Total primary government expenses $ 90,032,408 $ 98,520,209 $112,264,777 $116,249,047 $125,435,675 Program Revenues Governmental activities Charges for services $ 33,678,880 $ 38,256,550 $ 39,707,159 $ 40,805,205 $ 42,251,440 Operating grants and contributions 21,918,860 23,126,283 23,433,909 24,221,298 22,035,484 Capital grants and contributions 645,324 1,486,656 1,015,624 1,991,818 16,335,611 Total governmental activities program revenues 56,243,064 62,869,489 64,156,692 67,018,321 80,622,535 Business -type activities: Charges for services: Solid waste 6,651,736 7,102,223 7,909,923 8,221,483 7,749,609 Fair & expo center 1,615,780 1,905,840 2,149,531 2,199,765 2,709,993 Operating grants and contributions 109,555 75,496 159,660 106,808 84,955 Capital grants and contributions 94,190 Total business -type activities program revenues 8,377,071 9,083,559 10,219,114 10,528,056 10,638,747 Total primary government program revenues $ 64,620,135 $ 71,953,048 $ 74,375,806 $ 77,546,377 $ 91,261,282 Not (Expense)/Revenue Governmental activities $ (26,372,732) $ (26,153,248) $ (38,038,345) $ (37,922,311) $ (33,811,011) Business -type activities 960,459 (413,913) 149,374 (780,359) (363,382) Total primary government net expense $ (25,412,273) $ (26,567,161) $ (37,888,971) $ (38,702,670) $ (34,174,393) General Revenues and Other Changes In Net Assets Governmental activities: Taxes Property Taxes, levied for general purpose $ 19,950,734 $ 21,637,975 $ 23,605,720 $ 25,894,192 $ 26,369,350 Property Taxes, levied for sheriff services 9,671,418 12,890,168 14,066,727 15,368,010 21,530,214 Property Taxes, levied for bonded debt 2,912,525 2,824,853 3,076,576 2,935,056 3,097,850 Transient room tax 3,004,567 3,048,662 3,283,905 3,299,895 3,535,226 Investment earnings 1,144,302 1,758,483 2,858,718 4,250,120 4,068,901 Interfund equity transfer - - - (6,016) - Interfund gain (loss) on transfer of capital assets - 671 (109,698) Gain (loss) on sale of capital assets 4,817,833 (22,183) (27,954) - Transfers (294,227) (682,685) (485,230) (584,556) 246,431 Total governmental activities 41,207,152 41,455,944 46,296,718 51,128,747 58,847,972 Business -type activities: Taxes Property Taxes, levied for bonded debt 1,844,947 1,904,154 2,072,731 2,013,593 1,959,960 Investment earnings 229,703 427,756 851,352 1,324,391 989,381 Interfund equity transfer - - - 6,016 - Interfund gain (loss) on transfer of capital assets (671) 109,698 Gain (loss) on sale of capital assets (45,016) - (12,974) Transfers 294.227 682,685 485,230 584,556 (246,431) Total business -type activities 2,368,877 2,968,908 3,519,011 3,915,582 2,702,912 Total primary government $ 43,576,029 $ 44,424,852 $ 49,815,729 $ 55,044,329 $ 61,550,884 Change In Net Assets Governmental activities $ 14,834,420 $ 15,302,696 $ 8,258,373 $ 13,206,436 $ 25,036,961 Business -type activities 3,329,336 2,554,995 3,668,385 3,135,223 2,339,530 Total primary government $ 18,163,756 $ 17,857,691 $ 11,926,758 $ 16,341,659 $ 27,376,491 -244- DESCHUTES COUNTY, OREGON PROGRAM REVENUES BY FUNCTION/PROGRAM LAST FIVE FISCAL YEARS (accrual basis of accounting) (dollars in thousands) -245- FISCAL YEAR 2004 2005 2006 2007 2008 Function/Program Governmental activities: General government $ 39 $ 9 $ 141 $ 357 $ 1,985 General services 17,005 20,735 17,901 16,926 11,346 Public protection 9,540 8,789 8,894 9,400 17,369 County roads 12,133 13,212 14,388 17,251 30,189 Health and welfare 16,383 18,975 21,638 21,870 18,522 Education 1,143 1,150 1,194 1,213 1,212 Subtotal governmental activities 56,243 62,870 64,156 67,017 80,623 Business -type actvities: Solid waste 6,667 7,102 7,943 8,241 7,862 Fair & expo center 1,710 1,981 2,276 2,287 2,776 Subtotal business -type activities 8,377 9,083 10,219 10,528 10,638 Total primary government $ 64,620 $ 71,953 $ 74,375 $ 77,545 $ 91,261 -245- DESCHUTES COUNTY, OREGON FUND BALANCES - GOVERNMENTAL FUNDS, LAST FIVE FISCAL YEARS (modified accrual basis of accounting) Fiscal Year General Fund Reserved $ - $ - $ - $ - $ - Unreserved 5,114,327 5,669,705 6,830,482 6,841,976 6,729,202 Total General Fund $ 5,114,327 $ 5,669,705 6,830,482.00 $ 6,841,976 $ 6,729,202 All Other Governmental Funds Reserved $ 761,961 $ 766,609 $ 857,174 $ 792,928 $ 989,812 Unreserved, reported in: Special revenue funds 33,036,883 41,773,226 46,203,588 50,401,270 50,573,688 Capital projects funds 5,075,534 2,066,324 287,502 677,141 (2,879,998) Debt service funds 1,843,771 1,638,674 1,330,609 1,157,785 1,127,264 Total all other governmental funds $ 40,718,149 $ 46,244,833 $ 48,678,873 $ 53,029,124 $ 49,810,766 X11 DESCHUTES COUNTY, OREGON CHANGES IN FUND BALANCES - GOVERNMENTAL FUNDS LAST FIVE YEARS (modified accrual basis of accounting) Expenditures General government 502,021 566,691 Fiscal Year 935,434 1,081,739 General services 2004 2005 2006 2007 2008 Revenues 32,938,286 35,177,676 34,933,093 38,127,862 73,703,418 Taxes $ 35,614,972 $ 40,410,761 $ 44,182,536 $ 47,100,658 $ 53,685,756 Licenses and permits 515,516 539,345 541,430 621,774 551,883 Fines, forfeitures, and penalties $ 1,206,561 $ 1,331,035 1,506,203.00 $ 1,573,822 $ 1,696,964 Special assessments 715,535 629,407 375,828 270,151 482,494 Interest and rents 1,651,061 2,880,051 3,782,331 4,974,934 4,721,683 Intergovernmental 38,961,949 41,342,653 42,330,291 43,230,353 75,576,277 Charges for services 17,660,187 19,221,523 20,460,721 20,983,902 18,698,608 Other 1,043,269 3,128,943 2,230,836 978,935 477,815 Total revenues 97,369,050 109,483,718 115,410,176 119,734,529 155,891,480 Expenditures General government 502,021 566,691 798,578 935,434 1,081,739 General services 22,225,705 16,425,821 22,977,796 23,011,015 25,838,035 Public protection 32,938,286 35,177,676 34,933,093 38,127,862 73,703,418 County roads 9,654,024 11,190,724 12,699,890 13,274,067 15,263,147 Health and welfare 21,552,352 23,252,183 25,039,345 26,828,472 25,966,358 Education 1,143,468 1,151,264 1,196,665 1,217,999 1,213,866 Debt service Principal 4,259,579 4,024,705 4,746,584 4,003,240 4,349,919 Interest 3,442,499 3,340,049 3,243,567 3,069,252 3,051,379 Trustee fees - 7,685 3,430 5,710 5,210 Debt issuance costs- 130,918 133,596 12,250 - Capital outlay 20,545,960 11,862,923 5,515,548 5,110,510 8,658,465 Total expenditures 116,263,894 107,130,639 111,288,092 115,595,811 159,131,536 Excess of revenues over (under) expenditures (18,894,844) 2,353,079 4,122,084 4,138,718 (3,240,056) Other Financing Sources (Uses) Transfers in 17,023,022 18,488,400 20,514,619 20,769,508 18,214,344 Transfers out (17,428,174) (19,183,564) (21,346,431) (22,203,870) (18,421,256) Loan proceeds 7,088,508 3,876,382 - - - Bond issuance - - - 1,077,000 - Refunding proceeds - 1,793,514 5,915,000 - - Payments to escrow agent - (1,738,354) (5,777,404) - - Proceeds from sale of assets 2,321,725 492,602 166,950 580,384 115,835 Total other financing sources (uses) 9,005,081 3,728,980 (527,266) 223,022 (91,077) Net change in fund balances $ (9,889,763) $ 6,082,059 $ 3,594,818 $ 4,361,740 $ (3,331,133) Debt service as a percentage of noncapital expenditures 8.4% 8.3% 7.8% 6.6% 4.9% -247- Sources: Deschutes County Assessor's Department and Oregon Department of Revenue (a) includes tax-exempt property Continued -248- DESCHUTES COUNTY, OREGON ASSESSED VALUE AND ESTIMATED VALUE OF TAXABLE PROPERTY LAST TEN FISCAL YEARS (in thousands of dollars) Real Property = F -Personal Property Manufactured Homes Fiscal Year Assessed Estimated Assessed Estimated Assessed Estimated Ended June 30, Value Actual Value Value Actual Value Value Actual Value 1999 $ 6,907,243 $ 8,420,905 $ 202,600 $ 204,874 $ 55,422 $ 64,660 2000 7,528,325 9,452,053 228,798 230,424 61,738 69,871 2001 8,231,343 10,543,865 252,161 253,257 67,481 77,596 2002 8,953,574 12,016,020 277,972 278,404 71,493 78,095 2003 9,685,677 13,585,512 289,037 289,240 71,257 76,685 2004 10,484,956 15,192,941 289,950 289,962 72,507 80,448 2005 11,497,220 16,890,285 308,985 308,999 73,771 82,344 2006 12,640,050 20,207,657 339,456 339,486 62,959 67,888 2007 13,870,767 27,611,646 383,447 383,447 61,946 67,553 2008 15,020,692 36,089,166 415,380 415,548 58,898 65,957 Sources: Deschutes County Assessor's Department and Oregon Department of Revenue (a) includes tax-exempt property Continued -248- -249- Assessed Value(a) as a Percentage of Estimated 82.802% 80.660% 78.958% 75.712% 72.599% 70.310% 69.350% 63.821% 51.575% 42.901% DESCHUTES COUNTY, OREGON ASSESSED VALUE AND ESTIMATED VALUE OF TAXABLE PROPERTY LAST TEN FISCAL YEARS (in thousands of dollars) Exemptions Total Public Utilities Taxable Range of Total Assessed Estimated Assessed Assessed Estimated Direct Tax Value Actual Value Value Value Actual Value Rates Paid $ 234,813 $ 246,645 $ 9,138 $ 7,390,940 $ 8,937,084 2.0847-3.0818 271,998 278,491 10,344 8,080,515 10,030,839 2.1311-3.1810 272,699 300,509 11,111 8,812,573 11,175,227 2.5566-3.6065 315,922 332,186 12,958 9,606,003 12,704,705 2.6567-3.7066 325,968 335,247 14,017 10,357,922 14,286,684 2.6185-5.6755 327,493 330,462 15,452 11,159,454 15,893,813 2.6807-5.6440 348,827 351,843 16,242 12,212,561 17,633,471 2.7001-5.6809 323,329 327,647 16,319 13,349,475 20,942,678 2.6938-5.7206 331,845 338,869 22,612 14,625,393 28,401,515 2.6548-5.7385 352,616 369,411 23,638 15,823,948 36,940,082 2.9780-5.8087 -249- Assessed Value(a) as a Percentage of Estimated 82.802% 80.660% 78.958% 75.712% 72.599% 70.310% 69.350% 63.821% 51.575% 42.901% DESCHUTES COUNTY, OREGON DIRECT AND OVERLAPPING PROPERTY TAX RATES LAST TEN FISCAL YEARS (rate per $1,000 of assessed value) Sources: Deschutes County Assessor's Office and Deschutes County Finance Department. Continued -250- Fiscal Year Taxes are Payable 1999 2000 2001 2002 2003 County direct rates Rates levied to all taxable County properties: General 1.1329 1.1669 1.2000 1.2783 1.2783 Jail Bond -- 0.2114 0.2111 0.1913 Fairgrounds Bond $ - $ - 0.18 $ 0 $ 0 Sheriff (Countywide) - - - - - County Extension/41-1 CSD 0.0209 0.0224 0.0224 0.0224 0.0224 911 CSD 0.1509 0.1618 0.1618 0.1618 0.1618 911 Local Option- County districts paid by all properties 1.3047 1.3511 1.7766 1.8767 1.8385 Rates levied to taxable rural County properties: Sheriff (Rural) 1.1200 1.1200 1.1200 1.1200 1.1200 Rates levied to incorporated and CSD tax codes: Sheriff (Incorporated) 0.7800 0.7800 0.7800 0.7800 0.7800 All County properties pay one of the following rates: Bend Library Bond 0.1741 0.1350 0.1371 0.1332 0.1182 Redmond Library Bond 0.1338 0.1147 0.1087 0.1040 0.0949 Sunriver Library Bond 0.0976 0.0885 0.0812 0.0847 0.0770 Paid by Black Butte properties only: Black Butte Ranch CSD 0.9971 1.0499 1.0499 1.0499 1.0499 Black Butte Ranch CSD Local Opt - - - - - Paid by Sunriver properties only: Sunriver Service District 2.9800 Range of County Direct Rates Paid 2.0847 - 3.0818 2.1311 - 3.1810 2.5566 - 3.6065 2.6567 - 3.7066 2.6185 - 5.6755 City and town rates Bend 2.6482 2.6688 2.7898 2.8035 2.8035 Redmond 7.4055 7.1484 7.0529 6.9987 6.1643 Sisters 2.5371 2.6374 2.6417 2.6417 2.6417 La Pine - - - - - Bend Gap Bond 0.1594 0.1135 - - - Bend Urban Renewal Special Levy 0.1490 0.1247 0.1460 0.1744 0.1919 City of Redmond Bond - - - - 0.8230 Sunriver Service District - - - - 3.4500 Redmond Downtown Urban Renewal Levy 0.5811 0.5967 0.5197 0.5979 0.5794 Redmond Airport Urban Renewal Levy - - 0.2514 0.2476 0.2529 Library district rates 0.5500 0.5500 0.5500 0.5500 0.5500 Fire district rates 1.1771 - 2.7296 1.0234 - 2.7291 1.1039 - 2.7307 1.0924 - 2.7317 1.0924 - 2.7317 Parks and recreation district rates .3349 -1.3850 .2174 - 1.4518 .2190 -1.4610 .2200 - 1.4610 .2200 - 1.4610 School district rates 5.0517 - 7.3180 5.4934 - 7.6081 5.5089 - 7.3189 5.5120 - 7.7542 5.5109 - 7.5787 Road district rates .2514 - 4.2147 5.4934 - 7.6081 .2210 - 4.2147 .8703 - 4.2147 .4638 - 3.6500 Other special district rates 0.3078 0.3078 0.2807 0.2895 0.2895 Sources: Deschutes County Assessor's Office and Deschutes County Finance Department. Continued -250- DESCHUTES COUNTY, OREGON DIRECT AND OVERLAPPING PROPERTY TAX RATES LAST TEN FISCAL YEARS (rate per $1,000 of assessed value) County direct rates Rates levied to all taxable County properties: General Jail Bond Fairgrounds Bond Sheriff (Countywide) County Extension/4H CSD 911 CSD 911 Local Option County districts paid by all properties Rates levied to taxable rural County properties: Sheriff (Rural) Rates levied to incorporated and CSD tax codes: Sheriff (Incorporated) All County properties pay one of the following rates: Bend Library Bond Redmond Library Bond Sunriver Library Bond Paid by Black Butte properties only: Black Butte Ranch CSD Black Butte Ranch CSD Local Opt Paid by Sunriver properties only: Sunriver Service District Range of County Direct Rates Paid City and town rates Bend Redmond Sisters La Pine Bend Gap Bond Bend Urban Renewal Special Levy City of Redmond Bond Sunriver Service District Redmond Downtown Urban Renewal Levy Redmond Airport Urban Renewal Levy Library district rates Fire district rates Parks and recreation district rates School district rates Road district rates Other special district rates Fiscal Year Taxes are Payable 1.2783 1.2783 1.2783 1.2783 1.2783 0.1780 0.1659 0.1612 0.1402 0.1370 0.1702 0.1617 0.1601 0.1421 0.1285 - - - - 0.9500 0.0224 0.0224 0.0224 0.0224 0.0224 0.1618 0.1618 0.1618 0.1618 0.1618 0.0900 0.0900 0.0900 0.0900 1.9007 1.8801 1.8738 1.8348 2.6780 1.1200 1.6000 1.6000 1.6000 1.4000 0.7800 0.8200 0.8200 0.8200 - 0.1189 0.0925 0.0991 0.0856 0.0858 0.0916 0.0782 0.0723 0.0618 0.0588 0.0733 0.0708 0.0668 0.0637 0.0607 1.0499 1.0499 1.0499 1.0499 1.0499 - - - 0.4000 0.4000 2.8900 2.9100 2.9600 3.0200 3.0700 2.6807 - 5.6440 2.7001 - 5.6809 2.6938 - 5.7206 2.6548 - 5.7385 2.9780 - 5.8087 2.8035 2.8035 2.8035 2.8035 2.8035 6.0643 6.0643 6.0643 6.0643 6.1643 2.6417 2.6417 2.6417 2.6417 2.6417 - - - - 1.8800 0.2045 0.2358 0.2192 0.2266 0.2595 0.1776 0.1439 0.1196 0.0893 0.0755 2.8900 2.9100 2.9600 3.0200 3.0700 0.6500 0.4718 0.4676 0.3248 0.1719 0.2848 - - - - 0.5500 0.5500 0.5500 0.5500 0.5500 1.0924 - 2.7317 1.0924 - 2.7317 1.0924 - 2.7317 1.0924 - 2.7317 1.0924 - 3.2087 .2200 -1.4610 .2200 - 1.4610 .2200 -1.4610 .2200 -1.4610 .2200 - 1.4610 5.5025 - 7.4751 5.4946 - 7.5716 5.4915 - 7.5031 6.4665 - 7.3835 6.4474 - 7.2751 .4430 - 3.6500 .4249 - 3.6500 0.2895 0.2895 -251- .4249 - 3.6500 .7831 - 3.6500 .7831-3.6500 0.2895 0.2895 0.3898 DESCHUTES COUNTY, OREGON PRINCIPAL PROPERTY TAX PAYERS, CURRENT FISCAL YEAR AND NINE YEARS AGO 2008 Total $ 437,276,677 Source: Deschutes County Assessor's Department n/a - Not available -252- 1999 Percentage of Taxable Percentage of Assessed Taxaaver Value Rank Gas Transmission Northwest Corporation $ 62,994,056 1 Qwest Corporation 61,967,760 2 Cascade Natural Gas Corporation 50,445,000 3 Pronghom Investors LLC 49,842,448 4 Pacificorp (PPBL) 46,090,000 5 Eagle Crest Inc 36,620,556 6 Sunriver Resort Limited Partnership 36,408,430 7 Mt. Bachelor Inc. 34,564,150 8 CVSC LLC 31,225,667 9 Bend Millwork Systems Inc. 27,118,610 10 Total $ 437,276,677 Source: Deschutes County Assessor's Department n/a - Not available -252- 1999 Percentage of Percentage of Total County Total County Taxable Taxable Taxable Assessed Assessed Assessed Value Value Rank Value 0.40% n/a n/a n/a 0.39% n/a n/a n/a 0.32% n/a n/a n/a 0.31% n/a n/a n/a 0.29% n/a n/a n/a 0.23% n/a n/a n/a 0.23% n/a n/a n/a 0.22% n/a n/a n/a 0.20% n/a n/a n/a 0.17% n/a n/a n/a 2.76% $ $ - DESCHUTES COUNTY, OREGON PROPERTY TAXES LEVIES AND COLLECTIONS LAST TEN FISCAL YEARS (amounts expressed in thousands) Collected within the Fiscal Year Taxes Levied of the Levy Collections Total Collections to Date Fiscal Year for the Percentage in Subsequent Percentage Ended June 30, Fiscal Year' Amount of Levy Years Amount of Levy 1999 $ 25,548 $ 24,470 95.780% $ 1,078 $ 25,548 100.000% 2000 22,513 21,600 95.945% 912 22,512 99.998% 2001 24,320 23,323 95.900% 994 24,317 99.988% 2002 27,923 26,890 96.301% 1,030 27,920 99.989% 2003 31,644 30,611 96.736% 1,026 31,637 99.979% 2004 34,408 33,412 97.105% 989 34,401 99.981% 2005 40,721 39,718 97.537% 953 40,671 99.877% 2006 42,784 41,871 97.866% 785 42,656 99.700% 2007 46,212 44,875 97.107% 866 45,741 98.981% 2008 54,520 50,778 93.136% - 50,778 93.136% ' Net of discounts and adjustments. -253- DESCHUTES COUNTY, OREGON RATIOS OF OUTSTANDING DEBT BY TYPE LAST TEN FISCAL YEARS (dollars in thousands, except per capita) ' See page 262 for personal income and population data. n/a - Not available. Continued -254- Governmental Activities General Limited Special Certificates Full Faith Fiscal Obligation Tax Assessment of and Credit Capital Year Bonds Bonds Bonds Participation Obligations Leases Loans 1999 $ 31,862 $ 735 $ - $ 12,645 $ - $ - $ 2000 30,610 625 1,291 12,265 - - - 2001 29,266 505 1,255 11,685 - 683 - 2002 27,815 5,790 1,180 11,075 - 767 1,461 2003 26,531 5,615 1,100 10,435 27,505 526 838 2004 25,219 12,486 347 9,760 26,884 342 802 2005 23,264 12,460 286 7,360 31,624 43 400 2006 21,181 12,424 136 955 35,987 22 350 2007 18,974 12,380 77 670 35,656 188 300 2008 16,629 12,329 30 370 34,050 - 250 ' See page 262 for personal income and population data. n/a - Not available. Continued -254- DESCHUTES COUNTY, OREGON RATIOS OF OUTSTANDING DEBT BY TYPE LAST TEN FISCAL YEARS (dollars in thousands, except per capita) -255- Business -Type Activities General Full Faith Total Percentage Fiscal Obligation and Credit Primary of Personal Per Year Bonds Obligations Loans Government Income' Capita' 1999 $ 25,145 $ - $ - $ 70,387 2.45% 628.83 2000 24,770 - - 69,561 2.22% 602.95 2001 24,300 - - 67,694 2.01% 560.61 2002 23,750 - 550 72,388 2.04% 576.49 2003 24,050 6,190 538 103,328 2.86% 791.79 2004 23,190 6,190 525 105,745 2.63% 780.69 2005 22,230 8,853 513 107,033 2.36% 745.93 2006 21,155 8,656 501 101,367 2.03% 664.20 2007 19,955 18,037 488 106,725 n/a 663.67 2008 18,635 17,529 470 100,292 n/a n/a -255- DESCHUTES COUNTY, OREGON RATIOS OF GENERAL BONDED DEBT OUTSTANDING LAST TEN FISCAL YEARS (dollars in thousands, except per capita) General Bonded Debt Outstanding General Fiscal Obligation Year Bonds Percentage of Actual Taxable Value' of Property Per Capitan 1999 $ 57,007 0.64% 509.30 2000 55,380 0.55% 480.03 2001 53,566 0.48% 443.61 2002 51,565 0.41% 410.66 2003 50,581 0.35% 387.59 2004 48,409 0.30% 357.39 2005 45,494 0.26% 317.05 2006 42,336 0.20% 277.40 2007 38,929 0.14% 242.08 2008 35,264 0.10% n/a ' See page 248 for property value data. 2 Population data can be found on page 262. n/a - Not available. -256- DESCHUTES COUNTY, OREGON DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT AS OF JUNE 30, 2008 (dollars in thousands) Governmental Unit Debt repaid with property taxes Bend Library Service District Black Butte Ranch RFPD Central Oregon Community College City of Bend City of Redmond Crook County Unit School (Brothers School Dist) Crooked River Ranch RFPD VI -503 Deschutes County RFPD 1 (Redmond) Deschutes County School District 1 (Bend -La Pine) Deschutes County School District 2 (Redmond) Deschutes County School District 6 (Sisters) La Pine RFPD La Pine Special Sewer District Redmond Library District Sisters RFPD (Camp Sherman) Sunriver Library District Subtotal, overlapping debt Deschutes County direct debt Total direct and overlapping debt Debt Outstanding fl 4,410 120 1,715 4,950 5,180 6,580 2,750 930 187,880 39,298 18,945 1,005 218 304 2,470 595 329,256.00 Sources: Oregon State Treasury, Debt Management Information System Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the County. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of Deschutes County. This process recognizes that, when considering the County's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. Net property tax backed debt was used as the Debt Outstanding which is derived from the gross property backed debt less self-supporting unlimited general obligations and self supporting limited tax general obligation debt. -257- Estimated Estimated Share of Percentage Overlapping Applicable Debt 100.0000% $ 4,410 100.0000% 120 83.6885% 1,435 $ 1 4,950.00 100.0000% 5,180 0.5980% 39 9.7936% 269 99.8955% 929 100.0000% 187,880 94.5027% 37,138 99.9645% 18,938 98.6519% 991 100.0000% 218 100.0000% 304 89.1604% 2,202 100.0000% 595 265,598 63,658 329,256.00 Sources: Oregon State Treasury, Debt Management Information System Note: Overlapping governments are those that coincide, at least in part, with the geographic boundaries of the County. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of Deschutes County. This process recognizes that, when considering the County's ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. However, this does not imply that every taxpayer is a resident, and therefore responsible for repaying the debt, of each overlapping government. Net property tax backed debt was used as the Debt Outstanding which is derived from the gross property backed debt less self-supporting unlimited general obligations and self supporting limited tax general obligation debt. -257- DESCHUTES COUNTY, OREGON ' ORS 287.054 provides: "The aggregate amount of general obligation bonded indebtedness of counties shall not at any time exceed two percent of the real market value of all taxable property in the county." 2 ORS 287.053 provides: "A county shall not have at any one time outstanding limited tax bonded indebtedness in a principal amount that exceeds one percent of the real market value of all taxable property within the county." Continued -258- LEGAL DEBT MARGIN INFORMATION LAST TEN FISCAL YEARS (dollars in thousands) Legal Debt Margin Calculation for Fiscal Year 2008 Estimated Actual Value $ 36,940,082 Estimated Actual Value $ 36,940,082 Debt limit (2% of estimated actual value) ' 738,802 Debt limit (1 % of estimated actual value) Z 369,401 Debt applicable to limit: Debt applicable to limit: General obligation bonds 35,264 Limited tax bonds 46,409 Less: Amount set aside $ 270 for repayment of debt Total net debt applicable to limit 35,264 Total net debt applicable to limit 46,139 Legal debt margin $ 703,538 Legal debt margin $ 323,262 Fiscal Year 1999 2000 2001 2002 2003 Debt Limit (2%) $ 178,742 $ 200,617 $ 223,505 $ 254,094 $ 285,734 Total net debt applicable to limit 57,007 55,380 53,566 51,565 50,581 Legal debt margin $ 121,735 $ 145,237 $ 169,939 $ 202,529 $ 235,153 Total net debt applicable to the limit as a percentage of debt limit 31.89% 27.60% 23.97% 20.29% 17.70% Debt Limit (1%) 2 $ 89,371 $ 100,308 $ 111,752 $ 127,047 $ 142,867 Total net debt applicable to limit 735 1,916 1,760 6,970 40,410 Legal debt margin $ 88,636 $ 98,392 $ 109,992 $ 120,077 $ 102,457 Total net debt applicable to the limit as a percentage of debt limit 0.82% 1.91% 1.57% 5.49% 28.29% ' ORS 287.054 provides: "The aggregate amount of general obligation bonded indebtedness of counties shall not at any time exceed two percent of the real market value of all taxable property in the county." 2 ORS 287.053 provides: "A county shall not have at any one time outstanding limited tax bonded indebtedness in a principal amount that exceeds one percent of the real market value of all taxable property within the county." Continued -258- DESCHUTES COUNTY, OREGON LEGAL DEBT MARGIN INFORMATION LAST TEN FISCAL YEARS (dollars in thousands) Fiscal Year 2004 2005 2006 2007 2008 $ 317,876 $ 352,669 $ 418,854 $ 568,030 $ 738,802 48,409 45,949 42,336 38,929 35,264 $ 269,467 $ 306,720 $ 376,518 $ 529,101 $ 703,538 15.23% 13.03% 10.11% 6.85% 4.77% $ 158,938 $ 176,335 $ 209,427 $ 284,015 $ 369,401 45,842 53,033 48,147 47,750 46,139 $ 113,096 $ 123,302 $ 161,280 $ 236,265 $ 323,262 28.84% 30.08% 22.99% 16.81% 12.49% -259- DESCHUTES COUNTY, OREGON PLEDGED -REVENUE COVERAGE LAST TEN FISCAL YEARS (dollars in thousands) Note: Details regarding the Countys outstanding debt can be found in the notes to the financial statements. Continued -260- Limited Tax Bonds - Series 1992 Limited Tax Bonds - Series 1996 Special Special Fiscal Assessment Debt Service Assessment Debt Service Year Collections Principal Interest Coverage Collections Principal Interest Coverage 1999 $ 25 $ 45 $ 15 0.42 $ 179 $ 60 $ 27 2.06 2000 24 45 13 0.41 66 65 25 0.73 2001 12 50 11 0.20 59 70 22 0.64 2002 6 55 8 0.10 44 70 18 0.50 2003 5 100 5 0.05 31 75 15 0.34 2004 - - - - 10 205 5 0.05 2005 - - - - 2006 - - - - 2007 - - - - - 2008 - - - - Full Faith and Credit Obligations - Series 2003 Full Faith and Credit Obligations - Series 2005 Special Special Fiscal Assessment Debt Service Assessment Debt Service Year Collections Principal Interest Coverage Collections Principal Interest Coverage 1999 $ $ $ $ - $ $ 2000 - - 2001 - 2002 2003 242 - - - 2004 482 621 52 0.72 - - - 2005 300 303 30 0.90 81 - - - 2006 214 206 17 0.96 87 143 16 0.55 2007 114 113 10 0.93 67 63 8 0.94 2008 70 72 6 0.90 32 33 6 0.82 Note: Details regarding the Countys outstanding debt can be found in the notes to the financial statements. Continued -260- DESCHUTES COUNTY, OREGON PLEDGED -REVENUE COVERAGE LAST TEN FISCAL YEARS (dollars in thousands) SDecial Assessment Bonds - Series 2000 Special Assessment Debt Service Collections Principal Interest Coverage 257 - 284 36 88 2.29 294 75 71 2.01 203 80 67 1.38 129 753 44 0.16 75 61 19 0.94 158 149 15 0.96 43 60 7 0.64 49 47 4 0.96 Full Faith and Credit Obiiaations - Series 2007 Special Assessment Debt Service Collections Principal Interest Coverage 25 - - 288 239 58 0.97 -261- DESCHUTES COUNTY, OREGON Sources: Population, personal income and per capita personal income information provided by the Bureau of Economic Analysis and Portland State University, Population Research Center. Median age based on data obtained from Portland State University. School enrollment provided by the Oregon Department of Education. Unemployment provided by Oregon Employment Department, Oregon Labor Market Information System. Note: Population information are Census Bureau midyear population estimates. Estimates for 2000-2007 reflect county population estimates available as of March 2008. Median age figures for 2001-2007 based on midyear data tables. School enrollment is based on the census at the start of the 2007-08 school year. Unemployment rate information, reported as an annual average, is not seasonally adjusted. Unemployment rate for 2008 is an average of January through June 2008. n/a - Not available. -262- DEMOGRAPHIC AND ECONOMIC STATISTICS LAST TEN FISCAL YEARS Personal Per Income Capita (thousands Personal Median School Unemployment Year Population of dollars) Income Age Enrollment Rate 1999 111,933 $ 2,869,502 $ 25,636 n/a 18,983 6.2% 2000 115,367 3,139,720 26,929 n/a 19,603 5.4% 2001 120,750 3,366,903 27,883 38.11 19,867 6.5% 2002 125,566 3,540,043 28,193 38.09 20,508 7.8% 2003 130,500 3,611,578 27,880 38.09 20,914 7.8% 2004 135,451 4,018,770 29,853 38.08 21,342 6.8% 2005 143,490 4,534,433 32,094 39.45 22,044 5.8% 2006 152,615 4,996,527 33,522 39.79 22,668 4.6% 2007 160,810 n/a n/a 40.15 23,652 4.9% 2008 n/a n/a n/a n/a 24,421 7.1% Sources: Population, personal income and per capita personal income information provided by the Bureau of Economic Analysis and Portland State University, Population Research Center. Median age based on data obtained from Portland State University. School enrollment provided by the Oregon Department of Education. Unemployment provided by Oregon Employment Department, Oregon Labor Market Information System. Note: Population information are Census Bureau midyear population estimates. Estimates for 2000-2007 reflect county population estimates available as of March 2008. Median age figures for 2001-2007 based on midyear data tables. School enrollment is based on the census at the start of the 2007-08 school year. Unemployment rate information, reported as an annual average, is not seasonally adjusted. Unemployment rate for 2008 is an average of January through June 2008. n/a - Not available. -262- DESCHUTES COUNTY, OREGON PRINCIPAL EMPLOYERS CURRENT YEAR AND NINE YEARS AGO Sources: Bend-LaPine School District, Deschutes County Finance Department, Economic Development for Central Oregon, Oregon Employment Department, and the Redmond School District. n/a - Not available. -263- 2008 1999 Percentage Percentage of Total County of Total County Employer Employees Rank Employment Employees Rank Employment St. Charles Medical Center 2,664 1 3.60% n/a n/a n/a Bend/La Pine School District 1,780 2 2.40% n/a n/a n/a Deschutes County 1,051 3 1.42% n/a n/a n/a Sunriver Resort 950 4 1.28% n/a n/a n/a Mt. Bachelor 886 5 1.20% n/a n/a n/a T -Mobile 824 6 1.11% n/a n/a n/a Redmond School District 744 7 1.00% n/a n/a n/a Wal-Mart 623 8 0.84% n/a n/a n/a TRG Customer Solutions (formerly iSKY) 564 9 0.76% n/a n/a n/a City of Bend 540 10 0.73% n/a n/a n/a Total Employees of Principal Employers 10,626 14.34% Total County Nonfarm Employment 74,070 100.00% Sources: Bend-LaPine School District, Deschutes County Finance Department, Economic Development for Central Oregon, Oregon Employment Department, and the Redmond School District. n/a - Not available. -263- DESCHUTES COUNTY, OREGON FULL-TIME EQUIVALENT COUNTY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM, LAST FIVE FISCAL YEARS Full-time Equivalent Employees as of June 30, 2004 2005 2006 2007 2008 Function/Program General government Executive 8.15 8.00 9.90 8.83 9.65 General services Judicial 43.10 47.00 46.25 48.75 49.75 Financial 37.78 39.18 40.73 39.78 39.58 Assessment 30.75 33.25 32.75 33.75 33.25 Community development 29.15 29.15 31.68 33.20 30.90 Building services 20.25 20.50 22.50 22.65 22.85 Information technology 15.41 14.84 15.68 15.50 15.44 Other 10.51 12.33 6.29 7.47 8.23 Public protection Law enforcement 101.68 101.68 100.75 104.75 112.75 Corrections 147.45 153.30 151.80 155.65 192.45 Protective inspection 27.35 29.35 34.32 35.80 30.10 Public Works Streets & highways 57.00 57.00 66.50 63.50 61.50 Sanitation 23.00 23.00 24.00 24.00 26.00 Health & Welfare Health 50.55 49.45 49.50 50.35 54.85 Welfare 89.49 89.85 89.50 94.03 102.70 Recreation & culture Fair & expo center 14.00 13.00 14.00 13.00 13.00 Other Economic development 0.65 0.55 1.15 1.08 1.10 Total 706.27 721.43 737.30 752.09 804.10 Source: Deschutes County Finance Department -264 DESCHUTES COUNTY, OREGON OPERATING INDICATORS BY FUNCTION/PROGRAM LAST FIVE FISCAL YEARS Fiscal Year 2004 2005 2006 2007 2008 Function/Proaram Police Physical arrests 1,386 1,653 1,632 1,536 1,451 Traffic Violations Citations issued 6,384 6,894 5,717 5,348 5,958 Warnings 4,521 6,109 6,037 5,553 7,231 Calls for service 27,041 27,269 27,416 25,440 24,213 Traffic stops 9,797 11,701 10,528 9,628 13,794 Solid waste Solid waste collected (tons) 202,040 207,225 243,986 247,652 257,863 Average annual per capita waste generation (pounds) 2,790 2,904 3,056 3,111 3,379 Recyclables collected (tons) 46,857 54,225 55,400 62,523 69,717 Road Street resurfacing (miles) 26.89 miles 22.41 miles 14.06 miles 10.13 miles 10.62 miles 911 emergency services Emergency calls 63,500 63,994 68,403 70,104 66,004 Police officer initiated calls 226,471 232,700 235,629 244,633 261,420 Fire department initiated calls 15,324 16,603 18,478 19,461 19,828 -265- DESCHUTES COUNTY, OREGON CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM LAST FIVE FISCAL YEARS -266- Fiscal Year 2004 2005 2006 2007 2008 Function/Program Police Stations 4 4 4 4 4 Adult correctional facilities 1 1 1 1 2 Special services complex 1 1 1 1 1 Road Streets (miles) 998 1004 1004 1011 1027 Streetlights 4 4 4 4 4 Flashing lights 6 6 6 6 6 Signals 2 2 2 2 2 -266- AUDIT COMMENTS AND DISCLOSURES REQUIRED BY STATE REGULATIONS This page intentionally left blank. AUDIT COMMENTS AND DISCLOSURES REQUIRED BY STATE REGULATIONS Internal Control We have audited the financial statements of Deschutes County, Oregon, as of and for the year ended June 30, 2008, and have issued our report thereon dated November 3, 2008. In planning and performing our audit, we considered the District's internal control over financial reporting in order to determine our auditing procedures for the purpose of expressing our opinion on the financial statements and not to provide assurance on the internal control over financial reporting. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects your entity's ability to initiate, authorize, record, process or report financial data reliably in accordance with generally accepted accounting principles in the United States of America such that there is more than a remote likelihood that a misstatement of your financial statements that is more than inconsequential will not be prevented or detected by your internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by your internal control. We noted no matters involving internal control over financial reporting that we consider to be material weaknesses. We noted other matters which were communicated in a letter to management dated November 3, 2008. Accounting Records We found the condition of the accounting records adequate for audit purposes. Collateral Cash and investments were adequately secured during the year. Indebtedness The County's short-term and long-term debt was found to be within legal limitations on the amount of debt which may be incurred, liquidation of debts were within the prescribed period of time and indebtedness was in compliance with provisions of bond indentures and other agreements, including restrictions on the use of monies available to retire indebtedness. Budgeting We reviewed the County's procedures for preparation, adoption and execution of its budget for the year ended June 30, 2008, and the procedures for preparation and adoption of their budget for the year beginning July 1, 2008. All procedures were found to be in compliance with statutory requirements. For the year ended June 30, 2008, expenditures exceed appropriations by category as follows: -269- AUDIT COMMENTS AND DISCLOSURES REQUIRED BY STATE REGULATIONS Personnel Black Butte Ranch County Service District Materials and Services Original Over - Budget Final Budget Actual expenditure $ 500,718 $ 500,718 $ 508,509 $ (7,791) Deschutes County 911 County Service District $ 753,249 $ 758,349 $ 805,329 $ (46,980) Deschutes County Communications System 247,393 247,393 255,555 (8,162) $ 1,000,642 Insurance Coverage and Fidelity Bonds $ 1,005,742 $ 1,060,884 $ (55,142) Insurance coverage and fidelity bonds were reviewed and found to be in compliance with statutory requirements. Programs Funded From Outside Sources Requirements All material programs funded from outside sources were reviewed and found to be in substantial compliance with appropriate laws, rules and regulations governing those programs. Reports filed with grantor agencies were agreed to the County's records, and we found the County to be in substantial compliance with program requirements. See the Single Audit Compliance section of this report. Public Contracts and Purchasing We reviewed the County's procedures for awarding public contracts and construction of public improvements and found them to be in compliance with statutory requirements. Investments Investments were reviewed and found to be in compliance with statutory requirements. Highway Funds Taxes on fuel and motor vehicle use were reviewed and found to be used in compliance with constitutional and statutory requirements. This report is intended solely for the information and use of management, the board of commissioners and the Oregon Secretary of State and is not intended to be and should not be used by anyone other than these specified parties. HARRIGAN PRICE FRONK & CO. LLP Certified P lic Accountants & Consultants By:Z]24c Candace S. Fronk - a partner November 3, 2008 -270- SINGLE AUDIT COMPLIANCE REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF John P. Harrigan. CPA FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH Wesley B. Price III. CPA GOVERNMENT AUDITING STANDARDS Candace S. Fronk. CPA Board of Commissioners Deschutes County, Oregon We have audited the financial statements of the governmental activities, each major fund and the aggregate remaining fund information of Deschutes County, Oregon, as of and for the year ended June 30, 2008, and have issued our report thereon dated November 3, 2008. We conducted our audit in accordance with generally accepted auditing standards and the standards applicable to financial audits contained in Government 975 SW Colorado Auditing Standards, issued by the Comptroller General of the United States. Suite 200 Bend, OR 97702 Internal Control Over Financial Reporting Tel (541) 3824791 Fax(541)388-1124 In planning and performing our audit, we considered the County's internal control over www.bendcpa.com financial reporting in order to determine our auditing procedures for the purpose of email@bendcpa.com expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the County's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the County's internal control over financial reporting. A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability to initiate, authorize, record, process, or report financial data reliably in accordance with generally accepted accounting principles in the United Stated of America such that there is more than a remote likelihood that a misstatement of the entity's financial statements that is more than inconsequential will not be prevented or detected by the entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by the entity's internal control. Our consideration of the internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses, as defined above. We noted other matters which were communicated in a letter to management dated November 3, 2008. -273- REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS — CONTINUED Compliance and Other Matters As part of obtaining reasonable assurance about whether the County's financial statements are free of material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance required to be reported under Government Auditing Standards. This report is intended solely for the information and use of the board of commissioners, management, others within the County, federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. HARRIGAN PRICE FRONK & CO. LLP Certified Public Accountants & Consultants LBy. --•-- Candace S. Fronk - 6artner November 3, 2008 -274- REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133 John P. Harrigan, CPA Wesley B. Price III, CPA Candace S. Fronk. CPA Board of Commissioners Deschutes County, Oregon Compliance We have audited the compliance of Deschutes County, Oregon with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A-133 Compliance Supplement that are applicable to each of its major federal programs for the year ended June 30, 2008. Deschutes County's major federal programs are identified in the summary of auditors' results section of the accompanying 975 SW Colorado schedule of findings and questioned costs. Compliance with the requirements of laws, Suite 200 Bend. OR 97702 regulations, contracts and grants applicable to each of its major federal programs is the Tel (541) 382-4791 responsibility of the County's management. Our responsibility is to express an opinion Fax(541)388-1124 on the County's compliance based on our audit. www.bendcpa.com email@bendcpa.com We conducted our audit of compliance in accordance with generally accepted auditing standards; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; and OMB Circular A- 133, Audits of States, Local Governments and Non -Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the County's compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion. Our audit does not provide a legal determination on the County's compliance with those requirements. In our opinion, Deschutes County, complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal programs for the year ended June 30, 2008. Internal Control Over Compliance The management of the County is responsible for establishing and maintaining effective internal control over compliance with the requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and performing our audit, we considered the County's internal control over compliance with requirements that could have a direct and material effect on a major federal program in order to determine our auditing procedures for the purpose of expressing our opinion on compliance, but not for -275- REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A-133 — CONTINUED the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the County's internal control over compliance. A control deficiency in an entity's internal control over compliance exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirement of a federal program on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects an entity's ability to administer a federal program such that there is more than a remote likelihood that noncompliance with a type of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by the entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that material noncompliance with a type of compliance requirement of a federal program will not be prevented or detected by the entity's internal control. Our consideration of the internal control over compliance was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in the internal control that might be significant deficiencies material weaknesses. We did not identify any deficiencies in internal control over compliance and its operation that we consider to be material weaknesses, as defined above. This report is intended solely for the information and use of the board of commissioners, management, others within the County, federal awarding agencies and pass-through entities and is not intended to be and should not be used by anyone other than these specified parties. HARRIGAN PRICE FRONK & CO. LLP Certified Public Accountants & Consultants Candace S. Fronk - a partner November 3, 2008 -276- This page intentionally left blank. DESCHUTES COUNTY, OREGON SCHEDULE OF FINDINGS AND QUESTIONED COSTS FOR THE YEAR ENDED JUNE 30, 2008 Section I — Summary of Auditor's Results Financial Statements Type of auditors' report issued: Unqualified Internal Control over financial reporting: • Material weakness(es) identified? yes X no • Significant deficiency(ies) identified that are not considered to be material weakness(es)? yes X none reported Noncompliance material to financial statements noted? yes X no Federal Awards Internal control over major programs: • Material weakness(es) identified? yes X no • Significant deficiency(ies) identified that are not considered to be material weakness(es)? yes X none reported Type of auditors' report issued on compliance for major programs: Unqualified Any audit findings disclosed that are required to be reported in accordance with section 510(a) of Circular A-133? yes X no Identification of major programs: CFDA Number(s) Name of Federal Program or Cluster 10.665 Schools and Roads Grants to States Dollar threshold used to distinguish between type A and type B programs: $ 300,000 Auditee qualified as low-risk auditee? X yes no Section II — Financial Statement Findings No matters were reported Section III —Federal Award Findings and Questioned Costs No matters were reported. -277- DESCHUTES COUNTY, OREGON STATUS OF PRIOR YEAR (2007) FINDINGS FOR THE YEAR ENDED JUNE 30, 2008 There were no findings of questioned costs for the fiscal year ended June 30, 2007. -278- DESCHUTES COUNTY, OREGON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED JUNE 30, 2008 GRANTOR AND PROGRAM TITLE U.S. Department of Agriculture Direct Programs Cooperative Forestry Assistance Cooperative Forestry Assistance Cooperative Forestry Assistance Cooperative Forestry Assistance Forest Health Protection Pass Through Programs State Department of Human Services Special Supplemental Nutrition Program for Women, Infants and Children (WIC) Special Supplemental Nutrition Program for Women, Infants and Children (WIC) State Department of Administrative Services Schools and Roads: Grants to States State Department of Education School Breakfast Program National Lunch School Program Total Department of Agriculture U.S. Department of the Interior Direct Programs Payments in Lieu of Taxes National Fire Plan-Wildland Urban Interface National Fire Plan-Wildland Urban Interface National Fire Plan-Wildland Urban Interface National Fire Plan-Wildland Urban Interface National Fire Plan-Wildland Urban Interface Pass Through Programs State Department of Administrative Services Non -Sale Disposals of Mineral Material Distribution of Receipts to State and Local Governments Total Department of the Interior U.S. Department of Justice Direct Programs Supervised Visitation: Safe Havens for Children State Criminal Alien Assistance Program Pass Through Programs Department of State Police Juvenile Accountability Incentive Block Grant Edward Byrne Memorial Formula Grant Program Edward Byrne Memorial Formula Grant Program Edward Byrne Memorial State & Local Law Enforcement Assistance Discretionary Grants' Bulletproof Vest Partnership Program Edward Byrne Memorial Justice Assistance Grant Program State Department of Justice Crime Victim Assistance Crime Victim Assistance Oregon Commission on Children and Families Title 11 Formula Grant -Functional Family Therapy Program Total Department of Justice -279- FEDERAL AWARD OR PASS- 520,043 CFDA THROUGH FEDERAL NUMBER IDENTIFYING NUMBER EXPENDITURE 10.664 06 -DG -11062752-402 $ 101,037 10.664 06 -DG -11060120-030 28,644 10.664 07 -DG -11062752-101 61,314 10.664 03 -DG -11062764-096 5,708 10.680 04 -DG -11062764-048 38,221 10.557 280559 520,043 10.557 280664 7,118 10.665 HAA061112 4,588,550 10.553 0904001 13,014 10.555 0904001 24,852 15.228 HAA081104 5,388,501 15.226 287,422 15.228 HAA052020 13,000 15.228 HAA061112 27,849 15.228 HAA071106 50,000 15.228 HAA071112 13,681 15.228 HAA081104 35,596 15.214 38,516 15.227 3,213 16.575 07-2873 469,277 16.527 132,783 16.606 26,055 16.523 11,111 16.579 110,000 16.579 04-039 151,111 16.580 34,500 16.607 1,575 16.738 100,381 16.575 07-2873 21,964 16.575 06-2608 11,675 16.549 FG2006-05 7,399 608,554 Continued DESCHUTES COUNTY, OREGON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED JUNE 30, 2008 Continued -280- FEDERAL AWARD OR PASS- CFDA THROUGH FEDERAL GRANTOR AND PROGRAM TITLE NUMBER IDENTIFYING NUMBER EXPENDITURE U.S. Department of Transportation Pass Through Programs Safety Incentives to Prevent Operation of Motor Vehicles by Intoxicated Persons 20.605 SG -08-35-14 04B 3,332 Total Department of Transportation 3,332 U.S. General Services Administration Pass Through Programs State Department of General Administration Disposal of Federal Surplus Real Property 39.002 132 Total General Services Administration 132 U.S. Environmental Protection Anency Direct Programs Surveys, Studies, Investigations and Special Purpose Grants within the Office of the Administrator 66.610 X596007801 78,207 Pass Through Programs State Department of Human Services State Public Water System Supervision 66.432 280557 32,698 Capitalization Grants for Drinking Water State Revolving Fund 66.468 280655 30,680 Total Environmental Protection Agency 141,585 U.S. Department of Education Pass Through Programs State Department of Human Services Safe and Drug Free Schools and Communities State Grants 84.186 236501 100,000 Total Department of Education 100,000 U.S. Department of Health and Human Services Direct Programs Substance Abuse and Mental Health Services Administration Drug Free Communities Support Program 93.276 5 H79 SP012108-07 67,022 Pass Through Programs State Department of Human Services Family Planning: Services 93.217 280558 136,944 Abstinence Education 93.235 254000 16,105 Immunization Grants 93.268 280540 1,716 Center for Disease Control and Prevention: Investigations and Technical Assistance 93.283 280517 16,528 Center for Disease Control and Prevention: Investigations and Technical Assistance 93.283 280618 / 280673 145,512 HIV Care Formula Grants 93.917 280544 78,333 HIV Prevention Activities -Health Department Based 93.940 280646 20,434 Cooperative Agreements for State Based Diabetes Control Programs and Evaluation of Surveillance Systems 93.988 280567 48,024 Matemal and Child Health Services Block Grant to States 93.994 180514 135,975 State Commission on Children and Families Promoting Safe and Stable Families 93.556 1936002292-001 34,320 Child Care and Development Block Grant 93.575 1936002292-001 29,557 Social Services Block Grant 93.667 1936002292-001 148,838 Medical Assistance Program 93.778 1936002292-001 59,567 Continued -280- DESCHUTES COUNTY, OREGON SCHEDULE OF EXPENDITURES OF FEDERAL AWARDS FOR THE YEAR ENDED JUNE 30, 2008 GRANTOR AND PROGRAM TITLE U.S. Department of Health and Human Services (continued) Pass Through Programs (continued) State Department of Human Services Projects for Assistance in Transition from Homelessness (PATH) Temporary Assistance for Needy Families Block Grants for Community Mental Health Services Block Grants for Prevention and Treatment of Substance Abuse Secretary of State, Elections Division Voting Access for Individuals with Disabilities -Grants to States Total Department of Health and Human Services Department of Homeland Security Pass Through Programs Department of State Police Emergency Management Performance Grants Oregon Military Department Pre -Disaster Mitigation Grant Program State Homeland Security Program Law Enforcement Terrorism Prevention Program Total Department of Homeland Security Office of National Drun Control Policy Pass Through Programs Department of State Police HIDTA T Total Office of National Drug Control Policy Total Federal Assistance FEDERAL AWARD OR PASS- 97.017 PDMC-PJ-10-OR-2007-004 CFDA THROUGH FEDERAL NUMBER IDENTIFYING NUMBER EXPENDITURE 106,001 93.150 207001 40,000 93.558 137000 18,749 93.958 112001 108,431 93.959 135001 292,245 93.617 52,269 1,450,569 97.042 49,526 97.017 PDMC-PJ-10-OR-2007-004 14,178 97.073 07-213 37,527 97.074 07-156 4,770 106,001 07.XXX 1936002292 ' Grant utilized by a fiduciary organization. ' HIDTA Grant amount includes funds utilized by a fiduciary organization in the amount of $199,835. -281- 423,346 423,346 $ 8,691,297 This page intentionally left blank.