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HomeMy WebLinkAbout2023 Annual Comprehensive Financial ReportAnnual Comprehensive Financial Report For the Fiscal Year Ended December 31, 2023 Board of Public Works and Safety Prepared by: CITY OF CARMEL, INDIANA ANNUAL COMPREHENSIVE FINANCIAL REPORT For the Fiscal Year Ended December 31, 2023 This page has been intentionally left blank. INTRODUCTORY SECTION Pages 8–17 18 19 20–21 Letter of Transmittal GFOA Certificate of Achievement Organizational Chart List of Elected and Appointed Officials FINANCIAL SECTION 23–25 26–36 Independent Auditor's Report Management Discussion and Analysis Basic Financial Statements: Government‐wide Financial Statements: 37Statement of Net Position Statement of Activities 38 Fund Financial Statements: Governmental Funds: 39 40 41–42 Balance Sheet ‐ Governmental Funds Reconciliation of the Balance Sheet ‐ Governmental Funds to the Government‐wide Statement of Net Position Statement of Revenues, Expenditures, and Changes in Fund Balances ‐ Governmental Funds Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances ‐ Governmental Funds to the Government‐wide Statement of Activities 43 Proprietary Funds: 44–45 46 Statement of Net Position ‐ Proprietary Funds Statement of Revenues, Expenses, and Changes in Net Position ‐ Proprietary Funds Statement of Cash Flows ‐ Proprietary Funds 47–48 Fiduciary Funds: 49Statement of Fiduciary Net Position - Fiduciary Funds Statement of Changes in Fiduciary Net Position - Fiduciary Funds 50 51–85Notes to the Basic Financial Statements Required Supplementary Information: Other Post-Employment Benefits Plan 86 87 Schedule of Changes in Total OPEB Liability and Related Ratios Schedule of Total OPEB Liability Notes to Schedules 88–89 1925 Police Officers' And 1937 Firefighters' Pension Plans: 90 91 92 Schedule of Employer Contributions Schedule of Net Pension Liability and Related Ratios Schedule of Changes in Net Pension Liability Notes to Schedules 93 Defined Benefit Pension Plans - Multiple Employer Plans: 94–95 96 Schedule of the City's Proportionate Share of the Net Pension Liability Schedule of City Contributions Notes to Schedules 97 City of Carmel, Indiana Annual Comprehensive Financial Report For the Fiscal Year Ended December 31, 2023 TABLE OF CONTENTS Pages 98–101Budgetary Comparison Schedules - General Fund Notes to the Required Supplementary Information - Budgetary Comparison Schedules 102 Supplementary Information: 103–106Nonmajor Governmental Funds - Information Combining Balance Sheet - Nonmajor Governmental Funds: 107–113 114–115 Special Revenue Funds Capital Projects Funds Debt Service Funds 116 Combining Statement of Revenues, Expenditures, and Changes in Fund 117–123 124–125 Balances ‐ Nonmajor Governmental Funds: Special Revenue Funds Capital Projects Funds Debt Service Funds 126 Budgetary Comparison Schedules ‐ Nonmajor Funds 127–131 132 133 134 135 Fiduciary Funds - Information Combining Statement of Fiduciary Net Position - Pension Funds Combining Statement of Fiduciary Net Position - Custodial Fund Combining Statement of Changes in Fiduciary Net Position - Pension Funds Combining Statement of Changes in Fiduciary Net Position - Custodial Fund 136 STATISTICAL SECTION Financial Trends: 138 139–140 141 Net Position by Component Changes in Net Position Fund Balances ‐ Governmental Funds Changes in Fund Balances ‐ Governmental Funds 142–143 Revenue Capacity: 144 145 146 Assessed Value and Estimated Actual Value of Taxable Property Property Tax Rates - Direct and Overlapping Governments Principal Property Taxpayers Property Tax Levies and Collections 147 Debt Capacity: 148 149 150 151 Legal Debt Margin Information Ratios of Outstanding Debt by Type Ratios of General Bonded Debt Outstanding Direct and Overlapping Governmental Activities Debt Pledged‐Revenue Coverage 152 Demographic and Economic Information: 153Demographic and Economic Statistics Principal Employers 154 Operating Information: 155City Government Employees by Function/ Program Operating Indicators and Capital Asset Statistics by Function/ Program 156 TABLE OF CONTENTS (CONTINUED) For the Fiscal Year Ended December 31, 2023 City of Carmel, Indiana Annual Comprehensive Financial Report INTRODUCTORY SECTION Introductory Section: Letter of Transmittal Certificate of Achievement – Government Finance Officers Association City of Carmel Organization Chart List of Principal Officials Photo courtesy City of Carmel. Photo by Jeff Bradley This page has been intentionally left blank. SUE FINKA,\I, MAYOR June 21, 2024 To the Honorable Members of the Carmel City Council, and Citizens of the City of Carmel, Indiana: We are pleased to submit the Annual Comprehensive Financial Report ("Report") for the City of Carmel ("City") year ended December 31, 2023. Responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation, including all disclosures, rests with City management. To the best of our knowledge, the enclosed data is accurate in all material respects and is presented in a manner designed to fairly set forth the financial position and the results of operations of the various funds of the City of Carmel. All disclosures necessary to enable the reader to gain an understanding of the City's financial activity have been included. This report presents management's representations concerning the finances of the City. Consequently, management assumes full responsibility for the completeness and reliability of all the information presented in this report. To provide a reasonable basis for making these representations, management has established a comprehensive internal control framework designed to protect the City's assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the City's financial statements in conformity with generally accepted accounting principles ("GAAP"). Because the costs of internal controls should not outweigh the benefits, the City's comprehensive framework of internal control has been designed to provide reasonable rather than absolute assurance that the financial statements will be free from material misstatement. Indiana law requires an annual audit of the financial records and transactions of all City functions. The City's audit for 2023 was performed by the independent certified public accounting firm of FOR VIS Mazars. Their audit was conducted in accordance with generally accepted governmental auditing standards. The independent certified public accounting firm concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified (clean) opinion that the City of Carmel's financial statements for the year ended December 31, 2023, are fairly presented in conformity with GAAP. The independent auditor's report is presented as the first component of the financial section, on page 23 of this report. ONE CIVIC SQUARE, CARMEL, IN 46032 / OFFICE: 317-571-2401 / FAX: 317-844-3498 / WWW.CARMEL.IN.GOV 8 9 10 11 12 13 14 15 16 17 The Government Finance Officers Association of the United States (GFOA) awarded the City a Certificate of Achievement for Excellence in Financial Reporting for its Annual Comprehensive Financial Report (ACFR) for the fiscal year that ended December 31, 2022. This Certificate of Achievement is the highest form of recognition in governmental accounting and financial reporting, and its attainment represents a significant accomplishment by a government and its management. A Certificate of Achievement is valid for a period of one year. We believe our current report continues to conform to the Certificate of Achievement program requirements, and we are submitting it to the GFOA to determine its eligibility for another certificate. 18 2023 ORGANIZATIONAL CHART City of Carmel, Indiana Chief Deputy Clerk of City Business Financial Specialist Part-timeDeputy Clerk of Court Business Deputy Director EXECUTIVE Brookshire GC Manager Course Management Grounds Maintenance Food/ Beverages Operations Club House/ Pro Shop Operations Administrative Assistant Human Resources Director Employee Benefits Manager Employment/ Training Coordinator Office Administrator ADMINISTRATION Information Services/ Communications Director Office Administrator Communications Supervisor Systems Supervisor GIS Coordinator Network Administrator Communications Technician I GIS Technician I Network Applications/ Analyst Database Administrator Programmer REDEVELOPMENT Director Deputy Director Finance Manager Office Administrator COMMUNITY RELATIONS & ECONOMIC DEVELOPMENT Public Relations Media Relations Special Events Coordination Economic Development Transportation Development ENGINEERING City Engineer Asst. City Engineer Construction Manager Engineering Administrator Plan Review Coordinator Construction Inspector Storm Water Administrator Right of Way Inspector Public Works Coordinator FIRE Fire Chief Deputy Chief Battalion (Chief) -Division Head (Chief) -Accreditation Manager Executive Officer Captain Lieutenant Engineer Firefighter Quartermaster Mechanic Administrative Assistant Chaplain Part-time Members LAW Corporation Counsel Asst. Corporation Counsel Executive/ Legal Secretary Administrative Assistant I & II Deferral Program Coordinator POLICE Police Chief Asst. Chief Major Lieutenant Sergeant Patrol Officer 1st and 2nd Class, Probationary Crime Scene/ Evidence Technician Mechanic I Quartermaster/ Fleet Manager UTILITIES Director Operations Manager Plant Manager Manager of Water Quality Distribution/ Collections Manager Electrical/ Controls Engineer Senior Utilities Accountant Asst. Plant Manager Foreman Hazardous Waste Coordinator Customer Service Manager STREETS Street Commissioner Operations Manager Skilled Labor/ Foreman I Skilled Labor/ Foreman II Office Administrator GIS Technician I Administrative Assistant I Skilled Labor LEGISLATIVE Council Members JUDICIAL Clerk of Court Administrator Asst. Clerk of Court AdministratorDeputy Clerk I&II Bailiff ADMINISTRATIVE Accounts Payable Administrator Payroll Analyst Director City Clerk Chief Deputy Clerkof Court Business City Controller Financial Analyst Accounts Payable AdministratorDeputy Clerk of City Business Mayor Judge 19 Mayor City Clerk City Court Judge James Brainard Sue Wolfgang Brian Poindexter jbrainard@carmel.in.gov swolfgang@carmel.in.gov bpoindexter@carmel.in.gov Chaplain Laura Campbell North District lcampbell@carmel.in.gov President Kevin “Woody” Rider At- Large krider@carmel.in.gov Parliamentarian Sue Finkam Northeast District sfinkam@carmel.in.gov Teresa Ayers Central District tayers@carmel.in.gov Tim Hannon At-Large thannon@carmel.in.gov Tony Green Southwest District agreen@carmel.in.gov Miles Nelson West District mnelson@carmel.in.gov Adam Aasen Southeast District aaasen@carmel.in.gov City of Carmel, Indiana List of Elected and Appointed Officials For the Fiscal Reporting Year Ended December 31, 2023 Elected Officials Vice-President Jeff Worrell At-Large jworrell@carmel.in.gov 20 City of Carmel, Indiana LIST OF ELECTED AND APPOINTED OFFICIALS For the Fiscal Reporting Year Ended December 31, 2023 (Continued) Appointed Officials Board of Public Works (Appointed by the Mayor) Mayor James Brainard Lori Watson Mary Ann Burke Carmel Audit Committee (Appointed Officials) Santosh Rajmane, President Megan McVicker, Secretary J. Andrew Pinegar Kelly Mitchell Jeff Worrell Carmel Redevelopment Authority (Appointed Officials) Robert Bush, President Jay Brill, Secretary/Treasurer Michael Corr Carmel Redevelopment Commission (Appointed Officials) William Hammer, President David Bowers, Vice President William Brooks, Secretary Lea Lockhart Sasena Jeff Worrell Greg Brown 21 FINANCIAL SECTION Financial Section: Independent Auditor's Report Management Discussion and Analysis Basic Financial Statements Required Supplementary Information Combining and Individual Fund Financial Statements and Schedules Photo courtesy City of Carmel. 22 Forvis Mazars, LLP is an independent member of Forvis Mazars Global Limited Independent Auditor’s Report Audit Committee City of Carmel, Indiana Carmel, Indiana Report on the Audit of the Financial Statements Opinions We have audited the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Carmel, Indiana (City) as of and for the year ended December 31, 2023, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements as listed in the table of contents. In our opinion, based on our audit and the report of the other auditors, the accompanying financial 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 the City as of December 31, 2023, and the respective changes in financial position, and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the United States of America. We did not audit the financial statements of The City of Carmel Local Public Improvement Bond Bank, a blended component unit, which represents 1%, 52%, and .2%, respectively, of the assets, liabilities and net position of the total governmental activities of the City as of December 31, 2023. Those statements were audited by other auditors whose report has been furnished to us, and our opinion, insofar as it relates to the amounts included for the governmental activities for the City of Carmel Local Public Improvement Bond Bank, is based solely on the report of the other auditors. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States (Government Auditing Standards). Our responsibilities under those standards are further described in the “Auditor’s Responsibilities for the Audit of the Financial Statements” section of our report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. 23 Audit Committee City of Carmel, Indiana In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the City’s ability to continue as a going concern for 12 months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. Auditor’s Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinions. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS and Government Auditing Standards, we: Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material misstatement of the financial statements, whether due to fraudor error, and design and perform audit procedures responsive to those risks. Such procedures includeexamining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Obtain an understanding of internal control relevant to the audit in order to design audit proceduresthat are appropriate in the circumstances, but not for the purpose of expressing an opinion on theeffectiveness of the City’s internal control. Accordingly, no such opinion is expressed. Evaluate the appropriateness of accounting policies used and the reasonableness of significantaccounting estimates made by management, as well as evaluate the overall presentation of thefinancial statements. Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, thatraise substantial doubt about the City’s ability to continue as a going concern for a reasonable periodof time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, budgetary comparison, pension, and other postemployment benefit information be presented to supplement the basic financial statements. Such information is the responsibility of management and, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with GAAS, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. 24 Audit Committee City of Carmel, Indiana Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City’s basic financial statements. The combining and individual fund statements and schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used to prepare the basic financial statements. The information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with GAAS. In our opinion, the combining and individual fund statements and schedules is fairly stated, in all material respects, in relation to the basic financial statements as a whole. Other Information Management is responsible for the other information included in the annual comprehensive financial report. The other information comprises the introductory and statistical sections but does not include the basic financial statements and our auditor’s report thereon. Our opinions on the basic financial statements do not cover the other information, and we do not express an opinion or any form of assurance thereon. In connection with our audit of the basic financial statements, our responsibility is to read the other information and consider whether a material inconsistency exists between the other information and the basic financial statements, or the other information otherwise appears to be materially misstated. If, based on the work performed, we conclude that an uncorrected material misstatement of the other information exists, we are required to describe it in our report. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated June 21, 2024, on our consideration of the City’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 solely to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City’s internal control over financial reporting and compliance. Indianapolis, Indiana June 21, 2024 25 Overview of the Financial Statements • The assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows at the close of the fiscal year by $559,748,041 (net position). • The City's total net position increased $47,251,243 from the prior fiscal year. The main reason for this improvement is a decrease in the City's long-term liabilities. Other reasons for this overall increase are discussed in the following sections for governmental activities and business-type activities. • At the close of the current fiscal year, the City's governmental funds reported combined fund balances of $233,979,142, a decrease of $23,537,695 in comparison with the prior year. Approximately $19,741,549 of this amount (8.4%) is available for spending at the government's discretion (unassigned fund balance). • At the end of the current fiscal year, the unrestricted fund balance (the total of the committed, assigned, and unassigned components of fund balance) for the General Fund was $32,331,543, or approximately 28.2% of total General Fund expenditures. • The City's total outstanding long-term liabilities decreased by $16,422,151 during the current year. Government-wide Financial Statements. The government-wide financial statements are designed to provide readers with a broad overview of the City's finances, in a manner similar to a private-sector business. The statement of net position presents financial information on all of the City's assets, liabilities, and deferred inflows/outflows of resources, with the difference reported as net position. Over time, increases or decreases in net position may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. The discussion and analysis provided here are intended to serve as an introduction to the City's basic financial statements. The City's basic financial statements consist of three components: 1) government-wide financial statements, 2) fund financial statements, and 3) the notes to financial statements. This report also includes supplementary information intended to furnish additional detail to support the basic financial statements themselves. The statement of activities presents information showing how the City's net position changed during the most recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused personal leave). City of Carmel, Indiana MANAGEMENT DISCUSSION AND ANALYSIS For the Fiscal Year Ended December 31, 2023 As management of the City of Carmel, we offer readers of the City's financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended December 31, 2023. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, which can be found on page 8 of this report, and the transactions, events, and conditions reflected in the City’s financial statements, beginning on page 37 of this report. The City's adoption of GASB Statement No. 96, Subscription-Based Technology Arrangements, had no impact on the opening fund balance or net position as of January 1, 2023. The 2022 balances within the Management's Discussion and Analysis were not restated for the adoption of GASB Statement No. 96, Subscription-Based Technology Arrangements. Financial Highlights 26 Both of the government-wide financial statements distinguish functions of the City that are principally supported by taxes and intergovernmental revenues (governmental activities) from other functions that are intended to recover all or a significant portion of their costs through user fees and charges (business-type activities). The government-type activities include general government, public safety, streets and other infrastructure, economic development, and culture and recreation. The business-type activities of the City include water and sewer. The government-wide financial statements include not only the City itself (known as the primary government), but also the following legally separate entities: the Redevelopment Authority, the Local Public Improvement Bond Bank, and five 501(c)(4) corporations for which the City is financially accountable. These components, although legally separate, function for fiscal purposes as departments of the City, and therefore have been included as integral parts of the primary government. The government-wide financial statements begin on page 37 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. The City, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the City can be divided into three categories: governmental funds, proprietary funds, and fiduciary funds. Governmental Funds. Governmental funds are used to account for essentially the same functions reported 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 assessing 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. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains seventy-four individual governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances for the General Fund, Redevelopment Commission Fund, Redevelopment Authority Fund, 2021 Project Fund, and 2022 Project Fund, which are considered to be major funds. Data from the other governmental funds are combined into a single aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements in the combining and individual fund statements and schedules section of this report. The basic governmental fund financial statements begin on page 39 of this report. Proprietary Funds. The City maintains one type of proprietary fund. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The enterprise fund financial statements provide separate information for the water and sewer utilities, which are considered to be major funds of the City. The basic proprietary fund financial statements begin on page 44 of this report. Fiduciary Funds. Fiduciary funds are used to account for resources held for the benefit of parties outside of the government. Fiduciary funds are not reported in the government-wide financial statements because the resources of those funds are not available to support the City's own programs. The accounting used for fiduciary funds is much like that used for the proprietary funds. The City maintains two different types of fiduciary funds. Pension trust funds are used to report resources held in trust for retirees and beneficiaries covered by the 1925 Police Officers' Pension Plan and the 1937 Firefighters' Pension Plan. Custodial funds report resources held by the City in a custodial capacity for individuals, private organizations, and other governments. The fiduciary fund financial statements begin on page 49 of this report. 27 City of Carmel's Net Position Current and other assets Capital and leased assets Total assets Total deferred outflows of resources Other liabilities Long-term liabilities outstanding Total liabilities Total deferred inflows of resources Net position: Restricted Unrestricted Total net position 38,700,717 387,588,024$ (20,531,837) (39,538,074) 47,220,417 411,624,202 2,502,520 124,908,774$ (34,722,917) (33,751,811) 18,335,513 572,597,535 158,358,902 160,973,333 393,652,201 22,302,605 552,011,103 512,496,798$ (60,069,911) 28,960,423 (68,474,728) 15,832,993 3,397,581 18,905,024 Governmental Activities 279,103,422$ 1,026,193,581 1,305,297,003 1,008,609,841 1,604,273,521 289,826,039 296,719,226 13,706,757$ 2022 305,837,641$ 292,130,884$ 2023 20232023 298,491,912$ Business-type Activities 2022 2022 1,117,688,159 Total 19,388,490$ 893,868,209 Notes to the Financial Statements. The notes provide additional information that is necessary to acquire a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements begin on page 51 of this report. Other Information. In addition to the basic financial statements and accompanying notes, this report also presents required supplementary information. This information includes budgetary comparison schedules as well as more detailed information concerning the City's progress funding its obligation to provide pension and other post-employment benefits (OPEB) to its employees. Required supplementary information can be found beginning on page 86 of this report. The City adopts an annual appropriated budget for its General Fund, as well as several nonmajor funds. Budgetary comparison statements have been provided for these funds to demonstrate compliance with the budget. The combining statements referred to earlier in connection with nonmajor governmental funds are presented immediately following the required supplementary information on budgetary comparison statements. Combining and individual fund statements and schedules can be found starting on page 107 of this report. Government-wide Overall Financial Analysis As noted earlier, net position, over time, may serve as a useful indicator of a government's financial position. In the case of the City, assets and deferred outflows of resources exceeded liabilities and deferred inflows by $559,748,041 at the close of the fiscal year. 1,300,740,725 1,322,912,807 3,065,294 58,762,352 1,621,404,719 2,094,664 186,715,531 1,298,435,880 47,881,189 23,971,721 24,789,230 183,426,078 55,697,058 918,399,279 1,093,716,438 303,532,796 45,786,525 316,107,716 1,272,789 940,034,204 915,367,986 21,499,777 2,003,946 175,317,159 177,321,105 21,967,775 3,289,453 1,077,294,287 1,102,083,517 429,793,082$ 559,748,041$ Net investment in capital assets 27,687,634 8,519,700 129,954,959$ 28 Other post-employment benefits – retiree healthcare obligation Non-uniform public employee retirement plan obligation '37 firefighters pension plan obligation '25 police pension plan obligation '77 firefighters pension plan obligation '77 police pension plan obligation The City reported a material unfavorable unrestricted net position of $20,531,837 in governmental activities. This deficit is due in part to unfunded pension and retiree healthcare liabilities of $84.8 million, as follows: By far, the largest portion of the City's net position reflects its investment in capital assets (e.g., land, buildings, machinery and equipment, vehicles, and infrastructure), less any related outstanding debt that was used to acquire those assets. The City uses these capital assets to provide a variety of services to its citizens. Accordingly, these assets are not available for future spending. Although the City's investment in capital assets is reported net of related debt, it should be noted that the resources used to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. 9,445,418 The City's Net Pension Liability for the two 1977 Police Officers' and Firefighters' Retirement Fund, administered by the State increased significantly from the prior year. The liability increased due to a large decrease in the difference between projected and actual experience. The estimated rate of return on the actuarial value of assets was 5.2%, which was lower than the 6.25% investment return assumption applicable for the year ended June 30, 2023. Governmental Activities. During the current fiscal year, net position for governmental activities increased $42,205,058 from the prior fiscal year for an ending balance of $429,793,082. The increase of 10.89% resulted in part from the material increase in investment earnings and an increase in Parks Capital revenue. 12,659,416 29,067,566$ 14,234,466 84,800,254$ An additional portion of the City's net position represents resources that are subject to external restriction on how they may be used. The remaining balance of spendable net position is a deficit of $60,069,911. 7,868,952 11,524,436 Notwithstanding the City’s ultimate liability for the ’25 and ’37 plans, the State of Indiana has established a practice of appropriating funds to cover these benefits. The State of Indiana is not obligated to continue making these appropriations, but it has done so every year since 2009. Consequently, the City has incurred no cost from its own resources to service these plans. Also, the retiree healthcare plan is not a contractual obligation that extends beyond the current budget year. The liability is shown in the statements because it has been the City’s consistent practice to provide this benefit. However, the City believes it is not legally obligated to do so. The plan was closed to new entrants as of October 3, 2016. Another contributing factor to the deficit is the City’s growth and related acquisition of capital assets for infrastructure and other amenities. This growth and improvement have been financed with debt, resulting in significant transaction costs and amortization of deferred outflows. The City views these acquisitions as positive indicators. They reflect the City’s effort to attract and retain as residents the most productive people in Central Indiana, and also to attract corporate headquarters and regional offices from all over the world. The success of this effort has resulted in a strong tax base, yielding one of the lowest local tax rates in Indiana, despite the cost of debt. ($200) $0 $200 $400 $600 $800 Millions City of Carmel Net Position December 31, 2023 Unrestricted Restricted Net investment in capital assets 29 The following chart displays Program Revenues and Program Expenses by function for the City's Governmental Activities. The following chart displays the revenue composition for the City's Governmental Activities funds. $0 $20,000,000 $40,000,000 $60,000,000 $80,000,000 $100,000,000 General government Public safety Streets, infrastructure Economic development Culture and recreation Interest on long-term debt City of Carmel Governmental Activities Program Revneues vs. Program Expenses For the Fiscal Year Ended December 31, 2023 Program Expenses Program Revenues Property taxes 27.81% Income tax 25.46% Tax incremental revenue 16.71% Charges for services 8.78% Operating grants and contributions 0.53% Capital grants and contributions 0.82% Unrestricted investment earnings 2.73% Other 17.17% City of Carmel Governmental Activities Revenue For the Fiscal Year Ended December 31, 2023 30 City of Carmel's Changes in Net Position REVENUES: Program revenues: Charges for services Operating grants and contributions Capital grants and contributions General revenues: Property taxes Income tax Other Total revenues EXPENSES: General government Public safety Streets, infrastructure Water distribution Sewer collection Economic development Culture and recreation Interest on long-term debt Other Total expenses Transfers NET POSITION - beginning NET POSITION - ending 24,478,677 22,193,459 11,303,035 - 22,938,572 - 355,298,054 124,908,774 - 124,908,774$ 26,630,999 32,106,869 23,574,946 35,745,833 1,320,506 (1,320,506) Change in net position before transfers - 38,829,123 - 559,748,041$ 47,251,243 271,350,677 32,106,869 - - 6,487,913 235,604,844 5,820,181 1,441,728 42,205,058 40,763,330 47,251,243 129,954,959$ Fluctuations in grant revenues mainly reflect the unique, one-time grant programs related to the national health emergency. Changes in unrestricted investment earnings is attributable to the yield curve. 202,255,488 32,289,970 30,969,464 5,505,060 - 7,859,659 33,496,494 - 45,582,089 - 57,405,357 46,815,294 276,368,174 9,192,941 - 1,457,399 58,292,284$ 6,715,665 2,997,905 - 8,116,109 2,234,815 2,997,905 - 2023 1,457,399 23,936,144$ Business-type Activities 52,573,823$ 2022 20,049,442$ 2023 32,524,381$ 34,356,140$ 2022 Total - - - 15,868,909 2023 473,667,675 38,829,123 2022 Governmental Activities 5,046,185 - 387,588,024$ Increase (decrease) in net position 429,793,082$ 387,588,024 512,496,798 6,539,153 54,550,714 9,192,941 11,303,035 118,369,621 12,807,261 (1,441,728) - 92,218,814 2,227,666 69,439,020 54,550,714 - 41,356,153 38,976,077 - 785,255 1,337,884 75,837,517 7,432,432 65,741,734 75,837,517 Unrestricted investment earnings Tax incremental revenue 69,439,020 - 247,390 - 44,052,895 3,640,613 - - 3,640,613 Food and beverage tax 3,283,486 8,217,687 - 26,630,999 15,868,909 - - 92,218,814 376,686 42,233,746 - 233,224,952 60,041,409 45,582,089 318,601,920 10,350,924 8,943,331 65,741,734 1,585,274 274,581,105 3,283,486 44,052,895 22,193,459 - 24,478,677 85,016,170 85,016,170 12,807,261 - 23,574,946 468,273 57,405,357 - 512,496,798$ 22,938,572 39,444,350 47,191,980 60,041,409 5,820,181 235,751,982 - 5,505,060 31 Business-type Activities. For the City's business-type activities, overall net position increased to an ending balance of The following chart displays program revenues and expenses by function for the City's business-type activities. The following chart displays the revenue composition for the City's business-type activities funds. $129,954,959. The total increase in net position for business-type activities (water and sewer) was $5,046,185 or 3.9% from the prior fiscal year, indicating a relatively stable and healthy net position. The City has improved cash flows by replacing aging meters, expanding the system as the community grows and new customers tap in, and a program of annual rate increases. On December 18, 2023 the City Council approved a 35% increase in the water rate and a 20% increase in the sewer rate. The City plans to keep comparatively low rates while implementing a gradual increase to be more consistent with the standard rates. As a result, the City is able to maintain positive cash flow and anticipate future increases in debt service requirements. $35,745,833 $42,233,746 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 $40,000,000 $45,000,000 City of Carmel Business-Type Expenses vs. Revenues For the Fiscal Year Ended December 31, 2023 Expenses Revenues Charges for services 82.89% Capital grants and contributions 16.20% Other 0.91%City of Carmel Business-Type Activities Income For the Fiscal Year Ended December 31, 2023 32 Financial Analysis of Governmental Funds Governmental Funds. The focus of the City's governmental funds is to provide information on near-term inflows, outflows, and Unrestricted net position of the Water Utility at the end of the year was a deficit of $33,986,819; for the Sewer Utility, unrestricted net position was a deficit of $5,551,255. Water Utility net position, before capital contributions and transfers, increased $125,482. Improvement is expected as the utilities continue to expand and achieve both economies of scale and greater utilization of recently installed mains, treatment facilities, and replacement of aging water meters. The 2021 Project Fund, a major fund, accounts for the expenditure of proceeds of certain 2021 bond issuances, the purpose of which was to finance the Police headquarters expansion and related parking garage projects. The fund had a $16,433,605 decrease in fund balance during the year, due to construction costs incurred which put the overall fund balance at $3,590,620. In the year ended December 31, 2023, revenue, net of reasonable expenses for operation, repair, and maintenance was 76.09% of debt service requirements for the Water Utility and 104.46% of debt service for the Sewer Utility. The debt service requirement calculation above for the Water Utility does not include debt service on a Bond Anticipation Note (BAN) in the amount of $17,745,000 due May 1, 2024. Management expects this note will be refinanced with a new BAN or a longer-term bond series. The Redevelopment Commission Fund, a major fund, accounts for tax increment revenue, which is restricted for certain economic development projects. The fund had a $8,851,158 decrease in fund balance during the year, representing reasonable variation in the amount of debt service due each year, which put the overall fund balance at $23,175,921. At December 31, 2023, the City's governmental funds reported combined fund balances of $233,979,142, a decrease of $23,537,695 in comparison with the prior year. Much of the decrease is due to an increase in financed purchase obligations incurred during the year. Approximately 8.4% of the combined fund balances, $19,741,549, constitutes unassigned fund balance, which is available for spending at the government's discretion. The remainder of the fund balance is either restricted, committed, or assigned, indicating that, legally, it is required to be maintained intact or used for particular purposes ($194,631,916), it is committed for particular purposes ($12,942,675), or it is assigned for particular purposes ($6,663,002). balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular, unassigned fund balance may serve as a useful measure of a government's net resources available for discretionary use, as they represent the portion of fund balance that has not yet been limited to use for a particular purpose by either an external party, the City itself, or a group of individuals that has been delegated authority to assign resources for use for particular purposes by the City's Council. The General Fund is the primary operating fund of the City. At the end of the current fiscal year, the unassigned fund balance of the General Fund was $19,741,549 while the total fund balance was $32,331,543. As a measure of the General Fund's liquidity, it may be useful to compare both unassigned fund balance and total fund balance to total General Fund expenditures. The unassigned fund balance represents 17.2% of the total General Fund expenditures while total fund balance represents 28.2% of that amount. The fund balance of the City's General Fund decreased by $1,038,937 during the year, indicating a budget variance within approximately 2% of revenues and expenditures, which is considered reasonable. The 2022 Project Fund, a major fund, accounts for the expenditure of proceeds of a 2022 bond, the purpose of which was to finance the cost of the improvement of the local and arterial road and street system. The fund had a $1,235,000 decrease in fund balance during the year, due to construction costs incurred, which put the overall fund balance at $61,507,643. The Redevelopment Authority Fund, a major fund, had a $3,865,656 decrease in fund balance during the current fiscal year, representing reasonable variation in the amount of debt service due each year. The ending balance was $58,427,941, all of which was restricted for debt service and capital projects. Proprietary Funds. The City's proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. 33 General Fund Budgetary Highlights The most significant differences between estimated revenues and actual revenues were as follows: Revenue source Property tax Income tax Licenses and permits Intergovernmental Charges for services Fines and forfeits Miscellaneous Total The differences by department between estimated expenditures and actual expenditures were as follows: Department Controller Clerk Mayor's Office City Council Board of Public Works Administration Brookshire Golf Course Building Operations City Court Law Department Community Services Personnel/ Human Resources City Property Maintenance Public Affairs/ Community Relations Fire Department Police Department Communication Center Parks Department Redevelopment Department Other Total 57,845,970 280,768 Difference 474,355 (511,936) 35,002,748 30,347,732 5,296,421 5,417,095 923,641 (1,007,446) The under-budget conditions mostly reflect the City’s policy of fully funding staffing, no provision for vacancies, and maximum fringe benefits. Actual expenditures typically are less. 1,815,374 2,122,960 - 5,414,180 (1,021,217) 2,634,896 (935,956) (14,668) (4,655,016) (3,411,802) 45,607,205$ Final - Estimated Revenues Original budget compared to final budget. During the year, there was no need for any material amendments to increase the original estimated revenues. 48,573,932$ 16,636,658 3,041,508 10,967,370 (3,700,000) Investment earnings, subfund transactions, and other 623,650 6,453,310 5,088,033 1,029,640$ (359,415) 4,642,449 46,878,600 12,327,053 1,233,387 (208,326) (1,317,997) 1,496,996 5,635,133 (11,928,342)$ 125,701,005$ 938,309 137,629,347$ (992,684) 1,729,019 (551,075) 682,312 758,805 (125,341) 6,303,867 (867,323) 329,585 The revenue excesses and shortfalls in the above revenue sources net to less than 3.0% and were not considered material in the aggregate. 15,111,294 844,160 Difference Final 6,162,941 3,700,000 (85,355) 3,829,563 16,645,994 2,015,115 (2,966,727)$ Actual Revenues 1,314,316$ 291,674 - 121,497,904$ Final Actual Expenditures 5,088,033 Final Estimated Expenditures (286,096) 3,771,066 (58,497) 5,320,668 1,149,017 (9,336) 500,000 Final General Fund Budget Compared to Actual Results 610,353 33,844,033 1,815,374 6,353,051 33,718,692 4,392,963 789,602 4,844,944 124,811,796$ (510,387) (284,676)$ 4,810,281 (149,295) (2,784,241) 3,313,892$ 2,364,319 34 Capital Assets and Debt Administration Capital assets. The City's investment in capital assets for its governmental and business-type activities as of December 31, 2023, amounts to Capital Assets Land Construction in progress Buildings Machinery, equipment, and vehicles Infrastructure Right-of-Use (leased) assets Water distribution system Sewer system Total Additional information on the City's capital assets can be found in Note II.C. on page 59 of this report. Outstanding Long-Term Liabilities Unamortized premium OPEB Net pension liability Leases/SBITA Financed purchase obligations Total 296,719,226$ 1,026,193,581$ - Contract purchases 1,184,701 1,430,630 - - 1,184,701 1,430,630 Bonds 15,944,052 29,067,566 The City's total debt outstanding decreased by $16,422,151 (1.50%) during the current fiscal year. The City's utilities incurred $13,177,933 of bonded debt. 1,077,294,286$ 3,362,392 3,869,227 918,399,278$ 19,121,909 175,317,159$ 893,868,208$ 55,732,688 4,195,272 22,074,413 953,292 31,256,392 332,850 953,292 332,850 - - 746,435,961$ 2023 67,465,073 2023 93,663,755 203,436,545$ 105,949,702 289,826,039$ 67,465,073 1,093,716,437$ 2,417,344 48,439,599 44,570,372 183,426,078$ 9,794,889 3,177,857 12,212,233 987,597 332,850 - 987,597 332,850 - 359,118 2022 Governmental Activities Business-type Activities 49,805,036 2023 474,350,131 Governmental Activities - 31,256,392 - Business-type Activities $1,322,912,807 (net of accumulated depreciation). This investment in capital assets includes land, buildings, machinery, equipment, vehicles, park facilities, roads, highways, bridges, the water treatment plant, and the wastewater treatment plant. 222,533,466 2023 227,924,625 Total 2022202320222022 The total increase in capital assets for the current fiscal year was 1.89%. In 2023, the City continued its program of improving local roads and streets, using proceeds of bonds issued in 2021 and 2022. 5,410,095$ 108,368,012 1,322,912,807$ 208,933,202$ - 1,298,435,880$ 86,338,043 Long-term Debt. The City did not issue any new long-term obligations during 2023. 790,391,088$ 917,975,294$ 44,515,643 165,309,078$ 205,056,414$ - - 222,533,466 86,338,043 489,393,650 210,466,508$ 169,925,321 26,978,151 169,925,321 - 474,350,131 Total - 2023 5,496,657$ 58,924,152 1,008,609,841$ 190,180,269 47,025,550 227,924,625 26,978,151 489,393,650 190,180,269 14,704,257 - - At the end of the current fiscal year, the City had total bonded debt outstanding of $917,975,294. Of this amount, $578,428,271 is debt backed by an unlimited ad valorem property tax levy, $138,560,000 is debt backed by local income tax, $24,492,690 is debt backed by tax increment, $4,955,000 is debt backed by stormwater revenues, and $171,539,333 is debt backed by utility revenues. The remainder of the City's long-term obligations comprises post-employment benefit debt, compensated absences, contract purchases, and financed purchase obligations. 2022 25,436,805 2022 59,927,960 33,248,998 4,181,432 171,539,333$ 44,847,827 955,700,166$ 50,164,154 332,184 35 Additional information on the City's long-term debt can be found in Note II.D. on pages 60–67 of this report. Economic Factors and Next Year's Budgets and Rates Request for Information This financial report is designed to provide a general overview of the City's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Department, One Civic Square, Carmel, Indiana 46032. • The City enjoys favorable relationships with employee unions and no history of significant contract disputes. The following economic factors currently affect the City and were considered in developing the 2023 fiscal year budget. • The unemployment rate for the City was 1.9% at the close of the fiscal year, which is significantly below the national rate of 3.9% and also below the rate of nearby communities. The City maintains a "AA" rating from Standard & Poor's on all bonds secured with an ad valorem property tax pledge. The City has one outstanding 2005 lease bond issue with a property tax pledge that has a split rating: S&P “AA+”/Moody’s “Aa3”. • Recent trends have been favorable with regard to increases in taxable assessed value and increases in taxable income. The City's outstanding debt is payable primarily from pledges of property tax levies. Several of the City's outstanding obligations are payable from non-property tax resources, even though they are subject ultimately to a property tax levy pledge. The latter of these obligations are not subject to the 2% statutory debt limit, nor are obligations associated with lease-back arrangements. 36 Governmental Activities Business-Type Activities Total Cash and investments 233,061,065$ 3,507,334$ 236,568,399$ Receivables (net of allowances for uncollectibles): Intergovernmental 919,037 - 919,037 Leases 8,322,165 - 8,322,165 Taxes 35,180,397 - 35,180,397 Other 695,882 2,364,872 3,060,754 Internal balances 364,371 (364,371) - Inventories - 893,086 893,086 Prepaid expenses 560,505 25,000 585,505 Cash, restricted for debt service - 12,962,569 12,962,569 Capital and leased assets: 297,100,298 20,200,914 317,301,212 Other capital assets, net of depreciation 728,139,991 276,518,312 1,004,658,303 Right-of-use (lease/subscription) asset 953,292 - 953,292 Total assets 1,305,297,003 316,107,716 1,621,404,719 DEFERRED OUTFLOWS OF RESOURCES: Bond refunding 14,110,212 - 14,110,212 Pensions 33,647,149 1,923,151 35,570,300 Other post-employment benefits 7,939,697 1,142,143 9,081,840 Total deferred outflows of resources 55,697,058 3,065,294 58,762,352 Accounts payable 3,718,224 1,804,805 5,523,029 Accrued interest payable 12,379,788 640,362 13,020,150 Claims payable 1,079,250 - 1,079,250 Other current payables - 200,260 200,260 Accrued payroll and withholdings payable 2,335,812 162,081 2,497,893 Compensated absences 1,986,703 438,715 2,425,418 Customer deposits - 43,230 43,230 Noncurrent liabilities: Due within one year: Lease Liability 89,996 - 89,996 Subscription Liability 366,145 - 366,145 Bonds and contract purchases payable 39,145,145 26,230,894 65,376,039 Financed purchase obligation payable 3,370,504 543,314 3,913,818 OPEB liability 830,656 119,492 950,148 Due in more than one year: Lease Liability 158,766 - 158,766 Subscription Liability 372,690 - 372,690 Bonds and contract purchases payable 752,991,160 145,640,623 898,631,783 Financed purchase obligation payable 12,573,549 2,634,543 15,208,092 Net pension liability 55,732,688 4,195,272 59,927,960 OPEB liability 28,236,910 4,061,940 32,298,850 Total liabilities 915,367,986 186,715,531 1,102,083,517 DEFERRED INFLOWS OF RESOURCES: Leases 8,039,082 - 8,039,082 2008 bond call rights waiver - 1,474,845 1,474,845 Pensions 683,962 4,894 688,856 Other post-employment benefits 7,109,949 1,022,781 8,132,730 Total deferred inflows of resources 15,832,993 2,502,520 18,335,513 Net investment in capital assets 411,624,202 160,973,333 572,597,535 Restricted: General government 635,227 - 635,227 Public safety 3,647,825 - 3,647,825 Streets and other infrastructure 9,147,954 8,519,700 17,667,654 Drainage 7,061,140 - 7,061,140 Economic development 809,807 - 809,807 Culture and recreation 17,398,764 - 17,398,764 Unrestricted (20,531,837) (39,538,074) (60,069,911) Total net position 429,793,082$ 129,954,959$ 559,748,041$ The notes to the financial statements are an integral part of this statement. LIABILITIES: NET POSITION: City of Carmel, Indiana STATEMENT OF NET POSITION December 31, 2023 ASSETS: Capital assets not being depreciated: land, improvements, and construction in progress 37 Expenses Governmental Activities Business-Type Activities Total FUNCTIONS/PROGRAMS: Governmental activities: General government 57,405,357$ 105,198$ -$-$(57,300,159)$ -$(57,300,159)$ Public safety 92,218,814 2,585,469 1,457,399 (88,175,946) - (88,175,946) Streets and other infrastructure 24,478,677 4,559,428 - 2,227,666 (17,691,583) - (17,691,583) Economic development 32,106,869 974,991 -- (31,131,878) - (31,131,878) Culture and recreation 23,574,946 15,711,058 -- (7,863,888) - (7,863,888) Unallocated interest expense 5,820,181 - - - (5,820,181) - (5,820,181) Total governmental activities 235,604,844 23,936,144 1,457,399 2,227,666 (207,983,635) - (207,983,635) Business-type activities: Water 22,938,572 22,564,116 - 4,987,576 - 4,613,120 4,613,120 Sewer 12,807,261 11,792,024 - 1,728,089 - 712,852 712,852 Total business-type activities 35,745,833 34,356,140 - 6,715,665 - 5,325,972 5,325,972 TOTAL PRIMARY GOVERNMENT 271,350,677$ 58,292,284$ 1,457,399$ 8,943,331$ (207,983,635) 5,325,972 (202,657,663) GENERAL REVENUES AND TRANSFERS: General Revenues: Property tax 75,837,517 - 75,837,517 Income tax 69,439,020 - 69,439,020 Food and beverage tax 3,640,613 - 3,640,613 Tax incremental revenue 45,582,089 - 45,582,089 Unrestricted investment earnings 7,432,432 785,255 8,217,687 American Rescue Plan - lost revenue replacement 2,001,615 - 2,001,615 Other 44,813,679 376,686 45,190,365 Transfers 1,441,728 (1,441,728) - Total general revenues and transfers 250,188,693 (279,787) 249,908,906 CHANGE IN NET POSITION 42,205,058 5,046,185 47,251,243 NET POSITION: beginning 387,588,024 124,908,774 512,496,798 NET POSITION: ending 429,793,082$ 129,954,959$ 559,748,041$ City of Carmel, Indiana STATEMENT OF ACTIVITIES For the Fiscal Year Ended December 31, 2023 The notes to the financial statements are an integral part of this statement. Net (Expense) Revenue and Changes in Net Position Charges for Services Operating Grants and Contributions Capital Grants and Contributions Program Revenues 38 City of Carmel, Indiana BALANCE SHEET GOVERNMENTAL FUNDS December 31, 2023 General Fund Redevelopment Commission Fund Redevelopment Authority Fund 2021 Project Fund 2022 Project Fund Total Nonmajor Funds Total ASSETS: Cash and investments 28,197,757$ 23,191,194$ 59,021,095$ 3,592,764$ 62,146,714$ 56,911,541$ 233,061,065$ Receivables: Intergovernmental - - - - 919,037 919,037 Lease and other 695,882 - - - - 8,322,165 9,018,047 Taxes: Property 1,639,862 - - - - 1,051,782 2,691,644 Income 32,488,753 - - - - - 32,488,753 Due from other governmental funds - - - - - 74,586 74,586 Due from related utility - - - - - 364,371 364,371 TOTAL ASSETS 63,022,254 23,191,194 59,021,095 3,592,764 62,146,714 67,643,482 278,617,503 LIABILITIES: Accounts payable 1,511,840 15,273 593,154 2,144 639,071 956,742 3,718,224 Claims payable - - - - - 1,079,250 1,079,250 Due to other funds - - - - - 74,586 74,586 1,976,910 - - - - 358,902 2,335,812 Total liabilities 3,488,750 15,273 593,154 2,144 639,071 2,469,480 7,207,872 DEFERRED INFLOWS OF RESOURCES: Leases - - - - - 8,039,082 8,039,082 Unavailable revenue 27,201,961 - - - - 2,189,446 29,391,407 Total deferred inflow of resources 27,201,961 - - - - 10,228,528 37,430,489 FUND BALANCES: Restricted: General government - - - - - 635,227 635,227 Public safety - - - - - 3,647,825 3,647,825 Highways and streets - - 40,223,591 3,590,620 - 18,219,980 62,034,191 Drainage - - - - 7,061,140 7,061,140 Economic development - 23,175,921 10,550,659 - 61,507,643 809,807 96,044,030 Culture and recreation - - 7,653,691 - - 17,555,812 25,209,503 Debt service - -- - - - - Committed: General government 5,926,992 - - - - 413,719 6,340,711 Public safety - - - - - 4,854,941 4,854,941 Highways and streets - - - - - 506,648 506,648 Drainage - - - - - -- Economic development - - - - - 61,503 61,503 Culture and recreation 1,178,872 1,178,872 Assigned: General government 3,742,073 - - - - - 3,742,073 Public safety 2,687,973 - - - - - 2,687,973 Economic development 2,271 - - - - - 2,271 Culture and recreation 230,685 - - - - - 230,685 Unassigned 19,741,549 - - - - - 19,741,549 Total fund balances 32,331,543 23,175,921 58,427,941 3,590,620 61,507,643 54,945,474 233,979,142 TOTAL LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCES 63,022,254$ 23,191,194$ 59,021,095$ 3,592,764$ 62,146,714$ 67,643,482$ 278,617,503$ The notes to the financial statements are an integral part of this statement. Accrued payroll withholdings payable 39 Fund Balance - governmental funds 233,979,142$ Amounts reported for governmental activities in the Statement of Net Position are different because: Prepaid expenditures represent the unamortized cost of bond insurance and similar credit enhancements and are not financial resources and, therefore, are not reported in the funds.560,505 Capital assets used in governmental activities are not financial resources and, therefore, are not reported in the funds: Right-of-use (leased & subscription) asset 953,292 Land and construction in progress 297,100,298 Machinery, equipment, and vehicles 1,016,589,259 Accumulated depreciation (288,449,268) 1,026,193,581 Certain receivables are not expected to be collected within the time needed to liquidate expenditures of the current year and therefore are not considered available in the funds: Property tax 2,691,644 Income tax 24,866,217 Opioid settlement 919,037 Ambulance fees 218,627 Supplemental ambulance fees 695,882 29,391,407 Certain pension and other post-employment benefits that are not due and payable in the current period are not recognized in the funds: Pension liability (55,732,688) Other post-employment benefit liability (29,067,566) (84,800,254) Certain liabilities are not due and payable in the current period and therefore are not recognized in the funds: Lease liability (248,762) Subscription liability (738,835) (987,597) Deferred inflows and outflows of resources are not financial resources and, therefore, are not reported in the funds: Unamortized cost of bond refunding and defeasement 14,110,212 Pension-related inflows (683,962) OPEB-related inflows (7,109,949) Pension-related outflows 33,647,149 OPEB-related outflows 7,939,697 47,903,147 Other noncurrent liabilities are not due and payable in the current period and, therefore, are not reported in the funds: Compensated absences (1,986,703) Accrued interest payable (12,379,788) Outstanding value of financed purchase obligations (15,944,053) Unamortized premiums on bonds outstanding (44,515,643) Principal on bonds outstanding (747,620,662) (822,446,849) Net position of governmental activities 429,793,082$ The notes to the financial statements are an integral part of this statement. City of Carmel, Indiana RECONCILIATION OF THE BALANCE SHEET OF GOVERNMENTAL FUNDS TO THE GOVERNMENT-WIDE STATEMENT OF NET POSITION December 31, 2023 40 City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 General Fund Redevelopment Commission Fund Redevelopment Authority Fund 2021 Project Fund 2022 Project Fund Total Nonmajor Funds Total REVENUES: Property tax 45,607,205$ -$ -$ -$ -$ 29,852,559$ 75,459,764$ Income tax 58,385,475 - - - - - 58,385,475 Food and beverage tax 3,640,613 - - - - - 3,640,613 Other local tax 3,736,145 39,253,155 - - - 2,592,789 45,582,089 Charges for services 1,573,353 176,175 - - - 22,186,616 23,936,144 Investment income 565,230 547,000 1,427,810 409,533 2,349,543 2,133,316 7,432,432 Licenses and permits 2,804,482 - - - - 60,869 2,865,351 Fines and forfeits 291,674 - - - - - 291,674 Intergovernmental: Grants 1,312,818 - - - - 4,290,212 5,603,030 State shared revenue 951,241 - - - - 6,989,767 7,941,008 Other intergovernmental 100,156 - - - - 48,886 149,042 Contributions - - - - - 520,326 520,326 Other 4,405,856 5,621,952 4,962,170 - 821,258 15,037,402 30,848,638 Total revenues 123,374,248 45,598,282 6,389,980 409,533 3,170,801 83,712,742 262,655,586 EXPENDITURES: Current: General government 13,088,543 - - - - 1,567,755 14,656,298 Public safety 62,912,963 - - - - 2,573,129 65,486,092 Streets and other infrastructure 2,121,348 - - - 111,443 24,688,116 26,920,907 Economic development 5,300,588 (997,326) - - - 732,804 5,036,066 Culture and recreation 11,032,652 - - - - 11,653,974 22,686,626 Debt service: Principal 3,535,000 6,425,929 23,570,488 - - 7,425,310 40,956,727 Interest 6,091,770 635,652 16,013,030 - - 7,192,881 29,933,333 Bond issuance costs - - - 2,739 16,180 - 18,919 Capital outlay: General government 2,763,900 - 30,817,992 - - - 33,581,892 Public safety 5,989,834 - - 16,840,399 - - 22,830,233 Streets and other infrastructure - - - - 4,288,637 13,057,020 17,345,657 Economic development 32,667 13,436,972 - - - 1,000 13,470,639 Culture and recreation 1,595,794 - - - - 1,714,003 3,309,797 Total expenditures 114,465,059 19,501,227 70,401,510 16,843,138 4,416,260 70,605,992 296,233,186 Continued on next page.41 General Fund Redevelopment Commission Fund Redevelopment Authority Fund 2021 Project Fund 2022 Project Fund Total Nonmajor Funds Total EXCESS (DEFICIENCY) OF REVENUES OVER (UNDER) EXPENDITURES 8,909,189 26,097,055 (64,011,530) (16,433,605) (1,245,459) 13,106,750 (33,577,600) Debt issuance - financed purchase obligations 5,222,656 - - - - 3,375,521 8,598,177 Transfers in, governmental funds 535,325 - 60,156,333 - 10,459 9,047,332 69,749,449 Transfer in (out) from (to) enterprise funds 1,441,728 - - - - - 1,441,728 Transfers (out), governmental funds (17,147,835) (34,948,213) (10,459) - - (17,642,942) (69,749,449) Total other financing sources and uses (9,948,126) (34,948,213) 60,145,874 - 10,459 (5,220,089) 10,039,905 NET CHANGES IN FUND BALANCES (1,038,937) (8,851,158) (3,865,656) (16,433,605) (1,235,000) 7,886,661 (23,537,695) FUND BALANCES: beginning 33,370,480 32,027,079 62,293,597 20,024,225 62,742,643 47,058,813 257,516,837 FUND BALANCES: ending 32,331,543$ 23,175,921$ 58,427,941$ 3,590,620$ 61,507,643$ 54,945,474$ 233,979,142$ The notes to the financial statements are an integral part of this statement. OTHER FINANCING SOURCES AND (USES): City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) 42 (23,537,695)$ Capital outlays 48,683,911 Disposal of assets (4,771,268) Depreciation expense (26,949,348) 16,963,296 Decrease (increase) in bonds payable for private placement bonds 5,397,310 Decrease (increase) in bonds payable for other bonds secured by revenues 35,313,488 Decrease (increase) in accreted interest 3,244,329 Decrease (increase) in bonds payable for contract purchase obligations 245,929 Amortization of certain bond-related prepaid expense and deferred inflows and outflows (1,922,000) Amortization of premium on bonds outstanding 5,289,393 Financed purchase obligation proceeds (8,598,177) Principal payments on financed purchase obligations 2,449,014 Amortization of Subscription Liability (34,305) Compensated absences 742,613 42,127,594 Property tax 377,753 Income tax 11,053,545 Opioid settlement 919,037 Lease security deposits (93,361) Ambulance fees 90,925 Ambulance fee supplemental 51,871 12,399,770 1925 Police Officers' plan 312,884 1937 Firefighters' plan 257,582 1977 Police Officers' plan (1,754,216) 1977 Firefighters' plan (2,283,944) Civilian public employee retirement plan (217,269) Other post-employment benefits - retiree health insurance (215,431) (3,900,394) (1,847,513) Change in net position of governmental activities (Statement of Activities)42,205,058$ Net change in fund balances - total governmental funds, Statement of Revenues, Expenditures, and Changes in Fund Balances The notes to the financial statements are an integral part of this statement. Amounts reported for governmental activities in the Statement of Activities are different because: Governmental funds report capital outlays as expenditures. However, in the Statement of Activities, the cost of those assets is allocated over their estimated useful lives and recorded as a depreciation expense. The following is the amount by which capital outlay expenditures exceeded depreciation expense in the current period: The issuance of long-term debt (e.g., bonds, leases, financed purchase obligations) provides current financial resources to governmental funds, while the repayment of the principal of long-term debt consumes the current financial resources of governmental funds. Neither transaction, however, has any effect on net position. Also, governmental funds report the effect of issuance costs, premiums, discounts and similar items when debt is first issued; whereas these amounts are deferred and amortized in the Statement of Activities. The following items reflect these differences in the treatment of long-term debt and related items: Revenues in the Statement of Activities that do not provide current financial resources are not reported as revenues in the Expenses in the Statement of Activities for actuarially-determined pension and other post-employment benefits are not recognized as expenditures in the funds: Accrued interest reported in the Statement of Activities does not require the use of current financial resources and, therefore, is not reported as expenditures in governmental funds, net decrease in accrual. City of Carmel, Indiana RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE GOVERNMENT-WIDE STATEMENT OF ACTIVITIES For the Fiscal Year Ended December 31, 2023 43 Water Utility Sewer Utility Total Enterprise ASSETS: Current assets: Cash 1,038,789$ 2,468,545$ 3,507,334$ Accounts receivable (net of allowance)454,711 496,541 951,252 Other receivables 976,341 437,279 1,413,620 Due from associated utility - 835,771 835,771 Inventories 436,908 456,178 893,086 Prepaid items 15,625 9,375 25,000 Total current assets 2,922,374 4,703,689 7,626,063 Noncurrent assets: Restricted cash, debt service 1,827,950 11,134,619 12,962,569 Due from associated utility 629,434 - 629,434 Capital assets: 14,253,321 5,947,593 20,200,914 Utility plant in service, net of depreciation 190,180,269 86,338,043 276,518,312 Total noncurrent assets 206,890,974 103,420,255 310,311,229 Total assets 209,813,348 108,123,944 317,937,292 DEFERRED OUTFLOW OF RESOURCES: Pension-related 1,057,427 865,724 1,923,151 OPEB-related 631,459 510,684 1,142,143 Total deferred outflow of resources 1,688,886 1,376,408 3,065,294 Continued on next page. City of Carmel, Indiana STATEMENT OF NET POSITION PROPRIETARY FUNDS Business-Type Activities - Enterprise Funds Land, improvements to land and construction in progress December 31, 2023 44 Water Utility Sewer Utility Total Enterprise LIABILITIES: Current liabilities: Accounts payable 901,340$ 903,465$ 1,804,805$ Accrued wages payable 91,116 70,965 162,081 Compensated absences 246,792 191,923 438,715 Due to associated governmental funds 364,371 - 364,371 Due to associated utility 835,771 - 835,771 Hydrant deposits 43,230 - 43,230 Revenue bonds payable, current portion 24,597,000 1,633,894 26,230,894 Financed purchase obligation payable, current portion 342,023 201,291 543,314 Accrued interest payable 471,759 168,603 640,362 OPEB liability 66,064 53,428 119,492 Other 200,260 - 200,260 Total current liabilities 28,159,726 3,223,569 31,383,295 Noncurrent liabilities: Bonds payable 107,604,420 38,036,203 145,640,623 Financed purchase obligation payable 1,811,823 822,720 2,634,543 Due to associated utility - 629,434 629,434 Net pension liability 2,306,731 1,888,541 4,195,272 OPEB liability 2,245,733 1,816,207 4,061,940 Total noncurrent liabilities 113,968,707 43,193,105 157,161,812 Total liabilities 142,128,433 46,416,674 188,545,107 Pension-related 2,691 2,203 4,894 OPEB-related 565,467 457,314 1,022,781 2008 bond call rights waiver 1,474,845 - 1,474,845 Total deferred inflow of resources 2,043,003 459,517 2,502,520 NET POSITION: Net investment in capital assets 101,172,267 59,801,066 160,973,333 Restricted for infrastructure 145,350 8,374,350 8,519,700 Unrestricted (33,986,819) (5,551,255) (39,538,074) Total net position 67,330,798$ 62,624,161$ 129,954,959$ The notes to the financial statements are an integral part of this statement. PROPRIETARY FUNDS December 31, 2023 City of Carmel, Indiana STATEMENT OF NET POSITION Business-Type Activities - Enterprise Funds DEFERRED INFLOW OF RESOURCES (Continued) 45 Water Utility Sewer Utility Total Enterprise OPERATING REVENUES: Residential sales 17,320,534$ 6,534,418$ 23,854,952$ Commercial and industrial sales 4,486,387 4,902,160 9,388,547 Other operating revenue 757,195 355,446 1,112,641 Total operating revenues 22,564,116 11,792,024 34,356,140 OPERATING EXPENSES: Source of supply - operation and maintenance 66,682 - 66,682 Water treatment - operation and maintenance 5,678,729 - 5,678,729 Transmission and distribution 4,327,351 - 4,327,351 Collection system - operation and maintenance - 2,156,082 2,156,082 Treatment and disposal - operation and maintenance - 3,584,090 3,584,090 Customer accounts 915,493 826,890 1,742,383 Administration and general 1,454,733 2,085,939 3,540,672 Payroll tax 338,448 279,317 617,765 Depreciation 4,602,248 2,772,377 7,374,625 Pension expense (credit)(42,053) 15,138 (26,915) OPEB (credit)(163,453) (42,869) (206,322) Total operating expenses 17,178,178 11,676,964 28,855,142 OPERATING INCOME 5,385,938 115,060 5,500,998 NON OPERATING REVENUES (EXPENSES): Interest and investment revenue 215,420 569,835 785,255 Miscellaneous revenue 354,005 66,024 420,029 Amortization of call rights waiver 487,370 - 487,370 Amortization of debt premium/(discount)26,934 - 26,934 Interest expense (6,274,698) (1,130,297) (7,404,995) Gain (loss) from sale of capital assets (69,487) 26,144 (43,343) Total nonoperating revenue (expenses)(5,260,456) (468,294) (5,728,750) 125,482 (353,234) (227,752) CAPITAL CONTRIBUTIONS AND TRANSFERS: Capital contributions 4,987,576 1,728,089 6,715,665 Transfers to associated city (918,728) (523,000) (1,441,728) Total capital contributions and transfers 4,068,848 1,205,089 5,273,937 CHANGE IN NET POSITION 4,194,330 851,855 5,046,185 NET POSITION: beginning 63,136,468 61,772,306 124,908,774 TOTAL NET POSITION: ending 67,330,798$ 62,624,161$ 129,954,959$ The notes to the financial statements are an integral part of this statement. PROPRIETARY FUNDS For the Fiscal Year Ended December 31, 2023 City of Carmel, Indiana STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION Business-Type Activities - Enterprise Funds CHANGE IN NET POSITION BEFORE CONTRIBUTIONS AND TRANSFERS 46 Water Utility Sewer Utility Total Enterprise CASH FLOWS FROM OPERATING ACTIVITIES: Receipts from customers and users 22,140,415$ 11,271,945$ 33,412,360$ Payments for goods and services (5,316,981) (2,489,811) (7,806,792) Payments to employees (6,837,773) (5,501,647) (12,339,420) Other receipts 777,855 168,816 946,671 10,763,516 3,449,303 14,212,819 Capital contributions 2,573,752 626,659 3,200,411 Acquisition and construction of capital assets (4,220,835) (5,808,630) (10,029,465) Payment of capital debt, including refunded debt (5,354,000) (1,593,678) (6,947,678) Interest paid on debt (3,773,158) (1,075,541) (4,848,699) Proceeds from sale of capital assets 55,018 13,436 68,454 Proceeds from bond issuance - 10,467,879 10,467,879 Net cash provided (used) by capital and related financing activities (10,719,223) 2,630,125 (8,089,098) CASH FLOWS FROM INVESTING ACTIVITIES: Interest received 215,419 569,835 785,254 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES: Transfers from (to) governmental funds (918,728) (523,000) (1,441,728) (659,016) 6,126,263 5,467,247 3,525,755 7,476,901 11,002,656 CASH AND CASH EQUIVALENTS: ending 2,866,739$ 13,603,164$ 16,469,903$ - - - Continued on next page. PROPRIETARY FUNDS For the Fiscal Year Ended December 31, 2023 City of Carmel, Indiana STATEMENT OF CASH FLOWS Business-Type Activities - Enterprise Funds Net cash provided by operating activities CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES: NET INCREASE IN CASH AND CASH EQUIVALENTS CASH AND CASH EQUIVALENTS: beginning 47 Water Utility Sewer Utility Total Enterprise RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDED BY OPERATING ACTIVITIES: Operating income 5,385,938$ 115,060$ 5,500,998$ Adjustments to reconcile operating income (loss) to net cash provided (used) by operating activities: Depreciation expense 4,602,248 2,772,377 7,374,625 Nonoperating income (expense)124,617 (42,270) 82,347 (Increase) decrease in assets: Accounts receivable (110,795) (133,672) (244,467) Pension-related deferred outflows of resources (71,397) (96,222) (167,619) OPEB-related deferred outflows of resources (440,039) (362,972) (803,011) Other 78,824 (1,647) 77,177 Interfund receivables 61,436 (61,436) - Inventories 7,597 (35,732) (28,135) Increase (decrease) in liabilities: Accounts payable 708,183 759,496 1,467,679 Wages payable 3,892 4,190 8,082 Compensated absence payable (15,100) (5,932) (21,032) Net pension liability 133,502 192,542 326,044 OPEB liability 413,923 405,117 819,040 Pension-related deferred inflows of resources (104,158) (81,182) (185,340) OPEB-related deferred inflows of resources (137,337) (85,014) (222,351) Other current liabilities 122,182 106,600 228,782 Total adjustments 5,377,578 3,334,243 8,711,821 10,763,516$ 3,449,303$ 14,212,819$ NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES: Initiation of financed purchase obligations 1,127,033 167,929 1,294,962 Contributions of capital assets and aid in construction 2,413,823 1,101,430 3,515,253 Amortization of call rights waiver 487,370 - 487,370 Amortization of bond premium 26,934 - 26,934 The notes to the financial statements are an integral part of this statement. Business-Type Activities - Enterprise Funds For the Fiscal Year Ended December 31, 2023 (Continued) NET CASH PROVIDED BY OPERATING ACTIVITIES STATEMENT OF CASH FLOWS PROPRIETARY FUNDS City of Carmel, Indiana 48 Pension Trust Funds Custodial Funds ASSETS: Cash and cash equivalents 174,788$ 84,013$ Receivable from State of Indiana 107,816 - Total assets 282,604 84,013 LIABILITIES: Payroll withholdings 107,815 - Total liabilities 107,815 - NET POSITION: Restricted for: Pensions 174,789 - Individuals, organization and other governments - 84,013 Total net position 174,789$ 84,013$ The notes to the financial statements are an integral part of this statement. City of Carmel, Indiana STATEMENT OF FIDUCIARY NET POSITION December 31, 2023 FIDUCIARY FUNDS 49 Pension Trust Funds Custodial Funds ADDITIONS: Employer contributions 1,312,818$ -$ Investment income 9,852 - Court costs and fees - 1,116,016 Miscellaneous revenue 5,442 - Total additions 1,328,112 1,116,016 DEDUCTIONS: Benefits to plan members and beneficiaries 1,290,987 - Administrative expenses 5,339 - Distributions - 1,115,241 Total deductions 1,296,326 1,115,241 NET INCREASE IN NET POSITION 31,786 775 NET POSITION: beginning 143,003 83,238 NET POSITION: ending 174,789$ 84,013$ The notes to the financial statements are an integral part of this statement. For the Fiscal Year Ended December 31, 2023 FIDUCIARY FUNDS City of Carmel, Indiana STATEMENT OF CHANGES IN FIDUCIARY NET POSITION 50 I. Summary of Significant Accounting Policies A. Accounting Principles B. Reporting Entity C. Basis of Presentation – Government-Wide Statements Carmel Municipal Facilities Building Corporation (CMFBC) is a legally separate Indiana not-for-profit corporation that facilitates borrowing for certain City public safety-related capital projects. Accordingly, it imposes certain financial burdens and provides certain benefits to the City. City officials appoint its board. It exists exclusively for the benefit of the City. Carmel Midtown Building Corporation (CMBC) is a legally separate Indiana not-for-profit corporation that facilitates borrowing for certain City capital projects. Accordingly, it imposes certain financial burdens and provides certain benefits to the City. City officials appoint its board. It exists exclusively for the benefit of the City. The Carmel Redevelopment Authority, CMBC, CMCDC, CMFBC, DCCDC, and 4CDC do not issue separate financial statements. The Statement of Activities demonstrates the extent to which the direct expenses of a functional category are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific program. Program revenues include charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function. They also include operating and capital grants and contributions that are restricted to meeting the operational or capital requirements of a particular function. Taxes and other items properly excluded from program revenues are reported as general revenue. City of Carmel, Indiana NOTES TO BASIC FINANCIAL STATEMENTS For the Fiscal Year Ended December 31, 2023 The two government-wide financial statements, the Statement of Net Position and the Statement of Activities, report information on all of the non- fiduciary activities of the City. Governmental activities, which include those activities primarily supported by taxes or intergovernmental revenue, are reported separately from business-type activities, which generally rely on fees and charges for support. While separate government-wide and fund financial statements are presented, they are interrelated. The governmental activities column incorporates data from governmental funds, while business-type activities incorporate data from the government's enterprise funds. Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though the latter are excluded from the government-wide financial statements. The accounting policies of the City of Carmel, Indiana (City) applied to the accompanying financial statements for the year ended December 31, 2023, conform to the accounting principles generally accepted in the United States of America (GAAP) for local governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. A summary of the City's significant accounting policies employed in the preparation of the accompanying financial statements follows. The City of Carmel (City) is a municipal corporation governed by an elected mayor as executive, an appointed controller as fiscal officer, and a nine- member council as legislative and fiscal body. It is the primary general government reporting entity. The accompanying financial statements present the government and its blended component units, entities for which the government is considered to be financially accountable. Blended component units are, in substance, part of the primary government's operations, even though they are legally separate entities. Thus, blended component units are appropriately presented within the funds of the primary government. The City of Carmel Local Public Improvement Bond Bank (The Carmel Bond Bank) is an instrumentality of the City, organized under Indiana Code Chapter 5-1.4-2 as a body corporate and politic, separate from the City. It serves as a facility by which certain local governmental agencies may issue debt. Its board is appointed by City officials, it serves the City exclusively, and the City is liable for all of its debt. The Carmel Bond Bank issues separate financial statements, which may be obtained at Carmel City Hall, Third Floor, One Civic Square, Carmel, Indiana 46032. There are seven blended component units. The Carmel Redevelopment Authority is organized under Indiana Code Chapter 36-7-14.5 as a body corporate and politic, separate from the City, to facilitate long-term financing of certain City capital projects. City officials appoint its board, and the City is ultimately liable for all its debt. The Carmel City Center Community Development Corporation (4CDC), Carmel Midtown Community Development Corporation (CMCDC), and Downtown City Center Development Corporation (DCCDC) are legally separate Indiana not-for-profit corporations that are organized as community development corporations, pursuant to Indiana Code 4-4-28-2. Their primary function is to facilitate borrowing for certain City capital projects. Accordingly, they impose certain financial burdens and provide certain benefits to the City. City officials appoint their boards. They exist exclusively for the benefit of the City. 51 D. Basis of Presentation – Fund Financial Statements The government also reports certain other funds: E. Measurement Focus and Basis of Accounting The government also reports nonmajor funds, which are of three types: special revenue funds account for and report the proceeds of specific revenue sources that are restricted or committed to expenditure for specified purposes other than debt service or capital projects; capital projects funds account for revenues normally restricted, committed, or assigned to expenditure for capital outlays, including the acquisition or construction of capital facilities and other capital assets; and debt service funds account for and report financial resources that are restricted, committed, or assigned to expenditure for principal and interest. The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting. 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 revenues as soon as all eligibility requirements imposed by the provider have been met. The 2022 Project Fund is used to account for the expenditure of proceeds of certain 2022 bond issuances, the purpose of which were to finance the cost of the acquisition, design, construction, renovation, improvement and/or equipping of the local and arterial road and street system. The Water Utility and Sewer Utility Funds are enterprise funds and account for the activities of the City utilities, integral parts of the government. The City operates the water distribution and sanitary sewer systems for residents and certain non-residents. The fund financial statements provide information about the government's funds, including its fiduciary funds and blended component units. Separate statements for each fund category–governmental, proprietary, and fiduciary–are presented. The emphasis of fund financial statements is on major governmental and enterprise funds, each displayed in a separate column. All remaining governmental and enterprise funds are aggregated and reported as nonmajor funds. Major individual governmental and enterprise funds are reported as separate columns in the fund financial statements. The General Fund is the government's primary operating fund. It accounts for all financial resources of the general government, except those accounted for in the funds described below. The Redevelopment Authority Fund is used to account for the accumulation of resources that are restricted, committed, or assigned for the payment of principal and interest on certain long-term obligations of governmental funds. In addition, the Redevelopment Authority Fund is used to account for the construction costs of certain construction projects. Pension Trust funds account for the activities of certain pension plans administered by the City. Custodial funds account for municipal court escrows. The government reports the following major proprietary funds: The accounting and financial reporting treatment is determined by the applicable measurement focus and basis of accounting. Measurement focus indicates the type of resources being measured, such as current financial resources or economic resources. The basis of accounting indicates the timing of transactions or events for recognition in the financial statements. The Redevelopment Commission Fund is used to account for the collection and expenditure of tax increment financing revenue and certain other economic development activities. The 2021 Project Fund is used to account for the expenditure of proceeds of certain 2021 bond issuances, the purpose of which were to finance the police headquarters expansion and related parking garage projects. During the course of operations, the government has activity between funds for various purposes. Any residual balances outstanding at year end are reported as due from/to other funds. While these balances are reported in fund financial statements, certain eliminations are made in the preparation of the government-wide financial statements. Balances between the funds included in governmental activities (i.e., the governmental funds) are eliminated, so that only the net amount is included as internal balances in the governmental activities column. Similarly, balances between the funds included in business-type activities (i.e., the enterprise funds) are eliminated, so that only the net amount is included as internal balances in the business-type activities column. Further, certain activity occurs during the year involving transfers of resources between funds. In fund financial statements, these amounts are reported at gross amounts as transfers in/out. While reported in fund financial statements, certain eliminations are made in the preparation of the government- wide financial statements. Transfers between the funds included in the governmental activities column are eliminated so that only the net amount is included as transfers in the governmental activities column. Similarly, balances between the funds included in business-type activities are eliminated so that only the net amount is included as transfers in the business-type activities column. The government reports the following major governmental funds: 52 F. Reconciliation of Government-Wide and Fund Financial Statements G. Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position/Fund Balance 1. Cash and Cash Equivalents 2. Investments 3. Inventories and Prepaid Items 4. Capital Assets The capitalization threshold below is determined by the asset class. a) Land is capitalized regardless of the value or cost; A reconciliation of the difference between changes in fund balances, as reflected on the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances, and change in net position for governmental activities, as shown on the government-wide Statement of Activities, is presented in an accompanying schedule to the governmental funds Statement of Revenues, Expenditures, and Changes in Fund Balances. The revenue and expense elements that comprise the reconciliation differences stem from governmental funds using the current financial resources measurement focus and the modified accrual basis of accounting, while the government-wide financial statements use the economic resources measurements focus and the accrual basis of accounting. Capital assets are recorded at cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at the acquisition value at the date of donation. A full year of depreciation is taken in the year of acquisition for capital assets employed in governmental activities, and depreciation is deferred to the year after acquisition for those employed in business-type activities. b) Buildings, infrastructure, vehicles, machinery, and equipment must be capitalized when the useful life is at least 1 year, and the cost is $5,000 or more for assets employed in governmental activities and $750 in business-type activities. Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in the government-wide financial statements. The cost of prepaid items is recorded as expenditures/expenses when consumed rather than when purchased. The City's cash and cash equivalents include cash on hand, demand deposits, and short‐term investments with original maturities of three months or less from the date of acquisition. For purposes of the statement of cash flows, the City’s proprietary funds consider their demand deposits and all highly liquid investments with an original maturity of three months or less when purchased to be cash equivalents. Property taxes and income taxes are considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Certain service charges are recognized when the service is performed. Entitlements are recognized as revenues when all eligibility requirements are met, including any time requirements. Expenditure-driven grants are recognized when the qualifying expenditures have been incurred and all other eligibility requirements have been met. In all instances, revenues are recognized in governmental funds only when the amount is received during the period or within the availability period (within 60 days of year end). All other revenue is recognized only when cash is received. The proprietary, pension trust, and custodial funds are reported using the economic resources measurement focus and the accrual basis of accounting. The costs of normal maintenance and repairs that do not add to the value of the capital assets or materially extend capital assets' lives are not capitalized. Major improvements are capitalized and depreciated over the remaining useful lives of the related capital assets. The governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues from non-exchange transactions subject to eligibility requirements are considered available when the time and other eligibility requirements are met. Accordingly, revenues shared by the State of Indiana are considered available in the year in which the State allows the revenues to be appropriated, encumbered, and expended. All revenues are considered to be available only if they are collectible within the current period, or soon enough thereafter to pay liabilities of the current period. For this purpose, the government 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 expenditures, as well as expenditures related to compensated absences, pensions, other post-employment benefits, and claims and judgements, are recorded only when payment is due. General capital asset acquisitions are reported as expenditures in governmental funds. Issuance of long-term debt and acquisitions under financed purchase obligations are reported as other financing sources. Inventories are valued at cost using the first-in/first-out (FIFO) method and consist of expendable supplies. The cost of such inventories is recorded as expenditures/expenses when consumed rather than when purchased. Investments with a maturity of less than one year when purchased, non‐negotiable certificates of deposit, and other nonparticipating investments are stated at cost or amortized cost. Investments with a maturity greater than one year when purchased and all investments of the pension and OPEB funds are stated at fair value. Fair value is the price that would be received to sell an investment in an orderly transaction at year end. All capital assets, whether owned by governmental activities or business-type activities, are recorded and depreciated in the government-wide financial statements. No long-term capital assets or depreciation are shown in the governmental funds financial statements. 53 Buildings 20–100 years Improvements Other than Buildings 10–20 years Machinery, Equipment, and Vehicles 5–20 years Infrastructure 20–50 years 5. Compensated Absences 6. Bond Premiums and Discounts 7. Deferred Outflows/Inflows of Resources 8. Net Position Flow Assumption 9. Fund Balance Flow Assumptions Sometimes the government will fund outlays for a particular purpose from both restricted and unrestricted resources (the total of committed, assigned, and unassigned fund balance). In order to calculate the amounts to report as restricted, committed, assigned, and unassigned fund balance in the governmental fund financial statements, a flow assumption must be made about the order in which the resources are considered to be applied. It is the government's policy to consider restricted fund balance to have been depleted before using any of the components of unrestricted fund balance. Further, when the components of unrestricted fund balance can be used for the same purpose, committed fund balance is depleted first, followed by assigned fund balance. Unassigned fund balance is applied last. In addition to assets, the Statement of Net Position reports a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net assets that applies to a future period(s) and so will not be recognized as an outflow of resources (expense/expenditure) until then. The government only has three items reported on the government-wide statement of net position that qualify for reporting in this category. One is the deferred charge on refunding. A deferred charge on refunding results from the difference in the carrying value of refunded debt and its reacquisition price. This amount is deferred and amortized over the shorter of the life of the refunded or refunding debt. The others are certain debits arising from changes in actuarial assumptions and timing differences for pensions and other post- employment benefits. Debt issuance costs, except for any portion related to insurance costs or other credit enhancements that tend similarly to affect interest rates in future periods, are recognized as expenses of the current period. These credit enhancement costs are amortized on a straight-line basis over the term of the related debt. In addition to liabilities, the Statement of Net Position reports a separate section for deferred inflows of resources. This separate financial statement element represents an acquisition of net assets that applies to a future period(s) and so will not be recognized as an inflow of resources (revenue) until that time. The items that qualify for reporting in this category are credits resulting from bond refunding, credits resulting from a lease agreement, and pension and OPEB-related credits arising from changes in actuarial assumptions and timing differences. The bond refunding category includes the current value of renegotiated terms of certain bonds, particularly the waiving of call rights on certain bonds. Such renegotiation does not constitute refunding per se but has a similar economic and accounting effect. The lease agreement category includes the initial measurement of a lease receivable, and any lease payments received at or before the commencement of the lease term that relate to future periods. Bond premiums and discounts are amortized in the government-wide and proprietary statements over the life of the issuances. Depreciation is recorded on each class of depreciable property using the straight-line method over the estimated useful lives of the assets. Estimated useful lives are as follows: The government's policy permits employees to accumulate earned but unused personal time, which is eligible for payment upon separation from government service. The liability for such leave is reported as incurred in the government-wide and proprietary fund financial statements. A liability for those amounts is recorded in the governmental funds only if the liability has matured as a result of employee resignations or retirements. Sometimes the government will fund outlays for a particular purpose from both restricted (e.g., restricted bond or grant proceeds) and unrestricted resources. In order to calculate the amounts to report as restricted–net position in the government-wide and proprietary fund financial statements, a flow assumption must be made about the order in which the resources are considered to be applied. It is the government's policy to consider restricted net position to have been depleted before unrestricted net position is applied. Leased assets are recorded an the initial measurement of the lease liability, plus lease payments made at or before the commencement of the lease term, less any lease incentives recived from the lessor at or before the commencement of the lease, plus any initial direct costs that are ancillary to place the asset into service. Lease assets are amortized on a straight-line basis over the shorter of the lease term or the useful life of the underlying asset. Subscription assets are initially recorded at the initial measurement of the subscription liability, plus subscription payments made at or before the commencement of the subscription-based information technology arrangement (SBITA) term, less any SBITA vendor incentives received from the SBITA vendor at and certain payments made before the commencement of the SBITA term, plus capitalizable initial implementation costs. Subscription assets are amortized on a straight-line basis over the shorter of the SBITA term or the useful life of hte underlying IT asset. 54 10. Fund Balance/Net Position a) Non-spendable fund balance (inherently non-spendable) includes the: • Portion of net resources that cannot be spent because of their form. • Portion of net resources that cannot be spent because they must be maintained intact. b) Restricted fund balance (externally enforceable limitations on use) includes amounts subject to: • Limitations imposed by creditors, grantors, contributors, or laws and regulations of other governments. • Limitations imposed by law through constitutional provision or enabling legislation. c) Committed fund balance (self-imposed limitations set in place prior to the end of the period): d) Assigned fund balance (limitation resulting from intended use) consists of amounts where the: • Intended use is established by the body designated for that purpose (City Council). e) Unassigned fund balance (residual net resources) is the: 11. Use of Estimates 12. Restricted Net Position H. Revenues and Expenditures/Expenses 1 . Program Revenues • Limitation imposed at the highest level of decision-making that requires formal action (passage of an ordinance) at the same level to remove. For the City, the City Council is the highest level of decision-making authority. • Intended use is established by an official authorized by the Council to make purchases, which includes the heads of most departments. • Negative unassigned fund balance is the excess over non-spendable, restricted, and committed fund balance over total fund balance. • Total unassigned fund balance in the General Fund is the excess of total fund balance over non-spendable, restricted, committed, and assigned fund balance. Fund balance is presented on the Balance Sheet for governmental funds. The components of fund balance include the following line items: a) non- spendable fund balance, b) restricted fund balance, c) committed fund balance, d) assigned fund balance, and e) unassigned fund balance. For further explanation of each fund balance component, please see the following: Net position is presented on the Statement of Net Position. Net position represents the difference between (a) assets and deferred outflows of resources and (b) liabilities and deferred inflows of resources. Net investment in capital assets consists of capital assets, net of accumulated depreciation, and leased assets, net of accumulated amortization reduced by the outstanding balances of any debt related to the acquisition, construction, or improvement of those assets. Deferred outflows of resources and deferred inflows of resources that are attributable to the acquisition, construction, or improvement of these assets or related debt are also included in this component of net position. Net position is reported as restricted when there are limitations imposed on its use, either through enabling legislation adopted by the City or through external restrictions imposed by creditors, grantors, laws, or regulations of other governments. The preparation of the basic financial statements in conformity with GAAP requires the City's management to make estimates and assumptions that affect the reported amounts of assets, liabilities, deferred outflows and inflows of resources and disclosures of contingent assets and liabilities at the date of the basic financial statements and/or the reported amounts of revenues and expenditures/expenses during the reporting period. Actual results could differ from those estimates, but the City believes that the differences will be insignificant. Among the items subject to estimates are pension liabilities, OPEB liabilities, deferred inflows and outflows of resources related to pensions and OPEB, and certain receivables. Amounts reported as 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. All taxes, including those dedicated for specific purposes, and other internally dedicated resources are reported as general revenues rather than as program revenues. All net position reported as restricted in the accompanying Statement of Net Position is restricted due to legally enforceable contractual obligations or Indiana law. 55 2 . Property Taxes 3 . Income Taxes 4. Proprietary Funds Operating and Nonoperating Revenues and Expenses II. Detailed Notes on Certain Activities and Funds A. Cash and Investments 1. Cash Deposits The deposits and investments of the Pension Funds, as discussed in Notes II.F. below, are held separately. Deposits of Indiana local government units are regulated by Indiana law. Deposits may be made only in financial institutions determined eligible by a State agency. Custodial credit risk for bank deposits is the risk that, in the event of a bank failure, the City's deposits may not be returned to it. The City's policy for bank deposit custodial credit risk requires compliance with Indiana law. The City's total cash deposits at December 31, 2023, were $166,422,078, of which $12,962,569 is restricted and $153,459,509 is unrestricted. The City's cash deposits are insured up to $250,000 at financial institutions insured by the Federal Deposit Insurance Corporation. Any cash deposits in excess of $250,000 are insured by the Indiana Public Deposits Insurance Fund (Fund) via the pledged collateral from the institutions securing deposits of public funds. The Fund is a multiple financial institution collateral pool administered by the State of Indiana. The Council is empowered to adopt property tax levies and rates, subject to certain statutory limitations. Taxable property becomes subject to lien on January 1 of the year prior to the budget/levy year. Levy ordinances must be adopted before the following November 1. Property taxes are due in two installments the following May 10 and November 10. The county government collects the taxes and distributes them, generally, in two installments, June 30 and December 31 of the budget/levy year. The county may make advances as taxes are collected. Taxable property is assessed at its value on January 1 of the year prior to the budget/levy year. Before November 1 of that year, the Council is empowered to adopt the ensuing year property tax levies and rates. The Council’s action is subject to certain statutory limitations. In some instances, these statutory limitations may be appealed by the City, and adjusted as appropriate by the Indiana Department of Local Government Finance (DLGF). Such appeals must be filed by the City by October 19 or December 31, depending on the nature of the appeal. After November 1, levies, rates, and appropriations adopted by the Council are subject to review by the DLGF and adjusted, as appropriate, to meet statutory requirements and to reflect the results of levy appeals. In some circumstances, taxpayers may also appeal the levies and rates at a public hearing before the DLGF. Review by the DLGF must be completed by December 31 or January 15, depending on the type of levy appeal the City may file. Rates must then be published by county officials three times, at least one week apart. The County Auditor then computes a tax bill for each parcel. The County Auditor must apply a credit to each real estate tax bill that exceeds a certain percentage of the gross assessed value of the parcel. Those percentages are 1% for most single- family owner-occupied residences, 2% for most other residential property, and 3% for commercial and other real property. The credit is funded by reducing a portion of the levy of the City and each other overlapping taxing jurisdiction, on a pro-rata basis. Tax bills, net of credits, are due and payable in two installments on May 10 and November 10 of the budget/levy year. The City considers property tax revenue to be receivable when it is due and payable by the property owner, at which time the City has an enforceable legal claim on the revenue. The City benefits from an income tax that was imposed by joint vote of several Hamilton County units of general government and is collected by the State of Indiana. Each July 1, the Indiana Department of Revenue determines the amount of tax processed on returns filed for the previous year. That amount is distributed to the County Auditor during the ensuing calendar year on a monthly pro-rata basis. The distributions are paid from accumulated collections from withholdings and direct taxpayer payments held in trust by the Indiana Department of Revenue, which may result in a balance remaining in the trust account. The County Auditor allocates the distributions to the City and other units of general government in accordance with a statutory formula based on the size of each unit's non-debt property tax levy. Before May 2 of each year, the Indiana Department of Revenue determines if the accumulated balance that was held in trust on December 31 two years preceding the determination exceeds fifteen percent (15%) of the certified distribution to be made to the county in the determination year. If so, the excess is distributed to the County Auditor in May of the determination year. These supplemental distributions are allocated immediately to the City and other units of general government in accordance with the same statutory formula as for regular distributions. The City accounts for income tax revenue as a derived tax revenue. Accordingly, revenue is recognized in the Statement of Activities when a taxpayer earns income. In the governmental funds, amounts certified for and distributed in the current year are recognized as revenue, along with any additional amount in the trust fund that is expected to be distributed within 60 days. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the water and sewer utility funds are charges to customers for sales and services. The Water Fund also recognizes as operating revenue the portion of tap fees intended to recover the cost of connecting new customers to the system. Operating expenses for enterprise funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. 56 2. Investments These investments are required by statute to have a stated final maturity of not more than five years. Below is a segmented time distribution for the City's debt investments at December 31, 2023: Investment Type Municipal Bonds U.S. Treasury Notes U.S. Government-backed Securities Total B. Receivables and Transfers 1. Receivables Revenue Source Property taxes Income taxes Intergovernmental Lease and other Due from other funds Due from utility Total Revenue Source Accounts and other Due from associated utility Due from associated utility - noncurrent Total The Sewer Utility recognizes a long-term liability of $629,434 due to the Water Utility for its share of the Water Utility's 2020 revenue bond. 62,668,670$ 10,731,941$ 2,691,644$ Water Utility 1,431,052$ 629,434 - 74,586 933,820$ Sewer Utility 919,037 Total - 919,037 Custodial credit risk for investments is the risk that, in the event of failure of the counterparty to the transaction, the City will not be able to recover the value of investment or collateral securities that are in possession of an outside party. The City does not have a formal investment policy for custodial credit risk for investments. The City believes it is not exposed to investment custodial credit risk because its securities are held in trust in the City's name. Less than 1 83,108,890$ Interest rate risk is the risk that the fair value of investments will be adversely affected by a change in interest rates. The City has no formal policy regarding interest rate risk. The City may invest in securities for more than two years and not more than five years in accordance with Indiana law. Under this policy, investments having maturities of more than two years are limited to 25% of the total investments and other cash and cash equivalents held by the City. - Receivables at December 31, 2023, for business-type activities of the City's individual major enterprise funds consisted of the following: 1 to 5 76,671,497 - 20,247,138 - Investments are valued at fair value. Fair value of substantially all investments is determined according to published, quoted prices for similar assets in active markets, observable for the entire term of the asset. Accordingly, investments are classified in level two of the hierarchy of fair value. 193,082$ 193,082 More than 5 629,434 1,051,782$ - Nonmajor 56,424,359 Investments by Indiana local government units are regulated by Indiana law. The City may invest in United States obligations and issues of federal agencies, certain Indiana municipal securities, secured repurchase agreements fully collateralized by U.S. Treasury or U.S. agency obligations, certificates of deposit, and certain money market mutual funds invested in U.S. Treasury or U.S. agency obligations. Fair Value Credit risk is the risk that an issuer or other counterparty to an investment will not fulfill its obligations. The City's policy regarding credit risk is to comply with Indiana law, which limits the City to very low-risk investments. The City’s investments in Federal Home Loan Bank Board and Federal Home Loan Mortgage Corporation are rated AA+ by Standard & Poor’s and Aaa by Moody’s Investors Service and the municipal bond investments are all rated AA or better by Standard & Poor’s and Moody’s Investors Service. 6,244,311 6,244,311 - 3,830,077$ 9,018,047 32,488,753 General 20,440,220$ -$ Concentration risk is the risk that too many resources have been invested in a single issuer, and that issuer may fail. The City believes it is not exposed to concentration risk because fewer than 5% of its investments are in a single issuer, other than the United States Government and its agencies. Receivables at December 31, 2023, for governmental activities of the City's individual major governmental funds and nonmajor governmental funds in the aggregate, consisted of the following: 1,639,862$ 32,488,753 The City has no deposits or investments denominated in foreign currencies and does not foresee having any foreign currency risk in the future. 8,322,165 835,771 835,771 - 2,364,872$ - Total 364,371 74,586 45,556,438$ 34,824,497$ 1,769,591$ 695,882 364,371 2,060,486$ -$ Investment Maturities (in Years) -$ 57 Description Unavailable Revenue Property taxes Income taxes Ambulance fees Supplemental Medicaid Opioid Settlement Total unavailable revenue 2. Transfers a) Transfers among Governmental Funds Transfers Out General Fund Redevelopment Commission Fund Redevelopment Authority Fund 2021 Project Fund Nonmajor Total b) Transfers between Governmental and Enterprise Funds Transfers Out Nonmajor funds transferred $3,846,607 to the Bond Bank Project Fund to satisfy debt service payments. Governmental funds report deferred inflows in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period. At the end of the fiscal year, the various components of unavailable revenue reported in governmental funds were as follows: Transfers In 24,866,217 2021 Project Fund 16,620,199$ 29,760,500 The General Fund transferred $16,620,199 to the Redevelopment Authority Fund to satisfy debt service payments. The Redevelopment Commission Fund transferred $29,760,500 to the Redevelopment Authority Fund to satisfy debt service payments. 10,459 - 10,459 The General Fund transferred $8,636 to a nonmajor fund to fund the Carmel Sidewalk Grant program. - - -$ -$ Redevelopment Commission - General 695,882 Total 218,627 -$ - - - 10,459$ - 4,657,897 34,948,213 5,509 535,325$ 29,391,407$ 919,037 2,691,644$ - -$ 529,816 - - Transfers In The Redevelopment Commission Fund transferred $529,816 to the General Fund to satisfy debt service payments. The Redevelopment Commission Fund transferred $4,657,896 to a nonmajor fund to satisfy debt service payments. The Redevelopment Authority Fund transferred $10,459 to the 2022 Project Fund for excess funds. 2022 Project Fund - - Nonmajor funds transferred $13,775,634 to the Redevelopment Authority Fund to satisfy debt service payments. 13,775,634 - - Redevelopment Authority -$ Water Fund 523,000 1,441,728$ Sewer Fund General 60,156,333$ The Water and Sewer Funds transferred $918,728 and $523,000, respectively, of available excess cash to the General Fund. 918,728$ The General Fund transferred $519,000 of proceeds from a sale of property to a nonmajor fund to pay for park projects. A nonmajor fund transferred $5,509 of grant revenue to the General Fund and $15,192 to other nonmajor funds for Federal grant projects. Total 17,147,835$ - 17,642,942 69,749,449$ Nonmajor 527,636$ - 3,861,799 9,047,332$ - 58 C. Capital Assets Governmental Activities: Capital assets, not being depreciated Land Construction in progress Total capital assets, not being depreciated Capital assets, being depreciated Buildings and improvements Right-of-use (lease/subscription) assets Machinery, equipment, and vehicles Infrastructure Total capital assets, being depreciated Less accumulated depreciation, for Buildings and improvements Machinery, 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 & land rights Construction in progress Total capital assets, not being depreciated Capital assets, being depreciated Utility plant & equipment in service Total capital assets, being depreciated Less accumulated depreciation for Utility plant & equipment in service Total capital assets, being depreciated, net Business-type activities capital assets, net Governmental Activities: General Government Economic Development Culture & Recreation Public Safety Streets and other infrastructure Total governmental depreciation Business-Type Activities: Utility plant & equipment in service Total business-type depreciation Total depreciation 953,292 93,663,755 (1,684,372) 171,904,249 4,648,555 262,848,807 26,949,348 66,656,661 661,490,611 1,017,542,550 11,748,839 192,712 9,178,193 Transfers Out BalanceDeletions/ Transfers In 332,850 704,530 (84,088) 39,023,834 Balance Jan 1, 2023 (4,284,231) (4,519,871)$ 203,436,543$ 58,924,152 288,441,985 - (8,804,102) 41,923,834 1,673,404 263,980,566 Additions/ Dec 31, 2023 297,100,298 205,056,414$ 2,900,000$ Capital asset activity for governmental activities for the year ended December 31, 2023, was as follows: 661,297,899 1,007,478,082 BalanceDeletions/ (39,224,067)$ 394,658,845 276,518,312 187,140,480 729,093,282 26,723,325$ Balance 288,449,268 (1,513,989) (335,485) (15,200,509) Additions/ Transfers In (1,513,989) 26,949,348 1,008,609,841$ 8,635,461 349,446,855 5,496,657$ Depreciation expense was charged as follows for the year ended December 31, 2023: 6,070,414 1,964,893 7,374,625 286,768,581 86,562$ 58,843,957 7,064,562 - - 34,323,973$ 237,390,394 296,719,226$ (1,348,887) Capital asset activity for business-type activities for the year ended December 31, 2023, was as follows: (1,348,887) 112,056,461 5,911,545 118,140,533 (223,437) 7,374,625 405,566 20,200,914 52,435,645 46,725,980 45,349,462$ (39,000,631) 5,998,108 46,725,980 (1,600,284) - 59,078,752 39,351,355 47,025,550 5,410,095$ 1,026,193,580$ Jan 1, 2023 65,908,519 (9,139,587)$ 744,629,275 35,400,269 32,100,601 15,236,231 14,704,257 349,446,855 Dec 31, 2023 394,658,845 (1,290,553) (39,000,631) 9,873,015$ 7,374,625 289,826,039$ Transfers Out -$ 5959 D. Noncurrent Liabilities 1. Changes in Long-Term Debt Obligations and Other Liabilities The following is a summary of changes in long-term obligations for the year ended December 31, 2023: Governmental Activities: Private placement bonds Other bonds secured by revenues Contract purchase obligations Unamortized bond premium Financed purchase obligations Lease/SBITA liability Compensated absences Total OPEB liability Portion of above due within one year Portion of financed purchase obligation payable due in more than one year Portion of Lease/SBITA liability due in more than one year Net pension liability and total OPEB liability due in more than one year Bonds payable due in more than one year Business-Type Activities: Sewer utility revenue bonds Water utility revenue bonds Total business-type bonds Water utility bond premium Utility financed purchase obligations Compensated absences Total OPEB liability Portion of above due within one year Portion of financed purchase obligation payable due in more than one year Net pension liability and total OPEB liability due in more than one year Bonds payable due in more than one year 332,850 738,835 (84,088) 987,597 456,141 531,456 3,177,857 - 39,145,145 9,794,889 131,869,236 171,539,333 Total business-type activities 27,332,415 134,545,303 175,776,906$ 543,314 1,414,531 Balance Total governmental activities - 15,944,052 2,417,344 (63,291,058)$ Subtotal, bonds, premiums, and discounts 13,177,933 3,869,227 13,177,933 438,715 4,527 (6,947,678) 171,871,517 - 8,447,759 2,634,543 1,986,703 3,370,504 Reductions 165,668,196 8,598,177 (25,559) (5,289,393) 72,540,000$ Jan 1, 2023 183,864,793$ Liabilities other than debt, which are ordinarily employment related, such as compensated absences, pensions, and other post-employment benefits, have been liquidated in prior years by the same governmental funds that expended the regular compensation to the affected employees. Typically the General Fund and the Motor Vehicle Highway Fund have been used in prior years to liquidate the liabilities, other than debt. When liabilities have arisen, other than debt, which were not related to compensation, the liabilities have ordinarily been liquidated by the governmental funds that financed the activities that gave rise to the liabilities. 752,991,160$ Due Within 45,789,149 (1,593,678)$ 332,184 (26,934) 26,230,894 5,497,039$ 8,257,212 830,656 Net pension liability Subtotal, bonds, premiums, and discounts 55,732,686 (780,299) 17,071,072$ 1,633,894$ (49,490,449) Balance (1,088,486) One Year (5,354,000) 921,128,594$ Additions Due Within 39,670,097$ 1,184,701 895,854,909$ (1,454,606) (38,557,817) - 45,789,149$ 44,570,372 20,194,916 1,986,703 Additions 67,142,690$ (245,929) 679,293,271 Balance (5,397,310)$ Balance Less, 24,597,000 792,136,305 83,969,596 30,763,775$ Dec 31, 2023 (9,032,602) 29,067,566 37,686 (2,449,014) One Year 38,017,373$ 22,074,413 - 841,626,754 - 254,612 717,851,088 Dec 31, 2023 49,805,036 -$ Jan 1, 2023 2,729,316 1,430,630 (6,974,612) 359,118 1,294,962 438,715 (534,449) Reductions 44,515,643 33,393,494 10,500,000$ 12,573,548 27,332,415$ Net pension liability 459,747 165,309,078 2,677,933 The City administration believes it is in compliance with Federal arbitrage regulations, which apply to bonded debt, and that the City's liability, if any, under these regulations, is not material. - 3,362,392 1,179,119 (360,079) 26,230,894 4,181,432 119,492 Less, 4,195,272 145,640,623$ (8,983,185)$ 60 Governmental Activities Long-Term Debt: 2043 Redevelopment Authority Taxable Lease Rental Bonds, Series 2017A (Midtown South) 2.000%- 5.000% 2036 General Obligation Bonds, Series 2016D 2016General Obligation Bonds, Series 2016I 2016 Taxable Economic Development Lease Rental Revenue Bonds, Series 2018A (Midtown West Project) 2036 1,214,000 1.576%- 3.762% General Obligation Bonds, Series 2016J General Obligation Bonds, Series 2016G 2.000%- 5.000% 2016 1,599,000 3.990% - 4.850% 7,496,000 2.000%- 5.000% 1,036,000 2036 1,577,000 1,373,000 General Obligation Bonds, Series 2016H 2036 2.000%- 5.000% 20362016 2036 123,533,000 1,211,000 1,383,000 2016 2.000%- 5.000% 20362.000%- 5.000% General Obligation Bonds, Series 2016F Taxable Lease Rental Revenue Refunding Bonds, Series 2020B 2036 1,633,000 20,315,000 2016 2036 Redevelopment Authority Lease Rental Bonds, Series 2016A (Public Infrastructure Projects) 2038 2016 2.000%- 5.000% Taxable Lease Rental Bonds, Series 2019A-2 2019 2016 2016 2016 1,394,000 21,965,000 2036 General Obligation Bonds, Series 2016M 1,147,000 880,000 125,195,000 Amount Outstanding 125,195,000 3.000% - 4.000% Year of Interest Rate 2035 54,225,000 54,225,000 Year of 2035 2033 Original 2016 2036 Issue Bonds issued in order to acquire capital assets, for which the City has pledged an unlimited ad valorem property tax levy to satisfy the principal and interest on the bonds as they become due: AmountMaturity 2020 2036 59,870,000 24,215,000 2016 2.000%- 5.000% 2.000%- 5.000% 1,577,000 1,147,000 0.211% - 2.301% 2041Redevelopment Authority Property Tax Lease Rental Bonds, Series 2021 2016 18,830,000 1,373,000 2020 882,000 790,000 1.973% - 3.864%7,405,000 8,170,000 Taxable Redevelopment District Bonds, Series 2021 6,300,000 0.337%- 2.074%62,270,000 2018 2021 Taxable Lease Rental Revenue Refunding Bonds, Series 2020A 0.839%- 2.628% 2021 2.500% - 5.000%12,645,000 General Obligation Bonds, Series 2016A 2016 2036 139,872,000** 2017 2016 1,099,000 2.000%- 5.000% 996,000 2.000%- 5.000%General Obligation Bonds, Series 2016E 1,161,000 1,426,000 2016 Storm Water Bond (Authorized: $44,500,000) Taxable Special Program Bonds, Series 2016 1,187,000 16,490,000 2042 General Obligation Bonds, Series 2016C 6,720,000 2016General Obligation Bonds, Series 2016L 10,337,000 30,720,000 2029 2016 996,000 1,513,000 Redevelopment Authority Lease Rental Bonds, Series 2016B (Economic Development Projects) 1,005,000 2.000%- 5.000% 2.000%- 5.000% 2036 General Obligation Bonds, Series 2016K 2.000%- 5.000% 2036 1,013,000 1,089,000 2041 General Obligation Bonds, Series 2016B 11,625,000 2.000%- 5.000% Redevelopment Authority Property Tax Lease Rental Bonds, Series 2022 3.000% - 5.000%2022 2042 62,450,000 61,500,000 2.000%- 5.000% 61 * Original amount refers to the original amount of the non-refunded portion only of any partially refunded bonds. ** City has additionally pledged local income tax (LIT) In the year ended December 31, 2023, the total of payments on the bonds listed above was 0.572% of taxable assessed value. 32,380,000 COIT Lease Rental Revenue Refunding Bond, Series 2014B (Northwest Clay Road) 3.000%- 5.000% 22,575,000 3.940% 440,000 0.855% - 2.706% Redevelopment Authority LIT Lease Rental Revenue Refunding Bonds, Series 2017 2.100% - 3.750% 2011Loft A Private Placement 2011 5.150%2019 City Center Community Development Loan 2019 2025 12,760,000 1,355,000 23,180,000 3.000% - 4.000%2021 5.000% 69,245,000 2024 2005 2012 2017 Issue 9,970,000 Amount 2.006% - 3.200% 24,000,000^ Redevelopment Authority Taxable Lease Rental Bonds, Series 2017C-1 2027 2017 5,395,000 Amount Redevelopment Authority Lease Rental Bonds, Series 2016C (Energy Center Project) 1.190%- 3.000% Outstanding 10,550,000 16,235,000 815,000^ 3.000% - 5.000%2017 6.000% Redevelopment Authority Tax-Exempt Lease Rental Bonds, Series 2017B-1 3.200% - 3.200% 2027 6,000,000 2033 In the year ended December 31, 2023, the total of payments on the bonds listed immediately above was 8.6% of annual incremental tax revenue. 5,897,690 Redevelopment Authority Taxable Lease Rental Bonds, Series 2016D (Midtown Phase 1A) 2.360% - 2.360% 10,550,000 2017 Maturity 2041 OriginalYear of 2004 Taxable Lease Rental Bonds, Series 2019A-1 16,600,000 Outstanding 32,380,000 Year of 2041 In the year ended December 31, 2023, the total of payments on the bonds listed immediately above was 19.2% of annual LIT revenue. 2017 9,500,000 2021 2027 Amount 46,795,000 Issue Interest Rate 2019 2037 2037 32,495,000^ 6.650% Amount 2030 Maturity 20,275,000 15,164,000 2025 25,190,000 2041 Lease Rental Revenue Bonds of 2005 (unrefunded portion) 2016 Lease Rental Revenue Multipurpose Bonds, Series 2012B 10,890,000 2.000%- 5.000% 9,190,000 5,345,000 30,840,000 Municipal Facilities Building Corp Lease Rental Bonds, Series 2021 Year of 2016 18,228,271 Lease Rental Revenue Refunding Bonds of 2011 (West Clay road) 19,649,150* 2011 Taxable Lease Rental Bonds, Series 2017C-2 5.800%- 8.450% 9,630,000 Taxable Local Income Tax General Obligation Bonds, Series 2021 Bonds issued in order to acquire capital assets, for which the City has pledged its incremental tax revenue from certain allocation areas up to the amount needed to satisfy the principal and interest on the bonds as they become due: 2014 Bonds issued in order to acquire capital assets, for which the City has pledged its LIT revenue up to the amount needed to satisfy the principal and interest on the bonds as they become due: 2035 11,112,000 Year of 1.576%- 3.762% 2026 Interest Rate Redevelopment Authority Tax-Exempt Lease Rental Bonds, Series 2017B-2 10,525,000^ Original 2048 Taxable Tax Increment Revenue Bonds, Series 2004A 2024 ^ To the extent that the City LIT revenue would be insufficient to pay the bonds when due, bonds are payable from a special benefits tax (an ad valorem property tax). 360,000 62 Restated Secondary Village #1 Total bond principal and contract purchases Financed purchase obligations Compensated Absences Total bond principal, contract purchases, financed purchase obligations, and compensated absences. Bond premium Business-type Activities Long-Term Debt: Bond Premium/ Discount Total bonded debt, including amount due in one year Total business-type activities bonds, financed purchase obligations, and compensated absences. Total City bonds, financed purchase obligations, and compensated absences. Compensated Absences N/AN/A N/A AmountYear of Year of Original 2013 2025 Junior Waterworks Revenue Refunding Bonds of 2017 2036 Maturity Amount 1.750% 2008 17,745,000 30-day SOFR Total governmental activities bonds, contract purchases, financed purchase obligations, and compensated absences. 0.830% - 2.430% Bonds issued in order to acquire capital assets, for which the City has pledged its sewer or water user fee revenue, net of reasonable expenses of operation, repair, and maintenance, up to the amount needed to satisfy the principal and interest on the bonds for the term of the bonds: Amount 765,551,418 Original 44,515,643 Outstanding Bonds issued in order to acquire capital assets, for which the City has pledged its sewer or water user fee revenue, net of reasonable expenses of operation, repair, and maintenance, up to the amount needed to satisfy the principal and interest on the bonds for the term of the bonds: Year of Issue 9,781,000 N/A 810,067,061$ Interest Rate 15,944,052 747,620,662 2016-2023 1,986,703 N/A 2034 Amount 2033 7,260,000 17,745,000 Amount Outstanding Outstanding 24,381,168 4,955,000 Storm Water District Revenue Bonds, Series 2020 2020 Contract purchases of capital assets: Year ofYear of Financed purchase obligations 21,625,000 Year of Original Interest Rate Issue Maturity 4,500,000 6,700,000 Amount N/AN/A 2.110% Issue 1.290% - 6.930% Interest Rate 4,595,000 2039 2023 5,100,000 2027 15,954,000 2019 3,100,000 Sewer Utility Revenue Bonds of 2020 2017 2.340% Water Utility 2008 Capital Appreciation Bonds 5,894,000 1,184,701 2034 Maturity 171,871,517 2,112,000 332,184 1.800%- 3.700%2037 2.000%- 4.000% 48,848,236 Sewer Utility Revenue Bond Anticipation Notes of 2023 2023 2021 Sewer Utility Refunding Bonds Junior Waterworks Revenue Bonds of 2021 2021 Sewer Utility Revenue Bonds 6,035,000 Sewer Utility 2005 Revenue Bonds Refinance 20,644,479 2,062,097 2005 Water Utility Junior Waterwork Revenue Bond of 2012 0.420% 3,010,000 Waterworks Special Program Bonds, Series 2016 4.320%- 4.610% 2016 2009 4,542,736 438,715 N/A 3.000%- 5.000% 2033 2028 11,000,000 2026 13,035,000 4.130%- 5.790% 2030 2012 53,735,000 3,177,857 175,488,089 985,555,150$ 2016-2023 2.250% Sewer Utility 2009 SRF Waterworks Revenue Bond Anticipation Notes of 2019 2021 2032 37,865,000 13,000,000 10,500,000 10,500,000 3.53% 2021 2039 2021 2039 15,951,000 2020 2.320% 63 Public safety Streets and infrastructure Economic development Total 2. Debt Service Requirements to Maturity Total Requirements Total Requirements 369,703 12,596,324 Total In the year ended December 31, 2023, revenue, net of reasonable expenses for operation, repair, and maintenance, was 76.1% of debt service requirement for the Water utility and 104.5% of debt service requirement for the Sewer utility. 13,409,490 Principal 369,703 2029 - 2033 Notes and Loan Payable - 10,706,787 369,704 272,909 - 26,058,523 282,544 5,497,039$ Total 369,703$ Interest Principal 1,273,323 106,101 3,767,054 48,281,000 17,463,177 - 23,644,322 Principal - - 22,876,337 43,820,000 - 5,095,000 18,813,683 3,767,054 2026 226,176,000 2028 188,217 2027 2024 2025 7,165,261 2044 - 2048 7,734,604$ Interest - 2026 2034 - 2038 1,667,030$ 1,889,537 - - - 77,183 254,612$ 87,159 Governmental Activities: 96,795 Year Ended The debt service requirement calculation above for the Water utility does not include debt service on a note in the amount of $17,745,000 due May 1, 2024. Management expects this note will be refinanced with a new note or a longer term bond series. 1,424,299$ 9,535,881 Contract Purchase Direct PlacementDecember 31 Obligations Payable Interest on long term debt has been charged as a direct expense in certain instances in which borrowing has been essential to the creation or continued existence of projects, as follows: 24,369,670$ 263,602 - 115,091$ 2,237,565$ 5,148,864 - 111,034 22,165,000 Notes and Loan Payable - 64,493,077 45,347,508 - Obligations Payable - Total Interest 75,161,315 - 248,341,000 54,681,544 3,893,523 70,015,162$ Total 61,910,855$ - 482,329$ Interest 65,744,177 Notes and Loan and Contract Purchase 61,424,906 - - 1,184,701$ 67,142,690$ - - Total 2029 - 2033 30,870,017$ 39,935,042 68,991,830 24,446,376 80,315,732 - 316,727,600 - Thereafter - Year Ended 47,587,054 December 31 13,623,075 193,306,000 864,666,078$ 21,489,864 48,694,000 44,889,660 22,460,044 28,517,361$ 216,182,337 - 2024 47,587,054 - 2025 72,300,717 202,353,954 180,481,000 - 665,670,196 947,281,747$ 733,997,587 198,995,882$ 67,349,704 53,487,034 - - 2028 55,869,356 - - 2034 - 2038 43,820,000 290,669,077 20,479,771 67,626,351 39,145,145$ 2027 747,620,662$ - 2039 - 2043 21,872,954 2039 - 2043 2044 - 2048 - - Thereafter - 33,393,494$ 68,386,600 213,284,160$ Accretion on CABs 679,293,271$ 13,623,075 5,705,000 7,197,221 6,368,323 - 2,048,357 1,460,261 - 1,003,383 13,828,383 12,825,000 - 13,805,949$ 80,948,639$ Direct Borrowings Principal 18,932,351 - 64 Business-Type Activities: Total Requirements Total Requirements 3. Financed Purchase Obligations 403,571 3,001,970 3,302,748 85,373,055 3,370,504$ 679,541$ The Water and Sewer Utilities entered into various financed purchase obligations for certain equipment. As of December 31, 2023, the Utilities had assets with an original cost of $3,750,121 and accumulated depreciation of $807,383 financed through purchase obligations. 2025 Governmental Activities: 543,314$ 2024 49,156,118 54,014 626,049 2029 - 2033 87,031 2026 2,598,399 1,418,750 14,703,562 2026 36,216,937 13,284,812 2028 237,228 143,335,576 15,944,052$ 588,947$ 3,177,857$ 2034 - 2037 118,376 Interest 2,422,567 648,133 744,425 2029 - 2033 22,805,575 Total Year Ended 2,470,838 2,291,602 The City has entered into various financed purchase obligations for equipment for various departments, including Police, Fire, Streets, and for a golf course. As of December 31, 2023, the City had assets with an original cost of $23,043,953 and accumulated depreciation of $9,179,158 financed through purchase obligations. Total 2027 2,453,000 2,175,736$ Principal 136,227$ 921,756 2034 - 2038 364,024 December 31 Principal Interest 11,478,343 2027 2026 21,634,899 Total 31,928 Total Year Ended 2024 33,934,485 2,240,843 181,724 30,862 18,119,788$ 2,762,512 2039 - 2043 291,242 291,674 1,065 14,337,560 2025 2028 Accretion on CABs 2,859,217 218,225,992$ 2029 - 2033 Year Ended December 31 74,890,416$ 28,203,757 3,966,613$ 522,039 3,642,596 2034 - 2038 2028 67,591 2,157,596 561,102 2027 171,539,333$ 3,668,397$ 26,230,894$ 12,533,864 3,766,804$ 124,402 3,120,557 Business-type Activities: 797,355 2025 Principal 179,553 431,615 50,092 48,785 Total 2024 28,004 2,481,004 December 31 24,963,171 1,307 596,110$ 12,299,586 Interest 2,112,049 9,231,116 29,899,291$ 65 4. Lease Revenue and Lease Liability Principal and interest requirements for lease liabilities to maturity are as follows: 5. Subcription-Based Information Technology Arrangements 5. Other Commitments Total assigned from the General Fund balance: Construction commitments for the Water and Sewer Enterprise Funds were $198,000 and $8,700,000, respectively. 6. Contingent Grants 2028 19,004 4,370 23,374 245,137 21,009 266,146 Principal Interest Total 824,937$ 366,145$ 41,736$ 407,881$ Certain City officials are empowered to issue purchase orders and enter into contracts that constitute contractual obligations of the City. For governmental funds, these obligations are included in, and do not exceed, the assigned, committed and restricted fund balances of the respective funds. The Carmel Redevelopment Commission, an integral part of the City, is contingently liable for the issuance of up to $25.5 million of grants, via a community development corporation which is a component unit of the City. The purpose of the contingent grants is to encourage private investment in the area served by the community development corporation. The grants are contingent upon the need to cover payments on loans used to finance the private investment. As of December 31, 2023, no grant payments had been made by the City in connection with these loans. The Administration believes no such payments will be needed in the future. Various claims and lawsuits are pending against the City. At December 31, 2023, the administration believes the amount payable for claims and judgments, if any, is not material in relation to the basic financial statements taken as a whole. The City is lessee on retail space in a certain commercial building, and in turn, the City is a sub-lessor for that commercial space. All rental amounts are fixed. The book value of the leased retail space is $248,762. 14,838$ 98,850$ The City is party to several subscription-based technology arrangements (SBITAs) that provide software for administrative tasks, facial recognition, and other functions. The asset value of these SBITAs as of December 31, 2023 is $704,530, net of amortization of $344,954. Certain of these SBITAs are reasonably certain to continue in force through 2026. Accordingly principal and interest payments are expected to be as follows: 263,600$ 2025 Total Year Ended 4,944 2027 2026 27,217 6,823 34,040 89,996$ 5,328 23,374 2026 2027 Principal Interest - 6,663,002$ Total 738,835$ 74,896$ 18,046 Total December 31 2024 1,040 8,854$ Year Ended 63,285 December 31 65,900 - 93,906 64,860 - 98,850 2024 2025 248,762$ 2029-2033 6,837 70,122 The City did not recognize any outflows of resources in 2023 related to variable payments not previously included in the subscription liability's measurement or for other payments, such as termination penalties, not previously included in the subscription liability's measurement. The City is lessor on certain leases for commercial office space in a building owned by a component unit. Lease terms range up to 10 years, and expected lease renewals range up to an additional 5 years. All rental amounts are fixed. The City recognized $777,416 in inflows of resources related to leases during 2023. 66 7. Limited Recourse Obligations Payable Solely from Property Taxes Generated from a Specific Project Site 2023 Economic Development Revenue Bonds (Franciscan 2023A Project) 2023 Economic Development Revenue Bonds (AT&T Site Redevelopment Project) 2022 Economic Development Revenue Bonds (Lot One Project) 2021 Economic Development Revenue Bonds (North End Project) 2021C Subordinate Economic Development Revenue Bonds (Proscenium) 2021B Senior Economic Development Revenue Bonds (Proscenium 2021ASenior Economic Development Revenue Bonds (Proscenium) 2021B Subordinate Economic Development Revenue Bonds (Signature) 2021A Senior Economic Development Revenue Bonds (Signature) 2021 Economic Development Revenue Bonds (Firehouse Project) 2021 Economic Development Revenue Bonds (The Corner Project) 2021 Economic Development Revenue Bonds (Franciscan Health Project) 2020 Economic Development Tax Increment Revenue Bonds (City Center Phase II) 2020 Economic Development Tax Increment Revenue Bonds (Brookshire Village Shoppes Project) 2018 Tax-Exempt Economic Development Revenue Bonds (KAR Auction Services, Inc.) 2018 Taxable Economic Development Revenue Bonds (Meridian and Main - Indiana Spine Group II Project) 2018 Taxable Economic Development Revenue Bonds (Sunrise on the Monon) 2017 Economic Development Revenue Bonds (Grand & Main - The District) 2015 Economic Development Revenue Bonds (The Olivia on Main) 2011B Subordinate Economic Development Revenue Bonds (Arts District Lofts & Shoppes) 2011A Senior Economic Development Revenue Bonds (Arts District Lofts & Shoppes) 2011 Taxable Economic Development Revenue Bonds (Meridian and Main - Indiana Spine Group I Project) 2011 Taxable Economic Development Revenue Bonds (116th Street Centre Project) 2006B Taxable Economic Development Revenue Bonds (Buckingham-Gramercy Project) 8. Schedule of Outstanding Principal on Advance Refunded Debt Outstanding Amount Outstanding Bonds Taxable Lease Rental Revenue Refunding Bonds, Series 2020A Taxable Lease Rental Revenue Refunding Bonds, Series 2020B Lease Rental Revenue Multipurpose Bonds, Series 2012A Taxable Lease Rental Revenue Multipurpose Bonds, Series 2012B Carmel Bond Bank Lease Rental Refunding Bonds, Series 2016C Carmel Bond Bank Special Program Bonds, Series 2016 E. Risk Management; Claims Changes in the balance of claim liabilities are as follows: Unpaid claims, beginning of fiscal year Incurred claims and changes in estimates Claim payments Unpaid claims, end of fiscal year 1/15/2035 16,368,479 1,480,423$ 2022 Bonds Refunded 2012A LR Multi Bonds 40,515,000 2010A COPS 2023 15,811,018 $ 252,115,000 The City may be exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; job-related illnesses or injuries to employees; medical benefits to employees, retirees, and dependents; and natural disasters. The City administration believes these risks are adequately covered by the purchase of insurance. Settlements in excess of insurance, if any, have not been material in the past three years. 16,769,653 1,480,423$ 1,072,881$ 15,403,476 Refunded Bonds Outstanding 2014 LR Refunding Bonds 2/1/2033 1,970,000 11,230,000 115,900,000$ 2008B Jr. Water 2010C COPs 7/15/2035 The City has chosen to establish a Self Insurance Fund to mitigate the risk of loss related to employee health claims. An excess liability policy through commercial insurance covers individual claims in excess of $225,000 per year. 6/1/2026 Amounts are paid into the Fund by user city departments. Funds are available for claims, claim reserves, and administrative costs of the program. Interfund transfers into the Fund are based upon the actual claims incurred of each department's current year eligible employees. The basis for estimating unpaid claims, including specific incremental claim adjustment expenditures, if any, is a study of actual claims experience in recent past periods. 1/15/2035 53,705,000 Through The City has entered into certain transactions with private firms to redevelop designated real property meeting certain criteria. In these instances, bonds are issued to finance improvements on property designated by the City but owned by the private firm and its affiliates. The bonds are purchased by the same private firm and affiliates. The private firm may supplement these improvements with additional improvements financed from its own resources. As improvements are completed, incremental property tax revenue is generated, and a pre-determined portion of that revenue is applied to the payment of the bonds. This pre-determined share of tax paid by the private firm is the sole source of repayment. There is no recourse to the City if this revenue is inadequate to pay principal and interest on the bonds. The private firm and its affiliates are, in substance, the property owner, the owner of the bonds, and the taxpayer. Accordingly, the bonds are not reported as liabilities of the City in the accompanying financial statements. Following are the currently active transactions of this kind. 1,079,250$ 2010B COPS 2/1/2038 28,795,000 67 F. Pension Plans 1. Single Employer Defined Benefit Pension Plans Plan Descriptions: 14 Benefits provided: - The plans are closed to new entrants. - Fire 14 In addition, each child of the deceased member will receive 20% of the monthly pay of a first-class officer or firefighter. Total benefit for all such beneficiaries may not exceed the pension benefit the deceased member was receiving. In addition to the above benefit, a funeral benefit of $12,000 will be paid to heirs of the deceased member. As established by Indiana law, the boards for the police officers' and firefighters' plans consist of eight and five members, respectively. On each board, the mayor of the City and the chief of each department serve ex officio. On the police board, the Controller of the City also serves ex officio. The remaining members are elected by the active members, police and firefighters, respectively. At least one member of each board must be a retired beneficiary of the respective plan. 2. If retired after December 31, 1985, receives 1% of first-class patrolman salary for each 6 months of service in excess of 20 years. The total benefit may not exceed 74% of first-class salary. - 2. 55% of the benefit the retiree was receiving. Total Plan Members - Active members of the 1925 Police Officers' and 1937 Firefighters' plans had the option of converting to the 1977 Police Officers' and Firefighters' Fund, which is described more fully below. Convertees were given a $10,000 bonus by the State of Indiana for exercising the option to convert. After such a conversion, the member is covered by the benefit structure of the new plan, but the benefits are still financed by the local unit. Of the Carmel members, four retired police officers and three retired firefighters converted. 14 Active members of the 1925 Police Officers' and 1937 Firefighters' plans had the option of participating in the deferred retirement option plan (DROP). Under that plan, an active member could declare in advance a future retirement date. From the time of that declaration, contributions on behalf of that member would have been segregated into a separate fund for his benefit. Upon retirement, the member would have several options with regard to taking the balance in this fund in the form of a lump sum or future payments. The member's regular retirement benefits would be paid as if he had retired on his declaration date. The City has no participants in DROP. Members of the police and fire departments hired prior to May 1, 1977, who retire with 20 or more years of active duty receive fifty percent of the salary of a first-class patrol officer or firefighter plus: Retirees and beneficiaries currently receiving benefits Effectively, benefits are subject to a cost-of-living adjustment because they are tied to current members' salaries, which tend to be adjusted each year, as opposed to the historical salaries of the retirees. Membership in the Plans as of the most recent actuarial valuation was comprised of the following: Police The Municipal Police Officers' 1925 and Firefighters' 1937 Plans are distinct single-employer defined benefit pension plans. The plans are administered by local pension boards. The plans provide retirement, disability, and death benefits to plan members and beneficiaries. The plan administrator does not issue a publicly available financial report that includes financial statements and required supplementary information of the plan. 14 Membership: The plans also offer a disability benefit whereby members of the police and fire departments who have suffered or contracted a mental or physical disease or disability that renders the member unable to perform the essential function of the department will receive the greater of 55% of first-class salary or the pension benefit the member would have received if the member had retired on the disability date. Terminated employees entitled to but not yet receiving benefits 1. If retired prior to January 1, 1986, receives 2% of the first-class salary for each year of service in excess of 20, or; Current active employees 1. 30% of the monthly pay of a first-class patrol officer, or The plans also provide a death benefit for a surviving spouse to receive the greater of 68 Contributions: Net Pension Liability and Pension Expense: Assumptions and Other Inputs Changes in the Net Pension Liability: Changes for the year: Service Cost Interest Changes in Plan Provisions Difference between Expected and Actual Experience Changes in Assumptions Benefit Payments Employer contributions Employee contributions Net transfers into (out of) trust Net investment income Benefit payments Administrative expenses Other Fiduciary net position as a percentage of total pension liability Net Pension Liability Plan Fiduciary Net Position - 138,608$ (646,841) (646,841) - - - '25 Police Officers' Plan - Measurement Date 2.50% 652,291 - Balances as of January 1, 2023 - The plans are administered on a pay-as-you-go basis. Plan members are required by Indiana law to contribute an amount equal to 6 percent of the salary of a first-class patrolman. For the year ended December 31, 2023, the State of Indiana contributed $652,291 to the '25 Police Officers' Plan and $660,527 to the '37 Firefighters' Plan on behalf of the City during the fiscal year. 1977 Plan Converted - - - Mortality and Mortality Improvement 646,841 - - - - (646,841) - December 31, 2023–Police Officers' member census data as of January 1, 2023, and Firefighters' member census data as of January 1, 2023, was used in the valuation. - 343,658 Increase (Decrease) December 31, 2023 - (652,291) 343,658 - Total Pension Liability - - Valuation Date Cost of Living Increase: 8,185,266$ SOA published mortality improvement scale: MP-2021 generational, which projects mortality improvement indefinitely after the 2006 base mortality year beginning with high initial improvement (based on recent experience) and tapering to a lower level of improvement for long-term mortality projections. 1925 or 1937 Plan - 2.50% Discount Rate SOA published mortality table: RP-2014 blue collar mortality table adjusted to 2006 base year. Separate tables for males and female participants. Separate tables for active employees, healthy annuitants, and disabled participants. 4.31% Police Officers; 4.31% Firefighters for 2023 The City's net pension liability of $7,868,952 for the '25 Police Officers' Plan and $9,445,418 for the '37 Firefighters' Plan was measured as of December 31, 2023, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of December 31, 2023. For the year ended December 31, 2023, the City recognized pension expense of $339,408 for the '25 Police Plan and $402,945 for the '37 Firefighters Plan. - Balances as of December 31, 2023 - 8,020,691$ (7,681) 1.89% - - 151,739$ 7,681 - 7,868,952$ - - - 8,323,874$ 69 '25 Police Officers' Plan Fiscal Year End Thereafter Changes in the Net Pension Liability: Changes for the year: Service Cost Interest Changes in Plan Provisions Difference between Expected and Actual Experience Changes in Assumptions Benefit Payments Employer contributions Employee contributions Net transfers into (out of) trust Net investment income Benefit payments Administrative expenses Other Fiduciary net position as a percentage of total pension liability 644,146 - - - - Total Pension Liability - (2,271) 1,618$ 2025 690 Deferred inflows of resources resulting from the differences between projected and actual investment earnings on Plan investments are amortized over a 5-year period. Amounts reported as deferred outflows of resources and deferred inflows of resources will be recognized in pension expense as follows: Changes in assumptions - - Net Pension Liability - 2027 - (172) - - - 1,793$ - - - - Balances as of December 31, 2023 - - 9,468,466$ 9,445,418$ 0.24% 23,048$ 2024 (644,146) (343) - 9,709,184$ - - (644,146) - - - 660,527 2,271 At December 31, 2023, the City reported a net pension liability of $7,868,952 for the '25 Police Officers' Plan. -$ Increase (Decrease) - 403,428 - - For the year ended December 31, 2023, the City recognized pension expense of $339,408, which included net amortization of deferred amounts from liability experience, assumption changes and investment gains and/or losses. At December 31, 2023, the City reported deferred outflows of resources and deferred inflows of resources related to the '25 Police Officers' Plan from the following sources: - - (644,146) - Total 1,793$ - 2026 '37 Firefighters' Plan 9,704,788$ 4,396$ - Balances as of January 1, 2023 Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions: -$ Deferred Outflows of Resources Deferred Inflows of Resources Differences between expected and actual experience -$ 1,793 Net difference between projected and actual earnings on pension plan investments Plan Fiduciary Net Position 403,428 - (660,527) 2028 - 70 '37 Firefighters' Plan Fiscal Year End Thereafter Sensitivity of Net Pension Liability to Changes in the Discount Rate: Participation by State of Indiana ASSETS: Cash and cash equivalents Receivable from State of Indiana Total assets LIABILITIES: payroll withholdings NET POSITION: restricted for pensions $ 23,048 Differences between expected and actual experience -$ -$ 1,466 1% Increase - $ 8,542,842 53,823 (1,466)$ (418) Net difference between projected and actual earnings on pension plan investments '37 Firefighters' Plan 205,563 $ 7,868,952 $ 10,533,288 53,824 - Deferred inflows of resources resulting from the differences between projected and actual investment earnings on Plan investments are amortized over a 5-year period. Amounts reported as deferred outflows of resources and deferred inflows of resources will be recognized in pension expense as follows: (403) - 2027 Deferred Outflows of Resources 2024 - Total -$ 1,466$ 2026 Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions: 2025 53,992 $ 151,739 '37 Fire Pension Trust Fund $ 9,445,418 '25 Police Officers' Plan December 31, 2023 $ 23,049 $ 151,740 The State of Indiana granted substantially all of the funds needed to cover the benefit payments of the 1925 Police Pension Plan and the 1937 Firefighters Pension Plan for the year ended December 31, 2023. The amounts were $652,291 and $660,527, respectively. The State of Indiana is not obligated to make such payments in the future, and the City remains liable for future pension expenditures. '25 Police Pension Trust Regarding the sensitivity of the net pension liability to changes in the single discount rate, the following presents the City's net pension liability, calculated using the single discount rate, as well as what the plan's net pension liability would be if it were calculated using a single discount rate that is 1-percentage-point lower or 1-percentage-point higher: $ 8,618,723 Current Discount Rate $ 7,221,099 77,041 53,993 At December 31, 2023, the City reported a net pension liability of $9,445,418 for the '37 Firefighters' Plan. (166)$ STATEMENT OF FIDUCIARY NET POSITION - PENSION FUNDS For the year ended December 31, 2023, the City recognized pension expense of $402,945, which included net amortization of deferred amounts from liability experience, assumption changes and investment gains and/or losses. At December 31, 2023, the City reported deferred outflows of resources and deferred inflows of resources related to the '37 Firefighters' Plan from the following sources: Deferred Inflows of Resources - Changes in assumptions (479) 1% Decrease 2028 71 STATEMENT OF CHANGES IN FIDUCIARY NET POSITION - PENSION FUNDS ADDITIONS: Employer contributions Investment income Miscellaneous revenue Total additions DEDUCTIONS: Benefits Other services and charges Total deductions NET INCREASE (DECREASE) IN NET POSITION NET POSITION: beginning NET POSITION: ending - restricted for pensions 2. Cost-Sharing Multiple-Employer Defined Benefit Pension Plan Public Employees' Retirement Fund (PERF) Plan Description: 1. 2. All other civilian employees of the City (City). Benefits Provided: Full Retirement Benefit At age 65 with at least 10 years of creditable service (eight years for certain elected officials). At age 60 with at least 15 years of creditable service. At age 55 if age and creditable service total at least 85 (“Rule of 85”). At age 55 with 20 years of creditable service and active as an elected official in the PERF-covered position. At age 70 with 20 years of creditable service and still active in the PERF-covered position. Early Retirement Benefit Disability Benefit Survivor Benefit For the Fiscal Year Ended December 31, 2023 Age 50 and minimum of 15 years of creditable service (44 percent of full benefit at age 50, increasing five percent per year up to 89 percent at age 59). 7,581 '25 Police Pension Trust Employees who are compensated through the Parks Department of the General Fund and through certain other funds committed or restricted for parks (Park). $ 151,740 2,271 $ 23,048 646,628 13,133 138,607 The City contributes to the Public Employees' Retirement Fund (PERF), which is administered by the Indiana Public Retirement System (INPRS). It is a cost-sharing, multiple-employer defined benefit plan. PERF provides retirement, disability, and survivor benefits to full-time employees of state agencies, as well as those local political subdivisions that elect to participate, including the City of Carmel. 644,146 649,698 Members who have service in both PERF DB and either TRF Pre-'96 DB or TRF '96 DB, have the option of choosing from which of these funds they would like to retire. The City plan is allocated between governmental and business-type activities based on the percentage of total civilian (non-uniformed) PERF expenditures during the City's fiscal year ended December 31. An active member qualifying for Social Security disability with five years of creditable service may receive an unreduced retirement benefit for the duration of their disability (minimum of $180 per month). 2,857 4,396 City participants are viewed by INPRS to be classified into two groups, solely for purposes of actuarial evaluation: 2,482 646,841 18,653 2,483 If a member dies after June 30, 2018, a spouse or dependent beneficiary of a member with a minimum of 10 years of creditable service receives a benefit as if the member retired the later of age 50 or the age the day before the member’s death. If a member dies while receiving a benefit, a beneficiary receives the benefit associated with the member’s selected form of payment: Five Year Certain & Life, Joint with 100 percent Survivor Benefits, Joint with Two-Thirds Survivor Benefits, or Joint with One-Half Survivor Benefits. 665,281 2,959 $ 660,527 662,831 $ 652,291 '37 Fire Pension Trust Fund 72 Contribution Rates: Actuarial Assumptions and Inputs: Significant actuarial assumptions and other inputs used to measure the total pension liability: Type of Plan The Public Employees’ Retirement Fund is a cost-sharing multiple-employer plan for GASB accounting purposes. Measurement Date June 30, 2023 Valuation Date Assets:June 30, 2023 Liabilities: Price Inflation 2.00% per year Future Salary Increases 2.65% - 8.65% based on years of service Cost-of-Living Increases As of June 30, 2023: As of June 30, 2022: Mortality Assumption Experience Study Members in pay status were granted a 1.00% COLA on January 1, 2022 and no COLA on January 1, 2023. Thereafter, the following COLAs, compounded annually, were assumed: Disables – General Disabled table with a 140% load. 0.4% beginning on January 1, 2024 0.5% beginning on January 1, 2034 0.6% beginning on January 1, 2039 The most recent comprehensive experience study, based on member experience between June 30, 2014 and June 30, 2019, was completed in February 2020. The demographic assumptions were approved by the Board in June 2020 and were used beginning with the June 30, 2020 actuarial valuation. Economic assumptions were updated and approved by the Board in May 2021 following the completion of an Asset-Liability study and first used in the June 30, 2021 actuarial valuation. June 30, 2022 – The TPL as of June 30, 2023 was determined based on an actuarial valuation prepared as of June 30, 2022 rolled forward one year to June 30, 2023, using the following key actuarial assumptions and other inputs, such as benefit accruals and actual benefit payments during that time period. Pub-2010 Public Retirement Plans Mortality Tables (Amount-Weighted) with a fully generational projection of mortality improvements using SOA Scale MP-2019.Healthy Employees – General Employee table with a 3 year set forward for males and a 1 year set forward for females. Beneficiaries – Contingent Survivor table with no set forward for males and a 2 year set forward for females. No COLA was granted for the 2023-2025 biennium. Thereafter, the following COLAs, compounded annually, were assumed: 0.4% beginning on January 1, 2026 0.5% beginning on January 1, 2034 0.6% beginning on January 1, 2039 Retirees – General Retiree table with a 3 year set forward for males and a 1 year set forward for females. The employer defined contribution rate is based on an actuarial valuation and is adopted, and may be amended, by the INPRS Board. For 2023, the City contributed 11.2% of employee compensation to the plan. The employee contribution is set by statute at 3% of compensation. The employer may choose to make the contributions on behalf of its participating employees, which the City has elected to do. In addition, under certain circumstances, employees may elect to make additional voluntary contributions of up to 10% of their compensation. An employee's contribution and interest credits belong to the employee and do not belong to the State or the City. At December 31, 2023, the City reported a liability of $14,679,206 for its proportionate share of the City net pension liability and a liability of $2,175,481 for its proportionate share of the Park net pension liability. The City's proportionate share of the net pension liability was based on the City's wages as a proportion of total wages for the plan. The proportionate share used at the June 30, 2023, measurement date was 0.0041592 for the City plan and 0.0006164 for the Park plan. Proportionate Share of the Net Pension Liability: The City's contribution to the plan for the year ending December 31, 2023, was $3,916,037 for City participants and $333,379 for the Park participants, which was equal to the required contributions for the year. 73 Discount Rate 6.25%, net of investment expenses Discount Rate Sensitivity 2023 City 2023 Park Classes of Plan Members Covered Money-Weighted Rate of Return Changes in the Net Pension Liability: Changes for the year: Changes in Proportion Service Cost Interest Cost Experience (Gains)/Losses Assumption Changes Plan Amendments Benefit Payments Service Purchases: Employer Contributions Employee Contributions Member Reassignments Employer Contributions Non-employer Contributions Employee Contributions Net Investment Income Administrative Expenses Other Net Changes 90,238 - (90,238) Balances as of December 31, 2023 76,592,701$ 61,913,495$ 181,987 74,370,664$ 1,650,095 14,679,206$ 12 (12) - - - 4,615,441 - 61,341,554$ 4,615,441 - - 181,987 - - 2,824,312 (2,824,312) - - 2,222,037 - 1,525,671 (1,525,671) 15,813 Net Pension Liability Balances as of January 1, 2023 (4,095,808) - - 571,941 - 1,024,116 88,307 865 865 - Plan Fiduciary Net Position 13,029,111$ (24,440) (24,440) - 5.25% - 1,024,116 6,972,166$ 14,679,206$ (4,095,808) The discount rate is equal to the expected long-term rate of return on plan investments, net of investment expense and including price inflation. There was no change in the discount rate from the prior measurement date. 7.25% - - - - 15,813 The net pension liability (asset) is sensitive to changes in the discount rate. To illustrate the potential impact, the following table presents the net pension liability of each defined benefit pension plan calculated using the discount rate of 6.25 percent, as well as what each plan's net pension liability would be if it were calculated using a discount rate that is one percentage point lower (5.25%) or one percentage point higher (7.25%) than the current rate: 6.25% City Plan Increase (Decrease) 1% Decrease Total Pension Liability 1,033,286$ 1% Increase The money-weighted rate of return equals investment performance, net of pension plan investment expense, adjusted for the changing amounts actually invested. For the fiscal year ending June 30, 2023, the moneyweighted return on the plan assets is 2.5%. The June 30, 2023 valuation was performed using census data provided by INPRS as of June 30, 2022. Standard actuarial techniques were used to roll forward the total pension liability computed as of June 30, 2022, to the June 30, 2023 measurement date using actual benefit payments during that period of time. 3,545,344$ 23,922,442$ Current Rate The INPRS Board of Trustees has established a funding policy of setting the employer contribution rate equal to the greater of 11.2% (the current contribution rate) or a rate equal to the actuarially determined contribution rate, which is based on the assumptions and methods selected by the Board for the annual actuarial valuations and projected covered member payroll. The June 30, 2023 actuarial valuation assumes a long-term rate of return on assets of 6.25%, a 20-year level dollar closed method for amortizing the future layers of unfunded actuarial accrued liability (30 years for amortization layers established prior to June 30, 2016), and a 5-year smoothing method for recognizing investment gains and losses in the actuarial value of assets. 2,175,481$ In the past several years, the Board has followed its current funding policy and the State has complied in its contributions to the plan. Therefore, if past practice is continued, the appropriations will be sufficient to fully fund the plan within 10 to 20 years. Deterministic projections indicate the actuarially determined contribution rate will decline over the coming years. As a result, it is presumed that the projected plan assets will be sufficient to cover the future benefit payments for current members and a detailed projection of plan assets and cash flows has not been prepared. - - 504,061 415,754 74 Changes for the year: Changes in Proportion Service Cost Interest Cost Experience (Gains)/Losses Assumption Changes Plan Amendments Benefit Payments Service Purchases: Employer Contributions Employee Contributions Member Reassignments Employer Contributions Non-employer Contributions Employee Contributions Net Investment Income Administrative Expenses Other Net Changes Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions: City Net difference between projected and actual earnings on pension plan investments At December 31, 2023, the City reported a net pension liability of $14,679,206 for the City Plan and $2,175,481 for the Parks Plan. Balances as of December 31, 2023 800,486 6,729,081$ 17,124 - 17,124 17,124$ Deferred Outflows of Resources 4,634,680 Differences between expected and actual experience 11,351,159$ 9,175,678$ 151,776 - Net Pension Liability Parks Plan Increase (Decrease) Total Pension Liability Plan Fiduciary Net Position - 505,843 684,016 (13,373) 13,373 - 128 2,344 - - - (607,005) - - - 169,348 Deferred Inflows of Resources (3,622) - - - - - For the year ended December 31, 2023, the City recognized pension expense of $3,123,913 for the City plan and $427,414 for the Park plan. Pension expense included net amortization of deferred amounts described below. At December 31, 2023, the City reported deferred outflows of resources and deferred inflows of resources related to the PERF Hybrid Plan from the following sources: -$ 2,175,481$ (226,107) (2) 151,776 26,971 - (418,567) (3,622) Changes in assumptions Balances as of January 1, 2023 9,530,362$ 7,860,723$ Changes in proportion and differences between City contributions and proportionate share of contributions - 26,971 (607,005) 3,364,514 418,567 300,332$ - 2,344 - 128 - 2,094,401 2 - - 1,820,798 1,314,955 226,107 Total that will be recognized in pension expense (income) based on the table below Total - Pension contributions subsequent to measurement date - - 684,016 - 1,669,639$ - 1,566,191 1,291,808 274,383 75 Parks Pension Plan Report and Fiduciary Net Position: Plan Description: Benefits Provided: Contributions and Funding Policy: 65,246 Net difference between projected and actual earnings on pension plan investments Deferred Outflows of Resources - 1,625,832$ Amount Amount 168,501 2024 118,633 - -$ The 1977 Police Officers' and Firefighters' Pension and Disability Fund is a cost-sharing, multiple-employer defined benefit pension plan administered by the Indiana Public Retirement System (INPRS) for all police officers and firefighters hired (or rehired) after April 30, 1977. 830,270 The funding policy for the 1977 Fund requires remittances of member and employer contributions based on percentages of the salary of a first-class officer or firefighter and not on actual payroll. The employer contribution rate is actuarially determined. The required contributions are determined and may be amended by the INPRS Board of Trustees. Since the 1977 Fund is a cost-sharing pension plan, all risks and costs, including benefit costs, are shared proportionately by the participating employers. For the fiscal year 2023, plan members were required to contribute 6 percent and participating employers were required to contribute 19.1 percent of the first-class officers' and firefighters' salary. Employers may elect to pay all or part of the contribution for the member. 2028 167,053 44,510$ 458,273 2025 The total pension liability is determined by INPRS actuaries in accordance with GASB No. 67 and No. 68, as part of their annual actuarial valuation for each defined benefit retirement plan. Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts (e.g., salaries, credited service) and assumptions about the probability of occurrence of events far into the future (e.g., mortality, disabilities, retirements, employment terminations). Actuarially determined amounts are subject to continual review and potential modifications, as actual results are compared with past expectations, and new estimates are developed. Key methods and assumptions used in calculating the total pension liability in the latest actuarial valuations are presented below. 67,918 4,617,556$ 1977 Police Officers' and Firefighters' Pension and Disability Fund Total that will be recognized in pension expense (income) based on the table below - Changes in proportion and differences between City contributions and proportionate share of contributions - Thereafter 103,114$ 2027 Pension contributions subsequent to measurement date 366,896 Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: 103,114 Total 997,323$ Contributions subsequent to the June 30, 2023, measurement date of the net pension liability, but before the end of the employer's reporting period, are recognized as a reduction of the net pension liability in the subsequent fiscal period rather than in the current fiscal period. - Changes in assumptions Deferred Inflows of Resources 498,626 Total 727,156$ 301,769 - Parks 103,114 Differences between expected and actual experience - The fund provides retirement, disability, and survivor benefits to full-time sworn officers of a police force of an Indiana city or eligible town, along with full-time firefighters employed by an Indiana city, town, township, or county. Administration of the fund is generally in accordance with Indiana Code Article 36-8 and Indiana Administrative Code Article 35-2, other Indiana pension law. 2026 City 227,096$ Year Ending December 31, 2,231,682 Detailed information about the pension plan's fiduciary net position is available in a stand-alone financial report of INPRS that includes financial statements and required supplementary information for the plan as a whole. This report may be obtained by writing the Indiana Public Retirement System, One North Capitol, Suite 001, Indianapolis, Indiana 46204, by calling (844) GO-INPRS, by emailing questions@inprs.in.gov, or by visiting www.in.gov/inprs. 76 Actuarial Assumptions and Inputs: Significant actuarial assumptions and other inputs used to measure the total pension liability: Type of Plan The 1977 Police Officers’ and Firefighters’ Retirement Fund is a cost-sharing multiple-employer plan for GASB accounting purposes. Measurement Date June 30, 2023 Valuation Date: Assets June 30, 2023 Liabilities Price Inflation Future Salary Increases Cost-of-Living Increases As of June 30, 2023: As of June 30, 2022: Mortality Assumption Experience Study Discount Rate 6.25%, net of investment expenses The City's contribution to the plan for the year ending December 31, 2023, was $2,609,695 for police participants and $3,103,078 for fire participants, which was equal to the required contributions for the year. 2.65% Beneficiaries – Contingent Survivor table with no set forward for males and a 2-year set forward for females. June 30, 2022 – The TPL as of June 30, 2023 was determined based on an actuarial valuation prepared as of June 30, 2022 rolled forward one year to June 30, 2023, using the following key actuarial assumptions and other inputs, such as benefit accruals and actual benefit payments during that time period. Pub-2010 Public Retirement Plans Mortality Tables (Amount-Weighted) with a fully generational projection of mortality improvements using SOA Scale MP-2019. Disables – General Disabled table. At December 31, 2023, the City reported a liability of $11,524,436 for police and a liability of $14,234,466 for fire for its proportionate share of the net pension liability. The City's proportionate share of the net pension liability was based on the City's wages as a proportion of total wages for the plan. The proportionate share used at the June 30, 2023, measurement date was 0.0112496 for police and 0.013895 for fire. Retirees – Safety Retiree table with a 3-year set forward for males and a 1 year set forward for females. Proportionate Share of the Net Pension Liability: 1.95% compounded annually, beginning July 1, 2023. Actual COLA increases at July 1, 2021 (1.9%) and July 1, 2022 (3.0%) are reflected in the valuation. The discount rate is equal to the expected long-term rate of return on plan investments, net of investment expense and including price inflation. There was no change in the discount rate from the prior measurement date. 2.00% 1.95% compounded annually, beginning July 1, 2024. Actual COLA increases at July 1, 2022 (3.0%) and July 1, 2023 (3.0%) are reflected in the valuation. The most recent comprehensive experience study, based on member experience between June 30, 2014 and June 30, 2019, was completed in February 2020. The demographic assumptions were approved by the Board in June 2020 and were used beginning with the June 30, 2020 actuarial valuation. Economic assumptions were updated and approved by the Board in May 2021 following the completion of an Asset-Liability study and first used in the June 30, 2021 actuarial valuation. The INPRS Board of Trustees has established a funding policy of setting the employer contribution rate equal to the greater of 20.3% (the current contribution rate) or a rate equal to the actuarially determined contribution rate, which is based on the assumptions and methods selected by the Board for the annual actuarial valuations and projected covered member payroll. The June 30, 2023 actuarial valuation assumes a long-term rate of return on assets of 6.25%, a 20-year level dollar closed method for amortizing the future layers of unfunded actuarial accrued liability (dropped below 100% funded as of June 30, 2019), and a 5-year smoothing method for recognizing investment gains and losses in the actuarial value of assets. 77 Discount Rate Sensitivity 2023 Police 2023 Fire Classes of Plan Members Covered Money-Weighted Rate of Return Changes in the Net Pension Liability: Changes for the year: Changes in Proportion Service Cost Interest Cost Experience (Gains)/Losses Assumption Changes Plan Amendments Benefit Payments Service Purchases: Employer Contributions Employee Contributions Member Reassignments Employer Contributions Non-employer Contributions Employee Contributions Net Investment Income Administrative Expenses Other Net Changes 1% Increase (3,477,218) 2,178,984 The net pension liability (asset) is sensitive to changes in the discount rate. To illustrate the potential impact, the following table presents the net pension liability of each defined benefit pension plan calculated using the discount rate of 6.25 percent, as well as what each plan's net pension liability would be if it were calculated using a discount rate that is one percentage point lower (5.25%) or one percentage point higher (7.25%) than the current rate: 4,028 5.25% - 5,871,719 89,608,122$ - 11,524,436$ - Police Plan Increase (Decrease) - Net Pension Liability (2,203) - 872,127 - (27,326) 27,326 - (2,203) - 2,167,794 (2,167,794) 4,028 - 3,060 (3,477,218) - 7.25% 26,853,237$ 33,167,910$ 7,009,627$ The money-weighted rate of return equals investment performance, net of pension plan investment expense, adjusted for the changing amounts actually invested. For the fiscal year ending June 30, 2023, the moneyweighted return on the plan assets is 2.5%. 14,234,466$ 11,524,436$ 872,127 6.25% - 82,598,494$ - The June 30, 2023 valuation was performed using census data provided by INPRS as of June 30, 2022. Standard actuarial techniques were used to roll forward the total pension liability computed as of June 30, 2022 to the June 30, 2023 measurement date using actual benefit payments during that period of time. 96 (96) 9,347,058 2,516,000 (851,701)$ Total Pension Liability Plan Fiduciary Net Position Balances as of January 1, 2023 - - - - 703,935 - 2,516,000 5,871,719 - (1,051,982)$ - 4,832,249 4,514,809 3,060 - Balances as of December 31, 2023 98,955,180$ 87,430,743$ (703,935) - 3,281,099 (2,178,984) - 1% Decrease Current Rate 3,559,546 278,447 78 Changes for the year: Changes in Proportion Service Cost Interest Cost Experience (Gains)/Losses Assumption Changes Plan Amendments Benefit Payments Service Purchases: Employer Contributions Employee Contributions Member Reassignments Employer Contributions Non-employer Contributions Employee Contributions Net Investment Income Administrative Expenses Other Net Changes Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions: Police - 3,780 - - - 1,077,212 - - (33,752) - 1,077,212 - Increase (Decrease) 7,252,483 Firefighters Plan Net Pension Liability - 7,252,483 - 3,785,892$ 2,677,562 - - - 4,724,051 (2,721) 2,594,476 11,160,231 269,477 170,601 - - 75,787 At December 31, 2023, the City reported a net pension liability of $11,524,436 for the Police Plan and a net pension liability of $14,234,466 for the Firefighters Plan. - 869,469 (869,469) - 3,780 33,752 Net difference between projected and actual earnings on pension plan investments 119 Deferred Outflows of Resources Total that will be recognized in pension expense (income) based on the table below (2,721) 1,327,854 (2,677,562) 55,812 - 8,841,169$ 3,107,650 4,975 3,107,650 12,488,085$ 269,477$ Total - (119) Changes in assumptions 4,975 1,893,999 - 14,234,466$ 2,691,383 Plan Fiduciary Net Position 9,203,206 3,809,910 5,393,296 107,990,522$ - - (2,691,383) Balances as of January 1, 2023 113,021,782$ 2,054,731 104,180,612$ (4,294,903) - - (4,294,903) Deferred Inflows of Resources 23,089$ Differences between expected and actual experience Pension contributions subsequent to measurement date Changes in proportion and differences between City contributions and proportionate share of contributions For the year ended December 31, 2023, the City recognized pension expense of $3,970,352 for police and $4,911,097 for fire, which included net amortization of deferred amounts described below. At December 31, 2023, the City reported deferred outflows of resources and deferred inflows of resources related to the 1977 Plan from the following sources: Balances as of December 31, 2023 122,224,988$ 160,732 Total Pension Liability 79 Firefighters Pension Plan Report and Fiduciary Net Position: G. Other Post-Employment Benefits Single-Employer Defined Benefit Healthcare Plan Plan Description 3,204,580 2027 The Plan is closed to new entrants. Employees hired or disabled on or after October 3, 2016, are not eligible (except for those killed or disabled in the line of duty). Changes in proportion and differences between City contributions and proportionate share of contributions - The City offers other post-employment benefits (OPEB) in the form of health insurance, in addition to pensions described elsewhere herein. OPEB is authorized by the Common Council of the City, subject to annual appropriation. Eligible retirees are those who retire from the City of Carmel with at least 20 years of creditable employment with a public employer. If any of the years of creditable employment includes employment with other public employers besides the City of Carmel, then the retiree must also be at least age 55 in order to be eligible. 2024 4,182,033 Deferred Inflows of Resources 10,890,754$ 1,538,843 Differences between expected and actual experience 505,696 2,003,166$ 99,497 2026 Total Total that will be recognized in pension expense (income) based on the table below 28,519$ 4,676,163$ 13,815,175 The Plan is allocated between governmental and business-type activities based on the percentage of total personal services expenditures during the City's fiscal year ended December 31. Changes in assumptions - 210,719 Pension contributions subsequent to measurement date 5,834,935 Detailed information about the pension plan's fiduciary net position is available in a stand-alone financial report of INPRS that includes financial statements and required supplementary information for the plan as a whole. This report may be obtained by writing the Indiana Public Retirement System, One North Capitol, Suite 001, Indianapolis, Indiana 46204, by calling (844) GO-INPRS, by emailing questions@inprs.in.gov, or by visiting www.in.gov/inprs. Year Ending December 31, 1,015,441 2,484,582$ 634,345 Fire Amount Net difference between projected and actual earnings on pension plan investments 15,354,018$ Contributions subsequent to the June 30, 2023, measurement date of the net pension liability, but before the end of the employer's reporting period, are recognized as a reduction of the net pension liability in the subsequent fiscal period rather than in the current fiscal period. 1,266,260 Deferred Outflows of Resources 1,490,657 58,437 1,852,809 5,176,772 Thereafter 2028 1,693,761 2025 297,675$ Other amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows: Police Amount 2,102,732 13,517,500$ The Carmel Postretirement Benefit Plan (Plan) is a single-employer defined benefit healthcare insurance program. It is a preferred provider organization plan that provides comprehensive major medical benefits to eligible retirees, their spouses, and dependents. The Plan also provides dental and vision components. 297,675 80 Employees Covered By Benefit Terms At December 31, 2023, the following members were projected to be covered by the terms of the plan: Inactive plan members currently receiving benefit payments Inactive plan members entitled to but not yet receiving benefit payments Active plan members: fully eligible Total Total OPEB Liability Changes in the Total OPEB Liability: Balances at January 1, 2023 Changes for the Year Service Cost Interest Changes in Plan Provisions Difference between Expected and Actual Experience Changes in Assumptions Total OPEB Net Changes Balances at December 31, 2023 Sensitivity of the Total OPEB Obligation to Changes in the Discount Rate: Total OPEB Liability Total OPEB Liability 1,095,242 Spousal coverage continues after the death of the retiree or after the retiree becomes eligible for Medicare, and ends at the spouse's Medicare eligibility date. 1% Decrease Current Rate 1% Increase 36,101,425$ 33,248,999$ 30,642,948$ Deductibles, out-of-pocket limits, and employee contributions are assumed to increase annually at the medical care cost trend rate. The Lifetime Maximum was not increased. 77 - The Plan is funded on a pay-as-you-go basis. No irrevocable trust has been established to fund the Plan. Accordingly, no trust fund financial statements are published. The Plan issues no separate reports. - 364 For the year ended December 31, 2023, the City contributed $1,563,662 to the Plan for current premiums. Coverage ends for the retiree at the retiree's Medicare eligibility date. Under this method, actuarial gains (losses), as they occur, reduce (increase) the Total OPEB Liability and are explicitly identified and amortized in the annual expense. 441 The Entry Age Normal Actuarial Cost Method used in the current OPEB actuarial valuation is unchanged from the prior OPEB actuarial valuation. The committed fund balance of the Health Self Insurance Fund includes $435,738 to cover future claims of the OPEB plan. The commitment is not irrevocable, and the underlying assets are not legally protected from the creditors of the City. Increases (decreases) in liabilities due to benefit changes, actuarial assumption changes and/or actuarial method changes are also explicitly identified and amortized in the annual expense. 25,436,804$ The City contributes 50% of the employee-spouse premium for a retiree who has 20 years of service with the City, plus 1% for each additional six months of service, to a maximum of 75% of the cost of medical and dental coverage. A retiree with employee-only (or spouse-only, if the retiree is over 65) is eligible to receive 50% to 75% of the employee-only (or spouse-only) premium using the same formula. The City’s contribution will not exceed $900 per month (up to $10,800 per year). Retiree contributions for a married couple that works for the City are based on service of the individual employed for the longer period of time (not to exceed 75% of the total premium). The City contributes 100% of the premium for medical and dental coverage for those who are killed in the line of duty with no maximum contribution. The City pays 50% for work-related disabilities. All other retirees pay 100% of the premium rate. 5,029,435 The following presents the total OPEB liability of the Employer, as well as what the Employer's total OPEB liability would be if it were calculated using a discount rate that is 1-percentage point lower or 1-percentage-point higher than the current discount rate: 7,812,194 Net Benefits Paid by Employer Under this method, as used in the December 31, 2023, OPEB valuation, the Actuarial Present Value (APV) of Benefits (APVB) of each individual included in the valuation is allocated on a level basis over the earnings of the individual between entry age and assumed exit age(s). The employer portion of this APVB allocated to a valuation year is the Employer Normal Cost. The portion of this APVB not provided for at a valuation date by the APV of Future Employer Normal Costs is the Total OPEB Liability. 33,248,998$ 756,690 (1,563,662) 2,494,489 81 Sensitivity of the Total OPEB Obligation to Changes in the Healthcare Cost Trend Rate: Total OPEB Liability OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB Liability Experience Losses / (Gains) Changes in Assumptions Investment Losses / (Gains) Measurement Date December 31, 2023 Valuation Date December 31, 2023 Cost Method Entry Age Normal (Level % of Pay) Economic Assumptions Discount rate Discount rate basis The following presents the total OPEB liability of the Employer, as well as what the Employer's total OPEB liability would be if it were calculated using healthcare cost trend rates that are 1-percentage point lower or 1-percentage-point higher than the current healthcare cost trend rates: Benefit-related costs are based on an established pattern of practice. Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the Plan and the annual required contributions of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The Schedule of Funding Progress, presented as required supplementary information following the notes to the basic financial statements, presents multiyear trend information about whether the actuarial value of Plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits. 4.00% per annum as of December 31, 2023 5,322,027$ 2027 2025 2026 949,109$ 8,132,730$ 1% Increase Thereafter 2028 36,192,186$ 2024 30,676,955$ (117,711) Deferred Inflows of Resources - (117,711) 33,248,999$ Amount 9,081,840$ The Required Supplementary Information immediately following the Notes to the Financial Statements presents multi-year trend information about whether the actuarial value of Plan assets is increasing or decreasing over time relative to the actuarial accrued liability for benefits. 4.31% per annum as of December 31, 2022 Current Rate 2.25% per annum as of December 31, 2021 Total 1,537,664 (117,711)$ *The S&P Municipal Bond 20 Year High Grade Rate Index consists of bonds in the S&P Municipal Bond Index with a maturity of 20 years. Eligible bonds must be rated at least AA by Standard and Poor's Ratings Services, Aa2 by Moody's or AA by Fitch. If there are multiple ratings, the lowest rating is used. For the year ended December 31, 2023, the City recognized OPEB expense of $1,734,221. OPEB expense represents the change in the total OPEB liability during the measurement period, adjusted for actual contributions and the deferred recognition of changes in investment gain/loss, and actuarial assumptions or method. At December 31, 2023, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources: S&P Municipal Bond 20-Year High Grade Rate Index* 2,525,157$ 1% Decrease At December 31, the deferred outflows / (inflows) of resources based on obligations for the Plan are as follows: Year Ending December 31, Deferred Outflows of Resources - 6,556,683 2,810,703 (117,711) Actuarial Methods and Assumptions (117,711) 82 Coverage rate Spouses Disability Mortality: Civilian employees Police and fire employees Mortality improvement Termination Rates: Civilian Rates Retirement Rates: Per capita claims cost: Annual Healthcare Trend: 708 6.75% 6.50% 6.25% 852 852 852 852 18,726 22,974 Retirees Retiree 9,328$ 10,765 13,025 HDHP 8,949$ 19,762 Dental Future Medical, Pharmacy, & Vision Spouse 708$ 5.0% 15.0% 22.0% 5.0% PPO Plan B CivilianPublic SafetyAge 45-49 50 51-54 55 56-59 60-61 62 63-64 65 66-69 70-74 DentalMedical 5.8% 5.5% 5.3% 5.0% 708 708 55 60 64 7.00% Year 7 8 1,608 5 10 15 20+ 5.50% Years of Service 15,453 18,959 40 45 100.0% 100.0% 100.0% 0.0% None assumed. Retired participants: Age and marital status based on actual census data. 80% of eligible employees are assumed to be covered in the plan at retirement. 7.5% 10.0% 30.0% 20.0% 30.0% 100.0% 852$ 852 708 Plan A 27,199 Public Safety Age Rates 1.90% 1.70% 1.80% 80.00% 40.00% 10.00% 10,328 10 11 12+ 4.0% 4.75% 4.50% 4.25% 3.50% 2.75% 30.0% 100.0% Age 0.00% 0 1 2 3 4 5.0% Active participants: 35% are assumed to cover a spouse, with male spouses three years older than female spouses. SOA published mortality table: Pub-2010 General Employees amount weighted mortality table. Separate tables for males and female participants. Separate tables for active employees, healthy annuitants, contingent survivors, and disabled participants. Medical Dental 9 12,515 0.00% 20 25 30 35 40 45 50 55 60+ 5.25% 5.00% 12,496 15,142 10,844$ SOA published mortality table: Pub-2010 Safety Employees amount weighted mortality table. Separate tables for males and female participants. Separate tables for active employees, healthy annuitants, contingent survivors, and disabled participants. 75+ 1.5% 1.5% 7.0% 15.0% 20.0% 20.0% 50.0% 50 7.25% 708 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0% 4.0%4.0% 4.8% 4.5% 22,445 23,396 6.00% Year 1 2 3 4 5 6 SOA published mortality improvement scale: MP-2021 (MP-2019 at December 31, 2019) 0.00% 0.00% 83 H. Schedule of Aggregate Amounts – Single-employer and Cost Sharing Multiple-employer Defined Benefit Pension Plans Total pension liability Plan net position Net pension liability Deferred outflows of resources Deferred inflows of resources Pension expense Total pension liability Plan net position Net pension liability Deferred outflows of resources Deferred inflows of resources Pension expense I. Deferred Compensation Plan 688,856$ 1,793$ 9,468,466$ 1937 Firefighters' 59,927,960$ 9,729,259 7,965,429 44,218,808 2,306,731$ 1,888,541$ 10,483,933$ 1,057,427$ 865,724$ Officer's Pension Water Utility 195,421,263 Public Employees' 9,853,970$ The City offers its employees certain deferred compensation plans established in accordance with Internal Revenue Code Sections 401(a) and 457(b). The plans are available to all City employees and permits them to defer a portion of their salary until future years. The deferred compensation is not available to employees until termination, retirement, death or unforeseeable emergency. All assets of the plans are, until paid or made available to the employee or other beneficiary, held in trust and are not subject to claims of the City's general creditors. Therefore, the assets of the plans are not reported. The City's liability to each participant is equal to the participant's deferred compensation, adjusted by an amount equal to the investment performance in the related asset account. The City has no liability for losses under the plans but does have the duty of due care that would be required of an ordinary prudent investor. Investments are managed by a trustee and investment decisions are made by individual employees. 9,445,418$ 326,613,184$ 87,943,860$ -$ 7,726,404$ 339,408$ 13,175,129$ 490,900$ 120,238$ Retirement 103,114$ 427,414$ 2,175,481$ 120,238$ 2,231,109$ Public Employees' 71,089,174 16,854,686$ 7,726,404$ 2,691$ 2,203$ 997,323$ 12,230$ 87,943,860$ 4,805,930$ 54,702,741$ 8,020,691$ 221,180,167$ Sewer Utility 402,945$ City Plan 12,035,990$ 35,570,300$ City- All OtherParks 27,842,103$ 7,868,952$ Retirement* 1925 Police 16,854,686$ Pension 1977 Police Officers' and Firefighters' Pension and Disability 1,466$ Total 11,351,159$ *Additional detail provided below. The Public Employees' Retirement Fund is first classified by INPRS by (1) Parks employees (Parks) and (2) all other Civilian employees of the City (City). The City plan is then allocated between governmental and business-type activities based on the percentage of total civilian (non-uniformed) PERF expenditures during the City's fiscal year ended December 31. 9,175,678 3,551,327$ 567,152$ 8,881,449$ -$ Total 23,048 71,089,174 266,685,224 401,904$ 151,739 25,758,904$ 3,551,327$ 84 J. Interfund Receivables and Payables The composition of the interfund balances as of December 31, 2023 is as follows: Due to/from other funds Receivable Fund Payable Fund Nonmajor governmental fund Nonmajor governmental fund Motor Vehicle Highway Fund Storm Water Fund Total among governmental funds Water Enterprise Fund Sewer Enterprise Fund Sewer Enterprise Fund Water Enterprise Fund Total among proprietary funds Storm Water Fund Water Enterprise Fund 364,371$ 364,371 Amount 835,771 74,586$ 629,434$ 1,465,205$ Total among governmental and proprietary funds $ The Motor Vehicle Highway Fund is due $74,586 from the Storm Water Fund to comply with an ordinance requiring certain transfers. Water Utility invoices include charges for Sewer and Storm Water, and these charges are remitted as collected, one month in arrears. The Sewer Utility recognizes a long-term liability due to the Water Utility for its share of the Water Utility's 2020 revenue bond. K. Subsequent Events On April 16, 2024, the City received an extension financing of the $17,745,000 City of Carmel Utility Bond Anticipation Notes of 2019. The revised final maturity date is now July 31, 2024, early redemption is prohibited. 74,586$ 74,586$ 85 2023 2022 2021 2020 2019 2018 2017 Total OPEB Liability Service Cost 756,690$ 1,171,141$ 1,415,051$ 1,831,489$ 1,420,618$ 1,519,286$ 1,330,012$ Interest Cost 1,095,242 625,309 1,012,016$ 994,250$ 1,002,886$ 861,028$ 1,029,979$ Projected Earnings on Plan Investments - - - - - - - Changes in Plan Provisions - - - - - - - Administrative Expenses - - - - - - - Other Changes in Plan Fiduciary Net Position - - - - - - - - - - - - - - Differences between Expected and Actual Experience 2,494,490 210,816 (6,005,917)$ (930,479)$ (107,011)$ (787,315)$ (418,473)$ Changes in Assumptions 5,029,435 (2,675,315) 1,983,945$ -$ 1,205,476$ (676,338)$ (1,046,528)$ (1,563,662) (1,030,964) (973,405)$ (906,212)$ (884,567)$ (539,334)$ (413,786)$ Net Changes in Total OPEB Liability 7,812,195 (1,699,013) (2,568,310) 989,048 2,637,402 377,327 481,204 Total OPEB Liability - Beginning 25,436,804 27,135,818 29,704,128 28,715,080 26,077,678 25,700,351 25,219,147 Total OPEB Liability - Ending 33,248,999$ 25,436,805$ 27,135,818$ 29,704,128$ 28,715,080$ 26,077,678$ 25,700,351$ REQUIRED SUPPLEMENTARY INFORMATION City of Carmel, Indiana Current Period Recognition of Deferred Outflows / (Inflows) of Resources: Benefit Payments For the Fiscal Year Ended December 31, 2023 SCHEDULE OF CHANGES IN TOTAL OPEB LIABILITY AND RELATED RATIOS 86 2023 2022 2021 2020 2019 2018 2017 Total OPEB Liability - Ending 33,248,999$ 25,436,805$ 27,135,818$ 29,704,128$ 28,715,080$ 26,077,678$ 25,700,351$ Covered-Employee Payroll 38,875,099$ 39,161,042$ 35,069,203$ 45,468,975$ 44,359,976$ 38,986,588$ 38,047,090$ Total OPEB Liability as a Percentage of Covered-Employee Payroll 85.53% 64.95% 77.38% 65.33% 64.73% 66.89% 67.55% The most recent actuarial valuation date is December 31, 2023. Additional information on the City's OPEB can be found in Note II.G. on pages 80–83 of this report. The City implemented GASB 75 in 2017. The information above is presented for as many years as available. The schedules are intended to show information for 10 years. Years not shown are not available. No assets are accumulated in a trust that meets the criteria in paragraph 4 of GASB 75, to pay related benefits for the OPEB plan. City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF TOTAL OPEB LIABILITY For the Fiscal Year Ended December 31, 2023 Notes to Schedule: 87 SUMMARY OF MAIN PLAN PROVISIONS OTHER POST-EMPLOYMENT BENEFIT PLAN December 31, 2023 The plan is a PPO plan providing comprehensive major medical benefits to eligible retirees, their spouses, and dependents. Monthly Premiums Spousal coverage continues after the death of the retiree or after the retiree becomes eligible for Medicare, and ends at the spouse's Medicare eligibility date. Deductibles, out-of-pocket limits, and employee contributions are assumed to increase annually at the medical care cost trend rate. The Lifetime Maximum was not increased. Eligible retirees are those who retire from the City of Carmel with at least 20 years of creditable employment with a public employer. If any of the years of creditable employment includes employment with other public employers besides the City of Carmel, then the retiree must also be at least age 55 in order to be eligible. Employees hired or disabled on or after October 3, 2016 are not eligible (except for those killed or disabled in the line of duty). The city contributes 50% of the employee-spouse premium for a retiree who has 20 years of service with the city, plus 1% for each additional six months of service, to a maximum of 75% of the cost of medical and dental coverage. A retiree with employee-only (or spouse-only, if the retiree is over 65) is eligible to receive 50% to 75% of the employee-only (or spouse-only) premium using the same formula. The city’s contribution will not exceed $900 per month (up to $10,800 per year). Retiree contributions for a married couple that works for the city are based on service of the individual employed for the longer period of time (not to exceed 75% of the total premium). The city contributes 100%of the premium for medical and dental coverage for those who are killed in the line of duty with no maximum contribution. The city pays 50% for work-related disabilities. All other retirees pay 100% of the premium rate. City of Carmel, Indiana NOTES TO THE REQUIRED SUPPLEMENTARY INFORMATION 88 METHOD AND ASSUMPTIONS Entry Age Normal (Level % of Pay) ASSUMPTIONS: Discount Rate 4.00% per annum as of December 31, 2023 4.31% per annum as of December 31, 2022 2.25% per annum as of December 31, 2021 Discount Rate Basis S&P Municipal Bond 20-Year High Grade Rate Index* Coverage Rate 80% of eligible employees are assumed to be covered in the plan at retirement. Spouses Retired participants: Age and marital status based on actual census data. Active participants: 35% are assumed to cover a spouse, with male spouses three years older than female spouses. Disability None assumed. Mortality: Civilian Employees Police and Fire Employees Mortality Improvement Turnover Age Rates Years of Service Rates 20 1.90%0 5.50% 25 1.70%1 5.25% 30 1.80%2 5.00% 35 80.00%3 4.75% 40 40.00%4 4.50% 45 10.00%5 4.25% 50 0.00%10 3.50% 55 0.00%15 2.75% 60+0.00%20+ 0.00% Healthcare Cost Trend Rates SOA published mortality table: Pub-2010 Safety Employees amount weighted mortality table. Separate tables for males and female participants. Separate tables for active employees, healthy annuitants, contingent survivors, and disabled participants. SOA published mortality improvement scale: MP-2021 (MP-2019 at December 31, 2019) generational, which projects mortality improvement indefinitely beyond the base mortality year beginning with high initial improvement based on recent experience and tapering to a lower level of improvement for long-term mortality projections. Medical costs were trended at 7.25% in the first year, graded down to 4.5% over 11 years; dental costs were trended at a flat 4.0% per year. SOA published mortality table: Pub-2010 General Employees amount weighted mortality table. Separate tables for males and female participants. Separate tables for active employees, healthy annuitants, contingent survivors, and disabled participants. COST METHOD (Prescribed) Public Safety Civilian 89 1925 Police Officers' Pension Plan:2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarially determined contribution 652,291$ 612,374$ 579,819$ 607,355$ 564,928$ 564,928$ 557,208$ 546,748$ 534,143$ 652,291 612,374 579,819 607,355 564,928 564,928 557,208 546,748 534,143 Contribution deficiency (excess)-$ -$ -$ -$ -$ -$ -$ -$ -$ Covered payroll -$ -$ -$ -$ -$ -$ -$ -$ -$ Contributions as a percentage of covered payroll Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable 1937 Firefighters' Pension Plan:2023 2022 2021 2020 2019 2018 2017 2016 2015 Actuarially determined contribution 660,527$ 597,247$ 598,830$ 565,704$ 584,282$ 584,282$ 577,369$ 553,519$ 562,264$ 660,527 597,247 598,830 565,704 584,282 584,282 577,369 553,519 562,264 Contribution deficiency (excess)-$ -$ -$ -$ -$ -$ -$ -$ -$ Covered payroll -$ -$ -$ -$ -$ -$ -$ -$ -$ Contributions as a percentage of covered payroll Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable See notes to schedules, 1925 Police Officers' and 1937 Firefighters' Pension Plans. City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF EMPLOYER CONTRIBUTIONS December 31, 2023 Contributions in relation to the actuarially determined contribution Contributions in relation to the actuarially determined contribution 90 1925 Police Officers' Pension Plan:2023 2022 2021 2020 2019 2018 2017 2016 2015 Total pension liability 8,020,691$ 8,323,874$ 8,318,027$ 8,616,378$ 9,650,494$ 9,893,565$ 10,119,548$ 10,119,548$ 10,179,012$ Less, fiduciary net position 151,739 138,608 130,048 136,916 145,316 131,361 147,471 148,470 147,785 Net pension liability 7,868,952$ 8,185,266$ 8,187,979$ 8,479,462$ 9,505,178$ 9,762,204$ 9,972,077$ 9,971,078$ 10,031,227$ 1.89%1.67%1.56%1.59%1.51%1.33%1.46%1.47%1.45% Covered payroll - - - - - - - - - Net position as a percentage of covered payroll Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable 1937 Firefighters' Pension Plan:2023 2022 2021 2020 2019 2018 2017 2016 2015 Total pension liability 9,468,466$ 9,709,184$ 8,997,143$ 9,278,530$ 10,366,629$ 10,601,151$ 10,883,369$ 10,883,369$ 10,997,707$ Less, fiduciary net position 23,048 4,397 20,207 14,354 36,220 5,405 26,027 30,375 39,365 Net pension liability 9,445,418$ 9,704,787$ 8,976,936$ 9,264,176$ 10,330,409$ 10,595,746$ 10,857,342$ 10,852,994$ 10,958,342$ 0.24%0.05%0.22%0.15%0.35%0.05%0.24%0.28%0.36% Covered payroll -$ -$ -$ -$ -$ -$ -$ -$ -$ Net position as a percentage of covered payroll Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable Not applicable See notes to schedules, 1925 Police Officers' and 1937 Firefighters' Pension Plans. City of Carmel, Indiana SCHEDULE OF NET PENSION LIABILITY AND RELATED RATIOS December 31, 2023 Fiduciary net position as a percentage of the total pension liability Fiduciary net position as a percentage of the total pension liability REQUIRED SUPPLEMENTARY INFORMATION 91 1925 Police Officers' Pension Plan:2023 2022 2021 2020 2019 2018 2017 2016 2015 Total pension liability - beginning 8,323,874$ 8,318,027$ 8,616,378$ 9,650,494$ 9,893,565$ 10,119,548$ 10,119,548$ 10,179,012$ 10,220,740$ Interest on total pension liability 343,658 278,016 288,782 329,811 339,070 354,913 355,402 363,703 367,444 Effect of economic/demographic gains and losses - 945,303 - (599,196) - 338,525 201,812 122,896 125,844 Effect of assumptions changes or inputs - (609,973) - (148,471) - (337,280) - - - Benefit payments (646,841) (607,499) (587,133) (616,260) (582,141) (582,141) (557,214) (546,063) (535,016) Total pension liability - ending 8,020,691 8,323,874 8,318,027 8,616,378 9,650,494 9,893,565 10,119,548 10,119,548 10,179,012 Fiduciary net position - beginning 138,608 130,048 136,916 145,316 131,361 147,471 148,470 147,785 148,615 Employer contributions 652,291 612,374 579,819 607,355 564,928 564,928 557,208 546,748 534,143 Net investment income 7,681 3,685 446 505 4,121 1,203 882 - 143 Benefit payments (646,841) (607,499) (587,133) (616,260) (582,141) (582,141) (557,214) (546,063) (535,016) Administrative expenses - - - - - (100) (1,875) - (100) Other - - - - 27,047 - - - - Fiduciary net position - ending 151,738 138,607 130,048 136,916 145,316 131,361 147,471 148,470 147,785 Net pension liability - ending $ 7,868,953 $ 8,185,267 $ 8,187,979 $ 8,479,462 $ 9,505,178 $ 9,762,204 $ 9,972,077 $ 9,971,078 $ 10,031,227 1937 Firefighters' Pension Plan:2023 2022 2022 2022 2022 2018 2017 2016 2015 Total pension liability - beginning 9,709,184$ 8,997,143$ 9,278,530$ 10,366,629$ 10,601,151$ 10,883,369$ 10,883,369$ 10,997,707$ 11,028,789$ Interest on total pension liability 403,428 301,525 311,713 355,711 367,840 385,277 385,817 393,503 396,965 Effect of economic/demographic gains and losses - 1,903,685 - (699,325) - 289,272 192,103 54,668 125,812 Effect of assumptions changes or inputs - (879,089) - (156,836) - (351,553) - - - Benefit payments (644,146) (614,080) (593,100) (587,649) (602,362) (605,214) (577,920) (562,509) (553,859) Total pension liability - ending 9,468,466 9,709,184 8,997,143 9,278,530 10,366,629 10,601,151 10,883,369 10,883,369 10,997,707 Fiduciary net position - beginning 4,396 20,207 14,354 36,220 5,405 26,027 30,375 39,365 30,909 Employer contributions 660,527 597,247 598,830 565,704 584,282 584,282 577,369 553,519 562,264 Net investment income 2,271 1,023 123 79 847 310 224 - 51 Benefit payments (644,146) (614,080) (593,100) (587,649) (602,362) (605,214) (577,920) (562,509) (553,859) Administrative expenses - - - - - - (4,021) - - Other - - - - 48,048 - - - - Fiduciary net position - ending 23,047 4,396 20,207 14,354 36,220 5,405 26,027 30,375 39,365 Net pension liability - ending $ 9,445,419 $ 9,704,788 $ 8,976,936 $ 9,264,176 $ 10,330,409 $ 10,595,746 $ 10,857,342 $ 10,852,994 $ 10,958,342 See notes to schedules, 1925 Police and 1937 Firefighters' Pension Plans. December 31, 2023 SCHEDULE OF CHANGES IN NET PENSION LIABILITY REQUIRED SUPPLEMENTARY INFORMATION City of Carmel, Indiana 92 Assumption changes: Discount Rate:4.31% Police Officers; 4.31% Firefighters for 2023 Valuation date: Methods and assumptions used to determine most current contribution rate: Actuarial cost method Entry Age Normal Amortization method N/A Remaining amortization period N/A Retirement age N/A Mortality 2023 Static Combined Table for Small Plans as publiched in IRS Notice 2022-22 Other information N/A REQUIRED SUPPLEMENTARY INFORMATION Note: The City is presenting its ninth ACFR since 2007. The information above is presented for as many years as available. The schedules are intended to show information for 10 years. Years not shown are not available. Actuarially determined contribution rates are calculated as of December 31 of the fiscal year in which contributions are reported. Effective with the December 31, 2023 measurement date, the future mortality improvement assumption was updated to the 2023 Static Combined Table for Small Plans as published in IRS Notice 2022-22. City of Carmel, Indiana NOTES TO SCHEDULES 1925 POLICE OFFICERS' AND 1937 FIREFIGHTERS' PENSION PLANS December 31, 2023 93 Public Employees' Retirement Fund: Year Ended City's Proportion of the Net Pension Liability (Asset) City's Proportionate Share of the Net Pension Liability (Asset) City's Covered Payroll Net Pension Liability as a Percentage of Covered Payroll Plan Fiduciary Net Position as a Percentage of Total Pension Liability (Asset) City: June 30, 2023 0.0041592 14,679,206$ 26,148,635$ 56.1%80.8% June 30, 2022 0.0041312 13,029,111$ 23,776,000$ 54.8%82.5% June 30, 2021 0.0041368 5,443,399$ 22,808,056$ 23.9%92.5% June 30, 2020 0.0041028 12,392,074$ 22,149,413$ 55.9%81.5% June 30, 2019 0.0040206 13,288,339$ 20,947,877$ 63.4%80.1% June 30, 2018 0.0039301 13,350,728$ 20,053,519$ 66.6%78.9% June 30, 2017 0.0034924 15,581,494$ 17,326,450$ 89.9%76.7% June 30, 2016 0.0035353 16,044,763$ 16,943,306$ 94.7%75.4% June 30, 2015 0.0034106 13,891,040$ 16,335,991$ 85.0%77.4% Parks: June 30, 2023 0.0006164 2,175,481$ 3,875,012$ 56.1%80.8% June 30, 2022 0.0005294 1,669,639$ 3,046,724$ 54.8%82.5% June 30, 2021 0.0005979 786,745$ 3,296,397$ 23.9%92.5% June 30, 2020 0.0006229 1,881,404$ 3,362,676$ 55.9%81.5% June 30, 2019 0.0006321 2,089,131$ 3,293,425$ 63.4%80.1% June 30, 2018 0.0006161 2,092,920$ 3,143,577$ 66.6%78.9% June 30, 2017 0.0006062 2,704,588$ 3,007,362$ 89.9%76.7% June 30, 2016 0.0006398 2,903,697$ 3,066,437$ 94.7%75.4% June 30, 2015 0.0006001 2,444,149$ 2,874,230$ 85.0%77.4% Continued on next page. City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION DEFINED BENEFIT PENSION PLANS - MULTIPLE EMPLOYER PLANS SCHEDULE OF THE CITY'S PROPORTIONATE SHARE December 31, 2023 OF THE NET PENSION LIABILITY 94 1977 Police Officers' and Firefighters' Pension and Disability Fund: Year Ended City's Proportion of the Net Pension Liability (Asset) City's Proportionate Share of the Net Pension Liability (Asset) City's Covered Payroll Net Pension Liability as a Percentage of Covered Payroll Plan Fiduciary Net Position as a Percentage of Total Pension Liability (Asset) Police: June 30, 2023 0.0112496 11,524,436$ 12,222,581$ 94.3%88.4% June 30, 2022 0.0108198 7,009,627$ 10,936,953$ 64.1%92.2% June 30, 2021 0.0106286 (6,281,665)$ 10,091,036$ -62.2%107.8% June 30, 2020 0.0102375 2,485,745$ 9,493,108$ 26.2%96.4% June 30, 2019 0.0101312 93,369$ 8,955,356$ 1.0%99.9% June 30, 2018 0.0102071 (897,318)$ 8,596,291$ -10.4%101.5% June 30, 2017 0.0094176 (145,270)$ 7,634,954$ -1.9%100.3% June 30, 2016 0.0101528 901,944$ 7,847,007$ 11.5%98.2% June 30, 2015 0.0101282 (1,496,139)$ 7,552,611$ -19.8%103.2% Fire: June 30, 2023 0.0138950 14,234,466$ 15,096,787$ 94.3%88.4% June 30, 2022 0.0136469 8,841,169$ 13,794,689$ 64.1%92.2% June 30, 2021 0.0136674 (8,077,642)$ 12,976,093$ -62.3%107.8% June 30, 2020 0.0128110 3,110,611$ 11,879,532$ 26.2%96.4% June 30, 2019 0.0129129 119,005$ 11,414,229$ 1.0%99.9% June 30, 2018 0.0135067 (1,187,390)$ 11,375,165$ -10.4%101.5% June 30, 2017 0.0126561 (195,225)$ 10,260,440$ -1.9%100.3% June 30, 2016 0.0135237 1,201,404$ 10,452,317$ 11.5%98.2% June 30, 2015 0.0137130 (2,025,686)$ 10,225,780$ -19.8%103.2% Source: INPRS Actuarial Valuations and Unaudited Employer-specific GASB 68 Schedules. The amounts presented for each year were determined as of the Plan's June 30 year-end that occurred within the City's fiscal year. December 31, 2023 (Continued) Note: The City is presenting its ninth ACFR since 2007. The information above is presented for as many years as available. The schedules are intended to show information for 10 years. Years not shown are not available. OF THE NET PENSION LIABILITY City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION DEFINED BENEFIT PENSION PLANS - MULTIPLE EMPLOYER PLANS SCHEDULE OF THE CITY'S PROPORTIONATE SHARE 95 Public Employees' Retirement Fund: Year Ended Contractually Required Contributions City Contributions related to the Contractually Required Contributions Contribution Deficiency (Excess) City's Covered Payroll Contributions as a Percentage of Covered Payroll City: December 31, 2023 3,916,037$ 3,916,037$-$24,962,318$ 15.7% December 31, 2022 3,582,578$ 3,582,578$-$23,292,028$ 15.4% December 31, 2021 3,481,738$ 3,481,738$-$22,478,735$ 15.5% December 31, 2020 3,497,604$ 3,497,604$-$21,548,645$ 16.2% December 31, 2019 3,523,477$ 3,523,477$-$20,500,698$ 17.2% December 31, 2018 3,308,652$ 3,308,652$-$18,689,985$ 17.7% December 31, 2017 3,045,739$ 3,045,739$-$17,134,878$ 17.8% December 31, 2016 2,916,463$ 2,916,463$-$16,639,649$ 17.5% December 31, 2015 2,755,295$ 2,755,295$-$15,944,994$ 17.3% Parks: December 31, 2023 333,379$ 333,379$-$3,460,868$ 9.6% December 31, 2022 289,370$ 289,370$-$3,171,561$ 9.1% December 31, 2021 237,999$ 237,999$-$3,329,537$ 7.1% December 31, 2020 344,090$ 344,090$-$3,328,051$ 10.3% December 31, 2019 339,303$ 339,303$-$3,218,501$ 10.5% December 31, 2018 307,209$ 307,209$-$3,075,470$ 10.0% December 31, 2017 304,629$ 304,629$-$3,036,900$ 10.0% December 31, 2016 291,429$ 291,429$-$2,970,334$ 9.8% December 31, 2015 297,154$ 297,154$-$3,113,889$ 9.5% 1977 Police Officers' and Firefighters' Pension and Disability Fund: Year Ended Contractually Required Contributions City Contributions related to the Contractually Required Contributions Contribution Deficiency (Excess) City's Covered Payroll Contributions as a Percentage of Covered Payroll Police: December 31, 2023 2,609,695$ 2,609,695$-$11,579,767$ 22.5% December 31, 2022 2,367,884$ 2,367,884$-$10,513,995$ 22.5% December 31, 2021 2,197,128$ 2,197,128$-$9,792,072$ 22.4% December 31, 2020 2,117,739$ 2,117,739$-$9,224,232$ 23.0% December 31, 2019 1,920,734$ 1,920,734$-$8,775,824$ 21.9% December 31, 2018 1,809,416$ 1,809,416$-$8,115,623$ 22.3% December 31, 2017 1,713,532$ 1,713,532$-$7,740,981$ 22.1% December 31, 2016 1,657,359$ 1,657,359$-$7,699,809$ 21.5% December 31, 2015 1,607,669$ 1,607,669$-$6,066,675$ 26.5% Fire: December 31, 2023 3,103,078$ 3,103,078$-$14,445,738$ 21.5% December 31, 2022 2,964,234$ 2,964,234$-$13,385,391$ 22.1% December 31, 2021 2,787,164$ 2,787,164$-$12,427,813$ 22.4% December 31, 2020 2,695,458$ 2,695,458$-$11,646,881$ 23.1% December 31, 2019 2,424,965$ 2,424,965$-$11,394,697$ 21.3% December 31, 2018 2,351,694$ 2,351,694$-$10,817,803$ 21.7% December 31, 2017 2,350,371$ 2,350,371$-$10,356,379$ 22.7% December 31, 2016 2,186,794$ 2,186,794$-$10,339,049$ 21.2% December 31, 2015 2,185,238$ 2,185,238$-$10,058,633$ 21.7% City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION DEFINED BENEFIT PENSION PLANS - MULTIPLE EMPLOYER PLANS SCHEDULE OF CITY CONTRIBUTIONS December 31, 2023 96 Changes in actuarial assumptions: Public Employees' Retirement Fund and 1977 Police Officers' and Firefighters' Pension and Disability Fund: Changes in actuarial methods: Public Employees' Retirement Fund and 1977 Police Officers' and Firefighters' Pension and Disability Fund: Changes in plan provisions: Public Employees' Retirement Fund and 1977 Police Officers' and Firefighters' Pension and Disability Fund: City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION NOTES TO SCHEDULES PUBLIC EMPLOYEES' RETIREMENT AND 1977 POLICE OFFICERS' AND FIREFIGHTERS' PENSION AND DISABILITY FUNDS Note: Covered payroll for the purposes of this schedule was determined as of the City's fiscal year ended December 31. December 31, 2023 Note: The City is presenting its ninth ACFR since 2007. The information above is presented for as many years as available. The schedules are intended to show information for 10 years. Years not shown are not available. There were no changes in actuarial methods since the prior year. There were no changes to the plan provisions during the fiscal year for the Public Employees' Retirement Fund. Eligibility for a Millie Morgan Reitrement within the 1977 Police Officers' and Firefighters' Pension and Disability Fund, where members can receive their pension benefit while still working, was reduced from age 70 to age 65 (with 20 years of service). There was no impact on the valuation since no assumptions changed. There were no changes in assumptions from the June 30, 2022 actuarial valuations to the June 30, 2023 actuarial valuations. 97 Variance Actual With Final Budgetary Budget Basis Positive Original Final Amounts (Negative) REVENUES: Property tax 48,573,932$ 48,573,932$ 45,607,205$ (2,966,727)$ Income tax 46,878,600 46,878,600 57,845,970 10,967,370 Licenses and permits 3,700,000 3,700,000 - (3,700,000) Intergovernmental 280,768 280,768 610,353 329,585 Charges for services 6,453,310 6,453,310 3,041,508 (3,411,802) Fines and forfeits 500,000 500,000 291,674 (208,326) Miscellaneous - - 5,088,033 5,088,033 Other 17,219,677 15,111,294 12,327,053 (2,784,241) - Total revenues: budgetary basis 123,606,287$ 121,497,904$ 124,811,796 3,313,892$ Increase in available income tax receivable - Transfer in from enterprise funds treated as revenue on a budgetary basis (1,441,728) Transfer from a nonmajor fund treated as revenue on a budgetary basis (535,325) Total revenues reported on the Statement of Revenues and Expenditures 123,374,248$ EXPENDITURES: Current: General government: City Controller: Personal services 1,013,550$ 1,013,550$ 863,262$ (150,288)$ Supplies 12,969 12,969 8,140 (4,829) Other services and charges 273,062 273,062 155,669 (117,393) Capital outlay 14,735 14,735 2,569 (12,166) City Clerk: Personal services 816,810 816,810 725,671 (91,139) Supplies 15,603 15,603 2,669 (12,934) Other services and charges 259,169 259,169 47,927 (211,242) Capital outlay 57,435 57,435 13,335 (44,100) Mayor's Office:- Personal services 538,152 538,152 498,476 (39,676) Supplies 6,068 6,068 5,918 (150) Other services and charges 4,734,568 4,734,568 4,294,236 (440,332) Capital outlay 41,880 41,880 11,651 (30,229) City Council: Personal services 448,379 448,379 353,647 (94,732) Supplies 4,000 4,000 1,110 (2,890) Other services and charges 168,581 168,581 118,398 (50,183) Capital outlay 2,690 2,690 1,200 (1,490) City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES GENERAL FUND General Fund For the Fiscal Year Ended December 31, 2023 Budgeted Amounts Continued on next page. 98 Variance Actual With Final Budgetary Budget Basis Positive Original Final Amounts (Negative) Expenditures (continued): Current (continued): General government (continued): Board of Public Works: Personal services 23,795 23,795 16,459 (7,336) Debt service 16,622,199 16,622,199 16,620,199 (2,000) Administration: Personal services 1,322,926 1,322,926 1,298,216 (24,710) Supplies 68,750 68,750 31,405 (37,345) Other services and charges 3,578,045 3,578,045 2,722,347 (855,698) Capital outlay 665,412 665,412 590,481 (74,931) Brookshire Golf Course: Personal services 981,732 981,732 891,173 (90,559) Supplies 74,500 74,500 54,351 (20,149) Other services and charges 499,144 499,144 487,396 (11,748) Capital outlay 459,739 459,739 296,099 (163,640) Building Operations: Supplies - - - - Other services and charges 3,829,563 3,829,563 3,771,066 (58,497) Capital outlay - - - - City Court: Personal services 667,160 667,160 624,112 (43,048) Supplies - - - - Other services and charges 177,000 177,000 134,693 (42,307) Capital outlay - - - - Law Department: Personal services 1,366,567 1,366,567 1,155,157 (211,410) Supplies 7,309 7,309 4,156 (3,153) Other services and charges 810,637 810,637 285,395 (525,242) Capital outlay 179,806 179,806 52,288 (127,518) Community Services: Personal services 3,569,900 3,569,900 3,210,210 (359,690) Supplies 57,642 57,642 40,781 (16,861) Other services and charges 1,759,600 1,771,744 939,317 (832,427) Capital outlay 763,655 763,655 654,636 (109,019) Personnel/ Human Resources:- Personal services 720,000 720,000 529,659 (190,341) Supplies 4,500 4,500 1,799 (2,701) Other services and charges 489,926 489,926 141,378 (348,548) Capital outlay 18,961 18,961 9,476 (9,485) For the Fiscal Year Ended December 31, 2023 (Continued) City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES GENERAL FUND Continued on next page. Budgeted Amounts 99 Variance Actual With Final Budgetary Budget Basis Positive Original Final Amounts (Negative) Expenditures (continued): Current (continued): City Property Maintenance: Supplies 221,349 221,349 112,103 (109,246) Other services and charges 2,413,547 2,413,547 2,010,857 (402,690) Public Affairs/ Community Relations: Personal services 1,439,157 1,439,157 1,306,443 (132,714) Supplies 4,684 4,684 3,507 (1,177) Other services and charges 3,906,687 3,910,437 3,058,056 (852,381) Capital outlay 59,902 59,902 24,957 (34,945) Total general government 55,171,445 55,187,339 48,182,050 (7,005,289) Public Safety: Fire Department: Personal services 30,947,652 30,947,652 31,279,159 331,507 Supplies 421,265 421,265 391,947 (29,318) Other services and charges 2,475,116 2,475,116 2,047,586 (427,530) Police Department: Personal services 28,243,100 28,357,129 25,108,955 (3,248,174) Supplies 964,067 964,067 742,954 (221,113) Other services and charges 1,789,374 1,789,374 1,731,364 (58,010) Capital outlay 3,892,178 3,892,178 2,764,459 (1,127,719) Communication Center: Personal services 2,573,732 2,573,732 2,404,688 (169,044) Supplies 82,988 82,988 78,278 (4,710) Other services and charges 2,709,081 2,709,081 2,048,749 (660,332) Capital outlay 938,066 938,066 764,706 (173,360) Total public safety 75,036,619 75,150,648 69,362,845 (5,787,803) (Continued) Continued on next page. Budgeted Amounts REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES GENERAL FUND For the Fiscal Year Ended December 31, 2023 City of Carmel, Indiana 100 Variance Actual With Final Budgetary Budget Basis Positive Original Final Amounts (Negative) Expenditures (continued): Current (continued): Culture and recreation: Parks Department: Personal services 3,587,356 3,587,356 3,504,571 (82,785) Supplies 186,587 188,346 166,704 (21,642) Other services and charges 2,510,849 2,566,349 1,736,579 (829,770) Capital outlay 11,000 11,000 9,241 (1,759) Total culture and recreation 6,295,792 6,353,051 5,417,095 (935,956) Economic Development: Redevelopment Department: Personal services 834,225 834,225 800,086 (34,139) Supplies 3,700 3,700 2,126 (1,574) Other services and charges 85,384 85,384 112,100 26,716 Capital outlay 15,000 15,000 9,329 (5,671) Total economic development 938,309 938,309 923,641 (14,668) Transfers to nonmajor funds - - 527,636 527,636 Other Expenditure - - 1,287,738 1,287,738 Total expenditures, budgetary basis 137,442,165$ 137,629,347$ 125,701,005 (11,928,342)$ Increase in accrued liabilities: Accounts payable 36,961 Accrued payroll and withholdings payable 373,746 Financed purchase obligations 5,222,656 Transfers to other funds (17,147,835) Rainy Day Fund Less, accrual due to Rainy Day Fund - Total expenditures reported on the Statement of Revenues and Expenditures 114,465,059$ treated as expenditures on a budgetary basis Budgeted Amounts For the Fiscal Year Ended December 31, 2023 (Continued) City of Carmel, Indiana REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES GENERAL FUND 101 City of Carmel, Indiana NOTES TO REQUIRED SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES December 31, 2023 Budgetary Basis of Accounting Annual budgets are required for the General Fund, Motor Vehicle Highway Fund, Fire Pension Fund, Police Pension Fund, Local Road & Street Fund, Cumulative Capital Improvement Fund, Cumulative Capital Development Fund, 2004 Road Bond Fund, 2016 Property Tax Bond Fund, 2021 Property Tax Bond Fund, and 2022 Property Tax Bond Fund. The original budget is the first complete appropriated budget for the year. The deadline for the adoption of annual budgets by the Common Council is November 1 of the previous year. It is subject to adjustment by the Common Council and, in certain circumstances, by an Indiana State agency. The property tax levy is authorized at the time annual appropriations are adopted. Original budgeted revenues represent the budgeted revenues submitted by the City along with budget expenditures, as adopted. The final budget reflects official changes to those numbers. The appropriated budget is prepared by fund, department, character, and/or object. Transfers of appropriations require the approval of the Common Council. The legal level of budgetary control (i.e., the level at which expenditures may not legally exceed appropriations) is the character and/or object. Appropriations in all budgeted funds lapse at the end of the fiscal year unless they are encumbered. Encumbrances are contractual obligations related to unperformed (executory) contracts for goods or services (i.e., purchase orders, contracts, and commitments). Encumbrance accounting is utilized to the extent necessary to assure effective budgetary control and accountability and to facilitate effective cash planning and control. The basis of accounting for the budget, and the actual revenues and expenditures provided for comparison, is the cash basis, modified only by the addition of encumbrances to appropriations to arrive at the total budget. Encumbrances are not added to actual expenditures because utilization of encumbrances is optional at the managerial level. 102 City of Carmel, Indiana NONMAJOR GOVERNMENTAL FUNDS - INFORMATION Special revenue funds - used to account for revenues derived for a specific purpose. The title of the funds is descriptive of the activities involved. The City maintains the following nonmajor special revenue funds: The Park Impact Fee Fund accounts for fees charged to developers solely for the purpose of maintaining parks. The Hazardous Materials Fund accounts for fees charged on the handling of certain hazardous waste and required by law to be used to enhance the City’s ability to respond to hazardous waste emergencies. The Parks Program Fund accounts for certain fees collected in accordance with inter-local governmental agreements and required to be used for parks and recreation programs. The Parks Monon Fund accounts for certain fees collected in accordance with inter-local governmental agreements and required to be used to support the redevelopment of the former Monon Railroad track line as a recreational trail. The Parks Facility Fund accounts for fees collected from program participants and shall be used for the purchase, development, and/or rehabilitation of park facilities. The Local Road and Street Fund accounts for gasoline taxes and other revenues collected by the State of Indiana and distributed to the City in accordance with a statutory formula, required to be used for certain road and street contracts. The Deferral Fund accounts for certain fees paid by offenders to defer their cases to a non-criminal process, required by law to be used for certain public safety purposes. The User Fee Fund accounts for the City’s share of certain fee revenue collected from participants in certain public safety and criminal justice programs, and other court-related programs, required by law to be used for certain public safety and court-related purposes. The Barrett Law and Barrett Law Surplus Funds account for certain payments collected from property owners who benefit from specific projects that affect their property, required to be used to cover debt service on those projects. The Storm Water Fund accounts for monies received for user charges restricted for drainage projects. The 4CDC Operating Fund accounts for the rental and maintenance operations of the 4CDC office building. The CMCDC Operating Fund accounts for revenue borrowed or otherwise set aside for certain economic development purposes. The Motor Vehicle Highway Fund is used to account for gasoline tax and other revenue collected by the State of Indiana and shared with the City for the purpose of maintaining streets and other infrastructure. The Maternal Infant Health Program (MIHP) Fund accounts for funds used to support Medicaid beneficiaries in order to promote healthy pregnancies, positive birth outcomes, and infant health and development. Continued on next page. 103 City of Carmel, Indiana NONMAJOR GOVERNMENTAL FUNDS (Continued) The Opioid Settlement Fund accounts for the City's portion of the national settlement. The Health Self Insurance Fund accounts for the City's employee healthcare self-insurance program. The Workers Compensation Fund accounts for the City's workers' compensation programs. The Support for the Arts Fund accounts for donations and grants received to be spent on arts programs and The Keystone Non-Reverting Fund accounts for amounts accumulated for certain infrastructure projects. The Bicycle Facilities Non-Reverting Fund accounts for amounts accumulated for the operation and maintenance of City bicycle facilities and amenities. The Center Green Ice Non-Reverting Fund accounts for monies received and expended for the operation and maintenance of the ice rink located at the Palladium Center Green. Events & Festival Non-Reverting Fund accounts for amounts accumulated for certain recreation projects relating to City festivals and other community events. The Code Enforcement Non-Reverting Fund accounts for monies received and expended for City code enforcement activities. The Sidewalk Non-Reverting Fund accounts for monies received and expended for City sidewalk improvements. The Urban Forestry Fund accounts for amounts accumulated for street tree maintenance, storm event or natural disaster cleanup, the replacement of street trees, and special training. The Clerk’s Record Perpetuation Fund accounts for document storage fees and facsimile transmission fees collected by the Carmel City Court. Disbursements are for the purpose of developing a record retention program. The Court Interpreter Fund accounts for monies received from the Indiana Supreme Court to be spent on foreign language interpreters for court cases. The Public Defender Fund accounts for the costs of public defender representation ordered by the court. Financing is provided by charges assessed to individuals represented by public defenders. The Judicial Salary Fees Fund accounts for certain court fees restricted by law to the payment of certain court administration expenditures. The Historic Preservation Fund accounts for amounts accumulated to protect and to promote the educational, cultural and general welfare of the citizens of the City and to ensure the harmonious and orderly growth and development of the City. The Fire Gift Fund accounts for donations received for fire department expenditures. The Police Gift Fund accounts for donations received for police department expenditures. Continued on next page. 104 City of Carmel, Indiana NONMAJOR GOVERNMENTAL FUNDS (Continued) The Parks Gift Fund accounts for donations received for park expenditures. The Community Relations Gift Fund accounts for donations received for the community relations department. The Redevelopment Commission Gift Fund accounts for donations received for the redevelopment commission. The Economic Development Fund accounts for expenditures related to projects promoting economic development. Financing is provided by state grants and loan payments. Expenditures include grants and related expenses. The Housing Authority Fund accounts for expenditures related to the provision of affordable housing programs to eligible renters within the City. The Drug Task Force Fund accounts for donations to the City for various expenditures relating to this educational program. The Thoroughfare Fund accounts for amounts accumulated for certain infrastructure projects. The COVID Fund accounts for relief monies received for navigating the impact of the COVID-19 pandemic. The Grant Fund is used to account for grant resources received from various local, state, and federal agencies and organizations. The use of these resources is restricted to a particular function of the City by each grantor. The Bond Bank Project Fund is used to account for the proceeds of bond issuances that have been aggregated through the City's local public improvement bond bank, established in accordance with Indiana law. Generally, proceeds not needed for issuance costs and required reserves are transferred to other funds to be used to acquire capital assets. Capital Projects Funds - used to account for revenues and other financing sources restricted or committed to the acquisition of capital assets: The Redevelopment Authority Capital Projects Fund is used to account for capital projects undertaken by the City with financing provided by the Authority. The Ambulance Fund accounts for EMS service fees, committed for acquisition of EMS and fire protection equipment. The Parks Capital Fund accounts for certain fees collected in accordance with inter-local governmental agreements and required to be used for capital projects for parks and recreation. The Cumulative Capital Improvement Fund accounts for cigarette taxes and other revenues collected by the State of Indiana and distributed to the City in accordance with a statutory formula, required primarily to be used for certain road and street contracts. The Cumulative Capital Sewer Fund accounts for financial resources for the construction or repairing of storm sewers. Financing is provided by a dedicated property tax levy. Continued on next page. 105 City of Carmel, Indiana NONMAJOR GOVERNMENTAL FUNDS (Continued) The Cumulative Capital Development Fund accounts for a property tax levy established and imposed for the sole purpose of funding certain types of capital acquisitions and the payment of debt service for such acquisitions. The Illinois Street Construction Fund accounts for certain payments in lieu of taxes required by contract with the payor to be used for certain capital projects. The Old Town/126th Street Construction Fund accounts for the accumulation of resources for certain community improvement projects. The 2016 Property Tax Bond Construction Funds 1-6 and 9-13 account for the proceeds of eleven separate street projects financed by property tax, issued for the purpose of street improvement and construction. The 2016 Project Fund is used to account for the expenditure of proceeds of a certain 2016 bond issuance, the purpose of which was to finance street improvement and construction. The 2017 Project Fund is used to account for the expenditure of proceeds of certain 2017 bond issuances, the purposes of which were to finance street improvement and construction and economic development. The 2017 A Bond Construction Fund is a capital projects fund that accounts for the proceeds of a bond expected to be paid from tax increment revenue. The 2018 CMBC Bond Construction Fund is a capital projects fund that accounts for the proceeds of a bond expected to be paid from tax increment revenue. Debt Service Funds- used to account for revenues and other financing sources restricted or committed to the payment of principal and interest on noncurrent debt: The Lease Rental Fund accounts for the accumulation of resources for certain leases. The 2004 Road Bond Fund accounts for financial resources that are restricted to expenditure for payment of principal and interest on certain bonds. The 2016 Property Tax Bond Fund is a debt service fund that accounts for a tax levy to fund debt service for property tax-supported debt that finances 13 separate capital projects. The 2021 L/R Property Tax Bond Fund is a debt service fund that accounts for a tax levy to fund debt service for property-tax supported debt. The 2022 L/R Property Tax Bond Fund is a debt service fund that accounts for a tax levy to fund debt service for property-tax supported debt. 106 Park Impact Fee Hazardous Material Parks Program Parks Monon Parks Facility Local Road & Street ASSETS: Cash and cash equivalents 4,262,667$ $ 43,574 $ 3,690,718 4,650,484$ 315,021$ 2,851,343$ Property tax receivable - - - - - - Due from other governmental funds - - - - - - Due from related utility --- - -- Intergovernmental receivables - - - - - - Lease and other receivable - - - - - - Total assets 4,262,667 43,574 3,690,718 4,650,484 315,021 2,851,343 DEFERRED OUTFLOW OF RESOURCES: Leases - - - - - - Total deferred outflow of resources - - - - - - LIABILITIES: Accounts payable 12,158 -66,524 163,273 9,707 9,167 Claims payable - - - - - - Due to other funds - - - - - - Unearned Revenue --- - -- Accrued payroll - - 62,907 63,632 - - Total liabilities 12,158 - 129,431 226,905 9,707 9,167 DEFERRED INFLOW OF RESOURCES: Leases - - - - - - Unavailable revenue - - - - - - Total deferred inflow of resources - - - - - - FUND BALANCE: Restricted: General government -- - - - - Public safety - 43,574 - - - - Highways and streets - -- - - 2,842,176 Drainage and other capital assets - -- - - - Economic development - -- - - - Culture and recreation 4,250,509 - 3,561,287 4,423,579 305,314 - Committed: General government --- - -- Public safety --- - -- Highways and streets --- - -- Drainage --- - -- Economic development --- - -- Culture and recreation --- - -- Assigned --- - -- Unassigned - - - - - - TOTAL FUND BALANCES 4,250,509 43,574 3,561,287 4,423,579 305,314 2,842,176 TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES 4,262,667$ 43,574$ 3,690,718$ 4,650,484$ 315,021$ 2,851,343$ Continued on next page. BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS Special Revenue Funds December 31, 2023 City of Carmel, Indiana 107 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Deferral User Fee Barrett Law Barrett Law Surplus Storm Water 4CDC Operating Fund 127,372$ 485,951$ 6$ $ 166,369 $ 6,636,985 $ 66,294 - - - - - - - - - - - - - - - - 364,371 - - - - - - - - - - - - 8,059,813 127,372 485,951 6 166,369 7,001,356 8,126,107 - - - - - - - - - - - - 1,073 593 - - 41,656 - - - - - - - - - - - 74,586 - - - - - - - 932 - - - - - 2,005 593 - - 116,242 - - - - - - 8,039,082 - - - - - - - - - - - 8,039,082 - - - - - - 125,367 485,358 - - - - - - - - - - - - 6 166,369 6,885,114 - - - - - - 44,656 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 42,369 - - - - - - - - - - - - - - - - 125,367 485,358 6 166,369 6,885,114 87,025 127,372$ 485,951$ 6$ 166,369$ 7,001,356$ 8,126,107$ Continued on next page. BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS City of Carmel, Indiana Special Revenue Funds December 31, 2023 108 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) CMCDC Operating Fund Motor Vehicle Highway Fund MIHP Opioid Settlement Health Self Insurance Workers Comp Support for the Arts $ 95,828 4,583,936$ 5,213$ 246,266$ 1,385,041$ 119,142$ 19,134$ -553,569 - - - - - - 74,586 - - - - - - - - - - - - - - - 919,037 - - - - - - - - - - 95,828 5,212,091 5,213 1,165,303 1,385,041 119,142 19,134 - - - - - - - - - - - - - - -459,284 397 - 11,214 - - - -- - 1,079,250 - - - -- - - - - -- - - - -- -231,431 - - - - - - 690,715 397 - 1,090,464 - - - - - - - - - - 553,569 - 919,037 - - - - 553,569 - 919,037 - - - - - - - - -- - - 4,816 246,266 - -- - 3,967,807 - - - -- - - - - - -- 95,828 - - - - -- - - - - - -- -- - - 294,577 119,142 - -- - - - - - -- - - - - - -- - - - - - -- - - - - 19,134 -- - - - - - -- - - --- - - - - - - - 95,828 3,967,807 4,816 246,266 294,577 119,142 19,134 95,828$ 5,212,091$ 5,213$ 1,165,303$ 1,385,041$ 119,142$ 19,134$ Continued on next page. NONMAJOR GOVERNMENTAL FUNDS BALANCE SHEET City of Carmel, Indiana Special Revenue Funds December 31, 2023 109 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Keystone Non- Reverting Bicycle Facilities Non- Reverting Center Green Ice Non- Reverting Events & Festival Non- Reverting Code Enforcement Non- Reverting Sidewalk Non- Reverting 150,205$ 72,252$ 709,500$ 135,472$ 65,899$ 62,946$ ------ ------ ------ ------ - - - - - - 150,205 72,252 709,500 135,472 65,899 62,946 - - - - - - - - - - - - -- 2,527 --- ------ ------ ------ - - - - - - - - 2,527 - - - ------ - - - - - - - - - - - - ------ ------ ------ ------ ------ ------ - - - - - - ------ 150,205 72,252 - - 65,899 62,946 - - - - - - - - - - - - - - 706,973 135,472 - - ------ - - - - - - 150,205 72,252 706,973 135,472 65,899 62,946 150,205$ 72,252$ 709,500$ 135,472$ 65,899$ 62,946$ Continued on next page. BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS City of Carmel, Indiana Special Revenue Funds December 31, 2023 110 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Urban Forestry Clerk's Record Perpetuation Court Interpreter Public Defender Judicial Salary Fees Historic Preservation Fund 74,759$ 274,121$ 86$ 4,134$ 83,381$ 336,427$ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 74,759 274,121 86 4,134 83,381 336,427 - - - - - - - - - - - - - 2,103 - - 5,364 - - - - - - - - - - - - - - - - - - - - - - - - - - 2,103 - - 5,364 - - - - - - - - - - - - - - - - - - - - 272,018 - - - - - - 86 4,134 78,017 - - - - - - - - - - - - - - - - - - - 74,759 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 336,427 - - - - - - - - - - - - - - 74,759 272,018 86 4,134 78,017 336,427 74,759$ 274,121$ 86$ 4,134$ 83,381$ 336,427$ Continued on next page. City of Carmel, Indiana BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS Special Revenue Funds December 31, 2023 111 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Fire Gift Police Gift Parks Gift Community Relations Gift Redevelopment Commission Gift Economic Development 15,313$ 222,685$ 119,281$ 232,809$ 140,475$ 93,565$ - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 15,313 222,685 119,281 232,809 140,475 93,565 - - - - - - - - - - - - 749 27 120 10,075 - - - - - - - - - - - - - - - - - - - - - - - - - - 749 27 120 10,075 - - - - - - - - - - - - - - - - - - - - - - - 222,734 140,475 - 14,564 222,658 - - - - - - - - - - - - - - - - - - - - - 93,565 - - 119,161 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 14,564 222,658 119,161 222,734 140,475 93,565 15,313$ 222,685$ 119,281$ 232,809$ 140,475$ 93,565$ Continued on next page. City of Carmel, Indiana BALANCE SHEET December 31, 2023 NONMAJOR GOVERNMENTAL FUNDS Special Revenue Funds 112 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Housing Authority Drug Task Force Thoroughfare COVID Fund Grant Bond Bank Project Fund Total Special Revenue Funds 58,865$ 437,396$ 2,337,971$ -$ 1,996,843$ 6,845,780$ 44,221,509$ - --- - -553,569 - --- - -74,586 - --- - -364,371 - --- - -919,037 - - - - - - 8,059,813 58,865 437,396 2,337,971 - 1,996,843 6,845,780 54,192,885 - - - - - - - - - - - - - - - 11,254 -- - -807,265 - --- - -1,079,250 - --- - -74,586 - --- - -- - - - - - - 358,902 - 11,254 - - - - 2,320,003 - --- - -8,039,082 - - - - - - 1,472,606 - - - - - - 9,511,688 - --- - -635,227 - 426,142 -- 1,996,843 -3,647,825 - - 2,337,971 - - 6,845,780 15,993,734 - --- - -7,051,489 58,865 --- - -292,914 - --- - -12,734,609 - - --- - -413,719 - --- - -- - --- - -351,302 - --- - -- - --- - -61,503 - --- - -1,178,872 - - --- - -- - - - - - - - - 58,865 426,142 2,337,971 - 1,996,843 6,845,780 42,361,194 58,865$ 437,396$ 2,337,971$ -$ 1,996,843$ 6,845,780$ 54,192,885$ Continued on next page. Special Revenue Funds BALANCE SHEET December 31, 2023 City of Carmel, Indiana NONMAJOR GOVERNMENTAL FUNDS 113 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Redevelopment Authority Capital Projects Fund Ambulance Parks Capital Cumulative Capital Improvement Cumulative Capital Sewer Cumulative Capital Development 5,780$ 4,921,992$ 4,826,910$ 155,346$ $ 9,651 $ 298,923 - - - - -170,855 - - - - - - - - - - - - - - - - - - -262,352 - - - - 5,780 5,184,344 4,826,910 155,346 9,651 469,778 - - - - - - - - - - - - - 110,776 5,707 - - 32,994 --- - - - --- - - - - -- - -- - - - - - - - 110,776 5,707 - - 32,994 - - - - - - - 218,627 - - - 170,855 - 218,627 - - - 170,855 - -- - - - - - -- - 5,780 -- -- 265,929 - -- - 9,651 - -- -- - - - 4,821,203 -- - - -- - -- - 4,854,941 - - -- - - - 155,346 -- - - - - -- - - - - -- - - - - --- - -- - --- - - - - - - 5,780 4,854,941 4,821,203 155,346 9,651 265,929 5,780$ 5,184,344$ 4,826,910$ 155,346$ 9,651$ 469,778$ Continued on next page. City of Carmel, Indiana NONMAJOR GOVERNMENTAL FUNDS December 31, 2023 Capital Projects Funds BALANCE SHEET 114 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Old Town/126th Construction 2016 Property Tax Bond Construction 3 2016 Project Fund 2017 Project Fund 2018 CMBC Bond Construction Fund Total Capital Projects Funds 459$ -$ 164,846$ 1,285,985$ 475,813$12,145,705$ -- - - - 170,855 -- - - - - -- - - - - -- - - - - - - - - - 262,352 459 - 164,846 1,285,985 475,813 12,578,912 - - - - - - - - - - - - -- - - - 149,477 -- - - - - -- - - - - -- - - - - - - - - - - - - - - - 149,477 -- - - - - - - - - - 389,482 - - - - - 389,482 -- - - - - -- - - - - -- 164,846 1,245,364 - 1,681,919 -- - - - 9,651 459 - - 40,621 475,813 516,893 -- - - - 4,821,203- -- - - - - -- - - - 4,854,941 -- - - - 155,346 -- - - - - -- - - - - -- - - - - - -- - - - - - - - 459 - 164,846 1,285,985 475,813 12,039,953 459$ -$ 164,846$ 1,285,985$ 475,813$ 12,578,912$ Continued on next page. City of Carmel, Indiana BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS Capital Projects Funds December 31, 2023 115 ASSETS: Cash and cash equivalents Property tax receivable Due from other governmental funds Due from related utility Intergovernmental receivables Lease and other receivable Total assets DEFERRED OUTFLOW OF RESOURCES: Leases Total deferred outflow of resources LIABILITIES: Accounts payable Claims payable Due to other funds Unearned Revenue Accrued payroll Total liabilities DEFERRED INFLOW OF RESOURCES: Leases Unavailable revenue Total deferred inflow of resources FUND BALANCE: Restricted: General government Public safety Highways and streets Drainage and other capital assets Economic development Culture and recreation Committed: General government Public safety Highways and streets Drainage Economic development Culture and recreation Assigned Unassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, AND FUND BALANCES (Continued) Lease Rental 2004 Road Bond 2016 Property Tax Bond Fund 2021 L/R Property Tax Bond Fund 2022 L/R Property Tax Bond Fund Total Debt Service Funds Total Nonmajor Governmental Funds 3,853$ 79,345$ 148,081$ 98,627$214,421$ 544,327$ 56,911,541$ - 89,528 50,573 23,578 163,679 327,358 1,051,782 ---- - - 74,586 ---- - - 364,371 ---- - - 919,037 - -- - - - 8,322,165 3,853 168,873 198,654 122,205 378,100 871,685 67,643,482 - - - - - - - - - - - - - - ---- - - 956,742 ---- - - 1,079,250 ---- - - 74,586 ---- - - - - - - - - - 358,902 - - - - - - 2,469,480 ---- - - 8,039,082 - 89,528 50,573 23,578 163,679 327,358 2,189,446 - 89,528 50,573 23,578 163,679 327,358 10,228,528 ---- - - 635,227 ---- - - 3,647,825 3,853 79,345 148,081 98,627 214,421 544,327 18,219,980 ---- - - 7,061,140 ---- - - 809,807 ---- - - 17,555,812 - - - ---- - - 413,719 ---- - - 4,854,941 ---- - - 506,648 ---- - - - ---- - - 61,503 ---- - - 1,178,872 - - ---- - -- - - - - - - - - - 3,853 79,345 148,081 98,627 214,421 544,327 54,945,474 3,853$ 168,873$ 198,654$ 122,205$ 378,100$ 871,685$ 67,643,482$ City of Carmel, Indiana Debt Service Funds NONMAJOR GOVERNMENTAL FUNDS BALANCE SHEET December 31, 2023 116 Park Impact Fee Hazardous Material Parks Program Parks Monon Parks Facility Local Road & Street REVENUES: Charges for services 1,830,075$ 800$ 5,298,090$ 6,885,245$ 229,493$ -$ Investment income 229,187 2,491 197,988 253,086 15,564 - Licenses and permits -- - - - - Other -- - 15,790 36,774 48,230 Other taxes -- - - - - Contributions -- 32,767 13,176 - - General property taxes -- - - - - Intergovernmental: Grants -- - - - - Other intergovernmental -- - - - - Shared revenue - - - - - 2,684,734 Total revenues 2,059,262 3,291 5,528,845 7,167,297 281,831 2,732,964 EXPENDITURES: Current: General government -- - - - - Public safety -- - - - - Streets and other infrastructure -- - - - - Economic development -- - - - - Culture and recreation 1,702 - 4,429,120 6,345,285 204,141 - Debt service: Principal -- - - - - Interest -- - - - - Lease rentals and issuance costs -- - - - - Capital outlay: General government -- - - - - Public safety -- - - - - Streets and other infrastructure -- - - - 1,287,742 Economic development -- - - - - Culture and recreation 601,582 - - - 146 - Total expenditures 603,284 - 4,429,120 6,345,285 204,287 1,287,742 Excess (deficiency) of revenues over (under) expenditures 1,455,978 3,291 1,099,725 822,012 77,544 1,445,222 Other financing sources (uses): Transfers in, governmental funds -- 3,343 11,849 - -Transfer in (out) from (to) enterprise funds - - - - - Transfers (out), governmental funds -- - - - (801,848) Bond issuance - principal -- - - - - Bond issuance - premium -- - - - - Debt issuance - finacned purchase obligations - - - - - - Total other financing sources - - 3,343 11,849 - (801,848) NET CHANGE IN FUND BALANCES 1,455,978 3,291 1,103,068 833,861 77,544 643,374 FUND BALANCES: beginning 2,794,531 40,283 2,458,219 3,589,718 227,770 2,198,802 FUND BALANCES: ending 4,250,509$ 43,574$ 3,561,287$ 4,423,579$ 305,314$ 2,842,176$ Continued on next page. City of Carmel, Indiana For the Fiscal Year Ended December 31, 2023 STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS Special Revenue 117 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Deferral User Fee Barrett Law Barrett Law Surplus Storm Water 4CDC Operating Fund 778$ 48,216$ -$ -$ 4,232,827$ 777,416$ 8,393 - - - 97,731 - - 60,869 - - -- - - - - 399,125 334 - - - - -- - - - - -- - - - - -- - - - - -- - - - - -- - - - - - - 9,171 109,085 - - 4,729,683 777,750 - - - - - 474,423 45,444 37,336 - - -- - - - -- - - - - 158,446 - - - - -- - - - - 465,000 102,310 - - - - 111,935 252,249 - - - - -- - - - - -- - - - - -- - - - - 1,430,637 - - - - - -- - - - - - - 45,444 37,336 - - 2,007,572 987,428 (36,273) 71,749 - - 2,722,111 (209,678) - - - - -- - - - - - - - - - - (2,368,150) - - - - - -- - - - - -- - - - - - - - - - - (2,368,150) - (36,273) 71,749 - - 353,961 (209,678) 161,640 413,609 6 166,369 6,531,153 296,703 125,367$ 485,358$ 6$ 166,369$ 6,885,114$ 87,025$ Continued on next page. City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Special Revenue 118 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending CMCDC Operating Fund Motor Vehicle Highway Fund MIHP Opioid Settlement Health Self Insurance Workers Comp Support of the Arts 21,400$ -$ -$ -$ -$ -$ -$ - 316,323 342 - - - - - - - - - - - 474,687 1,168,963 - - - 300,000 - - 1,268,317 - - - - - - - - - - - - - 15,415,906 - - - - - - - - - - - - - - - - 48,886 - - - - 4,301,862 - - - - - 496,087 22,471,371 342 48,886 - 300,000 - - - - - 718,649 332,213 - - - 2,327 - - - - - 18,420,270 - - - - - 568,803 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 6,896,123 - - - - - - - - - - - - - - - - - - - 568,803 25,316,393 2,327 - 718,649 332,213 - (72,716) (2,845,022) (1,985) 48,886 (718,649) (32,213) - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 3,375,521 - - - - - - 3,375,521 - - - - - (72,716) 530,499 (1,985) 48,886 (718,649) (32,213) - 168,544 3,437,308 6,801 197,380 1,013,226 151,355 19,134 95,828$ 3,967,807$ 4,816$ 246,266$ 294,577$ 119,142$ 19,134$ Continued on next page. City of Carmel, Indiana FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN For the Fiscal Year Ended December 31, 2023 (Continued) Special Revenue 119 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Keystone Non- Reverting Bicycle Facilities Non- Reverting Center Green Ice Non- Reverting Events & Festival Non- Reverting Code Enforcement Non-Reverting Sidewalk Non- Reverting -$ -$ -$ -$ -$ -$ 8,624 3,681 43,437 6,169 3,698 3,272 - - - - - - - 16,891 456,708 40,876 10,000 - - - - - - - - - - 57,998 - - - - - - - - - - - - - - - - - - - - - - - - - - 8,624 20,572 500,145 105,043 13,698 3,272 - - - - - - - - - - - - - - - - - 4,891 - - - - - - - - 358,845 25,855 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 358,845 25,855 - 4,891 8,624 20,572 141,300 79,188 13,698 (1,619) - - - - - 8,636 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 8,636 8,624 20,572 141,300 79,188 13,698 7,017 141,581 51,680 565,673 56,284 52,201 55,929 150,205$ 72,252$ 706,973$ 135,472$ 65,899$ 62,946$ Continued on next page. City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Special Revenue 120 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Urban Forestry Clerk's Record Perpetuation Court Interpreter Public Defender Judicial Salary Fees Historic Preservation Fund -$ -$ - 3,228$ 24,501$ -$ - - 4 - - - - - -- - - - 26,434 - - - 63,590 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 26,434 4 3,228 24,501 63,590 - 42,470 - - - - - -- 2,084 39,804 - - - - - - - - - - - - 5,555 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 42,470 - 2,084 39,804 5,555 - (16,036) 4 1,144 (15,303) 58,035 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - (16,036) 4 1,144 (15,303) 58,035 74,759 288,054 82 2,990 93,320 278,392 74,759$ 272,018$ 86$ 4,134$ 78,017$ 336,427$ Continued on next page. STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) City of Carmel, Indiana Special Revenue 121 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Fire Gift Police Gift Parks Gift Community Relations Gift Redevelopment Commission Gift Economic Development -$ -$ -$ -$ -$ -$ 875 9,720 6,949 16,257 1,546 - - - - - - - - - - 10,740 100,000 20,000 - - - - - - 26,920 112,462 90,754 186,249 - - - - - - - - - - - - - - - - - - - - - - - - - - 27,795 122,182 97,703 213,246 101,546 20,000 - - - - - - 29,116 54,487 - - - - - - - - - - - - - - - - - - 97,456 179,664 3,612 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 29,116 54,487 97,456 179,664 3,612 - (1,321) 67,695 247 33,582 97,934 20,000 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - (1,321) 67,695 247 33,582 97,934 20,000 15,885 154,963 118,914 189,152 42,541 73,565 14,564$ 222,658$ 119,161$ 222,734$ 140,475$ 93,565$ Continued on next page. City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Special Revenue 122 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Housing Authority Drug Task Force Thoroughfare COVID Fund Grant Bond Bank Project Fund Total Special Revenue Funds -$-$ 326,601$ -$ -$-$19,678,670$ - 23,057 129,269 4,714 - 225,552 1,607,929 --- - -- 60,869 - 101,379 - - - 6,115,398 9,405,919 --- - -- 1,268,317 --- - -- 520,326 --- - -- 15,415,906 - 144,581 - 1,917,965 2,227,666 - 4,290,212 --- --48,886 - -- -- - 6,986,596 - 269,017 455,870 1,922,679 2,227,666 6,340,950 59,283,630 -- - -- 1,567,755 - 216,209 - - 1,000,000 - 1,426,807 --- - - 3,695,353 22,120,514 --- - -- 732,804 --- - -- 11,645,680 -- - - - 6,478,000 7,045,310 -- - - - 6,336,229 6,700,413 -- - - --- -- - - --- -- - - --- -- 4,956 2,072,003 -- 11,691,461 -- - - --- - - - - - - 601,728 - 216,209 4,956 2,072,003 1,000,000 16,509,582 63,532,472 - 52,808 450,914 (149,324) 1,227,666 (10,168,632) (4,248,842) -- - - - 7,627,504 7,651,332 - - - - - -- -- - - (20,701) - (3,190,699) -- - - --- -- - - --- - - - - - - 3,375,521 - - - -(20,701) 7,627,504 7,836,154 - 52,808 450,914 (149,324) 1,206,965 (2,541,128) 3,587,312 58,865 373,334 1,887,057 149,324 789,878 9,386,908 38,773,882 58,865$ 426,142$ 2,337,971$ -$ 1,996,843$ 6,845,780$ 42,361,194$ Continued on next page. City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Special Revenue 123 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Redevelopment Authority Capital Projects Fund Ambulance Parks Capital Cumulative Capital Improvement Cumulative Capital Sewer Cumulative Capital Development -$2,507,946$ -$-$ -$ -$ 543 238,712 163,532 - - - -- -- - - -- 4,786,605 - - - -- - 181,079 - 391,456 -- -- - - -- -- - 4,755,190 -- -- - - -- -- - - - - - - - 1,742 543 2,746,658 4,950,137 181,079 - 5,148,388 -- -- - - - 1,146,322 -- - - ---- - 370,166 ---- - - 8,294 - -- - - - -- -- - - -- -- - - -- -- - - -- -- - - -- -- - - 70,425 - - 181,087 - - -- -- - - - - 1,112,275 - - - 78,719 1,146,322 1,112,275 181,087 - 370,166 (78,176) 1,600,336 3,837,862 (8) - 4,778,222 -- 519,000 - - - - - - - - - -- -- - (4,512,953) -- - - - -- - - - - - - - - - - - 519,000 - - (4,512,953) (78,176) 1,600,336 4,356,862 (8) - 265,269 83,956 3,254,605 464,341 155,354 9,651 660 5,780$ 4,854,941$ 4,821,203$ 155,346$ 9,651$ 265,929$ Continued on next page. City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Capital Projects Funds 124 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Old Town/126th Construction 2016 Project Fund 2017 Project Fund 2018 CMBC Bond Construction Fund Total Capital Projects Funds -$ -$-$-$ 2,507,946$ - 12,267 107,574 2,737 525,387 - --- - - 844,878 -- 5,631,483 - --- 572,535 - --- - - --4,755,190 - --- - - --- - - - - - 1,742 - 857,145 107,574 2,737 13,994,283 - --- - - --- 1,146,322 - 650 2,184,195 - 2,561,935 - --- - - --- 8,294 --- - -- 380,000 380,000 - -- 492,468 492,468 - --- - - - --- - - --- - - 1,114,047 -- 1,365,559 - --1,000 1,000 - -- - 1,112,275 - 1,114,697 2,184,195 873,468 7,067,853 - (257,552) (2,076,621) (870,731) 6,926,430 - -- 877,000 1,396,000 - - - - - - --- (4,512,953) - --- - - --- - - - - - - - - 877,000 (3,116,953) - (257,552) (2,076,621) 6,269 3,809,477 459 422,398 3,362,606 469,544 8,230,476 459$ 164,846$ 1,285,985$ 475,813$ 12,039,953$ Continued on next page. City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Capital Projects Funds 125 REVENUES: Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental: Grants Other intergovernmental Shared revenue Total revenues EXPENDITURES: Current: General government Public safety Streets and other infrastructure Economic development Culture and recreation Debt service: Principal Interest Lease rentals and issuance costs Capital outlay: General government Public safety Streets and other infrastructure Economic development Culture and recreation Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses): Transfers in, governmental fundsTransfer in (out) from (to) enterprise funds Transfers (out), governmental funds Bond issuance - principal Bond issuance - premium Debt issuance - finacned purchase obligations Total other financing sources NET CHANGE IN FUND BALANCES FUND BALANCES: beginning FUND BALANCES: ending Lease Rental 2004 Road Bond 2016 Property Tax Bond Fund 2021 L/R Property Tax Bond Fund 2022 L/R Property Tax Bond Fund Total Debt Service Funds Total Nonmajor Governmental Funds -$ -$ -$-$ -$ -$22,186,616$ -- -- - - 2,133,316 -- -- - - 60,869 -- -- - - 15,037,402 - 205,122 115,871 54,260 376,684 751,937 2,592,789 ---- - - 520,326 - 2,645,629 1,495,378 699,719 4,840,737 9,681,463 29,852,559 -- -- - - 4,290,212 -- -- - - 48,886 - 913 516 - - 1,429 6,989,767 - 2,851,664 1,611,765 753,979 5,217,421 10,434,829 83,712,742 -- -- - - 1,567,755 -- -- - - 2,573,129 -- -- 5,667 5,667 24,688,116 -- -- - - 732,804 -- -- - - 11,653,974 - -- -- - - 7,425,310 -- -- - - 7,192,881 -- -- - -- - -- -- - -- -- -- - -- -- -- - - 13,057,020 -- -- - -1,000 - - - - - - 1,714,003 - - - - 5,667 5,667 70,605,992 - 2,851,664 1,611,765 753,979 5,211,754 10,429,162 13,106,750 -- -- - - 9,047,332 - - - - - - - - (2,793,500) (1,478,457) (670,000) (4,997,333) (9,939,290) (17,642,942) -- -- - -- -- -- - -- - - - - - - 3,375,521 - (2,793,500) (1,478,457) (670,000) (4,997,333) (9,939,290) (5,220,089) - 58,164 133,308 83,979 214,421 489,872 7,886,661 3,853 21,181 14,773 14,648 - 54,455 47,058,813 3,853$ 79,345$ 148,081$ 98,627$ 214,421$ 544,327$ 54,945,474$ City of Carmel, Indiana STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES - NONMAJOR GOVERNMENTAL FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Debt Service Funds 126 City of Carmel, Indiana SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES NONMAJOR FUNDS For the Fiscal Year Ended December 31, 2023 Motor Vehicle Highway Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Property taxes 16,397,118$ 16,397,118$ 15,415,906$ (981,212)$ MVHF distribution 3,765,821 3,765,821 4,296,219 530,398 Miscellaneous 3,173,059 2,463,013 2,754,050 291,037 Total Revenues 23,335,998$ 22,625,952$ 22,466,175$ (159,777)$ EXPENDITURES: Engineering: Personal services 2,174,015 2,174,015 2,079,550 (94,465) Supplies 17,400 17,400 13,485 (3,915) Other services and charges 788,139 788,139 312,482 (475,657) Capital outlay 65,157 65,157 60,459 (4,698) Street Department: Personal services 8,219,575 8,219,575 7,109,581 (1,109,994) Supplies 3,035,922 3,035,922 1,896,595 (1,139,327) Other services and charges 11,148,994 11,148,994 7,072,251 (4,076,743) Capital outlay 1,740,535 1,740,535 927,182 (813,353) Other expenditures - - - - - - 2,500,000 2,500,000 Total Expenditures 27,189,737$ 27,189,737$ 21,971,585$ (5,218,152)$ Fire Pension Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive REVENUES:Original Final Amounts (Negative) Interest -$ -$ 2,271$ 2,271$ Miscellaneous - - - - State assumption of pension payments 675,000 675,000 660,527 (14,473) Total Revenues 675,000 675,000 662,798 (12,202) EXPENDITURES: Personal services 688,964 688,964 644,145 (44,819) Supplies 150 150 - (150) Other services and charges 8,000 8,000 - (8,000) Total Expenditures 697,114$ 697,114$ 644,145$ (52,969)$ Continued on next page. Construction, reconstruction, and preservation 127 City of Carmel, Indiana SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES NONMAJOR FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Police Pension Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Interest -$ -$ 7,581$ 7,581$ State assumption of pension payments 600,000 600,000 652,291 52,291 Total Revenues 600,000 600,000 660,072 59,972 EXPENDITURES: Personal services 634,593 634,593 646,640 12,047 Supplies 300 300 - (300) Other services and charges 5,200 5,200 200 (5,000) Total Expenditures 640,093$ 640,093$ 646,840$ 6,747$ Local Road & Street Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Local road & street distribution 2,448,782$ 2,448,782$ 2,684,734$ 235,952$ Miscellaneous 265,000 265,000 48,230 (216,770) Total Revenues 2,713,782 2,713,782 2,732,964 19,182 EXPENDITURES: Other services and charges 3,480,188 3,480,188 1,160,457 (2,319,731) Capital outlay 1,318,468 1,318,468 - (1,318,468) Debt service 801,848 801,848 801,848 - Total Expenditures 5,600,504$ 5,600,504$ 1,962,305$ (3,638,199)$ Continued on next page. 128 City of Carmel, Indiana SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES NONMAJOR FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) Cumulative Capital Improvement Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Cigarette tax distribution 188,358$ 188,358$ 181,079$ (7,279)$ Total Revenues 188,358 188,358 181,079 (7,279) EXPENDITURES: Other services and charges 195,256 195,256 116,437 (78,819) Capital outlay 148,768 148,768 99,960 (48,808) Total Expenditures 344,024$ 344,024$ 216,397$ (127,627)$ Cumulative Capital Development Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Property tax 5,060,839$ 5,060,839$ 4,755,190$ (305,649)$ Commercial vehicle excise tax 1,676 1,545 1,742 197 Other 295,550 305,834 391,456 85,622 Total Revenues 5,358,065 5,368,218 5,148,388 (219,830) EXPENDITURES: Other services and charges 857,063 857,063 370,166 (486,897) Capital outlay - - - - Debt service 4,512,953 4,512,953 4,512,953 - Total Expenditures 5,370,016$ 5,370,016$ 4,883,119$ (486,897)$ Continued on next page. 129 City of Carmel, Indiana SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES NONMAJOR FUNDS For the Fiscal Year Ended December 31, 2023 (Continued) 2004 Road Bond P/I Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Property tax 2,651,880$ 2,651,880$ 2,645,629$ (6,251)$ Commercial vehicle excise tax 1,154 878 913 35 Other 304,561 154,869 205,122 50,253 Total Revenues 2,957,595 2,807,627 2,851,664 44,037 EXPENDITURES: Debt service 2,793,500 2,793,500 2,793,500 - Total Expenditures 2,793,500$ 2,793,500$ 2,793,500$ -$ 2016 G.O. Property Tax Bond Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Property tax 1,498,008$ 1,498,008$ 1,495,378$ (2,630)$ Commercial vehicle excise tax 573 496 516 20 Other 151,244 87,483 115,871 28,388 Total Revenues 1,649,825 1,585,987 1,611,765 25,778 EXPENDITURES: Debt service 1,485,380 1,485,380 1,478,457 (6,923) Total Expenditures 1,485,380$ 1,485,380$ 1,478,457$ (6,923)$ Continued on next page. 130 2021 L/R Property Tax Bond Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Property tax 698,396$ 698,396$ 699,719$ 1,323$ Commercial vehicle excise tax 242 231 - (231) Other 52,796 40,786 54,260 13,474 Total Revenues 698,638 739,413 753,979 14,566 EXPENDITURES: Debt service 1,485,380 1,485,380 670,000 (815,380) Total Expenditures 1,485,380$ 1,485,380$ 670,000$ (815,380)$ 2022 L/R Property Tax Bond Fund Actual Variance with Budgetary Final Budget Budgeted Amounts Basis Positive Original Final Amounts (Negative) REVENUES: Property tax 4,848,284$ 4,848,284$ 4,840,737$ (7,547)$ Commercial vehicle excise tax 1,888 1,606 - (1,606) Other 498,473 283,137 376,684 93,547 Total Revenues 4,850,172 5,133,027 5,217,421 84,394 EXPENDITURES: Debt service 5,058,000 5,058,000 5,003,000 (55,000) Total Expenditures 5,058,000$ 5,058,000$ 5,003,000$ (55,000)$ For the Fiscal Year Ended December 31, 2023 (Continued) City of Carmel, Indiana SUPPLEMENTARY INFORMATION BUDGETARY COMPARISON SCHEDULES NONMAJOR FUNDS 131 City of Carmel, Indiana FIDUCIARY FUNDS Pension trust funds - used to report resources that are required to be held in trust for the members and beneficiaries of defined benefit pension plans. The City maintains the following pension trust funds: The 1925 Police Pension Trust Fund accounts for the retirement and disability payments to police officers hired prior to May 1, 1977. The 1937 Fire Pension Trust Fund accounts for the retirement and disability benefits to firefighters hired prior to May 1, 1977. Custodial funds - used to account for resources that are custodial in nature. They are amounts held by the City on behalf of third parties. The City maintains the following custodial fund: The City Court Custodial Fund accounts for certain collections made by municipal court for redistribution to third parties. 132 1925 Police Pension Trust Fund 1937 Fire Pension Trust Fund Total Trust Funds ASSETS: Cash and cash equivalents 151,739$ 23,049$ 174,788$ Receivable from State of Indiana 53,824 53,992 107,816 Total assets 205,563 77,041 282,604 LIABILITIES: Payroll withholdings 53,823 53,993 107,816 Total liabilities 53,823 53,993 107,816 NET POSITION: restricted for pensions 151,740$ 23,048$174,788$ City of Carmel, Indiana COMBINING STATEMENT OF FIDUCIARY NET POSITION - PENSION FUNDS December 31, 2023 133 City Court Custodial Fund ASSETS: Cash and cash equivalents 84,013$ Total assets 84,013 LIABILITIES: Court escrow - Total liabilities - NET POSITION 84,013$ City of Carmel, Indiana COMBINING STATEMENT OF FIDUCIARY NET POSITION - CUSTODIAL FUND December 31, 2023 134 1925 Police Pension Trust 1937 Fire Pension Trust Fund Total Trust Funds ADDITIONS: Employer contributions 652,291$660,527$1,312,818$ Investment income 7,581 2,271 9,852 Miscellaneous revenue 2,959 2,483 5,442 Total additions 662,831 665,281 1,328,112 DEDUCTIONS: Benefits 646,841 644,146 1,290,987 Other services and charges 2,857 2,482 5,339 Total deductions 649,698 646,628 1,296,326 NET INCREASE (DECREASE) IN NET POSITION 13,133 18,653 31,786 NET POSITION: beginning 138,607 4,396 143,003 NET POSITION: ending 151,740$ 23,048$174,788$ - - - City of Carmel, Indiana COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION PENSION FUNDS For the Fiscal Year Ended December 31, 2023 135 City Court Custodial Fund ADDITIONS: Court costs and fees 1,116,016$ Miscellaneous revenue - Total additions 1,116,016 DEDUCTIONS: Distributions 1,115,241 Total deductions 1,115,241 NET INCREASE (DECREASE) IN NET POSITION 775 NET POSITION: beginning 83,238 NET POSITION: ending 84,013$ - City of Carmel, Indiana COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION CUSTODIAL FUND For the Fiscal Year Ended December 31, 2023 136 CONTENTS PAGES Financial Trends 138 - 143 Revenue Capacity 144 - 147 Debt Capacity 148 - 152 Demographic and Economic Information 153 - 154 Operating Information 155 - 156 Source: Unless otherwise noted, the information in these schedules is derived from the ACFR for the relevant year. Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. City of Carmel, Indiana Operating information is intended to provide contextual information about the City's operations and resources to assist readers in using financial statement information to understand and assess the City’s economic condition. STATISTICAL SECTION Financial trends information is intended to assist users in understanding and assessing how the City's financial position has changed over time. Revenue capacity information is intended to assist users in understanding and assessing the factors affecting the City's ability to generate its own-source revenues. Debt capacity information is intended to assist users in understanding and assessing the City's debt burden and its ability to issue additional debt. Demographic and economic information is intended to (1) assist users in understanding the socioeconomic environment within which the City operates and (2) provide information that facilitates comparisons of financial statement information over time and among governments. This part of the City's annual comprehensive financial report (ACFR) presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City's overall financial health. 137 2023 2022 2021 2020 2019 2018 2017 2016 2015 Governmental activities: Net investment in capital assets 411,624,202$ 393,652,201$ 369,685,144$ 376,746,545$ 378,022,382$ 412,830,075$ 344,721,169$ 299,216,267$ 314,601,738$ Not spendable - - - - - - - - - Restricted 38,700,717 27,687,634 32,312,802 14,625,073 23,734,389 35,065,020 30,924,357 25,355,156 25,629,325 Unrestricted (20,531,837) (33,751,811) (46,699,892) (68,251,242) (70,195,178) (94,111,631) (83,269,698) (35,777,877) (42,319,616) Total governmental activities net position 429,793,082$ 387,588,024$ 355,298,054$ 323,120,376$ 331,561,593$ 353,783,464$ 292,375,828$ 288,793,546$ 297,911,447$ Business-type activities: Net investment in capital assets 160,973,333$ 158,358,902$ 149,036,091$ 138,083,697$ 101,192,811$ 114,861,067$ 118,497,972$ 116,495,474$ 113,210,726$ Not spendable - - - - - - - - - Restricted 8,519,700 1,272,789 2,254,154 2,069,280 - - - - - Unrestricted (39,538,074) (34,722,917) (32,920,624) (27,625,888) 8,978,611 (5,903,010) (9,695,164) (4,011,279) (1,147,670) Total business-type activities net position 129,954,959$ 124,908,774$ 118,369,621$ 112,527,089$ 110,171,422$ 108,958,057$ 108,802,808$ 112,484,195$ 112,063,056$ Primary government: Net investment in capital assets 572,597,535$ 552,011,103$ 518,721,235$ 514,830,242$ 479,215,193$ 527,691,142$ 463,219,141$ 415,711,741$ 427,812,464$ Not spendable - - - - - - - - - Restricted 47,220,417 28,960,423 34,566,956 16,694,353 23,734,389 35,065,020 30,924,357 25,355,156 25,629,325 Unrestricted (60,069,911) (68,474,728) (79,620,516) (95,877,130) (61,216,567) (100,014,641) (92,964,862) (39,789,156) (43,467,286) Total primary government net position 559,748,041$ 512,496,798$ 473,667,675$ 435,647,465$ 441,733,015$ 462,741,521$ 401,178,636$ 401,277,741$ 409,974,503$ Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. City of Carmel, Indiana NET POSITION BY COMPONENT Last Ten Fiscal Years 138 2023 2022 2021 2020 2019 2018 2017 2016 2015 Expenses: Governmental activities: General government 57,405,357$ 63,854,679$ 34,218,709$ 31,926,796$ 29,340,736$ 24,996,549$ 30,372,875$ 30,984,884$ 20,841,943$ Public safety 92,218,814 85,040,775 56,351,024 53,605,541 54,710,167 53,919,299 41,085,416 40,267,560 42,151,467 Streets and other infrastructure 24,478,677 9,192,941 48,809,731 43,870,342 46,372,722 48,637,707 25,476,391 12,340,719 29,584,125 Economic development 32,106,869 22,793,124 32,871,669 34,750,667 39,956,058 15,817,738 16,711,747 54,995,901 10,771,611 Culture and recreation 23,574,946 15,868,909 11,946,131 20,141,103 21,497,105 21,621,998 17,932,242 10,122,290 18,549,674 Unallocated interest expense 5,820,181 5,505,060 5,059,713 5,593,677 2,623,251 2,267,516 18,217,810 5,545,855 4,542,707 Total governmental activities expenses 235,604,844 202,255,488 189,256,977 189,888,126 194,500,039 167,260,807 149,796,481 154,257,209 126,441,527 Business-type activities: Water 22,938,572 22,193,459 21,799,363 20,130,070 20,063,976 19,277,075 20,824,320 19,439,437 13,542,037 Sewer 12,807,261 11,303,035 9,859,506 10,567,339 10,479,383 10,163,336 10,451,835 10,016,870 7,305,928 Storm Water - - - - - - 5,367,154 1,651,075 - Other - - - - - - 769,837 706,935 895,780 Total business-type activities expenses 35,745,833 33,496,494 31,658,869 30,697,409 30,543,359 29,440,411 37,413,146 31,814,317 21,743,745 Total primary government expenses 271,350,677$ 235,751,982$ 220,915,846$ 220,585,535$ 225,043,398$ 196,701,218$ 187,209,627$ 186,071,526$ 148,185,272$ Program Revenues: Governmental activities: Charges for services: General government 105,198$ 166,786$ 131,588$ 306,364$ 146,498$ 221,467$ 211,995$ 82,803$ 72,056$ Public safety 2,585,469 2,213,582 1,945,203 1,926,343 1,774,066 1,713,002 1,726,580 1,470,638 1,152,600 Streets and other infrastructure 4,559,428 4,287,774 4,763,870 4,016,186 4,181,410 2,869,523 98,090 248,036 480 Economic development 974,991 615,833 1,595,688 1,470,526 1,913,324 1,482,785 52,093 - - Culture and recreation 15,711,058 12,765,467 10,273,612 8,087,184 12,983,411 12,403,573 12,818,388 11,585,645 7,345,221 Operating grants and contributions: General government - 1,773,107 1,134,894 3,357,992 - - - - - Public safety 1,457,399 1,224,798 1,192,278 1,238,625 1,245,695 1,322,719 96,894 112,651 60,618 Streets and other infrastructure - - - - - - - - - Economic development - - - - - - - - - Culture and recreation - - - - - - - - - Capital grants and contributions: General government - - - - - - - - - Public safety - - - - - - - - - Streets and other infrastructure 2,227,666 2,234,815 2,154,150 4,324,469 3,070,276 386,624 1,906,397 865,258 3,516,506 Economic development - - 1,184,653 - - - - - - Culture and recreation - - - - - - - - 50,043 Total governmental activities revenues 27,621,209$ 25,282,162$ 24,375,936$ 24,727,689$ 25,314,680$ 20,399,693$ 16,910,437$ 14,365,031$ 12,197,524$ Continued on next page. Last Ten Fiscal Years CHANGES IN NET POSITION City of Carmel, Indiana 139 2023 2022 2021 2020 2019 2018 2017 2016 2015 Business-type activities: Charges for services: Water 22,564,116$ 21,083,425$ 20,017,196$ 19,764,152$ 18,407,840$ 17,735,563$ 16,982,790$ 15,458,695$ 13,500,929$ Sewer 11,792,024 11,440,956 11,035,932 10,619,535 10,157,332 9,994,658 9,638,861 9,303,554 8,471,996 Storm Water - - - - - - 3,295,837 3,222,138 - Other - - - - - - 1,067,865 1,034,682 4,038,620 Capital grants and contributions: Water 4,987,576 6,022,094 5,775,390 3,419,195 3,458,396 3,279,973 4,995,765 4,620,949 - Sewer 1,728,089 2,094,015 1,912,958 761,819 387,133 629,483 336,363 552,460 - Total business-type activities revenues 41,071,805 40,640,490 38,741,476 34,564,701 32,410,701 31,639,677 36,317,481 34,192,478 26,011,545 Total primary government revenues 68,693,014$ 65,922,652$ 63,117,412$ 59,292,390$ 57,725,381$ 52,039,370$ 53,227,918$ 48,557,509$ 38,209,069$ Net (expense) revenue and changes in net position: Governmental Activities (207,983,635)$ (176,973,326)$ (164,881,041)$ (165,160,437)$ (169,185,359)$ (146,861,114)$ (132,886,044)$ (139,892,178)$ (114,244,003)$ Business-Type Activities 5,325,972 7,143,996 7,082,607 3,867,292 1,867,342 2,199,266 (1,095,665) 2,378,161 4,267,800 (202,657,663) (169,829,330) (157,798,434) (161,293,145) (167,318,017) (144,661,848) (133,981,709) (137,514,017) (109,976,203) GENERAL REVENUES AND TRANSFERS: Property tax 75,837,517 65,741,734 63,905,027 63,533,389 56,571,934 54,455,110 52,042,841 52,989,360 44,104,576 Income tax 69,439,020 54,550,714 57,887,325 44,412,562 44,847,572 43,996,077 41,801,838 36,700,613 32,745,504 Food and beverage tax 3,640,613 3,283,486 2,712,115 - - - - - - Tax incremental revenue 45,582,089 44,052,895 44,334,410 36,446,525 36,555,314 33,658,972 30,326,364 28,850,762 26,154,361 Unrestricted investment earnings 8,217,687 1,585,274 393,918 1,120,777 4,208,019 4,487,604 2,723,267 574,253 155,461 2,001,615 2,527,991 168,963 - - - - - - Other 45,190,365 36,916,359 26,416,886 24,398,945 21,196,478 29,899,818 15,522,157 16,797,331 20,679,190 Total general revenues and transfers 249,908,906 208,658,453 195,818,644 169,912,198 163,379,317 166,497,581 142,416,467 135,912,319 123,839,092 47,251,243 38,829,123 38,020,210 8,619,053 (3,938,700) 21,835,733 8,434,757 (1,601,698) 13,862,889 SPECIAL ITEM: gain - - - - - - - - 619,000 Total CHANGE IN NET POSITION 47,251,243 38,829,123 38,020,210 8,619,053 (3,938,700) 21,835,733 8,434,757 (1,601,698) 14,481,889 NET POSITION: beginning 512,496,798 473,667,675 435,647,465 441,733,015 462,741,521 400,056,203 401,190,880 409,974,503 395,492,614 Restatement - - - (14,704,603) (17,069,806) 40,849,585 (8,447,001) (7,095,064) - NET POSITION: beginning, adjusted 512,496,798 473,667,675 435,647,465 427,028,412 445,671,715 440,905,788 392,743,879 402,879,439 395,492,614 NET POSITION: ending 559,748,041$ 512,496,798$ 473,667,675$ 435,647,465$ 441,733,015$ 462,741,521$ 401,178,636$ 401,277,741$ 409,974,503$ Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. Total primary government net (expense) revenue City of Carmel, Indiana CHANGES IN NET POSITION Last Ten Fiscal Years (Continued) CHANGE IN NET POSITION BEFORE SPECIAL ITEMS American Rescue Plan - lost revenue replacement 140 2023 2022 2021 2020 2019 2018 2017 2016 2015 General Fund: Nonspendable -$ -$ -$ -$ -$ -$ -$ -$ -$ Restricted - - - - - - - - - Committed 5,926,992 5,926,992 - - - - - - - Assigned 6,663,002 8,565,071 6,726,730 5,259,777 3,014,336 3,014,336 1,803,672 1,910,880 1,416,155 Unassigned 19,741,549 18,878,417 22,154,293 22,314,019 22,006,859 23,328,255 15,034,935 15,066,402 14,008,886 Total General Fund 32,331,543$ 33,370,480$ 28,881,023$ 27,573,796$ 25,021,195$ 26,342,591$ 16,838,607$ 16,977,282$ 15,425,041$ All Other Governmental Funds: Nonspendable -$ -$ -$ -$ -$ -$ -$ -$ -$ Restricted 194,631,916 218,211,288 207,974,077 90,467,731 128,443,455 178,817,196 256,581,733 257,811,177 43,069,142 Committed 7,015,683 5,935,069 4,998,279 6,073,168 5,286,665 6,007,566 5,443,978 3,212,225 1,115,637 Assigned - - - - - - - - - Unassigned - - - - - - - - (249,855) Total all other Governmental Funds 201,647,599$ 224,146,357$ 212,972,356$ 96,540,899$ 133,730,120$ 184,824,762$ 262,025,711$ 261,023,402$ 43,934,924$ Total, Governmental Funds 233,979,142$ 257,516,837$ 241,853,379$ 124,114,695$ 158,751,315$ 211,167,353$ 278,864,318$ 278,000,684$ 59,359,965$ City of Carmel, Indiana FUND BALANCES ‐ GOVERNMENTAL FUNDS Last Ten Fiscal Years (modified accrual basis of accounting) Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. 141 2023 2022 2021 2020 2019 2018 2017 2016 2015 Revenues: Property tax 75,459,764$ 65,911,409$ 63,283,378$ 63,437,130$ 56,633,438$ 54,425,761$ 52,259,944$ 52,647,063$ 44,043,914$ Income tax 58,385,475 52,730,393 50,521,352 47,894,782 45,139,812 44,606,607 37,187,574 46,625,784 28,847,934 Food and beverage tax 3,640,613 3,283,486 2,712,115 Other local tax 45,582,089 44,052,895 44,334,410 36,446,525 36,555,314 33,658,972 30,326,364 28,850,762 26,154,361 Charges for services 23,936,144 20,049,442 18,709,945 15,806,603 20,998,709 18,679,782 14,907,146 12,901,368 8,570,357 Investment income 7,432,432 1,337,884 236,719 897,178 3,958,675 4,356,867 2,339,501 442,961 74,597 Licenses and permits 2,865,351 3,037,163 3,058,442 3,176,106 2,572,301 2,909,371 2,490,849 2,441,853 2,159,234 Fines and forfeits 291,674 224,910 292,965 250,062 439,110 457,062 466,731 571,556 788,604 Intergovernmental: Grants 5,603,030 7,760,711 4,650,285 7,748,027 3,166,761 4,358,623 1,710,058 1,191,485 3,062,731 Fire service contract - - - - - - - 6,825,041 4,870,501 State shared revenue 7,941,008 7,600,221 7,243,707 6,697,371 6,986,908 2,993,528 2,736,296 1,198,398 1,116,639 Other intergovernmental 149,042 171,959 148,236 2,177,824 3,289,848 7,426,341 5,995,761 - - Contributions 520,326 456,725 551,408 100,185 240,302 190,321 262,116 660,714 286,716 Other 30,848,638 23,539,536 14,040,943 11,480,128 7,091,842 12,175,681 4,336,810 5,858,544 10,915,190 Total revenues 262,655,586 230,156,734 209,783,905 196,111,921 187,073,020 186,238,916 155,019,150 160,215,529 130,890,778 Expenditures: Current: General government 14,656,298 22,362,064 30,733,896 29,981,293 28,720,273 24,830,230 29,533,750 28,670,916 20,135,899 Public safety 65,486,092 60,072,671 57,182,088 52,740,203 49,435,106 49,683,728 40,261,813 38,547,773 45,026,384 Streets and other infrastructure 26,920,907 25,128,383 27,810,264 20,944,061 31,433,579 30,794,894 13,258,597 13,540,350 13,784,488 Economic development 5,036,066 3,122,840 8,537,360 4,730,248 5,840,957 20,179,724 1,319,474 5,074,808 4,284,583 Culture and recreation 22,686,626 16,743,909 14,037,667 14,474,713 18,102,363 14,359,423 12,938,526 13,397,374 13,432,578 Debt Service: Principal 40,956,727 34,785,245 33,983,881 28,078,897 24,650,551 21,976,855 18,808,576 17,387,515 15,768,608 Interest 29,933,333 28,689,284 25,656,085 30,190,082 28,998,519 28,361,382 26,688,864 17,763,071 17,223,247 Financed purchases and issuance costs 18,919 140,482 1,216,129 - 328,421 - -- - Capital outlay: General government 33,581,892 32,797,626 4,224,592 1,629,419 1,301,526 503,513 707,523 2,931,360 119,885 Public safety 22,830,233 23,759,989 3,596,303 4,189,888 1,016,079 2,440,252 1,327,731 1,925,392 3,710,693 Streets and other infrastructure 17,345,657 15,150,340 17,459,764 44,467,946 52,780,716 84,098,163 60,138,533 25,097,876 4,445,749 Economic development 13,470,639 17,373,538 5,197,988 12,149,970 24,325,592 15,212,738 34,138,220 16,809,771 2,439,830 Culture and recreation 3,309,797 1,010,828 1,863,371 2,890,800 2,261,904 5,061,517 747,324 734,053 422,388 Total expenditures 296,233,186 281,137,199 231,499,388 246,467,520 269,195,586 297,502,419 239,868,931 181,880,259 140,794,332 Excess (deficit) of revenues over (under) expenditures (33,577,600) (50,980,465) (21,715,483) (50,355,599) (82,122,566) (111,263,503) (84,849,781) (21,664,730) (9,903,554) Continued on next page. City of Carmel, Indiana CHANGES IN FUND BALANCES ‐ GOVERNMENTAL FUNDS (modified accrual basis of accounting) Last Ten Fiscal Years 142 2023 2022 2021 2020 2019 2018 2017 2016 2015 Other financing sources (uses): Bond issuance - principal - 62,450,000 121,370,000 9,200,000 24,695,000 13,791,036 81,358,423 199,265,510 - Bond issuance - premium - 543,075 13,940,632 - - 243,540 3,334,569 35,087,956 - Proceeds - refunding - - - 187,465,000 - - 23,180,000 18,170,404 - Financed purchase issuance 8,598,177 2,339,342 2,823,029 4,648,419 3,530,369 2,555,639 2,638,693 2,294,226 3,167,006 Payment to refunded bond escrow agent - - - (186,342,596) - - (26,501,547) (17,909,681) - Transfers in 69,749,449 60,571,964 81,788,668 79,346,147 79,578,276 60,427,364 126,937,135 278,264,371 30,928,247 Transfer in from associated utility 1,441,728 1,320,506 1,320,506 1,912,211 1,320,506 1,320,506 1,703,277 1,606,319 1,014,100 Transfers out (69,749,449) (60,571,964) (81,788,668) (79,346,147) (79,578,276) (60,427,364) (126,937,135) (278,264,371) (30,928,247) Total other financing sources (uses)10,039,905 66,652,923 139,454,167 16,883,034 29,545,875 17,910,721 85,713,415 238,514,734 4,181,106 Total change in fund balances (23,537,695)$ 15,672,458$ 117,738,684$ (33,472,565)$ (52,576,691)$ (93,352,782)$ 863,634$ 216,850,004$ (5,722,448)$ Total debt service expenditures as a percentage of noncapital expenditures 28.6% 27.3% 30.6% 30.1% 27.5% 29.5% 28.9% 23.4% 25.0% Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. (Continued) City of Carmel, Indiana CHANGES IN FUND BALANCES ‐ GOVERNMENTAL FUNDS (modified accrual basis of accounting) Last Ten Fiscal Years 143 Taxes Net Value Net Value Total Total Payable Real Estate Railroad/ Utility/ Business Net Taxable Estimated Direct Year 2 Property Personal Property Assessed Value Actual Value 3 Tax Rate 2023 10,027,035,206 513,414,085 10,540,449,291 18,788,833,360 56.1% 0.7877 2022 8,783,788,344 523,259,929 9,307,048,273 16,744,445,574 55.6% 0.7877 2021 8,334,052,361 516,783,628 8,850,835,989 15,967,555,616 55.4% 0.7877 2020 8,005,622,698 509,094,794 8,514,717,492 15,258,648,418 55.8% 0.7877 2019 7,442,409,615 458,423,501 7,900,833,116 14,197,500,652 55.6% 0.7886 2018 6,666,896,042 467,365,607 7,134,261,649 12,997,560,747 54.9% 0.7887 2017 6,474,642,116 436,043,965 6,910,686,081 12,552,181,043 55.1% 0.7895 2016 6,220,543,748 420,168,770 6,640,712,518 12,043,692,490 55.1% 0.8356 2015 6,006,875,967 409,451,119 6,416,327,086 11,591,806,730 55.4% 0.7007 2014 4,829,947,454 398,186,327 5,228,133,781 9,538,010,360 54.8% 0.7007 Sources:Hamilton County Auditor's office Indiana Gateway for Government Units Notes:1.Property taxes are the City's most significant own-source revenue. 2.Assessed on January 1 of the prior year for taxes due and payable in the year indicated. 3. 4.Tax rates are per $100 of net assessed value. Estimated actual value is 100% of gross assessed value, which approximates market value. Residential real property for homesteads is subject to a $45,000 homestead deduction and a 35% supplemental homestead and other deductions to arrive at net assessed value. City of Carmel, Indiana ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY Last Ten Fiscal Years Net Taxable Assessed Value as a Percentage of Estimated Actual Value 144 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 City Direct Rates: Corporation General 0.4799 0.5591 0.5222 0.5631 0.5572 0.5769 0.5741 0.5745 0.5088 0.5381 Motor Vehicle Highway 0.1620 0.1350 0.1783 0.1268 0.1188 0.1051 0.1027 0.1701 0.1643 0.1249 Debt Service 0.0148 0.0141 0.0161 0.0183 0.0184 0.0193 0.0195 0.0000 0.0000 0.0000 Debt Payment 0.0069 0.0036 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 Redevelopment Bond 0.0262 0.0259 0.0211 0.0295 0.0445 0.0374 0.0440 0.0424 0.0000 0.0101 Bond #2 0.0479 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 Cumulative Capital Development 0.0500 0.0500 0.0500 0.0500 0.0497 0.0500 0.0492 0.0486 0.0276 0.0276 Total Direct Rate 0.7877 0.7877 0.7877 0.7877 0.7886 0.7887 0.7895 0.8356 0.7007 0.7007 Overlapping Rates: State 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 County 0.2744 0.2744 0.2744 0.2754 0.2791 0.2814 0.2814 0.2814 0.2926 0.3054 Solid Waste 0.0026 0.0029 0.0030 0.0030 0.0031 0.0032 0.0032 0.0032 0.0033 0.0033 Township - Clay 0.0707 0.0730 0.0741 0.0565 0.0640 0.0675 0.0694 0.0673 0.0746 0.0719 Library 0.0669 0.0742 0.0752 0.0751 0.0755 0.0760 0.0760 0.0778 0.0787 0.0787 Carmel Clay School Corp 0.8603 0.8602 0.8583 0.8572 0.8251 0.8118 0.8291 0.8053 0.8106 0.8453 Total Direct and Overlapping Rate 2.0626 2.0724 2.0727 2.0549 2.0354 2.0286 2.0486 2.0706 1.9605 2.0053 Source: Hamilton County Auditor's office property tax abstracts; Indiana Department of Local Government Finance certified budget orders. Notes: For taxes due and payable in the year indicated and assessed the prior year. City of Carmel, Indiana PROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS (Rate per $100 of assessed value) Last Ten Fiscal Years 145 Percentage of Total City Taxpayer Assessed Value Assessed Value Clarion Health North LLC 89,369,000 0.89% Meridian Ortho Development LLC 49,911,600 0.50% Karmel Property LLC 47,168,000 0.47% VSM Partners LLC 41,666,200 0.42% Carmel Lofts LLC 40,234,200 0.40% Edward Rose Development Carmel LLC 40,172,400 0.40% Carmel Center XIV LLC 38,805,400 0.39% Hunt Sunrise LLC 37,772,300 0.38% Lakeside Apartments of Carmel LLC 36,841,600 0.37% Midtown West Residential Partners LLC 35,221,500 0.35% 457,162,200 4.57% Percentage of Total City Taxpayer Assessed Value Assessed Value Clarion Health North LLC 103,000,000 2.13% Carmel Lofts LLC 46,211,100 0.96% Clay Terrace Partners LLC 31,123,400 0.64% Carmel Center XIV LLC 28,955,100 0.60% VSM Partners LLC 28,165,400 0.58% Parkwood Four & Five LLC 26,880,000 0.56% Edward Rose Development Company LLC 25,982,400 0.54% Providence HUD LLC 25,254,500 0.52% Indiana University Health inc. 25,241,000 0.52% Carmel Indy Holdings LLC 24,644,200 0.51% 365,457,100 7.56% Source: Hamilton County Auditor's office. 2023 2014 City of Carmel, Indiana Current Year and Nine Years Ago PRINCIPAL PROPERTY TAXPAYERS 146 Taxes Total Certified Cash Percentage Payable Year Tax Levy Credits 1 Collections 2 Total of Levy 2023 79,728,457 4,141,958 69,919,308 74,061,266 87.70% 2022 69,854,334 3,428,107 65,592,982 69,021,089 93.90% 2021 66,364,322 2,967,513 63,283,378 66,250,891 99.83% 2020 63,779,530 2,425,294 61,908,918 64,334,212 100.87% 2019 59,383,729 2,402,495 55,252,616 57,655,111 97.09% 2018 56,917,333 2,048,991 53,042,657 55,091,648 96.79% 2017 52,180,837 2,642,506 50,907,298 53,549,804 102.62% 2016 55,990,426 2,917,489 52,647,063 55,564,552 99.24% 2015 45,416,367 1,132,485 44,043,913 45,176,398 99.47% 2014 44,020,059 1,105,727 40,554,757 41,660,484 94.64% Sources:Indiana Gateway for Government Units Indiana Department of Local Government Finance Note:1. 2. Indiana local units are required to credit back to taxpayers a portion of tax bills exceeding a percentage of each property's assessed value. A taxpayer's property tax liability on homestead property taxes is capped at 1%, other residential and agricultural property taxes are capped at 2%, and other real property and personal property taxes are capped at 3%. Property taxes approved by referendum are not subject to these limitations. Hamilton County Auditor's Office system is not structured to track collections by year levied. The amount collected includes any delinquent payment plus any penalty or interest applicable. At the end of 2023, total delinquent property tax due to the City for 2023 and all prior years was approximately $7,105,255. City of Carmel, Indiana PROPERTY TAX LEVIES AND COLLECTIONS Last Ten Fiscal Years Total Collections 147 2023 2022 2021 2020 2019 2018 2017 2016 2015 Certified net assessed valuation 10,917,604,394$ 8,868,139,414$ 8,425,075,775$ $8,096,931,541 7,530,272,592$ 7,216,601,040$ 6,994,981,173$ 6,700,625,433$ 6,481,570,742$ 2% constitutional debt limit 2.0%2.0%2.0%2.0%2.0%2.0%2.0%2.0%2.0% Subtotal 218,352,088 177,362,788 168,501,516 161,938,631 150,605,452 144,332,021 139,899,623 134,012,509 129,631,415 divided by three 1 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 3.0 Debt limit 72,784,029 59,120,929 56,167,172 53,979,544 50,201,817 48,110,674 46,633,208 44,670,836 43,210,472 Net debt applicable to debt limit (29,283,052) (23,941,889) (25,189,286) (25,874,016) (24,822,199) (26,977,490) (29,641,000) (33,580,000) (15,417,000) Legal debt margin 43,500,977$ 35,179,041$ 30,977,886$ 28,105,528$ 25,379,618$ 21,133,184$ 16,992,208$ 11,090,836$ 27,793,472$ 59.77% 59.50% 55.15% 52.07% 50.56% 43.93% 36.44% 24.83% 64.32% Source: Indiana Department of Local Government Finance Notes:1.Division by three is required to adjust for a change in the method of determining values since the constitutional standard was established. 2.The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. Legal debt margin as percentage City of Carmel, Indiana LEGAL DEBT MARGIN INFORMATION Last Ten Fiscal Years 148 2023 792,136,305 15,944,052 808,080,357 171,871,517 3,177,857 175,049,374 983,129,731 13.71% 9,611 2022 841,626,754 9,794,889 851,421,643 165,668,186 2,417,344 168,085,530 1,019,507,173 16.57% 9,999 2021 820,834,516 10,266,286 831,100,802 169,545,505 1,228,526 170,774,031 1,001,874,833 12.14% 9,942 2020 725,062,256 10,206,016 735,268,272 164,363,644 1,089,246 165,452,890 900,721,162 11.23% 9,029 2019 739,095,398 8,433,199 747,528,597 151,165,878 1,092,136 152,258,014 899,786,611 11.36% 8,903 2018 743,736,654 7,637,383 751,374,037 135,831,887 519,822 136,351,709 887,725,746 12.01% 9,161 2017 721,260,757 7,315,666 728,576,423 172,348,990 721,688 173,070,678 901,647,101 13.75% 9,901 2016 660,449,791 6,836,403 667,286,194 175,750,411 562,700 176,313,111 843,599,305 13.67% 9,476 2015 755,670,563 7,315,666 762,986,229 139,951,647 721,688 140,673,335 903,659,564 15.19% 10,186 1 Population and personal income data can be found on the Schedule of Demographics and Economic Statistics. City of Carmel, Indiana RATIOS OF OUTSTANDING DEBT BY TYPE Last Ten Fiscal Years Governmental Activities Bonds and Contract Purchases Total Governmental Activities Financed Purchase Obligations Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. Debt per Capita ˡ Total Business Activities Total Primary Government Business Activities Bonds and Contract Purchases Financed Purchase Obligations Percentage of Personal Incomeˡ 149 2023 964,007,822 5.13%9,424 2022 1,007,294,950 6.02%9,879 2021 990,380,021 6.20%9,827 2020 889,425,900 5.83%8,916 2019 890,261,276 6.27%8,809 2018 879,568,541 6.77%9,077 2017 893,609,747 7.12%9,813 2016 836,200,202 6.94%9,392 2015 895,622,210 7.73%10,096 Note: Details regarding the City's outstanding debt can be found in the notes to financial statements. 1 Includes bonds and contract purchases of both governmental and business-type activities. 2 Property tax value can be found on the Schedule of Assessed Value and Actual Value of Taxable Property. 3 Population data can be found on the Schedule of Demographics and Economic Statistics. Bonds and Contract Purchases 1 City of Carmel, Indiana RATIOS OF GENERAL BONDED DEBT OUTSTANDING Last Ten Fiscal Years Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. Per Capita 3 Actual Value of Taxable Property 2 150 Percent Amount Outstanding Applicable to Applicable to Governmental Unit Debt (1) Carmel (2)Carmel Direct Debt: City of Carmel (see page 149)808,080,357$ 100.00% 808,080,357$ Overlapping Debt Paid with Property Taxes: Carmel Clay School Corporation 216,015,000 100.00% 216,015,000 Carmel Clay Public Library 24,690,000 100.00% 24,690,000 Clay Township 86,013,340 100.00% 86,013,340 Hamilton County 104,450,000 33.37% 34,854,965 Westfield-Washington School Corporation 184,635,000 0.97% 1,790,960 Westfield Washington Public Library 16,015,000 0.97%155,346 Sub-Total Overlapping Debt 631,818,340$ 363,519,610 Total Direct and Overlapping Debt 1,171,599,967$ Population - 2023 (3)102,296 Estimated direct and overlapping debt per capita 11,453$ Note: (3) Source: U.S. Census Bureau Overlapping districts are those that coincide, at least in part, with the geographic boundaries of the City. This schedule estimates the portion of the outstanding debt of those overlapping districts that is borne by the residents and businesses of the City. This process recognizes that, when considering the districts' ability to issue and repay long-term debt, the entire debt burden borne by the residents and businesses should be taken into account. (2) The percentage of overlapping debt applicable is estimated using taxable assessed property value. Applicable percentages were estimated by determining the portion of another governmental unit's assessed value that is within the City's corporate boundaries and dividing it by each unit's total assessed value. City of Carmel, Indiana DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT at December 31, 2023 (1) Source: Gateway for Governmental Units. 151 Net Revenue Operating Operating Available for Revenue Expenses 1 Debt Service Principal Interest Coverage 2 Water Utility 2023 22,564,116$ 12,575,930$ 9,988,186$ 6,852,000$ 3 6,274,698$ 76% 2022 21,083,425$ 11,824,604$ 9,258,821$ 5,354,000$ 6,483,689$ 78% 2021 20,017,196$ 11,292,258$ 8,724,938$ 4,822,000$ 6,713,111$ 76% 2020 19,764,152$ 10,321,412$ 9,442,740$ 4,070,000$ 6,049,021$ 93% 2019 18,407,840$ 10,818,376$ 7,589,464$ 3,625,000$ 5,019,477$ 88% 2018 17,735,563$ 10,480,050$ 7,255,513$ 3,191,000$ 4,912,499$ 90% 2017 16,982,790$ 11,035,945$ 5,946,845$ 2,797,000$ 5,901,623$ 68% 2016 15,458,695$ 9,343,469$ 6,115,226$ 2,877,177$ 5,993,331$ 69% 2015 13,500,929$ 9,367,529$ 4,133,400$ 3,457,294$ 6,158,188$ 43% Sewer Utility 2023 11,792,024$ 8,904,587$ 2,887,437$ 1,633,894$ 1,130,297$ 104% 2022 11,440,956$ 7,722,176$ 3,718,780$ 1,593,678$ 1,086,748$ 139% 2021 11,035,932$ 6,533,523$ 4,502,409$ 1,559,466$ 791,020$ 192% 2020 10,619,535$ 7,178,126$ 3,441,409$ 1,401,260$ 725,310$ 162% 2019 10,157,332$ 7,377,202$ 2,780,130$ 1,359,058$ 472,156$ 152% 2018 9,994,658$ 7,042,092$ 2,952,566$ 1,323,861$ 495,372$ 162% 2017 9,638,861$ 7,300,561$ 2,338,300$ 1,288,670$ 538,490$ 128% 2016 9,303,554$ 6,915,953$ 2,387,601$ 1,254,484$ 557,477$ 132% 2015 8,471,996$ 6,383,278$ 2,088,718$ 1,256,303$ 562,869$ 115% Note: Details of the City's outstanding debt can be found in the notes to the financial statements. Debt Service Requirements City of Carmel, Indiana PLEDGED‐REVENUE COVERAGE at December 31, 2023 Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. 3 The calculation of debt service principal payments for 2023 does not include debt service on a note in the amount of $17,745,000 due May 1, 2024. Management expects this note will be refinanced with a new note or longer term bond series. 2 Coverage = Net Available Revenue/Debt Service Requirements. 1 Operating expenses do not include depreciation and amortization. 152 Public Year-end Fiscal Median Per Capita Personal High School School Unemployment Year Population 1 Age 1, 2 Income 3 Income Graduation 4 Enrollment 4 Rate 5 2023 102,296 40.0 70,093 7,170,233,528 98.5% 16,072 1.9% 2022 101,964 37.8 60,329 6,151,386,156 96.4% 16,215 1.5% 2021 100,777 37.8 81,885 8,252,167,281 97.0% 16,395 1.3% 2020 99,757 39.4 80,426 8,023,056,482 95.2% 16,664 3.2% 2019 101,068 39.5 78,343 7,917,970,324 97.6% 16,352 2.0% 2018 96,900 39.2 76,293 7,392,791,700 97.9% 16,147 2.4% 2017 91,065 39.2 72,005 6,557,135,325 97.5% 16,082 2.2% 2016 89,029 39.9 69,337 6,173,003,773 96.5% 15,954 2.6% 2015 88,713 38.5 67,040 5,947,319,520 95.8% 15,971 3.0% 2014 86,682 38.4 64,271 5,571,138,822 96.9% 15,912 3.6% Sources:1 U.S. Census Bureau U.S. Census Bureau, American Community Survey 1-Year Estimates 2020 - U.S. Census Bureau, 2020 Census 2 U.S. Census Bureau, 5-Year American Community Survey Median Age and City of Carmel Per Capita Income 3 Bureau of Economic Analysis Hamilton County Per Capita Income for years 2012-2020. 2021 estimate based on trend. 4 Indiana Department of Education Total graduation rate and corporate enrollment, Carmel Clay Schools 5 Bureau of Labor Statistics City of Carmel, Indiana DEMOGRAPHIC AND ECONOMIC STATISTICS Last Ten Fiscal Years 153 Percentage of Total City Company Industry Employees Rank Employment Hospitals & health care 13,157 1 23.53% Insurance 2,534 2 4.53% Public education 2,251 3 4.03% Hospitals & health care 1,335 4 2.39% Safety & security systems 1,300 5 2.33% Life insurance holding company 1,200 6 2.15% Financial services 975 7 1.74% Vacation exchange network & services 862 8 1.54% Automobile auctions 700 9 1.25% Electric companies 700 10 1.25% Percentage of Total City Company Industry Employees Rank Employment Carmel Clay Schools Public Education 2,357 1 5.37% Conseco Inc (now CNO Financial Group)Life insurance holding company 1,750 2 3.99% Liberty Mutual/Indiana Insurance Insurance company 1,200 3 2.74% IU Health North Hospital (formerly Clarian North Medical Center)Acute healthcare facility 1,080 4 2.46% Resort Condominium Int. (RCI)Resort hotel 986 5 2.25% St. Vincent Carmel Hospital Acute healthcare facility 800 6 1.82% The Capital Group Financial services 750 7 1.71% Midcontinent Independent System Operator (MISO)Business consulting services 680 8 1.55% City of Carmel City government 598 9 1.36% St. Vincent Heart Center Acute healthcare facility 500 10 1.14% Sources: Hamilton County Economic Development Corporation City and Company Officials Carmel Clay School Corporation 2023 IU Health GEICO Carmel Clay Schools Ascension St. Vincent Hospital Allegion CNO Financial Group (formerly Conseco, Inc.) Amercian Funds/Capital Group Resort Condominium Itl. (RCI) OpenLane (formerly KAR Global) Midcontinent Independent System Operator, Inc. (MISO) 2014 City of Carmel, Indiana PRINCIPAL EMPLOYERS Current Year and Nine Years Ago 154 2023 2022 2021 2020 2019 2018 2017 2016 2015 General Government: Controller 6 6 6 7 0 0 0 0 0 City Clerk 5 5 5 5 9 9 9 8 6 Mayor 3 3 3 3 3 3 3 3 3 City Council 9 9 9 9 7 7 7 7 7 Board of Public Works 2 2 2 2 3 2 2 2 2 Plan Commission 9 9 9 9 9 9 9 11 11 Administration 4 4 4 4 4 3 3 2 4 City Court 4 4 4 4 6 6 7 7 7 Law Department 9 8 5 6 7 7 6 6 8 Community Services 28 24 24 24 23 23 21 22 22 Community Relations 10 10 9 9 7 7 6 5 4 Public Safety: Police Officers 144 139 136 129 118 114 114 109 117 Civilians 26 26 26 24 25 24 23 23 26 Fire Firefighters and Officers 165 174 164 160 154 146 147 153 166 Civilians 11 12 10 10 10 9 8 8 9 Culture and Recreation: Parks Department 73 65 53 53 69 63 65 64 62 Brookshire Golf 5 5 5 5 4 4 4 4 4 Utilities (Water and Sewer)105 106 106 105 105 104 104 103 109 Other Programs: Human Resources 5 4 5 4 4 3 3 3 3 Street 62 61 50 52 52 50 48 48 52 Engineering 13 15 15 15 15 15 15 15 16 Communications 16 16 14 14 14 14 16 15 13 Redevelopment 4 5 5 5 4 4 2 3 1 TOTAL 718 712 669 658 652 626 622 621 652 Source: City of Carmel Department Heads; Human Resources City of Carmel, Indiana CITY GOVERNMENT EMPLOYEES BY FUNCTION/ PROGRAM Last Ten Fiscal Years Note: Clerk-Treasurer split into City Clerk and Controller beginning in 2020. The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. 155 2023 2022 2021 2020 2019 2018 2017 2016 2015 General Government: Community Services Permits issued 1,725 1,764 2,098 1,610 1,628 1,703 1,557 1,351 1,237 Residential construction permits 327 405 562 332 358 478 463 429 359 Total number of dwelling units 988 1,033 943 592 469 767 759 432 1,663 Building inspections performed 7,310 605 436 531 512 487 472 431 476 Public Safety: Police Incidents 88,317 83,156 87,550 89,155 91,436 83,740 85,500 83,955 83,904 Occurred incidents 5,014 4,106 3,755 3,635 4,548 4,361 4,010 4,270 4,330 Accidents 2,411 2,187 2,065 1,602 2,645 2,575 2,504 2,488 2,442 Total agency arrests 2,253 1,757 1,410 1,517 2,469 2,569 2,459 2,530 2,642 Fire Emergency medical responses 6,295 6,200 5,700 4,934 6,279 5,517 5,136 4,755 4,402 Fire-related calls for service 3,119 3,134 2,809 2,495 3,848 3,220 2,906 2,592 2,312 Number of fire stations 6 6 6 6 6 6 6 6 6 Culture and recreation: Number of parks and greenways 21 19 19 19 17 17 17 16 15 Total acres 692 389 577 550 540 530 505 505 505 Total trail miles 30.2 26.5 26.5 26.5 26.5 26.5 16 16 16 Streets: Number of "center line" miles streets 530 527 527 524 515 486 485 483 482 Number of roundabouts 150 144 146 138 131 122 115 111 97 Sewer: Miles of sanitary mains 273 265 265 252 265 254 243 243 243 Miles of sanitary sewer main cleaned/inspected 105.00 96.00 135.70 27.00 25.40 16.00 14.85 14.20 13.65 7.30 9.28 9.95 10.24 10.82 10.78 10.16 10.05 9.92 Water: 584 579 573 555 550 565 538 538 538 22.6 26.2 23.2 22.5 24.0 21.5 22.0 21.0 19.0 Miles of water mains Peak-day water demand (in millions of gallons) Number of fire hydrants inspected/serviced 5,184 7,432 7,242 7,295 5,524 5,580 5,024 4,655 4,500 Source: City of Carmel Department Heads; Carmel Clay Parks Wastewater treatment flow per day (in millions of gallons) Note: The City is presenting its ninth ACFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations. City of Carmel, Indiana OPERATING INDICATORS AND CAPITAL ASSET STATISTICS BY FUNCTION/ PROGRAM Last Ten Fiscal Years 156