Comprehensive Annual Financial Report 2019CITY OF CARMEL INDIANA
Comprehensive Annual
Financial Report
For the Fiscal Year Ended December 31, 2019
Prepared by:
Board of Public Works and Safety
CITY OF CARMEL, INDIANA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
For the Fiscal Year Ended December 31, 2019
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INTRODUCTORY SECTION Pages
Letter of Transmittal 8–17
GFOA Certificate of Achievement 18
Organizational Chart 19
List of Elected and Appointed Officials 20–21
FINANCIAL SECTION
Independent Auditor's Report 23–24
Management Discussion and Analysis 26–35
Basic Financial Statements:
Government‐wide Financial Statements:
Statement of Net Position 36
Statement of Activities 37
Fund Financial Statements:
Governmental Funds:
Balance Sheet ‐ Governmental Funds 38
Reconciliation of the Balance Sheet ‐ Governmental Funds to the
Government‐wide Statement of Net Position 39
Statement of Revenues, Expenditures, and Changes in Fund
Balances ‐ Governmental Funds 40–41
Reconciliation of the Statement of Revenues, Expenditures, and Changes in
Fund Balances ‐ Governmental Funds to the Government‐wide
Statement of Activities 42
Proprietary Funds:
Statement of Net Position ‐ Proprietary Funds 43–44
Statement of Revenues, Expenses, and Changes in Net
Position ‐ Proprietary Funds 45
Statement of Cash Flows ‐ Proprietary Funds 46–47
Fiduciary Funds:
Statement of Fiduciary Net Position - Fiduciary Funds 48
Statement of Changes in Fiduciary Net Position - Fiduciary Funds 49
Notes to the Basic Financial Statements 50–91
Required Supplementary Information:
Schedule of Changes in Net OPEB Liability and Related Ratios 92
Schedule of Changes in Fiduciary Net Position 93
1925 Police Officers' And 1937 Firefighters' Pension Plans:
94
95
96
Schedule of Employer Contributions
Schedule of Net Pension Liability and Related Ratios
Schedule of Changes in Net Pension Liability
Notes to Schedules 97
Defined Benefit Pension Plans - Multiple Employer Plans:
Schedule of the City's Proportionate Share of the Net Pension Liability 98–99
Schedule of City Contributions 100
Notes to Schedules 101
City of Carmel, Indiana
Comprehensive Annual Financial Report
For the Fiscal Year Ended December 31, 2019
TABLE OF CONTENTS
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Pages
Budgetary Comparison Schedules - General Fund 102–105
Notes to the Required Supplementary Information -
Budgetary Comparison Schedules 106
Supplementary Information:
Nonmajor Governmental Funds - Information 107–110
Combining Balance Sheet - Nonmajor Governmental Funds:
Special Revenue Funds 111–114
Capital Projects Funds 114–116
Debt Service Funds 116
Combining Statement of Revenues, Expenditures, and Changes in Fund
Balances ‐ Nonmajor Governmental Funds:
Special Revenue Funds 117–120
Capital Projects Funds 120–122
Debt Service Funds 122
123–132
134
135
136
Budgetary Comparison Schedules ‐ Nonmajor Funds
Combining Statement of Fiduciary Net Position - Pension Funds
Combining Statement of Fiduciary Net Position - Custodial Funds
Combining Statement of Changes in Fiduciary Net Position - Pension Funds
Combining Statement of Changes in Fiduciary Net Position - Custodial Funds 137
STATISTICAL SECTION
Financial Trends:
Net Position by Component 139
Changes in Net Position 140–141
Fund Balances ‐ Governmental Funds 142
Changes in Fund Balances ‐ Governmental Funds 143–144
Revenue Capacity:
Assessed Value and Estimated Actual Value of Taxable Property 145
Property Tax Rates - Direct and Overlapping Governments 146
Principal Property Taxpayers 147
Property Tax Levies and Collections 148
Debt Capacity:
Legal Debt Margin Information 149
Ratios of Outstanding Debt by Type 150
Ratios of General Bonded Debt Outstanding 151
Direct and Overlapping Governmental Activities Debt 152
Pledged‐Revenue Coverage 153
Demographic and Economic Information:
Demographic and Economic Statistics 154
Principal Employers 155
Operating Information:
City Government Employees by Function/ Program 156
Operating Indicators and Capital Asset Statistics by Function/ Program 157
TABLE OF CONTENTS (CONTINUED)
For the Fiscal Year Ended December 31, 2019
City of Carmel, Indiana
Comprehensive Annual Financial Report
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INTRODUCTORY SECTION
Introductory Section:
Letter of Transmittal
Certificate of Achievement – Government Finance
Officers Association
City of Carmel Organization Chart
List of Principal Officials
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September 22, 2020
To the Honorable Members of the Carmel City Council, and Citizens of the City of Carmel, Indiana:
We are pleased to submit the Comprehensive Annual Financial Report (CAFR) for the City of Carmel (the City) year ended December 31, 2019. 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 controls
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 Indiana State Board of Accounts performed the City’s audit for 2019. Their
audit was conducted in accordance with generally accepted governmental auditing standards.
The State Board of Accounts concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion the that City of Carmel’s financial statements for the year ended December 31, 2019, are fairly presented in conformity with GAAP. The independent auditor’s report is presented as the first component of the financial section, on
pages 23-25 of this report.
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GAAP requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statement in the form of management’s discussion and analysis
(MD&A). The MD&A complements this letter of transmittal and should be read in conjunction with it. The City’s MD&A can be found immediately following the independent auditors’ report in the financial section of the CAFR.
CITY PROFILE
The City of Carmel was incorporated in 1874, and it is located in Hamilton County, directly north of Indianapolis. The City occupies nearly 49 square miles, with more than 515 miles of public roadways. The City has experienced tremendous growth within the past few decades
and serves mainly as a residential and commercial area for both Carmel and Indianapolis
professionals.
Carmel has an estimated population of 101,068 (according to recent census estimates and local housing starts as tracked by the City Department of Community Services). Personal
income statistics are above national and State of Indiana averages. The median household
income level is $116,867, and the median value of a home is $330,600. Hamilton County ranks first in the State of Indiana for median household income and second in the State for per capita personal income. The unemployment rate in Hamilton County has been substantially lower than that of the State of Indiana during the past 10 years.
The City is recognized for its sound corporate environment, high-quality residential neighborhoods, outstanding schools, cultural amenities, well-developed infrastructure, and strong economy. The City was ranked as the No. 1 place to live in America by Money Magazine for cities with a population of 50,000 to 300,000 in 2012, and is consistently
ranked among the best places to raise a family and among the safest cities by a variety of rating websites and agencies. The proximity of Carmel to Indianapolis provides increased employment and higher education opportunities for local residents.
City Structure
In 2019, the City operated under a Mayor, Clerk-Treasurer, Judge of the City Court, and a seven- member Common Council pursuant to Indiana law. The Mayor serves as the chief executive of the City and serves a four-year term. The Clerk-Treasurer, also elected to a four-year term, served as the fiscal officer in 2019 and was responsible for the financial and other records of the City. The legislative and fiscal body for the City is the Common Council. In
2019, the seven-member Council was comprised of two at-large and five district representatives who are elected to serve four-year terms. The Council meets formally twice a month to conduct City business. Its duties include the enactment of all ordinances and resolutions and approval of the annual budget.
Beginning in 2020, Carmel is designated as a second-class city in Indiana and therefore has an elected Clerk of the City, who serves a four-year term, along with a mayor-appointed Controller to serve as fiscal officer. A nine-member Common Council serves as the City's legislative and fiscal body.
The administrative body for the City is the Board of Public Works and Safety. This three-member board consists of the Mayor, who serves as the presiding officer, and two mayoral appointees. This Board is responsible for bidding infrastructure projects as well as other duties prescribed by Indiana state law.
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The City provides services in the following areas: public safety (police, fire, EMS, and emergency communications), community services (planning, code enforcement, and economic
development), parks and recreation, transportation (streets and sidewalks), engineering, storm water drainage, court, and general administrative services. In addition, the City provides wastewater utility services and drinking water.
The City of Carmel includes several departments and services, including the Community
Services, Community Relations and Economic Development, Redevelopment, Engineering, Human Resources, Street Department, Law, Administration, Information Systems, Police, Fire, Carmel Clay Communications Center, and the Carmel Water and Sewer Utilities.
The City employs a total of 652 employees, with union representation as follows:
Carmel Professional Firefighters / IAFF #4444 Firefighters 154
Fraternal Order of Police Lodge #185 Police 118
Planning and Zoning The Carmel Plan Commission promotes orderly growth throughout the City and other areas of
Clay Township. The nine-member Plan Commission is appointed by the Mayor (5), City Council (1), Park Board (1), City Engineer (1), and Board of Public Works (1). The Board of Zoning Appeals has five members appointed by the Mayor, City Council, and Plan Commission.
Component Units Certain financing and economic development functions are provided by a legally separate redevelopment authority, three 501(c)(4) corporations, and a statutory public improvement bond bank 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 City’s financial statements.
Additional information on these entities can be found in Note I.B. of the notes to the financial statements.
CITY ECONOMIC CONDITION
The City of Carmel has experienced extensive residential and commercial development in recent years and has been one of the fastest-growing areas in the Indianapolis
Metropolitan Area. Approximately 125 companies have international, national, or regional headquarters located in the City. Hamilton County has the second-highest per capita income and highest median household income in the State of Indiana.
The newest or expanded businesses in the City include Allied Solutions, Delta Faucet
expansion, Demand Jump, enVista, Flix Brewhouse, Kroger, GyanSys, HDR Advisory, Market District, Next Gear, Orchard Software, Policy Stat, Stratice Healthcare, and Theta
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Chi relocation. Several companies have expanded their offices and added jobs including Mitsch Design, an interior architectural design firm inside the Indiana Design Center,
adding 43 jobs; GadellNet, a provider of information technology services, adding 30 jobs; Allegion Americas expanding its regional headquarters and adding 125 jobs; and GEICO investing in a $16 million expansion with plans to add 1,500 jobs by the end of 2022. BCforward, an IT consulting firm, is planning to establish a Digital Innovation Academy and create up to 300 jobs by 2021. Liberty Mutual Insurance invested in a $14 million
expansion and plans to add 400 jobs by 2021. BraunAbility, a manufacturer of wheelchair lifts and vehicles, opened a new corporate headquarters and is planning a new Research & Development Center that will add 68 new jobs. Midcontinent Independent Transmission System Operator, Inc. (MISO), a provider of open-access transmission services, recently invested $30 million in its facility and is adding 84 new high-wage jobs in 2020.
Several established major employers in the City include GEICO with 1,500 employees, Liberty Mutual Insurance with 1,450 employees, RCI (formerly Resort Condominium International) with 1,125 employees, The Capital Group with approximately 975 employees, Next Gear Capital with 694 employees, Delta Faucet with 400 employees, and
Duke Realty with 252 employees.
Along US 31, known as the Meridian Corporate Corridor, numerous modern multi-story office complexes have been built in recent years. The corporate headquarters and offices of major corporations such as Delta Faucet, American Specialty Health, Blue Horseshoe
Solutions, CNO Financial Group, Inc., Monster.com, Encore Sotheby’s, and Liberty Mutual Insurance are among the many office complexes which line the Meridian Corridor for five miles from 96th Street to 146th Street. In September 2019, KAR Global, formerly KAR Auction Services, opened an $80 million state-of-the-art campus along the Meridian
Corridor. The company currently employs 892 employees in the City.
In addition to these corporate headquarters, the Corridor's strength as a provider of medical services is attested to by numerous health care facilities, including St. Vincent Carmel Hospital and its newly built Women’s Center, St. Vincent Heart Center, I.U. Health North
Hospital and Franciscan Health Carmel, which is in the process of building a new campus
with a full-service hospital. IU Health opened a $55 million new cancer center at its North hospital campus in January 2020. Goodman Campbell Brain and Spine moved into a new $17.6 million facility in May 2019 along the Meridian Corridor. In May 2019, Medistar Corporation and Post-Acute Medical LLC announced the development of a 60,000-square-
foot rehabilitation hospital along the Meridian Corridor. A $47 million national
headquarters for Zotec Medical Billing company is currently under construction and is expected to create 300 additional jobs by 2022. Franciscan Health Carmel is expanding with a new $120 million development, Franciscan Health Orthopedic Center of Excellence. The 235,000-square-foot facility is expected to be completed in 2022 and is being developed by
Meridian Ortho Development.
The Bridges is a 65-acre mixed-use, master-planned development located on the west side of US 31 in the Meridian Corridor. Over 250,000 square feet of restaurant and retail space, including a Market District store, serves 59,000 nearby workers and attracts customers from
inside and outside Carmel.
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To the east of Meridian Corridor, two major mixed-use developments have been constructed and opened within the past couple years: “The Olivia on Main”, a $30 million
development that includes 200 luxury apartments above ground-floor retail developed by Keystone Corporation; and “Grand and Main” an $80 million development that includes townhomes, apartments, a retirement community, retail space, and a hotel.
Old Town Companies is developing a project along Smokey Row in the City. The project,
expected to be completed by 2024, is a $135 million mixed-use development which will consist of retail space, office space, single-family homes, apartments, townhomes, and condominiums.
IMPACT OF COVID-19 PANDEMIC
The City has been tracking COVID-19 related expenses, currently approximately $1.2 million, and plans to submit these expenses for reimbursement from the State of Indiana Coronavirus Relief Fund (the “Fund”). The City currently anticipates that it will be eligible to receive $3,330,818 from the Fund; however, the City cannot predict whether all
submitted expenses will be deemed eligible by the State and reimbursed. The City continues to track expenses that are related to COVID-19 and will actively monitor opportunities for additional funding from the Fund to offset these expenses.
The unemployment rate in Carmel has also been impacted, but not to the extent seen in
other communities. Hamilton County has been substantially lower than that of the State of Indiana during the past 10 years. Although the local economy has been affected by COVID-19, many residents employed in professional services industries have continued to work from home. In April 2020, Hamilton County’s unemployment rate increased to 10.2%;
however, by May 2020, the unemployment rate began to decrease to 7.5%, well below
Indiana’s unemployment rate which was 17% in April 2020 and 11.9% in May 2020.
The City’s normally vibrant arts and culture district and activities have been impacted by COVID-19, much like the rest of the country, but appears to be recovering as the local
economy reopens as outlined by Governor Holcomb’s plan. The Center for Performing Arts
(PAC), which includes the Tarkington and Studio Theater and a world-class concert hall known as the Palladium, is currently experiencing significant revenue decreases due to COVID-19. The PAC has applied for and received $757,000 in Paycheck Protection Program (PPP) funding through the CARES Act, and the PPP funding was used to maintain
employment status for staff members through June 30, 2020. For the PAC’s current fiscal
year, July 1, 2020, through June 30, 2021, the PAC has greatly adjusted its budget and plans to utilize reserves and its PPP funding to offset revenue reductions resulting from a reduced number of performances and social distancing restrictions on seating capacity, which are expected to cause shows to lose money.
Construction was recently completed on the Hotel Carmichael (“Hotel”), a 122-room boutique hotel, via a partnership between the City and developer Pedcor utilizing the Downtown City Center Development Corporation and the CCC Boutique Hotel, LLC. The opening of the Hotel was delayed due to COVID-19; however, operating expenses of the
Hotel were also delayed. The construction loan is structured to be interest-only for the first
year, and the Hotel owner may request that interest be deferred on the loan stemming from the postponement of the opening.
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QUALITY OF LIFE
During the past 10 years, parkland in Carmel has increased from 20 to more than 1,000 acres through purchases and gifts. Central Park, which opened in 2007, provides many recreational
opportunities for residents of the City. The park includes a 146,000-square-foot community recreation center, which houses a three-court gymnasium, an indoor walking/jogging track, a workout center, meeting rooms, a banquet facility, park offices, and an outdoor and indoor aquatic center.
Another unique Carmel recreational feature is the Monon Greenway, a five-mile paved trail built on a former rail corridor, which extends through the center of Carmel and connects to the 10.5-mile Monon Trail system in Marion County to the south, extending all the way to downtown Indianapolis, and to Westfield to the north, connecting to the Grand Park sports complex. The trail system is very popular with joggers, walkers, bicyclists, and
rollerbladers. Trail expansions have brought our total miles of paths and trails to more than 195.
Cultural activities are provided by the $175-million Center for the Performing Arts in City Center, which includes the Palladium – a state-of-the-art, 1,600-seat concert hall; the Tarkington, a 500-seat proscenium arch theater, and the 200-seat Studio Theater. The Center is home to many local arts organizations including The Booth Tarkington Civic Theatre and the Carmel Symphony Orchestra.
Carter Green is a public place providing an area for the community and visitors to gather for events and festivals between the Palladium and Tarkington theater building. The Carmel Farmers Market attracts tens of thousands to its Saturday morning markets. The Carmel Christkindlmarkt and the Ice at Center Green is a winter wonderland with shops, dining
options, skating and entertainment in the fresh crisp air, attracting more than 320,000 people during its second holiday season. For the 2019 holiday season, Christkindlmarkt was open from mid-November until Christmas Eve each week from Wednesdays through Sundays. The Ice at Carter Green remained open until March 1st.
The Carmel Arts and Design District, located in the heart of Old Town Carmel, is comprised of galleries, eateries, boutiques, gift and interior design shops, antique stores, and other retail establishments geared toward the arts. It is also home to the Indiana Design Center, a premier destination for design in the Midwest.
Newly opened in 2019 was Midtown Plaza, an urban pocket park that is located along the Monon Greenway. This small park features unique outdoor, all-weather games that allow visitors to play ping pong and pool, an outdoor stage for live music, outdoor seating, green space, an outdoor fireplace, and a 16-foot-wide digital video screen on which the City shows
family-friendly movies and live sporting events.
The Carmel Clay Public Library serves residents of the City. The library provides students, teachers, and residents of the City access to books, other resource materials, and programs located in the library as well as a new mobile library service. The library is consistently ranked in the top ten libraries in the country by Hennen's American Public Library Ratings.
The present 116,000-square-foot facility provides state-of-the-art technology, group study rooms, and two technology centers. A new Community Tech Center on Main Street provides
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another location for computer use and training, software, a recording room, and 3-D printing services for library patrons. The library is currently in the process of completing
a $40 million expansion that is anticipated to include additional teen space, additional programming space, functional outdoor space, and a parking garage.
EDUCATION
Carmel Clay Schools serves the residents of the City and surrounding Clay Township. Currently, the school system has one high school, three middle schools, and eleven elementary schools. The Indiana Department of Education reports 2019 enrollment for the School Corporation at 16,352 students, and the superintendent’s office reports 1,061 certified
and 1,084 non-certified employees.
Special studies in the areas of Gifted & Talented, English as a New Language, Special
Education, and Title I services are provided by the School Corporation. In addition, the J. Everett Light Career Center provides vocational programs in auto mechanics, computers, construction trades, dental occupations, electronics, machine trades, and radio/television production, among others.
REDEVELOPMENT
In 1998, the City of Carmel and its Redevelopment Commission began an aggressive effort to redevelop and revitalize the center of the City, including the historic downtown, into a cultural and civic center, undergoing a tremendous amount of new construction, including offices, restaurants, retail, upscale apartments, condominiums, townhomes, and public spaces and
monuments designed to create a vibrant urban atmosphere.
The oldest part of this area is known today as the Carmel Arts & Design District, home to more than 100 arts- and design-related businesses, including art galleries, design studios, and
the Indiana Design Center, where professional designers maintain offices and showrooms. Located at the intersection of the Monon Greenway and Main Street is a mixed-use development called Monon & Main. The recently completed $20 million structure features Anthony’s Chophouse, a three-story, 12,000-square-foot restaurant, 3-UP, a rooftop bar, a four-story office building, retail space along Main Street, a parking garage, and seven
townhomes.
The City Center redevelopment project is home to the Center for the Performing Arts and several mixed-use buildings, including the Carmel City Center, the James, the Nash, the Mezz on the Monon, and nearly a dozen more buildings scheduled to be constructed in the next few
years. In 2019, construction began on a new Hotel Carmichael, a public-private partnership project that will result in the opening of a Marriott Autograph Collection boutique hotel.
The City also continued major redevelopment in an area located along the Monon Greenway between City Center and the Arts District – an area known as Midtown. The first several
phases of the Midtown redevelopment project, which includes mixed-use buildings, has attracted several corporate headquarters. This area is poised for rapid growth in 2020 for both residential and business sectors. Additional public spaces are planned as well.
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Another major mixed-use development, known as the Proscenium, is currently under construction in a redevelopment area south of the City government center. The $60 million
project includes apartments, a 100,000 square foot office building, retail space, and a one-level underground parking garage.
The City’s $30 million plan to expand the Monon Greenway from a 12-foot path to a 140-foot greenway with expanded paths for pedestrians and bicyclists, along with new one-way streets
on either side, includes the popular Midtown Plaza, a public park-like setting with green space, community games (such as outdoor ping pong and pool), a 16-foot video screen where movies and sporting events are broadcast and a stage for live music. In addition, the Monon Greenway expansion includes additional artwork, community benches, a spray plaza, and other features to enhance the landscape for residents and visitors.
The City has invested millions of dollars in infrastructure improvements in the past decade from major thoroughfares and road widening to replacing 130 intersections with roundabouts. The City also took ownership of Ind. 431 from the State of Indiana and transformed it into a nationally recognized and award-winning, free-flowing Keystone Parkway. With $90 million
from the State for reconstruction, Keystone Parkway was transformed from a congested, dangerous five-mile stretch of roadway into a free-flowing parkway with no traffic signals and intersections that are controlled by grade-separation and roundabouts. Upon seeing that project work well, the State of Indiana followed a similar model to upgrade U.S. 31 through Carmel and Westfield, removing traffic signals and using roundabouts to control grade-
separated interchanges along 13 miles between I-465 in Indianapolis to Ind. 38 north of the City. Additionally, the creation of new interchanges has helped spur additional economic development on Main Street.
The City also transformed a key north-south corridor known as Range Line Road, which cuts
through the middle of Carmel’s central corridor, placing the former 4-lane road with traffic signals on a “Road Diet.” This process eliminated two lanes of traffic, added a bike lane and a landscaped median, replaced traffic signals with roundabouts, and added pedestrian and bike-friendly raised crosswalks to promote walkability and safety in an area that has been
transformed by the City’s redevelopment efforts.
PENSION PLANS
The City of Carmel has four pension plans for its employees. All full-time employees, with the exception of public safety officers, are members of the Public Employees’ Retirement Fund of Indiana (PERF). PERF is classified as a cost-sharing, multiple-employer defined benefit plan and acts as a common investment and administrative agent for governmental
units in Indiana.
Police and fire department officers hired subsequent to April 30, 1977, are members of the 1977 Police Officers and Firefighters’ Pension Fund administered by PERF. Both plans are fully funded on an actuarially determined accrual basis. Police officers hired prior to May 1,
1977, are members of the Police Pension Fund established in 1925 by the State of Indiana. Firefighters hired prior to May 1, 1977, are members of the Fire Pension Fund established in 1937 by the State of Indiana. Additional information on funding policies and pension costs is in Note II.F. of the notes to the financial statements.
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OTHER POST-EMPLOYMENT BENEFITS (OPEB)
The City currently provides other post-employment benefits (OPEB) in the form of healthcare
benefits for retirees hired prior to October 3, 2016. Such benefits are self-funded by the City and administered by a third party. The retiree healthcare plan is not a contractual obligation that extends beyond the current budget year. The City is under no obligation to continue to offer similar benefits for future new hires.
Additional information regarding anticipated future payments can be found in Note II.G. of the notes to the financial statements.
FINANCIAL INFORMATION
City Budget & Budgetary Controls
The City Council is required to adopt a final budget through the passage of an ordinance no later than November 1, following a public hearing process conducted to obtain taxpayer comments.
This annual budget serves as the foundation for the City’s financial planning and control. The budget is prepared by fund, department (e.g., police), and major category (e.g., personal services). City administrators are generally authorized to transfer limited budgeted amounts
within departments between line items within any major category; however, any revisions
that alter the total expenditures of any major category must be approved by the City Council. Transfers between funds must also be approved by the City Council. At the end of the fiscal year, encumbered appropriations are carried forward and become part of the following year’s budget while appropriations that have not been encumbered lapse.
Accounting SystemThe City’s accounting records for general government operations are maintained by the Fiscal Office under a cash basis, with the revenues being recorded when received.
Expenditures are recorded when claims are approved and paid. Accounting records for the
City’s proprietary activities are maintained on the full accrual basis, with revenues recorded when earned and expenses when incurred.
In maintaining the City’s accounting system, consideration is given to the adequacy of
internal controls. Internal controls are designed to provide reasonable assurance regarding
the safeguarding of assets and to ensure the reliability of financial records and maintaining accountability for assets. The concept of reasonable assurance recognizes that the cost of control should not exceed the benefits likely to be derived. The evaluation of costs and benefits requires continuing estimates and judgments by City management. We believe that
under the Fiscal Office direction, the City’s system of internal accounting controls continues
to adequately safeguard assets and provide reasonable assurance that financial transactions are properly recorded.
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Risk Management The City carries traditional insurance for automobile liability and physical damage, general
liability, public officials’ liability, property and casualty, inland marine/boiler coverage, and crime insurance coverage. The City insures Worker Compensation using a large Per Claim Deductible Program with Stop Loss and Excess Insurance in place. The Water Treatment Facility is insured under “Special Form” property coverage.
CERTIFICATE OF ACHIEVEMENT
The Government Finance Officers Association of the United States (GFOA) awarded the
City a Certificate of Achievement for Excellence in Financial Reporting for its Comprehensive Annual Financial Report (CAFR) for the fiscal year that ended December 31, 2018. 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.
ACKNOWLEDGEMENTS
The preparation of this report involved many dedicated people across the organization. In particular, we would like to express appreciation to the staff of the Fiscal Office, whose support and dedication made the report possible. We would like to express our appreciation to the State Board of Accounts for their professionalism and support. Furthermore, we would
like to thank C.L. Coonrod and Company, CPAs, for consulting on the application of GAAP
and other technical requirements of the CAFR. Finally, we would like to thank the City Council, without whose leadership and support the preparation and results of this report would not have been possible.
Respectfully submitted,
James Brainard Mayor
Ann Bingman, CPA Controller
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The Government Finance
Officers Association of the
United States (GFOA)
awarded the City a
Certificate of Achievement
for Excellence in Financial
Reporting for its
Comprehensive Annual
Financial Report (CAFR) for
the fiscal year that ended
December 31, 2018. 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.
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City of Carmel, Indiana 2019 ORGANIZATIONAL CHARTDeputy Clerk of City BusinessFinancial AnalystChief Deputy Clerk‐TreasurerPayroll ManagerClaims and Payroll AssistantAdministrative AssistantAccounts Payable AdministratorDirector of FinanceEXECUTIVEBrookshire GC ManagerCourse ManagementGrounds MaintenanceFood/ Beverages OperationsClub House/ Pro Shop OperationsAdministrative AssistantHuman Resources DirectorEmployee Benefits ManagerEmployment/ Training CoordinatorOffice AdministratorADMINISTRATIONInformation Services/ Communications DirectorOffice AdministratorCommunications SupervisorSystems SupervisorGIS CoordinatorNetwork AdministratorCommunications Technician IGIS Technician INetwork Applications/ AnalystDatabase AdministratorProgrammerREDEVELOPMENTDirectorDeputy DirectorFinance ManagerOffice AdministratorCOMMUNITY RELATIONS & ECONOMIC DEVELOPMENTPublic RelationsMedia RelationsSpecial Events CoordinationEconomic DevelopmentTransportation DevelopmentENGINEERINGCity EngineerAsst. City EngineerConstruction ManagerEngineering AdministratorPlan Review CoordinatorConstruction InspectorStorm Water AdministratorRight of Way InspectorPublic Works CoordinatorFIREFire ChiefDeputy ChiefBattalion (Chief) ‐Division Head (Chief) ‐Accreditation ManagerExecutive OfficerCaptainLieutenantEngineerFirefighterQuartermasterMechanicAdministrative AssistantChaplainPart‐time MembersLAWCorporation CounselAsst. Corporation CounselExecutive/ Legal SecretaryAdministrative Assistant I & IIDeferral Program CoordinatorPOLICEPolice ChiefAsst. ChiefMajorLieutenantSergeantPatrol Officer 1st and 2nd Class, ProbationaryCrime Scene/ Evidence TechnicianMechanic IQuartermaster/ Fleet ManagerUTILITIESDirectorOperations ManagerPlant ManagerManager of Water QualityDistribution/ Collections ManagerElectrical/ Controls EngineerSenior Utilities AccountantAsst. Plant ManagerForemanHazardous Waste CoordinatorCustomer Service ManagerSTREETSStreet CommissionerOperations ManagerSkilled Labor/ Foreman ISkilled Labor/ Foreman IIOffice AdministratorGIS Technician IAdministrative Assistant ISkilled LaborLEGISLATIVESeven Council MembersJUDICIALClerk of Court AdministratorAsst. Clerk of Court AdministratorDeputy Clerk I&IIBailiffFISCALDirector19
Mayor City Clerk City Court Judge
James Brainard Sue Wolfgang Brian Poindexter
jbrainard@carmel.in.gov swolfgang@carmel.in.gov bpoindexter@carmel.in.gov
President
Laura Campbell
North District
lcampbell@carmel.in.gov
Chaplain
Kevin “Woody” Rider
At-Large
krider@carmel.in.gov
Vice President & Parliamentarian
Sue Finkam
Northeast District
sfinkam@carmel.in.gov
Jeff Worrell Bruce Kimball
At-Large Central District
jworrell@carmel.in.gov bkimball@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, 2019
Elected Officials
20
City of Carmel, Indiana
LIST OF ELECTED AND APPOINTED OFFICIALS
For the Fiscal Reporting Year Ended December 31, 2019
(Continued)
Appointed Officials
Board of Public Works(Appointed by the Mayor)
Mayor James BrainardLori WatsonMary Ann Burke
Carmel Audit Committee(Appointed Officials)
Arnold Hanish, ChairmanJosephine BiggersKevin “Woody” Rider Michael N. Ruggiero
Ted A. Spearman
Carmel Redevelopment Authority(Appointed Officials)
Robert Bush, PresidentJay Brill, Secretary/TreasurerLea Lockhart Sasena
Carmel Redevelopment Commission(Appointed Officials)
William Hammer, PresidentDavid C. Bowers, Vice PresidentWilliam L. Brooks, SecretaryAdam Campagna
Jeff WorrellKatie Browning
21
Since opening in 2011, the Center for the Performing Arts has welcomed more than 700,000 audience
members to more than 1,700 performances. Tickets have been purchased by households in all 92
counties within Indiana, all 50 states and 23 countries. More than 60 percent of ticket-buying households
are located outside of Hamilton County.
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
22
STATE OF INDIANA
AN EQUAL OPPORTUNITY EMPLOYER STATE BOARD OF ACCOUNTS 302 WEST WASHINGTON STREET ROOM E418 INDIANAPOLIS, INDIANA 46204-2769
Telephone: (317) 232-2513 Fax: (317) 232-4711 Web Site: www.in.gov/sboa
INDEPENDENT AUDITOR'S REPORT
TO: THE OFFICIALS OF THE CITY OF CARMEL, HAMILTON COUNTY, INDIANA
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, each major fund, and the aggregate remaining fund information of the City of
Carmel (City), as of and for the year ended December 31, 2019, and the related notes to the financial
statements, which collectively comprise the City's basic financial statements as listed in the Table of
Contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements
in accordance with accounting principles generally accepted in the United States of America; this includes
the design, implementation, and maintenance of internal control relevant to the preparation and fair pre-
sentation of the financial statements that are free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express opinions on these financial statements based on our audit. We
conducted our audit in accordance with auditing standards generally accepted in the United States of
America. Those standards require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and dis-
closures in the financial statements. The procedures selected depend on the auditor's judgment, including
the assessment of the risks of material misstatement of the financial statements, whether due to fraud or
error. In making those risk assessments, the auditor considers internal control relevant to the City's
preparation and fair presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the City's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of significant accounting estimates
made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, each major fund,
and the aggregate remaining fund information of the City, as of December 31, 2019, and the respective
changes in financial position and, where applicable, cash flows thereof and for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
23
INDEPENDENT AUDITOR'S REPORT
(Continued)
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
Management's Discussion and Analysis, Schedule of Changes in Net OPEB Liability and Related Ratios,
Schedule of Changes in Fiduciary Net Position, Schedule of Employer Contributions, Schedule of Net
Pension Liability and Related Ratios, Schedule of Changes in Net Pension Liability, Schedule of the City's
Proportionate Share of the Net Pension Liability, Schedule of City Contributions, and Budgetary
Comparison Schedules - General Fund, as listed in the Table of Contents, be presented to supplement the
basic financial statements. Such information, although not a part of the basic financial statements, is
required by the Governmental Accounting Standards Board who considers it to be an essential part of
financial reporting for placing the basic financial statements in an appropriate operational, economic, or
historical context. We have applied certain limited procedures to the required supplementary information
in accordance with auditing standards generally accepted in the United States of America, which consisted
of inquiries of management about the methods of preparing the information and comparing the information
for consistency with management's responses to our inquiries, the basic financial statements, and other
knowledge we obtained during our audit of the basic financial statements. We do not express an opinion
or provide any assurance on the information because the limited procedures do not provide us with
sufficient evidence to express an opinion or provide any assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that collec-
tively comprise the City's basic financial statements. The accompanying Introductory Section, combining
nonmajor governmental fund statements, other budgetary schedules, and Statistical Section are presented
for purposes of additional analysis and are not a required part of the basic financial statements.
The combining nonmajor governmental fund statements and other budgetary schedules are the
responsibility of management and were derived from and relate directly to the underlying accounting and
other records used to prepare the basic financial statements. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and certain additional procedures,
including comparing and reconciling such information directly to the underlying accounting and other
records used to prepare the basic financial statements or to the basic financial statements themselves, and
other additional procedures in accordance with auditing standards generally accepted in the United States
of America. In our opinion, the combining nonmajor governmental fund statements and other budgetary
schedules are fairly stated, in all material respects, in relation to the basic financial statements as a whole.
The Introductory and Statistical Sections have not been subjected to the auditing procedures
applied in the audit of the basic financial statements, and, accordingly, we do not express an opinion or
provide any assurance on them.
Paul D. Joyce, CPA
State Examiner
September 22, 2020
24
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City of Carmel, Indiana
MANAGEMENT DISCUSSION AND ANALYSIS
For the Fiscal Year Ended December 31, 2019
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, 2019. 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 36 of this report.
Financial Highlights
•The assets and deferred outflows of resources of the City exceeded its liabilities and deferred inflows at the close of the fiscal
year by $441,733,015 (net position).
•The City's overall net position decreased $3,938,700 from the prior fiscal year. The reasons for this overall decrease 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 $158,751,315, a
decrease of $52,576,691 in comparison with the prior year. Approximately $22,006,859 of this amount (13.9%) is available for
spending at the government's discretion (unassigned fund balance).
•At the end of the current fiscal year, unrestricted fund balance (the total of the committed, assigned, and unassigned components
of fund balance) for the General Fund was $25,021,195, or approximately 30.1% of total General Fund expenditures.
•The City's total outstanding long-term debt increased by $17,626,043 during the current year.
Overview of the Financial Statements
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.
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 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).
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 a legally
separate redevelopment authority, three 501(c)(4) corporations, and a statutory public improvement bond bank 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 36 of this report.
26
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-three 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, 2016 Project Fund, 2017 Project Fund, and Redevelopment Authority Debt Service
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 38 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 43 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 48 of this report.
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 50 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 in funding its obligation to provide pension and other post-employment benefits (OPEB) to its
employees. Required supplementary information can be found beginning on page 92 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 111 of this report.
27
City of Carmel's Net Position
Current and other assets
Capital 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
Other post-employment benefits – retiree healthcare
obligation Non-uniform public employee retirement plan
obligation
'37 firefighters pension plan obligation
'25 police pension plan obligation
2018
Adjusted*
22,970,998
963,927,119
986,898,117
15,255,498
479,215,193
20,132,289
803,672,537
Governmental Activities
2018
25,067,510$
Business-type Activities
2018
$ 56,143,940
Adjusted*
242,447,104$
1,154,675,510
33,836,026
20,697,724
949,605,021
970,302,745
Net investment in
capital assets
(70,195,178)
1,397,122,614
251,386,551
17,981,547 2,838,709
205,011,843$
$ 24,736,720
1,065,856
163,093,291
179,944,333$
954,883,563
1,134,827,896
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 $441,733,015 at the close
of the fiscal year.
903,288,959
2,716,177
144,119,488
146,835,665
32,770,170
805,485,533
8,260,653$
(100,094,790)
445,671,715$
31,534,823
Adjusted*
234,186,451$
23,734,389
8,978,611
110,171,422$
101,192,811
-
1,411,332,305 259,647,204
Total
2019 2019
4,919,338 4,259,198
(5,903,010)
2019
-
331,561,593$
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 payments, 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.
10,330,409
108,958,057$
823,804,826
336,713,658$
9,505,178
*The effect of 2019 prior period adjustments is included above in 2018. See Note II.K. beginning on page 91 for more information.
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.
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 $61,216,567.
The City reported significant negative unrestricted net position of $70,195,178 in governmental activities. This deficit is due in part
to unfunded pension and retiree healthcare liabilities of $56.1 million, as follows:
11,359,259
15,494,779
35,065,020
1,137,475,410
1,206,320,462 251,436,899
32,554,325
35,065,020 23,734,389
160,254,582
378,022,382 114,861,067
276,504,409
1,019,502
823,467,080
10,575,441
395,840,418
(94,191,780) (61,216,567)
10,996,300
510,701,485
441,733,015$
28
The following chart displays the revenue composition for the City's Governmental Activities funds.
The City's overall net position decreased $3,938,700 from the prior fiscal year. The reasons for this overall decrease are
discussed in the following sections for governmental activities and business-type activities.
Governmental Activities. During the current fiscal year, net position for governmental activities decreased $5,152,065 from the
prior fiscal year for an ending balance of $331,561,593. The decrease was three percent, indicating a relatively stable and healthy
net position.
The following chart displays Program Revenues and Expenses by function for the City's Governmental Activities.
Another contributing factor to the deficit is the City’s growth and aggressive 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 rich commercial tax base, yielding one of the
lowest local tax rates in Indiana, despite the cost of debt.
(100) ‐ 100 200 300 400 500 600
Millions
City of Carmel
Net Position
December 31, 2019
Unrestricted Restricted Net investment in capital assets
‐
10,000,000
20,000,000
30,000,000
40,000,000
50,000,000
60,000,000
General government Public safety Streets, infrastructure Economic development Culture and recreation Interest on long‐term
debt
CITY OF CARMEL
Program Revenues vs. Expenses
For the Fiscal Year Ended December 31, 2019
Program Expenses Program Revenues
Property taxes
30.09%
Other taxes
43.29%
Charges for services
11.17%
Operating grants and
contributions
0.66%
Capital grants and contributions
1.63%
Other
13.16%
City of Carmel
Governmental Activities Revenue
For the Fiscal Year Ended December 31, 2019
29
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
Other taxes
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
Change in net position before transfers
Transfers
Increase (decrease) in
net position
NET POSITION - beginning
Restatement*
NET POSITION -
beginning, adjusted
NET POSITION - ending
336,713,658 107,948,560
108,958,057$$
(1,320,506)
20,826,236
62,741,521 4$$
445,671,715
41,733,015 4$$ 353,783,464$$
332,957,228
20,063,976 19,277,075
10,163,336
-
-
39,956,058
-
15,817,738
56,571,934
81,402,886
-
-
130,737
31,770,414
-
19,277,075
24,737,968
188,027,468
29,340,736
54,710,167
46,372,722
-
18,690,350$$
3,909,456 386,624 3,070,276
Governmental Activities
20182019Adjusted*
Business-type Activities
20182019Adjusted*Adjusted*
1,245,695
462,741,521
440,905,788
20,063,976
10,479,383 10,163,336
108,958,057
-
-
1,009,497
15,817,738
21,621,998
10,479,383
225,043,398
(3,938,700)
-
194,500,039
(6,472,571)
1,320,506
(5,152,065)
21,835,733
29,340,736
54,710,167
48,637,707
-
107,680,372
167,260,807 196,701,218
(1,320,506) -
21,835,733
20,998,709$$
-
1,213,365
28,565,172$$
29,440,411
-
30,543,359
2,533,871
331,561,593$$
1,320,506
10,171,422 1$$
(17,069,806)
186,766,537
24,996,549
53,919,299
48,637,707
19,505,730
218,536,951
24,996,549
53,919,299
-
3,845,529
-
-
666,529
33,077,230
-
-
34,256,685
54,455,110
25,404,497
2,330,003
2,623,251
39,956,058
-
2,267,516
46,372,722
221,104,698
6,915,805
56,571,934
81,402,886
21,497,105
-
-
1,245,695
46,420,571$$
2019
49,563,881 27,730,221 $$ $$
Total
2018
(3,938,700)
-
-
2,267,516
-
1,322,719
34,387,422
1,322,719
4,296,080
54,455,110
77,655,049
-
*The effect of 2019 prior period adjustments is included above in 2018. See Note II.K. beginning on page 91 for more information.
40,581,397 268,188 (17,069,806) 40,849,585
353,783,464 292,375,831 108,958,057 400,056,203
-
-
77,655,049
21,497,105
2,623,251
-
21,621,998
The following chart displays the revenue composition for the City's Business-type Activities funds.
Business-type Activities. For the City's business-type activities, overall net position increased to an ending balance of
$110,171,422. The total increase in net position for business-type activities (water and sewer) was $1,213,365 or 1.1% from the
prior fiscal year, indicating a relatively stable and healthy net position.
The following chart displays program revenues and expenses by function for the City's Business-Type Activities.
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 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.
At December 31, 2019, the City's governmental funds reported combined fund balances of $158,751,315, a decrease of
$52,576,691 in comparison with the prior year. Approximately 13.9% of this amount, $22,006,859, 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
($128,443,455), it is committed for particular purposes ($5,286,665), or it is assigned for particular purposes ($3,014,336).
The General Fund is the chief operating fund of the City. At the end of the current fiscal year, unassigned fund balance of the
General Fund was
$22,006,859 while the total fund balance was $25,021,195. 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. Unassigned fund balance
represents 26.5% of total general fund expenditures while total fund balance represents 30.1% of that amount.
The fund balance of the City's General Fund decreased by $1,321,396 during the year, indicating a budget variance within
approximately 3% of revenues and expenditures, which is considered reasonable
30,543,359 33,077,230
‐
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
30,000,000
35,000,000
CITY OF CARMEL
Business-Type Revenues vs. Expenses
For the Fiscal Year Ended December 31, 2019
Expenses Revenues
Charges for services
86.36%
Capital grants and contributions
11.63%
Other
2.02%City of Carmel
Business-Type Activities Income
For the Fiscal Year Ended December 31, 2019
31
Revenue source
Property tax
Income tax
Licenses and permits
Intergovernmental
Charges for servicesFines and forfeits
Miscellaneous
Township joinder agreements
Total
The revenue excesses and shortfalls in the above revenue sources net to less than 5% and were not considered significant.
501,742
932,744
495,298
9,799,406 99,381,646$
2,142,786
45,101,901
(56,188)
6,380,118
(1,220,444)
44,531,670
1,789,364
Final
39,858,703$
Final
Investment earnings, subfund
transactions, and other
Difference
1,722,186
Estimated
Revenues
3,140,849
526,226
1,002,681
(570,231)
(353,422)
(95,019)
Actual
Revenues
(3,180,102)$
(2,138,168)
43,038,805$
621,245
-
439,110
102,643,188$
932,744
The Redevelopment Commission Fund, a major fund, accounts for tax increment revenue, which is restricted for certain
economic development projects. The fund had a $2,922,333 increase in fund balance during the year, due primarily to an
increase in tax increment revenue received, which put the overall fund balance at $11,372,304.
The 2016 Project Fund, a major fund, accounts for $160 million of bond proceeds, which are restricted for certain road projects.
The 2017 Project Fund, a major fund, accounts for $70.9 million of bond proceeds, which are restricted for certain
redevelopment projects and road projects.
The Redevelopment Authority Debt Service Fund, a major fund, had a $3,847,648 increase in fund balance during the current
fiscal year, representing normal variations in the amount of debt service due each year. The ending balance was $26,448,660,
all of which was restricted for debt service.
Proprietary Funds. The City's proprietary funds provide the same type of information found in the government-wide financial
statements, but in more detail.
Unrestricted net position of the Water Utility at the end of the year was an excess of $9,539,181; for the Sewer Utility, it was a
deficit of $560,570. Water Utility net position, before capital contributions and transfers, decreased $1,129,515. The Water
Utility decrease was an improvement on the performance of recent years. Continued improvement is expected as the Water
Utility continues to expand and achieve both economies of scale and greater utilization of recently installed mains. Sewer
Utility net position, before capital contributions and transfers, decreased $182,143, which is manageable.
General Fund Budgetary Highlights
Original budget compared to final budget. During the year, there was no need for any significant amendments to increase
the original estimated revenues.
Final General Fund Budget Compared to Actual Results
The most significant differences between estimated revenues and actual revenues were as follows:
3,419,288
(3,261,542)$
32
The differences by department between estimated expenditures and actual expenditures were as follows:
Department
Clerk-Treasurer
Mayor's Office
City CouncilBoard of Public Works
Administration
Brookshire Golf Course
Building Operations
City CourtLaw Department
Community Services
Personnel/ Human Resources
Information Systems
City Property MaintenancePublic Affairs/ Community Relations
Fire Department
Police Department
Communication Center
Parks DepartmentRedevelopment Department
Street Department Special Project
Other
Total
Capital Assets and Debt Administration
Land
Construction in progress
Buildings
Machinery, equipment,
and vehicles
Infrastructure
Water distribution system
Sewer system
Total
Adjusted*Adjusted*
(14,493)
8,544
3,404,865
251,386,551$
Adjusted*
196,117,062$
200,938,967
954,883,563$
-
-
-
-
903,288,959$
*The effect of 2019 prior period adjustments is included above in 2018. See Note II.K. beginning on page 91 for more information.
Additional information on the City's capital assets can be found in Note II.C. on pages 58–59 of this report.
1,206,320,462$
(2,096,137)
Governmental Activities
67,502,993
1,154,675,510$
237,812,205
314,048,054
165,983,056
66,157,060
-
203,988,935
3,213,511 2,920,873 (292,638)
(287,467)
1,014,969 1,041,408 26,439
686,000 (151,185)
4,522,364
193,197,534$
(401,569)
21,002,637
251,436,899$
314,048,054
1,332,668$
(305,976)
Final
296,011
2018
191,986,081$
188,493,512
206,237,119
3,816,024 (751,159)
651,756 568,864
Business-type Activities
(113,042)
(104,408) (42,076)
(246,304)
(199,627)$
(204,838)
105,021,983$
- (340,363)
22,943,026
293,629,221
206,237,119
66,157,060
2019
837,185 1,517,054
3,709,645
645,176 (9,397)
67,502,993
222,646,403
Estimated Expenditures
Total
Actual Expenditures Difference
340,363
- 4,108,031 4,108,031
1,502,561
103,036,959$
3,403,669
1,529,611
(82,892)
3,152,959 (251,906)
Final
398,872
26,523,646
22,943,026
293,629,221
167,307,122
-
165,983,056
21,002,637
23,480,335
5,158,278
26,122,077
21,384,198
5,045,236
Capital assets. The City's investment in capital assets for its governmental and business-type activities as of December 31,
2019, amounts to $1,206,320,462 (net of accumulated depreciation). This investment in capital assets includes land, buildings,
machinery, equipment, vehicles, park facilities, roads, highways, bridges, and the water treatment plant. The total increase in
capital assets for the current fiscal year was 4.47%.
Capital Assets
(1,985,024)$
2019 2019
-
4,727,202
4,567,183
1,305,594 (224,017)
17,861,627
203,988,935
197,328,515$
1,133,041$
17,852,230
12,445,455
4,130,981$
3,459,417 604,997
167,307,122
-
2018
4,130,981$
3,563,825 647,073
2018
15,165,802
-
33
Outstanding Debt
Compensated absences
OPEB
Pension-related debt
Capital leases
Total 803,587,901$
519,822
144,588,944$
1,092,136
Long-term Debt. On April 9, 2019, the City issued $10,525,000 of its Taxable Lease Rental Bonds, Series 2019A-1 (LIT/
SBT) (the “2019A-1 Bonds”), payable from the City's future distributions of local income tax and backed by an ad valorem
property tax.
On April 9, 2019, the City also issued $8,170,000 of its Taxable Lease Rental Bonds, Series 2019A-2 (TIF/SBT) (the
“2019A-2 Bonds”), payable from an ad valorem property tax.
The 2019A-1 and 2019A-2 bonds are being issued to finance a portion of the design and construction of The Carmichael, a
122-room boutique hotel located in the Carmel City Center.
On September 9, 2019, the City secured an interest-only loan in the amount of $6,000,000 for public improvements. The
principal on the loan is payable in full on May 30, 2021.
On December 19, 2019, the Water Utility issued $17,745,000 of its Waterworks Revenue Bond Anticipation Notes, Series
2019. The bonds were issued to finance improvements and extensions to the City's waterworks program. The debt is backed by
water user fee revenues.
At the end of the current fiscal year, the City had total bonded debt outstanding of $826,393,472. Of this amount, $569,556,201
is debt backed by an unlimited ad valorem property tax levy, $60,520,000 is debt backed by income tax, $45,600,000 is debt
backed by tax increment, and $150,717,271 is debt backed by utility revenues. The remainder of the City's long-term
obligations comprises post-employment benefit debt, compensated absences, contract purchases, and capital leases.
35,425,430
2019
835,777,705$
1,875,767
28,715,080
9,525,335
54,034,964
31,407,220
3,651,763
4,116,016
2018
820,365,929$
59,152,872
1,787,851
Unamortized bond
premium 54,483,571
22,425,915
28,519,294
26,077,678
160,743,132$
7,637,383
965,802,888$
8,157,205
948,176,845$
24,736,720
8,433,199
32,635,310
2018
135,349,944$
481,943 58,670,929
1,318,395
685,060,434$
2019
805,059,756$
1,387,219
The City's total debt outstanding increased by $17,626,043 (1.86%) during the current fiscal year.
The City maintains a "AA" rating from Standard & Poor's on all bonds secured with an ad valorem property tax pledge. The
City has one outstanding 2005 lease bond issue with a property tax pledge that has a split rating: S&P “AA+”/Moody’s “Aa3”.
The City's outstanding debt is payable primarily from pledges of property tax levies. Several of the City's outstanding
obligations are payable from non-property tax resources, even though they are subject ultimately to a property tax levy pledge.
The latter of these obligations are not subject to the 2% statutory debt limit, nor are obligations associated with lease-back
arrangements.
Additional information on the City's long-term debt can be found in Note II.D. on pages 59–66 of this report.
Bonds and contract
purchases
Governmental Activities Business-type Activities Total
469,456
2019
150,717,271$
448,607
2018
685,015,985$
3,978,360
4,018,210
488,548
34
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 Office of the Controller, One Civic Square, Carmel, Indiana 46032.
Economic Factors and Next Year's Budgets and Rates
The following economic factors currently affect the City and were considered in developing the 2020 fiscal year budget.
• The unemployment rate for the City was 2.6% at the close of the fiscal year, which is significantly below the national rate and
also below the rate of other communities nearby.
•Recent trends have been favorable with regard to increases in taxable assessed value and increases in taxable income.
•The City enjoys favorable relationships with employee unions and no history of significant contract disputes.
•As explained more fully in Note II.L, in April of 2020, the City's Sewer Utility issued $15,954,000 of debt to finance
infrastructure, to be paid from wastewater revenues, and in August of 2020, the City issued $6,700,000 of debt to finance
infrastructure, to be paid from storm water revenues.
• The emergence of novel coronavirus (“COVID-19”) has been declared a global pandemic in 2020. However, the financial
effect on the City of Carmel is expected to be relatively minor. The City’s main governmental revenue sources, property tax
and income tax, are not expected to be affected in 2020. That is on account of state-mandated assessment, collection, and
distribution procedures that provide reserves and buffers which tend to protect local government against sudden changes in
economic conditions. Any effects on these revenues will be deferred at least a year and are expected to be manageable. Some
relatively minor revenue sources, such as food and beverage tax and gasoline tax, are expected to be affected immediately in
2020, but these small revenue shortfalls are not expected to disrupt the City’s budgets and operational plans significantly.
Some expenditure categories are expected to increase, but others decrease, as various City services are either intensified or
curtailed. The net effect of all of these impacts, after the collection of Federal emergency assistance, is expected to be
negligible.
35
Governmental
Activities
Business-Type
Activities Total
Cash and cash equivalents 158,865,737$ 1,962,779$ 160,828,516$
Receivables (net of allowances for uncollectibles):
Intergovernmental 351,999 - 351,999
Accounts 582,839 442,050 1,024,889 Taxes 17,129,496 - 17,129,496
Other - 1,356,856 1,356,856
Internal balances 340,642 (340,642) - Inventories - 794,716 794,716
Prepaid expenditures 2,673,620 25,000 2,698,620
Cash, restricted for debt service - 20,826,751 20,826,751 Capital assets:
Not being depreciated: land, improvements, and construction in progress 415,843,937 19,296,783 435,140,720
Other capital assets, net of depreciation 539,039,626 232,140,116 771,179,742
Total assets 1,134,827,896 276,504,409 1,411,332,305
DEFERRED OUTFLOWS OF RESOURCES:
Bond refunding 22,275,566 - 22,275,566 Pensions 8,151,947 1,019,502 9,171,449
Other post-employment benefits 1,107,310 -1,107,310
Total deferred outflows of resources 31,534,823 1,019,502 32,554,325
Accounts payable 3,821,114 1,161,189 4,982,303
Accrued interest payable 10,617,650 660,513 11,278,163
Claims payable 646,713 - 646,713 Other current payables - 175,670 175,670
Accrued payroll and withholdings payable 3,659,593 307,634 3,967,227
Compensated absences 1,387,219 488,548 1,875,767
Customer deposits - 45,155 45,155
Noncurrent liabilities:
Due within one year:
Bonds payable 28,403,897 4,984,058 33,387,955
Capital leases payable 2,569,887 284,466 2,854,353
Due in more than one year:
Bonds payable 710,691,501 146,181,820 856,873,321
Capital leases payable 5,863,312 807,668 6,670,980
Net pension liability 31,407,220 4,018,210 35,425,430
Total OPEB liability 24,736,720 3,978,360 28,715,080
Total liabilities 823,804,826 163,093,291 986,898,117
DEFERRED INFLOWS OF RESOURCES:
Bond refunding 258,248 3,626,491 3,884,739 Pensions 8,330,083 632,707 8,962,790
Other post-employment benefits 2,407,969 -2,407,969
Total deferred inflows of resources 10,996,300 4,259,198 15,255,498
Net investment in capital assets 378,022,382 101,192,811 479,215,193
Restricted:
General government 411,799 - 411,799
Public safety 1,868,130 - 1,868,130
Streets and other infrastructure 7,811,944 - 7,811,944 Economic development 4,413,354 - 4,413,354
Culture and recreation 9,229,162 - 9,229,162
Debt service - - -Unrestricted (70,195,178) 8,978,611 (61,216,567)
Total net position 331,561,593$ 110,171,422$ 441,733,015$
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, 2019
ASSETS:
36
Expenses
Governmental
Activities
Business-Type
Activities Total
FUNCTIONS/PROGRAMS:
Governmental activities:
General government 29,340,736$ 146,498$ -$ -$ (29,194,238)$ -$ (29,194,238)$
Public safety 54,710,167 1,774,066 1,245,695 (51,690,406) - (51,690,406)
Streets and other infrastructure 46,372,722 4,181,410 - 3,070,276 (39,121,036) - (39,121,036)
Economic development 39,956,058 1,913,324 - (38,042,734) - (38,042,734)
Culture and recreation 21,497,105 12,983,411 - - (8,513,694) - (8,513,694)
Unallocated interest expense 2,623,251 - -- (2,623,251) -(2,623,251)
Total governmental activities 194,500,039 20,998,709 1,245,695 3,070,276 (169,185,359) -(169,185,359)
Business-type activities:Water 20,063,976 18,407,840 - 3,458,396 - 1,802,260 1,802,260 Sewer 10,479,383 10,157,332 -387,133 -65,082 65,082
Total business-type activities 30,543,359 28,565,172 -3,845,529 -1,867,342 1,867,342
TOTAL PRIMARY
GOVERNMENT 225,043,398$ 49,563,881$ 1,245,695$ 6,915,805$ (169,185,359) 1,867,342 (167,318,017)
GENERAL REVENUES AND TRANSFERS:
Property tax 56,571,934 - 56,571,934
Income tax 44,847,572 - 44,847,572
Other taxes 36,555,314 - 36,555,314
Unrestricted investment earnings 3,958,675 249,344 4,208,019
Other 20,779,293 417,185 21,196,478
Transfers 1,320,506 (1,320,506) -
Total general revenues and transfers 164,033,294 (653,977) 163,379,317
CHANGE IN NET POSITION (5,152,065) 1,213,365 (3,938,700)
NET POSITION: beginning 353,783,464 108,958,057 462,741,521
Restatement (17,069,806) -(17,069,806)
NET POSITION: beginning, adjusted 336,713,658 108,958,057 445,671,715
NET POSITION: ending 331,561,593$ 110,171,422$ 441,733,015$
City of Carmel, Indiana
STATEMENT OF ACTIVITIES
For the Fiscal Year Ended December 31, 2019
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
37
General Fund
Redevelopment
Commission
Fund
2016
Project Fund
2017
Project Fund
Redevelopment
Authority Debt
Service Fund
Total Nonmajor
Funds Total
ASSETS:
Cash and cash equivalents 22,183,732$ 11,484,902$ 12,565,690$ 24,973,510$ 26,448,660$ 61,209,243$ 158,865,737$ Receivables:Intergovernmental - - - - - 351,999 351,999 Accounts 507,590 - - - - 75,249 582,839
Taxes:Property 1,247,558 - - - - 518,100 1,765,658 Income 15,363,838 - - - - - 15,363,838 Due from other governmental funds - - - - - 54,169 54,169 Due from related utility - -- --340,642 340,642
TOTAL ASSETS 39,302,718 11,484,902 12,565,690 24,973,510 26,448,660 62,549,402 177,324,882
LIABILITIES:
Accounts payable 1,477,626 112,598 - - - 2,230,890 3,821,114
Claims payable - - - - - 646,713 646,713 Due to other funds - - - - - 54,169 54,169 2,989,330 - -- -670,263 3,659,593
Total liabilities 4,466,956 112,598 - -- 3,602,035 8,181,589
DEFERRED INFLOWS OF RESOURCES:
Unavailable revenue 9,814,567 - -- -577,411 10,391,978
FUND BALANCES:
Restricted:General government - - - - - 411,799 411,799
Public safety - - - - - 2,680,186 2,680,186
Highways and streets - - 12,565,690 23,659,916 15,219,878 36,182,415 87,627,899 Drainage and other capital assets - - - - - 166,375 166,375 Economic development - 11,372,304 - 1,313,594 6,381,663 4,413,354 23,480,915
Culture and recreation - -- - 4,847,119 9,229,162 14,076,281
Committed:
General government - - - - - 2,861,013 2,861,013 Public safety - - - - - 1,457,041 1,457,041 Highways and streets - - - - - 805,074 805,074 Economic development - - - - - 163,537 163,537
Assigned:
General government 1,876,866 - - - - - 1,876,866 Public safety 1,025,639 - - - - - 1,025,639 Economic development 962 - - - - - 962 Culture and recreation 110,869 - - - - - 110,869
Unassigned 22,006,859 - -- --22,006,859
Total fund balances 25,021,195 11,372,304 12,565,690 24,973,510 26,448,660 58,369,956 158,751,315
TOTAL LIABILITIES, DEFERRED
INFLOWS OF RESOURCES
AND FUND BALANCES 39,302,718$ 11,484,902$ 12,565,690$ 24,973,510$ 26,448,660$ 62,549,402$ 177,324,882$
Accrued payroll withholdings payable
The notes to the financial statements are an integral part of this statement.
City of Carmel, Indiana
BALANCE SHEET
GOVERNMENTAL FUNDSDecember 31, 2019
38
Fund Balance - governmental funds 158,751,315$
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.2,673,620
Capital assets used in governmental activities are not financial resources and, therefore, are not
reported in the funds:
Land and construction in progress 415,843,937$
Machinery, equipment, and vehicles 734,360,665
Accumulated depreciation (195,321,039)
954,883,563
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 1,765,658$
Income tax 8,108,598
Ambulance fees 59,311
Supplemental ambulance fees 458,411 10,391,978
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 (31,407,220)$
Other post-employment benefit liability (24,736,720)
(56,143,940)
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 22,275,566$
Unamortized inflows on bond refunding and defeasement (258,248) Pension-related inflows (8,330,083)
OPEB-related inflows (2,407,969) Pension-related outflows 8,151,947
OPEB-related outflows 1,107,310
20,538,523
Other noncurrent liabilities are not due and payable in the current period and, therefore, are not
reported in the funds:
Compensated absences 1,387,219$
Accrued interest payable 10,617,650
Unamortized value of capital leases 8,433,199
Unamortized premiums on bonds outstanding 54,034,964
Unamortized principal on bonds outstanding 685,060,434
(759,533,466)
Net position of governmental activities 331,561,593$
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, 2019
39
General FundRedevelopment Commission Fund2016 Project Fund2017Project FundRedevelopment Authority Debt Service FundTotal Nonmajor FundsTotalREVENUES:Property tax39,858,703$ -$ -$ -$ -$ 16,774,735$ 56,633,438$ Income tax45,139,812 - - - - - 45,139,812 Other local tax4,241,300 30,335,478 - - - 1,978,536 36,555,314 Charges for services1,002,681 886,696 - - - 19,109,332 20,998,709 Investment income367,689 14,641 930,115 1,250,122 98,351 1,297,757 3,958,675 Licenses and permits2,505,906 - - - - 66,395 2,572,301 Fines and forfeits439,110 - - - - - 439,110 Intergovernmental:Grants- - - - - 3,166,761 3,166,761 State shared revenue797,026 - - - - 6,189,882 6,986,908 Other3,289,848 - - - - - 3,289,848 Contributions- - - - - 240,302 240,302 Other892,207 2,652,276 1,434,777 - -2,112,5827,091,842 Total revenues98,534,282 33,889,091 2,364,892 1,250,122 98,351 50,936,282 187,073,020 EXPENDITURES:Current:General government 26,774,617 - - - - 1,945,656 28,720,273 Public safety47,010,311 - - - - 2,424,795 49,435,106 Streets and other infrastructure1,132,558 - - 17,307,999 - 12,993,022 31,433,579 Economic development598,240 5,020,509 - 889 - 221,319 5,840,957 Culture and recreation5,620,508 - - - - 12,481,855 18,102,363 Debt service:Principal695,000 1,564,060 - - 16,314,491 6,077,000 24,650,551 Interest63,858 1,084,076 - - 13,655,248 14,195,337 28,998,519 Lease rentals and issuance costs- - - - - 328,421 328,421 Capital outlay:General government30,295 - - - 528,075 743,156 1,301,526 Public safety1,016,079 - - - - - 1,016,079 Streets and other infrastructure- - 34,995,170 - - 17,785,546 52,780,716 Economic development5,181 119,071 - - - 24,201,340 24,325,592 Culture and recreation205,795 - -- -2,056,109 2,261,904 Total expenditures83,152,442 7,787,716 34,995,170 17,308,888 30,497,814 95,453,556 269,195,586 EXCESS (DEFICIENCY) OF REVENUESOVER (UNDER) EXPENDITURES15,381,840 26,101,375 (32,630,278) (16,058,766) (30,399,463) (44,517,274) (82,122,566) Continued on next page.City of Carmel, IndianaSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESGOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 201940
General FundRedevelopment Commission Fund2016 Project Fund2017Project FundRedevelopment Authority Debt Service FundTotal Nonmajor FundsTotalBond issuance - principal- - - - - 24,695,000 24,695,000 Debt issuance - capital leases- - - - - 3,530,369 3,530,369 Transfers in, governmental funds135,000 1,209,158 3,453,939 - 49,016,696 25,763,483 79,578,276 Transfer in (out) from (to) enterprise funds1,320,506 - - - -- 1,320,506 Transfers (out), governmental funds(18,158,742) (24,388,200) - -(14,769,585) (22,261,749) (79,578,276) Total other financing sources and uses(16,703,236) (23,179,042) 3,453,939 -34,247,111 31,727,103 29,545,875 NET CHANGES IN FUND BALANCES(1,321,396) 2,922,333 (29,176,339) (16,058,766) 3,847,648 (12,790,171) (52,576,691) FUND BALANCES: beginning26,342,591 8,449,971 41,742,029 41,032,276 22,554,517 71,045,968 211,167,352 Restatement- -- -46,495 114,159 160,654 FUND BALANCES: beginning, restated26,342,591 8,449,971 41,742,029 41,032,276 22,601,012 71,160,127 211,328,006 FUND BALANCES: ending25,021,195$ 11,372,304$ 12,565,690$ 24,973,510$ 26,448,660$ 58,369,956$ 158,751,315$ The notes to the financial statements are an integral part of this statement.City of Carmel, IndianaSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESGOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019(Continued)OTHER FINANCING SOURCES AND (USES):41
(52,576,691)$
Capital outlays 73,876,672$
Depreciation expense (22,282,068)
51,594,604
Decrease (increase) in bonds payable for private placement bonds (21,095,000)$
Decrease (increase) in bonds payable for other bonds secured by revenues 20,431,491
Decrease (increase) in bonds payable for contract purchase obligations 619,060
Amortization of certain bond-related prepaid expense and deferred inflows and outflows (2,106,207)
Amortization of premium on bonds outstanding 4,635,966 Bond issuance premium -
Principal payments on capital leases 2,734,553
Capital lease proceeds (3,530,369)
Compensated absences (68,824)
1,620,670
Revenues in the Statement of Activities that do not provide current financial resources are not reported
as revenues in the funds:Property tax (61,504)$
Income tax (292,240)
Cable fees -
Ambulance fees (33,415)
Ambulance fee supplemental 192,397 Grants -
(194,762) Expenses in the Statement of Activities for pension and other post-employment benefits are not recognized
as expenditures in the funds:
1925 Police Officers' plan 253,566$
1937 Firefighters' plan 264,002
1977 Police Officers' plan (1,521,331)
1977 Firefighters' plan (1,999,786)
Civilian public employee retirement plan (64,316)Other post-employment benefits - retiree health insurance (1,052,097)
(4,119,962)
(1,475,924)
Change in net assets of governmental activities (Statement of Activities) (5,152,065)$
Net change in fund balances - total governmental funds, Statement of Revenues, Expenditures, and Changes
in Fund Balances
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.
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 depreciation. Following is the amount by which capital outlay expenditures exceeded (were less than) depreciation:
The issuance of long-term debt (e.g., bonds, leases) 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:
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 ACTIVITIESFor the Fiscal Year Ended December 31, 2019
42
Water Utility Sewer Utility Total Enterprise
ASSETS:
Current assets:
Cash and cash equivalents 1,434,575$ 528,204$ 1,962,779$
Accounts receivable (net of allowance)187,694 254,356 442,050
Other receivables 572,456 784,400 1,356,856
Due from associated utility 753,570 756,532 1,510,102
Inventories 432,741 361,975 794,716
Prepaid items 15,625 9,375 25,000
Total current assets 3,396,661 2,694,842 6,091,503
Noncurrent assets:
Restricted cash, debt service 17,950,110 2,876,641 20,826,751
Capital assets:
Land, improvements to land and
construction in progress 12,854,501 6,442,282 19,296,783
Utility plant in service, net of depreciation 165,983,056 66,157,060 232,140,116
Total noncurrent assets 196,787,667 75,475,983 272,263,650
Total assets 200,184,328 78,170,825 278,355,153
DEFERRED OUTFLOW OF RESOURCES: pension 549,608 469,894 1,019,502
Continued on next page
City of Carmel, Indiana
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
December 31, 2019
Business-Type Activities - Enterprise Funds
43
Water Utility Sewer Utility Total Enterprise
LIABILITIES:
Current liabilities:
Accounts payable 491,386$ 669,803$ 1,161,189$
Accrued wages payable 168,440 139,194 307,634
Compensated absences 274,685 213,863 488,548
Due to associated governmental funds 340,642 - 340,642
Due to associated utility 756,532 753,570 1,510,102
Hydrant deposits 45,155 - 45,155
Revenue bonds payable, current portion 3,625,000 1,359,058 4,984,058
Capital leases payable, current portion 212,507 71,959 284,466
Accrued interest payable 583,839 76,674 660,513
Other 175,670 - 175,670
Total current liabilities 6,673,856 3,284,121 9,957,977
Noncurrent liabilities:
Bonds payable 131,592,632 14,589,188 146,181,820
Capital leases payable 711,894 95,774 807,668
Retiree health care 2,133,678 1,844,682 3,978,360
Pension liability 2,166,196 1,852,014 4,018,210
Total noncurrent liabilities 136,604,400 18,381,658 154,986,058
Total liabilities 143,278,256 21,665,779 164,944,035
DEFERRED INFLOW OF RESOURCES
Pension 341,089 291,618 632,707
2008 bond call rights waiver 3,626,491 - 3,626,491
Total deferred inflow of resources 3,967,580 291,618 4,259,198
NET POSITION:
Net investment in capital assets 43,948,919 57,243,892 101,192,811
Restricted - - -
Unrestricted 9,539,181 (560,570) 8,978,611
Total net position 53,488,100$ 56,683,322 110,171,422$
The notes to the financial statements are an integral part of this statement.
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
December 31, 2019(Continued)
Business-Type Activities - Enterprise Funds
City of Carmel, Indiana
44
Water Utility Sewer Utility Total Enterprise
OPERATING REVENUES:
Residential sales 13,167,457$ 5,393,909$ 18,561,366$
Commercial and industrial sales 4,667,063 4,752,527 9,419,590 Other operating revenue 573,320 10,896 584,216
Total operating revenues 18,407,840 10,157,332 28,565,172
OPERATING EXPENSES:
912,290 - 912,290
3,964,116 - 3,964,116
3,634,731 - 3,634,731 - 1,075,109 1,075,109 - 360,200 360,200
- 3,882,923 3,882,923
763,826 642,280 1,406,106 832,931 1,063,874 1,896,805 282,857 238,538 521,395
259,470 - 259,470
4,226,035 2,630,025 6,856,060
Source of supply and expense - operation and maintenance
Water treatment expense - operation and maintenance
Transmission and distributionCollection system - operation and maintenancePumping - operation and maintenance
Treatment and disposal expense - operation and maintenance
Customer accountsAdministration and generalPayroll tax expense
Utility receipts tax expense
Depreciation expenseRetiree health and pension 168,155 114,278 282,433
Total operating expenses 15,044,411 10,007,227 25,051,638
OPERATING INCOME (LOSS)3,363,429 150,105 3,513,534
NONOPERATING REVENUES (EXPENSES):
Interest and investment revenue 145,679 103,665 249,344
Miscellaneous revenue 311,222 21,189 332,411 Interest expense (5,019,477) (472,156) (5,491,633)
Gain (loss) from disposition of property 69,720 15,054 84,774 Other (88) - (88)
Total nonoperating revenue (expenses)(4,492,944) (332,248) (4,825,192)
(1,129,515) (182,143) (1,311,658)
CAPITAL CONTRIBUTIONS AND TRANSFERS:
Capital contributions 3,458,396 387,133 3,845,529
Transfers to associated city (839,763) (480,743) (1,320,506)
Total capital contributions and transfers 2,618,633 (93,610) 2,525,023
CHANGE IN NET POSITION 1,489,118 (275,753) 1,213,365
NET POSITION: beginning 51,998,982 56,959,075 108,958,057
TOTAL NET POSITION: ending 53,488,100$ 56,683,322$ 110,171,422$
The notes to the financial statements are an integral part of this statement.
City of Carmel, Indiana
CHANGE IN NET POSITION BEFORE CONTRIBUTIONS AND
TRANSFERS
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN NET POSITION
PROPRIETARY FUNDS
For the Fiscal Year Ended December 31, 2019
Business-Type Activities - Enterprise Funds
45
Water Utility Sewer Utility Total Enterprise
CASH FLOWS FROM OPERATING ACTIVITIES:
Receipts from customers and users 17,778,960$ 10,340,329$ 28,119,289$
Payments for goods and services (5,191,954) (1,992,560) (7,184,514)
Payments to employees (5,654,307) (4,882,480) (10,536,787)
Other receipts 648,494 32,084 680,578
Net cash provided (used) by operating activities 7,581,193 3,497,373 11,078,566
Capital contributions 2,318,667 32,863 2,351,530 Acquisition and construction of capital assets (3,451,253) (2,554,889) (6,006,142)
Payment of capital debt, including refunded debt (2,631,326) (1,323,861) (3,955,187)
Interest paid on debt (3,497,268) (484,361) (3,981,629)
Proceeds from sale of equipment 69,720 15,093 84,813
Proceeds from sale of bonds 16,162,857 - 16,162,857
Other 1,891,000 1,025,938 2,916,938
Net cash provided by capital
and related financing activities 10,862,397 (3,289,217) 7,573,180
CASH FLOWS FROM INVESTING ACTIVITIES:
Interest received 145,680 103,665 249,345
CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES:
Transfers to governmental funds (839,763) (480,743) (1,320,506)
NET INCREASE IN CASH AND CASH EQUIVALENTS 17,749,507 (168,922) 17,580,585
CASH AND CASH EQUIVALENTS: beginning 1,635,178 3,573,767 5,208,945
CASH AND CASH EQUIVALENTS: ending 19,384,685$ 3,404,845$ 22,789,530$
Continued on next page
CASH FLOWS FROM CAPITAL AND RELATED FINANCING
ACTIVITES:
City of Carmel, Indiana
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
Business-Type Activities - Enterprise Funds
For the Fiscal Year Ended December 31, 2019
46
Water Utility Sewer Utility Total Enterprise
RECONCILIATION OF OPERATING INCOME (LOSS) TO
Operating income (loss)3,363,429 150,105 3,513,534
income (loss) to net cash provided (used)
Depreciation expense 4,226,035 2,630,025 6,856,060
Nonoperating income (expense) 311,133 21,189 332,322
(Increase) decrease in assets:
Accounts receivable (9,610) (36,373) (45,983)
Other (281,997) 317,523 35,526
Interfund receivables - (77,164) (77,164)
Inventories (82,434) (17,623) (100,057)
Prepaid items - 20,000 20,000
Increase (decrease) in liabilities:
Accounts payable (115,149) 448,485 333,336
Wages payable 19,430 7,418 26,848
Compensated absence payable 10,013 9,079 19,092
Retiree health care 183,197 143,400 326,597
Pension (15,042) (29,122) (44,164)
Other current liabilities (27,812) (89,569) (117,381)
Total adjustments 4,217,764 3,347,268 7,565,032
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES 7,581,193$ 3,497,373$ 11,078,566$
NONCASH INVESTING, CAPITAL, AND FINANCING ACTIVITIES:
Contributions of capital assets and aid in construction 736,042$ 79,450$ 815,492$
The notes to the financial statements are an integral part of this statement.
Adjustments to reconcile operating
by operating activities:
City of Carmel, Indiana
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
For the Fiscal Year Ended December 31, 2019
(Continued)
NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES:
Business-Type Activities - Enterprise Funds
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Pension Trust
Funds Custodial Funds
ASSETS:
Cash and cash equivalents 181,536$ 121,446$
Receivable from State of Indiana 97,557 -
Total assets 279,093 121,446
LIABILITIES:
Payroll withholdings 97,557 -
Total liabilities 97,557 -
NET POSITION: restricted 181,536$ 121,446$
The notes to the financial statements are an integral part of this statement.
City of Carmel, Indiana
STATEMENT OF FIDUCIARY NET POSITION
December 31, 2019
FIDUCIARY FUNDS
48
Pension Trust
Funds Custodial Funds
ADDITIONS:
State of Indiana contributions 1,149,210$ -$
Investment income 4,968 -
Court costs and fees - 1,547,185
Miscellaneous revenue 88,442 -
Total additions 1,242,620 1,547,185
DEDUCTIONS:
Benefits to plan members and beneficiaries 599,414 -
Administrative expenses 598,436 -
Distributions - 1,580,717
Total deductions 1,197,850 -
NET INCREASE (DECREASE) IN NET POSITION 44,770 1,547,185
NET POSITION: beginning 136,766 154,978
NET POSITION: ending 181,536$ 1,702,163$
The notes to the financial statements are an integral part of this statement.
City of Carmel, Indiana
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION
For the Fiscal Year Ended December 31, 2019
FIDUCIARY FUNDS
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I.Summary of Significant Accounting Policies
City of Carmel
NOTES TO BASIC FINANCIAL STATEMENTS
For the Fiscal Year Ended December 31, 2019
A.Accounting Principles
The accounting policies of the City of Carmel, Indiana (City) applied to the accompanying financial statements for the year ended
December 31, 2019, 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.
B.Reporting Entity
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.
There are five 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.
Carmel Midtown Building Corporation (CMBC) and Downtown City Center Development Corporation (DCCDC) are legally separate
not-for-profit corporations that facilitate 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.
The Carmel City Center Community Development Corporation (4CDC) is a legally separate not-for-profit corporation that supports the
economic development efforts of City government. Accordingly, it provides financial and other benefits to the City. Its board is
appointed by City officials, and the City is ultimately liable for practically all of its debt.
The Carmel Redevelopment Authority, CMBC, DCCDC, and 4CDC do not issue separate financial statements.
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.
C.Basis of Presentation – Government-Wide Statements
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 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.
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D.Basis of Presentation – Fund Financial Statements
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 government reports the following major governmental funds:
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 Commission Fund is used to account for the collection and expenditure of tax increment financing revenue
and certain other economic development activities.
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 Redevelopment Authority Debt Service 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.
The government reports the following major proprietary funds:
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 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 also reports certain other funds:
Trust funds account for the activities of certain pension plans administered by the City.
Custodial funds account for municipal court escrows.
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 and advances to/from 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.
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G.Assets, Liabilities, Deferred Outflows/Inflows of Resources, and Net Position/Fund Balance
1.Cash and Cash Equivalents
E.Measurement Focus and Basis of Accounting
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 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 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, and claims and judgments, 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 capital leases are reported as other financing sources.
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, and custodial funds are reported using the economic resources measurement focus and the accrual basis of
accounting.
F.Reconciliation of Government-Wide and Fund Financial Statements
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.
The City's cash and cash equivalents are considered to be cash on hand, demand deposits, certificates of deposit, and securities
backed by the full faith and credit of the United States Government.
Investments are reported at fair value.
2. Inventories and Prepaid Items
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.
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both the
government-wide and fund financial statements. The cost of prepaid items is recorded as expenditures/expenses when
consumed rather than when purchased.
52
20–100 years10–20 years5–20 years
Buildings
Improvements Other than
Buildings Machinery, Equipment,
and Vehicles Infrastructure 20–50 years
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.
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:
a)Land is capitalized regardless of the value or cost;
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.
3.Capital Assets
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.
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.
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 capitalization threshold below is determined by the asset class.
4.Compensated Absences
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.
5.Bond Premiums and Discounts
Bond premiums and discounts are amortized in the government-wide and proprietary statements on a straight-line basis over the life of
the issues.
6.Deferred Outflows/Inflows of Resources
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 position 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 position 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 and pension-related credits arising from changes in actuarial assumptions and timing differences. The former 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.
53
8.Fund Balance Flow Assumptions
a)Non-spendable fund balance (inherently non-spendable) include 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) include 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):
• 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.
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).
• Intended use is established by an official authorized by the Council to make purchases, which includes the
heads of most departments.
e)Unassigned fund balance (residual net resources) is the:
•Total fund balance in the General Fund is the excess over non-spendable, restricted, committed, and
assigned fund balance.
•Negative unassigned fund balance is the excess over non-spendable, restricted, and committed fund balance
over total fund balance.
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.
9.Fund Balance/Net Position
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, 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.
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:
7.Net Position Flow Assumption
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.
54
10.Use of Estimates
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 and liabilities 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 and certain receivables.
11.Restricted Net Position
All net position reported as restricted in the accompanying Statement of Net Position is restricted due to legally enforceable
contractual obligations or Indiana law.
H.Revenues and Expenditures/Expenses
1.Program Revenues
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.
2.Property Taxes
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 estimated market value (determined in accordance with rules and regulations adopted by the
Indiana Department of Local Government Finance). Some taxpayers are eligible for certain deductions and credits. All property
taxes outstanding at year end are recorded as receivable with an offset to deferred inflows of resources—unavailable revenue for
amounts that are not available in the current period.
3.Income Taxes
The City benefits from an income tax that was imposed by joint vote of several Hamilton County units of general government
and 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 certified to the County Auditor. It is distributed to the County Auditor on a
pro-rata basis, monthly, during the ensuing calendar year. 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.
4.Proprietary Funds Operating and Nonoperation Revenues and Expenses
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,
services, premiums, and rents. 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.
55
II.Detailed Notes on Certain Activities and Funds
Investment Type
United States Treasury notesU.S. Gov't Money Market Funds
Total 2,517,975$
11,727,730
30,758,250$
-$
1 to 5
-$
-
28,240,275$
More than 5
11,727,730 2,517,975$ - 16,512,545$ 19,030,520$
Investment Maturities (in Years)
Less than 1
A.Cash and Cash Equivalents
Deposits
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, 2019, were $181,655,267, of which $20,826,751 is restricted and $160,828,516 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.
Investments
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.
These investments are required by statute to have a stated final maturity of not more than five years.
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.
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.
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.
Below is a segmented time distribution for the City's debt investments at December 31, 2019:
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.
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 has no deposits or investments denominated in foreign currencies and does not foresee having any foreign currency risk
in the future.
Fair Value
56
B.Receivables and Transfers
1.Receivables
Governmental Funds:
DescriptionProperty taxes
Income taxes
Ambulance fees
Supplemental Medicaid
Other unavailableTotal unavailable revenue
2. Transfers
a) Transfers among Governmental Funds
Transfers out
General
RDC
2016 Project Fund
2017 Project FundRDA Debt
Nonmajor
Total
A nonmajor fund transferred $135,000 to the General Fund to cover street-related contracted services.
A nonmajor fund transferred $150,000 to the Redevelopment Commission as a grant.
A nonmajor fund transferred $1,059,158 to the Redevelopment Commission Fund for public improvement reimbursement.
1,209,158
-
Receivables at December 31, 2019, for governmental activities of the City's individual major governmental funds and nonmajor
governmental funds, in the aggregate, consisted of the following:
-
Transfers In
Nonmajor
1,079,403$
5,700
25,763,483$
-
1,209,158$ 3,453,939$
-
- - -
17,079,339$
-
7,554,857
- 14,769,585
24,388,200 24,382,500
Redevelopment
Commission
49,016,696$
Receivables at December 31, 2019, for business-type activities of the City's individual major enterprise funds consisted of the following:
General Total
RDA Debt
Service
$ 1,765,658
458,411 -
-
-$
-
18,158,742$
- -
-
-
3,453,939
14,769,585
22,261,749
79,578,276$
- -
135,000
135,000$
-$
2016 Project
Fund
-$
-
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:
-
9,908,795
8,108,598 59,311
0,391,978$ 1
UnavailableRevenue
57
b) Transfers between Governmental and Enterprise Funds
From (to):
Governmental Activities:
Capital assets, not being depreciatedLand
Construction in progress
Total capital assets, not being depreciated
Capital assets, being depreciatedBuildings and improvements
Machinery, equipment, and vehicles
Infrastructure
Total capital assets, being depreciated
Less accumulated depreciation, for
Buildings and improvementsMachinery, equipment, and vehicles
Infrastructure
Total accumulated depreciation
Total capital assets, being depreciated, net
Governmental activities capital assets, net
(33,997,388)
(71,213)$ 193,197,534$
(8,582,792)
130,973,040
522,809,366 16,230,260
Balance
1,282,666$
415,843,937
191,986,081$
241,109,856 3,159,366
12,602,424
415,245,357 (3,245,520)
4,272,095 (5,337,272)
Transfers In (Out)
380,479,593
Additions/ Deletions/
Transfers In
-
69,432,945
121,616,136
General
(8,582,792)
903,288,959$
222,646,403
-539,039,626
C.Capital Assets
Capital asset activity for Governmental Activities for the year ended December 31, 2019, was as follows:
954,883,563$ (34,068,601)$ 85,663,205$
195,321,039
25,132,889
Dec 31, 2018
704,431,128
34,872,737 5,407,550
Transfers Out Dec 31, 2019
24,067,712
38,512,329
48,075,915 2,331,706 (5,337,272)
445,021,094
45,070,349
40,280,287
(34,068,601)
480,743$
181,621,762 22,282,069
Water Fund
The Water Fund transferred $480,743 of available excess cash to the General Fund.
The Sewer Fund transferred $839,763 of available excess cash to the General Fund.
33,021,257
1,320,506$
Total
480,743$
839,763
Balance
Sewer Fund
(3,245,520)
734,360,665
- 244,269,222
Total
A nonmajor fund transferred $2,927,939 from an Indiana Department of Transportation grant to the 2016 Projects Fund for
street projects.
Other nonmajor funds transferred $526,000 to the 2016 Projects Fund for public improvement reimbursement.
The Bond Bank Fund issued debt and transferred proceeds to the 2017 Projects Fund in the amount of $598,196.
The General Fund, Redevelopment Commission, and nonmajor funds made lease payments to the Redevelopment Authority in
the amounts of $17,079,339, $24,382,500, and $6,956,661, respectively, in order to satisfy debt service payments.
The General Fund transferred $79,403 to a nonmajor fund to cover the cost of preservation of historic buildings.
The General Fund transferred $1,000,000 to pay for additional street repaving.
The Redevelopment Commission transferred $5,700 of excess tax incremental revenue to another nonmajor fund in accordance
with a trust indenture.
The RDA Debt Service Fund and nonmajor funds transferred $14,769,585 and $3,853,865, respectively, to a nonmajor fund to
satisfy debt service payments.
A nonmajor fund transferred $734,051 to another nonmajor fund in compliance with a City ordinance.
A nonmajor fund transferred $5,320,879 of grant monies to another nonmajor fund for public improvements.
188,493,512
839,763
1,320,506$
68,150,279
58
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 forUtility 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
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, 2019:
Governmental Activities:
Private placement bonds
Other bonds secured by revenues
Contract purchase obligations
Unamortized bond premium
Capital leases
Subtotal
Compensated absences
Portion of above due within one year
Portion of capital leases payable due in more than one year
Bonds payable due in more than one year
12,445,455
-$ 4,130,981$
(1,463,341)
Transfers In
43,985,063
4,390,000$
1,387,219
710,691,501$
Balance
74,755,000$
(1,463,341)
13,981,814
232,140,117
-$
282,786,310
4,183,688
19,296,783
32,361,003$
4,183,688 16,576,436
Depreciation expense was charged as follows for the year ended December 31, 2019:
Deletions/ Balance
Transfers Out Dec 31, 2019
(194,930)
(36,503)
(1,499,844)$
278,795,178 4,222,565
Dec 31, 2018
Balance
(2,633,495)
282,786,310
747,528,597
-
(32,204,015)$
Capital asset activity for Business-Type Activities for the year ended December 31, 2019, was as follows:
50,646,193
Dec 31, 2018
748,915,816
22,282,068
Reductions
600,921,201
6,856,060
15,165,802
Additions/
(231,433)
6,856,060
1,387,219
53,660,000$
(619,060)
(182,946)
Dec 31, 2019
4,130,981$
278,795,178 4,222,565 (231,433)
(20,431,491)
Total bonds, contract purchases,
capital leases, and compensated
absences
(4,635,965) 54,034,964
7,637,383 3,530,369
58,670,929
(2,734,553) 8,433,199
5,863,312
28,225,369
1,318,395
24,695,000$
6,856,060
752,642,692$
Less,
One Year
(3,600,000)$
477,228$ 6,120,989
2,569,887
242,101
1,459,936
30,973,784
29,138,128$
-
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. 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.
(32,021,069)
23,367,279
9,384,233 646,618
234,810,115
251,436,900$ 1,550,193$
751,324,297
251,770
32,361,003
621,352,692
10,003,293
251,386,551$
28,477,139$
Balance Due Within
Additions
59
Business-Type Activities:Sewer utility revenue bonds
Water utility revenue bonds
Water utility other long-term debt
Total business-type bonds
Sewer utility bond premium
Sewer utility bond discountWater utility bond premium
Utility capital leases
Compensated absences
Portion of above due within one yearPortion of capital leases payable due in more than one year
Bonds payable due in more than one year
-
- 439,920
135,831,887
(2,377,673)
2036
2036
2013
1,373,000
2005 2026
971,000
6,535,000
55,065,000
11,195,000$
115,900,000
1,092,136
151,165,878
2.000%-
5.000%
1,359,058$
284,466
2035
1,392
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:
34,064,201
5,757,072$
466,854
836,959
136,821,165$
17,263,420$
2036
30,156
(15,067)
General Obligation Bonds, Series
2016A
General Obligation Bonds, Series
2016B
1,408,000
1.190%-
3.000%
115,900,000
519,822
2014
150,717,271
2036
Reductions
1,214,000
2016
2016
469,456
135,349,944
5,850,000
5.000%
530,000
2027
5.800%-
8.450%
1,427,000
11,967,000
Lease Rental Revenue Multipurpose
Bonds, Series 2012B
Lease Rental Revenue Bonds of 2005
(unrefunded portion)
Redevelopment District Bonds of 2013
Lease Rental Revenue Refunding
Bonds, Series 2014
2016
Lease Rental Revenue Refunding
Bonds of 2011 (West Clay road)
Lease Rental Revenue Multipurpose
Bonds, Series 2012A
69,245,000
1,084,000
Outstanding
Year of
Issue
Year of
Maturity
Total business-type activities long-
term liabilities
2038
2012 2025
12,488,000
152,746,562
Interest Rate
55,685,000
2.000%- 5.000%
18,609,541$
25,190,000$
5,757,072
Dec 31, 2019
Balance
26,190
2.000%-
5.000%
2.250%-
5.000%
807,670
19,649,150*
22,362
(13,675)
17,745,000
General Obligation Bonds, Series
2016C
General Obligation Bonds, Series
2016D
General Obligation Bonds, Series
2016E
General Obligation Bonds, Series 2016F
Subtotal, bonds, premiums, and
discounts
Original
2.000%-
4.000%
(7,098)
2016
2036
1,577,000
17,746,392
(7,794)
1,458,000
40,055,000
Dec 31, 2018
2036 1,599,000
2012
488,548
146,181,820$
(264,645)
1,225,000
488,548
17,745,000 122,810,712
2.000%-
5.000%
(26,934)
4,984,058
(2,412,401)
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.
Governmental Activities Long-Term Debt:
Less,
4,984,058
(532,812)
(521,000)
105,598,524 3,095,000
One Year
-
Balance Due Within
(2,684,144)$
2024
(1,323,861)$ 15,939,559$
Amount
1,089,000
1,633,000
2016
2016
2.625%-
4.000%
-
-$
Additions
2011
Amount
2.000%-
5.000%
2.000%- 5.000%
60
* Original amount refers to the original amount of the non-refunded portion only of any partially refunded bonds.
** City has additionally pledged county option income tax (COIT).
In the year ended December 31, 2019, the total of payments on the bonds listed above was 0.581% of taxable assessed value.
1,408,000
1.576%-
3.762%2016
1,081,000
2.000%-
5.000%
2.000%-
5.000%
1,513,000
2.000%-
5.000%
2.000%-
5.000%
2016 Storm Water Bond
(Authorized: $44,500,000)
23,850,000
2016
1,211,000
2016
20362016
General Obligation Bonds, Series
2016K 1,394,000
30,720,000 2.000%-
5.000%
2.000%-
5.000%
Redevelopment Authority Taxable
Lease Rental Bonds, Series 2016D
(Midtown Phase 1A)
Redevelopment Authority Tax-Exempt
Lease Rental Bonds, Series 2017B-1
Redevelopment Authority Tax-Exempt
Lease Rental Bonds, Series 2017B-2
10,337,000
13,650,000
9,677,000
2016
2037 32,495,000
2019
24,000,000
1,383,000
2036
2.000%-
5.000%
1,273,000
2.000%-
5.000%
700,000
2.000%-
5.000%
General Obligation Bonds, Series
2016H
General Obligation Bonds, Series 2016I
General Obligation Bonds, Series 2016J 1,350,000
26,734,000
General Obligation Bonds, Series
2016L
Lease Rental Bonds, Series 2016A
(Public Infrastructure Projects)
1,244,000
1,235,000
2036
2016
1,577,000
2036
2016
139,872,000**
2016
32,335,000
815,000
2016 2041
2017
2036
General Obligation Bonds, Series
2016G
2016
1,373,000
2.006% -
3.200%
2016
10,525,000
2035 8,170,000
2027
2036
2035 15,164,000
2041
9,915,000
3.990% -
4.850%
Redevelopment Authority Taxable
Lease Rental Bonds, Series 2017C-1
Taxable Lease Rental Bonds, Series
2019A-1
Taxable Lease Rental Bonds, Series
2019A-2 7,910,000
18,830,000
2027
1.576%-
3.762%10,890,000 10,890,000
2019
3.200% -
3.200%2017
3.940%
18,830,000
3.000% -
5.000%2017
Taxable Special Program Bonds, Series
2016
2037
2029
2016 2036
2.000%-
5.000%
General Obligation Bonds, Series
2016M
1,426,000
2.000%-
5.000%2016 2036
Redevelopment Authority Lease Rental
Bonds, Series 2016B (Economic
Development Projects)
Redevelopment Authority Lease Rental
Bonds, Series 2016C (Energy Center
Project)
136,547,000
1,225,000
2036
61
Loft A Private Placement 2011
Restated Secondary Village #1
Total bond principal and contract purchases
Capital Leases
Compensated Absences
Total bond principal, contract purchases, capital leases, and compensated absences.
Bond premium
2019 City Center Community
Development Loan 5.150% 2019 2021 6,000,000 6,000,000
685,060,434
4,500,000
Issue
2042 7,405,000
9,500,000
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:
In the year ended December 31, 2019, the total of payments on the bonds listed immediately above was 11.1% of annual
incremental tax revenue.
N/AN/A N/A
Interest Rate
Taxable Economic Development Lease
Rental Revenue Bonds, Series 2018A
(Midtown West Project)
2034
1.973% - 3.864%
2018
Original Amount
54,034,964
Year of
16,050,000
Taxable Tax Increment Revenue Bonds,
Series 2004A
Year of
7,265,000
1,387,219
2033
Total governmental activities bonds, contract purchases,
capital leases, and compensated absences.748,915,816$
Year of
2011
Contract purchases of capital assets:
LIBOR
Original
2017
Amount
12,645,000
Outstanding
16,600,000
Year of
6.650%2024
2025
2017
Amount
3.400%-
7.650%N/A
Interest Rate
8,433,199
Redevelopment Authority Taxable
Lease Rental Bonds, Series 2017A
(Midtown South)
Taxable Lease Rental Bonds, Series
2017C-2
7,405,000
9,630,000
N/A
2013
Maturity
2,119,233
OutstandingAmount
2.100% -
3.750%
3,500,000
12,645,000
2004
LIBOR
2043
2010-2019
694,880,852
2028
Issue Maturity
2.500% -
5.000%
62
2027
20172.360% -
2.360%
OutstandingAmount
2030
2.320%
3.000%-
5.000%2014
Issue
23,180,000
2022
Year of
In the year ended December 31, 2019, the total of payments on the bonds listed immediately above was 18.1% of
annual county option income tax revenue.
2,230,000
Interest Rate
46,795,000
Year of Original
COIT Refunding Bonds of 2011
COIT Lease Rental Revenue Refunding
Bond, Series 2014B (Northwest Clay
Road)
LIT Lease Rental Revenue Refunding
Bonds, Series 2017 21,350,000
36,940,000
Amount
2011 7,180,000
Maturity
Bonds issued in order to acquire capital assets, for which the City has pledged
its county option income tax (COIT) revenue up to the amount needed to
satisfy the principal and interest on the bonds as they become due:
Bond Premium/ Discount
Total bonded debt, including amount due in one year
Total business-type activities bonds, capital leases, and compensated absences.
Total City bonds, capital leases, and compensated absences.
Streets and infrastructure
Economic development
Total
17,745,000 2023
2029
N/A
2013
17,745,000
448,607
13,000,000 1.800%-
3.700%
4,521,000$
4.130%-
5.790%
11,967,000
2016
$ 12,108,326
901,662,377$
11,040,000
Business-type activities long-term debt:
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:
2017
2.000%-
4.000%
38,985,711
16,380,000
2025
2026
2009
2032
2005
N/A
12,065,604
151,165,877
Compensated Absences 488,548
2019
2037
0.420%
1,092,136 Capital Leases
2008
2012
Original
2.320%
2036
In the year ended December 31, 2019, revenue, net of reasonable expenses for operation, repair, and maintenance,
182.2% of debt service requirement for the Water utility and 1204.6% of debt service requirement for the Sewer utility.
The City has pledged up to $1,115,000 of county option income tax revenue, payable in the event an overlapping unit of
government is unable to service certain debt. The City does not expect to be called upon to make these payments.
The City expects the pledged revenue will be more than sufficient to satisfy the principal and interest on the obligations
listed above. This revenue is not pledged to satisfy any other obligations, nor is it committed for operating or other
necessary expenditures.
Interest on long term debt has been charged as a direct expense in certain instances in which borrowing has been
essential to the creation or continued existence of projects, as follows:
11,000,000$
53,735,000 49,700,000
2.000%-
3.250%
Sewer Utility 2005 Revenue Bonds
Refinance
Sewer Utility 2009 SRF
Sewer Utility 2012 Revenue Bonds
Waterworks Special Program Bonds,
Series 2016
152,746,561
Year of
Outstanding
Amount
3,213,559
2012
20,547,740
2030
Issue Maturity Amount
N/A
5,894,000
21,625,000
1,198,932
2028
Water Utility 2008 Capital Appreciation
Bonds
Water Utility Junior Waterwork
Revenue Bond of 2012
Junior Waterworks Revenue Refunding
Bonds of 2017
Waterworks Revenue Bond
Anticipation Notes of 2019
3.000%-
5.000%
Interest Rate
8,205,000
4.320%-
4.610%
$ 24,173,930
N/A
Year of
63
Total Requirements
Total Requirements
Premium/Discount
-
2023
2024
4,390,000$
2025 - 2029
4,335,000
9,890,000
-
600,921,201$
Year Ended
2023
5,470,260
27,423,488
Notes and Loan Payable -
43,657,657
26,434,592
26,537,702 25,912,126
465,083
Principal Interest
1,241,274
1,221,012
Direct Placement
Contract Purchase
1,685,652
25,039,439
684,442
24,341,678
4,984,058$ 11,391,995$
Total
2030 - 2034
2035 - 2039
685,060,434$
-
25,292,106
27,193,494 25,502,300
175,289,702
12,352,199
December 31 Principal Interest
Principal Interest
950,653,118$
22,778,097
Year Ended
46,311,135
Interest
2030 - 2034
9,384,233$ 3,977,553$
150,717,270 59,756,825$
415,963
578,143,104 264,618,798$
215,110,244
102,807,958
39,164,013
31,885,245 28,354,143
755,929
7,315,963
2040 - 2044
2020
2020
257,869,490
74,755,000$
-
3,029,239
602,408
94,473,000
4,320,000
2024 8,139,894
Business-Type Activities:
8,937,366
288,370,781$
415,963
Total
Total
7,048,121$
1,219,779
5,546,446
Total
58,593,979$
65,510,092
60,239,388
60,007,322
6,409,581 11,879,841
4,493,644 24,117,112
210,474,095$
Unamortized
Accretion on CABs
20,410,000
16,260,000
6,042,104 30,383,782
2008 bond call
rights waiver
2025 - 2029
59,828,746
6,900,000
Principal
32,499,417 27,507,905
2022
2022
2023
2021
13,828,732
2021
2030 - 2034
2035 - 2039
1,595,000
6,070,716
Total
30,190,082$
6,407,937$
255,875
52,449,828
52,715,594
52,695,794
94,529,430$
Total
50,323,000$
51,474,031
2035 - 2039 4,968,000
57,638,901
1,750,716
19,774,430$
81,756,013
December 31
1,578,173
23,367,279$ 26,955,721$
December 31
2020
2021
Principal Interest
10,520,000
4,630,000
540,323
717,543 6,548,286
576,240$ 2,658,121$
2,291,296
1,918,286
646,618$
19,289,239
10,492,408
-
12,811,296
448,607
523,731
5,688,838
-
Year Ended
1,356,357
199,889,791 89,882,336
1,222,858$
1,224,765
36,243,881 29,266,211
Notes and Loan Payable -
794,612
-
6,900,000
Notes and Loan Payable -
Direct Borrowings
28,403,897$
-
2.Debt Service Requirements to Maturity
Governmental Activities:
Total
6,010,466
-
104,363,000
7,315,963
2040 - 2044
5,946,191
90,652
189,774,000
Obligations Payable
13,361,786$
151,165,877$ Bonded debt
6,341,733
662,282,337
8,334,958
289,772,127
236,085,135
113,300,366
425,167
32,323,106 27,505,640
2022
82,579,788
171,919,000 43,191,244
5,223,875
2024
2025 - 2029
22,778,097
5,913,173
26,356,191 4,190,089
842,761,902$
64
Total
Total assigned from governmental fund balances:
2,764,284$
225,170
605,425$ 9,038,624$
$ 3,014,336
Total
2021 2,101,509 151,778 2,253,287
16,919
8,433,199$
Equipment Capital Leases
3.Capital Leases
Governmental Activities:
2025 - 2029 826,711 59,469
242,089
170,423 13,252
573,865 2024 535,042 38,823
157,171
These commitments, if any, are included in, and do not exceed, the committed or restricted fund balances of the respective funds.
Construction commitments for the Water and Sewer Enterprise Funds were less than $100,000.
The City has entered into various capital leases for equipment for various departments, including Police, Fire, Streets, and for
a golf course. As of December 31, 2019, the City had assets with an original cost of $13,963,613 and accumulated
depreciation of $4,620,682 financed through capital leases.
38,823 99,034
Total
2023
PrincipalDecember 31
Year Ended
Capital Leases:
December
Principal Interest Total
2020
2023
2025 - 2029
58,049
307,069
10,372
19,727
306,141$
68,421
2024 60,211
1,092,136$ 120,768$
284,466$
2021
326,796
21,675$
1,212,904$
194,397$
886,180
4. Operating Leases
The City owns a certain office and theater building and is lessor to certain private tenants. The cost of the office and theater
building is $20,500,000. Depreciation expense for the year ended 2019 was $410,000 and book value for the year ended 2019
was $17,630,000.
5. Other Commitments
Various claims and lawsuits are pending against the City. At December 31, 2019, the administration believes the amount payable
for claims and judgments, if any, is not material in relation to the basic financial statements taken as a whole.
Certain City officials are empowered to issue purchase orders and enter into contracts that constitute contractual obligations of
the City. These encumbrances, treated as assigned fund balance as of December 31, 2019, are as follows.
2020
62,607 936,397 873,790
2022 1,526,260 98,351 1,624,611
2,569,887$
Year Ended
Interest
2022
Business-type Activities:
The Water and Sewer Utilities entered into various capital leases for certain equipment. As of December 31, 2019, the Utilities
had assets with an original cost of $1,198,932 and accumulated depreciation of $405,338 financed through capital leases.
65
2018 Tax-Exempt Economic Development Revenue Bonds (KAR Auction Services, Inc.)
2018 Taxable Economic Development Revenue Bonds (Meridian and Main - Indiana Spine Group II Project)
2018 Taxable Economic Development Revenue Bonds (Sunrise on the Monon)
2017 Installment Purchase Contract (Monon & Main)2017 Economic Development Revenue Bonds (Edward Rose Development Carmel, LLC, Project2015 Economic Development Revenue Bonds (KG Main, LLC, Project)2011A Senior Economic Development Revenue Bonds (Arts District Lofts & Shoppes)
2011 Taxable Economic Development Revenue Bonds (Meridian and Main)
2011 Taxable Economic Development Revenue Bonds (116th Street Centre Project)
2011 B Subordinate Economic Development Revenue Bonds (Arts District Shops and Lofts)2006 B Taxable Economic Development Revenue Bonds (Buckingham-Gramercy Project)
7.Schedule of Outstanding Principal on Advance Refunded Debt
Outstanding Amount
Outstanding Bonds
Unpaid claims, beginning of fiscal year Incurred claims and changes in estimates Claim paymentsUnpaid claims, end of fiscal year
Refunded Bonds
22,325,000$
33,265,000 2,245,000 13,440,000
54,095,000
$ 125,370,000
Bonds Refunded Through
1/15/2035
E.Risk Management; Claims
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.
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 $175,000 per year and provides an aggregate
commercial insurance coverage of amounts over $14,062,000. There were no significant reductions in insurance coverages from
prior years. Settled claims resulting from this risk did not exceed aggregate commercial insurance coverage in the three years
ended December 31, 2019.
Amounts are paid into the Fund by user 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.
Changes in the balance of claim liabilities are as follows:
6.Nominal Debt Used as Tax Incentives
The City has entered into certain transactions for the purpose of providing tax incentives to private firms to redevelop designated
property meeting certain criteria. Although the incentives take the legal form of debt, neither the City nor any other entity is ultimately
liable. For the designated property, the private firm is the property owner, the buyer of the bonds, and the sole taxpayer. There is no
recourse to the City. If the private firm makes improvements on the property, incremental property tax revenue is generated, and some
portion of that revenue is pledged to the payment of the bonds. In effect, the private firm is reimbursed for a portion of the incremental
property tax it paid. Accordingly, the bonds are not reported as liabilities in the accompanying financial statements.
9,927,270
1/1/2031
$ 510,271
11,805,111
Local Income Tax Lease Rental Revenue Refunding Bonds, Series 2017
2019
2010 COIT LR Bonds
2010A COPS 2010B
COPS 2010C COPs
2008B Jr. Water
$ 479,159
9,896,158
2018
$ 646,713
Outstanding
11,668,670
1/15/2035
7/15/2035
6/1/2026
$ 510,271
Lease Rental Revenue Multipurpose Bonds, Series 2012ATaxable Lease Rental Revenue Multipurpose Bonds, Series 2012BCarmel Bond Bank Lease Rental Refunding Bonds, Series 2016C
Carmel Bond Bank Special Program Bonds, Series 2016
66
F.Pension Plans
1.Single Employer Defined Pension Plan
Police Fire
-
15
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;
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.
15
-
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.
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.
The plans also provide a death benefit for a surviving spouse to receive the greater of
1. 30% of the monthly pay of a first-class patrol officer, or
2.55% of the benefit the retiree was receiving.
-
The plans are closed to new entrants.
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.
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.
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 $12,000 will be paid to heirs of the deceased member.
Membership in the Plans as of the most recent actuarial valuation was comprised of the following:
Plan Description
The Municipal Police Officers' 1925 and Firefighters' 1937 Plans are distinct single-employer defined benefit pension plans. The
plans are administered by local pension boards. The plans provide retirement, disability, and death benefits to plan members and
beneficiaries. The plan administrator does not issue a publicly available financial report that includes financial statements and
required supplementary information of the plan.
As established by Indiana law, the boards for the police officers' and firefighters' plans consist of eight and five members,
respectively. On each board, the mayor of the City and the chief of each department serve ex officio. On the police board, the
fiscal officer of the City also serves ex officio. The remaining members are elected by the active members, police and
firefighters, respectively. At least one member of each board must be a retired beneficiary of the respective plan.
Benefits provided:
Members of the police and fire departments hired prior to May 1, 1977, who retire with 20 or more years of active duty receive
fifty percent of the salary of a first-class patrol officer or firefighter plus:
Retirees and beneficiaries currently receiving benefits
Terminated employees entitled to but not yet receiving benefits
Current active employees
Total Plan Members
-
14
67
Net Pension Liability and Pension Expense:
Assumptions and Other Inputs
Changes in the Net Pension Liability:
Changes for the year:
Service Cost
Interest
Changes in Plan Provisions
Difference between Expected and Actual Experience
Changes in Assumptions
Benefit Payments
Employer contributions
Employee contributions
Net transfers into (out of) trust
Net investment income
Benefit payments
Administrative expenses
Other
Fiduciary net position as a percentage of total pension liability
(4,121)
-
9,762,204$
SOA published mortality improvement scale: MP-2018 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.
The City's net pension liability of $9,505,178 for the '25 Police Officers' Plan and $10,330,409 for the '37 Firefighters' Plan was
measured as of December 31, 2019, and the total pension liability used to calculate the net pension liability was determined by
an actuarial valuation as of December 31, 2018. For the year ended December 31, 2019, the City recognized pension expense of
$338,784 for the '25 Police Plan and $369,099 for the '37 Firefighters Plan.
'25 Police Officers' Plan
1925 or 1937 Plan
-
-
-
145,316$
4,121
-
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.
-
339,070
-
3.54% Police Officers; 3.58% Firefighters for 2019
Cost of Living Increase:
1.51%
-
Investment Earnings Rate
Measurement Date
9,893,565$ Balances as of December 31, 2018
Increase (Decrease)
Plan Fiduciary Net Position
564,928
(582,141)
(564,928)
-
-
Mortality and Mortality Improvement
Valuation Date
December 31, 2019
Net Pension Liability
-
1977 Plan Converted 2.50%
- -
131,361$
-
-
-
-
-
Balances as of December 31, 2019 9,505,178$
-
Total Pension Liability
-
The plans maintain no investments and have no expectation of future earnings from
investments. The plans' assets are cash balances available for incidental expenses.
These are managed in the same way as other City deposits and may earn negligible
returns from interest-bearing accounts.
339,070
9,650,494$
-
3.54% Police Officers; 3.58% Firefighters for 2018
December 31, 2018–Police Officers' member census data as of January 1, 2019, and
Firefighters' member census data as of January 1, 2019, was used in the valuation.
2.50%
Contributions:
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, 2019, the State of Indiana contributed
$564,928 to the '25 Police Officers' Plan and $584,282 to the '37 Firefighters' Plan on behalf of the City during the fiscal year.
Discount Rate
(582,141) 582,141
- -
27,047 (27,047)
(582,141)
68
'25 Police Officers' Plan
Differences between expected and actual experience
Current amortization (deduct)
Fiscal Year End
Thereafter
Changes in the Net Pension Liability:
Changes for the year:
Service Cost
InterestChanges in Plan Provisions
Difference between Expected and Actual Experience
Changes in Assumptions
Benefit Payments
Employer contributionsEmployee contributions
Net transfers into (out of) trust
Net investment income
Benefit payments
Administrative expensesOther
Fiduciary net position as a percentage of total pension liability
(602,362)
Net Pension
Liability
Balances as of December 31, 2018 10,601,151$
-
5,792$
36,220$
106
'37 Firefighters' Plan
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions:
At December 31, 2019, the City reported a net pension liability of $9,505,178 for the '25 Police Officers' Plan.
For the year ended December 31, 2019, the City recognized pension expense of $338,784, which included net amortization of
deferred amounts from investment gains and/or losses. At December 31, 2019, the City reported deferred outflows of resources and
deferred inflows of resources related to the '25 Police Officers' Plan from the following sources:
-
(3,989) -
Investments 529 -
5,792$
-
9,252$
Increase (Decrease)
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:
602,362
-$
Balances as of December 31, 2019 10,366,629$
-
-
-
Total Pension
Liability
Balances as of December 31, 2019
0.35%
-
Deferred Inflows of
Resources
- 367,840
- 584,282
-
- - -
(602,362)
-
- -
-
-
1,832
Balances as of December 31, 2018
5,405$ 10,595,746$
2022 932
2023
(602,362)
10,330,409$
48,048
Deferred Outflows of
Resources
-$
Changes in assumptions -
2020 2,922$
2021
(48,048)
-
2024 -
Plan Fiduciary
Net Position
367,840
-
(584,282) -
-
847
-
-
-
(847)
-
69
'37 Firefighters' Plan
Differences between expected and actual experience
Current amortization (deduct)
Fiscal Year End
Thereafter
Sensitivity of Net Pension Liability to Changes in the Discount Rate:
Participation by State of Indiana
- -
(812)
Balances as of December 31, 2019
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:
-
(131)
(3)
-
174 2021
2022
Changes in assumptions
2023
Investments
-
Deferred Inflows of
Resources
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:
-$
-
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, 2019. The amounts were $564,928 and $584,282,
respectively. The State of Indiana is not obligated to make such payments in the future, and the City remains liable for future
pension expenditures.
Deferred Outflows of
Resources
991$
(131)
'37 Firefighters' Plan
523$
Balances as of December 31, 2018
2020
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions:
At December 31, 2019, the City reported a net pension liability of $10,330,409 for the '37 Firefighters' Plan.
For the year ended December 31, 2019, the City recognized pension expense of $369,099, which included net amortization of deferred
amounts from investment gains and/or losses. At December 31, 2019, the City reported deferred outflows of resources and deferred
inflows of resources related to the '37 Firefighters' Plan from the following sources:
Current
Discount Rate
$ 9,337,045 $ 11,508,206
-
654
428$
$ 10,555,654
468$
$ 9,505,178
$ 10,330,409
1% Decrease
1,803$
1% Increase
2024
'25 Police Officers' Plan $ 8,614,221
70
ASSETS:
Cash and cash equivalentsReceivable from State of Indiana
Total assets
LIABILITIES: payroll withholdings
NET POSITION: restricted for pensions
STATEMENT OF CHANGES IN FIDUCIARY NET POSITION - PENSION FUNDS
ADDITIONS:
State of Indiana contributions
Investment incomeMiscellaneous 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
Plan Description:
1.Employees who are compensated through the Parks Department of the General Fund and through certain
other funds committed or restricted for parks (Parks).
December 31, 2019
'37 Fire Pension
Trust Fund
$ 36,220 47,714
83,934
47,714
$ 36,220
'37 Fire Pension
Trust Fund
$ 584,282
847 45,100
630,229
599,414
-
49,843
195,159
49,843
$ 145,316
'25 Police
Pension Trust
$ 564,928
4,121 43,342
598,436
STATEMENT OF FIDUCIARY NET POSITION - PENSION FUNDS
30,815 13,955
131,361
598,436
$ 145,316
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 the State not covered by another plan, those political subdivisions
that elect to participate in the retirement plan, including the City of Carmel, and certain INPRS employees. There are two
tiers to the PERF Plan. The first is the Public Employees' Defined Benefit Plan (PERF Hybrid Plan), and the second is the
Public Employees' Defined Contribution Plan (PERF My Choice Retirement Savings Plan).
City of Carmel participants are viewed by INPRS to be classified into two groups, solely for purposes of actuarial
evaluation:
For the Fiscal Year Ended December 31, 2019
$ 145,316
5,405
$ 36,220
'25 Police
Pension Trust
612,391
-
599,414
2.All other civilian employees of the City (City).
There are two components to the PERF Hybrid Plan defined benefit structure: PERF DB, the monthly employer-funded
defined benefit component, along with the Public Employees' Hybrid Members Defined Contribution Account (PERF DC), a
member-funded account.
First time new employees hired by the State or a participating political subdivision who offers a choice have a one-time election
to join either the PERF Hybrid plan or PERF My Choice: Retirement Savings Plan for Public Employees (PERF MC DC). Refer
to the Description of Defined Contribution Funds for discussion of both the PERF DC and PERF MC DC accounts. A new hire
that is an existing member of PERF Hybrid and was not given the option for the PERF MC DC plan is given the option to elect
PERF MC DC or remain in PERF Hybrid.
71
Eligibility for Pension Benefit Payment:
Full Retirement BenefitAt 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
Benefit Formula & Postretirement Benefit Adjustment
Retirement & Termination Benefit
Members are entitled to the sum total of vested contributions plus earnings 30 days after separation from employment
(retirement, termination, disability, or death). The amount may be paid in a lump sum, partial lump sum, direct rollover to
another eligible retirement plan, or a monthly annuity (in accordance with INPRS requirements). PERF DC members are 100
percent vested in their account balance.
While in active service, a spouse or dependent beneficiary of a member with a minimum of 15 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.
While receiving a benefit, a spouse or dependent 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.
Contribution Rates
Contributions are determined by the Board based on an actuarial valuation. Employers contribute 11.2 percent of covered
payroll, with 0.43 percent funding a supplemental reserve account for postretirement benefits. Contributions from
employers with PERF MC DC plan members, who either currently offer or have offered PERF Hybrid, fund PERF DB's
unfunded liability at 8.2 percent of covered payroll for the State and 7.4 percent for political subdivisions. No member
contributions are required.
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).
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).
Lifetime Annual Benefit = Years of Creditable Service x Average Highest Five-Year Annual Salary x 1.1 percent (minimum
of $180 per month). Average annual compensation is outlined in IC 5-10.2-4-3 and includes compensation of not more than
$2,000 received from the employer in severance.
Postretirement benefit increases are granted on an ad hoc basis pursuant to IC 5-10.2-12.4 and administered by the Board.
For the year ended June 30, 2019, postretirement benefits of $29.6 million were issued to members as a 13th check.
Description of Defined Contribution Funds: Public Employees’ Defined Contribution Account (PERF DC)
PERF DC is a multiple-employer defined contribution fund providing retirement benefits to full-time employees of the State
of Indiana not covered by another plan and those political subdivisions (counties, cities, townships and other governmental
units) that elected to participate in the retirement fund. Administration of the account is generally in accordance with IC
5-10.2, IC 5-10.3, 35 IAC 1.2, and other Indiana pension law.
PERF DC fund provides supplemental defined contribution benefits under the PERF Hybrid plan. Refer to the Description of
Defined Benefit Funds for discussion of the PERF Hybrid plan.
First time new employees hired by the State of Indiana or a political subdivision that offers a choice have a one-time election
to join either PERF Hybrid or PERF My Choice. A state rehire that is an existing member of PERF Hybrid plan and was not
given the option for PERF My Choice is given the option to elect PERF My Choice or remain in PERF Hybrid.
Contribution Rates
Member contributions under PERF DC are set by statute and the Board at three percent of covered payroll. The employer
may choose to make these contributions on behalf of the member. Under certain limitations, voluntary post-tax member
contributions up to 10 percent of their compensation can be made solely by the member.
72
Disability Benefit
Basis of Accounting
Accrual Basis
Provision for Taxes
All defined benefit funds administered by INPRS are qualified under section 401(a) of the internal revenue code and are
exempt from federal income taxes. Therefore, no provision for income taxes has been included in the financial statements.
The accompanying financial statements for the eight defined benefit funds (DB Funds), four defined contribution funds (DC
Funds), one other postemployment fund, and one custodial fund are prepared using the economic resources measurement focus.
In the Statement of Fiduciary Net Position and the Statement of Changes in Fiduciary Net Position, PERF DC and PERF My
Choice are combined into PERF DC for the purposes of presentation. INPRS’s financial statements are not intended to present
the financial position or results of operations for the state of Indiana or any other retirement and benefit plans administered by
the state.
Upon providing proof of the member’s qualification for social security disability benefits, the member is entitled to the sum
total of contributions plus earnings. The amount can be paid in a full or partial withdrawal as a lump sum, direct rollover to
another eligible retirement plan, or a monthly annuity (in accordance with INPRS requirements).
Survivor Benefit
Beneficiary is entitled to the sum total of contributions plus earnings. The amount can be paid in a lump sum, direct rollover to
another eligible retirement plan, or a monthly annuity (in accordance with INPRS requirements).
Description of Defined Contribution Funds: My Choice: Retirement Savings Plan for Public Employees (PERF MC DC)
PERF MC DC is a multiple-employer defined contribution fund providing retirement benefits to full-time employees of the State of
Indiana not covered by another plan and those political subdivisions (counties, cities, townships, and other governmental units) that
elected to participate in the retirement fund. PERF MC DC is a primary defined contribution benefit plan for members making this
election. Administration of the account is generally in accordance with other Indiana pension law.
First time new employees hired by the State of Indiana or a political subdivision who offer a choice have a one-time election to join
either PERF Hybrid or PERF My Choice. A state hire that is an existing member of PERF Hybrid plan and was not given the option
for PERF My Choice is given the option to elect PERF My Choice or remain in PERF Hybrid.
Contribution Rates
The PERF MC DC plan may be funded with an employer variable rate contribution. The variable rate contribution is three percent
for state employees and up to 3.8 percent for political subdivision members. Political subdivisions may match 50 percent of a
member's voluntary contributions.
Member contributions under the PERF MC DC are set by statute and the Board at three percent of covered payroll. The employer
may choose to make these contributions on behalf of the member. Under certain limitations, voluntary member contributions up to
10 percent can be made solely by the member.
Retirement & Termination Benefit
Members are entitled to the sum total of vested contributions plus earnings 30 days after separation from employment (retirement,
termination, disability, or death). The amount may be paid in a lump sum, partial lump sum, direct rollover to another eligible
retirement plan, or a monthly annuity (in accordance with INPRS requirements). PERF MC DC members are 100 percent vested in
member and voluntary contributions, and vested in employer variable rate contributions at 20 percent after one year of service and
increases in 20 percent increments for each year of service thereafter until 100 percent vested after five years of service.
Disability Benefit
Upon providing proof of the member’s qualification for social security disability benefits, the member is entitled to the sum total of
vested contributions plus earnings. The amount can be paid in a lump sum, direct rollover to another eligible retirement plan, or a
monthly annuity (in accordance with INPRS requirements).
Survivor Benefit
Beneficiary is entitled to the sum total of vested contributions plus earnings. The amount can be paid in a lump sum, direct rollover
to another eligible retirement plan, or a monthly annuity (in accordance with INPRS requirements).
Summary of Significant Accounting Policies:
Basis of Presentation
INPRS maintains records and prepares financial statements using the accrual basis of accounting in conformity with
generally accepted accounting principles (GAAP) as applied to governmental units.
73
Use of Estimates
Contributions
Net Investment Income
Other Additions
Deductions & Expenses
Net Investment Assets
Actuarial Assumptions and Inputs:
Significant actuarial assumptions and other inputs used to measure the total pension liability:
Type of Plan
Measurement Date
Valuation Date
Assets:
Liabilities:
Actuarial Cost
Method Inflation
Investments are recorded on a trade-date basis and reported at fair value. Fair value is defined as the amount that can
reasonably be expected to be received for an investment in a current sale between a willing buyer and a willing seller. Certain
INPRS investment assets, in particular, Global Real Assets, Global Private Equity, and Opportunistic Investments, use
estimates in reporting fair value in the financial statements. These estimates are subject to uncertainty in the near term, which
could result in changes in the values reported for those assets in the Statement of Fiduciary Net Position.
In preparing the financial statements in conformity with GAAP, INPRS management makes estimates and assumptions that affect
the reported amount of assets and liabilities, disclosures of contingent assets and liabilities, as well as the reported amounts of
revenue and expenses at the date of the financial statements. Actual results could differ from those estimates and assumptions.
Employer and member contributions are recognized when due, according to statutory requirements, in accordance with the
terms of each plan. Nonemployer contributions are recognized when funds are received from the State of Indiana.
Net appreciation (depreciation) is determined by calculating the change in the fair value of investments between the beginning
of the year and the end of the year, less purchases of investments at cost, plus sales of investments at fair value. Other
investment income is recognized when earned. Dividend income is recognized on the ex-dividend date. Investment expenses
consist of external expenses directly related to INPRS’s investment operations, as well as the internal administrative expenses
associated with INPRS’s investment program.
Member reassignments are recorded when a member is retiring with service credit in multiple funds. Applicable member and
employer balances are transferred between funds as allowed by the statute. The transfer allows all benefits to be paid from the fund
designated by the member.
Benefit payments, including refunds and distributions of employee contributions, are recognized when due and payable in
accordance with the benefit terms. Internal administrative expenses are recognized when due and payable. INPRS also acts as a
custodian to receive and distribute funds on a biannual basis to specific pension plans of local government entities.
Year-end expense accruals include compensated absences which are calculated for earned but unused vacation, compensatory,
and personal time of full-time INPRS employees.
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 made about the future. Key
methods and assumptions used in calculating the total pension liability in the latest actuarial valuations are presented below:
The Public Employees’ Retirement Fund is a cost-sharing multiple-employer
plan for GASB accounting purposes.
June 30, 2019
June 30, 2019
June 30, 2019
June 30, 2018 – The TPL as of June 30, 2019 was determined based on an actuarial valuation prepared as
of June 30, 2018 rolled forward one year to June 30, 2019, using the following key actuarial assumptions
and other inputs, such as benefit accruals and actual benefit payments during that time period.
Entry Age Normal (Level Percent of Payroll)
2.25% per year
74
Future Salary Increases 2.50% - 4.25% based on age
Cost-of-Living Increases
Mortality Assumption(Healthy)
Mortality Assumption(Disabled)
Experience Study
Discount Rate
46-5531-45
0.50%2.50%
2.25%
2.25%2.25%2.25%2.25%
2.75%
<31
1.00%
0.4% beginning on January 1, 2022
0.5% beginning on January 1, 2034
0.6% beginning on January 1, 2039
Productivity, Merit, and PromotionInflationAge
1.50%2.00%
3.25%3.75%4.25%
Total Individual Salary Growth
56-60
>=61
RP-2014 (with MP-2014 improvement removed) Total Data Set Mortality Tables, with future
mortality improvement projected generationally using future mortality improvement inherent in the
Social Security Administration’s 2014 Trustee report.
RP-2014 (with MP-2014 improvement removed) Disability Mortality Table, with future mortality
improvement projected generationally using future mortality improvement inherent in the Social
Security Administration's 2014 Trustee report.
The most recent comprehensive experience study was completed in April 2015 and was based on
member experience between June 30, 2010 and June 30, 2014. The demographic assumptions were
updated as needed for the June 30, 2015 actuarial valuation based on the results of the study.
6.75%, net of investment expenses
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.
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, 2019
actuarial valuation assumes a long-term rate of return on assets of 6.75%, 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.
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 20 to 30 years. In the past, deterministic projections have
shown the actuarially determined contribution rate to reach a peak of 10.9% which is slightly below
the current rate. 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.
0.25%
As of June 30, 2019:
In lieu of a COLA on January 1, 2020, and January 1, 2021, members in pay status were
provided a 13th check on October 1, 2019 and October 1, 2020. Thereafter, the following
COLAs, compounded annually, were assumed:
0.4% beginning on January 1, 2022
0.5% beginning on January 1, 2034
0.6% beginning on January 1, 2039
As of June 30, 2018:
In lieu of a COLA on January 1, 2019, members in pay status were provided a 13th check on
October 1, 2018. It is assumed a 13th check would continue for the 2020 and 2021 fiscal
years. Thereafter, the following COLAs, compounded annually, were assumed:
75
•
$ 21,341,248
Terminated vested members
7.75%
Active members
1% Increase
6.75%
$ 13,288,339
In 2019, PERF DB was modified pursuant to HEA 1059. Previously, statute generally required PERF
members to have 15 years of service to qualify for a survivor benefit prior to retirement. Statute now allows a
qualifying spouse/dependent to receive a benefit if the deceased member had a minimum of 10 years of
creditable service.
1% Decrease
5.75%
100% of members are assumed to elect a single life annuity with a five-year
certain period (Option 10).
75 percent of male members and 60 percent of female members are assumed to
be married and or to have a dependent beneficiary. Male members are
assumed to be three years older than their spouses and female members are
assumed to be two years younger than their spouses.
Beginning of (fiscal) year. Payroll amounts stated in the valuation data are
amounts projected to be paid during the current year.
Decrements are assumed to occur at the beginning of the year.
If eligible for a reduced early retirement benefit upon termination from
employment, 33 percent commence immediately and 67 percent defer to
earliest unreduced retirement age.
If eligible for an unreduced retirement benefit upon termination from
employment, 100 percent commence immediately.
100 percent defer to earliest unreduced retirement age. If currently eligible for
an unreduced retirement benefit, 100 percent commence immediately.
Total pension liability for each defined benefit pension plan was calculated using the discount rate of 6.75 percent. The projections of
cash flows used to determine the discount rate assumed the contributions from employers and, where applicable, from the members,
would at the minimum be made at the actuarially determined required rates computed in accordance with the current funding policy
adopted by the INPRS Board, and contributions required by the State (the non-employer contributing entity) would be made as
stipulated by state statute. Projected inflows from investment earnings were calculated using the long-term assumed investment rate
of return (6.75 percent). Based on those assumptions, each defined benefit pension plan's fiduciary net position was projected to be
available to make all projected future benefit payments of current plan members; therefore, the long-term expected rate of return on
pension plan investments was applied to all periods of projected benefits to determine the total pension liability for each plan.
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 6.75 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 (5.75%)
or one percentage point higher (7.75%) than the current rate:
$ 3,355,172
2019 City
2019 Park
Other Assumptions:
Form of payment
Spouse/Beneficiary:
Pay increase timing
Decrement timing
Benefit commencement timing:
Data Assumptions:
Changes in actuarial assumptions:
•There were no changes in actuarial assumptions during the fiscal year.
Changes in actuarial methods:
•There were no changes to the actuarial methods during the fiscal year.
Changes in plan provisions:
$ 2,089,131
Current Rate
76
$ 6,571,597
$ 1,033,156
City
Parks
City
2,958
-
1.3%
2,092,379
The long-term return expectation for the defined benefit retirement plan has been determined by using a building-block approach
and assumes a time horizon, as defined in the INPRS Investment Policy Statement. A forecasted rate of inflation serves as the
baseline for the return expectation. Various real return premiums over the baseline inflation rate have been established for each
asset class. The long-term expected nominal rate of return has been determined by calculating a weighted average of the expected
real return premiums for each asset class, adding the projected inflation rate, and adding the expected return from rebalancing
uncorrelated asset classes.
$ -
100%
2019
22.0%
6.7%7.0%2.0%
12.0%5.3%
Asset Class
2.9%
8.0%
Annual
Required
Contribution
7.0%
Pension Plan Fiduciary Net Position:
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.
20.0%
Deferred Inflows
of Resources
$ 3,371,523
$ 351,871
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions:
14.0%7.0%
628,106
Target Asset Allocation
100%
At December 31, 2019, the City reported a liability of $13,288,339 for its proportionate share of the City net pension liability and
$2,089,131 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 PERF Hybrid Plan. The proportionate share used at the June 30, 2019
measurement date was 0.0040206 for the City plan and 0.0006321 for the Park plan.
For the year ended December 31, 2019, the City recognized pension expense of $2,575,331 for the City plan and $320,648 for the Park
plan. Pension expense included net amortization of deferred amounts from changes in proportion and differences between employer
contributions and proportionate share of contributions. At December 31, 2019, the City reported deferred outflows of resources and
deferred inflows of resources related to the PERF Hybrid Plan from the following sources:
$ 2,329,389
1,444,541
1,077,329 19,732
Long-Term Expected
Rate of Return
$ 2,092,379
Deferred Outflows
of Resources
1,939,365
Public equityPrivate equityFixed-income – ex inflation-linked Fixed-income – inflation-linked CommoditiesReal estateAbsolute returnRisk parity
Geometric Basis
The following represents the City's annual required contributions:
4.9%
Year Ended December 31
2019
2.5%
10.0%
-
Percentage Contributed
Differences between expected and actual experience
Net difference between projected and actual earnings on
pension plan investments
Changes in assumptions
Changes in proportion and differences between City
contributions and proportionate share of contributions
Subtotal
Pension contributions subsequent to measurement date
Total that will be recognized in pension expense (income)
based on the table below
1,432,158
77
$ 365,132
Parks
- 98,748
Thereafter
City
$ 119,241 (126,315) (18,322) (7,668) --
$ (33,064)
AmountParks
2022
178,204
Year Ending December 31,
20212020
$ -$ 55,319
$ 1,279,144
2023
$ 297,892 $ 330,956
Deferred Outflows
of Resources
Deferred Inflows
of Resources
227,104
(480,297) (124,509)
-
-
5,104
119,688
Amount
$ 1,932,719
330,956
465
Contributions subsequent to the June 30, 2019, 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 in the subsequent fiscal period rather than in the
current fiscal period.
Deferred inflows of resources resulting from the differences between projected and actual investment earnings on Plan
investments are amortized over a 5-year period. A change in an employer's proportionate share represents the change as of the
current year measurement date versus the prior year measurement date, and is amortized over the average expected remaining
service lives of the plan. The difference between an employer's contributions and the employer's proportionate share of the
collective contributions is amortized over the average expected remaining service lives of the plan. Amounts reported as
deferred outflows of resources and deferred inflows of resources will be recognized in pension expense as follows:
(48,769)
1977 Police Officers' and Firefighters' Pension and Disability Fund
Differences between expected and actual experience
Net difference between projected and actual earnings on
pension plan investments
Changes in assumptions
Changes in proportion and differences between City
contributions and proportionate share of contributions
Subtotal
Pension contributions subsequent to measurement date
Total that will be recognized in pension expense (income)
based on the table below
63,904
-2024
Plan Description:
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.
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 other Indiana pension law.
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 2019, plan members were required to contribute 6 percent and participating employers were required to contribute
17.5 percent of the first-class officers' and firefighters' salary. Employers may elect to pay all or part of the contribution for the
member.
78
Type of Plan
Measurement Date
Valuation Date
Assets:
Liabilities:
Inflation
Future Salary Increases
Cost-of-Living Increases
Mortality Assumption(Healthy)
Mortality Assumption(Disabled)
Experience Study
Discount Rate
Total pension liability for each defined benefit pension plan was calculated using the discount rate of 6.75 percent. The
projections of cash flows used to determine the discount rate assumed the contributions from employers and, where applicable,
from the members, would at the minimum be made at the actuarially determined required rates computed in accordance with the
current funding policy adopted by the INPRS Board, and contributions required by the State (the non-employer contributing
entity) would be made as stipulated by state statute.
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 made about the future. Key
methods and assumptions used in calculating the total pension liability in the latest actuarial valuations are presented below:
Actuarial Assumptions and Inputs:
Significant actuarial assumptions and other inputs used to measure the total pension liability:
The 1977 Police Officers’ and Firefighters’ Retirement Fund is a cost-sharing multiple-employer
plan for GASB accounting purposes.
June 30, 2019
June 30, 2019
June 30, 2019
June 30, 2018 – The TPL as of June 30, 2019 was determined based on an actuarial valuation prepared as of
June 30, 2018 rolled forward one year to June 30, 2019, using the following key actuarial assumptions and
other inputs, such as benefit accruals and actual benefit payments during that time period.
2.25%
2.50%
As of June 30, 2019:
2.0% compounded annually, beginning July 1, 2020. Actual COLA increases at July 1, 2018 (2.2%) and July
1, 2019 (1.6%) are reflected in the valuation.
As of June 30, 2018:
2.0% compounded annually, beginning July 1, 2019. Actual COLA increases at July 1, 2017 (2.5%) and July
1, 2018 (2.2%) are reflected in the valuation.
RP-2014 (with MP-2014 improvement removed) Blue Collar mortality tables, with future mortality
improvement projected generationally using future mortality improvement inherent in the Social Security
Administration’s 2014 Trustee report.
RP-2014 (with MP-2014 improvement removed) Disability mortality tables, with future mortality
improvement projected generationally using future mortality improvement inherent in the Social Security
Administration's 2014 Trustee report.
The most recent comprehensive experience study was completed in April 2015 and was based on member
experience between June 30, 2010 and June 30, 2014. The demographic assumptions were updated as
needed for the June 30, 2015 actuarial valuation based on the results of the study.
6.75%, net of investment expenses
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.
The INPRS Board of Trustees has established a funding policy of setting the employer contribution rate
equal to the greater of 17.5% (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, 2019 actuarial valuation assumes a
long-term rate of return on assets of 6.75%, 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.
79
Discount Rate Sensitivity
2019 Police
2019 Fire
$ 93,369$ 119,005
Geometric Basis
Asset Class Target Asset Allocation Long-Term Expected
Rate of Return
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources
Related to Pensions:
1% Increase
5.75%6.75%7.75%
At December 31, 2019, the City reported a liability of $93,369 for police and a liability of $119,005 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, 2019, measurement date was 0.0101312 for
police and 0.0129129 for fire.
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 6.75 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
(5.75%) or one percentage point higher (7.75%) than the current rate:
2.9%
4.9%14.0%
Current Rate
12.0%5.3%
1% Decrease
7.0%6.7%10.0%
22.0%7.0%20.0%2.5%7.0%1.3%8.0%2.0%
Public equity
Private equity
Fixed-income – ex inflation-
linked Fixed-income –
inflation-linked Commodities
Real estate
Absolute return
Risk parity
Annual Pension Cost:
The City's contribution to the plan for the year ending December 31, 2019, was $1,567,179 for police participants and
$1,997,479 for fire participants, which was equal to the required contributions for each year.
Projected inflows from investment earnings were calculated using the long-term assumed investment rate of return (6.75
percent). Based on those assumptions, each defined benefit pension plan's fiduciary net position was projected to be available to
make all projected future benefit payments of current plan members; therefore, the long-term expected rate of return on pension
plan investments was applied to all periods of projected benefits to determine the total pension liability for each plan.
The long-term return expectation for the defined benefit retirement plan has been determined by using a building-block approach
and assumes a time horizon, as defined in the INPRS Investment Policy Statement. A forecasted rate of inflation serves as the
baseline for the return expectation. Various real return premiums over the baseline inflation rate have been established for each
asset class. The long-term expected nominal rate of return has been determined by calculating a weighted average of the
expected real return premiums for each asset class, adding the projected inflation rate, and adding the expected return from
rebalancing uncorrelated asset classes.
$ 10,331,600
$ 13,168,323
80
$ (8,175,354)
$ (10,420,041)
$ 3,673,136
$ 2,426,749
-1,080,363
$ 2,865,796
Deferred Outflows
of Resources
Deferred Inflows
of Resources
-
816,350
Deferred Outflows
of Resources
77,347
1,768,342 2,865,796
2,252,155 3,673,136
$ (604,631)
(689,120)
2,051,469
71,515
$ 3,068,505
(533,243)2022
$ 1,696,827 $ 331,277
658,407
-847,631
-
$ 422,235
For the year ended December 31, 2019, the City recognized pension expense of $3,205,771 for police and $4,076,506 for fire,
which included net amortization of deferred amounts from changes in proportion and differences between employer
contributions and proportionate share of contributions. At December 31, 2019, the City reported deferred outflows of resources
and deferred inflows of resources related to the 1977 Plan from the following resources:
Deferred Inflows
of Resources
(244,911)
119,069 89,434
2023
-
$ 541,213 $ 657,513
143,991 111,9032024
-
Police
Differences between expected and actual experience
Net difference between projected and actual earnings on
pension plan investments
Changes in assumptions
Changes in proportion and differences between City
contributions and proportionate share of contributions
Subtotal
Pension contributions subsequent to measurement date
Total that will be recognized in pension expense (income)
based on the table below
Firefighters
Differences between expected and actual experience
Net difference between projected and actual earnings on
pension plan investments
Changes in assumptions
Changes in proportion and differences between City
contributions and proportionate share of contributions
Subtotal
Pension contributions subsequent to measurement date
Total that will be recognized in pension expense (income)
based on the table below
Police Amount Fire Amount
(313,977)
Thereafter 345,418
2021 (659,427) (849,950)
1,609,541
Year Ending December 31,
$ 2,162,721
446,912
2020
$ (439,047)
Contributions subsequent to the June 30, 2019, 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 in the subsequent fiscal period rather than in the current fiscal
period.
Deferred inflows of resources resulting from the differences between projected and actual investment earnings on Plan investments
are amortized over a 5-year period. A change in an employer's proportionate share represents the change as of the current year
measurement date versus the prior year measurement date and is amortized over the average expected remaining service lives of
the plan. The difference between an employer's contributions and the employer's proportionate share of the collective contributions
is amortized over the average expected remaining service lives of the plan. Amounts reported as deferred outflows of resources and
deferred inflows of resources will be recognized in pension expense as follows:
81
Other Assumptions:
Form of payment
Spouse/beneficiary
Pay increase timing
Decrement timing
Active DROP members
Pre-retirementdeath
Disability retirement
Data Assumptions:
Changes in actuarial assumptions:
•
Changes in actuarial methods:
•
Changes in plan provisions:
•
Eligibility for Pension Benefit Payment:
The form of payment has been updated from a single life annuity or a 60% joint and survivor annuity to
a single life annuity or a 70% joint and survivor annuity to align with the updated plan provisions passed
in Senate Enrolled Act No. 85
There were no changes to the actuarial methods during the fiscal year.
In accordance with IC 36-8-8.5, members eligible to retire with an unreduced benefit may elect to earn a DROP benefit while
continuing to work. Members execute an irrevocable election to retire on a DROP retirement date and remain in active service
while contributing to the fund until that date. The DROP retirement date must be not less than 12 months and not more than 36
months after their DROP entry date, and cannot be after the date the member reaches mandatory retirement age. The DROP and
future retirement monthly benefit are calculated as of the member’s DROP entry date. At retirement, members must choose
among the available options for distribution of the accumulated benefit under the DROP.
Full Retirement Benefit
At age 52 with 20 years of creditable service.
Early Retirement Benefit
At age 50 and 20 years of creditable service (reduce full benefit by 7 percent for each year less than age 52).
Deferred Retirement Option Plan (DROP)
Members are assumed to elect either a single life annuity or a 70% joint survivor benefit based in
the marriage assumptions below.
80 percent of male members and 50 percent of female members are assumed to be married or to
have a dependent beneficiary. Male members are assumed to be three years older than females and
female members are assumed to be the same age as males.
Beginning of (fiscal) year. Payroll amounts stated in the valuation data are amounts projected to be
paid during the current year.
Decrements are assumed to occur at the beginning of the year.
Members who are participating in the DROP are assumed to receive an annuity benefit
commencing at the end of their DROP period as well as a lump sum payment equal to the number
of years they were in the DROP times their annual annuity benefit. The annuity benefit is estimated
based on salary and service at the time the member entered the DROP.
Of active member deaths, 10% are assumed to be in the line of duty and 90% are other than in the
line of duty.
For members hired after 1989 that become disabled, 1% are assumed to sustain a catastrophic
disability and receive the enhanced disability benefit (100% of salary) added by 2017 House
Enrolled Act No. 1617, 44% are assumed to sustain a Class 1 disability (at 65% of salary), 10% are
assumed to sustain a Class 2 disability (at 50% of salary), and 45% are assumed to sustain a Class 3
disability (at 36% of salary). For members hired before 1989 that become disabled, 1% are
assumed to sustain a catastrophic disability and receive the enhanced disability benefit (100% of
salary) added by 2017 House Enrolled Act No. 1617 and 99% are assumed to sustain a non-
catastrophic disability and receive their accrued retirement benefit.
The valuation has been updated to reflect the passage of the new plan provisions outlined in Senate
Enrolled Act No. 85. The provisions affect new retirements after June 30, 2019, increasing the member
benefit by 2% of applicable pay over the prior plan provisions. Additionally, surviving spouses of active or
retired members who die after June 30, 2019 while not in the line of duty now receive 70% of the member's
benefit, compared to the 60% of the member's benefit provided upon members' deaths before then.
82
Survivor Benefit
Nonvested Termination
The sum total of the member’s contributions plus interest at a rate set by the Board.
Disability BenefitAn active member may qualify for a benefit with the amount based on the class of impairment and other factors, as
recommended by the local pension board with final determination by the Board.
The eligible survivor of a member who dies in the line of duty receives 100 percent of member’s benefit (the
minimum benefit is calculated as if the member had at least 20 years of service and age 52). Otherwise, eligible
survivors of members who die other than in the line of duty receive 60 percent of the member's benefit.
While receiving a benefit, a spouse or a wholly dependent parent (for their lifetimes) or dependent (until at least age
18)receives up to 60 percent of the member’s benefit. Heirs or estate may be entitled to receive $12,000.
Contribution Rates
Contributions are determined by the Board based on an actuarial valuation. Employers contribute 17.5 percent of the salary of a
first-class officer or firefighter. Members are required to contribute six percent of the salary of a first-class officer or firefighter
for the term of the member’s employment up to 32 years. Employers may pay all or part of the member contribution for the
member.
Benefit Formula & Postretirement Benefit Adjustment
Annual Benefit = 50 percent of first-class officer salary for 20 years of service. The percentage is increased by one percent for
each six months of active service accumulated after 20 years of service to a maximum of 32 years, or 74 percent.
Postretirement benefit increases is a percentage determined by statute equal to the change in the Consumer Price Index but
not in excess of a three percent increase. For the year ended June 30, 2019, an adjustment of 2.2 percent occurred and was
administered by the Board.
Retirement Benefits:
A member vests after 20 years of service. If the member retires at or after the age of 52 with 20 years of service, the benefit is
equal to 50 percent of the salary of a first-class officer, as reported by the employer in the year the 1977 Fund member ended
service plus one percent of that salary for each six months of active service over 20 years to a maximum of 12 years. At age 50
and with 20 years of service, a member may elect to receive a reduced benefit by a factor established by the fund's actuary.
The monthly pension benefits for members in pay status may be increased annually in accordance with the cost-of-living
adjustment (COLA) statute. A member is entitled to an annual increase in the member's benefit based on the percentage increase
in the Consumer Price Index
(January-March); however, the maximum increase is 3.0 percent.
The 1977 Fund also provides disability and survivor benefits. An active member may file an application for disability benefits. A
determination is then made by the local pension board, and reviewed by the INPRS Board of Trustees, as to whether the member
has a covered impairment and whether the impairment was incurred in the line of duty or not. The calculation for disability
benefits is based on when the member was first hired, the type of impairment, and other factors. In addition, the heirs or estate of
a fund member may be entitled to receive $12,000 upon the member’s death.
If a member dies while receiving retirement or disability benefits, there are provisions for the surviving spouse and child(ren) to
receive a portion of the benefits. The member’s surviving spouse is entitled to a monthly benefit equal to 60 percent of the
member’s monthly benefit during the spouse’s lifetime. Each of the member’s surviving child(ren) is entitled to a monthly benefit
equal to 20 percent of the member’s monthly benefit until the age of 18, or age 23, if a full-time student. If there is no eligible
surviving spouse or child(ren), a dependent parent(s) may receive 50 percent of the member’s monthly benefit during their
lifetime.
Investment Valuation and Benefit Payment Policies:
The pooled and non-pooled investments are generally reported at fair value by INPRS. Fair value is the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date.
Short-term investments consist primarily of cash, money market funds, certificates of deposits, and fixed-income instruments
with maturities of less than one year. Short-term investments are reported at cost, which approximates fair value or, for fixed-
income instruments, valued using similar methodologies as other fixed-income securities described below.
83
Pension Plan Report and Fiduciary Net Position:
Accrual Basis
Provision for Taxes
Use of Estimates
Contributions
Net Investment Income
Net appreciation (depreciation) is determined by calculating the change in the fair value of investments between the
beginning of the year and the end of the year, less purchases of investments at cost, plus sales of investments at fair
value. Other investment income is recognized when earned. Dividend income is recognized on the ex-dividend date.
Investment expenses consist of external expenses directly related to INPRS’s investment operations, as well as the
internal administrative expenses associated with INPRS’s investment program.
INPRS maintains records and prepares financial statements using the accrual basis of accounting in conformity
with generally accepted accounting principles (GAAP) as applied to governmental units.
In preparing the financial statements in conformity with GAAP, INPRS management makes estimates and assumptions
that affect the reported amount of assets and liabilities, disclosures of contingent assets and liabilities, as well as the
reported amounts of revenue and expenses at the date of the financial statements. Actual results could differ from those
estimates and assumptions.
Fixed-income securities consist primarily of the U.S. government, U.S. government-sponsored agencies, publicly traded debt
and commingled investment debt instruments. Equity securities consist primarily of domestic and international stocks in addition
to commingled equity instruments. Fixed-income and equity securities are generally valued based on published market prices
and quotations from national security exchanges and securities pricing services. Securities that are not traded on a national
security exchange are valued using modeling techniques that include market observable inputs required to develop a fair value.
Commingled funds are valued using the net asset value
(NAV) of the entity.
Alternative investments include limited partnership interests in private equity, absolute return, private real estate and risk parity
investment strategies. Publicly traded alternative investments are valued based on quoted market prices. In the absence of
readily determinable public market values, alternative investments are valued using current estimates of fair value obtained from
the general partner or investment manager. Moreover, holdings are generally valued by a general partner or investment manager
on a quarterly or semi-annual basis. Valuation assumptions are based upon the nature of the investment and the underlying
business. Additionally, valuation techniques will vary by investment type and involve a certain degree of expert judgment.
Alternative investments, such as investments in private equity or real estate, are generally considered to be illiquid long-term
investments. Due to the inherent uncertainty that exists in the valuation of alternative investments, the realized value upon the
sale of an asset may differ from the fair value.
Derivative instruments are marked to market daily with changes in fair value recognized as part of investments and investment
income.
The pension plan's fiduciary net position has been determined on the same basis of accounting used by the pension plan.
Detailed information about the pension plan's fiduciary net position is available in the separately-issued INPRS financial
report, which is available online at http://www.inprs.in.gov or may be obtained by contacting:
All defined benefit funds administered by INPRS are qualified under section 401(a) of the internal revenue code and are
exempt from federal income taxes. Therefore, no provision for income taxes has been included in the financial
statements.
Employer and member contributions are recognized when due, according to statutory requirements, in accordance with
the terms of each plan. Nonemployer contributions are recognized when funds are received from the State of Indiana.
Service purchase revenues are recognized in full when employers elect to participate in a fund or enlarge participation.
As of June 30, 2019, $1.2 million is outstanding for employer service purchase contracts. The payment terms of the
contracts vary between five and 40 years.
Indiana Public Retirement System
One North Capitol Avenue, Suite 001
Indianapolis, Indiana 46204
Ph. (844) GO-INPRS
84
Other Additions
Deductions & Expenses
Net Investment Assets
G.Other Post-Employment Benefits
1.Single-Employer Defined Benefit Healthcare Plan
Plan Description
Cost sharing features are as follows:
Non-prescription CoverageDeductible (2x Family)
Physician Office Copay
Coinsurance Percentage Out-of-Pocket
Maximum (excluding Deductible)
Lifetime Maximum
CopaymentRetail Generic
Formulary Brand
Non-Formulary
Brand Mail Order
Member reassignments are recorded when a member is retiring with service credit in multiple funds. Applicable
member and employer balances are transferred between funds as allowed by the statute. The transfer allows all
benefits to be paid from the fund designated by the member.
Network Non-NetworkNon-NetworkNetwork
0%
Investments are recorded on a trade-date basis and reported at fair value. Fair value is defined as the amount that can
reasonably be expected to be received for an investment in a current sale between a willing buyer and a willing seller.
Certain INPRS investment assets, in particular, Global Real Assets, Global Private Equity, and Opportunistic
Investments, use estimates in reporting fair value in the financial statements. These estimates are subject to uncertainty in
the near term, which could result in changes in the values reported for those assets in the Statement of Fiduciary Net
Position.
$ 750 $ 1,500
$100
Subject to medical deductible
and coinsurance
Plan B
0%20%
$10
$ 4,000 N/A$ 2,000N/A N/A
Plan A
$ 50
Plan A participants receive $600 for single coverage and $800 for retiree-spouse coverage in lieu of HSA contribution.
Prescription Coverage Plan A Plan B
$ 2,000 40%$ 1,500
Benefit payments, including refunds and distributions of employee contributions, are recognized when due and payable in
accordance with the benefit terms. Internal administrative expenses are recognized when due and payable. INPRS also acts as a
custodian to receive and distribute funds on a biannual basis to specific pension plans of local government entities.
Year-end expense accruals include compensated absences which are calculated for earned but unused vacation, compensatory, and
personal time of full-time INPRS employees.
$ 3,000
$60
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.
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.
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.
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).
$ 4,000
365 days/visits inpatient/
outpatient hospice combined
365 days/visits inpatient/outpatient
hospice combined
2x Above
85
Dental Coverage
Waived for preventative and orthodontiaDeductible (2x Family)
Copayment Percentage
Preventative Basic
Major/Orthodontia
Annual Maximum $2,500 lifetime max for orthodontia
Monthly Premiums:
Medical and Vision
Retiree
Spouse
Dental
Retiree
Spouse
Inactive plan members currently receiving benefit payments
Inactive plan members entitled to but not yet receiving benefit
payments Active plan members: fully eligible
Active plan members: not fully eligible
Total
Plan B
$56.00 $61.00
$52.00
$852.00
503
687
$876.00
$50
80%
50%
$2,500
2017 2019
$668.00 $724.00$786.00
$1,030.00
Dental Plan
Plan A Plan B
$48.00
100%
Plan A Plan B
$949.00 $1,115.00
38
-
146
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.
Coverage ends for the retiree at the retiree's Medicare eligibility date.
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.
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.
The committed fund balance of the Health Self Insurance Fund includes $873,336 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.
For the year ended December 31, 2019, the City contributed $884,567 to the Plan for current premiums.
Employees Covered by Benefit Terms
At December 31, 2019, the following members were projected to be covered by the terms of the plan:
86
87
Net OPEB Liability
The Entry Age Normal Actuarial Cost Method used in the current OPEB actuarial valuation is unchanged
from the prior OPEB actuarial valuation.
Under this method, as used in the December 31, 2019, 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.
The excess, if any, of the Total OPEB Liability over the Plan Fiduciary Net Position is the Net OPEB Liability. Under this
method, actuarial gains (losses), as they occur, reduce (increase) the Net OPEB Liability and are explicitly identified and
amortized in the annual expense.
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.
Changes in the Net OPEB Liability:
Balances at December 31, 2018
Changes for the Year Service CostInterestChanges in Plan Provisions Difference between Expected and Actual Experience Changes in Assumptions Benefit Payments Total OPEB Expense/ Net Changes
Balances at December 31, 2019
Sensitivity of the Net OPEB Obligation to Changes in the Discount Rate
The following presents the net OPEB liability of the Employer, as well as what the Employer's net 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:
Sensitivity of the Net OPEB Obligation to Changes in the Healthcare Cost Trend Rate
The following presents the net OPEB liability of the Employer, as well as what the Employer's net 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:
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.
$ 26,077,678 $
2,637,402
$ 28,715,080 $- $ 28,715,080
- 1,205,476
(884,567) -
1,420,618
Total OPEB
Liability
Plan Fiduciary
Net Position
(884,567)
-
1,002,886
Liability
Net OPEB
(107,011)
- $ 26,077,678
- 1,420,618
- 1,002,886
--
- (107,011)
1,205,476
2,637,402 -
Total OPEB Liability
Plan Fiduciary Net Position
Net OPEB Liability
1% Decrease Current Rate 1% Increase
$ 31,029,522 $ 28,715,080 $ 26,532,768
-- -
$ 31,029,522 $ 28,715,080 $ 26,532,768
Total OPEB Liability
Plan Fiduciary Net Position
Net OPEB Liability
$ 26,346,299 $ 31,493,123
-
1% Decrease Current Rate
$ 28,715,080
--
$ 26,346,299 $ 28,715,080 $ 31,493,123
1% Increase
OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB
Measurement Date
Valuation Date
December 31, 2019
December 31, 2019
COST METHOD
ECONOMIC ASSUMPTIONS:
Discount rate
Discount rate basis
Coverage rate
Spouses
Disability
(160,243)Thereafter (499,444)
$ (1,300,659)
Actuarial Methods and Assumptions
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.
Balance, December 31, 2018
Differences between expected and actual experience,
favorable Current amortization (deduct)
Changes in assumptions, favorable
(98,166)
S&P Municipal Bond 20-Year High Grade Rate Index*
$ 1,107,310
For the year ended December 31, 2019, the City recognized OPEB expense of $2,263,261. OPEB expense represents the change
in the net 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, 2019, the City reported deferred
outflows of resources and deferred inflows of resources related to OPEB from the following sources:
At December 31, the deferred outflows / (inflows) of resources based on obligations for the Plan are as follows:
Year Ending December 31, Amount
2020
*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.
(258,409)
1,205,476 -
(160,243)2023 (160,243)2024
$ -$ 2,559,367
$ (160,243)
$ 2,407,969Total
(160,243)20212022
Deferred Outflows
of Resources
Deferred Inflows
of Resources
-107,011
Entry Age Normal (Level % of Pay)
3.30% per annum as of December 31, 2019
3.69% per annum as of December 31, 2018
3.20% per annum as of December 31, 2017
90% of eligible employees are assumed to be covered in the plan at retirement.
Retired participants: Age and marital status based on actual census data.
Active participants: 35% are assumed to cover a spouse, with male spouses two
years older than female spouses.
None assumed.
88
Mortality:Civilian employees
Police and fire employees
Mortality improvement
Turnover
Retirement Rates:
Civilian employees:
Police and fire employees:
Plan mix:
Plan A
Plan B
Per capita claims cost:
Age Age55-59 All Ages60-64
Age Age55-59 All Ages60-64
Inflation; health care cost trend rate:Year Medical Dental01 to 23 to 56 to 89 to 1011+
45-51
55-60 30.0%100.0%
Male17%
12%14%100%
2%
61-64
65+
Male Female
Male
Age
52-54
16%17%19%30%
3%
Male
9.0%
2%
$ 15,726
5.0%
7.0%
4%2%
7%
4%5%
Male
5.0%5.0%9.0%8.0%
$ 12,261
5%
6.0%6.0%
Rate2.5%7.5%
26%
21%5%
20%
22.5%
Age6364
4%
70-74
75+
Age
5.0%5.0%
40%25%22%19%
Female
5.0%
Male Female$ 13,247 $ 13,104 $ 704 $ 704$ 16,991
$ 647
2017 Medical & Vision
$ 12,129$ 14,210 $ 647
30%100%
5%8%14%32%
Female
Female
$ 15,353
2019 Dental
2017 Dental
75%
25%
Varies by age and status; representative rates follow:
656667
2019
4%
Female
6869
3%19%20%35%24%
50-53545556575859606162
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.
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-2019 (MP-2017 and MP-2018
at December 31, 2017 and December 31, 2018) 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.
According to Sarason Table T-1.
2019 Medical & Vision
89
H.Schedule of Aggregate Amounts – Single-employer and Cost Sharing Multiple-employer Defined Benefit Pension Plans
Pension liability
Pension assets
Net pension liability (asset)Deferred outflows of resourcesDeferred inflows of resources
Pension expense (income)
I.Deferred Compensation Plan
Due to/from other funds
Receivable Fund
Motor Vehicle Highway Fund
Payable 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
Total among governmental and proprietary funds
$ 1,510,102
$ 54,169
Amount
$ 340,642
$ 340,642
$ 54,169
$ 753,570
The Motor Vehicle Highway Fund is due $54,169 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.
$ 147,228,792
Public
Employees'
Retirement
1937 Firefighters'
Pension1925 Police Officer's Pension
1977 Police Officers'
and Firefighters'
Pension and Disability
10,330,409$
208,943,918
756,532
10,886,139$ $ 338,784
$ 991
$ 523
$ 369,099
$ 77,123,434
$ -
35,425,431$
9,650,494$ 36,220
$ 9,171,452
$ 8,962,790
$ 5,792
The City offers its employees a deferred compensation plan established in accordance with Internal Revenue Code Section 457.
The plan is 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
plan 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 plan 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 plan 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.
$ 2,895,979
147,016,418
$ 212,374
$ 5,495,254
$ 6,538,932
$ 7,282,277
145,316
9,505,178$
Total
10,366,629$ 44,369,349$ 61,745,964
$ 15,377,470
$ 3,669,415
$ 2,423,335
90
J. Interfund Receivables and Payables
The composition of the interfund balances as of December 31, 2019 is as follows:
K. Government-wide Prior Period Adjustments
Governmental activities beginning net position was adjusted downward $17,069,806 to account for the following:
Beginning Net
Position Restatement:Change in OPEB liability due to implementation of GASB No. 75
Restatement of the carrying value of capital assets
Restatement of beginning cash, Redevelopment Authority Debt Service
Restatement of beginning cash, Bond Bank Fund
Total restatement
Beginning Net Position, Adjusted
349,945
L. Subsequent Events
On April 9, 2020, the City's Sewer Utility issued $15,954,000 of its Sewage Revenue Bonds, Series 2020. The bonds were
issued in order to finance infrastructure improvements. To satisfy the principal and interest on the bonds, for the terms of the
bonds, the City has pledged its wastewater revenues. The City expects the pledged revenue will be more than sufficient to
satisfy the obligations described above, as well as the obligations described elsewhere herein for which similar pledges have
been made. This revenue is not pledged to satisfy any other obligations, nor is it committed for operating or other necessary
expenditures.
On August 3, 2020, the City issued $6,700,000 of its Storm Water District Revenue Bonds, Series 2020. The bonds were issued
in order to finance infrastructure improvements. To satisfy the principal and interest on the bonds, for the terms of the bonds, the
City has pledged its storm water revenues. The City expects the pledged revenue will be more than sufficient to satisfy the
obligations described above, as well as the obligations described elsewhere herein for which similar pledges have been made.
This revenue is not pledged to satisfy any other obligations, nor is it committed for operating or other necessary expenditures.
$ 353,783,464
46,495 114,159
(17,580,405)
(17,069,806)
$ 336,713,658
91
2019 2018 2017
Total OPEB Liability
Service Cost 1,420,618$ 1,519,286$ 1,330,012$
Interest Cost 1,002,886 861,028 1,029,979
Differences between Expected and Actual Experience (107,011) (787,315) (418,473)
Changes in Assumptions 1,205,476 (676,338) (1,046,528)
(884,567) (539,334) (413,786) Net Changes in Total OPEB Liability 2,637,402 377,327 481,204
Total OPEB Liability - Beginning 26,077,678 25,700,351 25,219,147
Total OPEB Liability - Ending 28,715,080 26,077,678 25,700,351
Plan Fiduciary Net Position - Beginning - - -
Plan Fiduciary Net Position - Ending - - -
Net OPEB Liability 28,715,080$ 26,077,678$ 25,700,351$
Plan Fiduciary Net Position as a Percentage of Total OPEB Liability 0.00%0.00%0.00%
Covered Payroll 44,359,976$ 38,986,588$ 38,047,090$
Net OPEB Liability as a Percentage of Covered Payroll 64.73%66.89%67.55%
The most recent actuarial valuation date is December 31, 2019.
Additional information on the City's OPEB can be found in Note II.G. on pages 85–89 of this report.
REQUIRED SUPPLEMENTARY INFORMATION
City of Carmel, Indiana
Benefit Payments
For the Fiscal Year Ended December 31, 2019
SCHEDULE OF CHANGES IN NET OPEB LIABILITY AND RELATED RATIOS
Note: 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.
92
2019 2018 2017
ADDITIONS
1. Employer Contributions 884,567$ 539,334$ 413,786$
2. Investment Income - - -
a . Net Increase in Fair Value of Investments - - -
b . Interest and Dividends - - -
c . Investment Expense - - -
d . Total Investment Income = 2a + 2b - 2c - - -
3. Transfers Into the Trust - - -
4. Other Additions - - -
5. Total Additions = (1) + (2d) + (3) + (4)884,567$ 539,334$ 413,786$
DEDUCTIONS
6. Benefit Payments 884,567$ 539,334$ 413,786$
7. Administrative Expense - -
8. Transfers Out of the Trust - -
9. Other Deductions - -
10. Total Deductions = (6) + (7) + (8) + (9)884,567$ 539,334$ 413,786$
NET POSITION RESTRICTED FOR POSTEMPLOYMENT BENEFITS
OTHER THAN PENSIONS
11. Beginning of Year -$ -$ -$
12. End of Year = (5) - (10) + (11)-$ -$ -$
Additional information on the City's OPEB can be found in Note II.G. on pages 85–89 of this report.
Note: 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.
City of Carmel, Indiana
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF CHANGES IN FIDUCIARY NET POSITION
For the Fiscal Year Ended December 31, 2019
93
941925 Police Officers' Pension Plan:20192018201720162015$ 564,928 564,928$$ 557,208$$ 546,748$$ 534,143$$ 564,928 564,928 557,208 546,748 534,143 -- -- -Actuarially determined contributionContributions in relation to the actuarially determined contributionContribution deficiency (excess)Covered payroll$ -$ -$ -$ - -$Contributions as a percentage of covered payroll1937 Firefighters' Pension Plan:Not applicable2019Not applicable2018Not applicable2017Not applicable2016Not applicable2015$ 584,282 584,282$$ 577,369$$ 553,519$$ 562,264$$ 584,282 584,282 577,369 553,519 562,264$ -$ -$ -$ - -$Actuarially determined contributionContributions in relation to the actuarially determined contributionContribution deficiency (excess)Covered payroll$ -$ -$ -$ - -$Contributions as a percentage of covered payroll Not applicable Not applicable Not applicable Not applicable Not applicableSee notes to schedules, 1925 Police Officers' and 1937 Firefighters' Pension Plans.City of Carmel, IndianaREQUIRED SUPPLEMENTARY INFORMATIONSCHEDULE OF EMPLOYER CONTRIBUTIONSDecember 31, 2019
951925 Police Officers' Pension Plan:20192018201720162015$ 9,650,494$ 9,893,565 10,119,548$ 10,119,548$ $ 10,179,012 145,316 131,361 147,471 148,470 147,785$ 9,505,178 $ 9,762,204 $ 9,972,077 $ 10,031,227$ 9,971,078 1.51%1.33%1.46%1.47%1.45%Total pension liabilityFiduciary net positionNet pension liabilityFiduciary net position as a percentage of the total pension liabilityCovered payroll -- -- -Net position as a percentage of covered payroll Not applicable1937 Firefighters' Pension Plan:2019Not applicable2018Not applicable2017Not applicable2016Not applicable201510,366,629$ 10,601,151$ 10,883,369$ 10,883,369$ $ 10,997,707 36,220 5,405 26,027 39,365 30,375 $10,330,409 $10,595,746 $10,857,342 $10,852,994 $ 10,958,3420.35%0.05%0.24%0.28%0.36%Total pension liabilityFiduciary net positionNet pension liabilityFiduciary net position as a percentage of the total pension liabilityCovered payroll$ -$ -$ -$ - -$Net position as a percentage of covered payroll Not applicable Not applicable Not applicable Not applicable Not applicableSee notes to schedules, 1925 Police Officers' and 1937 Firefighters' Pension Plans.City of Carmel, IndianaREQUIRED SUPPLEMENTARY INFORMATIONSCHEDULE OF NET PENSION LIABILITY AND RELATED RATIOSDecember 31, 2019
961925 Police Officers' Pension Plan:20192018201720162015$ 9,893,56510,119,548$ 10,119,548$ $ 10,220,74010,179,012$ 339,070 354,913 355,402 363,703 367,444 - 201,812 122,896 125,844 - - - - (582,141) 338,525 (337,280) (582,141) (557,214) (546,063) (535,016) 9,650,494 9,893,565 10,119,548 10,119,548 10,179,012 131,361 147,471 148,470 147,785 148,615Total pension liability - beginningInterest on total pension liabilityEffect of economic/demographic gains and lossesEffect of assumptions changes or inputsBenefit paymentsTotal pension liability - endingFiduciary net position - beginningEmployer contributions 564,928 564,928 557,208 546,748 534,143 4,121 1,203 882 (582,141) (582,141) (557,214) (546,063) - (100) (1,875)Net investment incomeBenefit paymentsAdministrative expensesOther 27,047 - - - 143 (535,016) - (100) -- 145,316 131,361 147,471 148,470 147,785Fiduciary net position - endingNet pension liability - ending1937 Firefighters' Pension Plan: $ 9,505,178 2019 $ 9,762,204 2018 $ 9,972,077 2017 $ 9,971,078 2016 $ 10,031,227 201510,601,151$ 10,883,369$ 10,883,369$ $ 11,028,78910,997,707$ 367,840 385,277 385,817 393,503 396,965 - 192,103 125,812 - - - - (602,362) 289,272 (351,553) (605,214) (577,920) 54,668 (562,509) (553,859) 10,366,629 10,601,151 10,883,369 10,883,369 10,997,707 5,405 26,027 30,375 39,365 30,909 584,282 584,282 577,369 553,519 562,264 847 310 224 -51 (602,362) (605,214) (577,920) (562,509) (553,859) - - (4,021) - - 48,048 - - - - 36,220 5,405 26,027 30,375 39,365Total pension liability - beginningInterest on total pension liabilityEffect of economic/demographic gains and lossesEffect of assumptions changes or inputsBenefit paymentsTotal pension liability - endingFiduciary net position - beginningEmployer contributionsNet investment incomeBenefit paymentsAdministrative expensesOtherFiduciary net position - endingNet pension liability - ending $ 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 PlansCity of Carmel, IndianaREQUIRED SUPPLEMENTARY INFORMATIONSCHEDULE OF CHANGES IN NET PENSION LIABILITYDecember 31, 2019
97Valuation date:Methods and assumptions used to determine most current contribution rate above:N/AActuarial cost methodAmortization methodN/ARemaining amortization perioN/ARetirement ageN/AMortalityN/ACity of Carmel, IndianaREQUIRED SUPPLEMENTARY INFORMATIONNOTES TO SCHEDULES1925 POLICE OFFICERS' AND 1937 FIREFIGHTERS' PENSION PLANSDecember 31, 2019Note: The City is presenting its fifth CAFR 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 January 1, of the fiscal year in which contributions are reported.
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 (Asset)
as a Percentage
of Covered
Payroll
Plan Fiduciary Net
Position as a
Percentage of
Total Pension
Liability (Asset)
City:
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%76.6%
June 30, 2016 0.0035353 16,044,763$ 16,943,306$ 94.7%75.3%
June 30, 2015 0.0034106 13,891,040$ 16,335,991$ 85.0%77.3%
Parks:
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%76.6%
June 30, 2016 0.0006398 2,903,697$ 3,066,437$ 94.7%75.3%
June 30, 2015 0.0006001 2,444,149$ 2,874,230$ 85.0%77.3%
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, 2019
OF THE NET PENSION LIABILITY
98
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 (Asset)
as a Percentage
of Covered
Payroll
Plan Fiduciary Net
Position as a
Percentage of
Total Pension
Liability (Asset)
Police:
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, 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%
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, 2019
(Continued)
Note: The City is presenting its fifth CAFR 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.
City of Carmel, Indiana
REQUIRED SUPPLEMENTARY INFORMATION
DEFINED BENEFIT PENSION PLANS - MULTIPLE EMPLOYER PLANS
SCHEDULE OF THE CITY'S PROPORTIONATE SHARE
OF THE NET PENSION LIABILITY
99
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:
June 30, 2019 3,523,477$ 3,523,477$ -$ 20,500,698$ 17.2%
June 30, 2018 3,308,652$ 3,308,652$ -$ 18,689,985$ 17.7%
June 30, 2017 3,045,739$ 3,045,739$ -$ 17,134,878$ 17.8%
June 30, 2016 2,916,463$ 2,916,463$ -$ 16,639,649$ 17.5%
June 30, 2015 2,755,295$ 2,755,295$ -$ 15,699,687$ 17.6%
Parks:
June 30, 2019 339,303$ 339,303$ -$ 3,218,501$ 10.5%
June 30, 2018 307,209$ 307,209$ -$ 3,075,470$ 10.0%
June 30, 2017 304,629$ 304,629$ -$ 3,036,900$ 10.0%
June 30, 2016 291,429$ 291,429$ -$ 2,970,334$ 9.8%
June 30, 2015 297,154$ 297,154$ -$ 2,949,419$ 10.1%
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:
June 30, 2019 1,920,734$ 1,920,734$ -$ 8,775,824$ 21.9%
June 30, 2018 1,809,416$ 1,809,416$ -$ 8,115,623$ 22.3%
June 30, 2017 1,713,532$ 1,713,532$ -$ 7,740,981$ 22.1%
June 30, 2016 1,657,359$ 1,657,359$ -$ 7,699,809$ 21.5%
June 30, 2015 1,607,669$ 1,607,669$ -$ 7,324,232$ 22.0%
Fire:
June 30, 2019 2,424,965$ 2,424,965$ -$ 11,394,697$ 21.3%
June 30, 2018 2,351,694$ 2,351,694$ -$ 10,817,803$ 21.7%
June 30, 2017 2,350,371$ 2,350,371$ -$ 10,356,379$ 22.7%
June 30, 2016 2,186,794$ 2,186,794$ -$ 10,339,049$ 21.2%
June 30, 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, 2019
100
December 31, 2019
Note: The City is presenting its fifth CAFR 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
Note: Covered payroll for the purposes of this schedule was determined as of the City's fiscal year ended
City of Carmel, Indiana
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO SCHEDULES
PUBLIC EMPLOYEES' RETIREMENT AND 1977 POLICE OFFICERS' AND
FIREFIGHTERS' PENSION AND DISABILITY FUNDS
101
Variance
Actual With Final
Budgetary Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Property tax 41,640,722$ 43,038,805$ 39,858,703$ (3,180,102)$
Income tax 43,718,160 45,101,901 44,531,670 (570,231)
Licenses and permits 2,080,375 2,142,786 1,789,364 (353,422)
Intergovernmental 605,273 621,245 526,226 (95,019)
Charges for services 3,269,428 3,140,849 1,002,681 (2,138,168)
Fines and forfeits 485,587 495,298 439,110 (56,188)
Miscellaneous 1,616,104 1,722,186 501,742 (1,220,444)
Township and joinder agreements - - 932,744 932,744 Other 7,098,505 6,380,118 9,799,406 3,419,288
Total revenues: budgetary basis 100,514,153 102,643,188 99,381,646 (3,261,542)$
Increase in available income tax receivable 608,142
Transfer in from enterprise funds
treated as revenue on a budgetary basis (1,320,506)
Transfer from a nonmajor fund
treated as revenue on a budgetary basis (135,000)
Total revenues reported on the
Statement of Revenues and Expenditures 98,534,282$
EXPENDITURES:
Current:
General government:
Clerk-Treasurer:Personal services 1,065,197$ 1,065,197$ 991,887$ (73,310)$
Supplies 10,382 10,382 8,932 (1,450)
Other services and charges 240,699 240,699 130,339 (110,360)
Capital outlay 16,390 16,390 1,883 (14,507)
Mayor's Office:-
Personal services 467,926 467,926 436,777 (31,149)
Supplies 6,245 6,245 4,046 (2,199)
Other services and charges 4,233,031 4,233,031 4,072,765 (160,266)
Capital outlay 20,000 20,000 8,776 (11,224)
City Council:
Personal services 319,677 319,677 267,889 (51,788)
Supplies 3,500 3,500 963 (2,537)
Other services and charges 313,099 313,099 127,656 (185,443)
Capital outlay 8,900 8,900 2,364 (6,536)
City of Carmel, Indiana
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
GENERAL FUND
General Fund
For the Fiscal Year Ended December 31, 2019
Budgeted Amounts
Continued on next page.
102
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 21,430 21,430 14,210 (7,220)
Debt service 17,755,197 17,840,197 17,838,020 (2,177)
Administration:
Personal services 413,560 413,560 389,828 (23,732)
Supplies 74,852 74,852 30,865 (43,987) Other services and charges 2,653,552 2,453,134 2,281,751 (171,383)
Capital outlay 271,964 271,964 218,429 (53,535)
Brookshire Golf Course:
Personal services 820,922 820,922 661,785 (159,137)
Supplies 115,300 115,300 82,279 (33,021)
Other services and charges 396,098 428,889 410,511 (18,378)
Capital outlay 164,500 164,500 151,019 (13,481)
Building Operations:
Supplies 8,000 8,000 1,883 (6,117)
Other services and charges 3,121,865 3,396,865 3,151,076 (245,789)
Capital outlay - - --
City Court:
Personal services 837,185 837,185 686,000 (151,185)
Supplies - - --
Other services and charges - - --
Capital outlay - - -- Law Department:
Personal services 1,070,666 1,070,666 884,710 (185,956)
Supplies 3,992 3,992 3,117 (875)
Other services and charges 380,565 420,565 600,977 180,412 Capital outlay 21,831 21,831 13,757 (8,074)
Community Services:
Personal services 2,707,050 2,707,050 2,516,869 (190,181)
Supplies 51,769 51,769 32,320 (19,449) Other services and charges 1,306,847 1,306,847 865,425 (441,422)
Capital outlay 501,517 501,517 401,410 (100,107)
Personnel/ Human Resources:-
Personal services 541,280 541,280 497,065 (44,215)
Supplies 1,000 1,000 707 (293)
Other services and charges 105,876 105,876 68,594 (37,282)
Capital outlay 3,600 3,600 2,498 (1,102)
For the Fiscal Year Ended December 31, 2019(Continued)
City of Carmel, Indiana
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
GENERAL FUND
Continued on next page.
Budgeted Amounts
103
Variance
Actual With Final
Budgetary Budget
Basis Positive
Original Final Amounts (Negative)
Expenditures (continued):
Current (continued):
Information Systems:
Personal services - - --
Supplies 659 659 -(659)
Other services and charges 74,107 236,551 8,478 (228,073)
Capital outlay 58,801 58,801 66 (58,735)
City Property Maintenance:
Supplies 109,023 109,023 82,082 (26,941)
Other services and charges 905,946 905,946 959,326 53,380
Public Affairs/ Community Relations:
Personal services 1,018,178 1,018,178 862,945 (155,233)
Supplies 4,408 4,408 4,677 269
Other services and charges 2,660,740 2,660,740 2,511,383 (149,357)
Capital outlay 26,319 26,319 24,664 (1,655)
Street Department - Special Projects
Other services and charges 205,363 340,363 - (340,363)
Total general government 44,913,646 45,648,825 42,313,003 (3,335,822)
Public Safety:
Fire Department:
Personal services 23,890,005 23,890,005 24,109,268 219,263
Supplies 300,201 300,201 289,863 (10,338)
Other services and charges 2,258,752 2,333,440 1,722,946 (610,494)
Police Department:
Personal services 20,185,900 20,185,900 18,591,391 (1,594,509)
Supplies 716,860 803,372 556,839 (246,533)
Other services and charges 1,382,005 1,382,005 1,247,564 (134,441)
Capital outlay 1,109,058 1,109,058 988,404 (120,654)
Communication Center:
Personal services 2,068,710 2,068,710 1,913,685 (155,025)
Supplies 35,911 35,911 42,776 6,865
Other services and charges 2,638,218 2,638,218 2,595,453 (42,765)
Capital outlay 415,439 415,439 493,322 77,883
Total public safety 55,001,059 55,162,259 52,551,511 (2,610,748)
(Continued)
Continued on next page.
Budgeted Amounts
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
GENERAL FUND
For the Fiscal Year Ended December 31, 2019
City of Carmel, Indiana
104
Variance
Actual With Final
Budgetary Budget
Basis Positive
Original Final Amounts (Negative)
Expenditures (continued):
Current (continued):
Culture and recreation:
Parks Department:
Personal services 2,364,730 2,364,730 2,253,859 (110,871)
Supplies 132,213 132,213 119,234 (12,979)
Other services and charges 1,004,696 1,004,696 1,031,548 26,852
Capital outlay 62,187 62,187 54,776 (7,411)
Total culture and recreation 3,563,825 3,563,825 3,459,417 (104,408)
Economic Development:
Redevelopment Department:
Personal services 539,907 539,907 526,386 (13,521)
Supplies 1,600 1,600 5,986 4,386
Other services and charges 93,550 93,550 68,989 (24,561)
Capital outlay 12,016 12,016 3,636 (8,380)
Total economic development 647,073 647,073 604,997 (42,076)
Transfers to nonmajor funds - -3,943,635 3,943,635
Other Expenditure - -164,396 164,396
Total expenditures, budgetary basis 104,330,966$ 105,021,983$ 103,036,959 (1,985,024)$
Increase in accrued liabilities:
Accounts payable 757,190
Accrued payroll and withholdings payable 381,267
Transfers to other funds (18,158,742)
Less, accrual due to Rainy Day Fund (2,864,232)
Total expenditures reported on the
Statement of Revenues and Expenditures 83,152,442$
treated as expenditures on a
budgetary basis
Budgeted Amounts
For the Fiscal Year Ended December 31, 2019
(Continued)
City of Carmel, Indiana
REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
GENERAL FUND
105
106
City of Carmel, Indiana
NOTES TO REQUIRED SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
December 31, 2019
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, Deferral Fund, 2016 Property Tax Bond Fund, Storm
Water Fund, User Fee Fund, Court Records Perpetuation Fund, Parks Program Fund, Drug Task Force
Fund, Ambulance Capital Fund, Judicial Salary Fund, Parks Monon Fund, Parks Facilities Fund, and
Public Defender 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. Revenue budgets
represent the most recent estimates available to the Mayor and Council at that time. Final revenue budgets
represent the estimates available one year later, when the subsequent budget is adopted.
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.
107
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 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 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.
The Health Self Insurance Fund accounts for the City's employee healthcare self-insurance program.
Continued on next page.
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City of Carmel, Indiana
NONMAJOR GOVERNMENTAL FUNDS - INFORMATION
(Continued)
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
engagement.
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 Funds 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 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.
The Parks Gift Fund accounts for donations received for park expenditures.
Continued on next page.
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City of Carmel, Indiana
NONMAJOR GOVERNMENTAL FUNDS - INFORMATION
(Continued)
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 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.
Capital Projects Funds - used to account for revenues and other financing sources restricted or
committed to the acquisition of capital assets:
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.
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 the acquisition of EMS and fire protection
equipment.
The Park 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.
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City of Carmel, Indiana
NONMAJOR GOVERNMENTAL FUNDS - INFORMATION
(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 Capital Lease Fund accounts for the accumulation of resources for certain capital leases.
The 2016 Property Tax Bond Construction Funds 1 - 13 account for the proceeds of thirteen separate street projects financed by property tax, issued for the purpose of street improvement and construction.
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.
The 2019 Project 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.
Park Impact Fee Hazardous Material Parks Program Parks Monon Parks Facility Local Road & Street Deferral User Fee Barrett Law Barrett Law Surplus Storm Water 4CDC Operating Fund ASSETS:Cash and cash equivalents2,663,185$ $ 26,324 $ 2,836,070 4,180,048$ 137,349$ 5,287,835$ 298,196$ 84,552$ 6$ $ 166,369 $ 17,620,937 $ 959,473 Property tax receivable- - - - - - - - - - - - Due from other governmental funds- - - - - - - - - - - - Due from related utility--------- -340,642 - Intergovernmental receivables- - - - - - - - - - - - Accounts receivable- - - - - -- -- - - 4,076 Total assets2,663,185 26,324 2,836,070 4,180,048 137,349 5,287,835 298,196 84,552 6 166,369 17,961,579 963,549 LIABILITIES:Accounts payable6,336 - 247,299 279,096 5,702 22,989 906 702 - - 285,449 25,014 Claims payable- - - - - - - - - - - - Due to other funds- - - - - - - - - - 54,169 - Accrued payroll- - 123,729 129,689 - -2,195 - - - - - Total liabilities6,336 -371,028408,785 5,702 22,989 3,101 702 - -339,618 25,014 DEFERRED INFLOW OF RESOURCES: Unavailable revenue- -- -- -- -- -- -FUND BALANCE:Restricted:General government-- - - - - - - - - - - Public safety- 26,324 - - - -295,095 83,850 - - - - Highways and streets- - - - - 5,264,846 - - - - 17,621,961 - Drainage and other capital assets- - - - - - - - 6 166,369 -- Economic development- - - - - - - - - - - 938,535 Culture and recreation2,656,849 - 2,465,042 3,771,263 131,647 - - - - - - - Committed:General government--------- ---Public safety--------- ---Highways and streets--------- ---Drainage and other capital assets--------- ---Economic development--------- ---Unassigned- -- -- -- -- -- - TOTAL FUND BALANCES2,656,849 26,324 2,465,042 3,771,263 131,647 5,264,846 295,095 83,850 6 166,369 17,621,961 938,535 TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, ANDFUND BALANCES2,663,185$ 26,324$ 2,836,070$ 4,180,048$ 137,349$ 5,287,835 298,196$ 84,552$ 6$ 166,369$ 17,961,579$ 963,549$ Continued on next page.Special Revenue FundsCity of Carmel, IndianaBALANCE SHEETNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019111
ASSETS:Cash and cash equivalentsProperty tax receivableDue from other governmental fundsDue from related utilityIntergovernmental receivablesAccounts receivable Total assetsLIABILITIES:Accounts payableClaims payableDue to other fundsAccrued payroll Total liabilitiesDEFERRED INFLOW OF RESOURCES: Unavailable revenueFUND BALANCE:Restricted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentCulture and recreationCommitted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentUnassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, ANDFUND BALANCES Motor Vehicle Highway Fund MIHP Health Self Insurance Workers Comp Support for the Arts Keystone Non-Reverting Bicycle Facilities Non-Reverting Center Green Ice Non-Reverting Events & Festival Non-Reverting Code Enforcement Non-Reverting Urban Forestry Clerk's Record Perpetuation 3,280,139$ 11,059$ 2,848,151$ 750,939$ 19,134$ 136,970$ 22,114$ 334,776$ 32,146$ 20,702$ 71,191$ 274,191$ 265,991 - --- -- -- - -- 54,169 - --- -- -- - -- - - --- -- -- - -- 351,999 - --- -- -- - -- - - -- -- -- -- -- 3,952,298 11,059 2,848,151 750,939 19,134 136,970 22,114 334,776 32,146 20,702 71,191 274,191 890,934 - 91,364 -- -- 46,112 - - -- - - 646,713 -- -- -- - -- - - --- -- -- - -- 414,650 - -- -- -- -- -- 1,305,584 -738,077 - -- -46,112 - -- -265,991 - -- -- -- -- -- - - - -- -- -- - -274,191 - 11,059 - -- -- -- - -- 2,380,723 - - -- -- -- - -- - - - -- -- -- - -- - - - -- -- -- - -- - - - -- -- -- - 71,191 - - - 2,110,074 750,939 - - - - - - -- - - -- - -- -- - -- - - -- - 136,970 22,114 288,664 32,146 20,702 -- - - -- - - - - - - -- - - -- 19,134 - - - - - -- - - -- -- -- -- -- 2,380,723 11,059 2,110,074 750,939 19,134 136,970 22,114 288,664 32,146 20,702 71,191 274,191 3,952,298$ 11,059$ 2,848,151$ 750,939$ 19,134$ 136,970$ 22,114$ 334,776$ 32,146$ 20,702$ 71,191$ 274,191$ Continued on next page.City of Carmel, IndianaBALANCE SHEETNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019(Continued)Special Revenue Funds112
ASSETS:Cash and cash equivalentsProperty tax receivableDue from other governmental fundsDue from related utilityIntergovernmental receivablesAccounts receivable Total assetsLIABILITIES:Accounts payableClaims payableDue to other fundsAccrued payroll Total liabilitiesDEFERRED INFLOW OF RESOURCES: Unavailable revenueFUND BALANCE:Restricted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentCulture and recreationCommitted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentUnassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, ANDFUND BALANCES Court Interpreter Public Defender Judicial Salary Fees Historic Preservation Fund Fire Gift Police Gift Parks Gift Community Relations Gift Redevelopment Commission Gift Economic Development Housing Authority Drug Task Force 64$ 10,992$ 142,720$ 144,403$ 15,879$ 64,670$ 30,413$ 98,516$ 58,969$ 78,565$ 58,865$ 643,985$ ------------------------------------------------- -- -- -- -- -- -64 10,992 142,720 144,403 15,879 64,670 30,413 98,516 58,969 78,565 58,865 643,985 --2,183 -1,8491,571 -19,877---11,176 ------------------------- -- -- -- -- -- -- -2,183 -1,8491,571 -19,877- -- 11,176 - -- -- -- -- -- --------78,639 58,969 ---64 10,992 140,537 -14,03063,099 -----632,809---------------------------------78,56558,865 -------30,413--------------------------------------------------------144,403 --------- -- -- -- -- -- -64 10,992 140,537 144,403 14,030 63,099 30,413 78,639 58,969 78,565 58,865 632,809 64$ 10,992$ 142,720$ 144,403$ 15,879$ 64,670$ 30,413$ 98,516$ 58,969$ 78,565$ 58,865$ 643,985$ Continued on next page.(Continued)Special Revenue FundsCity of Carmel, IndianaBALANCE SHEETNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019113
ASSETS:Cash and cash equivalentsProperty tax receivableDue from other governmental fundsDue from related utilityIntergovernmental receivablesAccounts receivable Total assetsLIABILITIES:Accounts payableClaims payableDue to other fundsAccrued payroll Total liabilitiesDEFERRED INFLOW OF RESOURCES: Unavailable revenueFUND BALANCE:Restricted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentCulture and recreationCommitted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentUnassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, ANDFUND BALANCES Thoroughfare Grant Total Special Revenue Funds Bond Bank Project Fund Redevelopment Authority Capital Projects Fund Ambulance Park Capital Cumulative Capital Improvement Cumulative Capital Sewer Cumulative Capital Development Illinois Street Construction 1,200,681$ 616,803$ 45,227,381$ $ 2,418,050 1,876,633$ 1,694,238$ 102,757$ 321,218$ $ 286,197 $ 326,653 $ 80,603 --265,991 - - -- - - 111,277 - --54,169- - -- - - - - --340,642- - -- - - - - --351,999- - -- - - - - - -4,076 - - 71,173 - - - - - 1,200,681 616,803 46,244,258 2,418,050 1,876,633 1,765,411 102,757 321,218 286,197 437,930 80,603 -26,5321,965,091 - - 249,059 - 16,740- - - --646,713- - -- - - - - --54,169 - - -- - - - - - - 670,263 - - - -- - - - -26,532 3,336,236 - -249,059 -16,740- -- --265,991- -59,311 - -- 111,277 - --411,799- - ---- - - -590,2711,868,130- - - -- - - 1,200,681 -26,468,2112,418,050 1,876,633 -- -286,197 326,653 80,603 --166,375- - -- -- - - --1,075,965-- -- - - --9,126,405- - -102,757 -- - - --2,861,013- - --- ------- - 1,457,041 -------500,596- - - -304,478 ------- - - -- -----163,537 - - - -- ---- -- -- -- -- -- 1,200,681 590,271 42,642,031 2,418,050 1,876,633 1,457,041 102,757 304,478 286,197 326,653 80,603 1,200,681$ 616,803$ 46,244,258$ 2,418,050$ 1,876,633$ 1,765,411$ 102,757$ 321,218$ 286,197$ 437,930$ 80,603$ Continued on next page.City of Carmel, Indiana(Continued)Capital Projects FundsSpecial Revenue FundsFor the Fiscal Year Ended December 31, 2019NONMAJOR GOVERNMENTAL FUNDSBALANCE SHEET114
ASSETS:Cash and cash equivalentsProperty tax receivableDue from other governmental fundsDue from related utilityIntergovernmental receivablesAccounts receivable Total assetsLIABILITIES:Accounts payableClaims payableDue to other fundsAccrued payroll Total liabilitiesDEFERRED INFLOW OF RESOURCES: Unavailable revenueFUND BALANCE:Restricted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentCulture and recreationCommitted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentUnassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, ANDFUND BALANCES Old Town/126th Construction Capital Lease 2016 Property Tax Bond Construction 1 2016 Property Tax Bond Construction2 2016 Property Tax Bond Construction3 2016 Property Tax Bond Construction 4 2016 Property Tax Bond Construction 5 2016 Property Tax Bond Construction6 2016 Property Tax Bond Construction7 2016 Property Tax Bond Construction8 2016 Property Tax Bond Construction9 2016 Property Tax Bond Construction 10 459$ 812,056$ 5,485$ 112,626$ 1,741,506$ 62,609$ 44,375$ 59,948$ 297$ 121,098$ 32,672$ 454,671$ ------------------------------------------------- -- -- -- -- -- -459 812,056 5,485 112,626 1,741,506 62,609 44,375 59,948 297 121,098 32,672 454,671 ------------------------------------- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- --------------812,056 ------------5,485 112,626 1,741,506 62,609 44,375 59,948 297121,098 32,672 454,671 ------------459 --------------------------------------------------------------------------- -- -- -- -- -- 459 812,056 5,485 112,626 1,741,506 62,609 44,375 59,948 297 121,098 32,672 454,671 459$ 812,056$ 5,485$ 112,626$ 1,741,506$ 62,609$ 44,375$ 59,948$ 297$ 121,098$ 32,672$ 454,671$ Continued on next page.Capital Projects FundsCity of Carmel, IndianaBALANCE SHEETNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019(Continued)115
ASSETS:Cash and cash equivalentsProperty tax receivableDue from other governmental fundsDue from related utilityIntergovernmental receivablesAccounts receivable Total assetsLIABILITIES:Accounts payableClaims payableDue to other fundsAccrued payroll Total liabilitiesDEFERRED INFLOW OF RESOURCES: Unavailable revenueFUND BALANCE:Restricted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentCulture and recreationCommitted:General governmentPublic safetyHighways and streetsDrainage and other capital assetsEconomic developmentUnassigned TOTAL FUND BALANCES TOTAL LIABILITIES, DEFERRED OUTFLOWS OF RESOURCES, ANDFUND BALANCES 2016 Property Tax Bond Construction 11 2016 Property Tax Bond Construction 12 2016 Property Tax Bond Construction 13 2017 A Bond Construction Fund 2018 CMBC Bond Construction Fund 2019 Project Fund Total Capital Projects Funds Lease Rental 2004 Road Bond 2016 Property Tax Bond Fund Total Debt Service Funds Total Nonmajor Governmental Funds 347,691$ 127,371$ 20,780$ 1,483$ 1,293,369$ 2,043,561$ 14,388,406$ 3,853$ 1,529,153$ 60,450$ 1,593,456$ 61,209,243$ - -- -- - 111,277 - 99,63541,197 140,832 518,100- -- -- - - - - - - 54,169- -- -- - - - - - - 340,642- -- -- - - - - - - 351,999- -- - - -71,173 - -- -75,249 347,691 127,371 20,780 1,483 1,293,369 2,043,561 14,570,856 3,853 1,628,788 101,647 1,734,288 62,549,402 - -- -- - 265,799 - - - - 2,230,890 - -- -- - - - - - - 646,713- -- -- - - - - - - 54,169- -- - - -- - - --670,263 - -- - - - 265,799 - -- -3,602,035 - -- - - - 170,588 -99,63541,197 140,832 577,411 - -- -- - - - - - - 411,799- -- -- - 812,056 - - - - 2,680,186 347,691 127,371 20,780 1,483 - - 8,120,748 3,853 1,529,153 60,450 1,593,456 36,182,415 - -- -- - - - - - - 166,375- -- -1,293,369 2,043,561 3,337,389 - - - - 4,413,354 - -- -- - 102,757 - - - - 9,229,162 - -- -- - - - - - - 2,861,013 - -- -- - 1,457,041 - - - - 1,457,041 - -- -- - 304,478 - - - - 805,074- - - -- -- - - - - - - 163,537- -- - - -- - - -- - 347,691 127,371 20,780 1,483 1,293,369 2,043,561 14,134,469 3,853 1,529,153 60,450 1,593,456 58,369,956 347,691$ 127,371$ 20,780$ 1,483$ 1,293,369$ 2,043,561$ 14,570,856$ 3,853$ 1,628,788$ 101,647$ 1,734,288$ 62,549,402$ (Continued)City of Carmel, IndianaBALANCE SHEETNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019Capital Projects FundsDebt Service Funds116
Park Impact Fee Hazardous Material Parks Program Parks Monon Parks Facility Local Road & Street Deferral User Fee Barrett Law Barrett Law Surplus Storm Water 4CDC Operating Fund REVENUES:Charges for services1,078,878$ 3,931$ 4,395,640$ 6,493,384$ 154,576$ -$ 23,238$ 30,273$ -$-$ 4,010,897$ 1,026,628$ Investment income96,508 1,284158,402 156,157 5,452- 13,080- -- 404,281 - Licenses and permits- - - - - - - 66,395 -- - - Other- - 445- 1,363247,674 - 499-- 90,749 73,155 Other taxes- - - - - - - --- - - Contributions- - 25926,563 - - - --- - - General property taxes- - - - - - - --- - - Intergovernmental:Grants- - - - - - - - -- - - Shared revenue- -- --2,307,787- -- -- - Total revenues1,175,386 5,215 4,554,746 6,676,104 161,391 2,555,461 36,318 97,167 - - 4,505,927 1,099,783 EXPENDITURES:Current:General government - - - - - - - - -- - 536,794 Public safety- 9,196- - - - 61,857 173,856 -- - - Streets and other infrastructure- - - - - - - -- - - Economic development- - - - - - - -- - 221,319 Culture and recreation- - 5,767,030 6,271,713 - - - - -- - - Debt service:Principal- - - - - - - - -- - - Interest- - - - - - - - -- - - Lease rentals and issuance costs- - - - - - - - -- - 59,121 Capital outlay:General government- - - - - - - - -- - - Public safety- - - - - - - - -- - - Streets and other infrastructure- - - - - 7,469,060- - -- 4,634,695 - Economic development- - - - - - - - -- - - Culture and recreation951,854 - -- 161,140 - -- -- -- Total expenditures951,854 9,196 5,767,030 6,271,713 161,140 7,469,060 61,857 173,856 - - 4,634,695 817,234 Excess (deficiency) of revenues over (under) expenditures223,532 (3,981) (1,212,284) 404,391 251(4,913,599) (25,539) (76,689) -- (128,768) 282,549 Other financing sources (uses):Transfers in, governmental funds- - - - - - - - -- - - Transfers (out), governmental funds- - - - - (492,264) - - -- (3,104,821) (5,470,879) Bond issuance - principal- - - - - - - - -- - 6,000,000 Capital lease proceeds- -- -- -- -- -- - Total other financing sources- -- --(492,264) - -- - (3,104,821) 529,121 NET CHANGE IN FUND BALANCES223,532 (3,981) (1,212,284) 404,391 251(5,405,863) (25,539) (76,689) -- (3,233,589) 811,670 FUND BALANCES: beginning2,433,317 30,305 3,677,326 3,366,872 131,396 10,670,709320,634 160,539 6 166,369 20,855,550 126,865 Restatement- - - - - - - - -- - - FUND BALANCES: beginning, restated2,433,317 30,305 3,677,326 3,366,872 131,396 10,670,709 320,634 160,539 6 166,369 20,855,550 126,865 FUND BALANCES: ending2,656,849$ 26,324$ 2,465,042$ 3,771,263$ 131,647$ 5,264,846$ 295,095$ 83,850$ 6$ 166,369$ 17,621,961$ 938,535$ Continued on next page.Special RevenueFor the Fiscal Year Ended December 31, 2019City of Carmel, IndianaSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESNONMAJOR GOVERNMENTAL FUNDS117
REVENUES:Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental:GrantsShared revenue Total revenuesEXPENDITURES:Current:General governmentPublic safetyStreets and other infrastructureEconomic developmentCulture and recreationDebt service:PrincipalInterestLease rentals and issuance costsCapital outlay:General governmentPublic safety Streets and other infrastructureEconomic developmentCulture and recreation Total expendituresExcess (deficiency) of revenues over (under) expendituresOther financing sources (uses):Transfers in, governmental fundsTransfers (out), governmental fundsBond issuance - principalCapital lease proceeds Total other financing sourcesNET CHANGE IN FUND BALANCESFUND BALANCES: beginningRestatementFUND BALANCES: beginning, restatedFUND BALANCES: ending Motor Vehicle Highway Fund MIHP Health Self Insurance Workers Comp Support of the Arts Keystone Non-Reverting Bicycle Facilities Non-Reverting Center Green Ice Non-Reverting Events & Festival Non-Reverting Code Enforcement Non-Reverting Urban Forestry Clerk's Record Perpetuation -$ -$ -$ -$ -$ -$ -$ -$ 4,750$ -$ -$ -$ - 412- - - 5,53267514,596 1,587614- - - - - - - - - - - - - - 333,330 - - 468,783 - - 9,000231,330 2,59610,000 - 37,626908,276 - - - - - - - - - - - - 4,872- - - - - - 3,519- - - 8,507,353 - - - - - - - - - - - - - - - - - - - - - - - 3,878,347 - -- -- -- -- -- 13,627,306 5,284-468,783-5,5329,675 245,926 12,452 10,614 -37,626 - - 1,023,945 378,070 - - - - - - - 6,847 - 4,836- - - - - - - - - - 12,586,488 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 316,238 20,732 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 1,281,023 - - - - - - - - - - - - - - - - - - - - - - - - - -- -- -- -- -- 13,867,511 4,836 1,023,945 378,070 - -- 316,238 20,732 - -6,847 (240,205) 448(1,023,945) 90,713 - 5,5329,675(70,312) (8,280) 10,614 - 30,7791,734,051 - - - - - - - - - - - (135,000) - - - - - - - - - - - - - - - - - - - - - - - - - -- -- -- -- -- 1,599,051 - -- -- -- -- -- 1,358,846 448(1,023,945) 90,713 - 5,5329,675(70,312) (8,280) 10,614 - 30,7791,021,877 10,611 3,134,019 660,226 19,134 131,438 12,439 358,976 40,426 10,088 71,191 243,412- - - - - - - - - - - - 1,021,877 10,611 3,134,019 660,226 19,134 131,43812,439 358,976 40,426 10,088 71,191 243,412 2,380,723$ 11,059$ 2,110,074$ 750,939$ 19,134$ 136,970$ 22,114$ 288,664$ 32,146$ 20,702$ 71,191$ 274,191$ Continued on next page.Special RevenueFor the Fiscal Year Ended December 31, 2019STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESCity of Carmel, IndianaNONMAJOR GOVERNMENTAL FUNDS(Continued)118
REVENUES:Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental:GrantsShared revenue Total revenuesEXPENDITURES:Current:General governmentPublic safetyStreets and other infrastructureEconomic developmentCulture and recreationDebt service:PrincipalInterestLease rentals and issuance costsCapital outlay:General governmentPublic safety Streets and other infrastructureEconomic developmentCulture and recreation Total expendituresExcess (deficiency) of revenues over (under) expendituresOther financing sources (uses):Transfers in, governmental fundsTransfers (out), governmental fundsBond issuance - principalCapital lease proceeds Total other financing sourcesNET CHANGE IN FUND BALANCESFUND BALANCES: beginningRestatementFUND BALANCES: beginning, restatedFUND BALANCES: ending Court Interpreter Public Defender Judicial Salary Fees Historic Preservation Fund Fire Gift Police Gift Parks Gift Community Relations Gift Redevelopment Commission Gift Economic Development Housing Authority Drug Task Force -$ 3,271$ 34,659$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 3 - - - 1,0446101,3733,470861- - 28,473 - - - - - - - - - - - - - - - - - - - 7,500- - - 29,363 - - - - - - - - - - - - - - - - 32,060 65,325 4,292 48,412 55,000 - - - - - - - - - - - - - - - - - - - - - - - - - - 96,485 - -- -- -- -- -- - 33,271 34,659 -33,10465,935 5,665 59,382 55,861 - -154,321 - - - - - - - - - - - - - - 51,752 - 29,26533,326 - - - - - 262,404- - - - - - - - - - - -- - - - - - - - - - - -- - - - - - 13,302 61,516 31,324 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- -- -- -- -- - -51,752-29,26533,326 13,302 61,516 31,324 - -262,404 3 3,271(17,093) - 3,83932,609 (7,637) (2,134) 24,537 - - (108,083) - - - 79,403 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- -- -- -- -- - - --79,403 - -- -- -- - 3 3,271(17,093) 79,403 3,839 32,609 (7,637) (2,134) 24,537 - - (108,083) 61 7,721157,630 65,000 10,191 30,490 38,050 80,773 34,432 78,565 58,865 740,892 - - - - - - - - - - - - 617,721 157,630 65,000 10,191 30,490 38,050 80,773 34,432 78,565 58,865 740,892 64$ 10,992$ 140,537$ 144,403$ 14,030$ 63,099$ 30,413$ 78,639$ 58,969$ 78,565$ 58,865$ 632,809$ Continued on next page.Special RevenueNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES(Continued)City of Carmel, Indiana119
REVENUES:Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental:GrantsShared revenue Total revenuesEXPENDITURES:Current:General governmentPublic safetyStreets and other infrastructureEconomic developmentCulture and recreationDebt service:PrincipalInterestLease rentals and issuance costsCapital outlay:General governmentPublic safety Streets and other infrastructureEconomic developmentCulture and recreation Total expendituresExcess (deficiency) of revenues over (under) expendituresOther financing sources (uses):Transfers in, governmental fundsTransfers (out), governmental fundsBond issuance - principalCapital lease proceeds Total other financing sourcesNET CHANGE IN FUND BALANCESFUND BALANCES: beginningRestatementFUND BALANCES: beginning, restatedFUND BALANCES: ending Thoroughfare Grant Total Special Revenue Funds Bond Bank Project Fund Redevelopment Authority Capital Projects Fund Ambulance Parks Capital Cumulative Capital Improvement Cumulative Capital Sewer Cumulative Capital Development Illinois Street Construction 170,513$ -$17,430,638$ -$-$1,678,694$ -$-$-$-$-$44,016 -938,430 49,503 57,076 76,813 5,383 ------66,395 ----------1,543,413 512,513 -580 -------908,276 ----209,386 -379,977 ---240,302 ----------8,507,353 ------3,556,710 --3,070,276 3,166,761 --------- -6,186,134 - -- -- -1,654 - 214,529 3,070,276 38,987,702 562,016 57,076 1,756,087 5,383 209,386 -3,938,341 - --1,945,656 ---------263,759 890,251 --1,534,544 -------12,586,488 35,710 -----370,824 ---221,319 - ---------12,481,855 -------------6,077,000 ----------13,682,177 ---------59,121 ----------------------------------13,384,778 -1,740,410 --245,230 -4,500 6,417 -------------1,112,994 - --45,972 - -- --263,759 42,682,462 19,794,887 1,740,410 1,534,544 45,972 245,230 -375,3246,417 214,529 2,806,517 (3,694,760) (19,232,871) (1,683,334) 221,543 (40,589) (35,844) -3,563,017 (6,417) --1,813,454 18,623,450 5,700 -------(2,927,939)(12,130,903) (598,196) (100,000) ----(3,601,397) ---6,000,000 --------- -- -- -- -- --(2,927,939) (4,317,449) 18,025,254 (94,300) - -- - (3,601,397) - 214,529 (121,422)(8,012,209) (1,207,617) (1,777,634) 221,543 (40,589) (35,844) -(38,380)(6,417) 986,152 711,693 50,654,240 3,511,508 3,654,267 1,235,498 143,346 340,322 286,197 365,033 87,020 ---114,159 -------986,152 711,693 50,654,240 3,625,667 3,654,267 1,235,498 143,346 340,322 286,197 365,03387,020 1,200,681$ 590,271$ 42,642,031$ 2,418,050$ 1,876,633$ 1,457,041$ 102,757$ 304,478$ 286,197$ 326,653$ 80,603$ Continued on next page.Special RevenueCity of Carmel, IndianaSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019(Continued)Capital Projects Funds120
REVENUES:Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental:GrantsShared revenue Total revenuesEXPENDITURES:Current:General governmentPublic safetyStreets and other infrastructureEconomic developmentCulture and recreationDebt service:PrincipalInterestLease rentals and issuance costsCapital outlay:General governmentPublic safety Streets and other infrastructureEconomic developmentCulture and recreation Total expendituresExcess (deficiency) of revenues over (under) expendituresOther financing sources (uses):Transfers in, governmental fundsTransfers (out), governmental fundsBond issuance - principalCapital lease proceeds Total other financing sourcesNET CHANGE IN FUND BALANCESFUND BALANCES: beginningRestatementFUND BALANCES: beginning, restatedFUND BALANCES: ending Old Town/126th Construction Capital Lease 2016 Property Tax Bond Construction 1 2016 Property Tax Bond Construction2 2016 Property Tax Bond Construction3 2016 Property Tax Bond Construction 4 2016 Property Tax Bond Construction 5 2016 Property Tax Bond Construction6 2016 Property Tax Bond Construction7 2016 Property Tax Bond Construction8 2016 Property Tax Bond Construction9 2016 Property Tax Bond Construction10 -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ - 1993,21634,438 1,0727341,466- 2,01164928,719 - - - - - - - - - -- - - - - - - - - 37297- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -- -- -- -- -- - 1993,216 34,438 1,072 734 1,503 297 2,011 649 28,719 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 743,156- - - - - - - - - - - -- - - - - - - - - - - 62,78970020,596 23,467 7,45080846,256 - 3,35016,995 1,104,187 - 1,031,465- - - - - - - -- - -897,143- -- -- -- -- - -2,734,553700 20,596 23,467 7,450 808 46,256 -3,35016,995 1,104,187 - (2,734,552) (601) (17,380) 10,971 (6,378) (74) (44,753) 297(1,339) (16,346) (1,075,468) - - - - - - - - - - - - - - - (26,000) - - - - - - - - - - - - - - - - - - - - -3,530,369- -- -- -- -- - -3,530,369-(26,000) - -- -- -- - - 795,817(601) (43,380) 10,971 (6,378) (74) (44,753) 297(1,339) (16,346) (1,075,468) 459 16,2396,086156,006 1,730,535 68,987 44,449 104,701- 122,43749,018 1,530,139 - - - - - - -- - - - 459 16,2396,086 156,006 1,730,535 68,987 44,449 104,701-122,43749,018 1,530,139 459$ 812,056$ 5,485$ 112,626$ 1,741,506$ 62,609$ 44,375$ 59,948$ 297$ 121,098$ 32,672$ 454,671$ Continued on next page.Capital Projects FundsCity of Carmel, IndianaSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019(Continued)121
REVENUES:Charges for services Investment income Licenses and permits Other Other taxes Contributions General property taxes Intergovernmental:GrantsShared revenue Total revenuesEXPENDITURES:Current:General governmentPublic safetyStreets and other infrastructureEconomic developmentCulture and recreationDebt service:PrincipalInterestLease rentals and issuance costsCapital outlay:General governmentPublic safety Streets and other infrastructureEconomic developmentCulture and recreation Total expendituresExcess (deficiency) of revenues over (under) expendituresOther financing sources (uses):Transfers in, governmental fundsTransfers (out), governmental fundsBond issuance - principalCapital lease proceeds Total other financing sourcesNET CHANGE IN FUND BALANCESFUND BALANCES: beginningRestatementFUND BALANCES: beginning, restatedFUND BALANCES: ending 2016 Property Tax Bond Construction11 2016 Property Tax Bond Construction12 2016 Property Tax Bond Construction13 2017 A Bond Construction Fund 2018 CMBC Bond Construction Fund 2019 Project Fund Total Capital Projects Funds Lease Rental 2004 Road Bond 2016 Property Tax Bond Fund Total Debt Service Funds Total Nonmajor Governmental Funds -$ -$ -$ -$ -$ -$ 1,678,694$ -$ -$ -$ -$ 19,109,332$ 26,442 2,328 3908,74729,947 30,293 359,327 - - - - 1,297,757 - - - - - - - - - - - 66,395 - - - 21,998 33,744 - 569,169 - - - - 2,112,582 - - - - - - 589,363 - 340,221140,676 480,897 1,978,536 - - - - - - - - - - - 240,302 - - - - 3,556,710 - 3,329,8501,380,822 4,710,672 16,774,735 - - - - - - - - - - - 3,166,761 - -- -- -1,654 -1,481613 2,094 6,189,882 26,442 2,328 390 30,745 63,691 30,293 6,754,917 -3,671,552 1,522,111 5,193,663 50,936,282 - - - - - - - - - - - 1,945,656 - - - - - - 1,534,544 - - - - 2,424,795 - - - - - - 406,534 - - - - 12,993,022 - - - - - - - - - - - 221,319 - - - - - - - - - - - 12,481,855 - - - - - - - - 6,077,000 - - - - 6,077,000 - - - - 513,160 - 14,195,337 - - - - 14,195,337 - - - - - 269,300269,300 - - - - 328,421 - - - - - - - - 743,156 - - - - 743,156 - - - - - - - - - - - - 1,038,219 71,944 7,450 - - - 4,400,768 - - - - 17,785,546 - - - 493,266 2,002,456 20,674,153 24,201,340 - - - - 24,201,340 - -- -- -943,115 - - - -2,056,109 1,038,219 71,944 7,450 493,266 2,515,616 20,943,453 52,771,094 - - - -95,453,556 (1,011,777) (69,616) (7,060) (462,521) (2,451,925) (20,913,160) (46,016,177) - 3,671,5521,522,111 5,193,663 (44,517,274) - - - - - 5,320,87923,950,029 - - - - 25,763,483 - - - (400,000) - (1,059,158) (5,784,751) - (2,863,000) (1,483,095) (4,346,095) (22,261,749) - - - - - 18,695,00018,695,000 - -- - 24,695,000 - -- -- -3,530,369 - -- -3,530,369 - -- (400,000) -22,956,721 40,390,647 -(2,863,000) (1,483,095) (4,346,095) 31,727,103 (1,011,777) (69,616) (7,060) (862,521) (2,451,925) 2,043,561 (5,625,530) - 808,55239,016 847,568 (12,790,171) 1,359,468 196,987 27,840 864,004 3,745,294 - 19,645,840 3,853 720,60121,434 745,888 71,045,968 - - - - - - 114,159 - - - - 114,159 1,359,468 196,987 27,840 864,004 3,745,294 -19,759,999 3,853 720,60121,434 745,888 71,160,127 347,691$ 127,371$ 20,780$ 1,483$ 1,293,369$ 2,043,561$ 14,134,469$ 3,853$ 1,529,153$ 60,450$ 1,593,456$ 58,369,956$ Debt Service FundsCapital Projects FundsCity of Carmel, IndianaSTATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCESNONMAJOR GOVERNMENTAL FUNDSFor the Fiscal Year Ended December 31, 2019(Continued)122
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Property taxes 8,560,163$ 8,498,601$ 8,507,353$ 8,752$
MVHF distribution 3,583,914 3,583,914 3,874,393 290,479
Miscellaneous 1,490,247 1,352,521 2,983,820 1,631,299
Total Revenues 13,634,324 13,435,036 15,365,566 1,930,530
EXPENDITURES:
Engineering:
Personal services 1,822,350 1,822,350 1,753,579 (68,771)
Supplies 12,400 12,400 10,754 (1,646)
Other services and charges 526,203 526,203 355,111 (171,092)
Capital outlay 103,444 103,444 86,082 (17,362)
Street Department:
Personal services 5,988,099 5,988,099 5,950,421 (37,678)
Supplies 2,696,793 2,696,793 1,877,797 (818,996)
Other services and charges 4,151,337 2,852,125 3,936,240 1,084,115
Capital outlay 1,343,571 1,343,571 1,106,515 (237,056)
Other expenditures - - 136,233 136,233
- -92,987 92,987
Total Motor Vehicle Highway Fund 16,644,197$ 15,344,985$ 15,305,719$ (39,266)$
Actual Variance with
Budgetary Final Budget
Basis PositiveOriginal Final Amounts (Negative)
REVENUES:
Interest 90$ 90$ 847$ 757$
State assumption of pension payments 659,735 659,735 632,330 (27,405)
Total Revenues 659,825 659,825 633,177 (26,648)
EXPENDITURES:
Personal services 659,735 659,735 602,362 (57,373)
Supplies 150 150 - (150)
Other services and charges 8,000 8,000 -(8,000)
Total Fire Pension Fund 667,885$ 667,885$ 602,362$ (65,523)$
Continued on next page.
Construction, reconstruction, and
preservation
Budgeted Amounts
Fire Pension Fund
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDS
For the Fiscal Year Ended December 31, 2019
Motor Vehicle Highway Fund
Budgeted Amounts
123
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Interest 45$ 45$ 4,121$ 4,076$
State assumption of pension payments 602,370 602,370 607,204 4,834
Total Revenues 602,415 602,415 611,325 8,910
EXPENDITURES:
Personal services 602,370 602,370 596,509 (5,861)
Supplies 300 300 - (300)
Other services and charges 5,200 5,200 861 (4,339)
Total Police Pension Fund 607,870$ 607,870$ 597,370$ (10,500)$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Local road & street distribution 2,016,967$ 2,016,967$ 2,307,787$ 290,820$
Miscellaneous - - 247,674 247,674
Total Revenues 2,016,967 2,016,967 2,555,461 538,494
EXPENDITURES:
Other services and charges 6,104,104 6,104,104 7,936,999 1,832,895
Capital outlay - - 1,336 1,336
Total Local Road & Street Fund 6,104,104$ 6,104,104$ 7,938,335$ 1,834,231$
Continued on next page.
Budgeted Amounts
Budgeted Amounts
Police Pension Fund
Local Road & Street Fund
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDSFor the Fiscal Year Ended December 31, 2019
(Continued)
124
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Cigarette tax distribution 318,851$ 178,239$ 209,386$ 31,147$
Total Revenues 318,851 178,239 209,386 31,147
EXPENDITURES:
Other services and charges 171,156 171,156 228,490 57,334
Capital outlay 50,000 50,000 - (50,000)
Total Cumulative Capital Improvement Fund 221,156$ 221,156$ 228,490$ 7,334$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Property tax 3,555,391$ 3,556,710$ 1,319$
Commercial vehicle excise tax 1,496 1,359 1,654 295
Other 317,355 261,963 378,307 116,344
Total Revenues 318,851 3,818,713 3,936,671 117,958
EXPENDITURES:
Other services and charges 340,560 340,560 370,824 30,264
Capital outlay - - 4,500 4,500
Debt service 3,601,397 3,601,397 3,601,397 -
Total Cumulative Capital Development Fund 3,941,957$ 3,941,957$ 3,976,721$ 34,764$
Continued on next page.
Budgeted Amounts
Cumulative Capital Development Fund
Cumulative Capital Improvement Fund
Budgeted Amounts
NONMAJOR FUNDSFor the Fiscal Year Ended December 31, 2019
(Continued)
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
125
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Property tax 3,350,234$ 3,329,919$ 3,329,850$ (69)$
Commercial vehicle excise tax 997 1,217 1,481 264
Other 212,959 234,554 340,221 105,667
Total Revenues 3,564,190 3,565,690 3,671,552 105,862
EXPENDITURES:
Debt service 2,863,000 2,863,000 2,863,000 -
Total 2004 Road Bond 2,863,000$ 2,863,000$ 2,863,000$ -$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Deferral program fees -$ -$ 23,238$ 23,238$
Interest - - 13,080 13,080
Total Revenues - - 36,318 36,318
EXPENDITURES:
Personal services 66,636 66,636 45,150 (21,486)
Supplies 21,025 21,025 1,415 (19,610)
Other services and charges 80,525 80,525 8,330 (72,195)
Capital outlay 19,500 19,500 6,038 (13,462)
Total Deferral Fund 187,686$ 187,686$ 60,933$ (126,753)$
Continued on next page.
Deferral Fund
Budgeted Amounts
2004 Road Bond
Budgeted Amounts
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDSFor the Fiscal Year Ended December 31, 2019
(Continued)
126
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Property tax 1,373,521$ 1,384,363$ 1,380,822$ (3,541)$
Commercial vehicle excise tax 261 541 613 72
Other 120,368 114,663 140,676 26,013
Total Revenues 1,494,150 1,499,567 1,522,111 22,544
EXPENDITURES:
Debt service 1,483,530 1,483,530 1,483,095 (435)
Total 2016 Property Tax Bond Fund 1,483,530$ 1,483,530$ 1,483,095$ (435)$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Service charges and fees 3,135,141$ 3,135,141$ 3,670,255$ 535,114$
Interest - - 404,281 404,281
Other - - 90,749 90,749
Total Revenues 3,135,141 3,135,141 4,165,285 1,030,144
EXPENDITURES:
Other services and charges 3,241,813 3,241,813 3,269,968 28,155
Transfers - - 4,187,954 4,187,954
Total Storm Water Fund 3,241,813$ 3,241,813$ 7,457,922$ 4,216,109$
Continued on next page.
Budgeted Amounts
2016 Property Tax Bond Fund
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDSFor the Fiscal Year Ended December 31, 2019
(Continued)
Budgeted Amounts
Storm Water Fund
127
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Permits 63,220$ 63,220$ 66,395$ 3,175$
Charges for services 27,555 27,555 30,273 2,718
Other - - 499 499
Total Revenues 90,775 90,775 97,167 6,392
EXPENDITURES:
Other services and charges 125,000 125,000 102,037 (22,963)
Other - - 71,117 71,117
Total User Fee Fund 125,000$ 125,000$ 173,154$ 48,154$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Charges for services 43,657$ 39,963$ 37,626$ (2,337)$
Interest 87 - - -
Total Revenues 43,744 39,963 37,626 (2,337)
EXPENDITURES:
Other services and charges 10,000 10,000 2,214 (7,786)
Capital outlay 45,000 45,000 4,633 (40,367)
Total Clerk's Records Perpetuation Fund 55,000$ 55,000$ 6,847$ (48,153)$
Continued on next page.
Budgeted Amounts
Clerk's Records Perpetuation Fund
Budgeted Amounts
User Fee Fund
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDS
For the Fiscal Year Ended December 31, 2019
(Continued)
128
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Charges for services 2,935,271$ 2,910,945$ 4,395,640$ 1,484,695$
Interest - - 158,402 158,402
Other 1,800 2,107 704 (1,403)
Total Revenues 2,937,071 2,913,052 4,554,746 1,641,694
EXPENDITURES:
Personal services 2,850,203 2,850,203 2,850,203 -
Supplies 304,135 304,135 304,135 -
Other services and charges 861,877 861,877 861,877 -
Capital outlay 1,544,008 1,544,008 1,544,008 -
Total Parks Program Fund 5,560,223$ 5,560,223$ 5,560,223$ -$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Intergovernmental 328,453$ 99,557$ 96,485$ (3,072)$
Interest 2,647 4,824 28,473 23,649
Other 49,308 97,928 29,363 (68,565)
Total Revenues 380,408 202,309 154,321 (47,988)
EXPENDITURES:
Supplies 7,600 7,600 2,145 (5,455)
Other services and charges 262,250 262,250 237,202 (25,048)
Capital outlay 58,500 58,500 12,450 (46,050)
Total Drug Task Force Fund 328,350$ 328,350$ 251,797$ (76,553)$
Continued on next page.
Parks Program Fund
Budgeted Amounts
Drug Task Force Fund
Budgeted Amounts
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDS
For the Fiscal Year Ended December 31, 2019
(Continued)
129
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Ambulance fees 1,330,017$ 1,595,454$ 1,678,694$ 83,240$
Interest 1,517 3,288 76,813 73,525
Other - 382 580 198
Total Revenues 1,331,534 1,599,124 1,756,087 156,963
EXPENDITURES:
Supplies 110,000 110,000 94,584 (15,416)
Capital outlay 1,230,978 1,230,978 1,176,988 (53,990)
Other - - 13,913 13,913
Total Ambulance Fund 1,340,978$ 1,340,978$ 1,285,485$ (55,493)$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Fines and forfeitures - judicial salaries fees 40,723$ 37,413$ 34,659$ (2,754)$
Interest 311 - - -
Total Revenues 41,034 37,413 34,659 (2,754)
EXPENDITURES:
Supplies 24,000 24,000 4,588 (19,412)
Other services and charges 82,500 82,500 43,381 (39,119)
Capital outlay 18,000 18,000 1,600 (16,400)
Total Judicial Salary Fund 124,500$ 124,500$ 49,569$ (74,931)$
Continued on next page.
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDS
Ambulance Fund
Judicial Salary Fund
Budgeted Amounts
City of Carmel, Indiana
For the Fiscal Year Ended December 31, 2019
(Continued)
Budgeted Amounts
130
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Charges for services 5,400,125$ 5,400,125$ 6,493,384$ 1,093,259$
Department fees 288,299 288,299 - (288,299)
Interest - - 156,157 156,157
Other - -26,563 26,563
Total Revenues 5,688,424 5,688,424 6,676,104 987,680
EXPENDITURES:
Personal services 2,904,116 2,904,116 2,995,249 91,133
Supplies 450,900 450,900 481,739 30,839
Other services and charges 2,322,903 2,341,533 2,427,737 86,204
Capital outlay 75,000 75,000 54,410 (20,590)
Other - -22,645 22,645
Total Parks Monon Fund 5,752,919$ 5,771,549$ 5,981,780$ 210,231$
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Charges for services 42,259$ 38,859$ 154,576$ 115,717$
Department fees 36,670 49,660 - (49,660)
Interest 147 545 5,452 4,907
Other 360 950 1,363 413
Total Revenues 79,436 90,014 161,391 71,377
EXPENDITURES:
Supplies 10,850 10,850 22,754 11,904
Other services and charges 39,335 39,335 94,985 55,650
Capital outlay - -37,749 37,749
Total Parks Facilities Fund 50,185$ 50,185$ 155,488$ 105,303$
Continued on next page.
Parks Facilities Fund
Budgeted Amounts
Parks Monon Fund
Budgeted Amounts
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDS
For the Fiscal Year Ended December 31, 2019
(Continued)
131
Actual Variance with
Budgetary Final Budget
Basis Positive
Original Final Amounts (Negative)
REVENUES:
Fines and forfeitures - public defender fees 2,410$ 3,295$ 3,271$ (24)$
Interest 8 - --
Total Revenues 2,418 3,295 3,271 (24)
EXPENDITURES:
Other services and charges 6,000 6,000 -(6,000)
Total Public Defender Fund 6,000$ 6,000$ -$ (6,000)$
Public Defender Fund
Budgeted Amounts
City of Carmel, Indiana
SUPPLEMENTARY INFORMATION
BUDGETARY COMPARISON SCHEDULES
NONMAJOR FUNDS
For the Fiscal Year Ended December 31, 2019
(Continued)
132
133
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 funds:
The City Court Custodial Fund accounts for certain collections made by municipal court for
redistribution to third parties.
1925 Police Pension Trust Fund 1937 Fire Pension Trust Fund Total Trust FundsASSETS:Cash and cash equivalents145,316$ $ 36,220 $ 181,536 Receivable from State of Indiana49,84347,714 97,557 Total assets195,159 83,934279,093 LIABILITIES:Payroll withholdings49,84347,714 97,557 Total liabilities49,84347,714 97,557 NET POSITION: restricted for pensions145,316$ 36,220$ 181,536$ City of Carmel, IndianaCOMBINING STATEMENT OF FIDUCIARY NET POSITION - PENSION FUNDSDecember 31, 2019134
City Court Custodial Fund ASSETS:Cash and cash equivalents121,446$ Total assets121,446 LIABILITIES:Court escrow- Total liabilities- NET POSITION121,446$ City of Carmel, IndianaCOMBINING STATEMENT OF FIDUCIARY NET POSITION - CUSTODIAL FUNDDecember 31, 2019135
1925 Police Pension Trust 1937 Fire Pension Trust Fund Total Trust FundsADDITIONS:State of Indiana contributions564,928$ 584,282$ 1,149,210$ Investment income4,1218474,968Miscellaneous revenue43,34245,10088,442 Total additions612,391 630,229 1,242,620 DEDUCTIONS:Benefits- 599,414599,414 Other services and charges598,436- 598,436 Total deductions598,436 599,414 1,197,850 NET INCREASE (DECREASE) IN NET POSITION13,95530,81544,770NET POSITION: beginning131,361 5,405136,766 NET POSITION: ending145,316$ 36,220$ 181,536$ City of Carmel, IndianaCOMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITIONPENSION FUNDSFor the Fiscal Year Ended December 31, 2019136
City Court Custodial Fund ADDITIONS:Court costs and fees1,547,185$ Miscellaneous revenue- Total additions1,547,185 DEDUCTIONS:Distributions1,580,717 Total deductions1,580,717 NET INCREASE (DECREASE) IN NET POSITION(33,532) NET POSITION: beginning154,978 NET POSITION: ending121,446$ City of Carmel, IndianaCOMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITIONCUSTODIAL FUNDFor the Fiscal Year Ended December 31, 2019137
138
CONTENTS PAGES
Financial Trends 139 - 144
Revenue Capacity 145 - 148
Debt Capacity 149 - 153
Demographic and Economic Information 154 - 155
Operating Information 156 - 157
Source: Unless otherwise noted, the information in these schedules is derived from the CAFR for the
relevant year.
Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented
for certain statistical section presentations.
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.
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.
City of Carmel, Indiana
STATISTICAL SECTION
This part of the City's comprehensive annual financial report (CAFR) 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.
139
2019 2018 2017 2016 2015
Governmental activities:
412,830,$ 075 299,216,$ 267
- -
378,022,$ 382
-
23,734,389 35,065,020
344,721,$ 169
-
30,924,357 25,355,156
$ 314,601,738
-
25,629,325
Net investment
in capital assets
Not spendable
Restricted
Unrestricted (70,195,178) (94,111,631) (83,269,698) (35,777,877) (42,319,616)Total governmental
activities net position 331,561,$ 593 353,783,$ 464 292,375,$ 828 288,793,$ 546 $ 297,911,447
Business-type activities:
114,861,$ 067 118,497,$ 972 116,495,$ 474 $ 113,210,726
- - - -
- -
Net investment
in capital assets
Not spendable
Restricted
Unrestricted
101,192,$ 811
-
-
8,978,611 (5,903,010)
-
(9,695,164) (4,011,279)
-
(1,147,670)
Total business-type
activities net position 110,171,$ 422 108,958,$ 057 108,802,$ 808 112,484,$ 195 $ 112,063,056
Primary government:
527,691,$ 142 415,711,$ 741
- -
479,215,$ 193
-
23,734,389 35,065,020
463,219,$ 141
-
30,924,357 25,355,156
$ 427,812,464
-
25,629,325
Net investment
in capital assets
Not spendable
Restricted
Unrestricted (61,216,567) (100,014,641) (92,964,862) (39,789,157) (43,467,286)
Total primary
government net position 441,733,$ 015 462,741,$ 521 401,178,$ 636 401,277,$ 741 $ 40 974,503$
Note: The City is presenting its fifth CAFR 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
140
2019 2018 2017 2016 2015
Expenses:
Governmental activities:
20,841,943$$
42,151,467
29,584,125
10,771,611
18,549,674
General government
Public safety
Streets and other infrastructure
Economic development
Culture and recreation
Unallocated interest expense
$ 29,340,736
54,710,167
46,372,722
39,956,058
21,497,105
2,623,251
$ 24,996,549
53,919,299
48,637,707
15,817,738
21,621,998
2,267,516
$ 30,372,875
41,085,416
25,476,391
16,711,747
17,932,242
18,217,810
$ 30,984,884
40,267,560
12,340,719
54,995,901
10,122,290
5,545,855 4,542,707
Total governmental activities expenses 194,500,039 167,260,807 149,796,481 154,257,210 126,441,527
Business-type activities:
Water 20,063,976 19,277,075 20,824,320 19,439,437 13,542,037
10,479,383 10,163,336 10,451,835 10,016,870 7,305,928
- - 5,367,154 1,651,075 -
Sewer
Storm Water
Other - - 769,837 706,935 895,780
30,543,359 29,440,411 37,413,146 31,814,317 21,743,745
$ 225,043,398 $ 196,701,218 $ 187,209,627 $ 186,071,527 $ 148,185,272
Total business-type activities expenses
Total primary government expenses
Program Revenues:
Governmental activities:
Charges for services:
146,498 221,467$$ 211,995$$ 82,803$$ 72,056$$
1,774,066 1,713,002 1,726,580 1,470,638 1,152,600
4,181,410 2,869,523 98,090 248,036 480
General government $
Public safety
Streets and other infrastructure
Economic development 1,913,324 1,482,785 52,093 - -
12,983,411 12,403,573 12,818,388 11,585,645Culture and recreation 7,345,221
Operating grants and contributions:
General government - - - - -
1,245,695 96,894Public safety 1,322,719 112,651 60,618
- - - - -
- - - - -
Streets and other infrastructure
Economic development
Culture and recreation - - - - -
Capital grants and contributions:
- - - - -General government
Public safety - - - - -
3,070,276 1,906,397Streets and other infrastructure 386,624 865,258 3,516,506
- - - - -Economic development
Culture and recreation - - - - 50,043
Total governmental activities revenues $ 25,314,680 $ 20,399,693 $ 16,910,436 $ 14,365,031 $ 12,197,524
Continued on next page.
City of Carmel, Indiana
CHANGES IN NET POSITION
Last Ten Fiscal Years
141
2019 2018 2017 2016 2015
Business-type activities:
Charges for services
18,407,840$$ 17,735,563$$ 16,982,790$$ 15,458,695$$ 3,500,929 1$$ Water
Sewer 10,157,332 9,994,658 9,638,861 9,303,554 8,471,996
- - 3,295,837 3,222,138 -Storm Water
Other - - 1,067,865 1,034,682 4,038,620
Operating grants and contributions
Water - - - - -
- - - - -Sewer
Capital grants and contributions
3,458,396 3,279,973 4,995,765 4,620,949 -Water
Sewer 387,133 629,483 336,363 552,460 -
32,410,701 31,639,677 36,317,481 34,192,478 26,011,545Total business-type activities revenues
Total primary government revenues $ 57,725,381 52,039,370$$ 53,227,917$$ 48,557,509$$ 38,209,069$$
Net (expense) revenue and changes in net position:
(169,185,359)$ (146,861,114)$ (132,886,045)$ (139,892,179)$ (114,244,003)$ Governmental Activities
Business-Type Activities 1,867,342 2,199,266 (1,095,665) 2,378,161 4,267,800
(167,318,017) (144,661,848) (133,981,710) (137,514,018) (109,976,203)
GENERAL REVENUES AND TRANSFERS:
56,571,934 54,455,110 52,042,841 52,989,360 44,104,576
44,847,572 43,996,077 41,801,838 36,700,613 32,745,504
36,555,314 33,658,972 30,326,364 28,850,762 26,154,361
4,208,019 4,487,604 2,723,267 574,253 155,461
21,196,478 29,899,818 15,522,157 16,797,331 20,679,190
Property tax
Income tax
Other taxes
Unrestricted investment earnings
Other
Transfers - - - - -
163,379,317 166,497,581 142,416,467 135,912,319 123,839,092
(3,938,700) 21,835,733 8,434,757 (1,601,699) 13,862,889
- - - - 619,000
(3,938,700)1,835,733 2 8,434,757 (1,601,699) 14,481,889
462,741,521 400,056,203 401,190,880 409,974,503 395,492,614
(17,069,806) 40,849,585 (8,447,001) (7,095,064) -
445,671,715 440,905,788 392,743,879 402,879,439 395,492,614
Total general revenues and transfers
CHANGE IN NET POSITION
BEFORE SPECIAL ITEMS
SPECIAL ITEM: gain
Total CHANGE IN NET POSITION
NET POSITION: beginning
Restatement
NET POSITION: beginning, adjusted
NET POSITION: ending $ 441,733,015 $ 462,741,521 $ 401,178,636 $ 401,277,741 $ 409,974,503
Note: The City is presenting its fifth CAFR 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)
20192018201720162015General Fund:Nonspendable -$ -$ -$ -$ -$ Restricted- - - - - Committed- - - - - Assigned3,014,336 3,014,336 1,803,672 1,910,880 1,416,155 Unassigned22,006,859 23,328,255 15,034,935 15,066,402 14,008,886 Total General Fund25,021,195$ 26,342,591$ 16,838,607$ 16,977,282$ 15,425,041$ All Other Governmental Funds:Nonspendable-$ -$ -$ -$ -$ Restricted128,443,455 178,817,196 256,581,733 257,811,177 43,069,142 Committed5,286,665 6,007,566 5,443,978 3,212,225 1,115,637 Assigned-- - - - Unassigned- - - - (249,855) Total all other Governmental Funds 133,730,120$ 184,824,762$ 262,025,711$ 261,023,402$ 43,934,924$ Total, Governmental Funds 158,751,315$ 211,167,353$ 278,864,318$ 278,000,684$ 59,359,965$ City of Carmel, IndianaFUND BALANCES ‐ GOVERNMENTAL FUNDSLast Ten Fiscal Years(modified accrual basis of accounting)Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations.142
143
2019 2018 2017 2016 2015
Revenues:
$ 54,425,761 52,259,$ 944 $ 52,647,063 $ 44,043,914
44,606,607 37,187,574 46,625,784 28,847,934
33,658,972 30,326,364 28,850,762 26,154,361
18,679,782 14,907,146 12,901,368 8,570,357
4,356,867 2,339,501 442,961 74,597
2,909,371 2,490,849 2,441,853 2,159,234
$ 56,633,438
45,139,812
36,555,314
20,998,709
3,958,675
2,572,301
439,110 457,062 466,731 571,556 788,604
Property tax
Income tax
Other local tax
Charges for services
Investment income
Licenses and permits
Fines and forfeits
Intergovernmental:
3,166,761 4,358,623 1,710,058 1,191,485 3,062,731
-- - 6,825,041 4,870,501
6,986,908 2,993,528 2,736,296 1,198,398 1,116,639
3,289,848 7,426,341 5,995,761 - -
240,302 190,321 262,116 660,714 286,716
Grants
Fire service contract
State shared revenue
Other
Contributions
Other 7,091,842 12,175,681 4,336,810 5,858,544 10,915,190
187,073,020 186,238,916 155,019, 150 160,215,529 130,890,778Total revenues
Expenditures:
28,720,273 24,830,230 29,533,750 28,670,916 20,135,899
49,435,106 49,683,728 40,261,813 38,547,773 45,026,384
31,433,579 30,794,894 13,258,597 13,540,350 13,784,488
5,840,957 20,179,724 1,319,474 5,074,808 4,284,583
18,102,363 14,359,423 12,938,526 13,397,374 13,432,578
Current:
General government
Public safety
Streets and other infrastructure
Economic development
Culture and recreation
Debt Service:
24,650,551 21,976,855 18,808,576 17,387,515 15,768,608
28,998,519 28,361,382 26,688,864 17,763,071 17,223,247
Principal
Interest
Lease rentals and issuance costs 328,421 - - - -
Capital outlay:
1,301,526 503,513 707,523 2,931,360 119,885
1,016,079 2,440,252 1,327,731 1,925,392 3,710,693
52,780,716 84,098,163 60,138,533 25,097,876 4,445,749
24,325,592 15,212,738 34,138,220 16,809,771 2,439,830
General government
Public safety
Streets and other infrastructure
Economic development
Culture and recreation 2,261,904 5,061,517 747,324 734,053 422,388
269,195,586 297,502,419 239,868, 931 181,880,259 140,794,332Total expenditures
Excess (deficit) of revenues
over (under) expenditures (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
Last Ten Fiscal Years
(modified accrual basis of accounting)
144
2019 2018 2017 2016 2015
Other financing sources (uses):
24,695,000 13,791,036 81,358,423 199,265,510 -
0 243,540 3,334,569 35,087,956 -
0 0 23,180,000 18,170,404 -
3,530,369 2,555,639 2,638,693 2,294,226 3,167,006
0 0 (26,501,547) (17,909,681) -
79,578,276 60,427,364 126,937,135 278,264,371 30,928,247
1,320,506 1,320,506 1,703,277 1,606,319 1,014,100
Bond issuance - principal
Bond issuance - premium
Proceeds - refunding
Capital lease proceeds
Payment to refunded bond
escrow agent
Transfers in
Transfer in from associated utility
Transfers out (79,578,276) (60,427,364) (126,937,135) (278,264,371) (30,928,247)
Total other financing sources (uses)29,545,875 17,910,721 85,713,415 238,514,734 4,181,106
Total change in fund balances (52,576,$ (691)93,352,782)$ 863,$ 634 216,850,$ 004 $ (5,722,448)
Total debt service expenditures as a percentage
of noncapital expenditures 27.5% 29.5% 28.9% 23.4% 25.0%
Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented for certain
City of Carmel, Indiana
CHANGES IN FUND BALANCES ‐ GOVERNMENTAL FUNDS
Last Ten Fiscal Years
(modified accrual basis of accounting)
(Continued)
145Net ValueNet ValueTotalTotalFiscal Real Estate Railroad/ Utility/ Business Net TaxableDirectYearProperty Personal Property Assessed ValueEstimatedActual ValueTax Rate20197,900,833,115 14,197,500,652 55.6% 0.788620187,134,261,649 12,997,560,747 54.9% 0.788720176,910,686,081 12,552,181,043 55.1% 0.789520166,640,712,518 12,043,692,490 55.1% 0.835620156,416,327,086 11,591,806,730 55.4% 0.700720149,538,010,360 54.8% 0.700720139,445,479,646 54.4% 0.700720129,604,804,116 54.8% 0.678820119,561,032,777 55.6% 0.666420107,442,409,6156,666,896,0426,474,642,1166,220,543,7486,006,875,9674,829,947,4544,762,146,1984,863,829,9034,891,357,5125,088,667,610458,423,500467,365,607436,043,965420,168,770409,451,119398,186,327373,474,201398,308,947426,518,904388,639,3245,228,133,7815,135,620,3995,262,138,8505,317,876,4165,477,306,934 9,654,531,997 56.7% 0.6664Source:Notes:Hamilton County Auditor's office property tax abstracts.1.Property taxes are the City's most significant own-source revenue.2.3.Assessed on January 1 of the prior year for taxes due and payable in the year indicated.4.Personal property other than business personal property is not taxable beginning in 2009.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 plus a 35% supplemental homestead deduction to arrive at net assessed value. City of Carmel, IndianaASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTYLast Ten Fiscal Years
1462019201820172016201520142013201220112010City Direct Rates:0.5572 0.5769 0.5741 0.5745 0.5088 0.5381 0.5459 0.5284 0.5266 0.45780.1188 0.1051 0.1027 0.1701 0.1643 0.1249 0.1268 0.1080 0.0777 0.12910.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.00000.0184 0.0193 0.0195 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.00000.0445 0.0374 0.0440 0.0424 0.0000 0.0101 0.0000 0.0160 0.0145 0.0331Corporation GeneralMotor Vehicle Highway Cumulative Sewer Debt ServiceRedevelopment BondLease Rental Payment0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0144 0.01330.0497 0.0500 0.0492 0.0486 0.0276 0.0276 0.0280 0.0264 0.0332 0.0331Cumulative Capital DevelopmentTotal Direct Rate0.7886 0.7887 0.7895 0.8356 0.7007 0.7007 0.7007 0.6788 0.6664 0.6664Overlapping Rates:0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 0.00000.2791 0.2814 0.2814 0.2814 0.2926 0.3054 0.3074 0.2901 0.2769 0.27240.0031 0.0032 0.0032 0.0032 0.0033 0.0033 0.0033 0.0032 0.0030 0.00300.0640 0.0675 0.0694 0.0673 0.0746 0.0719 0.0781 0.0693 0.0753 0.06740.0755 0.0760 0.0760 0.0778 0.0787 0.0787 0.0765 0.0682 0.0657 0.0657StateCountySolid WasteTownship - ClayLibraryCarmel Clay School Corp 0.8251 0.8118 0.8291 0.8053 0.8106 0.8453 0.8591 0.7911 0.8990 0.6460Total Direct and Overlapping Rate 2.0354 2.0286 2.0486 2.0706 1.9605 2.0053 2.0251 1.9007 1.9863 1.7209City of Carmel, IndianaPROPERTY TAX RATES - DIRECT AND OVERLAPPING GOVERNMENTS(Rate per $100 of assessed value)Last Ten Fiscal YearsSource: 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.The Indiana Constitution limits the taxing power of Indiana public agencies. 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.
Percentage of
Total City
Taxpayer Assessed Value Assessed Value
Clarion Health North LLC 162,806,900 2.19%
Old Town Companies 154,810,260 2.08%
JC Hart Co.146,343,920 1.97%
Parkwood Crossings 139,233,000 1.87%
Buckingham Companies 125,367,750 1.68%
Pedcor 92,884,285 1.25%
Clay Terrace Partners 82,872,460 1.11%
Keystone Corp.77,975,980 1.05%
Washington National 58,507,240 0.79%
Hamilton Crossing Indianapolis Realty 52,383,220 0.70%
1,093,185,015 14.69%
Percentage of
Total City
Taxpayer Assessed Value Assessed Value
Duke Realty 147,134,300 2.94%
Clarion Health North 146,743,500 2.93%
Carmel Indy Properties 56,539,300 1.13%
TIC Carmel Center Furnas 32,712,800 0.65%
Clay Terrace Partners 31,929,500 0.64%
HCRI Indiana Properties 27,044,500 0.54%
Mohawk Associates 23,697,600 0.47%
Providence Housing 23,186,800 0.46%
North Haven Apartments 23,103,800 0.46%
Liberty Parkwood Crossing 22,225,100 0.44%
534,317,200 10.66%
Source: Hamilton County Auditor's office.
2019
2010
City of Carmel, Indiana
Current Year and Nine Years Ago
PRINCIPAL PROPERTY TAXPAYERS
147
148FiscalYear Total Tax Levied Total Tax Collected Percentage of Levy201959,383,72955,252,61693.04%201856,917,33353,042,65793.19%201752,180,83750,907,29897.56%201655,990,42652,647,06394.03%201545,416,36744,043,91396.98%201444,020,05940,554,75792.13%201343,391,73738,072,79587.74%201243,399,78037,319,72185.99%201135,993,20034,393,20595.55%201036,193,49036,600,347101.12%Source:Note:Indiana Gateway for Government Units, County Abstract Public ReportsHamilton 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 2019, total delinquent property tax due to the City for 2019 and all prior years was approximately $4,558,185.City of Carmel, IndianaPROPERTY TAX LEVIES AND COLLECTIONSLast Ten Fiscal Years
14920192018201720162015Certified net assessed valuation$ 7,530,272,592 7,216,601,040$$ 6,994,981,173$$ 6,700,625,433$$ 6,481,570,742$$ 2% constitutional debt limit2.0%2.0%2.0%2.0%2.0%Subtotal 150,605,452 144,332,021 139,899,623 134,012,509 129,631,415 3.0 3.0 3.0 3.0 3.0 50,201,817 48,110,674 46,633,208 44,670,836 43,210,472 (24,822,199) (26,977,490) (29,641,000) (33,580,000) (15,417,000)$ 25,379,618 $ 21,133,184 $ 16,992,208 $ 11,090,836 27,793,472$ divided by 3Debt limitNet debt applicable to debt limitLegal debt marginLegal debt margin as percentage of debt limit50.56%43.93%36.44%24.83%64.32%Source: Indiana Department of Local Government Finance budget orders.Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations.City of Carmel, IndianaLEGAL DEBT MARGIN INFORMATIONLast Ten Fiscal Years
1502019 7 39,095,398 8,433,19 151,165,878 1,092,136 899,786,61 152,258,01 11.79% 8,9032018 7 43,736,654 7,637,38 135,831,887 519,822136,351,709 887,725,74 12.84% 9,1612017 721,260,757 7,315,66 172,348,990 721,6881 73,070,678 901,647,1014.61% 10,1282016 6 60,449,791 6,836,40 1 562,70075,750,411 176,313,111 843,599,3014.08% 9,4272015 7 55,670,563 7,315,66 747,528,597 751,374,037 728,576,423 667,286,194 762,986,2291 721,68839,951,647 1910,304,92 47,318,693 12.42% 6,4411 Population and personal income data can be found on the Schedule of Demographics and Economic Statistics.Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations.City of Carmel, IndianaRATIOS OF OUTSTANDING DEBT BY TYPELast Ten Fiscal YearsGovernmental Activities Bonds and Contract Purchases Total Governmental Activities Capital Leases Debt per Capita ˡ Total Business Activities Total Primary Government Business Activities Bonds and Contract Purchases Capital Leases Percentage of Personal Incomeˡ
1512019 22,340,5806.11%8,5872018 25,853,1656.57%8,8102017 20,790,2026.95%9,5852016 21,862,6296.76%9,1472015 890,261,276 879,568,541 893,609,747 836,200,202 895,622,210 17,977,793 867,920,696 853,715,376 872,819,545 814,337,573 877,644,4177.57%9,893Note: 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 Amount restricted for debt service principal payments.3 Property tax value can be found on the Schedule of Assessed Value and Actual Value of Taxable Property.4 Population data can be found on the Schedule of Demographics and Economic Statistics.Bonds and Contract Purchases 1Less: Amounts Available in Debt Service Fund 2TotalCity of Carmel, IndianaRATIOS OF GENERAL BONDED DEBT OUTSTANDINGLast Ten Fiscal YearsNote: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations.Per Capita 4Percentage of Estimated Actual Value of Taxable Property 3
152
Percent Amount
Outstanding Applicable to Applicable to
Debt Carmel (1)Carmel
747,528,597$ 100%$ 747,528,597
Governmental Unit
Direct Debt:
City of Carmel (see page 150)
Overlapping Debt Paid with Property Taxes:
77.64% 114,379,797
97.38% 2,502,776
97.52% 84,760,513
34.01% 40,894,213
147,320,000
2,570,000
86,913,343
120,233,895
8,185,000 0.00% -
Carmel Clay School Corporation
Carmel Clay Public Library
Clay Township
Hamilton County
Hamilton County Tax Increment Bonds
Sub-Total Overlapping Debt:$365,222,238$ 242,537,29
Total Direct and Overlapping Debt:
Population - 2019 (2)
Estimated direct and overlapping debt per capita
$ 990,065,896
101,068
$ 9,796
Note:
(1) he 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 total
(2)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.
City of Carmel, Indiana
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
at December 31, 2019
153Operating OperatingRevenueExpenses 1Net RevenueAvailable forDebt ServicePrincipalInterestCoverage 2Water Utility2019 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$$ 69%3,500,929 1$$ 9,367,529$$ 4,133,400$$ 3,457,294$$ 6,158,188$$ 43%2015Sewer Utility2019 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.1 Operating expenses do not include depreciation and amortization.2 Coverage = Net Available Revenue/Debt Service Requirements.Debt Service RequirementsCity of Carmel, IndianaPLEDGED‐REVENUE COVERAGEat December 31, 2019Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not presented for certain statistical section presentations.
154PublicFiscalMedian Per Capita PersonalHigh School SchoolYearPopulation 1Age 1, 2Income 3IncomeGraduation 4Enrollment 5UnemploymentRate 62019101,068 39.5 75,52597.6% 16,3522.6%201896,900 39.2 74,71797.9% 16,1472.7%201791,065 39.2 71,81697.5% 16,0822.7%201689,029 39.9 69,29996.5% 15,9543.1%201588,713 38.5 66,86795.8% 15,9713.3%201486,682 38.4 64,21396.9% 15,9123.9%201385,929 38.7 60,80996.3% 15,7244.8%201283,595 38.4 60,15394.3% 15,7504.9%201181,633 38.2 57,33493.8% 15,4935.3%201079,191 38.0 53,8837,633,160,7006,463,965,3636,539,924,0406,169,620,6715,931,972,1715,566,111,2665,225,256,5615,028,490,0354,680,346,4224,267,048,653 93.0% 15,4985.9%Sources:1 U.S. Census Bureau U.S. Census Bureau, American Community Survey 1-Year Estimates2 U.S. Census Bureau, 5-Year American Community Survey Median Age and City of Carmel Per Capita Income3 Bureau of Economic Analysis Hamilton County Per Capita Income for years 2008-2018. 2019 estimate based on trend.4 National Center for Educational Statistics5 Indiana Department of Education Corporate enrollment, Carmel Clay Schools6 Bureau of Labor StatisticsCity of Carmel, IndianaDEMOGRAPHIC AND ECONOMIC STATISTICSLast Ten Fiscal Years
155
Percentage of
Total City
Company Industry Employees Rank Employment
2,145 1 4.31%
1,600 2 3.22%
1,500 3 3.02%
1,450 4 2.92%
Carmel Clay Schools
CNO Financial Group
GEICO
Liberty Mutual
Allegion
Public education
Life insurance holding company
Auto insurance company
Insurance company
Safety and security systems 1,300 5 2.61%
Resort Condominium Int’l. (RCI) Vacation exchange network and services 1,125 6 2.26%
975 7 1.96%
892 8 1.79%
825 9 1.66%
Financial Services
Automotive remarketing services
Home health services
Electrical transmission operator 700 10 1.41%
Percentage of
Total City
Company Employees Rank Employment
2,469 1 6.79%
2,036 2 6.17%
1,235 3 3.74%
1,150 4 3.48%
750 5 2.27%
700 6 2.12%
664 7 2.01%
600 8 1.82%
550 9 1.67%
Carmel Clay Schools
Conseco Inc (now CNO Financial Group)
Marsh Supermarkets
Clarian North Medical Center (now IU Health North)
Liberty Mutual/Indiana Insurance
City of Carmel
St. Vincent Carmel Hospital
Independent Transmission System Operator (now Midcontinent ISO)
TCL - Thomson Electronics
St. Vincent Heart Center 500 10 1.51%
Sources: Hamilton County Economic Development Corporation
City and Company Officials
Carmel Clay School Corporation
2019
The Capital Group
KAR Global
Whisper Hearing Center
Midcontinent ISO
2010
City of Carmel, Indiana
PRINCIPAL EMPLOYERS
Current Year and Nine Years Ago
156
2019 2018 2017 2016 2015
General Government:
99999
33333
77777
33232
9 9 9 11 11
43443
66666
77777
23 23 21 22 22
Clerk-Treasurer
Mayor
City Council
Board of Public Works
Plan Commission
Administration
CCityourt
DLawepartment
Community Services
Community Relations 77777
Public Safety:
Police
118 114 114 109 117Officers
Civilians 25 24 23 23 26
Fire
Firefighters and Officers 154 146 147 153 166
10 9998
69 63 65 64 62
44444
105 104 104 103 109
Civilians
Culture and Recreation:
Parks Department
Brookshire Golf
Utilities (Water and Sewer)
Other Programs:
44443
52 50 48 48 52
51 51 51 51 16
10 10 9 9 9
44444
Human Resources
Street
Engineering
Information Systems
Communication Center
Redevelopment 44444
TOTAL 652 626 619 621 652
Source: City of Carmel Department Heads; Human Resources
Note: The City is presenting its fifth CAFR since 2007. Accordingly, a 10-year history is not
presented for certain statistical section presentations.
City of Carmel, Indiana
CITY GOVERNMENT EMPLOYEES
BY FUNCTION/ PROGRAM
Last Ten Fiscal Years
157
2019 2018 2017 2016 2015
General Government:
Community Services
1,628 1,703 1,557 1,351 1,237
358 478 463 429 359
469 767 759 432 1,663
512 487 472 431 476
Public Safety:
Police
1,436 9 83,740 85,500 83,955 83,904
4,548 4,361 4,010 4,270 4,330
2,645 2,575 2,504 2,488 2,442
2,469 2,569 2,459 2,530 2,642
Fire
5,898 5,517 5,136 4,755 4,402
3,534 3,220 2,906 2,592 2,312
Permits issued
Residential construction permits
Total number of dwelling units
Building inspections performed
Incidents
Occurred incidents
Accidents
Total agency arrests
Emergency medical responses
Fire-related calls for service
Number of fire stations 6 6 6 6 6
Culture and recreation:
17 17 17 16 15
540 530 505 505 505
Number of parks and greenways
Total acres
Total trail miles 26.5 26.5 16 16 16
Streets:
515 486 485 483 482Number of "center lane" miles streets
Number of roundabouts 131 122 115 111 97
Sewer:
265 254 243 243 243
25.40 16.00 14.85 14.20 13.65
10.82 10.78 10.16 10.05 9.92
Water:
550 565 538 538 538
24.0 21.5 22.0 21.0 19.0
Miles of watermains
Peak-day water demand (in millions of gallons)
Number of fire hydrants inspected/serviced 5,524 5,580 5,024 4,655 4,500
Miles of sanitary mains
Miles of sanitary sewer main cleaned/inspected
Wastewater treatment flow per day (in millions
of gallons)
Source: City of Carmel Department Heads; Carmel Clay Parks
Note: The City is presenting its fifth CAFR 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