t city of maitland rpts/2015 maitland.pdf · 2015, are fairly presented in conformity with gaap....

THE CITY OF

MAITLAND

Florida

COMPREHENSIVE ANNUAL

FINANCIAL REPORT

For the Year Ended

September 30, 2015

Comprehensive Annual Financial

Report Report

CITY OF MAITLAND, FLORIDA

FOR THE YEAR ENDED

SEPTEMBER 30, 2015

Prepared by: Finance Department

Report

Introductory Section

TABLE OF CONTENTS

PRINCIPAL CITY OFFICIALS

ORGANIZATIONAL CHART

LETTER OF TRANSMITTAL

CERTIFICATE OF ACHIEVEMENT

CITY OF MAITLAND, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT

Table of Contents Year Ended September 30, 2015

INTRODUCTORY SECTION

Table of Contents ........................................................................................................................................................................................... i Principal City Officials ............................................................................................................................................................................... iii Organizational Chart ................................................................................................................................................................................. iv Letter of Transmittal ................................................................................................................................................................................... v Certificate of Achievement for Excellence in Financial Reporting ........................................................................................ xi FINANCIAL SECTION

Independent Auditor’s Report ................................................................................................................................................................1 Management’s Discussion and Analysis .............................................................................................................................................3 Basic Financial Statements: Government-wide Financial Statements: Statement of Net Position ............................................................................................................................................................. 17 Statement of Activities ................................................................................................................................................................... 18 Fund Financial Statements: Balance Sheet – Governmental Funds .................................................................................................................................... 20 Reconciliation of the Balance Sheet of Governmental Funds to the Statement of Net Position................... 21 Statement of Revenues, Expenditures and Changes in Fund Balances – Governmental Funds .................. 22 Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balance of Governmental Funds to the Statement of Activities ................................................................... 23 Statement of Net Position – Proprietary Funds ................................................................................................................. 24 Statement of Revenues, Expenses and Changes in Fund Net Position – Proprietary Funds ......................... 26 Statement of Cash Flows – Proprietary Funds ................................................................................................................... 27 Statement of Fiduciary Net Position – Municipal Police Officers’ and Firefighters’ Pension Fund ....................................................................................................................................................................... 28 Statement of Changes in Fiduciary Net Position – Municipal Police Officers’ and Firefighters’ Pension Fund ............................................................................................................................................ 29 Notes to the Financial Statements ....................................................................................................................................................... 30 Required Supplementary Information:

Budgetary Comparison Schedule: General Fund ...................................................................................................................................................................................... 68 Community Redevelopment Agency ....................................................................................................................................... 70 Schedule of Funding Progress and Schedule of Contributions from Employer – Other Post Employment Benefits ............................................................................................................................................ 71 Schedule of Changes in the City’s Net Pension Liability and Related Ratios Last 10 Years – Pension Trust Fund .......................................................................................................................................................... 73 Schedule of City Contributions Last 10 Years – Pension Trust Fund ....................................................................... 74 Schedule of Investment Returns Last 10 Years – Pension Trust Fund .................................................................... 76 Other Supplemental Information: Nonmajor Governmental Funds: Fund Descriptions ............................................................................................................................................................................ 77 Combining Balance Sheet – All Nonmajor Governmental Funds ............................................................................... 78 Combining Statement of Revenues, Expenditures and Changes in Fund Balance – All Nonmajor Governmental Funds ................................................................................................................................. 80 Budget to Actual Comparison – Nonmajor Governmental Funds - Environmental Stormwater Fund .............................................................................................................................................................. 82

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CITY OF MAITLAND, FLORIDA COMPREHENSIVE ANNUAL FINANCIAL REPORT

Table of Contents Year Ended September 30, 2015

STATISTICAL SECTION

Table of Contents ....................................................................................................................................................................................... 83 Schedule 1 – Net Position by Component – Last Ten Fiscal Years .................................................................................... 84 Schedule 2 – Changes in Net Position – Last Ten Fiscal Years ............................................................................................ 86 Schedule 3 – Fund Balance of Governmental Funds – Last Ten Fiscal Years ............................................................... 90 Schedule 4 – Changes in Fund Balances of Governmental Funds – Last Ten Fiscal Years ..................................... 92 Schedule 5 – Assessed and Estimated Actual Value of Taxable Property – Last Ten Fiscal Years ..................... 94 Schedule 6 – Property Tax Rates – Direct and Overlapping Governments ................................................................... 96 Schedule 7 – Principal Property Taxpayers – Current and Nine Years Prior ............................................................... 97 Schedule 8 – Property Tax Levies and Collections – Last Ten Fiscal Years .................................................................. 98 Schedule 9 – Ratios of Outstanding Debt by Type – Last Ten Fiscal Years ................................................................... 99 Schedule 10 – Ratios of General Bonded Debt Outstanding – Last Ten Fiscal Years ............................................... 100 Schedule 11 – Direct and Overlapping Governmental Activities Debt ........................................................................... 101 Schedule 12 – Pledged Revenue Coverage – Last Ten Fiscal Years ................................................................................. 102 Schedule 13 – Demographic and Economic Statistics – Last Ten Calendar Years .................................................... 104 Schedule 14 – Principal Employers – Current and Nine Years Prior .............................................................................. 105 Schedule 15 – Operating Indicators by Function – Last Ten Fiscal Years .................................................................... 106 Schedule 16 – Capital Assets Statistics by Function – Last Ten Fiscal Years ............................................................... 108 Schedule 17 – Full-time Equivalent City Government Employees by Function – Last Ten Fiscal Years ........ 110 COMPLIANCE SECTION

Independent Auditors’ Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards ................................................................................................................................. 111 Independent Auditors’ Report on Compliance For on Each Major Program and on Internal Control Over Compliance Required by OMB Circular A-133 ..................................................................................................... 113 Schedule of Expenditures of Federal Awards and State Financial Assistance ............................................................ 115 Notes to Schedule of Expenditures of Federal Awards and State Financial Assistance ......................................... 116 Schedule of Findings and Questioned Costs ............................................................................................................................... 117 Independent Auditor’s Management Letter ............................................................................................................................... 119 Independent Auditor’s Report on Compliance with the Requirements of Section 218.415, Florida Statutes .............................................................................................................................................................................. 121

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CITY COUNCIL

A. Dale McDonald, Mayor John P. Lowndes, Vice-Mayor

Joy M. Goff-Marcil, Esq. Beverly Reponen

Ivan Valdes

CITY MANAGER James S. Williams, P.E.

ASSISTANT CITY MANAGER

Sharon M. Anselmo, CPA

FINANCE DIRECTOR Jerry Gray, CPA

Mayor & City Council

City Attorney City Auditors City Manager City ClerkBoard &

Committees

Assistant City

Manager

Citizens of Maitland

Community Development

_______ Planning & Zoning Mapping and GIS

Building Safety and Code Compliance Community

Redevelopment Agency

Finance

_______ Customer Service &

Utility Billing

Financial Services

Management & Budget

Fire/ Rescue _______

Emergency & Health Operations

Fire Prevention

Parks & Recreation

_______

Athletic Services Community Events

Park Services Senior Services Youth Services

Police _______

Police Operations

Police Support Services

Community Policing

Public Works _______

Water Waste Water

Lakes Management Street & Facilities Fleet Maintenance

Grounds Maintenance Engineering Services

Human Resources/ Risk Management

Information Technology

Communications

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March 16, 2016

The Citizens of Maitland, Florida The Honorable Mayor A. Dale McDonald and Members of the City Council The City of Maitland, Florida The Comprehensive Annual Financial Report (CAFR) of the City of Maitland, Florida (City) for the fiscal year ended September 30, 2015, is submitted herewith pursuant to Florida Statutes Chapter 166.241 (4) and Chapter 10.550 of the Rules of the Auditor General of the State of Florida. This report consists of management’s representations concerning the finances of the City. Consequently, management assumes full responsibility for the completeness and reliability of all of the information presented in this report. To provide a reasonable basis for making these representations, management of the City has established a comprehensive internal control framework that is designed to both 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 cost of internal controls should not outweigh their 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. As management we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects.

McDirmit Davis & Company, LLC, have audited the City’s financial statements. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City for the fiscal year ended September 30, 2015, are free of material misstatement. The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditors concluded, based upon the audit, that there was a reasonable basis for rendering an unmodified opinion that the City’s financial statements for the fiscal year ended September 30, 2015, are fairly presented in conformity with GAAP. The independent auditor’s report is presented as the first component of the financial section of this report.

GAAP requires that management provide a narrative introduction, overview and analysis to accompany the basic financial statements in the form of Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and should be read in conjunction with it. The City’s MD&A can be found immediately following the report of the independent auditor.

Profile of the City

The Town of Lake Maitland, Florida was created under the general laws of the State of Florida on July 17, 1885. The incorporation was validated by the 1909 Laws of Florida. In 1959, Chapter 59-1475 was adopted creating a new charter and changing the Town’s name to the City of Maitland. The City is

Mayor and Council

A. Dale Mc Donald, Mayor John P. Lowndes, Vice Mayor

Joy M. Goff-Marcil, Esq Beverly Reponen

Ivan Valdes

City Manager James S. Williams, P.E.

City Clerk

Maria T. Waldrop

(407) 539-6200 1776 Independence Lane HTUwww.itsmymaitland.comUTH

Maitland, Florida 32751

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http://www.itsmymaitland.com/

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located in Central Florida, in north Orange County, and is part of the Orlando Metropolitan Statistical Area. Maitland, with a population of 17,007 in a 6.49 square mile area, serves as a residential suburb within this metropolitan area and is a stronghold for established, single-family neighborhoods and quality schools. The City is empowered to levy a property tax on both real and personal properties within its boundaries. It is also empowered by state statute to extend its corporate limits by annexation, which occurs periodically when deemed appropriate by the City Council.

The City operates under a council-manager form of government. Policy-making and legislative authority are vested in the City Council, consisting of the Mayor and four Council members. Among other things, the Council is responsible for passing ordinances and resolutions, adopting the budget,

appointing boards and committees, and hiring the City Manager, City Clerk and City Attorney. The City Manager is responsible for carrying out the policies, ordinances and resolutions of the Council and for overseeing the day-to-day operations of the City. The Council is elected on a non-partisan basis. Council members serve three-year staggered terms, with two Council members or the Mayor’s seat up for election each year. The Mayor and Council are elected at large.

The City provides a full range of services, including police and fire

protection; the construction and maintenance of streets, sidewalks, parks, storm water and other infrastructure; engineering; planning and community development; code enforcement; general administration and support services; and recreational and cultural events. In addition, the City operates two enterprises: utilities (water and sewer) and solid waste services.

Economic Condition and Outlook

Over the years, the City has positioned itself well to respond to market forces. West of Interstate 4 (I-4), the Maitland Center/Summit area serves as the dominant suburban office market for the region and includes over eight million square feet of office space and employs approximately 23,000 people. Over the last decade, the area has evolved into a mixed-use activity center, with five hotels, the RDV Sportsplex (365,000 square foot mixed-use facility affiliated with the Orlando Magic and Florida Hospital), and over 1,300 multi-family and 230 single-family residential units add to the mix of uses. This area is home to over 350 corporations, including Charles Schwab, Clear Channel Communications, Digital Risk, EA Sports, and Fidelity Information Systems. The City has partnered with both the State and County to provide economic incentives to attract businesses in qualified targeted industries. In 2015, the City approved economic incentives with a business expanding their operations in the City, Viewpost Management has committed to bring over two hundred and sixty jobs over the next three years. In January 2012, a voter referendum authorized the City Council to create an economic development ad valorem tax exemption program under § 3, Article VII of the State Constitution. This program will allow the City more flexibility in providing incentives to businesses wishing to relocate or expand in Maitland.

In recent years, the City has focused on ways in which to best assist the property owners in this area to compete actively with other regional markets in the future. The Florida Department of Transportation has begun work on the I-4 Ultimate project in the City. Currently, pattern changes on the roads have provided challenges but will make for a better driving experience when the project is completed.

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The Westside Redevelopment Plan, approved in 2011, was a result of a cooperative effort between City staff and key stakeholders. The plan was developed from five core principles identified by a property owners committee and team of City staff members: increase the variety of land use and transportation options; improve connections within the district and to the region; build partnerships to implement the vision; increase the area’s competitive advantages and develop a “brand” for the district; and, improve implementation mechanisms and the development approval process. The City has included the initial phases of transportation improvement projects in the five year capital improvements program to begin progress towards the shared goal of maintaining this critical component of the City’s commercial tax base.

The Maitland Boulevard corridor west of I-4 also continues to develop. On December 8, 2014, the City Council approved the annexation 36.69 acres of property generally located south of Maitland Boulevard and west of Forest City Road (SR 434). The anticipated development program for the property includes: 600 apartment units; 41,000 SF of grocery store; a 71,000 SF sports and recreation complex; a 3,477 SF bank; 6,440 SF of various restaurant and food service outlets; 120 hotel rooms; 78,330 SF of office space; and 3,500 SF of other support uses. It is expected that full build out will not occur until 2024 at which time it is expect to generate $700,000 per year in additional General Fund revenue to the City. As part of the above annexation, the City also annexed the Estates at Maitland Summit, an existing 272-unit apartment complex on approximately 12.39 acres located at 9000 Summit Centre Way, which added $90,000 of General Fund revenue to the City for tax year 2015. Development continues to move forward with the Maitland Concourse North project including commercial, retail, and multi-family units which has received preliminary approval to proceed. Plans for the widening of Maitland Boulevard by the Florida Department of Transportation are scheduled to start construction in FY 2018. The planned traffic improvements and opening of the Maitland commuter rail station will have a positive impact on the future development of this area.

In April 2015, the City approved a Development Agreement with Epoch Properties for the redevelopment of approximately 5.33 acres known as the Parker Lumber Property located on North Orlando Avenue (US Hwy 17-92), which is directly adjacent to the Maitland Sunrail. The proposed development will be a five story multi-family apartment complex with 293 dwelling units. The proposal includes a multistory parking garage, up to five (5) levels. The site is planned for clearing in March 2016.

The City’s retail market is limited to the Orlando Avenue corridor on the east side of I-4 and the Maitland Center/Summit area west side of I-4. Currently, there is slightly more than 600,000 square feet of retail space in the City. The City completed its Master Plan to revitalize the Orlando Avenue corridor in 1997, and updated the plan in 2011 to reflect the City’s current zoning requirements for development in the area. The adopted Downtown Maitland Zoning District (“DMZD”) will foster a mixed-use revitalization in the corridor to strengthen the City’s character and reflect the quality of life enjoyed by Maitland residents. The Master Plan promotes public-private partnerships and incorporates incentives for revitalizing this corridor, with an emphasis on mixed uses (including residential), and consolidating storm water, open space and parking into public amenities.

Major Initiatives

The City and County established a Downtown Maitland Community Redevelopment Agency (the “CRA”) in August 2003. The Downtown Maitland Revitalization Plan (the “DMRP”), an extension of the Orlando Corridor Master Plan adopted in 1997 and now part of the DMZD, serves as the

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redevelopment plan for the CRA. In early FY 2014, the City issued a request for development proposals that would include one or both of two parcels owned by the City located in the Downtown Maitland area. These parcels, the City parking lot on the north side of Horatio Avenue and the Old City Hall site on the south side of Horatio Avenue, consist of 2.48 acres of developable land. After reviewing the proposals and receiving input from residents, the City determined not to pursue development of the former City Hall site at the present time, however negotiations continue with a developer for development of the north parking lot.

In November 2014, the City Council approved the preliminary design of Maitland City Centre, LLC (MCC) to redevelop the 3.2 acres of land in the downtown block surrounded by Horatio Avenue/ 17-92 / Packwood Avenue and Independence Lane also known as the New Traditions Plaza and former Gooding’s supermarket, which was built in 1964. The proposal provides for a mixed use development with detached retail and multi-level retail and will include approximately 220 multi-family dwelling units with 28,000 square feet residential space, 11,400 square feet of flex space (retail, restaurant or office) and 30 live-work units. This exciting project will have architecture, streetscape and landscape design features that will reflect the goals of Maitland’s Downtown design guidelines. The project also includes design and construction plans for Independence Lane as a “Festival Street” for community-based activities. The City will be a partner in activating Independence Lane, which the City plans to host festivals and events there in the not-too-distant future. In a continued effort for more downtown development two major projects were approved in FY 2015. Maitland Station and Maitland City Centre are expected to begin construction in FY 2016 and, when completed, will bring an additional 537 multi-family units and 35,000 square feet of commercial space to Downtown Maitland. Demolition of the MCC site began on January 6, 2016 and construction is expected to be completed in the fall of 2017.

The City has several other development plans slated for the downtown area. The City is negotiating with the developer and adjacent property owners of the City’s north parking lot to purchase property to extend Independence Lane north across Horatio Avenue to George Avenue in an effort to enhance the downtown area and spur further development. With that development includes

upgrades to the water and sewer utilities as well as the stormwater system, which allow the City to connect additional sections of the downtown area to the regional stormwater pond and eliminate the use of usable land for onsite retention ponds.

Development along Maitland Boulevard east of I-4 and continues to move forward. Through a series of public meetings in January and February 2016, a Planned Development district was approved for the Maitland Concourse North project, a 96 acre parcel which will be developed in phases to include a 10.32-acre passive park

area which is proposed within the Parks & Recreation Future Land Use District on Lot 8; an FDOT joint use pond on Lot 4; and a total of 350 multi-family residential dwelling units (375,000 sq. ft.) on Lot 7. The multi-family residential consists of 96 residential units at 2 stories in the Low Medium Density Residential future land use district, and 254 units at 3 stories in the Restricted-Mixed Office/Residential/Commercial (R-MORC) future land use district. In addition, up to 150,000 square feet of commercial space, or a combination of commercial space and not more than 30,000 square feet of office space, are proposed within the R-MORC land use district for Lots 1 and 2 with a building height of 2 stories. The remaining lots are proposed for building development at a future time.

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Additional redevelopment is planned in the CRA which includes: the Ravinia, a 6 acre parcel on the east side of US Hwy 17-92, adjacent to the Publix and diagonally across from the Maitland Sunrail station. This project is proposed to be a 400 unit multi-family upscale apartment complex with ground floor retail, which overlooks the Sybellia Parkway pond and fountains to the east, with proposed completion in FY 2019. Gem Lakes apartments, a redevelopment of 247 condos to 280 multi-family apartments. And, Maitland Shores, a redevelopment of 128 apartments to 350 apartments on the north east corner of Park Lake.

Long Term Financial Planning

The City continues its history of long-term financial planning via its publishing of the City’s Capital Improvement Program (“CIP”), which is reviewed by the various boards and committees, approved by City Council, and subsequently submitted to the State as an amendment to the Comprehensive Development Plan. The five year capital improvements plan is financed on a mostly pay as you go basis. The Fiscal 2016-2020 plan includes $48.5 million in infrastructure improvements, including transportation and paving ($18.4 million), potable water ($8.6 million), sanitary sewer ($8.2 million), storm water ($4.1 million), recreation and open space ($4.0 million), public facilities ($2.5 million), and utility relocation ($2.7 million). Major transportation initiatives include purchase of area necessary for the extension of Independence Lane and the upgrading of Independence Lane to a festival street; the upgrade of the traffic signal at Horatio Avenue and Maitland Avenue to mast arms; and continuing to add new sidewalks throughout the community. A copy of the entire CIP is available on the City’s website.

Budgetary Controls

The annual budget serves as the foundation of the City’s financial planning and control. All departments of the City submit their initial recommendation for appropriation during the month of April for use in developing the City’s five year Capital Improvements Program, which is required to be financially feasible. Also, during the month of April, the City Council holds its annual long range strategic planning session with the City Manager and department heads. Essential priorities, outlined during the session are incorporated into the budget draft, which is presented by the City Manager at the end of June. Public workshops and presentations scheduled throughout the months of July and August conclude with a final budget presented to the City Council during September, when the final budget and proposed millage rate are adopted. The City’s formal budget is available on the City’s website. Once the budget is adopted, the City maintains budgetary controls designed to ensure compliance with legal provisions embodied in the annual budget approved by the City Council. Budgetary control (the level at which expenditures cannot legally exceed the appropriated amount) is established at the fund level. The City also maintains an encumbrance accounting system as one technique of accomplishing budgetary control. Outstanding encumbrances at year-end will represent expenditures when unperformed purchase orders and other commitments at year-end are completed. Because the City generally intends to honor purchase orders and other commitments outstanding at year-end, such encumbrances are not recorded as expenditures but rather as commitments of fund balance for the subsequent year’s appropriation. Expenditure tracking reports, which compare budgeted to actual expenditures, and revenue reports are produced on a monthly basis. Performance measurement and work plan data are prepared and updated quarterly.

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As property values slowly begin to increase in value and with an interest in new development, the City has added two full-time positions, a part-time position, and unfrozen two full-time positions. The fiscal year 2016 budget still reflects 10 frozen, or unfunded, staff positions.

Awards

On January 8, 2015, the Maitland Art Center was presented with the plaque designating the Maitland Art Center as a National Historic Landmark in Orange County and the 44th in the state of

Florida. The Maitland Art Center was founded in 1937 by visionary artist and architect Jules André Smith, the Maitland Art Center was built in the rare Mayan Revival style, ornate with copious sculptural reliefs drawing on Mesoamerican, Asian and African iconographies. Originally known as the Research Studio, it was part of a colony that provided a place for artists to live, experiment with new art forms and escape the demands of daily life. The Maitland Art Center campus includes gardens, diverse collections, ongoing exhibitions, educational programming and a pair of sites listed on the National Register of Historic Places (the

Maitland Art Center and the Victorian-era Waterhouse Residence Museum). In addition, Jules André Smith’s legacy continues through annual residency and studio programs that accommodate artists from across the nation.

The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Maitland, Florida, for its Comprehensive Annual Financial Report (CAFR) for the fiscal year ended September 30, 2015. This was the twenty-seventh consecutive year that the City of Maitland received this prestigious award.

In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized CAFR whose contents conform to program standards. Such reports must satisfy both generally accepted accounting principles and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only.

We believe our current report continues to meet the Certificate of Achievement Program requirements, and we are submitting it to the GFOA.

Acknowledgments

The preparation of the CAFR in a timely manner was made possible by the dedicated service of the entire Finance Department staff.

In closing, we would also like to thank you, the elected representatives of the citizens of Maitland, for your continued interest and support in planning and conducting the financial operations of the City in a professional, responsible and responsive manner.

Respectfully submitted,

Jerry Gray, CPA Finance Director

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Financial Section

INDEPENDENT AUDITOR’S REPORT

MANAGEMENT’S DISCUSSION &

ANALYSIS

BASIC FINANCIAL STATEMENTS

REQUIRED SUPPLEMENTARY

INFORMATION

OTHER SUPPLEMENTARY

INFORMATION

MCDIRMIT DAVIS & COMPANY, LLC934 N. MAGNOLIA AVENUE, SUITE 100 ORLANDO, FLORIDA 32803

TELEPHONE: 407-843-5406 FAX: 407-649-9339 EMAIL: [email protected]

MEMBERS: PRIVATE COMPANIES PRACTICE SECTION AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS FLORIDA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS

INDEPENDENT AUDITOR'S REPORT

Honorable Mayor and City Council City of Maitland, Florida

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 Maitland, Florida, as of and for the year ended September 30, 2015, 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 presentation of 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 and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. 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 disclosures 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 entity’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 entity’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 City of Maitland, as of September 30, 2015, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America.

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Change in Accounting Principles As discussed in Note 14 to the financial statements, in 2015, the City adopted new accounting guidance, GASB Statement No. 68, Accounting and Financial Reporting for Pensions. Our opinion is not modified with respect to this matter. Other Matters Required Supplementary Information Accounting principles generally accepted in the United States of America require that the management’s discussion and analysis, budgetary comparison information and the pension and other post employment benefits disclosures on pages 3 through 14 and 68 through 76 respectively, 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 collectively comprise City of Maitland’s basic financial statements. The introductory section, combining and individual fund financial statements and schedule, statistical section and the Schedule of Expenditures of Federal Awards, required by the U.S. Office of Management and Budget Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations, are presented for purposes of additional analysis and are not a required part of the financial statements. The combining and individual nonmajor fund financial statements and schedule and the Schedule of Expenditures of Federal Awards 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 other 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 and individual nonmajor fund financial statements and schedule and the Schedule of Expenditures of Federal Awards 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.

Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated March 16, 2016 on our consideration of City of Maitland’s internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, and other matters. The purpose of that report is to describe the scope of our testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the City of Maitland’s internal control over financial reporting and compliance.

Orlando, Florida March 16, 2016

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City of Maitland, Florida Management’s Discussion and Analysis

September 30, 2015

The City of Maitland, Florida’s (the “City”) Management’s Discussion and Analysis (the “MD&A”) presents an overview of the City’s financial activities for the fiscal year ended September 30, 2015. Please read it in conjunction with the letter of transmittal in the introductory section, and the City’s financial statements following the MD&A.

Financial Highlights

• The assets of the City exceeded its liabilities at the close of fiscal year 2015 by $52.6 million (net position). Of this amount, $4.2 million (unrestricted) may be used to meet the City’s ongoing obligations to citizens and creditors.

• At September 30, 2015, the City’s governmental funds reported combined ending fund balances of $22.1 million, a decrease of $171 thousand. The decrease is primarily due to CRA expenditures and Parks Impact Fund capital expenditures which have been budgeted in the City’s CIP program which were completed in FY 2015.

• At September 30, 2015, unassigned fund balance for the General Fund was $15.0 million or 66.1% of total General Fund expenditures and transfers out.

• General Fund revenues and transfers in decreased $181 thousand or 0.8% over the prior fiscal year, primarily as a result of a grant from Florida Department of Transportation for intersection improvements to highway 17-92 & Horatio Avenue which began in fiscal year 2014.

• The City’s outstanding long-term liabilities increased by approximately $13.4 million during fiscal year 2015 primarily due to the issuance of a $10 million Utility note, GASB 68 which resulted in the City recording a prior period adjustment of $5.8 million to report the net pension liability (NPL) of the City’s pension plan and the state’s FRS plan (see note 7 and 14).

• The net position of the Police Officers’ and Firefighters’ Pension Trust fund decreased by $295 thousand during fiscal year 2015 primarily as a result of decreased investment income of $2.3 million compared to fiscal year 2014. Prior year’s net position had increased by $1.8 million on investment income of $2.6 million while the current year only had $227 thousand in investment income due to market losses of $637 thousand.

Overview of the Financial Statements

This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The City’s basic financial statements comprise three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves.

Government-wide financial statements

The government-wide financial statements, which consist of the following two 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 information on all of the City’s assets and liabilities, with the difference between the two 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.

3


September 30, 2015

The statement of activities presents information showing how the government’s net position changed during fiscal year 2015. 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 in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected but earned revenue, and unused personal leave).

Both of these 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 governmental activities of the City include general government, public safety, physical environment, transportation, and culture/recreation. The business-type activities of the City include solid waste disposal and water and sewer utility. The government-wide financial statements can be found immediately following the MD&A.

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 evaluating a government’s near-term financing requirements.

Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government’s near-term financing decisions. 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 several individual governmental funds. Information is presented separately in the governmental funds balance sheet and in the governmental funds statement of revenues, expenditures, and changes in fund balances for the General Fund and Community Redevelopment Agency (the “CRA”), which are considered 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 other supplemental information section of this report.

The City adopts an annual appropriated budget for the General Fund, Environmental Stormwater Fund and the CRA, and budgetary comparison schedules have been provided for these funds to demonstrate budgetary compliance. The basic governmental fund financial statements may be found immediately following the government-wide financial statements.

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September 30, 2015

Proprietary funds The City maintains two different types of proprietary funds. The enterprise funds are used to report the functions presented as business-type activities in the government-wide financial statements. The City uses an enterprise fund to account for the fiscal activities relating to water and wastewater utility and solid waste disposal. Internal service funds are an accounting device used to accumulate and allocate costs internally among the City’s various functions. The City uses an internal service fund to account for insurance. Because the insurance services predominantly benefit governmental rather than business-type functions, the fund has been included within governmental activities in the government-wide financial statements.

Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the Utility Fund, which is considered to be a major fund of the City, and the Solid Waste Fund. The basic proprietary fund financial statements follow the governmental fund financial statements.

Fiduciary funds

Fiduciary funds are used to account for resources held for the benefit of parties outside the government. Fiduciary funds are not reflected in the government-wide financial statement because the resources of those funds are not available to support the City’s own programs. The accounting used for fiduciary funds is similar to proprietary funds. The City only has a pension trust fund. The basic fiduciary fund financial statements can be found after the basic proprietary fund financial statements.

Notes to the financial statements

The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found after the fiduciary fund financial statements.

Other information

In addition to the basic financial statements and accompanying notes, required supplementary information is included which presents budgetary comparison schedules for the City’s General Fund, Environmental Stormwater Fund, and the CRA, as well as a schedule of funding progress and employer contributions for other post employment benefits. Required supplementary information can be found following the notes to the financial statements.

The combining statements referred to earlier in connection with nonmajor governmental funds are presented in the other supplemental information section of this report. Combining statements can be found after the required supplementary information.

Government-wide Financial Analysis

As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. In the case of the City, assets exceeded liabilities by $52.6 million at the close of the fiscal year ended September 30, 2015. At the end of fiscal year 2015, the City is able to report positive balances in all three categories of net position, both for the government as a whole, as well as for its separate governmental and business-type activities.

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September 30, 2015

The following table and graph provides a summary of Net Position compared to the prior year, as restated, (see note 14 in the notes to the financial statements).

2015 2014 2015 2014 2015 2014

AssetsCurrent and Other Assets 25.2$ 25.0$ 17.5$ 7.6$ 42.70$ 32.6$ Capital Assets (net) 56.1 56.0 12.5 12.1 68.6 68.1

Total Assets 81.3 81.0 30.0 19.7 111.3 100.7 Total deferred outflows

of resources 2.3 1.0 - - 2.3 1.0 Liabilities

Current and Other Liabilities 2.7 2.1 2.4 2.8 5.1 4.9 Long-term Liabilities 44.4 41.1 11.0 1.0 55.4 42.1

Total Liabilities 47.1 43.2 13.4 3.8 60.5 47.0 Total Deferred inflows

of resources 0.4 0.4 - - 0.4 0.4 Net Position

Net Investmentin Capital Assets 31.0 29.8 12.3 12.1 43.3 41.9

Restricted 4.9 5.6 0.2 - 5.1 5.6 Unrestricted 0.2 3.0 4.0 3.8 4.2 6.8

Total Net Position* 36.1$ 38.4$ 16.5$ 15.9$ 52.6$ 54.3$ *as restated for 2014 see note 14

City of Maitland, FloridaNet Position(in Millions)

Governmental Activities Business-type Activites Total

The largest portion of the City’s net position (82.3%) reflects its investment in capital assets (e.g., land, buildings, equipment, and infrastructure); less any related outstanding debt used to acquire those assets. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City’s investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities.

$43.3

$5.1 $4.2

$41.9

$5.6 $6.8

0

10

20

30

40

50

Capital Restricted Unrestricted

Government-wide Net Position (In Millions)

2015

2014

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September 30, 2015

The City has restricted net position of $5.1 million; $300 thousand for debt service, $3.6 million for capital projects and $950 thousand for law enforcement purposes. The remaining net position balance is unrestricted net position of $4.2 million, and may be used to meet the government’s ongoing obligations to citizens and creditors. There was a net increase of $542 thousand in net position reported in connection with the City’s business-type activities and a decrease of $1.1 million from governmental activities, due to taking a $5.8 million restatement into consideration, as a result of the City adopting GASB 68. Government-wide net position decreased by $0.6 million.

Below is listed a summary of the Changes in Net Position for the current and previous fiscal years.

2015 2014 2015 2014 2015 2014

RevenuesProgram Revenues

Charges for Service 4.3$ 5.3$ 7.9$ 7.2$ 12.2$ 12.5$ Operating Grants and Contributions 0.4 0.5 - - 0.4 0.5 Capital Grants and Contributions 0.6 1.8 - 0.7 0.6 2.5

General RevenuesProperty Taxes 8.9 8.3 - - 8.9 8.3 Other Taxes 8.7 8.6 - - 8.7 8.6 Other 1.7 1.5 - 0.1 1.7 1.6

Total Revenues 24.6 26.0 7.9 8.0 32.5 34.0 Expenses

General Government 3.2 3.3 - - 3.2 3.3 Public Safety 13.0 12.2 - - 13.0 12.2 Physical Environment 1.1 1.2 - - 1.1 1.2 Transportation 2.9 2.8 - - 2.9 2.8 Culture & Recreation 4.7 3.7 - - 4.7 3.7 Interest on Long Term Debt 1.1 1.2 - - 1.1 1.2 Water and Wastewater - - 5.2 5.1 5.2 5.1 Solid Waste - - 1.9 1.9 1.9 1.9

Total Expenses 26.0 24.4 7.1 7.0 33.1 31.4 Change in Net Assets - before Transfers

(1.4) 1.6 0.8 1.0 (0.6) 2.6 Transfers and Special Items

Transfers 0.3 0.3 (0.3) (0.3) - - Total Transfers and Special Items 0.3 0.3 (0.3) (0.3) - -

Change in Net Position (1.1) 1.9 0.5 0.7 (0.6) 2.6 Net Position - Beginning* 37.2 35.3 16.0 15.3 53.2 50.6 Net Position - Ending 36.1$ 37.2$ 16.5$ 16.0$ 52.6$ 53.2$ *as restated, see note 14

and Special Items

City of Maitland, FloridaChanges in Net Position

(in Millions)

Activities Activities TotalGovernmental Business-type

The City’s total revenues decreased 4.4% or $1.5 million, and total expenses for all programs and services increased 5.4% or $1.7 million. Our analysis below separately considers the operations of governmental and business-type activities.

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September 30, 2015

Governmental Activities

The City’s total governmental revenues decreased by 5.4% ($1.4 million) and total governmental expenses increased by 6.6% ($1.6 million). The areas realizing the most significant decreases in revenue were, capital grants and contributions, which decreased by $1.2 million over fiscal year 2014, due to the completion of the transportation grants for road improvements at the intersection of US Highway 17-92 and Horatio Avenue. Public Safety charges for services decreased by $1 million primarily due to a decrease in federal forfeiture funds of $722 thousand and reduction in the number of red light citations of $200 thousand, which was affected by the removal of 3 cameras as required by the Florida Department of Transportation to accommodate the I-4 Ultimate construction project. While the largest increases in expenses were related to Culture and Recreation expenditures ($995 thousand) due to parks projects Kings Row and Covered Bridge and Public Safety ($861 thousand) primarily due to allocation of accrued OPEB costs and adoption of GASB 68 Accounting and Reporting for Pensions. The City received grants of $249 thousand for the renovation of Covered Bridge park.

The City’s total millage rate increased from the prior year (4.36) to 4.54 mills, 4.15 mills for operating and 0.39 mills for the voted debt millage. Although the tax rate increased 4.1%, there was an increase of 7.2% ($ 596 thousand) in property tax revenue over the prior fiscal year as a result of the increase in taxable values city-wide. There was a decrease from utility taxes ($37 thousand), franchise fees increased ($60 thousand). State sales tax and other intergovernmental revenues increased by 5.9% and 13.5%, respectively. The table below compares current year revenues by source to the prior year for the City’s governmental activities.

2015 2014 Change %Program Revenues

Charges for Service 4,286$ 5,320$ (1,034)$ -19.4%Operating Grants and Contributions 402 407 (5) -1.2%Capital Grants and Contributions 626 1,826 (1,200) -65.7%

General RevenuesProperty Taxes 8,917 8,321 596 7.2%Utility Taxes 2,286 2,323 (37) -1.6%Local Option Gas Tax 547 532 15 2.8%Communications Services Tax 1,363 1,411 (48) -3.4%State Sales Tax 2,429 2,293 136 5.9%Franchise Fees 2,075 2,015 60 3.0%Intergovernmental Revenues 1,050 926 124 13.4%Investment Income 162 77 85 110.4%Miscellaneous 506 503 3 0.6%Transfers 308 305 3 1.0%

Total Governmental Revenue 24,957$ 26,259$ (1,302)$ -5.0%

Revenue by Source - Governmental Activities (in thousands)

Property Taxes 36%

Other Taxes 27%

Charges for services

17%

Grants & Contributions

4%

Franchise Fees 8%

Other 8% Revenue Sources

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September 30, 2015

As outlined in the table below, the total cost of all governmental activities this year was $26.1 million compared to $24.4 million last year. However, as shown in the Statement of Activities on pages 18 and 19, the amount City taxpayers ultimately contributed for these activities through City taxes was $20.8 million because some of the cost was paid by those who directly benefited from the programs ($4.3 million) or by other governments or organizations that subsidized certain programs with grants and contributions ($1 million). The balance of funding for the activities came from reserves and general governmental revenues which includes property taxes, utility taxes, intergovernmental revenues, franchise fees, investment income, and other miscellaneous revenues. The largest increase in expenses was in the Culture and Recreation category ($995 thousand), and Public Safety ($2.0 million which were discussed above. Physical environment costs decreased ($156 thousand) as a result of fewer stormwater repairs and an increase ($413 thousand) in capital infrastructure projects.

Functions 2015 2014 Change %General Government 3,249$ 3,329$ (80) -2.4%Public Safety 13,039 12,159 880 7.2%Physical Environment 1,081 1,145 (64) -5.6%Transportation 2,864 2,821 43 1.5%Culture & Recreation 4,720 3,725 995 26.7%Interest on Long Term Debt 1,112 1,186 (74) -6.2%

26,065$ 24,365$ 1,700$ 7.0%

Total Expenses by Function- Governmental Funds (in thousands)

-

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

Thou

sand

s

2015

2014

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September 30, 2015

The table and graph below presents the net cost (total expenses less revenues generated by the activity) of each function. The net cost shows the financial burden that was placed on the City’s taxpayers by each of these functions.

Net Cost by Function - Governmental Activities (in thousands)

Percent of Total Function Net Cost

General Government $ 3,213 15.5% Public Safety 9,716 46.8% Physical Environment (337) - 1.6%Transportation 2,786 13.4% Culture & Recreation 4,261 20.5% Interest on Long Term Debt 1,112 5.4%

$ 20,751 100%

Business-type activities Business-type activities increased the City’s net position by $542 thousand. Water and wastewater program revenues decreased by 0.2% or $10 thousand primarily due to a significant capital contribution from the Courtney at Shadow Lake apartment complex in the prior year. Solid waste revenues increased by 1.9% or $50 thousand due to additional special bulk pick-up charges. Water and wastewater expenses increased 1.9% or $97 thousand, while solid waste expenses increased by only 1.1% or $20 thousand due to increased tipping fees from additional garbage contracts. The current year’s net program revenues increased $101 thousand and $735 thousand in the Utility and Solid Waste funds, respectively.

General Government,

15.5%

Public Safety, 46.8%

Transportation, 13.4%

Culture & Recreation,

20.5%

Interest on Long Term Debt, 5.4%

Net Cost of Function

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September 30, 2015

Functions 2015 2014 2015 2014 2015 2014Water and Wastewater 5,190$ 5,075$ 5,291$ 5,301$ 101$ 226$ Solid Waste 1,901 1,880 2,636 2,586 735 706

7,091$ 6,955$ 7,927$ 7,887$ 836$ 932$

Net (Expense) RevenuesExpenses and Program Revenues - Business-type Activities (in thousands)

Expenses Program Revenues

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 spending at the end of the fiscal year.

As of the end of fiscal year 2015, the City’s governmental funds reported combined ending fund balances of $22.1 million, a decrease of $171 thousand in comparison with the prior year. The major factor contributing to the decrease in the current year was fines and forfeiture revenue from police task force work of $725 thousand in the prior year, which is reported under the nonmajor Law Enforcement Trust fund. At September 30, 2015 the City reported a positive Unassigned fund balance of $1.7 million, even though the CRA fund and the Fire Impact Fee fund had negative unassigned fund balances. Non spendable fund balance is $10.4 million and includes the long term advances between the City’s governmental funds ($10.4 million) and nominal prepaid items. Restricted fund balance is $7.0 million and consists of amounts that are constrained for special revenue funds ($7.0 million), stormwater ($2.3 million), road impact ($1.3 million), parks impact ($2.4 million) and GO debt service ($61 thousand). Committed fund balance is $1.5 million and consists of amounts primarily reserved for encumbrances or restricted by resolution to a specific purpose. Assigned fund balance is $1.6 million and consists of amounts designated by policy to be used for specific purposes narrower than the general purposes of the government.

The General Fund is the chief operating fund of the City. At the end of fiscal year 2015, unassigned fund balance of the General Fund was $15 million, while total fund balance reached $28.1 million. 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 fund expenditures and transfers out. Unassigned fund balance represents 67.3% of the total general fund expenditures and transfers out, while total fund balance represents 125.9% of that same amount. The fund balance of the City’s General Fund increased by $309 thousand during the current fiscal year as compared to prior year increase of $1.5 million due to the City’s plan to cash fund City projects in fiscal year 2015. The fund balance of the CRA increased by $3 thousand, as the operations and debt service expenditures of the CRA exceed tax increment revenue generated within the district. The CRA had a $138 thousand or 26.3% increase in tax incremental financing revenues and a decrease of $85 thousand in charges for services, primarily from pass-through development reviews and legal fees in the prior year, which were less than the $127 thousand decrease in expenditures.

Enterprise funds

The City’s enterprise funds provide the same type of information found in the government-wide financial statements, but in more detail. The City has two enterprise funds, the Utility Fund and Solid Waste Fund, both of which are major funds. Unrestricted net position of the Utility Fund at the end of the year amounted to $2.5 million and the unrestricted net position of the Solid Waste Fund amounted

11


September 30, 2015

to $1.4 million. The total net position of the Utility Fund increased by $123 thousand and the Solid Waste Fund increased by $432 thousand. Other factors concerning the finances of these funds have been addressed in the discussion of the City’s business-type activities.

General Fund Budgetary Highlights

Differences between the General Fund’s original budget and final amended budget, for expenditures and transfers out, increased by $1.8 million for the year. These increases were appropriated from additional revenue sources and fund balance. The bulk of the increase resulted from the automatic adjustment of the budget for encumbrances outstanding at the end of fiscal year 2014 ($914 thousand), carry forward adjustments for capital, $500 thousand for the flex bus program, $180 thousand for the commuter rail boardwalk improvements and $700 thousand for railroad quiet gates.

The changes within functions are briefly summarized as follows:

City of Maitland, Florida General Fund - Original and Final Budget Comparison

(in thousands)

Original Final Increase /Budget Budget (Decrease)

General Government 5,032$ 5,669$ 637$ Public Safety 10,845 11,157 312 Transportation 3,250 4,146 896 Culture & Recreation 4,165 4,153 (12)

23,292$ 25,125$ 1,833$

The City’s total actual General Fund expenditures (budgetary basis) were $2.8 million less than the final amended budget for the General Fund, of which $1.5 million was encumbered and $1.1 million will be carried forward to fiscal 2015. The City’s total actual General Fund revenues and transfers in were $173 thousand more than the final amended budget for the General Fund. The majority of the difference relates to sales tax revenue ($46 thousand), building permits and plan reviews ($33 thousand) charges for services / security services ($17 thousand) and investment income ($21 thousand). Additional information on budgetary compliance, including a budgetary comparison schedule for the CRA and a schedule of funding progress and contributions from employer for Other Post Employment Benefits, can be found in the required supplemental information section.

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September 30, 2015

Capital Assets and Debt Administration

Capital Assets

The City’s investment in capital assets for its governmental and business-type activities as of September 30, 2015 amounts to $68.6 million (net of accumulated depreciation and amortization). This investment in capital assets includes land, buildings, improvements other than buildings, machinery and equipment, infrastructure, sewer capacity rights and construction in progress. The total net increase in the City’s investment in capital assets for the current fiscal year was $508 thousand, $4.2 million in capital outlay additions and $3.5 million of depreciation.

Capital Assets – Net (in thousands)

Governmental Business-type

Activities Activities TotalLand 11,870$ 951$ 12,821$ Sewer Capacity Rights - 6,770 6,770 Buildings and Improvements 21,852 2,426 24,278 Improvements other than Buildings 4,917 - 4,917 Machinery, Equipment and Vehicles 11,937 17,429 29,366 Infrastructure 26,891 - 26,891 Construction in Progress 1,934 704 2,638

79,401$ 28,280$ 107,681$ Less:Accumulated Depreciation and Amortization (23,336) (15,745) (39,081)

Capital Assets - Net 56,065$ 12,535$ 68,600$

The bulk of the increase in capital assets related to governmental activities ($3 million) was due to current year capital acquisitions. Additions included $613 thousand for public safety vehicles and $303 for public safety equipment, and $551 thousand for park improvements to Kings Row, Covered Bridge / Houser, and $570 thousand for stormwater projects at Lake Sybellia and Lake Minnehaha. Overall, capital assets in business-type activities increased by $1.2 million. Improvements included $345 thousand for engineering for planned projects to be completed in FY16 namely, Community Park water transmission line, Lift Station 3, Lift Station 4 diversion, Lift Station 6, $136 thousand for completion of Lift 2 rehabilitation, and $243 thousand for purchase of replace closed circuit television inspection truck and camera equipment. Additional information on the City’s capital assets can be found in Note 5 of this report.

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September 30, 2015

Long-term debt

At the end of fiscal year 2015, the City had total long-term liabilities of $55.5 million. The City had outstanding loans of $35 million in, $11.5 million in Other Post-Employment Benefits (OPEB), $7.9 million in unfunded pension benefits, and $1 million in compensated absences.

Governmental Business-typeActivities Activities Total

Bonds Payable 25,020$ 10,000$ 35,020$ Compensated Absences 990 53 1,043 Accrued Pension (GASB68) 7,844 57 7,901 Other Post Employment Benefits 10,547 939 11,486

Total Long-Term Liabilities 44,401$ 11,049$ 55,450$

City of Maitland, FloridaOutstanding Bonds Payable and Compensated Absences

(in thousands)

In March 2015, Moody’s Investors Service affirmed the City’s issuer long term rating at Aa1. The Community Redevelopment Revenue bonds maintained their Aa2 rating and the Limited Tax General Obligation bonds maintained their Baa3 rating.

In November 2014, the City refunded all of the $13,485,000 in outstanding CRA Bonds, Series 2005. This refunding transaction was undertaken to achieve a net present value saving of $1,737,927 or 12.9% of the outstanding principal and reduce future debt service payments by $2,768,929.

Additional information on the City’s debt can be found in Note 6 of this report.

Economic Factors and Next Year’s Budgets and Rates

General Fund revenues and transfers in for 2016 are projected at $23.3 million, approximately 2.2% higher than 2015 actual receipts. The General Fund expenditures are budgeted at $25.3 million, resulting in a budget which reduces fund balance by $2 million. The City’s operating ad valorem tax rate remained the same as FY 2015 at 4.15 mills for the 2016 fiscal year. The City’s debt millage is decreased from 0.44 mills for 2015 to 0.39 for 2016, resulting in a 2016 combined millage rate of 4.54 mills. Following a comprehensive water and sewer rate study, after 4 years of no rate increases, the second year of combined system increases went into effect on October 1, 2015 for both residential and commercial customers, residential customers’ rates increased by approximately 13% compared to FY15. Also for fiscal year 2016, Environmental Stormwater fees will increase by 5.95% to a rate of $9.80 per equivalent residential unit (ERU) per month for all parcels located within the City limits. However, solid waste rates remained flat for both commercial and residential customers.

Requests for Information

This financial report is designed to present users with a general overview of the City’s finances and to demonstrate the City’s accountability. If you have questions concerning any of the information provided in this report or need additional financial information, contact the City’s Finance Department, 1776 Independence Lane, Maitland, Florida 32751.

14

BASIC FINANCIAL STATEMENTS

15


16


Business-type Activities Total

20,827,328$ 4,829,941$ 25,657,269$ 4,328,124 - 4,328,124

300,308 9,911,195 10,211,503 579,083 882,395 1,461,478

14,450 - 14,450 15,180 - 15,180

988,610 - 988,610 (1,881,217) 1,881,217 -

53,070 4,000 57,070

13,803,243 1,655,077 15,458,320 42,261,165 10,879,900 53,141,065 81,289,344 30,043,725 111,333,069

DEFERRED OUTFLOWS OF RESOURCES398,631 - 398,631

1,920,817 9,073 1,929,890 2,319,448 9,073 2,328,521

1,552,802 368,909 1,921,711

196,695 26,930 223,625 - 184,804 184,804

558,510 22,986 581,496 17,347 - 17,347

250,797 1,837,755 2,088,552 120,648 - 120,648

780,000 325,000 1,105,000 163,233 9,401 172,634

24,240,000 9,675,000 33,915,000 7,843,879 57,240 7,901,119

826,653 43,432 870,085 10,546,725 938,713 11,485,438 47,097,289 13,490,170 60,587,459

414,598 27,970 442,568 414,598 27,970 442,568

Net Investment in Capital Assets 31,044,408 12,261,368 43,305,776

300,308 - 300,308 3,642,314 - 3,642,314

Renewal and Replacement - 200,000 200,000 949,898 - 949,898 159,977 4,073,290 4,233,267

36,096,905$ 16,534,658$ 52,631,563$

City of Maitland, Florida

Capital Assets:

The notes to the financial statements are an integral part of the financial statements.

September 30, 2015Statement of Net Position

NET POSITION

Restricted for:Debt ServiceCapital Projects

Law EnforcementUnrestricted

Internal Balances

InvestmentsCash and Cash Equivalents

ASSETS

LIABILITIESAccounts Payable

Special Assessments ReceivableAccrued Interest ReceivableAccounts Receivable - Net

Total Assets

Total deferred outflows of resources

Deferred Charge on RefundingDeferred Pension Outflows

Cash and Cash EquivalentsRestricted Assets

Prepaid Items

Non-depreciableDepreciable - Net

Due from Other Governments

Liabilities Payable from Restricted AssetsAccrued Interest PayableCustomer Deposits

Accrued LiabilitiesDue to Other GovernmentsUnearned RevenueDepositsLong-term Liabilities:

Due Within One YearBonds Payable

Total Net Position

Total Liabilities

Compensated AbsencesDue in More Than One Year

Bonds Payable

Compensated AbsencesOther Post Employment Benefits

Pension

Deferred Pension InflowsTotal deferred outflows of resources

DEFERRED INFLOWS OF RESOURCES

17

Expenses Charges for

Services

Operating Grants and

Contributions

Capital Grants and

Contributions Governmental Activities:

General Government 3,249,170$ 36,517$ -$ -$ Public Safety 13,039,280 2,707,217 401,779 213,845 Physical Environment 1,081,414 1,262,145 - 155,927 Transportation 2,863,711 70,826 - 6,500 Culture/Recreation 4,719,852 209,068 - 249,350 Interest on Long-Term Debt 1,112,108 - - -

Total Governmental Activities 26,065,535 4,285,773 401,779 625,622

Business-type Activities:Water & Wastewater 5,189,862 5,275,611 - 15,400 Solid Waste 1,900,842 2,636,196 - -

Total Business-type Activities 7,090,704 7,911,807 - 15,400

Total 33,156,239$ 12,197,580$ 401,779$ 641,022$


City of Maitland, FloridaStatement of Activites

For the Year Ended September 30, 2015

FUNCTIONS / PROGRAMS

Program Revenues

Net Position - Beginning, as restated (Note 14)Net Position - Ending

Change in Net PositionTotal General Revenues/Transfers

Transfers..................................................................................Miscellaneous................................................................Investment Income.....................................................Unrestricted Intergovernmental Revenues......

Property Tax..................................................................General Revenues:

Franchise Fees..............................................................State Sales Tax ..............................................................Communication Services Tax.................................Local Option Gas Tax..................................................Utility Taxes...................................................................

18


Business-type Activities Total

(3,212,653)$ -$ (3,212,653)$ (9,716,439) - (9,716,439)

336,658 - 336,658 (2,786,385) - (2,786,385) (4,261,434) - (4,261,434) (1,112,108) - (1,112,108)

(20,752,361) - (20,752,361)

- 101,149 101,149 - 735,354 735,354 - 836,503 836,503

(20,752,361) 836,503 (19,915,858)

8,917,020.............. - 8,917,020 2,286,454.............. - 2,286,454

546,720................. - 546,720 1,362,996.............. - 1,362,996 2,428,525.............. - 2,428,525 2,074,718.............. - 2,074,718 1,050,273.............. - 1,050,273

161,816................. 13,715 175,531 506,116................. - 506,116 308,000................. (308,000) -

19,642,638 (294,285) 19,348,353 (1,109,723) 542,218 (567,505) 37,206,628 15,992,440 53,199,068 36,096,905$ 16,534,658$ 52,631,563$

Net (Expense) Revenue and Changes in Net Position

19

General

Community Redevelopment

Agency

Nonmajor Governmental

Funds

Total Governmental

Funds

ASSETSCash and Cash Equivalents 14,241,801$ -$ 5,811,303$ 20,053,104$ Restricted Cash and Cash Equivalents - 239,030 61,278 300,308 Investments 4,301,024 - 27,100 4,328,124 Special Assessments Receivable 15,180 - - 15,180 Accounts Receivable 516,188 - 32,003 548,191 Accrued Interest Receivable 14,450 - - 14,450 Prepaid Items 8,236 - - 8,236 Due from Other Governments 832,683 - 155,927 988,610 Due from Other Funds 13,590 - 328,767 342,357 Advances to Other Funds 10,344,595 - 1,353,485 11,698,080

Total Assets 30,287,747$ 239,030$ 7,769,863$ 38,296,640$

LIABILITIES AND FUND BALANCESLiabilities:

Accounts Payable 1,006,516$ 9,477$ 450,721$ 1,466,714$ Accrued Liabilities 384,799 2,999 6,969 394,767 Due to Other Governments 17,347 - - 17,347 Due to Other Funds 369,089 - 19,358 388,447 Advances from Other Funds - 13,128,726 465,809 13,594,535 Deposits 120,648 - - 120,648 Unearned Revenue 250,797 - - 250,797

Total Liabilities 2,149,196 13,141,202 942,857 16,233,255

Fund Balances:Nonspendable 10,352,831 - - 10,352,831 Restricted - 26,203 6,973,208 6,999,411 Committed 1,508,317 - - 1,508,317 Assigned 1,232,104 - 319,607 1,551,711 Unassigned 15,045,299 (12,928,375) (465,809) 1,651,115

Total Fund Balances 28,138,551 (12,902,172) 6,827,006 22,063,385 Total Liabilities and Fund Balances 30,287,747$ 239,030$ 7,769,863$ 38,296,640$

City of Maitland, FloridaBalance Sheet - Governmental Funds

September 30, 2015


20

Total fund balances of governmental funds 22,063,385$

56,064,408

(363,635)$ (414,598) (778,233)

Bonds payable (25,020,000)$ Deferred charge on refunding 398,631 Accrued interest payable (196,695) (24,818,064)

661,447

10,546,725$ 989,886 848,459

6,995,420 (19,380,490)

(2,158,445)$ (126,007) 2,284,452

36,096,905$


Capital assets used in governmental activities are not financial resources and,

Amounts reported for governmental activities in the statement of net position aredifferent because:

Reconciliation of the Balance Sheet of Governmental FundsTo the Statement of Net Position

September 30, 2015

Total net position of governmental activities


therefore, are not reported in the funds. The cost of the assets is $79,400,313 and the accumulated depreciation is $23,335,905.

funds while repayment of principal consumes the current financial resources of governmental funds. Also, governmental funds report the effect of premiums, discounts and deferred amounts on refundings when debt is first issued; thes amounts are deferred and amortized in the statement of activities. The net effect of the differences in the treatment of long-term debt is as follows:

Bond proceeds and notes issued proved financial resources to governmental

Net gain of the internal service fund are reported with governmental activities(net of amount allocated to business-type activities of $61,078).

Certain items reported in the statement of activities do not require the use ofcurrent financial resources and are not reported as expenditures in the governmental funds. This item consists of:

Other Post Employment BenefitsCompensated absences

Deferred investment results or actuarial changes to defined benefit plansmade after the measurement date are recorded as expenditures in the governmental funds but must be deferred in the statement of net position:

Investment loss - Police and Fire pensionInvestment loss - FRS pension

Police and Fire pensionFRS pension

Certain amounts related to the net pension liability are deferred andamortized over time. These are not reported in the funds:

Police and Fire pensionFRS pension

21

Community Nonmajor TotalRedevelopment Governmental Governmental

General Agency Funds FundsREVENUES

Taxes:Property Taxes 7,829,650$ 321,084$ 766,286$ 8,917,020$ Utility Taxes 2,286,454 - - 2,286,454 Communications Services Tax 1,362,996 - - 1,362,996 Other Taxes 249,326 - - 249,326

Licenses and PermitsImpact Fees and Permits 726,109 - 19,948 746,057 Franchise Fees 2,074,718 - - 2,074,718

Intergovernmental:Sales Tax 2,428,525 - - 2,428,525 Local Option Gas Tax 546,720 - - 546,720 Other Intergovernmental 1,235,460 343,105 500,401 2,078,966

Charges for Services 1,354,869 519 1,307,322 2,662,710 Fines and Forfeitures 825,615 - 16,740 842,355 Investment Income 116,985 1,783 43,048 161,816 Miscellaneous Revenues 1,719,889 - 718 1,720,607

Total Revenues 22,757,316 666,491 2,654,463 26,078,270

EXPENDITURES Current:

General Government 4,102,320 124,163 52,120 4,278,603 Public Safety 10,327,714 - 371,027 10,698,741 Physical Environment - - 595,228 595,228 Transportation 2,825,656 - - 2,825,656 Culture and Recreation 3,443,442 - 337,741 3,781,183

Debt Service - 694,313 747,118 1,441,431 Capital Improvements 1,857,426 44,208 1,034,775 2,936,409

Total Expenditures 22,556,558 862,684 3,138,009 26,557,251

Excess (Deficiency) of Revenues Over (Under) Expenditures 200,758 (196,193) (483,546) (478,981)

OTHER FINANCING SOURCESAND (USES)

Transfers In 308,000 199,530 - 507,530 Transfers Out (199,530) - - (199,530) Refunding Bank Loan Issued - 13,485,000 - 13,485,000 Payment to Refunded Bond Holders - (13,485,000) - (13,485,000)

Total Other Financing Sources and (Uses) 108,470 199,530 - 308,000

Net Change in Fund Balances 309,228 3,337 (483,546) (170,981)

Fund Balances (Deficits) - Beginning 27,829,323 (12,905,509) 7,310,552 22,234,366

Fund Balances (Deficits) - Ending 28,138,551$ (12,902,172)$ 6,827,006$ 22,063,385$

The notes to the financial statements are an integral part of this statement.

For the Year Ended September 30, 2015Governmental Funds

Statement of Revenues, Expenditures, and Changes in Fund BalancesCity of Maitland, Florida

22

Net change in fund balances - total governmental funds (170,981)$

109,774

235,000 (435,000) 200,000

(21,477) (690,842)

(32,195) 172,876

Change in pension expense (503,081) (11,358) (1,086,077)

(162,439)

(1,109,723)$


For the Year Ended September 30, 2015in Fund Balances of Governmental Funds to the Statement of Activities

Reconciliation of the Statement of Revenues, Expenditures, and Changes City of Maitland, Florida

Amounts reported for governmental activities in the statement of activities are

Internal service funds are used by management to charge the costs of

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.

Net proceeds for issuance of 2014 CRA Loan2014 GO Loan principal payment

the statement of activities, the cost of those assets is depreciated over their estimated useful lives and reported as depreciation expense. This is the amount by which capital purchases ($2,936,409) exceeds depreciation ($2,826,635) in the current period (per Note 5).

Governmental funds report capital purchases as expenditures. However, in

different because:

certain activities to individual funds.

Change in net position of governmental activities

Change in accrued interest on long-term debt

The issuance of long-term debt provides current financial resources to

Change in compensated absencesChange in Other Post Employment ObligationAmortization of current year bond discountAmortization of deferred charge on refunding

Change in net position of the internal service funds is reported with governmental activities (net of amount allocated to business-type activities of -$12,533).

of current financial resources and therefore are not reported as expenditures in governmental funds.

Some expenses reported in the statement of activities do not require the use

23

GovernmentalActivitiesInternal

Service Fund

Utility Fund - Major Fund

Solid Waste Fund - Major

Fund Total

General Insurance

Fund - Nonmajor

Fund

Current Assets:Cash and Cash Equivalents 3,350,576$ 1,479,365$ 4,829,941$ 774,224$ Accounts Receivable 793,389 89,006 882,395 30,892 Due from Other Funds 24,143 45,369 69,512 250 Prepaids 4,000 - 4,000 44,834 Restricted Assets:

Cash and Cash Equivalents 9,850,420 60,775 9,911,195 - 14,022,528 1,674,515 15,697,043 850,200

Noncurrent Assets:Advance to Other Fund 1,896,455 - 1,896,455 - Capital Assets:

Sewer Capacity 6,769,603 - 6,769,603 - Land 951,308 - 951,308 - Building and Improvements 2,425,966 - 2,425,966 - Machinery, Equipment and Vehicles 17,429,322 - 17,429,322 - Construction in Progress 703,769 - 703,769 -

Less: Accumulated Depreciation and Amortization (15,744,991) - (15,744,991) - Total Capital Assets (Net) 12,534,977 - 12,534,977 -

14,431,432 - 14,431,432 -

28,453,960 1,674,515 30,128,475 850,200

Deferred Pension Outflows 9,073 - 9,073 -

(continued on next page)

Total Current Assets

ASSETS

Total Noncurrent Assets

Total Assets

City of Maitland, FloridaStatement of Net Position

Proprietary FundsSeptember 30, 2015

Enterprise FundsBusiness-type Activities

DEFERRRED OUTFLOWS OF RESOURCES

24

GovernmentalActivitiesInternal

Service Fund

Utility Fund - Major Fund

Solid Waste Fund -

Major Fund Total

General Insurance

Fund - Nonmajor

Fund

Current Liabilities:Accounts Payable 204,591$ 164,318$ 368,909$ 86,088$ Accrued Liabilities 32,387 - 32,387 163,743 Due to Other Funds 23,672 - 23,672 - Unearned Revenue 623,243 83,970 707,213 - Current Liabilities Payable from Restricted Assets:

Accrued Interest Payable 26,930 - 26,930 - Loan Payable 325,000 - 325,000 -

124,029 60,775 184,804 -

1,359,852 309,063 1,668,915 249,831

Noncurrent Liabilities:Compensated Absences Payable 43,432 - 43,432 - Other Post Employment Benefits 938,713 - 938,713 - Unearned Sewer Capacity Revenues 1,130,542 - 1,130,542 - Loan Payable 9,675,000 - 9,675,000 - Pension 57,240 - 57,240 -

11,844,927 - 11,844,927 -

13,204,779 309,063 13,513,842 249,831

Deferred Pension Inflows 27,970 - 27,970 -

Investment in Capital Assets 12,534,977 - 12,534,977 - Restricted:

Renewal and Replacement 200,000 - 200,000 - Unrestricted 2,495,307 1,365,452 3,860,759 600,369

15,230,284$ 1,365,452$ 16,595,736$ 600,369$

(61,078) Net position of business-type activities 16,534,658$


Business-type ActivitiesEnterprise Funds

City of Maitland, FloridaStatement of Net Position - Continued

Proprietary FundsSeptember 30, 2015

Total Current Liabilities

Customer Deposits

Total Net Position

LIABILITIES

internal service fund activities related to business-type activities

Reconciliation to government-wide statement of net position:Adjustment to reflect the consolidation of

DEFERRRED INFLOWS OF RESOURCES

NET POSITION

Total Liabilities

Total Noncurrent Liabilities

25

GovernmentalActivities

Business-type Activities Internal Enterprise Funds Service Fund

GeneralUtility Solid Waste Insurance FundFund Fund Nonmajor

Major Fund Major Fund Total Fund

Operating Revenues:Charges for Services 5,264,715$ 2,634,111$ 7,898,826$ 585,828$ Miscellaneous Revenues 10,896 2,085 12,981 114,177

Total Operating Revenues 5,275,611 2,636,196 7,911,807 700,005

Operating Expenses:Personnel Services 921,778 - 921,778 - Contractual Services 1,211,201 1,651,661 2,862,862 62,005 Maintenance 519,130 3,537 522,667 - Materials and Supplies 506,342 - 506,342 - Insurance and Claims Expenses - - - 816,461 Administrative Expenses 1,262,696 244,644 1,507,340 - Depreciation and Amortization 691,868 - 691,868 -

Total Operating Expenses 5,113,015 1,899,842 7,012,857 878,466

Operating Income (Loss) 162,596 736,354 898,950 (178,461)

Nonoperating Revenues (Expenses):Investment Earnings 10,225 3,490 13,715 3,489 Loss on Disposal of Assets (14,687) - (14,687) - Interest Expense (50,627) - (50,627) -

Total Nonoperating Revenues (Expenses) (55,089) 3,490 (51,599) 3,489

Income / (Loss) Before Contributionsand Transfers 107,507 739,844 847,351 (174,972)

Contributions and Transfers:Capital Contributions 15,400 - 15,400 - Transfers Out - (308,000) (308,000) -

Total Contributions and Transfers 15,400 (308,000) (292,600) -

Change in Net Position 122,907 431,844 554,751 (174,972)

15,107,377 933,608 16,040,985 775,341

15,230,284$ 1,365,452$ 16,595,736$ 600,369$

Reconciliation to the government-wide statement of activities554,751$

service fund activities related to business-typeactivities (12,533)

542,218$


Total Net Position - Ending

Change in net positionAdjustment to reflect the consolidation of internal

Change in net position of business-type activities

City of Maitland, FloridaStatement of Revenues, Expenses and Changes in Fund Net Position

Proprietary FundsFor the Year Ended September 30, 2015

Net Position - Beginning, as restated (see Note 14)

26

GovernmentalActivities

Business-type Activities Internal Enterprise Funds Service Fund

GeneralInsurance

Utility Solid Waste NonmajorMajor Fund Major Fund Total Fund

Cash Flows from Operating Activities 5,234,691$ 2,637,992$ 7,872,683$ -$

- - - 757,763 (3,912,809) (1,902,320) (5,815,129) (868,863)

(886,505) - (886,505) - Net Cash Provided by Operating Activities 435,377 735,672 1,171,049 (111,100)

Cash Flows from Noncapital Financing Activities- (308,000) (308,000) -

Net Cash Used in Noncapital Financing Activities - (308,000) (308,000) -

Cash Flows from Capital and RelatedFinancing Activities

10,000,000 - 10,000,000 - 1,791 - 1,791 -

Interest Payments - Revenue Bonds (48,551) - (48,551) - (1,011,019) - (1,011,019) -

15,400 - 15,400 - Net Cash Used in Capital and Related

Financing Activities 8,957,621 - 8,957,621 -

Cash Flows from Investing Activities10,225 3,490 13,715 3,489

Net Cash Provided by Investing Activities 10,225 3,490 13,715 3,489

Net Increase in Cash and Cash Equivalents 9,403,223 431,162 9,834,385 (107,611) Cash and Cash Equivalents - Beginning 3,797,773 1,108,978 4,906,751 881,835 Cash and Cash Equivalents - Ending 13,200,996$ 1,540,140$ 14,741,136$ 774,224$

Cash and Cash Equivalents Classified As:3,350,576$ 1,479,365$ 4,829,941$ 774,224$ 9,850,420 60,775 9,911,195 -

Total Cash and Cash Equivalents 13,200,996$ 1,540,140$ 14,741,136$ 774,224$

Reconciliation of Operating Income to NetCash Provided by Operating Activities:Operating Income 162,596$ 736,354$ 898,950$ (178,461)$ Adjustments to Reconcile Operating Income

to Net Cash Provided by Operating Activities: Depreciation & Amortization 691,868 - 691,868 -

(Increase) Decrease in Assets:Accounts Receivable (86,708) 8,606 (78,102) (30,892) Due From Other Funds (3,374) (17,825) (21,199) 57,758 Prepaid Items - - - (3,167)

Increase (Decrease) in Liabilities: Accounts Payable (437,112) (4,563) (441,675) 70,561 Contracts Payable - - - - Compensated Absences (784) - (784) - Other Post Employment Benefits 42,724 - 42,724 -

18,432 - 18,432 - Customer Deposits 49,162 12,283 61,445 - Unearned Revenue - 828 828 - Due to Other Funds 23,672 (11) 23,661 - Accrued Liabilities (25,099) - (25,099) (26,899)

Net Cash Provided by Operating Activities 435,377$ 735,672$ 1,171,049$ (111,100)$


Net Pension Liability

Proprietary FundsStatement of Cash Flows

The City of Maitland, Florida


Proceeds from Bank LoanProceeds from Sale of Assets

Purchases of Capital AssetsConnection Fees Collected

Interest on Investments

Current AssetsRestricted Assets - Current

Receipts from Customers and UsersReceipts from Interfund Services ProvidedPayments to SuppliersPayments to Employees

Transfers Out

Note: There were no noncash investing, capital or financing activities.

27

ASSETS457,681$

1,208,223 4,684,395 7,798,883

932,292 6,941,505 2,819,432

Total Investments 24,384,730 46,459

Total Assets 24,888,870

918 60,160

Total Liabilities 61,078

24,827,792$

September 30, 2015Municipal Police Officers' and Firefighters' Pension Fund

Statement of Fiduciary Net PositionCity of Maitland, Florida

Assets held in Trust for Pension Benefits

Refunds PayableAccounts Payable

NET POSITION

Cash and Cash EquivalentsInvestments, at Fair Value:

U.S. Government ObligationsOther Debt SecuritiesDomestic Stocks


Accrued Income

Real Estate Mutual FundsForeign Stocks

LIABILITIES

28

ADDITIONSContributions: Employer Contributions 996,504$

State Contribution 344,474 Employee Contributions 278,092

Total Contributions 1,619,070

Investment Income: Net Decrease in Fair Value of Investments (636,586)

Interest 255,635 Dividends 607,838

226,887 Less Investment Expenses:

Investment Management Fees 152,684 Custodian Fees 16,976

Net Investment Income 57,227

Total Additions 1,676,297

DEDUCTIONSEmployee Benefits 1,845,255 Refunds of Contributions 51,205 Administrative Expense 75,271

Total Deductions 1,971,731

Change in Net Position (295,434)

25,123,226

24,827,792$


Net Position - Ending

For the Year Ended September 30, 2015Municipal Police Officers' and Firefighters' Pension Fund

Statement of Changes in Fiduciary Net PositionCity of Maitland, Florida

Net Position - Beginning

29

City of Maitland, Florida Notes to the Financial Statements

September 30, 2015

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

The financial statements of the City of Maitland, Florida (the “City”) have been prepared in conformity with generally accepted accounting principles as applicable to government units.

A. Reporting Entity

The City of Maitland is a political subdivision of the State of Florida located in Orange County. The Town of Lake Maitland, Florida was created under the general laws of the State of Florida on July 17, 1885. The incorporation was validated by the 1909 Laws of Florida. In 1959, Chapter 59-1475 was adopted creating a new charter and changing the Town’s name to the City of Maitland. In 1970, this charter was superseded pursuant to Chapter 70-793. The legislative branch of the City is composed of a four (4) member city-wide elected Council and a city-wide elected mayor. The City Council is governed by the City Charter and by state and local laws and regulations. The City Council is responsible for the establishment and adoption of policy. The execution of such policy is the responsibility of the City Manager as is appropriate for the City’s Council-Manager form of government.

The accompanying financial statements present the City and its component unit, an entity for which the City is considered to be financially accountable. A blended component unit, although legally separate, is in substance, part of the City’s operations. The City has only one blended component unit, the Community Redevelopment Agency (the “CRA”). For financial reporting purposes, the CRA is reported as if it were part of the City’s operations. The CRA is an incremental tax district created by City Resolution #13-2003 on August 25, 2003, pursuant to Florida Statutes 163.356. The City Council and one representative appointed by the Board of Orange County Commissioners serve as the governing board, approve the budget, provide funding, and perform all accounting functions for the CRA. The CRA’s services are provided exclusively to the City. The CRA has been presented as a blended component unit classified as a special revenue fund. The City has no discretely presented component units.

B. New Accounting Standards Adopted

In fiscal year 2015, the City adopted new accounting standards as follows:

GASB Statement No. 68, Accounting and Financial Reporting for Pensions – An amendment of GASB No 27. The primary objective of this Statement is to improve accounting and financial reporting by state and local governments for pensions. It also improves information provided by state and local governmental employers about financial support for pensions that is provided by other entities. This Statement results from a comprehensive review of the effectiveness of existing standards of accounting and financial reporting for pensions with regard to providing decision-useful information, supporting assessments of accountability and interperiod equity, and creating additional transparency.

GASB Statement No. 71, Pension Transition for Contributions Made Subsequent to the Measurement Date – The objective of this Statement is to improve accounting and financial reporting by addressing an issue in Statement No. 68, Accounting and Financial Reporting for Pensions, concerning transition provisions related to certain pension contributions made to defined benefit pension plans prior to implementation of that Statement by employers and nonemployer contributing entities

C. Government-wide and Fund Financial Statements

The government-wide financial statements (i.e., the Statement of Net Position and the Statement of Activities) report information on all of the nonfiduciary activities of the primary government. All fiduciary activities are reported only in the fund financial statements. For the most part, the effect of interfund activity has been removed from these statements. Exceptions to this general rule are charges between the City’s water and sewer, solid waste and various other functions of the City. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges

30


September 30, 2015

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)

for support. The Statement of Activities demonstrates the degree to which the direct expenses and indirect costs of a given function, or segment, are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Indirect Expenses are those costs that are allocated to functions and activities in accordance with the City’s adopted indirect cost allocation plan. The “Expenses” column includes both direct and indirect expenses. Program revenues include 1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues.

Separate financial statements are provided for governmental funds, enterprise funds and the pension trust fund. The pension trust fund is excluded from the government-wide financial statements. Major individual governmental and enterprise funds are reported as separate columns in the fund financial statements.

D. Measurement Focus, Basis of Accounting, and Financial Statement Presentation

Government-wide Financial Statements

The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements.

Fund Financial Statements

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 are considered to be available when 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 180 days after the end of the current fiscal period, except for property tax revenue as to which the period is 60 days. 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.

Property taxes, franchise fees, licenses, and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the portion of special assessments receivable due within the current fiscal period is considered to be susceptible to accrual as revenue of the current period. All other revenue items are considered to be measurable and available only when cash is received by the City.

When both restricted and unrestricted resources are available for use, it is the City’s policy to use restricted resources first, and then unrestricted resources as they are needed.

31


September 30, 2015


The City reports the following major governmental funds:

General Fund - The General Fund is the City’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund.

Community Redevelopment Agency – This fund is used to account for tax increment financing revenue deposits, payment of redevelopment revenue bond debt service and expenditure of funds for approved projects in the Downtown Maitland Revitalization Plan.

The City reports the following major enterprise funds:

Utility Fund - The Utility Fund, accounts for the fiscal activities of the City’s water and wastewater operations as well as the funding and payment of related debt.

Solid Waste Fund – The Solid Waste fund accounts for the fiscal activities of the City’s refuse and recycling operations.

Additionally, the City reports the following fund types:

Special Revenue Funds – The Special Revenue Funds account for and report the proceeds of specific revenue sources that are legally restricted or committed to expenditure for specified purposes other than debt service or capital projects.

Debt Service Fund – The Debt Service Fund accounts for the accumulation of resources for, and the payment of, governmental long-term debt principal and interest.

Capital Project Fund – the Capital Project Fund accounts for funds received and expended for the acquisition and construction of major capital facilities other than those financed by proprietary funds or grants.

Internal Service Fund – The General Insurance Fund accounts for risk management services provided to other departments of the City on a cost reimbursement basis.

Fiduciary Fund - The Pension Trust Fund accounts for the activities of the City’s Police Officers’ and Firefighters’ Pension Plan, which accumulates resources for pension benefit payments to qualified police and fire employees.

Proprietary funds distinguish operating revenues and expenses from non-operating 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 City’s enterprise funds are charges to customers for sales and services. Operating expenses for the enterprise funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting these definitions are reported as non-operating revenues and expenses.

E. Use of Estimates

In preparing the financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities as of the date of the financial statements and operations for the period. Actual amounts could differ from those estimates.

32


September 30, 2015


F. Stewardship, Compliance and Accountability

1. Budgetary Information

The City follows these procedures in establishing the budgetary data reflected on the financial statements-

(a) The General Fund, CRA, Environmental Stormwater, and Enterprise Funds are legally required to prepare formal budgets. Subsequent implementations of the General Fund and CRA budgets serve as a financial and authoritarian control during the year. Budgetary reporting is not legally required for any of the City’s other funds.

(b) On or before July 15th of each year, the City Manager submits to the City Council a budget for the ensuing fiscal year along with an accompanying budget message.

(c) Budget workshop sessions are scheduled by the City Council as needed.

(d) The general summary of the budget and notice of public hearing is published in the local newspaper.

(e) Prior to October 1, the budget is legally enacted through passage of a resolution.

(f) The City Council may make supplemental appropriations in excess of those estimated for the year up to the amount of available resources. During fiscal year 2015, the City made amendments to the budget, which added to the amount that was originally appropriated.

(g) The City Manager is authorized to transfer part or all of an unencumbered appropriation balance among programs within a fund, and upon written request by the City Manager; the City Council may authorize (by majority vote) a transfer of part or all of any unencumbered appropriation balance between funds. The level of classification detail at which expenditures may not legally exceed appropriations is by fund. Administrative control is maintained at the program level.

(h) Every appropriation, except for a capital expenditure, shall lapse at the close of the fiscal year to the extent it has not been expended or encumbered.

2. Deficit Fund Balance

The Fire Impact Fee Fund, a special revenue fund, had a deficit unassigned fund balance of $465,809 at September 30, 2015. The fund’s revenue stream from fire impact fees was not sufficient to cover the capital outlay required for the construction of a new fire station West of I-4 in FY 2003. As a result, an advance was made by the General Fund of $700,000 to pay for this shortfall; the deficit is expected to be liquidated in future years by receipt of fire impact fees.

The CRA, a blended component unit, had a deficit unassigned fund balance of $12,902,172 at September 30, 2015. The General Fund, Parks Impact Fee Fund, Road Impact Fee Fund, and Utility Fund have advanced $10,078,316; $289,467; $1,064,018; and $1,896,455 respectively, to cover this shortfall. The advances are expected to be liquidated in future years with tax increment revenues.

G. Cash and Cash Equivalents

Cash and cash equivalents include cash on hand, demand deposits, savings accounts, and highly liquid investments (including restricted assets with a maturity of three months or less when purchased).

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H. Investments

The City presents all investments at fair value with the exception of investments with the State Board of Administration of Florida (SBA) through participation in Florida Local Government Surplus Funds Trust Fund (Florida PRIME), an external 2a7-like investment fund. The SBA has an executive director appointed by the Governor, State Treasurer, and the State Comptroller. An Investment Advisory Council is provided for by law and is composed of six members appointed by the Governor, State Treasurer, and State Comptroller. The Florida Senate confirms members. The Investment Advisory Council meets quarterly for the purpose of reviewing investment performance, providing insights, advice, and counsel on these matters. All valuations are based on amortized cost, which approximates the fair value of the Florida PRIMES’s underlying portfolio. In addition, investments include the City’s Pension Trust Fund, which are recorded at fair value.

I. Receivables

Accounts Receivable

Utility Enterprise Fund operating revenues are generally recognized on the basis of cycle billings rendered monthly. Revenues for services delivered during the last month of the fiscal year that have not been read by September 30 are accrued based on meter readings for the applicable consumption taken in October and billed in October and November.

Property Taxes Receivable

Under Florida law, the assessment of all properties and the collection of county, municipal, special district and school board property taxes are consolidated in the offices of the County Property Appraiser and County Tax Collector. The laws of the State regulating tax assessments are also designed to assure a consistent property valuation method statewide. Florida Statutes permit municipalities to levy property taxes at a rate of up to 10 mills. The City’s current combined millage is 4.54 mills.

All real and tangible personal property taxes are due and payable on the levy date of November 1 of each year, or as soon thereafter as the assessment roll is certified by the Orange County Property Appraiser (levy date). Orange County mails to each property owner on the assessment roll a notice of the taxes due and the County also collects the taxes for the City. Taxes may be paid upon receipt of such notice from the County, with discounts at the rate of four percent (4%) if paid in the month of November and reduces one percent (1%) per month through February. Taxes paid in March are without discount and all unpaid taxes on real and tangible property become delinquent on April 1 (the lien date) of the year following the year in which taxes were assessed. Procedures for collecting delinquent taxes, including applicable tax certificate sales, are provided for by the laws of Florida. The City recognizes ad valorem revenues in the fiscal year during which they are levied, to the extent collected within 60 days after year-end.

J. Prepaid Items

Prepaid items represent payments made to vendors for services that will benefit beyond the end of the fiscal year. Prepaids in the governmental type funds are recorded using the consumption method, that is as expenditures when consumed rather than when purchased. Accordingly, reported items are equally offset by nonspendable fund balance, which indicates that they do not constitute available spendable resources even though they are a component of current assets.

K. Restricted Assets

The use of certain assets of the Utility, Community Redevelopment Agency and General Obligation Debt Service funds are restricted by specific provisions of bond resolutions and other agreements. Assets so designated are identified as restricted assets on the statement of Net Position.

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L. Capital Assets

Capital assets include property, plant, equipment, sewer capacity rights, and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), and are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. The City has no capital assets that meet the definition of intangible assets per GASB No. 51, Accounting and Financial Reporting for Intangible Assets, except for sewer capacity rights. Property, plant, and equipment with initial, individual costs that equal or exceed $1,000 and estimated useful lives of over one year are recorded as capital assets. Roads, bridges, and sidewalks are capitalized when their initial costs equal or exceed $25,000 and have estimated useful lives of more than one year. Sewer capacity rights represent rights to use City of Winter Park sewer lines and City of Altamonte Springs and City of Orlando sewer plant capacity. Capacity rights, except for those purchased from the City of Orlando, are amortized over the respective terms of the agreements, ranging from 20 to 40 years. Capacity rights purchased from the City of Orlando, for which the term of the agreement is perpetuity, are amortized over estimated useful lives of the assets constructed by the City of Orlando with the related proceeds.

Capital assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. Depreciation and amortization is provided over the estimated useful lives of depreciable assets using the straight-line method. The estimated useful lives are as follows:

Buildings and Improvements 15 ~ 30 years Sewer Capacity Rights 20 ~ 40 years Improvements other than Buildings 15 ~ 45 years Utility System 25 ~ 50 years Infrastructure 10 ~ 50 years Machinery and Equipment 3 ~ 20 years

M. Deferred Outflows/ Inflows of Resources

In addition to assets, the statement of financial position will sometimes report a separate section for the deferred outflows of resources. This separate financial statement element, deferred outflow 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 City reports deferred gains on refunding and deferred contributions on pension plans. A deferred gain 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. Deferred contributions for the pension plans were made during the fiscal year but are after the measurement date of the actuarial report. These amounts will be recognized during the next measurement period.

In addition to liabilities, the statement of net position will sometimes report a separate section for deferred inflows of resources. This represents an acquisition of net position that applies to a future period(s) and will not be recognized as in inflow of resources (revenue) until that period. The City has one item that qualifies for reporting in this category: Certain amounts related to pensions must be deferred. Differences between projected and actual earnings on pension plan investments are deferred and amortized over five years. Changes in pension plan assumptions are deferred and amortized over the expected remaining service lives of employees.

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N. Unearned Revenue

In the governmental funds unearned revenue includes amounts collected before the revenue recognition criteria are met and receivables that, under the modified accrual basis of accounting, are measurable but not yet earned. Unearned revenue will be recognized as revenue in the fiscal year they are earned or become available. Unearned revenue in the General Fund represents business tax revenue received for the next fiscal year. Business tax revenue received for the next fiscal year is also reported as unearned revenue in the Government-wide statements.

In the proprietary funds unearned revenue is reported as unearned revenue in the Government-wide statements regardless of its availability. Unearned revenue in the proprietary funds represent amounts paid by developers and sub-dividers to reserve capacity in the City’s future water or sewer facilities and are recognized as operating revenue in the year the development connects to the water or sewer system.

O. Compensated Absences

It is the City's policy that all general, full-time employees with less than five years of service accrue fifteen days of personal leave per year; employees with five through nine years of service accrue twenty days of personal leave per year; and employees with ten or more years of service accrue twenty-five days of personal leave per year. Regular part-time employees accrue forty hours of personal leave. Also, police officers and firefighters receive 80 hours of personal leave in lieu of holidays. Employees are not allowed to carry over from one year to the next more than one and one-half times their annual accrued personal leave without City Manager approval. Additionally, employees may also accrue compensatory time (time off with pay in lieu of overtime pay) for irregular or occasional overtime work. Full-time employees who leave City service are entitled to receive payment for any accrued personal leave (up to the maximum allowed) and compensatory time balances at the time of separation.

It is the City's policy that employees accrue non-vesting sick leave at the rate of ten days per year. In specific instances personal leave must be used before sick leave is used. Part-time and temporary employees are not eligible for sick leave.

A liability for these amounts is reported in the governmental funds only if they have matured, for example, as a result of employee resignations and retirements. The City accrues compensated absences in the period they are earned in the government-wide and proprietary fund financial statements.

P. Capital Contributions

Capital contributions consist primarily of water and sewer capital facilities fees charged to customers for initial connection to the City’s water and/or sewer system, federal and state aid programs and developer dedications to City infrastructure.

Q. Encumbrances

Encumbrances are recorded in governmental funds at the time a purchase order or other commitment is issued. Encumbrances at year-end represent the estimated amount of expenditures to result if unperformed purchase orders and other commitments at year-end are completed. Because the City generally intends to honor purchase orders and other commitments outstanding at year-end, such encumbrances are not recorded as expenditures, but rather commitments of fund balance for the subsequent year's appropriation.

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R. Pensions

For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the City of Maitland Police Officers’ and Firefighters’ Pension (MPFP) and additions to/deductions from the MPFP’s fiduciary net position have been determined on the same basis as they are reported by MPFP. Benefit payments (including refunds of employee contributions) are recognized in the fund financial statements when due and payable in accordance with the benefit terms. Payments made after the measurement date are deferred in government-wide statements. Investments are reported at fair value.

S. Net Position/Fund Balances

The government-wide and proprietary fund financial statements utilize a net position presentation. Net position is categorized as net investment in capital assets, restricted, and unrestricted.

Net Position Flow Assumption – Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources. In order to calculate the amounts to report as restricted – net position and unrestricted – 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 City’s policy to consider restricted – net position to have been depleted before unrestricted – net position is applied.

Net Investment in Capital Assets – This category groups all capital assets, including infrastructure, into one component of net position. Accumulated depreciation and the outstanding balances of debt that are attributable to the acquisition, construction or improvement of assets reduce the balance of this category.

Restricted Net Position – This category presents external restrictions imposed by creditors, grantors, contributors, or laws or regulations of other governments and restrictions imposed by law through constitutional provisions or enabling legislation.

Unrestricted Net Position – This category represents net assets that do not meet the definition of “investment in capital assets” or “restricted.”

Fund Balance Flow Assumption – Sometimes the City will fund outlays for a particular purpose from both restricted and unrestricted resources. 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 City’s policy to consider restricted fund balance to have been depleted before using any of 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.

The governmental funds present the components of fund balances in classifications described below.

Nonspendable Fund Balance – Amounts that are (a) not in spendable form or (b) legally or contractually required to be maintained intact.

Restricted Fund Balance – Amounts that can only be spent for specific purposes stipulated by (a) external resource providers such as creditors (by debt covenants), grantors, contributors or laws and regulations of other governments or (b) imposed by law through constitutional provisions or enabling legislation.

Committed Fund Balance – Amounts that can be used only for the specific purposes determined by a formal action of the Council, the City’s highest level of decision making authority, with formal action occurring prior to fiscal year end. Commitments may be changed or lifted only by the Council taking the same formal action (resolution) that imposed the constraint originally.

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Assigned Fund Balance – Amounts that the City intends to use for a specific purpose; intent can be expressed by the City Council or City official to which the Council delegates the authority. Assigned fund balance is established by the City Council through adoption or amendment of the budget as intended for a specific purpose (such as construction, debt service or other purposes). Assignments are made via Policy Information Transmittals submitted by the City Manager during the annual budget cycle. Approved Policy Information Transmittals are effective at budget adoption.

Unassigned Fund Balance – This is the residual classification for the General Fund only. This classification represents fund balance that has not been assigned to other funds and has not been restricted, committed, or assigned to specific purposes within the General Fund. Unassigned fund balance may also include negative balances for any governmental fund except the General Fund, if expenditures exceed amounts restricted, committed or assigned for those specific purposes.

The City uses restricted amounts first when both restricted and unrestricted fund balance is available. Additionally, the City would first use committed, then assigned and lastly unassigned amounts of unrestricted fund balance when expenditures are made. In the General Fund, the City strives to maintain an unassigned fund balance to be used for emergencies of 15% of the current year’s GAAP basis expenditures.

T. Grants

Grants received or used for purposes normally financed through governmental funds are accounted for within the City’s existing governmental funds. Revenues received or used from grants for governmental funds are recognized as intergovernmental revenues when they become susceptible to accrual, that is both measurable and available (modified accrual basis).

2. CASH AND CASH EQUIVALENTS AND INVESTMENTS

The City maintains a cash and cash equivalents and investments pool that is available for use by all funds except for those in which the cash and investments must be segregated for bond indenture or other legal restrictions such as in Pension Trust Fund. Interest earned on pooled cash and investments is allocated to funds based on the average daily balances. As of September 30, 2015 are classified in the accompanying financial statements as follows:

Statement of Net Position: Cash and Cash Equivalents $ 35,868,772 Investments 4,328,124 Fiduciary Funds: Cash and Cash Equivalents 457,681 Investments 24,384,730 Total Cash and Cash Equivalents and Investments $ 65,041,046 Cash on hand $ 1,890 Deposits with financial institutions 36,324,563 Investments 28,712,854 Total Cash and Cash Equivalents and Investments $ 65,041,046

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2. CASH AND CASH EQUIVALENTS AND INVESTMENTS (Continued)

A. Deposits

Deposits consist of demand accounts with financial institutions. All deposits with financial institutions were 100% insured by Federal depository insurance or by collateral pursuant to the Public Depository Security Act of the State of Florida. The bank balance of demand deposits was $36,178,101 at September 30, 2015 and the book balance was $35,868,772. At September 30, 2015, the City’s petty cash funds totaled $1,890.

B. Investments

Florida Statutes, the City’s Charter and its Investment Policy for the Primary Government and Pension Plan authorize the investment of funds in the following:

Primary Government

(1) The Florida Local Government Surplus Funds Trust, (2) Direct obligations of the U.S. Government, (3) Direct obligations of any bank or savings and loan association certified as a Qualified Public

Depository by the State of Florida including: interest bearing savings accounts, money market accounts, certificates of deposit, money market certificates or time deposits, and

(4) Obligations of the Federal Farm Credit Bank, Federal Home Loan Mortgage Corporation, Federal Home Loan Bank or its district banks, Government National Mortgage Association, and Federal National Mortgage Association.

The State Board of Administration (SBA) administers the Local Government Surplus Funds Trust Fund (LGIP) which is governed by Chapter 19-7 of the Florida Administrative Code and Chapters 215 and 218 of the Florida Statutes. These rules provide guidance and establish the policies and general operating procedures for the administration of the LGIP. The LGIP is not a registrant with the Securities and Exchange Commission (SEC); however, the Board has adopted operating procedures consistent with the requirements for a 2a-7 fund, which permits money market funds to use amortized cost to maintain a constant net asset value (NAV) of $1 per share.

The fair value of the position in the LGIP is equal to the value of the pool shares. The investments in the LGIP are not insured by FDIC or any other governmental agency.

Pension Plan

The Municipal Police Officers’ and Firefighters’ Pension Trust Fund (Pension Fund), has a broader investment policy as approved by the board of the Pension Fund. The authorized investments include fixed income, equities (foreign and domestic), savings and time deposits, obligations of the United States Government (and its agencies) including instruments guaranteed as to principal and interest by the U.S. Government, bonds issued by the State of Israel, money markets, mutual funds, real estate, and alternative investments. The Pension Fund is prohibited from investing more than five percent (5%) of plan assets in the common stock or capital stock of any one issuing company, nor shall the aggregate investment in any one issuing company exceed five percent (5%) of the outstanding stock of that company. Additionally, the aggregate of investments in the common stock or capital stock of companies at market shall not exceed twenty-five percent (25%) foreign and seventy-five percent (75%) of the fund’s assets. Fixed income securities shall have a minimum rating of investment grade as determined by Standard and Poor’s or Moody’s and not more that 5% of total plan funds in any single corporation.

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Credit Risk

In compliance with the City’s investment policy the City minimizes credit risk losses due to default of a security issue or backer by: limiting investments to the safest types of securities, limiting bank certificates of deposit to institutions designated as qualified public depositories in compliance with Florida Statute 280.02, and diversifying the investment portfolio so that potential losses on individual securities are minimized. The Pension Fund minimizes credit risk by limiting investment in debt securities to those corporations that hold a rating in one of the three highest classifications by a major bond rating service.

The City’s investments categorized by credit risk as of September 30, 2015, are:

Primary Government Credit Risk – Standard & Poor’s (S&P) Fair Value AAAm (S&P) AA (S&P) US Government Agencies $ - Federal Home Loan Bank $ 1,250,974 - $ 1,250,974 Federal National Mortgage Assn. 500,274 - 500,274 Federal Home Loan Mortgage Corp 1,251,340 - 1,251,340 Federal Farm Credit Bank 1,283,225 - 1,283,225 SBA Prime 42,311 42,311 - $ 4,328,124 $ 42,266 $ 4,285,813

Pension Plan Credit Risk – Standard & Poor’s (S&P) Fair Value AA (S&P) A (S&P) BBB (S&P) Not Rated US Government Agencies Federal Home Loan Mortgage Corp $ 186,105 $ 186,105 $ - $ - $ - Federal National Mortgage Assn. 655,716 655,716 - - - Government Home Loan Assn. 8,378 8,378 - - - Federal Farm Credit Bank 50,007 50,007 - - - Corporate Debt 3,784,189 416,738 2,203,016 1,164,435 - Bond Mutual Funds 2,187,820 - - 1,122,392 1,065,428 Domestic Stocks 7,798,883 - - - 7,798,883 Foreign Stocks 932,292 - - - 932,292 Equity Mutual Funds 4,753,685 - - - 4,753,685 Unit Investment Trust 161,690 - - - 161,690 Real Estate 2,657,742 - - - 2,657,742 23,176,507 $ 1,316,944 $ 2,203,016 $ 2,286,827 $ 17,369,720 U.S. Government Securities* 1,208,223 $ 24,384,730

*The table does not rate U.S. Government Securities as these securities are backed by the full faith and credit of the U.S. Government.

Interest Rate Risk

Primary Government

As a means of limiting its exposure to fair value losses arising from rising interest rates, the City’s investment policy requires a maximum maturity of no longer than five (5) years for operating funds and ten (10) years for non-operating funds. Maturities are structured to meet cash requirements for ongoing operations, thereby avoiding the need to sell securities on the secondary market prior to maturity.

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Pension Fund

The established performance objectives require investment maturities to match anticipated cash-flow requirements in order to pay obligations when due. The Plan does not have a policy that limits investment maturities as a means of managing their exposure to fair value losses arising from increasing interest rates and therefore does not have a maximum maturity for its investment portfolio.

As of September 30, 2015, the primary government and the pension fund had the following investments subject to interest rate risk using the segmented time distribution method:

Primary Government FairValue Less than 1 1 - 2 3 - 4 5

U.S. Government Agency Securities 4,285,813 - 499,868 1,530,814 2,255,131 SBA Prime 42,311 42,311 - - -

4,328,124 42,311$ 499,868$ 1,530,814$ 2,255,131$

Investment Maturity (in Years)

Pension Fund FairValue Less than 1 1 - 5 6 - 10 More than 10

U.S. Government Obligations 1,208,223$ -$ 645,449$ 257,790$ 304,985$ U.S. Government Agency Securities 900,206 - 353,304 17,400 529,502 Corporate Debt 2,654,338 - 373,477 349,625 1,931,236 Bond Mutual Funds 2,187,820 2,187,820 - - -

6,950,587 2,187,820$ 1,372,230$ 624,815$ 2,765,723$ Investments not subject to Interest Rate Risk:

Domestic Stock 7,798,883 Foreign Stock 932,292 Equity Mutual Funds 4,753,685 Unit Investment Trust 161,690 Real Estate 2,657,742

Total Fair Value 23,254,879$

Investment Maturity (in Years)

Custodial Risk

Custodial credit risk is the risk that, in the event of the failure of the counter party, the government or the pension plan will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. To mitigate custodial risk, the City requires brokers/dealers to provide audited financial statements, proof of National Association of Securities Dealers certification and proof of state registration. Securities transactions between a financial institution and broker/dealer and the custodian involving purchase or sale of securities by transfer of money or securities must be made on a “delivery vs. payment” basis, if applicable, to ensure the custodian will have the security or money, as appropriate, in hand at the conclusion of the transaction.

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Concentration of Credit Risk


Primary Government

The City’s investment policy requires that investments be diversified by security type and institution. Specific limitations as to the percentage of the portfolio and length of maturity for each type of investment are as follows:

Investment Maximum Actual Local Government Surplus Trust Fund (SBA) 75% 0.11% Money Market, CD’s and Savings Accounts 75% 89.18%* Other U.S. Government Obligations / Agencies 50% 10.72%

*While the City’s investments held in savings accounts and money markets are above the maximum limits of the City’s investment policy, the City Manager has the authority to grant exceptions to portfolio composition limits. The investments held in money market and savings accounts were with two separate financial institutions ($10.5 million and $25.6 million). Included in the $25.6 million is $9.8 million (24.3%) of loan proceeds from the 2015 Utility Loan which closed in August 2015. Risk aversion is one of the key tenets of the City’s investment policy, and all funds held with financial institutions are fully collateralized under the State of Florida Qualified Public Depository (QPD) program and were not at risk. In addition, the City’s investment policy was revised subsequent to year end and the scenario above would not qualify as an exception to the revised investment policy.

Pension Fund

The Pension Fund minimizes concentration of credit risk by prohibiting investment of more than five (5) percent of its assets in the corporate debt, common or capital stock of one company. As of September 30, 2015, the Pension Fund did not have holdings of any one company which exceeded the 5% limit.

Deferred Compensation Plan

The City maintains an Employee Deferred Compensation Plan as a benefit to employees. As prescribed by the Plan documents, the Plan Administrator is authorized to invest Plan assets in a variety of investment products, which are held by the Plan Administrator, and not in the City’s name. At September 30, 2015 and during the year, Plan assets were invested in various mutual funds under a custodial account. The City has no fiduciary responsibility for these accounts; accordingly, they have not been reflected in the financial statements.

3. ACCOUNTS RECEIVABLE - NET

Accounts receivable at September 30, 2015 consists of the following: Solid General

General Nonmajor Utility Waste Insurance FundDescription Fund Governmental Fund Fund Nonmajor Fund TotalAccounts Receivable 516,188$ 46,003$ 282,486$ 107,006$ 30,892$ 982,575$ Unbilled Receivables - - 611,903 - - 611,903 Special Assessments 23,337 - - - - 23,337

539,525 46,003 894,389 107,006 30,892 1,617,815 Less: Allowance forUncollectibles (8,157) (14,000) (101,000) (18,000) - (141,157) Total Net Receivables 531,368$ 32,003$ 793,389$ 89,006$ 30,892$ 1,476,658$

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4. INTERFUND ACCOUNTS

Individual interfund receivables, payables and transfers at September 30, 2015 are as follows:

Due From Due To Advances to Advances FromOther Funds Other Funds Other Funds Other Funds

Major Funds:General Fund 13,590$ 369,089$ 10,344,595$ -$ CRA - - - 13,128,726 Utility Fund 24,143 23,672 1,896,455 - Solid Waste Fund 45,369 - - -

Nonmajor Governmental Funds 328,767 19,358 1,353,485 465,809 Internal Service Fund 250 - - -

611,649$ 611,649$ 13,594,535$ 13,594,535$

The Due to Other Funds balances reported in the fund financial statements typically represent amounts with an offsetting Due from Other Funds in the General Fund as a result of the use of a pooled cash accounts payable system. The Advances to Other Funds reported in the General Fund reflects funding provided to the Fire Impact Fee Fund for the construction of a fire station west of I-4 and to the CRA for funding of operating expenses and capital projects expected to be financed with external financing or repaid with tax increment revenue in future years. The CRA has also received advances from the Parks Impact Fee Fund and Road Impact Fee Fund which are expected to be repaid with tax increment revenue. The majority of the Utilities Fund advance relates to the sale of real estate to the CRA and is expected to be repaid with tax increment revenue.

Transfers TransfersFund In Out Purpose

General Fund 308,000$ 199,530$ Transfer in from Solid Waste fund & transfer out to CRA fund per approved budget, for franchise fee and cover admin expenses, respectively

CRA Fund 199,530 - Transfer in from General Fund per approved budget, to cover admin expensesSolid Waste Fund - 308,000 Transfer out to General Fund per approved budget

507,530$ 507,530$

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5. CAPITAL ASSETS

A. Changes in Capital Assets

The following show the changes in capital assets by governmental activities and business-type activities for the Utility Fund. Also shown is a summary of depreciation expense by function:

Governmental Activities: Beginning Ending

Balance BalanceGovernmental Activities 10/1/2014 Increases Decreases 9/30/2015

Capital Assets, Not Being Depreciated:Land 11,869,722$ -$ -$ 11,869,722$ Construction In Progress 3,875,780 909,427 2,851,686 1,933,521

Total Capital Assets, Not Being Depreciated 15,745,502 909,427 2,851,686 13,803,243

Capital Assets, Being Depreciated:Buildings 21,822,383 32,364 2,650 21,852,097 Improvements other than Buildings 4,870,015 100,992 54,075 4,916,932 Machinery, Equipment and Vehicles 12,486,109 1,421,853 1,970,778 11,937,184 Infrastructure 23,496,398 3,394,459 - 26,890,857

Total Capital Assets Being Depreciated 62,674,905 4,949,668 2,027,503 65,597,070

Less Accumulated Depreciation For:Buildings (5,577,343) (617,011) 2,650 (6,191,704) Improvements other than Buildings (3,138,275) (202,791) 54,075 (3,286,991) Machinery, Equipment and Vehicles (8,489,526) (1,056,027) 1,899,778 (7,645,775) Infrastructure (5,260,629) (950,806) - (6,211,435)

Total Accumulated Depreciation (22,465,773) (2,826,635) 1,956,503 (23,335,905)

Total Capital Assets, Being Depreciated, Net 40,209,132 2,123,033 71,000 42,261,165

Governmental Activities Capital Assets, Net 55,954,634$ 3,032,460$ 2,922,686$ 56,064,408$

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5. CAPITAL ASSETS (Continued)

Business-type Activities: Beginning Ending

Balance BalanceBusiness-type Activities 10/1/2014 Increases Decreases 9/30/2015Utility FundCapital Assets, Not Being Depreciated:

Land 951,308$ -$ -$ 951,308$ Construction In Progress 950,107 371,069 617,407 703,769

Total Capital Assets, Not Being Depreciated 1,901,415 371,069 617,407 1,655,077

Capital Assets, Being Depreciated or Amortized:Sewer Capacity Rights 6,769,603 - - 6,769,603 Buildings and Improvements 2,130,858 302,175 7,067 2,425,966 Machinery, Equipment and Vehicles 16,919,452 1,136,024 626,154 17,429,322

Total Capital Assets, Being Depreciated 25,819,913 1,438,199 633,221 26,624,891

Less Accumulated Depreciation and Amortization For:Sewer Capacity Rights (5,012,267) (106,758) - (5,119,025) Buildings and Improvements (577,238) (123,825) 7,067 (693,996) Machinery, Equipment and Vehicles (9,995,517) (461,285) 524,832 (9,931,970)

Total Accumulated Depreciation (15,585,022) (691,868) 531,899 (15,744,991)

Total Capital Assets, Being Depreciated Or Amortized, Net 10,234,891 746,331 101,322 10,879,900

Utility Fund Capital Assets, Net 12,136,306$ 1,117,400$ 718,729$ 12,534,977$

Depreciation and Amortization Expense By Function

Governmental Activities:General Government 259,337$ Public Safety 1,126,774 Physical Environment 303,458 Transportation 292,337 Culture/Recreation 844,729 Total Governmental Activities 2,826,635$

Business-type Activities:Utility Fund 691,868$

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5. CAPITAL ASSETS (Continued)

B. Net Capital Assets

The following is a summary of net capital assets as shown on the government-wide statement of net position:

Governmental Business-typeActivities Activities Total

Land 11,869,722$ 951,308$ 12,821,030$ Sewer Capacity Rights - 6,769,603 6,769,603 Buildings and Improvements 21,852,097 2,425,966 24,278,063 Improvements other than Buildings 4,916,932 - 4,916,932 Machinery, Equipment and Vehicles 11,795,184 17,429,322 29,224,506 Infrastructure 26,890,857 - 26,890,857 Construction in Progress 1,933,521 703,769 2,637,290

79,258,313$ 28,279,968$ 107,538,281$ Less:Accumulated Depreciation and Amortization (23,335,905) (15,744,991) (39,080,896)

Capital Assets - Net 55,922,408$ 12,534,977$ 68,457,385$

6. LONG-TERM LIABILITIES

A. A summary of changes in long-term liabilities is as follows:

Balance Balance Due Within 10/1/2014 Additions Reductions 9/30/2015 One Year

Governmental Activities:Bonds Payable:

Limited Tax GO Loan 11,970,000$ -$ (435,000)$ 11,535,000$ 455,000$ CRA Revenue Bonds 13,250,000 - (13,250,000) - - CRA Revenue Loan - 13,485,000 - 13,485,000 325,000

25,220,000 13,485,000 (13,685,000) 25,020,000 780,000 Less bond discount (32,195) - 32,195 - -

Total Bonds Payable 25,187,805 13,485,000 (13,652,805) 25,020,000 780,000 Compensated Absences 968,409 841,332 (819,855) 989,886 163,233 Accrued General Pension Costs 575,243 273,216 - 848,459 - Accrued Police & Fire Pension Costs 4,485,899 2,509,521 - 6,995,420 - Other Post Employment Benefits 9,855,883 690,842 - 10,546,725 -

Governmental ActivitiesLong-term Liabilities 41,073,239$ 17,799,911$ (14,472,660)$ 44,400,490$ 943,233$

Business-type Activities:Utility Revenue Loan -$ 10,000,000$ -$ 10,000,000$ 325,000$ Other Post Employment Benefits 895,989 42,724 - 938,713 - Accrued General Pension Costs 38,808 18,432 - 57,240 - Compensated Absences 52,184 33,255 (32,606) 52,833 9,401

Business-type ActivitiesLong-term Liabilities 986,981$ 10,094,411$ (32,606)$ 11,048,786$ 334,401$

Compensated absences for governmental activities will be liquidated in future periods by the General Fund, Environmental Stormwater Fund and Community Redevelopment Agency. The Other Post-Employment Benefits and Pension Costs obligation will be liquidated in future periods by the General Fund.

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September 30, 2015

6. LONG-TERM LIABILITIES (Continued)

B. Bonds Payable

Limited Tax General Obligation Refunding Note, Series 2014

On September 3, 2014 the City secured an $11,970,000 limited tax general obligation note from TD Bank secured by a lien upon and pledge of the revenues received from the levy and collection of voted debt service millage not to exceed one-half of one mill (0.5 mills) per year on all the taxable property within the City. The millage rate for fiscal year 2015 was 0.39 mills. Proceeds of such tax are deposited, as received, into the Sinking Fund and applied solely for the purpose of paying the principal and interest as they become due. The note carries an interest rate of 3.15% and matures on July 1, 2034 and has annual principal and bi-annual interest payments. The note may be prepaid in whole or part on any date prior to September 3, 2024 with 2 Business Days notice and a “Prepayment Premium” of 1.00% of the principal balance being prepaid multiplied by the remaining term.

Proceeds from the Series 2014 issuance were used to refund the GO Bonds Series 2005 which were used for the construction of City Hall and Fire Station 45.

Community Redevelopment Agency Redevelopment Revenue Note, Series 2014

On November 4, 2014, the City secured a $13,485,000 Redevelopment Revenue loan from TD Bank secured by tax increment revenue and a covenant to budget and appropriate from any non-advalorem resources available. The loan carries an interest rate of 3.14%, has annual principal and bi-annual interest payment with a final maturity of July 1, 2034. Deposits to the restricted revenue account are required monthly in the amount of one sixth (1/6th) of the interest due on the next semi-annual interest payments date and one twelfth (1/12th) of the principal on the next principal date be deposited into a restricted revenue account. Funds in the restricted revenue account are to be continuously secured in the same manner as state and municipal deposits of funds are required to be secured by the Laws of the State of Florida.

The City has pledged, as security for the loan, to appropriate funds from the City’s General Fund should revenues from the CRA be insufficient to cover the debt service payments. The proceeds from the Series 2014 issuance were used to refund the CRA Bonds Series 2005 which were used for the construction of transportation improvements, stormwater and utility infrastructure related to the Downtown Maitland Master Plan Projects. For the current year, principal and interest paid and total tax incremental financing revenue was $503,757 and $664,189, respectively. Debt issuance costs related to the 2014 issue was $190,556.

Utility Revenue Note, Series 2015

The City has pledged future water customer revenues, net of specified operating expenses to repay $10 million in Utility Revenue loan issued August 25, 2015 from Hancock Bank. Proceeds from the loan will provide financing of certain utility improvements in the City, including but not limited to Lift Station 4 diversion ($1.5 million), Lift Station 1 ($2.3 million), Lift Station 6 ($1 million), Lift Station 4 ($700 thousand) Lift Station 6 force main ($3.6 million). The loan is payable solely from Utility customer net revenues and are payable through 2035. Annual principal and interest payments on the bonds are expected to require less than 80% of net revenues. Total principal and interest outstanding is disclosed below. There were no cash payments for principal and interest for the current year and total net revenues were $862,000.

The loan carries an interest rate of 2.77%, has annual principal and bi-annual interest payments with a final maturity of July 1, 2035. Deposits to the restricted revenue account are required monthly in the amount of one sixth (1/6th) of the interest due on the next semi-annual interest payments date and one twelfth (1/12th) of the principal on the next principal date be deposited into a restricted revenue account and secured as are required by the Laws of the State of Florida.

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September 30, 2015


The following is a schedule of these long term obligations of the City: Amount Amount Interest

Purpose of Issue Issued Outstanding RateGovernmental Activities:General Obligation Bonds:

Limited General Obligation Note Refund the General Obligation Bonds 11,970,000$ 11,535,000$ 3.15%Series 2014 Series 2005

Revenue BondsCommunity Redevelopment Agency Refund the CRA Redevelopment Bonds 13,485,000 13,485,000 3.14%

Redevelopment Revenue Loan Series 2005; related to DowntownSeries 2014 Maitland Master Plan Projects

Total Governmental Activities 25,020,000$

Business-type Activities:Utility Revenue Note Series 2015 Finance multiple utility improvements 10,000,000$ 10,000,000$ 2.77%

throughout the City according to Capital Improvement Plan

Total Business-type Activities 10,000,000$

C. Capitalized Interest

The following business-type activities capitalized a portion of the interest incurred during the construction phase of Projects assets.

TotalInterest

CapitalizedInterest

InterestExpense

Water system 7,481$ 7,481$ -$ Wastewater system 17,372 17,372 -

D. Debt Service Requirements

The following are the debt service requirements to maturity on the City’s limited tax general obligation and community redevelopment agency revenue bonds:

FiscalYear Principal Interest Principal Interest Total

2016 455,000 363,352 325,000 423,429 1,566,781 2017 465,000 349,020 360,000 413,224 1,587,244 2018 480,000 334,373 395,000 401,920 1,611,293 2019 500,000 319,252 435,000 389,517 1,643,769 2020 510,000 303,503 470,000 375,858 1,659,361

2021 - 2025 2,820,000 1,265,040 2,970,000 1,632,643 8,687,683 2026 - 2030 3,285,000 792,540 4,165,000 1,094,133 9,336,673 2031 - 2034 3,020,000 241,447 4,365,000 352,308 7,978,755

Total 11,535,000$ 3,968,527$ 13,485,000$ 5,083,032$ 34,071,559$

Governmental Activities:

Limited Tax General Obligation Note Series 2014

CRA Redevelopment Revenue Note Series 2014

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September 30, 2015


FiscalYear Principal Interest Total

2016 325,000 235,450 560,450 2017 395,000 267,998 662,998 2018 405,000 257,056 662,056 2019 415,000 245,837 660,837 2020 430,000 234,342 664,342

2021 - 2025 2,320,000 987,089 3,307,089 2026 - 2030 2,660,000 647,211 3,307,211 2031 - 2035 3,050,000 258,164 3,308,164

Total 10,000,000$ 3,133,147$ 13,133,147$

Business-type ActivitiesUtility Revenue Note Series 2015

E. Loan Covenants

The Utility Revenue Note, Series 2015, resolution provides for the following:

1. Rate Covenant: Maintain and collect fees, rates, rentals and other charges of the Utility System, which will always provide Net Revenues of the System sufficient to pay one hundred twenty-five percent (125%) of the Bond Service Requirement on outstanding debt service requirements for the applicable year.

2. 2015 Project Fund: The proceeds of the loan shall be deposited in a project account to be used to pay the costs of the utility projects.

3. Revenue Fund: All gross revenues of the Utility System, other than excluded items, shall be deposited into the Revenue Fund.

4. Bond Service Fund: Disposition of Revenues a. Interest Account: Deposit such sum sufficient to pay one-sixth (1/6th) of all interest coming

due on the next interest payment date. b. Principal Account: Deposit such sum sufficient to pay one-twelfth (1/12th) of the current

principal amount which will mature and become due. 5. Renewal, Replacement and Improvement Fund: The City shall deposit moneys from into the fund at

least equal to five percent (5%) of the Gross Revenues received during the immediately preceding Fiscal Year with a minimum balance of $200,000.

For the year ended September 30, 2015, the City generated sufficient Net Revenues from the Utility to comply with the 125% Rate Covenant (154%). Loan proceeds have been deposited into a Project Fund, all revenues are in the Utility Revenue Fund, subsequent Bond Service requirements were met and the City Restricted $200,000 of Net Position for Renewal and Replacement of the Utility System.

F. Advance Refunding

On November 4, 2014, the Community Redevelopment Agency, obtained a Community Redevelopment Revenue Refunding Bank Note, Series 2014 in the amount of $13,485,000. The debt is considered extinguished in an in-substance defeasance and, accordingly, is not reflected in the accompanying financial statements. On July 1, 2015, the escrow agent paid off the bondholders and at September 30, 2015, the outstanding amount of the refunded debt was $0. This refunding transaction was undertaken to achieve net present value savings of $1,737,927 and reduce future debt service payments by $2,768,929.

The reaquisition price exceeded the net carrying amount of the old debt by $175,598 and is combined with the unamortized bond discount of $32,195 for a total of $207,793 of deferred outflows included on the Statement of Net Position.

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September 30, 2015


G. Prior Year Defeasance of Debt

In the prior year, the City defeased General Obligation bonds by placing the proceeds of the new bank loan in an irrevocable trust account to provide for all future debt service payments on the old bonds. At September 30, 2015, there were no outstanding defeased bonds remaining.

7. PENSION OBLIGATIONS

A. Employee 401(a) Defined Contribution Pension Plan

The City contributes to the General Employees’ Money Purchase Plan (GEMPP), a defined contribution pension plan, under section 401(a) of the Internal Revenue Code, for its general, full-time employees hired on or after January 1, 1996. GEMPP is administered by the International City Managers’ Association Retirement Corporation.

Benefit terms, including contribution requirement, for GEMPP are established and may be amended by the City Council. The current plan was adopted by City Ordinance No, 889. Under this plan, the City is required to contribute six percent (6%) of each eligible employee’s salary. For the year ended September 30, 2015, the City recognized pension expense of $226,019.

Employees are fully vested after a period of five years. As of September 30, 2015 there were 89 active employees participating in the plan. Nonvested City contributions are forfeited upon termination of employment. Such forfeitures are used to reduce funding requirements in future years. For the year ended September 30, 2015, forfeitures reduced the City’s pension expense by $25,000 and as of the end of September 30, 2015, there was approximately $158,000 in forfeitures available to reduce future funding. The plan does not issue a separate financial report.

B. General Employees’ Florida Retirement System (FRS) Pension Plan

General Information - All full-time City employees hired prior to January 1, 1996, except for police officers and firefighters, participate in the Florida Retirement System (FRS). As provided by Chapters 121 and 112, Florida Statutes, the FRS provides two cost sharing, multiple employer defined benefit plans administered by the Florida Department of Management Services, Division of Retirement, including the FRS Pension Plan (“Pension Plan”) and the Retiree Health Insurance Subsidy (“HIS Plan”). Under Section 121.4501, Florida Statutes, the FRS also provides a defined contribution plan (“Investment Plan”) alternative to the FRS Pension Plan, which is administered by the State Board of Administration (“SBA”). As a general rule, membership in the FRS is compulsory for all employees working in a regularly established position for a state agency, county government, district school board, state university, community college, or a participating city or special district within the State of Florida. The FRS provides retirement and disability benefits, annual cost-of-living adjustments, and death benefits to plan members and beneficiaries. Benefits are established by Chapter 121, Florida Statutes, and Chapter 60S, Florida Administrative Code. Amendments to the law can be made only by an act of the Florida State Legislature.

The State of Florida annually issues a publicly available financial report that includes financial statements and required supplementary information for the FRS. The latest available report may be obtained by writing to the State of Florida Division of Retirement, Department of Management Services, P.O. Box 9000, Tallahassee, Florida 32315-9000, or from the Web site: www.dms.myflorida.com/workforce_operations/retirement/publications.

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September 30, 2015

7. PENSION OBLIGATIONS - (FRS) (continued)

As of the release of the City’s financial statements, the June 30, 2015 financial statements were generally available, however, due to the complexity of the FRS plan, the FRS Plan’s audited “Schedules of Employer Allocations and Pension Amounts by Employer For the Florida Retirement System Pension Plan and the Retiree Health Insurance Subsidy Program Cost-Sharing Multiple Employer Defined Benefit Pension Plan” for the fiscal year ended June 30, 2015; required to develop all the FRS 2015 GASB 68 disclosures, were not available. The City reviewed the prior “Schedules of Employer Allocations and Pension Amounts by Employer For the Florida Retirement System Pension Plan and the Retiree Health Insurance Subsidy Program Cost-Sharing Multiple Employer Defined Benefit Pension Plan For the Fiscal Year Ended June 30, 2014” and determined the City’s proportional change from 2014 to 2015, to not be material to the overall financial statements of the City. The City’s “Proportionate Share of Net Pension Liability” as of June 30, 2015, using the June 30, 2014 Proportion of 0.003768260% is $486,721.

Plan Description – The Pension Plan is a cost-sharing multiple-employer defined benefit pension plan, with a Deferred Retirement Option Program (“DROP”) for eligible employees.

Benefits Provided - Benefits under the Pension Plan are computed on the basis of age, average final compensation, and service credit. For Pension Plan members enrolled before July 1, 2011, Regular class members who retire at or after age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 1.6% of their final average compensation based on the five highest years of salary, for each year of credited service. Vested members with less than 30 years of service may retire before age 62 and receive reduced retirement benefits. Special Risk Administrative Support class members who retire at or after age 55 with at least six years of credited service or 25 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 1.6% of their final average compensation based on the five highest years of salary, for each year of credited service. Special Risk class members (sworn law enforcement officers, firefighters, and correctional officers) who retire at or after age 55 with at least six years of credited service, or with 25 years of service regardless of age, are entitled to a retirement benefit payable monthly for life, equal to 3.0% of their final average compensation based on the five highest years of salary for each year of credited service. Senior Management Service class members who retire at or after age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 2.0% of their final average compensation based on the five highest years of salary for each year of credited service. Elected Officers’ class members who retire at or after age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a retirement benefit payable monthly for life, equal to 3.0% (3.33% for judges and justices) of their final average compensation based on the five highest years of salary for each year of credited service.

For Plan members enrolled on or after July 1, 2011, the vesting requirement is extended to eight years of credited service for all these members and increasing normal retirement to age 65 or 33 years of service regardless of age for Regular, Senior Management Service, and Elected Officers’ class members, and to age 60 or 30 years of service regardless of age for Special Risk and Special Risk Administrative Support class members. Also, the final average compensation for all these members will be based on the eight highest years of salary.

As provided in Section 121.101, Florida Statutes, if the member is initially enrolled in the Pension Plan before July 1, 2011, and all service credit was accrued before July 1, 2011, the annual cost-of- living adjustment is three percent per year. If the member is initially enrolled before July 1, 2011, and has service credit on or after July 1, 2011, there is an individually calculated cost-of-living adjustment. The annual cost-of-living adjustment is a proportion of three percent determined by dividing the sum of the pre-July 2011 service credit by the total service credit at retirement multiplied by three percent. Plan members initially enrolled on or after July 1, 2011, will not have a cost-of-living adjustment after retirement.

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September 30, 2015

7. PENSION OBLIGATIONS - (FRS) (continued) In addition to the above benefits, the DROP program allows eligible members to defer receipt of monthly retirement benefit payments while continuing employment with a FRS employer for a period not to exceed 60 months after electing to participate. Deferred monthly benefits are held in the FRS Trust Fund and accrue interest. There are no required contributions by DROP participants.

Contributions – Effective July 1, 2011, all enrolled members of the FRS, other than DROP participants, are required to contribute three percent of their salary to the FRS. In addition to member contributions, governmental employers are required to make contributions to the FRS based on state-wide contribution rates established by the Florida Legislature. These rates are updated as of July 1 of each year. The employer contribution rates by job class for the periods from October 1, 2014 through June 30, 2015 and from July 1, 2015 through September 30, 2015, respectively, were as follows: Regular—7.37% and 7.26%; Special Risk Administrative Support—42.07% and 32.95%; Special Risk—19.82% and 22.04%; Senior Management Service—21.14% and 21.43%; and DROP participants—12.28% and 18.75%. These employer contribution rates include 1.20% and 1.26% HIS Plan subsidy for the periods October 1, 2014 through June 30, 2015 and from July 1, 2015 through September 30, 2015, respectively.

The City’s contributions to the Pension Plan was approximately $57,000 for the fiscal year ended September 30, 2015.

Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions – At September 30, 2015, the City reported a liability of $486,721 for its proportionate share of the Pension Plan’s net pension liability. The net pension liability was measured as of June 30, 2015, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of July 1, 2015. The City’s proportionate share of the net pension liability was based on the City’s 2013-14 fiscal year contributions relative to the 2013-14 fiscal year contributions of all participating members. At June 30, 2014, the City's proportionate share was 0.003768260 percent, which was an increase (decrease) of 0.000098853 percent from its proportionate share measured as of June 30, 2013.

For the fiscal year ended September 30, 2015, the City recognized total pension expense of $68,678. In addition the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources:

Description

Deferred Outflows of Resources

Deferred Inflows of Resources

Differences between expected and actual experience $ - $ 14,228 Change of assumptions 39,818 - Net difference between projected and actual

earnings on FRS pension plan investments - 383,543

Changes in proportion and differences between City FRS contributions and proportionate share of FRS contributions

14,316 City FRS contributions subsequent to the

measurement date 75,728 -

$ 115,546 $ 412,087

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September 30, 2015


The deferred outflows of resources related to the Pension Plan, totaling $75,728 resulting from City contributions to the Plan subsequent to the measurement date, will be recognized as a reduction of the net pension liability in the fiscal year ended September 30, 2016. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to the Pension Plan will be recognized in pension expense as follows:

Reporting Period Ending September 30, FRS 2016 $ (93,563) 2017 (93,563) 2018 (93,563) 2018 (93,563) 2020 496 Thereafter 1,487 Total $ (372,269)

Actuarial Assumptions – The total pension liability in the June 30, 2015 actuarial valuation was determined using the following actuarial assumption, applied to all period included in the measurement:

Inflation .............................................. 2.60 % Salary increases .............................. 3.25%, average, including inflation Investment rate of return .......... 7.65%, net of pension plan investment expense, including inflation

Mortality rates were based on the Generational RP-2000 with Projection Scale BB tables.

The actuarial assumptions used in the July 1, 2015, valuation were based on the results of an actuarial experience study for the period July 1, 2008 through June 30, 2013.

The long-term expected rate of return on Pension Plan investments was not based on historical returns, but instead is based on a forward-looking capital market economic model. The allocation policy’s description of each asset class was used to map the target allocation to the asset classes shown below. Each asset class assumption is based on a consistent set of underlying assumptions and includes an adjustment for the inflation assumption. The target allocation and best estimates of arithmetic and geometric real rates of return for each major asset class are summarized in the following table:

CompoundAnnual Annual

Target Arithmetic (Geometric) StandardAsset Class Allocation (1) Return Return Deviation

Cash 1.00% 3.11% 3.10% 1.65%Intermediate-Term Bonds 18.00% 4.18% 4.05% 5.15%High Yeld Bonds 3.00% 6.79% 6.25% 10.95%Broad US Equities 26.50% 8.51% 6.95% 18.90%Developed Foreign Entities 21.20% 8.66% 6.85% 20.40%Emerging Market Equities 5.30% 11.58% 7.60% 31.15%Private Equity 6.00% 11.80% 8.11% 30.00%Hedge Funds/Absolute Return 7.00% 5.81% 5.35% 10.00%Real Estate (Property) 12.00% 7.11% 6.35% 13.00%

Total 100.00%

Assumed Inflation - Mean 2.60% 2.00%(1) As outlined in the Pension Plan's investment policy

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September 30, 2015


Discount Rate - The discount rate used to measure the total pension liability was 7.65%. The Pension Plan’s fiduciary net position was projected to be available to make all projected future benefit payments of current active and inactive employees. Therefore, the discount rate for calculation the total pension liability is equal to the long-term expected rate of return.

Sensitivity of the City’s Proportionate Share of the Net Position Liability to Changes in the Discount Rate - The following represents the City’s proportionate share of the net pension liability calculated using the discount rate of 7.65%, as well as what the City’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is one percentage point lower (6.65%) or one percentage point higher (8.65%) than the current rate:

1% Decrease 6.65%

Current Discount Rate

7.65% 1% Increase

8.65%

City’s Net Pension Liability $ 2,081,770 $ 486,721 $ (840,056)

Pension Plan Fiduciary Net Position - Detailed information regarding the Pension Plan’s fiduciary net position is available in the separately issued FRS Pension Plan and Other State-Administered Systems Comprehensive Annual Financial Report.

Payables to the Pension Plan - At September 30, 2015, the City did not have any outstanding payables to the FRS Plan.

C. General Employees Retiree Health Insurance Subsidy (HIS) Program

Plan Description – The HIS Plan is a cost-sharing multiple-employer defined benefit pension plan established under Section 112.363, Florida Statutes, and may be amended by the Florida legislature at any time. The benefit is a monthly payment to assist retirees of State-administered retirement systems in paying their health insurance costs and is administered by the Florida Department of Management Services, Division of Retirement.

Benefits Provided – For the fiscal year ended September 30, 2015, eligible retirees and beneficiaries received a monthly HIS payment of $5 for each year of creditable service completed at the time of retirement, with a minimum HIS payment of $30 and a maximum HIS payment of $150 per month. To be eligible to receive these benefits, a retiree under a State-administered retirement system must provide proof of health insurance coverage, which may include Medicare.

As of the release of the City’s financial statements, the June 30, 2015 financial statements were generally available, however, due to the complexity of the HIS plan, the HIS Plan’s audited “Schedules of Employer Allocations and Pension Amounts by Employer For the Florida Retirement System Pension Plan and the Retiree Health Insurance Subsidy Program Cost-Sharing Multiple Employer Defined Benefit Pension Plan” for the fiscal year ended June 30, 2015; required to develop all the FRS 2015 GASB 68 disclosures, were not available. The City reviewed the prior “Schedules of Employer Allocations and Pension Amounts by Employer For the Florida Retirement System Pension Plan and the Retiree Health Insurance Subsidy Program Cost-Sharing Multiple Employer Defined Benefit Pension Plan For the Fiscal Year Ended June 30, 2014” and determined the City’s proportional change from 2014 to 2015, to not be material to the overall financial statements of the City. The City’s “Proportionate Share of Net Pension Liability” as of June 30, 2015, using the June 30, 2014 Proportion of 0.004108257% is $392,499.

Contributions – The HIS Plan is funded by required contributions from FRS participating employers as set by the Florida Legislature. Employer contributions are a percentage of gross compensation for all active FRS members. For the fiscal year ended September 30, 2015, the HIS contribution for the period October 1, 2014 through June 30, 2015 and from July 1, 2015 through September 30, 2015 was 1.20% and

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September 30, 2015

7. PENSION OBLIGATIONS - (HIS) (continued)

1.26%, respectively. The City contributed 100% of its statutorily required contributions for the current and preceding three years. HIS Plan contributions are deposited in a separate trust fund from which payments are authorized. HIS Plan benefits are not guaranteed and are subject to annual legislative appropriation. In the event legislative appropriation or available funds fail to provide full subsidy benefits to all participants, benefits may be reduced or cancelled.

The City’s contributions to the HIS Plan was approximately $12,000 for the fiscal year ended September 30, 2015.

Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions – At September 30, 2015, the City reported a liability of $418,978 for its proportionate share of the HIS Plan’s net pension liability. The net pension liability was measured as of June 30, 2015, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of July 1, 2015. The City’s proportionate share of the net pension liability was based on the City’s 2013-14 fiscal year contributions relative to the 2013-14 fiscal year contributions of all participating members. At June 30, 2014, the City's proportionate share was 0.004108257 percent, which was a decrease of 0.000406572 percent from its proportionate share measured as of June 30, 2013.

For the fiscal year ended September 30, 2015, the City recognized pension expense of $11,741. In addition the City reported deferred outflows of resources and deferred in flows of resources related to pensions from the following sources:

Description


Deferred Inflows of Resources

Change of assumptions $ 13,669 $ - Net difference between projected and actual

earnings on HIS pension plan investments 184

- Changes in proportion and differences between City

HIS contributions and proportionate share of contributions

30,481 City HIS contributions subsequent to the

measurement date 5,681

- $ 19,534 $ 30,481

The deferred outflows of resources related to the HIS Plan, totaling $15,015 resulting from City contributions to the HIS Plan subsequent to the measurement date, will be recognized as a reduction of the net pension liability in the fiscal year ended September 30, 2016. Other amounts reported as deferred outflows of resources and deferred inflows of resources related to the HIS Plan will be recognized in pension expense as follows:

Reporting Period Ending September 30, HIS 2016 $ (2,702) 2017 (2,702) 2018 (2,702) 2018 (2,702) 2020 (2,647) Thereafter (3,173) Total $ (16,628)

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September 30, 2015

7. PENSION OBLIGATIONS - (HIS) (continued)

Actuarial Assumptions – The total pension liability in the July 1, 2015, actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement:

Inflation .............................................. 2.60 % Salary increases .............................. 3.25%, average, including inflation Municipal bond rate ..................... 4.29 %

Mortality rates were based on the Generational RP-2000 with Projection Scale BB tables.

The actuarial assumptions used in the July 1, 2015, valuation were based on the results of an actuarial experience study for the period July 1, 2008 through June 30, 2013.

Discount Rate - The discount rate used to measure the total pension liability was 3.80%. In general, the discount rate for calculating the total pension liability is equal to the single rate equivalent to discounting at the long-term expected rate of return for benefit payments prior to the projected depletion date. Because the HIS benefit is essentially funded on a pay-as-you-go basis, the depletion date is considered to be immediate, and the single equivalent discount rate is equal to the municipal bond rate selected by the HIS Plan sponsor. The Bond Buyer General Obligation 20-Bond Municipal Bond Index was adopted as the applicable municipal bond index.

Sensitivity of the City’s Proportionate Share of the Net Position Liability to Changes in the Discount Rate - The following represents the City’s proportionate share of the net pension liability calculated using the discount rate of 3.80%, as well as what the City’s proportionate share of the net pension liability would be if it were calculated using a discount rate that is one percentage point lower (2.80%) or one percentage point higher (4.80%) than the current rate:

1% Decrease 2.80%


3.80% 1% Increase

4.80%

City’s Net Pension Liability $ 477,406 $ 418,978 $ 370,258

Pension Plan Fiduciary Net Position - Detailed information regarding the HIS Plan’s fiduciary net position is available in the separately issued FRS Pension Plan and Other State-Administered Systems Comprehensive Annual Financial Report.

Payables to the Pension Plan - At September 30, 2015, the City did not have any outstanding payables to the HIS Plan.

The State of Florida issues a publicly available financial report that includes financial statements and required supplementary information for the FRS. The report may be obtained by writing to the State of Florida, Division of Retirement, Cedars Executive Center, 2639 North Monroe Street, Building C, Tallahassee, Florida 32299-1560.

C. Municipal Police Officers’ and Firefighters’ Pension Trust Fund (MPF)

General Information – All of the City’s sworn Police Officers and Firefighters participate in the City of Maitland Police Officers’ and Firefighters’ Pension Plan (the “Plan”). The City administers the single employer, defined benefit pension plan for the benefit of its police officers and firefighters. The Municipal Police Officers’ and Firefighters’ Pension Trust Fund (the “Plan”) was created by City Ordinance No 564, on October 1, 1980 in a merger approved by the State of Florida of two pre-existing pension funds. The Florida Division of Retirement reviews and approves each local government’s actuarial report prior to its being appropriated for use for funding purposes. Future amendments to the plan provisions can be authorized by City ordinance upon recommendation from the Board of Trustees of the Plan, and upon receipt of an actuarial impact report as to the costs and actuarial soundness of such changes.

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September 30, 2015

7. PENSION OBLIGATIONS - (MPF) (continued)

Plan Administration – Management and oversight of the Plan is vested in the City of Maitland Police Officers’ and Firefighters’ Pension Board of Trustees, which consists of nine members. consist of a non-elected member of the city’s senior management staff duly appointed by city council to serve as a member of the board of trustees, the chief of the fire department; the chief of the police department; two (2) firefighters of the City to be elected by a majority of the firefighters whose names appear on the rolls as members of this plan; two (2) police officers of the City to be elected by a majority of the police officers whose names appear on the rolls as members of this plan; and two (2) legal residents of the City to be appointed by the City Council.

Benefits Provided – The Plan provides retirement, termination, disability and death benefits. Normal retirement is computed on the basis of the earlier of: 1) Age 55 with 10 years of Credited Service, 2) Age 45 with 20 years of Credited Service, or 3) attainment of 20 years of Credited Service, regardless of Age, for Members who elected to make additional Member contributions. Upon full retirement, eligible employees will receive 3.0% of Average Final Compensation times Credited Service. For early retirement, of those who meet the threshold of age 50 with 10 years of Credited Service receive the accrued benefit, reduced 2.5% per year that the benefit commencement date precedes age 55. The vesting schedule is 50% after 5 years of Credited Service, then 10% for each additional year until 100% after 10 years of Credited Service. Member will receive the vested portion of his (her) accrued benefit payable at the Early (reduced) or Normal Retirement Date.

Disability benefits are computed for Service Incurred Covered from Date of Employment or Non-Service Incurred 10 years of Credited Service. The Member will receive accrued to date of disability but not less than 60% of Average Final Compensation (25% for Non-Service Incurred).

Death benefits are provided to beneficiaries and shall be entitled to a refund of one hundred (100) percent without interest of the contributions made as a lump sum benefit. If a member dies prior to retirement but has at least ten (10) years of contributing service, his beneficiary is entitled to the benefits otherwise payable to the member at early or normal retirement age.

In addition, the City has established a Chapter 175/185 Share Account plan benefit. Ordinance 1169 established a Share Plan for all Active Members, DROP Members, and Retirees. Premium tax monies received from the State of Florida in excess of the base amount is allocated annually to each individual Share Account based on Credited Service, determined as of September 30 (determined as of their date of termination for Retirees). The Share plan accrues interest based on net rate of investment return realized by the Plan for the preceding Plan Year. Members who terminate employment with less than 10 years of Credited Service forfeit their Share but, active and DROP Members with 10 or more years of Credited Service will be paid a lump sum upon separation from service. Retired Members are paid their allocation each year.

Employees Covered by Benefit Terms – At September 30, 2015, the following employees were covered by the terms: Inactive employees or beneficiaries currently receiving benefits 71 Inactive employees entitled to but not yet receiving benefits 11 Active employees 86 168

Contributions – At the beginning of the year, Plan Members were required to contribute 4.7% of pensionable annual salary. On March 9, 2015, the plan was amended, which increased the contribution rates for all members according to the following schedule:

Date Rate Increase 04/1/2015 1.00% 10/1/2015 2.00% 10/1/2016 and beyond 3.00%

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September 30, 2015


The actuarially determined employer/state contribution for the year ended September 30, 2015, computed through an actuarial valuation using data as of October 1, 2014 was $1,525,704. The payroll for employees covered by the Plan for the year ended September 30, 2015 was $4,998,325. The City received $344,474 in insurance premium taxes from the State of Florida, $165,317 (3.1% of current covered payroll) was subsequently included in the City’s required contributions of $1,525,704 (30.5% of current covered payroll) and the balance of $179,157 was transferred to the Share Plan to be distributed to members via the members’ share plan. The on-behalf payments are recognized as revenues and expenditures in the Police and Firefighters’ Premium Tax special revenue fund. Employees contributed $278,092 (5.25% of covered payroll).

On October 1, 1998, the Plan was amended to allow for members to be eligible for retirement after 20 years of aggregate service, regardless of age. Employees electing this option contribute an additional amount as determined by the actuarial cost of the benefit. Additionally, the Plan enacted the Deferred Retirement Option Plan (DROP) that allows for a sixty (60) consecutive month period in which a member may maintain employment with the City after separation as an active plan participant. The Plan disbursements are deferred and accumulate in the Pension Trust Fund, receiving interest at the net rate of investment return realized by the Plan for the preceding Plan Year (previous year’s rate of return was ten point two-seven percent [10.27%]). Upon entry into the DROP, the member’s contributions to the Plan cease, and upon termination of active employment the member takes possession of the Plan disbursements and the DROP assets. The DROP balance as of September 30, 2015 is $298,462.

Significant Accounting Policies – Investments are reported at fair value. Securities traded on a national or international exchange are valued at the last reported sales price at current exchange rates. Investments that do not have an established market are reported at estimated fair value.

Funding Policy - The funding methods and determinations of benefits payable are provided in the various acts of the Florida Legislature, which created the funds including the subsequent amendments thereto. Additional funding is provided by contributions from the State of Florida from property insurance premium taxes for fire (1.85% excise tax) and casualty insurance for police (0.85% premium tax) insurance policies written in the City and defined fire control district. The City is required under Chapters 175 and 185 Florida Statutes and City Ordinance #564, to contribute remaining amounts necessary to pay benefits when due. The Plan does not issue a separate financial report.

Investments - The pension plan’s policy in regard to the allocation of invested assets is established and may be amended by the Plan’s Board of Trustees. It is the policy of the Plan’s Board of Trustees to pursue an investment strategy that provides sufficient return to meet its actuarial assumptions without undue investment risk. The following is the adopted asset allocation policy and the best estimates of arithmetic real rates of return for each major asset class included in the pension plan's target asset allocation as of September 30, 2015 are summarized in the following table:

Target Asset Class Allocation Domestic equity 45% International equity 10% Domestic core fixed income 25% Global fixed income 5% Direct real estate 10% Alternate 5% Total 100%

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September 30, 2015


Rate of return – For the year ended September 30, 2015, the annual money-weighted rate of return on pension investments, net of pension plan investment expense, was 0.22 percent. The money-weighted rate of return expresses investment performance, net of investment expense, adjusted for the changing amounts actually invested.

Net Pension Liability – The components of the net pension liability of the Plan at September 30, 2015 was determined by an actuarial valuation as of October 1, 2015 based on an actuarial valuation dated January 8, 2016 were as follows:

Total pension liability $ 31,844,212 Plan fiduciary net position (24,848,792) Net pension liability $ 6,995,420

Plan fiduciary net position as a percentage of the total pension liability 78.03%

Actuarial Assumptions – The total pension liability as of October 1, 2014, updated to September30, 2015 using the following actuarial assumptions:

Inflation 3.00% Salary increases 5.00% - 6.50% Discount rate 7.75% Investment rate of return 7.75%

Mortality rates were based on the RP-2000 Table without projection, sex distinct. Disabled lives are set forward 5 years, based upon other studies of municipal Police Officers and Firefighters. The actuarial assumptions used in the October 1, 2014, valuation were based on the results of an actuarial experience study for the period 1984 through 2012.

The long-term expected rate of return on Pension Plan investments was not based on historical returns, but instead is based on a forward-looking capital market economic model. The allocation policy’s description of each asset class was used to map the target allocation to the asset classes shown below. Each asset class assumption is based on a consistent set of underlying assumptions and includes an adjustment for the inflation assumption. The target allocation and best estimates of arithmetic and geometric real rates of return for each major asset class are summarized in the following table:

Long-Term Expected Asset Class Real Rate of Return Domestic equity 7.5% International equity 8.5% Domestic core fixed income 2.5% Global fixed income 3.5% Direct real estate 4.5% Alternate 3.5%

Discount rate – The discount rate used to measure the total pension liability was 7.75 percent. The projection of cash flows used to determine the discount rate assumed that plan member contributions will be made at the current contribution rate and that sponsor contributions will be made at rates equal to the difference between actuarially determined contribution rates and the member rate. Based on those assumptions, the 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 benefit payments to determine the total pension liability.

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September 30, 2015


Changes in Net Pension Liability:

Total Pension Plan Net Net PensionLiability Position Liability

(a) (b) (a) - (b)Balances at 9/30/14 29,641,342$ 25,155,443$ 4,485,899$

Changes for the year:Service cost 754,873 - 754,873 Interest expense 2,326,369 - 2,326,369 Share plan allocation 179,157 - 179,157 Differences between expected and actual 344,970 - 344,970 Change in assumptions 488,989 - 488,989 Changes in benefit terms 730 - 730 Contributions - City - 996,504 (996,504) Contributions - State - 344,474 (344,474) Contributions - members - 262,538 (262,538) Contributions - buy back 6,260 6,260 - Net investment income - 56,709 (56,709) Benefits paid (1,898,478) (1,898,478) - Plan administrative expenses - (74,658) 74,658

Net changes 2,202,870 (306,651) 2,509,521

Balances at 9/30/15 31,844,212$ 24,848,792$ 6,995,420$

Increase (Decrease)

Sensitivity of the net pension liability to changes in the discount rate – The following presents the net pension liability of the City, calculated using the discount rate of 7.75 percent, as well as what the City’s net pension liability would be if it were calculated using a discount rate that is one (1) percentage-point lower (6.75 percent) or one (1)-percentage-point higher (8.75 percent) than the current rate adopted by the Plan’s board.

1% Decrease 6.75%


7.75% 1% Increase

8.75%

City’s Net Pension Liability $ 10,618,043 $ 6,995,420 $ 3,972,399

Pension Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions – For the year ended September 30, 2015; the City recognized pension expense of $1,570,844. On September 30, 2015 the City reported deferred outflows of resources and deferred inflows of resources related to pension from the following sources:

Description


Change of assumptions $ 366,742 Net difference between projected and actual

earnings on MPF pension plan investments 1,169,340

Differences between expected and actual experience 258,728 $ 1,794,810

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September 30, 2015


Amounts reported as deferred outflows of resources and deferred inflows of resources, excluding deferred contributions, related to pensions will be recognized in pension expense as follows:

Reporting Period Ending September 30, MPF 2016 $ 470,522 2017 470,522 2018 470.522 2018 383,244 2020 - Thereafter - Total $ 1,794,810

Payables to the Pension Plan - At September 30, 2015, the City did not have any outstanding payables to the MPF Plan.

8. POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS

Plan Description

The Other Post-employment Benefit Plan (“OPEB Plan”) is a single-employer benefit plan administered by the City. Retirees are charged whatever the insurance company charges for the type of coverage elected. However, the premiums charged by the insurance company are based on a blending of the experience among younger, active employees and older, retired employees. Since the older retirees actually have higher costs, it means that the City is subsidizing the cost of the retiree coverage because it pays all or a significant portion of that premium on behalf of the active employees. GASB No. 45 calls this the “implicit rate subsidy.” Retirees and their dependents hired by the City after September 30, 1990, are permitted to remain covered under the City’s respective medical and insurance plans, as long as they pay a full premium applicable to coverage elected. This conforms to the minimum required of Florida governmental employers per Ch. 112.08, F.S. Under City Resolution 16-90, the City contributes 50% of health benefit costs to retired employees who were employed by the City on September 30, 1990 and 100% of the health benefit costs to employees who retired prior to October 1, 1990. The OPEB Plan does not issue a stand-alone report. At September 30, 2015, there were 27 retired employees eligible to receive health benefits.

Funding Policy

For the OPEB Plan, contribution requirements of the City are established and may be amended through action of the City Council. Currently the OPEB’s benefits are unfunded. The required contributions are based on a pay-as-you-go financing requirement. There is no trust fund or equivalent arrangement into which the City would make contributions to advance-fund the obligation. Therefore, ultimate subsidies, which are provided over time, are financed directly by the general assets of the City, which are invested in accordance with the City’s investment policy. The interest rate used to calculate the present values and costs of OPEB must be the long-range expected return on those investments. The City selected an interest rate of 4% for this purpose.

Annual OPEB Cost and Net OPEB Obligation

The City’s annual OPEB cost (expense) is calculated based on the annual required contribution of the employer (“ARC”), and amount actuarially determined in accordance with the parameters of GASB No. 45. The ARC represents a level of funding that, if paid on an ongoing basis, is projected to cover normal costs each year and amortize any unfunded actuarial liabilities (or funding excess) over a period, not to exceed 30 years.

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September 30, 2015

8. POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (continued)

The following table shows the components of the City’s net obligation to the OPEB plan:

FY 2015

Valuation as of

10/1/2013

Normal cost (service cost for one year) $ 384,795 Amortization of UAAL 1,542,568 Interest on normal cost and amortization

-

Annual Required Contribution (ARC) 1,927,363 Interest on NOO 430,075 Adjustment to ARC (1,274,624) Annual OPEB Cost (expense) 1,082,814 Employer Contributions Made (349,248) Increase in NOO 733,566 Net OPEB obligation at beginning of year 10,751,872 Net OPEB obligation at end of year $ 11,485,438

Calculations are based upon the types of benefits provided under the OPEB Plan at the time of the valuation and on the pattern of sharing costs between the employer and plan members to that point. The City’s annual OPEB cost, the percentage of annual expected employer contribution toward OPEB cost, and the net OPEB obligation for 2015 and the preceding two years were as follows:

Employer

Percentage

Contributions

of Annual

Unfunded Fiscal Year

Annual

Toward

OPEB Cost

OPEB

Ended

OPEB Cost

OPEB Cost

Contributed

Obligation

9/30/2015

$ 1,082,814

$ 349,248

32.3%

$ 11,485,438 9/30/2014

1,065,652

318,372

29.9%

10,751,872

9/30/2013

1,360,557

324,739

23.9%

10,004,493

Funding Status and Funding Progress

As of October 1, 2013, the City’s OPEB Plan was unfunded. The actuarial accrued liability (“AAL”) for benefits was $12,268,637. Assets of the OPEB Plan are valued at market; however the current value is $0, resulting in an unfunded actuarial accrued liability (“UAAL”) of $12,268,637. The covered payroll (annual payroll of active employees covered by the OPEB Plan) was $9,945,931. The ratio of the UAAL to the covered payroll was 123.4%.

An actuarial valuation of an ongoing plan involves the use of estimates in determining the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment, termination, mortality, and healthcare cost trends. Amounts determined regarding the funded status of the OPEB Plan and ARC are subject to continued 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 financial statements, presents multi-year trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the AAL.

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September 30, 2015

8. POSTEMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (continued)

Actuarial Methods and Assumptions

In any long-term actuarial valuation, certain assumptions are made regarding the population, the investment discount rates, and benefits provided. The actuarial assumptions included healthcare cost trend rates of 7.5%, decreased annually to an ultimate rate of 5.0% in fiscal year 2024. The entry age actuarial cost method was used to determine all liabilities, with the liability for each employee assumed to accrue over his working lifetime based on elapsed time from date of hire until retirement. The amortization method is 10 year open period, level-dollar payment and the inflation rate is assumed to be 3.00%. The investment rate of return is estimated to be 4% and payroll is assumed to grow at 4%.

9. ENCUMBRANCES

Encumbrance reporting is utilized as an extension of formal budgetary integration for the General Fund, the CRA Fund, and Special Revenue funds. At September 30, 2015, certain amounts shown as restricted, committed or assigned for specific purposes have been in encumbered in the governmental funds and re-appropriated on October 1, 2015.

Significant encumbrances included in the governmental fund balances are as follows: Encumbrances included in: Restricted Committed Fund Fund Balance Balance General Fund $ - $ 1,508,317 CRA 26,203 - Nonmajor Governmental Funds 1,501,104 -

$ 1,527,307 $ 1,508,317

10. RISK MANAGEMENT

The City is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; errors and omissions; and natural disasters for which the City purchases commercial insurance. Settled claims have not exceeded this commercial coverage for any part of the past three years. There have been no significant reductions in insurance coverage during the current year, however effective October 1, 2009, the City transitioned from an all-lines aggregate, self-insured retention of $500,000 to a $250,000 self-insured retention program with Public Risk Management of Florida, Inc. Under the plan, the City retains risk on an aggregate claims per year basis as follows:

Type of Risk

Amount of Risk Retained by City

General Liability $ 100,000 Law Enforcement Liability $ 100,000 Automobile Liability $ 100,000 Public Officials Liability $ 100,000 Employment Practices Liability $ 100,000 Workers’ Compensation Liability $ 100,000

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September 30, 2015

10. RISK MANAGEMENT (continued)

Liabilities are recorded when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated. Claims liabilities are calculated considering the effects of inflation, recent claim settlement trends and other social and economic factors. These claims liabilities are included in accrued liabilities in the financial statements.

Changes in the balances of claims during the past three fiscal years are as follows:

Year Ended September 30,

2015

2014

2013

Unpaid claims, beginning of year $ 190,642

$ 76,926

$ 137,226 Incurred claims 338,072

329,522

149,591

Claim payments 364,971

215,806

209,891 Unpaid claims, end of year $ 163,743

$ 190,642

$ 76,926

Settled claims resulting from these risks have not exceeded insurance coverage in any of the past ten years. Premiums are paid into an internal service fund, the General Insurance Fund, and are available to pay insurance premiums, claims and other related costs. The City does not participate in any risk pools.

11. GOVERNMENTAL FUND BALANCES At September 30, 2015, the City’s governmental fund balances were as follows:

TotalGeneral Nonmajor Governmental

Fund Balances: Fund CRA Funds FundsNon spendable:

Advances to other funds 10,344,595$ -$ -$ 10,344,595$ Prepaids 8,236 - - 8,236

Restricted for:Debt service - - 61,278 61,278 Park expansion - - 2,377,539 2,377,539 Community revelopment - 26,203 - 26,203 Fire & emergency services - - 3,908 3,908 Law enforcement - - 952,324 952,324 Stormwater projects - - 2,313,384 2,313,384 Roadway improvements - - 1,264,775 1,264,775

Committed to:General government 26,749 - - 26,749 Planning & zoning 271,665 - - 271,665 Park programs 1,348 - - 1,348 Library 4,311 - - 4,311 Art & culture 35,369 - - 35,369 Beautification & arbor 42,546 - - 42,546 Fire & emergency supplies 59,158 - - 59,158 Law enforcement supplies 7,643 - - 7,643 Fleet vehicles & supplies 171,758 - - 171,758 Street & sidewalk repairs 887,770 - - 887,770

Assigned to:Employee benefits 158,373 - - 158,373 Subsequent year expenditures 1,073,731 - - 1,073,731 Space needs - - 319,607 319,607

Unassigned fund balance 15,045,299 (12,928,375) (465,809) 1,651,115 Total fund balance 28,138,551$ (12,902,172)$ 6,827,006$ 22,063,385$

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September 30, 2015

12. COMMITMENTS AND CONTINGENCIES

Iron Bridge - The City has entered into an inter-local agreement with the City of Orlando, Florida for participation in the regional sewage treatment plant at Iron Bridge. The City is funding a proportionate share of operations annually. On February 8, 2010, the City executed amendment VII to the agreement, which extended the inter-local agreement until March 31, 2037.

South Seminole-North Orange County Wastewater Transmission Authority - In connection with the Iron Bridge facility, the City also participates in the South Seminole - North Orange County Wastewater Transmission Authority (SSNOCWTA). SSNOCWTA is empowered to issue revenue bonds to provide for construction of transmission mains to the regional sewage treatment plant. The City is obligated to fund its proportionate share of the SSNOCWTA's operations and debt service on the basis of committed capacity. In addition, the City must reimburse the operators for a proportionate share of debt service coverage charges, depreciation reserve charges and maintenance and operating expenses of the plant and transmission lines. For the year ended September 30, 2015, the City's payments to SSNOCWTA were approximately $121,000, and $37,000, and $64,000, respectively.

13. CONSTRUCTION COMMITMENTS

At September 30, 2015, the City had construction commitments:

Contractor

Amount

Purpose Central FL Environmental $ 1,442,000 Independence Lane utility improvements Young’s Communications $ 1,398,000 Lift station #4 diversion Middlesex Corporation $ 392,000 City-wide paving Villages Construction $ 320,000 Lake Sybellia stormwater improvements Central FL Environmental

$ 284,000

Sunrail station boardwalk

Barracuda Building $ 112,000 Lake Sybellia/ Audubon stormwater improvements Central FL Environmental

$ 79,000

Minnehaha Road stormwater improvements

Lock and Door Specialist $ 71,000 Public Works facility security

14. RESTATEMENT

The City implemented GASB Statement No. 68 Accounting and Financial Reporting for Pensions. The objective of this statement is to improve accounting and financial reporting by state and local governments for pensions. This resulted in a direct decrease to net position of $5,838,443 for Governmental Activities and $57,705 for Business-type Activities Utility Fund.

15. LITIGATION

The City is subject to various disputes, legal proceedings and labor relations claims which arise in the normal course of its operations. In the opinion of management, the amount of ultimate liability with respect to these activities will not be material to the City’s financial condition.

16. SUBSEQUENT EVENTS

The City has evaluated subsequent events through the date of the independent auditor’s report, the date the financial statements were available to be issued.

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66

REQUIRED SUPPLEMENTAL INFORMATION

Budgetary Comparison Schedule – General Fund and Community Redevelopment Agency

Schedule of Funding Progress and Schedule of Contributions from –

Other Post Employment Benefits

Schedule of Changes in the City’s Net Pension Liability and Related Ratios – Municipal Police Officers’ and Firefighters Pension

Fund

Schedule of City Contributions – Municipal Police Officers’ and Firefighters Pension Fund

Schedule of Investment Returns – Municipal Police Officers’ and

Firefighters Pension Fund

67

Actual Variance withAmounts Final Budget

Budgeted Amounts (Budgetary PositiveOriginal Final Basis) (Negative)

Resources (inflows):Taxes

Property Taxes 7,825,526$ 7,825,526$ 7,829,650$ 4,124$ Utility Tax 2,380,750 2,305,050 2,286,454 (18,596) Communications Services Tax 1,400,000 1,357,000 1,362,996 5,996 Other Taxes 236,150 245,350 249,326 3,976

Licenses and Permits 640,251 692,821 726,109 33,288 Franchise Fees 2,153,000 2,085,400 2,074,718 (10,682) Intergovernmental

Sales Tax 2,390,000 2,383,000 2,428,525 45,525 Local Option Gas Tax 560,000 538,000 546,720 8,720 Other Intergovernmental 720,950 1,229,220 1,235,460 6,240

Charges for Services 1,229,310 1,325,688 1,354,869 29,181 Fines and Forfeitures 965,850 806,146 825,615 19,469 Investment Income 64,000 96,000 116,985 20,985 Miscellaneous Revenues 1,578,858 1,694,765 1,719,889 25,124 Transfers from Other Funds 308,000 308,000 308,000 -

Amounts available for appropriation 22,452,645 22,891,966 23,065,316 173,350

Charges to appropriations (outflows): General Government

City Council 38,725 37,293 36,573 720 City Clerk 161,075 161,251 160,241 1,010 City Manager 714,578 797,691 797,690 1 Communications 148,016 205,271 195,260 10,011 Information Technology 567,516 524,176 500,883 23,293 Financial Services 422,133 420,470 405,960 14,510 Citizens Services 188,024 192,644 185,386 7,258 Personnel Services 471,183 451,475 431,820 19,655 Office of Management and Budget 49,408 26,862 26,327 535 Public Relations 70,714 70,734 69,513 1,221 Planning and Zoning 684,467 919,049 627,078 291,971 Mapping & GIS 96,449 81,399 78,571 2,828 Fleet Maintenance 1,419,631 1,780,788 1,508,015 272,773

Total General Government 5,031,919 5,669,103 5,023,317 645,786 Public Safety

Police Administration 204,339 204,339 197,357 6,982 Police Operations 4,011,602 4,187,502 3,897,802 289,700 Police Support Services 1,584,034 1,452,485 1,396,974 55,511 Fire Administration 204,762 205,364 199,137 6,227 Emergency & Health Operations 4,396,875 4,656,762 4,545,157 111,605 Standards & Safety Assurance 443,855 450,455 408,160 42,295

Total Public Safety 10,845,467 11,156,907 10,644,587 512,320 Transportation

Public Works Administration 364,148 385,007 326,438 58,569 Building and Street Maintenance 2,116,326 2,019,353 1,294,098 725,255 Engineering - 7,036 - 7,036 Transportation Engineering 769,549 1,734,262 1,428,339 305,923

Total Transportation 3,250,023 4,145,658 3,048,875 1,096,783

Continued

For the Year Ended September 30, 2015General Fund

Budgetary Comparison ScheduleCity of Maitland, Florida

68



Culture & RecreationGrounds Maintenance 306,828$ 312,793$ 235,997$ 76,796$ Parks Administration 422,435 460,400 425,668 34,732 Community Park 238,617 239,717 220,092 19,625 Athletic Services 148,229 148,229 126,295 21,934 Seniors Services 58,915 58,767 53,174 5,593 Community Events 129,584 156,613 142,057 14,556 Parks Maintenance 1,708,152 1,676,683 1,590,392 86,291 Library 681,144 658,384 642,066 16,318 Art & History Assocation 414,637 384,942 347,538 37,404 Performing Arts of Maitland 56,500 56,500 56,500 -

Total Culture & Recreation 4,165,041 4,153,028 3,839,779 313,249 Transfers to Other Funds 397,078 397,078 199,530 197,548

Total charges to appropriations 23,689,528 25,521,774 22,756,088 2,765,686

Deficiency of Resources UnderCharges to Appropriations (1,236,883) (2,629,808) 309,228 (2,592,335)

Fund Balance - Beginning of Year 27,829,323 27,829,323 27,829,323 -

Fund Balance - End of Year 26,592,440$ 25,199,515$ 28,138,551$ (2,592,335)$

Explanation of Differences between Budgetary Inflows and Outflows and GAAP Revenues and Expenditures

Sources/inflows of resourcesActual amounts (budgetary basis) "available for appropriation" from

the budgetary comparison schedule. 23,065,316$ Differences - budget to GAAP:

Transfers from other funds are inflows of budgetary resources (308,000) Total revenues as reported on the statement of revenues, expenditures,

and changes in fund balances - governmental funds. 22,757,316$

Actual amounts (budgetary basis) "total charges to appropriations"from the budgetary comparison schedule. 22,756,088$

Differences - budget to GAAP: - Transfers to other funds are outflows of budgetary resources (199,530)

Total expenditures as reported on the statement of revenues,expenditures and changes in fund balances - governmental funds. 22,556,558$

Note: This schedule was prepared on a budgetary basis. The reconciliation between the budgetary basis and GAAP is explained below.

For the Year Ended September 30, 2015General Fund

Budgetary Comparison Schedule - ContinuedCity of Maitland, Florida

69



323,824$ 323,824$ 321,084$ (2,740)$ 346,039 346,039 343,105 (2,934)

Charges for Services - 23,591 519 (23,072) 500 500 1,783 1,283 - - - -

Bond Proceeds - - 13,485,000 13,485,000 224,685 224,685 199,530 (25,155)

895,048 918,639 14,351,021 13,432,382

224,685 233,759 124,163 109,596 - 70,411 44,208 26,203

842,756 842,756 694,313 148,443 - - 13,485,000 (13,485,000)

1,067,441 1,146,926 14,347,684 (13,200,758)

(172,393) (228,287) 3,337 231,624

(12,905,509) (12,905,509) (12,905,509) -

(13,077,902)$ (13,133,796)$ (12,902,172)$ 231,624$

the budgetary comparison schedule. 14,351,021$

Loan proceeds (13,485,000)

866,021$

14,347,684$

Refunded bond (13,485,000)

862,684$

Resources (inflows):

Deficiency of Resources UnderCharges to Appropriations

Fund Balance (Deficit) - End of Year

Amounts available for appropriationTransfers from Other Funds

Miscellaneous RevenuesInvestment Income

Intergovernmental

Total charges to appropriations

Debt ServiceCapital ImprovementsGeneral Government

Charges to appropriations (outflows):

Payment to refunded bond escrow agent

and GAAP Revenues and ExpendituresExplanation of Differences between Budgetary Inflows and Outflows

Fund Balance (Deficit) - Beginning of Year


Property Taxes

For the Year Ended September 30, 2015Community Redevelopment Agency

Budgetary Comparison ScheduleCity of Maitland, Florida

Actual amounts (budgetary basis) "total charges to appropriations"from the budgetary comparison schedule.

Differences - budget to GAAP:

Total expenditures as reported on the statement of revenues,expenditures and changes in fund balances - governmental funds.

Uses/outflows of resources

and changes in fund balances - governmental funds.Total revenues as reported on the statement of revenues, expenditures,

Differences - budget to GAAP:

Actual amounts (budgetary basis) "available for appropriation" from Sources/inflows of resources

70

ActuarialAccrued UAAL as a

Actuarial Actuarial Liability (AAL) Unfunded Percent ofValuation Value of Frozen AAL Funded Covered Covered Date (1) Assets Entry Age (UAAL) Ratio Payroll Payroll

10/1/13 -$ 12,268,637$ 12,268,637$ 0.0% 7,961,416$ 154.1%10/1/11 (3) - 12,916,511 12,916,511 0.0% 7,404,687 174.4%8/1/10 (2) - 27,179,000 27,179,000 0.0% 8,503,000 319.6%

PercentageFiscal Annual of Annual

Year Ended OPEB Amount OPEB Cost Net OPEBSeptember 30, Cost Contributed Contributed Obligation

2015 1,082,814$ 349,248$ 32.3% 11,485,438$ 2014 1,065,652 318,272 29.9% 10,751,872 2013 1,360,557 324,740 23.9% 10,004,492

NOTES TO SCHEDULE OF FUNDING PROGRESS

(2) Effective with the 8/1/10 valuation date, the following assumption changes were made: (a) assumed discount rate was decreased from 5% to 4%; (b) the annual healthcare inflation assumptions was increased from 9% with an ultimate rate of 6% to 10% with an ultimate rate of 5%; (c) the amount of the implied subsidy at age 60 has been increased from $1,189 annually to $2,400 annually for the employee and $1,800 for the employee's spouse; and (d) the assumed increase in medical costs per year was increased from 1.5% to 3%. The net effect was to increase the City's annual OPEB cost dramatically from the amount shown in the previous report, primarily due to the increased assumed subsidy.

(3) Actuarially assumed increases in the City's health insurance cost were significantly higher than actual increases, resulting in a reduction in the AAL for 2012.


SCHEDULE OF FUNDING PROGRESS

Other Post Employment Benefits (OPEB)Required Supplementary Schedule

SCHEDULE OF CONTRIBUTIONS FROM EMPLOYER

(1) The information presented in the required supplementary schedules was determined as part of the actuarial valuation at the dates indicated.

71


72

2015 2014 2013Total pension liability

Service cost 755$ 724$ 671$ Interest 2,326 2,239 2,162 Change in excess state money - - - Share plan allocation 179 182 - Changes of benefit terms 1 - - Difference between expected and actual experience 345 - - Changes of assumptions 489 - - Contributions - buy back 6 - - Benefit payments, including refunds of member contributions (1,898) (2,240) (1,576)

Net change in total pension liability 2,203 905 1,257 Total pension liability - beginning 29,641 28,736 27,479 Total pension liability - ending (a) 31,844$ 29,641$ 28,736$

Plan fiduciary net positionContributions - employer 997 1,178 1,412 Contributions - state 344 348 295 Contributions - member 263 250 229 Contributions - buy back 6 Net investment income 57 2,423 2,455 Benefit payments, including refunds of member contributions (1,898) (2,240) (1,576) Administrative expense (75) (77) (78) Other - - -

Net change in plan fiduciary net position (306) 1,882 2,737

Plan fiduciary net position - beginning 25,155 23,273 20,536 Plan fiduciary net position - ending (b) 24,849 25,155 23,273

City's net pension liability - ending (a) - (b) 6,995 4,486 5,463

Plan fiduciary net position as a percentage of the total 78.03% 84.87% 80.99%pension liability

Covered-employee payroll 4,998 5,321 4,867

City's net pension liability as a percentage of covered- 139.96% 84.31% 112.25%employee payroll

Notes to Schedule:

Date:April 1, 2015 to September 30, 2015 1.00%

October 1, 2015 to September 30, 2016 2.00%October 1, 2016 and beyond 3.00%

Therefore, the ultimate base member contribution rate will be 7.7%, effective October 1, 2016

* This schedule will include 10 years as information is available

Changes in assumptions - For the measurement year ending 09/30/2015 the investment rate of return has been lowered from 7.90% to 7.75% per year, net of investment related expenses.

Changes of benefit terms: In 2015, member contributions increasded based on the following schedule, which is applicable to all members.

Member Contribution Rate Increase


Schedules of Required Supplementary InformationSchedule of Changes in the City's Net Pension Liability and Related Ratios

Last 10 Years *(Dollar amounts in thousands)

Municipal Police Officers' and Firefighters' Pension Fund

73

2015 2014 2013 2012Actuarially determined contribution 1,137$ 1,343$ 1,578$ 1,347$ Contributions in relation to the

actuarially determined contributions 1,162 1,343 1,578 1,352 Contribution deficiency (Excess) (25)$ -$ -$ (5)$

Covered employee payroll 4,998 5,321 4,867 4,623 Contributions as a percentage of

covered employee payroll 23.24% 25.24% 32.42% 29.25%

Notes to scheduleValuation date: 10/01/2013

Methods and assumptions used to determine contribution rates:Funding Method:

Amortization Method: Level dollar, closedRemaining Amortization Period: 27 years (as of 10/01/2013)Actuarial Value of Assets:

Inflation: 3.0% per yearSalary Increases: Service Increase

First 5 years 6.5%Greater than 5 years 5.0%

Interest Rate:

Payroll Increases: NoneCost-of-Living Adjustments: NoneMortality: RP-2000 Table without projection, sex distinct

Retirement Rates: Age454647484950515253

54 -5657+

For those Members who are eligible to retire with 20 years of Credited Service, regardless of Age, the probability of retirement is 100% after attainment of 20 years of service. For Early Retirement, the rate of retirement is 0% for each year eligible.

80%90%

100%

45%50%55%60%70%

Probability of Retirement

80%33%40%

7.9% per year compounded annually, net of investment related expenses

All assets are valued at market value with an adjustment made to uniformly spread actuarial investment gains and losses (as measured by actual market value investmentreturn against expected market value investment return) over a five-year period.

Actuarially determined contribution rates are calculated as of October 1, two years prior to the end of the fiscal year in which contributions are reported.


Schedules of Required Supplementary InformationSchedule of City Contributions

Last 10 Years (Dollar amounts in thousands)

Entry age normal actuarial cost method. The following loads are applied: Salary: a full year, based on the current 5.80% assumption


74

2011 2010 2009 2008 2007 20061,554$ 1,274$ 1,216$ 1,408$ 1,391$ 1,364$

1,554 1,274 1,216 1,407 1,390 1,363 -$ -$ -$ 1$ 1$ 1$

4,697 4,324 4,151 3,765 3,646 4,034

33.08% 29.46% 29.29% 37.37% 38.12% 33.79%

75

2015 2014 2013Annual money-weighted rate of

return net of investment expense 0.22% 10.27% 11.90%

Notes to schedule

* This schedule will include 10 years as information is available


Schedules of Required Supplementary InformationSchedule of Investment Returns

Last 10 Years *


76

NONMAJOR GOVERNMENTAL FUNDS

SPECIAL REVENUE FUNDS

Special Revenue Funds are used to account for revenues from specific taxes or other earmarked revenue sources, which, by law are designated to finance particular functions or activities of government.

Fire Impact Fee Fund - The Fire Impact Fee Fund accounts for fire protection impact fees received for new commercial structures within the City limits. Use of this revenue is restricted by City ordinance to expansion of existing or construction of new City fire protection facilities or services required because of such construction.

Environmental Stormwater Fund - The Environmental Stormwater Fund accounts for the receipt and disbursement of stormwater utility fees received from residential and commercial properties within the City. Use of this revenue is restricted by City ordinance to the administration, operations, maintenance, and expansion of stormwater facilities and activities.

Road Impact Fee Fund - The Road Impact Fee Fund accounts for the receipt and disbursement of road impact fees. Council Resolution established these fees on November 26, 1990. The purpose of the road impact fees is to ensure that new development pays a fair share of the anticipated costs of road system improvements necessary to serve new development.

Parks Impact Fee Fund - The Parks Impact Fee Fund accounts for the receipt and disbursement of park impact fees. Use of these funds is restricted by City ordinance to the expansion of existing or construction of new City parks or other recreational facilities.

Law Enforcement Trust Fund - On February 23, 1981, Council established the Law Enforcement Trust Fund, pursuant to the Florida Contraband Forfeiture Act, for receipt of contraband sale proceeds to be used for law enforcement purposes.

The Fire/Rescue Trust Fund - The Fire/Rescue Trust Fund was established on July 24, 1978 to receive contributions for the purchase of fire/rescue equipment for the City.

Tactical Response Team Trust Fund - On September 8, 1980, Council established the Crime Squad Trust Fund, subsequently named Tactical Response Team Trust Fund, to receive contributions for the purchase of equipment for the Police Department.

Police and Firefighters Premium Tax Trust - To account for excise tax imposed on homeowners’ insurance premiums collected by the State of Florida Department of Revenue and remitted to the City. These tax revenues are to be used as retirement contributions to Police and Firefighters’ Pension plans.

DEBT SERVICE FUND

Debt service funds account for the accumulation of resources for, and the payment of governmental long-term debt principal and interest.

General Obligation Debt Service Fund - This fund accounts for the repayment of interest and principal on the Limited General Obligation Note Series 2014.

CAPITAL PROJECT FUND

Capital project funds are used to account for the acquisition and construction of major capital facilities other than those financed by proprietary funds and trust funds.

Downtown Space Need Capital Project Fund – This fund accounts for the acquisition and construction of downtown capital improvements.

77

Environmental LawFire Impact Stormwater Road Impact Parks Impact Enforcement

Fee Fund Fund Fee Fund Fee Fund Trust Fund131 132 135 165 168

ASSETSCash and Cash Equivalents -$ 2,539,926$ 200,757$ 2,120,722$ 949,898$ Restricted Cash and Cash Equivalents - - - - - Investments - - - 5,333 - Accounts Receivable - 32,003 - - - Prepaid Items - - - - - Due from Other Governments - 155,927 - - - Due from Other Funds - 11,003 - - - Advances to Other Funds - - 1,064,018 289,467 -

Total Assets -$ 2,738,859$ 1,264,775$ 2,415,522$ 949,898$

LIABILITIESAccounts Payable -$ 412,738$ -$ 37,983$ -$ Accrued Liabilities - 6,969 - - - Due to Other Funds - 5,768 - - - Advances from Other Funds 465,809 - - - -

Total Liabilities 465,809 425,475 - 37,983 -

FUND BALANCES (DEFICITS)Nonspendable - - - - - Restricted - 2,313,384 1,264,775 2,377,539 949,898 Committed - - - - - Assigned - - - - - Unassigned (465,809) - - - -

Total Fund Balances (Deficits) (465,809) 2,313,384 1,264,775 2,377,539 949,898 Total Liabilities and Fund Balances -$ 2,738,859$ 1,264,775$ 2,415,522$ 949,898$

City of Maitland, FloridaCombining Balance Sheet

All Nonmajor Governmental FundsSeptember 30, 2015

Special Revenue Funds

78

Special Revenue Funds TotalTactical Total General Downtown Nonmajor

Fire/Rescue Response Special Obligation Space Need GovernmentalTrust Fund Team Trust Revenue Funds Debt Service Capital Project Funds

163 166 22* 339

-$ -$ 5,811,303$ -$ -$ 5,811,303$ - - - 61,278 - 61,278 - - 5,333 - 21,767 27,100 - - 32,003 - - 32,003 - - - - - - - - 155,927 - - 155,927

3,908 16,016 30,927 - 297,840 328,767 - - 1,353,485 - - 1,353,485

3,908$ 16,016$ 7,388,978$ 61,278$ 319,607$ 7,769,863$

-$ -$ 450,721$ -$ -$ 450,721$ - - 6,969 - - 6,969 - 13,590 19,358 - - 19,358 - - 465,809 - - 465,809 - 13,590 942,857 - - 942,857

- - - - - - 3,908 2,426 6,911,930 61,278 - 6,973,208

- - - - - - - - - - 319,607 319,607 - - (465,809) - - (465,809)

3,908 2,426 6,446,121 61,278 319,607 6,827,006 3,908$ 16,016$ 7,388,978$ 61,278$ 319,607$ 7,769,863$

79

Environmental LawFire Impact Stormwater Road Impact Parks Impact Enforcement

Fee Fund Fund Fee Fund Fee Fund Trust131 132 135 165 168

RevenuesProperty Taxes -$ -$ -$ -$ -$ Other Taxes - - - - - Licenses Fees and Permits - 400 4,491 15,057 - Intergovernmental - 155,927 - - - Charges for Services 46,165 1,261,157 - - - Fines and Forfeitures - - - - 16,740 Investment Income - 5,748 1,226 12,716 208 Miscellaneous Revenue - 588 - - -

Total Revenues 46,165 1,423,820 5,717 27,773 16,948

ExpendituresCurrent:

General Government - - - - - Public Safety - - - - 25,743 Physical Environment - 595,228 - - - Culture and Recreation - - - 337,741 -

Debt Service - - - - - Capital Improvements - 659,329 48,564 223,532 103,350

Total Expenditures - 1,254,557 48,564 561,273 129,093

Excess (Deficiency) of Revenues Over (Under) Expenditures 46,165 169,263 (42,847) (533,500) (112,145)

Other Financing Sources (Uses)Refunding Bank Loan Issued - - - - - Payment to Refunded Bond Escrow Agent - - - - -

Total Other Financing Uses - - - - -

Net Change in Fund Balances 46,165 169,263 (42,847) (533,500) (112,145)

Fund Balances (Deficit) - Beginning (511,974) 2,144,121 1,307,622 2,911,039 1,062,043

Fund Balances (Deficit) - Ending (465,809)$ 2,313,384$ 1,264,775$ 2,377,539$ 949,898$

City of Maitland, FloridaCombining Statement of Revenues, Expenditures and Changes in Fund Balances

All Nonmajor Governmental FundsFor the Year Ended September 30, 2015

Special Revenue Funds

80

TotalTactical Police and Total General Downtown Nonmajor

Fire/Rescue Response Firefighters' Special Obligation Space Need GovernmentalTrust Team Trust Premium Tax Revenue Funds Debt Service Capital Project Funds163 166 133 22* 339

-$ -$ -$ -$ 766,286$ -$ 766,286$ - - - - - - - - - - 19,948 - - 19,948 - - 344,474 500,401 - - 500,401 - - - 1,307,322 - - 1,307,322 - - - 16,740 - - 16,740

7 5 - 19,910 1,371 21,767 43,048 130 - - 718 - - 718 137 5 344,474 1,865,039 767,657 21,767 2,654,463

- - - - - 52,120 52,120

810 - 344,474 371,027 - - 371,027 - - - 595,228 - - 595,228 - - - 337,741 - - 337,741 - - - - 747,118 - 747,118 - - - 1,034,775 - - 1,034,775

810 - 344,474 2,338,771 747,118 52,120 3,138,009

(673) 5 - (473,732) 20,539 (30,353) (483,546)

- - - - - - - - - - - - - - - - - - - - -

(673) 5 - (473,732) 20,539 (30,353) (483,546)

4,581 2,421 - 6,919,853 40,739 349,960 7,310,552

3,908$ 2,426$ -$ 6,446,121$ 61,278$ 319,607$ 6,827,006$

Special Revenue Funds (continued)

81



Resources (inflows):Intergovernmental -$ 155,927$ 155,927$ -$ Charges for Services 1,234,764 1,234,764 1,261,157 26,393 Licenses and Permits - - 400 400 Investment Income 5,000 5,000 5,748 748 Miscellaneous Revenues 1,000 1,000 588 (412) Transfers from Other Funds - - - -

Amounts available for appropriation 1,240,764 1,396,691 1,423,820 27,129

Charges to appropriations (outflows):Physical Environment 815,664 2,318,591 595,230 1,723,361 Capital Improvements 612,200 567,895 659,327 (91,432)

Total charges to appropriations 1,427,864 2,886,486 1,254,557 1,631,929

Excess/(Deficiency) of Resources Over/(Under) Charges to Appropriations (187,100) (1,489,795) 169,263 1,659,058

Fund Balance - Beginning of Year 2,144,121 2,144,121 2,144,121 -

Fund Balance - End of Year 1,957,021$ 654,326$ 2,313,384$ 1,659,058$

Explanation of Differences between Budgetary Inflows and Outflows and GAAP Revenues and Expenditures

Sources/inflows of resourcesActual amounts (budgetary basis) "available for appropriation" from

the budgetary comparison schedule. 1,423,820$ Differences - budget to GAAP:

None. - Total revenues as reported on the statement of revenues, expenditures,

and changes in fund balances - governmental funds. 1,423,820$

Uses/outflows of resourcesActual amounts (budgetary basis) "total charges to appropriations"

from the budgetary comparison schedule. 1,254,557$ Differences - budget to GAAP:

None. - Total expenditures as reported on the statement of revenues,

expenditures and changes in fund balances - governmental funds. 1,254,557$

For the Year Ended September 30, 2015Environmental Stormwater FundBudgetary Comparison Schedule



82

Statistical Section

UNAUDITED SCHEDULES

FINANCIAL TRENDS

REVENUE CAPACITY

DEBT CAPACITY

DEMOGRAPHIC AND ECONOMIC INFORMATION

OPERATING INFORMATION

STATISTICAL SECTION This part of the City’s Comprehensive Annual Financial Report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City’s overall financial health. Financial Trends Page These schedules contain trend information to help the reader understand how the City’s

financial performance and well-being have changed over time

Schedule 1 – Net Position by Component – Last Ten Fiscal Years ........................................................................ 78 ~ 79

Schedule 2 – Changes in Net Position – Last Ten Fiscal Years ............................................................................... 80 ~ 83 Schedule 3 – Fund Balances of Governmental Funds – Last Ten Fiscal Years ............................................... 84 ~ 85 Schedule 4 – Changes in Fund Balances of Governmental Funds – Last Ten Fiscal Years ....................... 86 ~ 87 Revenue Capacity These schedules contain information to help the reader assess the factors affecting the City’s

ability to generate its property and sales taxes.

Schedule 5 – Assessed Value and Estimated Actual Value of Taxable Property – Last Ten Fiscal Years ....................................................................................................................................... 88 ~ 89

Schedule 6 – Property Tax Rates – Direct and Overlapping Governments – Last Ten Fiscal Years ................ 90 Schedule 7 – Principal Property Taxpayers – Current and Nine Years Prior ............................................................. 91 Schedule 8 – Property Tax Levies and Collections – Last Ten Fiscal Years ................................................................. 92 Debt Capacity

These schedules present information to help the reader assess the affordability of the City’s current levels of outstanding debt and City’s ability to issue additional debt in the future. The City has no legal debt margin imposed either by Ordinance or State Statute.

Schedule 9 – Ratios of Outstanding Debt by Type – Last Ten Fiscal Years ................................................................ 93 Schedule 10 – Ratios of General Bonded Debt Outstanding – Last Ten Fiscal Years .............................................. 94 Schedule 11 – Direct and Overlapping Governmental Activities Debt ........................................................................... 95 Schedule 12 – Pledged Revenue Coverage – Last Ten Fiscal Years ..................................................................... 96 ~ 97 Demographic and Economic Information

These schedules offer demographic and economic indicators to help the reader understand the environment within which the City’s financial activities take place and to help make comparisons over time and with other governments.

Schedule 13 – Demographic and Economic Statistics – Last Ten Fiscal Years........................................................... 98 Schedule 14 – Principal Employers – Current and Nine Years Prior .............................................................................. 99 Operating Information

These schedules contain information about the City’s operations and resources to help the reader understand how the City’s financial information relates to the services the City provides and the activities it performs.

Schedule 15 – Operating Indicators by Program/Function ............................................................................... 100 ~ 101 Schedule 16 – Capital Asset Statistics by Program/Function ............................................................................ 102 ~ 103 Schedule 17 – Full-time City Government Employees by Function ............................................................................. 104

83

City of Maitland, FloridaNet Position by ComponentLast Ten Fiscal Years(accrual basis of accounting, amounts in thousands)

2015 2014 2013 2012 2011Governmental activities

Net Investment in Capital Assets 31,044$ 30,767$ 30,386$ 30,698$ 30,934$ Restricted 4,893 5,601 4,814 5,102 4,847 Unrestricted 160 6,677 5,971 5,553 6,607

36,097$ 43,045$ 41,171$ 41,353$ 42,388$

Business-type activitiesNet Investment in Capital Assets 12,261$ 12,136$ 11,078$ 11,348$ 11,994$ Restricted 200 - - - - Unrestricted 4,073 3,914 4,280 4,255 3,522

16,534$ 16,050$ 15,358$ 15,603$ 15,516$

Primary governmentNet Investment in Capital Assets 43,305$ 42,903$ 41,464$ 42,046$ 42,928$ Restricted 5,093 5,601 4,814 5,102 4,847 Unrestricted 4,233 10,591 10,251 9,808 10,129

52,631$ 59,095$ 56,529$ 56,956$ 57,904$

Fiscal Year

Total primary government net position

Total governmental activities net position

Total business-type activities net position

84

Schedule 1

2010 2009 2008 2007 2006

29,202$ 29,442$ 28,709$ 27,328$ 25,673$ 5,021 4,213 3,943 4,398 4,791

10,337 11,307 10,434 8,740 8,050 44,560$ 44,962$ 43,086$ 40,466$ 38,514$

12,140$ 12,734$ 12,314$ 12,354$ 12,199$ - - - - -

3,410 2,243 1,940 1,583 1,204 15,550$ 14,977$ 14,254$ 13,937$ 13,403$

41,342$ 42,176$ 41,023$ 39,682$ 37,872$ 5,021 4,213 3,943 4,398 4,791

13,747 13,550 12,374 10,323 9,254 60,110$ 59,939$ 57,340$ 54,403$ 51,917$

Fiscal Year

85

Changes in Net PositionLast Ten Fiscal Years(accrual basis of accounting, amounts in thousands)

Expenses 2015 2014 2013 2012 2011Governmental activities:

General government 3,249$ 3,329$ 3,552$ 3,433$ 4,058$ Public safety 13,039 12,159 12,044 11,904 11,979 Physical environment 1,081 1,145 856 805 966 Transportation 2,864 2,821 2,451 3,229 2,345 Culture/Recreation 4,720 3,725 3,214 3,809 4,355 Interest on long-term debt 1,112 1,186 1,168 1,213 1,253

Total governmental activities expenses 26,065 24,365 23,285 24,393 24,956 Business-type activities:

Water & Wastewater 5,190 5,075 4,868 4,667 4,755 Solid waste 1,901 1,880 2,139 2,127 2,028

Total business-type activities expenses 7,091$ 36,231 7,007$ 6,794$ 6,783$

Program RevenuesGovernmental activities:

Charges for services:General government 37$ 54$ 290$ 280$ 434$ Public safety 2,707 3,779 3,010 3,035 1,687 Physical environment 1,262 1,157 969 980 971 Transportation 71 113 83 48 45

Culture/Recreation 209 217 257 242 220 Operating grants and contributions 402 407 328 349 364 Capital grants and contributions 626 1,826 878 343 691

Total governmental activities program revenues 5,314 7,553 5,815 5,277 4,412

Fiscal Year


86

Schedule 2

2010 2009 2008 2007 2006

4,402$ 4,001$ 3,732$ 5,325$ 4,190$ 11,524 10,513 9,928 8,846 8,426

934 940 792 580 621 2,548 2,457 3,185 2,240 1,606 4,609 4,452 4,311 4,221 4,270 1,267 1,291 1,316 1,260 1,145

25,284 23,654 23,264 22,472 20,258

4,732 4,495 4,340 4,324 4,230 1,974 1,869 1,662 1,507 1,242 6,706$ 6,364$ 6,002$ 5,831$ 5,472$

587$ 631$ 528$ 578$ 478$ 2,448 1,952 1,977 2,068 1,943

975 952 1 - - 52 45 42 44 32

210 265 534 528 539 378 528 605 434 409 845 978 1,102 1,758 1,235

5,495 5,351 4,789 5,410 4,636

Fiscal Year

87

City of Maitland, FloridaChanges in Net Position (Continued)Last Ten Fiscal Years(accrual basis of accounting, amounts in thousands)

Business-type activities: 2015 2014 2013 2012 2011Charges for services:

Water & Wastewater 5,276$ 4,595$ 4,644$ 4,745$ 4,710$ Solid waste 2,636 2,586 2,391 2,397 2,241

Operating grants and contributions - - - - - Capital grants and contributions 15 706 15 5 39

Total business-type activities program revenues 7,927 7,887 7,050 7,147 6,990 Total government program revenues 13,241$ 15,440$ 12,865$ 12,424$ 11,402$

Net (expense)/revenueGovernmental activities (20,751)$ (16,812)$ (17,470)$ (19,116)$ (20,544)$ Business-type activities 836 932 43 353 207 Total government net expense (19,915)$ (15,880)$ (17,427)$ (18,763)$ (20,337)$

General Revenues and Other Changes in Net PositionGovernmental activities:

TaxesProperty taxes 8,917$ 8,321$ 8,102$ 8,519$ 8,611$ Franchise fees and other taxes 8,697 8,573 8,251 8,198 8,419

Intergovernmental revenues 1,050 926 886 843 765 Investment earnings 162 77 35 80 95 Miscellaneous revenues 506 503 102 145 192 Special item - asset impairment - - - - - Transfers 308 305 305 296 290

Total governmental activities 19,640 18,705 17,681 18,081 18,372 Business-type activities:

Intergovernmental revenues - - - - - Investment earnings 14 12 11 18 42 Miscellaneous revenues - 53 6 12 7 Special item - gain on sale of real estate - - - - - Transfers (308) (305) (305) (296) (290)

Total business-type activities (294) (240) (288) (266) (241) Total government 19,346$ 18,465$ 17,393$ 17,815$ 18,131$

Governmental activities (1,111)$ 1,893$ 211$ (1,035)$ (2,172)$ Business-type actitivies 542 692 (245) 87 (34) Total government (569)$ 2,585$ (34)$ (948)$ (2,206)$

Change in Net Position

Fiscal Year

88

Schedule 2

2010 2009 2008 2007 2006

4,493$ 4,477$ 4,464$ 4,222$ 4,062$ 2,245 2,245 2,085 1,860 1,504

- - - - 16 759 135 58 318 161

7,497 6,857 6,607 6,400 5,743 12,992$ 12,208$ 11,396$ 11,810$ 10,379$

(19,789)$ (18,303)$ (18,475)$ (17,062)$ (15,622)$ 791 493 605 569 271

(18,998)$ (17,810)$ (17,870)$ (16,493)$ (15,351)$

9,496$ 10,415$ 10,215$ 9,292$ 8,211$ 8,719 8,455 8,441 8,579 8,734

744 791 785 829 793 140 397 954 1,418 1,480

3 283 318 67 120 - - - (1,434) - 284 (162) 382 263 263

19,386 20,179 21,095 19,014 19,601

- - - - - 43 63 93 188 169 22 6 1 39 17

- - - - - (284) 162 (382) (263) (263) (219) 231 (288) (36) (77)

19,167$ 20,410$ 20,807$ 18,978$ 19,524$

(403)$ 1,876$ 2,620$ 1,952$ 3,979$ 572 724 317 533 194 169$ 2,600$ 2,937$ 2,485$ 4,173$

Fiscal Year

89

City of Maitland, Florida Fund Balances of Governmental FundsLast Ten Fiscal Years(modified accrual basis of accounting, amounts in thousands)

2015 2014 2013 2012 2011

General fundNon spendable 10,353$ 10,397$ 9,944$ 9,550$ 8,869$ Restricted - 13 - - - Committed 1,508 914 2,411 1,204 759 Assigned 1,232 1,919 1,883 1,537 1,751 Unassigned 15,045 14,587 12,101 12,824 14,348

Total general fund 28,138$ 27,830$ 26,339$ 25,115$ 25,727$

All other governmental fundsNon spendable -$ 21$ 1,353$ 1,354$ 1,346$ Restricted 6,999 7,452 5,333 5,288 9,711 Committed - - 7 7 6 Assigned 320 350 359 312 - Unassigned (13,394) (5,121) (13,191) (12,785) (13,441)

Total all other governmental funds (6,075)$ 2,702$ (6,139)$ (5,824)$ (2,378)$

30,532 20,200 19,291 23,349

Fiscal Year

90

Schedule 3

2010 2009 2008 2007 2006

8,378$ 7,675$ 7,079$ 6,725$ 3,192$ - - - - -

1,515 1,629 954 1,339 853 1,853 1,388 1,814 2,130 2,558

13,221 12,367 10,163 7,279 8,462 24,967$ 23,059$ 20,010$ 17,473$ 15,065$

1,315$ 1,283$ 1,236$ 1,175$ 1,004$ 11,477 12,076 14,716 15,963 19,277

6 5 6 8 4 - - - - -

(11,601) (10,944) (10,446) (10,294) (10,003) 1,197$ 2,420$ 5,512$ 6,852$ 10,282$

26,164 25,479 25,522 24,325 25,347

Fiscal Year

91

City of Maitland, FloridaChanges in Fund Balances of Governmental FundsLast Ten Fiscal Years(modified accrual basis of accounting, amounts in thousands)

2015 2014 2013 2012 2011RevenuesTaxes

TaxesProperty taxes 8,917$ 8,321$ 8,102$ 8,519$ 8,611$ Utility taxes 2,286 2,323 2,232 2,118 2,278 Communications services tax 1,363 1,411 1,377 1,445 1,408 Other 249 222 - - -

Licenses and PermitsImpact fees and permits 746 1,307 798 532 551 Franchise fees 2,075 2,015 1,970 2,094 2,193

IntergovernmentalSales tax 2,429 2,293 2,180 2,042 2,050 Local option gas tax 547 532 532 539 529 Other intergovernmental 2,079 2,758 1,903 1,546 1,833

Charges for services 2,663 2,677 2,533 2,267 2,184 Fines and forfeitures 842 1,779 1,326 1,680 393 Investment income 162 77 35 92 309 Miscellaneous 1,721 1,643 1,506 1,522 1,672

Total revenues 26,079 27,358 24,494 24,396 24,011 ExpendituresCurrentGeneral government 4,279 4,118 3,966 4,330 4,530 Public safety 10,699 10,797 10,652 10,549 9,878 Physical environment 595 645 505 531 537 Transportation 2,826 2,220 1,783 2,619 1,737 Culture and recreation 3,781 3,326 3,211 3,286 3,359 Debt service

Principal payments 660 575 535 495 460 Interest 590 1,280 1,162 1,197 1,442 Issuance costs 191 48 - - -

Capital improvements 2,936 2,714 2,075 5,743 5,173 Total expenditures 26,557 25,723 23,889 28,750 27,116

Excess (deficiency) of revenues over (under) expenditures (478) 1,635 605 (4,354) (3,105)

Other financing sources and (uses)Transfers in 508 305 318 2,097 440 Transfers out - (14) (1,801) (150) Principal repayment notes payable (13,485) (11,875) - - - Issuance of debt 13,485 11,970 - - - Bond discount - - - - Total other financing sources (uses) 508 400 304 296 290

Net change in fund balances 30$ 2,035$ 909$ (4,058)$ (2,815)$

Debt service as a percentage of noncapital 5.29% 8.06% 7.78% 7.35% 8.67%expenditures

Fiscal Year

92

Schedule 4

2010 2009 2008 2007 2006

9,496$ 10,415$ 10,215$ 9,292$ 8,211$ 2,414 2,056 1,970 1,989 1,931 1,549 1,785 1,789 1,719 1,783

- - - - -

532 716 846 907 1,035 2,349 2,262 2,031 2,153 2,063

1,911 1,885 2,125 2,202 2,369 532 535 569 585 634

1,985 1,635 2,191 2,446 1,383 2,141 2,843 2,481 1,534 2,292 1,183 490 420 553 387

360 687 1,226 1,976 1,824 1,808 1,717 1,373 1,406 1,594

26,260 27,026 27,236 26,762 25,506

4,821 4,631 4,854 5,978 5,299 9,421 9,309 9,413 8,259 7,898

523 658 546 524 568 1,919 1,876 2,732 1,938 1,354 3,585 3,785 4,024 3,865 3,939

335 325 315 310 1,165 1,461 1,560 1,685 1,665 1,584

- - - - - 4,064 4,934 2,852 5,509 12,837

26,129 27,078 26,421 28,048 34,644

131 (52) 815 (1,286) (9,138)

439 598 417 266 265 (155) (319) (35) (2) (1)

- - - - - - - - - 13,865 - - - - (47) 284 279 382 264 14,082

415$ 227$ 1,197$ (1,022)$ 4,944$

8.14% 8.51% 8.49% 8.76% 12.61%

Fiscal Year

93

City of Maitland, FloridaAssessed and Estimated Actual Value of Taxable PropertyLast Ten Fiscal Years(amounts in Thousands)

Fiscal Tax Taxable Estimated Taxable Estimated Taxable EstimatedYear Roll Value Actual Value Value Actual Value Value Actual Value

2015 2014 1,850,783$ 2,357,568$ 182,125$ 212,211$ 621$ 680$

2014 2013 1,783,216 2,203,303 188,864 219,301 598 655

2013 2012 1,772,206 2,161,997 191,177 231,420 555 627

2012 2011 1,819,800 2,263,674 191,465 231,492 546 616

2011 2010 1,836,315 2,324,097 196,087 234,621 510 566

2010 2009 2,116,842 2,716,564 215,565 242,934 509 589

2009 2008 2,295,640 3,032,739 240,819 279,324 496 551

2008 2007 2,273,085 2,997,668 266,233 286,524 179 179

2007 2006 1,976,893 2,607,653 265,034 284,683 438 438

2006 2005 1,697,939 2,196,338 259,441 278,493 438 438

Source: Orange County Property Appraiser

Note: Assessed values are determined as of January 1 for each fiscal year.The difference between Taxable Value and Estimated Actual Value includes thevarious exemptions: i.e. government, disability, institutional, homestead, etc.

Centrally Real Property Personal Property Assessed Property

94

Schedule 5

Taxable ValueTotal to Total

Taxable Estimated Direct Estimated Increase inValue Actual Value Tax Rate Actual Value Taxable Value

2,033,529$ 2,570,459$ 4.5400 79.1% 3%

1,972,678 2,423,259 4.3600 81.4% 0%

1,963,938 2,394,044 4.3200 82.0% -2%

2,011,811 2,495,782 4.3800 80.6% -1%

2,032,912 2,559,284 4.3800 79.4% -13%

2,332,916 2,960,087 4.2850 78.8% -8%

2,536,955 3,312,614 4.2400 76.6% 0%

2,539,497 3,284,371 4.1900 77.3% 13%

2,242,365 2,892,774 4.3000 77.5% 15%

1,957,818 2,475,269 4.3000 79.1% 28%

Total

95

City of Maitland, Florida Schedule 6Property Tax RatesDirect and Overlapping GovernmentsLast Ten Fiscal Years

City of Maitland Overlapping Rates

Fiscal Y

ear

Tax Year

Operatin

g Milla

ge

Debt Serv

ice Milla

ge

Total City

Milla

ge

Orange County

Orange County

School Board

St. John's W

ater

Management Dist

rict

Total Dire

ct &

Overlap-ping Rates

2015 2014 4.1500 0.3900 4.5400 4.4347 8.4740 0.3164 17.7651

2014 2013 3.8800 0.4800 4.3600 4.4347 8.3620 0.3283 17.4850

2013 2012 3.8800 0.4400 4.3200 4.4347 8.4780 0.3313 17.5640

2012 2011 3.8800 0.5000 4.3800 4.4347 8.5450 0.3313 17.6910

2011 2010 3.8800 0.5000 4.3800 4.4347 7.8940 0.4158 17.1245

2010 2009 3.8800 0.4050 4.2850 4.4347 7.6730 0.4158 16.8085

2009 2008 3.8800 0.3600 4.2400 4.4347 7.1500 0.4158 16.2405

2008 2007 3.8800 0.3100 4.1900 4.4347 7.1210 0.4158 16.1615

2007 2006 3.8800 0.4200 4.3000 5.1639 7.1690 0.4620 17.0949

2003 2005 3.8000 0.5000 4.3000 5.1639 7.7610 0.4620 17.6869

Source: Orange County Property Appraiser Office.

Notes:Overlapping rates are those of local and county governments that apply to property owners within the City of Maitland.

96

City of Maitland, Florida Schedule 7Principal Property TaxpayersSeptember 30, 2015

Taxable Assessed Value (1) Rank

Percentage of Total Taxable

Assessed Value

Taxable Assessed Value (1) Rank

Percentage of Total Taxable

Assessed Value

94,331$ 1 4.6%53,195 2 2.6%42,256 3 2.1%40,255 4 2.0%

Orlando Sportsplex 32,297 5 1.6%31,254 6 1.5%28,136 7 1.4%27,414 8 1.3%22,137 9 1.1%21,311 10 1.0%

Maitland Maitland Center LLC $41,671 1 2.2%Liberty P Liberty Property LP 37,279 2 1.9%Zom Mait Zom Maitland Summit LTD 34,855 3 1.9%Orlando S Orlando Sportsplex LTD 33,705 4 1.8%P Barnett P Barnett Construction LTD Inc 31,230 5 1.7%Teachers Teachers Insurance Annuity Assoc. 26,070 6 1.4%Ribicon P Ribicon Park II LLC 21,973 7 1.2%Opus Rea Opus Real Estate Ventures V FL LLC 21,458 8 1.2%FBEC - M FBEC - Maitland Colonnades LP 20,431 9 1.0%Highwoo Highwoods/DLF 98/29 LP 18,758 10 1.0%

Totals 392,586$ 19.3% 287,430$ 15.3%

Source: Orange County Property Appraiser

(1) Amounts in thousands.

20062015

Village at Lake Lily LLCMikeone EK Maitland Summit LLC

Highwoods / DLF 98/29 LPOP Estates at Maitland Aparments LP

CRP-2 Collonades LLCKBS Sor Maitland Promenade II, LLC

Taxpayer

Realty Associates Fund X L P

P Barnett Construction LimitedZom Maitland Summit LTD

97

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City of Maitland, Florida Schedule 8Property Tax Levies and CollectionsLast Ten Fiscal Years(amounts in thousands)

Fiscal Year Ended

September 30,

Total Tax Levy for

Fiscal Year AmountPercentage

of Levy

Collections in

Subsequent Years Amount

Percentage of Levy

2015 9,355$ 8,906$ 95.20% -$ 8,906$ 95.20%

2014 8,601 8,298 96.48% 10 8,308 96.59%

2013 8,398 8,093 96.37% 23 8,116 96.64%

2012 8,910 8,529 95.72% 10 8,539 95.84%

2011 9,024 8,594 95.23% 7 8,601 95.31%

2007 10,001 9,496 94.95% 14 9,510 95.09%

2006 10,804 10,415 96.40% 9 10,424 96.48%

2005 10,649 10,215 95.92% 11 10,226 96.03%

2004 9,728 9,287 95.47% 20 9,307 95.67%

2003 8,419 8,122 96.47% 14 8,136 96.64%

Sources: Orange County Tax Collector, Orange County Property Appraiser, Finance Department

Collected within the Fiscal Year of the Levy Total Collections to Date

98

City of Maitland, Florida Schedule 9Ratios of Outstanding Debt by TypeLast Ten Fiscal Years(amounts in thousands, except per capita)

Business-Type

Activities

Fiscal Year Ended

September 30,

Limited General

Obligation Bonds

Series 2005

Re-development

Revenue Bonds

Limited General

Obligation TD Bank

Note Payable

Water & Sewer

Revenue Bonds

Total Primary Government

Percentage of Personal Income Per Capita

2015 -$ 13,485$ 11,535$ 10,000$ 35,020$ 4.82% 2,059$

2014 - 13,250 11,970 - 25,220 3.73% 1,504

2013 12,255 13,445 - - 25,700 3.32% 1,575

2012 12,625 13,610 - - 26,235 3.40% 1,649

2011 12,980 13,750 - - 26,730 3.60% 1,697

2010 13,325 13,865 - - 27,190 3.20% 1,620

2009 13,660 13,865 - - 27,525 3.99% 1,704

2008 13,985 13,865 - - 27,850 3.80% 1,718

2007 14,300 13,865 - - 28,165 4.01% 1,754

2006 14,610 13,865 - - 28,475 4.07% 1,774

Note: Details regarding the city's outstanding debt can be found in the notes to the financial statements Details regarding per capital, personal income and population can be found on Schedule 13.


99

City of Maitland, Florida Schedule 10Ratios of General Bonded Debt OutstandingLast Ten Fiscal Years(amounts in thousands, except per capita)

Fiscal Year Ended

September 30,

Limited General

Obligation Redevelopment

Revenue Bonds Total

Percentage of Taxable Value

of Property Per Capita

2015 11,535$ 13,485$ 25,020$ 1.23% 1,492$

2014 11,970 13,250 25,220 1.28% 1,545

2012 12,255 13,445 25,700 1.31% 1,615

2011 12,625 13,610 26,235 1.30% 1,666

2010 12,980 13,750 26,730 1.31% 1,592

2009 13,325 13,865 27,190 1.17% 1,684

2008 13,660 13,865 27,525 1.08% 1,698

2007 13,985 13,865 27,850 1.10% 1,735

2006 14,300 13,865 28,165 1.26% 1,665

2005 14,610 13,865 28,475 1.45% 1,728

Note: Details regarding the city's outstanding debt can be found in the notes to the financial statementsSee Schedule 5 for property value dataPopulation data can be found in Schedule 13.

General Bonded Debt Outstanding

100

City of Maitland, Florida Schedule 11Direct and Overlapping Governmental Activities DebtAs of September 30, 2015(amounts in thousands)

Debt Outstanding

Estimated Percentage Applicable 1

Estimated Share of

Overlapping Debt

Overlapping General Obligation Debt:Orange County Board of County Commissioners -$ -$ Orange County School Board - - St. John's River Management District - -

City direct debt 25,020 100% 25,020

Total direct and overlapping debt 25,020$ 25,020$

Note:(1) Ratio of assessed valuation of taxable property in overlapping unit to that within the City of

Maitland.

Governmental Unit

101

City of Maitland, FloridaPledged-Revenue Coverage Last Ten Fiscal Years(amounts in thousands)

Fiscal Year Ended Sept 30,

Gross Revenues

(2)

Operating Expenses

(3)

Net Revenue Available for Debt

Service (4) Principal Interest Total Coverage

2015 5,265$ 4,403$ 862$ 325$ 235$ 560$ 1.54

2014 - - - - - - n/a

2013 - - - - - - n/a

2012 - - - - - - n/a

2011 - - - - - - n/a

2010 - - - - - - n/a

2009 - - - - - - n/a

2008 - - - - - - n/a

2007 - - - - - - n/a

2006 4,062 3,558 504 50 108 158 3.19

Notes:(1) Includes Water and Sewer Revenue Bonds paid off in 2006. (2) Includes Utilities Fund Charges for Services.(3) Includes total operating expense less depreciation and amortization.(4) As defined by Ordinance.(5) The CRA Redevelopment Revenue Bonds were issued in 2006 and pledged revenues

are the tax increment revenues of the Community Redevelopment Agency. The City issueda covenant to budget and appropriate from available non Ad valorem revenues of the City.

Revenue Bonds (1)Debt Service Requirements

102

Schedule 12

Tax Increment

Revenue Principal Interest Total Coverage

664$ 225$ 930$ 1,155$ 57.5%

526 195 626 821 64.1%

516 165 632 797 64.7%

513 140 637 777 66.0%

415 115 642 757 54.8%

438 - 642 642 68.2%

524 - 642 642 81.6%

403 - 642 642 62.8%

382 - 642 642 59.5%

280 - 341 341 82.1%

CRA Redevelopment Revenue Bonds (5)Debt Service Requirements

103

City of Maitland, Florida Schedule 13Demographic and Economic StatisticsLast Ten Fiscal Years

Calendar Year

Population (1)

Per Capita Income (2)

Personal Income

(in thousands)

Median Age (2)

Unemployment Rate (3)

2015 17,007 42,704$ 726,267 41.10 4.9

2014 16,767 40,306 675,811 41.10 5.6

2013 16,321 47,490 775,084 40.20 3.2

2012 15,911 48,559 772,622 32.90 8.5

2011 15,751 47,176 743,069 42.40 9.5

2010 16,786 50,604 849,439 42.40 11.3

2009 16,150 42,719 689,912 43.10 11.8

2008 16,209 45,214 732,874 36.40 5.9

2007 16,100 43,614 702,185 * 4.0

2006 16,055 43,606 700,094 41.10 2.9

Sources:(1)

(2)

(3) State of Florida, Agency for Workforce Innovation, Orlando MSA annual averages.

* not available

Metro Orlando Economic Development Commission median age for Metro Orlando area. Per capita income for 2003 - 2008 is the 2000 Maitland U.S. Census Bureau information adjusted by the South Urban Wage Earners and Clerical Workers CPI published by the U.S. Bureau of Labor Statistics. 2009, 2010 and 2012 per capita figures are from the Metro Orlando EDC estimates, and 2011 figure is from the U.S. Census Bureau information for Maitland. 2014-2015 figures from florida.hometownlocator.com

Orlando Economic Development Commission 2015-2014. City of Maitland Community Development Department 2013- 2005

104

City of Maitland, Florida Schedule 14Principal EmployersCurrent Year and Nine Years Ago

Employees Rank

Percentage of Total City Employment Employees Rank

Percentage of Total City Employment

Vitas Innovative Hospice Care 500 1 2.03% * * *

Dollar General 400 2 1.63% * * *

Paysys Interational Inc 383 3 1.56% * * *

Welbro Building Corp Inc 375 4 1.53% * * *

Publix Supermarkets 340 5 1.38% * * *

CTX Mortgage Co 300 6 1.22% * * *

Consulate Health Care 220 7 0.90% * * *

City of Maitland 219 8 0.89% * * *

Rehabilitation Service Wntr Pk 210 9 0.85% * * *

Fidelity 204 10 0.83% * * *

Total 3,151 12.82%

Note 1: The City of Maitland has an estimated daytime population of 24,575.

Note 2: * Information is not available.

Source: State of Florida, Agency for Workforce Innovation

Employer

2006 22015 1

105

City of Maitland, FloridaOperating Indicators by FunctionLast Ten Fiscal Years

2015 2014 2013 2012 2011FunctionPolice

Non-designated patrol hours 13,880 16,648 12,240 14,621 14,814 Crash investigations 891 873 966 674 782 Criminal investigations 544 443 362 388 498 Neighborhood Watch households 2,540 2,540 2,540 2,525 2,540 DARE/School resource officer contact hours 302 224 236 1,027 952 911 Calls Received * * * * *

Fire / RescueEmergency calls 1,502 1,688 1,753 1,754 1,694 EMS follow up visits 225 239 227 196 203 Non-emergency calls 927 847 576 470 559 Public education contact hours 3,839 4,067 4,513 3,278 2,880 Construction inspections 321 364 294 316 327

Building and Code ComplianceBuilding permit applications 459 691 500 587 591 Construction inspections 5,333 4,585 3,534 3,233 3,623 Code enforcement complaints 594 519 647 501 480 Code enforcement cases 11 14 13 24 23

TransportationPaved miles to maintain 59 57 57 57 57 Number of potholes repaired 265 194 157 180 179 Sidewalks/bike paths built or repaired (sq. feet) 22,297 6,856 2,780 9,852 1,300

Physical environmentNumber of curb miles swept 4,063 3,499 3,688 4,729 4,681 Acres of weed surveyed 2,049 4,029 3,443 4,256 3,569

Culture and recreationCommunity Events Participants 6,945 7,150 4,540 5,460 4,750 Farmers Market Attendance 108,500 95,000 91,600 60,000 60,000 Adult & Youth Athletics Participants Served 1,463 1,378 2,077 2,235 2,218 Senior Center Programs 1,365 1,284 1,264 648 487

Water and WastewaterWastewater collections (millions) 3,557 3,235 2,704 1,321 1,471 Linear feet of sewer pipe cleaned/inspected 2,268 2,423 11,299 2,465 1,938 Number of customers 3,762 4,181 3,762 3,847 3,816 Water plant average daily flow (millions) 2.5 2.4 2.5 2.7 2.9 Gallons of water produced, in millions 936 889 937 1,032 1,026 Meter repairs and inspections 926 749 1,086 1,313 972

Solid WasteTons of household garbage collected 4,728 4,321 4,321 4,296 4,387 Tons of recycling 998 1,085 803 847 832 Tons of yard waste 1,388 1,825 1,825 5,141 1,898

General GovernmentDevelopment applications received 22 22 24 16 14 Vehicle and small equipment repairs 1,241 1,075 1,736 1,535 1,685 Business tax receipts issued 4,230 4,108 4,089 3,912 4,138 Accidents & Injuries reviewed (HR risk) 122 105 83 96 92 Geographic & Cartographic requests processed 405 296 540 234 525 Purchase orders processed 1,117 1,134 1,006 1,238 1,091 A/P Checks issued 3,476 3,649 3,171 3,412 3,336

Source: City of Maitland, Finance Department

Note:* Information not available

Fiscal Year

106

Schedule 15

2010 2009 2008 2007 2006

14,253 17,476 18,263 18,075 18,149 692 695 686 803 845 388 269 263 334 336

2,540 * * * *1,193 * * * ** 5,053 7,521 10,397 9,708

1,716 1,655 1,626 1,783 1,774 * * * * ** * 381 373 255 4,245 3,347 4,871 6,030 5,416

368 528 543 815 1,197

517 476 486 540 695 3,553 7,161 6,455 5,662 8,304

486 451 349 244 179 22 17 20 25 36

57 57 57 57 57 130 224 342 254 244

11,997 23,241 10,540 4,360 12,788

4,675 3,808 4,609 5,163 4,584 4,454 3,440 4,278 2,152 1,774

24,860 9,150 10,425 6,050 11,875 * 112,000 45,000 * *

- - 772 1,705 1,505 181 110 105 124 126

922 549 465 420 421 7,327 4,349 11,200 1,960 12,500 3,748 3,716 3,798 3,788 3,783

2.5 2.7 2.8 3.0 3.0 932 988 1,036 1,103 1,088 830 823 663 982 1,026

3,994 3,983 2,646 * *821 797 486 * *

1,683 1,506 1,040 * *

14 16 21 44 25 737 900 900 1,322 1,251

3,500 3,100 3,673 3,000 2,897 78 80 47 85 59

418 452 359 555 531 1,070 1,236 1,225 1,543 1,622 4,043 3,858 4,026 4,386 4,710

Fiscal Year

107

City of Maitland, FloridaCapital Asset Statistics by FunctionLast Ten Fiscal Years

2015 2014 2013 2012FunctionPublic safety

Police:Stations 1 1 1 1 Patrol units 47 47 47 46

Fire stations 2 2 2 2 Transportation

Streets - paved (miles) 59 59 58 58 Streets - unpaved (miles) 2 2 3 3

Culture and recreationPark acreage 154 154 154 154 Parks 17 17 17 17 Tennis courts 7 7 7 7 Community centers 1 1 1 1 Library 1 1 1 1 Historical Museums 4 4 4 4

WaterWater mains (miles) 94 94 94 94 Fire hydrants 697 697 697 697 Maximum daily capacity (mil gallons) 13 13 13 12.84

WastewaterSanitary sewers (miles) 61 61 61 61 Storm sewers (miles) 26 26 26 26

General GovernmentSquare footage of buildings 157,902 157,902 157,902 159,902 City vehicles - non patrol 66 66 66 66

Source: City of Maitland - various Departments.

Notes* Information not available

Fiscal Year

108

Schedule 16

2011 2010 2009 2008 2007 2006

1 1 1 1 1 1 46 44 43 39 39 39

2 2 2 2 2 2

57 57 57 57 57 57 3 3 3 3 3 3

154 154 154 154 154 154 17 17 17 17 17 17

7 7 7 7 9 10 1 1 1 1 1 1 1 1 1 1 1 1 4 4 4 4 4 4

94 94 82 82 81 80 689 688 658 656 664 653

12.84 12.84 12.84 12.84 12.84 12.84

61 61 61 61 60 59 26 25 25 25 25 22

140,400 140,400 140,400 123,400 123,400 123,400 64 62 62 61 61 61

Fiscal Year

109

City of Maitland, Florida Schedule 17Full-time Equivalent City Government Employees by FunctionLast Ten Fiscal Years

Function 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006

General Government 33 33 33 34 34 34 34 35 34 32

Public Safety:

PoliceSworn Officers 47 47 47 46 45 45 43 42 42 42 Civilians 8 8 8 8 8 8 9 11 11 11

Fire

Firefighters and officers 43 43 43 43 43 43 43 43 42 43

Civilians 2 1 1 2 2 2 2 2 2 1

Building & Life Safety 8 8 8 8 8 8 8 8 8 9

Public Works 66 66 66 66 66 66 65 65 64 64

Parks and Recreation 9 9 10 10 9 9 9 9 11 12 Total 216 215 216 215 215 213 215 214 214 209

remained unfunded at year end

2015 2014 2013 2012 2011 2010 2009 2008 2007 2006

Unfunded positions 11 15 19 21 21 21 13 12 7 4

Funded positions 205 200 197 194 194 194 200 203 207 210 Total 216 215 216 215 215 215 213 215 214 214

Note (1) - These are authorized positions, however some positions are considered "frozen" because they

Source: City of Maitland Human Resources Division

Full-time Equivalent Employees (1) as of September 30,

110

Compliance Section

MCDIRMIT DAVIS & COMPANY, LLC 934 N. MAGNOLIA AVENUE, SUITE 100 ORLANDO, FLORIDA 32803



INDEPENDENT AUDITOR’S REPORT ON INTERNAL CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE AND OTHER MATTERS

BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS

Honorable Mayor and City Council City of Maitland, Florida We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of City of Maitland, Florida, as of and for the year ended September 30, 2015, and the related notes to the financial statements, which collectively comprise the City’s basic financial statements and have issued our report thereon dated March 16, 2016. Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the City’s internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City’s internal control. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control. A deficiency in internal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect and correct misstatements on a timely basis. A material weakness is a deficiency, or combination of deficiencies, in internal control such that there is a reasonable possibility that a material misstatement of the entity’s financial statements will not be prevented or detected and corrected on a timely basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to merit attention by those charged with governance.

Our consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over financial reporting that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control over financial reporting that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.

111

Compliance and Other Matters As part of obtaining reasonable assurance about whether the City’s financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit and, accordingly, we do not express such an opinion. The results of our tests disclosed no instances of noncompliance or other matters that are required to be reported under Government Auditing Standards. We noted certain matters that we reported to management of the City in a separate letter dated March 16, 2016. Purpose of this Report The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City’s internal control or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing Standards in considering the entity’s internal control and compliance. Accordingly, this communication is not suitable for any other purpose.


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MCDIRMIT DAVIS & COMPANY, LLC 934 N. MAGNOLIA AVENUE, SUITE 100 ORLANDO, FLORIDA 32803


MEMBERS: PRIVATE COMPANIES PRACTICE SECTION AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS FLORIDA INSTITUTE OF CERTIFIED PUBLIC

INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE FOR EACH MAJOR PROGRAM AND ON INTERNAL CONTROL OVER

COMPLIANCE REQUIRED BY OMB CIRCULAR A-133 Honorable Mayor and City Council City of Maitland, Florida Compliance We have audited the compliance of City of Maitland (the City) with types of compliance requirements described in OMB Circular A-133 Compliance Supplement that could have a direct and material effect on the City’s major federal program for the year ended September 30, 2015. The City’s major federal program is identified in the summary of auditor’s results section of the accompanying schedule of findings and questioned costs. Management’s Responsibility Compliance with the requirements of laws, regulations, contracts, and grants applicable to its federal programs is the responsibility of the City’s management. Auditor’s Responsibility Our responsibility is to express an opinion on compliance for the City’s major federal program based on our audit of the types of compliance requirements referred to above. We conducted our audit of compliance in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations. Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about the City’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion on compliance for the major federal program. However, our audit does not provide a legal determination of the City’s compliance. Opinion on Each Major Federal Program In our opinion, the City complied, in all material respects, with the types of compliance requirements referred to above that could have a direct and material effect on its major federal program for the year ended September 30, 2015.

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Report on Internal Control over Compliance Management of the City is responsible for establishing and maintaining effective internal control over compliance with the types of compliance requirements referred to above. In planning and performing our audit of compliance, we considered the City’s internal control over compliance with the types of requirements that could have a direct and material effect on each major federal program to determine the auditing procedures that are appropriate in the circumstances for the purpose of expressing an opinion on compliance for each major federal program and to test and report on internal control over compliance in accordance with OMB Circular A-133, but not for the purpose of expressing an opinion on the effectiveness of internal control over compliance. Accordingly, we do not express an opinion on the effectiveness of the City’s internal control over compliance. A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, to prevent, or detect and correct noncompliance with a type of compliance requirement of a federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or combination of deficiencies, in internal control over compliance, such that there is a reasonable possibility that material noncompliance with a type of compliance requirement of a federal program will not be prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance is a deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over compliance, yet important enough to merit attention by those charged with governance. Our consideration of internal control over compliance was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control over compliance that might be significant deficiencies or material weaknesses. We did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses. However, material weaknesses may exist that have not been identified. The purpose of this report on internal control over compliance is solely to describe the scope of our testing of internal control over compliance and the results of that testing based on the requirements of OMB Circular A-133. Accordingly, this report is not suitable for any other purpose.


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Federal grantor Pass through grantor,

Program title CFDA# Expenditures

Direct awardsEquitable Sharing for State and Local Law Enforcement Agencies 16.922 N/A 129,093

16.738 2015-JAGC-ORAN-15-R5-156 9,300 16.738 2015-JAGD-ORAN-5-R1-143 2,712

12,012

141,105

Direct awardsPark Development 14.251 * EDSI B-08-SP-FL-0123 234,292

234,292

20.500 AQM77 / 412994-3-52-08 6,950

6,950

U.S. Environmental Protection AgencyPassed through the State of Florida, Department of

Environmental ProtectionNonpoint Source Implementation Grant 66.460 G0421 155,927

Total Deparment of Environmental Protection 155,927

Cell Tower Hardening 97.067 SHSGP 15-DS-L5-06-58-01-400 48,260 97.044 EMW-2013-FO-06047 162,873

211,133

749,407$

* Denotes major program

See Notes to Schedule of Expenditures of Federal Awards

Contract / Grant Number

Total Department of Homeland Security

Total Expenditures of Federal Awards

Total Department of Transportation

U.S. Department of Homeland SecurityFederal Emergency Management Agency

Assistance to Firefighters Grant

Total Department of Justice

U.S Department of TransportationPassed through State of Florida, Department of Transportation

City of Maitland, FloridaSchedule of Expenditures of Federal Awards


Highway Planning and Construction (Federal Aid Highway)

Passed through Florida Department of Law EnforcementEdward Byrne Memorial Justice Assistance Grant ProgramEdward Byrne Memorial Justice Assistance Grant Program

U.S. Department of Justice

U.S Department of Housing and Urban Development

Total Department of Housing and Urban Development

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(1) General

(2) Basis of Accounting

Notes to the Schedules of Expenditure of Federal Awards

The accompanying schedules of expenditures of federal awards (the “Schedules”) presents the activity of all federal awards and state financial assistance of the City of Maitland, Florida for the year ended September 30, 2015. The City’s reporting entity is defined in Note 1 to the City’s basic financial statements.

The Schedules are presented using the modified accrual basis of accounting for expenditures accounted for in the governmental funds and on the accrual basis of accounting for expenses of the proprietary fund types, which are described in Note 1 to the City’s basic financial statements.

September 30, 2015


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City of Maitland, Florida SCHEDULE OF FINDINGS AND QUESTIONED COSTS –

FEDERAL AWARD PROGRAMS Year Ended September 30, 2015

Part A - Summary of Auditor’s Results:

1. The auditor’s report expresses an unqualified opinion on the financial statements of the City of Maitland (City).

2. No significant deficiencies relating to the audit of the financial statements are reported in the Independent Auditor’s Report on Internal Control over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards.

3. No instances of noncompliance material to the financial statements of the City, which would be required to be reported in accordance with Government Auditing Standards, were disclosed during the audit.

4. No significant deficiencies relating to the audit of the major federal award programs are reported in the Independent Auditor’s Report on Compliance For Each Major Program and on Internal Control over Compliance Required By OMB Circular A-133

5. The auditor’s report on compliance for the major federal award programs for the City expresses an unqualified opinion.

6. Audit findings that are required to be reported in accordance with Section 510(a) of OMB Circular A-133, are reported in this Schedule.

7. The program tested as a major program was Park Development (CFDA 14.251).

8. The threshold used for distinguishing between Type A and B programs was $300,000.

9. The City did not qualify as a low-risk auditee.

Part B - Findings – Financial Statement Audit:

None

Part C - Findings and Questioned Costs – Major Federal Award Programs:

None

Part D – Prior Year Audit Findings:

None

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MCDIRMIT DAVIS & COMPANY, LLC934 N. MAGNOLIA AVENUE, SUITE 100 ORLANDO, FLORIDA 32803



MANAGEMENT LETTER

Honorable Mayor and City Council City of Maitland, Florida

Report on the Financial Statements

We have audited the financial statements of the City of Maitland, Florida, as of and for the fiscal year ended September 30, 2015, and have issued our report thereon dated March 16, 2016.

Auditor’s Responsibility

We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations; and Chapter 10.550, Rules of the Florida Auditor General.

Other Reports and Schedule

We have issued our Independent Auditor’s Report on Internal Control over Financial Reporting and Compliance and Other Matters Based on and Audit of the Financial Statements Performed in Accordance with Government Auditing Standards, Independent Auditor’s Report on Compliance For Each Major Program and on Internal Control over Compliance Required; Schedule of Findings and Questioned Costs and Independent Auditor’s Report on an examination conducted in accordance with AICPA Professional Standards, Section 601, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports and schedule, which are dated March 16, 2016, should be considered in conjunction with this management letter.

Prior Audit Findings

Section 10.554(1)(i.)1., Rules of the Auditor General, require that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. There were no findings in the preceding annual financial audit report.

Official Title and Legal Authority

Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in this management letter, unless disclosed in the notes to the financial statements. This information has been disclosed in the noted to the financial statements.

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Financial Condition Section 10.554(1)(i)5.a., Rules of the Auditor General, requires that we report the results of our determination as to whether or not the City of Maitland, Florida has met one or more of the conditions described in Section 218.503(1), Florida Statues, and identification of the specific condition(s) met. In connection with our audit, we determined that the City of Maitland, Florida did not meet any of the conditions described in Section 218.503(1), Florida Statues. Pursuant to Sections 10.554(1)(i)5.c. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures. It is management’s responsibility to monitor the City of Maitland, Florida’s financial condition, and our financial condition assessment was based in part on representations made by management and the review of financial information provided by same. Annual Financial Report Section 10.554(1)(i)5.b., Rules of the Auditor General, requires that we report the results of our determination as to whether the annual financial report for the City of Maitland, Florida for the fiscal year ended September 30, 2015, filed with the Florida Department of Financial Services pursuant to Section 218.32(1)(a), Florida Statues, is in agreement with the annual financial audit report for the fiscal year ended September 30, 2015. In connection with our audit, we determined that these two reports were in agreement. Other Matters Section 10.554(1)(i)2., Rules of the Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations. Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but which warrants the attention of those charged with governance. In connection with our audit, we did not have any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and the Florida House of Representative, the Florida Auditor General and other granting agencies, and applicable management, and is not intended to be and should not be used by anyone other than these specific parties.


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MCDIRMIT DAVIS & COMPANY, LLC 934 NORTH MAGNOLIA AVENUE, SUITE 100 ORLANDO, FLORIDA 32803



INDEPENDENT AUDITOR’S REPORT ON COMPLIANCE WITH THE REQUIREMENTS OF SECTION 218.415, FLORIDA STATUTES

The Honorable Mayor and City Council City of Maitland, Florida We have examined the City of Maitland, Florida’s (the City) compliance with the requirements of Section 218.415, Florida Statutes, during the year ended September 30, 2015. Management is responsible for the City’s compliance with those requirements. Our responsibility is to express an opinion on the City’s compliance based on our examination. Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public Accountants and the standards applicable to attestation engagements contained in Government Auditing Standards issued by the Comptroller General of the United States and, accordingly, included examining, on a test basis, evidence about the City’s compliance with those requirements and performing such other procedures as we considered necessary in the circumstances. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal determination on the City’s compliance with specified requirements. In our opinion, City of Maitland, Florida complied, in all material respects, with the aforementioned requirements for the year ended September 30, 2015.


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