plantemoran.com
City of Wixom Audit Presentation to the City Council FOR YEAR ENDED JUNE 30, 2011
City of Wixom General Fund Revenue Years Ended June 30
plantemoran.com
(excluding transfers)
1
City of Wixom General Fund Expenditures Years Ended June 30
plantemoran.com
(excluding transfers)
2
City of Wixom Fund Balance of the General Fund (2007-2010 restated for GASB 54)
plantemoran.com
3
City of Wixom Governmental Activities Revenue Years Ended June 30
plantemoran.com
4
City of Wixom Governmental Activities Expense Years Ended June 30
plantemoran.com
5
City of Wixom Water Fund Operations
plantemoran.com
6
City of Wixom Sewer Fund Operations
plantemoran.com
7
Joe Heffernan 248.223.3261 joe.heffernan@plantemoran.com Brian Camiller 734.302.6906 brian.camiller@plantemoran.com plantemoran.com
Allie Steudle 734.302.6909 allie.steudle@plantemoran.com
THANK YOU
8
(This page left intentionally blank)
Comprehensive Annual Financial Report of the City of Wixom, Michigan for the fiscal year ending June 30, 2011
CITY OF WIXOM OFFICIALS City Council Mayor Kevin W. Hinkley Patrick Beagle Lori Rich
James Cutright Thomas Rzeznik
John Lee Richard Ziegler
City Administration City Manager J. Michael Dornan City Clerk Cathy Buck
Finance Director/Treasurer Kevin Brady City Attorney Groth Elowsky Kelley Pawlak Seglund, PLC City of Wixom 49045 Pontiac Trail Wixom, Michigan 48393-2567 Phone: (248) 624-0894 Fax: (248) 624-0863 www.ci.wixom.mi.us
City of Wixom, Michigan CONTENTS Introductory Section Letter of Transmittal
1-13
GFOA Certificate of Achievement for Excellence in Financial Reporting
14
Functional Chart
15
List of Principal Officials
16
Fund Organization Chart
17
Financial Section Independent Auditor’s Report
1-2
Management’s Discussion and Analysis
4-17
Basic Financial Statements Government-wide Financial Statements: Statement of Net Assets Statement of Activities Fund Financial Statements: Governmental Funds: Balance Sheet Statement of Revenue, Expenditures, and Changes in Fund Balances Reconciliation of the Statement of Revenue, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement Of Activities
18 19-20
21-22 23-24
25
Proprietary Funds: Statement of Net Assets (Deficit) Statement of Revenues, Expenses, and Changes in Net Assets (Deficit) Statement of Cash Flows
26 27 28
Fiduciary Fund: Statement of Fiduciary Net Assets Statement of Fiduciary Net Assets - Retirees Trust Fund (Health Insurance)
29 30
Component Units: Statement of Net Assets Statement of Activities Notes to Financial Statements
31 33-34 35-70
City of Wixom, Michigan CONTENTS Required Supplemental Information Budgetary Comparison Schedule – General Fund
73
Budgetary Comparison Schedules – Major Special Revenue Funds: Major Road Act 51 Fund Local Road Act 51 Fund Local Road Capital Fund
74 75 76
Notes to Required Supplemental Information
77-81
Other Supplemental Information Nonmajor Governmental Funds: Capital Improvement Fund Major Road Debt Service Fund Special Assessment Fund Budget Stabilization Combining Balance Sheet Combining Statement of Revenue, Expenditures, and Changes in Fund Balances Budgetary Comparison Schedules – Nonmajor Special Revenue Funds
89-90 91-97
Financial Plan Comparison Schedules Nonmajor Capital Project Funds
98-99
Fiduciary Fund - Statement of Changes in Assets and Liabilities Downtown Development Authority – Combining Statement of Net Assets & Activities Local Development Finance Authority – Combining Statement of Net Assets & Activities Notes to Other Supplemental Information Nonmajor Governmental Funds
83 84 85 86 87-88
100 101 102 103-104
Statistical Section Overview
106
Net Assets by Component – Last Nine Fiscal Years
107
Change in Net Assets Governmental Activities – Last Nine Years
108
Changes in Net Assets Business Type Activities – Last Nine Years
109
Governmental Funds Activities - Fund Balance – Last Ten Years Historical Revenues – Last Ten Years
110-111 112
City of Wixom, Michigan CONTENTS Historical Expenditures – Last Ten Years
113
Water Enterprise Fund – Water Expenditures by Category – Last Ten Years
114
Wastewater Enterprise Fund – Wastewater Expenditures by Category – Last Ten Years
115
DDA Fund – Revenue and Expenditures by Category – Last Ten Years
116
Library Fund – Revenue and Expenditures by Category – Last Ten Years
117
Taxable Valuation for Ad Valorem and Industrial Facilities Tax (Personal and Real) – Last Ten Years
118
Property Tax Rates – Direct Millage – Last Ten Years
119-120
Property Tax Rates – Overlapping Government – Last Ten Years
121-122
List of Principal Taxpayers
123
Property Tax Levy and Collections – Last Ten Fiscal Years
124-125
Ratio of Outstanding Dept by Type to Assessed Value and Per Capita – Last Ten Years
126-127
Ratio of Annual Debt Service Expenditures for General Bonded Debt to Total General Government Expenditures – Last Ten Fiscal Years Computation of Legal Debt Margin Year Ended June 30, 2011
128 129-130
Principal Employers – June 30, 2011
131
Full-Time Government Employees
132
Demographic Statistics – Last Ten Years
133
Operating Indicators by Function/Program – Last Ten Years
134
Capital Asset Statistics by Function/Program – Last Ten Years
135
Community Profile Miscellaneous Statistics (Sources: Southeast Michigan Council of Governments And U.S. Census Bureau)
136-153
City of Wixom, Michigan CONTENTS City Maps Master Plan Map Zoning Map Existing Land Use Community Facilities Commercial / Industrial Neighborhoods Transportation Conditions Future land Use Street Map
155 156 157 158 159-161 162 163 164-165
Annual Disclosure Document
166-170
(This page left intentionally blank)
December 14, 2011 To the Honorable Mayor and City Council City of Wixom Wixom, Michigan 48393 With this letter, we transmit the City of Wixom's Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June 30, 2011. This report has been prepared pursuant to, and in compliance with State statutes, which require the City to publish within six months of the close of each fiscal year a complete set of financial statements in compliance with generally accepted accounting principles (GAAP) and audited in accordance with generally accepted auditing standards. The financial statements have been prepared by the City's Finance Department for the purpose of disclosing the City's financial condition to its residents, elected officials, and other interested parties. Management assumes full responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures. To the best of our knowledge and belief, the financial information is accurate in all material respects and is presented in a manner designed to present fairly the financial position of the City. The Comprehensive Annual Financial Report is presented in three sections: Introductory Section - The introductory section includes this letter of transmittal, the City’s organizational chart, a list of principal officials, and a fund organizational chart. Financial Section - The financial section includes the independent auditor’s report on the basic financial statements, management’s discussion and analysis, basic financial statements, and combining and individual fund statements and schedules for the City’s nonmajor and fiduciary funds. Statistical Section - The statistical section includes selected financial and demographic data depicting the City’s historical trends and other significant information. The City of Wixom's financial statements have been audited by Plante & Moran, PLLC. The purpose of an independent audit 1
is to provide reasonable assurance that the financial statements are free of material misstatement. The independent audit involves 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 audit concluded that there was a reasonable basis for rendering an unqualified opinion that the City of Wixom's financial statements for the year ended June 30, 2011 are fairly presented in conformity with GAAP. Plante & Moran's report is presented as the first component of the financial section of this report. All local units of government within the state of Michigan must comply with the Uniform Budgeting and Accounting Act, PA 2 of 1968, as amended, which requires an annual audit of the financial records and transactions of the City by independent certified public accountants. The primary purpose of the auditing requirements of this act is to maintain the confidence of all interested parties in the integrity of the recordkeeping and financial reporting of local units of government. The independent audit of the City’s financial statements did not require a “single audit” due to not meeting the $500,000 grant threshold as federally mandated. The single audit is designed to meet specific requirements of federal grantor agencies. These requirements require the independent auditor to report not only on the fair presentation of the financial statements, but also on the City's internal controls and compliance with legal requirements, with special emphasis on internal controls and legal requirements involving the administration of federal awards. This letter is designed to introduce the financial report and provide information that would be useful in assessing the City's financial condition (particularly information about future resources and obligations). In addition, the financial statements include a narrative introduction, overview, and analysis in the form of a management's discussion and analysis (MD&A), which should be read in conjunction with this letter. City Location and Character The City of Wixom has been identified as one of seven top performing communities in the State of Michigan at fostering entrepreneurial growth and economic development. In a study by researchers at iLabs, University of Michigan-Dearborn’s Center for Innovation Research, Wixom was also recognized as a Five-Star Community. This is Wixom’s fourth receipt of this recognition (2007, 2009, 2010 and 2011) from a statewide study of 138 communities by researchers at the University of Michigan-Dearborn’s School of Management Center for Innovation Research (iLabs). “Wixom is particularly proud to again be recognized as being exemplary in using a combination of the best governmental practices and business approaches to retain and attract business. This translates into jobs”, said City Mayor Kevin W. Hinkley. As noted by UM-Dearborn’s iLabs eCities 2011 research “The annual eCities research project, which began in 2007, uses data supplied by the participants as well as other public records to assemble a six-factor, 32-item index of entrepreneurial activity, looking at such factors as clustering, incentives, growth, policies, community and education. The study focuses on entrepreneurship because of its importance to expansion and diversification of Michigan’s regional economies and the impact small businesses have on job creation. To date, 138 communities across Michigan have participated in the study.” You can’t have a “Place” until you have a Vision. The City has kicked off its 2025 Visioning Sessions for the community to begin to build a holistic sustainable community for the future. The 2
City has hosted drop in sessions at the City’s Community Center as work begins on the 2025 City Vision Plan to address the future direction, needs and appearance of the City. In tandem with the 2025 Visioning, the City will also be updating the City’s Master Plan and the Parks and Recreation’s Master Plan. Public input was an integral component of these plans. It was hoped that those who participated were given an opportunity to have a say in the future of the City. A survey was placed on the City’s website to receive input from others who are not able to attend one of these meetings and would like to complete an online survey. The City of Wixom, incorporated in 1958, is strategically located in the southwestern portion of vibrant Oakland County, encompasses an area of approximately 9 square miles, and is approximately 30 miles northwest of downtown Detroit. Wixom is considered an excellent community in which to live and work. A dynamic, growing community, the City provides residents with a quality lifestyle including beautiful residential neighborhoods, excellent schools, and all the social and cultural opportunities that come with a thriving community. Wixom is well-connected to highway, rail, and air transportation routes offering outstanding accessibility. The City operates under the City Council-Manager form of government. Policy-making and legislative authority are vested in City Council, which is presided over by the Mayor, who is elected for a two-year term. The six other Council members are elected for four-year overlapping terms. The City Council is responsible, among other things, for passing ordinances, adopting the budget, and appointing advisory board and Council members. The City Manager is responsible for carrying out the policies and ordinances of the City Council and for overseeing the day-to-day operations of the City. The City Council appoints the City Manager and City Clerk, who reports, as do all other department heads, to the City Manager. Throughout its history, Wixom has enjoyed a high level of citizen involvement, which has contributed to the high quality of life in the community. Residents are elected or appointed to serve on City Council and a variety of committees, and boards. Residents and officials alike volunteer their time and talent to support various projects to benefit the community. The City provides a wide range of municipal services, including police and fire protection; the construction and maintenance of roads and other infrastructure; recreational activities and cultural events; community planning, zoning, and code enforcement; refuse collection, water receiving, and sewer disposal services. In addition to general government activities, the activities of the Downtown Development Authority and the Local Development Finance Authority are reported as a separate component unit of the City. Component units are legally separate entities for which the primary government is financially accountable. Factors Affecting Financial Condition The information presented in the financial statements is best understood when it is considered from the broader perspective of the environment in which the City operates. Local Economy - The diverse tax mix of residential, manufacturing, office, service, technology, and retail-recreational centers reduces Wixom’s impact of adverse economic cycles and provides a stable environment for new investment. The City also continues to have a strong, diversified tax base. A total of 38% of the 2011 tax roll is residential and apartments. The remaining 62% is nonresidential, composed of 31% commercial, 14% industrial and 17% personal property. The City is approximately 80 percent developed. The State Tax Commission requested a procedural change for the 2010 Assessment year which reclassified a significant portion of industrial to commercial property classification. 3
Efforts continue to bring about the repurposing of the Wixom Ford Assembly Plant’s 318 acre site. In a joint meeting of the City Council and Planning Commission, Ford Development CEO, Donna Inch, presented a new concept plan for the 318 acre former Ford-Wixom Assembly Plant site. The original 2009 Redevelopment Plan has been downsized due to the dramatic change over the last two (2) years in the global economy. Clairvoyant Energy currently intends to continue its pursuit of the development of 500,000 square feet of the 4.7 million square foot plant; with the balance of the plant split into individual industrial/manufacturing condominium units, or demolished in sections as conditions dictate, which is being proposed as a renewable energy park by Clairvoyant Energy (Santa Barbara, CA) and Xtreme Power (Kyle, TX). These two companies continue to work at federal, state and local levels and with Ford Motor Company to obtain the backing needed for this huge undertaking which could bring over 4,000 jobs to Oakland County. The current difficult credit market and complexity of the transactions are making it difficult to finalize. The region, which includes the City of Wixom and the surrounding area of Oakland County, has almost 42,000 businesses which employ approximately 720,000 people with 50% of Global Fortune 500 companies having business locations in Oakland County. Amongst 3,111 counties nationwide, Oakland County has maintained an AAA bond rating putting it in the top 1% of U.S. counties. Oakland County is ranked seventh for per capita income among all counties in the nation with populations of over one million. Oakland County's 910 square miles are located just north of Detroit. 2010 population estimate is 1.2 million. Oakland County has more people than each of these nine "states:" Alaska, Delaware, District of Columbia, Montana, North Dakota, Rhode Island, South Dakota, Vermont and Wyoming. The Emerging Sectors strategy is working in Oakland County. Emerging Sectors identifies the top growth sectors and targets the top companies within each sector. Since the program began in late 2004, Oakland County has seen 1.7 billion dollars in new investment, more than 24,000 new jobs created, and nearly 10,000 jobs retained. Over the long-term, it is estimated that the future taxable values will increase significantly once the Wixom Ford Assembly Plant’s 318 acres are developed over the next 2-10 years. Due to declines in values in the real estate market, the short-term projections for taxable values will likely decline in FY2012-2013. The estimated change in taxable value for FY2011-2012 could range from a decline of 6%-10%. As discussed with City Council, the Five Year Financial Action Plan continues to need further modification to assist in softening the impact of this trend on the City’s budget for the FY2013. The City Charter allows a property tax rate of up to 8 mills, which is then reduced by the Headlee Amendment to 7.5429 mills. During the 2010-2011 fiscal year, the City levied 7.5429 of its authorized mills. As part of the Five Year Financial Action Plan, the City has projected that it will continue to levy the 7.5429 mills in the FY2011-2012 and FY2012-2013 budgets. Accounting and Budgetary Control - The City's comprehensive internal controls framework has been designed to protect the City's assets from loss, theft, or misuse, and to compile sufficient reliable information for the preparation of financial statements in conformity with GAAP. Internal accounting controls are designed to provide reasonable, but not absolute, assurance that the financial statements will be free from material misstatement.
4
The annual budget serves as the primary financial management tool for the City. From November to March, the City Manager and department heads develop and review departmental and activity budgets. At the budget review sessions in April and May, the City Council gives feedback and communicates its priorities and the direction in which it wishes to proceed. The City Manager, also in a public forum in May, presents the proposed budget in line-item detail to the City Council for review and approval. The Council is required to hold public hearings on the proposed budget and to adopt a final budget, by charter, on the fourth Tuesday in May. In addition, beginning in FY2011-2012 budget the City has provided projections of revenues and expenditures for two years, Fiscal Year 2011-2012/Fiscal Year 2012-2013. It is hoped that the multi-year budget presentation will inform the City Council and end users of the expected financial condition and health of the City while providing information about ongoing strategy and goals of the City. The City of Wixom's budget is a plan that represents the City Council's commitment to provide cost-effective, efficient, and quality services to its residents. The annual budget is adopted in accordance with legal requirements governed by the City’s Charter and the Uniform Budgeting Act, State of Michigan, P.A. 621 of 1978. Activities of the General Fund and Special Revenue Funds are included in the annual appropriated budget. The General Fund and Special Revenue Funds are under formal budgetary control. Financial plans for the Debt Service Funds, Enterprise Funds, Capital Project Funds and Component Units are submitted to City Council for review and approval. The City adopts its budget by function and category, which is the level of classification detail at which, by law, expenditures cannot exceed appropriations. Budget transfers between budgetary categories, functions or from fund balance are periodically approved by the City Council. Department heads with City Manager approval may make transfers of appropriations annually within a department up to an aggregate of $20,000. Unexpended appropriations lapse at year end, while open purchase orders and contract encumbrances are immediately reappropriated to the subsequent fiscal year. Overall for the year, the total General Fund expenditures exceeded total revenues by ($77,419). The Budget Stabilization Fund was combined with the General Fund in accordance with GASB 54 while it was not combined for Budget and five year financial planning purposes. Long-term Financial Planning – Over the past several years, the State has experienced economic difficulties. Approximately 11% of the City's total revenues come from sales tax that is collected by the State and shared with local units of government. Because of reductions in statewide collections of income tax and single business tax, the State government has retained a higher portion of the sales tax in order to balance its own budget. This has resulted in a decrease in state-shared revenue in the current year. Over the last ten years the City’s State Shared revenue has decreased from $1,372,133 (10/31/2001) to $915,590 (10/31/2011) or 33.3% reduction. Both the constitutional and statutory portions of State Shared revenue have decreased over the last 10 years (Constitutional decreased $12,434 or -1.4% and the statutory portion decreased $444,109 or -86.8% over the same time period.) Currently, the State projects revenue sharing total for the City will be $915,590 for 10/31/2012 with the statutory portion at $21,996 and the constitutional portion at $893,594. Along with efforts to ensure a future growth in tax revenue, in FY2006 the City developed a Five-Year Financial Action Plan for the City’s General Fund and Capital Improvements Program to identify its long-term financial and capital needs and ability to fund programs and services.
5
The Financial Action Plan highlights include the following goals for the five years from FY2007 to FY2011. 1. Fund Balance will remain at 15%. 2. The City will try to keep the overall City millage rate the same over the next five year period. 3. The Headlee buffer will not be used unless it is deemed necessary. 4. Each year any excess of actual over budget which causes the fund balance to exceed 15% at the close of the audit will be transferred to the Budget Stabilization Fund. At the close of Fiscal Year 6/30/2011, it is estimated that $509,893 will be transferred from the General Fund to the Budget Stabilization Fund (These two funds are combined for Financial Statement purposes according to GASB 54.) providing a combined fund balance of approximately $3,281,850 as of 7/1/2011 (General Fund $1,907,362 and Budget Stabilization Fund $1,374,488) or 35% compared with the FY2011-2012 original budget. 5. Changes in revenue have been implemented in the building permits and fees area according to the new construction valuation tables revised by the International Code Council (ICC) and the introduction of a Rental Inspection/Income Ordinance. The City has begun an examination of other user charges and fees for rental charges for the cultural center, Parks & Recreation fees and charges, and user fees and charges for other services. 6. Reduction in capital improvements will be instituted before operational reductions where appropriate. 7. Budget amendments will be limited except if revenues are available to support increase in budget. 8. As of July 1, 2006, new hires for non-union will be provided Defined Contribution Retirement Plan (ICMA), rather than the MERS Defined Benefit Plan. 9. As of July 1, 2006, new hires for non-union will be provided an annual Defined Contribution Health Savings amount of $1,300, rather than the 90%/10% Defined Benefit Health Plan for Retirees. 10. The City has instituted a Health Arrangement Plan (HRA) to lower health insurance premiums for Non-union, Police Officer Union, Police Sergeant Union, DPW Union, and Clerical Union. As of June 30, 2011 the estimated aggregate savings on the HRA program is $799,764 of which $332,464 relate to FY2010-2011, $256,264 relate to FY2009-2010, $131,400 relate to the FY2008-2009, and $79,636 for FY2007-2008. 11. As of July 1, 2006, new hires for non-union employees will be provided HMO rather than PPO health insurance plans unless the employee pays for the additional cost for the PPO plan. 12. The City is examining with other communities privatizing or sharing services with different departmental functions such as Public Safety and Public Works. The City has renegotiated the contract with United Water for Wastewater and Water Utility Management Services for a 10 year period. 13. The City has reduced its workforce from 65-55 since FY2004 when it was necessary and available. 14. Over the next five years from FY2012 though FY2017, the City has identified over $4.2 million in capital needs with funding sources in place to meet those needs.
6
This Five-Year Financial Action Plan is a cornerstone in the financial plans of the City. From an operational perspective, while the City’s fiscal health is good, the City will need to weather further declines in taxable values before the Ford Motor Company property is developed. This development should create further opportunities within the City to broaden the diverse and growing economy within the City. The increase in property tax revenue continues to be constrained by the Headlee Amendment (which reduces the maximum authorized millage rate when property is transferred and increases in value) and the provisions of Proposal A (which limits increases in taxable values to 5 percent or the rate of inflation, whichever is less). The City will need to modify the Five-Year Financial Action Plan further to bring revenues and expenditures in line. This is the fifth successful year operating with the rolling Five Year Financial Action Plan. Through the utilization of this living document we have been able to maintain services, staff and consistent tax rates in an economic climate ripe with declining property values and business reduction. The City continues to modify the goals outlined in the Five-Year Financial Action Plan as it tries to continue to meet many of the original goals of this plan. • General Fund Balance has remained at 15%. • General operating millage has remained the same along with the overall millage except for new Bike Path millage of .30 mills. • Combined utility rates for water and wastewater have remained the same over this period and continues to be one of the lowest utility rates in Oakland County. • Due to declines in taxable values across Oakland County, the Headlee buffer has been utilized as part of the Financial Action plan. • The City millage rate is 11.6623 which continues to have one of the lowest millage rates in Oakland County whose City millage rates range from 9.05 to 24.7689 mills. • The Solid Waste Collection and recycling fee was reduced from $160/year to $155/year with special pricing for qualifying senior citizens. • Health Reimbursement Plan reduced health care costs and provides measurable savings. • No full-time personnel additions have been made over the Five-Year Financial Action Plan while no layoffs have occurred. Any reduction in full-time staff has been due to planned retirement or change in employment opportunities. • The total General Fund expenditures are less for FY2010-2011 ($9,070,356) than in FY2009-2010 ($9,576,793) by $506,437 or 5.3% decrease in overall expenditures. • The total General Fund wage/salary expenditures were lower for FY2010-2011 than in FY2009-2010 by ($72,876) or 1.8% decrease in overall wage/salary expenditures. The overall percent increase in the actual wage/salary expenditures from FY2005 to FY2011 was 5.1% or less than 1% per year. • The total General Fund fringe expenditures increased for FY2010-2011 than in FY20092010 by $155,496 or 8.5% increase in overall fringe expenditures. The overall percent increase in the actual fringe expenditures from FY2005 to FY2011 was 16% or 2.7% per year. The reason for the fringe benefit increase is due to MERS percent increases on Defined Pension Plan. This is due to reduced time period for amortization and recovery of investment losses in previous year over an extended period of time. Health insurance expenditures increased overall by 2% while Delta Dental decreased by 3%. • Overall Municipal Debt decreased from last fiscal year from $22,105,678 to $19,542,725. The City retired the Wastewater Debt early in FY2008, the LDFA bonds in FY2007, and the Civic Center Bonds in FY2009. The City refinanced bonds in September 2009 with a savings of approximately $167,000. • Ratings Agencies have indicated A1 (Moody’s) rating for the City. The current debt percent over the assessed value is well below the 10% of the SEV as required by Act 279, Public Acts of Michigan. 7
•
The City has funded OPEB and Pension, the current OPEB plan’s funding level at 46% and the pension plan’s funding level at 68%.
The 2011 OPEB expenses include a City contribution of $221,620 towards retiree health care. The OPEB expenses were allocated to the various functions or programs; they are included in the general government program. The City has made significant changes in the fringe benefit costs as indicated in its Financial Action Plan. Greater revenue growth and/or cost containment measures have been implemented to help mitigate future stress on City finances. The City participates in the Municipal Employees’ Retirement System (MERS), an agent multiple-employer defined benefit pension plan that covers substantially all full-time employees of the City. The MERS provides retirement, disability, and death benefits to plan members and their beneficiaries. Required contributions are determined as a part of an annual actuarial valuation. As of December 31, 2010, the ratio of present assets to actuarial accrued liabilities was 68%. As of July 1, 2006 new non-union employees are offered a Defined Contribution Plan using ICMA-RC. The City of Wixom also provides post retirement health care benefits for certain retirees and their dependents. As of the end of the current fiscal year, there were 4 retired employees receiving these benefits. Additional information pertaining to the City's pension and postemployment benefits can be found in Notes 10 and 11 of the notes to the financial statements. The MERS board has passed new funding levels. Municipalities’ retirement pensions must be funded up to a designated percentage before allowing an increase or change in benefits. In approximately 4 years they went from funding levels of 50% to 100%. Funding level pushed to 100% as of July 1, 2012. • Funding level required at 50% funded prior to January 1, 2008 • Funding level required at 60% funded commencing January 1, 2008 • Funding level required at 80% funded commencing July 1, 2009 • Funding level required at 100% funded commencing July 1, 2012 The Board also made changes to the MERS Fiscal Responsibility Policy, Plan Document section 43C, regarding minimum funding requirements. “Effective July 1, 2012, the MERS Fiscal Responsibility Policy will require a division and its municipality be at least 100% actuarially funded to increase benefits. The previous 80% requirement was adopted by the Board in July of 2009. This policy is designed to help municipalities provide sustainable, affordable retirement benefits to their employees. As trustee and fiduciary of the MERS Plan, the Board has the duty to operate on behalf of municipalities for the exclusive benefit of retirees, beneficiaries and participants.” Legislation, PA 152, that requires public employers to either put a hard cap on health care costs or have an 80/20 cost sharing arrangement (with an opt-out for locals) was approved by Governor Snyder. The bill has a preference for a hard cap, so all public employers are capped in what they can pay for an employee's health care costs. The cap is $5,500 for a single person, $11,000 for a couple and $15,000 for a family. A public employer may, with 2/3 vote of its governing body, instead opt out of the hard cap or 80/20 cost sharing arrangement. In accordance with the Governmental Accounting Standards Board, the City has completed steps related to Statement Number 54, Fund Balance Reporting and Governmental Fund Type Definitions (Issued 02/09). As described by GASB “The objective of this Statement is to enhance the usefulness of fund balance information by providing clearer fund balance 8
classifications that can be more consistently applied and by clarifying the existing governmental fund type definitions. This Statement establishes fund balance classifications that comprise a hierarchy based primarily on the extent to which a government is bound to observe constraints imposed upon the use of the resources reported in governmental funds.” You may follow the link to obtain more information on this statement. http://www.gasb.org/st/summary/gstsm54.html The City began funding for Postemployment Benefits in Fiscal Year 1993 when the Retiree Insurance Fund was established. Though the City has less than 100 participants, an actuarial valuation was completed as of June 30, 2005. The obligation to provide retiree health care benefits included past service cost that will be amortized over a 30 year period. The City has begun to contribute an annual recommended contribution (ARC) as noted in the valuation. The contribution for FY 6/30/2011 was for $221,620 for the General Fund portion and $34,960 for the Library portion. As of FY 6/30/2011 the fund balance in the Insurance Retirement Fund amounted to $3,419,519. In February 2005, the City setup a trust fund under PA 149 of 1999 by establishing a Health Vehicle Investment Fund with Municipal Employees Retirement System (MERS). This was established with the hope to provide a greater rate of return on investments over an extended period of time. Major Initiatives - Fiscal Year 2010-2011 The City enjoyed another productive year in service to the residents, businesses and visitors and remains “THE BEST HOMETOWN IN THE MIDWEST”. The following will briefly highlight our accomplishments and other noteworthy matters: • • •
• • • • •
The City was once again recognized by the University of Michigan – Dearborn, School of Management and awarded their Entrepreneurial Cities Award for a fourth time. We were honored by this award in 2007, 2009, 2010 as well. Efforts continue to bring about the repurposing of the Wixom Ford Assembly Plant’s 318 acre site. Surgical demolition within the plant has occurred for the sole purpose of preparing the plant for reuse. Ultraviolet disinfection upgrades completed at the Wastewater Treatment Plant. The UV system disinfects the WWTP's effluent by removing the pathogens and coliforms prior to discharge into the Norton Creek. The new UV system is approximately 30% more energy efficient than the old system and was designed to accommodate the future need of the WWTP including flows from Milford. A Rental Ordinance was adopted in July of 2010 and has been implemented. The purpose of the Ordinance is to protect the public health, safety and welfare to ensure that all rental units are in compliance with Building and Safety Codes and to prevent a public nuisance. Once again, partnering with the Walled Lake Eagles, the City participated in the Rebuilding Oakland County program wherein homes received improvement. Also with the Eagles, canned good donations were collected at a City Summer Concert. For the sixth consecutive year Wixom has received the Certificate of Achievement for Excellence in Financial Reporting for the Comprehensive Annual Financial Report from the Government Finance Officers Association of the United States and Canada. Massive repairs were completed in all five (5) phases of Wexford Mews under budget by $500,000. Two safety paths (Grand River and Potter Road) were completed under budget saving the City $70,000. 75 new businesses moved into Wixom, including Wolverine Assemblies, Plasan Carbon Composites and Hallite Seals America. Additionally, an investment of approximately $6 million in new construction was made this fiscal year by the private sector. 9
• • •
Demolition of 29200, 29230 and 29240 Beck Road properties was completed in 2010 as well as the demolition of 48001 West Road. The City Hall and Sibley Corners areas became wireless campuses. In our continuing effort to reduce expenditures, a number of initiatives were undertaken and/or improved upon including: 1. The City Compressed Workweek. This program has resulted in a twelve month savings totaling $48,337. We continue to receive positive comments from the public and the employees regarding this program. 2. The DPW continues to be a regional leader in public works innovation. Examples include the compressed work week split shift program, beet juice deicing cocktail, multi-purpose hooklift truck, the use of BidNet for the sale of surplus equipment, the partnership with SPURT for yard waste recycling, the e-waste drop-off center and others. The latest DPW innovation is the retrofitting of heavy equipment, trucks and police vehicles with a quick connect oil change system manufactured and distributed by the Wixom based company Environmentally Safe Oil Change Commercial Truck, Inc. (ESOC). The ESOC System evacuates vehicle engine waste oil and pumps in the fresh oil pressurizing the bearings and lubrication system thereby eliminating “dry starts” and reducing engine wear. In addition to extending engine life, the system reduces the time required to perform an oil change and eliminates the possibility of an environmental incident by discharging waste oil directly into a collection tank for subsequent reuse/reprocessing by a third party. 3. Farmer’s Market was relocated to Sibley Park and expanded to include weekly acoustical entertainment, on-site Master Gardeners, demonstrations of various cooking recipes, and kids’ activities. 4. Summer Concerts were expanded to include an art show, wine tasting, inflatables and micro beer tasting. 5. A $13,000 grant provided the City a new website including a notification system for residents, job postings, online job applications and a Business to Business forum among other things. 6. A lease with 123.Net for antenna space on the water storage tank is generating revenue while serving as a redundant communications system for a major local business. 7. The City received a $76,000 grant allowing us to retrofit the streetlight system in the VCA and save substantial energy costs in the future. This contributed to the Oakland County Green Community Excellence Award. 8. The City saved $13,000 by changing the way we bill for solid waste. 9. The City saved $256,264 through lowering insurance premiums with the Health Arrangement Plan. 10. The City partnered with the Road Commission for Oakland County and Cadillac Asphalt to evaluate a Warm Mix Asphalt, as an alternative to Hot Mix Asphalt, thereby reducing production costs, greenhouse emissions and producing improved material compaction. The test area is located on Wixom Road between West and the Wixom/Old Wixom Road intersections. 11. This year’s Fire Department Open House was entirely supported through the donations of corporate sponsors. Firefighters also donated $7,800 to the University of Michigan Trauma Burn Unit. 12. Wixom again received an A-1 bond rating and refinanced our bonded indebtedness lowering interest rates by 2.1% which resulted in a savings of approximately $165,000. 10
13. Wixom has continued to maintain one of the lowest combined water and sewer rates in Oakland County. 14. Approximately 45 local businesses provided financial support for civic events contributing $35,000 to programs/events including Founder’s Day, Concerts in the Park, Fall Fest and Showcase Wixom. 15. Police Department grants allowed the purchase of six (6) in-car video project ($9,000) and security key pads ($2,872) for the Department. $11,000 was also generated through the loan of specialized investigative equipment. Major Initiatives – State of Michigan Major pieces of legislation, enacted and proposed, have occurred during FY2011 and during the first quarter of FY2012 which may effect, positively or negatively, the City’s financial position. Exempt Personal Property taxes: Legislation has been introduced to exempt personal property taxes. Though a major effort by the MML and local communities requesting offsetting revenue has occurred, it is not guaranteed at this time whither the new legislation will provide any source of revenue to replace personal property tax losses. Lt. Govenor Brian Calley and Senator Jack Brandenburg, chair of the Senate Finance Committee, indicated that there is no current legislation to look at eliminating the Personal Property Tax (PPT) before the end of the year. The City would face another major financial setback if personal property taxes were eliminated. Due to lower property values, less than full recovery in the economy, along with decline in permit fees and interest income; stability of revenue sources continues to be a problem. Currently, personal property taxes account for 17% of the City’s property tax revenue.
Estimated Personal Property Tax Revenue Loss General Fund
($887,006)
Local Road Capital Project
($133,043)
Major Road Debt
($100,601)
Safety Bike Path
($35,275)
DPW & Fire Construction Debt
($51,176)
Water Enterprise
($164,907)
Total
(1,372,008)
Local Government and School District Fiscal Accountability Act, Public Act 4 of 2011: This act authorizes the State to intervene into the financial matters of local government if it is determined a financial emergency exists. It is hoped by early intervention, the State can appoint an emergency manager who can reverse the financial outlook of an examined municipality. The emergency manager has significant powers including assumption of the authority of local officials, and the power to terminate collective bargaining agreements and contracts under certain circumstances. The State Treasurer can conduct a preliminary review for financial problems if one or more special events occur. 11
Public Act 54 – Retro-Pay Prohibition: From the date of the expiration of a contract to the date of a new contract, a public employer shall pay wages and benefits at the rate in effect on the expiration date of the contract. Since benefits are also not allowed to increase during this period, the employees shall bear any increased cost of benefits during this period and the employer is authorized to make necessary payroll deductions for the increased costs of benefits. The Government Finance Officers Association (GFOA) of the United States and Canada awarded a Certificate of Achievement for Excellence in Financial Reporting for the City of Wixom for its Comprehensive Annual Financial Report (CAFR) for the fiscal year ended June 30, 2010. This was the sixth year that the City has received this prestigious award. In order to be awarded a Certificate of Achievement, a government must publish an easily readable and efficiently organized CAFR, which satisfies both GAAP and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We hope that this current CAFR continues to meet the Certificate of Achievement Program's requirements, and we are submitting it to the GFOA to determine our eligibility for another certificate. In addition, Eastern Michigan University in conjunction with the City of Wixom, prepared the Popular Annual Financial Report (PAFR) as part of a class project. The City submitted the PAFR to the Government Finance Officers Association (GFOA) for a Certificate of Excellence. The GFOA established the PAFR Program in 1991. Special thanks to Professor William LaGore and his students in Accounting 546, Public and Nonprofit Sector Accounting, at Eastern Michigan University for their contribution to this PAFR whose collaboration with the City of Wixom is much appreciated. A PAFR is a simplified version of the Comprehensive Annual Financial Report (CAFR) designed to explain in easy to understand language for the general public and other parties without a background in public finance. Unlike the CAFR, the PAFR is unaudited and presented on a non-GAAP basis. We hope this document makes the City's financial information more accessible to ordinary citizens and other interested parties. The PAFR provided a valuable learning experience for the students as well as created an enhanced experience for the citizens of Wixom. The City has placed on their website interactive financial tools including a Citizen’s Guide, A City Scorecard, a City Dashboard and further financial data. The Citizen's Guide and Dashboard is the Accountability and Transparency requirement under the State of Michigan Economic Vitality Incentive Program (EVIP). Understanding the current status and future prospect of the City of Wixom's financial health/condition is an integral responsibility of City Council and the professional staff, and is essential to paving the way to prosperity for the generations to come. City of Wixom – Scorecard: The Scorecard covers the following areas: Economic Strength, Fiscal Stability, Governmental Services, Health & Education, and Quality of Life. You may follow the link to view the interactive scorecard. http://www.cityofwixom.com/index.aspx?NID=1144 City of Wixom – Dashboards: We hope the Financial Dashboard provides a clear picture of the City's Financial performance. The areas covered by this interactive dashboard include Millage Rates, Fund Balance, Revenues, Expenditures, Personnel, Other Funds, Library, Capital Improvements, Utilities and Debt. You may follow the link to view the interactive scorecard. http://www.cityofwixom.com/index.aspx?NID=1074 12
13
14
City of Wixom Functional Chart Citizens City Council
Boards & Commissions
City Manager's Office
List Below Senior Citizens, Cemetery Authority, Beautification, LDFA & DDA, Parks & Recreation, Planning Commission, Board of Review, Board of Appeals, Land Acquisition
Public Safety
Police
Community Services
Finance
Fire
Treasury
Information Systems
City Clerk's Office
Parks & Recreation
Senior Services
Assessing
Community Center
Public Services
Engineering Construction Services
Building
Dept. of Public Works
Water & Sewer Utilities
Patrol
Incident Command
Planning
Streets & Roads
Investigation
Inspection
Code Compliance
Storm Sewer
Records
Records
Development Services
Solid Waste & Recycling
Fleet Services
15
City of Wixom List of Principal Officials June 30, 2011 Title City Manager Assistant City Manager City Clerk Deputy City Clerk Director of Public Works Building Official Finance Director/Treasurer Deputy Treasurer Community Services Director Public Safety Director Fire Chief
Name J. Michael Dornan Tony Nowicki Linda Kirby Anna Rottermond Michael Howell John Lipchik Kevin Brady Marilyn Stamper Deanna MaGee Clarence Goodlein Jeffrey Roberts
16
Fund Organizational Chart June 30, 2011 City of Wixom, Michigan Fund Organization Chart
Governmental Funds Special Revenue Funds:
General Fund
Debt Service Funds: Major Road Debt Special Assessment DPW & Fire Construction Debt DDA/VCA Development Debt
Capital Projects: Capital Improvement Fund Major Road Capital Fund DPW & Fire Construction Fund (Closed)
Community Development Block Grant Fund Major Road Act 51 Fund Local Road Act 51 Fund Land Acquisition Fund Local Road Capital Fund Safety Bike Path Fund Forfeiture Fund Special Agency Solid Waste Collection Fund Cemetery Fund Retiree Insurance Fund Budget Stabilization Fund (Combined with General Fund)
Proprietary Funds - Enterprise Funds Water Enterprise Fund
Sewer Enterprise Fund
Fiduciary Funds Trust & Agency
Retiree Health Insurance
Component Units Downtown Development Authority Local Development Finance Authority
17
Independent Auditor’s Report To the City Council City of Wixom, Michigan We have audited the accompanying financial statements of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the City of Wixom, Michigan (the “City”) as of and for the year ended June 30, 2011, which collectively comprise the City’s basic financial statements as listed in the table of contents. These financial statements are the responsibility of the City’s management. Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmental activities, the business-type activities, the aggregate discretely presented component units, each major fund, and the aggregate remaining fund information of the City of Wixom as of June 30, 2011 and the respective changes in financial position and cash flows, where applicable, thereof for the year then ended, in conformity with accounting principles generally accepted in the United States of America. The management's discussion and analysis and the budgetary comparison schedules, as identified in the table of contents, are not a required part of the basic financial statements but are supplemental information required by the Governmental Accounting Standards Board. We have applied certain limited procedures, which consisted principally of inquiries of management, regarding the methods of measurement and presentation of the required supplemental information. However, we did not audit the information and express no opinion on it. The introductory section, other supplemental information, statistical section, community profile, city maps, and annual disclosure document, as identified in the table of contents, are presented for the purpose of additional analysis and are not required parts of the basic financial statements.
1
To the City Council City of Wixom, Michigan However, these items have not been subjected to the auditing procedures applied by us in the audit of the basic financial statements, and accordingly, we express no opinion on them. Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City of Wixom’s basic financial statements. The accompanying other supplemental information, as identified in the table of contents, is presented for the purpose of additional analysis and is not a required part of the basic financial statements. The other supplemental information, including budgetary comparison schedules, combining balance sheets, and combining statements of revenue, expenditures, and changes in fund balance, have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. During the year, the City implemented GASB Statement No. 54, Fund Balance Reporting and Governmental Fund-type Definitions, as discussed in Note 1. As a result of this required implementation, the Budget Stabilization Fund is now reported in the General Fund, as discussed in Note 15. In addition, fund balance classifications in the governmental fund financial statements have been changed to reflect the five new classifications under GASB No. 54.
December 13, 2011
2
(This page left intentionally blank)
3
City of Wixom, Michigan Management’s Discussion and Analysis As management of the City of Wixom, Michigan, we offer readers of the City’s financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended June 30, 2011. We encourage readers to consider the information presented here in conjunction with the City’s financial statements. Financial Highlights As discussed in further detail in this discussion and analysis, the following represents the most significant financial highlights for the year June 30, 2011:
For governmental activities (General Fund and other funds), the current assets of the City exceed its current liabilities at the close of June 30, 2011 by $9,842,234, which may be used to meet the governmental ongoing obligations to citizens and creditors.
For business-type activities (Water and Sewer Utility Systems), the current assets of the City exceed its current liabilities at the close of June 30, 2011 by $9,316,217, which may be used to meet the business-type ongoing obligations to citizens and creditors.
Total net assets related to the City’s governmental activities decreased by $1,562,818, while the net assets related to the City’s business-type activities decreased by $872,512.
At the close of the current fiscal year, the City’s governmental funds reported combined ending fund balances of $9,573,342, a decrease of $1,788,834. The decrease in fund balance is primarily due to total expenditures exceeding total revenues for all governmental funds by $1,788,834 which provided resources for assistance in Local Roads Capital Program to be used for road projects ($1,011,584), assistance in Safety Bike Path Program projects ($180,937), assistance for DPW operating expenditures for road operations ($223,406), assistance in funding of capital improvement projects through the City’s five year capital improvement plan ($245,463), and the payment of debt service.
The City’s total debt during the fiscal year decreased from $22,105,678 to $19,542,725, a decrease of $2,562,953, which represents payments of outstanding debt.
Using this Annual Report This annual report consists of a series of financial statements: (1) management’s discussion and analysis (this section), (2) government-wide financial statements, (3) fund financial statements, (4) notes to the financial statements, (5) required supplemental information, and (6) other supplemental information. The government-wide financial statements include the statement of net assets and the statement of activities, which provide information about the activities of the City of Wixom as a whole and present a longer-term view of the City of Wixom finances. This longer-term view uses the accrual basis of accounting so that it can measure the cost of providing services during the current year, and whether the taxpayers have funded the full cost of providing government services. Both statements are used to indicate and monitor the overall financial health of the City.
4
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) The fund financial statements present a short-term view; they tell us how the taxpayers’ resources were spent during the year, as well as how much is available for future spending. Fund financial statements also report the City of Wixom’s operations in more detail than the government-wide financial statements, by providing information about the City of Wixom’s most significant funds. Some of these funds are mandated by federal and State law and bond covenants. The City Council establishes other funds to control and manage funds for particular purposes or to show it complies with legal requirements. The fiduciary fund statements provide financial information about activities for which the City of Wixom acts solely as a trustee or agent for the benefit of those outside of the government. These assets are restricted in purpose and do not represent discretionary assets of the City, and so these assets are not included in the governmental-wide financial statements. The notes to the financial statements are provided to give the reader additional information that is important to a full understanding and disclosure of the financial data provided for the government-wide and fund financial statements. The additional required and other supplementary information follows the basic financial statements that further explains and supports the information in the financial statements including budgetary comparison schedules and information for the General Fund and other major funds and schedules of non-major funds in fund financial statement format. The City of Wixom as a Whole As noted before, the City’s combined net assets decreased by approximately -2.5 percent from a year ago, decreasing from $100,729,463 to $98,294,133. A review of the governmental activities, separately from the business-type activities, shows a decrease of $1,562,818 in net assets which includes a increase in capital assets of $1,007,623, a decrease by $1,196,424 in reserves for major and local roads, a change in debt service and deferred revenue SAD by $876,856, and a reduction in unrestricted assets $562,729. Further reasons are shown below along with diligence in the area of expenditure control and disciplined budgeting practices. Category Increase in net investment in capital assets Decrease in reserves for street and highway programs Decrease capital projects expenditure reserves Increase in special agency reserves Other Purpose - Land Acquisition Fund Other Purpose - Forfeiture Fund Other Purpose - Other Funds Change in debt service funds and deferred revenue for SAD Change in unrestricted net assets Net Change to Net Assets-Statement of Activities
Net Change 1,007,623 (1,196,424) (14,672) 37,621 (551) 11,172 31,998 (876,856) (562,729) (1,562,818)
5
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) The business-type activities experienced a $872,512 decrease in net assets. This was primarily due to operating expenditures exceeding operating revenues by $1,665,145, contributions of water and sewer lines by developers of $83,940, and nonoperating revenues in the amount of $708,693. The following table shows, in a condensed format, the net assets as of the current date and compared to the prior year: Governmental Activities 2011
Business-type Activities
2010
2011
Total
2010
2011
2010
Assets: Current assets
$
Capital Assets Noncurrent assets
12,597,943
$
15,925,521
42,796,883
$
43,074,759
-
Total assets
$
-
55,394,826
10,982,972
$
13,110,679
54,314,667
$
54,042,509
97,111,550
97,117,268
402,962
$
402,394
402,962
402,394
67,555,582
121,095,427
126,555,862
59,000,280
65,700,601
$
23,580,915
$
29,036,200
Liabilities: Current liabilities
2,755,709
3,572,479
1,666,755
1,687,021
4,422,464
Long-term liabilities
9,354,118
10,540,065
9,064,631
10,026,834
18,418,749
20,566,899
12,109,827
14,112,544
10,731,386
11,713,855
22,841,213
25,826,399
75,351,091
Total liabilities
$
5,259,500
Net assets: Invested in capital assets 32,746,883
31,739,260
44,821,942
43,611,831
77,568,825
Restricted
Net of related debt
7,374,394
9,382,106
402,962
402,394
7,777,356
9,784,500
Unrestricted (deficit)
3,203,641
3,766,370
9,744,311
11,827,502
12,947,952
15,593,872
Total net assets
$
43,324,918
$
44,887,736
$
54,969,215
$
55,841,727
$
98,294,133
$
100,729,463
The largest portion of the City’s net assets (79 percent) represents its investment in capital assets (i.e., land, buildings, vehicles, equipment, water and sewer utility systems, and road infrastructure); less any related debt used to acquire those assets that is still outstanding. The City uses these capital assets to provide services to citizens; therefore, these assets are not available for future spending. Although the City’s investments in its capital assets are 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. Net assets of $7,777,356 represent resources that are subject to external restriction on how they may be used due to legal restrictions. The remaining unrestricted assets of $12,947,952 may be used to meet the government’s ongoing obligations to citizens and creditors.
6
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) At the end of the current fiscal year, the City has experienced a reduction in all three categories of net assets, both for the government as a whole, as well as for its separate governmental and business-type activities. Governmental Activities 2011
Business-type Activities
2010
2011
Total
2010
2011
2010
Revenue Program revenue: Charges for services Operating grants and contributions Capital grants and contributions General revenue: Property taxes State-shared revenue Unrestricted investment earnings Miscellaneous
$
Total revenue Program Expenses General government Public safety Public works Health and welfare Recreation and culture Interest on long-term debt Water and sewer Total program expenses Change in Net Assets
$
1,886,233 757,355 225,125
$
7,576,257 923,211 73,164 285,612
1,644,794 763,095 122,938 8,649,835 926,088 80,333 229,751
11,726,957
900,066 73,545 -
2,810,648 93,708 1,083,578 84,393 -
12,416,834
3,961,621
2,631,376 4,511,511 4,373,501 470,194 857,384 445,809 -
2,617,704 4,444,068 4,415,449 479,333 807,578 560,704 -
13,289,775
13,324,836
(1,562,818) $
$
(908,002) $
2,904,070 83,940
$
$
4,790,303 757,355 309,065
$
4,455,442 763,095 216,646
8,476,323 923,211 146,709 285,612
9,733,413 926,088 164,726 229,751
4,072,327
15,688,578
16,489,161
264,918 4,569,215
290,132 4,294,373
2,631,376 4,511,511 4,373,501 470,194 857,384 710,727 4,569,215
2,617,704 4,444,068 4,415,449 479,333 807,578 850,836 4,294,373
4,834,133
4,584,505
18,123,908
17,909,341
(2,435,330) $
(1,420,180)
(872,512) $
(512,178) $
Governmental Activities The City of Wixom’s total governmental revenues decreased by $689,877 (-5.6 percent decrease), which was primarily due to property taxes declining by $1,073,578 (General Fund -$200,155, Local Roads Capital Program Fund -$110,286, Safety Bike Path Fund by -$29,745, Major Road Debt by -$97,364, DPW/Fire Debt by -$24,243, DDA by -$16,190, Special Assessment by -$546,788, Other funds by -$48,807) while program revenues increased by $241,439 in the areas of Charges for Services, mostly in Building Permits & Fees and Development Fees, and Capital Grants and Contribution increased by $102,187 (related to CDBG Grants for bike path improvements, lighting improvement grants for the downtown area, and Tri-Party Grants for road improvements); and an increase in Miscellaneous Revenue of $55,861, mostly in franchise fees and other various miscellaneous revenues. The continued effects of a slow down in the state and national economies could still be felt along with the State of Michigan’s budget problems.
7
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) City of Wixom - Revenue by Source Governmental Activities FY11 & FY10 $9,000,000 $8,000,000 $7,000,000 $6,000,000 $5,000,000 Dollar Amount
$4,000,000 $3,000,000 $2,000,000 $1,000,000 $-
2011
2010
$1,886,233
$1,644,794
Operating Grants/Contrib
757,355
763,095
Capital Grants/Contrib
225,125
122,938
7,576,257
8,649,835
State-Shared Revenue
923,211
926,088
Investment Earnings
73,164
80,333
Miscellaneous
285,613
229,751
Charges
Property Taxes
Charges
Operating Grants/Contrib
Capital Grants/Contrib
Property Taxes
State-Shared Revenue
Investment Earnings
Miscellaneous
8
City of Wixom, Michigan Management’s Discussion and Analysis (Continued)
4,444,068
City of Wixom-Expenses by Function-Governmental Activities FY11 & FY10
5,000,000 4,500,000
General Gov
4,415,449
2,617,704
4,373,501
Public Safety Public Works Health and welfare
Interest on longterm debt
1,000,000
479,333
470,194
1,500,000
560,704
2,000,000 807,578
Recreation and Culture
445,809
2,500,000
857,384
Dollar Amount
3,000,000
4,511,511
3,500,000
2,631,376
4,000,000
500,000 -
2011
2010
General Gov
2,631,376
2,617,704
Public Safety
4,511,511
4,444,068
Public Works
4,373,501
4,415,449
Health and welfare
470,194
479,333
Recreation and Culture
857,384
807,578
Interest on long-term debt
445,809
560,704
9
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) Business-type Activities The City of Wixom’s business-type activities consist of the Water and Sewer Fund. The City provides its residents water, which it purchases from the City of Detroit Water System. Approximately 49% of the City’s water operating expense is related to the City of Detroit’s wholesale charge for water service. The capital contribution for lines from developers decreased from $93,708 to $83,940. The City provides sewage treatment through a City owned and operated sewage treatment plant. The City contracts out its water and sewer operational services to United Water. City of Wixom-Water and Sewer Revenue Comparison FY11, FY10, & FY09
2,400,000
2,138,574 Charges For Service Capital Grants/Contrib
1,879,168
1,848,491
Property Taxes
1,900,000
Investment Earnings
1,400,000
Dollar Amount
1,083,001
1,069,321
1,055,579 870,339
899,570
931,480
900,000 14,533
8,678
32,063 15,929
400,000
218,542 105,853
51,877 (100,000)
69,860
57,616
119,710 100,605
(12,145)
Water 11
Water 10
Water 09
Sewer 11
Sewer 10
1,848,491
1,879,168
2,138,574
1,055,579
931,480
870,339
Capital Grants/Contrib
32,063
105,853
218,542
51,877
(12,145)
100,605
Property Taxes
899,570
1,083,001
1,069,321
496
577
123
Investment Earnings
15,929
14,533
8,678
57,616
69,860
119,710
Charges For Service
Sewer 09
The Water Fund’s operating expenses increased by $200,129 from fiscal year 2010 with increase in Detroit Water Charges. The Sewer Fund’s operating expenses increased by $74,713 from fiscal year 2010 which was due to an increase in electrical utilities by $39,159, an increase in sludge removal costs by $23,988, an increase in depreciation by $29,977, a decrease in contract operation costs by $28,277, while other operating expenses increased.
10
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) City of Wixom-Water & Sewer Expenses FY11, FY10, & FY09
Interest on long-term debt
3,000,000 2,542,313 2,446,972
Operating Expenses
2,342,184 2,500,000 2,026,902 1,952,189
1,819,319
Dollar Amount
2,000,000
1,500,000
1,000,000
500,000
264,918
290,132
314,756 -
Interest on long-term debt Operating Expenses
-
-
Water 11
Water 10
Water 09
Sewer 11
Sewer 10
264,918
290,132
314,756
-
-
Sewer 09 -
2,542,313
2,342,184
2,446,972
2,026,902
1,952,189
1,819,319
The City of Wixom’s Funds Our analysis of the City of Wixom’s major funds begins on page 16, following the governmentwide financial statements. The fund financial statements provide detail information about the most significant funds, not the City as a whole. The City Council creates funds to help manage money for specific purposes as well as to show accountability for certain activities, such as State of Michigan Act 51 major and local road revenue sharing, accounting for drug forfeiture revenue and expenditures, capital projects, and voted debt retirement funds. The City of Wixom’s major funds for 2011 include the General Fund, the Major Road Act 51 Fund, the Local Road Act 51 Fund, the Local Road Capital Program Fund, the Capital Improvement Fund, the Major Road Debt Fund, and the Special Assessment Fund.
11
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) The General Fund pays for most of the City of Wixom’s governmental services. The most significant expenses are public safety (police and fire), which incurred costs of $4,511,511, or 34 percent of total governmental funds, and for public works, which incurred expenses of $4,373,501, or 33 percent of total governmental funds in fiscal year 2011. The general government expense was $2,631,376 or 20% of total governmental activities. A major part of the public works expenses related to the completion of road projects at Wexford Mews, Alpha Tech Traffic Signal, Village Center pavement improvements, Pontiac Trail improvements, and other pavement preservation improvements. The public works services are supported by the Major Street Capital Program Fund, the Local Road Capital Fund, the Safety Bike Path Fund, and the General Fund. The general operating millage levied by the City supports not only these functions, but other major operating costs such as funding general government administration, recreation and cultural programs, and other activities. The general operating millage does not support other costs such as water and sewer, and General Obligation Bond issues supported by millage or fees. General Fund Budgetary Highlights Over the course of the year, the City of Wixom amended the budget to take into account unanticipated events during the year. The most significant of these events during fiscal year 2011 related to the merging of the General Fund and the Budget Stabilization Fund in accordance with GASB Statement 54, to adjust the capital improvement program to recognize additional grants and expenditures, to reprogram Community Development Block Grant program, and to modify major and local Act 51 budgets at year end to estimated actual costs. The differences between the original budget and the final amended budget for revenues was 4/10ths of 1% and the overall expenditures remain the same for FY2011. Budget amendments between departments occurred to allocate health insurance claims for the City’s Health Reimbursement Accounts. The differences between the final amended budget and the actual amounts were significant in the revenue and expenditure areas. Revenues received were lower than budgeted by ($94,387) or less than 1.0%, while expenditures were 6.1 percent less than budgeted ($593,597). As a result, the General Fund continues to maintain a fund balance of $3,281,850, (General Fund $1,907,363 combined with Budget Stabilization Fund $1,374,487) which will help the City to maintain its current level of services. According to the Financial Action Plan, approximately $503,480 will be transferred from the General Fund back to the Budget Stabilization Fund in FY 2012 to assure the General Fund’s Fund Balance is held at 15%. Other Funds Highlights There are six major funds, excluding the General Fund, which are classified as special revenue funds (3), debt service funds (2), capital projects funds (1). It should be noted fund balances in these funds must be used for their intended purposes. The changes in fund balance were especially significant with a planned reduction in the Local Road Capital Program ($1,011,584) due to road construction projects exceeding revenues, with planned reduction in the Capital Improvement Fund ($245,463) due to project expenditures exceeding revenues, with the operating expenditures exceeding State Act 51 revenues in the Major and Local Act 51 Funds, combined amount ($217,406), and Debt reductions due to payment of debt service and a defeasance in the Special Assessment Fund.
12
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) During the year, the combined fund balance for the City’s nonmajor governmental funds decreased from by ($221,944). The major changes in fund balance were due to planned reductions in the Safety Bike Path program ($180,937), reductions due to debt service expenditures ($176,626), increases in fund balance in the Special Agency Fund by $49,505 and Solid Waste Fund by $65,398 (due to changing the collection process). Because resources for these funds are, for the most part, limited by specific purposes, their fund balances are not available for general government use. Capital Assets and Debt Administration Capital Assets The City’s investment in capital assets for its governmental and business-type activities as of June 30, 2011 amounts to $97,111,550; net of accumulated depreciation. Investment in Capital assets net of related debt in governmental activities show net capital assets at $32,746,883 and business-type activities show net capital assets at $44,821,942. This investment includes a wide range of capital assets, including local and major streets, bike paths, and sidewalk infrastructure. This is the seventh year the City is reporting its infrastructure assets in accordance with GASB Statement No. 34. The City follows the State of Michigan guidelines for the useful life of its road infrastructure.
Road Infrastructure - Changes in Useful Life of Assets Category Local Roads Major Roads Drain Improvements Sidewalks Bikepaths
Previous Useful Life Asphalt 15 Yrs, Concrete 20 Yrs Asphalt 15 Yrs, Concrete 20 Yrs 50 Years 25 Years 25 Years
New Useful Life Asphalt 20 Yrs, Concrete 30 Yrs Asphalt 20 Yrs, Concrete 30 Yrs 50 Years 30 Years 30 Years
This year’s major capital improvements included the following:
Vehicle purchases included the purchase of new police vehicles for $63,011,
Road improvements included (1) major road capital improvements of $21,540 (2) other local road and major road maintenance capital improvements of $1,898,084 (3) bike path improvements of $397,798.
Parks and recreation improvements amounted to $8,667, which included improvements to various City parks.
Other special purchases included parking lot reconstruction for $27,998, replacement of fire gear for $15,376, replacement of AEDs for $13,992, purchase and installation of In-Car terminals for Police vehicles for $57,751, street light improvements for $75,865, and DPW equipment for $26,000.
For more detail on Capital Assets please see Note 5 of the Notes to the Financial Statements. 13
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) Long-term Debt At the end of the fiscal year, the City had total long-term bonds outstanding of $19,542,725. Of this amount, $10,050,000 comprises debt for governmental activities while $9,492,725 comprises debt for business-type activities. This debt is reported as a liability in the governmental activities and business-type activities in the statement of net assets. The City’s total debt during the fiscal year decreased from $22,105,678 to $19,542,725, a decrease of $2,562,953, which represents payments of outstanding debt. State statutes limit the amount of the general obligation debt a governmental entity may issue to 10 percent of its total assessed valuation. The current debt limitation for the City is $70,718,522 which is significantly in excess of the City’s outstanding general obligation debt. The City has an A+ rating for general obligation unlimited and limited tax bonds from Standards & Poor’s. Moody’s rated the City’s general obligation unlimited tax bonds at A1 and the general obligation limited tax bonds at A2. For more detail on Capital Assets please see Note 5 and Long-term Debt please see Note 7 of the Notes to the Financial Statements. Economic Factors and Next Year’s Budgets and Rates The diverse tax mix of residential, manufacturing, office, service, technology, and retailrecreational centers reduces Wixom’s impact of adverse economic cycles and provides a stable environment for new investment. The City also continues to have a strong, diversified tax base. A total of 38% of the tax roll is residential and apartments. The remaining 62% is nonresidential, composed of 31% commercial, 14% industrial and 17% personal property. The City is approximately 80 percent developed. The State Tax Commission requested a procedural change for the 2010 Assessment year which reclassified a significant portion of industrial to commercial property classification. The region, which includes the City of Wixom and the surrounding area of Oakland County, has 14.3% of all people employed in Michigan (2003). More than 784,000 people work in Oakland County’s 44,512 business establishments and government agencies with 35% of Global Fortune 500 companies having business locations in Oakland County. The City continues to attract businesses of national and international importance. It is estimated that the future taxable values will decrease due to the decline in values in the real estate market. The estimated change in taxable value over the next two years could range from a decline of 5%-10%. This is predicated on the assumption that the downward trend in the housing market will continue. As discussed with City Council, the Five Year Action Plan will need modification to assist in softening the impact of this trend on the City’s budget.
14
City of Wixom, Michigan Management’s Discussion and Analysis (Continued) Efforts continue to bring about the repurposing of the Wixom Ford Assembly Plant’s 318 acre site. In a joint meeting of the City Council and Planning Commission, Ford Development CEO, Donna Inch, presented a new concept plan for the 318 acre former Ford-Wixom Assembly Plant site. The original 2009 Redevelopment Plan has been downsized due to the dramatic change over the last two (2) years in the global economy. Clairvoyant Energy currently intends to continue its pursuit of the development of 500,000 square feet of the 4.7 million square foot plant; with the balance of the plant split into individual industrial/manufacturing condominium units, or demolished in sections as conditions dictate, which is being proposed as a renewable energy park by Clairvoyant Energy (Santa Barbara, CA) and Xtreme Power (Kyle, TX). These two companies continue to work at federal, state and local levels and with Ford Motor Company to obtain the backing needed for this huge undertaking which could bring over 4,000 jobs to Oakland County. The current difficult credit market and complexity of the transactions are making it difficult to finalize. State Shared Revenue: Though the State increased their income tax rate from 3.9% to 4.35% and raised their sales tax to 6% on certain services, the State still has severe budget problems. Over the last ten years the City’s State Shared revenue has decreased from $1,372,133 (10/31/2001) to $915,590 (10/31/2011) or by -$456,543. Fiscal Year (State) 10/31/2001 10/31/2002 10/31/2003 10/31/2004 10/31/2005 10/31/2006 10/31/2007 10/31/2008 10/31/2009 10/31/2010 10/31/2011 Total
Statutory 511,469 460,228 384,318 265,494 232,197 204,406 190,121 160,349 160,349 78,092 67,360
Constitutional 860,664 869,432 884,153 874,548 895,419 910,663 891,741 921,513 869,098 837,498 848,230
Total 1,372,133 1,329,660 1,268,471 1,140,042 1,127,616 1,115,069 1,081,862 1,081,862 1,029,447 915,590 915,590
% Change -3% -5% -10% -1% -1% -3% 0% -5% -11% 0%
Dollar Amount (42,473) (61,189) (128,429) (12,426) (12,547) (33,207) (52,415) (113,857) (456,543)
Public Act 51 Revenue: The City may transfer excess funds from their Act 51 Major Roads Fund to their Act 51 Local Roads Fund if excess revenues over expenditures exist. In the past, it has been the City’s practice to transfer the remaining Act 51 Major Roads Fund revenue to support the Act 51 Local Roads Fund. The change in law permits a higher transfer percent if the City qualifies. The City will need to adopt an Asset Management Plan for their major and local roads. The Asset Management Plan is in the process of being prepared and will likely be completed by the summer of 2012. The City will need to adopt a resolution stipulating that they will adhere to the provisions and requirements of the new law. It has been common practice as shown below for the City to utilize this law to assist in maintaining the City’s local roads. 15
City of Wixom, Michigan Management’s Discussion and Analysis (Continued)
Description Legislative City Manager Assessor Building Legal Counsel and Assistance Clerks Information Systems Financial Administration General Operating Building Maintenance Cultural Center Fire Police DPW Board of Appeals Board of Review Planning Committee Senior Citizen Committee Community Service - P&R Interfund Transfers EXPENDITURE TOTAL
Amended Budget 2010-2011 17,626 488,067 162,537 430,865 77,100 185,564 134,759 433,742 455,871 61,970 328,486 919,586 3,258,770 1,584,191 3,900 1,200 34,800 60,392 451,028 573,500 9,663,954
Original Budget 2011-12 Difference 17,626 482,098 (5,969) 162,992 455 430,385 (480) 73,000 (4,100) 175,896 (9,668) 131,907 (2,852) 418,095 (15,647) 564,555 108,684 61,970 324,866 (3,620) 912,667 (6,919) 3,098,219 (160,551) 1,553,127 (31,064) 3,900 1,200 34,300 (500) 60,392 449,481 (1,547) 359,780 (213,720) 9,316,456 (347,498)
Percent Change 0.00% -1.22% 0.28% -0.11% -5.32% -5.21% -2.12% -3.61% 23.84% 0.00% -1.10% -0.75% -4.93% -1.96% 0.00% 0.00% -1.44% 0.00% -0.34% -37.27% -3.60%
The General Fund fiscal year 2012 budget for next year calls for a decrease in overall expenditures to $9,316,456 compared to the amended budget for fiscal year 2011 of overall expenditures of $9,663,954. This is an approximate -3.60 percent decrease or $347,498 in total General Fund budgeted expenditures over the previous year. This decrease is principally due to placing a moratorium on employer OPEB contribution for FY2012 and other reductions in expenditures across most all departments. Budgeted revenues equal budgeted expenditures for FY2011-2012 budget, along with the anticipated contribution of $599,792 from the Budget Stabilization Fund. During the 2011-2012 fiscal year, administration will continue to monitor revenues and expenditures and attempt to expend less than authorized by the budget. Contacting the City of Wixom Management This financial report is intended to provide our citizens, taxpayers, customers, and investors with a general overview of the City of Wixom’s finances and to show the City of Wixom’s accountability for the money it receives. If you have questions about this report or need additional information, we welcome you to contact the Clerk’s office or the Finance Office, City of Wixom, 49045 Pontiac Trail, Wixom, Michigan 48393.
16
(This page left intentionally blank)
17
City of Wixom, Michigan Statement of Net Assets June 30, 2011
Governmental Activities Assets Cash and investments ( Note 3) Receivables - Net (Note 4) Internal balances Other assets Inventories Restricted assets ( Note 8) Capital assets not being depreciated-Land (Note 5) Capital assets - Net of accumulated depreciation (Note 5) Total assets
Component Units
Total
$
10,175,736 2,610,973 (369,726) 180,960 39,919 5,076,279 37,720,604
$
9,535,211 955,886 369,726 122,149 402,962 54,314,667
$
19,710,947 3,566,859 180,960 162,068 402,962 5,076,279 92,035,271
$
3,243,222 1,835 154,296 222,756
$
55,434,745
$
65,700,601
$
121,135,346
$
3,622,109
Liabilities Accounts payable Accrued and other liabilities Deferred Revenue - Unearned (Note 4) Customer deposits Compensated absences: Due within one year Due in more than one year Net OPEB obligation-Due in more than one year (Note 11) Long-term debt (Note 7): Due within one year Due in more than one year
870,499 162,535 149,000 -
639,891 64,092 534,678
433,675 274,113 170,005
Total liabilities Net Assets Invested in capital assets - Net of related debt Restricted (Note 12) Streets and highways Special agency-development Other purpose Debt service funds Unrestricted Total net assets Total liabilities and fund balances
Business-type Activities
$
1,510,390 226,627 149,000 534,678
-
14,499 -
433,675 274,113 170,005
-
1,140,000 8,910,000
962,772 8,529,953
2,102,772 17,439,953
44,000
12,109,827
10,731,386
22,841,213
58,499
32,746,883
44,821,942
77,568,825
333,052
2,536,085 1,203,755 1,193,944 2,440,610 3,203,641
402,962 9,744,311
2,536,085 1,203,755 1,596,906 2,440,610 12,947,952
3,230,558
43,324,918
54,969,215
98,294,133
3,563,610
55,434,745
$
65,700,601
$
121,135,346
$
3,622,109
The Notes to Financial Statements are an Integral Part of This Statement
18
City of Wixom, Michigan Statement of Activities Year Ended June 30, 2011
Charges for Services
Expenses Functions/Programs Primary government: Governmental activities: General government Public safety Public works Health and welfare Recreation and culture Interest on long term-debt Total governmental activities
$
Business-type activities: Water Sewer Total business-type activities
2,631,376 4,511,511 4,373,501 470,194 857,384 445,809 13,289,775
$
$
77,993 679,362 757,355
$
9,000 216,125 225,125
1,848,491 1,055,579
-
32,063 51,877
4,834,133
2,904,070
-
83,940
$
18,123,908
$
Component units: Downtown Development Authority Local Development Finance Authority
$
252,938 17,550 270,488
$
$
237,507 140,345 769,118 486,895 252,368 1,886,233
Capital Grants and Contributions
2,807,231 2,026,902
Total primary government
Total component units
Program Revenues Operating Grants and Contributions
4,790,303
$
-
$
757,355
$ $
-
$
$ $
309,065
-
General revenues: Property taxes State-shared revenues (Unrestricted) Unrestricted investment earnings Miscellaneous Total general revenue and special item Change in Net Assets Net Assets - Beginning of year Net Assets - End of year The Notes to Financial Statements are an Integral Part of This Statement
19
Net (Expense) Revenue and Changes in Net Assets Primary Government Governmental Activities
$
$
$ $
(2,315,876) (4,362,166) (2,708,896) 16,701 (605,016) (445,809) (10,421,062)
Business-type Activities
$
$
(2,315,876) (4,362,166) (2,708,896) 16,701 (605,016) (445,809) (10,421,062)
$
-
-
(926,677) (919,446)
(926,677) (919,446)
-
-
(1,846,123)
(1,846,123)
-
(10,421,062)
-
$
$ $
(1,846,123)
-
$
$ $
(12,267,185)
-
$
-
$
(252,938) (17,550) -
$
(270,488)
7,576,257 923,211 73,164 285,612
900,066 73,545 -
8,476,323 923,211 146,709 285,612
230,782 10,853 2,000
8,858,244
973,611
9,831,855
243,635
(1,562,818)
(872,512)
(2,435,330)
(26,853)
44,887,736 $
-
Component Units
Total
43,324,918
55,841,727 $
54,969,215
100,729,463 $
98,294,133
3,590,463 $
3,563,610
20
City of Wixom, Michigan Governmental Funds Balance Sheet June 30, 2011 Major Road Act 51
General Assets Cash and investments Receivables - Net Due from governmental units Other assets Inventories Due from other funds Total assets Liabilities Accounts payable Accrued and other liabilities Advance from other funds (Note 6) Deferred Revenue Due to other funds
$
$
$
6,034,600
$
76,383
$
32,898
$
1,896,127
$
615,729 84,753 2,052,268
$
76,383
$
32,898
$
119,426 100 7,261
Land acquisition Police forfeitures Roads & Bike Paths Solid waste activities Development contracts Debt
Committed: Cemetery Budget Stabilization Assigned: Capital Project Usage Unassigned: General Fund Bike Path Total fund balances
32,898 -
$
1,822,834 73,293 -
-
-
76,383
32,898
92,795 39,919
-
-
-
-
-
-
-
-
-
-
-
-
-
1,374,487 1,774,649 3,281,850 $
$
-
2,752,750
Fund balances Nonspendable: Prepaid Expense Inventories Restricted:
76,383 -
Local Road Capital Program
4,928,857 287,427 24,268 92,795 39,919 661,334
Total liabilities
Total liabilities and fund balances
Local Road Act 51
6,034,600
$
-
76,383
$
126,787
1,769,340 -
1,769,340
-
32,898
$
1,896,127
Amounts reported for governmental activities in the statement of net assets are different because: Capital assets used in governmental activities are not financial resources and are not reported in the funds Revenue reported in the statement of activities that does not provide current financial resources and is not reported as revenue in the governmental funds (GASB #33) Accrued liabilities and other liabilities reported in the statement of activities and are not reported as expenditures in the governmental funds Net other postemployment benefit asset reported in the statement of activities and are not reported in the governmental funds Deferred Revenue not reported as revenue in the governmental funds Long-term liabilities are not due and payable in the current period and are not reported in the funds Net assets of governmental activities
The Notes to Financial Statements are an Integral Part of This Statement
21
Capital Improvement $
795,641 -
Major Road Debt $
594,261
32,647 -
Other Nonmajor Governmental Funds
Special Assessment $
-
236,450 2,321,250 88,165
$
-
Total Governmental Funds
2,359,305 7,542 -
$
10,175,734 2,689,512 133,549 180,960 39,919 2,428,701
1,173,106
$
1,389,902
$
32,647
$
2,645,865
$
3,539,953
$
15,648,375
$
17,769 619,727 -
$
18,666 6,387
$
2,321,250 -
$
98,909 4 3,503
$
870,499 84,857 619,727 2,321,250 2,178,700
637,496
$
25,053
-
-
-
7,594
-
-
752,406
-
752,406
7,594
1,389,902
$
32,647
2,321,250
102,416
-
-
324,615
92,795 39,919
978,157 33,906 774,310 93,431 1,203,755 273,093
978,157 33,906 2,543,650 93,431 1,203,755 605,302
-
88,450 -
88,450 1,374,487
-
-
324,615 $
6,075,033
2,645,865
752,406
(7,565) 3,437,537 $
1,774,649 (7,565) 9,573,342
3,539,953
42,796,883 (212,088)
(77,676)
(170,005) 2,172,250 (10,757,788) $
43,324,918
22
City of Wixom, Michigan Governmental Funds Statement of Revenue, Expenditures, and changes in Fund Balances Year Ended June 30, 2011 Major Road Act 51
General Revenues Property taxes Solid waste collection Federal grants State revenue County grants Component unit contributions Charges for services Fines and forfeits Licenses and Permits Rental income Donations Interest Other revenue
$
Expenditures Current: Legislative City Manager Assessor Legal assistance Clerk Information systems Financial administration General operating Building maintenance Boards and commissions Cultural center Community services/recreation Department of Public Service Fire Department Police department Building department Solid waste Public works Land acquisition Cemetery Health Benefits - Retirees Other capital improvements Debt service: Principal Defeasance Interest & Fees
5,792,459 1,070,137 598,047 60,635 298,706 91,960 65,576 326,224
$
Net Change in Fund Balances Fund Balances - Beginning of Year (Note 15) Fund Balances - End of Year
$
203,898 -
$
808,223 73,293 2,935 2,049
473,414
203,898
886,500
15,241 487,847 159,970 59,559 178,991 134,465 432,722 408,335 54,058 78,158 299,399 428,752 889,929 3,012,968 407,586 548,160 221,620 -
487,430 -
413,288 -
1,898,084
-
7,817,760
Other Financing Sources (Uses) Transfers in Transfers out Total Other Financing Sources (Uses)
$
Local Road Capital
8,303,744
-
Excess of Revenues Over (Under) Expenditures
473,414 -
Local Road Act 51
-
-
487,430
413,288
1,898,084
485,984
(14,016)
(209,390)
(1,011,584)
11,884 (575,286) (563,402)
14,016 14,016
209,390 209,390
(77,418)
-
3,359,268 3,281,850
$
-
-
-
$
-
-
(1,011,584)
$
2,780,924 1,769,340
The Notes to Financial Statements are an Integral Part of This Statement
23
Capital Improvement $
75,413 616 9,000
Major Road Debt $
803,116 659 -
Special Assessment $
Other Nonmajor Governmental Funds
358 -
491,661 524,747 64,124 245,487 322,366 160 5,686 3,638 55,028
Total Governmental Funds $
7,895,459 524,747 64,124 1,822,862 73,293 245,487 598,047 60,635 621,072 92,120 5,686 73,782 392,301
85,029
803,775
358
1,712,897
12,469,615
6,795 3,668 8,667 2,240 57,366 124,774 101,864 776 -
500 -
500 -
3,634 15,131 3,950 291,572 470,194 50,878 1,492 419,338
15,241 491,481 159,970 59,559 178,991 134,465 432,722 431,261 54,058 78,158 303,067 437,419 2,240 947,295 3,141,692 699,158 470,194 1,601,620 1,492 776 221,620 2,317,422
24,342
805,000 66,221
400,000 11,476 92,857
420,000 258,652
1,625,000 11,476 442,072
1,934,841
14,258,449
330,492
871,721
504,833
(245,463)
(67,946)
(504,475)
376,099 376,099
-
130,636
(67,946)
621,770 752,406
$
-
-
75,540 7,594
-
(504,475)
$
829,090 324,615
(221,944)
(1,788,834)
(36,103) (36,103)
611,389 (611,389) -
(258,047)
(1,788,834)
3,695,584 3,437,537
$
11,362,176 9,573,342
24
City of Wixom, Michigan Governmental Funds Reconciliation of the Statement of Revenue, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities Year Ended June 30, 2011 Amounts reported for governmental activities in the statement of activities are different because: $
Net Change in Fund Balances - Total Governmental Funds
(1,788,834)
Amounts reported for governmental activities in the statement of activities are different because: Governmental funds report capital outlays as expenditures; in the statement of activities, these costs are allocated over their estimated useful lives as depreciation. This is the amount by which capital outlays exceeded depreciation in the current period. Capital outlay Depreciation expense
2,743,520 (3,011,664)
Excess of depreciation expense over capital outlay
(268,143)
Revenue reported in the statement of activities that does not provide current financial resources and is not reported as revenue in the governmental funds (GASB No. 33)
(732,925)
Accrued interest payable is recorded when due in governmental funds
7,739
Repayment of bond principal is an expenditure in the governmental funds, but not in the statement of activities (where it reduces long-term debt)
1,625,000 (9,733)
Gain/Loss on Capital Assets Increase in accumulated employee sick and vacation pay are recorded when earned in the statement of activities
(78,150)
Excess of OPEB liabilities for employee health retirement are recorded when earned in the statement of activities Change in Net Assets of Governmental Activities
(317,772) $
(1,562,818)
The Notes to Financial Statements are an Integral Part of This Statement
25
City of Wixom, Michigan Proprietary Funds Statement of Net Assets June 30, 2011
Water Assets Current assets: Cash and cash equivalents Receivable - Net Advance to other funds (Note 6) Due from other funds Inventories
$
Total current assets
2,445,691 597,514 284,901 22,495
Enterprise Fund Sewer
$
7,089,520 358,372 88,532 99,654
Total
$
9,535,211 955,886 88,532 284,901 122,149
3,350,601
7,636,078
10,986,679
33,950,325
531,195 402,962 20,364,342
531,195 402,962 54,314,667
Total noncurrent assets
33,950,325
21,298,499
55,248,824
Total assets
37,300,926
28,934,577
66,235,503
225,320 64,092 962,772 1,252,184
414,571 534,902 949,473
639,891 64,092 534,902 962,772 2,201,657
8,529,953 8,529,953
534,678 534,678
534,678 8,529,953 9,064,631
9,782,137
1,484,151
11,266,288
24,457,600 3,061,189 27,518,789
20,364,342 402,962 6,683,122 27,450,426
44,821,942 402,962 9,744,311 54,969,215
Noncurrent assets: Advance to other funds (Note 6) Restricted assets - Other Capital assets
Liabilities Current liabilities: Accounts payable Accrued interest payable Due to other funds Current portion of long-term debt Total current liabilities Noncurrent liabilities: Customer's deposit Long-term debt - Net of current portion Total noncurrent liabilities Total liabilities Net Assets Investment in capital assets - Net of related debt Restricted - Escrow Holdings Unrestricted Total net assets
$
$
$
The Notes to Financial Statements are an Integral Part of This Statement
26
City of Wixom, Michigan Proprietary Funds Statement of Revenues, Expenses and Changes in Net Assets Year Ended June 30, 2011 Water Operating Revenues Water sales Sewage disposal
$
Total operating revenues Operating Expenses Cost of water Cost of sewage disposal General and administrative Utilities Televising and cleaning Depreciation Total operating expenses
1,848,491 -
Enterprise Fund Sewer $
Total
1,055,579
$
1,848,491 1,055,579
1,848,491
1,055,579
2,904,070
1,671,253 225,002 17,229 628,829
799,746 237,523 222,719 63,381 703,533
1,671,253 799,746 462,525 239,948 63,381 1,332,362
2,542,313
2,026,902
4,569,215
Operating Loss
(693,822)
(971,323)
Nonoperating Revenue (Expense) Property taxes Interest income Interest expense
899,570 15,929 (264,918)
496 57,616 -
900,066 73,545 (264,918)
650,581
58,112
708,693
(43,241)
(913,211)
(956,452)
Capital Contribution (Refund)
(5,782)
51,877
46,095
Lines Donated by Developers
37,845
-
37,845
32,063
51,877
83,940
(11,178)
(861,334)
(872,512)
Total nonoperating revenue ( expense) Income (Loss) - Before contributions
Total capital contributions Change in Net Assets Net Assets - Beginning of year Net Assets - End of year
27,529,967 $
27,518,789
$
(1,665,145)
28,311,760
55,841,727
27,450,426
$ 54,969,215
The Notes to Financial Statements are an Integral Part of This Statement
27
City of Wixom, Michigan Proprietary Funds Statement of Cash Flows Year Ended June 30, 2011 Water Cash Flows from Operating Activities Receipts from customers Payments to other suppliers Payments to United Water Operating System Payments for inventory
$
Net cash provided by (used in) operating activities Cash Flows from Noncapital Financing Activities-Internal activities Property taxes Payments received on advance Receipts from other funds Net cash provided by noncapital financing activities Cash Flows from Capital and Related Financing Activities Property taxes Purchase of capital assets Other deposits-Escrow holdings Connection fees Interest paid on long-term debt Principal paid on long-term debt Net cash used in capital and related financing activities Cash Flows from Investing Activities - Interest received on investments
Sewer
1,841,262 $ (1,664,906) (298,738) (426)
(314,385)
793,579
496 88,532 275,317
496 88,532 1,068,896
793,579
364,345
1,157,924
(437,193)
899,570 (27,231) (5,782) (271,260) (937,953)
(1,539,444) 570 51,877 -
899,570 (1,566,675) 570 46,095 (271,260) (937,953)
(342,656)
(1,486,997)
(1,829,653)
57,616
344,044 2,101,647
Cash and Cash Equivalents - Beginning of year
1,014,762 $ 2,856,024 (698,059) (2,362,965) (613,893) (912,631) (17,195) (17,621)
(122,808)
15,929
Net Increase/(Decrease) in Cash and Cash Equivalents
Total
73,545
(1,379,421)
(1,035,377)
8,871,903
10,973,550
Cash and Cash Equivalents - End of year
$
2,445,691
$
7,492,482
$
9,938,173
Balance Sheet Classification of Cash and Cash Equivalents Cash and investments Restricted investments (Note 3)
$
2,445,691 -
$
7,089,520 402,962
$
9,535,211 402,962
$
2,445,691
$
7,492,482
$
9,938,173
Total cash and cash equivalents Reconciliation of Operating Loss to Net Cash from Operating Activities Operating loss Adjustments to reconcile operating loss to net cash from operating activities: Depreciation and amortization Changes in assets and liabilities: Receivables Accounts payable Inventories Net cash provided by (used in) operating activities
$
$
(693,822) $
(971,323) $ (1,665,145)
628,829
703,533
(7,229) (50,160) (426)
(40,817) 11,417 (17,195)
(122,808) $
(314,385) $
1,332,362 (48,046) (38,743) (17,621) (437,193)
Noncash capital, financing and investing activities – During the year, developers donated $37,845 of water lines to the City. The Notes to Financial Statements are an Integral Part of This Statement
28
City of Wixom, Michigan Fiduciary Funds Statement of Net Assets June 30, 2011
Agency FundTrust and Agency
Retirees Trust Fund (Health Insurance) Assets Cash and cash equivalents (Note 3) Investment (Note 3) Investment in MERS Pool (Note 3) Accounts Receivable Total Assets Liabilities Deposits and other liabilities
$
$
54,737
Total liabilities Net Assets - Held in trust for employee benefits
3,474,256 3,474,256
54,737 $
1,861 320,513 120,216 442,590 442,590
$
442,590
3,419,519
The Notes to Financial Statements are an Integral Part of This Statement
29
City of Wixom, Michigan Statement of Changes in Net Assets Year Ended June 30, 2011
Total Retirees Trust Fund (Health Insurance) Additions-Investment Income and Contributions Net increase in fair value of investments Retiree Insurance Contribution - Employee Contribution -Employer Contribution - Wixom Public Library
570,377 43,475 221,620 34,960
Total additions (reductions)
870,432
Deductions Audit Insurance Premiums Total reductions (additions)
750 63,878 64,628 805,804
Net Decrease Net Assets Held in Trust for Retiree Health Insurance Beginning of Year End of Year
2,613,715 $
3,419,519
The Notes to Financial Statements are an Integral Part of This Statement
30
City of Wixom, Michigan Component Units Statement of Net Assets June 30, 2011
Assets Cash and investments Accounts Receivable Capital assets not being depreciated-Land (Note 5) Capital assets - Net of accumulated depreciation (Note 5) Total assets
Downtown Development Authority
Local Development Finance Authority
$
$
Liabilities Accounts payable Long-term debt Total liabilities Net Assets Investment in capital assets - Net of related debt Unrestricted Total net assets
$
210,696 1,835 154,296 222,756 589,583
Totals
3,032,526 3,032,526
$ 3,243,222 1,835 154,296 222,756 3,622,109
44,000
14,499 -
14,499 44,000
44,000
14,499
58,499
333,052 212,531
3,018,027
333,052 3,230,558
3,018,027
$ 3,563,610
545,583
$
The Notes to Financial Statements are an Integral Part of This Statement
31
(This page left intentionally blank)
32
City of Wixom, Michigan Component Units Statement of Activities Year Ended June 30, 2011 Program Revenues
Charges for Services
Expenses Downtown Development Authority Public works Contribution to City
$
Local Development Finance Authority Public works Total governmental activities
23,991 228,947
$
17,550 $
270,488
-
Operating Grants/ Contributions
$
$
-
-
Capital Grants and Contributions
$
$
-
-
$
-
General revenues: Property taxes Donations Interest Total general revenues Change in Net Assets Net Assets - Beginning of year Net Assets - End of year
The Notes to Financial Statements are an Integral Part of This Statement
33
Net (Expense) Revenue and Changes in Net Assets Downtown Development Authority
$
Local Development Finance Authority
(23,991) (228,947)
-
-
$
(23,991) (228,947)
(17,550)
(17,550)
(252,938)
(17,550)
(270,488)
230,782 2,000 347
10,506
230,782 2,000 10,853
233,129
10,506
243,635
(19,809)
(7,044)
(26,853)
565,392 $
Total
545,583
3,025,071 $
3,018,027
3,590,463 $
3,563,610
34
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies The accounting policies of the City of Wixom (the “City”) conform to accounting principles generally accepted in the United States of America (GAAP) as applicable to governmental units. The following is a summary of the significant accounting policies used by the City: Reporting Entity The City is governed by an elected seven-member council. The accompanying financial statements present the government and its component units, entities for which the government is considered to be financially accountable. Although blended component units are legal separate entities, in substance, they are part of the government’s operations. Each discretely presented component unit is reported in a separate column in the government-wide financial statements to emphasize that it is legally separate from the government (see discussion below for description). Blended Component Units - The Building Authority is governed by a board that is appointed by the City Council. Although it is legally separate from the City, it is reported as if it were part of the primary government because its sole purpose is to finance and construct the City’s public buildings. Discretely Presented Component Units - The component unit columns in the government-wide financial statements include the financial data of the City’s other component units. They are reported in separate columns to emphasize that they are legally separate from the City. The following component units are included in the reporting entity because the primary government is financially accountable and is able to impose its will on the organization. Financial statements are not issued separately for the component units for the DDA or LDFA. a. The Downtown Development Authority (DDA) was created to correct and prevent deterioration in the downtown district, encourage historical preservation, and to promote economic growth within the downtown district. The DDA’s governing body, which consists of 11 individuals, is selected by the City Council. In addition, the DDA’s budget is subject to approval by the City Council. The City Council approves the development plans and must approve all modifications to the plan. The City maintains all accounting records for the DDA, whose primary source of funding is from tax increment financing revenues.
35
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) b.
The Local Development Finance Authority (LDFA) was created to improve the public infrastructure within the central business district of the City. This has included primarily the improvement or construction of roads, drains, and water and sewer transmission lines. The primary source of funding is the capture of incremental tax revenues of the various taxing units (city, county, community college, and others). The LDFA’s governing body, which consists of 22 individuals, is selected by the City Council or appointed by other governmental agencies. In addition, the LDFA’s budget is subject to approval by the City Council.
Government-wide and Fund Financial Statements The government-wide financial statements (i.e., the statement of net assets and the statement of activities) report information on all of the non-fiduciary activities of the primary government and its component units. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, normally supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. Likewise, the primary government is reported separately from certain legally separate component units for which the primary government is financially accountable. The statement of activities demonstrates the degree to which the direct expenses of a given function or segments are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include: (1) charges to customers or applicants who purchase, use, or directly benefit from goods, services, or privileges provided by a given function or segment; and (2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenue. Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though the latter are excluded from the governmentwide financial statements. Major individual governmental funds and major individual Enterprise Funds are reported as separate columns in the fund financial statements.
36
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) Measurement Focus, Basis of Accounting, and Financial Statement Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenue is 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 revenue 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. Agency funds have no measurement focus on the government wide financial statements. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenue is recognized as soon as it is both measurable and available. Revenue is considered to be available if it is collected within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the government considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, expenditures relating to compensated absences, and claims and judgments are recorded only when payment is due. Revenues are recognized in the accounting period in which they become susceptible to accrual - that is, when they become both measurable and available to finance expenditures of the fiscal period. Measurable means the amount of the transaction can be determined and available means collectible within the 60-day period. On the governmental funds statements, major sources of revenue considered susceptible to accrual are State-shared revenues, community development block grants, federal and State grants, Act 51 revenues, and interest associated with the current fiscal period, and all are considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. All other revenue items are considered to be available only when cash is received by the government.
37
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) The government reports the following major governmental funds: General Fund - The General Fund is the government’s primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. In FY2010-2011 the Budget Stabilization Fund was combined with the General Fund in accordance with GASB 54. The Budget Stabilization Fund was established along with the 5 year Financial Action Plan to assist the City in times when instability occurs in the business cycle or unanticipated events/unexpected emergencies occur which cause a significant downturn in revenues. This can be measured by the magnitude and duration of the revenue shortfall. The Budget Stabilization Fund can be used instead of the City borrowing, increasing taxes, or significantly reducing expenditures. Since cities are constrained by the State law in their ability to borrow, it often leaves only the alternatives of increased taxes and/or significant decreases in spending. The General Fund and Budget Stabilization Fund are combined in the CAFR, but separated for budgetary purposes and when preparing the Five Year Fiscal Financial Action Plan. Major Road Act 51 Fund - The Major Road Fund accounts for the repairs, maintenance, and construction of all the City’s major streets. The revenues consist of State-shared gasoline and weight tax collections under provisions of Act 51 of 1951 as amended and contributions from the Major Road Capital Program Fund and Local Road Capital Fund. Local Road Act 51 Fund - The Local Road Fund accounts for the repairs, maintenance, and construction of all the City’s major streets. The revenues consist of State-shared gasoline and weight tax collections under provisions of Act 51 of 1951 as amended and contributions from the Local Road Capital Fund and the Safety Bike Path Fund. Local Road Capital Fund - The Local Road Capital Fund accounts for the repairs, maintenance, and construction of the City’s local and major streets and assists in the funding of the Local Road Fund and Major Road Fund. The revenues consist of a special 15-year tax levy, federal, State and county grants, State-shared gasoline and weight tax collections, and investment earnings. Capital Improvement Fund – The Capital Improvement Fund includes expenditures for building, land, major equipment, and other commodities which are of significant value and have a useful life of severa1 years. Capital improvement programming and budgeting involves the development of a long-term plan for capital expenditures of the City.
38
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) The capital improvement program lists each proposed capital item to be undertaken, the year in which it will be started, the amount expected to be expended in each year and the proposed method of financing these expenditures. Based on these details, summaries of capita1 activity in each year can be prepared as well as summaries of financia1 requirements, such as amounts of general obligations bonds to be issued, amounts from general operating funds required, etc. In FY2009-2010 the Capital Planning Fund and Capital Improvement Fund were combined in anticipation of GASB 54. The Capital Planning Fund was a mechanism to fund and support the Capital Improvement Fund’s 5 year capital plan. During the budget process each Department provided a five year projection of capital improvement expenditures. The Capital Planning Fund was used to even out the funding needs for these expenditures over a five year period as planned. Major Road Debt Fund -This fund was established to account for the payment of annual principal and interest on two bond issues sold to improve major roads within the City. These annual requirements are met from a special ad valorem tax. A portion of this debt was refinanced at a lower interest rate by the 2004 Refunding Bond issue and September 2009. Special Assessment Fund -This fund was established to account for the payment of annual principal and interest on $2,830,000 of bonds for the construction and improvements for the Tribute Drain which is part of the DDA/VCA Development Project Fund. The Village Center Area District is intended to allow for the development of a fully integrated, mixed use, pedestrian oriented Village Center Area (VCA). These annual requirements are met from annual special assessments to specific property owners. The government reports the following major proprietary funds: Water Fund - The Water Fund accounts for the operation and maintenance of the water supply system, capital additions, and retirement of revenue bonds. Financing is provided by user charges and contributions by other funds. Sewer Fund - The Sewer Fund accounts for the operation and maintenance of the sewage disposal system, capital additions and improvements, and retirement of revenue bonds. Financing is provided by user charges and contributions by other funds and municipalities.
39
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) Additionally, the government reports the following fund types: Agency Fund - The Agency Fund, a fiduciary fund, accounts for the collection and payment to Oakland County, various school districts, and other taxing authorities of property taxes collected by the City on their behalf. This fund also accounts for assets held by the City as an agent for individuals, private organizations, or other governments. Fiduciary Funds are by nature custodial; therefore, operation results are not measured. Fiduciary funds are excluded from the government wide statements. Retirees Trust Fund (Health Insurance) - The Retirees Trust Fund accounts for medical benefits provided to retirees. This is a medical trust that permits the City to invest assets to offset their future retiree health insurance liability. This fund was created in response to standards that were formulated by the Governmental Accounting Standards Board (GASB) for Post-Employment Benefits (also known as GASB 43 & 45 or GASB OPEB). Private-sector standards of accounting issued prior to December 1, 1989 are generally followed in both the government-wide and proprietary fund financial statements to the extent that those standards do not conflict with the standards of the Governmental Accounting Standards Board. The government has elected not to follow private-sector standards issued after November 30, 1989 for its business-type activities. These financial statements which compile the individual component units can be obtained from the City’s office at the following address: City of Wixom City Clerk 49045 Pontiac Trail Wixom, Michigan 48393 As a general rule, the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are charges between the government’s water and sewer function and various other functions of the government. Eliminations of these charges would distort the direct costs and program revenues reported for the various functions concerned. Amounts reported as program revenue include: (1) charges to customers or applicants for goods, services, or privileges provided; (2) operating grants and contributions; and (3) capital grants and contributions, including special assessments. Internally dedicated resources are reported as general revenue rather than as program revenue. Likewise, general revenue includes all taxes.
40
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) Proprietary funds distinguish operating revenue and expenses from non-operating items. Operating revenue 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 revenue of our proprietary funds relate to charges to customers for sales and services. The Water and Sewer Fund also recognizes the portion of tap fees intended to recover current costs (e.g., labor and materials to hook up new customers) as operating revenue. The portion intended to recover the cost of the infrastructure is recognized as non-operating revenue. Operating expenses for proprietary funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenue and expenses not meeting this definition are reported as non-operating revenue and expenses. When an expense is incurred for purposes for which both restricted and unrestricted net assets or fund balance are available, the City's policy is to first apply restricted resources. When an expense is incurred for purposes for which amounts in any of the unrestricted fund balance classifications could be used, it is the City's policy to spend funds in this order: committed, assigned, and unassigned. Assets, Liabilities, and Net Assets or Equity Bank Deposits and Investments - Cash and cash equivalents include cash on hand, demand deposits, and short-term investments with a maturity of three months or less when acquired. Investments are stated at fair value. Pooled investment income from the Agency Fund is generally allocated to the General Fund. Receivables and Payables - In general, outstanding balances between funds are reported as “due to/from other funds.” Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year is referred to as “advances to/from other funds.” Any residual balances outstanding between the governmental activities and the business-type activities are reported in the government-wide financial statements as “internal balances.” All trade and property tax receivables are shown as net of allowance for uncollectible amounts. Property taxes are levied on each July 1 on the taxable valuation of property as of the preceding December 31. Taxes are considered delinquent on March 1 of the following year, at which time additional penalties and interest are assessed.
41
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) Property Taxes – Property taxes are levied on each July 1 on the taxable valuation of property as of the preceding December 31. Taxes are due on August 31 for summer taxes and February 14 for winter taxes, with the final collection date of February 28 before they are added to the delinquent county tax rolls. The 2010 taxable valuation of the City total $748,760,880 Ad Valorem and $14,123,000 Industrial Facilities Tax. The table below shows the breakdown of millage and taxes collected for the different funds. Description General Fund Local Road Program Safety Bike Path Major Road Program Water Debt DPW & Fire Capital Fund Total
Type Operating Operating Operating Debt Service Debt Service Debt Service
Mills 7.5429 1.1314 0.3000 1.0870 1.2310 0.3700 11.6623
Taxes Collected $5,792,459 808,223 216,618 803,116 899,570 273,378 $8,793,364
Taxes collected in this schedule do include estimated property tax refunds due to outstanding Tax Tribunal Appeals. These amounts in the schedule are recognized in the respective General Fund, Special Revenue Fund, and Debt Service Fund financial statements as taxes receivable or as tax revenue.
Inventories and Prepaid Items - Inventories are valued at cost, on a first-in, firstout basis. Inventories of governmental funds are recorded as expenditures when consumed rather than when purchased for DPW gas & oil, salt, sand and sign inventories. Other inventories of the governmental funds are immaterial amounts. Inventories of proprietary funds are recorded as expenditures when consumed rather than when purchased. Certain payments to vendors reflect costs applicable to future fiscal years and are recorded as prepaid items in both government-wide and fund financial statements. Capital Assets - Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), are reported in the applicable governmental or business-type activities column in the governmentwide financial statements. In general, capital assets are defined by the government as assets with an initial individual cost of more than $500 and an estimated useful life in excess of one year. Exceptions due to the nature of the capital asset may require that the capital asset be recorded for City purposes. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. In the case of infrastructure and assets purchased or constructed prior to June 30, 2003,
42
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) estimated historical cost was used where actual cost information was not available. Donated capital assets are recorded at estimated fair market value at the date of donation. The costs of normal maintenance and repairs that do not add to the value of the asset or materially affect the asset life are not capitalized. Major outlays for capital assets are capitalized as projects are constructed. Interest incurred during the construction of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. During the current year, no such interest expense was capitalized as part of the cost of assets under construction. Depreciation of capital assets used by the City is charged as an expense against its various functions. Depreciation is computed using the straight-line method over the following useful lives: Roads, sidewalks, and bike paths Water and sewer distribution systems Drain Improvements Water and sewer treatment facilities Buildings and building improvements Vehicles Office furnishings Other tools and equipment Books and Periodicals Stormwater Improvements
20 to 30 years 50 to 75 years 50 years 40 to 50 years 40 to 50 years 3 to 5 years 5 to 7 years 3 to 7 years 10 years 30 years
Compensated Absences (Vacation, Compensatory Time Off, and Sick Leave) - It is the government’s policy to permit employees to accumulate earned but unused sick, vacation pay benefits, and compensatory time. Vacation pay is fully vested when earned, and sick pay is conditionally vested upon completion of a certain number of years of service. Upon retirement, employees are paid accumulated vacation and 35% of unused sick days at their hourly rate as of their retirement date. A liability for the entire amount, current and long-term, is accrued in the government-wide and proprietary financial statements. A liability for these amounts is reported in governmental funds only for employee terminations as of year end.
43
Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) Fund Equity - In March 2009, the GASB issued Statement No. 54, Fund Balance Reporting and Governmental Fund-type Definitions. The objective of this statement is to enhance the usefulness of fund balance information by providing clearer fund balance classifications that can be more consistently applied and by clarifying the existing governmental fund-type definitions. This statement establishes fund balance classifications that comprise a hierarchy based primarily on the extent to which a government is bound to observe constraints imposed on the use of the resources reported in governmental funds. Under this standard, the fund balance classifications of reserved, designated, and unreserved/undesignated were replaced with five new classifications - nonspendable, restricted, committed, assigned, and unassigned. The City implemented Statement No. 54 during the year. In the fund financial statements, governmental funds report the following components of fund balance:
Nonspendable: Amounts that are not in spendable form or are legally or contractually required to be maintained intact
Restricted: Amounts that are legally restricted by outside parties, constitutional provisions or enabling legislation for use for a specific purpose
Committed: Amounts that have been formally set aside by the City Council for use for specific purposes. Commitments are made and can be rescinded only via resolution of the City Council
Assigned: Intent to spend resources on specific purposes expressed by the governing body, or those who are authorized by resolution or policy approved by the governing body to make assignments.
Unassigned: Amounts remaining after all funds have been allocated to the appropriate fund balance components noted above. In the fund financial statements, governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose.
During the year, the City adopted GASB Statement No. 54. In FY2010-2011 the Budget Stabilization Fund was combined with the General Fund in accordance with GASB 54.
44
City of Wixom Notes to Financial Statements
Note 1 - Summary of Significant Accounting Policies (Continued) Long-term Obligations - In the government-wide financial statements and the proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund-type statement of net assets. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts are reported as other financing uses. Issuance costs are reported as debt service expenditures. Pension and other postemployment benefit costs - The City offers both pension and retiree health care benefits to retired employees. The City receives an actuarial valuation, or completes one itself, to compute the annual required contribution (ARC) necessary to fund the obligation over the remaining amortization period. In the governmental funds, pension and OPEB costs are recognized as contributions are made. For the government wide statements and proprietary funds, the City reports the full accrual cost equal to the current year required contribution, adjusted for interest and "adjustment to the ARC" on the beginning of year underpaid amount, if any. Use of Estimates - The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make significant estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates.
45
City of Wixom Notes to Financial Statements
Note 2 - Stewardship, Compliance, and Accountability The City is legally subject to the budgetary control requirements of State of Michigan P.A. 621 of 1978 (the Uniform Budgeting Act). The following statements represent a brief synopsis of the major provisions of this Act: 1. Budgets must be adopted for the General Fund and Special Revenue Funds. 2. The budgets must be balanced. The balanced budget may include a contribution to or appropriation from fund balance. 3. The budgets must be amended when necessary. 4. Debt cannot be entered into unless permitted by law. 5. Expenditures cannot exceed budget appropriations. 6. Expenditures cannot be made unless authorized in the budget. 7. Public hearings must be held before budget adoptions.
Excess of Expenditures Over Appropriations in Budgeted Funds - During the year, the City incurred expenditures that were in excess of the amounts budgeted, as follows: Budget Item Governmental Funds Local Road Act 51 Fund Traffic Service Special Agency Fund Special Agency Fund Expenditures Special Assessment Fund Debt Service/Defeasance Costs
Budget
$
47,000
Actual
$
51,287
308,512
309,423
218,003
592,998
Fund Deficits - At June 30, 2011, the City has a deficit in the Safety Bike Path Fund. The early engineering work done to prepare for the FY2011-2012 summer bike path construction resulted in a deficit of $7,565. The Safety Path Fund deficit will be eliminated in FY2011-2012 through continuing collection of property taxes and reduction in future expenditures. Compliance with the Single Audit Act Amendments of 1996 - After examination by the City's independent auditors, a compliance audit in accordance with the Single Audit Act was not necessary since the City did not meet the threshold requirement.
46
City of Wixom Notes to Financial Statements
Note 2 - Stewardship, Compliance, and Accountability (Continued) Construction Code Fees - The City oversees building construction in accordance with the State’s Construction Code Act, including inspection of building construction and renovation to ensure compliance with the building codes. The City charges fees for these services. The law requires that collection of these fees be used only for construction code costs, including an allocation of estimated overhead costs. Since direct costs exceed building permit revenue, it was not necessary to calculate and allocate indirect costs. A summary of the current year and the cumulative shortfall generated since January 1, 2000 is as follows:
Shortfall at July 1, 2010 Building permit revenue Related expenses: Direct costs Estimated indirect costs
$
240,357 $ 430,262 -
Total construction code expenses Cumulative shortfall at June 30, 2011
(1,786,087)
430,262 $
(1,975,992)
Note 3 - Deposits and Investments Michigan Compiled Laws Section 129.91 (Public Act 20 of 1943, as amended) authorizes local governmental units to make deposits and invest in the accounts of federally insured banks, credit unions, and savings and loan associations that have offices in Michigan. The local unit is allowed to invest in bonds, securities, and other direct obligations of the United States or any agency or instrumentality of the United States; repurchase agreements; bankers’ acceptances of United States banks; commercial paper rated within the two highest classifications, which matures not more than 270 days after the date of purchase; obligations of the State of Michigan or its political subdivisions, which are rated as investment grade; and mutual funds composed of investment vehicles that are legal for direct investment by local units of government in Michigan. The City has designated four banks for the deposit of its funds. The investment policy adopted by the Board in accordance with Public Act 196 of 1997 has authorized investment in all of the items described above. The City of Wixom’s deposits and investment policies are in accordance with statutory authority.
47
City of Wixom Notes to Financial Statements
Note 3 - Deposits and Investments (Continued) The Retiree Health Care Benefits Fund is also authorized by Michigan Public Act 149 of 1999, as amended, to invest in certain reverse repurchase agreements, stocks, diversified investment companies, annuity investment contracts, real estate leased to public entities, mortgages, real estate (if the trust fund’s assets exceed $250 million), debt or equity of certain small businesses, certain state and local government obligations, and certain other specified investment vehicles. The City’s cash and investments are subject to several types of risk, which are examined in more detail below: Custodial Credit Risk of Bank Deposits - Custodial credit risk is the risk that in the event of a bank failure, the City’s deposits may not be returned to it. The City does not have a deposit policy for custodial credit risk. At year end, the City had no bank deposits (certificates of deposit, checking and savings accounts) that were uninsured and uncollateralized. The City believes that due to the dollar amounts of cash deposits and the limits of FDIC insurance and FDIC’s Transaction Account Guarantee Program, it is impractical to insure all deposits. As a result, the City evaluates each financial institution with which it deposits funds and assesses the level of risk of each institution; only those institutions with an acceptable estimated risk level are used as depositories. The component units do not have bank deposits. Interest Rate Risk - Interest rate risk is the risk that the value of investments will decrease as a result of a rise in interest rates. The City's investment policy does not restrict investment maturities, other than commercial paper which can be purchased with a 270 day maturity. Unless matched to a specific cash flow the City will not directly invest in securities maturing more than five (5) years from the date of purchase or in accordance with state and local statues and ordinances. Reserve funds and other funds with longer-term investment horizons may be invested in securities exceeding five (5) years if the maturity of such investments is made to coincide as nearly as practicable with the expected use of funds. At year end, the average maturities of investments are as follows: Investments
Fair Value
Weighted Average Maturity
Government-Wide: Certificates of Deposit U.S. Agency securities Municipal bonds
1,089,837 270,728 2,753,410
107 days 522 days 329 days
Component Units Certificates of Deposit U.S. Agency securities Municipal bonds
478,911 118,967 1,209,941
107 days 522 days 329 days
48
City of Wixom Notes to Financial Statements
Note 3 - Deposits and Investments (Continued) Custodial Credit Risk of Investments - Custodial credit risk is the risk that, in the event of the failure of the counterparty, the City will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. The City does not have a policy for custodial credit risk. At year end, the City had no investment securities which were uninsured and unregistered, with securities held by the counterparty or by its trust department or agent but not in the City’s name. Credit Risk - State law limits investments in commercial paper to the top two ratings issued by nationally recognized statistical rating organizations. The City’s investment policy states that the City will minimize credit risk by limiting investments to the safest types of securities, pre-qualifying the financial institutions, brokers, intermediaries and advisers with which the City will do business, and diversifying the investment portfolio so that potential losses on individual securities will be minimized. As of year end, the credit quality ratings of debt securities (other than the Treasury Direct - U.S. government) are as follows: Investment Treasury Direct (US Government) Comerica–Governmental Pooled Investment Fund, (Pool is not rated separately, individual investment ratings)
Fair Value 5,005,073 7,786,498
Ambassador Capital (Certificates of Deposit, Federal Farm Credit Bank, Municipal Bond)
5,619,456
Chase Governmental Fund
1,079,762
Municipal Employees Retirement System (MERS) Investment (Component Units) Treasury Direct (US Government) Comerica–Governmental Pooled Investment Fund, (Pool is not rated separately, individual investment ratings)
Ambassador Capital (Certificates of Deposit, Federal Farm Credit Bank, Municipal Bond)
3,474,257 Fair Value 1,430,885
1,812,337
Rating Gov Securities Gov Securities AAA, Aaa Commercial Paper P1, A1 or higher Gov Securities SP-1, AAA, AA-, AA+, A+, MIG1; Certificates of Deposits; Fed. Farm Credit Bank AAA Aaa
Rating Organization US Government S&P, Moody’s
See Below Rating Gov Securities Gov Securities AAA, Aaa Commercial Paper P1, A1 or higher Gov Securities SP-1, AAA, AA-, AA+, A+, MIG1; Certificates of Deposits; Fed. Farm Credit Bank AAA
See Below Rating Organization US Government S&P, Moody’s
S&P, Moody’s
Moody’s
S&P, Moody’s
49
City of Wixom Notes to Financial Statements
Note 3 - Deposits and Investments (Continued) The City has invested their Retiree Health Insurance funds in the MERS Health Investment Funding Vehicle account. This investment is held in a medical trust that permits the City to save and grow assets within the MERS Total Market Fund. This investment choice was utilized to help offset the rising cost of retiree health care. The MERS Total Market Fund Portfolio attempts to limit market volatility while achieving a reasonable growth and rate of return. The City is attempting over the long term to obtain an annual rate of return to equal or exceed the actuarial assumption rate of 8%. The portfolio has returned 5.62% over the trailing 10-year period as of June 30, 2011. Type of Investment Portfolio – 34.6% Domestic Equity, 7.5% International Equity, 19.8% US Bond, 2.2% Emerging Market Stock, 14% Global Bond, 5.7% Global Real Estate, 10% Private Equity, 4.9% Commodities, and 1.3% Cash. MERS Total Market Fund Portfolio is managed and monitored by professional investment personnel under the authority of the MERS Retirement Board. Prospective portfolio managers must successfully complete MERS manager screening process prior to final Board selection. The portfolio offers diversified exposure to all major investment asset classes within established and prudent risk parameters. The primary investment objective is to maximize the long-term total rate of return on investments with a high degree of prudence and sufficient diversification to eliminate inordinate risk. The portfolio is managed in conformance with the Michigan Public Employee Retirement Systems Investment Act, 1965 PA 314, as amended. In addition, the Retirement Board has established Investment Guidelines that are updated annually. These guidelines communicate the long-term objectives, goals and performance expectations to the staff, investment managers, consultants and other interested parties. Every effort is made to minimize the costs to the portfolio with the use of skilled internal and external resources without adversely impacting the performance. Concentration of Credit Risk - The City places no limit on the amount they may invest in any one issuer. More than 5 percent of the City’s investments are in Treasury Direct (US Government), Comerica, and Ambassador Capital Management. These investments are 82 percent of the City’s total investments.
50
City of Wixom Notes to Financial Statements
Note 4 - Receivables Receivables as of year end for the City’s individual major funds and the non-major, Debt Service, and fiduciary funds in the aggregate, including the applicable allowances for uncollectible accounts, are as follows: General Fund Receivables: Taxes Accounts Intergovernmental Grants and other Special Assessment Less allowance for uncollectibles Net receivables
Major Road Fund
Local Road Fund
Special Assessment
Nonmajor and Other Funds
Governmental Activities
Total
$
287,427 24,268 -
$
76,383 -
$
32,898 73,293 -
$
2,321,250 -
$
6,164 1,378 -
$
293,591 133,549 74,671 2,321,250 -
$
146,340 (329,160) (29,268)
$
311,695
$
76,383
$
106,191
$
2,321,250
$
7,542
$
2,823,061
$
(212,088)
Governmental funds report deferred revenue in connection with receivables for revenue that are not considered to be available to liquidate liabilities of the current period. Governmental funds also defer revenue recognition in connection with resources that have been received but not yet earned. At the end of the current fiscal year, the various components of deferred revenue are as follows: Unavailable
Unearned
Special Assessment - Deferred
$ 2,172,250
$
149,000
Total
$ 2,172,250
$
149,000
51
City of Wixom Notes to Financial Statements
Note 5 - Capital Assets Capital asset activity of the primary government’s governmental and business-type activities was as follows: Balance
Balance
July 1, 2010
Additions
Disposals
June 30, 2011
Governmental Activities Capital assets not being depreciated: Land
$ Subtotal
5,076,279
$
5,076,279
-
$
-
-
$
5,076,279
-
5,076,279
Capital assets being depreciated: Roads and sidewalks
56,822,571
2,482,300
-
59,304,871
Buildings and improvements
12,174,377
1,385
-
12,175,762
Buildings and impr. - DDA/VCA
5,085,103
-
-
5,085,103
Vehicles
4,488,978
122,863
106,292
4,505,549
Office furnishings
693,616
3,669
474
696,811
Stormwater
500,433
2,240
-
502,673
-
-
2,119,136
Drain Improvements
2,119,136
Other tools and equipment
3,734,226
131,065
15,355
3,849,936
85,618,440
2,743,522
122,121
88,239,841
36,322,887
1,918,563
-
38,241,450
4,996,826
334,698
-
5,331,524
475,100
101,858
-
2,482,803
342,513
(97,222)
2,728,094
636,089
15,713
(474)
651,328
48,127
8,800
-
56,927
174,271
42,383
-
216,654
2,483,857
247,136
(14,691)
2,716,302
47,619,960
3,011,664
(112,387)
50,519,237
Subtotal Accumulated depreciation: Roads, sidewalks, and bike paths Buildings and improvements Buildings and impr. - DDA/VCA Vehicles Office furnishings Stormwater Drain Improvements Other tools and equipment Subtotal Net capital assets being depreciated Net capital assets
37,998,480 $
43,074,759
$
(268,142)
9,734
(268,142) $
9,734
576,958
37,720,604 $
42,796,883
52
City of Wixom Notes to Financial Statements
Note 5 - Capital Assets (Continued) Balance
Balance
July 1, 2010
Additions
June 30, 2011
Component Units Capital assets not being depreciated: Land - DDA Subtotal Capital assets being depreciated: Buildings and improvements - DDA Other tools and equipment - DDA Subtotal
Accumulated depreciation: Buildings and improvements - DDA Other tools and equipment - DDA Subtotal
Net capital assets being depreciated Net capital assets
$ 154,296
$
-
$
154,296
154,296
-
154,296
499,892 60,913
-
499,892 60,913
560,805
-
560,805
254,389 60,913
22,747 -
277,136 60,913
315,302
22,747
338,049
245,503
(22,747)
222,756
(22,747) $
377,052
$ 399,799
$
53
City of Wixom Notes to Financial Statements
Note 5 - Capital Assets (Continued) Facilities and buildings for Wastewater and Water Enterprise Funds are located on City owned land.
Balance
Balance
July 1, 2010
Additions
June 30, 2011
Business-type Activities Capital assets not being depreciated: Construction in progress
$
Subtotal Capital assets being depreciated: Water and sewer distribution systems Buildings and building improvements Office furnishings Other tools and equipment
$
-
$
Subtotal Accumulated depreciation: Water and sewer distribution systems Buildings and building improvements Office furnishings Other tools and equipment Subtotal Net capital assets being depreciated Net capital assets
-
51,199,624 20,497,491 67,444 1,731,724
$
477,535
$
151,912 975,073 -
477,535 477,535
$
51,351,536 21,472,564 67,444 1,731,724
73,496,283
1,126,985
74,623,268
10,450,094 7,458,374 67,444 1,477,862
828,621 454,856 48,885
11,278,715 7,913,230 67,444 1,526,747
19,453,774
1,332,362
20,786,136
54,042,509 $
477,535
54,042,509
(205,377) $
272,158
53,837,132 $
54,314,667
54
City of Wixom Notes to Financial Statements
Note 5 - Capital Assets (Continued) Depreciation expense was charged to programs as follows:
Governmental activities: General government Community Development Public safety Public works Public works (Roads, sidewalks, and bike paths) Drain Improvements Recreation, culture, and educational Total governmental activities Business-type activities: Water Sewer Total business-type activities Component units activities: DDA Total component units activities
$
235,026 101,858 388,080 286,144 1,865,681 42,383 92,492
$ 3,011,664 $
628,829 703,533
$ 1,332,362 $
22,747
$
22,747
55
City of Wixom Notes to Financial Statements
Note 5 - Capital Assets (Continued) Construction Commitments - The City has active construction projects at year end. The projects include the improvements to the Indian Wells and Indian Springs subdivisions, West Maple Road, and Potter Road Safety Bike Path. The City also had an active project for the installation of an influent pump & variable frequency drive and an Ultraviolet Disinfection System for the Wastewater system. At year end, the City of Wixom’s commitments with contractors are as follows: Spent to Remaining Date Commitment Street Projects Sewer Projects
$
Total
103,971 1,303,812
$ 1,407,783
$
885,763 620,688
$ 1,506,451
Note 6 - Interfund Receivables, Payables, and Transfers The composition of interfund balances is as follows: Receivable Fund
Due to/from other funds: General Fund
Special Agency Capital Improvement Fund Major Road Capital Program Forfeiture Fund Safety Bike Path Program Cemetery Other funds
Payable Fund
Sewer Fund CDBG Fund Major Act 51 Fund Local Act 51 Fund Local Road Capital Program Debt - DPW/Fire Building Debt Fund Debt - Major Road Fund General Fund General Fund General Fund General Fund General Fund General Fund General Fund
Total governmental activities Water Fund
$ 534,902 1,378 76,383 32,898 7,261 2,125 6,387 1,155,927 594,261 14,590 1,311 16 1,224 38 2,428,701
General Fund Total
Amount
284,901 $ 2,713,602
56
City of Wixom Notes to Financial Statements
Note 6 - Interfund Receivables, Payables, and Transfers (Continued) These balances result from the time lag between the dates that goods and services are provided or reimbursable expenditures occur, transactions are recorded in the accounting system, and payments between funds are made. A cash clearing account is utilized to process biweekly check cutting, and expenditures are charged to the appropriate accounts, which also records and balances automatically the Due To/Due From transactions. In addition to the above interfund balances, the Sewer Fund advanced $885,325 in FY2008-2009 to the Capital Planning Fund for the purchase of a fire truck. This advance is to be repaid over 10 years. The outstanding balance as of June 30, 2011 is $619,727. Interfund Transfers: Fund Transferred From
General Fund
Special Agency Fund Cemetery Fund Forfeiture Fund DPW & Fire Capital Project Fund Total
Fund Transferred To
Capital Improvement Fund Major Road Act 51 Fund Local Road Act 51 Fund General Fund Capital Improvement Fund Capital Improvement Fund Capital Improvement Fund
Amount
$
351,880 14,016 209,390 11,884 776 8,751 14,692
$
611,389
Transfers between the various funds represent payment from one fund to another without an equivalent return of goods or services to fund operations and projects accounted for in the respective funds. Certain transfers, such as the transfers related to Major Road Act 51 and Local Road Act 51, are transfers stipulated by State of Michigan law. Transfers from the Cemetery Fund, Forfeiture Fund, and DPW & Fire Debt Fund to the Capital Improvement Fund provide for capital improvements in various areas as stipulated in the City’s five-year capital improvement plan.
57
City of Wixom Notes to Financial Statements
Note 7 - Long-term Debt The government issues bonds to provide for the acquisition and construction of major capital facilities. General obligation bonds are direct obligations and pledge the full faith and credit of the government. Revenue bonds involve a pledge of specific income derived from the acquired or constructed assets to pay debt service. The Special Assessment Tribute Drain Bonds are issued by Oakland County. Long-term obligation activity can be summarized as follows:
Reductions
Ending Balance
Due Within One Year
565,000 3,220,000 5,560,000
565,000 500,000 160,000
2,720,000 5,400,000
830,000 185,000
9,345,000
1,225,000
8,120,000
1,015,000
Beginning Balance Governmental activities - General obligation bonds: Major Road Refunding 2004 bonds Refunding Bonds 2009 DDA/VCA Development bonds Total governmental activities Contractual Obligation with Oakland County Special Assessment-Tribute Drain
2,330,000
400,000
$ 11,675,000
$ 1,625,000
$
10,050,000
$
1,140,000
$
2,037,347 3,480,000 4,073,331 840,000
$
187,953 310,000 360,000 80,000
$
1,849,394 3,170,000 3,713,331 760,000
$
192,772 320,000 370,000 80,000
Total business-type activities
$ 10,430,678
$
937,953
$
9,492,725
$
962,772
Component unit activities - DDA obligation
44,000
Total governmental activities Business-type activities: General obligation bonds: Water SRF Series 1 bonds Water SRF Series 2 bonds Water SRF Series 3 bonds Water Series 4 bonds
Total component unit activities
$
44,000
1,930,000
$
-
125,000
44,000 $
44,000
$
-
58
City of Wixom Notes to Financial Statements
Note 7 - Long-term Debt (Continued) Total compensated absence balances increased from $629,638 to $707,788 with a net change of $78,150 for the fiscal year. Typically, the General Fund's resources are used to liquidate the liability for compensated absences. It is estimated that approximately the same compensated absences will be used in Fiscal Year 2011-2012 as shown below in the taken row. Governmental Beginning Bal Earned Taken Adjustment Ending Balance
Vacation 457,192 256,164 (263,663) 37,160 486,853
Compensated absences due within one year
371,290
Compensated absences due after one year Total
115,563 486,853
Sick Time 110,615 195,979 (114,097) (33,948) 158,549
158,549 158,549
Comp Time 61,831 45,555 (36,743) (8,257) 62,386
Total 629,638 497,698 (414,503) (5,045) 707,788
62,386
433,676
62,386
274,112 707,788
General obligation bonds - The government issues general obligation bonds to provide funds for the acquisition and construction of major capital facilities. General obligation bonds have been issued for both governmental and business-type activities. General obligation bonds are direct obligations and pledge the full faith and credit of the government. Revenue bonds - The City and its discretely presented component units also issue bonds where the income derived from the acquired or constructed assets is pledged to pay debt service. Some additional detail for each issue such as original amount of the debt issue, ranges of interest rates, ranges of principal maturities and other information are shown below. Original Amount of Debt Issue
Maturing Year Issue
Through Date
Interest Rate Range
Principal Maturity Ranges
Refinanced Range of Installments
Bonds Y/N
Governmental activities - General obligation bonds: DDA/VCA Development Bonds (Limited)
5,750,000
March-05
May-27
4.00% to 4.15%
$90,000 to $450,000
$402,910 to $518,710
N
Refunding Bonds 2009
3,220,000
September-09
May-15
2.25% to 3.00%
$250,000 to $830,000
$257,500 to $899,213
N
2,830,000
September-05
April-25
3.50% to 4.40%
$75,000 to $200,000
$200,040 to $221,853
Y
Water SRF Series 1 bonds
3,895,000
September-98
October-19
2.50%
$150,000 to $245,000
$164,670 to $239,188
Water SRF Series 2 bonds
6,180,000
April-99
October-19
2.50%
$240,000 to $390,000
$392,188 to $395,250
N
Water SRF Series 3 bonds
7,290,000
March-00
October-19
2.50%
$305,000 to $475,000
$458,208 to $468,083
N
Water Series 4 bonds
1,335,000
December-01
April-20
4.90% to 5.15%
$20,000 to $85,000
$89,378 to $119,128
N
Contractual Obligation with Oakland County Special Assessment-Tribute Drain Business-type activities: General obligation bonds: N
59
Notes to Financial Statements
Note 7 - Long-term Debt (Continued) Annual debt service requirements to maturity for the above governmental bond and note obligations are as follows: Governmental Activities
Business-type Activities
Years Ending June 30
Principal
Interest
Total
Interest
Principal
Total
2012
1,015,000
375,289
1,390,289
962,772
245,331
1,208,103
2013
1,035,000
344,838
1,379,838
987,592
219,094
1,206,686
2014
1,145,000
311,439
1,456,439
1,012,411
192,054
1,204,465
2015
625,000
275,450
900,450
1,032,230
164,456
1,196,686
2016
420,000
253,388
673,388
1,057,049
136,300
1,193,349
2017-2021
2,440,000
1,001,527
3,441,527
4,440,671
249,206
4,689,877
2022-2026
2,920,000
447,786
3,367,786
-
-
-
450,000
18,675
468,675
-
-
-
$ 10,050,000
$ 3,028,392
$ 13,078,392
2027
Total
$
9,492,725
$ 1,206,441
$ 10,699,166
No Commitment Debt - Excluded from the General Long-term Debt are bonds issued under the Industrial Development Revenue Bond Act of 1963, as amended, which authorizes municipalities to acquire and lease industrial sites, buildings, and equipment. Also excluded are revenue bonds issued by the Economic Development Corporation to acquire and lease property to third parties. The revenue bonds issued are payable solely from the net revenue derived from the respective leases and are not a general obligation of the City. After these bonds are issued, all financial activity is taken over by the paying agent. The bonds and related lease contracts are not reflected in the City’s financial statements. Advance and Current Refundings - On November 26, 2010, the City Council passed a resolution to authorize the defeasance of the October 2005 Limited Tax General Obligation Special Assessment Bonds for Drain improvements which amounted to $2,830,000. The bonds were issued for the purpose of constructing drainage improvements for the Village Center Area. The payments began on October 1, 2005 and would mature on April 1, 2025, with interest ranging from 3.00 percent to 4.40 percent.
60
City of Wixom Notes to Financial Statements
Note 7 - Long-term Debt (Continued) Upon close of this project, it was determined that surplus proceeds and interest earnings exist in the amount of $546,697. It was determined that the surplus proceeds from the bond monies, along with investment earnings, should be used to reduce the bond principal. This defeasance is estimated to result in no actual cumulative savings. The payments covered by escrow funds begin in April 2011 and end in April 2012, with interest ranging from 3.25 percent to 3.50 percent. The advance refunding reduced total debt service payments over the next two years by $534,279 (principal $400,000 and interest $134,279). Note 8 - Restricted Assets The balances of the restricted asset accounts are as follows: Businesstype Activities Customer and other deposits Total restricted assets Note 9 - Risk Management
$
402,962
$
402,962
The City is exposed to various risks of loss related to property loss, torts, errors and omissions, and employee injuries (workers’ compensation), as well as medical benefits provided to employees. The City has purchased commercial insurance for employee health benefits claims, participates in the Michigan Municipal Risk Management Authority risk pool for claims relating to property loss, torts, and errors and omissions, and participates in the Michigan Municipal League (risk pool) for claims relating to workers’ compensation. Settled claims relating to the commercial insurance have not exceeded the amount of insurance coverage in any of the past three fiscal years. The Michigan Municipal League risk pool program operates as a common risksharing management program for local units of government in Michigan; member premiums are used to purchase commercial excess insurance coverage and to pay member claims in excess of deductible amounts.
61
City of Wixom Notes to Financial Statements
Note 10 - Defined Benefit Pension Plan Plan Description - The City participates in the Municipal Employees’ Retirement System of Michigan (MERS), an agent multiple-employer defined benefit pension plan that covers substantially all full-time employees of the City. The MERS provides retirement, disability, and death benefits to plan members and their beneficiaries. The MERS issues a publicly available financial report that includes financial statements and required supplementary information for the MERS. The report may be obtained by writing to the MERS at 1134 Municipal Way, Lansing, MI 48917. Funding Policy - The obligation to contribute to and maintain the MERS for these employees was established by negotiation with the City’s collective bargaining units and requires a contribution from the employees ranging from 0 percent to 6.26 percent. Annual Pension Costs - For the year ended June 30, 2011, the City’s annual pension cost of $895,324 for the plan was equal to the required and actual contribution. The annual required contribution was determined as part of an actuarial valuation at December 31, 2008, using the entry actual age cost method. Significant actuarial assumptions used include: (i) an 8 percent investment rate of return; (ii) projected salary increases of 4.50 percent per year; and (iii) 2.50 percent per year cost of living adjustments. Both (i) and (ii) are determined using techniques that smooth the effects of short-term volatility over a four-year period. The unfunded actuarial liability is being amortized as a level percent of payroll on a closed basis. The remaining amortization period is 28 years.
62
Notes to Financial Statements
Note 10 - Defined Benefit Pension Plan (Continued) Three-year trend information is as follows: 2009 General Employees' Retirement System: Annual pension costs (APC) Percentage of APC contributed Net pension obligation
$ $
736,460 $ 100% $
2008 Actuarial value of assets Actuarial accrued liability (AAL) (entry actual age) Unfunded AAL (UAAL) Funded ratio Covered payroll UAAL as a percentage of covered payroll
2010 757,748 $ 100% $
Actuarial Valuation as of December 31 2009
$
13,710,321
$ $
21,239,805 $ 7,529,484 $ 65% 3,536,258 $ 213%
$
2011
$
14,573,902
895,324 100% -
2010 $
21,648,972 $ 7,075,070 $ 67% 3,561,123 $ 199%
15,626,617 22,994,104 7,367,487 68% 3,509,348 210%
Deferred Compensation Plan The City offers an employee-only contributing deferred compensation plan created in accordance with Internal Revenue Code Section 457. The plan, available to all permanent City employees, permits each employee to defer a portion of their salary until future years. The deferred compensation is not available for distribution to employees until termination, retirement, death, or unforeseeable emergency. All amounts of compensation deferred under the plan with VALIC or MERS, all property and rights purchased with those amounts, and all income attributable to those amounts, property, or rights, are held in trust, for the exclusive benefit of the plan participants and their beneficiaries. The assets shall not be diverted for any other purpose. All provisions of the plan and trust are in conformance with Internal Revenue Code Section 457. Effective January 2011, MERS began to administer the MERS Defined Contribution, rather than using their past third-party administrator, ICMA-RC. The MERS Retirement Board approved the transition at their September 17, 2010 Board Meeting. It is hoped that this will help cut costs for participants and coordinate services across the MERS programs. The plan’s funds are excluded from the financial statements in conformance with the reporting and disclosure requirements in GASB Statement Number 32, Accounting and Financial Reporting for Internal Revenue Code Section 457 Deferred Compensation Plans. 63
Notes to Financial Statements
Note 11 - Other Postemployment Benefits Plan description: The City provides retiree health care benefits to eligible employees and their spouses. Currently, the plan has 59 members (including employees in active service, terminated employees not yet receiving benefits, and retired employees and beneficiaries currently receiving benefits). The Library, a separate governmental entity, also participates in this plan. This combined entity pan is a cost-sharing, multiple-employer, defined benefit plan administered by the City of Wixom. The benefits are provided under collective bargaining agreements and Library policy. This is a single employer defined benefit plan administered by the Municipal Employees Retirement System (MERS). The benefits are provided under collective bargaining agreements or Executive Directives approved by City Council. The plan does not issue a separate stand-alone financial statement. Administrative costs are paid by the Plan through employer contributions. An Audited GAAP basis Postemployment Benefit Plan report is not available for the Other Postemployment Benefit plan. Funding policy: The collective bargaining agreements require a contribution of 1% of payroll from employees. Retiree health care costs are recognized when paid by the City on a “pay-as-you-go” basis. The City has no obligation to make contributions in advance of when the insurance premiums are due for payment. However, as shown below, the City has made contributions to advance-fund these benefits, as determined by the City Council through annual budget resolutions. In the current year, the City paid post-employment health care premiums of $63,878 (includes Governmental and Library). The City’s annual contribution amounting to $256,580 (Governmental $221,620 and Library $34,960) distributed to the Health Insurance – MERS Fund an irrevocable trust. Funding progress: For the year ended June 30, 2011, the City has estimated the cost of providing retiree health care benefits through use of a spreadsheet that complies with the requirements of GASB 45. The spreadsheet computes an annual required contribution that, if paid on an ongoing basis, is projected to cover normal cost each year and amortize any unfunded actuarial liabilities over a period not to exceed 30 years. The spreadsheet uses actuarial techniques, although it was not performed by an actuary. The June 30, 2011 valuation’s computed contribution and actual funding are summarized as follows:
64
Notes to Financial Statements
Note 11 - Other Postemployment Benefits (Continued) Annual required contribution (recommended) Interest on prior year's net OPEB obligation Less Adjustment to the annual required contribution Annual OPEB cost Amounts contributed Payments of current premiums Contribution to MERS Inc/Decrease in net OPEB obligation OPEB asset - beginning of year OPEB obligation - end of year Net OPEB obligation - Governmental Net OPEB asset - Library OPEB obligation - end of year
(625,283) 11,821 (10,161) (623,623) 63,878 256,580 (303,165) 147,767 (155,398) (170,005) 14,606 (155,399)
The allocation of increase in net OPEB obligation between the City and the Library are $317,772 (City) and ($14,607) (Library). The annual OPEB costs, the percentage contributed to the plan, and the net OPEB obligation for the current and two preceding years were as follows: 2009 Annual OPEB Costs Percentage contributed Net OPEB obligation
$ $
Fiscal Year Ended June 30 2010
460,606 $ 0% 460,606 $
486,684 $ 207.9% (147,767) $
2011 625,283 54.6% 155,398
The funding progress of the plan as of the most recent valuation date is as follows:
Valuation a of: Actuarial value of assets Actuarial accrued liability Unfunded AAL Funded ratio Annual covered payroll Ratio of UAAL to covered payroll
June 30, 2009 1,460,134 $ 4,359,315 2,899,181 $ 33.5% $ 3,471,152 84%
$ $ $
June 30, 2010 June 30, 2011 2,613,715 3,419,519 5,669,404 7,495,267 3,055,689 4,075,748 46.1% 45.6% 3,614,823 3,620,780 85% 113%
Actuarial methods and assumptions - Actuarial valuations of an ongoing plan involve estimates of the value of reported amounts and assumptions about the probability of occurrence of events far into the future. Examples include assumptions about future employment, mortality, and the healthcare cost trend. Amounts determined regarding the funded status of the plan and the annual required contributions of the employer are subject to continual revision as actual results are compared with past expectations and new estimates are made about the future. The schedule of funding progress, presented above, presents multiyear trend information about whether the actuarial value of plan assets is increasing or decreasing over time relative to the actuarial accrued liabilities for benefits.
65
Notes to Financial Statements
Note 11 - Other Postemployment Benefits (Continued) Projections of benefits for financial reporting purposes are based on the substantive plan (the plan as understood by the employer and the plan members) and include the types of benefits provided at the time of each valuation and the historical pattern of sharing of benefit costs between the employer and plan members to that point. The actuarial methods and assumptions used include techniques that are designed to reduce the effects of short-term volatility in actuarial accrued liabilities and the actuarial value of assets, consistent with the long-term perspective of the calculations. The following simplifying assumptions were made: Retirement age for active employees - Based on the historical average retirement age for the covered group, active plan members were assumed to retire at age 62, or at the first subsequent year in which the member would qualify for benefits. Marital status - Marital status of members at the calculation date was assumed to continue throughout retirement. Mortality - Life expectancies were based on mortality tables from the National Center for Health Statistics. The 19W9 United States Life Tables for Males and for Females were used. Turnover - Non-group-specific age-based turnover data from GASB Statement 45 were used as the basis for assigning active members a probability of remaining employed until the assumed retirement age and for developing an expected future working lifetime assumption for purposes of allocating to periods the present value of total benefits to be paid. Healthcare cost trend rate - The expected rate of increase in healthcare insurance premiums was based on projections of actual premium increases in FY2010-2011 and the Office of the Actuary at the Centers for Medicare & Medicaid Services. A composite rate of 7.0 percent initially, reduced to an ultimate rate of 5.6 percent after six years, was used. Health insurance premiums - FY2010-2011 health insurance premiums for retirees were used as the basis for calculation of the present value of total benefits to be paid. Inflation rate - The expected long-term inflation assumption of 2.8 percent was based on projected changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) in the 2010 Annual Report of the Board of Trustees of the Federal Old-Age and Survivors Insurance and Disability Insurance Trust Funds for an intermediate growth scenario.
66
Notes to Financial Statements
Note 12 – Restricted Net Assets Net assets have been restricted for the following purposes:
Restricted for
Total Governmental
Total Business-
Activities
Type Activities
Maintenance/improvements for local roads Public improvements for major roads Public improvements for Bike Paths Restricted for Special Agency Funds Restricted for Debt Service Restricted for escrow holdings Restricted Solid Waste Collection (Other Purpose) Restricted Cemetery (Other Purpose) Land Acquisiton Fund (Other Purpose) Police Forfeiture Fund (Other Purpose)
$
1,769,340 $ 774,310 (7,565) 1,203,755 2,440,610 93,431 88,450 978,157 33,906
402,962 -
Total
$
7,374,394 $
402,962
Note 13 - Regional Authority Cooperative Ventures The City is a member of the Western Oakland County Cable Communication Authority (the “Authority”), a cooperative venture of western Oakland County communities. The City appoints one member to the Authority’s governing board, which then approves the annual budget. The Authority receives a management fee from the cable television company and currently does not receive a subsidy from the City. Complete financial statements for the Authority can be obtained from the administrative offices at 3978 Chanda Court, Highland, Michigan 48031. The City is also a member of the Resource Recovery and Recycling Authority of Southwest Oakland County (the “Recycling Authority”). The Recycling Authority is incorporated by the cities of Farmington, Farmington Hills, Novi, South Lyon, Southfield, Walled Lake, Wixom, and the Charter City of Lyon. The City appoints one member to the Recycling Authority’s governing board, which then approves the annual budget.
67
Notes to Financial Statements
Note 13 - Regional Authority Cooperative Ventures (Continued) The Recycling Authority receives its operating revenue from member contributions and miscellaneous income. During the year, the City contributed approximately $29,594 for its operations. Complete financial statements for the Recycling Authority can be obtained from the administrative offices at 2000 West Eight Mile, Southfield, Michigan 48375. For both the Western Oakland County Cable Communication Authority and the Resource Recovery and Recycling Authority of Southwest Oakland County, the City is unaware of any circumstances that would cause an additional benefit or burden to the participating governments in the near future. Note 14 - Brownfield Redevelopment Authority The Brownfield Redevelopment Authority was established pursuant to Public Act 381 of 1996 and is governed by the Oakland County Brownfield Redevelopment Authority. Upon completion of its purpose, the Authority may be dissolved by resolution of the City Council. The City only collects property tax revenue and remits them to Oakland County. The Oakland County Brownfield Redevelopment Authority is responsible for the disbursement and accounting for all monies received. The City collected $23,478 in captured revenue for the Brownfield Redevelopment Authority for fiscal year 2011. Note 15 – Accounting and Reporting Change During the year, the City adopted GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions. The objective of this Statement is to enhance the usefulness of fund balance information by providing clearer fund balance classifications that can be more consistently applied and by clarifying the existing governmental fund type definitions. In order to conform the classifications of the funds to the appropriate fund types under these new definitions, beginning fund balance was restated as follows:
Fund Balance - June 30, 2010 - as previously reported Reclassifications under GASB 54 Fund Balance - June 30, 2010 - as restated
General Fund $ 1,408,152 1,951,115 $ 3,359,267
Budget Stabilization Fund $ 1,951,115 (1,951,115) $ -
68
Notes to Financial Statements
Note 16 – Upcoming Accounting Pronouncements In November 2010, GASB issued Statement No. 60, Accounting and Financial Reporting for Service Concession Arrangements. This Statement addresses financial reporting related to service concession arrangements which are a type of public-private or public-public partnership. An SCA is an arrangement between a transferor (a government) and an operator (whether a government or nongovernment) in which the transferor conveys to an operator the right and relation obligation to provide services through the use of infrastructure or another public asset in exchange for significant consideration and the operator collects and is compensated by fees from third parties. The City is currently evaluating the impact this standard will have on the financial statements when adopted, during the City’s 2012-2013 fiscal year. In November 2010, the GASB issued Statement No. 61, The Financial Reporting Entity Omnibus. This pronouncement, which is an amendment to Statement 14 and Statement 34, modifies certain requirements for inclusion of component units in the financial reporting entity. This Statement also amends the criteria for reporting component units as if they were part of the primary government (that is, blending) in certain circumstances. Lastly, the Statement also clarifies the reporting of equity interests in legally separate organizations. The City is currently evaluating the impact this standard will have on the financial statements when adopted, during the City’s 2012-2013 fiscal year. In December 2010, the GASB issue Statement No. 62, Codification of Accounting and Financial Reporting Guidance Contained in Pre-November 30, 1989 FASB and AICPA Pronouncements. This Statement incorporates into GASB literature certain accounting and financial reporting guidance issued on or before November 30, 1989 that is included in FASB Statements and Interpretations, APB Opinions, and Accounting Research Bulletins of the AICPA Committee on Accounting Procedure. The City is currently evaluating the impact this standard will have on the financial statements when adopted, during the City’s 2012-2013 fiscal year. In June 2011, the GASB issued Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position. The statement will be effective for the City's 2012-2013 fiscal year. The statement incorporates deferred outflows of resources and deferred inflows of resources, as defined by GASB Concepts Statement No. 4, into the definitions of the required components of the residual measure of net position, formerly net assets. This statement also provides a new statement of net position format to report all assets, deferred outflows of resources, liabilities, deferred inflows of resources and net position. Once implemented, this statement will impact the format and reporting of the balance sheet at the government-wide level and also at the fund level.
69
Notes to Financial Statements
Note 16 – Upcoming Accounting Pronouncements (Continued) The GASB has recently issued GASB Statement No. 64, Derivative Instruments: Application of Hedge Accounting Termination Provisions. The pronouncement clarifies when a replacement of a swap counterparty or swap counterparty's credit support provider results in continuing effective hedging relationships versus a required termination. The City is evaluating the impact this standard may have on its financial statements when adopted as required in fiscal year 2013.
70
(This page left intentionally blank)
71
Required Supplemental Information June 30, 2011
72
City of Wixom, Michigan Required Supplemental Information Budgetary Comparision Schedule - General Fund Year Ended June 30, 2011
Original Budget
Amended Budget
Actual
Variance With Amended Budget
General Fund Fund Balance - Beginning of year Resources (inflows): Property taxes State sources Fees and Permits Miscellaneous revenues Transfer from other funds Amounts available for appropriation Charges to appropriations (outflows) General government: Legislative City Manager Assessor Legal Counsel Clerk's office Information systems Financial administration General Operating Building Maintenance Boards and commissions Cultural and recreational: Cultural center Community services/recreation Seniors Public safety: Fire Police Public works and enginnering services Planning Public works Building Board of Appeals Transfers to other funds: Capital improvement Retiree insurance Total charges to appropriations Fund Balance - End of year
1,052,366
1,052,366
1,408,152
355,786
6,037,176 906,043 300,870 792,365 1,627,499 10,716,319
6,037,176 906,043 300,870 792,365 1,668,940 10,757,760
5,792,459 1,070,137 240,358 773,446 1,693,166 10,977,718
(244,717) 164,094 (60,512) (18,919) 24,226 219,958
17,626 476,832 162,537 77,100 183,426 134,759 412,782 569,629 61,970 1,200
17,626 488,067 162,537 77,100 185,564 134,759 433,742 455,871 61,970 1,200
15,241 487,847 159,970 59,559 178,991 134,465 432,722 408,335 54,058 1,174
2,385 220 2,567 17,541 6,573 294 1,020 47,536 7,912 26
326,169 447,538 60,392
328,486 451,028 60,392
299,399 428,752 54,308
29,087 22,276 6,084
916,051 3,212,187
919,586 3,258,770
889,929 3,012,968
29,657 245,802
34,800 1,564,491 427,064 3,900
34,800 1,584,191 430,865 3,900
20,473 1,448,878 407,586 2,204
14,327 135,313 23,279 1,696
351,880 221,620
351,880 221,620
351,880 221,620
9,663,953 1,052,366
9,663,953 1,093,807
9,070,359 1,907,359
593,594 813,552
73
City of Wixom, Michigan Required Supplemental Information Budgetary Comparision Schedule - Major Special Revenue Funds Year Ended June 30, 2011 Original Budget Major Road Act 51 Fund Fund Balance - Beginning of year Resources (inflows): State revenue Transfer from other funds Amounts available for appropriation Charges to appropriations (outflows) Public Works Interfund transfers Administrative Construction Routine maintenance Traffic service Snow and ice removal Total charges to appropriations Fund Balance - End of year
$
$
Amended Budget
-
$
-
Variance With Amended Budget
Actual
$
-
$
-
457,017 178,749 635,766
457,017 202,549 659,566
473,414 14,016 487,430
16,397 (188,533) (172,136)
45,702 7,000 280,000 66,727 236,337 635,766 -
50,002 7,000 280,000 90,527 232,037 659,566 -
47,341 228,815 73,876 137,398 487,430 -
2,661 7,000 51,185 16,651 94,639 172,136 -
$
$
74
City of Wixom, Michigan Required Supplemental Information Budgetary Comparision Schedule - Major Special Revenue Funds Year Ended June 30, 2011 Original Budget Local Road Act 51 Fund Fund Balance - Beginning of year Resources (inflows): State revenue Transfer from other funds
$
Amounts available for appropriation Charges to appropriations (outflows) Public Works Administrative Construction Routine maintenance Traffic service Snow and ice removal Total charges to appropriations Fund Balance - End of year
$
-
Amended Budget
$
-
Variance With Amended Budget
Actual
$
-
$
-
195,450 3,348,271
195,450 3,878,467
203,898 209,391
8,448 (3,669,076)
3,543,721
4,073,917
413,289
(3,660,628)
19,545 2,984,176 303,000 47,000 190,000
22,045 3,514,372 303,000 47,000 187,500
20,390 188,173 51,287 153,439
1,655 3,514,372 114,827 (4,287) 34,061
3,543,721
4,073,917
413,289
3,660,628
-
$
-
$
-
$
-
75
City of Wixom, Michigan Required Supplemental Information Budgetary Comparision Schedule - Major Special Revenue Funds Year Ended June 30, 2011 Original Budget Local Road Capital Fund Fund Balance - Beginning of year Resources (inflows): Property Taxes Interest Income County Revenue Miscellaneous Income
$
Amounts available for appropriation Charges to appropriations (outflows) - Local road programs Fund Balance - End of year
$
2,851,227
Amended Budget
$
2,851,227
Actual
$
2,780,924
Variance With Amended Budget
$
(70,303)
837,568 2,000 -
837,568 2,000 353,464 -
808,223 2,935 73,293 2,050
(29,345) 935 (280,171) 2,050
3,690,795
4,044,259
3,667,425
(376,834)
2,567,000
3,097,196
1,898,084
1,123,795
$
947,063
$
1,769,341
1,199,112 $
822,278
76
City of Wixom Notes to Required Supplemental Information Year Ended June 30, 2011
Budgetary Information Budgetary Information - Annual budgets are adopted on a basis consistent with generally accepted accounting principles for the General Fund and all Special Revenue Funds. Subsequent amendments are approved by the City Council. Amendments may be made by the City Council up until the last day of the fiscal year. All annual appropriations lapse at fiscal year end. Financial plans are submitted for all other funds, including Debt Service Funds, Capital Project Funds, and Enterprise Funds. The City follows these procedures in establishing the budgetary data reflected in the supplementary information: At the first City Council meeting in April, the City Manager submits to the City Council a proposed operating budget for the fiscal year commencing the following July 1. The operating budget includes proposed expenditures and the means of financing them. Financial plans for all other funds are also submitted at this time. Budget sessions and public hearings are conducted by the City Council to review the proposed City Manager’s budget/financial plans and to obtain taxpayer comments. If required, a Truth-In-Taxation Public Hearing is held at the second City Council meeting in May. The budget must be formally adopted no later than the second City Council meeting in May when the budget is legally enacted through passage of a Council resolution. The budget document presents information by fund, function, department, and line items. Budgets are adopted on a modified accrual basis consistent with generally accepted accounting principles. The legal level of budgetary control adopted by the governing body for the General Fund is the department level. All other funds’ budgets have been adopted on an aggregate basis by function or department. Formal budgetary integration is employed as a management control device during the year for all funds at a line-item level. Administrative control is maintained through the establishment of more detailed line-item budgets. Budget transfers between budgetary categories, functions or from fund balance are periodically approved by the City Council. Supplemental appropriations for additional expenditures, which require an appropriation of available fund balance, must be approved by the City Council. Appropriations for operations lapse at year end. Appropriations for continuing projects are incorporated in the budget of the ensuing year.
77
City of Wixom Notes to Required Supplemental Information Year Ended June 30, 2011
Budgetary Information (Continued) Department Heads with City Manager approval may make transfers of appropriations annually within a department up to an aggregate of $20,000. The City closely monitors spending by reviewing monthly budget reports and, if necessary, will perform periodic budget amendments to reflect significant changes in the budget. In addition, the City Manager informs the City Council of any changes in the financial plan for the Capital Project Funds, Debt Service Funds and Enterprise Funds. Significant budget amendments during the year are described briefly below. Governmental Units Capital Improvement Fund
Original Budget Amended Budget Changes to Budget
Revenues MMRMA Grant Contribution-DPW & Fire Capital Project Contribution-Forfeiture Fund Appropriation fr Fund Balance Contribution-State Grants
-
9,000 14,692 8,751 37,771 75,413
9,000 14,692 8,751 37,771 75,413
15,000 26,000 40,000 -
30,000 63,011 57,751 75,865
15,000 37,011 17,751 75,865
Expenditures Parking Lot Reconstruction Vehicles - Police In-Car Terminals Street Light Improvements
Community Development Block Grant
Original Budget Amended Budget Changes to Budget
Revenues CDBG - Spec Projects CDBG Public Services
33,287 14,266
51,563 13,250
18,276 (1,016)
33,287 2,500 6,766
51,563 939 7,311
18,276 (1,561) 545
Expenditures
Safety Path-Construction LAYA Services Other Service
78
City of Wixom Notes to Required Supplemental Information Year Ended June 30, 2011
Budgetary Information (Continued) Governmental Units Major Road Act 51 Program
Original Budget Amended Budget Changes to Budget
Revenues
Contribution-General Fund
171,749
195,549
23,800
45,702 12,500 9,700 116,337
50,002 26,000 20,000 112,037
4,300 13,500 10,300 (4,300)
Expenditures
Administrative Expenditures Traffic Service Salaries Employee Fringe Benefits Equipment Rental
Local Road Act 51 Program
Original Budget Amended Budget Changes to Budget
Expenditures Administrative Expenditures Equipment Rental Expenditures Contribution to Local Roads
DPW & Fire Capital Project
19,545.00
22,045.00
(2,500)
81,707
79,207
(2,500)
Original Budget Amended Budget Changes to Budget
Revenues Interest Income Appropriation fr Fund Balance
-
20 14,672
20 14,672
-
14,692
14,692
Expenditures Contribution - Capital Improvements
Budget Stabilization Revenues Appropriation from Fund Bal
Original Budget Amended Budget Changes to Budget
535,000
576,441
41,441
550,000
591,441
41,441
Expenditures Contribution to General Fund
79
City of Wixom Notes to Required Supplemental Information Year Ended June 30, 2011
Budgetary Information (Continued) Governmental Units Special Agency Fund
Original Budget Amended Budget Changes to Budget
Revenues
Site Plan Review Engineering Review Fees Site Plan Inspection Temp C of O
15,000 15,000 40,000 125,000
4,942 11,100 79,916 217,554
(10,058) (3,900) 39,916 92,554
17,000 6,000 60,000
32,313 7,449 161,750
15,313 1,449 101,750
Expenditures
Engineering Review Fees Site Plan Review Temp C of O (Comm/Indust) Component Units Downtown Development Authority
Original Budget Amended Budget Changes to Budget
Revenues
Property Taxes - DDA Special Millage Interest & Penalty - Delq Appropriations of Fund Balance
211,104 10,941 (7,341)
216,013 11,492 1,442 3,600
4,909 551 1,442 10,941
211,104
228,947
17,843
Expenditures
Contribution to DDA/VCA Development Debt
The budget amendments were requested and approved for the recognition of grants, contributions, and other revenue, additional capital improvement expenditures, to adjust expenditures in the Major and Local Act 51 Road Program, to adjust the Community Development Block Grant budget, to adjust the revenues and expenditures of the Special Agency Fund, and to close out the DPW & Fire Capital Project Fund. In addition, budget amendments were requested and approved for the Downtown Development Authority, a Component Unit, to increase contributions for debt service for the DDA/VCA Development Bonds. Amounts encumbered for purchase orders, contracts, etc., are not tracked during the year. Budget appropriations are considered to be spent once the goods are delivered or the services rendered. Budget amounts of the of the revenues and expenditures presented for the Governmental Funds are a summarization of the budgeted amounts as originally adopted or as amended by City Council. During the current year, the budget was amended in a legally permissible manner. Budgets have been prepared on a basis consistent with generally accepted accounting principles (GAAP), except that transfers have been included as revenues and expenditures.
80
Notes to Required Supplemental Information Year Ended June 30, 2011
A reconciliation of the budgetary comparison schedules to the fund-based statement of changes in fund balance is as follows: Total Revenue Total Expenditures General Fund (per operating statement) $ 8,303,744 $ 7,817,761 Less: Budget Stabilization Fund Interest Income (14,813) Add: Budget Stabilization Contribution 591,441 Add: Major Road Act 51 Fund revenue 473,414 Add: Local Road Act 51 Fund Revenue 203,898 Add: DPW operating expenditure allocated to Major Road Act 51 Fund 487,430 Add: DPW operating expenditure allocated to Local Road Act 51 Fund 413,288 Add: Capital Improvement Fund Transfer 351,880 Add: Special Agency Transfer 11,882 Amounts per General Fund budget statement
$ 9,569,566
$
9,070,359
81
Other Supplemental Information June 30, 2011
82
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Major Capital Project Fund Year Ended June 30, 2011 Original Budget Capital Improvement Fund Fund Balance - Beginning of year Resources (inflows): State Grants Other Grants Cemetery Fund contribution General Fund contribution Other Funds contribution Interest Income
$
Amounts available for appropriation
587,519
Amended Budget
$
587,519
Actual
$
621,770
Variance With Amended Budget
$
34,251
1,000 351,880 -
75,413 9,000 1,000 351,880 23,443 -
75,413 9,000 776 351,880 23,443 616
(224) 616
940,399
1,048,255
1,082,898
34,643
7,000
7,000
6,795
205
15,500 26,000
15,500 26,000
3,668 8,667
11,832 17,333
35,000
35,000
2,240
32,760
Charges to appropriations (outflows) General government: General Operating Cultural and recreational: Community services Parks and recreation Engineering services: Public services Public safety: Fire Police Public works Public works - DPW Cemetery Debt Service
50,000 72,600
65,000 127,362
57,366 124,774
7,634 2,588
26,000 1,000 109,780
101,865 1,000 109,780
101,865 776 24,342
224 85,438
Total charges to appropriations
342,880
488,507
330,493
158,014
Fund Balance - End of year
$
597,519
$
559,748
$
752,405
$
192,657
83
City of Wixom, Michigan Other Supplemental Information Financial Plan Comparision Schedule - Major Debt Service Fund Year Ended June 30, 2011 Original Budget Major Road Debt Service Fund Fund Balance - Beginning of year Resources (inflows): Property Taxes Interest Income
$
Amounts available for appropriation Charges to appropriations (outflows) - Debt Interest expense Principal payment Miscellaneous expense Total charges to appropriations Fund Balance - End of year
$
61,507
Amended Budget
$
61,507
Actual
$
75,540
Variance With Amended Budget
$
14,033
822,011 600
822,011 600
803,116 659
(18,895) 59
884,118
884,118
879,315
(4,803)
66,164 805,000 1,150 872,314
66,164 805,000 1,150 872,314
66,163 805,000 559 871,722
11,804
$
11,804
$
7,593
1 591 592 $
(4,211)
84
City of Wixom, Michigan Other Supplemental Information Financial Plan Comparision Schedule - Special Assessment Debt Service Fund Year Ended June 30, 2011 Original Amended Budget Budget Special Assessment Fund Fund Balance - Beginning of year Resources (inflows): Interest Income
$
Amounts available for appropriation Charges to appropriations (outflows) - Debt Interest expense Principal payment Bond Defeasance Costs Miscellaneous expense Total charges to appropriations Fund Balance - End of year
$
639,735
$
Actual
639,735
$
829,090
Variance With Amended Budget
$
189,355
500
500
358
640,235
640,235
829,448
189,213
92,228 125,000 775 218,003
92,228 125,000 775 218,003
92,228 400,000 11,476 1,129 504,833
(275,000) (11,476) (354) (286,830)
422,232
$
422,232
$
324,615
(142)
$
(97,617)
85
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Other Special Revenue Funds Year Ended June 30, 2011 Original Budget Budget Stabilization Fund Balance - Beginning of year Resources (inflows): Interest Income Amounts available for appropriation
$
$
15,000 3,004,245
Charges to appropriations (outflows) Contribution to General Fund Total charges to appropriations Fund Balance - End of year
2,989,245
$
Actual
Variance With Amended Budget
2,989,245
1,951,115
$
15,000 3,004,245
14,813 1,965,928
Amended Budget
(1,038,130) (187) (1,038,317)
550,000
591,441
591,441
-
550,000
591,441
591,441
-
2,454,245
$
2,412,804
$
1,374,487
$
(1,038,317)
The Budget Stabilization Fund is blended with the General Fund as of FY2010-2011
86
City of Wixom, Michigan Other Supplemental Information Combining Balance Sheet Nonmajor Governmental Funds June 30, 2011
Community Development Assets Cash and investments Receivables - Net Due from other funds Total assets
$
$
1,378 1,378
Land Acquisition $
$
978,157 978,157
Nonmajor Special Revenue Funds Safety Solid Forfeiture Path Waste $
$
32,595 1,311 33,906
$
$
28,130 16 28,146
$ 124,303 6,164 38 $ 130,505
35,707 4 35,711
$
Special Agency
Cemetery
53,071 1,155,927 1,208,998
$
$
87,226 1,224 88,450
Capital Project Funds Major Road DPW & Fire Capital Progam Construction $
$
774,310 14,590 788,900
$
-
$
Liabilities and Fund Balances Liabilities Accounts payable Accrued and other liabilities Due to other funds Total liabilities
$
Fund Balances - Unreserved Nonspendable: Restricted: Land acquisition Police forfeitures Roads & Bike Paths Solid waste activities Development contracts Debt Committed: Cemetery Assigned: Unassigned: Total Fund Balance Total liabilities and fund balances $
1,378 1,378
$
-
$
-
-
978,157 -
-
-
1,378
-
978,157 $
978,157
$
-
$
37,074 37,074
$
5,243 5,243
-
-
-
33,906 -
-
93,431 -
-
(7,565)
-
33,906
(7,565)
93,431
1,203,755
$ 130,505
1,208,998
33,906
$
28,146
$
-
-
$
-
1,203,755 -
-
-
88,450 # 88,450
-
774,310 -
88,450 -
$
$
-
-
-
14,590 14,590
-
774,310 $
788,900
$
-
87
Debt Service Funds Development DPW & Fire Debt Building $
$
$
259,180 259,180
-
$
$
$
-
$
6,295 2,125 8,420
$
$
88,450 (7,565)
13,913 $
22,333
98,909 4 3,503 102,416
978,157 33,906 774,310 93,431 1,203,755 273,093
-
259,180
2,359,305 7,542 1,173,106 3,539,953
-
13,913
-
259,180
22,333 22,333
-
259,180
$
Total Nonmajor Governmental Funds
3,437,537 $
3,539,953
88
City of Wixom, Michigan Other Supplemental Information Combining Statement of Revenue, Expenditures, and changes in Fund Balance-Nonmajor Governmental Funds Year Ended June 30, 2011
Community
Nonmajor Special Revenue Funds Land
Development Revenues Property taxes Solid waste collection Federal Revenue Component unit contributions Permits & Fees Rental income Donations Interest Other revenue
$
Total revenues Expenditures Current: City Manager General operating Police department Building Solid waste Public works Land acquitision Other Capital Improvements Debt service: Principal Interest Total expenditures
64,124 -
Acquisition $
160 1,381 -
Forfeiture $
11 21,527
$
Safety
Solid
Special
Path
Waste
Agency
216,618 243 -
$
1,664 524,747 27 9,154
$
Capital DPW & Fire Cemetery
322,366 3,686 47 20,947
$
2,000 113 3,400
Construction $
20 -
64,124
1,541
21,538
216,861
535,592
347,046
5,513
13,246 50,878 -
600 1,492 -
1,615 -
397,798
470,194 -
3,634 2,335 291,572 -
285 -
-
-
-
-
-
-
64,124
2,092
1,615
397,798
470,194
297,541
285
-
19,923
(180,937)
65,398
49,505
5,228
20
-
-
-
20
-
Excess of Revenues Over(Under) Expenditures
-
Other Financing Sources (Uses) Transfers in Transfers out
-
-
(8,751)
-
-
(11,884)
(776)
(14,692)
Total other financing sources (uses)
-
-
(8,751)
-
-
(11,884)
(776)
(14,692)
Net Change in Fund Balances
-
Fund Balances - Beginning of year
-
Fund Balances - End of year
$
-
(551)
(551) 978,708 $
978,157
$
11,172
(180,937)
65,398
37,621
4,452
(14,672)
22,734
173,372
28,033
1,166,134
83,998
14,672
33,906
$
(7,565) $
93,431
$
1,203,755
$
88,450
$
-
89
Project Funds Major Road
Debt Service Funds Development DPW & Fire
Capital Program $
16,540 1,096 -
Debt $
228,947 473 -
$
273,379 227 -
$
491,661 524,747 64,124 245,487 322,366 160.00 5,686 3,638 55,028
17,636
229,420
273,606
1,712,897
21,540
500 -
500 -
3,634 15,131 3,950 291,572 470,194 50,878 1,492 419,338
-
160,000 224,535
260,000 34,117
420,000 258,652
21,540
385,035
294,617
1,934,841
(3,904)
(155,615)
(21,011)
(221,944)
-
-
-
(36,103)
-
-
-
(36,103)
(155,615)
(21,011)
(258,047)
414,795
34,924
3,695,584
13,913
3,437,537
(3,904) 778,214 $
Building
Total Nonmajor Governmental Funds
774,310
$
259,180
$
90
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Amended Budget Budget Community Development Block Grant Fund Fund Balance - Beginning of year Resources (inflows): CDBG Revenue
$
Amounts available for appropriation Charges to appropriations (outflows) CDBG Expenditures Fund Balance - End of year
$
-
$
Variance With Amended Budget
Actual
-
$
-
$
-
47,553
64,813
64,124
(689)
47,553
64,813
64,124
(689)
47,553
64,813
64,124
689
-
$
-
$
-
$
-
91
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Amended Budget Budget Land Acquisition Fund Balance - Beginning of year Resources (inflows): Rental Income Interest Income
$
Amounts available for appropriation Charges to appropriations (outflows) Land Acquisition Expenditures Fund Balance - End of year
$
701,663
$
Actual
701,663
$
978,708
Variance With Amended Budget
$
277,045
1,000
1,000
160 1,380
160 380
702,663
702,663
980,248
277,585
702,663
702,663
2,092
700,571
-
$
-
$
978,156
$
978,156
92
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Amended Budget Budget Forfeiture Fund Fund Balance - Beginning of year Resources (inflows): Interest Income Miscellaneous Income
$
Charges to appropriations (outflows) Forfeiture Expenditures Contribution-Capital Improvement Fund Total charges to appropriations $
$
13,268
$
22,734
$
9,466
50
50 1,615
11 21,527
(39) 19,912
13,318
14,933
44,272
29,339
8,591 -
1,615 8,751
1,615 8,751
-
8,591
10,366
10,366
-
-
Amounts available for appropriation
Fund Balance - End of year
13,268
Actual
Variance With Amended Budget
4,727
$
4,567
$
33,906
$
29,339
93
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Amended Budget Budget Safety Bike Path Fund Balance - Beginning of year Resources (inflows): Property Taxes Interest Income
$
Amounts available for appropriation
194,496
$
Actual
Variance With Amended Budget
194,496
$ 173,372
$
(21,124)
221,930 750
221,930 750
216,618 243
(5,312) (507)
417,176
417,176
390,233
(26,943)
417,176
417,176
397,798
19,378
Charges to appropriations (outflows) Safety Bike Path Expenditures Fund Balance - End of year
$
-
$
-
$
(7,565)
$
(7,565)
94
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Budget Solid Waste Collection Fund Balance - Beginning of year Resources (inflows): Solid Waste Collection Miscellaneous Income Interest Income
$
Amounts available for appropriation Charges to appropriations (outflows) Solid Waste Collection Expenditures Fund Balance - End of year
$
12,995
$
Amended Budget
12,995
Actual
$
28,033
Variance With Amended Budget
$
15,038
472,160 500 15
472,160 500 15
526,411 9,154 27
54,251 8,654 12
485,670
485,670
563,625
77,955
472,675
472,675
470,194
2,481
12,995
$
12,995
$
93,431
$
80,436
95
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Amended Budget Budget Special Agency Fund Fund Balance - Beginning of year Resources (inflows): Permits & Fees Interest Income
$
Miscellaneous Income Amounts available for appropriation
Charges to appropriations (outflows) General government: City Manager Special Agency Expenditures Total charges to appropriations Fund Balance - End of year
$
1,131,386
$
1,131,386
$
Actual
Variance With Amended Budget
1,166,134
$
34,748
195,000 -
313,512 -
322,366 47
8,854 47
3,000
3,000
24,632
21,632
1,329,386
1,447,898
1,513,179
65,281
190,000
308,512
3,634 305,789
(3,634) 2,723
190,000
308,512
309,423
(911)
1,139,386
$
1,139,386
$
1,203,756
$
64,370
96
City of Wixom, Michigan Other Supplemental Information Budgetary Comparison Schedule - Nonmajor Special Revenue Funds Year Ended June 30, 2011 Original Amended Budget Budget Cemetery Fund Balance - Beginning of year Resources (inflows): Sale of Lots Donations Interest Income
$
Amounts available for appropriation Charges to appropriations (outflows) Cemetery Expenditures Transfer to Capital Improvements Total charges to appropriations Fund Balance - End of year
$
77,242
$
77,242
Actual
$
83,998
Variance With Amended Budget
$
6,756
5,000 100
5,000 100
3,400 2,000 113
(1,600) 2,000 13
82,342
82,342
89,511
7,169
750 1,000 1,750
750 1,000 1,750
285 776 1,061
465 224 689
80,592
$
80,592
$
88,450
$
7,858
97
City of Wixom, Michigan Other Supplemental Information Financial Plan Comparision Schedule - Nonmajor Capital Project Fund Year Ended June 30, 2011 Original Amended Budget Budget DPW & Fire Construction Fund Fund Balance - Beginning of year Resources (inflows): Interest Income
$
Amounts available for appropriation Charges to appropriations (outflows) Contribution to Capital Improvement Fund Balance - End of year
$
-
$
Actual
14,672
$
14,672
Variance With Amended Budget
$
-
-
20
20
-
14,692
14,692
-
-
14,692
14,692
-
-
$
-
$
-
-
$
-
98
City of Wixom, Michigan Other Supplemental Information Financial Plan Comparision Schedule - Nonmajor Capital Project Fund Year Ended June 30, 2011 Original Budget Major Road Capital Fund Fund Balance - Beginning of year Resources (inflows): Interest Income Contribution - LDFA Project
$
Amounts available for appropriation Charges to appropriations (outflows) - Major road programs Fund Balance - End of year
$
831,920
Amended Budget
$
831,920
Actual
$
778,214
Variance With Amended Budget
$
(53,706)
1,700 2,000
1,700 2,000
1,096 16,540
(604) 14,540
835,620
835,620
795,850
(39,770)
7,000
7,000
21,540
(14,540)
828,620
$
828,620
$
774,310
$
(54,310)
99
City of Wixom, Michigan Other Supplemental Information
Fiduciary Fund Statement of Changes in Assets and Liabilities for the fiscal year ended June 30, 2011
Balance July 1, 2010
Additions
Deductions
Balance June 30, 2011
Assets Cash and cash equivalents Accounts Receivable
475,288 251
32,417,618 812
32,451,128 251
441,778 812
Total assets
475,539
32,418,430
32,451,379
442,590
Liabilities Deposits and other liabilities
475,539
32,418,430
32,451,379
442,590
Total liabilites
475,539
32,418,430
32,451,379
442,590
100
City of Wixom, Michigan Downtown Development Authority Combining Statement of Net Assets June 30, 2011
DDA (Modified Accrual Basis) Assets Cash and investments Accounts receivable Capital assets - Net Total assets Liabilities Long term debt Total liabilities Fund balance/ Net assets Fund balance - unassigned Net assets: Invested in captial assets, net of related debt Unrestricted Total fund balance/ net assets
Accrual adjustments
Full Accrual Basis
377,052 377,052
210,696 1,835 377,052 589,583
44,000 44,000
44,000 44,000
212,531
(212,531)
-
212,531
333,052 212,531 333,052
210,696 1,835 212,531 -
333,052 212,531 545,583
Combining Statement of Activities Year ended June 30, 2010 Revenues: Property tax capture Donations Interest income Total revenue Expenditures: Administrative Contribution to City Depreciation Total expenditures Change in fund balance/ net assets Fund balance/ Net assets: Beginning of year End of year
DDA (Modified Accrual Basis) 230,782 2,000 347 233,129
Accrual adjustments -
Full Accrual Basis 230,782 2,000 347 233,129
1,243 228,947 230,190 2,939
22,748 22,748 (22,748)
1,243 228,947 22,748 252,938 (19,809)
209,592 212,531
355,800 333,052
565,392 545,583
101
City of Wixom, Michigan Local Development Finance Authority Combining Statement of Net Assets June 30, 2011
LDFA (Modified Accrual Basis)
Accrual adjustments
Full Accrual Basis
Assets Cash and investments
$
Total assets Liabilities Accounts payable Total liabilities Fund balance/ Net assets
Fund balance - unassigned Total fund balance/ net assets
-
3,032,526
-
3,032,526
14,499 14,499
-
14,499 14,499
3,018,027
Net assets:
Unrestricted
3,032,526
$
3,018,027
$
(3,018,027)
$
3,018,027 -
3,032,526
-
$
3,018,027 3,018,027
Combining Statement of Activities Year Ended June 30, 2011
Revenues: Interest income Expenditures: Public Works Expenditures Change in fund balance/ net assets Fund balance/ Net assets: Beginning of year End of year
$
LDFA (Modified Accrual Basis) 10,506
Accrual adjustments -
Full Accrual Basis 10,506
17,550
-
17,550
(7,044)
-
(7,044)
3,025,071 3,018,027
$
-
$
3,025,071 3,018,027
102
Notes to Other Supplemental Information Nonmajor Governmental Funds Year Ended June 30, 2011
Special Revenue Funds Special Revenue Funds are classified as such because some authority other than the City requires special/legal restrictions and accounting procedures. The Special Revenue Funds (Nonmajor) of the City are shown below: Community Development Block Grant (CDBG) Fund -Community Development Block Grant (CDBG) Fund contains monies allocated annually to the City for reimbursement from the Federal Community Block Grant programs, which is administrated by Oakland County. These funds are used for development and completion of projects that serve the needs of persons of low to moderate income within the City. Land Acquisition Fund - The Land Acquisition Fund contains the proceeds of the millage levied for the purpose of acquiring land. The land acquisition activities are designed to preserve the natural resources of the City and to facilitate controlled growth and quality economic development. The program was funded through property taxes over a 10 year period ending FY 1998-99. Forfeiture Fund - The Forfeiture Fund contains monies received from the forfeiture of drugs or equipment used in the manufacture, sale, or use of drugs. These funds must be used in the fight against drugs. Safety Bike Path - The Safety Path Capital Program Fund was created to record the capital outlays of the Bike Path Improvement programs that were approved by the citizens of the City in FY 1995-96. This fund contains the proceeds of a six year millage levied for the purpose of building bike paths. In 2008, Wixom voters approved three tenths of a mill for 15 years (through FYE 2023) for the purpose of providing additional revenues for bike path construction including property acquisition and planning. Solid Waste Collection Fund - This program contains resources to fund solid waste collection services provided to Wixom residents by contractors retained by the City. Services included in this department are for refuse collection. This program includes the Solid Waste program for the City. A Special Revenue Fund was setup to account for this activity in the Fiscal Year 1999-2000. Special Agency - The Special Agency Fund was established to show building developer accounts and other special agency accounts which were transferred from a Trust and Agency fund to this Special Revenue fund. Cemetery Fund - The Cemetery Board is responsible for the operations of the Wixom Cemetery. The City Clerk is responsible for recordkeeping of all Cemetery records. The Cemetery Board is made up of 5 members, appointed by the Mayor, with the confirmation of the City Council.
103
Notes to Other Supplemental Information Nonmajor Governmental Funds Year Ended June 30, 2011
Budget Stabilization - The Budget Stabilization Fund was established along with the 5 year Financial Action Plan to assist the City in times when instability occurs in the business cycle or unanticipated events/unexpected emergencies occur which cause a significant downturn in revenues. This can be measured by the magnitude and duration of the revenue shortfall. The Budget Stabilization Fund can be used instead of the City borrowing, increasing taxes, or significantly reducing expenditures. Since cities are constrained by the State law in their ability to borrow, it often leaves only the alternatives of increased taxes and/or significant decreases in spending.
Capital Project Funds Capital Project Funds are used to account for the construction of major assets of the City such as buildings and major infrastructure improvements. DPW & Fire Building Construction Fund - The DPW & Fire Building Construction Fund was created to record the capital outlays for the cost of acquiring, constructing, equipping and furnishing a new Department of Public Works building and salt storage facility, and expansions to and renovations of a Fire Station building that was approved by the citizens of the City in FY 1999-2000. The revenues consist of bond proceeds from bonds issued in 2000, and investment earnings. Major Road Capital Fund - The Major Road Capital Fund accounts for the repairs and construction of the City’s major streets and assists in the funding of the Major Road Fund. The revenues consist of Federal, State and County Grants, State-shared gasoline and weight tax collections, bond proceeds from bonds issued in 1996 and 1997, and investment earnings. A portion of the Major Road bonds were defeased in September 2009.
Debt Service Funds Debt Service Funds are used to account for the accumulation of resources for, and the payment of, long-term debt principal and interest. DPW & Fire Construction Debt Fund - This fund was established to account for the payment of annual principal and interest on $2,615,000 of bonds sold for building a new DPW facility and to renovate a fire station with the City. These annual requirements are met from a special ad valorem tax. The DPW & Fire Construction bonds were defeased in September 2009. DDA/VCA Development Debt Fund -This fund was established to account for the payment of annual principal and interest on $5,750,000 of bonds sold for building the DDA/VCA Development Project Fund. The Village Center Area District is intended to allow for the development of a fully integrated, mixed use, pedestrian oriented Village Center Area (VCA). These annual requirements are met from the DDA/VCA ad valorem tax.
104
(This page left intentionally blank)
105
Statistical Section June 30, 2011 This part of the 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. The statistical section is organized into the following main categories: Financial Trends - These schedules contain financial trend information to help the reader understand how the City’s financial performance and well-being have changed over time. Revenue Capacity - These schedules contain revenue information to help the reader assess the City’s most significant local revenue source, the property tax. Debt Capacity - These schedules contain debt capacity information to help the reader assess the affordability of the City’s current levels of outstanding debt, and the City’s ability to issue additional debt in the future. Demographics 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. Operating Information - These schedules contain service and infrastructure data to help the reader understand how the information in the City’s financial report relates t o the services the City provides and the activities it performs. Sources - Unless otherwise noted, the information in these schedules is derived from the Comprehensive Annual Financial Reports for the relevant year. The City implemented GASB Statement 34 in 2004; schedules presenting government- wide information include information beginning in that year.
106
City of Wixom, Michigan Net Assets by Component Last Nine Fiscal Years June 30 2006
2003
2004
2005
$27,643,583 1,652,285 2,624,089
$28,805,520 1,596,127 2,684,098
$24,764,536 6,892,928 3,601,867
31,919,957
33,085,745
35,259,331
39,068,201
38,875,514 1,211,036 10,122,807
39,657,144 1,168,284 9,989,738
40,213,251 1,196,187 10,388,014
Total Net Assets
50,209,357
50,815,166
Primary Government in Total Invested in capital assets Net of related debt Restricted Unrestricted
66,519,097 2,863,321 12,746,896 $82,129,314
Governmental Activities Invested in capital assets Net of related debt Restricted Unrestricted Total Net Assets Business-Type Activities Invested in capital assets Net of related debt Restricted Unrestricted
Total Net Assets
2007
$29,466,163 $31,546,198 5,653,914 7,451,069 3,948,124 3,767,042
2008
2009
2010
2011
$30,612,313 6,545,373 6,594,838
$34,079,227 7,949,158 3,767,353
$31,739,260 9,853,994 3,294,482
$32,746,883 7,374,394 3,203,641
42,764,309
43,752,524
45,795,738
44,887,736
43,324,918
41,189,253 1,143,419 10,828,759
41,806,613 1,030,759 11,034,157
42,708,561 596,575 13,103,924
42,979,310 401,851 12,972,744
43,611,831 402,394 11,827,502
44,821,942 402,962 9,744,311
51,797,452
53,161,431
53,871,529
56,409,060
56,353,905
55,841,727
54,969,215
68,462,664 2,764,411 12,673,836
64,977,787 8,089,115 13,989,881
70,655,416 6,797,333 14,776,883
73,352,811 8,481,828 14,801,199
73,320,874 7,141,948 19,698,762
77,058,537 8,351,009 16,740,097
75,351,091 10,256,388 15,121,984
77,568,825 7,777,356 12,947,952
$83,900,911
$87,056,783
$92,229,632 $96,635,838 $100,161,584
$102,149,643
$100,729,463
$98,294,133
107
City of Wixom, Michigan Changes in Net Assets Governmental Activities Last Nine Fiscal Years 2003 Expenses General government Public Safety Public works Health and welfare Recreation and culture Interest on long-term debt
Year Ended 2005
2004
June 30 2006
2007
2008
2009
2010
2011
$2,758,567 3,412,961 4,695,373 420,897 752,899 601,912
$2,687,637 3,540,770 3,275,746 421,180 760,185 549,301
$2,921,913 3,814,070 3,583,028 434,511 686,579 557,732
$2,538,344 3,777,247 6,880,440 452,484 689,549 745,797
$2,338,463 3,961,579 4,338,637 480,362 814,541 697,067
$4,240,934 4,287,129 4,292,285 505,670 818,698 644,378
$2,493,525 4,571,986 4,339,179 474,337 833,878 609,698
$2,617,704 4,444,068 4,415,449 479,333 807,578 560,704
$2,631,376 4,511,511 4,373,501 470,194 857,384 445,809
12,642,609
11,234,819
11,997,833
15,083,861
12,630,649
14,789,094
13,322,603
13,324,836
13,289,775
38,838 103,049 294,042 415,315 288,788
128,897 101,708 462,315 443,715 251,438
133,607 96,849 621,758 450,891 197,286
203,170 97,045 4,246,625 459,615 209,845
227,324 162,061 1,473,459 472,432 241,015
233,200 166,442 672,399 489,648 223,153
274,077 137,935 840,188 466,900 253,470
236,369 125,333 562,942 480,494 239,656
237,507 140,345 769,118 486,895 252,368
Total charges for services
1,140,032
1,388,073
1,500,391
5,216,300
2,576,291
1,784,842
1,972,570
1,644,794
1,886,233
Operating grants and contributions Capital grants and contributions
1,242,209 996,262
825,245 341,116
995,400 1,363,243
981,848 624,660
903,346 1,320,612
890,440 225,661
871,008 510,029
763,095 122,938
757,355 225,125
Total program revenues
3,378,503
2,554,434
3,859,034
6,822,808
4,800,249
2,900,943
3,353,607
2,530,827
2,868,713
-9,264,106
-8,680,385
-8,138,799
-8,261,053
-7,830,400
-11,888,151
-9,968,996
-10,794,009
-10,421,062
7,447,805 1,475,681 176,278 250,765 0 225
8,266,596 1,145,786 165,605 265,435 0 2,751
8,499,148 1,143,954 375,349 272,228 0 21,706
8,747,222 1,121,576 631,714 181,879 0 -70,895
9,107,246 1,088,234 945,427 385,601 0 0
9,689,543 1,089,023 593,185 254,615 1,250,000 0
8,591,365 1,036,445 125,126 315,837 0 0
8,649,835 926,088 80,333 229,751 0 0
7,576,257 923,211 73,164 285,612 0 0
9,350,754
9,846,173
10,312,385
10,611,496
11,526,508
12,876,366
10,068,773
9,886,007
8,858,244
0
0
0
0
0
0
0
0
0
$86,648
$1,165,788
$2,173,586
$2,350,443
$3,696,108
$988,215
$99,777
-$908,002
-$1,562,818
Total expenses Program Revenues Charges for services: General government Public safety Public works Health and welfare Recreation and culture
Net Expense General Revenue Taxes State-shared revenue Unrestricted interest earnings Miscellaneous Transfers in Sale of capital asset Total general revenue Transfers
Change in Net Assets
108
City of Wixom, Michigan Changes in Net Assets Business-types Activities Last Nine Fiscal Years 2003 Expenses Water Sewer Water-Interest on long-term debt Sewer-Interest on long-term debt
Year Ended 2005
2004
June 30 2006
2007
2008
2009
2011
$2,342,184 1,952,189 290,132 0
$2,542,313 2,026,902 264,918 0
$2,229,937 1,552,886 439,844 177,797
$2,493,823 1,540,899 425,089 154,233
$2,612,599 1,622,250 406,337 130,237
$2,908,067 1,693,678 384,378 105,662
$2,898,895 1,674,257 361,942 80,575
4,400,464
4,614,044
4,771,423
5,091,785
5,015,669
4,853,656
4,581,047
4,584,505
4,834,133
1,613,525 964,633
1,784,532 840,249
2,082,801 917,355
2,598,147 1,057,666
2,383,725 921,465
2,365,878 981,738
2,138,574 870,339
1,879,168 931,480
1,848,491 1,055,579
Total charges for services
2,578,158
2,624,781
3,000,156
3,655,813
3,305,190
3,347,616
3,008,913
2,810,648
2,904,070
Operating grants and contributions Capital grants and contributions
0 1,126,915
0 1,285,643
0 1,276,985
0 1,144,229
0 702,385
1,250,000 2,309,904
0 319,147
0 93,708
0 83,940
Total program revenues
3,705,073
3,910,424
4,277,141
4,800,042
4,007,575
6,907,520
3,328,060
2,904,356
2,988,010
-695,391
-703,620
-494,282
-291,743
-1,008,094
2,053,864
-1,252,987
-1,680,149
-1,846,123
1,276,019 124,485 0
1,240,650 68,779 0
1,234,376 242,192 0
1,211,827 443,895 0
1,141,955 576,237 0
1,143,994 445,673 144,000
1,069,444 128,388 0
1,083,578 84,393 0
900,066 73,545 0
1,400,504
1,309,429
1,476,568
1,655,722
1,718,192
1,733,667
1,197,832
1,167,971
973,611
0
0
0
0
0
1,250,000
0
0
0
$705,113
$605,809
$982,286
$1,363,979
$710,098
$2,537,531
-$55,155
-$512,178
-$872,512
Total expenses Program Revenues Charges for services: Water Sewer
Net Expense General Revenue Taxes Unrestricted interest earnings Gain on Sale of Capital Asset Total general revenue Transfers
Change in Net Assets
$2,647,044 $2,446,972 1,785,727 1,819,319 338,579 314,756 82,306 0
2010
109
City of Wixom, Michigan Changes in Fund Balances - Governmental Funds Activities Last Ten Fiscal Years Revenues Property taxes Solid waste collection Federal grants State revenue County grants Component unit contributions Charges for services Fines and forfeits Licenses and Permits Rental income Donations Interest Other Cost Adjustment Other revenue Total Revenue Expenditures Current: Legislative City Manager Assessor Legal assistance Clerk Information systems Financial administration General operating City building maintenance Boards and commissions Cultural center Community services/recreation Department of Public Service Fire Department Police department Building department Solid waste Public works Educational Health Benefits-Retirees Other capital improvements Debt service: Principal Defeasance Interest Total Expenditures Excess of Revenues Over (Under) Expenditures
Year Ended June 30 2002 2003 $7,565,218 $7,391,143 371,315 413,390 156,686 71,415 4,425,755 2,725,573 142,161 49,480 0 0 220,691 245,140 55,773 55,161 437,161 327,717 80,537 96,699 9,772 31,396 373,942 176,279 0 0 155,154 810,959
2004 $8,214,016 443,809 56,449 1,842,705 211,902 0 399,243 50,943 374,315 106,417 64,745 165,606 0 295,845
2005 $8,470,713 449,831 10,750 1,884,002 22,023 0 347,453 44,102 558,003 296,365 141,938 375,350 0 2,051,853
2006 8,729,655 456,753 22,279 2,348,972 0 380,246 786,189 56,622 1,078,095 92,768 289,547 631,715 0 269,995
2007 8,974,644 466,236 71,896 1,816,655 0 836,256 764,521 63,853 877,523 115,337 263,915 945,429 483,649 843,829
2008 9,302,904 486,442 83,479 1,794,601 0 270,391 758,044 77,042 567,726 87,830 202,113 593,184 0 292,660
2009 8,412,232 449,930 25,760 1,744,331 37,982 695,549 539,178 60,093 704,684 89,041 192,561 125,124 0 372,479
2010 8,356,097 493,955 27,360 1,604,636 0 358,740 588,413 59,973 420,420 82,165 23,594 269,722 0 309,048
2011 7,895,459 524,747 64,124 1,822,862 73,293 245,487 598,047 60,635 621,072 92,120 5,686 73,782 0 392,301
11,835,170
13,994,165
12,394,352
12,225,995
14,652,383
15,142,836
16,523,743
14,516,416
13,448,944
12,594,123
12,469,615
20,251 342,932 144,597 229,620 175,481 112,742 273,718 314,850 47,826 89,940 234,372 355,864 200,802 503,685 2,237,381 575,580 368,698 936,675 0 0 3,741,462
22,183 365,494 167,160 201,459 185,204 124,401 317,934 285,751 53,887 113,320 238,427 402,835 201,392 571,066 2,485,142 510,410 400,239 978,684 0 0 6,613,083
$17,089 377199 180468 211862 195994 116634 348969 366428 51,005 107620 256982 454410 223333 650937 2576048 552620 420897 1136383 0 0 5672693
22,015 379,882 190,555 199,161 199,554 128,592 356,424 369,253 54,922 99,574 270,025 431,553 145,985 591,218 2,717,925 512,454 421,180 1,128,077 0 0 2,057,705
18,736 420,517 199,083 119,351 223,768 125,570 384,106 955,404 63,049 82,904 273,899 340,260 117,155 663,004 2,962,298 582,213 434,511 1,238,868 0 0 3,578,124
17,774 423,459 198,297 119,342 216,289 132,918 395,741 599,024 49,218 118,762 287,888 415,034 0 940,456 3,014,668 1,255,448 452,484 1,615,273 21,394 0 6,895,184
17,199 438,871 197,919 76,402 175,755 135,537 391,965 583,722 47,033 101,554 302,194 536,813 0 1,279,432 3,092,600 990,796 480,361 1,762,484 23,181 0 1,666,279
21,199 443,222 183,863 80,425 170,939 123,589 414,779 453,668 48,051 123,208 343,536 490,630 0 891,072 3,171,205 820,701 505,670 1,903,766 0 1,805,530 626,833
16,861 464,430 190,498 94,650 173,477 119,983 432,282 501,073 47,496 100,366 295,881 467,559 48,091 1,854,362 3,240,392 720,921 474,337 1,864,432 1,651 0 1,303,059
17,134 474,822 180,326 69,490 168,781 135,973 435,763 457,400 59,886 89,037 300,148 434,767 0 1,048,599 3,187,419 744,964 479,333 1,603,057 32,012 923,812 1,223,038
15,241 491,481 159,970 59,559 178,991 134,465 432,722 431,261 54,058 78,159 303,067 437,419 2,240 947,295 3,141,692 699,158 470,194 1,601,620 2,267 221,620 2,317,422
690,000 0 842,161
860,000 0 648,932
960000 0 613606
1,025,000 0 558,144
715,000 0 411,968
1,260,000 0 741,353
1,320,000 0 708,546
1,395,000 0 656,023
1,565,000 0 622,621
1,205,000 122,800 439,373
1,625,000 11,476 442,072
12,438,637
15,747,003
15491177
11,859,198
13,909,788
19,170,006
14,328,643
14,672,909
14,599,422
13,832,934
14,258,449
-603,467
-1,752,838
-3,096,825
366,797
742,595
-4,027,170
2,195,100
-156,493
-1,150,478
-1,238,811
-1,788,834
2001 6,778,447 332,706 79,625 2,526,209 29,798 0 196,182 48,695 571,030 90,912 14,916 1,010,272 0 156,378
Other Financing Sources (Uses) Transfers in Transfers out Transfers from component units Transfers to component units Payment to escrow agent Issuance of debt
Total Other Financing Sources (Uses)
3,310,846
6,431,976
5441395
2,683,223
2,500,121
2,646,131
4,377,762
3,862,183
5,457,918
3,458,095
611,389
-3,318,086
-6,431,976
-5441395
-2,683,223
-2,500,121
-2,646,131
-4,377,762
-2,612,183
-5,457,918
-3,458,095
-611,389
-447805
-453,000
42,658
7,272
-390,161
-419,215
-3,089,344
-3,512,000
2,735,344
8,710,700
2,830,000
-3,220,000
0
3,220,000
0
-708,743
-411,943
-447805
-453,000
5,198,700
2,830,000
0
1,250,000
0
0
0
Net Change in Fund Balances
-1,312,210
-2,164,781
-3544630
-86,203
5,941,295
-1,197,170
2,195,100
1,093,507
-1,150,478
-1,238,811
-1,788,834
Fund Balances - Beginning of Year Cemetery Fund -Beginning Special Agency - Beginning Fund Balances - End of Year
11,320,060
10,007,850
7,843,069 48,069
4,346,508
4,260,305
10,201,600
10,462,858
12,657,958
13,751,465
12,600,987
11,362,176
10,007,850
7,843,069
4,346,508
4,260,305
10,201,600
1,458,428 10,462,858
12,657,958
13,751,465
12,600,987
11,362,176
9,573,342
18%
17%
16%
16%
11%
16%
16%
15%
16%
13%
17%
Transfers in Residual Equity
Debt Service as a Percentage of Noncapital Expenditures
110
City of Wixom, Michigan Fund Balance - Governmental Funds - Last Ten Fiscal Years Fiscal Year Ended June-30 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Reserved Reserved Reserved Unreserved Unreserved Unreserved Unreserved Unreserved General Other Fund General Special Debt Capital Fund Fund Funds Balance Fund Revenue Service Projects Balance 0 0 0 2,156,126 2,177,683 697,358 2,811,902 7,843,069 0 0 0 799,731 1,735,532 474,544 1,336,701 4,346,508 0 0 0 1,141,558 1,519,368 360,640 1,238,739 4,260,305 0 0 0 1,623,816 3,309,258 613,741 4,654,785 10,201,600 0 0 0 2,193,825 5,904,282 561,752 1,802,998 10,462,857 0 0 0 2,149,598 7,694,987 631,182 2,182,191 12,657,958 0 885,325 885,325 1,999,916 8,024,138 788,041 2,054,045 12,866,140 0 0 0 1,514,630 8,759,804 1,462,297 864,255 12,600,986 0 0 0 1,408,153 7,260,558 1,278,809 1,414,656 11,362,176 0 0 0 3,281,850 4,159,474 605,302 1,526,716 9,573,342
Total Fund Balance 7,843,069 4,346,508 4,260,305 10,201,600 10,462,857 12,657,958 13,751,465 12,600,986 11,362,176 9,573,342
Dollars
Fund Balance - Govenmental Funds (Last Ten Fiscal Years)
Fiscal Year
10,000,000 9,000,000 8,000,000 7,000,000 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0
2002
2003
2004
2005
2006
2007
2008
2009
2010
0
0
0
0
0
0
885,325
0
0
0
Unreserved General Fund
2,156,126
799,731
1,141,558
1,623,816
2,193,825
2,149,598
1,999,916
1,514,630
1,408,153
3,281,850
Unreserved Spec Rev
2,177,683
1,735,532
1,519,368
3,309,258
5,904,282
7,694,987
8,024,138
8,759,804
7,260,558
4,159,474
697,358
474,544
360,640
613,741
561,752
631,182
788,041
1,462,297
1,278,809
605,302
2,811,902
1,336,701
1,238,739
4,654,785
1,802,998
2,182,191
2,054,045
864,255
1,414,656
1,526,716
Reserved Fund Balance
Unreserved Debt Service Unreserved Capital Projects
2011
111
18,000,000
City of Wixom - Historical Revenues FY2002-FY2011 (10 Years) (See Fund Balance - Governmental Funds - Last Ten Fiscal Years For Fund Balance History)
16,000,000
14,000,000
12,000,000
10,000,000
Dollars
8,000,000
6,000,000
4,000,000
2,000,000
Years 0 Other revenue
2002 155,154
2003 810,959
2004 295,845
2005 2,051,853
2006 269,995
2007 1,327,478
2008 292,660
2009 372,479
2010 309,048
2011 392,301
Interest
73,782
373,942
176,279
165,606
375,350
631,715
945,429
593,184
125,124
269,722
Donations
9,772
31,396
64,745
141,938
289,547
263,915
202,113
192,561
23,594
5,686
Rental income
80,537
96,699
106,417
296,365
92,768
115,337
87,830
89,041
82,165
92,120
Licenses and Permits
437,161
327,717
374,315
558,003
1,078,095
877,523
567,726
704,684
420,420
621,072
Fines and forfeits
55,773
55,161
50,943
44,102
56,622
63,853
77,042
60,093
59,973
60,635
Charges for services
220,691
245,140
399,243
347,453
786,189
764,521
758,044
539,178
588,413
598,047 245,487
LDFA
0
0
0
0
380,246
836,256
270,391
695,549
358,740
County grants
142,161
49,480
211,902
22,023
0
0
0
37,982
0
73,293
State revenue
4,425,755
2,725,573
1,842,705
1,884,002
2,348,972
1,816,655
1,794,601
1,744,331
1,604,636
1,822,862
Federal grants
156,686
71,415
56,449
10,750
22,279
71,896
83,479
25,760
27,360
64,124
Solid waste
371,315
413,390
443,809
449,831
456,753
466,236
486,442
449,930
493,955
524,747
7,565,218
7,391,143
8,214,016
8,470,713
8,729,655
8,974,644
9,302,904
8,412,232
8,356,097
7,895,459
Property taxes
112
City of Wixom - Historical Expenditures FY2002-FY2011 (10 Years) (See Fund Balance - Governmental Funds - Last Ten Fiscal Years For Fund Balance History)
20,000,000
18,000,000
16,000,000
14,000,000
12,000,000
10,000,000
Dollars
8,000,000
6,000,000
4,000,000
2,000,000
Years
0 Retiree Benefits
2002 0
2003 0
2004 0
2005 0
2006 0
2007 0
Capital Outlay
6,613,083
5,672,693
2,057,705
3,578,124
6,895,184
1,666,279
626,833
1,303,059
1,223,038
2,317,422
Debt Service
1,508,932
1,573,606
1,583,144
1,126,968
2,001,353
2,028,546
2,051,023
2,187,621
1,767,173
2,078,548
Public Works
978,684
1,136,383
1,128,077
1,238,868
1,615,273
1,762,484
1,903,766
1,912,523
1,603,057
1,603,860
Solid Waste
400,239
420,897
421,180
434,511
452,484
480,361
505,670
474,337
479,333
470,194
Library
411,943
447,805
453,000
0
21,394
23,181
0
0
0
0
Police
2,485,142
2,576,048
2,717,925
2,962,298
3,014,668
3,092,600
3,171,205
3,240,392
3,187,419
3,141,692
Fire
571,066
650,937
591,218
663,004
940,456
1,279,432
891,072
1,854,362
1,048,599
947,295
Boards & Commissions
113,320
107,620
99,574
82,904
118,762
101,554
123,208
100,366
89,037
78,159
Recreational
641,262
711,392
701,578
614,159
702,922
839,007
834,166
763,440
734,915
740,486
DPS & Building General
2008 1,805,530
2009 0
2010 923,812
2011 221,620
711,802
775,953
658,439
699,368
1,255,448
990,796
820,701
720,921
744,964
699,158
1,723,473
1,865,648
1,900,358
2,509,584
2,152,062
2,064,403
1,939,735
2,042,401
2,031,587
1,960,015
113
City of Wixom, Michigan Water-Enterprise Fund - Water Expenditures by Category - Last Ten Years Account Type Depreciation DWSD Charges Contract Operations Bond Payment and Interest Administrative Expenses Utilities Capital Outlay GIS Operating Expenses Total
$
2002 562,697 363,815 331,189 428,146 24,308 11,754 804 5,500 $1,728,213
$
2003 579,515 1,238,109 375,901 439,844 27,393 7,619 1,400 $2,669,781
$
2004 595,174 1,358,007 370,409 425,089 150,987 12,145 6,800 300 $2,918,911
$
2005 605,276 1,492,675 366,492 406,337 139,111 9,046 $3,018,937
$
2006 610,768 1,701,576 390,499 384,378 188,081 17,144 $3,292,446
$
2007 613,058 1,700,316 386,289 361,942 185,901 13,331 $3,260,837
$
2008 623,350 1,379,708 393,688 338,579 217,581 16,936 15,781 $2,985,623
$
2009 620,719 1,168,813 434,311 314,756 210,617 12,512 $2,761,728
$
2010 626,928 1,165,199 316,276 290,132 214,419 14,817 4,545 $2,632,316
$
2011 628,828 1,372,514 298,739 264,918 213,377 17,229 11,626 $2,807,231
Water Expenditures by Category - Last Ten Years
3,500,000 3,000,000 2,500,000
Dollars
2,000,000 1,500,000 1,000,000 500,000 0 Fiscal Year Depreciation
2002 DWSD Charges
2003 Contract Operations
2004
2005
2006
Bond Payment and Interest
2007
2008
Administrative Expenses
2009 Utilities
2010
2011 Capital Outlay
GIS
Operating Expenses
114
City of Wixom, Michigan Wastewater Enterprise Fund - Wastewater Expenditures by Category - Last Ten Years Account Type
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
Contract Operations Depreciation Bond Payment and Interest Administrative Expenses Utilities Sludge Removal Studies Televising and Cleaning Capital Outlay Transfer to Bdgt Stabilization GIS Operating Expenses
$ 688,759 $ 862,584 $ 761,880 $ 833,409 $ 798,942 $ 778,241 $ 810,089 $ 834,905 $ 642,170 $ 613,893 655,252 594,590 616,659 625,193 663,912 674,728 712,883 664,733 673,556 703,533 200,925 177,797 154,233 130,237 75,662 50,575 22,306 42,865 30,050 136,966 140,547 199,132 196,597 215,090 216,370 218,792 223,448 184,720 222,718 161,865 185,853 243,456 68,875 25,820 3,505 109,576 58,028 9,119 8,350 39,047 35,860 46,606 72,024 62,971 63,381 85,948 3,933 - 1,250,000 804 7,636 6,800 9,252 17,144 13,331 16,936 12,512 4,500 14,075 5,541 5,500 5,500 5,500 18,303 18,774 111 -
Total
$2,027,585
$1,799,560
$1,695,131
$1,752,488
$1,799,339
$1,754,832
$3,118,033
$1,819,319
$1,952,190
$2,026,901
Wastewater Expenditures by Category - Last Ten Years
$3,500,000 $3,000,000 $2,500,000
Dollars
$2,000,000 $1,500,000 $1,000,000 $500,000 Fiscal Year
$2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
Contract Operations
Depreciation
Bond Payment and Interest
Administrative Expenses
Studies
Televising and Cleaning
Capital Outlay
GIS
Operating Expenses
Contribution
Utilities
Sludge Removal
115
City of Wixom, Michigan DDA Fund - Revenue and Expenditures by Category (Component Unit) - Last Ten Years Account Category Revenues
2002
Property Taxes Contribution Other Funds Interest & Other Private Contributions Total Revenues Expenditures Salary and Wages Audit Fee Capital Outlay Interfund Transfers Total Expenditures In Excess
$36,050 4,195 $40,245
2003
2004
2005
2006
$639 2,656 $3,295
$0 1,358 $1,358
$20,393 14,785 $35,178
$11,766 4,228 $15,994
$208 $165 $152 500 500 750 10,266 68,655 81,053 $10,974 $69,320 $81,955 $29,271 ($66,025) ($80,597)
$0 750 27,131
$0 750 545
$27,881 $7,297
2007
$1,295 $14,699
2008
2009
2010
2011
$13,280 $254,744 $281,020 $277,037 6,134 4,734 1,003 260 $19,414 $259,478 $282,024 $277,297
$230,782
$96 $149 $102 $122 750 750 874 900 3,210 6,405 0 500 3,000 237,706 242,575 245,135 $7,056 $245,010 $243,551 $246,657 $12,358 $14,468 $38,473 $30,640
$35 250 958 228,947 $230,190 $2,939
347 2,000 $233,129
DDA - Revenue and Expenditures Summary - Last Ten Years $350,000 $300,000 $250,000 $200,000
Revenues
Dollars
Expenditures
$150,000
In Excess Rev(Exp)
$100,000 $50,000 $0 ($50,000)
($100,000) Fiscal Years
2002
2003
2004
2005
2006
Revenues
$40,245
$3,295
$1,358
$35,178
$15,994
Expenditures
$10,974
$69,320
$81,955
$27,881
$1,295
$7,056
$245,010 $243,551 $246,657 $230,190
($66,025 ($80,597
$7,297
$14,699
$12,358
$14,468
In Excess Rev(Exp) $29,271
2007
2008
2009
2010
2011
$19,414 $259,478 $282,024 $277,297 $233,129 $38,473
$30,640
$2,939
116
City of Wixom, Michigan Library Fund - Revenue and Expenditures by Category (Component Unit) - Last Ten Years Account Category Revenues Contribution Other Funds Property Taxes Grants State Revenue Miscellaneous Revenue Private Contributions Interest Total Revenue Expenditures Salary and Wages Capital Outlay Fringes Benefits Professional & Contractual Public Utilities and Telephone Contribution Other Funds Admin Fee/Rent Operating Expenses Community Programming Insurance Expense Repair and Maintenance Audit Fee Total Expenditures In Excess
2002
2003
2004
2005
2006
$ 419,215 9,815 11,808 14,449 1,829 1,619 $ 458,735
$ 449,305 14,665 20,559 15,664 9,646 1,025 $ 510,864
$ 454,500 19,105 20,350 16,239 2,789 399 $ 513,382
$ 220,758 61,160 61,537 40,049 37,940 7,272 9,900 4,451 4,489 3,856 500 $ 451,912 $ 6,823
$ 253,507 61,426 71,281 48,269 44,323 5,200 8,372 4,693 5,000 3,149 500 $ 505,720 $ 5,144
$ 265,468 $ 271,804 54,710 51,179 80,664 81,359 47,515 45,926 40,015 47,714 18,152 11,898 202,280 8,022 8,469 3,696 4,236 4,924 4,920 5,253 5,157 500 500 $ 528,919 $ 735,442 $ (15,537) $ 43,697
$
1,500 721,677 15,018 19,010 15,814 668 5,452 $ 779,139
2007
$
2008
2009
2,000 745,305 12,938 17,725 13,507 4,369 13,939 $ 809,783
$
2,500 752,311 12,593 20,746 13,539 2,169 20,518 $ 824,376
$
2,503 1,002,434 12,659 19,986 18,345 870 21,890 $ 1,078,687
$
$ 275,896 78,452 68,673 48,879 44,653 21,394 190,243 33,275 6,322 6,500 12,364 500 $ 787,151 $ 22,632
$ 286,603 80,416 67,395 47,108 40,120 53,048 178,693 32,108 5,533 9,323 12,909 500 $ 813,756 $ 10,620
$
$
$ $
310,573 225,163 78,906 56,426 46,404 29,867 170,119 19,941 8,605 11,840 27,528 500 985,872 92,815
933,445 12,182 19,027 29,224 5,637 5,274 $ 1,004,789
2010 $
2011 $
$
2,609 876,781 9,998 17,736 28,617 1,455 669 937,865
326,125 $ 259,864 89,991 58,985 48,123 31,934 168,456 25,281 8,787 12,564 26,211 8,400 $ 1,064,721 $ $ (59,932) $
362,846 173,133 106,561 50,630 40,762 34,178 64,680 19,703 9,964 13,011 17,707 8,600 901,775 36,090
$
$
$ $
780,852 32,711 33,197 28,972 2,241 707 878,680 350,994 126,902 118,735 65,134 43,078 34,960 64,747 22,174 8,706 13,230 14,759 7,600 871,019 7,661
Library Revenue and Expenditures Summary - Last Ten Years $1,200,000
Dollars
$1,000,000 $800,000
Revenues
$600,000
Expenditures
$400,000
In Excess Rev(Exp)
$200,000 $-
Fiscal Years
$(200,000)
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
Revenues
$458,735
$510,864
$513,382
$779,139
$809,783
$824,376
$1,078,687
$1,004,789
$937,865
$878,680
Expenditures
$451,912
$505,720
$528,919
$735,442
$787,151
$813,756
$985,872
$1,064,721
$901,775
$871,019
$6,823
$5,144
$(15,537)
$43,697
$22,632
$10,620
$92,815
$(59,932)
$36,090
$7,661
In Excess Rev(Exp)
117
City of Wixom, Michigan Taxable Property Values - Last Ten Fiscal Years Fiscal Year Ended June-30 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Estimated
Total Residential 278,567,930 307,185,840 331,944,570 350,464,480 364,697,010 385,983,820 350,278,240 343,197,870 319,371,750 272,833,620
Commerical 97,230,850 101,316,150 105,935,460 108,358,090 113,699,520 118,381,860 109,630,940 111,470,710 113,063,050 105,103,550 1,200,000,000
Industrial Agricultural 239,240,520 50,440 273,495,180 50,440 290,654,370 53,320 305,997,020 53,320 317,625,880 53,330 324,047,940 284,123,130 292,665,630 291,624,440 248,762,000 -
IFT 96,573,790 73,732,890 49,057,130 42,861,970 38,341,110 36,526,010 30,527,070 14,044,580 11,038,460 14,123,000
Personal 189,656,590 193,004,260 207,421,690 201,856,700 199,486,130 184,548,160 181,941,220 131,475,540 129,872,580 119,455,870
Tax Rate
Value 853,033,225 911,918,315 960,537,975 988,160,595 1,014,732,425 1,031,224,785 941,237,065 885,832,040 859,451,050 753,216,540
(Mills) 11.4564 10.6883 11.1433 11.7923 11.6363 11.5214 10.6564 10.5514 10.5514 11.6623
Actual Value 1,706,066,450 1,823,836,630 1,921,075,950 1,976,321,190 2,029,464,850 2,062,449,570 1,882,474,130 1,771,664,080 1,718,902,100 1,506,433,080
Property Tax Levy and Collections (Last Ten Years)
1,000,000,000
Dollars
800,000,000
600,000,000
400,000,000
200,000,000
Personal
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 189,656,590 193,004,260 207,421,690 201,856,700 199,486,130 184,548,160 181,941,220 131,475,540 129,872,580 119,455,870
IFT
96,573,790
73,732,890
49,057,130
42,861,970
38,341,110
36,526,010
30,527,070
14,044,580
11,038,460
14,123,000
50,440
50,440
53,320
53,320
53,330
-
-
-
-
-
Agricultural Industrial
239,240,520 273,495,180 290,654,370 305,997,020 317,625,880 324,047,940 284,123,130 292,665,630 291,624,440 248,762,000
Commerical 97,230,850 101,316,150 105,935,460 108,358,090 113,699,520 118,381,860 109,630,940 111,470,710 113,063,050 105,103,550 Residential
278,567,930 307,185,840 331,944,570 350,464,480 364,697,010 385,983,820 350,278,240 343,197,870 319,371,750 272,833,620
Fiscal Year
118
City of Wixom, Michigan Property Tax Rates - Direct Millage (Per $1,000 of Assessed Value. Last Ten Years) City Property Tax Rates - Direct Millage (Per $1,000 of Assessed Value. Last Ten Years)
11.8000
11.6000
11.4000
Millage
11.2000
11.0000 11.7923
10.8000
11.6623
11.6363 11.5214
11.4564 10.6000 11.1433 10.4000
10.8514 10.6883
10.6564 10.5514
10.2000
10.0000
9.8000 Millage
2002 11.4564
2003 10.6883
2004 11.1433
2005 11.7923
2006 11.6363
2007 11.5214
2008 10.6564
2009 10.5514
2010 10.8514
2011 11.6623
Fiscal Year
119
City of Wixom, Michigan Property Tax Rates - Direct Millage (Per $1,000 of Assessed Value. Last Ten Years) Year Ended June-30 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
General Operating 6.3469 6.3469 6.8469 6.8469 6.8469 6.7320 6.7320 6.7320 6.7320 7.5429
Civic DPW / Fire Center Bldg Local Road 0.8500 0.3255 1.1314 0.5800 0.2700 1.1314 0.6200 0.2700 1.1314 0.4040 0.2700 1.1314 0.3600 0.2798 1.1314 0.3600 0.2798 1.1314 0.3600 0.2800 1.1314 0.2150 0.3200 1.1314 0.0000 0.3440 1.1314 0.0000 0.3700 1.1314
Major Road 0.9074 0.7900 0.8200 0.8200 0.8200 0.9200 0.9400 0.9400 1.0420 1.0870
Water Utility Safety System Library Path 0.2952 1.6000 1.5700 1.4550 1.4550 0.8650 1.3332 0.8650 1.2332 0.8650 1.2130 0.0000 1.2130 0.0000 0.3000 1.3020 0.0000 0.3000 1.2310 0.0000
Total 11.4564 10.6883 11.1433 11.7923 11.6363 11.5214 10.6564 10.5514 10.8514 11.6623
Headlee Headlee Limit over Limit Millage 7.5649 1.2180 7.5452 1.1983 7.5429 0.6960 7.5429 0.6960 7.5429 0.6960 7.5429 0.8109 7.5429 0.8109 7.5429 0.8109 7.5429 0.8109 7.5429 0.0000
City Property Tax Rates - Direct Millage (Per $1,000 of Assessed Value. Last Ten Years) 12.0000
10.0000
8.0000
Millage
6.0000
4.0000
2.0000
0.0000 2002 Library
Water
2003 Safety Path
2004 Major Roads
2005
2006 Local Roads
2007 DPW/Fire Bldg
2008
2009 Civic Center
2010 General
2011 Fiscal Year
120
City of Wixom, Michigan Property Tax Rates - Overlapping Government (Per $1,000 of Assessed Value. Last Ten Years ) Year Ended June-30 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Walled Lake Schools Homestead 7.9538 7.4728 7.5248 7.0548 6.8975 6.7841 6.6700 6.5722 6.4793 6.7508
Walled Lake Schools Nonhomestead 23.1000 22.9884 23.1000 22.7900 22.7900 22.7900 22.7900 22.7900 22.5000 22.5000
South Lyon Schools Homestead 8.0000 8.0000 8.0000 8.5000 8.5000 8.5000 8.5000 8.5000 8.5000 10.5000
South Lyon Schools Nonhomestead 26.0000 26.0000 26.0000 26.5000 26.5000 26.5000 26.5000 26.5000 26.5000 28.5000
Novi Schools Homestead 12.1574 11.6782 11.3460 12.0034 11.7194 10.6182 10.0182 9.9724 10.3800 11.4931
Novi Schools Nonhomestead 25.6000 25.3453 25.3049 26.2034 26.1532 25.6732 25.1332 25.3332 25.7332 26.3632
School Property Tax Rates - Overlapping Government Millage (Per $1,000 of Assessed Value. Last Ten Years)
30.00 25.00
Millage
20.00 15.00 10.00 5.00 0.00 Fiscal Year
2002 WLS Homestead
2003
2004 WLS Nonhomestead
2005
2006 SL Homestead
2007
2008
SL Nonhomestead
2009
2010
Novi Homestead
2011 Novi Nonhomestead
121
City of Wixom, Michigan Property Tax Rates - Overlapping Government (Per $1,000 of Assessed Value. Last Ten Fiscal Years - Continued) Fiscal Year Ended June-30 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Oakland Community College 1.5952 1.6090 1.5983 1.5889 1.5844 1.5844 1.5844 1.5844 1.5844 1.5844
Oakland County 4.6438 4.6523 4.6497 4.6476 4.6461 4.6461 4.6461 4.7461 4.7461 4.7461
Oakland Intermediate Schools 3.4526 3.4224 3.3991 3.3789 3.3690 3.3690 3.3690 3.3690 3.3690 3.3690
PA 164 Sec. 10a Library 0.0000 0.0000 0.0000 0.0000 0.0000 0.0000 1.0800 1.0800 1.0800 1.0800
(I) The State passed legislation on April 30, 2002 to require the levying of the State Education Tax (SET) on subsequent summer tax bills only. A one-time reduction from 6 mills to 5 mills was offered during the 2003 tax year to assist taxpayers with the transition to the new collection cycle. The citizens voted on November 7, 2006 to allow the Library to levy a separate millage of 1.08 mills for operations and capital needs for the period of 10 years. The Library will be governed under Michigan Public Act 164, Section 10a.
State Education 6.0000 6.0000 5.0000 6.0000 6.0000 6.0000 6.0000 6.0000 6.0000 6.0000
Other Property Tax Rates-Overlapping Government (Per $1,000 of Assessed Value. Last Ten Years)
18.0000 16.0000 14.0000
Millage
12.0000 10.0000 8.0000 6.0000 4.0000 2.0000 0.0000 Fiscal Year
2002
2003
2004 Library
2005 State
2006
2007
Intermediate Schools
2008 College
2009
2010
2011
County
122
City of Wixom, Michigan List of Principal Taxpayers - June 30, 2011 Ford Motor Company Edward Rose & Sons Occidental Development Ltd Container, Dart ITC Transmission Detroit Edison Company Beck Business Center Inc Lakeside Oakland Dev LLC General Motors Meijer Inc. U S Real Property, LLC Wixkix Properties LLC Mac Valves Inc Sabic Innovative Plastics Wixom Grand River Assoc Occidental Development Property Asset Management Inc Walter Toebe Construction International - Wixom, Llc Wix Property, LLC
2010 Taxable Value Ad Valorem 13,667,670 12,391,790 9,099,790 8,660,230 7,982,100 7,948,690 7,647,770 7,621,260 6,781,700 6,045,750 4,951,590 4,782,060 4,548,160 4,438,810 3,844,000 3,662,180 3,596,210 2,991,840 2,668,530 2,662,910
Total List of Major Taxpayers Total Taxable Value Percent by Tax Category
125,993,040 753,216,540 16.75%
Taxpayer
2010 Taxable Value IFT 289,240
289,240
Taxable Value Percent 1.85% 1.65% 1.21% 1.15% 1.06% 1.06% 1.02% 1.01% 0.90% 0.80% 0.66% 0.63% 0.60% 0.59% 0.51% 0.49% 0.48% 0.40% 0.35% 0.35%
2001 Taxable Value Ad Valorem 186,597,870 33,347,410 0 11,666,300 0 10,970,990 0 13,037,800 0 7,049,640 0 3,182,440 6,311,090 0 6,833,610 0 0 6,307,300 5,483,290 3,182,440
16.77%
293,970,180 853,033,225 39.34%
2001 Taxable Value IFT 83,256,600
83,256,600
Percentage of Total 31.63% 3.91% 0.00% 1.37% 0.00% 1.29% 0.00% 1.53% 0.00% 0.83% 0.00% 0.37% 0.74% 0.00% 0.80% 0.00% 0.00% 0.74% 0.64% 0.37%
2001 Rank 1 2 Below Top 10 4 Below Top 10 5 Below Top 10 3 Below Top 10 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10 Below Top 10
44.2%
Top 10 Taxpayers Valuation in 2001 was $299,459,180 or 36.23% of $826.613,420 total valuation. This compares with 11.70% for FY 2011. The decline in this percent is a natural consequence of the growth in industrial construction over the 10 year period.
123
City of Wixom, Michigan Property Tax Levy and Collections - Last Ten Fiscal Years Fiscal Year Ended June-30 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Total Tax Levy 8,517,172 8,460,467 9,271,867 9,877,265 10,126,397 10,217,362 10,941,562 10,156,335 10,117,491 9,441,776
Current Collections to March 1 8,291,732 8,218,277 9,022,925 9,637,926 9,777,970 9,947,133 10,644,479 9,615,926 9,541,162 9,037,730
Percent of Levy Collected 97.35% 97.14% 97.32% 97.58% 96.56% 97.36% 97.28% 94.68% 94.30% 95.72%
Delinquent Collections 146,673 113,061 115,335 130,219 223,682 205,384 230,283 435,201 446,466 355,926
Total Tax Collections 8,438,405 8,331,338 9,138,260 9,768,145 10,001,652 10,152,517 10,874,762 10,051,127 9,987,628 9,393,656
Percent of Total Collections to Tax Levy 99.08% 98.47% 98.56% 98.90% 98.77% 99.37% 99.39% 98.96% 98.72% 99.49%
Property Tax Levy and Collections (Last Ten Years) 25,000,000
20,000,000
Dollars
15,000,000
10,000,000
5,000,000 Fiscal Year
-
Collected Delinquent Tax Collections March 1
2002 8,438,405
2003 8,331,338
2004 9,138,260
2005 9,768,145
2006 10,001,652
2007 10,152,517
2008 10,874,762
2009 10,051,127
2010 9,987,628
2011 9,393,656
146,673
113,061
115,335
130,219
223,682
205,384
230,283
435,201
446,466
355,926
8,291,732
8,218,277
9,022,925
9,637,926
9,777,970
9,947,133
10,644,479
9,615,926
9,541,162
9,037,730
Collected
Delinquent
Tax Collections March 1
124
City of Wixom, Michigan Property Tax Levies - Last Ten Years Fiscal Year Ended June-30
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
State Education
School Tax (I)
5,118,199 5,471,510 4,802,690 5,928,964 6,088,395 6,187,349 5,647,422 5,314,992 5,156,706 4,519,299
14,129,065 14,551,499 15,114,912 14,810,063 15,638,425 15,863,314 16,266,091 13,385,872 13,083,385 11,724,666
City Tax
County Tax
9,772,690 9,746,857 10,703,563 11,652,686 11,807,731 11,881,153 10,030,199 9,346,768 9,326,247 8,784,237
PA 164 Sec. 10a Library
Community College
3,961,316 4,242,518 4,466,213 4,592,575 4,714,548 4,791,173 4,373,082 4,204,247 4,079,041 3,574,841
1,360,759 1,467,277 1,535,228 1,570,088 1,607,742 1,633,873 1,491,296 1,403,512 1,361,714 1,193,396
Intermediate School District
1,016,536 956,699 928,207 813,474
2,945,183 3,120,949 3,264,965 3,338,896 3,418,634 3,474,196 3,171,028 2,984,368 2,895,491 2,537,587
Total
37,287,211 38,600,609 39,887,571 41,893,272 43,275,474 43,831,058 41,995,653 37,596,458 36,830,791 33,147,500
(I) Includes the Novi, South Lyon, and Walled Lake School Districts
Property Tax Levies - Last Ten Years 45,000,000 40,000,000 35,000,000
Dollars
30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 Fiscal Year
2002
2003
2004 Library
2005 Intermdiate
2006 College
County
2007 City
2008 School
2009
2010
2011
State
125
City of Wixom, Michigan Ratio of Outstanding Debt by Type to Assessed Value and Per Capita - Last Ten Years 2001-02 Governmental activities General obligation bonds
2002-03
2003-04
2004-2005
2005-2006
2006-2007
2007-2008
2008-2009
2009-2010
2010-2011
$12,895,000
$11,935,000
$10,910,000
$9,820,000
$8,635,000
$7,415,000
$6,120,000
$4,745,000
$3,785,000
$2,720,000
0 0
0 0
0 0
5,750,000 0
5,750,000 2,755,000
5,750,000 2,655,000
5,750,000 2,555,000
5,660,000 2,455,000
5,560,000 2,330,000
5,400,000 1,930,000
12,895,000
11,935,000
10,910,000
15,570,000
17,140,000
15,820,000
14,425,000
12,860,000
11,675,000
10,050,000
$17,115,084 2,885,000
$16,375,866 2,450,000
$15,581,829 2,015,000
$14,782,973 1,580,000
$13,959,297 1,145,000
$13,110,621 710,000
$12,237,126 0
$11,343,812 0
$10,430,678 0
$9,492,725 0
20,000,084
18,825,866
17,596,829
16,362,973
15,104,297
13,820,621
12,237,126
11,343,812
10,430,678
9,492,725
Total debt of the government
$32,895,084
$30,760,866
$28,506,829
$31,932,973
$32,244,297
$29,640,621
$26,662,126
$24,203,812
$22,105,678
$19,542,725
Total taxable value
853,033,225
911,918,315
960,537,975
988,160,595
1,014,732,425 1,031,224,785
941,237,065
885,832,040
859,451,050
753,216,540
Ratio of total debt to taxable value
3.86%
3.37%
2.97%
3.23%
3.18%
2.87%
2.83%
2.73%
2.57%
2.59%
Total population
13,263
13,292
13,321
13,350
13,379
13,408
13,437
13,466
13,498
13,498
Total debt per capita
$2,480
$2,314
$2,140
$2,392
$2,410
$2,211
$1,984
$1,797
$1,638
$1,448
General obligation bonds-Development Special assessment bonds Total Business-type Activities General obligation bonds Revenue Bonds Total
126
City of Wixom, Michigan Ratio of General Obligation Bonded Debt Outstanding to Assessed Value and Debt per Capita - Last Ten Years
Fiscal Year Ended June-30 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11
Other General
General Obligation DebtObligation Debt Dev Outstanding Outstanding 12,895,000 0 11,935,000 0 10,910,000 0 9,820,000 5,750,000 8,635,000 5,750,000 5,490,000 5,750,000 4,375,000 5,750,000 3,200,000 5,660,000 3,785,000 5,560,000 2,720,000 5,400,000
Total 12,895,000 11,935,000 10,910,000 15,570,000 14,385,000 11,240,000 10,125,000 10,405,000 9,345,000 8,120,000
Taxable
Estimated
Value 853,033,225 911,918,315 960,537,975 988,160,595 1,014,732,425 1,031,224,785 941,237,065 885,832,040 859,451,050 753,216,540
Population 13,263 13,292 13,321 13,350 13,379 13,408 13,437 13,466 13,498 13,498
Ratio Debt to
General Obligation
Assessed
Debt per
Value 1.51% 1.31% 1.14% 1.58% 1.42% 1.09% 1.08% 1.17% 1.09% 1.08%
Capita 972 898 819 1,166 1,075 838 754 718 692 602
127
City of Wixom, Michigan Ratio of Annual Debt Service Expenditures for General Bonded Debt to Total General Governmental Expenditures Last Ten Fiscal Years Debt Service Requirements
Fiscal Year Ended June 30 (I) 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011
Principal 860,000 960,000 1,025,000 715,000 1,260,000 1,320,000 1,395,000 1,565,000 1,205,000 1,625,000
Interest 646,757 611,931 557,219 410,718 739,802 706,858 654,448 598,184 414,645 416,775
Total 1,506,757 1,571,931 1,582,219 1,125,718 1,999,802 2,026,858 2,049,448 2,163,184 1,619,645 2,041,775
Total General Governmental Expenditures 16,158,946 15,938,982 12,312,198 13,909,788 19,170,006 14,328,643 14,672,909 14,599,422 13,832,934 14,346,615
Ratio of Debt Total General Ratio of Debt Service Service to Governmental General to NonCapital Expenditures Noncapital General Expenditures (Percent) (Percent) Expenditures 9.32% 9,545,863 15.78% 9.86% 10,266,289 15.31% 12.85% 10,254,493 15.43% 8.09% 10,331,664 10.90% 10.43% 12,274,822 16.29% 14.15% 12,662,364 16.01% 13.97% 14,046,076 14.59% 14.82% 13,296,363 16.27% 11.71% 12,609,896 12.84% 14.23% 12,029,193 16.97%
Ratio of Annual Debt Service Expenditures for General Bonded Debt to total General Government Expenditures 1,800,000 1,600,000 1,400,000 1,200,000
Dollars
1,000,000 800,000 600,000 400,000 200,000 Fiscal Year
Principal
2002 860,000
2003 960,000
2004 1,025,000
2005 715,000
2006 1,260,000
2007 1,320,000
2008 1,395,000
2009 1,565,000
2010 1,205,000
2011 1,625,000
Interest
646,757
611,931
557,219
410,718
739,802
706,858
654,448
598,184
414,645
416,775
Principal
Interest
(I) General obligation bonds reported in the Enterprise Fund and the Component Units with government commitment have been excluded.
128
City of Wixom, Michigan Computation of Legal Debt Margin Year Ended June 30, 2011 As of 6/30/2011 Amount $ 699,486,210 7,699,005 $ 707,185,215
Debt Limit State Equalized Valuation - 2010 Equivalent IFT Value - 2010 Total Valuation Debt limit (10 percent of State Equalized Valuation & Equivalent IFT Value)
$
70,718,522
$ $
17,612,725 53,105,797 75.09%
$ $ $
17,612,725 1,930,000 19,542,725
$ $
28,301,606 47,844,331
Debt Applicable to Debt Limit Total direct debt $ Less: Revenue bonds - Wastewater Total amount of debt applicable to limit Legal Debt Margin Legal Debt Margin-Percent Net Direct Debt Indirect Debt 10/01/05 SAD Tribute Drain Net Direct and Indirect Debt Overlapping Debt Percent Municipality Outstanding 0.14% Novi S/D $ 110,305,000 $ 2.80% South Lyon S/D 176,545,000 140,345,000 14.96% Walled Lake S/D 1.34% Oakland County 97,306,733 1.34% Oakland ISD 62,379,412 1.35% Oakland CC 5,075,000 Net Overlapping Debt Net Direct, Indirect and Overlapping debt
17,612,725 -
City's Share 154,427 4,943,260 20,995,612 1,303,910 835,884 68,513
Annual Disclosure Documents prepared by Stauder, Barch and Associates are included at end of Financial Statements
129
City of Wixom, Michigan Legal Debt Margin Information - Last Ten Years
2002 Calculation of Debt Limit State equalized valuation Assessed value equivalent of Act 198 Exemptions
2003
2004
2005
2006
2007
2008
$875,051,870
$936,009,410
$936,009,410
$966,729,610
$1,012,961,780
$1,010,942,088
36,695,525
24,345,095
36,695,525
19,906,370
18,172,555
18,251,157
7,022,290
91,174,740
96,035,451
97,270,494
98,663,598
103,113,434
102,919,324
$32,895,084
$30,760,866
$28,506,829
$31,932,973
$32,244,297
0 2,885,000
0 2,450,000
0 2,015,000
0 1,580,000
Net Debt Subject to Limit
$30,010,084
$28,310,866
$26,491,829
Legal Debt Margin
853,033,225
911,918,315
32.91%
29.48%
Debt Limit (10% of SEV) Calculation of Debt Subject to Limit Total Debt Less: Special assessment bonds Revenue bonds
Net Debt Subject to Limit as Percent of Debt Limit
$
937,261,010
2009 $
888,942,310
2010 $
2011
764,469,210
$
699,486,210
5,519,230
7,061,500
$
7,699,005
94,428,330
89,446,154
77,153,071
70,718,522
$29,640,621
$26,662,126
$24,203,812
$22,105,678
$19,542,725
2,755,000 1,145,000
2,655,000 710,000
2,555,000 0
2,455,000 0
2,330,000 0
1,930,000 0
$30,352,973
$28,344,297
$26,275,621
$24,107,126
$21,748,812
$19,775,678
$17,612,725
960,537,975
988,160,595
1,014,732,425
1,031,224,785
941,237,065
885,832,040
859,451,050
753,216,540
27.24%
30.76%
27.49%
25.53%
25.53%
24.31%
25.63%
24.91%
130
City of Wixom, Michigan Principal Employers - June 30, 2011 Employer Moeller Manufacturing Company, Inc. NLB Corporation United Parcel Service, Inc Mac Valves Inc Gary's Catering Inc General RV Center Detroit Public TV Eagle Industries Inc AFC-Holcroft LLC Jatco USA Inc GM Performance Build Center K Tool Corporation Great Lakes Rubber Co, Inc. Diversified Machine Inc Trijicon Inc Acromag Inc McDonalds Restaurant Trugreen Rockwell Medical Technologies Inc Burger King
Total List of Major Taxpayers Estimated Total Employees
Current Employees
Percentage of Total 265 160 105 100 100 100 95 95 90 88 80 75 75 75 70 60 60 60 60 53
1,866 6,380
4.15% 2.51% 1.65% 1.57% 1.57% 1.57% 1.49% 1.49% 1.41% 1.38% 1.25% 1.18% 1.18% 1.18% 1.10% 0.94% 0.94% 0.94% 0.94% 0.83%
29%
June 30, 2002 employer data is not available at this time.
131
City of Wixom, Michigan Full-time government employees Function/ program General government:
2002
City Manager Assessor Clerks Finance
2003
2004
2005
2006
2007
2008
2009
2010
2011
4 1 3 4
4 1 3 5
4 1 3 5
4 1 3 4
4 1 3 4
4 1 3 4
4 1 2 4
4 1 2 4
4 1 2 4
4 1 2 4
Police Fire Building
27 3 5
27 3 5
27 3 5
27 2 5
25 2 5
25 2 4
25 2 4
25 2 4
24 2 4
23 2 4
Public works: DPS Public Works Community Serv Total
2 10 4 63
2 11 4 65
2 11 4 65
1 11 4 62
0 12 4 60
0 12 4 59
0 11 4 57
0 11 4 57
0 11 4 56
0 11 4 55
Public safety:
City of Wixom - Full-time employee 70
Employees
60 50 40 30 20 10 0 Fiscal Year
2002
2003
Community Serv
2004 Public Works
2005 DPS
2006 Building
2007 Fire
Police
2008 Finance
2009 Clerks
2010
2011
Assessor
City Manager
132
City of Wixom, Michigan Demographic Statistics - Last Ten Years
Year Ended December-31 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2035
Estimated Population 13,263 13,292 13,321 13,350 13,379 13,408 13,437 13,466 13,498 13,498 16,456
Median Household Income
Number of Households (e) (e) (e) (e) (e) (e) (e) (e) (e) Census (e)
6,011 6,081 6,151 6,221 6,291 6,361 6,431 6,501 6,577 6,577 7,598
(e) (e) (e) (e) (e) (e) (e) (e) (e) (e)
47,019 48,430 49,883 51,379 58,245 58,079 53,714 53,714 53,125 53,125 N/A
State Unemployment Rate 3.9 4.3 7.2 6.1 7.1 7.5 8.5 9.4 13.2 10.5 N/A
See Community Profile for more Demographic Information/Statistics
N/A = Not available Sources: Southeast Michigan Council of Governments U.S. Bureau of Labor Statistics Michigan.gov Labor Market Information and Internal Records
133
City of Wixom, Michigan Operating Indicators by Function/Program - Last Ten Fiscal Years Function/Program Election data: Registered voters Voters (at the polls and absentee) Percent voting Building data: Permits issued-Residential Residential Permit Revenue Residential Estimated Value Pemits issued-Comm & Indust Comm & Indust Permit Revenue Comm & Indust Estimated Value Police data: Crime Part A Crime Part B Crime Part C Crime Part D Other calls for service Total police runs Physical arrests Traffic violations Investigations: Warrants obtained
2001-02 7,833 1,604 20.48% 276 85,458 18,855,134 97 141,511 19,783,125
2002-03 7,772 3,688 47.45% 205 51,056 11,852,466 79 114,268 17,731,213
2003-04 7,665 502 6.55% 288 68,502 7,063,204 106 125,795 19,816,837
2004-2005 8,102 6,114 75.46% 313 194,189 10,533,283 118 239,490 32,947,775
2005-2006
2006-2007
2007-2008
2008-2009
2009-2010
2010-2011
8,549 1,667 19.50%
8,472 4,829 57.00%
8,930 6,700 75.03%
8,930 6,700 75.03%
8,787 1,149 13.08%
8,822 4,034 45.73%
361 96,993 11,268,031 120 193,841 20,596,914
202 34,273 3,026,260 146 165,530 17,402,587
147 25,270 2,172,466 116 125,832 12,516,419
96 19,610 777,010 66 138,739 12,827,878
155 40,397 2,157,552 60 44,931 2,628,865
166 36,333 1,664,037 53 59,522 5,808,086
935 679 14,586 2,266 1,245 19,711 616 1,936 193
839 575 13,759 2,324 1,097 18,594 731 2,507 204
817 611 13,670 2,578 792 18,468 739 2,061 224
915 748 13,315 2,181 741 17,900 747 2,114 385
855 642 14,907 1,823 643 18,870 610 1,545 425
926 641 14,854 2,314 35 18,770 639 1,287 333
885 615 13,416 1,673 78 16,667 595 1,195 284
744 579 14,729 2,364 98 18,514 562 1,424 313
798 507 16,086 1,985 67 19,443 478 1,083 270
846 453 15,045 2,098 182 18,624 509 1,005 255
33 550 368 1,071
23 529 397 1,106
56 603 288 1,340
60 622 350 1,485
Fire data: Fire runs Emergency medical runs Other calls for service Inspections
73 644
60 589
69 620
48 621
59 688
1,194
1,195
1,110
1,175
1,189
49 559 324 1,177
Public works data: Miles of street resurfaced (Major) Miles of street resurfaced (Local) Refuse collected (tons)
8 35 3,323
10 34 3,688
10 34 3,637
10 34 3,499
10 34 3,320
10 34 3,770
10 34 2,841
10 36 2,536
10 36 2,492
10 36 2,435
107,880 39,175
124,188 40,158
111,358 40,185
110,363 41,757
113,063 46,587
131,465 48,395
155,269 51,641
191,849 56,261
215,048 60,800
217,340 68,180
35,598 363,815
121,144 1,238,109
107,183 1,358,007
110,426 1,492,675
108,037 1,701,576
109,353 1,700,316
86,093 1,379,708
80,810 1,168,813
76,910 1,165,198
76,266 1,372,514
10.30 9.76 10.22
17.56 4.85 10.22
20.38 5.00 12.67
23.72 7.00 13.55
27.57 9.00 15.75
27.57 9.00 15.54
27.57 9.00 15.90
27.57 9.00 13.85
25.45 11.12 15.15
23.45 13.12 17.05
Library data: Circulation (books borrowed) Collection volume Water and Sewer data: Water purchase from Detroit-MCF Water purchase from Detroit-Cost Rates Water Sewer DWSD Wholesale Rate
134
City of Wixom, Michigan Capital Asset Statistics by Function/Program - Last Ten Fiscal Years Function/Program Police - Stations Fire - Stations Wastewater Treatment Plant Connection to Detroit Water System Major Roads in Miles Local Roads in Miles Parks & recreation - Acres Parks & recreation - Locations Library branches
2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 1 1 1 1 1 1 1 1 2 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 8 35 382 5 1
1 10 34 382 5 1
1 10 34 382 5 1
1 10 34 382 5 1
1 10 34 392 6 1
1 10 34 392 6 1
1 10 34 392 6 1
1 10 34 392 6 1
2009-10
2010-11 1 2 1
1 2 1
1 10 34 392 6 1
1 10 34 392 6 1
135
136
Wixom A community you can LIVE in!
Local Government
Wixom is presently the third fastest growing city in Oakland County, located in the midst of the rapidly growing I-96 corridor and within easy driving distance of three major internationally known universities. The city is characterized by its balanced approach to land use development and mixing the best of country living with a strong industrial base. All types of residential housing are available with a significant concentration of multiple family. Wixom maintains the best of country living within the urban fringe, having the second lowest tax rate in Oakland County because of its strong industrial base - not to mention one of the finest school districts in the State. The Wixom Historical Society maintains a museum at the Wixom-Wire house of the City's historic past. Wixom Habitat is a 300-acre nature preserve obtained through land acquisition purchases by the City and the donations of developers. It is being developed as a passive park with boardwalks, nature center, and walking paths.
Public School Enrollment Year
(248) 624-4557
Manager J. Michael Dornan
(248) 624-0894
Clerk Linda Kirby
(248) 624-4557
www.cityofwixom.com/
Private Schools Little Hornbook Day School, Wixom Christian School
2009 Tax Rates
Does not include public school academies
School District
Mayor Kevin Hinkley
Enrollment
Novi
2008 - 2009
6,221
South Lyon
2008 - 2009
7,072
Walled Lake
2008 - 2009
15,779
School District
Homestead
Novi South Lyon Walled Lake
$38.01 $36.13 $34.11
Non Homestead $53.36 $54.13 $50.13
Colleges and Universities Educational Attainment of People Over 25 Years of Age
None
College Grad Michigan College Grad US 4-year College or Higher One to three years College High School Graduate Less than High School
0%
10%
20%
30%
40%
Population by Age
Population and Household Growth Under 5
65 and older
Population
20,000
Households
15,000 5 to 17
10,000 35 to 64
18 to 34
5,000 0 2005
Source: U.S. Census Bureau
2010
2015
2020
2025
2030
2035
Source: SEMCOG 137
Wixom
Median Household Income
45 $58,2
79 $58,0
$65,000
96 $48,9
$55,000 $45,000 $35,000 $25,000 $15,000
2006
2007
2008 Source: Claritas
Housing Sales 2010 # of Sales
39
2010 Median Sales $
$130,500
2010 Avg DOM
163
2009 # of Sales
318
2009 Median Sale $
$147,000
2009 Avg DOM
132
2008 # of Sales
90
2008 Median Sale $
$160,000
2008 Avg DOM
162
Realcomp (2010 through April only)
Top Employers Rank
Manufactured Housing
Company Name
Industry
1
Great Lakes Rubber Co.
Fabricated rubber products
2
Mac Valves Inc.
Fluid power valves and hose fittings
3
Nlb Leasing LLC
Equipment rental and leasing
4
Rockwell Medical Technologies, Inc.
Surgical and medical instruments
5
Trijicon Inc.
Optical instruments and lenses
6
NGK Spark Plugs USA
Motor vehicle parts and accessories
7
H2H Solutions, Inc.
Home health care services
8
Walled Lake School District
Primary education
9
Diversified Machine Inc.
Motor vehicle parts and accessories
10
J&B Medical Supply Co., Inc.
Medical and hospital equipment
11
United Parcel Service, Inc.
Courier services
Year
# of Parks
# of Units
2003
0
0
2005
0
0
2007
0
0 Source: SEMCOG
Market Research Services Oakland County Planning and Economic Development 2100 Pontiac Lake Road, 41W, Waterford Michigan 48328 -- www.oakgov.com 138
Community Profiles
City of Wixom 49045 Pontiac Trl Wixom, MI 48393-2567 http://www.ci.wixom.mi.us/
Census 2010 Population: 13,498 Area: 9.5 square miles
Map Census 2010: Population | Youth Population
Population Forecast
Note for Wixom: Incorporated as of the 1960 Census from part of Commerce and Novi Townships. Source: U.S. Census Bureau and SEMCOG 2035 Forecast produced in 2007-08. - Move cursor over chart to view population numbers
Population and Households
Census 2000
Census 2010
Change 2000-2010
Pct Change 2000-2010
SEMCOG Jul 2011
Total Population Group Quarters Population Household Population Housing Units Households (Occupied Units) Residential Vacancy Rate Average Household Size
13,263 56 13,207 6,086 5,889 3.2% 2.24
13,498 5 13,493 6,577 5,725 13.0% 2.36
235 -51 286 491 -164 9.7% 0.11
1.8% -91.1% 2.2% 8.1% -2.8% -
13,605 5 13,600 6,577 5,735 12.8% 2.37
Annual Average Census 1990-1999
SEMCOG 2000-2009
Natural Increase (Births - Deaths) Births Deaths Net Migration (Movement In - Movement Out)
182 241 59 290
187 254 67 -102
Population Change (Natural Increase + Net Migration)
471
85
Components of Population Change
Source: Michigan Department of Community Health Vital Statistics, U.S. Census Bureau, and SEMCOG.
139
Demographics
Household Types Census 2010
SEMCOG 2035
Census 2000
Census 2010
Pct Change 2000-2010
SEMCOG 2035
Pct Change 2010-2035
With seniors 65+ Without seniors
522 5,367
714 5,011
36.8% -6.6%
3,147 4,451
340.8% -11.2%
Two or more persons without children Live alone, 65+ Live alone, under 65 With children
1,790 241 1,962 1,896
1,843 303 1,654 1,925
3.0% 25.7% -15.7% 1.5%
3,029 1,517 1,278 1,774
64.4% 400.7% -22.7% -7.8%
Total Households
5,889
5,725
-2.8%
Household Types
Population Change by Age, 2000-2010
Age Group 85+
7,598
Census 2000
Census 2010
32.7%
Change 2000-2010
73
105
32
80-84
113
122
9
75-79
145
150
5
70-74
180
216
36
65-69
210
352
142
60-64
272
524
252
55-59
400
878
478
50-54
569
1,019
450
45-49
949
1,144
195
40-44
1,086
1,109
23
35-39
1,365
1,079
-286
30-34
1,343
1,021
-322
25-29
1,396
1,090
-306
20-24
1,455
965
-490
15-19
860
831
-29
10-14
802
1,001
199
5-9 Under 5
915
971
56
1,130
921
-209
13,498
235
13,263
140
Age Group
Forcasted Population by Age, 2010-2035
Census 2010
65+
Change 2010-2035
945
4,556
3,611
35-64
5,753
5,328
-425
18-34
3,377
3,219
-158
5-17
2,502
2,408
-94
Under 5
Senior and Youth Population
SEMCOG 2035
921
945
24
13,498
16,456
2,958
Census 2000
Census 2010
Pct Change 2000-2010
SEMCOG 2035
Pct Change 2010-2035
721 3,300 2,170 1,130
945 3,423 2,502 921
31.1% 3.7% 15.3% -1.6%
4,556 3,353 2,408 945
382.1% -2.0% -3.8% 2.6%
65 and over Under 18 5 to 17 Under 5
Note: Population by age changes over time because of the aging of people into older age groups, the movement of people, and the occurrence of births and deaths.
Race and Hispanic Origin
Census 2000
Census 2010
Percentage Point Chg 2000-2010
Non-Hispanic White Black Asian Multi-Racial Other Hispanic
12,839 11,792 327 378 261 81 424
96.8% 88.9% 2.5% 2.9% 2.0% 0.6% 3.2%
12,814 10,387 1,487 653 238 49 684
94.9% 77.0% 11.0% 4.8% 1.8% 0.4% 5.1%
-1.9% -12.0% 8.6% 2.0% -0.2% -0.2% 1.9%
Total Population
13,263
100.0%
13,498
100.0%
0.0%
Highest Level of Education*
Census 2000
Percentage Point Chg 1990-2000
Graduate / Professional Degree
11.7%
6.3%
Bachelor's Degree
26.5%
2.9%
Associate Degree
8.1%
-2.5%
Some College, No Degree
25.6%
0.4%
High School Graduate
21.2%
-4.1%
7.0%
-3.0%
Did Not Graduate High School * Population age 25 and over
Source Data SEMCOG - Detailed Data Michigan Department of Community Health - Vital Statistics U.S. Census Bureau - American FactFinder
141
Note: All SEMCOG employment numbers are by place-of-work and do not include Farming, Construction, or Military jobs. Some differences exist between Current Job Estimates and Forecasted Jobs. Learn more SEMCOG SEMCOG Change Current Job Estimates by Industry 2002 2005 2002-2005 Natural Resources & Mining Manufacturing Wholesale Trade Retail Trade Transportation & Warehousing Utilities Information Financial Activities Professional, Scientific, & Technical Services Management of Companies & Enterprises Administrative, Support, & Waste Services Education Services Health Care & Social Assistance Leisure & Hospitality Other Services Public Administration Total
C 7,986 1,592 1,057 289 0 39 85 357 240 1,256 203 70 397 192 C
C 5,967 1,378 1,050 245 0 146 127 434 143 1,247 201 161 530 142 C
C -2,019 -214 -7 -44 0 107 42 77 -97 -9 -2 91 133 -50 C
13,916
11,874
-2,042
Note: "C" indicates data blocked due to confidentiality concerns of ES-202 files.
Job Forecast
If any five-year interval employment numbers from 2005-2035 are not shown, the numbers were blocked for confidentiality reasons. Source: SEMCOG 2035 Forecast.
Forecasted Jobs by Industry Natural Resources & Mining Manufacturing Wholesale Trade Retail Trade Transportation & Warehousing Utilities Information Financial Activities Professional, Scientific, & Technical Services Management of Companies & Enterprises Administrative, Support, & Waste Services Education Services Health Care & Social Assistance Leisure & Hospitality Other Services Public Administration Total
- Move cursor over chart to view employment numbers
SEMCOG 2005
SEMCOG 2035
Change 2005-2035
C 6,002 1,499 1,208 331 C 132 283 878 147 1,448 230 228 611 308 C
C 2,671 1,303 1,020 443 C 303 707 2,341 139 4,659 297 1,836 1,239 543 C
C -3,331 -196 -188 112 C 171 424 1,463 -8 3,211 67 1,608 628 235 C
13,425
17,680
4,255
Note: "C" indicates data blocked due to confidentiality concerns of ES-202 files.
142
SEMCOG and Census 2000
Change 1990-2000
Jobs Non-Working Residents Age 15 and under Not in labor force Unemployed
12,924 5,307 2,950 2,138 219
6,362 2,164 1,320 873 -29
Daytime Population
18,231
8,526
Daytime Population
Note: The number of residents attending school outside Wixom is not available. Likewise, the number of students commuting into Wixom to attend school is also not known.
Census 2000
Where Workers Commute From * 1 2 3 4 5 6 7 8 9 10 -
Wixom Detroit Commerce Township or Wolverine Lake Novi Livonia Milford or Milford Township White Lake Township Farmington Hills Westland Waterford Township Elsewhere
* Workers, age 16 and over, employed in Wixom
Workers
Percent
1,223 1,048 813 509 445 429 397 395 358 325 6,676
9.7% 8.3% 6.4% 4.0% 3.5% 3.4% 3.1% 3.1% 2.8% 2.6% 52.9%
12,618
100.0%
Resident Population Census 2000
Where Residents Work * 1 2 3 4 5 6 7 8 9 10 -
Wixom Novi Southfield Farmington Hills Detroit Livonia Commerce Township or Wolverine Lake Troy Walled Lake Milford or Milford Township Elsewhere
* Workers, age 16 and over, residing in Wixom
Workers
Percent
1,223 811 680 528 386 369 351 276 216 170 2,732
15.8% 10.5% 8.8% 6.8% 5.0% 4.8% 4.5% 3.6% 2.8% 2.2% 35.3%
7,742
100.0%
143
Income
Census 2000
Median Household Income (in 1999 dollars) Per Capita Income (in 1999 dollars)
Household Income in 1999
$ 44,320 $ 27,543
131
$150,000 to $199,999
116
$125,000 to $149,999
252
$100,000 to $124,999
351
$75,000 to $99,999
716
$60,000 to $74,999
698
$50,000 to $59,999
457
$45,000 to $49,999
191
$40,000 to $44,999
404
$35,000 to $39,999
390
$30,000 to $34,999
510
$25,000 to $29,999
491
$20,000 to $24,999
499
$15,000 to $19,999
297
$10,000 to $14,999
195
Total
$ 1,765 $ 1,219
Percent Change 1990-2000 4.1% 4.6%
Census 2000
$200,000 or more
Less than $10,000
Change 1990-2000
194 5,892
Poverty
Census 1990
Census 2000
Persons in Poverty Households in Poverty
299 142
717 281
3.5% 3.5%
5.4% 4.8%
Percentage Point Chg 1990-2000 1.9% 1.3%
Source Data SEMCOG - Detailed Data U.S. Census Bureau - American FactFinder U.S. Census Bureau - MCD/County Worker Flow Data
144
New Units Permitted 2000-2011
Census 1990
Census 2000
Change 1990-2000
Single Family Detached Duplex Townhouse / Attached Condo Multi-Unit Apartment Mobile Home / Manufactured Housing Other
1,329 10 80 3,032 7 17
2,349 9 313 3,403 12 0
1,020 -1 233 371 5 -17
290 0 188 0 0 -
Total Units Demolished
4,475
6,086
1,611
478 - 62
Housing Type
Net (Total Permitted Units - Units Demolished)
416
Census 2000
Census 2010
Change 2000-2010
Owner occupied Renter occupied Vacant Seasonal/migrant Other vacant units
2,572 3,317 197 19 178
2,993 2,732 852 39 813
421 -585 655 20 635
Total Housing Units
6,086
6,577
Housing Value (in 1999 dollars)
Census 2000
Housing Tenure
Median housing value Median gross rent
$1,000,000 or more
$ 64,158 $ -61
Census 2000 0
$500,000 to $999,999
22
$300,000 to $499,999
208
$250,000 to $299,999
403
$200,000 to $249,999
470
$175,000 to $199,999
444
$150,000 to $174,999
330
$125,000 to $149,999
328
$100,000 to $124,999
39
$80,000 to $99,999
72
$60,000 to $79,999
49
$40,000 to $59,999
15
$30,000 to $39,999
5
$20,000 to $29,999
0
$10,000 to $19,999
0
Less than $10,000 Specified Owner-Occupied Units
491
Change 1990-2000
$ 195,000 $ 523
Housing Value in 1999
Housing Tenure in 2010
0 2,385
145
Residence 5 Years Ago *
* This table represents persons, age 5 and over, living in Wixom in 2000. The table does not represent persons who moved out of Wixom from 1995 to 2000.
Source Data SEMCOG - Detailed Data U.S. Census Bureau - American FactFinder
146
Roads & Bridges Roads Miles of public road (including boundary roads): 69
Pavement Condition (in Lane Miles)
Note: Poor pavements are generally in need of rehabilitation or full reconstruction to return to good condition. Fair pavements are in need of capital preventive maintenance to avoid deteriorating to the poor classification. Good pavements generally receive only routine maintenance, such as street sweeping and snow removal, until they deteriorate to the fair condition.
Percentage Point Chg 2007-2009
Bridge Status
2007
2008
2009
Open Open with restrictions Closed*
1 0 0
100.0% 0.0% 0.0%
1 0 0
100.0% 0.0% 0.0%
1 0 0
100.0% 0.0% 0.0%
0.0% 0.0% 0.0%
Total bridges
1
100.0%
1
100.0%
1
100.0%
0.0%
* Bridges may be closed because of new construction or failed condition.
Deficient Bridges
2007
2008
1
0
100.0%
Percentage Point Chg 2007-2009
2009 0.0%
0
0.0%
-100.0%
Note: A bridge is considered deficient if it is structurally deficient (in poor shape and unable to carry the load for which it was designed) or functionally obsolete (in good physical condition but unable to support current or future demands, for example, being too narrow to accommodate truck traffic).
Travel
Transportation to Work, 2000 *
* Resident workers age 16 and over
147
Transportation to Work
Census 1990
Census 2000
Percentage Point Chg 1990-2000
Drove Alone Carpooled or Vanpooled Public Transportation Walked Other Means Worked at Home
4,863 338 16 23 11 29
92.1% 6.4% 0.3% 0.4% 0.2% 0.5%
6,799 623 0 111 40 177
87.7% 8.0% 0.0% 1.4% 0.5% 2.3%
-4.4% 1.6% -0.3% 1.0% 0.3% 1.7%
Resident workers age 16 and over
5,280
100.0%
7,750
100.0%
0.0%
Mean Travel Time To Work
Census 1990
For residents age 16 and over who worked outside the home
Change 1990-2000
Census 2000
26.5 minutes
27.1 minutes
0.6 minutes
Transit Public Transportation: Wixom Senior Citizen Transportation Program
Safety Crashes, 2001-2010
Source: Michigan Department of State Police, Criminal Justice Information Center, and SEMCOG.
- Move cursor over chart to view crash counts
2006
2007
2008
2009
2010
Percent of Crashes 2006-2010
Fatal Incapacitating Injury Other Injury Property Damage Only
0 7 90 333
1 9 68 374
0 3 55 375
1 6 67 301
2 4 82 330
0.2% 1.4% 17.2% 81.3%
Total Crashes
430
452
433
375
418
100.0%
Crash Severity
148
Crashes by Involvement
2006
2007
2008
2009
2010
Percent of Crashes 2006-2010
Red-light Running Lane Departure Alcohol Drugs Deer Train Commercial Truck/Bus School Bus Emergency Vehicle Motorcycle Intersection Work Zone Pedestrian Bicyclist Older Driver (65 and older) Young Driver (Under 25)
6 45 19 0 17 0 35 0 2 5 151 6 1 2 61 182
16 40 14 1 19 0 21 0 3 3 136 2 2 0 58 178
7 50 15 1 22 0 24 0 6 4 124 45 0 4 71 168
6 39 8 1 19 0 14 1 1 3 112 6 2 1 54 142
6 46 10 2 19 0 30 1 3 2 117 0 1 1 64 152
1.9% 10.4% 3.1% 0.2% 4.6% 0.0% 5.9% 0.1% 0.7% 0.8% 30.4% 2.8% 0.3% 0.4% 7.6% 20.3%
High-Frequency Crash Intersections Local Rank
County Rank
Region Rank
1 2 3 4 5 6 7 8 9 10
34 64 128 184 311 493 565 565 585 606
82 170 374 561 910 1,544 1,794 1,794 1,874 1,963
Intersection
Annual Avg 2006-2010
Grand River Ave @ Wixom Rd S Pontiac Trl @ Beck Rd Beck Rd @ West Rd E I 96/NB Wixom Ramp @ Wixom Rd S 12 Mile Rd W @ Beck Rd Beck Rd @ Beck Rd Old Wixom Rd @ Pontiac Trl West Maple Rd W @ West Maple Rd W W I 96/NB Wixom Ramp @ Wixom Rd S Wixom Rd S @ West Rd
31.8 25.2 18.8 16.0 12.2 8.8 7.8 7.8 7.6 7.4
Note: Intersections are ranked by the number of reported crashes, which does not take into account traffic volume. Crashes reported occurred within 150 feet of the intersection.
149
High-Frequency Crash Segments Local County Region Rank Rank Rank 1 2 3 4 5 6 7 8 9
68 91 151 193 222 228 231 316 332
158 218 387 493 563 574 584 782 833
10
412
1,105
Annual Avg 2006-2010
Segment
From Road - To Road
Beck Rd E I 96 W I 96 Beck Rd Beck Rd Pontiac Trl Grand River Ave Wixom Rd S Wixom Rd S
West Rd - Pontiac Trl Hill Rd S - E I 96/SB Wixom Ramp Hill Rd S - SB Wixom/W I 96 Ramp Pontiac Trl - West Maple Rd W 12 Mile Rd W - West Rd Wixom Rd S - Beck Rd Napier Rd - Wixom Rd West Maple Rd W - Loon Lake Rd Grand River Ave - NB Wixom/E I 96 Ramp Hill Rd S - Wixom Rd S
Pontiac Trl
43.0 38.0 30.2 27.4 25.6 25.4 25.2 22.2 21.6 18.8
Note: Segments are ranked by the number of reported crashes, which does not take into account traffic volume.
Source Data SEMCOG - Detailed Data U.S. Census Bureau - American FactFinder
Home | Contact us | Site map | Privacy | Accessibility
| Disclaimer
150
SEMCOG 2008 Land Use
Acres
Percent
Agricultural Single-family residential Multiple-family residential Commercial Industrial Governmental/Institutional Park, recreation, and open space Airport Transportation, Communication, and Utility Water
0 1,495 227 319 1,836 260 762 0 950 154
0.0% 24.9% 3.8% 5.3% 30.6% 4.3% 12.7% 0.0% 15.8% 2.6%
Total Acres
6,003
100.0%
Note: SEMCOG's 2008 Land Use data set represents land use only and not land cover. Due to this difference, change analysis using this data set and previous SEMCOG land use/land cover data sets in not possible. Noticeable differences in map appearance and classification acreage totals are the result of this land use data originating from digital parcel files assigned land use codes based on their assessed property class and the lack of any land cover data.
Source Data SEMCOG - Detailed Data
Home | Contact us | Site map | Privacy | Accessibility
| Disclaimer
Copyright 2011 SEMCOG all rights reserved 535 Griswold St., Suite 300 * Detroit, Michigan 48226 * (313) 961-4266
151
Wixom (city) QuickFacts from the US Census Bureau
Page 1 of 2
State & County QuickFacts
Wixom (city), Michigan People QuickFacts Population, 2010
Wixom
Michigan
13,498
9,883,640
1.8%
-0.6%
13,263
9,938,444
Persons under 5 years, percent, 2010
6.8%
6.0%
Persons under 18 years, percent, 2010
25.4%
23.7%
7.0%
13.8%
Female persons, percent, 2010
50.1%
50.9%
White persons, percent, 2010 (a)
79.8%
78.9%
Black persons, percent, 2010 (a)
11.1%
14.2%
American Indian and Alaska Native persons, percent, 2010 (a)
0.2%
0.6%
Asian persons, percent, 2010 (a)
4.9%
2.4%
Population, percent change, 2000 to 2010 Population, 2000
Persons 65 years and over, percent, 2010
Native Hawaiian and Other Pacific Islander, percent, 2010 (a)
Z
0.0%
Persons reporting two or more races, percent, 2010
2.1%
2.3%
Persons of Hispanic or Latino origin, percent, 2010 (b)
5.1%
4.4%
White persons not Hispanic, percent, 2010
77.0%
76.6%
Living in same house 1 year & over, 2005-2009
78.8%
85.4%
Foreign born persons, percent, 2005-2009
11.8%
6.0%
Language other than English spoken at home, pct age 5+, 2005-2009
15.4%
9.0%
High school graduates, percent of persons age 25+, 2005-2009
90.9%
87.4%
Bachelor's degree or higher, pct of persons age 25+, 2005-2009
36.1%
24.5%
25.7
23.7
6,577
4,532,233
Homeownership rate, 2005-2009
50.8%
74.6%
Housing units in multi-unit structures, percent, 2005-2009
53.1%
17.8%
$224,600
$147,500
5,848
3,860,160
2.26
2.53
Per capita money income in past 12 months (2009 dollars) 2005-2009
$30,608
$25,172
Median household income 2005-2009
$53,125
$48,700
10.2%
14.5%
Mean travel time to work (minutes), workers age 16+, 2005-2009 Housing units, 2010
Median value of owner-occupied housing units, 2005-2009 Households, 2005-2009 Persons per household, 2005-2009
People of all ages in poverty - percent, 2005-2009 Business QuickFacts Total number of firms, 2007
Wixom
Michigan
1,594
816,972
Black-owned firms, percent, 2007
S
8.9%
American Indian and Alaska Native owned firms, percent, 2007
F
0.7%
Asian-owned firms, percent, 2007
S
2.6%
Native Hawaiian and Other Pacific Islander owned firms, percent, 2007
F
0.1%
Confidential http://quickfacts.census.gov/qfd/states/26/2688140.html
152
11/28/2011
Wixom (city) QuickFacts from the US Census Bureau
Page 2 of 2
Hispanic-owned firms, percent, 2007
F
1.3%
22.3%
30.4%
Manufacturers shipments, 2007 ($1000)
819,010
234,455,768
Merchant wholesaler sales, 2007 ($1000)
961,420
107,109,349
Retail sales, 2007 ($1000)
361,209
109,102,594
Retail sales per capita, 2007
$26,896
$10,855
22,123
14,536,648
Women-owned firms, percent, 2007
Accommodation and food services sales, 2007 ($1000) Geography QuickFacts Land area in square miles, 2010 Persons per square mile, 2010 FIPS Code
Wixom
Michigan
9.15
56,538.90
1,474.5
174.8
88140
26
Counties
(a) Includes persons reporting only one race. (b) Hispanics may be of any race, so also are included in applicable race categories. D: Suppressed to avoid disclosure of confidential information F: Fewer than 100 firms FN: Footnote on this item for this area in place of data NA: Not available S: Suppressed; does not meet publication standards X: Not applicable Z: Value greater than zero but less than half unit of measure shown
Source U.S. Census Bureau: State and County QuickFacts. Data derived from Population Estimates, American Community Survey, Census of Population and Housing, Small Area Income and Poverty Estimates, County Business Patterns, Economic Census, Survey of Business Owners, Building Permits, Consolidated Federal Funds Report, Census of Governments Last Revised: Tuesday, 18-Oct-2011 15:30:07 EDT
153
http://quickfacts.census.gov/qfd/states/26/2688140.html
11/28/2011
154
20 Gilbert Willis Park CHARMS RD
LO O
NL
AK
ER D
H
O LO
WIX O M RD
C A S M D
Loon Lake
29
D
LO O
4 8 3
E
5
2
AK
ER D
LEGEND Res idential Single - Family Multi - Family
RD M A P LE
32
9
W MAPLE RD
NL
V
BECK RD
WIX O M RD
E M APL E RD
31
W
28
Twin Sun Lake
ER
CHARMS RD
AK
R
M
NL
R
30
* Hick ory Hills Golf Course
Non - R esidential VCA Office Business
S
Neighborhood Business
WIX O M RD
General Business
E
Industrial Service Industrial Research Office Industry PONTIAC TRAIL
PONTIAC TRAIL
1 6 7
9
Park
BECK RD
5
Quasi - Public Power Line
Public
WIX O M RD
6
5
4
Civic Center
BECK RD
1 2 3 4 5 6 7 8 9
Cemetary Department of Public Works Sewage Treatment Plant Fire Station Police Station Library Waste Treatment Facility Historic Site
Schools WEST RD
I-96
WIX O M RD
7 AN
TWELVE MILE RD
D R IV
ER
A VE
WIX O M RD
GR
8
9
BECK RD
§ ¨ ¦
T W EL V
§ ¨ ¦
Nov ember 8, 2010 Oct ober 12, 2010
CITY OF WIXOM, MICHIGAN
Proposed
E
Elementary
M
Middle School
S
High School
V
Vocational
Thorofares Major Street
E
M
IL
I-96
FOR FUTURE LAND USE Bas e Map Current as of:
0
Major Road
MASTER PLAN Map I ss ue Dat e:
Existing
WEST RD
E
RD
8
Scale: 1 inch= 2,750 feet
155
20 R-2
Hi ckory Hi ll s Go lf Course
Gi lbert Wi ll is Park
OS- 1 CHARMS RD
!4 (
B-2 WIX O M RD
R-2
NL
AK
R-3 ER D
R-3
R-2
R-3
H
O LO
C
R-3
LO O
A R D
Lo on La ke
R-4
AK
R
ER
29
B- 2
CHARMS RD
R-2
(1 !
LO O
R-2 Wix om H a bita t Pa r k
AK
R-3 ER D
RM-2 WIX O M RD
R-3
R-3
RD M A P LE
Gu nner Mettala Park
32
W MAPLE RD
OS- 1 WIX O M RD
M-1
Zoning District Legend BECK RD
E M APL E RD
W
31
NL
(3 !
Ga ll ag e r La ke
R-3
28
Twin S un Lake
D
30
NL
S M
R-2
VCA
One-Family Residential
(2 0,0 00 sq .ft)
R-1
One-Family Residential
(1 5,0 00 sq .ft)
R-2
One-Family Residential
(1 2,5 00 sq .ft)
R-3
One-Family Residential
( 7,2 00 sq .ft)
R-4
Multiple-Family Residential
( 9 units/a cre ) Ap prox.
RM-1
Multiple-Family Residential
(1 2 u nits/acre) Ap prox.
RM-2
Manufactured Home Park
MHP
R-4 B- 3
R- 3
RM -2 B- 2
B- 2
R- 3
BECK RD
RM-2
PONTIAC TRAIL
PONTIAC TRAIL
Local Business
B-1
Community Business
B-2
General Business
B-3
Freeway Service
FS
Industrial Service
RM-2 R- 3
M-1
5
WIX O M RD
6
4 BECK RD
M-1
R- 3
I-S
Village Center Area
VCA
Office Service
OS-1
Industrial Research Office
IR O
Light Industrial
M-1
General Industrial
M-2
Planned Unit Development Overlay
PUD
CONSENT JUD GMENTS
1 I- S
R- 3
WEST RD
Rigg Investment #1 / Nov., 1 988 Allowed NE 4.8 Acres to be dev eloped for commercial use consistent with B-2 zoning and the balance (41.42 Acres) with 224 resid. condo units in 8 bldgs. Actual development resulted in 20.86 acr es being platted into 79 lots [3.8 units / acr e] with an avg. lot size equal to 7,9 50 sq.ft.
WEST RD
(2 ! R- 3 R- 3
MHP
M-1
M-2 WIX O M RD
I-96
8
FS
IRO D R IV
B-3 ER
A VE
FS
RM-1 B-3
WIX O M RD
AN
TWELVE MILE RD
FS
B-3
¦ ¨ § I-96
ZONING M AP Bas e Map Current as of:
Nov ember 8, 2010 Oct ober 12, 2010
3 Singh Const. Co. / Mar., 1997 Tr ails of Loon Lake pr operty allowed to be developed under the Subdivision Open Space Option > 45.58 ac res were platted into 95 lots [2.08 units/ acre] with avg lot size equal to 11,446 sq.ft.
4
R-3 T W E LV
B- 3
Map I ss ue Dat e:
City agr eed to re-zone 2.83 acr es from M-1 to I-S
IRO GR
RM -1 / PU D
9
R-3 BECK RD
7
¦ ¨ §
2 T. William Berube / Aug., 1 993
TITLE 18 OF THE ZONING ORDINANCE (ADOPTED: August 26, 2008) AS AMENDED THROUGH August 26, 2008
CITY OF WIXOM, MICHIGAN
E
M
IL
ER D
Ba sim Abdelnour et alli / Nov ., 2006 Allowed SE corne r of Wixom and Loon Lak e Roads to be de veloped for a commercia l use that conforms to one of three conceptual plans approved as par t of the Consent Judgment - Allowed uses are limited to medical office, daycare and a bank or a combina tion with additiona l limitations on gross bldg. floor a rea and bldg. height. Zoning remains RA-1 until rezoned.
8
Scale: 1 inch= 2,750 feet
156
20
Hick ory Hills Gilbert C. Willis Golf Course Park
Mobile Home Park
COMMERCE TOWNSHIP
LOON LA KE ROAD
D
WIXOM R OAD
A RO
32 E MA P L
2
8
BECK R OAD
31
POTT ER ROAD
R O AD
V
LEGEND Residential
COMMERCE TOWNSHIP
MILFORD TOWNSHIP
KE
E
5
Gallager Lake
MAPLE R OAD
Twi n Sun Lake
LA
CHA RMS ROAD
28
ON
Loon Lake
Wixom Habitat Park
4 3
29
LO
30
M
Vac ant
Gunnar Mettala Park
S
(2. 5 t o 4 .9 Ac re s)
Singl e - F amil y
(1 to 2.4 Acre s)
Singl e - F amil y
(14 ,0 00 to 43, 55 9 sq . f t.)
Singl e - F amil y
(8, 00 0 to 1 3,9 99 sq. ft. )
Singl e - F amil y
(Le ss T h an 8,0 00 sq . ft .)
Singl e - F amil y
(M or e th an on e unit pe r par ce l)
1 6 7
Com me rc ial/ Of fic e Indus trial
PONT IAC T R AIL
Ut ili ty
Public
BECK R OAD
10
5
6
(5 to 9.9 Acre s)
Singl e - F amil y
Non - Residential
PONT IAC T R AIL
9
(10 Acr es or Gr ea ter )
Singl e - F amil y
Mult i - Fam ily
E 5
Singl e - F amil y
Pu blic Pa rks / Preservati on Land
4
1 2 3 4 5 6 7 8 9 10
Ci vi c Center Cem eta ry Depart ment of P ublic Works Sewage Treatm ent P lant Fire S ta tion Poli ce St ati on Library Wire/Ti ff in Hous e Gibs on His t ori cal P ark Hi st oric S ite (Muns haw Hou se)
Schools
CITY OF NOVI
LYON TOWNSHIP
0
I-96
7 GR A
ND
8
R IV
ER
AVE
.
Voc ati onal
9
¦ ¨ §
Nov ember 8, 2010 Oct ober 12, 2010
Hi gh S c hool
V
TWEL VE MIL E ROAD
EXISTING LAND USE Bas e Map Current as of:
Middle S chool
S
I-96
CITY OF NOVI
Map I ss ue Dat e:
Elem entary
M
BECK R OAD
¦ ¨ §
WIXOM R OAD
WEST ROAD
Propos ed
E
CITY OF WIXOM, MICHIGAN
8
Scale: 1 inch= 2,750 feet
157
G LE N G A R Y R D
G LE N G ARY R D
HICKORY HILL S GOLF COURS E
GIL BERT C. WILLIS PARK
BU RG AN ST
CY CT
CT
ERS ED GE
GRAM ER
R
RY S TO NE
CL A I R C I
ER C
H T RL
W AT
F AI R F I
O G IE DR
T
CH AN T I
W BR OO I D DG E CT
R EE K
Y O RI C K P ATH
COMMERCE T OWNSHIP
M ETTA L A
GUN NAR ME TT AL A PARK
DR
AZTE C
XB
CT
U R Y RUN
TEA NE CK CIR
WAL LED LAKE WES TE RN HIGH SCHOOL
TRAIL PONTIAC CIVIC CENTER - INSET CITY HALL
BECK RD
BR ISTO L SQ
CH IEF L N
PAW NE E D R
IO RDR
NA
WIEN O NA CT
WEN O NA
NO
TA
AR M
AC K DR
COMM UNI TY CENT ER / LIBRARY
PONT IAC TRAIL
THO R NW O OD
W
WAL N U T
D
CS X
PO LICE DEP T.
RA
IL R
TAM A RA CK DR
BECK RD
BEE CH WO O D
AN DE RS EN CT
CS X LINCOLN YARD
AD
MAJ OR ROADS STREETS RAILROAD
R CA
WIXOM CITY LIMITS
BECK RD
WIXOM RD
M AR TIN D R
O
INTERSTATES CA RTIE R
TI ERCT
CE NTU R Y D R
SH AFE R D R
HIC KO R Y D R
R
E
WIL L O W
(S EE I N SET )
T A M AR A CK DR
FER NW O OD
WO O DL A ND DR
N ER I
BE C K
AG M CT W
ANDO VER D R AN DO VE RC AN T DO VE R D R
PL A
F
MA P LE
M F
E
VE
RO
BECK RD
PL
K P AT H
N E YKL E CT
N OR
O RE S C
GATE CT
FO X HO L LO W
OTC VOCATIONAL SCHOOL
C
PH EA SA N
M APL E N AT U
RI
W M APL E RD
APA CH E T R
DG
IX (P O M R O R D P O BY -P S A S ED S )
T
TEA NE CK CIR
HO
B
BR AN CH CT INS DR PK
P AL M E R C T
T
L AK ES I D E C T CT E CR E S
N
IE V
K R
PA
WIN DIN G WAY
K
C
LOON L AKE ELE ME NTARY SCHOOL
CT IR R ER ME AT H WE STONE -
CT
EE
H
NATUR ESCO VE
CR
ER
C KI ANN T
NE D R
HE D
R K D
RT ON
ST
EE
B
PO TTE R
CA L PER N IA
NO
HO P
D
A N T I CL A IR C IR CH
O
T OR EP NN KE
O
TWI N SUN LAKES
N
CR
W
-
E GL
RD
BIS ER
B
AM
R O IA R WO
CT EN ED O K O BR
M IL L STR EA M DR
S
N B E R RY CT
KE
MILF ORD TOWNSH IP
G NIN
LA
L ID GE N
A CR
U TH
KE S
N
W
O
ON LO
O
D
RIK KI AN N
IK
PI
R AR
PONT IAC TRAIL
CIVIC CE NTE R
N LA
O CH
W
L
W
COMMERCE T OWNSHIP
EVO N A D R
D
T DR TNU
TR
HE
W
POS T OFFICE ST O
WAINSTO CK ST
QU AL L A DR
BR UC E
CR EY TS D R
ER
CH ES
AC
N SU
O
T
WE
IND IAN TR L
RE NTO N DR
CHAM BER S DR
EK
ES
SIL VE R M A PL E DR
WAR R IOR D R
JOH ANN A WA RE
RE
CT
L E RD W M AP
WIXOM RD
KC
O
E ST
R
OL A NT A AVE EU NA DR
LD A V E
AK
WI L D ROS E
R O
M A
HO SU C
APP
C H AM B E R S
D M R
OA KC RE EK
CE NTU R Y D R
OA OA KC RE EK CT
R
A I
W IXO
CE NTU R Y D R
NO
K E E R HIST ORICAL GIBS ON PARK
F O RE S T E
WIXOM BAPT IST CHURCH
PONT IAC TRAIL
C
BAL S AM C T
CR
GS
KIN
PO TTE R R D
WIXOM CHRIST IAN SCHOOL
WIXOM RD
MACK PARK
N TO
AR BO R A VE
L ON LO
BEE CH N UT D R
FAW N D R
L N
L AN DR O W
FIRE HOUSE NO. 2
CH ICK ASA W S T
ST
W M APL E RD
DR
C
YO
R
THE O DO R E
WIXOM ELE ME NTARY SCHOOL
CE NTU R Y C T
S
R
CT
RE DM A PL E L N
N SH AD Y M AP L E D R RE D M A PL E L
WIXOM RD
WO O D
CT
SA
WIR E HOU SE
M APL E
N
SIBL E Y C T
W M APL E RD
B
O
OT TER CT
T RU N AN R D
WIXOM CE ME TE RY
BE RR Y C T
D
SO
BL U E H ER ON L N
T
HE DIG H AM
BEN N ING TO N
TH IM BL E -
TWI
IP
CA STL E WO O D C T
L EY C T S
H A
TO
E
FO R EST BA Y
T
R
M
CA STL E WO O D
KI N G
P
EU NA DR
AV E L YO NIA
MA
A
M UL B ER RY CT
HA
RY ST
GR E BR E N IA R C T
ST C HA RL E S P L
CT
IG
WR EN ST
PH E
PH EAS AN T R UN C T
WE S
DR
B EN
N
M
S
PO TTE R R D
P HE A
AM G TO
EA
NA L ON E A VE
NA L ON E A VE
ST
TH
HICKORY HILL S GOLF COURS E
TR IL IU M
RU N EA ST D R SAN T
WH ITE TR L
E
W M APL E RD
IN
TR
H
FL AM IN G O S T
RU N W
FL AM IN G O S T
T
NIGH TIN GAL E R D
DOVE
PO TTE R R D
BLA CK LO CUS T D R
WIXOM RD
TV I E W ES R VD BL
BL VD
VIXE N C T
M
VAR SIT Y C T
SHEWBIR D RD
C
E
O ID
AR
R
GR O US E S T
MO RNIN G-
L
GALLAGER LAK E
SH AD OW L N
PONT IAC TRAIL
M
ST
ER
NIG H TING AL E
TR A I
PI
ID
NS A
MO RNIN GDOVE RD
T
TRA IL SID E B L VD
W C
BEL L C O NE Y S T
PO ND
IE
S
LS
OR
FAIR BU
PAR TR IDG E DR
NOR TON K B LV D K C T CREE
V
M IL
W
L AKE RID G E R D
L OO N
BROO KSIDE CT
FIRE ST AT ION NO. 1
R
DR
HA ZEL A VE
WIXOM RD
CR E NOR TON
DPW & SE WAGE TREAT ME NT F ACILIT Y
N
A
FF S I DE D R
RO YA L TO N S T
LI
R
HIC KO R Y HIL L A VE
D
SE
RO
LOON LAKE
E
LS T
KE RD
L AM EL L A ST
ER
HO PK INS DR
EK
M IL
N LA
ME D IN
M
C
DR. SARAH BANKS MIDDLE S CHO OL
CHARMS RD
WI XOM HA BITA T
HO PK INS DR
D
WIXOM RD
SU M M IT
BAR BE RR Y C IR
PO N D V I E W D R
NO RTON CRE
R
R
HIL L C RE ST S T
BR EN TWO O D
M S
YC I
WIN DIN G WAY
R
RR
RA INTR EE
GR AS M ER E L N
D OR
WEY HIL L D R
A
S M ER E L N
WE
RA
XF
CH
BAY WO O D
DR
GL A NDO R E C T
BR AN CH DR
E
B
IN E
G
B AR
R
ON GD H U N TI N
AV
D
WO O DVIEW DR
R
N
RO TH BU RY DR
S
WIL L O WIC KE DR
M
DO WN H AM D R
DE VO NS HIR E D R
GT O
N
AR
CO R T RA N C
L OO
L PA
DE VO NS HIR E D R
DO VE R D R
W AR R
CHARMS RD
I
CH
LOON L AKE RD L OO N L AK E
L OO N L AK E CO R RA N D R
OR L AN D ST
COMMERCE T OWNSHIP DE L PH INE
FRA NK
WIX OM T E C H DR
RY AN CT
AN THO N Y
WES T TE CH DR
WEST RD
WEST RD
L OR IE L N
WIXOM RD
DO WN IN G
L IB
ER
BECK RD
ER
RD
L VD
DR
GRA N
B
DR
IV E
RA
R C T WE
DR
¦ ¨ § 96
SAM S WA Y
PR OG R ES S D R
VE
H EL
W OO D D R C E U
R
L IBER TY DR
EN TER PR ISE DR
HA
M EIJ ER S
D O
O OD DR
R
ME IJER
L F E R B L VD
FE
D
TO
CE NT E R OA KS CT
O
PIN EWO O D DR
TWEL VE M ILE RD
E
A
BECK RD
W
M EA D O W
H
SP R
PH
AL P
WIXOM RD
RI V
O
GR AN D NA PIER D R
NA PIER R D
M E AD
KS CT
OA
VE
D OA
RA
AL
GR AN
IV E
K LA N D O AK S
CL O VE R C T
DR
DR
AL PH A C T
96
GR AN
TY
L IBER TY DR
WAL L
¦ ¨ §
M AG EL L A N
AN NA CT
AVA NT E D R
AL PH A D R
CITY OF NOVI
BECK RD
L OR IE L N
WAL L
LYON TOWNSHIP
WEST RD
TWEL VE M ILE RD
TWEL VE M ILE RD
TWEL VE M ILE RD
CITY OF NOVI
COMMUNITY FACILITIES Map I ss ue Dat e:
Nov ember 8, 2010
Bas e Map Current as of: Oct ober 12, 2010
CITY OF WIXOM, MICHIGAN
8
Scale: 1 inch= 2,750 feet
158
Gi lbe rt Wil li s Park
COMM ER CE T OWN SH IP CHARM S RD
LO O
ER D
R
N ON
A
OO LLO
WIX OM RD
CH
A
N L AK
* Hick ory Hi lls Golf Co urse
M
K AA LL
S R D
E KR E
Loo n La ke
DD ORA
Twin S un Lak e
CHARM S RD
MIL FOR D TOW NSH IP
LO O
N L AK
Wi xom Ha bi ta t Park
E MAP LE RD
W M AP
LE R D
Gu nn ar Mettala Park
W M AP LE RD
C WIX OM RD
COMM ER CE T OWN SH IP
BE CK RD
WIX OM RD
Gall ager Lak e
ER D
IP17 PONTI AC T RAI L
BE CK RD
D
IC04
PONTI AC T RAI L
C
E
IP11
IP10
IC03 WIX OM RD
BE CK RD
B
IP13
IP07
F
IP01 IP03
M
WES T RD
WES T RD
L
IP11 IP05
IC05 (Proposed)
IP02
WIX OM RD
G
¦ ¨ §
IP04
I-9 6
H GR
AN D
IC01
TWEL VE M IL E RD
R IV
ER A VE
J
WIX OM RD
I
IP15
K
IP16
T W EL V
¦ ¨ § I-9 6
CIT Y OF NOV I
BE CK RD
IC02
IP14
IP08
IP11
CIT Y OF NOV I
LYON T OWN SH IP
IP09
E
M
IL E
RD
COMMERCIAL / INDUSTRIAL LAND ZONES Map Issue Date: Base Map Current as of:
Novermber 8, 2010 October 12, 2010
General Market Areas CITY OF WIXOM, MICHIGAN
8
Scale: 1 inch= 2,750 feet
159
Gi lb er t Wi ll is Park
COMMERCE TOWNSHIP NL
AK
ER D
H
O LO
WIX O M RD
C A S M
NL
R D
AK
R
Lo on La ke
ER D
Twin S un Lake
CHARMS RD
MILFORD TOWNSHIP
LO O
NL
AK
Wixo m H ab itat Park
BECK RD
WIX O M RD D P LE R
Gu n na r Me tta la Park
W MAPLE RD
WIX O M RD
IP17 PONTIAC TRAIL
PONTIAC TRAIL
IP10
BECK RD
IC04
*IP01
Martin Industrial Park
17.54
*IP02
Wixom Industrial Park
37.70
*IP03
Bruce Industrial Park
41.50
*IP04
Wixom Business Center
49.53
*IP05
Beck-Tec Industrial Park
18.14
*IP06
Avante Industrial Park
13.08
*IP07
Schonsheck Development Condominium
*IP08
Grand Oak Commerce Center
*IP09
Wixom West Technology Centre
*IP10
Century Industrial Park
6.98 38.00 31.17 129.79
IP11
Beck West Corporate Park
22.54
*IP12
Oak Creek Corporate Center
53.44
*IP13
Beck-North Corporate Park
34.32
*IP14
Alpha-Tech Corporate Park
75.62
*IP15
Beck Business Center
26.94
*IP16
Enterprise Business Park Site Condominium Dennis Industrial Site Condominium
IP11 IC03 WIX O M RD
IP13
IP07
BECK RD
IP01 IP03
*IP17
6.75 16.58
Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres Acres
E M APL E RD
W MA
INDUSTRIAL PARKS / SITE CONDOMINIUMS
COMMERCE TOWNSHIP
Gal lag er Lake
ER D
5 Sites 26 Lots* 14 Sites 26 Lots 16 Lots 4 Sites 5 Units 40 Lots 15 Units 34 Units 11 Units 17 Lots 13 Sites 37 Units 10
MultiTenant Bldgs.
CHARMS RD
LO O
* Hi cko ry H ill s Go lf Co ur se
3 Units 9 Units
*IP18
WEST RD
AN
D R IV
ER
A VE
WIX O M RD
GR
TWELVE MILE RD Ro ad & U tilities in bu t p lat h as n ot been recor ded
¦ ¨ § I-96
CITY OF NOVI
TW EL VE M IL E R O AD
2.74
*IC04
Varsity Technology Center Condominium
4.08
2 Units
*IC05
Pinnacle Business Park (Proposed) Condominiums
3.79
18 Units
E
M
IL
E
August 16, 2010
Base Map Current as of:
August 10, 2010
Industrial Parks/Site Condominiums/Condominium Projects CITY OF WIXOM, MICHIGAN
10.27
4 Units 24 Units 2 Units
RD
COMMERCIAL / I NDUSTRIAL LAND ZONES Map Issue Date:
6.22
IP16
T W EL V
Prop os ed
*
BECK RD
IC02
IP14 IP15
IC01
Quadrants Professsional Office & Research Centre Condominium
Acres
IP04
IP11 *
Crossroads Business Center Condominium
*IC03
IP06
I-96
IP08
*IC02
Acres
WIX O M RD
¦ ¨ §
IC05 (P ro po sed)
Grand Oaks Park Condominium
Acres
IP05 IP02
INDUSTRIAL CONDOMINIUMS *IC01
Acres
IP11
CITY OF NOVI
WEST RD
Acres
LYON TOWNSHIP
IP09
8
Scale: 1 inch= 2,750 feet
160
Hi cko ry Hi ll s Go lf C ou rse
Gi lb er t Wi ll is Park
COMMERCE TOWNSHIP CHARMS RD
LO O
NL
AK
ER D
*S29
H
O LO
C
WIX O M RD
*S29
A S M
NL
R D
*S29
AK
R
Lo on La ke
ER D
Twin S un Lake
CHARMS RD
*S32 MILFORD TOWNSHIP
LO O
NL
AK
Wixo m H ab itat Park
WIX O M RD
*S32 BECK RD
D P LE R
*S32
W MAPLE RD
Gu n na r Me tta la Park
*S31 WIX O M RD
Miscellaneous Utility BECK RD
SP01
PONTIAC TRAIL
WIX O M RD
SP01 BECK RD
SP01
LYON TOWNSHIP
Wixom City Limits
*S32 SP01
PONTIAC TRAIL
LEGEND
WEST RD
CITY OF NOVI
E M APL E RD
W MA
COMMERCE TOWNSHIP
Gal lag er Lake
ER D
WEST RD
SP01
WIX O M RD
¦ ¨ § I-96
BECK RD
GR
AN
D R IV
ER
A VE
WIX O M RD
SP01
SP01
TWELVE MILE RD
TW E L VE
¦ ¨ § I-96
CITY OF NOVI
M
IL
E
RD
COMMERCIAL / INDUSTRIAL LAND ZONES Map Issue D ate: Base Map Current as of:
November 8, 2010 October 12, 2010
Utility and Miscellaneous Comm./Indus. Properties CITY OF WIXOM, MICHIGAN
8
Scale: 1 inch= 2,750 feet
161
20
Commerc e Tow ns hip
Gilbert C. WillisHic kory Hills Golf Course Park
Mobile Home Park
LOON LA KE ROAD
H !
1,027
29
POTT ER ROAD
4,845
32 E MA P L
H ! 20,113
BECK R OAD
H !
1,668
1,899
! H H ! Gunnar Mettala
R O AD
H !
Park
PONT IAC T R AIL
2,775 10,324
Act 51 Road Classification St ate Trunk line Cou nty P rim ary
9,453
15,997
13,072
Commerce T ow ns hip
WIXOM R OAD
D
Major St reets Local S treet s
! H H !
PONT IAC T R AIL
. ! #,###
BECK R OAD
Milford Township
A RO
31
KE
18,340
Twin Sun Lake
LA
Gallager Lake
MAPLE R OAD
ON
21,540 Wixom Habitat Park
28
LO
30
Loon Lake CH ARMS ROAD
11,109
I-96
7
WEST ROAD
9
8
28,067
GR A
22,479 ND
R IV
ER
AVE
4 City of N ov i
5
Av erage Dai ly Traf fic Counts
BECK R OAD
¦ ¨ §
30,539
WIXOM R OAD
Ly on Township
6
Traff ic Count I nters ec tio n
¦ ¨ §
.
11,995
I-96
H !
TWEL VE MIL E ROAD
City of N ov i
TRANSPORTATION CONDITIONS Map I ss ue Dat e:
Nov ember 8, 2010
Bas e M ap Current as of : Oct ober 12, 2010
CITY OF WIXOM, MICHIGAN
8
Scale: 1 inch= 2,750 feet
162
20
Commerc e Tow ns hip
Hic kory Hills Gilbert C. Willis Golf Course Park
Mobile Home Park
WIXOM R OAD
D
32 MA P L
2
8
BECK R OAD
POTT ER ROAD
D E R OA
a il
R
Non - Residential VCA
S
Loc al Bu sin es s Fre ew ay Se rvi ce In du stria l Serv ice
1 6 7
Lig ht Ind ustria l
PONT IAC T R AIL
He avy Ind ustri al Util ity
BECK R OAD
5
Public
4 City of N ov i
Ly on Township
In du stria l Re sea rch Office
10
PONT IAC T R AIL
WEST ROAD
Public Parks / Preservation Land
1 2 3 4 5 6 7 8 9 10
WIXOM R OAD ND
9
8 BECK R OAD
7 R IV
ER
AVE
Civ ic Ce nte r Ce metar y De par tm ent of Pu bli c Works Sew ag e Trea tm en t Pl an t Fi re Stati on Pol ice Sta ti on Lib rar y Wi re/Tiffin H ou se Gi bso n H istori c Park His to ric Si te (Mun sh aw H ou se)
Schools
0
GR A
( 7,200 s q.ft ) ( 9 units /ac re) Approx . (12 units /ac re) Approx .
Co mmun ity Bu sin ess
6
I-96
(12,500 s q.ft )
Mul ti - Fa mil y
/W
9
¦ ¨ §
(15,000 s q.ft )
Sin gle - Fa mil y
Mul ti - Fa mil y
E 5
Sin gle - Fa mil y
Sin gle - Fa mil y
Gunnar Mettala Park
R /W Ra il Coe
R
Residential
V Commerce T ow ns hip
Milford Township
A RO
X
KE
31 CS
E
5
Gallager Lake
MAPLE R OAD
Twin Sun Lake
LA
CH ARMS ROAD
28
ON
Loon Lake
Wixom Habitat Park
4 3
29
M
LO
30
LOON LA KE ROAD
Prop ose d
E
Ele men ta ry
M
Mid dle Scho ol
S
Hig h Sch oo l
V
Voca tion al
Existing & Proposed Thorofares
¦ ¨ §
Sta te Truck lin e
(250' R. O.W.)
Co unty Pri mar y
(120' R. O.W.)
Co unty L oca l
( 96' R.O. W.)
City Ma jo r
( 60'-100' R.O. W.)
City L oca l
( 60' R.O. W.)
Prop ose d R oa d
¦ ¨ §
.
I-96
TWEL VE MIL E ROAD
City of N ov i
Map I ss ue Dat e: Bas e Map Current as of:
Nov ember 8, 2010 Oct ober 12, 2010
FUTURE LAND USE CITY OF WIXOM, MICHIGAN
8
Scale: 1 inch= 2,750 feet
163
A
B
C
D
E
F
G
1
H
I
GL ENG ARY R D
HICKORYHILLS GOLF COURSE
s
R
YOR ICK PATH
EVON A
RS
ED
GE
GRA ME RCY C T
WAT E C IR
C IR CHAN TICL AIR TEANEC K CIR
CHAN TICL AIR
CT NE NATUR ES CO VE
CT
ROX BUR Y R UN
TEANEC K CIR
BECK RD
YOR ICK PATH
DR
BRISTO L SQ
R
PA WNEE D R
IO RR
WENO NA
DR
AZTEC
WA RRIO R DR
LEGEND Wixom City Limits DDA District Parks Ford Motor Co. Waterbody Interstate Major Road
APACH E TRL
PONT IAC T RL
A5
Street Railroad
THOR NWO OD ST FERNW OO D ST
WIL L O W ST
A6 HICKO RY ST
WA LN UT ST
BEECH WOO D ST
ASH ST
A7
STON E RIDG E DR
IX O M
LA KEVIEW BL VD
A1
WIL D WOO D ST
ñ Æ c ( ^
A3
A4
WOO DL AND ST
CENTE R BL VD
A2
BECK RD
æ
IN DIAN TR L
CHAM BE RS W
JO HAN NA WARE W
CHAM BE RS ST
FOX H OL L OW
º ¹
School
ñ
City Hall
^ (
Dept. of Pulic Safety
z
Dept. of Pulic Services
c Æ
Library
BECK RD
TAM AR ACK S T
s ï
SHAFER CT ANDE RSEN CT
CARTIER CT
CARTIER
µ ²
MAR TIN DR
11
ER
STON EGATE C T
COMMERC E TOWNSHIP
D
PINE DR
E
METTAL A L N
EL M C T
N
CHIEF L N
WRIGH T ST
WA
EA
NATUR ES CO VE
BASS WO OD LN
TRL
RYST O
DR K CR EE
WOO DBR IDGE LN POTTER
CAL PER NIA
FAWN DR WIL D RO S E
REDM AP LE L N SHAD Y MA PL E DR
C10
T
CHER
CT ID GE DB R OO W
DR
AN DO VE R
CT VE R
ANDO VER DR AN DO
FLA MIN GO ST
WHITE TRL
BEECH NU T D R
BL ACK L O CUST D R
ST CHAR L ES PL
LE RD
PI
WENO NA CT
SW
S WIXOM RD
QUA LL A D R
BOG IE DR
CREY TS DR
BRUC E
ARBO R AVE
ROS EWOR TH ST
ORL AN D ST
TROM BL
HAZEL AVE
CHIC KASAW
ROYA LTO N ST
HICKO RY H IL L AVE
DR A OS IP
MA R
WREN S T
MAR IPOS A DR
FLA MIN GO
NIGH TING AL E RD
MO RN IN GD OVE
NIGH TING AL E
MO RN IN GD OVE
BEL L C ON EY ST
TRAIL SIDE B LVD
VI RK
PHEAS ANT RU N WEST
C11
W M AP
TH
RIW
RIKKI ANN CT T
C
O NA W EN
RD
DUR R DR
R
LE ES R AP M CT FO K LE LE S UC EY AP M
OAK C REEK DR
CENTU RY DR
CENTU RY DR
PA
SIBL EY CT
N WI XO M RD
DENN IS CT OAKC REE K DR
CENTU RY DR
CRES TVIEW BLVD
N WI XO M RD HAM PTON CT
MAP LE WOO D L N
HEDIG HAM
MIL L STRE AM D R
NISSEN CT LA NDR OW D R
LA MEL L A ST
R D
MED INA DR
DR
PA LM ER CT
PA LM ER
WIN DING WAY
BAYWOO D
N WI XO M RD
LA KESIDE CT
MIL FORD TOWNSHIP E MA PL E RD
D
C9
R ME CT
T TC OR EP NN KE
TH TR MAP LE NOR
DR
C16
N
T
LE
ES
G
R
GS
VA RSITY CT
FO
R
º ¹
CT
R
10
HO N
HE APAC
WA INSTO CK ST
OM RD
CENTU RY CT
OTTER CT
DDADISTRICT
PONT IAC T RL
IX OLD W
9
REDM AP LE L N
VIXEN C T MU LB ERRY C T
C12 RIKKI ANN
C13
KD AC
µ ²
D
POTTER RD
BAL SAM CT
BL UE HU RO N L N
THEO DO RE E
N
OO
AR
FIRE STATION NO. 2
PONT IAC T RL
RENT O
RW
TAM
8
ST E
BR IA
CT
æ
º ¹
NIN
THEO DO RE ST
W
KING SL EY CT
HO P
ER B D AM OO W
R
W M APLE RD
CT
BIS
D
SHAD OW L N
R
RY
K
ï
IA
R BE
EE
BENN INGTO N
PHEAS ANT RUN CT
R Y CT THIMB L EBER
AN CR
CR TH
CASTL EWO OD
CASTL EWO OD DR
G KIN
TWIN SUN LAKES
T
T
DIG HE
PHEAS ANT RU N EAS T D R
DR TNUT CHES
BENN INGTO N
AM
CT
EN BR
C
E TR
LS
POTTER RD
GR E
TOK CO BKR NO REO EBD
MIL
R
TERRA C T
TR IL IU M
EN ED
D
SHEWB IR D RD
RU N PHEAS ANT
D
M HA
LV
POTTER RD
SER D R
U SO
T
AM
T
GRO US E ST
MAG AN
C
D
C
TR E
C
B
DR
N
R
W VIE
GALL AGER LAKE
SID E
R SE
W
E
D
TR AIL
AN
O CR
K
N PO
µ ²
G MA
S
A
N T O CT R K NO EE CR
z
LS
TWIN SUN LAKES
L
ID E
NOR TON D CREE K BLV
FIRE STATION NO. 1
CAM ERO N C T
7
CT
DPW &SEWER TREATMENT FACILITY
MIL
LYO NIA RD
O CH
PA RTRID GE D R
BRO OKS
E OL AN TA AVE
FA IR FIEL D AVE
LYO NIA AVE
N O LO
4
6
ST
E NAL O NE AVE
E EUN AD R
W E UNA D R
FORE ST BAY CT LO ON DR
PINEC RES T CT EW C T
D
LOON L AKE
º ¹
CHARM S RD
5
Y FA IR BUR
PON D VIEW D R
R
BREN TWOO D
S
W N AL ON E AVE
T
HS
D
M
T OR
ER
R
W SE RO
AK
A
ER D
LA KERID GE R D
HOP KINS D R
WEYHIL L DR
W
CH
RD EXFO
WIN DING WAY
R
SUM MIT
KENTO N RAINTR EE
GRA SM ERE L N
CL IF
BARBE RRY C IR
GL AND OR E CT
AK
L ON LO
D
HUN TINGD ON
DR IN E
ROTH BUR Y DR
N RA V
WIL L O WICKER DR
O GT S
DEVO NSH IRE DR
IN RR
3
M
HIL L C REST ST
LOO NL
FS ID E
BRAN CH D R
BRAN CH C T
WOO DVIEW D R
DOW NHAM DR
DOV ER DR
DEVO NSH IRE DR
LO ON L AKE RD COR RAN CT
COR RAN DR
WA CH AR
HOP KINS D R
LOON L AKE RD DEL PHIN E
BURG AN S T
WO O DB I N ECT
2
EY L N
COMMERC E TOWNSHIP
Golf Course Cemetary Fire Station
æ
Chruch
A#
Apartment
C#
Condominium
TIT AN CT
WIX OM TECH DR FRANK
WEST RD
FORDMOTOR CO. WIXOM ASSEMBLY PLANT
ANNA C T
DOW NING
IC #
Commercial Industrial Condominium Project
IP#
Industrial Park
Num be r r ef ers to nu mb er on ind ex
BECK RD
LO RIE L N
MAG EL L AN
13
AVA NTE DR
LI B
E
RT Y
DR
LIBE RTY DR
AL PHA DR AL PHA CT
¦ ¨ §
LIBE RTY DR
Base M ap C urre nt a s o f: Oc to be r 1 2, 2 01 0
CT TO W
ER R
D LV B
FE R
Cp15
GRA N
DR
MEIJ ER S
IVE R
AV E
S WIXOM RD
RD
HEL FER B LVD
W 1 2 M ILE RD
RI VE
HEL FER
C14
HE L
PINEWO OD DR
GRA ND N APIER D R
W 1 2 M ILE RD
A8
D DR
NAPIER RD
ENTER PRISE C T
PH AD R
BECK RD
MEA DO WOO
GRA ND N APIER R D
AL
T AKS C
AV E
CENTE R OA KS CT
IVE R
SPRU CEWO OD DR
CL OVE R CT
DR
O GRA ND
GRA N
OAKL AN D O AKS CT
I-96
14
15
CIT Y OF NOVI
WEST RD
WA LL
S WIXOM RD
WEST TECH DR
ANTHO NY
RYAN C T
LYON TOW NSHIP
12
Cp# Co-operative Housing
¦ ¨ §
SAM S WAY
I-96
PRO GR ESS DR
W1
2M
ILE RD
W 1 2 M ILE RD
CIT Y OF NOVI
S TREET MAP C I TY OF W I X O M , M I C H I G A N
Scale: 1 inch= 2,537 feet
8 164
A ALPHA CT ..................................................................................................................E13 ALPHA DR ...................................................................................................D13:E14:F14 AMBERWOOD DR...................................................................................................... H4 ANDERSEN CT ................................................................................................. G10:H10 ANDOVER CT ............................................................................................................. G5 ANDOVER DR....................................................................................................... G4:G5 ANNA CT ................................................................................................................... G13 ANTHONY DR .................................................................................................. G11:G12 APPACHE TRL ....................................................................................................... F8:G8 ARBOR AVE................................................................................................................. G2 ASH ST ........................................................................................................................... F9 AVANTE DR ...................................................................................................... G13:H13 AZTEC DR........................................................................................................G8:H7:H8 B BALSAM CT................................................................................................................. G5 BARBERRY CIR ..................................................................................................... C2:D2 BASS WOOD LN .................................................................................................... F7:G7 BAYWOOD DR.......................................................................................................C2:C3 BECK RD.............................................H5:H6:H7:H8:H9:H10:H11:H12:H13:H14:H15 BEECHNUT DR ..................................................................................................... G5:G6 BEECHWOOD ST................................................................................................ G9:G10 BELL CONEY ...........................................................................................................E4:E5 BENNINGTON DR ................................................................................................ B6:C6 BISHOPS TER...........................................................................................................H4:I4 BLACK LOCUST DR....................................................................................................E5 BLUE HERON LN .................................................................................................. F6:G6 BOGIE DR...............................................................................................................H2:H3 BRANCH CT .................................................................................................................E2 BRANCH DR.................................................................................................................E2 BRENTWOOD DR........................................................................................................C3 BRIARWOOD CT ............................................................................................G5:H4:H5 BRISTOL SQ ................................................................................................................. H8 BROOKSIDE CT........................................................................................................... D4 BRUCE........................................................................................................................... H3 BURGAN ...................................................................................................................... G2 C CALPERNIA .......................................................................................................... G5:G6 CAMERON CT............................................................................................................. A6 CARTIER DR.............................................................................................................. H10 CARTIER CT .............................................................................................................. H10 CASTLEWOOD DR..................................................................................................... D6 CASTLEWOOD DR......................................................................................................C6 CENTER BLVD .............................................................................................................E8 CENTER OAKS CT..............................................................................................B14:B15 CENTURY CT .........................................................................................................A9:B9 CENTURY DR .................................................................................................. B8:B9:B10 CHAMBERS ST .............................................................................................................E8 CHAMBERS W .............................................................................................................E8 CHANTICLAIR CIR..................................................................................................I4:I5 CHARMS RD......................................................................................... A2:A3:B3:C3:D3 CHARMS RAVINE DR ............................................................................................... A3 CHERRYSTONE CT ...................................................................................................... I4 CHESTNUT DR ........................................................................................................... G6 CHICKASAW............................................................................................................... G2 CHIEF LN ............................................................................................................... G7:G8 CHOWNINGS GLEN DR ............................................................................................. I4 CLIFFSIDE DR ................................................................................................... E2:E3:F3 CLOVER CT ............................................................................................................... A14 CORRAN CT .................................................................................................................C2 CORRAN DR.................................................................................................................B2 CRANBERRY CT ......................................................................................................... H4 CREEK DR .............................................................................................................. G4:H4 CRESTVIEW BLVD ......................................................................................................E5 CREYTS......................................................................................................................... H3 D DELPHINE DR........................................................................................................A2:B2 DENNIS CT ...................................................................................................................C8 DEVONSHIRE DR............................................................................................A2:A3:B2 DOVER DR ............................................................................................................. A2:A3 DOWNHAM DR......................................................................................................B2:B3 DOWNING ST .....................................................................................................E13:F13 DURR DR.................................................................................................................C8:C9 E EDENBROOK CT ........................................................................................................ G5 ELM CT ......................................................................................................................... G6 ENTERPRISE CT........................................................................................................ H14 (E) EUNA ...................................................................................................................... H2 (W) EUNA .................................................................................................................... H2 EVONA ..................................................................................................................H2:H3 F FAIRBURY.............................................................................................................. G3:H3 FAIRFIELD AVE....................................................................................................H2:H3 FAWN DR................................................................................................................. F5:F6 FERNWOOD ST........................................................................................................... G9 FLAMINGO.............................................................................................................. F4:F5 FOREST BAY CT.................................................................................................... G3:G4 FOX HOLLOW CT ........................................................................................................ I5 FRANK ST ................................................................................................................... F11 G GLANDORE CT............................................................................................................C3 GLENGARY RD............................................................................................F1:G1:H1:I1 GRAMERCY CT............................................................................................................. I4 GRAND NAPIER DR ................................................................................................ A15 GRAND NAPIER RD ................................................................................................ A15 GRAND OAKS CT .............................................................................................C14:C15 GRAND RIVER AVE........................................................... A14:B14:B15:C15:D15:E15 GRASMERE LN ........................................................................................... B2:B3:C2:C3 GREENBRIAR CT........................................................................................................ G5 GROUSE ST ..............................................................................................................E4:F4 H HAMPTON CT ................................................................................................. B7:C7:C8 HAZEL AVE................................................................................................................. G2 HEDIGHAM BLVD ................................................................................................C6:C7 HELFER BLVD.................................................................................................... B15:C15 HICKORY ST.......................................................................................................... G9:H9 HICKORY HILL AVE .................................................................................................. F2 HILLCREST ............................................................................................................. F2:G2 HONEY SUCKLE CT ................................................................................................... F6 HOPKINS DR.................................................................................................... D3:E2:E3 HUNTINGDON DR ................................................................................................B2:B3
I I-96 .......................................................................... A13:A14:B14:C14:D14:E15:F15:G15 INDIAN TRL................................................................................................................. F8 J JOHANNA WARE W ............................................................................................ D8:E8 K KENNEPORT CT........................................................................................................... I4 KENTON .......................................................................................................................C3 KINGS CROWN CT .................................................................................................... H4 KINGSLEY DR ........................................................................................................ B7:C7 L LAKERIDGE AVE .................................................................................................. F2:G2 LAKESIDE CT............................................................................................................... E4 LAKEVIEW BLVD................................................................................................... F8:F9 LAMELLA ................................................................................................................ F2:F3 LANDROW DR............................................................................................................ A8 LIBERTY DR....................................................................................................... H13:H14 LOON DR ...................................................................................................................... F4 LOON LAKE RD .............................................................. C2:D2:E2:F2:G2:G3:H4:I4:I5 LORIE LN ............................................................................................................G12:G13 LYONIA AVE......................................................................................................... G3:H3 LYONIA AVE............................................................................................................... H3 M MAGANSER DR......................................................................................................E4:F4 MAGELLAN .............................................................................................................. H13 (E) MAPLE RD ....................................................................................................... A6:A7 (W) MAPLE RD ............................................................... A7:B7:C7:D7:E6E7:F6:G6:H6 MAPLE FOREST DR .............................................................................................. F6:G6 MAPLE FOREST CT.................................................................................................... G6 MAPLE NORTH TRL.................................................................................................. H5 MAPLEWOOD LN...................................................................................................... D7 MARIPOSA DR............................................................................................................. F4 MARTIN DR............................................................................................................... D11 MEADOWOOD DR ................................................................................................... B15 MEDINA DR ............................................................................................................ F2:F3 MEIJERS...............................................................................................................C15:D15 MERRIWEATHER CT................................................................................................... I4 METTALA LN .................................................................................................. F7:G6:G7 MILLSTREAM CT ........................................................................................................C6 MILLSTREAM DR.............................................................................................B6:C6:C7 MORNINGDOVE ....................................................................................................E4:E5 MULBERRY CT............................................................................................................. E6 N (E) NALONE ................................................................................................................ H2 (W) NALONE............................................................................................................... H2 NAPIER RD ........................................................................................................ A14:A15 NATURES COVE CT .................................................................................................. H5 NIGHTINGALE RD ................................................................................................ F4:F5 NISSEN CT .................................................................................................................... B7 NORTH CREEK DR .................................................................................................... G4 NORTON CREEK BLVD ............................................................................................ D4 NORTON CREEK CT.................................................................................................. D4 O OAKCREEK DR.................................................................................................. B10:C10 OAKLAND OAKS CT................................................................................................ B14 (E) OLANTA ................................................................................................................ H2 OLD WIXOM RD................................................................................................... D8:D9 ORLAND ...................................................................................................................... G2 OTTER CT ..................................................................................................................... F6 P PALMER CT.................................................................................................................. E3 PALMER DR ............................................................................................................E2:E3 PARKVIEW CT ............................................................................................................. E5 PARTRIDGE DR ......................................................................................................E4:F4 PAWNEE DR.......................................................................................................... G7:G8 PHEASANT RUN CT................................................................................................... E6 PHEASANT RUN EAST DR ..................................................................................E5:F5 PHEASANT RUN WEST DR .................................................................................E6:E7 PINE DR........................................................................................................................ G6 PINECREST CT........................................................................................................E4:E5 PINEWOOD DR ......................................................................................................... B15 POND VIEW CT .......................................................................................................... D4 POND VIEW DR.......................................................................................................... D4 PONTIAC TRL..................................................................... A8:B8:C8:D8:E8:F8:G8:H8 POTTER ........................................................................................................................ G5 POTTER RD............................................................................................D5:E5:F5:G5:H5 PROGRESS DR........................................................................................................... H14 Q QUALLA AVE ............................................................................................................. H2 R RAINTREE CT ..............................................................................................................C3 RED MAPLE LN..................................................................................................... F6:G6 RENTON....................................................................................................................... D8 RIKKI ANN CT...................................................................................................... G6:H6 RIKKI ANN CT...................................................................................................... G6:H6 RIVER DR ............................................................................................................ B15:C15 ROSEWORTH .............................................................................................................. G2 ROTHBURY DR............................................................................................................ B3 ROXBURY RUN............................................................................................................. I5 ROYALTON .................................................................................................................. F2 RYAN CT.................................................................................................................... H12 S SAINT CHARLES PL ................................................................................................... F6 SAMS WAY ................................................................................................................ D15 SHADOW LN .............................................................................................................. A7 SHADY MAPLE DR ................................................................................................ F6:F7 SHAFER DR ............................................................................................................... D10 SHEWBIRD...............................................................................................................E5:F5 SIBLEY CT ..................................................................................................................... E7 SOUTH CREEK DR ......................................................................................... G4:H4:H5 SPRUCEWOOD DR ................................................................................................... B15 STONEGATE CT ........................................................................................................... I4 STONE RIDGE DR ........................................................................................... F8:F9:F10 SUMMIT CT ..................................................................................................................C3
T TAMARACK ST ......................................................................................... F8:G8:G9:H9 TEANECK CIR........................................................................................................... I4:I5 TERRA CT ............................................................................................................... D5:E5 (E) THEODORE ............................................................................................................D8 THEODORE ST....................................................................................................... D8:E8 THIMBLEBERRY CT.................................................................................................... E6 THORNWOOD.............................................................................................................D8 TITAN DR ........................................................................................................... D11:E11 TOWER CT.................................................................................................................. E14 TRAILSIDE BLVD .............................................................................................D4:E4:E5 TRILIUM CT .................................................................................................................G4 TROMBLEY LN ............................................................................................................G2 U V VARSITY CT ............................................................................................................... B10 VIXEN CT................................................................................................................. E6:F6 W W 12 MILE RD .................................................................................... A15:B15:C15:H15 WAINSTOCK.......................................................................................................... D9:E9 WALL ST .......................................................................................................E12:E13:E14 WALNUT ST........................................................................................................... F9:G9 WARRINGTON DR ...............................................................................................A2:A3 WARRIOR DR .................................................................................................. F8:G7:G8 WATERS EDGE CT....................................................................................................... I4 WENONA CT .............................................................................................................. H7 WENONA DR.............................................................................................................. H7 WEST RD ...................................................................................... D12:E12:F12:G12:H12 WEST TECH DR ..................................................................................................E11:E12 WEXFORD DR.............................................................................................................. B3 WEYHILL DR ...............................................................................................................C3 WHITE TRL.............................................................................................................. F5:F6 WILD ROSE CT ............................................................................................................ F6 WILDWOOD ST ...................................................................................................... F8:F9 WILLOW ST............................................................................................................ F9:G9 WILLOWICKER DR................................................................................................B2:B3 WINDINGWAY DR ............................................................................................... C2:C3 (N) WIXOM RD ....................................................................... D2:D3:D4:D5:D6:D7:D8 (S) WIXOM RD .......................................................D8:D9:D10:D11:D12:D13:D14:D15 WIXOM TECH DR ............................................................................................. D11:E11 WOODBINE CT............................................................................................................G6 WOODBRIDGE CT ......................................................................................................G4 WOODBRIDGE LN......................................................................................................G4 WOODLAND ST ..........................................................................................................G9 WOODVIEW DR .......................................................................................................... B2 WREN ST....................................................................................................................... F4 WRIGHT ST .............................................................................................................E7:E8 X Y YORICK PATH ...................................................................................................... H5:H6 Z
PARKS GILBERT WILLIS PARK ............................................................................................. F1 GUNNAR METALLA PARK......................................................................................G7 GIBSON PARK .............................................................................................................C9 MACK PARK ................................................................................................................D8 TOT LOT – CIVIC CENTER........................................................................................ E9 WIXOM HABITAT.......................................................................................................C5
APARTMENTS SUSANNE MANOR .................................................................................................... E8 TOWN & COUNTRY................................................................................................... E8 BRISTOL SQUARE...................................................................................................... H8 GOLDEN GATE ...........................................................................................................G8 STONE RIDGE.............................................................................................................. F9 VILLAGE .......................................................................................................................G9 HILLSIDE ...................................................................................................................... F9 MEADOWWOOD ...................................................................................................... B15 CONDOS NATURE'S COVE........................................................................................................ H5 MAPLE FOREST COURTYARDS CONDOS............................................................G6 MAPLE FOREST CONDOS ........................................................................................G6 HAMLET VILLAGE.................................................................................................... H6 SHIRE OF HAMLET VILLAGE..................................................................................G6 WIXOM MEADOWS ................................................................................................. B15 CO-OPERATIVES HELFER LEISURE...................................................................................................... B15 MAPLE NORTH.......................................................................................................... H5
COMMERCIAL / INDUSTRIAL PARKS GRAND OAK COMMERCE........................................................................................17 BECK-TEC ......................................................................................................................18 OAK CREEK CORPORATE.........................................................................................19 WIXOM WEST TECH ...................................................................................................20 BECK WEST CORPORATE..........................................................................................21 GRAND NAPIER INDUSTRIAL.................................................................................22 CENTURY INDUSTRIAL.............................................................................................23 LYNN CORPORATE PARK ........................................................................................24 ENTERPRISE BUSINES PARK ....................................................................................25 NACCARATO INDUSTRIAL PARK..........................................................................26 ALPHA INDUSTRIAL PARK......................................................................................27 BECK BUSINESS CENTER ..........................................................................................28 BECK NORTH ...............................................................................................................29 WIXOM BUSINESS CENTER ......................................................................................30 WIXOM INDUSTRIAL PARK .....................................................................................31
165
166
CITY OF WIXOM County of Oakland, State of Michigan Unlimited Tax General Obligation Water Bonds, Series 2001, dated 12/1/01, orig. amt. $1,335,000, CUSIP # DP7 to EG6 Limited Tax General Obligation Capital Improvement Bonds, dated 3/1/05, orig. amt. $5,750,000, CUSIP # ET8 to FM2 2009 Refunding Bonds, dated 9/30/09, orig. amt. $3,220,000, CUSIP # FP5 to FN0
CUSIP #s: 977493 See above for Issue Numbers ANNUAL DISCLOSURE DOCUMENT (Due by December 31 annually; FYE 6-30) HISTORY OF TAXABLE VALUE Industrial DDA/LDFA Total Facilities Tax Captured Taxable Value FULL Valuation Total Valuation Valuation Year 2011 $690,277,680 $12,356,660 $702,634,340 $11,682,080 2010 $748,760,880 $14,123,000 $762,883,880 $13,392,440 2009 $853,931,820 $11,038,460 $864,970,280 $17,274,750 2008 $878,809,750 $14,044,580 $892,854,330 $16,029,860 2007 $925,973,530 $30,527,070 $956,500,600 $14,882,760 Source: Oakland County Equalization Dept., and DDA/LDFA comes from City of Wixom
Net Valuation $690,952,260 $749,491,440 $847,695,530 $876,824,470 $941,617,840
Change -7.81% -11.58% -3.32% -6.88% 6.17%
TAX BASE COMPOSITION By Class Real Property Personal Property TOTAL By Use Commercial Industrial Residential Personal Commercial Personal Industrial Personal/Utility TOTAL
2011 Taxable Value $572,458,550 117,819,130 $690,277,680
Percent of Total 82.93% 17.07% 100.00%
2011 S.E.V. $581,667,080 117,819,130 $699,486,210
Percent of Total 83.16% 16.84% 100.00%
$214,000,170 $96,153,260 $262,305,120 $50,344,860 $50,007,450 $17,466,820 $690,277,680
31.00% 13.93% 38.00% 7.29% 7.24% 2.53% 100.00%
$218,806,380 $99,114,090 $263,746,610 $50,344,860 $50,007,450 $17,466,820 $699,486,210
31.28% 14.17% 37.71% 7.20% 7.15% 2.50% 100.00%
Source: Oakland County Equalization Dept
MAJOR TAXPAYERS 2011 Product/Service Taxpayer Edward Rose & Sons Apartments Ford Motor Company Motor vehicles Occidental Development, Ltd Development General Motor Corp. Automotive US Real Property LLC Industrial International Transmissions Transmissions Meijer's Retail store Beck Business Center, Inc. Commercial Detroit Edison Utility Wixkix Properties LLC Recreational TOTAL 2011 Taxable Value Top 10 Taxpayers as a % of Taxable Value and Total Valuation
AdValorem T.V. $14,876,780 $13,505,930 $12,761,970 $9,032,890 $8,330,360 $7,944,130 $7,713,980 $7,647,770 $7,131,900 $4,782,060 $93,727,770 $690,277,680 13.58%
2011 FULL IFT Value $0 $289,240 $0 $0 $0 $0 $0 $0 $0 $0 $289,240 $12,356,660
TV & IFT TOTAL Value $14,876,780 $13,505,930 $12,761,970 $9,032,890 $8,330,360 $7,944,130 $7,713,980 $7,647,770 $7,131,900 $4,782,060 $93,727,770 $702,634,340 13.34%
Source: City of Wixom Assessor's Office
Page 1 of 4
167
CITY OF WIXOM County of Oakland, State of Michigan Unlimited Tax General Obligation Water Bonds, Series 2001, dated 12/1/01, orig. amt. $1,335,000, CUSIP # DP7 to EG6 Limited Tax General Obligation Capital Improvement Bonds, dated 3/1/05, orig. amt. $5,750,000, CUSIP # ET8 to FM2 2009 Refunding Bonds, dated 9/30/09, orig. amt. $3,220,000, CUSIP # FP5 to FN0
CUSIP #s: 977493 See above for Issue Numbers ANNUAL DISCLOSURE DOCUMENT (Due by December 31 annually; FYE 6-30) TAX RATES Tax Operating Water Debt Civic Center Library * Bike Path Local Roads Year 2011 7.5429 1.3997 0.0000 1.0800 0.3000 1.1314 2010 7.5429 1.2310 0.0000 1.0800 0.3000 1.1314 2009 6.7320 1.3020 0.0000 1.0800 0.3000 1.1314 2008 6.7320 1.2130 0.2150 1.0800 0.0000 1.1314 2007 6.7320 1.2130 0.3600 1.0800 0.0000 1.1314 The maximum charter operating tax rate is 8.00 mills. * The Library became a separate entity on November 7, 2006, as voted by the residents of the City of Wixom. Source: City of Wixom
Major Roads/ Debt 0.8539 1.0870 1.0420 0.9400 0.9400
Fire & DPW Bldg. 0.4344 0.3700 0.3440 0.3200 0.2800
Total 12.7423 12.7423 11.9314 11.6314 11.7364
TAX RATE LIMITATION Section 11.5 of the City Charter provides tax rate limitations as follows:
2011 Amount after Headlee Rollback 7.5429
Rate per $1000 of Taxable Valuation 8.00
Purpose General Operating
The City has the authority to levy taxes in excess of the above limitations pursuant to state law for the following purposes:
Purpose Refuse Collection and Disposal Police & Fire Pension Requirements
Rate per $1000 of State Equalized Valuation $3.00 $2.00
Authority Act 298, P.A. of Michigan 1917, as amended Act 345, P.A. of Michigan 1937, as amended
Source: City of Wixom
TAX LEVIES AND COLLECTIONS Levy Year 2010 2009 2008 2007 2006
Tax Levy $9,441,776 $10,117,491 $10,156,335 $10,941,562 $10,217,362
Collections to March 1st Dollar Amt. Percentage $9,037,730 95.72% $9,541,162 94.30% $9,615,926 94.68% $10,644,479 97.28% $9,947,133 97.36%
Source: City of Wixom
REVENUES FROM THE STATE OF MICHIGAN
RETIREMENT PLAN:
Fiscal Year
State Revenue *
Fiscal Year
Ended 6/30
Sharing Payments
Ended 6/30
Contribution
2011 933,324 2011 $895,324 2010 926,892 2010 $737,408 2009 1,057,834 2009 $736,178 2008 1,086,221 2008 $712,551 2007 1,100,331 2007 $662,106 * The annual revenue sharing payments and other monies received by the City. Source: Audited financial statements Source: City of Wixom
Page 2 of 4
168
CITY OF WIXOM County of Oakland, State of Michigan Unlimited Tax General Obligation Water Bonds, Series 2001, dated 12/1/01, orig. amt. $1,335,000, CUSIP # DP7 to EG6 Limited Tax General Obligation Capital Improvement Bonds, dated 3/1/05, orig. amt. $5,750,000, CUSIP # ET8 to FM2 2009 Refunding Bonds, dated 9/30/09, orig. amt. $3,220,000, CUSIP # FP5 to FN0
CUSIP #s: 977493 See above for Issue Numbers ANNUAL DISCLOSURE DOCUMENT (Due by December 31 annually; FYE 6-30) LABOR FORCE: Employees Clerical Police Officers & Technicians Superintendents/Sergeants/ Records Supervisor DPW Local 2720 DPW Local 1917 Non-Affiliated TOTAL STAFF
No. of Employees 8 14 6
Bargaining Unit Government Employees Labor Council of MI Police Officers Labor Council Police Officers Labor Council
Contract Exp. Date 06/30/2014 06/30/2014 06/30/2014
AFSCME AFSCME Non-Affiliated
06/30/2014 06/30/2014 n/a
7 2 18 55
Source: City of Wixom
DEBT STATEMENT DIRECT DEBT Bonds Description Dated General Obligation Bonds: 09/29/98 MI Bond Bank - Water, UT 04/01/99 MI Bond Bank - Water, UT 03/30/00 MI Bond Bank - Water, UT 12/01/01 Water, UT 03/01/05 Capital Improvement (developmen 9/30/2009 * Refunding, UT NET DIRECT DEBT INDIRECT DEBT 10/1/2005 Drain, Tribute, LT NET INDIRECT DEBT NET DIRECT AND INDIRECT DEBT OVERLAPPING DEBT Municipality Percent 0.14% Novi S/D 2.80% South Lyon S/D 14.96% Walled Lake S/D 1.34% Oakland County 1.34% Oakland ISD 1.35% Oakland CC NET OVERLAPPING DEBT
Amount
Amount
Outstanding 6/30/2011
Outstanding 12/14/2011
1,850,000 3,170,000 3,713,000 760,000 5,400,000 2,720,000 $17,613,000
1,657,000 2,850,000 3,343,000 760,000 5,400,000 2,720,000 $16,730,000
2,205,000 $2,205,000 $19,818,000 Amount Outstanding $110,305,000 176,545,000 140,345,000 97,306,733 62,379,412 5,075,000
NET DIRECT, INDIRECT AND OVERLAPPING DEBT Source: Municipal Advisory Council of Michigan
6/30/2011 City's Share $154,427 4,943,260 20,995,612 1,303,910 835,884 68,513 $28,301,606
2,205,000 $2,205,000 $18,935,000
Percent 0.16% 2.59% 15.37% 1.35% 1.36% 1.36%
$48,119,606
Page 3 of 4
Amount Outstanding $110,305,000 180,420,000 140,345,000 91,921,359 63,250,000 5,075,000
12/14/2011 City's Share $176,488 $4,672,878 $21,571,027 $1,240,938 $860,200 $69,020 $28,590,551 $47,525,551
169
CITY OF WIXOM County of Oakland, State of Michigan Unlimited Tax General Obligation Water Bonds, Series 2001, dated 12/1/01, orig. amt. $1,335,000, CUSIP # DP7 to EG6 Limited Tax General Obligation Capital Improvement Bonds, dated 3/1/05, orig. amt. $5,750,000, CUSIP # ET8 to FM2 2009 Refunding Bonds, dated 9/30/09, orig. amt. $3,220,000, CUSIP # FP5 to FN0
CUSIP #s: 977493 See above for Issue Numbers ANNUAL DISCLOSURE DOCUMENT (Due by December 31 annually; FYE 6-30) LEGAL DEBT MARGIN State Equalized Value -- 2011 Equivalent IFT Value -- 2011 Total Valuation Debt Limit - 10% of SEV & Equivalent IFT Value Amount of Direct Debt Less: Revenue Bonds Net Direct Debt LEGAL DEBT MARGIN
$17,613,000 0
6/30/2010 $699,486,210 6,178,330 $705,664,540 $70,566,454
$16,730,000 0
(17,613,000) $52,953,454
10/14/2011 $699,486,210 6,178,330 $705,664,540 $70,566,454 (16,730,000) $53,836,454
GENERAL FUND BUDGET SUMMARY BUDGETED 2011/12 $9,318,456 8,958,676 $359,780 359,780 $0 1,578,320 $1,578,320
Revenues Expenditures Revenues over (under) Expenditures Less: Capital Contributions or Transfers Net Excess Revenues over (under) Expenses Fund Balance -- July 1, 2011 Projected Fund Balance -- June 30, 2012 Source: City of Wixom
SCHEDULE OF BOND MATURITIES As of December 14, 2011 Year 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027
General Obligation Bonds 1,998,000 2,047,000 2,077,000 1,557,000 1,352,000 1,407,000 1,451,000 1,416,000 435,000 375,000 400,000 420,000 445,000 450,000 450,000 450,000 $16,730,000
Revenue Bonds
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 $0
Authority Bonds
Page 4 of 4
0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 $0
Total 1,998,000 2,047,000 2,077,000 1,557,000 1,352,000 1,407,000 1,451,000 1,416,000 435,000 375,000 400,000 420,000 445,000 450,000 450,000 450,000 $16,730,000
Percentage Payoff
45.90%
82.13%
100.00%
170
(This page left intentionally blank)
City of Wixom, Michigan Report to the City Council June 30, 2011
December 13, 2011
To the City Council City of Wixom, Michigan We have audited the financial statements of the City of Wixom (the “City”) as of and for the year ended June 30, 2011 and have issued our report thereon dated December 13, 2011. Professional standards require that we provide you with the following information related to our audit which is divided into the following sections: Section 1 - Report on Internal Control Over Financial Reporting Section II - Results of the Audit Section III - Suggestions and Other Legislative and Informational Items This report is intended solely for the use of the City Council and management of the City of Wixom, Michigan and is not intended to be and should not be used by anyone other than these specified parties. We would like to take this opportunity to thank the City’s staff for the cooperation and courtesy extended to us during our audit. Their assistance and professionalism are invaluable. We welcome any questions you may have regarding the following communications and we would be willing to discuss any of these or other questions that you might have at your convenience. Very truly yours, Plante & Moran, PLLC
Joseph C. Heffernan
Brian J. Camiller
Section I - Report on Internal Control Over Financial Reporting Management of the City is responsible for establishing and maintaining effective internal control over financial reporting, including accurate and reliable accounting records that do not include errors of any consequence. In planning and performing our audit, we considered the City of Wixom's internal control over financial reporting as a basis for designing our auditing procedures 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 entity's internal control over financial reporting. Accordingly, we do not express an opinion on the effectiveness of the entity's internal control over financial reporting. Our consideration of internal control over financial reporting was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control over financial reporting that might be significant deficiencies or material weaknesses and therefore, there can be no assurance that all deficiencies, significant deficiencies, or material weaknesses have been identified. However, as described below, we identified a certain deficiency in internal control over financial reporting that we consider to be a material weakness. 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 a 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. We consider the following deficiency to be a material weakness: •
During the audit, we identified some adjustments to the accounting records. All items were addressed by the City, and the published financial statements include all appropriate corrections. During the course of our audit, we identified the following potential errors in the accounting records: o The calculation of estimated tax refunds seemed inconsistent with the recent level of refunds granted. o Calculation of the retiree healthcare liability was inconsistent with the provisions of GASB 45. o The deferred revenue from the Tribute drain special assessment seemed not to have been re-evaluated at the government-wide level to take the current year assessment refund into consideration. o Recorded accounts payable seemed to exclude several smaller invoices that related to goods or services received prior to June 30, 2011. Our sample of 28 invoices identified four that we believed were improperly excluded from accounts payable.
The first three bullets all relate to new or emerging accounting issues. The fourth bullet, accounts payable, has not been an issue in prior years, and we anticipate that this was an isolated instance. There was a potential for errors to go undetected in the annual financial statements.
1
However, all above items were identified and corrected in the published financial statements. In closing the books each year, it may be appropriate to perform a risk assessment of new or emerging accounting issues to identify where more time should be allocated in the closing process. We would be happy to participate with the City in such an evaluation before next year’s audit.
2
Section II - Results of the Audit Our Responsibility Under U.S. Generally Accepted Auditing Standards As stated in our engagement letter dated October 4, 2011, our responsibility, as described by professional standards, is to express an opinion about whether the financial statements prepared by management with your oversight are fairly presented, in all material respects, in conformity with U.S. generally accepted accounting principles. Our audit of the financial statements does not relieve you or management of your responsibilities. Our responsibility is to plan and perform the audit to obtain reasonable, but not absolute, assurance that the financial statements are free of material misstatement. As part of our audit, we considered the internal control of the City of Wixom. Such considerations were solely for the purpose of determining our audit procedures and not to provide any assurance concerning such internal control. We are responsible for communicating significant matters related to the audit that are, in our professional judgment, relevant to your responsibilities in overseeing the financial reporting process. However, we are not required to design procedures specifically to identify such matters. Other Information in Documents Containing Audited Financial Statements Our responsibility for other information in documents containing the entity’s financial statements and report does not extend beyond the financial information identified in the transmittal letter, statistical section, community profile, and the annual disclosure document. We do not have an obligation to perform any procedures to corroborate other information contained in these documents. We read these documents and nothing came to our attention that caused us to believe that such information, or its manner of presentation, is materially inconsistent with the information or manner of its presentation appearing in the financial statements. Planned Scope and Timing of the Audit We performed the audit according to the planned scope and timing previously communicated to you in our meeting about planning matters on October 6, 2011. Significant Audit Findings Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies. In accordance with the terms of our engagement letter, we will advise management about the appropriateness of accounting policies and their application. The significant accounting policies used by the City of Wixom are described in Note 1 to the financial statements. As described in Notes 1 and 15, the government changed accounting policies related to intangible assets by adopting Governmental Accounting Standards Board (GASB) No. 54, Fund Balance Reporting and Governmental Fund-type Definitions.
1
Accordingly, the City’s fund balance classifications in the governmental fund financial statements have been changed to reflect the five new classifications of GASB Statement No. 54. We noted no transactions entered into by the government during the year for which there is a lack of authoritative guidance or consensus. There are no significant transactions that have been recognized in the financial statements in a different period than when the transaction occurred. Accounting estimates are an integral part of the financial statements prepared by management and are based on management’s knowledge and experience about past and current events and assumptions about future events. Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected. The most sensitive estimate affecting the financial statements was the other postemployment benefit obligation. Management’s estimate of the other postemployment benefit obligation is based on the alternate valuation method. We evaluated the key factors and assumptions used to develop the other postemployment benefit obligation recorded and determined that the estimate is reasonable in relation to the financial statements taken as a whole. The disclosures in the financial statements are neutral, consistent, and clear. Difficulties Encountered in Performing the Audit During the audit of the accounts payable cycle, we identified several disbursements made and recorded in July 2011 that should have been accrued as of June 30, 2011. We discussed the issue with City personnel who investigated and corrected the oversight. We encountered no other significant difficulties in dealing with management in performing and completing our audit. Corrected and Uncorrected Misstatements Professional standards require us to accumulate all known and likely misstatements identified during the audit, other than those that are trivial, and communicate them to the appropriate level of management. Management has corrected all such misstatements. Disagreements with Management For the purpose of this letter, professional standards define a disagreement with management as a financial accounting, reporting, or auditing matter, whether or not resolved to our satisfaction, that could be significant to the financial statements or the auditor’s report. We are pleased to report that no such disagreements arose during the course of our audit. Management Representations We have requested certain representations from management that are included in the management representation letter dated December 13, 2011.
2
Management Consultations with Other Independent Accountants In some cases, management may decide to consult with other accountants about auditing and accounting matters, similar to obtaining a “second opinion” on certain situations. If a consultation involves application of an accounting principle to the government’s financial statements or a determination of the type of auditor’s opinion that may be expressed on those statements, our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts. To our knowledge, there were no such consultations with other accountants.
3
Section III - Suggestions and Other Legislative and Informational Items Budgetary Stress The City has continued to experience a steady decline in its major revenue sources. Specifically: •
Property taxes have declined due to decreases in taxable value. After decades of relatively dependable inflationary increases, taxable value dropped 12 percent for its July 1, 2010 tax billings and another 7 percent for the July 1, 2011 tax billings. Right now, no one can predict with certainty when the erosion of taxable value will end.
•
State-shared revenue has been on a steady decline since 2001, as the State uses it to balance its own budget. From 2001 to 2011, the City’s portion of state-shared revenue declined 33 percent. In 2012, the statutory portion of revenue sharing will decline an additional onethird.
•
Interest income has declined approximately 90 percent since 2007.
•
Building permits and related revenue, although showing signs of improvement in 2011, have declined significantly since 2007.
To offset the declines in revenue, the City has continued to diligently make decisions to contain costs to the extent possible. These initiatives include a compressed work week, a reduced workforce, modifications to fringe benefit packages, moving new hires to defined contribution plans, and others. A more extensive summary of the various program changes can be found in the transmittal section of the City’s comprehensive annual financial report (CAFR). We would like to commend the City for the actions taken to date. These are difficult decisions to make, since they impact employees as well as service levels that residents have come to expect. Unfortunately, the taxable value continues to decline and we anticipate that additional cost reductions will continue to be necessary in subsequent years. Impact of Census Results on State-shared Revenue The 2010 census data was released on March 22, 2011. Census results indicated an overall decline in population for the state of Michigan of 0.6 percent. For Wixom, the population increased 1.8 percent, from 13,263 to 13,498. As a result of the slight population increase, the impact of the census on the City of Wixom was a retroactive positive addition of $13,483 to the constitutional portion of the June 2011 receipt. Unfortunately, the State offset that with a $19,417 reduction to the statutory portion of the August 2011 receipt. Going forward, the increase in population will have a positive impact on constitutional revenue-sharing receipts for the City. As noted below, statutory revenue sharing has been replaced with the Economic Vitality Incentive Program (EVIP) and has essentially been reduced by one-third. The revenue the City will potentially earn under this new program is $49,600. State Initiatives Impacting Local Units of Government Governor Snyder has begun his tenure with several significant initiatives, and he is moving his agenda forward at a quick pace. 1
One of these initiatives is to improve the transparency and efficiency of local units - cities, townships, villages, and counties. More specifically, his current local government initiatives include: •
Replace “statutory revenue sharing” with a newly named “Economic Vitality Incentive Program” that will be reduced by approximately 1/3 and require local units to compete for the remaining $200 million by demonstrating best practices in the following areas: o Transparency - Provide more accessible financial information to citizens o Service sharing - Consolidation or collaboration with other units of government o Employee benefits - Slimmed-down pension and healthcare benefits
•
Significantly strengthening the powers of emergency managers
•
Changes to Act 312, police and fire arbitration
•
Potential changes to the Urban Cooperation Act
•
Potential elimination of personal property taxes
Each of these initiatives could have an impact on the City of Wixom and will be discussed in more detail below. Accountability and Transparency In order to “earn” the first one-third of the EVIP funding, each qualified unit was required to produce a “citizen’s guide” to its finances and a performance “dashboard” by October 1, 2011. The City of Wixom opted to prepare a Popular Annual Financial Report (PAFR) instead of a citizen’s guide, as was allowed by the State. We are happy to report that the City of Wixom prepared and submitted both of its transparency tools before the October 1 deadline, thus resulting in guaranteed receipt of this portion of the EVIP funding. These documents are available to view on the City’s website. Service Sharing and Consolidation In order to “earn” the second one-third of the EVIP funding, the State is requiring local units to submit a report that identifies the existing cost sharing or consolidation arrangements in which the City is currently participating, with an estimate of the annual savings realized from these arrangements, as well as a plan for increasing the sharing of services with other governments, or consolidation of services, in the future. This report is due to the State by January 1, 2012. At this time, communities are required to certify that they have plans that they intend to implement, but actual new sharing agreements do not need to be in place by January 1, 2012. Employee Compensation Best Practices In order to “earn” the third and final one-third of the EVIP funding, the State is requiring local units to submit a written plan for adjusting employee compensation for new, modified, or extended employee contracts entered into after May 1, 2012. Such contracts would be subject to the following criteria:
2
a) Placing all new hires in a defined contribution plan or a hybrid retirement plan that caps annual employer contributions at 10 percent of base salary b) Where applicable, a 1.5 percent multiplier should be used to determine employee pensions. A 2 percent multiplier should be used for employees who are not eligible for Social Security benefits. c) Implementing controls to avoid pension spiking such as using a three-year salary average that does not include more than a total of 240 hours of paid leave and overtime to determine benefit levels d) If health care is offered, all new hires must be on an 80/20 employer to employee healthcare premium split. The local unit must certify it has this plan in place by May 1, 2012. Other Legislative Developments Employee Healthcare Contributions - Public Act 152 Senate Bill 7 (now PA 152 of 2011), the "Publicly Funded Health Insurance Contribution Act," was signed into law by the governor in late September 2011. This new law requires all public employers to place hard caps on the amounts they contribute toward health care with an option to elect an 80 percent contribution cap rather than a hard cap. There is also an option for the local unit to opt out entirely. PA 152 would limit annual costs for medical benefit plans to the following: • • •
$5,500 for single coverage $11,000 for individual and spousal coverage $15,000 for family coverage
Alternatively, given a majority vote of its governing bodies, a public employer can opt out of the hard cap and into an 80 percent contribution cap. Under this option, public employers would pay no more than 80 percent of the total annual costs for all of the medical benefit plans it offers or contributed to for its employees and elected public officials. This option would require that publically elected officials would have to pay 20 percent or more of the total annual costs of that plan, but the employee's share of the costs could be allocated as the government sees fit. This act also contains a complete opt-out provision, with a 2/3 vote of the governing body. These limits would apply once contracts expire or for the healthcare benefit year that begins on or after January 1, 2012. The City of Wixom has a medical benefits plan coverage year of July 1 through June 30. There is significant confusion as to whether the decision to opt out of the hard caps listed above would have to be made by December 31, 2011 or by June 30, 2012 (the day before your benefit year begins). As a result, we believe it would be prudent for the City to consider a six-month 2/3 resolution to opt out in order to give the City an opportunity to evaluate which benefit plan options are most appropriate for both the City and its employees. We believe this is a good solution, because this retains the option to move to the 80/20 sharing, or any other appropriate plan.
3
Failure to comply with the provisions in this act will result in a 10 percent reduction in each EVIP payment for the period of noncompliance. Opting out by a 2/3 vote of the governing body under the provisions of this act is not considered failure to comply. Retro-Pay Prohibition - Public Act 54 Public Act 54 of 2011, which was signed by the governor on June 7, prohibits retroactive pay on an expired contract and calls for employees working under an expired agreement to bear the cost of any increased healthcare costs until a new contract is in effect. During that period, the public employer is authorized to make payroll deductions necessary to pay the increased cost of maintaining those benefits. This act was ordered to take effect immediately. Emergency Managers - Public Act 4 of 2011 On March 16, 2011, PA 4, Local Government and School District Fiscal Accountability Act, was signed into law. This act repeals Public Act 72 of 1990, the previous Local Government Fiscal Responsibility Act. Under the new act, the state treasurer can conduct a preliminary review to determine the existence of a local government financial problem if one or more of 18 different “triggering events” occur. Some of these events are truly a sign of financial stress, such as incurring payless paydays or defaulting on a bond or note payment. Others are more subjective, including a blanket statement that the existence of “other facts or circumstances…as determined by the state treasurer” is sufficient to start the process. If a finding of probable financial stress is made, the governor shall appoint a review team. The team would conduct its review and report back to the governor and state treasurer within 60 days of its appointment. Depending on the severity of the findings during the review, the actions then taken could range from none to a declaration of a financial emergency, the local unit would be placed in receivership, and an Emergency Manager (EM) appointed in place of the existing governing body and chief administrative officer. For communities that have some of the triggers but seem to have a plan to address them, there is an in-between step whereby a consent agreement is entered into and monitored. Clearly, this legislation is causing great anxiety in terms of both the uncertainty as to how aggressive the State will be in implementing the legislation as well the broadness of the powers granted to an EM. Any new EMs would have the authority to reject, modify, or terminate the terms of an existing contract or collective bargaining agreement. This legislation may ultimately change the tenor of future union negotiations, in that it gives the collective bargaining representatives a strong incentive to work with the City to avoid receivership by an EM. Changes to Act 312 - Police and Fire Arbitration Public Act 312 prohibited public police and fire department employees from the right to strike. Whenever contracts are not resolved, the employees or employer may initiate binding arbitration in lieu of striking. The arbitrator’s decision is final and binding upon the parties involved.
4
The governor has called for reforming Act 312 of 1969, the Police and Fire Arbitration Act. In July 2011, Public Act 116 of 2011 was signed into law and contains the following provisions: • • •
A stronger consideration of a community’s ability to pay Internal salary and benefit comparisons Reducing the timeframe of the process to no more than 180 days
Senate Bill 34 - Elimination of the Personal Property Tax On January 19, 2011, SB 34 was introduced. Very simply, this bill, if it becomes law, will amend PA 206 of 1893 and exempt all personal property from the collection of taxes. Altogether, this would reduce revenue for communities across the State by approximately $770 million. Including the school districts, the lost revenue would be over $1 billion. This bill does not provide any source of revenue to replace that which is lost. Obviously, this would be devastating to many communities as personal property taxes are a significant component of a local unit’s tax structure. The elimination of the personal property tax was not included in the State’s 2012 budget; however, since that time, the topic has received much focus by the legislature. The City of Wixom’s personal property tax currently brings in approximately $1,500,000 annually. Proposed Amendments to the Urban Cooperation Act and Related Statutes Various house and senate bills intend to amend the numerous statutes that govern local unit service sharing. These bills eliminate certain guarantees and provisions of collectively bargained agreements. The problem in trying to form new collaborative ventures is that the existing act includes a clause that prevents the immediate negotiation of new contracts. This stands in the way of even the consideration of mergers by many local units because the new entity is hampered by a multi-layer set of work rules, wages, and benefits which effectively eliminate the economic efficiencies that are the very reason to consolidate. Under the amended act, management and employees should be allowed to immediately begin the collective bargaining process for the new entity and complete this within an appropriate timeframe. The bills are still a work in progress; however, passage is expected. Water and Sewer Master Plan The City’s Sewer Fund is currently able to charge less for its services than its actual current costs. This is a result of a large surplus created by historical tap-in fees that exceeded expectations. As discussed with you previously, we can see that the sewer rates will need to be adjusted upward at some point in the future to come into balance with its costs. In order to avoid the need for a radical rate adjustment at some time in the future, we recommend that the City create a financial master plan for the water and sewer system, which would involve estimating the amount of working capital necessary to sustain necessary repairs and replacements to the system, and a model that would increase rates gradually to hold the funds’ working capital above the recommended amounts.
5
Our understanding is that the City has already begun raising the sewer rates. In addition, it is in the process of hiring a consultant for a master plan. We anticipate that this analysis will provide information to help you determine the need for future rate increases.
6