Have You Reserved Your Boat Well?
Have you been dreaming about a relaxing day on your boat either
cruising or sailing on beautiful Lake St. Clair? The City of Grosse
Pointe Farms has boat wells of varying sizes that are available to
residents for rent by the season at Pier Park. There are currently
openings for 20’, 30’, 37’, and 40’ boat wells. Residents can now
reserve them for the 2013 boating season.
Financial
Summary
For the Year Ended
June 30, 2012
The Pier Park Harbor was completely renovated in 2005. Boat
wells range in size from floating Jet Ski docks to 55’ wells. Shore
power electrical services and water service are available for boat
wells 25 feet and longer. Shared services are available for boats
under 25 feet.
Contact the Grosse Pointe Farms Parks and Recreation
Department at (313)343-2405 if you are interested in one of the
available open boat wells. You can also have your name placed
on the waiting list for other size boat wells if there are no open
mooring spaces at this time.
Page
Page
1519
Grosse Pointe Farms, Michigan
Expenditures
Fast Facts
General Fund Expenditures
Residential Population:
9,479
(U.S. Census Bureau)
Public Works
12%
Recreation and
Culture
10%
Area:
2.6 square miles
Other
21%
Public Safety
37%
Taxable Value:
$710.0 million
Council/Manager Form of Government
The city is governed by an elected seven
member council. The Council appoints a City
Manager to oversee daily operations and
administrative functions.
Services
Basic community services are the highest
priority. These include police and fire
protection; refuse collection, water and
wastewater collection, street maintenance,
public improvements, planning, zoning, and
administrative services. Grosse Pointe
Farm’s quality of life is also enhanced by
recreation and leisure facilities including Pier
Park and the War Memorial.
General Government:
$1.4 Million
The General Government group
of expenditures includes the
following areas: City Council,
City Manager, City Attorney,
City Assessor, City Clerk,
Elections, Accounting and
Public Services.
Other
Financing Uses
7%
Municipal
Court
2%
General
Government
11%
Public Safety: $4.6 Million
Police and Fire Protection.
Public Works: $1.5 Million
Maintenance costs for major,
local roads. Costs associated
with refuse collection.
Recreation & Culture:
$1.2 Million
The General Fund major program activities are summarized in seven areas: General
Government, Public Safety, Municipal Court, Public Works, Recreation & Culture,
Other, and Other Financing Uses. See the graph above for a breakdown of their
percentages of total expenditures. Other expenditures include contingency and
retirement fund contributions. Other Financing Uses include the transfer of funds to
the Capital Projects Fund, Local Street Fund and Debt Service Fund.
Costs to provide recreation
activities and operation of the
harbor.
Page 1
Page 14
Fiscal Year Ending June 30, 2012 Financial Summary
City Full-Time Equivalent Staffing
135
Other Funds Used to Manage City Dollars
130
125
120
115
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
In accordance with Generally Accepted Accounting Principles (GAAP), the City’s
financial activities are accounted for in a variety of funds other than the General
Fund.
Special Revenue Funds such as the Major Street, Local Street and Community
Refuse/Resource Recovery
8,000
Development Block Grant Funds are used to account for the proceeds of specific
revenue sources (other than major capital projects) that are legally restricted to
expenditures for specific purposes.
6,000
Debt Service Funds account for the accumulation of resources for the annual
4,000
payment of principal, interest and fees in connection with certain long-term debt
other than debt payable from operations of a proprietary fund.
10,000
2,000
The Capital Projects Fund tracks financial resources for the acquisition or
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
construction of major capital facilities other than those financed by the operations
of a proprietary fund.
Enterprise Funds like Water, Sewer, Recycling and Municipal Radio System are
Water Customers
used to account for operations that are similar to private business. Tracking the
net income of Enterprise Funds helps evaluate programs and direct financial
administration.
4,105
4,100
4,095
Internal Service Funds such as Insurance Retention are used to account for the
4,090
financing of goods and services provided by one department to other
departments of the government on a cost reimbursement basis.
4,085
4,080
4,075
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Water Consumption MCF
100
For more detailed information where the totals are represented by function, you
should review the Comprehensive Annual Financial Report (CAFR). Both this
summary and the CAFR are available at the City Clerk, 90 Kerby Rd and the City’s
website at: grossepointefarms.org. If necessary, call (313)640-1602 to request a
copy.
80
60
40
20
0
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Page 13
Fiscal Year Ending June 30, 2012 Financial Summary
Page 2
City of Grosse Pointe Farms Economy
Voter Turnout
90%
80%
2011 City Millage Rates
70%
Grosse Pointe
Grosse Pointe
Grosse Pointe
Grosse Pointe
Northville
Birmingham
Plymouth
Farmington
Grosse Pointe
Farms
Park
- City
Woods
Shores
14.0000
14.1080
14.2490
15.2397
15.3534
15.6005
16.0134
16.5856
17.1400
60%
50%
40%
30%
20%
10%
0%
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
This graph represents voter turnout by fiscal year July 1 – June 30 for
November elections.
The community’s taxable valuation
(TV) has declined in recent years
compared to the 1980’s and 1990’s.
In 2011 our taxable value was
$710,034,865
compared
to
$741,087,994 in 2010.
City of Grosse Pointe Farms
Employees Retirement System
Schedule of Funding Progress
(Pension Benefit)
A State assessed value of $726
million represents approximately 50%
of estimated current market value.
Taxable value is determined by the
prior year’s taxable value plus 5% or
the consumer price index (whichever
is less). Starting with the 1994 state
equalized value as the base taxable
value, the taxable value figure is
multiplied by the tax rate to
determine property tax revenue.
180.0%
160.0%
140.0%
120.0%
100.0%
80.0%
60.0%
40.0%
20.0%
0.0%
PSRS
GERS
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Page 3
Fiscal Year Ending June 30, 2012 Financial Summary
The above chart expresses the actuarial value of assets as a percentage of the
actuarial accrued liability, which provides one indication of the system’s funded
status on an ongoing concern basis. Analysis of this percentage over time
indicates whether the system is becoming financially stronger or weaker.
Page 12
Operation Indicators by Function/Program
City Clerk's Office
Dog licenses issued
Registered voters
Fire
Fire Department responses
Emergency Medical Runs
Parks & Recreation
Vehicles Entering Park
Municipal Court
Court Case Load
2010
2011
2012
873
7,957
869
8,062
849
8,103
843
7,918
101
420
108
407
97
410
143
411
Value in Millions of Dollars
2009
Taxable vs. Assessed Value
1,200,000,000
Assessed
Taxable
1,000,000,000
800,000,000
600,000,000
400,000,000
200,000,000
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
115,698
120,925
112,254
119,502
4,625
5,412
5,926
4,835
Millage Rate
Mills Per $1,000 of TV
15.000
14.000
13.000
12.000
11.000
10.000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Page 11
Fiscal Year Ending June 30, 2012 Financial Summary
Page 4
The General Fund is the general operating fund of the City and the main focus of this report.
It is used to account for all financial resources except those required to be accounted for in
another fund. General Fund activities are financed by revenues from general property taxes,
state shared revenues and other sources. The General Fund uses the current financial
resources measurement focus and the modified accrual basis of accounting.
The graph below shows the total revenue and expenditures of this fund from 2003 to 2012.
An indicator of financial strength and stability is a positive fund balance in the General Fund.
Since 2003, the General Fund fund balance has grown from $3.6 to $4.9 million. Fund
Balance is the difference between assets, liabilities, deferred outflows of resources and
deferred inflows of resources.
The financial community has recognized the City’s strong economic indicators and stable
financial operations. Standard & Poor’s gave the City an “AA+” rating for limited tax general
obligation bonds.
General Fund Revenues and Expenditures
Total Revenue
Total Expenditure
Performance Data
Building Permits and Construction
Building PermitsValue Value in $1,000,000
200
180
160
140
120
100
80
60
40
20
0
2003
In Millions
$15
2004
2005
2006
2007
2008
2009
2010
2011
2012
Grosse Pointe Farms Building Department processes a wide range of
construction permits each year. New construction and building improvements
improved dramatically over the past few years with the start-up of several new
homes.
$10
$5
Police Physical Arrests
$0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
500
450
Property Tax Levy
$11,000,000
400
350
300
$10,500,000
250
$10,000,000
200
$9,500,000
150
100
$9,000,000
50
0
$8,500,000
Figure
Figure
Figure
77 7
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Page 5
Fiscal Year Ending June 30, 2012 Financial Summary
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Page
Page1014
www.grossepointefarms.org
Internet access creates a 24-hour, 7day-a-week service window for citizens
seeking information about the City of
Grosse Pointe Farms.
What’s online at
www.grossepointefarms.org?
City Newsletters
Events Calendar
City Council meeting agendas &
minutes
Building permit applications
Business license and Park Pass
application forms
Annual budgets, financial
summaries and other city
publications
Latest News
City Ordinances
Email access to city administrators
Comprehensive
Annual
Financial Report
(CAFR)
Evaluating the City’s Financial Condition
The information in this document has
been drawn from the City of Grosse
Pointe Farms Comprehensive Annual
Financial Report (CAFR) for the fiscal
year ended June 30, 2012. Complete
financial statements of the City of
Grosse Pointe Farms with additional
demographic and economic information
are published in the CAFR.
General Fund – Fund Balance
$6
$5
In Millions
City of Grosse Pointe Farms
website
The City was awarded the Certificate of
Achievement for Excellence in Financial
Reporting by the Government Finance
Officers Association of the United
States and Canada (GFOA) for its CAFR
for the fiscal year ended June 30, 2011.
The Certificate of Achievement is the
highest form of recognition for
excellence
in
state
and
local
government financial reporting.
In order to be awarded a Certificate of
Achievement, a government unit must
publish an easily readable and
efficiently organized comprehensive
annual financial report, the contents of
which conform to program standards.
The CAFR must satisfy both generally
accepted accounting principles and
applicable legal requirements.
A
Certificate of Achievement is valid for a
period of one year only. We believe our
CAFR continues to conform to the
Certificate of Achievement program
requirements and we are submitting our
CAFR for the current year to the GFOA.
To request a copy of the CAFR, contact:
John M. Lamerato, City Controller by mail
at: 90 Kerby Rd., Grosse Pointe Farms, MI
48236 ;
email at: jlamerato@grossepointefarms.org
or call: (313)640-1602
Page 9
Fiscal Year Ending June 30, 2012 Financial Summary
$4
$3
$2
$1
$0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Revenues and Expenditures (Millions)
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
$ 11.5
$ 11.7
$ 12.1
$ 12.7
$ 13.0
$ 13.2
$ 13.0
$ 12.9
$ 12.5
$ 12.7
Total
Expenditures
12.1
11.5
11.9
12.6
12.6
13.3
12.9
12.2
13.9
12.5
Excess
(Shortfall)
(0.6)
0.2
0.2
0.1
0.4
(0.1)
0.1
0.7
(1.4)
0.2
Beginning
Equity
4.2
3.7
Total
Revenue
3.9
4.1
4.2
5.0
4.9
5.0
6.1
4.7
Ending
Equity
$ 3.6
As a %
of Revenue
31.30% 33.33% 33.88% 33.07% 35.38% 37.12% 38.46% 44.19% 37.60% 38.58%
$ 3.9
$ 4.1
$ 4.2
$ 4.6
$ 4.9
$ 5.0
$ 5.7
$ 4.7
$ 4.9
Page 6
Revenues
Where the City Gets its Revenue
The City of Grosse Pointe Farms collects funding from eight major sources.
Beyond property taxes, other revenues include licenses and permits, federal
grants, state shared revenue, charges for services, fines and forfeitures,
investments income, and other financing sources. See the chart on page 8 for a
breakdown of what percentage each element represents of the total revenue.
Investment
Income
1.0%
Fines and
Forfeitures
3.0%
Other
2.0%
Charges for
Service
10.0%
State Shared
Revenue
6.0%
Property Taxes: $9.5 Million
The City’s total tax rate of $14.00 includes the General
Fund, Refuse Collection and Debt Service. The City is
below its tax rate capacity for general activities. The
General Fund tax levy is $11.1916 mills of the 12.4176
mills.
As indicated in the chart on page 8, the City’s tax rate
represents just 31% of the total property tax bill for all
taxing jurisdictions. Those tax dollars represent 75%
of the City’s total revenue.
Licenses and
Permits
3.0%
Property Tax
75.0%
Licenses and Permits: $.4 Million
Are mainly made up of building permits and trade
licenses and permits.
State-Shared Revenue: $.7 Million
This money is revenue from the State of Michigan,
mainly in the form of a return on sales tax revenue.
Charges for Services: $1.3 Million
Where Does Your Tax Dollar Go?
Fees charged for services and sales.
Some examples of charges for services
include Parking Meters, Boat Mooring Fees
and Rentals.
City of GPF
Investment Income: $.2 Million
Generated from interest on investments.
31%
Other Revenue: $.3 Million
County
&
Local Schools & Library
Community
45%
College
Generated primarily by rebate fees and lease income.
Page 7
Fiscal Year Ending June 30, 2012 Financial Summary
24%
Page 8