monthly financial report december 2014

Lake Havasu City Arizona

monthly financial report

highlights of the financial activities of lake havasu city

during the month of

December 2014 unaudited

prepared by the administrative services department

Lake Havasu City Management’s Discussion and Analysis

i

General Fund

Revenue

Total General Fund revenue is above the budgeted amount by $727,071; the largest favorable variances are in Taxes and Intergovernmental. The total revenue is significantly below last year for this same period. This is due to one-time lease proceeds in the Other Financing Sources for the purchase of several fire apparatus last fiscal year.

Tax revenue is above the budgeted amount by $912,980; this includes favorable variances in Sales Tax of $275,433 and Sales Tax Audit revenue of $217,161, this can be attributed to overall improving economic conditions and successful audit collection efforts. The second quarter developer agreement payments of $362,175 will be paid next month and will then reduce the overall favorable variance. Electric Franchise Tax is above the budgeted amount by $88,000. Tax revenue is above last year by $974,293 for this same period.

License and Permit revenue is above the budgeted amount by $89,236; Business Licenses are above budget by $31,883. The business license renewal program is wrapping up and most of the revenues have been received. Other license and permit revenue is above the budgeted amount by $57,353, mainly in zoning fees, building permits and plan check fees. The revenue is $46,480 above last year for this same period.

Intergovernmental revenue is below the budgeted amount by $163,461; State Shared Sales Tax numbers are below budget by $112,335 and have been trending below budget each month. Auto Lieu Tax is under the budgeted amount by $53,414. The Intergovernmental revenue is above last year by $491,145 for this same period.

Charges for Services revenue is below the budgeted amount by $76,275; Culture and Recreation has a negative variance of $80,758, mostly attributed to lower program donations and fewer contract classes. Charges for Services revenue is below last year by $66,575 for this same period.

Fines and Forfeiture revenue is below the budgeted amount by $37,492; City Fines are $20,300 below budget and Court Fees are about $18,000 below the budgeted amount. This revenue is below the prior year by $46,221 for the same period.

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Taxes 10,490,352$ 10,551,665$ 11,464,645$ 912,980$ 8.7% 974,293$ 9.3%Licenses and Permits 861,144 818,388 907,624 89,236 10.9% 46,480 5.4%Intergovernmental 6,485,760 7,140,366 6,976,905 (163,461) (2.3%) 491,145 7.6%Charges for Services 529,202 538,902 462,627 (76,275) (14.2%) (66,575) (12.6%)Fines and Forfeitures 619,223 610,494 573,002 (37,492) (6.1%) (46,221) (7.5%)Investment and Rental 205,599 173,952 156,446 (17,506) (10.1%) (49,153) (23.9%)Miscellaneous 22,527 81,792 116,325 34,533 42.2% 93,798 416.4%Other Financing Sources 5,075,107 1,268,490 1,253,546 (14,944) (1.2%) (3,821,561) (75.3%)Total 24,288,914$ 21,184,049$ 21,911,120$ 727,071$ 3.4% (2,377,794)$ (9.8%)


ii

Expenditures

Total General Fund expenditures are below the budgeted amount by $1,591,848; the largest favorable variances are in Personnel Service and Operating expenditures. The total expenditures are $1,346,949 higher than last year for this same period.

Personnel Services expenditures are below the budgeted amount by $1,224,023; Salary and Wages account for $667,606 and the related Benefit amount is about $556,415. The budget amount reflects all authorized positions and full benefit amounts. Vacancies and variables in actual benefits account for this favorable variance. The expenditures are $927,516 higher than last year at this same time.

Operating expenditures are below the budgeted amount by $734,628; Contingency is included in this category and accounts for $375,000 of the variance. Programs and Outside Contracts are below budget by $327,500, some programs have yet to occur, and a development agreement payment has not yet been processed. Operating expenditures are $680,634 above last year for this same period.

Capital expenditures are above the budgeted amount by $125,781; Lease Principle and Interest payments are slightly ahead of budget, this timing difference is expected to reverse and end the year at or near budget. The expenditures are $2,565,701 below last year for this same period.

As revenues and expenditures are monitored, it is important to review the City’s position of total revenues over (under) total expenditures to ensure the City is in compliance with policy. Over the last several years, operations have been fully funded by revenues received in the current year. The current actual-to-date expenditures exceed revenues by $929,393.

Highway Users Revenue Fund (HURF)

Revenues

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Personnel Services 14,699,189$ 16,850,728$ 15,626,705$ 1,224,023$ 7.3% (927,516)$ (6.3%)Operating Expenditures 2,249,873 3,665,135 2,930,507 734,628 20.0% (680,634) (30.3%)Capital Expenditures 3,502,002 810,520 936,301 (125,781) (15.5%) 2,565,701 73.3%Transfers Out 1,042,500 3,105,978 3,347,000 (241,022) (7.8%) (2,304,500) (221.1%)Total 21,493,564$ 24,432,361$ 22,840,513$ 1,591,848$ 6.5% (1,346,949)$ (6.3%)

Total Expenditures 2,795,350$ (3,248,312)$ (929,393)$ Total Revenues Over/(Under)

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Highway Users Revenue 2,037,947$ 2,200,757$ 2,188,497$ (12,260)$ (0.6%) 150,550$ 7.4%Charges for Services 7,075 7,998 9,352 1,354 16.9% 2,277 100.0%Investment Earnings 25,222 17,496 11,076 (6,420) (36.7%) (14,146) (56.1%)Miscellaneous 137 - 9,836 9,836 0.0% 9,699 7,079.8%Transfers In 525,000 274,999 275,000 1 0.0% (250,000) (47.6%)Total 2,595,381$ 2,501,251$ 2,493,761$ (7,490)$ (0.3%) (101,620)$ (3.9%)


iii

Total HURF revenue is below the budgeted amount by $7,490 ; most of this unfavorable variance is from State Shared revenue. The total revenue is $101,620 below last year for this same period.

Highway User revenue is below the budgeted amount by $12,260; a small variance is common as the revenue fluctuates from month to month. The Highway User revenue is above last year by $150,550 for this same period.

Charges for Services revenue is above the budgeted amount by $1,354; proceeds from insurance reimbursement account for this favorable variance. The revenue is $2,277 above last year for this same period.

Transfers In revenue is equal to the budgeted amount. The revenue is $250,000 below last year at this same time due to flood control funding being reallocated to the General Fund in FY 2014-15.

Expenditures

Total HURF expenditures are below the budgeted amount by $1,199,836; Operating Expenditures are the largest part of this favorable variance. The total expenditures are $523,524 less than last year for this same period.

Personnel Services expenditures are below the budgeted amount by $137,752; Salary and Wages account for $63,051 and the related benefit amount is $30,043. Fewer wages and benefits have been expended towards HURF funded projects than budgeted. The expenditures are $23,545 below last year.

Operating expenditures are below the budgeted amount by $1,070,856; Repairs and Maintenance Services are under budget by $894,982 and Supplies are below budget by $182,633. Expenditures for this activity have typically been recorded later in the fiscal year and the variance will likely be less. The Operating expenditures are $515,636 below last year for this same period.

As revenues and expenditures are monitored, it is important to review the City’s position of total revenues over (under) total expenditures to ensure the City is in compliance with policy. Over the last few fiscal years, operations have been partially funded by fund balance, with a budget-to-date amount of $493,811 this year. The current actual-to-date reflects revenues exceeding expenditures by $698,535.

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Personnel Services 702,909$ 817,116$ 679,364$ 137,752$ 16.9% 23,545$ 3.3%Operating Expenditures 1,610,227 2,165,447 1,094,591 1,070,856 49.5% 515,636 32.0%Capital Expenditures - 12,499 21,271 (8,772) (70.2%) (21,271) 0.0%Total 2,318,750$ 2,995,062$ 1,795,226$ 1,199,836$ 40.1% 523,524$ 22.6%

Total Revenues Over/(Under) Total Expenditures 276,631$ (493,811)$ 698,535$


iv

Wastewater Fund

Revenues

Total Wastewater revenue is below the budgeted amount by $288,223; Investment Earnings and Intergovernmental account for the unfavorable variance. The total revenue is $26,037 lower than last year for this same period.

Intergovernmental revenue is below the budgeted amount by $74,250; there has been no activity for the reporting period related to grants.

Charges for Services revenue is below the budgeted amount by $26,112; User charges are below budget by $203,842 and Effluent Sales are over budget by $170,033. The revenue is $400,768 higher than last year for this same period.

Contributed Capital revenue is above the budgeted amount by $39,022; Treatment Capacity Fees are over the budgeted amount by $64,004 and the Loan Interest revenue is below budget by $24,982. The Contributed Capital revenue is $55,534 below last year for this same period.

Expenses

Total Wastewater expenses are under the budgeted amount by $3,289,054; Capital and Other Expenses have the highest favorable variances. The total expenses are $1,383,446 lower than last year for this same period.

Personnel Services expenses are below the budgeted amount by $140,690; Salary and Wages account for $113,224 of the favorable variance, and the related Benefits of $27,467. The budget amount reflects all authorized positions and full benefit amounts. Vacancies and variables in actual benefits

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Intergovernmental -$ 74,250$ -$ (74,250) 0.0% - 0.0%Charges for Services 11,138,150 11,565,030 11,538,918 (26,112) (0.2%) 400,768 3.6%Investment Earnings 580,341 470,988 252,253 (218,735) (46.4%) (328,088) (56.5%)Miscellaneous Revenue 35,035 - (8,148) (8,148) 0.0% (43,183) (123.3%)Contributed Capital 339,548 244,992 284,014 39,022 15.9% (55,534) (16.4%)Total 12,093,074$ 12,355,260$ 12,067,037$ (288,223)$ (2.3%) (26,037)$ (0.2%)

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Personnel Services 1,052,722$ 1,247,196$ 1,106,506$ 140,690$ 11.3% (53,784)$ (5.1%)Operating Expenses 2,111,264 2,797,368 2,174,538 622,830 22.3% (63,274) (3.0%)Other Expenses 4,199,391 5,771,272 4,970,070 801,202 13.9% (770,679) 0.0%Capital Expenses 959,747 2,198,852 1,293,648 905,204 41.2% (333,901) (34.8%)Debt Service 10,525,666 10,926,556 10,223,424 703,132 6.4% 302,242 2.9%Transfers Out 34,856 115,998 - 115,998 100.0% 34,856 0.0%Capitalized Expenses (10,474,415) - (9,975,508) N/A N/A N/A N/ATotal 8,409,231$ 23,057,240$ 9,792,677$ 3,289,054$ 14.3% (1,383,446)$ (16.5%)

Total Revenues Over/(Under) Total Expenses 3,683,843$ (10,701,981)$ 2,274,360$


v

account for this favorable variance. The expenses are $53,784 higher than last year for this same period.

Operating expenses are below the budgeted amount by $622,830; Maintenance and Operational Supplies are under budget by $298,775. Maintenance Services are under budget by $170,000 and Utility Services are below budget by $177,200. Due to the variable nature of these expenses, it is typical to see fluctuations throughout the year. The Operating expenses are $63,274 higher than last year for this same period.

Other expenses are below the budgeted amount by $801,202; Depreciation expense is below budget by $530,898, depreciation is estimated each month based on the prior year amount. Contingency expenses are under budget by $177,498. The expenses are $770,679 lower than last year for this same period.

Capital expenses are below the budgeted amount by $905,204; Wastewater improvement projects including pump station rehabilitation and replacements are scheduled to occur throughout the fiscal year. 32.52% of the budget for CIP projects has been spent to date.

As revenues and expenditures are monitored, it is important to review the City’s position of total revenues over (under) total expenditures to ensure the City is in compliance with policy. The current actual-to-date reflects revenues exceeding expenditures by $2,274,360.

Irrigation and Drainage District Fund (IDD)

Revenues

Total IDD Fund revenue is above the budgeted amount by $28,035; Intergovernmental is under budget and Charges for Services is over budget. The total IDD Fund revenue is $234,686 below last year for this same period.

Intergovernmental revenue is below the budgeted amount by $318,264; this unfavorable variance is due to the timing difference between the budget and recording the Property Tax revenue. Intergovernmental revenue is $683,127 below last year for this same period.

Charges for Services revenue is above the budgeted amount by $565,526; Water Sales are over budget by approximately $437,826. Meter Fees and Late Penalty Fees are also above the budgeted amount. The revenue is $69,366 below last year for this same period.

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Intergovernmental 3,207,139$ 2,842,276$ 2,524,012$ (318,264)$ (11.2%) (683,127)$ (21.3%)Charges for Services 5,832,902 5,198,010 5,763,536 565,526 10.9% (69,366) (1.2%)Proceeds from Capital Debt - 1,656,272 1,439,276 (216,996) (13.1%) 1,439,276 0.0%Investment Earnings 178,367 129,444 105,873 (23,571) (18.2%) (72,494) (40.6%)Miscellaneous 64,311 - 39,370 39,370 0.0% (24,941) (38.8%)Contributed Capital 846,899 40,896 22,865 (18,031) (44.1%) (824,034) 0.0%Total 10,129,618$ 9,866,898$ 9,894,932$ 28,035$ 0.3% (234,686)$ (2.3%)


vi

Proceeds from Capital Debt revenue is below the budgeted amount by $216,996; this unfavorable variance is related to three CIP projects that are utilizing borrowing to fund the projects. The first project is 60.85% complete, the second is 4.03% complete, and the third is 66.47% complete. The revenue is $1,439,276 above last year for this same period.

Expenses

Total IDD Fund expenses are below the budgeted amount by $5,063,888; the majority of the favorable variance is in Capital expenses followed by Other expenses. The total IDD expenses are $3,615,444 above last year for this same period.

Personnel Service expenses are below the budgeted amount by $332,728; Salary and Wages are under budget about $220,000 and Benefits are under budget the remaining $113,000. The budget amount reflects all authorized positions and full benefit amounts. Vacancies and variables in actual benefits account for this favorable variance. The expenses are $25,397 below last year for this same period.

Operating expenses are below the budgeted amount by $313,601; expenses for Maintenance, Repairs, and Supplies, are below budget by approximately $280,139. General Insurance and Claims expenses are over the budgeted amount by $82,211. The Operating expenses are $78,978 more than last year for this same period.

Other expenses are below the budgeted amount by $363,459; Depreciation expense is below budget by $217,043, depreciation is estimated each month based on the prior year amount, and Contingency is under budget by $137,496. The Other expenses are $169,783 above the same period last year.

Capital expenses are below the budgeted amount by $3,876,569; the favorable variance is related to various water improvement projects that are scheduled for this fiscal year but have had minimal activity to date. The expenses are $1,409,053 more than last year for this same period.

As revenues and expenditures are monitored, it is important to review the City’s position of total revenues over (under) total expenditures to ensure the City is in compliance with policy. The current actual-to-date reflects expenses exceeding revenues by $90,738.

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Personnel Services 1,410,993$ 1,769,118$ 1,436,390$ 332,728$ 18.8% (25,397)$ (1.8%)Operating Expenses 2,363,862 2,756,441 2,442,840 313,601 11.4% (78,978) (3.3%)Other Expenses 903,808 1,437,050 1,073,591 363,459 25.3% (169,783) 0.0%Capital Expenses 904,710 6,190,332 2,313,763 3,876,569 62.6% (1,409,053) (155.7%)Debt Service 401,924 400,776 400,736 40 0.0% 1,188 0.3%Transfers Out 1,312,651 1,452,492 1,275,000 177,492 12.2% 37,651 2.9%Capitalized Expenses (927,722) - 1,043,350 N/A N/A N/A N/ATotal 6,370,226$ 14,006,208$ 9,985,670$ 5,063,888$ 36.2% (3,615,444)$ (56.8%)

Total Revenues Over/(Under) Total Expenses 3,759,392$ (4,139,311)$ (90,738)$


vii

Refuse Fund

Revenues

Total Refuse Fund revenue is below the budgeted amount by $90,124. The total revenue is $78,708 below last year for this same period.

Charges for Services revenue is below the budgeted amount by $83,258; Trash Fees, Recycling Fees and Beautification Fees are below budgeted amounts. The revenue is $41,776 below last year for this same period.

Expenditures

Total Refuse Fund expenditures are below the budgeted amount by $284,254; both Operating and Transfers Out are below the budgeted amounts. The expenditures are $1,735,953 below last year for this same period.

Operating expenditures are below the budgeted amount by $77,886; Professional Services are below budget by approximately $68,000. The expenditures are $60,392 more than last year for this same period.

Transfers Out expenditures are below the budgeted amount by $206,373. The expenditures are $1,796,442 below last year for this same period. The variance is because only one of the planned CIP projects this year has started.

As revenues and expenditures are monitored, it is important to review the City’s position of total revenues over (under) total expenditures to ensure the City is in compliance with policy. The current actual-to-date reflects revenues exceeding expenditures by $228,324.

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Charges for Services 2,884,190$ 2,925,672$ 2,842,414$ (83,258)$ (2.8%) (41,776)$ (1.4%)Investment Earnings 57,564 27,498 20,632 (6,866) (25.0%) (36,932) (64.2%)Total 2,941,754$ 2,953,170$ 2,863,046$ (90,124)$ (3.1%) (78,708)$ (2.7%)

2013-14 2014-15 Actual vs Budget Actual vs Prior YearDescription Actual Budget Actual Fav(Unf) % Fav(Unf) %Operating Expenses 2,540,116$ 2,678,394$ 2,600,508$ 77,886$ 2.9% (60,392)$ (2.4%)Other Expenses 490 582 587 (5) (0.9%) (97) (19.8%)Transfers Out 1,830,069 240,000 33,627 206,373 86.0% 1,796,442 98.2%Total 4,370,675$ 2,918,976$ 2,634,722$ 284,254$ 9.7% 1,735,953$ 39.7%

Total Revenues Over/(Under) Total Expenses (1,428,921)$ 34,194$ 228,324$

Lake Havasu CityGeneral Fund - Unaudited

Balance Sheet

1

December 31, 2014 December 31, 2013

Current AssetsCash and Investments 23,972,972$ 20,650,131$ Receivables

Accounts Receivable 217,815 254,186 Taxes Receivable 2,247,826 2,040,932 Intergovernmental 1,770,927 2,468,281 Interest Receivable 22,637 16,191

Inventories 156,594 193,224 Prepaid Items 293,407 260,016

Total Assets 28,682,178$ 25,882,961$

Current LiabilitiesAccounts Payable 1,101,793$ 813,858$ Accrued Payroll - 606 Interest Payable 52,678 24,382 Intergovernmental Payable 15,632 12,917 Deferred Revenue 2,247,285 2,036,139 Retainage Payable - 153,886 Performance Bonds Payable 96,206 22,804

Total Liabilities 3,513,594 3,064,592

RestrictedReserve for Encumbrances 2,168,437 2,107,830 Reserve for Inventory/Prepaids 450,001 453,240

Unrestricted Fund Balance 22,550,146 20,257,299

Total Fund Balance 25,168,584 22,818,369

Total Liabilities and Fund Balance 28,682,178$ 25,882,961$

LIABILITIES

FUND BALANCE

ASSETS

Lake Havasu CityGeneral Fund - Unaudited

Summary of Revenues and ExpendituresFor the Month Ended December 31, 2014 - 50% of the Year Remaining

2

Annual Amount Unrealized %Budget Estimate Actual Estimate Actual Encumbered Balance Remaining

Revenues by CategorySales Tax 14,754,785$ 1,229,567$ 1,902,409$ 7,377,402$ 8,232,173$ 7,162,406$ 6,522,612$ 44.21%Other Taxes 6,348,530 374,246 923,985 3,174,263 3,232,472 3,327,946 3,116,058 49.08%Licenses and Permits 1,636,839 136,398 322,868 818,388 907,624 861,144 729,215 44.55%Intergovernmental Revenue 14,280,757 1,190,061 1,242,129 7,140,366 6,976,905 6,485,760 7,303,852 51.14%Charges for Services 1,077,936 89,817 100,284 538,902 462,627 529,202 615,309 57.08%Fines and Forfeitures 1,221,020 101,749 97,440 610,494 573,002 619,223 648,018 53.07%Rents and Royalties 122,928 10,243 7,774 61,458 54,791 44,967 68,137 55.43%Investment Earnings 225,000 18,749 18,190 112,494 101,655 160,632 123,345 54.82%Miscellaneous Revenue 163,622 13,632 35,381 81,792 116,325 22,527 47,297 28.91%Transfers In 2,537,000 211,415 208,334 1,268,490 1,253,546 1,168,528 1,283,454 50.59%Other Financing Sources - - - - - 3,906,579 - 0.00%

Total Revenues 42,368,417$ 3,375,877$ 4,858,794$ 21,184,049$ 21,911,120$ 24,288,914$ 20,457,297$ 48.28%

Expenditures by DepartmentCity Council 248,333$ 20,685$ 12,907$ 124,110$ 125,317$ 126,348$ 325$ 122,691$ 49.41%City Clerk 392,949 32,736 68,381 196,416 221,621 138,004 25,108 146,220 37.21%Magistrate Court 1,494,744 124,547 98,776 747,282 711,079 614,343 98,962 684,703 45.81%City Manager 481,168 40,087 33,751 240,522 221,136 212,226 884 259,148 53.86%Human Resource/Risk Mgmt 445,318 37,100 48,179 222,600 212,543 204,255 4,978 227,797 51.15%Community Affairs 452,365 37,688 21,927 226,128 156,984 120,017 8,325 287,056 63.46%Administrative Services 1,990,073 165,798 122,266 994,788 841,178 938,997 73,860 1,075,035 54.02%Information Technology 911,442 75,944 59,912 455,664 430,824 313,629 17,640 462,978 50.80%City Attorney 892,222 74,340 59,888 446,040 394,715 372,953 52,037 445,470 49.93%Non-Departmental 3,041,795 253,468 231,561 1,520,808 1,442,624 1,222,369 437,389 1,161,782 38.19%Contingency 750,000 62,500 - 375,000 - - - 750,000 100.00%Outside Contracts 175,000 14,581 27,417 87,486 88,500 89,283 62,500 24,000 13.71%Non-Dept Cost Allocation (3,413,893) (284,481) (297,378) (1,706,886) (1,778,470) (1,845,107) - (1,635,423) 47.90%Police 14,218,941 1,184,839 1,020,909 7,109,044 6,672,162 6,333,221 465,923 7,080,856 49.80%Fire 11,103,678 925,264 991,847 5,551,584 5,415,145 7,786,365 85,826 5,602,707 50.46%Operations - Administration 549,880 45,809 123,907 274,854 309,882 239,692 10,033 229,965 41.82%Operations - Maintenance Svcs 3,958,226 329,828 327,228 1,978,968 1,993,996 1,830,458 51,564 1,912,666 48.32%Havasu Mobility Service 323,744 26,965 8,394 161,790 75,701 - 388 247,655 76.50%Vehicle Maintenance 867,088 72,238 50,567 433,428 376,306 284,632 617,608 (126,826) (14.63%)Culture and Recreation 2,150,509 179,185 111,195 1,075,110 873,898 927,059 59,140 1,217,471 56.61%Community Services 1,621,642 135,096 104,100 810,576 708,372 542,321 95,947 817,323 50.40%Operating Transfers 6,211,983 517,663 141,167 3,105,978 3,347,000 1,042,500 - 2,864,983 46.12%

Total Expenditures 48,867,207$ 4,071,880$ 3,366,901$ 24,431,290$ 22,840,513$ 21,493,565$ 2,168,437$ 23,858,257$ 48.82%Total Revenues Over (Under)

Total Expenditures (1) (6,498,790)$ (696,003)$ 1,491,893$ (3,247,241)$ (929,393)$ 2,795,349$ 7$

(1) Expenditures over revenues will be funded using the carry forward fund balance from the previous year.

Current Month Year to Date Prior Year to Date

Lake Havasu CitySales Tax Collections

Collected by the Arizona Department of Revenue

3

% $2014+/- 2014 +/-

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015 2015

Jul 1,102,981$ 1,117,268$ 1,219,905$ 1,170,293$ 1,262,340$ 1,346,904$ 6.70% 84,564$ Aug 1,233,535 1,092,462 1,130,812 1,041,971 1,304,735 1,294,755 (0.76%) (9,980) Sep 1,068,446 1,086,216 1,126,185 1,097,286 1,136,525 1,318,109 15.98% 181,584 Oct 988,007 1,092,430 1,091,233 1,078,795 1,180,217 1,207,797 2.34% 27,580 Nov 923,854 1,055,838 1,104,800 1,085,682 1,194,219 1,296,966 8.60% 102,747 Dec 1,076,435 1,165,217 1,164,099 1,161,615 1,307,896 Jan 1,344,673 1,281,226 1,322,441 1,365,039 1,420,599 Feb 1,050,183 1,048,120 1,155,515 1,201,890 1,265,286 Mar 1,150,137 1,275,765 1,319,046 1,188,810 1,342,557 Apr 1,440,274 1,359,838 1,539,945 1,406,572 1,506,683 May 1,255,276 1,265,732 1,344,498 1,301,565 1,400,540

Jun (1) 1,169,661 1,215,552 1,254,295 1,136,297 1,378,208 Total 13,803,462$ 14,055,664$ 14,772,774$ 14,235,815$ 15,699,805$ 6,464,531$ 6.36% 386,495$

Jul 563,077$ 574,342$ 604,409$ 630,778$ 718,272$ 724,102$ 0.81% 5,830$ Aug 575,487 537,298 537,426 577,101 675,826 721,094 6.70% 45,268 Sep 532,695 535,993 560,778 570,522 654,223 709,522 8.45% 55,299 Oct 518,325 533,036 533,646 597,555 624,455 687,844 10.15% 63,389 Nov 535,120 532,378 569,706 623,118 654,620 745,626 13.90% 91,006 Dec 595,499 651,928 663,298 686,528 769,833 Jan 824,854 767,685 794,803 843,284 894,458 Feb 592,345 557,729 626,890 704,004 741,551 Mar 595,144 696,319 699,637 658,850 766,256 Apr 810,053 711,214 780,457 818,612 869,874 May 620,920 636,922 661,215 720,393 795,107 Jun 611,658 615,397 654,946 567,883 797,038

ADOR Class Adj.(2) N/A N/A N/A N/A 88,249Total 7,375,177$ 7,350,241$ 7,687,211$ 7,998,629$ 9,049,762$ 3,588,188$ 7.84% 260,792$

% of Total 53% 52% 52% 56% 58% 56%

% of Change from Previous Fiscal Year Total Tax Collections:(7.73%) 1.83% 5.10% (3.63%) 10.28%

FY07-08 Total Tax 1155785 -252202 -717109.85 536958.85 -1463990 9235274Monthly YTD Avg: 1,063,365$ 1,088,843$ 1,134,587$ 1,094,805$ 1,215,607$ 1,292,906$

*Sales tax revenue reporting by Arizona Department of Revenue (ADOR) is on a one month lag.(1) June FY 2012-2013 and July FY 2013-2014 adjusted for timing issue re-allocating a retail businesses filings to a new TPT number.(2) ADOR classification adjustment. This happens when a business filed in the wrong industry originally and then its corrected with ADOR.

Retail Sales Tax Collections

General Fund Total Sales Tax Collections - 2%

Data Not Yet Available

Data Not Yet Available

$0$200$400$600$800

$1,000$1,200$1,400$1,600$1,800

Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun

Thousands Sales Tax Collections - General Fund

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015

Lake Havasu CityRestaurant and Bar

Sales Tax Collections

4

% $2014 +/- 2014 +/-

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015 2015

Jul 89,730$ 82,921$ 101,327$ 88,469$ 108,781$ 118,496 8.93% 9,715$ Aug 87,030 86,410 97,057 81,022 106,085 105,918 (0.16%) (167)$ Sep 84,124 90,469 81,114 89,045 96,813 112,780 16.49% 15,967$ Oct 71,654 79,619 85,969 81,377 111,100 106,411 (4.22%) (4,689)$ Nov 84,555 82,435 89,542 83,151 107,003 104,804 (2.06%) (2,199)$ Dec 91,043 83,478 81,025 92,979 104,646 Jan 95,823 103,705 96,627 133,513 103,276 Feb 84,587 91,264 101,150 118,336 122,292 Mar 109,124 120,916 122,236 118,958 128,404 Apr 108,377 125,238 129,533 137,191 142,725 May 101,958 96,670 105,799 109,458 116,604 Jun 96,092 100,899 96,744 102,854 125,312

Subtotal 1,104,097$ 1,144,024$ 1,188,123$ 1,236,353$ 1,373,041$ 548,409$ 3.52% 18,627$

Jul 65,073$ 60,297$ 69,578$ 70,137$ 79,839$ 85,092 6.58% 5,253$ Aug 66,178 63,918 67,901 72,353 71,339 80,945 13.47% 9,606$ Sep 60,972 64,567 58,435 59,996 72,880 80,877 10.97% 7,997$ Oct 54,959 58,256 60,112 62,963 70,995 73,122 3.00% 2,127$ Nov 60,148 60,746 61,244 63,216 73,412 73,449 0.05% 37$ Dec 58,672 56,102 57,160 59,620 67,757 Jan 60,427 71,758 70,281 82,095 72,391 Feb 56,983 60,555 70,705 71,849 78,217 Mar 72,696 82,063 74,114 80,443 82,349 Apr 84,149 84,862 86,509 89,202 102,719 May 71,118 79,033 79,302 91,845 85,113 Jun 76,703 67,709 70,828 72,855 91,871

Subtotal 788,078$ 809,866$ 826,169$ 876,574$ 948,882$ 393,485$ 6.79% 25,020$ Total 1,892,175$ 1,953,890$ 2,014,292$ 2,112,927$ 2,321,923$ 941,894$ 43,647$

% of Change from Previous Fiscal Year Total Restaurant & Bar Tax Collections:2.88% 3.26% 3.09% 4.90% 9.89%

FY07-08 -52960 -61715 -60402 -98635 -208996 1380029Monthly YTD Avg: 144,885$ 145,928$ 154,456$ 150,346$ 179,649$ 188,379$

*Sales tax revenue reporting by Arizona Department of Revenue (ADOR) is on a one month lag.

Restaurant & Bar Tax Collections - 2%

Additional Restaurant & Bar Tax Collections - 1%

Data Not Yet Available*


$0

$50

$100

$150

$200

$250

$300


Thousands Restaurant & Bar - Total Sales Tax Collections

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015

Lake Havasu CityTransient Occupancy (Bed) Tax

Sales Tax Collections

5

% $2014 +/- 2014 +/-

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015 2015

Jul 59,354$ 47,478$ 57,044$ 67,814$ 38,274$ 56,668$ 48.06% 18,394$ Aug 62,673 63,878 67,672 61,594 39,341 63,149 60.52% 23,808 Sep 48,796 46,018 37,939 51,395 28,687 56,023 95.29% 27,336 Oct 46,700 46,288 37,768 48,571 33,869 42,514 25.52% 8,645 Nov 41,362 39,172 67,583 43,893 39,091 46,377 18.64% 7,286 Dec 27,566 23,513 31,615 23,831 26,939 Jan 22,824 23,176 26,848 20,111 23,616 Feb 29,448 28,466 35,569 25,770 30,953 Mar 34,521 38,817 47,510 53,156 41,216 Apr 77,146 62,406 93,489 68,044 73,304 May 62,284 76,013 51,773 49,681 51,306 Jun 61,526 41,641 52,448 43,965 50,795

Subtotal 574,200$ 536,866$ 607,258$ 557,825$ 477,391$ 264,731$ 47.68% 85,469$

Jul 53,971$ 51,109$ 55,335$ 63,033$ 59,925$ 66,981 11.77% 7,056$ Aug 62,351 65,256 69,008 56,422 59,972 77,378 29.02% 17,406$ Sep 51,126 48,461 39,903 52,606 81,514 74,377 (8.76%) (7,137)$ Oct 42,536 46,377 39,676 50,422 44,260 47,874 8.17% 3,614$ Nov 40,223 28,120 56,989 43,564 56,774 53,672 (5.46%) (3,102)$ Dec 27,739 30,736 26,445 25,930 33,661 Jan 22,543 25,993 26,002 22,600 28,344 Feb 28,064 28,046 33,899 31,956 42,935 Mar 43,400 43,226 49,396 57,807 57,483 Apr 64,452 64,300 73,653 77,886 94,213 May 60,791 56,467 62,852 77,750 72,121 Jun 55,047 62,691 51,356 58,889 69,871

ADOR Class Adj.(1) N/A N/A N/A N/A 5,428Subtotal 552,243$ 550,782$ 584,514$ 618,865$ 701,073$ 320,282$ 5.90% 17,837$

Total 1,126,443$ 1,087,648$ 1,191,772$ 1,176,690$ 1,183,892$ 585,013$ 103,306$

% of Change from Previous Fiscal Year Total Accomodation / Transient Occupancy (Bed) Tax Collections:0.34% (3.44%) 9.57% (1.27%) 0.61%

FY 07-08 Total t -3867 38795 -104124 15082 -7202Monthly YTD Avg: 101,818$ 96,431$ 105,783$ 107,863$ 96,341$ 117,003$

*Sales tax revenue reporting by Arizona Department of Revenue (ADOR) is on a one month lag.(1) ADOR classification adjustment. This happens when a business filed in the wrong industry originally and then its corrected with ADOR.

Accomodation Tax Collections - 2%

Transient Occupancy (Bed) Tax Collections - 3%



$0$20$40$60$80

$100$120$140$160$180


Thousands Accomodation & Transient Occupancy (Bed) Tax Collections

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015

Lake Havasu CityConstruction Sales Tax Collections

6

% $2014 +/- 2014 +/-

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015 2015 2015

Jul 79,520$ 131,920$ 109,040$ 146,247$ 136,356$ 127,698 (6.35%) (8,658)$ Aug 110,657 119,135 97,322 112,371 161,930 137,680 (14.98%) (24,250)$ Sep 133,732 137,674 128,373 116,304 124,211 145,059 16.78% 20,848$ Oct 74,224 117,160 114,989 104,805 142,461 130,764 (8.21%) (11,697)$ Nov 88,395 114,676 106,728 101,649 127,110 147,548 16.08% 20,438$ Dec 74,055 119,716 91,060 108,588 122,186 Jan 95,120 112,292 75,862 98,056 132,530 Feb 71,357 84,603 91,603 123,980 123,491 Mar 118,702 104,218 107,709 108,947 142,556 Apr 97,024 132,127 115,161 118,119 114,927 May 142,594 119,294 90,518 122,913 154,827 Jun 99,964 102,731 80,953 130,780 141,660

Total 1,185,344$ 1,395,546$ 1,209,318$ 1,392,759$ 1,624,245$ 688,749$ (0.48%) (3,319)$

% of Change from Previous Fiscal Year Construction Sales Tax Collections(43.25%) 17.73% (13.34%) 15.17% 16.62%

FY 07-08 903238 -210202 186228 -183441 -231486Monthly YTD Avg: 97,306$ 124,113$ 111,290$ 116,275$ 138,414$ 137,750$

*Sales tax revenue reporting by Arizona Department of Revenue (ADOR) is on a one month lag.

424396.8892 88450.72578 201044.8805 91611.45056 102760.2971

Construction Sales Tax - 2%


$0$20$40$60$80

$100$120$140$160$180


Thousands Construction Sales Tax Collections

2009-2010 2010-2011 2011-2012 2012-2013 2013-2014 2014-2015

Lake Havasu CityState Revenue Sharing

7

% $2014 +/- 2014 +/-

2012-13 2013-14 2014-15 2015 2015Jul 447,127$ 488,349$ 529,893$ 8.51% 41,544$

Aug 447,127 488,349 529,893 8.51% 41,544Sep 447,127 488,349 529,893 8.51% 41,544Oct 447,127 488,349 529,893 8.51% 41,544Nov 447,127 488,349 529,893 8.51% 41,544Dec 447,127 488,349 529,893 8.51% 41,544Jan 447,127 488,349 - Feb 447,127 483,637 - Mar 447,127 488,181 - Apr 447,127 488,181 - May 447,127 488,181 - Jun 447,127 488,181 -

Total 5,365,524$ 5,854,804$ 3,179,358$ 8.51% 249,264$

Monthly YTD Avg: 447,127$ 488,349$ 529,893$ 8.51%

2015 Budget 6,358,345$ % Received 50.00%

$0$50

$100$150$200$250$300$350$400$450$500$550$600


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State Revenue Sharing-General Fund

2012-13 2013-14 2014-15

Lake Havasu CityState Sales Tax

8

% $2014 +/- 2014 +/-

2012-13 2013-14 2014-15 2015 2015Jul 348,563$ 374,326$ 388,200$ 3.71% 13,874$

Aug 349,374 368,020 375,313 1.98% 7,293Sep 325,946 352,588 370,938 5.20% 18,350Oct 337,604 360,501 376,281 4.38% 15,780 Nov 338,497 355,339 376,421 5.93% 21,082 Dec 340,581 360,662 373,638 3.60% 12,976 Jan 351,750 373,965 - Feb 420,419 473,119 - Mar 347,924 357,496 - Apr 349,599 377,935 - May 401,054 419,049 - Jun 362,360 385,222 -

Total 4,273,671$ 4,558,222$ 2,260,791$ 4.12% 89,355$

Monthly YTD Avg: 340,094$ 361,906$ 376,799$ 4.12%

2015 Budget 4,746,255$ % Received 47.63%

$0$50

$100$150$200$250$300$350$400$450$500


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State Sales Tax-General Fund

2012-13 2013-14 2014-15

Lake Havasu CityBuilding Permit Revenue

9

% $2014 +/- 2014 +/-

2011-12 2012-13 2013-14 2014-15 2015 2015Jul 30,678$ 56,105$ 112,898$ 113,711$ 0.72% 813$

Aug 60,765 78,931 76,592 87,676 14.47% 11,084Sep 56,060 63,086 86,721 84,504 (2.56%) (2,217)Oct 51,119 83,065 105,067 119,901 14.12% 14,834 Nov 56,432 73,641 86,221 92,288 7.04% 6,067 Dec 48,248 60,739 76,868 98,628 28.31% 21,760 Jan 44,709 66,037 81,824 - Feb 50,873 71,167 100,134 - Mar 55,032 84,509 100,864 - Apr 56,781 91,337 85,982 - May 69,371 123,220 118,755 - Jun 57,726 81,104 85,814 -

Total 637,794$ 932,941$ 1,117,740$ 596,708$ 9.62% 52,341$

Monthly YTD Avg: 50,550$ 69,261$ 90,728$ 99,451$

2015 Budget 1,100,002$ % Received 54.25%

$5

$25

$45

$65

$85

$105

$125


Thousands Building Permit Revenue

2011-12 2012-13 2013-14 2014-15

Lake Havasu CityBuilding Permits Issued

10

% $2014 +/- 2014 +/-

2011-12 2012-13 2013-14 2014-15 2015 2015Jul 56 71 119 123 103.36% 4

Aug 77 81 106 100 (5.66%) (6) Sep 64 85 106 108 1.89% 2 Oct 64 103 117 120 2.56% 3 Nov 78 86 88 92 4.55% 4 Dec 64 73 85 127 49.41% 42 Jan 65 83 104 0Feb 72 94 115 0Mar 90 92 135 0Apr 83 122 113 0May 101 116 145 0Jun 81 68 123 0

Total 895 1074 1356 670 7.89% 49

Monthly YTD Avg: 67 83 104 112

0

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40

60

80

100

120

140

160


Building Permits Issued

2011-12 2012-13 2013-14 2014-15

Lake Havasu CityBuilding Permits Issued by Category

11

SingleFamily

Multi-Family

Add / Alter/ Demo

Pools /Spas Commercial Industrial

Add / Alter/ Demo

2014-15 Total

Jul 30 - 51 35 - - 7 123 Aug 11 - 44 31 1 - 13 100 Sep 14 - 50 38 1 - 5 108 Oct 29 7 47 25 1 - 11 120 Nov 19 - 43 29 - - 1 92 Dec 16 - 79 26 1 - 5 127 Jan - - - - - - - - Feb - - - - - - - - Mar - - - - - - - - Apr - - - - - - - - May - - - - - - - - Jun - - - - - - - -

Total 119 7 314 184 4 - 42 670

Totals at 6/30/14 244 1 732 292 5 - 85 1,359

FY 2013-14 Monthly Average 20 - 61 24 - - 7 113

FY 2014-15 Monthly Average 17 1 45 26 1 0 8 109

% ChangeMonthly Avg (15.00%) 0.00% (26.23%) 8.33% 0.00% 0.00% 14.29% (3.54%)

*All Other includes: Duplex, Triplex/Fourplex, Apartments, Mobile Homes, Garage/Carports, New Commercial, Additions/Alterations and Pools/Spas

Residential Commercial

18%

82%

Single Family as Compared to All Other Permits Issued

Single Family

All Other *

Lake Havasu CityHURF Fund - Unaudited

Balance Sheet

12



Accounts Receivable 6,349 3,003 Intergovernmental Receivable 400,635 395,506 Interest Receivable 2,254 2,763

Inventories 49,500 49,500 Prepaid Items 73,859 72,298

Total Assets 3,337,264$ 3,117,280$

Current LiabilitiesAccounts Payable 300$ 5,312$ Retainage Payable 4,079 - Interest Payable 419 76

Total Liabilities 4,798 5,388

RestrictedReserve for Encumbrances 288,200 261,575 Reserve for Inventory/Prepaids 123,360 121,798

Unrestricted Fund Balance 2,920,906 2,728,519

Total Fund Balance 3,332,466 3,111,892

Total Liabilities and Fund Balance 3,337,264$ 3,117,280$

Highway User Revenue Fund - This fund is used to account for the City's share of motor fuels taxes and fees relating to the registration and operation of motor vehicles on the public highways of the state. The taxes, fees and charges are collected by the State of Arizona and distributed to the various towns and cities. Use of these funds is restricted to highway construction, improvements and other related expenses.

ASSETS

LIABILITIES

FUND BALANCE

This balance sheet reflects the activity in the Highway User Revenue Special Revenue Fund. Special Revenue Funds are established to finance particular activities and are created out of receipts of specific taxes or other earmarked revenue.

Lake Havasu CityHURF Fund - Unaudited


13


Intergovernmental RevenueHighway User Revenue 4,401,526$ 366,793$ 332,025$ 2,200,757$ 2,188,497$ 2,037,947$ 2,213,029$ 50.28%

Charges for Services 16,000 1,333 (1,939) 7,998 9,352 7,075 6,648 41.55%Investment Earnings 35,000 2,916 1,992 17,496 11,076 25,222 23,924 68.35%Miscellaneous - - 7,874 - 9,836 137 (9,836) 0.00%Transfers In 550,000 45,833 45,833 274,999 275,000 525,000 275,000 50.00%

Total Revenues 5,002,526$ 416,875$ 385,785$ 2,501,251$ 2,493,761$ 2,595,381$ 2,508,765$ 50.15%

Expenditures by CategoryPersonnel Services 1,634,328$ 136,186$ 93,094$ 817,116$ 679,364$ $ 702,909 -$ 954,964$ 58.43%Professional Services - - - - 500 - - 0.00%Other Purchased Services 33,291 2,771 399 16,627 14,113 19,604 8,063 11,115 33.39%Utility Services 70,813 5,989 6,517 34,854 29,701 29,459 - 41,112 58.06%Repair & Maintenance Services 2,358,400 196,880 56,626 1,177,080 282,098 682,491 137,590 1,938,712 82.20%Leases & Rentals 50,000 4,166 - 24,996 16,398 3,009 17,446 16,156 32.31%General Insurance & Claims 317,805 26,483 - 158,897 225,328 217,761 - 92,477 29.10%General Supplies 15,100 1,256 249 7,539 10,093 6,034 - 5,007 33.16%Maintenance & Operational Supplies 963,017 79,806 45,616 484,116 301,482 421,589 125,101 536,434 55.70%Inter-Cost Allocations (net) 423,913 35,319 35,326 211,915 211,957 204,783 - 211,956 50.00%Capital Outlay 25,000 2,083 14,446 12,499 21,271 - - 3,729 14.92%Capital Lease Principal 3,573 297 - 1,781 1,746 24,544 - 1,827 51.13%Capital Lease Interest 3,300 275 - 1,650 1,675 453 - 1,625 49.24%Contingency 92,000 7,666 - 45,994 - - 92,000 100.00%Transfers Out - - - 5,614 - - 0.00%

Total Expenditures 5,990,540$ 499,177$ 252,273$ 2,995,062$ 1,795,226$ 2,318,750$ 288,200$ 3,907,114$ 65.22%Total Revenues Over (Under)

Total Expenditures (1) (988,014)$ (82,302)$ 133,512$ (493,811)$ 698,535$ 276,631$


Revenues by Category

Prior Year to Date

Current Month Year to Date

Lake Havasu CityHURF Revenue

14

% $2013 +/- 2013 +/-

2013-14 2014-15 2014 2014Jul 395,506$ 400,635$ 1.30% 5,129$

Aug 352,757 382,365 8.39% 29,608 Sep 340,250 379,335 11.49% 39,085 Oct 339,432 362,052 6.66% 22,620 Nov 307,167 332,084 8.11% 24,917 Dec 302,835 332,025 9.64% 29,190 Jan 313,278 Feb 334,069 Mar 324,078 Apr 374,589 May 425,335 Jun 385,345

Total 4,194,641$ 2,188,496$ 26.13% 150,549$

Monthly Average 339,658$ 364,749$ 7.39%

2015 Budget 4,401,526$ % Received 49.72%

$0$50

$100$150$200$250$300$350$400$450


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HURF Revenue

2013-14 2014-15

Lake Havasu CityDebt Service Fund - Unaudited

Balance Sheet

15


Current AssetsCash and Investments 162,686$ 123,631$ Receivables

Interest Receivable (12) 89

Total Assets 162,674$ 123,720$

Current LiabilitiesAccount Payable 39,279$ -$

Total Liabilities 39,279 -

Unrestricted Fund Balance 123,395 123,720

Total Fund Balance 123,395 123,720

Total Liabilities and Fund Balance 162,674$ 123,720$

ASSETS

LIABILITIES

FUND BALANCE

Debt Service Funds are established to account for the accumulation of resources for, and payment of, general long-term debt principal and interest that are not serviced by the Enterprise Funds.

The Debt Service Fund reflects activity for the GADA Series 2008A bonds for the Second Bridge to the Island.

Lake Havasu CityDebt Service Fund - Unaudited


16


Revenues by CategoryInvestment Earnings 1,050$ 87$ 59$ 522$ 210$ 754$ 840$ 80.00%Miscellaneous - -$ (46)$ -$ 39$ Transfers In 244,000 20,333 20,333 121,998 122,000 122,500 122,000 50.00%

Total Revenues 245,050$ 20,420$ 20,346$ 122,520$ 122,249$ 123,254$ 122,840$ 50.13%

Expenditures by CategoryBonded Debt Principal 160,000$ -$ -$ 160,000$ 160,000$ 150,000$ -$ -$ 0.00%Bonded Debt Interest 79,096 - - 7,081 7,080 7,580 - 72,016 91.05%Debt Service Fees 900 - - - - - - 900 100.00%

Total Expenditures 239,996$ -$ -$ 167,081$ 167,080$ 157,580$ -$ 72,916$ 30.38%Total Revenues Over (Under)

Total Expenditures (1) 5,054$ 20,420$ 20,346$ (44,561)$ (44,831)$ (34,326)$



Lake Havasu CityWastewater Funds - Unaudited

Balance Sheet

17



Accounts Receivable 5,401,000 6,032,480 Taxes Receivable - 26,713 Intergovernmental Receivable - 1,868,079 Interest Receivable 45,802 64,001

Prepaid Items 45,933 40,519 Deferred Charges - 4,203,963 Restricted Assets 25,590,112 15,873,951

Total Current Assets 65,243,082 73,525,609

Noncurrent AssetsCapital Assets

Land 1,405,129 1,405,129 Buildings 876,520 871,586 Improvements Other than Buildings 390,707,392 389,763,443 Machinery and Equipment 2,969,745 2,482,462 Construction in Progress 261,359 183,943 Capital Leases 230,750 230,750

Less: Accumulated Depreciation (86,099,590) (75,461,289)

Total Capital Assets (Net of Accumulated Depreciation) 310,351,305 319,476,024

Total Noncurrent Assets 310,351,305 319,476,024 Total Assets 375,594,387$ 393,001,633$

Current LiabilitiesAccounts Payable 1,452,936$ 4,548$ Intergovernmental Payable 5,442 9,561 Interest Payable 1,489 53 Retainage Payable 14,078 - Deferred Revenue 1,383 260 Compensated Absences 133,605 64,768 Capital Leases Payable 6,498 5,487 Bonds and Notes Payable - 95,258

Total Current Liabilities 1,615,431 179,935

Noncurrent LiabilitiesCapital Leases Payable 197,033 205,524 Compensated Absences 20,887 64,540 Other Post Employment Benefits 338,419 279,259 Bonds and Notes Payable 278,299,641 288,268,940

Total Noncurrent Liabilities 278,855,980 288,818,263 Total Liabilities 280,471,411 288,998,198

Net Investment in Capital Assets 31,848,133 30,900,815 Unrestricted (1) 63,274,843 73,102,620 Total Net Position 95,122,976$ 104,003,435$

(1) The unrestricted fund balance includes $28.5 million designated for future capital improvements, $2.5 million for capital replacement, $10 million for debt service payments, $6.5 million for debt

service reserves, and $6.5 million for rate stabilization.

ASSETS

LIABILITIES

NET POSITION

This balance sheet reflects the activity of the Wastewater Utilities Fund, Wastewater Construction, Wastewater Capital Replacement and Wastewater Debt Service Funds.

Lake Havasu CityWastewater Funds - Unaudited

Summary of Revenues and ExpensesFor the Month Ended December 31, 2014 - 50% of Year Remaining

18


Revenues by CategoryIntergovernmental 148,500$ 12,375$ -$ 74,250$ -$ $ - 148,500$ 100.00%Charges for Services 23,130,065 1,927,505 1,913,778 11,565,030 11,538,918 11,138,150 11,591,147 50.11%Investment Earnings 942,000 78,498 41,781 470,988 252,253 580,341 689,747 73.22%Miscellaneous Revenues - - (23,987) - (8,148) 35,035 8,148 0.00%Contributed Capital 490,000 40,831 40,201 244,992 284,014 339,548 205,986 42.04%

Total Revenues 24,710,565$ 2,059,210$ 1,971,773$ 12,355,260$ 12,067,037$ 12,093,074$ 12,643,528$ 51.17%

Expenses by CategoryPersonnel Services 2,494,483$ 207,866$ 172,448$ 1,247,196$ 1,106,506$ 1,052,722$ -$ 1,387,977$ 55.64%Professional Services 109,934 8,993 12,697 55,958 129,369 105,140 68,291 (87,726) (79.80%)Other Purchased Services 293,021 24,418 11,336 146,471 114,805 118,599 33,710 144,506 49.32%Utility Services 1,571,650 130,969 97,739 785,814 608,610 589,390 650 962,390 61.23%Repair & Maintenance Services 731,770 60,978 29,439 365,868 195,287 144,854 152,662 383,821 52.45%Leases & Rentals 5,000 416 - 2,496 3,573 720 1,427 - 0.00%General Insurance & Claims 244,100 20,341 14,849 122,046 153,827 126,607 - 90,273 36.98%General Supplies 161,750 13,477 6,612 80,868 31,223 34,202 2,426 128,101 79.20%Maintenance and Operational Supplies 1,662,197 138,512 144,535 831,072 530,040 590,190 801,211 330,946 19.91%Inter-Cost Allocations 813,664 67,796 69,041 406,776 407,804 401,562 - 405,860 49.88%Depreciation 11,001,945 916,828 828,345 5,500,968 4,970,070 4,199,391 - 6,031,875 54.83%Capital Outlay 1,558,034 128,486 98,283 787,092 480,116 65,396 583,733 494,185 31.72%Capital Improvement Program 2,795,295 230,589 216,253 1,411,760 813,532 894,351 95,528 1,886,235 67.48%Capital Lease Principal 12,707 1,058 - 6,348 6,209 17,185 - 6,498 51.14%Capital Lease Interest 11,737 978 - 5,869 5,957 317 - 5,780 49.25%Contingency 355,000 29,583 - 177,498 - - - 355,000 100.00%Budget Moved to Unavailable (2) 232,012 23,201 - 92,806 - - - 232,012 100.00%Debt Service- Principle 10,672,382 - - 10,672,382 9,969,299 10,266,206 - 703,083 6.59%Debt Service- Interest Expense 10,515,124 - - 241,958 241,958 241,958 - 10,273,166 97.70%Issuance Costs 216,340 - - - - - - 216,340 100.00%Transfers Out 232,000 19,333 - 115,998 - 34,856 - 232,000 100.00%Capitalized Expenses - - - - (9,975,508) (10,474,415) - - 0.00%

Total Expenses 45,690,145$ 2,023,823$ 1,701,577$ 23,057,240$ 9,792,677$ 8,409,231$ 1,739,638$ 24,182,321$ 52.93%Total Revenues Over (Under)

Total Expenses (1) (20,979,580)$ 35,387$ 270,196$ (10,701,981)$ 2,274,360$ 3,683,843$

(1) Expenses over revenues will be funded using the carry forward fund balance from the previous year.(2) This is the portion of the carryforward amount in the adopted budget for FY 14/15 that was spent before FY 13/14 closed and is not available to the department in FY 14/15.


Lake Havasu CityWastewater Funds Revenues

19

% $ % $2014 +/- 2014 +/- 2014 +/- 2014 +/-

2013-14 2014-15 2015 2015 2013-14 2014-15 2015 2015Jul 2,281,364$ 1,958,960$ (14.13%) (322,404)$ Jul 1,859,069$ 1,910,565$ 2.77% 51,496$

Aug 2,019,401 2,030,065 0.53% 10,664 Aug 1,931,827 1,959,466 1.43% 27,639 Sep 1,957,783 2,010,885 2.71% 53,102 Sep 1,857,108 1,936,430 4.27% 79,322 Oct 1,931,813 2,092,859 8.34% 161,046 Oct 1,824,843 1,906,300 4.46% 81,457 Nov 1,966,789 2,002,495 1.82% 35,706 Nov 1,823,177 1,912,379 4.89% 89,202 Dec 1,935,921 1,971,773 1.85% 35,852 Dec 1,842,128 1,913,778 3.89% 71,650 Jan 1,881,648 Jan 1,783,561Feb 1,883,284 Feb 1,796,688Mar 1,641,398 Mar 1,834,957Apr 1,959,028 Apr 1,874,094May 2,046,625 May 1,928,964Jun 2,230,230 Jun 1,971,322

Total 23,735,287$ 12,067,037$ (0.22%) (26,034)$ Total 22,327,736$ 11,538,918$ 3.60% 400,766$

Monthly YTD Avg: 2,015,512$ 2,011,173$ (0.22%)

Monthly YTD Avg: 1,856,359$ 1,923,153$ 3.60%

2015 Budget 24,710,565$ % Received 48.83% 2015 Budget 23,066,393$ % Received 50.02%

(Excludes Transfers In & Debt Proceeds) Usage FeesTotal Revenues

$0

$500

$1,000

$1,500

$2,000

$2,500


Thou

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s

Total Revenues

2013-14 2014-15

$200$400$600$800

$1,000$1,200$1,400$1,600$1,800$2,000$2,200


Thou

sand

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Usage Fees

2013-14 2014-15

Lake Havasu CityIDD Fund - Unaudited

Balance Sheet

20



Accounts Receivable 1,084,919 1,091,388 Taxes Receivable 109,253 183,723 Intergovernmental Receivable 64,028 426,158 Interest Receivable 11,615 16,352

Prepaid Expenses 96,338 91,394 Deferred Charges - 80,397 Restricted Assets 990,441 875,919



Land 1,186,567 1,186,567 Buildings 23,751,451 23,747,473 Improvements Other than Buildings 62,522,791 60,939,547 Machinery and Equipment 1,840,425 1,775,859 Construction in Progress 3,849,630 3,029,356 Capital Leases 302,252 302,252 Water Rights 8,540,235 8,540,235




Current LiabilitiesAccounts Payable 1,857$ 23,486$ Intergovernmental Payable 123,682 110,708 Interest Payable 1,202 70 Retainage Payable 359,370 118,531 Deferred Revenue 172,808 191,428 Liabilities from Restricted Assets 448,295 436,769 Compensated Absences 163,280 79,657 Capital Leases Payable 5,247 4,431 Bonds and Notes Payable - 5,000

Total Current Liabilities 1,275,741 970,080

Noncurrent LiabilitiesCapital Leases Payable 159,101 165,722 Compensated Absences 25,527 78,553 Other Post Employment Benefits 621,297 542,625 Bonds and Notes Payable 5,305,246 4,091,795


Net Investments in Capital Assets 63,644,389 64,731,199 Unrestricted (1) 26,552,090 22,764,627 Total Net Position 90,196,479$ 87,495,826$

This balance sheet reflects the activity of the Irrigation and Drainage District Fund.(1) The unrestricted fund balance includes approximately $419,058 for debt service payments and approximately $571,383 for debt service reserves.

LIABILITIES

NET POSITION

ASSETS

Lake Havasu CityIDD Fund - Unaudited

Summary of Revenues and ExpensesFor the Month Ended December 31, 2014 - 50% of the Year Remaining

21


Revenues by CategoryIntergovernmental Revenue

Grants 86,000$ 7,516$ 2,166$ 40,896$ 22,865$ 846,899$ 63,135$ 73.41%Property Tax 5,684,564 473,713 904,053 2,842,276 2,524,012 3,207,139 3,160,552 55.60%

Charges for Services 10,391,880 865,635 834,368 5,198,010 5,763,536 5,832,902 4,628,344 44.54%Proceeds from Capital Debt 3,312,545 276,045 58,868 1,656,272 1,439,276 - 1,873,269 56.55%Investment Earnings 258,900 21,574 18,809 129,444 105,873 178,367 153,027 59.11%Miscellaneous - - 9,249 - 39,370 64,311 (39,370) 0.00%

Total Revenues 19,733,889$ 1,644,483$ 1,827,513$ 9,866,898$ 9,894,932$ 10,129,618$ 9,838,957$ 49.86%

Expenses by CategoryPersonnel Services 3,538,340$ 294,853$ 219,145$ 1,769,118$ 1,436,390$ 1,410,993$ -$ 2,101,950$ 59.40%Professional Services 77,761 6,480 6,390 38,880 34,016 30,443 52,062 (8,317) (10.70%)Other Purchased Services 310,058 25,483 8,303 157,098 130,477 124,705 24,245 155,336 50.10%Utility Services 1,634,250 136,187 103,378 817,122 771,014 741,402 250 862,986 52.81%Repair & Maintenance Services 866,701 72,131 72,709 433,858 253,719 147,215 159,072 453,910 52.37%Leases & Rentals 33,000 2,750 2,127 16,500 16,469 15,362 1,902 14,629 44.33%General Insurance & Claims 317,805 26,483 - 158,898 241,109 227,496 211 76,485 24.07%General Supplies 65,100 5,423 2,030 32,538 14,079 18,471 3,069 47,952 73.66%Maintenance and Operational Supplies 995,725 82,899 69,489 498,273 427,708 514,156 181,292 386,725 38.84%Outside Contracts 5,200 433 1,500 2,598 1,500 - - 3,700 71.15%Inter-Cost Allocations 1,064,650 88,713 88,194 532,278 529,884 544,612 - 534,766 50.23%Depreciation 2,591,268 215,939 179,765 1,295,634 1,078,591 903,808 - 1,512,677 58.38%Capital Outlay 687,021 57,251 - 343,506 209,263 - 105,999 371,759 54.11%Capital Improvement Program 11,693,660 974,471 365,763 5,846,826 2,104,500 904,710 1,224,711 8,364,449 71.53%Capital Lease Principal 10,261 855 - 5,131 5,014 22,578 - 5,247 51.14%Capital Lease Interest 9,477 789 - 4,734 4,810 417 4,667 49.25%Contingency 275,000 22,916 - 137,496 - - - 275,000 100.00%Budget Moved to Unavailable (2) 9,799 980 - 3,920 - - - 9,799 100.00%Debt Service- Principle 390,912 - - 390,912 390,912 378,929 - - 0.00%Debt Service- Interest 225,324 - - - - - - 225,324 100.00%Issuance costs 5,001 - - - - - - 5,001 100.00%Water Grants 141,000 12,100 - 68,400 22,865 - 1,626 116,509 82.63%Transfers Out 2,905,000 242,082 212,500 1,452,492 1,275,000 1,312,651 - 1,630,000 56.11%Miscellaneous - - (5,000) - (5,000) 5,000 0.00%Capitalized Expenses - - 58,868 - 1,043,350 (927,722) - - 0.00%

Total Expenses 27,852,313$ 2,269,216$ 1,385,161$ 14,006,208$ 9,985,670$ 6,370,226$ 1,754,439$ 17,155,554$ 61.59%Total Revenues over (under)

Total Expenses (1) (8,118,424)$ (624,733)$ 442,352$ (4,139,311)$ (90,738)$ 3,759,392$

(1) Expenses over revenues will be funded using the carry forward fund balance from the previous year.(2) This is the portion of the carryforward amount in the adopted budget for FY 14/15 that was spent before FY 13/14 closed and is not available to the department in FY 14/15.


Lake Havasu CityIDD Fund Revenues

22

% $ % $2014 +/- 2014 +/- 2014 +/- 2014 +/-

2013-14 2014-15 2015 2015 2013-14 2014-15 2015 2015Jul 1,209,104$ 1,002,741$ (17.07%) (206,363)$ Jul 1,020,490$ 978,437$ (4.12%) (42,053)$

Aug 1,184,474 1,146,456 (3.21%) (38,018) Aug 1,113,233 1,065,749 (4.27%) (47,484) Sep 1,536,923 1,080,470 (29.70%) (456,453) Sep 1,077,707 1,005,971 (6.66%) (71,736) Oct 1,228,770 1,057,166 (13.97%) (171,604) Oct 949,766 978,974 3.08% 29,208 Nov 2,845,678 2,400,180 (15.66%) (445,498) Nov 890,244 900,037 1.10% 9,793 Dec 2,124,667 1,768,645 (16.76%) (356,022) Dec 786,684 834,368 6.06% 47,684 Jan 1,228,934 Jan 675,631 Feb 1,045,322 Feb 717,626 Mar 1,093,841 Mar 691,103 Apr 1,191,662 Apr 761,533 May 2,049,341 May 845,291 Jun 2,646,537 Jun 938,690

Total 19,385,253$ 8,455,658$ (16.53%) (1,673,958)$ Total 10,467,998$ 5,763,536$ (1.28%) (74,588)$

Monthly YTD Avg: 1,688,269$ 1,409,276$ (16.53%)

Monthly YTD Avg: 973,021$ 960,589$ (1.28%)

2015 Budget 16,421,344$ % Received 51.49% 2015 Budget 10,391,880$ % Received 55.46%

Usage Fees(Excludes Transfers In & Debt Proceeds)Total Revenues

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000


Thou

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s

Total Revenues

2013-14 2014-15

$0

$200

$400

$600

$800

$1,000

$1,200

Jul Aug Sep Oct NovDec Jan Feb MarAprMay Jun

Thou

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Usage Fees

2013-14 2014-15

Lake Havasu CityRecreation/Aquatic Fund - Unaudited

Balance Sheet

23


Current AssetsCash and Investments 276,722$ 249,482$ Receivables

Accounts Receivable 4,335 3,232 Interest Receivable 439 338

Inventory 4,246 3,261 Prepaid Expenses 6,774 17,296

Total Current Assets 292,516 273,609


Buildings 8,876,503 8,796,185 Machinery and Equipment 39,370 39,370




Current LiabilitiesAccounts Payable 458$ 744$ Accrued Payroll - 7,497 Interest Payable 8,956 747 Intergovernmental Payable 582 - Deferred Revenue 27,911 28,060 Compensated Absences 15,038 - Capital Leases Payable 39,078 32,999

Total Current Liabilities 92,023 70,047

Noncurrent Liabilities Capital Leases Payable 1,184,932 1,235,275 Compensated Absences 2,351 7,750 Other Post Employment Benefits 45,952 37,974


Net Investments in Capital Assets 3,897,154 4,085,963 Unrestricted 191,268 190,837 Total Net Position 4,088,422$ 4,276,800$

This balance sheet reflects the activity of the Recreation and Aquatic Center.

ASSETS

LIABILITIES

NET ASSETS

Lake Havasu CityRecreation/Aquatic Fund - UnauditedSummary of Revenues and Expenses

For the Month Ended December 31, 2014 - 50% of the Year Remaining

24


Charges for Services 344,750$ 28,724$ 33,465$ 172,344$ 149,504$ $ 163,324 195,246$ 56.63%Rents and Royalties 16,938 1,411 1,412 8,466 8,469 8,469 8,469 50.00%Investment Earnings 3,103 258 198 1,548 1,219 2,388 1,884 60.72%Miscellaneous 175 14 (107) 84 166 67 9 5.14%Transfers In 1,210,000 100,833 100,833 604,998 605,000 545,000 605,000 50.00%

Total Revenues 1,574,966$ 131,240$ 135,801$ 787,440$ 764,358$ 719,248$ 810,608$ 51.47%

Personnel Services 690,630$ 57,546$ 41,361$ 345,276$ 295,750$ $ 260,704 -$ 394,880$ 57.18%Professional Services 2,220 185 - 1,110 1,821 320 1,028 (629) (28.33%)Other Purchased Services 56,430 4,698 2,281 28,188 20,474 7,158 571 35,385 62.71%Utility Services 154,970 12,913 13,451 77,478 65,588 66,058 - 89,382 57.68%Repair & Maintenance Services 54,825 4,567 1,907 27,402 18,876 19,055 2,329 33,620 61.32%Leases & Rentals 5,400 450 - 2,700 903 1,211 - 4,497 83.28%General Insurance & Claims 51,814 4,317 - 25,902 20,640 19,934 - 31,174 60.17%General Supplies 18,000 1,498 791 8,988 4,698 5,256 2,694 10,608 58.93%Maintenance and Operational Supplies 74,188 6,179 8,694 37,074 39,137 39,400 14,977 20,074 27.06%Outside Contracts 43,000 3,583 5,784 21,498 8,130 3,211 - 34,870 81.09%Inter-Cost Allocations 264,836 22,064 22,070 132,384 132,419 123,419 - 132,417 50.00%Depreciation 262,313 21,859 24,208 131,154 145,251 120,698 - 117,062 44.63%Capital Outlay 130,000 10,833 1,024 64,998 62,676 - 10,902 56,422 43.40%Capital Lease Principal 76,419 6,368 - 38,208 37,341 - - 39,078 51.14%Capital Lease Interest 70,584 5,882 - 35,292 35,822 - - 34,762 49.25%Contingency 3,500 291 - 1,746 - - - 3,500 100.00%Transfers Out - - - - (37,341) 70,491 - 37,341 0.00%

Total Expenses 1,959,129$ 163,233$ 121,571$ 979,398$ 852,185$ 705,218$ 32,501$ 1,074,443$ 54.84%Total Revenues Over (Under)

Total Expenses (1) (384,163)$ (31,993)$ 14,230$ (191,958)$ (87,827)$ 14,030$

(1) Expenses over revenues will be funded using the carry forward fund balance from the previous year.



Expenses by Category

Lake Havasu CityRefuse Fund - Unaudited

Balance Sheet

25



Accounts Receivable 490,030 586,202 Interest Receivable 5,677 6,853



Improvements Other than Buildings 47,005 47,005 Less: Accumulated Depreciation (22,914) (21,641)

Total Capital Assets (Net of Accumulated Depreciation) 24,091 25,364

Total Noncurrent Assets 24,091 25,364 Total Assets 5,588,015$ 5,451,878$

Current LiabilitiesAccounts Payable 373,316$ 365,237$


Noncurrent Liabilities Landfill Closure Liability 2,838,673 2,721,258


Net Investments in Capital Assets 24,091 25,364 Unrestricted 2,351,935 2,340,019 Total Net Position 2,376,026$ 2,365,383$

This balance sheet reflects the activity of the Refuse Fund.

LIABILITIES

NET POSITION

ASSETS

Lake Havasu CityRefuse Fund - Unaudited

Summary of Revenues and ExpensesFor the Month Ended December 31, 2014 - 50% of the Year Remaining

26


Charges for Service 5,851,400$ 487,612$ 498,874$ 2,925,672$ 2,842,414$ $ 2,884,190 3,008,986$ 51.42%Investment Earnings 55,000 4,583 3,667 27,498 21,139 57,564 33,861 61.57%Miscellaneous - - (2,162) - (507) - 507 0.00%

Total Revenues 5,906,400$ 492,195$ 500,379$ 2,953,170$ 2,863,046$ 2,941,754$ 3,043,354$ 51.53%

Professional Services 188,056$ 15,670$ $ 5,194 94,020$ $ 25,838 $ 24,538 $ 40,748 121,470$ 64.59%Other Purchased Services 68,564 5,712 5,848 34,272 30,872 25,658 19,419 18,273 26.65%Utility Services 34,000 2,833 4,636 16,998 13,909 13,583 - 20,091 59.09%Miscellaneous - - 883 - 1,880 965 - (1,880) 0.00%Inter-Cost Allocations 566,253 47,184 47,188 283,104 283,127 280,074 - 283,126 50.00%Depreciation 1,175 97 98 582 587 490 - 588 50.04%Programs/Outside Contract 4,500,000 375,000 375,782 2,250,000 2,244,882 2,195,298 - 2,255,118 50.11%Transfers Out 480,000 40,000 1,077 240,000 33,627 1,830,069 - 446,373 92.99%

Total Expenses 5,838,048$ 486,496$ 440,706$ 2,918,976$ 2,634,722$ 4,370,675$ 60,167$ 3,143,159$ 53.84%Total Revenues Over (Under)

Total Expenses (1) 68,352$ 5,699$ 59,673$ 34,194$ 228,324$ (1,428,921)$

(1) Expenses over revenues will be funded using the carry forward fund balance from the previous year.

Expenses by Category


Prior Year to Date

Current Month Year to Date

Lake Havasu City

Airport Fund - Unaudited

Balance Sheet


Current Assets

Cash and Investments 68,458$ 10,811$

Receivables

Accounts Receivable 6,695 11,413

Intergovernmental Receivable 7,381 29,261

Interest Receivable 13 19

Prepaid Expenses 5,246 5,178

Restricted Assets 24,109 24,374

Total Current Assets 111,902 81,056

Noncurrent Assets

Capital Assets

Land 696,334 696,334

Buildings 3,410,745 3,409,737

Improvements Other than Buildings 23,939,401 23,744,397

Machinery and Equipment 579,230 546,924

Construction in Progress 122,000 306,452

Capital Leases 274,507 274,507


Total Capital Assets (Net of

Accumulated Depreciation) 16,008,054 16,761,957

Total Noncurrent Assets 16,008,054 16,761,957

Total Assets 16,119,956$ 16,843,013$

Current Liabilities

Accounts Payable 7$ 733$

Intergovernmental Payable 690 690

Interest Payable 305 63

Deferred Revenue 12,104 13,681

Liabilities from Restricted Assets 24,109 24,374

Capital Leases Payable 1,332 1,125

Compensated Absences 11,731 4,987


Noncurrent Liabilities

Capital Leases Payable 40,389 41,991

Compensated Absences 1,834 5,076

Total Noncurrent Liabilities 42,223 47,067

Total Liabilities 92,501 92,720

Net Investments in Capital Assets 15,966,333 16,718,841

Unrestricted 61,122 31,452

Total Net Position 16,027,455$ 16,750,293$

This balance sheet reflects the activity of the Airport Fund.

LIABILITIES

NET POSITION

ASSETS

27

monthly financial report december 2014

Documents

tax revenue

services revenue

total revenue

intergovernmental revenue

permit revenue

forfeiture revenue

sales tax audit revenue

fiscal year