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Home My WebLink AboutPACKET Town Board 2004-08-10.. Prepared 08/05/04 24 er The Mission of the Town of Estes Park le to plan and provide reliable, community by being good etewarde of public reeources and natural hieh-value eervices for our citizens, visitors, and employese. We take 0reat pride eneurin0 and enhancing the opality of life in our \ VE:,Me/My/ eettin0. BOARD OF TRUSTEES - TOWN OF ESTES PARK Tuesday, August 10, 2004 7:00 p.m. AGENDA PLEDGE OF ALLEGIANCE PUBLIC COMMENT TOWN BOARD COMMENTS 1. CONSENT AGENDA (Approval of): 1. Town Board Minutes dated July 27,2004. 2. Bills. 3. Committee Minutes: A. Community Development, August 5,2004: 4. Estes Park Housing Authority, (acknowledgment only). 5. Appointment of Hearing Officer. 2. ACTION ITEMS: 1. FEMA WELLNESS GRANT AND STATE HOMELAND SECURITY GRANT - REPORT. Fire Chief Dorman. 2. ROCKY MOUNTAIN NATIONAL PARK - UPDATE ON TRAIL RIDGE ROAD CONSTRUCTION, ENTRANCE FEES, ETC. RMNP Superintendent Baker. 3. PRESENTATION - 2003 AUDITED FINANCIAL STATEMENT. Finance Officer Brandjord and Wendy Swanhorst/Swanhorst & Cutler, LLC. 4. TOWN ADMINISTRATOR'S REPORT. 5. ADJOURN. NOTE: The Town Board reserves the right to consider other appropriate items not available at the time the agenda was prepared. 1 Town of Estes Park, Larimer County, Colorado, July 27,2004 Minutes of a Regular meeting of the Board of Trustees of the Town of Estes Park, Larimer County, Colorado. Meeting held in the Municipal Building in said Town of Estes Park on the 27th day of July, 2004. Meeting called to order by Mayor John Baudek. Present: John Baudek, Mayor Trustees David Habecker Chuck Levine Wayne Newsom Bill Pinkham Also Present: Rich Widmer, Town Administrator Vickie O'Connor, Town Clerk Gregory A. White, Town Attorney Absent: Susan L. Doylen, Mayor ProTem, Lori Jeffrey-Clark, Trustee Mayor Baudek called the meeting to order at 7:00 p.m. and all recited the Pledge of Allegiance. PRESENTATION.- "TAKE PRIDE IN AMERICA" Plague and Project Report. Assistant Town Administrator Repola presented a plague and briefed the Board on "Take Pride in America City" project that involved volunteer participation by Eagle Rock School, Quota Club, Estes Park Rotary, Sunrise Rotary, Lions Club, PEO, EVRPD, BOR and the Town. Four picnic structures and adjacent areas were renovated at the Wapiti Meadows Picnic area managed by the EVRPD. Mayor ProTem Doylen accepted the certification from Gale Norton/Interior Secretary acknowledging Estes Park as the 1St Take Pride City in Colorado. PUBLIC COMMENT None. TOWN BOARD COMMENTS None. 1. CONSENT AGENDA (Approval of): 1. Town Board Minutes dated July 13, 2004. 2. Bills. 3. Committee Minutes: A. Public Works, July 14,2004: 1. Annexation Engineering Services, Van Horn Engineering, $16,890. 2. Municipal Building Remodeling Project Change Orders, Westover Construction, $5,796. 3. Model Traffic Code, 2003 Edition: Amend Appendix dated 7/22/03 by posting "sharp curve" signs and a 20 mph speed limit sign at the Board of Trustees - July 27,2004 - Page 2 "S" curve, 0.1 miles north of Far View Dr.AN. Elkhorn Ave. Intersection. 4. Community Reinvestment Fund General Financial Scope of Services, Black & Veatch $9,800. 4. Estes Valley Board of Adjustment, July 13, 2004 (acknowledgement only). 5. Estes Valley Planning Commission, July 20,2004 (acknowledgement only). 6. Hiring James A. Windholz as Special Counsel for the Town of Estes Park pertaining to the pending Initiated Ordinance and Chamber matters. It was moved and seconded (Newsom/Pinkham) the consent agenda be approved, and it passed unanimously. lA. PLANNING COMMISSION AGENDA (Approval of): Mayor Baudek opened the Public Hearing for all Consent Agenda Items. As there was no public comment, Mayor Baudek closed the public hearing. 1. CONSENT ITEMS: 1. SUPPLEMENTAL CONDOMINIUM MAPS: A. Solitude Condominiums V, Supplemental Condominium Map #2, Lot 5, Solitude Subdivision. Applicant: Crystal Creek Development, Inc. B. Solitude Condominiums IV, Supplemental Condominium Map #3, Lot 4, Solitude Subdivision. Applicant: Crystal Creek Development, Inc. C. Overlook Condominiums, Supplemental Map #1, Lot 2, Stanley Historic District. Applicant: Overlook Developers, Inc. D. Ranch Meadow 11 Condominiums, Supplemental Map, Phase 11, Lot 16, Ranch Meadow Subdivision. Applicant: Richard H. Wille Trust. E. Park River West Condominiums, Supplemental Condominium Map, Phase Xlll, Lots 1 and 2, Park River West Subdivision. Applicant: Richard H. Wille Trust. Trustee Habecker requested Items 1.D. and E. be removed from the consent agenda and voted upon separately. Whereupon, it was moved and seconded (Habecker/Levine) Items 1.A. through C. be approved, and it passed unanimously. It was moved and seconded (Newsom/Levine) Items 1.D. and E. be approved, and it passed by the following votes: Those voting "Yes" Trustees Levine, Newsom and Pinkham. Those voting "No" none. Those "Abstaining" Trustee Habecker. 2. ACTION ITEMS: 1. APPOINTMENT: COMMISSIONER, ESTES PARK URBAN RENEWAL AUTHORITY. COMPLETING 5-YR. TERM VACATED BY DICK PUTNEY, TERM EXPIRING 9/14/06. Mayor Baudek presented the nomination of Ron Wilcocks as Commissioner for the Estes Park Urban Renewal Authority. It was moved and seconded (Pinkham/Habecker) Mr. Wilcocks be so appointed, completing the unexpired 5-yr. term vacated by Dick Putney, said term expiring 9/14/06, and it passed unanimously. Board of Trustees - July 27,2004 - Page 3 2. STANLEY PARK MASTER PLAN REQUEST FOR PROPOSAL (RFP) - CONSULTANT RECOMMENDATION. Assistant Town Administrator Repola reported on the Town Board Goal #6 for the development of an implementation plan for improvements to the Stanley Park Fairgrounds. The Community Development Committee directed staff to seek a consultant to develop a master plan that would provide a vision and plan for future improvements on the site. RFP's were distributed, meetings were held with interested consultants, proposals were received from three firms, interviews were conducted and proposals were refined. Following is a list of the final consultants: DSW/Thorp Associates Team $40,000 THK (Denver area) $50,000-60,000 DHM (Denver area) $107,032 The 2004 Community Reinvestment Fund contains $350,000 for Stanley Park improvements, and the Committee is recommending awarding the contract to the DSW and Thorp Associates Team. Trustee Pinkham questioned the significant difference between the highest and lowest firms, with staff responding that DHM had quoted two of their principals would be performing the majority of work. Also, the proposal submitted by the DSW Team appears to focus on equestrian use, not multi- use. Ass't. Administrator Repola confirmed that DSW fully understands the Town is seeking a multi-use campus for equestrian, passive recreation, and other similar venues. Trustee Levine questioned clarification on the Traffic Study; staff confirmed that the primary focus would be circulation within the property; however, a study of the perimeter could be added. Trustee Habecker (committee member) added that the committee did question the difference in prices, and that the DSW/Thorn Team, with their extensive site information on file already, they are well ahead of other firms. Additionally, the committee did question their equestrian expertise and perhaps their proposal did focus on this area to address any concerns in this area. Following discussion, it was moved and seconded (Newsom/Habecker) that the proposal in the amount of $40,000 submitted by the Team of DSW and Thorp Associates be accepted, and it passed unanimously. 3. RESOLUTION #11-04 - PROPOSED FIRE DISTRICT - COMMERCIAL PROPERTY TAX REFUND. Town Attorney White briefed the Trustees on the work in progress for the formation of the Estes Park Fire Protection District, referral of the ballot question and 3.5 mill levy assessment on all real and personal property located within the Fire District to be placed on the general election ballot in November 2nd. If the eligible electors approve the formation of the District and accompanying mill levy, the operations, including capital expenditures, of the Estes Park Volunteer Fire Dept. will be funded through property taxes beginning in January of 2005. A review of the Gallagher Amendment followed, and, in summary, the Board was advised that commercial properties would pay a disproportionate share of real property tax than residentially assessed property of equal market value. A Resolution was presented that would equalize this inequity by instituting a reimbursement to commercial property owners paying ad valorem property tax on real and personal property located within the Town limits. A summary of the effect of the 3.5 mill levy on commercial property was also presented. Board of Trustees - July 27,2004 - Page 4 The effect of the reimbursement on the Town's General Fund is a yearly outlay of approximately $198,062 in the General Fund to fund the reimbursement program. Resolution #11-04 was read aloud. Staff confirmed that "vacant land" is considered commercial, and the Resolution would authorize a rebate on that portion of a property tax statement. Trustee Habecker questioned the 3-yr. rebate period and was advised the Town Board could extend the time period should they so desire. It was moved and seconded (Pinkham/Levine) Resolution 11-04 be approved with an amendment that the Town Board reserves the right to review the Resolution if necessary, to determine the feasibility of extending the program for reimbursement of taxes paid beyond 2007, and it passed unanimously. 4. TOWN ADMINISTRATOR'S REPORT. A. Sales Tax Update. The May Sales Tax Revenues are 17.3% over '03, with a year-to-date total of 10.2% ahead of '03. Category statistics were also reviewed. B. Municipal Bldg. Construction Update. Construction was completed on schedule and the Finance Dept. has relocated into their renovated office space. The Board was encouraged to tour the new offices. Trustee Levine questioned when building signage would be completed, and Town Administrator Widmer confirmed the signage has been ordered and receipt is expected in the near future. Following completion of all agenda items, Mayor Baudek adjourned the meeting at 7:32 p.m. John Baudek, Mayor Vickie O'Connor, Town Clerk RECORD OF PROCEEDINGS Town of Estes Park, Larimer County, Colorado, August 5,2004 Minutes of a Regular meeting of the COMMUNITY DEVELOPMENT COMMITTEE of the Town of Estes Park, Larimer County, Colorado. Meeting held in the Municipal Building in said Town of Estes Park on the 5th day of August, 2004. Committee: Chairman Doylen, Trustees Habecker and Levine Attending: All Also Attending: Assistant Town Administrator Repola, Directors Joseph, Pickering, Marsh, Mgr. Hinze, Nickolai, Blackhurst, Town Attorney White, Chilcott, Clerk O'Connor Absent None Pursuant to Chairman Doylen's delay, Trustee Habecker called the meeting to order at 10:00 a.m. SPECIAL EVENTS - SPECIAL EVENTS MANAGER HINZE. 1. Event Critiques: a. Wool Market, June 10-13, 2004. This 14~h year event remains one of the top three fiber festivals in the U.S; the number of spectators and exhibitors were significant, and the Committee is planning a special 15- yr. event in 2005. b. June Rodeo Series, June 21-23 & 28-30, 2004 (3rd. yr. event). This amateur rodeo attracts participants from Northern Colorado and Wyoming; the Rooftop Rodeo Committee and Police Volunteers were commended for their event-support activities. The number of event days was reduced this year; however, the small of amount of spectators remains a concern, thus staff intends to investigate alternative event(s) for 2005. c. 2004 Horse Shows. Attendance trends, growth potential, and event modifications were reviewed. d. Rooftop Rodeo, July 13-18, 2004 (78th yr. event). Attendance was the third highest since 1990 and the Rodeo was excellent in spite of the inclement weather. Appreciation was expressed to Nick Molle' for his videotaping efforts during the event. COMMUNICATIONS. 1. Advertising: a. Personnel. Announced that Suzie Blackhurst was hired July 6th as the Department's Communications Coordinator. b. Magazine/Newspaper Articles - Samples were displayed. A request for future discussion on Town assistance for accommodations with the newspaper companies was noted. c. Requests for Information - up by 22.4% over 2003. d. Work in Progress: August Insert for Scottish Festival; Fall event posted/fall ads are in development; a copy of the 2005 Lure Piece has been approved and it was presented; Integration of the CVB logo is in development and samples were presented. In response to on-line testing (25% response rate), and concern with print ads/website forms page (survey), a new Advertising Landing Zone prototype was created and demonstrated. This is a stand-alone advertising tool and was designed by Dir. Marsh and associates utilizing "flash" technology. RECORD OF PROCEEDINGS Community Development - August 5,2004 - Page 2 VISITOR'S CENTER. 1. Personnel. The interview phase for the Visitors Center Coordinator Position is now complete. 2. Communications Department Relocation. During the interim period prior to October 1St, the Training Room (temporarily used by the Finance Dept.) will be utilized as the "call center." A telephone installation plan is in place and staff will begin the move within 2 weeks. The 800-calls will start coming into this temporary location by mid-late September. 3. CVB Update. This new periodic update has been initiated to report on activities, development and other information that is pertinent to the resort industry. The focus will be on: â€¢ CVB Operations. 8/24 Town Board meeting - Steve Lane architect will present the project. â€¢ Traditional Advertising. â€¢ Group Sales & Marketing â€¢ Special Events â€¢ Media Relations. GROUP SALES & MARKETING - JULIE NICKOLAI. 1. Meeting Professionals International (MPI) Tour in Estes Park. The CVB, in conjunction with the Ft. Collins CVB, hosted a post-convention familiarization tour on July 28th. A variety of venues and services available for meetings and conferences were showcased and staff is hopeful future group events will be scheduled in Estes Park. ECONOMIC DEVELOPMENT - BUSINESS DEVELOPMENT DIRECTOR PICKERING. 1. The Larimer County Economic Development Corp. Report on the Economic Condition finds that 8,000 employees looking for work and the unemployment numbers continue to rise; over the past year, the County has lost 1$400 Million in wealth; and bankruptcies have doubled with foreclosures at 27%. The reality is, there is no economic recovery in northern Colorado and the entire state. Survey results list the uncompetitive market; high cost of living, and unfriendly business climate for the decline. 2. Annexation of accommodations properties is moving forward; the first group should be submitted for approval by the end of this year. 3. Signage. A meeting with EPURA was held to review the Riverwalk Signage Program that utilizes the new CVB logo. COMMUNITY DEVELOPMENT - COMMUNITY DEVELOPMENT DIRECTOR JOSEPH. 1. Site Construction Drawings and Release of Development Sites for Building Permits. Currently, detailed site construction drawings for large multi-family development have not been required. As a result, staff is spending more time in the field tracking as-built construction for all aspects of code compliance. Additionally, allowing building construction to begin prior to completion of street and driveway improvements is presenting problems for safe access to perform inspections and, in some cases, hinders emergency access if needed. Staff is proposing to terminate this practice, thus requiring detailed site construction drawings for multi-family and commercial sites, in addition to withholding permits for building construction on al sites until such time as the roads and underground utilities are substantially complete. If approved, policy implementation will lead to more efficient use of staff time. RECORD OF PROCEEDINGS Community Development - August 5,2004 - Page 3 Three Policy Statements were presented that, in summary, require: (1) detailed site construction drawings on multi-family or commercial projects; (2) issuance of building permits be withheld until underground utilities and vehicular access are substantially complete; and (3) improvement guarantees and letters of credit to ensure installation of storm drainage as designed by a professional engineer to be verified by a professional engineer upon completion. Comments in support of the policy statements were heard from Const./Facilities Mgr. Sievers (speaking on behalf of external utilities/public safety agencies) and Line Supt. Steichen. Discussion followed concerning Town liability issues, and field inspections, incentives to reduce multiple field inspections. As additional data must be provided that includes financial and procedural options pertaining to all three Policy Statements, this item was continued to a future Committee Meeting. 2. Revisions to the Short Term Rental Ordinance/Municipal Code. Pursuant to the November 25, 2003 Town Board Study Session, staff has reviewed said ordinance and Attorney White presented and reviewed specific amendments and clarified the limitations to the intensity of use allowed with short-term rentals: (1) that the use shall not be out of character with single- family neighborhoods; and (2) that the "playing field is leveled" by requiring a business license and commercial utility rates. Specific proposed amendments were reviewed. Associated amendments to the Estes Valley Development Code will be reviewed by the Planning Commission August 17th and an Ordinance will be presented to the Town Board for consideration on August 24th. Following discussion on non-profit consistency and impact to existing bed and breakfasts, a recommendation was not issued as staff was directed to review and report on their findings during the 8/24 Town Board meeting. There being no further business, Chairman Doylen adjourned the meeting at 11:49 a.m. Vickie O'Connor, CMC, Town Clerk Estes Park Housing Authority (EPHA) Board Meeting I)ate: July 14, 2004 Members Present: Susan Doylenâ€ž Eric Blackhurst, Karla Porter, Jack Dinsmoor Members Absent: Catherine Jensen Staff Present: Rita Kurelja, Sam Betters, Rich Ekwall, Sharlet Lee Others Present: Mariann Pugh Guests: The July 14 2004 meeting of the Estes Park Housing Authority was called to order by Chairperson Susan Doylen at 8:39 a.m. in Room 203 of the Estes Park Municipal Building. APPROVAL OF MINUTES Motion was made to approve the June 9, 2004 minutes of Estes Park Housing Authority Board of Commissioners meeting by Eric Blackhurst and seconded by Karla Porter. Vote was called for. All voted Aye. Motion to approve the June 9,2004 minutes of the Estes Park Housing Authority passed. COMMITTEE REPORTS- None to report FINANCIALS- Sharlet Lee presented the 2nd quarter, 2004 financial reports/highlights. Ms. Lee reported that there had been little changes since the 1St quarter. Some of the highlights are: â€¢ EPHA has received the last of the capital contribution. â€¢ Paperwork has been submitted for the conversion of DOH loan to grant in July. No interest is due. â€¢ EPHA will get another $256K Discussion on Lot 4 and future interest payments. EPHA can decide at the time the next payment is due, how to handle these interest payments. â€¢ RESOLUTION: Sam Betters reported on Resolution # which had already been discussed by the EPHA and approved. Resolution referred to the various loan and grants obtained by the EPHA and how each was passed on and in what format to the Estes Investors. This matter has already been approved; this resolution provides a more accurate paper trail. Susan Doylen read resolution # 28 Motion to approve resolution # 28 was made by Karla Porter and seconded by Jack Dinsmoor. Vote was called for and the motion to approve the passing of Resolution # passed. A mirror the Resolution # 28 for the Estes Investors will be drawn up and signed as per commissioner's approval. DEVELOPMENT UPDATES Talon's Pointe Apartments-No report Vista Ridge- EPHA Board Meeting Minutes Page 1 â€¢ Rich Ekwal reported that construction had fallen 2 weeks behind schedule due to weather. Coe construction believes they can make up that time. â€¢ Coe has been very responsive to the alterations requested by an affordable buyer who has a great deal of special needs due to allergies. Sam asked about inspections to ensure work is to her satisfaction. â€¢ Discussion on Condo mapping issues with regards to sales/timing. Should have no problem meeting the scheduled closings. â€¢ Cement wall- work will begin in the coming week. COMMITTEE REPORTS Communications to Report - none to report. REPORTS UPDATES & OTHER MISCELLANEOUS ITEMS Cleave Street - â€¢ Renovation: Due to a family death, Dave Lingle was not able to get conceptual designs to us. Will have them next month. â€¢ Occupancy and Delinquency Report- 1 vacancy., 1 eviction in progress. Delinquent 30-60 days. Talons Pointe- â€¢ Mariann reported that she had one vacancy. Has an ad in the paper and is working on screenings. Has a short waiting list. Delinquency reflect about 10 people. Is planning a back to school barbeque. OTHER BUSINESS- â€¢ The August meeting will be held in the Town Board room, date and time unchanged. â€¢ DOH exception- Rita reported that the exception to the conflict of interest policy regarding CJ Jensen, had been approved. â€¢ Sam and Rita would be presenting a budget for the EPHA to approve next month for 2005 and 2006. â€¢ Joe Wise reported that the Stanley Ave condos were approved with 3 affordable units. The town (Bob Joseph) is looking for qualification mechanism. Eric Blackhurst wants the town to provide the steps for approval and have TEP develop a plan. â€¢ Jack mentioned the training session. Sam said we would be putting together a new Board member packet. ADJOURN Motion to adjourn was made by Eric Blackhurst and seconded by Karla Porter. All voted Aye. Meeting was adjourned at 9:38 am. Respectfully submitted, Rita Kurelja Estes Park Housing Authority Program Manager EPHA Board Meeting Minutes Page 2 MEMORANDUM TO: HONORABLE MAYOR BAUDEK, BOARD OF TRUSTEES, TOWN ADMINISTRATOR WIDMER FROM: PETE BRANDJORD, FINANCE OFFICER SUBJECT: PRESENTATION OF AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2003 DATE: AUGUST 4,2004 CC: Background. The Town of Estes Park undergoes an annual independent audit of its financial statements. The audit report for the year ended December 31, 2003 is complete and has been presented to the Audit Committee by the independent auditing firm, Swanhorst and Cutler LLC. The independent auditors' report expressed an unqualified opinion that the financial statements presented fairly, in all material respects, the financial position of the funds and activities of the Town of Estes Park in conformity with generally accepted accounting principles. There were no findings or material weaknesses. The management letter stated that comments from previous years had been addressed, and recommended for future improvement that the Town evaluate the effect of Governmental Accounting Standards Board Statement 45, entitled "Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions". This standard was adopted in June of 2004, and requires the Town to record a liabilit:y be recorded for these benefits in the future. Trustee Pinkham, Chairperson of the Audit Committee, provided the following report: "Following a review and discussion of the Audit Report, the Audit Committee accepted the report and commended Pete Brandjord, Debbie Parrack and staff on the quality of the 2003 Comprehensive Annual Financial Report and the supplementary management discussion and analysis. The report not only satisfies government and legal accounting standards, but also reflects the professionalism and determination of the town adininistration and staff to effectively manage within the town budget during 2003. It is clear from our review that the Town Board and staff share a strong sense of fiscal responsibility to ensure the continued economic well being of the town." Action The Audit Committee recommends acceptance of the audit report and Comprehensive Annual Financial Report for the year ended December 31, 2003. TOWN OF ESTES PARK, COLORADO 4 74'/ 7 -.f:t,1 4, . .t 1,Â· iÂ· 2 1 14 1 . h 41 1'. Of - 1, 1.- - - 4~~...04~174. 1. 24 t 't '4_h -~ 4. : *SA--4'4~rT- 6 :Pi Â· . , :#/ e ~, 1 --1 ij D ., '1 -4,1 . d \Â¥,22 .*/ 4 /1 r 'D ' - - f. -y'l# . 64, y .9, f ... . I , COMPREHENSIVE ANNUAL FINANCIAL REPORT For the Fiscal Year Ended December 31, 2003 Cover Photo Â© James Frank 1 1 1 1 1 I 1 INTRODUCTORY SECTION TOWN OF ESTES PARK, COLORADO COMPREHENSIVE ANNUAL FINANCIAL REPORT December 31, 2003 Prepared By FINANCE DEPARTMENT Peter Brandjord, Finance Officer TABLE OF CONTENTS PAGE INTRODUCTORY SECTION Title Page Table of Contents i-iv List of Principal Officials v Organization Chart Vi GFOA Certificate ofAchievement vii Transmittal Letter Vili - Xii FINANCIAL SECTION Independent Auditors' Report Management's Discussion and Analysis a-1 Basic Financial Statements Statement of Net Assets 1 Statement of Activities 2 Balance Sheet - Governmental Funds 3 Statement of Revenues, Expenditures and Changes in Fund Balances - Governmental Funds 4 Reconciliation ofthe Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities 5 General Fund - Budgetary Comparison Statement 6-7 Community Reinvestment Fund - Budgetary Comparison Statement 8 Urban Renewal Authority (Special Revenue) - Budgetary Comparison Statement 9 Statement ofNet Assets - Proprietary Funds 10 Statement of Revenues, Expenses and Changes in Fund Net Assets - Proprietary Funds 11 Statement of Cash Flows - Proprietary Funds 12 Statement of Fiduciary Net Assets 13 i TABLE OF CONTENTS (Continued) PAGE FINANCIAL SECTION (Continued) Basic Financial Statements (Continued) Statement of Changes in Fiduciary Net Assets 14 Notes to Financial Statements 15 - 36 Required Supplementary Information Schedule of Funding Progress - Volunteer Firefighter's Pension Plan 37 Combining and Individual Fund Statements and Schedules Governmental Funds Combining Balance Sheet - Nonmajor Governmental Funds 38 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - 39 Nonmajor Governmental Funds Museum Fund - Budgetary Comparison Schedule 40 Conference Center Fund - Budgetary Comparison Schedule 41 Cgnservation Trust Fund - Budgetary Comparison Schedule 42 Special Events Fund - Budgetary Comparison Schedule 43 Open Space Fund - Budgetary Comparison Schedule 44 Senior Citizens Fund - Budgetary Comparison Schedule 45 Park Entrance Estates - Budgetary Comparison Schedule 46 Urban Renewal Authority (Capital Projects) - Budgetary Comparison Schedule 47 Building Authority - Budgetary Comparison Schedule - 48 Urban Renewal Authority (Debt Service) - Budgetary Comparison Schedule 49 Enterprise Funds Light and Power Fund - Budgetary Comparison Schedule 50 Water Fund - Budgetary Comparison Schedule 51 ii TABLE OF CONTENTS (Continued) PAGE FINANCIAL SECTION (Continued) Combining and Individual Fund Statements and Schedules (Continued) Internal Service Funds Combining Statement ofNet Assets 52 Combining Statement of Revenues, Expenses and Changes in Fund Net Assets 53 Combining Statement of Cash Flows 54 Fleet Maintenance - Budgetary Comparison Schedule 55 Health Insurance - Budgetary Comparison Schedule 56 Pensioii Trust Funds Combining Statement of Fiduciary Net Assets 57 Combining Statement of Changes in Fiduciary Net Assets 58 Agency Funds Combining Statement of Changes in Assets and Liabilities 59 -- STATISTICAL SECTION General Government Expenditures by Function - Last Ten Fiscal Years 60 General Government Revenues by Source - Last Ten Fiscal Years 61 General Government Tax Revenues by Source - Last Ten Fiscal Years 62 Property Tax Levies and Collections - General Fund - Last Ten Fiscal Years 63 Assessed and Actual Estimated Actual Values of Property - Last Ten Fiscal Years 64 Property Tax Rates - Direct and Overlapping Governments - Last Ten Fiscal Years 65 Principal Taxpayers 66 Computation of Legal Debt Margin 67 Computation of Direct and Overlapping Bonded Debt 68 iii TABLE OF CONTENTS (Continued) PAGE STATISTICAL SECTION (Continued) Revenue Bond Coverage - Last Ten Fiscal Years 69 Demographic Statistics - Last Ten Fiscal Years 70 Construction, Bank Deposits and Property Values - Last Ten Fiscal Years 71 ~ Miscellaneous Statistical Data 72 - 74 STATE COMPLIANCE Local Highway Finance Report 75 - 76 iV TOWN OF ESTES PARK LIST OF PRINCIPAL OFFICIALS TOWN GOVERNMENT The Town of Estes Park is governed by a mayor and a six-member board of trustees. The mayor and trustees are elected for four-year terms. The trustees each have one vote in town board meetings. The mayor has the final vote on all issues in case of a tie. Listed below are the Town officials as of December 31,2003. OFFICIALS Mayor Elected 2000 John Baudek Trustees Elected 2002 Susan L. Doylen Elected 2000 Jeff Barker Elected 2000 Stephen Gillette Elected 2002 David Habecker Elected 2002 Lori Jeffrey-Clark Elected 2000 Wayne Newsom Town Administrator Richard D. Widmer Asst. Town Administrator Randy M. Repola Town Attorney Gregory A. White Town Clerk Vickie O'Connor Finance Officer Pete A. Brandjord Director ofPublic Works William F. Linnane Utilities Director Robert Goehring ChiefofPolice Lowell C. Richardson Police Commander Greg Filsinger Police Commander Mike van Deutekom Community Development Director Robert B. Joseph Director ofBusiness Development Thomas Pickering Special Events Executive Director Linda Hinze Senior Center Director Lori Mitchell Museum Director Betty Kilsdonk Municipal Judge Gary R. Brown Advertising Manager Peter Marsh Fire Chief Scott Dorman V fil. - E--2 1 2 #521 5 Ult[ 3 8 CÂ£.a2: 5 121 0,1 te. g'1/ 2 2, 3 i k. -p ki : 0: ef W .62 5~*27 19> ill E I. 2 2 - *1* r B .1 / I. 54%2. le S t# dis"Ry ,-R> ZENe > 1:# e~ 81 2 0, I 0.B. f> 49,# fEE ' 4,Â· -:Zh#; g.& 2 7 Â·E m ./ .-. U,1 Â·'4 ; -1 r. se I &0 0*A 0. ; ./ follk k 0.0 3. - : P 0 Z 510 9= 0 4 I .4 0 0 <: Â¢ 94 - Cr. 4*4 Â§ 2 & 1%.: , 0.,1.22/ 5, :: Wi r. 00 0 1112 %22 ' BUJU.ac 9/ % E 5,5 043*41 .O -3 0-35 8 - 41 - Mill Wil id :fill/ - R#; i. '- 3 U '' Â·Â· 3 0 Ul = A oek . vie Quil :g* 1.3. u, fl. $ Z M E 0- 5 82 Vi ~ woÂ®3#19 wio *ustwns,Â¢nww ~ ~ bio.~ZEâ‚¬Lob. ~ ~ My313 < =13!HO 341=1 I NMaA:&Tz: Â£ %0 3'*N#*D,lue ] I ;6,Â¥'Bu,$!U@Ap* 1 TOWN OF ESTES PARK ORGANIZATIONAL CHART ANUARY 2004 ~...... -,~ ~UABAN RENEWAL AUTHORITÂ¥ ] MINISTRATOR ~ ADVISOR C ESTES PARK<CITIZ 1,A*ORikAB.TRU#Â¥EES EST S PARK OUSING AREDERARTMENr Certificate of Achievement for Excellence in Financial Reporting Presented to Town of Estes Park, Colorado For its Comprehensive Annual Financial Report for the Fiscal Year Ended December 31,2002 A Certificate ofAchievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association o f the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports (CAFRs) achieve the highest standards in government accounting and financial reporting. 2/ /UNITED STAES A C 124*L CORPORATION ,6'/S President Â»r-e Snew Executive Director Vii r This page intentionally left blank. . . P' :299 6 Â· ~/ reÂ¥* 9"f TOWN OF ESTES PARK t f,Lia 1.62-1424 *-aw* 4 A-c;#/3*u.~S%**46-An.U *e. /..0 1,# 251.l.'..4 -. k - - - - -3.- 2~~ 2 2<#i#LTY~'~. Â·#'if'Li?4-4-,4 f .31 ~ 11*2-*2..\1. 4; 4,<6**4,0/14 a r :=5$-ju -f, r Wr -,~>cÂ·23,396r, leneio *.-#*/Ii#7/.Etti~)%0#*-*':.ri.,JDW+-2-*SCI~~t#B/.1/*46*1- rj.ty 1r Nt ...Lee.... 41-7 , Â·r-4. t' ' aÂ» utt:.: I. April 28,2004 To the Honorable Mayor, Members of the Governing Body, and Citizens of the Town of Estes Park, Colorado: The Comprehensive Annual Financial Report of the Town of Estes Park, Colorado, (the Town) for the fiscal year ended December 31,2003 is hereby submitted. Responsibility for both the accuracy of the data and the completeness and fairness of the presentation, including all disclosures, rests with the Town. To the best of our knowledge and belief, the enclosed data are accurate in all material respects and are reported in a manner designed to present fairly the financial position and results of operations ofthe various funds and account groups of the Town. All disclosures necessary to enable the reader to gain an understanding of the Town's financial activities have been included. The Comprehensive Annual Financial Report is presented in three sections: introductory, financial, and statistical. The introductory section includes this transmittal letter, the Town's organization chart and a list ofprincipal officials. The financial section includes the basic financial statements and the combining and individual fund financial statements and schedules, as well as the auditor's report on the financial statements and schedules. The statistical section includes selected financial and demographic information, generally presented on a multi-year basis. This report includes all funds and the Town. The Town provides a full range of services. These services include police protection, electric and water utility services, the construction and maintenance of highways, streets, and infrastructure, recreational activities and cultural events. In addition to general government activities, the Town Board has significant operational or financial relationships with the Estes Park Urban Renewal Authority and the Estes Park Building Authority; therefore, these activjties are included in the reporting entity as blended component units. http://www. estesnet.com (970) 586-5331 â€¢ RO. BOX 1200 â€¢ 170 MAC CREGOR AVENUE â€¢ ESTES PARK, CO 80517 â€¢ FAX (970) 586-2816 Profile of the Government The Town of Estes Park, incorporated in 1907 is a resort community nestled in the Rocky Mountain foothills 65 miles northwest of Denver, Colorado. The Town is at the entrance to Rocky Mountain National Park and is visited by more than 3 million people i each year. Rocky Mountain National Park has been the number one tourist attraction in the State of Colorado for as long as records have been compiled. Tourism is the Town's main industry; therefore, the Town's facilities are geared for a large seasonal usage in the summer months. The Town of Estes Park currently occupies a land area of six square , miles and serves an estimated population of 6,089. The Town of Estes Park is empowered to levy a property tax on both real and personal properties located within its r boundaries. It is also empowered to extend its corporate limits by annexation, which i occurs periodically when deemed appropriate by the governing body. The Town of Estes Park has operated under the board-administrator form of government since 1968. Policy-making and legislative authority are vested in the governing board consisting of the mayor and six trustees. The governing board is responsible, among other duties, for passing ordinances, adopting the budget, appointing committees, and hiring the Town Administrator. The Town Administrator is responsible for carrying out the policies and ordinances of the governing body, and for overseeing the day-to-day operations of the government. The board is elected on a non-partisan basis. Board members serve four-year staggered terms, with three trustees elected every two years. The Mayor is elected to serve a four-year term. All offices are elected at large. Elected officials are limited to two consecutive terms of office. The Town of Estes Park provides a full range of services including police and fire protection; the construction and maintenance of streets, pathways, and other infrastructure; business development; and recreational activities and cultural events. A water utility and an electric distribution utility are provided by the Town. An urbdn renewal agency operates as a legally separate authority, which functions, in essence, as a department of the Town of Estes Park and therefore has been included as an integral part of the Town of Estes Park's financial statements. The urban renewal agency also issues separate audited financial statements. The Town of Estes Park is also financially accountable for another legally separate organization, the Estes Park Building Authority, which provides financing for golf course improvements. Additional information on these entities can also be found in Note 1 in the notes to the financial statements. The Estes Park Housing Authority has been included as a component unit in previous reports, but the Housing Authority has since undertaken large housing developments utilizing significant outside funding. Therefore, the Housing Authority is no longer dependent upon the Town for the majority of its funding, and has not been considered a component unit of the Town since 2001. The annual budget serves as the foundation for the Town of Estes Park's financial planning and control. All departments ofthe Town of Estes Park are required to submit requests for appropriation to the Town's designated .budget officer by the third week of ix TOWN OF ESTES PARK ESTES PARK, COLORADO 80517 August each year. The budget officer uses these requests as the starting point for developing a proposed budget. The budget officer then presents this proposed budget to the Town Administrator for review and amendment. This budget is presented to the Town Board for deliberation in October. The board is required to hold public hearings on the proposed budget and to formally adopt the budget before December 15. This date also serves as the deadline to certify the milllevy that will be assessed by the Town to the Larimer County Commissioners. The appropriated budget is prepared by fund, function (e.g., public safety), and department (e.g., fire protection). Budget-to-actual comparisons are provided in this report for each individual fund for which an appropriated annual budget has been adopted. For the general fund, this comparison is presented as part of the basic financial statements for the governmental funds. For governmental funds, other than the general fund, with appropriated annual budgets, this comparison is presented behind the footnotes in this report. Factors Affecting Financial Condition The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the Town of Estes Park operates. Local economy. In 2003, the Town of Estes Park experienced a reversal of the slowing trend that occurred in 2002 in the predominant local industry, tourism. A key local economic indicator, taxable sales, increased by $3,317,825, or 2.2%, in 2003. Taxable sales decreased $3,045,925, or 1.98% in 2002. The unemployment rates in Colorado, and the United States, increased respectively from 5.7% and 5.8% to a high of 6.0%. during 2003. The unemployment rate in Colorado ended the year with a slight decline to 5.9%, a trend that continued into 2004. Long-term financial planning. The Town of Estes Park is exploring the construction of a performing arts center, and has commissioned a feasibility study and preliminary design work on the project. The results of these studies will provide cost estimates and a construction schedule. Plans to continue the development of the river frontage include the development of the Weist Drive area. Additional parking in the area is also being studied. A series of public meetings were held as a basis for developing a master plan to improve the Stanley Park property and structures. Proposals include improvements to the grandstand and arena, correcting drainage problems, constructing open athletic areas, replacing the existing horse stalls, and adding multipurpose facilities for year-round activities. The Municipal Building renovation received funding for its initial phase; the replacement of the public restroom facilities with improved access and renovation of the Finance Department workspace and customer service area. Additional phases will further renovate the building, and construct a free-standing facility for the Police Department. X TOWN OF ESTES PARK ESTES PARK, COLORADO 80517 Plans call for the continuation of the system ofpathways. Grant funding has contributed extensively to this project, and it is anticipated that this source of funds will be used on future construction ofpathways. Cash management policies and practices. Cash temporarily idle during the year was invested in certificates of deposit, obligations of the U.S. Treasury, local government investment pools, and agencies and instrumentalities of the United States. The Town of Estes Park earned $249,436 on all investments for the year ended December 31,2003, a decrease of $137,568 from 2002. The average yield on investments was 2.08%. The maturities of these investments range from overnight to two years. Investment income includes appreciation in the fair value of investments. Increases in the fair value during the current year, however, do not necessarily represent trends that will continue; nor is it always possible to realize such amounts, especially in the case of temporary changes in the fair value of investments that the Town of Estes Park intends to hold to maturity. Risk management. The objectives of the Town of Estes Park's risk management program is to minimize risk and protect against loss, which could significantly affect the public, personnel, property, the budget or the ability of the Town to fulfill its responsibilities. Potentially hazardous risk exposures are evaluated on an ongoing basis and reduced or eliminated where feasible and cost-effective. The Town of Estes Park is a member of the Colorado Intergovernmental Risk Sharing Agency (CIRSA), a separate and independent governmental and legal entity formed by intergovernmental agreement by member municipalities pursuaht to State statute. CIRSA defends and indemnifies the Town of Estes Park against the risks of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The Town is partially self-insured for health insurance to eligible employees and dependents. The insurance coverage for workers compensation in carried by Pinnacol Assurance. The Town of Estes Park also maintains a separate internal service fund, the Catastrophic Loss Fund, to be used in the event of disasters not covered by other insurance. The balance in this fund at December 31,2003 was $2,049,262. Budgetary controls. The Town maintains budgetary controls. The objective of these budgetary controls is to ensure compliance with legal provisions embodied in the annual appropriated budget approved by the Town Board. The level ofbudgetary control (the level at which expenditures cannot legally exceed the appropriated amount) is established by fund. The Town also maintains an encumbrance accounting system as a budgetary control to prevent expenditures from exceeding legal appropriations. Encumbered amounts lapse at fiscal year-end, and qualifying encumbrances are formally appropriated in the following year when necessary. Xi TOWN OF ES1-ES PARK ESTES PARK, COLORADO 80517 Award and acknowledgements The Government Finance Officers Association (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the Town o f Estes Park for its comprehensive annual financial report (CAFR) for the fiscal year ended December 31, 2002. In order to be awarded a Certificate of Achievement, the government published an easily readable and efficiently organized CAFR. This report satisfied both GAAP and applicable legal requirements. A Certificate o f Achievement is valid for a period of one year only. We believe that our current CAFR continues to meet the Certificate of Achievement Program's requirements and we are submitting it to the GFOA to determine its eligibility for another certificate. The successful preparation of this report on a timely basis could not have been accomplished without the dedication and efforts of the entire staff of the Finance Department: Jim Allen, Debbie Parrack, Debbie McDougall, Lorraine McCown, Amy Mitterer, Angie Steichen, Kathie Dougherty and Donell Thompson. We would like to express our sincere appreciation to all members of the department for the contributions made in the preparation of this report. A special thanks is extended to the accounting firm of Swanhorst and Cutler LLC for their professionalism in the performance of the independent audit for the Town of Estes Park. We also wish to extend appreciation to the Mayor, the Trustees, and the Town Administrator and Assistant Administrator for their efforts and support in setting and administering policies for the prudent financial management of the Town of Estes Park. Sincerely, I / ~-,7V Pete Brandjord Finance Officer Xii TOWN OF ESTES PARK ESTES PARK, COLORADO 80517 This page intentionally left blank. 1 1 FINANCIAL SECTION @ e-r# Swanhorst & Cutler LLC L./ CXU Cerified Public Accountants Honorable Mayor and Members ofthe Board of Trustees Town of Estes Park Estes Park. Colorado INDEPENDENT AUDITORS' REPORT We have audited the accompanying financial statements ofthe governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information ofthe Town of Estes Park. Colorado, as of and for the year ended December 31,2003, which collectively comprise the basic financial statements ofthe Town. as listed in the table of contents. These financial statements are the responsibility ofthe Town ofEstes Park, Colorado'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 ofAmerica. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financia] 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 governmenta] activities, the business-type activities, each major fund and the aggregate remaining fund information of the Town of Estes Park, Colorado, as of December 31,2003. and the respective changes in financial position and cash flows, where applicable, and the budgetary comparisons forthe general and major special revenue funds, forthe yearthen ended in conformity with accounting principles generally accepted in the United States ofAmerica. As discussed in Note ] 0 to the basic financial statements, the Town of Estes Park, Colorado, adopted the standards of Governmental Accounting Standards Board Statements No. 34 and 38 for the year ended December 31, 2003. The management's discussion and analysis and required supplementary information listed in the table of contents are not required parts ofthe basic financial statements but are supplementary 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 ofthe supplementary information. However, we did not audit the information and express no opinion on it. Our audit was conducted for the purpose of forming opinions on the financia] statements that collectively comprise of Town of Estes Park, Colorado's basic financial statements. The combining and individual fund statements and schedules and state compliance listed in the table of contents are presented for purposes of additional analysis and are not required parts ofthe basic financial statements. Such information has 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. The introductory and statistical information hasnot been subjectedtothe auditingprocedures appliedtothe basic financial statements, and accordingly. we express no opinion on it. 31-6â‚¬ 7 6-04 tic February 27,2004 8400 E. Crescent Parkway â€¢ Suite 600 â€¢ Greenwood Village, CO 80111 â€¢ (720) 528-4306 Fax: (720) 528-4307 This page intentionally left blank. Management's Discussion and Analysis As management of the Town of Estes Park, we offer readers of the Town of Estes Park's financial statements this narrative overview and analysis of the financial activities of the Town of Estes Park for the fiscal year ended December 31, 2003. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal. Financial Highlights > The assets of the Town of Estes Park exceeded its liabilities at the close of the most recent fiscal year by $52,095,973 (net assets). Ofthis amount, $16,984,285 lunrestricted net assets) may be used to meet the government's ongoing obligations to citizens and creditors. Additionally, the 3% reserve for emergencies required by the TABOR amendment is restricted in the Catastrophic Loss Fund. > The government's total net assets increased by $3,429,159. > As of the close ofthe fiscal year ended December 31,2003, the Town of Estes Park's governmental funds reported combined ending fund balances of $13,555,499, an increase of $1,694,474 compared with the prior year. Approximately 92% of this total amount, $12,520,053, is available for spending at the government's discretions (unreservedfund balance). > At the end of the fiscal year ended December 31,2003, unreserved fund balance for the General Fund was $7,481,951, or 109% of the total general fund expenditures. 1 The Town of Estes Park's total debt increased by $894,059 during the fiscal year ended December 31, 2003. The key factor in this increase was the issuance by the Urban Renewal Authority of $4,165,000 in Tax Increment Revenue Refunding and Improvement Bonds, Series 2003. The refunding portion paid in full the outstanding 1993 Tax Increment Revenue Refunding Bonds of $2,380,000. The Town reduced its aggregate debt service payments and realized an economic gain (the difference between the present values of the debt service payments of the old and new debt) of approximately $150,000. Overview of the Financial Statements This discussion and analysis are intended to serve as an introduction to the Town of Estes Park's basic financial statements. The Town of Estes Park's basic financial statements comprise three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. Government-wide financial statements. The government-wide jinancial statements are designed to provide readers with a broad overview of the Town of Estes Park's finances, in a manner similar to a private-sector business. a The statement of net assets presents information on all ofthe Town of Estes Park's assets and liabilities, with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of the Town of Estes Park is improving or deteriorating. The statement of activities presents information showing how the government's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). Both of the government-wide financial statements distinguish functions of the Town of Estes Park that are principally supported by taxes and intergovernmental revenues i (governmental activities) from other functions that are intended to recover all or a significant portion oftheir costs through user fees and charges (business-type activities). The governmental activities of the Town of Estes Park included general government, public safety, public works, and culture and recreation. The business- type activities of the Town of Estes Park include an electric distribution operation (the Light & Power fund) and a water utility that treats and distributes water (the Water fund). The government-wide financial statements include not only the Town of Estes Park itself (known as the primary gove;nment),but also a legally separate urban renewal agency and legally separate building authority. Although legally separate, these entities function for all practical purposes as departments of the Town of Estes Park, and therefore have been included as integral parts ofthe primary government. The Estes Park Urban Renewal Authority also issues complete financial statements. The Building Authority does not issue separate financial statements. Fund financial statements. A fi,nd is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. The Town of Estes Park, like other state and local governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. All of the funds of the Town of Estes Park can be divided into three ~ categories: governmental funds, proprietary funds, and fiduciary funds. Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial ' statements. However, unlike the government-wide financial statements, governmental fund financial statements focus on near-term injlows and outflows of spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements. Because the focus of governmental funds is narrower than that of the government- wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in b the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government's near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The Town of Estes Park maintains 13 individual governmental funds. Information is presented separately in the governmental fund balance sheet and in the governmental fund statement of revenues, expenditures, and changes in fund balances for the General fund, the Community Reinvestment fund, the Urban Renewal Authority Special Revenue fund, and the Urban Renewal Authority Debt Service fund, all of which are considered be major funds. Data from the other nine governmental funds are combined into a single, aggregated presentation. Individual fund data for each of these nonmajor governmental funds is provided in the form of combining statements elsewhere in this report. The Town of Estes Park adopts an annual appropriated budget for its General fund. A budgetary comparison statement has been provided for the general fund to demonstrate compliance with this budget. Proprietary funds. The Town of Estes Park maintains two different types of proprietary funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The Town of Estes Park uses enterprise funds to account for its electrical and water utilities. Internal service funds are an accounting device used to accumulate and allocate costs internally among the Town of Estes Park's various functions. The Town of Estes Park uses internal service funds to account for its Fleet Maintenance Fund, Vehicle Replacement Fund, Catastrophic Loss Fund and Health Insurance Fund. Because these services predominately benefit governmental rather than business-type functions, they have been included within governmental activities in the government- wide financial statements. Proprietary funds provide the same type of information as the government-wide financial statements, only in more detail. The proprietary fund financial statements provide separate information for the Water and Light & Power funds, both of which are considered to be major funds of the Town of Estes Park. Conversely, all four internal service funds are combined into a single, aggregated presentation in the proprietary fund financial statements. Individual fund data for the internal service funds is provided in the form of combining statements elsewhere in this report. Fiduciary funds. Fiduciary funds are used to account for resources held for the benefit ofparties outside the government. Fiduciary funds are not reflected in the government-wide financial statement because the resources of those funds are not available to support the Town of Estes Park's own programs. The accounting used for fiduciary funds is much like that used for proprietary funds. C Notes to the financial statements. The notes provide additional information that is essential to a full understanding of the data provided in the government-wide and fund financial statements. The notes to the financial statements can be found immediately following the basic financial statements. Other information. In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information concerning the Town of Estes Park's progress in funding its obligation to provide pension benefits to its employees. The combining statements referred to earlier in connection with nonmajor governmental funds and internal service funds are presented immediately following the required supplementary information on pensions. Government-wide Financial Analysis As noted earlier, net assets may serve over time as a useful indicator of a government's financial position. In the case of the Town of Estes Park, assets exceeded liabilities by $52,095,973 at the close ofthe most recent fiscal year. By far the largest portion of the Town of Estes Park's net assets (59 percent) reflects its investment in capital assets (e.g. land, buildings, machinery, and equipment), less any related debt used to acquire those assets to provide services to citizens; consequently, these assets are not available for future spending. Although the Town ofEstes Park's investment in its capital assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. An additional portion of the Town of Estes Park's net assets (7%) represents resources that are subject to external restrictions on how they may be used. The remaining balance of unrestricted net assets 61 6,984,285) may be used to meet the government's ongoing obligations to citizens and creditors. At the end of the current fiscal year, the Town of Estes Park is able to report positive balances 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. The Town of Estes Park's net assets increased by $3,429,159 during the current fiscal year. Most of the increase ($3,082,654) is attributable to a one-time infusion of resources caused by the Estes Park Urban Renewal Authority (EPURA)Tax Increment Revenue Refunding and Improvement Bonds Series 2003, and a resulting change in the timing ofthe flow and funds and recognition of revenues. An increase in rates for the utility funds also contributed to the increase in ending net assets d Town of Estes Park's Net Assets Governmental Business-type Total activities activities 2003 2003 2003 Current and other assets $ 17,071,036 $ 7,610,806 $ 24,681,842 Capital assets 15,451,668 26,661,147 42,112,815 Total assets 32,522,704 34,271,953 66,794,597 Long-term liabilities outstanding 6,222,968 4,101,811 10,324,779 Other liabilities 2,713,637 1,660,268 4,373,905 Total liabilities 8,936,605 5,762,079 14,698,684 Net assets: Invested in capital assets, net of related debt 8,471,444 22,411,147 30,882,591 Restricted 4,229,097 4,229,097 Unrestricted 10,885,558 6,098,727 16,984,285 Total net assets $ 23,586,099 $ 28,509,874 $ 52,095,973 Governmental activities. Governmental activities increased the Town of Estes Park's net assets by $2,834,070, thereby accounting for 83 percent of the total growth in net assets of the Town of Estes Park. Key elements ofthis increase are as follows: > The 2003 EPURA bond issue caused significant changes by removing restrictive bond covenants, and amending the intergovernmental agreement between the Town and EPURA, which reduced operating transfers to EPURA. In addition, during 2003 legal counsel advised that urban renewal authorities are no longer subject to provisions ofthe TABOR amendment. Removing this restriction allowed excess funds to flow directly to the Town's general fund and substantially reduced a transfer out of incremental taxes to EPURA. > Sales tax, the primary source of revenues to the General Fund, reflected the general slowdown ofthe local and regional economy in 2003. As a result. the revenue received from this source was $445,872 less than the budgeted amount. As this trend became apparent during the year, spending cuts were implemented to offset the reduced revenues. This revenue source did improve relative to 2002, however. > Investment income received during the year was $61,115 less than the revenue projected in the budget. This was the result of a continuing weakness in the interest rate environment. Over the course of the year, the federal funds rate decreased by 54 basis points, or a proportional decline of 32%. > Expenditures increased with the addition of expanded efforts to enhance the business climate in response to the decline in tourism. Two new divisions were added to the General Fund, Business Development and Group Sales and Marketing, for a combined increase of $190,179, a portion of which had previously been reported in the Conference Center fund. e Town of Estes Park's Changes in Net Assets Governmental Business-type Total activities activities 2003 2003 2003 Revenues: Program revenues Charges for services $ 1,364,993 $ 10,015,465 $ 11,380,458 Operating grants and contributions 642,534 642,534 Capital grants and contributions 371,831 691,708 1,063,539 General revenues: Property taxes 1,039,831 1,039,831 Other taxes 6,594,270 7,218,152 Other 951,883 852,554 1,157,066 Total revenues $ 10,941,853 $ 11,559,727 $ 22,501,580 Expenses: General government 3,468,726 3,468,726 Public safety 2,521,498 2,521,498 Public works 758,002 758,002 Culture and recreation 1,788,706 1,788,706 Interest on long-term debt 351,678 351,678 Water, 2,325,411 2,325,411 Electric 7,858,400 7,858,400 Total expenses 8,888,610 10,183,811 19,072,421 Increase in net assets before transfers 2,053,243 1,375,916 3,429,159 Transfers 780,827 (780,827) Increase in net assets 2,834,070 595,089 3,429,159 Net assets - 1/1/2003 20,752,029 27,914,752 48,666,781 Net assets - 12/31/2003 $ 23,586,099 $ 28,509,841 $ 52,095,940 f I expenses Expenses and Program Revenues - Governmental Activities ~ I program revenues 4,000,000 ~ 3.500.000 3.000,000 -~ 2,500,000 - - 2.000,000 - 1.500.000 -1 1,000,000 ~ 4 r-7 1 500,000 . , 111 - L_ijail I.- - -li~-~I general government public salety public works culture and recreation interest on long-term debt Revenues by Source - Governmental Activities operating grants and capital grants and contributions -~ 584 - contributions 3% charges for services sales taxes 12% 52% i transfers An 7% ~ miscellaneous - .U 3% , investment income 1% franchise taxes property taxes rental income intergovernmental 90/0 1 ' 4% 4% 0% 1 - Business-type activities. Business-type activities increased the Town of Estes Park's net assets by $595,089, accounting for 17.35% of the total growth in the government's net assets. Key elements of this increase are as follows: 1 Charges for services for business-type activities increased by $303,865 or 3.13%. All of the revenue increase occurred in the electric utility, $487,718, which corresponded to increased unit sales of 1.7%. Due to weather and conservation efforts, the demand in the water utility decreased by 29,983,847 gallons, a 7.11Â°/0 decrease in volume. This corresponded to a $183,853, or 8.15% decrease in revenue. The difference in percentage decreases relates to the pricing structure of water sales. There were also increases in the customer base, with the electric utility increasing by 227 accounts, or 2.44%, and the water utility increasing by g 141 accounts, or 3.25%. During the year, a financial plan for the electric utility, and a rate study were conducted by Black & Veatch. Based on recommendations set forth in these studies, the electric rates were increased by 6.25% and the water rates were increased by i 2.9%. Revenues by Source - Business-type Activities [nvestment income Miscellaneous 1% 6% Capital grants and contributions j 6% Charges for services 87% ~I expenses Expenses and Program Revenues - Business-type Activities dI Pr~*ram revenueg 9,000,000 - 8.000,000 - . 7,000,000 - 6,000,000 - 5.000.000 - 4.000.000 - 3,000,000 - 4 2.000.000 - 1.0()0,000 - light and power water Financial Analysis of the Government's Funds As noted earlier, the Town of Estes Park uses fund accounting to ensure and demonstrate compliance with finance-related legal requirements. Governmental funds. The focus of the Town of Estes Park's governmental funds is to provide *. information on near-term inflows, outflows, and balances ofspendable resources. Such information is useful in assessing the Town of Estes Park's financing requirements. In h .0 particular, unreserved fund balance may serve as a useful measure of a government' s net resources available for spending at the end of the fiscal year. As of the end ofthe current fiscal year, the Town of Estes Park's governmental funds reported combined ending fund balances of $13.555,499, an increase of $2,835,262 (or 20.92%) in comparison with the prior year. Approximately 92.36% of this total amount ($12.520.053) constitutes unreservedfund balance, which is available for spending at the government' s discretion. The remainder of fund balance is reserved to indicate that it is not available for new spending because it has already been committed 1) as a reserve for inventories ($11:650), or 2) as a reserve for property held for resale ($1,023,796). The General Fund is the chief operating fund ofthe Town of Estes Park. At the end of the current fiscal year. unreserved fund balance ofthe General Fund was $7,481,951, with no reservations of fund balance. As a measure of the General Fund's liquidity, it may be useful to compare both unreserved fund balance and total fund balance to total fund expenditures. Unreserved and total fund balance represents 108.83% of total general fund expenditures. The Community Reinvestment fund ended the year with a fund balance of $218,436. substantially less than the original projected ending fund balance of $1,498,768. The reason for the lower fund balance is that the budgeted transfer from the Estes Park Urban Renewal Authority (EPURA) was not made during the 2003 fiscal year. This is because the Series 2003 EPURA bond issue changed the terms of the bond indenture and the intergovernmental agreement with the Town of Estes Park, which resulted in a change in the flow of funds, including incremental revenues, from the EPURA tax increment district. The Urban Renewal Authority funds, Special Revenue and Debt Service were likewise affected by the bond issue. The ending fund balance in the Urban Renewal Special Revenue fund, $1,575,203, was $1,748,547 less than projected in the budget, primarily because incremental revenues that flowed through this fund in the previous arrangement instead are directed to the Town of Estes Park's General Fund. A transfer from the General Fund to EPURA is made to satisfy annual debt service requirements and operating expenses, to the extent that these costs exceed the incremental property taxes that are transferred by the Larimer County Treasurer directly to the trustee bank. The Urban Renewal Debt Service fund had an increase in fund balance of $1,144,415. This fund was also directly affected by the refunding and improvement bonds. A portion of the increase is due to a requirement for funds to be available at the end of the fiscal year in an amount at least equal to the subsequent year's debt service obligation. Proprietaryfunds. The Town of Estes Park's proprietary funds provide the same type of information found in the government-wide financial statements, but in more detail. Unrestricted net assets of the Light and Power fund at the end of the year amounted to $2,632,978, and those for the Water fund amounted to $2,761.625. The changes in net assets for both funds were $(91:671) and $595.830, respectively. Other factors concerning the finances of these two funds have already been addressed in the discussion of the Town of Estes Park's business-type activities. 1 General Fund Budgetary Highlights Differences between the original budgeted expenditures and the final amended budgeted expenditures were $89,852, or 1.7% of the original budget. This difference was the result of obligations in the form of outstanding purchase orders from fiscal year 2002 that were not fulfilled in that year, and were carried forward into the fiscal year 2003. The fund balance of the Town of Estes Park's General Fund increased by $1,965,452 (35.63%) during the current fiscal year. Key factors in this growth are as follows: > A positive budget variance of $2,179,079 was realized in net intergovernmental transfers. This is a predominately a result of the EPURA Series 2003 bond issue and its effect on transfers of incremental revenues and operating funds. This is essentially a one-time event, and it is possible that additional adjusting transfers out will be made in fiscal year 2004 at the discretion of the Town Board. This subsequent transfer could restore projected balances in the Community Reinvestment fund which was also effected indirectly by the terms of the new bond issue and intergovernmental agreement between the Town of Estes Park and EPURA. k General Fund revenues were below budget by $464,339, primarily in sales tax revenues that were affected by a slowing in the tourism industry. Expenditures were reduced during the year from the adopted budget to respond to the continuing slump in General Fund Revenues. This contributed to a positive budget variance in total General Fund expenditures of $700,392. Town of Estes Park's Capital Assets Governmental Business-type Total activities activities 2003 2002 2003 2002 2003 2002 Land $ 6,358,560 $ 6,358.560 $ 2,943,951 $ 2,943,951 $ 9,302,511 $ 9,302,511 Building and system 5,449,067 5.609,466 898,936 936.213 6,348,003 6,545,679 Improvements other than buildings Machinery and equipment 1,572,475 1,436,411 5,609,089 5,547,335 7,181,564 6,983,746 Infrastructure 2,071,566 17,209,171 16,450.]08 19,409,992 16,450,108 Construction in progress Total $ 15,451,668 $ 13,404,437 $ 26,661,147 $ 25,877,607 $ 42,112,815 $ 39,282,044 Capital Asset and Debt Administration Capital assets. The Town of Estes Park's investment in capital assets for its governmental and business type activities as of December 31,2003, amounts to $42,112,815 (net of accumulated depreciation). This investment in capital assets includes land: buildings and systems, improvements. machinery and equipment, park facilities, roads. highways, and bridges. j Major capital asset events during the current fiscal year included the following: > Planning and design of the Municipal Building remodel project began in 2003 at a cost of $6,888, with construction of new public restroom facilities and remodeling of first floor office and customer service areas planned for early 2004. > Construction of approximately one mile of pathways was constructed for approximately $203,000 in the Knoll-Willows area, continuation of the Fall River trail near Performance Park, and phase two of the Fish Creek trail. > The Water fund continued infrastructure improvements at the Mary's Lake raw water pump; the Glacier Creek water plant filter rehabilitation projects and other related at a cost of approximately $1,056,000. > The Light & Power fund infrastructure improvements included $122,933 in transformers. $93,664 in overhead lines and towers. $123.523 for underground conductors, and $122,933 in transformers. Town of Estes Park's Outstanding Debt General Obligation and Revenue Bonds Governmental Business-type Total activities activities 2003 2002 2003 2002 2003 2002 Water utility loans $ 1,760,000 $ 1,935.000 $ 1,095,000 $ 1,210,000 Revenue bonds $ 4,165,000 $ 2,590.000 2,490,000 2.660.000 7,320,000 5.975.000 Capital lease obligations 2.447.800 2,719.741 2,447,800 2,719,741 Certificates of participation 465,000 529.000 465,000 529,000 Total $ 7,077,800 $ 5,838,741 $ 4,250,000 $ 4,595.000 $ 11,327,800 $ 10,433,741 Long-term Debt. At the end of the current fiscal year, the Town of Estes Park had total bonded debt outstanding of $8,415.000. Of this amount: $1,760,000 represents water utility loans and $6.655.000 represents bonds secured solely by specified revenue sources (i.e. revenue bonds). Additionally, the Town of Estes Park has $2.447.800 in lease financing for capital assets, and certificates of participation outstanding for $465.000. The Town of Estes Park's total debt increased by $894,059 during the current fiscal year. The key factor was the Estes Park Urban Renewal Authority Tax Increment Revenue Refunding and Improvement Bonds Series 2003 that were issued during the year in the face amount of $4,165,000. The issue included the refunding and defeasance of $2,380:000 of Tax Increment Revenue Refunding, Series 1993, and provided an additional amount (after bond premium, net reserve requirement and issuance costs), for improvements by the Urban Renewal Authority. The bonds were issued with a rating from Moody's of"Baa-1". The Town of Estes Park Light and Power Fund maintains a rating from Standard & Poors and Fitch of"AAA" on its outstanding revenue bonds. k State statutes limit the amount of general obligation debt a governmental entity may issue to 3 percent of its total actual property. The current debt limit for the Town of Estes Park is $33,497,671. Additional information on the Town of Estes Park's capital assets and long-term debt can be found in notes five and six in the notes to the financial statements. Economic Factors and Next Year's Budget and Rates > Combined traffic counts for the two main highways into the Town of Estes Park increased by 156,330. or 4%, from 2002 to 2003. > Taxable sales increased by $3,317,925,2.2%, from the prior year, reversing a declining trend in this factor. > Construction valuation for new residential property increased by $3:668,534, or 21%, from 2002. > A financial plan for the Light & Power fund and a rate study for the Water fund were conducted during 2003 by Black & Veatch. Both studies included objectives for eliminating annual deficits, setting target fund balances, and set forth capital improvement programs and funding sources for identified projects for the period from 2003 to 2008. All of these factors were considered in the preparation for the Town of Estes Park's budget for the 2004 fiscal year. During the current fiscal year, unreserved fund balance in the General Fund increased to $7:481,951. The projected ending unreserved fund balance for the fiscal year 2003 in the 2004 adopted budget is $5,174.293. The projected ending funding balance for 2004 is $5,275,831, an increase of $101,538 in fund balance for the General Fund. Both the electric and water rates were increased for 2003. The electric rates increased an average of 6.25% for all customers, and the average water rate increase was 2.9%. These rates are based on the recommendations in the electric utility's financial plan and the water utility's rate study. Requests for Information This financial report is designed to provide a general overview of the Town of Estes Park' s finances for all those with an interest in the government' s finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Director, Town of Estes Park, P.O. Box 1200, Estes Park, CO 80517, or to pbrandiord@estes.org. or (970) 577-3560. 1 BAS]C FINANCIAL STATEMENTS This page intentionally left blank. TOWN OF ESTES PARK. COLORADO STATEMENT OF NET ASSETS December 31.2003 PRIMARY GOVERNMENT GOVERNMENTAL BUSINESS-TYPE ACTIVITIES ACTIVITIES TOTAL ASSETS Cash and Investments $ 11.311.024 $ 5.270.392 $ 16.581.416 Restricted Cash and Investments 3,875.174 - 3.875.174 Accounts Receivable 70.606 792.276 862.882 Interest Receivable - 29.800 29.800 Intergovernmental Receivable 17,433 - 17.433 Taxes Receivable 1,649.854 - 1,649.854 Internal Balances (1.005.629) 1:005,629 Inventories 35.751 473.577 509.328 Prepaid Expenses - 39132 39,132 Property Held for Resale 1,023,796 - 1.023.796 Bond Issuance Costs. Net 93,027 - 93.027 Capital Assets. Net of Accumulated Depreciation 15.451.668 26.661,147 42.112.815 ' TOTAL ASSETS 32.522.704 34.271.953 66.794.657 LIABILITIES Accounts Payable 324.274 569,366 893.640 Accrued Liabilities 229.463 81.840 311.303 Accrued Interest Payable 26.498 43.149 69.647 Customer Deposits and Advances - 600,913 600.913 Deferred Revenues 867,798 - 867.798 Insurance Claims Payable 95.430 - 95.430 Noncurrent Liabilities Due Within One Year 1.170.174 365,000 1.535,174 Due in More Than One Year 6.222.968 4.101,811 10.324.779 TOTAL LIABILITIES 8,936.605 5.762,079 14.698.684 NET ASSETS Invested in Capital Assets, Net of Related Debt 8,471,444 22.411,147 30.882.591 Restricted for Emergencies 378.589 - 378.589 Restricted for Capital Projects 2,503,317 - 2.503.317 Restricted for Debt Service 1.347.191 - 1.347.191 Unrestricted 10.885,558 6.098,727 16.984.285 TOTAL NET ASSETS $ 23.586.099 ' $ 28.509.874 $ 52.095.973 The accompanying notes are an integral part of the financial statements. 1 TOWN OF ESTES PARK. COLORADO STATEMENT OF ACTIVITIES Year Ended December 31.2003 PROGRAM REVENUES CHARGES OPERATrNG CAPITAL FOR GRANTS AND GRANTS AND FUNCTIONS/PROGRAMS EXPENSES SERVICES CONTRIBUTIONS CONTRIBUT]ONS PRIMARY GOVERNMENT Governmental Activities i General Government $ 3,468,726 $ 481.750 $ -$ - Public Safety 2,521,498 435.823 100.000 104.277 ' Public Works 758.002 24,103 400.812 - Culture and Recreation 1.788.706 423,317 141.722 267.554 Interest on Long-Term Debt 351.678 - - Total Governmental Activities 8.888.610 1.364.993 642.534 371.831 Business-Type Activities Light and Power 7.858,400 7,944,245 - Water 2.325,411 2.071.220 - 691.708 Total Business-Type Activities 10,183,811 10.015,465 - 691.708 TOTAL PRIMARY GOVERNMENT $ 19.072.421 $ 11.380.458 $ 642.534 $ 1.063.539 GENERAL REVENUES Sales Taxes Property Taxes Franchise Taxes Intergovernmental Rental Income Investment Income Miscellaneous TRANSFERS SPECIALITEM Loss on Disposal of Capital Assets TOTAL GENERAL REVENUES. TRANSFERS AND SPECIAL ITEM CHANGE IN NET ASSETS NET ASSETS. Beginning NET ASSETS, Ending The accompanying notes are an integral part of the financial statements. 2 NET (EXPENSE) REVENUE AND CHANGES IN NET ASSETS PRIMARY GOVERNMENT GOVERNMENTAL BUSINESS-TYPE ACTIVITIES ACTIVITIES TOTAL $ (2.986.976) $ - $ (2.986.976) (1.881.398) - (1.881.398) 033,087) - (333.087) (956,113) - (956,113) (351,678) - (351.678) (6.509.252) - (6.509.252) 85,845 85.845 - 437.517 437.517 523,362 523,362 (6.509.252) 523.362 (5.985.890) 6.173,628 - 6.173.628 1.039.831 - 1.039.831 420.592 - 420.592 54.837 - 54.837 448.938 - 448.938 143.596 105.840 249.436 304.512 746,714 1.051.226 780.827 (780.827) (23,439) - (23.439) 9.343.322 71.727 9.415.049 2.834.070 595.089 3.429.159 20.752.029 27.914,785 48.666.814 $ 23.586.099 $ 28.509.874 $ 52.095.973 TOWN OF ESTES PARK. COLORADO BALANCE SHEET GOVERNMENTAL FUNDS December 31, 2003 URBAN RENEWAL AUTHORITY COMMUNITY (SPECIAL GENERAL REINVESTMENT REVENUE) ASSETS Cash and Investments $ 7.077.660 $ 307.781 $ 1.561,492 Restricted Cash and Investments - Accounts Receivable 17,011 Intergovernmental Receivable Taxes Receivable 1,040.294 Inventories Property Held for Resale - - 1,023,796 TOTAL ASSETS $ 8.134,965 $ 307.78] $ 2,585.288 LIABILITIES AND FUND BALANCES L]ABILITIES Accounts Payable $ 193.839 $ 79.345 $ 3,596 Accrued Liabilities 210.937 ' - 860 Accrued Interest Payable - Deferred Revenues 248.238 10:000 Due to Other Funds - - 1.005,629 TOTAL LIABILITIES 653.014 89.345 1.010.085 FUND BALANCES Reserved for Inventories - Reserved for Property Held for Resale - - 1,023,796 Unreserved. Reported in General'Fund 7.481,951 Special Revenue Funds - 218.436 551.407 Capital Projects Funds - Debt Service Funds - TOTAL FUND BALANCES 7.481,951 218,436 1,575.203 TOTAL LIABILITIES AND FUND BALANCES $ 8.134.965 $ 307.781 $ 2.585.288 Amounts Reported for Governmental Activities in the Statement ofNet Assets are Different Because: Capital assets used in governmental activities are not financial resources and. therefore. are nol reported in the funds. This amount is net ofaccumulated depreciation of $6,563,619. Internal service funds ares used by management to charge the costs of fleet maintenance. vehicle replacement. and health insurance to individual funds. A portion ofthe assets and liabilities of the internal service funds are included in governmental activities in the statement of net assets. Long-term liabilities, including bonds payable ($4.630.000). bond premium ($58,449) net of deferred amount on refunding $62,998, net of bond issuance costs $93,027, capital leases payable ($2.447.800). and accrued compensated absences ($303.134), are not due and payable in the current period and therefore are not reported in the funds. Net Assets of Governmental Activities The accompanying notes are an integral part of the financial statements. 3 URBAN RENEWAL AUTHORITY OTHER TOTAL (DEBT GOVERNMENTAL GOVERNMENTAL SERVICE) FUNDS FUNDS $ - $ 385.726 $ 9,332,659 1.373.689 2.501.485 3,875,174 - 53,595 70,606 17.433 17,433 609.560 - 1.649,854 - 11.650 11,650 1,023,796 $ 1.983.249 $ 2.969.889 $ 15,981,172 $ - $ 25.368 $ 302,148 - 11.803 223,600 26.498 - 26,498 609.560 - 867,798 - - 1,005,629 636.058 37.17] 2,425,673 - 11,650 11.650 1.023,796 7.481,951 - 417,751 1,187.594 2.503,317 2,503,317 1.347.191 - 1,347.191 1.347.191 2,932.718 13.555,499 $ 1.983.249 $ 2.969.889 15.406,978 1,906,980 (7.283.358) $ 23.586.099 TOWN OF ESTES PARK. COLORADO STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS Year Ended December 31,2003 URBAN RENEWAL AUTHORITY ' COMMUNITY (SPECIAL GENERAL REINVESTMENT REVENUE) i REVENUES Taxes $ 7,057.078 $ -$ - Licenses and Permits 608.469 - Intergovernmental 573.007 20,459 - ' Charges for Services 18.726 Fines and Forfeitures 21.613 - - Rental Income 166.627 - Investment Income 63.885 487 30.200 Miscellaneous 315.156 15.000 13.673 TOTAL REVENUES 8.824.561 35,946 43.873 EXPENDITURES Current General Government 2,685.810 - 159,989 Public Safety 2:997.822 Public Works 751,340 36,707 - Culture and Recreation 439,709 Capital Outlay - 1,148,971 995.500 Debt Service Principal 228,328 Interest and Fiscal Charges - 223,284 Bond ]ssuance Costs TOTAL EXPENDITURES 6.874.681 1.637,290 1,155:489 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 1,949,880 (1,601,344) (1,111.616) OTHER FINANCING SOURCES (USES) Transfers In 754,703 Transfers Out (739.131) - (1,331,007) Bond Proceeds Bond Premium - . Payment to Refunding Escrow - TOTAL OTHER FINANCING SOURCES (USES) 15,572 - (1.331.007) NET CHANGE IN FUND BALANCES 1,965,452 (1.601,344) (2.442.623) FUND BALANCES, Beginning 5,516.499 1.819.780 4.017.826 FUND BALANCES, Ending $ 7,481,951 $ 218,436 $ 1.575.203 1 The accompanying notes are an integral part ofthe financial statements. 4 URBAN RENEWAL AUTHORITY OTHER TOTAL (DEBT GOVERNMENTAL GOVERNMENTAL SERVICE) FUNDS FUNDS $ 576,973 $-$ 7.634,051 - - 608,469 - 267,252 860,718 - 423,317 442,043 - - 21,613 345.000 93,095 604,722 14.502 2,243 111,317 - 159.314 503,143 936.475 945.221 10.786.076 - 2:845,799 - - 2,997,822 - 788.047 - 1.256,741 1.696.450 232.066 2.376,537 210.000 64.000 502.328 97,127 29.095 349.506 96.235 96.235 403,362 1.581.902 11:652,724 533,113 (636,681) (866,648) 1,331.007 765,255 2.850,965 (2,070,138) 1.665.000 2.500,000 4.165.000 60.465 - 60,465 (2:445.170) - (2.445.170) 611.302 3.265.255 2,561,122 1,144,415 2.628,574 1:694,474 202,776 304.144 11.861.025 $ 1.347,191 $ 2,932,718 $ 13.555,499 TOWN OF ESTES PARK: COLORADO RECONCILIATION OF THE STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS , TO THE STATEMENT OF ACTIVITIES Year Ended December 31,2003 Amounts Reported for Governmental Activities in the Statement ofActivities are Different Because: Net Change in Fund Balances of Governmental Funds $ 1.694.474 Capital outlays to purchase or build capital assets $2,728.877 are reported in governmental funds as expenditures. However, for governmental activities those costs are capitalized in the statement of net assets and allocated over their estimated useful lives as annual depreciation expense ($651.642). and loss on disposal ($23,439) in the statement of activities. 2,053.796 Repayments of bond principal $274,000, capital lease payments $271,941. and (increases) in compensated absences payable ($19.226) are expenditures in the governmental funds, but they reduce long-term liabilities in the statement of net assets and do not affect the statement of activities. 526,715 Bond proceeds provide current financial resources to governmental funds, but issuing debt increases long-term liabilities in the statement of net assets. This amount is the net effect of these di fferences in the treatment of long-term debt and related items: bond proceeds ($4.165.000), payments to escrow agent $2,445,170. bond premium ($60.465). bond issuance costs $96.235. amortization ofbond premium $2,016. amortization of bond issuance costs ($3.208) and amortization of deferred amount on refunding ($2,172) (1,687,424) Internal service funds are used by management to charge the costs of fleet maintenance. vehicle replacement and health insurance to the individual funds. A portion ofthe net income ofthe internal service funds is reported with governmental activities in the statement of activities. 246.509 Change in Net Assets of Governmental Activities $ 2.834.070 The accompanying notes are an integral part ofthe financial statements. 5 TOW-N OF ESTES PARK. COLORADO GENERAL FUND BUDGETARY COMPARISON STATEMENT Year Ended December 31, 2003 VAR1ANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Taxes Sales $ 6.619.500 $ 6.619.500 $ 6,173.628 $ (445,872) Propert> 457.070 457.070 462.858 5.788 Franchise 454.151 454.151 420.592 (33,559) Licenses and Permits 498.300 498.300 608.469 110,169 Intergovernmental 536.450 536.450 . 573.007 36,557 Charges for Services 22.600 22.600 18.726 (3.874) Fines and Forfeitures 36.500 36.500 21.613 (14.887) Rental Income 260.000 260.000 166.627 (93,373) investment Income 125.000 125.000 63,885 (61,115) Miscellaneous 279.329 279.329 315,156 35.827 TOTAL REVENUES 9.288.900 9.288.900 8.824.561 (464.339) EXPENDITURES General Government Legislative ] 02.497 104.832 81.295 23.537 Judicial 38.732 38.732 33.466 5.266 Executive 312.487 312.487 300,810 11,677 Administrative 167.974 167.974 155.608 12,366 Community Development 349.774 354.528 333.487 21.041 Buildings 345.265 3583 11 302,633 55.478 Community Services 428.893 428.893 417.415 11.478 Advertising 872.209 874.959 833.774 41.185 Business Development - - 118.975 (118.975) Group Sales and Marketing - 71.204 (71,204) Other 141.750 141.750 37.143 104.607 Total General Government 2.759.581 2.782.266 2.685.810 96.456 Public Safety Police 2.203.628 2.216.467 2,117.624 98.843 Fire 675.730 675.730 645.966 29.764 Protective Inspection 270.355 271.537 234.232 37,305 Total Public Safety 3.149.713 3.163.734 2.997.822 165.912 Public Works Engineering 86.001 101.541 63.606 37.935 Streets 761.718 796.898 652,328 144.570 Sanitation 70.000 70.000 35.406 34.594 Total Public Works 917.719 968.439 751.340 217.099 Culture and Recreation Parks and Recreation 658.208 660.634 439.709 220,925 TOTAL EXPENDITURES 7.485.221 7.575.073 6.874.681 700.392 (Continued) The accompanying notes are an integral part of the financial statements. 6 TOWN OF ESTES PARK. COLORADO GENERAL FUND BUDGETARY COMPARISON STATEMENT , Year Ended December 31. 2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 1.803.679 1.713,827 1.949.880 (1.164.731) OTHER FINANCING SOURCES (USES) Transfers In 1.658.278 1,658.278 754.703 (903.575) Transfers Out (3.821.785) (3.821,785) (739,131) 3.082.654 TOTAL OTHER FINANCING SOURCES (USES) (2.163.507) (2.163.507) 15,572 2.179.079 NET CHANGE IN FUND BALANCE (359.828) (449.680) 1.965.452 2.415,132 FUND BALANCE. Beginning 4.251.890 4.251.890 5.516.499 1.264.609 FUND BALANCE. Ending $ 3.892.062 $ 3.802.210 $ 7.481.951 $ 3.679,741 The accompanying notes are an integral part of the financial statements. 1 TOWN OF ESTES PARK. COLORADO COMMUNITY REINVESTMENT FUND BUDGETARY COMPARISON STATEMENT Year Ended December 31, 2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Intergovernmental $ - $ $ 20.459 $ 20.459 Investment Income 5,000 5,000 487 (4.513) Miscellaneous 53,000 53.000 15.000 (38.000) TOTAL REVENUES 58.000 58.000 35.946 (22.054) EXPENDITURES Current Public Works 5.000 5,000 36.707 (31.707) Capital Outlay 1.647.000 1.777.248 1.148.971 628.277 Debt Service Principal 228.328 228.328 228.328 - Interest and Fiscal Charges 223.284 223.284 223.284 - TOTAL EXPENDITURES 2.103.6]2 2.233.860 1.637.290 596.570 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (2.045.612) (2.175.860) (1.601.344) 574.516 OTHER FINANCING SOURCES Transfers In 1.873.874 1,873.874 - 0.873.874) NET CHANGE IN FUND BALANCE (171.738) (301,986) (1.601.344) (1.299.358) FUND BALANCE. Beginning 1.670.506 1,670,506 1.819,780 149.274 FUND BALANCE. Ending $ 1,498.768 $ 1.368.520 $ 218.436 $ (1.150.084) The accompanying notes are an integral part of the financial statements. 8 TOWN OF ESTES PARK. COLORADO URBAN RENEWAL AUTHORITY (SPECIAL REVENUE) BUDGETARY COMPARISON STATEMENT Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Investment Income $ 50,000 $ 50.000 $ 30.200 $ (19.800) Miscellaneous - - 13,673 13.673 TOTAL REVENUES 50.000 50.000 43.873 (6.127) EXPENDITURES Current General Government 188.304 188.304 159.989 28,315 Capital Outlay 780.282 1.072.085 995,500 76.585 TOTAL EXPENDITURES 968.586 1,260.389 1.155.489 104.900 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (918.586) (1.210.389) (1.111.616) 98.773 OTHER FINANCING SOURCES (USES) Transfers In 2,789.588 2,789.588 - (2.789.588) Transfers Out (2,273.275) (2,273.275) (1.331.007) 942.268 TOTAL OTHER FINANCING SOURCES (USES) 516,313 516,313 (1.331.007) (1,847.320) NET CHANGE IN FUND BALANCE (402,273) (694,076) (2.442.623) (1,748.547) FUND BALANCE. Beginning 4.017.826 4.017.826 4.017.826 FUND BALANCE. Ending $ 3.615.553 $ 3,323.750 $ 1.575203 $ (1.748.547) The accompanying notes are an integral part of the financial statements. 9 TOWN OF ESTES PARK, COLORADO STATEMENT OF NET ASSETS PROPRIETARY FUNDS December 31,2003 GOVERNMENTAL LIGHT AND TOTAL ACTIVITIES POWER WATER BUSINESS-TYPE INTERNAL FUND FUND ACTIVITIES SERVICE ASSETS Current Assets Cash and Investments $ 1,937,170 $ 2,629,098 $ 4,566,268 $ 2,682,489 Accounts Receivable 677,473 114,803 792,276 - Interest Receivable - 29,800 29,800 - Due from Other Funds 1,005,629 - 1,005,629 Inventories 354,343 119,234 473,577 24,101 Prepaid Expenses 39,132 - 39,132 TOTAL CURRENT ASSETS 4,013,747 2,892,935 6,906,682 2,706,590 Capital Assets, Net of Accumulated Depreciation 10,100,689 16,560,458 26,661,147 44,690 TOTAL ASSETS 14,114,436 19.453,393 33,567,829 2,751,280 LIABILITIES Current Liabilities Accounts Payable 555,16] 14,205 569,366 22,126 Accrued Liabilities 55,718 26,122 81,840 5,863 Accrued Interest Payable 21,174 21,975 43,149 Customer Deposits and Advances 600,913 - 600,913 Insurance Claims Payable - - - 95,430 Loans Payable, CurÂ·rent Portion - 190,000 190,000 - Revenue Bonds Payable, Current Portion 175,000 - 175.000 - TOTAL CURRENT LIABILITIES 1,407,966 252,302 1.660,268 123,419 Noncurrent Liabilities Compensated Absences 147,803 69,008 2]6,811 16,757 Loans Payable - 1.570,000 1,570.000 Revenue Bonds Payable 2,315,000 - 2,315.000 TOTAL NONCURRENT LIABILITIES 2,462,803 1.639,008 4,101.811 16,757 TOTAL LIABILITIES 3,870,769 1,891,310 5,762.079 140,176 NET ASSETS Invested in Capital Assets, Net of Related Debt 7,610,689 14.800,458 22,411,147 44,690 Restricted for Emergencies - - 378,589 Unrestricted 2,632,978 2.761,625 5,394.603 2,187,825 TOTAL NET ASSETS $ 10,243,667 17.562.083 27,805,750 $ 2,611,104 Amounts Reported for Business-Type Activities in the Statement of Net Assets are Different Because Internal service funds ares used by management to charge the costs of fleet maintenance. vehicle replacement. and health insurance to individual funds. A portion of the assets and liabilities of the internal service funds are included in business-type activities in the statement of net assets 704,124 Net Assets of Business-Type Activities $ 28,509.874 The accompanying notes are an integral part of the financial statements. 10 TOWN OF ESTES PARK, COLORADO STATEMENT OF REVENUES. EXPENSES AND CHANGES IN FUND NET ASSETS PROPRIETARY FUNDS Year Ended December 31, 2003 GOVERNMENTAL LIGHT AND TOTAL ACTIVITIES POWER WATER BUSINESS-TYPE INTERNAL FUND FUND ACTIVITIES SERVICE OPERATING REVENUES Charges for Services $ 7.944,245 5 2,071,220 $ 10,015,465 $ 743,807 Miscellaneous 546,573 109,121 655,694 4,404 TOTAL OPERATING REVENUES 8.490,818 2.180,341 10,671,159 748,211 OPERATING EXPENSES Source of Supply 4,081,919 110,517 4,192,436 Purification - 401,733 401,733 - Distribution 1,389,255 486,479 1,875,734 Customer Accounts 585,490 203,483 788,973 - Administration and General 1,126,644 546,245 1,672,889 244,233 Depreciation 54],672 450,097 991,769 11,676 Health Benefits - 187,052 TOTAL OPERATING EXPENSES 7,724,980 2,198,554 9,923,534 442,96] OPERATING INCOME (LOSS) 765,83-8 (18,213) 747,625 305,250 NONOPERATING REVENUES (EXPENSES) Investment 1ncome 56,648 49,192 105,840 32,279 }nterest Expense (133,420) (126:857) (260,277) - TOTAL NONOPERATING REVENUES (EXPENSES) (76,772) (77,665) (154,437) 32,279 NET INCOME (LOSS) BEFORE TRANSFERS AND CAPITAL CONTRIBUTIONS 689,066 (95,878) 593,188 337,529 Transfers Out (780,827) - (780,827) - Capital Contributions - 691,708 691,708 - CHANGE'IN NET ASSETS (91,761) 595.830 504.069 337,529 NET ASSETS, Beginning 10,335,428 16,966,253 2,273,575 NET ASSETS, Ending $ 10,243,667 $ 17,562.083 $ 2,611,104 Amounts Reported for Business-Type Activities in the Statement of Activities are Different Because Internal service funds are used by management to charge the costs of fleet maintenance, vehicle replacement and health insurance to the individual funds. A portion of the net income of the internal service funds is reponed with business-type activities in the statement of activities- 91,020 Change in Net Assets of Business-Type Activities $ 595,089 The accompanying notes are'an integral part of the fnancial statements. 11 TOWN OF ESTES PARK, COLORADO STATEMENT OF CASH FLOWS PROPRIETARY FUNDS Increase (Decrease) in Cash and Cash Equivalents Year Ended December 31, 2003 GOVERNMENTAL LIGHT AND TOTAL ACTIVITIES POWER WATER BUSINESS-TYPE INTERNAL FUND FUND ACTIVITIES SERVICE CASH FLOWS FROM OPERATING ACTIVITIES Cash Received from Customers $ 7.926,257 $ 2,054,117 5 9,980,374 $ 743,807 Cash Received from Other Sources 546,573 109,121 655,694 4.404 Cash Paid to Suppliers (5.710,541) (1,312,830) (7,023,371) (265,195) Cash Paid to Employees (1.420.601) (658,755) (2,079,356) (204,207) Net Cash Provided (Used) by Operating Activities 1,341,688 191,653 1,533,341 278,809 CASH FLOWS FROM NONCAPITAL FINANCING ACTIVITIES Transfer to Other Funds (780,827) - (780,827) Net Cash (Used) by Noncapital Financing Activities (780,827) - (780,827) - CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of Capital Assets (645,696) (1,129,612) (1,775,308) (5,112) Principal Paid (170,000) (175,000) (345,000) - Interest Paid (134,695) (]29,]76) (263,871) Capital Contributions - 691,708 691,708 - Net Cash (Used) by Capital and Related Financing Activities (950,391) (742.080) (1,692,471) (5,112) CASH FLOWS FROM INVESTING ACTIVITIES Interest Received 59,107 49,192 108,299 32,279 Net Cash Provided by Investing Activities 59,]07 49,192 108,299 32,279 Net Increase (Decrease) in Cash and Cash Equivalents (330,423) (501,235) (831,658) 305,976 CASH AND CASH EQUIVALENTS, Beginning 2.267,593 3,130,333 5,397,926 2,376,513 CASH AND CASH EQUIVALENTS, Ending $ 1,937,170 $ 2,629,098 S 4,566,268 $ 2.682.489 RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED (USED) BY OPERATING ACTIVITIES Operating Income (Loss) 5 765.838 $ (18,213) S 747,625 $ 305,250 Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided (Used) by Operating Activities Depreciation 541,672 450,097 991,769 11,676 Loss on Disposal of Capital Assets - - 942 Changes in Assets and Liabilities Accounts Receivable (23.138) (17,103) (40,241) - Inventories 64,190 (10,156) 54,034 2,581 Prepaid Expenses 3,094 - 3,094 Accounts Payable (25.169) (221.789) (246,958) 15,225 Accrued Liabilities 10,532 (11,556) (1,024) 937 Customer Deposits and Advances 5,150 - 5,150 Insurance Claims Payable - - - (58,245) Compensated Absences (481) 20,373 19,892 443 Total Adjustments 575.850 209,866 785,716 (26.441) Net Cash Provided (Used) by Operating Activities $ 1.341.688 $ 191,653 5 1,533,341 $ 278,809 The accompanying notes are an integral part of the financial statements. 12 TOWN OF ESTES PARK. COLORADO STATEMENT OF FIDUCIARY NET ASSETS December 31,2003 PENSION TRUST AGENCY FUNDS FUNDS ASSETS Cash and Investments $ 973.963 $ 449.601 TOTAL ASSETS 973.963 449.601 LIABILITIES Special Assessments Payable - 8,976 Due to Friends of Stanley Hall - 440,625 TOTAL LIABILITIES - $ 449.601 NET ASSETS Held in Trust for Pension Benefits $ 973.963 The accompanying notes are an integral part of the financial statements. 13 TOWN OF ESTES PARK. COLORADO STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS Year Ended December 31.2003 PENSION TRUST FUNDS ADDITIONS State Contributions $ 52,570 Town Contributions 58.411 Investment Income 9.266 TOTAL ADDITIONS 120.247 DELETIONS Pension Benefit Payments 96.235 CHANGE IN NET ASSETS 24:012 NET ASSETS, Beginning 949.951 NET ASSETS. Ending $ 973,963 The accompanying notes are an integral part of the financial statements. 14 This page intentionally left blank. TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The Town of Estes Park, Colorado (the "Town") is a statutory municipality governed by a council- manager form of government through a Mayor and six-member Board of Trustees elected by the residents. The accounting policies of the Town and its component units conform to generally accepted accounting principles as applicable to governments. Following is a summary ofthe more significant policies. Reporting Entity In accordance with governmental accounting standards, the Town has considered the possibility of inclusion of additional entities in its financial statements. The definition ofthe reporting entity is based primarily on financial accountability. The Town is financially accountable for organizations that make up its legal entity. It is also financially accountable for legally separate organizations if Town officials appoint a voting majority of the organization:s governing body and either it is able to impose its will on that organization or there is a potential for the organization to provide specific financial benefits to, or to impose specific financial burdens on, the Town. The Town may also be financially accountable for organizations that are fiscally dependent upon it. Based on the application ofthese criteria, the Town includes the following component units in its financial statements. The Estes Park Urban Renewal Authority (EPURA) provides redevelopment within the Town limits. The Town Board ofTrustees appoints the governing board ofEPURA. EPURA is blended into the Town's financial statements because it provides services exclusively tb the Town, receives all of its funding from the Town, and agreements between the entities restrict EPURA' s activities to those approved by the Town Board of Trustees. EPURA is reported using three funds, special revenue, debt service. and capital projects. The Estes Park Building Authority (Building Authority) was formed to provide financing for improvements to the Town-owned golf course. The Estes Valley Recreation and Park District operates the course under a management agreement. The Town Board of Trustees appoints the directors of the Building Authority. The Building Authority is reported as a debt service fund. Complete financial statements of EPURA may be obtained by contacting the Town's Finance Department at 170 MacGregor Avenue, Estes Park, Colorado 80517. The Building Authority does not issue separate financial statements. 15 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 1: SUMMARY OF S]GNIFICANT ACCOUNTING POLICIES (Continued) Reporting Entity (Continued) Joint Venture-In 1975, the Town joined with the cities of Fort Collins, Longmont. and Loveland to establish the Plane River Power Authority (Authority): to provide electrical power and energy to the Town and cities. The Authority is governed by an eight-member Board. Each participant's Council/Trustees appoint two members to the Board. The Town has a residual interest in the assets of the Authority that may revert to the Town upon dissolution of the Authority. The Town has no equity interest in the Authority. Complete financial statements of the Authority may be obtained by contacting the Authority at 2000 East Horsetooth Road. Fort Collins, Colorado, 80525-5721. 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 nonfiduciary activities of the Town and its component units. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for support. The statement of activities demonstrates the degree to which the direct expenses of the given function or segment are offset by program revenues. Direci expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1) chargestocustomers or applicants who purchase, use, or directly benefit from goods. services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds, proprietary funds, and fiduciary funds, even though the latter are excluded from the Town's government-wide financial statements. Major individual governmental funds are reported as separate columns in the fund financial statements. 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 and pension trust fund financial statements. The agency funds utilize the accrual basis of accounting. Revenues are recorded when earned and expenses are recorded when the liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year foi 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. 16 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) Measurement Focus, Basis of Accounting, and Financial Statement Presentation (Continued) Governmental fund financial statements are reported using the current financial resources measurementfocus andthe modified accrual basis ofaccounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collected within the current period or soon enough thereafter to pay liabilities ofthe current period. For this purpose, the Town considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Property taxes, specific ownershiptaxes, grants. and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and available only when cash is received by the Town. Expenditures generally are recorded when a liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences. are recorded only when payment is due. Private-sector standards of accounting and financial reporting issued prior to December 1.1989, generallyare followed in both the government-wide and proprietary (enterprise and internal service) fund financial statements to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board. Governments also have the option of following subsequent private-sector guidance fortheirbusiness-type activities and enterprise funds. subject to this same limitation, The Town has elected not to follow subsequent private-sector guidance. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. Operating expenses for enterprise funds and internal service funds include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. When both restricted and unrestricted resources are available for use, it is the Town's practice to use restricted resources first, then unrestricted resources as they are needed. In the fund financial statements, the Town reports the following major governmental funds: The General Fund is the Town' s primary operating fund. It accounts for all financial resources of the Town, except those required to be accounted for in another fund. The Community Reinvestment Fund accounts for the revenues in excess of TABOR limits for the Town and the Estes Park Urban Renewal Authority which are used for capital projects. 17 TOWN OF ESTES PARK: COLORADO NOTES TO FINANCIAL STATEMENTS December 31.2003 NOTE 1: SUMMARY OF SIGNIF]CANT ACCOUNTING POLICIES (Continued) Measurement Focus, Basis of Accounting, and Financial Statement Presentation (Continued) The Urban Renewal Authority Special Revenue Fund accounts for the collection and disbursement of specific revenue sources of EPURA. The Urban Renewal Authority Debt Service Fundaccounts for the accumulation ofresources for, and the payment of long-term debt principal, interest, and related costs of EPURA. The Town reports the following major proprietary funds: The Light and Power Fund accounts for the financial activities associated with the provision of electric services. The Water Fund accounts for the financial activities associated with the provision of water services. Additionally, the Town reports the following fund types: The Internal Service Funds account for fleet maintenance, vehicle replacement, catastrophic loss and health insurance services provided to other departments of the Town on a cost reimbursement basis. The Pension Trust Funds account for the activities of fire and police pension plans, which accumulate resources for benefits to qualified employees. The Agency Funds are used to account for resources collected to pay special assessment debt and to assist with improvement to the historic Stanley Hotel. The Town holds all resources in a purely custodial capacity. Cash and Investments Cash equivalents include investments with original maturities ofthree months or less. Investments in pdoled cash are considered cash equivalents. Investments are recorded at fair value. 1nterfund Receivables/Payables During the course of operations, numerous transactions occur between individual funds. The resulting receivables and payables are classified in the fund financial statements as duefrom other funds and due to other funds because they are short-term in nature. Noncurrent portions of interfund receivables and payables are reported as advances and are offset equally by a fund balance reserve account which indicates that they do not constitute expendable available financial resources and therefore are not available for appropriation. 18 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 1: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued) 1nterfund Receivables/Payables (Continued) Any residual balances outstanding between governmental and business-type activities are reported in the government-wide financial statements as internal balances. Inventories Inventories are valued at cost. using the first-in, first-out (FIFO) method. The costs of governmental fund inventories are recorded as expenditures when consumed rather than when purchased. Capital Assets Capital assets. which include property and equipment. are reported in the applicable governmental , or business-type activities columns in the government-wide financial statements. Capital assets are defined by the Town as assets with an initial, individual cost of more than $5:000 and an estimated useful life in excess of one year. Such assets are recorded at historical cost or estimated historical cost i f purchased or constructed. 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 extend assets lives are not capitalized. Property and equipment ofthe Town and its component units is depreciated using the straight line method over the following estimated useful lives. Collection and Distribution Systems 25 - 50 years Machinery and Equipment 20 - 25 years Vehicles 5 - 10 years Infrastructure assets, which include streets, bridges. sidewalks, drainage systems and trails, are currently excluded from the financial statements except for current year additions. Compensated Absences Employees ofthe Town are allowed to accumulate unused vacation and sicktime. Upon termination of employment from the Town. an employee will be compensated for all accrued vacation time and, if the employee has completed 20 years of continuous service, they will be compensated for 50% of their sick time at their current pay rate. These compensated absences are recognized as current salary costs when earned in the proprietary fund types and when due in the governmental fund types. A long-term liability has been recorded in the government-wide financial statements for the accrued compensated absences. 19 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 1: SUMMARY OF S]GNIFICANT ACCOUNTING POLICIES (Continued) Long-Term Obligations In the government-wide financial statements, and proprietary fund types in the fund financial statements. long-term debt anti 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 straight-line method. 1n the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs. duringthe current period. The face amount ofdebt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. Customer Advances for Construction Customer advances for construction represent amounts received from customers for construction of electric service facilities at their locations. These deposits are refunded to the customers by reducing their annual electric charges by 20%, each year: for the lessor of five years or until the entire deposit has been refunded. Deferred Revenues Deferred revenues arise when resources are received by the Town before it has a legal claim to them. as when grant monies are received prior to the incurrence of qualifying expenditures. In subsequent periods when the Town has a legal claim to the resources, the liability for the deferred revenue is removed from the balance sheet and revenue is recognized. Net Assets/Fund Balance 1n the government-wide financial statements, net assets are restricted when constraints placed on the net assets are externally imposed. 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. Property Taxes Property taxes attach as an enforceable lien on property on January 1 and are levied on November 1. Taxes are payable in full on April 30 or in,two installments on February 28 and June 15. The County Treasurer's Office collects property taxes and remits to the Town on a monthly basis. Since property tax revenues are collected in arrears during the succeeding year, a receivable and corresponding deferred revenue are recorded at December 31. As the tax is collected in the succeeding year, the deferred revenue is recognized as revenue and the receivable is reduced. 20 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 1: SUMMARY OF SIGNIF]CANT ACCOUNTING POLICIES (Continued) Contraband Forfeitures The Colorado Contraband Forfeiture Act allows law enforcement agencies to retain proceeds from the seizure of contraband. These proceeds are not subject to appropriation in the budget process. Cash proceeds are recorded in the General Fund. Property and equipment seized are recorded as capital assets. NOTE 2: STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY Budgets and Budgetary Accounting The Town follows these procedures in establishing the budgetary data refiected in the financial statements: â€¢ In October. the Town Administration submits to the Board of Trustees, a proposed operating budget for the fiscal year commencing the following January 1. The operating budget includes proposed expenditures and the means of financing them. â€¢ Public hearings are conducted to obtain taxpayer comments. â€¢ Prior to December 31. the budget is legally enacted through passage of an ordinance. â€¢ The Town Administration is authorized to transfer budgeted amounts between departments within any fund. However, any revisions that alter the total expenditures of any fund must be approved by the Board of Trustees. â€¢ Budgets are legally adopted for all funds ofthe Town. Fiduciary Fund type budgets are not required and have not been presented. For the year ended December 31,2003 budgets were not adopted for the Catastrophic Loss and Vehicle Replacement Internal Service Funds because no expenditures were anticipated during the year. Budgets for the General, Special Revenue, Debt Service, and Capital Projects Funds are adopted on a basis consistent with generally accepted accounting principles (GAAP). Budgetary comparisons presented forthe Enterpriseand Internal Service Fundsare presented on a non-GAAPbudgetary basis. Capital outlay is budgeted as an expenditure and depreciation is not budgeted. â€¢ Budgeted amounts in the financial statements are as originally adopted or as amended by the Board of Trustees. All appropriations lapse at year end. Colorado governments may not exceed budgeted appropriations at the fund level. 21 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS - December 31,2003 NOTE 2: STEWARDSHIP, COMPLIANCE AND ACCOUNTABILITY (Continued) Legal Compliance For the year ended December 31, 2003. the Park Entrance Estates Fund had appropriated expenditures in excess of funds available by $1.000. For the year ended December 31, 2003. the Urban Renewal Authority Debt Service Fund expenditures exceeded the budgeted amounts by $122,733, because bond issuance costs and interest expenditures exceeded expectations. These may be violations of State statute. NOTE 3: CASH AND INVESTMENTS A summary of cash and investments as of December 31,2003 follows: Petty Cash $ 1,940 Cash Deposits 3,012,796 Investments 18.865.4]8 Total $ 21.880,154 Cash and investments are reported in the financial statements as follows: Cash and Investments $ 16,581,416 Restricted Cash and Investments 3,875,174 Pension Trust Funds 973,963 Agency Funds 449.601 Total $ 21,880,154 Cash Deposits The Colorado Public Deposit Protection Act (PDPA) requires that all units of local government deposit cash in eligible public depositories. Eligibility is determined by state regulations. Amounts on deposit in excess of federal insurance levels must be collateralized by eligible collateral as determined by the PDPA. The financial institution is allowed to create a single collateral poo] for all public funds held. The pool is to be maintained by another institution, or held in trust for al] the uninsured public deposits as a group. The market value ofthe collateral must be at least equal to 102% ofthe uninsured deposits. Deposits are categorized to give an indication of risk assumed by the Town at the end ofthe year. Category 1 includes deposits that are insured, Category 2 includes collateralized deposits with securities held by the pledging institution's trust department or agent in the Town's name or in a collateral pool, and Category 3 includes uncollateralized, uninsured deposits. 22 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 3: CASH AND INVESTMENTS (Continued) Cash Deposits (Continued) At December 31,2003, the Town' s cash deposits had a carrying amount of $3.012,796, and a corresponding bank balance as follows: Insured (Category 1) $ 200,000 Deposits Collateralized in Single Institution Pools (Category 2) 2.913,023 Total Cash Deposits S 3,113,023 Investments Colorado statutes specify which instruments units of local government may invest, which include: â€¢ Obligations ofthe United States and certain U.S. agency securities â€¢ Certain international agency securities â€¢ General obligation and revenue bonds of U.S. local government entities â€¢ Bankers' acceptances of certain banks â€¢ Commercial paper â€¢ Local government investment pools â€¢ Written repurchase agreements collateralized by certain authorized securities â€¢ Certain money market funds â€¢ Guaranteed investment contracts The Town's investments are categorized below to give an indication of the level of security assumed at year end. Category 1 includes investments that are insured or registered or for which the securities are held by the Town or its agent in the Town's name, Category 2 includes uninsured and unregistered investments for which the securities are held by the counterparty's trust department or agent in the Town's name. Category 3 includes uninsured and unregistered investments for which the securities are held by the counterparty's trust department or by its agent. but not in the Town's name. Fair Value U.S. Agency Securities (Category 1) $ 6,021,280 At December 31,2003, the Town had invested $1.259.029, $2.605.892, and $5,014,660. respectively, in the Colorado Surplus Asset Fund Trust (CSAFE), the Colorado Diversified Trust (Trust), and the Colorado Government Liquid Asset Trust (Colotrust), collectivelythe "Pools". The Pools are investment vehicles established for local government entities in Colorado to pool surplus funds. and are registered with the State Securities Commissioner. The Pools operate similarly to a money market fund and each share is equal in value to $1.00. Investments consist of U.S. Treasury and U.S. Agency securities, repurchase agreements collateralized by U.S. Treasury and U.S. Agency securities and commercial paper. A designated custodial bank provides safekeeping 23 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 3: CASH AND INVESTMENTS (Continued) 1nvestments (Continued) and depository services to the Pools in connection with the direct investment and withdrawal functions of the Pools. Substantially all securities owned by the Pools are held by the Federal Reserve Bank in the account maintained for the custodial banks. The custodians' internal records identify the investments owned by the Town. At December 31,2003, the Town had invested $3.964.557 in money market funds. These investments are not categorized since the underlying securities cannot be determined. Restricted Cash The Estes Park Urban Renewal Authority Debt Service and Capital Projects Funds hold investments of $3.875.174 restricted for payment of debt service and capital projects of the Authority. NOTE 4: INTERFUND BALANCES AND TRANSFERS Due To/Due From balances at December 31,2003, were comprised of the following: Fund Due From Due To Light and Power $ 1,005,629 $ - EPURA Special Revenue - 1.005.629 Total $ 1,005.629 $ 1,005,629 During 2002, the Urban Renewal Authority Special Revenue Fund borrowed from the Light and Power Fund to purchase property that is being held for resale. Interfund transfers at December 31,2003, were comprised of the following: Transfers In Transfers Out Amount General Light and Power $ 754,703 Museum Light and Power 26,124 Museum General 165,126 Conference Center General 89,476 Special Events General 365,606 Senior Citizens General 118,923 EPURA Special Revenue EPURA Debt Service 1,331,007 Total $ 2,850,965 24 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 4: INTERFUND BALANCES AND TRANSFERS (Continued) During the year ended December 31,2003, the General Fund made transfers to the Museum, Conference Center, Special Events and Senior Citizens Funds to subsidize operating costs. The Light and Power Fund made a transfer to the General Fund to reimburse for overhead costs. The EPURA Special Revenue Fund made a transfer to the EPURA Debt Service Fund to accumulate resources for future debt service obligations. NOTE 5: CAPITAL ASSETS Capital assets activity for the year ended December 31,2003 is summarized below: Balances Balances 12/31/02 Additions Deletions 1201/03 Governmental Activities Capital Assets, Not Being Depreciated Land $ 6.358.560 $ . $ - $ 6.358.560 Capital Assets, Being Depreciated Buildings 9,279,499 118.695 - 9.398,194 Infrastructure - 2,200,821 - 2,200,821 Machinery and Equipment 3.672.953 414.472 29,713 4.057.712 Total Capital Assets, Being Depreciated 12.952.452 2.733.988 29.713 15.656.727 Less Accumulated Depreciation For Buildings (3,670,033) (279,094) - (3,949,127) Infrastructure - 029,255) - 029,255) Machinery and Equipment (2.236.542) (254.969) (6.274) (2.485.237) Total Accumulated Depreciation (5.906.575) (663.318) (6.274) (6.563.619) Total Capital Assets, Being Depreciated, Net 7.045.877 2.070.670 23.439 9.093.108 Governmental Activities Capital Assets, Net $ 13.404.437 $ 2,070.670 $ 23,439 $ 15,451,668 Business-Type Activities Capital Assets, not Being Depreciated Land and Easements $ 2.943.951 $ - $ . $ 2.943.951 Capital Assets, Being Depreciated Buildings 2,168,352 13,772 - 2.182,124 Infrastructure 22.586,857 1,274,208 34,385 23,826,680 Machinery and Equipment 9.783.862 487.329 262,210 10.008.981 Total Capital Assets, Being Depreciated 34.539.071 1.775.309 296.595 36.017.785 Less Accumulated Depreciation For Buildings (1,232,139) (51,049) - (1,283,188) Infrastructure (6,136,749) (515,145) (34,385) (6,617,509) Machinery and Equipment (4.236,527) (425.575) (262.2101 (4.399.892) Total Accumulated Depreciation (11.605.418) (991.769) (296.595) (12.300.589) Total Capital Assets, Being Depreciated, Net 22.933.656 783.540 - 23.717,196 Business-Type Activities Capital Assets, Net $ 25.877,607 $ 783.540 $ - $ 26,661,147 25 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 5: CAPITAL ASSETS (Continued) Depreciation expense was charged to functions/programs of the Town as follows: Governmental Activities General Government $ 259:664 Public Safety 126,713 Public Works 100:591 Culture and Recreation 176.350 Total $ 663,318 Business-Type Activities Light and Power $ 541,672 Water 450.097 Total $ 991,769 NOTE 6: LONG-TERM DEBT Governmental Activities Following is a summary of long-term debt transactions for the governmental activities for the year ended December 31,2003. Balance Balance Due Within 12/31/02 Additions Deletions 12/31/03 One Year I 1993 Tax Increment Revenue ) Refunding Bonds $ 2,590,000 $ - $ 2,590.000 $ - $ - 2003 Tax Increment Revenue Refunding Bonds - 4,165,000 - 4,165,000 760,000 1998 Refunding Certificates of Participation 529,000 - 64.000 465,000 68,000 Capital Lease Obligations 2,719,741 - 271,94 ] 2,447,800 342,174 Compensated Absences 300,222 19.669 - 319,891 - Bond Premium - 60,465 2.016 58,449 - Deferred Amount on I Refunding, Net - (65~170) (2.172) (62,9981 - Total S 6,138,963 $ 4,179,964 $ 2,925.785 $ 7,393,142 $ 1,170,174 Compensated absences are expected to be paid with revenues of the General Fund. 2003 Tax 1ncrement Revenue Refunding Bonds were issued by the Estes Park Urban Renewal ~ Authority (EPURA) to refinance EPURA:s Series 1993 Bonds. Principal payments are due annually on May 15. Interest payments are due semi-annually on May 15 and November 15. through 2008. Interest accrues at rates ranging from 3% to 3.25%. 26 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 6: LONG-TERMDEBT(Continued) Governmental Activities (Continued) 1993 Tax Increment Revenue Refunding Bonds were issued by the EPURA to refinance EPURA's Series 1988 and 1989 Bonds. The Bonds were refunded and paid in full during 2003. 1998 Refunding Certificates of Participation were issued by the Estes Park Building Authority (Building Authority) to refinance the Building Authority's 1990 Certificates of Participation. Principal payments are due annually on December 1. Interest payments are due semi-annually on June 1 and December 1, through 2009. Interest accrues at a rate of 5.5% per annum. The Town and its component units have entered into several capital lease agreements to purchase land, buildings, and equipment which will be paid from revenues of the General and Community Reinvestment Funds, EPURA and the Building Authority. Business-Type Activities Following is a summary of long-term debt transactions for the business-type activities for the year ended December 31,2003. Balance Balance Due Within 12/3 1/02 Additions Payments 12/31/03 One Year 1999 Light and Power Revenue Bonds $ 2.660.000 $ - $ 170,000 $ 2.490,000 $ 175,000 1997B Water Loan 725,000 - 60,000 665.000 65,000 1993A and 1990A Water Loans 1.210.000 - 115.000 1.095.000 125,000 Total $ 4.595.000 $ - $ 345,000 $ 4.250.000 $ 365,000 1999 Light and Power Revenue Bonds were issued to relocate and make improvements relating to the Town's light and power facilities. Principal payments are due annually on December 1. Interest payments are due semi-annually on June 1 and December 1, through 2014. Interest accrues at rates ranging from 4% to 5.45%. 1997B Water Loan from the Colorado Water Resources and Power Development Authority was obtained to finance improvements to the water system. Monthly principal and interest payments are due through October 1,2011. Interest accrues at rates ranging from 3.8% to 5%. 1993A and 1990A Water Loans from the Colorado Water Resources and Power Development Authority were obtained to finance improvements tothe water system. Monthly principal and interest payments are due through October 1,2010. Interest accrues at rates ranging from 2.7% to 5%. 27 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 6: LONG-TERM DEBT (Continued) Future Debt Service Requirements Annual debt service requirements for the outstanding bonds, certificates of participation, and loans at December 31,2003 are as follows. Year Ended December 31. Principal Interest Total 2004 $ 1.193.000 $ 387,903 $ 1,580,903 2005 1,276.000 336,253 1,612,253 2006 1,325:000 279,219 1,604,219 2007 1,374.000 228,143 1,602,143 2008 ]:439.000 164.437 1,603,437 2009- 2013 1.983.000 327,147 2,310,147 2014 290.000 15.805 305.805 Total Debt Service Requirements $ 8,880.000 $ 1,738.907 $ 10.618.907 Following is a schedule ofthe future minimum lease payments required underthe outstanding capital lease obligations at December 31,2003. Year Ended December 31. 2004 $ 550,752 2005 571,221 2006 641,228 2007 692,252 2008 700.000 Total Minimum Lease Payments 3,155,453 Less: Interest (707,653) Present Value of Future Minimum Lease Payments $ 2,447,800 Defeased Debt On October 15,2003, using a portion ofthe proceeds ofthe tax increment revenue refunding Bonds. Series 2003, EPURA advance refunded and defeased $2,380,000 of Tax Increment Revenue Refunding Bonds, Series 1993, by placing $2,445.] 70 in an irrevocable trust with an escrow agent, On November 15,2003 the defeased bonds were called and paid in full. Although the advance refunding resulted in the recognition of an accounting loss of $65,170, the Town reduced its ' aggregate debt service payments and obtained an economic gain (difference between the present values of the debt service payments on the old and new debt) of approximately $150,000. 28 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 6: LONG-TERM DEBT (Continued) Park Entrance Special Improvement District During 1996. $165,000 Special Improvement District Bonds were issued to finance improvements within the Park Entrance Estates. The Town is not obligated for this debt and is only acting as an agent for the property owners in collecting assessments and paying the required debt service. Therefore, the debt activity is recorded in the Park Entrance Estates Agency Fund and the outstanding debt is not recorded in the Town's financial statements. Outstanding bonds at December 3], 2003 totaled $12.372. NOTE 7: RISK MANAGEMENT Public Entity Risk Pool The Town is exposed to various risks of loss related to torts: theft of. damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. For these risks of loss, the Town is a member of the Colorado Intergovernmental Risk Sharing Agency (CIRSA), a separate and independent governmental and legal entity formed by intergovernmental agreement by member municipalities pursuant to State statute. The purposes of CIRSA are to provide members defined liability, property, and workers compensation coverages and to assist members in preventing and reducing losses and injuries to municipal property and to persons or property which might result in claims being made against members of CIRSA, their employees and officers. It is the intent ofthe members of CIRSA to create an entity in perpetuity which will administer and use funds contributed by the members to defend and indemnify: in accordance with the bylaws, any member of CIRSA against stated liability of loss, to the limit of the financial resources of CIRSA. It is also the intent of the members to have CIRSA provide continuing stability and availability of needed coverages at reasonable costs. All income and assets of CIRSA shall be at all times dedicated to the exclusive benefit of its members. ClRSA is a separate legal entity and the Town does not approve budgets nor does it have the ability to significantly affect the operations of the entity. Self-Insured Medical Plan The Town is partially self-insured for health benefits to eligible employees and dependents. For the year ended December 31,2003, the Town was responsible for up to $5,000 per claim, per year. Self- insurance activities were accounted for in the Health Insurance Internal Service Fund. The Town ' recognizes claims payable at December 31,2003, estimated at four months of premiums, to cover incurred claims should the Town terminate the health insurance contract with the commercial carrier. Settled claim amounts have not exceeded insurance coverage in the past three years. Claims payable as of and for the years ending December 31,2003 and 2002 were as follows: 29 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 7: RISK MANAGEMENT (Continued) Self-Insured Medical Plan (Continued) Claims Payable, December 31, 200] $ 143,928 Claims Incurred and Adjustments 252,320 Claims Paid (242.573) Claims Payable, December 31,2002 153.675 Claims Incurred and Adjustments 128:807 Claims Paid (187.052) Claims Payable. December 31,2003 $ 95,430 NOTE 8: RETIREMENT COMMITMENTS DEFINED CONTRIBUTION PLANS Management Employees and Police Money Purchase Pension Plans The Town of Estes Park contributes to a single employer defined contribution money purchase pension plan on behalf of management employees and a similar plan for police officers. The contribution requirements ofPlan participants and the Town are established and may be amended by the Town Board of Trustees. Management Employees Plan - Management employees are eligible to participate in the Plan. The Plan is administered by International City Managers' Association (]CMA). The Town is required to contribute 10% of each participants covered salary to the Plan, and employees must contribute 7.5% of covered salary. During the year ended December 31, 2003, the Town and employee contributions were $77.687 and $58.265. respectively, equal to the required contribution. Police Plan - A\\ sworn police employees shall be eligible to participate in the Plan administered by International City Managers' Association (]CMA). The Town is required to contribute 9.2% ofeach participating employeeÂ°s covered salary. and each employee must contribute 8% of covered salary. During the year ended December 31.2003. the Town and employee contributions were $106,763 and $92,838, respectively, equal to the re'quired contribution. Death and disability coverage is provided for members through the Statewide Death and Disability Plan, which is administered bythe Colorado Fireand Police Pension Association. All full-time, paid police officers of the Town are members of the Plan. The State Legislature establishes benefit provisions of the Plan. 30 ' TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 8: RETIREMENT COMMITMENTS (Continued) DEFINED CONTRIBUTION PLANS (Continued) 401(k) Defined Contribution Plan Plan Description - The MDTF members of the Town may voluntarily contribute to the Voluntary Investment Program. an Internal Revenue Code Section 401(k) defined contribution plan administered by PERA. Plan participation is voluntary, and contributions are separate from others made to PERA. Title 24, Article 51, Part 14 of the CRS, as amended, assigns the authority to establish the Plan provisions to the State Legislature. Funding Policy - The Plan is funded by voluntary member contributions of up to a maximum limit set by the IRS. Beginning January 1,2001, an employer match was legislated which would match 100% of a membersts eligible tax-deferred retirement program contributions limited to 3% of the PERA includable salary(2% effective January 1.2003). The contribution requirements forthe Town are established under Title 24, Article 51, Section 1402 of the CRS. as amended. The Town contributions to the Plan for the years ending December 31,2003 were $15,494. DEFINED BENEFIT PLANS Defined Benefit Mulliple-Employer Pension Plan Plan Description - The Town contributes to the Municipal Division Trust Fund (MDTF). a cost- sharing multiple-employer defined benefit pension plan administered by the Public Employee s Retirement Association of Colorado (PERA). MDTF provides retirement and disability, annual increases: and death benefits for members ortheir beneficiaries. Title 24. Article 51 ofthe Colorado Revised Statutes (CRS). as amended, assigns the authority to establish benefit provisions to the State Legislature. PERA issues a publicly available annual financial report that includes financial statements and required supplementary information for the MDTF. That report may be obtained by contacting PERA of Colorado, 1300 Logan Street: Denver, Colorado. 80203. Funding Policy - Plan members and the Town are required to contribute at a rate set by statute. The contribution requirements of Plan members and the Town are established by State statute. as amended. The contribution rate for members is 8% and for the Town is between 7.6% and 9.6% of covered salary, depending on employee participantion in a 401(k) plan. A portion of the Town s contribution (1.69% of covered salary) is allocated to the Health Care Trust Fund. The Town- s contributions to MDTF for the years ending December 31, 2003, 2002 and 2001 were $305.487. $284,860, and $271.875. respectively, equal to the required contributions for each year. 31 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 8: RETIREMENT COMMITMENTS (Continued) DEFINED BENEFIT PLANS (Continued) Volunteer Firefighters' Pension Plan Plan Description - The Town has established a single-employer defined benefit pension plan for volunteer firefighters as authorized by State ofColorado statute. The Plan is administered by a Board ofTrustees composed ofTown Trustee members and firefighters. The Board ofTrustees established the Plan benefits. Any firefighter who has both attained the age of fifty and completed twenty years of active service shall be eligible fora monthly pension: currently $350. A firefighter who is disabled in the line of duty and whose disability is of such character and magnitude as to deprive the ' firefighter of earning capacity and extends beyond one year, shall be compensated in an amount determined by the Board of Trustees. Currently. the Plan covers 24 retirees and beneficiaries, has 3 inactive members eligible to receive benefits and 31 active members. The Plan does not publish a separate stand-alone report, but is included in these financial statements as a Pension Trust Fund. i Funding Policy-The Volunteer Firefighters' Pension Plan may receive contributions from the Town i in an amount not to exceed one-half mill of property tax revenue. As established by the State , Legislature, the State of Colorado contributes ninety percent of the Town's contribution. The contribution requirements of the Town and Plan members are established and may be amended by the Town Board ofTrustees. The contributions are not actuarially determined. An actuary is used to determine the adequacy of contributions. The actuarial study as ofJanuary 1, 2003, indicated that the current level of contributions to the fund are adequate to support on an actuarially sound basis the prospective benefits. including administrative costs, for the present Plan. Actuaria] assumptions included the following: Actuarial Cost Method - Entry age Interest Rate - 4.5% per annum, compounded annually Retirement - Age 50 and 20 years of service Disability - None ~ Mortality - 1994 Group Annuity Mortality Table Marital Status - 90% married ~ Age Difference - Males assumed to be 3 years older ) Asset Valuation - Market value Based on an amortization period ofthirty-four years using the level dollar method on an open basis: the Plan's expected contributions exceed the amount recommended to eliminate the unfunded actuarial accrued liability. During the year ended December 31, 2003. the Town and the State contributed $58,411 and $52.570, respectively. to the Plan. 32 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31,2003 NOTE 8: RETIREMENT COMMITMENTS (Continued) DEFINED BENEFIT PLANS (Continued) Volunleer Firefighters' Pension Plan (Continued) The Plan's net pension obligation for the year ending December 31,2003 was as follows: Annual Required Contribution $ 89,701 Interest on Net Pension Obligation (37,743) Adjustment to Net Pension Ob]igation 46.538 Annual Pension Cost (APC) 98,496 Contributions Made (110.981) Change in Net Pension Obligation (12,485) Net Pension Obligation, Beginning of Year (838.740) Net Pension Obligation, End ofYear $ (851,225) Trend information ofthe Plan follows: Percentage Net Fiscal Year Annual Pension ofAPC Pension Ending Cost (APC) Contributed Obligation 12/31/03 $ 98,496 113% $ (851,225) 12/31/02 58,234 176% (838,740) 12/31/01 57,598 178% (794,332) 12/31/00 28,929 277 % (749,320) 12/31/99 28,070 366 % - 12/31/98 27,375 293 % - Police Pension Plan Plan Description - The Town administers the single-employer Police Defined Benefit Pension Plan. Membership in the Plan consists of one individual currently receiving benefits. The monthly benefit is $214 with no future increases scheduled. The Plan is closed to new entrants. Plan provisions and contributions are established and may be amended by the Town Board of Trustees. The Plan is included in these financial statements as a Pension Trust Fund. Funding Policy -No additional contributions are required by the Town based on an actuarial study , completed in 1986. No further actuarial evaluations have been prepared. 33 TOWN OF ESTES PARK, COLORADO NOTES TO FINANCIAL STATEMENTS December 31, 2003 NOTE 8: RETIREMENT COMMITMENTS (Continued) POST-EMPLOYMENT HEALTHCARE BENEFITS Plan Description - The Town contributes to the Health Care Trust Fund (HCTF), a cost-sharing multiple-employer postemployment healthcare plan administered bythe PERA. The HCTF provides a health care premium subsidy to PERA participating benefit recipients and their eligible beneficiaries. State statute, as amended, assigns the authority to establish the HCTF benefit provisions to the State Legislature. PERA issues a publicly available annual financial report that includes financial statements and required supplementary information forthe HCTF. That report may be obtained by contacting PERA of Colorado. Funding Policy - During 2003, the Town was required to contribute at a rate of 1.69% of covered salary for all PERA members as set by statute. No member contributions are required. The contribution requirements and apportionment of the contribution for the Town are established by State statute. as amended. The Towns contributions to the HCTF for the years ending December 31,2003,2002. and 2001 were $53,778.$71 :607, and $56.508 equal tothe required contributions for each year. Other Post-Employment Healthcare Benefits The Town provides health insurance to employees retiring between the ages of 62 and 65. To be eligible, the employee must have been employed by the Town for at least 15 years. Coverage terminates at age 65. No retirees are currently eligible to receive this benefit. Payments will be funded by the Town on a pay-as-you-go basis. NOTE 9: COMMITMENTS AND CONTINGENCIES Tabor Amendment Colorado voters passed an amendment to the State Constitution, Article X, Section 20, which has several limitations. including revenue raising, spending abilities, and other specific requirements of state and local government, In November, 2000, voters within the Town authorized the Town and EPURA to collect and retain all revenue in excess ofthe revenue limitations ofthe Amendment, and to spend al] such revenues by transferring said revenues into the Community Reinvestment Fund for the purpose of acquisition, maintenance, repair and replacement of capital projects. The Town has established an emergency reserve, representing 3% of qualifying expenditures, as required by the Amendment. At December 31, 2003, the emergency reserve of $378,589 was recorded as restricted net assets of the governmental activities in the government-wide financial statements and as reserved net assets in the Catastrophic Loss Internal Service Fund in the fund financial statements. 34 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31.2003 NOTE 9: COMMITMENTS AND CONTINGENCIES (Continued) Claims and Judgements The Town participates in a number of federal, state: and local programs that are fully or partially funded by grants received from other governmental units. Expenses financed by grants are subject to audit by the appropriate grantor government. If expenses are disallowed due to noncompliance with grant program regulations, the Town may be required to reimburse the grantor government. As ofDecember 31.2003, significant amounts ofgrant expenses have not been audited but management believes that subsequent audits will not have a material effect on the overall financial position ofthe Town. Litigation The Town is involved in various lawsuits, Theoutcome ofthis litigation cannot bedetermined atthis time. Unconditional Purchase Obligation The Town is a participant in the Municipal Subdistrict, Northern Colorado Water Conservancy District. The purpose ofthe Subdistrict is to provide a supplemental water supplytothe participants through the construction of the Windy Gap Project. The Town is an .8% participant in the Subdistrict. The Subdistrict issued bonds in 1986 to finance the Windy Gap Project. The bonds have since been refinanced. The participants have agreed to service this debt and pay operating expenses through water allotment contracts. The Town's required payments to service the debt through the year 2017 follows: Year Ended December 31. 2004 $ 62,004 2005 61,937 2006 61,964 2007 62,037 2008 62,017 2009 - 2013 309,952 2014 - 2017 251.488 Total $ 871.399 35 TOWN OF ESTES PARK. COLORADO NOTES TO FINANCIAL STATEMENTS December 31.2003 NOTE 10: CHANGE IN ACCOUNTING PRINCIPLE For the year ended December 31, 2003. the Town adopted the standards of Governmental Accounting Standards Board (GASB) Statement No. 34, Basic Financial Statements-and Management's Discussion and Analysis-for State and Local Governments. The Statement requires the Town to record certain financial information on a full-accrual basis. as displayed in the statement of net assets and the statement of activities. ln addition, the Town has revised or added certain note disclosures in accordance with GASB Statement No, 38, Certain Financial Statement Note Disclosures. \ 36 REQUIRED SUPPLEMENTARY INFORMATION This page intentionally left blank. TOWN OF ESTES PARK. COLORADO REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF FUNDING PROGRESS VOLUNTEER FIREFIGHTER'S PENSION PLAN Year Ended December 31, 2003 (Unaudited) UAALasa Actuarial Percentage of Actuarial Actuarial Accrued Unfunded AAL Covered Valuation Value of Liability (AAL) (UAAL) Funded Ratio Covered Payroll Date Assets (a) Entry Age (b) (b-a) (a/b) Payroll (c) ((b-a)/c) 1/1/97 $ 656.734 $ 821.522 $ 164.788 79.9% NA NA 1/1/99 758.599 845.446 86.847 89.7% NA NA 1/1/01 832.559 1.139,599 307.040 73.1% NA NA 1/1/03 933.823 1.588.888 655.065 58.8% NA NA See the accompanying Independent Auditors' Report. 37 This page intentionally left blank. COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES TOWN OF ESTES PARK, COLORADO COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS December 31.2003 SPECIAL REVENUE CONFERENCE CONSERVATION SPECIAL MUSEUM CENTER TRUST EVENTS ASSETS Cash and Investments $ 23.706 $ 25.465 $ 22.502 $ 42.812 Restricted Cash and Investments - Accounts Receivable 2.995 - - 600 Intergovernmental Receivable - 1nventories - - 11,650 TOTAL ASSETS $ 26.701 $ 25.465 $ 22.502 $ 55.062 LIABILITIES AND FUND BALANCES LIABILITIES Accounts Payable $ 1.757 $ 1.844 $ - $ 4,752 Accrued Liabilities 4.282 - - 5,981 TOTAL LIABILITIES 6.039 1.844 - 10,733 FUND BALANCES Reserved for Inventories - - 11,650 Unreserved, Reported in Special Revenue Funds 20.662 23.621 22.502 32.679 Capital Proiects Funds - - TOTAL FUND BALANCES 20.662 23.621 22.502 44.329 TOTAL LIABILITIES AND FUND BALANCES $ 26.701 $ 25.465 $ 22.502 $ 55,062 See the accompanying Independent Auditors' Report. 38 DEBT SPECIAL REVENUE CAPITAL PROJECTS SERVICE TOTAL URBAN NONMAJOR OPEN SENIOR PARK RENEWAL BUILDING GOVERNMENTAL SPACE CITIZENS ENTRANCE AUTHORITY AUTHORITY FUNDS $ 214.461 $ 54.948 $ 1.832 $ - $ - $ 385.726 - - - 2.501.485 - 2.501.485 50.000 - - - 53.595 17.433 - - 17.433 11,650 $ 281.894 $ 54.948 $ 1.832 $ 2.501.485 $-$ 2.969.889 $ 11.238 $ 5,777 $ $-$-$ 25.368 1.540 - - - 11.803 11.238 7.317 - 37.171 11.650 270.656 47.631 - - - 417.751 - - 1.832 2.501,485 - 2.503.317 270.656 47.631 1.832 2.501.485 - 2.932.718 $ 281.894 $ 54.948 $ 1.832 $ 2.501.485 $-$ 2.969.889 TOWN OF ESTES PARK, COLORADO COMBINING STATEMENT OF REVENUES. EXPENDITURES AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS Year Ended December 31,2003 SPECIAL REVENUE CONFERENCE CONSERVATION SPECIAL MUSEUM CENTER TRUST EVENTS REVENUES Intergovernmental $ 11,168 $ $ 26,504 $ - Charges for Services 12.230 - - 389.722 Rental Income Investment Income 65 - 253 65 Miscellaneous 28.960 17,290 - 51.558 TOTAL REVENUES 52,423 17,290 26.757 441,345 EXPENDITURES Current Culture and Recreation 218,733 91,495 - 798:497 Capital Outlay . - 29,063 Debt Serv,ice Principal . Interest and Fiscal Charges - TOTAL EXPENDITURES 218,733 91,495 29.063 798.497 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (166,310) (74,205) (2,306) (357.152) OTHER FINANCING SOURCES (USES) Transfers In 191,250 89,476 - 365.606 Bond Proceeds . TOTAL OTHER FINANCING SOURCES (USES) 191.250 89.476 - 365,606 NET CHANGE IN FUND BALANCES 24,940 15,271 (2.306) 8.454 FUND BALANCES (DEFICIT). Beginning (4,278) 8,350 24.808 35.875 FUND BALANCES. Ending $ 20.662 $ 23.621 $ 22.502 $ 44.329 See the accompanfing Independent Auditors' Report. 39 DEBT SPECIAL REVENUE CAPITAL PROJECTS SERV]CE TOTAL URBAN NONMAJOR OPEN SENIOR PARK RENEWAL BUILDING GOVERNMENTAL SPACE CITIZENS ENTRANCE AUTHORITY AUTHORITY FUND $ 217,554 $ 12:026 $ - $ -$-$ 267.252 - 21,365 - - 423,317 - - 93.095 93.095 359 - 16 1.485 - 2.243 50.000 11.506 - - 159,314 267,913 44,897 16 1.485 93.095 945,221 148.016 - - - 1.256,741 203.003 - . - 232.066 - - - 64.000 64,000 - - - 29,095 29,095 203,003 148,016 - - 93.095 1,581,902 64.910 (103,119) 16 1.485 - (636.681) ' - 118,923 - - 765,255 2.500,000 2,500.000 118,923 - 2.500.000 - 3,265.255 64,910 15,804 16 2.501.485 - 2,628,574 205.746 31.827 1.816 - - 304,144 $ 270.656 $ 47.631 $ 1,832 $ 2.501.485 $-$ 2,932,718 TOWN OF ESTES PARK. COLORADO MUSEUM FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31. 2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) , REVENUES Intergovernmental $ 11.166 $ 11.166 $ 11.168 $ 2 Charges for Services 9.650 9.650 12.230 2.580 Investment Income 200 200 65 (135) Miscellaneous 25.367 25.367 28.960 3,593 TOTAL REVENUES 46.383 46.383 52.423 6,040 EXPENDITURES Current Culture and Recreation 225.687 232.470 218.733 13.737 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (179,304) (186.087) (166.310) 19,777 OTHER FINANCING SOURCES Transfers In 179.304 186.087 191.250 5,163 NET CHANGE IN FUND BALANCE - 24.940 24.940 FUND BALANCE (DEF]CIT), Beginning - (4.278) (4.278) FUND BALANCE. Ending $ - $ - $ 20.662 $ 20.662 See the accompanying Independent Auditors' Report. 40 I TOWN OF ESTES PARK. COLORADO CONFERENCE CENTER FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003Â· ORIGINAL AND VARIANCE FINAL Positive BUDGET ACTUAL (Negative) REVENUES Investment Income $ 4.000 $ - $ (4.000) Miscellaneous 15.263 17.290 2.027 TOTAL REVENUES 19.263 17,290 (1,973) EXPENDITURES Current Culture and Recreation 301,393 91:495 209.898 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (282.130) (74,205) 207.925 OTHER FINANCING SOURCES Transfers In 282.130 89.476 (192.654) NET CHANGE IN FUND BALANCE - 15.271 15.271 FUND BALANCE. Beginning - 8.350 8.350 FUND BALANCE, Ending $ $ 23,621 $ 23.621 See the accompanying independent Auditors' Report. 4l TOWN OF ESTES PARK. COLORADO CONSERVATION TRUST FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31,2003 ORIGINAL AND VARIANCE FINAL Positive BUDGET ACTUAL (Negative) REVENUES ' Intergovernmental $ 25,115 $ 26,504 $ 1.389 Investment Income 257 253 (4) ' TOTAL REVENUES 25.372 26.757 1:385 EXPENDITURES Capital Outlay 30.000 29,063 937 NET CHANGE IN FUND BALANCE (4.628) (2.306) 2,322 FUND BALANCE. Beginning 24.064 24.808 744 FUND BALANCE. Ending $ 19.436 $ 22.502 $ 3.066 See the accompanying Independent Auditors' Report. 42 1 TOWN OF ESTES PARK. COLORADO SPECIAL EVENTS FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Charges for Services $ 438.144 $ 438.144 $ 389.722 $ (48,422) Investment Income 2.000 2.000 65 (1.935) Miscellaneous 57.320 57.320 51.558 (5.762) TOTAL REVENUES 497.464 497.464 441.345 (56.119) EXPENDITURES Current Culture and Recreation 888.257 888,944 798.497 90.447 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES (390,793) (391.480) (357.152) 34.328 OTHER FINANCING SOURCES Transfers In 390.793 390,793 365.606 (25.187) NET CHANGE IN FU-ND BALANCE - (687) 8.454 9.141 FUND BALANCE. Beginning 35.875 35.875 - FUND BALANCE. Ending $ - $ 35.188 S 44.329 $ 9.14] See the accompanying Independent Auditors' Report. 43 TOWN OF ESTES PARK. COLORADO OPEN SPACE FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Intergovernmental $ 309,114 $ 309.114 $ 217.554 $ (91.560) Investment Income 2,751 2,751 359 (2.392) Miscellaneous - - 50,000 50.000 TOTAL REVENUES 311.865 311.865 267.913 (43.952) EXPENDITURES Capital Outlay 174,000 337,639 203.003 134.636 TOTAL EXPENDITURES 174.000 337,639 203.003 134.636 NET CHANGE IN FUND BALANCE 137.865 (25.774) 64.910 90.684 FUND BALANCE. Beginning 33.701 33.701 205.746 172.045 FUND BALANCE. Ending $ 171.566 $ 7,927 $ 270.656 $ 262.729 See the accompanying Independent Auditors' Report. 44 1 TOWN OF ESTES PARK. COLORADO SENIOR CITIZENS FU-ND BUDGETARY COMPARISON SCHEDULE Year Ended December 31,2003 ORIGINAL AND VARIANCE FINAL Positive BUDGET ACTUAL (Negative) REVENUES Intergovernmental $ 13.475 $ 12.026 $ (1.449) Charges for Services 42.400 21,365 (21.035) Miscellaneous 21.425 11,506 (9.919) TOTAL REVENUES 77.300 44.897 (32.403) EXPENDITURES Current Culture and Recreation 207.507 148.016 59.491 EXCESS OF REVENUES OVER (UNDEB) EXPENDITURES (130.207) (103.]19) 27.088 OTHER FINANCING SOURCES Transfers In 130.207 118.923 (11.284) NET CHANGE IN FUND BALANCE - 15.804 15.804 FUND BALANCE. Beginning - 31.827 31.827 FUND BALANCE. Ending $ - $ 47.631 $ 47.631 See the accompanying Independent Auditors' Report. 45 TOWN OF ESTES PARK. COLORADO PARK ENTRANCE ESTATES BUDGETARY COMPARISON SCHEDULE Year Ended December 31: 2003 ORIGINAL AND VARIANCE FINAL Positive BUDGET ACTUAL (Negative) REVENUES 1nterest $ - S 16 $ 16 TOTALREVENUES - 16 16 EXPENDITURES Capital Outlay 1.000 - 1,000 TOTAL EXPENDITURES 1.000 - 1.000 NET CHANGE IN FUND BALANCE (1.000) 16 1.016 FUND BALANCE, Beginning - 1.816 1.816 FUND BALANCE. Ending $ (1.000) $ 1.832 $ 2.832 See the accompanying Independent Auditors' Report. 46 TOWN OF ESTES PARK. COLORADO URBAN RENEWAL AUTHORITY (CAPITAL PROJECTS) BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE OR]GINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Investment Income $ - $ $ 1.485 $ 1.485 TOTAL REVENUES - 1.485 1.485 EXPENDITURES Urban Development - - - Debt Service Bond Issue Costs - 72.310 - 72.310 TOTAL EXPENDITURES - 72.310 - 72.310 EXCESS OF REVENUES OVER (UNDER) EXPENDITURES - (72.310) 1.485 73.795 OTHER FINANCING SOURCES (USES) Bond Proceeds - 2.500.000 2.500.000 - TOTAL OTHER FINANCING SOURCES (USES) - 2.500.000 2.500.000 - NET CHANGE IN FUND BALANCE - 2.427.690 2.501,485 73.795 FUND BALANCE. Beginning . FUND BALANCE. Ending $ - $ 2.427.690 $ 2.501.485 $ 73.795 See the accompanying independent Auditors' Report. 41 TOWN OF ESTES PARK. COLORADO BUILDING AUTHORITY BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Rental Income $ - $ 93,095 $ 93.095 $ TOTAL REVENUES - 93,095 93.095 - EXPENDITURES Debt Service Principal - 64,000 64,000 - Interest and Fiscal Charges - 29.095 29.095 TOTAL EXPENDITURES - 93,095 93.095 - NET CHANGE IN FUND BALANCE - - FUND BALANCE. Beginning - FUND BALANCE. Ending $ - $ - $ -$- See the accompanying Independent Auditors' Report. 48 TOWN OF ESTES PARK. COLORADO URBAN RENEWAL AUTHORITY (DEBT SERVICE) BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Incremental Property Taxes $ 589.724 $ 589.724 $ 576.973 $ (12.751) Incremental Sales Taxes 2.929.067 2.929.067 - (2.929.067) Rental Income 345.000 345.000 345.000 - Investment Income 20.000 20.000 14.502 (5.498) TOTAL REVENUES 3.883.791 3.883.791 936.475 (2.947.316) EXPENDITURES Urban Development 1,400 1.400 - 1.400 Debt Service Principal 210.000 210.000 210.000 - Interest and Fisca] Charges 135.800 69.229 97.127 (27.898) Bond Issuance Costs - - 96.235 (96.235) TOTAL EXPENDITURES 347.200 280.629 403.362 (122.733) EXCESS OF REVENUES OVER (UNDER) EXPENDITURES 3.536.591 3.603.162 533.113 (3.070.049) OTHER FINANCING SOURCES (USES) Transfers In - 1.331.007 1.331.007 Transfers Out (2.789.588) (2.789.588) - 2.789.588 Bond Proceeds - 1.665.000 1.665.000 Bond Praitium - 60.465 60.465 Payment to Refunding Escrow - (2.445.170) (2.445.170) - TOTAL OTHER FINANCING SOURCES (USES) (2.789.588) (3.569.758) 611.302 4.181.060 NET CHANGE IN FUND BALANCE 747.003 33.404 1.144.415 1.111.011 FUND BALANCE. Beginning 202.776 202.776 202.776 - FUND BALANCE. Ending $ 949.779 $ 236.180 $ 1.347.19] $ 1.111.011 See the accompanying Independent Auditors' Report. 49 TOWN OF ESTES PARK. COLORADO LIGHT AND POWER FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31. 2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Utility Sales $ 8.110.192 $ 8.110.192 $ 7,944,245 $ (165,947) Miscellaneous Income 202.000 202.000 546,573 344.573 Investment Income 85.000 85.000 56,648 (28.352) TOTAL REVENUES $ 8.397,192 $ 8.397.192 $ 8.547:466 $ 150.274 EXPENDITURES Current Source of Supply $ 4.219,944 $ 4.219.944 $ 4.081.919 $ 138,025 Distribution 1.151.260 1.153.430 1,389.255 (235.825) Customer Accounts 706.941 707.465 585,490 121,975 Administration and General 1.205.832 1.218.836 1,126.644 92.192 Capital Outlay 807.720 1.212.600 '645,696 566.904 Debt Service Principal 170.000 170.000 170.000 - Interest 129.000 129.000 133.420 (4,420) Transfers Out 787,930 787.930 780:827 7,103 TOTAL EXPENDITURES 9.178.627 9.599.205 8,913.251 685:954 NET INCOME, Budget Basis $ (781.435) $ (1.202.013) (365.785) $ 836.228 ADJUSTMENTS TO GAAP BASIS Principal Payment on Debt 170.000 Capital Outlay 645.696 Depreciation (541.672) I NET INCOME. GAAP Basis (91.761) NET ASSETS. Beginning 10.335.428 NET ASSETS, Ending $ 10.243.667 See the accompanying Independent Auditors' Report. 50 ' TOWN OF ESTES PARK. COLORADO WATER FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Utility Sales $ 2.140.165 $ 2,140.165 $ 2.071.220 $ (68.945) Miscellaneous Income 108.688 108.688 109,121 433 Investment Income 34.200 34.200 49.192 14.992 Tap Fees 505.000 505.000 691.708 186.708 TOTAL REVENUES $ 2,788.053 $ 2.788.053 $ 2.921,241 $ 133.188 EXPENDITURES Current Source of Supply $ 125.000 $ 125.000 $ 110,517 $ 14.483 Purification 393.554 394.851 401.733 (6.882) Distribution 559.928 561.408 486.479 74.929 Customer Accounts 143.686 143.686 203.483 (59.797) Administration and General 710.720 791.575 546.245 245.330 Capital Outiay 987.100 1.377.635 1,129,612 248.023 Debt Service Principal 185.000 185.000 175,000 10.000 interest 119.176 119.176 126,857 (7.681) TOTAL EXPENDITURES 3.224.164 3.698.331 3.179.926 518.405 NET INCOME. Budget Basis $ (436.111) $ (910.278) (258.685) $ 651:593 ADJUSTMENTS TO GAAP BASIS Principal Payments on Debt 175,000 Capital Outlay 1,129.612 Depreciation (450.097) NET INCOME. GAAP Basis 595.830 NET ASSETS. Beginning 16.966.253 NET ASSETS. Ending $ 17.562.083 See the accompanying independent Auditors' Report. 51 TOWN OF ESTES PARK, COLORADO COMBINING STATEMENT OF NET ASSETS INTERNAL SERV]CE FUNDS December 31.2003 FLEET VEHICLE CATASTROPHIC MAINTENANCE REPLACEMENT LOSS FUND FUND FUND ASSETS Current Assets Cash and Investments $ 188,353 $ 149,353 S 2,049,262 Inventories 24,101 Total Current Assets 212,454 149,353 2.049.262 Capital Assets 237,017 Less: Accumulated Depreciation (192,327) - Net Capital Assetst 44,690 - TOTAL ASSETS 257,144 149,353 2.049,262 LIABILITIES Current Liabilities Accounts, Payable 11,400 - Accrued Liabilities 5,863 - Insurance Claims Payable - Compensated Absences 16,757 - - TOTAL CURRENT LIABILITIES 34,020 - - NET ASSETS Invested in Capital Assets, Net of Related Debt 44,690 - - Restricted for Emergencies - - 378,589 Unrestricted 178,434 149,353 1.670.673 TOTAL NET ASSETS $ 223,124 $ 149,353 $ 2.049,262 See the accompanying Independent Auditors' Report. 52 HEALTH INSURANCE FUND TOTAL $ 295,521 $ 2,682,489 24,101 295,521 2,706,590 - 237,017 - (192,327) - 44,690 295,521 2,751,280 10,726 22,126 5,863 95,430 95,430 - 16,757 106,156 140,176 - 44,690 - 378.589 189,365 2,187,825 $ 189,365 $ 2,611,104 TOWN OF ESTES PARK. COLORADO COMBINING STATEMENT OF REVENUES. EXPENSES AND CHANGES IN FUND NET ASSETS INTERNAL SERVICE FUNDS Year Ended December 31,2003 FLEET VEHICLE CATASTROPHIC MAINTENANCE REPLACEMENT LOSS FUND FUND FUND OPERATING REVENUES Charges for Services $ 258.960 $ 136,436 $ Miscellaneous - TOTAL OPERATING REVENUES 258.960 136.436 - OPERATING EXPENSES Salaries and Benefits 206.529 - Supplies 6.441 . Utilities 4.430 - Training 4.519 Insurance 5.854 - Maintenance and Repairs 12.491 Professiohal Fees 3.969 Depreciation 11.676 Health Benefits - TOTAL OPERATING EXPENSES 255.909 - OPERATING INCOME (LOSS) 3.051 136.436 - NONOPERATING REVENUES Investment Income 665 - 31.386 TOTAL NONOPERATING REVENUES 665 - 31.386 CHANGE IN NET ASSETS 3.716 136.436 31.386 NET ASSETS. Beginning 219.408 12.917 2,017,876 NET ASSETS. Ending $ 223.124 $ 149.353 $ 2.049.262 See the accompanying Independent Auditors' Report. 53 HEALTH INSURANCE FUND TOTALS $ 348.411 $ 743,807 4.404 4.404 352,815 748.211 206,529 - 6.441 - 4.430 - 4,519 - 5.854 - 12.491 - 3.969 11.676 187.052 187.052 187.052 442.961 ]65.763 305.250 228 32.279 228 32.279 165.991 337.529 23,374 2.273.575 $ 189.365 $ 2.611.104 TOWN OF ESTES PARK, COLORADO COMBINING STATEMENT OF CASH FLOWS INTERNAL SERVICE FUNDS Increase (Decrease) in Cash and Cash Equivalents Year Ended December 31, 2003 FLEET VEHICLE CATASTROPHIC MAINTENANCE REPLACEMENT LOSS FUND FUND FUND CASH FLOWS FROM OPERATING ACTIVITIES Cash Received from Customers $ 258,960 $ 136,436 $ - Cash Received from Other Sburces Cash Paid to Suppliers (30,624) - Cash Paid to Employees (204.207) Net Cash Provided by Operating Activities 24.129 136,436 - CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Purchase of Capital Assets (5,112) - - Net Cash (Used) by Capital and Related Financing Activities (5,112) CASH FLOWS FROM INVESTING ACTIVITIES Interest Received 665 - 31,386 Net Cash Provided by Investing Activities 665 - 31.386 Net Increase (Decrease) in Cash and Cash Equivalents 19,682 136,436 31.386 CASH AND CASH EQUIVALENTS. Beginning 168,671 12,917 2.017.876 CASH AND CASH EQUIVALENTS. Ending $ 188,353 $ 149,353 $ 2.049.262 RECONCILIATION OF OPERATING INCOME (LOSS) TO NET CASH PROVIDED BY OPERATING ACTIVITIES Operating Income (Loss) $ 3,051 136,436 $ - Adjustments to Reconcile Operating Income (Loss) to Net Cash Provided by Operating Activities Depreciation 11,676 - - Loss on Disposal of Capital Assets 942 Changes in Assets and Liabilities Inventories 2,581 Accounts Payable 4,499 - Accrued Liabilities 937 - Insurance Claims Payable - Compensated Absences 443 - Total Adjustments 21.078 Net Cash Provided by Operating Activities $ 24,129 $ 136,436 $ - See the accompanying Independent Auditors' Report. 54 HEALTH INSURANCE FUND TOTALS $ 348,411 $ 743.807 4.404 4.404 (234.57]) (265,195) - (204,207) 118.244 278.809 - (5,112) - (5.112) 228 32,279 228 32,279 118.472 305,976 177.049 2.376.513 $ 295.521 $ 2.682,489 $ 165.763 $ 305,250 - 11.676 942 - 2.581 10.726 15,225 - 937 (58,245) (58,245) - 443 (47.519) (26,441) $ 118.244 $ 278,809 TOWN OF ESTES PARK. COLORADO FLEET MAINTENANCE FUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31.2003 VARIANCE ORIGINAL FINAL Positive BUDGET BUDGET ACTUAL (Negative) REVENUES Charges for Services $ 230.600 230.600 $ 258,960 $ 28.360 Miscellaneous 500 500 - (500) t Investment Income 3,000 3.000 665 (2,335) TOTAL REVENUES $ 234.100 $ 234.100 $ 259.625 $ 25.525 EXPENDITURES Salaries and Benefits $ 205,258 $ 205,258 $ 206.529 $ (1.271) Supplies 14,470 8,470 6.441 2.029 Utilities 7,508 7.508 4.430 3.078 Training 6.060 6.060 4.519 1.541 Insurance 9.702 9.702 5.854 3.848 Maintenance and Repairs 14,150 15.293 12.491 2.802 Professienal Fees - 3.969 (3,969) Capital Outlay 6.000 6,000 5,112 888 TOTAL EXPENDITURES 263.148 258.291 249.345 8.946 NET INCOME. Budget Basis $ (29.048) $ (24.191) 10.280 $ 34.471 ADJUSTMENTS TO GAAP BASIS Capital Outlay , 5,112 Depreciation (11.676) NET INCOME. GAAP Basis 3,716 NET ASSETS. Beginning 219.408 NET ASSETS. Ending $ 223.124 See the accompanying Independent Auditors' Report. 55 Â· TOW-N OF ESTES PARK. COLORADO HEALTHINSURANCEFUND BUDGETARY COMPARISON SCHEDULE Year Ended December 31,2003 ORIGINAL AND VAR]ANCE FINAL Positive BUDGET ACTUAL (Negative) REVENUES Charges for Services $ 351.085 $ 348.411 $ (2,674) Miscellaneous - 4.404 4,404 Investment Income 120 228 108 TOTAL REVENUES 351.205 353.043 1,838 EXPENDITURES Health Benefits 332.393 187.052 145,341 TOTAL EXPENDITURES 332.393 187.052 145,341 NET INCOME $ 18.812 165.991 $ 147.179 NET ASSETS. Beginning 23.374 NET ASSETS. Ending $ 189.365 See the accompanying Independent Auditors' Report. 56 TOWN OF ESTES PARK, COLORADO COMBINING STATEMENT OF FIDUCIARY NET ASSETS PENSION TRUST FUNDS December 31, 2003 PENSION TRUST FUNDS TOTAL FIRE POLICE PENSION TRUST PENSION PENSION FUNDS ASSETS , Cash and Investments $ 959,727 $ 14,236 $ 973,963 TOTAL ASSETS 959.727 14,236 973,963 NET ASSETS Held in Trust for Pension Benefits $ 959.727 $ 14.236 $ 973,963 See the acbompanying Independent Auditors' Repon. 57 TOWN OF ESTES PARK. COLORADO COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET ASSETS PENSION TRUST FU-NDS Year Ended December 31,2003 PENSION TRUST FUNDS FIRE POLICE PENSION PENSION TOTAL ADDITIONS State Contributions $ 52,570 $ $ 52.570 Town Contributions 58.411 58.411 Investment Income 8,593 673 9.266 TOTAL ADDITIONS 119.574 673 120.247 DELETIONS Pension Benefit Payments 93.670 2,565 96.235 CHANGE IN PLAN NET ASSETS 25.904 (1,892) 24.012 PLAN NET ASSETS. Beginning 933.823 16,128 949.951 PLAN NET ASSETS. Ending $ 959,727 $ 14,236 $ 973,963 See the accompanying Independent Auditors' Report. 58 TOWN OF ESTES PARK. COLORADO COMBINING STATEMENT OF CHANGES IN ASSETS AND LIABILITIES AGENCY FUNDS Year Ended December 31. 2003 BALANCE BALANCE 12/31/02 ADDITIONS DEDUCTIONS 12/31/03 Park Entrance Estates ASSETS Cash and Investments $ 14,013 $ 6.760 $ 11.797 $ 8.976 LIABILITIES ' Special Assessments Payable $ 14:013 $ 6.760 $ 11.797 $ 8.976 Friends of Stanley Hall ASSETS Cash and Investments $ 479,269 $ 5.286 $ 43.930 $ 440.625 LIABILITIES Due to Friends of Stanley Hall $ 479,269 $ 5.286 $ 43.930 $ 440.625 Total ASSETS Cash and Investments $ 493.282 $ 12.046 $ 55.727 $ 449.601 LIABILITIES Special Assessments Payable $ 14.013 $ 6.760 $ 11,797 $ 8.976 Due to Friends of Stanley Hall 479.269 ' 5.286 43.930 440.625 TOTAL LIABILITIES $ 493.282 $ 12.046 $ 55.727 $ 449.601 See the accompanying Independent Auditors' Report. 59 1 1 1 STATISTICAL SECTION , 0 â€¢=f w t> 0 0 - R 1 r- 1I, lilli 111 en 00 r. M- 4..eli e 00 0 R 3% 4% r . 6 6 2 ... 04 r- 0 Et b8 d E . ?Of 6 6/ . 3 24 g W - O. 26 -3 60 ear Government Safety Recreation Grants Outlay Service to Trustee Total 1995 1,649 ,009 1,573 936,189 1,115,666 37,600 832,313 1,131,125 ,275,8 1 1996 1,793,873 1,684 1,063,679 1,274,040 37,600 1,670,033 1,263,734 8,787,8 7 1997 1,759,156 1,85 1,132,336 1,360,134 37,600 2,312,463 1,232,014 9,693,2 3 1998 2,595,756 1,90 63 1 1,248,056 1,297 7 37,600 1,118,923 1,293,964 870,000 10,371,7 3 1999 2,477,513 2,17 244 801,098 1,561 0 10,000 178,797 1,565,050 8,769,910 1,388,866 11,287,212 2001 2,819,056 2,5 1 824,072 1,976,439 1,211,9 381,876 9,734,832 2002 2,488,930 2,5 9 795 425,892 1,830,965 478,766 398,712 8,203,060 2003 2,845,799 2,9 7 822 788,047 1,696,450 2,376,537 948,069 11,652,724 f I p..i Culture Inter- 0 teneral Â«: 7 Public . 5 Public,4 .Â·F" A and 7 1governmental Capital ~ ) ~ Debt 0 3 Payments 1,562 1,431,816 647,081 1,043,590 673,066 1,433,356 2000 2,450,880 2,426,2 4 2,696,484 1,987,304 337,4~4 Expenditures by Function snun tuauodutoo papuaiq put, sadt(; punf lt]JUglt,U.43AOB 110 Sapnlout :SaJON Town of Estes Park, Colorado re~rr,gr-00- =firl-W_W :(9~â‚¬91 5- 5.n -100Â©Nt.Amt- Ner-MON oÂ©.rn.M-D.2. DoornÂ©000 Ch M C.n OU Ch lr; ..r; e â‚¬-9 40 ON -Chr- hose 00.=a ~9frr, 00 0 h U 01 in *3*MKQI;t@ T '1:ToÂ©.Â°900.01*, U 0 Wre)Â© rx MOO 00 - N 00 rn - h C cr, In, 1,191-Intr,MW ~<4 M - 01 0 1 0 0% 0 00 k ~, eoceritr -Mur- -. 2 01 92 n C- h Ca 03 911 9 -3 0 =82:Emgo!:@gu *2 t i n E CE E n r.1 q CL =f wgir, Mufc~t- up m 5% 7 1 0 - "Mur- 00 10-Nrn ONC\Chech)0000 ChohohechohÂ©00Â© ------ 01010Â·101 61 Year Taxes Permit governmental Services Interest Miscellaneous Total ,673 343,781 989,153 24 ,0 505,887 518,104 7,378,633 367,939 507,391 26 ,6 306,782 485,276 7,133,951 574,280 301,122 317,016 592,972 7,565,656 872,449 296,385 339,129 696,755 8,402,498 ;; Licenses Charges x v Fines, Rent Inter- for /1 ' and ;': i 842,592 355,249 398,911 684,876 832,134 351,832 364,550 766,155 1,862,457 436,545 512,902 723,169 1 436,406 814,744 1 18,163 654,378 18,726 63,885 503,396 Town of Estes Park, Colorado - nt Revenues by Source Â·spunf 30!,UgS Jqap pU sapnpul :saION lipny F tu U 11Duuoft,I ~~~*2R9:og In Ch ON- /9 00 â€¢r, 0 -Â©cooornwr-c, 5 7 re) U - 91Â· u'l U Cl Nion-000]Cle 2 Q i h 00' 00.00 h h G . 226:.:-: 0- A 04 0 6. U Ch 45 Ch 16 r LA 4 1- 0 00 N er) re (3\ m. t,; W 3 (9 ZES!*RR*gs; E , . r . e e Arl M 00 Â¢Â·9 00 O O - N N N Â¢-9 en M 91- cn =f Irl h O - ort tn- CNN ;*4 . 19â‚¬9-Woo"ONW#g -4 =rchrot-t--COM *. M Nn- 0.00.-E v,. Â§ 9 M 0 Ch (9 00 0\ 9 = 03 tet-hlrlo 8%82 71 U Â£ A 01 94 n t.1 r.% E . . =r =r xr =r- M â€¢r; M rn en Q er)" 10 0 1EE ut- 01 04 32 g 0 E I. U W 0% Cho- - N 01 01 91- b 8 4 e e e <3, e Ch O -O 0 & i; r,~ag EzzESEAMAR #MUr- 00 A Â©SM M A Â© -1 : QA~ 2.. 62 62,858 084,482 chise Inc emental axes 156,809 17,219 86,595 1,344,354 301,093 161,900 18,937 1,614,835 285,423 170,179 20,728 1,671,997 317,762 175,699 21,360 1,773,386 329,138 189,092 23,574 1,865,420 358,988 269 26,800 2,286,297 387,109 27,493 2,320,109 463,897 'DaiD luattatou! x!)1 u! paiD.QuaS saxo; salns apnpu! lou Xul SaiDS 1013143{) oz.fo sv (D 192 28,491 2,694,320 28,807 2,542,834 al Government Tax Revenues by Source n of Estes Park, Colorado 2,0 Taxes '~ a la.439 1(pp pUD FAU p sapnloul :SaloN en Fiscal Years eral . .2.:6,4 31 1.,~:Â·-Â· : 9~ -- : i. \0 + .0 $4* COU 0 0 6 1 000 -- 3 12 00 Rent~AMN M N N Mt-M Qu erne Cher,O-0101-0- O CC Â« 2 22 *0# cc 00- v LD r-WAÂ©-01Â¢r~ aM -----0101 WN 3 -tr,Â©01 g U U B er-00#00 1 1 WAgg M 1 1.AOrr,W w et\ h c< d 060< eochoN 83 t-â€¢.r,Nt-w NU,00 MIN~noÂ©.ra 1 2 M w tr, 00 h 000Â©-Clen --0101(Nel 6â€¢MU U U .72Â·2 - 33 0 1 00 - tx 00 Un N en 0 9-1 04 00 M 0% C 0% 0 r h Â· I 01 09% 9 41 01 01 e M O G Ir, 00 trI U 1 -2 Muvt-000%0 ------ 04 R 00 , *Mur-*00-Nce gB C,Chechec\Â©000 LE >. EZESEERRAR 1 423 .Â·48 63 Percent of 8,077 99.51% 99.54% 99.68% 100.18% 99.65% 100.28% 98.83% 9*I OOI c ions Collected Collections of Tax Levy 155,138 99.93% (345) 154,793 99.71% t: ' Percent Delinquent 160,829 100.00% 169,288 100.00% 175,058 99.72Â°0 Tax Levies and Collections - General Fund SIUmunoop lafpnq pUD stuatualms 10!OUDU!21 :30&05 wn of Estes Park, Colorado Fiscal Years Z 8 Mrorn=11 28%92+RAR r-,Inee-Ochee M idi#i imigg M â‚¬ re, U LA M N oc C~ 00 rr N 3 - 00 - C< 04 - M 4, â€¢AMWOr-GONâ‚¬Nre; ---- :....1:6,- 000000 N Ir, REARSA 6 -1 Ir; f h 00 0 0.1.Â· . i, 2 ------ '344*6.4.'Lf.= 64 301,015,430 15,920,080 4,980 18.32% 4,992,51 17,386,040 84,297,610 15.52% 66,857,840 416,4 5,554,94 19,388,830 97,039,780 15.44% 106,272,440 676,046,0 6,758,65 23,633,110 652,412,979 15.25% 2000 108,919,940 685,268,7 6,625,058 17,122,198 668,146,531 15.31% 2001 130,171,750 889,806,885 8,317,975 56,858,660 832,948,225 14.63% 2002 134,594,490 931,101,080 8,688,470 60,105,312 870,995,768 14.46% 2003 145,187,100 1,116,589,034 9,288,080 71,431,748 1,045,157,286 13.00% 1 2Â· , Assessed r , Estimated c Assessed Estimated Ne~Estimated Value Value Value Â· Value Actual Value 474,613,3 5,735,52 20,015,940 54,597,380 15.09% 498,755,8 5,890,47 20,478,900 478,276,920 14.96% All Property (1) newal Authority (2) I ~ Assessed Estimated 4 Net s: Estes Park Urban SU 401,6246 slugulnoop 133pnq puD sluatualms lD!014Dwd :30411OS own of Estes Park, Colorado sessed and Estimated Actual Values of Property st Ten Fiscal Years %:2 ER 2 - N BI 00 0 9 1 1 t o C LA - N.1 -t- - 01 1 1 em ed d â‚¬,9 .,30 24% *R d W M 0 0 69 eg 01 u e O 43 01-W :h 0 4 4 Â©e 1 1 do 64 0 rel g N : N : U 004" 00 , 1 003 00 1 1 â‚¬6 Ovl 1 9 1 u. N * ec 1 1 0 /0 - - 1 M m , 12 ed 0 0 N 4 ed 6- m N m y~ 4 @.2.g .. It = Eâ‚¬/EM 94.: 4114 4/ 0 bE 205 8 i , %22 *=04 00=-A i 2 â‚¬ @ CO O CS 'E, r# a 6.Ce| E t U,-2 b 2 % M & 2 2 Â£ 2 - W & E 3 -E 19 -E .M 19 41 . 41 8 & E Z 2 2 45 .1 U W US J ~ Z 4 Ul UJ , U 65 Â«~44~2>31~1994 1,%- 1995 1t~ )fi~({1996 ~< J<f.t {~1997 1998 1 u1999* 3- 6*2000 f,5 20011 29 2002 U 2003 $ 0.31 $ 0.28 $ 0.27 $ 0.27 $ $ 0.22 $ $ 0.19 $ 0.18 999 $ 9L9 $ 08-9 $ EFL $ 001 $ 88-L $ al $ ZOS $ 108 $ LES $ ZO'O Â£00 Â£0'0 Â£0'0 t70.0 t,0.0 *0.0 *0.0 10!lls!<l and Park District 0.21 0.21 0.20 0.20 0.17 0.15 0.13 ZE'O SEO 83.0 660 63'0 IEO EE-0 13! ils! CI 17 2.09 2.09 2.17 56 4.36 4.25 3.78 10 10 69 28 1.,Dd sals) 190+N ..13410 4ODa Ki)11340 tou op KNDiaugS put) 1.tod sals'il Jo suou.lod Kluo apnlou! SJO!.lis!p 35341 -fo sal.lt,punog (l) :aioN roperty Tax Rates- Di r ct and Overlapping Governments 'Slouls;P 341 fo auo Kq matussasst] 01 103 fqns 3.11) sai jiadoid Town of Estes Park, Colorado er $100 of Assessed V Last Ten Fiscal Years ments assessing :reation KIE.Iqn m.lqnd KolleA s 1 0 BUISSaSSE SluaUIU.1 (I) uRiol eqj Jo suoliod uoile}!UES ved Salsil uouelluES uosdruou loddn 101Bm pul?H Uy-1 UIEJA lS 91-OchoOU Q-000000 E N - ded 9 2 E X 66 Percentage Taxpayer Type of Business Valuation Valuation $ 3,549,600 ~t~~yCCo~mo~a~~c~l Development Company Re~ini~ 1,482,300 Barlow Incorporated 1,193,780 Rocky Mountain Park Holiday Inn estaurant and lodging 1,189,000 New Stanley Associates, L.P. Restaurant and lodging 1,155,350 Town of Estes Park, Colorado UO!11'niDA paSSaSSD IDIOt fo 13103.43 10 %1 41.1Â£'< uadodxt); sapnpuI :aloN Principal Taxpayers December 31, 2003 2003 of Total ~ / 2 J; Assessed 66 .9 Z 9 k 21 3 '5 Z M 22 1 8 0 0 0 9 67 Estimated actual property value 1,116,589,034 Debt limit - 3% of estimated actual value 33,497,671 Legal debt margin 33,497,671 Town of Estes Park, Colorado Amount of debt applicable to debt limit ation 6. 0. Z 2-0# b O- :3 .Se =- 4 0 -0- rkit W @11 2 i m S O A U a z BE Z a ul A E- 68 Percentage Amount r ~ Outstanding bÂ· : Applicable to Applicable to 'ff C :' rnmental Unit (1) Debt Estes Park 1,855,000 1.00% 18,550 brary District 1,430,160 100.00% 1,430,160 5,950,000 52.00% 3,094,000 9,235,160.00 $ 4,542,710.00 own of Estes Park, Colorado omputation of Direct and Overlapping Bonded Debt lorado Water iqap uoill:)8!lqo IDÂ·'au32 41!Al Sl;Un watUU.QAOE ilD sapnlouI :3101%[ ecember 31, 2003 - 100.00% $ - pital Distric - 0.00% - 0 0 Â©Ch emt-Ch rO N 00.Â©me=:mthÂ©9 '.340 0 0 00 CON 9 9 el M - 00 - M N 01 01 01 01 2- 59 t 4 00 S 11111 E Z M = I U ----- VVWVV k *RE e - O% O 2, Ezz e 0 - 01 69 Principal Interest Total Coverage 109,418 109,418 30,000 74,356 104,356 1.05 cal : Â· Gross Operatin fo Debt Service Requirements 107,348 107,348 35,000 72,331 107,331 105,138 105,138 35,000 69,951 104,951 107,022 107,022 40,000 67,554 107,554 38,232 38,232 97,349 97,349 7,470,341 0) 6,723,184 747,157 52,000 41,470 93,470 2000 7,784,926 (1) 7,218,785 566,141 14,000 180,510 394,510 7,666,341 (1) 7,116,367 549,974 184,040 397,040 2002 8,014,558 (1) 7,727,011 287,547 174,185 395,185 /19'19* 482'EZE 98f'ZES 9L0'818'L 1 199'0179'8 Â£00E Net Revenue 'punzi 30!&439 1(13(I Knwiolliny lutpling 341 put] punzi 13aod puD 142!1 341 53pnloul (0 :931ON Town of Estes Park, Colorado evenue Bond Coverage st Ten Fiscal Years Direct 22&2222 0000000000 Â°9 9"no<) M U M 00 01 M rn M N rn N N re; 4 tr; El Z~ 1-N G m rt Ul rn- cri =1-0,â€žtr)=1.-10,-U Unrornertrlrocnicl r . r r r r M - /* 9 0 Cr; 09 rr, Cr; 0%1---- Ar, 4'3 â€¢r, 95 VD 0 VU 2 1 89 71 -BE U U r. : 8 1 8 8 g 00 - - M N '49*9 E W 70Â·64* i .3 =Da 70 *.4 : 4*%{School loyment . '6Â· 1Population 3>1.,4Â¢ Enrollment (1) 1011191(1 100409 9-21 )11Dd :30 :aoinoS ili)lUU,nS 301(4 loqul 4UnO3 131Ut.107[ :33.In Town of Estes Park, Colorado 6 11'* 1995 4,325 1996 5,229 5,229 1998 5,229 stics 1999 2002 2000 Ee I - ON 00'204 R@WWÂ©F*ZR3 r C\O 2 00 0Â© r-Welâ‚¬Dootr,NOM 222/EZERTAL DC 01 7, tr, US C An-7 %*PE 235 ER-3-61- E.*RRE 0- r,- Cl ~ Câ€¢,Or-)~_ ---- BEi% 5328RRERZE>R 2 - -- .Ill - -- e r 00 00 h E - 0 00 * - ~EMEEEE%*~ y â‚¬ 00 --- %==22 -Â¢9 -61- -- C Â£ 6 1 71 ar Permits Value Permits Value Permits '~: Value 0Â£*4510'1 055'6EE't 0Z6'685'90Z 096'561'06 16t7'ZI 1 t,89'GE'51 059'Â£89'1 0817'L90't7 0Â£Â£'5EL'161 0+8'088'to 1 ,9E'ZE 1 616'LEL'*1 5661 019'8Z*'9 065'It9'17 OSL'L 10'170Â£ OLE'69L'L01 810'6Et Â£51'Z60'51 OZE'Â£19'17 oz9'088't' 099'1758'*VE 0*0'8LS'tz I 615'25 1 186'688'61 L66I OES'55L'B 06L'ZHZ'Â§ 0Â£0'968'59Â£ 000'LLS'LEI 6E1'it! 5Â£0'ZEO'ZZ 6Z.6'Elt'Z 026'588'5 811'Â£002617 IES'FEE't,91 8Â£0'8Â£ 1 L99'900'91 6661 ESL'SLk 689't80'9 116'08Â£'565 Â£86'071 El 1'6+0'81 0ooz 91Â£'95$, 1 006'ZEONEB LÂ£8'91Z NFL'85*'HZ Eooz 1,364,437 78 10,686,908 3,301,339 1995 2,011,387 62 ,438,854 3,277,678 1,534,249 57 38,429 2,919,475 2,301,957 69 2,287 3,785,737 1998 3,971,567 75 2,332,310 1999 1,040,372 50 3,092,683 2000 10,593 67 3,057,477 94,900 62 12,148,39 3,848,952 2002 12,494,025 67 17,496,90 3,304,465 2003 1,160,580 93 21,165,44 2,575,573 ZE't'81 6LZ'519'589 tiL'951 891'098'OZ 100Z Commercial Construction Residential Other Bank Deposits Property Value 00*'LOI'LEL BLE'yL I 8LL'958'FE zooz uotufl npao Kant,k lapinog blung Ka>1 opt).toloo fo lut,g Â»Dg it)}9193& bp,Dd Sals'~fo 31utog IDuouDN ls.41:i atil sapniouIC[) EMON 2 n On thousands) tion, Bank Deposits, and Property Values Town of Estes Park, Colorado uolun 11.PUD 03101.toN PUD Fiscal Years Fiscal Housing ~ Value + (1) Commercial ' Residential Utilities Total Town of Estes Park, Colorado Miscellaneous Statistical Data December 31, 2003 Date of Incorporation: April 7,1917 Population: 5,413 Form of Government: Mayor and six member Board of Trustees Town Administrator Area in Square Miles: 1960 2.37 1970 2.86 1980 3.95 1985 4.65 1990 5.02 1995 5.45 1998 5.83 1999 6.19 2000 6.43 2001 6.5 2002 6.5 2003 6.5 Fire Protection: Number of stations 2 Number ofvolunteers 39 Number of firefighting units 11 Water hydrants 583 Fire insurance rating 6/6/9 Police Protection: Number ofemployees 28 Patrol units 10 Law violations (2003) Homicide 0 Sexual assault 2 Robbery 0 Assault 35 Burglary 22 Larceny - theft 143 Auto theft 12 Other violations 1132 Traffic citations 501 Adult Arrests 161 Juvenile Arrests 59 72 Town of Estes Park, Colorado Miscellaneous Statistical Data (continued) December 31, 2003 Education: Park School District R-3: Park High School 397 Middle School 346 Intermediate School 314 Grade School 306 Enterprise Funds: Water Department: Water services 4,533 accounts Average daily consumption 1,448,000 gallons Plant capacity 6,000,000 gallons Distribution system 100 miles Treatment plants 2 Light & Power: Electric services 9,453 accounts 2003 kilowatt hours sold 117,869,754 Kwh Capacity 68.75 M.W. Peak demand - winter 23.84 M.W. - summer 17.67 M.W. Number of street lights 1125 Miles of line 343 Wind Power Customers 103 Town Employees: Elected officials 7 Appointed 3 Full-time 99 Part-time 17 Accomodations: Hotels, motels, and other 177 Rooms average to better 2,638 73 Town of Estes Park, Colorado Miscellaneous Statistical Data (continued) December 31, 2003 Retail sales: 1989 $ 72,118,750 1990 78,834,352 1991 82,537,144 1992 91,753,775 1993 95,480,500 1994 107,256,178 1995 110,005,702 1996 112,499,998 1997 118,124,999 1998 124,024,998 1999 136,195,687 2000 142,164,507 2001 154,303,440 2002 150,962,000 2003 Other Miscellaneous Data: Newspapers 2 Theaters 2 Bus/taxi companies 2 Radio stations 1 Hospitals 1 Churches 20 State highways (Highways 7,34, and 36) 3 Estes Valley Recreation and Park District 1 Number ofRegistered Voters - April 2,2004: 4367 Total registered voters Municipal Election - April 2,2004 1 Mayor 6 Trustees No Election for 03 74 This page intentionally left blank. STATE COMPLIANCE This page intentionally left blank. Form Approved The public report burden for this information collection is estimated to average 380 hours annually. OMB No. 2125-0032 City or County: Town of Estes Park, Colorado LOCAL HIGHWAY FINANCE REPORT YEAR ENDING: December 2003 This Information From The Records Of (example - City of_ or County of_ Prepared By: Debbie McDougall, Accountant Phone: (970) 577-3565 I. D]SPOSITION OF H]GHWAY-USER REVENUES AVAILABLE FOR LOCAL GOVERNMENT EXPENDITURE A. Local B. Local C. Receipts from D. Receipts from ITEM Motor-Fuel Motor-Vehicle State Highway- Federal Highway Taxes Taxes User Taxes Administration 1. Total receipts available 2. Minus amount used for collection expenses 3. Minus amount used for nonhighway purposes 4. Minus amount used for mass transit 5. Remainder used for highway purposes 11. RECEIPTS FOR ROAD AND STREET PURPOSES III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES ITEM 1 AMOUNT ITEM AMOUNT A. Receipts from local sources: A. Local highway disbursements: 1. Local highway-user taxes 1. Capital outlay (from page 2) . 468,159 a. Motor Fuel (from Item I.A.5.) 2. Maintenance: 255,420 b. Motor Vehicle (from Item I.B.5.) 3. Road and street services: c. Total (a.+b.) a. Traffic control operations 42,884 2. General fund appropriations 1.478,096 b. Snow and ice removal 72,752 3. Other local imposts (from page 2) 139,950 c. Other 52,246 4. Miscellaneous local receipts (from page 2) 5.827 d. Total (a. through c.) 167,882 5. Transfers from toll facilities 4. General administration & miscellaneous 237,688 6. Proceeds of sale ofbonds and notes: 5. Highway law enforcement and safety 766,466 a. Bonds - Original Issues 6. Total (1 through 5) 1,895,615 b. Bonds - Refunding Issues Â· B. Debt service on local obligations: c. Notes 1. Bonds: d. Total (a. + b. + c.) 0 a. Interest 1,348 7. Total (1 through 6) 1,623,873 b. Redemption 7,628 B. Private Contributions 1,475 c. Total (a. + b.) 8 976 C. Receipts from State government 2. Notes: ....../.I (from page 2) 266198 a. Interest D. Receipts from Federal Government Il I _ b. Redemption (from page 2) 13.045 c. Total (a. + b.) 0 E. Total receipts (A.7 +B+C+D) 1,904,591 3. Total (1.c + 2.c) 8,976 C. Payments to State for highways D. Payments to toll facilities E. Total disbursements (A.6 + B.3 +C+D) 1,904,591 IV. LOCAL HIGHWAY DEBT STATUS (Show all entries at par) Opening Debt Amount Issued Redemptions Closing Debt A. Bonds (Total) 20.000 7,628 12,372 1. Bonds (Refunding Portion) B. Notes (Total) | I | 0 V. LOCAL ROAD AND STREET FUND BALANCE A. Beg.inning Balance B. Total Receipts C. Total Disbursementd D. Ending Balance E. Reconciliation 0 1,904,591 1,904,591 | 0 0 Notes and Comments: FORM FHWA-536 (Rev.01-04) PREVIOUS EDITIONS OBSOLETE (Next Page) 75 STATE: Town ofEstes Park, Colorado LOCAL HIGHWAY FINANCE REPORT YEAR ENDING (min/yy): December 2003 II. RECEIPTS FOR ROAD AND STREET PURPOSES - DETAIL 1TEM AMOUNT ITEM AMOUNT A.3. Other local imposts: A.4. Miscellaneous local receipts: a. Property Taxes and Assesments 5,336 a. Interest on investments 16 b. Other local imposts: b. Other 1 1. Sales Taxes 0 c. Transfers 2. Traffic Fines 0 d. Capital Credits 3. Specific Ownership Tax 0 e. Sale of Assets Â£ Fees/Licenses/Permits 5,811 5. From Cities/Counties 134,614 g. Service Performed 6. Total (1. through 5.) 134,614 h. Refunds of Expenditures I c. Total (a. + b.) 139,950 i. Total (a. through h.) 5,827 (Carry forward to page 1) (Carry forward to page 1) ITEM 1 AMOUNT I ITEM 1 AMOUNT C. Receipts from State Government D. Receipts from Federal Governmen~ 1. Highway-user taxes 240 703 1 FHWA (from Item I.D.5.) 2. State general funds 3. Othbr State funds: a. Forest Service a. State bond proceeds b. FEMA b. Proiect Match ~ 2- Other Federal agencies: c. HUD 13,045 c. Motor Vehicle Registration 25,495 d. Mineral Leasing d. (Specify) e. Pay Lieu of Tax e. (Specify) f. Other Federal f. Total (a. through e.) 25,495 g. Total (a. through f.) 13,045 4. Total (1.+ 2. + 3.f) 266,198 3. Total (1. + 2.g) (Carry forward to page 1) III. DISBURSEMENTS FOR ROAD AND STREET PURPOSES - DETAIL ON NATIONAL OFF NATIONAL HIGHWAY HIGHWAY TOTAL SYSTEM SYSTEM (a) (b) (c) A.1. Capital outlay: a. Right-Of-Way Costs 0 b. Engineering Costs 13,594 13,594 c. Construction: 1 1 (1). Capacity Improvements 0 0 (2). System Preservation 422,150 422,150 (3). Safety And Other 32,415 32,415 (4). Total Construction (1)+(2)+(3) 0 454,565 454,565 d. Total Capital Outlay (Lines 1.a. + 1.b. + 1.0.4) 0 468,159 468,159 (Carry forward to page 1) Notes and Comments: FORM FHWA-536 (Rev.1-04) PREVIOUS EDITIONS OBSOLETE 76 Rocky Mountain National Park Fact Sheet August 2004 Title: 2005 Entrance Fee Increase Status/Background: â€¢ Rocky Mountain National Park began charging an entrance fee in 1939 and had only minor increases in entrance fees since that time. Early entrance fees were deposited into the U. S. Treasury through the Land and Water Conservation Fund. â€¢ The U.S. Congress authorized the Fee Demonstration Program in 1996 (Fee Demo). The program allows National Park Service sites, including Rocky Mountain National Park, to keep the majority of entrance fees (80%) collected at their sites to use to assist with natural and cultural resource management and science research as well as repair, rehabilitation and renovation needs. The Fee Demo program has added approximately 30% to the park' s annual budget. More than 90% of surveyed park visitors have expressed support for this program. As of May 2004, $19,200,000 had been spent toward park improvements. â€¢ With the first entrance fee increase under the Fee Demo program in 1997 (from $5.00 to $10.00) and the second in January 2001 (from $10.00 to $15.00), the park has been sensitive to the local economy while generating much needed revenue to address a variety of projects including the maintenance backlog. The 2005 Entrance Fee Increase â€¢ A fee increase has been approved for Rocky Mountain National Park in 2005. The park will be increasing the entrance fee to $20.00 per vehicle for a seven-day visit. â€¢ This increase makes Rocky Mountain National Park the last park in the Intermountain Region of its size and visitation to increase to the $20.00 rate. As the table shows, other comparable parks in the region are already at the $20.00 rate. Parks such as Grand Canyon and Zion have had entrance fees of $20.00 since 2000. â€¢ The additional revenue will benefit both Fee Demo and Transportation projects in the park, with $13.00 of the entrance fee going to Fee Demo and $7.00 going to Transportation. 2 i Park State 1 2004 Entrance Fees 2003 Visitation Rocky Mountain NP ! CO I $15.00 3,067,256 Grand Canyon NP i AZ $20.00 4,124,900 Yellowstone NP i WY 1 $20.00 1 3,019,375 Zion NP UT i ; 2,458,792 $20.00 1 Grand Teton NP i WY $20.00 1 2,355,693 Glacier NP MT $20.00 1,664,046 -w-VU~9 A.vaw.~~-~V == ." --- ---. --'*: -P"A T.Vv--#W~,+ ,6vv~â€ž- -, 1~,~~ .,Av V- -r,-mÂ·-Wâ€ž,A- 7gmw ~ ~ V,f..mm,M-'-v--,Â·'v-"W~..mu -â€žA-V-Mh m..nw.u,v~W Bryce Canyon NP UT $20.00 < 903,760 Benefits â€¢ The additional revenue going toward Fee Demo will continue to benefit the visiting public. Through projects such as a new accessible restroom facility at the Beaver Meadows Visitor Center and expanded Park & Ride facilities, the public will continue to see their entrance fees at work. â€¢ Additionally, the park' s transportation efforts can continue to grow and remain self-supporting. With the additional revenue the park can continue to cover visitor transportation costs for the Bear Lake Corridor and will be able to experiment with expanded routes throughout the park and local community. These efforts will allow the park to address future visitor transportation needs. 0 . . . 16 6, 4,7 - 0 1 I .1 - 9, F I r 4 f . S. 4.4. - I I 1 Â· d= 0 0 44- D I +19/ ; /"Al 't 4 0 0 k -Â·4 . 1 -Wai 1 1 - - 1, r -- . i 54~la=,4 Â¥J Ip,1114.- " a. li'lipÂ·'9J 34 1~S Nitrogen Loading in Rocky BACKGROUND Mountain National Park Rocky Mountain National Park is downwind of many man-made National Park ecosystems are managed to sources of air pollution. While the park's air is relatively clean be as natural or unimpaired as possible. compared to other national parks near large cities, pollutants from Man-made air pollutants may cause sources in Colorado's Front Range, as well as from other areas in unnatural ecosystem changes that can be the U.S. and abroad, are carried into the park on the wind. These described as exceeding a critical load. pollutants are deposited in rain, snow, and as dry particles. Ecosystems in Rocky Mountain National Researchers from the U.S. Geological Survey and National Park Park are beginning to reflect changes Service have been working for over 20 years to determine whether caused by nitrogen deposition. Effects to the amounts of air pollution found in Rocky Mountain National Park ecosystem structure (species composition) are sufficient to affect park ecosystems. Adequate data now exist to and function (soil and water and tree show that soils, waters, and plants are beginning to show evidence chemistry) have been documented in of changes from nitrogen deposition. Nitrogen pollution in the air some areas of the park, and this indicates comes from vehicles, industrial emissions, and agricultural sources that nitrogen deposition is above critical such as farm fertilizer and animal waste (figure 1). Nitrogen carried in loads for sensitive park ecosystems. Total air currents and deposited in ecosystems can act as a fertilizer, annual (wet and dry) nitrogen deposition favoring some types of plants and leaving others at a disadvantage. monitored in the park since the mid 1990s This creates an imbalance in natural ecosystems, and it is not known averages around 4.4 kg/ha/yr. Pre- whether these changes can be reversed even if nitrogen deposition industrial or "natural" levels of nitrogen is reduced later. Nitrogen uses up natural buffering agents in waters deposition are estimated to be about 15 and soils, leaving park ecosystems vulnerable to future acidification. times lower than current deposition, at Nitrogen pollution also contributes to visibility reducing haze and around 0.25 kg/ha/yr. formation of ozone, a pollutant harmful to human health and vegetation. Figure 1: Unnatural Fertilization of Sensitive Park Ecosystems Facts about excess Nitrogen in the form of nitrogen oxides (NOx) and ammonium (NH4) is carried by the wind until it deposits in high-elevation areas. The extra nitrogen can act as a fertilizer, causing nitrogen in Rocky unnatural changes to water and soil chemistry and plants and animals in the ecosystem. Mountain National Park (figure source: J. Baron, USGS) â€¢ Nitrogen concentration in the park's rain and snow has ...... ........... been increasing (figure 2). .................. ........ -1 Conversion to ) Nitrogen deposition â€ž,----~~~Â·Â·.Winds ~- NO3 and NH4 ..\-~) (concentration x precipitation) has been increasing by about ( Nox - O -'\ +4/ 2% per year over the last two 4..f?Â»4\ decades in the park. â€¢ There is more nitrogen Fertiliz 4*14/ \ deposited in high elevation ecosystems at the park than plants can use, and excess nitrogen is leaking into park lakes and streams at certain I , times of the year. â€¢ Chemical changes are :-- I occurring now in surface W K Â·12 -r- waters, soils, and trees on r- the east side of the park. â€¢ Lake sediment analysis shows that excess nitrogen deposition has altered diatom Sensitive Ecosystems species composition. This High elevation ecosystems at Rocky Mountain National Park are more vulnerable to change began to occur atmospheric nitrogen deposition than many ecosystems in the eastern U.S. or in around 1950. Diatoms are other countries. This is because the granitic bedrock and shallow soils found in the algae, small oxygen park don't provide much chemical buffering. In addition, short growing seasons at producing plants in lakes. high elevation limit the amount of time plants have to absorb nitrogen during the â€¢ Nitrogen deposition has been year; these plants evolved under very low nitrogen conditions, so they are more shown in other parts of the accustomed to low nitrogen environments. High elevation ecosystems in Rocky country to use up natural Mountain National Park are just now beginning to show subtle changes from the buffering chemicals in lakes effects of deposition (see sidebar at right). Studies from areas with higher nitrogen and soils. Eventually these deposition levels, like the eastern U.S. and Europe, indicate that changes in soils, resources become acidic and waters, plants and animals in the park are likely to become more severe if trends in cease to support sensitive nitrogen continue to increase (figure 2). NPS will be working with air quality species such as fish. regulators in the State of Colorado to determine options that may be available to Ecologists and data modelers reverse this trend in altered ecosvstem condition before it worsens. are working to determine how long it would take, at current Figure 2: Nitrogen Trends in the Western U.S. rates of nitrogen deposition, The concentration of nitrogen (nitrate and ammonium) in rain and snow has been for this to occur in Rocky increasing in many areas of the western U.S., including Rocky Mountain National Park, Mountain National Park. while sulfate has been decreasing (figure source: Clow and others. 2003. Water Resources Research 39:6) â€¢ Experiments on nearby Niwot Ridge show that increasing nitrogen changes the species - 77 7--,-----7 .1 --n Ammonium of plants that live on the Nitrate l\ L, /4.. . 8 tundra. Grasses and sedges Utl_ 43 0 fp-ki_ 1 ,> outcompete flowering plants, habitat for some animals and a change that could reduce diminish alpine flowers in the 1 park. pi, ---rr- Sullate More information about nitrogen deposition research, monitoring, and ecosystem effects at Rocky Mountain Concentration trends from National National Park is available at: f-4 * Atmospheric Deposition Program (NADP) data http://co.water.usqs.gov/lochvale/ (1985-1999) index.html r \4- 14..Â·,1 http://www.nrel.colostate.edu/ -41 proiects/lvws/pages/homepage.htm http://www2.nature.nps.qov:82/ scripts/svnth.dll National Park Service U.S. Department of the Interior t. MC 4- i ELI{AND VEGETATION MANAGEMENT PLAN/ d ENVIRONMENTAL IMPACT STATEMENT I SUMMARY Of PUBUC SCOPING COMMENTS AND THE DEVELOPMENT OFORAFT MANAGEMENT AITERNATIVES <1~ Summer 2004 I would like to update you on the Elk and Vegetation Management Plan / Environmental Impact Statement (EIS) efforts at Rocky Mountain National Park. As noted in the first newsletter, the elk population has more than tripled since 1969, and concentrations and migration patterns are also outside the range of variation under natural conditions. As a result, willow and aspen stands no longer regenerate effectively, depriving other wildlife of the food and habitat they need to survive. In addition, the increasing numbers of elk are causing property damage and safety concerns in Estes Park. Recovering, to the extent possible, the natural range of variability in the elk population and affected plant communities requires identifying and implementing measures to maintain, restore, and protect the inherent integrity of natural resources. As lead agency, the National Park Service is cooperating with the Town of Estes Park, the Estes Valley Recreation and Park District, the Colorado Division of Wildlife, Grand County, Larimer County, the Town of Grand Lake, the U.S. Bureau of Reclamation, and the U.S. Forest Service to develop a 20 year plan to achieve this end. An Interagency EIS Team has defined the purpose, need, and objectives of the elk and vegetation management plan; formulated the issues involved in meeting the objectives, and developed a list of potential management tools that could be incorporated into the plan alternatives. In summer and fall 2003, the National Park Service and partners released a newsletter and held a series of public workshops in Estes Park, Loveland, Boulder, and Grand Lake to determine the issues and concerns associated with managing elk and vegetation in and around the park. We have received over 1,100 comments from you, in writing or recorded at the workshops. We are grateful for your input, and took your comments into consideration in developing a reasonable range of alternatives to manage elk and vegetation. The team has developed five draft alternative concepts to meet the project objectives; this newsletter presents these concepts and one alternative that would continue the current management of elk and vegetation (No Action Alternative). We would like your input on the five alternatives presented in this newsletter. To facilitate this process, four public 4* workshops will be held in communities near the park. You can find specific dates and locations of these meetings 0 on page 10 of this newsletter. Following this public scoping period, the alternatives will be further developed. With your comments, we can reevaluate the direction and scope of each alternative, modifying them as necessary. Next, < b all alternatives, including any modifications, will be presented and fully analyzed in a draft Environmental Impact e Statement, which you will have an opportunity to review in the winter of 2005. h.. 2 Again, I thank you for your contributions to date and for your interest in Rocky Mountain National Park. l encourage ~ your continued involvement during the EIS process and look forward to your feedback on the draft alternatives ,~~ , presented in this newsletter and on the draft EIS when it becomes available for pdblic ~eview. Understanding the *0Â· interests and priorities of you, the public, is an important part of the planning and environmental impact statement ~Â¥Y process. Your participation helps us produce an EIS that is complete, factual, and focused. e /0 Â· '7 I 3 ' & 17' . ... 0 4 , Vaughn L. Baker, Superintendent. ~ .4 1-'1:~r-Â·Â·... 2..A s.-4 1$..., .1 i â€ž '.1~ 1. 4... - 0,5Â¥,1. '' ..... 1.1 . '-:14, 1 1: D /.1,14 ./., Rocky Mountain National Park f*92Â¥66:2- .' ,iiÂ·Â· -* te .4 ,~ .... j.,f 1,/. 4 . t.' ~ C , ~i< '~ ~IÂ·' b!~ 4 i.7..1 -: 11-. j.44..4.. '45,2,Â·:. i. , 7 ' '6 21 ' ~ Â·922#Â·354 &. '' ,Â¥W, C.Â£, i Â·4 :. , , 4,...,te,%1'%Â·:te: i .1*,414'.Lb#2 1 9992}~ Â»jr*52*ill; PAGE 2 â€¢ ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT Issue Two What Were the Results of the Initial Phase of Public Scoping? During the first phase of public scoping, which ended on October 10, 2003, we solicited your comments Â» regarding the issues and potential management tools. ..9,(i; : .... I 0 29 4 Comments were received by letter, fax, and electronic f mail; through the Internet; from public workshop results; .= r on comment forms distributed via postal mail, and at e visitor centers in the park. Collectively, they contained ,./ /7.. 1,137 comments. .> 2 I . _4 I . The majority of the public agreed that there is a need for action regarding the managementof elk and vegetation. However, there was a diversity of opinions expressed on how to achieve the management objectives. The summer 2003 newsletter and the public scoping Goals of the scoping process included learning your meetings in September2003 presented a list of potential issues and thoughts on the potential management management tools (also presented in the alternatives tools and discovering tools that we had not previously section of this newsletter). Of the 1,137 comments considered. Most comments presented perspectives or received, 860 addressed some aspect of the potential approaches already identified, or discussed variations management tools, including expressions of support to previously identified issues and management tools. or opposition for particular tools or actions. Figure 1 The following summary of your comments includes illustrates the distribution of comments across a range example comments received from the public. of topics. Figure 2 shows the relative degree of support and opposition for the potential management tools. 1 11?4.1 -, 1 1 ~*mu=212 r 40 i~ '4.'0#Mkda :i'i f 1 1 1" 11, 1 1 1 1111 1-~''lix 4 12:1 , ' 4 1/, 6;)1?.0=SiND,f . 6 # 4 1Â¢~011/:Minfg'L#di 01 I ~ ' Â·1 1 42-1.- r 1 ''1 -22*1 6.14 %, 1 + 4- ~ ~n-'_ 31 2 - 1-74 7 -t 4 , 4 , 2%~AMÂ·â€¢ D 1 -'.-2?149. . A + 1.-31 >IL >aci.. ,&<41 Â· 4 A . J .4 -Il//ird'll# I d. U % ..Â·. August 2004 ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT â€¢ PAGE 3 "The elk population needs to be controlled, please do "Herding or hazing is unacceptable. We do not need something." to harass our wildlife - this seems to be a negative, not positive solution." "Why don't you just let nature take its course?" "Hazing should be available to field staff when they "In the absence of natural predators, measures must feel it's necessary and justified in managing the herds, be taken to reduce the elk population." vegetation, and citizen complaints." "Educate people to understand that this area is habitat "Use NPS staff and CDOW staff to cull elk, with meat for elk and other animals." being processed for needy people." "There has been strong scientific and visible evidence "Last resort: ranger-conducted hunting." , for many years that the population of elk in RMNP is too high." "Culling in or outside RMNP is not acceptable." "Eli< are causing severe damage and change to the "The Park Service's mantra is predicated on natural stream ecosystems, to the detriment of many songbirds or hands-off management style which, among other and other species of plants and animals." things, prohibits hunting in the Park." r "Eli< moving through our Estes Park neighborhood is "lthink it would be good to open RMNP up to limited one of the reasons we like living here. Residents have hunting during the regular Colorado hunting season." learned to live with the elk." "It has become obvious that wolf introduction and the "1 am concerned that high elk densities and, probably sterilization of animals will cause problems and are not more importantly, altered movement patterns and acceptable." unnatural concentrations are negatively affecting vegetation condition in RMNR The altered habitat "The reintroduction of wolves in the park is both a could have negative consequences on other species sustainable option and one which restores the park to ~ and eco/ogica/ functions. / be#eve effective e/k herd a more natura/ state." management is a critical need." 'Do not introduce wolves! The impacts out of the park 9 believe any elk or vegetation management should would destroy any credibility the Park Service has with take a holistic approach to restoring an intact ecosystem residents of Estes Park, Allenspark and Larimer and within the park. I am interested in seeing more than a Grand County. healthy elk herd and willow community. I would also "Use fertility control methods." like to see riparian habitat restored for beaver, birds, insects, etc. as the willow are critical in multiple food "I hate the idea of putting up fences." webs." "1 would emphasize and encourage use of selective fencing on key riparian and meadow habitats to hasten vegetation recovery as a key strategy." "Reintroduction of beaver and beaver habitat will help 1'Â·Â·*44Â· the plant community." > 41 ,+1 1 11 ... .ole, .. , .1.*24- 1 Â»61-6 84 .t../-.-////'& - * *0 L' , _-i 4 4.'87=19, 6j,WAMZJ~/blyll-*,tb~WE*ltÂ¢ 034 I. i.0.7' 1tÂ·.- 1 4 44 1+14543"'11,1,1,1,k - 02"ER'ill,aâ€ž"~'<u'"919Â£,4 3 $~ '~," 1,i~ 4 , 7- 1 -41 -11 ,~ 4 6 , 1,1 = ....1, 2. 4 " . 116*lf-j i~ . -:\ i.figg,Tf ,+37:ii.-~3~fzvl 9- .. I Â·Â· dIÂ¥ p, '.. li . Fl F. I~* I" Ii,6 4/ 1 %7/;Â·59,4 trif.%44+~ If t , ... I i , .:4.'~LD,1.,Â·.,t...44*, .' 1.....1 , A f. ,: t..,2 g.ili.- 'r I . 1 r,0, 1 14Â·* , 1 r w. Â· ..,6. MI - bÂ· ~:; ~,1,5 1. ./ 11:. ' 2. 9, 4 448 ': 377?Â· C. : I.- . 1 4 t :~-114 1 F-, I ../ I .. . t. I .. ... 4 K. PAGE 4 â€¢ ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT Issue Two Results of Initial Public Scoping 1000 361 Rocky Mountain National Park Elk and Vegetation Management Plan Public Scoping Comments by Topic 232 0-~~F1~27242216161413127653 2*48 14 e * ae ; y y .0 f ,f .2 y ~p ~ 5 1 :'*a .2 0 saube.#*43.* A /// m. m ._____ *e / 2 7 40 27 9 Â¢ e // /e ////4 4 2 4 f 4* TOPIC ~ Figure 1: Distribution of public scoping comments across a range of topics. Rocky Mountain National Park Elk and Vegetation Management Plan Public Scoping Comments on Potential Management Actions Population management/control "ll' 1,1 1-1 Wolf reintroduction t | 8 culling by agency staff I ] Hunting inside the park 1 1 ~ Hunting outside the park I 1 E Fertility control I i Variation of managernent tool/action 1 2~ Vegetation and habitat managernent 11 Install fencing 11 Beaver reintroduction tl :.E W'~ #4 4 O Support 0 Oppose ,Â·rÂ· ~~~id' 1 1 I Hazing or herding 1 1 /Â¢21â‚¬ 2. E Zoning and land purchase 11 7/ L - 1 m .1 ' k. 1 + . Â£ 1. Â« 11* ~ *Figure 2:~lative degree of sueport and oppositian fofthe 06tential management tool*/2#Q!~st St t.: 4 k t, Â£ Ff .*/6 . ' 012 - r , *11 T 'A ir. i .4 j " . "4 , NUMBER of COMMENTS ential Managemen ;84400 e 0*94,4 8/148.4 August 2004 ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT â€¢ PAGE 5 What Are the Plan's Objectives? The plan'sobjectives form the basis forthedevelopment c. Restore and maintain sustainable willow stands, of alternatives to manage elk and vegetation. The increasing willow cover within suitable willow objectives crafted by the Interagency EIS Team for this habitat on the core winter range. plan are as follows: d. Maintain sustainable upland shrub communities 1. Address size and distribution of elk population. on the core winter range. a. Maintain a wild and free-roaming elk population. 3. Ensure that strategies and objectives of this plan/ b. Restore natural range of variability to the extent EIS are not in conflict with those of chronic wasting possible. disease (CWD) management. c. Develop specific commitments related to 4. Opportunistically collect information to understand population size. CWD prevalence within the framework of the plan. d. Reduce density and redistribute elk to reflect a 5. Recognize the natural, social, cultural, and economic I more natural state, to the extent possible. significance of the elk herd. 2. Restore the range of variation in vegetation 6. Coordinate the management of natural, social, ' conditions that would be expected under natural cultural, and economic values of the affected conditions in the park and at select sites outside agencies and tribes to the extent possible. the park, to the extent possible. 7. Reduce the risk elk pose to public safety to the a. Make specific commitments regarding levels of extent practicable. herbivory 8. Address the risk of damage to private property by b. Prevent loss of aspen clones from the core elk. winter range until more information on the 9. Provide recreational opportunities associated with establishment of those clones is available. elk, such as viewing or hunting. What's New with the Plan's Objectives? At the time public scoping was conducted during to understanding CWD prevalence within the park. summer and fall 2003, the park planned to consider However, this plan will not evaluate alternatives for options for determining the prevalence of CWD in elk in managing CWD. Instead, these opportunities to Rocky Mountain National Park in a separate planning collect information on CWD prevalence in the park will effort. Since that time, the Interagency EIS Team has complement the Colorado Division of Wildlife's efforts decided to incorporate a new management objective outside the park and, ultimately, give researchers and into this plan to opportunistically collect information managers a better understanding of the distribution during elk population management efforts to contribute and extent of the disease. What Are the Possible Management Tools? The management tools are the elements that comprise Division of Wildlife (CDOW) personnel outside the the alternatives. Initially, the Interagency EIS Team park. â‚¬ identified a set of management tools that could be used 5. Use fertility control methods (contraceptives). * ~ to manage elk and vegetation. From this set, different 6. Reintroduce wolves to Rocky Mountain National combinations of tools were chosen to form the draft Park alternatives. The set of management tools included: 7. Use vegetation and habitat management techniques 1. Install fencing or other barriers. such as prescribed burns, forest thinning, or planting v 2. Use herding or hazing or other aversion techniques willows. hv to keep elk in or away from specified areas. 7* 8. Reintroduce beavers to elevate water tables and 0 44 3. Use hunting outside of the park to reduce elk promote willow growth. numbers and density. : 9. Use zoning and land use changes to help manage _ Â· E 4. Use culling by National plf#, Service CNPS) ~ elk an*yegetatiop outside the park. jww,, , . i I, .Atf,4 5 M>/, 71,1 -0 â€ž PI~U Alde ese objec ives einci toot*- -dI"I'**bJ'6k- #iuidari-:Iiz tdix --* - 1 * 2*- diM#lb --oc--& 0- 616 that he/CO '' 6Â¢he PeÂ¥,pysto dbyelopi (17/4 *- 0 4- . P 3.â€ž'I.lf.,bi, F Ark.0.Â·19281 4 2 2** it 1. 61'fir, : .' ... h AÂ¥ ; git: '*HY#2 4. * i **:giCÂ·-,714!l?Â·~ .1 A./2.7 .1 1.1 .. .C . :le... . 1 -I.::,~. PAGE 6 â€¢ ELKAND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT Issue Two What Alternatives Will No Longer Be Considered? During the development of the draft alternatives, Translocation: This option to reduce the elk population three of the alternatives initially considered were not would conflict with current NPS and state policies that retained for further evaluation. These include: allowing prohibit exportation of elk from areas in which animals traditional public hunting in the park, trapping and are known to be infected with CWD to areas not transplanting elk (translocation), and fencing large known to have animals infected with CWD. Although portions of the core winter range. The rationale for not translocation has been used in the past by Rocky further considering these alternatives is as follows: Mountain National Park and other NPS units to address Hunting in the Park: Federal law prohibits public elkoverpopulation, the incidence ofCWD in the elk herd hunting within the park. Allowing hunting in the makes "trapping and transporting" a potential hazard to park would therefore require authorization through wildlife, and public health and safety. congressional action. Maximum Habitat Manipulation: This alternative I f public hunting were to occur in the park, it would need focused on fencing core winter range habitat in and out to be safe for hunters and visitors, which would require of the park. The goal was to eliminate large portions limiting the use and access by the general public to of the preferred elk foraging habitat to encourage elk areas open to hunting. A traditional public hunt could to seek suitable forage in surrounding National Forest not be held for more than a short time, or over a large Service lands. Significant questions were raised about area of the park, without unduly restricting access for whether this alternative would successfully meet the other visitors to the park. Such restricted access would objectives of the plan, as well as concerns that the be inconsistent with the Park's enabling legislation, problems and impacts associated with elk would be which calls for the freest use for public recreation. The shifted to other areas (e.g., upland habitats in the park limited scope of hunting that could occur in the park and other locations outside the park, including Carter would not reduce the elk population enough to fulfill Lake and Loveland). Specifically, questions about the the purpose and objectives of the plan. desire or ability to fence the Estes Park 18 hole golf Finally, public hunting duplicates other options. These course and a lack of control over where elk would move options include shooting carried out by agency staff limited this alternative's capability to achieve the plan's or by members of the public who qualify as proven objectives. Elk displaced from habitat they currently marksmen and are accompanied by agency staff or use in and out of the park could intensify problems in contractors. These controlled culling operations would areas that would remain unfenced. This alternative have safety elements built into the process, and would was not considered for further evaluation because it offer similar environmental advantages in restoring would likely shift the problem rather than solve it and vegetation and returning the elk herd to a more natural not adequately achieve the plan's objectives. size while minimizing the impacts on visitor use. What Are the Plan's Draft Alternatives? Based on your input and considering the plan's the park (the No Action Alternative or Alternative A) objectives, the Interagency EIS Team has crafted a and five action alternatives that use differing strategies set of draft alternatives, presented here to solicit your involving different combinations of management tools review and comments. The Interagency EIS Team used to achieve the objectives of the elk and vegetation tit. information gathered during public scoping, data from management plan. P past and ongoing research, and the input of numerous Pleasenotethatthenumbersassociated with population ~ wildlife, natural, cultural, and social resource scientists reductions presented in this document are the result of F and professionals to develop the draft alternatives. preliminary population modeling. They are presented 4 Please use the comment form included in this here to illustrate the intensity of reduction that would ~ff newsletter, or one of the other methods of commenting need to occur inside and outside the park These 1% identified on page 10, to let us know how you feel about numbers are subject to change through additional the draft alternatives that have been developed so far. modeling and scientific verification. Based on public input already received, we recognize L that due to divergent views and opinions, it will be Alternative A-No Action or Continue Current <% 2 li difficult to reach a consensus on how to manage elk Management l E and vegetation in and around the park. + Under this alternative, the elk'population would be 4~ B The draft alternatives developed by the Interagency expected to fluctuate between 2,200 ind 3,1001 elk. p -bill ..W /0 1 *I EIS Team include a descriptioh of current actions that The No Action Alternative would continue to implement .&?t ~ are used to manage elk and vegetation in and out of the following NPS management actions:, -'. 0' App, August 2004 ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT â€¢ PAGE 7 Â· Monitor elk population and vegetation conditions; Â· Monitoring: Elk population size, demographics, Â· Use repellents and/or fencing in selected and distribution; vegetation conditions; visitor locations; experience; beaver populations; and the potential Â· Conduct poaching patrols in the park; and for natural wolf recolonization would be monitored Â· Observe elk for signs of chronic wasting disease. in addition to specific monitoring associated with Elk suspected of having contracted CWD would particular alternatives. be selectively destroyed. , Enhanced Public Education: Public education Continuing actions taken by other agencies would efforts would increase to provide additional include: information about elk and their role in the Â· CDOW would manage elk outside the park in ecosystem; how the management actions would accordance with CWD policy; affectelk, vegetation, otherwildlife and visitors; and Â· CDOW would manage elk outside the park other topics relevant to the overall management of consistent with CDOW herd management elk and vegetation. objectives as specified in individual herd management plans; Alternative B - Maximum Lethal Reduction of Elk Â· Estes Valley Recreation and Park District would use Under this alternative, elk would be lethally removed by aversion techniques and materials as needed; agency staff, with aggressive reduction targets initially, Â· Local police would control people when elk are followed by less intensive reduction to maintain target present in Estes Park; populations. Â· Larimer County would monitor and manage Â· The targeted range of elk population for this vegetation in coordination with the noxious weed alternative would be 1,200 to 1,700, comprised of program; 200 to 400 elk that winter in the park and 1,000 to Larimer County land-use zoning would help 1,300 that winter outside the park. maintain elk migration corridors; Â· NPS staff would cull approximately 300 cow elk Â· Larimer County and the Town of Estes Park would in the park each year for the first four years of the enforce fencing ordinances to protect elk migration plan and 65 cow elk each year for the remaining corridors; 16 years of the plan, with a total of about 2,200 elk Â· USFS would provide access to areas open to killed in the park over the life of the plan. Culling hunting in cooperation with the CDOW consistent would occur in strategically selected locations to with management objectives in the Forest Plan; reduce elk densities and redistribute elk to protect and vegetation. Â· Vegetation management (prescribed burning Â· Outside the park, hunter harvest or additional and thinning) would be conducted on National CDOW actions such as culling would be used to Forest System lands under the USFS Accelerated achieve elk population objectives as necessary. Watershed/Vegetation Restoration Strategy now â€¢ Elk could be culled by shooting by agency staff, g being implemented. captured and euthanized, or transported to a Â¢ 4 slaughter facility. Agencies would cull elk between 1 Actions Common to All Action Alternatives (B November and late February. â€ž through F) (Note: fencing to protect and restore large areas PA< f Actions that would be common to all of the action of vegetation would not be needed under this ~ 462 , alternatives (Alternatives B through F) would include: alternative.) 1* /4 /44 Â· Adaptive Management: This approach would allow â‚¬ modification of management actions over time, Alternative C - Maximum E/k Fertility Control 1~ rt ' .< within the framework of the selected alternative, This alternative involves the use of fertility control , *f 'Â· and involves a cycle of monitoring, assessment, agents in the park to reduce the size of the elk herd to and decision making to allow managers to adjust targeted levels, in combination with moderate levels of ., strategies to better achieve the plan's objectives. fencing to protect vegetation and promote restoration. dil Â· Continued Hunting outside the Park: CDOW would Â· The targeted range of population for this alternative 1 use hunter harvest as much as possible to meet would be 1,600 to 2,100, with 600 to 800 in the . elk population objectives. segment of the herd that winters in the park and : Â· Access Restriction: To protect public health and 1,000 to 1,300, in the segment that winters outside <:* safely, public use may be restricted in selected the park. -1'44'k ., i: 1 locations within the park while managementâ€¢ A multi-year reOersible fertility cAtrol agentuking f 9 ' actions were occurring. , N.4 a time-released compound to effectively inftibiti f . Beaver Reintroduction: The beaver population Â» reproduction in cow elk for multiple years (two ir in the park could be augmented iafter Â·vegetation/50> three; or Â®ssibl**ore years. as formulation; 1 restoration/Â»was sufficient to su#poft jncreased * 16 bibcome availiible) Would be used>Under thi i, beaver herbivory. iâ€¢4% 0 ~Ct, . 5 .,):49~4~%49rnativepptiogtappc*imately 400Â» wp 'e k le D PAGE 8 â€¢ ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT Issue TWO treated each year throughout the life of the plan. 1,600 to 2,100, with 600 to 800 elk in the segment The treatment period would be mid-July to early of the herd that winters in the park and 1,000 to September, when the majority of the elk are in 1,300 elk in the segment that winters outside the the park. The control agent would require Federal park. Drug Administration (FDA) approval to allow Â· Members of the public could enter a drawing for consumption of the meat. Cow elk would need to the chance to remove elk from inside the park, be captured, treated, and permanently marked to accompanied by NPS staff or a contracted guide. avoid retreating previously treated cows. These selected individuals would have to prove Â· Up to 3,000 acres of fencing would be installed their ability to shoot at a defined "marksmen" level in the core winter range, Kawuneeche Valley, and of skill. alpine areas to protect aspen and willow. Fencing â€¢ Approximately 70 cow elk would be removed in would remain in place for the life of the plan. the park each year for 20 years. If the targeted Fencing could be applied outside the park to areas number of elk are not removed by qualified public targeted for protection and restoration. marksmen, NPS staff would shoot elk inside the Â· Herding, hazing (e.g., rubber bullets, cracker shot, park to reach the targeted population size. or other dispersal actions), and other aversion Â· Outside the park, elk reductions would occur techniques would be used to ensure the movement through hunter harvest and other CDOW actions, of elk from the core winter range areas to traditional such as culling, as needed to reach target summer range areas in the park as needed, and population levels. to prevent excessive concentrations in unfenced Â· Culling activities would occur from November areas. through February. Â· Herding, hazing (e.g., rubber bullets, cracker shot, Alternative D - Wolf Reintroduction or other dispersal actions), and other aversion The NPS would reintroduce the gray wolf to Rocky techniques would be used to to ensure the Mountain National Park. This action would not entail movement of elk off the core winter range areas a regional reintroduction; it would focus solely on to traditional summer range areas in the park as reintroduction inside the park. needed, and to prevent excessive concentrations Â· Fourteen to 20 wolves would be reintroduced. in unfenced areas. Â· Biologists believe that reintroduced wolves would Â· Up to 2,200 acres would be fenced to protect disperse beyond the park boundaries. willow and aspen in the core winter range, the Â· Conflicts between wolves and private land uses Kawuneeche Valley, and alpine areas. Fencing outside the park could occur. A fund to reimburse could be applied outside the park to areas targeted livestock owners for loss of livestock due to wolf for protection and restoration of vegetation. predation could be established. At this time, it is uncertain how the elk population Alternative F - Combination of Lethal Reduction would respond to the presence of wolves. Further and Fertility Control modeling and consultation with scientific experts This alternative would focus on using a variety of is needed to estimate the effect of wolves on management tools to meet the plan's objectives and elk numbers and distribution. Full development would maximize the flexibilityto adjustthe management and analysis of this alternative will be needed to methods used based on the results of monitoring. The predict the response of reintroduced wolves and agencies would cull a high number of elk in the first corresponding response in elk. five years of the plan to reduce the population size and (Note: fencing, herding, hazing, or other aversion then use fertility control treatments inside the park to techniques would not be used under this alternative.) maintain the population size over the remaining years of the plan. If fertility control methods are not successful Alternative E - Moderate Reduction of Elk Using in maintaining the elk population (e.g., because of an Public Marksmen in the Park inability to treat the necessary number of elk), the Alternative E relies on gradual lethal reduction over agencies would cull elk as needed. Elk redistribution time to regulate the elk population and distribution. techniques and herding would be emphasized in this Inside the park, gradual reductions would be carried alternative to reduce concentrations of elk on the out under controlled conditions by members of the core winter range and to provide further protection I public who qualify as marksmen and are accompanied for vegetation. The use of fences would be minimized N by NPS staff or contracted guides. Outside the park, under this alternative to the extent possible. L hunter harvest and additional reductions implemented Â· The targeted range of elk population under this by CDOW, if needed, would be used to achieve the alternative would be 1,400 to 1,900, with 400 to L desired reduction target. 600 in the segment of the herd that winters in ~ 6 The targeted range for the elk population would be >* the park and 1,000 to 1,300 in the segment that n.* i 14Â·!%Â¢2* Â·:~40,~~~J,#':,44''r\,11:941 4:1t /, -4~, 4., August 2004 .1 ELK AND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT â€¢ PAGE 9 winters outside the park. to prevent excessive concentrations in unfenced Â· During the first five years of the plan, 140 elk areas. would be shot each year by NPS staff inside the park (700 total over the life of the plan). If monitoring results indicate that objectives related to Â· Outside the park, elk reductions would occur vegetation recovery are not being achieved, fences through hunter harvest and other CDOW actions would be selectively installed on up to 2,200 acres on such as culling, as needed to reach target the core winter range, in the Kawuneeche Valley, and population levels. alpine areas. Fencing could be applied outside the Â· After the initial reduction phase, fertility control park to areas targeted for protection and restoration of methods would be used inside the park to maintain vegetation. the population level for the remaining 15 years of the plan. Fertility control options could include The planning team welcomes your suggestions the use of a single-year or multi-year reversible regarding additional management approaches and control method. The treatment period would be alternatives. We will use your input to refine and fully mid-July to early September, when the majority of develop the draft alternatives presented here. Please the population is inside the park. focus on identifying approaches that would best Â· Herding, hazing (e.g., rubber bullets, cracker shot, meet the plan's objectives (see page 5 for a list of or other dispersal actions), and other aversion the objectives), rather than describing why one or techniques would be used to ensure the movement more of the alternatives or tools identified above of elk off the core winter range areas to traditional would not be acceptable. summer range areas in the park as needed, and Where in the Planning Process Are We? The table below summarizes the process for preparing You are invited toattend oneofthe publicworkshopsthat the elk and vegetation management plan and your will be held in August. If you do not attend a meeting but opportunities to participate. As you can see, we are want to contribute to scoping, you can send us written making progress and welcome your participation and comments by September 13, 2004. You can also check input. for information and provide comments on our website at www. nos.gov/romo/planning/elkvegetation. Planning Activity Public Involvement Opportunity FALL 2003 Initiate planning project and conduct scoping Read the Summer 2003 newsletter and join the mailing list. on issues and concerns. Public meetings held in September 2003. Comments were solicited on the issues and concerns. WINTER 2003/2004 Develop draft alternatives. Review the draft alternatives presented in this newsletter. SUMMER 2004 Conduct scoping on draft alternatives. Review important background information on the Website. WE ARE HERE Attend public draft alternative workshops in August 2004. Provide comments on the draft alternatives. WINTER 2004/2005 Publish the draft elk and vegetation Become familiar with the draft plan by attending public meetings or management plan and EIS. by reading the draft plan or its summary. Provide oral or written comments at meetings, or comment via letter or our Website. WINTER 2005/2006 Finalize plan and EIS. Based on your input and further discussions with the Interagency EIS Team, the alternatives for managing elk , and vegetation inside and outside the park will be reevaluated and modified as necessary. The p19ntlhat is ultimately selected would be binding only on the National Park Service. Implementation of actions associated with the plan outside the park would be determined by the respective jurisdictional agencies. The alternatives,yas modified by this segment of the planning process, will be presented and fully analyzed in a draft environmerjtal t impact statement (DEIS), which will be available in winter 2005. If you are on our ailin list, you will receive copy of the DEIS, at whidhitime we will ask for your input and invite you to attÂ®,1 b ' works 9 di the plan and DEIS. 4 2,9 - % 4 1 6 1:. ;41IIII'll 9/ 1 , 1- - r. =th PAGE 10 â€¢ ELKAND VEGETATION MANAGEMENT PLAN/ENVIRONMENTAL IMPACT STATEMENT Issue Two How Can I Participate or Stay Informed? If you are already on our mailing list, you do not need ' You can use the form that is included in this to do anything to maintain your active status - you will newsletter to join the mailing list and submit your receive all plan updates. However, we encourage you comments. to comment on the draft alternatives so that we can o You can send us a letter at: Superintendent, Rocky fully understand your concerns about the alternatives Mountain National Park, Attn: Elk and Vegetation and their potential effects. We need to receive your Management Plan, Estes Park CO 80517. comments on the draft alternatives on or before ' You can submit comments electronically via September 13, 2004. our website at www.nos.gov/romo/Diannina/ If you want to comment on the draft alternatives and/ elkvegetation. or join our mailing list, you can let us know by any one ' You can hand-deliver written comments during of several methods. normal operating hours to the drop-boxes that will Â· You can attend a draft alternatives workshop, be located at the Alpine, Beaver Meadows, Fall where you can learn more and provide us with River, Lily Lake, and Kawuneeche Visitor Centers; comments. See the table below for workshop the Moraine Park Museum; and the Estes Park locations, dates, and times. public library. DRAFT ALTERNATIVES WORKSHOPS TOWN WHERE WHEN Holiday Inn August 16, 2004 Estes Park 101 South St. Vrain Avenue 6:00pm to 8:30pm Marriott Boulder August 17, 2004 Boulder 6:00pm to 8:30pm 2660 Canyon Boulevard Grand Lake Lodge August 18, 2004 Grand Lake 15500 U.S. Highway 34 6:00pm to 8:30pm Pulliam Community Building August 23,2004 Loveland 545 North Cleveland Avenue 6:00pm to 8:30pm Regardless of how you comment, please include your the record a respondent's identity, as allowable by law. 0. name and mailing address. If you wish us to withhold your name and/or address, 4% Throughout this planning project, our practice will you must state this prominently at the beginning of f Â«*99 4* be to make comments, including names and home your comment. We will make all submissions from 4 ~ addresses of respondents, available for public review. organizations or businesses, and from individuals 44. 4 j Individual respondents may request that we withhold identifying themselves as representatives or officials i r their home address from the record, which we will of organizations or businesses, available for public ~ 2 u honor to the extent allowable by law There also may inspection in their entirety. ~. be circumstances in which we would withhold from 43.6 Additional copies of this newsletter may be obtained at the park's visitor centers, the Moraine Park Museum, or the Estes Park public library, or may be downloaded from the project Website, For further information, please contact the park information office: Phone: 970-586-1206 , *-4 ~ : Rocky Mountain National Park t Â· 3, 1;44Â·.:73. , 4*14 4*%. 11-4 C~Artz~iz:5'agement Plan .4?5>4.,~.,~.*:0, *~* : ~0~ ' ' 2*2= ..4.5%0.- D .r- 34 1/Imigi .-/ f.f*#.t44'~ ~~ ~ '' 4. 4 Â¢N f i Â» 0 k& National Park Service ~~ U.S. Department of the Interior Place First Class 1&7/ Rocky Mountain National Park Postage Estes Park, Colorado 80517 Here Superintendent Attn: Elk and Vegetation Management Plan Rocky Mountain National Park Estes Park, Colorado 80517 Please fold here and close with tape or staple Public Comment Form for Elk and Vegetation Management Plan and Environmental Impact Statement DRAFT ALTERNATIVES The summer 2004 newsletter from Rocky Mountain National Park provides information regarding the draft alternatives to manage elk and their habitat in and around the park. Keeping the plan's objectives in mind, what are the pros and cons of the draft alternatives developed to date? Do you have any suggestions for other alternatives that would meet the plan's objectives? (Use additional pages, if needed.) You can submit comments by several methods. Comments must be received by September 13, 2004. You can fold and return this form with your comments. You can send a letter to: Superintendent, Rocky Mountain National Park, Attn: Elk and Vegetation Management Plan, Estes Park, CO 80517 You can provide us with oral or written comments at one of the draft alternative workshops to be held in August 2004. Dates, locations, and times are listed in this newsletter and posted on the project Website, www.nps.gov/romo/planning/elkvegetation. Â· You can submit comments electronically via the links on our Website at www.nps.gov/romo/planning/ elkvegetation. Â· You can hand-deliver written comments to the drop boxes at any of the park's visitor centers, the Moraine Park Museum, or the Estes Park public library. Check below as applicable: D Please add me to the elk and vegetation management plan mailing list. U Please remove me from the mailing lists for this project. Please provide your name and mailing address: E] I prefer to receive electronic documents via e-mail at [3 I will download my own copy of the newsletters/documents from the NPS Website. 0 I will go to park headquarters or the library and read the copy on file there. C] I would like to receive printed versions of newsletters/documents. Rocky Mountain National Park Service U.S. Department of the Interior National Park National Park Service .~; Pre-Sort Standard U.S. Department of the Interior Postage and Fees Paid National Park Service Rocky Mountain National Park Permit No. G-83 Estes Park, Colorado 80517 National Park Service Inside the Summer 2004 issue: U.S. Department of the Interior Letter From the Superintendent Rocky Mountain National Park Estes Park, Colorado 80517 What Were the Results of the Initial Phase of Public Scoping? What Are the Plan's Objectives? Visit our Website at: What's New With the Plan's Objectives? - nps.gov/romo/planning/elkvegetation What Are the Possible Management Tools? What Alternatives Will No Longer Be The National Park Service cares for the special places saved by the American people so that all Considered? may experience our heritage. What Are the Plan's Draft Alternatives? Where in the Planning Process Are We? â€ž . How Can I Participate or Stay Informed? 3~. :,A 11'14,4 w -2, Alternat{V,s Workshops Dates and Locations 0 \ t'.1 0 , }*1 4..0, N ', 1 4 Public Comment Form .. ., 09...0 I j" r,Emilillimillitillil:21.*F/lill, . 7 'd . f. ff , 1. 1 1 1 1-1....2 1,1 'f 1* , -=1 7 I p.hi'*'4â€¢4Â· 2 1, . -6 94 4 1,3.. C- 1. 1 11 44 TWA . lilli J I. 1 . .L 111, 1, 1 I . .4 1 - lili + 11- 1,1 1 . I . 1 1. ' L'â€¢ 9.1 1 1 1 1 1 Â¥4~n. t- .(*t -' 111 â‚¬' 99. 1