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McGrath & Co., PLLCCertified Public Accounlants
F.O. Box 2?0148Hou*ton, Texas 77217
Mark W. Mccrath [email protected]
Colette M. Garcia CPAcciette@,rncgrath-co. com
Ortober 25,2A15
Jessica RichardsonAllen Boone Humphries Robinson LLP3200 Southwest FreewavSuite 2600Houston, Texas 77427
Enclosed please find the 2015 final Financial Report for Montgomery County Municipal Utility DistrictNo. 113. Please let us know if you have any questions or concerns.
Sincerely,
Gail SingerMcGrath & Co", PLLC, CPA'[email protected]
MOI'{TGOMERY COUNTY MUNI CIPATUTITITY DISTRICT NO. 113
MONTGOME,RY COUNTX TEXAS
FINAhICIAL REPORT
Mry 31,2415
MOII{TGOME RY C O UNTY MUI.{I C IIjALUTILITY NISTRICT I{O. 113
MONTGOMERY COUNTY, TTXAS
FINANCIAL REPORT
Mry 3lr ZA15
Table of Contents
lndependent ;\uditors' Report
Ilanagemcnt's l)iscussion and .\nalr'sis
BASIC FINANCIAT STATEMENTSStatemcnt r:f Ncr Posirion and (lor.ernmental I'iunds Ralance Sl:eetStatement of Actiritics and Gr:r-crnmeatal lrunds Revenucs, Expenditure .s
and Changes in lrund RalancesNotes to Basic lrinalcial Statements
REQUIREI) SUPTLEMTNTARY INFORMATIONBurlgetaq' Comparison Schcdule - General liundNotes to Required Supplementan' lnformatrt.rn
TEXAS SUPI'LEMENTARY INFORMATIONSen ices and RatesGenetal l"und llxpendifures]nYCStmCntS
Taxes Ler-ied and Receivablel,ong-Term Debt Sen.ice Requiren:ents by Years
Change in J,ong-Term Bonded l)ebtComparative Schedule ol Revenues and }ixpenditures - (]eneral FrundComparatir.e Schedulc of Revenues and lirpenditures * l)ebt Scl-icc llur:dlloard l{embers, I{e1 Personnel and Consultants
Schedule Pase+
1
)
71
L1
15
3135
151-t,IS1_2
TSI-3TSI_4TSI.5TS1,6TSI-7aTS1,7bTSI B
38,{0
11ta+1,
13
52545658
McGrath & Co., PLLCCertified Public i\ccountaats
P.( ). 1lo: lr{)1 -18
liousrtxr^ I nas a:::7
llarl, 1\'. 1ic{l:arh (.1)1
mark {{mcgrarh-co. c( )m
(.r:lcttc 11. (larcia {-P.\colcrtc(a)mcgrath-cc.cont
lndependent Auditors' Report
Roard of llirectorsI{onrgomen" Counn'}lunicipal UtlLitv l)is:rict No. 113
N{ontgomcry Countt', Tcxas
\\je have auclited the accompanying financial statrmfnts of the govcrnmental actir itie s and each
ma]or fund of Xonrgomery Countl,i\tunicipal Utilin- lJisrrict No" 113, as of and for thc )'car ended
i\Iat"31,2015, and the related rotes to the fiaancial statements,thich collcctir-elv comprisc the basic
financial statemfnts as Listed in the table of contents.
&lanagement's Responsibility fcr the Financial Statements
}{anagemenr is responsible for the preparation and fair pre sentation of these fi.nancial statements in
accordance with accounting prirciples generally accepted in thc United States of ,\merica; this
inciurles thc de sign, implcmentation, and maintcnance of intcrnal control relevanl to the preparation
aad fair p:esentatioa of financial statemerxs that are free from material nrisstatcment, rr'hether due
to fraud 0r erfof.
Auditor's Responsibility
Our responsibilin, is t,, csprcss opini,)ns on these basic financial statements based on our audi:. Sile
conducfecl our audit in accordance rvith auditing standards geretaliv acccpted in the United States of.\mcrica. Those standards require that t c plar: and perform the audit to <;btain reasonablc assurance
abr;ut rvhether the basic ftnancial statcx)ents are free cf material misstatement.
An audit inr-olvcs performing procedures to obtain audit evidence about the amounts aad
clisclosures in the {rnancial statements. The proccdutes selected deper:d otl the auditor's iudgment,inciudilg the asscssr:relt of the risks of material misstatement of thc iir:a:rcia1 slatemer"rts, whether
due to frauci or crror. In makins those risk assessments, the auditor considers internal control
relevaat to the entity's preparatir;n and fair presentation of the finaacial statcments in order lorlesign audit pxrceclures thar arc appropriate in the circumsaaflces, but not fr.,r thc purposc t,fexpressiag an opinion or rhe cffectiveness of the enti$'s internal control. ,\ccordingl,v, 'we expless
,-,o s.,ch opinion. An audlt alsc includes evaluating the app:opriatene ss of accounting principle s used
an<i the ieasonableness of signi{rcaat accounfing estimatcs made bv managemenq as well as
evaluating the overall prcsentatiol of the {inancial statements.
\Ye bclier-e rhat the audlt cr.idence we har-e obtained is sufficj"ent to prolidc a basis for our aurlit
opinir;ns.
1
Board o{I)ircctorsI{ontgomery. County "fr{unicipal Utiliry, District No. 113
Mcsntgomery County, Texas
Opinion
ln our opini*n, thc financial statements re ferred t<; abl ve present fairlr', in all marcrial re specrs, thercspective financial position r>f rhc ll{r1-ernmcrral acririties and cach major fund of l{cntgomen-(-ountr X{unicipal Urilin" I}istrict llic. 113, as of hfav 31,2*15, and the {especti\-r changes infinancial positirin therr:of fcr tLrc I'ear thc* endcd in confr;rmin rvith accounting principlcs gcnerallr'acccpted in the Uniteel States r;f ,ln:erica.
Other-Matters
:\ccountilg principlcs gencrallr- accepted in the i:'nitcd States of :\mcrica requirc rhat rhcmanagcmcnt's discussion and analrsis and budgetary comparison inf,rrmatiofi be prcscntcd tosupplcn:ent the basic linancial statemrnrs. Such ir:frrrlr-:ation, although ncl a part of the basicfinanciatr statemenrs, is required bv the (lovernmeltal ,lccounting Standarrls R<;ard, who cor:siders itbe an essential parr of liaancial rcporting fr;r placing :he basic financial statcnlcnts in an appr.prirrtcoperational, economic or hisrcrical context. 1X,'e have applied eefiain limited prccedures lo thfrequired supplcmentafi- ir:forn"raticn in accordance with auditing standards genr:rallr' accepted in rheUnited Srates ol ,\merica, *.'hich consisted of inquiries of managcmert ab*uf the methocls ofpreparing the infr.irmaticn and c*mparing thc information for consistenc! rvith management'srespoflses to {}L}r inquiries,'the basic financial sratcrnrnts aad other knclvledge rve obtained durinirour audit of the basic financial statcments. *,,'e do nqrt expfess an ()prni()n or providc ant: assufanccon the info:madon because thc limitcd procedurcs d* not proridc us with sr"rfficicnt eridence tcexpress an optnir;n or proride an1' assuraoce.
()ur audit rvas condnered for thc purpose of lorming opinions on the linancial statcments thatcollcctivelv comprisc rhe llisrrict's financial statcments as a x.hole. The Texas Supplementarvlnfirrmation is presen:ed lor purposes cf additional analr'sis and is nct a required part of the basicfin:lncial statemerts. The Tcxas Supplernentan- lnfcrmatinn is the responsibiliry of management andwas derir.ed from anrl r*lates direcril to ahc uncierlr-ing accounting and rither :ecords used tr: preparethe firancial staterncnts. Tht infcrmati<x has been subjcctcd to rhf auditing procedures apphcd tothe audit of lhe {rnaacial s:atements and ccrtain addiiioaal procedules, i:rcluding comparing andreconciling such informatir:n directl,v to the undedr-ing accouflting and other rccords used to prcparethe financial statemenrs or to the {rnancial saatr:menas them-cch-es, and other adrlitional procedures inaccordance wirh auditing standards generalh' accepred in the United Statcs of America. ln r;uropinion, tl'rc irformauon is fairlr- ,.tared in all material respects i* rclation to the financial saetemcnlstaken as a rvhole.
€&*g- * &, r**ff-H0usfon, TexasScptember 21,2{}1,5
2
Management'$ Discussion and Analysis
IItrIIIIIIIIItIIIIt 3
IIIttT
IItIIItIItIT
t
(t'hi.r pqgt inkrti*r:*111, lt/i hlc&)
4
Mrsntgomery County Municipal Utility llistricr No. 113
Management's Discus sion an d AnalysisMay 31, 2015
Using this Annual Repott
\Yithin rhis sc*ion of the financial report r;f hlcntgcmcr-r' Counn' I{unicipal Utilin' l)istrict N<;. 113
(the "l)istrict"), the l)istrict's Board of Dj-rectors providcs a narratir-e discussir;n and anair-sis of thc
financial acri:-irir-s of thc l)istrict for rhe fisca1t'ear endcd h{ar'31,2015. This analrsis should be rcad
in conjunction rvirh the independcnt auditors' report and the basic {inancial statements that follorv
this scction.
la addirbn to this discussion and anah'sis, rhis annual report consists of,:
r The Di.srrict's basic financiai statements;
, l\Tores ro rhe basic {inancial statcment-s, rvhich provide additir:na1 infotmation csscndal to a
full understanding of tl"re data provided in rhe financial slatemenls;
. Suppiemcnrar\- inlormation recluircd br the Gor-crnmenlal ,\ccounting Staadards Roard
(G'\SR) conccrniag thc l)istrict's budget; and
o ()thcr Texas supplemcnran- inlormatiol required br" the llistrict's state oversight agencl', the
Tcxas Commission on l-inr-ironmcntal Qualitr' (TCEQ)
Overview of the Financial Statements
The l)istricr prepares its basic {inancial statcments using a format rhat combines fuad financial
statcinents and goverlmert,wide statemeilts onto onf financial statement. Thc combined statcments
are ihe Stalcruutt rlf \el l)*.riliatt ,snd Cat,ernnttn/a/ f;unds Ba/ance 5'/tcel and tine .\'laleruent ry''Aelit:ilit: arzd
Gaytrnnenlcl {;urd: Rcr,(nrt.r, l:xpenditure.r and (./tonge.r fu I;und Br;/aprc-r. Each staremcnl contains an
adjustmenrs column rvhich quanaiies the diffcrcnces beru.een the go\-ernmcnt-wide and find lcve1
sraremcnrs. Additional dctails of the adjustmcnrs are provided in Note 2 to the basic financial
stat(]ments.
Government-Wide Financial Statements
The focus of gorernment-wide financial statements is on the cverall finalcial position and activities
of the l)istrict, both long-term and short-term. The District's gor=ernmcnl-tvide {lnanclal statemeflts
consisa i;f the J-talement a;f i..ltt Pasition and the Sltsttrttrt af' Artirities, which ate prepared using the
accruai basis of accounring.The Statenrutl of Net Po-;ilirLn includcs all of thc District's assets, dcferred
outfLorvs of tesources, liabilities, and de lcrred inflows of resources q,'ith tlle residual reporred as retposition. ()rer time, changes in net position mal pror-ide a use iul indicator of rvl"rether the financial
position of the District as a rvhole is impror:ing or deterioraring.
,\ccounting standards establish three comp()nents of ncr posirion. The ncl in\:eslment in capital
asscts component reprcsents the l)istricr's inr.estments in capital asseas, less anv outstandir:g debr or
olhcr borrorvings uscd to acquire those assets. Resources needcd to repaY this dcbt must be
prolided from r:rther sources, since rhe capital assets themselves cannot be used to liquidate these
liabilitie s. The re stricted component of ner p()sjri()n c()nsists of financial lesources that are restricted
for a specific purpose br. enabling legislation or external parties. Thc unrestrictcd componrnr of net
positir:n represtnrs resourccs nor included in thc other compoflents.
5
Mantgornery Counry Municipal Utility Disrricr l{o. 113
Ma* agex ent's lli s c us si an and An alysi sMay 31, 2075
The .\talrnttrt rtf'lctit,ities rcports horv the l)istrict's net p<.isition has changed during the fisca1 l'ear,,\11 revcnues anrl expersrs are includcri on this statement, regardless of rvhcther cash has becnreceived or paid.
Fund Financial Staterner:ts
The fund financial starcmcflts inclurlc th<: {,at'rrstrtrnlo/ l;ard.t Brs/anrr .\"lteel and the {,,r.,rcrnrtrrksl l:urdsF.u,rnttr;, f:.xprndilurzs *rd ClLanws ir l:und lla/rtrx-r. The ii;cus of fur-ld financial statcments is onspcciiic actir"iries of rhc llistrict rather thaa the District as a whr;le, repr:rrccl r-rsiag nrr;eiified accrual
accounting. These siatfments rcix.)rt on thc llistrict's use of alailablc financial tcsfiurce.q and thebalances r.rf available flnancial rcsources at ahr cnd r;l thc lcar. Erccpr fr;r the {lencral l;und, a
specifrc iund is esral:lishccl tc sarisfv managcrial contrr:l o1-cr resourcrs .rr to sadstl finance-relatedlegal requircmcrts esrablished b; crternal parties, go1'ernmcnral statutes r;r tcgulaucrns.
lior furthcr di-rcussion {}o thc f{)!ernmcnt-rvide anr] lur"rd fir:ancial statcmcnls, plcasc rtfer to }ir:te 1
in the frnancial stalemrnts.
Finaaci*l A*alvsis of the District as a Whole
The l)istrict's nct positio* at llar'31,2fi15, :' as ncgativc S1(1.979,532. ,\ comparative,cumman cf rhe
District's cr.erall financial position, as of llar 31,2i)15 and2014,is as follcrvs:
201 5 2{}1,4
Current and t;ther asstts
Capital asscts
Total a.*sets
Current liabiliticsl-ong-rerm liabilities
Tt;rai liabilities
Nct positionl{et inreslment in capital assers
Re,srrictcd
Llnrestrictcd'fotal net position
s 14,443,303li lr( f7q
5!"869,i)82
16,306,87.1
;,1,541,7,$0711,8.18,61,tr
u3,946,235)1 ilfl 1,21
(s83,e2{l)
s Jl-r)xli36,2{i.1,218
4{},74,1,033
6,255.86U
43,93s,305
5{i,191,165
(9,788,7.17)
1,998,5,13
(1,656,928)s rltr0-()r17 q q4J- li2" \' . . \'.
6
Montgomery County Municipal {lrillty District No. 113Managemen t's Discussion and AnalysisMay 31,2015
Thc total nct position of the l)istrict decreased br' 51,532.4{)0. "\ comparative summafl, of thcl)istrict's .\'lt;kswnl *{lelh,ilirs for the past trvo lears is as fo11cu.s:
2015 2AURerenues
Serl-cr
Irroperh taxcs, pclaltics and inti:rcst
OtherTotal rcrcnucs 5,018,658 2,{r.18,918
S
Expenses
Curreat sen'ice r:pcratlonslnterest and fees
l)cbt issuance costs
1)cpte ciarionTotal expenses
Change in ntr position before orher item
Orl-u:r irernC1'range in csfimate of due to deleloper
Cl-range in ner positionNel position, beginning of vear
\et position, end o:L r-car
1,193,096
2,114,3941,'155,160
1,,188..1{}8
732.305
1.046,{}1(t
21{},211
S ,183,,172
2.$62,971
142.41a
916.{t61
1,596,7.19
136"17 5
155,805.1,'135,390
(1,186,412)
15,111
(1,7.+1,055)
(7,706,017)
1"
(;,551,058
(1,532,.,00)
(1"532..100)(9.411,132)
S I (1.9-().5 32, S ().+l-. I 12)
Financial Analysis of the District's $unds
The l)istrict's combined iund balances, as oi lfar.31,2015, were 514,1(;5.550, rvhich consists of51,781,795 in the General liund, S3,969,8!.t in rhc l)eb: Senice Fund and 58,.113.8(;1 in rhc (-apital
Proiecrs lrund.
7
M**tgome4t Crsunty Municipal Utility llistri* No. 113Man agem en t's Ili s c u s sicn an d An alysi sMay 31,2015
{,rnrra/ l;anr/
Comparative sumrnaries of the (]cncral l;und's financial position as of llar'31,21]15 and 2{)1.i arc as
fr.l1lou.s:
201 5 2At+Total assets S 1,9,{8,730 S 85,},,}r'l
Total liabihtiesTotal clel erred .inflos"s
Tiital fund balance
Totai liabiiitics- dcierrecl infir;rvs ar:d fund balance
'lirtal rclenue s
1-ora1 expcndiruresRcrenucs or-er expeadi*res
T<;tal lia}:ilirie s
Toral rL:ferred infl or.r's
Tt;tal fund Lralance
Tirtal liabilirics, delerred inflorvs and funcl balancc
S 150,785
16,150
181 795
88.612I oga
760,760
S
1
S l.() 18.-1t) S R5+.-l:+
Cr:mpararilc sumlnarics of the Clenerai Fu*d's acti:-i:ics fiir rhc currenf aarl prior fiscal vear are as
fi-illolr,s:
2t)15 2{}11
5 1 ,951 ,'l'15(93U,'t10)
1,121,354
(66e,3.+{))
S
: l,{12l,r)j. S 152.Ul-i
The l)istrict manages its actir-iries rvith thc objectives of ensuring that exprndirures rvill bcadequa:elv cor-ered bv revenues each l'ear and that al adequate fund balance is mainrained. ;\s a
result, fund balance in thc Gcneral l;und for thc current year aad prior vear has increascd.
Dtbt.\'enlice llund
(iomparatir-e summaries of thc l)cbr Sr:n-ice l-und's Snancial position as of hfar' 31,2{}15 and 201r1
are as follolr.s:
201 5 2414
T<;tal asscts S 4,028,6.15
q 1*r?51,{i39
3,9(;9,89,1
$ 2,300,905
S
16,583) 2P,t \))
s -1.{128,615 S 2,3r)0,9r)5
I
Monrgonzery Caunty Municipal Utility District No. tr13Man agetn e* t's Oi s c u s si on an d An alysi sluIay 31, 2015
Comparative summaries of the l)cbt Sen-icc Irund acdviries the current and prior &scal lear are as
follows:
2015 2014Tr>ta1 rer-enues
Total expcnclitursRer-enues r;ver expenditurcs()rher changcs in funcl balanceNcr change in funri balancr
Toral liabiliriesTotal fund balanceTotal liabilitres and fund baiance
Total rerenucsTotal expendiruresRer-enucs under expenditures()ther changes in fund balanceNet change in fund balance
5 3,016,(r(;0
(1,88,1.1.1'1)
1 51() 7?1
(1,066,851)S
1,1 32,51{,
553,056
412.812
50i),58t)
Thc District's finaacial lesourccs in the Debt Ser-r.icc Fund in both the current r-ear and prior t'carare frcm proper.r aax tcl-enues and capitalizcd interest fror:r the sale of bonds. The differenceberureen rhese financial tesourccs and debt sen-ice rcquiremcats resulted in an increasc in fundbalance each lear. 1r is imporrant ro n()te that the l)istrict scts its annual dcbt scn-rce rax ratc as
recommended bv its financial advisor, rvho monitors projected cash flows in the l)eb: Sen{ce L-undto eilsure that rhe l)istricr rvill be able to meet its future debt se n'icc rcquiremt'nts.
C api ta / P rai e ct"r F' u n d
Comparatir-c summaries of the Capital Projects liuad's flnancial position as of L{ar. 31, 2{}15 anrl2{}11 art as follorvs:
2t)15 2014Jirtal assets
s 1.6H5,5-l s ,)-.1,+52
$ 8,465,928 $ 1,32:1,.+56
S 52,461
8,413,861
S 8,465,928 S 1,32:1,.156
5 169,886
1.154,570
Comparatile summarie s oi activities in the Capital Proiects lrund fcr the curreat and prior fiscal yearare as follorvs:
2015 2{}14
S 1{),859()) )17 )1)\
? 0l()(1 1.827.139)
S
(22,2*6,413)
29 165"70.4
(11,824,190)i 1 iJ? 141
s 1,259.291 5 718,153
The l)istrict has had considcrable capital asset ac[ivity in the last tx.o lears, rvhich includes :heissuancc of a bond anticipation note and thc sale of bonds in the current lear and in the prior lcar.
9
M*ntgomery County Manicipal Utili4, Districr N*. 113
Man age men t's "{)i s c tr s sion an d An al},si slVlay 31, 2015
General Fund Budgeta:y Hightights
The lloard of lJirectr;rs adoprs ar annual unappropriated budget lor the (ieneral Fund prior to thebcgir:ning of each fisca1 rear. The Roard amerderl the budget rluring thc year tc; rellect changc-r inaaticipated rcl-enues and expendifurcs.
Sir:ce rhe l)isrict's budgct is primarilv a pianning aor.,l. actual results varied &orn tire burlgetedaffrounts. ..lcrual nct change in luad balance was 5396,:47 grt-:ater than budgcted. The Burlgttary
Con$ttrisots .\'cbdafu on pagr 3,1 of tl'ris rcpr;:t pr*r'ides r-ariance infr,irmatioa prr linancial statcmenrline item.
Capital Assets
{iapital assets hcld bt thc l}istrict at }{at-31,2ii15 and 2{li4 arc summarize,-las follcrv-c:
2{t15 2{}11
Capital assels n()r being deprcciarcrl
l-anii and ir:plr:-ementsConstruction in progress
851.886 951,241
5 366,139,185,7.t7
298,{$9659" 1,15
$
Capital assets being cleprcciared
Scrvcr and drainage sl'sfems
Roads
Parks and rccreational facitdes
I-ess accumulared dcpreciatir:nSe*'cr anrl drainagc srstems
Roads
Parks anrl recreatiexal faciliries
Dcpreciablc capital assets, nlra
Capital asscts, net
34,:73,91q11,188,53'
2,583,5(r8
27,3(t1,212
8,'1'15,r39
2,583,568
49,14{>,{14{t 38,390,719
(2,388.:59)(1,768.{r96)
t414,698)
(1,609,345)
(1,1 88,1 59)
(28{;,241)11 1 / la \l (3,083,745)
44,573,8r3 3:,30(; 974
S -i.i,-12:,--9 S 1r,.26-1.218
The lJistrict completed ccnsrucdon of the loliowing during the current vcar:
e Sewer and drainage to serre Woodforest Secrions 1{}.12,.15 through 41,49 through 54
o Siloodforesa Parkx,av Northwest lfxtension ffi,'oodforest Section ,1.{ through SfoodforestSecuon 29; drainagr'
o Wor;dforesr Parkrvar- South }fxtension (W-oodforcst Secdon ,{5 to \Yoodforest Sectior-r 46) *sewer and drainage
r \Yoodforest Section 45 exterior roadsr Woodforest Pffk\\,ar South Extcasio* (Si'oodforest Section ,l(r to Woodf,crest Sectir;n 53) -
rr:ads
10
Montgomeq, Counry* Municipal Urility District l\fo. 713Man agem en t's llis c u s sion an d An alysisMay 31,2CI15
r V/or;dforest Parkvar- Northx.est l'lxtension (CISD to \\/oodforcst Scction 29) , roadsr \Yoodforcst Parkura.-v South llriclge ar Fish Creek - roadse Woodfores. Trails - 2{}11
The llistrict's crlflstruction in progrfss is ir;r the construction of signal and lighring for }rish Creekthorough fare and \{'i;od fcre s I l}arkrvav N or:h.
,\s discussed in Note 7 rhe lfistrict has contractual commirlnents in the amount {}{ 512,7t)2,1ii6 forconstructioa of -.erver, draina5;c and road facilities. The l)istrict rvill owc its dtr,cloper for thesepro]ects upon completion of consar-uctioa.
Long-Term Debt
,\t \{av 31,2015 and 201-1. thc I}istrict had total bonded debt outstaading a.. shorvn belorv:
Series 2415 2011201{)
2011 Road
24122012 Road
2413
2013 Road
2014
2{}1:l Road
s 3,535,{)001 -1li {)r}0
1,69s,000
3.515,{100
5,805,000
5,650,000t - r00 nOo
4,1ti0,u00
3.620.0{J0
3,515,000I -10 000
3.7{i0,000
5,935,000
5,65{).000
S
s 45,035,000 s 24,150,000
l)uring the r-ear, the llisrrict issued ,$21,300,000 in unLimited tar bonds. At l{ar 31,2015, the I)istricthad 51,,11,620,000 unlimitcd tax bonds authorized, but unissued for the purposes of acquirir-rg,constructing aad improvlng thf water, sanitarv sewcr and draiaagf srstflrls u.ithin the l)istricr;530,360,00{l for road impror.ements and $1(;,,145,1}00 for parks and recreatjonal iacilitics.
During thc r-ear, the District issued a S1.i,,176,000 bond anricipation ncte (RAN) to pror.ide shortterm financing lor der.eloper reimburseurents. The Disrict intrnds to repay the BAN with proceedsirom the issualce of long term debt. See ){otes 6 and 13 for additional information.
11
Montgomery County Munlcipal Utiliry,lllstrict Nc. 113
"&{an agemext's I}isc ussion and An alysisMay 31, 20tr5
Next Year's Budget
In establishir:g the budget for the next Itscal vear, the Roard considered larious economic factorsthat rna:' affcct the l)istrict, most notablr" prr;iectcrl rfreilucs from property taxes and server sen-ices
and the projccted cost of operating the lJisrrict and pror-idinq scri-jces I() cust()tners. ,'\ comparisonof nrxt ),ear's }:udgct to cllrrcllt 1-car acaual amoults for tl"rc Gencral Fund i-c a*c fr;llo*.s:
20i5 r\crual 2{}16 I}udget
Total rcr.enues
Total expenrlitures
Rc-n"cnues or-er cxpenditr,rrc.r
Reginning Iund balance
}'.r":ding fur:rl L:ala::rcc
s 1,951.445
(930..110)
S 1,{r81,00{)
(1,200,6(r5)
f .i)21,035?6('},r50
+xt t!-)-)l
1 ,781,795$ 1,r81 ";9: S 2"2(:2,13{.1
Property Taxes
The Disrrict's propertv tax l:ase incrcased apprcximatelr'S22.f.143,(X)0 frrr the 2{)15 rax lear ftom$3(10,132".155 to 558.1,215,938. ?his incrcase rvas primarilv duc ro 1rc\\ cunstrlrction in rhe l)isrnt.
12
Basic Financial Statements
13
Montgorue4, Ccunq. Mcnicipa| Uriliry District No. 1x3
Statement of h{et Position and Gover**enta} Funds Ba}ance SheetMa;,31, 2015
tItIttIIIIIttttII)
I
( i eneral
1;und
l)cbtScn'icc1;ur-rd
(-apitai
1)roiccts
liund Toral .\dlustmcntsSta:cncnt ofNc: Positior:
I )O:
851,886.1+,5;3,893
Assets(lash
Invcs trr:tnts'faxe s rcccilable(-usnrmcr scn'ice reccir-ables
I)ue from opcratorlnrcr*al balances()tl.rc:: rcccilablcsl)rcpaid irerns(-apital asscts ri()l bci*g r-ic;::cciatr:d
{-apiral assets, nct
Total ,\sscrs
Liabilities-!ccour-:ts par-able
Retainai:e par-ab1c
()ther palablesBuildcr dcposits
,\ccrued intercst palablcRr;nr"l andcipation note par:aL:lc
l)uc to devclopers
l,ong-term dcbtl)ue *-it.irin {)rc \-ear
i)r-ie after {}n. 1'.ar
Total l.iabilitics
5 2,932,117 5 B,,l(r.N,8.18 S i 2,8rr.836 S
1 "0,1.1.81 3 1 ,441 "67
1
51,f39 73,189
21,238
4-0,i32((,.35it)
4.2t, 1 i11
,1,285
q I 16' a-1
396,858
16,15t)
21,238
"1*,532(:l,i 3i)
1,{J.16
4,285
s 12,859,836
1,411 ,61173,i it921,238,l(i,532
1.{180
851"88(r.i.1.r13,893
S 1,9,18,73{J S.1,ii28,6.15 5 8,.i6r,928 5 1.1,.1.13,303 15,12i"119 59,869,08:
$ 139,466 5 5,,+05 $
46,6*2
5 14.t,87l
16,662
3"296'/, -)f
14,|..811
46,662
3,2t)6
9,133
51(r,31tl
1.1,-17(;,(X]0
11,515,652
1,58.1q ?ii
I -ll
516,3 i i)
1,1,'176,000
1 1,575,652
1 ,1 I 0,{i{10
.12,966,0881.1 1 0,i](){}
:12,966,(i88
150.r85 1,712 52"t)61 .(r.l.i6J -fr,f,l-l,l.)1(r -0,8-18,6 1+
Deferred Inflc;ws of Resourcesl), lt rr, J lr{ ,l( fi\ ra\( :
Fund Balances/Net PositionFund 3alances)*r:nspcadablcl{csrictedL'nassigncd
Tri:a1 lrund }]alanccs'fotal l.iabilitics, l)cfcrrcd lnfkru.soi llesr:urccs and liuad l]aiar-rces
Net PositionNct inlcsrmcnt in capital asscrts
I{t.tricruri fur J. lrt:tnicrLlnrestricted
Total Net Position
150 5?,{13'16 l3 189 (73,1 8e)
4."28i r lQt
1 1 tRi ;iiI :-- ilrl
ll lRir\..-. '/(12,383,7ss)/i --.* ilo\\-r ."-"/
3,969,89.1 8,'113,861
1,77r.510
1,781,795
S 1,9:18,730
3,t69,89,i 8,,113,861 1,+,165,55i1 (1-1,165,350)
: -l,r rlx,6+5 : i.+65.01R \ ll. I I 1.lil1
(13,906,235)
3,510,623
(583.e20)
( 13,906,235)
3,510,623
(s83,920)
5 , lrt.!-0,i 1J S 10.9*C.i 11,
Scc :roacs to basic financial statclncnts.
14
Monrgome4, Counfi, Municipal Utiliry,.District Nrs. 113Statement o{Activities and Gover**tenta} Funds Revenues, Expenditures and Changes in,Fund fialancesFot rhe Year E*ded May 31, 2015
(leneral
liunrl
DcbtScn'icc
l jund
(-apital
Prolcctsl;uncl Tr;ral \ rlju: tmcnts
Statcmcnt of. \crir-iries
Revenues
Scu,er scn'icci)ropcrtr- taxcs
l)cnalrics and intcrcstTap cr;nnection and inspcction
-\ccrucd intcre st on bor,r-ls soldIliscellancousInr"es:mcnt carnings
Totai lLcr-cnucs
Expenditures/Expenses(lur:e nt scrr'ice opcrations
Prolcssional fccs(-ontractcd scfl.iccsllcpairs and mail:cr-raaccI'rilirics. \drr-rinistratlvc
Othcr(iapiral outiar
lJebt scn"icc
Principal
lntcrest and fees
l)cbt issurnce costs
llepreciationTotal lrxpcnditures/i ixpcnses
Revenues Over (Under)Expenditures
, s 732,305 S
3,983,108
11,111
247 $13i 1,8i011,132
s 712,385 S
997,306 2,985,802
1 1 ,.|'l.f
1 1,830
:15.196
6,328
(1 1,830)
5 73:,3i]5J { l)B lr )-l
1a 114
207,.1'13:07.:l-t3
1 1,,132
? ()io
S
7,58.i 10,859 21,'+{}2
1i Ji-))1 J(r)
1 ,95 1 ..1.15 3,016,6(ril 10,859 1,978,9{,1 39,69'f 5,018,658
1,12,208
383,85.t
268,035
76,6331{,117
9,358
.15,:160
) q2R
,115,000
1,120,746
214,298
1t,798,3:9
7.19,.185
1,.155,1641
356,506.42r.311
2(r8,035
76,633il1i09,358
I0 -qx lrc)
356,506
129,314
268,03576,633
53,250
9.358
;l15.000
? 1-l))-LI
1,.155,160
(19,798,329)
(.115,000)
244,153 2,414"394
1,:155,1 6{)
1,488,.1081,.188,.t08
930,-t10 1,88,t,1.1.1 22,217,272 25,031,826 (1 -68) 6.551.i)58
1,021,035 1.132,515 (22"2{X:,413) (20,052,862) 20,052,8(t2
0ther Financiag Sources/ (Uses)Proceeds from salc of boncls
lJrxd discount
l)r',t..d. lr,,m ll,,nd anticiP:rtr,)n fl()t(lltprr mtnt,,f lrr,nJ,tnticip.rrr,,n notL
Rcpalmcnt ol dclckrper adr-anccs
Net Change in Fund BalancesChange in Net Position
I unJ ll.tl.tnc, \r t l),,:iri,,nReginnirg r;f thc r-car
End of the year
5s3.ii56 20.716,944
(.1'13,2.10)
I l, l-6,000(5,280,000)
(3.t,0ii0)
2'1,300,00i)
(113,240)
14,.176,000
(5,280,000)(34,000)
(21,300,000)ll1 rto
(14,.176,004,
r lRa) l)00
3,+,000
1,021,03-r 1,68r,572 7,2.9,291 9,965,898 (9,963.898)
11,532,.100) (1,532,.t00)
(9,441,132)764,760 )aFll)1 I liJ;-(l 1.199,652 (11.6+6.-8+)s 3,969,89,t $ 8,.113,861 S 14,165,550 S
Sce notcs t<; basic {inancirl saaac.ncrts.
l -R1 -ai
15
q /)i t-Lio.q)\ $,979 53
(l-l:i"t prtgt inlrnlir.,ra/11' lrft b/cnk)
I (r
Montgomery County Municipal Utility District lYo. 113Notes to Basic .Financial StatesnentsMay 31, 2015
Note 1 * Summary of Signi{icant Accounting Policies
Thc accounting poLicics r;f i\k:ntgomcn'Courtr h{unicipal UtiLiq,'I)istrict No. 113 (thc "I)isrrict")conform with accr;unring principles eener:llh' acccptcd in the Unircd Statcs of ;\merica as
promulgated br ;hs (lclcrnmertal ,'lccaunring Standards Roard. Thc follorving is a sur::man, cf thcm<,st :ignificanl policit s:
Creation
The District was orgaaized, created and estabLished pursuant to Senate Ri11 No. 1963 in rhe 80'h
Regular Session of the Texas Legislature, codified as Chapter 8212, Special District Local Larvs Code(the "Acr') datedJune 15,2807, in accordance rrithArticle 11I, Secrion 52and Article X\'1. Section59 of the Texas Coastitution and the -{ct. The tsoard of Dkectors held irs irst meeting on ;\ugust31,2AA7 , aad the first bonds rvere sold on l)ecemb er 23. 2010.
The District's primarr. activities include c()nstructi()n, maintenance and operation of rvastervater,drakage, toads, parks and recrcational facilities. The District has contracted rvirh r-aricus consuitanrsto prrivide scn'ices to operatt: and administer the affairs of the l)istrict. The l)istricr has noempk;vces, relate d par-rol1 or pclsion cr.rsts"
Reporting Entity
Tire l)istrict is a polirical subdir.isior"r of the State of Texas 5lor.erned b,v an elected fivc-mcmbcrboard. Thc Gor-ernmentai ,\ccounting Srandards Board has esrabLished thc criteria for determiningrvhether or not an endtr- is a primar\- qor,ernment or a component unit of a priman' g()\'rrnrncnr.The primary criteria a:e that it has a separatel-v elected gor.erning bod,r'; it is legallr sepa:ate; and ir isfiscaliv independent of other state and local governmerts. Under these criteria, the Disrrict isconsidered a primary gor-ernment aad is not a component uait of an-v other governmena.Additionally, no other enrities meet ahe criteria for inclusion in the District's fiaaacial statemenrs as
componeat units.
Govemment-Wide and Fund Financial Statements
(]or.ernment-wide financial s.a:ements displav information about the l)istrict as a rvhole. Thesestatements focus on the sustainabilj:r <;f the l)istrict as afl endry, and thc changc in ag4rcgarcfinanciai position re suldng lrom rhe acdvitics of rhe fiscal period. Jnterfund activin, if an--v, has beenren:r;r'cd irom these statemfnts. These agryega:cd statemrnfs consist of rhc SlaluNnl, o/-X$ Posilianand the .\' laluruent of' Actiritie"r.
Iund {rnancial statements displal information at the ir"rdiviclual fund ler.cl. A fund is a grouping ofrelated accounts rhat is used !c maintain ci ntrol oyer resources that have bcen segregatcd for a
spccific purpose. Ilach fund ts considered to be a separate accounting r:ntirr'. t{ost gor.etnmenrstlpicallr, hat e maa1, funds; holeve r, gorernmental financial statemelts locus on thr mosa ilnportafltor "maior" lunds u,ith ncn*major fun<ls aggregated in a single column. The District has three
Ilorernrnental funds, thich are all considered mair:r funds"
17
Mrsxtgomeq, Counry Municipal Utility llistrict Na. fi3I*lotes to Basic Financial StatememtsMay 31, 2015
Note 1 - Sumrnary of Significant Accounting Falicies (continued)
Goverrme*t-Wide and Fur:d Financial St*terr:ents (continued)
The fi;ihwing is a rle scription c;f thc various funds uscd bl the l)isrricr:
'fhe (lcfle{all_uld is uscd to acc()u1lt ior the r>pcratiixs of the l)isrnct's sewcr and elrainagc
-crsrcm and all othcr linancial transacrions not reported in rther Lunr1s. Tl"rc principai soutce-* r;frfy.nlle arrj pr{}pefiy taxes and scrvcr scn'iec fecs. }ixpcnclitures includc costs associatcd with theeiailv r:pcratir:ns <;f rhc llistrict.The llebl Seltiee-lurd is uscd to accounr lor the pa1'ment of intercst and principai on thcDi-ctricr's general long-term debt. The priman- source cf rer-enue for debt sen-icu is propcrtrtaxe-s. llxpenditr:res include costs incurred in asses-sing an<1 cr:l1ecrir:g the,se taxes.
The Capitai Prcjects Fund is used to acccunt for ti:e expenditures of boad proceeds for the
construction of the District's \tr/ater, sewer, drainage and road facilitie s.
,
a
a
;ls a special-purpose $l{rrernment engaged in a single gol-.rcfitntal program, thc l}istrict has cptedto combinc irs goreramcnt-wide and funcl financial statemrnts in a columnar format showing an
adjustments c*lumn fi;r rcconciling items betrveea rhe nr.o.
Measareme::t Fqrc*s and Basis of Accounting
The governmcnt-rvide financial saa:emerts use thc cconcmic rcsourccs measuremcilt tocus and the
accrual basis cf accounting. Revc:rucs are recordcd rvh*n earn*d and expenses are reco:ded rvhen a
liabilin' is incurrcd, regardlcss of the timir:g of rhe relared cash llorvs. Propertl' taxe s are recognizedas reyt:nuc in the v*ar lor whicl': thev arc lcvied.
The fund Snancial statemcnts are reported using ahe current financ.ia1 rcsources measurement focus
and the modified accrual basis ol accounting. Revenue is recognized ir: the accounting period inrvhich it L:ecarnes borh available and measurable to fir:ance erpenditures of the curreflt period. Irorthis purpose, the gcl-ernmert considers reyenues ti: l:e ar-ailable if ther are collected within sixwdar-s of the end of the current {rscal period. Rereaues susceprible to accrual include p:opert\. taxes,
interest earned on investrnents and income from District operations. Prope:tv tares leceir.,able at the
end of the fiscal yr.ar ^re
treated as deferred inflox's because thev are not considered ar.ailabie to pa\-
liabilities of the current period. Ilxpenditurcs arc rccognizcd in :he accounting period i:r which the
liabilin is incurred. if measurable, except for unmatured interest on 1or:g term debt, rvhich isrecognized rvhen due.
Fiote 2 further details the adjustrnents from the golernmental fund presentation to the gol,erflmentrvide preseltation.
LJse of Restricted Resources
When both restricted and unrestdcted resources are alailablc for usc, rhe l)istrict uses restricredre-courccs first, thrn unrestricted res{lurccs as thcv are needcei.
i8
Montgome4, Coanty Municipal Utikty Disrrtct No. 113I{rstes to Basic Financial StatementsMa.v 31, 2015
Note l" - Summary of Signi{icar:t Accounting Policies (conrinued)
Prepaid ftems
(-ertaia parmcnts made br- thc l]istricr reflect costs applicable to future accounting pericds and arcrecr;rded as prepaid items in borh thc go\-ernmenr-w-idc and fr:nd {inancial statemenrs.
Receivables
r\11 receir"ables are rcpr;rted at thei: gross r-alue and, x,hclc appropriatc, arc rcduced br thc esrimaredpottion that is expcctcd to be uncollcctible.,\r i\Iar.31,2015, an allorvarce for uncr;ilectibleaccousts was not considered necessara-.
Interfund Activity
During thc course of opcrations, traflsacticns occur benveen individual funds. This can inclucleinternal :ransfers, pavables and receir-ablcs. This acti\-itt is combiaed as inrcrnal balances and iseliminatcd in borh the gor-ernment-wide and fund financial strtcmcnt prcse nrali()n.
Capital Assets
Capital assets, rvhich primariiv ccnsist of iafrasrrucrure (i.e., wastt:water, drainage a::d road faciliries)and parks ancl recreatjonal faciLirifs, are reported in the Eloyernment*r.vide financial starements. TheDistrict defines capital assets as assets rvith aa initial cost ol $5,000 or more and an csrimared usefullile in excess of one vear. Capital assets are recorded at historical ccst cr estimated historical cost.I)onated capital asstts are recorded at the estimatcd fair marker value at the date of donation. ThelJistrict has not capi:alized iaterest incurred during the construcrion of its capital assets. "l'he costs ofnormal maintenance and repairs that do lot add to the lalue of the asscts or materiallv cxtcnd assetlivcs arc not capitalizcd.
Capital assets are deprcciatcd using the s:raight-line method as follorvs;
Assets Uselul l-ifeSewer ar:d drainagf sl-stems
RoadsParks and recrearional faciliries
.15 r.ears20 1.s21"
l[J-20 r'ears
Deferred lnflows and Outflows of Financial Resources
A de{erred ir-rfli:rv of financial resources is rhe acquisition of resources in one period tha; isappiicabie to a future period, rvhile a deferred outflow of financial tesources is the consumprion offinancial resources in cne period that is applicablc to a future period. A deferred infk;rv resulrs fromthe acquisitica of an asset without a coresponding revenue or assulnprion of a Liabiliq-. ,\ deferredoutflow results from the use of atr asset rvithour a co:respondine expcnrliture or rccluction of a
liabi1in..
79
Mcntgomer,v County Municipal Utility l)lstrict 7{o. 113
Notes to Sasic Financial StatementsMay 31, 2015
Ncte 1 * Summary of Significant Accounting Policies (continued)
Deferred Infl*ws and Outflows of Iinancial Resources (continued)
At the lund 1evci, pr{.}pefiy raxes rcceivable not cr;llccted within 60 davs cf Itscal r-ear cnd do notmcct the availabilin' criteria required lilrr rcr enuc ruc(,gnition ancl are recorded as de ferrcd inflorvs offir:aacial resources.
Fund Balances * Gover*rnentai Funds
(lorernmrnral acccr:arin.q standalds establish the foilowing funrl balance classiiic;Ltrons;
|ionspcndable - amounts rhat canooa l:c spcnt cirher becausc thev are i* nonspendable form orbecause rher" are lcgallr. {.), contractualh' ruquired t{} bc maintaine d intact. The District'snonspcndablc fund balancc cr:nsists of prcpaid itetns.
Restrictccl , amcunts that can be spcr:t ixlv for specific pur?oses because cf consdrutionalprovisions or enabling lcgislaticn or L:ecause of constraints that are extcrnailr' imposed bv creditor.c,
llranrors, contributors, or the laws or regula;ions of othcr iloyernments. The llistict's :estrictedfund balances consist r;f unspeat br,:nd proceeds in thc Capitai Projects l;und ard propcrtr taxes
levied fcrr debt scn'ice in the Debt Scn'ice Fund.
Committed * amount"q thar can be used only for specific purposes determrned by a fi;rmal action ofthc l]oard of l)irecro:s. The lJoard is the highest level of decision-making authorin' firr the Disrric.(lonmitments mav be established, modified, or rescinded onlv tl'rrough ordinances cr re.colutiorsapprcved bv the Bcard. Commirted fuad balancc also incorporates contractual r:bligatiors to thcextclrt that eristing resources in the fund have bren specificalh'committed for use in sa;isfi,ing thosrcontractual requirements. The lJistrict does nr;t have an1' committcd fund balanccs.
,\ssigned - amouflts tha: do *ot mt:ea the criteria to be classified as restricted or committed brt thatare intended ro be usecl for spccific pury{isrs. The l}istrict has nor adoptcd a formal policv regardrngthe assignment of fund f-ialances and does not har-e anl assigned fund balance s.
Unassigned - all other spcnrlabie amounts ia the General liund and deficir balanccs in other funds.
When an expenditure is incurred fcr rvhicl'r committed, assigned, or u*assigaed fund balances are
availal;le, the District considers arnounts tc have becn spent f:rst out of cr;mmitted funds, thenassigned fuads, and final-ll unassigned funds.
2A
Mrsntgomery County Municipal Urility Oistrict No. 113l$otes to Basic Financial StatetnefitsMay 31, 2015
Nnte 1 * Summary af Signi{icant Accoundng Pcliciss (continued)
Use of Estimates
The preparation of financial statcrxcnts ia confirrrnin. with generalll acccpred accountlng principlesrequires management to make cstimate s and assumptions that affect the reporred arnounts of assrrsand Liabi[tie s, the disclosure oi ccrrtingent as.sets and liabilitie s at the date of the financial statements,and ter-enues and expenses/expenditures during the period reported. These estimates include,among others, the collectibiliti- of receivables; the useful lir-es and impairment of capital assets; ther-a1ue of amounts due to devetropers and the value of capital assets for rvhich the developers har-e no,been fuilt reimbursed. Estimates and assumptions are revieled periodicalll aad the effects ofrertsions are reflected in the ftnanciai statements in the period the\, are determined to be necessan..Actual results could differ from the estimares.
21
Monrgomery County Municipal Utility District No. 113hkstes to Basic Finaneiai StatementsMay 31, 2015
Note 2 * Adjustment frorn Governmental to Governrnent-wide Basis
Rectrncilia:ion olthe Governrnental .Funds Bala*ce Slteet to the Statement rsf Net Position
'foral iu*ri balancc, g()r-crnl"l-lcntal funcls $ 1,1"165,55()
IItIIIIIT
ItItT
IIItI
Capiial assrrs useri in gr;r'crnn:enta1 actir-itics arc ilr.lt financial resoxrccs and,
rhere i<>re , alr n(,t rcported as assets in gorcrnnental funris.
llistorical cosr
1-ess accunulaicd dcprcciadon{ihangc due to capital asscts
Long-term habiliries are not rluc and palable in the currcnt period and,
rherefore, are aor rep<;rred as liabilities in rhe g<>rernmental funds. Thcdif{brence corsisrs of:
Bor:ds paral:le, r:et
Bord anricipaai{xl il{xcr par:ablc
lnteres! palable
Changc dur: to k;ng-tcrm debr
Amounts rluc tr; rhc ]-)istrict's devcloper frrr prr:fundcd cr;nstrucrion a.rd
<;peradng arlr-arccs arc rect;r*erl as a liabi.lirv lnthc 5tu;ltl?/nl rtl'Xd jltttilian
Prrpcr&'taxes receirlrblc and rrlatcd pcnakics anrl intcrcst havc been lclicdand are duc, br:t iirc fi()r availablc sor>n cn<iugh r() pa1' cllrrcnt perir:d
expcnditure s anrl, thcre fi;rc) are dcfcrrccl in thc funds"
Proper&' raxes rcceitablcPenaln- and intcrcst receirable
C1'rangc duc to pr(,,pcrfy taxes
Tr;tal net pr;sition - g()1'ern:rlefltal actir.itics
s 4r,rt)1,932(4,r12,153)
(.+'t,076,t)88)
(1-1,,176,000)
(51 6,3 10)
64,366
8,823
45 -l1i 1:r)
(59,0(r8,398)
(11.575.65t,
73,18'
S fln070 il2r
22
Montgomeryl Counq/ Municipal Utility District IVo" 113A/o/es ro Basic Financial StaternefitsMa;,31, 2075
Note 2 * Adj;stment from Governmental to Government-wide Basis (crintinued)
Reconciliation of tlte Governmental Funds Statement of Revenues, Expenditures and Changesip Fcnd Balafices to tlte Statement of Actirities
Nct change in funrl balances - rotal grx-crnmeatai funrls
(iovcrnmental lunrls r1c nr>t reilorf r.\'enues that are not iivailable to parcurrrnt r;bligatir;ns. ]r: cr>ntrast. such rcvcnues are rep{)rterl in r}re .f tattru,tt/o.f';lrtiitits u-hen eamrd. The difletence is *;r px)perr1- raxes and relatedpcnalrics and intercst.
(lor-crnmcntal lunds rrp{}rt capiral outlal-s frrr der-ek>per reimbursemenrsand ccnstrucdon c{}sts as expendirures in the funds; hou'cver, in thcSlolurestl afActit.,ities, the cost of capital assers is charged to expensr rtler rherstimatcd usefui life of the asse t.
Capiral outlarsDeprcciation expense
The issuancc r;f long-tern:r dcbt plx.ides current financial res.rurces t()gorernmental funds, u.hile thc rcparment of principal uses currenr financialre-s()urces. Ho$.el'cr, neither transacri{)n has anr- e Ffect ,rn ncr asscts. ()thcrelcn-rents of debt linancing are reportcd differentll betu.cen the fund ancl
g()vernmert u.ide slatements.
ls,suance of lor:rg tcrm debtProceeds from issuance rif boncl anticipation notc11t;nd discountPrincipai parmenas
Repar-ment of bond andciparion n{xelntetest expense accrual
Amounts rcpaid to the I)istrict's der.eloper for opetating adr-ances providefinancial res{)urces at the fund level. but are rccorded as a liabiLin.in theJ ta le ruer I of' li d Po.ritio a.
Change in nct posirion of gor-ernrncntal actirirics
S 1 q -98 1?q
(1,.'88,,1i18)
s 9,965.898
r I i2-1
18,309,921
(29,893,113)
3.t.000
(21"300,000)
(14,476,000)
143,240,t15,000
5,280,000i?ii c)R1\
S 1,532,
21
Montgomery County Municipal Utility llissrict }fo. 113
Notes to flasic Financial StatementsMay 31, 2015
Note 3 * Deposits and Investrnents
Deposit Custodial Credit Risk
Custodial credit risk as ir applies to deposits (i.e. cash an<i certifica:es of deposit) is thc risk that, inthc cvent of the lailurc of the dcpositorr instituti,rn, e g()\-ernment will not be able to rcccr-er itsclcposirs or will not be able :o xcc{;r'cr collateral securirie-c. The Palt/ic };and.r Callcsrro/ ,\rt {t,bapter2257"Ttxzs (lovcrnmert {-odc) rcquires that all of :he l}istrict's rlcpr;sirs with financial instirutic;nsbe cor-ered br" fcdcral depositorl, insuraace and, if necessarr-, plcelgcd collateral hekl bv a third parrvcustodian. Thc acr furthcr spccifie s the tr-pcs , ,f st'curirics that can be uscd as collateral. ThcI)istrict's rvri*cn investment policl establislrcs addidonal requircmcnts for coilatcralization erl
deposits.
lnvestments
The District is authcrizcd bv the Pab/icliand,r Inyulnxnl Arr {{"l-rapter 22's(:,Trxas (lr;vernmcnt Codc)
to inycst in :he iollowing: {1) i;bligations rif the Uni:cd Starus or its arlcncics anrl instrumcntalides,(2) direct c;bligations of the State oi Tcxas c;r its agencies and instrumenralities, (3) ccrtaincollatcralized mortgagc ribLigations, {r}) othr:r obligations, rvhich are unconditionallv guarantced orinsurcd bt. the State ol Texas or the Unitcd States or its nlrcncies or inslrumel.aliries, incluriingobligations that are {ullv guaranteed or insurcd bt' the l,ederai Deposir Insurance Corporation or bv
the cxpliclt full fairh and credit of the l-lnited States, (5) certain ..1 rated r:r higher obligations ofstates and polirical subdivisions of anv statc, (6) i:onds issued, assumcd {}r suaraflteed L;r- the State of}srae1, (7) insurcd or ccllateralized cerdficates of deposit, (8) certain fu1lt' collateralized repurchaseagrcemenrs. (9) bankcrs' acceprances :vith tmitarions, (i0) commercial paper rated ,\-1 or P-1 r:rlrigher and a maturitv of 270 days cr 1ess, (11) nr:-1cad money market muaual funrls and no-loadrnutual funds, rvith 1ir:ritatior-rs, (12) ce:tain guaranteed inrestmcnr c{}ntracas, (13) certain qualiiied
l{or-ernmental iavestment pc;ols ancl (1rl) a qualificd securities lending program.
The l)istrict has adopted a :l,rittea i.nlestmert poiicv to establish the principlts br' t'hich theDistrict's in\iesamcot program shi;uld be n:ana5;cd. This policv further rcstricts the npcs ofinr.estmenrs in rvhich the Dis:rict rrlay inve st.
As c;f llai- 31, 2015, the l)istrict's investments coasist of the firlkrrvirg:
I;undCarn ing
Yalue
Ccrtificates of dcpo-.ir GeneralDebt Sen-ice
S 1,,1,11,611
The l)istrict's invcstrnents in cerdficates of deposit are stated aa cost, rvhich approrimates fair value.
T'l-p.s 396,858
1,0;1,1,813
24
Montgomerv County Municipal Utitity l)istricr No. 113It{otes ta Basic Financial StatementsMay 31,2015
Note 4 - Amounts l)ue to/from Other Funds
;\r-t-touats duc to/from orher funds at h{ar, 31,2{}13, consist of rhc follou.in{r:
lr"rrerfund
Rcccilable Par-able
Geleral FundDebt Sen-ice lrund 6,350
$ 6,350 $
s 6,350 S 6,350
:\mounts teported as due toffrom betrveen lunds are considered temporat loals needed iirrnormal operations and u,'ill bc rcpaid during the folbwing fiscai vear.
Note5-CapitalAssets
a summafl' oI changcs in capiral asse ts, ior the r ear ende d i{av 31, 2015, firllolvs:
ReginningSalance s .,\dditions Retirements
EndingRalances
Capital asscts n()i being depreciatedl-and and imprr;r-cments{lonstr-rctior: in progress
Capital assets being depreciatedSewer and rlrainage srsternsRoadsParks and recreational lacilides
Less accumulated deprecratt<;n
Seu,er and drainage sl-stemsRciads
Patks and tecreational facilidcs
$ 298,499 S
659,11568.{).1{) S 366,139
185,147$
73 1
957 "244
f;8,040 851,886
27 ,3(t1,2728,445,9392,583,568
7ll?-n;3,342,620
34,713,9191 1,788,5592,583,568
3i,i-J(){r.- I () 10,-55,327 49,146,046
(1,609.3,15)
(1,1 88,1 59)
(779,414)(58U,537)
28,4
r2 3RR -rr)t\-._ '. "-/(1,168,696)
111,6986,211
Subtotal depreciable capital asscts, net
Capiral 253sf-*, ret
I)epreciation cxpcnsc for the current year was S1,488,408.
S 35,26,ir,21B S 9,334,959 $ (173,398) S 45,425,779
,.)
Montgomery County Municipal Utilit;, Districr No. 113
Nestes to Basic -?i*ancial StatementsMay 31, 2015
Note 5 * Capital Assets (continued)
ln addition, the l)istrict has the follou,rng contractual commitments lor constluction projtcts
Contract,\mount
AmountsPaiti
Remaining(lorrrmitmr:nt
liish Creck Thoroughiare, cr;ss*'aik, turn lanes and
signal
I)rainage facilitics t() scl1-e 1&,ix;dforcst rlctcntion pond
ilcgnning balance
Amount borri;*,erlImount repaidEnding baiance
s 51 1,746 S .+19,958 S 91,j88
319,93{} 3.19,r30S 8(11,(116 S ,119.958 S .l-11,718
Nerte 6 * Bond A*ticipation l{o.e
The l)istrict Lrscs a bcad anticipation note (lJ.\lii) to prolirlc short term finarcing forreimbur.cerncilts to its developer for constfuction r:f capital improvcments. l)espite its short termnaturc, a R:\i{ is aot rccorded as a fund liabrlirv, sinec it x.,ill *r;t bc rcpaid from current financialr.sourccs and rvill bc r*paicl through the issuance of lcng term rlebt or an{ither R;\i{. It is, horver-et,reccrded as a liabilir xr thc government r.vide ler-cl.
,\t the beginning cf the fisca1 r'ear, the District had a R'\lJ outstanding in the amount of 55,28{1,000.
This BalJ rvas repairl on Septer:rber 1,?{}ll wirh pr*ceeds from rhc issuarce of rhe l}rstrict's Series
201,1 Unlirnited Tax lloads.
On December 17,2i11,1, rhc llisrrict issued a S14,,17(;,{}[i0 BAN with an irteresi rate of ].08!.'r,, rvhichis due or Decembcr 16,2015. ;ls discussed in l'iote 13, the District rr,ill repay this i};\i'l withproceeds from the issuance r;f rts Scries 2015 ualimited tax bonds.
The effects of these tralsacticn,c $n the llisrricr's short fcrm obligation,s are as lollorvs
s 5.28i),0ilii14,.tr76,000
r5 2R(l 000\'_'--''''_7
s 1.1,476,0iX1
Note 7 * Due to Developers
The District has cntcrcd into fina::cing agreemenrs *,irh its elcr.clopcrs fi;r the flnancing of theconstrucaion of rvafcr, sewer, drainage , park, recreaticnal and road facilities. Under the agreements,the developers will advarcc funds inr the construction of facilities to scn:c the lfistrict. Theder.elopers rvill bc reimburscd from prr;ceeds cf future bond issues or ()thcr larvfully ayailable funds,subiect to appro\.al bv T(ilr.Q (as requirecl). The District does not record the capital asset and relatedIiabiliry or the governmcrt rvide statements untii construction of the faciLitie s is complete.
The District's developers hale also advanced funds to ahe l)istrict for operadng expcnses
2{\
Montgomery County Municipal Utility Disrtct lr{n. 713Nctres * Basic Financial SraternentsMay 31,2015
Note 7 - Due to Developers {continued)
Changes in amounts due to developers during thc r-ear are as follr;rvs
llue to der-e1t;pers, beginnilg of learller-eioper reimbursementsI)er-eloper lunded con,strucdon and arlius tmentsRepar-ment of developcr adr-ances
l)ue tr; derreir>pers, cnrl cf r-ear
CrutractAmount
Pine Island at liToodlore st Se ctkrn I. seu,er and
drainage
Wood{orest Section 57 - scrrcr and drainageBonterra at Wsxldf(xest Section 2 * seu'er and
clrainage
\\'ooclforest Central Pine Street - seu,cr and
drainage\X/oodfr;rest Cearal Pine Street - roacl
lleerbourne Ridge llrive to Woodlorest Scction 57
- roadWoodforest Section 55 - seu.er and draina::eWor;dfrrrest Sectir>n 58 - scg,er and drainase$7ood{iire st Lift Station No. ,1
Woodf<rrest Secticn 59 - seg,er and draiaageWor>dirxesr Parkrrar- South Extension - seu,cr and
drainageBonterra at Wri<;dforest Scctiofl 2 collector toads
Pine Island at !(/oodforest Section 2 sex.cr and
drainageBoaterra ar \{/or>dlorest , land.*capingWo<;dforest Scction 63 - ses.cr and drainageWoodfixest Trails - 2015Central Pine Strcet - se\irer and drainage
\trirodfore s t Parkv,ay So uth ]\tcn sion ftVood lore -s tSection 53 to lrish Creek Thoroughfare) and FishCteck Improlcrnenas - road
q .o 7iR ()1 1
(18.759,(,18)
9,611.25{}
(3.+,000)q ll i7(^<,
ln addition, the l)istric. will olve the der-elopers approximateiy 912,79r,10(; rvhich is includcd in thefollowing schedule of c{}nuacaual comrnitments. The exact amounr is not knot'n undl appr(}vcd b,v
the TCI.Q and auditcd br the District's auditor. As prcliouslr. noted, rhesc projects nill bc rcportedin the g{lrcrnment-wide linancial staaemerts upon complet.ion of constr*ction.
ArnountsPaid
RemainlngComr-rritment
S 1,098,176 S (;3'|,1)5.tr S 161,122
1R{ ) tlq ?
2 031130
247,887
350,058
.150,540
943,693138,439421,893)-11 )ct)
,{.x),4}l}l)
441,8{}7
1 ,77 8,37 6
387,965503,(;5(r.154,98,+
612"850
1,140,468
1,637 ,91(t
1 15,157
\7) \))109,303
378,951
142,541
380,992395,114
I i? -10
350,058
450,540
r-l 1-1
2{},L36.+21,893
7")7 )())
900,i,)00
{:2,856
1,778,376
215.421,
503,656,+54,984
692,830
1,140,468
5 12"792,106 5 3.3ru,2-+- S 9,401,859
27
Mrs*tgomery Crsunry, Municipal Urility llisr$ct No. 113
JVores to llasic -Financia| StatementsMay 31, 281.5
NcteS-Long-TermDebt
I-ong rern debt is comprised of the follorving:
Bonds parableUlamortized discounrs
llue rr,ithin ()ilc \ ear
S ,1,5,035,0111)
r()ix q 1 ?,\.-""\- --/$ 4.1,076,t)88
s 1,110.000
Tl're District's bonds palable at }lar 31,2015, cr;nsists of unlimitcd tar boads as follorvs:
Scrics
Amounts()utstanding
( )riginal
lssue
I ntcrestitr ates
hlaturiry l)ate,i\r111ll\.
Bt;nnning/Enciing
I ntercstPar.n:e nt
Dates
Call
Datcs
201{l
2011 Rriad
2{}12
2{}12 Road
2013
2013 Road
2014
2014 Roael
$ 3,535,00{]
3,435.0tX1
1,6r5"i.101)
3,615,000
5,805,000
5,65il,txiti
17,200,000
4,101),il0l,
s 3.700,ti0ti
3,590,{100
i,7(r5,00i)
3."i)0,|il)0
5,r33,000
5.{r50"0{-it)
17,2i)0,01)0
4,1{ii},{il}ii
4"{}(}"/a to 6.25u,4:
3.50% to 6.llll(fiir
3.0ti% to 5.LlLl'f i
2.5t)0,lt to 4.20t1/o
2.50'lta t<; 5.i10'%
3.{J(}'),'o to 5.1i0'%
2.$tf/o to 4.01)%
2 "{}{}tl, t: * t 1.{X}'/a
Scpternber 1,
2013 - 2035
Septcmbcrr 1,
2413 - 2$35
Scptember 1,
2413 - 2436
Septernbcr 1,
2414 - 2036
Septcmbcr 1,
2411 - 2t|31
Seprember 1,
2')15 - 2{.}3i
September 1,
2{)15 - 2438
Scprcmber 1,
2{}15 - 2038
llarch 1,
Scprembcr 1
hlarch 1.
Scpteml;er 1
I{arch 1,
Scprernber 1
Ilarch 1,
Seprernber 1
ltarch 1,
Septembcr 1
Xlarch 1,
September 1
llarch 1,
Seprcmbcr 1
5farch 1,
Septcmber 1
Scpte mber 1.
2{i18
Sepre rnl:er 1,
2{.}18
September 1,
2419
Scpternber 1,
2{}19
September 1.
2421
$cptember 1,
2421
September 1,
2{}22
September 1,
2422
s 45,035,000
Payments of principal and interest on ali series of bonds are .o be pror-ided lrom taxes levied r;n allproperties withir t1":e District. Ir:vesrmert iocome rcalized by the llcbt Senice Fund frominvestmenl o{ idle funds urill be used to par' ourstanding i:ond principai and interest. The District is
in compliance rvith :he terms of its bond lesoludcns.
Ar N{ar 31,2075, rhe l}isrrict haci authorized but unissued boads ia thc amour. of St+t,6ztt,t)00 forwater, sewer and drainage facllitres; S3i),360,000 lor road impror.ements and S16,4,15,00ii for park andrecreational facili:ies.
28
Montgomery Co*nty Municipal Utiliry District b{o. 113Atroles to Basic Financial StatemefitsMay 31,2015
Note I - Long-Term Debt (continued)
()n Septembcr'1, 201;1, thc l)istrict issucd its 517,20{1,000 Series 2{11.1 Unihlred Tax Ronds at a ncrcflecdvc iaterest ratc of 3.8G19{)(r2t:/o tr; (1) rcimburse the developers for rhc cosl r;f capital assctsconstructed rvithin the District plus intcrest cxpense at thc net e ffectirc intercst tatc rt{ the bonds;(21 to rrpav a $5,280,000 Rr\N issued in the prer-ious fiscal r-ear and (3) to construcr Phase I o{ a
prrmancnl xvastfwatef treatment plant to ser1'e the llistr:ict.
Oa Octr;bcr 7f ,2A14. the lli,srricr issued its S.1,100,000 Serics 201;i Unlimired'Iax Road Bonds ar aner cffective intcre st rate of 3.652500% to (1) reimbursc the der-eiopcrs ft:: the cosr of capital asscrscc.,nstructed within thc l)istrict plus intere st rrpcnse at the aer e ffective intcre -st ratc of ti:e boncls.
Thc change in thc District's long term debr during the r car is as follows
ilonds pavable. beginning of r-ear
3r;nds issued
Bonds rerired[3,,rtrl: Prt able. t rtd ,,I r t'ar
24,150,000
21,3{10,000
('! 15,000)
S ,15,035.000
S
2q
Montgomery* County Municipal {lriliry,I}istricr No. 113
fitrores to Basic -Financial StatementsMay 31, 2015
I{ote I * L*ng*Terrn Debt (continued)
,\s of Llar'31,2{)15, annual dcbt sen-ice requiremcnts on bonds outstanding are as follox,-*:
Ye ar al lntcrcst Totals
2t)16
2$17
2()18
2{}19
242{)
2{}21
2422
2{.}23
2t)21
2t]25
282$
2027
2028
2029
2{}3{}
2031
2{}32
2{}33
2tt34
2{}33
2436
2t,3:2038
2{}i,
1,11i),0{i0
1,1.+{l.l}0{}
1,2{}t},0{i{.)
I )i: r ){ }f)
1,315,0{l{i
1,38(i,()lii,)
t,rlrl5,{i001.52{).{)00
1.615,{X.X}
1,69{}.tX}0
1,7;3.{i0{j1,855,illi{)
1,r55"00r)
2"1)60,iliJ{)
2,160.0{lil? )*(l ()(r(i
2,395,01I{l2 i-)fi 0()(r
2,635,{l{i0
2,78{},ii0i}
2"925,0{.r{}
2,465,{}0t}
2,165,0{}ll
1,415,{t0t)
SS 5 1,7,18,3,.9
1,719,46(t
1.689.,11(r
1,65i .1961,622"807
1,585,{}1 1
1,539.816
1,48{:,991
1.,13{},208
1,36r,33{}
1.304,116
1,2y,.92{'1,160,123
1,{}8{},,162
993,862
9tlil,546199"133
690.2S5
575,216
453,013\// 1
243,Q{)1ti3,950
28,3{10
$ 2s,699,800
2.858,578
2,859,.16(r
2.889,416
2.912,4r62 q17 H( J-
2,9{)5,1}11
2,{}84,816
3,0{16,994
3,035,208
3,05r,3391 (r-() I -1,
3,{)89,820
1 I 1l -nl3,74{},462
3,153,8(r2
3,170,5.1(;
3.194,133
3,210,285
3,214,21(t
3"233,t)13
2,668"426
2.268,954
1,11,13,300
S 'l5,il3s,ll0li S 70,13,1,800
Note9-PropertyTaxes
On N{av 1U, 20{i8, the voters of the l}isrrict authorized the l)istrict's Roard of l}irectors to 1er-r-
taxes annuallr' for use in Snancing gcneral operation,r limited to $1.25 per $100 of assessed value,
and rse in financing the maintroancc of rr:ad faciliries, limited to ${).25 per 510{} of asscssed value.
The llistricr's bond resoiudons require that propertl' taxfs bc lcvied for use ia paving interest an<l
principal r:n long-term debt ald fr:r use in pa,t'ing the cr:st of asse-csing anrl collecting raxes. Tares
levicd to frnancc debt sen'ice requirements on k:ng-term debt are without Limitruon as to ratc oramouflt.
30
Montgomeq/ Countlr Mu*icipal Utikty Distrlct AIo" 113h{ores to Basic Financial StatementsMa1,31, 2015
Note 9 * Property Taxes (continued)
,\11 properrv values and exempt status, if anr", arc determired bv the h{ontgomefi, Cr:untr- Ccntral;\ppraisal Di-srricr. .Lsst-qsed r-alues are dcielmined as of Januan' 1 of each l'far, ar rvhich rime a taxlien attaches to thc related property. Taxcs are ler-ied around October/Novcmber, are due uponreceipt and arc dclinquent rhc fol1ox,.ing lrebruan, 1. ])enaltv and interest attach t}:ereaiter.
Propeltr taxes are collected bascd on rates adr;pted in rhe vcar of rhe 1er1.. The l)istrict's 2{115 iiscalycar was financed thrcugh the 2il1:l tax ler-\., pursuant to which the lJistrict 1er-ied propertl. rare s ofS1.12 per $iOil of assesscd valuc, of rvhich 50.28 rvas allocatcd to maintenance and operatit;ns, $0.6{)rvas allocafed to watet, scwer and drainage debt senicc and $0.211 was allocated to road dcbt sen-icc.Thc re sulting tax 1er: rvas 5.1,033,,183 on the adlusted raxable value of 5360,132,,155.
Properr. taxcs rccr:ir.ab1e, at }Iar,31,2{i15, consisred oL the following:
(,urrent lcar taxes receivable
Pririr veats taxes receilablcS 60,s67
3.199
Pcnaltv and intercst receirable1)triperfi raxcs receivable
64,3(t6
I R21
s 73,189
Note 10 - Strategic Partnership Agreement
Lffectivc September 23, 2t){}8, the lfistrict and the City of Conroe {rhe "(iitr,") entered inro a
Strategic Partncrship .\greemcnt under which the Citr. may anncx the l)i,crrict for [mired purposes.The Distric. continues (1) to erercisr all porvers and functions of a municipal utilitl, distri* ar.d {2}to provide certain senices described in the agreement, and the Citr agrees to remir one half oi allrctail sales rax collected from retailers located rrithin the District's boundaries. The Cia,has noa \:etannexed the l)istrict for limited pur?ose-c. -\ccordingl,\,, the Ci:v has not 1.er imposed a sales tax iathe l)istrict ald therefcre, nc rebate rvas due or paid.
The Cit,v agrees rhat it wili not annex a1l or par of the llistrict during rhe inirial ten 1,far term of thisagtcemerl. The l)istrict rvill bc conr-elted ta full pu:pose anncsarir)n up()n rhe earlier of thefollorving dates: (1) the date on rvhich all debt of rhe District tha: is pavable lrom ad valorem tares isfullv paid and the l)isrrict has fulh' reimbursed the developer within the Disrrict in accr rdance withanr r-l'ritten reimbursement agreemen: or (2) l)ecembcr 31,2{i37. On rhe fuli puryr)sc anncxationdare the land included rvithin the boundaries oi the Disrrict shall be deemed to be within rhe lullpuryose boundan limirs r;f the {-itv without the need for anr- further acrio*. Upon such date allraxable properly within the terrirofl' of thc l)isrrict shali bercome subject :o ad valorem taxarion bvthe Ciry.
31
Mcsntgomery County Municipai {ltitly District tr/o. 113
Atrotes to flasic Financial StateffientsMay 31, 2015
Note L0 * Strategic Partnership Agreernent (continued)
tf debt of rhe llistrict remains outstanding on the full purpose annexauon conversion date or if thellistrict has :rot fullr. reimbursed anl. devek;per x.ithin rhe Districr in accr:rdance rv:th an! :l.rittenreiml'ir.rrsement agreerncnt, then the l)isrict sha11 become a "Limitcd di-ctrict". The "limired disrict"shall be krorvn as h{ontgomen Utilitv l)isrrict No. 113 and shal1 continue &rr a.erm through theearLicr of ten additional years or all outstanding dcbr has bcc* fullr' paie1. The por.vers c,i rhe "limitedclistricr" are restrictcd to rhe ler'l" aad collection of ad vak;rem taxcs sufficient tc meet theout:tlnding r.,lt'bt scn icc rt tluircmt nt:.
Thc (-in mav ertend the c:;istence r;f the "limitcd district" fcr succe ssive ten :'car acrms filr so longas ary debt of thc "limited clistrict" remains. 'Ihc "limitrd district" ct?lscs to exist 60 dar s after all
debr is paid and dtlc to all assers and improvcmunts r-e sts in rhr {lin-.
I{ote 11- Watev Supply Agreemert
il{SIrC }interpriscs ("h.ISEC"), supplies rvater to lJisricr rrsidents pursuant to an aglccmcnt rvirhrhe District's del-eloper. h{Sli{l owns, co*srruct-c, (}prrates and maintaias rhc watcr supplv ,rnd lvatt:rdistributbn svstems that sr:n c residents :vithin rhc l)istrict. The l)isrrict's deleiopcr has comtnittcdto pay a1l capital conncction fues, which mal be reimbxrsed 1-;t' the llistrict.
The l)isrrict is responsible &;r rhc design and construction of thc wastcwater treatment faciltiesrvirhin the Di-ctricr. Thc District has contractcd tith 5131::(-, rvhich can bc terminated, to operate thesystem on behalf of :he Disrrict. lISllC bi1ls customers residing lvithin the l)isrrict for se*,et scn'icebased on rate s set b,v the lJistrict in its rate r;rder and rvill remit collections to the lJistrict. As r:f i\{ar"
31,2015, XfSIiC had s+u,il: collcctcrl bu::ot yet remitteei ro thc llistrict.
Note 12 - Risk Management
The l)istrict is exposed tei r.aricus risks of loss related t{} torts: the ft of, damage to and dcsrructir:nof assets; errors and omissions; and personal iajuries. The risk cf lcs.o is c<;verecl bv commercialinsurance. Therc have been nr; significant reductit.rns in insurAncu c()\-eragc lrom the pririr r-ear.
Settlement amounts have not cxceeded insurancc c( )\'crarc for rhc cufreoa vear or the three pricrYeafs.
Note 13 * Subseq*ent Event
()n August 17,2015, the District apprr:r-ee1 the Preliminary ()fficial Statemca: and l'iotice of Sale torirs Series 2015 Unlimited Tax llonds in the amount of $2,1,91O,{Xi(.}. Prr:ceeds of the br;nds will be
used to reimburse the District's der"cloper for irfrastructurc improlcmunts in the District and torepal the District's $1,+,r176,0{10 B,\N.
32
Required Supplementary Information
33
Mortgomery County Municipal Utility l)istrict No. 113
Required Supplementary In{oattation - Budgetaq, Comparison Schedule - General FundFrsr the Year Ended .hfay 3tr, 201.5
OriginalBurig*t
FinalBudget Actuai
YarianccIrq;sitivc
(Negatilc)Rel'enuesServcr scn-icePropcrn'tarcsTap cr;nnectirin and ir:spectiri*hliscc]laneou-nInr-estme*t earnings
Tr)ta1 Rer-elruc-c
Expenditu:esCurrent scn-icc opcratir;ns
1)rofes.sional fecs
Conrractcd ser:-ice-o
Ii"epairs and maintenar:crUriLidr:sAclministratirr()ther
'li;ial i-rxpeaditures
Revenues Over Expenditures
Fund EalanceBeginning of the r-ear
End of the year
55ti,000 $
53{},{ii}07;,00{}
550,{)00 s987,378
73,000
732,1{}5 5
997"3062*1.4+3
11,,4322 ()i()
182.3{.}5() () ]R
132"443llll?
2,"bq
$
500 500
ll.ii(irt I(, 1'3-8 1.r51 "143
142,208383,85,1268.035
16,633tl r 1?1
9,358
338,567
166,{iOri317,(t4{l175,ii{X)5L),ilixl11,43t)12,5(X)
147,000519,64t)215.00i)5il,itii044-,4.5{}
12,500
-1 -O?
135,18{i(53.035)
{2{:,{:33;/i R-?,
3,142
7(;5.590 988,59{] 93i).,f 1li 58.18{i
3St,91t) 624,288 1,021,035 396,747
16(),760 1{:t1,7 6t} 7(:0,760
$ 1,150,(r7[i $ 1,3S5,{].18 $ 1,i81.795 5 39(:,117
34
Montgomeryr CoLmtJr Municipal Utili4, frisyict No. 113Notes to Required Supplementary fnformaticnMay 31, 2015
Budgets and Sudgetary Acccunting
.\n annual unappropriatcd budgct is adopted for thc (leneral l;und bv the District'-c Rcard ofI)irectors. The budget is preparcd using thc same method of accounting as for financial reporring.Thc budgct rvas ame nrlcd during the \-e af to rc{lcct chan!:e s in anricipated rer-enues andcxpcnditure s.
35
(l'f:i.r pagt irltrliarol/1, lrli b/cnk)
)()
Texas Supplementary Information
31
Monrgome4t County Muxicipal Utikty District No. 113
TSI-1. Seruices a*d RatesMay31, 2015
1. Sen-ice s pror-ided br, the lJisrrict iluring the l;iscal Year:
xf.i) 1,7 36
T
ItIIIIIIIIIIT
tIItI
Retail \\''ater
Rcrail Wastc*-arcr
Parks / Recreati<;n
Whoiesale Vater
\\ lrulr:a1,. \\ astcu att r
Ijlre Prorcc:ion
Soiid Yl'astcf C arbage
l;iood Ccntr;l
Itoads
X X
X
l)rainage
irigation
Se curin'
X
X
2. Rctail Sen'icc Ilrril'iders
f,.iru mar om.ir this infi.>rmatiErn if vriur disrrict docs nrit prn"irie retail -.cn-ices)
a. Rctail Ratcs fi;r a 5f B" mrrrr ({lr r:quir-alenr):
X
X
Parricipates in ioint vrrlture, regi<;nal sl"srem anrl/r;r x1'ast.1l'atcr sefi-ice (other than rmergencl interconncct)
()rhcr (Specifi')
llinimurn{-harge
IlinimumL sage
Irlat llarc ft'/ l'Jl
llate perr 1"{XX}
Clalk;ns ( ]verIlinimum Llsagc Usagc l-evcls
Wastcrvater: S ,tr7"55 -0- Y l':l/r\ -0- to ur:lir-ni:cd
District cnrpk;r's llinter avcraging fi;r *,astc*-atrr usrge ? | [ :'.. lrlx"Tr;ral chargcs pcr 1ii,0{)0 ga1l<ins usagc
b. \Yatcr anri Wastcu,ater ltetail Connections:
l.leter Size
Llnmetered. /,lI
It:sS fll,lrl )/-f
1"
I-')
2"3"
4tt
()
B,'
10"
Total Watcr
Tt;tal \\t'asrex.ater
Stc accompanving audit<>r's rep<.rtt.
\\iarcr \X"astervare r S ,17.55
Total(lonne clir,lns
1,736
;\cti:'e(lonnections
1,136
l..Slt{l ljacrorAcrir"c
i.iSl;C'S
x 1.1)
x 1.(i
x 2.5
x 5.il
x tl"llx 15.0
x 25.{l
x 5{i.l)
x B0.l)
x 1 15.1)
38
Montgomeq, County Municipal Lrtility Distrtct Np. 113
7SI-1. Se*.ices ancl RatesMay 31, 201.5
3. 'fotal \l,'ater Oonsun-rption during the fisca1 r-ear (r{)Lrnded tr: the nearesr rhr;usanctr)
I,\*ou mar- r;mir rhis information if lcur distdcr docs not providc u.ater)
Gallons pumpcd into -srstcl:n
Galkrns billed to cust()mers:
N/A \Xlarer'{ccounrabilin- Ratio:
(Gal1ons billed / (latrlons pumped)N/A\/,r
1. Srandbr i'-ecs (authorizcd onh'unclcrTWC Scction 19.231):
ft-ou mal omit this infrrrmation if xrur district dors nol len stanrlbr- fee s)
I)oes tl-re 1)istrict l"rare l)ebt Scn'ice standbr, fces? Ycs ,\ () X
1f Ie s, Date of the most recent commission ()rder:
l)oes the llisrrict have Operation and }laintenance sranr-lbr- fees? Yes
1f r"es, Date of rhe most recent comn-rission (Jrcler:
5. l-ocation of lJistricr (requirecl firr first audit r-eal or u'hen infrrrmation change s,
otherrl,ise this infrrrmation mar be omitrcill:
\() X
Is the l)isrrict l{}carr.1 enrirclr- u.ithin one countr-?
Counfi'(ies) in u.hich the District is locatccl:
Is the lfistrict locatecl rl.ithin a cin'?
Citl'(ies) in u,hich thc l)istrict i.q krcated:
F,ntirt lr- l_-lnu,d'f.l
Ycs X N
NIontsr>mc11- Counn'
liot at all X
Is the Disrrict located u.ithin a cilv's extra t<:rrirorial jurisrliction (Il'ff)?
}lntirelr- X Parth'
l'-Tls in n'hich the Distdcr is located: Cin of Conroc
.\rc 1l,,ard mcmbcrs appr>intcrl br an olfice outside rhe district? Yes
If Yes, br. rvhom?
Not at all
No X
Sce accompanling auriirors' rep<;rt.
39
-b{tsntg'rsnte4t County }ldunicipal Utility I}istrict -Nc. I13TSI-2 Gen erai "t;un d E.xpen dit ur"e s.I;or tbe Yeat Ended -fu{ay 31, 2075
Ilrolessioaal fr:csI-cgal,turlltI,,ngincering
(-r;ntractcd scrviccslSookkccping( )pcratr;r( iarbagc c<-lllcctionTap ct;nncctior ;:nr1 inspcctionSccuritt'
Repairs and rnainrc*aflcc
Ll tilitic s
Administrarivel)ircctors fcesPrinring and officc supplicsInsurancc( )tl-rcr
( )t}-rc:
llotal cxpcndilurcs
Repc>rting of Utilirv Scrviccs ir ;1ccr;:rlancc rvith l-ill 3693
I llectrical
See accr>r-r:panf ing auditt>rs' rcp()rt.
5
(-ost
T
IIIT
T
IIIIIIIIIIIIT
t2,8BO1 1,0{]L}
38,32814"2,208
18,i 50,1r,893
279,41178,025L8 375
-15. ) 854
268,1)35
7(: {:33
9,300tt 1)217,2626,638
\(t 1))
9,358
5 930,,11{.}
!sage6,t9.59,1kWh 5 76,633
,1{i
Montgomeq, County Murucipal Utility Disttict No. 113
TSI-3. InvestlnentsMay 31,2015
Irund
lclcnrification or(-ertificate
Nurnberlnterest
Rate
llarutirrlJate
Ralance at
{1nd r-rf Ycarlntercst
Rcccirabic(leneral
Certificate of depositCertificate of deposit
l)ebt Sen-ice
Ccrtificare of r-leposit(lcrtificatc of elcposit(.t'r'tificatt i )f Ll('P( )sil
(.r'rt ificatt' r rf tit f osit
Ccr:rificate of dcposit
Total * r\11 Iiunrls
See accr;mpanring auditors' report.
321 836
61161{)1
:118858,1
12864
531 653
90090038,12
1 852(Xt2097
0.3891o
0.409/o
h/27 /16I I /?i / li
1112111505/29 /1685121 116
05 /2{,116u3/21 116
216,596
15$,262
$ S 1{l
3t)8
39{,,858 318
{1.3016
0.75%
i).6()olo
0.501/o
{}.:5'l;
?J i ()-q
226.128))^ t)J
215,98{)
100,(r02
1{l()
15
11a
1 ,0.14,81 3
S 1,'1211.(r71
59
)')
11
Montgo*e4, County Municipal Lrtility District No. 113
fSI-4. Taxes Leuied and ReceivableMay 31,2015
h{aintenanccTaxe s
\{'-S-If DebtSen-icc Taxes
Roarl DebrService Taxes
201i 2t)12 2411
IIIIIIIIIIT
IIT
IIIII
Totals
Tarcs Re crirable " Bcginning of Ycar,\<-ljustments
,\riiusterl Rcceivablc
201 4 Original'l-ax l-*-t',\djustn:cnts
,,\djusted'Iax I-evr-
'I r,tal tr, Lrr' itcc,,rrnlr (l I,,r
'I'ar crillcctions:Culrcnt Ycar
Ilrior r-cats"l'ota1 Collectionsf'axes Receivable, irnil o1 Ycar
'faxes Receir-able, llt Ycars2t-)14
2t)13
2412Taxes Receir-ablc, Hld of Year
Propern- 1'aluaricns.l,and
lmpti)1-cmenfsPersonal Prr:pcrtr'F.xemptions
Total Pr<4:ern Yaiuadr:ns
T'ax Ratcs per S100 \'aluati*nI{aintenance tar rates
Debt serticc tax ratcs
Road
Water, sewer anrl drainage
S i (iQ, q
4
19,170
15
6,551 S 7,537 S
11
1,t.li)7.528
8122,158,990
1.8il5
7,531
863,:96722
.1,{)30.'1 1.}
3,369
) 086 6,4{}2 19 185
f .ii08.370 2,160.795 86'1"318 .1,033,.183
i,013,45* 2,1(t: .337 $71,855 4,052,668
()()j 2)r)
4.{,:7
a llH 1JX( ?r,o
851,339
6,05{)
3,972,9161;,38:
(){)1 .3t}6 2,13i.608S i6,15il S 33,749 5 1.1,.167 S 64,36('
85t,389 3,988,303
5 15,1,11 $
tr,{l0il
I
11 ()-()
1,478
1{i
1? J-l* q
I ?()*
.f
5 6U.56rj --i
24s 16,130
2{\14
S 33.7,19 $ 14,,167 S {t4.366
$ 9,1,663,060
271,2{}{},11,0
3,61.3,791
(t,3.15.106)
s ,17,518,000
1 ?- g- I r,Ro
2.411,116r2 5zlR l,t7t
q t)?()1 It-() q
r,2 0()t 310
1,{175,8[]9
$,224J33)
22,411,6*{}
34"{}52,631}
563,114, )RR 2 ]R.\-' ' .-- 7
$ 360,132,.i55 s t*5.:52.-69 591"242"076 S 57,669,55(t
$ t).28 S {i.31 S 0.,10 $ 0.40
0.24().60
{}.46
0.4i)
0.11
0.35
0.31
tl.4B
$
c t1) q 1.17 S i.i9 $ 1.19
S .1,033,483 S 2,050,457 S 1,121,.181 5 686"268Adjusted Tax Lerrl':
Percentage <.lf Taxcs Collccrcdro Taxcs Ler.ied *+ ___lg3!r- ____***213::
* N{aximum llalntenance Tar Rare Appr, ,r'ccl bv \torers: $1.25* l{aximum Road \{ainterlance 'fax Ratc Appro:'ed br'l'otcrs: $0.25
x* Ca.lculated as tares collected firr a tax I'ear dividcel br. taxcs ler"iecl for thar tax realSec accompanvir:g audit<;rs' report.
99.99qo 1i)0.00if1,
()n
()n\lal' 1{.}. 2008hlar-10 2008
42
Mantgomer7, Countl, Murucipal {ftiltry l}istrict No, 113
7Sf-5. Long-Term Debt Seruice RequirementsSeries 2010--by YearsMay 31, 2015
l)ue l)uring lriscalYears lrnding
Principal DueScptemL:er 1
v0,000() i 0(i( )
100,000
105,000
11{),00u
12{1,000
125,000
i 30,000
140,{XlO
15t),000
160,000
165,000
18i1,000
190,000
200.000
210,000
225,0002J0 000
25{),000
265.000
285,000
s 3,535,000
lnferest l)ucSeptember 1.
lIarch 1 Total2016
2017
201 8
2019
2{}20
2021
2{}22
2023
2{)24
2425
2{}26
2021
2A28
2029
2030
2431
2CI32
z\).).)
2034
2035
2436
191,519
187,819
183"919
179,(r88
1:1.9B1169,(t56
1(;3,(;81
157,306
150,556
113,213
135,169
126,531
111,15{}
1t)6,915
96,125
8.1,200
71,15{)-- 2r )i)
J1 IR-
26,094
281,519
282,819
283,979
28.1,688
284.981
289,656
288,(r81
2B?,306
290.556
293,273
295,1{:9
291,534
29 ,-.15{}
296,9751()(' 1 ) \291,20{)
296J54297.20{})()) 1*1
291,494293.906
S S S
8 906
S 2,57,1,028 s r, I 0() 02Rrc
See accrxrpanr.ing audirors' report.
+-)
"fil{onrg"omery County rt{unicipal Urility l)istrict h/o. 113
TSI-.5. Lottg'-Tenn l)ebt Seruice Require*tentsSenes 2011 Rr:ad-*bv Years.*{ay 31, 201.5
Ir
IIItIIIIttIIIIIII
Duc lJuring I'iiscalYcars l,lndi:rg
2(.j16
2{}17
201 B
2(,1{)
202{}
24212{}22
2{}23
2424.
24232{}2{:
24272{}28
20292{}3t}
2031ztj32203320342*35243{:
Principal l)ueScptember 1
l]5,00090,0(xl95,001)
100.{xxli05,0{}0115,{)(X)
120.t){10
125,{}i.ti)
135,0001,+5,()00
t 55,(i0{)16{},{lUO
17i),0i10
185,txi{i1r5,0tt2{) : f)( }f )
220,0002 11 0r)o
250,0(x)2(r5,0{l{}280
-g--ij:{r!-Sec accompanr-ing audi,or-c' rcpotr"
lnterc.qt l)uelicprcmber 1,
h{arch 1 'l-otal
$ $ 180,1561i7,494t;18i6170,31{)1{:{:,3111{t1,82911{:"17 4lil?i()115,1.+.+
i 3R 2?.)
131),701
I )2 iO()
113,5911{}3,11(:
92,9{}681,151)
68,'10{.}
51,1194il,19924,754
8,.lli0
$ 2('5,15(t267,4r4268,856?"lt 1 1
()
271,3442l(t,82)27 {:,771276,25{)281),144,Q1r-(l
285.7{i1
282,5t|9283,591288,71(t287,946286,1502118,,t00
2&9,71t)29{},199289,75$288,,1011
$ 2,162,128 q iR.r)7 I?R
11
Moatgome4t Cownry, Mcnicipal {ltility District Ntt. 113
TSI-5. Long-Term Debt Seruice RequirementsSeries 2012--by Years
May 31,201.5
Due l)urilrg l"'isca1
Ycar:s -linding
Prlncipal l)ucSeptember 1
lntcrl-.r I)ueSepternbcr 1,
I{arch 1 Total
2416
2011
201 B
2{}19
2020
2021
2422
2A23
24212025
2026
2027
2028
2029
2030
2{}31
20322033
2434203s2436
2037
,l{l,i)0i)
:tt),u0i)
,15,000
.+5,000
5{),(i{.}i.}
5{).(i00
ii {l{10
6{J,li0l}
60,000r,5 0(x)
70,000
75,tiri{l
8t),{J{Xl
85,00{}
90,000
95,0tlr)
100,0fx)
105,0i10
110,08i)
120,000
125,00{)
130,000
1t)?,0,16
107,346
1 1 0,871
109,521
113"*31
111,3.46
11.1..181
1 17,381
115,131
117,721
120,056
122.119121()11
I ?; i2R
126,863l), R1)
128,{t061){) 1))1 ?() lii r
1 34,1 73
133,(t(t3
132"926
S S 69,{)16
61.346
65,871
64"121
63.03,1
51 ,3,1(r
59,.181
57,381
ii 1 1li? -)l
50,{)56
17,11{)
43,931.10,528
36"8631? A-?
28,(r06a t 111
1q 150
t+"1i )s,ga:) {:))(,
S
s 1,695.000 s 965,092 S 2,6(;0,092
Sce accompanr"ing auditots' report.
':15
Montgomet3, County Municipal Utility District Na. 113
TSI-5. Long-Tetn Debt Senice RequirementsSeries 2012 Roacl--by YearsMay 31,2015
Due During Fiscal
1'ears Eading2{}16
2411
201 B
2{}1{}
2A2A
2$21
2$22
2{)23
2t)21
2t)2i2026
2A2l2028
2029
2i130
2431
2432
2t)33
24312035
2{i362t)31
Principal l)ueSr:pren'rbcr i
lareresl l)r:cSeptember 1,
llarch 1
L36,546r i_l ?i,i131"1961?q 1i1
12*,169l)) ---
1 19,000
1 1.1.?,{5
1{lr,9r3I lt-l - ro
98,9{i5()) 7
^\86"079
79,{l{i8- | /. 1a
63,838
55,535
46,72{}
37,380)1 J()J
16.8tiil
5,6(;9
$ 1,910,90(r
"lt;ra1
S ,{),{xi{i95,il(i0
l tx),(x)t)
105,(XX)
110,{i{ii)
i 1:,{liii}I )o ()(]r)
130,ii{i{)
135,00{i
1,15,0{.}t.}
151),(XXl
16U"LliX)
l-0 (l(10
175,iiii0185,0t)0
i 95,{it}0
21f),00i]
220.i100
230"{i00
245,(X.)0
260,0{i{)
270,000
$ S 226.51{,??(l ?il
2?:1 ,19(:;
234,155
236,1{}()
237 ":11
2lr) tir rt r
244.i,45?-l-l ()7 1
)Jq a)lt
218,965.)1, bl256.0j925,1,01)8
256,628
258,838
2tt5,531
2{:(:,72{J
267,38{})* ) J(tJ
276,8()0
215,6(:{)
$ 3,615,0ii0 q ( i2t ()rt(
See accturpanving auclitiirs' rcport,
46
Montgomery County Municipal Utihty l)istnct No. 113
TSI-5. Loag-Term Debt Serrice RequirementsSenes 2013--by YearsMay j1, 2015
l)ue l)uring Fiscal
Ycars Ending2016
201,7
201 B
2{}19
2{)2{)
2021
2fi22
2423
2021
2{)25
2{}26
2021
2028
2829
2*A2031
2432
2433
24342035
2436
2437
2{}38
S
See accor:npanr"ing auilitor,s' rcprirr.
Principal DucScptcmber 1
Interest 1)ue
Septembcr 1,
llarch 1 Total1,15.000
150,{i00
160,000
165,000
175.000
18ii,0{x}
190,000200 000
210.000
220,04021() {l(10
240,000
250.000
265,000
275,000
29{i,000
305,000
320,000
335,000
350,000
365,00{)
385,000
400,000
S ?JO ()l?
21(t,255
2.12,380riB 0-0211 r 1i127 (Ri
tz r )J1214,260
24631{)191 ,710188,3(r5
1 -R 2n0
161.355
155,(r35
113"{}i1
129,655
115.223
99,750
83,37s(r6,250
+^)-))q 6)\10,000
S 1ql q4?
396.255,102,380
,+03,070
:108.135
.1i17,585
41 1,335
111,2(t{)
41(;,310
111 .11{)118,365,118.2t)0
411,355
42{},635
418,077
419,655
12A,223.119,750
't18,375416,25t)
413,375
414,625.110,000
s 5,805,{}0i} s 3,691,867 $ 9.496.867
1t
Mrsntgomery Couxty Municipal Urility Disrrict Nrs. 1tr3
TSI-.5. L*ng-Term Debt Senice RequiremextsSeries 2013 Road--by YearcMay 31,201.5
lluc l)uring l'-iscai Frincipal DueSeptcrnber 1Ycars llnding
_:__il{l!r,
Sce accompanving auditors' rcpr:rt.
2016
2{}11
2{118
2$19
2420
2{}21
2*222823
2421
2{}24
2{}26
2027
2028
2{}29
203{}
2431
2{}32
2033
2034
2$35
2{}36
2{}37
2038
s 13it"000
1.lil,Oii0
1.15,000
155,m0163,()00
17{),tX.i0
180,11f0
i rii.0{x)200,{.i{x}
210,000
224"{tA1
:3i),{i0(l2,15,00(i
255.000
2i{.},0i}{.}
285,{}i}0
300.00t)
315,0{-il)
33ll,ii0035{i,000
370,000
385,{l0il
243,62s
2li lfill23{1,800
226,0{.\)
?r{ )(l-l)1-1 R2i)tt1 J);199.623t() I l?i]R? R?.
113,825
16,4,{119
1 i1 iql
1,11,t0{)
1)() Jl )i15,5fi1100,125
84,000
67,0i]0.ir,000
30,125
10,250
.) -),()_f
3i{},57 5
380.3ii0385,80{l
3r1,00{)3t(),97539,1"825
1q- -l r;3{}9,625
401,425402 82r
't03,825409,019
408,39,1.
411,90i1
114,112,{ 15,50{_)
413"125:11 ,l,lllii.)
417,000
419,0i10tl i r 1i
424,25{}
Interest IJucSeptembrr 1,
llarci'r 1 Tr.rfal
$ S
s 3,610.950 s 9,260,950
.18
Montgome4t Cou*4, Murucipai Utility District No. 113
TSI-5. Long*Term Debt Service RequirementsSeries 2014--by YearsMay 31, 2015
Due l)uring liiscaiYears linding
See accompan-ring audirors' report.
2A*2{)11
201 8
2019
2020
2021
2{}22
2,)23
20212025
2426
2027
2028
2429
2030
2031
24322033
2{}34
2i135
2t)36
2031
2038
2039
s 954.006
960,156q1) I \(,
983,15(r
993"i561,008,9061 ()1i ()82
1,02;1,85(;
1.037,906
1 ,0.15,131lfiir, i121,067,031
I t)-(, 6\)1,099,3,t,+
1,100,0501 lilc) I 1q
1J24,9191,130,819
1,139,3191 150728
1,159,300
1,155,581
1,178,6{Xl
Principal l)ueSep:ember 1
S '105,000-1?0 ono,140,000
,16{l,ixx)
,+8i),000
505.{){i{)
525,00i1
55{),000
58(.),{}00
605,000
635"000
665,000
695,1)1lt)
730,000
7(r5,000
80{1,(.t00
8,+0.{}il0
88l.),0tx.)
920,000
965,000
1,010,0001 055 000
I 110000
1,1(;0.000
s 17,2{i{1,000
Intercst llueSepternbcr 1,
I{arch 1 IOtal
183,200q ?i 7? 1 *!,i
S 5,19.006
54{1,i55
:32.1 56
523.156
513,756
503,906
$4,982,lf 4,856
451,946
410,131
-1? I i1)
142,031
381,632
359,3,1.1
335.050
309,1 19
280,919
250,819
219,319
185.728
149,300
11i1,581
68,600
23,200q I i?3 aRi
1
19
Montgrsmer;,* Cou*ty Municipal (ld$qt District Nr:. 113
TSI-5. Long-Te*n Debt Seruice RequircrxextsSeries 201,/ R*ad--by YearsMay 31, 201.5
1)uc 1)uring liiscalYcars iinding
Principal DueScprcmbcr 1
Interest llu*Seprer:rbcr 1,
llarch 1 'foral
24rc2{)11
2{118
2{}19
2{t2{.1
2021
2(|22
2,t23
2{}24
2{}25
2t)26
2021
2028
2{}29
2*3{)
2{)31
2$32
2433
2434
2435
203{)
243:2{.i38
2039
125,iJ00
1 1it,0{x)
i 15"0(i(l
i 2{),ii00
120,{i{i{)
i2i t)(r(r
i 30.{xl(}
tr 33,{}iJ(}
145,0{i0
1 5t),ixl()
i 55,{}00
160,{10{}
165,000
17!,iitlt)180,1101)
190,000
195,000llri ililli21ti,00ii
22{i,ixl023t),000
2,11),000
245,00()
255"0U0
128,738
126.381
12-:1,138
121,181
11r,38811tt"931
113,7381 r)() - (,)
i05"5{i31 {11 .1 37
96,563
91,831
B(r,963
81.862
7 (t,313
70,30{l
63,80{i
56,80t)
49,4t)6
41"612
.)J.J 1J
?J ir)rI
15,10{.1
5,100
253,138
236,387
239"138
241"181
239,38$
2,+1"937111-14
)JJ - (,)
2:0,5(r3.5t t1-251,5{}3)irR1-251.{}{:3
25{.,"862
25{t,313
2(r{),300
258,800
261.80i1
2:r,,+{}{}
261,612
263,313
264"3t11|
260,10{}
260,1{.ili
S S S
s 4,1i,{J"8ixl $ 1,961,0114 5 6,061,i14.t
See acclrmpant-ing auditors' rcport
5i}
Montgomery County Municipal Utility l)istttct No. 713
TSI-5. Long*Term Oebt Service RequirementsAll Bonded Debt Series--hv YearsMay i1,2015
l)ue During liiscalYears llnding
201{}
2011
2{118
2Q19
202{)
2{121
2l)22
2023
2{)21
2425
20261rt )f
2{}28
2429
2030
2031
24322433
2431
2035
2036
2{}31
2{}38
2{}39
See accompanl-ing auditors' report"
Principai DueSrprember 1
lnreresl l)urSeptember 1,
llarch 1
q 1 --18 ;-R1 ,1 19,166
1,(;89.416
1,651 ,1961,622.8{:1
1,595,011
1 ,539,B 1 (r
1,48(),991
i,430,208| 3(r0 310
1"301.1161 ?lJ R?ri
1,160,723
1.080.:162
993,86290{},5'+6
799,133r,q0 .)8 -
iti ? tf.
453,013\)) 1\1
2{}3.426
103,9502R 300
s 25.699,800
Total
$ 70,734,800
s 1 .1 10,000
1 ,1 .11-}.{ llX)
1,200,00{lI 2i5 0(){ )
1 11 i lto()
1,380.000
1,4:15,0{)0
1,520,i)00
1"6t)5,000
1,(;9{1,{.}0{}
1,775,it0t)
1,955,090
1,t55,0002,060,000
2,i (;0,000
2,270,000
2,395,000? t2ll 0{l{l
2 6i5 0(10
2,780.000.) 925 000
2,,+65,000
2 165 ('r0()
1,415,000
q 2 RtR t7g
2"859,466
2,889,416) qt) 4()(,
2,931.8Q1
? D6: ()11
2,98,1,816
3,00(r,9941 oii -){
}B
3,059,339
3,0f 9,1763,089,820
3,111,:233,140,,+62
3,153,862
3ilA.5163,19,+,1331 ?1n ?Ri
3,270,21(t1233 0ll\ )41 -'\;2,668,426? ?r.,1 ()q(t
I 4-13 1{l()
5 ,15,035,000
;1
Montgotne4, County Municipal Utility District No. 113
fSI-6. Change in Long-Tern Bonded DebrMav 31, 2015
Bond lssue
Scries 2(i1{i
Series 2()11
R*ad Scrii:s 2012
lnterest rate
I)ates intcrest pal'able
llarurin- rlates
lSeginning bonds outstanding
llonds i-c-cucrl
Sonds rctirc.l
Inrling boneis outstanrling
Intercst paid during fiscal i-car
Paving ageot's narne anrl c.in-
Serics 201i) & 2{111 Road
Scries 2012 and2012 R"oacl, Series 2i)13.
2{11 3 Road. 2(i1,1 and 2L}1,1 Roarl
BoniJ r\r:thorifi':r\.mounr Authodzcd br' \'otersArlount lssued
Rernainir:.g f-r; Be Issueci
:l.il{.}9,r, - 6.25qo
9/1;3/19/1/13 -9/1/35
3.Sti",/o - 6.0{)r%
911 3i1e/1113-el1/3s
3.{i0'1,'o - 5.il{}9i,
e i1;3 /1e/1/13 -e/1i36
$ 3,621),(X)0 S 3,51a"0{X} S 1.:31i"{iL}ii
(85,(X)il) 18f ) {)( )tl l (35,110r,
s 3,535,{.}(Xl S 3,435,000 S 1,695.i)00
s :1t5,{}1t 5 183,044 5 7t),821
lYe11s Iiargr; Rank, N.;\., |rlouston, TX
Rlgi,,n. llank. ll,,u:tr,n.'l X
\Yatcr, Sev'rr andIlrainagr: Sonrls Iioad Bonds Park llondsq I;i)??{ r{)()fl q
(28,60(],i]u{})'{7,4i}i1,0{10 s
(1;,0.10,00{,16,.145,{Xi{,}
All bonds are secured ll'irh tax r.l"rnues. Illnds mav also be securcil *'ith r,rthcr rc1'enues in combinationrvirh taxcs.
5 1,+1,62{l,tXi0 S 30,360,{10(} S 1(r,.}.15,000
$ 3"977,530
5 2,941,283
llebt Sen'icc i'"r-rnd cash and invcstr:cnrs balanccs as of llar' 31,2{}15
.\r'crage annuai debt selr.icc parment (principal and intercst) fr;r rema:ining term r;f a1l debt:
See acct;mpanling auditors' report.
52
Rtincl lrsucSeries 2ii12
Road Series 2(113
Serics 2{)13
Road Scrics 2{ll,lSr:rir:s 2[]1 :i
Road I()f2lS
2.i{}*it - 1.2001o
911 3 /1e/1114-el1l36
2.500/o - 5.00!te/1;3/1
e/1i11-e/1/37
3.00!'o - 5.00ctt) / 1; 311
9/1/15 -e/1/37
2.tXitl'/,r -;1.00%9/1;3/1
el1l13 - e/1/38
2.{j0% -.1.00'rte /1; 3 /1.
e/1115-e/1138
s 3"700,000 s 5,935,000 $ 5,550,000 s ) $ 2,1,150,000
17.200,000 -+.Ir r{ r.f rr r , 2 Llt r }.( rl }i i
(85,11{lq (130.000) (4i5.til0)
s 3,615,000 s 5,805,0i10 s 5,650,000 5 17,2{,)0,000 S .},10{),0{}0 S 45,035,000
S 138,73.i $ 25i,18il S 2-la,a-i S )*f, 12R S 54,161 5 1,111 ,262
ItIIIIIIIIIItIIIIII 53
Montgrtme4, County Municipai Utility District Nrt. X13
TSI-/a. Crsntparative Schedule of Revenues ard Expenditures - Ce*era] FundFrsr the Last Five Fiscal Years
:\rnou*rs2415 2011 2{}13
Rcr-cnur:s
Scg-cr sen-icc:
Prripcrn- taxes
Penalties and intcrcstTap connecti,:rn and ir:rspccri*nSlisccllane i>u,s
lnr-cstr:.rent carnings
Total Rirrr:nucs
q ;1)lili q
t9:,306
207,44311,432
? qia
183.472 S
5.11,89.1
85,875i) ?tit)
q13
261,073 S
373,671
1 18.301 5
228"913
2{}12
35,t_)75
) ()L(t
24
1t- -l8l5{}5
14,1556.1,5:(i5,126
142
2{}11
IItIIIIItIIT
IIIIIII
1) 1
1,951,,+'15 1,121,35.N 707,3(15 385.285 383,(182
IlxpcnditurcsCurrcnt sen-icc t;perar.irxs
Prlrfrssiorai fces
C<;ntracterl scn-iccsRepairs and n'rainlenancc
UtrlitiesI-eases
.{dmini-strarire( )ther
Capital outlarTotal llxpenditurcs
134;rq?-Q /..) )
171,5{:{,
39,43'
123,69,118i qil
)(t )*)
t- 1)J180,600
1s.9264,605
142,208383.854268.{,i15
/ (),().)-')
\(r 12)
9,35937,956
,t,088
11i,t)12171,1331 1 1,540
41.7141|i5,650
10 k?*5.525
15,0i0
147,1 86rl1 ,0693,1.2$1
33"65,+
18i).6{lil
21"92{}) )1(t
1- t1?
930.,11{1 66r,31{} 628,451 570,1}78 64f},31{t
$ .t52,0i,1 S ?8,91,1 S (18.1,jr3i S {.264.691)Iter.rrurs ()rer rI nJer l,,.,nen.litur,,. \ I rt?] rtiiI --:---:-::ji:-
*Pcrccntage is negligil:le
See accrimpiinr-ing auclitor.s' rep()rt.
5rf
Pcrcrnt of lund T<;tal Rcrenues201 5 2411 2013 2012 2{}11
38%,
50%
110+l o
.1lltl/o
374/o
53oir
-) -L 0
594,'o
1{o\,t
82o./o
t{)/.+o11"tlhlo/I {)
8,"10
1 o/n
9'/o
10ro
n0
1'%
1(X)% 1ix)% lllii9r -ru0% 100%
/o
200h
74o1o
+u
12rh1:OL.) L)
160ht0AU
)10,.
24ot>
1 {t'/'t
6n.'t:
159,r
4') o
1{}.\t
atl /
38%1t0 -
1 10lf t)
9'.,o
41rt.'r,
60it
1o.\:
100\
32o/o
I)i
tro-) o
tr0- ) {)
-t/.tt
{o,ti,loIO
38,'o)o-, 0
.18% 600h 89'ti, 1190 1,:, 1.690/o
:10-)L O 104,/o 110.h (.1941:) (69ola)
ff
Mottgome4. County Municipal Utikty Disttict No. 113
TSI-7b. Cotaparative Schedule o{Revenues and Expenditures - I}ebt Serrice Fund"Far the Last Five Fiscai Years
201 5 2t)11 2t)1i 2012 2411
IIIIIIIIItItIIIIIII
.\mr:unrs
Rerc:rulsFropern'raxcsFcnaltie s tnei intrrcsrAccrucrl inreresI oc bonds sr;ki
ItrisceliancousIiifc$tiarcnl earni11gs
Total Rer-cfluc,s
I-rxpendirure s
Tax collecrion sen-ices
Debt serr-iceP.i-.in"l
lnterest and iees
T<;ral Lrxpendirures
Rcvcrtucs ( )ver Expenditures
*Percentage is negligiblc
Sr:c accompanr-ing auciirors' rrf ()rt
$ 2,985,802
11,111
11,B3il
*.58+
$ 1,50{1.316
1i),{11'
25.19{}
1 4,{i
3,3?8
$ :41,157 S
1,82()
8,931
,15(i,857 S
1.896\ tt / 15,783
3,01(j,6(){i 1.539,?21 758,59.{ 1"61,1}74
1'tl- 2,6$) i t*)1,-Jt5
,18,388 2;,183 16,5{-i0 10"144
415,iX10 190,{ilji}
1,120,1i6 -+-l-.4e2
1,884,14,1 f .ii(,6,851 5*2.2-16 441,636
S 1,132,516 S,172.872 S 186,338 S 13,438 S 1-.254
'forai r\crirc Rcraii S"astc*'atcr (]rnnectir;ns 1,13{) 1252 768 333 191
5(;
Percent r;f ];unri Tr;ta1 Rertaucs2415 2{}14 2413 2012 2011
(X)9/o 91o11
1o'/a
L''L)
9Bu/o
10\t
liti
q8{ti,
10.h t)1oio
1r),|t: 9o/o
100% l)0,%1 1 {}l}i|lo 1i.)t)% 100%
aa /L\)
1 nol1+'ot?o+/ 0
2Bh
t ao/I1:- A
55%
at1/L't) 2ah
630,/s 69b,h -:013n\, 95%
97').,'o
ll o 25o/': ')'7al 100%,37ot'o
51
Mortgomery County Municipal Utility Distrsct No. 113
7SI-8. Board Merxbers, I{ey.?ersonnel and ConsultantsFor tlte Year Ended May 31, 2015
("/()'fhe Sfullcr i-au' Grcup, PI,I-C{iomplerc l)istrict }Iailing ,\ddress: i(1555 Southq'csr l'-rce1\-av Suire 20i}, Sugar l-ancl, TX 77179
l)i-*trict 3u-.iness'fclephone.i\uml:er: (281) 50{l-6{,15{]
Subn:ission l)arc of Ii:c lnost rccent l)isrrict l{egisrration }il;rn'r
(11X.'C Scctir;n-* 3(i.05'1and,19.()5,1): "]u1v 30, 2()15
I-imir on lircs of {}ffice rhat a l)ircct(}r mal rcceile during a fiscai lcar:
($ci L:r"lJr;arrl llesoiurir;n -- TWC Scction 49.0(ri.l{))
'f'erm of (lffice(I11ected <;r lice-c *f iixpcnsc
Appt;intecl) {}r {)flice Paiil Reimbursc-I)atellired * menrs
s 7,20t)
\ames: 'fitlc at l'ear llndBoard llembers
Daud Garrert
Ashler S. Grigsbv
Jcffrel Xielscn
Jarnie llingham
Gcnr:r-ir:r'e (lomcl
(}tnsulranls
The .1Iulicr 1-al'(iroup, P1-1.C
IIS.U{I }intcrprise,u, I nc.
llr"rdc {lruz, 1nc"
,,\ssessments of the 3c>uthrvcst, 1nc,
I lorlrglimen- Central rLpprai,ual l)istrict
Perdue, I3randon, Fielder, ColLins
& llott. LIP
LJA Engineering,lnc.
l.IcGrath & Cr;., PLLC
Roberr W. Baircl & Co.
TBG Partncrs, 1nc.
RBC Capitai llarkets
5112 - 5/16
5/11- 5/18
\ I I / \ / t rr
5/11- 5/18
5/14 - 5/18
\ ) la(l
i,8uli
2, 0{}
1,81il
f .i,)5i)
President
Yice Prcsident
Secretarr
Assisrant Secretan-
Assisraot YiccPrcsident
Attt;rnrl( )perator
13r;okkcepcr
Tax Collectr;r
Propern- \raluatir:n
Delinquent TaxAttotner,
Engineer
Auditor
Iinancial Adr-isor
Landscape r\rchitect
l"r.rrmcr
Iinancial Arlrisr;r
q 46
36
1.241,
Amou:rts
Pairl
t)3 /11{}8la{,
ri8/07
{t8/{}7
I.egislarion
a4lae
08/07
Annual
02/ 15
fi/a708/Ll7
$ 8,15,06i
41ii.r3{i
21,95,4
?l ) ll/,fl
25.4011
4,43
3.909,r153
53,2tltl
57.1,915
* l'iu al'Olfi* are the am()unts actuallr,paid ro a director during rhc l)istricr's fiscal vear
Scc accompanling ::uditr;rs' report.
58