2018-COH - Comprehensive Annual Financial Report

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expenditures for various construction projects were only partially offset by the issuance of $8.2 million in SRF loans and $47.3 million in new bonds. The debt service funds consist of the Bond Redemption Fund and the Interest Fund. These funds have combined total fund balances of $33.4 million, all of which is restricted for the payment of debt service. The net increase in the combined fund balances during the current year in the debt service funds was $6.6 million (28 percent). Proprietary funds. The County's proprietary funds provide the same type of information found in the government -wide financial statements, but in more detail. Unrestricted net position of the Kulaimano Elderly Housing Project (Kulaimano) at the end of the year amounted to $897,130, and $821,362 for the ouli Ekahi Affordable Housing Project (ouli Ekahi). The total net position for Kulaimano increased by $49,420 and the net position for ouli Ekahi increased by $117,798. other factors concerning the finances of these two funds have already been addressed in the discussion of the County's business -type activities. GENERAL FUND BUDGETARY HIGHLIGHTS Differences between the original budget and the final amended budget were primarily the result of a $9.8 million increase in appropriations, the most significant reasons were due to increases in the appropriations for public safety ($4.0 million) and capital outlays ($6.4 million). Differences between the final budget and the actual (budgetary basis) resulted in approximately $4.8 million less revenues than expected and $30.8 million less expenditures than appropriated. This is primarily due to the following factors: The negative variance of $4.8 million in revenues is comprised mostly of $4.0 million from real property and public service company taxes. Public service company taxes was lower than budget by $2.7 million due to the decline in the cost of fuel that was passed on to the consumers. $8.8 million of the unspent appropriations is related to salaries and wages and the various countywide expenditure accounts relating to salaries and wages. The variance is due primarily to unfilled vacancies and continued efforts by each department to control payroll costs during the budget year due to the tough economic conditions facing the County. The following functions are responsible for the majority of the variance: public safety ($2.8 million) and general government ($1.7 million). • $3.1 million is due to lower than anticipated payments needing to be made in retirement related payments. With each department increasing efforts to control costs, overtime was also closely monitored and the corresponding pension expenditures were not incurred. • $2.4 million is due to the fact that the increase in health premiums for employees' was lower than originally anticipated. CAPITAL ASSET AND DEBT ADMINISTRATION Capital assets. The County's investment in capital assets for its governmental and business -type activities as of June 30, 2018 amounts to $1.3 billion (net of accumulated depreciation). This investment in capital assets includes land and improvements, buildings and improvements, equipment, easements, and infrastructure assets, which consists of primarily roads and bridges. The total increase in the County's investment in capital assets for the current fiscal year was 1 percent. I+All