HomeMy WebLinkAbout2017 Financial Statement June 30
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TOWN OF MARANA, ARIZONA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
FOR THE FISCAL YEAR ENDED JUNE 30, 2017
_____________________________
11555 W. Civic Center Dr., A3
Marana, Arizona 85653
Issued by:
Town of Marana Finance Department
TOWN OF MARANA, ARIZONA
TABLE OF CONTENTS
INTRODUCTORY SECTION Page
Letter of Transmittal i
Certificate of Achievement for Excellence in Financial Reporting vi
Principal Officials vii
Senior Staff vii
Organizational Chart viii
FINANCIAL SECTION
INDEPENDENT AUDITORS' REPORT 1
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
(Required Supplementary Information)7
BASIC FINANCIAL STATEMENTS
Government-wide Financial Statements:
Statement of Net Position 27
Statement of Activities 28
Fund Financial Statements:
Balance Sheet –Governmental Funds 32
Reconciliation of the Balance Sheet –
Governmental Funds to the Statement of Net Position 35
Statement of Revenues, Expenditures and Changes in Fund Balance s –
Governmental Funds 36
Reconciliation of the Statement of Revenues, Expenditures and
Changes in Fund Balances -Governmental Funds to the
Statement of Activities 39
TOWN OF MARANA, ARIZONA
TABLE OF CONTENTS (Cont’d)
FINANCIAL SECTION (Cont’d)Page
BASIC FINANCIAL STATEMENTS (Concl’d)
Statement of Revenues, Expenditures, and Changes in Fund Balances –40
Budget and Actual –General Fund
Statement of Revenues, Expenditures, and Changes in Fund Balances –41
Budget and Actual –Highway User Revenue Fund
Statement of Net Position –Proprietary Funds 42
Statement of Revenues, Expenses and Changes in Fund Net Position –
Proprietary Funds 43
Statement of Cash Flows –Proprietary Funds 44
Notes to Financial Statements 45
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of the Town’s Proportionate Share of the Net Pension Liability -
Cost-Sharing Pension Plans 84
Schedule of Changes in the Town’s Net Pension Liability (Asset) and –
Related Ratios Agent Pension Plans 85
Schedule of Town Pension Contributions 87
Notes to Pension Plan Schedules 91
Schedule of Agent OPEB Plans’ Funding Progress 92
Notes to Schedule of Agent OPEB Plans’ Funding Progress 93
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND
SCHEDULES
Other Major Governmental Funds Schedules of Revenues, Expenditures an d
Changes in Fund Balances –Budget and Actual:
Tangerine Farms Road Improvement District Debt Fund 99
TOWN OF MARANA, ARIZONA
TABLE OF CONTENTS (Cont’d)
FINANCIAL SECTION (Cont’d)Page
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND
SCHEDULES (Cont’d)
PAG/RTA Capital Fund 100
Transportation Capital Fund 101
Non-Major Governmental Funds:
Combining Balance Sheet –All Non-Major Governmental Funds –
By Fund Type 104
Combining Statement of Revenues, Expenditures and Changes in
Fund Balances –All Non-Major Governmental Funds –By Fund Type 105
Non-Major Special Revenue Funds:
Combining Balance Sheet 108
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances 110
Combining Schedule of Revenues, Expenditures and
Changes in Fund Balances -Budget and Actual 112
Non-Major Capital Projects Funds:
Combining Balance Sheet 120
Combining Statement of Revenues, Expenditures and Changes in
Fund Balances 124
Combining Schedule of Revenues, Expenditures and Changes in
Fund Balances -Budget and Actual 127
Non-Major Debt Service Fund:
Combining Balance Sheet 140
Combining Statement of Revenues, Expenditures and
Changes in Fund Balances 142
TOWN OF MARANA, ARIZONA
TABLE OF CONTENTS (Cont’d)
FINANCIAL SECTION (Concl’d)Page
COMBINING AND INDIVIDUAL FUND FINANCIAL STATEMENTS AND
SCHEDULES (Concl’d)
Combining Schedule of Revenues, Expenditures and Changes in
Fund Balances –Budget and Actual 144
STATISTICAL SECTION
FINANCIAL TRENDS
Net Position by Component –Last Ten Fiscal Years 152
Changes in Net Position –Last Ten Fiscal Years 154
Governmental Activities Tax Revenues by Source –Last Ten Years 158
Fund Balances of Governmental Funds –Last Ten Fiscal Years 159
Changes in Fund Balances of Governmental Funds –Last Ten Fiscal Years 160
REVENUE CAPACITY
Assessed Value, Estimated Actual Value and Assessm ent Ratios of Taxable 162
Property –Last Ten Years
Property Tax Rates –Direct and Overlapping Governments –Last Ten Years 163
Principal Property Taxpayers –Current Year and Nine Years Ago 164
Property Tax Levies and Collections –Last Ten Fiscal Years 165
Tangerine Farms Road Improvement District Assessments 166
DEBT CAPACITY
Ratios of Outstanding Debt by Type –Last Ten Fiscal Years 174
Ratios of General Bonded Debt Outstanding –Last Ten Fiscal Years 175
Direct and Overlapping Governmental Activities Debt 176
TOWN OF MARANA, ARIZONA
TABLE OF CONTENTS (Concl’d)
STATISTICAL SECTION (Concl’d) Page
DEBT CAPACITY (Concl’d)
Legal Debt Margin Information 177
Pledged-Revenue Coverage – Last Ten Fiscal Years 178
DEMOGRAPHIC AND ECONOMIC INFORMATION
Demographic and Economic Statistics – Last Ten Fiscal Years 179
Principal Employers – Current Year and Nine Years Ago 180
OPERATING INFORMATION
Full-time Equivalent City Government Employees by Function – Last 181
Ten Fiscal Years
OTHER INFORMATION
Sales Tax by Industry – Last Ten Years 182
Excise Tax Collections – Last Ten Years 183
Principal Retail and Contracting Sales Taxpayers – Current
and Nine Years Ago 184
Single Family Residential Permits Issued – Last Ten Years 185
Capital Assets Statistics by Function 186
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INTRODUCTORY SECTION
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December 4, 2017
The Honorable Mayor and Town Council, and Citizens of the Town of Marana, Arizona:
State statutes require that cities and towns publish a complete set of financial statements presented in conformit y
with accounting principles generally accepted in the United States of America and audited in accordance with
auditing standards generally accepted in the United States by a certified public accounting firm licensed in the State
of Arizona. Pursuant to that requirement, we hereby issue the annual financial report of the Town of Marana,
Arizona (Town) for the fiscal year ended June 30, 2017.
This report consists of senior management’s r epresentations concerning the finances of the Town. Consequently,
senior management assumes full responsibility for the completeness and reliability of all of the information
presented in this report. To provide a reasonable basis for making these representations, management of the Town
has established a comprehensive internal control framework that is designed to protect both the Town’s assets from
loss, theft, or misuse and to compile sufficient reliable information for the preparation of the Town’s financial
statements in conformity with accounting principles generally accepted in the United States of America. Because
the cost of internal controls should not outweigh their benefits, the Town’s comprehensive framework of internal
controls has been designed to provide reasonable rather than absolute assurance that the financial statements will
be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this
financial report is complete and reliable in all material respects.
The Town’s financial statements have been audited by Henry & Horne, LLP, a certified public accounting firm. The
goal of the independent audit was to provide reasonable assurance that the financial statements of the Town for
the fiscal year ended June 30, 2017, are free of material misstatement. The independent audit involved examining,
on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the
accounting principles used and significant estimates made by management; and evaluating the overall financial
statement presentation. The independent auditor concluded, based upon the audit, that there was a reasonable
basis for rendering an unmodified opinion that the Town’s financial statements for the fiscal year ended June 30,
2017, are fairly presented in conformity with accounting principles generally acce pted in the United States of
America. The independent auditors’ report is presented as the first component of the financial section of this
report.
The independent audit of the financial statements of the Town was part of a broader, federally mandated Si ngle
Audit as required by the provisions of the Single Audit Act Amendments of 1996 and the audit requirements of Title
2 U.S.Code of Federal Regulations (CFR) Part 200,Uniform Administrative Requirements, Cost Principles, and Audit
Requirements for Federal Awards (Uniform Guidance)to meet the special needs of federal grantor agencies. The
standards governing Single Audit engagements require the independent auditor to report not only on the fair
presentation of the financial statements, but also on the audited Town’s internal controls and compliance with legal
requirements, with special emphasis on internal controls and legal req uirements involving the administration of
federal awards. These reports are available in a separately issued Single Audit Report ing Package.
Accounting principles generally accepted in the United States of America require that management provide a
narrative introduction, overview, and analysis to accompany the basic financial statements in the form of
Management’s Discussion and Analysis (MD&A). This letter of transmittal is designed to complement the MD&A and
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should be read in conjunction with it. The Town’s MD&A can be found immediately following the report of the
independent auditors.
Profile of the Town
The Town of Marana,incorporated in 1977, is located in northern Pima County and has historically been one of the
fastest growing communities in Arizona.Straddling Interstate 10, Marana is only 10 miles north of downtown
Tucson and 90 miles south of downtown Phoenix. Maran a’s original incorporation covered approximately ten
square miles.The Town’s planning area currently occupies over 120 square miles and serves a population in excess
of 40,000.
In its infancy, the Town was primarily a rural, agricultural community. H owever, through annexations and planned
growth, the Town is now home to several residential, commercial and industrial developments, including
Continental Ranch, Continental Reserve, Sunflower, Heritage Highlands, Dove Mountain,Saguaro Ranch, Sky
Ranch,Saguaro Bloom,Continental Ranch Business Park,Arizona Pavilions, and the Marana Center.
Legislative authority for the Town of Marana is vested in a seven -member Mayor and Council. Voters of the Town
directly elect the Mayor. Council-members serve four-year staggered terms.
The Council fixes the duties and compensation of Town officials and employees, and enacts ordinances and
resolutions relating to Town services, taxes, appropriating and borrowing mon ies, licensing and regulating
businesses and trades and other municipal purposes. The Town Council appoints the Town Manager who has full
responsibility for executing Council polices and administering Town operations. Town employees are hired under
personnel rules approved by the Council. A staff of approximately 346 employees is responsible for the functions
and operations of the Town government.
Economic Condition and Outlook
The local economy continued to improve during the current fiscal year. Revenues in the General Fund grew by
approximately 8% overall with growth in intergovernmental revenues of 17.3%. Transaction privilege taxes grew by
$1.1 million or 4.6% overall, which demonstrates continued growth and improvement in the economy. The Town
has seen improvements in economically sensitive revenues over the past several years and the revenue forecast for
fiscal year 2017-18 anticipates a continuation of revenue growth of 11%. Expenditures in the General Fund also
grew by approximately 4.4% overall. The Town was able to provide team based merit increases to employees while
maintaining costs in commodities and services received in order to stay within budget. The General Fund
expenditures were $6.2 million under budget. The Town’s budget is structurally balanced with ongoing revenues
supporting ongoing expenditures. One-time revenues like contracting transaction privilege taxes and building
permits support one-time expenditures. The budget maintains the investment planning, which includes three
investment priorities: current employees, resources and tools, and strategic positions.
Current Condition
As described above, key revenues including transaction privilege taxes and intergovernmental revenues were higher
from previous years. The Town established and maintains an investment plan as a way to guide decisions made
during future year’s budgetary processes. Even, as revenues grow in future years, the investment plan will serve as
a guide in the allocation of resources as they become available. Both the current and future programs are
measured for alignment with the Strategic Plan as well as the investment plan. Those programs that are more
precisely aligned with those plans and those that are sustainable are more likely to receive funding. The financial
performance of the Town as a whole is reflected in its governmental funds.
As of June 30, 2017, the Town’s governmental funds reported a combined fund balance of $73.1 million, of which
$20.7 million is unassigned and available for spending at the Town’s discretion.
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The Town, like most municipalities, is significantly dependent upon transaction privilege tax revenues which are
subject to economic fluctuations. Transaction privilege tax revenues comprised 59.2% of general fund revenues.
Of those revenues, retail, construction and utilities comprised 74.9% of total transaction privilege tax revenues.
Sales taxes and revenues related to the residential and commercial construction ind ustry continued to improve
during the fiscal year.The Council approved a temporary half-cent sales tax increase, which began on July 1, 2015,
for the construction of a new police facility , which is expected to sunset by fiscal year 2019.
Future Economic Outlook
The Town of Marana has recovered from the recession in several key areas including most transaction privilege tax
industry groups.The Town’s goal in managing budgets is to structurally balance on-going revenues matched with
on-going expenses and one-time revenues aligned with one-time expenses. The Town has been able to make
strategic reinvestments in existing programs and minor investments in new programs that provide the opportunity
to further position the Town as the place to live, work and play. In the past year, the construction of the sites for
Home Goods, TJ Maxx, and Ross were completed.Developers are currently constructing a Top Golf facility, which is
anticipated to bring more than 300 jobs to the Town as well as additional tax revenues.The Town is also in the
process of constructing a new 18-acre park, Tangerine Sky Park.
Accomplishments and Initiatives
During fiscal year 2017, the Town had several significant accomplishments.
Creation of New Town Logo
Marana celebrated 40 years of being a city by choosing a new logo. Marana partnered with the University of Arizona
to research and draft five different logo designs for the citizens to choose from. A voting process allowed citizens to
narrow the choices to the top 3 logos. Town Council made the final selection. The new logo will replace the old as
signs, vehicles, and other items bearing the logo are replaced.
Video Streaming Council Meetings
In alignment with the Town’s Strategic Plan related to progress and inn ovation, the Town implemented video
streaming of council meetings to enable the citizens to have better access to the information .This service began in
March 2017.
Top 10 Digital City
Marana was named one of the top-10 Digital Cities in the United States with a population of 75,000 or less.
The annual survey recognizes cities using technology to improve citizen services, enhance transparency and
encourage citizen engagement. The Town is constantly looking at ways to improve residents’ experience
whether they are visiting the website, utilizing town apps, or interacting via social media.
All-America City Finalist
The Town of Marana was named one of the 20 finalists to be named an All-America City for a second consecutive
year by the National Civic League. The distinction i s given to 10 communities each year that have taken innovative
action to engage residents in ensuring that all children are healthy and supported to succeed in school and life.The
Town was also a finalist in 2008.
Expenditure Limitation
One June 30, 1980 Arizona voters approved general propositions amending the Arizona Constitution to establish
expenditure and revenue limitations for local governments. The purpose of the expenditure limitation is to control
expenditures and to limit future increases in spending to adjustments for inflation, deflation and population growth
of the Town.
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On November 8, 2016, the voters of the Town approved an alternative expenditure limitation, the effect of which is
that the total budgeted expenditures of each yearly bud get becomes the expenditure limitation for that year on a
total budget basis. This alternative expenditure limitation is effective for four years.
Single Audit
As a recipient of Federal, State and County financial assistance, the Town is responsible fo r ensuring that adequate
internal controls are in place to ensure compliance with applicable laws, regulations, contracts and grants related to
those programs. Internal control is subject to periodic evaluation by management.
As part of the Town’s single audit described earlier, tests are made to determine the adequacy of the internal
controls, including that portion related to Federal financial assistance programs, as well as to determine that the
Town has complied with applicable laws and regulations.
Certificate of Achievement
The Government Finance Officers Association of the United States (GFOA) awarded a Certificate of Achievement for
Excellence in Financial Reporting to the Town of Marana for its Comprehensive Annual Financial Report (CAFR) for
the year ended June 30, 2016. This was the ninth consecutive year that the Town has achieved this prestigious
award. In order to be awarded the Certificate of Achievement, a government al unit must publish an easily readable
and efficiently organized CAFR, whose contents conform to program standards. Such reports must satisfy both
generally accepted accounting principles and applicable legal requirements.
A Certificate of Achievement is valid for a one-year period only. We believe our current report conforms to the
Certificate of Achievement program requirements, and we are submitting it to GFOA for consideration.
Acknowledgements
The preparation of this report would not have been possible without the efficient, effective and dedicated services
of the entire staff of the Finance Department and the assistance of personnel in the various departments. We
would like to express our appreciation to all members who assisted and contributed to the preparation of this
report.
We would also wish to express our sincere appreciation to the Mayor and Council for unfailing support in
maintaining the highest standards of professionalism in the management of the Town of Marana’s finances.
Respectfully submitted,
Jamsheed Mehta Erik Montague, CPA
Interim Town Manager Finance Director
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TOWN OF MARANA, ARIZONA
PRINCIPAL OFFICIALS OF THE TOWN OF MARANA
FISCAL YEAR 2017
MAYOR AND COUNCIL
Ed Honea, Mayor
Jon Post, Vice Mayor Herb Kai, Councilmember
Carol McGorray, Councilmember Roxanne Ziegler, Councilmember
Dave Bowen, Councilmember Patti Comerford, Councilmember
MANAGEMENT STAFF
Jamsheed Mehta,Interim Town Manager
Steve Romero,Assistant Town Manager
DEPARTMENT HEADS
Jason Angell,Development Services Director Curry C. Hale, Human Resources Director
Jocelyn Bronson, Town Clerk Frank Cassidy, Town Attorney
Keith Brann, Town Engineer Erik Montague, Finance Director
Ryan Benavides, Public Works Director Steve Miller, Airport Director
Terry Rozema, Police Chief Laine Sklar, Town Magistrate
Lisa Shafer, Community Development and
Neighborhood Services Director
Carl Drescher, Technology Services Director
Jim Conroy, Parks and Recreation Director John Kmiec, Utilities Director
Curt Woody, Director of Economic Development
viiiTOWN OF MARANA, ARIZONA
ORGANIZATIONAL CHART
FISCAL YEAR 2017
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INDEPENDENT AUDITORS’ REPORT
The Honorable Mayor and Town Council
Town of Marana, Arizona
Marana, Arizona
Report on the Financial Statements
We have audited the accompanying financial statements of the governmental activities, the
business-type activities, each major fund, and the aggregate remaining fund information of
Town of Marana, Arizona, as of and for the year ended June 30, 2017, and the related notes to
the financial statements, which collectively comprise the Town’s basic financial statements as
listed in the table of contents.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial
statements in accordance with accounting principles generally accepted in the United States of
America; this includes the design, implementation, and maintenance of internal control relevant
to the preparation and fair presentation of financial statements that are free from material
misstatement, whether due to fraud or error.
Auditors’ Responsibility
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 of America and the standards applicable to financial audits contained in Government
Auditing Standards, issued by the Comptroller General of the United States. Those standards
require that we plan and perform the audit to obtain reasonable assurance about whether the
financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the auditors’
judgment, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the entity’s preparation and fair presentation of the
financial statements in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the effectiveness of the
entity’s internal control. Accordingly, we express no such opinion. An audit also includes
evaluating the appropriateness of accounting policies used and the reasonableness of
significant accounting estimates made by management, as well as evaluating the overall
presentation of the financial statements.
Tempe • Scottsdale • Casa Grande www.hhcpa.com
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We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinions.
Opinions
In our opinion, the financial statements referred to above present fairly, in all material respects,
the respective financial position of the governmental activities, the business-type activities, each
major fund, and the aggregate remaining fund information of the Town of Marana, Arizona, as of
June 30, 2017, and the respective changes in financial position and, where applicable, cash
flows thereof and the respective budgetary comparison for the General Fund and the Highway
User Revenue Fund for the year then ended in accordance with accounting principles generally
accepted in the United States of America.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the
management’s discussion and analysis and pension information on pages 7-21 and 84-93 be
presented to supplement the basic financial statements. Such information, although not a part of
the basic financial statements, is required by the Governmental Accounting Standards Board,
who considers it to be an essential part of financial reporting for placing the basic financial
statements in an appropriate operational, economic, or historical context. We have applied
certain limited procedures to the required supplementary information in accordance with
auditing standards generally accepted in the United States of America, which consisted of
inquiries of management about the methods of preparing the information and comparing the
information for consistency with management’s responses to our inquiries, the basic financial
statements, and other knowledge we obtained during our audit of the basic financial statements.
We do not express an opinion or provide any assurance on the information because the limited
procedures do not provide us with sufficient evidence to express an opinion or provide any
assurance.
Other Information
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the Town of Marana, Arizona’s basic financial statements. The introductory
section, the combining and individual fund financial statements and schedules, and statistical
section are presented for purposes of additional analysis and are not a required part of the basic
financial statements.
The combining and individual fund financial statements and schedules are the responsibility of
management and were derived from and relate directly to the underlying accounting and other
records used to prepare the basic financial statements. Such information has been subjected to
the auditing procedures applied in the audit of the basic financial statements and certain
additional procedures, including comparing and reconciling such information directly to the
underlying accounting and other records used to prepare the basic financial statements or to the
basic financial statements themselves, and other additional procedures in accordance with
auditing standards generally accepted in the United States of America. In our opinion, the
combining and individual fund financial statements and schedules are fairly stated, in all
material respects, in relation to the basic financial statements as a whole.
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The introductory and statistical sections have not been subjected to the auditing procedures
applied in the audit of the basic financial statements and, accordingly, we do not express an
opinion or provide any assurance on them.
Compliance Over the Use of Highway User Revenue Fund and Other Dedicated State
Transportation Revenue Monies
In connection with our audit, nothing came to our attention that caused us to believe that the
Town of Marana, Arizona failed to use highway user revenue fund monies received by the Town
pursuant to Arizona Revised Statutes Title 28, Chapter 18, Article 2, and any other dedicated
state transportation revenues received by the Town of Marana solely for the authorized
transportation purposes, insofar as they relate to accounting matters. However, our audit was
not directed primarily toward obtaining knowledge of such noncompliance. Accordingly, had we
performed additional procedures, other matters may have come to our attention regarding the
Town of Marana’s noncompliance with the use of highway user revenue fund monies and other
dedicated state transportation revenues, insofar as they relate to accounting matters.
The communication related to compliance over the use of highway user revenue fund and other
dedicated state transportation revenue monies in the preceding paragraph is intended solely for
the information and use of the members of the Arizona State Legislature, the Board of
Supervisors, management, and other responsible parties with the Town and is not intended to
be and should not be used by anyone other than these specified parties.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated
December 4, 2017 on our consideration of the Town’s internal control over financial reporting
and our tests of its compliance with certain provisions of laws, regulations, contracts and grant
agreements and other matters. The purpose of that report is to describe the scope of our
testing of internal control over financial reporting and compliance and the results of that testing,
and not to provide an opinion on internal control over financial reporting or on compliance. That
report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering the Town of Marana, Arizona’s, internal control over financial reporting
and compliance.
Casa Grande, Arizona
December 4, 2017
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MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
(Required Supplementary Information)
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TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
As management of the Town of Marana, Arizona, (Town) we offer readers of the Town’s financial statements this
narrative overview and analysis of the financial activities of the Town for the fiscal year ended June 30, 2017. We
encourage readers to consider the information presented here in conjunction with additional information that we
have furnished in our letter of transmittal, which can be found in the introductory section of this report.
FINANCIAL HIGHLIGHTS
• The Town’s total net position increased by $20.1 million or 5.8 percent from the previous fiscal year 2015-
16. The increase is primarily due to an increase in the cash position related to unspent bond proceeds, an
increase in capital assets, and an increase in funds due from other governments. The increase in cash
position is from unspent bond proceeds related to the expansion of the Marana Wastewater Reclamation
Facility and construction of the groundwater recharge facility. The increase in capital assets is primarily due
to the Tangerine Road Corridor project, Wastewater construction in progress projects, and additions to the
infrastructure of the Marana Center. The increase in funds due from other governments is related to the
increase in capital asset projects that are reimbursable by other governments.
• General revenues from governmental activities, excluding transfers, accounted for $50.1 million in revenue,
or 46.1 percent of all revenues from governmental activities. Program specific revenues in the form of
charges for services and grants and contributions accounted for $58.5 million or 53.9 percent of total
revenues from governmental activities. The Town had $12.3 million of program revenues related to
business-type activities. Overall revenues have increased by 37.9 percent, which can be attributed to
increases in all revenue sources. The largest increases in revenue in fiscal year 2016-17 have been in
reimbursements for capital projects, a 5.8 percent increase in sales taxes, a 17.5 percent increase in state
shared revenues, and a 9.2 percent increase in charges for services.
• The General Fund had $42.7 million in fiscal year 2016-17 revenues, which primarily consisted of sales
taxes, intergovernmental revenue and licenses, fees and permits. The General fund had $36.7 million of
expenditures and $3.9 million in required transfers during the year. The $2.2 million fund balance increase
is attributed to higher than anticipated revenues in sales taxes and licenses, fees and permits as well as
prudent use of Town funds for departmental expenditures.
• Highway User Revenue Fund revenues continue to grow in fiscal year 2016-17 at $3.2 million. Expenditures
were 30 percent higher than the previous year due to a continued focus of the pavement preservation
program. Fund balance decreased by $451,471 and ended the fiscal year at $1.4 million.
• Tangerine Farms Road Improvement District Debt Service Fund, which accounts for special assessments,
had a $17,279 fund balance attributable to the accumulation of prepaid assessments and resources required
for debt service payment. The debt for Tangerine Farms Road Improvement District was refinanced in fiscal
year 2016-17 resulting in an economic gain of $2.1 million and eliminating the July 2017 debt service
payment.
• The PAG/RTA Capital Fund remains a major fund in fiscal year 2016-17 due to the continued increase in
revenues and expenditures primarily related to the Tangerine Road Corridor project. The revenues increased
220.32 percent and the expenditures increased 253.49 percent.
• The Transportation Fund became a major fund in fiscal year 2016-17 due to the accumulation of dedicated
tax revenues for the purpose of financing and constructing transportation improvement projects.
Specifically, the Ina Road Bridge project has dedicated $9.8 million for a joint ADOT/Marana project.
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TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
OVERVIEW OF FINANCIAL STATEMENTS
This discussion and analysis are intended to serve as an introduction to the Town’s basic financial statements. The
Town’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 financial statements are designed to provide
readers with a broad overview of the Town’s finances, in a manner similar to a private-sector business. All of the
activities of the Town, except those of a fiduciary nature, are included in these statements.
The Town’s activities are presented in two columns on these statements; governmental activities and business-type
activities. A total column for these activities is also provided.
• The governmental activities include basic services of the Town including general government (administration),
public safety (police and building safety), highways and streets, health and welfare, economic and community
development, and culture and recreation. These activities are primarily supported by general taxes and
revenues.
• The business-type activities include the private sector-type activities such as water utility, wastewater utility,
and airport operations. These activities are supported primarily through user charges and fees.
The statement of net position presents information on all of the Town’s assets, deferred outflows of resources,
liabilities, and deferred inflows of resources with the difference reported as net position. The focus on net position
is important because increases and decreases in net position may serve as a useful indicator of how the financial
position of the Town may be changing. Increases may indicate an improved financial position. However, decreases
in net position may not necessarily indicate the Town’s financial position is deteriorating. Instead, it may reflect a
situation where the Town may have used previously accumulated funds (i.e., cash collected over time to fund
capital projects). As a result, other financial and non-financial indicators must also be considered to effectively
assess the Town’s overall financial health.
The statement of activities presents information showing how the Town’s net position changed during the most
recent fiscal year. Since economic resources measurement focus and accrual basis of accounting are used for the
government-wide financial statements, all changes in net position 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 long-term debt that has not matured). This statement also focuses on both the gross and net costs of
various Town functions, based only on direct functional revenues and expenses. This is designed to show the
extent to which the various functions are dependent on general taxes and revenues for support.
In addition to the Town itself (primary government), the government-wide financial statements also include the
Marana Municipal Property Corporation, a legally separate entity, for which the Town is financially accountable. The
Corporation also has substantially the same governing board as the Town and provides services entirely to the
Town. Financial information for this component unit is blended into the Town’s financial statements. In addition,
the Gladden Farms Community Facilities District, Gladden Farms Community Facilities District II, Vanderbilt Farms
Community Facilities District and Saguaro Springs Community Facilities District are blended component units.
The government-wide financial statements can be found on pages 27-29 of this report.
8
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Fund financial statements. Also presented are the financial statements for governmental funds and proprietary
funds. A fund 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 uses fund accounting to ensure and demonstrate
compliance with finance-related legal requirements. All of the funds of the Town can be divided into two
categories: governmental funds and proprietary 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 inflows 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 the Town’s near-term financing requirements and determining what financial resources
are available in the near future to fund Town programs.
Because the focus of governmental funds is narrower than that of the government-wide financial statements, it may
be useful to compare the information presented for governmental funds with similar information presented for
governmental activities in the government-wide financial statements. By doing so, readers may better understand
the long-term impact of the Town’s near-term financing decision. To facilitate this comparison, reconciliations of
the differences between the governmental fund balance sheet and statement of revenues, expenditures and
changes in fund balances and government-wide statement of net position and statement of activities are provided
immediately following the respective governmental fund statements.
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, Highway User Revenue,
Tangerine Farms Road Improvement District Debt Service, PAG/RTA Capital, and Transportation Capital Fund all of
which are considered to be major funds. Data from the other governmental funds are combined into a single,
aggregated presentation. Individual fund data for each of these non-major governmental funds is provided in the
form of combining statements and schedules. These statements are included as supplementary information after
the basic financial statements starting on page 104.
The Town adopts an annual budget and legally allocates (or appropriates) available monies for the General,
Highway User Revenue, Tangerine Farms Road Improvement District Debt Service, PAG/RTA Capital, Transportation
Capital, and other non-major governmental funds. Budgetary comparison statements are provided for the General
Fund and Highway User Revenue fund within the basic financial statements on pages 40-41. Budgetary comparison
schedules have been presented for the Town’s major debt and capital funds on pages 99-101, and budgetary
comparison schedules have been presented for the Town’s non-major funds to demonstrate compliance with the
annual budget.
The basic governmental fund financial statements can be found on pages 32-39 of this report.
Proprietary funds. The Town 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 uses enterprise funds to account for its water, wastewater and airport services, which are primarily supported
by user charges and fees. Internal service funds are an accounting device used to accumulate and allocate costs
internally among the Town’s various functions. The Town uses an internal service fund to account for the employee
health and dental benefits. Because the services of internal service funds predominantly benefits 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.
9
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
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.
Required supplementary information other than MD&A. In addition to the basic financial statements and
accompanying notes, this report also presents certain required supplementary information concerning the Town’s
progress in funding its obligation to provide pension and OPEB benefits to its employees. Governments are required
to disclose certain information about employee pension funds. These disclosures are included within Note 9
Employee Retirement Systems beginning on page 64 in addition to the information on pages 84-93 reported as
required supplementary information.
GOVERNMENT-WIDE FINANCIAL ANALYSIS
As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. In the
case of the Town, assets and deferred outflows of resources exceeded liabilities and deferred inflows by $364.6
million as of June 30, 2017. Current and other assets increased $18.9 million or 18.6 percent primarily due to a
higher cash position. This is a result of bond proceeds for Wastewater projects and increased revenues, such as
sales tax and intergovernmental revenue, which exceeded expenditures. The long-term liabilities increased by $24.2
million or 19.6 percent, which is attributable to an issuance of debt for Wastewater projects and an increase in net
pension liability for all pensions.
Net position. The majority of the Town’s net position reflects its investment in capital assets (land, building and
improvements, infrastructure, vehicles and equipment and construction in progress) net of accumulated
depreciation and any related outstanding debt used to acquire or construct those assets. The Town uses these
capital assets to provide services to its citizens; consequently, these assets are not available for future spending.
Although the Town’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. In addition, a portion of the Town’s net position represents resources
that are subject to external restrictions on how they may be used.
The Town’s financial position is the product of several financial transactions including the net results of activities,
the acquisition and payment of debt, the acquisition and disposal of capital assets, and the depreciation of capital
assets.
The following table presents a summary of the Town’s net position for the fiscal years ended June 30, 2017 and
June 30, 2016.
10
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Governmental Activities Business-type Activities Total
2017 2016 2017 2016 2017 2016
Current and other
assets $97,771,267 $ 95,526,859 $ 22,934,999 $ 6,256,381 $120,706,266 $101,783,240
Capital assets, net 273,651,004 262,591,682 126,192,867 117,205,356 399,843,871 379,797,038
Total assets, net 371,422,271 358,118,541 149,127,866 123,461,737 520,550,137 481,580,278
Deferred outflows
related to pensions 10,253,753 6,280,106 573,413 312,937 10,827,166 6,593,043
Deferred charge on
refunding 1,879,822 - - - 1,879,822 -
Total deferred
outflows of
resources 12,133,575 6,280,106 573,413 312,937 12,706,988 6,593,043
Current and other
liabilities 13,558,120 15,246,693 4,553,503 2,897,819 18,111,623 18,144,512
Long-term liabilities 120,641,925 116,451,409 26,657,272 6,674,648 147,299,197 123,126,057
Total liabilities 134,200,045 131,698,102 31,210,775 9,572,467 165,410,820 141,270,569
Deferred inflows
related to pensions 2,936,513 2,220,581 282,195 167,137 3,218,708 2,387,718
Total deferred
inflows of
resources 2,936,513 2,220,581 282,195 167,137 3,218,708 2,387,718
Net position:
Net investment in
capital assets 210,137,199 193,845,100 101,523,564 112,357,140 311,660,763 306,202,240
Restricted 31,162,624 43,127,195 365,485 365,485 31,528,109 43,492,680
Unrestricted 5,119,465 (6,492,331) 16,319,260 1,312,445 21,438,725 (5,179,886)
Total net
position $246,419,288 $230,479,964 $118,208,309 $114,035,070 $364,627,597 $344,515,034
Net investment in capital assets of $311.6 million or 85.5 percent represents the largest portion of net position.
This portion of net position increased by $5.5 million as of June 30, 2017, which is a result of depreciation, deferred
charges on refunding, reduction of related outstanding debt, and additions of capital assets in the governmental
activities offset by a decrease in net investment in capital assets in the business-type activities due to the addition
of new debt for capital projects in the Wastewater fund.
The second portion of net position of $31.5 million or 8.6 percent represents resources that are subject to external
restrictions on how they may be utilized. The decrease of $12 million or 27.5 percent is due to the reclassification
of a portion of the Transportation fund, Downtown Reinvestment fund, and Sales Tax Capital fund to unrestricted
net position as these funds are internally restricted.
The third portion consists of unrestricted net position of $21.4 million or 5.9 percent. The unrestricted balance has
increased by $26.6 million as a result of the reclassification of Transportation fund, Downtown Reinvestment fund,
and Sales Tax Capital fund net position as well as an increase in the General Fund ending fiscal year 2016-17 fund
balance.
11
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Changes in net position. The Town’s total revenues for the fiscal year ended June 30, 2017, were $121.1
million, which was an overall increase of $33.3 million or 37.9 percent. A significant portion of the increase of $27.9
million was in capital grants and contributions, which is due to reimbursable project costs. Specifically an increase of
$16.5 million in capital grants and contributions was related to the Tangerine Road Corridor project. Sales tax
revenues overall have also continued to increase, which is largely due to new commercial development, such as the
Tucson Premium Outlet Mall and an overall recovering economy. Additionally, state shared revenues continued to
increase. The $1.6 million or 17.5 percent increase in state shared revenues indicates that the State revenues are
also seeing an upward trend.
The total cost of all programs and services was $100.9 million. The increase of $24.3 million or 31.7 percent is
primarily attributable to the Tangerine Road Corridor project costs related to other jurisdictions. The Town of
Marana is the project sponsor for the Tangerine Road Corridor project, however $18.9 million of expenditures for
the project were attributable to Oro Valley, Pima County, and utility companies. Additionally, increases in program
costs are related to team based performance increases and development agreement reimbursements. The following
table presents a summary of the changes in net position for the fiscal years ended June 30, 2017 and June 30,
2016.
12
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Governmental Activities Business-type Activities Total
2017 2016 2017 2016 2017 2016
Revenues:
Program revenues:
Charges for services $ 9,550,903 $9,078,618 $ 6,380,137 $ 5,506,685 $15,931,040 $14,585,303
Operating grants and
contributions 4,619,454
4,507,508
-
-
4,619,454
4,507,508
Capital grants and
contributions 44,370,835
17,157,378 5,940,747
5,213,843
50,311,582
22,371,221
General revenues:
Sales taxes 37,500,219 35,441,585 - - 37,500,219 35,441,585
Property taxes 508,819 481,368 - - 508,819 481,368
Franchise taxes 488,477 446,702 - - 488,477 446,702
State shared revenues 10,619,017 9,039,130 - - 10,619,017 9,039,130
Investment income 237,809 173,412 42,545 16,169 280,354 189,581
Miscellaneous
revenues 744,452 676,157 54,031 19,030 798,483 695,187
Total revenues 108,639,985 77,001,858 12,417,460 10,755,727 121,057,445 87,757,585
Expenses:
General government 19,393,387 17,530,967 - - 19,393,387 17,530,967
Public safety 16,735,675 14,423,483 - - 16,735,675 14,423,483
Highways and streets 40,172,247 22,659,226 - - 40,172,247 22,659,226
Health and welfare 277,906 - - - 277,906 -
Economic and
community development 4,901,872 4,778,875 - - 4,901,872 4,778,875
Culture and recreation 6,006,335 3,422,289 - - 6,006,335 3,422,289
Interest on long-term
debt 2,335,044 3,961,632 - - 2,335,044 3,961,632
Water - - 5,367,466 4,404,767 5,367,466 4,404,767
Wastewater - - 3,982,665 3,662,534 3,982,665 3,662,534
Airport - - 1,772,285 1,828,619 1,772,285 1,828,619
Total expenses 89,822,466 66,776,472 11,122,416 9,895,920 100,944,882 76,672,392
Increase/(decrease)
in net position before
transfers
18,817,519
10,225,386
1,295,044
859,807
20,112,563
11,085,193
Transfers
(2,878,195)
(2,176,697)
2,878,195
2,176,697
-
-
Increase/(decrease)
in net position
15,939,324
8,048,689
4,173,239
3,036,504
20,112,563
11,085,193
Net position,
beginning of year
230,479,964
222,431,275
114,035,070
110,998,566
344,515,034
333,429,841
Net position, end of
year
$246,419,288
$230,479,964
$118,208,309
$114,035,070
$364,627,597
$344,515,034
13
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Governmental Activities. Governmental activities increased net position by $15.9 million for fiscal year ended
June 30, 2017. This increase is attributable to the increase in capital grants and contributions, sales tax revenue
and state shared revenues. The capital grants and contributions increase of $27.2 million is primarily due to the one
time revenues received in intergovernmental revenue for reimbursement of project expenditures in the PAG Capital
Fund. The sales tax revenue increased by $2 million from the prior year, which is a slight increase from the prior
year due to continued development and economic growth.
Transfers increased by $0.7 million from the prior year. This is due to a contribution from governmental funds to
the Wastewater fund of $3.2 million as part of the debt issuance to fund the Wastewater recharge facility. This
increase was offset by contributions from Water and Wastewater to governmental activities for debt service
payments.
The following table presents the cost of the nine major Town functional activities. The table also shows each
function’s net cost (total cost less charges for services generated by the activities and intergovernmental aid
provided for specific programs). The net cost shows the financial burden that was placed on the State and Town’s
taxpayers by each of these functions.
Year Ended June 30, 2017 Year Ended June 30, 2016
Total Net (Expense)/ Total Net (Expense)/
Expenses Revenue Expenses Revenue
Governmental Activities
General government $ 19,393,387 $ (14,113,064) $ 17,530,967 $(12,422,551)
Public safety 16,735,675 (15,805,657) 14,423,483 (13,542,295)
Highways and streets 40,172,247 4,836,412 22,659,226 (6,231,653)
Health and welfare 277,906 (256,595) - 20,882
Economic and community
development 4,901,872 1,190,122 4,778,875 2,195,899
Culture and recreation 6,006,335 (4,797,448) 3,422,289 (2,091,618)
Interest on long-term debt 2,335,044 (2,335,044) 3,961,632 (3,961,632)
Total $ 89,822,466 $ (31,281,274) $ 66,776,472 $(36,032,968)
Business-Type Activities
Water $ 5,367,466 $ 3,048,700 $ 4,404,767 $ 3,597,051
Wastewater 3,982,665 (1,153,624) 3,662,534 (1,483,289)
Airport 1,772,285 (696,608) 1,828,619 (1,289,154)
Total $ 11,122,416 $ 1,198,468 $ 9,895,920 $ 824,608
• The cost of all governmental activities this year was $89.8 million. The 37.3 percent increase in
governmental activities expenses is primarily due to costs associated with the Tangerine Road Corridor
project of $18.9 million, an increase in expenses due to development agreements of $1.1 million, an
increase in expense related to the issuance of debt of $1 million, and the cost of team based increases for
employees.
• Net cost of governmental activities of $31.3 million was largely financed by general revenues, which are
made up of primarily sales taxes totaling $37.5 million.
14
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
• The general government expenses increased $1.8 million or 10.6 percent. This is primarily due costs
associated with the issuance of debt and with team based increases for employees.
• Highway and streets expenses increased $17.5 million or 77.3 percent due to an increase in construction
projects of $18.9 million that was not eligible for capitalization and cost of living and merit increases for
employees.
The following graph shows the functional revenues and expenses of the governmental activities in order to
demonstrate the extent to which the governmental functions produce direct revenues to offset related program
costs. It should be noted that this graph is not intended to represent a full allocation to these functions. As
described above, expenses not covered by direct program revenues are covered by the Town’s general revenues
which consist primarily of taxes and unrestricted State shared revenues. In governmental activities, the functional
revenues of $58.5 million are 65.2 percent of expenses for fiscal year 2017, up from 45.8 percent a year earlier. As
described earlier, this increase is attributable to higher collections in the capital grants and contributions revenues
related to a one time reimbursements of major capital projects.
As seen on the following graphs, the largest revenue source for the Town’s governmental activities is capital grants
and contributions at 40.8 percent, followed by sales tax revenues at 34.5 percent, State shared revenues at 9.8
percent, and charges for services at 8.8 percent. The Town’s largest expense category is highways and streets at
44.7 percent, followed by general government at 21.6 percent and public safety at 18.6 percent.
15
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
16
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Business-type Activities
Business-type activities’ net position increased by $4.2 million for fiscal year ended June 30, 2017. This increase is
largely related to the transfer of funds from the General Fund to support functions and projects within the Airport
and Wastewater funds. Charges for services increased slightly due to new water and wastewater customers.
Capital grants and contributions increased by $0.7 million or 13.9 percent. This was primarily due to an increase in
infrastructure contributed to the Town from developers largely for Water and Wastewater related infrastructure in
Gladden Farms and Willow Vista.
Business-type activity expenses increased by $1.2 million or 12.4 percent as a result of bond issuance costs,
increased costs for system repairs and upgrades, and cost of team based increases for employees.
The Town’s largest overall business-type activity is the Water Utility with $5.4 million in expenses and $8.4 million in
program revenues during the year. The second largest activity is the Wastewater Utility with $4 million in expenses
and $2.8 million in program revenues, followed by the Airport with $1.8 million in expenses and $1.1 million in
program revenues.
As seen on the following graph, the largest revenue source for the Town’s business-type activities is charges for
services revenues at 51.4 percent followed by capital grants and contributions at 47.8 percent.
17
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
FINANCIAL ANALYSIS OF THE TOWN’S FUNDS
As noted earlier, the Town uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements.
Governmental Funds. The focus of the Town’s governmental funds is to provide information on near-term
inflows, outflows, and balances of spendable resources. Such information is useful in assessing the Town’s
financing requirements. In particular, unrestricted fund balance may serve as a useful measure of the Town’s net
resources available for spending at the end of the fiscal year.
The financial performance of the Town as a whole is reflected in its governmental funds. As of June 30, 2017, the
Town’s governmental funds reported a combined fund balance of $73.1 million, of which $20.7 million is unassigned
and undesignated and therefore available for spending at the Town’s discretion.
The General Fund, which is the principal operating fund of the Town, had a fund balance of $25 million. Revenues
and expenditures increased slightly from the previous year. The primary increases in revenues were related to sales
taxes, intergovernmental, and licenses, fees and permits. The increase in expenditures relates to team based
increases for employees.
The Highway User Revenue Fund had a fund balance of $1.3 million which reflected a decrease of $0.5 million from
a year earlier. Revenues increased slightly over the prior year. Expenditures increased due to the pavement
preservation program.
18
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Proprietary funds. The proprietary funds in the financial statements are prepared on the same measurement
focus and accounting basis as the government-wide financial statements, but they provide more detail since each
major enterprise fund is presented discretely. Of the total proprietary funds net position of $118 million, $101.5
million comprised the funds’ net investment in capital assets. $0.4 million is restricted for debt service and
unrestricted net position of $16.3 million. The factors concerning the finances of these funds, as well as the
changes in net position, have been addressed previously in the discussion of the Town’s business-type activities.
BUDGETARY HIGHLIGHTS
The Town’s annual adopted budget established the legal level of expenditure control. Budgetary comparison
statements are required for the General Fund and all major special revenue funds. These statements compare the
original budget, the budget as amended throughout the year, and the actual revenues and expenditures.
Budgetary schedules for other governmental funds are also presented in this report as other supplementary
information.
Although agriculture remains a major force in Marana’s economy, a recent influx of residential and commercial
development has occurred due to the Town’s location between Phoenix and Tucson along I-10 and the Union Pacific
Railroad. The Town is also a business-friendly government, which does not impose a Marana property tax. General
Fund revenues exceeded conservative budget projections in several key revenue sources like sales taxes and
licenses, permits and fees. Departments maintained their conservative use of available resources. The prudent
use of funds as well as higher than expected revenues resulted in an increase in fund balance of $2.2 million. The
General Fund budget and actual variances are shown on page 40.
Amendments to the adopted budget may occur throughout the year between departments within the General Fund
and between funds in all other funds in a legally permissible manner (see Note 3 – Budgetary Control). Budget
adjustments between departments in the General Fund did occur. However, none of the amendments were
significant.
CAPITAL ASSETS AND DEBT ADMINISTRATION
Capital Assets. As of June 30, 2017 the Town had invested $399.8 million in governmental and business-type
capital assets (net of accumulated depreciation). Total depreciation expense for the year was $23.1 million, with
$18.5 million attributed to governmental activities and $4.6 million to business-type activities.
The following schedule presents capital asset balances for the fiscal years ended June 30, 2017 and June 30, 2016.
Additional information on the Town’s capital assets can be found in Note 5.
19
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Governmental Activities Business-type Activities Total
As of As of As of As of As of As of
June 30, 2017 June 30, 2016
June 30,
2017
June 30,
2016 June 30, 2017 June 30, 2016
Land $ 6,988,518 $ 6,454,735 $ 4,493,811 $ 4,493,811 $ 11,482,329 $ 10,948,546
Water rights
-
- 4,430,930
3,910,572
4,430,930
3,910,572
Construction in
progress
30,921,798
16,645,530
12,804,795
5,125,442
43,726,593
21,770,972
Buildings and
improvements
45,283,387
45,328,901
134,089,117
128,848,242
179,372,504
174,177,143
Machinery and
equipment
20,258,351
19,664,154
1,426,571
1,288,382
21,684,922
20,952,536
Infrastructure
356,969,064
343,590,031
-
-
356,969,064
343,590,031
Less:
Accumulated
depreciation
(186,770,114)
(169,091,669)
(31,052,357)
(26,461,093)
(217,822,471)
(195,552,762)
Total
$273,651,004
$262,591,682
$126,192,867
$117,205,356
$399,843,871
$379,797,038
Major capital asset events during the current fiscal year included the following:
• Completion of the Tangerine/Downtown Sewer Conveyance System Phase 1 of $3.1 million.
• The purchase of various vehicles and equipment at a total cost of $1.5 million
• Construction of the Tangerine/Downtown Sewer Conveyance System Phase 2 (construction in progress
as of the close of the fiscal year had reached ($2.1 million)
• Expansion of the wastewater reclamation facility to 1 Millions of Gallons per Day (MGD) (construction in
progress as of the close of the fiscal year had reached $5.8 million)
• Design and construction of the new Police Facility (construction in progress as of the close of the fiscal
year had reached $1.8 million)
• Widening of Tangerine Road (construction in progress as of the close of the fiscal year had reached
$20.4 million).
Debt Administration. At year-end, the Town had $111 million in long-term debt obligations outstanding with
$2.6 million due within one year.
The Town’s total debt increased by $15.6 million during the current fiscal year. The reason for the increase is due to
an issuance of debt for Wastewater related capital projects offset by decreases due to regularly scheduled principal
reductions.
The following table presents a summary of the Town’s outstanding debt for the fiscal years ended June 30, 2017
and June 30, 2016. Additional information on the Town’s long-term obligations can be found in Note 6.
20
TOWN OF MARANA, ARIZONA
MANAGEMENT’S DISCUSSION AND ANALYSIS (MD&A)
YEAR ENDED JUNE 30, 2017
Governmental Activities Business-type Activities Total
2017 2016 2017 2016 2017 2016
General
obligation bonds $ 7,955,000 $ 7,835,000 $ -$ -$ 7,955,000 $ 7,835,000
Revenue bonds 57,840,000 64,090,000 20,858,000 1,214,000 78,698,000 65,304,000
Special
assessment
bonds 14,245,132 15,927,000 - - 14,245,132 15,927,000
Loan payable - - 3,421,057 3,634,216 3,421,057 3,634,216
Deferred bond
premium 6,253,495 2,624,582 390,246 -6,643,741 2,624,582
Total $86,293,627 $90,476,582 $24,669,303 $4,848,216 $110,962,930 $95,324,798
ECONOMIC FACTORS AND NEXT YEAR’S BUDGET AND RATES
Our Town has been a leader in residential construction activity in Pima County since the late 1990s. The Town
continues to grow in residential and commercial development. The Town is committed to provide exceptional
services and programs to our citizens. As a result, the Town adopted a fiscal year 2017-18 budget focused on the
Strategic Plan III principles and goals. The 2016-17 budget increased by $30.3 million or 17.8%.The majority of this
increase is attributable to our investment in capital outlay for transportation, park, water, wastewater, and airport
capital improvement projects. Several key revenues like sales taxes, State shared revenues, building permits and
planning fees increased modestly during the fiscal year. The budget is structurally balanced with ongoing revenues
supporting ongoing program expenditures. The budget document is the comprehensive decision making tool
resulting from the annual budget process. The budget is a long-range plan by which financial policy is implemented
and controlled.
CONTACTING THE TOWN’S FINANCIAL MANAGEMENT
This financial report is designed to provide our citizens, taxpayers, and investors and creditors with a general
overview of the Town’s finances and to demonstrate the Town’s accountability for the resources it receives. If you
have questions about this report or need additional information, contact the Finance Department, Town of Marana,
Arizona at 11555 West Civic Center Drive, Marana, Arizona 85653, or visit www.MaranaAZ.gov.
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22
BASIC FINANCIAL STATEMENTS
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24
GOVERNMENT-WIDE FINANCIAL STATEMENTS
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26
The notes to the financial statements are an integral part of this statement.
TOWN OF MARANA, ARIZONA
STATEMENT OF NET POSITION
JUNE 30, 2017
Governmental
Activities
Business-type
Activities Total
ASSETS
Current assets:
Cash and cash equivalents 58,289,254$ 23,753,898$ 82,043,152$
Property taxes receivable 1,924 - 1,924
Accounts receivable 298,533 929,493 1,228,026
Interest receivable 29,108 - 29,108
Due from other governments 11,522,584 85,599 11,608,183
Internal balances 150,000 (150,000) -
Prepaid items 293,527 25,368 318,895
Total current assets 70,584,930 24,644,358 95,229,288
Noncurrent assets:
Assessment receivable 14,245,132 - 14,245,132
Restricted cash and investments 10,866,361 365,485 11,231,846
Internal balances 2,074,844 (2,074,844) -
Capital assets not depreciated 37,910,316 21,729,536 59,639,852
Capital assets (net of depreciation)235,740,688 104,463,331 340,204,019
Total noncurrent assets 300,837,341 124,483,508 425,320,849
Total assets 371,422,271 149,127,866 520,550,137
DEFERRED OUTFLOWS OF RESOURCES
Deferred outflows related to pensions 10,253,753 573,413 10,827,166
Deferred charge on refunding 1,879,822 - 1,879,822
Total deferred outflows of resources 12,133,575 573,413 12,706,988
LIABILITIES
Current liabilities:
Accounts payable 7,627,738 3,162,920 10,790,658
Accrued payroll and employee benefits 585,137 45,937 631,074
Unearned revenue 325,145 1,960 327,105
Deposits held for others 543,326 700,907 1,244,233
Due to other government 90,207 125,460 215,667
Claims payable 256,982 - 256,982
Accrued interest payable 934,434 64,405 998,839
Compensated absences 980,151 93,429 1,073,580
Loan payable - 219,485 219,485
General obligation bonds - CFD 210,000 - 210,000
Revenue bonds 2,005,000 139,000 2,144,000
Total current liabilities 13,558,120 4,553,503 18,111,623
Noncurrent liabilities:
Compensated absences 108,905 10,382 119,287
Net pension liablity 36,454,393 2,336,072 38,790,465
Loan payable - 3,201,572 3,201,572
General obligation bonds - CFD 7,745,000 - 7,745,000
Special assessment bonds - TRFID 14,245,132 - 14,245,132
Revenue bonds 62,088,495 21,109,246 83,197,741
Total non-current liabilities 120,641,925 26,657,272 147,299,197
Total liabilities 134,200,045 31,210,775 165,410,820
DEFERRED INFLOWS OF RESOURCES
Deferred inflows related to pensions 2,936,513 282,195 3,218,708
Total deferred inflows of resources 2,936,513 282,195 3,218,708
NET POSITION
Net investment in capital assets 210,137,199 101,523,564 311,660,763
Restricted for:
Capital projects 25,661,723 - 25,661,723
Debt service - 365,485 365,485
General government 2,040,065 - 2,040,065
Public safety 1,879,344 - 1,879,344
Highways and streets 1,360,670 - 1,360,670
Economic and community development 220,822 - 220,822
Unrestricted 5,119,465 16,319,260 21,438,725 Total net position 246,419,288$ 118,208,309$ 364,627,597$
27
Program Revenues
Functions/Programs Expenses
Charges for
Services
Operating
Grants and
Contributions
Capital Grants
and
Contributions
Primary Government
Governmental activities:
General government 19,393,387$ 4,908,415$ 367,214$ 4,694$
Public safety 16,735,675 - 842,952 87,066
Highways and streets 40,172,247 - 3,142,347 41,866,312
Health and welfare 277,906 - 21,311 -
Economic and community
development 4,901,872 4,355,271 212,352 1,524,371
Culture and recreation 6,006,335 287,217 33,278 888,392
Interest on long-term debt 2,335,044 - - -
Total governmental activities 89,822,466 9,550,903 4,619,454 44,370,835
Business-type activities:
Water 5,367,466 5,063,500 - 3,352,666
Wastewater 3,982,665 1,065,638 - 1,763,403
Airport 1,772,285 250,999 - 824,678
Total business-type activities 11,122,416 6,380,137 - 5,940,747 Total primary government 100,944,882$ 15,931,040$ 4,619,454$ 50,311,582$
General revenues:
Taxes:
Sales taxes
Property taxes
Franchise taxes
State shared revenues, unrestricted
Investment income
Miscellaneous
Transfers
Total general revenues and transfers
Changes in net position
Net position, beginning of year
Net position, end of year
The notes to the financial statements are an integral part of this statement.
TOWN OF MARANA, ARIZONA
STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2017
28
Net (Expense) Revenue and Changes in Net Position
Governmental
Activities
Business-type
Activities Totals
(14,113,064)$ -$ (14,113,064)$
(15,805,657) - (15,805,657)
4,836,412 - 4,836,412
(256,595) - (256,595)
1,190,122 - 1,190,122
(4,797,448) - (4,797,448)
(2,335,044) - (2,335,044)
(31,281,274) - (31,281,274)
- 3,048,700 3,048,700
- (1,153,624) (1,153,624)
- (696,608) (696,608)
- 1,198,468 1,198,468
(31,281,274) 1,198,468 (30,082,806)
37,500,219 - 37,500,219
508,819 - 508,819
488,477 - 488,477
10,619,017 - 10,619,017
237,809 42,545 280,354
744,452 54,031 798,483
(2,878,195) 2,878,195 -
47,220,598 2,974,771 50,195,369
15,939,324 4,173,239 20,112,563
230,479,964 114,035,070 344,515,034
246,419,288$ 118,208,309$ 364,627,597$
29
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30
FUND FINANCIAL STATEMENTS
31
General Fund
Highway User
Revenue
Tangerine Farms
Improvement
District Debt
Service
ASSETS
Cash and cash equivalents 18,744,514$ 1,611,613$ 18,220$
Property taxes receivable - - -
Accounts receivable 245,166 - -
Special assessments receivable - - 14,245,132
Interest receivable 13 - -
Development agreement receivable - - -
Due from other governments 3,593,654 292,523 -
Due from other funds 5,272,795 - -
Prepaid items 292,195 - -
Restricted cash and investments - - -
Total assets 28,148,337$ 1,904,136$ 14,263,352$
LIABILITIES
Accounts payable 1,714,372$ 537,366$ 941$
Accrued payroll and employee benefits 557,245 6,100 -
Due to other funds - - -
Due to other governments 88,512 - -
Deposits held for others 467,568 - -
Unearned revenue 313,529 - -
Total liabilities 3,141,226 543,466 941
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue - - 14,245,132
Total deferred inflows of resources - - 14,245,132
FUND BALANCES (DEFICITS)
Nonspendable 2,367,039 - -
Restricted - 1,360,670 17,279
Unassigned 22,640,072 - -
Total fund balances (deficits)25,007,111 1,360,670 17,279
Total liabilities, deferred inflow of
resources, and fund balances (deficits) 28,148,337$ 1,904,136$ 14,263,352$
TOWN OF MARANA, ARIZONA
BALANCE SHEET - GOVERNMENTAL FUNDS
JUNE 30, 2017
The notes to the financial statements are an integral part of this statement.
32
PAG/RTA
Capital Transportation
Non-Major
Governmental
Funds
Total
Governmental
Funds
-$ 2,674,827$ 34,277,331$ 57,326,505$
- - 1,924 1,924
- - 1,436 246,602
- - - 14,245,132
- 21,765 7,330 29,108
- - 51,931 51,931
4,986,146 878,832 1,771,429 11,522,584
- - - 5,272,795
- - 1,332 293,527
- 9,844,826 1,021,535 10,866,361
4,986,146$ 13,420,250$ 37,134,248$ 99,856,469$
3,756,078$ 591,398$ 977,190$ 7,577,345$
- - 21,792 585,137
3,035,622 - 12,329 3,047,951
- - - 88,512
51,547 - 75,758 594,873
- - 11,616 325,145
6,843,247 591,398 1,098,685 12,218,963
51,115 - 281,380 14,577,627
51,115 - 281,380 14,577,627
- 1,332 2,368,371
- 12,828,852 35,752,851 49,959,652
(1,908,216) - - 20,731,856
(1,908,216) 12,828,852 35,754,183 73,059,879
4,986,146$ 13,420,250$ 37,134,248$ 99,856,469$
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34
Total governmental fund balances 73,059,879$
Amounts reported for governmental activities in the Statement of Net
Position are different because:
Capital assets used in governmental activities are not financial resources
and, therefore, are not reported in the governmental funds:
Governmental capital assets 460,421,118$
Less accumulated depreciation (186,770,114) 273,651,004
Long-term liabilities, such as net pension liabilities and bonds payable, are
not due and payable in the current period and, therefore, are not reported
in the governmental funds:
Compensated absences (1,089,056)
Revenue bonds payable (57,840,000)
General obligation bonds payable (7,955,000)
Special assessment bonds (14,245,132)
Net pension liability (36,454,393)
Accrued interest payable (934,434) (118,518,015)
Internal Service Funds are used by management to charge the costs of
health and dental services. The assets and liabilities of the Internal
Service Fund are included in governmental activities in the Statement of
Net Position.705,226
Deferred items related to the issuance of bonds and resources related to
pensions are applicable to future reporting periods and, therefore, are not
reported in the funds.
Bond premium (6,253,495)
Deferred charge on refunding 1,879,822
Deferred inflows related to pensions (2,936,513)
Deferred outflows related to pensions 10,253,753 2,943,567
Other long-term assets are not available to pay for current period
expenditures and, therefore, are reported as unavailable revenue in the funds.
Intergovernmental revenue 92,965
Special assessments revenue 14,484,662 14,577,627
Net position of governmental activities 246,419,288$
The notes to the financial statements are an integral part of this statement.
TOWN OF MARANA, ARIZONA
RECONCILIATION OF THE BALANCE SHEET - GOVERNMENTAL FUNDS
TO THE STATEMENT OF NET POSITION
YEAR ENDED JUNE 30, 2017
35
General Fund
Highway User
Revenue
Tangerine Farms
Improvement
District Debt
Service
Revenues:
Sales taxes 25,288,246$ -$ -$
Property taxes - - -
Intergovernmental 10,716,725 3,142,347 -
Licenses, fees & permits 4,848,236 - -
Fines, forfeitures & penalties 574,884 - -
Charges for services 562,649 - -
Lease income 113,298 - -
Special assessments - - 2,340,225
Contributions 64,571 - -
Investment income 81,908 6,181 -
Miscellaneous 447,622 7,508 -
Total revenues 42,698,139 3,156,036 2,340,225
Expenditures:
Current -
General government 11,796,946 - -
Public safety 13,575,091 - -
Highways and streets 2,215,090 3,591,157 -
Health and welfare 365,200 - -
Economic and community development 4,242,792 - -
Culture and recreation 3,940,874 - -
Capital outlay 610,828 16,350 -
Debt service -
Principal retirement - - 1,458,000
Interest and fiscal charges - - 731,949
Bond issuance costs - - 52,322
Total expenditures 36,746,821 3,607,507 2,242,271
Excess (deficiency) of revenues over
expenditures 5,951,318 (451,471) 97,954
Other financing sources (uses):
Face value of bonds issued - - 14,245,132
Refunded bond escrow payment - - (14,801,787)
Premium on bonds issued - - -
Proceeds from sale of capital assets 45,368 - -
Transfers in 53,783 - -
Transfers out (3,886,141) - -
Total other financing sources (uses)(3,786,990) - (556,655)
Changes in fund balances 2,164,328 (451,471) (458,701)
Fund balances (deficits), beginning of year 22,842,783 1,812,141 475,980
Fund balances (deficits), end of year 25,007,111$ 1,360,670$ 17,279$
TOWN OF MARANA, ARIZONA
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2017
The notes to the financial statements are an integral part of this statement.
36
PAG/RTA Capital Transportation
Non-Major
Governmental
Funds
Total
Governmental
Funds
-$ 5,667,969$ 6,544,005$ 37,500,220$
- - 520,939 520,939
22,963,147 - 6,439,172 43,261,391
- - 2,230,181 7,078,417
- - 153,085 727,969
- - - 562,649
- - - 113,298
- - - 2,340,225
- - 149,401 213,972
- 81,273 68,446 237,808
- - 4,688 459,818
22,963,147 5,749,242 16,109,917 93,016,706
- 854,790 694,823 13,346,559
- - 901,510 14,476,601
- 117,296 113,923 6,037,466
- - - 365,200
- - 398,883 4,641,675
- - 325,561 4,266,435
24,511,580 1,406,030 7,730,336 34,275,124
- - 3,625,000 5,083,000
- - 3,150,295 3,882,244
- - 793,147 845,469
24,511,580 2,378,116 17,733,478 87,219,773
(1,548,433) 3,371,126 (1,623,561) 5,796,933
- - 27,820,000 42,065,132
- - (32,063,864) (46,865,651)
- - 4,089,196 4,089,196
- - - 45,368
- - 7,626,022 7,679,805
- (437,399) (6,234,460) (10,558,000)
- (437,399) 1,236,894 (3,544,150)
(1,548,433) 2,933,727 (386,667) 2,252,783
(359,783) 9,895,125 36,140,850 70,807,096
(1,908,216)$ 12,828,852$ 35,754,183$ 73,059,879$
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38
Net changes in fund balances - total governmental funds 2,252,783$
Amounts reported for governmental activities in the Statement of Activities
are different because
Governmental funds report the portion of capital outlay for capitalized assets
as expenditures. However, in the Statement of Activities, the costs of those
assets are allocated over their estimated useful lives depreciation
expense.
Expenditures for capitalized assets 16,051,747$
Less current year depreciation (18,550,407) (2,498,660)
Debt proceeds provide current financial resources to governmental funds, but
issuing debt increases long-term liabilities in the Statement of Net Position.
Repayment of debt principal is an expenditure in the governmental funds, but
the repayment reduces long-term liabilities in the Statement of Net Position.
Debt issued (42,242,917)
Premium on bonds (4,089,196)
Payment to escrow agent for refunding 46,865,651
Special assessment bond retirement 1,458,000
General obligation bond retirement 265,000
Revenue bond principal retirement 3,360,000 5,616,538
Contributions of infrastructure assets are not recorded as revenues
in the governmental funds.13,557,982
Some revenues and expenses reported in the Statement of Activities do not
require the use of current financial resources and therefore are not reported
as revenues or expenditures in governmental funds.
Accrued interest 1,095,194
Intergovernmental revenue (694,769)
Special assessments (1,620,486)
Compensated absences (47,348)
Proceeds from the sale of capital assets (45,368)
Gain on sale of assets 45,368
Amortization of deferred charges 446,239 (821,170)
Town pension contributions are reported as expenditures in the governmental funds
when made. However, they are reported as deferred outflows of resources in the
Statement of Net Position because the reported net pension liability is measured a
year before the Town's report date. Pension expense, which is the change in the
net pension liability adjusted for changes in deferred outflows and inflows of
resources related to pensions, is reported in the Statement of Activities.
Town pension contributions 2,775,991
Pension expense (5,149,012) (2,373,021)
Internal service funds are used by the Town to charge the costs of health
and dental services. The net revenue (expense) is reported with governmental
activities in the Statement of Activities.204,872
Change in net position in governmental activities 15,939,324$
The notes to the financial statements are an integral part of this statement.
TOWN OF MARANA, ARIZONA
RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES
IN FUND BALANCES - GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES
YEAR ENDED JUNE 30, 2017
39
The notes to the financial statements are an integral part of this statement.
TOWN OF MARANA, ARIZONA
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - GENERAL FUND
YEAR ENDED JUNE 30, 2017
Budgeted Amounts
Original Final Actual
Revenues:
Sales taxes 24,156,385$ 24,156,385$ 25,288,246$ 1,131,861$
Intergovernmental 10,805,072 10,805,072 10,716,725 (88,347)
Licenses, fees & permits 4,073,385 4,073,385 4,848,236 774,851
Fines, forfeitures & penalties 640,000 640,000 574,884 (65,116)
Charges for services 519,524 519,524 562,649 43,125
Lease income 125,000 125,000 113,298 (11,702)
Contributions 46,000 46,000 64,571 18,571
Investment income 200,000 200,000 81,908 (118,092)
Miscellaneous 502,819 502,819 447,622 (55,197)
Total revenues 41,068,185 41,068,185 42,698,139 1,629,954
Expenditures:
General government:
General government 6,278,097 5,683,523 2,345,442 3,338,081
Town council 289,572 289,572 267,108 22,464
Town clerk 497,244 497,244 466,184 31,060
Town manager 1,650,390 1,650,390 1,501,093 149,297
Human resources 879,634 879,634 781,856 97,778
Facilities 1,074,967 1,074,967 990,718 84,249
Finance 1,212,225 1,212,225 1,012,844 199,381
Legal 832,495 852,495 850,003 2,492
Technology services 2,554,348 2,609,348 2,606,888 2,460
Municipal courts 1,033,015 1,033,015 955,007 78,008
Public Safety:
Police 12,413,909 12,713,909 12,703,164 10,745
Building safety 1,121,615 1,121,615 864,693 256,922
Code Enforcement 66,095 58,675 7,234 51,441
Highways and streets:
Public works 2,490,576 2,490,576 2,215,090 275,486
Health and welfare:
Animal Services 222,000 367,733 365,200 2,533
Economic and community development:
Development services 4,117,978 4,121,265 3,436,209 685,056
Economic development and tourism 200,285 196,998 195,039 1,959
Community development 705,765 713,185 611,544 101,641
Culture and recreation:
Parks and recreation 4,709,900 4,783,741 3,940,874 842,867
Capital outlay 638,595 638,595 630,631 7,964
Total expenditures 42,988,705 42,988,705 36,746,821 6,241,884
Excess (deficiency) of revenues over
expenditures (1,920,520) (1,920,520) 5,951,318 7,871,838
Other financing sources (uses):
Proceeds from the sale of capital assets 150,000 150,000 45,368 (104,632)
Transfers in - - 53,783 53,783
Transfers out (5,371,145) (5,371,145) (3,886,141) 1,485,004
Total other financing sources (uses)(5,221,145) (5,221,145) (3,786,990) 1,434,155
Changes in fund balances (7,141,665) (7,141,665) 2,164,328 9,305,993
Fund balances, beginning of year - - 22,842,783 22,842,783
Fund balances, end of year (7,141,665)$ (7,141,665)$ 25,007,111$ 32,148,776$
Variance -
Positive
(Negative)
40
The notes to the financial statements are an integral part of this statement.
Budgeted Amounts
Original Final Actual
Variance -
Positive
(Negative)
Revenues:
Intergovernmental 3,093,263$ 3,093,263$ 3,142,347$ 49,084$
Investment income 7,500 7,500 6,181 (1,319)
Miscellaneous - - 7,508 7,508
Total revenues 3,100,763 3,100,763 3,156,036 55,273
Expenditures:
Current -
Highways and streets 3,368,300 3,375,520 3,591,157 (215,637)
Capital outlay 498,877 491,657 16,350 475,307
Total expenditures 3,867,177 3,867,177 3,607,507 259,670
Excess (deficiency) of revenues over
expenditures (766,414) (766,414) (451,471) 314,943
Fund balances, beginning of year - - 1,812,141 1,812,141
Fund balances, end of year (766,414)$ (766,414)$ 1,360,670$ 2,127,084$
TOWN OF MARANA, ARIZONA
STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - HIGHWAY USER REVENUE FUND
YEAR ENDED JUNE 30, 2017
41
TOWN OF MARANA, ARIZONA
STATEMENT OF NET POSITION
PROPRIETARY FUNDS
JUNE 30, 2017
Business-type Activities
Governmental
Activities
Water Wastewater Airport
Total Enterprise
Funds
Internal Service
Funds
ASSETS
Current assets:
Cash and cash equivalents 3,805,577$ 19,889,949$ 58,372$ 23,753,898$ 962,749$
Accounts receivable 698,849 174,504 56,140 929,493 -
Due from governments - - 85,599 85,599 -
Prepaid items 25,368 - - 25,368 -
Total current assets 4,529,794 20,064,453 200,111 24,794,358 962,749
Noncurrent assets:
Restricted cash 365,485 - - 365,485 -
Capital assets not depreciated 8,183,408 10,737,684 2,808,444 21,729,536 -
Capital assets (net of depreciation)23,796,441 65,932,875 14,734,015 104,463,331 -
Total noncurrent assets 32,345,334 76,670,559 17,542,459 126,558,352 -
Total assets 36,875,128 96,735,012 17,742,570 151,352,710 962,749
DEFERRED OUTFLOWS OF RESOURCES
Employer contributions 139,710 22,307 19,568 181,585 -
Resources related to pensions 295,168 58,517 38,143 391,828 -
Total deferred outflows of
resources 434,878 80,824 57,711 573,413 -
LIABILITIES
Current liabilities:
Accounts payable 690,364 2,442,324 30,232 3,162,920 541
Accrued payroll and employee benefits 33,590 7,192 5,155 45,937 -
Claims payable - - - - 256,982
Compensated absences 71,159 16,296 5,974 93,429 -
Due to other funds - - 150,000 150,000 -
Deposits held for others 700,907 - - 700,907 -
Due to other governments 125,460 - - 125,460 -
Bonds payable - current 139,000 - - 139,000 -
Loan payable - current 219,485 - - 219,485 -
Interest payable 64,405 - - 64,405 -
Unearned revenue - - 1,960 1,960 -
Total current liabilities 2,044,370 2,465,812 193,321 4,703,503 257,523
Noncurrent liabilities:
Due to other funds - - 2,074,844 2,074,844 -
Compensated absences 7,907 1,811 664 10,382 -
Bonds payable 939,000 20,170,246 - 21,109,246 -
Loan payable 3,201,572 - - 3,201,572 -
Net pension liability 1,829,651 283,749 222,672 2,336,072 -
Total non-current liabilities 5,978,130 20,455,806 2,298,180 28,732,116 -
Total liabilities 8,022,500 22,921,618 2,491,501 33,435,619 257,523
DEFERRED INFLOWS OF RESOURCES
Resources related to pensions 226,127 26,832 29,236 282,195 -
Total deferred inflows of
resources 226,127 26,832 29,236 282,195 -
NET POSITION
Net investment in capital assets 27,480,792 56,500,313 17,542,459 101,523,564 -
Restricted for debt service 365,485 - - 365,485 -
Unrestricted 1,215,102 17,367,073 (2,262,915) 16,319,260 705,226
Total net position 29,061,379$ 73,867,386$ 15,279,544$ 118,208,309$ 705,226$
The notes to the financial statements are an integral part of this statement.
42
TOWN OF MARANA, ARIZONA
STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET POSITION
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2017
Business-type Activities
Governmental
Activities
Water Wastewater Airport
Total Enterprise
Funds
Internal Service
Funds
Operating revenues:
Licenses, fees & permits -$ 19,124$ -$ 19,124$ -$
Charges for services 5,063,500 1,046,514 250,999 6,361,013 4,337,490
Miscellaneous - - 54,031 54,031 -
Total operating revenues 5,063,500 1,065,638 305,030 6,434,168 4,337,490
Operating expenses:
Personnel costs 1,817,977 392,219 268,129 2,478,325 -
Contractual services 182,487 480,397 93,271 756,155 769,975
Commodities 1,342,669 239,505 41,176 1,623,350 -
Other 930,226 4,995 117,394 1,052,615 3,362,643
Depreciation expense 1,016,612 2,602,155 932,009 4,550,776 -
Total operating expenses 5,289,971 3,719,271 1,451,979 10,461,221 4,132,618
Operating gain (loss)(226,471) (2,653,633) (1,146,949) (4,027,053) 204,872
Nonoperating revenues (expenses):
Development fees
Investment income 19,582 22,963 - 42,545 -
Interest expense (77,495) - - (77,495) -
Loss on disposal of capital assets (320,308) - - (320,308) -
Bond issuance costs - (263,392) - (263,392) -
Total nonoperating revenues
(expenses)(378,221) (240,429) - (618,650) -
Net gain (loss) before contributions and
transfers (604,692) (2,894,062) (1,146,949) (4,645,703) 204,872
Development fees 1,867,827 1,120,578 - 2,988,405 -
Capital contributions 1,484,839 642,825 824,678 2,952,342 -
Transfers in - 4,742,557 337,975 5,080,532 -
Transfers out (1,288,027) (914,310) - (2,202,337) -
Changes in net position 1,459,947 2,697,588 15,704 4,173,239 204,872
Net position, beginning of year 27,601,432 71,169,798 15,263,840 114,035,070 500,354
Net position, end of year 29,061,379$ 73,867,386$ 15,279,544$ 118,208,309$ 705,226$
The notes to the financial statements are an integral part of this statement.
43
Business-type Activities
Governmental
Activities
Water Wastewater Airport
Total Enterprise
Funds
Internal Service
Funds
Cash flows from operating activities:
Received from customers 5,049,546$ 975,239$ 267,072$ 6,291,857$ 4,337,490$
Payments to suppliers for goods and services (2,473,615) 1,155,919 (273,823) (1,591,519) (4,132,370)
Payments to employees for services (1,851,104) (393,968) (281,231) (2,526,303) -
Other receipts - 19,124 54,031 73,155 -
Net cash provided by (used for) operating activities 724,827 1,756,314 (233,951) 2,247,190 205,120
Cash flows from non-capital activities:
Interfund borrowing - - (58,372) (58,372) -
Transfers in - 4,742,557 337,975 5,080,532 -
Transfers out (1,288,027) (914,310) - (2,202,337) -
Net cash provided by (used for) non-capital activities (1,288,027) 3,828,247 279,603 2,819,823 -
Cash flows from capital activities and related financing
activities:
Capital grants received 552,000 - 722,671 1,274,671 -
Development fees received 1,867,827 1,120,578 - 2,988,405 -
Bond proceeds - 20,170,246 - 20,170,246 -
Bond issuance costs - (263,392) - (263,392) -
Principal payments (349,159) - - (349,159) -
Interest paid on debt (82,379) - - (82,379) -
Acquisition and construction of capital assets (3,068,212) (8,504,668) (710,051) (12,282,931) -
Net cash provided by (used for) capital activities (1,079,923) 12,522,764 12,620 11,455,461 -
Cash flows from investing activities:
Interest on investments 19,582 22,963 - 42,545 -
Net cash provided by investing activities 19,582 22,963 - 42,545 -
Net increase (decrease) in cash and cash equivalents (1,623,541) 18,130,288 58,272 16,565,019 205,120
Cash and cash equivalents, beginning of year 5,794,603 1,759,661 100 7,554,364 757,629
Cash and cash equivalents, end of year 4,171,062$ 19,889,949$ 58,372$ 24,119,383$ 962,749$
Reconciliation of operating income (loss) to net cash
provided by (used for) operating activities:
Operating income (loss)(226,471)$ (2,653,633)$ (1,146,949)$ (4,027,053)$ 204,872$
Adjustments to reconcile operating income (loss) to net
cash provided by (used for) operating activities:
Depreciation 1,016,612 2,602,155 932,009 4,550,776 -
Pension expense 152,148 33,564 20,526 206,238 -
Employer pension contributions (139,710) (22,307) (19,568) (181,585) -
Changes in assets and liabilities:
(Increase) decrease in accounts receivable 12,658 (73,045) (2,295) (62,682) -
Decrease in due from other governments - - 18,368 18,368 -
(Increase) decrease in prepaid items (12,683) 1,770 - (10,913) -
Increase (decrease) in accounts payable (18,233) 1,880,816 (21,982) 1,840,601 474
Decrease in claims payable - - - - (226)
Increase in accrued payroll (59,675) (12,095) (8,784) (80,554) -
Increase (decrease) in compensated absences payable 14,110 (911) (5,276) 7,923 -
Increase in deposits held for others 40,549 - - 40,549 -
Decrease in due to other governments (54,478) - - (54,478) -
Net cash provided (used) by operating activities 724,827$ 1,756,314$ (233,951)$ 2,247,190$ 205,120$
Noncash investing, capital and financing activities:
Capital contributions 932,839 642,825 - 1,575,664 -
TOWN OF MARANA, ARIZONA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
FOR THE YEAR ENDED JUNE 30, 2017
The notes to the financial statements are an integral part of this statement.
44
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
NOTE 1 -SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The financial statements of the Town have been prepared in conformity with accounting principles
generally accepted in the United States of America as applied to governments. The Governmental
Accounting Standards Board (GASB) is the accepted standard-setting body for establishing government
accounting and financial reporting principles.
A.Reporting Entity
The Town of Marana, Arizona (the Town) was incorporated on March 21, 1977, under the provisions of the
Constitution of Arizona and the Arizona Revised Statutes. The Town operates under a separately elected
council-mayor form of government. All funds and entities related to the Town that are controlled by the
Mayor and Council are included in the annual financial report. Control is determined on the basis of
budget adoption, taxing authority, and the ability to significantly influence operations and accountability for
fiscal matters. The Town provides a full range of services including general governm ent, development and
planning services, legal, public safety, public works, and parks and recreation services.
In accordance with generally accepted accounting principles, these financial statements present the Town
and its component units, the Town of Marana Municipal Property Corporation (MMPC), the Gladden Farms
Community Facilities District (GFCFD), Gladden Farms Community Facilities District II (GFCFD II), the
Vanderbilt Farms Community Facilities District (VFCFD), the Saguaro Springs Community Facil ities District
(SSCFD) and the Tangerine Farms Road Improvement District (TFRID). The MMPC, GFCFD, GFCFD II,
VFCFD, SSCFD and TFRID are blended component units with the Town in these financial statements as all
five were established by the Town in order to fund the debt incurred to finance the purchase of the Town
hall, various capital projects, and capital assets used by the water fund. In addition, the MMPC only
provides services to the Town.
The MMPC, GFCFD, GFCFD II, VFCFD, SSCFD and TFRID component units each have a June 30 year-end
and are included in the 2008 Bond Debt Service Funds, the Gladden Farms Capital Projects and Debt
Service Funds, the Vanderbilt Farms Capital Projects and Debt Service Funds, the Saguaro Springs Capital
Projects Fund, the Tangerine Farms Improvement District Debt Service Fund, and the Other Capital
Projects Funds, respectively. Separate financial statements of the MMPC, the GFCFD, the GFCFD II, the
VFCFD, the SSCFD and the TFRID are not prepared on a stand-alone basis.
B.Basis of Presentation
The basic financial statements include both government-wide statements and fund-based financial
statements. The government-wide statements focus on the Town as a whole, while the fund-based
statements focus on major funds. Each presentation provides valuable information that can be analyzed
and compared between years and between governments to enhance the usefulness of the information.
Government-wide Financial Statements
The government-wide financial statements (i.e. the statement of net position and the statement of
activities) present financial information about the Town as a whole. The reported information includes all
of the activities of the Town and its component units.For the most part, the effect of internal activity
has been removed from these statements.
These statements are to distinguish between the governmental and business-type activities of the Town.
Governmental activities normally are supported by taxes and intergovernmental revenues, and are
reported separately from business-type activities, which are financed in whole or part by fees charged to
45
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
external parties.
The statement of activities demonstrates the degree to which the direct expenses of a given function of
the Town’s governmental activities or segment of its business-type activities are offset by program
revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. The
Town does not currently have an indirect cost allocation system. However, the General Fund does allocate
administrative charges to the Enterprise funds to support general services used by those funds (like
purchasing, accounting, administration, etc.) These fees are included in the expense column on the
Statement of Activities. Program revenues include 1) charges to customers 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, investment income, and other items not included among program
revenues are reported instead as general revenues.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating
revenues and expenses result from providing services and producing and delivering goods in connection
with a proprietary fund’s principal ongoing operations. The principal operating revenues of the Water
Utility, Wastewater Utility, and Airport funds are charges to customers for sales and services. Operating
expenses for enterprise funds include the cost of sales and services, administrative expenses, and
depreciation of capital assets. All revenues and expenses not meeting this defini tion are reported as non-
operating revenues and expenses.
Generally, the effect of interfund activity has been eliminated from the government -wide financial
statements to minimize the double counting of internal activities. However, charges for interfund services
provided and used are not eliminated if doing so would distort the direct costs and program revenues
reported by the departments concerned.
Fund Financial Statements
Fund statements provide information about the Town’s funds, including blended c omponent units.
Separate statements are presented for the governmental and proprietary fund categories. The emphasis
of fund financial statements is on major governmental and enterprise funds, each displayed in a separate
column. All remaining governmental funds are aggregated and reported as non-major funds.
The Town reports the following major governmental funds:
General Fund –This fund is the general operating fund of the Town. It is used to account for all
financial resources, except those required to be accounted for in another fund.
Highway User Revenue Fund –This fund accounts for excise fuel taxes which are distributed to cities
and towns based on a formula. A constitutional restriction requires that these funds be used solely for
street and highway purposes.
Tangerine Farms Improvement District Debt Service Fund –This fund accounts for the accumulation of
resources and payment of principal and interest on the Tangerine Farms Road Improvement District
Special Assessment Bonds.
PAG/RTA Capital Fund –This fund accounts for proceeds from Pima Association of Governments and
Regional Transportation Authority which are used for road improvement projects.
46
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Transportation Fund –This fund accounts for the financing and construction of transporta tion capacity
improvement projects.
The Town reports the following major proprietary funds:
Water Fund –This fund is used to account for the financing and operation of the Water Utility.
Wastewater Fund –This fund is used to account for the financing and operation of the Wastewater
Utility.
Airport Fund –This fund is used to account for the financing and operation of the Marana Airport.
Additionally, the Town reports the following fund types:
Internal service fund –This fund is used to account for the operating revenues and charges for health
and dental benefits.
C.Measurement Focus and Basis of Accounting
The government-wide financial statements are reported using the economic resources measurement focus
and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are
recorded when earned, including unbilled water services which are accrued, and expenses are recorded
when a liability is incurred, regardless of the timing of related cash flows. Grants and similar items are
recognized as revenue as soon all eligibility requirements imposed by the grantor or provider have been
met.
Governmental fund financial statements are reported using the current financial resources measurement
focus and the modified accrual basis of accounting.
Revenues are recognized as soon as they are both measurable and available. Revenues are considered to
be available when they are collectible within the current period or soon thereafter to pay liabilities of the
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.
Expenditures generally are recorded when a liability is incurred, as under accrual accounting.Debt service
resources are provided during the current year for payment of long-term debt principal and interest due
early in the following year. Compensated absences are recorded only when payment is due.
Sales taxes, licenses and permits, charges for services, and investment income 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. Grants and similar awards are recognized as revenue as soon as all eligibility
requirements imposed by the grantor or provider have been met. Miscellaneous revenue is not susceptible
to accrual because generally they are not measurable until received in cash.
Property taxes are levied by community facility districts, which are component units of the Town and
collected by the Pima County Treasurer and special assessment property taxes are levied and collected by
the Town. All property taxes are levied no later than the third Monday in August and are payable in two
installments due October 1 of the current year and March 1 of the subsequent year. Taxes become
delinquent after the first business day of November and May, respectively. Interest attaches on
47
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
installments after the delinquent date. Pursuant to ARS, a lien against assessed real and personal property
attaches on the first day of January preceding assessment and levy; however according to case law, an
enforceable legal claim to the asset does not arise.
Tangerine Farms Road Improvement District (a component unit) issued special as sessment bonds for
infrastructure improvements. These bonds will be paid through assessments made to the property owners
within the Tangerine Farms Road Improvement District. The Town is responsible for the collection of the
assessments and the disbursement of funds to retire the bonds. If a delinquency on an assessment
occurs, the Town is required to cover the delinquency with other resources until foreclosure proceeds are
received.
Proceeds of long-term debt and acquisitions under capital lease agreements are reported as other
financing sources.
D.Cash and Cash Equivalents
For the purposes of the statement of cash flows, the Town considers all highly liquid investments
(including the funds' participation in the investment pool account, and appropriat e restricted assets) to be
cash equivalents. Individual fund investments with a maturity of three months or less when purchased are
considered as cash equivalents.
E.Investments
Arizona Revised Statutes authorize the Town to invest public monies in the State Treasurer’s Local
Government Investment Pool, interest-bearing savings accounts, certificates of deposit, and repurchase
agreements in eligible depositories; bonds or other obligations of the U.S. government that are guaranteed
as to principal and interest by the U.S.government; and bonds of the State of Arizona counties, cities,
towns, school districts, and special districts as specified by statue.
The State Board of Investment provides oversight for the State Treasurer’s pools. The fair value of a
participant’s position in the pool approximates the value of that participant’s pool shares
Nonparticipating interest-earning investment contracts are stated at cost. Money market investments and
participating interest contracts with a remaining maturity of one year or less at time of purchase are stated
at amortized cost. All investments are stated at fair value.
F.Pensions
For purposes of measuring the net pension (asset and) liability, deferred outflows of resources and
deferred inflows of resources related to pensions, and pension expense, information about the pension
plans’ fiduciary net position and additions to/deductions from the plans’ fiduciary net position have been
determined on the same basis as they are reported by the plans. For this purpose, benefit payments
(including refunds of employee contributions) are recognized when due and payable in accordance with
the benefit terms. Investments are reported at fair value.
G.Restricted Assets
The trust indentures executed for the entire bond series issued require all cash and investments for each
bond series to be held on deposit by the trustee/fiscal agents. These assets are restricted for payment of
48
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
interest and trustee fees associated with the bond issues, retirement of principal balances, and t o finance
various capital projects.
In addition, the State of Arizona required that assets obtained at the completion of criminal proceedings by
the Town's police department be given to Pima County for custodial purposes. These assets are restricted
for expenses that will enhance the Town's ability to conduct police investigations.
H.Prepaid Items
Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as
prepaid items in both the government-wide and fund financial statements. Prepaid items are recorded as
expenses when consumed in the government-wide financial statements. Prepaid items are recorded as
expenditures when purchased in the fund financial statements and are offset by a reserve of fund balance.
I.Receivables and Payables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end
of the fiscal year are referred to as either “due to/from other funds”
(i.e., the current portion of interfund loans) or “advances to/from other funds” (i.e., the non-current
portion of interfund loans). All trade and other receivables are shown net of an allowance for uncollectible
amounts.
J.Interfund Activity
Flows of cash from one fund to another without a requirement for repayment are reported as interfund
transfers. Interfund transfers between governmental funds are eliminated in the Statement of Activities.
Interfund transfers in the fund statements are reported as other financing sources/uses in governmental
funds and after non-operating revenues/expenses in proprietary funds.
K.Capital Assets
Capital assets, including public domain infrastructure such as roads, bridges, curbs and sidewalks, lighting
system, water distribution system and other assets that are immovable and o f value to the Town, are
defined as assets with an initial individual cost of $5,000 or more and an estimated useful life of more than
one year. Such assets are recorded at actual cost or historical cost (or estimated historical cost if historical
records are not available). Donated capital assets are reported at acquisition value. Capital assets are
reported in the applicable governmental or business-type activities columns in the government-wide
financial statements. No long-term assets or depreciation are shown in the governmental funds financial
statements.
The Town has chosen not to apply the modified approach to any network, system, or subsystem of
infrastructure assets.
The cost of normal maintenance and repairs that do not significantly add t o the value of the asset or
materially extend the life of the asset are not capitalized. Major improvements are capitalized and
depreciated over the remaining useful life of the related capital assets.
Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest
incurred during the construction phase of capital assets is included as part of the capitalized value of the
assets constructed.
49
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Depreciation is provided over the estimated useful lives of such assets using the straight-line method.
These estimated useful lives are as follows:
Years
Buildings 15-40
Building improvements 10-15
Pump stations, distribution systems,
equipment and improvements 20-75
Public domain infrastructure 20-50
Machinery, equipment, and assets
under capital lease 5-10
L.Long-term Obligations
In the government-wide financial statements and proprietary fund types in the fund financial statements,
long-term debt and other long-term obligations are reported as liabilities in the applicable business-type
activities and proprietary fund type statement of net position. Bond related charges and credits, such as
premium discounts and issuance costs, are deferred and amortized over the life of the bonds using the
straight-line method.
In the fund financial statements,governmental fund types recognize bond premiums and discounts, as well
as bond issuance costs, during the current period. The face amount of debt 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 in the period incurred.
M.Compensated Absences
The Town's employee vacation and sick leave policies generally provide for granting vacation and sick
leave with pay. Vacation leave vests with the employee as it is earned. The current and long -term
liabilities for accumulated vacation, including related benefits, are reported on the government-wide
financial statements. A liability for these amounts is reported in governmental funds only if they have
matured, for example, as a result of employee leave, resignations, and retirements. Sick leave benefits
provided for ordinary sick pay are not vested with the employees. Generally, resources from the General
Fund are used to pay for compensated absences.
N.Transactions Between Funds
Transactions that would be treated as revenue or expenses if they involved organizations external to the
governmental unit are accounted for as revenue or expenses in the funds involved. Transactions which
constitute reimbursements of a fund for expenses initially made from that fund which are properly
applicable to another fund are recorded as expenses in the reimbursing fund and as reductions of the
expense in the fund that is reimbursed.
Interfund transfers between governmental funds are eliminated in the Statement of Activities. Interfu nd
transfers in the fund statements are reported as other financing sources/uses in governmental funds and
after non-operating revenues/expenses in proprietary funds.
50
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
O.Use of Estimates
The preparation of financial statements in conformity with generall y accepted accounting principles
accepted in the United States of America requires management to make estimates and assumptions. This
will affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the
date of the financial statements, and the reported amounts of revenues and expenses during the reporting
period. Actual results could differ from these estimates.
P.Seized Property
The Town Police have in their custody certain assets seized in criminal proceedi ngs. Until formal
procedures have been finalized, the ownership of this property is not determinable. In addition, legal
requirements dictate that such assets not be reflected on the Town's financial records in an agency
capacity until Town ownership has been determined. Consequently, no such assets are recorded on these
financial statements.
Q.Deferred Outflows/Inflows of Resources
The statement of net position and balance sheet include separate sections for deferred outflows of
resources and deferred inflows of resources. Deferred outflows of resources represent a consumption of
net position that applies to future periods that will be recognized as an expense or expenditure in future
periods. Deferred inflows of resources represent an acquisition of net position or fund balance that applies
to future periods and will be recognized as revenue in future periods.
R.Flow Assumption
Sometimes the government will fund outlays for a particular purpose from both restricted and unrestricted
resources (the total of committed, assigned, and unassigned fund balance).
In order to calculate the amounts to report as restricted, committed, assigned, and unassigned fund
balance in the governmental fund financial statements a flow assumption must be made about the order in
which the resources are considered to be applied. When both restricted and unrestricted resources are
available for use, it is the Town's policy to use restricted resources first, then unrestricted resources as
they are needed. Additionally, the Town funds certain programs by a combination of grants and general
revenues. The Town applies grant resources to such programs before using general revenues.
NOTE 2 –FUND BALANCE CLASSIFICATIONS
In the fund financial statements, fund balance is reported in classifications that comprise a hierarchy based
on the extent to which the Town is bound to honor constraints on the specific purposes for which amounts
in those funds can be spent. The classifications of fund balance are Nonspendable, Restricted, Committe d,
Assigned, and Unassigned. Nonspendable and Restricted fund balances represent the restricted
classifications and Committed, Assigned, and Unassigned represent the unrestricted classifications.
Committed fund balance can be used only for specific purp oses determined by formal action of Town
Council. Town Council is the highest level of decision-making authority for the town.Commitments may be
established, modified, or rescinded only through resolutions approved by Town Council.
51
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Nonspendable Fund Balance consists of funds that are not in a spendable form, such as inventories and
prepaids, or can be legally or contractually required to be maintained intact.
Restricted Fund Balance consists of funds that are externally imposed by creditors, grantors,contributors,
law or regulations of other governments, or by law imposed through constitutional provisions or enabling
legislation. Committed Fund Balance consists of funds that can only be used for specific purposes
pursuant to constraints imposed by formal action of the Town’s highest level of decision -making authority.
Assigned Fund Balance consists of funds constrained by the Town’s intent to be used for specific purposes,
but are neither restricted nor committed, should be reported as assigned fund balance. This classification
of fund balance must be designated by the Town’s highest level of decision making authority or a Town
official that has been delegated the authority to assign funds. Unassigned Fund Balance consists of the
residual classification for the general fund. This classification represents fund balance that has not been
assigned to other funds and that has not been restricted, committed, or assigned to specific purposes
within the general fund. The General Fund is the only fund that can report a positive unassigned fund
balance and any other governmental fund can report a negative fund balance. When both restricted and
unrestricted resources are available for specific expenditures, restricted resources are considered spent
before unrestricted resources.
As of June 30, 2017, the fund balance details by classification are listed below:
General
Fund
Highway
User
Revenue
Tangerine
Farms
Improvement
District Debt
Service
PAG/RTA
Capital Fund
Transportation
Fund
Non-Major
Governmental
Funds
Fund Balances:
Nonspendable:
Prepaid
expenditures $292,195 $-$-$-$-$1,332
Long-term due
from other
funds 2,074,844 -----
Restricted:
Courts -----1,115,408
Tourism
promotion -----924,657
Police -----1,786,379
Highways and
streets -1,360,670 ----
Housing
programs -----220,822
Capital projects ----12,828,852 27,523,433
Debt service --17,279 --4,182,152
Unassigned:22,640,072 --(1,908,216)--
Total fund
balances:$25,007,111 $1,360,670 $17,279 $(1,908,216)$12,828,852 $35,754,183
NOTE 3 -BUDGETARY CONTROL
Excess Expenditures Over Budget –At June 30, 2017, the Town had expenditures in funds that
exceeded the budget; however, this does not constitute a violation of any legal provisions.
52
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
The voters of the State of Arizona, on June 3, 1980, approved an expenditure limitation that is applicable
to all local governments. This limitation, based on expenditures of the 1979 -80 fiscal year, restricts the
growth of expenditures based on a factor of increases in population and inflation. Certain expenditures are
held to be excludable. The limitation is set by the State Economic Estimates Commission prior to April 1 of
each year for the following fiscal year. As allowed, the voters of the Town of Marana, on November 8,
2016, approved an alternative expenditure limitation -home rule option to be applicable to the Town.
This alternative expenditure limitation is free from any ties to the state imposed limitations and is in effect
for four consecutive years beginning with the fiscal year ended June 30, 2017. This limitation provides for
the Town to allow the Mayor and Council to adopt an annual expenditure limitation each year with no
expenditures held to be excludable. Therefore, the annual expenditure limitation equals the adopted
budget.
The Town establishes its fiscal year as the twelve-month period beginning July 1. The departments submit
to the Town manager a budget of estimated expenditures for the ensuing fiscal year. The Town manager
and each department head meet to discuss mutually acceptable changes for the estimated expenditures
for that department after which the Town manager subsequently submits a budget of estimated
expenditures and revenues to the Town Council.
Upon receipt of the budget estimates, the Town Council will hold a public meeting to obtain taxpayer
comments. Concurrently, a copy of the budget estimates is published in a local newspaper. The Town
Council is prevented from legally enacting the budget through passage of a resolution until 15 days have
passed after the date of the public meeting. Prior to July 1, the budget is legally ena cted.
The Town Council formally adopts the budget and legally allocates the available monies for the General
Fund, the Highway User Revenue Fund, the Community Development Block Grant Fund, the Affordable
Housing Revolving Fund, the Local JCEF Fund, the L ocal Technology Enhancement Fund, the Fill the Gap
Fund, the Bed Tax Fund,the RICO Fund, the Emergency Telecommunications Fund, the Impound Fund,
the Other Special Revenue Fund, the Gladden Farms CFD Debt Fund, the Tangerine Farms Improvement
District Debt Fund, the Transportation Fund,the One-half Cent Sales Tax Fund,the Downtown
Reinvestment Fund, the Impact Fee Funds, the Other Capital Projects Funds , the Regional Transportation
Authority Fund,the Gladden Farms CFD Capital Fund, the Gladden Farms II CFD Capital Fund, the
Vanderbilt CFD Capital Fund, the Saguaro Springs CFD Capital Fund,and the Tangerine Farms
Improvement District Capital Fund. The enterprise funds, Water Utility, Wastewater Utility and Airport
Authority, are subject to flexible budgets.
The Town manager is authorized to transfer budgeted amounts within any department in the General Fund
or between funds for any other fund; however, any revisions that reallocate budgeted amounts between
departments within the General Fund or from the budget line items labeled "contingency" must be
approved by the Town Council.
NOTE 4 -CASH AND INVESTMENTS
A.R.S. authorize the Town to invest public monies in the State Treasurer’s local government investment
pools, the County Treasurer’s investment pool, interest-bearing savings accounts, certificates of deposit,
and repurchase agreements in eligible depositories; bonds or other obligations of the U.S. government that
are guaranteed as to principal and interest by the U.S. government; and bonds of t he State of Arizona
counties, cities, towns, school districts, and special districts as specified by statute. The statutes do not
include any requirements for credit risk, custodial credit risk, concentration of credit risk, interest rate risk,
53
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
or foreign currency risk for the Town’s investments. The State Board of Investment provides oversight for
the State Treasurer’s pools.
At June 30, 2017, the carrying amount of the Town’s deposits was $18,450,939 and the bank balance was
$16,390,170. The differences between the book and bank balances are due to timing of certain
transactions like deposits in transit and outstanding checks.In addition to the regular timing of
transactions, the Town had a transfer of $2,787,584 in transit transferring funds from the Local
Government Investment Pool to the General Operating Account. The funds were removed from the Local
Government Investment Pool on June 30, 2017, but were not received in the General Operating Account
until July 6, 2017.
Of the bank balance, $584,744 was covered by Federal depository insurance and $16,186,291 was covered
by collateral held by the pledging financial institution’s trust department but not in the Town’s name ; no
portion of the balance was uninsured and uncollateralized.The Town had $4,025 in petty cash funds,
change drawers and other related items at year end. Additionally, the Town had deposits of $1,363,154
held by Pima County by in a fiduciary capacity and $432,955 held by Fidelity in an escrow account.
At June 30, 2017, the Town’s investments, categorized within the fair value hierarchy established by
generally accepted accounting principles, were as follows:
Fair value measurement using
Investment by fair value level Amount
Quoted prices
in active
markets for
identical
assets
(Level 1)
Significant
other
observable
inputs
(Level 2)
Significant
unobservable
inputs
(Level 3)
Federal Home Loan Mortgage Corp.$999,900 $-$999,900 $-
Federal National Mortgage Assn.6,966,041 -6,966,041 -
Total investments by fair value level $-$7,965,941 $-
External investment pools
measured at fair value
State Treasurer’s investment pool 5 26,535,746 18.25 days average maturities
State Treasurer’s investment pool 7 8,511,206 54.75 days average maturities
Total investments measured at fair
value 35,046,952
Investments measured at
amortized costs
Money market investments 30,011,032
Total investments measured at
amortized costs 30,011,032
Total investments $73,023,925
54
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Investments categorized as Level 2 are valued using market-corroborated inputs by evaluating issues with
its best-known market maker.The Town’s investment portfolio consisted of deposits in the State
Treasurer’s Local Government Investment (LGI) Pools. The pools are not required to register (and are not
registered) with the Securities and Exchange Commission under the 1940 Investment Advisors Act.The
activity and performance of the pools are reviewed monthly by the State Board of Investment in
accordance with Arizona Revised Statutes §35-311.The fair value of investments is measured on a
monthly basis. Participant shares are purchased and sold based on the net asset value (NAV) of shares.
The NAV is determined by dividing the fair value of the portfolio by the total share s outstanding. Those
shares are not identified with specific investments, are not subject to custodial credit risk, and have no
stated interest rate or maturity date. The State Treasurer does not contract with an outside insurer in
order to guarantee the value of the portfolio or the price of shares redeemed.
Interest Rate Risk. The Town does not have a formal investment policy that limits investment maturities
as a means of managing its exposure to fair value losses arising from increasing interest rates .
Credit Risk. The Town has no investment policy that would further limit its investment choices.As of June
30, 2017, the Town’s investment in the State Treasurer’s investment pool 5 and pool 7 are specifically
limited to those securities that carry the full faith and credit of the United States Government.The net
asset value per share of both pools at June 30, 2017 was $1.00.Pool 5 has continued to maintain the
highest credit rating of AAA f/S1+ by Standard & Poor’s.Pool 7 itself is unrated, but the securities in Pool 7
had a weighted average credit rating of AAA by Standard & Poor’s. The Town’s investments in U.S.
Agencies were rated Aaa by Moody’s Investors Service and AA+ by Standard & Poor’s.The Arizona State
Treasurer has a publicly available financial report that includes financial statements and required
supplementary information. Copies may be obtained by contacting the Arizona State Treasurer, 1700 West
Washington, Phoenix, AZ 85007 or at www.aztreasury.gov.
Custodial Credit Risk.The Town’s investment in the State Treasurer’s investment pool represents a
proportionate interest in the pool’s portfolio; however, the Town’s portion is not identified with specific
investments and is not subject to custodial credit risk.
Concentration of Credit Risk. The Town places no limit on the amount it may invest in any one issuer.
More than 5% of the Town’s investments are in U.S. Agencies.These investments are 11% of the Town’s
total investments.
At June 30, 2017, the Town had the following investment in debt securities:
Investment maturities
Investment Type Amount
Less than 1
Year 1-5 Years
Money market investments $30,011,032 $30,011,032 $-
Federal Home Loan Mortgage Corp.999,900 999,900
Federal National Mortgage Assn.6,966,041 -6,966,041
Total investments by fair value level $30,011,032 $7,965,941
55
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
NOTE 5 -CAPITAL ASSETS
The following is a summary of the changes in capital assets for fiscal year ended June 30, 2017:
Beginning
Balance Additions Deletions
Ending
Balance
Capital assets, not being depreciated:
Land $ 6,454,735 $ 533,783 $-$ 6,988,518
Construction in progress 16,645,530 14,355,285 (79,017)30,921,798
Total capital assets, not being depreciated 23,100,265 14,889,068 (79,017)37,910,316
Capital assets, being depreciated:
Buildings and improvements 45,328,901 -(45,514)45,283,387
Machinery, equipment, and other assets 19,664,154 1,319,330 (725,133)20,258,351
Infrastructure 343,590,031 13,379,033 -356,969,064
Total capital assets being depreciated 408,583,086 14,698,363 (770,647)422,510,802
Less accumulated depreciation for:
Buildings and improvements (15,951,291)(1,434,116)113,356 (17,272,051)
Machinery, equipment, and other assets (15,436,020)(919,565)657,291 (15,698,294)
Infrastructure (137,704,358)(16,095,411)-(153,799,769)
Total accumulated depreciation (169,091,669)(18,449,092)770,647 (186,770,114)
Total capital assets, being depreciated, net 239,491,417 (3,750,729)-235,740,688
Governmental activities capital assets, net $262,591,682 $11,138,339 $(79,017)$273,651,004
Governmental activities depreciation expense was charged to function/programs as follows:
Governmental Activities:
General government $ 868,554
Public safety 622,794
Highways and streets 14,404,524
Economic and community development 162,995
Health and Welfare 976
Culture and recreation 2,490,564
Total depreciation expense –governmental activities $ 18,550,407
The difference of $101,315 between total increases to accumulated depreciation and total depreciation
expense is due to the inclusion of transfers of capital assets from the business-type activities.
56
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
A summary of changes in capital assets for business-type activities is as follows:
Business-type Activities
Beginning
Balance Additions Deletions
Ending
Balance
Capital assets, not being depreciated:
Land $ 4,493,811 $-$-$ 4,493,811
Water rights 3,910,572 848,276 (327,918)4,430,930
Construction in progress 5,125,442 11,344,564 (3,665,211)12,804,795
Total capital assets, not being depreciated 13,529,825 12,192,840 (3,993,129)21,729,536
Capital assets, being depreciated:
Buildings, improvements and infrastructure 128,848,242 5,240,875 -134,089,117
Machinery, equipment, and other assets 1,288,382 199,016 (60,827)1,426,571
Total capital assets being depreciated 130,136,624 5,439,891 (60,827)135,515,688
Less accumulated depreciation for:
Buildings, improvements and infrastructure (25,645,706)(4,423,765)(30,069,471)
Machinery, equipment, and other assets (815,387)(228,326)60,827 (982,886)
Total accumulated depreciation (26,461,093)(4,652,091)60,827 (31,052,357)
Total capital assets, being depreciated,
net 103,675,531 787,800 -104,463,331
Business-type activities capital assets, net $ 117,205,356 $12,980,640 $(3,993,129)$126,192,867
Business-type depreciation expense was charged to functions/programs as follows:
Business-type Activities:
Airport $ 932,009
Water 1,016,612
Wastewater 2,602,155
Total depreciation expense –business-type activities $4,550,776
The difference of $101,315 between total increases to accumulated depreciation and total
depreciation expense is due to the inclusion of transfers of capital assets from the government -type
activities.
NOTE 6 –LONG-TERM LIABILITIES
A.Notes Payable
Business-type activities loan payable consists of a loan from the Water Infrastructure Finance Authority
(WIFA), the proceeds of which were used to acquire and construct various water related infrastructure.
The loan is to be repaid in annual principal payments, plus semiannual interest payments, and a
semiannual servicing fee.
During 2010, the Town obtained $5,250,000 in financing from WIFA for the acquisition and construction of
a new water infrastructure. As of year-end, the Town has drawn on $4,690,128 of the loan and returned
$559,872. The interest rate at June 30, 2017 on the outstanding balance is 1.468 percent.
57
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
The following is a schedule by years of the debt service requirements for the loan as of June 30, 2017.
Fiscal Year Principal Interest Total
2018 $219,485 $ 48,610 $ 268,095
2019 226,000 45,340 271,340
2020 232,708 41,973 274,681
2021 239,614 38,506 278,120
2022 246,726 34,937 281,663
2023 –2027 1,347,917 110,648 1,458,565
2028 –2030 908,607 26,938 935,545
Totals $ 3,421,057 $ 346,952 $ 3,768,009
B.Community Facilities District (CFD) General Obligation Bonds
Gladden Farms Community Facilities District (a component unit) issued $7,955,000 of general obligation
bonds with an interest rate ranging from 2.0% to 4.0%. The proceeds were used to advance refund
$7,555,000 of outstanding general obligation bonds which had interest rates ranging from 3.6% to 6.0%
and provide $400,000 for additional capital infrastructure within the district. The net proceeds of
$7,935,148 (including $852,472 premium and after payment of $472,275 in underwriting fees and other
issuance costs) were deposited in an irrevocable trust with an escrow agent to provide funds for the future
debt service payment on the refunded bonds.As a result the 2004, 2006,2007, and 2010 general
obligation bonds are considered defeased and the liability for the refunded bonds has been removed from
the statement of net position.At June 30, 2017, $2,425,000 of defeased bonds were still outstanding for
the 2007 Series and $875,000 was still outstanding for the 2010 Series.
The District advance refunded the 2004, 2006, 2007, and 2010 Series general obligation bonds to obtain
an economic gain (difference between the present values of the debt service p ayments on the old and new
debt) of $1,544,523.
The CFD general obligation bonds outstanding as reported in governmental activities as of June 30, 2017,
were as follows:
Outstanding
June 30, 2017
$7,955,000 CFD General Obligation Bonds, 2016 Series, due
in annual installments of $20,000 to $640,000; through July
15, 2041; at a 2.0% to 4.0% interest rate.7,955,000
58
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Annual debt service requirements to maturity on the CFD general obligation bonds at June 30, 2017, are
summarized as follows:
Year ending
June 30 Principal Interest Total
2018 $ 210,000 $ 271,163 $ 481,163
2019 205,000 267,013 472,013
2020 265,000 262,313 527,313
2021 410,000 255,563 665,563
2022 420,000 247,263 667,263
2023 –2027 2,285,000 1,038,938 3,323,938
2028 –2032 2,735,000 559,060 3,294,060
2033 –2037 1,315,000 74,450 1,389,450
2038 –2042 110,000 9,062 119,062
Totals $ 7,955,000 $ 2,984,825 $ 10,939,825
C.Tangerine Farms Road Improvement District Improvement Bonds
Tangerine Farms Road Improvement District (a component unit) issued $14,245,132 of special assessment
bonds with an interest rate of 1.96%.The proceeds were used to advance refund $14,469,000 of
outstanding special assessment bonds which had an interest rate of 4.6%. The net proceeds of
$14,801,787 (including $652,280 in prepaid assessments and fees collected and after payment of $95,625
in agent fees and other issuance costs)were deposited in an irrevocable trust with an escrow agent to
provide funds for the future debt service payment on the refunded bonds. As a result the 2006 Series
special assessment bond is considered defeased and the liability for the refunded bond has been removed
from the statement of net position.
The District advance refunded the 2006 Series special assessment bonds to obtain an economic gain
(difference between the present values of the debt service payments on the old and new debt) of
$2,129,724.
These bonds are paid through assessments made to the property owners within the Tangerine Farms Road
Improvement District. The Town is responsible for the collection of the assessments and the disbursement
of funds to retire the bonds. If a delinquency on an assessment occurs, the Town is required to cover the
delinquency with other resources until foreclosure proceeds are received. The TFRID special assessment
bonds outstanding as reported in governmental activities as of June 30, 2017, were as follows:
Outstanding
June 30, 2017
$14,245,132 TFRID Refunding Bonds, Series 2017, due in annual
installments of $1,618,132 to $1,907,000; through January 1, 2026;
at an interest rate of 1.96%.$14,245,132
59
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Annual debt service requirements to maturity on the TFRID special assessment bonds at June 30, 2017,
are summarized as follows:
Year ending
June 30 Principal Interest Total
2018 253,563 253,563
2019 1,618,132 359,205 1,977,337
2020 1,704,000 247,489 1,951,489
2021 1,736,000 214,091 1,950,091
2022 1,769,000 180,065 1,949,065
2023-2026 7,418,000 366,872 7,784,872
Totals $ 14,245,132 $ 1,621,285 $ 15,866,417
D.Revenue Bonds
The Town issued $19,865,000 of pledged excise tax-revenue and refunding obligation bonds with an
interest rate of 2% to 5%. Proceeds of $22,912,387 were used of advance refund $22,755,000 of
outstanding 2008 Series revenue bonds which had interest rates ranging from 4.0% to 5.25%. Th e net
proceeds of $24,128,715 (including a $3,216,239 premium, $1,311,269 Town contribution,and after
payment of $263,794 in underwriting fees and other issuance costs)were deposited in an irrevocable trust
with an escrow agent to provide funds for the future debt service payment on the refunded bonds. As a
result, the 2008 Series revenue bonds are considered defeased and the liability for the refunded bonds has
been removed from the statement of net position.As of June 30, 2017, $20,485,000 of defeased bonds
are still outstanding.
The Town advance refunded the 2008 Series revenue bonds to obtain an economic gain (difference
between the present values of the debt service payments on the old and new debt) of $3,481,567.
The Town issued $19,780,000 of pledged excise tax-revenue bonds with an interest rate of 2.0% to 5.0%.
The proceeds will be used to finance the expansion of the Marana Wastewater Reclamation Facility and
construction of the groundwater Recharge Facility.
The Town has issued revenue bonds for acquiring water systems,wastewater systems,infrastructure
upgrades, the design and construction of the new municipal complex and to refund prior issuances. These
bonds are payable from the excise taxes collected by the Town, wastewater utility revenue,and water
utility revenue. The revenue bonds outstanding as of June 30, 2017 were as follows:
60
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Outstanding June 30, 2017
Governmental
Business-
type
$34,780,000 Pledged Excise Tax Revenue and Revenue Refunding
Obligations, 2013 Series, due in annual installments of $315,000
to $2,570,000; through July 1, 2033; at a 2.0% to 5.0% interest
rate.
$ 32,215,000
$6,493,000 Pledged Excise Tax Revenue and Revenue Refunding
Obligations, 2014 Series, due in annual installments of $353,000
to $735,000; through July 1, 2025; at a 2.55%interest rate.
5,760,000
$1,343,000 Water Utility Revenue Refunding Obligations, 2014
Series, due in annual installments of $129,000 to $197,000;
through July 1, 2022; at a 2.53% interest rate.
$1,078,000
$17,215,000 Pledged Excise Tax Revenue Bonds, 2017 Series A,
due in annual installments of $1,920,000 to $2,420,000; through
July 1, 2042; at a 2.0%to 5.0%interest rate.17,215,000
$19,865,000 Pledged Excise Tax Revenue and Revenue Refunding
Obligations, 2017 Series B, due in annual installments of
$840,000 to $2,580,000; through July 1, 2028; at a 2.0% to
5.0% interest rate.
19,865,000
$2,565,000 Pledged Excise Tax Revenue Bonds, 2017 Series C, due
in annual installments of $30,000 to $1,980,000; through July 1,
2034; at a 2.0%to 5.0%interest rate.
2,565,000
Total $ 57,840,000 $ 20,858,000
Annual debt service requirements to maturity on revenue bonds at June 30, 2017, are summarized as
follows:
Governmental Activities Business-type Activities
Year ending
June 30 Principal Interest Principal Interest
2018 $ 2,005,000 $ 2,207,934 $ 139,000 $ 589,616
2019 3,184,000 2,402,294 179,000 830,561
2020 3,624,000 2,303,358 184,000 825,969
2021 3,726,000 2,185,415 186,000 821,289
2022 3,865,000 2,037,374 193,000 816,494
2023-2027 23,566,000 7,161,952 197,000 4,047,836
2028-2032 14,510,000 2,053,700 235,000 4,032,969
2033-2037 3,360,000 170,000 6,325,000 3,506,194
2038-2042 --13,220,000 1,633,728
Totals $ 57,840,000 $ 20,522,027 $ 20,858,000 $17,104,656
E.Pledged Revenues
The Town has pledged certain future revenues to repay specific bonded debt as follows. The Town has
pledged future excise tax revenues to repay $80.9 million in Excise Tax Revenue Bonds issued in 2013,
61
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
2014, and 2017. The various bonds were issued for the expansion of the Marana Wastewater Reclamation
Facility, construction of the groundwater Recharge Facility,construction of the municipal complex, the
acquisition of certain water systems, acquisition of the Marana Wastewater Reclamation Facility,
infrastructure upgrades and to refund prior debt issuances. At year end, $75.6 million in bonds remain
outstanding to be repaid by future excise tax revenues and the net revenues available for service of this
debt were $51.7 million. The debt principal and interest paid on this debt during fiscal year 2017 was $6.2
million (12% of available net pledged revenues).
In addition, the Town has pledged future water utility revenues to repay a $4.7 million Water
Infrastructure Financing Authority loan and a $1.3 million Revenue Refunding Bond. The loan was issued
for the acquisition of well sites and the construction of certain infrastructure. The bond was issued in 2014
to refund prior debt issuances. At year end, $4.5 million remains outstanding to be repaid by future water
revenues. For the fiscal year ended June 30, 2017, the net revenues available for service of this debt were
$1.7 million. The debt principal and interest paid on this debt during fiscal year 2017 was $482,853.
F.Changes in Long-term Liabilities
The following is a summary of changes in long-term liability activity for fiscal year ended June 30, 2017.
Governmental
activities:
Beginning
Balance Additions Reductions
Ending
Balance
Due Within
One Year
General obligation
bonds $ 7,835,000 $7,955,000 $ (7,835,000)$ 7,955,000 $ 210,000
Revenue bonds 64,090,000 19,865,000 (26,115,000)57,840,000 2,005,000
Compensated
absences 1,041,708 1,012,305 (964,957)1,089,056 980,151
Net pension liability 30,823,657 5,630,736 -36,454,393 -
Special assessment
bonds 15,927,000 14,245,132 (15,927,000)14,245,132 -
Deferred bond
premium 2,624,582 4,089,196 (460,283)6,253,495 -
Total $122,341,947 $52,797,369 $(51,302,240)$123,837,076 $3,195,151
Business-type
activities:
Loan payable $ 3,634,216 $-$ (213,159)$ 3,421,057 $219,485
Net pension liability 2,166,001 170,071 -2,336,072 -
Revenue bonds 1,214,000 19,780,000 (136,000)20,858,000 139,000
Compensated
absences 95,888 82,907 (74,984)103,811 93,429
Deferred bond
premium -390,246 -390,246 -
Total $ 7,110,105 $20,423,224 $ (424,143)$ 27,109,186 $ 451,914
62
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
NOTE 7 –DEFERRED AMOUNTS
Governmental funds report deferred inflows of resources for revenue due and receivable but not
considered to be available to liquidate liabilities of the current period. Governmental funds also defer
revenue recognition in connection with resources that have been received, but not yet earned. At the end
of the current fiscal year, the various components of deferred amounts reported in the gov ernmental funds
were as follows:
Deferred revenue Unavailable Unearned
Program revenues (General Fund)$-$313,529
Intergovernmental (PAG/RTA Capital Fund)51,115
Intergovernmental (Non-Major governmental funds)281,380 11,616
Special assessments (Tangerine Farms
Improvement District Debt Service Fund)14,245,132 -
Total deferred amounts for governmental funds $14,577,627 $325,145
NOTE 8 –INTERFUND RECEIVABLES, PAYABLES, AND TRANSFERS
Due to/from other funds:
At June 30, 2017, several funds were involved in interfund borrowing arrangements with the General Fund
due to insufficient resources available in the funds to cover expenditures. Through the fiscal year 201 7-
2018, these interfund borrowing will be eliminated as sufficient resources become available.A portion of
the amount due from the Airport Fund, $2,074,844, is considered long term.Listed below is a summary of
the interfund borrowing transactions.
Due From
Due To
PAG/RTA Capital
Fund
Non-Major
Governmental Funds Airport Fund Total
General Fund $3,035,622 $12,329 0 $2,224,844 0 $5,272,795
Interfund transfers:
Interfund transfers were made by the Town during the fiscal year to ensure that sufficient resources were
available to cover expenditures in the applicable funds. These were direct transfers between funds and
will not be eliminated as sufficient resources become available in the receiving funds. Listed below is a
summary of transfers between funds.
Transfers In
Transfer Out
General
Fund
Non-Major
Governmental
Funds
Wastewater
Fund
Airport
Fund Total
General Fund $-$2,379,851 $1,168,315 $337,975 $3,886,141
Transportation 437,399 437,399
Non-Major
Governmental 53,783 2,980,152 3,200,525 6,234,460
Water 914,310 373,717 1,288,027
Wastewater 914,310 914,310
Total $53,783 $7,626,022 $4,742,557 $337,975 $12,760,337
63
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
NOTE 9 -EMPLOYEE RETIREMENT SYSTEMS
All full-time and permanent part-time employees participate in one of four different retirement plans. With
the exception of public safety personnel, police dispatchers and elected officials, all other employees
participate in the Arizona State Retirement System (ASRS). Certified public safety personnel participate in
the Public Safety Retirement Systems (PSPRS). Police dispatch and communication staff participate in the
Corrections Officer Retirement Plan (CORP). The Town’s Mayor and Council Members participate in the
Elected Officials’ Retirement Plan (EORP).
At June 30, 2017, the Town reported the following aggregate amounts related to pensions for all plans to
which it contributes:
Statement of Net Position and
Statement of Activities
Governmental
Activities
Business-Type
Activities Total
Net pension liabilities $36,454,393 $ 2,336,072 $38,790,465
Deferred outflows of resources 10,253,753 573,413 10,827,166
Deferred inflows of resources 2,936,513 282,195 3,218,708
Pension expense 5,149,012 206,238 5,355,250
The Town reported $2,775,991 of pension contributions as expenditures in the governmental funds related
to all pension plans to which it contributes.
A.Public Safety Personnel Retirement System and Corrections Officer Retirement Plan
All of the Town's full-time police officers are covered by the Arizona Public Safety Personnel Retirement
System (PSPRS), which is an agent multiple-employer defined benefit plan. PSPRS was established by Tit le
38, Chapter 5, Article 4 of the Arizona Revised Statutes to provide pension benefits for public safety
personnel who are regularly assigned hazardous duty as employees of the State of Arizona or one of its
political subdivisions. The PSPRS is jointly administered by the Board of Trustees (formerly fund manager)
and participating local boards. The Board of Trustees is a nine-member board appointed by the Governor
and the State Legislature. The Board of Trustees is responsible for establishing contribution rates in
accordance with an actuarial study.
All full-time and permanent part-time employees employed as police dispatchers or communications
operators are eligible to participate in the Corrections Officers Retirement Plan (CORP), a n agent multiple-
employer defined benefit pension plan and an agent multiple-employer defined benefit health insurance
premium benefit (OPEB) plan. The CORP is governed by the PSPRS Board of Trustees and the local
participating local boards according to the provisions of A.R.S. Title 38, Chapter 5, Article 6.
PSPRS and CORP issue publicly available financial reports that include financial statements and required
supplemental information. This report may be obtained on the PSPRS website at www.psprs.com or by
writing to 3010 E Camelback Rd, Ste 200, Phoenix, AZ 85016 or by calling (602) 255 -5575.
Benefits provided—The PSPRS and CORP provide retirement, health insurance premium supplement,
disability, and survivor benefits. State statute establishes benefit terms. Retirement, disability, and survivor
benefits are calculated on the basis of age, average monthly compensation, and service credit as follows:
64
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
PSPRS Initial membership date:
Before January 1,2012 On or after January 1,2012
Retirement and Disability
Years of service
and age required
to receive benefit
20 years,any age
15 years,age 62
25 years,age 52.5
Final average
salary is based on
Highest 36 consecutive
months of last 20 years
Highest 60 consecutive
months of last 20 years
Benefit percent
Normal
Retirement
50% less 2.0% for each year of
credited service less than 20 years
OR plus 2.0% to 2.5% for each year
of credited service over 20 years,
not to exceed 80%
2.5% per year of credited service, not to
exceed 80%
Accidental
Disability
Retirement
50% or normal retirement, whichever is greater
Catastrophic
Disability
Retirement
90% for the first 60 months then reduced to either 62.5%
or normal retirement, whichever is greater
Ordinary
Disability
Retirement
Normal retirement calculated with actual years of credited service or 20 years of
credited service, whichever is greater, multiplied by years of credited service (not to
exceed 20 years) divided by 20
Survivor Benefit
Retired Members 80% to 100% of retired member’s pension benefit
Active Members 80% to 100% of accidental disability retirement benefit or 100% of average
monthly compensation if death was the result of injuries received on the job
CORP Initial membership date:
Before January 1,2012 On or after January 1,2012
Retirement and Disability
Years of service
and age required
to receive benefit
Sum of years and age equals 80
25 years,any age (dispatchers)
20 years,any age (all others)
10 years,age 62
25 years,age 52.5
10 years,age 62
Final average
salary is based on
Highest 36 consecutive
months of last 10 years
Highest 60 consecutive
months of last 10 years
Benefit percent
Normal
Retirement
2.0% to 2.5% per year of credited service, not to exceed 80%
65
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
CORP Initial membership date:
Before January 1,2012 On or after January 1,2012
Accidental
Disability
Retirement
50% or normal retirement if more
than 20 years of credited service
50% or normal retirement if more than 25
years of credited service
Total and
Permanent
Disability
Retirement
50% or normal retirement if more than 25 years of credited service
Ordinary
Disability
Retirement
2.5% per year of credited service
Survivor Benefit
Retired Members 80% of retired member’s pension benefit
Active Members 40% of average monthly compensation or 100% of average monthly compensation
if death was the result of injuries received on the job. If there is no surviving spouse
or eligible children, the beneficiary is entitled to 2 times the member’s contributions.
Retirement and survivor benefits are subject to automatic cost-of-living adjustments based on excess
investment earnings.In addition, from and after December 31, 2015, the Legislature may enact permanent
one-time benefit increases after a Joint Legislative Budget Committee analysis of the increase’s effects on
the plan.PSPRS also provides temporary disability benefits of 50 percent of the member’s compensation
for up to 12 months.
Employees covered by benefit terms—At June 30, 2017, the following employees were covered by the
agent pension plans’ benefit terms:
PSPRS CORP
Dispatchers
Inactive employees or beneficiaries currently receiving benefits 26 -
Inactive employees entitled to but not yet receiving benefits 20 3
Active employees 78 7
Total 124 10
Contributions—State statutes establish the pension contribution requirements for active PSPRS and CORP
employees. In accordance with state statutes, annual actuarial valuations determine employer con tribution
requirements for PSPRS and CORP pension and health insurance premium benefits. The combined active
member and employer contribution rates are expected to finance the costs of benefits employees earn
during the year, with an additional amount to finance any unfunded accrued liability. Contributions rates
for the year ended June 30, 2017, are indicated below. Rates are a percentage of active members’ annual
covered payroll.
66
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
PSPRS CORP
Dispatchers
Active members—Pension 11.65%7.96%
Town
Pension 24.97%12.66%
Health insurance premium benefit .24%.39%
In addition,statute required the Town to contribute at the actuarially determined rate of 13.28 percent for
the PSPRS of annual covered payroll of retired members who worked for the Town in positions that an
employee who contributes to the PSPRS would typically fill.
For the agent plans, the Town’s contributions to the pension plan and contributions for the health
insurance premium benefit for the year ended June 30, 2017, were:
PSPRS CORP
Dispatchers
Pension Contributions $1,381,861 $51,210
Health Insurance Premium Benefit 13,062 1,578
Total Contributions $1,394,923 $52,788
During fiscal year 2017, the Town paid for PSPRS and CORP pension contributions as follows:96%
percent from the General Fund and 4%percent from other funds.
Pension liability—At June 30, 2017, the Town reported the following net pension liabilities:
Net Pension Liability
PSPRS 14,524,676
CORP Dispatchers 532,300
The net pension liabilities were measured as of June 30,2016, and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of that date.
The total pension liabilities as of June 30, 2016, reflect the following changes of benefit terms and actuarial
assumptions.
In May 2016 voters approved Proposition 124 that authorized certain statutory adjustments to
PSPRS’ automatic cost-of-living adjustments. The statutory adjustments change the basis for future
cost-of-living adjustments from excess investment earnings to the change in the consumer price
index, limited to a maximum annual increase of 2 percent.
Laws 2016, Chapter 2, changed the benefit formula and contribution requirements for members
hired on or after July 1, 2017.
The investment rate of return actuarial assumption was decreased from 7.85 percent to 7.5 percent
for PSPRS and CORP plans.
The net pension liabilities measured as of June 30, 2017, will reflect changes of actuarial assumptions
based on the results of an actuarial experience study for the 5-year period ended June 30, 2016. The
change in the Town’s net pension liabilities as a result of these changes is not known.
67
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Pension actuarial assumptions –The significant actuarial assumptions used to measure the total pension
liability are as follows:
PSPRS and CORP—Pension
Actuarial valuation date June 30, 2016
Actuarial cost method Individual entry age normal
Investment rate of return 7.50%
Projected salary increases 4.0%–8.0% for PSPRS and 4.0%–7.25% for CORP
Inflation 3.0%
Permanent benefit increase Included
Mortality rates RP-2000 mortality table (adjusted by 105% for both males
and females)
Actuarial assumptions used in the June 30, 2016 valuation were based on the results of an actuarial
experience study for the 5-year period ended June 30, 2011.
The long-term expected rate of return on PSPRS and CORP pension plan investments was determined to
be 7.50 percent using a building-block method in which best-estimate ranges of expected future real rates
of return (expected returns, net of pension plan investment expenses and inflation) are developed for each
major asset class.
The target allocation and best estimates of arithmetic real rates of return for each major asset class are
summarized in the following table:
PSPRS and CORP
Asset Class
Target
Allocation
Long-Term Expected
Real Rate of Return
U.S. Equity 16%6.23%
Non-U.S. Equity 14%8.25%
Private Equity 11%9.50%
Fixed Income 7%2.92%
Credit Opportunities 13%7.08%
Absolute Return 5%4.11%
GTAA 10%4.38%
Real Assets 8%4.77%
Real Estate 10%4.48%
Risk Parity 4%5.13%
Short Term Inv 2%0.75%
Total 100%
Pension discount rates—The following discount rates were used to measure the total pension liabilities:
PSPRS CORP
Dispatchers
Discount rates 7.50%7.50%
Change from prior year (0.35)(0.35)
The projection of cash flows used to determine the PSPRS and CORP discount rates assumed that plan
member contributions will be made at the current contribution rate and that employer contributions will be
68
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
made at rates equal to the difference between the actuarially determined contribution rate and the
member rate. Based on those assumptions, the pension plans’ fiduciary net position was projected to be
available to make all projected future benefit payments of current plan members. Therefore, the long-term
expected rate of return on pension plan investments was applied to all periods of projected benefit
payments to determine the total pension liability.
Changes in the Net Pension Liability (Asset)
PSPRS Increase (Decrease)
Total
Pension
Liability
(a)
Plan
Fiduciary
Net Position
(b)
Net Pension
Liability
(Asset)
(a)–(b)
Balances at June 30, 2016 25,634,888 15,408,969 10,225,919
Changes for the year:
Service cost 994,058 -994,058
Interest on the total pension liability 2,005,255 -2,005,255
Changes of benefit terms 1,837,430 -1,837,430
Differences between expected and actual
experience in the measurement of the
pension liability
536,692 -536,692
Changes of assumptions or other inputs 1,226,081 -1,226,081
Contributions—employer -1,323,677 (1,323,677)
Contributions—employee -672,181 (672,181)
Net investment income -95,438 (95,438)
Benefit payments, including refunds of
employee contributions
(1,174,525)(1,174,525)-
Pension plan administrative expense -(14,134)14,134
Other changes -223,597 (223,597)
Net changes 5,424,991 1,126,234 4,298,757
Balances at June 30, 2017 31,059,879 16,535,203 14,524,676
CORP Increase (Decrease)
Total
Pension
Liability
(a)
Plan
Fiduciary
Net Position
(b)
Net Pension
Liability
(Asset)
(a)–(b)
Balances at June 30, 2016 1,435,344 977,446 457,898
Changes for the year:
Service cost 57,866 -57,866
Interest on the total pension liability 113,075 -113,075
Changes of benefit terms 15,002 15,002
Differences between expected and actual
experience in the measurement of the
pension liability
(25,358)-(25,358)
Changes of assumptions or other inputs (136)-(136)
Benefit payments, including refunds of
employee contributions
(47,673)(47,673)-
69
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
CORP Increase (Decrease)
Contributions—employer -48,648 (48,648)
Contributions—employee -32,623 (32,623)
Net investment income -6,034 (6,034)
Pension plan administrative expense -(1,253)1,253
Other changes -(5)5
Net changes 112,776 38,374 74,402
Balances at June 30, 2017 1,548,120 1,015,820 532,300
Sensitivity of the Town’s net pension liability to changes in the discount rate —The following table presents
the Town’s net pension liabilities calculated using the discount rates noted above, as well as what the
Town’s net pension liability would be if it were calcul ated using a discount rate that is 1 percentage point
lower or 1 percentage point higher than the current rate:
Pension plan fiduciary net position—Detailed information about the pension plans’ fiduciary net position is
available in the separately issued PSPRS and CORP financial reports.
Pension expense—For the year ended June 30, 2017, the Town recognized the following pension expense:
Pension
Expense
PSPRS 3,540,057
CORP Dispatchers 83,669
Pension deferred outflows/inflows of resources—At June 30, 2017, the Town reported deferred outflows of
resources and deferred inflows of resources related to pensions from the following sources:
PSPRS Deferred Outflows
of Resources
Deferred Inflows
of Resources
Differences between expected and actual
experience
$758,290 $-
Changes of assumptions or other inputs 2,042,088
Net difference between projected and
actual earnings on pension plan
investments 1,288,786 285,622
Town contributions subsequent to the
measurement date 1,381,861
Total $5,471,025 $285,622
1%
Decrease
Current
Discount
Rate
1% Increase
PSPRS
Rate 6.50%7.50%8.50%
Net pension liability $19,075,515 $14,524,676 $10,821,055
CORP Dispatchers
Rate 6.50%7.50%8.50%
Net pension liability $773,990 $532,300 $332,549
70
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
CORP Deferred Outflows
of Resources
Deferred Inflows
of Resources
Differences between expected and actual
experience $-$44,059
Changes of assumptions or other inputs 11,001 115
Net difference between projected and
actual earnings on pension plan
investments 80,587 17,216
Town contributions subsequent to the
measurement date 51,210
Total $142,798 $61,390
The amounts reported as deferred outflows of resources related to pensions resulting from town
contributions subsequent to the measurement date will be recognized as a reduction of t he net pension
liability (or an increase in the net pension asset) in the year ending June 30, 201 8. Other amounts
reported as deferred outflows of resources and deferred inflows of resources related to pensions will be
recognized in pension expense as follows:
PSPRS CORP
Dispatchers
Year ending June 30
2018 $870,263 $7,090
2019 870,261 7,092
2020 1,013,071 15,698
2021 646,876 8,027
2022 293,029 (6,185)
Thereafter 110,042 (1,524)
Agent plan OPEB actuarial assumptions—The health insurance premium benefit contribution requirements
for the year ended June 30, 2017, were established by the June 30, 2015, actuarial valuations, and those
actuarial valuations were based on the following actuarial methods and assumptions.
Actuarial valuations involve estimates of the reported amounts’ value and assumptions about the
probability of events in the future. Amounts determined regarding the plans’ funded status and the annual
required contributions are subject to continual revision as actual results are compared to past expectations
and new estimates are made. The required schedule of funding progress for the health insurance premium
benefit presented as required supplementary information provides multiyear trend information that shows
whether the actuarial value of the plans’ assets are increasing or decreasing over time relative to the
actuarial accrued liability for benefits.
Projections of benefits are based on (1) the plans as the Town and plans’ members understand them and
include the types of benefits in force at the valuation date, and (2) the pattern of sharing benefit costs
between the Town and plans’ members to that point. Actuarial calculations reflect a long -term perspective
and employ methods and assumptions designed to reduce short-term volatility in actuarial accrued
liabilities and the actuarial value of assets. The significant actuarial methods and assumptions used are the
71
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
same for all PSPRS and CORP plans and related benefits (unless noted), and the following actuarial
methods and assumptions were used to establish the fiscal year 201 7 contribution requirements:
PSPRS and CORP—OPEB Contribution Requirements
Actuarial valuation date June 30, 2015
Actuarial cost method Entry age normal
Amortization method Level percent closed for unfunded actuarial accrued
liability, open for excess
Remaining amortization period 21 years for unfunded actuarial accrued liability, 20 years
for excess
Asset valuation method 7-year smoothed market value;80%/120%market
corridor
Actuarial assumptions:
Investment rate of return 7.85%
Projected salary increases 4.00%–8.00% for PSPRS and 4.00%–7.25% for CORP
Wage growth 4.00% for PSPRS and CORP
Agent plan OPEB trend information—Annual OPEB cost information for the health insurance premium
benefit for the current and 2 preceding years follows for each of the agent plans:
Year Ended June 30
Annual OPEB
Cost
Percentage
of Annual
Cost
Contributed
Net OPEB
Obligation
PSPRS
2017 $13,062 100 $-
2016 19,742 100 -
2015 66,579 100 -
CORP Dispatchers
2017 1,578 100 -
2016 1,475 100 -
2015 3,164 100 -
Agent plan OPEB funded status—The health insurance premium benefit plans’ funded status as of the most
recent valuation date, June 30, 2016, along with the actuarial assumptions and methods used in those
valuations follow.
72
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
PSPRS CORP
Dispatchers
Actuarial value of assets (a)$768,883 $39,112
Actuarial accrued liability (b)739,259 51,144
Unfunded actuarial accrued liability (funding excess)
(b)–(a)(29,624)12,032
Funded ratio (a)/(b)104.0%76.5%
Annual covered payroll (c)
$5,182,784 $397,428
Unfunded actuarial accrued liability (funding excess) as a
percentage of covered payroll
(b)–(a) / (c)0.57%3.03%
The actuarial methods and assumptions used are the same for all the PSPRS and CORP health insurance
premium benefit plans (unless noted), and for the most recent valuation date are as follows:
PSPRS and CORP—OPEB Funded Status
Actuarial valuation date June 30, 2016
Actuarial cost method Entry age normal
Amortization method Level percent closed for unfunded actuarial accrued
liability, open for excess
Remaining amortization
period 20 years for unfunded actuarial accrued liability, 20 years
for excess
Asset valuation method 7-year smoothed market value;80%/120%market corridor
Actuarial assumptions:
Investment rate of return 7.50%
Projected salary increases 4%–8% for PSPRS and 4%–7.25% for CORP
Wage growth 4% for PSPRS and CORP
B.Arizona State Retirement System
All full-time and permanent part-time employees not in the Public Safety Retirement System, Corrections
Officers Retirement System or Elected Officials Retirement System are eligible to participate i n the Arizona
State Retirement System (ASRS) a cost sharing multiple-employer defined benefit plan. The ASRS was
established by the State of Arizona to provide pension benefits for employees of the State and employees
of participating political subdivisions and school districts. The ASRS is administered in accordance with the
provisions of A.R.S. Title 38, Chapter 5, Article 2 and 2.1. The ASRS provides for retirement, death, long-
term disability, survivor, and health insurance premium benefits. ASRS iss ues a publicly available financial
report that includes financial statements and required supplementary information. The report may be
obtained on its website at www.azasrs.gov or by writing to ASRS, 3300 N. Central Avenue, P.O. Box
33910, Phoenix, Arizona 85067-3910 or by calling 602-240-2000 or 1-800-621-3778.
Cost-sharing plan -Arizona Revised Statutes provide statutory authority for determining the employees’
and employers’ contribution amounts. The ASRS funding policy provides for actuarially determined
employer contributions at rates which will provide assets sufficient to pay benefits when due.Retirement
benefits are calculated on the basis of age, average monthly compensation, and service credit as follows:
73
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
ASRS Retirement
Initial membership date:
Before July 1,2011 On or after July 1,2011
Years of service
and age required
to receive benefit
Sum of years and age equals 80
10 years,age 62
5 years,age 50*
any years,age 65
30 years,age 55
25 years,age 60
10 years,age 62
5 years,age 50*
any years,age 65
Final average
salary is based on
Highest 36 consecutive months
of last 120 months
Highest 60 consecutive
months
of last 120 months
Benefit percent
per year of service
2.1% to 2.3%2.1% to 2.3%
*With actuarially reduced benefits.
Retirement benefits for members who joined the ASRS prior to September 13, 2013, are subject to
automatic cost-of-living adjustments based on excess investment earning. Members with a membership
date on or after September 13, 2013, are not eligible for cost-of-living adjustments. Survivor benefits are
payable upon a member’s death. For retired members,the retirement benefit option chosen determines
the survivor benefit. For all other members, the beneficiary is entitled to the member’s account balance
that includes the member’s contributions and employer’s contributions, plus interest earned.
Contributions—In accordance with state statutes, annual actuarial valuations determine active member and
employer contribution requirements. The combined active member and employer contribution rates are
expected to finance the costs of benefits employees earn during the year, with an additional amount to
finance any unfunded accrued liability. For the year ended June 30, 2017,statute required active ASRS
members to contribute at the actuarially determined rate of 11.48 percent (11.34 percent for retirement
and 0.14 percent for long-term disability) of the members’ annual covered payroll, and statute required the
Town to contribute at the actuarially determined rate of 11.48 percent (10.78 percent for retirement, 0.56
percent for health insurance premium benefit, and 0.14 percent for long-term disability) of the active
members’ annual covered payroll. In addition, the Town was required by statute to contribute at the
actuarially determined rate of 9.47 percent (9.17 percent for retirement, 0.21 percent for health insurance
premium benefit, and 0.09 percent for long-term disability) of annual covered payroll of retired members
who worked for the Town in positions that would typically be filled by an employee who contributes to the
ASRS. The Town’s contributions to the pension plan for the year ended June 30, 2017, were $1,593,612.
The Town’s contributions for the current and 2 preceding years for OPEB, all of which were equal to the
required contributions, were as follows:
Years ended
June 30,Retirement
Health
Insurance
Long-term
Disability Total
2017 $1,496,440 $77,738 $19,434 $1,593,612
2016 1,426,881 65,755 15,780 1,508,416
2015 1,367,122 75,393 15,079 1,457,594
During fiscal year 2017, the Town paid for ASRS pension and OPEB contributions as follows:86.76%
percent from the General Fund,.59%percent from major funds,12.13% from enterprise funds and .52%
percent from other funds.
74
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Pension liability—At June 30, 2017, the Town reported a liability of $22,691,024 for its proportionate share
of the ASRS’ net pension liability. The net pension liability was measured as of June 30, 201 6. The total
pension liability used to calculate the net pension liability was determined using update procedures to roll
forward the total pension liability from an actuarial valuation as of June 30, 201 5, to the measurement
date of June 30, 2016.The total pension liability as of June 30, 2016, reflects a change in actuarial
assumption for a decrease in loads for future potential permanent benefit increases.
The Town’s proportion of the net pension liability was based on the Town’s actual contributions to the plan
relative to the total of all participating employers’ contributions for the year ended June 30, 2016. The
Town’s proportion measured as of June 30, 2016, was 0.140584 percent, which was an increase of
0.004075 percent from its proportion measured as of June 30, 2014
Pension expense and deferred outflows/inflows of resources—For the year ended June 30, 2017, the Town
recognized pension expense for ASRS of $1,731,524.At June 30, 2017, the Town reported deferred
outflows of resources and deferred inflows of resources related to pensions from the following sources:
ASRS Deferred Outflows
of Resources
Deferred Inflows
of Resources
Differences between expected and actual experience $137,892 $1,560,977
Changes of assumptions or other inputs -1,200,536
Net difference between projected and actual
earnings on pension plan investments 2,458,952 -
Changes in proportion and differences between
contributions and proportionate share of
contributions 881,266 -
Town contributions subsequent to the measurement
date 1,496,440
Total $4,974,550 $2,761,513
The $1,496,440 reported as deferred outflows of resources related to ASRS pensions resulting from
contributions subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ending June 30, 2018. Other amounts reported as deferred outflows of resources and
deferred inflows of resources related to ASRS pensions will be recognized in pension expense as follows:
Year ending June 30,
2018 $(505,315)
2019 (511,375)
2020 1,043,803
2021 689,484
Actuarial Assumptions—The significant actuarial assumptions used to measure the total pension liability are
as follows:
75
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
ASRS
Actuarial valuation date June 30, 2015
Actuarial roll forward date June 30, 2016
Actuarial cost method Entry age normal
Investment rate of return 8%
Projected salary increases 3–6.75%
Inflation 3%
Permanent benefit increase Included
Mortality rates 1994 GAM Scale BB
Actuarial assumptions used in the June 30, 2015, valuation were based on the results of an actuarial
experience study for the 5-year period ended June 30, 2012.
The long-term expected rate of return on ASRS pension plan investments was determined to be 8.75
percent using a building-block method in which best-estimate ranges of expected future real rates of
return (expected returns, net of pension plan investment expense and inflation) are developed for each
major asset class. These ranges are combined to produce the long-term expected rate of return by
weighting the expected future real rates of return by the target asset allocation percentage and by adding
expected inflation. The target allocation and best estimates of arithmetic real rates of re turn for each
major asset class are summarized in the following table:
ASRS
Asset Class
Target
Allocation
Long-Term
Expected
Arithmetic Real
Rate of Return
Equity 58%6.73%
Fixed income 25%3.70%
Real estate 10%4.25%
Multi-asset 5%3.41%
Commodities 2%3.84%
Total 100%
Discount Rate—The discount rate used to measure the ASRS total pension liability was 8 percent, which is
less than the long-term expected rate of return of 8.75 percent. The projection of cash flows used to
determine the discount rate assumed that contributions from participating employers will be made based
on the actuarially determined rates based on the ASRS Board’s funding policy, which establishes the
contractually required rate under Arizona statute.
Based on those assumptions, the pension plan’s fiduciary net position was projected to be available to
make all projected future benefit payments of current plan members. Therefore, the long-term expected
rate of return on pension plan investments was applied to all periods of projected benefit payments to
determine the total pension liability.
Sensitivity of the Town’s proportionate share of the ASRS net pension liability to changes in the discount
rate—The following table presents the Town’s proportionate share of the net pension liability calculated
using the discount rate of 8 percent, as well as what the Town’s proportionate share of the net pension
liability would be if it were calculated using a discount rate that is 1 percentage point lower (7 percent) or
1 percentage point higher (9 percent) than the current rate:
76
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
ASRS
1% Decrease
(7%)
Current
Discount Rate
(8%)
1% Increase
(9%)
Proportionate share of the net
pension liability
$28,932,779 $22,691,024 $17,686,501
Pension plan fiduciary net position—Detailed information about the pension plan’s fiduciary net position is
available in the separately issued ASRS financial report.
C.Elected Officials’ Retirement Plan
The Town’s Mayor and Council Members are eligible to participate in the Elected Officials’Retirement Plan
(EORP), a multiple employer cost-sharing defined benefit plan. The EORP is governed by the Public Safety
Retirement System Board of Trustees according to the provisions of A.R.S. Title 38, Chapter 5, Article 3.
EORP issues a publicly available financial report that includes financial statements and required
supplementary information.At the time of issuance, the most recent report for EORP was unavailable.The
report may be obtained on PSPRS’s website at www.psprs.com or by writing to EORP, 3010 E Camelback
Rd, Ste 200, Phoenix, AZ 85016 or by calling (602) 255-5575.
Benefits provided—The EORP provides retirement, health insurance premium supplement, disability, and
survivor benefits. State statute establishes benefit terms. Retirement, disability, and survivor benefits are
calculated on the basis of age, average yearly compensation, and service credit as follows:
EORP Initial membership date:
Before January 1,2012 On or after January 1,2012
Retirement and
Disability
Years of service and age
required to receive
benefit
20 years,any age
10 years,age 62
5 years,age 65
5 years,any age*
any years and age if disabled
10 years,age 62
5 years,age 65
any years and age if disabled
Final average salary is
based on
Highest 36 consecutive
months of last 10 years
Highest 60 consecutive
months of last 10 years
Benefit percent
Normal Retirement 4% per year of service,
not to exceed 80%
3% per year of service,
not to exceed 75%
Disability Retirement 80% with 10 or more years of
service
40% with 5 to 10 years of service
20% with less than 5 years of
service
75% with 10 or more years of service
37.5% with 5 to 10 years of service
18.75% with less than 5 years of service
Survivor Benefit
Retired Members 75% of retired member’s benefit 50% of retired member’s benefit
77
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
EORP Initial membership date:
Before January 1,2012 On or after January 1,2012
Active Members and
Other Inactive Members
75% of disability retirement benefit 50% of disability retirement benefit
*With reduced benefits of 0.25% for each month early retirement precedes the member’s
normal retirement age, with a maximum reduction of 30%.
Retirement and survivor benefits are subject to automatic cost-of-living adjustments based on excess
investment earning.In addition, from and after December 31, 2015, the Legisl ature may enact permanent
one-time benefit increases after a Joint Legislative Budget Committee analysis of the increase’s effects on
the plan.
Contributions—State statutes establish active member and employer contribution requirements. Statute
also appropriates $5 million annually through fiscal year 2043 for the EORP from the State of Arizona to
supplement the normal cost plus an amount to amortize the unfunded accrued liability. For the year ended
June 30, 2017,statute required active EORP members with an initial membership date on or before July
19, 2011,to contribute 13 percent of the members’ annual covered payroll for July 2016 through March
2017 and 7 percent of the members’ annual covered payroll for April 2017 through June 2017.Statute
required active EORP members with an initial membership date after July 19, 2011, to contribute 13
percent of the members’ annual covered payroll and the Town was required to contribute 23.5 percent for
retirement and 0 percent for health insurance premium benefit of all active EORP members’ annual
covered payroll. The Town’s contributions to the pension plan for the year ended June 30, 2017, was
$28,065.No OPEB contributions were required or made for the years ended June 30, 2015, 2016, and
2017.
During fiscal year 2017, the Town paid for EORP pension contributions 100 percent from the General Fund.
Pension liability—The most recent EORP Schedule of Employer Allocations, Schedule of Pension Amounts
by Employer was unavailable.At June 30, 2017,Town reported the previous year’s liability for its
proportionate share of the EORP’s net pension liability.The amount the Town recognized as its
proportionate share of the net pension liability, the related state support, and the total portion of the net
pension liability that was associated with the Town were as follo ws:
Town’s proportionate share of the EORP
net pension liability $1,042,465
State’s proportionate share of the EORP net
pension liability associated with the Town 324,997
Total $1,367,462
The net pension liability was measured as of June 30,2015, and the total pension liability used to calculate
the net pension liability was determined by an actuarial valuation as of that date.The total pension liability
as of June 30, 2016, reflects a decrease in the investment rate of return actuarial assumption fro m 7.85
percent to 7.50 percent.
The Town’s proportion of the net pension liability as of June 30, 201 5, was based on the Town’s actual
contributions to the plan relative to the total of all participating employers’ actual contributions for the year
ended June 30, 2015. The Town’s proportion measured as of June 30, 2015,was .1334 percent, which
was a decrease of .0324 percent from its proportion measured as of June 30, 2014.
78
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
The collective net pension liability measured as of June 30, 2017, will reflect changes of actuarial
assumptions based on the results of an actuarial experience study for the 5 -year period ended June 30,
2016. The change in the Town’s proportionate share of the collective net pension liability as a result of
these changes is not known.
Pension expense and deferred outflows/inflows of resources—For the year ended June 30, 2017, the Town
did not recognize pension expense for EORP due to the unavailability of the report.At June 30, 2017, the
Town reported the June 30, 2016 deferred outflows of resources and deferred inflows of resources related
to pensions from the following sources:
EORP Deferred Outflows
of Resources
Deferred Inflows
of Resources
Differences between expected and actual experience $1,667 $11,606
Changes of assumptions or other inputs 174,673
Net difference between projected and actual
earnings on pension plan investments 6,323
Changes in proportion and differences between
employer contributions and proportionate share of
contributions 98,577
Town contributions subsequent to the measurement
date 28,065
Total $210,728 $110,183
The $28,065 reported as deferred outflows of resources related to EORP pensions resulting from Town
contributions subsequent to the measurement date will be recognized as a reduction of the net pension
liability in the year ending June 30, 2018. Other amounts reported as deferred outflows of resources and
deferred inflows of resources related to EORP pensions will be recognized in pension expense as follows:
Year ending June 30
2017 $80,271
2018 (13,072)
2019 521
2020 4,760
Actuarial assumptions—The significant actuarial assumptions used to measure the total pension liability are
as follows:
EORP
Actuarial valuation date June 30, 2016
Actuarial cost method Entry age normal
Investment rate of return 7.50%
Projected salary increases 4.25%
Inflation 4.0%
Permanent benefit increase Members retired on or before July 1, 2011: 3% of benefit
Members retired on or after August 1, 2011: 0.5% of benefit
Mortality rates RP-2000 mortality table projected to 2025 with projection
scale AA
79
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Actuarial assumptions used in the June 30, 2016, valuation were based on the results of an actuarial
experience study for the 5-year period ended June 30, 2011.
The long-term expected rate of return on EORP pension plan investments was determined to be 7.50
percent using a building-block method in which best-estimate ranges of expected future real rates of
return (expected returns, net of pension plan investment expenses and inflation) are developed for each
major asset class. The target allocation and best estimates of arithmetic real rates of return for each major
asset class are summarized in the following table:
EORP
Asset Class
Target
Allocation
Long-Term
Expected Real
Rate of Return
Short term investments 2%0.75%
Absolute return 5%4.11%
Risk parity 4%5.13%
Fixed income 7%2.92%
Real assets 8%4.77%
GTAA 10%4.38%
Private equity 11%9.50%
Real estate 10%4.48%
Credit opportunities 13%7.08%
Non-U.S. equity 14%8.25%
U.S. equity 16%6.23%
Total 100%
Discount rate—At June 30, 2016, the discount rate used to measure the EORP total pension liability was
3.68 percent, which was a decrease of 1.18 from the discount rate used as of June 30, 2015. The
projection of cash flows used to determine the discount rate assumed that plan member contributions will
be made at the current contribution rate, employer contributions will be made at the statutorily set rates,
and state contributions will be made as currently required by statute. Based on those assumptions, the
pension plan’s fiduciary net position was projected to be insufficient to make all projected future benefit
payments of current plan members. Therefore, to determine the total pension liability for the plan, the
long-term expected rate of return on pension plan investments of 7.50 percent was applied to periods of
projected benefit payments through the year ended June 30, 20 27. A municipal bond rate of 2.85 percent
obtained from the 20-year Bond Buyer Index, as published by the Federal Reserve as of June 30, 2016,
was applied to periods of projected benefit payments after June 30, 2027.
Sensitivity of the Town’s proportionate share of the EORP net pension liability to changes in the discount
rate—The following table presents the Town’s proportionate share of the net pension liability calculated
using the discount rate of 3.68 percent, as well as what the Town’s proportionate share of the net pension
liability would be if it were calculated using a discount rate that is 1 percentage point lower (2.68 percent)
or 1 percentage point higher (4.68 percent) than the current rate:
EORP
1% Decrease
(2.68%)
Current
Discount Rate
(3.68%)
1% Increase
(4.68%)
Town’s proportionate share of the
net pension liability $1,213,560 $1,042,465 $1,212,998
80
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
Pension Plan Fiduciary Net Position—Detailed information about the pension plan’s fiduciary net position is
available in the separately issued EORP financial report.
NOTE 10 -RISK MANAGEMENT
The Town is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets;
errors and omissions; and natural disasters.
The Town's insurance protection is provided by the Arizona Municipal Risk Retention Pool, of which the
Town is a participating member. The limit for basic coverage is for $2,000,000 per occurrence on a claims -
made purpose. Excess coverage is for an additional $12,000,000 per occurrence on a follow form, claims-
made basis. The Arizona Municipal Risk Retention Pool is structured such that member premiums are
based on an actuarial review that will provide adequate reserves to allow the pool to meet its expected
financial obligations. The pool has the authority to assess its member’s additional premiums should
reserves and annual premiums be insufficient to meet the pool's obligations.
The Town continues to carry commercial insurance for all other risks of loss, including workers’
compensation and employee health and accident insurance. Settled claims resulting from these risks have
not exceeded commercial insurance coverage in any of the past three fiscal years.
NOTE 11 -COMMITMENTS AND CONTINGENCIES
The Town is subject to a number of lawsuits, investigations, and other claims (some of which involve
substantial amounts) that are incidental to the ordinary course of its operations, including those related to
wrongful death and personal injury matters. Although the Town Attorney does not currently possess
sufficient information to reasonably estimate the amounts of the liabilities to be recorded upon the
settlement of such claims and lawsuits, some claims could be significant to the Town’s operations. While
the ultimate resolution of such lawsuits, investigations, and claims cannot be determined at this time, in
the opinion of Town management, based on the advice of the Town Attorney, the resolution of these
matters will not have a material adverse effect on the Town’s financial position.
Significant Contractual Commitments
At the end of fiscal year 2017, the Town was obligated to $43 .26 million in significant contractual
commitments for airport, transportation, park, water facility, and wastewater facility related construction
projects.The water reclamation expansion project accounted for $22.6 million,Tangerine Corridor
improvements accounted for $17.8 million,Public Safety Facility accounted for $831,000,Tangerine Sky
Community Park accounted for $385,000, and Ora Mae Harn Park improvements accounted for $313,000.
The remaining commitments were for other airport projects of $30,000,transportation projects of
$372,000, water projects of $669,000, and park related projects accounted for $260,000.
NOTE 12 -LEASING ARRANGEMENTS
Land –State of Arizona
The Town has assigned and assumed a non-cancelable long-term operating lease for 2,400 acres of land
with the State of Arizona with an expiration of October 2099. This lease had an initial annual rent of
$432,000 that requires 10% increases in the annual rent payments for each succeeding five year period.
In conjunction with the Town assuming the long-term operating lease, a developer signed a non-
cancelable agreement to reimburse the Town the annual rental payment for either a minimum of twenty
81
TOWN OF MARANA, ARIZONA
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2017
years or until the first twelve consecutive months the developer generates more than $1,000,000 in resort
sales tax to the Town from the development project known as "Dove Mountain".
This threshold was reached on June 30, 2011, and therefore the developer ceased reimbursing the Town
for the annual rent payment.These leases provide for payments of minimum annual rentals as follows,
excluding real estate taxes, common area charges, management fees, and sales taxes:
Years
Ending June
30,
2018 574,992
2019 574,992
2020 574,992
2021 632,491
2022 632,491
2023 - 2027 3,288,953
2028 - 2032 3,617,848
2033 - 2037 3,979,632
2038 - 2042 4,377,595
2043 - 2047 4,815,356
2048 - 2052 5,296,891
2053 - 2057 5,826,580
2058 - 2062 6,409,240
2063 - 2067 7,050,165
2068 - 2072 7,755,181
2073 - 2077 8,530,699
2078 - 2082 9,383,769
2083 - 2087 10,322,146
2088 - 2092 11,354,361
2093 - 2097 12,489,796
2098 - 2099 5,284,144
Total 112,772,314$
Minimum annual rentals above excludes annual rental under the remaining renewal options as of June 30,
2017. Rent expense under the above leases for fiscal 2016-17 aggregated $574,992.
82
REQUIRED SUPPLEMENTARY INFORMATION
83
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF THE TOWN’S
PROPORTIONATE SHARE OF THE NET PENSION LIABILITY
COST-SHARING PENSION PLANS
JUNE 30, 2017
Arizona State Retirement
System
Reporting Fiscal Year
(Measurement Date)
2017
(2016)
2016
(2015)
2015
(2014)
2014
through
2008
Town’s proportion of the net
pension liability
0.140584% 0.136510% 0.129998% Information
not
available Town’s proportionate share of the
net pension liability
$ 22,691,024 $ 21,263,376 $ 19,235,271
Town’s covered payroll $ 13,150,962 $ 12,565,464 $ 11,714,615
Town’s proportionate share of the
net pension liability as a
percentage of its covered payroll
172.54% 169.22% 164.20%
Plan fiduciary net position as a
percentage of the total pension
liability
67.06% 68.35% 69.49%
Elected Officials Retirement
Plan
Reporting Fiscal Year
(Measurement Date)
2017
(2016)
2016
(2015)
2015
(2014)
2014 through
2008
Town’s proportion of the net pension
liability
Information
not
available
.133401% .1658860% Information
not available
Town’s proportionate share of the net
pension liability
$1,042,465 $ 1,112,385
State’s proportionate share of the net
pension liability associated with the
Town
324,997 341,068
Total $1,367,462 $ 1,453,453
Town’s covered payroll $119,424 $ 119,423
Town’s proportionate share of the net
pension liability as a percentage of its
covered payroll
872.91% 931.15%
Plan fiduciary net position as a
percentage of the total pension
liability
28.32% 31.91%
See accompanying notes to pension plan schedules.
84
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF CHANGES IN THE TOWN’S
NET PENSION LIABILITY (ASSET) AND RELATED RATIOS
AGENT PENSION PLANS
JUNE 30, 2017
PSPRS Reporting Fiscal Year
(Measurement Date)
2017
(2016)
2016
(2015)
2015
(2014)
2014
through
2008
Total pension liability Information
Service cost $ 994,058 $ 891,324 $ 876,619 not
Interest on the total pension liability 2,005,255 1,844,654 1,551,602 available
Changes of benefit terms 1,837,430 - 308,515
Differences between expected and actual
experience in the measurement of the
pension liability
536,692 333,269 148,583
Changes of assumptions or other inputs 1,226,081 - 1,933,583
Benefit payments, including refunds of
employee contributions
(1,174,525) (974,950) (1,211,258)
Net change in total pension liability 5,424,991 2,094,297 3,607,644
Total pension liability—beginning 25,634,888 23,540,591 19,932,947
Total pension liability—ending (a) $31,059,879 $25,634,888 $ 23,540,591
Plan fiduciary net position
Contributions—employer $1,323,677 $1,006,859 $ 797,871
Contributions—employee 672,181 579,390 578,596
Net investment income 95,438 533,938 1,698,902
Benefit payments, including refunds of
employee contributions
(1,174,525) (974,950) (1,211,258)
Pension plan administrative expense (14,134) (13,410) -
Other changes 223,597 46,032 (543,969)
Net change in plan fiduciary net position 1,126,234 1,177,859 1,320,142
Plan fiduciary net position—beginning 15,408,969 14,231,110 12,910,968
Plan fiduciary net position—ending (b) $16,535,203 $15,408,969 $ 14,231,110
Town’s net pension liability (asset)—ending
(a) – (b)
$14,524,676 $10,225,919 $ 9,309,481
Plan fiduciary net position as a percentage
of the total pension liability
53.24% 60.11% 60.45%
Covered payroll $5,182,784 $4,900,569 $ 4,638.415
Town’s net pension liability (asset) as a
percentage of covered payroll
280.25% 208.67% 200.70%
See accompanying notes to pension plan schedules.
85
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF CHANGES IN THE TOWN’S
NET PENSION LIABILITY (ASSET) AND RELATED RATIOS
AGENT PENSION PLANS
JUNE 30, 2017
CORP – Dispatchers Reporting Fiscal Year
(Measurement Date)
2017
(2016)
2016
(2015)
2015
(2014)
2014
through
2008
Total pension liability Information
Service cost $ 57,866 $ 64,307 $ 63,474 not
Interest on the total pension liability 113,075 105,144 94,360 available
Changes of benefit terms 15,002 - -
Differences between expected and
actual experience in the measurement
of the pension liability
(25,358)
(18,303)
(16,512)
Changes of assumptions or other inputs (136) - 18,699
Benefit payments, including refunds of
employee contributions (47,673) (46,131) -
Net change in total pension liability 112,776 105,017 160,021
Total pension liability—beginning 1,435,344 1,330,327 1,170,306
Total pension liability—ending (a) $ 1,548,120 $ 1,435,344 $ 1,330,327
Plan fiduciary net position
Contributions—employer $ 48,648 $ 49,045 $ 48,667
Contributions—employee 32,623 35,981 36,306
Net investment income 6,034 34,230 102,910
Benefit payments, including refunds of
employee contributions (47,673) (46,131) -
Pension plan administrative expense (1,253) (1,233) -
Other changes (5) (635) (24,446)
Net change in plan fiduciary net position 38,374 71,257 163,437
Plan fiduciary net position—beginning 977,446 906,189 742,752
Plan fiduciary net position—ending (b) $ 1,015,820 $ 977,446 $ 906,189
Town’s net pension liability (asset)—
ending (a) – (b) $ 532,300 $ 457,898 $ 424,138
Plan fiduciary net position as a percentage
of the total pension liability 65.62% 68.10% 68.12%
Covered payroll $ 397,428 $ 430,892 $ 456,107
Town’s net pension liability (asset) as a
percentage of covered payroll 133.94% 106.27% 92.99%
See accompanying notes to pension plan schedules.
86
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF TOWN PENSION CONTRIBUTIONS
JUNE 30, 2017
Arizona State
Retirement
System
Reporting Fiscal Year
2017 2016 2015 2014 2013
Statutorily required
contribution
$1,496,440 $1,426,879 $ 1,367,122 $ 1,253,464 $1,172,006
Town’s contributions in
relation to the
statutorily required
contribution
1,496,440 1,426,879 1,367,122 1,253,464 1,172,006
Town’s contribution
deficiency (excess)
$- $- $ - $ - $ -
Town’s covered payroll $13,881,636 $13,150,962 $12,565,464 $11,714,615 $11,434,201
Town’s contributions as
a percentage of
covered payroll
10.78% 10.85% 10.88% 10.70% 10.25%
2012 2011 2010 2009 2008
Statutorily required
contribution
$1,095,471 $934,621 $929,807 $961,911 Information
not available
Town’s contributions in
relation to the
statutorily required
contribution
1,095,471 934,621 929,807 961,911
Town’s contribution
deficiency (excess)
$ - $ - $ - $ -
Town’s covered payroll $11,098,998 $10,373,156 $11,148,776 $12,038,936
Town’s contributions as
a percentage of
covered payroll
9.87% 9.00% 8.34% 7.99%
See accompanying notes to pension plan schedules.
87
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF TOWN PENSION CONTRIBUTIONS
JUNE 30, 2017
Elected Officials
Retirement Plan
Reporting Fiscal Year
2017 2016 2015 2014 2013
Statutorily required
contribution
$28,065 $28,065 $28,065 $38,431 $43,518
Town’s contributions
in relation to the
statutorily required
contribution
28,065 28,065 28,065 38,431 43,518
Town’s contribution
deficiency (excess)
$- $- $ - $ - $ -
Town’s covered
payroll
$119,423 $119,423 $119,424 $119,423 $119,423
Town’s contributions
as a percentage of
covered payroll
23.50% 23.50% 23.50% 32.18% 36.44%
2012 2011 2010
2009
through
2008
Statutorily required
contribution
$40,861 $34,226 $29,793 Information
not
available
Town’s contributions
in relation to the
statutorily required
contribution
40,861 34,226 29,793
Town’s contribution
deficiency (excess)
$ - $ - $ -
Town’s covered
payroll
$123,858 $114,891 $113,497
Town’s contributions
as a percentage of
covered payroll
32.99% 29.79% 26.25%
See accompanying notes to pension plan schedules.
88
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF TOWN PENSION CONTRIBUTIONS
JUNE 30, 2017
PSPRS Reporting Fiscal Year
2017 2016 2015 2014 2013
Actuarially determined
contribution
$1,323,677 $1,006,859 $ 797,871 $ 831,677 $778,039
Town’s contributions
in relation to the
actuarially
determined
contribution
1,323,677 1,006,859 797,871 831,677 778,039
Town’s contribution
deficiency (excess)
$- $- $ - $ - $ -
Town’s covered
payroll
$5,182,784 $4,900,569 $4,638,418 $4,498,048 $4,512,699
Town’s contributions
as a percentage of
covered payroll
25.54% 20.55% 17.20% 18.49% 17.24%
2012 2011 2010
2009
through
2008
Actuarially determined
contribution
$644,505 $554,133 $457,749 Information
not available
Town’s contributions
in relation to the
actuarially
determined
contribution
644,505 554,133 457,749
Town’s contribution
deficiency (excess)
$ - $ - $ -
Town’s covered
payroll
$4,254,314 $4,345,965 $4,625,605
Town’s contributions
as a percentage of
covered payroll
15.15% 12.75% 9.90%
See accompanying notes to pension plan schedules.
89
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF TOWN PENSION CONTRIBUTIONS
JUNE 30, 2017
CORP -
Dispatchers
Reporting Fiscal Year
2017 2016 2015 2014 2013
Actuarially determined
contribution
$48,648 $49,045 $ 48,667 $ 32,506 $ 25,550
Town’s contributions
in relation to the
actuarially
determined
contribution
48,648 49,045 48,667 32,506 25,550
Town’s contribution
deficiency (excess)
$ - $ - $ - $ - $ -
Town’s covered
payroll
$ 397,428 $ 430,892 $ 456,106 $ 443,980 $ 530,695
Town’s contributions
as a percentage of
covered payroll
12.24% 11.38% 10.67% 7.32% 4.25%
2012 2011 2010
2009
through
2008
Actuarially determined
contribution
$ 24,843 $ 22,805 $ 28,540 Information
not available
Town’s contributions
in relation to the
actuarially
determined
contribution
24,843 22,805 28,540
Town’s contribution
deficiency (excess)
$ - $ - $ -
Town’s covered
payroll
$ 536,843 $ 593,407 $ 603,377
Town’s contributions
as a percentage of
covered payroll
4.63% 3.84% 4.73%
See accompanying notes to pension plan schedules.
90
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO PENSION PLAN SCHEDULES
JUNE 30, 2017
Note 1 - Actuarially Determined Contribution Rates
Actuarial determined contribution rates for PSPRS and CORP are calculated as of June 30 two years prior
to the end of the fiscal year in which contributions are made. The actuarial methods and assumptions used
to establish the contribution requirements are as follows:
Actuarial cost method Entry age normal
Amortization method
Level percent closed for unfunded actuarial accrued
liability, open for excess
Remaining amortization period
as of the 2015 actuarial
valuation
21 years for unfunded actuarial accrued liability, 20 years
for excess
Asset valuation method 7-year smoothed market value; 80%/120% market
corridor
Actuarial assumptions:
Investment rate of return In the 2013 actuarial valuation, the investment rate of
return was decreased from 8.0% to 7.85%
Projected salary increases In the 2014 actuarial valuation, projected salary increases
were decreased from 4.5%–8.5% to 4.0%–8.0% for
PSPRS and from 4.5%–7.75% to 4.0%–7.25% for CORP.
In the 2013 actuarial valuation, projected salary increases
were decreased from 5.0%–9.0% to 4.5%–8.5% for
PSPRS and from 5.0%–8.25% to 4.5%–7.75% for CORP.
Wage growth In the 2014 actuarial valuation, wage growth was
decreased from 4.5% to 4.0% for PSPRS and CORP. In
the 2013 actuarial valuation, wage growth was decreased
from 5.0% to 4.5% for PSPRS and CORP
Retirement age Experience-based table of rates that is specific to the type
of eligibility condition. Last updated for the 2012 valuation
pursuant to an experience study of the period July 1, 2006
- June 30, 2011.
Mortality RP-2000 mortality table (adjusted by 105% for both males
and females)
Note 2 – Factors that affect trends
In February 2014, the Arizona Supreme Court affirmed a Superior Court ruling that a 2011 law that
changed the mechanism for funding permanent benefit increases was unconstitutional. As a result, the
PSPRS and CORP changed benefit terms to reflect the prior mechanism for funding permanent benefit
increases and revised actuarial assumptions to explicitly value future permanent benefit increases. These
changes are included in the PSPRS’ and CORP’s changes in total pension liability for fiscal year 2015
(measurement date 2014) in the schedule of changes in the County’s net pension liability and related
ratios. These changes also increased the PSPRS and CORP required contributions beginning in fiscal 2016
in the schedule of town pension contributions year.
91
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
SCHEDULE OF AGENT OPEB PLANS’ FUNDING PROGRESS
JUNE 30, 2017
Health Insurance Premium Benefit
Actuarial
Valuation Date
Actuarial
value of
assets
(a)
Actuarial
accrued
liability
(b)
Unfunded
actuarial
accrued
liability
(UAAL)
(funding
excess)
(b) – (a)
Funded
ratio
(a)/(b)
Annual
covered
payroll
(c)
UAAL
(funding
excess)
as a
percentage
of covered
payroll
(b) – (a)/c)
PSPRS
6/30/16 $ 768,883 $ 739,259 $ (29,624) 104.0% $ 5,182,784 0.57%
6/30/15 $ 724,917 $ 607,586 $ (117,331) 119.31% $ 4,900,569 2.39%
6/30/14 645,386 651,207 5,821 99.11% 4,638,418 0.13%
CORP Dispatchers
6/30/16 $ 39,112 $ 51,144 $ 12,032 76.5% $ 397,428 3.03%
6/30/15 $ 35,178 $ 47,755 $ 12,577 73.66% $ 430,892 2.92%
6/30/14 30,453 44,111 13,658 69.04% 456,104 2.99%
See accompanying notes to schedule of agent OPEB plans’ funding progress.
92
TOWN OF MARANA, ARIZONA
REQUIRED SUPPLEMENTARY INFORMATION
NOTES TO SCHEDULE OF AGENT OPEB PLANS’ FUNDING PROGRESS
JUNE 30, 2017
Note 1 – Factors That Affect the Identification of Trends
Beginning in fiscal year 2014, PSPRS and CORP established separate funds for pension benefits and
health insurance premium benefits. Previously, the plans recorded both pension and health
insurance premium contributions in the same Pension Fund. During fiscal year 2014, the plans
transferred prior-year health insurance premium benefit contributions that exceeded benefit
payments from each plan’s Pension Fund to the new Health Insurance Fund.
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94
COMBINING AND INDIVIDUAL
FUND FINANCIAL STATEMENTS
AND SCHEDULES
95
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96
OTHER MAJOR GOVERNMENTAL FUNDS
SCHEDULES OF REVENUES, EXPENDITURES AND CHANGES
IN FUND BALANCES – BUDGET AND ACTUAL
97
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98
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - TANGERINE FARMS
IMPROVEMENT DISTRICT DEBT SERVICE
YEAR ENDED JUNE 30, 2017
Budgeted Amounts
Original Final Actual
Variance -
Positive
(Negative)
Revenues:
Special assessments 2,111,776$ 2,111,776$ 2,340,225$ 228,449$
Total revenues 2,111,776 2,111,776 2,340,225 228,449
Expenditures:
Debt service -
Principal retirement 1,374,000 1,374,000 1,458,000 (84,000)
Interest and fiscal charges 737,776 737,776 731,949 5,827
Bond issuance costs - - 230,107 (230,107)
Total expenditures 2,111,776 2,111,776 2,420,056 (308,280)
Excess (deficiency) of revenues
over expenditures - - (79,831) (79,831)
Other financing sources (uses):
Face value of bonds issued - - 14,245,132 (14,245,132)
Refunded bond escrow payment - - (14,801,787) 14,801,787
Capitalized interest - - 177,785 (177,785)
Total other financing sources
(uses)- - (378,870) 378,870
Changes in fund balances - - (458,701) (458,701)
Fund balances, beginning of year - - 475,980 475,980
Fund balances, end of year -$ -$ 17,279$ 17,279$
99
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - PAG CAPITAL
YEAR ENDED JUNE 30, 2017
PAG Capital
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Intergovernmental 40,382,226$ 40,382,226$ 22,963,147$ (17,419,079)$
Miscellaneous - - - -
Total revenues 40,382,226 40,382,226 22,963,147 (17,419,079)
Expenditures:
Capital outlay 40,382,227 40,382,227 24,511,580 15,870,647
Total expenditures 40,382,227 40,382,227 24,511,580 15,870,647
Excess (deficiency) of revenues
over expenditures (1) (1) (1,548,433) (1,548,432)
Fund balance (deficit), beginning
of year - - (359,783) (359,783)
Fund balance (deficit), end of year (1) (1) (1,908,216) (1,908,215)
100
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Sales taxes 5,933,250$ 5,933,250$ 5,667,969$ (265,281)$
Investment income - - 81,273 81,273
Total revenues 5,933,250 5,933,250 5,749,242 (184,008)
Expenditures:
Current -
General government - - 854,790 (854,790)
Highways and streets 169,186 169,186 117,296 51,890
Capital outlay 14,857,522 14,857,522 1,406,030 13,451,492
Total expenditures 15,026,708 15,026,708 2,378,116 12,648,592
Excess (deficiency) of revenues over
expenditures (9,093,458) (9,093,458) 3,371,126 12,464,584
Other financing sources (uses):
Transfers out (862,294) (862,294) (437,399) 424,895
Total other financing sources
(uses)(862,294) (862,294) (437,399) 424,895
Changes in fund balances (9,955,752) (9,955,752) 2,933,727 12,889,479
Fund balances (deficits), July 1, 2016 - - 9,895,125 9,895,125
Fund balances (deficits), June 30, 2017 (9,955,752)$ (9,955,752)$ 12,828,852$ 22,784,604$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - TRANSPORTATION CAPITAL
YEAR ENDED JUNE 30, 2017
Transportation Capital
101
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102
NON-MAJOR GOVERNMENTAL FUNDS
103
Special
Revenue Capital Projects Debt Service
Total
Non-Major
Governmental
Funds
ASSETS
Cash and cash equivalents 3,919,913$ 26,175,082$ 4,182,336$ 34,277,331$
Taxes receivable - 206 1,718 1,924
Accounts receivable 1,436 - - 1,436
Interest receivable - 7,232 98 7,330
Development agreement receivable - 51,931 - 51,931
Due from governments 295,780 1,475,649 - 1,771,429
Prepaid items - 1,332 - 1,332
Restricted cash and investments - 1,021,535 - 1,021,535
Total assets 4,217,129$ 28,732,967$ 4,184,152$ 37,134,248$
LIABILITIES
Accounts payable 31,161$ 944,029$ 2,000$ 977,190$
Accrued payroll and employee benefits 21,792 - - 21,792
Due to other funds 12,329 - - 12,329
Deposits held for others - 75,758 - 75,758
Unearned revenue 11,616 - - 11,616
Total liabilities 76,898 1,019,787 2,000 1,098,685
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue 92,965 188,415 - 281,380
Total deferred inflows of
resources 92,965 188,415 - 281,380
FUND BALANCES (DEFICITS)
Fund balances:
Nonspendable - 1,332 - 1,332
Restricted 4,047,266 27,523,433 4,182,152 35,752,851
Unassigned - - - -
Total fund balances 4,047,266 27,524,765 4,182,152 35,754,183
Total liabilities, deferred inflows
of resources, and fund balances 4,217,129$ 28,732,967$ 4,184,152$ 37,134,248$
TOWN OF MARANA, ARIZONA
COMBINING BALANCE SHEET - ALL NON-MAJOR GOVERNMENTAL FUNDS -
BY FUND TYPE
JUNE 30, 2017
104
Special
Revenue Capital Projects Debt Service
Total
Non-Major
Governmental
Funds
Revenues:
Sales tax 1,178,535$ 5,365,470$ -$ 6,544,005$
Property tax - 68,450 452,489 520,939
Intergovernmental 883,435 5,555,737 - 6,439,172
Licenses, fees & permits - 2,230,181 - 2,230,181
Fines, forfeitures & penalties 153,085 - - 153,085
Contributions - 139,989 9,412 149,401
Investment income 10,423 56,955 1,068 68,446
Miscellaneous 4,688 - - 4,688
Total revenues 2,230,166 13,416,782 462,969 16,109,917
Expenditures:
Current -
General government 676,879 17,944 - 694,823
Public safety 901,510 - - 901,510
Highways and streets - 113,923 - 113,923
Economic and community development 398,883 - - 398,883
Culture and recreation - 325,561 - 325,561
Capital outlay - 7,730,336 - 7,730,336
Debt service -
Principal retirement - - 3,625,000 3,625,000
Interest and fiscal charges - - 3,150,295 3,150,295
Bond issuance costs - 47,823 745,324 793,147
Total expenditures 1,977,272 8,235,587 7,520,619 17,733,478
Excess (deficiency) of revenues over
expenditures 252,894 5,181,195 (7,057,650) (1,623,561)
Other financing sources (uses):
Face value of bonds issued - 400,000 27,420,000 27,820,000
Refunded bond escrow payment - - (32,063,864) (32,063,864)
Premium on bonds issued - - 4,089,196 4,089,196
Transfers in - 416,682 7,209,340 7,626,022
Transfers out (53,783) (723,106) (5,457,571) (6,234,460)
Total other financing sources (uses)(53,783) 93,576 1,197,101 1,236,894
Change in fund balances 199,111 5,274,771 (5,860,549) (386,667)
Fund balances, beginning of year 3,848,155 22,249,994 10,042,701 36,140,850
Fund balances, end of year 4,047,266$ 27,524,765$ 4,182,152$ 35,754,183$
TOWN OF MARANA, ARIZONA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -
ALL NON-MAJOR GOVERNMENTAL FUNDS - BY FUND TYPE
YEAR ENDED JUNE 30, 2017
105
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106
NON-MAJOR SPECIAL REVENUE FUNDS
Community Development Grant Fund (CDBG) – This fund accounts for the CDBG program
which provides resources to address community development needs
Affordable Housing Fund – This revolving fund accounts for resources utilized on affordable
housing projects and programs.
Bed Tax Fund – This fund accounts for the collection of the discriminatory portion of bed tax
revenues which funds economic development and tourism initiatives.
Judicial Collection Enhancement Fund – This fund accounts for resources required to
improve, maintain and enhance the ability to collect and manage monies assessed or received
by the courts including restitution, child support, fines and civil penalties; and to improve court
automation projects likely to improve case processing or the administration of justice.
Fill-the-Gap Fund – This fund accounts for local Fill-the-Gap resources which shall be used to
improve, maintain and enhance the ability to collect and manage monies assessed or received
by the courts, to improve court automation and to improve case processing or the
administration of justice.
Local Technology Fund – This fund accounts for resources required to fund local or
collaborative technology improvement projects and programs.
Other Special Revenue Fund – Includes all other grant related programs and projects.
107
Community
Development
Block Grant
Affordable
Housing Bed Tax
ASSETS
Cash and cash equivalents -$ 220,157$ 824,112$
Accounts receivable - - -
Due from governments 13,112 - 119,169
Prepaid - - -
Total assets 13,112$ 220,157$ 943,281$
LIABILITIES
Accounts payable 32$ -$ 16,894$
Accrued payroll and employee benefits 86 - 1,730
Due to other funds 12,329 - -
Unearned revenue - - -
Total liabilities 12,447 - 18,624
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue - - -
Total deferred inflows of resources - - -
FUND BALANCES (DEFICITS)
Nonspendable - - -
Restricted 665 220,157 924,657
Total fund balances 665 220,157 924,657
Total liabilities, deferred inflows of
resources, and fund balances 13,112$ 220,157$ 943,281$
TOWN OF MARANA, ARIZONA
COMBINING BALANCE SHEET - NON-MAJOR SPECIAL REVENUE FUNDS
JUNE 30, 2017
108
Judicial
Collection
Enhancement Fill-the-Gap
Local
Technology
Other Special
Revenue Fund Totals
143,696$ 84,937$ 891,718$ 1,755,293$ 3,919,913$
- 1,436 - - 1,436
- - - 163,499 295,780
- - - - -
143,696$ 86,373$ 891,718$ 1,918,792$ 4,217,129$
-$ -$ 5,433$ 8,802$ 31,161$
- - 946 19,030 21,792
- - - - 12,329
- - - 11,616 11,616
- - 6,379 39,448 76,898
- - - 92,965 92,965
- - - 92,965 92,965
- - - - -
143,696 86,373 885,339 1,786,379 4,047,266
143,696 86,373 885,339 1,786,379 4,047,266
143,696$ 86,373$ 891,718$ 1,918,792$ 4,217,129$
109
Community
Development
Block Grant
Affordable
Housing Bed Tax
Judicial
Collection
Enhancement
Revenues:
Sales taxes -$ -$ 1,178,535$ -$
Intergovernmental 93,112 - - -
Fines, forfeitures & penalties - - - 13,967
Investment income - - - -
Miscellaneous - 2,218 - -
Total revenues 93,112 2,218 1,178,535 13,967
Expenditures:
Current -
General government - - 615,932 6,013
Public safety - - - -
Economic and community development 92,447 - 246,436 -
Total expenditures 92,447 - 862,368 6,013
Excess (deficiency) of revenues over
expenditures 665 2,218 316,167 7,954
Other financing sources (uses):
Transfers in - - - -
Transfers out (53,783) - - -
Total other financing sources (uses)(53,783) - - -
Change in fund balances (53,118) 2,218 316,167 7,954
Fund balances (deficits), beginning of year 53,783 217,939 608,490 135,742
Fund balances (deficits), end of year 665$ 220,157$ 924,657$ 143,696$
TOWN OF MARANA, ARIZONA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -
NON-MAJOR SPECIAL REVENUE FUNDS
YEAR ENDED JUNE 30, 2017
110
Fill-the-Gap
Local
Technology
Other Special
Revenue Fund Totals
-$ -$ -$ 1,178,535$
- - 790,323 883,435
4,666 89,602 44,850 153,085
- - 10,423 10,423
- - 2,470 4,688
4,666 89,602 848,066 2,230,166
- 48,913 6,021 676,879
- - 901,510 901,510
- - 60,000 398,883
- 48,913 967,531 1,977,272
4,666 40,689 (119,465) 252,894
- - - -
- - - (53,783)
- - - (53,783)
4,666 40,689 (119,465) 199,111
81,707 844,650 1,905,844 3,848,155
86,373$ 885,339$ 1,786,379$ 4,047,266$
111
Community Development Block Grant Fund
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Intergovernmental 261,700$ 261,700$ 93,112$ (168,588)$
Total revenues 261,700 261,700 93,112 (168,588)
Expenditures:
Current -
Economic and community development 261,700 261,700 92,447 169,253
Total expenditures 261,700 261,700 92,447 169,253
Excess (deficiency) of revenues over
expenditures - - 665 665
Other financing sources:
Transfer out - - (53,783) (53,783)
Total other financing sources - - (53,783) (53,783)
Change in fund balance - - (53,118) (53,118)
Fund balance, July 1, 2016 - - 53,783 53,783
Fund balance, June 30, 2017 -$ -$ 665$ 54,448$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
COMMUNITY DEVELOPMENT BLOCK GRANT FUND
YEAR ENDED JUNE 30, 2017
112
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Miscellaneous 10,000$ 10,000$ 2,218$ (7,782)$
Total revenues 10,000 10,000 2,218 (7,782)
Expenditures:
Current -
Economic and community development 215,720 215,720 - 215,720
Total expenditures 215,720 215,720 - 215,720
Excess (deficiency) of revenues over
expenditures (205,720) (205,720) 2,218 207,938
Fund balance, July 1, 2016 - - 217,939 217,939
Fund balance (deficits), June 30, 2017 (205,720)$ (205,720)$ 220,157$ 425,877$
Affordable Housing Revolving Fund
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
AFFORDABLE HOUSING REVOLVING FUND
YEAR ENDED JUNE 30, 2017
113
Bed Tax Fund
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Sales taxes 937,884$ 937,884$ 1,178,535$ 240,651$
Total revenues 937,884 937,884 1,178,535 240,651
Expenditures:
Current -
General government 680,030 680,030 615,932 64,098
Economic and community development 260,619 260,619 246,436 14,183
Total expenditures 940,649 940,649 862,368 78,281
Excess (deficiency) of revenues over
expenditures (2,765) (2,765) 316,167 318,932
Fund balance, July 1, 2016 - - 608,490 608,490
Fund balance (deficits), June 30, 2017 (2,765)$ (2,765)$ 924,657$ 927,422$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
BED TAX FUND
YEAR ENDED JUNE 30, 2017
114
Judicial Collection Enhancement Fund
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Fines, forfeitures & penalties 15,000$ 15,000$ 13,967$ (1,033)$
Total revenues 15,000 15,000 13,967 (1,033)
Expenditures:
Current -
General government 82,000 82,000 6,013 75,987
Total expenditures 82,000 82,000 6,013 75,987
Excess (deficiency) of revenues over
expenditures (67,000) (67,000) 7,954 74,954
Fund balance, July 1, 2016 - - 135,742 135,742
Fund balance (deficits), June 30, 2017 (67,000)$ (67,000)$ 143,696$ 210,696$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
JUDICIAL COLLECTION ENHANCEMENT FUND
YEAR ENDED JUNE 30, 2017
115
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Fines, forfeitures & penalties 6,000$ 6,000$ 4,666$ (1,334)$
Total revenues 6,000 6,000 4,666 (1,334)
Expenditures:
Current -
General government 34,500 34,500 - 34,500
Total expenditures 34,500 34,500 - 34,500
Excess (deficiency) of revenues over
expenditures (28,500) (28,500) 4,666 33,166
Fund balance, July 1, 2016 - - 81,707 81,707
Fund balance (deficits), June 30, 2017 (28,500)$ (28,500)$ 86,373$ 114,873$
Fill-the-Gap
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
FILL-THE-GAP FUND
YEAR ENDED JUNE 30, 2017
116
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Fines, forfeitures & penalties 140,000$ 140,000$ 89,602$ (50,398)$
Total revenues 140,000 140,000 89,602 (50,398)
Expenditures:
Current -
General government 283,256 283,256 48,913 234,343
Total expenditures 283,256 283,256 48,913 234,343
Change in fund balance (143,256) (143,256) 40,689 183,945
Fund balance, July 1, 2016 - - 844,650 844,650
Fund balance (deficits), June 30, 2017 (143,256)$ (143,256)$ 885,339$ 1,028,595$
Local Technology Fund
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
LOCAL TECHNOLOGY
YEAR ENDED JUNE 30, 2017
117
Other Special Revenue Fund
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Intergovernmental 1,253,704$ 1,253,704$ 790,323$ (463,381)$
Fines, forfeitures & penalties 50,000 50,000 44,850 (5,150)
Contributions 789 789 - (789)
Investment income 1,615 1,615 10,423 8,808
Miscellaneous 10,000 10,000 2,470 (7,530)
Total revenues 1,316,108 1,316,108 848,066 (468,042)
Expenditures:
Current -
General government 680,789 678,789 6,021 672,768
Public safety 1,638,126 1,640,126 901,510 738,616
Economic and community development - - 60,000 (60,000)
Total expenditures 2,318,915 2,318,915 967,531 1,351,384
Excess (deficiency) of revenues over
expenditures (1,002,807) (1,002,807) (119,465) 883,342
Other financing sources:
Transfer in 100,000 100,000 - (100,000)
Total other financing sources 100,000 100,000 - (100,000)
Change in fund balance (902,807) (902,807) (119,465) 783,342
Fund balance, July 1, 2016 - - 1,905,844 1,905,844
Fund balance (deficits), June 30, 2017 (902,807)$ (902,807)$ 1,786,379$ 2,689,186$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR SPECIAL REVENUE FUNDS
OTHER SPECIAL REVENUE FUND
YEAR ENDED JUNE 30, 2017
118
NON-MAJOR CAPITAL PROJECTS FUND
Capital Projects Funds are created to account for the purchase or construction of major capital
facilities which are not financed by the general, enterprise, or special revenue funds.
Northwest (Benefit Area) Transportation Impact Fees – This fund accounts for the
financing and construction of transportation projects that are defined within the northwest
benefit area.
Northeast (Benefit Area) Transportation Impact Fees – This fund accounts for the
financing and construction of transportation projects that are defined within the northeast
benefit area.
South (Benefit Area) Transportation Impact Fees – This fund accounts for the financing
and construction of transportation projects that are defined within the south benefit area.
Park Impact Fees Fund – This fund accounts for park impact fees collected by the Town and
utilized for authorized capital improvements.
Pima County Bond Capital Fund – This fund accounts for the financing and construction of
projects funded through Pima County Bond program.
Sales Tax Capital Fund – This fund accounts for sales tax proceeds which are used for
authorized capital improvements.
Downtown Reinvestment Fund – This fund accounts for sales tax proceeds which are used
for authorized capital improvements in the Downtown area.
Other Capital Projects Fund – Includes all other capital related funding and projects.
Gladden Farms Capital Fund – This fund accounts for the proceeds from the sale of general
obligation bonds which are used for authorized capital improvements.
Vanderbilt Farms Capital Fund – This fund accounts for the proceeds from property tax
revenues to be used for authorized capital improvements.
Saguaro Springs Capital Fund – This fund accounts for the financing and construction of
authorized capital improvements.
119
Northwest
Transportation
Impact Fees
Northeast
Transportation
Impact Fees
South
Transportation
Impact Fees
Park Impact
Fees
ASSETS
Cash and cash equivalents 1,334,610$ 2,904,896$ 3,453,954$ 4,306,664$
Taxes receivable - - - -
Interest receivable - - 1,788 -
Development agreement receivable - - - -
Due from governments - - - -
Prepaid items - - - -
Restricted cash - - - -
Total assets 1,334,610$ 2,904,896$ 3,455,742$ 4,306,664$
LIABILITIES
Accounts payable 4,498$ 4,022$ 1,191$ 348,339$
Accrued payroll and employee benefits - - - -
Due to other funds - - - -
Unearned revenue - - - -
Deposits held for others - - - -
Total liabilities 4,498 4,022 1,191 348,339
DEFERRED INFLOWS OF RESOURCES
Unavailable revenue - - - -
Total deferred inflows of
resources - - - -
FUND BALANCES (DEFICITS)
Nonspendable - - - -
Restricted 1,330,112 2,900,874 3,454,551 3,958,325
Unassigned - - - -
Total fund balances (deficits) 1,330,112 2,900,874 3,454,551 3,958,325
Total liabilities, deferred inflows
of resources, and fund balances 1,334,610$ 2,904,896$ 3,455,742$ 4,306,664$
TOWN OF MARANA, ARIZONA
COMBINING BALANCE SHEET - NON-MAJOR CAPITAL PROJECTS FUNDS (Cont'd)
YEAR ENDED JUNE 30, 2017
120
Pima County
Bond Capital
Sales Tax
Capital
Downtown
Reinvestment
Other Capital
Projects
Gladden
Farms
Capital
Vanderbilt
Farms
Capital
-$ 7,809,818$ 577,365$ 5,104,310$ 548,029$ 54,563$
- - - - 206 -
- 5,074 - 370 - -
- - - 51,931 - -
- 653,153 29,531 792,965 - -
- - - 1,332 - -
- - - 1,021,535 - -
-$ 8,468,045$ 606,896$ 6,972,443$ 548,235$ 54,563$
-$ 57,294$ -$ 528,685$ -$ -$
- - - - - -
- - - - - -
- - - - - -
- - - 72,373 - -
- 57,294 - 601,058 - -
- - - 188,415 - -
- - - 188,415 - -
- - - 1,332 - -
- 8,410,751 606,896 6,181,638 548,235 54,563
- - - - - -
- 8,410,751 606,896 6,182,970 548,235 54,563
-$ 8,468,045$ 606,896$ 6,972,443$ 548,235$ 54,563$
121
Saguaro
Springs
Capital Totals
80,873$ 26,175,082$
- 206
- 7,232
- 51,931
- 1,475,649
- 1,332
- 1,021,535
80,873$ 28,732,967$
-$ 944,029$
- -
- -
- -
3,385 75,758
3,385 1,019,787
- 188,415$
- 188,415
- 1,332$
77,488 27,523,433
- -
77,488 27,524,765
80,873$ 28,732,967$
TOWN OF MARANA, ARIZONA
COMBINING BALANCE SHEET - NON-MAJOR CAPITAL PROJECTS FUNDS (Concl'd)
YEAR ENDED JUNE 30, 2017
122
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123
Northwest
Transportation
Impact Fees
Northeast
Transportation
Impact Fees
South
Transportation
Impact Fees
Park Impact
Fees
Revenues:
Sales tax -$ -$ -$ -$
Property tax - - - -
Intergovernmental - - - -
Licenses, fees & permits - 364,842 776,159 888,392
Contributions - - - -
Investment income 7,461 14,040 2,848 19,759
Miscellaneous revenue - - - -
Total revenues 7,461 378,882 779,007 908,151
Expenditures:
Current -
General government - - - -
Highways and streets 11,432 84,218 11,431 -
Economic and community development - - - -
Culture and recreation - - - 325,561
Capital outlay 174,921 3,018 745 857,873
Debt service
Bond Issuance Costs - - - -
Total expenditures 186,353 87,236 12,176 1,183,434
Excess (deficiency) of revenues over
expenditures (178,892) 291,646 766,831 (275,283)
Other financing sources (uses):
Face value of bonds issued - - - -
Refunding bonds issued - - - -
Premium on bonds issued - - - -
Transfers in - - - -
Transfers out - (301,803) (311,384) (13,099)
Total other financing sources (uses) - (301,803) (311,384) (13,099)
Change in fund balances (178,892) (10,157) 455,447 (288,382)
Fund balances (deficits), beginning of year 1,509,004 2,911,031 2,999,104 4,246,707
Fund balances (deficits), end of year 1,330,112$ 2,900,874$ 3,454,551$ 3,958,325$
TOWN OF MARANA, ARIZONA
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES -
NON-MAJOR CAPITAL PROJECT FUNDS (Cont'd)
YEAR ENDED JUNE 30, 2017
124
Pima County
Bond Capital
Sales Tax
Capital
Downtown
Reinvestment
Other Capital
Projects
Gladden
Farms
Capital
Vanderbilt
Farms
Capital
-$ 5,142,996$ 222,474$ -$ -$ -$
- - - - 54,472 1,858
- - - 5,555,737 - -
- - - 200,788 - -
- - - 139,989 - -
- 5,626 - 7,167 50 4
- - - - - -
- 5,148,622 222,474 5,903,681 54,522 1,862
- - - - 17,762 91
- - - 6,842 - -
- - - - - -
- - - - -
- 1,370,185 - 4,928,114 395,480 -
- - - 43,303 4,520 -
- 1,370,185 - 4,978,259 417,762 91
- 3,778,437 222,474 925,422 (363,240) 1,771
- - - - 400,000 -
- - - - - -
- - - - - -
165,157 - - 251,525 - -
- - - (2) (96,818) -
165,157 - - 251,523 303,182 -
165,157 3,778,437 222,474 1,176,945 (60,058) 1,771
(165,157) 4,632,314 384,422 5,006,025 608,293 52,792
-$ 8,410,751$ 606,896$ 6,182,970$ 548,235$ 54,563$
125
Saguaro
Springs
Capital Totals
-$ 5,365,470$
12,120 68,450
- 5,555,737
- 2,230,181
- 139,989
- 56,955
- -
12,120 13,416,782
91 17,944
- 113,923
- -
- 325,561
- 7,730,336
- 47,823
91 8,235,587
12,029 5,181,195
- 400,000
- -
- -
- 416,682
- (723,106)
- 93,576
12,029 5,274,771
65,459 22,249,994
77,488$ 27,524,765$
TOWN OF MARANA, ARIZONA
COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES -
NON-MAJOR CAPITAL PROJECT FUNDS (Concl'd)
YEAR ENDED JUNE 30, 2017
126
Northwest Transportation Impact Fees
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Licenses, fees & permits 38,500$ 38,500$ -$ (38,500)$
Investment income - - 7,461 7,461
Total revenues 38,500 38,500 7,461 (31,039)
Expenditures:
Current -
Highways and streets - 111,131 11,432 99,699
Capital outlay 1,353,399 1,242,268 174,921 1,067,347
Total expenditures 1,353,399 1,353,399 186,353 1,167,046
Excess (deficiency) of revenues over
expenditures (1,314,899) (1,314,899) (178,892) 1,136,007
Other financing sources (uses):
Transfers in - - - -
Total other financing sources (uses)- - - -
Change in fund balances (1,314,899) (1,314,899) (178,892) 1,136,007
Fund balances (deficits), July 1, 2016 - - 1,509,004 1,509,004
Fund balances (deficits), June 30, 2017 (1,314,899)$ (1,314,899)$ 1,330,112$ 2,645,011$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
NORTHWEST TRANSPORTATION IMPACT FEES
YEAR ENDED JUNE 30, 2017
127
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Licenses, fees & permits 297,820$ 297,820$ 364,842$ 67,022$
Investment income - - 14,040 14,040
Total revenues 297,820 297,820 378,882 81,062
Expenditures:
Current -
Highways and streets - - 84,218 (84,218)
Capital outlay 3,642,682 3,642,682 3,018 3,639,664
Total expenditures 3,642,682 3,642,682 87,236 3,555,446
Excess (deficiency) of revenues over
expenditures (3,344,862) (3,344,862) 291,646 3,636,508
Other financing sources (uses):
Transfers out (603,606) (603,606) (301,803) 301,803
Total other financing sources (uses)(603,606) (603,606) (301,803) 301,803
Change in fund balances (3,948,468) (3,948,468) (10,157) 3,938,311
Fund balances (deficits), July 1, 2016 - - 2,911,031 2,911,031
Fund balances (deficits), June 30, 2017 (3,948,468)$ (3,948,468)$ 2,900,874$ 6,849,342$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
NORTHEAST TRANSPORTATION IMPACT FEES
YEAR ENDED JUNE 30, 2017
Northeast Transportation Impact Fees
128
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Licenses, fees & permits 599,445$ 599,445$ 776,159$ 176,714$
Investment income - - 2,848 2,848
Total revenues 599,445 599,445 779,007 179,562
Expenditures:
Current -
Highways and streets - - 11,431 (11,431)
Capital outlay - - 745 (745)
Total expenditures - - 12,176 (12,176)
Excess (deficiency) of revenues over
expenditures 599,445 599,445 766,831 167,386
Other financing sources (uses):
Transfers out (622,768) (622,768) (311,384) 311,384
Total other financing sources (uses)(622,768) (622,768) (311,384) 311,384
Change in fund balances (23,323) (23,323) 455,447 478,770
Fund balances (deficits), July 1, 2016 - - 2,999,104 2,999,104
Fund balances (deficits), June 30, 2017 (23,323)$ (23,323)$ 3,454,551$ 3,477,874$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
SOUTH TRANSPORTATION IMPACT FEES
YEAR ENDED JUNE 30, 2017
South Transportation Impact Fees
129
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Licenses, fees & permits 610,328$ 610,328$ 888,392$ 278,064$
Investment income - - 19,759 19,759
Total revenues 610,328 610,328 908,151 297,823
Expenditures:
Current -
Culture and recreation 65,000 195,709 325,561 (129,852)
Capital outlay 4,322,053 4,191,344 857,873 3,333,471
Total expenditures 4,387,053 4,387,053 1,183,434 3,203,619
Excess (deficiency) of revenues over
expenditures (3,776,725) (3,776,725) (275,283) 3,501,442
Other financing sources:
Transfers out - - (13,099) (13,099)
Total other financing sources - - (13,099) (13,099)
Change in fund balances (3,776,725) (3,776,725) (288,382) 3,488,343
Fund balances (deficits), July 1, 2016 - - 4,246,707 4,246,707
Fund balances (deficits), June 30, 2017 (3,776,725)$ (3,776,725)$ 3,958,325$ 7,748,149$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
PARK IMPACT FEES
YEAR ENDED JUNE 30, 2017
Park Impact Fees
130
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Intergovernmental -$ -$ -$ -$
Total revenues - - - -
Expenditures:
Capital outlay - - - -
Total expenditures - - - -
Excess (deficiency) of revenues over
expenditures - - - -
Other financing sources:
Transfers in - - 165,157 165,157
Total other financing sources - - 165,157 165,157
Change in fund balances - - 165,157 165,157
Fund balances (deficits), July 1, 2016 - - (165,157) (165,157)
Fund balances (deficits), June 30, 2017 -$ -$ -$ -$
Pima County Bond Capital
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
PIMA COUNTY BOND CAPITAL
YEAR ENDED JUNE 30, 2017
131
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Sales tax 6,000,000$ 6,000,000$ 5,142,996$ (857,004)$
Investment income - - 5,626 5,626
Total revenues 6,000,000 6,000,000 5,148,622 (851,378)
Expenditures:
Capital outlay 7,092,271 7,092,271 1,370,185 5,722,086
Total expenditures 7,092,271 7,092,271 1,370,185 5,722,086
Excess (deficiency) of revenues over
expenditures (1,092,271) (1,092,271) 3,778,437 4,870,708
Fund balances (deficits), July 1, 2016 - - 4,632,314 (4,632,314)
Fund balances (deficits), June 30, 2017 (1,092,271)$ (1,092,271)$ 8,410,751$ 238,394$
Sales Tax Capital
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
SALES TAX CAPITAL
YEAR ENDED JUNE 30, 2017
132
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Sales tax 180,165$ 180,165$ 222,474 42,309$
Total revenues 180,165 180,165 222,474 42,309
Expenditures:
Economic and community development 185,319 185,319 - 185,319
Total expenditures 185,319 185,319 - 185,319
Excess (deficiency) of revenues over
expenditures (5,154) (5,154) 222,474 227,628
Fund balances (deficits), July 1, 2016 - - 384,422 (384,422)
Fund balances (deficits), June 30, 2017 (5,154)$ (5,154)$ 606,896$ (156,794)$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
DOWNTOWN REINVESTMENT
YEAR ENDED JUNE 30, 2017
Downtown Reinvestment
133
Other Captial Projects
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Intergovernmental 516,075$ 516,075$ 5,555,737$ 5,039,662$
Licenses, fees & permits - - 200,788 200,788
Contributions 410,000 410,000 139,989 (270,011)
Investment income - - 7,167 7,167
Total revenues 926,075 926,075 5,903,681 4,977,606
Expenditures:
Highways and streets 35,000 35,000 6,842 28,158
Capital outlay 3,073,238 3,073,238 4,928,114 (1,854,876)
Debt service -
Bond issuance costs - - 43,303 (43,303)
Total expenditures 3,108,238 3,108,238 4,978,259 (1,870,021)
Excess (deficiency) of revenues over (2,182,163) (2,182,163) 925,422 3,107,585 expenditures
Other financing sources (uses):
Transfers in 2,000,000 2,000,000 251,525 (1,748,475) Transfers out - - (2) (2)
Total other financing sources (uses) 2,000,000 2,000,000 251,523 (1,748,477)
Changes in fund balances (182,163) (182,163) 1,176,945 1,359,108
Fund balances (deficits), July 1, 2016 - - 5,006,025 5,006,025
Fund balances (deficits), June 30, 2017 (182,163)$ (182,163)$ 6,182,970$ 6,365,133$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - OTHER CAPITAL PROJECTS
YEAR ENDED JUNE 30, 2017
134
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property tax 54,444$ 54,444$ 54,472$ 28$
Investment income - - 50 50
Total revenues 54,444 54,444 54,522 78
Expenditures:
Current -
General government 531,485 531,485 17,762 513,723
Capital outlay 900,000 900,000 395,480 504,520
Debt service -
Bond issuance costs 100,000 100,000 4,520 95,480
Total expenditures 1,531,485 1,531,485 417,762 1,113,723
Excess (deficiency) of revenues over
expenditures (1,477,041) (1,477,041) (363,240) 1,113,801
Other financing sources (uses):
Bond proceeds 1,000,000 1,000,000 400,000 (600,000)
Transfers out - - (96,818) (96,818)
Total other financing sources (uses)1,000,000 1,000,000 303,182 (696,818)
Change in fund balances (477,041) (477,041) (60,058) 416,983
Fund balances (deficits), July 1, 2016 - - 608,293 608,293
Fund balances (deficits), June 30, 2017 (477,041)$ (477,041)$ 548,235$ 1,025,276$
Gladden Farms Community Facilities District Capital
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
GLADDEN FARMS COMMUNITY FACILITIES DISTRICT CAPITAL
YEAR ENDED JUNE 30, 2017
135
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property tax 2,355$ 2,355$ 1,858$ (497)$
Contributions 29,839 29,839 - (29,839)
Investment income - - 4 4
Total revenues 32,194 32,194 1,862 (30,332)
Expenditures:
Current -
General government 32,194 32,194 91 32,103
Total expenditures 32,194 32,194 91 32,103
Excess (deficiency) of revenues over
expenditures - - 1,771 1,771
Fund balances (deficits), July 1, 2016 - - 52,792 52,792
Fund balances (deficits), June 30, 2017 -$ -$ 54,563$ 54,563$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
VANDERBILT FARMS COMMUNITY FACILITIES DISTRICT CAPITAL
YEAR ENDED JUNE 30, 2017
Vanderbilt Farms Capital
136
Original Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property tax 12,150$ 12,150$ 12,120$ (30)$
Contributions 384,086 384,086 - (384,086)
Total revenues 396,236 396,236 12,120 (384,116)
Expenditures:
Current -
General government 442,000 442,000 91 441,909
Capital outlay 4,000,000 4,000,000 - 4,000,000
Debt service -
Bond issuance costs 450,000 450,000 - 450,000
Total expenditures 4,892,000 4,892,000 91 4,891,909
Excess (deficiency) of revenues over
expenditures (4,495,764) (4,495,764) 12,029 4,507,793
Other financing sources (uses):
Bond proceeds 4,500,000 4,500,000 - (4,500,000)
Total other financing sources (uses)4,500,000 4,500,000 - (4,500,000)
Change in fund balances 4,236 4,236 12,029 7,793
Fund balances (deficits), July 1, 2016 - - 65,459 65,459
Fund balances (deficits), June 30, 2017 4,236$ 4,236$ 77,488$ 73,252$
Saguaro Springs Capital
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR CAPITAL PROJECTS FUNDS
SAGUARO SPRINGS COMMUNITY FACILITIES DISTRICT CAPITAL
YEAR ENDED JUNE 30, 2017
137
This page intentionally left blank
138
NON-MAJOR DEBT SERVICE FUNDS
Debt Service Funds are created to account for the accumulation of resources for, and the
payment of, general long-term debt principal and interest.
2008 Bond Debt Service Fund – This fund accounts for the accumulation of resources and
payment of principal and interest on the series 2008 revenue bonds. The Town has pledged
Town sales tax revenue, state shared revenues, licenses, fees and permits revenue, and fines,
forfeitures and penalties revenue to make the required payments for this series.
2013 Bond Debt Service Fund – This fund accounts for the accumulation of resources and
payment of principal and interest on the series 2013 revenue bonds. The Town has pledged
Town sales tax revenue and state shared revenues to make the required payments for this
series.
2014 Bond Debt Service Fund – This fund accounts for the accumulation of resources and
payment of principal and interest on the series 2014 revenue bonds. The Town has pledged
Town sales tax revenue and state shared revenues to make the required payments for this
series.
2017 Bond Debt Service Fund – This fund accounts for the accumulation of resources and
payment of principal and interest on the series 2017 revenue bonds. The Town has pledged
Town sales tax revenue and state shared revenues to make the required payments for this
series.
Gladden Farms Debt Service Fund – This fund accounts for the accumulation of resources
and payment of principal and interest on the Gladden Farms general obligation bonds.
139
2008 Bond Debt
Service
2013 Bond
Debt Service
2014 Bond
Debt Service
ASSETS
Cash and cash equivalents -$ 2,339,362$ 463,440$
Property taxes receivable - - -
Interest receviable - 98 -
Due from other governments - - -
Prepaid items - - -
Restricted cash and investments - - -
Total assets -$ 2,339,460$ 463,440$
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable -$ 2,000$ -$
Total liabilities - 2,000 -
Fund balances:
Reserved for:
Prepaid items - - -
Restricted - 2,337,460 463,440
Unassigned - - -
Total fund balances - 2,337,460 463,440
Total liabilities and fund balances -$ 2,339,460$ 463,440$
TOWN OF MARANA, ARIZONA
COMBINING BALANCE SHEET - NON-MAJOR DEBT SERVICE FUNDS
JUNE 30, 2017
140
2017 Bond
Debt Service
Other Debt
Service
Gladden Farms
Debt Service Totals
949,108$ 45,514$ 384,912$ 4,182,336$
- - 1,718 1,718
- - - 98
- - - -
- - - -
- - - -
949,108$ 45,514$ 386,630$ 4,184,152$
-$ -$ -$ 2,000$
- - - 2,000
- - - -
949,108 45,514 386,630 4,182,152
- - - -
949,108 45,514 386,630 4,182,152
949,108$ 45,514$ 386,630$ 4,184,152$
141
2008 Bond Debt
Service
2013 Bond
Debt Service
2014 Bond
Debt Service
Revenues:
Property Taxes -$ -$ -$
Contributions - - -
Investment income 766 105 (237)
Total revenues 766 105 (237)
Expenditures:
Debt service -
Principal retirement 1,430,000 1,550,000 380,000
Interest and fiscal charges 1,207,788 1,481,725 153,725
Bond Issuance Costs - - -
Total expenditures 2,637,788 3,031,725 533,725
Excess (deficiency) of revenues over
expenditures (2,637,022) (3,031,620) (533,962)
Other financing sources (uses):
Face value of bonds issued - - -
Refunded bond escrow payment - - -
Premium on bonds issued - - -
Transfers in 1,252,891 3,063,718 538,867
Transfers out (5,457,571) - -
Total other financing sources (uses)(4,204,680) 3,063,718 538,867
Change in fund balances (6,841,702) 32,098 4,905
Fund balances, beginning of year 6,841,702 2,305,362 458,535
Fund balances, end of year -$ 2,337,460$ 463,440$
TOWN OF MARANA, ARIZONA
COMBINING STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES -
NON-MAJOR DEBT SERVICE FUNDS
YEAR ENDED JUNE 30, 2017
142
2017 Bond Debt
Service
Other Debt
Service
Gladden Farms
Debt Service Totals
-$ -$ 452,489$ 452,489$
- - 9,412 9,412
378 - 56 1,068
378 - 461,957 462,969
- - 265,000 3,625,000
- - 307,057 3,150,295
260,840 - 484,484 745,324
260,840 - 1,056,541 7,520,619
(260,462) - (594,584) (7,057,650)
19,865,000 - 7,555,000 27,420,000
(24,128,715) - (7,935,149) (32,063,864)
3,216,239 - 872,957 4,089,196
2,257,046 - 96,818 7,209,340
- - - (5,457,571)
1,209,570 - 589,626 1,197,101
949,108 - (4,958) (5,860,549)
- 45,514 391,588 10,042,701
949,108$ 45,514$ 386,630$ 4,182,152$
143
Original Final Actual
Variance -
Positive
(Negative)
Revenues:
Property Taxes -$ -$ -$ -$
Contributions - - - -
Investment income - - 766 766
Total revenues - - 766 766
Expenditures:
Debt service -
Principal retirement 1,430,000 1,430,000 1,430,000 -
Interest and fiscal charges 1,207,788 1,207,788 1,207,788 -
Total expenditures 2,637,788 2,637,788 2,637,788 -
Excess (deficiency) of revenues over
expenditures (2,637,788) (2,637,788) (2,637,022) 766
Other financing sources:
Face value of bonds issued - - - -
Refunded bond escrow payment - - - -
Transfers in 2,637,788 2,637,788 1,252,891 (1,384,897)
Transfers out - - (5,457,571) (5,457,571)
Total other financing sources 2,637,788 2,637,788 (4,204,680) (6,842,468)
Change in fund balances - - (6,841,702) (6,841,702)
Fund balances (deficits), July 1, 2016 - - 6,841,702 6,841,702
Fund balances (deficits), June 30, 2017 -$ -$ -$ -$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR DEBT SERVICE FUNDS
2008 BOND DEBT SERVICE
YEAR ENDED JUNE 30, 2017
2008 Bond Debt Service
144
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property Taxes -$ -$ -$ -$
Contributions - - - -
Investment income - - 105 105
Total revenues - - 105 105
Expenditures:
Debt service -
Principal retirement 1,550,000 1,550,000 1,550,000 -
Interest and fiscal charges 1,481,725 1,481,725 1,481,725 -
Total expenditures 3,031,725 3,031,725 3,031,725 -
Excess (deficiency) of revenues over
expenditures (3,031,725) (3,031,725) (3,031,620) 105
Other financing sources (uses):
Face value of bonds issued - - - -
Refunded bond escrow payment - - - -
Transfers in 3,031,725 3,031,725 3,063,718 (31,993)
Transfers out - - - -
Total other financing sources (uses)3,031,725 3,031,725 3,063,718 (31,993)
Change in fund balances - - 32,098 32,098
Fund balances (deficits), July 1, 2016 - - 2,305,362 2,305,362
Fund balances (deficits), June 30, 2017 -$ -$ 2,337,460$ 2,337,460$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR DEBT SERVICE FUNDS
2013 BOND DEBT SERVICE
YEAR ENDED JUNE 30, 2017
2013 Bond Debt Service
145
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property Taxes -$ -$ -$ -$
Contributions - - - -
Investment income - - (237) (237)
Total revenues - - (237) (237)
Expenditures:
Debt service -
Principal retirement 380,000 380,000 380,000 -
Interest and fiscal charges 151,725 151,725 153,725 (2,000)
Total expenditures 531,725 531,725 533,725 (2,000)
Excess (deficiency) of revenues over
expenditures (531,725) (531,725) (533,962) (2,237)
Other financing sources (uses):
Face value of bonds issued - - - -
Refunded bond escrow payment - - - -
Transfers in 531,725 531,725 538,867 (7,142)
Transfers out - - - -
Total other financing sources (uses)531,725 531,725 538,867 (7,142)
Change in fund balances - - 4,905 4,905
Fund balances (deficits), July 1, 2016 - - 458,535 458,535
Fund balances (deficits), June 30, 2017 -$ -$ 463,440$ 463,440$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR DEBT SERVICE FUNDS
2014 BOND DEBT SERVICE
YEAR ENDED JUNE 30, 2017
2014 Bond Debt Service
146
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property Taxes -$ -$ -$ -$
Contributions - - - -
Investment income - - 378 378
Total revenues - - 378 378
Expenditures:
Debt service -
Principal retirement - - - -
Interest and fiscal charges - - - -
Bond issuance costs - - 260,840 (260,840)
Total expenditures - - 260,840 (260,840)
Excess (deficiency) of revenues over
expenditures - - (260,462) (260,462)
Other financing sources (uses):
Face value of bonds issued - - 19,865,000 (19,865,000)
Refunded bond escrow payment - - (24,128,715) 24,128,715
Premium on bonds issued - - 3,216,239 (3,216,239)
Transfers in - - 2,257,046 (2,257,046)
Transfers out - - - -
Total other financing sources (uses)- - 1,209,570 (1,209,570)
Change in fund balances - - 949,108 949,108
Fund balances (deficits), July 1, 2016 - - - -
Fund balances (deficits), June 30, 2017 -$ -$ 949,108$ 949,108$
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR DEBT SERVICE FUNDS
2017 BOND DEBT SERVICE
YEAR ENDED JUNE 30, 2017
2017 Bond Debt Service
147
Original
Budget Final Budget Actual
Variance -
Positive
(Negative)
Revenues:
Property Taxes 452,269$ 452,269$ 452,489$ 220$
Contributions 264,603 264,603 9,412 (255,191)
Investment income - - 56 56
Total revenues 716,872 716,872 461,957 (254,915)
Expenditures:
Debt service -
Principal retirement 265,000 265,000 265,000 -
Interest and fiscal charges 451,872 451,872 307,057 144,815
Bond issuance costs - - 484,484 (484,484)
Total expenditures 716,872 716,872 1,056,541 (339,669)
Excess (deficiency) of revenues over
expenditures - - (594,584) (594,584)
Other financing sources (uses):
Face value of bonds issued - - 7,555,000 (7,555,000)
Refunded bond escrow payment - - (7,935,149) 7,935,149
Premium on bonds issued - - 872,957 (872,957)
Transfers in - - 96,818 (96,818)
Transfers out - - - -
Total other financing sources (uses)- - 589,626 (589,626)
Change in fund balances - - (4,958) (4,958)
Fund balances (deficits), July 1, 2016 - - 391,588 391,588
Fund balances (deficits), June 30, 2017 -$ -$ 386,630$ 386,630$
Gladden Farms Debt Service
TOWN OF MARANA, ARIZONA
SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN
FUND BALANCES - BUDGET AND ACTUAL - NON-MAJOR DEBT SERVICE FUNDS
GLADDEN FARMS DEBT SERVICE
YEAR ENDED JUNE 30, 2017
148
STATISTICAL INFORMATION
149
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150
TOWN OF MARANA, ARIZONA
STATISTICAL SECTION
JUNE 30, 2017
Statistical Section
Financial presentations included in the Statistical Section provide data and information on the financial, physical, a
and economic characteristics of the Town of Marana. The following schedules cover multiple fiscal years and
provide users with a broader and more complete understanding of the Town and its financial affairs and economic
condition. They also present detailed information as a context for understanding this year's financial statements,
note disclosures, and required supplementary information.
Schedule Page
Financial Trends
These schedules contain trend information to help users understand and assess how the Town's
financial position has changed over time.
Net Position by Component - Last Ten Fiscal Years 1 152
Changes in Net Position - Last Ten Fiscal Years 2 154
Governmental Activities Tax Revenues by Source - Last Ten Years 3 158
Fund Balances of Governmental Funds - Last Ten Fiscal Years 4 159
Changes in Fund Balances of Governmental Funds - Last Ten Fiscal Years 5 160
Revenue Capacity
These schedules contain information to help users understand and assess the Town's local revenue
source, the property tax.
Assessed Value, Estimated Actual Value and Assessment Ratios of Taxable Property - 6 162
Last Ten Years
Property Tax Rates - Direct and Overlapping Governments - Last Ten Years 7 163
Principal Property Taxpayers - Current Year and Nine Years Ago 8 164
Property Tax Levies and Collections - Last Ten Fiscal Years 9 165
Tangerine Farms Road Improvement District Active Assessments 10 166
Debt Capacity
These schedules present information to help users understand and assess the Town's debt burden
and its ability to service current debt and to issue additional debt in the future.
Ratios of Outstanding Debt by Type - Last Ten Fiscal Years 11 174
Ratios of General Bonded Debt Outstanding - Last Ten Fiscal Years 12 175
Direct and Overlapping Governmental Activities Debt 13 176
Legal Debt Margin Information 14 177
Pledged-Revenue Coverage - Last Ten Fiscal Years 15 178
Demographic and Economic Information
These schedules present economic and demographic indicators to help users understand the
environment within which the Town's financial activities take place.
Demographic and Economic Statistics - Last Ten Fiscal Years 16 179
Principal Employers - Current Year and Nine Years Ago 17 180
Operating Information
These schedules present information to help users understand the Town's operations and resources
as well as to provide a context for understanding and assessing the Town's economic condition.
Full-time Equivalent City Government Employees by Function - Last Ten Fiscal Years 18 181
Other Information
These schedules present information to help users understand potential for growth and
economic opportunities within the town.
Sales Tax by Industry - Last Ten Years 19 182
Excise Tax Collections - Last Ten Years 20 183
Principal Retail and Contracting Sales Taxpayers - Current Year and Nine Years Ago 21 184
Single Family Residential Permits Issued - Last Ten Years 22 185
Capital Assets Statistics by Function 23 186
151
Schedule 1
2008 2009 2010 2011
Governmental activities
Net investment in capital assets 184,396$ 174,286$ 193,721$ 196,326$
Restricted 25,465 45,727 25,459 28,136
Unrestricted 22,320 39,916 39,929 38,889
Total governmental activities net position 232,181 259,929 259,109 263,351
Business-type activities
Net investment in capital assets 32,341 41,643 44,310 42,148
Restricted 1,297 - - 73
Unrestricted (1,242) (4,714) (5,813) (2,683)
Total business-type activities net position 32,396 36,929 38,497 39,538
Primary government
Net investment in capital assets 216,737 215,929 238,031 238,474
Restricted 26,762 45,727 25,459 28,209
Unrestricted 21,078 35,202 34,116 36,206
Total primary government net position 264,577$ 296,858$ 297,606$ 302,889$
Source: Statement of Net Position
(Amounts expressed in thousands)
TOWN OF MARANA
NET POSITION BY COMPONENT
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
152
Schedule 1
2012 2013 2014 2015 2016 2017
(as restated)
194,287$ 184,949$ 189,171$ 190,297$ 193,845$ 210,137$
29,004 62,437 58,820 36,418 43,127 31,163
39,911 1,384 (283) (4,283) (6,492) 5,119
263,202 248,770 247,708 222,432 230,480 246,419
112,528 111,045 109,111 109,649 112,357 101,524
146 219 293 365 365 365
(17,519) (2,677) (208) 984 1,313 16,319
95,155 108,587 109,196 110,998 114,035 118,208
306,815 295,994 298,282 299,946 306,202 311,661
29,150 62,656 59,113 36,783 43,492 31,528
22,392 (1,293) (491) (3,299) (5,179) 21,439
358,357$ 357,357$ 356,904$ 333,430$ 344,515$ 364,628$
153
Schedule 2
2008 2009 2010 2011
Expenses
Governmental activities:
General government 12,925$ 9,565$ 14,638$ 10,643$
Development & planning services - 1,304 - -
Town Attorney *- 917 - -
Public safety 11,215 12,255 10,675 9,044
Magistrate court *- 946 - -
Highways and streets 10,269 6,734 14,986 15,425
Health & Welfare **130 112 102 86
Culture & recreation 3,978 4,818 3,943 3,335
Economic & community development 8,643 12,751 4,835 4,596
Interest on long-term debt 2,500 2,530 865 5,173
Total governmental activities expenses 49,660 51,932 50,044 48,302
Business-type activities:
Airport 1,196 2,546 3,803 3,392
Wastewater N/A N/A N/A N/A
Water 3,276 1,178 1,136 1,273
Total business-type activities expenses 4,472 3,724 4,939 4,665
Total primary government expenses 54,132$ 55,656$ 54,983$ 52,967$
Program Revenues
Governmental activities:
Charges for services:
General government 899$ 918$ 939$ 830$
Culture and recreation 200 315 211 140
Economic & community development 2,380 1,740 1,974 2,256
Operating grants and contributions 4,700 3,537 4,221 3,555
Capital grants and contributions 14,590 40,725 11,618 14,963
Total government activities program revenues 22,768 47,235 18,963 21,744
Business-type activities:
Charges for services:
Airport 221 227 235 238
Wastewater N/A N/A N/A N/A
Water 2,968 2,718 3,035 3,103
Capital grants and contributions 6,885 5,269 3,489 2,669
Total business-type activity program revenues 10,074 8,214 6,759 6,010
Total primary government program revenues 32,842 55,449 25,722 27,754
Net (expense)/revenue
Governmental activities (26,892) (4,697) (31,081) (26,558)
Business-type activities 5,602 4,490 1,820 1,345
Total primary government net expense (21,290)$ (207)$ (29,261)$ (25,213)$
TOWN OF MARANA
CHANGES IN NET POSITION
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
(Amounts expressed in thousands)
154
Schedule 2
2012 2013 2014 2015 2016 2017
10,833$ 9,532$ 10,662$ 14,707$ 17,531$ 19,393$
- - - - - -
- - - - - -
10,206 11,777 12,134 14,324 14,423 16,736
- - - - - -
17,233 18,327 19,053 18,522 22,659 40,172
23 23 23 - - 278
2,173 3,831 3,131 4,433 3,422 6,006
4,258 4,123 4,691 4,796 4,779 4,902
4,721 4,312 4,543 4,106 3,962 2,335
49,447 51,925 54,237 60,888 66,776 89,822
1,112 1,179 1,197 1,289 1,829 1,772
3,831 2,599 2,756 3,431 3,662 3,983
3,074 3,779 5,244 4,150 4,405 5,368
8,017 7,557 9,197 8,870 9,896 11,123
57,464$ 59,482$ 63,434$ 69,758$ 76,672$ 100,945$
881$ 975$ 941$ 4,490$ 4,787$ 4,909$
134 216 200 305 265 287
2,513 3,906 3,386 4,585 4,027 4,355
3,202 3,747 4,442 4,360 4,507 4,619
9,017 12,373 10,268 11,281 17,157 44,371
15,747 21,217 19,237 25,021 30,743 58,541
233 239 248 239 247 251
241 730 834 933 1,016 1,065
3,281 3,455 3,766 4,146 4,243 5,064
60,207 1,958 2,534 4,015 5,214 5,941
63,962 6,382 7,382 9,333 10,720 12,321
79,709 27,599 26,619 34,354 41,463 70,862
(33,700) (33,699) (35,000) (35,867) (36,033) (31,281)
55,945 55,944 (1,815) 463 824 1,198
22,245$ 22,245$ (36,815)$ (35,404)$ (35,209)$ (30,083)$
155
Schedule 2
2008 2009 2010 2011
General Revenues and Other Changes in
Net Position
Governmental activities:
General revenues
City sales taxes 27,173$ 22,404$ 21,662$ 22,948$
Property taxes 460 691 623 584
Franchise fees 309 315 313 322
State shared revenues 7,397 7,221 6,462 5,719
Investment income (loss)3,024 595 135 105
Miscellaneous 459 1,227 774 814
Gain on sale of assets - - - -
Transfers (160) (8) 291 309
Total governmental activities 38,661 32,445 30,260 30,801
Business-type activities:
General revenues
Investment income 110 8 1 1
Miscellaneous 37 26 38 4
Transfers 160 8 (291) (309)
Special item - - - -
Total business-type activities 307 42 (252) (304)
Total primary government 38,968 32,487 30,008 30,497
Change in Net Position
Governmental activities 11,769 27,748 (821) 4,243
Business-type activities 5,909 4,532 1,568 1,041
Total primary government 17,678$ 32,280$ 747$ 5,284$
* In prior fiscal years, 2003 through 2009, the functions of Town Attorney and Magistrate Court were reported
separately. However, both functions have been consolidated as part of the General Government function, as
per General Accounting and Financial Reporting standards.
**In prior fiscal years, 2003 through 2008, programs and services offered by the Senior Center were included
in the function of Culture and Recreation. Effective fiscal year 2008, these programs and services are reported
under the function of Health and Welfare.
Source: Statement of Activities
(Amounts expressed in thousands)
TOWN OF MARANA
CHANGES IN NET POSITION
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
156
Schedule 2
2012 2013 2014 2015 2016 2017
24,539$ 24,768$ 26,226$ 28,059$ 35,442$ 37,500$
506 447 421 442 482 509
333 349 377 401 447 488
6,943 7,714 8,273 8,820 9,039 10,619
97 152 171 149 173 238
803 737 854 813 676 744
- 36 - 116 - -
329 (15,912) (2,384) (404) (2,177) (2,878)
33,550 18,291 33,938 38,396 44,082 47,220
1 2 1 9 16 43
1 19 39 19 19 54
(329) 15,911 2,384 404 2,177 2,878
- (1,326) - - - -
(327) 14,606 2,424 432 2,212 2,975
33,223 32,897 36,362 38,828 46,294 50,195
(150) (15,408) (1,062) 2,529 8,049 15,939
55,618 70,550 609 895 3,036 4,173
55,468$ 55,142$ (453)$ 3,424$ 11,085$ 20,112$
157
Schedule 3
Fiscal
Year Sales Tax
Highway User
Revenue taxes Total
2017 37,500$3,099$40,599$
2016 35,442 2,623 38,065
2015 28,059 2,484 30,458
2014 25,958 2,286 28,244
2013 24,618 2,257 26,875
2012 24,300 2,061 26,361
2011 22,800 1,869 24,669
2010 21,578 1,806 23,384
2009 22,718 1,936 24,654
2008 27,173 2,036 29,209
Source: Statement of Revenues
(Amounts expressed in thousands)
TOWN OF MARANA
GOVERNMENTAL ACTIVITIES TAX REVENUES BY SOURCE
LAST TEN FISCAL YEARS
(Accrual basis of accounting)
158
Schedule 4
TOWN OF MARANA
FUND BALANCES OF GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(Modified accrual basis of accounting)
(Amounts expressed in thousands)
2008 2009 2010 2011* 2012 2013 2014 2015 2016 2017
General Fund
Reserved 286$185$313$-$-$-$-$-$-$-$
Unreserved 20,128 14,299 14,779 -------
Nonspendable ---229 293 2,803 2,540 2,282 2,418 2,367
Unassigned --- 16,149 18,004 18,115 21,123 22,309 20,425 22,640
Total general fund 20,414 14,484 15,092 16,378 18,297 20,918 23,663 24,591 22,843 25,007
All other governmental funds
Reserved 257$7,221$7,099$-$-$-$-$-$-$-$
Unreserved, reported in:
Major governmental funds 13,978 23,762 6,341 -------
Special revenue funds 1,193 2,561 4,844 -------
Capital revenue funds 6,438 4,648 7,174 -------
Debt service funds ----------
Nonspendable ------33 -3 1
Restricted --- 28,137 29,821 47,616 40,774 40,771 48,486 49,960
Unassigned ---- (816) (444) (472) (863) (525) (1,908)
Total all other governmental funds 21,866$38,192$25,458$28,137$29,005$47,172$40,335$39,908$47,964$48,053$
Total fund balance of governmental funds 42,280$52,676$40,550$44,515$47,302$68,090$63,998$64,499$70,807$73,060$
*GASB Statement No. 54 implemented in fiscal year 2011, changed the way fund balances are classified.
Source: Governmental Fund Statements159
Schedule 5
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Revenues
Sales taxes 27,173$ 22,404$ 21,662$ 22,948$ 24,539$ 24,768$ 26,226$ 28,058$ 35,442$ 37,500$
Property taxes 460 692 622 584 506 497 424 447 489 521
Intergovernmental revenues 19,280 21,607 16,331 17,707 14,960 18,000 12,732 14,927 20,537 43,261
Licenses, fees and permits 3,341 2,521 3,681 4,361 4,906 8,586 6,549 7,048 6,243 7,078
Fines, forfeitures and penalties 808 869 879 730 752 871 831 889 750 728
Charges for services 980 706 621 430 456 379 509 692 500 563
Lease Income 987 543 555 647 92 105 99 96 90 113
Special assessments - 2,136 2,352 2,239 2,302 2,337 2,176 2,050 2,129 2,340
Contributions 1,457 658 381 3,690 537 589 1,098 583 1,216 214
System development fees - - - - - - - -- -
Investment earnings 3,025 595 135 105 97 152 171 149 173 238
Miscellaneous 484 286 820 614 636 804 927 853 376 460
Total revenues 57,995 53,017 48,039 54,055 49,783 57,088 51,742 55,792 67,945 93,016
Expenditures
General government 9,999 8,947 9,080 9,661 8,481 7,860 8,953 9,652 12,017 13,347
Public safety 10,500 11,204 10,164 9,334 10,590 12,067 11,952 13,886 14,068 14,477
Highways and streets 3,897 3,693 2,854 3,043 3,657 4,026 4,214 5,441 5,796 6,037
Health and welfare 130 113 75 59 - - - -- 365
Economic and community development 4,910 4,405 4,654 4,520 4,259 4,479 4,508 4,351 4,146 4,642
Culture and recreation 3,267 3,665 3,309 2,552 2,604 2,859 3,195 3,598 3,710 4,266
Town attorney - 917 - - - - - -- -
Magistrate Court - 946 - - - - - -- -
Community development - 370 - - - - - -- -
Capital outlay 57,213 35,888 29,420 13,800 7,040 3,700 4,453 9,885 11,840 34,275
Debt service
Principal 2,129 2,535 3,191 3,490 6,059 4,177 10,338 3,412 3,992 5,083
Interest 3,121 2,313 4,931 4,832 4,635 4,408 4,522 4,491 4,212 3,882
Other charges - 628 109 - 521 97 --1,023
Total expenditures 95,165 75,624 67,678 51,400 47,325 44,097 52,232 54,716 59,781 87,397
Excess of revenues
over (under) expenditures (37,171) (22,607) (19,639) 2,655 2,458 12,991 (490) 1,076 8,164 5,619
(Amounts expressed in thousands)
Fiscal Year
TOWN OF MARANA
CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS
LAST TEN FISCAL YEARS
(Modified accrual basis of accounting) 160
Schedule 5
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Other financing sources (uses)
Transfers in 4,195 15,978 8,492 5,297 5,998 19,700 14,155 6,380 6,498 7,680
Transfers out (4,355) (15,987) (8,201) (4,988) (5,669) (35,611) (16,540) (6,955) (8,675) (10,558)
Proceeds from sale of capital assets - - - - - 57 - - 321 45
Capitalized interest - - - - - - - - - 178
Bonds issued 3,075 39,790 - 1,000 - 34,780 6,493 - - 42,065
Premium on bonds issued - 443 - - - 3,031 - - - 4,089
Payments to refunded bond escrow agent - - - - - (14,160) (14,160) - - (46,865)
Total other financing sources (uses) 2,915 40,224 291 1,309 329 7,797 (10,052) (575) (1,856) (3,366)
Net change in fund balance (19,692)$ 20,585$ 2,946$ 3,767$ 13,320$ 7,307$ (8,976)$ (575)$ 6,308$ 2,253$
Debt service as a percentage of
noncapital expenditures 16.1%13.9%27.0%27.5%26.5%21.5%31.3%18.1%16.5%12.6%
Source: Governmental Fund Statements
Fiscal Year
161
Schedule 6TOWN OF MARANA
ASSESSED VALUE AND ESTIMATED ACTUAL OF TAXABLE PROPERTY
LAST TEN FISCAL YEARS
(Amounts expressed in thousands)
Fiscal
Year
Ended
June 30
Fiscal
Year
Residential
Property
Commercial
Property
Less: Tax
Exempt Real
Property
Total Taxable
Assessed
Value
Total
Direct Tax
Rate
Estimated
Actual Taxable
Value
Assessed
Value as a
Percentage
of Actual
Value
2018 2017/18 20,719$ 182$ 1,264$ 19,637$ 2.8000 $201,092 9.8%
2017 2016/17 19,250 42 1,202 18,091 2.8000 185,483 9.8%
2016 2015/16 18,274 5 1,228 17,051 2.8000 173,938 9.8%
2015 2014/15 17,078 4 1,359 15,724 2.8000 160,756 9.8%
2014 2013/14 16,176 5 1,354 14,826 2.8000 150,182 9.9%
2013 2012/13 17,851 4 1,343 16,512 2.8000 165,517 10.0%
2012 2011/12 18,920 10 1,339 17,591 2.8000 176,256 10.0%
2011 2010/11 21,859 7 1,251 20,616 2.8000 201,039 10.3%
2010 2009/10 23,438 9 1,190 22,257 2.8000 215,989 10.3%
2009 2008/09 24,964 23 406 24,581 2.8000 230,393 10.7%
Notes:
1) The Town of Marana does not impose a property tax; principal property taxpayers represented above
reflect those properties within the boundaries of the Gladden Farms Community Facilities District,
which does impose a property tax.
2) The valuations shown are consistent with Gladden Farms CFD Property Tax Levy as adopted by the
board of superviosrs on the third Monday in August of each year.
Source: Pima County Assessor's Office
162
Schedule 7
Fiscal
Year
Tax
Year
State of
Arizona
Pima County
(General
Fund)
Road Tax
County
Library
District
Debt
Service
Flood
Control
District
State
Education
Equalizatio
n
Assistance
Tax
Flowing
Wells
School
District
Community
College
District
Northwest Fire
District
2017/18 2017 - 4.2096$ 0.2500$ 0.5053$ 0.7000$ 0.3135$ 0.4875 6.7539$ 1.3890$ 3.0734$
2016/17 2016 - 4.2896 - 0.5153 0.7000 0.3335 0.5010 6.8971 1.3733 2.9920
2015/16 2015 - 4.3877 - 0.5153 0.7000 0.3135 0.5054 6.6292 1.3689 2.9138
2014/15 2014 - 4.2779 - 0.4353 0.7000 0.3035 0.5089 6.6135 1.3344 2.9272
2013/14 2013 - 3.6665 - 0.3753 0.7800 0.2635 0.5123 6.7146 1.2933 3.0213
2012/13 2012 - 3.4178 - 0.3460 0.7800 0.2635 0.4717 5.9778 1.1741 2.8339
2011/12 2011 - 3.4178 - 0.3460 0.7800 0.2635 0.4259 5.9689 1.1094 2.7109
2010/11 2010 - 3.3133 - 0.3100 0.7500 0.2635 0.3564 6.0407 1.0848 2.4646
2009/10 2009 - 3.3133 - 0.2643 0.7100 0.2635 0.3306 6.1239 1.0770 2.2077
2008/09 2008 - 3.3913 - 0.3393 0.6050 0.2935 6.2665 1.1355 2.2601
Fiscal
Year
Tax
Year
Fire
District
Assistance
Central
Arizona
Water
Conservation
District
Total
Overlapping
Rates
Town of
Marana
Marana
School
District
Gladden
Farms
Community
Facilities
District
Vanderbilt
Farms
Community
Facilities
District
Saguaro
Springs
Community
Facilities
District
Total
Direct
Rates
Total Direct
&
Overlapping
Rates
2017/18 2017 0.0459$ 0.1400$ 17.6822$ - 6.2334$ 2.8000$ 0.3000$ 0.3000$ 9.6334$ 27.3156$
2016/17 2016 0.0468 0.1400 17.6018 - 6.3871 2.8000 0.3000 0.3000 9.7871 27.3889
2015/16 2015 0.0467 0.1400 17.3338 - 6.3370 2.8000 0.3000 0.3000 9.7370 27.0708
2014/15 2014 0.0472 0.1400 17.1007 - 6.2288 2.8000 0.3000 0.3000 9.6288 26.7295
2013/14 2013 0.0456 0.1400 16.6268 - 6.0085 2.8000 0.3000 0.3000 9.4085 26.0353
2012/13 2012 0.0447 0.1000 15.2648 - 5.5863 2.8000 0.3000 0.3000 8.9863 24.2511
2011/12 2011 0.0418 0.1000 15.0224 - 5.2047 2.8000 0.3000 0.3000 8.6047 23.6271
2010/11 2010 0.0430 0.1000 14.5833 - 4.6995 2.8000 0.3000 0.3000 8.0995 22.6828
2009/10 2009 0.0406 0.1000 14.2903 - 4.9286 2.8000 0.3000 0.3000 8.3286 22.6189
2008/09 2008 0.0411 0.1000 14.2912 - 5.4815 2.8000 0.3000 0.3000 8.8815 23.1727
Notes:
1) The Flowing Wells School District (a school district of approximately 13 miles) intersects approximately one mile of the Town's boundaries.
Marana School District covers the remaining approximate 69 miles of the Town's boundaries.
2) The Town intersects several fire districts. Prior to fiscal year 1999, the Town contracted for fire service for the Town until fire districts
could be established.
3) The Pima County Flood Control District tax levy applies only to real property.
4) Primary and secondary tax rates are assessed per $100 of the net assessed value and are set by the County Board of Supervisors
or governing board of taxing jurisdiction.
Source: Pima County
TOWN OF MARANA
PROPERTY TAX RATES
DIRECT AND OVERLAPPING GOVERNMENTS
LAST TEN FISCAL YEARS
163
Schedule 8
Taxpayer
Full Cash
Value Rank
Percentage
of Total
taxable
Assessed
Value
Full Cash
Value Rank
Percentage
of Total
taxable
Assessed
Value
GLADDEN 25 LENDING LLC 171$1 19.3%282 5 6.4%
SMITHS FOOD & DRUG CENTERS INC 125 2 14.1%324 4 7.4%
WEINGARTEN NEWQUIST LLC 120 3 13.5%224 6 5.1%
AMH 2014-1 BORROWER LLC 92 4 10.4%- --
AT&T MOBILITY LLC 89 5 10.0%- --
FIDELITY NATIONAL TITLE TR 60421 66 6 7.4%- --
TITLE SECURITY AGENCY OF AZ TR 201401-T 61 7 6.9%- --
GIGAFISH LLC 57 8 6.4%- --
KB HOME TUCSON INC 54 9 6.1%- --
TITLE SECURITY AGENCY LLC TR-201546S 52 10 5.9%- --
FIDELITY NATIONAL TITLE TR 30212 2,301 1 52.5%
FIDELITY NATIONAL TITLE TR 60360 339 2 7.7%
FIDELITY NATIONAL TITLE TR 60338 328 3 7.4%
FREEDBER BARRY & FREEDBRG BELLA 201 7 4.6%
MIRAMONTE GLADDEN FARMS LLC 171 8 3.9%
OS REALITY LLC 134 9 3.0%
TITLE SECURITY AGENCY OF AZ TR 891 103 10 2.3%
Totals 887$4,407$
Notes:
1) The Town of Marana does not impose a property tax; principal property taxpayers represented above
reflect those properties within the boundaries of the Gladden Farms Community Facilities District,
which does impose a property tax.
Source: Pima County Assessor's Office - IS Dept
(Information System's Coordinator)
20082017
TOWN OF MARANA
PRINCIPAL PROPERTY TAXPAYERS
CURRENT YEAR AND NINE YEARS AGO
(Amounts expressed in thousands)
164
Schedule 9TOWN OF MARANA
PROPERTY TAX LEVIES AND COLLECTIONS
LAST TEN FISCAL YEARS
(Amounts expressed in thousands)
Collected within the Fiscal Year
of the Levy Total Collections to Date
Fiscal Year
Ended June
30
Total Tax Levy for
Fiscal Year Amount
Percentage
of Levy Amount
Percentage
of Levy
2017 521$515 98.85%520 99.81%
2016 489 485 99.18%438 99.80%
2015 440 436 99.09%438 99.55%
2014 415 411 99.04%412 99.28%
2013 462 456 98.65%456 98.65%
2012 492 489 99.39%491 99.80%
2011 623 563 97.57%563 97.57%
2010 623 623 100.00%623 100.00%
2009 688 681 98.98%687 99.85%
2008 544 532 97.79%543 99.82%
Notes:
1) The Town does not impose a property tax; levies and collections presented above reflect assessments
directly related to the Gladden Farms Community Facilities District I and II, Vanderbilt, and Saguaro
Springs.
Source: Pima County Treasurer's Office
165
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
242-C1 215-01-003P Tangerine/I-10, LLC $1,135,478.05 $741,140.00 $12,587.00 1,015,384 Commercial
242-A 215-01-003R Tangerine/I-10, LLC 910,428.35 594,248.00 8,440.00 814,136 Commercial
242-B3-1 215-01-003S INTERNATIONAL CENTER TUCSON LLC & SECUNDUS
TUCSON LLC 87,681.70 57,231.00 2,678,258.00 78,565 Commercial
242-B1/2 215-01-003T Tangerine/I-10, LLC 266,454.95 173,918.00 2,954.00 238,273 Commercial
242-B4/5 215-01-003U Tangerine/I-10, LLC 620,104.49 404,750.00 6,788.00 554,519 Commercial
242-B1/2/4/5 215-01-003V Tangerine/I-10, LLC 1,240,696.11 809,817.00 13,789.00 1,109,473 Commercial
242-B3-2 215-01-003W INTERNATIONAL CENTER TUCSON LLC & SECUNDUS
TUCSON LLC 82,323.38 53,733.00 985.00 73,738 Commercial
242-D1 216-12-0250 Tangerine/I-10, LLC 82,810.50 54,051.00 29,545.00 73,864 Commercial
242-D2 216-12-0260 Tangerine/I-10, LLC 430,127.46 280,749.00 159,923.00 384,808 Commercial
242-D3 216-12-0270 Tangerine/I-10, LLC 608,900.71 397,437.00 217,717.00 544,292 Commercial
242-D4 216-12-0300 Tangerine/I-10, LLC 29,227.23 19,077.00 10,409.00 26,023 Commercial
242-C2 216-12-0330 Tangerine/I-10, LLC 197,770.95 129,087.00 8,120.00 176,854 Commercial
237 217-53-040A TOWN OF MARANA 119,965.96 78,303.23 2,106,900.00 1,019,740 Park
235 217-53-8060 KB Home Tucson Inc.504,741.16 329,450.62 419,263.00 - Residential
236 217-53-8070 KB Home Tucson Inc.319,456.43 208,513.06 315,775.00 - Residential
238/239-1 217-53-8080 WALGREEN CO.47,073.12 30,725.19 238,512.00 79,504 Commercial
238/239-2 217-53-8090 GLADDEN 25 LLC 34,021.62 22,206.31 114,954.00 57,477 Residential and Commercial
238/239-3 217-53-8100 GLADDEN 25 LLC 36,317.24 23,704.69 122,704.00 61,352 Residential and Commercial
238/239-4 217-53-8110 GLADDEN 25 LLC 34,975.98 22,829.24 118,098.00 59,049 Residential and Commercial
238/239-5 217-53-8120 GLADDEN 25 LLC 31,674.41 20,674.28 107,006.00 53,503 Residential and Commercial
238/239-6 217-53-8130 GLADDEN 25 LLC 33,583.13 21,920.11 113,434.00 56,717 Residential and Commercial
238/239-7 217-53-8140 GLADDEN 25 LLC 25,767.70 16,818.89 87,048.00 43,524 Residential and Commercial
238/239-8 217-53-8150 GLADDEN 25 LLC 59,118.69 38,587.48 169,764.00 99,861 Residential and Commercial
238/239-9 217-53-8160 GLADDEN 25 LLC 54,733.79 35,725.41 157,140.00 92,435 Residential and Commercial
238/239-10 217-53-8170 GLADDEN 25 LLC 51,638.56 33,705.12 148,232.00 87,195 Residential and Commercial
230-1 217-54-0110 Gladden Phase II, LLC 511,130.62 333,621.10 13,295.00 1,072,482 Residential and Commercial
230-2 217-54-0120 Gladden Phase II, LLC 648,590.84 423,343.04 17,744.00 1,431,382 Residential and Commercial
230-3 217-54-0130 Gladden Phase II, LLC 550,694.98 359,445.24 15,066.00 1,215,324 Residential and Commercial
230-4 217-54-0140 Northwest Medical Center 1,140,957.82 744,716.90 31,212.00 2,517,768 Hospital
230-5 217-54-0150 Gladden Phase II, LLC 766,695.93 500,431.65 137,732.00 1,930,109 Residential and Commercial
230-6 217-54-0160 Gladden Phase II, LLC 626,135.01 408,685.86 11,961.00 964,854 Residential and Commercial
230-7 217-54-0180 Gladden Phase II, LLC 715,582.86 467,069.54 14,742.00 1,189,188 Residential and Commercial
230-8 217-54-0190 Gladden Phase II, LLC 597,781.67 390,179.28 16,351.00 1,318,997 Residential and Commercial
230-9 217-54-0200 Gladden Phase II, LLC 530,298.02 346,131.90 16,492.00 1,330,522 Residential and Commercial
230-10 217-54-0210 Gladden Phase II, LLC 690,026.33 450,388.49 13,970.00 1,126,897 Residential and Commercial
230-11 217-54-0220 Gladden Phase II, LLC 1,181,989.55 771,498.81 21,902.00 1,766,794 Residential and Commercial
230-12 217-54-0230 Gladden Phase II, LLC 659,991.24 430,784.22 18,052.00 1,456,211 Residential and Commercial
230-13 217-54-0240 Gladden Phase II, LLC 773,085.06 504,601.93 21,368.00 1,723,472 Residential and Commercial
230-14 217-54-0250 Gladden Phase II, LLC 779,474.19 508,772.18 14,602.00 1,177,862 Residential and Commercial
230-15 217-54-0260 Gladden Phase II, LLC 632,524.14 412,856.12 14,546.00 955,706 Residential and Commercial
230-16 217-54-0270 Gladden Phase II, LLC 894,478.58 583,836.94 17,809.00 1,436,609 Residential and Commercial
230-17 217-54-0280 Gladden Phase II, LLC 625,192.30 408,070.54 17,102.00 1,379,545 Residential and Commercial
231 217-55-012A WESTCOR MARANA LLC 2,645,066.47 1,726,466.72 32,195.00 2,597,047 Commercial
99 217-56-2440 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
100 217-56-2450 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
101 217-56-2460 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
102 217-56-2470 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
103 217-56-2480 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
104 217-56-2490 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
106 217-56-2510 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
166
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
108 217-56-2530 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
109 217-56-2540 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
110 217-56-2550 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
111 217-56-2560 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
112 217-56-2570 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
113 217-56-2580 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
114 217-56-2590 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
115 217-56-2600 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
122 217-56-2670 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
123 217-56-2680 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
127 217-56-2720 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
128 217-56-2730 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
130 217-56-2750 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
131 217-56-2760 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
132 217-56-2770 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
133 217-56-2780 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
134 217-56-2790 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
135 217-56-2800 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
141 217-56-2860 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
142 217-56-2870 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
143 217-56-2880 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
144 217-56-2890 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
148 217-56-2930 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
162 217-56-3070 KB Home Tucson Inc.6,389.13 4,170.26 163,500.00 - Residential
163 217-56-3080 KB Home Tucson Inc.6,389.13 4,170.26 190,429.00 - Residential
164 217-56-3090 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
165 217-56-3100 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
166 217-56-3110 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
167 217-56-3120 KB Home Tucson Inc.6,389.13 4,170.26 24,836.00 - Residential
170-1 217-56-3900 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-2 217-56-3910 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-3 217-56-3920 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-4 217-56-3930 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-5 217-56-3940 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-6 217-56-3950 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-7 217-56-3960 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-8 217-56-3970 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-9 217-56-3980 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-10 217-56-3990 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-11 217-56-4000 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-12 217-56-4010 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-13 217-56-4020 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-14 217-56-4030 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-15 217-56-4040 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-16 217-56-4050 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-17 217-56-4060 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-18 217-56-4070 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-19 217-56-4080 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-20 217-56-4090 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-21 217-56-4100 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-22 217-56-4110 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-23 217-56-4120 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential167
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
170-24 217-56-4130 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-25 217-56-4140 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-26 217-56-4150 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-27 217-56-4160 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-28 217-56-4170 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-29 217-56-4180 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-30 217-56-4190 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-31 217-56-4200 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-32 217-56-4210 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-33 217-56-4220 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-34 217-56-4230 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-35 217-56-4240 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-36 217-56-4250 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-37 217-56-4260 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-38 217-56-4270 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-39 217-56-4280 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-40 217-56-4290 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-41 217-56-4300 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-42 217-56-4310 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-43 217-56-4320 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-44 217-56-4330 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-45 217-56-4340 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-46 217-56-4350 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-47 217-56-4360 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-48 217-56-4370 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-49 217-56-4380 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-50 217-56-4390 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-51 217-56-4400 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-52 217-56-4410 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-53 217-56-4420 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-54 217-56-4430 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-55 217-56-4440 MERITAGE HOMES OF ARIZONA 6,389.13 4,170.26 5,501.00 - Residential
170-56 217-56-4450 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-57 217-56-4460 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-58 217-56-4470 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-59 217-56-4480 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-60 217-56-4490 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-61 217-56-4500 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-62 217-56-4510 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-63 217-56-4520 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-64 217-56-4530 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-65 217-56-4540 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-66 217-56-4550 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-67 217-56-4560 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-68 217-56-4570 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-69 217-56-4580 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-70 217-56-4590 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-71 217-56-4600 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-72 217-56-4610 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-73 217-56-4620 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-74 217-56-4630 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-75 217-56-4640 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential168
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
170-76 217-56-4650 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-77 217-56-4660 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-78 217-56-4670 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-79 217-56-4680 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-80 217-56-4690 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-81 217-56-4700 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-82 217-56-4710 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-83 217-56-4720 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-84 217-56-4730 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-85 217-56-4740 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-86 217-56-4750 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-87 217-56-4760 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-88 217-56-4770 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
170-89 217-56-4780 MERITAGE HOMES OF ARIZONA 6,389.12 4,170.26 5,501.00 - Residential
232/233-1 217-56-4930 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-2 217-56-4940 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-3 217-56-4950 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-4 217-56-4960 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-5 217-56-4970 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-6 217-56-4980 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-7 217-56-4990 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-8 217-56-5000 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-9 217-56-5010 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-10 217-56-5020 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-11 217-56-5030 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-12 217-56-5040 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-13 217-56-5050 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-14 217-56-5060 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-15 217-56-5070 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-16 217-56-5080 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-17 217-56-5090 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-18 217-56-5100 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-19 217-56-5110 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-20 217-56-5120 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-21 217-56-5130 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-22 217-56-5140 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-23 217-56-5150 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-24 217-56-5160 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-25 217-56-5170 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-26 217-56-5180 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-27 217-56-5190 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-28 217-56-5200 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-29 217-56-5210 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-30 217-56-5220 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-31 217-56-5230 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-32 217-56-5240 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-33 217-56-5250 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-34 217-56-5260 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-35 217-56-5270 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-36 217-56-5280 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-37 217-56-5290 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-38 217-56-5300 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential169
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
232/233-39 217-56-5310 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-40 217-56-5320 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-41 217-56-5330 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-42 217-56-5340 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-43 217-56-5350 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-44 217-56-5360 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-45 217-56-5370 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-46 217-56-5380 Gladden Phase I, LLC 6,389.13 4,170.26 5,501.00 - Residential
232/233-47 217-56-5390 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-48 217-56-5400 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-49 217-56-5410 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-50 217-56-5420 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-51 217-56-5430 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-52 217-56-5440 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-53 217-56-5450 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-54 217-56-5460 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-55 217-56-5470 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-56 217-56-5480 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-57 217-56-5490 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-58 217-56-5500 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-59 217-56-5510 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-60 217-56-5520 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-61 217-56-5530 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-62 217-56-5540 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-63 217-56-5550 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-64 217-56-5560 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-65 217-56-5570 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-66 217-56-5580 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-67 217-56-5590 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-68 217-56-5600 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-69 217-56-5610 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-70 217-56-5620 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-71 217-56-5630 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-72 217-56-5640 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-73 217-56-5650 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-74 217-56-5660 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
232/233-75 217-56-5670 Gladden Phase I, LLC 6,389.12 4,170.26 5,501.00 - Residential
218 217-57-3660 NP Investments LLC 30,562.80 19,948.70 260,465.00 52,093 Gladden Farms Commercial Center - Bank
219 217-57-3670 Weingarten Realty 20,712.16 13,519.08 70,606.00 35,303 Gladden Farms Commercial Center - Fast Food Restaurant
220 217-57-3680 Weingarten Realty 24,176.01 15,779.98 82,414.00 41,207 Gladden Farms Commercial Center - Fast Food Restaurant
221 217-57-3690 Weingarten Realty 19,133.95 12,488.96 65,226.00 32,613 Gladden Farms Commercial Center
222 217-57-3700 Weingarten Realty 45,150.43 29,470.24 153,914.00 76,957 Gladden Farms Commercial Center
224 217-57-3720 Weingarten Realty 69,415.04 45,308.03 201,136.00 118,315 Gladden Farms Commercial Center - Grocery
225 217-57-3730 Weingarten Realty 15,904.18 10,380.85 46,084.00 27,108 Gladden Farms Commercial Center
226 217-57-3740 Weingarten Realty 30,604.45 19,975.90 104,328.00 52,164 Gladden Farms Commercial Center
227 217-57-3750 Weingarten Realty 21,497.74 14,031.82 73,284.00 36,642 Gladden Farms Commercial Center
228/229-1 217-57-3760 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-2 217-57-3770 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-3 217-57-3780 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-4 217-57-3790 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-5 217-57-3800 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-6 217-57-3810 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential170
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
228/229-7 217-57-3820 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-8 217-57-3830 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-9 217-57-3840 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-10 217-57-3850 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-11 217-57-3860 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-12 217-57-3870 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-13 217-57-3880 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-14 217-57-3890 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-15 217-57-3900 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-16 217-57-3910 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-17 217-57-3920 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-18 217-57-3930 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-19 217-57-3940 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-20 217-57-3950 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-21 217-57-3960 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-22 217-57-3970 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-23 217-57-3980 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-24 217-57-3990 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-25 217-57-4000 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-26 217-57-4010 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-27 217-57-4020 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-28 217-57-4030 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-29 217-57-4040 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-30 217-57-4050 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-31 217-57-4060 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-32 217-57-4070 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-33 217-57-4080 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-34 217-57-4090 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-35 217-57-4100 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-36 217-57-4110 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-37 217-57-4120 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-38 217-57-4130 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-39 217-57-4140 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-40 217-57-4150 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-41 217-57-4160 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-42 217-57-4170 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-43 217-57-4180 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-44 217-57-4190 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-45 217-57-4200 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-46 217-57-4210 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-47 217-57-4220 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-48 217-57-4230 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-49 217-57-4240 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-50 217-57-4250 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-51 217-57-4260 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-52 217-57-4270 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-53 217-57-4280 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-54 217-57-4290 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-55 217-57-4300 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-56 217-57-4310 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-57 217-57-4320 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-58 217-57-4330 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential171
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
228/229-59 217-57-4340 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-60 217-57-4350 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-61 217-57-4360 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-62 217-57-4370 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-63 217-57-4380 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-64 217-57-4390 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-65 217-57-4400 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-66 217-57-4410 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-67 217-57-4420 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-68 217-57-4430 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-69 217-57-4440 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-70 217-57-4450 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-71 217-57-4460 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-72 217-57-4470 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-73 217-57-4480 Gladden Phase 22-24, LLC 6,389.13 4,170.26 5,501.00 - Residential
228/229-74 217-57-4490 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-75 217-57-4500 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-76 217-57-4510 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-77 217-57-4520 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-78 217-57-4530 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-79 217-57-4540 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-80 217-57-4550 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-81 217-57-4560 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-82 217-57-4570 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-83 217-57-4580 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-84 217-57-4590 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-85 217-57-4600 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-86 217-57-4610 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-87 217-57-4620 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-88 217-57-4630 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-89 217-57-4640 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-90 217-57-4650 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-91 217-57-4660 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-92 217-57-4670 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-93 217-57-4680 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-94 217-57-4690 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-95 217-57-4700 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-96 217-57-4710 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-97 217-57-4720 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-98 217-57-4730 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-99 217-57-4740 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-100 217-57-4750 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-101 217-57-4760 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-102 217-57-4770 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-103 217-57-4780 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-104 217-57-4790 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-105 217-57-4800 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-106 217-57-4810 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-107 217-57-4820 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-108 217-57-4830 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-109 217-57-4840 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-110 217-57-4850 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential172
Schedule 10
District Assessment
Number
Tax
Assessor's
Parcel
Number Owner
Original
Assessment
Amount (1)
Remaining
Assessment
Amount (2)
2017
Full Cash
Value (3)
Non-Residential
Square
Footage (4)
Expected
Future Use
Town of Marana, Arizona
Tangerine Farms Road Improvement District
All Active Assessments As of 6/30/2017
228/229-111 217-57-4860 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-112 217-57-4870 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-113 217-57-4880 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-114 217-57-4890 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-115 217-57-4900 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-116 217-57-4910 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-117 217-57-4920 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
228/229-118 217-57-4930 Gladden Phase 22-24, LLC 6,389.12 4,170.26 5,501.00 - Residential
Residential Totals:320 Active Assessments $2,855,939.85 $1,864,106.36 $3,484,673.00 0
Non-Residential Totals:50 Active Assessments $21,467,726.45 $14,012,241.97 $8,136,905.00 33,863,456
Totals:370 Active Assessments $24,323,666.30 $15,876,348.33 $11,621,578.00 33,863,456 (4)
(1) Includes capitalized interest on the Bonds as sold.
(2) Amount remaining after billing for the 6/1/2016 assessment installment.
(3) The 2016 Full Cash Value is shown for all parcels except for parcels: 217-53-8060, 217-53-8070, 217-54-0150, 217-54-0200, and 217-54-0240.
As these parcels are currently undergoing valuation, the 2015 Full Cash Values were used instead for these five parcels.
(4) The Pima County Assessor does not provide the square footage for most residential properties.173
Schedule 11TOWN OF MARANA
RATIOS OF OUTSTANDING DEBT BY TYPE
LAST TEN FISCAL YEARS
(Amounts expressed in thousands, except per capita amount)
Fiscal
Year
Revenue
Bonds(1)
General
Obligation
Bonds(2)
Special
Assessment
Bonds(3)
Capital
Leases
Revenue
Bonds
Loans
Payable
Total
Primary
Government
Percentage
of Personal
Income (4)Per Capita
2017 57,840$ 7,955$ 14,245$ -$ 20,858$ 3,421$ 104,319 267.0%2,400
2016 66,715 7,835 15,927 - 1,214 3,634 95,325 251.3%2,307
2015 69,299 8,085 17,246 - 1,343 3,841 97,028 263.5%2,406
2014 71,659 8,325 18,488 - 1,343 4,042 100,641 281.5%2,628
2013 81,720 8,550 19,926 - - 4,265 111,076 293.9%3,022
2012 60,699 8,765 21,288 - - 4,480 94,848 261.0%2,645
2011 65,384 8,965 22,492 - - 4,586 101,013 289.1%2,931
2010 67,344 8,155 23,828 33 - 1,562.00 100,478 299.0%2,944
2009 67,975 8,335 24,823 75 - - 101,208 313.3%3,039
2008 29,225 8,385 - 115 - - 37,725 151.6%1,258
Notes:
(1) Presented net of original issuance discounts and premiums
(2) Bonds issued for Gladden Farms Facilities District , a component unit of the Town.
(3) Bonds issued for Tangerine Farms Road Improvement District FY 2008, a component unit of the Town.
(4) Individual statistics not available for Marana, included in figures for Pima County and Tucson
Metropolitan area.
Source: US Census Bureau, Bureau of Economic Analysis
Governmental Activities Business-Type Activities
174
Schedule 12
Fiscal Year
General
Obligation
Bonds
Less: Amounts
Available in
Debt Service
Fund Total
Percentage of
Estimated Actual
Taxable Value of
property
Per
Capita
2017 7,955$1,021$6,934$0.15% 17.2%
2016 7,835 1,025 6,810 0.16% 16.9%
2015 8,085 900 7,185 0.18% 17.8%
2014 8,325 881 7,444 0.19% 19.4%
2013 8,550 689 7,861 0.22% 21.4%
2012 8,765 886 7,879 0.21% 22.0%
2011 8,765 1,066 7,699 0.19% 23.1%
2010 8,965 963 8,002 0.24% 26.7%
2009 8,335 957 7,378 0.30% 27.6%
2008 8,385 968 7,417 0.38% 32.1%
Notes:
1) The Town of Marana does not impose a property tax; any property taxes presented in this report
are directly related to the Gladden Farms Community Facilities District, formed in fiscal year 2005.
Source: General Obligation Bonds
TOWN OF MARANA
RATIOS OF GENERAL BONDED DEBT OUTSTANDING
LAST TEN FISCAL YEARS
(Amounts expressed in thousands, except per capita amount)
175
Schedule 13
Governmental Unit
Debt
Outstanding
Estimated
Percentage
Applicable
*
Estimated Share of
Overlapping Debt
State of Arizona None N/A None
Pima County 336,954$ 6.30%21,228$
Pima County Community College District None N/A None
Pima County Flood Control District None N/A None
Northwest Fire District 23,641 46.80%11,064
Flowing Wells Unified School District No. 8 14,585 100.00%14,585
Marana Unified School District No. 6 134,064 63.07%84,554
Total overlapping debt 131,431
Gladden Farms Community Facilities District 7,955 100.00%7,955
Tangerine Farms Road Improvement District 14,245 100.00%14,245
Town of Marana 64,093 100.00%64,093
Total direct debt 86,293$
Total direct and overlapping debt 217,724$
Notes:
* The estimated percentage of debt applicable to the Town is calculated based on the Town's secondary
assessed valuation as a percentatge of the secondary assessed valuation of the overlapping jurisdiction.
Sources: The various entities
TOWN OF MARANA
DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT
AS OF JUNE 30, 2017
(Amounts expressed in thousands)
176
Schedule 14
Legal Debt Margin Calculation for Fiscal Year 2017
Full Cash Net Assessed 535,649,907$
Debt Limit:
6% of assessed value 32,138,994
20% of assessed value 107,129,981
Total debt limit:139,268,976
Debt applicable to limit:
General obligation bonds -
Less: Amount set aside for the repayment
of general obligation debt -
Total net debt applicable to limit -
Legal Debt Margin 139,268,976$
2008 2009 2010 2011 2012
Debt limit equal to 6% of assessed valuation 24,801,918$ 33,009,019$ 60,524,235$ 27,274,051$ 25,992,985$
Debt limit equal to 20% of assessed valuation 413,365,306 110,030,063 201,747,448 90,913,503 86,643,283
Total net debt applicable to limit - - - - -
Legal debt margin 438,167,225$ 143,039,082$ 262,271,683$ 118,187,553$ 112,636,268$
0%0%0%0%0%
2013 2014 2015 2016 2017
Debt limit equal to 6% of assessed valuation 24,745,839$ 28,630,929$ 29,446,070$ 31,218,157$ 32,138,994$
Debt limit equal to 20% of assessed valuation 82,486,130 95,436,430 98,153,568 104,060,525 107,129,981
Total net debt applicable to limit - - - - -
Legal debt margin 107,231,969$ 124,067,359$ 127,599,639$ 135,278,682$ 139,268,976$
0%0%0%0%0%
Notes:
* The Gladden Farms Community Facilities District, a legally separate entity, is a special taxing district whose debt was approved by voters
of the District. The District's general obligation debt does not count towards the Town's legal debt limit.
Sources:Financial Statements; Pima County
Total net debt applicable to the limit as a
percentage of debt limit
Total net debt applicable to the limit as a
percentage of debt limit
TOWN OF MARANA
LEGAL DEBT MARGIN INFORMATION
AS OF JUNE 30, 2017
Fiscal Year
Fiscal Year177
Schedule 15
Gladden Farms Community Facilities District General
Obligation Bonds *
Tangerine Road Farms Improvement District Special Assessment
Bonds **
Fiscal Year
Property Tax
Collections Coverage
Special
Assessment
Collections Debt Service Coverage
Principal Interest Principal Interest
2017 507$265$295$90.5%2,351$1,328$732$114.1%
2016 479 250 445 68.9%2,141 1,319 792 101.4%
2015 441 240 458 63.2%2,065 1,242 849 98.8%
2014 418 225 470 60.1%2,210 1,438 913 94.0%
2013 444 215 481 63.9%2,337 1,362 976 100.0%
2012 503 200 490 72.9%2,302 1,204 1,035 102.8%
2011 576 190 477 86.4%2,239 1,336 1,096 92.1%
2010 609 180 455 95.9%2,352 995 1,142 110.1%
2009 616 -233 264.4%2,136 951 593 138.3%
2008 423 50 448 84.9%--1,186 -
Notes:
* Bonds issued for Gladden Farms Facilities District FY 05, a component unit of the Town. Principal debt payoff did not begin until FY 2008.
Collection of property tax revenues to begin fiscal year 2008. Shortfalls are covered by a standby contribution agreement.
**Special assessment amounts issued for Tangerine Road Farms Improvement District, a governmental fund of the Town. Principal debt
payoff begins fiscal year 2009. Collection fees related to special assessment to begin fiscal year 2009.
Source: Finanacial statements
TOWN OF MARANA
PLEDGED-REVENUE COVERAGE
Debt Service
(Amounts expressed in thousands)
LAST TEN FISCAL YEARS
178
Schedule 16
Fiscal Year Population Personal Income*
Per Capita
Personal
Income Median Age
School
Enrollment
Unemployment
Rate
2017 43,474 N/A 32,646$48.1 12,050 4.3%
2016 41,315 N/A 37,107 29.7 12,350 4.7%
2015 40,324 N/A 34,026 39.6 12,326 5.9%
2014 38,290 N/A 33,196 39.4 12,476 6.9%
2013 36,756 N/A 29,626 37.7 12,361 6.1%
2012 35,858 N/A 31,085 37.6 12,576 9.7%
2011 35,124 N/A N/A 37.4 12,314 7.9%
2010 34,961 35,172,000 N/A 37.4 12,426 8.7%
2009 34,466 34,516,000 31,648 37.4 12,546 4.7%
2008 34,133 34,392,945 34,058 34.5 12,760 4.1%
Notes:
* Information published for census year only.
N/A indicates that the information is not available.
Sources: U.S. Census Bureau, Population Division; Arizona Department of Commerce; Pima Association of Governments;
Arizona's Economy; Marana Unified School District.
TOWN OF MARANA
DEMOGRAPHIC AND ECONOMIC STATISTICS
LAST TEN FISCAL YEARS
179
Schedule 17TOWN OF MARANA
PRINCIPAL EMPLOYERS
CURRENT YEAR AND NINE YEARS AGO
Employees
Percentage of
Total City
Employment Employees
Percentage of
Total City
Employment
Employer
Marana Unified School District 1,404 9.2% 1,776 24.2%
Marana Health Center 356 2.3% -N/A
Town of Marana 347 2.3% 367 5.0%
Wal-Mart Cortaro Rd 343 2.2% 450 6.1%
The Ritz Carlton, Dove Mountain 320 2.1% -N/A
Sargent Aerospace & Defense 313 2.0% 244 N/A
Tucson Hauling & Transfer 300 2.0% -N/A
Costco 250 1.6% 275 N/A
FLSmidth Krebs 239 1.6% -N/A
Northwest Fire District 230 1.5% -N/A
Coca-Cola Enterprises 185 1.2% 185 N/A
Home Depot 180 1.2% 125 N/A
Target 175 1.1% 225 3.1%
Fry's Food & Drug Thornydale Rd 165 1.1% -N/A
Cal Portland 160 1.0% -N/A
Fry's Food & Drug Ina Rd 150 1.0% -N/A
Wal-Mart Ina Rd 141 0.9% -N/A
Comcast Corporation 138 0.9% 189 N/A
Trico Electric Co-operative 131 0.9% 135 N/A
Cracker Barrel 130 0.8% -N/A
Kohls 123 0.8% -N/A
KOLD LLC 110 0.7% -N/A
Legacy Traditional School 110 0.7% -N/A
Lasertel Inc 109 0.7% -N/A
Source: PAG TRP
2017 2008
180
Schedule 18
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
Function
General Government 64.0 90.4 62.8 72.5 62.5 62.5 62.5 67.5 70.9 72.9
Public Safety
Police
Officers 84.0 81.0 78.0 80.0 79.0 80.0 80.0 81.0 83.0 85.0
Civilians 29.5 30.0 28.0 28.8 28.5 26.0 26.0 28.0 28.0 28.0
Building Safety 19.0 - 5.0 6.0 6.0 9.0 9.0 13.0 13.0 12.0
Highways and streets - 24.0 31.0 32.0 32.0 36.0 36.0 35.0 35.0 34.0
Engineering 40.8 - - - - - - - - -
Maintenance 35.0 - - - - - - - - -
Culture and recreation 49.8 50.0 43.8 41.5 41.7 33.3 33.3 36.5 38.5 41.8
Community Development - 3.0 3.0 4.0 3.0 - - - - -
Economic & Community Development 18.0 45.1 54.6 52.4 53.4 48.5 48.5 40.4 39.4 43.0
Water Utilities 19.0 17.4 15.4 18.1 20.1 19.1 19.1 22.0 23.0 23.0
Wastewater Utilities N/A N/A N/A N/A -4.0 4.0 4.0 4.0 4.0
Municipal Airport 3.0 2.0 - - - 1.0 1.0 1.0 3.0 3.0
Total 362.0 342.9 321.6 335.3 326.1 319.3 319.3 328.3 337.8 346.7
Source: Town of Marana; Annual Budget; Authorized position schedule.
TOWN OF MARANA
FULL-TIME EQUIVALENT TOWN GOVERNMENT EMPLOYEES BY FUNCTION
LAST TEN FISCAL YEARS
181
Schedule 19
Industry Group FY 2008 % FY 2009 % FY 2010 % FY 2011 % FY 2012 %
Construction 9,885,086$36.18% 6,450,530$28.79% 4,448,469$20.54% 4,870,797$21.23% 5,782,644$23.57%
Manufacturing 183,545 0.67% 154,594 0.69% 138,817 0.64% 123,524 0.54% 128,089 0.52%
Transportation, Communications,
& Utilities 2,459,656 9.00% 2,522,671 11.26% 2,768,198 12.78% 2,927,271 12.76% 2,985,979 12.17%
Wholesale Trade 528,937 1.94% 339,051 1.51% 184,203 0.85% 194,392 0.85% 233,850 0.95%
Retail Trade 9,380,087 34.33% 8,554,332 38.18% 8,673,055 40.04% 8,667,896 37.77% 8,804,206 35.88%
Restaurant & Bars 1,407,901 5.15% 1,384,914 6.18% 1,555,032 7.18% 1,658,180 7.23% 1,789,232 7.29%
Fire, Insurance & Real Estate 1,616,223 5.92% 903,810 4.03% 1,050,046 4.85% 1,253,481 5.46% 1,350,977 5.51%
Hotels & Other Lodging 626,656 2.29% 508,199 2.27% 1,378,271 6.36% 1,914,004 8.34% 1,991,767 8.12%
Services 1,056,309 3.87% 1,002,992 4.48% 1,057,433 4.88% 982,631 4.28% 1,026,443 4.18%
All Others 175,070 0.64% 583,330 2.60% 408,581 1.89% 355,642 1.55% 445,774 1.81%0.00%
27,319,468$100.00% 22,404,422$100.00% 21,662,105$100.00% 22,947,818$100.00% 24,538,961$100.00%
Industry Group FY 2013 % FY 2014 % 2015 % 2016* % 2017 %
Construction 5,260,345$21.33% 6,411,509$24.45% 6,838,195$24.37% 6,883,116$19.42% 7,557,292$20.15%
Manufacturing 127,214 0.52% 97,014 0.37% 100,329 0.36%- 0.00%- 0.00%
Transportation, Communications,
& Utilities 3,038,071 12.32% 3,182,854 12.14% 3,318,976 11.83% 3,919,633 11.06% 3,809,315 10.16%
Wholesale Trade 296,077 1.20% 213,657 0.81% 305,012 1.09%- 0.00%- 0.00%
Retail Trade 9,380,544 38.03% 9,593,163 36.58% 10,133,523 36.12% 16,305,878 46.01% 17,120,561 45.65%
Restaurant & Bars 1,819,588 7.38% 1,865,602 7.11% 2,038,788 7.27% 3,076,737 8.68% 3,295,734 8.79%
Fire, Insurance & Real Estate 1,234,426 5.00% 1,256,418 4.79% 1,240,196 4.42% 1,339,496 3.78% 1,540,358 4.11%
Hotels & Other Lodging 2,140,493 8.68% 2,064,986 7.87% 2,481,304 8.84% 2,292,705 6.47% 2,558,312 6.82%
Services 1,003,377 4.07% 1,031,325 3.93% 1,046,669 3.73%- 0.00%- 0.00%
All Others 363,807 1.47% 509,351 1.94% 555,522 1.98% 1,624,023 4.58% 1,618,648 4.32%
24,663,942$100.00% 26,225,881$100.00% 28,058,514$100.00% 35,441,588$100.00% 37,500,220$100.00%
Note:
*In fiscal year 2016, the Arizona Department of Revenue began using a new form and payment journal, which affected the classification of certain tax revenues
within the industry groups
Source: Town of Marana Finance Department, Arizona Department of Revenue
TOWN OF MARANA
SALES TAX BY INDUSTRY
LAST TEN FISCAL YEARS
182
Schedule 20
Industry Classification 2007/08 2008/09 2009/10 2010/11 2011/12
Town Sales Tax 27,172,921$22,404,422$21,662,077$22,947,818$24,538,961$
State-shared Sales Taxes 2,458,329 2,126,326 1,961,225 2,099,083 2,731,863
State-shared Income Taxes 3,761,010 3,971,447 3,450,478 2,601,218 2,950,734
Licenses and permits 2,307,878 1,932,797 2,150,360 2,502,494 2,720,872
Fines and forfeitures and penalties 716,983 692,514 641,484 537,680 558,393
TOTAL 36,417,121$31,127,506$29,865,624$30,688,293$33,500,823$
Budgeted
Industry Classification 2012/13 2013/14 2014/2015 2015/2016 2016/2017 2017/2018
Town Sales Tax 24,768,104$26,225,881$28,058,823$35,441,585$37,500,219$39,628,395$
State-shared Sales Taxes 2,861,622 3,043,102 3,195,042 3,344,679 3,798,503 4,077,246
State-shared Income Taxes 3,571,191 3,896,487 4,232,245 4,209,300 5,054,592 5,384,087
Licenses and permits 4,323,155 3,932,108 4,813,378 4,468,910 4,848,237 4,490,185
Fines and forfeitures and penalties 661,341 635,869 664,955 579,369 574,884 625,000
TOTAL 36,185,413$37,733,447$40,964,443$48,043,843$51,776,435$54,204,913$
Source: Statement of Revenues
TOWN OF MARANA
EXCISE TAX COLLECTIONS
LAST TEN FISCAL YEARS
183
Schedule 21TOWN OF MARANA
PRINCIPAL RETAIL AND CONTRACTING SALES TAXPAYERS
CURRENT YEAR AND NINE YEARS AGO
Sales Tax
Payments Rank
Percentage of
Total Sales
Tax Payments
Sales Tax
Payments Rank
Percentage of
Total Sales
Tax Payments
RETAIL
Taxpayer A 2,254,976$1 6.0%1,661,241$1 6.1%
Taxpayer B 1,436,916 2 3.8%1,156,655 2 4.2%
Taxpayer C 981,515 3 2.6%726,352 3 2.7%
Taxpayer D 792,892 4 2.1%376,993 8 1.4%
Taxpayer E 674,296 5 1.8%428,815 7 1.6%
Taxpayer F 595,259 6 1.6%550,143 5 2.0%
Taxpayer G 555,277 7 1.5%626,850 4 2.3%
Taxpayer H 358,211 8 1.0%258,204 10 0.9%
Taxpayer I 282,777 9 0.8%311,109 9 1.1%
Taxpayer J 237,465 10 0.6%0.0%
Taxpayer K 431,408 6 1.6%
8,169,584$21.8%6,527,769$23.9%
CONTRACTING
Taxpayer A 1,559,815$1 4.2%274,461$9 1.0%
Taxpayer B 809,224 2 2.2%339,564 6 1.2%
Taxpayer C 773,023 3 2.1%0.0%
Taxpayer D 714,115 4 1.9%0.0%
Taxpayer E 372,300 5 1.0%0.0%
Taxpayer F 290,500 6 0.8%0.0%
Taxpayer G 272,521 7 0.7%0.0%
Taxpayer H 232,397 8 0.6%0.0%
Taxpayer I 186,095 9 0.5%0.0%
Taxpayer J 174,170 10 0.5%734,093 3 2.7%
Taxpayer K 798,749 1 2.9%
Taxpayer L 759,376 2 2.8%
Taxpayer M 498,395 4 1.8%
Taxpayer N 392,242 5 1.4%
Taxpayer O 329,339 7 1.2%
Taxpayer P 280,875 8 1.0%
Taxpayer Q 271,586 10 1.0%
5,384,160$14.4%4,678,679$17.1%
Source: Town of Marana Finance Department, Arizona Department of Revenue
Fiscal Year 2017 Fiscal Year 2008
184
Schedule 22
Month 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
January 11 3 38 17 22 60 39 42 39 54
February 27 9 25 28 31 52 61 51 58 73
March 12 2 46 38 46 125 42 57 59 76
April 50 11 48 14 41 64 47 55 54 52
May 18 13 20 35 53 46 55 87 37 85
June 28 20 23 22 49 61 59 67 50 63
July 21 31 44 32 70 74 41 59 36 73
August 76 46 28 31 46 60 50 35 47 75
September 27 27 18 22 29 44 29 52 37 40
October 7 14 22 30 56 46 71 62 57
November 5 12 12 22 35 27 88 22 51
December 5 12 19 46 48 43 30 33 58
Calendar Total 287 200 343 337 526 702 612 622 583 591
Fiscal Total 681 199 342 297 425 692 597 668 560 689
Source: Town of Marana Finance Department, Town of Marana Building Services
TOWN OF MARANA
SINGLE FAMILY RESIDENTIAL PERMITS
LAST TEN FISCAL YEARS
185
Schedule 23
Fiscal Year
2010 2011 2012 2013 2014 2015 2016 2017
Public Safety
Police:
Stations 1 1 1 1 1 1 1 1
Substations 2 1 1 1 1 1 1 1
Police Vehicles 113 113 113 99 118 129 128 129
Highways and Streets
Street (miles)300 300 300 494 494 511 518 520
Culture and Recreation
Parks 7 7 7 8 8 8 9 9
Parks Acreage 84 84 84 139 139 139 157 157
Trails in Miles - Hiking 11 28 28 37 37 37 38 39
Trails in Miles - Paved 16 16 16 16 16 18 19 21
Swimming Pools 1 1 1 1 1 1 1 1
Tennis Courts 5 5 5 6 6 6 6 6
Senior/Community Center 1 1 1 1 1 1 1 1
Water Systems
Miles of Water Mains 70 70 70 128 132 135 138 146
Number of Meters 4,755 5,556 5,734 6,002 6,272 6,429 6,745 7,205
Wastewater*
Number of Manholes N/A N/A 841 863 863 891 909 978
Sewer Mains (miles)N/A N/A 46.4 47.5 47.5 48.33 49.2 53.6
Avg Daily Sewage Treated (MGD)N/A N/A 0.192 0.198 0.287 0.348 0.360 0.425
Notes:
*Due to the wastewater plant transfer from Pima County on January 3, 2012 infromation is
reflected from that point forward. Prior years are not available however will be accumulated
and reported each year until the ten years of data is presented.
years of data for certain statistical schedules. This information will be accumulated and reported each
year until the complete ten years of data is presented.
Source: This information is provided from the Town's facility records.
**Due to cost considerations for the accumulation of data, the Town has elected to present less than ten
TOWN OF MARANA
CAPITAL ASSET STATISTICS BY FUNCTION
AS OF JUNE 30, 2017
Function
186