REGULAR MEETING APALACHICOLA CITY COMMISSION TUESDAY, NOVEMBER 5,2 2024-6 6:00PM FORMER APALACHICOLA MUNICIPAL LIBRARY 746THSTREET, APALACHICOLA, FLORIDA 32320  AGENDA  You are welcome to comment on any matter under consideration by the. Apalachicola City Commission when recognized to do sO by the Mayor. Once recognized please rise to the podium, state your name for the record and adhere to the five-minute time limit forj public comment. Comments may also be sent by email to the City  Manager ort to Commissioners.  I. Call to Order  Invocation Pledge of Allegiance  II. Agenda Adoption II. Public Comment IV. New Business 1. Audit Approval  2. ARPC Southern Rail Commission Letter of Support and Resolution  3. Small Business Saturday Proclamation  V. Unfinished Business 1. ARPA  2. - FWC No Wake Ordinance VI. Mayor and Commissioner Comments  VII. City Manager Communications - Report Attached VIII. Finance Director Communications - Report Attached  IX. Attorney Communications X. Consent Agenda  Commission Meeting Minutes Adoption: 9.10.24 PH & SM Minutes; 10.8.24 WS Meeting Minutes L    P&Z9.9.24! Meeting Minutes  XII. Department Reports-I Included in Agenda Packet  Adjournment  Any person who desires to appeal any decision at this meeting will need a record of the proceeding and for this purpose, may need to ensure that a verbatim record oft the proceeding is made which includes testimony and evidence upon which the appeal is based. Persons with disabilities needing assistance to participate in any of these proceedings should contact the City Clerk's Office 48 hours in advance oft the meeting.    APALACHICOLA CITY COMMISSION REQUEST FOR BOARD ACTION Meeting Date: November 5, 2024  SUBJECT:  2023-2024 Audit Report  AGENDA INFORMATION: Agenda Location: New Business Item Number: Department: Contact: Presenter:  1 Finance Lee Mathes Chris Moran  BRIEF SUMMARY:  RECOMMENDED MOTION AND REQUESTED ACTIONS: Motion to Approve the 23-24 Audit  Report  FUNDING SOURCE: N/A ATTACHMENTS:  STAFF'S COMMENTS AND RECOMMENDATIONS:    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA AUDITED FINANCIALSTATEMENTS INDEPENDENT AUDITOR'S REPORT FOR' THE YEAR ENDED SEPTEMBER 30, 2023  AND    DRAFT 10.23.2024  CITY OF. APALACHICOLA, FLORIDA AUDITED FINANCIALSTATEMENTS FOR' THE YEAR ENDED SEPTEMBER 30, 2023 TABLE OF CONTENTS  Independent Auditor's Report.. Management's Discussion and Analysis BASICFINANCIALSTATEMENTS Government-wide Financial Statements: Statement ofNet Position Statement of Activities. Fund Financial Statements: Balance Sheet-Govemmental Fund  12 13 14 15 16 17 18 9 40 41 42 43  Reconciliation oft the Balance Sheet to the Statement ofl Net Postion-Govemmental Fund. Statement of Revenues, Expenditures, and Changes in Fund Balance-Govemmental Fund Reconciliation oft the Statement of Revenues, Expenditures, and Changes in Fund Balance- Statement of Revenues, Expenditures, and Changes in Fund Balance-Proprictary Fund.  Governmental Fund..  Statement of Net Position-Proprietary Fund. Statement of Cash Flows-Proprietary Fund. Notes to Financial Statements. REQUIREDSUPPLEMENTARY INFORMATION Budgetary Comparison Schedule-General Fund.. Notes tol Budgetary Comparison Schedules. Florida Retirement System and Health Insurance Subsidy Schedule of the City's Proportionate Share of thel Net Pension Liability. Schedule of City's Contributions.  Officials.    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA AUDITED FINANCIALSTATEMENTS FOR THE YEAR ENDED SEPTEMBER 30, 2023 TABLE OF CONTENTS  COMPLIANCE SECTION Schedule of] Expenditures of] Federal Awards Notes to Schedule of Expenditures of Federal Awards Schedule of Findings and Questioned Costs.  46 4  Independent Auditor's Report on Compliance for Each Major Federal Program and on Internal Independent Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with Independent Auditor's Report on Compliance with the Requirements of Section 218.415  Control over Compliance Required by Uniform Guidance.  Government Auditing Standards  52 54 55 57 60 61  Florida Statutes  Independent Auditor's Management Letter. Schedule of Prior Year Findings. Florida Statutes  Independent Auditor's Report on Compliance with the Requirements of Section 288.8018 Independent Auditor's Report on the Schedule of Receipts and Expenditures of Funds Related Schedule of Receipts and Expenditures of Funds Related to the Deepwater Horizon Oil Spill.. .62  To the Deepwater Horizon Oil Spill.    DRAFT 10.23.2024  MORAN&SMITH ILLP Certified Public. Accountants MORANSMITHCFA.COM  2260 WEDNESDAYSTRETSTEA 400 TALLAHASSEE, FLORIDA3 32308 850.879.0636  INDEPENDENT AUDITOR'S REPORT  To the City Members of Apalachicola City of Apalachicola, Florida: Qualified and Unmodified Opinion  We have audited the accompanying financial statements of the governmental activities and business- type activities of the City of Apalachicola, Florida (the "City"), as of and for the fiscal year ended September 30, 2023, and the related notes to the financial statements, which collectively comprise the Qualified Opinion on the Governmental Activities, Business-type Activities, and Utility Fund In our opinion, except for the effects of the matter described in the Basis for Qualified and Unmodified Opinions section of our report, the financial statements referred to above present fairly, in all material respects, the financial position oft the governmental activities, business-type activities, and utility fund of the City as of September 30, 2023, and the respective changes in financial position and, where applicable, cash flows thereof for the year then ended in accordance with accounting principles generally accepted in the Inc our opinion, thei financial statements referred to above present fairly, in all material respects, thei financial position of the general fund of the City as of September 30, 2023, and the respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United We conducted our audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial statement audits contained in Govermment Audiling Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described int the Auditor'sl Responsibilities for the. Audit oft thel Financial Statements section ofour report. We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit, We believe that the audit evidence we have obtainedi iss sufficient and appropriate toj provide al basis for our qualified and unmodified: audit opinions. Matter Giving Rise to the Qualified Opinion on the Governmental Activities, Business-type Activities, As discussed in Note 9 to the financial statements, the City has not implemented the provisions of GASB Statement No. 75, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions. Accounting principles generally accepted ini the United States of America require recording of an obligation forp postemployment benefits other than pensions, which would increase liabilities, decrease net position, and change the expenses in governmental activities, business-type activities andt thet utility fund. The effects of this departure from accounting principles generally accepted in the United States of America on the governmental activities, business-type activities and the utility fund, has not been determined.  City's basic financial statements as listed in thet table of contents.  United States of America.  Unmodified Opinion of the General Fund  States of America.  Basis for Qualified and Ummodified Opinions  and Utility Fund    DRAFT 10.23.2024  Responsibilities of Management for the Financial Statements  Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of fmnancial statements that are free from material misstatement, whether due to fraud or Inp preparing the financial statements, management isi required to evaluate whether there are conditions or events, considered: in the aggregate, that raise substantial doubt about the City's ability to continue as a going concern for twelve months beyond the financial statement date, including any known Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are: free from material misstatement, whether due toi fraud or error, and toi issue an auditor's report that includes our opinion. Reasonable assurance is al high level of assurance but is not absolute assurance and thereforei is not: a guarantee that an: audit conducted in accordance with generally accepted auditing standards and Govermment Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraudmayinvolve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a In performing an audit in accordance with generally accepted auditing standards and Govermment  error.  information that may raise substantial doubt shortly thereafter. Auditor's Responsibilities for the Audit of the Financial Statements  reasonable user based on the financial statements.  Auditing Standards, we:  Exercise professional judgement and maintain professional skepticism throughout the audit. Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures Obtain an understanding of internal control relevant to the audit 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 City's internal control. Accordingly, no such opinion is Evaluate the appropriateness of accounting policies used and the reasonableness ofs significant accounting estimates made by management, as well as evaluate the overall presentation of the Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the City's ability to continue as a going concern for a We are required to communicate with those charged with governance regarding, among other matters, thej planned scope and timing oft the audit, significant audit findings, and certain internal control-related  int the financial statements.  expressed. financial statements. reasonable period oft time.  matters that we identified during the audit.  2    DRAFT 10.23.2024  Required Supplementary Information  Accounting principles generally acceptedi in the United States of America require that the management's discussion and analysis and required supplementary information, as listed in the table of contents, be presented to supplement the basic financial statements. Such information, although not a part oft the basic financial statements, isi required by the Governmental Accounting Standards Board (GASB), who considers it to be an essential part of financial reporting for plaçing thel basic financial statements in an appropriate operational, economic, or historical context. Wel have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted int 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 inquires, the basic financial statements, and other knowledge we obtained during our audit oft the basic financial statements. Wec do not express an opinion or provide any assurance on thei information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any Management has omitted the schedule of changes in the City's total OPEB liability and related ratios that accounting principles generally accepted in the United States of America require to bej presented to supplement the basic financial statements. Such missing information, although not aj 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. Our opinion ont thel basic financial statements is not affected Our audit was conducted for the purpose of forming an opinion of the financial statements that collectively comprise the City's basic financial statements. The accompanying schedule of expenditures off federal awards as required by Title 2 U.S. Code of Federal Regulations (CFR) Part 200, Uniform Administrative. Requirements, Cost Principals, and Audit Requirements) for Federal Awards, is presented for the purpose of additional analysis and not a required part of the basic financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used toj prepare the basic financial statements." The 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 schedule of expenditures of federal awards is fairly stated, in all material respects, in relation to the basic financial statements as a  assurance.  by this missing information. Supplementary Information  whole.  3    DRAFT 10.23.2024  Other Reporting Required by Government Auditing Standards  In accordance with Govermment Auditing Standards, we have also issued our report dated November 4,2024, on our consideration oft the City's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts, and grant agreements and other matters. Thej purpose oft that report is solelyt to describe the scope of our testing ofi internal control over financial reporting and compliance and the results ofthat testing, and not toj provide an opinion on the effectiveness oft the City's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Govermment. Auditing Standards in considering  the City's internal control over financial reporting andcompliance.  Moran & Smith) LLP Tallahassee, Florida November 4, 2024  4    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS FORTHE YEARI ENDED SEPTEMBER: 30,2 2023  Management's discussion and analysis provides an easily readable analysis of the City of Apalachicola, Florida's ("City") financial activities. The analysis provides summary financial information for the City  and should be read in conjunction with the City's financial statements.  Financial Highlights  Total assets and deferred outflows of resources of the City exceeded totall liabilities and deferred inflows of resources by $41,092,103 (net position). Oft this amount $358,195 is unrestricted net position for governmental activities, $1,122,480 is unrestricted net position for business-type activities, $416,877 is restricted net position for governmental activities, $482,776 is restricted net position for business-type activities and $167,685 is assigned net position for governmental Total net position increased by $232,533. Ofthis amount, a decrease of$166,161 isattributable tog governmental activities and an increase of $398,694 is attributable tol business-ypeactivties: As of September 30, 2022, the general fund's unassigned fund balance is $1,405,706. Governmental activities' revenues increased to $4,911,565, while governmental activities; expenses increased to $5,077,726. Business-type activities' revenues decreased to $2,892,719,  activities.  while busines-ypeactivties. expenses increased to $2,494,025.  OVERVIEW OFTHE FINANCIALSTATEMENTS  This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The basic financial statements comprise three components: 1) govermment-wide financial statements, 2). find financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. The govermment-wide fnancial statements include the statement of net position and statement of activities, providing both long-term and short-term information about the City's overall financial condition. The statement ofr net position presents increases or decreases in net position from year to year and serves as a useful indicator of the City's improving or declining financial position. Information on how the City's net position changed during this reporting period is presented in the statement of  Govermment-vide Financial Statements  activities.  Thes govermment-wide. financial statements can be found on pages 10-11 oft this report.  Fund Financial Statements  Thej fund fnancial statements provide financial information fort the City'sn major funds and more detailed information about the City's activities. Individual funds have been established by the City for the purpose of grouping related accounts to maintain control over resources that have been segregated for specific purposes or objectives to account for revenues that are restricted to certain uses, or to comply with legal requirements. The two major categories of funds found in the ysmadalet  include: governmental funds and proprietary funds.  5    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS FORTHE YEAR: ENDED SEPTEMBER 30, 2023  Notes to the Basic Financial Statements  The notes to basic financial statements provide additional detail concerning the financial activities and financial balances of the City. Additional information is also included that is essential to a full As noted earlier, net position may serve over time as a useful indicator of a government's financial position. In the case of the City, assets and deferred outflows exceeded liabilities and deferred inflows AI large portion of the City's net position reflects its investment in capital assets (e.g., land, buildings, machinery, and equipment), less any related debt used to acquire those assets that is still outstanding. The City uses these capital assets to provide services to citizens; consequently, these assets are not available for future spending. Although the City's investment in its capital assets is reported net of related debt, its 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.  understanding of the data provided in the financial statements. GOVERNMENT-WIDE FINANCIAL ANALYSIS by $41,092,103 at the close oft the most recent fiscal year.  STATEMENT OFN NET POSITION Business 2023 2022 20,373,860 21,181,176 23,205,783 23,335,320 262,887 676,603 3,589,182 868,106 5,133,891 (48,541) 16,430,662 862,752 1,089,905 18,383,319 $ 17,616,861  Govemmental 2023 2022 22,346,660 22,834,942 25,341,430 26,593,536 675,996 1,894,626 585,146 2,232,273 4,712,045 (124,819) 21,772,842 22,105,709 411,211 264,734 (492,981) 21,955,806 $ 23,242,709  Total 2023 2022 5,826,693 S 5,912,738 42,720,520 44,016,118 48,547,213 49,928,856 938,883 2,571,229 4,174,328 3,100,379 9,845,936 (173,360). 38,203,504 1,273,963 264,734 596,924 40,339,125 $ 40,859,570  Curent ando other assets Capitala assets Totala assets Defered outflows Curentl liabilities Long- term! liabilities Netp pensionl liabilitics Totalli liabilities Deferredi inflows Net position Neti investmenti in capitalassets Restricted Assigned Unrestricted Totalnety position  2,994,770 $ 3,758,594 S 2,831,923 $ 2,154,144  429,834 1,415,258 682,722 612,221 2,710,201 4,070,461 988,202 148,798  167,157 570,787 4,660,453 238,086 5,469,326 416,290 16,229,868 342,603 1,044,390  596,991 1,986,045 5,343,175 850,307 8,179,527 4,486,751 38,335,577 1,330,805 1,193,188  An additional portion of the City's net position, $899,653, represents resources that are subject to external restrictions on how they may be used and $167,685, represents resources that are assigned by the Board. The remaining balance of unrestricted net position may be used to meet the government's Governmental activities decreased the City's net position by $166,161 in the most recent fiscal year. Key elements of this change include an increase deferred inflows related to pension and deferred grant  ongoing obligations to citizens and creditors. Governmental Activities  revenue.  6    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA MANAGEMENTS DISCUSSION, AND ANALYSIS FOR THE YEAR ENDED SEPTEMBER: 30, 2023  Business-type. Activities  Business-type activities increased the City's net position by $398,694 int the most recent fiscal year. Key  elements of this change include a decrease in deferred inflows related to pension.  STATEMENT OF ACTIVITIES Business 2023 2022 7,350 262,191 10,284 3,211,784  Govemmental 2023 $ 645,533 $ 858,074 361,437 2,573,684 564,878 5,003,606 2,082,185 675,284 977,378 1,572,603 791,578 23,059 6,122,087 (1,118,481) 23,076,544  Total 2023 202 865,424 623,628 2,573,684 575,162 8,215,390 2,082,185 675,284 977,378 1,572,603 791,578 23,059 2,844,023 8,966,110 (750,720) 41,092,102 40,341,382 $ 40,  2022 779,181 555,261 2,333,075 558,041 11,227 4,876,454 1,397,758 44,254 619,248 793,202 (60,574) 800,431 30,562 3,624,881 1,251,573 21,991,136  Programrevenues: Charges forservices Operating grants and contributions Capital grants and contributions Generali revenue: Taxes, licenses, and permits Intergovemmental. and other Transfers Totalrevenues Expenses: General govemment Transportation Public Safety Physical environment Economic environment Culture and recreation Interest onl long-termd debt Business-type: activitics Total expenses Increase (decrease)i in net! position Net position, beginning ofyear Net position, end ofyear  639,669 $ 2,931,959 $ 3,219,320 $ 3,577,492 $ 3,  2,  38,233 (11,227) 3,246,326  1,  2,844,023 2,844,023 367,761 18,015,558  2,002,388 2,002,388 1,243,938 16,372,923  2 5, 2, 38,  21,958,063 $ 23,242,709 $ 18,383,319 S 17,616,861  FINANCIALAMALYSIS OF THE GOVERNMENTS FUNDS  As noted earlier, the City, uses fund accounting to ensure and demonstrate compliance with finance- The focus oft the City'sg governmental fund ist toj provide information on near-term inflows, outflows, and balances of spendable resources. Such information is useful in assessing the City's financing requirements. Inj particular, unassigned fund balance may serve as a useful measure ofa government's As of the end of the current fiscal year, the City's governmental fund reported an ending fund balance of$1,990,268, a decrease of$450,168 in comparison with thej prior year. $1,405,706ofthist total amount constitutes unassigned fund balance, whichi is available for spending at the govemmentsdiseretion. The  related legal requirements. Governmental Funds  net resources available for spending at the end of the fiscal year.  general fund is the chiefoperating fund oft the City.  7    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA MANAGEMENT'S. DISCUSSION, AND ANALYSIS FOR THE YEAR: ENDED SEPTEMBER 30, 2023  Proprietary Funds  The City's proprietary fund provides the same type of information found in the government-wide Unrestricted net position of the utility fund at the end of the year amounted to $1,122,480. The total increase in net position for the fund was $398,694. Other factors concerning the finances of the fund have already been addressed in the discussion of the City's busines-ypeactivities: The City's expenditures exceeded the amount budgeted for the year. CAPITAL ASSETS AND DEBT ADMINISTRATION  financial statements, but in more detail.  GENERAL BUDGETARY HIGHLIGHTS  Capital Assets  The City's investment in capital assets, net of related debt, for its governmental and business-type activities as of September 30, 2022, amounts to $38,544,090 (net of accumulated depreciation). This investment in capital assets includes land, buildings and systems, improvements, machinery and Additional information on the City's capital assets can be found in Note 4 oft this report. At the end of the current fiscal year, the City had long-term debt outstanding of $5,241,786.  equipment, and roads. Long-term Debt  GENERALLONGTERM DEBT Governmental Business-type  Activities $ 346,500 227,318 73,900 $ 647,718  Activities 2,085,078 1,671,169 186,951 18,340 $ 3,961,538  Total $ 2,431,578 1,671,169 414,269 92,240 $ 4,609,256  Bonds Notes Payable Leases Accrued Leave  Additional information on the City's long-term debt can be found in Note 5 and Note 6 of this report. All of the following factors were considered in preparing the City's budget for the 2021 fiscal year:  ECONOMIC FACTORS ANDI NEXTY YEAR'S BUDGETS AND RATES  Budgeted receipt of95% of ad-valorem assessments,  Anticipated intergovermental revenue were based upon revenue accounting estimates calculated by thel Florida Department of] Revenue'sOficeofTax Research; however, as al result ofuncertainty in the effects of the COVID-19 Pandemic, forecasted revenues from other state sources including local option taxes and revenue sharing were reduced by 20 to 50% from Estimated revenue for water, wastewater, and solid waste services based upon the roster of actual customers, actual water usage and the study performed by the Rural Water Association which recommended a rate increase of 2.0% for the next three years. However, the City  previous year revenue.  8    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA MANAGEMENT'S DISCUSSION AND ANALYSIS FOR' THE YEARI ENDED SEPTEMBER: 30, 2023  Commission adopted Ordinance 2018-01 on April 3, 2018 which requires an automatic 3.0% increase in all water and wastewater rates. Budget reflects increase of3.0%. Payment of principal and interest on all Bond Series obligating water and sewer revenue; and reserve balances required by the Bond Issuance Covenants Vehicle and equipment needs oft the City Wastewater and water testing requirements Anticipated FRSI Employer Contribution Rates  Other anticipated operating expenses including repair and maintenance oft the City's lift station  and water/sewer plants REQUEST FOR INFORMATION  This financial report is designed to provide a general overview of the City of Apalachicola, Florida's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed tot the City Manager, City of Apalachicola, 192 Coach Wagnor Blvd. Apalac.hicol,FL3232.  9    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA STATEMENT OF NET POSITION SEPTEMBER: 30,2 2023  Primary Government Activities  Governmental Business-Type Activities  Total 773,956 272,387 588,113 121,843 1,268,772  Assets Casha and Cash Equivalents Investments Accounts Receivables, Net Interfund Receivables (Payables) Duel From Other Govemments Prepaid Restricted Assets: Cash and Cash) Equivalents Capital Assets, Not Being Depreciated Capital Assets, Being Depreciated Deferred Outflows Related tol Pensions  1,443,992 $ 1,885,493 $ 3,329,485  771,640 385,566 393,572 121,843 406,020 10,504,180 11,842,480 25,869,293 675,996  2,316 272,387 (385,566) 194,541 862,752 625,248 11,129,428 19,748,612 31,591,092 23,205,783 49,075,076 262,887  Total Assets  938,883  Liabilities Current Liabilities Accounts Payable and Other Current) Liabilities Uneared Revenue Bonds, Lease, and Notes Payables Noncurrent, Liabilities: Bonds, Lease, and Notes Payables Accrmued Compensated. Absences Utility Deposits Net Pension Liability Total Liabilities  287,456 1,544,598 62,572 511,246 73,900 2,232,273 4,712,045 (124,819) 21,772,842 411,211 264,734 (492,981)  131,081 545,522 3,397,676 18,340 173,166 868,106 5,133,891 (48,541)  418,537 1,544,598 608,094 3,908,922 92,240 173,166 3,100,379 9,845,936 (173,360)  Deferred Inflows Related tol Pensions Net Position Net Investment in CapitalAssets Restricted Assigned Unrestricted Total Net] Position  16,430,662 38,203,504 862,752 1,089,905  1,273,963 264,734 596,924  21,955,806 $ 18,383,319 $ 40,339,125  See accompanying notes tol basic financial statements.  10    2 8 - 5    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA BALANCE: SHEET-GOVERNMENTAL FUND SEPTEMBER30,2023  Total Governmental Fund 1,443,992 771,640 385,566 393,572 121,843 406,020 3,522,633  Assets Cash and Cash Equivalent Investments Accounts Receivable, Net Interfund Receivables (Payables) Due FromOther Govemments Prepaid Restricted: Cash and Cash Equivalent Total Assets Liabilities andl Fund! Balance Liabilities Accounts Payable and Accrued Expenses Uneamed Revenue Total Liabilities FundE Balance Nonspendable Restricted: Library Trust Revolving Loan Debt Service Assigned Unassigned Total Fund) Balance Total Liabilities and) Fund] Balance  287,456 1,544,598 1,832,054  34,467 316,340 60,404 264,734 1,014,634 1,690,579 $ 3,522,633  Sce accompanying notes tol basic financial statements.  12    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA TOTHE STATEMENT OFI NET POSITION  RECONCIIATION OF THE GOVERNMENTAL FUND BALANCE SHEET  SEPTEMBER 30, 2023  Total Fund) Balances ofGovernmental. Funds ofNet Position are. Different Because:  1,690,579  Amounts Reported for Govemmental/ Activities in the Statement Capital assets usedi in govemmental: activities are not financial resources and, therefore, are not reported in govemmental funds. Net pension liability and related deferred inflows/outflows are not due andj payable in the current period and, therefore, are not reported  22,346,660  int the funds. Deferred outflows Net pension liability Deferred Inflows  675,996 (2,232,273) 124,819  (1,431,458)  Long-terml liabilities, including bonds payable, are not due and payable int the current period and, therefore, are not reported: in thei funds: Accrued AnnualLeave Bonds and Notel Payables Total Net Position of Governmental Activities  (73,900) (573,818)  (647,718) $ 21,958,063  See accompanying notes tob basic financial statements.  13    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA GOVERNMENTAL FUND FOR THE YEAR: ENDED SEPTEMBER 30, 2023  STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES INI FUND BALANCE  Total Governmental Fund $ 1,821,153 345,111 846,044 1,219,511 645,533 9,168 70,089 46,997 5,003,606  Revenues Taxes Licenses and) Permits ntegovemmemalkevenies Grants Charges for Services Fines and Forfeitures Miscellaneous Investment Eamings and Other Total Revenues Expenditures Current: General Govemment Public Safety Physical Environment Transportation Culture: and Recreation CapitalOutlay Debt Service: Principal Interest Total Expenditures Excess (Deficiency) ofl Revenues Over (Under) Expenditures Fund Balance Beginning of Year Fund) Balances, Ende of Year  1,885,413 822,121 1,222,653 151,673 535,364 592,046 70,962 23,059 5,303,291 (299,685) 1,990,264 $ 1,690,579  See accompanying notes tob basic financial statements.  14    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA GOVERNMENTAL FUND  RECONCILIATION OF STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCETOTHE, STATEMENT OF ACTIVITIES  FOR THE YEAR: ENDED SEPTEMBER 30, 2023  Amounts reported for govermmental activities in the statement of activities are  different! because:  Net Change in Fund Balances TotalGovemmental. Funds.  (299,685)  Govemmental funds report capital outlays as expenditures.. However, int thes statement of activities, the cost ofthose. assets is allocated overt their estimated usefull lives and reported as depreciation expense. This is the amount by which depreciation expense  exceeded capital outlay in the current period: CapitalOutlay Depreciation Expense  592,046 (1,023,957)  (431,911)  Some expenses reported in the statement ofa activities do not require the use ofcurrent financial resources and, therefore, are not reported as expenditures in govemmental funds.  Changes in: Net pension liability  (353,019) (58,769) (46,617)  Deferred outflows related to net pension liability Deferred inflows related to net pension liability  (458,405)  Some expenses reported int the statement ofactivities do not require the use of current financial resources and, therefore, are not reported as expenditures in  governmental funds: Accrued AnnualLeave Bonds, Leases and Note Payables  558 70,962  71,520 $(1,118,481)  Change ini Net] Position of Governmental Activities  See accompanying notes tol basic financial statements.  15    DRAFT 10.23.2024  CITY OF. APALACHICOLA, FLORIDA STATEMENT OF NET POSITION PROPRIETARY FUND SEPTEMBER. 30, 2023  Utility Fund $ 1,885,493 2,316 272,387 194,541 (385,566) 1,969,171 220,463 173,166 469,123 862,752 40,582,766 (20,208,906) 20,373,860 23,205,783 262,887 131,081 252 545,522 173,166 850,021 3,397,676 868,106 18,088 4,283,870 5,133,891 (48,541) 16,430,662 862,752 1,089,905 18,383,319  Current Assets Cash and Cash Equivalents Investments Receivables (Net) Duei fromC Other Govemments Interfund Receivables (Payables) Total Current Assets Restricted. Assets Debt Service Customer. Deposits State Revolving Loan) Escrow Total Restricted/ Assets Capital Assets Property, Plant, and Equipment Accumulated Depreciation Total Capital Assets Total Assets  DeferredOutlows Related to) Pensions Current Liabilities Accounts Payable and Accrued Expenses Current Portion ofCompensated. Absences Payable from) Restricted Assets Current Portion ofLong-temDebt Utility Deposits Total Current Liabilities Noncurrent Liabilities Long-term! Portion ofDebt Net Pensionl Liability Compensated Absences Total Noneurrentliabiliies Total Liabilities Deferred) Inflow) Related tol Pensions Net] Position Net Investment in CapitalAssets Restricted Unrestricted Total Net] Position  $  See accompanying notes tob basic financial statements.  16    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA PROPRIETARY FUND FOR' THE YEAR: ENDED SEPTEMBER: 30, 2023  STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES INI NET POSITION  Utility) Fund $ 2,748,424 183,535 10,284 2,942,243 621,157 239,180 9,732 218,752 378,595 2,522 93,109 174,626 1,024,552 2,762,225 180,018 269,541 (81,798) 187,743 367,761 18,015,558 18,383,319  Operating Revenue Utility Billings Mooring Fees Miscellaneous Total Operating Revenue Operating Expenses Personal Services Supplies, Gas, and Oil Communications Utilities Repairs and Maintenance Insurance Professional. Fees Miscellaneous Depreciation Total Operating Expenses Operating Income (Loss) Non-operating Revenues (Expenses) Grant) Revenue Interest Expense Total Non-operating Revenues (Expenses) Change in Net] Position Net) Position, Begimming of Year Net Position, End of Year  See accompanying notes tol basic financial statements.  17    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA STATEMENT OF CASH FLOWS PROPRIETARY FUND FORTHE YEAR ENDED SEPTEMBER 30, 2023  Utilityl Fund 3,004,938 (621,157) (1,083,071) 1,300,710 269,541 269,541 (483,652) (561,262) (81,798) (1,126,712) 443,539 2,304,706 $2 2,748,245  Cashl Flows from Operating Activities Cash Received fromCustomers Cash Paid tol Employees Cash) Paid to Suppliers Grant Revenue  Net Cash) Proided(Usedin) Operating Activities Cash) Flows fromi Noncapital Financing Activities Net Cash] Proided(Usedin) Noncapital Financing Activities Cash) Flows from Capital and Related. Financing Activities Acquisition and Construction ofCapital Assets Principal Paid on Long-term) Debt Interest Paid onl Long-term Debt  Net Cash Proided(Ukedin) Capital and Related Financing Activities Net Increase (Decrease) in Cash and Cash Equivalents Cash: and Cash) Equivalents, Beginning of Year Cash and Cash) Equivalents, Endo of Year Cash] Flow from Operating Activities Operating Income (Loss) by (Usedin) Operating Activities: Depreciation Accounts Receivable Due from Other Funds Due from Other Govemments Deferred Outflows Accounts Payable and Accrued Expenses Due to Other Funds Compensated. Absences Customer Deposits Net Pension Liability Deferred Inflows Total Adjustments  Reconciliation of Operating Income (Loss)to Net Cash) Provided(Usedin) Operating Activities  $ 180,018  Adjustment tol Reconcile Operating Income (Loss) to) Net Cash) Provided  1,024,552 (62,695) (1,285,741) (194,540) 22,854 5,122 1,436,491 252 18,981 137,285 18,131 1,120,692 1,300,710  Net Cash) Providedby (Usedin) Operating Activities  Seea accompanying notes tol basic financial statements.  18    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES TO BASIC FINANCIALSTATEMENTS  SEPTEMBER 30, 2023    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES TO BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023  Note 1- Summary of Significant Accounting Policies  Reporting Entity  The City of Apalachicola, Florida ("City") is located in northwest Florida, along the Apalachicola Bay and River. The City operates under an elected Mayor-Commisioner and a four-member Board of Commissioners ("Board"). The City provides a full range ofmunicipals services, including fire and police protection, public works activities, park and recreation, transportation and general administrative services. In addition, the City operates a water, sewer, and garbage collection utility, as well as docking This report includes financial statements of the funds and activities of the City. The Summary of Significant Accounting Policies for the City consists oft thej primary government, organization for which the primary government is financially accountable and other organizations for which the nature and significance of their relationship with the primary government are: such that their exclusion would cause the Summary of Significant Accounting Policies' financial statements to be misleading or incomplete. AI legally separate organization should be reporting as a component unit if the elected officials of the primary government are financially accountable to the organization. The primary government is financially accountable ifit appoints a voting majority of the organization's governing body and (I)it isa able to impose its will on that organization or (2) there is a potential for the organization to provide specific financial benefits to or burdens on the primary government. Thej primary government may be financially accountable if an organization is fiscally dependent of the primary government. A legally separate tax exempt organization should be reported as a component unit ofa Summary of Significant Accounting Policies ifall of the following criteria are met: (1) the economic resources received or held by the separate organization are entirely or almost entirely for the direct benefit of the primary government, its component units, or its constituents; (2) the primary government is entitled to, or has the ability to otherwise access, a majority of the economic resources received or held by the separate organization; (3) the economic resources received orl held by an individual organization that the specific primary government, or its component, is entitled to, or has the abilityt to otherwise access, are significant to that primary government. Blended component units, although legally separate entities are, in substance, part of the government's operations and are reported with similar funds of the primary government (see note below for description). Each discretely presented component unit is reported in a separate column in the government-wide financial statements to emphasize that it is legally separate from the primary government. The City has two component units as defined by GASB Statement 61, The Financial Summary of Significant Accounting Policies: Ommibus an Amendment of GASB Statements No. 14 and No. 34 or in publications cited in the State of Florida, Office of the Auditor The City appoints the governing Board for the Apalachicola Housing Authority ("Authority"), which makes the Authority a related organization. However, the Authority is not considered a component unit There are no entities for which there were positive responses to specific criteria used for establishing  facilities.  General Rules, Rule 10.553.  since iti is not financially accountable to or fiscally dependent on the. Board. oversight responsibility that were excluded for the City's financial statements.  19    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES' TOI BASIC FINANCIAL: STATEMENTS SEPTEMBER 30, 2023  The financial statements oft the City have been prepared in conformity with the U.S. generally accepted accounting principles (GAAP) as applied to government entities. The Government Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial reporting principles. Significant accounting policies applicable to the City are Thegovemment-wide. statements (i.e., the statement ofnet position and thes statement ofactivities) report information on all activities of the City. For the most part, the effect of interfund activity has been removed from these statements. Governmental activities, which normally are supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a The statement of activities demonstrates the degree to which the direct expenses ofa given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. 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 and other items not properly included among Separate financial statements are provided for governmental funds and proprietary funds. Major individual governmental and enterprise funds are reported as separate columns in the fund financial  described below.  Goyernment-Wide and Fund Financial Statements  significant extent on: fees and charges for support.  program revenues are reported instead as general revenues.  statements.  Measurement Focus, Basis of Accounting, and Financial Statement Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are thej proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when al liability isi incurred, regardless oft thet timing of Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis ofa accounting. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the City considers revenues to be available if they are collected within sixty days of the end oft the current fiscal period. Expenditures generally are recorded when a liability is incurred, as with accrual accounting. However, debt service expenditures, as well as expenditures related to  the related cash flows.  compensated absences, are recorded only when payment is due.  20    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO BASIC FINANCIALSTATEMENTS SEPTEMBER30, 2023  In applying the susceptible to accrual concept to intergovernmental revenues, the legal and contractual requirements of thei numerous individual programs are used: as guidance. There are, however, essentially two types oft these revenues. In one, such as grants and similar items, monies must be expended on the specific purpose or project before any amounts will be paid to the City; therefore, revenues are recognized based upon the expenditures recorded and the availability criteria. In the other, monies are virtually unrestricted as toj purpose of expenditure, and are usually revocable only for failure to comply with prescribed requirements. These resources are reflected as revenues at the time of receipt, or earlier License and permits, fines and forfeitures, charges for sales and services (other than utility), and miscellaneous revenues are generally recorded as revenue when received in cash, because they are generally not measurable until actually received. Utility services, investment earnings, franchise fees, Property taxes are recognized as revenue at the time an enforceable legal claim is established. This is determined to occur November 1, ofeach year. The assessment roll is validated July 1, and the millage resolution is approved by September 30. The City's property tax becomes a lien on October 1, and the tax is levied by Franklin County each November 1, for real and personal property located in the City. Property taxes are due before April 1, with the maximum discount available, if payment is made on or before November 30. Ifpayment remains delinquent, a tax certificate for the full amount of any unpaid taxes is sold no later than June 1. Under this arrangement, there are no property tax receivables at the Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principle ongoing operations. The principle operating revenues of the City's enterprise funds are charges to customers for sales and services. The City's enterprise fund also recognizes as operating revenues the portion of tap fees intended toi recover the cost of connecting new customers to the system. Operating expenses of the enterprise fund include the costs of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not  ifthe susceptible to accrual criteria are met.  and utility taxes are recorded as earned, since they are: measurable and available.  end of the fiscal year on September 30.  meeting this definition are reported as nonoperating revenues and expenses. The government reports the following major governmental funds:  General Fund  The General Fundi is the government's primary operating fund. It accounts for all: financial resources ofti the general government, except those required to be accounted fori in another fund.  The government reports the following major proprietary funds:  Utility Fund docking facilities.  Thel Utility Fund accounts for the revenues and expenses associated with the City's water, sewer and  21    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023  Assets, Deferred Outflows of Resources, Liabilities, Deferred Inflows of Resources, and Net  Position or Equity Deposits and Investments  The City's cash and cash equivalents are considered tol be cash on hand, demand deposits, and highly liquid instruments with original maturities of three months or less from the date of acquisition. Florida Statutes require state and local governmental units to deposit monies with financial institutions classified as qualified depositories, a multiple financial institution pool whereby groups of securities pledged by various financial institutions provide common collateral for their deposits ofpublic funds. This pooli is provided as additional insurance tot the federal depository insurance and allows for additional assessments against the member institutions providing full insurance for public deposits. The City had deposits only with qualifying institutions as of September 30, 2023. Investments oft the City are. held in the Florida PRIME portion of the State Investment Pool. These investments are classified as cash and cash equivalents and reported at amortized costs, which Outstanding balances between funds are reported as due to/from other or advances to/from other funds. Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as "internal balances." Receivables are reported net of an allowance for uncollectibles. The City has recorded a $14,454 Inventories are valued at cost, which approximates market value, using the first-in, first-out (FIFO) method. Generally, the costs of governmental fund type inventories are recorded as expenditures when consumed (consumption method) rather than when purchased. For the fiscal year 2023 there 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 accounted for by use oft the consumption method. Fort the fiscal year 2023 there were prepaid items Certain resources are set aside for debt reserves, customer deposits, unspent bond proceeds, and other purposes. These resources are classified as restricted assets on the statement of net position because their use is limited by applicable bond covenants, ordinances, or regulations.  approximates fair value. Receivables and Payables  allowance for uncollectibles in the Utility Fund.  Inventory  was no inventory. Prepaids  for insurance of$121,843. Restricted Assets  22    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO BASIC: FINANCIALSTATEMENTS SEPTEMBER: 30,2023  Capital Assets  Capital assets, which include property, plant and equipment, and infrastructure assets (i.e., roads, bridges, sidewalks, and similar items), are: reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined by the City as assets with an initial, individual cost of more than $5,000 and an estimated useful life in excess ofone year. Such: assets are recorded atl historical cost or estimated. historical cost ifpurchased orc constructed.. Donated capital assets are: recorded at acquisition value rather than fair value. The costs of normal maintenance and repairs that do not add to the value of the asset, or materially Property, plant and equipment of the primary government are depreciated using the straight-line  extended assets lives, are not capitalized. method over the: following estimated useful lives:  Buildings Improvements Infrastructure Furniture, Fixtures, and) Equipment Compensated. Absences  10-50 years 10-35 years 40-55 years 3-20 years  Accumulatedi unpaid vacation time, compensatory time, and sick time amounts, including the related direct and incremental salary-related payments, accrues in the enterprise funds, and appear as increase in salary expenses in the proprietary financial statements. In the governmental funds, these costs are recognized when payments are made to employees or when the costs mature as a result of an employee resignation or retirement, All vacation, compensatory and sick pay accrues when In the government-wide financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities and business-type activities. Bond premiums and discounts are deferred and amortized over the life oft thel bonds using the: straight-line method. Bonds payable are reported net of the bond premium or discount. Bond issuance costs are expensed when incurred, with the exception ofb bond insurance, which is amortized over thet term of In the fund financial statements, governmental fund-types record bond premiums and discounts, as well as bond issuance costs in the year incurred. The face amount ofdebt issued is reported as other financing sources, while discounts on debt issuançes are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds, are reported as debt service  incurred in the government-wide financial statements.  Long-Term Obligations  the related debt.  expenditures.  23    DRAFT 10.23.2024  CITY OFA APALACHICOLA, FLORIDA NOTESTO! BASICI FRANCIALSTATEMENTS SEPTEMBER 30, 2023  Deferred Inflows and Outflows of] Resources  Deferred outflows of resources represent a consumption of net assets that applies to future periods and will not be recognized as an outflow of resources until that future time. Deferred inflows of resources represent an acquisition of net assets that applies to future periods and will not be recognized as an inflow of resources until that future time. Deferred outflows have aj positive effect on net position, similar to assets, while deferred inflows have a negative effect on net position, similar to liabilities. The City reports deferred outflows of resources related to unamortized refunding losses, as well as pension related deferred inflows and outflows ofresources. Unavailable Revenues - In the governmental funds, revenues not received within the City's availability period are considered unavailable and, therefore, reported as a deferred inflow. For this purpose, the City considers revenues to be available ifthey are collected within 60 days of Pension Related The difference between expected and actual experience with regard to economic and demographic factors and changes to assumption in the measurement of total pension, the difference between expected and actual earnings on pension plan investments, and the change in the proportionate share of the net pension liability resulting from a change in proportion are reported as deferred inflows or outflows or resources, to be recognized in expense. Contributions made subsequent to the measurement date, but prior to the reporting Fund balance classifications comprise al hierarchy based primarily on the extent to which the Cityi is bound to honor constraints on the specific purpose for which amounts in the funds can be spent. Fund balance is reported in five components: non-spendable, restricted, committed, assigned and Non-Spendable - This component of fund balance consists of amounts that cannot be spent because (a) they arei not expected tol be converted to cash; or (b) they are legally or contractually required to remain intact. Examples ofthis classification: arej prepaid items andj principal (corpus) ofan endowment fund. On the governmental funds balance sheet, thej prepaid balances reported is offset by a non-spendable fund balance classification which indicates it does not constitute "available spendable resources" even though iti isa component of current assets. Restricted -This component ofi fund balance consists of amounts that are constrained either (a) externally by third parties (creditors, grantors, contributors, or laws or regulations of other governments); or (b) by law through constitutional provisions or enabling legislation. Committed - This component of fund balance consists of amounts that can only be used for specific purposes pursuant to constraints imposed by formal action (i.e., by ordinance) of the City Commission. These committed amounts cannot be used for any other purpose unless the City Commission removes or changes the specified use by taking the same type of action  the end oft the current fiscal period.  date, are reported as deferred outflows ofresources.  Fund Balance unassigned.  employed to constrain those amounts.  24    DRAFT 10.23.2024  CITY OF. APALACHICOLA, FLORIDA NOTESTO BASICI FINANCIAL: STATEMENTS SEPTEMBER 30, 2023  Assigned - This component off fund balance consists of amounts that the City intends to use for as specific purpose as determined by the City Commission in accordance with the City's fiscal policies. In addition, residual balances in capital projects and debt service funds are considered assigned for the general purpose of the respective fund, as approved by the City Commission Unassigned - This classification is used for: (a) deficit unrestricted fund balances in any governmental fund; or (b) fund balances within the general fund that are not restricted, When both restricted and unrestricted resources are available for use, iti is generally the practice of the City to use restricted resources first, then unrestricted: resources as they are: needed. When unrestricted resources (committed, assigned, and unassigned) are available for use in any governmental fund, iti is the City's practice to use committed: resources first, then assigned, and then unassigned as needed. Net position invested in capital assets, net of related debt, consist of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowings used for the acquisition, construction, ori improvement ofthose assets. Net position invested inc capital assets, net oft related debt, excludes unspent debt proceeds. Net position isi reported as restricted when there are limitations imposed on its use either through enabling legislation or through external restrictions imposed by creditors, grantors, laws, or regulations. Net position not reported as net position invested in capital assets, net of related debt or restricted net position, are reported as unrestricted When both restricted and unrestricted resources are available for use, it is the City's policy to use The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America as applied to governmental units, requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and 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 the estimates. Upcoming Governmental Accounting Standards Board (GASB) Pronouncements GASBI hasi issued new accounting and financial reporting pronouncements, which willl become effective GASB Statement No. 96, Subscription-Based Information Technology Arrangements, changes the accounting and financial reporting related to Subscription-Based Information Technology Arrangements (SBITAS) for government end-users. Upon adoption, a SBITA will result ina a right- to-use subscription asset, which will be an intangible asset, and a corresponding subscription liability. The new guidance also provides capitalization criteria for outlays other than subscription payments, including implementation costs of a SBITA, and requires note disclosures regarding  through the budget process. committed, or assigned.  Net Position  net position.  restricted resources first, then unrestricted: resources as needed.  Accounting Estimates  for the City's 2023 fiscal year reporting period:  SBITA.  25    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES TO BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023  Budgets and Budgetary Accounting  General governmental revenues and expenditures accounted for in budgetary funds are controlled by a budgetary accounting system in accordance with various legal requirements which govern the City's operations. Budgets are monitored at varying levels of classification detail; however, expenditures cannot legally exceed total appropriations at thei individual fund level. All budget changes that affect the The budgetary information presented for the general fund is prepared on the modified accrual basis. Encumbrances are not recorded. Onexpended items at year-end must be reappropriated in the subsequent  total ofai fund's budget must be approved by the City Commission.  year.  Note2- Cash, Cash Equivalents, and Investments  Deposits and investments as of September 30, 2023, are classified in the accompanying financial  statements as follows: Statement ofNet Position Cash and Cash Equivalents Investments Restricted: Cash and Cash Equivalents  3,329,485 773,956 1,268,772  Total Cash, Cash Equivalents and Investments > 5,372,213  Deposits  All oft the City's cash deposits are held in banks that qualify as public depository under the Florida Securityfor Public Deposits Acta as required by Chapter 280, Florida Statutes. Under the Act, all qualified depositories are required to pledge eligible collateral having a market value equal to or greater than the average daily or monthly balance ofallj public deposits, times the depository's collateral pledged level. The pledging level may range from 25% to 125% depending upon the depository's financial condition and establishment period. All collateral must be deposited with an approved financial institution. In event of default by a qualified public depository, all claims forj public deposits would bes satisfied by the State Treasurer from the proceeds of federal deposit insurance, pledged collateral of the public depository in default and, ifnecessary, aj proi rata assessment to the other qualified public depositories in the collateral pool. Therefore, all cash and time deposits held by the banks are fully insured and  collateralized. Investments  The City'sinvestment. is summarized below at September 30, 2023:  Fair Value 773,956  FMV Level N/A  Florida PRIME, at Amortized Costs  26    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO BASIC FMANCIALSTATEMENTS SEPTEMBER 30, 2023  Fair Market Value Hierarchy  Investments, including derivative instruments that are not hedging derivatives, arei measured: at fairvalue on a recurring basis. Recurring fair value measurements are those that GASB statements require, or permit, ini the statement of net position at the end of each reporting period. Fair value measurements are categorized based ont the valuation inputs used toi measure: an: asset's fair value: Level I inputs are quoted prices in active markets for identical assets; Level 2 inputs are significant other observable inputs; and The City's investments in the Florida Prime Investment Pool (Florida PRIME) are similar to money market funds in which units are owned in the fund rather than the underlying investments. Florida PRIME is administered byt the Florida State Board of Administration (SBA), which provides regulatory oversight. These investments are reported at amortized cost and meet the requirements of GASB Statement No. 31, as amended by GASB Statement! No. 79, Certain External Investment Pools and] Pool Participants, which establishes criteria: for an external investment pool to qualify for making the election tor measure. all ofitsi investments at amortized cost for financial reporting purposes. Therei isi nol limitation or restrictions on withdrawals from Florida PRIME; although in the occurrence of an event that has a material impact on liquidity or operations of the trust fund, the funds' executive director may limit Credit Risks -The credit risk of certain investments, such as investment pools managed by other outside parties, cannot be categorized because the City's investments are note evidenced by specific, identifiable Interest Rate Risks- At September 30, 2023, the City didi notl hold any investments that were considered Custodial Risks - At September 30, 2023, the City did not hold any deposits or investments that were Concentrations ofCredit Risk- - At September 30, 2023, the City did not hold any investments that were  Level 3 inputs are: significant unobservable inputs.  Florida PRIME  contributions to our withdrawals from the trust fund fora a period of48 hours.  investment securities. to be an interest rate: risk. considered to be a custodial risk.  considered tol be a concentration of credit risk.  27    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO BASIC FINANCIALSTATEMENTS SEPTEMBER: 30, 2023  Note 3-] Receivables  Accounts receivable as of September 30, 2023, were as follows:  Governmental Fund Receivables: Due from other funds Due from other governments: Tax receivable Grant receivable Total Governmental Fund Receivables Proprietary Fund Receivables: Accounts receivable, net Accounts receivable (less allowance for doubtful accounts) Total accounts receivable, net Due from other funds Due from other governments: Total Proprietary Fund Receivables, net  1,788,087 42,276 351,296 2,181,659  $ 286,841 (14,454) 272,387 1,402,521 194,541 $ 1,869,449  28    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTOI BASIC FINANCIAL: STATEMENTS SEPTEMBER 30, 2023  Note 4- Capital Assets  September 30, 2022  September 30, 2023 $ 10,201,410 302,770 10,504,180 3,238,244 5,452,897 9,045,383 4,094,464 21,830,988 (9,988,508) 11,842,480 $ 22,346,660  Additions (Reductions)  Govemmental. Activities: Capital: lassets, not being depreciated Land Construction in Progress Total capital assets, not being depreciated Capital assets, being depreciated Buildings and improvements Improvements other than buildings Infrastructure Equipment and other Total capital assets, being depreciated Total accumulated depreciation Total capital assets, being depreciated, net Total governmental capital assets, net Business-type Activities: Capital assets, not being depreciated Land Construction in Progress Total capital assets, not being depreciated Capital assets, being depreciated Buildings and utility systems Total capital assets, being depreciated Total accumulated depreciation Total capital assets, being depreciated, net Total business-type capitalassets,net $  $  10,201,410 $ 10,201,410 3,159,162 5,425,365 9,045,383 3,911,802 21,541,712 (8,964,551) (1,023,957) 12,577,161 22,778,571 $ (431,911) $  $ 302,770 302,770 79,082 27,532 182,662 289,276 (734,681)  $  $  363,057 $ 363,057 39,736,057 39,736,057 (19,184,354) (1,024,552) 20,551,703 20,914,760 $ (540,900) $  $ 262,191 262,191 221,461 221,461 (803,091)  $ 363,057 262,191 625,248 39,957,518 39,957,518 (20,208,906) 19,748,612 $ 20,373,860  Depreciation expense was charged to functions/programs as follows:  Govemmental/ Activities: General govemment $ 96,617 Publicsafety Transportation Physicale environment Culture and recreation Total Business-type Activities: Water Sewer Mooring Total  91,102 417,090 254,079 165,070 $ 1,023,957 $ 173,136 845,416 6,000 $ 1,024,552  29    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES TO BASIC. FINANCIALSTATEMENTS SEPTEMBER: 30, 2023  Note 5-Long-term Liabilities Governmental Activities  September 30, 2022  September 30, Due within 2023  Additions (Reductions)  one year  $506,500 Capital improvement revenue bonds Series 2010. Duei in annuali installments of $25,480t to $30,260v withi interest at 4%, maturing in September 2039 (See (a)below). Installment purchase agreement fora fire truck for $400,000. Payable in annual installments of$49,008, maturing June 2028. Installment purchase agreement fora 2021 Chevy truck fort the police department. Payable in twelve quarterly payments of Installment purchase agreement fora 2021 Chevy truckf for thej public works. Payable in twelve quarterly payments of $1,461. Compensated absences Total govemmental: activities' long-term obligations  $ 361,500 $  $ (15,000) $ 346,500 $ 16,000  263,159  (41,887)  221,272  40,526  $2,427.  13,417  (8,832)  4,585  4,585  6,704 74,458 $ 719,238 $  (5,243) (558)  1,461 73,900  1,461 18,475  $ (71,520) $ 647,718 $ 65,047  30    DRAFT. 10.23.2024  CITY OF. APALACHICOLA, FLORIDA NOTES: TO BASIC FINANCIAL: STATEMENTS SEPTEMBER 30, 2023  (a) The series 2010 general fund capital improvement revenue bonds are secured by alcoholic beverage income, fines and forfeiture income and MSBU funds. Current year principal and interest payments on the bonds are 49 percent of pledged revenues. The total principal There are limitations and restrictions contained in the bond indentures, including the establishment of specific debt service sinking fund and reserve accounts. The City is not in compliance with all aspects oft thel bond indenture. The sinking fund andi reserve account balance Future debt service requirements for the City'sl long-term debt obligations oft the governmental activities  outstanding at September 30, 2023, was $346,500.  for the Series 20101 bond issue totals $55,213 at September 30, 2023.  are: summarized below:  Yeare ending September 30, Principal 2024 2025 2026 2027 2028 Thereafter Total  $ 62,572 59,095 60,726 63,420 68,505 259,500 $ 573,818  31    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTEST TOI BASIC FINANCIALSTATEMENTS SEPTEMBER30, 2023  Note 6-Long-term Liabilities Business-type Activities  September: 30,  September 30, Due within 2023  2022 Additions (Reductions)  one) year  $3,073,000 Watera ands sewer revenue bonds Series 2003. Duei in annual installments of$16,417to! $592,000 withi interest at 3%, matures in 2043 (See (c)below). $390,000 Water and sewer revenue bonds. Series 1983. Due in annual installments of$2,000to $29,000 from September 1987-September 2024 withi interest at 5% (See (a)below). $361,630 Water and sewer revenue bonds Series 1986. Duei in annual installments of$3,000to $21,630 from September 1989-September 2026 withi interest at 6% (See (b) below). Note payable to the State ofFlorida Revolving Loan Fund for SRF refinancing. Semiannual payments of$185,685 including 0%i interest maturing December 2027 (See (d)below). Installment purchase agreement fora ditch witch. Payable in twelve quarterly payments of$5,885 including 0.935% Installment purchase agreement for water meters for $267,000payablei in annual installments of$32,034i including 3.48% interest, maturing November 2026. Installment purchase agreement fora backhoe for $99,550payable: in eight semi- annuali installments of$13,131, including 2.41% interest, maturing January 2026. Compensated absences Total business-type: activities' long-term obligations  $ 2,079,000 $  $ (75,000) $ 2,004,000 $ 77,000  45,448  (27,000)  18,448  18,448  81,630  (19,000)  62,630 20,000  2,042,540  (371,371) 1,671,169 371,371  interest.  22,007  (16,123)  5,884  5,884  146,211  (28,482)  117,729 27,941  87,624 18,088  (24,286)  63,338 24,878 18,340  252  4,585  4,522,548 $ 252 $ (561,262) $ 3,961,538 $ 550,107  32    DRAFT 10.23.2024  CITYOF APALACHICOLA, FLORIDA NOTESTO1 BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023  (a) Thes series 1983 water and sewer revenue bonds ares secured by a first lien on the gross revenues oft the water and sewer system and a first lien on the City's public service taxes and guaranteed entitlement revenues. Current year principal and interest payments on the bonds are 11 percent ofpledgedrevenues. Thet total principal tol bej paid ont the bondsi is $18,448. Principal and interest (b) The series 1986 water and sewer revenue bonds are secured by a junior lien on the above- mentioned revenues. Current year principal and interest payments on the bonds are 11 percent ofpledged revenues. The total principal remaining tol bej paid on the bonds is $62,630. Principal and interest paid for the current year were $19,000 and $4,898 respectively. (c) The series 2003 water and sewer revenue bonds were issued on parity with the 1983 and 1986 water and sewer revenue bonds. Current year principal and interest payments on the bonds are 63 percent of pledged revenues, The total principal remaining to be paid on the bonds is $2,004,000. Principal and interest paid for the current year were $75,000 and $67,568 (d) The City was awarded ai new loan of $2,785,281 (funding number CS120 427090). The funds were disbursed as a refinancing of the City's State Revolving Loan. The new loan is at 0% with semi-annual payments of $185,685, due on June 15 and December 15, with the first payment due December 15, 2021. The balance as of September 30, 2023, was $1,671,169. There are a number of limitations and restrictions contained in the bond indentures, including the establishment of specific debt service sinking fund and reserve accounts. The sinking fund and reserve account balances relating to the Series 2003, 1986, and 1983 bond issues total $688,0948 at September Future debt service requirements for the City'sl long-term debt obligations oft thel business-type activities  paid for the current year were $27,000 and $2,232, respectively.  respectively.  30, 2023.  are: summarized below:  Yeare ending September 30, 2024 2025 2026 2027 2028 Thereafter Total  Principal 545,522 525,768 515,020 490,203 273,685 1,593,000 $3,943,198  33    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES TO BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023  Note 7-] Interfund Receivables, Payables, and' Transfers  As of September 30, 2023, the enterprise fund owed the general fund $385,566. As of September 30, 2023, there were no transfers between funds.  Note 8-1 Pension Plans Defined Benefit Plans Plan Description  The City participates int two defined benefit pension plans that are administered by the State of] Florida, Department of Management Services, Division of Retirement. The plans provide retirement, disability and death benefits to retirees or their designated beneficiaries. Chapter 121, Florida Statutes, establishes the authority for benefit provisions. Changes to the law can only occur through an act of Florida Legislature. The State of Florida issues a publicly available financial report that includes financial statements andi quircdsupplemenary information for thej plans. That report may! bec obtained by writing to thel Division of Retirement, POI Box 9000, Tallahassee, Florida, 32315-9000 or by calling (844)377- The Florida Retirement System (FRS) Pension Plan is a cost-sharing, multi-employer defined benefit pension plan with al Deferred Retirement Option Program (DROP)available for eligible employees. FRS was established andi is administered in accordance with Chapter 121, Florida Statutes. Retirees receive al lifetime pension benefit with joint and survivor payment options. FRS membership is compulsory for employees filling regularly established positions in as state agency, county agency, state university, state college, or district school board, unless restricted from FRS membership under Sections 121.053 or 121.122, Florida Statutes, or allowed to participate in a defined contribution plan in lieu of FRS membership. Participation by cities, municipalities, special districts, charter schools and metropolitan The Retirees' Health Insurance Subsidy (HIS) Programis isacost-sharing, multi-employer defined benefit pension plan established and administered in accordance with Section 112.363, Florida Statutes. The benefit is a monthly payment to assist retirees of the state-administered retirement systems inj paying their health insurance costs. Tol be eligible to receive a HIS benefit, ai retiree under a state administered retirement: system must provide proofofeligiblel healthi insurance coverage, which cani includel Medicare. Benefits under FRS are computed on the basis of age and/or years of service, average final compensation, and service credit. Credit for each year of service is expressed as a percentage of the average final compensation. For members initially enrolled before July 1, 2011, the average final compensation is the average of the five highest fiscal years' earnings; for members initially enrolled on or after July 1, 2011, the average final compensation is the average of the eight highest fiscal years' earnings. The total percentage value oft the benefit received is determined by calculating the total value of all service, which is based on the retirement plan and/or class to which the member belonged when  1888.  planning organizations is optional.  Benefits Provided  the service credit was earned.  34    DRAFT 10.23.2024  CITY OF APALACHICOLA, ELORIDA NOTESTO BASIC FINANCIALSTATEMENTS SEPTEMBER30,2023  Eligibler retirees and beneficiariest receiveamonthly. HIS payment equal to thei number ofyears ofservice credited at retirement multiplied by $5. The minimum payment is $30 and the maximum payment is  $150 per month, pursuant to Section 112.363, Florida Statutes.  Contributions  The contribution requirements of plan members and the City are established and may be amended by the Florida Legislature. Employees are required to contribute 3% of their salary to FRS. The City's  contribution rates for the year ended September 30, 2023 were as: follows:  Year Ended. June 30, 2022 FRS HIS 10.1% 1.66% 29.8% 1.66% 1.66% 16.9% 1.66%  Year Ended. June 30, 2023 FRS HIS 11.51% 1.66% 32.46% 1.66% 32.67% 1.66% 16.13% 1.66%  Regular Class Senior Management Special Risk Employee Class 27.74% DROP Plan Participants  (1) Contribution rates arc dependent upon retirement class iny whichr reemployed. ofthe FRSI Investment! Plana andj provision of education tools.  2) Ther ratesi includet ther normal cost andi unfundeda actuariall liabilityo contributions, butt tor noti include thef feeof0.06% fora administration The City'sc contributions for the year ended September 30, 2023, were $281,705 tol FRS and $31,770 to  HIS.  Pension Liabilities and Pension Expense  Ini its financial statements for the year ended September 30, 2023, the City reported a liability for its proportionate shares oft the net pension liabilities. The net! pension liabilities were measured as ofJune 30, 2023, and the total pension liabilities used to calculate the net pension liability were determined by actuarial valuation date. July 1,2 2023. The City's proportions oft the net pension liabilities were based on the City's share of contributions to the pension plans relative to the contributions of all participating  entities, actuarially determined.  FRS 2,333,379 0.00585587% 0.00564178% $ 535,580  HIS $ 767,001 0.004829576% 0.0048238039 $ 296,698  Net) Pension Liability Proportion at: Current Measurement Date Prior Measurement Date Pension Expense (Benefit)  35    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO] BASIC FINANCIALSTATEMENTS SEPTEMBER30, 2023  Deferred Outflows/Inflows of Resources Related to Pensions related toj pensions from the following sources:  At September 30, 2023, the City reported deferred outflows ofresources and deferred inflows ofresources  FRS Deferred Deferred Outflows of Inflows of Resources Resources 219,084 $ 152,109 97,448 248,300 81,795 $ 798,736  Differences between expected and actual experience Changes ofa assumptions Net difference between projected and actual earnings on! Pension Plan) Investments Changes inj proportion and differences between employer contributions andj proportionate share of contributions Employer contributions subsequent to thei measurement date  (54,447) $(54,447)  Total  HIS Deferred Outflows of Resources $ 11,228 20,164 396 98,087 10,272 $ 104,147  Deferred Inflows of Resources $ (1,800) (66,463) (50,649) $(118,912)  Differences between expected and actual experience Changes ofa assumptions Net difference between projected and actual earnings on Pension Plan Investments Changes inj proportion and differences between employer contributions and proportionate share of contributions Employer contributions subsequent to the measurement date  Total  36    DRAFT 10.23.2024  CITY OF. APALACHICOLA, FLORIDA NOTESTO BASIC FINANCIALSTATEMENTS SEPTEMBER 30, 2023  Deferred outflows or1 resources: related to employer contributions paid subsequent to the measurement date and prior to the employer's fiscal year end willl bei recognized as ai reduction oft the net pension liabilityi in the reporting period ending September 30, 2023. Other pension related amounts reported as deferred outflows ofi resources and deferred inflows ofi resources will ber recognized inj pension expense as follows:  Measurement period ending June 30,  FRS 108,191 21,825 449,053 69,559 13,866 $662,494  HIS $ 5,213 2,585 1,807 2,504 (660) (488) $ 10,961  2024 2025 2026 2027 2028 Thereafter Total  Actuarial Assumptions  The total pension liability for each of the defined benefit plans, measured as of. June 30, 2023, was determined by an actuarial valuation dated July 1, 2023, using the individual entry age normal actuarial  cost method and the following significant actuarial assumptions:  FRS 2.40% 6.70% 6.70% N/A  HIS 2.40% 3.25% 3.65% N/A 3.65%  Inflation Salary Increase Discount Rate Long-term Expected! Rate of] Return, Net ofl Investment Income Municipal Bond  3.25%A Average, Including Inflation  Mortality assumptions for both plans were based on the Generational RP-2000 with Projection Scale BB. For both plans, the actuarial assumptions used int thes valuation date. June 30, 2023 werel based on the results  ofa an actuarial experience study for thej period. July 1,2013, through. June 30, 2018. The following changes in key actuarial assumptions occurred in 2023:  FRS: Thel long-term expected: rate ofreturn remained at 6.70% and the active member mortality HIS: The municipal rate used to determine total pension liability was increased from 3.54% to Thel long-term expected investment rate of return was not based on historical returns, buti instead was based on ai forward-looking capital market economic model. Each asset class assumption is based on: a consistent set ofunderlying assumptions, andi includes an adjustment for thei inflation assumption. For FRS, the table below summarizes the target allocation and best estimates of  assumption was updated. 3.65%.  arithmetic and geometric real rates ofi return for each major asset class.  37    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTESTO BASIC FINANCIALSTATEMENTS SEPTEMBER30,2023  Annual Return 2.9% 4.5% 8.7% 7.6% 11.9% 6.3%  Target Allocation 1% 19.8% 54.0% 10.3% 11.1% 3.8% 100%  Arithmetic Geometric Standard  Asset Class Cash Fixed income Global equity Real estate (property) Private equity Strategic investments Assumed Inflation- Mean  Return 2.9% 4.4% 7.1% 6.6% 8.8% 6.1% 2.4%  Deviation 1.1% 3.4% 18.1% 14.8% 26.3% 7.7% 1.4%  Discount Rate  The discount rate used to measure the total pension liability for FRS was 6.70%. FRS' fiduciary net position was projected to be available to make all projected future benefit payments of current active andi inactive employees. Therefore, the discount rate: for calculating the total pension liability is equal to Because HIS is essentially funded on a pay-as-you-go basis, a municipal bond rate of3.65% was used to determine the total pension liability for the program. Thel Bond Buyer General Obligation Bond 20- The following tables demonstrate the sensitivity of the net pension liability to changes in the discount rate. The sensitivity analysis shows the impact to the City's proportionate share of the net pension liability ift the discount rate was 1% higher or 1% lower than the current discount rate.  the long-term expected: rate ofreturn.  Bond Municipal Bond Index was used as the applicable municipal bond index.  Sensitivity Analysis  FRS Current Discount Rate $ 2,333,379 HIS Current Discount Rate $ 767,001  1%1 Decrease $ 3,985,886  1% Increase $ 950,859  Employer's proportionate share of the net] pension liability  1%1 Decrease $ 875,029  1%1 Increase $ 677,454  Employer's proportionate share oft the net pension liability  38    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTES TOBASICI FINANCIALSTATEMENTS SEPTEMBER30, 2023  Pension Plans' Fiduciary Net Position issued financial reports. Defined Contribution Plan  Detailed information about thej pension plans' fiduciary net] position is available in the State'ss separately Pursuant to Chapter 121, Florida Statutes, the Florida Legislature created the Florida Retirement Investment Plan (FRS Investment Plan), a defined contribution pension plan qualified under Section 401(a) of the Internal Revenue Code. The FRS Investment Plan is an alternative available to members ofthel Floridal Retirement System inl lieu oft the defined benefit plan. There is a uniform contribution rate covering both the defined benefit and defined contribution plans, depending on membership class.  Note 9- Other Postemployment Benefits  The City has not implemented the provisions of GASB Statement No. 75, Accounting and. Financial Reporting by Employers) for Postemployment Benefits OtherThan. Pensions, which establishes standards fort the measurement, recognition, and display ofOPEB expense/expenditures and related liabilities, note  disclosures, and required supplementary information.  Note 10 -Notes Receivable  During the 2023 fiscal year, the City determined that the Revolving Loan Fund's note receivables were no longer collectible. The City did acquire property for the majority oft the prior year receivable which  will be recorded at the date ofs sale.  Note 11-C Commitments, Contingencies, and Risk Management  The Cityi is exposed to various risks of loss related to torts; theft of, damage to and destruction of assets; error or omissions; injuries to employees and/or public; or damage toj property ofothers. The City carries comprehensive coverage on certain vehicles and equipment, as long as deemed economically! justifiable. The City also carries liability insurance on the aforementioned vehicles and equipment.  Note 12-Subsequent Events  The City has evaluated events and transactions for potential recognition or disclosure in the financial statements through November 4, 2024, the date which the financial statements were available to be  issued. No subsequent events have been recognized or disclosed.  39    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA REQUIRED SUPPLEMENTARY INFORMATION  SEPTEMEBER 30, 2023    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA BUDGET AND ACTUAL-GENERAL FUND FOR' THE YEAR: ENDED SEPTEMBER: 30, 2023  SCHEDULE OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCE  Variance with Final Budget (Negative)  Actual Amounts Positive Fund 345,111 846,044 1,219,511 645,533 9,168 70,089 46,997 5,003,606  Original 135,380 544,554 1,625 630,000 14,000 711,066 4,044,550 4,044,550  Final 135,380 544,554 1,625 630,000 14,000 711,066  Revenues Taxes Licenses and] Permits Intergovemmental Revenues Grants Charges for Services Fines and Forfeitures Miscellaneous Investment Earnings and Other Total Revenues Expenditures Current: General Govemment Public Safety Physical Environment Transportation Culture and Recreation CapitalOutlay Debt Service: Principal Interest Total Expenditures Excess (Deficiency) of] Revenues Over (Under) Expenditures Fund] Balance Beginning ofYear Fund] Balances, Endo of Year  2,007,925 $ 2,007,925 $ 1,821,153 $ (186,772)  209,731 301,490 1,217,886 15,533 (4,832), (640,977) 46,997 959,056  2,860,508 2,860,508 799,504 1,213,789 1,213,789 237,218 482,000 54,914 5,647,933 5,647,933 (1,603,383) (1,603,383) 1,603,383 1,603,383 $  1,885,413 822,121 1,222,653 151,673 535,364 592,046 70,962 23,059 5,303,291 (299,685) 1,990,264 $ 1,690,579 $ 1,690,579  (975,095) 22,617 8,864 151,673 298,146 110,046 16,048 23,059 (344,642) 1,303,698 386,881  799,504 237,218 482,000 54,914  $  40    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA NOTETO! REQUIRED SUPPLEMENTARY INFORMATION FOR' THE YEAR ENDEDSEPTEMBER3B; 2023  Note 1- Budgetary Information  An annual budget is adopted on a basis consistent with accounting principles generally accepted in the United States of America for the general fund. All annual appropriations lapse at fiscal year-end. The City follows their procedures ine establishing the budgetary data reflected in the financial statements: 1. Prior to October 1, the City Commission receives a proposed operating budget for the next fiscal year. The operating budget includes proposed expenditures and the means of financing them. 3. Prior to October 1, thel budget is legally enacted through passage ofa an ordinance. 4. The appropriated budget is prepared by fund, function and department. The City's department heads may make transfers of appropriations within a department. Transfers of appropriations  2. Public hearings are conducted to obtain taxpayer comments.  between departments require the approval of the governing council. 5. The legal level of budgetary control is the fund level. generally accepted in the United States of America.  6. The budget for the General Fund is adopted on a basis consistent with accounting principles  41    2 03 2 - 5    - a -  3    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA FORTHE YEAR ENDED SEPTEMBER: 30, 2023  CITY OFFICIALS  Brenda Ash Mayor Despina George Commissioner Seat 1 Adriane Elliott Commissioner Seat 2  Anita Grove Commissioner Seat3 Mayor Pro Tem Donna Duncan Commissioner Seat4 4  44    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA COMPLIANCE SECTION SEPTEMBER 30, 2023    a - : 3    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA FOR THE YEARI ENDED SEPTEMBER30, 2023  NOTESTOSCHEDULE OF EXPENDITURES OF EDERALAWARDS  Notel 1- General  The accounting policies and presentations of the accompanying schedule of expenditures of federal awards of the City of Apalachicola (the City) have been designed to conform with generally accepted accounting principles applicable to governmental units. Thei information in this schedule is presented in accordance with the requirements of Title U.S. Code of Federal Regulations, Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements ofFederal Awards (Uniform The accompanying schedule of federal awards includes the federal award activity of the City and is presented using the same basis of accounting as the fund in which the grant is recorded, generally the accrual or modified accrual basis ofaccounting, as described in Note It to the City's financial statements.  Guidance).  Note 2- Basis of Presentation  Note3-1 Indirect Cost Rate Note4-Contingencie:  The City elected not to use the 10% dei minimis indirect cost rate.  Grant monies received and disbursed by the City are for specific purposes and are subject to review by grantor agencies. Such audits may result in requests for reimbursements due to disallowance of expenditures. Based upon prior experience, the City does not believe that such disallowances, ifany,  would have a material effect on the financial position oft the City.  46    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA SCHEDULEOF FINDINGS AND QUESTIONED COSTS FEDERALAWARD PROGRAMS FOR' THE YEAR: ENDED SEPTEMBER 30, 2023  SUMMARY OF AUDIT RESULTS-FINANCIALSTATEMENTS . Type of Audit Report Issued on Financial Statement Unmodified Opinion - Govermment-wide financial statements  Qualified Opinion- - Governmental activities, business-type activities and utility fund II. Significant Deficiencies and/or Material Weaknesses in Internal Control  The audit disclosed the following findings as significant deficiencies/material weaknesses in internal control over financial reporting: Finding 2017-01,2017-002,2017-004,2021-00,  and 2021-002.  III. Noncompliance Material to Auditee Financial Statements  The audit disclosed the following material instances oft noncompliance: Finding 2017-002, IV. Significant Deficiencies and/or Material Weaknesses in Internal Control Over Major  2017-004, and 2021-001. Federal Programs  The audit disclosed the following findings as significant deficiencies/material weaknesses relating to the audit oft the major federal award programs reported in thel Independent Auditor's Report on Compliance for Each Major Federal Award project that are required to be reported in the schedule of findings and questioned costs: Findings 2017-002 and 2021-001. V. Type of Audit Report Issued on Compliance with Requirements Applicable to Major  Federal Programs Unmodified Opinion  VI. Audit Findings Relative to Major Federal Programs The audit disclosed no findings required to be reported.  VII. Projects Tested as Major Federal Programs  American Rescue. Plan. Act 21s Century Community Learning Centers  21.027 84.287  VIII. Dollar Threshold Used to Distinguish Between Type A and' Type B Programs  The threshold for distinguishing between Type. A and Type Bj programs is $750,000 for major  federal award programs.  47    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA SCHEDULE OF FINDINGS. AND QUESTIONED COSTS FEDERAL AWARD PROGRAMS FOR' THE YEAR ENDED SEPTEMBER. 30, 2023  IX. Low Risk Auditee  The City of Apalachicola did not qualify as al low-risk auditee.  FINDINGS-PINANCIAL STATEMENTI FINDINGS See Schedule of Prior Year Findings.  FINDINGS AND QUESTIONED COSTS-FEDERAL AWARD PROGRAMS  2022-001 -] Late Submission of Data Collection Form after the end oft the fiscal year, whichever comes first.  CRITERIA: In accordance with Uniform Guidance 2 CFR 200.512(a), the audit package and data collection form shall be submitted 30 days after receipt oft the auditor's report, or 91 months CONDITION: The data collection form in connection with the audit was not filed within 9 CAUSE: Management did not have procedures in place to ensure the timely filing oft the data EFFECT: Late filing will result in noncompliance with timely submission of finançial RECOMMENDATION: Management should evaluate the current procedures inj place to ensure the timely filing oft the data collection form to thel Federal Audit Clearinghouse. SUMMARYSCHEDULEOT: PRIOR AUDITFINDINGS RELATIVETO! FEDERALAWARDS  months after the fiscal year end.  collection form to thel Federal Audit Clearinghouse. information to the grantor agencies.  There were. no prior audit findings.  48    DRAFT 10.23.2024  MORANESMITH LLP Certified Public Accountants MORANSMITHCFA.COM  2260 WEDNESDAYSTRETSTE: 400 TALLAHASSEE, FLORIDA: 32308 850.879.0636  INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE, FOR EACH MAJOR FEDERAL PROGRAM ANDONINTERNAL CONTROLOVER COMPLIANCE, REQUIRED BY  UNIFORM GUIDANCE  To the Honorable City Commission, City of Apalachicola, Florida:  Report on Compliance for Each Major Federal Program Opinion on Each Major Federal Program  We have audited the City of Apalachicola, Florida's (the "City") compliance with the types of compliance requirements identified as subject to audit in the OMB Compliance Supplement that could have a direct and material effect on each of the City's major federal programs for the year ended September 30, 2023. The City's major federal programs are identified in the summary of auditor's results section of the accompanying In our opinion, the City complied, in all material respects, with the types ofcompliance requirements referred to above that could have a direct and material effect on each ofits major federal programs for the year ended We conducted our audit ofcompliance in: accordance with auditing standards generally acceptedi ini the United States of America; the standards applicable to financial audits contained in Govermment. Auditing Standards, issued by the Comptroller General of the United States; and the audit requirements ofTitle 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Our responsibilities under those standards and the Uniform Guidance are further described in the. Auditor's Responsibilities for the Audit of Compliance section We are required to be independent of the City and to meet our other ethical responsibilities, in accordance with relevant ethical requirements relating to our audit. We believe that the audit evidence we. have obtained iss sufficient and appropriate to provide a basis for our opinion on compliance for eachi major federal program. Our audit does not provide al legal determination of the City's compliance with the compliance requirements Management is responsible for compliance with the requirements referred to above and for the design, implementation, and maintenance ofeffective. internal control over compliance with the requirements oflaws, statutes, regulations, rules, and provisions of contracts or grant agreements applicable to the City's federal  schedule off findings and questioned costs.  September 30, 2023.  Basis for Opinion on Each Major Federal Program  ofour report.  referred to above.  Responsibilities of Management for Compliance  programs.  49    DRAFT 10.23.2024  Auditor's Responsibilities for the Audit of Compliance  Our objectives are to obtain reasonable assurance about whether material noncompliance with the compliance requirements referred to above occurred, whether due to fraud or error, and express an opinion on the City's compliance based on our audit. Reasonable assurance: is al highl level ofa assurancel buti is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with generally accepted auditing standards, Govermment Auditing Standards, and the Uniform Guidance will always detect material noncompliance when ite exists. The risk ofnot detecting material noncompliance resulting from fraud is higher than that resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Noncompliance with the compliance requirements referred to abovei is considered material iftherei isas substantial likelihood that, individually or int the aggregate, itv would influence the judgment made by a reasonable user of the report on compliance about the City's In performing an audit in accordance with generally accepted auditing standards, Govermment Auditing  compliance with the requirements ofe each major federal program as a whole.  Standards, and the Uniform Guidance, we:  Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material noncompliance, whether duet to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the City's compliance with the compliance requirements referred to above and performing such other procedures as we considered necessary in the circumstances. Obtain an understanding of the City's internal control over compliance relevant to the audit in order to design audit procedures that are appropriate in the circumstances and to test and report oni internal control over compliance in accordance with the Uniform Guidance, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control over compliance. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and any significant deficiencies and material weaknesses in internal Thei results of our auditing procedures disclosed instances ofr noncompliance which are required tol be reported ina accordance with the Uniform Guidance and which are described in the accompanying schedule off findings and questioned costs as item 2022-001. Our opinion on each major federal program is not modified with Govermment. Auditing Standards requires the auditor to perform limited procedures on the City's response to the noncompliance findings identified in our audit described in the accompanying schedule of findings and questioned costs. The City's response was not subject to the other auditing procedures applied in the audit of  Accordingly, no such opinion is expressed.  control over compliance that we: identified during the audit.  Other Matters  respect to these matters.  compliance and, accordingly, we express no opinion on the response.  50    DRAFT 10.23.2024  Report on Internal Control over Compliance  A deficiency in internal control over compliance exists when the design or operation of a control over compliance does not allow management or employees, in the normal course of performing their assigned functions, toj prevent, or detect and correct, noncompliance with at type ofcompliance requirement ofa federal program on a timely basis. A material weakness in internal control over compliance is a deficiency, or a combination of deficiencies, ini internal control over compliance, such that there is a reasonable possibility that material noncompliance withat type ofcompliance requirement ofai federal program will not bej prevented, or detected and corrected, on a timely basis. A significant deficiency in internal control over compliance isa deficiency, or a combination of deficiencies, in internal control over compliance with a type of compliance requirement of a federal program that is less severe than a material weakness in internal control over Our consideration ofinternal control over compliance was for the limited purpose described in the Auditor's Responsibilities for the Audit of Compliance section above and was not designed to identify all deficiencies ini internal control over compliance that might be material weaknesses or significant deficiencies in internal control over compliance. Given these limitations, during our audit we did not identify any deficiencies in internal control over compliance that we consider to be material weaknesses, as defined above. However, material weaknesses or significant deficiencies in internal control over compliance may exist that were: not Our audit was not designed for the purpose of expressing an opinion on the effectiveness ofinternal control Thej purpose of this report on internal control over compliance is solely to describe the scope of ourt testing of internal control over compliance and the results of that testing based on the requirements of the Uniform  compliance, yet important enough to merit attention by those charged with governance.  identified.  over compliance.. Accordingly, no such opinion is expressed.  Guidance. Accordingly, this report is not suitable for any other purpose.  Moran & Smith LLP Tallahassee, Florida November 4, 2024  51    DRAFT 10.23.2024  MORANESMITH LLP CetfsdPasisAcmmtemp MORANSMITHCFA.COM  2260 WEDNESDAY: STREET STE 400 TALLAHASSEE, FLORIDA 32308 850.879.0636  INDEPENDENT AUDITOR'S REPORT ONI INTERNAL CONTROL OVER FINANCIAL: REPORTING AND ON COMPLIANCE, AND OTHER MATTERS BASED ON ANAUDIT OF FINANCIALSTATEMENTS PERFORMED IN ACCORDANCE  WITH GOVERNMENT AUDITINGSTANDARDS  Tot the Honorable City Commission, City of Apalachicola, Florida:  Wel have audited, in accordance with the auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Govermment Auditing Standards issued by the Comptroller General ofthe United States, thei financial statements ofthe governmental: activities and eachi major fund of City of Apalachicola, Florida (the "City"), as of and for the year ended September 30, 2023, and the related notes to thei financial statements, and havei issued our report thereon dated November4,2 2024.  Internal Control over Financial Reporting  Inj planning and performing our audit oft the financial statements, we considered the City's internal control over financial reporting to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the financial statements, but not for the purpose of expressing an opinion on the effectiveness ofthe City'si internal control. Accordingly, we do not express an opinion on the A deficiency in internal control exists when the design or operation ofa control does not allow management or employees, in the normal course of performing their assigned functions, toj prevent, or detect and correct, misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal control, such that there is a reasonable possibility that a material misstatement of the entity's financial statements will not be prevented or detected and corrected on a timely basis. We consider the deficiencies described int the accompanying schedule ofp prior year findings tol bei material weaknesses, 2017- A: significant deficiencyi isa a deficiency, or a combination of deficiencies, ini internal control thati is less severe than ai material weakness, yet important enough to merit attention by those charged withgovernance. Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed toi identify all deficiencies ini internal control that might be material weaknesses or significant deficiencies. Given these limitations, during our audit we did noti identify any deficiencies in internal control that we consider to be material weaknesses. However, material weaknesses may exist that  effectiveness oft the City'si internal control.  001,2017-002, 2017-004, and 2021-001.  have not beeni identified.  52    DRAFT 10.23.2024  Compliance and Other Matters  As part of obtaining reasonable assurance about whether the City's financial statements are free from material misstatement, we performed tests ofi its compliance with certain provisions of laws, regulations, contracts, and grant agreements, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests disclosed instances ofnoncompliance: or othermatters that are required tol bei reportedunder Govermment, Auditing Standards and which are described in the accompanying schedule of prior year findings as item 2017-002, 2017-004 and  2021-001. Purpose ofThis Report  Thej purpose of this report is solely to describe the scope of our testing of internal control and compliance and the results of that testing, and not to provide an opinion on the effectiveness of the City's internal control or on compliance. This report is an integral part of an audit performed in accordance with Govermment Auditing Standards in considering the entity'si internal control and compliance. Accordingly, this communication is not  suitable: for any other purpose.  Moran & Smith LLP Tallahassee, Florida November 4, 2024  53    DRAFT 10.23.2024  MORANESMITH LLP Certified Public Accountants MORANSMITHCFA.COM  2260 WEDNESDAY STREET: STE 400 TALLAHASSEE, FLORIDA 32308 850.879.0636  INDEPENDENT. AUDITOR'S REPORT ON COMPLIANCE WITHTHE REQUIREMENT OF SECTION 218.4151 FLORIDA SATUTES  Tot thel Honorable City Commission, City of Apalachicola, Florida:  We have examined the City of Apalachicola, Florida (the "City"), compliance with the requirements of Section 218.415, Florida Statutes, Local Govermment Investment Policies; during the fiscal year ended September 30, 2023, as required by Section 10.556(10)(a), Rules of the Auditor General. Management is responsible for the City's compliance with those requirements. Our responsibility is to express an opinion Our examination was conducted in accordance with attestation standards established by the American Institute of Certified Public. Accountants. Those standards require that we plan andj perform the examination to obtain reasonable assurance about whether compliance with the specified requirements listed above isi in accordance with the criteria, in all material respects. An examination involves performing procedures to obtain evidence about the City's compliance with those requirements. The nature, timing, and extent oft the procedures selected depend on our judgement, including an assessment oft the risks ofi material misstatement ofc compliance with the specified requirement listed above, whether due to fraud or error. We believe that our examination provides a reasonable basis for our opinion. Our examination does not provide a legal In our opinion, the City complied, in all material respects, with the aforementioned requirements for the  on the City's compliance based on our examination.  determination on the City's compliance with specinedrequirements.  fiscal year ended September 30,2023.  Moran & Smith LLP Tallahassee, Florida November4 4, 2024  54    DRAFT 10.23.2024  MORANESMITH LLP Certified! PublicAccountantsy MORANSMITHCFA.COM  2260 WEDNESDAY: STREETSTE400 TALLAHASSEE, FLORIDA 32308 850.879.0636  INDEPENDENT AUDITOR'S MANAGEMENTLETTER  Tot the Honorable City Commission, City of Apalachicola, Florida: Report on the Financial Statements  We have audited the financial statements oft the City of Apalachicola, Florida (the "City") as ofa and for the fiscal year ended September 30, 2023, and have issued our report thereon dated November 4,2024. We conducted our audit in accordance with auditing standards generally accepted in the United States of America; the standards applicable to financial audits contained in Govermment Auditing Standards, issued by the Comptroller General oft the United States, and Chapter 10.550, Rules oft the Florida Auditor General. Section 10.554(1)G)1., Rules oft the Auditor General, requires that we determine whether or not corrective actions have been taken to address findings and recommendations made in the preceding annual financial audit report. Corrective actions have been taken to correct prior year finding 2021-002, but have not been taken to address the remaining findings and recommendations. made int the preceding annual financial audit  Auditor's Responsibility  Prior Audit Findings  report.  Official Title and Legal City  Section 10.554(1)()4., Rules of the Auditor General, requires that the name or official title and legal authority for the primary government and each component unit of the reporting entity be disclosed in the management letter, unless disclosed in the notes to the financial statements. The name or official title and legal City of the primary government and component unit are disclosed in the notes to the financial  statements. Financial Condition  Section 10.554()0-a,and 10.556(7) Rules of the Auditor General, require us to apply appropriate procedures and communicate the results of our determination as to whether or not the City has met one or more of the conditions described in Section 218.503(1), Florida Statutes, and identification of the specific conditions met. In connection with our audit, we determined that the City did not meet any oft the conditions  described in Section 218.503(1), Florida Statutes.  55    DRAFT 10.23.2024  Pursuant to Sections 10.554(1)0)5.b. and 10.556(8), Rules of the Auditor General, we applied financial condition assessment procedures for the City. It is management's responsibility to monitor the City's financial condition, and our financial condition assessment was based inj part on representations. made by Section 10.554(1)()2., Rules ofthe Auditor General, requires that we address in the management letter any recommendations to improve financial management. In connection with our audit, we did not have an such  management and the review of financial information provided by same.  recommendations.  Special District Component Units  Section 10.554(1)0)5.c., Rules of the Auditor General, requires, if appropriate, that we communicate the failure ofa special district that a component unit ofa county, municipality, or special district, to provide the financial information necessary for proper reporting of the component unit within the audited financial statements of the county, municipality, or special district in accordance with Section 218.39(3)(b), Florida Statues. In connection with our audit, we didi notnote any special district component units that failed toj provide thei necessary information for proper reporting in accordance with Section 218.39(3)(b), Florida Statues. Section 10.554(1)()3., Rules of the Auditor General, requires us to communicate noncompliance with provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that have an effect on the financial statements that is less than material but warrants the attention of those charged Our management letteri isi intended solely for thei information and use oft the Legislative Auditing Committee, members oft thel Florida Senate and the Floridal House ofl Representatives, thel Florida Auditor General, Federal and other granting agencies, the City Commission, and applicable management, and is not intended tol be and  Additional Matters  with governance. In connection with our audit, we did not have any such findings.  Purpose of this Letter  should not be used by anyone other than these specified parties.  Moran & Smith LLP Tallahassee, Florida November4, 2024  56    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA SCHEDULE OF PRIOR YEAR FINDINGS FOR THE YEAR ENDED SEPTEMBER: 30,2023  PRIOR YEAR  2017-001 Segregation of duties (Prior years 2016-001 and 2015-00Dnitially reported in 2004) Condition: due tot thes small number ofstaff, the city doesn'tl have proper segregation of duties in many areas. Duet to thel lack ofsegregation ofduties and limited internal controls the City Manager currently has the ability toi issue and approve cash disbursements; reconcile the cash accounts; input, edit, approve accounting. journal Criteria: Toj provide effective control and help prevent deposits from being stolen, each oft these duties should Effect: This situation provides opportunity for errors and unauthorized transactions to not be detected in a Recommendation: We recommend that the City segregate duties as much as possible and implement Views ofl Responsible Officials and. Planned Corrective Action: As1 reported inj prior audit reports, thisi issue results from the limited number of employees in the city office. The City is actively search for ai new Finance 2017-002 Significant Adiustments to the Financial Records (Prior years 2016-0002 and 2015-002) Condition: Adjustments were needed in order for the finançial statements to conform to generally accepted Criteria: The requirement is for the City to be able to provide materially correct financial information. Effect: The auditors proposed a number ofj journal entries which the City reviewed and approved. Recommendation: While we realize no adjustments required may not be possible, we recommend that the accounting staff continue to strive toward minimizing the number of proposed audit adjustments that have Views of Responsible Officials and Planned Course of Action: The City is hiring a new finance director, 2017-004 Property and Equipment Records and Disposal Procedures (Initially reported in 2017) Condition: Property and equipment records were not complete per the requirements set by the state ofE Florida and the property and equipment is not being properly tagged. An inventory was not taken during the year ended September 30, 2022, that can be agreed to the general fixed asset records presented in the audit report.  entries; and prepare the financial information.  bes separated. timely manner.  mitigating controls where segregation ofduties is not possible.  Director to helpi in segregating duties. (Initially reported in 2007) accounting principles.  been required.  and the City is making significant strides in reducing the number of audit adjustments.  57    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA SCHEDULE OF PRIOR YEAR: FINDINGS FOR' THE YEAR: ENDED SEPTEMBER: 30, 2023  Criteria: A documented physical inventory and inspection of property and equipment should be conducted at least annually" This is required by the state ofFlorida per rule 691-73.. A reconciliation should be completed between the current year additions on the property listing and the capital outlay accounts for the year. The inventory logs should1 ber reviewed for errors. Finally, a tag system should bei implemented: and used throughout Effect: By not tracking assets appropriately the City may fail to detect and correct errors in property and equipment records in a timely manner. There is also aj possibility of property theft or misplacement without the City's knowledge or overstatement ofproperty and equipment for assets not! being disposed ofin at timely manner. Finally, the City may not have the necessary records associâted with funding sources to verify assets Recommendation: We recommend that the City work to improve procedures related to tracking assets, including their disposal in accordance with the requirements set forth in State of Florida Rule 691-73. Views of Responsible Officials and Planned Corrective Action: Subsequent to September 30, 2022, the City has completed an: audit ofall realj property. Thej project continues as all deeds and titles have been verified. Also, all vehicles and major equipment have been inventoried. Currently, all titles are being verified. Each of  the city tol keep track oft the City's assets.  are disposed of as required by grantors, when applicable.  these lists is being reconciled to the City'si insurance policies to verify coverage.  2021-001 General Ledger Posting  Condition: The cityl lost its Finance Director right after year end and didi not get any audit adjustments posted from the 2021 annual audit. The City did not have experienced accounting staff posting daily activity, and numerous items were not posted correctly or at all. There were no financial statements being provided to the Board. Cash, accounts receivable, accounts payable, general long-term debt, utility! billings, and state revenues Criteria: The requirement is for the City to be able toj provide materially correct financial information. Effect: The auditors proposed al large number ofj journal entries which the City reviewed and approved. Recommendation: While we: realize no adjustments required may not be possible, we recommend that the accounting staff continue to strive toward minimizing the number of proposed audit adjustments that have Views of Responsible Officials and Planned Course of Action: The City is hiring a new finance director and is in the process of switching general ledger software systems. The City is working on having the 2023 general ledger in much better condition for the upcoming audit andi is making significant strides in preparing  were not being reconciled on ai monthly basis.  been required.  monthly general ledgers and monthly reconciliations ofk key accounting accounts.  58    DRAFT 10.23.2024  MORANASMITHIP Certified PublicAccoumtanto) MORANSMITHCFA.COM  2260 WEDNESDAY: STREET STE4 400 TALLAHASSEE, FLORIDA32308 850.879.0636  INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITHTHE REQUIREMENTS OF SECTION 288.8018 FLORIDASTATUTES  To thel Honorable City Commission, City of Apalachicola, Florida:  We have examined the City of Apalachicola, Florida's (the "City's") compliance with the requirements of Section 288.8018, Florida Statutes, Gulf Coast Audits, for the year ended September 30, 2023. Management isr responsible for the City's compliance with those requirements. Our responsibility is to express an opinion Oure examination was conducted in accordance with attestation standards established byt the American Institute ofCertified! Public. Accountants. Those standards require that we plan and perform the examination to obtain reasonable assurance about whether the City's compliance with the requirements of Section 288.8018, Florida Statutes, Gulf Coast Audits, is in accordance with criteria, in all material respects. An examination involves performing procedures to obtain evidence about the City's compliance with Section 288.8018, Florida Statutes, GulfCoast Audits. The nature, timing, and extent of thej procedures selected depend on ourj judgment, including an assessment of the risks ofi material misstatement oft the City's.compliance with Section 288.8018, Florida Statutes, GulfCoast Audits, whether due to fraud or error. Wel believe that the evidence we obtained Our examination does not provide legal determination on the City's compliance with specified requirements. Inc our opinion, the City complied, in all material respects, with the aforementioned requirements for the year  on the City's compliance based on our examination.  iss sufficient and appropriate toj provide ai reasonable basis for our opinion.  ended September 30, 2023. Moran & Smith LLP Tallahassee, Florida November 4,2024  60    DRAFT 10.23.2024  MORANSMITHUIP Certified! PublicAccountanty MORANSMITHCFA.COM  2260 WEDNESDAY STREET STE 400 TALLAHASSEE, FLORIDA 32308 850.879.0636  INDEPENDENT. AUDITOR'S REPORT ON' THE SCHEDULE OF RECEIPTS. AND EXPENDITURES OF FUNDS RELATEDTOTHE DEEPWATER HORIZON OIL: SPILL  To the Honorable City Commission, City of Apalachicola, Florida:  Wel have audited thei financial statements oft the City of Apalachicola, Florida (the City), as ofand: for the year ended September 30, 2023, and have issued our report thereon dated November 4, 2024, which contained an unmodified opinion on those financial statements. Our audit was performed for the purpose of forming an The Schedule of Receipts and Expenditures of Funds related to thel Deepwater Horizon Oil Spill on page 62 is presented for thej purpose ofa additional analysis as required by Chapter 288.8018, Florida Statutes, and the Rules oft the Auditor General Chapter 10.557(3)(f): and is not a required part ofthe financial statements. Such information is the responsibility of management and was derived from and relates directly to the underlying accounting and other records used toj prepare the financial statements. Thei information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing andi reconciling suchi information directly tot thet underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, thei information is fairly stated in all: material respects in relation to the financial statements as  opinion on the financial statements as a whole.  awhole.  Moran & Smith LLP Tallahassee, Florida November4, 2024  61    DRAFT 10.23.2024  CITY OF APALACHICOLA, FLORIDA SCHEDULE OF RECEIPTS. AND EXPENDITURES OF FUNDS RELATED TO THEI DEEPWATER HORIZON OIL; SPILL FOR' THE YEAR ENDED SEPTEMBER 30, 2023  Amount Received int the 2023-2024 Fiscal Year $ $  Amount Expended int the 2023-2024 Fiscal Year  Source  British Petroleum: Agreement Settlement Total  0 0  $ $  0 0  62    APALACHICOLA CITY COMMISSION REQUEST FOR BOARD ACTION Meeting Date: November 5, 2024 Southern Rail Commission Letter of Support  SUBJECT:  AGENDA INFORMATION: Agenda Location: New Business Item Number: Department: Contact: Presenter:  2 Administration Travis Wade Travis Wade  BRIEF SUMMARY: Atits August 29th meeting, the Apalachee Regional Planning Council (ARPC) adopted Resolution 24 3 supporting passenger rail and unanimously voted tol have staff send al letter to Governor DeSantis, requesting that the State of Florida join the Southern Rail Commission with the goal of bringing back passenger rail to North Florida. Additionally, the ARPC asked staff to distribute a template letter to alll local governments within the Apalachee Region for theiru use. Back in 2022, the City sent out a similar letter to thel FDOT: Secretary. The ARPC has updated the template letter with new information and it is now intended to be sent to Governor DeSantis. The. ARPC has asked for the City Commission's vote to support the passenger rail for North Florida by directing the City Manager to send the attached letter of  support to Governor DeSantis.  RECOMMENDED MOTION AND REQUESTED ACTIONS: Motion to approve the letter of  support  FUNDING SOURCE: N/A  ATTACHMENTS: Letter of Support, ARPC Resolution 24-3. STAFF'S COMMENTS AND RECOMMENDATIONS:    Mayor Brenda Ash Commissioners Anita Grove Adriane Elliott Despina George Donna Duncan  City Manager Travis Wade Finance Director Lee Mathes City Clerk Sheneidra Cummings City Attorney Dan Hartman  CITY OF APALACHICOLA  Ts1  192 Coach Wagoner Boulevard . Apalachicola, Florida 32320. 850-653-9319 . Fax 850-653-2205 - wwalyclapalachtolacon  The Honorable Governor Ron DeSantis Office of Governor, Ron DeSantis State of Florida The Capitol 400 S. Monroe St. Tallahassee, FL32399-0001 November 5,2024  RE: Request for the State of Florida to join the Southern Rail Commission  Dear Governor DeSantis:  The City of Apalachicola offers its overwhelming support for the State of Florida to become a member and joint the Southern Rail Commission (SRC). Originally formed in 1982, though an Interstate Rail Compact, the SRC has evolved over time with a vision to promote the safe, reliable, and efficient movement of people and goods to enhance economic development along rail corridors; provide transportation choices; and facilitate emergency evacuation routes. The route previously named "Sunset Limited" connected New Orleans to. Jacksonville, and as you are no doubt aware, this route was suspended after Hurricane Katrina destroyed the western portion oft the tracks in September 2005, followed by the destruction of Hurricane Michael in our Region in October 2018. Restoration of this passenger rail route  would provide several key! benefits including but not limited to:  Enhancement of economic development opportunities, not only for local business, but for the Increased connectivity to other rail lines in the! State. Connecting the Panhandle to the Promoting transportation choices that support the Region and State's workforce and tourism  entire State of Florida. Peninsula. industries.  Additional options/routes for emergency evacuations.  The SRC currently consists of Alabama, Louisiana, and Mississippi, however contiguous states are eligible to become members. The SRC has helped secure millions of dollars in funding along the Gulf Coast, including $178M in federal grant funding in September 2023 to restore passenger rail from New Orleans, LA to Mobile, AL. The SRC has also identifieda project connecting the entire Gulf Coast with services from Baton Rouge, LA to Orlando, FL called the Gulf Coast  Passenger Rail.  Incorporated 1837 - Omflanla:Olathiaons Seaports    The re-establishment oft the Gulf Coast Passenger Raill Route would have a significant economic impact to the Apalachee Region. Therefore, the City of Apalachicola, is enthusiastically requesting that the State of Florida joint the Southern Rail  Commission tot take advantage of additional resources to further advance passenger rail initiatives. Please feel free to contact Travis Wade, City Manager, for questions or additional information.  Sincerely,  Mayor Brenda Ash    APALACHEE REGIONAL PLANNING COUNCIL  Local Partnerships. Regional Impact.  ARPC RESOLUTION No. 24-03  ARESOLUTION of the Apalachee Regional Planning Council (hereafter referred to as the "ARPC") certifyingi its support for the State of Florida toj joint the Southern Rail Commission (SRC). WHEREAS, the ARPCi is comprised ofr nine (9) counties and their respective municipalities int the WHEREAS, the ARPCS serves as a Regional Transportation entity, and the enhancement of local transportation infrastructure, including a Gulf Coast Passenger Rail line, will increase commute options and connectivity to the Region but also connect to other existing and planned rail networks within the WHEREAS, the ARPCS serves as an Economic Development District, and believes the addition ofa passenger rail system is aj proactive approach to maintain and create employment opportunities benefiting its citizens, asi identified in the Regional Economic Development Strategy, including tourism- WHEREAS, the Apalachee Region has endured the devastation of Hurricane Michael andi is stilli in the WHEREAS, the Apalachee Region isi in need of additional and alternative travel modes that allow for  panhandle of north Florida; and  state; and  related industries, while still supporting the quality of life int the Region; and  recovery/rebulding process following said hurricane; and  evacuation during a natural disaster; and  NOW, THEREFORE, BEI IT RESOLVED BY THE BOARD THAT:  1. THE APALACHEE REGIONAL PLANNING COUNCIL HEREBY AGREES TO SUPPORT THIS ACTION; 2. THE APALACHEE REGIONAL PLANNING COUNCIL HEREBY AUTHORIZES ITS CHAIRMANTO EXECUTE THIS RESOLUTION AND ALL OTHER AUTHORIZED AGREEMENTS THAT PERTAIN TOTHIS  RESOLUTION;  3. THIS RESOLUTION SHALL BECOME EFFECTIVE UPON ITS ADOPTION. DULY PASSED AND ADOPTED THIS 29th DAY OF AUGUST: 2024 BYTHE: APALACHEE REGIONAL PLANNING COUNCIL  Riy RickyJones ARPCO Chair www.arpc.org  Chlm Chris Rietow Executive Director  ATTEST:  Dgam  2507 Callaway Rd, Suite 100 Tallahassee, FI32303  850.488.6211  Serving Calhoun, Franklin, Gadsden, Gulf, tsanoAub-y.s Wakulla counties &1 their municipalities    APALACHICOLA CITY COMMISSION REQUEST FOR BOARD ACTION Meeting Date: November 5, 2024 Small Business Saturday Proclamation  SUBJECT:  AGENDA INFORMATION: Agenda Location: New Business Item Number: Department: Contact: Presenter:  3 Administration Mayor Ash Mayor Ash  BRIEF SUMMARY: Women Impacting Public Policy (WIPP) and the Small Business Saturday Coalition are asking the City Commission to renew support for Small Business Saturday", the national effort to drive consumers to shop at local independently owned businesses on the  Saturday after Thanksgiving, November 30, 2024.  RECOMMENDED MOTION AND REQUESTED ACTIONS: Motion to Approve the Proclamation  FUNDING SOURCE: N/A  ATTACHMENTS: Proclamation  STAFF'S COMMENTS AND RECOMMENDATIONS:     41  CITY OF APALACHICOLA  SMALL BUSINESS SATURDAY PROCLAMATION  Whereas, the City of Apalachicola, celebrates our local small businesses and the contributions they Whereas, according to the United: States Small Business Administration, there are 34.7million small businesses int the United States, small businesses represent 99.7% of firms with paid employees, small businesses are responsible for 61.1% of net newj jobs created since 1995, and: small businesses employ Whereas, 68 cents of every dollar spent at a small business int the U.S. staysi in the local community: and every dollar spent at small businesses creates an additional 48 cents in local business activityasaresult of employees sandl local businesses purchasing local goods and services; and Whereas, 59% of U.S. consumers aware of Small Business! Saturday shopped or ate at: as small, independently owned retailer or restaurant on Small Business Saturday 2023; and  make to ourl local economy and community; and  45.9% of the employees in the private sector int the United States, and  Whereas,APalachicol, Florida supports our locall businesses that create jobs, boost our localeconomy, Whereas, advocacy groups, as well as public and private organizations, across the countryhave Now, ertoe.MayereendiAan, Mayorof Apalachicola, Florida doherebyproclaim, November: 30,  and preserve our communities; and  endorsed the Saturday after Thanksgiving as Small Business Saturday.  2024, as  SMALL BUSINESS. SATURDAY  And urge the residents of our community, and communities across the country, to: supportsmall businessesand merchants on Small Business Saturday - celebrating its 15th yeari in 2024- - and Shop  Small throughout the year.  DATED THIS 5TH DAY OF NOVEMBER, 2024  Brenda Ash, Mayor    (GMST)  TM  WHATI IS SMALL BUSINESS SATURDAY9?  Celebrating its 15th year on November 30, 2024, Small Business Saturday, founded and proudly backed by American Express, has illuminated the: significance of supporting small, independently owned businesses across the country. Falling between Black Friday and Cyber Monday, it's a day dedicated to supporting the local small businesses that help create jobs, boost the economy, and keep communities thriving across the country.  WHY SUPPORT SMALL BUSINESS SATURDAY?  Demonstrates a conscious commitment tot the communities in which we live. When we support small businesses, we help create jobs and local communities  Creates goodwill within the communities. preserve their unique culture.  2023 SMALL BUSINESS SATURDAYFACTS:  In2 2023, U.S. consumers reported spending an estimated $17 billion at independent Elected officials in all 50 states, Washington, D.C., Puerto Rico, and other U.S. 716 local governments issued proclamations in support of Small Business Saturday American Express enlisted the: support of5 50 large companies, known as Corporate Supporters, to help drive excitement for and promote Small Business Saturday. The Small Business Saturday Coalition, comprised of national, state and local associations that help coordinate activities for Small Business Saturday with small business owners and consumers, had over a hundred organizations help spread the The American Express 2023 Small Business! Saturday Consumer Insights Survey was conducted by Teneo on! behalf of American Express. The: studyisa anationally representative: sample of 2,483 U.S. adults 18y years of age or older. Thes sample was collected usinga ane emaili invitation anda and online survey." Thes studys gathered self- -reported dataa ando does not reflecta actual receipts, sales or American! Express Card! Member spending data. Itv was conducted: anonymously on! November: 26, 2023.T The survey! has and overallr margin ofe error of +/-2.0%, att the 95%1 level of confidence. Projections arel based ont the current U.S.  retailers and restaurants on Small Business Saturday. territories championed Small Business Saturday. covering all 50 states and Washington, D.C.  Shop Smalle message.  Census estimates oft the U.S. adult population, age 18y years and over.    (ENS)  TM  According tot the 2023 Small Business Saturday Consumer Insights Survey, 61% of consumers strongly agreed that they found a small business ori independently owned restaurant on Small Business Saturday where they are likely to return and  become a regular customer.  JOIN THE COALITION:  Building on the success of previous years, the Coalition of supporters are more committed than ever. This includes support from advocacy organizations that join the initiative to motivate constituents through incentives and offers to not only Shop Small on November The coalition willl be led by Women Impacting Public Policy, al business advocacy  30, 2024, but Shop Small all year long.  organization representing small businesses. Join Us!  ContactInfo:  Small Business Saturday Program Women Impacting Public Policy  Phone: 415-878-1576 I Email: sbscoalitionewpP.OTg    APALACHICOLA CITY COMMISSION REQUEST FOR BOARD ACTION Meeting Date: November 5, 2024  SUBJECT:  ARPA  AGENDA INFORMATION: Item Number: Department: Contact: Presenter:  Agenda Location: Unfinished Business  1 Finance  Commissioner George/Travis Wade Commissioner George/TravisWade  BRIEF SUMMARY: The City's auditors have advised that given the city's ARPA funding is under the $ 10 million threshold, we have the option of recognizing the entire amount of the funding as revenue instead of providing documentation of funding allocated to specific projects. This election would streamline the process of reporting and compliance, while preserving control  over the allocation of funds.  RECOMMENDED MOTION AND REQUESTED ACTIONS: Motion to recognize the remaining  ARPA funds as revenue. FUNDING SOURCE: N/A ATTACHMENTS:  STAFF'S COMMENTS AND RECOMMENDATIONS:    APALACHICOLA CITY COMMISSION REQUEST FOR BOARD ACTION Meeting Date: November 5, 2024 No Wake Ordinance 2024 - 04 Revision  SUBJECT:  AGENDA INFORMATION: Item Number: Department: Contact: Presenter:  Agenda Location: Unfinished Business  2 Administration Travis Wade Travis Wade  BRIEF SUMMARY: Ordinance 2024 - 04 was reviewed by FWC attorneys who requested that the City amend the ordinance to remove certain language. The updated ordinance is being  presented tonight for approval.  RECOMMENDED MOTION AND REQUESTED ACTIONS: Motion to Approve Ordinance 2024  04  FUNDING SOURCE: N/A  ATTACHMENTS: Ordinance 2024-C 04  STAFF'S COMMENTS AND RECOMMENDATIONS:    ORDINANCE 2024-04 (Revision)  AN ORDINANCE RELATING TO CITY OF APALACHICOLA; AMENDING BOATING RESTRICTIONS/REGULATIONS FOR THE SCIPIO CREEK AREA; PROVIDING FOR PENALTIES; PROVIDING FOR CODIFICATION; PROVIDING FOR SEVERABILITY; AND, PROVIDINGFORANI EFFECTIVEDATE.  WHEREAS,DOatingsaretyconcerns were broughttothe: attention of Cityof. Apalachicola  officials around Scipio Creek within the. Apalachicola River; and  WHEREAS, Florida Statutes S 327.46(1)(b) authorizes the City of Apalachicola to establish boatingsafetyzones: by ordinancewithout additional: agencyapprovalya and WHEREAS, the Cityof Apalachicola has elected to establishldle Speed NoWake boating  safetyzones within the Apalachicola River.  NOWTHEREFORE, BEI IT ORDAINED BY THE CITY COMMISSIONOFAPALACHICOLA,  FLORIDA:  SECTIONI.CityofApalacnicolaordinance2024-estabishesthetolefollowingboating  restrictions. 1.  Pursuant to Florida Administrative Code Chapter 68D-23.103, "Idle Speed  No Wake"and* "Idle Speed" may be used interchangeably and mean that a vessel must proceed at a speed no greater than that which will maintain steerageway and headway. At no time is any vessel required to proceed sO slowly that the operator is unable to maintaincontrolover: the vessel oranyothervessel or object that ith hasunder tow. 2. Idle Speed No Wake boating safety zone from shoreline to shoreline, on Scipio Creek, southeast of a line that passes through approximate point (29° 43'51.48"N, 84° 785Wippmdcuariote centerline ofthe waterway, andnorthwest of a linethat passesthroughapproximate. point.29-46.42"N,842M,84-942.65Wlperpendiculartothe  centertine of the waterway, as depicted int the attached Exhibit/ A.    SECTION:2. PENALTY. The provisions of this section may be enforced byany! law enforcement officer as defined in Section 943.10, Florida Statutes. Pursuant to Section 327.73, Florida Statutes, any person cited for a violation of any such provision shall be deemed to be charged witha a noncriminalintraction, shall be cited for such aninfraction, and shall be cited to appear before the county court. The civil penalty for any such infraction is $50, except as otherwise provided for allowable county court costs for boating infractions. Where a statute or administrative rules are referenced herein, this shall mean themostrecently adopted version of said statute and administrativerules.  SECTION 3. REFERENCE TO OTHER AUTHORITY. Where a statute or administrative rules are referenced herein, this shall mean the most recently adopted  version of said statute: and administrative rules.  SECTION 4. CODIFICATION. Theprovisions of this ordinance shall become and be made a part of the code of laws and ordinances of the City of Apalachicola. The sections ofthis ordinancemay ber renumbered ori re-lettered to accompushsuch, andthe dodhmernaylwaanes to "section", "article", or anyo other appropriate word.  SECTION5.EFFEFFECTIVEDATE. This Ordinance shall be effective uponcompletion oft thet following: approvedand: adopted pursuant to the City of Apalachicola's procedure, approval by the Florida Fish and' Wildlife Conservation Commission pursuant to Section  327.46, Florida Statutes and upon posting of there regulatorymarkers.  This Ordinance was read and adopted on Ordinance was made by Commissioner  2024. Motion to adopt second by Commissioner  Voting Aye: Voting Nay:  FOR THE CITY COMMISSION OF THE CITY OF APALACHICOLA    Brenda Ash, Mayor  ATTEST:  Sheneidra Cummings, City Clerk    City Manager Updates  1. Bree Robinson, Cindy Clark, Greg Harris, andImet with stafffrom the Florida Depatmemiofayiomenal Protection to conduct site visits tothev various Critical Asset Flood Mitigation Projects areas. We discussed issues with each of the stormwater conveyances and ensured that they are identified correctly in the projeetsscopeofwork, Futuresitevisits will benecessary prior rtothec completion 2. Ireceived quite a bit of positive feedback from Porchfestafter thev weekend was over. Moving the event to Battery Park was appreciated by many. I had many positivecomments: regarding the cleanliness ofthe town (Public Works picked up debrisand mowerimmedtneparksandpublicareas priortotheweckend). Ialso had several comments regarding the cleanliness of the public restrooms at Commerce Street throughout that weekend. One issue that was raised was the blocking of streets by pedestrians and golfcarts at the porches where bands were located. ChiefVarnes andI I will be meeting with Porchfeststatftodiscuss options 3. Imet with the Warden ofFranklin Correctional Institution to discuss the City's inmatesituation. Becauseofthecondtion oftheCity'syanthatis: used to transport inmates, and the number of inmates that are available to pick up. (which varies greatly),Iinformed the Warden that the City will no longer be pickingi ginmatesup onai regularbasis. However, Isigned the agreement withl FCIand we: still maintain thea ability to1 requestinmates duringprojects where additional labor is necessary. 4. WWTP: Dewberry submitted 90% plans for the new plant on October 22 to FDEP for review. Thepermit application for the new plant has been submitted to FDEP for review as well. Iwas advised that once the 90% plans are: approved the  ofthe project.  toi reduce those complaints next year.  final plans will be submitted soon afterwards.    A Public Hearing and Special Meeting of the Apalachicola City Commission was held on Tuesday, September 10, 2024 at 6:00 PM at the Commission Meeting Room, 74 6th Street, Apalachicola, Present: Mayor Brenda Ash, Commissioner Despina George, Commissioner Anita Grove, Commissioner. Adriane Elliott, Commissioner Donna Duncan, City Manager Travis' Wade, City Clerk Sheneidra Cummings, Finance Director Lee Mathes, Chief of Police Bobby Varnes  Florida.  Meeting opened by Mayor Ash. AGENDA, ADOPTION  Motion to adopt agenda made by Commissioner Grove, seconded by Commissioner Elliott. Discussion, Commissioner George. Commissioner George informed the public that City Attorney advised the Commission to send out an RFP in regards to Insurance item on the agenda; therefore needing to amend the agenda omitting item #3. Commissioner Grove amended her motion to adopt the Agenda omittingi item#3 3and Commissioner Elliott amended her second. None opposed. Motion  carried 4t to 0.  PUBLICCOMMENT insurance renewal. the Community Gardens.  Michael Ritcher (PGIT) each spoke regarding City's property, liability, and workers compensation Susan Lamb commented on the City's budget and the proposed reduction of funds being allocated Clifford Buel commented on the Community Gardens proposed budget and concurred with Susan Tom Connely with the Florida League of Cities announced his presence and offered to answer any Dennis Winterringer commented on the Reforestation Fund and requested that the City carry-over ValWebb commented ont the increased insurance out-of-pocket costsi for Cityemployees: and asked  Lamb  questions the Commission had regarding iInsurance and our current provider. funds from the previous year and havei iti reflected int the 24-25 FY Budget. the Commission to reconsider the allocation1 for the City's Community Garden.  Noi further public comment.    9.10.24 PUBLIC HEARING & SPECIAL MEETING Discussion summaries are as follows,  Page: 2of4  Mayor Ash asked Finance Director Lee Mathes to clarify some concerns expressed by the public.  Health Insurance Premium.ncrease. and Property: and Liability Insurance DiscussionSummary FDI Leel Mathes informed the Commissiont that the City! hasi maintained its Capital Health Plan health insurance plan; however, insurance premiums havei increased fort the existing plan which increased the out-of-pocket max for both individuals and family plans. FD Mathes also informed the Commission that the current Property & Liability Insurance carrier was able to reduce our currents rates and match the proposal presented by Mr. Richter. Mayor Ash recommended having an independent Insurance Agent review and compare both proposals and report back to the  Commission.  Community Gardens DiscussionSummary  Commissioner Grove identified that the budget for the Farmer's Market was $1,000. And proposed that the Cityreallocate those funds to the Community Gardens budget increasing their budget from  $300 to $1,300.  Lafayette Grant Match DiscussionSummary  The Commission suggested that FD Mathes remove the grant match funds from the Park & Rec budget expense and utilize carry-forward funds being allocated to the Reforestation Fund to cover The Commission alsoi instructed FDI Mathes to re-allocate $2,000.1 toi the Parks & Rec. Budget fort the  the required $10,000. Dixie League donation. Discussionheld. PUBLIC HEARING  Finance Director Lee Mathes informed the Commission that they have meet TRIM compliance and Commissioner George read the Public Hearing public announcement on record. Summary of  recommended moving forward with the Public Hearing.  announcement: are as follows,  CityofA Apalachicola Budget Information:  General Fund:  $4,355,084    9.10.24 PUBLICHEARING & SPECIAL MEETING  Page 3 of4  Enterprise Fund: Total Budget:  $3,158,750 $7,513,834  Millage Rate tol be Levied: 8.3457 Mills  The percentage by which this millage rate to be levied is a 10.68% increase oft the rolled back rate of  7.5402.  This is thet final public hearing to adopt the FY: 24/25 Millage Rate and Budget.  Commissioner George proceeded to read Resolution 2024-07 by title, levying the Ad Valorem  Property Tax Millage Rate. Public Hearingclosed. SPECIALMEETING RESOLUTION2024-07  Commissioner George read Resolution 2024-07i ini its entirety.  Amotion was made by Commissioner Grove, seconded by Commissioner George. No discussion.  None opposed. Motion carried 5-0.  ORDINANCE! 2024-06  Commissioner George read Ordinance: 2024-061 fort the 24-25FYE Budget on record andi in its entirety. Amotion was made by Commissioner Grove, seconded by Commissioner Duncan. No discussion.  None opposed. Motion carried  Mayor Ash summed upi the recommended budget changes regarding the Community Gardens, Lafayette Grant Matchi funds, and the re-allocation for the Dixie League. Not further discussion.  ADIOURNMENT  Amotion to adjourn made by Commissioner Elliott, seconded by Commissioner George. None  opposed. Motion carried, 5-0. Meeting adjourned.    9.10.24 PUBLIC HEARING & SPECIAL MEETING  Page 4of4  BRENDA ASH, MAYOR  SHENEIDRA CUMMINGS, CITY CLERK    A Workshop Meeting oft the Apalachicola City Commission was held on Tuesday, October 8, 2024, at 6:00 Present: Mayor Brenda Ash, Commissioner Despina George, Commissioner. Anita Grove, Commissioner Adriane Elliott, City Manager Travis Wade, City Clerk Sheneidra Cummings, (Absent: Commissioner  PM: at the Commission Meeting Room, 74 6th Street, Apalachicola, Florida.  Duncan)  Workshop Meeting opened by Mayor Asht followed byi invocation and Pledge of Allegiance.  PRESENTATION  Brett Hamlin, with Hammond Design Group opened thel Popham Building discussion and presented various updates. Mr. Hamlin asked the Commission for direction and public input regarding the future if the Mr. Hamlin recommend demolishing the Popham Building stating that the structure is beyond repair and suggested that the building be dismantled down to the 1st floor platform to address the hazard(s) and to further secure the site. For more information, page 7 of the Agenda packet references the engineer's  building and/or site. Discussion held.  recommendation.  Further Discussion held.  City Planner Bree Robinson provided an update on the last meeting with Dept of. Commerce (DOC), informing the Commission that DOC approved the amended scope that included the partial demolition. Mayor Ash inquired about associated cost. Bree and Brett confirmed that funding to demo the building can be covered from the CDBG Funds along with the cost for construction documents. Commissioner Grove recommended that a copy ofa allo documentation produced from thel Hammond Group regarding the Popham Building be provided to the. Apalachicola Historical Society, Library archives, and City Planner for record purposes. Commissioner Grove expressed concern about the stabilization of the pilings and inquired if the funds would cover the cost of stabilization. Mr. Hamlin replied that the existing funding would not cover the stabilization of the existing pilings. Commissioner Grove would like tos salvage the some of the metal, wood, and doors from the building. Commissioner Grove stated that the initial funds to purchase the Popham Building was provided by Community Affairs and suggested informing the original Grantor (or subsequent Org.) oft the City's plan to demolish to avoid any push-back. Manager Wade responded to Commissioner Grove: stating that al Rep: at thel Florida Community Trust (FCT) informed him that the City would need to keep them informed on any plans to demolish and seek their approval for anyf future use oft the space. Manager Wade further stated that the FCT is more interested in the future use of the: site implying that they would like to see educational, recreational, and conservation  activities remain thet focus for the space.    10/8/24 CCWS- Popham Building Discussion  Page 2of3  Commissioner George inquired about the original 300k grant allocation for the Popham Building. Mr. Hamlin stated that, based on his knowledge, the $300,000 that was initially allocated for the Popham Building will continue tol be appropriated fort the revised use that was approved by Dept. of Commerce i.e., preparation of demolition documents and a complete set of structural plans for future funding opportunities, as well as, to demolish the building down to the 1st floor platform. Commissioner George suggested consulting with local craftsman and salvaging the building and materials. Commissioner George  suggested ar minimal design ift there is as structure at all.  Discussion held.  Commissioner Elliott concurred with the fellow Commissioner and suggested prioritizing getting the building secured as moving forward with demolition plans to resolve the blight and hazard(s). and not sure ifa structure should be placed there. Commissioner Elliott expressed concerns about erecting another structure and mentioned associated costs to run and maintain another City-owned building. Commissioner Elliott suggested that if the Commission decides to erect another structure that it be in support of existing focal attractions in that area, functional, and in conjunction with the Battery Park City Planner Bree informed the City of thei timeline and have until Sept 20141 to get the construction plans  Marina. for demolition.  Mayor Ash summarized the discussion as follows, Watertront and the Battery Park Marina.  Direction for Hammond Design Group, LLC: Prepare design documents that reflect an open-air concept, a 1500-2500 sq ft. building, and a conceptual plan that would be functional and in alignment with Working Mayor Ash suggested having City Planner, a Commissioner and a Citzen/volunteerts) to brainstorm: some concept ideas for the building and provide feedback to the Commission. City Planner concurred and Mayor Ash asked Bree to produce names to be considered for the volunteer(s), and the Commission recommended Commissioner Grove tor meet with Bree and Mr. Hamlin and bet the Commisionerom-board  suggested that the discussion be posted online and' in newspaper for publici input. tol bei included int the brainstorm discussion for conceptual plans fort the site.  ADJOURNMET Motion carried, 4-1.  Motion to adjourn made by Commissioner Elliott, seconded by Commissioner Grove. None opposed.    10/8/24 CCWS- Popham Building Discussion  Page 3 of3  BRENDA. ASH, MAYOR  ATTEST:  SHENEIDRA CUMMINGS, CITY CLERK    CITY OF APALACHICOLA PLANNING & ZONING BOARD REGULARI MEETING Monday, September gth, 2024 City Meeting Room - 746th Street Minutes  Attendance: Chase Galloway = Vice Chair, Myrtis Wynn, Greg Golgowski, Elizabeth Milliken,  Jim Bachrach, Lee McLemore Regular Meeting: 6:00 PM  1. Approval of August 12th, 2024 meeting minutes.  a. Motion to approve by Jim Bachrach; 2nd by Myrtis Wynn - all in favor, motion  carried.  2. Review, Discussion and Decision for Sign. (R-2) @ 192 Coach Wagoner Blvd., Block 137.  For Bring Me A Book Forgotten Coast Owner; Contractor: Sign Design  a. Motion to approve by Jim Bachrach; 2nd by Elizabeth Milliken = all in favor, motion  carried.  3. Review, Discussion and Decision for Sign & Certificate of Appropriateness (C-1) (Historic District) @ 58 Avenue E, Block 91 Lot 4-5. For Edgewater Group LLC - Owner; Contractor: a. Motion to approve by Jim Bachrach; 2nd by Greg Golgowski - all in favor, motion  Sign Design  carried.  4. Review, Discussion and Decision for Fence, Renovation, Addition, & Certificate of Appropnateness (R-1) (Historic District) @ 137 10th Street, Block 71 Lot 6. For Pat  Lindquist- Owner; Contractor: Self  a. Motion to approve by Jim Bachrach; 2nd by Elizabeth Milliken - all in favor, motion  carried.  5. Review, Discussion and Decision for Sign & Certificate of Appropriateness (R-1) (Historic District) @ 29 5th Street, Block 11 Lot 8. For Lured Aweigh Rental - Owner; Contractor: TBD a. Motion to approve contingent upon sign stating that it is a monthly rental by Lee  McLemore; 2nd by. Jim Bachrach - all in favor, motion carried.  1    CITY OF APALACHICOLA PLANNING &2 ZONING BOARD REGULAR MEETING Monday, September: gth, 2024 City Meeting Room- - 746th Street Minutes  6. Review, Discussion and Decision for Accessory Structure & Certificate of Appropriateness (C-4) (Historic District) @ 190 Market Street, Block 51 Lot4-5. For David Drew Owner; a. Motion to approve by Jim Bachrach; 2nd by Lee McLemore - all in favor, motion  Contractor: Self carried.  7. Review, Discussion and Decision for Accessory Structure & Certificate of Appropriateness (R-1) (Historic District) @ 112 Avenue C, Block 35 Lot 8. For Andy Smith - Owner; a. Motion to approve by Lee McLemore; 2nd by Myrtis Wynn = all in favor, motion  Contractor: Construct Group SE Inc  carried.  8. Review, Discussion and Decision for Sign & Certificate of Appropriateness (C-2) (Historic District) @ 911 Address Needed, Block 160 Lot1 &1 % Lot 2. For LaRaela Lee Coxwell & a. Motion to approve contingent upon 911 address being assigned by Jim Bachrach; 2nd by Lee McLemore - all in favor, motion carried.  Glen Coxwell - Owner; Contractor: TBD  9. Review, Discussion and Decision for Rehablaton,Adallon, & Certificate of  Appropriateness (R-1) (Historic District) @ 221 8th Street/97 Avenue L, Block 172 Lot 10& a. Discussion - board agreed on concept, but Lee McLemore stated that they should table for a redesign based on comments and discussion. b. Motion to approve of the concept, but to table for redesign with architectural plans by Jim Bachrach; 2nd by Myrtis Wynn - all in favor, item tabled.  %9. For Edgar & Lisa Lugo - Owner; Contractor: TBD  Motion to adjourn the meeting by Chase Galloway; 2nd by Lee  McLemore = meeting adjourned.  2    APALACH  CITY OF APALACHICOLA CITY CLERK'S DEPARTMENT REPORT  October 2024  Processed and mailed out utility bills before the end of the month.  Prepared Sept and October Meeting Minutes  Compiled agenda packets and emailed to Commission and City Attorney. Notified 2K Web Group to upload meeting agenda packets to website and post meeting Assisted customers with cemetery items, utility bill questions and payments, garbage/yard trash complaints, public records request, golf cart decals, Battery Park ramp stickers, business licenses, and other miscellaneous duties.  dates and times to website.  Processed ACHI billing  Audited Waste One Garbage Invoice and reconciled accounts that were in error  Completed tasks as assigned by the City Manager and Mayor. Fulfilled 4 Public Records Request; 2 open requests Completed and mailed general monthly billing. Assisted Staff with various issues and projects. Assisted employees with HR related issues Issued 24-25FY Business Tax Receipts  Ini the process ofverifying data for Banyon Property Management On-going training of Receptionist and Billing Clerk. Completed billing adjustments and' Water deposit refund requests Responding to emails and fulfilling requests that requires research  Additional tasks related to maintaining the Clerk's Office and overseeing Utility Billing    City of Apalachicola Public Works Monthly Report  October 2024  The public works department, services all city vehicles and replaces all the tires on city vehicles, services all the mowers and weed eaters, cut all city parks, cut all city properties, empty all garbage cans downtown and city parks, clean city righto ofways, cut city righto ofways, and patch holes on city  roads as needed.  Completed 10 work orders.  Serviced and replaced brakes on cityvehicle. Collected trash from downtown and public parks. Cutour routine main roads parks and cemeteries.; Loaded and hauled several loads of yard debris. Cleaned around several stop signs in town for safety. Repaired urinals at public restrooms on commerce St. Built a retainer wall on Ellis van Vleet ditchi for pump station.  Replaced tires on cityvehicle. Repaired locks in door at library.  Picked up debris from hurricane Helene. Patch roof over fitness center. Repaired a/c plug at library. Cut and removed tree on MLK.  Cut and removed several palm trees at battery park.  Completed by Robert Osburn    Grant Updates  CityCommission Meeting- Tuesday, November 5th 2024 1. Commerce Rural Infrastructure Fund -Well Rehabilitation  Submitted Applications- Pending Results:  a) An application requesting $344,250t tor rehabilitate the City's three wells was submitted on 9/13/24. The spedifictechnology requested would allow for quicker repairs and lessen the risk of future boil water notices. No match was required for the Cityt to apply. There is $15 million available statewide- a) An application requesting $185,000 for replacement oft the dock boards at Riverfront Park was 3. FDACS- UCF-C Grant Program- - Lafayette Park Tree Canopy Improvements Project (Requested $10,000, a) An application requesting funding for the planting of 34t treesi in Lafayette Park was submitted 7/18/24. The City Commission agreed tol budget $10,000 towards this project in the next fiscal year b) Evaluation committee madei final selections 10/10- -notifications expected midt tol late October. a) An application requesting. Jaws ofl Life rescue tools for the Apalachicola Volunteer Fire Department was submitted 7/11/24. These tools were: a request fromt the VPD and willa aid themi int theire efforts. In the event this application ist not funded, city staff will continue to apply quarterly. b) FUNDED!: - Firehouse Subs is working directly with Hurst and willl be: sending the equipment tot the City in around 81 weeks. Hurst willy visitf for al TBD Training Day tos show the VFDI how to use ther new a) An application requesting funding for resurfacing, drainage improvements, and safetyi improvements for Commerce Street from Avenue Cto Avenuel was submitted 5/5/23. FDOTI marked is as "complete" and we: are waiting for updates. City received an update 8/14/241 that FDOT expects the programming tol bet finalized in September andt the Work Program Public Hearing tol be delivered in  awards: should be announced by 12/31/24.  2. DEPI Local Trail Management Grant Program - Riverfront Park Fitness" Trail  submitted 8/29/24. No match was required to apply.  City Cash Match $10,000)  and the Citys submitted a request to FDACS for ther remaining $10,000.  4. Firehouse Subs Public Safety Foundation Hurst Rescue Tools' "Jaws of Life" $38,465  equipment.  5. FDOT SCOP - Commerce Street Phase 1 $3,278,524  December.  b) NOTI FUNDED. City will save application for next round of submissions.  6. DHR- -2025-26! Special Category-Phasel IIH HCA (Harrison-Raney Building) mitigation/repair. $350,000 (City a) 2025-26 DHR Special Category grant request for Phase Ilt to complete additional repairs tol HCA currently! being drafted and was: submitted by June 3, 2024. Phase Ilt to complete repairs not funded in Phasel land willi include windows, doors and additional masonry work. b) Application: submitted for consideration $21,875 cash match is obligated under the application: as  Cash Match $21,875)  approved at the 6/4/24 CCI meeting.  Funded Applications: FDOT:  1. SCOP- Leslie Street $610,169.30 (G2N05)  a) This project will remedy the underground issues, resurface the entire street length, and obtain new road signs based off engineer's estimate andi recommendations. Engineering firm, Dewberry, has completed the plans andt they were: sent to FDOT for a final review prior to procurement-5/2324  1    the plans were approved anda advertisements for procurement were scheduled in The Times and The C) City procured North Florida Construction for the construction work - CEli is currently being procured under the City's Continuing Services Engineers procurement. City Manager will request action to award the CEIt to an engineering firm and then construction can begin. CEI was awarded to Urban d) CONSTRUCTION: START DATE WAS SEPTEMBER gth! Construction inj progress- - currently not on schedule. During construction it was discovered that the stormwater pipei is made oft terra cotta. City has requesteda a change order to replace thet terra cotta witha a new concrete pipe to prevent any future issues. Brick manholes were also discovered and an additional change order has been requested to replace them whilet they are exposed to avoid disrupting thes street in thet future. Once approved by FDOT, this project will movef forward. FDOTH has granted an extension through the end of this year - an additional extension to March 2025 may be requested if needed to complete  Tallahassee Democrat. Bids are due by. June 28th at 4PM. b) The current project completion date per FDOTis 10/31/24.  Catalyst Engineering.  construction.  DEP:  1. Resilient Florida Critical Asset Flood Management $2,039,500 (24SRP65)  a) This grant will complete identified drainage projects int the city that havel been documented, but not funded by other sources. Funds will repair known nuisance flooding drainage issues in 29+ locations throughout the city. The City of Apalachicola Critical Asset Flood Mitigation Projects include the replacement and retrofit of pipe systems atr multiple roadway intersections, addition ofi inlets, pipes, water quality vaults, crown reconstruction, and construction of roadway conveyance: system. DEP b) Bay Media Services was awarded a contract for administering this grant at the. June City Commission Baskerville Donovan Inc was scored highest and selected by City Commission to negotiate engineering services. Staff met with BDI Aug. 22 to develop specific scope for services agreement to be presented to City Commission for approval. BDI submitted ap proposal for the work ($400,000). Staffi is stilli in negotiations for the engineering as the percentage came back higher than expected. d) DEP engineers traveled to Apalachicola toi inspect the sites prior tol beginning of construction. This a) This awardi ist funding for preparing a infrastructure plan fort flood protection. The City of Apalachicola will complete the City of Apalachicola Adaptation Plan Project toi include an Adaptation Plan consistent with the Florida Adaptation Planning Guidebook. The project willi include public outreach ands stakeholder engagement. Agreement signed 3/20/24 and project procurement is underway. b) Bay! Media Services was awarded the contract for this scope of work at the. June City Commission meeting. 1sWorkshop is planned for later this fall, following completion of Vulnerability Assessment. 3. Resilient Florida - Comprehensive Vulnerability Assessment $272,500 (22PLN10) a) The City of Apalachicola will conduct the City of Apalachicola Comprehensive' Vulnerability Assessment project toi include an update to the 2017) Vulnerability. Assessment. Thisi includes the impact of sea-level rise, storm surge, andr rainfall flooding. Thei impacts oft flooding willl be projected andi mapped overa a planning! horizon that extends to: 2070. Critical assets, vulnerable infrastructure, and historic properties atr risk willl bei identified. Comprehensive plan amendments to comply with the Peril of Flood: statute and adaptation strategy recommendations will also bei includedi in the Project. $200,0001 in supplemental funding was awarded as part of the VAI help resolve identified data gaps and will result int the City digitizing its infrastructure facilities including water distribution lines, sewer b) Data Gapi infrastructure mapping 95% complete. Exposure. Analysis pending final data gap maps and 4. Resilient Florida Wastewater Plant Repairs $13,381,516 (22SRP17) + SLFRP WWTP Headworks & SBR Relocation, Replacement and Upgrades for Advanced Wastewater Treatment $5,551,875 (WG038)=  has tentatively: scheduled: a site visit in October.  meeting.  meeting took place 10/22.  2. Resilient Florida Planning Grant- - COA. Adaptation Plan $67,000 (24PLN12)  ands stormwater.  model. 80% of Sensitivity Analysis is complete.  2    Total $18,933,391 for WWTP Reloration/Meplacement  a) These grants combined: aret tor replace and repair critical wastewater facility components andt to relocate thet facility to ensure iti is out oft thef flood zone. The project wille ensure that the Cityi is storm b) The project is at 66% design andt thep permit applications have been submitted andi is currentiys sitting at! 50% complete. Currently, final design is underway whichi includes biological process modelling, and c) DEPI is creating an amendment to WG038 to combine the! budget into one linei item to ensure that d) Pay Request 41 has been submitted to DEP for payment 8/12/24 andi is under process. DEPI has paid e) Pay Request 4 is still awaiting advanced paya approval - once iti is received and documented that it has  readyf for years to come! process equipment. selection.  there are noi issues with the ARPA funding pools int thei future. out request number 3i in the form of advance pay. been spent then the City willl be able to apply for Pay Request 5.  SCHEDULE:  Projected construction start date: November/December 2024 Projectedi initiations of operations date: Mid: 2026 ili. Projected construction end date: Mid: 2026  Florida Commerce [FormerlyDEO!: (D0225)  1. Rural Infrastructure Fund- Water Treatment Plant Improvements, Potable Water Studies $147,000 a) This grant wille evaluate existing conditions, create an enhanced sampling plan, hydraulici modeling, treatability studies and alternatives analysis. Engineering firm, Dewberry, isin progress and these b) Aone-year extension request has been requested to complete this project = it was executed mid- September and the deadline is now May: 2025. Dewberry's work continues. 2. Rural Infrastructure Fund- - Drainage Basin Analysis Phase H+ Camera Work of Stormwater Lines a) This grant willf fund an analysis of the drainage basins that border Apalachicola River and Bay. The proposal alsoi includes funding to begin camera-work oft thes stormwater lines in Phase 1. The project aims to document all: stormwater conveyance characteristic, both structural and natural, along with deficiencies of eacht that have contributed tol localized flooding within 18 drainage basin areas totaling 310 acres ini the city. The City will then prioritize repairs in areas where localized flooding is present and plan for water quality treatment at thes stormwater outfalis which dischargei intot the Apalachicola River and Apalachicola Bay. Basins 11 and 3 were covered byt the 2018 grant. This grant application would b) Agreement signed 2/1/24. Grant administration with grant continuing services procurement approved at July City Commission meeting. Task order to engage Dewberry Engineering drafted; currentlyi in review by Florida Commerce. Request for contract extension drafted, pending Commerce approval. 3. CDBG-DR - Avenues Stormwater Repair Project $3,891,869 ($29,000 City Cash Match) (M0016) a) This grant is tot fund repairs and upgrades fort the: avenues: stormwater drainage system. Dewberry is b) Quotes received for drainage pipe inspections and route survey. Existing conditions CCTV survey was completed. The engineer received videos and reports which! have! been analyzed. The engineer worked c) An amendment request was submitted on 5/10/2024 to add CE&I as ar reimbursable task and to extend d) Meetings were held with Commerce's consultant (KPMG) to discuss project progress andi reiterate that  studies are 45% complete!  $300,000 (D0260)  address thei following basins:1 1,2,4,5,6,7,8,9, 10, 12-19  the engineering firmi for this project.  with contractor to revise scope and cost for drainage pipe survey. the period of performance through September 2025. the project must! bet finalized by 09.30.2025.  e) Engineering:  i. Survey is: 100% complete. Engineering is 30% complete and scheduled for completion in September/October 2024. Permitting is not required; thee engineer will submit verification ofe exemption at 60% design. Design completion currently scheduled for October 2024.  3    (Note that construction activities cannot commence until Commerce approves the Updated stakeholder outreach letters were distributed on 07.25.2024; comment periods will expire in September 2024. The City worked with Commerce to determine ifa 5-Step Process or an 8-Step Process would be required; it was determined on 08.02.2024 that an 8-Step Process would bet ther most conservative path forward. The early floodplain notice was posted on 08.21.2024 and distributedi to stakeholders on 08.22.2024; comments were  Environmental Review Record.)  Environmental:  accepted through 09.09.2024.  g) SCHEDULE:  Projected construction start date:. January 2025 ii. Projected construction end date:. June 2025  4. CDBG-DR - Hometown Revitalization (Riverfront) $4,400,000 ($70,000 Private Owner Match +$ $313,365 a) This granti is tor revitalizet the businesses and public areasi int the riverfront district. This worki includes private business's docks along with public docks, sidewalks, lighting, and parking areas. b) Certifications and liability agreements have been distributed to all owners - matching funds have! been The City Commission planned to amend the: scope for the Popham Building toj just design and partial demolition as the deliverables. After several meetings, Commerce agreed with thes scope change d) Meetings were held with Commerce's consultant (KPMG) were held inJ Junet to discuss project progress Thee engineer has continued work on survey drawings, environmental evaluations, permit applications, and preliminary: and schematic designs. (Note that construction activities cannot commence until Commerce approves the Environmental Review Record.) The project engineer reported thet following  City Cash Match) (M0034)  requested from owners 30-days prior tol bidding the project. presented byt the City andi ith has been incorporated into thes scope. and reiterate that the project must be finalized by 09.30.2025.  for August:  Plan Set 1 (Dock and Pier Repal/Reconstruction)  1, Design and plans for Plan Set 1 along Scipio Creek sites have advanced to 95% complete att the end of August. Wel have sent the Plans to another Halff Office fora QA/QCI review and will address any comments. An Opinion of Probable Costs for Plan 2. The design team visited the project site again on August 28th with 95% complete plans-in-hand to verify field conditions at thep project sites along Scipio Creek and 3, As set of the 95% complete plans were given tol Edgewater Group LLC( (who are now on the Halff Team andt taking over for Garlick Environmental Associates) to continue with 4. Edgewater Group has continued witht the environmental permitting process developing permit documentation required for the USACE, Section 10i issues regarding regulated wildlife and State 404 permitting needs inj preparation for a pre-application meeting with state agencies for they project's ERP. Permitting for Plan Setlisa at 40% 5. Proposals for a Cultural Resource Assessment Survey (CRAS) for the Riverfront Revitalization project have been received from 21 firms. Wel have selected the best proposal and submitted a supplemental services agreement on June 4, 2024 for the 1. Field survey work along' Water, Commerce and 4th Streets was complete in late 2. Design and plan drawings oft the proposed' Water, Commerce and 4th Street upgrades 3. Aerial layouts for roadways, sidewalks, parking areas, landscaping, lighting and  Set 1 has alsol been prepared. revise our drawings, ifr needed. the permit process.  complete.  City of Apalachicola's review, processing and approval. August. Office work ands survey drawings are on-going.  il. Plan Set 2 (Water, Commerce and 4th Street Upgrades)  continued this month.  4    amenities proposed along the streets have been generated with typical sections and details being developed. Plan Set 2isa approximately: 35% complete at the end of 4. Af field review by Halff Team members with preliminary Plan Set 2 documents-n-hand (tov verify proposed street upgrades and amenities) is being set. 5. Permitting for Plan Set 2i is underway and approximately 20% complete. 1. Hammond Design Group (HDG) has presented their findings for the Popham Building to the City Commission at their July 2ndi meeting and were given direction to explore options of what could be built tor replace the existing structure. 2. Schematic design of re-created Popham Building Concepts and cost estimates have been completed : a workshop witht the City Commission wills soon! be scheduledi to 3. Workshop was held 10/8/24- - next workshop willl be held November 5th! Workshop has been advertised on Facebook: andi int the Apalachicola Times. Early Flood Notice originally posted on 08.07.2024; revisions were required duet to updated HUD templates dated 08.09.2024. The modified notice was posted on 8.21.24; comments willl be accepted through 9.06.24. Copies distributed to alla agencies on 8.22.24, with comments ii. The Seminole was recently added as ani interested contact party. Project information was transmitted 8.13.24 with comment period expiring on 9.12.24. Seminole tribe has requested additional information that cannot be compiled until the Cultural Resources Assessment is complete. Request for authorization to execute CRAS: amendment submitted to Commerce  August.  iii. Popham Building  discuss the direction for thes site.  Environmental Updates:  accepted through 9.09.24.  06.20.2024; authorization received 08.23.2024  8) SCHEDULE:  Projected construction start date:. January: 2025 ii. Projected construction end date: September 2025  5. CDBG-DR - Hill Community Project $935,753 ($910,000 Funded + $25,000 City Cash Match) (M0033) a) This project ist to revitalize three (originally 5, two locations dropped out by choice) businesses within thel Hill through exterior work andr renovations each! location's scope differs. This project is alsoto create sidewalks and lightingi in the! Hill area tos spur economic development through walkable connectivity. Gouras and Associates ist the grant administrator and CDG ist the engineering firm working on the plans. Certifications for the private business owners have been prepared and sent to each b) The City Commission finalized the: scope of the Sidewalk & Lighting project at as special meeting on 2/20/24: after workshopping the previously approved scope. Thel below image shows thet final scope of thesei improvements these are: subject to Commerce approval. The cost of materials has increased during the progression of this grant, so the priority for the funding will bes sidewalks first with primary  owner to ensuret that the program guidelines are being met by all parties.  focus on MLK: andt the 8th Street section.  5    Apalachicola CDBG Sidewalk Scope SDEWALKS/ ALONG7 7THSTREET, 8THSTREET, WDD DR. MARTNLUTHERKIG JR.A AVENUE  Legend a 7hSteets Sidewalk BthStroels Sidowalk MKJr. Avenue Side  ) Florida Commerce and the City! held a TA call on 4/29/20241 to discuss scope changes requested byt the City. Changes tot the sidewalk layout based on publici feedback was discussed, as well as structural e) Liability Agreements were created byt the City Attorney and distributed to thel business owners. Project guidelines were also provided. Meetings to discuss these documents are: scheduled with business owners. 3/3 project beneficiaries have: submitted their signed documents. Ar meeting was heldy with the remaining property owners and FloridaCommerce tor review grant requirements; as a result of this meeting, Commerce: subsequently confirmed participant eligibility, pending submission ofa additional documentation from the participant. The City! has continued to work with property owners tot finalize agreements between the City and the Property Owner for utilization of CDBG funds for project f) An amendment has been received from thee engineer to modify thes sidewalk layout and update the scope ofe engineering to correspond with modified building scopes; this was submitted to Commerce g) Work on the environmental review record was previously paused to consider potential scope modification impacts. In order tor meet Commerce's deadline of 09.30.2024, work on the environmentall review has resumed, under the assumption that Commerce will approve ther requested scoper modifications. Commerce confirmed on 07.24.2024 that an 8-Step Process willl be required because approximately 750s.f. of sidewalk will be located int the! 500-year floodplain; public notices have been posted to the City's website and distributed to agencies as required.  issues that have been identified for several commercial buildings.  activities.  for authorization to execute on 07.03.2024.  a. Environmental:  i. The Early Floodplain Notice was posted tot the City's website on 07.30.2024: and distributed toi interested stakeholders on 08.07.2024; the comment period ended ii. The Florida! Seminole Tribe was recently added as an interested stakeholder tribe. Project information was provided on 08.15.2024; comments were: accepted through 09.16.2024. As of 08.31.2024, no comments had been received. iii. The Final Flood Notice willl be posted concurrently with the CHy/sFONS-NO/RROF.  08.24.2024.  h) Meetings were! held with Commerce's consultant (KPMG) to discuss project progress and reiterate that i) SCHEDULE: **NOTE: Design work was onl hold until Commerce authorizes execution of a contract amendment. Commerce authorized execution of the contract amendment with thep project engineer  the project must be finalized by 09.30.2025.  on 9/19/24!  6    i.F Projected construction: start date:. January 2025 ii. Projected construction end date:. June 2025  DOS:  1. DHR African American Cultural and Historical Grants- Apalachicola History & Culture African American Museum $1,250,000 ($1,000,000 Award, $250,000 City Cash Matching Funds) (23.s.aa.900.039) a) This project is funding the design and construction ofac one-story, 2,000SF building with elevated ceilings. Priorities include: security, storage, office space, greeting station/gift shop, breezeway to Holy 0) There was a meeting on 1/16/20241 tos show the concept direction of elevations andi floor plans for the proposed museum. The thirds set of concepts was introduced tot the City Staff, Commission, and community stakeholders. There was a presentation introducing potential site planning concepts, indoor and outdoor arrangements of display area, and potential exterior plaza configuration. Commission voted on exterior andi interior layouts and designs for the museum provided byt the architects. The modern style! building, second floor plan, and exposed roof style were all chosen. Ther next phase is moving these concepts to construction documents -1 the architect/engineering teami isi in progress. See  Family, bathrooms, controlled lighting for displays.  the concept design below:  c)  d) Ap public workshop was! held July2 2ndf fort the Architect team to present the! 50% plans for the: site, e) An updated timeline has been communicatedi to DOS and an extension to. June of 2025 has been granted. The project completion date is estimated to bei in December of 2025, sO City staff and DOS are 2. DHR Special Categories - Old City Hall Phase IIS Structural Damage $395,000 + $98,750 In-Kind Match a) City was funded for Phasel Il oft the repair/structural work tot the old city hall building! Agreement was signed 8/8/23. Bay! Media will continue with grant administration: as well as 4MI Design, Mark Tarmey, on the designs as allowed by DOS. This granti ist tos secure funding to complete the Old City Hall Renovation ands support the ongoing repairs funded through the NPS grant. The purpose ist to stabilize the! building, by proposing toi install an interior rigid steel frame to provide thes structural integrity of the! building, exterior masonry, and support thel historic second floor wood frame. b) Phase IlV willi install structural interior steel framing, additional 2ndf floor shutters andi interior/exterior  building, ands space tot the City Commission andi interested citizens. anticipating another 6-month extension to be filed February of 2025. Hammond Design toy presented! 95% Plans to the City Commission 10/8/24.  ($50,000 Cash Match) (24.h.sc.100.069)  7    masonrywork, electrical, plumbing. Admint to: schedule: staff, architect (4M Design): and contractor (OSP) onside meeting to finalize Phase II scope and develop construction contract. c) Contractor agreement for shutters and windows with Oliver Sperry executed. Scope modification approved by DHR. Construction of first contract deliverables pending arrival of windows and shutters. Building interior has been! LIDAR scanned to verify scale and: structural dimensions ofe existing second floor framing with high degree of accuracyf for required! Structural improvements tos second floor framing. Awaiting structural drawings and estimate forr remainder of phase Il construction work. 3. DHR Special Categories - City Halll Phase III $340,000 + $30,000 City Cash Match 25.h.sc.100.036) a) DOSI reached out 6/18/24 to announce that this project was awarded through the FY25 Special Category Grants program. The phase Illf funding for City! Hall will complete thes second-floor structural work, interior/exterior masonry repair of second floor and will complete the mechanical and plumbing not completed in phase Ilf for thef first floor and all fori the: second floor. Additionally, it will  provide as second-required stair access to thes second level.  b) Agreement: signed 10/25/24!  FEMA:  1. Hurricane Michael Bodiford Park Dock Repairs (76103)  a) Dewberry engineers completed the engineered plans for this project. Project construction was bid out and awarded to Coastline Clearing int the: amount of $53,824 on 4/2/241 Contracts are inj progress and work: should begin soon. Waiting on: ane extension from FEMA. Held a call with FEMA and City staff. They a) Dewberry engineers completed the engineered plans for this project. Project construction was bid out and awarded to Coastline Clearing int the amount of $74,090 on 4/2/24! Contracts arei inp progress and work: should begin soon. Waiting on extension from FEMA. Helda a call with FEMA: and City staff. They  requested revised drawings. Once approved, an extension should be granted. 2. Hurricane Michael- Scipio Creek Marina Finger Dock Repairs (76103)  requested revised drawings. Once approved, an extension shouid be granted.  FDEM:  1. HMGP Market Street' Vacuum Station $120,000 (4399-150-R) with DEO Match of $37,500 (M0142) a) Thes scope oft this project is for the design of ar new vacuum: sewage station located near intersection of Market Street and Avenue G.1 The purpose oft this project is to provide protective measures to wastewater infrastructure oft the historic downtown commercial district in Apalachicola. CPWG Madrid is 90% complete witht the engineered plans for the Market Street Vacuum: Station - they submitted 100% designs and permits, but there were: some remainingi issues/priorities in the plans pointed out by staff that are currently being remedied. Monthly meetings with Commerce continue. b) The Engineer submitted all deliverables and staffi is reviewingt them prior tos submitting to FDEM. Once approved bys staff, all documents will be uploaded and FDEM will conduct a CBA to determine Phase II. Submitted deliverables to FDEM. They! have come back and asked for additional documentation from the engineers. Waiting for CPWG Engineering to supply cost estimate documentation! CPWG: supplied the cost estimate information andt then an additional RFI (request for information) was issued and questions were: answered 10/24/24. Thisi is a good sign that the construction could be soon 2. HMGP Critical Facilities Generators $241,862 (4399-092-R) with! DEO Match of $26,064.75 (M0141) a) This grant will provide protection and storm mitigation by providing City! Hall, the police, and fire department with portable generators. One willl be at City! Hall, the other willl be: shared by Police and Fire. The purpose oft this project ist toy provide protection to ac critical facilityi in Apalachicola. The project isf for the purchase and installation of an emergency, generating: system to reduce and/or mitigate the b) The contract with BGN was executed and monthly progress meetings with Commerce continue- -  funded.  damage that might otherwise occur from severe weather or other hazards.  8    permitting is in process and general installation will begin very: soon! Generators have been ordered. c) The Cityi is waiting on generators to arrive. The next stepi is toy pour concrete andi install electrical. d) Work has begun ont this project. The only delayi is the generator delivery. Some sizes are! back ordered. Thee end goali ist to have both generators installed by October 2024 pending nof further shipping delays. e) Generators delivered - worki is underway! Generators installed: 10/25/24! City to soon: seek 3. HMGP Wastewater Vacuum Station Portable Generator $170,000 (4486-007-R) ) For purchase and setup of an emergency. generator system tor reduce and/or mitigate the damage that might otherwise occur froms severe weather or other hazards at the 108 Avenue F location. (The current generator ist too smallf for ther need and this willy provide an appropriately: sized and portable b) Thel bid for this project came in over budget. A budget increase was requested in February, 2024. We are waiting on determination from FDEM. The contractor has guaranteed his price without ani increase until June 24, 2024. FDEM approved the costi increase. Waiting for FEMA's approval oft the! budget  reimbursement.  generator.) increase. State Appropriations:  1. Spray Field & Solar Project $130,000 (LPA0452)  a) The original request for this award was for 150r replacement spray! heads andi installation of 11 solar controllers and supplementary! batteries. The spray! heads are $553.00apiece, and thes solar installation b) DEPI issued an amendment n April 2024 allowing for thei funds to! be useds solely for acquisition of needed parts instead of having tol hire out a contractor for the parts andi install. This will allow" The City tos stretch thel budget further and be: ablet tol buy more: spray! heads andi install them in house = procurement isi int the works as acquisition quotes will need to be obtained. and approved by DEP! prior ) The City of Apalachicolal has an aging infrastructure made of terra cotta pipes and faulty water lines. The Cityi isf funded to do an infiltration andi inflow study thes study will assess local sources ofs surface water and/or groundwater prior to entering: as sewage system. This willl be done witht typical methods such as smoke testing, dye testing, and visuali inspections tol locate: structural defects or water stains to summarize existing data pertinent to thel hydrologic conditions and hydrogeology in thes study and surrounding area, This will produce a pre-design report that will detail thes scope oft the problem in the analysis area, outline design options, and identify thet tasks required to complete a resolution tot the ) Urban Catalyst is the procured engineer for this project. The following locations in Apalachicola willl be addressed: 1)Fred Meyer Street near: 18th Street just east oft the intersection, where ther roadi is sinking atac damaged pipej joint; 2) 5th Street between. Avenue Cand/ Avenue E., where the road has several areas where thep pipej joints are caving in; and 3) Avenue BI between 11th and: 12th Street. Funding agency does not anticipate that thef funding under this Agreement will result in: at fully completed b) An extension to 6/30/25 was granted - engineeringi is complete and the Cityt tried tol bid out the work with no responses twice - DEP agreed for us to be able to obtain quotes to move forward instead of going through thel bidding process. Quotes for the final work are beinga acquired. ) Quotes are being updated - 2/3 have been secured. Hoping to have ai thirdi int timet to award this  costs (int total) amounts to! $87,8 ,880.00 for 22 locations.  to ordering. Work willl be completed by 12/31/25. 2. Inflow &1 Infiltration Study $300,000 (LPA0451)  problem by 6/30/25. Procurement isi in progress.  3. Stormwater Pipe Relining & Backflow Devices $100,000 (LPA0140)  project, sot this award will cover a portion of the work.  project at the: 10/1/24 meeting, but possibly in November. d) Still waiting on quotes from Urban Catalyst. 4. Avenue HI Parking Lot $135,013 (Waiting for Agreement)  a) The 20241 legislative session funded half of thei requested funding for the Avenue HI Parking Lot project. This project will provide 39 parking spaces in an area' with very few options for public parking and  9    encourage additional economic activityi int the downtown area. Permeable parking willa also help with storm water management. Parking for local businesses willl be provided additionally, parking spaces will be provided that willl be: available for parking mitigation byl local businesses. b) An agreement has not yet been received - report will be updated oncet the agreement has been 5. Fire Hydrant Replacement Phase III $275,000 (Waiting for Agreement) ) The 2024 Legislative session funded the Firel Hydrant Replacement Phase II project. Ther request was originally for $550,000 toi finish out the project, but only $275,000 was funded. The Cityl has worked over thel last threey years to replace 215 olda andi inoperable fire hydrants throughout the city. There are currently 110f firel hydrants remaining thata are: stilli in need of replacement. These new hydrants will benefit residents in close proximity in obtaining homeowners insurance, they willl benefit the City with FDEPI required flushing of drinking water and willl benefit the all Cityr residents with fire: suppression and control. Thet funding should cover 55 oft the remaining needed 110 hydrants. b) An: agreement has not yet been received - report willl be updated oncet the: agreement has been Introductory meeting with statel legislative grants staff held 7/25/24 - states staff stated that an agreement would not be drafted untila a purchase order for the hydrants has been approved. City  executed.  executed.  Manager Wadei is working on this. 1. American Rescue Plan- $1,179,010  ARPA:  a) The City received an award of $1,179,010 through the SLFRF program - the City has elected to use the b) The City Commission has been workshopping priorities for thet funding - the yearly report was Alli information int this reporti is accurate upt to 10/24/24: at 12:00PM! Ify youl have questions regarding any oft the above projects, please directy your questions to Bree Robinson- - City Planner brobinson@cityofapalachicola.com.  funding as a "standard allowance" for government: services.  submitted by April 30th.  10    bo €