a  CITY OF BLOOMINGDALE, GEORGIA  0 0 - - 0 -  FINANCIAL REPORT  FOR THE FISCAL YEAR ENDED  JUNE 30, 2019  - - 0 0 - 0 0 0 0 - -        CITY OF BLOOMINGDALE, GEORGIA  FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2019 TABLE OF CONTENTS FINANCIAL SECTION  Page 1-3  Independent Auditor's Report. Basic Financial Statements: Government-wide Financial Statements: Statement of Net Position.. Statement of Activities. Fund Financial Statements: Balance Sheet - Governmental Funds. of Net Position.  5 and 6  Reconciliation of the Balance Sheet = Governmental Funds to the Statement Statement of Revenues, Expenditures and Changes in Fund  Balances - Governmental Funds.  Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances of Governmental Funds to the Statement of Activities General Fund - Statement of Revenues, Expenditures and Changes in  10 11 12 13 14 and 15 ..16 ..17 .18-37 38 39 40 .41 42 43 44 .45  Fund Balances - Budget and Actual. Statement of Net Position - Proprietary Fund. Statement of Revenues, Expenses and Changes in Net Position - Proprietary Fund. Statement of Cash Flows - Proprietary Fund. Statement of Fiduciary Net Position. Statement of Changes in Fiduciary Net Position. Notes to Financial Statements. Required Supplementary Information:  0  C 0 0  Schedule of Changes in the City's Net Pension Liability and Related Ratios  Schedule of City Contributions - Retirement Plan. Schedule of Investment Returns = Retirement Plan.. Combining and Individual Fund Statements and Schedules: Combining Balance Sheet- - Nonmajor Governmental Funds. Combining Statement of Revenues, Expenditures and Changes in Fund Balances = Nonmajor Governmental Funds Fire Department Fund - Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual. Forfeiture Account Fund - Schedule of Revenues, Expenditures and Changes in Fund Balances - Budget and Actual. Schedule of Expenditures of Special Purpose Local Option Sales Tax.  I        CITY OF BLOOMINGDALE, GEORGIA  FINANCIAL REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2019  TABLE OF CONTENTS (CONTINUED)  Page  COMPLIANCE SECTION  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 Government. Auditing Standards.  46 and 47 48 and 49 50 and 51  Schedule of Findings and Responses.. Summary Schedule of Prior' Year Findings.  0 0  I  o o - o -        - 0 0 0  FINANCIAL SECTION  - 0 0 o o  I  0 o O :        MAULDIN &JENKINS CPAs & ADVISORS  INDEPENDENT AUDITOR'S REPORT  To the Honorable Mayor and City Council City of Bloomingdale, Georgia Report on the Financial Statements  We have audited the accompanying: financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Bloomingdale, Georgia (the "City), as of and for the year ended June 30, 2019, and the related notes to the financial statements, which collectively  comprise the City's basic financial statements as listed in the table of contents. Management's Responsibility for the Financial Statements  Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America; this includes the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are  free from material misstatement, whether due to fraud or error.  Auditor's Responsibility  Our responsibility is to express opinions on these financial statements based on our audit. We conducted our audit ina accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance about An audit involves performing procedures to obtain audit evidence about the amounts and disclosures ini the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluating the overall presentation of the financial We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit  whether the financial statements are free from material misstatement.  statements. opinions.  6001 CHATHAM CENTER DRIVE, SUITE230-SAVANMAIL, GEORGIA 31405-912-232-1622- www.mjcpa.com MEMBERS OF THE AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS    -  -    Opinions  In our opinion the financial statements referred to above present fairly, in all material respects, the respective financial position of the governmenta. activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City as of June 30, 2019, and the respective changes in financial position and, where applicable, cash flows thereof and the respective budgetary comparisons for the General Fund for the year then ended in accordance with accounting principles generally accepted in the United States of America.  Other Matters  Required Supplementary Information  Accounting principles generally accepted in the United States of America require that the Schedule of Changes in the City's Net Pension Liability and Related Ratios (on page 38), the Schedule of City Contributions - Retirement Plan (on page 39), and the Schedule of Investment Returns - Retirement Plan (on page 40), be presented to supplement the basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board, who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. We have applied certain limited procedures to the required supplementary information in accordance with auditing standards generally accepted in the United States of America, which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with managements responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We do not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. Management has omitted the managements discussion and analysis that accounting principles generally accepted in the United States of America require to be presented to supplement the basic financial statements. Such missing information, although not a part of the basic financial statements, is required by the GASB 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 on the basic financial statements is not affected by this missing information.  Other Information  Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the City's basic financial statements. The combining and individual nonmajor fund financial statements and schedules are presented for purposes of additional analysis and are not a required part of the basic financial statements of the City. The accompanying schedule of expenditures of special purpose local option sales tax proceeds are presented for purposes of additional analysis as required by the Official Code of Georgia Annotated  (0.C.GA)948-8-121, and is not a required part of the basic financial statements.  2    -    I  o -  The combining and individual nonmajor fund financial statements and schedules and the schedule of expenditures of special purpose local option sales tax proceeds are the responsibility of management and were derived from and relate directly to the underlying accounting and other records used to prepare the basic financial statements. Such information has been subjected to the auditing procedures applied in the audit of the basic financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the basic financial statements or to the basic financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining and individual nonmajor fund financial statements and schedules and the schedule of expenditures of special purpose local option sales tax proceeds are fairly stated in all material  respects in relation to the basic financial statements as a whole. Other Reporting Required by Government Auditing Standards  Ina accordance with Government Auditing Standards, we have also issued our report dated December 30, 2019, on our consideration of 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. The purpose of that report is solely to describe the scope of our testing of internal control over financial reporting and compliance and the results oft that testing, and not to provide an opinion on the effectiveness of the City's internal control over financial reporting ord on compliance. That report is an integral part of an audit performed in accordance with Government Auditing  Standards in considering the City's internal control over financial reporting and compliance.  Mlaldi  Savannah, Georgia December 30, 2019  #RbiiARe  0 :  8 0 :  3        0 : 0  THIS PAGE INTENTIONALLY LEFT BLANK  -  o  I  o :        0 o e 0  CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF NET POSITION  JUNE 30, 2019  Primary Government Activities 95,537 (463,185) 39,361 59,335 2,734,592 3,671,539 1,459 5,502 3,367 39,361 486 594 4,175 53,485 5,501 2,793,927 820,085  Governmental Business-type Activities 369,996 23,595 463,185 14,845 1,194,403 5,236,845 10,932,252 28,001 47,154 72,288 14,845 43,444 53,098 80,128 310,957 105,579 6,431,248 919,397 1,397 3,191,675  ASSETS  Total 465,533 23,595 54,206 1,253,738 7,971,437 14,603,791 29,460 52,656 75,655 54,206 43,930 53,692 84,303 364,442 111,080 9,225,175 919,397 1,397 4,011,760  0 0 0 0  Cash and cash equivalents Receivables, net Duef from other governments Internal balances Restricted assets, cash and cash equivalents Capital assets Non-depreciable Depreciable, net of accumulated depreciation Total assets Pension Accounts payable Accrued liabilities Customer deposits Net pension liability Totall liabilities Pension  S 3,629,383 S 1,205,899 $ 4,835,282  DEFERRED OUTFLOWS OF RESOURCES  0 0 0 0 0 o o 0 0 0 0 0 0 C 0 0 0  LIABILITIES  Compensated absences due within one year Compensated absences duei inr more than one year  DEFERRED INFLOWS OF RESOURCES  NETF POSITION  Investment in capital assets Restricted for capital projects Restricted for public safety Unrestricted Totalr net position  10,543,717 $ 3,614,012 $ 14,157,729  The accompanying notes are ani integral part oft theset financial statements.  4    CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF ACTIVITIES FOR THE FISCAL YEAR ENDED JUNE 30, 2019  Program Revenues Operating Grants and Contributions  Capital Grants and Contributions $ 133,620 155,155  Charges for Services 81,420 $ 1,052,195 1,170,293 85,017 2,388,925 564,704 564,704 General revenues Sales taxes for general purposes Intangible, transfer, and franchise taxes Alcoholic beverage taxes Unrestricted investment earnings Miscellaneous Transfers Totalg general revenues and transfers Change inr net position Net position, beginning ofy year Net position, end ofy year  Functions/Programs Primary government Governmental activities General government Public safety Publicv works Judicial Culture and recreation. Housing and development Interest on long-term debt Totalg governmental activities Business-type activities Water and sewer Total business-type activities Totalp primary government  Expenses $ 701,961 $ 1,709,267 1,143,620 56,628 334,528 15,468 741 3,962,213 738,524 738,524 4,700,737 $ 2,953,629  9,747 692,866  288,775 288,775  702,613 21,200 21,200 723,813  The accompanying notes are an integral part oft thesef financial statements.  5    - 0  Net (Expenses) Revenues and Changes in Net Position Activities  Governmental Business-type Activities $ (620,541). $ (513,705) 874,694 (56,628) (249,511) (15,468) (741) (581,900) (581,900) 261,174 1,093,735 281,072 20,837 197,355 77,763 1,931,936 1,350,036 9,193,681  Total (620,541) (513,705) 874,694 (56,628) (249,511) (15,468) (741) (581,900) (152,620) (152,620) (734,520) 261,174 1,093,735 281,072 30,498 269,078 1,935,557 1,201,037 12,956,692  0 0 - 0  (152,620) (152,620) (152,620)  0 -  9,661 71,723 (77,763) 3,621 (148,999) 3,763,011  - 0 0 :  10,543,717 $ 3,614,012 $ 14,157,729  :  : a  6        a  CITY OF BLOOMINGDALE, GEORGIA  BALANCE SHEET GOVERNMENTAL FUNDS JUNE 30, 2019  I-  Nonmajor Governmental Governmental Funds 12,089 $ 3,629,383 505  Total Funds 369,996 23,595 511,287 14,845  - 0 0 0 0  General Fund $ 2,750,965 $ 307,299 23,595 510,782 14,845  SPLOST Fund 866,329 $ 62,697  ASSETS  Cash and cash equivalents Receivables, net Inventories Due from otherf funds Restricted cash and cash equivalents Total assets  $ 3,607,486 $ 929,026 $  12,594 $ 4,549,106  LIABILITIES, DEFERRED INFLOWS OF RESOURCES AND FUND BALANCES  LIABILITIES Accounts payable Accrued liabilities Customer deposits Due to other funds Totall liabilities Unavailable revenue- taxes FUNDI BALANCES Nonspendable: Inventories Restricted for: Capital projects Public safety Unassigned Total fund balances Total liabilities, deferred inflows of resources and fund balances  $  41,344 $ 72,288 14,845 33,086 161,563 62,000 23,595 3,360,328 3,383,923  5,810 $ 3,819 9,629  $  47,154 72,288 14,845 48,102 182,389 62,000 23,595 919,397 1,397 3,360,328 4,304,717  11,197 11,197  DEFERRED INFLOWS OF RESOURCES  -  919,397 919,397  1,397 1,397  a 0 0 0  3,607,486 $ 929,026 $  12,594 $ 4,549,106  The accompanying notes are ani integral part of these financial statements.  I  0  7        CITY OF BLOOMINGDALE, GEORGIA TO THE STATEMENT OF NET POSITION FOR THE FISCAL YEAR ENDED JUNE 30, 2019  RECONCILIATION OF THE BALANCE SHEET GOVERNMENTAL FUNDS  -  -  Amounts reported for governmental activities in the Statement of Net Position are different because: Capital assets usedi in governmental activities are not financial resources and, therefore, are not Certain long-term liabilities are not due and payable in the current period and, therefore, are not  Total governmental fund balances. reported int the funds. reported int the funds: Compensated absences Net pension liability  $  4,304,717 6,431,248  (96,542) (80,128) (77,578) 62,000 10,543,717  Certain pension related deferred outflows andi inflows are not reported in the funds. Certain revenues are not available to pay for current period expenditures and, therefore,  are reported as deferred inflows of resources int thet funds. Net position of governmental activities.  The accompanying notes are ani integral part of these financial statements.  8  -        CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES GOVERNMENTAL FUNDS FOR THE FISCAL YEAR ENDED JUNE 30, 2019  0 - - 0 a  Nonmajor Funds  Totals Funds $ 1,628,981 81,420 975,671 564,106 1,753,146 26,807 197,355 5,227,486  General Fund  SPLOST Fund  Governmental Governmental  -  Revenues Taxes Licenses and permits Intergovernmental Fines and forfeitures Charges for services Interest income Other revenues Total revenues Expenditures Current: General government Judicial Public safety Public works Culture and recreation Housing and development Capital outlay Debt service: Principal Interest and fiscal charges Total expenditures Excess (deficiency) of revenues over (under) expenditures Other financing sources (uses) Proceeds from sale of capital assets Transfers in Transfers out Total other financing sources, net Net change in fund balances Fund balances, beginning of year Fund balances, end of year  $ 1,628,981 $ 81,420 288,775 554,359 1,753,146 20,837 191,538 4,519,056  686,896 5,970 5,717 698,583  9,747 100 9,847  C  630,384 56,628 1,540,700 792,261 235,173 15,468  630,384 56,628 1,562,256 792,261 235,173 15,468 495,738 95,217 741 3,883,866 1,343,620 6,466 103,291 (25,528) 84,229 1,427,849 2,876,868  21,556  495,738 95,217 741 591,696 106,887  3,270,614 1,248,442 6,466 25,528 31,994 1,280,436 2,103,487  21,556 (11,709)  C  77,763 (25,528) 52,235 159,122 760,275  (11,709) 13,106  3,383,923 $ 919,397 $  1,397 $ 4,304,717  0 0 -  The accompanying notes are an integral part of these financial statements.  9        a  CITY OF BLOOMINGDALE, GEORGIA  RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS  TO THE STATEMENT OF ACTIVITIES FOR THE FISCAL YEAR ENDED JUNE 30, 2019  Amounts reported for governmental activities int the Statement of Activities are different because: Governmental funds report capital outlays as expenditures. However, int the Statement of Activities the cost oft those assets is allocated over their estimated useful lives andr reported as depreciation  Net change int fund balances total governmental funds.  $  1,427,849  expense: Capital outlay Depreciation expense  325,694 (452,287) (9,262) 7,000  Ther nete effect of various miscellaneous transactions involving capital assets (i.e., sales, trade-ins, Revenues int the Statement of Activities that do not provide current financial resources are not reported Thei issuance ofl long-term debt provides current financial resources to governmental funds, while the repayment oft the principal ofl long-term debt consumes the current financial resources of governmental  donations to other funds) )is to decrease net position.  as revenues int the funds.  funds. Neither transaction, however, has any effect onr net position:  Principal payments on capital leases  95,217  Some expenses reported in thes statement of activities do not require the use of current financial resources and, therefore, are not reported as expenditures in governmental funds: Net pension. liability, deferred outflows of resources, and deferred inflows of resources related  Compensated absences tot the pension plan  (27,510) (16,665) 1,350,036  $  The accompanying notes are ani integral part of these financial statements.  10    - - -  -  0 - a - - a    CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCES - BUDGET AND ACTUAL FOR THE FISCAL YEAR ENDED JUNE 30, 2019  GENERAL FUND  -  Budget Original 39,025 86,190 691,000 8,130 937,542 123,386 3,268,088  Variance With Final Budget 1,511 445 155,235 (136,641) 5,557 681,565 35,662 743,334  Final 80,975 133,540 691,000 15,280 1,071,581 155,876 3,775,722  Actual 81,420 288,775 554,359 20,837 1,753,146 191,538 4,519,056  Revenues Taxes Licenses and permits Intergovernmental Fines and forfeitures Interest Charges fors services Miscellaneous Totalr revenues Expenditures Current: General government: Mayor and council Administration Totalg general government Judicial Municipal court Totalj judicial Public safety Police Fire Total public safety Publicv works Publicr maintenance Total public works Culture and recreation Recreation Total culture and recreation Housing and development Building and: zoning Total housing and development Totale expenditures Excess (deficiency) ofr revenues over (under) expenditures Other financing sources (uses) Proceeds from sale ofc capital assets Transfers in Total otherf financing sources (uses). Net change inf fund balances Fund balances, beginning of year Fund balances, end of year  $ 1,382,815 $ 1,627,470 $ 1,628,981 $  13,800 547,921 561,721 56,018 56,018 1,255,847 339,729 1,595,576 791,877 791,877 228,251 228,251 35,645 35,645 3,269,088 (1,000) 1,000 1,000 2,103,487  13,800 611,486 625,286 56,018 56,018 1,299,577 352,751 1,652,328 835,827 835,827 255,900 255,900 38,615 38,615 3,463,974 311,748 6,466 6,466 318,214 2,103,487  13,800 616,584 630,384 56,628 56,628 1,221,755 318,945 1,540,700 792,261 792,261 235,173 235,173 15,468 15,468 3,270,614 1,248,442 6,466 25,528 31,994 1,280,436 2,103,487  (5,098) (5,098) (610) (610) 77,822 33,806 111,628 43,566 43,566 20,727 20,727 23,147 23,147 193,360 936,694 25,528 25,528 962,222  2,103,487 $ 2,421,701 $ 3,383,923 $ 962,222  The accompanying notes are ani integral part oft these financial statements.  11    0  O 0 0 O  - C    CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF NET POSITION PROPRIETARY FUNDS JUNE 30, 2019  Water and Sewer Fund 1,205,899 39,361 95,537 32,581 1,373,378 59,335 2,734,592 2,793,927 4,167,305 1,459  ASSETS  CURRENT ASSETS Cash and cashe equivalents Restricted cash and cash equivalents Accounts receivable, net Due from other funds Total current assets NONCURRENT ASSETS Capital assets Non-depreciable Depreciable, net of accumulated depreciation Total noncurrent assets Total assets Pension  DEFERRED OUTFLOWS OF RESOURCES  LIABILITIES  CURRENT LIABILITIES, PAYABLE FROM CURRENT ASSETS Accounts payable Other accrued liabilities Duet to otherf funds  5,502 3,367 495,766 486 505,121 39,361 39,361 594 4,175 4,769 549,251 5,501 2,793,927 820,085 3,614,012  Current portion of compensated absences Total current liabilities, payable from current assets CURRENT LIABILITIES, PAYABLE FROM RESTRICTED, ASSETS Customer deposits Total current liabilities, payable from restricted assets LONG-TERM LIABILITIES Compensated: absences Netp pension liability Total long-term liabilities Total liabilities Pension Investment in capital assets Unrestricted Total net! position  DEFERRED INFLOWS OF RESOURCES  NETI POSITION  The accompanying notes are an integral part of these financial statements.  0  12    0  - -  O 0    - 0 -  CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF REVENUES, EXPENSES AND CHANGES IN NET POSITION PROPRIETARY FUNDS FOR THE FISCAL YEAR ENDED JUNE 30, 2019  Water and Sewer Fund $ 207,313 357,391 71,723 636,427 104,690 28,434 83,578 41,946 58,710 317,358 111,111 66,113 96,544 41,946 71,789 33,663 421,166 738,524 (102,097) 9,661 9,661 (92,436) 21,200 (77,763) (77,763) (148,999) 3,763,011 3,614,012  OPERATING REVENUE Water charges Sewer charges Other income Total operating revenues OPERATING EXPENSES Water operating expenses: Personal services Purchased and contracted services Materials and supplies Interfund charges Depreciation Total operating expenses water Sewer operating expenses: Personal services Purchased and contracted services Materials and supplies Interfund charges Depreciation Amortization Total operating expenses sewer Total operating expenses Operating loss NONOPERATING REVENUES Interest income Total nonoperating revenues CAPITAL CONTRIBUTIONS TRANSFERS Transfers out Total transfers Change in net position Net position, beginning of year Net position, end of year  0  Loss before capital contributions and transfers  The accompanying notes are an integral part of these financial statements.  13    -  C    CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF CASH FLOWS PROPRIETARY FUNDS FOR THE FISCAL YEAR ENDED JUNE 30, 2019  I  C 0 0 0  Water and Sewer Fund $ 605,350 (211,356) (216,749) 177,245 (77,763) (77,763) 21,200 21,200 9,661 9,661 130,343 1,114,917 $ 1,245,260 $ 1,205,899 39,361 1,245,260  CASH FLOWS FROM OPERATING ACTIVITIES Receipts from customers and users Payments tos suppliers Payments to employees Net cash provided by operating activities CASH FLOWS FROMI NONCAPITAL FINANCING ACTIVITIES Transfers out Net cash usedi inr noncapital financing activities CASH FLOWS FROM CAPITAL ANDI RELATED FINANCING ACTIVITIES Capital contributions Net cash provided by capital and related financing activities CASHE FLOWS FROM INVESTING ACTIVITIES Interest received Net cash provided by investing activities Neti increase in cash Cash and cashe equivalents, beginning of year Cash and cashe equivalents, end ofy year Classified as Cash and cashe equivalents Restricted current cash and cash equivalents  C 0  C 0 0 0  (Continued)  I  - -  14        CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF CASH FLOWS PROPRIETARY FUNDS FOR THE FISCAL YEAR ENDED JUNE 30, 2019  - - - -  Water and Sewer Fund $ (102,097) 164,162 (35,103) (32,581) 313 (497) 121 4,026 180,162 (723) (538) 177,245  Reconciliation of operating loss to net cash provided by operating activities Operating loss Adjustments to reconcile operating loss tor net cash provided by operating activities Depreciation and amortization Change in assets and liabilities Increase in accounts receivable Increase in due from other funds Decrease in deferred outflows ofr resources Decrease in accounts payable Increase in accrued liabilities Increase in customer deposits Increase in due to other funds Decrease ini net pension liability Decrease in deferred inflows of resources Neto cash provided by operating activities  The accompanying notes are ani integral part of these financial statements.  0 0 0  15    -  : - a  C  0 0  -    - C 0 0 0 0 0 -  CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF FIDUCIARY NET POSITION  FIDUCIARY FUND JUNE 30, 2019  Employees Retirement Program Pension Fund $ 124,769 860,698 652,326 1,637,793 1,637,793  ASSETS  Cash and cash equivalents Investments, at fair value Equities Fixed income securities Total assets  0 0 0 o o 0 0 0 0  NET POSITION  Held int trust for pension benefits   0 - 0  0  16    -  - O 9 o a    0 - 0 o 0 o  CITY OF BLOOMINGDALE, GEORGIA STATEMENT OF CHANGES IN FIDUCIARY NET POSITION FOR THE FISCAL YEAR ENDED JUNE 30, 2019  FIDUCIARY  FUND  Employees Retirement Program Pension Fund $ 138,736  ADDITIONS Contributions Employer Total contributions Net appreciation inf fair value ofi investments Investment income Neti investment earnings Total additions Benefits paid to participants Administrative expense Total deductions Change in net position Net position, beginning of year Net position, end ofy year  : 0 0 o o 0 a  62,864 32,978 95,842 234,578 68,196 11,183 79,379 155,199 1,482,594 1,637,793  DEDUCTIONS  0 0 0 - : 0 0 0 0 0 o o o  The accompanying notes are ani integral part of these financial statements.  17    9    CITY OF BLOOMINGDALE, GEORGIA NOTES TO FINANCIAL STATEMENTS  JUNE 30,2019  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  The financial statements of the City of Bloomingdale, Georgia (the "City") have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP) as applied to governmental units. The Governmental Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental accounting and financial principles. The more significant of the City's accounting policies are described below:  0 0 0  reporting  A. Reporting Entity  - :  The City is a municipal corporation governed by an elected mayor and six-member governing council (the "Council). The accompanying financial statements present the City and its component units, entities for which the City is considered to be financially accountable. Blended component separate entities. Thus, blended component units are appropriately presented as funds of the primary government. Currently, the City has no blended component units. 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 City. Currently, the City has no discretely  units are, in substance, part of the primary government's  operations, even though they are legally  0 0  presented component units.  B. Government-wide and Fund Financial Statements  The government-wide financial statements (ie., the statement of net position and the statement of activities) report information on all of the non-fiduciary activities of the primary government and its For the most part, the effect of interfund activity has been removed from these statements, however interfund services provided and used are not eliminated in the process of consolidation. Government-wide financial statements do not provide information by fund, but distinguish between Governmental activities, which are normally supported by taxes and intergovernmental revenues, are reported separately from business-type activities, which rely to a significant extent on fees and charges for services. The statement of net position includes non-current assets and non-current liabilities. In addition, the government-wide statement of activities reflects depreciation expense on  component units.  the City's governmental activities and business-type activities.  C  the City's capital assets.  18    - 0 a - 0 - C 0 0    NOTES TO FINANCIAL STATEMENTS  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES  (CONTINUED)  B. Government-wide and Fund Financial Statements (Continued) The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable 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 Separate financial statements are provided for governmental funds and proprietary funds. Major individual governmental funds and major individual enterprise funds are reported as separate C. Measurement Focus, Basis of Accounting and Basis of Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting, as are the proprietary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is int the year for which they are levied. Grants and similar items are recognized as revenue as soon Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as 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 60 days of the end of the current fiscal period. Expenditures are generally recorded when al liability is incurred, as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments, are recorded only when payment is Property taxes, sales taxes, franchise taxes, licenses, and investment income associated with the current fiscal period are all considered to be susceptible to accrual and sO have been recognized as revenues of the current fiscal period. All other revenue items are considered to be measurable and  with a specific function or segment. Program revenues include: 1)  to customers  C - 0  charges  or  considered program revenues are reported instead as general revenues.  columns in thei fund financial statements.  incurred, regardless of the timing of related cash flows. as alle eligibility requirements imposed by the provider have been met.  I  Property taxes are recognized as revenues  soon as they are both measurable and available. Revenues are considered  :  to be available when  due.  available only when cash is received by the City.  19    0 0 a C a o    NOTES TO FINANCIAL STATEMENTS  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  0 0 0 0 0  C.  Measurement Focus, Basis of Accounting and Basis of Presentation  (Continued)  The City reports the following major governmental funds:  The General Fund is the City's primary operating fund. It accounts for all financial resources of the general government, except those required tol be accounted fori in another fund. The Special Purpose Local Option Sales Tax Fund (SPLOST) is used to account for the revenues and expenditures relating to the 1% Special Purpose Local Option Sales Tax.  The City reports the following major proprietary fund:  The Water & Sewer Fund accounts for the activities necessary to provide water and sewer  services tot the City's residents.  - 0 0 0  Additionally, the City reports the following fund types:  The special revenue funds account for revenue sources that are legally restricted to The pension trust fund accounts for the accumulation of resources for pension benefit Amounts reported as program revenues include: 1) charges for services provided, 2) operating grants and contributions, and 3) capital grants and contributions. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues Proprietary funds distinguish operating revenues and expenses from non-operating items. delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the enterprise funds are charges for goods and services provided. Operating expenses of the enterprise funds include the cost of these goods and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. When both restricted and unrestricted resources are available for use, it is the City's policy to use restricted resources first, then unrestricted resources as they are needed.  expenditure for specific purposes. payments to qualified employees.  include all taxes.  Operating revenues and expenses generally result from  services and  -  providing  producing and  20    O O  a a    NOTES TO FINANCIAL STATEMENTS  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  0 0 0  D. Budgets  Annual appropriated budgets are adopted for all funds. The budgets for the proprietary funds are for management control purposes and are not required to be reported. Budgets of governmental funds are adopted on a modified accrual basis, which is consistent with accounting principles generally accepted in the United States of America for governmental funds. All appropriations lapse at fiscal year-end. Encumbrance accounting (under which purchase orders, contracts and other commitments for the expenditure of resources are recorded to reserve that portion of the applicable  appropriation) is not employed by the City. E. Cash and Investments  Cash and cash equivalents include cash on hand, demand deposits, and short-term investments with an original maturity of three months or less from the date of acquisition. State statutes authorize the City to invest in the following: 1) obligations of Georgia or any other state; 2) obligations of the United States; 3) obligations fully insured or guaranteed by the United States government or one of its agencies; 4) obligations of any corporation of the United States government; 5) prime bankers' acceptances; 6) the State of Georgia local government investment pool; 7) repurchase agreements; and 8) obligations of any other political subdivisions of the State of Georgia. Any investment or deposit in excess of the federal depository insured amounts must be collateralized by an equivalent amount of state or U.S. obligations. Investments are reported at fair  value.  F. Receivables and Payables  Activity between funds that is representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either "due to/from other funds" (i.e., the current portion of interfund loans) or "advances to/from other funds (i.e., the non-current portion of interfund loans). Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as "internal balances."  G. Prepaid Items  Payments made to vendors for services that will benefit periods beyond June 30, 2019, are recorded as prepaid items in both government-wide and fund financial statements. Prepaid items are  accounted for using the consumption method.  21    NOTES TO FINANCIAL STATEMENTS  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  H. Capital Assets  Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges, sidewalks, and similar items), are reported in the applicable governmental. or business-type activities column 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 of one year. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at their acquisition value at the date of donation. The cost of normal maintenance and repairs that do not add to the value of the asset or materially Capital assets of the City are depreciated using the straight line method over the following estimated  extend asset lives are not capitalized.  useful lives:  Assets  Years 50 20 5-30 6 10-65  Buildings and system Improvements other than buildings Machinery and equipment Vehicles Infratstructure I.  Compensated Absences  Employees earn vacation leave at the rate of six days per year for the first year of service up to a maximum of 25 days per year after five years of service. A maximum of twenty days may be carried over into an employee's next service year. Any unused, accrued vacation leave in excess of twenty days from service year to service year will be forfeited. Employees resigning voluntarily and in good standing will be paid for earned but unused vacation leave. All vacation leave is accrued when incurred in the government-wide, proprietary, and fiduciary fund financial statements. A liability for these amounts is reported in governmental funds only if they have matured, for example, as a result Employees accrue personal leave at the rate of four hours per month to a maximum of forty-eight hours per year. Employees are allowed to carry 80 to 160 hours personal leave based on year of services. An employee who resigns or is discharged from city service will not be paid for any unused personal leave. The City does not record al liability for vested personal leave benefits. Expenses are  ofe employee resignations and retirements.  recognized in the financial statements at the time of payment.  0 -  22    NOTES TO FINANCIAL STATEMENTS  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  J. Long-Term Obligations  In the government-wide financial statements, and proprietary fund types in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities, business-type activities, or proprietary fund type statement of net position. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the term of the bonds using the effective interest method. Bonds payable are reported net of the applicable discount or premium. Bond issuance costs are expensed in the period incurred. In the fund financial statements, governmental fund types recognize bond premiums and discounts, as well as bond issuance costs, during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as other financing uses. Issuance costs, whether or not withheld from the actual debt proceeds received, are reported as debt service  expenditures. K. Fund Equity  Fund equity at the governmental fund financial reporting level is classified as "fund balance." Fund Fund Balance - Generally, fund balance represents the difference between the assets and liabilities under the current financial resources measurement focus of accounting. In the fund financial statements, governmental funds report fund balance classifications that comprise a hierarchy based primarily on the extent to which the City is bound to honor constraints on the specific purposes for which amounts in those funds can be spent. Fund balances are classified as follows: Nonspendable - Fund balances are reported as nonspendable when amounts cannot be spent because they are either: a) not in spendable form (.e., items that are not expected to be converted to cash), or b) legally or contractually required to be maintained intact. Restricted - Fund balances are reported as restricted when there are limitations imposed on their use either through the enabling legislation adopted by the City or through external restrictions imposed by creditors, grantors or laws or regulations of other governments. Committed - Fund balances are reported as committed when they can be used only for specific purposes pursuant to constraints imposed by formal action of the City Council through the adoption of a resolution. Only the City Council may modify or rescind the commitment.  equity for all other reporting is classified as "net position."  23    0 C o o C 0 C : - - - a - a  - o a -  O a - - a -    NOTES TO FINANCIAL STATEMENTS  NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  D a 0 0 0 0  K. Fund Equity (Continued) Fund Balance - (Continued)  Assigned - Fund balances are reported as assigned when amounts are constrained by the City's intent to be used for specific purposes, but are neither restricted nor committed. Unassigned - Fund balances are reported as unassigned as the residual amount when the balances do not meet any of the above criterion. The City reports positive unassigned fund balance only in the General Fund. Negative unassigned fund balances may be reported in all Flow Assumptions - When both restricted and unrestricted amounts of fund balance are available for use for expenditures incurred, it is the City's policy to use restricted amounts first and then unrestricted amounts as they are needed. For unrestricted amounts of fund balance, it is the City's policy to use fund balance ini thet following order: 1) committed, 2) assigned, and 3) unassigned. Net Position = Net position represent the difference between assets and liabilities in reporting which utilizes the economic resources measurement focus. Net investment in capital assets consists of capital assets, net of accumulated depreciation, reduced by the outstanding balances of any borrowing used (ie., the amount that the City has spent) for the acquisition, construction or improvement of those assets. Net position is reported as restricted using the same definition as used for restricted fund balance as described in the section above. All other net position is reported The City applies restricted resources first when an expense is incurred for purposes for which both  funds.  C 0 0 -  as unrestricted.  restricted and unrestricted net position are available. L. Management Estimates  The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amount of revenues and expendtureslexpenses during the reporting period. Actual results could differ from those estimates.  24    - 0 - 0 0 0  o o O - : o - 0 O - 0 :  C    NOTES TO FINANCIAL STATEMENTS  NOTE1 1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)  0 C 0 0 0  M. Deferred Outflows/Inflows of Resources  In addition to assets, the statement of net position will sometimes report a separate section for deferred outflows of resources. This separate financial statement element, deferred outflows of resources, represents a consumption of net position that applies to a future period(s) and, therefore, will not be recognized as an outflow of resources expenselexpenditure, until then. The City has one item that qualified for reporting in this category. The net difference between projected an actual earnings on pension plan investments is deferred and amortized against pension expense over a In addition to liabilities, the statement of net position and the governmental funds balance sheet will sometimes report a separate section for deferred inflows of resources. This separate financial statement element, deferred inflows of resources, represents an acquisition of net position or fund balance that applies to future period(s) and, therefore, will not be recognized as an inflow of resources (revenue) until that time. The City has two items that qualify for reporting in this category, one of which arises only under the modified accrual basis of accounting. Accordingly, the item, unavailable revenue, is reported only in the governmental funds balance sheet. The governmenta. funds report unavailable revenues from taxes and these amounts are deferred and will be recognized as an inflow of resources in the period in which the amounts become available. The other item relates to the City's retirement plan and is reported in the government-wide statement of net position. Experience differences are deferred and amortized against pension expense over a  five-year period, resulting in recognition as a deferred outflow of resources.  five-year period, resulting in recognition as a deferred inflow of resources.  N. Pensions  For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows of resources related to pensions, and pension expense, information about the fiduciary net position of the City of Bloomingdale Retirement Plan (the "Retirement Plan") and additions to/deductions from the Retirement Plan's fiduciary net position have been determined on the same basis as they are reported by the respective plan. For this purpose, benefit payments (including refunds of employee contributions) are recognized when due and payable in accordance with the  benefit terms. Investments are reported at fair value.  25    0 C -    NOTES TO FINANCIAL STATEMENTS  C 0 0 0 0 o o 0 0 0 0 0 o 0 o 0 o O o o  NOTE: 2. LEGAL COMPLIANCE - BUDGETS  A. Budgetary Information  All governmental fund budgets are prepared on a basis consistent with generally accepted The appropriated budget is prepared by fund, function, and department. The City Council may transfer funds from one object or purpose to another within the same department. The legal level of budgetary control (ie., the level at which expenditures may not legally exceed appropriations) is the department level. The City Council may amend the budget by motion during the fiscal year. Budget appropriations presented in this report include all legally adopted appropriations as amended  accounting principles.  during the fiscal year.  B. Excess of Expenditures over Appropriations  For the year ended June 30, 2019, expenditures exceeded appropriations at the legal level of  budgetary control as follows: General fund:  General government- administration Judicial municipal court Fire department fund: Public safety Forfeiture account fund: Public safety unbudgeted revenues.  $  5,098 610 3,080 16,476  These over expenditures were funded primarily by underspending in other departments and  :  e o :  26    NOTES TO FINANCIAL STATEMENTS  NOTE 3.  DEPOSITS AND INVESTMENTS  Total deposits and investments as of. June 30, 2019, are summarized as follows:  Amounts as presented on the entity wide statement of net position: Amounts as presented on the statement oft fiduciary net position  Cash and cash equivalents Restricted cash and cash equivalents Cash Fixedi income securities Equity securities Total  $  4,835,282 54,206 124,769 652,326 860,698 6,527,281 5,014,257 652,326 860,698 6,527,281  $ $ $  Cash deposited with financial institutions Investments in fixed income securities Investments in equity securities Total  As of June 30, 2019, the carrying amount of the City's deposits was $5,014,257 and the bank Credit risk. State statutes authorize the City to invest in obligations oft the State of Georgia or other states; obligations issued by the U.S. government; obligations fully insured or guaranteed by the U.S. government or by a government agency of the United States; obligations of any corporation of the U.S. government; prime bankers' acceptances; the local government investment pool established by state law; repurchase agreements; and obligations of other political subdivisions of the State of Georgia. Iti is the City's policy to limit its investments to those allowed and authorized by  balance was $5,045,902.  state law.  As of. June 30, 2019, the City had the following investments and maturities:  Credit Rating  Less than 1year  Investment Type Equity securities Fixed income securities U.S. Treasury securities Corporate bonds Corporate bonds Total fixedi income securities Total investments  Fair Value  1-5  N/A $ 860,698 $ 860,698 $  Aaa Baa2 Ba2  628,818 18,981 4,527 652,326  100,523 12,980 4,527 118,030  528,295 6,001 534,296  $ 1,513,024 $ 978,728 $ 534,296  27    NOTES TO FINANCIAL STATEMENTS  NOTE 3. DEPOSITS AND INVESTMENTS (CONTINUED)  Interest Rate Risk. As a means of limiting its exposure to fair value losses arising from rising interest rates, the City's investment policy generally limits all operating investments to instruments that mature within one year. Asset investment funds shall be diversified to eliminate risk of loss resulting from the concentration of assets in a specific maturity, a specific issuer or a specific class Custodial Credit Risk - Deposits. Custodial risk for deposits is the risk that, in the event of the failure of a depository financial institution, a government will not be able to recover deposits or will not be able to recover collateral securities that are in the possession of an outside party. State statutes require all deposits and investments (other than federal and state government instruments) to be collateralized by depository insurance, obligations of the U.S. government, or bonds of public authorities, counties, or municipalities. As of June 30, 2019, the City's deposits were fully Fair Value Measurements. All of the City's investments fall under Level 1 int the fair value hierarchy  ofr maturities.  collateralized in compliance with the state requirements.  and are valued using prices quoted in active market for those securities.  NOTE 4. RECEIVABLES  Property taxes are levied by the City based on the assessed value of property as of January 1. Property taxes attach as an enforceable lien on property as of January 19, 2019. Taxes were levied on October 19, 2018, and payable on or before December 19, 2018. Property taxes not collected by December 19th are considered and reported as delinquent taxes receivable. Property taxes levied for the year ending June 30, 2019, are recorded as receivables, net of estimated uncollectibles. In the governmental funds, the net receivables collected during the year ended June 30, 2019, and expected to be collected by August 31, 2019, are recognized as revenues for the year ended June 30, 2019, whereas, net receivables estimated to be collectible subsequent to August 31, 2019, are  recorded as revenue when received.  28    NOTES TO FINANCIAL STATEMENTS  NOTE 4.  RECEIVABLES (CONTINUED)  Receivables at June 30, 2019, for the City's individual major and nonmajor funds in the aggregate,  including the applicable allowances for uncollectible accounts are as follows:  Water $  General $ 62,000 $ 397,524 12,775 (165,000)  SPLOST and Sewer  Total $ 62,000 96,429 493,953 75,472 (165,892)  Receivables Taxes Accounts Due from other governments Less allowance for uncollectibles Net total receivable  62,697  (892)  307,299 $ 62,697 $ 95,537 $ 465,533  NOTE 5. CAPITAL ASSETS  Capital asset activity for the fiscal year ended June 30, 2019, is as follows:  Beginning Balance $ 1,131,404 $ 131,197 1,262,601 1,870,849 954,474 1,276,562 1,094,105 4,468,618 9,664,608 (572,310) (410,654) (937,054) (873,707) (1,566,381) (4.360.106) 5,304,502  Ending Balance $ 1,131,404 62,999 1,194,403 1,870,849 966,647 1,308,392 1,089,673 4,752,129 9,987,690 (613,283) (466,971) (993,224) (868,257) (1,809,110) (4,750,845) 5,236,845  Increases Decreases  Transfers  Governmental activities Capital assets, not being depreciated Land Construction. inp progress Total Capital assets, being depreciated Buildings Improvements other than buildings Machinery and equipment Vehicles Infrastructure Total Less accumulated depreciation for Buildings Improvements other than buildings Machinery and equipment Vehicles Infrastructure Total Total capital assets, being depreciated, net Govemmental activities capital assets, net  $ 227,486 227,486 31,830 66,378 98,208 (40,973) (56,317) (56,170) (56,098) (242,729) (452.287) (354,079)  (295,684) (295,684) 12,173 283,511 295,684  (70,810) (70,810)  61,548 61.548 (9,262)  295,684 591,368  6,567,103 s (126.593) s (9.262) s 295,684 $ 6,431,248  29    NOTES TO FINANCIAL STATEMENTS  NOTE 5. CAPITAL ASSETS (CONTINUED)  Beginning Balance $  Ending Balance $ 59,335 59,335 3,886,060 619,231 69,400 1,683,147 6,257,838 (2,411,789) (414,627) (69,400) (627,430) (3,523,246) 2,734,592 2,793,927  Increases Decreases  Transfers $  Business-type activities Capital assets, not being depreciated Land Construction inp progress Total Capital assets, being depreciated Buildings and system Machinery ande equipment Vehicles Watert treatment capacity Total Less accumulated depreciation for Buildings and system Machinery and equipment Vehicles Watert treatment capacity Total Total capital assets, being depreciated, net Business-type activities capital assets, net  59,335 $ 59,335 3,886,060 619,231 69,400 1,683,147 6,257,838 (2,326,277) (369,641) (69,399) (593,767) (3,359,084) 2,898,754  (85,512) (44,986) (1) (33,663) (164,162) (164,162)  2,958,089 $ (164,162) $  Depreciation expense was charged to functions of the City as follows:  Governmental activities General government Public safety Public works Culture and recreation Total governmental activities  $ 46,160 105,211 234,839 66,077 452,287  30    C 0 C C a 0 :  NOTES TO FINANCIAL STATEMENTS  NOTE 6. LONG-TERM LIABILITIES  Long-term liability activity for the year ended June 30, 2019, was as follows:  Beginning Balance $ 95,217 $ 69,032 75,375  Ending Due Within Balance One Year $ 96,542 43,444 80,128 176,670 $ 43,444 1,080 $ 486 4,175 5,255 s 486  Additions Reductions $ (95,217) $ 137,506 (109,996) 258,125 (253,372)  Governmental activities Capital leases Compensated absences Net pension liability Governmental activity Long-term liabilities Business-type activities Compensated absences $ Net pension liability Business-type activity Long-term liabilities  o e a  239,624 $ 395,631 s (458,585) $  1,080 $ 4,898 5,978 $  2,180 $ 13,585 15,765 $  (2,180) $ (14,308) (16,488) s  $  For governmental activities, compensated absences and the net pension liability are generally  liquidated byt the General Fund.  NOTE7. INTERFUND RECEIVABLES, PAYABLES AND TRANSFERS  The composition of interfund balances as of. June 30, 2019, is as follows:  Receivable Fund General Fund General Fund General Fund Nonmajor Governmental Funds Water and Sewer Fund  Payable Fund Water and Sewer Fund SPLOST Fund Nonmajor Governmental Funds General Fund General Fund  Amount $ 495,766 3,819 11,197 505 32,581 543,868  $  These balances resulted from time lag between the dates the: 1) interfund goods and services are provided or reimbursable expenditures occur, 2) transactions are recorded in the accounting system,  and 3) payments between funds are made.  31    NOTES TO FINANCIAL STATEMENTS  NOTE 7. INTERFUND RECEIVABLES, PAYABLES AND TRANSFERS (CONTINUED)  The composition of interfund transfers as of June 30, 2019, is as follows:  Transfers In General Fund SPLOSTI Fund  Transfers Out SPLOST Fund Water and Sewer Fund  Amount $ 25,528 77,763 $ 103,291  Transfers are used to: 1) move revenues from the fund that statute or budget requires collecting them to the fund that statute or budget requires to expend them, and 2) use unrestricted revenues collected in the General Fund to finance various programs in other funds in accordance with  bugetayaumorzatons. PENSION PLAN Plan Description  NOTE 8.  The City of Bloomingdale Defined Benefit Plan (the "Plan") is a single-employer defined benefit pension plan covering all full-time employees, elected officials, and appointed positions who have attained age 21 and completed one year of service. The Plan provides retirement, disability, death and termination benefits to plan members and beneficiaries. The City administers the Plan, and responsibilities include pension disbursements and general administration of the Plan through oversight of the City's Pension Board. The City's Pension Board consists of the City's elected officials appointed to the City's budget and finance committee, the City's department heads and the City attorney. The Pension Board has contracted with Raymond James & Associates Inc. to act as custodian of the assets oft the Plan. The accounting and financial reporting functions are performed by the City's finance department. The City's General Fund bears most of the Plan's administrative  costs.  Benefits Provided  The Plan provides retirement benefits for its members. Benefits vest after five years of service. Normal retirement benefits for general plan members are calculated as 1% of the average monthly compensation multiplied by the number of years of service, plus 0.375% of average monthly compensation in excess of $833.33, multiplied by the number of years of service, up to a maximum of 35 years. Average monthly compensation is the quotient of the total compensation of a participant during the 60 consecutive calendar month period of service of highest compensation.  32    NOTES TO FINANCIAL STATEMENTS  NOTE 8. PENSION PLAN (CONTINUED)  Benefits Provided (Continued)  For years of service rendered as an elected official or appointed position, the benefit shall be $10 per month for each year of service earned as an elected official or appointed position prior to January 1, 2014, plus $30 per month for each year of service earned as an elected official or Normal retirement age is the later of attainment of age 62 or the fifth anniversary of plan participation, or if earlier, attainment of age 57 and 25 years of service. Employees who have attained age 55 with ten or more years of service have the option for early retirement benefits. The  appointed position after December 31, 2013.  plan also provides for disability and termination benefits.  The Plan's benefit provisions are established and amended by local ordinance.  Employee Participation  At. June 30, 2019, the following employees were covered byt the Plan: Inactive plan members or beneficiaries currently receiving benefits Inactive plan members entitled to, but not receiving benefits  2 3 40 45  Active plan members  Total  Contributions  The City is required to contribute at an actuarially determined rate; the current rate is 9.02% of annual covered payroll. The City contributes such additional amounts as are necessary, based on actuarial valuations, to provide the Plan with sufficient assets to meet future benefit payments. In 2019, the City contributed $138,736 (9.76% of covered payroll). Employees do not contribute to the Plan. Total payroll for employees covered under the Plan for the year ended June 30, 2019, was  $1,422,187. Net Pension Liability  The City's net pension liability was measured as of June 30, 2019. The total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of July 1, 2018, with update procedures performed by the actuary to roll forward to the total pension liability measured as  of June 30, 2019.  33    NOTES TO FINANCIAL STATEMENTS  NOTE 8. PENSION PLAN (CONTINUED)  Net Pension Liability (Continued)  Actuarial assumptions. The total pension liability in the July 1, 2018, actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the  measurement:  Inflation Salary increases Investment rate of return  3.00% 5.00% 7.50%  Mortality rates were based on the 1994 Group Annuity Reserving Tale, projected to 2002. The actuarial assumptions used in the June 30, 2019 valuation were based on the results of the last actuarial experience study dated February 19, 2014. The result was rolled forward using standard The discount rate used to measure the total pension liability was 7.50%. The projection of cash flows used to determine the discount rate assumed that the City's contributions will be made at the current contribution rate. Based on those assumptions, the Plan's fiduciary net position was projected to be available to make all projected future benefit payments of current and active employees. Therefore, the long-term expected rate of return on Plan investments was applied to all The long-term expected rate of return on pension plan investments was determined using the building-block method in which best-estimate ranges of expected future real rates of return (expected returns, net of pension plan investments expense and inflation) are developed for each major asset class. These ranges are combined to produce the long-term expected rate of return by weighting the expected future real rates of return by the target asset allocation percentage and by adding expected inflation. Best estimates of arithmetic real rates of return for each major asset class included in the Plan's target asset allocation as of July 1, 2018, are summarized in the  actuarial techniques to the measurement date.  periods of projected benefit payments to determine the total pension liability.  following table:  Long-term expected real rate of return 8.00% 8.00 8.00  Target allocation 40% 52% 1% 7% 100%  Asset class  Domestic equity International equity Domestic fixed income Cash  Total  34    NOTES TO FINANCIAL STATEMENTS  NOTE 8. PENSION PLAN (CONTINUED)  Net Pension Liability (Continued)  0  Changes in the Net Pension Liability of the City. The changes in the components of the net pension  liability oft the City for the year ended June 30, 2019, were as follows:  Total Pension Liability (a) 1,562,867 $ 135,649 124,878 (33,102) (68,196) 159,229 1,722,096 $  Plan Fiduciary Net Position (b) 1,482,594 $  Net Pension Liability (a)-(b) 80,273 135,649 124,878 (33,102) (138,736) (95,842) 11,183 4,030 84,303  Beginning Balance Changes for the year Service cost Interest Differences between expected and actual experience Contributions employer Net investment income Benefit payments, including refunds of employee contributions Administrative expense. Net changes Ending Balance  138,736 95,842 (68,196) (11,183) 155,199 1,637,793 $  $  The required schedule of changes in the City's net pension liability and related ratios immediately following the notes to the financial statements presents multi-year trend information about whether the value of plan assets is increasing or decreasing over time relative to the total pension liability. Sensitivity of the net pension liability to changes in the discount rate. The following presents the net pension liability of the City, calculated using the discount rate of 7.5%, as well as what the City's net pension liability would be if it were calculated using a discount rate that is 1-percentage-point lower  65))erigecmagepaint higher (8.5%) than the current rate:  Current Discount Rate (7.5%) 84,303 $  1% Decrease (6.5%) $ 151,020 $  1% Increase (8.5%) 20,978  City's net pension liability  35    NOTES TO FINANCIAL STATEMENTS  NOTE 8. PENSION PLAN (CONTINUED)  Net Pension Liability (Continued)  Actuarial valuations involve estimates of the value of reported amounts and assumptions about the probability of events far into the future, and actuarially determined amounts are subject to continual revision as results are compared to past expectations and new estimates are made about the future. Actuarial calculations reflect a long-term perspective. Calculations are based on the substantive plan in effect as of June 30, 2019, and the current sharing pattern of costs between employer and Pension Expense and Deferred Outflow and Inflow of Resources Related to For the year ended June 30, 2019, the City recognized pension expense of $154,453, deferred outflows of resources related to the pension plan of $29,460 resulting from an investment earnings difference between projected and actual investments, and deferred inflows of resources related to pensions of $111,080 resulting from experience differences. The deferred outflow and inflow of  employee. Pensions  resources willl be recognized in pension expense as follows:  Year ending June 30: 2020 2021 2022 2023 2023 Thereafter Total  $  (12,974) (11,861) (12,230) (16,544) (15,338) (12,673) (81,620)  $  NOTE 9. JOINT VENTURE  Under Georgia law, the City, in conjunction with other cities and counties in the coastal Georgia area, is a member of the Coastal Regional Commission ("CRC") and is required to pay annual dues thereto. During the year ended June 30, 2019, the City paid $3,527 in such dues. Membership in the CRC is required by the Official Code of Georgia Annotated (O.C.G.A.) $50-8-34 which provides for the organizational structure of regional development commissions in Georgia. The CRC Board membership includes the chief elected official of each county and municipality of the area. O.C.G.A. $50-8-39.1 provides that the member governments are liable for any debts or obligations of a regional development commission. Separate financial statements may be obtained from the Coastal  Regional Commission, P.O. Box 1917, Brunswick, Georgia 31521.  36    NOTES TO FINANCIAL STATEMENTS  NOTE 10. RISK MANAGEMENT  The City is exposed to various risks of losses related to: torts; thefts of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. The City has joined together with other municipalities in the state as part of the Georgia Interlocal Risk Management Agency Property and Liability Insurance Fund and the Georgia Municipal Association Group Self- Insurance Workers' Compensation Fund, public entity risk pools currently operating as common risk As part of these risk pools, the City is obligated to pay all contributions and assessments as prescribed by the pools, to cooperate with the pool's agents and attorneys, to follow loss reduction procedures established by the funds, and to report as promptly as possible, and in accordance with any coverage descriptions issued, all incidents which could result in the funds being required to pay any claim of loss. The City is also to allow the pools' agents and attorneys to represent the Cityi in investigation, settlement discussions and all levels of litigation arising out of any claim made against The funds are to defend and protect the members of the funds against liability or loss as prescribed in the member City contract and in accordance with the workers' compensation law of Georgia. The funds are to pay all cost taxed against members in any legal proceeding defended by the members, all interest accruing after entry ofj judgment, and all expenses incurred for investigation, negotiation or defense. Settled claims in the past three years have not exceeded the coverages.  management and insurance programs for member local governments.  the City within the scope of loss protection furnished byt the funds.  NOTE 11. COMMITMENTS AND CONTINGENCIES  Litigation  The City is a defendant in certain legal actions in the nature of claims for alleged damages to persons and property and other similar types of actions arising in the course of City operations. Liability, if any, which might result from these proceedings, would not, in the opinion of management and legal counsel, have a material adverse effect on the financial position of the City.  Grant Contingencies  The City has received federal and state grants for specific purposes that are subject to review and audit by the grantor agencies. Such audits could lead to the disallowance of certain expenditures previously reimbursed by those agencies. Based upon prior experience, management of the City  believes such disallowances, if any, will not be significant.  37    a 0 :  REQUIRED SUPPLEMENTARY INFORMATION    0 -  0 o O O 0 0 o    CITY OF BLOOMINGDALE, GEORGIA REQUIRED SUPPLEMENTARY INFORMATION FOR THE FISCAL YEARS ENDED JUNE 30,  SCHEDULE OF CHANGES IN THE CITY'S NET PENSION LIABILITY  AND RELATED RATIOS  2019 124,878 (33,102) (68,196) 159,229 1,562,867 1,722,096 138,736 95,842 (68,196) (11,183) 155,199 1,482,594 1,637,793  2018 109,736 (4,996) (9,860) 203,345 1,359,522 121,431 75,080 (9,860) (13,929) 172,722. 1,309,872 1,482,594  2017 107,861 (51,698) (264,779) (100,151) 1,459,673 123,112 95,395 (264,779) (13,141) (59,413). 1,369,285 1,309,872 49,650 96.3%  2016 116,009 (69,018) (263,436) (102,274) 1,561,947 134,304 105,664 (263,436) (13,415) (36,883) 1,406,168 1,369,285  2015 113,165 (18,921) (80,855) 139,087 1,422,860 124,920 54,710 (80,855) (13,901) 84,874 1,321,294 1,406,168  2014 104,899 (68,879) (23,198) 114,365 1,308,495 1,422,860 104,770 165,890 (23,198) (11,635) 235,827 1,085,467 1,321,294  Total pension liability Service cost Interest ont total pension liability Differences between expected and actual experiençe Benefit payments, including refunds ofemployee contributions Net change int total pension liability Total pension liability- beginning Total pension liability- ending (a). Plan fiduciary net position Contributions employer Net investment income Benefit payments, including refunds ofr member contributions Administrative expenses Net change inp plan fiduciary net position Plan fiduciary net position beginning Plant fiduciary net position ending (b) City's net pension liability- ending (a)-(b) Plan fiduciary net position as a percentage oft the total pension liability Covered payroll Net pension liability asa percentage of covered payroll Notes to the Schedule:  135,649 $ 108,465 $ 108,465 $ 114,171 $ 125,698 $ 101,543  1,562,867 $ 1,359,522 $1,459,673 $ 1,561,947  84,303 $ 80,273  90,388 $ 155,779 $ 101,566  95.1%  94.9%  93.8%  90.0% 1,305,039 $ 1,249,083 11.9%  92.9%  1,422,187 $ 1,446,826 $ 1,135,450 $ 1,179,505  5.9%  5.5%  4.4%  7.7%  8.1%  The schedule will present 10y years ofi information once itis accumulated.  38    - -  0 - O a -    CITY OF BLOOMINGDALE, GEORGIA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF CITY CONTRIBUTIONS - RETIREMENT PLAN FOR THE FISCAL YEARS ENDED JUNE 30,  0  2019 137,942 138,736  2018 108,497 121,431  2017 123,112  2016 134,304  2015 124,920  2014 104,770 9,605 8.4%  Actuarially determined contribution Contributions in relation to thea actuarially determined contribution Contribution deficiency (excess) Covered payroll Contributions as a percentage of covered payroll Notes tot the Schedule: Valuation Date Cost Method Assumed Rate of Return Onl Investments Projected Salary! Increases Inflation Amortization Method Remaining Amortization Period 15 years  117,341 $ 134,134 $ 123,101 $ 114,375  (794) $ (12,934) $ (5,771)  (170) $ (1,819) s  1,422,187 $ 1,446,826 $ 1,135,450 $ 1,179,505 $ 1,305,039 $ 1,249,083  9.8%  8.4%  10.8%  11.4%  9.6%  July1,2018 Entry Age Normal 7.50% 5.00% 3.00%  Closed level percentage ofp projected payroll over 15) years  The schedule will present 10y years ofi information once itis accumulated.  39    - 0  0    CITY OF BLOOMINGDALE, GEORGIA REQUIRED SUPPLEMENTARY INFORMATION SCHEDULE OF INVESTMENT RETURNS - RETIREMENT PLAN FOR THE FISCAL YEARS ENDED JUNE 30,  2019 6.29%  2018 5.49%  2017 7.53%  2016 8.09%  2015 4.05%  2014 14.88%  Annual money weighted rate of retum, net of investment expense Notes to the Schedule:  The schedule will present 10 years ofi information once it is accumulated.  40    -  C    COMBINING AND INDIVIDUAL FUND STATEMENTS AND SCHEDULES    CITY OF BLOOMINGDALE, GEORGIA NONMAJOR GOVERNMENTAL FUNDS  Special Revenue Funds  The Fire Department Fund accounts for fund raising efforts by the City's fire department and related The Forfeiture Account Fund accounts for forfeited assets awarded to the City and the related  expenditure of those funds. expenditures.    CITY OF BLOOMINGDALE, GEORGIA COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS  JUNE 30, 2019  Special Revenue  Total Nonmajor Governmental Funds 12,089 505 12,594  Forfeiture Account Fund 11,717 $ 11,717 $  Fire Department $ $  ASSETS  Cash and cash equivalents Due from other funds Total assets  372 $ 505 877 $  LIABILITIES ANDI FUNDI BALANCE LIABILITIES Due to other funds Total liabilities FUND BALANCE Restricted for: Public safety Total fund balances Total liabilities and fund balances  $  11,197 $ 11,197  11,197 11,197  877 877 877 $  520 520 11,717 $  1,397 1,397 12,594  $  41    CITY OF BLOOMINGDALE, GEORGIA CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS FOR THE FISCAL YEAR ENDED JUNE 30, 2019  COMBINING STATEMENT OF REVENUES, EXPENDITURES AND  Special Revenue  Total Nonmajor Governmental Funds  Forfeiture Account Fund $ 100 100  Fire Department $  REVENUES Fines and forfeitures Miscellaneous Total revenues EXPENDITURES Current: Public safety Total expenditures  9,747 $ 9,747  9,747 100 9,847  4,080 4,080 (3,980) 4,857 877 $  17,476 17,476 (7,729) 8,249 520 $  21,556 21,556 (11,709) 13,106 1,397  Net change in fund balances Fund balance, beginning of year Fund balance, end of year  42    CITY OF BLOOMINGDALE, GEORGIA SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE - BUDGET AND ACTUAL FIRE DEPARTMENT FUND FOR THE FISCAL YEAR ENDED JUNE 30, 2019  Budget Original $ 1,000 $ 1,000 1,000 1,000 4,857 4,857 $  Variance With Final Budget (900) (900) (3,080) (3,080) (3,980) (3,980)  Final 1,000 $ 1,000 1,000 1,000 4,857 4,857 $  Actual 100 $ 100 4,080 4,080 (3,980) 4,857 877 $  Revenues Miscellanous Total revenues Expenditures Current: Public safety Total expenditures Net change in fund balances Fund balance, beginning of year Fund balance, end of year  43    CITY OF BLOOMINGDALE, GEORGIA SCHEDULE OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE E BUDGET AND ACTUAL FORFEITURE ACCOUNT FUND FOR THE FISCAL YEAR ENDED. JUNE 30, 2019  Budget Original $ 1,000 $ 1,000  Variance With Final Budget 8,747 8,747  Final 1,000 $ 1,000  Actual 9,747 $ 9,747  Revenues Fines and forfeitures Total revenues Expenditures Current: Publics safety Total expenditures Net change in fund balances Fund balance, beginning of year Fund balance, end of year  1,000 1,000 8,249 8,249 $  1,000 1,000 8,249 8,249 $  17,476 17,476 (7,729) 8,249 520 $  (16,476) (16,476) (7,729) (7,729)  44    CITY OF BLOOMINGDALE, GEORGIA SCHEDULE OF EXPENDITURES OF SPECIAL PURPOSE LOCAL OPTION SALES TAX FOR THE FISCAL YEAR ENDED JUNE 30, 2019  Original Estimated Cost  Current Estimated Cost  Prior Years  Current Year $ 57,289 8,729 458,461 183,431 348,277 40,549 128,077 3,000 21,483 79,928 6,797 60,454 3,689 149,278  Project  Total $ 11,942 117,914 14,935 79,520 8,457 741 230,606 118 23,797 8,449  2014 Resolution General government: General administration equipment Rental house renovations Public safety: Equipment Public works: Equipment Streetr resurfacing Jimmy DeLoach Parkway relocation Water meter replacement project School pump station upgrade Debt service interest Drainage projects: Phase III drainage project Recreation: Veterans monument Gym Rails tot trails Equipment Totals  3,200,000 $ 3,200,000 $  69,231 8,729 576,375 198,366 427,797 49,006 128,077 3,000 22,224 310,534 6,915 84,251 3,689 157,727  3,200,000 $ 3,200,000 $ 1,549,442 $ 496,479 $ 2,045,921  Reconciliation of SPLOST proceeds to expenditures and transfers reported in the SPLOST Fund:  SPLOST Fund total expenditures  591,696 (95,217) 496,479  Less debt service principal already included above  Total SPLOST expenditures  45    THIS PAGE INTENTIONALLY LEFT BLANK    COMPLIANCE SECTION    MAULDIN ENKINS CPAS & ADVISORS  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 GOVERNMENT AUDITING STANDARDS  To the Honorable Mayor and City Council City of Bloomingdale, Georgia  We have audited, in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of the United States, the financial statements of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the City of Bloomingdale, Georgia (the "City"), as of and for the year ended June 30, 2019, and the related notes to the financial statements, which collectively comprise the City's basic financial statements and have issued our report thereon dated December 30, 2019.  Internal Control Over Financial Reporting  Inp planning and performing our audit of the financial statements, we considered the City's internal control over financial reporting (internal control) to determine the audit procedures that are appropriate in the circumstances for the purpose of expressing our opinions on the financial statements, but not for the purpose of expressing an opinion on the effectiveness of the City's internal control. Accordingly, we do not express an opinion on the effectiveness of A deficiency in intemal control exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to 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. A significant deficiencyi is a deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet important enough to Our consideration of internal control was for the limited purpose described in the first paragraph of this section and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore, material weaknesses or significant deficiencies may exist that have not been identified. We did identify a certain deficiency in internal control, described in the accompanying schedule of findings and  the City's internal control.  merit attention by those charged with governance.  responses as item 2019-001 that we consider to be a material weakness.  6001 CHATHAM CENTER DRIVE, SUITE 250. SAVANNAH, GEORGIA 31405 912-232-1622 www.mjcpa.com MEMBERS OF THE. AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS    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 no instances of noncompliance or other matters that are required to be reported. under Government Auditing Standards.  The City's Response to the Finding  The City's response to the finding identified in our audit are described in the accompanying schedule of findings and responses. The City's response was not subjected to the auditing procedures applied in the audit of the financial  statements and, accordingly, we express no opinion on it.  Purpose of this Report  The 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 Government Auditing Standards inc considering the entity's internal control and compliance. Accordingly, this communication is not suitable for any  other purpose.  Mlauldi IgbieRe  Savannah, Georgia December 30, 2019  47    CITY OF BLOOMINGDALE, GEORGIA SCHEDULE OF FINDINGS AND RESPONSES FOR THE FISCAL YEAR ENDED JUNE 30, 2019  SECTIONI  SUMMARY OF AUDIT RESULTS  Financial Statements Type of auditor's report issued Internal control over financial reporting: Material weaknesses identified? Significant deficiencies identified not considered to be material weaknesses? Noncompliance material tot financial statements noted?  Unmodified X Yes  No  Yes X None reported Yes X_No  Federal Awards being less than $750,000.  There was not an audit of major federal award programs as of June 30, 2019, due to the total amount expended  SECTION II  FINANCIAL STATEMENT FINDINGS  2019-001 - Recording Accounts Payable recorded timely for accurate financial statements.  Criteria: The City's general ledger is the official record of financial transactions. All accounts payable should be Condition: During our testing of the accounts payable account balances, we noted numerous payables were not  recorded.  Cause: Procedures have not been established for recording year-end payables. Effect: The City's accounts payable and expenditures were understated at year end.  Recommendation: We recommend the City implement procedures to identify and record accounts payable at year Views of Responsible Officials and Planned Corrective Action: We concur with the finding and will assist staff with consultation in monthly budget meetings to ensure all payables are recorded in at timely manner.  end.  48    CITY OF BLOOMINGDALE, GEORGIA SCHEDULE OF FINDINGS AND RESPONSES FOR THE FISCAL YEAR ENDED JUNE 30, 2019  SECTION III  FEDERAL AWARDS FINDINGS AND QUESTIONED COSTS  Not applicable.  49    CITY OF BLOOMINGDALE, GEORGIA SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS FOR THE FISCAL YEAR ENDED JUNE 30, 2019 STATUS OF PRIOR YEAR AUDIT FINDINGS  2018-001 - Excess of Expenditures over Appropriations  Criteria: The annual budget is prepared as a working operational plan that, upon approval, becomes a legal working Condition: During our test of expenditures, we noted several expenditure categories were over the City's final  document for the City. budget at June 30, 2018. Status: Unresolved - See footnote 2.  2018-002 - Improper Reconciliation of Accounts Receivable should be reconciled monthly to the subsidiary ledgers.  Criteria: The City's general ledger is the official record of financial transactions. All accounts receivable accounts Condition: During our testing of the accounts receivable account balances for sanitation, fire fee and water and sewer, we noted that the accounts were not properly reconciled to the general ledger, and variances could not be  explained. Status: Resolved  2018-003 - Other Accounts Receivable  Criteria: Accounts receivable balances should be reconciled to the general ledger on a periodic basis. Condition: During our testing of accounts receivable, we noted certain account balances that had not changed from  the previous year. Status: Resolved  2018-004- - Recording Accounts Payable recorded timely for accurate financial statements.  Criteria: The City's general ledger is the official record ofi financial transactions. All accounts payable should be Condition: During our testing of the accounts payable account balances, we noted numerous payables were not  recorded.  Status: Unresolved - see finding 2019-001.  50    CITY OF BLOOMINGDALE, GEORGIA SUMMARY SCHEDULE OF PRIOR YEAR FINDINGS FOR THE FISCAL YEAR ENDED JUNE 30, 2019  STATUS OF PRIOR YEAR. AUDIT FINDINGS (CONTINUED)  2018-05-Timeliness of Bank Reconciliations  Criteria: The City's general ledger is the official record of financial transactions. Bank accounts should ber reconciled Condition: During our testing of cash, we noted that many of the City's bank accounts were not reconciled to the general ledger in ai timely manner. Significant adjustments had to be made to the general ledger at year-end.  monthly to this balance.  Status: Resolved  2018-006 - Unexplained Variances in Customer Deposit Listing  Criteria: A customer deposit listing should be maintained in order to determine which customers are due ar refund. Condition: The water and sewer customer deposit listing that was provided by the City did not agree to the liability balances reported byt the City. The City was unable to provide ar reason for or the cause of the variance.  Status: Resolved 2018-007 - Inventory departments.  Criteria: Inventory accounts are maintained to ensure goods on hand are properly consumed by various  Condition: During our audit, we noted that the gasoline/diesel inventory account required an adjustment of $73,417.  Status: Resolved  2018-008-Year-end Close Process  Criteria: Management is responsible for the accuracy and completeness of thei financial transactions ini the City's Condition: The City currently does not have an adequate monthly or year-end close process, whereby the City's  general ledger to ensure accurate financial statements.  financial records are reviewed and reconciled to supporting documentation.  Status: Resolved  51