Immokalee Fire District audit FY 161 B1
,�,Mo►�LFF Immokalee Fire Control District
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E I I E 5368 Useppa Drive, Ave Maria, FL. 34142
Michael J. Choate, Fire Chief
Ave Maria
March 25, 2024
Mr. Derek Johnson, General Accounting Manager
Clerk of the Circuit Court, Finance Department
3299 Tamiami Trail East, #403
Naples, FL 34112
Dear Mr. Johnson:
Enclosed please a copy of the District's audit for the fiscal year ended 9-30-23.
Please contact me if you have any questions or would like to receive an electronic copy
of the audit.
Very truly yours,
BECKY BRONSDON
Chief Financial Officer
Enclosures
Headquarters(239)657-2111 Fire Prevention(239)597-9227
Fax(239)657-9489
t6 B1
IMMOKALEE FIRE CONTROL DISTRICT
BASIC FINANCIAL STATEMENTS
TOGETHER WITH ADDITIONAL REPORTS
YEAR ENDED
SEPTEMBER 30,2023
16 I B "►
TABLE OF CONTENTS
Page(s)
INDEPENDENT AUDITOR'S REPORT 1-4
MANAGEMENT'S DISCUSSION AND ANALYSIS(MD&A) i-vii
BASIC FINANCIAL STATEMENTS
GOVERNMENT-WIDE FINANCIAL STATEMENTS:
Statement of Net Position 5
Statement of Activities 6
FUND FINANCIAL STATEMENTS:
Governmental Funds:
Balance Sheet-Governmental Funds 7
Reconciliation of the Balance Sheet-Governmental Funds to the Statement of Net
Position 8
Statement of Revenues,Expenditures and Changes in Fund Balance-Governmental Funds 9
Reconciliation of the Statement of Revenues,Expenditures and Changes
in Fund Balance-Governmental Funds to the Statement of Activities 10
NOTES TO THE FINANCIAL STATEMENTS 11-54
REQUIRED SUPPLEMENTARY INFORMATION OTHER THAN MD&A
BUDGET TO ACTUAL COMPARISON-MAJOR FUNDS(General and Special Revenue Funds)
Statement of Revenues,Expenditures and Changes in Fund Balance-Budget and Actual-
General Fund-Summary Statement 55
Statement of Revenues,Expenditures and Changes in Fund Balance-Budget and Actual-
General Fund-Detailed Statement 56-58
Statement of Revenues,Expenditures and Changes in Fund Balance-Budget
and Actual-Impact Fee Fund-Summary Statement 59
OTHER REQUIRED SUPPLEMENTARY INFORMATION
Schedule of District Proportionate Share of the Net Pension Liability-Florida Retirement
System(FRS)Pension Plan 60
Schedule of District Contributions-Florida Retirement System(FRS)Pension Plan 60
Schedule of District Proportionate Share of the Net Pension Liability-Health Insurance
Subsidy(HIS)Pension Plan 61
Schedule of District Contributions-Health Insurance Subsidy(HIS)Pension Plan 61
Notes to the Required Supplementary Information 62-63
Schedule of Changes in the Net OPEB Liability and Related Ratios,GASB No.75
and Related Notes to the Schedule 64
ADDITIONAL REPORTS
Independent Auditor's Report on Internal Control over Financial Reporting
and on Compliance and Other Matters Based on an Audit of Basic Financial Statements
Performed in Accordance with Government Auditing Standards 65-66
Independent Accountant's Report on Compliance with Section 218.415,Florida Statutes 67
Independent Auditor's Report to Management 68-70
Management's Response to Independent Auditor's Report to Management Exhibit 1
Florida Rules of the Auditor General-Rule 10.554(1)(i)6-8 Compliance-Unaudited Exhibit 2
1 a
161 B1
TI4 s cAN Affiliations
Florida Institute of Certified Public Accountants
Company, PA American Institute of Certified Public Accountants
Private Companies Practice Section
Certified Public Accountants&Consultants Tax Division
INDEPENDENT AUDITOR'S REPORT
Board of Commissioners
Immokalee Fire Control District
5368 Useppa Dr.
Ave Maria,Florida 34142
Opinions
We have audited the accompanying financial statements of the governmental activities and each major fund of Immokalee
Fire Control District(the"District")as of and for the year ended September 30,2023,and the related notes to the financial
statements,which collectively comprise the District's basic fmancial statements as listed in the table of contents.
Summary of Opinions
Opinion Unit Type of Opinion
Governmental Activities Unmodified
General Fund Unmodified
Impact Fee Fund Unmodified
In our opinion,based on our audit and the report of other auditors,the financial statements referred to above present
fairly,in all material respects,the respective fmancial position of the governmental activities and each major fund of
Immokalee Fire Control District 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 States of America.
Matter of Emphasis
During the year ended September 30,2023,the District implemented GASB Statement No.96"Subscription-based
Information Technology Arrangements(SBITA's)"as further described in Note Q. The net position was not required to be
restated as of October 1,2022.
Basis for Opinions
We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Our
responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial
Statements section of our report. We are required to be independent of the District,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 obtained is sufficient and appropriate to provide a basis for our audit opinions.
We did not audit the financial statements of Florida Retirement Systems Pension Plan(FRS)or Health Insurance Subsidy
Pension Plan(HIS)as of and for the year ended June 30,2023. The District is required to record its proportionate share of
the FRS and HIS liability in the District's government-wide financial statements as of September 30,2023 and for the year
then ended.Those financial statements were audited by other auditors whose report thereon has been furnished to us,
and our opinion,insofar as it relates to the amounts included for Immokalee Fire Control District's government-wide
financial statements,is based on the report of the other auditors.
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.
INTEGRITY SERVICE EXPERIENCE
12621 World Plaza Lane,Building 55 •Fort Myers,FL 33907•Phone: (239)333-2090•Fax: (239)333-2097
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Board of Commissioners
Immokalee Fire Control District
Page 2
In preparing the financial statements,management is required to evaluate whether there are conditions or events,
considered in the aggregate,that raise substantial doubt about the District's ability to continue as a going concern for
twelve months beyond the financial statement date,including any currently known information that may raise substantial
doubt shortly thereafter.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material
misstatement,whether due to fraud or error,and to issue an auditor's report that includes our opinions. Reasonable
assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit
conducted in accordance with generally accepted 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
fraud may involve 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 reasonable user based on the financial statements.
In performing an audit in accordance with generally accepted auditing standards,we:
• Exercise professional judgment 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 in the financial statements.
• 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
District's internal control. Accordingly,no such opinion is expressed.
• Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates
made by management,as well as evaluate the overall presentation of the financial statements.
• Conclude whether,in our judgment,there are conditions or events,considered in the aggregate,that raise substantial
doubt about the District's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding,among other matters,the planned scope and
timing of the audit,significant audit findings,and certain internal control-related matters that we identified during the audit.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that the management's discussion and
analysis on pages i-vii,Schedule of the District's Proportionate Share of the Net Pension Liability-Florida Retirement
System Pension Plan(FRS),Schedule of District Contributions-Florida Retirement System Pension Plan(FRS),Schedule
of the District's Proportionate Share of the Net Pension Liability-Health Insurance Subsidy Pension Plan(HIS),Schedule
of District Contributions-Health Insurance Subsidy Pension Plan(HIS),Notes to the Required Supplementary
Information and Schedule of Changes in the Total OPEB Liability and Related Ratios GASB No.75 and related Notes to
the Schedule,as listed in the table of contents,be presented to supplement the basic fmancial statements. Such
information,although not a part of the basic financial statements,is required by the Governmental Accounting Standards
Board which 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-management's discussion and analysis(MD&A),Schedule of the District's Proportionate
Share of the Net Pension Liability-Florida Retirement System Pension Plan(FRS),Schedule of District Contributions-
Florida Retirement System Pension Plan(FRS),Schedule of the District's Proportionate Share of the Net Pension Liability
-Health Insurance Subsidy Pension Plan(HIS),Schedule of District Contributions-Health Insurance Subsidy Pension
{ n
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Board of Commissioners
Immokalee Fire Control District
Page 3
Plan(HIS),Notes to the Required Supplementary Information and Schedule of Changes in the Total OPEB Liability and
Related Ratios GASB No.75 and related Notes to the Schedule,as listed in the table of contents,in accordance with
auditing standards generally accepted in the United States of America,which consisted of inquiries of management about
the methods of preparing the information and comparing the information for consistency with management's responses to
our inquiries,the basic financial statements,and other knowledge we obtained during our audit of the basic financial
statements.We do not express an opinion or provide any assurance on the required supplementary information-
management's discussion and analysis(MD&A),Schedule of the District's Proportionate Share of the Net Pension
Liability-Florida Retirement System Pension Plan(FRS),Schedule of District Contributions-Florida Retirement System
Pension Plan(FRS),Schedule of the District's Proportionate Share of the Net Pension Liability-Health Insurance Subsidy
Pension Plan(HIS),Schedule of District Contributions-Health Insurance Subsidy Pension Plan(HIS),Notes to the
Required Supplementary Information and Schedule of Changes in the Total OPEB Liability and Related Ratios GASB No.
75 and related Notes to the Schedule,as listed in the table of contents,because the limited procedures do not provide us
with sufficient evidence to express an opinion or provide any assurance.
Other Required Supplementary Information
Our audit was conducted for the purpose of forming an opinion on the financial statements that collectively comprise
Immokalee Fire Control District's basic financial statements. The required supplementary information other than MD&A-
budgetary comparison information is presented for purposes of additional analysis and is not a required part of the basic
financial statements.
The required supplementary information other than MD&A-budgetary comparison information is the responsibility of
management and was derived from and relates 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 required supplementary information other than MD&A-budgetary comparison
information is fairly stated,in all material respects,in relation to the basic financial statements as a whole.
Other Information
Our audit was conducted for the purpose of forming an opinion on the financial statements that collectively comprise the
District's basic financial statements. The Exhibit 1-Management's Response to Independent Auditor's Report to
Management and Exhibit 2-Florida Rules of the Auditor General-Rule 10.554(1)(i)6-8 Compliance-Unaudited are not a
required part of the basic financial statements but are required by Government Auditing Standards and/or Rules of the
Auditor General,Section 10.554(i),respectively. Such information has not been subjected to the auditing procedures
applied in the audit of the basic financial statements and,accordingly,we do not express an opinion or provide any
assurance on it.
In connection with our audit of the basic financial statements,our responsibility is to read the other information and
consider whether a material inconsistency exists between the other information and the basic financial statements,
or the other information otherwise appears to be materially misstated. If,based on the work performed,we conclude
that an uncorrected material misstatement of the other information exists,we are required to describe it in our report.
Other Reporting Required by Section 218.415,Florida Statutes
In accordance with Section 218.415,Florida Statutes,we have also issued a report dated February 1,2024,on our
consideration of Immokalee Fire Control District's compliance with provisions of Section 218.415,Florida Statutes. The
purpose of that report is to describe the scope of our testing of compliance and the results of that testing,and to provide
an opinion on compliance with the aforementioned Statute. That report is an integral part of an audit performed in
accordance with Sections 218.39 and 218.415,Florida Statutes in considering Immokalee Fire Control District's compliance
with Section 218.415,Florida Statutes.
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Board of Commissioners
Immokalee Fire Control District
Page 4
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards,we have also issued our report dated February 1,2024,on our
consideration of the District's internal control over financial reporting and on our tests of its compliance with certain
provisions of laws,regulations,contract and grant agreements and other matters. The purpose of that report is to
describe the scope of our testing of internal control over financial reporting and compliance and the results of that
testing,and not to provide an opinion on internal control over financial reporting or on compliance. That report is an
integral part of an audit performed in accordance with Government Auditing Standards in considering Immokalee Fire
Control District's internal control over financial reporting and compliance.
ilvaki/814/1) i 44411/4°1 / /11 •
TUSCAN&COMPANY,P.A.
Fort Myers,Florida
February 1,2024
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MANAGEMENT'S DISCUSSION
AND ANALYSIS
(MD&A)
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Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
General Information
The Immokalee Fire Control District's (the "District") discussion and analysis is designed
to assist the reader in focusing on significant financial issues, provide an overview of the
District's financial activity, identify changes in the District's financial ability to address
the next and subsequent fiscal years challenges, identify any material deviations from
the approved budget, and identify individual fund issues and concerns.
Management's Discussion and Analysis (MD&A) is intended to serve as an introduction
to the District's basic financial statements which are composed of 1) government-wide
financial statements, 2) fund financial statements, and 3) notes to the financial
statements, It is designed to focus on the current fiscal year's activities, resulting
changes and currently known facts, and should be read in conjunction with the District's
financial statements.
Fiscal Year Highlights
As expected, the District's financial position increased during the fiscal year ended
September 30, 2022 by $1 ,753,527 substantially due to the use of impact fees in the
amount of$1,253,069 and construction related grant income of$1,841,389.
As expected, the District's financial position increased during the fiscal year ended
September 30, 2023 by $209,688 substantially due to an increase in ad valorem tax
revenue.
Effective September 30, 2015, the District adopted the provisions of Governmental
Accounting Standards Board Statement No. 68, Accounting and Financial Reporting for
Pensions (Statement No. 68). The implementation of this standard required the District
to annually report its actuarially determined net pension liability in the government-wide
financial statements. It also requires additional disclosure in the notes related to the
financial statements.
Effective September 30, 2018, the District adopted the provisions of Governmental
Accounting Standards Board Statement No. 75 "Accounting and Financial Reporting for
Post Employment Benefits Other Than Pensions (OPEB)" (Statement No. 75). This
accounting standard requires the District to annually report its actuarially determined net
OPEB liability.
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Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
Government-wide Financial Statements
The government-wide financial statements are designed to provide readers with a broad
overview of the District's finances in a manner similar to a private-sector business. The
statements combine and consolidate governmental fund short-term spendable
resources with capital assets and long-term obligations.
The statements include a Statement of Net Position and a Statement of Activities that
are designed to provide consolidated financial information about governmental activities
of the District presented on the accrual basis of accounting.
The Statement of Net Position presents information on all of the District's assets and
liabilities, with the difference between the two reported as net position. Over time, the
increases or decreases to net position may serve as a useful indicator of whether the
financial position of the District is improving or deteriorating.
The government-wide financial statements can be found on pages 5 and 6 of this report
at September 30:
2022 2023
Assets:
Current Assets $ 8,781,915 $ 6,568,462
Noncurrent Assets 19,542,073 23,630,892
Total Assets 28,323,988 30,199,354
Deferred Outflows of Resources 1,571,803 1,470,945
Liabilities:
Accounts Payable and Other Current Liabilities 4,240,612 3,905,398
Unearned Revenue-impact fees 2,417,180 3,306,227
Noncurrent Liabilities 12,371,978 13,492,240
Total Liabilities 19,029,770 20,703,865
Deferred Inflows of Resources 449,208 339,933
Net Position:
Net Investment in Capital Assets 9,181,660 13,273,534
Unrestricted Net Assets (Deficit) 1,235,153 (2,647,033)
Total Net Position $10,416,813 $10,626.501
The Statement of Activities presents information showing how the District's net position
changed during the fiscal years. The focus is on both gross and net costs of various
activities that are supported by the District's ad valorem tax and other revenues. Thus,
ii
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Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
Government-wide Financial Statements (Continued)
revenues and expenses are reported in this Statement for some items that will only
result in cash flows in a future fiscal period (e.g. uncollected taxes earned). This
Statement is intended to summarize and simplify the user's analysis of the cost of
various governmental services. An increase or decrease in net position may be an
indication of whether the District's financial health is improving or deteriorating.
The following reflects the revenues, expenses and changes in financial position for the
years ended September 30:
2022 2023
Revenues:
Ad Valorem Taxes $ 4,987,520 $ 6,100,838
Interest Income 20,162 303,203
Grant Revenue 1,849,921 160,659
Impact Fees 1,253,069 1,414,108
Other Revenue 133,225 359,352
Total Revenue 8,243,897 8,338,160
Expenses
Public Safety Expenses 6,490,370 8,128,472
Change in Net Position 1,753,527 209,688
Net Position — Beginning 8,663,286 10,416,813
Net Position - Ending of the fiscal year $ 10,416,813 $10.626,501
Both of the financial statements distinguish the functions of the District that are
principally supported by ad valorem taxes and intergovernmental revenues. The
governmental activities of the District are for public safety.
General Revenues
During fiscal year 2023, the District received $1,113,318 more in ad valorem tax dollars
over the prior fiscal year due to an increase in assessable value of property within the
District. This represents a 22% increase.
During fiscal year 2022, the District received $333,550 more in ad valorem tax dollars
over the prior fiscal year due to an increase in assessable value of property within the
District. This represents a 7% increase. Grant revenue also increased $849,921 net
over the prior fiscal year due principally to construction related grants.
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. Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
Government-wide Financial Statements (Continued)
Expenses
During the fiscal year of 2023 expenses increased by $1,638,102 vs. the prior fiscal
year due to increases in personnel costs and debt service costs related to paying off the
original Station 30 construction loan.
During the fiscal year of 2022 expenses increased by $2,086,722 vs. the prior fiscal
year due to increases in costs and depreciation expense on Station #32. These costs
included an increase in personnel costs for the new station, pension liability, OPEB
costs and interest expense related to debt service.
Net Position
During fiscal year 2023, net position increased by $209,688.
During fiscal year 2022, net position increased by $1,753,527.
Liabilities
During the year ended September 30, 2023, the District entered 3 capital leases totaling
$902,825 for a pumper truck, 1 officer vehicle and 1 service vehicle. The District also
refinanced the construction loan for Station 30.
During the year ended September 30, 2022, the District entered a capital leases of
$61,330 for a staff vehicle, $2,301,929 for Station #32 (Ave Maria) and $3,000,000 for
Station #30 (New Market Road).
Fund Financial Statements
A fund is a grouping of related accounts that is used to maintain control over resources
that have been segregated for specific activities or objectives. The District uses fund
accounting to ensure and demonstrate compliance with finance-related legal
requirements.
Governmental Funds
Governmental funds are used to account for essentially the same functions reported as
governmental activities in the government-wide financial statements. However, unlike
the government-wide financial statements, governmental fund financial statements
focus on the short-term inflows and outflows of spendable resources, as well as on
balances of spendable resources available at the end of the fiscal year. Both the
governmental fund balance sheet and the governmental fund statement of revenues,
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Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
Governmental Funds (Continued)
expenditures, and changes in fund balance provide a reconciliation to facilitate the
comparison between governmental funds and governmental activities.
The District maintains two governmental funds, the General Fund and the Special
Revenue Fund for impact fees. Each fund's activity is presented separately in the
governmental fund balance sheet and in the governmental fund statement of revenues,
expenditures, and changes in fund balances. These statements can be found on pages
7 and 9 of this report.
Notes to the Basic Financial Statements
The notes provide additional information that is essential to a full understanding of the
data provided in the government-wide and fund financial statements and can be found
beginning on page 11 of this report.
General Fund Budgetary Highlights
The District adopts an annual appropriated budget for each of its governmental funds.
The most significant original budget variance for the year ended September 30, 2023
was due to receipt of approximately $137,000 in ad valorem tax more than budgeted in
unanticipated grant revenue. The actual expenditures in the General Fund were
$2,735,939 less than the final amended budget. The actual expenditures were less than
budget in general due to not having to use any reserves to cover expenditures.
The District amended its original budget to adjust for the September 30, 2021 audit fund
balance carryover and various other changes in anticipated revenues and expenditures.
The District adopts an annual appropriated budget for each of its governmental funds.
The most significant budget variance for the year ended September 30, 2022 was due
to entering the capital lease for communication equipment. The actual expenditures in
the General Fund were $5,667,814 less than the final amended budget. The actual
expenditures were less than budget in general due to not having to use any reserves to
cover expenditures.
The significant difference between the original and final budget for the year ended
September 30, 2022, was the adjustment of the carry forward to the prior year audited
balance.
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Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
Capital Assets
The following is a schedule of the District's capital assets at September 30:
Capital Assets
September 30
2022 2023
Capital Assets not being depreciated:
Land $ 390,256 $ 390,256
Construction in progress 2,564,661 6,508,106
Total Capital Assets not being depreciated 2,954,917 6,898,362
Capital Assets being depreciated:
Buildings and building improvements 13,298,314 13,316,996
Machinery& equipment 2,664,664 2,309,079
Vehicles 3,951,660 4,840,528
Total Capital Assets being depreciated 19,914,638 20,466,603
Less: Accumulated Depreciation (3,327,482) (3,798,722)
Capital Assets, being depreciated, net 16,587,156 16,667,881
Capital Assets, Net $ 19,542,073 $ 23,566,243
The District purchased capital assets during the year ended September 30, 2023 in the
amount of$5,173,822 which consisted substantially of a new pumper truck, an officer
vehicle and a service truck. The District purchased various equipment totaling
$304,945. The District also incurred costs related to construction of the new Immokalee
station (St 30) in the amount of$3,943,445.
During the year ended September 30, 2022, the District purchased capital assets of
$5,030,219 which consisted of construction in progress of$2,152,084 related to new
stations, and $2,878,135 for a staff vehicle, a brush truck, a tanker and other equipment
to outfit Station #32.
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Immokalee Fire Control District
Management's Discussion and Analysis
September 30, 2023
Long Term Liabilities
The following is a summary of changes in long-term liabilities for the year ended
September 30:
2022 2023
Net pension liability - FRS $ 4,248,721 $ 4,616,173
Net pension liability - HIS 704,672 1,099,842
Compensated absences 343,068 533,435
Capital leases 2,131,502 2,662,274
Net OPEB liability 291,263 266,641
Construction Loans 8,228,911 7,630,435
$ 15,948,137 '$ 16,808,800
During the year ended September 30, 2023, the District issued $2,700,000 in an
additional construction loan to finish construction of Station #30. The District also
entered 3 financing leases for a pumper truck, an officer vehicle and a service truck.
During the year ended September 30, 2022, the District issued $5,301,929 in additional
construction loans to continue construction of Stations #32 and #30. Station #32 was
completed and placed in service during the year.
Economic Factors and Next Year's Budget Rates
The following were factors considered when next year's budget (2023-2024) was
prepared:
• The estimated property taxes increased by approximately $1,154,085 or 19% for
budgeting purposes for 2024 as compared to 2023. The millage rate stayed
consistent at 3.75 mills for the fiscal year ending September 30, 2024. The District
plans to complete the construction of the New Market Road Fire Station #30 during
FY 2024.
Request for information
This financial report is designed to provide the reader an overview of the District.
Questions regarding any information provided in this report should be directed to:
Immokalee Fire Control District, 5368 Useppa Drive, Ave Maria, Florida 34142, attention
Becky Bronsdon, Chief Financial Officer, telephone (239) 657-2111.
vii
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IMMOKALEE FIRE CONTROL DISTRICT Page 5 of 70
STATEMENT OF NET POSITION
September 30,2023
Governmental
Activities
ASSETS
Current assets:
Cash and cash equivalents $ 2,874,576
Restricted cash and cash equivalents 3,049,636
Investments 25,373
Investments-restricted 157,411
Due from other governments,including restricted amount of$179,311 254,940
Prepaid expenses 152,743
Right of use subscription asset,current 53,783
Total current assets 6,568,462
Noncurrent assets:
Right of use subscription asset,net of current 64,649
Capital assets:
Land 390,256
Construction in progress 6,508,106
Depreciable buildings,equipment and vehicles
(net of$3,798,722 accumulated depreciation) 16,667,881
Total noncurrent assets 23,630,892
TOTAL ASSETS 30,199,354
DEFERRED OUTFLOWS OF RESOURCES 1,470,945
LIABILITIES
• Current liabilities:
Accounts payable 137,330
Accrued liabilities 27,513
Due to other governments -
Unearned revenue-land easement 12,000
Unearned revenue-impact fees 3,306,227
Retainage payable 293,563
Current portion of long-term obligations 3,381,209
Right of use subscription liability,current 53,783
Total current liabilities 7,211,625
Noncurrent liabilities:
Noncurrent portion of long-term obligations 13,427,591
Right of use subscription liability,net of current 64,649
TOTAL LIABILITIES 20,703,865
DEFERRED INFLOWS OF RESOURCES 339,933
NET POSITION
Net investment in capital assets 13,273,534
Restricted -
Unrestricted(deficit) (2,647,033)
TOTAL NET POSITION(DEFICIT) $ 10,626,501
The accompanying notes are an integral part of this statement.
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IMMOKALEE FIRE CONTROL DISTRICT Page 6 of 70
STATEMENT OF ACTIVITIES
Year Ended September 30,2023
Governmental
Activities
EXPENSES
Governmental Activities
Public Safety-Fire Protection
Personnel services $ 5,415,117
Operating expenses 1,222,826
Depreciation 1,147,565
Interest and fiscal charges 342,964
TOTAL EXPENSES-GOVERNMENTAL ACTIVITIES 8,128,472
PROGRAM REVENUES
Charges for services -
Operating/capital grants and contributions 160,659
TOTAL PROGRAM REVENUES 160,659
NET PROGRAM EXPENSES 7,967,813
GENERAL REVENUES
Ad Valorem taxes 6,100,838
Impact fees 1,414,108
Interest 303,203
Gain on disposition of capital assets 24,155
Other financial assistance-CARES Act -
Other 335,197
TOTAL GENERAL REVENUES 8,177,501
INCREASE(DECREASE) IN NET POSITION 209,688
NET POSITION(DEFICIT)-Beginning of year 10,416,813
NET POSITION(DEFICIT)-End of the year $ 10,626,501
The accompanying notes are an integral part of this statement.
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BALANCE SHEET - GOVERNMENTAL FUNDS
September 30,2023
Total
General Impact Fee Governmental
Fund Fund Funds
ASSETS
Cash and cash equivalents $ 2,874,576 $ - $ 2,874,576
Restricted cash and cash equivalents - 3,049,636 3,049,636
Investments 25,373 157,411 182,784
Due from other governments 75,629 179,311 254,940
Due from other funds 66,342 - 66,342
Prepaid expenditures 152,743 - 152,743
TOTAL ASSETS $ 3,194,663 $ 3,386,358 $ 6,581,021
LIABILITIES AND FUND BALANCE
LIABILITIES
Accounts payable $ 135,541 $ 1,789 $ 137,330
Accrued liabilities 27,513 - 27,513
Due to other governments - - -
Due to other funds - 66,342 66,342
Retainage payable 293,563 - 293,563
Unearned revenue-land easement - 12,000 12,000
Unearned revenue-impact fees - 3,306,227 3,306,227
TOTAL LIABILITIES 456,617 3,386,358 3,842,975
FUND BALANCE
Nonspendable 152,743 - 152,743
Assigned 2,585,303 - 2,585,303
Unassigned - - -
TOTAL FUND BALANCE 2,738,046 - 2,738,046
TOTAL LIABILITIES AND
FUND BALANCE $ 3,194,663 $ 3,386,358 $ 6,581,021
The accompanying notes are an integral part of this statement.
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RECONCILIATION OF THE BALANCE SHEET - GOVERNMENTAL
FUNDS TO THE STATEMENT OF NET POSITION
September 30,2023
Amount
Total fund balance for governmental funds $ 2,738,046
Amounts reported for governmental activities in the
statement of net position are different because:
Right of use-subscription asset 118,432
118,432
Capital assets used in governmental activities are not financial resources
and,therefore,are not reported in the governmental funds.
Capital assets not being depreciated:
Land 390,256
Construction in progress 6,508,106
6,898,362
Governmental capital assets being depreciated:
Building,Equipment and Vehicles 20,466,603
Less accumulated depreciation (3,798,722)
16,667,881
Deferred outflows and deferred inflows related to pensions are applied to
future periods and,therefore,are not reported in the governmental funds.
Deferred outflows related to pensions 1,470,945
1,470,945
Deferred inflows related to pensions (339,933)
(339,933)
Right of use-subscription liability (118,432)
(118,432)
Long-term liabilities are not due and payable in the current period
and,therefore,are not reported in the governmental funds.
Net pension liability-FRS (4,616,173)
Net pension liability-HIS (1,099,842)
Capital leases (2,662,274)
Construction loan (7,630,435)
Compensated absences (533,435)
Net OPEB liability (266,641)
(16,808,800)
Elimination of interfund amounts:
Due from other funds 66,342
Due to other funds (66,342)
Total net position(deficit)of governmental activities $ 10,626,501
The accompanying notes are an integral part of this statement.
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STATEMENT OF REVENUES,EXPENDITURES AND
CHANGES IN FUND BALANCE - GOVERNMENTAL FUNDS
Year Ended September 30,2023
Impact Total
General Fee Governmental
Fund Fund Funds
REVENUES
Ad Valorem taxes $ 6,100,838 $ - $ 6,100,838
Intergovernmental revenues:
Federal public safety grants-CDBG 158,139 - 158,139
State public safety grants - - -
Other grants - - -
State firefighter supplemental 2,520 - 2,520
Fees:
Inspection fees - - -
Impact fees - 1,414,108 1,414,108
Miscellaneous:
Interest 200,514 102,689 303,203
Other 335,197 - 335,197
TOTAL REVENUES 6,797,208 1,516,797 8,314,005
EXPENDITURES
Current
Public safety
Personnel services 4,495,167 - 4,495,167
Operating expenditures 1,143,017 79,809 1,222,826
Capital outlay 4,361,815 812,007 5,173,822
Debt service
Principal reduction 3,237,808 432,721 3,670,529
Interest and fiscal charges 150,704 192,260 342,964
TOTAL EXPENDITURES 13,388,511 1,516,797 14,905,308
EXCESS OF REVENUES
OVER(UNDER)EXPENDITURES (6,591,303) - (6,591,303)
OTHER FINANCING SOURCES(USES)
Proceeds from issuance of financing lease 123,067 - 123,067
Proceeds from disposition of capital assets 26,242 - 26,242
Proceeds from issuance of construction loans 3,479,758 - 3,479,758
TOTAL OTHER FINANCING
SOURCES(USES) 3,629,067 - 3,629,067
NET CHANGE IN FUND BALANCE (2,962,236) - (2,962,236)
FUND BALANCE-Beginning of the year 5,700,282 - 5,700,282
FUND BALANCE-End of the year $ 2,738,046 $ - $ 2,738,046
The accompanying notes are an integral part of this statement.
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RECONCILIATION OF THE STATEMENT OF REVENUES,
EXPENDITURES AND CHANGES IN FUND BALANCE -
GOVERNMENTAL FUNDS TO THE STATEMENT
OF ACTIVITIES
Year Ended September 30,2023
Amount
Net change(excess of revenues over(under)expenditures)
in fund balance-total governmental funds $ (2,962,236)
The decrease(change)in net position reported for governmental activities
in the statement of activities is different because:
Governmental funds report capital outlays as expenditures.
However,in the Statement of Activities,the cost of those assets
is allocated over their estimated useful lives and reported as
depreciation expense.
Plus:Expenditures for capital assets 5,173,822
Less:proceeds from disposition of capital assets (26,242)
Plus:gain on disposition of capital assets 24,155
Less: current year depreciation (1,147,565)
4,024,170
The issuance of debt is reported as a financing source in governmental
funds and thus contributes to the change in fund balance. In the
Statement of Net Position,however,issuing debt increases long-term
liabilities and does not affect the Statement of Activities.
Similarly,repayment of principal is an expenditure in the
governmental funds but reduces the liability in the Statement of
Net Position.
Proceeds from issuance of capital lease (902,825)
Proceeds from issuance of construction loans (2,700,000)
Repayments(principal retirement)for capital leases 372,053
Repayments(principal retirement)for construction loan 3,298,476
67,704
Some expenses reported in the Statement of Activities do not require the
use of current financial resources and,therefore,are not reported as
expenditures in the governmental funds.
Increase(decrease)in deferred outflows-Pensions (100,858)
(Increase)decrease in deferred inflows-Pensions 109,275
(Increase)decrease in net pension liability-FRS (367,452)
(Increase)decrease in net pension liability-HIS (395,170)
(Increase)decrease in compensated absences,net (190,367)
(Increase)decrease in net OPEB liability 24,622
(919,950)
Increase(decrease)in net position of governmental activities $ 209,688
The accompanying notes are an integral part of this statement.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES
Organization
Immokalee Fire Control District(the "District"), is an independent special district
established on May 3, 1955 by Laws of Florida, Chapter 55-30666, as amended.
The District has the general and specific powers prescribed by Florida Statutes
Chapters 189, 633 and Chapter 191. Laws of Florida, Chapter 2000-393 codified,
reenacted, amended and repealed its prior enabling acts. Also, as a result of Laws of
Florida, Chapter 2000-393, the District's name was changed from Immokalee Fire
Control and Rescue District to Immokalee Fire Control District. Laws of Florida,
Chapter 2001-330 amended Laws of Florida, Chapter 2000-393 and authorized the
District to levy impact fees on new construction within the District. During January
2012,the voters within the District passed a referendum increasing the District's
millage cap from 3 mills to 3.75 mills effective for the year ended September 30,
2013 and thereafter. The District was created for the purpose of providing fire
control and protection services as well as crash and rescue services for a designated
area in eastern Collier County. The District operates three (3) station houses and has
approximately 37 employees including part-time employees plus five (5)
Commissioners. The District is governed by an elected five (5) member Board of
Commissioners serving staggered four(4) year terms.
Summary of Significant Accounting Policies
The following is a summary of the significant accounting policies used in the
preparation of these basic financial statements.
Reporting Entity
The District adheres to Governmental Accounting Standards Board (GASB)
Statement Number 14, "Financial Reporting Entity" (GASB 14), as amended by
GASB Statement Number 39, "Determining Whether Certain Organizations Are
Component Units" (GASB 39) and GASB Statement Number 61, "The Financial
Reporting Entity: Omnibus -An Amendment of GASB Statements No. 14 and No.
34" (GASB 61). These statements require the basic financial statements of the
District(the primary government)to include its component units, if any. A
component unit is a legally separate organization for which the elected officials of the
primary government are financially accountable. Based on the criteria established in
GASB Statement No. 14, as amended, there are no component units required to be
included or included in the District's basic financial statements.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
The basic financial statements of the District are comprised of the following:
- Government-wide financial statements
- Fund financial statements
-Notes to the financial statements
During the year ended September 30, 2022,the District adopted GASB Statement
No. 87 - Leases (GASB 87). The District, however, determined its current lease
agreements to be immaterial, therefore, do not meet the recording criteria of GASB
87 at September 30, 2023.
Government-wide Financial Statements
The government-wide financial statements (i.e.,the Statement of Net Position and the
Statement of Activities) report information on all of the activities of the District and do
not emphasize fund types. These governmental activities comprise the primary
government. General governmental and intergovernmental revenues support the
governmental activities. The purpose of the government-wide financial statements is
to allow the user to be able to determine if the District is in a better or worse financial
position than the prior year. The effect of all interfund activity between governmental
funds has been removed from the government-wide financial statements.
Government-wide financial statements are reported using the economic resources
measurement focus and the accrual basis of accounting. Under the accrual basis of
accounting,revenues, expenses, gains, losses, assets, and liabilities resulting from
exchange and exchange-like transactions are recognized when the exchange takes
place. Revenues, expenses, gains, losses, assets, and liabilities resulting from
nonexchange transactions are recognized in accordance with the requirements of
GASB Statement Number 33, "Accounting and Financial Reporting for
Nonexchange Transactions" (GASB 33).
Amounts paid to acquire capital assets are capitalized as assets in the
government-wide financial statements, rather than reported as expenditures.
Proceeds of long-term debt are recorded as liabilities in the government-wide
financial statements, rather than as other financing sources. Amounts paid to reduce
long-term indebtedness of the reporting government are reported as a reduction of
the related liability in the government-wide financial statements, rather than as
expenditures.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Government-wide Financial Statements, continued
The Statement of Activities demonstrates the degree to which the direct expenses of
a given function 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 and 2) grants and contributions
that are restricted to meeting the operational or capital improvements of a particular
function. Taxes and other items not properly included among program revenues are
reported instead as general revenues.
Program revenues are considered to be revenues generated by services performed
and/or by fees charged such as inspection fees. Since the year ended September 30,
2018, the District has contracted another fire district to perform all fire inspections
within the Immokalee Fire Control District. As such,the contracted District was
entitled to all fire inspection fee revenues.
Capital grant revenues are grants from other governmental entities restricted for the
purchase of specific capital assets.
Fund Financial Statements
The District adheres to GASB Statement Number 54, "Fund Balance Reporting and
Governmental Fund Type Definitions" (GASB 54).
The accounts of the District are organized on the basis of funds, each of which is
considered a separate accounting entity. The operations of each fund are accounted
for with a separate set of self-balancing accounts that comprise its assets, liabilities,
fund equity or retained earnings, revenues, and expenditures or expenses, as
appropriate. Government resources are allocated to and accounted for in individual
funds based upon the purpose for which they are to be spent and the means by
which spending activities are controlled.
Fund financial statements for the Districts governmental funds are presented after
the government-wide financial statements. These statements display information
about major funds individually and nonmajor funds, in aggregate, for governmental
funds.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Governmental Funds
When both restricted and unrestricted resources are combined in a fund,
expenditures are considered to be paid first from restricted resources, as
appropriate, and then from unrestricted resources. Governmental fund financial
statements are reported using the current financial resources measurement focus and
the modified accrual basis of accounting. Revenues are considered to be available
when they are collected within the current period or soon enough thereafter to pay
liabilities of the current period.
The District's major funds are presented in separate columns on the governmental
fund financial statements. The definition of a major fund is one that meets certain
criteria set forth in GASB Statement Number 34, "Basic Financial Statements - and
Management's Discussion and Analysis - for State and Local Governments" (GASB
34). The funds that do not meet the criteria of a major fund are considered
non-major funds and are combined into a single column on the governmental fund
financial statements.
Separate financial statements are provided for governmental funds. Major
individual governmental funds are reported in separate columns on the fund financial
statements.
Measurement Focus and Basis of Accounting
Basis of accounting refers to when revenues and expenditures, or expenses, are
recognized in the accounts and reported in the basic financial statements. Basis of
accounting relates to the timing of the measurements made, regardless of the
measurement focus applied.
The government-wide financial statements are reported using the economic
resources measurement focus and the accrual basis of accounting. Revenues are
recorded when earned and expenses are recorded when a liability is incurred,
regardless of the timing of related cash flows. Property taxes are recognized as
revenues in the year for which they are levied. Grants and similar items are
recognized as revenue as soon as all eligibility requirements have been met.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Measurement Focus and Basis of Accounting, continued
Governmental fund financial statements are reported using the current financial
resources measurement focus and the modified accrual basis of accounting.
Revenues are recognized as soon as they are both measurable and available.
Revenues are considered to be available when they are collectible within the current
period and soon enough thereafter to pay liabilities of the current period. For this
purpose,the District considers tax revenues to be available if they are collected
within sixty days of the end of the current fiscal period.
Revenues susceptible to accrual are property taxes, interest on investments, and
intergovernmental revenues. Property taxes are recorded as revenues in the fiscal
year in which they are levied,provided they are collected in the current period or
within sixty days thereafter. Interest on invested funds is recognized when earned.
Intergovernmental revenues that are reimbursements for specific purposes or projects
are recognized when all eligibility requirements are met.
Expenditures are generally recognized under the modified accrual basis of accounting
when the related fund liability is incurred. Exceptions to this general rule include: (1)
principal and interest on the long-term debt, if any,which is recognized when due;
and (2) expenditures are generally not divided between years by the recording of
prepaid expenditures.
When both restricted and unrestricted resources are available for use, it is the
District's policy to use restricted resources first, then unrestricted resources as they
are needed.
Separate financial statements are provided for governmental funds.
Non-current Government Assets/Liabilities
GASB 34 requires non-current governmental assets, such as land and buildings, and
non-current governmental liabilities, such as notes payable and capital leases,to be
reported in the governmental activities column in the government-wide Statement of
Net Position.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Major Funds
The District reports the following major governmental funds:
The General Fund is the District's primary operating fund. It accounts for all financial
resources of the District, except those required to be accounted for in the Impact Fee
Fund.
The Impact Fee Fund consists of fees imposed and collected by Collier County
based on new construction within the District. The fees are restricted and can only
be used for certain capital expenditures and/or the related debt associated with
growth within the District.
Budgetary Information
The District has elected to report budgetary comparison of major funds as required
supplementary information (RSI).
Investments
The District adheres to the requirements of Governmental Accounting Standards
Board (GASB) Statement Number 31, "Accounting and Financial Reporting for
Certain Investments and for External Investment Pools" (GASB 31), in which all
investments are reported at fair value.
Capital Assets
Capital assets, which include land, construction in progress, buildings, equipment and
machinery and vehicles are reported in the government-wide financial statements in
the Statement of Net Position.
The District follows a capitalization policy which calls for capitalization of all fixed
assets that have a cost or donated value of$2,000 or more and have a useful life in
excess of one year.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Capital Assets, continued
All capital assets are valued at historical cost, or estimated historical cost if actual
historical cost is not available. Donated capital assets are valued at their estimated
fair market value on the date donated. Public domain (infrastructure) capital assets
consisting of certain improvements other than building, including curbs, gutters and
drainage systems, are not capitalized, as the District generally does not acquire such
assets. No debt-related interest expense is capitalized as part of capital assets in
accordance with GASB 34.
Maintenance, repairs and minor renovations are not capitalized. The acquisition of
land and construction projects utilizing resources received from Federal and State
agencies are capitalized when the related expenditure is incurred.
Expenditures that materially increase values, change capacities, or extend useful lives
are capitalized. Upon sale or retirement, the cost is eliminated from the respective
accounts.
Expenditures for capital assets are recorded in the fund statements as current
expenditures. However, such expenditures are not reflected as expenses in the
government-wide statements, but rather are capitalized and depreciated.
Depreciable capital assets are depreciated using the straight-line method over the
following estimated useful lives:
Asset Years
Buildings 30
Equipment and Machinery 3-20
Vehicles 4-10
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Budgets and Budgetary Accounting
The District has adopted an annual budget for the General Fund.
The District has also adopted an annual budget for its Special Revenue Fund,the
Impact Fee Fund.
The District follows these procedures in establishing budgetary data for the General
Fund and the Impact Fee Fund:
1. During the summer of each year,the District Fire Chief submits to the Board of
Commissioners a proposed operating budget for the fiscal year commencing on
the upcoming October 1. The operating budget includes proposed expenditures
and the means of financing them.
2. Public hearings are conducted to obtain taxpayer comments.
3. The budget is adopted by approval of the Board of Commissioners.
4. Budget amounts, as shown in these financial statements, are as originally
adopted or as amended by the Board of Commissioners.
5. The budget is adopted on a basis consistent with accounting principles generally
accepted in the United States of America.
6. The level of control for appropriations is exercised at the fund level.
7. Appropriations lapse at year-end.
The District did amend the General Fund budget during the year ended September
30, 2023 in the amount of$4,369,661.
The District did amend the Impact Fee Fund budget during the year ended
September 30, 2023 in the amount of$422,893.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Impact Fees/Deferred Revenue
Through an inter-local agreement, the District levies an impact fee on new
construction within the District. The intent of the fee is for growth within the District
to pay for capital improvements needed due to the growth. The fee is collected by
Collier County and is remitted to the District. The fee is refundable if not expended
by the District within a reasonable period from the date of collection. The District,
therefore, records this fee as restricted cash and as deferred revenue until the date of
expenditure, at which time it is recognized as revenue and charged to capital outlay in
the fund financial statements and capital assets in the government-wide financial
statements.
Due To/From Other Funds
Interfund receivables and payables arise from interfund transactions and are recorded
in the fund statements by funds affected in the period in which transactions are executed.
Due From Other Governments
No allowance for losses on uncollectible accounts has been recorded since the
District considers all amounts to be fully collectible.
Compensated Absences
The District's employees accumulate annual leave, based on the number of years of
continuous service. Upon termination of employment, employees can receive
payment of accumulated annual leave, if certain criteria are met. The costs of sick,
vacation and personal leave benefits (compensated absences) are expended in the
respective operating funds when payments are made to employees. However, the
liability for all accrued sick,vacation and personal leave benefits is recorded in the
government-wide Statement of Net Position.
Encumbrances
Encumbrance accounting, under which purchase orders, contracts and other
commitments for the expenditure of monies are recorded in order to reserve that
portion of the applicable appropriation, is not employed by the District because, at
present, it is not necessary in order to assure effective budgetary control or to
facilitate effective cash planning and control.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
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 amounts of assets, liabilities and
disclosure of contingent assets and liabilities at the date of the financial statements
and the reported amounts of revenues and expenditures during the reporting period.
Actual results could differ from those estimates.
Net Position
In the government-wide financial statements, no net position has been identified as
restricted. Restricted net position reflects those net assets that have constraints as to
their use externally imposed by creditors,through debt covenants, by grantors, or by
law.
Fund Balances
The governmental fund financial statements the District maintains may include
nonspendable, restricted, committed, assigned and unassigned fund balances.
Nonspendable fund balances are those that cannot be spent because they are either
(a) not in spendable form or(b) legally or contractually required to be maintained
intact. Criteria include items that are not expected to be converted into cash, for
example prepaid expenses.
Restricted fund balance consists of amounts that can be spent only on specific
purposes stipulated by constitutional provisions or enabling legislation or externally
imposed by creditors, grantors, contributors, or laws or regulations of other
governments. The District maintained no restricted fund balances at September 30,
2023.
Committed fund balance consists of amounts that represent resources whose use is
constrained by limitations the Board(highest decision making) imposes upon itself.
These constraints made by the Board remain binding unless removed in the same
manner. The District maintained no committed fund balance at September 30,
2023.
16 { B1
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Fund Balances, continued
Assigned fund balance represents the portion of fund balance that reflects the
District's intended use of resources. Such intent can only be established by the
Board. The District maintained assigned fund balance for various uses at September
30, 2023. The Board's minimum fund balance policy is to maintain not less than
three (3) months budgeted expenditures in assigned fund balance as well as other
specifically assigned amounts.
Unassigned fund balance is the portion of fund balance representing resources in
excess of what can properly be classified in one of the other categories.
Interfund Transactions
The District considers interfund receivables (due from other funds) and interfund
liabilities (due to other funds)to be loan transactions to and from other funds to
cover temporary (three months or less) cash needs. Transactions that constitute
reimbursements to a fund for expenditures initially made from it that are properly
applicable to another fund are recorded as expenditures in the reimbursing funds and
as reduction of expenditures in the fund that is reimbursed.
Pensions
In the government-wide Statement of Net Position, liabilities are recognized for the
District's proportionate share of each pension plan's net pension liability. 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 Florida Retirement System (FRS) and the
Health Insurance Subsidy (HIS) defined benefit plans and additions to/deductions
from fiduciary net position have been determined on the same basis as they are
reported by the Plans. For this purpose, benefit payments, (including refunds of
employees contributions) are recognized when due and payable in accordance with
the benefit terms.
The District's retirement plans and related amounts are described in a subsequent
note.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
New Accounting Guidance
GASB 94:Public-Private and Public-Public Partnerships and Availability Payment
Arrangements
In March 2020,the GASB issued Statement No. 94 (Public-Private and Public-
Public Partnerships and Availability Arrangements) to bring a uniform
guidance on how to report public-private and public-public partnership arrangements,
will recognize receivables for installment payments, deferred inflows of resources,
and,when applicable, capital assets. Operators will recognize liabilities for
installment payments and intangible right-to-use assets, and when applicable,
deferred outflows of resources and liabilities for assets being transferred.
This Statement also provides guidance for accounting and financial reporting for
availability payment arrangement in which a government compensates an operator for
services such as designing, constructing, financing, maintaining, or operating an
underlying asset for a period of time in an exchange or exchange-like transaction. The
provisions of this Statement are effective for the District's financial statements for the
year ended September 30, 2023. The District, however, had no arrangements that
met this Statement's reporting criteria and/or the related arrangement costs were
considered immaterial.
GASB 96: Subscription-Based Information Technology Arrangements (SBITAs)
In May 2020, the GASB issued Statement No. 96 (Subscription-Based Information
Technology Arrangements (SBITAs)), which defined the SBITAs and provides
accounting and financial reporting for SBITAs by governments. This Statement
requires a government to recognize a subscription liability and an intangible
right-to-use subscription asset for the SBITAs. The provisions of this Statement are
effective for the District's financial statements for the year ended September 30,
2023. The District had arrangements that met this Statement's reporting criteria and
have reported them as subscription right of use asset and liability, respectively, on the
Government-Wide financial statements. For further discussion see Note Q.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE A- ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING
POLICIES, CONTINUED
Deferred Outflows/Inflows of Resources
In addition to assets,the Statement of Net Position reports 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 future
periods and so will not be recognized as an outflow of resources
(expense/expenditure) until then. The deferred amount on pensions is reported in the
government-wide Statement of Net Position. The deferred outflows of resources
related to pensions and OPEB are discussed in a subsequent note.
In addition to liabilities, the Statement of Net Position reports a separate section for
deferred inflows of resources. This separate financial statement element, deferred
inflows of resources, represents an acquisition of net position that applies to a future
period and so will not be recognized as an inflow of resources (revenue) until that
time. The deferred amount on pensions and OPEB is reported only in the
government-wide Statement of Net Position. A deferred amount on pensions and
OPEB results from the difference in the expected and actual amounts of experience,
earnings, and contributions. This amount is deferred and amortized over the service
life of all employees that are provided with benefits through the plans except earnings
which are amortized over five to seven years.
Subsequent Events
Subsequent events have been evaluated through February 1, 2024, which is the date
the financial statements were available to be issued.
NOTE B- CASH AND CASH EQUIVALENTS
At September 30, 2023, cash and cash equivalents were $5,924,212, which
included unrestricted cash of$2,874,576 in the General Fund and restricted cash of
$3,049,636, which was held in the Impact Fee Fund. Restricted cash is comprised
of impact fees which are restricted for capital asset acquisition and/or improvement
due to growth within the District.
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IMMOKALEE FIRE CONTROL DISTRICT Page 24 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE B - CASH AND CASH EQUIVALENTS, CONTINUED
Deposits
The District's deposit policy allows deposits to be held in demand deposit or money
market accounts and other investments per Florida Statutes, Chapter 218.415(17).
All District deposits were held in a financial institution designated as a qualified
depository by the State Treasurer.
At September 30, 2023,the carrying amounts of the District's deposits were
$2,874,576 and $3,049,636 in the General Fund and the Impact Fee Fund,
respectively. At September 30, 2023, bank balances were $2,994,568 and
$3,056,344 in the General Fund and Impact Fee Fund, respectively. These deposits
were entirely insured by federal depository insurance or by collateral pursuant to the
Public Depository Security Act(Florida Statute 280) of the State of Florida.
NOTE C - INVESTMENTS
Florida Statutes and the District's investment policy authorize investments in the
Florida Fixed Income Trust(FL FIT). Specifically, the District's investment policy is
consistent with Florida Statutes, Chapter 218.415(17). At September 30, 2023,the
District's investments in the FL FIT-Cash Pool (CP) consist of the following:
Fair Value(NAV)/
Cost Carrying
Basis Amount
General Fund
Florida Fixed Income Trust
FL FIT-Cash Pool(CP) $ 25,373 $ 25,373
Total investments-General Fund $ 25,373 $ 25,373
Impact Fee Fund
Florida Fixed Income Trust
FL FIT-Cash Pool(CP) $ 157,411 $ 157,411
Total investments-Impact Fee Fund $ 157,411 $ 157,411
The Florida Fixed Income Trust(FL FIT) Cash Pool (CP)was established in
accordance with Florida Statute 163.01 to provide local and state government entities
access to diversified, high credit quality strategies for their cash reserves. The Florida
Fixed Income Trust(FL FIT) Cash Pool is a floating net asset value (NAV)pool,
managed to dollar-in/dollar-out and provides same day liquidity for participants.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE C - INVESTMENTS, CONTINUED
The Florida Fixed Income Trust(FL FIT) Cash Pool (CP) is an external 2a7-like
investment pool,which is self administered. The Florida Fixed Income Trust(FL
FIT) Cash Pool (CP) is not categorized as it is not evidenced by securities that exist
in physical or book entry form. The Florida Fixed Income Trust(FL FIT) Cash Pool
are stated at fair value, as provided by paragraph 11 of GASB Statement#31. These
investments are subject to the risk that the market value of an investment, collateral
protecting a deposit or securities underlying an investment will decline and lose value.
The Pool is not SEC registered.
FL FIT is not required to register(and has not registered)with the SEC; however,
the fund is an external investment pool that has historically adopted operating
procedures consistent with those required by Florida Statutes.
The District's investment in the Florida Fixed Income Trust(FL FIT) Cash Pool (CP)
represented approximately less than 1% of the Fund's total investments.
At September 30, 2023, the Cash Pool's investments consisted of the following: 48%
with commercial paper; 23%with institutional money market deposits and mutual
funds; and 29%with certificates of deposit.
These short-term investments are stated at fair value. Investment income is recognized
as earned and is allocated to participants of the Fund based on their equity
participation.
The District adheres to GASB Statement No. 79 and where the Fund meets the
criteria to make GASB Statement No. 31 disclosures which are required related to
its FL FIT Cash Pool investment:
Limitation on Participant Contributions and Withdrawals: FL FIT-Cash Pool has no
limitations or restrictions on participant withdrawals, does not charge liquidity fees,
and has not put in place a redemption gate. Each participant has the ability to
withdraw 100 percent of its account balance any business day that the Investment
Advisor is open for trading. The Investment Advisor is open for trading, and the
funds will settle on the trading date for trades placed prior to 2:00 PM Eastern
Time, and trade date plus one business day(T+1)for trades placed after 2:00 PM
Eastern Time.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE C - INVESTMENTS, CONTINUED
Investment Income, Unrealized Gains/Losses, and Realized Gains/Losses: FL
FIT-Cash Pool follows industry practice and records security transactions on a
trade date basis. Dividend and interest income is recognized on an accrual basis.
Net investment income is distributed to participants at least monthly. Unrealized and
realized gains and losses, if any, are distributed to participants on a daily and
monthly basis. Distributions to participants are recorded on the ex-dividend date.
Valuation: Fair value of the investments in the FL FIT-Cash Pool is determined on
a daily basis. Fair value increases and decreases are included in the change in
unrealized gains and losses during the period. Net realized gains and losses on sales
of securities are computed based on specific identification. Mutual fund securities
are recorded at fair value as determined by using net position value as furnished by
a pricing service and the number of shares owned.
Redemption Gates: Per the Administrator there are no redemption gates.
Liquidity Fees: Per the Administrator there are no liquidity fees.
Redemption Fees: As of September 30,2023,there were no redemption fees or
maximum transaction amounts,or any other requirements that serve to limit a
participant's daily access to 100 percent of their account value.
Fair Value: The carrying value of the investments held by the District approximate
fair value. However, it is the opinion of the management of Florida Fixed Income
Trust(FL FIT)it is exempt from GASB Statement No.72 financial hierarchy
disclosures.
Foreign Currency Risk: Florida Fixed Income Trust(FL FIT) Cash Pool is not
exposed to foreign currency risk during the year ended September 30,2023.
Securities Lending: Florida Fixed Income Trust(FL FIT)Cash Pool did not
participate in securities lending program during the period October 1,2022 through
September 30,2023.
Florida Fixed Income Trust(FL FIT) Cash Pool does provide separate audited
financial statements for the year ended June 30, 2023.
At September 30, 2023, the District reported Florida Fixed Income Trust(FL FIT)
Cash Pool investments of$182,784. The Florida Fixed Income Trust(FL FIT)
Cash Pool carried a credit rating of AAAf/S1 by Fitch Rating and had a dollar
weighted average days to maturity (WAM) of 23 days at September 30, 2023. The
Florida Fixed Income Trust(FL FIT) Cash Pool weighted average days to final
maturity (WAL)was 94 days at September 30, 2023. The Cash Pool's duration is
as follows: expected target duration 0-.5 years; effective duration of.063 years. Rule
2a7 allows funds to use a constant of$1.00 per share.
•
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE D - DUE TO/FROM OTHER GOVERNMENTS
Due from other governments at September 30, 2023, are as follows:
Description General Fund
Collier County Tax Collector $ 69,479
Other governments 6,150
75,629
Impact Fee Fund
Collier County BOCC-Impact fees 179,311
$ 254,940
Management of the District believes the due from other governments amounts to
be fully collectible.
NOTE E - DUE TO/FROM OTHER FUNDS
Interfund receivables and payables at September 30, 2023, are as follows:
Due From Due To
Other Funds Other Funds
General Fund:
Impact Fee $ 66,342 $ -
Total General Fund 66,342 -
Special Revenue Fund:
Impact Fee:
General - 66,342
Total Special Revenue Fund - 66,342
Total $ 66,342 $ 66,342
Interfund receivables and payables were eliminated for presentation purposes in
the Statement of Net Position at September 30, 2023.
161 B1
IMMOKALEE FIRE CONTROL DISTRICT Page 28 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE F - CAPITAL ASSETS ACTIVITY
The following is a summary of changes in capital assets activity for the year ended
September 30, 2023:
Balance Balance
October 1 Increases/ Decreases/ Adjustments/ September 30
2022 Additions Deletions Reclassifications 2023
Capital Assets Not
Being Depreciated:
Land $ 390,256 $ - $ - $ - $ 390,256
Construction in Progress 2,564,661 3,943,445 - - 6,508,106
Total Capital Assets Not
Being Depreciated 2,954,917 3,943,445 - - 6,898,362
Capital Assets
Being Depreciated:
Buildings 13,298,314 18,682 - - 13,316,996
Equipment&Machinery 2,664,664 304,945 (660,530) - 2,309,079
Vehicles 3,951,660 906,750 (17,882) - 4,840,528
Total Capital Assets
Being Depreciated 19,914,638 1,230,377 (678,412) - 20,466,603
Less Accumulated
Depreciation:
Buildings (754,850) (439,978) - - (1,194,828)
Equipment&Machinery (1,341,677) (277,043) 660,530 - (958,190)
Vehicles (1,230,955) (430,544) 15,795 - (1,645,704)
Total Accumulated Depreciation (3,327,482) (1,147,565) 676,325 - (3,798,722)
Total Capital Assets Being
Depreciated,Net 16,587,156 82,812 (2,087) - 16,667,881
Capital Assets,Net $19,542,073 $4,026,257 $ (2,087) $ - 23,566,243
Related debt (10,292,709)
Net investment in capital assets $13,273,534
Depreciation expense was charged to the following functions during the year ended
September 30, 2023:
Amount
General Government $ 1,147,565
Total Depreciation Expense $ 1,147,565
161 B1
IMMOKALEE FIRE CONTROL DISTRICT Page 29 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE F- CAPITAL ASSETS ACTIVITY, CONTINUED
The District has capital assets held under financing leases with a total cost of$3,700,117 at
September 30,2023.The capital assets held under financing lease had accumulated
depreciation of$1,011,170 and depreciation expense of$391,787 as of and for the year ended
September 30,2023.
NOTE G • LONG-TERM LIABILITIES
The following is a summary of changes in long-term liabilities for the year ended
September 30, 2023:
Balance Balance Amounts
October 1 Retirements/ September 30 Due Within
2022 Additions Adjustments 2023 One Year
Net pension liability-FRS $ 4,248,721 $ 367,452 $ - $ 4,616,173 $Net pension liability-HIS 704,672 395,170 - 1,099,842 -
Financing lease-2 vehicles 10,167 - (10,167) - -
Financing lease-BC Expedition - 38,028 (8,929) 29,099 8,929
Financing lease-F250 - 85,039 (16,349) 68,690 16,349
Financing lease-pumper 536,705 - (82,231) 454,474 85,679
Financing lease-radios 148,304 - (34,245) 114,059 36,067
Financing Lease-ladder truck 1,081,800 - (122,608) 959,192 126,017
Financing Lease-tanker truck 302,626 - (17,143) 285,483 17,740
Financing lease-vehicle 51,900 - (11,637) 40,263 9,924
Financing lease-Pierce pumper - 779,758 (68,744) 711,014 70,648
Construction loan(Sta 32) 5,228,911 - (298,476) 4,930,435 309,856
Construction loan(Sta 30) 3,000,000 - (3,000,000) - -
Construction loan(Sta 30) - 2,700,000 - 2,700,000 2,700,000
Compensated Absences 343,068 190,367 - 533,435 Net OPEB Liability 291,263 - (24,622) 266,641 -
$15,948,137 $ 4,555,814 $(3,695,151) $ 16,808,800 $ 3,381,209
The following is a summary of the long-term obligations at September 30, 2023:
Amount
Net pension obligation-FRS pension plan. This amount is actuarially determined
through calculation based upon the audited financial statements of the Florida
Retirement Plan. $ 4,616,173
Net pension obligation-HIS plan. This amount is actuarially determined through
calculation based upon the audited financial statements of the Florida Retirement Plan. 1,099,842
The District entered into a five year$89,857 financing lease agreement.Monthly
payments are$1,654 and are interest free.Payments began on March 20,2018
with a final payment due February 20,2023.The lease was collateralized by the
respective two vehicles. This lease was paid in full during the year ended -
September 30,2023.
The District entered into a six year$38,028 financing lease agreement.Annual
payments are$8,929 and are interest free.Payments began on May 31.2022
with a final payment due May 31,2027.The lease is collateralized by the vehicle. 29,099
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IMMOKALEE FIRE CONTROL DISTRICT Page 30 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE G- LONG-TERM LIABILITIES, CONTINUED
The District entered into a six year$85,039 financing lease agreement.Annual
payments are$16,349 and are interest free.Payments began on October 31.2022
with a final payment due October 31,2027.The lease is collateralized by the vehicle. 68,690
The District entered into a eight year$764,074 financing lease agreement.Annual
payments are$104,731 including fixed interest of 4.19%.Payments began on January
7,2020 with a final payment due January 7,2027.The lease agreement is
collateralized by the respective pumper truck. 454,474
The District entered into a seventy-five(75)month$231,713 financing lease agreement.
Initial payment of$23,171,then six(6)annual payments of$42,135 including
fixed interest of 5.32%.Payments began on October 1,2019 with a final payment due
October 1,2025.The lease is collateralized by the respective radio equipment. 114,059
The District entered into a ten(10)year$1,315,897 financing lease agreement. Annual
payments are$152,682 including fixed interest of 2.78%. Payments began on
June 20,2021 with a fmal payment due on April 20,2030.The lease is
collateralized by the respective ladder truck. 959,192
The District entered into a fifteen(15)year$319,193 fmancing lease agreement. Annual
payments are$27,675 including fixed interest of 3.48%. Payments began on
October 19,2021 with a final payment due on October 19,2035.The lease
is collateralized by the tanker truck. 285,483
The District entered into a six year$61,330 financing lease agreement.Annual
payments are$11,791 including interest at 4.4%.Payments began on May 10,2022
with a final payment due May 10,2027.The lease is collateralized by the
respective vehicle. 40,263
The District entered a$5,500,000 loan March 2,2020 to fund the construction of
Station 32.The loan is payable in one hundred eighty(180)payments of principal
and interest of$38,388 beginning October 21,2022.The loan matures March 2,2026.
Interest accrues at 3.15% per year. This loan is collateralized by Impact Fees. 4,930,435
The District entered into a$3,000,000 interest only loan on August 23,2022 to fund the
construction of Station 30.Monthly interest payments at 2.67%are due monthly
beginning October 1,2022.Final payment of principal plus accrued interest was due on
August 1,2023.The loan was collateralized by Ad Valorem taxes and Impact Fees. This
loan was paid in full during the year ended September 30,2023.
The District entered into a$2,700,000 interest only loan on September 1,2023 to fund
the construction of Station 30.Monthly interest payments at 4.55%are due monthly
beginning October 21,2023.Final payment of principal plus accrued interest is due on
September 21,2024.The loan is collateralized by Ad Valorem revenues.This loan
replaced the$3,000,000 construction loan for Station 30. 2,700,000
The District entered into a ten year$779,758 financing lease agreement.Annual
payments are$90,339 including interest at 2.77%.Payments began on December 20,
2022 with a fmal payment due December 20,2031.The lease is collateralized by the
respective Pierce pumper. 711,014
16181
EXHIBIT 2 Page 1
UNAUDITED
COMPLIANCE WITH REPORTING REQUIRED BY:
Auditor General Rule 10.554(1)(i)6
For a dependent special district or an independent special district, or a local
government entity that includes the information of a dependent special district as
provided in Section 218.39(3)(a), Florida Statutes, the following specific information
provided by management(with explanatory verbiage that the auditor provides no
assurance on the information):
a. The total number of district employees compensated in the last pay period of the
district's fiscal year being reported (see information required in Section
218.32(1)(e)2.a., Florida Statutes). 42 (including 5 commissioners)
b. The total number of independent contractors to whom nonemployee
compensation was paid in the last month of the district's fiscal year being
reported (see information required in Section 218.32(1)(e)2.b., Florida
Statutes). 5
c. All compensation earned by or awarded to employees, whether paid or accrued,
regardless of contingency (see information required in Section 218.32(1)(e)2.c.,
Florida Statutes). (Total wage compensation for the fiscal year being audited)
$2,699,060
d. All compensation earned by or awarded to nonemployee independent
contractors, whether paid or accrued, regardless of contingency (see information
required in Section 218.32(1)(e)2.d., Florida Statutes). (Amounts paid that
would be reported on a Form 1099 for FYE) $67,400
e. Each construction project with a total cost of at least$65,000 approved by the
district that was scheduled to begin on or after October 1 of the fiscal year being
reported, together with the total expenditures for such project(see information
required in Section 218.32(1)(e)2.e., Florida Statutes). See Note N
f. A budget variance report based on the budget adopted under section
189.016(4),Florida Statutes, before the beginning of the fiscal year reported if
the district amends a final adopted budget under Section 189.016(6), Florida
Statutes (see information required in Section 218.32(1)(e)3., Florida Statutes).
If there were amendments then include budget variance (original budget vs.
actual at FYE). See attached pages 3 - 4.
161 B1
Page 2
Auditor General Rule 10.554(1)(i)7
For an independent special district that imposes ad valorem taxes, the following
specific information provided by management(with explanatory verbiage that the
auditor provides no assurance on the information): (see information required in
Section 218.32(1)(e)4., Florida Statutes).
a. The millage rate or rates imposed by the district. 3.75 mills
b. The current year gross amount of ad valorem taxes collected by or on behalf of
the district.
$6,100,838
c. The total amount of outstanding bonds issued by the district and terms of such
bonds. $0
Auditor General Rule 10.554(1)(i)8
For an independent special district that imposes non-ad valorem special assessments,
the following specific information provided by management(with explanatory
verbiage that the auditor provides no assurance on the information): (see information
required in Section 218.32(1)(e)5., Florida Statutes).
a. The rate or rated of such assessment imposed by the district.N/A
b. The total amount of special assessments collected by or on behalf of the district.
N/A
c. The total amount of outstanding bonds issued by the district and the terms of
such bonds.N/A
16181
IMMOKALEE FIRE CONTROL DISTRICT Page 3
ORIGINAL BUDGET vs. ACTUAL COMPARISON REPORT -UNAUDITED -
GENERAL FUND
Year Ended September 30,2023
General Fund
Variance
Original Favorable
Budget Actual (Unfavorable)
REVENUES
Ad Valorem taxes $ 5,963,864 $ 6,100,838 $ 136,974
Intergovernmental revenues:
Federal public safety grant-CDBG - 158,139 158,139
State grants - - -
Other grants - - -
State firefighter supplemental 840 2,520 1,680
Inspection fees - - -
Public safety services - - -
Miscellaneous:
Interest 2,500 200,514 198,014
Other 208,100 335,197 127,097
Reserves brought forward 5,554,485 - (5,554,485)
TOTAL REVENUES 11,729,789 6,797,208 (4,932,581)
EXPENDITURES
Current
Public safety
Personnel services 4,436,514 4,495,167 (58,653)
Operating expenditures 1,061,777 1,143,017 (81,240)
Capital outlay 3,077,000 4,361,815 (1,284,815)
Debt service
Principal reduction 649,000 3,237,808 (2,588,808)
Interest and fiscal charges - 150,704 (150,704)
Assigned-90 day reserve 1,200,000 - 1,200,000
Assigned-Prepapid expenses 23,987 - 23,987
Assigned-Replacement Station 30 1,000,000 - 1,000,000
Assigned-Emergency 306,511 - 306,511
Assigned-COVID Grant Replacement Vehicle - - -
Assigned-Capital purchases - - -
Assigned-Replacement Station 30 - - -
TOTAL EXPENDITURES 11,754,789 13,388,511 (1,633,722)
EXCESS OF REVENUES
OVER(UNDER)EXPENDITURES (25,000) (6,591,303) (6,566,303)
OTHER FINANCING SOURCES(USES)
Proceeds from issuance of financing lease - 123,067 123,067
Proceeds from issuance of construction loan - 3,479,758 3,479,758
Proceeds from disposition of capital assets 25,000 26,242 1,242
TOTAL OTHER FINANCING SOURCES(USES) 25,000 3,629,067 3,604,067
NET CHANGE IN FUND BALANCE $ - (2,962,236) $ (2,962,236)
FUND BALANCE-Beginning 5,700,282
FUND BALANCE-Ending $ 2,738,046
The accompanying notes are an integral part of this statement.
161 B1
IMMOKALEE FIRE CONTROL DISTRICT Page 4
ORIGINAL BUDGET vs. ACTUAL COMPARISON REPORT-
UNAUDITED -IMPACT FEE FUND
Year Ended September 30,2023
Impact Fee Fund
Variance
Original Favorable
Budget Actual (Unfavorable)
REVENUES
Impact fees $ 2,000,000 $ 1,414,108 $ (585,892)
Miscellaneous:
Interest 3,500 102,689 99,189
Cash brought forward 2,395,927 - (2,395,927)
TOTAL REVENUES 4,399,427 1,516,797 (2,882,630)
EXPENDITURES
Current
Public safety
Operating expenditures 75,000 79,809 (4,809)
Capital outlay 1,125,000 812,007 312,993
Debt service
Principal reduction 760,131 432,721 327,410
Interest and fiscal charges 198,456 192,260 6,196
Cash carried forward 2,240,840 - 2,240,840
TOTAL EXPENDITURES 4,399,427 1,516,797 2,882,630
EXCESS OF REVENUES
OVER(UNDER)EXPENDITURES
OTHER FINANCING SOURCES(USES)
Proceeds from issuance of financing lease - - -
Proceeds from issuance of construction loan -
TOTAL OTHER FINANCING SOURCES(USES) - _NET CHANGE IN FUND BALANCE $ - - $ -
FUND BALANCE-Beginning -
FUND BALANCE-Ending $ -
•
The accompanying notes are an integral part of this statement.
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IMMOKALEE FIRE CONTROL DISTRICT Page 31 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE G - LONG-TERM LIABILITIES, CONTINUED
Non-current portion of compensated absences. Employees of the District are
entitled to paid leave(sick,vacation and comp time)based on length of
service and job classification. 533,435
Net OPEB liability-actuarially determined-GASB No.75. 266,641
Total long-term liabilities 16,808,800
Current portion (3,381,209)
Noncurrent portion $ 13,427,591
The annual debt service requirements at September 30, 2023, were as follows:
Years Ending Total Total
September 30 Principal Interest Total
2024 $ 3,381,209 $ 358,982 $ 3,740,191
2025 695,986 212,156 908,142
2026 718,673 189,468 908,141
2027 787,482 165,989 953,471
2028 609,305 140,179 749,484
2029-2033 2,676,416 431,980 3,108,396
2034-2037 1,423,638 73,093 1,496,731
Total debt 10,292,709 1,571,847 11,864,556
Net pension liability-FRS 4,616,173 - 4,616,173
Net pension liability-HIS 1,099,842 - 1,099,842
Accrued compensated absences-vacation 533,435 - 533,435
Net OPEB obligation 266,641 - 266,641
Total long-term debt $ 16,808,800 $ 1,571,847 $ 18,380,647
Interest expense related to the capital leases payable was $151,510 for the year
ended September 30, 2023. Interest expense related to the construction loans was
$191,454 for the year ended September 30, 2023.
16181
IMMOKALEE FIRE CONTROL DISTRICT Page 32 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN - DEFINED BENEFIT PENSION PLAN
General Information about the Florida Retirement System
The Florida Retirement System ("FRS")was created in Chapter 121,Florida
Statutes. The FRS was created to provide a defined benefit pension plan ("Pension
Plan") for participating public employees. All District employees are participants in
the Statewide Florida Retirement System (FRS) under authority of Article X, Section
14 of the State Constitution and Florida Statutes, Chapters 112 and 121. The FRS
was amended in 1998 to add the Deferred Retirement Option Program ("DROP")
under the defined benefit plan and amended in 2000 to provide an integrated defined
contribution plan alternative to the defined benefit plan for FRS members effective
July 1, 2002. This integrated defined contribution pension plan is the FRS Investment
Plan. Chapter 112, Florida Statutes, established the Retiree Health Insurance
Subsidy (HIS)Program, a separate cost-sharing, multiple-employer defined benefit
pension plan to assist retired members of any State-administered retirement system in
paying the costs of health insurance.
Essentially all regular employees of the District are eligible to enroll as members of the
State-administered FRS. Provisions relating to the FRS are established by Chapters
121 and 122, Florida Statutes; Chapter 112, Part IV, Florida Statutes; Chapter 238,
Florida Statutes; and Florida Retirement System Rules, Chapter 60S, Florida
Administrative Code; wherein eligibility, contributions, and benefits are defined and
described in detail. Such provisions may be amended at any time by further action
from the Florida Legislature. The FRS is a single retirement system administered by
the Florida Department of Management Services, Division of Retirement, and
consists of two cost-sharing, multiple-employer defined benefit plans (Pension and
HIS Plans) and other nonintegrated programs. A comprehensive annual financial
report of the FRS,which includes its financial statements, required supplementary
information, actuarial report, and other relevant information dated June 30, 2022, is
available from the Florida Department of Management Services' Website
(www.dm s.myflorida.com).
The District's total pension expense, $1,505,753 for the year ended September 30,
2023, is recorded in the government-wide financial statements. Total District actual
retirement contribution expenditures were $751,548, $645,398 and $539,945 for
the years ended September 30, 2023, 2022, and 2021, respectively. The District
contributed 100%of the required contributions.
161B1
IMMOKALEE FIRE CONTROL DISTRICT Page 33 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN -DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan
Plan Description. The FRS Pension Plan ("Plan") is a cost-sharing, multiple-
employer defined benefit pension plan, with a Deferred Retirement Option Program
(DROP) for eligible employees. The general classes of membership are as follows:
Regular Class - Members of the FRS who do not qualify for membership in the
other classes.
Senior Management Service Class (SMSC) - Members in senior management
level positions.
Special Risk Class -Members who are employed as certified firefighters and
meet the criteria to qualify for this class.
Elected Officials - Members who are elected by the voters within the District
boundaries.
Employees enrolled in the Plan prior to July 1, 2011, vest at six years of creditable
service and employees enrolled in the Plan on or after July 1, 2011, vest at eight
years of creditable service. All vested members, enrolled prior to July 1, 2011, are
eligible for normal retirement benefits at age 62 or at any age after 30 years of
service, except for those members classified as special risk who are eligible for
normal retirement benefits at age 55 and 6 years of service or at any age after 25
years of service. All members enrolled in the Plan on or after July 1, 2011, once
vested, are eligible for normal retirement benefits at age 65 and 8 years of service or
any time after 33 years of creditable service, except for members classified as special
risk who are eligible for normal retirement benefits at age 60 with 8 years of service
or at any age after 30 years of service. However, effective July 1, 2023, for special
risk who enrolled on or after July 1, 2011, normal retirement date changed to the
earlier of 25 years of creditable service or age 55. Members of both Plans (Pension
and HIS)may include up to 4 years of credit for military service toward creditable
service. The Plan also includes an early retirement provision; however, there is a
benefit reduction for each year a member retires before his or her normal retirement
date. The Plan provides retirement, disability, death benefits, and annual cost of living
adjustments to eligible participants.
DROP, subject to provisions of Section 121.091, Florida Statutes,permits
employees eligible for normal retirement under the Plan to defer receipt of monthly
benefit payments while continuing employment with an FRS employer. An employee
may elect to participate in DROP at any time after reaching normal retirement date.
161 B1
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN- DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan, continued
Effective July 1, 2023, an employee may participate in DROP for a period not to
exceed 96 months (8 years) after electing to participate except for certain
instructional personnel who can participate for 120 months. During the period of
DROP participation, deferred monthly benefits are held in the FRS Trust Fund and
accrue interest. Interest accrues at 4% on DROP accumulation held on or after July
1, 2023 and at 1.3%prior. The net pension liability does not include amounts for
DROP participants, as these members are considered retired and are not accruing
additional pension benefits. The restricted 12 month election window was removed.
Participants may elect to enter DROP at anytime after becoming fully vested and
reaching normal retirement age.
Benefits Provided. Benefits under the Plan are computed on the basis of age,
and/or years of service, average final compensation, and credit service. 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 the 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 of the benefit received is
determined by calculating the total value of all service, which is based on retirement
plan and/or the class to which the member belonged when the service credit was
earned. Members are eligible for in-line-of-duty or regular disability and survivors'
benefits. The following chart shows the percentage value of each year of service
credit earned:
Class,Initial Enrollment,and Retirement Age/Years of Service %Value
Regular Class and elected members initially enrolled before July 1,2011
Retirement up to age 62,or up to 30 years of service 1.60
Retirement at age 63 or with 31 years of service 1.63
Retirement at age 64 or with 32 years of service 1.65
Retirement at age 65 or with 33 or more years of service 1.68
Regular Class and elected members initially enrolled on or after July 1,2011
Retirement up to age 65 or up to 33 years of service 1.60
Retirement at age 66 or with 34 years of service 1.63
Retirement at age 67 or with 35 years of service 1.65
Retirement at age 68 or with 36 or more years of service 1.68
Special Risk Regular
Service from December 1, 1970 through September 30, 1974 2.00
Service on or after October 1, 1974 3.00
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H- RETIREMENT PLAN- DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan, continued
Senior Management Service Class 2.00
Elected Officers'Class 3.00
As provided in Section 121.101, Florida Statutes, if the member is initially enrolled in
the FRS before July 1, 2011, and all service credit was accrued before July 1, 2011,
the annual cost-of-living adjustment is 3 percent per year. If the member is initially
enrolled before July 1, 2011, and has service credit on or after July 1, 2011,there is
an individually calculated cost-of-living adjustment. The annual cost-of-living
adjustment is a proportion of 3 percent determined by dividing the sum of the
pre-July 2011 service credit by the total service credit at retirement multiplied by 3
percent. Plan members initially enrolled on or after July 1, 2011,will not have a
cost-of-living adjustment after retirement.
Contributions. The Florida Legislature establishes contribution rates for
participating employers and employees. Contribution rates during the
year ended September 30, 2023 were as follows:
Percent of Gross Salary*
Class(2) Employee Employer(1) Employer(3)
Florida Retirement System,Regular 3.00 11.91 13.57
Florida Retirement System,Senior Management Service 3.00 31.57 34.52
Florida Retirement System,Special Risk 3.00 27.83 32.67
Deferred Retirement Option Program-Applicable
to Members from All of the Above Classes 0.00 18.60 21.13
Florida Retirement System,Reemployed Retiree (2) N/A N/A
Florida Retirement System,Elected Official 3.00 57.00 58.68
Notes:
(1) Employer rates include 1.66 percent for the post employment health insurance subsidy. Also,
employer rates,other than for DROP participants,include.06 percent for administrative costs for
the Investment Plan. Rates for 7/1/22-6/30/23.
(2) Contribution rates are dependent upon retirement class in which reemployed.
(3) Employer rates include 2.0 percent for the post employment health insurance subsidy. Also,
employer rates,other than for DROP participants,include.06 percent for administrative costs for
the Investment Plan. Rates for 7/1/23-6/30/24.
* As defined by the Plan.
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NOTES TO THE FINANCIAL STATEMENTS
September 30, 2023
NOTE H - RETIREMENT PLAN -DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan, continued
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources
and Deferred Inflows of Resources Related to the Pension Plan. At
September 30, 2023, the District reported a pension liability of$4,616,173 for its
proportionate share of the net pension liability. The net pension liability was measured
as of June 30, 2023, and the total pension liability used to calculate the net
pension liability was determined by an actuarial valuation as of July 1, 2023. The
District's proportionate share of the net pension liability was based on the District's
2022-23 fiscal year contributions relative to the total 2022-23 fiscal year
contributions of all participating members. At September 30, 2023,the District's
proportionate share was .011584793 percent,which was an increase of.000165967
percent from its proportionate share measure as of September 30, 2022.
For the year ended September 30, 2023,the District recognized a pension expense
of$1,415,408. In addition, the District reported deferred outflows of resources and
deferred inflows of resources related to the pension from the following sources:
Deferred Outflows Deferred Inflows
Description of Resources of Resources
Differences between expected
and actual experience $ 433,419 $ -
Change of assumptions 300,917 Net difference between projected and
actual earnings on pension plan investments 192,784 -
Changes in proportion and differences between
District contributions and proportionate share
of contributions 227,393 226,948
District contributions subsequent to the
measurement date 170,208 -
Total $ 1,324,721 $ 226,948
161131
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN- DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan, continued
The deferred outflows of resources related to the FRS pension, totaling $170,208,
resulting from District contributions subsequent to the measurement date, will be
recognized as a reduction on the net pension liability in the fiscal year ended
September 30, 2024. Other amounts reported as deferred outflows of resources
and deferred inflows of resources related to the pension will be recognized in pension
expense over the remaining service period of 5.3 years as follows:
Fiscal Years Ending
September 30 Amount
2024 $ 219,075
2025 219,075
2026 219,075
2027 219,075
2028 170,879
Thereafter (119,614)
Total $ 927,565
Actuarial Assumptions. The total pension liability in the July 1, 2023, actuarial
valuation was determined using the following actuarial assumptions, applied to all
periods included in the measurement:
Valuation date July 1, 2023
Measurement date June 30, 2023
Inflation 2.40 percent
Real payroll growth 0.85 percent
Salary increases 3.25 percent, average, including inflation
Investment rate of return 6.70 percent, net of pension plan
investment expense, including inflation
Actuarial cost method Individual entry age
Mortality rates were based on the Generational PUB-2010 with Projection Scale
MP-2018.
The actuarial assumptions used in the July 1, 2023, valuation were based on the
results of an actuarial experience study for the period July 1, 2013 through June 30,
2018.
161 B1
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H- RETIREMENT PLAN- DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan, continued
The long-term expected rate of return on pension plan investments was not based on
historical returns, but instead is based on a forward-looking capital market economic
model. The allocation policy's description of each asset class was used to map the
target allocation to the asset classes shown below. Each asset class assumption is
based on a consistent set of underlying assumptions, and includes an adjustment for
the inflation assumption. The target allocation and best estimates of arithmetic and
geometric real rates of return for each major asset class are summarized in the
following table:
Compound
Annual Annual
Target Arithmetic (Geometric) Standard
Asset Class Allocation(1) Return Return Deviation
Cash 1.00% 2.9% 2.9% 1.1%
Fixed income 19.80% 4.5% 4.4% 3.4%
Global equity 54.00% 8.7% 7.1% 18.1%
Real estate(property) 10.30% 7.6% 6.6% 14.8%
Private equity 11.10% 11.9% 8.8% 26.3%
Strategic investments 3.80% 6.3% 6.1% 7.7%
Total 100.00%
Assumed inflation-Mean 2.40% 1.40%
(1)As outlined in the Plan's investment policy
Money-weighted Rate of Return. The annual money-weighted rate of return on
the FRS Pension Plan investments for the year ended September 30, 2023, was
7.58%.
Discount Rate. The discount rate used to measure the total pension liability
was 6.70 percent. The Plan's fiduciary net position was projected to be available to
make all projected future benefit payments of current active and inactive employees.
Therefore, the discount rate for calculating the total pension liability is equal to the
long-term expected rate of return.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN- DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS Pension Plan, continued
Sensitivity of the District's Proportionate Share of the Net Pension Liability
to Changes in the Discount Rate. The following presents the District's
proportionate share of the net pension liability calculated using the discount rate of
6.70 percent, as well as what the District's proportionate share of the net pension
liability would be if it were calculated using a discount rate that is 1-percentage-point
lower(5.70 percent) or 1-percentage-point higher(7.70 percent)than the current
rate:
1% Current 1%
Decrease Discount Rate Increase
(5.70%) (6.70%) (7.70%)
District's proportionate share of
the net FRS pension liability $ 7,885,364 $ 4,616,173 $ 1,881,104
Pension Plan Fiduciary Net Position. Detailed information about pension plan's
fiduciary net position is available in the separately issued FRS Pension Plan and Other
State Administered Systems Annual Comprehensive Financial Report(FRS ACFR)
dated June 30, 2023.
The FRS ACFR and actuarial reports may also be obtained by contacting the
Division of Retirement at:
Department of Management Services
Division of Retirement
Bureau of Research and Member Communications
P.O. Box 9000
Tallahassee, FL 32315-9000
850-488-5706 or toll free at 877-377-1737
http://www.dms.myflorida.com/workforce operations/retirement/publications
Payables to the Pension Plan. At September 30, 2023,the District reported a
payable of$0 for the outstanding amount of contributions in the pension plan required
for the year ended September 30, 2023.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN-DEFINED BENEFIT PENSION PLAN, CONTINUED
Health Insurance Subsidy (HIS)Plan
Plan Description. The Health Insurance Subsidy Plan ("HIS Plan") is a cost-sharing,
multiple-employer defined benefit pension plan established under Section 112.363,
Florida Statutes. The benefit is a monthly payment to assist retirees of
State-administered retirement systems in paying their health insurance costs and is
administered by the Division of Retirement within the Florida Department of
Management Services.
Benefits Provided. For the year ended September 30, 2022, eligible retirees
and beneficiaries received a monthly HIS payment equal to the number of years of
creditable service completed at the time of retirement multiplied by $5. The
payments are at least$30 but not more than $150 per month,pursuant to Section
112.363, Florida Statutes. To be eligible to receive a HIS Plan benefit, a retiree
under a State-administered retirement system must provide proof of health insurance
coverage,which can include Medicare.
Contributions. The HIS Plan is funded by required contributions from FRS
participating employers as set by the Florida Legislature. Employer contributions are
a percentage of gross compensation for all active FRS members. For the years
ended September 30, 2023 and 2022,the contribution rate ranged between 2.0
percent and 1.66 percent of payroll pursuant to Section 112.363, Florida Statutes.
The District contributed 100 percent of its statutorily required contributions for the
current and preceding three years. HIS Plan contributions are deposited in a
separate trust fund from which HIS payments are authorized. HIS Plan benefits are
not guaranteed and are subject to annual legislative appropriation. In the event the
legislative appropriation or available funds fail to provide full subsidy benefits to all
participants, benefits may be reduced or cancelled.
Pension Liabilities, Pension Expense, and Deferred Outflows of Resources
and Deferred Inflows of Resources Related to the HIS Plan. At September
30, 2023,the District reported a HIS liability of$1,099,842 for its proportionate share
of the net HIS Plan's net pension liability. The net pension liability was measured as
of June 30, 2023, and the total pension liability used to calculate the net
pension liability was determined by an actuarial valuation as of July 1, 2023. The
District's proportionate share of the net HIS liability was based on the District's
1b1B1
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H - RETIREMENT PLAN -DEFINED BENEFIT PENSION PLAN, CONTINUED
Health Insurance Subsidy (HIS) Plan, continued
2022-23 fiscal year contributions relative to the total 2022-23 fiscal year
contributions of all participating members. At September 30, 2023, the District's
proportionate share was .006925378 percent,which was an increase of.000272252
percent from its proportionate share measured as of September 30, 2022.
For the fiscal year ended September 30, 2023,the District recognized HIS expense
of$90,345. In addition,the District reported deferred outflows of resources and
deferred inflows of resources related to pensions from the following sources:
Deferred Outflows Deferred Inflows
Description of Resources of Resources
Differences between expected
and actual experience $ 16,101 $ 2,581
Change of assumptions 28,915 95,305
Net difference between projected and actual
earnings on HIS pension plan investments 568 -
Changes in proportion and differences between
District HIS contributions and proportionate
share of HIS contributions 87,017 15,099
District contributions subsequent to the
measurement date 13,623 -
Total $ 146,224 $ 112,985
The deferred outflows of resources related to HIS, totaling $13,623, resulting from
District contributions subsequent to the measurement date,will be recognized as a
reduction on the net pension liability in the year ended September 30, 2024. Other
amounts reported as deferred outflows of resources and deferred inflows of
resources related to pensions will be recognized in pension expense over the
remaining service period of 6.3 years as follows:
Fiscal Years Ending
September 30 Amount
2024 $ 3,736
2025 3,736
2026 3,736
2027 3,736
2028 3,594
Thereafter 1,078
Total $ 19,616
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H- RETIREMENT PLAN-DEFINED BENEFIT PENSION PLAN, CONTINUED
Health Insurance Subsidy (HIS) Plan, continued
Actuarial Assumptions. The total pension liability in the July 1, 2023, actuarial
valuation was determined using the following actuarial assumptions, applied to all
periods included in the measurement:
Inflation 2.40 percent
Real Payroll Growth 0.85 percent
Salary Increases 3.25 percent,average,including inflation
Municipal Bond Rate 3.65 percent
Annual Cost Method Individual entry age
Mortality rates were based on the Generational PUB-2010 with Projected Scale
MP-2018.
Because the HIS Plan is funded on a pay-as-you-go basis, no experience study has
been completed for the Plan.
Discount Rate. The discount rate used to measure the total HIS liability was
3.65 percent. In general,the discount rate for calculating the total HIS liability is
equal to the single rate equivalent to discounting at the long-term expected rate of
return for benefit payments prior to the projected depletion date. Because the HIS
benefit is essentially funded on a pay-as-you-go basis,the depletion date is
considered to be immediate, and the single equivalent discount rate is equal to the
municipal bond rate selected by the plan sponsor. The Bond Buyer General
Obligation 20-Bond Municipal Bond Index was adopted as the applicable municipal
bond index.
Sensitivity of the District's Proportionate Share of the Net HIS Liability
to Changes in the Discount Rate. The following presents the District's
proportionate share of the net HIS liability calculated using the discount rate of
3.65 percent, as well as what the District's proportionate share of the net HIS
liability would be if it were calculated using a discount rate that is 1-percentage-point
lower(2.65 percent) or 1-percentage-point higher(4.65 percent)than the current
rate:
1% Current 1%
Decrease Discount Rate Increase
(2.65%) (3.65%) (4.65%)
District's proportionate share of
the net HIS liability $ 1,254,749 $ 1,099,842 $ 971,436
161 B1
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H- RETIREMENT PLAN -DEFINED BENEFIT PENSION PLAN, CONTINUED
Health Insurance Subsidy (HIS)Plan, continued
Pension Plan Fiduciary Net Position. Detailed information about the HIS plan's
fiduciary net position is available in the separately issued FRS Pension Plan and
Other State Administered Annual Comprehensive Financial Report(FRS ACFR)
dated June 30, 2023.
The FRS ACFR and actuarial reports may also be obtained by contacting the
Division of Retirement at:
Department of Management Services
Division of Retirement
Bureau of Research and Member Communications
P.O. Box 9000
Tallahassee, FL 32315-9000
850-488-5706 or toll free at 877-377-1737
http://www.dms.myflorida.com/workforce operations/retirement/publications
Payables to the Pension Plan. At September 30, 2023, the District reported a
payable of$0 for the outstanding amount of contributions to the HIS plan required
for the fiscal year ended September 30, 2023.
FRS -Defined Contribution Pension Plan
The SBA administers the defined contribution plan officially titled the FRS Investment
Plan(Investment Plan). The Investment Plan is reported in the SBA's annual financial
statements and in the State of Florida Annual Comprehensive Financial Report.
As provided in Section 121.4501, Florida Statutes, eligible FRS members may elect
to participate in the Investment Plan in lieu of the FRS defined benefit plan. District
employees participating in DROP are not eligible to participate in the Investment
Plan. Employer and employee contributions, including amounts contributed to
individual member's accounts, are defined by law,but the ultimate benefit depends in
part on the performance of investment funds. Benefit terms, including contribution
requirements, for the Investment Plan are established and may be amended by the
Florida Legislature. The Investment Plan is funded with the same employer and
employee contribution rates that are based on salary and membership class (Regular
Class, Elected County Officers, etc.), as the FRS defined benefit plan. Contributions
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H- RETIREMENT PLAN - DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS -Defined Contribution Pension Plan, continued
are directed to individual member accounts, and the individual members allocate
contributions and account balances among various approved investment choices.
Costs of administering the plan, including FRS Financial Guidance Program, are
funded through an employer contribution of 0.06 percent of payroll and by forfeited
benefits of plan members. Allocations to the investment member's accounts during
the 2022-23 fiscal year were as follows:
Percent of Gross Salary*
Class(2) Employee Employer(1) Employer(3)
Florida Retirement System,Regular 3.00 6.3 8.30
Florida Retirement System,Senior Management Service 3.00 7.67 9.67
Florida Retirement System,Special Risk 3.00 14.0 16.0
Florida Retirement System,Elected Official 3.00 11.34 13.34
Notes:
(1) Employer rates include 1.66 percent for the post employment health insurance subsidy. Also,
employer rates,other than for DROP participants,include.06 percent for administrative costs for
the Investment Plan. Rates for 7/1/22-6/30/23.
(2) Contribution rates are dependent upon retirement class in which reemployed.
(3) Employer rates include 2.0 percent for the post employment health insurance subsidy. Also,
employer rates,other than for DROP participants,include.06 percent for administrative costs for
the Investment Plan. Rates for 7/1/23-6/30/24.
* As defined by the Plan.
Effective July 1, 2023, employer contribution rates increased by 2% in all
membership classes.
For all membership classes, employees are immediately vested in their own
contributions and are vested after 1 year of service for employer contributions and
investment earnings. If an accumulated benefit obligation for service credit originally
earned under the FRS Pension Plan is transferred to the Investment Plan,the member
must have the years of service required for FRS Pension Plan vesting (including the
service credit represented by the transferred funds)to be vested for these funds and
the earnings on the funds. Nonvested employer contributions are placed in a
suspense account for up to 5 years. If the employee returns to FRS-covered
employment within the 5-year period, the employee will regain control over their
account. If the employee does not return within the 5 year period, the employee will
forfeit the accumulated account balance. For the fiscal year ended September 30,
2022,the information for the amount of forfeitures was unavailable from the SBA;
however, management believes that these amounts, if any, would be immaterial to
the District.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE H- RETIREMENT PLAN - DEFINED BENEFIT PENSION PLAN, CONTINUED
FRS -Defined Contribution Pension Plan, continued
After termination and applying to receive benefits,the member may rollover vested
funds to another qualified plan, structure a periodic payment under the Investment
Plan, receive a lump-sum distribution, leave the funds invested for future distribution,
or any combination of these options. Disability coverage is provided; the member
may either transfer the account balance to the FRS Pension Plan when approved for
disability retirement to receive guaranteed lifetime monthly benefits under the FRS
Pension Plan, or remain in the Investment Plan and rely upon that account balance for
retirement income.
The District's Investment Plan pension expense totaled $225,666 for the fiscal year
ended September 30, 2023.
Payables to the Investment Plan. At September 30, 2023,the District reported a
payable of$0 for the outstanding amount of contributions to the Plan required for the
fiscal year ended September 30, 2023.
Other Retirement Plan
Effective June 2020,the District initiated a 401(a)plan for the District's Fire Chief.
Effective January 2019, the District began offering two (2) 457(b) Deferred
Compensation Plans to all employees which allows for salary deferrals with no
employer contributions.
NOTE I - PROPERTY TAXES
Property taxes are levied after formal adoption of the District's budget and become
due and payable on November 1 of each year and are delinquent on April 1 of the
following year. Discounts on property taxes are allowed for payments made prior to
the April 1 delinquent date. Tax certificates are sold to the public for the full amount
of any unpaid taxes and must be sold not later than June 1 of each year. The billing,
collection, and related recordkeeping of all property taxes is performed for the
District by the Collier County Tax Collector. No accrual for the property tax levy
becoming due in November 2023, is included in the accompanying financial
statements, since such taxes are collected to finance expenditures of the subsequent
period.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE I - PROPERTY TAXES, CONTINUED
Procedures for collecting delinquent taxes, including applicable tax certificate sales
and tax deed sales, are provided for by Florida Statutes. The enforceable lien date is
approximately two years after taxes become delinquent and occurs only upon request
of a holder of a delinquent tax certificate. As of September 30, 2023, $69,479 was
due from the Collier County Tax Collector for ad valorem taxes and excess fees.
Important dates in the property tax cycle are as follows:
Assessment roll certified July 1
Millage resolution approved No later than 93 days following
certification of assessment roll
Beginning of fiscal year for which
taxes have been levied October 1
Taxes due and payable(levy date) November 1 with various discount
provisions through March 31
Property taxes payable-
maximum discount(4 percent) 30 days after levy date
Due date March 31
Taxes become delinquent(lien date) April 1
Tax certificates sold by the Collier
County Tax Collector Prior to June 1
For the year ended September 30, 2023, the Board of Commissioners of the District
levied ad valorem taxes at a millage rate of$3.75 per $1,000 (3.75 mills) of the 2022
net taxable value of real property located within the District.
NOTE J- IMPACT FEE FUND ACTIVITY
During the year ended September 30, 2023,the Impact Fee Fund had the
following activity:
Amount
Unearned revenue,October 1,2022 $ 2,405,180
Impact fee receipts* 2,315,155
Debt proceeds -
Interest income 102,689
Professional fees(impact fee study) (58,940)
Commissions(admin fee)-paid to Collier County (20,869)
Debt service-principal (432,721)
Debt service-interest (192,260)
Capital outlay (812,007)
Unearned revenue,September 30,2023 $ 3,306,227
*Includes$179,311 due from Collier County.
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE K- RISK MANAGEMENT
The District is exposed to various risks of loss related to torts;theft of, damage to,
and destruction of assets; errors and omissions; injuries to employees; and natural
disasters.
Insurance programs for general/professional liability, automobile and property are
covered by commercial insurance. The District retains the risk of loss up to a
deductible amount(ranging from $0 to $2,500)with the risk of loss in excess of this
amount transferred to the insurance carrier with limits of liability of$1,000,000 per
occurrence and $10,000,000 in the aggregate. The District is third party insured
for employee health, dental and vision as well as workers' compensation.
NOTE L - FUND BALANCE ALLOCATIONS
Fund balance was allocated for the following purposes at September 30, 2023:
Nonspendable Fund Balance Amount
General Fund
Prepaid expenditures $ 152,743
Total Nonspendable Fund Balance-General Fund 152,743
Assigned Fund Balance
General Fund
Assigned for fiscal year startup(90 day operations) 1,200,000
Capital purchases 100,000
Disaster/Emergency 265,303
COVID Grant Replacement Vehicle 20,000
Replacement Station 30 1,000,000
Total Assigned Fund Balance-General Fund 2,585,303
Unassigned Fund Balance
Unassigned -
Total Fund Balance-General Fund $ 2,738,046
16181
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE M-POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS (OPEB)
Plan Description
The District's defined contribution OPEB Plan provides the opportunity to obtain
health insurance, pharmacy, dental and vision benefits to its retired employees and
their dependents. The year ended September 30, 2018 was the District's transition
year and as such,the District implemented GASB No. 75 "Accounting and Financial
Reporting for Postemployment Benefits Other Than Pensions". GASB No. 75
requires the District record its actuarially determined total OPEB liability.
All retired full-time employees are eligible for OPEB benefits if actively employed by
the District immediately before retirement. As of September 30, 2023, there were no
retirees eligible to receive benefits. At September 30, 2023, there were thirty-five
(35) active full time eligible District employees and zero (0) inactive. The benefits
are provided both with contractual or labor agreements. The benefits require
contribution from the retirees, depending on certain specified criteria and, in
particular, length of creditable employment. There is no requirement for the District
to contribute toward this benefit and the District does not contribute toward this
benefit. The minimum retirement age is 62 for administrative and 55 years old for
special risk. The minimum years of service requirement is 10 years.
The retiree's premiums for these benefits totaled $0 during the year ended September
30, 2023.
Funding Policy
The District's OPEB benefits are unfunded. The retiree is eligible for benefits under
the District's health and pharmacy plan, but is obligated to reimburse the District for
100%of the cost of the retiree's health coverage. As such,the District has no
ultimate obligation (explicit subsidy) for the retiree's health insurance premium. The
District acts as agent for the retiree on a pay-as-you-go basis and recognizes
expenditures at the time the premiums are due. The District does, however, incur the
cost of premium rate being increased on its active employees (implicit subsidy) due to
providing coverage to its retirees. The District has not determined if a separate trust
fund or equivalent arrangement will be established into which the District would make
contributions to advance-fund the obligation. Therefore, no separate financial
statement is issued. All required disclosures are presented herein. The Plan's
measurement date was September 30, 2023. The Plan's valuation date was
September 30, 2023.
161Bi
IMMOKALEE FIRE CONTROL DISTRICT Page 49 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE M-POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
(OPEB), CONTINUED
Funding Policy, continued
The retiree pays 100% of the retiree health coverage therefore there is no explicit
subsidy. The retiree may purchase dependent coverage through the District. At age
65 the retiree then must move to Medicare but may continue to purchase dental and
vision coverage through the District. The District finances the benefits on a
pay-as-you-go basis and recognizes expenditures at the time the premiums are due.
The District subsidizes the premium rates paid by retirees by allowing them to
participate at blended premium rates for both active and retired employees. These
rates provide an implicit subsidy for retirees because, on an actuarial basis, retiree
claims are expected to result in higher costs to the plan on average than those of
active employees.
The projection of future benefit payments for an ongoing plan involves estimates of
the value of reported amounts and assumptions about the probability of occurrence of
events far into the future. Examples include assumptions about future employment,
mortality, and the healthcare cost trend. Amounts determined regarding the funded
status of the plan and the annual required contributions of the employer are subject to
continual revision as actual results are compared with past expectations and new
estimates are made about the future. The schedule of funding progress presents
multiyear trend information about whether the actuarial value of plan assets is
increasing or decreasing over time relative to the actuarial accrued liabilities for
benefits.
Actuarial Methods and Assumptions
Projections of benefits for financial reporting purposes are based on the substantive
plan (the plan as understood by the employer and plan members) and include types
of benefits provided at the time of each valuation and the historical pattern of sharing
of benefit costs between the employer and plan members to that point. The methods
and assumptions used include techniques that are designed to reduce the effects of
short-term volatility in actuarial accrued liabilities and the actuarial value of assets,
consistent with the long-term perspective of the calculations.
161 B1
IMMOKALEE FIRE CONTROL DISTRICT Page 50 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE M-POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
(OPEB), CONTINUED
Actuarial Methods and Assumptions, continued
At September 30, 2023, the District's Net OPEB Liability of$266,641 was
measured as of September 30, 2023, and was determined by an actuarial valuation
as of that date using the alternate measurement method. The following actuarial
assumptions and other inputs were applied to all periods included in the
measurement:
The following simplifying assumptions were made:
Mortality-Life expectancies were based on PubG-2010 Mortality Tables for Males and
Females projected 10 years using MP-2019.
Actuarial Cost Method-Entry age normal cost method.(level%of pay)
Annual healthcare cost trend using the Society of Actuaries Long-Run Medical Cost
Trend Model baseline assumptions with an initial rate of 7.0%per year trending to ultimate
4.00%by 2028.
Turnover-Derived from data maintained by the US Office of Personnel Management
regarding the most recent experience of the employee group covered by the Federal
Employees Retirement System.
Amortization Period: Rolling 20 year amortization
Amortization Method: level percentage of payroll
The discount rate was 4.87%for 2023 (4.77%for 2022)(2.43%for 2021)(2.41%for 2020)(2.21%
for 2019)(4.23%for 2018)(2.8%for 2017)and was based on the 20 Year Municipal Bond Rate
with Aa2/AA or higher.
Salary Increases 2.50%
Discount Rate 4.87%
Inflation Rate 2.50%
Years to Ultimate 51 years
The FRS salary scale was used.
Participation percentage:20%
Valuation Date September 30,2023
The actuarial assumptions used in the September 30,2023 (valuation date)were calculated using
alternative measurement method in accordance with GASB methodology.
The rationales for selecting each of the assumptions used in the financial accounting
valuation and for the assumptions changes summarized above are to best reflect the
current market conditions and recent plan experience.
16IBi
IMMOKALEE FIRE CONTROL DISTRICT Page 51 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE M-POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
(OPEB), CONTINUED
Changes in the Net OPEB Liability
Amount
Balance at September 30, 2022 $ 291,263
Changes for the Year:
Service Cost 15,066
Interest Cost on Total OPEB Liability 14,580
Change in Benefit Terms -
Difference Between Expected and Actual Experience (18,102)
Changes in Assumptions (34,823)
Benefit Payments (1,343)
Net Changes (24,622)
Balance at September 30, 2023 $ 266,641
The following presents the net OPEB liability of the District as well as what the
District's net OPEB liability would be if it were calculated using a discount rate that
is 1 percent higher or 1 percent lower than the current discount rate.
1%Decrease Current Rate 1%Increase
3.87% 4.87% 5.87%
Net OPEB Liability $ 312,434 $ 266,641 $ 229,208
The following presents the net OPEB liability of the District as well as what the
District's net OPEB liability would be if it were calculated using healthcare trend
rates that are 1 percent higher or 1 percent lower than the current healthcare trend
rate.
1%Decrease Trend Rate 1%Increase
3.0-6.0% 4.0-7.0% 5.0-8.0%
Net OPEB Liability $ 226,977 $ 266,641 $ 315,283
16181
IMMOKALEE FIRE CONTROL DISTRICT Page 52 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE M-POST-EMPLOYMENT BENEFITS OTHER THAN PENSION BENEFITS
(OPEB), CONTINUED
Changes in the Net OPEB Liability, continued
For the year ended September 30, 2023, the District recognized OPEB expense
(credit) of($19,579). At September 30, 2023,the District reported deferred
outflows of resources and deferred inflows of resources related to OPEB from the
following sources:
Deferred Deferred
Outflows of Inflows of
Resources* Resources*
Differences Between Expected and
Actual Experience $ - $ -
Changes in Assumptions - -
Net difference between projected
and actual earnings - -
Employer contribution subsequent
to measurement date - -
Total $ - $ -
Amounts reported as deferred outflows of resources and deferred inflows of
resources related to OPEB will be recognized in OPEB expense as follows:
Year Ended September 30: Amount*
2024 $ -
2025 -
2026 -
2027 -
2028 -
Total Thereafter -
$ -
*Per GASB No. 75 paragraph 43(a) since the District used the alternative measurement
method the effects of assumptions are recognized immediately. As such, since the Plan
holds no assets, their deferred inflows/outflows are zero.
161131
IMMOKALEE FIRE CONTROL DISTRICT Page 53 of 70
NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE N - COMMITMENTS AND CONTINGENCIES
In April 2021,the District entered into contract in the amount of$4,716,802 for the
construction of Station 30. During the year ended September 30, 2023, there was
a net increase in change orders in the amount of$1,372,246, bringing the sum of the
contract to a total of$6,089,048.
The District is funding the Station 30 project through a State Fire Service Grant in the
amount of$900,000, a Federal CBDG grant in the amount of$1,016,647 and the
remaining cost will be funded through a$2,700,000 construction loan and District
funds (general and impact fees).
Payments made under this contract total $5,777,369 and are included in
Construction in Progress and Capital Outlay in the General Fund. At September 30,
2023,the balance of retainage is $293,563.
NOTE O - 457(b) DEFERRED COMPENSATION PLANS
The District offers the employees the opportunity to participate in two (2)457(b)
deferred compensation plans. These Plans have a third party trustee/custodian that
holds 100%of Plan assets. The Plans are 100%third party administered. The Plans
accept only employee contributions.
NOTE P - 401(a) RETIREMENT PLAN
The Board of Fire Commissioners established the 401(a)Plan (the "Plan") for the
Fire Chief. This retirement Plan is in addition to the benefits the Chief is entitled to
from FRS/HIS. The Plan was effective on June 18, 2020. At September 30, 2023,
the Plan has one (1) active participant and allows only the Chief to participate.
The Plan permits employer contributions only. Amounts contributed by the employer
are equal to $5,000 per fiscal year as required by the Chiefs employment contract.
Employee contributions are prohibited.
Employer contributions are 100%vested upon deposit into the Plan.
Total District contributions to the Plan for the year ended September 30, 2023 were
$5,000.
16IB1
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NOTES TO THE FINANCIAL STATEMENTS
September 30,2023
NOTE Q - SUBSCRIPTION LIABILITY
The District entered into multiple subscription-based information technology
arrangements for various software. The software have 1 year terms and have fixed
payments. The District aggregated the subscriptions for reporting purposes. The
District used a discount rate of 4.45%(incremental borrowing rate)to record the
present value of the future minimum payments as of the date of implementation.
The District is capitalizing the arrangements over a 3 year term consistent with its
fixed asset capitalization policy.
The future minimum subscription payments as of September 30, 2023 is as follows:
Years
Ending
September 30 Amount
2024 $ 59,162
2025 67,585
126,747
Impact of present value discount (8,315)
Present value $ 118,432
The amortization of the subscription liability for the year ended September 30,
2023, was $7,707.
At September 30, 2023,the right of use-subscription asset and right of use-
subscription liability balances are as follows:
Amount
Right of use subscription asset,current $ 53,783
Right of use subscription asset,noncurrent 64,649
$ 118,432
Right of use subscription liability,current $ 53,783
Right of use subscription liability,noncurrent 64,649
$ 118,432
161 B1
REQUIRED SUPPLEMENTARY
INFORMATION
OTHER THAN MD&A
• u
16IB1
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STATEMENT OF REVENUES,EXPENDITURES AND CHANGES IN
FUND BALANCE-BUDGET AND ACTUAL - GENERAL FUND -
SUMMARY STATEMENT
Year Ended September 30,2023
General Fund
Variance
Original Final Favorable
Budget Budget Actual (Unfavorable)
REVENUES
Ad Valorem taxes $ 5,963,864 $ 6,100,838 $ 6,100,838 $ -
Intergovernmental revenues:
Federal public safety grant-CDBG - 158,139 158,139 -
State grants - - - -
Other grants - - - -
State firefighter supplemental 840 2,840 2,520 (320)
Inspection fees - - - -
Public safety services - - - -
Miscellaneous:
Interest 2,500 200,401 200,514 113
Other 208,100 334,125 335,197 1,072
Reserves brought forward 5,554,485 5,700,282 - (5,700,282)
TOTAL REVENUES 11,729,789 12,496,625 6,797,208 (5,699,417)
EXPENDITURES
Current
Public safety
Personnel services 4,436,514 4,500,535 4,495,167 5,368
Operating expenditures 1,061,777 1,153,277 1,143,017 10,260
Capital outlay 3,077,000 4,361,849 4,361,815 34
Debt service
Principal reduction 649,000 3,251,000 3,237,808 13,192
Interest and fiscal charges - 145,408 150,704 (5,296)
Assigned-90 day reserve 1,200,000 1,200,000 - 1,200,000
Assigned-Prepaid expenses 23,987 - - -
Assigned-Fleet Reserves 1,000,000 1,000,000 - 1,000,000
Assigned-Emergency 306,511 239,637 - 239,637
Assigned-COVID Grant Replacement Vehicle - 20,000 - 20,000
Assigned-Capital purchases - 100,000 - 100,000
Assigned-Replacement Station 30 - 152,744 - _ 152,744
TOTAL EXPENDITURES 11,754,789 16,124,450 13,388,511 2,735,939
EXCESS OF REVENUES
OVER(UNDER)EXPENDITURES (25,000) (3,627,825) (6,591,303) (2,963,478)
OTHER FINANCING SOURCES(USES)
Proceeds from issuance of financing lease - - 123,067 123,067
Proceeds from issuance of construction loans - 3,602,825 3,479,758 (123,067)
Proceeds from disposition of capital assets 25,000 25,000 26,242 1,242
TOTAL OTHER FINANCING SOURCES(USES) 25,000 3,627,825 3,629,067 1,242
NET CHANGE IN FUND BALANCE $ - $ - (2,962,236) $ (2,962,236)
FUND BALANCE-Beginning 5,700,282
FUND BALANCE-Ending $ 2,738,046
The accompanying notes are an integral part of this statement.
16IB1
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STATEMENT OF REVENUES,EXPENDITURES AND CHANGES
IN FUND BALANCE -BUDGET AND ACTUAL -GENERAL FUND
DETAILED STATEMENT
Year Ended September 30,2023
General Fund
Variance
Original Final Favorable
Budget Budget Actual (Unfavorable)
REVENUES
Ad Valorem taxes $ 5,963,864 $ 6,100,838 $ 6,100,838 $ -
Intergovernmental revenues:
Federal grants - 158,139 158,139 -
- -
State grants - - -
Other grants - -
State firefighter supplemental 840 2,840 2,520 (320)
-
Inspection fees - -
-
Public safety services -
Miscellaneous:
Interest income 2,500 200,401 200,514 113
PILT-Seminole 100,000 102,025 102,025 -
PILT farm workers village 6,000 6,000 6,150 150
Donations 80,100 80,100 80,020 (80)
User fees-rent 15,000 15,000 12,966 (2,034)
Other income 7,000 131,000 134,036 3,036
Subtotal 6,175,304 6,796,343 6,797,208 865
Reserves brought forward 5,554,485 5,700,282 - (5,700,282)
TOTAL REVENUES 11,729,789 12,496,625 6,797,208 (5,699,417)
EXPENDITURES
PERSONNEL SERVICES
Salaries
Firefighters&administrative 2,245,724 2,220,922 2,220,922 -
Overtime pay 316,542 412,542 409,234 3,308
Holiday pay 67,518 67,518 65,886 1,632
Vacation&sick sell back pay 35,000 3,500 3,018 482
Payroll taxes
Social Security 203,856 203,856 204,829 (973)
Benefits
Retirement 696,991 753,991 756,548 (2,557)
Group insurance 735,000 716,000 716,251 (251)
Health insurance-Commissioners - 6,323 6,323 -
Workers'compensation 135,883 115,883 112,156 3,727
- -
Unemployment - -
SUBTOTAL-PERSONNEL SERVICES 4,436,514 4,500,535 4,495,167 5,368
OPERATING
Contracted Services
Physicals 5,000 12,000 12,220 (220)
Legal&professional fees 58,000 58,000 60,209 (2,209)
Property appraiser fees 30,000 45,000 41,165 3,835
Tax collection fees 119,777 119,777 123,335 (3,558)
Contracted services 30,500 35,000 39,267 (4,267)
Subtotal-Contracted services 243,277 269,777 276,196 (6,419)
The accompanying notes are an integral part of this statement.
161 B1
IMMOKALEE FIRE CONTROL DISTRICT Page 57 of 70
STATEMENT OF REVENUES,EXPENDITURES AND CHANGES
IN FUND BALANCE - BUDGET AND ACTUAL - GENERAL FUND
DETAILED STATEMENT - CONTINUED
Year Ended September 30,2023
General Fund
Variance
Original Final Favorable
Budget Budget Actual (Unfavorable)
OPERATING,CONTINUED
Operating
Education and training 20,000 42,000 42,604 (604)
Travel 12,500 31,500 31,268 232
Communications-telephone 40,000 40,000 46,247 (6,247)
Postage 1,000 1,000 720 280
Utilities 127,000 127,000 128,170 (1,170)
Liability insurance 135,000 125,000 125,900 (900)
Subtotal-Operating 335,500 366,500 374,909 (8,409)
Maintenance
Vehicle 70,000 70,000 88,413 (18,413)
Equipment-firefighter and rescue 15,000 27,000 21,600 5,400
Generators - - 1,532 (1,532)
Equipment lease - - 9,277 (9,277)
HVAC - - 5,035 (5,035)
Building 75,000 75,000 75,446 (446)
Bunker gear 4,500 4,500 8,685 (4,185)
Cascade system - - 2,395 (2,395)
Subtotal-Maintenance 164,500 176,500 212,383 (35,883)
Legal advertising 4,000 4,000 2,682 1,318
Supplies
Office 3,500 3,500 1,963 1,537
Printing - - - -
Shipping - - 83 (83)
Firefighter rescue 17,500 17,500 17,784 (284)
Station-janitorial - - 10,819 (10,819)
CDBG COVID-PPE - - -
Station-non janitorial 45,000 45,000 8,018 36,982
Education&training 5,000 5,000 - 5,000
Fuel and oil 85,000 85,000 71,052 13,948
Uniforms&PPE 20,000 20,000 25,527 (5,527)
Hurricane expense - - - -
Computer software and training 65,000 60,000 57,267 2,733
Miscellaneous 5,000 5,000 744 4,256
Communication(radio) 5,000 15,000 12,007 2,993
Communication(phone) - - 1,839 (1,839)
Public education - - - -
Furniture - 25,000 24,917 83
Computer equipment 17,500 17,500 12,092 5,408
Operating - - 2,780 (2,780)
Minor equipment 40,000 32,000 23,891 8,109
The accompanying notes are an integral part of this statement.
16181
IMMOKALEE FIRE CONTROL DISTRICT Page 58 of 70
STATEMENT OF REVENUES,EXPENDITURES AND CHANGES
IN FUND BALANCE -BUDGET AND ACTUAL -GENERAL FUND
DETAILED STATEMENT -CONTINUED
Year Ended September 30,2023
General Fund
Variance
Original Final Favorable
Budget Budget Actual (Unfavorable)
Books and dues 6,000 6,000 6,064 (64)
Subtotal-Supplies 314,500 336,500 276,847 59,653
SUBTOTAL-OPERATING EXPENDITURES 1,061,777 1,153,277 1,143,017 10,260
Capital Outlay
Land - - - -
Firefighter equipment-grant match 5,000 5,000 45,145 (40,145)
Training equipment - - - -
Firefighter rescue equipment 15,000 15,000 19,333 (4,333)
Bunker gear 32,000 - - -
Building and CIP 3,000,000 3,245,000 3,244,048 952
Covid Grant vehicle&equipment - 95,733 95,733 -
Vehicles - 902,825 902,825 -
Communications equipment - 45,200 - 45,200
Computer equipment 25,000 53,091 54,731 (1,640)
SUBTOTAL-CAPITAL OUTLAY 3,077,000 4,361,849 4,361,815 34
Debt service
Principal retirement 649,000 3,251,000 3,237,808 13,192
Interest charges and fiscal - 145,408 150,704 (5,296)
SUBTOTAL-DEBT SERVICE 649,000 3,396,408 3,388,512 7,896
Assigned-First Q of Operation 1,200,000 1,200,000 - 1,200,000
Assigned-Projected Deficit 23,987 - - -
Assigned-Replacement Station 30 1,000,000 1,000,000 - 1,000,000
Assigned-Emergency 306,511 239,637 - 239,637
Assigned-COVID Grant Replacement Vehicle - 20,000 - 20,000
Assigned-Capital purchases - 100,000 - 100,000
Restricted-Prepaid Expenses - 152,744 - 152,744
TOTAL EXPENDITURES 11,754,789 16,124,450 13,388,511 2,735,939
EXCESS OF REVENUES
OVER(UNDER)EXPENDITURES (25,000) (3,627,825) (6,591,303) (2,963,478)
OTHER FINANCING SOURCES(USES)
Proceeds from issuance of financing lease - - 123,067 123,067
Proceeds from issuance of construction loans - 3,602,825 3,479,758 (123,067)
Proceeds from disposition of capital assets 25,000 25,000 26,242 1,242
TOTAL OTHER FINANCING SOURCES(USES) 25,000 3,627,825 3,629,067 1,242
NET CHANGE IN FUND BALANCE $ - $ - (2,962,236) $ (2,962,236)
FUND BALANCE-BEGINNING 5,700,282
FUND BALANCE-ENDING $ 2,738,046
The accompanying notes are an integral part of this statement.
16181
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STATEMENT OF REVENUES,EXPENDITURES AND CHANGES IN
FUND BALANCE -BUDGET AND ACTUAL-
IMPACT FEE FUND SUMMARY STATEMENT
Year Ended September 30,2023
Impact Fee Fund
Variance
Original Final Favorable
Budget Budget Actual (Unfavorable)
REVENUES
Impact fees $ 2,000,000 $ 2,315,154 $ 1,414,108 $ (901,046)
Miscellaneous:
Interest 3,500 101,986 102,689 703
Cash brought forward 2,395,927 2,405,180 - (2,405,180)
TOTAL REVENUES 4,399,427 4,822,320 1,516,797 (3,305,523)
EXPENDITURES
Current
Public safety
Operating expenditures 75,000 86,000 79,809 6,191
Capital outlay 1,125,000 818,683 812,007 6,676
Debt service
Principal reduction 760,131 557,382 432,721 124,661
Interest and fiscal charges 198,456 198,456 192,260 6,196
Cash carried forward 2,240,840 3,161,799 - 3,161,799
TOTAL EXPENDITURES 4,399,427 4,822,320 1,516,797 3,305,523
EXCESS OF REVENUES
OVER(UNDER)EXPENDITURES - - - -
OTHER FINANCING SOURCES(USES)
Proceeds from issuance of financing lease - - - -
Proceeds from construction loan - - - -
TOTAL OTHER FINANCING SOURCES(USES) - - _ -
NET CHANGE IN FUND BALANCE $ - $ - - $ -
FUND BALANCE-Beginning -
FUND BALANCE-Ending $ -
The accompanying notes are an integral part of this statement.
16181
IMMOKALEE FIRE CONTROL DISTRICT
SCHEDULE OF DISTRICT PROPORTIONATE SHARE OF THE NET
PENSION LIABILITY -FLORIDA RETIREMENT SYSTEM (FRS) PENSION
PLAN (1)
2023 2022 2021 2020
Districts proportion of the net pension liability 0.0 1 1 584793% 0.011418826% 0.010400522% 0.011823008%
District's proportionate share of the net pension liability $ 4,616,173 $ 4,248,721 $ 785,641 $ 5,124,266
District's covered-employee payroll $ 2,699,060 $ 2,407,158 $ 2,290,487 $ 2,129,835
District's proportionate share of the net pension liability
as a percentage of its covered-employee payroll 171.03% 176.50% 34.30% 240.59%
Plan fiduciary net position as a percentage of the
total pension liability 82.38% 82.89% 96.40% 78.85%
Notes: (1)The amounts presented for each fiscal year were determined as of September 30.
SCHEDULE OF DISTRICT CONTRIBUTIONS -
FLORIDA RETIREMENT SYSTEM (FRS) PENSION PLAN(1)
2023 2022 2021 2020
Contractually required contribution $ 706,455 $ 601,974 $ 507,548 $ 480,781
Contributions in relation to the contractually
required contribution 706,455 601,974 507,548 480,781
Contribution deficiency(excess) $ - $ - $ - $ -
District's covered-employee payroll $ 2,699,060 $ 2,407,158 $ 2,290,487 $ 2,129,835
Contributions as a percentage of covered-employee
payroll 26.17% 25.01% 22.16% 22.57%
Notes: (1)The amounts presented for each fiscal year were determined as of September 30.
GASB 68 requires information for 10 years. However, until a full 10-year trend is compiled,
governments should present information for only those years for which information is available.
16181
Page 60 of 70
2019 2018 2017 2016 2015 2014
0.017687900% 0.012139622% 0.011523968% 0.009463726% 0.006183105% 0.006001750%
$ 4,053,007 $ 3,656,517 $ 3,408,712 $ 2,389,598 $ 798,631 $ 366,195
$ 2,092,719 $ 2,199,804 $ 2,117,620 $ 1,735,883 $ 1,298,578 $ 1,199,275
193.67% 166.22% 160.97% 137.66% 61.50% 30.53%
82.61% 84.26% 83.89% 84.88% 92.00% 96.09%
2019 2018 2017 2016 2015 2014
$ 464,854 $ 454,867 $ 381,858 $ 365,318 $ 236,175 $ 209,820
464,854 454,867 381,858 365,318 236,175 209,820
$ - $ - $ - $ - $ - $
$ 2,092,719 $ 2,199,804 $ 2,117,620 $ 1,735,883 $ 1,298,578 $ 1,199,275
22.21% 20.68% 18.03% 21.05% 18.19% 17.50%
16181
IMMOKALEE FIRE CONTROL DISTRICT
SCHEDULE OF DISTRICT PROPORTIONATE SHARE OF THE NET
PENSION LIABILITY -HEALTH INSURANCE SUBSIDY (HIS) PENSION
PLAN (1)
2023 2022 2021 2020
Districts proportion of the net pension liability 0.006925378% 0.006653126% 0.006097996% 0.005936679%
Districts proportionate share of the net pension liability $ 1,099,842 $ 704,672 $ 748,011 $ 724,859
Districts covered-employee payroll $ 2,699,060 $ 2,407,158 $ 2,290,487 $ 2,129,835
District's proportionate share of the net pension liability
as a percentage of its covered-employee payroll 40.75% 29.27% 32.66% 34.03%
Plan fiduciary net position as a percentage of the
total pension liability 4.12% 4.81% 3.56% 3.00%
Notes: (1)The amounts presented for each fiscal year were determined as of September 30.
SCHEDULE OF DISTRICT CONTRIBUTIONS -
HEALTH INSURANCE SUBSIDY (HIS)PENSION PLAN (1)
2023 2022 2021 2020
Contractually required contribution $ 45,093 $ 38,424 $ 32,397 $ 36,188
Contributions in relation to the contractually
required contribution 45,093 38,424 32,397 36,188
Contribution deficiency(excess) $ - $ - $ - $ -
District's covered-employee payroll $ 2,699,060 $ 2,407,158 $ 2,290,487 $ 2,129,835
Contributions as a percentage of covered-employee
payroll 1.67% 1.60% 1.41% 1.70%
Notes: (1)The amounts presented for each fiscal year were determined as of September 30.
GASB 68 requires information for 10 years. However, until a full 10-year trend is compiled,
governments should present information for only those years for which information is available.
16181 •
Page 61 of 70
2019 2018 2017 2016 2015 2014
0.006157845% 0.006303007% 0.005951814% 0.005168356% 0.004192421% 0.004035317%
$ 689,001 $ 677,117 $ 636,395 $ 602,350 $ 427,561 $ 377,312
$ 2,092,719 $ 2,199,804 $ 2,117,620 $ 1,735,883 $ 1,298,578 $ 1,199,275
32.92% 30.78% 30.05% 34.70% 32.93% 31.46%
2.63% 2.15% 1.64% 0.97% 0.50% 0.99%
2019 2018 2017 2016 2015 2014
$ 34,989 $ 34,237 $ 28,742 $ 29,194 $ 19,237 $ 14,244
34,989 34,237 28,742 29,194 19,237 14,244
$ - $ - $ - $ - $ - $ -
$ 2,092,719 $ 2,199,804 $ 2,117,620 $ 1,735,883 $ 1,298,578 $ 1,199,275
1.67% 1.56% 1.36% 1.68% 1.48% 1.19%
t61 Bi
IMMOKALEE FIRE CONTROL DISTRICT Page 62 of 70
NOTES TO THE REQUIRED SUPPLEMENTARY INFORMATION
September 30,2023
Changes of Assumptions
Actuarial assumptions for both cost-sharing defined benefit plans are reviewed
annually by the Florida Retirement System Actuarial Assumptions Conference. The
FRS Pension Plan has a valuation performed annually. The HIS Program has a
valuation performed biennially that is updated for GASB reporting in the year a
valuation is not performed. The most recent experience study for the FRS Pension
Plan is for the period July 1, 2013,through June 30, 2018. Because the HIS Program
is funded on a pay-as-you-go basis,no experience study has been completed for that
program. The actuarial assumptions that determined the total pension liability for the
HIS Program were based on certain results of the most recent experience study for
the FRS Pension Plan.
The total pension liability for each cost-sharing defined benefit plan was determined
using the individual entry age actuarial cost method. Inflation increases for both plans
is assumed at 2.40%. Payroll growth, including inflation, for both plans is assumed at
3.25%. Both the discount rate and the long-term expected rate of return used for
FRS Pension Plan investments remained unchanged at 6.70%. The Plan's fiduciary
net position was projected to be available to make all projected future benefit
payments of current active and inactive employees. Therefore,the discount rate for
calculating the total pension liability is equal to the long-term expected rate of return.
Because the HIS Program uses a pay-as-you-go funding structure, a municipal bond
rate was increased from 3.54%to 3.65%and was used to determine the total pension
liability for the program (Bond Buyer General Obligation 20-Bond Municipal Bond
Index). Mortality assumptions for both plans were based on the Generational
PUB-2010 with Projection Scale MP-2018.
Florida Retirement System Pension Plan
There were changes in actuarial assumptions. As of June 30, 2023,the inflation rate
assumption remained at 2.4 percent,the real payroll growth assumption remained at
0.85 percent, and the overall payroll growth rate assumption remained at 3.25
percent. The long-term expected rate of return was unchanged at 6.70%.
Health Insurance Subsidy Pension Plan
The municipal rate used to determine total pension liability increased from 3.54
percent to 3.65 percent.
16181
IMMOKALEE FIRE CONTROL DISTRICT Page 63 of 70
NOTES TO THE REQUIRED SUPPLEMENTARY INFORMATION
September 30,2023
Pension Expense and Deferred Outflows/Inflows of Resources
In accordance with GASB 68, paragraphs 54 and 71, changes in the net pension
liability are recognized in pension expense in the current measurement period, except
as indicated below. For each of the following, a portion is recognized in pension
expense in the current reporting period, and the balance is amortized as deferred
outflows or deferred inflows of resources using a systematic and rational method over
a closed period, as defined below:
• Differences between expected and actual experience with regard to economic
and demographic factors - amortized over the average expected remaining
service life of all employees that are provided with pensions through the
pension plan (active and inactive employees)
• Changes of assumptions or other inputs - amortized over the average
expected remaining service life of all employees that are provided with
pensions through the pension plan (active and inactive employees)
• Changes in proportion and differences between contributions and
proportionate share of contributions - amortized over the average expected
remaining service life of all employees that are provided with pensions through
the pension plan(active and inactive employees)
• Differences between expected and actual earnings on pension plan investments
- amortized over five years
Employer contributions to the pension plans from employers are not included in
collective pension expense. However, employee contributions are used to reduce
pension expense.
The average expected remaining service life of all employees provided with pensions
through the pension plans at September 30, 2023, decreased from 5.5 years to 5.3
years for FRS and decreased from 6.4 years for 2022 to 6.3 years for HIS for 2023.
161 Bi
IMMOKALEE FIRE CONTROL DISTRICT
SCHEDULE OF CHANGES IN THE NET OPEB LIABILITY AND
RELATED RATIOS GASB 75
Changes in Employer's Net OPEB Liability and Related Ratios as of September 30:
Net OPEB Liability 2023 2022 2021
Service Cost $ 15,066 $ 22,854 $ 30,006
Interest Cost on Total OPEB Liability 14,580 9,904 13,675
Changes in Benefit Terms - - -
Differences Between Expected and Actual Experience (18,102) - 42,653
Changes in Assumptions (34,823) (125,584) (234,430)
Benefit Payments (1,343) (1,249) (7,930)
Net Change in net OPEB Liability (24,622) (94,075) (156,026)
Net OPEB Liability-Beginning of Year 291,263 385,338 541,364
Net OPEB Liability-End of Year $ 266,641 $ 291,263 $ 385,338
NOTE: Information for FY 2017 and earlier is not available.
Plan Fiduciary Net Position as of September 30:
2023 2022 2021
Contributions-Employer $ 1,343 $ 1,249 $ 7,930
Net Investment Income - -Benefit Payments (1,343) (1,249) (7,930)
Administrative Expense - -Net Change in Fiduciary Net Position - - -
Fiduciary Net Position-Beginning of Year - - -
Fiduciary Net Position-End of Year $ - $ - $ -
Net OPEB Liability $ 266,641 $ 291,263 $ 385,338
Fiduciary Net Position as a%of Net OPEB Liability 0.00% 0.00% 0.00%
Covered-Employee Payroll*
Net OPEB Liability as a%of Payroll *
*Because this OPEB plan does not depend on salary,no information is provided.
NOTE: Information for FY 2017 and earlier is not available.
Notes to the Schedule:
Benefit Changes None
Changes of Assumptions The discount rate was changed as follows:
9/30/18 4.23%
9/30/19 2.21%
9/30/20 2.41%
9/30/21 2.43%
9/30/22 4.77%
9/30/23 4.87%
Updated healthcare costs and premiums
Population covered by Plan: 35 active 0 retired
Plan has no specific trust established. $0 assigned for OPEB.
16181
Page 64 of 70
2020 2019 2018
$ 29,274 $ 29,274 $ 31,359
12,282 16,639 13,731
(8,694) 85,904 116,389
(14,191) (75,615) (100,573)
(7,559) (33,008) (25,607)
11,112 23,194 35,299
530,252 507,058 471,759
$ 541,364 $ 530,252 $ 507,058
2020 2019 2018
$ 7,559 $ 33,008 $ 25,607
(7,559) (33,008) (25,607)
$ - $ - $ -
$ 541,364 $ 530,252 $ 507,058
0.00% 0.00% 0.00%
161B1
ADDITIONAL REPORTS
16181
Affiliations
Florida Institute of Certified Public Accountants
®II1�Darfl�s �� American Institute of Certified Public Accountants
Private Companies Practice Section
Certified Public Accountants&Consultants Tax Division
Page 65 of 70
INDEPENDENT AUDITOR'S REPORT ON INTERNAL
CONTROL OVER FINANCIAL REPORTING AND ON COMPLIANCE
AND OTHER MATTERS BASED ON AN AUDIT OF BASIC
FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE
WITH GOVERNMENT AUDITING STANDARDS
Board of Commissioners
Immokalee Fire Control District
5368 Useppa Dr.
Ave Maria,Florida 34142
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 of America,the basic financial
statements of the governmental activities and each major fund of Immokalee Fire Control District
(the "District") as of and for the year ended September 30, 2023, and the related notes to the
financial statements which collectively comprise the District's basic financial statements as listed in
the table of contents and have issued our report thereon dated February 1, 2024.
Internal Control Over Financial Reporting
In planning and performing our audit of the financial statements,we considered the District's
internal control over financial reporting (internal control) as a basis for designing 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 of the District's
internal control. Accordingly,we do not express an opinion on the effectiveness of the District's
internal control.
A deficiency in internal 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.
INTEGRITY ......... SERVICE ......... EXPERIENCE
12621 World Plaza Lane,Building 55 • Fort Myers, FL 33907 • Phone: (239) 333-2090• Fax: (239)333-2097
16181
Page 66 of 70
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 Immokalee Fire Control
District's basic financial statements will not be prevented or detected and corrected on a timely
basis. A significant deficiency is a deficiency, or a combination of deficiencies, in internal control
that is less severe than a material weakness,yet important enough to merit attention by those
charged with governance.
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. Given these limitations during our audit,we did
not identify any deficiencies in internal control that we consider to be material weaknesses as
defined previously. However, material weaknesses may exist that were not identified.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether Immokalee Fire Control District's basic
financial statements are free from material misstatement, we performed tests of its compliance with
certain provisions of laws, regulations, contracts and grant agreements, noncompliance with which
could have a direct and material effect on the basic financial statements. 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.
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
District's internal control or on compliance. This report is an integral part of an audit performed in
accordance with Government Auditing Standards in considering the District's internal control and
compliance. Accordingly,this communication is not suitable for any other purpose.
7 ,1144,641) 4411/)12,440
TUSCAN& COMPANY, P.A.
Fort Myers,Florida
February 1, 2024
161E31
Affiliations
Tu S CAN Florida Institute of Certified Public Accountants
QCompany, �A American Institute of Certified Public Accountants
& Private Companies Practice Section
Certified Public Accountants&Consultants Tax Division
Page 67 of 70
INDEPENDENT ACCOUNTANTS REPORT ON COMPLIANCE
WITH SECTION 218.415,FLORIDA STATUTES
Board of Commissioners
Immokalee Fire Control District
5368 Useppa Dr.
Ave Maria, Florida 34142
We have examined Immokalee Fire Control District's compliance with Section 218.415, Florida
Statutes,regarding the investment of public funds during the year ended September 30, 2023.
Management is responsible for Immokalee Fire Control District's compliance with those
requirements. Our responsibility is to express an opinion on Immokalee Fire Control District's
compliance based on our examination.
Our examination was conducted in accordance with attestation standards established by the
American Institute of Certified Public Accountants and, accordingly, included examining, on a test
basis, evidence about Immokalee Fire Control District's compliance with those requirements and
performing such other procedures as we considered necessary in the circumstances. We believe
that our examination provides a reasonable basis for our opinion. Our examination does not
provide a legal determination on Immokalee Fire Control District's compliance with specified
requirements.
In our opinion, Immokalee Fire Control District complied, in all material respects, with the
aforementioned requirements for the year ended September 30,2023.
This report is intended solely for the information and use of Immokalee Fire Control District and
the Auditor General, State of Florida, and is not intended to be and should not be used by anyone
other than these specified parties.
\-444,044) k, 4,,,,„1/0„/
TUSCAN&COMPANY, P.A.
Fort Myers, Florida
February 1, 2024
INTEGRITY SERVICE EXPERIENCE
12621 World Plaza Lane, Building 55 •Fort Myers,FL 33907 •Phone: (239)333-2090 •Fax: (239)333-2097
161 Bi
T - s cA Affiliations
Florida Institute of Certified Public Accountants
& Company, �A American Institute of Certified Public Accountants
Private Companies Practice Section
Certified Public Accountants&Consultants Tax Division
Page 68 of 70
INDEPENDENT AUDITOR'S REPORT TO MANAGEMENT
Board of Commissioners
Immokalee Fire Control District
5368 Useppa Dr.
Ave Maria, Florida 34142
We have audited the accompanying basic financial statements of Immokalee Fire Control District
(the "District") as of and for the year ended September 30, 2023, and have issued our report
thereon dated February 1, 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 Government Auditing
Standards, issued by the Comptroller General of the United States of America and Chapter
10.550,Rules of the Florida Auditor General. We have issued our Independent Auditor's
Report on Internal Control over Financial Reporting and Compliance and Other Matters based on
an audit of the financial statements performed in accordance with Government Auditing Standards
and Chapter 10.550, Rules of the Auditor General. Disclosures in those reports,which are dated
February 1, 2024, should be considered in conjunction with this report to management.
Additionally, our audit was conducted in accordance with Chapter 10.550, Rules of the Auditor
General,which governs the conduct of local governmental entity audits performed in the State of
Florida. This letter includes the following information,which is not included in the aforementioned
auditor's reports:
• Section 10.554(1)(i)1., Rules of 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. There were no
financially significant prior year comments.
• Section 10.554(1)(i)2., Rules of the Auditor General,requires that we address in the
management letter any recommendations to improve financial management. Such
recommendations were noted to improve financial management.
INTEGRITY ,..,..,,, SERVICE EXPERIENCE
12621 World Plaza Lane,Building 55 •Fort Myers,FL 33907 • Phone: (239)333-2090 •Fax: (239)333-2097
16181
Page 69 of 70
• Section 10.554(1)(i)3., Rules of the Auditor General, requires that we address
noncompliance with provisions of contracts or grant agreements, or abuse, that have an
effect on the financial statements that is less than material but more than inconsequential.
In connection with our audit, we did not have any such findings.
• Section 10.554(1)(i)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 District discloses this information in the notes to the
financial statements.
• Section 10.554(1)(i)5.a., Rules of the Auditor General, requires a statement be
included as to whether or not the local government entity has met one or more of the
conditions described in Section 218.503(1), Florida Statutes, and identification of the
specific condition(s)met. In connection with our audit, we determined that the District
did not meet any of the conditions described in Section 218.503(1), Florida Statutes.
• Pursuant to Sections 10.554(1)(i)5.b. and 10.556(7), Rules of the Auditor General,we
have applied financial condition assessment procedures. It is management's
responsibility to monitor the District's financial condition, and our financial condition
assessment was based in part on representations made by management and the review
of financial information provided by same. In connection with our audit,we determined
that the District did not meet any of the criteria of a deteriorating financial condition
described in Auditor General Rule Section 10.554(1)(i)(5).a.
• Pursuant to Section 10.554(1)(i)5b.2, Rules of the Auditor General, if a deteriorating
financial condition(s) is noted then a statement is so required along with the conditions
causing the auditor to make such a conclusion. No such conditions were noted.
• Pursuant to Section 10.554(1)(i)5.c., Rules of the Auditor General, requires a
statement indicating a failure, if any, of a component unit Special District to provide
financial information necessary to a proper reporting of the component unit within the
audited financial statements of this District(F.S. Section 218.39(3)(b)). There are no
known component special districts required to report within these financial statements.
• Pursuant to Section 10.554(1)(i)6, Rules of the Auditor General, requires disclosure of
certain unaudited data. See Exhibit 2.
• Pursuant to Section 10.554(1)(i)7, Rules of the Auditor General, requires an independent
special district that imposes ad valorem taxes to disclose certain related unaudited data.
See Exhibit 2.
16181
Page 70 of 70
• Section 10.554(1)8,Rules of the Auditor General, requires an independent special district
that imposes a non-ad valorem special assessment to disclose certain unaudited data. See
Exhibit 2.
• Section 10.556(10)(a), Rules of the Auditor General, requires that the scope of our
audit to determine the Districts compliance with the provisions of Section 218.415,
Florida Statutes,regarding the investment of public funds. In connection with our audit,
we determined that the District complied with Section 218.415, Florida Statutes as
reported in our Independent Accountant's Report on Compliance with Section
218.415, Florida Statutes dated February 1, 2024, included herein.
PRIOR YEAR COMMENTS:
There were no financially significant prior year comments.
CURRENT YEAR COMMENTS:
There were no financially significant current year comments noted.
Pursuant to Chapter 119, Florida Statutes, this management letter is a public record and its
distribution is not limited. Auditing standards generally accepted in the United States of America
require us to indicate that this letter is intended solely for the information and use of the Board of
Commissioners,management,the Auditor General of the State of Florida and other federal and
state agencies. This report is not intended to be and should not be used by anyone other than
these specified parties.
71
TUSCAN & COMPANY, P.A.
Fort Myers, Florida
February 1,2024
161B1
EXHIBIT 1
\MMOK4(FF 16 r s I
F � E Immokaiee Fire Control District
E ' ' 5368 Useppa Drive, Ave Maria, FL. 34142
Ave Maria Michael J. Choate, Fire Chief
February 26, 2024
Auditor General's Office
Local Government Audits/342
Claude Pepper Building, Room 401
111 West Madison Street
Tallahassee, FL 32399-1450
In connection with the audit for the fiscal year ended 9-30-23, we are pleased to report
there are no current or prior year comments.
The District continues to refine and enhance financial reporting and compliance
functions, and internal controls, policies and procedures. The Board of Fire
Commissioners and management staff are committed to avoiding future possible
comments and we maintain our assurance that future audits will reflect the actions we
have taken.
Sincerely,
IMMOKALEE FIRE CONTROL DISTRICT
Headquarters(239)657-2111 Fire Prevention(239)597-9227
Fax(239)657-9489
16 Bi
EXHIBIT 2