HomeMy WebLinkAboutFY2022 Annual Financial Report
Annual Comprehensive
Financial Report
City of Iowa City, Iowa
For the fiscal year ended June 30, 2022
Prepared by:
Finance Department
City of Iowa City, Iowa
Introductory
Section
Tab
City of Iowa City, Iowa
Table of Contents
June 30, 2022
Page
Introductory Section
Table of contents ................................................................................................................................ 1
Letter of transmittal ............................................................................................................................ 3
Certificate of Achievement for Excellence in Financial Reporting ................................................... 12
City organizational chart .................................................................................................................... 13
City officials....................................................................................................................................... 14
Financial Section
Independent Auditor’s Report ............................................................................................................ 15
Management’s Discussion and Analysis ............................................................................................ 19
Basic Financial Statements
Government-wide financial statements
Statement of net position ............................................................................................................. 30
Statement of activities .................................................................................................................. 33
Fund financial statements
Balance sheet – governmental funds ............................................................................................ 34
Reconciliation of the balance sheet of the governmental funds to the statement of net position 35
Statement of revenues, expenditures, and changes in fund balances – governmental funds ....... 36
Reconciliation of the statement of revenues, expenditures, and changes in fund balances of
governmental funds to the statement of activities ..................................................................... 37
Statement of net position – proprietary funds .............................................................................. 38
Statement of revenues, expenses, and changes in fund net position – proprietary funds ............ 39
Statement of cash flows – proprietary funds ................................................................................ 40
Statement of fiduciary net position – custodial fund ................................................................... 41
Statement of changes in fiduciary net position – custodial fund ................................................. 42
Notes to financial statements .......................................................................................................... 43
Required Supplementary Information
Budgetary comparison schedule – budget and actual – all governmental funds and enterprise
funds – budgetary basis………………………………………………………………………… 80
Budgetary comparison schedule – budget to GAAP reconciliation …………………………….. 82
Note to required supplementary information – budgetary reporting…………………………….. 83
Schedule of the City’s proportionate share of MFPRSI net pension liability…………………… 84
Schedule of City’s MFPRSI contributions………………………………………………………. 86
Notes to required supplementary information – MFPRSI pension liability……………………... 88
Schedule of the City’s proportionate share of IPERS net pension liability…………………… .. 90
Schedule of City’s IPERS contributions……………………………………………………….... 92
Notes to required supplementary information – IPERS pension liability……………………….. 94
Required supplementary information – schedule of changes in the City’s total OPEB liability,
related ratios and notes…………………….……………………………………..…….……… 95
Combining Fund Statements
Combining balance sheet – nonmajor governmental funds ............................................................ 98
Combining statement of revenues, expenditures, and changes in fund balances – nonmajor
governmental funds ...................................................................................................................... 99
Combining statement of net position – nonmajor enterprise funds ................................................ 102
Combining statement of revenues, expenses, and changes in fund net position – nonmajor
enterprise funds ............................................................................................................................ 103
Combining statement of cash flows – nonmajor enterprise funds .................................................. 104
Combining statement of net position – internal service funds ........................................................ 106
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City of Iowa City, Iowa
Table of Contents
June 30, 2022
Page
Combining Fund Statements (continued)
Combining statement of revenues, expenses, and changes in fund net position – internal
service fund ............................................................................................................................ 107
Combining statement of cash flows – internal service funds .................................................... 108
Statistical Section (Unaudited)
Net position by component ........................................................................................................... 111
Changes in net position ................................................................................................................ 112
Fund balances – governmental funds ........................................................................................... 114
Changes in fund balances – governmental funds ......................................................................... 115
General government tax revenues by source ................................................................................ 116
Assessed and taxable value of property ........................................................................................ 117
Property tax rates – direct and overlapping governments ............................................................ 118
Levies and collections .................................................................................................................. 119
Principal taxpayers ....................................................................................................................... 120
Larger water system customers .................................................................................................... 122
Sales history and water system charges ........................................................................................ 123
Larger sewer system customers .................................................................................................... 124
Sales history and sewer system charges ....................................................................................... 125
Ratios of outstanding debt by type ............................................................................................... 126
Ratios of general obligation bonded debt to assessed value and net bonded debt per capita ....... 127
Computation of direct and overlapping debt ................................................................................ 128
Legal debt margin information ..................................................................................................... 129
Schedule of revenue bond coverage ............................................................................................. 130
Schedule of TIF revenue bond coverage ...................................................................................... 131
Demographic and economic statistics .......................................................................................... 132
Principal employers ...................................................................................................................... 133
Full-time equivalent city government employees by function ..................................................... 134
Operating indicators by function .................................................................................................. 135
Capital assets by function ............................................................................................................. 136
Compliance Section
Independent auditor’s report on internal control over financial reporting and on compliance and
other matters based on an audit of financial statements performed in accordance with Government
Auditing Standards ....................................................................................................................... 137
Independent auditor’s report on compliance for each major federal program and report on internal
control over compliance required by the Uniform Guidance ....................................................... 139
Schedule of expenditures of federal awards ................................................................................. 142
Notes to the schedule of expenditures of federal awards ............................................................. 145
Summary Schedule of Prior Audit Findings ................................................................................ 146
Schedule of findings and questioned costs ................................................................................... 147
Corrective action plan .................................................................................................................. 149
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December 8, 2022
To the Citizens, Honorable Mayor, Members
of the City Council and City Manager
City of Iowa City, Iowa
The Annual Comprehensive Financial Report (Annual Report) of the City of Iowa City, Iowa (the
City) for the fiscal year ended June 30, 2022 is submitted herewith in accordance with the
provisions of Chapter 11 of the Code of Iowa. The City’s Finance Department prepared this report.
Responsibility for both the accuracy of the data presented and the completeness and fairness of the
presentation, including all disclosures, rest with the City. I believe the information, as presented,
is accurate in all material respects and presented in a manner designed to fairly present the financial
position and results of operations of the City. All disclosures necessary to enable the reader to gain
an understanding of the City's financial affairs have been included.
Management assumes full responsibility for the completeness and reliability of all of the
information presented in this report, based upon a comprehensive framework of internal control
that it has established for this purpose. Because the cost of internal controls should not exceed
anticipated benefits, the objective is to provide reasonable, rather than absolute, assurance that the
financial statements will be free of any material misstatement.
Bohnsack & Frommelt, LLP, a firm of independent public accountants has issued an unmodified
(“clean”) opinion on the City’s financial statements for the year ended June 30, 2022. Their opinion
is included in the Financial Section of this report.
The City is required to undergo an annual single audit in conformity with the provisions of Title 2
U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles,
and Audit Requirements for Federal Awards (Uniform Guidance). Information to comply with the
Uniform Guidance and “Government Auditing Standards” is included in the Compliance Section of
this report.
GAAP requires that management provide a narrative introduction, overview, and analysis to
accompany the basic financial statements in the form of Management’s Discussion and Analysis
(MD&A). This letter of transmittal is designed to complement the MD&A and should be read in
conjunction with it. The City’s MD&A can be found immediately following the report of the
independent auditors.
Profile of the Government
The City of Iowa City was incorporated April 6, 1853. The City is governed by a seven member
Council; each member serves a four-year term. Elections are held every two years allowing for
continuation in office of at least three members at each biennial election. The Council members are
elected at large, with three members nominated from specific districts and the remaining four
members nominated at large. The Council elects the Mayor from its own members for a two-year
term.
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The City Council is the legislative body and makes all policy determinations for the City through the
enactment of ordinances and resolutions. It also adopts a budget to determine how the City will obtain
and spend its funds. The Council appoints members of boards, commissions and committees.
The City Manager is the chief administrative officer for the City and is appointed by the City Council.
The City Manager implements policy decisions of the City Council and enforces City ordinances. In
addition, the City Manager appoints and directly supervises the directors of the City’s operating
departments and supervises the administration of the City’s personnel system. The City Manager
supervises 562 full-time and 62 part-time permanent municipal employees and 313 temporary
employees, including a police force of 79 sworn personnel and a fire department of 64 firefighters.
The City Clerk is appointed by the City Council and reports to the Council. The City Clerk's Office
administers the City government's documentation, City licenses and permits, and provides
information from the Municipal Code and City Ordinances to the public and other City
departments. The City Clerk’s Office is also responsible for distributing and maintaining accurate
records of all City Council proceedings. The Clerk supervises 3 full-time employees.
The City Attorney is also appointed by the City Council and works at the direction of the City
Council. The City Attorney supervises the City Attorney's Office, including 4 Assistant City
Attorneys and 2 other full-time employees. In addition, the City Attorney acts as Chief Legal
Counsel to the City Council, City Manager, the various City departments and staff, and most City
commissions, committees and boards.
The City provides a full range of services including police and fire protection, construction and
maintenance of roads, streets and infrastructure, inspection and licensing functions, a municipal
airport, library, recreational activities, and cultural events. The City owns and operates its water
supply and distribution system and sewage collection and treatment system with secondary treatment
also provided. Virtually the entire City has separate storm and sanitary sewer systems. The City
operates a municipal off-street and on-street parking system in the downtown area. The City also
operates a transit system.
The annual budget serves as the foundation for the City’s financial planning and control. All
departments of the City are required to submit requests for appropriation to the City Manager in
October. The City Manager uses these requests as the starting point for developing a proposed budget.
The City Manager then presents this proposed budget to the Council for review in December. The
Council is required to hold a public hearing on the proposed budget and to adopt a final budget no
later than March 31st. The appropriated budget is prepared by fund, function (e.g., Public Safety),
and department (e.g., Police).
The City adopts a three-year financial plan that includes both operations and capital improvements.
This three-year plan permits a more comprehensive review of the City’s financial condition, allowing
analysis of the current and future needs and requirements. During preparation of the plan, careful
review is made of property tax levy rates, utility and user fee requirements, ending cash balances by
fund, debt service obligations, bond financing needs, capital outlay for equipment purchases and
major capital improvement projects. The state requires at least a one-year operating budget. While
legal spending control is exercised at a state mandated function level, management control is set at
the Department Manager level. Encumbrance accounting is utilized in all funds for budgetary control.
Appropriations that are not spent lapse at the end of the year.
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Information Useful in Assessing the Government’s Economic Condition
The City's economic strength is based on the educational sector, medical services, and diversified
manufacturing. The University of Iowa and the University of Iowa Hospital and Clinics are the
City’s largest employers with over 31,000 employees. The University of Iowa had an enrollment
in fall 2022 of 31,656 students, which is a increase of 450 students from 31,206 students in the fall
of 2021. The academic and research missions of the University, along with the health care services
provided at its hospitals and clinics, have an extremely positive economic impact on the area.
The City also has a significant number of national and international businesses, including Fortune
500 companies: ACT Inc., NCS Pearson, and Procter & Gamble. In February 2018, Procter &
Gamble announced that in approximately two years they would be shifting their beauty care products
production from Iowa City to their West Virginia plant. The announced plan was to eventually reduce
the workforce from approximately 600 down to 100 employees. This would also impact nearby
businesses that produce bottles and labels for this production plant in Iowa City. In May 2020, Procter
& Gamble announced that they were going to maintain more employees in Iowa City by maintaining
its oral rinse production here and by shifting newer product lines here. In addition, Procter & Gamble
has added and is expanding an electric toothbrush plant in Iowa City which is expected to employ
several hundred employees; it currently has added approximately 100 employees. The estimated
investment in this new facility has been nearly $100 million. Overall, the continued economic
development efforts with the Iowa City and Coralville Chambers of Commerce, private interests, the
University of Iowa, other surrounding communities, and the Iowa City Area Development Group,
have produced positive results with the retention and expansion of businesses.
In addition, Iowa’s Creative Corridor is a seven-county alliance surrounding Iowa City and has been
identified as one of the major growth areas for new business development in the State of Iowa. This
Corridor gives employers workforce access to a region uniquely Iowan, founded with a
manufacturing heritage, but actively seeking new frontiers and opportunities in information
technology, biotechnology and bioprocessing, renewable energy, insurance and financial services,
advanced manufacturing, and educational services. Continued developments within Iowa City and
the region have a favorable impact upon the City's economy and growth.
According to the 2020 census, the population of Iowa City is 74,828. This is an increase of 6,966
or 10.3% as compared to the 2010 census of 67,862.
As a whole, the City's economy continues to grow, established firms continue to prosper and
expand, and there are opportunities for growth for new businesses; however, the COVID-19
pandemic has had a substantial short-term impact on the City’s economy. On March 13, 2020, the
President of the United States declared a national emergency in response to the COVID-19
pandemic, and the State of Iowa declared a public health disaster emergency on March 17, 2020.
Much of the City of Iowa City, the State of Iowa, and the United States shut down at that time.
Due to the impact of the pandemic, the historically low unemployment rate for the City took a
dramatic jump up and was at 6.9% for June 2020. This still compared favorably against the State
of Iowa at 7.1% and the National rate of 11.1%. Comparably, in June 2019, Iowa City’s
unemployment rate was 2.2%, the State of Iowa’s was 2.8%, and the National rate was 3.7%. Iowa
City’s economy has continued to improve and as of June 2022, Iowa City’s unemployment rate had
fallen to 2.3% while the State of Iowa was at 2.6%, and the National rate was 3.6%.
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The rate of new housing construction also decreased substantially due to the COVID-19 pandemic
in 2020 and the City has seen an increase in 2021 based on the number of building permits issued.
New housing building permits consisted of 136 new single-family houses and duplexes in 2021 as
compared to 101 in 2020; multi-family dwelling units added during fiscal year 2021 was 155,
compared to 49 in 2020; and mixed commercial/residential developments added 40 dwelling units
in 2021 versus 0 residential units in 2020. Altogether new housing additions totaled 331 units
valued at $82,570,307 in 2021 versus a total of 150 units valued at $42,363,387 in 2020. The City
did see an increase in 2021 but the amounts were still less than pre COVID-19 totals of 556 units
valued at $124,362,697 in 2019.
Also reflecting the impact of the COVID-19 pandemic, the City had a decrease in commercial
construction permits between 2019 and 2020. The value of permits for commercial and utility
construction decreased from $8,841,863 in 2020 to $8,316,484 in 2021. The value of remodeling
permits for residential and commercial properties increased slightly from $34,150,596 in 2020 to
$37,374,362 in 2021. Total permits issued in 2020 for all purposes was 550 permits for $87,302,173
which was less than the 2021 total permit issuance of 580 permits for $135,490,596.
The COVID-19 pandemic has had a significant short-term economic impact on the City of Iowa
City; however, the City’s unemployment rate has dropped steadily since its peak in April 2020 as
the City’s economy has started to open back up. The stability of the University of Iowa coupled
with historically steady employment by the City’s multi-sector base of manufacturing and service
industries helps to insulate the City from significant negative impacts of economic recessions. The
City’s property valuations continue to rise which is indicative of the City's relative economic
stability. The City is well positioned to recover from the negative economic effects of the COVID-
19 pandemic.
Major Initiatives
The City of Iowa City, with the assistance of Kirkwood Community College, completed the City’s
Strategic Plan. The strategic planning process involved multiple steps, including gathering input from
the general public, front-line City staff, department directors, and the City Council. The Strategic
Plan establishes the following organizational priorities, programs, policies, and initiatives:
1. Promote a Strong and Resilient Local Economy
• Through collaboration with local partners, increase opportunities for marginalized
and low-income populations to obtain access to skills training, good jobs and
affordable childcare
• Encourage healthy, diverse, and sustainable economic activity throughout Iowa City,
including taking steps to invigorate neighborhood commercial districts and create
new small neighborhood commercial nodes
• Effectively support growth and promotion of small locally-owned businesses, women
and minority-owned businesses, and the local foods economy
2. Enhance Community Mobility for All Residents
• Continue implementation of the City’s Bicycle Master Plan and pursue Gold Bicycle
Friendly Community status from the League of American Bicyclists
• Complete the Iowa City Area Transit Study, pursue recommended changes, and
evaluate implementation outcomes, to ensure community needs are met by system
changes
• Ensure ease and safety of travel for residents and visitors through expansion of
accessibility measures, improved connectivity, and use of adopted complete streets
design standards
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3. Foster Healthy Neighborhoods throughout the City
• Identify new efforts to expand and adapt the City’s affordable housing and
neighborhood improvement strategies to meet long-term needs throughout the
community
• Consider and adopt the South District form-based code and ensure it can be adapted to
other parts of Iowa City
• Continue implementation of the Parks Master Plan and complete an accompanying
Recreational Facilities Master Plan
• Monitor and report biannually on building and rental permit trends in the former rental
cap neighborhoods
• Support neighborhood activities and improvements that create vibrant, creative spaces
and inspire a sense of place and community
4. Invest in Public Infrastructure, Facilities and Fiscal Reserves
• Carefully prepare for significant financial challenges projected during the final years
of State property tax reform mandates through fiscal year 2024
• Strive to continue to reduce the City’s overall property tax rate
• Evaluate Local Option Sales Tax and other alternative revenues that may be needed to
achieve Iowa City’s strategic objectives and reduce reliance on debt and property taxes
• Develop a long-term plan to improve the pavement condition of City streets
• Initiate physical and financial planning efforts to modernize and expand critical public
facilities
• Consider establishing a cost of development framework that can help guide decisions
on how best to accommodate future growth
5. Strengthen Community Engagement and Intergovernmental Relations
• Initiate a redesign of the City’s website
• Pursue creative engagement techniques with a focus on reaching diverse populations
and neighborhoods
• Work collaboratively with other local governments and strengthen ties with our state
and federal elected delegation
6. Demonstrate Leadership in Climate Action
• Adopt and begin implementation of the Accelerating Iowa City’s Climate Actions
Report
• Track and effectively communicate progress toward reaching the Intergovernmental
Panel on Climate Change’s (IPCC) carbon emission reduction targets adopted locally
by the City Council in 2019
7. Advance Social Justice, Racial Equity, and Human Rights
• Ensure City progress towards increasing diversity of staff in a manner that is reflective
of community demographics
• Complete the phased effort to raise the minimum wage for temporary employees to
$15.00 per hour by July 1, 2021
• Continue emphasis on human rights-based training for city employees, boards and
commissions, and the community
• Establish priorities and ensure resources for increased access and translation of critical
city messages
• Continue partnerships with community organizations through the City’s Social Justice
and Racial Equity grant program
• Develop a coordinated effort across City departments to expand social and recreational
programming for special populations
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The City Council has also promoted private investment and re-development of other targeted areas
throughout the community. The areas that are currently being focused on include the Riverfront
Crossings area, the Downtown District, the Riverside Drive commercial area, and the Foster Road
Urban Renewal Area.
The Riverfront Crossing area is an initiative to revitalize the area south of Iowa City’s downtown
district. This area was hard hit by flooding in 2008 and ideas for improving the district were
initiated as part of a combined flood mitigation plan. The district features a riverfront park with
walking and biking trails, a variety of housing options near shopping, restaurants, a state-of-the-art
recital hall and recreational facilities and is a short walk to downtown Iowa City and the University
of Iowa campus. This area has seen significant development over the past few years.
The Riverfront Crossings area is anchored by a 76.8 acre park that was formerly comprised of
public facilities including the City’s north wastewater treatment plant. An $8.5 million hazard
mitigation grant from the State of Iowa assisted the City in removing the public facilities in this
area and then converting the area into a riverfront park and wetland. Construction of phases 1
through 3 of the park began in 2017 and were completed during the fall of 2019; phase 4 of the
park started in 2019 and was completed in the fall of 2020. On the north side of the Riverfront
Crossing area, the University of Iowa recently constructed the Voxman School of Music. On the
opposite side of the street, the redevelopment of an empty lot was completed in the spring of 2019
which includes a 7-story, mixed-use building with 40 apartment units, retail space on the street
level, and office space on the second floor. An adjacent building houses a 7-story Element Hotel
by Marriott. The estimated cost of these developments is approximately $40 million. On the back
side of the School of Music, a new development has been approved for two new 15 story towers
with up to 820 total units and 1,575 beds. This area is approximately one city block in size, will
provide right-of-way to re-connect Capitol Street, and has an estimated investment of $200 million.
In the Downtown District, the City completed a streetscape plan for the Central Business District
which included lighting, landscaping, parking, utility improvements, artwork, and pedestrian
amenities. Reconstruction and enhancements for the Washington Street corridor were completed
in 2017 and reconstruction of Black Hawk mini-park and the downtown pedestrian mall were
completed last year. Other future downtown streetscape projects are scheduled in the five-year
capital improvement program. The downtown has also seen significant private development over
the past few years.
Private development in the downtown area includes a new project started in 2021 which includes
the historical renovation of several commercial buildings along the pedestrian mall and the
construction of an 11-story, 120,000 square foot multi-residential with 102 residential units. The
total project is estimated to cost $54.4 million. Other buildings in the downtown that have
undergone major re-development recently include the Wilson Building and public space which has
been developed into a 15-story mixed-use development known as the Chauncey; this building has
8 floors of residential units, a 35-unit hotel, two floors of commercial space, a movie theatre and a
bowling alley. The project was estimated to cost $49 million. Also completed was the
redevelopment of the City Hall parking lot and neighboring church into 126 residential units,
parking, and commercial space. The project was estimated to cost $33.4 million. Both of these
projects are mostly complete with the exception of some of the commercial spaces which are still
being remodeled. Also new in 2020, was the addition of a 13,000+ square foot Target in a large
downtown store front that had been vacant for years. This store represents a trend away from big
box stores on the edges of town and a focus on University related downtown foot traffic.
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The Riverside Drive commercial area is an area that stretches from the University of Iowa campus
to the intersection of Highways 1 and 6 and is across the river from the Riverfront Crossings
development area. The development of a 4-story, $16.1 million multi-family/student housing
development in the Riverside Drive area was completed in late 2016, and adjacent to this
development several new retail spaces including a gas station/marketplace and additional multi-
residential housing units were also constructed or renovated. The City is developing a streetscape
plan for this area which will include lighting, trails, landscaping, and other amenities and
improvements. Construction of the streetscape and intersection improvements began in 2018 and
were completed in 2020. Additional streetscape and trail improvements are planned for this area
in the future.
Development of the Foster Road Urban Renewal Area is underway which will convert a 53.29 acre
wooded area north of the Downtown area and near Interstate 80 into a new residential/multi-
residential development with a total estimated cost of approximately $33 million. A 53-unit, 55+
senior living facility was recently constructed, and an additional 52 townhomes are planned
adjacent to the facility. The project also extended the Foster Road arterial from Dubuque Street to
Prairie Du Chien Road, and the area will provide Low-Middle Income (LMI) funding through a tax
increment district that can be used by the City anywhere to assist with the development of
affordable housing.
Long-term Financial Planning
It is management’s intent to support the major City Council initiatives through budget
appropriations, departmental operations, and employee development so that the organization as a
whole is moving in the same direction.
A significant influence in the preparation of the three-year financial plan (FY2022 – FY2024) was
the passage of property tax reform (SF295) by the state legislature in 2013. The property tax reform
bill had multiple components including a property tax rollback for commercial and industrial
property, which reduced the taxable value of these property types. The bill established a State
funded “backfill” to reimburse the City for lost property tax revenues due to the commercial and
industrial rollback. The State “backfill” payments began in fiscal year 2015 but were capped at the
fiscal year 2017 levels for years thereafter. Beginning in fiscal year 2023, the State began phasing
out the “backfill” and it will be fully phased out in five years. The cumulative reduction in
commercial and industrial property tax revenues due to this rollback are estimated to be
$17,762,000 between fiscal year 2015 to fiscal year 2024, and the maximum reimbursement from
the State during that time period would be $14,639,000 for a net loss in revenues of $3,123,000.
For fiscal years 2015 through 2022, the City received actual State “backfill” payments for the
commercial and industrial rollback totaling $12,463,744.
This bill also limited the annual taxable valuation growth of residential and agricultural property to
3 percent, instead of the previous limit of 4 percent. The impact of this provision is that the taxable
percentage of residential property is expected grow at a slower pace. Without this change, the
estimated taxable percentage of residential property was estimated to be 60.85% in fiscal year 2024.
With this provision in place, the estimated taxable percentage in fiscal year 2024 is estimated to be
55.11%, a reduction of 5.74%. Based on the assessed value of residential property in Iowa City,
the cumulative loss is estimated to be $22,638,000 from fiscal year 2015 to fiscal year 2024. The
City will not receive any money from the State due to lost revenue from this provision.
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SF295 also established a multi-residential property classification that includes mobile home parks,
assisted living facilities, and property primarily intended for human habitation. A gradual rollback
will be applied to these properties to eventually tax them similarly to residential property, rather
than commercial, by fiscal year 2024. The estimated cumulative loss from fiscal year 2015 to fiscal
year 2024 is $17,178,027, which will not be reimbursed by the State of Iowa. Fiscal year 2017 was
the first year for this new class of property, and the estimated lost revenue from this provision in
from fiscal year 2017 to fiscal year 2022 was $11,077,464.
Due to the passage of SF295, the City estimates its net revenue losses to be $26,848,000 for fiscal
years 2015 through 2022. The cumulative net revenue loss from fiscal years 2015 through 2024 is
estimated to be $41,126,902. It is possible that this could affect the City’s ability to finance services
at current levels without finding other revenue sources or more efficient ways to deliver services.
The City’s long-term financial planning strategy is to promote targeted economic development,
diversify its revenue structure, control spending and create efficiencies, and to build adequate
reserves and contingencies into its financial structure. In addition, the City is annually reviewing
and adjusting its user fees, service charges, and fine structures to try to maintain all of its major
enterprise funds with a positive net income after depreciation but before capital contributions,
transfers, and extraordinary items. The City also continues to strive to reduce the City’s property
tax levy rate to be competitive for economic development purposes. In fiscal year 2013, the City’s
property tax levy rate was $17.269 per $1,000 of assessed value. The property tax levy rate has
been reduced for nine consecutive years to $15.633 in fiscal year 2023. This has been a reduction
of $1.636 per $1,000 of assessed value or 9.47% over that time period.
In looking at expenses for the FY2022 – FY2024 Financial Plan and FY2023 operating budget, the
City will generally experience increased expenditures; however, at a modest pace, with General
Fund expenditures and total operating expenditures growing at approximately 3% or less from
FY2022 to FY2023. Bargaining unit cost-of-living wage increases are approximately 2% to 4%
each year. In prior years, the budgeted full-time equivalents (FTE) has generally remained flat -
from 607.66 in FY2015 to 608.18 in FY2020, but in FY2021, the permanent FTE count increases
to 624.08 primarily due to the conversion of temporary workers to permanent part-time or
permanent full-time positions. In FY2022 & FY2023, three additional positions were added each
year bringing the City’s total FTE to 630.90. In addition, public safety pension contribution rates
increased slightly in FY2022 from 25.31% to 26.18%. The City has averaged a 4.95% increase in
its health insurance premium rates over the previous eight years; however, is expecting an upward
trend for health insurance rates in FY2022 and FY2023. Employee contributions, deductibles, and
out-of-pocket maximums for health insurance are all expected to increase in FY2023, and employee
contributions for health insurance are expected to increase in FY2023, which should help mitigate
the impact to the City’s overall premium increase. In FY2024 we are expecting to see larger
increases as all expenditures are seeing increases due to inflation.
In balancing the budget for the three-year period, the City attempts to mitigate the growth of costs
while continuing to provide high quality services by identifying ways to provide services more
efficiently, reviewing and updating existing revenue sources to meet strategic goals, strategically
funding new programming and economic development to ensure strong property value growth,
providing for necessary improvements to existing infrastructure, and upholding fiscal integrity by
maintaining adequate cash reserves.
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Awards and Acknowledgements
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a
Certificate of Achievement for Excellence in Financial Reporting (the Certificate) to the City of Iowa
City, Iowa for its Annual Comprehensive Financial Report for the fiscal year ended June 30, 2021.
The Certificate is the highest form of recognition for excellence in state and local financial reporting.
In order to be awarded the Certificate, a governmental unit must publish an easily readable and
efficiently organized Annual Comprehensive Financial Report, whose contents conform to program
standards. The Annual Comprehensive Financial Report must satisfy both accounting principles
generally accepted in the United States of America and applicable legal requirements.
The Certificate is valid for a period of one year only. The City has received the Certificate for the
last thirty-seven consecutive years. I believe our current report continues to conform to the Certificate
requirements and I will submit it to GFOA to determine its eligibility for another certificate.
In addition, the City received the GFOA’s Award for Distinguished Budget Presentation for its annual
appropriated budget beginning July 1, 2022. In order to qualify for the Distinguished Budget
Presentation Award, the City’s budget document was judged to be proficient or outstanding in several
categories including policy documentation, financial planning, and organization. This is the eleventh
consecutive year the City has received this award.
Responsibility and Acknowledgments
The Department of Finance prepared the Annual Comprehensive Financial Report of the City of
Iowa City, Iowa for the fiscal year ended June 30, 2022. The City Council, as required by law, is
responsible for the complete and accurate preparation of the City’s Annual Comprehensive
Financial Report. I believe that the information presented is accurate in all material respects and
that this report fairly presents the financial position and results of operations of the various funds
of the City.
The preparation of this report on a timely basis could not have been accomplished without the efficient
and dedicated services of the entire staff of the City's Finance Department. I would like to express
my appreciation to all members of the department who assisted and contributed to its preparation. I
want to especially recognize the contributions of the Assistant Finance Director, Jacklyn Fleagle,
Accounting Coordinator, Mark Messer, and Senior Accountants, TaraLynne Werthmann and Angie
Ogden.
Also, I thank the Mayor, members of the City Council and the City Manager for their interest and
support in planning and conducting the financial operations of the City in a dedicated, responsible,
and progressive manner.
Respectfully submitted,
Nicole Davies
Finance Director
11
Government Finance Officers Association
Certificate of
Achievement
for Excellence
in Financial
Reporting
Presented to
City of Iowa City
Iowa
For its Annual Comprehensive
Financial Report
For the Fiscal Year Ended
June 30, 2021
Executive Director/CEO
12
City of Iowa City
Organization Chart
CITY COUNCIL
CITY ATTORNEY
City Attorney
• City Attorney
CITY MANAGER
City Manager
• City Manager
• Communications Office
• Human Resources
• Human Rights
• Economic Development
• Climate Action & Outreach
AIRPORT
COMMISSION
Airport
• Airport Operations
LIBRARY
BOARD
Library
• Library Operations
• Library Development
Office
CITY CLERK
City Clerk
• City Clerk
Fire
• Administration• Emergency Operations• Fire Prevention• Training
Public Works
• Administration• Engineering• Streets• Wastewater• Water• Equipment • Resource Management
Transportation Services
• Administration• Parking• Public Transportation
Police
• Administration• Support Services• Field Operations
Finance
• Administration• Accounting• Purchasing• Revenue• Risk Management• Information Technology Services
Neighborhood &
Development Services
• Administration• Development Services• Neighborhood Services• Metropolitan Planning Organizationof Johnson County
Parks & Recreation
• Administration• Recreation• Park Maintenance• Cemetery• Government Buildings
Senior Center
• Senior Center Operations
ELECTED
APPOINTED
Departments & Divisions
COMMUNITY
13
City of Iowa City, Iowa
Listing of City Officials
June 30, 2022
Elected Officials
Term Expires
Mayor Bruce Teague January 2, 2026
Council Member and Mayor Pro Tem Megan Alter January 2, 2026
Council Member Pauline Taylor January 2, 2024
Council Member John Thomas January 2, 2024
Council Member Shawn Harmsen January 2, 2026
Council Member Laura Bergus January 2, 2024
Council Member Janice Weiner January 2, 2024
Appointed Officials
Date of Hire
City Manager Geoff Fruin November 28, 2011
City Clerk Kellie Fruehling July 10, 2000
City Attorney Eric Goers September 7, 2005
Department Directors
Deputy City Manager Redmond Jones II September 20, 2021
Assistant City Manager Rachel Kilburg June 8, 2020
Director of Neighborhood Development Services Tracy Hightshoe August 27, 2001
Library Director Elsworth Carman January 2, 2019
Director of Public Works Ron Knoche April 28, 1999
Director of Transportation Services Darian Nagle Gamm May 21, 2008
Senior Center Coordinator LaTasha DeLoach July 31, 2018
Fire Chief Scott Lyon April 4, 2022
Parks and Recreation Director Juli Seydell Johnson January 4, 2016
Director of Finance Nicole Davies August 4, 2014
Chief of Police Dustin Liston January 11, 2021
14
Financial
Section
Tabs
Management’s Discussion and Analysis
As management of the City of Iowa City, we present this narrative overview and analysis of the financial
activities of the City for the fiscal year ended June 30, 2022. This narrative is intended to be used in conjunction
with additional information that is included in the letter of transmittal, which can be found on pages 3 – 11 of
this report.
Financial Highlights
• The assets and deferred outflows of resources of the City of Iowa City exceeded its liabilities and deferred
inflows of resources at the close of the fiscal year ending June 30, 2022 by $738,063,000 (net position). Of
this amount, $131,875,000 (unrestricted net position) may be used to meet the government’s ongoing
obligations to its citizens and creditors.
• The City’s total net position increased by $35,582,000 during the fiscal year. Governmental activities
increased by $19,080,000 and business-type activities increased by $16,502,000.
• At the close of the current fiscal year, the City’s governmental funds reported combined ending fund
balances of $116,002,000, an increase of $11,659,000 in comparison with the prior year. Of this total
amount, approximately $39,657,000 or 34.2% is unassigned and available for spending at the City’s
discretion.
• At the end of the current fiscal year, the City’s unassigned fund balance for the General Fund was
$40,074,000 or 72.9% of total General Fund expenditures.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City’s basic financial statements. The
City’s basic financial statements are comprised of three components: 1) government-wide financial statements,
2) fund financial statements; and 3) notes to the financial statements. This report also contains other
supplementary information in addition to the basic financial statements themselves.
Government-wide Financial Statements: The government-wide financial statements are designed to provide
readers with a broad overview of the City’s finances in a manner similar to a private-sector business.
The statement of net position presents information on all of the City’s assets and deferred outflows of resources,
liabilities and deferred inflows of resources, with the difference reported as net position. Over time, increases
or decreases in net position may serve as a useful indicator of whether the financial position of the City is
improving or deteriorating.
The statement of activities presents information showing how the City’s net position changed during the most
recent fiscal year. All changes in net position are reported as soon as the underlying event giving rise to the
change occurs, regardless of the timing of related cash flows. Thus, revenues and expenses are reported in this
statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and
earned but unused vacation leave).
Both of the government-wide financial statements distinguish functions of the City that are principally
supported by taxes and intergovernmental revenues (governmental activities) from other functions that are
intended to recover all or a significant portion of their costs through user fees and charges (business-type
activities). The governmental activities of the City include Public Safety, Public Works (roads and traffic
controls), Culture and Recreation, Community and Economic Development, General Government, and Interest
on long-term debt. The business-type activities of the City include Airport, Housing Authority, Parking,
Sanitation, Stormwater Collection, Transit, Wastewater Treatment, and Water.
The government-wide financial statements may be found on pages 30 – 33 of this report.
19
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 City, like other state and local
governments, uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements. All of the funds of the City can be divided into three categories: governmental funds, proprietary
funds, and fiduciary funds.
Governmental Funds: Governmental funds are used to account for essentially the same function reported as
governmental activities in the government-wide financial statements. However, unlike the government-wide
financial statements, governmental fund financial statements focus on near-term inflows and outflows of
spendable resources, as well as on balances of spendable resources available at the end of the fiscal year. Such
information may be useful in evaluating a government’s near-term financing requirements and is typically the
basis that is used in developing the next annual budget.
Because the focus of governmental funds is narrower than that of the government-wide financial statements, it
is useful to compare the information presented for governmental funds with similar information presented for
governmental activities in the government-wide financial statements. Both the governmental fund balance sheet
and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a
reconciliation to facilitate this comparison.
The City has six major governmental funds: General Fund, Other Shared Revenue and Grants Fund, Employee
Benefits Fund, Other Construction Fund, Bridge, Street and Traffic Control Construction Fund, and Debt
Service Fund. Information is presented separately in the governmental funds balance sheet and in the
governmental funds statement of revenues, expenditures, and changes in fund balances for these major funds.
Data from all other non-major governmental funds is combined into a single aggregated presentation and are
referenced under a single column as “Other Governmental Funds”. Individual fund data on each of these non-
major governmental funds is provided in the form of combining statements elsewhere in this report.
The City adopts an annual appropriated budget for all governmental funds as required by state statute. Budget
comparisons have been provided for the Governmental funds and the Enterprise funds, to demonstrate
compliance with the adopted budget.
The basic governmental funds financial statements can be found on pages 34 – 37 of this report.
Proprietary Funds: The City maintains two different types of proprietary funds. Enterprise funds are used to
report the same functions presented as business-type activities in the government-wide financial statements.
The City uses enterprise funds to account for its Airport, Housing Authority, Parking, Sanitation, Stormwater
Collection, Transit, Wastewater Treatment, and Water activities. Internal Service funds are an accounting
device used to accumulate and allocate costs internally among the City’s various functions. The City has four
Internal Service Funds: Equipment Maintenance, Central Services, Loss Reserve, and Information Technology.
Because these services predominantly benefit governmental rather than business-type functions, they have been
included within governmental activities in the government-wide financial statements.
Proprietary funds financial statements provide the same type of information as the government-wide financial
statements, only in more detail. Transit, Wastewater Treatment, Water, Sanitation, Stormwater and Housing
Authority are considered to be major funds and are reported individually throughout the report. The other two
non-major enterprise funds are grouped together for reporting purposes and listed under a single heading “Other
Enterprise Funds”. Detailed information for each of the non-major funds is provided in the combining
statements on pages 102 – 104. Individual fund data for the Internal Service funds is provided in the form of
combining statements elsewhere in this report.
The basic proprietary fund financial statements can be found on pages 38 – 40 of this report.
Fiduciary Funds: Fiduciary funds are used to account for resources held for the benefit of parties outside the
government. Fiduciary funds are not available to support the City’s own programs and therefore are not
reflected in the government-wide financial statements. The City has one fiduciary fund: Project Green, which
is maintained as a custodial fund. 20
The basic fiduciary funds financial statements can be found on pages 41 - 42.
Notes to Financial Statements: The notes provide additional information that is essential to a full
understanding of the data provided in the government-wide and fund financial statements. The notes to the
financial statements can be found on pages 43 – 78 of this report.
Other Information: The combining statements referred to in the above paragraphs in connection with non-
major governmental funds and internal service funds are presented immediately following the notes.
Government-wide Financial Analysis
As noted earlier, net position may serve over time as a useful indicator of a government’s financial position. In
the case of the City, assets and deferred outflows of resources exceeded liabilities and deferred inflows of
resources by $738,063,000 at the close of the fiscal year ended June 30, 2022.
By far, the largest portion of the City’s net position reflect its investment in capital assets (e.g., land, building,
machinery and equipment, improvements other than buildings, and infrastructure), net any related debt to
acquire those assets that is still outstanding. The City uses these capital assets to provide services to its citizens;
consequently, these assets are not available for future spending. Although the City’s investment in its capital
assets is reported net of related debt, it should be noted that the resources needed to repay this debt must be
provided from other resources, since the capital assets themselves cannot be used to liquidate these liabilities.
City of Iowa City's Net Position
June 30, 2022
(amounts expressed in thousands)
Governmental Business-type
activities activities Total
2022 2021 2022 2021 2022 2021
Current and other assets 235,021$ 212,461$ 135,788$ 126,921$ 370,809$ 339,382$
Capital assets 276,832 278,615 333,503 328,262 610,335 606,877
Total assets 511,853 491,076 469,291 455,183 981,144 946,259
Deferred outflows of resources 8,322 14,461 1,907 2,684 10,229 17,145
Long-term liabilities outstanding 85,529 126,757 23,225 36,360 108,754 163,117
Current and other liabilities 31,725 22,513 6,272 6,025 37,997 28,538
Total liabilities 117,254 149,270 29,497 42,385 146,751 191,655
Deferred inflows of resources 96,231 68,657 10,328 611 106,559 69,268
Net position:
Net investment in capital assets 230,285 228,418 325,787 315,915 556,072 544,333
Restricted 36,900 33,664 13,216 14,859 50,116 48,523
Unrestricted 39,505 25,528 92,370 84,097 131,875 109,625
Total net position 306,690$ 287,610$ 431,373$ 414,871$ 738,063$ 702,481$
21
A portion of the City’s net position, $49,415,000 or 6.7%, represents resources that are subject to external
restrictions on how they may be used. The remaining balance of the unrestricted net position, $132,576,000 or
18.0%, may be used to meet the government’s ongoing obligations to its citizens and creditors. At the end of
the fiscal year ended June 30, 2022, the City is able to report positive balances in all three categories of net
position, both for the government as a whole, as well as for its separate governmental and business-type
activities.
The following is a more detailed review of FY22’s operation.
Governmental Activities: Governmental activities increased the City’s net position by $19,080,000. The
increase in net position of governmental activities is primarily from a decrease in pension expense due to a
decrease in the net pension liability.
The total revenues for governmental activities for FY22 were $108,572,000. Governmental activities are
primarily funded through taxes, $74,219,000 or 68.4%, and grants and contributions, $20,362,000 or 18.8%.
Taxes increased from the prior year by $2,161,000, mostly due to increased property taxes which was due to an
increase in the taxable value of all property. Grants and contributions increased from prior year by $3,451,000
due mainly to additional funding from the American Rescue Plan Act.
Expenses for governmental activities totaled $78,344,000. Governmental activities are tracked by function
including Public Safety, Public Works, Community and Economic Development, Culture and Recreation, and
General Government. In FY22, Public Safety accounted for the highest portion of governmental expenses,
$23,609,000 or 30.1%, and decreased over the prior year due to a decrease in pension expense due to a decrease
in the net pension liability. Public Works expenses of $17,746,000 or 22.7% made up another large portion of
the governmental expenses and had a slight increase in expenses from the prior year. Culture and Recreation
expenses of $16,923,000 or 21.6% made up the third highest portion of governmental expenses and had a slight
increase in expenses from the prior year.
Business-type Activities: Business-type activities increased the City’s total net position by $16,502,000. The
increase in net position was primarily from the Transit and Water funds. Water generated operating income of
$1,053,000 and received contributions of infrastructure of $3,771,000 from capital projects funds.
Revenues for business-type activities totaled $66,534,000. The primary revenue source for business-type
activities is charges for services, $42,694,000 or 64.2%. In addition for FY22, the City’s business type-activities
had a significant portion, $22,774,000 or 34.2%, of their revenues from grants and contributions used to help
fund operation and capital projects for business-type activities.
The total expenses for business-type activities in FY22 were $61,180,000. Wastewater Treatment represented
the highest portion of business-type activities, $12,105,000 or 19.8%, with Housing Authority, $11,832,000 or
19.3%, Sanitation, $10,113,000 or 16.5% Water, $9,477,000 or 15.5%, and Transit, $8,573,000 or 14.0%,
making up the remainder of the majority of business-type activities expenses.
22
The graphs on the following pages represent a breakdown of revenue by source and expenses by program area
for governmental and business-type activities.
City of Iowa City's Changes in Net Position
(amounts expressed in thousands)
Governmental Business-type
activities activities Total
2022 2021 2022 2021 2022 2021
Revenues:
Program Revenues:
Charges for services 10,754$ 8,500$ 42,694$ 41,549$ 53,448$ 50,049$
Operating grants and contributions 14,491 12,479 17,063 13,102 31,554 25,581
Capital grants and contributions 4,316 2,845 5,711 3,988 10,027 6,833
General Revenues:
Property taxes 70,678 69,482 - - 70,678 69,482
Other taxes 3,541 2,576 - - 3,541 2,576
Grants and contributions not restricted
to specific purposes 1,555 1,587 - - 1,555 1,587
Earnings (loss) on investments (544) 841 (190) 426 (734) 1,267
Gain on disposal of capital assets 257 213 23 22 280 235
Other 3,524 3,030 1,233 428 4,757 3,458
Total revenues 108,572 101,553 66,534 59,515 175,106 161,068
Expenses:
Public safety 23,609 30,411 - - 23,609 30,411
Public works 17,746 16,363 - - 17,746 16,363
Culture and recreation 16,923 15,774 - - 16,923 15,774
Community and economic development 11,074 8,549 - - 11,074 8,549
General government 7,439 10,529 - - 7,439 10,529
Interest on long-term debt 1,553 1,561 - - 1,553 1,561
Wastewater treatment - - 12,105 12,520 12,105 12,520
Water - - 9,477 10,177 9,477 10,177
Sanitation - - 10,113 10,045 10,113 10,045
Housing authority - - 11,832 10,141 11,832 10,141
Parking - - 5,381 4,613 5,381 4,613
Airport - - 1,509 1,835 1,509 1,835
Stormwater - - 2,190 2,105 2,190 2,105
Transit - - 8,573 8,107 8,573 8,107
Total expenses 78,344 83,187 61,180 59,543 139,524 142,730
Change in net position before transfers 30,228 18,366 5,354 (28) 35,582 18,338
Transfers (11,148) (6,157) 11,148 6,157 - -
Change in net position 19,080 12,209 16,502 6,129 35,582 18,338
Net position beginning of year 287,610 275,401 414,871 408,742 702,481 684,143
Net position end of year 306,690$ 287,610$ 431,373$ 414,871$ 738,063$ 702,481$
23
24
25
Financial Analysis of the Government’s Funds
As noted earlier, the City uses fund accounting to ensure and demonstrate compliance with finance-related legal
requirements.
Governmental Funds: The financial reporting focus of the City’s governmental funds is to provide information
on near-term inflows, outflows, and balances of spendable resources. Such information may be/is useful in
assessing the City’s financing requirements. In particular, unassigned fund balance may serve as a useful
measure of a government’s net resources available for spending at the end of the fiscal year.
Fund balances for the governmental funds are reported in classifications that comprise a hierarchy based on the
extent to which the government honors constraints on the specific purposes for which amounts in those funds
can be spent.
As of the fiscal year ended June 30, 2022, the City’s governmental funds reported combined ending fund
balances of $116,002,000, an increase of $11,659,000 in comparison with the prior year. Of this total amount,
$39,657,000 constitutes unassigned fund balance, which is available to use as working capital for the General
Fund since property tax revenues are received only twice a year and the remainder is available to meet the future
needs of the City. The remainder of the fund balance is not available for new spending because of constraints
imposed externally by creditors, grantors, contributors, or laws or regulations of other governments or
constraints imposed internally on the specific purposes for which these amounts can be spent. The restricted
fund balance of $59,361,000 or 51.2% contains external restraints on its use. The assigned fund balances of
$14,852,000 or 12.8% have been identified by the City to be used for specific purposes. The nonspendable fund
balance is $2,132,000 or 1.8%, which the City is contractually required to maintain intact or cannot be spent
because it is in a nonspendable format, such as inventories.
The General Fund is the chief operating fund of the City. As of the fiscal year ended June 30, 2022, the
unassigned fund balance of the General Fund was $40,074,000 while General Fund’s total fund balance was
$58,830,000. As a measure of the General Fund’s liquidity, it may be useful to compare both unassigned fund
balance and total fund balance to total fund expenditures. Unassigned fund balance represents 72.9% of total
General Fund expenditures of $54,958,000, while total fund balance represents 107.0% of that same amount.
During the current fiscal year, the fund balance of the City’s General Fund increased by $6,609,000. This is
due to transfers in from other funds.
The fund balance in the Bridge, Street, and Traffic Control Construction Fund was $19,094,000, an increase of
$803,000. This fund accounts for transactions relating to the acquisition or construction of major streets,
bridges, and traffic control facilities. The change in the fund balance is due to bond sales.
The fund balance in the Other Construction Fund was $9,757,000, an increase of $1,579,000. This fund
accounts for the construction or replacement of other governmental general capital assets, such as administrative
buildings, with various funding sources, including general obligation bonds, intergovernmental revenues, and
contributions. This increase is mainly due to bond sales.
The ending fund balance of the Debt Service Fund was $7,362,000, a decrease of $189,000, all of which is
reserved for the payment of debt service (i.e. payment of general obligation principal and interest).
The ending fund balance of the Employee Benefits Fund was $4,131,000, an increase of $500,000.
The ending fund balance of the Other Shared Revenue and Grants Fund was $12,396,000, an increase of
$3,084,000 due to $2,821,000 developer fee for affordable housing.
26
Proprietary Funds: The City’s proprietary funds provide the same type of information found in the
government-wide financial statements, but in more detail.
The ending net position of the enterprise funds was $408,393,000, an increase in net position of $14,738,000.
This was primarily due to capital contributions of federal and state grants to fund capital improvement projects
and transfers of business-type capital assets from governmental capital project funds. Of the enterprise funds’
net position, $325,787,000 is net investment in capital assets. Unrestricted net position totaled $69,390,000, an
increase of $6,509,000 compared to the previous year.
The Internal Service funds showed net position totaling $55,012,000 as of June 30, 2022, an increase of
$3,648,000 primarily due to operating income in the Equipment Maintenance and Loss Reserve Funds to build
up reserves for future expenses and capital outlay.
Budgetary Highlights
The City presents budgetary information as allowed by GASB Statement No. 41. Budgets are based on nine
functional areas as required by state statute, not by fund or fund type.
The City had two budget amendments during the fiscal year. These amendments increased budgeted revenues
by $26,525,000 or 15.8% to a total of $194,798,000 and the expenditure budget by $81,362,000 or 47.0% to a
total of $254,618,000. These increases were due primarily to capital projects in governmental and business-
type funds because of timing of completion of projects.
Capital Assets and Debt Administration
Capital Assets: The City’s investment in capital assets for its governmental and business-type activities as of
June 30, 2022 amounts to $610,335,000, net of accumulated depreciation. This investment in capital assets,
including land, buildings, improvements other than buildings, equipment, streets, bridges, trails, wastewater
and water systems, and other infrastructure represents the value of resources utilized to provide services to its
citizens. The City’s investment in capital assets for the fiscal year ended June 30, 2022 decreased by $1,784,000
for governmental activities compared to the prior year and increased by $5,242,000 for business-type activities
from the prior year.
The following table reflects the $610,335,000 investment in capital assets, net of accumulated depreciation.
City of Iowa City's Capital Assets
(net of depreciation)
(amounts expressed in thousands)
Governmental Business-type
Activities Activities Total
2022 2021 2022 2021 2022 2021
Land 32,876$ 32,821$ 30,317$ 30,317$ 63,193$ 63,138$
Buildings 35,382 37,030 58,688 61,615 94,070 98,645
Improvements other than
buildings 3,353 3,480 3,333 3,756 6,686 7,236
Machinery and equipment 33,933 34,675 17,435 14,784 51,368 49,459
Infrastructure 161,819 165,377 213,651 214,714 375,470 380,091
Construction in progress 9,469 5,233 10,079 3,075 19,548 8,308
Total 276,832$ 278,616$ 333,503$ 328,261$ 610,335$ 606,877$
27
Major capital asset events during the current fiscal year included the following:
• Three large construction projects were completed during FY 22. The first is the Melrose Court Sanitary
Sewer Replacement. This project includes replacement of the sanitary sewer, street pavement and
sidewalk along Melrose Court from Melrose Avenue to Brookland Park Drive. This project had
construction in progress balance at the beginning of the year of $830,000 and current year expenditures
of $948,000. The total cost of the project that was capitalized was $1,778,000. The project was funded
by cash on hand from the Wastewater Fund. Another project is the dehumidification of the Mercer
Recreation Center. This project consisted of HVAC and dehumidification upgrades to the Mercer
Aquatic Center and Scanlon Gymnasium. It had a construction in progress balance at the beginning of
the year of $127,000 and current year expenditures of $991,000. The total cost of the project that was
capitalized was $1,118,000 and it was primarily funded through bond sales. The third project, Lower
Muscatine Area Storm Sewer Improvements, installed new storm sewer and intake along several streets
near their intersection with Lower Muscatine Road and Sycamore Street. This project was capitalized
at $1,048,000 with current year expenses of $11,000 and a beginning construction in progress balance
of $1,037,000.
Additional information on the City’s capital assets can be found in Note 5 to the financial statements.
Debt Administration: At the end of the fiscal year, the City had total bonded debt outstanding of $73,240,000.
Of this amount, $53,935,000 comprises debt backed by the full faith and credit of the City. $1,718,000 or 3.2%
of the general obligation bonds is debt that will be paid with Tax Increment Financing revenues. $19,305,000
represents revenue bonds secured solely by specific revenue sources.
The City issued $10,255,000 of General Obligation bonds during FY22. This increase in debt was offset by
the retirement of debt for a net decrease of City’s total bonded debt by $5,315,000.
The City continues to have the same excellent bond rating on its General Obligation bonds that it has had
for the past several years. This rating is given to those bonds judged to be of the best quality and carrying
the smallest degree of investment risks. The City's bond ratings by Moody’s Investors Services, Inc. as of
June 30, 2022 were as follows:
General obligation bonds Aaa
Wastewater treatment revenue bonds Aa2
Water revenue bonds Aa2
The City continues to operate well under the State debt capacity debt limitations. State statute limits the
amount of debt outstanding to 5% of the assessed value of all taxable property in Iowa City. Debt subject to
the debt limit includes general obligation debt and revenue bonds issued pursuant to Iowa Code Chapter 403
(tax increment). The current debt limitation for the City is $350,967,000. With outstanding debt applicable
to this limit of $99,751,000 we are utilizing 28.4% of this limit.
More detailed information on debt administration is provided in Note 6 of the financial statements.
City of Iowa City's Outstanding Debt
General Obligation and Revenue Bonds
(a mounts expressed in thousands)
Governmental Business-type
Activities Activities Total
2022 2021 2022 2021 2022 2021
General obligation bonds 53,935$ 53,935$ -$ -$ 53,935$ 53,935$
Revenue bonds 11,840 12,805 7,465 11,815 19,305 24,620
Total 65,775$ 66,740$ 7,465$ 11,815$ 73,240$ 78,555$
28
Economic Factors and Next Year’s Budget and Rates
The City expects continued constraints by the State’s property tax formula. The State passed property tax
reform, which will negatively affect the City’s general operating funds. Without the potential for new
revenue sources, like those mentioned above, the City’s opportunities for new initiatives are limited. The
Council has established a budget where expenditures exceed revenues by $897 thousand in the General
Fund for FY23 that strives to maintain current service delivery levels. The tax levy rate per $1,000 of
assessed valuation for FY23 is provided below:
Requests for Information
This report is designed to provide a general overview of the City of Iowa City’s finances for all of those
with an interest in the government’s finances. Questions concerning any of the information provided in
this report, or requests for additional financial information should be addressed to City of Iowa City,
Finance Department, 410 East Washington Street, Iowa City, IA, 52240.
General Levy $ 8.100
Debt Service Levy 2.479
Employee Benefits Levy 3.344
Transit Levy 0.950
Liability Insurance Levy 0.290
Library Levy 0.270
Emergency Levy 0.200
Total City Levy $ 15.633
29
Governmental Business-type
Activities Activities Total
Assets
Equity in pooled cash and investments 147,916$ 66,713$ 214,629$
Receivables:
Property tax 66,659 - 66,659
Accounts and unbilled usage 904 3,650 4,554
Interest 60 46 106
Notes 4,793 326 5,119
Internal balances (25,980) 25,980 -
Lease receivable 98 2,430 2,528
Due from other governments 7,486 7,885 15,371
Inventories 935 789 1,724
Assets held for resale 1,820 - 1,820
Restricted assets:
Equity in pooled cash and investments 30,330 27,969 58,299
Capital assets:
Land and construction in progress 42,344 40,396 82,740
Other capital assets (net of accumulated depreciation)234,488 293,107 527,595
Total assets 511,853 469,291 981,144
Deferred Outflows of Resources
Pension related deferred outflows 6,941 1,352 8,293
OPEB related deferred outflows 1,381 555 1,936
Total deferred outflows of resources 8,322 1,907 10,229
Liabilities
Accounts payable 3,619 1,320 4,939
Contracts payable 4,131 1,503 5,634
Accrued liabilities 5,803 792 6,595
Interest payable 172 113 285
Deposits 1,136 2,395 3,531
Advances from grantors 16,830 - 16,830
Due to other governments 34 35 69
Unearned revenue - 114 114
Noncurrent liabilities:
Due within one year:
Employee vested benefits 1,461 491 1,952
Bonds payable 11,463 3,944 15,407
Due in more than one year:
Employee vested benefits 1,127 345 1,472
Net pension liability 8,291 188 8,479
Other post employment benefits liability 5,796 2,328 8,124
Notes payable 211 - 211
Bonds payable 57,180 3,702 60,882
Landfill closure/post-closure liability - 12,227 12,227
Total liabilities 117,254$ 29,497$ 146,751$
(continued)
(amounts expressed in thousands)
City of Iowa City, Iowa
Statement of Net Position
June 30, 2022
30
Governmental Business-type
Activities Activities Total
Deferred Inflows of Resources
Pension related deferred inflows 27,830$ 7,093$ 34,923$
OPEB related deferred inflows 1,828 735 2,563
Lease related deferred inflows 98 2,430 2,528
Deferred amount on refunding - 70 70
Succeeding year property taxes 66,475 - 66,475
Total deferred inflows of resources 96,231 10,328 106,559
Net Position
Net investment in capital assets 230,285 325,787 556,072
Restricted for or by:
Employee benefits 4,446 - 4,446
Capital projects:
Expendable 13,180 - 13,180
Nonexpendable 243 - 243
Debt service 7,190 - 7,190
Police 285 - 285
Other purposes
Expendable 8,473 - 8,473
Nonexpendable 69 - 69
Bond ordinance - 8,209 8,209
State statute - 3,309 3,309
Future improvements - 404 404
Grant agreement 3,014 1,294 4,308
Unrestricted 39,505 92,370 131,875
Total net position 306,690$ 431,373$ 738,063$
The notes to the financial statements are an integral part of this statement.
June 30, 2022
(amounts expressed in thousands)
City of Iowa City, Iowa
Statement of Net Position (continued)
31
3232
Operating Capital
Charges Grants and Grants and Governmental Business-type
Functions/Programs:Expenses for Services Contributions Contributions Activities Activities Total
Governmental activities:
Public safety 23,609$ 4,625$ 647$ -$ (18,337)$ -$ (18,337)$
Public works 17,746 149 10,243 4,315 (3,039) - (3,039)
Culture and recreation 16,923 627 393 1 (15,902) - (15,902)
Community and economic development 11,074 3,625 3,174 - (4,275) - (4,275)
General government 7,439 1,728 34 - (5,677) - (5,677)
Interest on long-term debt 1,553 - - - (1,553) - (1,553)
Total governmental activities 78,344 10,754 14,491 4,316 (48,783) - (48,783)
Business-type activities:
Wastewater treatment 12,105 12,121 77 964 - 1,057 1,057
Water 9,477 10,127 42 481 - 1,173 1,173
Sanitation 10,113 11,289 105 - - 1,281 1,281
Housing authority 11,832 282 11,481 - - (69) (69)
Parking 5,381 5,054 3 - - (324) (324)
Airport 1,509 372 259 154 - (724) (724)
Stormwater 2,190 1,704 - 696 - 210 210
Transit 8,573 1,745 5,096 3,416 - 1,684 1,684
Total business-type activities 61,180 42,694 17,063 5,711 - 4,288 4,288
Total 139,524$ 53,448$ 31,554$ 10,027$ (48,783) 4,288 (44,495)
General revenues:
Property taxes, levied for general purposes 70,678 - 70,678
Hotel/motel tax 1,708 - 1,708
Gas and electric tax 684 - 684
Utility franchise tax 1,149 - 1,149
Grants and contributions not restricted to specific purposes 1,555 - 1,555
Earnings (loss) on investments (544) (190) (734)
Gain on disposal of capital assets 257 23 280
Miscellaneous 3,524 1,233 4,757
Transfers (11,148) 11,148 -
Total general revenues and transfers 67,863 12,214 80,077
Changes in net position 19,080 16,502 35,582
Net position beginning of year 287,610 414,871 702,481
Net position end of year 306,690$ 431,373$ 738,063$
The notes to the financial statements are an integral part of this statement.
Program Revenues
Net (Expense) Revenue and
Changes in Net Position
City of Iowa City, Iowa
Statement of Activities
For the Year Ended June 30, 2022
(amounts expressed in thousands)
33
Bridge,
Other Street, and
Shared Traffic Other
Revenue and Employee Other Control Debt Governmental
General Grants Benefits Construction Construction Service Funds Total
Assets
Equity in pooled cash and investments 57,398$ 22,670$ 4,152$ 4,879$ 7,367$ 7,075$ 1,487$ 105,028$
Receivables:
Property tax 40,442 842 14,071 - - 10,760 544 66,659
Accounts and unbilled usage 508 5 - - 150 3 12 678
Interest 14 6 - 3 6 2 1 32
Notes 976 507 - - - 204 3,106 4,793
Due from other funds - - - - - - - -
Lease receivable 39 - - - - - - 39
Advances to other funds - - - - - 51 - 51
Due from other governments 2,764 1,380 339 105 2,794 - 78 7,460
Inventories - 243 - - - - - 243
Assets held for resale 1,820 - - - - - - 1,820
Restricted assets:
Equity in pooled cash and investments 2,928 5,306 - 9,115 12,981 - - 30,330
Total assets 106,889$ 30,959$ 18,562$ 14,102$ 23,298$ 18,095$ 5,228$ 217,133$
Liabilities, Deferred Inflows of Resources and Fund Balances
Liabilities
Accounts payable 2,217$ 609$ 54$ 55$ 14$ -$ 103$ 3,052$
Contracts payable - - - 965 3,166 - - 4,131
Accrued liabilities 2,187 141 3 - 3 - 30 2,364
Advances from other funds - 51 - 3,000 - - - 3,051
Due to other governments 34 - - - - - - 34
Liabilities payable from restricted assets:
Deposits 1,126 10 - - - - - 1,136
Advances from grantors 19 16,474 - 220 - - 117 16,830
Total liabilities 5,583 17,285 57 4,240 3,183 - 250 30,598
Deferred Inflows of Resources
Unavailable revenues:
Succeeding year property taxes 40,340 839 14,036 - - 10,733 527 66,475
Lease related deferred inflows 39 - - - - - - 39
Grants 328 439 - 12 1,021 - 19 1,819
Other 1,769 - 338 93 - - - 2,200
Total deferred inflows of resources 42,476 1,278 14,374 105 1,021 10,733 546 70,533
Fund Balances
Nonspendable 1,889 243 - - - - - 2,132
Restricted 2,015 12,153 4,131 9,757 19,094 7,362 4,849 59,361
Assigned 14,852 - - - - - - 14,852
Unassigned 40,074 - - - - - (417) 39,657
Total fund balances 58,830 12,396 4,131 9,757 19,094 7,362 4,432 116,002
Total liabilities, deferred inflows
of resources and fund balances 106,889$ 30,959$ 18,562$ 14,102$ 23,298$ 18,095$ 5,228$ 217,133$
The notes to the financial statements are an integral part of this statement.
Special Revenue Capital Projects
City of Iowa City, Iowa
Balance Sheet
Governmental Funds
June 30, 2022
(amounts expressed in thousands)
34
Total governmental fund balances 116,002$
Amounts reported for governmental activities in the statement
of net position are different because:
Internal service funds are used by management to charge the costs
of certain activities to individual funds. The assets and liabilities
of the internal service funds are included in governmental
activities in the statement of net position.55,012
Other long-term assets are not available to pay for current period
expenditures and therefore are unavailable in the funds:
Grants and other receivables - Earned but unavailable.4,019
Capital assets used in governmental activities are not current
financial resources and therefore are not reported in the funds. 260,204
Pension and OPEB related deferred outflows of resources and
deferred inflows of resources are not due and payable in the
current period and therefore are not reported in the funds.
Deferred outflows of resources 8,021$
Deferred inflows of resources (28,363) (20,342)
Net pension liabilities are not due and payable in the
current period and therefore are not reported in the funds.(8,259)
Accrued compensated absences are not due and payable in the
current period and therefore are not reported in the funds.(2,480)
Accrued post employment benefit liabilities are not due and
payable in the current period and therefore are not reported
in the funds.(5,460)
Bonds payable are not due and payable in the current period
and therefore are not reported in the funds.(68,643)
Notes payable are not due and payable in the current period
and therefore are not reported in the funds.(211)
Accrued interest on bonds (172)
Internal balance due to integration of internal service funds (22,980)
Total net position of governmental activities 306,690$
The notes to the financial statements are an integral part of this statement.
(amounts expressed in thousands)
City of Iowa City, Iowa
Reconciliation of the Balance Sheet of the
Governmental Funds to the Statement of Net Position
June 30, 2022
35
Bridge,
Other Street, and
Shared Traffic Other
Revenue and Employee Other Control Debt Governmental
General Grants Benefits Construction Construction Service Funds Total
Revenues
Taxes 43,691$ 1,020$ 14,208$ -$ -$ 10,855$ 4,446$ 74,220$
Licenses and permits 2,786 - - - - - - 2,786
Intergovernmental 4,046 12,574 313 632 3,831 236 1,124 22,756
Charges for services 1,711 3,114 371 95 - 23 - 5,314
Fines and forfeits 434 - - - - - - 434
Use of money and property 33 286 - 41 59 55 32 506
Miscellaneous 1,694 95 - 52 636 - 114 2,591
Total revenues 54,395 17,089 14,892 820 4,526 11,169 5,716 108,607
Expenditures
Current:
Public safety 25,783 - 975 63 - - - 26,821
Public works 2,527 6,327 - 182 1,847 - - 10,883
Culture and recreation 14,722 - - 368 - - - 15,090
Community and economic development 3,325 2,493 - 138 - - 5,120 11,076
General government 7,310 230 327 13 - 27 - 7,907
Debt service:
Principal - - - - - 11,220 - 11,220
Interest - - - - - 1,956 - 1,956
Capital outlay 1,291 630 - 3,487 6,665 - - 12,073
Total expenditures 54,958 9,680 1,302 4,251 8,512 13,203 5,120 97,026
Excess (deficiency) of revenues over
(under) expenditures (563) 7,409 13,590 (3,431) (3,986) (2,034) 596 11,581
Other Financing Sources (Uses)
Issuance of debt - - - 2,767 7,472 16 - 10,255
Sale of capital assets 255 1 - - - - - 256
Premiums on issuance of bonds - - - 149 403 1 - 553
Transfers in 14,167 1,629 - 2,688 3,282 1,828 635 24,229
Transfers out (7,250) (5,955) (13,090) (594) (6,368) - (1,958) (35,215)
Total other financing sources and (uses)7,172 (4,325) (13,090) 5,010 4,789 1,845 (1,323) 78
Net change in fund balances 6,609 3,084 500 1,579 803 (189) (727) 11,659
Fund Balances, Beginning 52,221 9,312 3,631 8,178 18,291 7,551 5,159 104,343
Fund Balances, Ending 58,830$ 12,396$ 4,131$ 9,757$ 19,094$ 7,362$ 4,432$ 116,002$
The notes to the financial statements are an integral part of this statement.
Special Revenue Capital Projects
City of Iowa City, Iowa
Statement of Revenues, Expenditures, and Changes in Fund Balances
Governmental Funds
For the Year Ended June 30, 2022
(amounts expressed in thousands)
36
Net change in fund balances - total governmental funds 11,659$
Amounts reported for governmental activities in the statement of activities
are different because:
Governmental funds report capital outlays as expenditures while governmental
activities report depreciation expense to allocate those expenditures over the
life of the asset. Capital outlays and contributed capital assets exceeded
depreciation expense in the current year as follows:
Expenditures for capital assets 6,827$
Transfers of capital assets (to)\from enterprise funds - net (157)
Transfers of capital assets (to)\from internal service funds - net (262)
Capital assets contributed 729
Depreciation expense (8,559) (1,422)
Bond proceeds are reported as other financing sources in governmental funds
and thus contribute 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.
Debt issued (10,255)
Premium on bonds issued (553)
Repayments of debt 11,220
Amortization of premium 412 824
Because some revenues will not be collected for several months after the
City's year end, they are not considered available revenues in the governmental funds.29
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 governmental funds:
Change in accrued compensated absences 141
Pension expense 6,269
Change in accrued post employment benefit liability (294)
Change in accrued interest on debt (9)
In the statement of activities, only the gain on the sale of the capital assets is
recognized, whereas in the governmental funds, the proceeds from the sale
increased financial resources. Thus, the change in net position differs from the
change in fund balance by the cost of the capital asset sold.(1)
Internal service funds are used by management to charge the costs
of certain activities to individual funds. The net revenue of certain activities of
internal service funds is reported with governmental activities.1,884
Change in net position of governmental activities 19,080$
The notes to the financial statements are an integral part of this statement.
(amounts expressed in thousands)
For the Year Ended June 30, 2022
City of Iowa City, Iowa
Reconciliation of the Statement of Revenues, Expenditures,
and Changes in Fund Balances of Governmental Funds
to the Statement of Activities
37
Governmental
Activities -
Other Internal
Wastewater Housing Enterprise Service
Transit Treatment Water Sanitation Stormwater Authority Funds Total Funds
Assets
Current assets:
Equity in pooled cash and investments 4,546$ 23,939$ 10,895$ 14,021$ 3,612$ 5,139$ 4,561$ 66,713$ 42,888$
Receivables (net of allowance for uncollectibles):
Accounts and unbilled usage - 1,407 1,099 878 162 27 77 3,650 226
Interest 1 4 6 16 1 17 1 46 28
Notes - - - - - 326 - 326 -
Lease 122 - - 16 - - 45 183 19
Due from other governments 7,454 63 27 111 - - 230 7,885 26
Inventories 405 - 384 - - - - 789 692
Total current assets 12,528 25,413 12,411 15,042 3,775 5,509 4,914 79,592 43,879
Noncurrent assets:
Restricted assets:
Equity in pooled cash and investments 5 4,651 4,738 15,571 - 2,532 472 27,969 -
Advances to other funds - - - 4,762 - - - 4,762 -
Lease receivable 1,425 - - 266 - - 556 2,247 40
Capital assets:
Land 2,630 759 6,296 2,264 2,264 620 15,484 30,317 685
Buildings 15,399 36,858 24,019 5,402 - 7,427 47,694 136,799 1,481
Improvements other than buildings - 7,802 2,721 460 - 34 773 11,790 50
Machinery and equipment 16,693 13,038 11,492 271 27 71 2,153 43,745 25,666
Infrastructure 955 163,910 73,917 19,344 72,703 - 17,451 348,280 3,634
Accumulated depreciation (16,345) (98,542) (47,618) (20,232) (20,377) (5,262) (39,131) (247,507) (15,438)
Construction in progress 135 1,472 5,099 697 2,293 - 383 10,079 550
Total noncurrent assets 20,897 129,948 80,664 28,805 56,910 5,422 45,835 368,481 16,668
Total assets 33,425 155,361 93,075 43,847 60,685 10,931 50,749 448,073 60,547
Deferred Outflows of Resources
Pension related deferred outflows 383 202 242 280 22 90 133 1,352 220
OPEB related deferred outflows 160 77 109 109 6 31 63 555 81
Total deferred outflows of resources 543 279 351 389 28 121 196 1,907 301
Liabilities
Current liabilities:
Accounts payable 534 240 148 249 19 46 84 1,320 567
Contracts payable 20 583 174 338 35 - 353 1,503 -
Accrued liabilities 256 110 127 154 11 54 80 792 3,439
Employee vested benefits 141 67 78 108 8 26 63 491 61
Due to other funds - - - - - - - - -
Due to other governments - 1 - 5 - 29 - 35 -
Unearned revenue - - 6 - - 108 - 114 -
Interest payable - 52 61 - - - - 113 -
Bonded debt payable (net of unamortized
premium and discounts)- 2,154 1,790 - - - - 3,944 -
Total current liabilities 951 3,207 2,384 854 73 263 580 8,312 4,067
Noncurrent liabilities:
Liabilities payable from restricted assets:
Deposits 8 - 1,128 10 - 1,237 12 2,395 -
Advances from other funds - - - - - - 1,762 1,762 -
Employee vested benefits 97 49 47 81 5 19 47 345 47
Bonded debt payable (net of unamortized
premium and discounts)- - 3,702 - - - - 3,702 -
Net pension liability 53 29 35 38 3 12 18 188 32
Other post employment benefits liability 672 324 456 456 24 132 264 2,328 336
Landfill closure/postclosure liability - - - 12,227 - - - 12,227 -
Total noncurrent liabilities 830 402 5,368 12,812 32 1,400 2,103 22,947 415
Total liabilities 1,781 3,609 7,752 13,666 105 1,663 2,683 31,259 4,482
Deferred Inflows of Resources
Lease related deferred inflows 1,547 - - 282 - - 601 2,430 59
Pension related deferred inflows 1,973 1,097 1,318 1,446 115 461 683 7,093 1,188
OPEB related deferred inflows 212 102 144 144 8 42 83 735 107
Deferred amount on refunding - 25 45 - - - - 70 -
Total deferred inflow of resources 3,732 1,224 1,507 1,872 123 503 1,367 10,328 1,354
Net Position
Net investment in capital assets 19,467 123,118 70,389 8,206 56,910 2,890 44,807 325,787 16,628
Restricted by bond ordinance - 4,598 3,611 - - - - 8,209 -
Restricted by state statute - - - 3,309 - - - 3,309 -
Restricted for future improvements - - - - - - 404 404 -
Restricted by grant agreement - - - - - 1,294 - 1,294 -
Unrestricted 8,988 23,091 10,167 17,183 3,575 4,702 1,684 69,390 38,384
Total net position 28,455$ 150,807$ 84,167$ 28,698$ 60,485$ 8,886$ 46,895$ 408,393$ 55,012$
Adjustment to reflect the consolidation of internal service fund activities
related to enterprise funds.22,980
Net position of business-type activities 431,373$
The notes to the financial statements are an integral part of this statement.
Business-type Activities - Enterprise Funds
City of Iowa City, Iowa
Statement of Net Position
Proprietary Funds
June 30, 2022
(amounts expressed in thousands)
38
Governmental
Activities -
Other Internal
Wastewater Housing Enterprise Service
Transit Treatment Water Sanitation Stormwater Authority Funds Total Funds
Operating Revenues:
Charges for services 1,627$ 12,121$ 10,127$ 11,274$ 1,704$ 282$ 5,338$ 42,473$ 23,802$
Miscellaneous 68 78 556 146 15 310 61 1,234 -
Total operating revenues 1,695 12,199 10,683 11,420 1,719 592 5,399 43,707 23,802
Operating Expenses:
Personal services 4,154 3,228 3,417 3,713 366 982 2,012 17,872 2,333
Commodities 1,253 1,044 1,307 256 183 192 743 4,978 2,777
Services and charges 2,243 3,253 2,282 6,247 227 10,460 2,004 26,716 11,863
7,650 7,525 7,006 10,216 776 11,634 4,759 49,566 16,973
Depreciation 1,073 4,777 2,624 802 1,425 257 2,256 13,214 2,498
Total operating expenses 8,723 12,302 9,630 11,018 2,201 11,891 7,015 62,780 19,471
Operating income (loss)(7,028) (103) 1,053 402 (482) (11,299) (1,616) (19,073) 4,331
Nonoperating Revenues (Expenses):
Gain (loss) on disposal of capital assets (26) (41) 23 - - - - (44) 85
Operating grants 5,096 77 42 105 - 11,481 262 17,063 12
Lease revenue 118 - - 15 - - 88 221 15
Interest income 76 197 - (516) 8 15 30 (190) (1,049)
Interest expense - - (100) - - - - (100) -
Total nonoperating revenues (expenses)5,264 233 (35) (396) 8 11,496 380 16,950 (937)
Income (loss) before capital contributions
and transfers (1,764) 130 1,018 6 (474) 197 (1,236) (2,123) 3,394
Capital contributions 3,416 964 620 - 713 - 154 5,867 262
Transfers in 4,123 610 4,024 124 2,659 - 100 11,640 904
Transfers out - - (49) (545) - (52) - (646) (912)
Change in net position 5,775 1,704 5,613 (415) 2,898 145 (982) 14,738 3,648
Net Position, Beginning 22,680 149,103 78,554 29,113 57,587 8,741 47,877 51,364
Net Position, Ending 28,455$ 150,807$ 84,167$ 28,698$ 60,485$ 8,886$ 46,895$ 55,012$
Adjustment to reflect the consolidation of internal service fund activities
related to enterprise funds 1,764
Change in net position of business-type activities 16,502$
The notes to the financial statements are an integral part of this statement.
Business-type Activities - Enterprise Funds
City of Iowa City, Iowa
Statement of Revenues, Expenses and Changes in Fund Net Position
Proprietary Funds
For the Year Ended June 30, 2022
(amounts expressed in thousands)
39
Governmental
Activities -
Other Internal
Wastewater Housing Enterprise Service
Transit Treatment Water Sanitation Stormwater Authority Funds Total Funds
Cash Flows From Operating Activities
Receipts from customers and users 1,774$ 12,377$ 10,890$ 11,338$ 1,742$ 439$ 5,673$ 44,233$ -$
Receipts from users - - - - - - - - 23,799
Payments to suppliers (3,308) (4,297) (3,783) (5,515) (414) (10,706) (2,538) (30,561) (15,245)
Payments to employees (4,634) (3,416) (3,726) (3,983) (364) (1,085) (2,059) (19,267) (2,562)
Net cash flows from (used for) operating activities (6,168) 4,664 3,381 1,840 964 (11,352) 1,076 (5,595) 5,992
Cash Flows From Noncapital Financing Activities
Grants received 2,925 16 35 30 - 11,527 446 14,979 3
Transfers from other funds 4,123 281 253 116 39 - 100 4,912 904
Transfers to other funds - - (41) (545) - (52) - (638) (912)
Repayment/(payment) of notes receivable - - - - - 10 - 10 -
Advances to other funds - - - (1,000) - - 725 (275) -
Repayment of advances from other funds - - - 462 - - (174) 288 -
Net cash flows from (used for) noncapital financing
activities 7,048 297 247 (937) 39 11,485 1,097 19,276 (5)
Cash Flows From Capital and Related Financing
Activities
Capital grants received 399 422 - - - - 156 977 -
Lease revenues received 118 - - 15 - - 88 221 15
Acquisition and construction of property and
equipment (4,559) (2,753) (998) (393) (326) - (727) (9,756) (1,893)
Proceeds from sale of property - - 23 - - - - 23 102
Principal paid on bonded debt - (2,659) (1,690) - - - - (4,349) -
Interest paid on bonded debt - (265) (154) - - - - (419) -
Net cash flows from (used for) capital and related
financing activities (4,042) (5,255) (2,819) (378) (326) - (483) (13,303) (1,776)
Cash Flows From Investing Activities
Interest on investments 79 207 2 (514) 8 16 30 (172) (1,045)
Net increase (decrease) in cash and cash equivalents (3,083) (87) 811 11 685 149 1,720 206 3,166
Cash and Cash Equivalents, Beginning 7,634 28,677 14,822 29,581 2,927 7,522 3,313 94,476 39,722
Cash and Cash Equivalents, Ending 4,551$ 28,590$ 15,633$ 29,592$ 3,612$ 7,671$ 5,033$ 94,682$ 42,888$
Reconciliation of operating income (loss)
to net cash flows from (used for) operating activities:
Operating income (loss)(7,028)$ (103)$ 1,053$ 402$ (482)$ (11,299)$ (1,616)$ (19,073)$ 4,331$
Adjustments to reconcile operating income
(loss) to net cash flows from (used for) operating activities:
Depreciation expense 1,073 4,777 2,624 802 1,425 257 2,256 13,214 2,498
Changes in:
Receivables:
Accounts and unbilled usage 76 178 195 (82) 23 - 271 661 (50)
Due from other governments (1) - (11) - - - - (12) 47
Inventories (10) - (48) - - - - (58) (124)
Accounts payable 252 (1) (130) 8 (4) (53) 209 281 (69)
Contracts payable (54) - - - - - - (54) -
Accrued liabilities 8 17 1 13 (1) 9 14 61 (398)
Employee vested benefits 1 (6) (20) (3) (1) (28) 5 (52) (21)
Due to other governments - 1 (16) (1) - (1) - (17) (7)
Unearned revenue - - 6 - - (244) - (238) -
Deposits 4 - 17 - - 91 3 115 -
Net pension liability (2,616) (1,383) (1,754) (1,821) (117) (582) (854) (9,127) (1,531)
Deferred outflows of resources 229 121 156 157 8 48 58 777 128
Deferred inflows of resources 2,036 1,102 1,355 1,487 117 472 718 7,287 1,216
Other post employment benefits liability (138) (39) (47) (103) (4) (22) 12 (341) (28)
Landfill closure/postclosure liability - - - 981 - - - 981 -
Total adjustments 860 4,767 2,328 1,438 1,446 (53) 2,692 13,478 1,661
Net cash flows from (used for) operating activities (6,168)$ 4,664$ 3,381$ 1,840$ 964$ (11,352)$ 1,076$ (5,595)$ 5,992$
Noncash Investing, Capital, and
Financing Activities:
Contributions of capital assets from
government and others -$ 871$ 4,391$ -$ 3,333$ -$ -$ 8,595$ 262$
Capital grants not yet received 3,017$ -$ -$ -$ -$ -$ 163$ 3,180$ -$
Operating grants not yet received 4,379$ 54$ 14$ 75$ -$ -$ 67$ 4,589$ -$
The notes to the financial statements are an integral part of this statement.
Business-type Activities - Enterprise Funds
City of Iowa City, Iowa
Statement of Cash Flows
Proprietary Funds
For the Year Ended June 30, 2022
(amounts expressed in thousands)
40
Project Green
Assets
Equity in pooled cash and investments 60$
Total assets 60
Liabilities
Accounts payable 4
Total liabilities 4
Net Position
Restricted for an organization 56$
The notes to the financial statements are an integral part of this statement.
June 30, 2022
(amounts expressed in thousands)
City of Iowa City, Iowa
Statement of Fiduciary Net Position
Custodial Fund
41
Project Green
Additions:
Contributions 24$
Total additions 24
Deductions:
Commodities 2
Services and charges 29
Total deductions 31
Change in net position (7)
Net Position, Beginning 63
Net Position, Ending 56$
The notes to the financial statements are an integral part of this statement.
City of Iowa City, Iowa
Statement of Changes in Fiduciary Net Position
Custodial Fund
For the Year Ended June 30, 2022
(amounts expressed in thousands)
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City of Iowa City, Iowa
Notes to Financial Statements
June 30, 2022
1. Accounting Policies
The City of Iowa City, Iowa, (the City) was incorporated April 6, 1853, and operates under the
Council/Manager form of government. The City provides a broad range of services to its citizens including
general government, public safety, streets, parks, and cultural facilities. It also operates an airport, a mass
transportation system, parking facilities, water treatment, wastewater treatment, storm water collection,
sanitation collection and disposal (including landfill operations) and a housing authority.
The financial statements of the City have been prepared in conformity with accounting principles generally
accepted in the United States of America (GAAP) as applied to governmental units. The Governmental
Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental
accounting and financial reporting principles. The more significant accounting policies of the City are
described below.
The Reporting Entity
For financial reporting purposes, the City includes all of its funds, organizations, agencies, boards,
commissions, and authorities. The City has also considered all potential component units for which it is
financially accountable, and other organizations for which the nature and significance of their relationship
with the City are such that exclusion would cause the City’s financial statements to be misleading or
incomplete. The Governmental Accounting Standards Board has set forth criteria to be considered in
determining financial accountability. These criteria include appointing a voting majority of an
organization’s governing body, and (1) the ability of the City to impose its will on that organization or (2)
the potential for the organization to provide specific benefits to or impose specific financial burdens on the
City. There were no component units required to be included.
Government-Wide and Fund 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 non-fiduciary activities of the primary government.
Governmental activities, which normally are supported by taxes and intergovernmental revenues, are
reported separately from business-type activities, which rely to a significant extent on fees and charges for
support.
The Statement of Activities demonstrates the degree to which the direct expenses of a given function or
segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a
specific function or segment. Program revenues include 1) charges to customers or applicants who
purchase, use, or directly benefit from goods, services, or privileges provided by a given function or
segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements
of a particular function or segment. Taxes and other items not properly included among program revenues
are reported as general revenues.
As a general rule, the effect of inter-fund activity has been eliminated from the government-wide financial
statements. Exceptions to this general rule are charges between the City’s water and sewer function and
various other functions of the government. Eliminations of these charges would distort the direct costs and
program revenues reported for the various functions concerned.
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Separate financial statements are provided for governmental funds and proprietary funds. Major individual
governmental funds and major individual enterprise funds are reported as separate columns in the fund
financial statements.
Description of Funds
These financial statements include all funds owned or administered by the City or for which the City acts
as custodian.
The accounts of the City are organized on the basis of funds, each of which is considered to be a separate
accounting entity. The fund categories are governmental, proprietary, and fiduciary. Each fund is accounted
for by providing a separate set of self-balancing accounts that comprise its assets, deferred outflows of
resources, liabilities, deferred inflows of resources, net position, revenues, and expenditures or expenses,
as appropriate. The individual funds account for the governmental resources allocated to them for the
purpose of carrying on specific activities in accordance with laws, regulations, or other restrictions.
Basis of Accounting
The accounting and financial reporting treatment applied to a fund is determined by its “measurement
focus.” The government-wide financial statements and proprietary funds are accounted for on the flow of
economic resources measurement focus and use the accrual basis of accounting. Custodial funds do not
have a measurement focus and use the accrual basis of accounting. Under the accrual method, revenues
are recorded when earned and expenses are recorded at the time liabilities are incurred.
All governmental funds are accounted for using a current financial resources measurement focus, which
generally includes only current assets and current liabilities on the balance sheet. The modified accrual
basis of accounting is used for these funds. Under the modified accrual basis, revenue is recognized when
susceptible to accrual, which is in the period in which it becomes both available (collectible within the
current period or soon thereafter to be used to pay liabilities of the current period) and measurable (the
amount of the transaction can be determined). Revenue accrued includes property taxes, intergovernmental
revenue, and interest earned on investments (if they are collected within 60 days after the year-end).
Expenditures are recorded when the related fund liability is incurred. Principal and interest on long-term
debt, as well as expenditures related to compensated absences and claims and judgments, are recorded only
when payment is due.
The City reports the following major governmental funds:
The General Fund is the City’s primary operating fund. It accounts for all financial resources of
the general government, except those required to be accounted for in another fund.
The Other Shared Revenue and Grants Fund is used to account for revenue from various sources,
primarily road use tax monies from the State of Iowa and reimbursable programs funded by
federal and state grants.
The Employee Benefits Fund is used to account for the employee benefits related to those
employees who are paid through governmental fund types, which are funded by a separate
property tax levy.
The Other Construction Fund accounts for the construction or replacement of other City general
capital assets, such as administrative buildings with various funding sources, including general
obligation bonds, intergovernmental revenues, and contributions.
The Bridge, Street, and Traffic Control Construction Fund accounts for the construction or
replacement of infrastructure capital assets, such as streets, bridges, dams, sidewalks, and lighting
systems.
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The Debt Service Fund accounts for the accumulation of resources for the payment of general long-
term debt principal, interest, and related costs.
The City reports the following major proprietary funds:
The Transit Fund is used to account for the operation and maintenance of the public transportation
system.
The Wastewater Treatment Fund is used to account for the operation and maintenance of the
wastewater treatment facility and sanitary sewer system.
The Water Fund is used to account for the operation and maintenance of the water system.
The Sanitation Fund is used to account for the operation and maintenance of the solid waste
collection system and landfill.
The Stormwater Fund is used to account for the operation and maintenance of the stormwater
utility system.
The Housing Authority Fund is used to account for the operations and activities of the City’s low
and moderate income housing assistance and public housing programs.
The City has two nonmajor enterprise funds, the Airport Fund is used to account for the operation and
maintenance of the airport facility and the Parking Fund is used to account for the operation and
maintenance of the “on” and “off” street public parking facilities.
Additionally, the City reports internal service funds to account for goods and services provided by one
department to other City departments on a cost reimbursement basis. The funds in this category are the
Equipment Maintenance Fund, Central Services Fund, Loss Reserve Fund, and the Information Technology
Fund.
The City also reports a custodial fund account for monies held for Project Green, a local 501(c)(3) not-for-
profit agency to which the City provides accounting and investing services.
Proprietary funds distinguish operating revenues and expenses from non-operating items. Operating
revenues and expenses generally result from providing services and producing and delivering goods in
connection with a proprietary fund’s principal ongoing operations. The principal operating revenues of the
City’s enterprise funds and of the City’s internal service funds are charges to customers for sales and
services. Operating expenses for enterprise funds and internal service funds include the cost of sales and
services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting
this definition are reported as non-operating revenues and expenses.
When both restricted and unrestricted resources are available for use, it is the government’s policy to use
restricted resources first, then unrestricted resources as they are needed.
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Uses of 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 and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of revenue, expenditures and expenses, as appropriate, during the
reporting period. Actual results could differ from these estimates. Material estimates that are particularly
susceptible to significant change in the near-term relate to the determination of other postemployment
benefit obligation, net pension liability, landfill closure and post-closure care costs, total capacity of the
landfill at closure, and calculation of the costs of claims incurred, but not reported.
Cash and Investments
The City maintains one primary demand deposit account through which the majority of its cash resources
are processed. Substantially all investment activity is carried on by the City in an investment pool, except
for those funds required to maintain their investments separately. The earnings on the pooled investments
are allocated to the funds on a systematic basis. All investments are stated at fair value except for the Iowa
Public Agency Investment Trust (IPAIT) which is valued at amortized cost pursuant to Rule 2a-7 under the
Investment Company Act of 1940.
For the purpose of the Statement of Cash Flows, restricted and non-restricted investments with a maturity
of three months or less when purchased are considered cash equivalents.
Receivables and Revenue Recognition
Property tax receivable is recognized in governmental funds on the levy or lien date, which is the date that
the tax asking is certified by the City to the County Board of Supervisors. Current year delinquent property
tax receivable represents unpaid taxes from the current year. The succeeding year property tax receivable
represents taxes certified by the City to be collected in the next fiscal year for the purposes set out in the
budget for the next fiscal year. By statute, the City is required to certify its budget to the County Auditor
by March 31 of each year for the subsequent fiscal year. However, by statute, the tax asking and budget
certification for the following fiscal year becomes effective on the first day of that year. Although the
succeeding year property tax receivable has been recorded, it will not be recognized as revenue until the
year for which it is levied.
Federal and state grants are recorded as receivables and the revenue is recognized during the period in
which the City fulfills the requirements for receiving the grant awards, as long as the susceptible to accrual
criteria are met.
Income from investments in all fund types and from charges for services in proprietary fund types is
recognized when earned. Licenses and permits, fines and forfeitures, fees and refunds, charges for services
(in governmental fund types), miscellaneous, and other revenues are recorded as revenue when received in
cash because they are generally not measurable until actually received.
Inventories
Inventories are recognized only in those funds in which they are material to the extent of affecting
operations. For the City, these are the Other Shared Revenue and Grants Fund, Transit Fund, Water Fund,
and the Equipment Maintenance Fund. Inventories of materials and supplies are determined by actual count
and priced on the FIFO method in the Other Shared Revenue and Grants Fund and the average cost method
for the Transit, Water and Equipment Maintenance Fund.
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Leases
The City is a lessor for several noncancellable leases of City property. The City recognizes lease
receivables and deferred inflows of resources at the commencement of the lease term in the governmental
activities, the business type activities, governmental, business type, and internal service fund financial
statements. As lessor, the assets underlying the lease are not derecognized.
At the commencement of a lease, the City initially measures the lease receivable at the present value of
payments expected to be received during the lease term. Subsequently, the lease receivable is reduced by
the principal portion of lease payments received. The deferred inflow of resources is initially measured as
the initial amount of the lease receivable, adjusted for lease payments received at or before the lease
commencement date. Subsequently, the deferred inflow of resources is recognized as revenue over the life
of the lease term.
Key estimates and judgments include how the City determines the discount rate it uses to discount the
expected lease receipts to present value, lease term and lease receipts.
The City uses its most recent borrowing rate as the discount rate for leases.
The lease term includes the noncancellable period of the lease. Lease receipts included in the
measurement of the lease receivable is composed of fixed payments from the lessee.
The City monitors changes in circumstances that would require a remeasurement of its lease and will
remeasure the lease receivable and deferred inflows of resources if certain changes occur that are
expected to significantly affect the amount of the lease receivable.
Capital Assets
Capital assets, which include property, buildings, equipment, and infrastructure assets (e.g., roads, bridges,
water mains, and similar items), are reported in the applicable governmental or business-type activities
columns in the government-wide financial statements. The City follows the policy of not requiring
capitalization of an asset with an initial, individual cost of less than $50,000 for infrastructure, $25,000 for
buildings and improvements, and $5,000 for equipment assets. Such assets are recorded at original purchase
cost or at acquisition value at the date of donation when received as donated properties.
Depreciation is computed using the straight-line method over the following estimated useful lives:
Infrastructure 3 – 100 years
Buildings and structures 20 – 50 years
Improvements other than buildings 10 – 50 years
Vehicles 2 – 20 years
Other equipment 3 – 30 years
Deferred Outflows of Resources
Deferred outflows of resources represent a consumption of net assets that applies to a future period(s) and
will not be recognized as an outflow of resources (expense/expenditure) until then. Deferred outflows of
resources consist of unrecognized items not yet charged to pension and OPEB expense and contributions
from the employer after the measurement date but before the end of the employer’s reporting period.
Bond Premiums and Discounts
Debt issued at a premium or discount is recorded net of the unamortized premium or discount. In the
governmental funds, premiums and discounts are recorded entirely as other financing sources or uses in the
year of issuance. In the proprietary funds and the government-wide statements, they are amortized over the
life of the bonds.
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Compensated Absences
Permanent City employees accumulate vacation and sick leave hours for subsequent use or for payment
upon death, resignation, or retirement. The City pays its employees (except firefighters) one-half of the
accumulated sick leave at the time of termination on the basis of the employee’s then effective hourly base
salary, provided that the dollar amount of the payment may be up to, but not exceed, the amount that an
employee would be paid if the employee had terminated on June 28, 1985. Employees hired on or after
June 29, 1985, are not eligible for payment of accumulated sick leave upon termination, death, or retirement.
Pensions
For purposes of measuring the net pension liability, deferred outflows of resources and deferred inflows
of resources related to pensions, and pension expense, information about the fiduciary net position of the
Iowa Public Employees’ Retirement System and the Municipal Fire and Police Retirement System
(Systems’) and additions to/deductions from the Systems’ fiduciary net position have been determined on
the same basis as they are reported by the Systems. For this purpose, benefit payments (including refunds
of employee contributions) are recognized when due and payable in accordance with the benefit terms.
Investments are reported at fair value.
Landfill Closing Costs
Costs expected to be incurred in ultimately closing the present landfill site are being systematically provided
for through charges to expense over the estimated useful life of the landfill on the basis of capacity used
(see Note 8).
Deferred Inflows of Resources
Deferred inflows of resources represent an acquisition of net assets that applies to a future period(s) and
will not be recognized as an inflow of resources (revenue) until that time. Although certain revenues are
measurable, they are not available. Available means collected within the current year or expected to be
collected soon enough thereafter to be used to pay liabilities of the current year. Deferred inflows of
resources in the governmental fund financial statements represent the amount of assets that have been
recognized, but the related revenue has not been recognized since the assets are not collected within the
current year or expected to be collected soon enough thereafter to be used to pay liabilities of the current
year. The lease related deferred inflows is the unamortized portion of the lease receivable. Deferred inflows
of resources consist of property tax receivable, lease related deferred inflows, grants receivable and other
receivables.
Deferred inflows of resources in the Statement of Net Position consist of succeeding year property tax
receivable that will not be recognized as revenue until the year for which they are levied, the difference in
the carrying value of refunded debt and it’s acquisition price, lease related deferred inflows, and the
unamortized portion of pension and OPEB related items.
Budgetary and Legal Appropriation and Amendment Policies
The City prepares and adopts an annual function budget, as prescribed by Iowa statutes, for all funds except
internal service and custodial funds. This is formalized in a separate budgetary report, the Financial Plan.
This budget is adopted on or before March 31 of each year to become effective July 1 and constitutes the
City’s appropriation for each program and purpose specified therein until amended. The adopted budget
must include the following:
a. Expenditures for each function:
Public safety
Public works
Health and social services
Culture and recreation
Community and economic development
General government
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Debt service
Capital projects
Business-type/enterprise
b. The amount to be raised by property taxation
c. Income from sources other than property taxation
d. Transfers in and transfers out
The legal level of control (the level at which expenditures may not legally exceed appropriations) is the
function level for all funds combined, rather than at the individual fund level. Management can transfer
appropriations within a function, within a fund type, and between fund types, without the approval of the
governing body so long as the total budget by function area will not be exceeded. It is necessary, therefore,
to aggregate the expenditures of the budgeted activities within the governmental fund types with the
expenditures of the budgeted activities within the enterprise funds on a function basis, and to compare such
function totals to function budgeted totals in order to demonstrate legal compliance with the budget. The
City’s budget for revenue focuses on aggregated totals by revenue source.
The City formally adopts budgets for several funds that are not required by state law to be included in the
annual function budget. Annual operating budgets are adopted for the internal service funds for
management control purposes. Such budgets, however, are not legally required to be adopted under state
statutes.
A City budget for the current fiscal year may be amended for any of the following purposes as prescribed
by Iowa statute:
a. To permit the appropriation and expenditure of unexpended, unencumbered cash balances on
hand at the end of the preceding fiscal year.
b. To permit the appropriation and expenditure of amounts anticipated being available from sources
other than property taxation.
c. To permit transfers between funds.
d. To permit transfers between functions.
A budget amendment must be prepared and adopted in the same manner as the original budget. The City’s
budget was amended as prescribed, and the effects of those amendments are shown in the accompanying
budgetary comparison schedule. The original budget was increased by $35,891,317 in revenues and other
financing sources and by $92,239,183 in expenditures and other financing uses. Appropriations, as adopted
or amended, lapse at the end of the fiscal year.
As allowed by GASB Statement No. 41, Budgetary Comparison Schedules – Perspective Differences, the
City presents budgetary comparison schedules as required supplementary information based on the program
structure of nine functional areas as required by state statute for its legally adopted budget.
Restricted Assets
Assets within the individual funds, which can be designated by the City Council for any use within the
fund’s purpose, are considered to be unrestricted assets. Assets, which are restricted for specific uses by
bonded debt requirements, grant provisions, or other requirements, are classified as restricted assets.
Liabilities, which are payable from restricted assets, are classified as such.
Classification of Fund Balances
Fund balances for the governmental funds are reported in classifications based on the nature of any
limitations requiring the use of resources for specific purposes (see Note 9).
2. Cash and Pooled Investments
The City’s deposits in banks at June 30, 2022 were entirely covered or collateralized by federal depository
insurance, national credit union administration, letters of credit held by the City or by the State Sinking
49
Fund in accordance with Chapter 12C of the Code of Iowa. This chapter provides for additional assessments
against the depositories to insure there will be no loss of public funds.
The City is authorized by statute to invest public funds in obligations of the United States government, its
agencies and instrumentalities; certificates of deposit or other evidences of deposit at federally insured Iowa
depository institutions approved by City Council and secured pursuant to the limitations set forth in Chapter
12C of the Code of Iowa; prime eligible bankers acceptances; certain high rated commercial paper or other
short-term corporate debt; perfected repurchase agreements; Iowa Public Agency Investment Trust
(IPAIT); certain registered open–end management investment companies registered with the Securities &
Exchange Commission under the federal Investment Company Act of 1940; and warrants or improvement
certificates of a drainage district.
The City uses the fair value hierarchy established by generally accepted accounting principles based on the
valuation inputs used to measure the fair value of the asset. Level 1 inputs are quoted prices in active
markets for identical assets. Level 2 inputs are significant other observable inputs. Level 3 inputs are
significant unobservable inputs.
The recurring fair value measurement for the Federal Home Loan Mortgage Corporation securities of
$5,920,690, the Federal Farm Credit Bank Note securities of $3,247,520, the Federal National Mortgage
Association securities of $3,511,840 and the Federal Home Loan Bank securities of $20,484,180 were
determined using the last reported sales price at current exchange rates (Level 1 inputs).
The fair value measurement for the Credit Agricole CIB NY Corporation commercial paper of $4,988,750
and the Natixis NY Branch commercial paper of $4,988,792 was determined using the last reported sales
price at current exchange rates (Level 1 inputs).
The City had no other investments meeting the disclosure requirements of Governmental Accounting
Standards Board Statement No. 72.
In addition, the City had investments in the Iowa Public Agency Investment Trust (IPAIT), which are valued
at an amortized cost of $155,178, which approximates fair value. The Diversified Portfolio consists of cash
and short-term investments valued at amortized cost, which approximates fair value, pursuant to
Governmental Accounting Standards Board Statement No. 79.
The Iowa Public Agency Investment Trust (IPAIT) represents an investment in a pool managed by others.
IPAIT is a common trust established under Iowa law pursuant to Iowa Code Chapter 28E in 1987 to enable
eligible Iowa public agencies to safely and effectively invest their available operating and reserve funds.
IPAIT is registered under the Investment Company Act of 1940.
The IPAIT portfolios have followed established money market mutual fund investment parameters
designed to maintain a $1 per unit net asset value since inception and were registered with the Securities
and Exchange Commission (SEC).
Interest rate risk - The City’s investment policy limits the investment of operating funds to investments that
mature within 397 days. The portion of operating funds in excess of 33% of operating funds may be invested
in certificates of deposit which mature within 63 months or less. Funds not identified as operating funds
may be invested in instruments with maturities longer than 397 days.
At June 30, 2022 the City of Iowa City had the following investments:
Fair
Investment Value Maturities
Federal Home Loan Mortgage Corporation Notes 5,920,690$ July 2023 to February 2025
Federal Farm Credit Bank Notes 3,247,520 December 2024 to September 2040
Federal National Mortgage Association 3,511,840 December 2027 to June 2029
Federal Home Loan Bank 20,484,180 November 2023 to January 2027
Credit Agricole CIB NY 4,988,750 October 2022
Natixis NY Branch 4,988,792 September 2022
43,141,772$
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Credit risk. State law limits investments to commercial paper and corporate bonds to the top two ratings
issued by nationally recognized statistical rating organizations. It is the City’s policy to comply with rating
restrictions. The investment in Iowa Public Agency Investment Trust is not rated by Moody’s Investors
service as it is a state security that is backed by the full faith and credit of the issuing government and is not
subject to credit risk.
Concentration of credit risk. The City investment policy limits the amount that may be invested in any one
issuer to a maximum amount approved by the City Council.
Due to legal and budgetary reasons, the General Fund is assigned a portion of the investment earnings
associated with other funds. These funds are the Employee Benefits, Other Shared Revenue and Grants,
and Sanitation funds.
3. Interfund Balances and Transfers
Interfund balances for the year ended June 30, 2022, consisted of the following:
Interfund balances at June 30, 2022, include advances to/from other funds, which represent amounts for
construction loans and a revenue bond redemption loan. $34,555 of the $50,930 advance to the Other Shared
Revenue and Grants Fund is not expected to be repaid within the next year. $2,811,048 of the $3,000,266
advance to the Other Construction Fund is not expected to be repaid within the next year. $1,389,014 of
the $1,762,064 advance to the Nonmajor Enterprise Funds is not expected to be repaid within the next year.
Debt
Service Sanitation Total
Advances to:
Other Shared Revenue
and Grants 50,930$ -$ 50,930$
Other Construction - 3,000,266 3,000,266
Nonmajor Enterprise - 1,762,064 1,762,064
Total 50,930$ 4,762,330$ 4,813,260$
Advances from
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Interfund transfers for the year ended June 30, 2022, consisted of the following:
Transfers are used to move revenues and bond proceeds from the fund that State statutes or the budget
requires to collect them to the fund that the State statutes or the budget requires to expend them.
In the fund financial statements, total transfers in and transfers out of $36,773,287 are less than total
transfers of $37,191,815 because of the treatment of transfers of capital assets from the governmental
activities capital assets.
Capital Projects
Bridge, Street
Other Capital Projects and Traffic
Shared Revenue Employee Other Control
General and Grants Benefits Construction Construction
Transfer to:
General -$ 1,611,767$ 12,461,141$ -$ -$
Other Shared Revenue
and Grants 1,000,000 - 628,877 - -
Debt Service 24,620 - - - -
Capital Projects
Other Construction 1,235,872 515,172 - - -
Capital Projects
Bridge, Street and
Traffic Control Construction 375,218 2,832,000 - - -
Nonmajor Governmental 313,564 321,042 - - -
Transit 4,122,880 - - - -
Wastewater Treatment 2,397 278,479 - - 329,098
Water 2,079 251,363 - - 3,770,863
Sanitation 7,022 108,252 - - -
Stormwater 1,324 37,082 - 592,365 2,027,943
Nonmajor Enterprise 100,000 - - - -
Internal Service 65,064 - - 1,870 239,740
Total Transfer to 7,250,040$ 5,955,157$ 13,090,018$ 594,235$ 6,367,644$
Transfer from
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During the year, construction in progress related to construction for the Idyllwild Drainage project with
values of $78,878 and $17,445 were transferred from governmental activities capital asset to Water and
Stormwater, respectively. Construction in progress related to the Melrose Avenue Improvements with a
value of $60,199 and $262,006 were transferred from governmental activities capital asset to Water and
ITS, respectively. No amounts were reported in the governmental funds, as the amounts did not involve
the transfer of financial resources. However, Water, Stormwater, and ITS did report capital contributions
for the capital resources received.
Nonmajor Housing Internal Total
Governmental Water Sanitation Authority Service Transfer from
42,540$ -$ -$ 51,836$ -$ 14,167,284$
- - - - - 1,628,877
1,803,257 - - - - 1,827,877
112,368 - - - 825,000 2,688,412
- - - - 75,000 3,282,218
- - - - - 634,606
- - - - - 4,122,880
- - - - - 609,974
- - - - - 4,024,305
- 8,263 - - - 123,537
- - - - - 2,658,714
- - - - - 100,000
- 41,173 544,461 - 12,296 904,604
1,958,165$ 49,436$ 544,461$ 51,836$ 912,296$ 36,773,288
Transfers from governmental activities capital assets to enterprise funds 156,521
Transfers from governmental activities capital assets to an internal service fun 262,006
37,191,815$
Transfer from
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4. Lease Receivable
During the year ended June 30, 2022, the City recognized the following related to its non-regulated leases
in which the maximum possible lease term is noncancelable by both the lessee and the lessor and is more
than 12 months. The leases are not considered principal ongoing operations of the City.
Governmental Activities:
On October 6, 2015, the City entered into an agreement to lease building space in the Library building.
The initial term of the lease was for a four-year term with an extension of an additional four-year term.
The City believes it is more likely than not that the term will be for eight years. The monthly rent is
$2,000. The City recognized $22,425 in lease revenue and $1,575 in interest revenue during the current
fiscal year related to this lease. As of June 30, 2022, the City’s receivable for lease payments was
$38,942. The City has a deferred inflow of resources associated with this lease of $38,942 that will be
recognized as revenue over the lease term.
On November 10, 2015, the City entered into an agreement to lease space for fiber. The initial term of the
lease was for a ten-year term with no option of extension. The City believes it is more likely than not that
the term will be for ten years. The annual rent is $17,459. The City recognized $15,182 in lease revenue
and $2,277 in interest revenue during the current fiscal year related to this lease. As of June 30, 2022, the
City’s receivable for lease payments was $58,724. The City has a deferred inflow of resources associated
with this lease of $58,724 that will be recognized as revenue over the lease term.
Business-type Activities:
On August 16, 2012, the City entered into an agreement to lease building space in the Court Street
Transportation Center. The initial term of the lease was for a three-year term with an extension of up to
five additional three-year terms. The City believes it is more likely than not that the term will be for
eighteen years. The monthly rent is $1,450. The City recognized $13,346 in lease revenue and $4,054 in
interest revenue during the current fiscal year related to this lease. As of June 30, 2022, the City’s
receivable for lease payments was $124,368. The City has a deferred inflow of resources associated with
this lease of $124,368 that will be recognized as revenue over the lease term.
On July 1, 2015, the City entered into an agreement to lease building space in the Court Street
Transportation Center. The initial term of the lease was for a ten-year term with an extension of an
additional five-year term. The City believes it is more likely than not that the term will be for fifteen
years. The monthly rent is $9,077.43. The City recognized $83,763 in lease revenue and $25,161 in
interest revenue during the current fiscal year related to this lease. As of June 30, 2022, the City’s
receivable for lease payments was $771,500. The City has a deferred inflow of resources associated with
this lease of $771,500 that will be recognized as revenue over the lease term.
On February 11, 2021, the City entered into an agreement to lease building space in the Court Street
Transportation Center. The initial term of the lease was for a three-year term with an extension of up to
four additional five-year terms. The City believes it is more likely than not that the term will be for fifteen
years. The monthly rent is $3,445. The City recognized $20,932 in lease revenue and $20,408 in interest
revenue during the current fiscal year related to this lease. As of June 30, 2022, the City’s receivable for
lease payments was $651,197. The City has a deferred inflow of resources associated with this lease of
$651,197 that will be recognized as revenue over the lease term.
54
On February 21, 2012, the City entered into an agreement to lease building at the East Side Recycling
Center. The initial term of the lease was for a ten-year term with an extension of up to three additional
five-year terms. The City believes it is more likely than not that the term will be for twenty-five years.
The monthly rent is $1,677.58. The City recognized $12,642 in lease revenue and $7,489 in interest
revenue during the current fiscal year related to this lease. As of June 30, 2022, the City’s receivable for
lease payments was $236,260. The City has a deferred inflow of resources associated with this lease of
$236,260 that will be recognized as revenue over the lease term.
On February 21, 2012, the City entered into an agreement to lease building at the East Side Recycling
Center. The initial term of the lease was for a ten-year term with an extension of up to three additional
five-year terms. The City believes it is more likely than not that the term will be for twenty-five years.
The monthly rent is $322.50. The City recognized $2,430 in lease revenue and $1,440 in interest revenue
during the current fiscal year related to this lease. As of June 30, 2022, the City’s receivable for lease
payments was $45,419. The City has a deferred inflow of resources associated with this lease of $45,419
that will be recognized as revenue over the lease term.
The City has four leases for land use at and around the Airport that were entered into agreement between
February 12, 1991 and November 1, 2018. The initial terms of the leases range between five and eighty
years with two of the agreements having options to extend between five and ten years. The City believes
it is more likely than not that the terms will be between ten and eighty years. The annual rent for all four
of these leases is $17,455. The City recognized $10,295 in lease revenue and $7,160. As of June 30, 2022,
the City’s receivable for lease payments was $224,870. The City has a deferred inflow of resources
associated with these leases of $224,870 that will be recognized as revenue over the lease terms.
The City has seven leases for hangar use at the Airport that were entered into agreement between April
12, 2012 and October 1, 2021. The initial terms of these leases range between one and thirty years with
two of the leases having the option to renew up to another ten years. The City believes it is more likely
than not that the terms will be between one and thirty years. The monthly rent for these leases total
$9,395. The City recognized $77,740 in lease revenue and $12,215. As of June 30, 2022, the City’s
receivable for lease payments was $375,970. The City has a deferred inflow of resources associated with
these leases of $375,970 that will be recognized as revenue over the lease terms.
55
5. Capital Assets
Capital asset activity for the year ended June 30, 2022, was as follows:
Beginning
July 1, 2021
Acquisitions
and
Transfers
Disposals
and
Transfers
Balance
June 30, 2022
Governmental activities:
Capital assets, not being depreciated:
Land 32,821,105$ 54,445$ -$ 32,875,550$
Construction in progress 5,232,848 5,264,477 1,028,780 9,468,544
Total capital assets, not being depreciated 38,053,953 5,318,922 1,028,780 42,344,094
Capital assets, being depreciated:
Buildings 68,133,975 78,265 11,967 68,200,272
Improvements other than buildings 8,026,716 157,259 - 8,183,976
Machinery and equipment 62,688,003 3,755,200 3,558,724 62,884,478
Infrastructure 223,952,969 1,010,136 7,500 224,955,606
Total capital assets being depreciated 362,801,663 5,000,860 3,578,191 364,224,332
Less accumulated depreciation for:
Buildings 31,104,207 1,725,983 11,967 32,818,224
Improvements other than buildings 4,546,769 283,952 - 4,830,720
Machinery and equipment 28,013,106 4,477,570 3,539,616 28,951,058
Infrastructure 58,575,827 4,568,314 7,500 63,136,642
Total accumulated depreciation 122,239,909 11,055,819 3,559,083 129,736,644
Total capital assets, being depreciated, net 240,561,754 (6,054,959) 19,108 234,487,688
Governmental activities capital assets, net 278,615,707$ (736,037)$ 1,047,888$ 276,831,782$
Business-type activities:
Capital assets, not being depreciated:
Land 30,317,185$ -$ -$ 30,317,185$
Construction in progress 3,074,700 9,187,386 2,182,451 10,079,635
Total capital assets, not being depreciated 33,391,885 9,187,386 2,182,451 40,396,820
Capital assets, being depreciated:
Buildings 136,209,406 589,127 - 136,798,532
Improvements other than buildings 11,789,635 20,659 20,659 11,789,633
Machinery and equipment 39,431,103 4,483,937 169,852 43,745,186
Infrastructure 341,927,685 6,446,091 92,830 348,280,947
Total capital assets being depreciated 529,357,829 11,539,814 283,341 540,614,298
Less accumulated depreciation for:
Buildings 74,594,034 3,516,843 - 78,110,878
Improvements other than buildings 8,034,863 421,568 - 8,456,430
Machinery and equipment 24,646,955 1,807,399 143,807 26,310,547
Infrastructure 127,213,149 7,468,471 51,985 134,629,634
Total accumulated depreciation 234,489,001 13,214,281 195,792 247,507,489
Total capital assets, being depreciated, net 294,868,828 (1,674,467) 87,549 293,106,809
Business-type activities capital assets, net 328,260,713$ 7,512,919$ 2,270,000$ 333,503,629$
56
6. Long Term Debt
Changes in Debt for Bonds
Bond debt activity for the year ended June 30, 2022, was as follows:
Depreciation expense was charged to functions as follows:
Governmental activities:
Public safety 1,692,743$
Public works 5,585,639
Culture and recreation 3,290,300
Community and economic development 59,454
General government 427,683
Total depreciation expense - governmental activities 11,055,819$
Business-type activities:
Transit 1,072,150$
Wastewater treatment 4,776,921
Water 2,624,366
Sanitation 802,246
Stormwater 1,425,039
Housing authority 256,410
Nonmajor enterprise 2,257,147
Total depreciation expense - business-type activities 13,214,279$
Due Within
July 1, 2021 Issues Retirements June 30, 2022 One Year
Governmental activities:
General obligation bonds 53,935,000$ 10,255,000$ 10,255,000$ 53,935,000$ 10,125,000$
Plus: Unamortized
Premium 2,750,493 552,661 414,206 2,888,948 399,007
Total general obligation bonds 56,685,493 10,807,661 10,669,206 56,823,948 10,524,007
Revenue bonds 12,805,000 - 965,000 11,840,000 960,000
Less: Unamortized
Discounts 23,364 - 2,124 21,240 21,240
Total revenue bonds 12,781,636 - 962,876 11,818,760 938,760
69,467,129$ 10,807,661$ 11,632,082$ 68,642,708$ 11,462,767$
Business-type activities:
Revenue bonds 11,815,000$ -$ 4,350,000$ 7,465,000$ 3,840,000$
Plus: Unamortized
Premium 427,006 - 246,802 180,204 112,726
Total revenue bonds 12,242,006$ -$ 4,596,802$ 7,645,204$ 3,952,726$
57
General Obligation Bonds
Various issues of general obligation bonds totaling $53,935,000 are outstanding as of June 30, 2022. The
bonds have interest rates ranging from 1.00% to 5.00% and mature in varying annual amounts ranging from
$790,000 to $1,135,000 per issue, with the final maturities due in the year ending June 30, 2032. Interest
and principal payments on all general obligation bonds, except tax abated portions recorded in the enterprise
funds, are accounted for through the Debt Service Fund.
Annual debt service requirements to maturity for general obligation bonds are as follows:
Revenue Bonds
As of June 30, 2022, the following unmatured revenue bond issues are outstanding:
Wastewater Taxable Urban
Treatment Water Renewal
Original issue amount $ 4,550,000 $ 14,510,000 $ 12,805,000
Interest rates 2.0% to 5.0% 1.5% to 5.0% 3.0%
Annual maturities $ 2,085,000 $ 490,000 to $ 725,000 to
$ 1,225,000 $ 960,000
Amount outstanding $ 2,085,000 $ 5,380,000 $ 11,840,000
Revenue bond debt service requirements to maturity are as follows:
Fiscal Year Ending
June 30 Principal Interest
2023 10,125,000$ 1,716,440$
2024 8,680,000 1,381,040
2025 7,625,000 1,105,290
2026 6,855,000 853,478
2027 5,905,000 614,102
2028-2032 14,745,000 958,000
Total 53,935,000$ 6,628,350$
Governmental Activities
Fiscal Year Ending
June 30 Principal Interest Principal Interest
2023 960,000$ 355,200$ 3,840,000$ 149,270$
2024 955,000 326,400 1,745,000 55,825
2025 950,000 297,750 1,325,000 26,081
2026 950,000 269,250 555,000 6,244
2027 825,000 240,750 - -
2028-2032 3,790,000 857,850 - -
2033-2037 3,410,000 259,500 - -
Total 11,840,000$ 2,606,700$ 7,465,000$ 237,420$
Governmental Activities Business-type Activities
58
The revenue bond ordinances required that wastewater treatment, water revenues, and urban renewal tax
revenues be set aside into separate and special accounts as they are received. The use and the amounts to
be included in the accounts are as follows:
Account Amount
(a) Revenue Bond and Interest Amount sufficient to pay current bond and interest maturities.
Sinking Reserve
(b) Revenue Debt Service Reserve Amount required to be deposited in the Revenue Bond and Interest
Reserve until the reserve fund equals: Taxable Urban Renewal
Revenue bonds – maximum debt service due on the bonds in any
succeeding fiscal year. Wastewater Revenue and Water Revenue
bonds – 10% of the original principal amounts of all related bond
issues.
(c) Improvement Reserve $20,000 per month until the reserve balance equals or exceeds
$2,000,000 for Wastewater Revenue bonds and $5,000 per month
until the reserve balance equals or exceeds $450,000 for Water
Revenue bonds, with no further deposits once the minimum
balance is reached. If the reserve falls below the required
minimum, monthly transfers in the aforementioned amounts will
resume.
In fiscal year ended June 30, 2022, the Wastewater Treatment Fund had net revenue of $4,948,000 and the
amount of principal and interest due was $2,813,000. In fiscal year ended June 30, 2022, the Water Fund
had net revenues of $3,719,000 and the amount of principal and interest due was $1,836,000.
59
Summary of Bond Issues
General obligation and revenue bonds payable at June 30, 2022, are comprised of the following issues:
(1) This bond issue is an advance refunding of portions of the September 2006 and May 2007 General
Obligation Bonds.
(2) This bond issue refunded the May 2009 Wastewater Revenue Bonds.
(3) This bond issue refunded the October 2002 Water Revenue Bonds.
(4) This bond issue refunded the October 2008 Water Revenue Bonds.
(5) This bond issued refunded the May 2009 Water Revenue Bonds.
Date of Amount Interest Final Outstanding
Issue Issued Rates Maturity June 30, 2022
General Obligation Bonds:
Multi-Purpose July 2013 7,230,000 1.0 - 2.0 6/23 870,000
Refunded Multi-Purpose (1) June 2014 11,980,000 2.0 - 3.0 6/24 2,030,000
Multi-Purpose June 2015 7,785,000 2.0 - 2.25 6/25 2,560,000
Multi-Purpose June 2016 8,795,000 2.0 - 3.0 6/26 3,995,000
Multi-Purpose June 2017 9,765,000 2.0 - 2.5 6/27 5,145,000
Multi-Purpose June 2018 8,895,000 1.8 - 2.65 6/28 5,565,000
Multi-Purpose June 2019 12,535,000 2.0 - 2.25 6/29 6,580,000
Multi-Purpose June 2020 12,145,000 2.0 - 5.0 6/30 6,745,000
Multi-Purpose June 2021 11,325,000 2.0 - 5.0 6/31 10,190,000
Multi-Purpose June 2022 10,255,000 3.3 - 5.0 6/32 10,255,000
Total General Obligation Bonds 53,935,000$
Date of Amount Interest Final Outstanding
Issue Issued Rates Maturity June 30, 2022
Revenue Bonds:
Refunded Wastewater
Treatment Bonds (2)June 2017 4,550,000 2.0 - 5.0 7/22 2,085,000
Refunded Water Bonds (3)June 2012 4,950,000 1.5 - 2.1 7/22 540,000
Refunded Water Bonds (4)June 2016 3,650,000 1.5 - 5.0 7/24 1,535,000
Refunded Water Bonds (5)June 2017 5,910,000 2.0 - 2.25 7/25 3,305,000
Taxable Urban Renewal Sept. 2016 12,805,000 3.0 6/36 11,840,000
Total Revenue Bonds 19,305,000$
73,240,000$
60
Conduit Debt Obligations
From time to time, the City has issued Industrial Development Revenue Bonds and Midwestern Disaster
Area Revenue Bonds to provide financial assistance to private sector entities for the acquisition,
construction, and renovation of industrial and commercial facilities deemed to be in the public interest. The
bonds are collateralized by the property financed and are payable solely from payments received on the
underlying mortgage loans. All payments on the bonds are made by the private sector entities directly to a
bond trustee, who is a third party financial institution, and in turn, disburses the payment to the respective
bond holders. Neither the City, the State, nor any political subdivision thereof is obligated in any manner
for repayment of the bonds. Accordingly, the bonds are not reported as liabilities in the accompanying
financial statements.
As of June 30, 2022, there were three series of Industrial Development Revenue Bonds outstanding, with
an aggregate principal amount payable of $17,042,263.
Debt Legal Compliance
Legal Debt Margin:
As of June 30, 2022, the general obligation debt issued by the City did not exceed its legal debt limit
computed as follows (amounts expressed in thousands):
Assessed valuation:
Real property $ 6,893,175
Utilities 126,171
Total valuation $ 7,019,346
Debt limit, 5% of total assessed valuation $ 350,967
Debt applicable to debt limit:
General obligation bonds 53,935
Urban renewal revenue bonds 11,840
Notes payable (Note 8) 211
Other legal indebtedness (TIF rebates)(Note 11) 33,765
Total net debt applicable to limit 99,751
Legal debt margin $ 251,216
7. Pension and Retirement Systems
The City contributes to two employee retirement systems, the Municipal Fire and Police Retirement System
of Iowa (MFPRSI) and the Iowa Public Employees Retirement System (IPERS). MFPRSI is governed by
a nine-member Board of Trustees. Though separate and apart from state government, the Board is
authorized by the state legislature, which also establishes by statute the pension and disability benefits and
the System’s funding mechanism. IPERS is administered by the State of Iowa. All full-time employees
must participate in either MFPRSI or IPERS. As of June 30, 2022, the City had the following balances
related to its pension accounts:
For the governmental activities, net pension liability is generally liquidated by the General Fund,
Community Development Block Grant Fund and Other Shared Revenue and Grants Fund.
IPERS MFPRSI Total
Net Pension Liability 554,067$ 7,925,715$ 8,479,782$
Deferred Inflows 20,817,246 14,106,076 34,923,322
Deferred Outflows 4,013,637 4,280,898 8,294,535
Pension Expense (2,024,516) 24,487 (2,000,029)
61
Municipal Fire and Police Retirement System of Iowa (MFPRSI)
Plan Description
MFPRSI membership is mandatory for fire fighters and police officers covered by the provisions of Chapter
411 of the Code of Iowa. Employees of the City are provided with pensions through a cost-sharing multiple
employer defined benefit pension plan administered by MFPRSI. MFPRSI issues a stand-alone financial
report which is available to the public by mail at 7155 Lake Drive, Suite #201, West Des Moines, Iowa
50266 or at www.mfprsi.org.
MFPRSI benefits are established under Chapter 411 of the Code of Iowa and the administrative rules
thereunder. Chapter 411 of the Code of Iowa and the administrative rules are the official plan documents.
The following brief description is provided for general informational purposes only. Refer to the plan
documents for more information.
Pension Benefits
Members with 4 or more years of service are entitled to pension benefits beginning at age 55. Full service
retirement benefits are granted to members with 22 years of service, while partial benefits are available to
those members with 4 to 22 years of service based on the ratio of years completed to years required (i.e.,
22 years). Members with less than 4 years of service are entitled to a refund of their contribution only, with
interest, for the period of employment.
Benefits are calculated based upon the member’s highest 3 years of compensation. The average of these 3
years becomes the member’s average final compensation. The base benefit is 66 percent of the member’s
average final compensation. Additional benefits are available to members who perform more than 22 years
of service (2 percent for each additional year of service, up to a maximum of 8 years). Survivor benefits
are available to the beneficiary of a retired member according to the provisions of the benefit option chosen
plus an additional benefit for each child. Survivor benefits are subject to a minimum benefit for those
members who chose the basic benefit with a 50 percent surviving spouse benefit.
Active members, at least 55 years of age, with 22 or more years of service have the option to participate in
the Deferred Retirement Option Program (DROP). The DROP is an arrangement whereby a member who
is otherwise eligible to retire and commence benefits opts to continue to work. A member can elect a 3, 4,
or 5 year DROP period. By electing to participate in DROP the member is signing a contract indicating the
member will retire at the end of the selected DROP period. During the DROP period the member’s
retirement benefit is frozen and a DROP benefit is credited to a DROP account established for the member.
Assuming the member completes the DROP period, the DROP benefit is equal to 52% of the member’s
retirement benefit at the member’s earliest date eligible and 100% if the member delays enrollment for 24
months. At the member’s actual date of retirement, the member’s DROP account will be distributed to the
member in the form of a lump sum or rollover to an eligible plan.
Disability and Death Benefits
Disability coverage is broken down into two types, accidental and ordinary. Accidental disability is defined
as permanent disability incurred in the line of duty, with benefits equivalent to the greater of 60 percent of
the member’s average final compensation or the member’s service retirement benefit calculation amount.
Ordinary disability occurs outside the call of duty and pays benefits equivalent to the greater of 50 percent
of the member’s average final compensation, for those with 5 or more years of service, or the member’s
service retirement benefit calculation amount, and 25 percent of average final compensation for those with
less than 5 years of service.
Death benefits are similar to disability benefits. Benefits for accidental death are 50 percent of the average
final compensation of the member plus an additional amount for each child, or the provisions for ordinary
death. Ordinary death benefits consist of a pension equal to 40 percent of the average final compensation
of the member plus an additional amount for each child, or a lump-sum distribution to the designated
beneficiary equal to 50 percent of the previous year’s earnable compensation of the member or equal to the
amount of the member’s total contributions plus interest.
62
Benefits are increased annually in accordance with Chapter 411.6 of the Code of Iowa which states a
standard formula for the increases.
The surviving spouse or dependents of an active member who dies due to a traumatic personal injury
incurred in the line of duty receives a $100,000 lump-sum payment.
Contributions
Member contribution rates are set by state statute. In accordance with Chapter 411 of the Code of Iowa,
the contribution rate was 9.40% of earnable compensation for the year ended June 30, 2022.
Employer contribution rates are based upon an actuarially determined normal contribution rate and set by
state statute. The required actuarially determined contributions are calculated on the basis of the entry age
normal method as adopted by the Board of Trustees as permitted under Chapter 411 of the Code of Iowa.
The normal contribution rate is provided by state statute to be the actuarial liabilities of the plan less current
plan assets, with such total divided by 1 percent of the actuarially determined present value of prospective
future compensation of all members, further reduced by member contributions and state appropriations.
Under the Code of Iowa the employer’s contribution rate cannot be less than 17.00% of earnable
compensation. The contribution rate was 26.18% for the year ended June 30, 2022.
The City’s contributions to MFPRSI for the year ended June 30, 2022, was $2,987,850.
If approved by the state legislature, state appropriation may further reduce the employer’s contribution rate,
but not below the minimum statutory contribution rate of 17.00% of earnable compensation. The State of
Iowa therefore is considered to be a nonemployer contributing entity in accordance with the provisions of
the Governmental Accounting Standards Board Statement No. 67 – Financial Reporting for Pension Plans,
(GASB 67).
There were no state appropriations to MFPRSI during the fiscal year ended June 30, 2022.
Net Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred
Inflows of Resources Related to Pensions
At June 30, 2022, the City reported a liability of $7,925,715 for its proportionate share of the net pension
liability. The net pension liability was measured as of June 30, 2021, and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of that date. The City’s
proportion of the net pension liability was based on the City’s share of contributions to the pension plan
relative to the contributions of all MFPRSI participating employers. At June 30, 2021, the City’s proportion
was 3.529220% which was a decrease of 0.091859% from its proportions measured as of June 30, 2020.
63
For the year ended June 30, 2022, the City recognized pension expense of $24,487. At June 30, 2022, the
City reported deferred outflows of resources and deferred inflows of resources related to pensions from the
following sources:
$2,987,850 reported as deferred outflows of resources related to pensions resulting from City contributions
subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year
ended June 30, 2023. Other amounts reported as deferred outflows of resources and deferred inflows of
resources related to pensions will be recognized in pension expense as follows:
Actuarial Assumptions
The total pension liability in the June 30, 2021, actuarial valuation was determined using the following
actuarial assumptions, applied to all periods included in the measurement:
Total
City contributions subsequent to the measurement
date 2,987,850
4,280,898$ 14,106,076$
-
Change of assumptions
Deferred Outflows of
Resources
919,364$
298,501
Differences between expected and actual
experience
Deferred Inflows of
Resources
89,196$
-
-
75,183
13,242,902
773,978
Net difference between projected and actual
earnings on pension plan investments
Changes in proportion and differences between
City contributions and proportionate share of
contributions
Year Ended
June 30, 2023
June 30, 2024
June 30, 2025
June 30, 2026
June 30, 2027
(4,205,336)
(3,751)
Total
(12,813,028)$
(3,245,683)
(2,590,891)$
(2,767,367)
Rate of inflation 3.00 percent per annum
Salary increases 3.75 to 15.11 percent, including inflation
Investment rate of return 7.50 percent, net of pension plan investment
expens e, including inflation
64
The actuarial assumptions used in the June 30, 2021 valuation were based on the results of an actuarial
experience study for the period from July 1, 2007 to June 30, 2017.
Postretirement mortality rates were based on the RP-2014 Blue Collar Combined Healthy Annuitant Table
with males set-forward zero years, females set-forward two years and disabled individuals set-forward three
years (male only rates), with generational projection of future mortality improvement with 50 percent of
Scale BB beginning in 2017.
The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best-estimate ranges of expected future real rates (i.e., expected returns, net of pension
plan investment expense and inflation) are developed for each major asset class. These ranges are combined
to produce the long-term expected rate of return by weighting the expected future real rates of return by the
target asset allocation percentage and by adding expected inflation. The best estimates of geometric real
rates of return for each major asset class are summarized in the following table:
Discount Rate
The discount rate used to measure the total pension liability was 7.5%. The projection of cash flows used
to determine the discount rate assumed that plan member contributions will be made at the current
contribution rate and the City contributions will be made at rates equal to the difference between actuarially
determined rates and the member rate. Based on those assumptions, the pension plan’s fiduciary net
position was projected to be available to make all projected future benefit payments of current plan
members. Therefore, the long-term expected rate of return on pension plan investments was applied to all
periods of projected benefit payments to determine the total pension liability.
Sensitivity of City’s Proportionate Share of the Net Pension Liability to Changes in the Discount
Rate
The following presents the City’s proportionate share of the net pension liability calculated using the
discount rate of 7.5%, as well as what the city’s proportionate share of the net pension liability would be if
it were calculated using a discount rate that is 1% lower (6.5%) or 1% higher (8.5%) than the current rate.
Asset Class
Core Plus Fixed Income 4.0 %
Emerging Markets 7.9
Large Cap 7.49
Small Cap 8.1
Global infrastructure 7.5
International Large Cap 7.2
Private Credit 6.4
Private Equity 10.8
Private Non-Core Real Estate 11.5
Private Core Real Estate 7.2
Long-Term Expected
Real Rate of Return
1% Decrease
(6.5%)
Discount Rate
(7.5%)
1% Increase
(8.5%)
City's proportionate share of
the net pension liability:23,453,853$ 7,925,715$ (4,961,742)$
65
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s fiduciary net position is available in the separately issued
MFPRSI financial report which is available on MFPRSI’s website at www.mfprsi.org.
Payables to the Pension Plan
At June 30, 2022, there were no amounts due to MFPRSI.
Iowa Public Employees Retirement System (IPERS)
Plan Description
IPERS membership is mandatory for employees of the City, except for those covered by another retirement
system. Employees of the City are provided with pensions through a cost-sharing multiple employer
defined benefit pension plan administered by IPERS. IPERS issues a stand-alone financial report which is
available to the public by mail at 7401 Register Drive P.O. Box 9117, Des Moines, Iowa 50306-9117 or at
www.ipers.org.
IPERS benefits are established under Iowa Code chapter 97B and the administrative rules thereunder.
Chapter 97B and the administrative rules are the official plan documents. The following brief description
is provided for general informational purposes only. Refer to the plan documents for more information.
Pension Benefits
A regular member may retire at normal retirement age and receive monthly benefits without an early-
retirement reduction. Normal retirement age is age 65, any time after reaching age 62 with 20 or more
years of covered employment, or when the member’s years of service plus the member’s age at the last
birthday equals or exceeds 88, whichever comes first. (These qualifications must be met on the member’s
first month of entitlement to benefits.) Members cannot begin receiving retirement benefits before age 55.
The formula used to calculate a Regular member’s monthly IPERS benefit includes:
• A multiplier (based on years of service).
• The member’s highest five-year average salary. (For members with service before June 30, 2012,
the highest three-year average salary as of that date will be used if it is greater than the highest five-
year average salary.)
If a member retires before normal retirement age, the member’s monthly retirement benefit will be
permanently reduced by an early-retirement reduction. The early-retirement reduction is calculated
differently for service earned before and after July 1, 2012. For service earned before July 1, 2012, the
reduction is 0.25 percent for each month that the member receives benefits before the member’s earliest
normal retirement age. For service earned starting July 1, 2012, the reduction is 0.50 percent for each
month that the member receives benefits before age 65.
Generally, once a member selects a benefit option, a monthly benefit is calculated and remains the same
for the rest of the member’s lifetime. However, to combat the effects of inflation, retirees who began
receiving benefits prior to July 1990 receive a guaranteed dividend with their regular November benefit
payments.
Disability and Death Benefits
A vested member who is awarded federal Social Security disability or Railroad Retirement disability
benefits is eligible to claim IPERS benefits regardless of age. Disability benefits are not reduced for early
retirement. If a member dies before retirement, the member’s beneficiary will receive a lifetime annuity or
a lump-sum payment equal to the present actuarial value of the member’s accrued benefit or calculated with
a set formula, whichever is greater. When a member dies after retirement, death benefits depend on the
benefit option the member selected at retirement.
66
Contributions
Contribution rates are established by IPERS following the annual actuarial valuation, which applies IPERS’
Contribution Rate Funding Policy and Actuarial Amortization Method. Statute limits the amount rates can
increase or decrease each year to 1 percentage point. IPERS Contribution Rate Funding Policy requires
that the actuarial contribution rate be determined using the “entry age normal” actuarial cost method and
the actuarial assumptions and methods approved by the IPERS Investment Board. The actuarial
contribution rate covers normal cost plus the unfunded actuarial liability payment based on a 30-year
amortization period. The payment to amortize the unfunded actuarial liability is determined as a level
percentage of payroll, based on the Actuarial Amortization Method adopted by the Investment Board.
In fiscal year 2022, pursuant to the required rate, Regular members contributed 6.29% of pay and the City
contributed 9.44% for a total rate of 15.73%.
The City’s total contributions to IPERS for the year ended June 30, 2022 were $3,186,195.
Net Pension Liabilities, Pension Expense, and Deferred Outflows of Resources and Deferred
Inflows of Resources Related to Pensions
At June 30, 2022, the City reported a liability of $554,067 for its proportionate share of the net pension
liability. The net pension liability was measured as of June 30, 2021, and the total pension liability used to
calculate the net pension liability was determined by an actuarial valuation as of that date. The City’s
proportion of the net pension liability was based on the City’s share of contributions to the pension plan
relative to the contributions of all IPERS participating employers. At June 30, 2021, the City’s proportion
was 0.395223% which was a decrease of 0.002324% from its proportions measured as of June 30, 2020.
For the year ended June 30, 2022, the City recognized pension expense of -$2,024,516. At June 30, 2022,
the City reported deferred outflows of resources and deferred inflows of resources related to pensions from
the following sources:
Total 20,817,246$
Change of assumptions 362,407 -
Net difference between projected and actual
earnings on pension plan investments - 20,074,776
Changes in proportion and differences between
City contributions and proportionate share of
contributions 43,467
City contributions subsequent to the measurement
date 3,186,195
4,013,637$
319,191
-
Deferred Inflows of
Resources
Deferred Outflows of
Resources
Differences between expected and actual
experience 421,568$ 423,279$
67
$3,186,195 reported as deferred outflows of resources related to pensions resulting from City contributions
subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year
ended June 30, 2023. Other amounts reported as deferred outflows of resources and deferred inflows of
resources related to pensions will be recognized in pension expense as follows:
Actuarial Assumptions
The total pension liability in the June 30, 2021, actuarial valuation was determined using the following
actuarial assumptions, applied to all periods included in the measurement:
The actuarial assumptions used in the June 30, 2021, valuation were based on the results of economic
assumption study dated March 24, 2017 and a demographic assumption study dated June 28, 2018.
Mortality rates were based on the RP-2014 Employee and Healthy Annuitant Tables with MP-2017
generational adjustments.
Year Ended
June 30, 2023
June 30, 2024
June 30, 2025
June 30, 2026
June 30, 2027 25,119
Total
(4,618,839)
(5,492,497)
(4,931,969)$
(4,971,618)
(19,989,804)$
Rate of inflation 2.60% per annum
(effective June 30, 2017)
Salary increases 3.25 to 16.25%, average, including inflation. Rates vary by
(effective June 30, 2017)membership group.
7.00% compounded annually, net of pension plan investment
(effective June 30, 2017)expense, including inflation
3.25% per annum based on 2.60% inflation and 0.65%
(effective June 30, 2017)real wage inflation
Wage growth
Investment rate of return
68
The long-term expected rate of return on pension plan investments was determined using a building-block
method in which best-estimate ranges of expected future real rates (i.e., expected returns, net of pension
plan investment expense and inflation) are developed for each major asset class. These ranges are combined
to produce the long-term expected rate of return by weighting the expected future real rates of return by the
target asset allocation percentage and by adding expected inflation. The target allocation and best estimates
of arithmetic real rates of return for each major asset class are summarized in the following table:
Discount Rate
The discount rate used to measure the total pension liability was 7.0%. The projection of cash flows used
to determine the discount rate assumed employee contributions will be made at the contractually required
rate and that the contributions from the City will be made at contractually required rates, actuarially
determined. Based on those assumptions, the pension plan’s fiduciary net position was projected to be
available to make all projected future benefit payments to current active and inactive employees. Therefore,
the long-term expected rate of return on pension plan investments was applied to all periods of projected
benefit payments to determine the total pension liability.
Sensitivity of City’s Proportionate Share of the Net Pension Liability to Changes in the Discount
Rate
The following presents the City’s proportionate share of the net pension liability calculated using the
discount rate of 7.0%, as well as what the city’s proportionate share of the net pension liability would be if
it were calculated using a discount rate that is 1% lower (6.0%) or 1% higher (8.0%) than the current rate.
Pension Plan Fiduciary Net Position
Detailed information about the pension plan’s fiduciary net position is available in the separately issued
IPERS financial report which is available on IPERS’ website at www.ipers.org.
Payables to the Pension Plan
At June 30, 2022, there were no amounts due to IPERS.
Asset Class
Core Plus Fixed Income 26.0 %0.29 %
D omestic Equity 22.0 4.43
International Equity 17.5 6.01
Private Equity 13.0 9.51
Private Real Assets 7.5 4.63
Global Smart Beta Equity 6.0 5.1
Public Credit 4.0 2.08
Private Credit 3.0 2.87
Cash 1.0 (0.25)
Total 100.0 %
Long-Term Expected
Real Rate of ReturnTarget Allocation
1% Decrease
(6.0%)
Discount Rate
(7.0%)
1% Increase
(8.0%)
City's proportionate share of
the net pension liability:19,610,271$ 554,067$ (15,416,242)$
69
8. Other Long-term Liabilities
A note payable was issued to Greater Iowa City Housing Fellowship for the purchase of an 11 unit
apartment building for low income and disabled housing in the Peninsula Neighborhood. The terms of the
loan are 1%, interest only payments for twenty years with a final balloon payment of $210,784 due on
August 1, 2025.
For the governmental activities, employee vested benefits are generally liquidated by the General Fund,
Community Development Block Grant Fund and Other Shared Revenue and Grants Fund.
In August 1993, the GASB issued Statement No. 18, Accounting for Municipal Solid Waste Landfill
Closure and Post-closure Care Costs (the Statement). Under these rules, in addition to operating expenses
related to current activities of the landfill, an expense provision and related liability are being recognized
based on the future closure and post-closure care costs that will be incurred near or after the date the landfill
no longer accepts waste. The recognition of these landfill closure and post-closure care costs is based on
the amount of the landfill used during the year.
Changes in Long-Term Liabilities - Notes Payable
Note Payable activity for the year ended June 30, 2022, was as follows:
Due Within
July 1, 2021 Issues Retirements June 30, 2022 One Year
Governmental activities: $ 210,784 -$ -$ 210,784$ -$
Changes in Long-Term Liabilities - Employee Vested Benefits
Employee Vested Benefits activity for the year ended June 30, 2022, was as follows:
Due Within
July 1, 2021 Issues Retirements June 30, 2022 One Year
Governmental activities: $ 2,750,329 1,382,626$ 1,545,831$ 2,587,124$ 1,460,085$
Business-type activities: $ 887,155 465,725$ 518,278$ 834,602$ 489,507$
Changes in Long-Term Liabilities - Landfill Closure Post-closure Care Costs
Landfill Closure Post-closure care activity for the year ended June 30, 2022, was as follows:
Due Within
July 1, 2021 Issues Retirements June 30, 2022 One Year
Business-type activities: $ 11,246,190 $ 980,798 -$ $ 12,226,988 -$
70
The estimated liability for landfill closure and post-closure care costs as of June 30, 2022, is $12,226,988,
which is based on 56.8% usage (filled) of the landfill and is included in accrued liabilities within the
Sanitation Fund. It is estimated that an additional amount of approximately $9,299,400 will be recognized
as closure and post-closure care expenses between the date of the balance sheet and the date the landfill is
expected to be filled to capacity by the year ended June 30, 2039. The estimated total current cost of the
landfill closure and post-closure care costs at June 30, 2022, was determined by a licensed professional
engineer and approximated at $21,526,388. It is based on the amount that would be paid if all equipment,
facilities, and services required to close, monitor, and maintain the landfill were acquired as of June 30,
2022. These amounts are based on an estimated post-closure care and monitoring period of 30 years,
consistent with current State Department of Natural Resources regulations. However, the actual cost of
closure and post-closure care may be higher due to inflation, changes in technology, or changes in landfill
laws and regulations.
The City is required by federal and state laws and regulations to provide some form of financial assurance
to finance closure and post-closure care. The City will meet its financial assurance obligations through the
issuance of general obligation bonds. As of June 30, 2022, the Sanitation Fund had $14,993,095 in related
equity in pooled cash and investments, at fair value designated for satisfaction of closure and post-closure
costs. The City estimates that these cash reserves will only provide a fraction of the dollars needed to close
and monitor the landfill. The remaining portion of post-closure care costs, anticipated future inflation costs
and additional costs that might arise from changes in post-closure requirements (due to changes in
technology or more rigorous environmental regulations, for example) may need to be covered by charges
to future landfill users as well as City taxpayers.
Changes in Long-Term Liabilities – Other Postemployment Benefits (OPEB)
Plan Description: The City operates a single-employer self-funded medical and dental plan for all
employees, which is offered to current and retired employees and their dependents. Group insurance
benefits are established under Iowa Code Chapter 509A.13. No assets are accumulated in a trust that meets
the criteria in paragraph 4 of GASB Statement No. 75.
All full-time employees who retire or terminate/resign and their eligible dependents are offered the
following post-employment benefit options:
Health insurance and dental insurance – The option of continuing with the City’s health insurance plan
at the individual’s expense. These benefits cease upon Medicare eligibility.
Life insurance – The option of converting the employee’s City-paid policy to an individual policy at
the individual’s expense with the City’s life insurance carrier.
Long-term disability – For employees who terminate/resign and have been on the plan for a minimum
of one year, the option of converting the employee’s City-paid group policy to a personal policy at the
individual’s expense with the City’s long-term disability insurance carrier.
The above options, while at the individual’s own expense, are included within the City’s overall insurance
package, which results in an implicit rate subsidy and an OPEB liability.
Retired participants must be age 55 or older at retirement. At June 30, 2022, the following employees were
covered by the benefit terms:
Total OPEB Liability: The City’s total OPEB liability of $8,123,615 was measured as of June 30, 2022
and was determined by an actuarial valuation as of that date.
Inactive employees or beneficiaries currently receiving benefit payments 60
Active employees 557
Total 617
71
Actuarial Assumptions: The total OPEB liability in the June 30, 2022 actuarial valuation was determined
using the following actuarial assumptions and the entry age normal actuarial cost method, applied to all
periods included in the measurement.
Discount Rate: The discount rate used to measure the total OPEB liability was 4.09% which reflects the
index rate for 20-year tax-exempt general obligation municipal bonds with an average rating of AA/Aa or
higher as of the measurement date.
Mortality rates for general participants are from the SOA Pub-2010 General Headcount Weighted Mortality
Table fully generational using Scale MP-2021. Mortality rates for public safety participants are from the
SOA Pub-2010 Public Safety Headcount Weighted Mortality Table fully generational using Scale MP-
2021. Mortality rates for surviving spouses are from the SOA Pub-2010 Continuing Survivor Headcount
Weighted Mortality Table fully generational using Scale MP-2021. Annual retirement probabilities are
based on varying rates by age and turnover probabilities mirror those used by IPERS and MFPRSI.
The actuarial assumptions used in the June 30, 2022 valuation were based on the results of an actuarial
experience study with dates corresponding to those listed above.
Changes of assumptions reflect a change in the discount rate from 2.19% in fiscal year 2021 to 4.09% in
fiscal year 2022.
Rate of inflation 2.60% per annum
(effective June 30, 2022)
Rates of salary increases 3.25% per annum based on 2.60% inflation and 0.65%
(effective June 30, 2022)real wage inflation
Discount rate 4.09%, compounded annually, including inflation
(effective June 30, 2022)
Healthcare cost trend rate 7.50% initial rate decreasing by .5% annually to an ultimate
(effective June 30, 2022)rate of 4.50%
Total OPEB
Liability
Total OPEB liability beginning of year 9,697,868$
Change s for the year:
Service Cost 822,682
Interest 225,747
Difference between expected and actual
experience (253,676)
Changes in assumptions (1,941,764)
Benefit payments (427,242)
Net changes (1,574,253)
Total OPEB liability end of year 8,123,615$
72
Sensitivity of the City’s Total OPEB Liability to Changes in the Discount Rate: The following presents
the total OPEB liability of the City, as well as what the City’s total OPEB liability would be if it were
calculated using a discount rate that is 1% lower (3.09%) or 1% higher (5.09%) than the current discount
rate.
Sensitivity of the City’s Total OPEB Liability to Changes in the Healthcare Cost Trend Rate: The
following presents the total OPEB liability of the City, as well as what the City’s total OPEB liability would
be if it were calculated using healthcare cost trend rate that is 1% lower (6.50%) or 1% higher (8.50%) than
the current healthcare cost trend rate.
OPEB Expense, Deferred Outflows of Resources and Deferred Inflows of Resources Related to
OPEB: For the year ended June 30, 2022, the City recognized OPEB expense of $1,047,954. At June 30,
2022, the City reported deferred outflows of resources and deferred inflows of resources related to OPEB
from the following resources:
The amount reported as deferred outflows of resources and deferred inflows of resources related to OPEB
will be recognized as OPEB expense as follows:
For the governmental activities, OPEB liability is generally liquidated by the General Fund, Community
Development Block Grant Fund and Other Shared Revenue and Grants Fund
1% Decrease
(3.09%)
Discount Rate
(4.09%)
1% Increase
(5.09%)
Total OPEB liability 8,710,490$ 8,123,615$ 7,568,034$
1% Decrease
(6.5%)
Healthcare Cost
Trend Rate (7.5%)
1% Increase
(8.50%)
Total OPEB liability 7,254,503$ 8,123,615$ 9,145,288$
Total
Differences between expected and actual
experience 1,063,755$ (754,601)$
Change of assumptions 870,506 (1,805,413)
1,934,261$ (2,560,014)$
Deferred Outflows
of Resources
Deferred Inflows
of Resources
Year Ended
June 30, 2023
June 30, 2024
June 30, 2025
June 30, 2026
June 30, 2027
Thereafter
Total
(475)$
(475)
(475)
(475)
(623,383)
(470)
(625,753)$
73
9. Fund Equity
Fund balances for the governmental funds are reported in classifications that comprise a hierarchy based
on the extent to which the government honors constraints on the specific purposes for which amounts in
those funds can be spent.
• The Nonspendable classification contains amounts not in spendable form or legally or contractually
required to be maintained intact.
• Restricted amounts contain restraint on their use externally imposed by creditors, grantors,
contributors, or laws or regulations of other governments; or imposed by law through constitutional
provisions or enabling legislation.
• Committed amounts can only be used for specific purposes imposed by formal action of the
government’s highest level of decision-making authority. The highest level of decision-making
authority is the City Council and it takes a resolution to establish, modify or rescind a fund balance
commitment.
• Amounts intended to be used for specific purposes are Assigned. Assignments should not cause
deficits in the Unassigned fund balance. The Finance Director has been delegated authority by the
City Council through a resolution to assign amounts to be used for specific purposes.
• Unassigned fund balance is the residual classification for the General Fund. The General Fund is
the only fund that would report a positive amount in unassigned fund balance. Residual deficit
amounts of other governmental funds would also be reported as unassigned.
The City would use Restricted fund balances first, followed by Committed resources, and then Assigned
resources, as appropriate opportunities arise, but reserves the right to selectively spend Unassigned
resources first to defer the use of these other classified funds.
Components of Fund Balance
Bridge,
Other Street and
Shared Traffic Other
Revenue and Employee Other Control Debt Governmental
Round to nearest $General Grants Benefits Construction Construction Service Funds Total
Nonspendable:
Perpetual Care Principal 69,000$ -$ -$ -$ -$ -$ -$ 69,000$
Inventory - 243,488 - - - - - 243,488
Property Held for Resale 1,819,605 - - - - - - 1,819,605
Total Nonspendable 1,888,605 243,488 - - - - - 2,132,093
Restricted for:
Public Safety 435,267 - - - - - - 435,267
Debt Service - - - - - 7,362,448 - 7,362,448
GO Bond Projects - - - 9,756,915 19,093,519 - - 28,850,434
State Funding - 5,087,054 - - - - - 5,087,054
Grant Agreement - - - - - - 3,087,173 3,087,173
Affordable Housing - 5,281,899 - - - - - 5,281,899
Economic Development - - - - - - 1,227,940 1,227,940
Notes Receivable 976,129 - - - - - - 976,129
Public Safety Employee
Benefits - - 4,130,695 - - - - 4,130,695
Other Restricted 603,631 1,783,753 - - - - 534,206 2,921,590
Total Restricted 2,015,027 12,152,706 4,130,695 9,756,915 19,093,519 7,362,448 4,849,319 59,360,629
Assigned to:
Library Programs 1,283,827 - - - - - - 1,283,827
Replacement and Acquisition
Reserves 13,567,665 - - - - - - 13,567,665
Other Assigned 820 - - - - - - 820
Total Assigned 14,852,312 - - - - - - 14,852,312
Unassigned:40,073,824 - - - - - (416,785) 39,657,039
Total Fund Balances 58,829,768$ 12,396,194$ 4,130,695$ 9,756,915$ 19,093,519$ 7,362,448$ 4,432,534$ 116,002,073$
74
10. Risk Management
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets;
workplace accidents, errors and omissions; and natural disasters. During fiscal year 1988 the City
established the Loss Reserve Fund, an internal service fund, to account for and finance its uninsured risks
of loss. During the year ended June 30, 2022 the City purchased property, liability, and workers’
compensation insurance under the program that provides for a $100,000 self-insured retention per
occurrence on property losses, a $500,000 self-insured retention per occurrence on liability, and a zero self-
insured retention on workers’ compensation losses for all employees except Fire Department employees.
Workers compensation losses for Fire Department employees are fully self-funded. The liability insurance
provides coverage for claims in excess of the aforementioned self-insured retention up to a maximum of
$21,000,000 annual aggregate of losses paid. Settled claims have not exceeded this commercial coverage
in any of the past three fiscal years. The operating funds pay annual premiums to the Loss Reserve Fund.
Accumulated monies in the Loss Reserve Fund are available to cover the self-insured retention amounts
and any uninsured losses.
The Housing Authority Fund is insured under a separate policy with the Assisted Housing Risk
Management Association. The remaining funds participate in the Loss Reserve Fund. The funds make
payments to the Loss Reserve Fund based on actuarial estimates of the amounts needed to pay prior- and
current-year claims and to establish a reserve for catastrophic losses. The Fund’s accrued liabilities balance
includes a claims liability at June 30, 2022 based on the requirements of GASB Statement No. 10, as
amended, which requires that a liability for claims be reported if information prior to the issuance of the
financial statements indicates that it is probable that a liability has been incurred at the date of the financial
statements and the amount of the loss can be reasonably estimated. Changes in the Loss Reserve Fund’s
claims liability amount for property, liability, and workers’ compensation for the years ended June 30, 2022
and 2021 are as follows:
Current-Year
Beginning-of- Claims and Balance at
Fiscal-Year Changes in Claim Fiscal
Liability Estimates Payments Year-End
2020 - 2021 $ 2,561,000 $ 2,562,000 $ 1,850,000 $ 3,273,000
2021 - 2022 3,273,000 (455,000) 76,000 2,741,000
Also, the City is partially self-insured, through stop-loss insurance, for employee health care coverage,
which is available to all of its permanent employees. This insurance provides stop-loss coverage for claims
in excess of $125,000 per employee with an aggregate stop-loss of $13,861,923. The operating funds are
charged premiums by the Loss Reserve Fund. The City reimburses a health insurance provider for actual
medical costs incurred, plus a claims processing\administrative fee. Changes in the Loss Reserve Fund’s
claims liability amount for health care coverage for the years ended June 30, 2022 and 2021 are as follows:
Current-Year
Beginning-of- Claims and Balance at
Fiscal-Year Changes in Claim Fiscal
Liability Estimates Payments Year-End
2020 - 2021 $ 1,069,000 $ 9,900,000 $ 10,511,000 $ 458,000
2021 - 2022 458,000 9,438,000 9,313,000 583,000
75
11. Commitments and Contingencies
Contractual Commitments
Developer Commitments
In order to encourage development within designated TIF districts, the City Council has approved developer
grants to 8 different projects. The grants are to be paid only after certain conditions have been met by each
project developer, and are to be paid over many years in the form of a rebate of a predetermined percentage
of future property taxes generated by the property. Currently, it is estimated that outstanding commitments
totaling $33,764,981 exist, of which $2,021,648 is expected to be paid in the next fiscal year. These items
are expensed in the period in which they are paid. There were payments made in the current fiscal year in
the amount of $2,428,574. No liability is recognized due to the fact that the agreements are conditional and
the payments are to be funded by future property taxes receivable on the project.
12. Contingent Liabilities
Litigation
The City is a defendant in a number of lawsuits arising principally from claims against the City for alleged
improper actions by City employees, with such lawsuits typically involving claims of improper police
action, unlawful taking of property by zoning, negligence, appeals of condemnations, and discrimination.
Total damages claimed are substantial; however, it has been the City’s experience that such actions are
The total outstanding contractual commitments as of June 30, 2022 are as follows:
Project Amount
Bridge, street and traffic Paving and Bridge Construction,
contr ol construction Engineering Design and Consulting 11,811,589$
Other construction Public Works & Culture and Recreation Construction 5,229,638
Parking Parking Facility Restoration Repair 641,727
Wastewater Sewer Construction & Influent Rake Replacement 2,466,541
Water Water Construction & Peninsula Well Field Power
Redundancy Project 373,281
Tra nsit Transit Bus Sign Replacements/Transit Amenities 249,470
Airport Runway Obstruction Mitigation & Runway Relocation 541,561
Landfill
Lanfill Facility Replacement and Landfill Gas
Infrastructure 173,778
Stormwater Stormwater System Improvements & Storm Sewer 330,923
Replacements
21,818,508$
Fund
76
settled for amounts substantially less than claimed amounts. The City’s management estimates that the
potential claims against the City, not covered by various insurance policies, would not materially affect the
financial condition of the City. The City has the authority to levy additional taxes (outside the regular limit)
to cover uninsured judgments against the City.
13. Tax Abatements
Governmental Accounting Standards Board Statement No. 77 defines tax abatements as a reduction in tax
revenues that results from an agreement between one or more governments and an individual or entity in
which (a) one or more governments promise to forgo tax revenues to which they are otherwise entitled and
(b) the individual or entity promises to take a specific action after the agreement has been entered into that
contributes to economic development or otherwise benefits the governments or the citizens of those
governments.
City Tax Abatements
The City provides tax abatements for urban renewal and economic development projects with tax increment
financing as provided for in Chapters 15A and 403 of the Code of Iowa. For these types of projects, the
City enters into agreements with developers which require the City, after developers meet the terms of the
agreements, to rebate a portion of the property tax paid by the developers, to pay the developers an economic
development grant or to pay the developers a predetermined dollar amount. No other commitments were
made by the City as part of these agreements.
For the year ended June 30, 2022, $969,017 of property tax was diverted from the City under the urban
renewal and economic development projects.
Tax Abatements of Other Entities
Property tax revenues of the City were not reduced by any amount for the year ended June 30, 2022 under
agreements entered into by any entities.
14. New Governmental Accounting Standards Board (GASB) Standards
Governmental Accounting Standards Board Statement No. 87, Leases, was implemented as of the
beginning o the year ended June 30, 2022. The requirements of this statement apply to financial statements
of all state and local governments and establishes standards of accounting and financial reporting for leases
by lessees and lessors. Beginning net position/fund balance was not affected by the implementation of
Statement No. 87 by the City, however, the City recognized $2,528,000 in lease receivable and $2,528,000
in deferred inflows of resources as of June 30, 2022 and recognized lease revenue and interest revenue as
disclosed in Note 4.
The Governmental Accounting Standards Board (GASB) has issued six statements not yet implemented by
the City. The statements, which might impact the City’s financial statements, are as follows:
Statement No. 91, Conduit Debt Obligations, will be effective for fiscal year ending June 30, 2023. The
objectives of this Statement are to provide a single method of reporting conduit debt obligations by
issuers and eliminate diversity in practice associated with (1) commitments extended by issuers, (2)
arrangements associated with conduit debt obligations, and (3) related note disclosures.
Statement No. 94, Public-Private and Public-Public Partnerships and Availability Payment Arrangements,
will be effective for fiscal year ending June 30, 2023. The primary objective of this Statement is to
improve financial reporting by addressing issues related to public-private and public-public partnership
arrangements (PPPs).
77
Statement No. 96, Subscription-Based Information Technology Arrangements, will be effective for fiscal
year ending June 30, 2023. This Statement provides guidance on the accounting and financial reporting
for subscription-based information technology arrangements (SBITAs) for government end users
(governments).
Statement No. 99, Omnibus 2022, will be effective for fiscal year ending June 30, 2023. The objectives of
this Statement are to enhance comparability in accounting and financial reporting and to improve the
consistency of authoritative literature by addressing (1) practice issues that have been identified during
implementation and application of certain GASB Statements and (2) accounting and financial reporting
for financial guarantees.
Statement No. 100, Accounting Changes and Error Corrections – an Amendment of GASB Statement No.
62, will be effective for fiscal year ending June 30, 2024. The primary objective of this Statement is to
enhance accounting and financial reporting requirements for accounting changes and error corrections to
provide more understandable, reliable, relevant, consistent, and comparable information for making
decisions or assessing accountability.
Statement No. 101, Compensated Absences, will be effective for fiscal year ending June 30, 2025. The
objective of this Statement is to better meet the information needs of financial statement users by updating
the recognition and measurement guidance for compensated absences. That objective is achieved by
aligning the recognition and measurement guidance under a unified model and by amending certain
previously required disclosures.
The City’s management has not yet determined the effect these statements will have on the City’s financial
statements.
78
3279
Governmental
Fund Types Enterprise Fund
Actual Budgetary Types Actual Total Actual
Basis Budgetary Basis Budgetary Basis
Revenues:
Property taxes 66,604$ -$ 66,604$
Delinquent property taxes - - -
Tax increment financing taxes 4,016 - 4,016
Other city taxes 3,599 - 3,599
Special assessments - - -
Licenses and permits 2,787 12 2,799
Intergovernmental 34,212 21,301 55,513
Charges for services 6,269 41,886 48,155
Use of money and property 1,079 1,190 2,269
Miscellaneous 3,552 1,046 4,598
Total revenues 122,118 65,435 187,553
Expenditures/Expenses:
Public safety 27,028 - 27,028
Public works 11,016 - 11,016
Health and social services 650 - 650
Culture and recreation 15,681 - 15,681
Community and economic development 12,416 - 12,416
General government 10,251 - 10,251
Debt service 13,186 - 13,186
Capital outlay 19,678 - 19,678
Business-type - 65,223 65,223
Total expenditures/expenses 109,906 65,223 175,129
Excess (deficiency) of revenues over
(under) expenditures/expenses 12,212 212 12,424
Other financing sources and uses, net 6,134 5,069 11,203
Net change in fund balances 18,346 5,281 23,627
Balances, beginning of year 111,322 95,442 206,764
Balances, end of year 129,668$ 100,723$ 230,391$
See Note to Required Supplementary Information.
City of Iowa City, Iowa
Budgetary Comparison Schedule
Budget and Actual - All Governmental Funds and Enterprise Funds
Required Supplementary Information
For the Year Ended June 30, 2022
(dollar amounts expressed in thousands)
Budgetary Basis
80
Final to Actual
Variance -
Positive
Original Final (Negative)
66,912$ 66,912$ (308)$
- - -
4,126 3,983 33
2,707 2,707 892
- - -
1,994 1,994 805
36,567 62,859 (7,346)
49,897 49,897 (1,742)
2,749 2,749 (480)
3,321 3,697 901
168,273 194,798 (7,245)
28,635 28,942 1,914
11,425 11,635 619
661 660 10
16,521 16,781 1,100
9,689 33,306 20,890
11,851 13,245 2,994
13,085 13,191 5
18,165 54,305 34,627
63,224 82,553 17,330
173,256 254,618 79,489
(4,983) (59,820) 72,244
12,671 11,160 43
7,688 (48,660) 72,287$
141,659 206,764
149,347$ 158,104$
Budgeted Amounts
81
Accrual Modified Accrual
Budget Basis Adjustments Basis
Revenues 122,118$ (13,511)$ 108,607$
Expenditures 109,906 (12,880) 97,026
Net 12,212 (631) 11,581
Other financing sources and uses, net 6,134 (6,056) 78
Beginning Fund Balances 111,322 (6,979) 104,343
Ending Fund Balances 129,668$ (13,666)$ 116,002$
Accrual Accrual
Budget Basis Adjustments Basis
Revenues 65,435$ 1,749$ 67,184$
Expenditures 65,223 (1,782) 63,441
Net 212 3,531 3,743
Other financing sources and uses, net 5,069 5,926 10,995
Beginning Fund Balances 95,442 298,213 393,655
Ending Fund Balances 100,723$ 307,670$ 408,393$
See Note to Required Supplementary Information.
City of Iowa City, Iowa
Governmental Fund Types
Enterprise Fund Types
Budgetary Comparison Schedule
Budget to GAAP Reconciliation
Required Supplementary Information
For the Year Ended June 30, 2022
(dollar amounts expressed in thousands)
82
City of Iowa City, Iowa
Note to Required Supplementary Information - Budgetary Reporting
For the Year Ended June 30, 2022
In accordance with the Code of Iowa, the City Council annually adopts a budget following required public
notice and hearing which includes all funds, except internal service funds and custodial funds. The budget
basis of accounting is a modified accrual basis. The annual budget may be amended during the year
utilizing similar statutorily prescribed procedures.
Formal and legal budgetary control is based upon nine major classes of expenditures known as functions,
not by fund or fund type. These nine functions are: public safety, public works, health and social services,
culture and recreation, community and economic development, general government, debt service, capital
outlay and business-type. The legal level control is at the aggregated function level, not at the fund or fund
type level.
During the year, budget amendments increased budgeted revenues by $26,525,000 and expenditures by
$81,362,000. The budget amendments were primarily due to changes in the breadth and timing of capital
improvement projects, which the City budgets in full during the initial year of the projects and amends
future year budgets for carryover.
83
2022 2021 2020 2019
City's proportion of the net pension liability 3.529220%3.621079%3.684880%3.706970%
City's proportionate share of the net pension liability 7,926$ 28,882$ 24,170$ 22,071$
City's covered payroll 11,468 11,503 11,155 10,743
City's proportionate share of the net pension liability
as a percentage of its covered payroll 69.11%251.08%216.67%205.45%
Plan fiduciary net position as a percentage of the
total pension liability 93.62%76.47%79.94%81.07%
* In accordance with GASB Statement No. 68, the amounts presented for each fiscal year were determined as of
June 30 of the preceding fiscal year.
Note: GASB Statement No. 68 requires ten years of information to be presented in this table. However, until a full
10-year trend is compiled, the City will present information for those years for which information is available.
See Notes to Required Supplementary Information - Pension Liability.
City of Iowa City, Iowa
Required Supplementary Information - Schedule of the City's Proportionate Share of the Net Pension Liability
Municipal Fire and Police Retirement System of Iowa
For the Last Eight Years*
(amounts expressed in thousands)
84
2018 2017 2016 2015
3.648635%3.697128%3.704972%3.778137%
21,398$ 23,117$ 17,406$ 13,696$
10,347 10,019 9,716 9,648
206.80%230.73%179.15%141.96%
80.60%78.20%83.04%86.27%
85
2022 2021 2020 2019
Statutorily required contributions 2,988$ 2,903$ 2,808$ 2,902$
Contributions in relation to the
statutorily required contribution (2,988) (2,903) (2,808) (2,902)
Contribution deficiency (excess)-$ -$ -$ -$
City's covered payroll 11,413$ 11,468$ 11,503$ 11,155$
Contributions as a percentage of
covered payroll 26.18%25.31%24.41%26.02%
See Notes to Required Supplementary Information - Pension Liability.
City of Iowa City, Iowa
Required Supplementary Information - Schedule of the City's Contributions
Municipal Fire and Police Retirement System of Iowa
For the Last Ten Years
(amounts expressed in thousands)
86
2018 2017 2016 2015 2014 2013
2,759$ 2,682$ 2,782$ 2,955$ 2,906$ 2,383$
(2,759) (2,682) (2,782) (2,955) (2,906) (2,383)
-$ -$ -$ -$ -$ -$
10,743$ 10,347$ 10,019$ 9,716$ 9,648$ 9,122$
25.68%25.92%27.77%30.41%30.12%26.12%
87
Changes of benefit terms:
There were no significant changes of benefit terms.
Changes of assumptions:
The 2018 valuation changed postretirement mortality rates on the RP-2014 Blue Collar Healthy
Annuitant Table with males set-forward zero years, females set-forward two years and disabled
individuals set-forward three years (male only rates), with generational projection of future mortality
improvements with 50% of Scale BB beginning in 2017.
The 2017 valuation added five years projection of future mortality improvement with Scale BB.
The 2016 valuation changed postretirement mortality rates to the RP-2000 Blue Collar Combined
Healthy Mortality Table with males set-back two years, females set-forward one year and disabled
individuals set-forward one year (male only rates), with no projection of future mortality improvement.
The 2015 valuation phased in the 1994 Group Annuity Mortality Table for postretirement mortality. This
resulted in weighting of 1/12 of the 1971 Group Annuity Mortality Table and 11/12 of the 1994 Group
Annuity Morality Table.
The 2014 valuation phased in the 1994 Group Annuity Mortality Table for postretirement mortality. This
resulted in weighting of 2/12 of the 1971 Group Annuity Mortality Table and 10/12 of the 1994 Group
Annuity Morality Table.
City of Iowa City, Iowa
Notes to Required Supplementary Information - Pension Liability
Municipal Fire and Police Retirement System of Iowa
Year ended June 30, 2022
88
8989
2022 2021 2020 2019
City's proportion of the net pension liability 0.3952230%0.3975467%0.4053890%0.4016869%
City's proportionate share of the net pension liability 554$ 27,732$ 23,475$ 25,420$
City's covered payroll 32,047 31,345 30,852 30,190
City's proportionate share of the net pension liability
as a percentage of its covered payroll 1.73%88.47%76.09%84.20%
Plan fiduciary net position as a percentage of the
total pension liability 100.81%82.90%85.45%83.62%
* In accordance with GASB Statement No. 68, the amounts presented for each fiscal year were determined as of
June 30 of the preceding fiscal year.
Note: GASB Statement No. 68 requires ten years of information to be presented in this table. However, until a full
10-year trend is compiled, the City will present information for those years for which information is available.
See Notes to Required Supplementary Information - Pension Liability.
City of Iowa City, Iowa
Required Supplementary Information - Schedule of the City's Proportionate Share of the Net Pension Liability
Iowa Public Employees' Retirement System
For the Last Eight Years*
(amounts expressed in thousands)
90
2018 2017 2016 2015
0.3968158%0.3962696%0.4159256%0.4378904%
26,433$ 24,938$ 20,549$ 17,366$
29,619 28,448 28,495 28,654
89.24%87.66%72.11%60.61%
82.21%81.82%85.19%87.61%
91
2022 2021 2020 2019
Statutorily required contributions 3,186$ 3,025$ 2,959$ 2,912$
Contributions in relation to the
statutorily required contribution (3,186) (3,025) (2,959) (2,912)
Contribution deficiency (excess)-$ -$ -$ -$
City's covered payroll 33,752$ 32,047$ 31,345$ 30,852$
Contributions as a percentage of
covered payroll 9.44%9.44%9.44%9.44%
See Notes to Required Supplementary Information - Pension Liability.
(amounts expressed in thousands)
City of Iowa City, Iowa
Required Supplementary Information - Schedule of the City's Contributions
Iowa Public Employees' Retirement System
For the Last Ten Years
92
2018 2017 2016 2015 2014 2013
2,696$ 2,645$ 2,540$ 2,545$ 2,559$ 2,442$
(2,696) (2,645) (2,540) (2,545) (2,559) (2,442)
-$ -$ -$ -$ -$ -$
30,190$ 29,619$ 28,448$ 28,495$ 28,654$ 28,170$
8.93%8.93%8.93%8.93%8.93%8.67%
93
Changes of benefit terms:
There are no significant changes in benefit terms.
Changes of assumptions:
The 2018 valuation implemented the following refinements as a result of an experience
study dated June 28, 2018:
• Changed mortality assumptions to the RP-2014 mortality tables with mortality
improvements modeled using Scale MP-2017.
• Adjusted retirement rates.
• Lowered disability rates
• Adjusted the probability of a vested Regular member electing to receive a deferred
benefit.
• Adjusted the merit component of the salary increase assumption.
The 2017 valuation implemented the following refinements as a result of an experience
study dated March 24, 2017:
• Decreased the inflation assumption from 3.00% to 2.60%.
• Decreased the assumed rate of interest on member accounts from 3.75% to 3.5%
per year.
• Decreased the discount rate from 7.50% to 7.00%.
• Decreased the wage growth assumption from 4.00% to 3.25%.
• Decreased the payroll growth assumption from 4.00% to 3.25%.
The 2014 valuation implemented the following refinements as a result of a quadrennial
experience study:
• Decreased the inflation assumption from 3.25% to 3.00%
• Decreased the assumed rate of interest on member accounts from 4.00% to
3.75% per year.
• Adjusted male mortality rates for retirees in the Regular membership group.
• Moved from an open 30 year amortization period to a closed 30 year amortization
period for the UAL beginning June 30, 2014. Each year thereafter, changes in the
UAL from plan experience will be amortized on a separate closed 20 year period.
City of Iowa City, Iowa
Notes to Required Supplementary Information - Pension Liability
Iowa Public Employees' Retirement System
Year ended June 30, 2022
94
2022 2021 2020 2019 2018
Service Cost 823$ 734$ 633$ 553$ 502$
Interest 226 240 323 297 245
Difference between expected and actual experience (254) 459 (483) 1,161 (377)
Changes in assumptions (1,942) 305 (83) 225 982
Benefit payments (427) (667) (641) (948) (174)
Net change in total OPEB liability (1,574) 1,071 (251) 1,288 1,178
Total OPEB liability beginning of year 9,698 8,627 8,878 7,590 6,412
Total OPEB liability end of year 8,124$ 9,698$ 8,627$ 8,878$ 7,590$
City's covered-employee payroll 44,134$ 43,515$ 42,848$ 42,007$ 40,933$
Total OPEB liability as a percentage of
covered-employee payroll 18.41%22.29%20.13%21.13%18.54%
Note: GASB Statement No. 75 requires ten years of information to be presented in this table. However, until a full
10-year trend is compiled, the City will present information for those years for which information is available.
Note: No assets are accumulated in a trust that meets the criteria in paragraph 4 of GAS Statement No. 75.
Changes of benefit terms:
There were no significant changes of benefit terms.
Changes of assumptions:
Changes in assumptions and other inputs reflect the effects of changes in the discount rate each period. The
following are the discount rates used in each period.
Year ended June 30, 2022 4.09%
Year ended June 30, 2021 2.19%
Year ended June 30, 2020 2.66%
Year ended June 30, 2019 3.51%
Year ended June 30, 2018 3.87%
Mortality tables have been updated from using improvement Scale MP-2019 to Scale MP-2021.
Health care trend rates have been updated to an initial trend rate of 7.5% decreasing by 0.5% annually to an
ultimate rate of 4.5%.
Health care coverage election rate assumption for active employees with current coverage was changed from
85% to 75% to reflect recent experience and future expectations. This change resulted in a significant reduction
in liabilities.
City of Iowa City, Iowa
Required Supplementary Information - Schedule of Changes in the City's Total OPEB Liability, Related Ratios and Notes
For the Last Five Years
(amounts expressed in thousands)
95
9696
Nonmajor Governmental Funds
Special Revenue Funds
Special Revenue Funds account for revenues derived from specific sources that are required to be accounted
for as separate funds. The funds in this category and their purpose are as follows:
Economic Development Fund – accounts for revenue and expenditures of economic development
activities.
Community Development Block Grant Fund – accounts for revenue from the U.S. Department of
Housing and Urban Development’s Community Development Block Grant programs.
Metropolitan Planning Organization of Johnson County Fund – accounts for the financial activities of
the metropolitan/rural cooperative planning organization.
97
Metropolitan
Community Planning
Development Organization
Economic Block of Johnson
Development Grant County Total
Assets
Equity in pooled cash and investments 865$ 121$ 501$ 1,487$
Receivables:
Property tax 544 - - 544
Accounts and unbilled usage - - 12 12
Interest - - 1 1
Notes - 3,106 - 3,106
Due from other governments - 19 59 78
Total assets 1,409$ 3,246$ 573$ 5,228$
Liabilities, Deferred Inflows of Resources and Fund Balances
Liabilities
Accounts payable 71$ 16$ 16$ 103$
Accrued liabilities - 7 23 30
Liabilities payable from restricted assets:
Advances from grantors - 117 - 117
Total liabilities 71 140 39 250
Deferred Inflows of Resources
Unavailable revenues:
Succeeding year property taxes 527 - - 527
Grants - 19 - 19
Total deferred inflows of resources 527 19 - 546
Fund Balances
Restricted 1,228 3,087 534 4,849
Unassigned (417) - - (417)
Total fund balances 811 3,087 534 4,432
Total liabilities, deferred inflows
of resources and fund balances 1,409$ 3,246$ 573$ 5,228$
Special Revenue
City of Iowa City, Iowa
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2022
(amounts expressed in thousands)
98
Metropolitan
Community Planning
Development Organization
Economic Block of Johnson
Development Grant County Total
Revenues
Property taxes 4,446$ -$ -$ 4,446$
Intergovernmental 83 579 462 1,124
Use of money and property - 30 2 32
Miscellaneous - 113 1 114
Total revenues 4,529 722 465 5,716
Expenditures
Current:
Community and economic development 3,520 840 760 5,120
Total expenditures 3,520 840 760 5,120
Excess (deficiency) of revenues over
(under) expenditures 1,009 (118) (295) 596
Other Financing Sources (Uses)
Transfers in 244 - 391 635
Transfers out (1,864) (94) - (1,958)
Total other financing sources
and (uses)(1,620) (94) 391 (1,323)
Net change in fund balances (611) (212) 96 (727)
Fund Balances, Beginning 1,422 3,299 438 5,159
Fund Balances, Ending 811$ 3,087$ 534$ 4,432$
Special Revenue
City of Iowa City, Iowa
Combining Statement of Revenues, Expenditures,
and Changes in Fund Balances
Nonmajor Governmental Funds
For the Year Ended June 30, 2022
(amounts expressed in thousands)
99
100100
Nonmajor Enterprise Funds
Enterprise Funds account for operations and activities of the City that are financed and operated in a manner similar
to a private business enterprise, and where the costs of providing services to the general public on a continuing basis
are expected to be financed or recovered primarily through user charges, or where the City has decided that periodic
determination of revenues earned, expenses incurred, and/or net income is appropriate for capital maintenance,
public policy, management control, accountability, or other purposes. The funds in this category are as follows:
Airport Fund – accounts for the operation and maintenance of the airport facility.
Parking Fund – accounts for the operation and maintenance of the “on” and “off” street public parking facilities.
101
Airport Parking Total
Assets
Current assets:
Equity in pooled cash and investments 171$ 4,390$ 4,561$
Receivables:
Accounts and unbilled usage 31 46 77
Interest - 1 1
Lease 45 - 45
Due from other governments 227 3 230
Total current assets 474 4,440 4,914
Noncurrent assets:
Restricted assets:
Equity in pooled cash and investments 156 316 472
Lease receivable 556 - 556
Capital assets:
Land 11,995 3,489 15,484
Buildings 5,458 42,236 47,694
Improvements other than buildings 445 328 773
Machinery and equipment 531 1,622 2,153
Infrastructure 17,451 - 17,451
Accumulated depreciation (13,451) (25,680) (39,131)
Construction in progress 383 - 383
Total noncurrent assets 23,524 22,311 45,835
Total assets 23,998 26,751 50,749
Deferred Outflows of Resources
Pension related deferred outflows 8 125 133
OPEB related deferred outflows 3 60 63
Total deferred outflows of resources 11 185 196
Liabilities
Current liabilities:
Accounts payable 25 59 84
Contracts payable 97 256 353
Accrued liabilities 4 76 80
Employee vested benefits 4 59 63
Due to other funds - - -
Total current liabilities 130 450 580
Noncurrent liabilities:
Liabilities payable from restricted assets:
Deposits 8 4 12
Advances from other funds - 1,762 1,762
Employee vested benefits 3 44 47
Net pension liability 1 17 18
Other post employment benefits obligation 12 252 264
Total noncurrent liabilities 24 2,079 2,103
Total liabilities 154 2,529 2,683
Deferred Inflows of Resources
Lease related deferred inflows 601 - 601
Pension related deferred inflows 43 640 683
OPEB related deferred inflows 4 79 83
Total deferred inflows of resources 648 719 1,367
Net Position
Net investment in capital assets 22,812 21,995 44,807
Restricted for future improvements 100 304 404
Unrestricted 295 1,389 1,684
Total net position 23,207$ 23,688$ 46,895$
City of Iowa City, Iowa
Combining Statement of Net Position
Nonmajor Enterprise Funds
June 30, 2022
(amounts expressed in thousands)
102
Airport Parking Total
Operating Revenues:
Charges for services 284$ 5,054$ 5,338$
Miscellaneous 1 60 61
Total operating revenues 285 5,114 5,399
Operating Expenses:
Personal services 80 1,932 2,012
Commodities 112 631 743
Services and charges 345 1,659 2,004
537 4,222 4,759
Depreciation 994 1,262 2,256
Total operating expenses 1,531 5,484 7,015
Operating loss (1,246) (370) (1,616)
Nonoperating Revenues:
Operating grants 259 3 262
Lease revenue 88 - 88
Interest income 18 12 30
Total nonoperating revenues 365 15 380
Loss before capital contributions
and transfers (881) (355) (1,236)
Capital contributions 154 - 154
Transfers in 100 - 100
Transfers out - - -
Change in net position (627) (355) (982)
Net Position, Beginning 23,834 24,043 47,877
Net Position, Ending 23,207$ 23,688$ 46,895$
Nonmajor Enterprise Funds
and Changes in Fund Net Position
Combining Statement of Revenues, Expenses
City of Iowa City, Iowa
(amounts expressed in thousands)
For the Year Ended June 30, 2022
103
Airport Parking Total
Cash Flows From Operating Activities
Receipts from customers and users 279$ 5,394$ 5,673$
Payments to suppliers (465) (2,073) (2,538)
Payments to employees (87) (1,972) (2,059)
Net cash flows used for operating activities (273) 1,349 1,076
Cash Flows From Noncapital Financing Activities
Operating grants received 444 2 446
Transfers from other funds 100 - 100
Transfers to other funds - - -
Advances from other funds - 725 725
Repayment of advances from other funds (174) - (174)
Net cash flows from (used for) noncapital financing activities 370 727 1,097
Cash Flows From Capital and Related Financing
Activities
Capital grants received 156 - 156
Lease revenues received 88 - 88
Acquisition and construction of property and equipment (139) (588) (727)
Net cash flows used for capital and related financing activities 105 (588) (483)
Cash Flows From Investing Activities
Interest on investments 18 12 30
Net increase (decrease) in cash and cash equivalents 220 1,500 1,720
Cash and Cash Equivalents, Beginning 107 3,206 3,313
Cash and Cash Equivalents, Ending 327$ 4,706$ 5,033$
Reconciliation of operating loss to net cash
flows from (used for) operating activities:
Operating loss (1,246)$ (370)$ (1,616)$
Adjustments to reconcile operating loss to
net cash flows used for operating activities:
Depreciation expense 994 1,262 2,256
Changes in:
Receivables:
Accounts and unbilled usage (6) 277 271
Due from other governments - - -
Accounts payable (8) 217 209
Accrued liabilities - 14 14
Net pension liability (55) (799) (854)
Deferred outflows of resources 4 54 58
Deferred inflows of resources 44 674 718
Other post employment benefits asset/obligation (2) 14 12
Total adjustments 973 1,719 2,692
Net cash flows used for operating activities (273)$ 1,349$ 1,076$
Noncash Investing, Capital, and Financing Activities:
Capital grants not yet received 163$ -$ 163$
Operating grants not yet received 64$ 3$ 67$
CITY OF IOWA CITY, IOWA
COMBINING STATEMENT OF CASH FLOWS
NONMAJOR ENTERPRISE FUNDS
For the Year Ended June 30, 2022
(amounts expressed in thousands)
104
Internal Service Funds
Internal Service Funds account for goods and services provided by one department to other City departments
on a cost-reimbursement basis. The funds in this category are:
Equipment Maintenance Fund – accounts for the provision of maintenance for City vehicles, equipment and
vehicle rental from a central vehicle pool, and two-way radios provided to other City departments.
Central Services Fund – accounts for the support services of photocopying, mail and overnight shipping
provided to other City departments.
Loss Reserve Fund – accounts for the property, liability, Workers’ Compensation and health insurance
premiums and claims activity for City departments, including the self-insured retention portion.
Information Technology Fund – accounts for the accumulation and allocation of costs associated with
telecommunications and data processing, including the operation and replacement of equipment.
105
Equipment Central Loss Information
Maintenance Services Reserve Technology Total
Assets
Current assets:
Equity in pooled cash and investments 19,778$ 826$ 18,241$ 4,043$ 42,888$
Receivables:
Accounts and unbilled usage 45 - 179 2 226
Interest 11 - 17 - 28
Lease - - - 19 19
Due from other governments 24 - - 2 26
Inventories 692 - - - 692
Total current assets 20,550 826 18,437 4,066 43,879
Noncurrent assets:
Lease Receivable - - - 40 40
Capital assets:
Land 685 - - - 685
Buildings 1,298 - - 183 1,481
Improvements other than buildings 50 - - - 50
Machinery and equipment 23,910 130 19 1,607 25,666
Infrastructure - - - 3,634 3,634
Accumulated depreciation (13,482) (61) (19) (1,876) (15,438)
Construction in progress 68 - - 482 550
Total noncurrent assets 12,529 69 - 4,070 16,668
Total assets 33,079 895 18,437 8,136 60,547
Deferred Outflows of Resources
Pension related deferred outflows 97 3 20 100 220
OPEB related deferred outflows 46 3 3 29 81
Total deferred outflows of resources 143 6 23 129 301
Liabilities
Current liabilities:
Accounts payable 219 10 314 24 567
Accrued liabilities 49 2 3,334 54 3,439
Employee vested benefits 36 - 4 21 61
Due to other governments - - - - -
Total current liabilities 304 12 3,652 99 4,067
Noncurrent liabilities:
Employee vested benefits 27 - 3 17 47
Net pension liability 14 - 3 15 32
Other post employment benefits liability 192 12 12 120 336
Total noncurrent liabilities 233 12 18 152 415
Total liabilities 537 24 3,670 251 4,482
Deferred Inflows of Resources
Lease related deferred inflows - - - 59 59
Pension related deferred inflows 522 15 105 546 1,188
OPEB related deferred inflows 61 4 4 38 107
583 19 109 643 1,354
Net Position
Net investment in capital assets 12,529 69 - 4,030 16,628
Unrestricted 19,573 789 14,681 3,341 38,384
Total net position 32,102$ 858$ 14,681$ 7,371$ 55,012$
(amounts expressed in thousands)
City of Iowa City, Iowa
Combining Statement of Net Position
Internal Service Funds
June 30, 2022
106
Equipment Central Loss Information
Maintenance Services Reserve Technology Total
Operating Revenues:
Charges for services 7,419$ 234$ 13,042$ 3,107$ 23,802$
Total operating revenues 7,419 234 13,042 3,107 23,802
Operating Expenses:
Personal services 1,048 33 213 1,039 2,333
Commodities 2,105 8 6 658 2,777
Services and charges 535 123 10,566 639 11,863
3,688 164 10,785 2,336 16,973
Depreciation 2,167 22 - 309 2,498
Total operating expenses 5,855 186 10,785 2,645 19,471
Operating income 1,564 48 2,257 462 4,331
Nonoperating Revenues:
Gain (loss) on disposal of capital assets 80 - - 5 85
Lease Revenue - - - 15 15
Operating grants 10 - - 2 12
Interest income (444) 3 (623) 15 (1,049)
Total nonoperating revenues (354) 3 (623) 37 (937)
Income before transfers 1,210 51 1,634 499 3,394
Capital contributions - - - 262 262
Transfers in 662 - - 242 904
Transfers out (825) - (12) (75) (912)
Change in net position 1,047 51 1,622 928 3,648
Net Position, Beginning 31,055 807 13,059 6,443 51,364
Net Position, Ending 32,102$ 858$ 14,681$ 7,371$ 55,012$
(amounts expressed in thousands)
City of Iowa City, Iowa
Combining Statement of Revenues, Expenses
Internal Service Funds
For the Year Ended June 30, 2022
and Changes in Fund Net Position
107
Equipment Central Loss Information
Maintenance Services Reserve Technology Total
Cash Flows From Operating Activities
Receipts from users 7,432$ 234$ 13,028$ 3,105$ 23,799$
Payments to suppliers (2,712) (131) (10,952) (1,450) (15,245)
Payments to employees (1,127) (39) (235) (1,161) (2,562)
Net cash flows from operating activities 3,593 64 1,841 494 5,992
Cash Flows From Noncapital Financing
Activities
Operating grants received 3 - - - 3
Transfers from other funds 662 - - 242 904
Transfers to other funds (825) - (12) (75) (912)
Net cash flows from (used for) noncapital
financing activities (160) - (12) 167 (5)
Cash Flows From Capital and Related
Financing Activities
Acquisition and construction of property
and equipment (1,416) (50) - (427) (1,893)
Lease revenues received - - - 15 15
Proceeds from sale of property 97 - - 5 102
Net cash flows used for capital and related
financing activities (1,319) (50) - (407) (1,776)
Cash Flows From Investing Activities
Interest on investments (443) 3 (622) 17 (1,045)
Net increase in cash
and cash equivalents 1,671 17 1,207 271 3,166
Cash and Cash Equivalents, Beginning 18,107 809 17,034 3,772 39,722
Cash and Cash Equivalents, Ending 19,778$ 826$ 18,241$ 4,043$ 42,888$
Reconciliation of operating income
to net cash flows from operating activities:
Operating income 1,564$ 48$ 2,257$ 462$ 4,331$
Adjustments to reconcile operating income
to net cash flows from operating activities:
Depreciation expense 2,167 22 - 309 2,498
Changes in:
Receivables:
Accounts and unbilled usage (34) - (14) (2) (50)
Due from other governments 47 - - - 47
Inventories (124) - - - (124)
Accounts payable 59 - 25 (153) (69)
Accrued liabilities 4 1 (406) 3 (398)
Employee vested benefits (7) - 1 (15) (21)
Due to other governments (7) - - - (7)
Net pension liability (672) (24) (133) (702) (1,531)
Deferred outflows of resources 54 2 10 62 128
Deferred inflows of resources 546 17 103 550 1,216
Other post employment benefits liability (4) (2) (2) (20) (28)
Total adjustments 2,029 16 (416) 32 1,661
Net cash flows from operating activities 3,593$ 64$ 1,841$ 494$ 5,992$
Noncash Investing, Capital, and Financing
Activities:
Contributions of capital assets from
government and others -$ -$ -$ 262$ 262$
(amounts expressed in thousands)
City of Iowa City, Iowa
Combining Statement of Cash Flows
Internal Service Funds
For the Year Ended June 30, 2022
108
Statistical
Section
Tabs
Statistical Section
This part of the City of Iowa City’s annual comprehensive financial report represents detailed
information as a context for understanding what the information in the financial statements, note
disclosures, and required supplementary information says about the government’s overall financial
health.
Contents Page
Financial Trends 111
These schedules contain trend information to help the reader understand how
the government’s financial performance and well-being have changed over
time.
Revenue Capacity 116
These schedules contain information to help the reader assess the
government’s most significant local revenue source, the property tax.
Debt Capacity 126
These schedules present information to help the reader assess the affordability
of the government’s current levels of outstanding debt and the government’s
ability to issue additional debt in the future.
Demographic and Economic Information 132
These schedules offer demographic and economic indicators to help the reader
understand the environment within which the government’s financial activities
take place.
Operating Information 134
These schedules contain service and infrastructure data to help the reader
understand how the information in the government’s financial report relates to
the services the government provides and the activities it performs.
Sources: Unless otherwise noted, the information in these schedules is derived from the annual
comprehensive financial report for the relevant year.
109
110110
20131 2014 2015 20162 2017 2018 2019 2020 2021 2022
Governmental activities
Net investment in capital assets 133,989$ 138,482$ 153,729$ 163,362$ 183,651$ 203,077$ 208,028$ 220,004$ 228,418$ 230,285$
Restricted 22,867 39,958 36,447 42,154 47,676 41,490 38,819 33,578 33,664 36,900
Unrestricted 50,744 39,758 15,520 18,402 16,264 17,646 20,124 21,819 25,528 39,505
Total governmental activities net position 207,600$ 218,198$ 205,696$ 223,918$ 247,591$ 262,213$ 266,971$ 275,401$ 287,610$ 306,690$
Business-type activities
Net investment in capital assets 253,617$ 264,727$ 279,272$ 279,679$ 285,912$ 294,109$ 304,111$ 314,523$ 315,915$ 325,787$
Restricted 19,033 19,438 22,389 22,269 21,238 22,219 18,055 17,558 14,859 13,216
Unrestricted 74,370 71,542 57,367 69,472 76,664 73,126 77,224 76,661 84,097 92,370
Total business-type activities net position 347,020$ 355,707$ 359,028$ 371,420$ 383,814$ 389,454$ 399,390$ 408,742$ 414,871$ 431,373$
Primary government
Net investment in capital assets 387,606$ 403,209$ 433,001$ 443,041$ 469,563$ 497,186$ 512,139$ 534,527$ 544,333$ 556,072$
Restricted 41,900 59,396 58,836 64,423 68,914 63,709 56,874 51,136 48,523 50,116
Unrestricted 125,114 111,300 72,887 87,874 92,928 90,772 97,348 98,480 109,625 131,875
Total primary government net position 554,620$ 573,905$ 564,724$ 595,338$ 631,405$ 651,667$ 666,361$ 684,143$ 702,481$ 738,063$
1 The City of Iowa City reclassified the Mass Transportation Fund from the General fund to an Enterprise Fund effective the fiscal year ending June 30, 2013.
2 The City of Iowa City reclassified the Cable Fund from an Enterprise Fund to the General Fund effective July 1, 2015.
City of Iowa City, Iowa
Net Position by Component
Last Ten Fiscal Years
(Accrual basis of accounting)
(amounts expressed in thousands)
111
20131 2014 2015 20162 2017 2018 2019 2020 2021 2022
Expenses
Governmental activities:
Public safety 20,989$ 22,721$ 21,193$ 22,029$ 24,002$ 25,191$ 26,265$ 29,252$ 30,411$ 23,609$
Public works 10,240 8,258 11,037 10,839 12,032 12,813 16,324 16,071 16,363 17,746
Culture and recreation 14,481 16,586 14,049 14,422 15,525 16,363 16,009 16,233 15,774 16,923
Community and economic development 10,596 10,059 7,093 6,786 8,253 12,019 16,022 9,383 8,549 11,074
General government 7,513 7,687 7,752 6,240 6,124 6,858 7,524 7,693 10,529 7,439
Debt service 2,237 1,797 1,517 1,287 1,481 1,414 1,444 1,452 1,561 1,553
Total governmental activities expenses 66,056 67,108 62,641 61,603 67,417 74,658 83,588 80,084 83,187 78,344
Business-type activities:
Wastewater 10,464 21,139 12,131 11,866 11,233 11,392 11,413 10,807 12,520 12,105
Water 9,074 8,723 8,403 8,149 8,921 9,472 9,543 9,302 10,177 9,477
Sanitation 7,279 8,402 8,114 8,735 9,123 9,408 10,858 10,145 10,045 10,113
Housing authority 7,658 7,703 7,873 8,378 8,798 9,535 10,170 10,021 10,141 11,832
Parking 4,579 4,093 4,678 4,460 4,620 5,590 5,461 5,014 4,613 5,381
Airport 1,086 1,209 1,612 1,597 1,402 1,680 1,466 2,511 1,835 1,509
Stormwater 1,318 1,314 2,091 1,989 2,432 1,844 1,832 2,198 2,105 2,190
Cable television 692 781 704 - - - - - - -
Transit 6,998 7,795 7,379 7,486 7,263 8,071 8,833 9,041 8,107 8,573
Total business-type activities expenses 49,148 61,159 52,985 52,660 53,792 56,992 59,576 59,039 59,543 61,180
Total primary government expenses 115,204$ 128,267$ 115,626$ 114,263$ 121,209$ 131,650$ 143,164$ 139,123$ 142,730$ 139,524$
Program Revenues
Governmental activities:
Charges for services
Public safety 4,098$ 3,626$ 3,926$ 4,813$ 5,286$ 4,438$ 4,870$ 4,430$ 4,277$ 4,625$
Public works 52 61 388 628 724 62 290 243 482 149
Culture and recreation 775 808 801 823 842 836 854 508 322 627
Community and economic development - 45 50 1,044 36 441 548 59 1,837 3,625
General government 2,763 3,030 2,975 1,252 1,524 1,520 1,717 1,551 1,582 1,728
Operating grants and contributions 4,731 3,231 8,701 9,941 10,828 10,245 13,758 13,113 12,479 14,491
Capital grants and contributions 6,876 5,580 11,556 3,999 9,952 1,459 1,972 1,915 2,845 4,316
Total governmental activities program revenues 19,295 16,381 28,397 22,500 29,192 19,001 24,009 21,819 23,824 29,561
Business-type activities:
Charges for services:
Wastewater 12,832 12,559 12,189 12,266 12,277 12,626 12,831 12,357 12,155 12,121
Water 8,583 8,443 8,527 9,134 9,275 9,473 9,640 10,048 9,934 10,127
Sanitation 8,181 8,467 9,015 9,215 9,927 10,014 10,017 10,193 11,944 11,289
Housing authority 205 213 237 300 321 323 295 280 296 282
Parking 5,043 5,294 5,502 5,438 5,453 5,648 5,982 4,354 3,758 5,054
Airport 314 328 349 333 345 348 361 371 376 372
Stormwater 974 1,093 1,147 1,168 1,544 1,560 1,568 1,730 1,701 1,704
Cable Television 816 773 750 - - - - - - -
Transit1 2,117 2,185 2,289 2,099 2,089 2,216 2,171 1,802 1,385 1,745
Capital grants and contributions: Wastewater 30,181 7,105 1,370 3,415 2,226 1,913 1,827 2,550 1,580 964
Capital grants and contributions: Water 494 539 581 254 869 483 488 965 834 481
Capital grants and contributions: Sanitation - - - - - 22 13 - - -
Capital grants and contributions: Airport 2,452 5,214 137 260 58 49 38 134 267 154
Capital grants and contributions: Stormwater 226 711 792 370 1,251 892 902 876 1,230 696
Capital grants and contributions: Parking - - - - - - - - - -
Capital grants and contributions: Transit 898 243 - 308 395 3,827 - - 77 3,416
Operating grants and contributions: Housing authority 6,968 6,721 7,628 8,318 8,532 9,065 9,443 9,875 9,691 11,481
Operating grants and contributions: Water 442 6 2 - - - - 2 45 42
Operating grants and contributions: Airport 11 56 232 128 69 72 14 896 332 259
Operating grants and contributions: Sanitation 23 27 25 3 - 3 104 20 18 105
Operating grants and contributions: Wastewater - 62 21 - - - - 8 - 77
Operating grants and contributions: Stormwater 13 13 279 95 - 2 - - - -
Operating grants and contributions: Parking - - - - - - - 3 - 3
Operating grants and contributions: Transit 1,767 2,118 2,082 2,095 2,235 2,088 2,152 3,107 3,016 5,096
Total business-type activities program revenues 82,540 62,170 53,154 55,199 56,866 60,624 57,846 59,571 58,639 65,468
Total primary government revenues 101,835$ 78,551$ 81,551$ 77,699$ 86,058$ 79,625$ 81,855$ 81,390$ 82,463$ 95,029$
Net (Expense) / Revenues
Governmental activities (46,761)$ (50,727)$ (34,244)$ (39,103)$ (38,225)$ (55,657)$ (59,579)$ (58,265)$ (59,363)$ (48,783)$
Business-type activities 33,392 1,011 169 2,539 3,074 3,632 (1,730) 532 (904) 4,288
Total primary government net expense (13,369)$ (49,716)$ (34,075)$ (36,564)$ (35,151)$ (52,025)$ (61,309)$ (57,733)$ (60,267)$ (44,495)$
General Revenues and Other Changes in Net Position
Governmental activities:
General revenues:
Property taxes 51,017$ 50,551$ 52,205$ 53,114$ 57,649$ 59,046$ 61,739$ 62,846$ 69,482$ 70,678$
Road use tax3 6,589 6,745 - - - - - - - -
Local Sales Option tax 8,858 466 - - - - - - - -
Other taxes 2,609 2,778 2,810 2,717 2,802 2,706 2,935 2,696 2,576 3,541
Grants and contributions not restricted to specific purposes - - 1,048 2,080 1,583 1,547 1,552 1,513 1,587 1,555
Earnings (loss) on investments 841 973 1,188 1,045 1,397 2,368 3,257 2,585 841 (544)
Miscellaneous 4,390 4,353 5,518 4,464 3,369 3,656 3,329 3,331 3,030 3,524
Gain on sale of assets 1,312 1,651 135 218 2,151 140 186 111 213 257
Transfers (10,485) (6,192) (10,057) (6,395) (7,053) 1,814 (8,661) (6,387) (6,157) (11,148)
Reassignments - - - 82 - - - - - -
Total governmental activities 65,131 61,325 52,847 57,325 61,898 71,277 64,337 66,695 71,572 67,863
(continued)
City of Iowa City, Iowa
Changes in Net Position
Last Ten Fiscal Years
(Accrual basis of accounting)
(amounts expressed in thousands)
112
20131 2014 2015 20162 2017 2018 2019 2020 2021 2022
Business-type activities:
General revenues:
Earnings (loss) on investments 671 494 707 715 938 1,496 2,166 1,794 426 (190)
Gain on sale of assets 293 725 856 2,463 69 2,438 1 74 22 23
Miscellaneous 918 265 374 362 1,260 456 838 565 428 1,233
Transfers 10,485 6,192 10,057 6,395 7,053 (1,814) 8,661 6,387 6,157 11,148
Reassignments - - - (82) - - - - - -
Special items - - (574) - - - - - - -
Extraordinary items - - - - - - - - - -
Total business-type activities 12,367 7,676 11,420 9,853 9,320 2,576 11,666 8,820 7,033 12,214
Total primary government 77,498$ 69,001$ 64,267$ 67,178$ 71,218$ 73,853$ 76,003$ 75,515$ 78,605$ 80,077$
Change in Net Position
Governmental activities 18,370$ 10,598$ 18,603$ 18,222$ 23,673$ 15,620$ 4,758$ 8,430$ 12,209$ 19,080$
Business-type activities 45,759 8,687 11,589 12,392 12,394 6,208 9,936 9,352 6,129 16,502
Total primary government 64,129$ 19,285$ 30,192$ 30,614$ 36,067$ 21,828$ 14,694$ 17,782$ 18,338$ 35,582$
1 The City of Iowa City reclassified the Mass Transportation Fund from the General Fund to an Enterprise Fund effective the fiscal year ending June 30, 2013.
2 The City of Iowa City reclassified the Cable Fund from an Enterprise Fund to the General Fund effective July 1, 2015.
3 The City of Iowa City reclassified Road Use Tax from General Revenues to Operating Grants effective for the fiscal year ending June 30, 2015.
City of Iowa City, Iowa
Changes in Net Position (continued)
Last Ten Fiscal Years
(Accrual basis of accounting)
(amounts expressed in thousands)
113
20131 2014 2015 20162 2017 2018 2019 2020 2021 2022
General Fund
Nonspendable 69$ 69$ 69$ 69$ 788$ 793$ 887$ 549$ 469$ 1,889$
Restricted 25,689 26,533 25,291 18,975 9,974 1,942 1,808 1,747 1,455 2,015
Committed - - - 4,699 5,199 4,962 - - - -
Assigned 1,744 3,400 - 1,143 1,342 1,437 3,565 5,708 9,883 14,852
Reserved - - 4,483 - - - - - - -
Unassigned 17,113 17,907 19,286 23,366 24,793 28,516 34,358 35,369 40,414 40,074
Total general fund 44,615$ 47,909$ 49,129$ 48,252$ 42,096$ 37,650$ 40,618$ 43,373$ 52,221$ 58,830$
All other Governmental Funds
Nonspendable -$ -$ -$ -$ 344$ 165$ 224$ 278$ 218$ 243$
Restricted 28,108 31,285 27,897 38,266 63,941 64,033 50,966 48,728 51,931 57,346
Unassigned (5,844) (9) - - - (38) (59) (611) (27) (417)
Total all other governmental funds 22,264$ 31,276$ 27,897$ 38,266$ 64,285$ 64,160$ 51,131$ 48,395$ 52,122$ 57,172$
1 The City of Iowa City reclassified the Mass Transportation Fund from the General fund to an Enterprise Fund effective the fiscal year ending June 30, 2013.
2 The City of Iowa City reclassified the Cable Fund from an Enterprise Fund to the General Fund effective July 1, 2015.
City of Iowa City, Iowa
Fund Balances, Governmental Funds
Last Ten Fiscal Years
(Modified accrual basis of accounting)
(amounts expressed in thousands)
114
20131 2014 2015 20162 2017 2018 2019 2020 2021 2022
Revenues:
Property taxes and assessments 62,483$ 53,797$ 55,014$ 55,831$ 60,452$ 61,753$ 64,672$ 65,542$ 72,058$ 74,220$
Licenses and permits 1,784 1,660 1,806 3,056 3,521 2,734 2,981 2,352 2,541 2,786
Intergovernmental 19,941 17,636 21,086 20,230 24,140 14,944 16,828 18,603 20,127 22,756
Charges for services 1,800 1,819 2,204 3,357 2,355 2,295 2,690 1,715 3,446 5,314
Fines and forfeits - - - 760 750 695 776 609 375 434
Use of money and property 782 909 1,080 946 1,235 1,937 2,564 1,872 773 506
Miscellaneous 6,325 6,040 7,045 2,913 2,101 2,875 2,261 2,440 2,112 2,591
Total governmental activities revenues 93,115$ 81,861$ 88,235$ 87,093$ 94,554$ 87,233$ 92,772$ 93,133$ 101,432$ 108,607$
Expenditures
Current
Public safety 20,648$ 21,370$ 21,996$ 21,701$ 22,513$ 23,360$ 24,295$ 25,637$ 26,167$ 26,821$
Public works 8,503 8,432 12,071 9,466 9,186 10,052 10,894 10,586 11,447 10,883
Culture and recreation 13,000 13,087 11,821 12,257 13,341 14,208 13,709 13,653 12,979 15,090
Community and economic development 8,219 8,196 5,711 5,346 7,695 11,074 15,723 8,627 8,305 11,076
General government 7,286 7,184 7,608 6,007 5,882 6,017 6,579 6,789 9,788 7,907
Debt service
Principal 16,465 13,560 12,564 13,230 13,305 11,895 12,080 11,385 12,745 11,220
Interest 2,339 1,903 1,669 1,475 1,597 1,570 1,589 1,648 1,905 1,956
Capital projects 17,861 14,528 14,762 14,848 18,405 28,225 22,632 21,211 12,173 12,073
Total expenditures 94,321$ 88,260$ 88,202$ 84,330$ 91,924$ 106,401$ 107,501$ 99,536$ 95,509$ 97,026$
Excess (deficiency) of revenues over
(under) expenditures (1,206)$ (6,399)$ 33$ 2,763$ 2,630$ (19,168)$ (14,729)$ (6,403)$ 5,923$ 11,581$
Other financing sources (uses):
Issuance of long-term debt 2,655$ 19,730$ 7,785$ 9,405$ 22,570$ 11,995$ 12,535$ 12,145$ 11,325$ 10,255$
Issuance of refunding debt - - - - - - - - - -
Sale of capital assets 1,369 1,684 165 252 2,292 140 758 111 233 256
Insurance Recoveries - - - - - - - - - -
Premium (discount) on issuance of bonds (42) 385 199 441 120 236 81 927 1,464 553
Payment of refunded bonds - - - - - - - - - -
Transfers in 25,198 13,040 13,089 25,133 34,675 34,666 25,663 21,236 21,223 24,229
Transfers out (35,493) (16,134) (23,430) (28,502) (47,033) (32,440) (34,369) (27,997) (27,593) (35,215)
Total other financing sources (uses)(6,313)$ 18,705$ (2,192)$ 6,729$ 12,624$ 14,597$ 4,668$ 6,422$ 6,652$ 78$
Net change in fund balances (7,519)$ 12,306$ (2,159)$ 9,492$ 15,254$ (4,571)$ (10,061)$ 19$ 12,575$ 11,659$
Debt service as a percentage of
noncapital expenditures 24.0%20.7%19.8%21.2%19.9%17.1%15.6%15.9%17.1%14.6%
Debt services as a percentage of
expenditures and transfers 14.5%14.8%12.7%13.0%10.7%9.7%9.6%10.2%11.9%10.0%
1 The City of Iowa City reclassified the Mass Transportation Fund from the General fund to an Enterprise Fund effective the fiscal year ending June 30, 2013.
2 The City of Iowa City reclassified the Cable Fund from an Enterprise Fund to the General Fund effective July 1, 2015.
City of Iowa City, Iowa
Changes in Fund Balances, Governmental Funds
Last Ten Fiscal Years
(modified accrual basis of accounting)
(amounts expressed in thousands)
115
Fiscal Local Option Utility
Year Property Tax Road Use Tax Hotel/Motel Tax Sales Tax1 Franchise Fee Total
2013 51,836 6,589 872 8,858 918 69,073
2014 51,331 6,745 967 466 1,031 60,540
2015 53,056 7,231 1,057 - 902 62,246
2016 53,878 8,320 1,079 - 874 64,151
2017 58,375 8,672 1,137 - 939 69,123
2018 59,730 8,427 1,046 - 976 70,179
2019 62,407 8,820 1,302 - 965 73,494
2020 63,523 9,163 1,135 - 884 74,705
2021 70,126 10,077 938 - 994 82,135
2022 71,362 9,900 1,708 - 1,149 84,119
1 1% Local Option Sales Tax went into effect 7/1/09 and was effective through 6/30/13.
City of Iowa City, Iowa
General Government Tax Revenues by Source
Last Ten Fiscal Years
(Modified accrual basis of accounting)
(amounts expressed in thousands)
116
Assessed Valuation
Tax Collection Year:
FY2022 FY2021 FY2020 FY2019 FY2018 FY2017 FY2016 FY2015 FY2014 FY2013
Residential 5,067,120,030$ 4,958,648,218$ 4,399,451,083$ 4,255,597,838$ 4,001,761,478$ 3,882,757,454$ 3,603,743,609$ 3,488,112,611$ 3,367,051,717$ 3,284,249,136$
Agricultural (taxed at Ag rate)1,727,980 1,748,000 2,539,080 2,625,810 3,425,692 3,720,671 3,553,520 3,680,920 2,655,640 2,516,440
Multi-Residential 539,398,739 539,636,381 489,176,499 471,420,082 411,460,472 410,426,868 - - - -
Commercial 1,056,414,063 1,060,943,044 932,699,374 915,964,068 821,949,555 805,734,128 1,129,397,979 1,144,437,631 1,113,600,025 1,149,535,927
Industrial 79,998,654 80,663,794 76,905,588 71,553,904 72,635,554 73,206,895 74,399,739 80,153,614 72,834,630 73,400,730
Railroads 4,072,190 4,488,469 3,601,348 3,549,414 3,984,932 4,096,577 4,015,580 3,827,506 3,205,451 2,619,932
Utilities w'out Gas & Electric 4,339,508 6,152,547 7,386,408 7,099,293 6,734,894 7,375,066 8,239,789 9,599,528 10,816,940 11,051,685
Gross valuation 6,753,071,164 6,652,280,453 5,911,759,380 5,727,810,409 5,321,952,577 5,187,317,659 4,823,350,216 4,729,811,810 4,570,164,403 4,523,373,850
Less: Military exemption 2,392,784 2,435,380 2,489,088 2,579,836 2,635,396 2,727,994 2,828,002 2,939,122 3,059,502 3,096,542
Net valuation 6,750,678,380 6,649,845,073 5,909,270,292 5,725,230,573 5,319,317,181 5,184,589,665 4,820,522,214 4,726,872,688 4,567,104,901 4,520,277,308
Incremental value 142,496,667 89,469,635 115,175,495 85,379,709 80,577,275 72,666,677 42,307,287 21,131,574 14,113,908 11,712,327
Gas and Electric Utilities 126,171,274 118,583,613 109,124,421 97,050,716 94,582,279 92,987,351 87,728,294 78,642,915 87,100,183 83,538,109
Total Assessed valuation 7,019,346,321$ 6,857,898,321$ 6,133,570,208$ 5,907,660,998$ 5,494,476,735$ 5,350,243,693$ 4,950,557,795$ 4,826,647,177$ 4,668,318,992$ 4,615,527,744$
Percent change 2.354%11.809%3.824%7.520%2.696%8.074%2.567%3.392%1.144%2.110%
Taxable Valuation
Tax Collection Year:
FY2022 FY2021 FY2020 FY2019 FY2018 FY2017 FY2016 FY2015 FY2014 FY2013
Assessment Limitation:
Residential rollback 56.4094%55.0743%56.9180%55.6209%56.9391%55.6259%55.7335%54.4002%52.8166%50.7518%
Agricultural rollback 84.0305%81.4832%56.1324%54.4480%47.4996%46.1068%44.7021%43.3997%59.9334%57.5411%
Multi-Residential rollback 67.50%71.25%75.00%78.75%82.50%86.25%NA NA NA NA
Commercial and Railroad rollback 90.0%90.0%90.0%90.0%90.0%90.0%90.0%95.0%NA NA
Industrial rollback 90.0%90.0%90.0%90.0%90.0%90.0%90.0%95.0%NA NA
Residential 2,837,384,852$ 2,719,569,602$ 2,490,442,298$ 2,356,529,643$ 2,274,451,551$ 2,155,033,296$ 2,008,493,138$ 1,894,079,854$ 1,776,096,066$ 1,666,036,081$
Agricultural (taxed at Ag rate)1,452,029 1,424,328 1,425,151 1,429,547 1,618,090 1,706,955 1,588,496 1,597,501 1,591,636 1,447,988
Multi-Residential 360,829,356 382,070,966 363,613,829 368,969,925 337,946,106 353,335,857 - - - -
Commercial 944,990,382 950,525,463 832,628,954 819,505,276 734,200,396 720,036,878 1,016,458,199 1,086,556,293 1,113,600,025 1,149,535,927
Industrial 71,998,513 72,596,824 68,970,889 64,152,540 64,688,055 65,301,535 66,959,765 76,128,877 72,834,630 73,400,730
Railroads 3,664,971 4,039,622 3,241,213 3,194,473 3,586,439 3,686,919 3,614,022 3,636,130 3,205,451 2,619,932
Utilities w'out Gas & Electric 4,276,538 6,152,547 7,386,408 7,099,293 6,734,894 7,375,066 8,239,789 9,599,528 10,816,940 11,051,685
Gross valuation 4,224,596,641 4,136,379,352 3,767,708,742 3,620,880,697 3,423,225,531 3,306,476,506 3,105,353,409 3,071,598,183 2,978,144,748 2,904,092,343
Less: Military exemption 2,392,784 2,435,380 2,489,088 2,579,836 2,635,396 2,727,994 2,828,002 2,939,122 3,059,502 3,096,542
Net valuation 4,222,203,857 4,133,943,972 3,765,219,654 3,618,300,861 3,420,590,135 3,303,748,512 3,102,525,407 3,068,659,061 2,975,085,246 2,900,995,801
Incremental value 131,180,258 84,077,937 115,175,495 85,379,369 80,559,947 72,650,838 33,331,128 21,131,574 14,113,908 11,712,327
Gas and Electric Utilities 40,595,608 40,156,239 42,719,065 41,797,475 41,702,196 44,986,783 46,785,426 47,004,994 46,813,214 47,404,050
Total Taxable Valuation 4,393,979,723$ 4,258,178,148$ 3,923,114,214$ 3,745,477,705$ 3,542,852,278$ 3,421,386,133$ 3,182,641,961$ 3,136,795,629$ 3,036,012,368$ 2,960,112,178$
Percent change 3.189%8.541%4.743%5.719%3.550%7.501%1.462%3.320%2.564%3.931%
Total Direct Tax Rate
City of Iowa City 15.673$ 15.773$ 15.833$ 16.183$ 16.333$ 16.583$ 16.651$ 16.705$ 16.805$ 17.269$
Sources:
Iowa Department of Management, IC Budget
Notes:
Property is reassessed in the odd numbered years to make adjustments to all property values, according to current market values. As per the Code of Iowa, all real property subject to taxation
shall be valued at its actual value and, except as otherwise provided, shall be reassessed at 100% of its actual value.
City of Iowa City, Iowa
Assessed and Taxable Value of Property
Last Ten Fiscal Years
117
(per $1,000 assessed valuation)
Fiscal Year:2012/13 2013/14 2014/15 2015/16 2016/17 2017/18 2018/19 2019/20 2020/21 2021/22
Levy Year:2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
City:
General Fund 8.10000$ 8.10000$ 8.10000$ 8.10000$ 8.10000$ 8.10000$ 8.10000$ 8.10000$ 8.10000$ 8.10000$
Emergency Levy 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.24000 0.24000
Debt Service Fund 4.44287 4.02965 4.12963 3.92833 3.82846 3.57846 3.22846 2.97846 2.57846 2.47846
Employee Benefits 3.19286 3.16331 2.96331 3.11277 3.14415 3.14415 3.34415 3.24415 3.34415 3.34415
Capital Improvement 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000
Other 1.53291 1.51226 1.51226 1.50986 1.51044 1.51044 1.51044 1.51044 1.51044 1.51044
Total City 17.26864$ 16.80522$ 16.70520$ 16.65096$ 16.58305$ 16.33305$ 16.18305$ 15.83305$ 15.77305$ 15.67305$
Johnson County 6.74909$ 6.73712$ 6.74168$ 6.90337$ 6.77140$ 6.85143$ 6.53594$ 6.49278$ 6.34581$ 6.16774$
Iowa City Community School District 14.07327 13.68792 13.69999 13.86773 13.98935 13.95855 14.85629 14.79097 14.83935 14.85066
Kirkwood 1.07888 1.06473 1.05754 1.06125 1.08048 1.13174 1.20354 1.21331 1.25730 1.31195
Other 0.32919 0.37333 0.32315 0.32784 0.32450 0.33036 0.30557 0.27066 0.33110 0.32744
Total Tax Rate 39.49907$ 38.66832$ 38.52756$ 38.81115$ 38.74878$ 38.60513$ 39.08439$ 38.60077$ 38.54661$ 38.33084$
Source: "Tax Levies for Johnson County, Iowa," compiled by the Johnson County Auditor.
Note:
Does not include the tax rate for agriculture.
Taxpayers in the Iowa City Community School District Area
City of Iowa City, Iowa
Property Tax Rates - Direct and Overlapping Governments
Last Ten Fiscal Years
118
Collection Total Tax Current Tax Delinquent Tax Total Tax
Year Levied Collections Collections1 Collections
2013 50,407 50,139 99.5 3 50,142 99.5
2014 50,307 49,835 99.1 1 49,836 99.1
2015 51,609 51,292 99.4 3 51,295 99.4
2016 52,034 52,074 100.1 0 52,074 100.1
2017 55,330 55,331 100.0 0 55,331 100.0
2018 56,458 56,346 99.8 1 56,347 99.8
2019 59,174 59,252 100.1 2 59,254 100.1
2020 60,297 58,971 97.8 1 58,972 97.8
2021 65,849 65,656 99.7 1058 66,714 101.3
2022 66,912 67,075 100.2 29 67,104 100.3
Source: Certificate of City Taxes and Johnson County Treasurer's Office
Note: This schedule is presented on a cash basis of accounting. Taxes are collected by the Johnson County Treasurer and
submitted to the City in the following month. Because of the month delay, some years will show Current Tax Collections in
excess of the Total Tax Levied.
1 Delinquent tax collection is presented by collection year, rather than levy year, because information is not available from
Johnson County Treasurer by levy year.
Percent of
Levy
Collected
Total as
a Percent of
Levy
City of Iowa City, Iowa
Levies and Collections
Last Ten Fiscal Years
(Cash basis of accounting)
(amounts expressed in thousands)
119
% of Total % of Total
Taxable Taxable Taxable Taxable
Ten largest taxpayers1 Type of Business Valuation Rank Valuation Valuation Rank Valuation
Rise at Riverfront Crossing Owner LLC Real Estate Developer -$ -N/A %55,376$ 1 1.26 %
BBCS Hawkeye Housing LLC Real Estate Mangment - -N/A 50,709 2 1.15
Tailwind Iowa City LLC Real Estate Mangment - -N/A 43,517 3 0.99
1201 Gilbert LLC Real Estate Mangment --N/A 37,097 4 0.84
Webber - Iowa LLC Domestic Limited Liability Company - -N/A 29,003 5 0.66
Vesper Iowa City LLC Real Estate Developer --N/A 28,918 6 0.66
ACT Inc (Am College Testing Prgrm)Educational Testing Service 47,441 1 1.56 28,021 7 0.64
Mid-American Energy Company Public Gas and Electric Utility 44,033 2 1.45 27,749 8 0.63
Midwestone Bank Finanacial --N/A 26,708 9 0.61
Augusta Place LLC RealEstate Developer --N/A 25,249 10 0.57
Ann Gerdin Trust (formerly Russell Gerdin)Warehousing 22,006 3 0.72 - -N/A
Dealer Properties IC LLC (Billion Auto)Car Dealerships 17,339 4 0.57 - -N/A
Alpha Inc. Industrial 16,090 5 0.53 - -N/A
Proctor & Gamble LLC Manufacturing Company 15,441 6 0.51 - -N/A
National Computer Systems (Pearson)Information Services 14,410 7 0.47 - -N/A
United Natural Foods Wholesale Distribution Company 12,903 8 0.42 - -N/A
Southgate Development Company Real Estate Developer 12,734 9 0.42 - -N/A
Wal-Mart Real Estate Retail 12,640 10 0.42 - -N/A
Total 215,037$ 7.07 %352,347$ 8.01 %
Sources:
1City of Iowa City Assessor's Office
City of Iowa City, Iowa
Principal Taxpayers
Current Year and Nine Years Ago
(amounts expressed in thousands)
20222013
120
121121
Customer Name Charges Rank Percentage Charges Rank Percentage
Proctor & Gamble 599,964$ 1 7.32 %600,025$ 1 5.88 %
Veterans Administration Medical Center 108,129 2 1.32 117,827 2 1.15
Tailwind Iowa City LLC formerly Dolphin Lake/Lakeside Manor 85,186 3 1.04 73,167 3 0.72
Campus Apartments 62,253 5 0.76 67,150 4 0.66
Mercy Hospital 69,880 4 0.85 67,070 5 0.66
Dominium JIT Srv formerly Mark IV Apts 57,582 6 0.70 54,968 6 0.54
Seville Apts 31,504 10 0.38 41,973 7 0.41
Oaknoll Retirement Residence --N/A 39,941 8 0.39
University of Iowa, Mayflower Apt.41,806 8 0.51 38,609 9 0.38
Rise at Riverfront Crossing - -N/A 39,482 10 0.39
ACT Inc 53,064 7 0.65 --N/A
RBD Iowa City LLC (Sheraton Hotel)34,120 9 0.42 --N/A
1,143,488$ 13.95 %1,140,213$ 11.18 %
Total Water System Charges 8,194,467$ 10,209,841$
Sources:
City of Iowa City Revenue Division
City of Iowa City, Iowa
Larger Water System Customers
Current Year and Nine Years Ago
20222013
122
Fiscal Water Sales Water System
Year Cubic Feet Sold Charges
2013 254,616,773 8,194,467
2014 239,790,719 7,778,364
20151 240,423,612 8,161,522
2016 255,524,943 8,758,683
2017 267,511,531 9,156,005
2018 293,046,636 9,953,510
2019 289,055,329 10,139,587
2020 285,102,926 10,705,168
2021 237,035,139 9,459,987
2022 237,722,261 10,209,841
Sources:
City of Iowa City Revenue Department
Notes:
1Beginning in March 2015, Water Sales by Cubic Feet Sold also includes unbilled usage.
City of Iowa City
Sales History and Water System Charges
Last Ten Fiscal Years
123
Customer Name Charges Rank Percentage Charges Rank Percentage
University of Iowa 2,193,252$ 1 17.02 %1,811,614$ 1 14.60 %
Proctor & Gamble 991,579 2 7.70 901,974 2 7.27
Veterans Administration Medical Center 145,484 5 1.13 138,234 3 1.11
Iowa City Landfill 156,749 3 1.22 100,805 4 0.81
Mercy Hospital 118,458 6 0.92 92,480 5 0.75
Tailwind Iowa City LLC formerly Dolphin Lake 147,379 4 1.14 76,874 6 0.62
Campus Apartments 84,639 7 0.66 71,316 7 0.57
Dominium JIT Srv formerly Mark IV Apts 81,566 8 0.63 58,076 8 0.47
University of Iowa/Mayflower Apartments 73,516 9 0.57 52,480 9 0.42
Rise at Riverfront Crossing - -N/A 51,926 10 0.42
RBD Iowa City LLC (Sheraton Hotel)59,569 10 0.46 --N/A
4,052,191$ 31.45 %3,355,778$ 27.04 %
Total Sewer System Charges 12,883,641$ 12,407,521$
Sources:
City of Iowa City Revenue Department
City of Iowa City, Iowa
Larger Sewer System Charges
Current Year and Nine Years Ago
2013 2022
124
Fiscal Sewer Sales Sewer System
Year Cubic Feet Sold Charges
2013 285,472,392 12,883,641
2014 269,494,125 12,382,031
20151 266,830,947 12,278,153
2016 270,547,701 12,022,203
2017 277,712,785 12,404,360
2018 283,246,320 12,524,540
2019 288,537,266 12,822,250
2020 279,106,456 12,503,764
2021 265,605,446 11,819,500
2022 265,503,359 12,407,521
Sources:
City of Iowa City Revenue Department
Notes:
1Beginning in March 2015, Sewer Sales by Cubic Feet Sold also includes unbilled usage.
City of Iowa City, Iowa
Sales History and Sewer System Charges
Last Ten Fiscal Years
125
General Capital General Total Percentage
Fiscal Obligation Revenue Loan Obligation Revenue Primary of Personal Per
Year Bonds1 Bonds1 Note Bonds1 Bonds1 Lease Government Income2 Capita2
2013 57,688,803 2,614,644 210,784 1,182,315 62,764,738 - 124,461,284 1.70 1,775
2014 64,132,510 2,616,768 210,784 886,157 57,568,517 - 125,414,736 1.62 1,752
2015 59,421,203 2,618,892 210,784 590,000 45,566,903 - 108,407,782 1.40 1,475
2016 55,998,392 2,491,016 210,784 295,000 39,951,661 - 98,946,853 1.23 1,327
2017 52,571,254 15,168,140 210,784 - 34,420,914 14,482,714 116,853,806 1.34 1,544
2018 52,883,524 15,035,264 210,784 - 29,095,062 11,958,305 109,182,939 1.18 1,442
2019 53,402,638 14,902,388 210,784 - 21,155,710 9,413,024 99,084,544 1.02 1,319
2020 55,007,945 14,764,512 210,784 - 16,786,358 - 86,769,599 0.86 1,160
2021 56,685,493 12,781,636 210,784 - 12,242,006 - 81,919,919 0.77 1,098
2022 56,823,948 11,818,760 210,784 - 7,645,204 - 76,498,696 0.69 1,019
Notes:
Details regarding the city's outstanding debt can be found in the notes to the financial statements.
1 Bonds reported net of related premiums and discounts.
2 Population and personal income information can be found on page 132.
Governmental Activities Business-Type Activities
City of Iowa City, Iowa
Ratios of Outstanding Debt by Type
Last Ten Fiscal Years
126
Gross General Less: Debt Net General Net Bonded Debt Net Bonded
Fiscal Obligation Service Obligation per $1,000 of Debt
Year Bonded Debt 1 Fund Balance Bonded Debt Assessed Value Per Capita2
2013 58,871 6,527 52,344 11.34 : 1000 746
2014 65,019 6,718 58,301 12.46 : 1000 814
2015 60,011 3,921 56,090 10.97 : 1000 764
2016 56,293 6,463 49,830 10.04 : 1000 671
2017 52,571 7,221 45,350 8.38 : 1000 599
2018 52,884 8,423 44,461 8.09 : 1000 587
2019 53,403 9,514 43,889 7.43 : 1000 584
2020 55,008 9,590 45,418 7.40 : 1000 607
2021 56,685 7,388 49,297 7.19 : 1000 661
2022 56,824 7,190 49,634 7.07 : 1000 661
Notes:
1 General Obligation bonds, net of related premiums and discounts.
2 Population data can be found on page 132.
City of Iowa City Iowa
Ratios of General Obligation Bonded Debt1
to Assessed Value and Net Bonded Debt per Capita
Last Ten Fiscal Years
(amounts expressed in thousands, except per capita)
127
City of Iowa City, Iowa
Computation of Direct and Overlapping Debt
June 30, 2022
(amounts expressed in thousands, except per capita)
Total General Percent Amount
Long-Term Applicable Applicable
Name of Direct Debt to the City of to the City of
Governmental Unit Outstanding Iowa City Iowa City
City of Iowa City2 68,853$ 100.00 %68,853$
Iowa City Community
School District1 164,020 58.67 96,231
Johnson County1 9,602 43.39 4,166
Clear Creek- Amana
Community School District1 78,610 0.03 24
Kirkwood Comm. College1 137,385 14.84 20,388
Total Overlapping Debt 389,617 120,809
Total Direct & Overlapping Debt 458,470$ 189,662$
1 Long term debt outstanding includes only GO debt.
2Net direct debt includes premiums & discounts
Source: Johnson County Auditor's Office.
each overlapping government.
However,this does not imply that every taxpayer is a resident,and therefore responsible for repaying the debt,of
Note:Overlapping governments are those that coincide,at least in part, with the geographic boundaries of the City.
This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the
residents and businesses of Iowa City.This process recognizes that,when considering the City's ability to issue
and repay long-term debt,the entire burden borne by the residents and businesses should be taken into account.
128
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Total Assessed
Valuation 4,615,527$ 4,668,319$ 4,826,648$ 4,950,559$ 5,350,228$ 5,494,459$ 5,907,661$ 6,133,570$ 6,857,898$ 7,019,346$
Debt Limit 230,776 233,416 241,332 247,528 267,511 274,723 295,383 306,679 342,895 350,967
G.O. Bonds 58,550 64,420 59,340 55,350 51,645 51,880 52,470 53,370 53,935 53,935
TIF Rev. Bonds 2,655 2,655 2,655 2,525 15,200 15,065 14,930 14,790 12,805 11,840
Letters of credit 538 1,943 2,005 582 663 475 603 - - -
Notes payable 211 211 211 211 211 211 211 211 211 211
TIF rebates 307 170 18,206 13,506 17,356 25,012 27,954 25,877 36,944 33,765
Total net debt
applicable to limit 62,261 69,399 82,417 72,174 85,075 92,643 96,168 94,248 103,895 99,751
Legal debt margin 168,515$ 164,017$ 158,915$ 175,354$ 182,436$ 182,080$ 199,215$ 212,431$ 239,000$ 251,216$
Total net debt
applicable to
the limit as a
percentage of
debt limit 26.98%29.73%34.15%29.16%31.80%33.72%32.56%30.73%30.30%28.42%
1As reported in the Annual Financial Report to the State
Note: Under Iowa code, the city's outstanding general obligation debt should not exceed 5 percent of total assessed property value.
City of Iowa City, Iowa
Legal Debt Margin Information1
Last Ten Fiscal Years
(amounts expressed in thousands)
Fiscal Year
129
Fiscal
Year Net Revenue Annual Debt Service2
Ended Available for Ratio of
June 30 Revenue Expenses1 Debt Service Principal Interest Total Coverage
Parking Revenue3
2013 5,122 3,549 1,573 515 324 839 1.87
2014 5,365 2,969 2,396 530 308 838 2.86
20157 5,620 3,828 1,792 540 254 794 2.26
2016 - - - - - - -
2017 5,531 3,683 1,848 1,015 86 1,101 1.68
2018 5,812 3,790 2,022 524 576 1,100 1.84
2019 6,205 3,724 2,481 545 476 1,021 2.43
20209 4,577 3,476 1,101 567 375 942 1.17
20219 - - - - - - -
20229 - - - - - - -
Wastewater Treatment Revenue4
2013 13,301 5,340 7,961 4,865 1,547 6,412 1.24
2014 12,835 5,708 7,127 3,250 1,428 4,678 1.52
2015 12,620 6,574 6,046 3,370 1,305 4,675 1.29
2016 12,681 6,513 6,168 3,520 1,175 4,695 1.31
2017 13,383 6,357 7,026 3,625 985 4,610 1.52
2018 13,181 6,622 6,559 3,580 756 4,336 1.51
20198 13,548 6,840 6,708 3,465 539 4,004 1.68
2020 12,917 6,366 6,551 2,510 367 2,877 2.28
2021 12,449 7,874 4,575 2,620 257 2,877 1.59
2022 12,473 7,525 4,948 2,660 153 2,813 1.76
Water Revenue5
20136 9,342 6,348 2,994 845 758 1,603 1.87
20146 8,613 5,818 2,795 1,335 650 1,985 1.41
2015 8,715 5,632 3,083 1,380 610 1,990 1.55
2016 9,323 5,387 3,936 1,715 579 2,294 1.72
2017 9,529 6,332 3,197 1,760 524 2,284 1.40
2018 9,838 6,949 2,889 1,455 394 1,849 1.56
2019 10,078 6,888 3,190 1,510 280 1,790 1.78
2020 10,399 6,752 3,647 1,565 238 1,803 2.02
2021 10,048 7,471 2,577 1,630 193 1,823 1.41
2022 10,748 7,006 3,742 1,690 146 1,836 2.04
Notes:
1 Excludes depreciation and interest.
2 Includes principal and interest of revenue bonds only.
3 Parking Revenue bonds ratio of "Net Revenue Available for Debt Service" to "Total Annual Debt Service"
is required to be at least 1.25.
4 Wastewater Treatment Revenue bonds ratio of "Net Revenue Available for Debt Service" to "Total
Annual Debt Service" is required to be at least 1.10.
5 Water Revenue bonds ratio of "Net Revenue Available for Debt Service" to "Total Annual Debt Service"
is required to be at least 1.10.
6 Refunded Revenue Bonds paid are excluded from the principal of Annual Debt Service.
7 Parking Revenue Bonds defeased are excluded from the principal and interest of Annual Debt Service.
8 Debt Service excludes the amount called early of $2,670,000.
9 Parking Capital Lease called early is excluded from the principal and interest of Annual Debt Service.
City of Iowa City, Iowa
Schedule of Revenue Bond Coverage
Last Ten Fiscal Years
(amounts expressed in thousands)
130
Fiscal Taxable
Year Valuation Available 2012D TIF 2016E TIF Available
Ended Available for TIF Tax Increment Revenue Revenue Debt
June 30 Certification (1)Tax Rate (2)Revenues (3)Bonds Bonds Total Coverage
2013 109,518 31.86 3,489 - - - -
2014 110,797 30.37 3,365 75 - 75 44.66
2015 141,518 29.79 4,215 75 - 75 55.95
2016 156,898 30.49 4,784 205 - 205 23.30
2017 195,411 30.41 5,943 204 273 477 12.45
2018 226,439 30.34 6,870 207 384 591 11.61
2019 297,479 29.66 8,822 205 384 589 14.97
2020 341,736 29.93 10,228 207 384 591 17.31
2021 539,721 30.03 16,208 205 384 589 27.52
2022 546,008 30.03 16,397 - 1,349 1,349 12.15
(3) The available tax increment revenues do not reflect an estimate for the portion of the available valuation that would be taxed at
the higher SSMID rate.
City of Iowa City, Iowa
Schedule of TIF Revenue Bond Coverage
Last Ten Fiscal Years
(amounts expressed in thousands)
(1) Total taxable valuation available for certification will decrease in fiscal year 2024-25 due to the retirement of the tax increment
of the 2001 Amended portion of the Urban Renewal Area.
(2) The tax increment rate in fiscal year 2013-14 reflects the loss of the local school district's instruction support levy (ISPL) of
$.12405 due to recent legislative changes. TIF tax rate does not include the SSMID levy rate of $2.00 per $1,000 of value. Starting
in fiscal year 2012-13, a portion of the taxable valuation certified will be at the higher rate due to its location in the SSMID.
131
Per Capita
Calendar Personal Personal Average School Retail
Year Population6 Income1 Income1 Increase Enrollment2 Sales4
2013 71,454 7,327,594 45,325 1.95 14,057 3.8 793,201,342
2014 72,831 7,762,343 47,345 4.46 14,162 3.5 649,794,164
2015 73,497 8,035,139 48,343 2.11 14,495 2.9 838,853,686
2016 74,587 8,296,973 49,461 2.31 15,186 3.2 853,258,347
2017 75,690 8,713,868 51,198 3.51 15,299 3.0 874,928,988
2018 75,696 9,238,484 54,803 7.04 15,334 2.2 854,538,416
2019 75,130 9,681,989 55,518 1.30 15,619 2.4 865,628,890
2020 74,828 10,063,781 57,345 3.29 15,363 8.4 832,475,900
2021 74,596 10,690,422 60,316 5.18 15,636 4.0 856,925,682
20225,7 75,107 11,125,085 62,768 4.07 15,828 2.5 891,767,541
Sources and Notes:1 Personal Income and Per Capita Personal Income based on metropolitan Iowa City / Coralville and based on figures from Bureau of
Economic Analysis. Personal Income expressed in thousands.2 Iowa City Community School District and local private schools
3 Iowa Workforce Development Center
4 Iowa Retail Sales & Use Report, Iowa Department of Revenue and Finance. Fiscal year ending June 30.
5 Personal Income for 2022 and Per Capita Personal Income for 2022 is not available. Amounts projected based on average increase
over previous 5 years.
6 US Census Bureau Population number is not avaible for 2022. Amounts projected based on an average over previous 9 years.
7 Quarter reports were not yet available so amount projected based on average increase over previous 5 years.
Demographic and Economic Statistics
City of Iowa City, Iowa
Last Ten Calendar Years
Unemployment
Rate3
132
Employers Employees Rank Percentage Employees Rank Percentage
University of Iowa 30,804 1 33.2 %24,935 1 25.8 %
Iowa City Community School District 1,700 2 1.8 2,000 2 2.1
Veterans Administration Medical Center 1,562 3 1.7 2,000 3 2.1
Hy Vee 1,166 8 1.3 1,350 4 1.4
Procter and Gamble - -N/A 1,300 5 1.3
Mercy Hospital 1,187 6 1.3 1,300 6 1.3
ACT Inc. (formerly American College Testing Program)1,181 7 1.3 985 7 1.0
City of Iowa City 1,283 4 1.4 863 8 0.9
NCS Pearson 1,200 5 1.3 800 9 0.8
Goodwill of the Heartland - -N/A 638 10 0.7
System Unlimited 890 9 1.0 - -N/A
Internaltion Automotive Components formerly Lear Corp 785 10 0.8 - -N/A
41,758 45.1 %36,171 37.4 %
Total Employees 92,700 96,600
Sources:
Iowa City Area Development Group
Various Employers and documents
City of Iowa City, Iowa
Principal Employers
Current Year and Nine Years Ago
2013 2022
133
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Public Safety
Police 103 105 105 105 105 105 107 107 109.26 110.76
Fire 65 65 64 64 64 64 64 64 64 64
Inspection Services 15.55 13.55 13.55 12.85 13.5 13.5 15.6 15.6 17.6 17.6
Public Works
Public Works Admin 2 2 2 2 2 2 2 2 2 2
Engineering5 12.1 12.1 12.1 12 16 16 16 16 18 18
Flood Recovery 0.4 0.38 - - - - - - - -
Culture and Recreation
Parks and Rec Admin 2 2 2 2 2 2 2 2 2 2
Recreation 15.42 15.42 15.42 14.42 15.42 14.75 14 14.5 14.5 14.5
Parks 13 13 13 13 16 16 16 16 16 16
Forestry 3 3 3 3 3 3 5 5 7 7
Cemetery 3 3 3 3 3 3 3 3 3 3
CBD Maintenance 3 3 3 3 - - - - - -
Library 43.63 45.13 45.13 44.77 46.17 46.17 46.17 46.05 45.92 45.92
Senior Center 6.5 6.5 6.5 6.5 7 7 7 7 7.76 7.76
Community and Economic Development 8.4 8.95 8.95 10.8 12.63 13.13 13.13 13.13 12.13 12.13
Economic Development 1 1 1 2 1 1 1 1 1 1
General Government
City Council 7 7 7 7 7 7 7 7 7 7
City Clerk 4 4 4 4 4 4 4 4 4 4
City Attorney 5.6 5.6 5.6 5.5 5.5 5.5 5.5 5.5 5.5 5.5
City Manager2 5 6 6 10.5 10.5 9 9 9 13.89 14.89
Personnel 4 3 3 3 3 3 3 3 3 3
Human Rights 2 2 2 2 2 2 2 2 2 2
Finance 23.47 23.97 22.47 23.07 23.13 22.13 22.28 22.28 22.28 22.28
Government Buildings 4.83 4.83 4.83 5.33 4.33 5 4 5 4 4
Special Revenue
Employee Benefits 0.55 0.55 0.55 0.55 0.55 0.55 0.55 0.55 0.55 0.55
Community Development 3.33 2.98 2.98 2.83 - - - - - -
UniverCity Program 0.2 - - - - - - - - -
Traffic Engineering 4.15 4.15 4.15 3.9 4.5 3 3 3 3 3
Streets 25.5 25.5 25.5 25.25 25.5 29 29 29 29 29
MPOJC (formerly JCCOG)5.6 5.6 5.6 4.7 4.7 4.7 5.2 5.2 5.2 5.2
Other Shared Revenues 1.6 1.62 - - - - - - - -
Library Development 1 - - - - - - - - -
Capital Projects Administration5 6 6 5 4 - - - - - -
Internal Service Funds
Information Technology 10.86 9.86 9.86 9.86 9.8 10.8 9.8 9.8 9.8 9.8
Equipment 10.75 10.75 10.75 10.75 10.75 10.75 10.75 10.75 11.75 12
Central Services 0.76 0.5 0.5 0.5 0.5 0.5 0.5 0.5 0.5 0.5
Risk Management 1.8 1.8 1.8 1.8 1.8 1.8 1.8 1.8 1.8 1.8
Business-Type Activities
Parking 29.25 26.25 26.25 23.13 21.63 21.63 21.38 19.63 21.38 21.38
Mass Transit3 51.75 51.25 51.25 51.13 53.63 54.63 53.38 53.38 54.13 54.13
Wastewater Treatment 25.4 24.4 24.65 24.65 25.4 26 26 26 26 26
Water 32.75 31.75 32 32 31.75 31.75 31.75 31.75 31.25 31.25
Sanitation 37.85 35.85 35.85 33.35 31.5 31.5 32.76 34.76 35.26 35.51
Airport 1 1 1 1 1 1 1 1 1 1
Cable Television4 6.63 6.63 5.63 - - - - - - -
Stormwater 2.1 2.1 2.6 2.6 2.1 1.5 1.5 2.5 2 2
Housing Authority 13.18 12.19 10.19 10.19 9.6 9.6 9.5 9.5 10.62 10.62
Total 623.91 615.16 607.66 598.93 599.89 601.89 605.55 608.18 624.08 627.08
Source: City's Financial Plan 1 Beginning in FY13, Animal Services is reported under Police
2 Beginning in FY13, Communications Division has been moved from Finance to City Manager
3 Beginning in FY13, Transit was moved from the General Fund to an Enterprise Fund
4 Beginning in FY16, Cable was moved from an Enterprise Fund to the General Fund
5 Beginning in FY17, Capital Project Administration was moved to Engineering
Full-time Equivalent City Government Employees by Function
Last Ten Fiscal Years
Full-Time Equivalent Employees as of June 30
City of Iowa City, Iowa
134
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Public Safety
Police1
Physical arrests 4,468 6,192 5,595 5,465 4,482 4,488 5,212 2,891 2,525 2,699
Traffic Violations 2,499 3,718 3,356 2,989 2,246 3,103 3,422 1,052 1,627 2,246
Fire1
Number of calls answered 4,713 5,828 6,016 6,974 6,749 7,122 7,532 6,979 8,106 7,510
Inspections conducted 1,431 2,032 1,903 2,459 874 1,031 1,300 181 1,194 965
Parking
Parking Violations 88,909 60,680 65,196 57,549 62,930 50,346 61,330 48,042 45,727 69,502
Wastewater Treatment
Daily average treatment
in million gallons 9.84 10.02 9.76 10.48 8.32 7.77 10.97 8.58 7.93 7.38
Maximum daily capacity
of plant in million gallons 41.1 41.1 43.3 43.3 43.3 43.3 43.3 43.3 43.3 43.3
Number of sewer system
customers 24,059 24,389 24,533 25,085 25,485 26,069 26,270 26,576 26,892 27,021
Water
Daily average consumption
in million gallons 5.54 5.64 5.33 5.32 5.50 5.84 5.69 5.33 5.57 5.52
Maximum daily capacity of
plant in million gallons 16.7 16.7 16.7 16.7 16.7 16.7 16.7 16.7 16.7 16.7
Customers by Classification
Residential 24,442 24,790 23,089 23,638 24,025 24,595 24,818 25,133 25,452 25,588
Commercial 1,491 1,491 1,409 1,415 1,425 1,436 1,431 1,448 1,448 1,442
Industrial 15 15 14 14 14 15 15 15 15 15
Other 204 202 135 131 134 136 139 138 137 137
Total Customers 26,152 26,498 24,647 25,198 25,598 26,182 26,403 26,734 27,052 27,182
Sanitation
Number of Customers 15,177 15,331 14,811 15,620 15,917 15,960 16,112 16,180 16,330 16,481
Tonnage 8,956 9,160 9,210 9,476 9,623 9,694 8,989 9,682 10,339 10,247
Landfill
Tonnage 111,445 115,624 123,692 126,875 137,025 140,658 127,587 128,210 151,823 135,557
Sources: Various city divisions.
Notes:
1 Numbers are based on a calendar year and 2022 year-to-date figures are compiled through 11/16/22 for FIRE and 11/15/22 for Police.
Last Ten Fiscal Years
Operating Indicators by Function
City of Iowa City, Iowa
135
2013 2014 2015 2016 2017 2018 2019 2020 2021 2022
Public Safety
Police
Stations 1 1 1 1 1 1 1 1 1 1
Patrol units 18 20 20 20 24 23 23 23 23 23
Fire
Stations 4 4 4 4 4 4 4 4 4 4
Fire apparatus 11 11 11 10 10 10 10 10 10 10
Public Works
Streets
Miles 276 279 281 283 286 288 292 293 295 298
Street lights 3,412 3,412 3,412 3,412 3,412 3,307 3,166 3,202 3,246 3,227
Culture and Recreation
Library 1 1 1 1 1 1 1 1 1 1
Cemetery 1 1 1 1 1 1 1 1 1 1
Acreage 40 40 40 40 40 40 40 40 40 40
Parks 42 43 46 46 49 50 51 56 56 58
Acreage 1,506 1,897 1,897 1,902 1,932 1,942 1,947 1,950 1,980 1,987
Recreation
Recreation centers 2 2 2 2 2 2 2 2 2 2
Swimming pools 3 3 3 3 3 3 3 3 3 3
Ball diamonds 27 27 27 27 27 27 27 27 27 27
Tennis courts 12 12 12 12 9 9 9 9 9 9
Soccer fields 20 20 20 20 20 20 20 20 20 20
Pickle Ball Courts - - - - 8 8 8 8 8 8
Futscal Courts - - - - 2 2 2 2 2 2
Full Basketball Courts - - - - 3 3 3 6 6 6
Gaga Pits - - - - - 2 2 2 2 2
Boccce Court 1 1
Parking
Facilities 5 5 5 5 6 6 6 6 6 6
Spaces 3,086 3,086 3,086 3,086 3,686 3,686 3,686 3,686 3,686 3,686
Wastewater Treatment
Miles of sanitary sewer 295 298 300 301 304 306 307 308 310 312
Miles of storm sewer 128 131 133 136 139 140 142 144 146 147
Number of treatment plants 2 1 1 1 1 1 1 1 1 1
Number of service connectors 23,851 24,175 24,533 25,085 25,485 26,069 26,270 26,576 26,892 27,021
Water
Miles of water mains 268 271 273 275 277 279 281 283 286 288
Number of city owned fire hydrants 3,330 3,385 3,415 3,447 3,503 3,529 3,564 3,611 3,647 3,687
Sanitation
Landfills 1 1 1 1 1 1 1 1 1 1
Acreage 411 411 418 418 418 418 418 418 418 418
Sources: Various city divisions.
City of Iowa City, Iowa
Capital Assets by Function
Last Ten Fiscal Years
136
Compliance
Section
Tab
150